UPDATED: Detroit streetcar facing $12M shortfall

Posted on June 18, 2014

DETROIT — The city’s planned 3.3-mile $137 million M-1 Woodward Avenue streetcar project faces a $12 million funding shortfall and applied for a supplemental $12.2 million from the U.S. Department of Transportation, reported the Detroit News.

The News obtained a two-page letter to Transportation Secretary Anthony Foxx warning the project urgently needs additional grant money to proceed, but said it would survive without the funds, though; it would have to be scaled back. For the full story, click here.

UPDATE: M-1 Rail President/CEO Matthew P. Cullen issued a statement regarding reports the Woodward streetcar system is struggling:

"News reports published today suggested our project is in jeopardy. It is not.

The construction of the M-1 RAIL streetcar will proceed as planned and commence upon City Council approval of our operating agreement. We hope for approval next week.  

We remain very optimistic about the requested TIGER grant based on the quality of our application, the strong support of the Mayor, our congressional delegation and others, the Administration’s focus and commitment to the City of Detroit, and the profound impact of this project for our community. That being said, the TIGER grant is just one component of our funding structure; there are contingency strategies that we will deploy if the grant is not approved."

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