The U.S. Department of Transportation and Amtrak are taking control of the Penn Station Reconstruction Project from the Metropolitan Transportation Authority, a move that the federal government claims will save $120 million. 

In a press release announcing the takeover, U.S. Transportation Secretary Sean P. Duffy criticized the MTA for “inefficiency, waste, and mismanagement.” Duffy stated that the federal government aimed to promote a public-private partnership model for the station, which is owned by Amtrak, to minimize financial risk to taxpayers. However, the government did not provide details on what exactly that would look like. 

MTA defended itself against Duffy’s attacks, but also praised the government for focusing on a station that is important to the traveling public. 

“Governor Kathy Hochul has prioritized the reconstruction of Penn Station for years, and we’re glad the federal government is focusing on it now. The MTA’s 33rd Street Concourse project was the first major improvement to Penn Station in decades – and we finished it on time and under budget,” said MTA Chair and CEO Janno Lieber. Over a hundred million MTA customers – two-thirds of Penn Station’s total ridership – use the facility every year. As the major leaseholder in the station, we expect to participate in the administration’s and Amtrak’s efforts to ensure future plans meet the needs of everyone who uses it.”