Is the Kellar Branch saved? It might be. Efforts to try to convert it to a bike trail have been dealt a serious blow.
Central Illinois Railroad Co. (CIRY), the City of Peoria’s operator for the Kellar Branch and western spur, has cooperated with the City since 2005 in seeking to close down the Kellar Branch so it could be turned into a hiking trail through town.
In a stunning reversal, CIRY at 4 p.m. Tuesday, December 5, filed with the Surface Transportation Board to withdraw its discontinuance request (i.e., its request to discontinue service over the Kellar Branch). Furthermore, whereas the City and CIRY had been using the same attorney (Thomas F. McFarland), the latest filing informs the STB that CIRY has a new attorney (John Heffner, Washington, DC) representing them.
Why the reversal? The filing states that CIRY “now wishes to withdraw the above-captioned discontinuance petition in view of new business opportunities on the line” (emphasis mine).
That’s right, there are at least two new businesses locating along the Kellar Branch that may be interested in having rail service. Along with Carver Lumber, that brings the total to three, and no doubt more businesses will locate on the line if the threat of closure is removed.
One of the potential new businesses is Globe Energy which recently purchased the building at 1610 Altorfer Drive. They provide large building energy efficiency equipment and service for Caterpillar and others. The other potential new business I’m not at liberty to divulge at this time.
However, CIRY further states, “Accordingly, CIRY will continue to provide service over this line as if it had never filed any discontinuance request.” That will be a problem. First, it could be argued that their contract with the City to serve the Kellar Branch expired when the western spur began operations. Second, even if they could prove their old contract was still in force, they would be in breach of it (again) — this time for not cooperating with the city to close the Kellar Branch. And third, the last time they tried to take a shipment up the Kellar Branch they had a runaway train, and that has made the City leery of their performance, though not leery enough to take any legal action against them to date.
What will happen next? Will the City sue CIRY for breach of contract? If so, it will be a first. They didn’t sue CIRY when they endangered the lives of Peorians with their runaway train. They didn’t sue CIRY when they didn’t provide rail service to Carver Lumber, even though they were in breach of contract then. It sure would be a slap in the face to residents and businesses if the only time they sued CIRY was when they actually wanted to start serving Carver Lumber, et. al., safely via the most cost effective route.
Will the City file an adverse continuance with the STB to throw CIRY off the Kellar Branch like they did with Pioneer and try to find yet another carrier that will cooperate with their ill-advised and increasingly futile attempts to turn the Kellar into a hiking trail?
Or will the City finally come to its senses and put an end to this nonsense once and for all and forget trying to convert this line to a trail?
Of course Pioneer Railcorp will continue its fight to be the carrier on the Kellar Branch.
Stay tuned for more twists and turns!