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CPRR
Could someone decipher the Petaluma station part, and the waterfront legal stuff for us non-lawyers?

The Petaluma station property refers to the lot (actually two parts) behind the station and its parking area - the area was most recently used as a staging area for SMART construction in Petaluma (ties, rail, supplies), but it is also a team track of sorts, as lumber has been transloaded there in the last few years. What NCRA/NWP is proposing would be to receive SMART's legal blessing to build a new freight loading/unloading facility on the other side of D St. (adjacent lot) in exchange for dissolving the freight easement behind the station. This would be good for SMART, as the entire parcel is effectively a railroad easement, preventing anyone from building on top.

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CPRR
Also is the spur in the paper referring to the brewery?

This would be a spur into the Sonoma Mountain Village business park on the south end of Rohnert Park (located on the east side of the tracks). The customer who has expressed interest in a spur is Innovative Molding - they would likely receive plastic pellets via covered hoppers and/or ship out product as well.