North Carolina Invests $16M in Rail to Boost Economy

North Carolina is betting big on the rails that quietly keep its economy rolling, and the payoff could reach every corner of the state.

The North Carolina Department of Transportation is investing $16.3 million to upgrade freight rail infrastructure across 12 short line railroads and the Port of Morehead City. These aren't flashy projects, but they're the kind that keep grocery stores stocked, factories running, and jobs secure.

The real magic happens when you add up the total investment. Participating railroad companies and the NC Port Authority are matching the state's contribution, bringing the complete package to $41.5 million statewide.

That money will upgrade more than 95 miles of railroad track and repair eight bridges and culverts. These improvements mean trains can carry more goods more safely, supporting businesses from the mountains to the coast.

The funding comes from the Freight Rail and Rail Crossing Safety Improvement program, which the General Assembly created in 2014. The program exists to keep North Carolina's rail infrastructure healthy and ready for growing demand.

Jason Orthner, director of NCDOT's Rail Division, says the investment strengthens reliability and resiliency while supporting businesses across the state. The projects touch 15 counties, from the Great Smoky Mountains Railroad in western North Carolina to the Chesapeake and Albemarle Railroad in the northeast.

The Ripple Effect

The state's investment is already creating waves beyond North Carolina. Anthony Menzies, CEO of the Aberdeen Carolina and Western Railway, says the combination of private and state funds helped his company leverage over $8.9 million in additional federal grants from the Federal Railroad Administration.

That's how smart infrastructure investment works. One dollar from the state attracts private money, which then unlocks federal funding, multiplying the impact across communities.

The projects range from rail replacement in Cabarrus and Mecklenburg counties to bridge repairs in the mountain counties to new rail scales at the Port of Morehead City. Each upgrade means safer crossings, faster shipping, and more reliable service for the businesses that depend on rail transport.

Short line railroads might not grab headlines, but they're essential connectors between local businesses and the national rail network. They serve industries that can't exist without reliable freight transport, from agriculture to manufacturing.

When rails work better, everyone wins: products reach markets faster, shipping costs drop, and North Carolina stays competitive in attracting new businesses.