Phase two includes building an underground rail extension from the current Caltrain station south of Market Street, to the new Transbay Center. The extension would be used by Caltrain and the future California high speed rail system.
The board is concerned about cost overruns and the adjacent sinking Millennium Tower. Mayor Ed Lee says he backs the delay.
"It doesn't hurt us right now financially," he said. "I think what we need to do is focus on the engineering techniques, focus on the things we are doing now to make sure we are doing our best."
The Transbay Joint Powers Authority tells The Examiner the postponement of funding could jeopardize the project. The board will discuss the funding issue at a meeting scheduled for next month.
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