Volusia County lines up financing to help bring SunRail to DeLand

Posted On: April 20, 2021

Now that SunRail’s commuter train service is coming to DeLand, Volusia County is lining up financing to pay for its share of the construction costs.

The rail service currently runs from Kissimmee to DeBary. Pursuant to a 2007 agreement, Volusia County is required to pay 25% of the cost if the transit system is extended the approximately 11½ miles from DeBary to DeLand. Initially, the county’s share was projected to be about $19.2 million. But through design modifications made by the Florida Department of Transportation, the county’s share of the construction costs will be $11.2 million.

On Tuesday, council members authorized staff to apply for a State Infrastructure Bank loan to finance its portion of the constructions costs to extend SunRail to DeLand. State Infrastructure Banks utilize revolving investment funds to offer loans to help public and private entities finance transportation projects.

The county is planning to amortize the cost of the loan over a 15-year period. Assuming an interest rate of 1.75%, the annual debt service on the $11.2 million loan would be $858,449. The money for the annual debt service payments would come from the county’s general fund.