Now Trump wants to take over Manhattan’s Penn Station renovation

So much for local control.
The Trump administration aims to give New York’s Penn Station a “makeover” as it plans to take control of the $7 billion restoration project.
In the latest battle between federal and local leaders in the state, Amtrak — backed by the Department of Transportation — will now spearhead the restoration project at the train and mass transit hub on West 34th Street in Manhattan, stripping the tri-state Metropolitan Transportation Authority of its control of the initiative, Transportation Secretary Sean Duffy announced Thursday.
He claimed the Trump administration could save taxpayers millions — and took aim at the MTA, a public benefit corporation serving New York, New Jersey and Connecticut that operates the largest public transit system in North America.
“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.”
Duffy provided no details of his accusations of inefficiency and waste of the MTA. The Trump administration is currently under conflict-of-interest scrutiny as it weighs massive new federal contracts to multi-million-dollar Trump and Maga contributor Elon Musk. Private businesses would apparently also be part of the federal takeover of the Penn Station project.
The move could save taxpayers $120 million, Duffy indicated. It’s not immediately clear how that would be achieved. But the department said a subagency is “rescoping and slashing” the federal grant to Amtrak for project development, and plans to use a “public-private partnership model” for the project.

New York Governor Kathy Hocul thanked the Trump administration for taking on the project and picking up the bill, noting she had been requesting federal funds for the “long-overdue overhaul” of the busiest transit hub in the U.S. that serves more than 600,000 commuters each day.
“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,” the governor said in a statement Thursday.
Under the plan, the cramped midtown train station will be expanded, the area surrounding it will be reimagined, and a new infrastructure would be dedicated to the Long Island Rail Road and Amtrak.
MTA Chair and CEO Janno Lieber touted his agency’s transformative improvements to the once dimly-lit 33rd Street Concourse that were done “on time and under budget.”
Lieber added that the MTA hopes to still participate in the renovation project. “As the major leaseholder in the station, we expect to participate in the [Trump] administration’s and Amtrak’s efforts to ensure future plans meet the needs of everyone who uses it,” he emphasized.
Kris Kolluri, president and CEO of New Jersey Transit — which has trains operating out of Penn Station — told the New York Times: “As one of the largest users of the station, N.J. Transit looks forward to working with U.S. D.O.T. and Amtrak on the Penn Station Reconstruction project.”
The announcement comes weeks after President Donald Trump ordered a halt to New York City’s congestion pricing system levying heavier commuters charges on cars in the crowded city center to encourage mass transit use.
“CONGESTION PRICING IS DEAD,” he wrote on Truth Social in February. “Manhattan, and all of New York, is SAVED. LONG LIVE THE KING!”
In a letter Duffy sent to Hochul at the time, he called the program “backwards and unfair” and a “slap in the face to working class Americans and small business owners.” Both are heavy users of mass transit.
In response, Hochul retorted: “Public transit is the lifeblood of New York City and critical to our economic future — as a New Yorker, like President Trump, knows very well.” She added: “We are a nation of laws, not ruled by a king.”