Chao: NY, NJ can come up with more money for Gateway rail tunnel project

Chao: NY, NJ can come up with more money for Gateway rail tunnel project
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Transportation Secretary Elaine ChaoElaine Lan ChaoMitch McConnell — the Republican Senate's invaluable engine The lifesaving difference between connected cars vs. self-driving cars Transportation secretary defends brother-in-law’s nomination to lead pension agency MORE told lawmakers on Tuesday that New York and New Jersey should come up with more funding for a multibillion-dollar rail project that would connect the two states.

Chao said during an appearance before the House Transportation and Infrastructure Committee that the $30 billion program, known as the Gateway Project, would take funds away from other transit efforts across the United States.

“It’s going to take money from every other transit project in America,” Chao said.

“New York and New Jersey can come up with larger than zero or 5 percent,” she added.

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New York and New Jersey lawmakers are pushing for answers after the administration backed away from the program, which is aimed at rebuilding passenger rail connections under the Hudson River between Manhattan and Newark, N.J.

President TrumpDonald John TrumpFamily immigration detention centers could be at capacity within days: report Trump likely to meet with Putin in July: report DOJ requests military lawyers to help prosecute immigration crimes: report MORE last week reportedly pressed Speaker Ryan (R-Wis.) to withhold funding for Gateway, which has been a crucial focus for lawmakers from New York and New Jersey, including Senate Minority Leader Charles SchumerCharles (Chuck) Ellis SchumerDemocrats' education agenda would jeopardize state-level success Overnight Health Care — Presented by the Association of American Medical Colleges — Trump officials move to expand non-ObamaCare health plans | 'Zero tolerance' policy stirs fears in health community | New ObamaCare repeal plan Selling government assets would be a responsible move in infrastructure deal MORE (D-N.Y.).

Last summer, the Trump administration withdrew from the program’s board. 

And the Federal Transit Administration in a December letter denied the presence of an agreement that says the federal government would split the cost of the project with New Jersey and New York.

Rep. Donald Payne Jr.Donald Milford Payne Jr.Chao confirms Trump pushing Ryan to withhold Gateway project funding Chao: NY, NJ can come up with more money for Gateway rail tunnel project Dems to DHS head: Splitting up families is ‘cruel’ MORE (D-N.J.) on Tuesday pressed Chao on the states’ commitment to providing half of the funds for the project. But the secretary denied the existence of any documentation for such an accord, saying that New Jersey and New York are seeking to finance the program using loans from the federal government.

“There’s no commitment. There’s no document. There’s no pending application,” Chao told the New Jersey lawmaker, who urged the secretary to “look at the facts” about the project.

The administration would “be more than pleased to look at” any proposal from the states should they submit it in writing, Chao said.

“The misinformation on this project has been stunning,” said Chao.