Federal Government Policies for Railroad

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The American federal government has previously attempted to promote "rail usage and guide its development". The federal government has been involved in measures which influenced "local rail interests". As per critics, the rail policy implementation is complicated issue…

Introduction

A contract of $60million was granted to U.S. Department of Transportation (DOT) for funding towards "nationally significant state projects that will demonstrate the feasibility and safety of MAGLEV technology" in 1999-2001. As per legislation, $15 million was sanctioned towards research and development of the transportation system, and proposal for the allotment of additional $950 million was planned. The states were asked to submit their expression of interests for the project, so that appropriate allotment of funds shall be carried, "After all states have completed planning activities, the DOT will provide assistance to one project for final design, engineering and construction" (Paul, 2007).
As per regulations discussed in Swift Rail Development Act for state high-speed rail expansion, "the DOT may provide financial assistance to a public agency or group of public agencies for high-speed rail corridor planning and high-speed rail technology improvements". It is specified that DOT will provide maximum 50 percent "publicly financed costs" (Paul, 2007). ...
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