PolicyBrief
S. 1373
119th CongressApr 9th 2025
Union Station Redevelopment Corporation Funding Eligibility Act
IN COMMITTEE

This Act makes the Union Station Redevelopment Corporation eligible for specific federal infrastructure grants, ensuring 100% federal funding for its transportation projects.

Chris Van Hollen
D

Chris Van Hollen

Senator

MD

LEGISLATION

New Bill Grants Union Station Corp. 100% Federal Funding for Major Infrastructure Projects, Bypassing Local Cost-Sharing

The Union Station Redevelopment Corporation Funding Eligibility Act (USRC Funding Eligibility Act) is short, but it packs a punch for federal infrastructure spending. Essentially, this bill makes one specific entity—the Union Station Redevelopment Corporation (USRC)—eligible for several massive federal transportation grant programs, including the popular BUILD grants and multiple rail safety and intercity rail partnership programs (SEC. 2).

But here’s the real kicker, the part that changes the rules of the game: If the USRC secures funding from any of these programs, the federal government will cover 100 percent of the total eligible project costs (SEC. 2). That’s a huge deal because normally, when states, cities, or other entities apply for these grants, they have to put up their own money—often 20 to 50 percent—to match the federal contribution. This cost-sharing requirement is usually meant to ensure local buy-in and accountability, making sure the project is truly a priority for the local taxpayers who also have skin in the game.

The 100% Federal Tab: Who Pays?

This bill pulls the USRC out of the standard funding line and puts it on the VIP list, where the federal taxpayer foots the entire bill. Think about it like this: If your city wants federal money to fix a major interchange, they usually have to budget millions of local dollars to meet the matching requirement. That local contribution forces tough decisions and fiscal discipline. The USRC, however, gets to skip that step entirely, receiving a full federal subsidy for its projects, including those under the National Infrastructure Project Assistance and Consolidated Rail Infrastructure and Safety Improvement programs (SEC. 2).

For regular folks, this matters because every dollar spent on a 100% federally funded project at Union Station is a dollar that isn't subject to the usual local oversight and financial stake that comes with matching funds. It also means that other infrastructure projects across the country—like that bridge repair in your state or the new transit line your city is trying to fund—still have to compete and adhere to the standard cost-sharing rules. This bill gives one specific corporation a massive financial advantage over every other entity trying to improve transportation infrastructure.

What’s the Real-World Impact?

On the one hand, this move could accelerate the redevelopment of Union Station, a major transportation hub, by removing the financial hurdle of securing local matching funds. If the USRC has solid, shovel-ready plans, this bill could fast-track them. On the other hand, eliminating the local financial stake can sometimes lead to less scrutiny and less pressure on the recipient to ensure projects are efficient and cost-effective. When you have no local money on the line, the incentive to pinch pennies isn't as strong.

In short, the USRC Funding Eligibility Act is less about making a corporation eligible for grants—which is usually straightforward—and entirely about granting it unique, preferential access to federal dollars by waiving the standard financial accountability mechanisms that apply to everyone else. The result is a specific, targeted subsidy where the federal taxpayer assumes 100% of the financial risk and burden for the USRC's infrastructure ambitions.