"MANHATTAN - THE GATEWAY COMMISSION SUED the U.S. Department of Transportation, alleging the agency is withholding $205,275,358 in contractually required payments for the $16 billion Hudson River rail tunnel project and forcing a potential work stoppage Feb. 6 that could cost about 1,000 jobs, reports The case, filed in the U.S. Court of Federal Claims, comes as the Gateway Development Commission warns its credit line is exhausted and contractors may be unable to keep building sites active on both sides of the river."
"Gov. Kathy Hochul called the threatened shutdown a "brazen act of political retribution." A separate suit by New York Attorney General Letitia James and New Jersey Acting Attorney General Jennifer Davenport seeks to restart federal funding. The existing century-old tunnel, damaged during Hurricane Sandy in 2012, carries more than 200,000 commuters daily; litigation now sets the next timetable."
The Gateway Development Commission sued the U.S. Department of Transportation for withholding $205,275,358 in contractually required payments for the $16 billion Hudson River rail tunnel project. The suit says the withholding could force a work stoppage on Feb. 6 and threaten about 1,000 jobs. The commission warns its credit line is exhausted and contractors may be unable to keep sites active on both sides of the river. New York and New Jersey attorneys general filed a separate suit seeking to restart federal funding. The century-old tunnel, damaged during Hurricane Sandy in 2012, carries over 200,000 commuters daily; litigation will determine project timing.
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