2026 Bonding Bill Request

The Minnesota Valley Regional Rail Authority (MVRRA) is requesting $19.499 million in state bonding funds to complete the final rehabilitation of the Minnesota Prairie Line between Fairfax and Hanley Falls. This investment will not only restore century-old infrastructure but also unlock the potential to leverage up to $40 million in federal CRISI grant dollars. With more than a dozen shippers already investing over $54 million in new and expanded facilities along the line, continued state partnership is essential to keep southwestern Minnesota competitive and connected to global markets.

About Us

The Minnesota Valley Regional Rail Authority (MVRRA) was created in 1982 as a joint powers board representing Carver, Sibley, Renville, Redwood, and Yellow Medicine Counties. The Authority’s mission is to preserve and rehabilitate the former Minneapolis & St. Louis Railway line, now operated by the Minnesota Prairie Line (MPL), to support local shippers, agricultural producers, manufacturers, and communities across southwestern Minnesota.

The 94-mile corridor stretches from Norwood Young America to Hanley Falls, providing a critical freight connection between rural Minnesota and the national rail network. Without this rail corridor, many shippers would be forced to rely exclusively on truck transport, which would increase road maintenance costs, congestion, and emissions.

Economic Impact

The MVRRA corridor is an essential freight artery for the agricultural and industrial economy of southwestern Minnesota.

  • Shippers & Businesses: More than a dozen shippers operate along the corridor, including grain elevators, cooperatives, and processors such as Meadowland Farmers Cooperative, Central Region Cooperative, Step Saver, Farmers Coop Elevator, and Heartland Corn Products.

  • Private Investment: Since 2002, businesses along the line have invested over $54 million in new and expanded facilities directly tied to rail service.

  • Rail Traffic Growth: Shippers moved over 9,200 railcars in 2023, a significant increase from past years. In July alone, the line moved its 1,000th car of the month — a milestone for the short line.

  • Economic Return: Since 2002, the corridor has received $39 million in state funding and $11.45 million in federal funding, which in turn leveraged more than $54 million in private sector investment. This represents a $1.68 return for every $1 of state investment, demonstrating strong public and private confidence in the corridor’s value.

Infrastructure and Rehabilitation

The MVRRA line was originally constructed in 1912. While significant progress has been made in upgrading the track, major portions of the corridor still rely on deteriorating century-old infrastructure.

  • Upgrades to Date:

    • State, federal, and local investments have supported track replacement, culvert rehabilitation, and bridge studies.

    • The line now features multiple stretches of continuous welded rail, providing greater efficiency and safety for freight movement.

  • Remaining Needs:

    • The final 48-mile segment between Fairfax and Hanley Falls remains the most critical rehabilitation priority, still operating on deteriorating 1912-era track.

    • Bridges and culverts along this segment also require significant upgrades to ensure safe and reliable service.

Current Funding Request

MVRRA is requesting $19.499 million in state bonding funds (after inflation) to complete the final track and bridge rehabilitation between Fairfax and Hanley Falls.

This request can:

  • Stand alone to fully fund rehabilitation of a portion of the project, OR

  • Serve as the required match to apply for up to $40 or $50 million in federal CRISI grant dollars, positioning the state’s investment to leverage significant additional federal resources.

Why it Matters

The MVRRA line is more than a railroad — it is a lifeline for rural Minnesota communities.

  • Supports Agriculture: Efficient rail service reduces transportation costs for farmers and cooperatives, keeping Minnesota products competitive in global markets.

  • Strengthens Rural Communities: Every railcar moved by train instead of truck saves taxpayer dollars in road maintenance and reduces traffic and emissions.

  • Drives Private Development: Continued state investment signals confidence in the corridor, encouraging businesses to expand operations and invest locally.

  • Leverages Federal Funding: State bonding funds position MVRRA to compete for federal programs like CRISI and IIJA, bringing more dollars into rural Minnesota.

Vision for the Future

MVRRA’s goal is to complete full rehabilitation of the corridor, ensuring safe, efficient, and sustainable freight service for decades to come. With continued state partnership, the rail line will remain a cornerstone of economic growth and competitiveness in southwestern Minnesota.

By The Numbers

  • 5 counties represented (Carver, Sibley, Renville, Redwood, Yellow Medicine)

  • 94 miles of track preserved and operated by Minnesota Prairie Line

  • $39 million in state investment since 2002

  • $11.45 million in federal investment since 2002

  • $54+ million in private investment by shippers along the line

  • $1.68 return for every $1 of state investment

  • 9,200+ railcars moved in 2024

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Bonding Bill Fact Sheet

Learn More

We’ve prepared a one-page overview highlighting the Minnesota Valley Regional Rail Authority’s accomplishments, economic impact, and current funding request. This infographic was created for legislators and stakeholders to clearly see how continued investment in the Minnesota Prairie Line benefits the entire region.

It outlines:

  • The history and purpose of the MVRRA

  • The progress made through past state and federal investments

  • The private dollars leveraged along the line

  • The remaining infrastructure needs between Fairfax and Hanley Falls

  • And how the current $19.499 million bonding request positions Minnesota to compete for up to $40 million in federal funding.

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Click Here to See Your Investment in Action!

Over the years, the Minnesota Valley Regional Rail Authority has transformed a once-aging 1912 rail line into a vital freight corridor serving the heart of rural Minnesota. Thanks to the continued support and investment from the State of Minnesota, local counties, and our private partners, we’ve made incredible strides in preserving and strengthening this infrastructure for future generations.

This collection of photos showcases just a glimpse of what’s been accomplished — from old rail and bridge replacements to new continuous welded rail, from aerial views of our line stretching across the prairie to on-the-ground maintenance and construction efforts. Each image represents progress, partnership, and persistence.

Because of your investment, we’ve been able to keep our region connected, our agricultural producers competitive, and our communities strong. And with your continued support, we’ll complete the next critical phase of this work — ensuring the Minnesota Prairie Line remains a safe, reliable, and essential link in Minnesota’s transportation network for decades to come.