Title 49TransportationRelease 119-73not60

§22105 Sharing Project Costs

Title 49 › Subtitle SUBTITLE V— RAIL PROGRAMS › Part B— ASSISTANCE › Chapter 221— LOCAL RAIL FREIGHT ASSISTANCE › § 22105

Last updated Apr 5, 2026|Official source

Summary

The federal government pays 50% of the cost of a project, but it pays 70% for projects covered under section 22101(a)(2). A State can pay its share in cash or by providing certain benefits instead of cash: forgiving taxes on a rail carrier or its property; giving real or tangible personal property needed for rail freight; securing track rights for a rail carrier; or providing the cash value of State employee salaries used on the project (but not overhead or general admin costs). A State may pay more than its share, and any extra will count toward the State’s share in later years. States can also agree to pool the money they get under this chapter to fund a project if the project helps each State in the agreement and the agreement does not break State law.

Full Legal Text

Title 49, §22105

Transportation — Source: USLM XML via OLRC

(a)(1)The United States Government’s share of the costs of financial assistance for a project under this chapter is 50 percent, except that for assistance provided under section 22101(a)(2) of this title, the Government’s share is 70 percent. The State may pay its share of the costs in cash or through the following benefits, to the extent that the benefits otherwise would not be provided:
(A)forgiveness of taxes imposed on a rail carrier or its property.
(B)real and tangible personal property (provided by the State or a person for the State) necessary for the safe and efficient operation of rail freight transportation.
(C)track rights secured by the State for a rail carrier.
(D)the cash equivalent of State salaries for State employees working on the State project, except overhead and general administrative costs.
(2)A State may pay more than its required percentage share of the costs of a project under this chapter. When a State, or a person acting for a State, pays more than the State share of the costs of its projects during a fiscal year, the excess amount shall be applied to the State share for the costs of the State projects for later fiscal years.
(b)States may agree to combine any part of the amounts made available under this chapter to carry out a project that is eligible for assistance under this chapter when—
(1)the project will benefit each State making the agreement; and
(2)the agreement is not a violation of State law.

Legislative History

Notes & Related Subsidiaries

Historical and Revision Notes

Revised SectionSource (U.S. Code)Source (Statutes at Large) 22105(a)49 App.:1654(e).Oct. 15, 1966, Pub. L. 89–670, 80 Stat. 931, § 5(e), (j); added Feb. 5, 1976, Pub. L. 94–210, § 803, 90 Stat. 130; Nov. 8, 1978, Pub. L. 95–607, §§ 102–106(a), 107– 109(a), 92 Stat. 3059, 3062; Oct. 12, 1979, Pub. L. 96–86, § 115(b), 93 Stat. 662; Aug. 13, 1981, Pub. L. 97–35, §§ 1191, 1192, 95 Stat. 699; Jan. 14, 1983, Pub. L. 97–468, § 501, 96 Stat. 2551; Apr. 7, 1986, Pub. L. 99–272, § 4018, 100 Stat. 111; restated Dec. 11, 1989, Pub. L. 101–213, § 2(a), (c), 103 Stat. 1843, 1845, 1847. 22105(b)49 App.:1654(j). In this section, the words “project” and “projects” are substituted for “program” for clarity and consistency in this section. In subsection (a)(1), before clause (A), the words “financial assistance for a project under this chapter” are substituted for “rail freight assistance project” for clarity and consistency in this chapter. In clause (B), the words “for use in its rail freight assistance program” are omitted as unnecessary because of the restatement. In clause (D), the words “State employees” are substituted for “State public employees” to eliminate an unnecessary word. In subsection (b), before clause (1), the words “States may agree” are substituted for “Two or more States . . . enter into an agreement” to eliminate unnecessary words.

Reference

Citations & Metadata

Citation

49 U.S.C. § 22105

Title 49Transportation

Last Updated

Apr 5, 2026

Release point: 119-73not60