Hondo Railway Secures $8.3 Million in Federal Funding for $11.8 Million Rail Infrastructure Investment
October 30, 2026
October 30, 2026 | Hondo, Texas
Hondo Railway has been selected to receive $8.3 million in federal funding through the Federal Railroad Administration’s (FRA) Consolidated Rail Infrastructure and Safety Improvements (CRISI) Program, supporting an approximately $11.8 million investment in railroad infrastructure in Hondo, Texas.
The funding will support Hondo Railway’s Safety Performance and Upgrades for Rail (SPUR) Project, a major infrastructure initiative designed to improve rail operations, increase capacity, enhance safety, and strengthen the reliability of freight transportation serving Hondo's industrial community.
A Partnership Supporting Hondo's Growth
Hondo Railway has partnered with the Hondo Economic Development Corporation (Hondo EDC) to provide the 30% nonfederal funding match required for the project.
This partnership reflects a shared commitment to strengthening Hondo's infrastructure, supporting existing industries, and creating opportunities for continued economic development.
The project will include new railroad track construction and the installation of switches to reconfigure existing interchange tracks. These improvements will create bidirectional rail access and increase siding capacity, allowing for more efficient rail operations and improved service reliability.
The planned improvements are also expected to reduce blocked railroad crossings, providing an important benefit to the surrounding community.
Strengthening Infrastructure and Economic Opportunity
Reliable transportation infrastructure is essential to maintaining a competitive business environment, particularly for industries that depend on freight rail service.
Hondo Railway operates a rail terminal serving customers in the construction, manufacturing, and energy industries. The planned improvements will strengthen the railway's ability to serve these customers while supporting future industrial growth and investment opportunities.
The project is expected to deliver several important benefits, including:
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Increased rail capacity and operational efficiency
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Improved railroad safety and reliability
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Enhanced service for existing and future rail customers
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Reduced blocked railroad crossings
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Stronger infrastructure to support industrial development
“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, Executive Vice President. “We’re grateful to the Hondo Economic Development Corporation, Texas DOT and the Federal Railroad Administration for supporting this investment in Hondo’s future.”
Investing in Hondo's Future
The Hondo Economic Development Corporation 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 ability to accommodate future business growth.
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 businesses and community.
About Hondo Railway
Hondo Railway is owned by Pinsly Railroad Company and operates a rail terminal in Hondo, Texas, serving customers across the construction, manufacturing, and energy industries. Pinsly Railroad Company owns and operates short line railroads throughout the United States.