Gateway Development Commission awards $466M contract for tunneling between NY, NJ
The Gateway Development Commission awarded a $465.6 million contract Thursday, the first tunneling contract of the decade-plus, $16 billion program to build a new two-tube rail tunnel between Manhattan and North Bergen and repair the old one.
The contract was awarded to the joint venture of Secaucus-based construction company Schiavone, New York-based Dragados USA, and Lane Construction Corp., which has a regional headquarters in New Rochelle, New York.
They were among five firms qualified by the GDC’s procurement team to bid on the project. Bids were received in June.
“It marks the single largest contract [to date] … and it is the most complex to date. This is the start of our major tunneling activity,” said Kris Kolluri, CEO and president of the GDC.
A tunnel boring machine like one of the two that will be used to drill through the Palisades rock in order to construct a 5,100-foot, two-tube tunnel in Hudson County, as part of the first phase of the Gateway program. Construction on that phase of the program is expected to begin in summer 2024 and end in spring 2027.
The team will use two new tunnel boring machines to drill through the Palisades in order to construct a 5,100-foot, two-tube tunnel between the Tonnelle Avenue project site and a ventilation shaft in Hudson County before the riverbed. The two tubes will have six corridors that connect them in case there’s an emergency in one tube, so passengers can walk to the other tube. Construction will begin this summer and will continue through spring 2027.
This is the fourth of nine construction projects that will be awarded by the GDC during the duration of the program, with new tunnel construction expected to wrap up in 2035 and rehabilitation of the old two-tube tunnel expected in 2038.
A tunnel boring machine like one of the two that will be used to drill through the Palisades rock in order to construct a 5,100-foot, two-tube tunnel in Hudson County, as part of the first phase of the Gateway program. Construction on that phase of the program is expected to begin in summer 2024 and end in spring 2027.
Earlier: Gateway rail tunnel reaches ‘point of no return’ with $6.9 billion check
Kolluri to stay amid transition
Kolluri, who last month announced his decision to exit the role of CEO, said he will stay on through mid-October to help the board and the GDC team make the transition into the construction phase.
“When I turned in my resignation, I did so only because I believed it was the right time for me to leave,” said Kolluri, who added that his team spent the last two years developing the governance framework for the young bistate agency, getting early construction started, and reaching a funding agreement with the U.S. Department of Transportation.
“The fact that I can help as I promised during this transition to make sure it’s a smooth transition and a transition that’s reflective of GDC’s best values,” Kolluri said, “which is we always watch out for each other and make sure that ultimately nothing ever happens to this project or this organization.”
Kris Kolluri, CEO of the Gateway Development Commission (GDC), speaks during a board meeting with the GDC commissioners at NJ Transit headquarters in Newark on Tuesday, May 2, 2023.
Balpreet Grewal-Virk, who co-chairs the GDC board, thanked Kolluri for his work the last two years and for agreeing to stay on.
“We are grateful he’ll be here as we complete the transition from planning to building, and we look forward to welcoming a new CEO in the near future to complete that work,” Grewal-Virk said.
This article originally appeared on NorthJersey.com: Gateway project tunneling contract awarded
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