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Xcel submits rail application

Wednesday, May 30, 2007

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By Matt Stensland (Contact)

Photo by Matt Stensland

To feed the Hayden Station power plant, Xcel is proposing installing a railroad line that would go over U.S. Highway 40 near an existing bridge that crosses the Yampa River.

Steamboat Springs — Xcel Energy wants to use a right-of-way it controls to build a new railroad line to supply coal to the Hayden Station.

The line would extend from the east end of the Carpenter Ranch southeast to the coal-fired power station. A new overpass would be built to bring the line across U.S. Highway 40 about 200 yards west of where the highway crosses the Yampa River.

Last week, Xcel submitted 25 copies of its special use permit application to Routt County Assistant Planning Director Chad Phillips, who began reviewing it for completeness. Copies of the application are available at the Steamboat and Hayden libraries.

Xcel looked at nine options for locating the rail line and, after a lengthy public process, chose Alternative 2. Approximately 10,500 feet of rail would be reconstructed in addition to an at-grade crossing on Routt County Road 27.

“It feels good that we’ve gotten to a consensus with the community,” said Michael Diehl, Xcel siting and land rights supervisor.

Diehl said Alternative 2 will have the least impact on the community and landowners because Xcel will not have to acquire any new land.

“It became apparent that it would have been difficult to acquire land rights,” Diehl said.

Diehl said if the special use permit is approved, construction could start by the summer of 2008 at a cost of about $40 million.

“This is not the cheapest alternative, and it’s far from the most expensive alternative,” Diehl said. “We kind of took the middle ground.”

Xcel would want the rail line operational by 2011, which is when its coal contract with Peabody Energy expires.

Xcel has been working with Routt County and community members since 2004 to figure out how to build a rail line to the plant. Currently, coal is trucked on County Road 27 to the plant from the Peabody-owned Twentymile Coal mine. Both county officials and Xcel want the trucks off the road.

Xcel believes rail access will help guarantee future coal supplies at the best prices.

Many community meetings and hearings have been held to discuss the options. The most recent meeting was a March 13 pre-application meeting with Routt County commissioners. Community members filled the Commissioners Hearing Room and gave input.

Some attending expressed concerns about more train traffic at the Carpenter Ranch, according to meeting minutes. People were concerned it could affect the bird watching.

Commissioners on Tuesday said they had not seen Xcel’s application.

“We can’t make up our minds until we hear all the information,” Routt County Commissioner Diane Mitsch Bush said.