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As part of a $2.2 billion round of funding through the Bipartisan Infrastructure Law, a $25 million grant was awarded for the Tonnelle Avenue Bridge and Utility Relocation Project — an early, key component of the Hudson Tunnel Project and the broader Gateway Program.

The grant comes via the Rebuilding American Infrastructure with Sustainability and Equity (RAISE) grant program, which is aimed at funding and completing critical freight and passenger transportation infrastructure projects.

“Using the funds in President [Joe] Biden’s infrastructure law, we are helping communities in every state across the country realize their visions for new infrastructure projects,” said U.S. Transportation Secretary Pete Buttigieg. “This round of RAISE grants is helping a new generation of good-paying jobs in rural and urban communities alike, with projects whose benefits will include improving safety, fighting climate change, advancing equity, strengthening our supply chain, and more.”

The project, which will build an overpass and move necessary utilities to carry Tonnelle Avenue in North Bergen over the alignment of the new Hudson River Tunnel, will commence this year and is expected to take roughly two years to complete. It will be the first early work in New Jersey for the new Hudson Tunnel.

“With this $25 million grant award from U.S. DOT, the Tonnelle Avenue Gateway early work project will happen. Before this year is out, there will be shovels in the ground on this project and on the Hudson Yards Concrete Casing Section 3, so work will be underway on the Hudson Tunnel Project in both New Jersey and New York,” said Gateway Development Commission (GDC)’s Balpreet Grewal-Virk, New Jersey commissioner and co-chair; Alicia Glen, New York commissioner and co-chair; and Tony Coscia, vice-chair and Amtrak commissioner, in a joint statement. “Gateway is moving rapidly from planning to reality. The award shows confidence in GDC’s growth and capability to receive federal funding, and we are grateful to the Biden Administration, U.S. DOT, Majority Leader [Charles] Schumer (D-N.Y.), our congressional allies, and our governors for that confidence, and for putting real money behind their support.”

Sen. Bob Menendez, a Democrat, described the announcement as exciting news heading into the summer construction season.

“I have advocated for this project for more than a decade and this significant infusion of funding will help ensure that the project continues to move forward without delay,” he said. “The Gateway Tunnel is vital to the region’s economy and is creating hundreds of union construction jobs. I applaud the DOT for prioritizing this critical infrastructure project.”

“Progress is accelerating on the largest critical infrastructure project in the United States,” said U.S. Rep. Rob Menendez, D-8th District. “I look forward to continuing our work to support this transformative investment in our residents, commuters, and workers.”

This announcement marks continued momentum for the project, which NJBIZ has detailed in recent weeks and months.