HB 4662: Bill Lets TxDOT Hand State Grants To Shortline Railroads

Caption

relating to financial assistance for rail facilities.

Summary

The committee analysis calls it a “remedy.” The remedy: state grants for private shortline railroads.

The bill lets the Texas Department of Transportation give grants to small Class II and Class III railroads and rural rail districts for track and bridge replacement, added capacity, or restored lines. Each grant needs approval from the Transportation Commission, at least 10 percent of the cost must come from non-state sources, and the money can serve as a match for federal funds. The grants can only be paid from money the Legislature sets aside for this purpose, not from the state highway fund, so nothing flows until such an appropriation is made.

Labels

Labels: GOT HALFWAY. Passed the House on May 16, 2025. Died in the Senate: never got out of the Transportation committee.

Receipt

The receipt

89R-HB4662 · 2025-03-12

SOLD BY

Rep. Cole HefnerRHouse 5

ITEM

relating to financial assistance for rail facilities.

WHAT IT DOES

The committee analysis calls it a “remedy.” The remedy: state grants for private shortline railroads.

The bill lets the Texas Department of Transportation give grants to small Class II and Class III railroads and rural rail districts for track and bridge replacement, added capacity, or restored lines. Each grant needs approval from the Transportation Commission, at least 10 percent of the cost must come from non-state sources, and the money can serve as a match for federal funds. The grants can only be paid from money the Legislature sets aside for this purpose, not from the state highway fund, so nothing flows until such an appropriation is made.

CHARGES

[x] PITCH: CORPORATE WELFARE

ACTUALLY

“The department may provide to a district or a shortline”…

Bill text, House committee report version (H)

The bill opens a state grant program that can pay private shortline railroad companies for track, bridge and capacity work under an economic-development test.

TOTAL

No first-year general revenue figure available here.

LBB estimate · fiscal note version I · source

Sources

Fiscal note · version I · April 11, 2025

The fiscal impact to the state cannot be determined because the amount and timing of legislative appropriations to the Department of Transportation to provide financial assistance grants for rail facilities is unknown. The bill would make no appropriation but could provide the legal basis for an appropriation of funds to implement the provisions of the bill.

LBB published estimates · flow over the stated periods.

Source snapshot 2026-10-19, Central time.

HISTORY

Mar 12, 2025Filed
Apr 3, 2025Read first time
Apr 3, 2025Referred to s/c on Transportation Funding by Speaker
Apr 14, 2025Scheduled for public hearing in s/c on . . .
Apr 14, 2025Considered by s/c in public hearing
Apr 14, 2025Committee substitute considered in s/c
Apr 14, 2025Testimony taken/registration(s) recorded in subcommittee
Apr 14, 2025Left pending in subcommittee
Apr 25, 2025Recalled from subcommittee
Apr 25, 2025Considered in formal meeting
Apr 25, 2025Recommended to be sent to Local & Consent
Apr 25, 2025Reported favorably w/o amendment(s)
May 1, 2025Comte report filed with Committee Coordinator
May 1, 2025Committee report distributed
May 2, 2025Comm. report sent to Local & Consent Calendar
May 13, 2025Considered in Local & Consent Calendars
May 16, 2025Placed on Local, Consent, and Res. Calendar
May 16, 2025Read 2nd time
May 16, 2025Passed to engrossment
May 16, 2025Nonrecord vote recorded in Journal
May 16, 2025Read 3rd time
May 16, 2025Passed
May 16, 2025Record vote RV#2818
May 16, 2025Nonrecord vote recorded in Journal
May 16, 2025Reported engrossed
May 19, 2025Received from the House
May 20, 2025Read first time
May 20, 2025Referred to Transportation

FILED UNDER

CORPORATE WELFARE

THE TEXT

“The department may provide to a district or a shortline”…

Bill text, House committee report version (H)

The bill opens a state grant program that can pay private shortline railroad companies for track, bridge and capacity work under an economic-development test.

SIGNED FOR BY

House · 95 yea · 36 nay

Sources

House: Final passage · May 16, 2025. Journal. Published stock for this vote. Snapshot 2026-10-19, Central time.

All floor motions and other positions below.

Smells

THANK YOU FOR CHECKING THE RECEIPT

CAMPAIGN PAID FOR BY

Cole Hefner

Donors

Texans for Lawsuit Reform PAC$108K Dustin Burrows Campaign$46K Gulf States Toyota Inc. State PAC$20K

Not tied to this bill.

Sources

The author's campaign account only. Own money and internal transfers are separate on the member page.

Derived itemized flow · Oct 28, 2024 to Oct 24, 2026. State data as of Nov 4, 2026.

Derived itemized contributions on live regular reports and uncovered special-session dates. Internal account transfers and daily reports are excluded.

Texans for Lawsuit Reform PAC$107,878.12

Texans for Lawsuit Reform PAC

$107,878.12

Cash: $65,000.00
Paid by others: $42,878.12
Total: $107,878.12

mail $42,794.79fundraiser $83.33

Also funds 124 other sitting lawmakers.

Derived recipient stock · Jul 10, 2024 to Oct 23, 2026. State data as of Nov 4, 2026.

TEC account match.

Team

Sources

Derived itemized flow · Jun 23, 2025 to Oct 17, 2026. State data as of Nov 4, 2026.

Derived itemized contributions on live regular reports and uncovered special-session dates. Internal account transfers and daily reports are excluded.

Report IDs: 100986158, 101009093, 101035205, 101069686.

Dustin Burrows Campaign$46,150.00

Dustin Burrows Campaign

$46,150.00

Cash: $25,000.00
Paid by others: $21,150.00
Total: $46,150.00

polling $21,150.00

Also funds 39 other sitting lawmakers.

Derived recipient stock · Sep 13, 2025 to Sep 23, 2026. State data as of Nov 4, 2026.

Name match, not a verified identity: normalized filed name and state.

Team

Sources

Derived itemized flow · Sep 30, 2025 to Jan 6, 2026. State data as of Nov 4, 2026.

Derived itemized contributions on live regular reports and uncovered special-session dates. Internal account transfers and daily reports are excluded.

Report IDs: 101009093, 101031796.

Gulf States Toyota Inc. State PAC$20,000.00

Gulf States Toyota Inc. State PAC

$20,000.00

Cash: $20,000.00
Paid by others: $0.00
Total: $20,000.00

Also funds 90 other sitting lawmakers.

Derived recipient stock · Jul 10, 2024 to Oct 16, 2026. State data as of Nov 4, 2026.

TEC account match.

Team

Sources

Derived itemized flow · Jun 23, 2025 to Oct 12, 2026. State data as of Nov 4, 2026.

Derived itemized contributions on live regular reports and uncovered special-session dates. Internal account transfers and daily reports are excluded.

Report IDs: 100986158, 101009093, 101035205, 101069686.

Money

Missing data does not establish zero giving. Display amounts are rounded.

×

Texans for Lawsuit Reform PAC

$107,878.12

Cash: $65,000.00
Paid by others: $42,878.12
Total: $107,878.12

mail $42,794.79fundraiser $83.33

Also funds 124 other sitting lawmakers.

Derived recipient stock · Jul 10, 2024 to Oct 23, 2026. State data as of Nov 4, 2026.

TEC account match.

Team

Sources

Derived itemized flow · Jun 23, 2025 to Oct 17, 2026. State data as of Nov 4, 2026.

Derived itemized contributions on live regular reports and uncovered special-session dates. Internal account transfers and daily reports are excluded.

Report IDs: 100986158, 101009093, 101035205, 101069686.

×

Dustin Burrows Campaign

$46,150.00

Cash: $25,000.00
Paid by others: $21,150.00
Total: $46,150.00

polling $21,150.00

Also funds 39 other sitting lawmakers.

Derived recipient stock · Sep 13, 2025 to Sep 23, 2026. State data as of Nov 4, 2026.

Name match, not a verified identity: normalized filed name and state.

Team

Sources

Derived itemized flow · Sep 30, 2025 to Jan 6, 2026. State data as of Nov 4, 2026.

Derived itemized contributions on live regular reports and uncovered special-session dates. Internal account transfers and daily reports are excluded.

Report IDs: 101009093, 101031796.

×

Gulf States Toyota Inc. State PAC

$20,000.00

Cash: $20,000.00
Paid by others: $0.00
Total: $20,000.00

Also funds 90 other sitting lawmakers.

Derived recipient stock · Jul 10, 2024 to Oct 16, 2026. State data as of Nov 4, 2026.

TEC account match.

Team

Sources

Derived itemized flow · Jun 23, 2025 to Oct 12, 2026. State data as of Nov 4, 2026.

Derived itemized contributions on live regular reports and uncovered special-session dates. Internal account transfers and daily reports are excluded.

Report IDs: 100986158, 101009093, 101035205, 101069686.

Votes1

House May 16, 2025

Yea: 95
Nay: 36
Present, not voting: 2
Absent: 4
Excused: 12

Names

Named positions matched to lawmakers. See the journal for unmatched names.

House journal

The shared roll contains conflicting member evidence. Those positions remain conflicting.

Swanson is listed as excused in the shared roll and nay in this bill's list. That position remains conflicting.

Sources

Record 2818

HB 4662 (Alders, Bonnen, Cain, Capriglione, Cook, Cunningham, Dorazio, Dyson, Gerdes, Harris Davila, Harrison, Hickland, Hopper, Hull, Isaac, LaHood, Leo Wilson, Little, Lowe, Luther, McQueeney, Morgan, Noble, Olcott, Oliverson, Patterson, Pierson, Richardson, Schatzline, Slawson, Swanson, Tinderholt, Toth, Troxclair, Vasut, Villalobos, and Wilson - no) (95 - 36 - 2)

Shared roll motion

The following bills which were considered on second reading on the previous legislative day on the local, consent, and resolutions calendar were laid before the house, read third time, and passed by the following record vote (members registering votes and the results of the vote are shown following the bill number). (Record 2818): 131 Yeas, 0 Nays, 2 Present, not voting.

Published stock of positions for this vote, except where marked derived.

Yea: 95 (published)
Nay: 36 (published)
Present, not voting: 2 (published)
Absent: 4 (derived from named list)
Excused: 12 (derived from named list)

House journal. Source snapshot 2026-10-19, Central time.

Witnesses10

For: 9
Against: 0
On: 1

Names

For

Blacklands Railroad1 registration
Farm&City1 registration
Rusk County Rural Rail District1 registration
Self; Northeast Texas Rural Rail Transportation District1 registration
Texas City Terminal Railway Company1 registration
Texas Economic Development Council1 registration
Texas Farm Bureau1 registration
Texas Rail Advocates1 registration
Texas Shortline and Regional Railroad Association1 registration

On

TxDOT1 registration

Sources

10 parsed registrations across the loaded witness lists.

Derived stock of witness registrations. Repeated appearances count separately. Organizations and self-representation appear as printed.

House witness list. Source snapshot 2026-10-20, Central time.

Fiscal

No first-year general revenue figure available here.

LBB estimate · fiscal note version I · source

Sources

Fiscal note · version I · April 11, 2025

The fiscal impact to the state cannot be determined because the amount and timing of legislative appropriations to the Department of Transportation to provide financial assistance grants for rail facilities is unknown. The bill would make no appropriation but could provide the legal basis for an appropriation of funds to implement the provisions of the bill.

LBB published estimates · flow over the stated periods.

Source snapshot 2026-10-19, Central time.

How this was graded

Analysis of text version H by claude-opus-5-5, Oct 22, 2026, against the published rubric.

Sources

Texas House · Filed Mar 12, 2025

05/20/2025 S Referred to Transportation

Texas Legislature Online · Introduced · House Committee Report · Engrossed

Data snapshot Oct 26, 2026 at 4:19 AM CDT. Grades, charges, quotes and corrections follow the published record.

House committee · Transportation · Committee vote 12 aye, 0 nay, 1 absent · Out of committee

Senate committee · Transportation · Final status: Died in committee

Subjects

State Finances--Management & Control

Transportation--Railroads

TRANSPORTATION COMMISSION, TEXAS

TRANSPORTATION, TEXAS DEPARTMENT OF

Text

The text as introduced · 378 words

By: Hefner
H.B. No. 4662

A BILL TO BE ENTITLED

AN ACT

relating to financial assistance for rail facilities.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

SECTION 1. Chapter 201, Transportation Code, is amended by

adding Subchapter O-1, to read as follows:

SUBCHAPTER O-1. FINANCIAL ASSISTANCE FOR RAIL

SEC. 201.981. GRANTS FOR SHORTLINE RAIL IMPROVEMENT. (a)

In this section:

(1) "District" means a rural rail transportation

district to which Transportation Code, Chapter 172, applies.

(2) "Shortline railroad" means a Class II or Class III

railroad under the current railroad classification criteria set by

the federal Surface Transportation Board.

(b) The legislature finds that shortline railroads

operating in this state develop and expand transportation and

commerce within the state in accordance with Section 52-a, Article

III, Texas Constitution.

(c) The department may provide to a district or a shortline

railroad a grant to be used for track or bridge replacement, rail

capacity improvement, or rail restoration. To be eligible for a

grant under this section a project must increase public safety,

enhance economic development, or reduce traffic congestion on

public roadways.

(c) A district or shortline railroad may use money provided

by the department under this section as matching funds to secure

federal funding for a purpose for which a grant may be made under

Subsection (b).

(d) Each grant under this section must be approved by the

commission. Before approving a grant, the commission shall require

that at least 10 percent of the total project cost, or if used as

matching funds, at least 10 percent of the amount used as matching

funds, be provided by sources other than the state.

(e) For a grant under this section, the department may use

only money appropriated specifically for that purpose. The

department may not use money deposited in the state treasury to the

credit of the state highway fund for a grant under this section.

(f) The commission shall adopt rules to implement this

section.

SECTION 2. This Act takes effect immediately if it receives

a vote of two-thirds of all the members elected to each house, as

provided by Section 39, Article III, Texas Constitution. If this

Act does not receive the vote necessary for immediate effect, this

Act takes effect September 1, 2025.

Verdict: Smells

The receipt

SOLD BY

ITEM

WHAT IT DOES

CHARGES

TOTAL

HISTORY

SIGNED FOR BY

Donors

Texans for Lawsuit Reform PAC

Dustin Burrows Campaign

Gulf States Toyota Inc. State PAC

Texans for Lawsuit Reform PAC

Dustin Burrows Campaign

Gulf States Toyota Inc. State PAC

House May 16, 2025

For

On