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Trump administration appeals ruling on releasing New York City tunnel funds

The Trump administration froze $16 billion in federal funding over compliance and political demands, pausing construction and risking layoffs for nearly 1,000 workers, court hearing pending.

  • On Friday, U.S. District Judge Jeannette Vargas issued a preliminary injunction requiring the federal government to release funds for the Hudson Tunnel Project after warnings construction would halt without funding.
  • Punchbowl News and ABC's Jonathan Karl reported on Friday that Trump told Senate Minority Leader Chuck Schumer he would unfreeze billions if Schumer renamed New York's Penn Station and Washington Dulles Airport after him.
  • On Sunday, ABC's Jonathan Karl asked Rep. Mike Lawler about the reported renaming-for-funds offer, and Lawler defended the project as critical and cited past renamings, saying `At the end of the day, I could care less what the name of a building is, or a critical infrastructure project is`.
  • The Trump administration filed a notice of appeal on Sunday, while the Gateway Development Commission said `As ⁠soon as funds are released, we will work ‌quickly to restart site operations and get our workers back on the job` after Judge Vargas's Friday order.
  • The Gateway Project is intended to build a new commuter rail tunnel between Manhattan and New Jersey and repair a century-old tunnel used by more than 200,000 travelers and 425 trains daily, with nearly $2 billion spent so far.
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+3 Reposted by 3 other sources
Center

The Trump administration must unfreeze more than $16 billion earmarked for a major infrastructure project in New York by Thursday, unless a federal appeals court allows the government to continue withholding the funds…

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CNNCNN
+6 Reposted by 6 other sources
Lean Left

Judge gives Trump administration more time to unfreeze billions in funding for NY tunnel project

The Trump administration will need to unfreeze more than $16 billion earmarked for a major New York infrastructure project by Thursday unless a federal appeals court allows the government to continue withholding the funds, a federal judge ruled Monday.

·Atlanta, United States
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Reuters broke the news in United Kingdom on Saturday, February 7, 2026.
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