Final grant agreement in place for Valley Metro’s South Central Light Rail Extension

Jan. 7, 2021
The $529.8-million agreement will help Valley Metro build the 5.5-mile extension that will connect downtown Phoenix to the south side of the city.

Valley Metro in Phoenix, Ariz., and the Federal Transit Administration (FTA) have finalized a $529.8-million grant agreement through the Capital Investment Grants (CIG) Program for the South Central Light Rail Extension/Downtown Hub project. FTA notified Congress in early December of its intention to award the funding at the end of a mandatory 30-day review period.  

The project will loop into Valley Metro’s existing light-rail system and extend rail service south 5.5 miles to Baseline Road. The project includes a downtown hub that will allow for transfers between lines, eight stations and two park-and-ride facilities.

"This $529.8 million federal grant agreement will better connect Phoenix residents to jobs, education and essential services," said U.S. Transportation Secretary Elaine L. Chao.

Valley Metro’s website calls the South Central Light Rail Extension more than “just a train,” but a “catalyst for positive change.” More than a quarter of households located along the project corridor do not own cars and approximately 38 percent live below the poverty level. The project will improve mobility and connect to activity centers such as Arizona State University and Phoenix Sky Harbor International Airport.

"FTA is proud to join our partners in Arizona to improve mobility and spur economic development along this corridor," said FTA Deputy Administrator K. Jane Williams. "Transit riders on the South Central Light Rail line can look forward to more efficient service connecting them to destinations throughout the Phoenix region, while supporting economic recovery."

The CIG funding agreement covers just shy of 40 percent of the $1.35 billion total cost of the project. The total project cost is $1.35 billion with $529.8 million in funding provided through FTA's Capital Investment Grants (CIG) Program. The local share of the project costs is being funded through tax revenues from two initiatives approved by voters in 2004 and 2015. The most recent initiative funds Transportation 2050, Phoenix’s 35-year multi-modal transportation plan that includes 42 miles of new light rail.

The South Central Light Rail Extension/Downtown Hub project is expected to open in 2024.

FTA published a video on the grant announcement, which can be viewed below:

About the Author

Mischa Wanek-Libman | Group Editorial Director

Mischa Wanek-Libman is director of communications with Transdev North America. She has more than 20 years of experience working in the transportation industry covering construction projects, engineering challenges, transit and rail operations and best practices.

Wanek-Libman has held top editorial positions at freight rail and public transportation business-to-business publications including as editor-in-chief and editorial director of Mass Transit from 2018-2024. She has been recognized for editorial excellence through her individual work, as well as for collaborative content.

She is an active member of the American Public Transportation Association's Marketing and Communications Committee and served 14 years as a Board Observer on the National Railroad Construction and Maintenance Association (NRC) Board of Directors.  

She is a graduate of Drake University in Des Moines, Iowa, where she earned a Bachelor of Arts degree in Journalism and Mass Communication.