November 2, 2026 - TRA Newswire -
The celebration ribbon was cut at the Palestine, Texas station of the Texas State Railroad last week, announcing that Phase 1 of about $30 million in federal infrastructure grants had been completed.
Members of the Texas State Railroad Authority, Texas and Eastern Railroad (a Jaguar Transport Holdings subsidiary, operator of the railroad) and Rusty Roberts, Senior Policy Advisor for the Federal Railroad Administration, were on hand for the ribbon cutting event.
Phase I of the project rehabilitated track in the corridor between Palestine and Rusk in East Texas. 18 miles of 80-pound rail was replaced, 14,150 ties were laid, upgrades to switches and 17 grade crossings were completed along with new ballast and track surfacing, Phase I project funding came through a $13.4 million fiscal-year 2023–2024 CRISI grant.
Phase II, now underway, will add about 9,500 feet of track at the Palestine depot to allow for a transloading siding to attract new rail freight business and a storage spur.
Both awards were issued under the Federal Railroad Administration’s (FRA) Consolidated Rail Infrastructure and Safety Improvement (CRISI) program.
In a news release, Texas and Eastern Railroad (TERR) said improvements will strengthen rail safety and reliability while improving TERR’s ability to serve regional freight customers and supporting truck-to-rail conversion. The TERR interchanges with Union Pacific Railroad at Palestine.
The Lone Star and Eastern Railroad, more commonly known as the Texas State Railroad, is an excursion train that connects to the Texas and Eastern Railroad. This line offers passenger events onboard vintage steam and diesel locomotives across rails of the Piney Woods Route between the East Texas towns of Palestine and Rusk, TX.
The service offers daily trips as well as special events that change with the seasons. One of the most popular events during the year is the Polar Express train during the holiday season.
More information on the line can be found at
www.texasstaterailroad.net