Building off of a previous $354 million federal grant, the U.S. Department of Transportation (DOT) announced an up to $203.3 million loan issued last week in support of Indiana’s rail extensions under the West Lake Corridor Commuter Project.
That project spans eight miles of single track extension between Dyer and Hammond, Indiana. Improvements are meant to allow the region quicker and more reliable access to the Chicago area, as well as apply a variety of multi-modal, quality of life options for the affected region. These options include new sidewalks, walking trails and bike paths around Munster/Dyer Main Street, Munster Ridge Road, South Hammond, and Hammond Gateway.
“USDOT is excited to provide financing for the West Lake Corridor Commuter Rail project. Multi-modal investments like this support thriving communities, expand transportation options, and reduce harmful greenhouse gas emissions,” Deputy Transportation Secretary Polly Trottenberg said.
Funds for this loan stemmed from the Build America Bureau’s Railroad Rehabilitation and Improvement (RRIF) program, which determined that the commuter project had $852 million in eligible costs. In financing approximately one-third of the project, the bureau intends to help the Indiana Finance Authority (IFA) reduce the overall costs of West Lake. The new loan is long term in maturity and low-cost.