The Railroad Rehabilitation & Improvement Financing (RRIF) Program provides direct federal loans and loan guarantees to finance development of railroad infrastructure.
RRIF PROGRAM OVERVIEW
APPLICATION INFORMATION
QUICK LINKS TO DOCUMENTS
CONTACT INFORMATION
RRIF PROGRAM OVERVIEW TOP
The RRIF program was established by the Transportation Equity Act for the 21st Century (TEA-21) and amended by the Safe Accountable, Flexible and Efficient Transportation Equity Act: a Legacy for Users (SAFETEA-LU). Under this program the FRA Administrator is authorized to provide direct loans and loan guarantees up to $35.0 billion. Up to $7.0 billion is reserved for projects benefiting freight railroads other than Class I carriers.
The funding may be used to:
components of track, bridges, yards, buildings and shops;
Direct loans can fund up to 100% of a railroad project with repayment periods of up to 35 years and interest rates equal to the cost of borrowing to the government.
Eligible borrowers include railroads, state and local governments, government-sponsored authorities and corporations, joint ventures that include at least one railroad, and limited option freight shippers who intend to construct a new rail connection.
Loan agreements have been executed with the following railroads:
FISCAL YEAR ORGANIZATION 2012 Kansas City Southern Railway Company 2012 Northwestern Pacific Railroad Company and North Coast Railroad Authority 2011 Amtrak 2011 C&J Railroad 2010 Denver Union Station Project Authority 2010 Great Lakes Central Railroad 2009 Georgia & Florida Railways 2009 Permian Basin Railways, Inc 2009 Iowa Interstate Railroad 2007 Nashville and Eastern Railroad 2007 Nashville and Eastern Railroad 2007 Columbia Basin Railroad 2007 Great Western Railway 2007 Dakota Minnesota & Eastern Railroad 2007 Iowa Northern Railroad 2006 Virginia Railway Express 2006 RJ Corman Railway 2006 RJ Corman Railway 2006 Wheeling & Lake Erie Railway 2006 Iowa Interstate Railroad 2005 Great Smoky Mountains Railroad 2005 Riverport Railroad 2005 The Montreal Maine & Atlantic Railway 2005 Tex-Mex Railroad 2005 Iowa Interstate Railroad 2004 Stillwater Central Railroad 2004 Wheeling & Lake Erie Railway 2004 Dakota Minnesota & Eastern Railroad 2003 Arkansas & Missouri Railroad 2003 Nashville and Western Railroad 2002 Amtrak 2002 Mount Hood Railroad
APPLICATION INFORMATION TOP
TimingThe Federal Railroad Administration (FRA) will approve or disapprove a request for a loan within 90 days after receipt of a complete application. Applications will be deemed complete after the following:
(1) The FRA has fulfilled its obligations under the National Environmental Policy Act (NEPA) and related laws, regulations and orders. In many cases, the FRA will need simply to approve a short environmental form submitted with the application. However, in some cases, compliance with NEPA may require preparation of detailed environmental assessments, consultation with Federal and State authorities, publication of documents, and public review and comment on these documents.
(2) The FRA has completed its initial review of the application (not to exceed 30 days) and, if additional information and/or clarification have been requested, the applicant has provided the requested information.
Note: Since a great variety of projects are eligible to be funded under the RRIF Program, it is impossible to anticipate all the information that will be necessary to evaluate a project for which funding is requested, or the level of detail that will be provided by an applicant. Therefore, a short period of time will be necessary to review applications and determine if there is a need for additional information.
FeesAll federal financial assistance programs must pay for the cost to the government of providing that financial assistance. In most cases this is done with appropriations from Congress. Since the RRIF Program does not currently have an appropriation, this cost must be borne by the applicant, or another entity on behalf of the applicant, through the payment of the Credit Risk Premium. The Administrator will calculate the amount of the Credit Risk Premium that must be paid for each loan before it can be disbursed.
In addition to the Credit Risk Premium, which is paid only if a loan is approved, each applicant must pay an Investigation Fee regardless of whether the loan is approved. The Investigation Fee defrays costs the FRA incurs in evaluating RRIF loan applications. The Investigation Fee may not exceed one half of one percent of the requested loan amount, but it is often substantially less. Preliminary Meeting Information
QUICK LINKS TO DOCUMENTS TOP
RRIF Application Form (MS Word)
RRIF Statute (45 USC § 822)
RRIF Statute (45 USC § 823)
RRIF Regulations (49 CFR § 260)
Consideration and Processing of RRIF Applications 092910 FR Notice
FRA Categorical Exclusion Worksheet for compliance with environmental regulations.(MS Word)
(This form can also be accessed via a link from the online application form .) Also available is guidance on completing a Categorical Exclusion Worksheet.
FRA Environmental Regulations (PDF)
(This information can also be accessed via a link from the online application form.)
Summary of FRA's substantive criteria for reviewing RRIF loan applications
FRA press releases, including those related to RRIF
CONTACT INFORMATION TOP
If you have questions about the program, or if you wish to discuss the possibility of funding your project with a loan or a loan guarantee under the RRIF Program, you can contact the Office of Railroad Development.
Telephone: (202) 493-6051
Fax: (202) 493-6330
E-mail: Innovative Finance Division
Applications and other correspondence may be sent to:
Federal Railroad Administration
Office of Railroad Development — Innovative Finance Division
RPD-12, Room W36-320
1200 New Jersey Ave. S.E., Washington, DC 20590
PLEASE NOTE: LETTERS AND PACKAGES SENT TO FEDERAL BUILDINGS ARE SUBSTANTIALLY DELAYED BECAUSE OF SECURITY SCREENING. USE OF A PRIVATE CARRIER SUCH AS UPS, FEDEX, DHL, ETC. IS STRONGLY RECOMMENDED.
Staff List for FRA Innovative Finance Division
