Rendering of Tempe Streetcar vehicle.

Tempe Streetcar Reaches Funding Milestone

Valley Metro, in partnership with the city of Tempe, has been allocated the full $75 million through the Federal Transit Administration (FTA) Capital Investment Grants (CIG) to support the Tempe Streetcar project. The project was allocated $50 million from the FTA in 2017 and with today’s approval of the final $25 million installment, it allows the project to move toward a fully funded grant.

“Tempe Streetcar is essential to our growing city,” said Tempe Mayor Mark Mitchell. “Today’s announcement shows we have a strong project with federal, community and regional support.” 
The competitive CIG Program provides funding for major transit infrastructure capital investments nationwide. Projects accepted into the program must go through a multi-year, multi-step process for funding consideration. 

“These significant investments in the public transit systems in five communities across the country will improve mobility for riders who depend upon public transit every day,” said U.S. Transportation Secretary Elaine L. Chao. 

Tempe Streetcar is a three-mile route traveling along Mill and Ash avenues, Rio Salado Parkway and Apache Boulevard connecting to the current light rail system and taking riders to neighborhoods, business centers and event destinations.

“I want to thank Secretary Elaine Chao and FTA Acting Administrator K. Jane Williams for their partnership in advancing the Tempe Streetcar,” said Valley Metro CEO Scott Smith. “This transformative project will benefit all of Tempe - businesses, students and residents alike through advanced mobility and the creation of jobs.”

Tempe Streetcar is under construction and scheduled to open in 2021. To learn more about the project, visit