Overview
- The lawsuit seeks release of nearly $60 million in reimbursements tied to Phase 2 of the Second Avenue Subway extension to 125th Street.
- New York and the MTA argue the federal government breached a funding agreement and risk delaying the $7 billion project by blocking contract awards at 106th and 125th streets.
- The U.S. Department of Transportation halted reimbursements in October during a review of the MTA’s compliance with minority- and women-owned business contracting rules.
- Gov. Kathy Hochul and MTA Chair Janno Lieber publicly backed the filing and cited recent court orders restoring Gateway Tunnel funding as supportive precedent.
- About $3.4 billion of the project’s budget is expected from the federal government, and the MTA says it has answered DOT questions while reimbursements remain frozen.