Construction of a new tunnel under the Hudson River and much-needed repairs and modernization efforts for the Portal North Bridge will begin after New Jersey, New York, and the Port Authority of New York and New Jersey (PANYNJ) came to an agreement on funding and planning.
“Today marks a pivotal milestone toward the completion of the most significant transportation project not just in New Jersey, but in the entire United States,” said Gov. Phil Murphy.
Murphy and New York Gov. Kathy Hochul signed the Phase One Memorandum of Understanding (MOE) as required by the Gateway Development Commission Act July 5. PANYNJ Executive Director Rick Cotton signed the MOU, as well.
Regional Partnership
“The Gateway Project reflects the importance of New Jersey’s regional partnerships and its alignment with the Biden Administration’s infrastructure and transportation priorities. As we proceed with construction of a new tunnel under the Hudson River, we advance one step closer toward a New Jersey that is better connected and better positioned to reap the full economic benefits of our status as a regional crossroads,” said Murphy.
“By signing the Phase One Memorandum of Understanding, we are establishing the framework to get this project over the finish line and are making good on our promise to modernize the state’s transportation infrastructure and create a mass transit system worthy of New Yorkers,” said Hochul.
Gottheimer Praise BIB’s Use
Rep. Josh Gottheimer celebrated the Bipartisan Infrastructure Bill (BIB) as a key component of funding for the projects, saying the goal of the Problem Solvers Caucus was, in part, to move infrastructure projects forward.
“With the major federal resources we secured for the Gateway Project through the Bipartisan Infrastructure Bill, and with agreement between New Jersey and New York, we will finally replace the century-old tunnels beneath the Hudson River, improve commutes and safety, create new jobs, and boost our local economy,” he said.
Funding Breakdown
Menendez credited the infrastructure bill, saying it would bring vital federal funding to get the project done.
“I have fought adamantly against Republican obstructionists who have attempted to hamstring this critical infrastructure project. I will continue working with our state and federal leaders, as well as other stakeholders, to ensure the Gateway Project is completed and every commuter in the region has access to safe, reliable transportation,” he said.
Phase One of the Gateway Program will be funded through a combination of federal and local sources, with PANYNJ providing $2.7 billion overall. Federal funding for the Portal North Bridge covered about 60% of the total cost, with New York and New Jersey each putting forward $386.2 million to make up the remainder.
Larger Plan
The agreement comes just weeks after both governors announced that the Metropolitan Transportation Authority, in partnership with Amtrak and NJ Transit, is requesting proposals from architecture and engineering firms to guide the New York Penn Station Reconstruction to better serve commuters when Gateway is completed.
“Daily commuters, occasional visitors—regardless of which direction they are traveling—deserve a Penn Station that is inviting and comfortable,” Murphy said on that day. “They deserve better than the continually cramped and constantly muggy halls and claustrophobic, low-slung ceilings; they deserve better than the current maze of walkways that deserve their own page on Google Maps.”
“Real Progress”
The states intended to split the local share of the Hudson Tunnel Project in a similar 50-50 manner, and all groups intended to work with partners and federal entities to aggressively pursue greater federal sources of funding via the BIB.
“The signing of this MOU marks an important step forward in making the nation’s most vital and impactful rail project a reality,” said Cotton. “We are delighted to see real progress being made toward a better, more reliable travel experience for rail customers throughout our region.”
“Today’s announcement is real progress in our fight to get the Gateway Project done — we cannot afford to delay,” Gottheimer concluded.
