By Kathy McCarty
Staff Writer
As 2010 came to a close, so too did Maine, Montreal & Atlantic’s efforts to abandon approximately 233 miles of rail in northern Maine, following the federal Surface Transportation Board’s approval of MMA’s request to discontinue control of the line running between Madawaska and Millinocket — marking a turning point in the state’s plan to buy the line and find a new rail operator by March 2011.
Federal, state and local officials have worked for the past year to come up with the necessary funds to purchase the line from the Canadian-based company. Last fall, the federal government awarded over $10.5 million to MDOT through the second round of grants from the Transportation Investment Generating Economic Recovery (TIGER) program. Combined with funding from a voter-approved bond and other sources, the state was able to reach an agreement with Montreal, Maine and Atlantic Railway for the purchase of 233 miles of track between Madawaska and Millinocket. The agreement, which concluded more than a year of negotiations between the state and the MM&A, called for a purchase price of $20.1 million in cash for the rail line from Millinocket to Madawaska and branch lines to Caribou, Presque Isle, Easton, Houlton and Limestone.
While there was some public concern in recent weeks over the operation of a section of rail MMA still owned between Madawaska and Canada, David Cole, MDOT commissioner, said in an editorial in the Bangor Daily News that the dispute between Twin Rivers (a Madawaska paper mill) and the MM&A “was unrelated to the state purchase of MMA track.”
Cole noted that “the entire process has been open and transparent, with affected shippers, legislators and other Aroostook County interests kept continuously informed.”
In December, Denis Berube, director of planning and transportation services with Northern Maine Development Commission, addressed the issue during the annual meeting of Aroostook Resource and Conservation Development (Aroostook RC&D), held in Presque Isle.
“The state is working on a January deadline to own the tracks. There hasn’t been anything to stop it yet,” said Berube, noting the issue between Twin Rivers and MMA had nothing to do with the state’s purchase and plans to find another operator by spring.
“This (Twin River dispute) won’t affect anything. The state will have rights to the track but won’t have access to the mill. Twin Rivers is transporting product to Canada by truck and have access to rail from there going west,” said Berube.
Berube said the $10.5 million from the TIGER grant will be used for fixing the tracks.
“The money will go toward maintaining and repairing track,” he said.
Phil Bosse, representative for Sen. Susan Collins, said that entire amount will go toward repairs.
“The state is getting what it asked for and 100 percent of it will go to maintain the line,” said Bosse.
Berube said the state has established a timeline with regard to the rail line’s future.
“The state has released its RFP (request for proposals) for interested parties to access. It can be accessed at www.maine.gov/mdot/cpo/rfps/,” said Berube.
The RFP includes a planned schedule for shortline operation selection, including:
• Jan. 3 — interested parties’ questions deadline to MDOT;
• Jan. 7 — MDOT response to all questions;
• Jan. 19 — proposals due at MDOT;
• Feb. 4 — respondents selected for second round and notified of interview and detailed proposal deadline; and
• March 11 — shortline operator selected.
According to the website, MDOT is currently in the process of acquiring several lines from MMA, including subdivisions in: Madawaska, Presque Isle, Fort Fairfield, Limestone and Houlton. In addition, operations will be required over lines owned by third parties, including industrial tracks in Presque Isle and Fort Fairfield.
“These are the state’s terms and requirements which will have to be satisfied by potential bidders to ultimately become the operator of this line,” said Berube, noting the due date for bids is Wednesday, Jan. 19. “You’ll notice the wide range of items that will have to be met by potential candidates.”
Berube said if all goes well, a new operator should be named within a couple months.
“Barring any unforeseen issues, the state is seeking to have a new operator in place around the end of March or early spring. This will depend on the number and nature of submitted applications,” said Berube.
Until a new operator is in place, MMA will continue to provide service.
“MMA will continue to operate the line until such time as the new operator is ready to take it over, so as to hopefully provide for a seamless transfer of service,” said Berube.
