Rail talks stalled
By Kathy McCarty
TRAINS CONTINUE TO RUN, hauling various products to and from Aroostook County locations, as talks continue between Montreal, Maine and Atlantic and Maine officials on the future of nearly 240 miles of track between Madawaska and Millinocket. Here, vehicles waited recently for a train to pass at a North Street crossing in Presque Isle.
Little progress has been made in discussions between Maine officials and Montreal, Maine and Atlantic, with regard to about 240 miles of track between Millinocket and Madawaska.
“At this point, things are at a standstill with respect to negotiations. Evidently, something has been brought up in the process that is preventing both sides from moving further,” said Denis Berube, director of planning and transportation services, Northern Maine Development Commission.
According to Berube, the Surface Transportation Board (STB) recently was notified by both sides that they are at an impasse and that although negotiations are still ongoing, “they (STB) should move forward with their efforts at formulating a ruling.”
“If this comes to pass, there’s a good chance neither side will get something workable in terms of an agreeable settlement. As previously noted, the railroad would be offered less money and the state would likely get undesirable rate structures to reach key interchanges,” said Berube, noting, “There’s a strong likelihood that the STB would not observe what’s been negotiated to date, if only because they have to consider the implications their decision may have on future abandonment cases.”
If private negotiations cease, Berube said there will most likely be press releases by both sides to that effect, stating the circumstances and reasons for deferral to the STB.
Rep. Michael “Mike” Willette (D-Presque Isle) said lawmakers had no choice but to get involved in the future of rail in northern Maine.
“ The problem with the rail existed for years, and I feel it was not addressed soon enough. The state leaders back then knew there was a looming problem with the rail and failed to act in a timely manner,” said Willette.
He said officials in Augusta could have come up with a solution that may not have had to involve a state takeover but hindsight is always 20/20.
“We need to deal with the issue at hand now and make sure we have our rail service intact for the future. We have too many businesses that are dependent on the rail, and having the rail service available is part of the formula for making the state of Maine, and most importantly Aroostook County, an appealing place for new businesses to relocate,” said Willette.
State officials have applied for federal funds to further the process, with matching local funds. The money would be used to enhance the rail line, improving service and thus encouraging economic development in the region.
“Two federal TIGER (Transportation Investment Generating Economic Recovery) grant applications were filed Aug. 23 by MDOT — one for $10.5 million in funds to go towards track upgrades and another $275,000 in planning activities. To that, NMDC, Aroostook Partnership for Progress (APP) and Leaders Encouraging Aroostook Development (LEAD) have pledged a further $125,000 in matching funds for a total project of $400,000 over two years,” said Berube.
“Keep in mind also that Sen. Susan Collins is working on a $3 million appropriation in extra upgrade funds for this line,” continued Berube.
Berube said the plan is for the tracks to be brought up to 40 mph on the main line and 25 mph on the lines to Houlton and Presque Isle/Caribou before the snow flies in 2011.
“This would, in effect, eliminate all 5-10 mph slow orders that have been accumulating and crippling this thing over the years,” Berube said.
The planning project would span two years and focus activities toward the retention, development and expansion of rail-related business in northern Maine.
“Both these efforts are dependent on appropriate conditions being in place to assure the long-term viability of the line and relate directly to terms sought by the state. Needless to say, without a deal on the tracks, these applications will have to be withdrawn because the state has to own the tracks to be able to fix them up,” said Berube.
As of Aug. 26, Berube said the “state and railroad are still talking over what’s currently described as a ‘sticking point.’”
Berube said Sen. Olympia Snowe had sent a “strong letter of support” for the TIGER II grant applications for this line.
In her letter, Snowe explained why the TIGER grant was so important to Aroostook County.
“Undeniably, an effective rail transportation system in northern Maine is crucial, not only for the companies and communities along the 241 miles of the rail corridor, but for the state’s overall economic vitality and health. In recognition of this fact, the MeDOT has proposed the Aroostook County Railroad Preservation and Rehabilitation Project to restore the line to a state of good repair and to increase system reliability, speed and capacity,” wrote Snowe.
Snowe continued, “To underscore its importance, the state of Maine has committed to match the grant funds with over $19 million. Also, in a show of support, Maine voters, in a referendum election in June, passed a $7 million bond to assist in the overall effort to preserve the rail line.”
Snowe said these transportation infrastructure projects “are absolutely crucial pieces of Maine’s economic recovery and, absent this much-needed federal funding, will not be feasible in the short-term given the constraints on the state budget”
“This is of foremost concern to me as, according to estimates from economic development officials in Aroostook County, more than 1,700 jobs would be immediately imperiled if the rail line were to cease functioning,” Snowe continued.
Snowe said given the current economic situation and the high rate of unemployment, funding was of utmost importance to the economic sustainability of the region.
“At a time when national unemployment continues to hover near 10 percent, and with Aroostook County having experienced levels as high as 15.2 percent during the economic downturn, it is imperative that we retain and preserve the vital infrastructure that helps foster job creation and retention,” said Snowe. “It is will this in mind that I lend my unqualified support to these requests.”
Officials are uncertain when an agreement may be reached.
“I’ve been asked for my opinion on ‘how much longer’ on this, and so far I figure it’s a good thing I never got into weather forecasting. It’s been speculated that a ruling might not come down on this for another two to three weeks from the STB. No indication has been given by them on a date for that to happen. I’d say it’s going to be day-to-day until that’s to come around. The issue they have at hand on awarding trackage rights outside the abandonment bounds is a big one,” said Berube.
Attempts to reach MMA officials for comment were unsuccessful at press time.
