METRO Magazine Logo
MenuMENU
SearchSEARCH

Valley Metro gets Fed approval for Tempe Streetcar construction

The three-mile streetcar, scheduled to open in 2021, includes 14 stops and two Valley Metro light rail connections.

August 22, 2018
Valley Metro gets Fed approval for Tempe Streetcar construction

Valley Metro has received approval from the Federal Transit Administration to begin the initial phase of significant construction on the Tempe Streetcar. Photo: Valley Metro

2 min to read


Valley Metro has received approval from the Federal Transit Administration to begin the initial phase of significant construction on the Tempe Streetcar. Photo: Valley Metro

Valley Metro has received approval from the Federal Transit Administration (FTA) to begin the initial phase of significant construction on the Tempe Streetcar, the Valley’s first modern streetcar line. With this approval, Valley Metro will start work this fall on building the system’s rail trackway, power systems and street improvements.

The FTA delivered to Valley Metro a Letter of No Prejudice that allows Valley Metro to proceed with construction work pending approval of a grant agreement with the federal government. Valley Metro hopes to enter into a funding agreement in early 2019.  

“This milestone would not have been possible without the support of our federal delegation and officials at FTA, for which we are grateful. With this approval, we can now move forward to keep this project on budget and on schedule,” said Tempe Mayor Mark Mitchell. “Many, including advocates in the local business community, have been working tirelessly to see this project come to fruition for the betterment of our community’s quality of life and economic sustainability.”

Ad Loading...
The three-mile streetcar, scheduled to open in 2021, includes 14 stops and two Valley Metro light rail connections. Photo: Valley Metro

Preliminary construction and underground utility work is currently underway. This fall, construction will shift into high gear.

“The Tempe community has a long history of supporting public transit and is already one of the highest public transit ridership centers in the region,” said Robin Arredondo Savage, Tempe City Councilmember and Vice Chair of the Valley Metro Rail Board. “Streetcar will be a critical link in our total transit network, connecting strong neighborhoods, major business centers and regional events and destinations – supporting growing travel demand and business interest in Tempe and throughout the region.”

“This positive step demonstrates FTA’s favorable view of this project,” said Valley Metro CEO Scott Smith. “We look forward to working with FTA to receive our final grant agreement in the next few months. This project is unique because it is being built with a combination of local, regional and federal funds, and with $13 million in voluntary contributions from local property owners along the streetcar route.”  

Tempe Streetcar is scheduled to open in 2021.

More Rail

A user demonstrating Metrolink's contactless fare payment pilot.
Technologyby StaffJune 12, 2026

Southern California's Metrolink Debuts Contactless Fare Payment Pilot

Customers traveling between Redlands and Los Angeles can now tap their preferred payment method, including a credit or debit card, mobile wallet, or wearable device, at station validators before boarding and again while exiting.

Read More →
A BART train on the tracks.
Managementby StaffJune 12, 2026

California's BART Approves FY27 Budget While Maintaining Service Levels

The budget covers July 1, 2026, through June 30, 2027, a period when pandemic emergency funds run out, the District faces a structural deficit of $375 million, and a regional transit funding measure may appear on the November ballot.

Read More →
A rendering of the Amtrak New York Penn Station renovation
Railby StaffJune 9, 2026

Penn Station Transformation Advances with Design Unveiling

The historic redesign will transform the busiest transit hub in the Western Hemisphere from the tracks to the street level, creating a more efficient, cleaner, and functional experience for more than 600,000 daily commuters and millions of visitors.

Read More →
Ad Loading...
Groundbreaking event for Second Avenue Subway Phase 2 TBM construction.
Railby StaffJune 9, 2026

Second Avenue Subway Phase 2 Advances into Major Construction Stage

New York Governor Kathy Hochul joined leadership from the MTA, elected officials, and Harlem community leaders to break ground on the major construction stage of the transformative Second Avenue Subway Phase 2 project.

Read More →
A man sits in a passenger rail seat and looks at his phone.
Railby Elora HaynesJune 8, 2026

The Invisible Infrastructure of Passenger Flow

What a seat reservation system on Austria’s Railjet trains reveals about the future of rider experience, and why U.S. agencies should pay attention.

Read More →
Aerial view of Caltrain's electric service.
Railby StaffJune 5, 2026

Caltrain Board Approves FY27 Budget, Endorses Efficiency Measures

The move ensures Caltrain service will continue operating as usual in the near term, but long-term financial challenges remain for the rail agency absent a new revenue source.

Read More →
Ad Loading...
Alstom purchasing site for Acela network manufacturing
Railby StaffJune 4, 2026

Alstom Acquires Delaware Site to Support Amtrak NextGen Acela Fleet

The company is investing more than $55 million to acquire and improve the property and will employ approximately 100 people at this site once it is operational.

Read More →
World Cup Crowds Will Test Transit Systems
ManagementJune 3, 2026

When Routine Fails: How Public Transit Must Adapt for the World Cup

The 2026 FIFA World Cup will test transit agencies’ ability to manage unpredictable travel patterns, making real-time data and operational flexibility critical to moving millions of visitors efficiently.

Read More →
A rendering of a California High-Speed Rail vehicle
Railby StaffJune 2, 2026

California Selects Team for Nation’s First True High-Speed Rail Track and Systems Contract

The board action follows completion of track installation at the 150-acre southern railhead in Kern County, which will serve as the staging and distribution hub for high-speed track and systems installation.

Read More →
Ad Loading...
Sound Transit Sounder train
Railby StaffJune 2, 2026

Seattle's Sound Transit Launches New Sounder Railcars into Service

Alstom manufactured all the cars under a $46.5 million contract and came into service in anticipation of summer crowds for soccer and baseball.

Read More →