The Texas Transportation Commission has awarded $58.51 million to support a rail grade separation project at Santa Maria Boulevard in Laredo, Texas. The project received the largest award from the state’s new Texas Off-System Rail Grade Separation State Fund Program.

The project will separate roadway traffic from freight rail operations along a corridor used by Canadian Pacific Kansas City (CPKC). The work will eliminate at-grade crossings and construct grade-separated infrastructure to reduce delays and improve safety.

The Santa Maria Boulevard corridor carries significant freight traffic linked to cross-border trade. Laredo serves as one of the busiest rail gateways between the United States and Mexico. The funding comes from a $250 million state program established under Senate Bill 1555. The program targets rail crossings located off the state highway system that frequently experience congestion from long freight trains.

The grade separation project aims to improve freight mobility through the Laredo trade hub while reducing roadway congestion.