MBTA Board approves the receipt of $850 million in Commonwealth Transportation Fund bond capacity

The Massachusetts Bay Transportation Authority (MBTA) Board of Directors greenlit the receipt of $850 million in Commonwealth Transportation Fund (CTF)-funded bond capacity to the MBTA that comes via an Interdepartmental Service Agreement (ISA) with the Massachusetts Department of Transportation (MassDOT). The ISA was approved by the MassDOT Board of Directors last week. Proposed by Gov. Maura Healey, the funding was passed by the Legislature.  

Originating from a state transportation fund, the agency says this funding will improve safety and reliability across the MBTA system. It will cover costs for major projects and add new funding into the Rail Reliability Program (RRP) to support large, long-term investments in the MBTA's capital projects and core infrastructure.

“The MBTA has been making significant progress to improve safety and reliability across the system, and this funding will help them continue this essential work,” Gov. Healey said. “Together with the Legislature, we are making sure that the T has a balanced budget and the resources it needs to deliver the world-class service that the people of Massachusetts deserve.”

This draw marks the second time the MBTA is using revenue from the state “Fair Share” tax to pay for critical projects. The agency notes that the dedicated Fair Share fund arms the commonwealth with more borrowing capacity of the CTF, giving more financial flexibility to support capital projects across the state. The MBTA further notes that the funding will help to keep improving service, further capital projects and provide reliability to riders across the system.

Key investments supported by the $850 million agreement:

The agency says the funding directly supports both new CIP objectives and the MBTA's ongoing focus on these core four areas:

• Safety: Investing in new technology and infrastructure to make the T safe for everyone. This also means upgrading critical systems that are over 100 years old, like the Green Line signal system and replacing old vehicles when needed so that riders and employees are secure.
• Reliability and modernization: Fixing old equipment and upgrading the system by, for example, replacing the MBTA's oldest locomotives and beginning construction of new, permanent maintenance facilities, like the Arborway Bus Facility and the Widett Layover Facility. These projects directly modernize MBTA operations so the T can run more reliable, on-time service.
• Accessibility: Making sure all riders can easily use the T, which includes making sure stations are built with a platform height that allows for level-boarding where passengers can walk straight onto the train without a gap or step.
• Sustainability and resilience: The investment is designed to address the most critical repairs needed right now, advance modernization so that the system can handle the impacts of climate change, and ensure it is durable and resilient.

“This vote by the MBTA Board and recent vote by the MassDOT Board marks another critical step forward in delivering safe, reliable and improved public transportation for the riders, communities, and businesses that we serve,” said Interim MassDOT Secretary and MBTA General Manager Phillip Eng. “This $850 million agreement, made possible by the Healey-Driscoll Administration and Fair Share revenue, will provide the critical support and infrastructure needed towards delivering vital projects to better serve the public. We are committed to ensuring we deliver meaningful projects on time and on budget, ensuring safety, improving accessibility and reliability and delivering a mass transit system for generations to come.”

The $850 million from the Commonwealth Transportation Fund is earmarked for four specific, critical capital projects focused on core infrastructure, vehicle modernization and climate resilience:

1. Arborway Battery Electric Bus Maintenance Facility: This significant investment will replace the existing temporary bus maintenance facility with a new, permanent campus. The goal is to design a facility capable of storing and maintaining approximately 200 battery-electric buses (BEBs), supporting the transition to zero emissions technology to meet the 2022 Massachusetts Climate Law requirements. The project includes a 75,000 square foot maintenance building, a 15,000 square foot service/wash building and an open-air yard for bus storage and charging.
2. Green Line infrastructure projects: This group of investments will help fund necessary infrastructure to accommodate the new Green Line Type 10 vehicles and support the Federal Transit Administration's Capital Investment Grant Core Capacity Program. Improvements include power upgrades, modernization of the 100-year-old signal system, track reconfiguration and modifications to all four maintenance facilities. The agency says these upgrades will result in higher capacity, increased frequencies and full level-boarding at stations to support passenger mobility.
3. Widett Regional Rail Layover Facility - Phase 1: This initial phase is an early-action package to prepare the 24-acre site for a regional rail layover facility. Phase 1 includes full demolition and environmental remediation of existing structures, geotechnical work and elevating the site by five feet to meet future climate resilient Design Flood Elevation. This phase will support the design and construction of a six-track electrified layover facility to support Battery Electric Multiple Units, enabling the new fully electrified service on the Fairmount line by 2028.
4. Locomotive procurement: This funding adds value to the ongoing procurement of new Commuter Rail locomotives, ensuring the replacement of the oldest vehicles in the fleet and maintaining service reliability.

“Today’s vote is a vital step in cementing the structural and operational improvements necessary to continue our efforts to transform the MBTA into a safer, more reliable transit system that our riders deserve and expect,” said MBTA Board Chair Thomas McGee. “I wish to thank the Healey-Driscoll Administration and the Legislature for their continued support of the MBTA and our transportation mission to serve the people of Massachusetts, and my MBTA and MassDOT Board colleagues for seeing this through to the finish line.”

The agency says the funding through the RRP program reinforces its commitment to safety, reliability and modernization. It plans to prioritize decades old, deferred maintenance while addressing needs for new tock to deliver consistent service for riders. The investments in new vehicles and track upgrades are being made to improve service reliability while the focus on accessibility and resiliency works to ensure the system is safer and more equitable for riders.