{"id":37153,"date":"2016-03-10T18:05:18","date_gmt":"2016-03-11T00:05:18","guid":{"rendered":"http:\/\/news.medill.northwestern.edu\/chicago\/?p=37153"},"modified":"2016-04-18T13:14:39","modified_gmt":"2016-04-18T18:14:39","slug":"ctas-largest-railcar-purchase-will-bring-jobs-to-the-south-side","status":"publish","type":"post","link":"https:\/\/news.medill.northwestern.edu\/chicago\/ctas-largest-railcar-purchase-will-bring-jobs-to-the-south-side\/","title":{"rendered":"CTA\u2019s Largest Railcar Purchase Will Bring Jobs to the South Side"},"content":{"rendered":"

By Xuanyan Ouyang<\/strong><\/p>\n

The Chicago Transit Authority announced\u00a0an overhaul of\u00a0the city\u2019s rail cars with an historic contract of over $1.3 billion requiring the winning bidder to build a brand-new rail car assembly plant on Chicago’s South Side, creating 170 jobs.<\/p>\n

CTA awarded\u00a0on Thursday\u00a0the agency\u2019s largest car purchase contract to CSR Sifang America JV, a China-based joint venture of CRRC Qingdao Sifang Co. Ltd. and CSR America Inc., a subsidiary of another Chinese company.\u00a0As part of\u00a0a requirement of the contract, the train car producer is proposing to build a rail car assembly facility near 135th<\/sup> and Torrence, south of the Pullman neighborhood. The city expects an investment of $40 million for the facility.<\/p>\n

\u201cWith this agreement, CTA riders will get state-of-the-art rail cars and Chicago returns to our roots as the place where the next generation of rail cars are built, providing good jobs for our residents,\u201d said Mayor Rahm Emanuel in the CTA press release. \u201cThis is a classic win-win for Chicago.\u201d<\/p>\n

The expected 170 jobs will be \u201cgood-paying jobs\u201d including mostly union, high-skilled, sheet metal and electrical workers, according to CTA officials.\u00a0The contract\u00a0will also bring additional temporary jobs for the construction of the facility.<\/p>\n

\u201cThis is one of the biggest steps the CTA has taken in years to improve and modernize service for our customers,\u201d said Jeff Tolman, CTA spokesman, in an e-mail. “The facility will be the first of its kind in Chicago and mark the return of rail car assembly to Chicago for the first time in more than 35 years.\u201d
\n<\/p>\n

According to the U.S. Department of Labor, the city\u2019s unemployment rate is 5.7 percent, fourth highest among the nation’s large metropolitan areas.<\/p>\n

The Chicago Federation of Labor originally proposed the plan to include a \u201cU.S. Employment\u201d provision in the bid for manufacturing the 846 new railcars.<\/p>\n

The organization\u2019s president, Jorge Ramirez, said the\u00a0plant is \u201cthe culmination of nearly two years of collaboration with Mayor Emanuel to bring rail car manufacturing back to Chicago where it belongs. \u201d<\/p>\n

The city plans to pay the cars by issuing new municipal bonds. The CTA said the contract will be funded by a combination of Transportation Infrastructure Finance and Innovation Act or low-cost loans for large-scale infrastructure projects, existing and future CTA bonds as well as Federal Transit Administration funds.<\/p>\n

CTA expects\u00a0that prototypes of the new cars will be completed by 2019 and\u00a0the new cars will roll into the system commencing in\u00a02020.<\/p>\n

The announcement was hailed by Mike Symanski, president of the Historic Pullman Foundation, as “very exciting.”<\/p>\n

Pullman, about two miles north of the\u00a0new plant’s tentative location,\u00a0was once a vibrant industrial district in Chicago. George Pullman, the owner of the Pullman Palace Car Company, built housing for the company\u2019s employees in the neighborhood. The area is regarded as one of the most successful company towns in the country. But the town experienced a\u00a0bust amid the economic depression in 1890s, the death of George Pullman and industrial restructuring. Railcar manufacturing in Pullman\u00a0ceased in 1981.<\/p>\n

In his statement Mayor Emanuel said he expects the new plant\u00a0to attract rail car suppliers that will\u00a0create more jobs in the city.<\/p>\n

Photo at top: Chicago is planning to update its railway system. A new assembly plant\u00a0will build\u00a0846 rail cars that will go into service starting in 2020. (GCF Photography\/CREATIVE COMMONS via Flickr<\/a>)<\/div>\n","protected":false},"excerpt":{"rendered":"

By Xuanyan Ouyang The Chicago Transit Authority announced\u00a0an overhaul of\u00a0the city\u2019s rail cars with an historic contract of over $1.3 billion requiring the winning bidder to build a brand-new rail car assembly plant on Chicago’s South Side, creating 170 jobs. CTA awarded\u00a0on Thursday\u00a0the agency\u2019s largest car purchase contract to CSR Sifang America JV, a China-based […]<\/p>\n","protected":false},"author":202,"featured_media":37189,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[585],"tags":[61,923],"class_list":["post-37153","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-winter-2016","tag-chicago","tag-cta"],"yoast_head":"\nCTA\u2019s Largest Railcar Purchase Will Bring Jobs to the South Side - Medill Reports Chicago<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/news.medill.northwestern.edu\/chicago\/ctas-largest-railcar-purchase-will-bring-jobs-to-the-south-side\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"CTA\u2019s Largest Railcar Purchase Will Bring Jobs to the South Side - Medill Reports Chicago\" \/>\n<meta property=\"og:description\" content=\"By Xuanyan Ouyang The Chicago Transit Authority announced\u00a0an overhaul of\u00a0the city\u2019s rail cars with an historic contract of over $1.3 billion requiring the winning bidder to build a brand-new rail car assembly plant on Chicago’s South Side, creating 170 jobs. 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