The legislation, the Freight RAILCAR Act, would provide a time-limited tax credit for the purchase of new railcars or modification of existing railcars to help offset the costs associated with taking outdated railcars out of service. These replacements will improve fuel efficiency and modernize our freight rail industry while recycling old metal that can be reused for other purposes.
“Illinois' rail network is a vital economic driver that impacts agriculture, manufacturing, and our local communities. The Freight RAILCAR Act will spur job growth in the freight rail manufacturing sector, creating opportunities to invest in critical freight rail infrastructure, and strengthen our transportation system,” said Rep. LaHood. “I am proud to again join my colleague from Illinois, Brad Schneider, to reintroduce our bill that will support thousands of jobs in the United States."
“I am proud to reintroduce this legislation with my colleague, Rep. LaHood, to protect jobs in the rail sector and help build a more fuel-efficient and safer rail fleet,” said Rep. Schneider. “As we’ve seen over the last three years, it is critical we strengthen every part of our supply chain – including all components of rail infrastructure – to be more resilient, especially as our economy emerges from the pandemic.”
In 2020, the railway supply industry directly employed more than 16,000 workers in Illinois and had a $5.7 billion contribution to Illinois’ GDP. This legislation will help to protect and preserve American manufacturing jobs, improve railcars to be more efficient, and ensure the survival of the rail supply industry that has been hit hard by downstream economic effects over the last three years.
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