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    Home»Funds»Federal grants to fund railroad upgrades in Middle, West Tennessee • Tennessee Lookout
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    Federal grants to fund railroad upgrades in Middle, West Tennessee • Tennessee Lookout

    October 30, 2024


    Three railroad projects in Tennessee will receive up to $25.7 million in federal infrastructure grants, the U.S. Department of Transportation announced Tuesday.

    Funded projects include upgrades to a railroad from Jackson to the northwest corner of the state, improvements to 13 miles of track between Manchester and Morrison and a new rail yard in Watertown, east of Nashville.

    The funds, distributed by the Federal Railroad Administration, are part of $2.4 billion dedicated by the Bipartisan Infrastructure Law to 122 rail improvement projects in 41 states and Washington, D.C. The Consolidated Rail Infrastructure and Safety Improvements Program grant funding prioritizes smaller rail systems in rural communities that are “vital to the American economy and regional supply chains,” the Federal Railroad Administration wrote in a news release.

    Railroad modernization and a new rail yard

    The Kenton Branch of the West Tennessee Railroad will receive up to $14 million to install new rail and modernize the corridor that provides freight service to West Tennessee industries from Jackson to Kenton. The remainder of the 32-mile line will be upgraded to accommodate 286,000-pound railcars, improving the line’s service and system performance, according to the release. West Tennessee Railroad, LLC and the Tennessee Department of Transportation will contribute a 30% combined match for the federal funds. 

    Caney Fork and Western Railroad, located roughly halfway between Nashville and Chattanooga, provides freight services for tire products, plastics and lumber in a region with a growing automotive industry, according to Ironhorse Resources, which manages the railroad. The railroad will receive up to $10,125,000 to improve about 13 miles of track, “allowing for safer and faster transportation of goods,” the release states. The railroad and the Tennessee Department of Transportation will contribute a 25% combined funding match.

    Up to $1.6 million will be dedicated to build a new rail yard in Watertown, Tennessee, on the Nashville and Eastern Railroad. The yard will be owned by the city and located on city property, consisting of about 2,000 feet of new track and a donated turntable, allowing for passing and short-term storage along the existing railroad line. The Nashville and Eastern Railroad stretches 130 miles from Nashville to Monterey, Tennessee, and includes the Music City Star, the only passenger rail in the Nashville region, which offers service from Nashville to Lebanon. 

    The Nashville and Eastern Railroad also provides freight service for multiple industries, including building and energy products, waste, paper and chemicals, according to the R.J. Corman Railroad Company, which acquired the line in 2018. The City of Watertown and private sources will provide a 33% funding match, according to the release.

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