Why It Matters
A Congressional Research Service report updated on September 9 examines passenger and freight rail issues facing Congress as lawmakers consider the BUILD America 250 Act, a proposed five-year reauthorization of federal surface transportation programs. The current surface transportation authorization expires September 30, while the Infrastructure Investment and Jobs Act's advance appropriations for passenger rail are also approaching their end, raising questions about how Congress will fund Amtrak and other rail programs going forward.
Unlike highway programs, most federal rail programs do not receive contract authority from the Highway Trust Fund and instead rely on annual appropriations. The Infrastructure Investment and Jobs Act supplemented those appropriations with $66 billion in advance appropriations for passenger and freight rail programs, providing predictable multiyear funding for Amtrak and federal rail grants.
The Big Picture
The BUILD America 250 Act, H.R. 8870, would authorize annual funding for Amtrak's Northeast Corridor and National Network from fiscal 2027 through fiscal 2031. It would also authorize annual funding for Federal Railroad Administration safety and research programs and several competitive rail grant programs.
The bill would impose a moratorium on additional federal funding for the California High-Speed Rail project while a working group convened by the Secretary of Transportation reviews the project. The working group's review would be published within two years of the act's enactment.
The legislation would also address blocked railroad crossings and cargo theft. It would permanently authorize the Federal Railroad Administration's blocked crossing reporting portal, which allows the public and law enforcement agencies to report crossings blocked by trains, and establish an advisory committee to recommend policies for deterring cargo theft.
The House Transportation and Infrastructure Committee approved H.R. 8870 by a 62-2 vote in May. The legislation would reauthorize surface transportation programs for five years and includes passenger rail investments and policy changes, but it does not provide the guaranteed advance appropriations for passenger rail included in the Infrastructure Investment and Jobs Act.
The Bottom Line
The BUILD America 250 Act would authorize Amtrak and federal rail programs through fiscal 2031, but without the Infrastructure Investment and Jobs Act's guaranteed advance appropriations for passenger rail. That would leave funding dependent on the annual appropriations process unless Congress separately provides advance funding, potentially reducing the long-term funding certainty available for major passenger rail projects.
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