Feds Opens $153M to Enhance Intercity Passenger Rail Service

The Federal Railroad Administration (FRA) recently opened $153 million to initiate, restore, and enhance intercity passenger rail services. 

The U.S. Department of Transportation’s Federal Railroad Administration (FRA) recently issued a Notice of Funding Opportunity (NOFO) that makes available over $153 million in funding for the Restoration and Enhancement (R&E) Grant Program. Grant funding will assist with operating costs for eligible projects that will establish service on new routes, restore service on routes that formerly had intercity passenger operations, and enhance service on existing routes. These passenger rail upgrades will complement the dozens of major rail projects that are underway across the country and improve the intercity passenger rail network, thanks to the Bipartisan Infrastructure Law.

The R&E Program covers an array of expenses up to the first six years of service for newly initiated, restored, or enhanced passenger rail operations while the services build their ridership and revenue base and bolster their long-term potential. These expenses include operating costs, such as staffing costs for train crew members; station costs, such as ticket sales, customer information, and train dispatching services; train yard operations costs; routine planned maintenance costs of equipment and train cleaning costs; marketing costs; and administrative costs, among other expenses. By expanding the availability of passenger rail and providing riders with high-quality services, the R&E Program also encourages a modal shift to safe and environmentally friendly transportation options.

The NOFO is on public inspection in the Federal Register here. Applications for funding are due 75 days after the publication date. R&E Program requirements, as well as the evaluation and selection criteria for grant selections, are outlined in the NOFO. FRA will also support applicants with live technical assistance to potential applicants prior to the deadline.

More information about the R&E Program can be found on FRA’s website here. 

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