By David Ball
BEAUMONT — BEAUMONT — The relocation of the port of Beaumont’s rail interchange yard could have a regional effect and benefit Port Arthur.
Port director Chris Fisher said the port of Beaumont always takes a regional approach to business.
“As the port of Beaumont grows, it benefits the region and Port Arthur,” Fisher said. “Port Arthur has benefited with Beaumont being the primary strategic (military cargo) port. It benefits the area and for cargo we can’t handle, we’re glad it goes to the other ports. And with the petrochemical industry expanding, it’s better to have this rail in place for the expansion.”
Commissioners of the port of Beaumont approved agreements to include a new Rail Transportation Agreement with BNSF, UP and KCS Railroads serving the port and the Local Transportation Project Advance Funding Agreement with TxDOT.
Plans to relocate the port’s rail interchange yard to promote downtown development began with a meeting between city and port officials in the mid-1990s.
When the current Beaumont Civic Center, City Administration Building and Riverfront Park were built, part of the land was transferred to the city by the port. The remaining site, roughly eight acres, is used as an interchange yard — five sets of tracks where railcars are exchanged between the port and the railroads.
A rail interchange yard is the place where the railroads deliver railcars for loading and unloading by the port. In the yard, trains are made up or cut into shorter lengths before being delivered or pulled from port facilities. Switching to and from the yard takes place around the clock., creating traffic and noise which is not compatible with riverfront redevelopment.
C. A. “Pete” Shelton, port commission president, said it has been a considerable challenge with the rail relocation.
“They’ve done a wonderful job for us. Everyone in this city will benefit,” he said.
Commission Vice President Henry Nix said three things have benefited the port of Beaumont, including the purchase of Orange County property, the military administration headquarters building established within the port and the rail relocation project.
As negotiations and studies continued, port officials continued to work on the rail relocation. In 2002, the port developed its own proposal which would relocate all of the interchange activity completely inside its existing fence line. Port officials began to work with the three railroads to build a consensus on the new plan.
While negotiators with the three railroads, port officials began to seek funding for the project, which now carried an estimated price tag of $16 million.
Federal funding from two sources was found that would cover nearly 80 percent of the cost of the project. The South East Texas Regional Planning Commission helped the port acquire a grant under Congestion Mitigation Air Quality, CMAQ.
CMAQ programs will pay more than $7 million. Congressman Ted Poe secured an additional $5.1 million in funding in the Transportation Bill in 2005. The port will provide the matching construction funds of $3.8 million — 20 percent of the $16 million construction cost— plus the design engineering and construction management, and 15 acres of port property on which the new tracks will be built.
Including the estimated value of the existing interchange yard the port will demolish upon completion of the project, the port’s total commitment to the project is nearly $9 million.
The last hurdle to be cleared came this summer when a new Rail Transportation Agreement was negotiated between the port and the railroads, paving the way for the release of funds by the TxDOT to pay for the federal share of the improvements.
Mayor Becky Ames said everyone has been diligent in working on this project since 1995.
“This is a great day and I thank everyone for their commitment,” she said.
Port officials expect the first construction contract to let in spring 2009. Construction of the project is expected to take about one year.