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US appeals ruling requiring continued payments for $16 billion New York tunnel project

By Thomson Reuters Aug 28, 2026 | 11:32 AM

WASHINGTON, Aug 28 (Reuters) – The Trump administration on Friday appealed a ​ruling requiring the ‌federal government to making payments on the $16 billion New York Hudson Tunnel after ‌an ​appeals court on ⁠Wednesday rejected ⁠the Trump administration’s bid to halt paying for the project.

The Hudson Tunnel ​Project aims to build a new commuter ⁠rail tunnel ⁠connecting Manhattan and ​New Jersey and repair a ​century-old tunnel used by ‌more than 200,000 travelers and 425 trains daily. The U.S. Transportation ⁠Department on Oct. 1 abruptly stopped releasing grant funds for ⁠the ‌project in the ⁠wake of a ​partial ‌government shutdown President ​Donald Trump ⁠blamed on congressional Democrats. A U.S. judge ordered the payments to resume in February.

(Reporting by David ​Shepardson)