New Jersey and New York on Tuesday announced they are suing the Trump administration, alleging the federal government is illegally withholding $15 billion in previously committed funding for the Gateway tunnel project linking northern New Jersey and New York City.
The lawsuit, filed in federal court in the Southern District of New York, seeks emergency relief to stop the U.S. Department of Transportation from continuing what the states describe as an indefinite funding freeze. The states said the halted funding threatens ongoing construction, puts workers’ jobs at risk and jeopardizes a critical transportation corridor in the Northeast.
“Every time the Trump Administration gets involved, costs go up and working people suffer. The illegal attack on the Gateway Tunnel is yet another example. New Jersey will not back down from this fight,” Gov. Mikie Sherrill said. “If this project stops, 1,000 workers will immediately lose their jobs and hundreds of thousands of commuters will lose the chance at finally having reliable train service that makes their lives easier.”
New York Gov. Kathy Hochul said the funding freeze threatens one of the nation’s most significant infrastructure efforts.
“Donald Trump’s revenge tour on New York threatens to derail one of the most vital infrastructure projects this nation has built in generations, putting thousands of union jobs and billions of dollars in economic benefits in jeopardy and threatening the commutes of 200,000 riders,” Hochul said. “New York will fight this illegal effort by the Trump Administration to steal the funding the federal government committed to get the Gateway Tunnel built with everything we’ve got. My message to Donald Trump and Sean Duffy is simple: we’ll see you in court.”
Acting New Jersey Attorney General Jennifer Davenport said the states were left with no alternative but to seek court intervention.
“Our promise to our residents is clear: we will protect them from attacks on their rights and on their pocketbooks, whatever the source,” Davenport said. “The President’s decision to freeze funding for the Hudson Tunnel Project jeopardizes safe and reliable infrastructure and puts thousands of jobs at risk. The Federal Government has left us no choice: we must challenge this illegal action in court, and demand emergency relief that will protect us from these unlawful harms.”
New York Attorney General Letitia James said allowing the project to stall would have widespread consequences.
“Allowing this project to stop would put one of the country’s most heavily used transit corridors at risk,” James said. “Our tunnels are already under strain and losing this project could be disastrous for commuters, workers, and our regional economy. We are taking the administration to court to prevent a shutdown that would ripple far beyond New York and New Jersey.”
State officials said the lawsuit is separate from a legal action filed earlier this week by the Gateway Development Commission, arguing that New Jersey and New York face independent and immediate harms. Those include the loss of prior state investments in funding and land, increased operating costs and the need to secure active construction sites to prevent public safety and health risks.
The states are seeking emergency relief, including a preliminary injunction, to block the Department of Transportation from continuing the funding freeze while the case proceeds.
