Metro to Make $400M Debt Payment, Transit Expansion Arguments Set to Begin Again

Metro plans to make a lump sum payment of $400M to pay down its outstanding debt, according to KMOX. The remaining $100M debt will be refinanced. The payment is made possible by the April 2010 passage of Prop A in St. Louis County, which levied a 0.5% sales tax to support Metro. Its passage also meant that a 0.25% sales tax approved by City voters years prior finally went into effect. Prop A passage promised to put Metro on stable financial footing in a state that provides virtually no transit funding.

The agency found itself deep in debt following construction of the $676M Blue Line, which opened in 2006. Overall system service was drastically cut following the failure of St. Louis County voters to pass Prop M, a 0.5% transit sales tax. Prop A restored much of that service and Metro once again looked toward expansion. Then Metro initiated the Moving Transit Forward initiative to gather public feedback regarding future MetroLink and MetroBus service.