The Fort Worth Transportation Authority operates an established bus and transit system but has never issued bonds or any debt. Yet the authority – known locally as “The T” – was able to advance a $1 billion rail line from downtown Fort Worth to Dallas-Fort Worth International Airport with an innovative loan structure built around federal grant funding.

The project delivers a much needed commuter rail line that will alleviate traffic, provide much needed rail service to DFW airport, connectivity to Dallas Area Rapid Transit’s rail system, as well as improving air quality.

JPMorgan accepted the federal appropriation risk, despite an incoming president who had been vocally negative on federal funding for transit projects.

The $325 million loan came in the form of privately placed five-year notes secured primarily by a Full Funding Grant Agreement from the Federal Transit Administration under the New Starts program. When the FTA grants are paid, the loan will be paid off, and the project known as TexRail will again be debt free.

In late 2018, ‘The T’ plans to begin service on the 27-mile TexRail line to relieve increasing congestion in the Mid-Cities region of the Dallas-Fort Worth Metroplex.

VOICEOVER: The Fort Worth Transportation Authority operates an established bus and transit system but has never issued bonds or any debt, yet the authority, known locally as “The T” – was able to advance a $1 billion rail line from downtown Fort Worth to the Dallas-Fort Worth International Airport with an innovative loan structure built around federal grant funding.

The project delivers a much needed commuter rail line that will alleviate traffic, provide much needed rail service to the DFW airport, connectivity to Dallas Area Rapid Transit’s rail system, as well as improving air quality. JPMorgan accepted the federal appropriation risk, despite an incoming president who had been vocally negative on federal funding for transit projects.

The $325 million loan came in the form of privately placeg five-year notes secured primarily by a Full Funding Grant Agreement from the Federal Transit Administration under the New Starts program. When the FTA grants are paid, the load will be paid off, and the project known as TexRail will again be debt free.

In late 2018, “The T” plans to begin service on the 27-mile TexRail line to relieve increasing congestion in the Mid-Cities region of the Dallas-Fort Worth Metroplex.