The Trump administration announced on Wednesday that they are withholding $18 billion to fund a new rail tunnel beneath the Hudson River between New York City and New Jersey and an extension of the city’s Second Avenue subway.
Funding from the project was withheld due to the
The government shutdown at midnight on Oct. 1 after Democrats, who are in the minority, did not agree to the GOP proposal to fund the government.
Senate Majority Leader Chuck Schumer decided it was best to agree to shut down the government, as opposed to keep the government open and vote for the GOP proposal.
Schumer was blasted for his vote to keep the government open during the funding fight in March and many, including those in the Democratic party, questioned his leadership.
“Obstructing these projects is stupid and counterproductive because they create tens of thousands of great jobs and are essential for a strong regional and national economy,” he said on X, in response to pulling the funding from the project.
The Democratic proposal also failed in the Senate, which included Obama-era healthcare provisions. Republicans argue they put forward a “clean continuing resolution.”
Trump’s Transportation Department was investigating the project for potential “unconstitutional practices,” but the shutdown caused staffers conducting the review to be furloughed.
White House Office and Budget Management Director Russell Vought also claimed on X that the project had “unconstitutional DEI principles.”
New York’s Metropolitan Transportation Authority was surprised by the pulling of the funds.
“For now, it looks like they’re just inventing excuses to delay one of the most important infrastructure projects in America,” wrote John McCarthy, policy chief and spokesperson for New York MTA.
The Hudson River rail tunnel is a long-delayed project. Thousands of passengers use the tunnel to travel up and down the East Coast. As it stands, it’s more than 110 years old. The Second Avenue subway portion of the project was first imagined in the 1920s and the first portion opened in 2017. The MTA is supposed to be working on the second phase of the project, extending the line to East Harlem.