A $10 million state grant will fund work on 12 former Toronto trains, part of a $65 million transit package. Detroit Transportation Corp. is one of 18 recipients.
Detroit's elevated rail system serves about 1.25 million riders a year. It connects with the QLINE streetcar and other regional transportation services. Its nine aging cars are slated to be replaced with 12 refurbished vehicles.
Detroit Transportation Corporation reported about 1.3 million trips in 2025, up from roughly 655,000 in 2023. The People Mover has been free to ride since 2024.
Michigan awarded DTC $10 million through the Infrastructure Projects Authority Fund, or IPAF. Gov. Gretchen Whitmer announced the grant on Oct. 13. The state's grant announcement lists the award as "People Mover 1.5: Rail Car Project."
How the grant will be used
The grant covers the remaining evaluation and reconditioning work on 12 former Toronto Transit Commission vehicles. It will also pay for integration of onboard and infrastructure systems, followed by testing and certification. DTC has already completed some work on the replacement effort.
The cars came from Toronto's Scarborough Rapid Transit system. They are technically similar to the People Mover vehicles, including their use of linear induction motors. Planned refurbishments include new floors. The cars will also get new seats and interior updates.
The 12 refurbished cars are intended to replace the People Mover's existing nine-car fleet. DTC Chief of Staff Sarah Gryniewicz told Axios the new fleet is expected to improve service frequency and provide spare vehicles for maintenance.
The spring 2028 passenger-service target remains in place.
Before then, the cars must pass inspections and receive modifications. DTC will then complete testing and certification.
DTC General Manager Robert Cramer has estimated that refurbishing the Toronto cars could extend the fleet's service life by five to 10 years. He put the savings at about $29 million to $41 million compared with buying new trains. In 2024, Detroit's City Council allocated $38 million to keep the People Mover operating through 2029. That included about $6 million for the purchase and entry into service of former TTC cars. The state grant will fund further stages of the project. Axios Detroit reported DTC's plans and its spring 2028 target.
The award is part of a $65 million IPAF package for public transportation projects around Michigan. DTC is one of 18 grant recipients. The state's grant table assigns $10 million to its rail-car project.
State transit funding
Michigan established IPAF in its fiscal-year 2026 budget to provide dedicated, long-term capital for public transportation. The Michigan Department of Transportation administers the program. The People Mover award comes from IPAF's first round of grants.
The grant is separate from federal research funding covered in an earlier MSU grant report. That award was for a planned university research center, not a transit project.
MDOT also plans to create a position to coordinate transit and rail operations across Michigan. Whitmer's announcement said further action will follow to improve coordination across state government on transit and multimodal transportation. The state allocated another $2 million for a Detroit-area study of downtown transit connections. The study will examine coordination between the People Mover and QLINE. DDOT and SMART are also included.