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Trump freezes $18bn in NYC transit funding

6/10/2025, 14:02

Donald Trump. Image courtesy of Pixabay

Two major NYC transit projects are in limbo after the Trump administration halted federal funding, citing “discriminatory” minority business programs.

The Trump administration has frozen $18 billion for two New York infrastructure projects, the $16bn Hudson Tunnels and $2bn 2nd Avenue Subway, citing concerns that Disadvantaged Business Enterprise (DBE) programs are “discriminatory”, GCR reports.

Transportation Secretary Sean Duffy’s department is reviewing programs designed to include minority- and women-owned businesses in federal contracts, following a new rule barring “race- and sex-based contracting requirements.”

The Hudson Tunnels project would replace 115-year-old rail tunnels under the Hudson River that cause delays two-thirds of days. The subway extension would add three stations in East Harlem.

New York Governor Kathy Hochul called it “political payback,” while New Jersey Congressman Frank Pallone accused Trump of waging a “fabricated culture war” that threatens commuters and the regional economy.