Congestion Pricing Funds $1.75 Billion in New York Subway Upgrades

New York Governor Kathy Hochul has announced the progression of 1.75 billion USD in Metropolitan Transportation Authority (MTA) subway improvement projects funded through revenue generated by congestion pricing.

The MTA Board has approved a design-build contract to modernise signalling on the A and C subway lines in Brooklyn and Queens. In addition, contracts have been approved to deliver accessibility upgrades at five subway stations, including the 42 St–Bryant Park complex in Manhattan.

Signal modernisation on the A and C lines

The signalling contract will introduce Communications-Based Train Control (CBTC) on the Fulton Street Line in Brooklyn and the Liberty Avenue Line in Queens, covering the section between Jay Street–MetroTech and Ozone Park–Lefferts Boulevard. The work will replace legacy signal systems dating from the 1930s.

The project scope includes the repair and replacement of switches, upgraded tunnel lighting, and the installation of cabling to support mobile phone service in tunnels. More than 600,000 daily riders using the A and C lines are expected to see improvements to reliability and operational performance once the work is completed.

The Fulton Street segment, running from Jay Street–MetroTech to Euclid Avenue, is funded through the MTA’s 2020–24 Capital Plan, supported by Congestion Relief Zone revenues. The Liberty Avenue segment, from Euclid Avenue to Ozone Park–Lefferts Boulevard, is funded under the 2025–29 Capital Plan.

The project forms part of the MTA’s wider shift towards a CBTC-focused delivery model. According to the authority, this approach has reduced per-mile costs compared with earlier signal modernisation projects. Three firms submitted bids for the contract, reflecting efforts to increase competition in the specialist signalling market.

Further congestion pricing revenue is expected to support CBTC upgrades on the Sixth Avenue Line, which carries the B, D, F and M services. The MTA’s 2025–29 Capital Plan includes signal upgrades on eight lines, covering more than 75 miles of track.

The signalling work will align with the introduction of R211 subway cars on the A and C lines. These vehicles are equipped to operate with CBTC systems.

Accessibility upgrades

The MTA Board also approved two contracts to advance accessibility improvements at five additional subway stations.

Three stations will be upgraded under ADA Package 9:

• Parsons Boulevard (F line)
• Briarwood (E and F lines)
• Gates Avenue (J and Z lines)

A separate contract will make the Bryant Park–5 Av complex fully accessible, covering:

• Bryant Park–42 St (B, D, F and M lines)
• 5 Av (7 line)

These awards bring the number of subway stations with accessibility contracts approved in 2025 to seven. The five stations form part of a wider programme to deliver accessibility improvements at 23 locations funded through congestion pricing revenues.