Financing Freight Improvements
3.0 Case Studies of Freight Financing
This section provides case studies of financing strategies used for different types of freight-related projects. Table 3.1 lists the case studies discussed in this section, by type of freight need addressed by each project. Table 3.2 lists the same case studies, by project size and type of funding and financing tools used for project implementation. The case studies are organized by state.
Arkansas
Little Rock Port Authority Slackwater Harbor Improvements
Location: Little Rock, Arkansas
Project Type: Rail construction, highway access to port, dock construction, intermodal facility
Project Cost: $11.8 million
Project Sponsors/Partners: Arkansas State Highway Commission, Arkansas Department of Economic Development, City of Little Rock, and Little Rock Port Authority
Federal Agencies: FHWA, U.S. Army Corps of Engineers, and Economic Development Administration
Project Status: Projects completed between 2002 and 2003
Project Description: The Little Rock Port Authority Complex is a freight intermodal facility, consisting of an industrial park, a Class III railroad, a riverport terminal, and a slackwater harbor. Due to the lack of funding, the harbor area had remained undeveloped. The Slackwater Harbor Improvements included:
- Railroad line extension;
- Highway access improvements;
- Dock construction and paved working area;
- Warehouses;
- Water and sewer lines;
- Major drainage structures;
- Product staging area, and
- Bank stabilization.
The rail and highway components of the project have enhanced cargo shipments at this facility by increasing throughput capacity. The rail line was extended to the harbor, with a loop back to the main line. The highway improvements included the connection of Harbor Drive to Frazier Pike Road, providing more direct access between the industrial park and the harbor.
Funding Sources: The Little Rock Port Authority Slackwater Harbor improvements were funded through a combination of federal, state, city, and port funding. The High-Priority Projects program under TEA-21 included $750,000 for road improvements and $4.0 million for port development and the rail improvements. The funding partners and contributions to the project:
Funding Source/ |
Amount |
Comments |
|---|---|---|
Federal |
$7.2 |
FHWA; U.S. Army Corps of Engineers; Economic Development Administration |
State |
$1.1 |
Department of Economic Development; Arkansas State Highway Commission |
City of Little Rock |
$1.5 |
None |
Little Rock Port Authority |
$2.0 |
None |
Source: AASHTO, 2005 Freight Transportation Achievers, http://freight.transportation.org/freight_awards.html.
Additional Information:
- Little Rock Port Authority – http://lrport.dina.org
- Arkansas State Highway Commission – http://www.arkansashighways.com
- AASHTO 2005 Freight Transportation Achievers – http://freight.transportation.org/freight_awards.html
California
Alameda Corridor
Location: Los Angeles to Long Beach, California
Project Type: Port access, highway-rail crossing elimination, rail construction
Project Cost: $2.4 billion
Project Sponsors/Partners: Alameda Corridor Transportation Authority, Los Angeles County Metropolitan Transportation Authority, and Ports of Los Angeles and Long Beach
Federal Agencies: U.S. DOT and Economic Development Administration
Project Status: Completed in 2002
Project Description: The Alameda Corridor is a 20-mile freight-rail line linking the ports of Los Angeles and Long Beach to the transcontinental rail yards and railroad mainlines near downtown Los Angeles. The Corridor's centerpiece is the Mid-Corridor Trench, a below-ground railway that is 10 miles long, 30 feet deep, and 50 feet wide. The Corridor project consolidated 90 miles of branch rail lines into a high-speed line, thereby eliminating conflicts at more than 200 at-grade railroad crossings and cutting by more than half the time it takes to transport cargo containers by train between the ports and downtown Los Angeles rail yards. The Corridor began operations on April 15, 2002.
Funding and Financing Mechanisms: The project was constructed at a cost of $2.4 billion by the Alameda Corridor Transportation Authority (ACTA), a joint powers agency, and governed by the cities and ports of Los Angeles and Long Beach and the Los Angeles County Metropolitan Transportation Authority. The Alameda Corridor was funded through a unique blend of public and private sources, including $1.16 billion in proceeds from bonds sold by ACTA; a $400 million loan by the U.S. DOT; $394 million from the ports; $347 million in grants administered by the Los Angeles County Metropolitan Transportation Authority; and $130 million in other state and federal sources and interest income. Debts are retired with fees paid by the railroads for transportation of cargo into and out of the region.
Funding Source/ |
Amount |
Comments |
|---|---|---|
U.S. DOT Loan |
$400 |
Precursor of TIFIA loan |
Port of Los Angeles and Long Beach |
$394 |
None |
Los Angeles Metropolitan Transportation Authority |
$347 |
None |
Federal/State/Interest Income |
$130 |
Includes a $2 million grant from EDA |
Revenue Bonds |
$1,160 |
Repaid by user fees |
Source: NCHRP 8-36 Task 43, Return on Investment on Freight Rail Capacity Improvement. Available at http://www.transportation.org/sites/planning/docs/nchrp43.pdf.
Additional Information:
- Alameda Corridor Transportation Authority – http://www.acta.org
Port of Humboldt Dredging
Location: Humboldt, California
Project Type: Dredging
Project Cost: $14.3 million
Project Status: Completed in 2000
Project Sponsors/Partners: Port of Humboldt, City of Eureka, and California Maritime Infrastructure Bank
Federal Agencies: U.S. Army Corps of Engineers
Project Description: The project consisted of channel dredging at the Port of Humboldt.
Funding and Financing Mechanisms: The Port of Humboldt had never issued bonds before. They used the California Maritime Infrastructure Bank (CMIB) as the "bank of last resort" to generate the local match for the federal share for dredging. The U.S. Army Corps of Engineers required $3.9 million to match the federal grant of $10.4 million. The City of Eureka contributed $1 million in combination with the CMIB bond issuance. The Port of Humboldt used the CMIB to issue the remaining share for the local match, $2.9 million in tax-exempt revenue bonds for private placement. CMIB worked with a local bank to buy the bonds. The project was completed in 2000.
Funding Source/ |
Amount |
Comments |
|---|---|---|
USACE – Harbor Maintenance Fund |
$10.4 |
None |
CMIB |
$2.9 |
Tax-exempt bonds |
City of Eureka |
$1.0 |
None |
Source: FHWA, Funding and Institutional Options for Freight Infrastructure Improvements. Available at http://ops.fhwa.dot.gov/freight/freight_analysis/financing.htm.
Additional Information:
- Port of Humboldt Bay – http://www.humboldtbay.org/about/about.html
Port of San Diego Land Acquisition
Location: San Diego, California
Project Type: Land acquisition
Project Cost: $115 million
Project Sponsors/Partners: Port of San Diego, California Maritime Infrastructure Bank;, and Duke Power
Federal Agencies: None
Project Status: Land purchased in 1999
Project Description: The Port of San Diego used California Maritime Infrastructure Bank (CMIB) financing to purchase land. CMIB issued taxable bonds to be repaid under a leaseback arrangement between the Port of San Diego and Duke Power. Duke Power contracted with the Port to operate and sell power for a 10-year period, after which the power plant will be dismantled and the land may be used by the Port for other purposes.
Funding and Financing Mechanisms: CMIB issued taxable short-term bonds that qualified for a lower rate of 6 percent than private capital sources available to Duke Power. The project did not qualify for tax-exempt status under the Industrial Development Act because the extent of the benefit to be derived by the private-sector, Duke Power. By using CMIB to issue debt instead of issuing debt itself, the Port was able to avoid a lengthy internal Board of Commission review process that is required for any major financing activity undertaken by the Port.
Funding Source/ |
Amount |
Comments |
|---|---|---|
CMIB |
$115.0 |
Taxable short-term bonds |
Source: FHWA, Funding and Institutional Options for Freight Infrastructure Improvements. Available at http://ops.fhwa.dot.gov/freight/freight_analysis/financing.htm.
Additional Information:
- Port of San Diego – http://www.portofsandiego.org
Port of San Diego West Terminal Airport Expansion
Location: San Diego, California
Project Type: Airport terminal expansion
Project Cost: $232 million (airport expansion) and $90 million (CMIB funding)
Project Sponsors/Partners: Port of San Diego, and California Maritime Infrastructure Bank
Federal Agencies: None
Project Status: Completed in 1998
Project Description: The Port of San Diego undertook major expansion of the west terminal, mainly to accommodate increased passenger traffic along with proportionate increases in cargo shipment.
Funding and Financing Mechanisms: The Port of San Diego used California Maritime Infrastructure Bank (CMIB) to expand the San Diego Airport to avoid lengthy commission approval activities. CMIB issued Certificates of Participation to finance long-term borrowing. Qualifying for tax-exempt status, they were issued at 5.1 percent. Certificate of Participation debt was secured by net airport revenues, which protected general port revenue.
Funding Source/ |
Amount |
Comments |
|---|---|---|
CMIB |
$90.0 |
Tax-exempt COPS |
Source: FHWA, Funding and Institutional Options for Freight Infrastructure Improvements. Available at http://ops.fhwa.dot.gov/freight/freight_analysis/financing.htm.
Additional Information:
- San Diego Airport – http://www.san.org
Stockton Airport Freight Terminal
Location: Stockton, California
Project Type: Airport freight terminal and highway access to airport
Project Cost: $1.7 million
Project Sponsors/Partners: San Joaquin County, and Farmington Fresh
Federal Agencies: Federal Aviation Administration
Project Status: Completed in 1995
Project Description: The project consisted of the development of an air freight terminal at Stockton Airport. This included airport apron improvements, the relocation of Webber's Slew (a small stream running through the airport), and access road (shoulder) improvements. The freight terminal houses the operations of Farmington Fresh, a company that specializes in the import and export of fresh produce.
Funding and Financing Mechanisms: With San Joaquin County support, Farmington Fresh built a $6.5 million air freight terminal and made improvements to a cargo handling facility on a county-owned airport to meet their shipping needs. No public funds aided in the construction of the terminal. Public funding was directed at the airport apron and road improvements. At the end of the 49-year lease on the airport land, the county will own the Farmington Fresh terminal. The County can then lease the terminal at market prices.
The airport apron and road improvements were funded through a combination of federal, state, local, and private funds.
Funding Source/ |
Amount |
Comments |
|---|---|---|
Federal – FAA Airport Improvement Program grant |
$1.40 |
None |
State |
$0.07 |
FAA grant matching funds |
Local |
$0.20 |
FAA grant matching funds |
Farmington Fresh |
$0.07 |
Private contribution for airport apron and road improvements only/Matching funds to FAA grant |
Source: FHWA, Funding and Institutional Options for Freight Infrastructure Improvements. Available at http://ops.fhwa.dot.gov/freight/freight_analysis/financing.htm.
Additional Information:
- Stockton Airport – http://www.co.san-joaquin.ca.us/airport/
Colorado
Denver International Airport (DIA) Cargo Facility
Location: Denver, Colorado
Project Type: Airport cargo facility, intermodal facility, airport expansion
Project Cost: $100 million
Project Sponsors/Partners: City of Denver, WorldPort at DIA Owners LLC, and Lehman Brothers
Federal Agencies: None
Project Status: Under construction; construction to be completed in 2006
Project Description: DIA entered a 30-year ground lease with a third-party developer (WorldPort at DIA Owners LLC), to design, construct, and operate a cargo handling facility on 70 acres of DIA property. The new cargo facility, WorldPort at DIA, consists of seven buildings (500,000 square feet), a new taxiway, and an aircraft ramp. Two of the buildings are completed and have been in operations since 2001/2002.
Funding and Financing Mechanisms: The City of Denver, which owns the airport, issued special facility bonds to finance construction. Special facility revenue bonds are repaid solely from revenues generated by the facility, in this case, leases. This protects general airport authority revenues. Bond repayment will be collected from the third-party developer who will collect rents from subleases with cargo airlines, freight forwarders, and the U.S. Departments of Agriculture and Homeland Security (Customs operations).
Funding Source/ |
Amount |
Comments |
|---|---|---|
City of Denver |
$54.0 |
Special facility bonds, repaid by lease income |
Lehman Brothers |
$46.0 |
Equity |
Source: Denver International Airport. Wing Tips. Volume 1, Issue 1, April 2002. Available at http://www.flydenver.com/biz/news/wingtips/2002_qtr1.pdf.
Additional Information:
- Denver International Airport – http://www.flydenver.com/guide/facility/cargo.asp
- World Port – http://www.worldportatdia.com
Delaware
Shellpot Bridge Replacement
Location: Port of Wilmington, Delaware
Project Type: Rail bridge replacement, rail access to port
Project Cost: $13.9 million
Project Sponsors/Partners: Delaware DOT and Norfolk Southern
Federal Agencies: None
Project Status: Completed in 2004
Project Description: The Shellpot Bridge rehabilitation project reinstated a freight rail connection between the Port of Wilmington, Delaware and Norfolk Southern's (NS) Edgemoor Yard and rail system. Rail service on the bridge had been suspended in 1994, when the foundation could no longer support the heavy freight trains. The bridge provided access to and from the Port of Wilmington to the NS line that provides northbound service. After the bridge went out of service, freight trains that served the Port of Wilmington were forced to take a longer route in order to connect with the NS line. The bridge opened in October 2004.
Funding and Financing Mechanism: The Delaware DOT provided a $5 million grant and an $8.9 million loan to NS for the bridge replacement project. The payment agreement requires NS to make payments based on the number of rail cars using the bridge, with guaranteed minimum annual payment over a 20-year period. The annual minimum payments increase every five years, from $150,000 during the first five years, to $300,000 over the last five years of the agreement. The guaranteed minimum would ensure a minimum payback of 50 percent of the loan.
The rail car fees are based on a sliding scale, in which NS pays a toll of $35 per car on the first 5,000 cars crossing the bridge, decreasing to $5 per car when the number of cars using the bridge exceeds 50,000. The purpose of the sliding scale scheme is to encourage NS to increase their traffic over a certain threshold, in order to pay the lowest sliding rate per car.
Funding Source/ |
Amount |
Comments |
|---|---|---|
DelDOT Loan |
$8.9 |
Repaid by rail car fees |
DelDOT Grant |
$5.0 |
None |
Source: Delaware Department of Transportation.
Additional Information:
- Delaware DOT– http://www.deldot.gov
- Port of Wilmington – http://www.portofwilmingtonde.com
Florida
Palm Beach Skypass Bridge Construction
Location: Palm Beach, Florida
Project Type: Rail-highway grade separation, port access
Project Cost: $29.7 million
Project Sponsors/Partners: Port of Palm Beach, Florida DOT, Florida Office of Trade Tourism, and Economic Development
Federal Agencies: None
Project Status: Completed in 1999
Project Description: The Skypass Bridge is a four-lane overpass on U.S. 1 that eliminated a highway-rail crossing along U.S. 1, and improved internal access at the Port of Palm Beach. Prior to the overpass construction, the Port of Palm Beach was divided by U.S. 1. The west side of the port houses the Florida East Coast Railroad yard and storage facilities, whereas the waterfront and marine terminal lies on the east side of the port. The construction of the overpass was completed in 1999.
Funding and Financing Mechanisms: The Skypass Bridge was funded through a combination of state and port funding sources. The State provided funds through the Florida Seaport Transportation and Economic Development (FSTED) program, Florida DOT funds, and a grant from the Office of Trade, Tourism, and Economic Development. The Port of Palm Beach used $10 million in bond proceeds and $0.1 million in cash for the project. Bonds are repaid through user fees from port operations, although these fees are not directly related to the improvements.
Funding Source/ |
Amount |
Comments |
|---|---|---|
FDOT |
$0.9 |
For right-of-way |
Florida Office of Trade, Tourism, and Economic Development grant |
$2.0 |
None |
FSTED Program |
$16.7 |
None |
Port of Palm Beach |
$10.1 |
$10 million from port bonds; $0.1 million in cash |
Source: NCHRP Report 497 Financing and Improving Land Access to U.S. Intermodal Cargo Hubs, 2003.
Additional Information:
- Port of Palm Beach – http://www.portofpalmbeach.com
- NCHRP Report 497 Financing and Improving Land Access to U.S. Intermodal Cargo Hubs. Available at http://trb.org/publications/nchrp/nchrp_rpt_497.pdf
Illinois
Bensenville Rail Yard Improvements
Location: Chicago, Illinois
Project Type: Rail access to rail yard, rail construction, rail rehabilitation
Project Cost: $35 million
Project Sponsors/Partners: Chicago Area Transportation Study and Canadian Pacific Railroad
Federal Agencies: FHWA
Project Status: Completed in 1998
Project Description: The Bensenville rail yard project improved rail access and egress to and from the yard, and rerouted trains from an east route to a west route. The construction cost included new tracks, interlockings, and signals to raise train speeds and reduce rail/traffic conflict at rail-highway crossings. The estimated emission reductions were 54 kg/day VOC and 48 kg/day NOx.
Funding and Financing Mechanisms: The project was funded through a combination of federal and private funds. Federal funding included a CMAQ grant of $2.1 million. The CMAQ grant was justified based on the reduction in emissions and traffic congestion resulting from the rail improvements. The remaining funds were provided by Canadian Pacific Railroad.
The Chicago Area Transportation Study conducted an evaluation to estimate the public benefits realized from the project. Public benefits were estimated at $2.6 million. The CMAQ grant was equivalent to 80 percent of the share of public benefits.
Funding Source/ |
Amount |
Comments |
|---|---|---|
CMAQ |
$2.1 |
None |
Canadian Pacific |
$32.9 |
Private Sector funding |
Source: FHWA.
Additional Information:
- Chicago Area Transportation Study (CATS) – http://www.catsmpo.org
Chicago Area Consolidation Hub (CACH)
Location: Hodgkins, Illinois
Project Type: Highway access to terminal, intermodal facility, rail-highway crossing separation, highway improvements
Project Cost: $97.6 million
Project Sponsors/Partners: Illinois DOT, Illinois State Toll Highway Authority, Illinois Department of Commerce and Community Affairs, Village of Hodgkins, United Parcel Service and Burlington Northern Santa Fe
Federal Agencies: None
Project Status: Completed in 1995
Project Description: The CACH, the largest sorting facility in the world, is owned by United Parcel Service (UPS) and built in the mid-1990s. A number of projects were implemented to improve access to the facility, including: 1) interchange access from I-294 to the facility; 2) a rail intermodal facility; 3) rail-highway crossing separation, and 4) local street access improvements.
Funding and Financing Mechanisms: The projects were funded through a combination of state, local, and private funds. The funding partners for this effort included the Illinois State Toll Highway Authority (ISTHA), Illinois IDOT, Illinois Department of Commerce and Community Affairs (DCCA), Village of Hodgkins, UPS, and Burlington Northern Santa Fe (BNSF).
- I-294 Interchange. The cost of the I-294 Interchange was $15.6 million. This interchange was funded through a public-private partnership that included ISTHA, Illinois DOT, DCCA, Village of Hodgkins, and UPS. No federal funds were used to fund this project, even though the interchange was constructed on an Interstate road.
- Intermodal Facility. The intermodal facility was entirely funded by BNSF. The cost was estimated at $70 million.
- Rail-Highway Crossing Separation. The at-grade crossing separation was funded by Illinois DOT and BNSF. The grade separation cost was $10 million.
- Local Road Improvements. The local road improvements were entirely funded by UPS, at a cost of $1.3 million.
Funding Source/ |
Amount |
Comments |
|---|---|---|
Illinois DOT |
$7.5 |
$2.5 million for I-294 Interchange; $5 million for rail grade separation |
ISTHA |
$7.0 |
For I-294 Interchange |
DCCA |
$2.5 |
For I-294 Interchange |
Village of Hodgkins |
$0.65 |
For I-294 Interchange |
UPS |
$4.75 |
$3 million for I-294 Interchange; $1.3 million for local road improvements; $0.45 million on annexation fees to the Village of Willow Springs |
BNSF |
$75.0 |
$70 million for intermodal facility; $5 million for rail grade separation |
Source: NCHRP Report 497 Financing and Improving Land Access to U.S. Intermodal Cargo Hubs, 2003.
Additional Information:
- NCHRP Report 497 Financing and Improving Land Access to U.S. Intermodal Cargo Hubs. Available at http://trb.org/publications/nchrp/nchrp_rpt_497.pdf
Chicago Region Environmental and Transportation Efficiency (CREATE) Program
Location: Chicago, Illinois
Project Type: Rail crossing separation, highway-rail crossing, rail rehabilitation, rail construction, new/improved signaling systems
Project Cost: $1.5 billion
Project Sponsors/Partners: Illinois DOT, City of Chicago; Metra, Union Pacific, Burlington Northern Santa Fe, Norfolk Southern, Canadian Pacific, Canadian National, and CSX
Federal Agencies: FHWA
Project Status: Currently in planning stages
Project Description: The CREATE Program encompasses the rationalization, reconstruction and upgrade of five cross-town passenger and freight rail corridors in Chicago. Approximately 70 projects are planned as part of this program, including:
- Grade separation of six railroads crossings (rail-rail flyovers);
- Grade separation of 25 highway-rail crossings;
- Upgrade of existing track infrastructure;
- Double or triple tracking along certain corridors, and
- Installation of new or improved signaling system.
The CREATE program is aimed at addressing existing and future congestion issues on the rail system, which are expected to bring adverse effects to the national economy and the transportation system if they are not addressed in the near future. The CREATE program partners include: the Illinois DOT, Metra (passenger rail), and six of the largest North American freight railroads (Union Pacific, Burlington Northern Santa Fe, Norfolk Southern, Canadian Pacific, Canadian National, and CSX).
Funding and Financing Mechanisms: The cost of the program is estimated at $1.5 billion. The railroads will provide $212 million, based on the value of the economic benefits (estimated by the CREATE partnership) that the private sector will gain from the proposed improvements. Since the majority of the work will be completed on railroad-owned right-of-way, the land ownership will be considered part of the private contribution. The remainder of the funds will be provided by the public sector partners, including federal and state.
SAFETEA-LU authorized $100 million through the "Projects of National and Regional Significance" program. The CREATE program partners are in the process of selecting the projects that will go into Phase I. The railroads and the state plan to provide $100 million each (for a total of $200 million) to match the SAFETEA-LU earmark and the City of Chicago plans to commit about $30 million. Phase I will provide funding for about one-fifth of the total program costs.
Funding Source/ |
Amount |
Comments |
|---|---|---|
FHWA |
$100.0 |
SAFETEA-LU Projects of National and Regional Significance |
Illinois DOT |
$100.0 |
Planned to date to match federal earmark |
City of Chicago |
$30.0 |
Planned to date to match federal earmark |
Railroads |
$212.0 |
Private contribution, based on economic benefits to private sector. Includes $100 million planned to date to match federal earmarks, and the value of railroad-owned right-of-way used for the program. |
Note: Total program cost is $1.5 million; funding amounts in this table only includes funding that may be committed for Phase I and the estimated total private contribution.
Additional Information:
- CREATE Program – http://www.createprogram.org
I-55 Access to CenterPoint Intermodal Center at Deer Run
Location: Joliet, Illinois
Project Type: Highway improvements and access to intermodal facility
Project Cost: $33.3 million (for I-55 interchange construction)
Project Sponsors/Partners: Illinois DOT
Federal Agencies: FHWA and Economic Development Administration
Project Status: Included in FY 2007-2012 Highway Improvement Program
Project Description: The Center Point Intermodal Center encompasses the BNSF Logistics Park. Roadway improvements include the construction of a new interchange on I-55 to handle traffic generated by the industrial park, replacing an existing intersection, and improvements to the arterial road (Arsenal Road) connecting I-55 and the intermodal facility.
Funding and Financing Mechanisms: The Illinois DOT has included the I-55 interchange construction in the FY 2007-2012 Highway Improvement Program and committed $27 million for the construction of the interchange, in addition to $6.3 million for engineering and land acquisition.
The Economic Development Administration (EDA) granted $3 million to Will County for improvements on Arsenal Road.
Funding Source/ |
Amount |
Comments |
|---|---|---|
Illinois DOT |
$33.3 |
Funding for I-55 Interchange |
EDA |
$3.0 |
Grant for improvements on Arsenal Road |
Source: Illinois Department of Transportation; AASHTO 2005 Freight Transportation Achievers.
Additional Information:
- Illinois Department of Transportation FY 2007-2012 Highway Improvement Program – http://www.dot.il.gov/hip0712/hwyimprov.html
- AASHTO 2005 Freight Transportation Achievers – http://freight.transportation.org/freight_awards.html
Kedzie Avenue Access Road/Stoplight
Location: Chicago, Illinois
Project Type: Highway reconstruction, traffic signal installation and synchronization, highway access to rail yard
Project Cost: $4.7 million
Project Sponsors/Partners: City of Chicago DOT
Federal Agencies: FHWA
Project Status: Completed in 1997
Project Description: The Kedzie Avenue project consisted of the reconstruction of about 1.5 miles of roadway, the installation of a traffic signal at the intersection of Kedzie Avenue and 47th Street, and the modernization and synchronization of signals along Kedzie Avenue. Kedzie Avenue provides access to the BNSF Corwith Rail Yard. Prior to the implementation of this project, the area experienced significant congestion from trucks trying to access or exit the rail yard.
Funding and Financing Mechanisms: CMAQ funds ($720,000) were used to procure the installation of the traffic signal at the entrance of the rail yard since it would improve air quality by reducing truck emissions. The City of Chicago DOT provided $4 million to match the CMAQ grant and for the roadway reconstruction.
Funding Source/ |
Amount |
Comments |
|---|---|---|
CMAQ |
$0.7 |
None |
City of Chicago DOT |
$4.0 |
Including matching funds for CMAQ ($180,000) |
Sources: NCHRP Report 497 Financing and Improving Land Access to U.S. Intermodal Cargo Hubs, 2003.
Additional Information:
- NCHRP Report 497 Financing and Improving Land Access to U.S. Intermodal Cargo Hubs. Available at http://trb.org/publications/nchrp/nchrp_rpt_497.pdf
Riverport Railroad Rehabilitation and New Facilities
Location: Savanna, Illinois
Project Type: Rail rehabilitation, car storage facility expansion, and yard and transload facility construction
Project Cost: $5.5 million
Project Sponsors/Partners: Riverport Railroad
Federal Agencies: Federal Railroad Administration
Project Status: Rail Rehabilitation and Improvement Financing (RRIF) loan awarded in 2005, under construction
Project Description: This short line operator located in Northwestern Illinois, received a RRIF loan to rehabilitate rail-related infrastructure and facilities that were once part of the Savanna Army Ordnance Depot. The loan is being used to improve and consolidate about six miles of existing track to make operations more efficient and install new, heavier track to handle the industry standard 286,000-pound railcars. In addition, yard storage capacity will be increased by 33 percent (from 3,000 to 4,000 railcars) and real estate will be acquired to support planned business expansion. New facilities include a bulk commodity yard and transload facility, and a marshalling yard to store up to 110-car trains. Additionally, a portion of the funding will be used to remove and relocate about 9.6 miles of track from land owned by the U.S. Fish and Wildlife Service.
Funding and Financing Mechanisms: FRA approved a RRIF loan in 2005 for $5.5 million.
Funding Source/ |
Amount |
Comments |
|---|---|---|
RRIF loan |
$5.5 |
None |
Source: Federal Railroad Administration.
Additional Information:
- Riverport Railroad – http://www.riverportrailroad.com
- Federal Railroad Administration – http://www.fra.dot.gov
Rochelle Intermodal Center/UP Global III
Location: Rochelle, Illinois
Project Type: Highway access to intermodal facility; rail access to intermodal facility
Project Cost: $9.8 million in federal and state funds for highway and rail access projects, plus water and sanitary sewer lines funded by an EDA grant.
Project Sponsors/Partners: City of Rochelle; Illinois Department of Transportation; Union Pacific
Federal Agencies: Economic Development Administration (EDA)
Project Status: Completed in 2003
Project Description: The Rochelle Intermodal Center was built in recent years to help alleviate some of the freight congestion in Chicago. The project included providing highway and rail access to the facility.
Funding and Financing Mechanisms: Roadway and rail access projects were funded through federal, state, and local funds. The Illinois DOT provided $4.3 million through the Economic Development Program for roadway access, and $3.3 million in loans through the Rail Freight Program for the construction of rail lines into the main facility and rail spurs. An EDA grant for $2.2 million was used for construction of water and sewer lines and several roadway improvements.
Funding Source/ |
Amount |
Comments |
|---|---|---|
Illinois DOT |
$4.3 |
Economic Development Program grant for roadway access |
Illinois DOT |
$3.3 |
Rail Freight Program loan |
EDA Grant |
$2.2 |
Funding for water and sanitary sewer lines, and roadway improvements |
Source: AASHTO 2005 Freight Transportation Achievers.
Additional Information:
- Illinois Department of Transportation – http://www.dot.il.gov/
- AASHTO 2005 Freight Transportation Achievers – http://freight.transportation.org/freight_awards.html
Indiana
Dixie Siding Installation
 |
Source: Indianapolis MPO. |
|---|
Dixie Siding
Location: Indianapolis, Indiana
Project Type: Rail siding
Project Cost: $1.5 million
Project Sponsors/Partners: Indiana Railroad Company, Indiana DOT, and Indianapolis Metropolitan Planning Organization
Federal Agencies: FHWA
Project Status: Completed in 2003
Project Description: The Dixie Siding project consisted of the construction of a mile-long siding between Epler Avenue and Lick Street to eliminate traffic blockage on West Street and Bluff Road in the west side of Indianapolis. The siding was built to handle the exchange of empty and loaded coal cars from the Indianapolis Power & Light Company (IPL). Prior to the construction of the Dixie Siding, empty coal trains moved from the IPL Harding Street Station to the Senate Avenue Terminal to provide space for incoming loaded coal trains. The placement and retrieval of empty coal trains from the Senate Avenue Terminal would disrupt traffic at the West Avenue rail-highway crossing, causing significant delays. With the construction of the siding, the empty cars are placed at the siding, eliminating the trips to and from the Senate Avenue Terminal, and consequently, reducing the number of trains passing at the West Avenue crossing and vehicle congestion and delays at this location and improving air quality.
Funding and Financing Mechanisms: The Dixie Siding project was funded through a combination of federal, state, and private sector funds. The Indiana Rail Road Company (IRR) provided $815,000 for the project. The Indiana DOT provided a grant of $200,000 through its Industrial Rail Service Fund. A CMAQ grant of $480,000 provided the remaining funds needed for the project. An air quality analysis by the Indianapolis Metropolitan Planning Organization showed that air quality improvements would be realized from reduced traffic congestion at the West Street Crossing.
Funding Source/ |
Amount |
Comments |
|---|---|---|
CMAQ |
$0.48 |
None |
Indiana DOT Industrial Rail Service Fund Grant |
$0.20 |
None |
Indiana Railroad Company funds |
$0.82 |
Private sector funding |
Source: FHWA Indiana Division.
Additional Information:
- Indianapolis Metropolitan Organization, TeMPO (Volume 7, Issue 4, Special Edition 2003) – http://www.indympo.org/Public/tempo.htm
- Indiana Department of Transportation – http://www.ai.org/dot
Iowa
Iowa Interstate Railroad Rehabilitation and Locomotive Purchase
Location: Atlantic, Iowa to Bureau, Illinois
Project Type: Rail rehabilitation; equipment purchasing
Project Cost: $42.1 million
Project Sponsors/Partners: Iowa Interstate Railroad
Federal Agencies: Federal Railroad Administration
Project Status: Loans awarded in 2005 and 2006, under construction
Project Description: The Iowa Interstate Railroad received two RRIF loans from FRA. The first RRIF loan will be used to improve service to rural areas that rely on trains to ship corn, soybeans, steel, chemicals, and other products to market. This loan will pay for track improvements needed to haul heavier freight cars and get products to key shipping points faster and safer. Specifically, RRIF funds will improve 266 miles of track, replace 180,000 crossties, lay thousands of tons of new ballast, and rebuild 95 highway-rail grade crossings between Atlantic, Iowa, and Bureau, Illinois. A portion of the loan also will be used to purchase a rail line that Iowa Interstate Railroad currently is leasing, and refinance debt incurred from previous infrastructure improvement projects.
The second RRIF loan will be used to purchase 22 locomotives that it currently leases from General American Transportation Corporation (GATX) Rail.
Funding and Financing Mechanisms: FRA approved two loans to Iowa Interstate Railroad in 2005 and 2006 for $32.7 million and $9.4 million, respectively.
Funding Source/ |
Amount |
Comments |
|---|---|---|
RRIF Loans |
$42.1 |
None |
Source: Federal Railroad Administration.
Additional Information:
- Iowa Interstate Railroad – http://www.iaisrr.com
- Federal Railroad Administration – http://www.fra.dot.gov
Kansas
Marysville Rail Projects
Location: Marysville, Kansas
Project Type: Rail-highway crossing separation and rail relocation
Project Cost: $75.8 million
Project Sponsors/Partners: City of Marysville, Kansas DOT, and Union Pacific
Federal Agencies: None
Project Status: Currently under construction; scheduled for completion in 2006. Roadway construction completed in 2004.
Project Description: The north-south Marysville subdivision of the Union Pacific Railroad divided the City of Marysville, separating the majority of the city from the business district. The rail line is heavily traveled, causing major vehicle traffic delays at five rail-highway crossings. Daily delays have been estimated at 7.5 to 8 hours. These delays affect not only the passenger vehicle traffic, but are a major concern for the mobility of emergency vehicles.
The proposed solution consisted of relocating the rail line to the south and west edge of the city and providing grade separations at U.S. 36 and U.S. 77. The project also includes the construction of a levee for flood protection.
Funding and Financing Mechanisms: The project was funded with state, local, and private monies. Kansas DOT provided almost 52 percent of the project cost. The City of Marysville contributed $1 million, and the remaining funds came from Union Pacific.
Funding Source/ |
Amount |
Comments |
|---|---|---|
Kansas DOT |
$39.2 |
None |
Union Pacific |
$35.6 |
None |
City of Marysville |
$1.0 |
None |
Source: AASHTO, 2005 Freight Transportation Achievers, http://freight.transportation.org/freight_awards.html.
Additional Information:
- Kansas Department of Transportation – http://www.ksdot.org
- AASHTO 2005 Freight Transportation Achievers – http://freight.transportation.org/freight_awards.html
Kentucky
Widening of I-64, I-65, and I-75
Location: I-64 (Shelby County from Jefferson County line to Shelbyville); I-65 (from Tennessee State line to Bowling Green); and I-75 (from northern Scott County to south of KY-22 in Grant County), Kentucky
Project Type: Highway capacity
Project Cost: $440.0 million
Project Sponsors/Partners: Kentucky Transportation Cabinet
Federal Agencies: FHWA
Project Status: Currently under construction, included in FY 2005-2007 STIP
Project Description: The project consists of widening Interstates 64, 65 and 75 in northern Kentucky from three to six lanes. The Kentucky General Assembly approved the issuance of GARVEE bonds to accelerate the widening in these three corridors. The widening projects are expected to increase the State's ability to accommodate freight and passenger movements.
Funding and Financing Mechanisms: In 2005, Kentucky issued $139.6 million in GARVEE bonds to fund the first phase. They will be repaid with IM and NHS funding. Debt service funding will be matched with toll credits. The Kentucky Transportation Cabinet plans to issue $290 million in additional GARVEE bonds in fiscal year 2007 and 2008 to complete the widening projects.
Funding Source/ |
Amount |
Comments |
|---|---|---|
GARVEE Bonds |
$139.6 |
Issued to date; repaid with IM and NHS funds |
Source: Innovative Finance.Org, http://www.innovativefinance.org.
Additional Information:
- Kentucky Transportation Cabinet – http://transportation.ky.gov
Louisiana
Port of South Louisiana – Rail Spur Upgrade
Location: LaPlace, Louisiana
Project Type: Rail rehabilitation, roadway improvements
Project Cost: $1.2 million (rail component); $1.5 million (roadway improvements)
Project Sponsors/Partners: Port of South Louisiana
Federal Agencies: Economic Development Administration
Project Status: Roadway improvements completed in 2003 and rail rehabilitation completed in 2005.
Project Description: The Port of South Louisiana, which stretches for 54 miles along the Mississippi River, is the third-largest port in the world in terms of total tonnage handled, and some of the most prestigious names in industry operate cargo transfer terminals and manufacturing plants. The Port handled over 248 million tons of cargo in 2004, brought to its terminals by vessel, barge, rail, and truck. The Port is ranked highest in the nation for export tonnage and total tonnage, with over 50,000 barges and 4,000 ocean-going vessels calling at the port each year. The Port purchased the Globalplex Intermodal Terminal in 1992, and currently is redeveloping the facility into a world-class complex to accommodate a variety of dry bulk and break-bulk cargo. Roadway improvements within the Port were completed in 2003. The Port recently completed a $1.2 million effort to upgrade a 1,500-foot rail spur that will eventually link the Canadian National/Illinois Central Railroad and the Kansas City Southern Railroad at the northern end of the 335-acre industrial park.
Funding/Financing Mechanisms: Roadway improvements within the Port of South Louisiana were funded by a Community Development Grant and Port funds. The cost of the road improvements were estimated at $1.5 million, of which 75 percent were provided by federal grant. The rail rehabilitation project was partly funded by an EDA grant of $900,000. The project is expected to attract an estimated $56 million in private sector investments and create an additional 200 jobs.
Funding Source/ |
Amount |
Comments |
|---|---|---|
EDA grant |
$0.9 |
For rail rehabilitation project |
U.S. Department of Housing and Urban Development – Community Development Block Grant |
$1.1 |
For roadway improvements |
Port of South Louisiana |
$0.7 |
Matching funds for federal grants |
Source: Port of South Louisiana.
Additional Information:
- Port of South Louisiana – http://www.portsl.com
Tchoupitoulas Corridor Improvements
Location: New Orleans, Louisiana
Project Type: Truck route, highway access to port, highway capacity, and rail relocation
Project Cost: Approximately $100 million
Project Sponsors/Partners: Port of New Orleans, New Orleans Department of Public Works, State of Louisiana, and City of New Orleans Regional Planning Commission
Federal Agencies: FHWA
Project Status: Completed in 2005
Project Description: The Tchoupitoulas Corridor project consisted of several transportation access and infrastructure improvements to the Port of New Orleans. The project included the expansion of a two-lane local road to a four-lane boulevard, the construction of an exclusive port-traffic access road, sewer and drainage system repairs/replacement, modifications to existing flood walls, and the relocation and consolidation of railroad trackage. One of the main elements of this project, the port access road, consolidated four existing truck routes into one, and separated truck traffic from local traffic. The exclusive truck route improved access to the port, but also improved safety and the level of service on local streets. The project was completed during the summer of 2005.
Funding/Financing Mechanisms: The Tchoupitoulas Corridor project was funded through a combination of federal, state, local, and port funds. The State provided $55 million through the Transportation Infrastructure Model for Economic Development (TIMED) program, which was created by the legislature in 1989 and is funded through bonds backed by a 4 cent per gallon tax on motor fuels. Other funding sources included $13.7 million in STP funds, $8.0 million in bond proceeds from the City of New Orleans, $12 million from the City of New Orleans Regional Planning Commission, and $12 million from the Port of New Orleans.
Funding Source/ |
Amount |
Comments |
|---|---|---|
STP funds |
$13.7 |
None |
TIMED program |
$55.0 |
Backed by dedicated motor fuel tax (4 cent per gallon) |
City of New Orleans Bond proceeds |
$8.0 |
None |
City of New Orleans Regional Planning Commission |
$12.0 |
None |
Port of New Orleans |
$12.0 |
None |
Sources: NCHRP Report 497 Financing and Improving Land Access to U.S. Intermodal Cargo Hubs, 2003; Transportation Infrastructure Model for Economic Development (TIMED), http://www.timedla.com/.
Additional Information:
- Louisiana's Transportation Infrastructure Model for Economic Development – http://www.timedla.com/
- NCHRP Report 497 Financing and Improving Land Access to U.S. Intermodal Cargo Hubs. Available at http://trb.org/publications/nchrp/nchrp_rpt_497.pdf
Maine
Auburn Intermodal Freight Facility
Location: Auburn, Maine
Project Type: Truck-rail intermodal facility
Project Cost: $3.1 million (Phase I); $1.7 million (Phase II)
Project Sponsors/Partners: Maine DOT, City of Auburn, and St. Lawrence & Atlantic Railroad
Federal Agencies: FHWA
Project Status: Phase I completed in 1994 and Phase II completed in 2001
Project Description: The Auburn Intermodal Freight Transfer Facility opened in 1994, with an expansion completed in 2001. The facility is used to transfer cargo between truck and rail. Rail service at the facility is operated by the St. Lawrence & Atlantic Railroad (SLR).
The intermodal facility consists of a double-track rail line, parking and container storage, a weighing and freight-control operations center, and a lift for transferring cargo containers between flatbed rail cars and trucks. A customs clearance facility recently opened at the facility.
The project's first phase resulted in estimated emissions reductions of 7 kg/day VOC and 77 kg/day NOx.
Funding and Financing Mechanisms: Funding for the construction and subsequent expansion of the facility included federal, local, and private funds.
For the Phase I, SLR approached the State of Maine requesting funding for the construction of the intermodal facility. Because the City of Auburn was an air quality nonattainment area and the facility was built on public land, the City was able to obtain CMAQ funding to construct the facility based on projected reductions of long-haul truck traffic and the corresponding decrease in vehicle emissions. Additionally, the creation of an intermodal hub in Auburn was seen as an opportunity for economic growth in the region. The project costs were funded using CMAQ (80 percent), with matching funds from the City of Auburn. SLR pays a lease to the city for the use of the facility.
A 19-acre expansion, completed in 2001, was implemented when the cargo volume at the facility reached a point that justified the expansion. Phase II also was funded using CMAQ funds and City of Auburn funds, matched with private funds.
Funding Source/ |
Amount |
Comments |
|---|---|---|
CMAQ |
$2.7 |
$2.3 million – Phase I; |
City of Auburn |
$1.0 |
$0.6 million – Phase I; |
St. Lawrence & Auburn Railroad |
$1.0 |
$0.2 million – Phase I; |
Source: Maine Department of Transportation; FHWA, https://www.fhwa.dot.gov/environment/cmaqpgs/retroatt.htm.
Additional Information:
- Maine DOT – http://www.maine.gov/mdot/index.php
Calais/St. Stephen Border Crossing
Location: Calais, Maine/St. Stephen, New Brunswick, Canada
Project Type: Border crossing, highway capacity, bridge
Project Cost: $100 million
Project Sponsors/Partners: Maine DOT and New Brunswick DOT
Federal Agencies: U.S. General Services Administration, Canada Border Services Agency, and U.S. Department of Homeland Security's Customs and Border Protection
Project Status: Planning stages; project completion scheduled by 2008.
Project Description: Over the last several years Maine DOT and New Brunswick DOT have been collaborating, along with the U.S. General Services Administration (GSA), Canada Border Services Agency (CBSA), and U.S. Department of Homeland Security's (DHS) Customs and Border Protection (CBP) to plan and design new border crossing facilities in Calais, Maine and St. Stephen, New Brunswick. The new crossing will be located upstream on the St. Croix River just outside of both town centers. It will become the third crossing in the region and will be the only commercial vehicle crossing in the Calais/St. Stephen region. This crossing represents the first new crossing in several decades along the United States/Canadian border. The existing crossing, which is located in the downtowns of both cities, will remain in place exclusively for passenger cars.
The selected alternative for the new border crossing includes a bridge across the St. Croix River, a four-lane highway bypassing the town of St. Stephen that connects to Route 3 and includes a Route 1 bypass, and a new connection to U.S. 1 through an industrial park in Calais, Maine. Each facility will have multiple lanes for cars and trucks, including some dedicated specialized lanes. The Maine DOT and New Brunswick DOT will be responsible for the highways leading into the facilities as well as the bridge across the St. Croix that connects the two countries. CBSA will design and construct the Canadian facility and GSA will design and construct the United States facility.
Funding and Financing Mechanisms: Funding for the new border crossing is split between Canada and the United States. In 2005, $3.2 million was secured from the GSA's FY 2005 budget for the design and site acquisition for a new customs house, while a further $50 million was secured in the FY 2006 budget. Additional funding is still being sought for road and bridge work on the United States side of the project. SAFETEA-LU earmarked $12.0 million for this project through the High-Priority Projects and Transportation Improvement Programs.
Funding Source/ |
Amount |
Comments |
|---|---|---|
GSA |
$53.2 |
None |
FHWA SAFETEA-LU Earmarks |
$12.0 |
Funding from the High-Priority Projects and the Transportation Improvement Programs |
Source: Maine Department of Transportation; FHWA. Note: Funding listed above only includes existing funding commitments.
Additional Information:
- Maine DOT – http://www.maine.gov/mdot/index.php
Guilford Intermodal Yard – Lifting Equipment Lease
Location: Waterville, Maine
Project Type: Intermodal yard equipment
Project Cost: $3.0 million
Project Sponsors/Partners: Maine DOT, and Guilford Transportation
Federal Agencies: FHWA
Project Status: Completed in 1997
Project Description: Guilford Transportation used public funding to improve a truck-rail intermodal yard, including equipment purchase. The project allows trailers and containers of central Maine products to move via rail, reducing heavy truck traffic and diesel emissions. The estimated emissions reductions were 28 kg/day VOC and 6.3 kg/day NOx.
Funding and Financing Mechanisms: Maine DOT used CMAQ funding to lease port packer lift equipment to support the operations of a private intermodal yard in Waterville, Maine. CMAQ funding was granted because the project demonstrated that truck traffic and emissions would be reduced. This project was sponsored by Guilford Transportation, a regional rail company supporting CSX and Norfolk Southern shipments. Since the project was built on private land, CMAQ funding could only be applied under a leaseback arrangement with the intermodal operator. A total of $1.2 million of CMAQ funding was used to buy the equipment, which the operator leases through the useful life of the equipment with the option to purchase at the end of the lease.
Maine DOT conducted a similar deal at the Presque Isle Intermodal Facility.
Funding Source/ |
Amount |
Comments |
|---|---|---|
CMAQ |
$1.2 |
Funding for lifting equipment |
Other |
$1.8 |
None |
Source: Maine Department of Transportation.
Additional Information:
- Maine Department of Transportation – http://www.maine.gov/mdot/index.php
Michigan
Luce County Industrial Park Rail Project
Location: Luce County, Michigan
Project Type: Rail rehabilitation, rail construction, rail access to industrial park
Project Cost: $647,000
Project Sponsors/Partners: Michigan DOT, Luce County Economic Development Corporation, and Sustainable Forest Products, Inc.
Federal Agencies: None
Project Status: Completed in 2004
Project Description: The freight-related investments at the Luce County Industrial Park consisted of the rehabilitation of an unused rail line, and the construction of new rail tracks into the Industrial Park and into the Sustainable Forest Products facility. The project was completed in 2004.
Funding and Financing Mechanisms: The rail rehabilitation and construction were funded through a combination of state, local, and private funds.
The Michigan MDOT provided a total of $324,000 through the Michigan Rail Loan Assistance (MiRLAP) and the Freight Economic Development (FEDP) programs. The Luce County Economic Corporation contributed to the project with $218,000.
Private contributions came from the Canadian National Railroad ($95,000) and Sustainable Forest Products, Inc. ($10,000).
Funding Source/ |
Amount |
Comments |
|---|---|---|
Michigan DOT – MiRLAP |
$198,000 |
None |
Michigan DOT – FEDP |
$126,000 |
None |
Luce County EDC |
$218,000 |
None |
Canadian National |
$95,000 |
None |
Sustainable Forest Products |
$10,000 |
None |
Source: AASHTO, 2005 Freight Transportation Achievers, http://freight.transportation.org/freight_awards.html.
Additional Information:
- Michigan Department of Transportation, http://www.michigan.gov/mdot/
- AASHTO 2005 Freight Transportation Achievers – http://freight.transportation.org/freight_awards.html
Missouri-Kansas
Sheffield Flyover and Argentine Connection
Location: Kansas City, Missouri/Kansas City, Kansas
Project Type: Rail crossing separation
Project Cost: $74 million (Sheffield Flyover); $59.8 million (Argentine Connection)
Project Status/Sponsors: Kansas City Intermodal Transportation Corporation, Westside Intermodal Transportation Corporation, Unified Government of Wyandotte County/Kansas City, Kansas City Terminal Railway, Burlington Northern Santa Fe, Union Pacific, and Kansas City Southern Railroad
Federal Agencies: None
Project Status: Sheffield Flyover completed in 2000 and Argentine Connection completed in 2004
Project Description: The Sheffield Flyover and the Argentine Connection projects consisted of the construction of flyovers to eliminate at-grade rail crossings.
Before the grade separation was completed, the Sheffield Junction was the third-busiest rail crossing in the country, causing major bottlenecks to both east-west and north-south rail traffic through Kansas City. The Sheffield Flyover resulted in speed improvements and reducing the travel time of freight trains through Kansas City from 40 minutes to 15 minutes.
Similarly, the Argentine Connection consisted of a grade separation project at the Santa Fe Junction. The project resulted in increased capacity on east-west and north-south routes. Prior to the project, the Santa Fe junction handled 55 trains east-west and 25 train north-south per day. The Argentine Connection increased capacity to 70-95 trains east-west and 40 trains north-south.
Funding and Financing Mechanisms: The Sheffield Flyover was financed through the issuance of bonds by a nonprofit transportation corporation, created under Missouri law. The Kansas City Terminal Railway created a transportation corporation, the Kansas City Intermodal Transportation Corporation, for the purpose of issuing debt for construction and accessing tax-exempt status from property tax. The railroads (BNSF, UP, and Kansas City Southern) are responsible to pay back the bonds over a 20-year period.
The Argentine Connection project was located in the state border area between Missouri and Kansas. Therefore, two financing mechanisms were devised to fund the construction of the flyover. The Missouri portion of the project was financed by issuing bonds through a transportation corporation, the Westside Intermodal Transportation Corporation. For the Kansas portion of the project, the Unified Government of Kansas City/Wyandotte issued bonds. The Kansas City Railway Terminal is responsible for debt service on those bonds.
Funding Source/ |
Amount |
Comments |
|---|---|---|
Kansas City Intermodal Transportation Corporation bonds |
$70.0 |
Sheffield Flyover bonds |
Westside Intermodal Transportation Corporation |
$46.3 |
Argentine Connection bonds – Missouri share |
Unified Government of Wyandotte County/Kansas City |
$13.5 |
Argentine Connection bonds – Kansas share |
Sources: Mid-America Regional Council; Kansas City Business Journal, http://www.bizjournals.com/kansascity/stories/2001/11/05/story1.html.
Additional Information:
- Missouri Department of Transportation – http://www.modot.org
North Carolina
North Carolina Railroad Improvement Program
Location: Raleigh to Charlotte, North Carolina
Project Type: Rail improvements, rail extension, rail modernization
Project Cost: $19.3 million (completed projects); $77.8 million (total program)
Project Sponsors/Partners: North Carolina DOT and Norfolk Southern
Federal Agencies: FHWA
Program Status: Six projects completed in 2005 and other projects under construction
Project Description: The North Carolina Railroad Improvement Program (NCRRIP) consists of several upgrades and improvements along existing rail corridors to enhance safety, efficiency, and capacity for passenger rail. The program is expected to increase train speeds and capacity on the 172-mile corridor between Raleigh and Charlotte. However, these improvements have an indirect and positive impact for freight rail service operating on this corridor.
Funding and Financing Mechanisms: The NCRRIP program has been financed through a combination of federal and state funds. Federal funds include NHS, CMAQ, and STP funds. State grants include matching funds to federal grants, and funds from the State's Rail and Moving Ahead programs. A total of $37.8 million has been spent in the program (including project currently under construction).
Norfolk Southern (NS) operates freight service on the corridor. As part of the NCRRIP program, NS is responsible for the design and construction of the program elements. While NS is not a funding partner of the program, the company has covered the cost of project management, which could be considered an in-kind contribution.
Funding Source/ |
Amount |
Comments |
|---|---|---|
NHS |
$2.90 |
None |
STP |
$4.00 |
None |
CMAQ |
$13.36 |
None |
North Carolina State – Match for federal funds |
$5.31 |
None |
State Rail funds |
$7.80 |
None |
State Moving Ahead |
$4.39 |
None |
Source: North Carolina Department of Transportation, Rail Division.
Additional Information:
- North Carolina Department of Transportation, http://www.bytrain.org/track/
Nevada
Reno Transportation Rail Access Corridor (ReTRAC)
Location: Reno, Nevada
Project Type: Rail construction and rail-highway grade separation
Project Cost: $279.9 million
Project Sponsors/Partners: City of Reno and Union Pacific Railroad
Federal Agencies: FHWA
Project Status: Trench opened for traffic service on November 18, 2005, with final completion in spring 2006.
Project Description: The Reno Transportation Rail Access Corridor (ReTRAC) program consists of the construction of a 33-foot-deep trench below existing tracks to separate auto traffic from rail traffic in downtown Reno. The project also includes the reconstruction of 11 bridges to provide crossing over the trench and an access road. The corridor length is 2.3 miles.
Funding and Financing Mechanisms: The ReTRAC program is funded through a public-private partnership that includes federal, local, and private sector funds. Several revenue sources have been dedicated to repay a TIFIA loan.
Federal funding includes $21.3 million in earmarked funds within TEA-21 legislation. The project was approved for TIFIA credit assistance up to $73.5 million that was to be repaid through local revenue sources, including: 1) one-eighth-cent sales tax; 2) one percent hotel-occupancy tax; 3) lease income from Union Pacific properties, and 4) tax assessments from a downtown special assessment district. The City of Reno repaid the original TIFIA loan issued in 2002 of $50.5 million in May 2006.
Local funding includes $111.5 million in General Obligation bonds issued by the City of Reno, and $79.6 million in city funding allocated for the project.
Union Pacific contributions to the ReTRAC project include $17 million towards the construction of track ballast and ties. Other contributions include in-kind donations of land and air rights to the City of Reno that will generate revenue to pay back the TIFIA loan. In addition, Union Pacific will pay for the rail signal systems to be installed in the corridor.
Funding Source/ |
Amount |
Comments |
|---|---|---|
TEA-21 earmarks |
$21.3 |
None |
TIFIA direct loan |
$50.5 |
To be repaid through local revenue sources; paid back in May 2006 through refinancing |
City of Reno revenue bonds |
$111.5 |
None |
Cash on-hand and interest earnings |
$79.6 |
None |
Union Pacific funds |
$17.0 |
None |
Source: City of Reno; Cambridge Systematics, Inc.
Additional Information:
- City of Reno, ReTRAC – http://www.cityofreno.com/gov/retrac/
New York
Red Hook Container Barge Service
Location: Brooklyn, New York
Project Type: Barge system
Project Cost: $14.7 million for capital costs; $58.8 million for capital and operations (excluding private contribution) through 2001.
Project Sponsors/Partners: New York State DOT, New Jersey DOT, Port Authority of New York and New Jersey, and American Stevedoring
Federal Agencies: FHWA
Project Status: Operating since 1993
Project Description: The Red Hook Container Barge project consisted of the implementation of a barge service between the Red Hook Marine Terminal in Brooklyn, New York and the American Stevedoring terminal at the Port Newark, New Jersey. The purpose of this project was to provide alternative access between these two facilities to mitigate the impacts of construction on the Gowanus Expressway, which was the main route used by trucks accessing the Red Hook Marine Terminal. The estimated emissions reductions were 12 kg/day VOC, 48 kg/day CO, and 53 kg/day NOx.
Funding and Financing Mechanisms: The Red Hook Container Barge service was funded through a combination of federal, state, and port funds. American Stevedoring (Red Hook terminal operator) also has supported the service, although investment amounts have not been specified.
Federal funding sources include allocations from CMAQ and STP funds, and TEA-21 funds. This project was the first freight project to apply for CMAQ funds. In addition to matching funds to federal grants, New York State DOT and New Jersey DOT have supported the project, and the Port Authority of New York and New Jersey has provided almost $40 million to fund the barge operation.
Funding Source/ |
Amount |
Comments |
|---|---|---|
CMAQ |
$7.7 |
None |
STP |
$1.6 |
None |
TEA-21 |
$3.0 |
None |
CMAQ, STP, and TEA-21 matching funds |
$3.2 |
None |
New York State DOT |
$1.8 |
None |
New Jersey DOT |
$1.7 |
None |
Port Authority of New York and New Jersey |
$39.8 |
None |
Sources: NCHRP Report 497 Financing and Improving Land Access to U.S. Intermodal Cargo Hubs, 2003.
Additional Information:
- NCHRP Report 497 Financing and Improving Land Access to U.S. Intermodal Cargo Hubs. Available at http://trb.org/publications/nchrp/nchrp_rpt_497.pdf
Southern Tier Extension Railroad Restoration Project
The Southern Tier Extension Railroad Authority and Norfolk Southern entered in a sale-leaseback agreement in which NS passes ownership of the rail line to STERA, leases back the line, and receives a property tax abatement for 10 years. |
Location: Hornell, New York to Corry, Pennsylvania
Project Type: Railroad rehabilitation
Project Sponsors/Partners: Southern Tier West Regional Planning and Development Board; New York State DOT, Pennsylvania DOT, and Norfolk Southern
Federal Agencies: FHWA and Economic Development Administration
Project Status: Restoration of rail service along the rail line completed in the fall of 2003; other rehabilitation activities underway/planned
Project Cost: $38.2 million through 2006
Project Description: The Southern Tier Extension Railroad Restoration Project consisted of the implementation of several rehabilitation tasks along the 145-mile-long rail line between Hornell, New York and Corry, Pennsylvania. Tasks completed to date include: 1) repair of two washouts; 2) replacement of ties; 3) signal upgrades, and 4) grade crossing improvements.
The Southern Tier Extension rail line had been threatened with abandonment since the 1980s. The counties within the Southern Tier West (Allegany, Cattaraugus, Chautauqua, and Steuben) initiated efforts in the late 1980s to retain service on the line after the expiration of the Conrail-New York State DOT agreement to provide service until 1998. As part of the of the CSX-Norfolk Southern acquisition of Conrail, Norfolk Southern (NS) would acquire the Southern Tier Extension. The Southern Tier West and NS reached a sale-leaseback agreement in which NS would sell the line to a railroad authority, leaseback the line and receive a property tax abatement for a period of 10 years. After the 10-year period, ownership of the rail line will revert back to NS, and in the last 3 years of the agreement, NS will begin paying property taxes on the line to the local communities. The Chautauqua, Cattaraugus, Allegany and Steuben Southern Tier Extension Railroad Authority (STERA), was created in 2000, and the sale-leaseback agreement was executed in 2001. NS currently subleases the rail line to the Western New York and Pennsylvania Railroad Company (WNYP). Service along the entire line was restored in fall 2003.
Funding and Financing Mechanisms: The initial rehabilitation work was funded with an Economic Development Administration grant ($3 million) and $8.9 million from New York State DOT, including capital grants and Federal Rail-Highway Grade Crossing funds. As of September 2006, PennDOT and WNYP had provided $7.6 million and over $10 million, respectively, to bring the rail line back to operation. The counties have provided about $0.3 million, and local communities have contributed to the investment by giving up the property tax revenues on the rail line over a 10-year period. About $38.2 million had been invested in the line through 2006. Future investments to complete the rail line restoration are estimated at over $20 million, including: Phase 6 improvements ($7.5 million), which are schedule for completion by the spring of 2007; and an intermodal study ($225,000) funded with EDA, NYSDOT and private funds.
Funding Source/ |
Amount |
Comments |
|---|---|---|
FHWA |
$0.9 |
None |
FEMA |
$0.2 |
None |
EDA Grant |
$3.1 |
None |
New York State DOT Capital Funding |
$8.9 |
Including initial $2 million to match EDA grant |
Pennsylvania DOT |
$7.6 |
None |
Counties |
$0.3 |
None |
Local Communities |
$10.0 |
Tax abatement (through 2006) |
Sources: NYSDOT; Southern Tier West Regional Planning and Development Board presentation at FHWA Talking Freight Seminar, September 2006. Provided by Thomas M. Barnes; additional NYSDOT funding information provided by Steve Slavick.
Additional Information:
- Southern Tier West Regional Planning and Development Board – http://www.southerntierwest.org
Albany Express Barge
Location: Albany, New York to Port of New York and New Jersey
Project Type: Short sea shipping
Project Cost: $5.7 million in public sector subsidies for operations (excluding Port of Albany contributions to match CMAQ funds).
Project Sponsors/Partners: Port of Albany and Port Authority of New York and New Jersey
Federal Agencies: FHWA
Project Status: Service in operation since 2003, other routes are in planning stages
Project Description: The Albany Express Barge service transports containers by barge between the Port of Albany and the Port of New York and New Jersey. The service began operating in the spring of 2003, and is the first element of the Port Inland Distribution Network (PIDN) initiative. The PIDN initiative is envisioned as a system to distribute containers between the Port of New York and New Jersey and other inland container terminals by barge and rail to relieve highway congestion. In addition to the Port of Albany, other potential barge routes include: 1) Bridgeport, Connecticut; 2) Camden, New Jersey; 3) Providence, Rhode Island; 4) Wilmington, Delaware, and 5) Boston, Massachusetts.
Funding and Financing Mechanisms: The Albany Express Barge service is paid through user fees, and federal and local port subsidies. The user fees have been set at 10 percent below the truck shipping fees to attract users, since the barge service is slower than truck shipping on this route. The federal port subsidies are needed to support the service.
The Albany Express Barge service has received CMAQ grants, with matching funds coming from the Port of Albany. In addition, the Port Authority of New York and New Jersey has provided $0.5 million to subsidize operations and provides $25 per container moved to keep the user fees below trucking fees.
Funding Source/ |
Amount |
Comments |
|---|---|---|
CMAQ |
$5.3 |
Federal funds are matched with Port of Albany and PANYNJ contributions |
Port Authority of New York and New Jersey |
$0.5 |
Operations subsidy |
Sources: U.S. Government Accountability Office, Freight Transportation: Short Sea Shipping Option Shows Importance of Systematic Approach to Public Investment Decisions. Washington, D.C. July 2005. Report Number GAO-05-768.
Additional Information:
- Port Authority of New York and New Jersey – http://www.panynj.com
- Port of Albany – http://www.portofalbany.com
New Jersey
Portway
Location: Port of New York/New Jersey
Project Type: Rail access to port, rail-highway grade separation, and highway improvements
Project Cost: $83.7 million (for three Phase I projects, excluding Doremus Avenue roadway improvements)
Project Sponsors/Partners: New Jersey DOT and Port Authority of New York and New Jersey
Federal Agencies: FHWA
Project Status: Three Phase I projects completed with other projects under planning/design stages
Project Description: The New Jersey DOT is the lead agency behind Portway, which consists in a series 11 projects that will improve access between key maritime, air cargo, railroad, regional roadways, and warehouse/distribution facilities. The Port Authority of New York and New Jersey (PANYNJ) is responsible for the remaining projects. Projects implemented to date include:
- Doremus Avenue Bridge and roadway improvements (NJDOT) – $36.5 million;
- Rail-highway crossing separation (rail flyover) at McLester Street (PANYNJ) – $35 million; and
- Charlotte and Tonnele Circle Improvements (NJDOT) – $12.2 million.
Funding and Financing Mechanisms: The projects listed above were funded with federal, state, and port funds. NHS funds were used for the Charlotte and Tonnele Circle Improvements. The state funding contribution included allocations from the New Jersey Transportation Trust Fund (TTF) and the 1999 New Jersey Bridge bonds. PANYNJ paid for the rail flyover.
Funding Source/ |
Amount |
Comments |
|---|---|---|
NHS |
$11.2 |
For Charlotte and Tonnele Circle improvements |
New Jersey TTF |
$21.5 |
$20.5 million for the Doremus Avenue project; matching funds for NHS |
1999 New Jersey Bridge bonds |
$36.5 |
Doremus Avenue Bridge only |
PANYNJ |
$35.0 |
Rail flyover |
Source: NCHRP Report 497 Financing and Improving Land Access to U.S. Intermodal Cargo Hubs, 2003.
Additional Information:
- NCHRP Report 497 Financing and Improving Land Access to U.S. Intermodal Cargo Hubs. Available at http://trb.org/publications/nchrp/nchrp_rpt_497.pdf
- New Jersey Department of Transportation – http://www.state.nj.us/transportation/works/portway/index.html
Ohio
Ohio Southern Line Rehabilitation
Location: Zanesville to New Lexington, Ohio
Project Type: Rail rehabilitation, highway-rail crossings
Project Cost: $11 million
Project Sponsors/Partners: Ohio Rail Development Commission, Ohio DOT, and Ohio Southern Railroad
Federal Agencies: FHWA
Project Status: Completed in 2000
Project Description: The Ohio Southern Line Rehabilitation consisted of the rehabilitation of an out-of-service rail line to provide rail service between a coal mine in Glouster, Ohio and the American Electric Power (AEP) Conesville Power Plant. The rehabilitation work included: 1) renovation of 12 railroad bridges; 2) renewal and upgrading of 16 public rail-highway crossings; 3) replacement of 19 miles of existing obsolete rail with modern heavy rail; 4) replacement of crossties; and 5) two new passing sidings and a 13-track bulk loading facility. The rail line is owned by the State, and rail service on the line currently is provided by the Ohio Southern Railroad Company.
Funding and Financing Mechanisms: The total cost of the project was $11 million, of which $5.5 million (50 percent) was paid by public sector loans repaid by rail fees, $3.0 million (27 percent) was paid by public grants, and $2.5 million (23 percent) was paid by the private sector. The Ohio DOT issued a State Infrastructure Bank (SIB) loan for $2 million. The Ohio Rail Development Commission (ORDC) allocated $1 million in federal funds from the Rail-Highway Crossing Program, and provided a $2 million grant and a $3.5 million loan for track improvements. The project loans already have been repaid with rail fees. The Ohio Southern Railroad provided the remaining $2.5 million to fund the rail line rehabilitation.
The Ohio Southern Railroad is in the process of purchasing the rail line from the State for its liquidation value, estimated at $362,000 in 2000, before it was rebuilt.
Funding Source/ |
Amount |
Comments |
|---|---|---|
Rail-Highway Crossing |
$1.0 |
None |
Ohio DOT SIB loan |
$2.0 |
Ohio Southern Railroad paid back SIB loan with rail user fees |
ORDC Grant |
$2.0 |
None |
ORDC loan |
$3.5 |
Ohio Southern Railroad paid back ORDC loan with rail user fees |
Ohio Southern Railroad |
$2.5 |
Private sector share |
Source: Ohio Rail Development Commission, http://www.dot.state.oh.us/ohiorail.
Additional Information:
- Ohio Rail Development Commission – http://www.dot.state.oh.us/ohiorail
Rickenbacker Intermodal Facility Construction
Location: Columbus, Ohio
Project Type: Intermodal facility
Project Cost: $100 million ($65 million for intermodal facility/$35 million for road and utility work)
Project Partners/Sponsors: Columbus Regional Airport Authority, Pickaway County, Franklin County, City of Columbus, Mid-Ohio Regional Planning Commission, Ohio DOT, and Norfolk Southern
Federal Agencies: FHWA
Project Status: Currently under construction
Project Description: Rickenbacker Airport in Columbus, Ohio, is an international multimodal cargo airport with Foreign-Trade Zone (FTZ) status that serves as a national and international distribution hub. The facility also is a high-speed international logistics hub with a strategically planned cargo complex that serves several key business segments, including international airfreight, freight forwarding, corporate aviation, e-commerce fulfillment, and distribution.
The Columbus Regional Airport Authority has partnered with Norfolk Southern Corporation to create an intermodal facility on an adjacent to the Rickenbacker Airport property. The new Rickenbacker Intermodal Facility is expected to be operational by early 2007. The facility will relieve pressure on the area's existing intermodal facility at Discovery Park. Discovery Park has been operating at capacity for several years, forcing Norfolk Southern to turn away business from the Central Ohio region.
Funding and Financing Mechanisms: The new intermodal facility will be a public-private partnership among Norfolk Southern, the Columbus Regional Airport Authority, and other government agencies. The Airport Authority is paying for various environmental and traffic studies, and currently is working with Pickaway County, Franklin County, the City of Columbus, Mid-Ohio Regional Planning Commission, Ohio DOT, and FHWA to obtain funding for the other needed improvements. SAFETEA-LU provided $30.4 million in funding for the facility and Norfolk Southern is investing $34 million. Additional funding support is derived from Norfolk Southern Railroad, and from the States of Virginia, West Virginia, and Ohio for rail-related improvements to the Heartland Corridor. The Heartland Corridor, which runs between the deep water port at Norfolk, Virginia, and the planned Rickenbacker intermodal facility, is detailed in a separate case study.
Funding Source/ |
Amount |
Comments |
|---|---|---|
SAFETEA-LU |
$30.4 |
Earmark |
Norfolk Southern |
$34.0 |
Private Sector investment |
Source: Columbus Regional Airport Authority. Note: The table does not include funds from other project partners.
Additional Information:
- Rickenbacker Airport – http://www.rickenbacker.org
Oregon
Columbia Slough Bridge to Intermodal Yards
Location: Portland, Oregon
Project Type: Railroad construction and railroad bridge
Project Cost: $6 million
Project Sponsors/Partners: Port of Portland and Ohio DOT
Federal Agencies: FHWA
Project Status: Completed in 1997
Project Description: The project consisted of construction of a railroad bridge over the Columbia Slough to connect the Port of Portland to inland rail yards and eliminate the need for truck drayage from the port. The project was part of a series of projects under the Partnership for Transportation Investment (PTI), an Oregon DOT program that encourages states and localities to use a variety of sources to pay for transportation infrastructure. The project was completed in 1997. The estimated truck emissions reductions were 52 kg/day VOC, 241 kg/day CO, and 364 kg/day NOx.
Funding and Financing Mechanisms: The rail bridge was funded through a combination of federal and port funds. Federal funds came from ISTEA Demonstration ($2.1 million) and CMAQ funds ($0.9 million).
The Port of Portland provided $3 million for the project. The tracks are leased to Union Pacific and Burlington Northern Santa Fe. The railroads pay a "wheelage" fee of $53 per rail car for 15 years.
Funding Source/ |
Amount |
Comments |
|---|---|---|
ISTEA Demonstration grant |
$2.1 |
None |
CMAQ |
$0.9 |
None |
Port of Portland |
$3.0 |
None |
Source: NCHRP Report 497 Financing and Improving Land Access to U.S. Intermodal Cargo Hubs, 2003.
Additional Information:
- Port of Portland – http://www.portofportland.com
- NCHRP Report 497 Financing and Improving Land Access to U.S. Intermodal Cargo Hubs. Available at http://trb.org/publications/nchrp/nchrp_rpt_497.pdf
Improving Fuel Economy and Air Quality on the I-5 Corridor
Location: Oregon, Washington and California
Project Type: Emission Reduction and Fuel Savings
Project Cost: $3.3 million to date, $5.7 million available in loan fund
Project Sponsors/Partners: State and Local Agencies: Oregon Department of Transportation; Oregon Department of Energy, Oregon Department of Environmental Quality, Lane Regional Air Protection Agency, Sacramento Air Quality Management District, Port of Seattle, Puget Sound Clean Air Agency, Washington Department of Ecology, Sacramento Council of Governments, Lane Council of Governments; Portland Metro; Trade Associations: Oregon Trucking Association, National Fuel Negotiators; truck stops: Jubitz Truck Stop, Truck and Travel, The 49er; trucking companies: over 300 small fleets and owner-operators; SmartWay Transport; West Coast Diesel Collaborative; and others
Federal Agencies: U.S. Environmental Protection Agency; Federal Highway Administration, National Research Energy Lab, Clean Cities
Project Status: Ongoing
Project Description: This project consists of providing and facilitating EPA SmartWay upgrades to trucks traveling along the I-5 Corridor in Oregon. EPA SmartWay upgrades consists of a combination of technologies that improve fuel efficiency and reduce emissions. The SmartWay upgrade includes:
- Auxiliary Power Units (APU);
- Single wide tires and aluminum wheels;
- Light-weight truck and trailer components;
- Aerodynamic packages;
- Automatic tire inflation systems;
- Shore Power HVAC systems with plug in capability;
- Exhaust retrofits; and
- Heaters.
Cascade Sierra Solutions (CSS) has showcase centers of SmartWay technologies in truck stops in Oregon and is in the process of setting up centers in California and Washington. CSS breaks down the awareness barrier by showcasing technologies, educating and providing information to truck drivers about these technologies and coordinating the installation of equipment. CSS breaks down the capital cost barrier by providing low-cost financing with no down payment and extended terms. CSS also provides grants and tax credits for truck owners. CSS breaks down the regulatory barrier by providing information about impending laws and rules that impact the trucking industry.
Funding Sources: CSS purchases the SmartWay equipment and pays for installation (with SIB loan money, and state energy loan funds). The final cost of the SmartWay upgrades to truck owners includes a small percentage for risk and a low interest rate for the term of the lease. Currently, the interest rate is zero percent because of a U.S. EPA grant that is being used to pay the interest. The next round of funding will be below market between 4 and 7 percent with no down-payment and a five-year payback period.
Funding Source/ |
Amount |
Comments |
|---|---|---|
Sacramento AQMD/SACOG |
$0.2 |
For Sacramento Center |
U.S. EPA Grant |
$0.2 |
For Coburg Center and initial project development |
Oregon State Department of Energy |
$2.7 plus 30.5% of Oregon leases |
None |
Oregon DOT – SIB Loan |
$3.0 |
None |
Original Equipment Manufacturer (OEM) support |
6% of sales |
Manufacturers contribute 6 percent of sales generated; currently have more than 30 OEM partners with CSS. |
Source: Cascade Sierra Solutions
Additional Information:
- Cascade Sierra Solutions, http://www.cascadesierrasolutions.org
Pennsylvania
Delaware Valley Regional Planning Commission (DVRPC) CMAQ Competitive Program
The DVRPC CMAQ competitive program awarded funds to five freight projects in the last round of project selection.
Location: Greater Philadelphia-Camden-Trenton Area, Pennsylvania-New Jersey
Project Type: Intermodal facility, rail construction, port access, truck idle-reduction
Project Cost: Five freight-related projects, $4.4 million
Project Sponsors/Partners: Delaware Valley Regional Planning Commission, IdleAire Technologies Corporation, Brandywine Valley Railroad Company, Philadelphia Industrial Development Corporation, Philadelphia Regional Port Authority, and Norfolk Southern
Federal Agencies: FHWA
Project Status: Included in FY 2005-2008 TIP
Project Description: Every two to three years, DVRPC sets a specific amount of CMAQ funds within its Transportation Improvement Program (TIP) to fund projects through a competitive program. Projects may be submitted by any public agency or public-private partnership. On the last round of competitive CMAQ projects, DVRPC selected a total of 24 projects, of which 5 are freight projects.
- Coatesville Transload/Intermodal Facility – This project consists of the development of a new regional transload/intermodal facility that will allow use by bulk commodity shippers and receivers, and enable commercial shipments to be accommodated by rail instead of long-haul truck service. The project includes the rebuilding of track, installing ties, and one switch, among other activities. The total cost of the project is $395,500.
- Philadelphia Food Distribution Center Cross-Dock Facility – This project consists of the construction of a railroad boxcar-to-truck transfer terminal for transloading frozen/refrigerated food in the Philadelphia Food Distribution Center. The air quality goal is to eliminate long-distance truck trips from Interstate highways and local streets by converting trips to boxcars. The total project cost is $843,000.
- New Rail line track to Former Philadelphia Navy Yard – The project includes rebuilding 2.1 miles of track, and reconstructing and reinstalling lead track into a new intermodal terminal. The air quality goal is to eliminate long-distance truck trips from Interstate highways and local streets by converting trips to boxcars. The project cost is $1.7 million.
- Advanced Travel Center Electrification – This project consists of installation of equipment at selected truck rest stops to provide heat/air conditioning, electric power, phone, Internet, and other amenities, for an hourly fee to drivers so that they may turn off the truck engines while resting. The project cost is $905,750.
- Packer Avenue Marine Terminal Gate Enhancement – This project includes the construction of improvements to modernize the gate structure, and the purchase and installation of software and hardware to automate the gate process at the Packer Avenue Marine Terminal in the Port of Philadelphia. The cost of this project is $525,000.
Funding and Financing Mechanisms: The competitive CMAQ program awarded $2.7 million to the freight projects listed above. Other project funds come from the project sponsors. For instance, the project sponsor for the rail line into the Former Philadelphia Navy Yard is Norfolk Southern railroad. Their share for this project is $546,700.
Funding Source/ |
Amount |
Comments |
|---|---|---|
CMAQ |
$2.7 |
None |
Project Sponsor Share |
$1.7 |
Matching to CMAQ funding |
Source: DVRPC.
Additional Information:
- Delaware Valley Regional Planning Commission – http://www.dvrpc.org/transportation/capital/cmaq.htm
Rhode Island
Freight Rail Improvement Project (FRIP)
Location: Rhode Island
Project Type: Rail construction and vertical clearance
Project Cost: $196 million
Project Sponsors/Partners: Rhode Island DOT and Amtrak
Federal Agencies: FHWA
Project Status: Completed in October 2006
Project Description: The FRIP is a 22-mile project located within Amtrak's Northeast Corridor in Rhode Island. It entails constructing a freight dedicated track along Amtrak's mainline tracks, and linking Quonset/Davisville to the Boston Switch at Central Falls and out to western markets.
As part of the project, several bridges had to be reconstructed or raised to provide additional clearance. Parallel tracks to Amtrak's existing tracks also had to be built to further accommodate freight rail. In northern areas of the corridor, Rhode Island DOT undercut the existing tracks to provide additional vertical clearance from the tracks. This alteration also helped to prevent modifying the existing transportation infrastructure, including a series of bridges in Pawtucket and Central Falls. There was track access for the trains in 2005. Additional work not related to train operations (i.e., landscaping) was completed in 2006.
Funding and Financing Mechanisms: The FRIP is administered by the Amtrak Force Account (work performed by Amtrak forces) as well as Rhode Island DOT construction contracts. Funding for the project is a mix of state and federal funds, including a combined $51 million in planned GARVEE and Motor Fuel bonds. Use of the GARVEE allowed Rhode Island to "reserve," or program, its future annual highway dollars in order to complete this project. The project also received a $6 million congressional earmark that required a 50 percent local match. The local match was provided by the State and private sector through general obligation bonds and private user fees, respectively.
Funding Source/ |
Amount |
Comments |
|---|---|---|
Bonds |
$51.0 |
GARVEE and Motor Fuel bonds |
Congressional Earmark |
$6.0 |
None |
State/Private Sector |
$6.0 |
Matching funds to federal grant |
Source: Rhode Island DOT; FHWA Innovative Finance Quarterly, Fall 2003.
Additional Information:
- Rhode Island Department of Transportation – http://www.dot.state.ri.us
South Carolina
Air Freight Regional Hubbing Facility
Location: Columbia, South Carolina
Project Type: Air-truck cargo facility
Project Cost: $64.3 million
Project Sponsors/Partners: South Carolina DOT, South Carolina Coordinating Council for Economic Development, Central Midlands Regional Planning Council, Richland-Lexington Airport Commission, and United Parcel Service
Federal Agencies: Federal Aviation Administration
Project Status: Completed in 1996
Project Description: This project involved the installation of a southeast regional air freight hubbing facility for United Parcel Service (UPS) at the Columbia Metropolitan Airport. The installation of the facility was initiated with design in September 1994, and construction was completed in July 1996. Freight arrives by truck and plane, is tugged to a sorting facility and sorted, and is then distributed by truck and plane across the southeastern United States and beyond. To accommodate this process, various transportation facilities were constructed. These included: an aircraft parking apron (over 35 acres for 14 DC-8 aircraft), a bridge for trucks and tugs, a vertical depression of SC 302 to separate local traffic from trucks, and a sorting facility (260,000 square feet).
Funding and Financing Mechanisms: Federal, state, local, and private sector funds were committed for the construction of the facility and access elements.
The Federal Aviation Administration provided $21.6 million for the aircraft parking and other airfield improvements.
State and local funds came from the South Carolina DOT, South Carolina Coordinating Council for Economic Development, and Central Midlands Regional Planning Council. These agencies provided $1.2 million for the bridge and vertical depression of SC 302. The Richland-Lexington Airport Commission provide $6.5 million for the entire project (except the sorting facility).
UPS paid for the construction of the sorting facility ($35.0 million).
Funding Source/ |
Amount |
Comments |
|---|---|---|
Federal Aviation Administration |
$21.6 |
Aircraft parking apron and other airfield improvements |
South Carolina DOT |
$0.05 |
Vertical depression of SC 302 |
South Carolina Coordinating Council for Economic Development |
$0.7 |
Bridge and vertical depression of SC 302 |
Central Midlands Regional Planning Council |
$0.5 |
Bridge and vertical depression of SC 302 |
Richland-Lexington Airport Commission |
$6.5 |
Aircraft parking apron, airfield, bridge and vertical depression of SC 302 |
UPS |
$35.0 |
Sorting facility |
Source: FHWA, Freight Planning, https://www.fhwa.dot.gov/freightplanning/index.htm.
Additional Information:
- FHWA, Freight Planning, https://www.fhwa.dot.gov/freightplanning/index.htm
Cooper River Bridge Replacement
Location: Charleston, South Carolina
Project Type: Bridge replacement and highway access to port
Project Cost: $667 million
Project Sponsors/Partners: South Carolina DOT, South Carolina State Ports Authority, and Charleston County
Federal Agencies: FHWA
Project Status: Completed in 2005
Project Description: The Cooper River Bridge was built to replace two obsolete bridges over the Cooper River, providing improved access and capacity between Charleston and Mount Pleasant. The new eight-lane bridge opened to traffic in July 2005, and includes an oceanside pedestrian/bicycle lane. The new bridge also provides increased clearance for vessels accessing the Port of Charleston and has the capacity of handling heavy vehicles. The bridge is an important roadway link to the Port of Charleston.
Funding and Financing Mechanisms: The Cooper River Bridge was financed with a TIFIA loan, and FHWA, state, and local funds. The TIFIA loan provided $215 million; the loan was refinanced in 2004 through the issuance of tax-exempt bonds by the South Carolina Transportation Infrastructure Bank (SCTIB). In addition, $127 million came from FHWA and South Carolina DOT matching funds.
The SCTIB provided a grant of $325 million. Before the repayment of the TIFIA loan, the SCTIB was responsible for the loan payments, estimated at $15 million annually. Funding sources to repay the TIFIA loan included funds from South Carolina DOT, the South Carolina State Ports Authority (SCSPA), and Charleston County.
Funding Source/ |
Amount |
Comments |
|---|---|---|
TIFIA Loan |
$215 |
None |
FHWA Funds (including state match) |
$127 |
None |
SCTIB Grant |
$325 |
None |
Source: NCHRP Report 497 Financing and Improving Land Access to U.S. Intermodal Cargo Hubs, 2003.
Additional Information:
- South Carolina Department of Transportation – http://www.scdot.org
- Cooper River Bridge – http://www.cooperriverbridge.org
- NCHRP Report 497 Financing and Improving Land Access to U.S. Intermodal Cargo Hubs. Available at http://trb.org/publications/nchrp/nchrp_rpt_497.pdf
Tennessee
Travel Center Electrification Units
Location: Petro Travel Center Number 12 on Watt Road just south of the I-40/75 interchange, Knoxville, Tennessee
Project Type: Truck Idle Reduction
Project Cost: $1.3 million
Project Sponsors/Partners: Knox County, Knoxville Regional Transportation Planning Organization, IdleAire Corporation
Federal Agencies: FHWA
Project Status: Completed November 2002
Project Description: The primary goal of the Advanced Travel Center Electrification (ATE) units are to reduce emissions created by idling trucks. Large diesel truck idling contributes significantly to air pollution levels in and around the Watt Road area. IdleAire's Advanced Travel Center Electrification (ATE) units can eliminate truck idling emissions while drivers rest by providing power to the truck cab, temperature control, and other amenities such as Internet. This proposal is to design and construct a demonstration ATE project at the Watt Road Petro Travel Center, consisting of 100 ATE parking spaces. By converting the parking spaces to ATE, IdleAire hopes demonstrate the viability of the technology, judge the acceptability of the technology among truck owners and drivers, and lay a foundation for expanding across Tennessee and the nation as an effective idling alternative. The 100 ATE parking spaces will remove emissions by about 3,753 metric tons annually or 10,283 kilograms per day. The project has a projected useful life of 15 years or longer and is self-supporting after initial funding.
Funding and Financing Mechanisms: Congestion Mitigation and Air Quality (CMAQ) funds contributed $1 million to this project. Knox County acted as the sponsor and provided the funding match of $250,000 which was refunded to the county by IdleAire Corporation.
Funding Source/ |
Amount |
Comments |
|---|---|---|
CMAQ |
$1.0 |
None |
Knox County |
$0.3 |
None |
Source: Knoxville Regional Transportation Planning Organization.
Additional Information:
- Knox County Department of Engineering and Public Works, http://knoxcounty.org/epw/highwaymain.php
- IdleAire Technologies Corporation, http://www.idleaire.com
- Knoxville Regional Transportation Planning Organization, http://www.knoxtrans.org.
Texas
Railroad Crossing Reliability Partnership Program
Location: Dallas-Fort Worth, Texas
Project Type: Rail-highway crossing improvements
Project Cost: $11.74 million (projects selected in 2004); $4.99 million (projects selected in 2005)
Project Sponsors/Partners: North Central Texas Council of Governments, Dallas Area Rapid Transit, Texas DOT, local municipalities in Dallas-Fort Worth region, and Burlington Northern Santa Fe
Federal Agencies: FHWA
Project Status: Program currently under implementation; some projects completed and/or under construction.
Project Description: The goal of the Railroad Crossing Reliability Partnership Program was to improve the safety and/or reliability of at-grade railroad crossings in the Dallas-Forth Worth region. Eligible projects include: crossing elimination, gate improvements, structural barriers, channelization, ITS deployments, improvement to roadway geometry and crossing surfaces, access roads, pedestrian or bicycle facilities, improved signs or warning devices, and other capital expenses necessary to meet the Program goals. The sponsor is the Regional Transportation Council (RTC). A process for project selection was approved in September 2002. Projects were submitted between August and October 2003, and evaluations and project recommendations made by the evaluation committee were approved in August 2004. In 2005, 17 projects to improve rail-highway crossings along the Trinity Railway Express (Dallas-Fort Worth commuter rail) were approved for a total program investment of $5 million. The timeframe for contract letting of the last round of projects is 2006 through 2012.
Funding and Financing Mechanisms: The Program is funded with STP funds. The program requires a 20 percent match. Funding partners include Burlington North Santa Fe Railway, Dallas Area Rapid Transit, local Texas DOT, North Central Texas Council of Governments local municipalities.
Funding Source/ |
Amount |
Comments |
|---|---|---|
STP |
$3.12 |
Fort Worth District |
Local Match |
$0.78 |
Fort Worth District |
STP |
$6.27 |
Dallas District |
Local Match |
$1.57 |
Dallas District |
Source: North Central Texas Council of Governments.
Additional Information:
- North Central Texas Council of Governments – http://www.nctcog.org
Texas Pacifico Rail Line
Location: Forth Worth to Presidio, Texas
Project Type: Railroad acquisition and rehabilitation
Project Cost: $9.5 million for railroad acquisition; initial rehabilitation cost estimated at $21.5 million
Project Sponsors: Texas DOT and Grupo Mexico
Federal Agencies: None
Project Status: Railroad acquired by TxDOT in 2001
Project Description: The South Orient Railroad Company filed for abandonment of the Texas Pacifico Rail Line (formerly known as the South Orient Rail Line) in 1998. The rail line is 400 miles long, running between Forth Worth to the border of Mexico, at Presidio, where it connects to Ferromex railroad in Mexico. TexasDOT purchased the rail line in 2001, acquiring all rights, titles, and interests in the rail line. The rail line was leased and is currently operated by Grupo Mexico.
Funding and Financing Mechanisms: The rail line acquisition cost was $9.5 million. The Texas legislature appropriated $6 million in 1999 to purchase the rail line. The remaining $3.5 million came from a 40-year lease and operating agreement with Grupo Mexico. Initial rehabilitation expenditures have been reported at $21.5 million, shared between Grupo Mexico ($15 million) and Texas DOT ($6.5 million).
Funding Source/ |
Amount |
Comments |
|---|---|---|
Texas DOT |
$6.0 |
Texas Legislature appropriation for rail line acquisition |
Grupo Mexico |
$3.5 |
Lease and Operating agreement |
Texas DOT |
$6.5 |
Rehabilitation funding |
Grupo Mexico |
$15.0 |
Rehabilitation funding |
Source: Traffic World, February 14, 2005.
Additional Information:
- Texas Department of Transportation – http://www.dot.state.tx.us/
Virginia–West Virginia–Ohio
Heartland Corridor
Location: Norfolk, Virginia to Columbus, Ohio
Project Type: Vertical clearance, intermodal facilities, and rail relocation
Project Cost: $309 million
Project Sponsors/Partners: Norfolk Southern, Virginia DOT, West Virginia DOT, and Ohio Rail Development Commission
Federal Agencies: FHWA
Project Status: Currently in planning stages; intermodal terminal in Columbus, Ohio currently is under construction (see Rickenbacker Intermodal Facility Construction case study).
Project Description: The Heartland Corridor project includes: 1) providing double-stack clearance between Roanoke, Virginia, through West Virginia to Columbus, Ohio; 2) new or expanded intermodal facilities in three locations along the corridor, and 3) rail relocation of the Western Freeway Rail Corridor in Portsmouth, Virginia. The total project costs are distributed among the elements listed below as follows:
- Heartland Corridor Double-Stack Clearance (including intermodal facility in Prichard, West Virginia) – $169 million;
- Intermodal Terminals in Columbus, Ohio and Roanoke, Virginia – $80 million; and
- Western Freeway Rail Relocation – $60 million.
Funding and Financing Mechanisms: Federal and state funding sources have been identified to fund all the elements of this project. About $11 million of the project cost remain unfunded, related to the Western Freeway rail relocation.
SAFETEA-LU authorized a total of $143 million for this project, including $95 million for the double-stack clearance work, $15 million for the rail relocation, and $33 million for the intermodal facilities.
Virginia has approved a $22.4 million grant through the Rail Enhancement Fund to pay for the Virginia components of the Heartland Corridor (double-stack clearance and Roanoke intermodal facility). The Rail Enhancement Fund grant requires a 30 percent match, which is expected to come from Norfolk Southern. The Ohio Rail Development Commission (ORDC) recently approved (April 2006) $836,355 to pay for the double-stack clearance work in Ohio, with matching funds (10 percent) from Norfolk Southern. Norfolk Southern has committed $44.4 million to the double-stack clearance and $5.4 million for the Roanoke intermodal facility.
For the Western Freeway rail relocation projects, $25.8 million will be provided from the Rail Enhancement Fund, $5.0 million from the Governor's Transportation Funds, and $3.75 million from the state to match the SAFETEA-LU earmark. The Rail Enhancement Fund grant requires a 30 percent match that would complete the unfunded costs of this project.
Funding Source/ |
Amount |
Comments |
|---|---|---|
Projects of National and Regional Significance |
$90.0 |
For double-stack clearance work |
Projects of National and Regional Significance |
$15.0 |
For Western Freeway Rail Relocation |
High-Priority Projects |
$5.0 |
For Roanoke intermodal facility |
Virginia Rail Enhancement Fund |
$48.2 |
For double-stack clearance (Virginia), Roanoke intermodal facility, and Western Freeway Rail Relocation |
Governor's Transportation Funds |
$5.0 |
For Western Freeway Rail Relocation |
Virginia Match to Federal Funds |
$3.7 |
For Western Freeway Rail Relocation |
ORDC grant |
$0.8 |
For double-stack clearance work |
Norfolk Southern |
$49.8 |
Includes matching funds for Virginia Rail Enhancement Fund and ORDC grants (double-stack clearance and Roanoke intermodal facility) |
Sources: FHWA, SAFETEA-LU Legislation, available at https://www.fhwa.dot.gov/safetealu/index.htm, and
Public Private Partnership Case Studies, https://www.fhwa.dot.gov/ppp/case_studies.htm;
Virginia Department of Rail and Public Transportation, http://www.drpt.state.va.us/projects/current/rail-fund.aspx;
Ohio Rail Development Commission, http://www.dot.state.oh.us/OHIORAIL/.
Note: The table includes only committed funds and matching funds for Virginia and Ohio grants.
Funding for the Rickenbacker Intermodal Facility are excluded.
Additional Information:
- Virginia Department of Rail and Public Transportation – http://www.drpt.state.va.us
- Ohio Rail Development Commission – http://www.dot.state.oh.us/OHIORAIL/
Washington
Freight Action Strategy (FAST) Corridor
Location: Puget Sound Region; Everett-Seattle-Tacoma, Washington
Project Type: Highway and rail port access, highway improvements, and rail capacity
Project Cost: Phase I – $545.6 million; Phase II – $318.2 million
Project Sponsors/Partners: Puget Sound Regional Council, Washington State DOT, Ports of Everett, Seattle and Tacoma, Transportation Improvement Board, Freight Mobility Strategy Investment Board, local governments, Union Pacific, and Burlington Northern Santa Fe.
Federal Agencies: FHWA
Project Status: Eight projects completed; remaining projects under design or construction
Project Description: The FAST Corridor Program started in 1996, and consists of several freight-related investments to address future increases of freight traffic at the ports in the Puget Sound region due to projected increases in imported goods (mainly from Asia), and needed improvements on east-west access from the ports to outside of the region. FAST Corridor improvements were needed to ensure that ports in the Puget Sound region remain competitive with other ports on the United States West and East coasts, and Vancouver, Canada.
Phase I of the FAST Corridor program included 15 projects, of which eight have been completed, and the remaining are under design or construction. Funding for Phase I already has been identified and committed. Phase II consists of 10 projects, which focus mainly on truck mobility improvements. FAST Corridor partners are still in the process of obtaining funds for remaining projects.
Funding and Financing Mechanisms: Federal funding for the FAST Corridor Phase I has been provided through several grant and discretionary programs, earmarks, STP and NHS. The Federal Government has provided $190.9 million for Phase I and $88.5 million for Phase II.
Burlington Northern Santa Fe and Union Pacific have provided $19.8 million for the Phase I project. The railroads agreed to provide 5 percent of the cost of grade separation projects. For Phase II, the railroads are expected to contribute about $3.4 million to fund four rail-related projects.
State funding includes funds from the Washington DOT, the Transportation Improvement Board, and the Freight Mobility Strategy Investment Board. Local governments and the ports also have provided funding for the FAST program.
Phase I
Funding Source/ |
Amount |
Comments |
|---|---|---|
ISTEA Earmarks |
$13.5 |
None |
STP and NHS |
$63.8 |
None |
TEA-21 High-Priority Projects |
$44.0 |
None |
TEA-21 Demonstration (Section 378) |
$22.0 |
None |
TEA-21 FAST earmarks |
$2.0 |
None |
TEA-21 National Corridors and Borders (Sections 1118/1119) |
$33.5 |
None |
SAFETEA-LU |
$3.5 |
None |
Anticipated federal funds |
$8.7 |
None |
Washington DOT |
$29.3 |
None |
Transportation Improvement Board |
$49.3 |
None |
Freight Mobility Strategy Investment Board |
$92.6 |
None |
Ports |
$36.6 |
None |
Railroads |
$19.8 |
None |
Local/Other |
$67.3 |
None |
Unknown Funds |
$59.7 |
None |
Source: FAST Project Funding Matrix (Updated: September 2005), provided by Puget Sound Regional Council (PSRC).
Phase II
Funding Source/ |
Amount |
Comments |
|---|---|---|
ISTEA |
$10.9 |
None |
STP and NHS |
$7.1 |
None |
TEA-21 FAST earmarks |
$44.7 |
None |
TEA-21 National Corridors and Borders (Sections 1118/1119) |
$6.2 |
None |
SAFETEA-LU |
$3.9 |
None |
Anticipated federal funds |
$15.9 |
None |
Transportation Investment Board |
$29.3 |
None |
Freight Mobility Strategy Investment Board |
$41.2 |
None |
2003 Nickel Package (Washington DOT) |
$46.0 |
Funded by an increase of five cents per gallon of gas. Program includes 158 projects and a total investment of $3.9 billion over 10 years. |
Ports |
$9.1 |
None |
Railroads |
$3.4 |
None |
Local/Other |
$49.6 |
None |
Unknown Funds |
$51.0 |
None |
Source: FAST Project Funding Matrix (Updated: September 2005), provided by PSRC.
Additional Information:
- FAST Corridor – http://www.psrc.org/projects/freight/index.htm
Hyundai Terminal at Port of Tacoma
Location: Port of Tacoma, Washington
Project Type: Port terminal and lifting equipment
Project Cost: $101 million
Project Sponsors/Partners: Port of Tacoma and Hyundai Corporation
Federal Agencies: None
Project Status: Completed in 1999
Project Description: Port of Tacoma Hyundai terminal construction and equipment purchase.
Funding and Financing Mechanisms: The Port of Tacoma partnered with the Hyundai Corporation to build the Hyundai Terminal, a $101 million 50-acre facility. The Port provided $56 million for new terminal construction and a new pier. The Port of Tacoma issued $40 million in tax-exempt private activity bonds, which are repaid through lease income and container handling fees. Hyundai Corporation contributed $45 million for four new cranes and other lifting equipment in return for a leasehold interest in the new terminal. In 2000, the Port of Tacoma initiated the expansion of the original facility to increase the terminal size to 100 acres. To date, the terminal has been expanded to 80 acres, with plans to add the final 20 acres by 2006.
Funding Source/ |
Amount |
Comments |
|---|---|---|
Port of Tacoma – Private Activity Bonds |
$40.0 |
Repaid with lease income and container handling fees |
Port of Tacoma |
$16.0 |
None |
Hyundai Corporation |
$45.0 |
For cranes and cargo handling equipment |
Source: University of Washington, Multimodal and Intermodal Infrastructure Development in Washington State. Written by Balwani, Seema Kimberly Berry, Angela Leung, Joseph Llobrera, Evan Matthews, and Lisa Voight. May 2001.
Additional Information:
- Port of Tacoma – http://www.portoftacoma.com
Port of Tacoma Overpass Construction
Location: Port of Tacoma, Washington
Project Type: Highway crossing separation, port access, and rail construction
Project Cost: $30.8 million
Project Sponsors/Partners: Port of Tacoma, Washington DOT, and Burlington Northern Santa Fe
Federal Agencies: FHWA
Project Status: Completed in 2001
Project Description: The Port of Tacoma Overpass project, the first project from the FAST Corridor program to be implemented, was completed in August 2001. The project consisted of the construction of an overpass (to eliminate the intersection of the Port of Tacoma Road and SR-509) and construction of a new interchange connecting both roadways. The project also provided additional rail capacity with the construction of "arrival and departure" tracks.
Funding and Financing Mechanisms: Funding for this project included federal, state, port, and railroad sources. Federal funds for the project totaled $24.3 million and included STP, High-Priority Project, and Borders and Corridors funds. Washington DOT provided approximately $2 million, and Burlington Northern Santa Fe contributed with $1.1 million. The remaining funding was provided by the Port of Tacoma.
Funding Source/ |
Amount |
Comments |
|---|---|---|
STP |
$15.4 |
None |
TEA-21 High-Priority Projects |
$4.5 |
None |
TEA-21 National Corridors and Borders (Sections 1118/1119) |
$4.4 |
None |
Washington DOT |
$1.9 |
None |
Port of Tacoma |
$3.5 |
None |
Burlington Northern Santa Fe |
$1.1 |
None |
Source: FAST Project Funding Matrix (Updated: September 2005), provided by PSRC.
Additional Information:
- Port of Tacoma – http://www.portoftacoma.com
- FAST Corridor – http://www.psrc.org/projects/freight/index.htm
Wisconsin
Didion Milling Project and Rail Line Improvements
Location: Horicon-Cambria, Wisconsin
Project Type: Rail loading/unloading facilities and rail rehabilitation
Project Cost: $3.87 million for Didion Milling facilities and rail connections; $4.85 million for Horicon to Cambria rail line rehabilitation
Project Sponsors/Partners: Wisconsin DOT, Didion Milling, and Wisconsin & Southern Railroad Company
Federal Agencies: None
Project Status: Not applicable
Project Description: The Didion Milling project consisted of the construction of a food packaging/processing facility in Cambria, Wisconsin. The Wisconsin DOT provided two loans for the construction of a rail-related storage and loading/unloading facility, and spur track connecting to the rail line from Cambria to Horicon.
The Horicon-Cambria rail line, owned by Wisconsin DOT and the East Wisconsin Counties Railroad Consortium, and rail service is provided by the Wisconsin & Southern Railroad Company (WSOR). The rail line was in need of substantial upgrading to ensure long-term service to the Cambria milling facility. The rail line rehabilitation project included replacement of cross-ties and switches, rail tracks, new ballast, and the reconstruction of 31 road crossings. In addition, a classification yard was constructed in Horicon to serve the northern division of the Wisconsin & Southern Railroad System.
Funding and Financing Mechanisms: The Didion Milling projects were funded through loans provided by Wisconsin DOT, totally $3.87 million. The rail rehabilitation work was funded with a loan and a grant from Wisconsin DOT, with matching funds provided by WSOR. The loans were provided through the Freight Rail Infrastructure Program (FRIIP), which provides loans to local governments, railroads, and private industries for railroad projects and repaid by revenues generated by Didion Milling and WSOR respectively. The grants were provided through the Freight Railroad Preservation Program (FRPP), which provides funding to local governments, railroads, and private industries for rail preservation, rehabilitation on publicly owned rail lines, and for purchasing abandoned rail lines.
Funding Source/ |
Amount |
Comments |
|---|---|---|
Wisconsin DOT – FRIIP Loan |
$2.21 |
1999 loan to Didion Milling; for rail-related storage and loading/unloading facilities |
Wisconsin DOT – FRIIP Loan |
$1.66 |
2003 loan to Didion Milling; for spur track and rail-related infrastructure at soybean processing facility |
Wisconsin DOT – FRIIP Loan |
$1.07 |
2001 and 2002 loans to WSOR for rail line rehabilitation |
Wisconsin DOT – FRPP Grant |
$3.03 |
2001 and 2002 grants to WSOR for rail line rehabilitation |
WSOR/East Wisconsin Counties Railroad Consortium |
$0.76 |
Rail line rehabilitation |
Source: Wisconsin Department of Transportation, http://www.dot.wisconsin.gov/localgov/aid/railprojects.htm.
Additional Information:
- Wisconsin Department of Transportation – http://www.dot.wisconsin.gov
- AASHTO, 2005 Freight Transportation Achievers – http://freight.transportation.org/freight_awards.html
Port of Superior General Mills S/X Elevator Project
Location: Superior, Wisconsin
Project Type: Dock reconstruction
Project Cost: $1.4 million
Project Sponsors/Partners: Wisconsin DOT, City of Superior, and General Mills
Federal Agencies: None
Project Status: Not applicable
Project Description: The S/X Facility is a large grain-handling facility currently leased by General Mills from Burlington Northern Santa Fe. Access to the facility is through vessel, truck, and rail. According to Wisconsin DOT, the facility's primary transfer operation is rail to vessel. The existing dock was in need for extensive repair after the collision of two vessels, and many years of exposure to the elements.
Funding and Financing Mechanisms: Wisconsin DOT awarded a $1.1 million grant through the Harbor Assistance Grant Program for the dock restoration. The City of Superior assisted with the grant request. General Mills will provide matching funds (20 percent) to this grant.
Funding Source/ |
Amount |
Comments |
|---|---|---|
Wisconsin DOT – Harbor Assistance Program Grant |
$1.1 |
None |
General Mills |
$0.3 |
Matching funds to Wisconsin DOT grant |
Source: Wisconsin Department of Transportation.
Additional Information:
- Wisconsin Department of Transportation – http://www.dot.wisconsin.gov
- AASHTO, 2005 Freight Transportation Achievers – http://freight.transportation.org/freight_awards.html
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