We look at what's next for the Northern Rivers Rail Trail after a major setback for the long-awaited project.

A joint funding application by Byron and Lismore councils for $42 million in federal support was recently rejected, leaving questions about how the rail trail can move forward.

Community Newsroom's Rod Chambers speaks with Byron Shire Councillor Michael Lyon about the funding decision, why supporters remain committed to the project and the options now being considered to help bring the rail trail to life.