Hays County has secured a $39.2 million federal award toward a planned overpass at the Union Pacific rail crossing on Centerpoint Road near San Marcos.
The grade-separation project is intended to carry road traffic above the railway between Interstate 35 and FM 2439, also known as Hunter Road. That would remove the need for drivers, cyclists and pedestrians using the rebuilt road to cross the tracks at ground level.
County officials put the federal award at $39,228,602. The money is expected to cover 80 percent of an estimated $49,035,753 project cost, leaving matching contributions of about $9.8 million from Hays County and Union Pacific Railroad.
What the Centerpoint Road project includes
The current plan provides two traffic lanes in each direction across the railway. It also includes a widened roadway, a central median, shoulders and shared-use paths.
Hays County is coordinating the work with the City of San Marcos because the route connects the interstate corridor with Hunter Road and serves journeys around the southern side of the city.
Preliminary engineering and the project schematic have been completed. Right-of-way acquisition and final design are now under way, according to the county's announcement. A construction start date was not included, so residents should not treat the funding award as notice that road works are about to begin.
Why a rail overpass is planned
A grade-separated crossing allows trains and road users to move on different levels. In practice, that can remove delays caused when a train occupies a crossing and reduce the points where vehicles or people meet railway traffic.
The award was announced on August 14 through a Federal Railroad Administration partnership program. Hays County described it alongside other outside funding secured for transport projects, including three FM 2001 schemes selected in June for a combined $15,237,235 through the Capital Area Metropolitan Planning Organization's 2028-2031 program.
Those separate awards do not form part of the Centerpoint Road budget. They show that several county transport projects are moving through different funding and delivery timetables.
The Centerpoint Road design, final cost and construction schedule may still change as right-of-way and detailed design work continue. Anyone whose journey or property could be affected should rely on future project notices for confirmed dates and traffic arrangements.
Project figures and the current scope are set out in the official Hays County funding announcement.



