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  • Berks County purchases rail spur for $1.35 million

  • Discussion Related to the Reading Company 1833-1976 and it's predecessors Philadelphia and Reading Rail Road and then the Philadelphia and Reading Railway.
Discussion Related to the Reading Company 1833-1976 and it's predecessors Philadelphia and Reading Rail Road and then the Philadelphia and Reading Railway.

Moderator: Franklin Gowen

 #653972  by Schuylkill Valley
 
This is copied out of the Pottstown News Papper.
Len.
Wednesday, March 25, 2009 7:02 AM EDT
By Lynn A. Gladieux, Special to The Mercury

READING — In a surprising turn of events, the Berks County Commissioners announced Tuesday that a deal had been struck between the county and the owners of the Colebrookdale Spur, the 8.6-mile light rail line that runs between Pottstown and Boyertown.

The county had been in intense negotiations with the line's owners, East Penn Railroad LLC, to purchase the line. An agreement was finally brokered which allowed the county to purchase the line for $1.35 million, according to commissioners' Chairman Mark C. Scott.

The money for the line's purchase will come out of the county's environmental defense fund, and no taxpayer dollars are being used.

Scott said the money from the fund will be considered a loan to be repaid at such time as a suitable operator steps forward to purchase the line.

Charles Haddad, president of Building a Better Boyertown, expressed his appreciation for the county's efforts. "With Berks County's ownership of the rail line between Boyertown and Pottstown, Building a Better Boyertown is looking forward to participating with Boyertown and Berks County in the development of the two-acre railroad yard recently purchased by Building a Better Boyertown.

"With planning and foresight, the railroad yard can become another town square or focal point for Boyertown," Haddad said.

Main Street Manager Heather Oxenford was overwhelmed with the possibilities for bringing business and tourism to Boyertown. "The train is going to do so much for our town, and it's going to make my job a lot easier" she said.

Oxenford also said she was sure that Boyertown business owners will be very pleased about the purchase of the line.

Reached for comment, Boyertown Mayor Marianne Deery said simply, "I think it is fantastic and it just goes back to when you believe in something and fight for it and you know it's right, it's worth it."

The deal came months after the county had filed numerous arguments with the Surface Transportation Board in Washington, D.C., to prevent abandonment of the line. East Penn initially sought abandonment approval in November 2008, and it hoped to sell the scrap metal and put up for sale all acreage associated with the line.

The transportation board, in a decision rendered Jan. 28, 2009, sided with East Penn's assessment of the line's value and set the line's purchase price at $2,162,018. The county rejected that price, thus paving the way for abandonment proceedings to begin.

On Feb. 12, the county filed a Petition of Stay with the transportation board, and had previously filed stay of abandonment proceedings in the United States Court of Appeals for the Third Circuit in Philadelphia in order to prevent East Penn from immediately disassembling the line. At the same time, the county was conducting behind-the-scenes negotiations with East Penn to find a suitable purchase price. That price and the agreement were finally hammered out last week.

Scott laid out the details of the county's most recent acquisition, which spans both Berks and Montgomery counties. "The line is 8.6 miles long, has seven road crossings and 12 bridges, most of which were constructed in 1869 and 1870," Scott said.

"Many of the bridges are of historic quality. Some are cast iron and steel, and others are stone and wood, and there are several unusual and historic trestles. We are told that this incorporates every type of railroad structure utilized between 1870 and 1950. It is a very interesting historical property."

Montgomery County officials, who had expressed an interest in establishing a trail on the abandoned line and had filed all the necessary paperwork to do so, graciously withdrew their request so that Berks could purchase the entirety of the line, Scott said.

Even though the announcement of the line's purchase was somewhat of a surprise, the commissioners felt all along that their legal ground was solid and were optimistic that ultimately they would prevail.

Recently the county had introduced into the transportation board's record documentation that showed that the line, if abandoned, would revert back to the original landowner. This, all agreed, was a big boost to the county's position.

Land mapping and other historical documents discovered by county employees and submitted by the county showed that easements did not convey "in perpetuity," but instead referred back to the original owner upon the rail line's abandonment. Based on this new information, county attorneys estimated the real estate actually owned by East Penn was limited to about 12 percent of the original line, or approximately 10 of the 80 acres involved.

Which meant that if the line were to be abandoned, East Penn would own little more than the line's scrap metal.

Therefore, the county's purchase price was based on the estimated cost of the rail line's scrap metal as determined by the transportation board earlier this year.

Scott was clearly pleased that the line had been secured for the county.

"We wanted to maintain an opportunity for the Boyertown area, to allow businesses access to railroad lines, thus making products produced more competitive in the global economy," Scott said.

Scott noted there are several potential users of the line including Drug Plastics Inc. of Boyertown, who had most regularly used the line, Boyertown Foundry and Martin's Stone Quarry, both located in New Berlinville.

Scott also said that there is at least one potential user who has expressed an interest in using the line for a tourist train, something Scott believes will appeal to railroad enthusiasts.

Several immediate steps will be taken with regard to making the line operational including minor cosmetic repairs. A recent inspection of the line shows it to be in excellent condition overall.

Democratic Commissioner Kevin Barnhardt also expressed satisfaction at the line's purchase and credited Scott with the long-fought effort to save the line.

"I toured the rail line a few weeks back and was taken by the beauty from Montgomery County to Boyertown. Our efforts in acquiring this line as opposed to abandonment benefits the local municipalities. There's a lot of economic development potential," Barnhardt said.

Republican Commissioner Christian Leinbach agreed. While noting the county is not in the "railroad business," Leinbach said the line was worth saving. "I am confident, based on the research done by Commissioner Scott, that all the economic opportunities were not considered by the prior owners and I'm confident we can be successful with this," he replyed.