US DOT will lend $ 1.76 billion to the Purple Line Light Rail Transit Project in Maryland

Written by David C. Lester, CEO

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The first assembled Purple Line light rail vehicle.

Maryland DOT

After navigating slightly volatile air in recent years, the Maryland Purple Line project has received much-needed impetus from the US DOT.

The US Department of Transportation has announced that the Build America Bureau (Bureau) has provided a low-interest loan of up to $ 1.76 billion to Purple Line Transit Partners for the Purple Line Light Rail Transit Project in Maryland. The loan will finance up to 33 percent of the $ 5.9 billion in eligible project costs. The Office helps communities across the country deliver infrastructure projects by providing Transportation Infrastructure Financing and Innovation Law loans, known as TIFIA loans, and other types of innovative financing.

“Purple Line will provide a faster, more direct and more reliable transit service for residents and visitors to the Maryland and DC suburbs while reducing congestion on local roads,” said Deputy Transport Secretary Polly Trottenberg. “By cutting about 17,000 vehicle trips each day and running on electricity, this project also has huge environmental benefits.”

Side view of Purple Line train (Maryland DOT)

Currently under construction, the Purple Line is a 16.2-mile, 21-station, east-west light rail transit line that runs from Bethesda in Montgomery County to New Carrollton in Prince George County. Five major activity centers (Bethesda, Silver Spring, Takoma-Langley Park, College Park and New Carrollton) will be connected to 16 other stations serving residential communities, shopping areas and institutions. The project will provide direct connections to four branches of the existing Metrorail system, the three MARC suburban rail lines and the Amtrak Northeast Corridor line. The project will also include the completion of the Crescent Capital trail that supports cyclists and pedestrians.

“The long-awaited Purple Line will serve areas that will benefit from the relevant economic growth, while at the same time creating opportunities for transit-oriented development,” said Bureau Executive Director Morteza Farajian. “We have worked closely with our partners to complete this loan, which is an essential part of the funding to move this critical project forward.”

Maryland Department of Transportation The Maryland Transit Administration has been working under a Public-Private Partnership Agreement (Agreement P3) with Purple Line Transit Partners to design, build, operate and maintain its light rail system for 35 years. The new loan replaces a previous $ 874.6 million loan that closed in June 2016.

The Build America Bureau was established as a “one stop” during the Obama administration to help states and other project sponsors carry out infrastructure projects. The Office offers low interest, long-term credit plans, technical assistance and best practices in project design, financing, delivery and operation. The Bipartisan Infrastructure Act, signed by President Biden in November 2021, extends the eligibility of projects for the Bureau’s TIFIA loan program and extends the maturity of loans, giving borrowers extra flexibility. To date, DOT has closed more than $ 37.7 billion in TIFIA funding, supporting more than $ 130 billion in infrastructure investments nationwide.

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Categories: News, Passengers, Railroad News, Expressway / Light Rail, Track Construction
Labels: $ 1.76 billion DOT loan, breaking news, Maryland Department of Transportation, Maryland Purple Line project, Maryland Transit Administration, Morteza Frarajian, Purple Line light rail trains

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