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UPDATE a Publication of the Michigan Railroads Association

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UPDATE a Publication of the Michigan Railroads Association SPRING 2020 MRA RAIL UPDATE A publication of the Michigan Railroads Association Photo Courtesy of Kyle Korienek Kyle of Courtesy Photo WHat IS TRANSLOADING? hen products are transloaded, they are What Products Can Be Transloaded? moved from trucks to rail cars, or vice Just about any product can be transloaded Wversa. Often, shippers want to combine between trains and trucks and back again. Some the economic advantages of shipping by rail with typical examples include: the flexibility of over-the-road trucking, using affordable rail shipping for the long haul and Standard Rail Commodities: Lumber, metals, trucks for final delivery. Transloading allows this paper, rebar bundles, palletized products to be possible. Bulk: Sand, plastic pellets, soda ash, flour Oversized: Transformers, wind blades, Why Transload? machinery, military vehicles Transloading provides options - primarily Service Sensitive/Critical: Auto parts, parcel, economical railroad transport with the flexibility frozen food, produce, other perishables of other logistics partners. As shipments move seamlessly between modes, you get the And more: Bricks, floor tile, coil, solar panels economies of rail without the investment in and beyond track, allowing you to ship affordably throughout Local Example - Beer Malt? North America and expand your market reach. Railroad companies and shippers are always Most shippers turn to transloading to lower looking for options pertaining to shipping their From left: Kirk Small, Sales Manager Grand Elk transportation costs and access the benefits of Railroad and Northern Dry Bulk owner Tom Kunse products. This is exemplified by the recent monitor transloading of malt product for West rail. Typically, shipping by rail is a more affordable partnership between The Grand Elk Railroad Michigan breweries. Jeff Platschore, Northern Dry shipping option. However, many shippers — or and Northern Dry Bulk to provide Grand Rapids Bulk, is operating the transload conveyor. Photo Credit: Grand Elk Railroad. receivers — don’t have tracks at their door. With breweries with Malted Barley. transloading, it doesn’t matter: all shippers and receivers can benefit from rail. When Kirk Small (Grand Elk) and Tom Kunse CONTINUED ON Page 2 FROM THE PRESIDENT IN THIS ISSUE he Michigan Railroads The legislation, Senate Bill 364, would create a Association continues local public infrastructure program within MDOT Railroad Contacts . 2 Tto work with to determine which congested crossings in our stakeholders in supporting state would be eligible for a grade separation Moving Michigan . 3 Jon Cool, President the Local Grade Separation project. Crossings with the greatest need score @MI_FreightRail program. This proposal as most eligible. would have MDOT administer We appreciate the partnership with firefighters, CN Live Lift . 4 a program to support local law enforcement, manufacturing and business, communities and railroads in separating the regional local planning groups, the auto industry Operation Lifesaver . 5 grade (road and track) at some of the state’s and a trauma center in our efforts to find a most congested crossings. solution to this public infrastructure problem. Suicide Hotline . 6 CONTINUED ON Page 2 Spring 2020 MRA RAIL UPDATE 1 CONTINUED FROM Page 1: WHAT IS TRANSLOADING? (Northern Dry Bulk) discussed options for often times extremely bringing in this new product to the Watco cost-effective over long Hughart Yard, they focused on how to create distances. By utilizing a transload program to not only benefit the a combination of primary customer – but also other West Michigan transportation modes, brewers as well. companies can consolidate New equipment was needed for this project. In loads and cut down on total this instance, a food grade auger for the grain costs by comparing the was needed. A new conveyor was brought in to prices of various shipping methods. find the right solution for the customer - to meet Grand Elk Railroad loading sand at their Grand Rapids operations. their needs. Transloading improves The Grand Elk and Northern Dry Bulk program flexibility during distribution. transloads their product from train to could become a gateway for the craft beer With transloading, there are several points truck may be more successful in that rural supply chain in Michigan - if all goes well. of transfer where the company can alter the community than companies that only ship course of the shipment if necessary, making by rail. EACH RAILCAR CARRIES ENOUGH MALT TO distribution faster and more adaptable to Transloading storage facilities allow MAKE ROUGHLY 125,000 GALLONS OF AN change. Especially for long-term shipment, shippers to strategically consolidate and AVERAGE BODIED BEER. flexibility can be a huge advantage. THAt’s more tHAN 1 MILLION CANS. position product near its end destination or Additionally, when a company relies solely alternative transportation port, improving the There are many other similar local examples of on one mode of transportation to get their speed and efficiency of delivery. railroads operating in Michigan finding a solution product from Point A to Point B (without for their customer’s needs. Think outside the transloading), they assume more risk. A SINGLE RAIL CAR CAN CARRY box for freight shipping needs. Don’t hesitate to Transloading extends a company’s reach. THE CONTENTS OF THREE TO FOUR reach out to the railroad near your operations to Shippers who utilize several different modes explore possibilities (see contact list below). TRUCKLOads — and tRAINS ARE of transportation (each boasting its own FOUR TIMES MORE FUEL EFFICIENT network of destinations) have access to a THAN TRUCKS. THESE EFFICIENCIES Recap - The Benefits of Transloading wider net of destinations domestically and REDUCE YOUR TRANSPORTATION COSTS, Transloading is a method of mitigating internationally. ALLOWING YOU TO SHIP HEAVIER LOADS transportation costs. Certain modes of For example, a rural area may only be FARTHER, ALL WHILE SPENDING LESS. transportation, like rail or vessel, are accessible by road — a company that RAILROAD ECONOMIC DEVELOpmeNT CONtaCTS Adrian & Blissfield Rail Road CSX Transportation Huron & Eastern Railway Lapeer Industrial Railroad 734.641.2300 317.267.4981 989.293.7803 734.641.2300 Ann Arbor Railroad Detroit Connecting Railroad Co. Indiana Northeastern Marquette Rail LLC 419.726.4181 734.641.2300 517.439.4677 260.415.0846 Canadian Pacific Railway Escanaba & Lake Superior Indiana & Ohio Railway Michigan Shore Railroad Railroad 202.585.0250 260.415.0846 260.415.0846 906.786.3464 Jackson & Lansing Railroad Co. Charlotte Southern Railroad Mid-Michigan Railroad Grand Elk Railroad 734.641.2300 734.641.2300 989.293.7803 757.632.5787 Lake State Railway CN Grand Rapids Eastern Railroad 269.753.4957 Mineral Range 708.332.4705 260.415.0846 Lake Superior & Ishpeming 906-360-6849 Conrail Great Lakes Central Railroad Railroad Norfolk Southern 215.209.5019 989.725.6644 906.475.9693 317.819.7672 CONTINUED FROM Page 1: FROM THE PRESIDENT The legislation has been unanimously approved program for railroads and rail shippers. Freight rail takes 4.7 million truck trips off of by the State Senate on a 38-0 vote. Please A rail grant program could help preserve Michigan roads annually. SB437 can help ship contact your area legislative House member essential rail freight service and stimulate more goods by rail - helping to preserve our road and Governor Whitmer to share your support economic development through the generation & highway network. for SB364. Thank you to Senator Dale Zorn of new or expanded rail freight service. If you would like to help advocate for the (R-Monroe) for introducing the bill. Another goal of this type of program would be passage of these legislative priorities, We also look forward to a committee hearing to encourage the continuation of rail service in please contact the MRA at 517-482-9413 or soon on the Freight Rail Development and light density areas. Michigan does not currently [email protected]. Preservation program. Senate Bill 437 would have a rail grant program and this places some provide for a competitive cost-share grant railroads and shippers at a disadvantage. Spring 2020 MRA RAIL UPDATE 2 MOVING FeaturiNG MICHIGAN CN ON TRACK FOR OVER 100 YEARS 019 was a historic year for CN as it celebrated 100 years on the move. Its rich history as a transportation industry innovator 2and leader reflects the key role CN has played in growing the BARAGA Michigan economy. MARQUETTE SAULT STE.MARIE Today, CN is the largest of the four Class I railroads operating in MUNISING Michigan. CN’s tracks crisscross the state’s Lower Peninsula with rail TROUT LAKE yards in Battle Creek, Flint, Port Huron, Flat Rock, Lansing, Pontiac, IRON MOUNTAIN MANISTIQUE Detroit and Ferndale, which is home to CN’s Moterm Intermodal ESCANABA Terminal. POWERS FLINT MENOMINEE DURAND PORT HURON LANSING CHARLOTTE PONTIAC BATTLE CREEK DETROIT TRENTON KALAMAZOO MONROE DIANN CN locomotive 8904 pulls auto racks and mixed freight through Battle Creek, MI. Photo Credit: Alex Christmas. CN’s Paul Tellier Tunnel between Port Huron and All these facilities link Michiganders to CN’s inspection railcars, increased capacity at the Sarnia serves as the main border crossing for CN 20,000-mile transcontinental network, which Flint auto compound, and maintenance of track traffic moving between Eastern Canada and the connects nine ports on the Atlantic, Pacific and infrastructure. Gulf of Mexico to communities large and small. Midwest. Our
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