MARCH 2008: AROUND THE STATE

RailAmerica wants help

COOS BAY

Central Oregon & Pacific Railroad between Eugene and Coos Bay continue to butt heads with Gov. Ted Kulongoski. Without notice, the company closed the 126-mile line last fall after a safety inspection found rotten beams and dislodged rocks in three tunnels. In a Feb. 4 letter to Kulongoski, RailAmerica vice president Paul Lundberg agreed to pay the estimated $2.9 million to repair the tunnels and reopen the track, but stipulated the fix would be paid for only if the state agrees to fund the remaining $20.4 million in additional maintenance and operating costs to ensure long-term viability of the line. Kulongoski responded in a Feb. 12 letter: “I cannot commit to any partnership until after the lines are reopened.” Meanwhile, wood-product companies on the Oregon Coast have been forced to pay more to truck their materials. And Port of Coos Bay officials are exploring legal strategies to force RailAmerica to either fix the track or sell it, says executive director Jeff Bishop. “This cannot go on indefinitely,” he says. Repeated calls to RailAmerica were not returned.



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