The Massachusetts Department of Transportation (MassDOT) is pleased to offer a new round of funding for the Fiscal Year 2024 Industrial Rail Access Program (IRAP).
Donor Name: Massachusetts Department of Transportation (MassDOT)
State: Massachusetts
County: All Counties
Type of Grant: Grant
Deadline: 06/01/2023
Size of the Grant: $700,000
Details:
The program is accepting applications from freight rail-supported businesses across the state for projects to expand or improve rail or freight access and which will support economic opportunity, safety and job growth.
Industrial Rail Access Program is a public/private partnership program that provides financial assistance to eligible applicants who are prepared to invest in rail improvement projects connected to the Massachusetts freight rail transportation network and focused on increasing or improving rail transportation to Massachusetts shippers. Awards have been made through the program to a mix of freight railroads, shippers, receivers, and municipalities looking to create, reinstate or expand the shipment of goods by freight rail.
Industrial Rail Access Program is a competitive grant funding program. MassDOT can make IRAP funding available to support the execution of IRAP projects in state fiscal year 2024. The number of FY2024 IRAP projects that will be provided financial support depends on factors such as the number and quality of applications received, the strength of the industry/railroad business commitments, and the anticipated public benefits and economic outcomes of projects upon project completion. Project implementation readiness and a planned grant spending completion that aligns with the state fiscal year will also be an important consideration in project awards.
The purpose of this solicitation is to provide funding for projects that increase access to rail freight service and preserve or stimulate economic development through the generation of new or expanded rail service. Successful IRAP projects will generate public benefits by facilitating economic growth and new job creation, assisting in retaining industry partners and associated jobs, and supporting the adequacy and efficiency of the freight rail service. IRAP was established to address the following overarching economic goals:
- Increase access to freight rail services and reduce truck traffic.
- Stimulate economic development, retain, and grow Massachusetts corporations, retain manufacturing jobs, and create new jobs through increased efficiency, production capacity and improved distribution logistics.
Project Funding
- MassDOT will make up to $3 million of IRAP funding available to support the FY 2024 solicitation for IRAP candidate projects.
- MassDOT will provide a maximum of 60% of project costs. The MassDOT IRAP share may not exceed $700,000.
Eligible Project Activities
MassDOT is seeking to support rail infrastructure access improvement projects designed to serve the rail freight shipping needs of one or more employers in the Commonwealth that will result in public benefits associated with the preservation or increased access to, or volume of, freight rail shipments. Examples of eligible projects include, but are not limited to:
- The construction/rehabilitation of industrial park rail spurs and the establishment or reestablishment of active employer rail sidings supported by a strong, documented commitment from the servicing freight railroad operator. A railroad service commitment letter must be included with application indicating that the railroad has participated in the project’s design and is authorized, capable, and willing to service the project upon completion.
- The creation of new industry rail sidings and the rehabilitation of inactive sidings to increase the productivity of existing Commonwealth freight rail shippers such that additional jobs can be supported.
- Facility improvement projects to re-establish, improve and expand the receiving and shipping capacity of goods by freight rail, combined with environmental safety handling precautions.
- Installation of Locomotive Shore Connection Systems that support the efficiency of freight rail operations and improve air quality. Eligible costs for such projects can include the purchase and installation of equipment required for power delivery directly related to the new equipment, such as electrical panels, upgrades to existing electrical panels or electrical service, transformers, wiring/conduit, and installation.
- IRAP funds may be used for engineering/design services, environmental permitting and limited right-of-way acquisition needed to ready a project for construction, however, these preconstruction funding requests must be explained and justified as part of a sequential and realistic project development strategy that meets the IRAP requirements. While awards can fund engineering and other preparatory steps, MassDOT cannot authorize projects to advertise for construction bids unless and until the project:
- has been fully designed in accordance with industry standards1 such that construction bid documents are ready for advertisement;
- the project has secured all required federal, state, and local environmental permits; and
- has been determined to have a secure right-of-way prior to construction activities. A formal plan showing where the project will be constructed and ownership and title must be verified prior to the award.
Eligibility Criteria
Host municipalities and their economic development corporations, freight railroads operating in the Commonwealth, and rail shippers/receivers engaged in commercial ventures in the Commonwealth are eligible to apply for IRAP funding assistance. Applicants must demonstrate that they possess the administrative and management capacity to manage the proposed IRAP infrastructure improvement project and to comply with project invoicing and reporting requirements. Applicants will be required to conduct an open and competitive procurement process to identify the lowest cost qualified vendors to supply project materials and construction services, and must include Disadvantaged Business Enterprises within the process, whenever available. Applicants are encouraged to carefully review the Commonwealth Terms and Conditions found under Section VIII of this package, MassDOT Contracting Requirements. Grantees will need to agree to and sign this document as part of the IRAP agreement process.
For more information, visit MassDOT.
