FY25 Rail Funding - Explanatory Statement

Rail Passengers Association FY 2025 Legislative Grant Request: Explanatory Statement

Passenger rail programs created by the Infrastructure Investment and Jobs Act (IIJA) are already beginning to reshape America’s rail network, with the U.S. Department of Transportation awarding nearly $30 billion in rail grants, in addition to 69 planning and development grants for passenger rail corridors across 44 states. Rail Passengers is asking Congress to build on this momentum by fully funding rail programs at the authorized levels established by the IIJA.

Tell YOUR Members of Congress to support passenger rail programs in FY25!

Why Operational Funding Matters

IIJA funding can only be used for certain purposes and cannot replace Amtrak's annual appropriations. Providing sufficient FY25 funding is necessary to allow Amtrak to operate trains, perform annual maintenance, and carry out core functions to avoid long-term deterioration of assets and services. It will also allow Amtrak to quickly make targeted, high-priority investments for future expansion.

While Amtrak and States will have access to guaranteed funding through the IIJA’s advanced appropriations, cuts to operating funding will result in degradations to Amtrak’s Northeast Corridor and National Network service—or even the elimination of service along certain routes.

See Appendix A for examples of the statutory usage restrictions for the three major categories of passenger rail funding.

Fully Authorizing Rail Programs Will Speed Project Delivery

Funding Amtrak at fully authorized levels will allow Amtrak to make high-priority investments in to upgrade and expands its network, modernize stations, and accelerate equipment delivery though expanded partnerships with manufacturers.

Critically, providing funding beyond Amtrak’s base needs will allow the railroad to be an active partner with States and regional authorities that are still in the process of building out their rail programs. This will allow these entities to more effectively compete with the States who have dominated the competitive grant programs in the first rounds of IIJA funding.

See Appendix B for projects listed in Amtrak’s FY 2025 Legislative Grant Request that could be advanced this year if Congress provides sufficient funding.

Appendix A: Funding Usage Restrictions

	Amtrak Annual Grants	Amtrak IIJA Funding	FRA Fed-State Competitive Grants
Operating	X
Debt	X
Capital – Fleet
New ALC-42 locomotives for Long-Distance service (replacement of existing rolling stock)		X
New Airo intercity trainsets for NE Regionals, various State-Supported routes, & Palmetto (replacement)		X
New Long-Distance passenger equipment (replacement)		X
Equipment for new routes or expanded service, consistent with FRA’s Corridor Identification selections	X		X
Regular day-to-day equipment maintenance / inspections and misc. fleet improvements (both operating & capital)	X
Capital – Infrastructure:
Amtrak’s Sec. 212 NEC base capital charge obligations	X
NEC major backlog projects (e.g., bridges and tunnels)			X
Capital renewal (NEC & National Network)	X	X	X
National Network on-time performance improvements and other improvement projects on host railroads	X		X
Capital – Stations
ADA compliance		X
Station improvements and customer enhancements	X		X

Appendix B: Amtrak Modernization Efforts