Hondo Railway receives $8.3 million grant for service improvements

Courtesy photo

Hondo Railway will use an $8.3 million federal grant to improve its short-line rail infrastructure to improve services for its customers in the construction, manufacturing and energy industries. The improvements are also expected to reduce blocked railroad crossings in Hondo. 

By Rosanne Fohn

Anvil Herald Reporter

Hondo Railway, part of Pinsly Railroad, recently received $8.3 milion from the Federal Railroad Administration’s Consolidated Rail Infrastructure and Safety Improvement (CRISI) program for rail infrastructure improvements.

The funds will support Hondo Railway’s approximately $11.6 million “Safety Performance and Upgrades for Rail (SPUR)” project.

The project will include new railroad track construction and installation of switches to reconfigure exiting interchange tracks. These improvements will create bidirectional rail access and increase siding capacity, allowing for more efficient rail operations and improved service reliabilty.

The improvements are also expected to reduce blocked railroad crossings, providing an important benefit to the surrounding community.

“This project will help us meet the needs of our customers and strengthen Hondo’s role as a place to do business,” said Miles Lee, Pinsly Railroad’s executive vice president. “We’re grateful to the Hondo EDC, TxDOT (Texas Department of Transportation) and the Federal Railroad Administration for supporting this investment in Hondo’s future.”

Hondo Railway, located just north of Highway 90 on the west side of the city, operates a rail terminal serving customers in the construction, manufacturing and energy industries. Pinsly Railroad Company, a short line railroad holding company, owns 10 short line railroads across the country.

The Hondo Economic Development Corporation (HEDC) partnered with the railway to facilitate “numerous letters of support for the grant,” Executive Director Sean Patty said.

“The Hondo EDC recognizes the important role infrastructure investments play in business retention, expansion and long-term economic competitiveness. By supporting improvements to Hondo’s freight rail network, this project will help strengthen the community’s industrial infrastructure and enhance its abilty to accommodate future business growth,” he said.

“The Hondo EDC is proud to partner with Hondo Railway on this significant investment and appreciates the support of the Federal Railroad Administration and the Texas Department of Transportation in advancing improvements that will benefit Hondo’s business and community,” Patty said, adding that it may take up to a year to receive the federal funding and begin the project.