"The loan requires the state to tap into a pool of money known at the Transit and Intercity Rail Capital Program or TIRCP that's supposed to be allocated to critical capital projects at a later date. If projects are ahead of schedule, the loan could ultimately affect the timing of when those projects receive their promised funds."
"State Sen. Dave Cortese, a long-time advocate of South Bay's BART extension who chairs the transportation committee, described the situation as mortgaging your capital projects in order to make payroll, expressing concern about the bailout's impact on future infrastructure funding."
"The 6-mile, four-station BART project will expand the line from the Berryessa Transit Center in north San Jose through downtown and into Santa Clara, has been awarded $1.125 billion in TIRCP funds from the state but $866.4 million of that has yet to be allocated to the project."
California's $590 million bailout for struggling transit agencies including Caltrain, Muni, AC Transit, and BART addresses immediate operational crises while state leaders pursue long-term funding through a potential November sales tax measure. The loan requires accessing the Transit and Intercity Rail Capital Program (TIRCP), a funding pool designated for critical capital projects. This creates timing concerns for the San Jose BART extension, which has received $1.125 billion in TIRCP funds but still awaits $866.4 million in allocations. State Senator Dave Cortese opposes the approach, characterizing it as mortgaging capital projects to cover payroll. However, the Santa Clara Valley Transportation Authority and bailout supporters maintain that legal repayment provisions and contingency scenarios protect capital projects from delays.
Read at www.mercurynews.com
Unable to calculate read time
Collection
[
|
...
]