Vermont State Rail Plan Status Update July 16, 2014 1:00 PM - PowerPoint PPT Presentation

Vermont State Rail Plan Status Update July 16, 2014 – 1:00 PM Vermont Rail Advisory Council VTrans Headquarters, Montpelier 1

Vermont State Rail Plan Agenda • Introductions • Rail Plan Goals and Objectives • Progress Since 2006 Plan • Rail Ownership • Project Prioritization 2

Vermont State Rail Plan Agenda • Introductions • Rail Plan Goals and Objectives • Progress Since 2006 Plan • Rail Ownership • Project Prioritization 3

Vermont State Rail Plan Rail Plan Draft Goals and Objectives Goal #1: Maintain the State’s Rail System in a State of Good Repair Objectives Maintain all bridges to the 263,000 lbs. carload standard • Maintain track to appropriate FRA track class • Remove slow orders – priority along passenger rail routes • Upgrade rail to continuously welded rail along passenger routes • Maintain Customer Service Indicators Scores at minimum FRA targets • (see attached) Rehabilitate passenger rail stations • 4

Vermont State Rail Plan Rail Plan Goals and Objectives Goal #2: Expand the Rail System’s Capacity to Accommodate Growth Objectives Objectives Upgrade all bridges to the 286,000 carload standard • Upgrade to 115 lbs rail • Eliminate vertical clearance obstacles • Install platforms at new passenger stations • 5

Vermont State Rail Plan Rail Plan Goals and Objectives Goal #3: Expand the Rail System’s Use Objectives Attract new rail shippers to locate along rail lines • Preserve inactive rail corridors • Implement new intercity passenger rail service along western corridor • (Burlington, Vergennes, Middlebury, Rutland, Manchester, Bennington) and extend Vermonter to Montreal Meet FRA All-Station On-time performance measure standard (FRA • standard is 90% in 1st Quarter FY 2014 - Ethan Allen 82.3%, Vermonter 71%) Increase existing and planned passenger routes to FRA Class 4 Track in • order to increase operating speeds to 79MPH. Comprehensive Energy Plan Objectives A. Quadruple passenger rail trips from 2011 levels, to 400,000 Vermont-based trips by 2030 B. Double the amount of rail freight tonnage in the state from 2011 levels by 2030 6

Vermont State Rail Plan Rail Plan Goals and Objectives Goal #4: Provide a Rail System that is Financially Sustainable Objectives Examine other passenger rail service providers to cut operating • subsidies. Pursue federal grant opportunities. • 7

Vermont State Rail Plan Rail Plan Goals and Objectives Goal #5: Improve Intermodal Connectivity Objective Integrate rail stations with local and intercity bus transportation • Goal #6: Improve the Rail System to Support Economic Development Objective Coordination among rail and economic development officials • Goal #7: Enhance Safety of the Rail System Objectives Reduce rail-highway grade crossing collisions • Disaster planning with local, state, federal authorities • 8

Vermont State Rail Plan Agenda • Introductions • Rail Plan Goals • Progress Since 2006 Plan • Rail Ownership • Project Prioritization 9

Vermont State Rail Plan 2006 Rail Plan System Initiatives 10

Vermont State Rail Plan 2006 Rail Plan System Initiatives 11

Vermont State Rail Plan 2006 Rail Plan Performance Measures Performance 2006 Target Current Conditions Measure Conditions Freight rail volumes 9.7 million tons 10 million tons, then 2% annually 6.7 million tons System Effectiveness 64,647 ons and offs at Vermont 8% annual increase Passenger rail trips in VT 3% annual increase stations (100,829 in 2013) Approximately 128 state owned Increase annually bridges meeting line 3.3% annual increase Bridge Ratings bridges need improvement for 263K requirements by 3% (30 of 128 bridges) cars Performance Category System Number of miles that do not comply with Current track conditions consistent Maintain track conditions consistent Difficult to quantify Condition VT Track classification with track class with track class. 6.4 annually (45 VTrans has priority rating for crossing Average grade crossing ratings Improve 3 or more crossings annually crossings) improvements NECR Yes, GMRC No Number of railcar loading restrictions on Eliminate 1 st priority restrictions 1 st Priority Routes – 21 restrictions priority Routes within 5 years NECR Yes, GMRC Yes Number of clearance constraints in Eliminate 1 st priority constraints within 1 st Priority Routes - 6 constraints priority Routes 5 years System Initiatives No Number of transload facilities that meet Support improvements of intermodal Approximately 12 operational/business needs and transload facilities Number of railcars originated & 9,420 carloads orig. 10,000 carloads orig. 7,500 carloads orig. terminated in Vermont 16,040 carloads term. 17,000 carloads term. 23,600 carloads term. 12

Vermont State Rail Plan 2006 Rail Plan Performance Measures Vermont Actual and Target Rail Tons by Year 12,000,000 10,000,000 8,000,000 Actual 6,000,000 Target 4,000,000 2,000,000 0 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 13

Vermont State Rail Plan Discretionary Federal Rail Grants Awarded to VTrans Program Year Railroad Project Description Federal State Railroad Total High Speed & Intercity 2009 New England Central Rehabilitating track between $50,000,000 $0 $19,962,000 $69,962,000 Passenger Rail Railroad St. Albans and Vernon on Vermonter route High Speed & Intercity 2010 New England Central Continuing rehabilitation of $2,722,258 $0 $0 $2,722,258 Passenger Rail Railroad track between St. Albans and Vernon on Vermonter route Rail Highway Crossing 2011 New England Central Installing active protection at $2,248,687 $0 $840,284 $3,088,971 Hazard Elimination Railroad 15 unprotected crossings on Vermonter route TIGER IV 2012 New England Central Upgrading track between St. $7,912,054 $0 $3,348,022 $11,260,076 Railroad Albans and the Canadian border TIGER V 2013 Vermont Railway Replacing approximately 9 $8,992,007 $2,000,000 $200,000 $11,192,007 (Western Corridor) miles of outdated track Grand Total $98,225,312 14

Vermont State Rail Plan Agenda • Introductions • Rail Plan Goals • Progress Since 2006 Plan • Rail Ownership • Project Prioritization 15

Vermont State Rail Plan Rail Ownership 16

Vermont State Rail Plan Rail Ownership Issues to Consider Commercial viability • Financial impact • – Amount of federal funding already invested and what percentage might require repayment – Revenue to be gained by the State of Vermont from asset sale (relates to commercial viability) Operational and service impacts • – On the rail operator – On the level and quality of rail service (passenger and rail) – Access to required equipment and facilities Competition • – Initial: market for these lines (related to commercial viability) – Ongoing: enhancing (or limiting) competition among private railroads? Legal obligations/requirements • – State’s obligations to the current operator – Operator’s obligations to the State of Vermont 17

Vermont State Rail Plan Rail Ownership Pros and Cons of State Ownership Advantages Disadvantages • State can manage rail assets • Ties up public investment for the public good in line and funding with stated goals • Significant operating and • Allows the preservation of capital outlays may be rail corridors that would needed to maintain and otherwise be permanently repair the lines lost • Does not guarantee ongoing • State-owned rail may operations or self- compete better with other sufficiency modes for public funding. • Reduced tax revenues • Simplified liability and tax issues, particularly when initiating passenger service. 18

Vermont State Rail Plan Rail Ownership Comparison with Other States Operator State Responsibility Description Responsibility for of Rail of Maintaining/ Maintaining/ Length of Lease State Line(s) Inspecting Inspecting Inspection Lease Payment Severability Exclusivity Other Ohio “Panhandle” Operator can Responsible State reviews 25 years, $83,333 per Operator can State can line leased to have rent for every 5 years, with 5 month adj. terminate allow Columbus & reduction for maintaining to including year by inflation, with 180 day others to Ohio River recovery from specific FRA customer renewals if >25,000 notice. State use the line Railroad with natural disaster standards. Can satisfaction afterward. carloads per can under 141.5 miles or performing apply to have survey. If quarter, $3 terminate conditions, of mainline periodic (30 lines unsatisfactory, per carload agreement in including and 19.4 year) downgraded. review originating/ case passenger miles of maintenance. becomes terminating, operator is in rail branch lines. annual. If $1.5 per default of operations. unsatisfactory carload agreement. 3 years, overhead. operator considered in default of agreement. 19