The commuter railway is being required to submit a new safety plan by Dec. 31.
This week's deadly crash in New York sparked new calls for the automated crash-aversion system.
Sen. Dianne Feinstein (D-Calif.) concluded that Sunday's Metro-North crash was "preventable."
A pair of survivors of the crash of a New York Metro-North commuter train are planning to sue the railway, according to a CNN report.
The passengers were among the approximately 150 who were on board a Metro-North train that derailed on its way to New York City from Poughkeepsie, N.Y. on Sunday morning.
Head of Federal Railroad Administration said crashes erode the public's confidence.
The National Transportation Safety Board (NTSB) has removed the union that represents commuter train drivers from its investigation of a weekend crash on New York’s Metro-North railway.
The agency said it made the decision to remove the Association of Commuter Rail Employees (ACRE) from the investigation because the union’s president, Anthony Bottalico, held a press conference about the accident, violating the NTSB’s non-disclosure rules.
The National Transportation Safety Board (NSTB) declined to confirm reports on Tuesday that the driver of a New York Metro-North train temporarily lost focus before a fatal accident on the railway over the weekend.
NTSB Member Earl Weener said it was "premature" to make definitive statements about the condition of the driver to the Metro-North train, which investigators have said was speeding before it derailed on Sunday.
Rep. Jerry Nadler (D-N.Y.) said on Tuesday that "something is wrong" with New York's Metro-North commuter trains after the railway suffered its second high-profile accident in 2013 last weekend.
Appearing on MSNBC's "Andrea Mitchell Reports" show, Nadler said he had questions about the "safety culture" of the Metro-North after series of incidents that have taken place on the railway this year.
Metro-North engineer reportedly told investigators he was in a trance before accident.