Hudson Tunnel Project (Gateway Program)
Builds a new Hudson River rail tunnel (opening targeted 2035) and rehabilitates the century-old existing tunnel (targeted complete 2038), doubling passenger-rail tunnel capacity between New Jersey and Manhattan. In October 2025 the federal Office of Management and Budget withheld funding for this project (along with Second Avenue Subway Phase 2), citing objections to "DEI principles"; work was briefly suspended February 2–6, 2026 before $235 million in unfrozen funds allowed full resumption on February 24, 2026.
- Agency
- Gateway Development Commission (bi-state NY/NJ authority)Official site ↗
- Total Budget
- $16 billion. Roughly 70% (~$12B) is federal grants/loans; the remainder is funded by NY, NJ, and Port Authority repayment of USDOT Build America Bureau loans. Every reported cost figure →
- Status
- Under construction — 7 of 10 construction packages in progress or complete
- Location
- ~10-mile stretch of the Northeast Corridor between Newark, NJ and NY Penn Station, including a new 2-tube tunnel under the Hudson River and rehabilitation of the 115-year-old existing North River Tunnel
- Total Budget
- $16 billion
- Corridor Length
- ~10 miles
- Federal Share
- ~$12 billion (70%)
- Construction Packages Underway/Complete
- 7 of 10
- Existing Tunnel Age
- 115 years
- Package 1C Contract (Skanska-Walsh-Traylor)
- $1.29 billion
This is a bi-state federal/interstate commission project, not subject to standard NYC Department of Buildings permitting the way private construction is — so it doesn't and won't appear in DOB Job Application Filings or DOB Permit Issuance, the two datasets the rest of this site is built on. That's why it's tracked here by hand instead of pulled live like everything else on Constructel NYC.
Who's Building It
3 contracts named in reporting, 8 firms including the owner, 1 with a disclosed contract value. Each firm links to its own profile — every project it's on, and its DOB permit history where one exists under its name. Joint ventures are shown as reported, with each partner linked.
Skanska / Walsh / Traylor joint venture
Package 1C, Hudson River Tunnel section
$1.29 billion (Skanska's reported share: $363 million)
Skanska USA is also on Second Avenue Subway Phase 2, Penn Station Reconstruction (New York Penn Station Transformation)
Walsh Construction is also on Second Avenue Subway Phase 2
Traylor Bros. is also on Second Avenue Subway Phase 2
Source →Halmar International / FCC Construction joint venture
Package 1A, Palisades Tunnel
Halmar International is also on Second Avenue Subway Phase 2, Penn Station Reconstruction (New York Penn Station Transformation)
FCC Construction is also on Second Avenue Subway Phase 2
Source →J.F. Shea / Kiewit joint venture
Package 1B, Manhattan Tunnel
Source →
Phases
Click a phase for its full detail.
0 of 3 phases complete
Package 1A — Palisades Tunnel
UnderwayAwarded to Halmar International / FCC Construction joint venture ("Gateway Tunnel Contractors").
Same Firms, Other Projects
Other tracked landmark projects, towers and conversions sharing at least one firm with Hudson Tunnel Project (Gateway Program).
- Second Avenue Subway Phase 2Landmark Infrastructure
Shared firms: Halmar International, FCC Construction, Skanska USA, Traylor Bros., Walsh Construction
- Penn Station Reconstruction (New York Penn Station Transformation)Landmark Infrastructure
Shared firms: Halmar International, Skanska USA
News & Announcements
- Gateway Hudson Tunnel Work Resumes Even as Funding Uncertainty Mounts
Engineering News-Record · 2026-02
- Hudson Tunnel faces Feb. 6 work stoppage if funding halt continues
Construction Dive · 2026-02
- Skanska constructs Hudson Tunnel Project Package 1C in New York, USA, for USD 363M
Skanska (official press release) · 2026
Frequently Asked
- Who is building Hudson Tunnel Project (Gateway Program)?
- Firms named in sourced reporting: Skanska / Walsh / Traylor joint venture — Package 1C, Hudson River Tunnel section; Halmar International / FCC Construction joint venture — Package 1A, Palisades Tunnel; J.F. Shea / Kiewit joint venture — Package 1B, Manhattan Tunnel.
- How much does Hudson Tunnel Project (Gateway Program) cost?
- $16 billion. Roughly 70% (~$12B) is federal grants/loans; the remainder is funded by NY, NJ, and Port Authority repayment of USDOT Build America Bureau loans..
- What is the status of Hudson Tunnel Project (Gateway Program)?
- Under construction — 7 of 10 construction packages in progress or complete.
- Who oversees Hudson Tunnel Project (Gateway Program)?
- Gateway Development Commission (bi-state NY/NJ authority).
- Where is Hudson Tunnel Project (Gateway Program)?
- ~10-mile stretch of the Northeast Corridor between Newark, NJ and NY Penn Station, including a new 2-tube tunnel under the Hudson River and rehabilitation of the 115-year-old existing North River Tunnel