Kokomo Tribune; Kokomo, Indiana

November 9, 2012

Two rail line projects may cost $751,000

City trying to ease freight costs.

By Scott Smith

Kokomo — The city of Kokomo received one bid this week for work to connect two rail lines, a $751,000 offer from Mohr Construction, a division of E&B Paving, Anderson.

The project will allow local companies to shorten the time it takes to connect to the rail hub in Tipton, and will involve connecting a line ending on the former Delco Plant 5 property with the rail lines running along Home Avenue.

The Kokomo Board of Public Works & Safety could decide as early as Wednesday whether to accept or reject the bid, which was about $150,000 higher than the city’s initial estimate for the work.

As part of the project, the city also plans to install crossings, one on Home Avenue and one on Wheeler Street, along with crossing signals and arms.

The city’s work is part of a larger deal expected to significantly reduce freight costs for one of Kokomo’s largest businesses.

Kokomo Grain, US Rail and Norfolk Southern Railroads are partnering on a $5.5 million project to reroute much of the grain company’s freight, sending it south toward Tipton instead of east toward Marion.

The project involves reopening 12 miles of unused track.

Scott Smith can be reached at 765-454-8569 or at scott.smith@kokomotribune.com.