Posted on May 24, 2019
Author Anita Goodan, WKVI
A change could be coming to rates paid by companies who use the lead rail track in the industrial park.
Ron Gifford from the Starke County Economic Development Foundation told the county commissioners this week that the owners of the companies that use the lead track want to reduce the fee that currently sits at $51 per car.
Gifford said as of the end of last year, the fees collected thus far have exceeded expenses by about $200,000 and could probably recommend that the reduction request be granted.
He commented that the rail is in good shape.
“There’s no need to worry about the rail for some period of time,” said Gifford. “They’re recommending that there be some tie work done in the future. It’s probably not necessary until about 2024. We’re going to replace one of the degreasers and put in four point protectors this year, but the other major expenses aren’t going to happen for a while.”
The request is to reduce the railcar rate to $10 per car.
“That money is to generate enough money to continue adding to that cash balance. At the end of the year, we’ll take the total expenses that we spend on the rail that year, divide it by the number of cars, and then appropriate an additional cost to each of the users based on their use.”
Gifford said $13 would be added to the bill to pay expenses. The rate could be reviewed every year to be considered by the Starke County Economic Development Foundation and the Starke County Commissioners.
A contract will be drawn up for County Attorney Marty Lucas to review. He then could recommend it to the commissioners who would evaluate and consider the request.
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