US Construction Project Halts Due to Trump's Funding Defunds, Leaving $16 Billion Effort in Limbo
A massive construction project under the Hudson River is grinding to a halt after President Donald Trump ordered the withholding of funding. The $16 billion Gateway Development Commission project, which aims to build two new sets of rail tunnels beneath the waterway, has exhausted its financial resources and will shut down due to lack of funds.
The project, which relies almost entirely on federal grants and loans approved under former President Joe Biden's administration, is now facing an uncertain future. The Gateway CEO Tom Prendergast described the halt as a "setback," adding that the commission had done everything in its power to prevent any interruptions to the construction process.
However, shutting down such a massive project isn't as simple as turning off the lights. It will take nearly a year of work and $15 million to $20 million per month to wind down the operation, which includes securing the five construction sites and restoring damaged areas.
The project's leaders have been engaged in a lawsuit against the Trump administration, demanding a payout of $205 million in federal payments that have been withheld over the past four months. New York and New Jersey have also filed similar lawsuits to force the money to flow.
The shutdown will result in the abandonment of massive job sites on both sides of the Hudson River, requiring extensive repairs to backfill holes dug for the tunnels. Fences must be built around the sites, security guards hired, and a section of the West Side Highway in Manhattan restored.
In addition, workers operating massive boring machines that carved out parts of the tunnel will need to be mothballed, while another machine set to arrive next month is also at risk of being grounded due to lack of funds.
Gateway officials have warned that even if funding is eventually restored, it may take months to get work started again due to the loss of skilled laborers who have found jobs on other projects.
A massive construction project under the Hudson River is grinding to a halt after President Donald Trump ordered the withholding of funding. The $16 billion Gateway Development Commission project, which aims to build two new sets of rail tunnels beneath the waterway, has exhausted its financial resources and will shut down due to lack of funds.
The project, which relies almost entirely on federal grants and loans approved under former President Joe Biden's administration, is now facing an uncertain future. The Gateway CEO Tom Prendergast described the halt as a "setback," adding that the commission had done everything in its power to prevent any interruptions to the construction process.
However, shutting down such a massive project isn't as simple as turning off the lights. It will take nearly a year of work and $15 million to $20 million per month to wind down the operation, which includes securing the five construction sites and restoring damaged areas.
The project's leaders have been engaged in a lawsuit against the Trump administration, demanding a payout of $205 million in federal payments that have been withheld over the past four months. New York and New Jersey have also filed similar lawsuits to force the money to flow.
The shutdown will result in the abandonment of massive job sites on both sides of the Hudson River, requiring extensive repairs to backfill holes dug for the tunnels. Fences must be built around the sites, security guards hired, and a section of the West Side Highway in Manhattan restored.
In addition, workers operating massive boring machines that carved out parts of the tunnel will need to be mothballed, while another machine set to arrive next month is also at risk of being grounded due to lack of funds.
Gateway officials have warned that even if funding is eventually restored, it may take months to get work started again due to the loss of skilled laborers who have found jobs on other projects.