Chuck Schumer, the Senate Majority Leader from New York, has scored a major win for his state with the Biden administration agreeing to provide a record-breaking $6.8 billion for the construction of a second rail tunnel under the Hudson River. The project, known as Gateway, has been a long-standing priority for Schumer and the Biden administration and is expected to create 72,000 jobs.
The grant, which is the largest transit grant in U.S. history, will be used to construct a new tunnel alongside the existing single-track tunnels that have been in operation since 1910. These old tunnels have been deteriorating since Hurricane Sandy flooded them in 2012. The new tunnel is estimated to cost $16 billion and is set to be completed in 2035. Once the new tunnel is operational, the old tracks will be closed for repairs.
Schumer has been lobbying Transportation Secretary Pete Buttigieg to release funding for the project, which was previously held back during the Trump administration. Former President Donald Trump refused to fund the tunnel without securing funding for a border wall with Mexico. However, with the Biden administration’s support, Schumer’s efforts have finally paid off.
The tunnel project is a joint venture between New York and New Jersey, with both states agreeing to split the cost evenly. This partnership has boosted their chances of receiving federal funding. A formal agreement between Gateway and the U.S. government is expected to be finalized next year, and the developers are also seeking additional assistance from other federal programs.
The completion of the new tunnel is crucial for maintaining trans-Hudson travel and avoiding a significant reduction in train capacity between Penn Station and areas west of the Hudson River. Amtrak predicts that if one of the existing tracks is closed before the new tunnel is finished, train capacity during rush hour would be reduced by 75%, which would have a severe impact on commercial activity.
New York Governor Kathy Hochul has hailed the funding as an essential investment for the region’s economy, while New Jersey Governor Phil Murphy expressed his commitment to securing the remaining funding necessary to complete the project, calling it the most urgent infrastructure project in the country.
The Biden administration has been prioritizing infrastructure projects as part of its agenda, with the Bipartisan Infrastructure Law passed in 2021 already allocating $295 million to the tunnel project. The record-breaking funding for the New York tunnel project is a significant step towards achieving the administration’s infrastructure goals and reflects the commitment to invest in critical infrastructure across the United States.
Overall, Schumer’s success in securing the largest transit grant in U.S. history for the construction of the new rail tunnel under the Hudson River is a major victory for New York and the Biden administration. The project will not only create thousands of jobs but also ensure the continued flow of trans-Hudson travel and support economic growth in the region. With the funding in place, the construction of the new tunnel can begin, bringing this long-awaited project closer to reality.
