M.T.A. Sues Trump Administration to Release 2nd Avenue Subway Funding

New York transit officials are seeking nearly $60 million in overdue federal funding to extend the subway line to East Harlem.

Mar. 17, 2026 at 1:36pm

The Metropolitan Transportation Authority (M.T.A.) has sued the federal government for withholding close to $60 million in promised funding that could delay a $7 billion expansion of the Second Avenue Subway line into East Harlem. The M.T.A. argues the U.S. government had agreed to provide the reimbursements but has refused to disburse the money, which could cause 'a domino effect' of delays and inflated costs.

Why it matters

The Second Avenue Subway extension is a crucial infrastructure project that would provide better mass transit options for over 130,000 New Yorkers in Upper Manhattan. The federal funding dispute highlights the political tensions between New York Democrats and the Trump administration, which has previously threatened to withhold money for other major transit projects like the Gateway tunnel under the Hudson River.

The details

The M.T.A. plans to extend the Q line from 96th Street and Second Avenue to 125th Street and Lexington Avenue, a version of which was first proposed in the 1920s. Construction is already underway, with about half of the expected $6.9 billion price tag expected to come from the federal government. However, in October 2025, President Trump declared he would withhold federal funding for the project, as well as for the Gateway tunnel, after a political dispute with New York Democrats.

  • In October 2025, President Trump declared he would withhold federal funding for the Second Avenue Subway extension.
  • In June 2024, work on the Harlem extension was paused after New York Governor Kathy Hochul delayed the start of Manhattan's congestion pricing program, which was expected to raise billions for the project.
  • In 2007, work finally started on the first phase of the Second Avenue Subway project, which opened a decade later in 2017 after years of delays and cost overruns.

The players

Metropolitan Transportation Authority (M.T.A.)

The state agency that operates New York City's subway system.

Kathy Hochul

The Governor of New York who laid the blame for the lawsuit on former President Trump.

Donald Trump

The former President of the United States who declared he would withhold federal funding for the Second Avenue Subway extension and the Gateway tunnel project.

Chuck Schumer

The Senate minority leader and a New York Democrat.

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What they’re saying

“His actions alone have put the commutes of over 130,000 New Yorkers and the jobs of thousands of union workers on the line, but New York will not back down.”

— Kathy Hochul, Governor of New York (nytimes.com)

What’s next

A federal judge will decide whether to issue an order preventing the Trump administration from withholding additional money from the Second Avenue Subway extension project.

The takeaway

The funding dispute over the Second Avenue Subway extension highlights the ongoing political tensions between New York Democrats and the Trump administration, which has sought to withhold federal transit dollars from major infrastructure projects in the state. The outcome of this lawsuit could have significant implications for the future of the subway expansion and transit infrastructure in New York City.