GILROY, Calif. -

A plan to potentially bring a high-speed rail station to downtown Gilroy is moving forward, state and city officials said.

The California High-Speed Rail Authority and the city have entered into a funding agreement that will allow the two entities to initiate the planning process for a potential high-speed rail station in the downtown area of the city.

"The high-speed rail station will change the landscape of our downtown, just like the railroad did in the late 1800’s,” said Mayor Don Gage said. “We are very pleased to receive the financial and technical support of the California High-Speed Rail Authority and VTA to properly design, plan and implement a station area that complements and enhances our downtown."

Under the agreement, the city will receive $750,000 in grants to explore options and seek public input for the design and development of a prospective station downtown. That site is one of two locations under consideration for a high-speed rail station in Gilroy.

The grant also will be used for the city to explore alternatives, conduct  cost-analysis and evaluate financing options for a station.