The New York Metropolitan Transit Authority (METRO) has finalised an inter-agency agreement with the Utah Transit Authority for the procurement of 19 light-railcars from Siemens, Railway Technology reports.

The railcars will reduce traffic congestion in the existing trains by operating two-car trains on the existing Main Street line throughout the day.

The total purchase price is $83m with the cost per car not to exceed $4.36m.

In September 2010, METRO ended a contract with Spanish rail equipment manufacturer Construcciones y Auxiliar de Ferrocarriles (CAF) to not conflict with Buy America rules, and has worked since then with the Federal Transit Administration (FTA) to be in line with procurement requirements.

The funding for the new purchase will include $64m from federal stimulus funds of the American Recovery and Reinvestment Act, $14m from the CAF negotiated refund and $5m local funds from the FY2012 budget.