Companion Guide to Video December 2018

www.fhwa.dot.gov/federal-aidessentials

Every year in the U.S., thousands of drivers are 

involved in railroad crossing incidents and 

hundreds of lives are lost. 

To address these tragedies, Congress enacted 

Section 130 of Title 23, U.S. Code to improve 

the safety of public rail-highway crossings. Each 

year, funds are made available as a set-aside 

under the Highway Safety Improvement 

Program. 

Using a formula outlined in section 130, the

Federal Highway Administration, or FHWA, 

apportions Section 130 funds to each State 

Department of Transportation, or State DOT. 

While State DOTs are free to develop their own 

specific approach to highway safety, they must 

follow general eligibility requirements when 

selecting and prioritizing projects and annually 

report to the FHWA their effectiveness in 

achieving program goals.

Here we offer a look at requirements that 

State DOTs must follow when expending 

funds. Then we will look at one State DOT’s 

specific approach for selecting and prioritizing 

projects. 

Section 130 funds can be used at any public railhighway crossing, including public sidewalks, 

pathways, and public shared use paths. 

Federal-aid Program Overview

Section 130—Rail-Highway Crossings Program

Safety upgrades for priority sites.
Federal-aid Essentials for Local Public Agencies

A State DOT must use at least half of its allotted 

funds on the installation of protective devices at 

rail-highway crossings as defined by the Manual 

on Uniform Traffic Control Devices, or MUTCD, 

including pavement markings, traffic control 

signs, flashing lights, and gates. 

State DOTs must use the remaining funds on 

projects that eliminate hazards at crossings, 

such as vertical curves, grade crossing 

separations, and even adjusting the crossing 

itself. All phases of work are eligible for funding, 

including preliminary engineering, design, rightof-way acquisition, and construction. 

State DOTs cannot use Section 130 funds to:

• Conduct routine maintenance or 

operations,

• Create new crossings,

• Abate noise at rail-highway crossings, or

• Erect fencing to eliminate pedestrian 

trespassing outside the crossing area. 

In most cases, the Federal share of Section 130 

project costs for Rail Highway Crossing Program 

set-aside funds is 90 percent. The project 

sponsor, often State DOTs or local agencies, 

provides 10 percent matching funds which they 

may obtain from any number of non-Federal 

sources. States may exceed the matching share. 

Here’s an example of how one State DOT 

administers its $3 million apportionment of 

Section 130 funds.

Their Section 130 policy specifies that for the 

majority of available funds, a cost-benefit factor 

will be used to prioritize eligible projects and 

that agency design engineers will analyze safety 

data and prepare plans and cost estimates.

The policy also states that funds are to be used 

on State highways to install flashing lights and 

gates. Additionally, a portion is allocated to 

local public agencies, or LPAs. 

The public works director in Plains County 

learned that Section 130 funds reserved for 

LPAs might be available for a rail-highway 

crossing on one of the county’s roadways with a 

history of fatalities. Since an area hospital 

recently closed, the railroad has logged an 

increasing number of near misses as more 

residents use the crossing at night to access 

emergency care in a nearby town. 
Federal-aid Essentials for Local Public Agencies

Following the State DOT’s application process, 

the public works director used safety data to 

show the increased incident rate and the 

potential to substantially decrease the fatal 

accident rate. 

Based on the County’s analysis, The State DOT 

prioritized the addition of flashing lights and 

gates at the rail-highway crossing and estimated 

the cost at $165,000. The State contributed 

$148,500 from the Section 130 fund and the 

county matched the contribution with $16,500 

from their own general fund. 

As illustrated by our example, State DOTs must 

follow Federal requirements when 

administering Section 130 funds. They must also 

use safety data to justify project selection and a 

prioritization process and demonstrate their 

effectiveness in improving the safety of their 

railroad -highway crossings.

Each State DOT will develop its own approach 

to selecting and prioritizing eligible projects. 

Some may support an application process for 

LPAs while others may utilize a multi-year 

strategic planning process. Some States may 

obligate all their funds in the year in which they 

are received, while others may choose to pool 

their funds for a couple years to fund larger 

projects. 

Contact your State DOT for information about 

using Section 130 funds for rail-highway 

crossing projects. Your State DOT can provide 

information and guidance on:

• The process for selecting and prioritizing 

eligible projects,

• The appropriate use of data to demonstrate 

safety concerns and justify expenditures, 

and

• Sources of matching funds.
Federal-aid Essentials for Local Public Agencies

The content of this 

document is not a 

substitute for 

information obtained 

from State departments 

of transportation, 

appropriate FHWA 

Division Offices, and 

applicable laws. 

Scenarios have been 

simplified for emphasis 

and do not necessarily 

reflect the actual range 

of requirements 

applicable to the 

scenario or this topic. 

This document was 

created under contract 

number DTFH61-13-A00001 by the Federal 

Highway Administration, 

U.S. Department of 

Transportation, and is 

offered to the public to 

heighten and focus 

awareness of Federal-aid 

requirements within the 

local public agencies 

community and 

reinforces the 

importance of these 

necessary policies, 

procedures, and 

practices.

This Companion 

Resource is the script 

content for the video 

production of the same 

name. 

Additional Resources

• FHWA link to Rail-highway Crossing Program (Section 130) webpage for 

additional resources https://safety.fhwa.dot.gov/hsip/xings/

• FHWA link for the downloadable Railroad-highway Grade Crossing Handbook

https://safety.fhwa.dot.gov/hsip/xings/com_roaduser/07010/

• Link to the FHWA Fact Sheet on the Rail-Road highway crossing legislation

https://www.fhwa.dot.gov/fastact/factsheets/railwayhwycrossingsfst.cfm

• Link to FHWA webpage for the Manual on Uniform Traffic Control Devices 

(MUTCD) for use in determining signs, signals, and pavement markings needed 

for rail crossings https://mutcd.fhwa.dot.gov/

• Virtual edition of the United States Code, see title 23, section 130(f)(2) for 

railroad-highway codification https://www.gpo.gov/fdsys/pkg/USCODE-2017-

title23/html/USCODE-2017-title23-chap1-sec130.htm