; (ii) a public transportation project; or (iii) a capital project, as such term is defined in section 22906 of title 49, to improve intercity rail passenger transportation; or (C) a project to improve freight throughput that is— (i) a highway freight project carried out on the National Highway Freight Network established under section 167 or on the National Highway System; (ii) a freight intermodal, freight rail, or railway-highway grade crossing or grade separation project; or (iii) within the boundaries of a public or private freight rail, water (including ports), or intermodal facility and that is a surface transportation infrastructure project necessary to facilitate direct intermodal interchange, transfer, or access into or out of the facility. (2) Limitation (A) Certain freight projects Projects described in clauses (ii) and (iii) of paragraph (1)(C) may receive a grant under this section only if— (i) the project will make a significant improvement to the movement of freight on the National Highway System; and (ii) the Federal share of the project funds only elements of the project that provide public benefits. (B) Certain projects for person throughput Projects described in clauses (ii) and (iii) of paragraph (1)(B) may receive a grant under this section only if the project will make a significant improvement in mobility on public roads. (f) Eligible project costs An eligible entity receiving a grant under this section may use such grant for— (1) development phase activities, including planning, feasibility analysis, revenue forecasting, environmental review, preliminary engineering and design work, and other preconstruction activities