Union Station Redevelopment Gets 100% Federal Funding Carve-Out Across Four Major Grant Programs

The new Union Station Redevelopment Corporation Funding Eligibility Act is short, but it packs a punch for anyone interested in federal infrastructure funding. In short, this bill adds the Union Station Redevelopment Corporation (USRC) to the list of entities eligible for four massive federal transportation grant programs—and here’s the kicker—it waives the local matching requirement for the USRC on all of them. This means any project the USRC funds through these programs will be covered 100 percent by federal dollars, essentially putting Union Station redevelopment on the fast track with a fully paid-for tab.

The All-Expenses-Paid Infrastructure Trip

Normally, when a city or state gets a federal grant for infrastructure—say, a BUILD grant or a Consolidated Rail Improvement grant—they have to put up some of their own money, maybe 20 percent or more. This local match ensures local buy-in, keeps budgets tight, and shows taxpayers that the project is locally prioritized. This bill completely bypasses that standard procedure for the USRC. It explicitly amends four different grant programs—including the BUILD Grants, National Infrastructure Project Assistance, Rail Improvement and Safety Grants, and Federal-State Partnership for Passenger Rail Grants—to state that the federal share for the USRC will be 100 percent of the total eligible costs (Section 2).

Who’s Paying for the Ticket?

If you’re a taxpayer, this is where you should pay attention. When local entities have to contribute, they tend to be careful about how they spend the money; they have skin in the game. By removing the local matching requirement, the USRC is essentially given a blank check funded entirely by federal taxpayers. While the goal is clearly to accelerate the much-needed redevelopment of a major transportation hub, it sets a precedent that could concern other cities and states. Every other entity competing for these highly sought-after federal dollars still has to scramble to secure their local match, often delaying projects or making them impossible.

The Real-World Implications

For the commuter, this legislation could mean faster, more efficient upgrades to Union Station, potentially improving everything from platform safety to concourse accessibility. The project gets funded quicker and without the delays often caused by local budget fights. However, for other transportation entities—like a regional transit authority trying to fund a critical bus lane expansion or a state trying to upgrade a freight line—this carve-out means they are competing for the same pool of federal money against a project that doesn't have to meet the standard financial requirements. This highly specific, 100% federal funding provision gives the USRC a significant advantage, potentially diverting limited federal funds away from other crucial projects that still require local communities to bear some of the financial risk.