U.S. Department of Transportation Unveils $544.6 Million Loan for Major BART Rail System Enhancement
The U.S. Department of Transportation has announced a significant loan of $544.6 million through the Build America Bureau to the San Francisco Bay Area Rapid Transit District (BART) for the procurement of 775 new passenger railcars. This investment is part of a larger $2.2 billion initiative aimed at upgrading and expanding the BART system, which serves approximately 48 million passenger trips each year. By leveraging Transportation Infrastructure Finance and Innovation Act (TIFIA) loans and other financial mechanisms, the Bureau is facilitating the acceleration of infrastructure projects while minimizing costs for communities.
Deputy Transportation Secretary Polly Trottenberg expressed her enthusiasm for the project, stating, "Congratulations to BART for launching the ‘fleet of the future’ that will serve its dedicated riders in the Bay Area for decades to come. This investment represents a transformative opportunity for the community, enhancing daily commutes and fostering a more efficient, sustainable, and equitable transportation network."
The new railcars are designed with enhanced safety and accessibility features, including LED screens for better customer information, digital cameras for improved security, and three doors for easier entry and exit, compared to the previous two-door design. Thanks to a revised production timeline and an expedited delivery schedule, the project is projected to save up to $394 million compared to initial budget forecasts. Moreover, the financing of the railcars allows BART to allocate additional capital funds towards establishing a new Police Department Headquarters.
Morteza Farajian, Executive Director of the Build America Bureau, highlighted BART's innovative approach, stating, "BART has set a benchmark for transit agencies by swiftly delivering a completely new fleet of modern railcars, in contrast to typical replacement projects that can take decades. By utilizing TIFIA and adopting innovative financing strategies, they are saving millions in the long run, allowing for the reallocation of funds to other priority initiatives, and facilitating a comprehensive system upgrade with the modern features and performance enhancements that their communities require."
The new railcars were assembled at the Alstom Manufacturing facility in Plattsburgh, New York, generating hundreds of new job opportunities. U.S. manufacturers provided various materials and components for the railcars, including the propulsion system, brakes, raw aluminum for the car bodies, and electrical wiring. Locally, in the San Francisco Bay Area, jobs were also created to support design, commissioning, warranty, and other project-related activities.
These advanced railcars feature lightweight aluminum exteriors that lower energy consumption, white roofs that reflect heat to ease the burden on the cooling system, and improved regenerative braking systems that return electricity to the power grid. Notably, 100% of BART’s electric traction power is sourced from clean hydro and renewable energy.
BART serves as a heavy-rail public transit system linking the San Francisco Peninsula with East Bay and South Bay regions. Its service currently reaches Millbrae, Richmond, Antioch, Dublin/Pleasanton, and Berryessa/North San José, operating across five counties (San Francisco, San Mateo, Alameda, Contra Costa, and Santa Clara) with a total of 131 miles of track and 50 stations.
BART Board President Bevan Dufty expressed excitement about the collaboration, stating, "We are thrilled to partner with the U.S. Department of Transportation’s Build America Bureau for the first time. Our new ‘Fleet of the Future’ railcars are a vital element of BART’s Safe and Clean plan and essential for our efforts to increase ridership in the post-pandemic landscape."
Since its inception over 25 years ago, the U.S. Department of Transportation has successfully closed more than $41 billion in TIFIA financing, facilitating over $138 billion in infrastructure investments nationwide.
The Build America Bureau plays a crucial role in advancing transportation infrastructure investment by providing federal loans to eligible borrowers, removing obstacles for creditworthy projects, and promoting best practices in project planning, financing, delivery, and operations. The Bureau collaborates with various stakeholders, including states, municipalities, private entities, and other project sponsors, to offer federal financing and technical support.