important improvement that can be made to the Peninsula commuter line at the present time." In 1989, the Federal Transit Administration authorized a draft environmental impact report, which was completed in 1991 but never published or reviewed as the share of local funding for the terminal relocation never materialized. However, Caltrans was being pressured to drop funding for CalTrain. By state law, the subsidies for the rail service would have been discontinued as the farebox recovery ratio failed to breach 40%, unless a waiver was granted. Once the state determined the train service provided mainly a regional, and not a statewide benefit, control of CalTrain should more appropriately be passed to a regional agency. Accordingly, a three-county agency, the Peninsula Corridor Joint Powers Board (PCJPB) was formed in 1991 and with the help of state funds, PCJPB purchased the Peninsula Corridor line and right-of-way from SP in 1992 for $202 million ($ adjusted for inflation). Peninsula Corridor Joint Powers Board: First attempt Once PCJPB took over the stewardship of Caltrain in 1992, the downtown extension was identified as a high-priority project, and a study was undertaken in 1993 to evaluate nine project alternatives. PCJPB leadership voted in March 1994 under Resolution 1994-8 to extend service to downtown by 1996. Projected weekday Caltrain ridership was anticipated to double (compared to 21,700 daily passengers in 1995) with the completion of a downtown extension. Under Resolution 1994-8, electrified trains were planned past 4th and King down either King, Townsend, or Brannan, bringing tracks underground at Fourth Street, and then to one of two alternative downtown terminal sites selected for further study: a locally preferred alignment, which terminated at Market and Beale, nearly the same alignment as the 1911 plans; or the Transbay Terminal. A new terminal at the Market and Beale site would have either two or three underground levels and either two or four tracks terminating at Market or Mission Streets. Alternatively, if selected, a new terminal at Transbay would be either an aerial or underground platform. Other alternatives identified during early studies included short or long tunnel options, different locations for the tracks to turn north, and two different tunnel construction methods. An additional east–west alignment along Brannan was dropped from consideration in 1995 to avoid disruption to local business. Ventilation requirements would depend on the length of the tunnel selected, and some options would require new locomotives powered by natural