The Manx Electric Railway Society has put forward £9,000 to run the line up to Snaefell.
It comes following Infrastructure Minister Tim Baker claiming there isn't footfall to justify running the service this year.
The Committee unanimously voted to transfer the funds - meaning the railway can operate for three weeks from Friday, August 21.
It comes in time to mark the railway's 125th anniversary.
Biker in UK hospital after Mountain crash
Police are appealing for witnesses to come forward after a crash on the Mountain Road yesterday afternoon.
Trial event closes roads in Peel and Ramsey
There'll be road restrictions in Peel and Ramsey during a motorsport event this weekend.
Castletown police station could be yours... for £250,000
Fancy owning a landmark building in the south of the Island?
Brewery advertising for operator for landmark Laxey pub
Could you run one of Laxey's best-known pubs?
Hospice cafe reopens next week after refurb
A much-loved café will be throwing open its doors again next week.
Another one bites the gust - as Ramsey rocks cancelled
A huge live music event in Ramsey this weekend has been cancelled.
Mountain Road closed again after crash
The Mountain Road is currently closed after a crash.
Merchant Navy Day to be marked with memorial service
Merchant Navy Day will be marked on Island with a remembrance service for those who lost their lives at sea.
