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Feds take control of $7B project for NYC’s Penn Station

The Trump administration has taken control of the $7 billion reconstruction project for New York City’s Penn Station, removing the Metropolitan Transportation Authority (MTA) from its leadership role. U.S. Transportation Secretary Sean Duffy announced that the Department of Transportation and Amtrak, which owns the station, will now oversee the long-delayed overhaul. Duffy cited the MTA’s history of inefficiency and mismanagement as reasons for the change, emphasizing the need for a new approach to deliver a safe, clean, and world-class facility AP News.​

Governor Kathy Hochul praised the move, calling it a financial win for New Yorkers. She noted that federal oversight would save New York taxpayers over $1 billion that would have otherwise been necessary for the project Gothamist. MTA Chair Janno Lieber expressed support for the federal involvement and anticipated the agency would still have a role in planning, given its status as a major leaseholder of the station AP News.​

The federal takeover also aims to unify the reconstruction and expansion plans for Penn Station under a single grant, led by Amtrak. This consolidation is expected to streamline the project’s execution and potentially allow for a more comprehensive redevelopment of the station Gothamist.​

While specific details and timelines for the reconstruction have not been disclosed, the federal government’s involvement marks a significant shift in the management of one of the nation’s busiest rail hubs.​

Sources: FOX 5 NY, Midtown Tribune

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