The Trump administration is attempting to withdraw $11.5 million in federal funding for Albuquerque’s Rail Trail project, prompting Mayor Tim Keller to threaten legal action to preserve the grant.
The U.S. Department of Transportation notified the city this week that it was backtracking on a 2022 funding commitment made through the Rebuilding American Infrastructure with Sustainability and Equity (RAISE) grant program, according to city officials.
“We are going to stand up for Albuquerque and prevent the Trump Administration from pulling money from a project the people of Albuquerque want,” Keller said. “We will see you in court.”
The DOT’s withdrawal letter provided little justification beyond stating the department is focusing on car-based projects rather than people-based projects like the Rail Trail, according to the city.
The Rail Trail is planned as a 7-mile pedestrian and bicycle loop connecting downtown Albuquerque, Old Town and the Rail Yards district. The city has secured $39.5 million total from various sources for the project, with the disputed federal grant representing nearly 30% of the funding.
Jennifer Turner, director of the city’s Department of Municipal Development, said construction has already begun on portions of the trail based on the federal commitment.
“We were promised this money to build one of the best trail systems in the nation,” Turner said. “We’ve made real progress building the trail, and anybody who has been Downtown or to Sawmill can see the transformative work we are doing.”
Despite the funding dispute, the city plans to continue construction on completed segments. The Sawmill section is expected to open this fall, while the Central Crossing section remains on track for a 2026 opening, according to city officials.
The project, designed by renowned Albuquerque architect Antoine Predock, is estimated to generate $1 million to $3.2 million in annual economic impact and increase property values in the area.
Other funding sources for the Rail Trail include $12.1 million from the Albuquerque City Council, a $10 million grant from Gov. Michelle Lujan Grisham and $3 million in federal earmarks secured by Sens. Ben Ray Luján and Martin Heinrich.
Terry Brunner, director of the Metropolitan Redevelopment Agency, said the city remains committed to completing the full trail despite the federal funding setback.