The planned $1.39 million rail project at the Great Plains Industrial Park is set to begin at the end of January or the first of February.
Northern Plains will be handling the railroad improvement project, which is being paid for with the help of a $779,211 Kansas Department of Commerce Building a Stronger Future grant. Great Plains is responsible for a 25% match. The Strengthening People and Revitalizing Kansas (SPARK) Executive Committee approved the grant for the rail improvements. The funds come from American Rescue Plan Act funding.
The first disbursement of the grant has been received. The second disbursement is expected at the end of January or the first of February.
This grant will help nearly complete the replacement of all the vital rails in Great Plains following another rail replacement project completed in 2020 that was made possible through a Kansas Department of Transportation grant.
Great Plains has been purchasing all the railroad ties for the project, which will be improving about 6.5 miles of rail in the park, including a loop that goes through Day & Zimmermann’s property.
Property manager Tim Peoples told the Great Plains Development Authority board members Thursday that they already have 3,000 rail ties on the property that were acquired in Oklahoma. About 1,700 more are on the way. After that, Peoples said, the ties will be coming out of New Mexico. He said transport costs are down about $1,200, making each delivered load come in at about $1,700 to transport. Peoples said Billman’s Mobile Home Moving in Parsons has been doing the hauling.
The mid-level rehabilitation will mean replacing every third or fifth tie, bringing in new 100-pound rail where needed and leaving the 90-pound rail in places in other sections of the project. This plan will rehab the rail, bringing in new in the worst places and stabilizing the existing rail in other sections.
Northern Plains Railroad, which contracted to do the rehab, will start moving in equipment this month and will be set to start by the first part of February. The company anticipates the job will take about a month and a half.
IN OTHER BUSINESS, the board:
— Heard the final payment for Great Plains has been made to the U.S. Army, completing its payment agreement.
— Heard from certified public account Daryl Eagon, with Diehl Banwart Bolton of Pittsburg, that no issues were found in the Great Plains 2020 and 2021 audits.
— Heard Great Plains’ new website, developed by Top Spot, is working. A few small changes are still being made, but it is complete for the most part. Great Plains Director Brad Reams said they are discussing companies to link with on the site, such as Union Pacific, Watco and the Parsons Sun for example.
— Heard Great Plains paid $35,266.03 in taxes and received all the reimbursements from customers, totaling $13,536.87.
— Voted to retain Bob Wood as president, Gary Beachner as vice president and Montie Taylor as treasurer.
— Voted to retain all ex officio members.
— Voted to reappoint current board members Dan Peterson, Ken McNickle and Brian Williams to serve through Dec. 31, 2025.
Heard when Reams started as director that Great Plains was operating in the red. The company is now finishing out the year in the black. Year to date (December), revenue was $2,764,302, including grants. Expenses were $967,452, leaving $1,796,850.
— Heard Watco division representatives have been onsite. Watco is contracted to provide switching, transload, warehouse, material handling, truck and logistics services, including an approved Foreign Trade Zone (FTZ) for rail- and non-rail served customers within the park.
— Heard Reams is working with companies that are working at locating within Great Plains, and some who are considering the possibility.
— Heard Reams is working with a natural gas provider for businesses within Great Plains.
— Reviewed the business accomplishments of Great Plains for 2022.
— Signed a GAAP (generally accepted accounting principles) waiver.
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