New York transit funding pause affects tunnel, subway
02.10.2025
The U.S. Transportation Department suspended New York transport financing in order to audit conformity on the Hudson Tunnel as well as Second Avenue Subway, postpone a $300 million repayment on the subway extension.
This is reported by the railway transport news portal Railway Supply.
New York transport finance: extent and initiatives
USDOT announced that it has “paused some funds for big-ticket transit projects in New York State, including the Hudson Tunnel and the Second Avenue Subway.” The agency described both projects as being put under review “in order to ensure nondiscrimination.”
Don’t miss…Michigan passenger rail project proposes new east-west line
The $17.2 billion Hudson Tunnel “entails fixing up an existing tunnel, as well as constructing a new one for commuter state lines as well as passenger railroad Amtrak between New Jersey as well as Manhattan.” Federal grants total over $11 billion.
The Second Avenue Subway project by a group that “recieved $3.4 billion to stretch … up into Harlem,” also forms a part of the consideration. These projects together account for some of the largest infrastucture projects in the Western Hemisphere.
New York transport finance: figures and regulation
USDOT verified that “the other federal funding that was left for the projects was $18 billion.” The immediate response constitutes “a brake on a $300 million subway project reimbursement.”
It was in response after a district court had ruled that “women and some members of minority racial groups will no longer be ‘presumed’ to be economically disadvantage when they bid for contracts.”
In response as per the Gateway Development Commission, “The Hudson Tunnel project has consistently been in accordance with federal laws and regulation and would welcome any reviews.” Comments were declined by Amtrak.
In August, the agency also noted “it may withhold 25% of federal transit money for New York state’s Metropolitan Transportation Authority if the agency doesn’t beef up safety for subway maintenance workers on subway tracks”.
Source: www.reuters.com
News on railway transport, industry, and railway technologies from Railway Supply that you might have missed:
Why was USDOT freezing its New York transit funding?
It responded by saying that it suspended the payments “to protect against nondiscrimination” under small business contracting programs.
Which projects are affected?
Hudson Tunnel and Second Avenue subway projects remain on hold as a discounting of a $300 million reimbursement was halted.
How much federal help is left?
USDOT mentioned regarding “$18 billion” that will be maintained for the two projects.
Place your ads on webportal and in Railway Supply magazine. Detailed information is in Railway Supply media kit
