The U.S. Department of Transportation (US DOT) has reinstated funding for New York City’s Second Avenue Subway project, following a legal dispute.

In a filing submitted to the federal court, the US DOT confirmed that payments towards construction costs would resume. The decision follows a lawsuit brought by the Metropolitan Transportation Authority (MTA), which argued that the suspension of funds was unjustified and risked delaying a critical infrastructure programme.

Second Avenue Subway Phase 2 rendering

© MTA

The Second Avenue Subway runs under Second Avenue on the East Side of Manhattan. The first phase of the new line opened on 1 January 2017, serving three new stations on Manhattan’s Upper East Side.

The second phase is designed to extend the line northwards into East Harlem, an area that has historically lacked direct underground rail access.

In a statement issued after the announcement of funding restoration, Janno Lieber acknowledged both the delay and the renewed momentum for the scheme.

MTA Chair and CEO Janno Lieber said:

It shouldn’t have taken seven months and a lawsuit to get here, but with the federal government’s concession today on the courthouse steps, the MTA can now confidently forge ahead with Second Avenue Subway Phase 2. The billion-dollar contract approved at our March Board meeting is being awarded and contractors are mobilising right away.

Today’s MTA is determined to expand our network and give riders more and better service. Long-awaited transit justice for East Harlem is just the beginning.

The dispute centred on roughly 60 million USD in federal contributions that had been temporarily withheld while officials reviewed aspects of the project.

Federal officials indicated that their review was intended to ensure public money is spent appropriately and in line with current policy priorities.

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