Federal Judge Blocks Trump Administration's Funding Freeze on NY-NJ Rail Tunnel Project
A US federal judge has ordered President Trump to release $16 billion in funds earmarked for the Gateway tunnel project, a massive rail tunnel connecting New York and New Jersey. The decision came after New York and New Jersey sued the Trump administration over the funding freeze.
Judge Jeannette Vargas, an appointee of former President Joe Biden, ruled that the plaintiffs had demonstrated they would suffer imminent harm if the project's operations were shut down. The ruling granted "temporary relief" to the states, which vow to continue fighting for full relief as the litigation unfolds.
The Gateway Development Commission, responsible for building the tunnel, had been forced to halt construction due to the funding freeze, which was imposed by President Trump last October. A line of credit that allowed construction to continue has run dry.
"This is a critical victory for workers and commuters in New York and New Jersey," said Letitia James, New York Attorney General. "The court acted quickly to block this senseless funding freeze, which threatened to derail a project our entire region depends on."
New Jersey Governor Mikie Sherrill also welcomed the decision, saying it was "a critical victory" that would allow the project to continue without unnecessary federal interference. The White House did not immediately respond to comment.
The Gateway tunnel project is one of the most important infrastructure projects in the country, with construction expected to be completed by 2035. A frozen funding halt had threatened nearly 1,000 jobs and the immediate loss of public transportation services.
In a surprising move, President Trump had offered to restore the funds during negotiations with Senate Minority Leader Chuck Schumer (D-NY) last month in exchange for renaming New York's Penn Station and Washington's Dulles International Airport after him. However, Schumer vehemently denied the claim.
A US federal judge has ordered President Trump to release $16 billion in funds earmarked for the Gateway tunnel project, a massive rail tunnel connecting New York and New Jersey. The decision came after New York and New Jersey sued the Trump administration over the funding freeze.
Judge Jeannette Vargas, an appointee of former President Joe Biden, ruled that the plaintiffs had demonstrated they would suffer imminent harm if the project's operations were shut down. The ruling granted "temporary relief" to the states, which vow to continue fighting for full relief as the litigation unfolds.
The Gateway Development Commission, responsible for building the tunnel, had been forced to halt construction due to the funding freeze, which was imposed by President Trump last October. A line of credit that allowed construction to continue has run dry.
"This is a critical victory for workers and commuters in New York and New Jersey," said Letitia James, New York Attorney General. "The court acted quickly to block this senseless funding freeze, which threatened to derail a project our entire region depends on."
New Jersey Governor Mikie Sherrill also welcomed the decision, saying it was "a critical victory" that would allow the project to continue without unnecessary federal interference. The White House did not immediately respond to comment.
The Gateway tunnel project is one of the most important infrastructure projects in the country, with construction expected to be completed by 2035. A frozen funding halt had threatened nearly 1,000 jobs and the immediate loss of public transportation services.
In a surprising move, President Trump had offered to restore the funds during negotiations with Senate Minority Leader Chuck Schumer (D-NY) last month in exchange for renaming New York's Penn Station and Washington's Dulles International Airport after him. However, Schumer vehemently denied the claim.