Austin Transit Partnership Awards First Light Rail Contract

The $60 million design-build contract kicks off the $7.1 billion Project Connect light rail system.

Published on Feb. 23, 2026

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The Austin Transit Partnership board has awarded a $60 million design-build contract to Austin Rail Constructors, a joint venture between Stacy Witbeck and Sundt Construction, for the first phase of Austin's long-awaited light rail system. This contract covers the final design work, with the goal of breaking ground on the $7.1 billion Project Connect light rail system in 2027.

Why it matters

The light rail system is a key part of Austin's long-term transportation plan, approved by voters in 2020, to address growing traffic congestion and provide more public transit options. This first contract award is a significant milestone in getting the project off the ground after years of planning.

The details

The $60 million contract is for phase 1A of the light rail project, which will allow for final design work. The full 9.8-mile system is planned to have 15 stations and run electric trains every 5-10 minutes. However, the project still faces challenges, including securing roughly $4 billion in federal grant funding and an ongoing lawsuit over the funding mechanism.

  • The Austin Transit Partnership board awarded the $60 million contract on February 18, 2026.
  • The goal is to begin construction on the light rail system in 2027.

The players

Austin Transit Partnership

The local government entity responsible for building the voter-backed light rail system in Austin.

Austin Rail Constructors

A joint venture between civil infrastructure firms Stacy Witbeck and Sundt Construction that was awarded the $60 million design-build contract for the first phase of the light rail project.

Greg Canally

The CEO of the Austin Transit Partnership.

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What they’re saying

“This is a big, important milestone for Austin Light Rail. ATP is highly focused on delivering this much-needed mobility investment for Austin, and with this contract now in place, we are on track to begin construction in 2027.”

— Greg Canally, CEO, Austin Transit Partnership (statesman.com)

What’s next

The Austin Transit Partnership still needs to secure roughly $4 billion in federal grant funding for the project, and the funding mechanism remains embroiled in a lawsuit before the Texas Supreme Court.

The takeaway

The awarding of this first major contract marks a significant step forward for Austin's long-awaited light rail system, which voters approved in 2020 as part of the broader Project Connect transit plan. While challenges remain, this milestone puts the city on track to begin construction in 2027 and start providing residents with a new high-capacity public transportation option.