Subject: Fwd: Efforts underway to purchase Knox and Kane Railroad
http://www2.theclarionnews.com/General_News/45837.shtml
Efforts underway to purchase Knox and Kane Railroad
By Rodney L. Sherman, Clarion News Editor
PAINT TWP. - Negotiations are under way for the purchase of the Knox and
Kane Railroad by a yet to be determined buyer which would then put the
rail line under the control and management of an authority board. After
the purchase and the transfer of control to the authority, the state could
kick in as much as 70 percent of the funding needed to upgrade the
railroad bed and tracks with existing businesses in Paint Township
covering the remainder of the costs.
Paint Township Supervisor Randy Vossburg said the details of the plan are
still vague, but added he hopes the deal can be completed in order to
boost business and manufacturing development in the township. Vossburg
said he isnt part of the negotiating team working with Knox and Kane
Railroad owner Sloan Cornell, but he believes the sale price of the rail
line is around $2.5 million.
According to Vossburg, Clarion County Commissioner David Cyphert and
Walter Frint, executive director of the A-C Valley Development Corp., are
meeting with Cornell about the sale. Cyphert said he has talked to
Cornell about the railroad but has only so far tried to determine a sale
price.
Frint spearheaded a recent effort by a business group which wanted to
build a bio-diesel refinery in Paint Township. That effort fell through
because, Frint said, of the poor condition of the railroad. The
bio-diesel plant is now planned for a former oil refinery site in Venango
County with access to a railroad in better condition.
Vossburg said the idea of a bio-diesel plant in Paint Township is not
dead. "Im in negotiations with the bio-diesel group," said Vossburg.
"If the plant in Oil City works out and if the Knox and Kane Railroad can
be rebuilt and used, then they might put another bio-diesel plant here in
Paint Township."
Gov. Ed Rendell late last month announced $13 million in funding aimed at
repairing railroads throughout the state, however, none of that money is
headed for the Knox and Kane Railroad serving Paint Township.
While Vossburg spoke openly of the efforts to purchase and upgrade the
Knox and Kane Railroad, others were more guarded in their comments. "We
will continue to work on a plan to make the railroad a viable (shipping
option) for Clarion Boards," said Bradford R. Ehrhart, executive director
of the Clarion County Economic Development Corporation. "We are working
closely with Paint Township and Clarion County."
Officials at Clarion Boards Inc., the Paint Township-based fiberboard
manufacturing facility, have repeated said they would like to see the Knox
and Kane Railroad upgrade its tracks running from the plant north to
Marienville and Kane.
A meeting between the EDC, PennDOT, Gov. Rendells Action Team, a
representative of U.S. Rep. John Petersons office and representatives
from state Rep. Fred McIlhattans and state Sen. Mary Jo Whites office
was held last week, however, Ehrhart said no solid plans came out of the
session. "Were sort of in the middle of the program," said Ehrhart. "We
have a good opportunity here with the railroad."
Ehrhart said there have been discussion with Sloan Cornell and his family
owners of the rail line. "Thats about all I can say right now," said
Ehrhart. "Its a work in progress."
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