Federal government takes control of Penn Station renovation

Feds take over $7B Penn Station project from MTA

The federal government is taking full control of the $7 billion Penn Station reconstruction project, removing the MTA from its leadership role. U.S. Transportation Secretary Sean Duffy says Amtrak and the Department of Transportation will now oversee the long-delayed overhaul, which is expected to save taxpayers $120 million. Governor Kathy Hochul praised the move, calling it a win for New York taxpayers. MTA officials say they still expect to be part of the planning process. FOX 5’s Jessica Formoso reports from Penn Station.

NEW YORK - President Donald Trump's administration is taking control of the $7 billion reconstruction project for New York City's busy but aging Penn Station, sidelining the city's mass transit agency, the transportation chief said Thursday.

What we know:

State and city officials have sought for years to remake the country’s busiest rail hub, which is beleaguered by problems ranging from aging tracks to dreary commuter passageways.

Department of Transportation Secretary Sean Duffy said his agency could deliver a world-class Penn Station by working with Amtrak, the federally chartered railroad company that owns the midtown Manhattan hub. Duffy said he was withdrawing the Metropolitan Transportation Authority as lead for the reconstruction project.

Officials say this transfer of responsibility is expected to save $120 million.

It is unclear at this time whether new renovation plans will be introduced or if the current scope of work will change under federal oversight. No updated construction timelines or specific updates have been shared publicly.

What they're saying:

Governor Kathy Hochul released a statement supporting the shift in control of the renovation. She said:

"In multiple meetings with President Trump, I requested that the federal government fund the long-overdue overhaul of Penn Station. 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."

Governor Hochul added that the move will save New York taxpayers more than $1 billion.

"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," Department of Transportation Secretary Sean Duffy said in a prepared release.

Authority Chair and CEO Janno Lieber said he was glad the federal government was focusing on the project, and that he expected the MTA to participate in the plans as the station's major leaseholder.