Prime Minister Malcolm Turnbull is set to promise $5 billion for a Melbourne airport train line.
Mr Turnbull wrote to Premier Daniel Andrews on Wednesday suggesting a 50-50 funding arrangement with the state, using the $2 billion Victoria will get from selling its share of the Snowy Hydro scheme, the Herald Sun reports.
A business case is underway to examine the best route for the rail link and is expected to be completed by September to present route options.