WASHINGTON, D.C. — The U.S. Department of Transportation is developing a program that would allow states and railroads to lease transportation rights-of-way for power lines, fiber-optic networks, pipelines and other utilities, seeking to accelerate infrastructure construction while generating private revenue for transportation maintenance.
Transportation Secretary Sean P. Duffy unveiled the voluntary America’s Great Corridors of Commerce initiative last week, with the department planning to select as many as five initial priority corridors.
Under the proposal, state transportation departments and railroads could partner with private-sector “corridor managers” responsible for designing, developing, operating and maintaining utility infrastructure alongside roads, rail lines or within shared utility tunnels.
The department argues that using existing rights-of-way could reduce the need to acquire private property, lower development costs and allow qualifying projects to use existing categorical exclusions from more extensive environmental review.
Lease revenue would be directed toward repairs and improvements to roads, bridges, tunnels and rail infrastructure along participating corridors, according to DOT. The department said the model is intended to rely on public-private partnerships without additional taxpayer funding.
The initiative comes as federal officials seek to expand electric transmission capacity to accommodate rising power demand from manufacturing, data centers and other energy-intensive development. DOT also cited growing demand for fiber-optic infrastructure, which it expects to double by 2029.
“By working with the private sector to combine our existing transportation network with transmission lines, fiber optic cables, and other critical infrastructure, we can make energy more affordable and fuel American industry for generations to come,” Duffy said.
The program could also provide another financing mechanism for transportation agencies facing substantial maintenance and modernization needs. DOT described the backlog of improvements to existing U.S. transportation infrastructure as totaling trillions of dollars.
The department’s Build America Bureau would provide participating corridors with technical assistance, streamlined permitting support and public-private partnership models intended to help expand transmission and other infrastructure.
Build America Bureau Executive Director Morteza Farajian said the program would give infrastructure owners additional options for developing integrated transportation and utility corridors rather than relying exclusively on traditional project delivery.
DOT is seeking public input before implementing the program. The Build America Bureau has issued a request for information covering the proposed corridor model and the department’s implementation approach, with comments due Sept. 12, 2026.
The department said the initial phase will identify up to five priority corridors, which could serve as models for broader deployment of the approach.
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