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CSX Selects McKees Rocks and Stowe Township, Pennsylvania For $50 Million Intermodal Facility

Area Development Online News Desk (10/17/2013)
CSX Corporation, and its transportation and intermodal terminals subsidiaries, plan to design and build a new $50 million intermodal facility in McKees Rocks and Stowe Township, Pennsylvania, near Pittsburgh.

The proposed site in McKees Rocks will redevelop the former Pittsburgh & Lake Erie Railroad Yard, which operated for over 100 years. Once operational, the facility will support approximately 40 on-site jobs, 40 drayage jobs and 100 indirect jobs throughout the region as a result of improved transportation access and distribution opportunities for local and regional businesses.

The railroad said its proposed facility will create transportation saving opportunities by giving western Pennsylvania shippers direct intermodal freight rail access, allowing for the shift of long-haul freight from highway to rail and strengthening the transportation infrastructure serving the region's economy.

"We look forward to deepening our long-standing relationship with the Commonwealth of Pennsylvania through our commitment to invest up to $50 million on a facility that will create more economic opportunity for its residents and significantly enhance distribution opportunities for its businesses," said Michael J. Ward, Chairman, President and CEO, CSX.

CSX expects to complete planning, design, permitting and property acquisition for the approximately 65-70 acre Pittsburgh Intermodal Facility in 2014, with the goal of beginning the two-year construction process in 2015. As part of the design process, CSX will work with local officials to ensure the terminal supports local industrial development already in the planning stage.

"This facility will further enhance the ability of businesses in the Allegheny County region to expand their presence and quickly and efficiently deliver products to the global marketplace," said Allegheny County Executive Rich Fitzgerald.

The Pittsburgh Intermodal Facility will utilize CSX's National Gateway project, an $850 million public-private partnership to create a highly efficient and environmentally friendly double-stack cleared rail corridor on the CSX network between the Mid-Atlantic and the Midwest. Funded by CSX and its federal and state government partners, including a $35 million Pennsylvania Transportation Assistance Program Grant, the National Gateway will create more than 9,000 jobs in Pennsylvania. In early September, the National Gateway coalition announced that the first phase of the project had been cleared, making way for double-stack intermodal rail service between CSX's intermodal terminal in Chambersburg, Pa., and its new state-of-the-art hub facility in Northwest Ohio.

"This intermodal facility is the biggest missing piece of a development puzzle that we have been assembling for over a decade," said Taris Vrcek, Executive Director, McKees Rocks Community Development Corporation. "CSX is a proven partner who has demonstrated how these facilities can have far-reaching impact and change market dynamics. When you couple this catalytic $50 million investment with the adjacent Rocks Industrial Park, $2 million in corporate commitments for Main Street development on lower Chartiers Avenue, and the $40 million reconstruction of West Carson Street, this signals a new beginning for McKees Rocks, Stowe Township and our neighboring communities."

"CSX's investment in the intermodal terminal will help open our region to global markets and have an immediate positive impact on the communities of Stowe Township and McKees Rocks," said Dewitt Peart, president, Pittsburgh Regional Alliance. "When completed, this critical element of infrastructure will also benefit businesses throughout our region in helping expedite the shipment and delivery of goods and materials."


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