Railroad Revolving Loan Grant Program (RRLG) supports Iowa businesses, railroads, and communities with rail infrastructure and planning to create or retain jobs and strengthen the rail system.
Signature and attestation dates on the RRLG application forms changed from October 6 or October 10, 2026, to October 27, 2026.
Funder: Iowa Department of Transportation
Due Dates: December 8, 2026, 5:00 p.m. (Targeted Job Creation and Rail Network Improvement) | Year-round (Rail Port Planning)
Funding Amounts: Approximately $2 million available for FY 2027 Round 2; job-creation grants up to $12,000 per job; planning grants up to $100,000; 0% loans for up to 10 years
Summary: Grants and loans support Iowa rail infrastructure, job creation and retention, and rail-port planning studies.
Key Information: Projects cannot begin before an agreement is executed unless Iowa DOT approves an advance eligibility waiver.
The Railroad Revolving Loan and Grant Program is administered by the Iowa Department of Transportation’s Rail Team. It supports rail facilities that create or retain jobs, spur economic activity, and strengthen Iowa’s rail transportation system. The program helps businesses gain or improve access to low-cost, energy-efficient rail transportation while helping railroads maintain dependable service.
Three funding categories address different needs: infrastructure serving specific industries or industrial developments with direct job commitments; improvements sustaining existing rail lines and industrial access without verified job creation; and studies supporting decisions about rail-port location, design, and funding. Eligible infrastructure includes rail yards, branch lines, passing tracks, bridges, and industrial spurs. Planning studies should help communities and regions evaluate rail development options supporting business growth.