After court tells Trump administration to release funds, the massive new N.Y.-N.J. tunnel project gets $30 million

New Jersey Gov. Mikie Sherrill said federal officials have made available the first $30 million of $205 million in federal funding needed to resume the Gateway Tunnel construction project.

Sherrill made the announcement close to 5:30 p.m., on her X account.

“The Trump administration has finally sent the first $30 million of the $200 million owed to the Gateway Tunnel,” she wrote. “This is just the first step. I’m not going to stop fighting until we get every dollar we’re owed and this project is complete.”

New Jersey and New York returned to U.S. District Court this afternoon after the states requested a status conference on the restoration of the funding.

Attorneys for New Jersey and New York returned to U.S. District Court this afternoon after the states requested a status conference on the restoration of the funding, said Michael Symons, a spokesperson with the New Jersey Attorney General’s Office.

U.S DOT officials told the court it has initiated some payments, but they are still processing and have not yet been received by the Gateway Development Commission, state officials said on background.

“Because of our efforts, the Department of Transportation is finally delivering the Gateway project funds it has been unlawfully freezing for months,” said acting state Attorney General Jennifer Davenport. “When we fight, we win. We will always stand up for the Gateway project, for New Jerseyans, and for our workers from attacks out of Washington, D.C.”

The judge ordered the U.S. Department of Justice to file a status report by 3 p.m. Tuesday on the federal government’s efforts to comply with the court order and disburse the funds, officials said.

“The courts have spoken and it’s time for our people to go back to work,” Sherrill said at a press conference Friday in the Secaucus Junction NJ Transit station. “Congress approved this money and it belongs to the American people.”

Gateway Development Commission officials said construction will remain paused until it receives the $205 million in funding.

“GDC is grateful to New York and New Jersey for their support in restoring our access to the federal funding for the Hudson Tunnel Project,” officials said in statement. “We have received an initial disbursement of $30 million from the federal government and expect to receive the full $205 million in reimbursement funds.”

“We are working with our contractors to plan how to deploy these funds in the most effective way and get workers back on the job to resume some construction as soon as possible,” said Molly Beckhardt, a commission spokesperson.