FALL RIVER – The train to Gold Medal Bakery will be later than expected.

The state MassWorks program turned down the city’s application for $3 million in grant money to extend the freight line along the waterfront from Ferry Street to the Gold Medal plant on Bay Street.

“We’ve applied twice now,” said Cathy Ann Viveiros, the city administrator. “The first application was for $6 million. They said that was too expensive.”

That grant was to extend the rail line 2.2 miles to the city’s waste treatment plant, 1979 Bay St., to carry sewer sludge from the plant to an incinerator.

The freight line would also be used by cars carrying flour and sugar to the Gold Medal Bakery, 1397 Bay St., 1.6 miles from the switching yard at Battleship Cove.

“We made a second application,” Viveiros said. “It was still high. It was still more than $3 million. I think price is driving this.”

So the city is going back to the drawing board, hoping the wind might carry good fortune this way.

“We are looking to get into the wind energy industry,” Viveiros said. “There is the possibility of a company locating on the waterfront. There is the possibility rail could serve other businesses.

“We think we could strengthen our argument if there were other businesses involved.”

MassWorks grants are handled by the state Office of Housing and Economic Development. The goal is to fund infrastructure project that will lead to economic development and job growth, according to the state website.

The state Department of Transportation owns the right of way for the rail line that runs between Bay Street and the Mount Hope Bay from Battleship Cove to the Tiverton line.

That line has not been used in 60 years.

The city is working now with the DOT to determine if grant funding is available from that department to help pay for the extension, Viveiros said.

The last grant for track improvement came from the state Department of Transportation. The state paid $228,000 of the $380,000 cost to improve tracks and switches from Battleship Cove to Borden Remington on Ferry Street. Borden Remington paid the rest.

“We have a lot of open property along the water,” Viveiros said. “We think there are many opportunities for us along there, so we will pursue this.”

Email Kevin P. O’Connor at koconnor@heraldnews.com.