Ohio Cities Step In to Fund Passenger Rail as State Lawmakers Withhold Support

COLUMBUS, Ohio — A grassroots funding campaign for new passenger rail service in Ohio is gaining momentum as state-level political resistance continues to stall progress. The Federal Railroad Administration’s Corridor Identification and Development program, which selected four Ohio-related projects in 2023, requires each corridor to complete a Step 2 “Service Development Plan” costing between $6.5 million and $7.0 million. The federal government covers 90 percent of the cost, but a 10 percent non-federal match, approximately $650,000, is still needed.

In a move that underscores growing local support, the City of Hilliard recently committed $50,000 toward the match for the Midwest Connect corridor, a proposed route linking Chicago, Fort Wayne, Lima, Columbus and Pittsburgh. “This is the next step in a decade of local planning,” according to Hilliard officials, who released a passenger rail station feasibility study alongside the funding announcement. Hilliard joins several other Ohio municipalities whose combined contributions now total roughly $350,000, according to rail advocacy group All Aboard Ohio.

The funding model developing in Ohio is attracting attention from transportation advocates nationwide. Rather than waiting on the state to contribute, cities are pooling resources from their own budgets in what All Aboard Ohio describes as a “bottom-up” approach; one they say is rare elsewhere in the country.

However, the Ohio Senate has signaled a different set of priorities. In June, the Senate removed a budget line that would have reinstated the state’s membership in the Midwest Interstate Passenger Rail Commission, a multi-state planning body. The cut, which reversed a House proposal, reflects broader legislative skepticism about committing state funds to passenger rail. The Ohio Rail Development Commission’s latest draft rail plan, submitted to the FRA in late 2025, emphasizes freight over passenger investment.

Several Ohioans took to social media and comment threads to express frustration. One user posted, “Ohio likes to funnel its money to corporations like Intel, not going to do anything for the people,” while another lamented, “Imagine if they proposed the interstate system right now.” A comment from a central Ohio resident echoed the regional divide, stating, “We have given this state so much, and they continue to be ungrateful. It’s time for us to start doing this ourselves.”

Public commenters also highlighted the long-term benefits cited by advocates. All Aboard Ohio estimates the 3C+D corridor (connecting Cleveland, Columbus, Dayton and Cincinnati) could generate 1,100 construction jobs and over $100 million in short-term economic impact. Long-term gains could include tens of millions in annual economic activity and increased mobility across the state. These figures, however, will be further refined in Step 2 of the Corridor ID process, which also includes development of fleet plans, service schedules, ridership projections and station lists.

Skeptics within the legislature and public have raised concerns about potential ongoing costs. Some cited early estimates suggesting annual operational support for rail corridors could fall into the low-teens millions, numbers that would be detailed further in the planning process. “It’s almost like the government doesn't actually give a [expletive] about the people they govern,” one frustrated commenter wrote. Another added, “$650k to plan, $650M to implement something most people don’t want. No thanks.”

Despite the debate, rail proponents emphasize that time is critical. Federal cost shares are unusually high, and missing the opportunity to complete Step 2 could cause Ohio to lose its place in line for future FRA capital grants. “Cities want their corridors to be shovel-ready,” a rail advocate said, describing local funding as an investment in readiness that could unlock far larger federal dollars down the road.

Looking ahead, the FRA is expected to review both Step 1 submissions and Ohio’s draft rail plan before formally awarding Step 2 funding, which would trigger the 90/10 split. Meanwhile, local governments are continuing efforts to close the remaining $250,000–$350,000 funding gap. Observers are also watching to see whether the Ohio General Assembly will restore passenger rail line items in upcoming budgets, or if the state will remain on the sidelines while municipalities lead the charge.

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