The Minnesota Department of Transportation (MnDOT) has awarded nearly $4.5 million to five freight rail infrastructure projects across the state. The funding will support upgrades and expansions that improve freight movement and regional economic development.
The projects will upgrade existing rail lines and expand industrial rail access. Improvements include track rehabilitation, new track construction, rail siding development, and installation of switches and loading infrastructure. These upgrades will strengthen connections between industrial facilities and mainline rail networks.
Funding comes through the Minnesota Rail Service Improvement (MRSI) Program. The package includes $1 million in bond funding from the 2025 legislative session and $3.5 million from previously authorized bond funds. MnDOT will administer the program and oversee project implementation in coordination with private operators.
Selected projects include track upgrades for Cloquet Terminal Railroad, terminal expansion for Minnesota Northern Railroad, and new loading infrastructure for Lake Agassiz Bean. Additional projects will establish new rail service at JMJ Properties’ facility and construct a rail siding for Denco II to support ethanol shipments. Construction timelines will vary by project and are expected to begin following final approvals.