SEPTA Rail Contract Being Reviewed

The Inspector General of the U.S. Department of Transportation has launched an investigation into the procurement of new rail cars by the Southeast Pennsylvania Department of Transportation.

SEPTA awarded a $138 million contract to China Railway Rolling Stock Corporation to build 45 rail cars.

The OIG audit will review whether the contract violates the Federal Transit Authority’s Buy America requirements for the acquisition of rolling stock.

In a news release, the USDOT OIG said the audit will examine FTA’s oversight of SEPTA’s certification of CRRC’s adherence to Buy America requirements, and SEPTA’s calculation of the total value of foreign components. The audit is expected to begin in the coming weeks.

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