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The Short Line Railroad Rehabilitation and Investment Act of 2011 (H.R. 721/S. 672) continues to attract co-sponsors in Congress, according to the American Short Line and Regional Railroad Association’s (ASLRRA) “Views & News” newsletter issued yesterday.

The bills would extend the Section 45G short-line tax credit for six years through Dec. 31, 2017; the latest extension to the tax credit provision expires on Dec. 31. The measures also would make qualified infrastructure expenditures by regionals and short lines created after 2005 (for taxable years 2005 through 2011) and before 2011’s end (for taxable years after 2011) eligible for the tax credit.

So far, H.R. 721 has landed 156 co-sponsors and S. 672 has lined up 37 co-sponsors, according to the ASLRRA.

“It is advantageous to have 218 co-sponsors of the House bill and 51 co-sponsors of the Senate bill, representing a majority in both chambers and a powerful statement of support for this legislation that is so vital to our industry,” said Jeff Van Schaick of the association’s lobbying firm Chambers, Conlon & Hartwell L.L.C. in the newsletter.

Originally enacted in January 2005, the Section 45G provision enables regionals and short lines to claim a tax credit of 50 cents for every dollar spent on infrastructure improvements, up to a cap of $3,500 per mile of owned or leased track.