Section 260.5 - Eligible purposes(a) Financial assistance under this part is available solely to: (1) Acquire, improve, or rehabilitate intermodal or rail freight or passenger equipment or facilities, including track, components of track, bridges, yards, buildings, and shops;(2) Refinance outstanding debt incurred for purposes described in paragraph (a)(1) of this section; or(3) Develop or establish new intermodal or railroad facilities.(b) Financial assistance under this part cannot be used for railroad operating expenses.