Track availability

[Vincent "Lightning" LeRow]

Pehaps we could offer him $500 per ton conditional on him finding matching joint bars...eh?

Then that would reduce the cost of getting this rail by $1,800 to $34,550.  And then any consolidation on the trucking as well, say about $2K to $32,550.  And, if we're carefull, we might be able to set up some kind of payment plan like a lay-away in department stores.  ( commonly 20% up front ($6,510 for us) and the rest paid over x amount of months)  There is also the option of putting in the 'contract' that when half has been paid then half gets shipped, and when paid in full the rest gets shipped.  That would give us enough rail for this falls track laying and ensure it for next year.  All it will take is some finageling, the aproval of the WW&F masses, and the board.  * This means no aditional loans and no aditional assets in debt. *  I feel that this may be an excelent oportunity for rail, and will alow us to 'stockpile' without paying the full cost up front. 

Of course this would still depend on the sellers willingness to find joint bars and willingness to enter this kind of sale contract/obligation.  What is the response to sounding out this kind of possibility?

[John Kokas]

At 36k, the rail deal is really good.  I'd say negotiate a rail deal, let the board decide whether or not to do it and let the chips fall where they may on the joint bars (for now).  I'm willing to contribute if we need a "special" fundraiser for joint bars or we could possibly look at some of that scrap rail in Mass. as a way to raise the other cash.  Your thoughts.............?

[Vincent "Lightning" LeRow]

John,

In the thread regarding the MA rail, I suggested that we pull as much as we can and sell what we can't lay but, for some reason, the majority of members of this forum are verry oposed to pulling rail that we won't turn arround and lay on our ROW.  Even if it means purchasing rail that we can.  I personally see no reason why we can't get the rail on the abandoned ROW in MA donated to us and then sell it for enough cash to buy the Minessotta rail.  I'm sure that if we pulled the entire remains of that line that we would have enough to buy the rail, and bars from somewhere(even if we needed them made new).  There is aprox. 2 miles of abandoned ROW with rail and switches remaining on it.  Do the math, even for only $100 per ton, we still make out the better for doing it, with trucking being $500 per 20-24 tons.  There are even ties on that ROW we could use as relay ties.

If we were to get the rail donated to us and we removed all of it, we stand to profit aproximatly $24K (assuming we recieve $100 per ton) after paying for trucking to ME.  That would double the amunt of money available to purchase rail this year to nearly $50K.  More than enough to purchase the Minesotta rail and anything else we would need to lay it in place on our ROW.  Not to mention any ties, spikes, and 60# rail we may remove from MA as well.  All positive #s by the way.  Even if we paid a nominal fee of $25 per ton to the current owner we would still make a hefty profit of $16K from this adventure.

I live 10 minutes from that rail, my brother and I and a friend or two could easily go and pull spikes out for a few days at a time if we had the right tools.  It would be nothing for us to prepare it for removal and then have a concerted effort to just pick it all up at once.

I've said my piece; now does anyone else have some thoughtfull comments on the situation?

[Mike Fox]

Vincent, if you really believe that is a good idea, someone has to do all the legwork. If you can find out who owns it, plans for it, etc., then maybe something can be done.
   I know of only a few board members that visit this forum regularly. So the best way to get anything done is the old fashioned way. Find out all the information, write up some kind of presentation, and pass it along to a board member for them to bring up in a board meeting.
  I know a lot of people in the area there would be willing to help with a project so close to home.