Osceola County LDFA discussing possible rail service By Antonio Coleman EVART — Could freight rail service put Osceola County on track for future economic development? That’s a question the Evart Local Development Finance Authority hopes to answer. Members of the authority are in the process of sending a pre-application package to the United States Department of Agriculture Rural Development to fund a feasibility study to evaluate possible railroad service through Osceola County. A feasibility study is a third-party report that analyzes a business venture’s potential success by critiquing its strengths and weaknesses. The study will determine if future rail service could be developed in Osceola County. The authority passed a motion to produce an application for a feasibility study at its Nov. 12 meeting. Roger Elkins, Evart city manager, first informed the Osceola County Board of Commissioners of the group’s plan during the county board’s regular meeting in November. “Representatives from Michigan Enterprises informed us that there were some additional opportunities for the county if we had a rail system in place,” Elkins said. “That’s how this idea started.” Great Lakes Central Railroad, based in Owosso, was involved in the initial discussions concerning potential rail service for the county. Great Lakes Central is a regional railroad with 400 miles of track stretching through central and Northern Michigan. Mark Nagy, director of business development, said rail service could be an economic driver for the county that means fewer dollars spent on area roads. “It would be a good idea to have rail service as an option to help eliminate the current amount of truck traffic,” Nagy said. “The conversion from truck to rail is about four to one.” Elkins said Yoplait and Cargill have been area businesses mentioned as companies that could benefit from freight service. In July, Cargill acquired a salt production business in Hersey from the Mosaic Company. Elkins noted that the business had considered railroad service for years. Former owners of the Hersey operation were interested in repairing a railroad trestle and laying two miles of spur line connecting its mine with the Pere Marquette railroad line linking Hersey with a port in Ludington and other Michigan cities. That all changed when the property was turned into recreational trails. Elkins said a big question for the authority’s consideration is determining where the tracks would be laid. He said possible locations for the rail service will be a topic of discussion at the group’s next meeting. Expanding freight and passenger rail services throughout the state has been viewed as critical to the economic well-being of Michigan. The amount of railroad tracks in Michigan has decreased since the 1960s, according to the Michigan State Rail Plan. In 2010, Michigan’s active railroad system was about 3,900 miles of track. Rail access in areas of Northern Michigan, such as Traverse City, have recently also been a topic of discussion. The Traverse City based-Michigan Land Use Institute has been researching the cost to run a passenger train on an 11-mile stretch of track between Traverse City and Williamsburg. The tracks occasionally carry a few freight train cars and are leased to the Great Lakes Central Railroad Company by the Michigan Department of Transportation. However, due to federal regulations, they are unable to carry passengers. The research study will determine the estimated cost to upgrade the tracks for passenger service. The study will also review options such as refurbishing a historic trolley to serve as a tourist-type train traveling between Grand Traverse Resort and Traverse City. Nagy said he thinks rail service could be the economic tool needed to help further boost the county. “Everything is still in the preliminary stages, but I’m excited to see what happens next,” Nagy said. Elkins said the authority expects to submit a pre-application in February. The Evart Local Development Finance Authority meets the second Wednesday of the month at 7:30 a.m. at the Municipal Airport Building in the Evart Industrial Park. Its next meeting is Wednesday, Dec. 10. What you need to know: The Evart Local Development Finance Authority are in the process of sending a pre-application package to the United States Department of Agriculture Rural Development to fund the development of a feasibility study to evaluate possible railroad service through Osceola County. Why this story is important to you: Freight rail could mean additional business and an economic boost for Osceola County.
Posted on: Wed, 10 Dec 2014 17:30:46 +0000
Trending Topics
Recently Viewed Topics
© 2015