Chicago Illinois USA
Chicago Illinois USA - A campaign led by suburban mayors against the proposed merger of two major
North American railroads is gaining steam.
Some Illinois lawmakers have joined mayoral and county leaders in their resistance to the railroad
megadeal.
In recent filings with federal regulators, Metra and a coalition of municipalities have sought to block the transaction
while demanding significant concessions if Canadian Pacific Railway's (CP) acquisition of the Kansas City Southern
(KCS) railroad does pass muster.
The US$31 billion merger requires the approval of the U.S. Surface Transportation Board (STB), a five-member panel
overseeing the railroad industry.
Combined, the freight haulers would create the first single-line rail network linking the United States, Canada, and
Mexico.
The merger has faced criticism on multiple fronts.
Chicago-area lawmakers are raising similar concerns about growth in freight traffic, the toll it could take on public
infrastructure, and potential environmental and safety issues.
"Yes, we need to move our goods and services. Yes, this is vital to the United States, and I think that we're
aware of this more than ever as we look at supply chain shortages," said state Rep. Michelle Mussman, a Schaumburg
Democrat.
"But we also have to comprehensively think about what is the economic, quality-of-life, and environmental impact,
again, of these choices."
The lawmakers were flanked by members of the "Coalition to Stop CPKC," a group of eight suburbs along Metra's
Milwaukee District West Line, at a news conference this week.
DuPage County now supports their merger fight.
Still, at least one Kane County town has agreed to get on board with the merger effort.
CP points to an agreement with Hampshire as proof it's willing to compromise on noise relief and other mitigation
measures.
As part of the agreement, CP would fund and construct a US$625,000 project to establish a "quiet zone" along a
stretch of tracks in Hampshire.
In exchange, the village would close the East Street crossing to make the area a quiet zone, and officials won't object
to the railroad merger.
The agreement won't take effect unless the federal STB approves the merger.
But CP and the coalition of suburban leaders have been unable to reach an agreement in their negotiations.
The eight communities are Bartlett, Bensenville, Elgin, Itasca, Hanover Park, Roselle, Wood Dale, and
Schaumburg.
"We have engaged in direct talks with the coalition of suburban leaders in an effort to address their concerns
about the additional eight freight trains a day projected to operate on the corridor between Bensenville and
Elgin," CP spokesman Andy Cummings said.
CP offered to make a "voluntary community investment" of a total of US$10 million to the eight
towns.
In return, the coalition would agree to not seek any mitigation conditions before the STB and to drop their opposition
to the merger.
The coalition rejected the offer.
"Considering that the estimated total cost of the mitigation conditions the coalition believes will be required to
attempt to protect their communities from the harm CPKC will inflict on them post-merger is over US$9 billion, CP's
offer to pay the coalition members a lump sum of merely US$10 million is clearly not a serious attempt to reach a
mutually acceptable settlement," Itasca Village Administrator and coalition chair Carie Anne Ergo wrote in a
24 May 2022 letter to CP.
Cummings countered that CP has made a "significant proposal" to the coalition.
In response, coalition members have repeated the US$9 billion demand, Cummings said.
"That US$9 billion would be double the entire CREATE (Chicago Region Environmental and Transportation Efficiency)
program involving freight and commuter rail lines carrying more than 1,300 freight and passenger trains across the
Chicago region," Cummings said.
"This is not the position of a party interested in a serious exploration of the public interest implications of
the CPKC combination."
By comparison, when the STB approved Canadian National's request to buy the Elgin Joliet & Eastern railroad in
2008, the panel imposed numerous conditions on CN, including that the railroad pay about two-thirds of the costs of two
grade separation projects, estimated at the time at US$68 million.
There are 54 pedestrian and road crossings over the roughly 20 miles of tracks through the coalition
communities.
Currently, CP operates three or four trains per day, and the average train length is 10,000 feet, the coalition's
attorney wrote in filings to the STB.
Some trains are as long as 12,000 feet.
Either length is enough to simultaneously block all the crossings in some coalition towns.
"The only solution for the city of Elgin and the villages of Bensenville, Wood Dale, Itasca, and Bartlett would be
the construction of grade separated crossings, interchanges, and/or underpasses, each of which will cost tens of
millions of dollars to design and construct," the coalition's attorney wrote.
The coalition has asserted that the companies have understated the expected number of freight trains that would run
through the suburban communities after the merger.
The coalition also has urged federal regulators to set limits on the length of trains as a condition of any merger
approval.
State Rep. Maura Hirschauer, a Batavia Democrat, worries about crossing delays for emergency responders, school buses,
and commuters.
State Sen. Diane Pappas warned "heavy rail traffic and the additional vibrations that come along with the
trains" would require more frequent maintenance and infrastructure repairs.
"The time to address these issues is now before the merger goes through so that the communities can properly
ameliorate some of these potential future risks," the Itasca Democrat said.
The STB's Office of Environmental Analysis is in the midst of an environmental review of the proposed
merger.
A public hearing likely will be held later.
Katlyn Smith.
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