USDOT puts Caltrain grant on hold

Written by Mischa Wanek-Libman, editor
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A $647-million Full Funding Grant Agreement (FFGA) for Caltrain's Peninsula Corridor Electrification Project (PCEP) has been deferred until the Trump Administration develops a budget for Fiscal Year 2018.

Caltrain says electrification would be “the most transformative effort ever undertaken on the Caltrain Corridor.” The agency is evaluating options for maintaining a viable project in the face of uncertainty about the timing of FFGA approval and the question about whether it will be approved at all.

The project has been caught in the cross hairs of California’s congressional delegation. In early February, the state’s Republican delegation sent a letter to U.S. Department of Transportation (USDOT) Secretary Elaine Chao, requesting a halt to the pending $647-million grant from the Federal Transit Administration to Caltrain. The GOP claimed the money that would go to Caltrain for the PCEP would be helping the state’s high-speed rail project and would be a waste of public money.

The state’s Democratic representatives answered with a letter of their own saying the GOP’s letter was misleading and explaining the grant was to benefit the rail authority’s project, which is only loosely tied to the high-speed rail project. Caltrain Executive Director Jim Harnett released a statement saying the PCEP was an opportunity to increase capacity of the system.

Caltrain says it worked with federal officials during a two-year period to complete a thorough evaluation of the project including intensive engineering assessments and financial vetting. The agency explains that following this evaluation, the project was rated positively, was recommended for approval and has met all of the statutory requirements needed to qualify for an FFGA.

“Clearly, the FTA’s evaluation demonstrates that this federal investment should be made based on the merits of the project, and we expect that the USDOT will continue with a fair process,” said Caltrain Chief Communications Officer Seamus Murphy. “We are poised to deliver mobility benefits that the region has been anticipating for over two decades, and across the country, workers are anticipating the thousands of jobs that this project will create. Caltrain is thankful for the hundreds of riders, employers and communities that have expressed support for the project. We will continue to work with our congressional delegation, stakeholders and funding partners to support whatever actions are needed to provide our communities with the transit system they deserve.”

Caltrain worries the viability of the project may be jeopardized as the contracts awarded to complete the PCEP require that a Notice to Proceed be issued prior to March 1. Deferral of the decision to execute the FFGA will prevent Caltrain from issuing the notice by this date. Additionally, in September, Caltrain issued a Limited Notice to Proceed to its contractors to advance design and pre-construction efforts. Caltrain says this work is nearly complete and approval of this federal funding would match nearly $1.3 billion in secured local, state and regional investment and allow construction to begin.

U.S. Rep. Anna Eschoo (D-CA-18) said, “I never imagined that the electrification of a train would be subjected to such brutal, partisan politics. This is not a Democratic project nor is it a Republican project. It is about the modernization of an outdated commuter system that is the spine of the transportation system of the Peninsula and the Silicon Valley region.

“The electrification of Caltrain is a shovel-ready project which would create thousands of jobs in the Bay Area and employ thousands in other states. It would be built by American workers and built with American products.”

U.S. Rep. Jackie Speier (D-CA-14) said, “Caltrain is the backbone of the Silicon Valley transportation system and this decision to delay would threaten to break the backbone of this economy.”

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