A red train sits on tracks nearby a railroad crossing.

DOT releases $5B NOFO to improve rail transit systems nationwide

September 23, 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 highlighting its emphasis on 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 Sergey Isaev from Pexels

Adam Rollins

Adam Rollins brings his expertise as a Researcher and Writer to the Managing Editor role for several of SPI's key publications, including Government Contracting Pipeline, Texas Government Insider, and the latest addition, Government Market News. With a rich background as a freelance Content Specialist, Adam has honed a passion for learning and information gathering, delving into various industries. His research and writing have spanned a range of topics, from artificial intelligence (AI) technology, conservation, and project outsourcing, to managed IT services and software development.

Holding a bachelor's degree in English from Texas State University, Adam's proficiency in message development is complemented by his robust research skills and seasoned writing experience. These attributes make him an invaluable asset to SPI, ensuring the delivery of insightful and impactful content to the company's clientele.

Don't Miss

Massive support, funding now available to improve supply-chain networks

New opportunities for multimodal freight, rail, and port projects are

New hospitals greenlit for Amarillo, Wichita Falls

The Texas Health and Human Services Commission (HHSC) is searching