Rail line sale is pushed back


Thursday, February 12, 2009 | 18 comment(s)

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Central Oregon & Pacific Railroad and the Oregon International Port of Coos Bay have been at logger heads since the former shut down on the Coos Bay rail line in September 2007.

They have disagreed over how to re-open the line, its value and the federal process for changing ownership. So Wednesday’s announcement on the sale of the line came as somewhat of a surprise.

They agreed on something.

The two sides decided to push back the closing date of the Coos Bay rail line sale to March 13. It is still the same $16.6 million price tag, but now both sides have another three weeks to complete paperwork.

Having come to terms with the railroad company, the port withdrew its petition with the U.S. Surface Transportation Board for an extension to cut a deal with the railroad. For a while, the port wasn’t sure it would have the money to make the deal. That question was laid to rest two weeks ago when the state provided loans to ensure the deal could go through.
Tags » coos bay, corp, port, rail
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Richard wrote on Feb 18, 2009 7:47 PM:

Coos Bay is in a dire and tragic position as a result of allowing out of the area corporations to plunder the natural economy. We will never cut old growth again, it is all cut. The clearcutting of High Site timberlands is a crime and continues the downward trend of the economy. The Port needs the railroad to encourage corporate development for another round of plundering the potential of a beautiful place. Restore the fisheries and tell the LNG developers and chromite miners to go away.

Steve Pickering wrote on Feb 18, 2009 9:23 AM:

Jane ... The Port Commissioners may get paid double this year. ... In fact they are volunteers and get paid nothing. My only problem with them is they are appointed instead of elected. Getting twice as much of nothing for doing three times as much work seems fair to me.

Thomas wrote on Feb 18, 2009 9:00 AM:

There is only one possible commodity which can be shipped out of Coos Bay that will ever make this run down and now unnecessary railroad viable: imported nuclear waste for Yucca Mountain.

Only if the secretive powers-that-be plan that to be our port's future will this wasteful project pencil ......... otherwise it is an inevitable fiasco.

Toothless Cajun wrote on Feb 13, 2009 1:29 PM:

Connect the dots. 2008 Port paid out a very large sum of money to a law firm by the name of Troutman Sanders LLP. They continue to as well.

2009 The second recommendation is to request authorization for the Port staff to retain Troutman Sanders,
to file a motion to reconsider the decision of the Surface Transportation Board for an amount not to
exceed $50,000.00.
Upon a motion by Commissioner McKeown (second by Commissioner Hampel) the Board of
Commissioners approved Port staff filing a motion to reconsider the decision of the Surface
Transportation Board for an amount not to exceed $50,000.00.

Toothless Cajun wrote on Feb 13, 2009 1:18 PM:

Stop editing out my POST! I put up 200 words about the rush the port is in to buy & you are refusing to post it. I will be calling the World if this continues.

Linda wrote on Feb 13, 2009 11:49 AM:

Yeah without out it they won't be able to bring in all the supplies for McDonalds, Burger King, Taco Bell and Subway. Bring it in by the train loads.

Right..... wrote on Feb 13, 2009 11:32 AM:

Both of You r Wrong wrote on Feb 12, 2009 3:33 PM:
Go without that Rail line & You can count on this area never having an ECONOMY.I have lived here My whole life and saw the great paying jobs.Without the rail line We'll never have achance of seeing those jobs again.Go Natural gas. Or. Re.,any other industry!

Yes Bright One, and those industries are all gone and the resources, timber,fish, etc., and they ain't ever coming back, can you possibly understand that?

You want to play 21st century with 19th century tools? Geesh.

Hang on folks... wrote on Feb 13, 2009 11:22 AM:

here we go...the bureaucracy (sp??) begins.....get the hopes up that things are happending and then it will be one problem/delay/issue after another...mark my words!!!

Toothless Cajun wrote on Feb 13, 2009 11:10 AM:

Why the rush? Buying the rail is a good move but not at this price. It can be bought for 6 Million if someone wasn't in such a hurry to buy buy buy. I smell a rat. Someone stands to make a substantial amount of money off of this deal getting done. That is why they are pushing, instead of stepping away, letting it die & coming back with a low ball offer. Last I checked there isn't a line a mile long wanting to buy rails, particularly rails with NO current demand. Commonsense tells you that somebody is getting a sizable nut off of the completion of this deal. Who? Who is processing this? Who is getting paid a nice fee? A percentage based fee no less. Fuzzy math at 16 million a 1% fee is a $160,000. $160,000 for what? Filling out a few pieces of paper? What if it was 3%? That would be nearly half a million dollars. You can't tell me that there is no ulterior motive to getting this done. The one who will benefit is in some way connected to this board. There is no other justification for not reworking this deal.

Does Anyone Read wrote on Feb 13, 2009 9:40 AM:

Yes the Port is buying the Railroad. They will not RUN IT. The intent is to turn the "running of the business of a railroad to a Third Party" There are other businesses out their that specialize in running small short line railroads. Go to the meetings, get out from behind your computers. As for our taxes - for 8 years we have been supporting a trillion dollar war in a country who's culture we have know appreciable knowledge of- in another time we would rioting in the streets.

Jane wrote on Feb 13, 2009 9:36 AM:

Local Yokal,

The ONLY winner on this SCAM is the Port commissioners, because they still will collect their salary check for doing NOTHING, but waste tax payers money on a rail line that Corp couldn't make work due to NO DEMAND out there! It's called supply & demand on any business advanture & this rail line is a black hole & sucking this area & tax payers money dry!!! Pathetic waste of time & tax payers money due to the FACT without tax payer's money this wouldn't even be considered an idea to get into PERIOD!!!!!

Local Yokal wrote on Feb 12, 2009 8:26 PM:

Let's get together, now uh huh! We have a precious lot to save around here, so come on now!! Let's ALL come out winners! Do the right thing!!!

Both of You r Wrong wrote on Feb 12, 2009 3:33 PM:

Go without that Rail line & You can count on this area never having an ECONOMY.I have lived here My whole life and saw the great paying jobs.Without the rail line We'll never have achance of seeing those jobs again.Go Natural gas. Or. Re.,any other industry!

Questioning wrote on Feb 12, 2009 3:22 PM:

How in the world does the Port think they can effectively run a railroad? There are valid and concrete reasons why the railroad company ended service. Does the Port really think that they will be able to do a better job? Seems like a waste of time and money.

Common Sense wrote on Feb 12, 2009 2:12 PM:

1st sign of any kind of sense on this rail line traveling FAST to brokesville, Coosbay! Wait long enough & probably will get it free, because just the maintenance of is more $$$ then you have for a down payment without tax payers continuing to foot the bill...

NO GOOD wrote on Feb 12, 2009 12:57 PM:

ANOTHER WHITE ELEPHANT WITH TAX PAYERS MONEY.

Now Gene wrote on Feb 12, 2009 12:08 PM:

Enough with the negativity, wait I think you are right LOL

Gene wrote on Feb 12, 2009 11:24 AM:

Of course CORP would agree to wait. Who else is in the wings waiting to buy it? Who else would be stupid enough to buy it?


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