Texas Port Railway Lands $30 Million Federal Grant for Expansion

Texas Port Railway Lands $30 Million Federal Grant for Expansion

'This package will tangibly improve lives for millions of Americans.'

Raeylee Barefield
Raeylee Barefield
October 20, 2026

The U.S. Department of Transportation is awarding $30 million to the Texas City Terminal Railway Company to improve rail infrastructure serving the Port of Texas, part of a nationwide $2.3 billion investment in freight and passenger rail projects.

The Federal Railroad Administration announced the funding through its Consolidated Rail Infrastructure and Safety Improvements (CRISI) Grant Program, which selected 105 projects across 45 states and the District of Columbia. The projects are expected to receive more than $1.9 billion in additional funding from state, local and private partners.

The Texas City Terminal Railway project will realign the port's vehicle entrance gate and rehabilitate and expand its rail yard. According to the FRA, the work is intended to address a safety conflict between trains and vehicles entering a petroleum facility while helping the port accommodate existing and projected demand for petrochemical exports.

The award comes as Texas ports play a role in moving energy products and petrochemicals to domestic and international markets. The project's planned improvements are intended to strengthen the connection between rail operations and port activity while addressing safety concerns at the facility.

U.S. Transportation Secretary Sean P. Duffy said the broader funding package would support local economies and improve rail safety.

"From improving shortline infrastructure and port connections so critical products can get where they need to go faster to enhancing fencing along trespassing hotspots, this package will tangibly improve lives for millions of Americans," said Sec. Duffy.

Federal Railroad Administration Administrator David Fink said the grants would help shortline railroads make overdue infrastructure improvements and improve day-to-day operations.

The CRISI program funds projects intended to improve freight and intercity passenger rail safety, efficiency, and reliability. The FRA evaluated applications using criteria including project readiness, technical merit, and anticipated benefits.

Texas City Terminal Railway's $30 million award is one of 105 selected projects in the latest funding round, which includes rail upgrades, bridge rehabilitation, passenger service improvements, and other infrastructure work nationwide.

Raeylee Barefield

Raeylee Barefield

Raeylee Barefield is a Legislative Correspondent based in Austin, Texas, specializing in state government and public policy. With one year of reporting under her belt, she covers legislative developments, committee hearings, and policy debates. She has been cited by Texas Politics and Big Energy for her coverage and analysis of legislative and regulatory issues. Her reporting typically focuses on Public policy, Stare government, environmental policy, and energy regulation. To contact her, please reach out at [email protected]

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