The California Department of Transportation (Caltrans) provided funding of $6 million for the service. Some of the money was to be spent on capital improvements, such as new station platforms. These would be located on Southern Pacific (SP) territory, prompting additional litigation between SP, Caltrans, and the PUC. The SP challenged the authority of the transportation agencies to construct these platforms on its property without its consent. After a ruling by the Supreme Court of California in favor of Caltrans the service proceeded, with the start date unchanged. It was the first local rail service in Los Angeles since Pacific Electric discontinued operations on April 8, 1961.