Domestic Intermodal & Rail Infrastructure Gets Federal Boost

Intermodal & rail infrastructure will be more ready than ever to handle transportation challenges of today - and tomorrow - thanks to a major infusion of federal funds announced last week. The U.S. Department of Transportation (DOT) announced 37 projects will receive a total of $4.9 billion in funding through both the National Infrastructure Project Assistance (Mega) and the Infrastructure for Rebuilding America (INFRA) grant programs - both of which fall under the Bipartisan Infrastructure Law. A substantial portion of these projects relate to intermodal and rail transportation - ensuring added stability to this freight mode across the country.

What intermodal projects will receive federal funds?

A wide variety of intermodal-related projects will receive federal funds, DOT announced, including:

• $300 million to the Port of New Orleans for a new International Container Terminal (Louisiana) - to include a 1,700 foot wharf, an automated stacking crane yard, and an intermodal rail yard
• $283 million to America's Green Gateway: Pier B Rail Program Buildout in Long Beach (California) - to complete the Pier B On-Dock Rail Support Facility Program by completing the North and South Rail Yard Expansion, significantly enhancing container-on-rail service to and from the Ports of Los Angeles and Long Beach
• $130 million to the St. Lucie River Railroad Bridge Replacement Project (Florida) - replacing a 100 year-old structure with a new double-track bridge to support both freight and passenger rail with fewer bridge closings
• $28 million to the Elko Rail Corridor Enhancement Project (Nevada) - designing and constructing improvements on the Union Pacific Overland Route
• $17 million to the ARRC Bridge Replacement in Fairbanks (Alaska) - replacing an aging bridge that's part of Alaska Railroad Corporation's Eielson Branch
• $15 million to the East River Terminal Berth Replacement Project (Georgia) - replacing a port berth and two vessel berths at the Port of Brunswick's East River Terminal

With four of the above recipients being Intermodal Association of North America (IANA) members, IANA President & CEO Joni Casey said the organization applauds Congress for "allocating these funds through the BIL and the Administration for awarding projects that will support and spur economic growth." She added that "every American relies upon and benefits from a safe and effective intermodal freight network."

Elaine Nessel, Executive Director of the Coalition for America's Gateways and Trade Corridors (CAGTC) - which saw its members receive significant funding in the announcement - noted that DOT projects freight activity to grow by 50% between 2020 and 2050. Nessel said investments relating to these awards "will be critical for preparing the supply chain to meet these growing demands and securing the country's global competitiveness moving into the future." The complete list of Mega and INFRA awards are available through the DOT's MPDG Program page.

Conclusion

The prioritization of intermodal and rail infrastructure - as well as the various road and bridge projects not directly associated with intermodal - is a positive for the freight industry with volumes only expected to grow over time. Reliable shipping transportation corridors across modes are vital for safe, effective movement of goods.

If you need help with safe, effective movement of your goods, let us know. Contact us and we'll be happy to discuss freight solutions for your business. For more information about InTek, or logistics and supply chain issues in general, check out our Freight Guides.