(The Associated Press circulated the following on August 17.)
COOS BAY, Ore. — The Port of Coos Bay soon may own a 111-mile railroad. Trouble is, it has no experience in running one.
It applied to the federal government to buy the Coos Bay tracks from Central Oregon & Pacific Railroad, though port staff still are figuring out how to operate it.
Options include partnering with a private company to run the line or hiring staff to do it.
The Port of Tillamook Bay owns a 95-mile line that stretches to the Portland suburbs. Wallowa and Union counties acquired a 63-mile branch for passenger service about six years ago.
The 95-mile track from Tillamook to Schefflin was temporarily closed by debris in tunnels from last winter’s storms.
Who pays for repairs is a question dating to the acquisition of the line from Southern Pacific.
In 1990, the state approved the use of lottery funds to purchase the line for a little less than $3 million. Ken Bell, a port commissioner for the past 23 years, said the funds came from video poker receipts.
The state retained the right of way and gave the track and other improvements to the port.
The port hired staff to operate the railroad and traffic had increased from about 70 cars a month to around 400 by 2006.
Bell credits the purchase of the line with attracting buyers who opened businesses in the area.
“We wouldn’t have had those mills without the port taking over the line,” he said.
Traffic dipped in 2007. The line was shut down last December. Whether the port can afford the needed repairs in a declining timber market is uncertain.
Bradley said the Federal Emergency Management Agency will pay for 75 percent of necessary repairs. The railroad’s future depends in part on who will pay the rest.