Trump Takes Over Renovation of Penn Station, Kicks MTA Off Project

President Donald Trump is taking over the reconstruction of Penn Station and kicking the MTA off the project, federal transportation officials announced Thursday.

The move was laid out in a letter to MTA Chair Janno Lieber from Federal Railroad Administration Chief Counsel Kyle Fields, who said the work will instead be overseen by Amtrak, which owns Penn Station.

“There is no reason to delegate leadership of this important project,” U.S. Transportation Secretary Sean Duffy wrote in a statement.

“President Trump has made it clear: the days of reckless spending and blank checks are over,” Duffy wrote. “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.”

The MTA has for years planned to reconstruct Penn Station without relocating Madison Square Garden, which sits above the rail hub. The agency has also worked with Amtrak and NJ Transit on a controversial plan to expand the station, which would allow for more passenger train service in and out of Manhattan.

Now, the feds want to combine both projects.

“The necessary planning for reconstruction and expansion of Penn Station will be conducted under a single grant, led by Amtrak,” Fields’ letter states.

The move will allow Amtrak and the federal government to pursue a developer for the reconstruction and potential expansion of the station.

Gov. Kathy Hochul said the move takes the reconstruction off New York's plate and puts it squarely in Trump's lap.

“In multiple meetings with President Trump, I requested that the federal government fund the long-overdue overhaul of Penn Station," Hochul wrote in a statement. "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 that would have otherwise been necessary for this project.”

MTA Chair Janno Lieber in a statement noted the MTA is "the major leaseholder in the station" and said he expects the agency "to participate in the administration’s and Amtrak’s efforts to ensure future plans meet the needs of everyone who uses it.”

Tom Wright, president of the Regional Plan Association, said he would support the federal takeover of the project if it meant the work could actually advance after years of delays.

“This isn't a surprise to those of us who've been following this for a couple years now,” said Tom Wright, president of the Regional Plan Association. “The MTA had real success with the renovation of the Long Island Rail Road concourse, but things haven't been moving forward lately … from my perspective, Penn Station is owned by Amtrak, the federal government, and it makes sense for them to be leading the renovation plans.”

Wright was also open to the idea of renaming the train hub after Trump “if that’s what it takes to get a great Penn Station.”

The federal government's takeover of the project comes a month after Trump’s allies released a proposal to overhaul Penn Station by moving Madison Square Garden across Seventh Avenue and rebuilding the rail hub with a neoclassical design.

The proposal was backed by the National Civic Art Society, which is supported by major Trump donor Thomas Klingenstein who published an essay last month titled, “Only Trump Can Make Penn Station Great Again.”

Justin Shubow, the president of the National Civic Art Society, said he supported the federal takeover of the project.

“We are delighted that the administration is taking charge,” he said in a statement to Gothamist. “Only President Trump can get a new Penn Station built after generations of politicians have failed. It is also heartening news since as President Trump has proven he understands the beauty and popularity of classical civic buildings. We hope he will make Penn Station classical again.”

Hochul last month said she would not support an expansion of Penn Station that would require the demolition of a city block — something Amtrak and NJ Transit officials have supported.

“ I think that there is a reason to be cautiously optimistic,” said Layla Law-Gisiko, president of the City Club of New York, who has been a leading opponent of the expansion project. “What matters here is really what the goal and objective is for these proposals. If it is simply cosmetic, it'll be missing the mark. If it is to truly improve and upgrade the capacity and the connectivity of the region, I think that could be a very significant improvement.”

Hochul has in recent months said she’s been in negotiations with Trump not only over the future of Penn Station, but also the future of the MTA’s congestion pricing tolls, which the president aims to shut down.