The New Jersey Department of Transportation (NJDOT) announced it was accepting applications for the Fiscal Year 2027 Rail Freight Assistance Program through Oct. 9, 2026.
The RFAP provides $25 million each year to support economic activity by preserving and improving the existing freight transportation system and by making freight rail service available to businesses throughout the state. Officials said rail freight improvements support the state’s clean energy, reduce congestion and help the state attain its sustainability goals.
Officials said NJDOT has invested nearly $156.4 million in Rail Freight Assistance Programs funds over the last five years, using $139.32 million in TTF funds and leveraging an additional $17.04 million from railroad owners and operators.
Administered by the NJDOT Division of Local Aid, the RFAP provides funding for capital improvements supporting rail freight services in the state. Grant applications are awarded through a competitive process, with an emphasis on “projects that are significant to port commerce connectivity; eliminate rail freight missing links to New Jersey’s port facilities; upgrade freight rail trackage to a 286,000-pound load carrying capacity’ and support a safe, efficient, and effective rail freight system in New Jersey.”
Grants provide up to 90 percent of a project’s estimated cost, while the remaining 10 percent is paid for by the project sponsor. Owners and/or operators of short line railroads in New Jersey with an existing use and maintenance arrangement with the owner may apply for the grants, officials said.
Interested parties can visit NJDOT website, or email DOT-LocalAID.ResourceCenter@dot.nj.gov.