Railroad Rehabilitation and Improvement Financing Program

The Railroad Rehabilitation and Improvement Financing (RRIF) program provides direct loans and loan guarantees to: State and local governments, interstate compacts consented to by Congress under section 410(a) of the Amtrak Reform and Accountability

The RRIF Credit Program provides flexible, low-interest financing for various eligible surface transportation projects and project sponsors throughout the United States. Because the RRIF Program offers credit assistance, rather than grant funding, its potential users are infrastructure projects capable of pledging revenue streams generated through user charges or other dedicated funding sources.

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 which intend to construct a new rail connection.

The beneficiaries of the Program will be the State or local government organizations, railroad, joint ventures that include a railroad, and limited option freight shippers that will receive the financial assistance to permit them to complete the specified projects.

Funds provided by direct loans or loan guarantees under the RRIF Program can be used to: (1) Acquire, improve, or rehabilitate intermodal or rail freight or passenger equipment or facilities, including track, components of track, bridges, yards, buildings and shops (2) Refinance outstanding debt incurred for purposes described above (3) Develop or establish new intermodal or railroad facilities.

Examples of costs that are ineligible for funding include RRIF debt service reserve amounts, Project Sponsor opportunity costs, and the USDOT's costs of various advisory services to review RRIF Letters of Interest and Loan Applications. However, specific cost eligibility is determined by USDOT prior to approving a loan application.

As a part of the application package, the borrower provides a projected timetable for the completion of the project. The funding will be made available to reimburse the Borrower for prior payment of allowable costs incurred in connection with the project.

For more information, please visit the RRIF website at https://www.transportation.gov/buildamerica/financing/rrif.

USDOT reviews Letters of Interest for RRIF credit assistance on a "first come, first served" basis. Projects are reviewed to ensure they meet the eligibility requirements under all applicable regulations and statutes, as well as for financial feasibility.

USDOT will evaluate application and advise applicant of approval or disapproval. Final approved is reserved by the Secretary of Transportation.

After a complete application has been filed with all supporting documents, processing time is approximately 60 to 90 days. The average time to execute a RRIF credit agreement from the date of Secretarial approval is 1 to 6 months.

Disapproved applicants may reapply at any time.