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Coos Bay Lands $204.8 Million Rail Grant

[ October 23, 2026   //   Gary Burrows ]

The Oregon International Port of Coos Bay has been selected to receive $204.8 million in federal funding for rail improvements supporting its proposed Pacific Coast Intermodal Port.

The Federal Railroad Administration selected the project for $204,771,601 through its fiscal 2025-2026 Consolidated Rail Infrastructure and Safety Improvements program. The port said it was the third-largest of 105 awards nationwide.

The funding would support final design, right-of-way acquisition and construction along the Coos Bay Rail Line. Planned work includes track rehabilitation, bridge and tunnel improvements, new sidings and turnarounds, centralized traffic control and upgrades required for double-stack container trains.

The port-owned railroad extends 134 miles from Oregon’s South Coast to a connection with Union Pacific in Eugene. The project would modernize about 111 miles between Eugene and the North Spit, where the proposed container terminal would be developed.

The federal award represents a major step for the project, but the about $2.3 billion terminal development remains in its preliminary stages.

Environmental review and permitting are scheduled to begin this winter and take about two years. Construction is expected to require another three years, subject to approvals and financing. The new grant does not accelerate that timetable, and a terminal opening date has not been established.

The port has secured about $275 million through five federal grants, while the Oregon Legislature has committed $160 million and private development partner NorthPoint Development has committed $25 million. Combined identified awards and commitments total about $459.8 million, although the funding applies to different project components and remains subject to individual grant conditions.

The port is still confirming the matching requirement and funding source associated with the new CRISI award. It expects rail construction also to use financing through the federal Railroad Rehabilitation and Improvement Financing program.

NorthPoint is expected to finance construction of the marine terminal and its rail yard. Additional funding will be required for navigation-channel modifications, despite $100 million in state bonding authority committed to that portion of the project.

The proposed terminal is designed to handle about 1.2 million TEUs annually and move nearly all landside containers by rail. The port projects about 2,500 permanent direct jobs and 2,600 construction jobs.

Port officials said they are not prepared to announce additional formal commitments from railroads, ocean carriers or cargo owners.

Tags: Federal Railroad Administration, Oregon International Port of Coos Bay