From new design plans and major contract bidding to legal hurdles and progress toward billions in federal funding, these six updates track how Austin’s light rail endeavor, known as Project Connect, advanced throughout 2025.

1. Light Rail preliminary design plans released

The agency tasked with building the city’s light rail, Austin Transit Partnership, released a draft of its environmental impact study Jan. 10, kicking off the first in a series of major milestones slated for the upcoming year.

The document outlines several proposed adaptations from the last plans released for the rail system, which date back to 2023, when transit officials reduced plans for the rail by roughly half.

Read more here.


2. ATP recognized for community focus

Project Connect was honored March 26 by local nonprofit Community Advancement Network for the initiative's work toward collaboratively addressing community needs.

“Transportation is a bridge to opportunity,” said Jeffrey Travillion, Travis County commissioner and Austin Transit Partnership board member. “Project Connect is ensuring that all Austinites—regardless of income or background—have access to jobs, health care and essential services.”

Read more here.


3. ATP opens bidding for $3B Austin light rail contract

Austin Transit Partnership officially launched the agency’s official solicitation process for a design and construction contract worth an estimated $3 billion.

An additional $1 billion in contracts is also anticipated for vehicle purchase and operation and maintenance, while the total cost of the project is estimated at $7.1 billion.

Read more here.


4. Austin’s Project Connect survives state legislative session

State legislation that could have threatened Austin's multibillion-dollar Project Connect system once again failed to pass this year, while the transit initiative still faces legal hurdles in the months ahead.

Read more here.

5. Project Connect shortlists 3 finalists


Austin Transit Partnership announced Aug. 5 that three firms have been selected to move into the final round of evaluation for a design and construction contract worth an estimated $3 billion.

The transit authority outlined a few things they looked for during the review of firm proposals:
  • Innovative designs that meet technical needs while reflecting Austin’s unique character
  • Plans for construction in a way that keeps the city moving during the build
  • Up-to-date construction costs early in the design process to keep the project on budget
Read more here.

6. Austin’s light rail project moves closer to receiving billions in federal funding

Project Connect has been marked a priority by the Federal Transit Administration, paving the way for on-time construction of the city’s multibillion-dollar transit initiative.


The first phase of the light rail project has cleared a major federal milestone, ATP CEO Greg Canally told Community Impact in late November. The FTA gave the project a "Medium-High" overall rating in its fiscal year 2026-27 funding recommendations.

Read more here.