Sierra Northern in Santa Cruz?

John Barnhill Dec 4, 2009

  1. John Barnhill

    John Barnhill TrainBoard Member

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    Check out the STB site for this, www.stb.dot.gov
    SERA and UPRR have a lease agreement for the rail line in Santa Cruz.

    NOTICE OF EXEMPTION
    STB Finance Docket No. FD 35331
    SIERRA NORTHERN RAILWAY-LEASE AND OPERATION EXEMPTION-UNION PACIFIC RAILROAD COMPANY
     
  2. Curn

    Curn TrainBoard Member

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    Ive heard rumors that Sierra Northern is planing on moving its dinner train from Oakdale to Santa Cruz. Should make for a much nicer trip if they head north out of Santa Cruz along the coast.
     
  3. John Barnhill

    John Barnhill TrainBoard Member

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    Sierra Northern Railway--Lease and Operation Exemption

    --Union Pacific Railroad Company
    Thu. December 17, 2009; Posted: 08:09 AM

    Dec 17, 2009 (FIND, Inc. via COMTEX) -- UNP | Quote | Chart | News |
    PowerRating -- Sierra Northern Railway (SNR), a Class III rail carrier, has
    filed a verified notice of exemption under 49 CFR 1150.41 to lease and to
    operate, pursuant to a lease agreement with Union Pacific Railroad Company
    (UP), a line of railroad known as the Santa Cruz Branch line located between
    milepost 0.433, at the east boundary of Salinas Road, near Watsonville
    Junction, CA, to milepost 31.39, at the end of UP's line near Davenport, CA,
    including the interconnection with the Santa Cruz and Big Trees Railroad at
    milepost 20.4 at Santa Cruz, CA, and various associated siding and spur
    trackage. The total length of the line is approximately 31.0 miles, and
    there is an additional 3.6 miles of sidings and spurs.

    SNR states that, pursuant to an interchange agreement attached to the lease
    agreement and made a part of this transaction, UP also is granting to SNR
    certain trackage rights over trackage in UP's Watsonville yard as necessary
    for interchange. SNR further states that neither the lease agreement nor the
    interchange agreement contain a provision or agreement that may limit future
    interchange with a third party. See 49 CFR 1150.43(h).

    SNR states that it expects the transaction to be consummated in December
    2009, on or shortly after the effective date of this exemption. The earliest
    this transaction may be consummated is December 31, 2009, the effective date
    of the exemption (30 days after the exemption was filed).

    SNR certifies that its projected annual revenues as a result of the
    transaction will not result in SNR becoming a Class II or Class I rail
    carrier and further certifies that its projected annual revenues will not
    exceed $5 million.

    Pursuant to the Consolidated Appropriations Act, 2008, Public Law 110-161,
    [Section] 193, 121 Stat. 1844 (2007), nothing in this decision authorizes
    the following activities at any solid waste rail transfer facility:
    Collecting, storing, or transferring solid waste outside of its original
    shipping container; or separating or processing solid waste (including
    baling, crushing, compacting, and shredding). The term "solid waste" is
    defined in section 1004 of the Solid Waste Disposal Act, 42 U.S.C. 6903.

    If the verified notice contains false or misleading information, the
    exemption is void ab initio. Petitions to revoke the exemption under 49
    U.S.C. 10502(d) may be filed at any time. The filing of a petition to revoke
    will not automatically stay the transaction. Petitions for stay must be
    filed no later than December 24, 2009 (at least 7 days before the exemption
    becomes effective).

    An original and 10 copies of all pleadings, referring to STB Finance Docket
    No. 35331, must be filed with the Surface Transportation Board, 395 E
    Street, SW., Washington, DC 20423-0001. In addition, a copy of each pleading
    must be served on David Magaw, President, Sierra Northern Railway, 341
    Industrial Way, Woodland, CA 95776.

    Board decisions and notices are available on our Web site at
    http://www.stb.dot.gov.

    Decided: December 14, 2009.

    By the Board, Rachel D. Campbell, Director, Office of Proceedings.

    Kulunie L. Cannon,

    Clearance Clerk.

    [FR Doc. E9-29986 Filed 12-16-09; 8:45 am]

    BILLING CODE 4915-01-P

    Vol. 74, No. 241

    [STB Finance Docket No. 35331]

    Notices
     
  4. YoHo

    YoHo TrainBoard Supporter

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    Hmm, what's the condition of this branch? Does UP run trains on it? Last time I saw it, which was a number of years ago, it looked very much unused with the crossing protections removed and in need of weeding.
     
  5. John Barnhill

    John Barnhill TrainBoard Member

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    NEW RAILROAD COMPANY TO TAKE OVER UP LINE
    By Kurtis Alexander
    Posted: 12/24/2009 01:30:18 AM PST

    SANTA CRUZ -- The Union Pacific Railroad, which has long wanted to end its affairs in Santa Cruz County, plans to hand over freight and maintenance responsibilities on its 32-mile county line to a smaller California-based rail company.

    On Dec. 31, Sierra Northern Railway will assume a lease for the county rail line, a representative of the Woodland-based company said this week. The private business shortly thereafter will begin using its locomotives, instead of Union Pacific's, to haul what limited freight moves on the local line.

    The transfer of operations comes as Omaha-based Union Pacific is in negotiations to sell the coastal rail line between Davenport and Watsonville to the county's transportation agency. Union Pacific officials declined to comment Wednesday on the Sierra Northern lease and how it would affect the sale of the railroad to the county.

    But county transportation leaders, who are looking to build a recreational trail along the tracks as well as continue freight service there, praised the selection of a new rail operator as a step toward removing Union Pacific from the picture.

    "This works well for everybody," said county Supervisor John Leopold, who sits on the county Regional Transportation Commission and has been involved in the county's closed-door negotiations to buy the rail ine.

    Transportation Commission staff said Wednesday the agency hopes to buy the line by March, pushed back from earlier expectations that the rail would be in public ownership by the new year.

    Luis Mendez, deputy director of the Transportation Commission, said Sierra Northern would likely continue to haul freight under county ownership of the line. County transportation leaders do not wish to manage freight operations, though a deal with the new short-line operator has yet to be reached, Mendez said.

    Sierra Northern currently manages freight operations on 133 miles of railroad, almost all of it in California. Its parent company, Sierra Railroad, also runs tourist trains like the Skunk Train in Mendocino County.

    "We've been looking at that line in Santa Cruz for a number of years," said company President Dave Magaw. "There's a lot of sense in doing this freight deal. We're local. We have operations in California. ... Adding a Santa Cruz operation is pretty easy for us to do."

    Unlike Union Pacific, whose business is hauling freight long distances, Sierra Northern specializes in short trips. Though the amount of freight moved on the county line has dwindled in recent years -- now a handful of produce companies in Watsonville and lumber companies in Santa Cruz -- Magaw said he thinks hauling here is still a worthwhile venture.

    "We think there's prospects for other business," he said. "It's possible that the Cemex plant in Davenport will come back on line, too."

    Sierra Northern, under terms of its contract with Union Pacific, will be responsible for moving all freight in Santa Cruz County and passing it off to Union Pacific trains in Watsonville.

    The operator's parent company would also be interested in running tourist trains on the line, Magaw said. Though, he noted, that would be subject to future discussions with the county and Roaring Camp Railroads, a local tourist train operator.

    Magaw also said Wednesday his company was supportive of the county's efforts to build a pedestrian and bicycle trail along the tracks, a proposition that has scared off other railroad companies because of the safety issues.

    "That's something that's very workable along with running the railroad, which is our priority business," he said.
     
  6. John Barnhill

    John Barnhill TrainBoard Member

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    DAVENPORT CA — Cement maker Cemex, once the largest hauler of freight on the
    county's 32-mile Union Pacific railroad, has withdrawn its opposition to a new
    railroad company managing the line.

    In a letter sent to federal regulators this week, attorneys for Cemex ask that
    their petition to halt the lease to Woodland-based Sierra Northern Railway be
    voided. The cement company, which runs the now-closed plant in Davenport, had
    worried that the new rail operator was not sufficiently committed to freight
    service, which the company relies on to ship coal into the county and cement out.

    Cemex officials did not return numerous phone calls from the Sentinel this
    week. But the filing submitted to the federal Surface Transportation Board on
    Monday said Cemex had learned Sierra Northern would miss out on a $100,000 tax
    break if the transfer of management didn't go through; the company didn't want
    to disqualify the new operator from the funds.

    "While there are still many unanswered questions, Cemex does not wish to stand
    in the way of this tax credit," wrote attorney Sandra Brown with Thompson Hine
    LLP. in Washington, D.C.

    Sierra Northern is scheduled to take over the line on Thursday.

    The new operator, nor the Surface Transportation Board could be reached for
    comment Tuesday.

    Sierra Northern President Dave Magaw, though, told the Sentinel last week that
    he had every intention of accommodating freight trains. Magaw said he hopes his
    company will continue to operate the line even if Union Pacific sells it to
    Santa Cruz County's transportation agency, a deal scheduled for later this year.

    Cemex suspended operations at its Davenport plant — and the train service to
    and from the facility — in March because of the weak global demand for cement.
    The company has remained mum about when and if they will reopen the plant.

    Only a couple of freight trains now run on the line each week.
     
  7. John Barnhill

    John Barnhill TrainBoard Member

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    Reports and photos have #48 and crew taking a tour of the line yesterday. Also on Wed it is reported 48 suffered some vandalism. The vandalism was apparently aimed at disabling the prime mover. Just FYI.
     
  8. Nick Lorusso

    Nick Lorusso TrainBoard Member

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    So when is the cement plant going to open back up?
     
    Last edited by a moderator: Jan 3, 2010
  9. John Barnhill

    John Barnhill TrainBoard Member

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    Hey Nick, see all the above news reports. The Sierra Northern has taken over the Santa Cruz line and is using #48 for power.
     
  10. Alan C.

    Alan C. TrainBoard Member

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    Consultant or Manager ?

    I have 36 1/2 years experience working around and on the Santa Cruz branch line in the bridge & building Dept while employed for S.P. and U.P. railroad .
     
  11. John Barnhill

    John Barnhill TrainBoard Member

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    Unsure at this time. Cemex currently isn't comitting to anything just yet.
     
  12. Aptos Station

    Aptos Station E-Mail Bounces

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    Last edited by a moderator: Jan 22, 2010
  13. JDLX

    JDLX TrainBoard Member

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    Nice video...thank you for sharing it...but that isn't on the Coast Line, that is on the Santa Cruz branch.

    Jeff Moore
    Elko, NV
     
  14. John Barnhill

    John Barnhill TrainBoard Member

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    Cemex announces it is shutting its Davenport plant

    By Kurtis Alexander - Santa Cruz Sentinel
    Posted: 01/22/2010 12:25:57 PM PST




    DAVENPORT - Manufacturing giant Cemex announced today that it will permanently shut down its cement plant and quarry on Santa Cruz County's North Coast.
    The factory, which has been in operation for 133 years, had closed temporarily in March due to the weak national economy. Company officials said the plant would reopen when the demand for cement improved, but notice given to employees today indicates otherwise.
    "Unfortunately, market conditions have not improved and the company has made the very difficult decision to permanently shut down operations," wrote Cemex Vice President of Humans Resources John Andrews in a letter to employees.
    The facility employed about 120 people. The plant was by far the biggest employer and social mainstay in the small town of Davenport. "It's like a death. We're feeling it," said Eric Karo, an electrician who had worked at the plant for three years. "We didn't know this was going to happen. There was always talk of it starting up again.
     
  15. OC Engineer JD

    OC Engineer JD Staff Member TrainBoard Supporter

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    Terrible news....in more ways then one. :(
     

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