GDC announces execution of $3.8bn grant for HTP

Together with the $800M in New Starts Capital Investment Grant (CIG) Program funding that has already been obligated, GDC now has $2.7bn in grant funds immediately available for construction of the HTP.  In addition to the above amounts, the local share of the Hudson Tunnel Project comprising $4bn is available to advance construction.

The HTP includes construction of two, 7.2km long tracks via twin tunnels of 3.8km length each, as well as repairing Amtrak’s existing North River Tunnel, which opened in 1910 and was damaged during Hurricane Sandy in 2012.

In a joint statement, Alicia Glen, New York GDC Commissioner and Co-Chair, Balpreet Grewal-Virk, New Jersey GDC Commissioner and Co-Chair, and Tony Coscia, GDC Amtrak Commissioner and Vice Chair, said, “The HTP is already starting to bring huge economic benefits to the Northeast and the nation as a whole, starting with the jobs and economic activity resulting from GDC’s direct spending during construction. While we have had the full funding for the HTP committed for months, today we received one of the first major infusions of funds that enables us to turn these commitments into reality. With nearly $3bn in the bank, the full economic impact of this massive project is beginning to be felt.”

GDC CEO Kris Kolluri said, “The entire $16bn funding commitment we need to complete the HTP has been secure since GDC signed our Full Funding Grant Agreement this summer. With this dramatic infusion of immediately available cash, GDC is well-prepared to execute the next phase of major construction, and continue moving forward with confidence as we ramp up and prepare to begin tunnel boring activity next year.”

The FSP Grant Program was established by the Infrastructure Investment and Jobs Act (IIJA) to fund capital projects that reduce the state of good repair backlog, improve performance, or expand or establish new intercity passenger rail service. GDC applied for an FSP Grant in March 2023 and all $3.8bn requested was committed in November 2023.

This grant is part of the historic $12bn in federal funding to the HTP – the largest federal funding commitment to a rail transportation project in modern history. This federal commitment will cover 70 percent of the HTP’s cost, saving New York and New Jersey billions compared to the original plan to split costs 50-50 between the federal and local partners.

GDC has also made significant progress on construction of the HTP since securing full funding for the project in July. Construction crews recently poured the first concrete for the new tunnel at the Tonnelle Avenue Bridge and Utility Relocation Project in North Bergen, New Jersey, and work is underway on Phase 2 of the Hudson River Ground Stabilization (HRGS) Project, which is preparing the Hudson riverbed for tunnel boring.

The Gateway Program is the most urgent major infrastructure program in the country – a comprehensive set of rail investments that will improve commuter and intercity services, add needed resiliency, and create new capacity for the busiest section of the Northeast Corridor (NEC). The NEC is the most heavily used passenger rail line in the country hosting more than 2,200 train movements and 800,000 passenger trips daily.

In line with GDC’s commitment to transparency and public engagement, the Commission last month installed an EarthCam at the Hudson Yards Concrete Casing – Section 3 (HYCC-3) site on Manhattan’s west side. Every day, a new panoramic image of the HYCC-3 construction site is available on the GDC website. A separate EarthCam has captured daily photos of the Tonnelle Avenue Project construction site since April.

The Gateway Program is the most urgent major infrastructure program in the country – a comprehensive set of rail investments that will improve commuter and intercity services, add needed resiliency, and create new capacity for the busiest section of the Northeast Corridor (NEC). The NEC is the most heavily used passenger rail line in the country hosting more than 2,200 train movements and 800,000 passenger trips daily.