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RAIL EMPLOYMENT & NOTICES



Rail News Home Rail Industry Trends

1/3/2006



Rail News: Rail Industry Trends

STB arm releases final environmental analysis of DM&E's Powder River Basin project


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The Surface Transportation Board is one step closer to issuing a final decision on the environmental impacts of the Dakota, Minnesota & Eastern Railroad Corp.’s (DM&E) proposed Powder River Basin (PRB) line. Last week, the board’s Section of Environmental Analysis released a Final Supplemental Environmental Impact Statement (SEIS) on the $1.4 billion project.

Now, the STB must wait at least 30 days after the U.S. Environmental Protection Agency publishes a notice of availability on the SEIS before issuing a final decision.

The SEIS analyzes issues raised by project opponents in a federal court proceeding — conducted after the STB issued a draft SEIS in April 2005 — such as the impacts of train horn noise, vibration and increased air emissions.

The DM&E is seeking a $2.5 billion loan through the Federal Railroad Administration’s Railroad Rehabilitation and Improvement Financing (RRIF) program to help fund the PRB project and other trackwork. The railroad plans to build a 262.3-mile extension into the basin and upgrade 600 miles of other potential coal-hauling lines; upgrade 280 track miles on 1,400-mile sister road the Iowa, Chicago & Eastern Railroad Corp.; and rehabilitate 150 track miles between Wall, S.D., and Colony, Wyo.

After the STB completes its environmental review, the FRA is expected to issue a decision on the DM&E’s RRIF application during the second quarter. Construction on the three-year PRB project could begin in late 2006 or early 2007.