IIRC, this was the result of a Connect Oregon grant, paid for by state issued bonds.

Both Connect Oregon I & II non-road transportation grants were awarded by recommendation of regional and state committees made up primarily of politicians. These were in effect "earmarked" funds (or pork if you prefer). The larger projects were approved at the state level, the smaller projects at the regional level (at least until the money ran out) according to the various committee's priority list.

There is no doubt that CORP's actions on the Coos Bay and Siskiyou lines upset ODOT and politicians at a high level. The politicians of Roseburg will have to fight hard to convince anyone why they should continue to gift state funds to a company that is reducing transportation services in Oregon versus improving them.

Several other railroads were awarded Connect Oregon funds including UP, BNSF, WURR, COP and others IIRC.