Title 49 › Subtitle SUBTITLE V— - RAIL PROGRAMS › Part PART B— - ASSISTANCE › Chapter CHAPTER 229— - RAIL IMPROVEMENT GRANTS › § 22909
The Secretary of Transportation, working with the Federal Railroad Administration, must create a competitive grant program to pay for projects that make highway-rail and pathway-rail crossings safer and move people and goods more easily. Eligible recipients include states (and territories), local governments, tribes, port authorities, metropolitan planning organizations, and groups of these. Grants can pay for things like separating or closing crossings (bridges, tunnels, embankments), moving tracks, buying property rights, adding or upgrading signals and safety devices tied to those projects, other safety or mobility improvements (including technology), groups of linked projects, and planning, design, or environmental work. When deciding awards, the Secretary must look at how projects improve safety, remove or separate crossings, help people and freight move, cut pollution and noise, improve emergency access, boost the economy, and reconnect communities. The Secretary will also consider use of innovative technology or materials that lower greenhouse gases, local hiring incentives, benefits for noncar users, whether projects appear in state rail or freight plans, and how much rail carriers will contribute. At least 20 percent of funds each year must go to projects in rural areas or on Tribal lands, and at least 5 percent of that rural/Tribal portion must go to counties with 20 or fewer people per square mile (based on the most recent census). No more than 20 percent of funds may go to projects in any one State. Grants cannot be less than $1,000,000 except for planning grants. Federal funding may cover up to 80 percent of a project, and preliminary engineering costs can count toward the project total. Applicants must apply as the Secretary requires and generally get approvals from impacted rail carriers or property owners before construction, though planning grants can move forward if the applicant agrees to work with carriers and right‑of‑way owners. The Department must notify the Senate Commerce Committee and House Transportation Committee in writing at least 3 days before awarding a grant (with a project summary and award amount), and within 60 days after each award round must post on the DOT website lists of applicants, awardees, and ineligible proposals. Commuter rail projects follow special rules: funds awarded for commuter rail go to the Federal Transit Administration to administer, and affected railway employees must be covered by the employee protective arrangements required under the law. A “rural area” means any place not in a Census-designated urbanized area.
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Reference
Citation
49 U.S.C. § 22909
Title 49 — Transportation
Last Updated
Apr 6, 2026
Release point: 119-73