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Newsweek
20-05-2025
- Business
- Newsweek
Minnesota High-Speed Rail Project 'Effectively Dead' After Funding Change
Based on facts, either observed and verified firsthand by the reporter, or reported and verified from knowledgeable sources. Newsweek AI is in beta. Translations may contain inaccuracies—please refer to the original content. Plans for a high-speed passenger service between the Twin Cities and Duluth have run out of steam after the Minnesota Legislature voted to redirect $77 million in funding from the Northern Lights Express rail project. The decision was finalized when state lawmakers approved HF1143, a bill channeling those funds into unemployment insurance for hourly school employees during summer months. Newsweek contacted the Minnesota Transport Department for more information via email outside normal working hours. Why It Matters The bill's passage is a huge shift in Minnesota's transportation and budget priorities, de facto ending a years-long push for expanded passenger rail in the region. It comes as many other high-speed rail projects across the U.S. face funding issues and higher scrutiny from the Trump administration. What To Know The approved bill, HF1143, allocated $100 million for summer unemployment aid to part-time hourly school workers. The Democratic–Farmer–Labor (DFL) lawmakers and Education Minnesota union advocated for this move, noting the need to support education employees who lose income when school is not in session, local outlet Alpha News reported. Republican House leaders negotiated that $77 million from previously committed funds to the Northern Lights Express high-speed rail should be used to fund the school worker scheme. A proposed map of the Northern Lights Express, from the Minnesota Transportation Department. A proposed map of the Northern Lights Express, from the Minnesota Transportation Department. Minnesota Transportation Department The Minnesota House passed the bill unanimously (131-0) late Friday, followed by a 44-23 Senate vote. Republican senators opposed the reallocation, describing it as "shifts and gimmicks" in the legislative process. The Northern Lights Express, a proposed four-round-trip-per-day passenger train using BNSF tracks between Minneapolis and Duluth, was approved for nearly $195 million in state funds in 2023. The new funding cut leaves about $108 million remaining in state rail project funds, but House Transportation Committee Chair Representative Jon Koznick, a Republican, said the funding shift means the project is "effectively dead." What People Are Saying House Transportation Committee Chair Representative Jon Koznick, a Republican, told Alpha News on Monday: "For years, Democrats have spent hundreds of millions of dollars on wasteful rail projects that Minnesotans barely use and can't afford. With the House and Senate voting to shift a significant amount of the state's share of the project's funding, the Northern Lights Express train is effectively dead, and taxpayers are better off because of it." Republican Senator Jason Rarick said to Alpha News on Monday: "I think taking this money that came from the transportation realm to here and without actually going through the education committee and going through the transportation committee to have this discussion and having it part of the [budget] targets for consideration of either one, I don't believe this is the right way to go about doing this. "What we should be doing here is sending this money to the general fund and allocating in the [budget] targets to the committee to bring it in and then have it be a part of the committee's omnibus bill." What Happens Next The bill is now awaiting signature by Governor Tim Walz. With the reallocation of funds, the Northern Lights Express rail project's future appears stalled, while state lawmakers are expected to continue discussions on permanent unemployment support for school workers and the direction of Minnesota's transportation priorities.
Yahoo
19-05-2025
- Business
- Yahoo
State lawmakers defund proposed Twin Cities-Duluth rail project
Minnesota lawmakers have voted to strip funding from the Northern Lights Express – the long-debated, proposed a passenger rail service designed to connect the Twin Cities and Duluth. Both the House and Senate have approved a measure to redirect $77 million of approved state funding for the project. Under the plan, which now heads to Gov. Tim Walz for his signature, those funds will instead cover unemployment insurance costs for seasonal school workers – a measure passed by the DFL in 2023 that Democrats wanted to retain during budget negotiations with Republicans. House Republican Transportation Chair Rep. Jon Koznick (R–Lakeville), a longtime opponent of passenger rail projects, said the move means the Northern Lights Express train is "effectively dead." 'For years, Democrats have spent hundreds of millions of dollars on wasteful rail projects that Minnesotans barely use and can't afford,' he said in a statement. Approximately $108 million remains in state funding for the Northern Lights Express. However, lawmakers could also move to redirect those funds as the slim chance of receiving necessary federal funding grows smaller. Koznick said he'll be focusing his effort on ensuring the remaining funds will be spent spent on infrastructure such as roads and bridges. If constructed, the Northern Lights Express would operate on approximately 152 miles of an existing BNSF Railway corridor. The service would make four round-trips daily and be operated by Amtrak or a similar provider, according to the NLX Alliance. With a train operating at speeds of up to 90 miles-per-hour, a one-way trip between the Twin Cities and Twin Ports would take about two-and-a-half hours.
Yahoo
19-05-2025
- Business
- Yahoo
MN lawmakers pull funding from Northern Lights Express train to Duluth
The Brief Minnesota lawmakers voted to reallocate $77 million from the Northern Lights Express rail project to cover unemployment insurance for seasonal school workers. The shift leaves $108 million of the original $195 million in state funding, jeopardizing the proposed train line. Rep. Jon Koznick declared the project "effectively dead," criticizing it as wasteful amid declining rail ridership. DULUTH, Minn. (FOX 9) - A bill approved over the weekend by Minnesota lawmakers pulled funding for the Northern Lights Express train, a proposal that would create a passenger train line running from the Twin Cities to Duluth. What we know In a release on Sunday, House Republican Transportation Chair Rep. Jon Koznick (R–Lakeville) announced House File 1143 had been approved by the Senate. The bill sends $77 million from the rail project to cover unemployment insurance costs for seasonal school workers. The backstory In May 2023, the Minnesota Legislature approved $195 million to go towards the long-proposed Northern Lights Express. After this weekend's votes, roughly $108 million remains for the project. Under the initial proposal, the train would have been run by Amtrak, making four round trips each day on BNSF tracks. Tickets would cost between $30 and $35., with the train running from Target Field to the Union Depot in Duluth, with several stops along the way. However, the plan was contingent on federal funds, which would have covered 80 percent of the costs of the project, which haven't come through. What they're saying In a provided statement, Rep. Koznick said: "For years, Democrats have spent hundreds of millions of dollars on wasteful rail projects that Minnesotans barely use and can't afford. With the House and Senate voting to shift a significant amount of the state's share of the project's funding, the Northern Lights Express train is effectively dead, and taxpayers are better off because of it." Dig deeper Earlier this year, the Met Council announced plans to shift the Northstar train line, which runs from downtown Minneapolis to Big Lake, to a bus service. The decision comes as ridership has plummeted for the line following the pandemic – and as Rep. Koznick was pushing legislation to cut funding for the rail line, which the lawmaker said the line was costing taxpayers $11 million despite "near zero" ridership.