Branstad’s Amtrak decision to affect Cedar Rapids-based railroad

CEDAR RAPIDS - Additional jobs and some improved rail connections hang in the balance for one Iowa railroad as Gov. Terry Branstad considers whether to decline a federal transportation grant for Iowa City-to-Chicago rail passenger service.

Federal funding for the project would upgrade Iowa Interstate Railroad track and signaling along the route and provide an interconnection with the Burlington Northern Santa Fe Railroad at Wyanet, Ill.

Dennis Miller, president of Cedar Rapids-based Iowa-Interstate, said the interconnection with the Burlington Northern Santa Fe would improve freight shipping by providing an alternative route into Chicago when track maintenance or other issues restrict use of the existing line.

The Burlington Northern Santa Fe also would gain an alternative route to the Quad Cities from Chicago that bypasses the busy Galesburg connections, Miller said.

Miller said Iowa-Interstate likely wouldn't increase the speed of its freight trains much, if at all.

“In reality we could increase the speeds, but we probably wouldn't,” Miller said. He said faster train speeds would increase the risk of derailments for the freight trains, which are longer and carry more weight than passenger trains.

The track improvements would not cause Iowa Interstate to increase its train schedule into Chicago, Miller said, because it has limited “windows” available for train movements on the more congested Chicago area rails.

Amtrak would operate the passenger trains between Chicago, the Quad Cities and Iowa City. Iowa Interstate would be responsible for track maintenance, however.

The Iowa Interstate would expect to add one or two maintenance gangs of five to six people, and a small number of track inspectors.

The employment numbers aren't included in the updated economic impact analysis for the Amtrak service released earlier this month by the Iowa Department of Transportation, Miller said.

Iowa City Mayor Matt Hayek and the Iowa City Area Chamber of Commerce have urged Branstad to continue the state's support for the new route.

Miller said he doesn't have any particular insights into what Branstad's decision will be, although he has difficulty imagining that he will cancel the effort and return the money.