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STB rejects North Coast Railroad Co.’s offer to take over rail line on Eel River

Sonia Waraich, FORT BRAGG ADVOCATE-NEWS

Federal regulators have decided to turn down a late application from a shadowy corporation seeking to take over the 175 miles of rail line stretching from Willits to Eureka, which may have submitted a fraudulent bank statement with its filing earlier this month.

“(North Coast Railroad Company’s) notice of intent will be rejected,” the Surface Transportation Board’s decision states. “NCRCo has not articulated a sufficient reason why its notice could not have been filed by the May 31 deadline, especially given that NCRCo has been an active participant in this proceeding and has noted, in previous filings, its intent to file an (offer of financial assistance).”

North Coast Railroad Company’s proposal to resume service along the rail line would have blocked the ability of the Great Redwood Trail Agency, formerly the North Coast Railroad Authority, to convert the line, which has been out of service for 20 years, into a trail. Part of the process of doing so included getting the OK from the STB to railbank the line, that is to preserve the rail line’s right of way by using it as a trail until conditions for rail service improve.

The North Coast Railroad submitted a poorly redacted filing with the federal STB almost two weeks ago that shows on any given day between March 31 and April 21, its balance with the Self-Help Credit Union fluctuated from less than $100 to a high of $3,269.96. That’s a lot less than $15.7 million beginning and ending balance at the top of the statement.

Read more at https://www.advocate-news.com/2022/06/10/north-coast-railroad-co-s-stb-filing-includes-potentially-fraudulent-bank-statement/

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North Coast rail dispute intensifies with competing bids from Skunk Train and coal export company

Andrew Graham, THE PRESS DEMOCRAT

A mysterious Wyoming-based firm believed to be pushing a controversial coal-by-rail export proposal along the Northern California coast has made a new filing with a powerful federal board to advance its bid to seize control over the defunct lines running between Willits and Eureka.

The June 1 filing indicated the so-named North Coast Railroad Company, which wants to ship Rocky Mountain coal out of the port at Humboldt Bay, had at least $15 million in the bank — enough to clear an initial federal hurdle in which a company must prove it can cover the cost of a line’s scrap steel and two years of maintenance.

But that company is not the only entity vying for control of abandoned track running through Mendocino and Humboldt counties — along a right of way state lawmakers hope will one day welcome a 320-mile multiuse trail stretching south to San Francisco Bay.

In an unrelated venture, Mendocino Railway, owners of the tourist excursion Skunk Train, are petitioning the federal rail board to restore 11 miles of track north of Willits to run loads of gravel. Mendocino Railway also filed with the board indicating it had the resources to take on that project.

Either bid could complicate the more broadly-supported venture: the proposed Great Redwood Trail, a recreational route planned from Eureka in the north to Larkspur in Marin County on the south. A state agency has already begun planning the conversion of abandoned segments of the rail line in Mendocino and Humboldt counties for the trail.

The three competing ventures must now vie for the endorsement of the U.S. Transportation Board, a body that aims to preserve the nation’s rail corridors but has proven amenable to allowing recreational trails along disused rights of way.

Read more at https://www.pressdemocrat.com/article/news/north-coast-rail-dispute-intensifies-with-competing-bids-from-skunk-train-a/

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Federal rail board wants to hear out mysterious coal train proposal, jeopardizing Great Redwood Trail project

Andrew Graham, THE PRESS DEMOCRAT

The federal body that oversees the nation’s railroad rights of way indicated this week that it will consider the proposal from a mysterious Wyoming company to reconstruct defunct rail lines and ship coal out of Humboldt Bay to Asia.

The coal export proposal, widely regarded as unrealistic, is facing staunch opposition from local and state lawmakers, the tight margins of a declining coal industry and would need up to $2 billion to restore abandoned sections of track in Mendocino and Humboldt counties, according to previous state estimates.

But the decision by the U.S. Surface Transportation Board could complicate another North Coast venture: the proposed Great Redwood Trail, a 320-mile bicycle and pedestrian recreation route along former railways stretching from Eureka to San Francisco Bay.

The trail project, championed by state Sen. Mike McGuire, D-Healdsburg, and many other elected officials, conservationists and economic development officials, made significant strides in March with the creation of a state agency to spearhead the effort.

The coal shipping proposal surfaced in August 2021, when a newly-formed, Wyoming-based entity called the North Coast Railroad Co. filed documents with the federal rail board suggesting it could raise the funds to restore abandoned rail segments.

Read more at https://www.pressdemocrat.com/article/news/federal-rail-board-wants-to-hear-out-mysterious-coal-train-proposal-jeopar/

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Aiming to ship coal out of Humboldt Bay, shadowy corporation makes bid to take over NCRA line

Ryan Burns, LOST COAST OUTPOST

Unidentified coal companies appear to be behind a new backdoor effort to acquire the North Coast Railroad Authority’s right-of-way between Eureka and Willits and rehabilitate the defunct railroad, all so they can export coal to Asian markets via the Port of Humboldt Bay.

State Senator Mike McGuire calls this development “one of the largest environmental threats to hit the North Coast in decades.”

On Aug. 16, a mysterious, newly formed corporation called North Coast Railroad Company, LLC, filed a pleading with the Surface Transportation Board. Ostensibly a proposal to submit an “Offer of Financial Assistance” to rebuild the line, the filing makes a number of surprising claims.

For one, the 14-page filing, submitted by a pair of Chicago attorneys, says NCRCo. is “capitalized to the tune of $1.2 billion” and has “thoroughly-developed plans” to acquire and rehabilitate the dilapidated rail line between Humboldt Bay and Willits. Once complete, the company says, this newly reconstructed railroad will move “high-volume shipments” between the San Francisco Bay Area and Humboldt Bay.

The document does not disclose what these “high-volume shipments” might contain. Nor does it identify anyone involved with the corporation.

The pleading prompted an incredulous response from the North Coast Rail Authority (NCRA), the state agency that spent 30 years trying to resuscitate that same stretch of railroad but is now, under McGuire’s leadership, working to develop the Great Redwood Trail, a multi-use pathway extending 320 miles along the agency’s right-of-way.

Read more at https://lostcoastoutpost.com/2021/sep/2/aiming-ship-coal-out-humboldt-bay-shadowy-corporat/?

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North Coast’s ‘Great Redwood Trail’ wins approval in California Senate, but lacks funding

Guy Kovner, THE PRESS DEMOCRAT

Imagine a 300-mile trail from San Francisco Bay to Humboldt Bay taking hikers, bicycle and horseback riders through a stunning North Coast river canyon and old growth redwood forests.

It would cost untold millions of dollars and won’t come soon, but the idea for what’s called the Great Redwood Trail is embodied in state Sen. Mike McGuire’s bill, which would also abolish a debt-ridden public agency and put commuter train operator Sonoma-Marin Area Rail Transit in charge of railroad freight service in its two counties.

The buzz is all about a trail along railroad tracks through some territory most people have never seen and which advocates are likening to the 210-mile John Muir Trail through the Sierra Nevada.

“It’s an amazing prospect,” said Alisha O’Loughlin, executive director of the 1,000-member Sonoma County Bicycle Coalition. “Something we’re very enthusiastic about.”

The trail, affording “gorgeous recreational opportunities,” would draw cyclists and equestrians from far and wide, she said.

The coalition’s only concern is that work on the trail not take priority over completion of pathways along the 70-mile SMART corridor in Sonoma and Marin counties. Just 16 miles of pathways have been built to date in segments from Healdsburg to San Rafael.

Read more at http://www.pressdemocrat.com/news/8406036-181/north-coasts-great-redwood-trail