Notes to SEFA
Purpose The purpose of the Oklahoma Department of Transportation Kiamichi Railroad Tri-State Freight Rail Improvement Project: 69A36523403770CRSOK (Grant) is for enhancements to the Kiamichi Railroad Company LLC rail infrastructure through various track improvements, rehabilitation of several bridges, and surfacing improvements at numerous grade crossings. This undertaking seeks to modernize the infrastructure to: accommodate 286,000 lb. GRL capacity from the current 263,000 lb. GRL capacity, upgrade track to Class 2 track standards to raise the maximum allowable speed (for freight trains) from 10 miles per hour to 25 miles per hour, bring back into service a 13-mile segment to service a lumber mill, and to minimize safety incidents and disruptions to network operations associated with derailments. Kiamichi Railroad Company LLC Kiamichi Railroad Company LLC (KRRR) is a subsidiary of Genesee & Wyoming Inc. (GWI). GWI owns or leases more than 100 freight railroads throughout North America. The operations included two regions (National and American) that served 43 U.S. states and five Canadian provinces with over 4,000 employees serving 2,000 customers over more than 13,000 track miles. GWI also provide rail service at more than 30 major ports, rail-ferry service between the U.S. Southeast and Mexico, transload services, and industrial railcar switching and repair. Terms of the Grant The term of the Grant agreement between KRRR and the Oklahoma Department of Transportation, is valid for a period from the date of execution of the Agreement (November 2022) through the required completion date, April 30, 2027. The total cost of the project is $20,012,578. The Oklahoma Department of Transportation will utilize federal funds available under the Consolidated Rail Infrastructure and Safety Improvement funding to reimburse KRRR up to 50% of the total cost of the project, up to a maximum of $10,006,289. The remainder of the project will be funded by KRRR.