President Barack Obama and Vice President Joe Biden today announced that the U.S. Department of Transportation (U.S. DOT) is awarding $8 billion to states across the country to develop America’s first nationwide program of high-speed intercity passenger rail service. Funded by the American Recovery and Reinvestment Act (ARRA), these dollars represent a historic investment in the country’s transportation infrastructure, which will help create jobs and transform travel in America. The announcement is one of a number of job initiatives the president will lay out in the coming weeks that follow up on the continued commitment to job creation he discussed in last night’s State of the Union address.
Approximate total spending could be as high as the following, broken down by corridor or state:
- Chicago-St. Louis-Kansas City: $1.133 billion;
- Minneapolis-St. Paul-Madison-Milwaukee-Chicago: $823 million;
- California: $2.344 billion;
- Charlotte-Raleigh-Richmond-Washington, D.C.: $620 million;
- Cleveland-Columbus-Dayton-Cincinnati: $400 million;
- Iowa: $17 million;
- Fort Worth area: $4 million;
- Eugene-Portland-Seattle-Vancouver, B.C.: $598 million;
- Pontiac-Detroit-Chicago: $244 million;
- Tampa-Orlando-Miami: 1.25 billion; and
- Northeast region: $1.191 billion.
“Through the Recovery Act, we are making the largest investment in infrastructure since the Interstate Highway System was created, putting Americans to work rebuilding our roads, bridges and waterways for the future,” said President Obama. “That investment is how we can break ground across the country, putting people to work building high-speed rail lines, because there’s no reason why Europe or China should have the fastest trains when we can build them right here in America.”
“By investing in high-speed rail, we’re doing so many good things for our country at the same time,” said Vice President Biden. “We’re creating good construction and manufacturing jobs in the near term; we’re spurring economic development in the future; we’re making our communities more livable—and we’re doing it all while decreasing America’s environmental impact and increasing America’s ability to compete in the world.”
Today’s awards will serve as a down payment on developing or laying the groundwork for 13 new, large-scale high-speed rail corridors across the country. The major corridors are part of a total of 31 states receiving investments, including smaller projects and planning work that will help lay the groundwork for future high-speed intercity rail service. The grants are not only expected to have an up-front job and economic impact but help spur economic growth in communities across the country, provide faster and more energy-efficient means of travel and establish a new industry in the U.S. that provides stable, well-paid jobs.
This historic $8 billion investment is expected to create or save tens of thousands of jobs over time in areas like track-laying, manufacturing, planning and engineering and rail maintenance and operations. Over 30 rail manufacturers, both domestic and foreign, have agreed to establish or expand their base of operations in the U.S. if they are hired to build America’s next generation of high-speed rail lines—a commitment the administration secured to help ensure new jobs are created here at home.
“The President’s bold vision for high-speed rail is a game changer,” said Transportation Secretary Ray LaHood. “It’s not only going to create good jobs and reinvigorate our manufacturing base, it’s also going to reduce our dependence on fossil fuels and help create livable communities. I have no doubt that building the next generation of rail service in this country will help change our society for the better.”
The majority of the dollars announced today will go toward developing new, large-scale high-speed rail programs. This includes projects in Florida, which is receiving up to $1.25 billion to develop a new high-speed rail corridor between Tampa and Orlando with trains running up to 168 miles per hour, and in California, which is receiving up to $2.25 billion for its planned project to connect Los Angeles to San Francisco and points in between with trains running up to 220 miles per hour.
In April 2009, the administration released a long-term plan for high speed rail in America. In addition to the $8 billion awarded today, the plan also included $1 billion a year for five years in the federal budget as a down payment to jump-start the program. Applicants submitted over $55 billion in project proposals for the initial $8 billion in funds awarded today.
Obama administration officials are traveling across the country this week to announce funding for the high speed rail projects and discuss how this investment will create local jobs and rebuild the economy. Today, EPA Administrator Lisa P. Jackson will travel to Durham, N.C., Secretary of Labor Hilda L. Solis will visit Columbus, Ohio, and Housing and Urban Development Secretary Shaun Donovan will be in Milwaukee, Secretary of Transportation Ray LaHood will hold an event in Washington, D.C., Executive Director of the White House Council on Auto Communities and Workers Ed Montgomery will visit St. Louis and Federal Railroad Administrator Joseph C. Szabo will be in Philadelphia. On Friday, a senior Department of Transportation official will travel to California, and FRA Administrator Szabo will hold an event in Chicago.
