I mentioned in my last post that Pioneer Industrial Railway (PIRY) also sent a petition to the Surface Transportation Board (STB). Here’s a copy of their filing (large PDF file). It’s a “petition for stay pending reconsideration or appeal.” It’s been filed not by the company attorney, but Washington, D.C., attorneys Baker & Miller, PLLC, who specialize in transportation matters, including proceedings before the Surface Transportation Board.

They present a compelling case. From reading their petition on behalf of PIRY, you can tell they’ve really done their homework. They’ve gone back and looked at every one of the cases the STB cited as precedent for their decision and, of course, drawn different conclusions than the STB.

Their strongest argument is the letter from Carver Lumber that “refutes the main factual premise which led the board to authorize discontinuance”; namely, that “[t]he shippers served by CIRY . . . do not object, and will continue to be served from the north or from the south . . . .” We now know that’s not true.

In fact, Carver isn’t being served at all. Carver Lumber’s letter makes clear that since the City’s carrier, CIRY, took over last year, not one shipment has been made to Carver Lumber. The one time it was attempted, it was with inadequate equipment, resulting in a runaway train (through several grade crossings at 30 mph, threatening public safety) and a derailment.

The filing also claims that a proper environmental impact study was not completed, and that Pioneer was unjustly refused the opportunity to purchase the Kellar Branch from the city. I think there’s a good chance the STB will grant the stay and hear the appeal for the sole reason of Carver Lumber’s concerns.

All this leaves me with several questions. Why is the city making it so difficult for Carver Lumber to do business? Do they not care about small, locally-owned Peoria businesses? What does this action say to potential businesses who might consider locating in Peoria? What does it say to potential businesses who might consider locating in or near Pioneer Park? What does sacrificing Carver Lumber’s business for the sake of the Park District’s trail extension say about the city’s priorities? And where are the Peoria Journal Star reporters on this story? Isn’t it news that the City of Peoria is directly responsible for over $25,000 in additional transportation costs for one of its local businesses? Isn’t that outrageous enough to warrant an editorial, or at least a front-page story in the local section? I sure think so.

This whole project has been outrageous from the beginning, and the City Council should put a stop to it. The filing by Pioneer concludes:

There is a way by which CIRY can be relieved of its operating obligation, the City compensated for the use of its tracks, the environmental impacts adequately studied, and service to shippers maintained. That way is by granting the stay, reconsidering the Board’s decision, and then allowing PIRY to file an OFA [“offer of financial assistance,” i.e., allowing Pioneer to purchase the Kellar Branch from the city]. Granting the stay provides an opportunity for the Board to reconsider its decisions in light of the new evidence submitted by Carver, and correct its decision. The public as [a] whole will benefit.

I couldn’t have said it better myself.

Carver Lumber was promised some things by the city. The city promised that Carver would continue to receive rail service via the Kellar Branch until the new western spur could be completed. The city promised it wouldn’t stop service on the Kellar Branch until service via that western spur was in place and operating smoothly. And the city promised Carver that it would receive comparable shipping rates via the west.

The city broke its promises.

Now Carver Lumber has petitioned the Surface Transportation Board (STB) to overturn their ruling and force the city to reinstate service on the Kellar Branch. Pioneer Railcorp is also filing a motion to stay the STB’s ruling pending appeal in light of this new development.

You can read Carver Lumber’s grievances here. The STB ruling makes it possible for the city to start dismantling the Kellar Branch any time after January 22, 2006. However, the promised western spur is not yet complete, and the corners being cut in its construction will add to Carver’s shipping costs.

To make matters worse, they have received no shipments via the Kellar Branch since September, resulting in over $25,000 in additional shipping costs to truck the lumber from the rail yard to Pioneer Park. Why? Because the company the city hired to work the line, Central Illinois Railway (a subsidiary of DOT Rail in Granville, Ill.), is unable to haul the rail cars up the Kellar line. You may remember the last time they tried — and the whole load slid backwards down the hill and derailed.

Furthermore, even once the western spur is completed, the city has been unable to pursuade Union Pacific (the only line the western spur will access) to allow CIRY to use their tracks to make deliveries to Carver Lumber. Without trackage rights, they may be left without service entirely. That’s the trouble when you don’t have neutral access — the kind of neutral access they have via the Kellar Branch.

And why is all this nonsense going on? Because the Park District wants to remove a working rail line to put in a hiking trail. They’ve already driven potential business away from Pioneer Park because of this ceaseless quest to remove competitive rail service. Now it’s almost as if they’re trying to run Carver Lumber out of there as well.

The city could make things a whole lot easier on everyone if they would just kill this ill-conceived trail project and sell the rail line to Pioneer Railcorp. Then the Park District could use their grants to build a trail along a different route to connect the Rock Island with the Pimiteoui — a route that wouldn’t hurt Peoria businesses.