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$8 Billion for High-Speed Rail ProjectsJanuary 29, 2010 By: George Dooley
President Obama and Vice President Biden announced that the Department of Transportation (DOT) is awarding $8 billion to states across the country to develop America’s first nationwide program of high-speed intercity passenger rail service.
Funded by the American Recovery and Reinvestment Act (ARRA), the dollars represent an historic investment in the country’s transportation infrastructure, which will help create jobs and transform travel in America, the DOT said.
The new awards will serve as a down-payment on developing or laying the groundwork for 13 new, large-scale high-speed rail corridors across the country, the DOT said. The major corridors are part of a total of 31 states receiving investments, including smaller projects and planning work that will help lay the groundwork for future high-speed intercity rail service. The DOT said.
The $8 billion investment is expected to create or save tens of thousands of jobs over time in areas like track-laying, manufacturing, planning and engineering, and rail maintenance and operations. Over 30 rail manufacturers, both domestic and foreign, have agreed to establish or expand their base of operations in the United States if they are hired to build America’s next generation high-speed rail lines – a commitment the Administration secured to help ensure new jobs are created here at home.
“The President’s bold vision for high-speed rail is a game changer,” said Transportation Secretary Ray LaHood. “It’s not only going to create good jobs and reinvigorate our manufacturing base, it’s also going to reduce our dependence on fossil fuels and help create livable communities. I have no doubt that building the next generation of rail service in this country will help change our society for the better.”
The majority of the dollars will go toward developing new, large-scale high-speed rail programs. This includes projects in Florida, which is receiving up to $1.25 billion to develop a new high-speed rail corridor between Tampa and Orlando with trains running up to 168 miles per hour, and in California, which is receiving up to $2.25 billion for its planned project to connect Los Angeles to San Francisco and points in between with trains running up to 220 miles per hour.
In April 2009, the Administration released a long-term plan for high speed rail in America. In addition to the $8 billion awarded today, the plan also included $1 billion a year for five years in the federal budget as a down payment to jump-start the program. Applicants submitted over $55 billion in project proposals for the initial $8 billion in funds awarded.