NEW YORK (AP) — A federal judge ordered the Trump administration to restore funding to a new rail tunnel between New York and New Jersey on Friday, ruling just as construction was set to shut down on the massive infrastructure project.
The decision came months after the administration announced it was halting $16 billion in support for the project, citing the then-government shutdown and what a top federal budget official said were concerns about unconstitutional spending around diversity, equity and inclusion principles.
U.S. District Judge Jeannette A. Vargas in Manhattan approved a request by New York and New Jersey for a temporary restraining order barring the administration from withholding the funds while the states seek a preliminary injunction that would keep the money flowing while their lawsuit plays out in court.
“The Court is also persuaded that Plaintiffs would suffer irreparable harm in the absence of an injunction,” the judge wrote. “Plaintiffs have adequately shown that the public interest would be harmed by a delay in a critical infrastructure project.”
The White House and U.S. Department of Transportation did not immediately respond to emails seeking comment Friday night.
New York Attorney General Letitia James called the ruling “a critical victory for workers and commuters in New York and New Jersey.”
“I am grateful the court acted quickly to block this senseless funding freeze, which threatened to derail a project our entire region depends on,” James said in a statement. “The Hudson Tunnel Project is one of the most important infrastructure projects in the nation, and we will keep fighting to ensure construction can continue without unnecessary federal interference.”
The panel overseeing the project, the Gateway Development Commission, had said work would stop late Friday afternoon because of the federal funding freeze, resulting in the immediate loss of about 1,000 jobs as well as thousands of additional jobs in the future.
It was not immediately clear when work would resume. In a nighttime statement, the commission said: “As soon as funds are released, we will work quickly to restart site operations and get our workers back on the job.”
The new tunnel is meant to ease strain on an existing, over 110-year-old tunnel that connects New York and New Jersey for Amtrak and commuter trains, where delays can lead to backups up and down the East Coast.
New York and New Jersey sued over the funding pause this week, as did the Gateway Development Commission, moving to restore the Trump administration's support.
The suspension was seen as way for the Trump administration to put pressure on Democratic Senate Minority Leader Chuck Schumer of New York, whom the White House was blaming for a government shutdown last year. The shutdown was resolved a few weeks later.
Speaking to the media on Air Force One, Trump was asked about reports that he would unfreeze funding for the tunnel project if Schumer would agree to a plan to rename Penn Station in New York and Dulles International Airport in Virginia after Trump.
“Chuck Schumer suggested that to me, about changing the name of Penn Station to Trump Station. Dulles Airport is really separate,” Trump responded.
Schumer responded on social media: “Absolute lie. He knows it. Everyone knows it. Only one man can restart the project and he can restart it with the snap of his fingers.”
At a hearing in the states' lawsuit earlier in Manhattan, Shankar Duraiswamy, of the New Jersey attorney general’s office, told the judge that the states need “urgent relief” because of the harm and costs that will occur if the project is stopped.
“There is literally a massive hole in the earth in North Bergen,” he said, referring to the New Jersey city and claiming that abandoning the sites, even temporarily, “would pose a substantial safety and public health threat.”
Duraiswamy said the problem with shutting down now is that even a short stoppage would cause longer delays because workers will be laid off and go off to other jobs and it’ll be hard to quickly remobilize if funding becomes available. And, he added, “any long-term suspension of funding could torpedo the project.”
Tara Schwartz, an assistant U.S. attorney arguing for the government, disagreed with the “parade of horribles” described by attorneys for the states.
She noted that the states had not even made clear how long the sites could be maintained by the Gateway Development Commission. So the judge asked Duraiswamy, and he said they could maintain the sites for a few weeks and possibly a few months, but that the states would continue to suffer irreparable harm because trains would continue to run late because they rely on an outdated tunnel.
Collins reported from Hartford, Connecticut.
FILE - A tunnel is under construction in Manhattan that will connect New York and New Jersey Oct. 2, 2025, in New York. (AP Photo/Ted Shaffrey, File)
COLORADO SPRINGS, Colo. (AP) — A Colorado funeral home owner who stashed 189 decomposing bodies in a building over four years and gave grieving families fake ashes was sentenced to 40 years in state prison Friday.
During the sentencing hearing, family members told Judge Eric Bentley they have had recurring nightmares about decomposing flesh and maggots since learning what happened to their loved ones.
They called defendant Jon Hallford a “monster” and urged the judge to give him the maximum sentence of 50 years.
Bentley told Hallford he caused “unspeakable and incomprehensible” harm.
“It is my personal belief that every one of us, every human being, is basically good at the core, but we live in a world that tests that belief every day, and Mr. Hallford your crimes are testing that belief,” Bentley said.
Hallford apologized before his sentencing and said he would regret his actions for the rest of his life.
“I had so many chances to put a stop to everything and walk away, but I did not,” he said. “My mistakes will echo for a generation. Everything I did was wrong.”
Hallford’s attorney unsuccessfully sought a 30 year sentence, arguing that it was not a crime of violence and he had no prior criminal record.
His former wife, Carie Hallford, who co-owned the Return to Nature Funeral Home, is due to be sentenced April 24. She faces 25 to 35 years in prison.
Both pleaded guilty in December to nearly 200 counts of corpse abuse under an agreement with prosecutors.
During the years they were stashing bodies, the Hallfords spent lavishly, according to court documents. That included purchasing a GMC Yukon and an Infiniti worth over $120,000 combined, along with $31,000 in cryptocurrency, pricey goods from stores like Gucci and Tiffany & Co. and laser body sculpting.
“Clearly this is a crime motivated by greed,” prosecutor Shelby Crow said. The Hallfords charged more than $1,200 per customer, and the money the couple spent on luxury items would have covered the cost to cremate all of the bodies many times over, Crow said.
The Hallfords also pleaded guilty to federal fraud charges after prosecutors said they cheated the government out of nearly $900,000 in pandemic-era small business aid. Jon Hallford was sentenced to 20 years in prison in that case, and Carie Hallford’s sentencing is pending.
A plea agreement in the corpse abuse case calls for the state prison sentence to be served concurrently with the federal sentence.
One of the family members who spoke at the hearing was Kelly Mackeen, whose mother's remains were handled by Return to Nature.
“I’m a daughter whose mother was treated like yesterday’s trash and dumped in a site left to rot with hundreds of others,” Mackeen said. “I’m heartbroken, and I ask God every day for grace.”
As she and others spoke of their grief, Jon Hallford sat at a table to their right, wearing orange jail attire and looking directly ahead. The courtroom’s wooden benches were full of relatives of the deceased and also journalists.
The Hallfords stored the bodies in a building in the small town of Penrose, south of Colorado Springs, from 2019 until 2023, when investigators responded to reports of a stench from the building.
Bodies were found throughout the building, some stacked on top of each other, with swarms of bugs and decomposition fluid covering the floors, investigators said. The remains — including adults, infants and fetuses — were stored at room temperature.
The bodies were identified over months with fingerprints, DNA and other methods.
Investigators believe the Hallfords gave families dry concrete that resembled ashes.
After families learned that what they received and then spread or kept at home were not actually their loved ones' remains, many said it undid their grieving process, while others had nightmares and struggled with guilt.
One of the recovered bodies was that of a former Army sergeant first class who was thought to have been buried at a veterans’ cemetery, FBI agent Andrew Cohen said.
When investigators exhumed the wooden casket at the cemetery, they found the remains of a person of a different gender inside, he said. The veteran, who was not identified in court, was later given a funeral with full military honors at Pikes Peak National Cemetery.
The corpse abuse revelations spurred changes to Colorado's lax funeral home regulations.
The AP previously reported that the Hallfords missed tax payments, were evicted from one of their properties and were sued for unpaid bills, according to public records and interviews with people who worked with them.
In a rare decision last year, Judge Bentley rejected previous plea agreements between the Hallfords and prosecutors that called for up to 20 years in prison. Family members of the deceased said the agreements were too lenient.
Brown reported from Billings, Montana.
Angelika Stedman, who hired Return to Nature funeral home to cremate her daughter, speaks to a reporter outside of the El Paso County Courthouse in Colorado Springs, Colo., Friday, Feb. 6, 2026, ahead of the sentencing owner Jon Hallford. (AP Photo/Thomas Peipert)
Derrick Johnson, whose mother's body was one of 189 left to decay in the Return to Nature Funeral Home in Penrose, Colo., walks toward the El Paso County Courthouse for owner Jon Hallford's sentencing in Colorado Springs, Colo., Friday, Feb. 6, 2026. (AP Photo/Thomas Peipert)
Crystina Page, left, hugs Angelika Stedman outside of the El Paso County Courthouse in Colorado Springs, Colo., Friday, Feb. 6, 2026, ahead of the sentencing of Return to Nature funeral home owner Jon Hallford. (AP Photo/Thomas Peipert)
FILE - Fremont County coroner Randy Keller, center, and other authorities survey the area where they plan to put up tents at the Return to Nature Funeral Home where over 100 bodies have been improperly stored, Oct. 7, 2023, in Penrose, Colo. (Parker Seibold/The Gazette via AP, File)
FILE - Chrystina Page, right, holds back Heather De Wolf, as she yells at Jon Hallford, left, the owner of Back to Nature Funeral Home, as he leaves with his lawyers following a preliminary hearing, Feb. 8, 2024, outside the El Paso County Judicial Building, in Colorado Springs, Colo. (Christian Murdock/The Gazette via AP, File)
