FTA seeking applicants for passenger-rail vehicle replacement grants

The Federal Transit Administration today issued a notice of funding opportunity (NOFO) for the 2026 round of Rail Vehicle Replacement Program competitive grants. Applications are due on July 6.

For this round, a total of $166 million is available for up to three selected projects. The funding will support the replacement of passenger-rail cars and locomotives. Eligible applicants include states and government authorities overseeing commuter railroads, heavy and light-rail services and streetcars, according to the NOFO.

The replacement grant program funding can cover up to 50% of total proposed project costs; at least 20% must come from local funding sources. Non-revenue vehicles, non-rail vehicles and fleet expansion  projects are not eligible for grant funding under this program.