Relating to financial assistance for rail facilities.

This bill creates a state grant program to fund improvements to smaller railroads in rural areas. Grants can cover track or bridge replacements, capacity upgrades, or rail restoration projects that boost public safety, economic development, or reduce road traffic congestion. Applicants must contribute at least 10% of project costs from non-state sources, and funds must come only from money specifically set aside for rail grants (not general highway funds). The program directly affects rural rail districts and Class II/III shortline railroads operating under federal classification.