Attorney General James Seeks Emergency Court Order By Midnight to Protect MTA’s Anti-Terrorism Funds

NEW YORK – New York Attorney General Letitia James today filed a lawsuit and an emergency motion for a temporary restraining order (TRO) against Secretary Kristi Noem and the U.S. Department of Homeland Security (DHS) for unlawfully withholding funding requested by the Metropolitan Transportation Authority (MTA) under the Transit Security Grant Program (TSGP). Despite the MTA’s need and record ridership, DHS today cut New York’s award from nearly $34 million to zero – an unlawful decision apparently designed to punish New York for its so-called “sanctuary” policies. This decision strips New York of federal resources intended to help the MTA prevent and respond to terrorist threats, cyberattacks, and other emergencies in the nation’s largest transit system.

At midnight tonight, the federal fiscal year ends. Attorney General James is seeking immediate court intervention to preserve the funds and prevent DHS from diverting them to other states.

“New Yorkers lived through the worst terrorist attack in our nation’s history, and we know what is at stake here,” said Attorney General James. “Congress created this program after 9/11 to protect millions of daily riders. I am asking the court to act before midnight to stop these funds from vanishing and to ensure that New Yorkers are not put at risk by this administration’s political games.”

The TSGP was established in the wake of 9/11 to help high-risk transit systems like the MTA prepare for and respond to terrorist threats. By law, eligibility must be based “solely on risk” of attack. The MTA, which carries nearly 40 percent of all U.S. transit riders and has among the highest threat profiles in the nation, has historically received the greatest share of TSGP funds, including $36 million last year. When the funding notice went out, DHS told the MTA it would receive $33,898,500 this year. Earlier today, however, DHS slashed New York’s award to zero and redirected the funds to other states, some of which received increased awards despite far lower risk profiles.

New York learned of this decision not from the federal government but from a news report this morning at 11:00 AM, which revealed that DHS cut the MTA’s award to nothing because of New York’s “sanctuary” policies. The MTA has still received no formal notice or explanation from DHS or the Federal Emergency Management Agency (FEMA), despite repeated inquiries from state officials throughout the day.

The MTA planned to use the funding to protect stations and tunnels against chemical and explosive threats, upgrade surveillance and communications systems, strengthen cybersecurity defenses, and improve emergency evacuation protocols. These projects are critical to protecting the nation’s busiest transit system, which serves more than five million riders daily, and ensuring it is prepared to respond swiftly to terrorist attacks or other large-scale emergencies.

If the funds lapse at midnight without court action, New York will lose them permanently. Attorney General James’ TRO motion asks the court to require DHS to de-obligate any funds diverted from New York, bar DHS from disbursing or returning the money to the Treasury at midnight, and suspend the statutory lapse of the funds so they can be properly awarded to New York as required by law. Attorney General James emphasized that she is not seeking disbursement tonight, only preservation of the funds while the courts resolve the case.

The lawsuit, filed this evening in the U.S. District Court for the Southern District of New York, argues that DHS’s actions violate the Administrative Procedure Act, exceed statutory authority, and run afoul of the Constitution’s principles of equal sovereignty. Attorney General James is seeking to compel DHS to restore New York’s full allocation of TSGP funds and to ensure that future awards are distributed based solely on risk, as the law requires.