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Klamath Falls will seek OLDCC funds to study rail spur and design apron expansion at regional airport

Klamath Falls City Council · May 19, 2026
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Summary

Airport staff told the council the city will apply for up to $1 million from the Office of Local Defense Community Cooperation to study a rail spur and bulk fuel storage at Crater Lake‑Klamath Regional Airport and to fund engineering design for a north apron expansion; the program requires a 10% local match (about $100,000).

City airport staff on May 18 told the Klamath Falls City Council they will seek up to $1 million in OLDCC (Office of Local Defense Community Cooperation) installation readiness funds to study a rail spur and bulk‑fuel storage at Crater Lake‑Klamath Regional Airport and to fund engineering design for an identified north general‑aviation apron expansion.

Airport staff described two separate projects: a feasibility study to evaluate whether adding a rail spur and a bulk fuel storage tank farm would be viable and beneficial regionally, and engineering design work for an apron expansion already included in the airport's master plan. Staff said a favorable feasibility outcome could position the airport as a regional fuel hub and reduce local fuel‑transport costs.

Colin Grady, speaking for airport staff, said the OLDCC award would be primarily competitive for construction stages but the installation readiness category offers noncompetitive awards for approved feasibility and design projects. He noted the program requires a 10% local cost share; for a $1,000,000 request that would equal approximately $100,000, which the city could provide through cash or in‑kind staff time.

Councilor Angeli and other councilors expressed support, citing potential resilience benefits for Cascadia earthquake‑related disruptions and routine cost savings if fuel could be delivered by rail.

Council authorized airport staff to submit the OLDCC application not to exceed $1,000,000 and to accept the funds if offered. Staff said subsequent steps would include feasibility work and then, if warranted, later competitive construction grant requests.