Biden FY25 budget proposes nearly $4B for major transit projects

U.S. Transportation Secretary Pete Buttigieg yesterday recommended that 14 large transit projects in 11 states receive nearly $4 billion in federal support for construction as part of President Biden's fiscal-year 2025 budget request to Congress.

The rail and bus rapid transit projects would be funded through the Capital Investment Grants (CIG) and Expedited Project Delivery Pilot programs (EPD), which are the federal government’s primary grant programs supporting new large transit capital projects that are locally planned, implemented and operated. The programs include investments such as new and expanded subway systems, commuter rail, light rail, streetcars and bus rapid transit, according to a press release.

Seven of the recommended projects would receive funding through CIG for the first time, while others on the list are already under construction or far along in the process required to receive a capital construction grant. The projects, which require a local funding match, seek funding through FTA’s CIG and EPD Pilot programs.

The FY25 Annual Report on Funding Recommendations calls for $2.37 billion in annual appropriations requested from Congress and $1.6 billion in FY2025 funding provided through the Infrastructure Investment and Jobs Act advance appropriations.

The budget request proposes funding for three projects in the CIG/EPD pipeline that were recommended in prior budgets but have not yet entered into a construction grant agreement. Two of those are rail projects:

• $700 million for the proposed Hudson Tunnel Project to construct a new two-track heavy-rail tunnel along the Northeast Corridor from the Bergen Palisades in New Jersey to Manhattan. The project includes the construction of a new tunnel under the Hudson River, the rehabilitation and modernization of the existing North River tunnel, and utility relocation work for the Long Island Railroad Emergency Services Building; and
• $350 million for the Chicago Red Line Extension Project to extend the Red Line Dan Ryan branch on Chicago’s Far South Side from the present 95th Street Terminal to the 130th Street area. The 5.6-mile extension includes the purchase of rail cars, stations, parking facilities and a new rail yard and maintenance shop.

The president’s budget request also includes seven projects that are recommended to receive funding for the first time. Of those, three involve rail:
• $500 million for the San Francisco-Transbay Downtown Extension Project, which will extend Caltrain commuter-rail service. The project includes 1.3 miles of underground tunnel, new rail tracks, stations, ventilation and egress systems and the purchase of vehicles;
• $263.7 million for the Miami-Dade County Department of Transportation and Public Works’ Northeast Corridor Rapid Transit Project, which will provide commuter-rail service between downtown Miami and the city of Aventura; and
• $200 million for the Inglewood Transit Connector Project in California, which will provide automated, elevated rail service to multiple large-event venues located along the project corridor and is intended to connect the underserved Inglewood community and the countywide passenger-rail system. The project includes the construction of new rail tracks and stations and the purchase of vehicles.

The president’s budget request also proposes funding for four rail-related projects with existing construction grant agreements:
• $496.8 million for the New York City Second Avenue Subway Phase 2 project;
• $315.7 million for the Westside Purple Line Extension Section 3 Rail Project in California;
• $129.5 million is recommended for the Minneapolis Southwest Light Rail Transit Project in Minnesota; and
• $88.4 million for the Seattle Lynnwood Link Light Rail Extension Project in Washington.