A federal appeals court delivered a setback to the Trump administration on Wednesday, denying its effort to overturn a judicial order mandating continued funding for New York’s massive Hudson Tunnel project.
The three-member panel from the Second U.S. Circuit Court of Appeals determined that lifting the lower court’s temporary restraining order while an appeal proceeds would allow the Transportation Department to halt future funding payments. The judges warned this could lead to construction work stopping, creating “serious risk of injury and deterioration that the states, at considerable expense, will become responsible to safeguard against.”
The dispute centers on the $16 billion Hudson Tunnel infrastructure project, with the court’s decision ensuring payments to the overseeing authority will continue for now.
