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Midwest City council authorizes acceptance of federal rail grant to fund industrial spur
Summary
The council authorized the city manager to execute documents to accept a Federal Railroad Administration CRISI grant to build an industrial rail spur in the Soldier Creek Industrial Park; staff warned the project is about two years behind schedule and costs remain uncertain pending bids.
The Midwest City Council voted unanimously to authorize the city manager to execute all documents necessary to accept a Federal Railroad Administration (FRA) Consolidated Rail Infrastructure and Safety Improvements (CRISI) grant to develop an industrial rail spur serving the Soldier Creek Industrial Park.
City staff told the council the project has fallen about two years behind schedule and that the project's final cost remains unknown until the city solicits bids. “Every minute of [delay] could affect our cost,” said Mister Coleman, a city staff member who answered council questions. Coleman said the grant is a reimbursement-type award and that the city was able to move money originally budgeted for a different rail project to the Soldier Creek spur. “It's just a blessing more than a curse,” he said.
Why it matters: The rail spur is intended to serve industrial users in Northeast 20 Third Street corridor; staff said American Glass needs rail service by 2026. Councilmembers pressed staff on transparency and financial oversight because the authorization delegates execution of grant documents to the city manager rather than routing every approval back to council.
Council and staff clarified the immediate next steps. Staff said the measure before the council only authorizes acceptance of the federal funds and the city manager to sign grant paperwork; construction and professional services still must be bid and brought back to council for award. “This is just authorizing us to move forward with the grant. ... that bid will come back to you for an award,” Coleman said.
Council members asked why the project lagged. Coleman said much of the delay stemmed from the federal grant process and unfamiliarity with the FRA's procedures; the city engaged an outside grant administrator to help navigate the award and keep the project moving.
The motion to authorize the city manager to execute the necessary grant documents passed by unanimous voice vote.
What remains unclear: Staff said engineers' cost estimates are dated and that tariffs or market changes could alter final prices; a formal project bid and a construction contract have not yet been issued. The motion does not authorize any construction contracts or expenditures beyond accepting the grant paperwork and moving forward with procurement steps.
Councilmembers asked staff to keep the council informed as bidding, estimates and schedules are updated.
