The Gateway Development Commission (GDC) is seeking release of federal funding withheld since October for the Hudson Tunnel Project (HTP), centerpiece of the Gateway Program to increase Amtrak intercity and NJ Transit regional/commuter rail service capacity between New York and New Jersey. On Feb. 6, 2026, HTP construction halted at 5:00 p.m. EST, resulting in the loss of nearly 1,000 jobs. GDC, which is overseeing the HTP, has filed a lawsuit against the U.S. Department of Transportation (USDOT) seeking release of contractually obligated grant and loan funds for the project. GDC is seeking $205 million in disbursements previously withheld, along with damages that will be incurred because of any suspension of the project or cancellation of existing contracts. “For more than two years, the hardworking men and women building the Hudson Tunnel Project have not missed a day of work,” GDC CEO Tom Prendergast said. “That will change today, because the federal Administration continues to withhold funding for this vital investment in our nation’s rail infrastructure. After spending more than $1 billion, and countless hours of hard work on this project, we will be left with empty construction sites in New York and New Jersey. Today is a setback, but it is not the end. To those who have long championed the project, our workforce, and the riders who are relying on GDC to finally deliver the modern, reliable commute they deserve: Know that our work is far from over. GDC will continue to do everything in our power to get our funding…
