Cash infusion is meant to bring key transit projects “over the finish line,” said California’s transportation secretary
– stay on track as agencies report ballooning cost estimates. Projects across the state now need to line up new money from state and local sources in order to secure billions more in federal grants from Washington.
“With billions of additional state investments in the pipeline, more upgrades are on the way – putting California transit agencies in a strong position to compete for significant federal infrastructure funding to deliver even more improvements,” said Omishakin. In a statement, Caltrain said the money will fully close their funding gap for finishing the project gap to transition the system from diesel fuel to electricity and will help the agency stave off service cuts, which had been projected for as early as July 2023.
But Tuesday’s announcement comes as transit projects are facing headwinds. Along with rising costs, the current flow of infrastructure money from the state is. Now as the state faces a deficit Newsom has proposed cutting $2 billion in rail project funds for the next fiscal year, setting up a battle with some Bay Area lawmakers.
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