The Trump administration is taking the helm of the $7 billion dollar makeover of New York's Pennsylvania Station, booting the Metropolitan Transportation Authority as the original leader of the project.
US Department of Transportation Secretary Sean Duffy announced Thursday that the Federal Railroad Administration will replace the MTA with Amtrak, the owner of the train station. Duffy is slashing the federal grant to Amtrak for project development, which the department says will save $120 million, according to a press release.
In a statement, New York Gov. Kathy Hochul applauded the move, saying she had asked Trump in multiple meetings to fund the overhaul of Penn Station.
"I want to thank the president and Secretary Duffy for taking on the sole responsibility to deliver the beautiful new $7 billion station that New Yorkers deserve," Hochul said in an emailed statement. "This is a major victory for New Yorkers, and the use of federal funds will save New York taxpayers $1.3 billion dollars that would have otherwise been necessary for this project."
It comes as President Donald Trump and Duffy are in the throes of a heated legal battle with the leaders of New York City's mass transit system and Hochul over a controversial congestion pricing program. The MTA faces an April 20 deadline from the Trump administration to
Duffy has also threatened to withhold federal funding from the MTA if officials don't comply with a request for information on transit crime. The MTA has responded with details about its strategy to reduce crime.
"President Trump has made it clear: the days of reckless spending and blank checks are over," said Duffy in the release. "The MTA's history of inefficiency, waste, and mismanagement also meant that a new approach is needed."
The mission to transform Penn Station was revised by Hochul in 2021 after her predecessor Andrew Cuomo launched the plan. The
In addition to the MTA's Long Island Rail Road, the station serves Amtrak and New Jersey Transit trains.
FRA's Chief Counsel Kyle Fields penned a letter dated April 17 to MTA Chief Executive Officer Janno Lieber notifying the agency of the decision to reshuffle the project plans, determining that "the necessary planning and reconstruction and expansion of Penn Station will be conducted under a single grant, led by Amtrak."
Lieber touted the MTA's recent capital improvements, saying in a statement that the MTA renovated Penn Station's 33rd Street Concourse on time and under budget. He anticipates the MTA will remain involved with Penn Station's overhaul.
"Over a hundred million MTA customers – two-thirds of Penn Station's total ridership – use the facility every year," Lieber said in an emailed statement. "As the major leaseholder in the station, we expect to participate in the administration's and Amtrak's efforts to ensure future plans meet the needs of everyone who uses it."
