CARSON CITY – Nevada officials are hoping that a high-speed rail project can help the state’s long-term economic recovery. The State Board of Finance on Friday, July 24, approved the issuance of up to $950 million in industrial development revenue bonds to assist in the construction of a 170-mile high-speed rail project connecting Las Vegas to Victorville, California.
A statement released from Nevada Treasurer Zach Conine’s office said no taxpayer dollars will be used to finance the project. Instead, the state will allocate $200 million of its existing private activity bond volume cap, and leverage an additional $750 million from the federal government. Bond proceeds will support construction and maintenance of the rail system for about 35 miles adjacent to Interstate 15, along with necessary infrastructure improvements in southern Nevada.
Conine said the issuance of these bonds won’t impact the State’s ability to finance future projects.
DesertXpress Enterprises is slated to begin construction on the project later this year, creating 10,000 construction jobs and 350 permanent jobs. Construction is scheduled for completion in 2023.
The company estimates the rail system will result in three million fewer cars on the roadways each year and reduce carbon emissions by 100,000 tons per year.