Hazardous Materials Vulnerability Reduction Act of 2005

Hazardous Materials Vulnerability Reduction Act of 2005 - Directs the Secretary of Homeland Security (Secretary) to issue regulations for the rail shipment and storage of extremely hazardous materials by railroad owners and operators, including requirements relating to high threat corridors and protocols for the coordination of federal, state, and local law enforcement authorities in creating a plan to respond to a terrorist attack, sabotage, or accident involving a rail shipment of extremely hazardous materials that causes the release of such materials.

Authorizes the Secretary to award grants to local governments and owners and operators of railroads to conduct training in safety procedures for handling and responding to emergencies involving extremely hazardous materials.

Amends federal transportation law to direct the Secretary of Transportation to make grants to experienced national nonprofit employee organizations to train railway HAZMAT workers.

Directs the Secretary to study and report to Congress on the benefits and availability of technology and procedures that may be utilized to: (1) reduce the likelihood of a terrorist attack on a rail shipment of extremely hazardous materials; (2) reduce the likelihood of a catastrophic release of extremely hazardous materials in the event of a terrorist attack; and (3) enhance the ability of first responders to respond to a terrorist attack on a rail shipment of extremely hazardous materials.

Prohibits discrimination against any employee of a railroad for disclosing to the Secretary, the Attorney General, or any federal supervisory agency a possible violation of this Act by a railroad owner or operator.

Allows any state or local government to bring a civil action in a U.S. district court for redress of injuries caused by a violation of this Act against any person (other than an individual) who transports, loads, unloads, or is otherwise involved in the shipping of extremely hazardous materials by rail.

Provides for administrative penalties of up to $1 million for each failure to comply with this Act.