A federal court has extended an order that blocks the U.S. Department of Homeland Security (DHS) from redirecting more than $33 million in anti-terrorism funding originally designated for New York’s Metropolitan Transportation Authority (MTA). The decision came after legal action taken by New York Attorney General Letitia James, with support from Governor Kathy Hochul.
Governor Hochul and Attorney General James released a joint statement following the court’s decision: “This court has again prevented the federal government from revoking critical counterterrorism funds for our state. These funds help keep our trains, buses and subways safe for the millions of New Yorkers who rely on them every day. We will continue fighting to ensure that New York gets the resources we need to support our law enforcement and keep people safe every day.”
The dispute began when DHS reduced New York’s allocation under the Transit Security Grant Program (TSGP) from over $33 million to zero. The state alleges this move was an unlawful attempt to penalize New York for its “sanctuary” policies, which are designed to protect immigrant communities. In response, Attorney General James filed a lawsuit on September 30.
The U.S. District Court for the Southern District of New York has now extended a temporary restraining order until October 22. This order prevents DHS from diverting the TSGP funds away from New York or allowing them to lapse back to the U.S. Treasury.


