Rail - New Creston Livestock Feed Mill

Quarterly Project Report Update for Quarter Ending September 2006

Project Title & Location
New Creston Livestock Feedmill – Creston

Project Description
Lincoln County PDA will construct 850` long railroad siding to connect to a new livestock feed plant.

Contractor/Consultant
Watco Companies, Pittsburgh, Kansas

Recent Progress

Total funding from all sources for the project amounted to $142,000, of which $30,000 is from a legislative appropriation administered by WSDOT.  This project was premised on the need to provide rail service to a livestock mill located on an industrial site developed by the Lincoln County Public Development Association (PDA).  However, the tenant converted the operation to a bio-diesel plant when the construction of the spur was delayed by uncertainties with the State's purchase of the CW line of the Palouse River and Coulee City Railroad (PCC).  Legal difficulties also occurred between the tenant and the PDA.

The need for the spur remains because the bio-diesel plant can operate most efficiently if raw materials are shipped to it by rail.  However, because of the difficulties with the current tenant, CERB withdrew its grant funds and demanded that by November 1, 2006, the PDA repay funds previously provided.  CERB subsequently granted the PDA an extension of time to January 2007 to submit a new funding application based on a change in management at the bio-diesel facility.

30% engineering will be completed by October 2006.  Final engineering will be completed in the spring of 2007 if CERB grants the PDA's new application.  The preliminary cost estimate from the 30% engineering plans currently under review amounts to $285,000 for construction.  As a result, the project cannot be completed because that amount is double what was available before CERB pulled its funding.  WSDOT expects to expend $15,000 of its funds for the preliminary engineering already completed.  WSDOT will request a re-appropriation of the additional $15,000 contingent on the PDA application for needed additional funding being approved.  Also, the project will not be operationally viable unless rail service continues on the CW line, which is uncertain at this time.

Design Construction Impacts

None.  the project cannot be constructed with the available funds.

Environmental Impacts / Compliance
There do not appear to be any issues with wetlands or endangered species.  Lincoln County will oversee any permitting issues that might arise.

Impacts to Traffic

None.  The project cannot be completed with available funds.

Project Milestones Scheduled Attained Milestone Outlook
Engineering Complete Jun 2006 30% plans will be completed in Oct 2006.  Final engineering will be completed in Mar 2007 if issues with CERB are resolved, which is anticipated in Jan 2007.
Construction Begins Jul 2006 Delayed due to funding needs.
Construction Complete Dec 2006 Cannot be constructed due to funding shortfall.
Project Cost Summary: Dollars in
millions
Percent
of Total

Planned vs. Actual Expenditures
(Total Project Cost)
Project Expenditure Chart

Preliminary Engineering
Right-of-Way
Construction $0.030 100%
Funded Project Costs $0.030 100%

Nickel funds included in above costs

$0

2005 Transportation Partnership Account

  For more information, go to www.wsdot.wa.gov/projects

Michael Rowswell, Freight Project Manager, 360-705-7930 or E-mail: rowswem@wsdot.wa.gov