I was at the SCCRTC Transportation Policy Workshop last Thursday and the discussion followed the agenda made public before the meeting, but I learned more than was in the agenda and what was subsequently published in the Santa Cruz Sentinel.

At the meting it was mentioned that you could go to the AAR site to see that the line past MP 3.3 is now embargoed. This was done on 01-20-2012. What I find interesting is that Felton and Olympia are both called out as Union Pacific stations and they were embargoed on 01-20-2012 along with the Union Pacific stations past MP 3.3. If you click on the station locations on the map the reason for the embargo is listed as tariff. If you click on that link an OPSL note details window opens and it states inoperable due to poor track conditions. Click link below to see note details.

[aarembargo.railinc.com]

The RTC staff reported that ProBuild has been notified that the line past MP 3.3 is now out of service. It is my understanding that ProBuild anticipated receiving very few carloads for this year. I also understand there is very little difference in costs between deliveries by truck and rail to ProBuild. With this in mind, ProBuild, in my opinion, will most likely not consider transshipments from Watsonville and will discontinue rail deliveries at their Thompson Street yard.

With the line embargoed past MP 3.3 the County will most likely abandon the line past MP 3.3 after escrow closes, but keep the rails in place for future use via contract carrier service. NOTE: The SCCRTC confirmed at this meeting they would not remove the rails past MP 3.3 if this portion of the line is abandoned. It is unlikely the line in Watsonville will be abandoned since there are significant seasonal carloads from Americold and Terminal Freezer and they would most likely fight any abandonment proposals.

It was also reported that JL Patterson was grated a right of entry by Union Pacific and will begin their investigation for engineering improvements to the structures this week.

BTW, a Union Pacific track crew was doing extensive rehab on the siding around the spur for Big Creek Lumber this past Wednesday and Thursday so a centerbeam of lumber could be delivered Friday. The centerbeam was unloaded Friday and was sitting empty in the Big Creek yard as of yesterday. There are also five 57’ refrigeration cars sitting at the interchange, but they were not delivered to Terminal Freezer or Del Mar Foods when the centerbeam was delivered to Big Creek.

After a new short-line operator is found and that contract is reviewed by the STB, the SCCRTC anticipates closing escrow on the line some time around Thanksgiving.