ROCHELLE, Ill. — The City of Rochelle will look at the possibility of developing its own intermodal container facility to offset the loss of Union Pacific’s facility in the city, city officials tell the Rochelle News-Leader.
UP announced last week it would close its Global 3 intermodal terminal in Rochelle, as well as its Canal Street Container Depot in Chicago, to simplify intermodal operations in the region. [See “Union Pacific to streamline Chicago-area intermodal terminals, close Global 3,” Trains News Wire, May 2, 2019.]
Rochelle already owns the 15-mile City of Rochelle Railroad, operated by the Burlington Junction Railway, and broke ground last fall on a transloading facility, the first phase of which is expected to open soon.
Incoming mayor John Bearrows said the city is “exploring the possibility of the City of Rochelle Railroad providing intermodal service,” while Jason Anderson, director of the Greater Rochelle Economic Development Coroporation said the city would look into the “feasibility of incorporating intermodal transloading to fill the vacuum left behind by the closing of Global 3.”
Perhaps there is an opportunity that UP in its quest for operating ratio was unable to tap? (I’m not in a position to know). But if there is, would an independent operation by Rochelle be allowed or be in a position to tap it? They’d need cooperation by UP and BNSF and would be at their mercy.
Remember Mark, politicians are smarter, they have free money to waiste.
The city of Rochelle Railroad makes a profit , and that money is used for things like airport railroads. They have attracted 150000 carloads that UP and BNSF apparently couldn’t. Maybe the govt will make a better job of it in this case.
Perhaps the UP is missing out on a potential way recoup some of the cost of Global 3, find out just how much Rochelle is interested in offering intermodal service and put a price tag on Global 3.
The City of Rochelle just might want to take a hint from the Union Pacific & scrap any plans they have in an attempt “to fill the vacuum, left behind by the closing of Global 3”, as there is no vacuum. The business that was sought after by the UP never materialized to any level that merited keeping Global 3 open……why would the City of Rochelle fare any better? The Union Pacific expects a certain return on their investments……..as would the taxpayers of Rochelle.