DOT issues $5.1B NOFO for railroad projects nationwide

A rusty rail with brown tracks leading across a green bridge.

September 24, 2025

The U.S. Department of Transportation (DOT) has unveiled a $5.1 billion funding opportunity to spur railroad development and enhance railroad safety across the nation. Applications are due by Jan. 7, 2026.

Following the administration’s critical review and analysis of existing railroad programs and ongoing projects, the National Railroad Partnership Program (NRPP) will advance rail projects, renewing and emphasis and making essential upgrades to the rail transit system. DOT is reissuing the Notice of Funding Opportunity (NOFO) from fiscal year 2024 with additional funding for the coming year.

With the reissuance, the agency has included several changes to the program, particularly emphasizing grade crossing safety projects and those that focus on providing seamless travel experiences for families.

Entities that may apply for funding include:

  • States.
  • Groups of states.
  • Interstate compacts.
  • Public agencies.
  • Publicly chartered authorities established by states.
  • Political subdivisions.
  • Amtrak.
  • Federally recognized tribes.

DOT notes that there are no minimum or maximum dollar thresholds available for awards through the NRPP. Recipients will be required to provide a 20% match comprised of either public or private funding for the federal investment. Projects that qualify for a share of the $5.1 billion opportunity include:

  • Replacing, rehabilitating or repairing intercity passenger rail infrastructure, equipment or facilities.
  • Improving intercity passenger rail service performance by reducing trip times, increasing train frequencies, implementing higher operating speeds, improving reliability, expanding capacity, reducing congestion or electrifying operations among other improvements.
  • Expanding or establishing new intercity passenger rail services.
  • Planning, environmental studies and final design for any projects.

Completed projects should contribute to the nation’s overarching goal to enhance rail safety, address the state of good repair backlog, improve performance and expand or establish new intercity passenger rail service.

Photo by Wolfgang Weiser from Pexels

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