Rail Freight Program

The Rail Freight Program is designed to support the preservation and enhancement of essential rail freight services in Pennsylvania. The program seeks to maintain economically feasible rail operations while promoting economic development through the expansion of new or existing rail freight services. By funding infrastructure improvements, the program helps ensure that businesses and communities in the state can continue to rely on freight rail for their transportation and logistics needs. Funding provided through this program may be used for capital maintenance and the construction of freight rail or intermodal rail infrastructure. This includes track rehabilitation, bridge repairs, rail yard improvements, and other critical infrastructure investments necessary to support freight rail operations. The program aims to sustain rail freight networks that contribute to regional and statewide economic growth. Applicants are eligible to receive up to 70% of total project costs from the state, with a required local match of 30%. In addition to the matching funds, recipients must agree to maintain and use the freight rail infrastructure for a minimum period of 15 years. This ensures long-term sustainability and continued benefits from the funded improvements. Eligible applicants include railroad companies, transportation organizations, municipalities, municipal authorities, and businesses that use rail freight infrastructure. These entities must demonstrate the economic and operational necessity of their proposed projects to qualify for funding. Applications for the Rail Freight Program must be submitted electronically through the Pennsylvania Department of Transportation (PennDOT) Bureau of Rail Freight. Interested applicants should visit PennDOT’s Rail Freight Program webpage for detailed application instructions and submission requirements.