The U.S. Transportation Department has filed an appeal against an appeals court ruling that upheld a judge’s order to resume payments for the $16 billion Hudson Tunnel Project, a critical commuter rail link between Manhattan and New Jersey.
The project, which includes construction of a new tunnel and repairs to the century-old North River Tunnel, serves more than 200,000 daily travelers and 425 trains. Federal funding was halted on October 1 following a partial government shutdown, prompting legal action.
In February, a U.S. judge ordered the resumption of grant payments. An appeals court rejected the Trump administration’s bid to block the payments on Wednesday. The administration filed its latest appeal on Friday, August 28, seeking to overturn the ruling and maintain the funding freeze.
The dispute centers on the administration’s decision to withhold grant funds, citing the partial shutdown as justification. Congressional Democrats have previously criticized the move as an attempt to undermine the project’s progress.













