AUSTIN, Texas — The Austin Light Rail project is creeping closer to the station after a promising rating from federal transit officials last week.

In an annual funding recommendation report from the Federal Transit Administration, the project received an overall project rating and local financial commitment summary rating of “medium-high.” It also received “medium” ratings for mobility improvement, land use and project justification summary.

The line received a cost-effectiveness rating of “low,” which may reflect the problems the Austin Light Rail has faced since its 2020 voter approval as part of Project Connect. The project included “a generational $7 billion transit overhaul and an ongoing 20% property tax increase,” the Austin American-Statesman reported, but the cost of the light rail has since increased.

The funding recommendation ratings are set to allow the Austin Transit Partnership to compete for federal funding through the Capital Investment Grant. The line’s overall rating also “signals that federal staff view the project as financially and technically viable,” according to the Statesman.

Austin Light Rail was 27 miles long at the time of Project Connect’s passing but has since been reduced to under 10 miles. It would run north to south between 38th and Oltorf streets and include an eastern spur stretching from Lady Bird Lake area to near the inside of State Highway 71.