EAST CHICAGO, Indiana (April 3, 2007) -- Governor Mitch Daniels announced today the Indiana Department of Transportation (INDOT) will contribute $3 million toward the purchase of 14 new passenger rail cars for the Northern Indiana Commuter District (NICTD). NICTD requested additional rail car funding for its South Shore Line which runs between South Bend and downtown Chicago.

¿Mass transit will play a large role in Indiana¿s future, and the South Shore¿s recent growth shows its potential,¿ said Daniels.

Over the past year, annual ridership on the South Shore Line jumped to more than 4.2 million passengers. The rail line is currently enjoying a surge in customers ¿ especially during the construction along the Borman and the Dan Ryan expressways.

The state¿s $3 million contribution will come from Congestion Mitigation Air Quality (CMAQ) funds which are used for programs designed to reduce vehicle emissions.

On Monday, the Northwest Indiana Regional Development Authority (RDA) delivered a $17.5 million grant to NICTD toward the purchase. The RDA was created by legislation the governor proposed in 2005, and much of its core funding comes from Major Moves lease proceeds.

¿Now that our strategic economic development plan has been approved, the Authority can begin to make important investments in Northwest Indiana,¿ said John Clark, RDA chairman.

The Northwestern Indiana Regional Planning Commission also will dedicate local CMAQ funds to the project. According to NICTD, the new rail cars will be built and delivered within the next 18 to 24 months.

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