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RESOLUTION NO. R-1314-108: A RESOLUTION OF THE CITY OF NORMAN URGING THE OKLAHOMA DEPARTMENT OF TRANSPORTATION AND THE STATE OF OKLAHOMA TO RETAIN OWNERSHIP OF THE SOONER SUBDIVISION RAIL LINE FOR CURRENT AND FUTURE PASSENGER RAIL TRANSPORTATION OPPORTUNITIES, AND FOR THE ECONOMIC AND QUALITY OF LIFE BENEFITS DERIVED THEREFROM, FOR THE CITIZENS, BUSINESSES, CITIES AND TOWNS OF THE STATE OF OKLAHOMA.
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BACKGROUND: In response to the increasing number of rail line abandonments in the 1970s and early 1980s, the State of Oklahoma acquired several rail lines threatened with abandonment. The State recognized the need to preserve branch lines that were important to Oklahoma's commerce.
The Oklahoma Department of Transportation (ODOT) initially acquired over 600 miles of rail lines with $22 million in state funds. The State acquired these lines mostly as the result of liquidation of the Chicago, Rock Island and Pacific Railroad Company (CRIP) following its bankruptcy and through abandonments that peaked after the 1980 economic deregulation of the rail industry. As revenues developed from the leases of these initial purchases, the State made additional acquisitions, eventually owning close to 980 miles of rail lines. Significant mileage under the lease/purchase arrangements are reverting to the railroads as they take title to the properties. Oklahoma now owns 428 miles of rail lines. Currently, all but less than 8 miles are in service with five different operators.
One of the lines purchased by the State links the cities of Del City and Sapulpa. The line is known as the Sooner Subdivision Rail Line (Sooner Sub). ODOT currently leases the line with an option to purchase to the Stillwater Central Railroad Company. This company is a subsidiary of the Watco Companies and is considered a short line railroad operator with primary business in the handling of mined, mineral and industrial products.
In October of 2008, the U.S. Congress approved the Pa...
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