U.S. Transportation Secretary Ray LaHood (Credit: WJBK | myFOXDetroit.com)
DETROIT (AP) -
A proposed passenger rail system running from downtown Detroit to the city's New Center area won't get a $25 million grant that supporters were seeking, but the project remains in the running for equal funding from other programs, U.S. Transportation Secretary Ray LaHood said.
In a letter to Roger Penske, who heads the M-1 Rail group backing the project, LaHood said there were lingering concerns about the project and how its operations will be financed. LaHood said the project wouldn't receive the grant under the Transportation Investment Generating Economic Recovery program, The Detroit News and Detroit Free Press reported Tuesday.
LaHood met earlier this month in Detroit with Mayor Dave Bing, Gov. Rick Snyder and members of the private M-1 Rail group. He left them with questions to answer about costs and about who would eventually run the 3.3-mile, $137 million rail line project.
At the time, LaHood was interested in finding out whether a regional transportation authority would take the reins at some point and what the long- and short-term operating costs would be. All sides said they would meet again with LaHood within 60 days.
The M-1 group says it has raised most of the funds needed to get the project going. The group is led by Penske, chairman of Penske Automotive Group, and other Detroit business leaders.
LaHood wants all the parties to answer questions and concerns, Snyder said Tuesday in Lansing.
That is "a natural part of this process," Snyder said. "We need to do a little more work in terms of what's going on in Michigan with the M1 group, the city the state all working together. I believe the Department of Transportation believes there could be funding for this project."
U.S. Sen. Carl Levin said the announcement was "positive news" for the rail project because LaHood remains committed to light rail in Detroit and to finding alternate funding.
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Associated Press Writer Corey Williams in Lansing contributed to this report.
Copyright 2012 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.
Sunday, May 19 2013 10:03 PM EDT2013-05-20 02:03:31 GMT
A trip to Subway turned into a nightmare for an elderly Berkley couple Friday afternoon in Commerce Township. Oakland County Sheriffs say a man left his 74 year-old wife in the car, while he ran inside
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Sunday, May 19 2013 9:08 PM EDT2013-05-20 01:08:52 GMT
It's National Boating Safety Week - a good time to learn about new boating safety regulations. Macomb County Sheriff Anthony Wickersham talked with Fox 2 about what boaters need to know.
It's National Boating Safety Week - a good time to learn about new boating safety regulations. Macomb County Sheriff Anthony Wickersham talked with Fox 2 about what boaters need to know.
Sunday, May 19 2013 8:54 PM EDT2013-05-20 00:54:31 GMT
Four people were shot and injured Sunday outside a house on Lakepoint in Detroit. The shooter, in a gold truck, is still on the loose.
Four people were shot and injured Sunday outside a house on Lakepoint in Detroit. We're told a group of 10 people were drinking and partying outside the house when a gold truck rolled down the street and started firing.
Sunday, May 19 2013 1:52 PM EDT2013-05-19 17:52:35 GMT
Authorities have identified a 20-year-old man they've arrested in the firebombing of the suburban Detroit home of an heir to the Art Van Furniture business.
Authorities have identified a 20-year-old man they've arrested in the firebombing of the suburban Detroit home of an heir to the Art Van Furniture business.
Let It Rip Weekend: Doggy Insurance, Pit Bull Bans & $15 Minimum Wage
Sunday, May 19 2013 10:33 AM EDT2013-05-19 14:33:58 GMT
This time we're talking about a new requirement in Royal Oak that has some dog owners taking out $1 million insurance policies on their pooches. Plus, Waterford Township is considering repealing their
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Sunday, May 19 2013 12:01 AM EDT2013-05-19 04:01:16 GMT
It was supposed to be their big night, but prom turned into a big headache for teens from a local high school. Police showed up to crack down on an unauthorized limo service.
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Friday, May 17 2013 11:55 PM EDT2013-05-18 03:55:04 GMT
"We intend to build cars in North America for [the] North American market, build cars in Europe for the European market and build them in Asia for the Asian market," said Don Graunstadt.
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U.S. Transportation Secretary Ray LaHood (Credit: WJBK | myFOXDetroit.com)
