Freight Rail Service Projects Revolving Loan Program (RAIL)

Municipalities and counties may receive loans under the Mississippi Freight Rail Service Projects Revolving Loan Program to finance the following freight rail service projects:

• A project which involves the acquisition, construction, installation, operation, modification, renovation or rehabilitation of any freight rail service facilities.
• A project which may include any fixtures, machinery or equipment used in conjunction with any such facilities.
• Any project for any freight transportation purpose.

Rail Spur		Rail Dock and Associated Buildings		Crane for Unloading Rail

The cumulative maximum loan amount for any eligible local unit of government during a calendar year is $1 million, and the term of any loan shall not exceed 15 years. The rate of interest on a RAIL loan shall be 1% below the Federal Reserve Discount Rate at the time of loan approval.

Grants

Counties may receive grants for freight rail service projects relating to the upgrading of railroad grade crossings. Only projects approved by the Mississippi Department of Transportation (MDOT) shall be eligible for RAIL grants. The maximum amount of RAIL grant funds that may be provided for any one project is $250,000.

Municipalities and counties are encouraged to use these loans and grants in connection with other state and federal programs. RAIL was enacted by the State Legislature during the Regular 1995 Session. (See Section 57-44-1 et seq., Mississippi Code, Annotated.)

The following documents are available for download:

Program Guidelines in Adobe pdf format

Rail Application and Public Notice in Word 2000 

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For more information:
Community Services Division
Telephone: 601.359.3179
Fax: 601.359.3108
community@mississippi.org

Or contact your local MDA Regional Office.