December 15, 2022

RAIL

MOVING AMERICA FORWARD

Presented by:

Bryan Rodda • Doug Gascon • Sergio Coronado • Michael Johnson • Laura Shick

FY 2022 Federal-State Partnership for Intercity Passenger 

Rail Grant Program (FSP-National) NOFO Webinar
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FRA Presenters

Laura Shick

Supervisory Environmental 

Protection Specialist, 

Environmental 

Review Division

Doug Gascon

Chief, Rail Program 

Policy and Performance 

Division

Bryan Rodda

Lead Community 

Planner, Amtrak 

Asset Line Planning 

and Oversight 

Division 

Michael Johnson

Industry Economist, 

Railroad Industry 

Economics Division

Sergio Coronado

Transportation 

Industry Analyst, Rail 

Program Policy and 

Performance Division
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• Partnership Program Overview

• How to Apply

• Best Practices 

o Project Narrative

o Statement of Work

o Benefit-Cost Analysis

o Environmental Readiness

• Q & A 

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2

3

4

Agenda
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Fed-State Partnership 

Program Overview—

National
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• The Federal-State Partnership for Intercity Passenger Rail Grant Program (FSP) funds capital 

projects that reduce the state of good repair backlog, improve performance, expand or 

establish new intercity passenger rail service, or enhance rail safety. This Notice is for projects 

not located on the Northeast Corridor (FSP-National).

• Published in the Federal Register on December 7, 2022 

• $2.283 billion available in FY 2022 supplemental advance and annual appropriations 

• Applications due by 5 pm ET on March 7, 2023

• Concurrent applications and resubmissions are allowed

• Indicate other program(s) you may have applied to (e.g., CRISI, RAISE)

Program Purpose & Funding Overview

Purpose

Notice of Funding Opportunity (NOFO)

CRISI: Consolidated Rail Infrastructure and Safety Improvements Grant Program

RAISE: Rebuilding American Infrastructure with Sustainability and Equity Grants
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Program Changes Under the Bipartisan Infrastructure Law (BIL)

Federal-State Partnership Program Changes

New 

Eligibilities 

• Adds “Federally recognized Indian Tribe” as an eligible applicant

• Allows projects to expand or establish new intercity passenger rail service 

• Allows projects on privately owned railroad lines used by intercity passenger rail 

Modified 

Selection 

Preferences

Adds preferences for projects: 

• That improve the financial performance, reliability, service frequency, or address the state of good repair of an 

Amtrak route

• That are identified in, and consistent with, a corridor inventory prepared under the Corridor Identification and 

Development Program (once available)

Removes preference for 50 percent or greater non-Federal match

Phased 

Funding 

Agreements

• New tool available allowing the Secretary to enter into a multi-year funding agreement for a project under 

certain circumstances

National / 

NEC Funding 

Splits

• Supplemental Advance Appropriations: At least 33 percent ($12 billion) for projects not located on the NEC

• Annual Appropriations: not less than 45 percent for awards to non-NEC projects and not less than 45 percent 

for NEC projects, with 10 percent that can be awarded to either geography
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• States (incl. the District of Columbia)

• Groups of States

• Interstate Compacts

• Public agencies or publicly chartered authorities established by one or more States

• Political subdivisions of States

• Amtrak, acting on its own behalf or under a cooperative agreement with one or more States

• Federally recognized Indian Tribe 

• Any combination of the above

Selection preference: Projects for which Amtrak is not the sole applicant

Ineligible entities (e.g., private sector firms): May be included as a partner on an 

application submitted by one or more eligible applicants

Eligible Applicants

Program Eligibility

New in BIL
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Eligible Projects

• A project to replace, rehabilitate, or repair infrastructure, equipment, or a facility used for providing 

intercity passenger rail service to bring such assets into a state of good repair

• A project to improve intercity passenger rail service performance, including reduced trip times, 

increased train frequencies, higher operating speeds, improved reliability, expanded capacity, reduced 

congestion, electrification, and other improvements, as determined by the Secretary

• A project to expand or establish new intercity passenger rail service

• A group of related projects described above

• The planning, environmental studies, and final design for a project or group of projects described 

above

Program Eligibility

Capital Project: Acquiring, constructing, improving, or inspecting rail equipment, track and track structures, or a rail 

facility...including acquiring rights-of-way. 

Major Capital Project: Project with a capital cost estimate of $500 million or greater and with at least $100 million in 

Federal assistance received or requested under the FSP program.

New in BIL

New in BIL
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FSP-National and Lifecycle Stages

Corridor ID Program 

Fed-State Partnership / Other Federal Funding Programs 

Restoration & 

Enhancement 

Program

Project 

Development

Project 

Planning Final Design Construction Operation 

Development Stages Implementation Stages 

Systems 

Planning 

Regional Rail Plans & 

State Rail Plans

• The consecutive stages of a capital project as it is developed and implemented that include Systems Planning, 

Project Planning, Project Development, Final Design, Construction, and Operation 

Lifecycle Stage

Track 1 Track 2 Track 3
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• The main rail line between Boston, MA, and the District of Columbia, and branch lines to Harrisburg, PA, 

Springfield, MA, and Spuyten Duyvil, NY

• The FSP-National NOFO is for projects not located on the NEC. A separate FSP NOFO will be issued for NEC 

projects. 

Key Program Definitions

Northeast Corridor (NEC)

Commuter Rail Passenger Transportation (CR) 

• Short-haul rail passenger transportation in metropolitan and suburban areas usually having reduced fare, 

multiple rides, and commuter tickets, and morning and evening peak period operations, consistent with 49 

U.S.C. 24102(3); the term does not include rapid transit operations in an urban area that are not connected to 

the general railroad system of transportation

Intercity Passenger Rail Transportation (IPR)

• Rail passenger transportation, except commuter rail passenger transportation. See 49 U.S.C. 24911(a)(2). In 

this NOFO, “Intercity Passenger Rail Service” and “Intercity Passenger Rail Transportation” are equivalent terms 

to “Intercity Rail Passenger Transportation.”
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Requirements

• Federal share of total costs for a project shall not exceed 80 percent

• A minimum 20 percent (20%) non-Federal share is required. Applications failing to 

demonstrate sufficient non-Federal match are ineligible. 

• If Amtrak is an applicant, Amtrak may use ticket and other revenues generated from its 

operations and other non-Federal sources to satisfy the non-Federal share requirements 

Process

• Identify the source(s) of matching and other funds and clearly and distinctly reflect 

these funds in project budget

• Cash and in-kind contributions are permitted, consistent with 2 CFR Part 200

• Include funding commitment letters outlining funding agreements as attachments or in 

an appendix 

Non-Federal Match Requirements

Program Eligibility
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• Technical Merit: Quality of statement of work and application materials; readiness and completion of 

Capital Project Lifecycle prerequisites; applicant past performance, technical capacity, and financial 

contributions; private-sector participation; qualifications and experience of key personnel and 

organizations; and consistency with planning documents

• Project Benefits: benefit-cost analysis; effects on system and service performance (incl. as measured by 

FRA’s metrics & minimum standards for IPR rule); effects on safety, competitiveness, reliability, trip 

time, and resilience; improved modal integration; ability to meet current or anticipated demand; 

anticipated positive economic and employment impacts in areas near stations, historic districts or 

other opportunity zones; and whether project services historically unconnected or under-connected 

communities. 

• Amtrak is not sole applicant

• Improves the financial performance, reliability, service frequency, or address the state of good repair of 

an Amtrak route

• Identified in, and consistent with, a corridor inventory prepared under FRA’s Corridor Identification and 

Development Program (to be implemented in future FSP-National NOFOs)

Program Evaluation & Selection Criteria

Evaluation Criteria

Selection Preferences 

New in BIL

New in BIL
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Program Evaluation & Selection Criteria

Key Departmental Objectives

Safety

Improves safety at highway-rail grade crossings, reduces 

incidences of rail-related trespassing, and upgrades 

infrastructure to achieve a higher level of safety.

Equitable economic growth and job creation

Invests in vital infrastructure assets and provides 

opportunities for families to achieve economic security 

through rail industry employment.

Climate Change and Sustainability

Reduces emissions, promotes energy efficiency, 

increases resiliency, and recycles or redevelops existing 

infrastructure.

Equity and Barriers to Opportunity

Includes a plan to incorporate small businesses as 

part of project completion and take account of a 

community engagement efforts designed to reach 

impacted communities and how community 

feedback is considered in decision making.

Transformation of our nation’s transportation 

infrastructure

Adds capacity to congested corridors, builds new 

connections or attracts new users to passenger rail, 

and ensures assets will be improved to a state of 

good repair.

DOT will assess the project’s ability to meet one or more of these objectives. Such considerations can include, 

but are not limited to, the extent to which an application promotes:
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For FRA-funded Projects - the steel, iron, 

construction materials, and manufactured goods 

used in the project must be produced in the 

United States

FRA Buy America applies to materials purchased 

with FRA funds and with non-Federal funds

Consider FRA Buy America requirements in 

project planning, design, and budget

Include FRA Buy America requirements in all 

procurement documents and obtain any 

necessary certifications to document compliance

FRA encourages applicants who might seek a 

waiver to develop and submit a domestic sourcing 

plan as part of their application

FRA Buy America

FRA Buy America includes new requirements enacted by the Build America, Buy America (BABA) Act

https://railroads.dot.gov/legislation-regulations/buyamerica/buy-america

Waivers are granted only in limited circumstances and can result in significant delay
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Detail on the extent to which the systems covered by the waiver are 

to be imported and the extent to which such systems can be sourced 

domestically

Explanation of how the recipient anticipates making use of domestic 

sources for maintenance and replacement of initially imported goods 

and materials used in the project

Explanation of the number of domestic jobs, temporary and 

permanent, that will be generated by the project and outline a plan 

to transition any foreign labor responsibilities to domestic jobs

FRA Buy America – Domestic Sourcing Plan

The domestic sourcing plan should include:
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• Pre-award costs incurred prior to selection, without an FRA NEPA determination, or without prior 

FRA written approval are unallowable

• FRA is prohibited from providing Partnership Program grants for Commuter Rail Passenger 

Transportation (under 49 U.S.C. 24405(f))

o FRA’s primary intent in the FSP program is to make reasonable investments in Intercity 

Passenger Rail transportation. Such projects may be located on shared corridors where 

Commuter Rail Passenger Transportation and/or freight rail also benefit.

o When applying for a shared benefit project, clearly demonstrate how the proposed project 

directly benefits IPR and that the project would be a reasonable investment in IPR, 

independent and separate from consideration of the proposed project’s benefits to other 

transportation purposes.

o FRA has provided grants in the FSP program to commuter or local transit agencies when those 

agencies have demonstrated their projects have reasonable intercity passenger rail benefits

Other Requirements & Restrictions
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NOFO Overview

& How to Apply
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What is a NOFO?

A Notice of Funding Opportunity (NOFO): 

• Announces the grant opportunity

• Contains details about the application requirements and procedures to request 

Federal funding for eligible projects 

Key Parts of a NOFO
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What information is in a NOFO?

• Program Summary

• Key Dates

• Addresses

• FRA Contact Information

Key Parts of a NOFO

• Table of Contents

o Program Description

o Federal Award Information

o Eligibility Information

o Application and Submission Information

o Application Review Information

o Federal Award Administration 

Information

o Federal Awarding Agency Contacts

o Other Information
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Where do I start?

Check the FRA Competitive Discretionary Grant Programs webpage

• https://railroads.dot.gov/grants-loans/competitive-discretionary-grant-programs/competitivediscretionary-grant-programs

Click the link 

to access the 

NOFO
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Where is the FY22 Partnership Program NOFO? 

NOFO in the Federal Register

• https://www.federalregister.gov/d

ocuments/2022/12/07/2022-

26610/notice-of-fundingopportunity-for-the-federal-statepartnership-for-intercitypassenger-rail-program
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Search Grants tab on Grants.gov: 

Click the Opportunity 

Number to see the Synopsis

Where do I find “How to Apply” information?
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Summary information about the grant opportunity in Grants.gov: 

What is the Synopsis?
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How do I apply?

• Obtain a Unique Entity Identifier

• Register early in the Federal government's 

System for Award Management (SAM)

• For Grants.gov, complete an Authorized 

Organization Representative profile and 

create a username and password

• Submit an application addressing all 

requirements outlined in the NOFO

Key Steps

NOTE:

• SAM registration can take up to 2 

weeks (longer if you do not have an 

Employer Identification Number)

• FRA does not control or have the 

authority to expedite SAM renewal 

requests

• GSA reported that as of December 6, 

2022, the average time to complete 

a manual review otherwise known as 

Entity Validation is thirteen (13) 

business days.
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What do I include in my application?

• Project Narrative

• Statement of Work 

o Scope, Schedule, Budget and Performance Measures

• Environmental Compliance (NEPA) Documentation

o Note: May include a draft document that requires development, review, and approval by FRA or an 

existing completed NEPA document approved by FRA or another Federal agency that covers the proposed 

project scope 

• Benefit-Cost Analysis

• Draft Use/Ownership Agreement (if applicable) 

o Note: FRA requires a written agreement exist between the applicant and the railroad regarding use and 

ownership consistent with 49 U.S.C. 22905(c)(1) for projects using rights-of-way owned by a railroad that 

is not the applicant 

Required Documents

NEPA: National Environmental Policy Act
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What forms are required?

• SF424 (Application for Federal Assistance)

oEither: SF 424A or 424C – Budget info for Non-Construction OR Construction

oEither: SF 424B or 424D – Assurances for Non-Construction OR for 

Construction

• FRA’s Additional Assurances and Certifications (FRA F 30)

• FRA’s Applicant Financial Capability Questionnaire (FRA F 251)

• SF LLL: Disclosure of Lobbying Activities (only required if reportable Lobbying 

activities exist)

Required Forms
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Where do I find additional information and help?

Find Additional Information about the grant opportunity in Grants.gov at the 

bottom of the Synopsis page: 
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Each application is reviewed for completeness and 

eligibility to determine which applications move to 

the evaluation stage

Each complete and eligible application is evaluated 

by a panel of DOT subject matter experts using 

criteria outlined in the NOFO 

Final funding decisions are made by taking into 

account the evaluation and selection criteria 

outlined in the NOFO 

1. Intake and Eligibility

2. Evaluation

3. Selection

4. Announcement

FRA press release announces selections approximately 

7 to 9 months following application due date

Application Review and Selection Process

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FRA’s Competitive Grants Application Process webpage

Grant Application Process
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Best Practices
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 Read the NOFO completely and carefully to 

understand the criteria for eligibility and 

selection, and what information each 

application must include 

 FRA has identified several focus areas where 

applications that are not selected often 

demonstrate deficiencies: 

o Project Narrative

o Statement of Work (SOW)

o Benefit-Cost Analysis (BCA)

o Environmental Readiness

Best Practices & Helpful Hints
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Best Practices—

Project Narrative
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 Structure your project narrative 

in accordance with the outline 

specified in the NOFO

 Include all elements identified in 

the outline

 Follow the instructions for 

each element

 Adhere to 25-page limit – Cover 

Page does not count against limit

Project Narrative Outline

Best Practices – Project Narrative

I. Cover Page

II. Project Summary

III. Project Funding

IV. Applicant Eligibility Criteria

V. Project Eligibility Criteria

VI. Detailed Project Description

VII. Project Location

VIII. Grade Crossing Information, if applicable

IX. Evaluation and Selection Criteria

X. Project Implementation and Management

XI. Environmental Readiness
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Best Practices – Project Narrative

 Indicate if an application for the 

project has been submitted 

previously to another Federal grant 

program—include the program and 

year, lead applicant, project cost, 

lifecycle stage, intercity route 

benefitting, infrastructure owner

Project Narrative Outline

I. Cover Page

II. Project Summary

III. Project Funding

IV. Applicant Eligibility Criteria

V. Project Eligibility Criteria

VI. Detailed Project Description

VII. Project Location

VIII. Grade Crossing Information

IX. Evaluation and Selection Criteria

X. Project Implementation and Management

XI. Environmental Readiness
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Best Practices – Project Narrative

Project Narrative Outline

I. Cover Page

II. Project Summary

III. Project Funding

IV. Applicant Eligibility Criteria

V. Project Eligibility Criteria

VI. Detailed Project Description

VII. Project Location

VIII. Grade Crossing Information

IX. Evaluation and Selection Criteria

X. Project Implementation and Management

XI. Environmental Readiness

 Briefly describe the project in 

4 to 6 sentences, its anticipated 

benefits, and the transportation 

challenges the project will 

address

 Think of this section of the 

application as your elevator pitch 

for the project to the DOT 

Secretary and FRA Administrator
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Best Practices – Project Narrative

Project Narrative Outline

I. Cover Page

II. Project Summary

III. Project Funding

IV. Applicant Eligibility Criteria

V. Project Eligibility Criteria

VI. Detailed Project Description

VII. Project Location

VIII. Grade Crossing Information

IX. Evaluation and Selection Criteria

X. Project Implementation and Management

XI. Environmental Readiness

 Only include eligible costs

 Specify each source of 

non-Federal match

 Provide details about in-kind match

 Indicate public- vs. private-sector 

match 

 Describe the non-Federal 

funding arrangements

 Attach funding commitment letters

 Identify if the proposed match will not 

be available until a certain date or if 

funds must be spent by a deadline
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Best Practices – Project Narrative

Project Narrative Outline

I. Cover Page

II. Project Summary

III. Project Funding

IV. Applicant Eligibility Criteria

V. Project Eligibility Criteria

VI. Detailed Project Description

VII. Project Location

VIII. Grade Crossing Information

IX. Evaluation and Selection Criteria

X. Project Implementation and Management

XI. Environmental Readiness

 Thoroughly discuss the 

transportation challenges and 

benefits

 Include data to support project 

benefits

 Describe how project 

components are related and will 

be sequenced

 Include photographs or diagrams

 Identify all host railroads, 

operators, and beneficiaries
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Best Practices – Project Narrative

Project Narrative Outline

I. Cover Page

II. Project Summary

III. Project Funding

IV. Applicant Eligibility Criteria

V. Project Eligibility Criteria

VI. Detailed Project Description

VII. Project Location

VIII. Grade Crossing Information

IX. Evaluation and Selection Criteria

X. Project Implementation and Management

XI. Environmental Readiness

 Identify cities, counties, and 

states where project is located

 Include a map of the project

 Identify railroad mileposts

 For grade crossing projects, 

include the U.S. DOT National 

Highway-Rail Crossing Inventory 

number

 Geospatial data—longitude and 

latitude 
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Best Practices – Project Narrative

Project Narrative Outline

I. Cover Page

II. Project Summary

III. Project Funding

IV. Applicant Eligibility Criteria

V. Project Eligibility Criteria

VI. Detailed Project Description

VII. Project Location

VIII. Grade Crossing Information

IX. Evaluation and Selection Criteria

X. Project Implementation and Management

XI. Environmental Readiness

 Cite specific DOT National Grade 

Crossing Inventory information, 

including:

• Railroad that owns infrastructure

• Primary railroad operator

• DOT crossing inventory number

• Roadway at the crossing
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Best Practices – Project Narrative

Project Narrative Outline

I. Cover Page

II. Project Summary

III. Project Funding

IV. Applicant Eligibility Criteria

V. Project Eligibility Criteria

VI. Detailed Project Description

VII. Project Location

VIII. Grade Crossing Information

IX. Evaluation and Selection Criteria

X. Project Implementation and Management

XI. Environmental Readiness

 Include a separate section in the 

project narrative focused on how the 

project meets each of the evaluation 

and selection criteria

 DO NOT rely solely on the contents 

of the “detailed project description” 

section to satisfy this requirement—

it is OK to repeat key points in this 

section

 Quantify benefits whenever possible
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Best Practices – Project Narrative

Project Narrative Outline

I. Cover Page

II. Project Summary

III. Project Funding

IV. Applicant Eligibility Criteria

V. Project Eligibility Criteria

VI. Detailed Project Description

VII. Project Location

VIII. Grade Crossing Information

IX. Evaluation and Selection Criteria

X. Project Implementation and Management

XI. Environmental Readiness

 Highlight applicant’s past 

experiences managing and 

overseeing similar projects, including 

FRA- or DOT-funded projects

 Describe expected arrangements for 

project contracting, contract 

oversight, change-order 

management, risk management, and 

conformance with Federal 

requirements for progress reporting

 FD projects applying for funding 

must resolve remaining uncertainties 

or risks associated with changes to 

the design and scope of the Capital 

Project
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Best Practices – Project Narrative

Project Narrative Outline

I. Cover Page

II. Project Summary

III. Project Funding

IV. Applicant Eligibility Criteria

V. Project Eligibility Criteria

VI. Detailed Project Description

VII. Project Location

VIII. Grade Crossing Information

IX. Evaluation and Selection Criteria

X. Project Implementation and Management

XI. Environmental Readiness

 For Track 1/Track 2 Grant 

Applications:

• Provide draft NEPA 

document, if possible

• Identify any planning or 

environmental analyses 

done to date

*For more information on the NEPA process, see relevant webinars on FRA’s Webinars 

webpage.
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Best Practices – Project Narrative

Project Narrative Outline

I. Cover Page

II. Project Summary

III. Project Funding

IV. Applicant Eligibility Criteria

V. Project Eligibility Criteria

VI. Detailed Project Description

VII. Project Location

VIII. Grade Crossing Information

IX. Evaluation and Selection Criteria

X. Project Implementation and Management

XI. Environmental Readiness

 For Track 3 FD/Construction 

Grant Application:

• Provide copy of or weblink to 

completed NEPA document

• Identify environmental permits 

or approvals that may be needed

from others besides FRA

• Provide status, expected 

completion date, and/or copy of 

permits or approvals

*For more information on the NEPA process, see relevant webinars on FRA’s Webinars 

webpage.
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Best Practices—

Statement of Work
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 See FRA’s Statements of Work webpage:

https://railroads.dot.gov/grants-loans/

grant-administration/statements-work

 Use templates for the 

o SOW (Attachment 2)

o Schedule (Attachment 3) 

o Budget (Attachment 4)

o Performance Measures 

(Attachment 5)

Best Practices – Statement of Work
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 Organize the scope of work into 

discrete and logically sequenced tasks

 Provide appropriate timing for tasks  Identify the deliverables required to 

communicate progress and 

completion of tasks to FRA

 Check the budget to ensure numbers 

are consistent with cost information 

submitted in forms and other areas of 

the application

Best Practices – Statement of Work
47

• Capital Cost Estimating Guidance:

o https://railroads.dot.gov/rail-network-development/

training-guidance/capital-cost-estimating-guidance

• Utilize FRA’s Standard Cost Categories as a way to organize 

the scope of work and budget

o https://railroads.dot.gov/elibrary/mp-33-scc-worksheets

• Ensure consistency among the project narrative, statement of 

work, benefit-cost analysis, and other application materials

Best Practices – Statement of Work
48

Best Practices—

Benefit-Cost Analysis
49

?

• BCA encourages applicants to focus and refine project scopes and outcomes

• BCA is a method to enable comparison across diverse project types and 

magnitudes

• Part of Fed-State Partnership selection criteria: 

o Secretary shall “take into account the cost-benefit analysis of the proposed 

project”

o Other FRA programs (CRISI) and Departmental programs (RAISE and 

FASTLANE/INFRA) have similar provisions

BCA – Purpose

49

Why Do a Benefit-Cost Analysis? 

FASTLANE: Fostering Advancements in Shipping and Transportation for the Long-Term Achievement of National Efficiencies Grants

INFRA: Infrastructure for Rebuilding America Grants
50

BCA – Overview of Steps

• Specify your project’s base case, alternate case, and timeline

• SHOW how your alternate case will result in specific effects 

(i.e., project benefits)

• Break down benefits and costs into the smallest sub-elements possible

• Assign monetary values to sub-elements using USDOT’s BCA Guidance

• Calculate results and discount to base year

1

2

3

4

5
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• The base case reflects the status quo—i.e., the world as it exists today 

• The alternate case (i.e., “build scenario”) is the proposed project 

o An analysis for construction should present a single project 

o One application can contain multiple projects

o Multiple projects need multiple analyses

o Avoided costs of alternatives not taken are NOT benefits 

• The timeline must be appropriate for the proposed project

o Match the useful life of the project, but not more than 30 years of operation

o Projects with useful life beyond 30 years will have residual value (stations in 

particular)  Use GAAP straight line depreciation

BCA – Scope of Analysis

51
52

• Examine ONLY the differences between the base case and alternate case 

(i.e., the marginal effects)

• Planned future projects are irrelevant

• These differences should reflect realistic projections

• Intercity passengers will likely change modes if 

their station is unavailable, while commuters are 

more likely to divert to another nearby station

• Host railroads will impose speed and weight 

restrictions before shutting down completely

• Growth rates will not suddenly double unless a 

fundamental change occurs

BCA – Scope of Analysis

52

Examples
53

BCA – Benefits & Costs

• The marginal effects of the alternate case are the project benefits

o Marginal effects are sometimes undesirable, shown as negative dollar 

amounts

• The total costs of the project are all costs associated with implementing the 

project

• Total NET operations & maintenance costs should be included as benefits:

o Net O&M for new infrastructure and equipment will be a negative 

dollar amount

o Changes in net O&M costs for existing infrastructure can be positive or 

negative, but are always included in the numerator

o Residual value for remaining useful life is a benefit, NOT subtracted from costs

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54

BCA – Development

54

Replacing a bridge might result in...

• Removal of slow orders, improving through speed 

(travel time savings)

• Reduced wait time at the approaches

(travel time savings and emissions)

• Decreased delays at nearby sidings along the 

corridor (travel time savings and emissions)

• Reduced O&M costs

• Break down marginal effects into the smallest possible sub-elements

• This is where 90% of your “thought work” occurs

• Provide documentation for inputs and growth rates

Example
55

• Modal diversion is a marginal choice; ONLY count marginal effects

• New users value the project less than existing users

(Follow the 50% rule in USDOT’S BCA Guidance) 

• Lost revenue from passengers changing to other modes is a transfer, 

NOT a benefit (Follow USDOT’S BCA Guidance) 

Avoided rail-to-truck diversion could result in...

• Increased pavement damage

• Increased harmful emissions

• Increased congestion on highways

• Decreased safety

BCA – Modal Diversion

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Example
56

 Document your assumptions in as much 

detail as possible.

 If your application contains multiple 

projects, analyze benefits and costs of each 

project separately.

 If your BCA includes modal diversion, include 

YOUR freight and/or passenger traffic counts. 

 Include the specific AADT for each grade 

crossing project. State DOTs often fail to 

send updates. 

 You must include an unlocked Excel 

spreadsheet that clearly shows your 

calculations and discounting.

BCA – Final Advice

56
57

• Follow USDOT’s BCA Guidance, 

available at:

https://www.transportation.gov/office

-policy/transportation-policy/benefitcost-analysis-guidance

• For rail-specific examples on how 

to apply the BCA Guidance, refer 

to FRA’s BCA FAQ available at:

https://railroads.dot.gov/elibrary/cons

olidated-rail-infrastructure-and-safetyimprovements-crisi-and-federal-state

BCA – Guidance/Online Resources
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Best Practices—

Environmental Readiness
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Environmental Readiness 

Environmental review is required for all FRA grant-funded projects

Requirements include:

• National Environmental Policy Act (NEPA)

• National Historic Preservation Act (NHPA) Section 106

• Section 4(f) of the USDOT Act

• Endangered Species Act (ESA) Section 7

• Environmental Justice

• Wetlands and navigable waterways

• Others, as applicable
60

Environmental Readiness – Fundamentals

• The amount/kinds of environmental information and documentation you're 

typically expected to provide as part of your application depends on which track 

of the FSP-National program (1, 2, or 3) you're applying under

• Environmental review must be completed and approved by FRA prior to 

construction

• FRA may be able to adopt environmental documents prepared by/for other 

Federal agencies

What to Know Before You Begin...
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Environmental Readiness – Track 1 or 2

SHPO: State Historic Preservation Officer; USACE: U.S. Army Corps of Engineers; USFWS: U.S. Fish and Wildlife Service

Track 1 or 2 • You're seeking grant funding to pay 

for development of a NEPA document 

and conducting associated 

environmental impact analyses.

o Post-selection, FRA coordinates 

with grantees to formally 

determine the NEPA Class of 

Action and NEPA document 

required

3 Options:

1. Categorical Exclusion (CE) 

Worksheet 

2. Environmental Assessment (EA)

3. Environmental Impact 

Statement (EIS)

Apply if...

With your application, provide as 

much project information/existing 

documentation as possible, i.e.:

• Project description

• Location (include maps, photos)

• Any planning or environmental 

analyses done to date

• Any prior or anticipated 

public/stakeholder/agency outreach 

or coordination

• Anticipated environmental impacts

• Anticipated local/State/Federal 

permits or other approvals 

(e.g., USACE)

• Anticipated coordination/ consultation 

with resource and/or regulatory 

agencies (e.g., SHPO, USFWS)

And then...
62

Environmental Readiness – Track 1 or 2

Track 1 or 2 Also consider providing:

• A draft Categorical Exclusion (CE) 

worksheet with your grant application, OR

• Identify the anticipated CE category(-ies) that 

the project may fall under (see FRA’s CEs: 23 

CFR 771.116)

• If your project does not fit clearly within a CE 

category, an EA or EIS may be necessary 

depending on the potential for significant 

environmental impacts.

Need general technical assistance regarding our environmental review and documentation requirements? 

Contact our experts at FRAenvironment@dot.gov
63

Environmental Readiness – Track 3

Track 3

Apply if...

NEPA has already been completed or 

is underway, and you're seeking grant 

funding for FD/construction for your 

project.

• FRA will evaluate environmental 

readiness based on information 

included in your application

With your application:

• Include a copy of approved NEPA 

document and/or weblink (or anticipated 

completion date). Identify:

o Type of NEPA document 

(CE, EA, EIS)

o Lead Federal agency

o Date of Federal NEPA approval

• Identify if any permits or approvals may 

be required from agencies besides FRA

• Identify any substantive changes to the 

proposed project scope and/or to the 

environmental setting/conditions since 

date of prior NEPA approval

o FRA may determine a NEPA reevaluation or supplemental 

environmental analyses are 

necessary

And then...
64

Environmental Readiness – NEPA Resources

• FRA Environmental Webpage

https://railroads.dot.gov/rail-network-development/environment/environment

• FRA NEPA Procedures

https://railroads.dot.gov/rail-network-development/environment/fra-legislationregulations

• FRA Categorical Exclusion (CE) Worksheet

https://railroads.dot.gov/elibrary/categorical-exclusion-worksheet-0

• FRA CE Companion Guide

https://railroads.dot.gov/elibrary/fra-categorical-exclusion-companion-guide
65

Environmental Readiness – NEPA Resources

• Council on Environmental Quality (CEQ) Website

https://ceq.doe.gov

• A Citizen’s Guide to the NEPA

https://ceq.doe.gov/docs/get-involved/Citizens_Guide_Dec07.pdf

• AASHTO Center for Environmental Excellence Practitioner’s Handbook

https://environment.transportation.org/resources/practitioners-handbooks/
66

Environmental Readiness – NHPA Section 106 Resources

• Section 106 Regulations (36 CFR Part 800)

https://www.govinfo.gov/content/pkg/CFR-2021-title36-vol3/pdf/CFR-2021-title36-vol3-part800.pdf

• Section 106 Review Process

https://www.achp.gov/sites/default/files/2018-05/Section%20106%20Review%20Process.Handout.2017.jpg

• A Citizen’s Guide to Section 106 Review

https://www.achp.gov/sites/default/files/documents/2019-04/CitizenGuide2015v4-spreads%20layout.pdf

• Section 106 and Infrastructure Projects

https://www.achp.gov/section-106-and-Infrastructure-Projects

• Section 106 Program Comment for Rail ROW

https://railroads.dot.gov/rail-network-development/environment/final-section-106-program-comment-railrights-way
67

• There are several recorded 

webinars on FRA's website 

regarding our NEPA/Section 106 

review requirements and processes

• Training & Guidance | Webinars | 

dot.gov

FRA NEPA/Section 106 Webinars

Select the 

Environment

drop-down
68

Recap &

Reminders
69

Recap & Reminders

• Always read the NOFO carefully

• Determine what a successful project 

looks like

• Ensure you submit all required documents

• Address all the evaluation and selection criteria 

on which you will be rated

o Be clear and direct in responding to criteria

o Make your application easy to read and 

evaluate

o Don’t bury key points!

Submit your application on time! Late applications will not be reviewed.
70

Recap & Reminders

• Verify funding and budget amounts for consistency! 

o Ensure amounts match in different parts of your application package 

(e.g., cover sheet, SOW, Project Narrative, SF-424)

o Numbers in columns and rows should add up properly in budget tables

o Only include project costs that are expected to be incurred after 

grant selection 

• Name key partners, indicate in-place agreements, and include letters of support

• Have an objective “cold reader” — i.e., an individual unfamiliar with the grant 

application — review your final document before submission
71

Pre-Obligation Post-Obligation

Pre-Obligation Post Obligation Closeout

Project Selected 

for Award Obligated Period of Performance Ends Closed

Pre-Obligation Post-Obligation

Grant Agreement (NGA): 

• Scope, schedule, and 

budget

• Performance measures

Terms and Conditions

NEPA Requirements 

Grant Administration 

• Meetings with FRA

• Quarterly Progress and Financial Reports

• Invoicing schedule of eligible expenses per NGA

• Invoice and Deliverable Reviews 

Monitoring

• Routine monitoring

• Annual monitoring reviews/Site visits

Final Invoice 

• Financial 

reconciliation

Final Performance 

Report

• Documentation 

of results, 

outcomes, and 

public benefits

6 to 15 months 2 to 5 years 1 to 3 months

Grant Lifecycle and Approximate Time Frames
72

Upcoming Fed-State Webinars 

• FRA will host three FSP Information Sessions 

in January and February 2023:

o Session #1: Eligibility, Host Infrastructure 

Agreements and Relationship with Corridor ID

o Session #2: Major Capital Projects

o Session #3: Project Narrative and Statements of 

Work

• Date and registration information will be 

available soon—look for information on FRA’s 

Grants & Loans webinar landing page 

FRA anticipates a January 2023 Northeast Corridor-focused FSP webinar; 

information will be provided following publication of the FSP-NEC NOFO. 
73

QUESTIONS?
Contact Us

Federal Railroad Administration

1200 New Jersey Avenue, SE

Washington, DC 20590

Connect with us USDOTFRA

FRA-NOFO-Support@dot.gov

Partnership Program: Bryan Rodda

Bryan.Rodda@dot.gov

Application Process: Doug Gascon

Douglas.Gascon@dot.gov

Benefit-Cost Analysis: Michael Johnson

Michael.Johnson1@dot.gov

Environmental Readiness: Laura Shick

Laura.Shick@dot.gov

FRAenvironment@dot.gov

FRA Competitive Discretionary Grant Programs

Webpage https://www.fra.dot.gov/grants