Duchesne County holds public hearing on private-activity bonds for Uinta Basin Railway

Duchesne County commissioners on Thursday held a public hearing to receive testimony on a proposed allocation of private-activity bonds to finance the Uinta Basin Railway, a project sponsored by the Seventh County Infrastructure Coalition. No action on the bond issuance was taken at the meeting.

Bond counsel Tim Stratton told the commission the hearing satisfies requirements under IRS tax regulations for issuance of tax-exempt private-activity bonds and that Duchesne County, as a host county, must hold a public hearing. "This hearing that we are having here today is one of a couple of public hearings that we have to have in order for the coalition to issue its bonds," Stratton said.

The hearing drew several speakers who spoke in favor of the railway. Irene Hansen, who identified herself as a Roosevelt resident and said she was speaking as a private citizen, praised the project’s timing and potential economic benefit. "The stars are aligned," Hansen said, adding she hoped the railway would help diversify the local economy and keep younger residents in the region.

A written letter read into the record from Reg B. Johnson, director of the Public Lands Policy Coordinating Office (PLPCO), said the state office "strongly supports" the Seventh County Infrastructure Coalition’s application for an allocation of private-activity bonds to finance the Uinta Basin Railway. The letter described PLPCO’s coordination with federal agencies including the U.S. Forest Service, the Bureau of Indian Affairs, the U.S. Fish and Wildlife Service and the U.S. Surface Transportation Board to address permitting and regulatory issues.

Other supporters who spoke included local officials and business representatives. A representative from Roosevelt City said the railway would help local agriculture and industry find markets beyond the region. Steve Rogers, director of public relations for Patriot Engineering, called the railway an "enabler for the diversification of the economy" and said it would reduce traffic and safety pressures on Highway 40. Greg Buxton, principal engineer for Patriot Engineering, and Duchesne County resident Greg Miles also voiced support.

Speakers and the written testimony emphasized a broad set of potential uses for the railway beyond oil and gas, naming agriculture and other natural-resource shipments as possible beneficiaries. The written statement read for PLPCO estimated the Seventh County Infrastructure Coalition’s bond commitment at up to $2,400,000,000; the letter framed that financing amount as evidence of regional backing for the project.

Commissioners did not take a vote on approving the bond issuance at this meeting. After public comment, a motion was made to close the public hearing; the commission approved the motion and closed the hearing. No further formal action on the bonds was recorded during the session.

The record shows the hearing was intended to fulfill IRS public-hearing requirements for tax-exempt private-activity bond issuance in a host county and to collect public views for the issuer and Duchesne County to consider before any subsequent county approval of bond issuance.