The Freight Economic Development Program (FEDP) by the Michigan Department of Transportation (MDOT) provides grants to rail customers for connecting to or expanding their use of Michigan's rail system. Grants cover up to 50% of the costs associated with rail-customer infrastructure, such as rail spurs, with a maximum grant amount of $2 million. The program's goal is to enhance the viability of Michigan's rail system by increasing rail volume and creating jobs. Applicants must control the property where improvements are proposed and can include rail customers, local governments, and railroads. Applications are accepted at any time and evaluated based on public benefits, job creation, and increased rail volume.

Eligible costs include construction, repair, and rehabilitation of rail spurs or sidings, turnouts, fixed rail scales, and other related equipment. Ineligible costs are engineering, car movers, and commodity storage. MDOT provides one grant payment for up to 45% of eligible costs after verification, and a second payment for up to 5% after annual carload reports over five years. Projects must generate additional rail volume and include any cost participation over the minimum 50%.