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City moves forward on Reed Avenue rail-crossing agreement with BNSF despite unknown costs
Summary
City engineer said a 22905 agreement with BNSF is required to advance a federal rail-crossing elimination grant; the agreement establishes the framework to compensate the railroad later, but the city had no firm cost estimates at the committee meeting and one councilmember voted no over the lack of numbers.
City Engineer Tom Cobb told the finance committee the city must execute a 22905 agreement with BNSF to advance a federal Railroad Crossing Elimination Program grant for the Reed Avenue corridor.
Cobb said the agreement obligates the city to compensate the railroad at a later date but does not set a payment now. He described preliminary discussions that suggested a potential compensation parameter of roughly 10% of the appraised value of property used within the corridor, but he said the appraisal process is ongoing and the final cost is undetermined.
Councilman Moody said he would vote no on the committee recommendation because the record did not contain concrete cost figures. The committee otherwise voted to forward the agreement to the governing body with Councilman Moody recorded as the sole no vote in committee.
Cobb said the signed 22905 agreement is a prerequisite of the federal authority that will not permit the city to move forward without it; he said additional negotiation and a later construction and maintenance agreement will determine the ultimate compensation terms with BNSF.
