SAN ANTONIO — Union Pacific Railroad officials attempted Monday to undo the impression that it may be thwarting the area’s chances for a $750 million Toyota assembly plant, the San Antonio Express-News reported.
The Japanese automaker is believed to be considering San Antonio and Marion, Ark., for a sixth North American plant that would produce pickup trucks and sport utility vehicles.
One of Toyota’s site-selection requirements is access to two competing rail lines, with the aim of keeping its shipping costs down. But Union Pacific officials had said last week they weren’t willing to let a competitor use its tracks in south Bexar County.
Monday’s meeting was to tell local officials that the railroad is negotiating directly with Toyota and not hampering efforts to land the plant, said Mario Hernandez, president of the San Antonio Economic Development Foundation.
Hernandez met with Union Pacific officials Monday afternoon. Bexar County Judge Nelson Wolff met separately with Charley Eisele, Union Pacific’s senior vice president of strategic planning and administration, The Omaha, Neb.-based carrier’s local troubles started when Union Pacific spokesman Mark Davis was quoted in an Express-News story Nov. 20 saying, “We built it. Why should we let ’em (use it)?”
Davis’ quote “doesn’t reflect the company’s attitude,” said Kathryn Blackwell, Union Pacific’s general director of corporate communications. “That quote sounded arrogant — it sounded uncooperative.” Still, Union Pacific doesn’t want to open its San Antonio rails to competitors — specifically, Burlington Northern Santa Fe.
Bexar County Commissioners railed against Union Pacific during a session last Wednesday. They also approved the creation of a countywide rail financing district with the power to build new railroad tracks and buy existing tracks, using funds from revenue bonds and state and federal grants.
Wolff said Union Pacific’s talks with Toyota won’t stop the county from pursuing its own rail line.