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Committee creates account for $772,800 federal grant to study Elkhart & Western rail extension
Summary
The committee recommended creating an account to receive a roughly $772,800 federal FRA grant (a 75/25 grant) to study extending the Elkhart & Western Railroad to connect with Canadian National tracks; county staff said the study is preliminary and would require additional approvals and coordination with railroads and property owners.
The St. Joseph County committee voted to forward a request to create an account for federal grant proceeds tied to a rail feasibility study for the Elkhart & Western Railroad.
Bill Shalio, the county’s economic development director, told the committee the total grant is $772,800 and described it as a 75/25 federal grant: the federal share would cover roughly three-quarters of the study cost, while St. Joseph County and the Elkhart & Western Railroad would each be responsible for roughly $100,000 of the local match. “The total amount of the grant was 772,800. It's a 75/25 grant. So the county, through the redevelopment commission, would be in for half of 25% or a 100,000 roughly. Elkhart And Western would be in for a 100,000 roughly, and then the federal government would pay the rest of the grant,” Shalio said.
Shalio said the purpose of the grant is to study the feasibility of extending the Elkhart & Western line from its current terminus at Current Road up toward Cleveland Road to connect to the Canadian National tracks, following a corridor along Capitol Avenue. He described potential economic-development benefits from connecting a short-line railroad to two Class I railroads, but noted obstacles and that the study is preliminary. “We don't know that it's possible. There's some obstacles we gotta work around, so that's why we're doing the study,” Shalio said.
Staff told the committee the project previously served downtown Mishawaka and that the corridor was altered years ago when Capitol Avenue was built, which is why the extension would require evaluation of property impacts and crossing configurations. The federal Railway Administration must complete internal staffing and paperwork before the grant can move into contracting, Shalio said. The committee moved the item forward with a favorable recommendation.
Next steps: staff will await paperwork from the Federal Railroad Administration and proceed with grant-account set-up and the procurement process for the study once federal approvals and agreements are in place.
