To amend title 49, United States Code, to repeal public transportation fixed guideway capital investment grants, and for other purposes.

On April 9, 2026, Rep. Scott Perry (R-PA) introduced HR8233, the 'No CIG Act', which would repeal Section 5309 of Title 49 — the federal fixed guideway capital investment grants program that funds new light rail, subway, and commuter rail projects. The bill was referred to the House Committee on Transportation and Infrastructure. This is an early-stage procedural action with low near-term passage probability, especially given the narrow sponsorship (single Republican from the minority party in the 119th Congress). The bill does not authorize or appropriate any funding — it eliminates a grant program that historically allocates approximately $2-3 billion annually for major transit capital projects, but real spending requires separate appropriations bills each year.

The money trail: Section 5309 is an authorization for capital grants, not an appropriation. Even if repealed, previously appropriated funds for active projects would largely continue unless rescinded by a separate bill. The repeal would affect future project commitments, not current construction. The mechanism is elimination of a federal grant source, shifting the full capital burden to state and local governments. This would reduce the total addressable market for transit construction equipment and services, but only if the bill advances.

Structural winners and losers: Rail equipment manufacturers ( — construction equipment for transit projects) face mild negative exposure, though CAT's 30-day surge of 24.77% to $883.96 is driven by broader infrastructure and economic trends. Freight railroads (, $NSC, $CSX) could see minor positive relief as fewer federally funded passenger rail projects mean less pressure on shared corridor operations and capacity. However, these freight carriers primarily benefit from freight demand — passenger rail co-existence is a marginal second-order effect. No company has direct, material revenue exposure to the fixed guideway program sufficient to drive earnings.

Real market data: CAT's recent close on April 30, 2026, is $883.96, near its 52-week high of $889.64, with a 7-day gain of 6.4% and 30-day gain of 24.77%. UNP at $265.63 is down 1.14% over 7 days but up 9.48% over 30 days. NSC at $312.30 is down 2.32% over 7 days but up 8.82% over 30 days. CSX at $44.87 is down 1.19% over 7 days but up 9.31% over 30 days. The strong 30-day equity performance across these companies reflects broader macroeconomic momentum (infrastructure spending, industrial reshoring, strong freight demand) rather than any specific legislative catalyst from this procedural bill.

Timeline: The bill faces a multi-year path. It must pass the House Transportation and Infrastructure Committee, then the full House, then an identical Senate companion bill, then be signed into law. With one sponsor from the minority party, no committee chair backing, and no committee markup scheduled, the probability of enactment in the 119th Congress (through January 2027) is very low. The signal is directional — it indicates a policy preference from some Republican members to reduce federal transit spending — but it is not a near-term market event.