Grants fund new spur line construction, safety improvements and equipment, crossing reconstruction, supporting economy and future growth
FRANKFORT, Ky. (April 10, 2025) – Today, Gov. Andy Beshear announced over $3.6 million in state grants to help pay for 15 Kentucky railway infrastructure improvement projects in 11 different counties across the commonwealth. Projects will improve safety at public crossings, provide timely maintenance, and enhance storage capacity of the statewide rail network, ultimately supporting and encouraging economic growth.
“Kentucky’s investment in transportation safety is essential not only for roads and bridges but for our railway crossings, where cars, trucks, school buses and emergency vehicles pass every day,” said Gov. Beshear. “Safer infrastructure sends a signal to families and potential investors that they have a place in our New Kentucky Home.”
Funds were distributed by Kentucky Transportation Cabinet (KYTC) through two different grant programs. More than $2 million was awarded through the Kentucky Industrial Access and Safety Improvement (KIASI) program, while the Kentucky Rail Crossing Improvement (KRCI) program provided $1.6 million.
Kentucky Industrial Access and Safety Improvement Awards The KIASI grant program designates $7.5 million each fiscal year in 50/50 grants for railroad equipment, construction, reconstruction, improvement or rehabilitation of rail facilities or engineering work associated with capital projects. The projects are recommended by a selection committee of KYTC and Cabinet for Economic Development representatives. This second round of funding will benefit five stabilization projects and one new spur construction.
Norfolk Southern received over $600,000 for projects in Boone (2), Grant (1), Lincoln (1) and Mercer (1) counties to provide soil stabilization of railroad roadbeds for mainline track and two switch tracks from industrial parks in Florence. Pittsburg Glass Works LLC was awarded $1.4 million for the construction of a new 580-foot spur line in Madison County to connect to CSX and improve rail car storage capacity and services in the area.
Once complete, the projects will ensure the safe movement of goods and increase on-time performance. The additional benefits of expanded rail access and enhanced marketability of available and improved industrial sites will also attract capital investment and create new, quality jobs for Kentuckians.
Kentucky Railway Crossing Improvement Awards The funding, which pays for up to 80% of rail company costs, was awarded through the KRCI grant program and will help upgrade signals and lights, as well as install raised curb medians with reflective markers to prevent unsafe driving practices at crossings. Two projects will also receive full crossing surface replacements in addition to safety improvements.
KYTC’s Division of Planning and the Division of Right of Way and Utilities review and prioritize applications based on a ranking established by the Federal Railroad Administration, average daily traffic and funding match percentage.
The rail crossing grants were awarded to two rail companies, Paducah and Louisville Railway and Norfolk Southern for projects that span six different counties in eastern, central and northern Kentucky.
“Through these railway projects, we are not only improving safety but also strengthening the infrastructure that connects our communities and drives economic growth,” said Transportation Secretary Jim Gray. “These upgrades ensure that railroad crossings in Kentucky are safer for drivers to navigate, thereby contributing to the health and well-being of our families.”
The announcement are part of an ongoing Team Kentucky commitment to rail safety and infrastructure improvement that includes projects funded by the KRCI and KIASI programs, as well as a newly created grant opportunity known as the Kentucky Short-Line Infrastructure Preservation (KSLIP) program.
In November 2024, Gov. Beshear awarded $7.5 million for 8 Kentucky railway projects through the KSLIP program. The projects were selected to retain and attract new business, bringing more economic opportunity to Kentuckians and the state.
In January 2025, the Governor announced a $5 million investment for 4 rail projectsthrough KIASI funds in collaboration with the Cabinet for Economic Development. The grant is used for railroad equipment, construction, reconstruction, improvement or rehabilitation of rail facilities or engineering work associated with capital projects.
Media Contacts: Allen Blair
606-748-3716
Allen.Blair@ky.gov
