BRANCH COUNTY, MI (WTVB) – The Branch and St. Joseph Counties Rail Users Association will begin the upgrading of nearly 10 miles of railroad right of way next month after completing the upgrade to a bridge last fall.
Coldwater City Manager Keith Baker says in his report for Monday night’s City Council meeting says the $1.25 million project is underway to address the deteriorating condition of the rail line and need to increase the weight capacity of rail cars serving local companies.
The Rail Users Association was awarded a grant from the Rail Division of the Michigan Department of Transportation for 50 percent of the project cost which comes out to $625,000.
In addition, the freight operator, Indiana Northeastern Railroad has pledged $312,500.
The City of Coldwater has approved the remaining $312,500, to maintain freight rail access for local industries.
Baker says these are not general tax dollars and are intended to be used for economic development purposes.
The RUA was created for the purpose of purchasing the old Conrail Railroad line that served the two counties and local industries.
The board of the RUA is currently comprised of representatives from Sekisui Voltek, Panel Processing, Star of the West Milling, the City of Coldwater and Branch County Economic Growth Alliance.
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