Updated May 27, 2025 - TRA Austin -

Governor Greg Abbott signed a bill Friday that would, for the first time, create a grant program to eliminate dangerous at-grade rail crossings across the state. A supplemental budget of $250 million was approved from general revenue by the Texas Senate Tuesday to kick-start the grant program for the next two years.  

The Senate Bill 1555 grant program will allow the Texas Department of Transportation (TxDOT) to address safety and infrastructure improvements where public roads cross railroad tracks that are not a state or federally designated highway. It would also benefit rail-pedestrian crossings, especially in urban areas. Eligible projects would have to contribute a minimum of 10 % of the total crossing cost. 

A number of fatal crashes including one in the west Texas city of Pecos and the death of a Houston high school student struck by a train on a busy rail line prompted legislation to be filed this session.  

Each proposed grant would have to be approved by the Texas Transportation Commission, the governing body of TxDOT. Rail separation grants would also be available, for the first time, to apply for a competitive federal program that could match the state funding.

Texas Rail Advocates supported a request by TxDOT and the Transportation Commission for a $175 million "Exceptional Item" in their legislative request for at-grade separation funding and had spoken with many legislators during the current session. A postcard with information about the exceptional items was also mailed several times to state lawmakers to bolster support for the grant program. 

"With the appropriation of $250 million in general revenue to start the grade crossing grant program, the state can start to address some of the key locations where train-vehicle collisions and traffic delays have been happening", according to Texas Rail Advocates President Peter LeCody. "We;ve been pushing for a state program to keep trains and roadway traffic away from each other. We're glad to see the state step up with a robust grant effort . Thanks to the efforts of Lt.Governor Dan Patrick and Senate Transportation Chairman Robert Nichols this grant program is now a reality."

Previous to the grade separation program, TxDOT would rely on a yearly federal grant from the Federal Railroad Administration of about $30 million. That amount severely restricted the state's Rail Division from considering any major project to build a bridge or underpass at a rail crossing, and created a backlog of projects across the state, 


 GRANT PROGRAM FOR CERTAIN RAILROAD GRADE
 SEPARATION PROJECTS. (a) For the purpose of increasing public
 safety, enhancing economic development, and reducing traffic, the
 department shall establish and administer a program to award grants
 to political subdivisions of this state to fund:
              (1)  rail-roadway grade separation projects that are
 located at intersections of railroads and public roadways that are
 not part of the state highway system; and
              (2)  rail-pedestrian grade separation projects that
 are located at intersections of railroads and public pedestrian
 crossings.
        (b)  Each grant awarded under this section must be approved
 by the commission. The commission may not approve a grant under
 this section unless the commission determines that at least 10
 percent of the total project costs will be provided by a source
 other than the state.
        (c)  The department may fund the grant program under this
 section only from money appropriated by the legislature for that
 purpose and from gifts and grants, including grants from the
 federal government. The department may solicit and accept gifts
 and grants from any source for the purposes of this section. Money
 deposited to the credit of the state highway fund may not be used to
 fund a grant awarded under this section.
        (d)  A political subdivision that receives a grant under this
 section shall designate the department to manage contracting for,
 in accordance with Subchapter A, Chapter 223, and supervision of
 the planning and construction of a project for which the grant was
 awarded. A political subdivision shall enter into an agreement
 with the department prescribing the terms of a designation under
 this subsection in accordance with applicable state or federal law.
 The department, acting as the designee of a political subdivision
 under this section, shall make each contract in accordance with the
 law governing the making of contracts by or on behalf of the state.
        (e)  The commission shall adopt rules as necessary to
 implement this section.
        SECTION 2.  Not later than October 1, 2025, the Texas
 Transportation Commission shall adopt the rules required by Section
 471.010, Transportation Code, as added by this Act.
        SECTION 3.  This Act takes effect immediately if it receives
 a vote of two-thirds of all the members elected to each house, as
 provided by Section 39, Article III, Texas Constitution. If this
 Act does not receive the vote necessary for immediate effect, this
 Act takes effect September 1, 2025.