UP CEO: Federal stimulus package would help railroads
(The Associated Press circulated the following on January 23, 2009.)
NEW YORK The uncertain economy is hurting the nation's major freight railroads because shipping demand has fallen. But Union Pacific Chief Executive Jim Young said Thursday the railroads should be helped by a stimulus package if Congress approves one.
And the railroads will benefit regardless of whether most of the stimulus money goes to consumers or whether it goes to major infrastructure projects because either will contribute to higher shipping demand.
But it's difficult to make plans based on a stimulus package because it's hard to predict when one might get approved and how quickly it might affect the economy.
Stimulus package? Would that be anything like the Heartland Corridor or maybe the National Gateway Corridor? That sort of resembles a stimulus package. Oh, that's construction package, never mind.
PHILADELPHIA -- SEPTA's board increased contracts to four engineering firms by $6.25 million on Thursday (Jan. 22) to ensure there are ready-to-go projects when and if federal economic stimulus dollars arrive, the Philadelphia Business Journal reported.
Between $225 million and $250 million in federal stimulus funding could be headed SEPTA's way, SEPTA Chief Financial Officer Rich Burnfield said. SEPTA has identified more than $400 million in projects, some of which are already in the design phase, that will be ready to move quickly to take advantage of such funding, Burnfield said.
"It's our understanding, based on what we are seeing in terms of legislation in Washington, you have to award contracts and commit funding for 50 percent of your allocation within 120 days," Burnfield said. "It's our understanding the legislation will be use it or lose it, so we want to make sure we can spend every dollar."
SEPTA increased funding to four engineering firms, so that they would have a good mix of projects, Burnfield said. On Thursday, $2 million each was awarded to Gannet Fleming Inc. and HNTB Corp., $1.5 million to Urban Engineers Inc. and $750,000 to Burns Engineering.
Among the projects on the ready-to-go list are a $28 million renovation of the Girard and Spring Garden station on the Broad Street subway line and the renewal of the Croydon station on the R7 Trenton regional rail line, both of which are already in design. Other projects include the $14 million replacement of track at the Fern Rock shop, which would be designed by Gannet, a $5 million replacement of a roof at the Woodland stop, which would be designed by Urban Engineers and a $6.5 million bridge rehabilitation program for five bridges, which would be designed by HNTB.
"We really want to hold true to the intent of the legislation, that legislation is really to create jobs," Burnfield said.
(The preceding article was published January 23, 2009, by the Philadelphia Business Journal.)
