Emerging Railroad Infrastructure Projects Create High Demand for Private Sector Contracting Partners

Posted by Mary Scott Nabers on Wednesday, January 22nd, 2025

The railroad industry is undergoing significant upgrades across the U.S. and a slew of new projects are being planned to improve safety, reduce congestion, and streamline transportation. These initiatives open a wealth of opportunities for contractors in various fields including engineering, construction, environmental services, professional services, and technology. This article explores five major railroad infrastructure projects—located in Nebraska, Kansas, Illinois, Ohio, and South Carolina—that are set to reshape transportation in their respective regions. With multi-million-dollar budgets and diverse project needs, these types of projects highlight contracting opportunities that can be expected for several years.

The Federal Railroad Administration recently granted $66 million to city leaders in Lincoln, Nebraska for a railroad crossing grade separation project. The $120 million project calls for a new bridge over the rail corridor and will replace two at-grade railroad crossings. Once completed, the work will reduce congestion and the overall flow of traffic by separating interactions between trains, vehicles, pedestrians and cyclists. The planning and preliminary engineering phase is currently underway, with the final design work set to begin after that. The work start date could be delayed until 2027 and the first contracts will be issued for utility relocations.

A new $32.5 million transload facility will be constructed in Stafford County, Kansas to enhance the region’s transportation infrastructure. The new facility will house a rail-served transload facility and a grain terminal.  It will be located adjacent to the Burlington Northern Santa Fe Railway’s La Junta subdivision. The goal is to facilitate modal shifts from truck to rail transport and reduce annual truck traffic by approximately 44,000 trips. The reduction will decrease truck-related accidents, particularly along US Highway 50 in Stafford County, and contribute to lower carbon emissions in the region. The new facility will encompass approximately 39,635 feet of track, a rail loop, staging areas, and storage tracks, along with two one-mile lead tracks connecting to the rails mainline. The project is ready to launch, with construction solicitations expected to be released soon.  Construction is slated to begin in 2025.

Photo courtesy of: MTA Construction

A $51.8 million railroad infrastructure project in Will County, Illinois will be designed to improve transportation safety and efficiency. It will involve construction of a grade-separated overpass that transverses the Central/Canadian National Railroad tracks. The work will eliminate the existing at-grade crossing to reduce the risk of collisions between vehicles and trains. This separation will not only mitigate the potential for accidents and reduce congestion, it will also improve the overall traffic flow and ensure continuous vehicular movement for emergency vehicles. The project is still in the design phase and construction is planned for 2026.

City officials in North Ridgeville, Ohio are currently planning a $31.6 million railroad project that will deliver a grade-separated overpass at Race Road over the Norfolk Southern Railway tracks. The development will eliminate the existing at-grade crossing completely.  The project will also include the closure of a second at-grade crossing which will eliminate all at-grade crossings over a three-mile stretch. A dedicated mixed-use path for cyclists will also be constructed. The project is still in the planning stage, with a construction launch date to be determined later.

Officials in Columbia, South Carolina are planning a railroad separation project with a cost projection of between $275 and $300 million.  A key objective of the project is to enhance Columbia’s role as a transportation hub in the southeastern United States by consolidating freight operations and streamlining rail traffic through the corridor. The project will also eliminate multiple at-grade crossings in order to address safety and transportation challenges. The grade separation will be designed to improve connectivity throughout the city for emergency responders and alleviate persistent traffic congestion caused by frequent train movements.  Pedestrian-friendly features, including a dedicated mixed-use path that will connect to existing community networks, and promote alternative modes of transportation will also be delivered. Funding has been secured but a project timeline has been determined yet.

These projects reflect a national push to modernize transportation infrastructure and enhance rail safety. It will require years to reach the country’s goals for rail. Staying informed about project timelines, solicitation processes, and the specialized needs of each initiative will position contractors to capitalize on these lucrative and impactful opportunities to collaborate with public agencies.

 

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About the author: As President and CEO of Strategic Partnerships, Inc. Mary Scott Nabers, a former statewide office holder in Texas, has decades of experience in the public and private sectors. Her unique expertise is her success in connecting the two sectors. Mary is also a well-recognized expert in the P3 world and a true business development professional.

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