DOT Announces $196M to Replace Aging Railcars and Improve Reliability and Safety
Eligible Applicants: States and Local Governments. Application are due December 18, 2023.
Announcement Type: Notice of Funding Opportunity (NOFO)
Opportunity: FY 2024 Competitive Funding Opportunity: Rail Vehicle Replacement Grant Program (RAIL)
Overview and Eligible Uses: The Rail Vehicle Replacement Program makes funding available competitively to help fund capital projects to replace rail rolling stock. For the purposes of this program, rail rolling stock is defined as revenue service, passenger carrying vehicles, or propulsion (locomotives) vehicles necessary for the provision of rail public transportation. The program is a set-aside of the State of Good Repair Formula Grants Program.
In FY 2023, FTA selected six projects from 18 eligible proposals, granting $703,093,337.
Amount: The federal share is not to exceed 80 percent of the net project cost. The maximum share of the grant funding cannot exceed 50 percent of the net project cost.
For example, a rail vehicle replacement project with a total eligible cost of $100,000,000 may receive up to $50,000,000 from this program. The remaining $50,000,000 could be provided from a combination of non-Federal and other Federal funds, up to $30,000,000 of which could be other Federal funding. For a $100,000,000 project, at least $20,000,000 (20-percent) must be non-Federal funds.
FTA intends to fund up to three new awards each fiscal year, potentially involving multi-year grant agreements to support projects over multiple years
Award Type: Cost Sharing
Eligible Applicants: States and local governmental authorities located in Urbanized Areas (UZA) with fixed guideway or high intensity motorbus systems in revenue for at least seven (7) years.
Key Dates: Applications are due December 18, 2023.
Key Links:
For a full list of currently available grant programs under the Infrastructure Law and other helpful tools, take a look at our Helpful Resources page.
This tracker will continue to send updates when new funding opportunities are announced.