Sacramento Streetcar Faces Uncertain Future Due to Trump Budget

The president's Fiscal Year 2019 Budget cuts the critical Capital investment Grants program run by the Federal Transit Administration. Projects lacking a full-funding grant agreement, like the Sacramento Streetcar, may fall victim.

2 minute read

February 18, 2018, 1:00 PM PST

By Irvin Dawid


Sacramento

Stas Enso / Shutterstock

Cuts to vital transit programs included in Trump's $4.4 trillion budget for Fiscal Year 2019, unveiled Feb. 12 (along with his infrastructure plan), threaten the financial viability of the four-mile Downtown/Riverfront Streetcar Project (see map), reports Tony Bizjak for The Sacramento Bee on Feb. 13.

The city has a preliminary agreement with the federal government for $50 million, about half the amount Sacramento has been hoping the federal government will ultimately provide for the proposed $200 million streetcar.

Local property owners in Sacramento have agreed to kick in a share, along with the cities of Sacramento and West Sacramento.

The streetcar project has lots of company in seeing its federal grant eliminated in Trump's 2019 Budget proposal "that would cut the Federal Transit Administration's annual capital improvement grants by nearly $1.4 billion, eliminate the Transportation Investment Generating Economic Recovery or TIGER grant program that Congress usually funds at $500 million a year, and slash $757 million in funding for Amtrak's intercity passenger trains while pushing states to make up the difference for long-distance service in their areas," according to Paul Skoutelas, President and CEO of the American Public transportation Association (APTA).

[See Planetizen: "Downtown Pittsburgh to Oakland BRT Moving Forward, With or Without Federal Money," Feb. 16.]

What makes streetcar backers nervous is that the project lacks a signed full-funding grant agreement. "[C]ity officials are pushing for that to happen before the end of this federal fiscal year when the Trump budget would go into effect if passed by Congress," adds Bizjak.

Trump made a similar proposal in his 2017 budget. Congress, however, chose to continue funding city rail projects. The recent passage of federal tax cuts, though, is expected to put pressure on Congress to reduce spending.

Bizjak also describes how Trump's budget also threatens Regional Transit's light rail extension to the Sacramento International Airport. In addition, the Trump administration, when they unveiled their long-awaited infrastructure plan, also on Feb. 12, "indicated it wants to provide only 20 percent of the funding for major transportation projects," adds Bizjak.

“I think this is the future of federal participation,” Sacramento Area Council of Governments head James Corless said on Monday. “The writing is on the wall for us as a region to get more creative with our local funding sources.”

In 2016, [Measure B,] a half-cent sales tax increase for Sacramento County transportation fell [0.96 percent] shy of the two-thirds support necessary to pass.

Hat tip to AASHTO Journal.

Tuesday, February 13, 2018 in The Sacramento Bee

portrait of professional woman

I love the variety of courses, many practical, and all richly illustrated. They have inspired many ideas that I've applied in practice, and in my own teaching. Mary G., Urban Planner

I love the variety of courses, many practical, and all richly illustrated. They have inspired many ideas that I've applied in practice, and in my own teaching.

Mary G., Urban Planner

Get top-rated, practical training

Close-up of "Apartment for rent" sign in red text on black background in front of blurred building

Trump Administration Could Effectively End Housing Voucher Program

Federal officials are eyeing major cuts to the Section 8 program that helps millions of low-income households pay rent.

April 21, 2025 - Housing Wire

Logo for Planetizen Federal Action Tracker with black and white image of U.S. Capitol with water ripple overlay.

Planetizen Federal Action Tracker

A weekly monitor of how Trump’s orders and actions are impacting planners and planning in America.

April 30, 2025 - Diana Ionescu

Ken Jennings stands in front of Snohomish County Community Transit bus.

Ken Jennings Launches Transit Web Series

The Jeopardy champ wants you to ride public transit.

April 20, 2025 - Streetsblog USA

Close-up of white panel at top of school bus with "100% electric" black text.

Driving Equity and Clean Air: California Invests in Greener School Transportation

California has awarded $500 million to fund 1,000 zero-emission school buses and chargers for educational agencies as part of its effort to reduce pollution, improve student health, and accelerate the transition to clean transportation.

April 30 - California Air Resources Board

Aerial view of Freeway Park cap park over I-5 interstate freeway in Seattle, Washington at night.

Congress Moves to End Reconnecting Communities and Related Grants

The House Transportation and Infrastructure Committee moved to rescind funding for the Neighborhood Equity and Access program, which funds highway removals, freeway caps, transit projects, pedestrian infrastructure, and more.

April 30 - Streetsblog USA

"No Thru Traffic - Open Streets Restaurants" sign in New York City during Covid-19 pandemic.

From Throughway to Public Space: Taking Back the American Street

How the Covid-19 pandemic taught us new ways to reclaim city streets from cars.

April 30 - Next City