Senate File 502 - Introduced
SENATE FILE 502
BY COMMITTEE ON TRANSPORTATION
(SUCCESSOR TO SF 273)
A BILL FOR
1 An Act relating to the railroad revolving loan and grant
2 fund by making moneys available for certain projects and
3 prioritizing grants and loans for certain purposes.
4 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:
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1 Section 1. Section 327H.20A, subsection 1, paragraph a,
2 Code 2023, is amended to read as follows:
3 a. Grants or loans to provide assistance for the
4 restoration, conservation, improvement, and construction of
5 railroad main lines, branch lines, switching yards, sidings,
6 rail connections, intermodal yards, transload facilities,
7 railroad bridges, highway grade separations, and other
8 railroad-related improvements.
9 Sec. 2. Section 327H.20A, subsection 2, Code 2023, is
10 amended to read as follows:
11 2. The department shall administer a program for the
12 granting and administration of to make loans and award grants
13 under this section. Beginning January 1, 2024, the department
14 shall prioritize granting and loaning moneys to railroad
15 corporations for the purposes described in subsection 1,
16 paragraph “a”, and any moneys not so granted or awarded shall
17 then be made available for economic development projects
18 described in subsection 1, paragraph “b”. The department may
19 establish a limit on the amount that may be awarded as a grant
20 for any given project in order to maximize the use of the
21 moneys in the fund. The department may enter into agreements
22 with railroad corporations, the United States government,
23 cities, counties, and other persons for carrying out the
24 purposes of this section.
25 EXPLANATION
26 The inclusion of this explanation does not constitute agreement with
27 the explanation’s substance by the members of the general assembly.
28 The department of transportation (DOT) controls a railroad
29 revolving loan and grant fund. Moneys in the fund are used
30 to provide assistance for the restoration, conservation,
31 improvement, and construction of railroad main lines, branch
32 lines, switching yards, sidings, rail connections, intermodal
33 yards, highway grade separations, and other railroad-related
34 improvements, and for rail economic development projects that
35 improve rail facilities, including the construction of branch
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1 lines, sidings, rail connections, intermodal yards, and other
2 rail-related improvements that spur economic development and
3 job growth. The DOT administers a program for the granting
4 and administration of applicable loans and grants, and may
5 establish a limit on the amount that may be awarded for any
6 given project in order to maximize the use of the moneys in the
7 fund.
8 This bill adds transload facilities and railroad bridges
9 to the list of projects for which a grant may be awarded or a
10 loan may be made. The bill requires the DOT to prioritize,
11 beginning January 1, 2024, granting and loaning moneys to
12 railroad corporations for the restoration, conservation,
13 improvement, and construction projects described in Code
14 section 327H.20A(1)(a) before providing moneys for rail
15 economic development projects described in Code section
16 327H.20A(1)(b).
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Statutes affected:
Introduced: 327H.20A