Perry County Railroad Receives $11.6 Million Federal Grant for Major Track Upgrade

By Town Vines Staff

The Hoosier Southern Railroad, owned and operated by the Perry County Port Authority, has received an $11.575 million federal RAISE grant to modernize approximately 14 miles of aging rail infrastructure. The project will replace 120-year-old rail with heavier-duty track capable of supporting 286,000-pound freight cars, a significant upgrade for the region’s economic infrastructure.

The Hoosier Southern Railroad is a 22-mile short-line railroad that connects the Tell City River Port on the Ohio River to the Norfolk Southern Railway at Lincoln City. Originally purchased from Norfolk Southern in 1991 to prevent abandonment, the railroad has been instrumental in attracting industry to Perry County. Combined with the Tell City River Port, the Hoosier Southern provides multimodal transportation serving businesses in both Perry and Spencer counties.

This federal investment will enhance the railroad’s capacity to serve regional industries including manufacturing and agriculture, strengthening Perry County’s position as a logistics hub where “the River meets the Rail.” The Perry County Port Authority, headquartered in Tell City, operates both the railroad and the public port to support local economic development.

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