On Friday the Texas legislature approved the 2008 appropriations bill which contains the following regarding the Texas State RR:

25. Texas State Railroad. It is the intent of the Legislature that $10,000,000 in federal Transportation Enhancement Program funds administered by the Texas Department of Transportation be made available for the Texas State Railroad project in fiscal year 2008 contingent upon the project being approved by the Texas Parks and Wildlife Commission for transfer to a consortium of the Cities of Palestine and Rusk and meeting federal grant requirements of the Transportation Enhancement Program as defined by federal Department of Transportation, Federal Highway Administration federal regulations in Title 23 of the United States Code. The Texas Parks and Wildlife Department (TPWD) in conjunction with theTexas Department of Transportation will review the Texas State Railroad project to determine if the Texas State Railroad project meets the federal Transportation Enhancement Program guidelines in Title 23 of the United States Code. Out of funds appropriated above in Strategy B.1.1, State Park Operations is $2,000,000 in fiscal year 2008 to provide a 20 percent match tothe $10,000,000 in Transportation Enhancement program funds. If the Texas State Railroad project is approved, any unexpended balances for the project at the end of fiscal year 2008 are authorized for the same purpose in fiscal year 2009.

Although there are several contigencies in the bill, and most of the money is pulled from Federal sources, if everything is met, the TSR looks to get $12 million for the years 2008 and 2009. This should insure operation, and some maintainence, and maybe, possibly, competion of locomotive repairs started several years ago.