By David Shepardson
WASHINGTON (Reuters) -The federal government is withholding $18 billion for the Hudson Tunnel reconstruction project and Second Avenue Subway, two of New York City's biggest construction projects,
the White House budget chief said on Wednesday.
Senate Democratic Leader Chuck Schumer has been a strong proponent of both projects and is leading Democratic opposition to the Trump plan to continue government funding. The timing comes hours after a partial government shutdown.
"Roughly $18 billion in New York City infrastructure projects have been put on hold to ensure funding is not flowing based on unconstitutional DEI principles," said White House Office of Management and Budget director Russ Vought on X referring to diversity, equity and inclusion efforts.
The $17.2 billion Hudson River tunnel project -- which received more than $11 billion in federal grants -- is repairing an existing tunnel, and building a new one for passenger railroad Amtrak and state commuter lines between New Jersey and Manhattan.
Any failure of the lines in the current Hudson tunnel, which was heavily damaged during 2012's Superstorm Sandy, would hobble commuting in the metropolitan area that produces 10% of the country's economic output.
The Biden administration awarded $3.4 billion for the Second Avenue Subway project that extends the line to provide improved transit service to Harlem.
(Reporting by Doina Chiacu; Editing by Chizu Nomiyama and Chris Sanders)
