Shag Road

staging area

appears likely

By RON LARSEN

Journal Staff Writer

SIOUX FALLS, S.D. -- With the Surface Transportation Board's environmental impact statement supporting most features of DM&E's $1.4 billion railroad construction project, it appears unlikely there will be any change in its plans for a staging yard with up to eight sidings near Shag Road.

"In regard to our planned staging areas, I'm not aware of any changes that were made in the EIS," DM&E President Kevin V. Schieffer said at a news conference held here Monday afternoon.

"However, we received the report just a few hours ago, and as it is rather lengthy, we haven't had a chance to review in detail everything in it," Schieffer added.

"We're obviously very pleased," Schieffer told reporters. "We feel we have cleared a major hurdle with this environmental impact statement."

Schieffer expects a ruling "within 45 to 60" days by STB as to whether the project is a go or no-go.

"By regulation, the board can't issue a ruling prior to 45 days, and it's my impression that the STB isn't an agency to sit around, letting dust gather, so I believe they will move quickly. It would be pretty unusual if they went against the environmental impact recommendation."

The issue is in the placement of the staging yard. Those who live along Shag Road are concerned about noise and rail traffic congestion resulting from both increases in train traffic and time involved in moving on and off the sidings.

However, the STB had earlier recommended placement along Shag Road so that makes it even more unlikely that the EIS would recommend moving it closer to Mankato as suggested by area residents.

In a meeting earlier this year with Brown County commissioners and area residents, Schieffer said, "We're clearly stuck between New Ulm and Mankato. If we could go farther east, we would."

Schieffer added that even if the STB were to reverse itself and move the staging yard back to Mankato, "trains will stop in Shag Road on sidings to allow another train to pass through in the opposite direction."

DM&E also won the battle in Mankato where the EIS gives the railroad the option of using existing track belonging to Union Pacific, if an agreement can be reached, or building new track to the south of Mankato.

Noting that it's his policy not to discuss ongoing negotiations, Schieffer said, "utilizing UP track through Mankato certainly would be the less expensive option, but if we have to build track, we will."

Schieffer identified Pierre and Brookings, S.D., Mankato, Eagle Lake and Rochester as the only communities among the 56 along DM&E right-of-way that haven't entered into a mitigation agreement with the railroad.

"While technically we don't need to reach agreement with these cities, the reality is that we want to be good neighbors and will continue to seek an agreement with them, if they are willing."

At its meeting tonight, the New Ulm City Council is expected to join with other affected southern Minnesota communities in seeking $50 million in state bonding funds for mitigation of traffic safety, congestion, train noise and other concerns.

A similar request was made during the 2000 Legislature. However, the request for state bonding fund money wasn't considered because many legislators felt the request was premature because the project had not yet been approved.