City council is being asked to approve funding for the proposed underpass at Waverley Street and Taylor Avenue.
A report at city hall recommends councillors green-light the $155 million project that will also see Taylor Avenue twinned.
Proposed funding would be split between all three levels of government, with the city taking on debt to pay its share.
Around 30,000 vehicles and 40 trains pass through the intersection daily.
Construction on the undepass is set to begin next January with an opening date in 2019.
