Gateway Tunnel Project to Begin Full Construction Following Federal Grant
The Federal Transit Administration (FTA) has provided a $6.9 billion dollar grant to help finance the crucial Gateway Tunnel project. The tunnel is a critical part of Amtrak’s busiest route that carries more than 2,200 daily trains stretching from Washington to Boston. The grant provided through the agency’s capital investments and grants program is the largest allocation ever from the program; and provides a key piece of funding to allow the long-awaited project to begin full construction. Over the years, the cost of the new tunnel to be constructed under the Hudson River has ballooned to $16.1 billion—an estimate 14% higher than a 2021 projection. Remaining federal funding for the project that also includes the replacement of the existing tunnel that was damaged in 2012 by Hurricane Sandy will come through a $4 billion federal-state partnership. It had been expected that half of the cost would be covered by New York, New Jersey with contributions from Amtrak and the Port Authority of New York and New Jersey. Major construction is expected to begin in 2024.