U.S. Representatives Kurt Schrader, Peter DeFazio, and Earl Blumenauer announced today, that Oregon Iron Works in Oregon City in coordination with TriMet will be receiving a grant through the Federal Transit Administration in the amount of $2.4 million.

“As a small business owner I recognize the important role public transportation plays in our community,” said Schrader. “The funding for this project will not only help to create jobs and provide for more reliable transportation, but also provides our community with new and exciting opportunities in both our professional and personal endeavors.”

“This grant is a major shot in the arm for Oregon’s struggling economy,” said DeFazio. “Oregon Iron Works has been a leader in the rebirth of the domestic street car manufacturing—producing the first American made street car in over 70 years right here in Oregon.  This grant could help open up new aspects of the growing streetcar market for them creating more family-wage jobs here in Oregon and helping to revitalize the U.S. manufacturing sector.”

“This is a huge vote of confidence in Oregon Iron Works and our streetcar agenda by the Obama administration,” said Blumenauer. “This funding creates Oregon based jobs now and unlocks a variety of new markets and new applications for the modern streetcar, which may lead to hundreds of more jobs in the future.”

Oregon Iron Works will use the grant to install and test a domestically produced propulsion system.  This will replace the current systems which are produced abroad. The grant will also support work on innovative battery and supper capacitor technology which will allow modern streetcars to travel short distances without overhead wires. Oregon Iron Works hopes to complete certification of a domestic propulsion system in early 2011.

These enhancements in technology will help Portland become the nation’s domestic leader in production and utilization of the modern street car. The city already has of the first modern street car system in America with several lines already in use or development, including a proposed line between Portland and Lake Oswego.