The expected Trump administration freeze of some $18 billion earmarked for local infrastructure projects in New York City has brought all of that to a halt. Russell Vought, Director of the Office of Management and Budget, made the announcement. This announcement appropriately fell on the first day of a totally preventable U.S. government shutdown. Federal Congress’s failure to pass the required stopgap funding bills is the trigger for all shutdowns. These combined bills would have extended stable funding to federal agencies and critical services like Veterans Affairs for at least seven weeks.
Vought first announced the funding freeze on social media platform X. This freeze is aimed directly at the Hudson River Tunnel Project and the Second Avenue Subway project. The Hudson River Tunnel Project—formally known as the Gateway Program—would improve transit links between New York and New Jersey. The city’s Second Avenue Subway project is all about extending privileged Manhattan’s subway system.
The decision to freeze the allocation is meant to stop the funding from going out during the current budget impasse. Vought emphasized the administration’s commitment to ensuring that funds are not distributed under what he described as “flowing based on unconstitutional DEI principles.” His remarks are indicative of the overall stance the Trump administration has taken with regards to federal funding priorities.
Vought’s replies to budget proposal criticism, including from heavy hitters like Elon Musk. Needless to say, this was welcome news indeed. They announced it like this, saying, “Stay tuned for more @ USDOT,” taking complete ownership over the infrastructure funding.
This funding freeze has dire consequences for New York City. These larger infrastructure projects are crucial to moving people and goods more efficiently and safely and spurring our nation’s economic prosperity in the process. The freeze may grind to a halt many important efforts. These projects are immensely important to relieving congestion and improving travel times in one of the nation’s busiest metro areas.