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Montgomery County Supervisors to continue discussions w/regard to Rail Spur acquisition

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June 26th, 2023 by Ric Hanson

(Red Oak, Iowa) – The Montgomery County Board of Supervisors, Tuesday morning, are expected to continue discussions held last week, with regard to the acquisition of a rail spur by the City of Red Oak. Last week, the Board received and discussed the Montgomery County Development Corporation’s proposal for joint financial support between the city and the county for repair of a Burlington Northern Santa Fe railroad spur stretching between Bunge to the railroad’s main line.

Economic Development Executive Director Steve Adams said the county is facing a time crunch for the repairs, as BNSF has agreed to pick up box cars on a timely basis, while Bunge would like remove the cars beginning August 1st. At the same time, Adams says his organization needs financial assistance for the repairs, previously estimated at $26,000. And, MCDC hopes to garner revenues from the line’s usage.

The rail spur is currently not in use, but Adams said with the possibility of business and industrial expansion in the county, it’s important to repair the spur, in order to maintain local control over the rail line.

In other business, the Montgomery County Supervisors, Tuesday, will act on approving:

  • Nishna Productions, Inc. annual contract (In the amount of $1,421) for FY 2023/24
  • A contract with the City of Red Oak Public Library for financial support ($17,820) for FY 23-24
  • A contract with the City of Stanton’s Public Library for financial support ($6,020) for FY 23-24
  • and approval of a grant agreement between the Iowa Economic Development Authority (IEDA), the City of Stanton and Montgomery County.

The Board’s meeting begin in their courthouse meeting room at 8:30-a.m., Tuesday.

*Please note, this is a public meeting; however, it may be conducted via ZOOM
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