Second Avenue Subway Expansion: MTA Seeks $1B for New Stations Despite Funding Fight

The Metropolitan Transportation Authority is set to inquire its board on Monday to approve a $1.1 billion contract to start construction on three new stations for the Second Avenue subway line, despite a pending lawsuit against the Trump administration over withheld federal funding. The stations are planned for 106th, 116th and 125th Streets in East Harlem, representing a significant step toward extending the Q train further uptown. NBC New York reported the move signals the MTA’s confidence in the project’s continuation even as $58.6 million in federal funds remains frozen. The MTA filed suit against the Trump administration on March 17, 2026, alleging the federal government improperly halted funding allocated for the subway extension. According to Politico, the lawsuit claims the freeze jeopardizes the project’s timeline and could ultimately halt construction. The original federal agreement, reached under the Biden administration, committed $3.4 billion – 44% of the project’s $7.7 billion estimated cost – to the extension, which aims to connect the Q train to the 4, 5, and 6 lines at 125th Street and Lexington Avenue. MTA officials stated they intend to proceed with the contract for the 106th Street station to avoid delays while the legal challenge progresses. The agency plans to await a judge’s ruling before finalizing the contract, but doesn’t want to be forced to revisit the board for approval should the court side with the MTA. Gothamist reported that officials fear work “will eventually have to come to a screeching halt” if the funding remains unavailable. The planned expansion represents a long-sought improvement to New York City’s transit system. The Second Avenue subway, decades in the making, currently runs from 59th Street to 96th Street on Manhattan’s Upper East Side. Extending the line into East Harlem has been a priority for local residents and elected officials for years, promising to alleviate overcrowding on existing lines and improve access to jobs and services. The New York Times noted that transit officials are seeking nearly $60 million in overdue federal funding to complete the project. The MTA board is scheduled to vote on the $1.1 billion contract Monday, initiating the construction of the station shells. The outcome of the lawsuit, and the restoration of federal funding, remains uncertain.