Rail
Rail service provides a much needed, heavily used mode of transportation for a number of shippers in Kentucky.
The average distance a ton of freight can be transported by rail on one gallon of fuel is 476 miles. According to the Kentucky Transportation Cabinet, by weight most of Kentucky’s freight rail industry services the coal industry, but many other commodity types are transported along the state’s extensive rail system, including automobiles and automotive parts, agriculture products, sand, recycled metals, oil, and natural gas.
More than 4,100 Kentuckians are employed in the freight rail industry. Each freight rail job supports 4.5 jobs elsewhere in the economy.
According to the Association of American Railroads, more than 59 million tons of freight rail originates in Kentucky, while another 36.7 million tons of freight is transported into the state via rail.
KentuckY Rail Map
Funding
KBT advocates for the creation of the Kentucky Freight Rail Assistance Fund (KFRAF). The fund shall be used for the enhancement of freight rail service, short-line railroad assistance, industrial access, and safety improvements. Funds can be utilized to serve as a local match for federal grant opportunities to leverage federal dollars in conjunction with state and railroad investment. Opportunities include preserving rail service to local communities, expanding rail connectivity to sites along existing rail corridors, improving the safety and efficiency of freight rail transportation. The fund will be comprised of two types of programs:
▪ Short Line Infrastructure Preservation Program: The funding mechanism would be a 50/50 match between KYTC and the local participating Class II or Class III railroad. Project funding from KYTC would not exceed $2.5 million for one designated project during a Fiscal Year.
▪ Industrial Access and Safety Improvement Program: The funding mechanism would be an 50/50 match between KYTC and the participating Class I, II, or III railroads, or any designated Railroad Authority, Port Authority, and Industrial and Economic Development Authority Board. Project funding from KYTC would not exceed $1.5 million for one designated project during a Fiscal Year. Continuing to work closely with KYTC and their partners towards the completion of the state rail plan and needs assessment study.
Railroads are a vital piece of logistical infrastructure in Kentucky that provide a safe, efficient, and the most environmentally friendly way to move freight over land. Freight movement on railroads reduces wear and tear on our roadways, relieves congestion, and limits greenhouse gas emissions. Kentucky’s economy relies on an interconnected transportation network that allows for a seamless movement of freight throughout the Commonwealth.