Rollin B Wrote:
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> BNSF will not absorb the additional cost of
> another profit requiring company to serve the
> customers. Patriot Rail wants more to serve these
> customers than BNSF's direct cost would be to
> serve them and the additional costs will have to
> be borne by the customers.
>
There is additional background info in this story:
[
www.kingmandailyminer.com]
Quote:Kingman Daily Miner
Riley explained that BNSF's service has always been outstanding. The change comes about because the Airport Authority wants to improve its position, he added.
This wasn't an arbitrary decision. In fact, the process to get to this point took two years, Riley said. The Airport Authority put the service out for bid and 12-14 organizations were represented at the preliminary bid. When it came down to it, though, the Authority received two official bids.
Patriot's service is good enough that there will be a seamless transition for the Park's customers utilizing the rail service, Riley said.
One thing about this agreement is that it sets nothing in stone, Riley explained. Patriot still needs to work out a deal with BNSF for access to the switch line. It works like this: Cargo comes in on the mainline and is put on the switch line, which is then used to direct cargo to the correct spot using the 5-miles of Airport Authority-owned railroad.
Look like the negotiations didn't go so well.