Amtrak receives federal grants for New Midwest Maintenance Facility

The Federal Railroad Administration (FRA) has awarded Amtrak two grants in support of the development of a new Midwest Maintenance Facility and to make vital bridge and viaduct repairs. The grants, in the amounts of up to $572 million and up to $87 million, respectively, will be used to address long-standing rail infrastructure needs in Chicago that directly improve safety, reliability, and neighborhood conditions.

“For years, Amtrak’s Midwest and National rail customers and state partners have been desiring improved on-time performance. Investments in maintenance facilities will achieve that outcome,” said Interim Amtrak President Byl Herrmann. “With these grants, Amtrak is able to accelerate those goals by more than a decade while improving conditions to deliver a safe, reliable, and efficient passenger rail service for years to come.”

Chicago is a national rail hub where more than half of the Amtrak long‑distance trains begin or end their trips and 17 Amtrak routes rely on Chicago‑based maintenance capacity. Rail equipment, service demands, and federal safety and operational standards continue to evolve. The current facilities were designed for a different era and no longer provide the space, configuration, or modern capabilities needed to support today’s fleet or anticipated future growth.

The modern, purpose‑built facility on an existing railyard owned by Union Pacific Railroad will allow for more efficient servicing of railcars, reduce service disruptions and turnaround time. It will improve reliability for passengers and directly improve safety for the Amtrak workforce.

Construction of the new Midwest Maintenance Facility, to be led by Canal Edge LLC, is expected to support approximately 3,000 jobs including union and skilled labor positions during approximately 18 months of development. There will also be long-term operational employment opportunities at the facility to be owned by Amtrak.

The FRA also granted up to $87 million to rehabilitate or replace bridges, viaducts, and ancillary structures in the area between Cermak and Pershing Roads. This will improve safety and system performance, and importantly, address structural deficiencies and eliminate hazards for rail operations, drivers, and pedestrians.

Canal Edge LLC is the developer of the project working in partnership with Amtrak and construction on the new Amtrak maintenance facility along with the bridge and viaduct work is expected to begin in the fall of 2026. The federal investment and grants will be complemented by private capital and financing led by Canal Edge, which is responsible for financing and delivering the approximately $900 million project. More than $125 million of the project represents Justin Ishbia’s own personal capital.

Source: Amtrak