1. (1) As used in this section, "eligible entity" means:

   1. (a) a public entity, as defined in Section 72-2-301; or
   2. (b) a private entity that is exempt from federal income taxation under Section 501(c)(3), Internal Revenue Code.
2. (2) There is created in the Transit Transportation Investment Fund, created in Section 72-2-124, the Rail Transportation Subaccount.

3. (3) The subaccount shall be funded by:

   1. (a) appropriations to the subaccount by the Legislature;
   2. (b) private contributions;
   3. (c) donations or grants from public or private entities; and
   4. (d) interest earned on money in the account.

4. (4) Upon appropriation, the department shall:

   1. (a) use an amount equal to 10% of the money deposited into the subaccount to provide grants in accordance with Subsection (5);

   2. (b) use an amount equal to 10% of the money deposited into the subaccount to pay:

      1. (i) the costs of performing environmental impact studies in connection with construction, reconstruction, or renovation projects related to railroad crossings on class A, class B, or class C roads; or
      2. (ii) the appropriate debt service or sinking fund for the repayment of bonds issued under Subsection 63B-31-101(6); and

   3. (c) use the remaining money deposited into the subaccount to pay:

      1. (i) the costs of construction, reconstruction, or renovation projects related to:

         1. (A) railroad crossings on class A, class B, or class C roads; or
         2. (B) railroad infrastructure owned by the state that has been damaged or impacted by erosion;
      2. (ii) debt service related to a project described in Subsection (4)(b);
      3. (iii) the appropriate debt service or sinking fund for the repayment of bonds issued under Subsection 63B-31-101(5); or
      4. (iv) ongoing maintenance costs of at-grade crossings between rail lines and public highways.

5. (5)

   1. (a) The department may award grants to one or more eligible entities to be used for the purpose of improving safety at railroad crossings on class A, class B, or class C roads.

   2. (b) An eligible entity may use grant money for any expense related to improving safety at railroad crossings on class A, class B, or class C roads, including:

      1. (i) signage; and
      2. (ii) safety enhancements to a railroad crossing.

   3. (c) The department shall prioritize, in the following order, grants to applicants that propose projects impacting railroad crossings that:

      1. (i) have demonstrated safety concerns, including emergency services access; and
      2. (ii) have high levels of vehicular and pedestrian traffic.

Amended by Chapter 432, 2026 General Session