The federal government will provide $500,000 in seed money to help kick-start construction of Colorado’s Front Range Passenger Rail project between Fort Collins and Pueblo — a decision that brings the prospect of millions more in future funding.

The U.S. Department of Transportation and the Federal Railroad Administration are set to announce that the rail project will be included in the Corridor Identification and Development Program, according to a news release issued Wednesday by U.S. Rep. Joe Neguse, a Democrat from Lafayette. The program is a major component of the 2021 Bipartisan Infrastructure Law that aims to facilitate the development of intercity passenger rail corridors across the nation.

Front Range rail’s inclusion could mean significant money from the federal government over the coming years as the project moves closer to reality. Among its chief boosters is Gov. Jared Polis.

“This corridor stretches across more than 160 miles, connecting 13 of the most populous counties across the state and acting as a transportation ‘spine’ for the Front Range,” Neguse said in a statement. “I am excited to see this project become a reality for our growing communities.”

A formal announcement about the money and the corridor plan is expected later this week. Ahead of that, members of Congress in several states have publicized other corridors’ selection, too.

The Bipartisan Infrastructure Law contained $66 billion in additional funding for rail, including $1.8 billion for the Corridor ID Program and even more to support federal and state partnerships. This is the first step in identifying projects worthy of funding.

The $500,000 from the FRA for Front Range Passenger Rail comes after the project assembled nearly $4 million in funding in late 2021 to pay for studies to gauge the viability of the rail line, including a service plan. Of that total, $1.6 million came from the Colorado Transportation Commission’s reserves.

Andy Karsian, the general manager of the Front Range Passenger Rail District, a taxing district established to help fund the project, said the feds’ initial half million dollars “will go toward the technical work necessary to quantify costs and service for the new corridor.”

Early estimates have put the cost for a starter system — likely to be operated by Amtrak in a partnership — at $1.7 billion to $2.8 billion, with as many as six trains a day running mostly on shared freight tracks connecting cities including Pueblo, Colorado Springs, Denver and Fort Collins.

The first passenger trains between Fort Collins and Pueblo could be rolling within the next decade, Karsian said. Later upgrades to speed up service and add more frequent trains would add billions of dollars to the cost.

Karsian said federal officials’ selection of the project for the Corridor ID Program is significant because it plugs Front Range rail into a stream of “dedicated federal dollars designed to build this project.”

“That’s where Colorado is and that’s why we’re so excited to be part of the program,” he said.

Karsian said the district is about halfway through the planning process for the rail line, which it hopes to wrap up by the end of next year. After that, the project will need to move through the all-important environmental clearance process.

There’s also the politically fraught question of whether and when to ask voters living in the rail district to approve a sales tax to help pay for the project. That’s possible as soon as next fall.

Polis issued a statement Wednesday lauding Front Range rail’s inclusion in the federal rail corridor program.

“Front Range Passenger Rail will modernize our transit system, save people money, and support jobs and housing across our state,” he said. “I applaud the Department of Transportation and the Biden administration for securing and providing this funding, and for recognizing the need for this service and the promise to get it done soon.”