Northeast Corridor Commuters and the Economy to Benefit from the Gateway Program

Progress continues to move forward on the long delayed, much needed Gateway Program that will deliver a new, two-track rail tunnel between New York and New Jersey beneath the Hudson River. As part of the project, the existing 114-year-old tunnel that was damaged in 2012 during Hurricane Sandy will be rehabilitated. The $16 billion, 2.4-mile rail tunnel is part of Phase 1 of the Gateway Program, which is a series of projects along the ten-mile rail segment between Newark, New Jersey and New York Penn Station (NYP). The Gateway territory is critical to the Northeast Corridor (NEC) since it connects the “nation’s busiest rail hubs and strongest economic engines.” Current congestion will be eased along with the mitigation of ongoing service disruptions because of deteriorating rail infrastructure that commuters who use the Northeast Corridor have been subjected to. Construction launched on both sides of the Hudson River in November 2023 and details released of an evaluation of the economic impacts of the Gateway Program by the Regional Plan Association (RPA) in conjunction with consulting firm WSP USA determined that “over the period studied, 2023 – 2060, the full Gateway Program will generate close to $445 billion in economic benefits.” In addition, the implementation of the full Gateway Program will create and sustain 46,100 jobs, on average.” Other key findings in the report indicated that a total of $42.8 billion in economic activity in the region will be generated during the construction phase of the Gateway Program; and upon construction completion and the Program’s improvements are implemented, it will stimulate $230 billion worth of economic activity in the region and another $170 billion in the national economy during the first 15 years of operation. The new tunnel and the rehabilitated tunnel are estimated to open in 2038, providing increased reliability, flexibility and operational redundancy for Amtrak and NJ Transit, as well as providing the capability to significantly expand capacity in the future according to details on the U.S. Department of Transportation’s website.

Source:    https://rpa.org/work/reports/economic-promise-gateway