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    1. Rail

    RTA of Southeast Michigan to consider moving QLINE under its management

    Dec. 15, 2023
    A “collaborative due diligence process” has started between M-1 Rail and RTA on financial and operational elements of the proposed transfer.
    Related To: Regional Transit Authority of Southeast Michigan (RTA)
    M-1 Rail
    The QLINE is a streetcar service in Detroit, Mich.
    The QLINE is a streetcar service in Detroit, Mich.

    The Regional Transit Authority (RTA) of Southeast Michigan will evaluate a proposal to move QLINE, a streetcar line in Detroit, Mich., under its management. Discussions assessing the proposal will begin at RTA’s December meeting with QLINE leadership and the city of Detroit recommending RTA consider the transfer.

    “It is the role of the RTA to ensure the ongoing viability of regional transit services,” said Dave Massaron, chair of the RTA Board of Directors. “This transition will help ensure the QLINE remains as a transit option for the community and the city of Detroit long into the future.” 

    The RTA and M-1 RAIL have initiated a collaborative due diligence process focused on all financial and operational elements of the transfer. Through this process, the RTA intends to validate M-1 RAIL’s budget and confirm that a transfer to the organization will come with a balanced budget which will impose no additional burden on the region’s taxpayers. 

    This process is proposed to happen in three steps, including a formal introduction of the plan, a presentation of a resolution of intent with conditions, and the development of the transfer agreement. Phase one was completed when the plan was introduced during the RTA Board’s December meeting. M-1 RAIL President Lisa Nuszkowski, provided an update on key QLINE statistics, including a financial overview, ridership numbers and on-time performance metrics. 

    RTA Executive Director Ben Stupka discussed the due diligence activities that will take place in the upcoming months and how the two agencies will work together to iron out the details required to vet the potential transfer.

    “We are still in the due diligence phase, and we are studying how this transition will work from a legal, financial, technical and administrative perspective,” said Stupka. “We will continue to discuss the plan at future Board meetings, with a goal of understanding the impact of this transfer with a targeted decision in early 2024.”

    The RTA appreciates the dedication of the philanthropic community for bringing M-1 RAIL to life and their general commitment to public transit. We also congratulate the operational leadership of the QLINE for delivering a service that is on pace to carry a record 1 million riders in 2023–a dramatic expansion in ridership as many transit systems across the nation experience post-pandemic ridership declines.