Intercity Passenger Rail Investment
In 2002, the Bush Administration announced a number of principles
to reform the delivery of intercity passenger rail service in the United States and guide its future development. One of these principles was to “establish a long–term partnership between States and the Federal Government to support intercity passenger rail.” The Administration believes States have the primary responsibility in deciding where and how intercity passenger rail is operated while the role of the federal government is to provide funding assistance for capital investment projects.
In furtherance of that principle, the President’s Fiscal Year (FY) 2008 Budget proposed, and the Congress enacted (as part of the Transportation, Housing and Urban Development, and Related Agencies Appropriations Act, 2008) the Capital Assistance to States – Intercity Passenger Rail Service Program. The program will increase the States’ role in intercity passenger rail development by establishing the first-ever Federal-State partnership for intercity passenger rail investment along the model of those that currently exist for other modes of transportation such as for highways, airports, and transit systems.
This program, which was officially announced on February 19, 2008, makes $30,000,000 in Federal matching funds available directly to States through grants to fund up to 50 percent of the cost of capital investments and planning activities necessary to achieve tangible improvements to, or institute new, intercity passenger rail service. In particular, the Federal Railroad Administration (FRA) is interested in receiving project proposals that lead to an on-time performance of 80 percent of greater, or reduce travel times, increase service frequency, or enhance service quality for intercity rail passengers.
Examples of such improvements include (but are not strictly limited to) the purchase of passenger rolling stock, the improvement of existing track to allow for higher maximum operating speeds, the addition or lengthening of passing tracks to increase capacity, the improvement of interlockings to increase capacity and reliability, and the improvement of signaling systems to increase capacity and maximum speeds, and improve safety.
The FRA will begin accepting grant application beginning March 18, 2008, with the expectation that awards will be made later this year.
February 19, 2008 Solicitation of Applications and Notice of Funding Availability for the Capital Assistance to States - Intercity Passenger Rail Service Program
Public Announcement by U.S. Secretary of Transportation Mary E. Peters of the establishment of the Capital Assistance to States - Intercity Passenger Rail Service Program
