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(CN) — The Biden administration is giving the greenlight to the massive Gateway Hudson River Tunnel project, putting the proposal on track to receive a $6.88 billion federal grant.
The White House announced Thursday it would move the project into the engineering phase, a key milestone toward construction for the $17.18 billion project.
“It will be the largest federal infrastructure grant in history,” New York Senator Chuck Schumer wrote on Twitter. “It’s going to the Gateway Tunnel to replace more than century-old infrastructure that New York and our nation’s economy rely on. That’s why I’ve fought for Gateway for so long.”
The proposal involves rehabilitation of the North River Tunnel, which opened in 1910 and is the only passenger rail tunnel connecting New York and New Jersey. It also calls for construction of an additional two-track tunnel between the Bergen Palisades in New Jersey and Manhattan, track modifications at Penn Station and other associated upgrades.
As part of the project, 5,000 affordable housing units will be constructed in Hudson Yards, according to U.S. Senators Bob Menendez and Cory Booker of New Jersey.
“This project will not only bolster the local and regional economies, but is also critical to ensuring that we have 21st century infrastructure to support national economic growth and competitiveness,” Menendez said in a press release.
The existing tunnel is used by roughly 200,000 passengers on weekdays and by more than 450 Amtrak and New Jersey Transit trains daily. Delays are frequent because the tunnel has reached train capacity, causing bottlenecks.
“[Any] closure affects not just the entire Northeast Corridor, but the entire country,” Transportation Secretary Pete Buttigieg said in a press release. “Today, we are proud to announce that the Hudson River Tunnel project is entering the engineering phase, moving us a huge step closer to finally revitalizing and expanding this century-old piece of American infrastructure.”
Hurricane Sandy severely damaged the tunnel when it was flooded with saltwater in 2012. The U.S. Department of Transportation said commuters were delayed more than 210 hours in 2020 because of maintenance issues.
The project will improve Amtrak and NJ Transit service and reliability, enhancing Amtrak service throughout the Northeast and supporting an estimated 72,000 direct and indirect jobs.
Construction requires workers to bore a trench under the river and lower preconstructed, sealed segments of concrete into the water. Once the new span is operational, the old tunnel will be closed for rehabilitation.
The overall project is expected to take about 10 years.
Work on the tunnel is a component of the larger Gateway Program, which seeks to expand and rebuild rail lines between New York City and Newark, New Jersey.
As part of its Capital Investment Grants program, the Federal Transit Administration authorized the Gateway Development Commission to move forward with utility relocations, real estate acquisitions, equipment purchases and design work.
“Entering the engineering phase puts this project on track to receive the substantial federal investments that will ensure the long-term reliability and resilience of the Northeast Corridor,” Booker said in a press release. “This is a crucial step forward in advancing regional connectivity, supporting economic growth, and enhancing the lives of millions of commuters.”
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