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Federal Government Greenlights $6.8B Funding for Gateway Tunnel Project

13/06/2024

The long-awaited Gateway Tunnel project is officially moving forward. The $16 billion initiative has secured a $6.8 billion full-funding grant from the federal government, marking a significant milestone for the largest infrastructure project in U.S. history.

Initial infrastructure updates on both sides of the Hudson River have already commenced, but this substantial grant will facilitate the hiring of crews to begin the crucial excavation work for two new tunnels. Gateway Development Commission CEO Kris Kolluri anticipates that construction could start this year, with the entire project slated for completion by 2035.

In addition to the construction of two new tunnels, the project will also involve essential improvements to the two existing tunnels, which have been in use for over a century. The securing of this funding has brought a sense of relief and accomplishment to all those involved.

“A promise 30 years in the making is close to being realized,” said Kolluri to ROI-NJ. He praised the unwavering support from President Joe Biden, Majority Leader Chuck Schumer, and Governors Phil Murphy and Kathy Hochul, noting that the Hudson Tunnel Project is now past the point of no return. “With the final funding puzzle piece almost in place, we can now build the first heavy rail tunnel under the Hudson in more than a century.”

The agreement between the Federal Transit Administration and the Gateway Development Commission is expected to be finalized in the coming weeks. This development is a significant victory for Governor Phil Murphy, who has been advocating for the project's approval and securing millions in state funds since taking office.

“It’s official: We are moving full steam ahead with the largest and most consequential infrastructure project in the nation,” Murphy announced on X, formerly known as Twitter.

U.S. Representatives Josh Gottheimer and Mikie Sherrill, both potential candidates for Murphy's successor, expressed their enthusiasm in public statements.

“After years of hard work, there’s nothing better than seeing federal investment at work to help our families with faster, safer, and more reliable commutes,” said Gottheimer. “That’s why I fought so hard to help craft and pass the Bipartisan Infrastructure Bill, to claw back dollars to Jersey to build the Gateway Train Tunnel.”

Sherrill emphasized the job creation potential of the project. “Today’s announcement means more good-paying, union jobs are coming to New Jersey,” she said. “Since Day One, I’ve fought tooth and nail to secure federal funding to build the Gateway Tunnel, which will bring our infrastructure into the 21st century and improve the quality of life and economic opportunities for millions of families in our region.”

While this grant marks the beginning of a complex construction process, it also concludes a prolonged effort to secure funding. Planning for the project began in earnest in February 2011 after former Governor Chris Christie halted a similar initiative, the ARC project, due to concerns over potential cost overruns.

Despite ongoing concerns about costs, the new funding alleviates worries about the deteriorating condition of the existing tunnels. “This is a big win for commuters on both sides of the Hudson,” Murphy wrote.


Kolluri highlighted the broader impact of the project. “We are building more than portals of concrete and rebar, we are building portals of opportunity,” he said. For further information please visit the tunnelbuilder archive by clicking here. 23/24.



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