The transit agency in charge of New York City’s subway system sued the Trump administration Tuesday, accusing it of breach of contract for withholding almost $60 million in federal funding that was supposed to help build new stations in Manhattan.
The project is supposed to cost $7.7 billion, with the federal government paying around $3.4 billion of that, the suit says. Without the federal funds, the state agency has had to divert money from elsewhere, but if the suspension continues, the work will eventually come to “a screeching halt,” the suit argues.
New York’s Democratic Gov. Kathy Hochul argued the situation has the “entire project at risk.”
“Once again, New York has been forced to sue the Trump Administration to stop them from erratically shutting off billions of dollars in previously committed infrastructure funding,” she said in a statement.
In response to the lawsuit, the federal DOT said it is “committed to ensuring hardworking taxpayer dollars are being spent responsibly. We are considering all legal avenues.”
A federal judge in February ordered the administration to restore funding to the tunnel.
