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Senate File 502 - IntroducedA Bill ForAn Act 1relating to the railroad revolving loan and grant
2fund by making moneys available for certain projects and
3prioritizing grants and loans for certain purposes.
4BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:
1 Section 1. Section 327H.20A, subsection 1, paragraph a,
2Code 2023, is amended to read as follows:
3a. Grants or loans to provide assistance for the
4restoration, conservation, improvement, and construction of
5railroad main lines, branch lines, switching yards, sidings,
6rail connections, intermodal yards, transload facilities,
7railroad bridges, highway grade separations, and other
8railroad-related improvements.
9 Sec. 2. Section 327H.20A, subsection 2, Code 2023, is
10amended to read as follows:
112. The department shall administer a program for the
12granting and administration of to make loans and award grants
13under this section. Beginning January 1, 2024, the department
14shall prioritize granting and loaning moneys to railroad
15corporations for the purposes described in subsection 1,
16paragraph “a”, and any moneys not so granted or awarded shall
17then be made available for economic development projects
18described in subsection 1, paragraph “b”. The department may
19establish a limit on the amount that may be awarded as a grant
20for any given project in order to maximize the use of the
21moneys in the fund. The department may enter into agreements
22with railroad corporations, the United States government,
23cities, counties, and other persons for carrying out the
24purposes of this section.
25EXPLANATION
26The inclusion of this explanation does not constitute agreement with
27the explanation’s substance by the members of the general assembly.
28The department of transportation (DOT) controls a railroad
29revolving loan and grant fund. Moneys in the fund are used
30to provide assistance for the restoration, conservation,
31improvement, and construction of railroad main lines, branch
32lines, switching yards, sidings, rail connections, intermodal
33yards, highway grade separations, and other railroad-related
34improvements, and for rail economic development projects that
35improve rail facilities, including the construction of branch
-1-1lines, sidings, rail connections, intermodal yards, and other
2rail-related improvements that spur economic development and
3job growth. The DOT administers a program for the granting
4and administration of applicable loans and grants, and may
5establish a limit on the amount that may be awarded for any
6given project in order to maximize the use of the moneys in the
7fund.
8This bill adds transload facilities and railroad bridges
9to the list of projects for which a grant may be awarded or a
10loan may be made. The bill requires the DOT to prioritize,
11beginning January 1, 2024, granting and loaning moneys to
12railroad corporations for the restoration, conservation,
13improvement, and construction projects described in Code
14section 327H.20A(1)(a) before providing moneys for rail
15economic development projects described in Code section
16327H.20A(1)(b).
-2-th/ns
2fund by making moneys available for certain projects and
3prioritizing grants and loans for certain purposes.
4BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:
1 Section 1. Section 327H.20A, subsection 1, paragraph a,
2Code 2023, is amended to read as follows:
3a. Grants or loans to provide assistance for the
4restoration, conservation, improvement, and construction of
5railroad main lines, branch lines, switching yards, sidings,
6rail connections, intermodal yards, transload facilities,
7railroad bridges, highway grade separations, and other
8railroad-related improvements.
9 Sec. 2. Section 327H.20A, subsection 2, Code 2023, is
10amended to read as follows:
112. The department shall administer a program for the
12granting and administration of to make loans and award grants
13under this section. Beginning January 1, 2024, the department
14shall prioritize granting and loaning moneys to railroad
15corporations for the purposes described in subsection 1,
16paragraph “a”, and any moneys not so granted or awarded shall
17then be made available for economic development projects
18described in subsection 1, paragraph “b”. The department may
19establish a limit on the amount that may be awarded as a grant
20for any given project in order to maximize the use of the
21moneys in the fund. The department may enter into agreements
22with railroad corporations, the United States government,
23cities, counties, and other persons for carrying out the
24purposes of this section.
25EXPLANATION
26The inclusion of this explanation does not constitute agreement with
27the explanation’s substance by the members of the general assembly.
28The department of transportation (DOT) controls a railroad
29revolving loan and grant fund. Moneys in the fund are used
30to provide assistance for the restoration, conservation,
31improvement, and construction of railroad main lines, branch
32lines, switching yards, sidings, rail connections, intermodal
33yards, highway grade separations, and other railroad-related
34improvements, and for rail economic development projects that
35improve rail facilities, including the construction of branch
-1-1lines, sidings, rail connections, intermodal yards, and other
2rail-related improvements that spur economic development and
3job growth. The DOT administers a program for the granting
4and administration of applicable loans and grants, and may
5establish a limit on the amount that may be awarded for any
6given project in order to maximize the use of the moneys in the
7fund.
8This bill adds transload facilities and railroad bridges
9to the list of projects for which a grant may be awarded or a
10loan may be made. The bill requires the DOT to prioritize,
11beginning January 1, 2024, granting and loaning moneys to
12railroad corporations for the restoration, conservation,
13improvement, and construction projects described in Code
14section 327H.20A(1)(a) before providing moneys for rail
15economic development projects described in Code section
16327H.20A(1)(b).
-2-th/ns