Hudson Tunnel Project Secures Partial Funding Amidst Legal Tussles

The Trump administration has released $30 million of $205 million for the Hudson Tunnel Project following a lawsuit by New York and New Jersey. The funding was frozen under Trump, leading to halted construction. Efforts continue to resume the project for critical rail infrastructure between New York and New Jersey.


Devdiscourse News Desk | Updated: 14-02-2026 04:20 IST | Created: 14-02-2026 04:20 IST
Hudson Tunnel Project Secures Partial Funding Amidst Legal Tussles

The Trump administration, on Friday, released a fraction of the frozen funds for the Hudson Tunnel Project after New York and New Jersey filed a lawsuit against the decision. The release includes $30 million of the $205 million needed for the $16 billion project, which halted due to funding issues.

A U.S. appeals court upheld a lower court's order to release the funds, but construction is still paused. The Gateway Development Commission aims to utilize the funds effectively to resume construction and put several workers back to work as soon as possible.

This legal victory comes after Trump offered to unfreeze funds in exchange for renaming Washington Dulles Airport and New York's Penn Station after him, a proposition strongly opposed by Democrats. The Hudson Tunnel Project is critical for maintaining the heavily-used rail line between Manhattan and New Jersey.

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