Minnesota Rail Service Improvement Grant
The MRSI Program provides grants for freight rail service improvement projects that support economic development in accordance with Minnesota Statute. Up to $4 million is currently available as grants for projects that will improve freight rail service that supports local or statewide economic development. The funding includes $1 million in new bond funding approved during the 2025 legislative special session, and $3 million in bond funding reallocated from previous projects. Applications are due by 5 p.m. Jan. 9, 2026.
If you are interested in receiving updates on a future solicitation, please sign up for MRSI Program updates using the Connect with Us button on the right-hand side of this page and check this page for updates.
Eligible applicants
- Railroads
- Rail shippers
- Political subdivisions of Minnesota
- Federal agencies that seek to complete a major improvement or rehabilitation of railroad rights of way or other railroad facilities
Timeline
- MnDOT plans to hold a grant solicitation later this year
- Key Dates:
- Nov. 17, 2025: Solicitation opens
- Dec. 3, 2025, 1 p.m. – 2 p.m.: Informational webinar and Q&A for prospective applicants
- This webinar will be held via Microsoft Teams
- Teams link to join will be available on this webpage
- Jan. 9, 2026: Deadline to submit online applications to MnDOT
- March 2026: Anticipated project selection and notification of awards
- Please note that bond funds have documentation and timeframe requirements that grantees will need to meet. For planning purposes, bond funds expire, if not encumbered, at the end of four years from the appropriation. We will provide more detailed information on bond requirements in the future solicitation.
- This page will be updated with more detailed information that includes the upcoming solicitation once it is available.
Submit your application
- MnDOT will post the new solicitation to this webpage once the application window opens according to the timeline above.
Application resources (current solicitation)
- Affidavit of Noncollusion Form (PDF)
- Conflict of Interest Form (PDF)
- Certification Form – No Conviction of Felony Financial Crime
- Certification Form – Not Under Bankruptcy Proceedings
Application resources (from 2023 - examples only)
- 2023 grant application
- MRSI Grant Funding Instructions (PDF)
- Previous grant information:
Resources for Awarded Grantees
- List of Required MRSI Grant Documentation - for bond-funded agreements (PDF) (coming soon)
- MRSI Grant Rail Agreement template - for bond-funded agreements (PDF) (coming soon)
- Declaration template - to file the required lien with the county
After you apply
Scoring process
Project selection for the MRSI Program grant follows a two-step process.
Step 1: We evaluate each application for completeness and whether it meets requirements for project type. The application must include a budget (i.e. engineer's estimate or actual bids) and schedule, including anticipated completion date.
Step 2: A project selection committee reviews and scores eligible applications.
Scoring criteria
| Criteria | Points available | Data source/basis |
|---|---|---|
| Project Summary | 15 | Description of overall scope of the proposed project and how it will be accomplished |
| Rail Service Impacts | 30 | Information on impacts on rail service and the overall transportation system |
| Economic Impacts | 30 | Information on return on investment based on the economic impacts of the proposed project |
| Equity | 15 | Impact on areas of environmental justice concern using data from MPCA |
| Environmental Impacts | 15 | Information on the potential environmental impacts of the proposed project |
| Project Readiness | 5 | Information on project readiness |
| Project Funding | 20 | Information on total project cost and amount of grant funding requested |
Notification
Applicants were notified of their selection status in April 2024 and a press release was shared May 7, 2024.