The Trump administration announced that it is taking over the reconstruction of New York City’s Penn Station.
Transportation Secretary Sean Duffy explained that Amtrak will lead the effort. The Federal Railroad Administration (FRA) pulled the Metropolitan Transportation Authority (MTA) from the project and further slashed a federal grant to Amtrak, saving taxpayers an estimated $120 million.
“President Trump has made it clear: the days of reckless spending and blank checks are over,” Duffy said in a statement. “New York City deserves a Penn Station that reflects America’s greatness and is safe and clean. The MTA’s history of inefficiency, waste, and mismanagement also meant that a new approach is needed. By putting taxpayers first, we’re ensuring every dollar is spent wisely to create a transit hub all Americans can take pride in.”
New York Governor Kathy Hochul (D) called the Trump administration’s takeover of the project a “major victory.”
“In multiple meetings with President Trump, I requested that the federal government fund the long-overdue overhaul of Penn Station,” Hochul said. “Clearly that effort has been successful, and 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. 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.”
FRA Chief Counsel Kyle Fields said the development serves as a means of “restoring accountability to infrastructure projects.”
“By empowering Amtrak and leveraging private investment, we’re guaranteeing a Penn Station that’s safer, more reliable, and built to serve the American people for generations,” Fields said.