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MINUTES OF THE OHIO RAIL DEVELOPMENT COMMISSION
REGULAR BIMONTHLY MEETING
SEPTEMBER 29, 2005
CALL TO ORDER AND ROLL CALL
Chairman James E. Betts called
the meeting of the Ohio Rail Development Commission (ORDC) to order at 10:12 a.m. on September 29, 2005.
The meeting was held on the 3RD floor of the Vern
Riffe Center
in Columbus. Commissioners in attendance were as
follows: Chairman James Betts, Howard
Wood, Solomon Jackson, Eric Neff, Larry Sowers, Herk
Wolfe, Dan Roberts, Tom McOwen, Representative Allan
Sayre and Senator Larry Mumper. Eight voting members were present; two
non-voting members were present.
Members absent
included James Hartung, Representatives Stephen Buehrer and Senator Robert Hagan.
APPROVAL OF THE MINUTES OF THE MAY MEETING
Chairman Betts asked for a
motion to approve the Minutes of the July
14, 2005 Commission meeting.
Commissioner Sowers moved to approve the Minutes and Commissioner Wolfe
seconded the motion. The Minutes were
approved as presented.
EXECUTIVE DIRECTOR’S REPORT
Executive Director James E. Seney presented his Executive Director’s report to the
commissioners. Director Seney spoke about the letter received from CSX indicating
its support of the Ohio Hub plan. ORDC
has met with CSX and Norfolk Southern and both Class I’s
have indicated their support in moving the Ohio Hub plan forward into the next
phase; Tier I. Regarding safety,
Director Seney indicated it is time to review the
procedures for surface reconstruction.
He feels that ORDC needs to become more “performance-oriented” versus
“procedure-oriented.” Director Seney indicated that a review of the process, which
includes the railroads, should assist in removing as many impediments as
possible to better serve our customers while protecting
the money/investment.
FINANCE REPORT
Secretary-Treasurer Matthew
Dietrich presented his Finance Report to the Commissioners (page five of the
Commission packet). Mr. Dietrich
reported that the Economic Impact Study for the Ohio Hub project will be going
before the State Controlling Board on October
17, 2005. ORDC’s commitment is $69,640 for the study. This amount includes the required 20 percent
match.
Mr. Dietrich noted a correction
was necessary to his Finance report. The
total amount of ORDC funds available for projects in fiscal year 2006 is
$2,946,402; not $3,056,042 as indicated in the report.
Mr. Dietrich reported that ORDC has hired Mr. Tom Zeinz under a personal service contract to assist with
track inspections while ORDC continues to train staff to ensure field
inspections continue due to the retirement of Mr. Dave Reid last winter. Mr. Zeinz is a
former Illinois Central/Canadian National employee with extensive railroad
engineering experience. Hiring Mr. Zeinz should address the concerns of the Commissioners
expressed earlier in the year. ORDC
staff members Lou Jannazo, Tim Perkins and Mike Forte
have already completed the BNSF FRA track inspection training. Mr. Dietrich reported that additional safety
staff members are scheduled to attend training as well.
ACKNOWLEDGMENT OF
LYNDA NELSON
Chairman Betts took a moment to acknowledge Lynda Nelson for
her 25 years of service with ODOT and thanked her for her tremendous help with
the Commission. Chairman Betts spoke on
her accomplishments during her tenure with the state; specifically her most
recent professional designation as a Certified Meeting Professional. Chairman Betts wished her luck as she
ventures into retirement with the state but starts her own events and tours company.
Note: Chairman Betts deviated slightly from the agenda in
order to accommodate some Commission members’ schedules.
OLD BUSINESS
Panhandle Rail Line -
Commission Action
Chairman Betts asked any Commissioner who might want to
comment on the issue of the potential sale of the Panhandle Rail Line to do
so. Commissioner McOwen
commented on the potential sale of the Panhandle Rail Line in the context of
public investment in rail infrastructure in general. Commissioner McOwen
indicated that railroads are the most cost-efficient mode of freight
transportation and it is his feeling that the State of Ohio (ORDC) should “ride
out” the lease on the Panhandle Rail Line and not consider and sale at this
time. Chairman Betts reported that it is
his feeling that many of the Commissioners are uncomfortable with the idea of
selling off the asset and that he feels a motion to “indefinitely postpone any
consideration of the divestiture of any interest in the Panhandle Rail Line” is
in order. Clarification by Chairman
Betts was given as to “indefinitely” meaning no pre-disposed amount of time
being given before this issue comes before the Commission again; i.e., “it
could be 100 days or 100 years.”
Commissioner McOwen moved to approve the
motion and Commissioner Sowers seconded the motion. A short discussion followed with Commissioner
Roberts inquiring about the amount of staff time already spent on the Panhandle
project and the amount of work that will be lost if the Commission considers
this issue at a later date. Director Seney indicated that nothing will be lost with this
decision. ORDC may need to update some
appraisals and possibly some other information but that the efforts of the
Commission were not in vain. Roll call was taken and the Commission voted with eight
votes in the affirmative; one absent.
PROJECT
CSX TRAC
Application sponsorship by ORDC (Resolution 05-07)
Matt Dietrich reported on ORDC’s
sponsorship of the CSX Transportation Review and Advisory Council (TRAC)
application. This briefing can be found
on page nine of the packet. CSX requests
that ORDC formally agree to sponsor the railroad for rail improvements in
central Ohio which will assist in
the establishment of a new intermodal yard in Columbus. The company is requesting $16 million in transportation
funds for a $33.9 million project. Mr.
Dietrich reported that two phases are identified in the application: Phase 1A -
Constructing 3.3 miles of mainline track with signals around Parsons Yard and
constructing SE quadrant correction at Marion which will allow an eastbound
train to turn south; and Phase 1B - Columbus-Ridgeway - new siding at Hoover,
Ohio which will allow meeting and passing trains on the Scottslawn
subdivision and Ridgeway, Ohio - to construct a left-hand power crossover between
No. 1 & 2 main tracks on the Mount Victory Subdivision to facilitate
movements to and from the Scottslawn
Subdivision. Mr. Dietrich reported that
the original application was to improve the rail freight infrastructure network
in central Ohio to expand intermodal
access and provide capacity for the Columbus
line that would enable COTA’s North Corridor Light
Rail Transit project to progress.
However, ODOT found the application to be deficient in three areas:
Project Nomination and Sponsorship; Public Benefit and Project Funds and
Eligibility. ORDC’s
role as public sponsor is to work with CSX to develop an acceptable
rail-focused transportation project suitable for consideration by TRAC. Discussion followed with several
Commissioners requesting clarification of the project and the timing of the
funding. Mr. Steve Davis and Mr. Scott Movshin of CSX were present to address any questions. Mr. Davis thanked the Commission for its
efforts to assist with this important project.
Mr. Dietrich then indicated that the final application should be ready
to submit to TRAC for consideration and approval in April of next year. Chairman Betts asked for a motion to approve
Resolution 05-07. Commissioner McOwen moved to approve the resolution and Commissioner
Wolfe seconded. Roll call was taken with
eight votes in the affirmative; one absent.
Resolution 05-07 is adopted.
APPROVED PROJECT
BRIEFING
Whirlpool
Corporation
Bev Lee reported on Whirlpool
Corporation’s request for a $75,000 grant to assist with the costs associated
with the construction of a new rail spur in Clyde,
Ohio.
Ms. Lee reported that Whirlpool is the eighth largest manufacturing
employer in Ohio. The new spur will enable Whirlpool to include
the Clyde facility in its rail transportation
distribution network which will assist in increasing productivity while
decreasing transportation costs to the company.
This project will generate 1000 cars annually and will retain over 3000
jobs in Clyde.
Senator Mumper spoke on Whirlpool’s commitment
to Ohio and the large investment
the company has made in the state over the years.
NEW BUSINESS
None.
PUBLIC COMMENT
Mr. Standish Fortin requested a copy of the meeting
packet. He was given a copy.
ADJOURNMENT
Chairman
Betts adjourned the meeting at 11:17 a.m.