PORT BOARD GIVES FIRM GO-AHEAD ON RAIL PLAN

SCOTT CITY - The Southeast Missouri Regional Port Authority Board of Commissioners Monday authorized an engineering firm to proceed with the design of the final phase of construction of a rail spur into the port.

The board also gave tentative approval to Midwest Agri-Chemico to construct a one-million-gallon tank to store liquid fertilizer on property it is leasing from the port.

Construction of the first phase of the rail spur, which is primarily site preparation, will be finished about the first of December. After some discussion, the board authorized the Jackson firm of Bowen and Lawson to proceed with design for actual construction of the spur and to seek bids as soon as possible.

"They can proceed, and hopefully by the next meeting can tell us when to let bids for the railroad construction," said Chairman Morty Potashnick of Sikeston.

Executive Director Allan Maki said it was his understanding that winter weather would have little impact on construction of the rail spur. He said that by acting now the line could be in place by spring.

The spur is the last remaining project of the first phase of development at the port authority. Once the spur is completed, the port commissioners will have to evaluate future capital projects and a funding source for them.

Maki advised the board that funds earmarked for capital improvements and a $300,000 Federal Railroad Administration grant would cover the costs of constructing the spur.

Russ Mothershead of Midwest Agri-Chemico said he wanted to begin construction of the tank to store fertilizer. "The liquid will be new tons to the port beside any tons coming through the port now in dry fertilizer," said Mothershead.

"Construction of this tank will be a very big thing for our company and hopefully for the port authority as well," he said.

Mothershead said the tank will be 85 feet in diameter and 24 feet high. Barges will unload directly into the tank and then fertilizer will be pumped from the tank onto trucks for distribution.

Maki pointed out that the lease agreement calls for the board to approve any structures built by Midwest.

"The board is all for you and will help you get the tank in any way it can," said Potashnick. "If you meet all governmental requirements and you are satisfied with the engineering design, go with it."

Mothershead said he would begin site preparation later this summer and would start construction in the fall as soon as all permits have been secured and final design is completed.

He explained that a million gallons of fertilizer is the equivalent of 5,300 tons or three barges of dry weight.

Mothershead also told the board he appreciated the cooperation his company had been receiving from the board and Maki, and was pleased to be a tenant there.

"We're thrilled to be in the port and looking forward to future development," said Mothershead. He said that once the rail spur is finished, his company would use it.

Lanny Koch, the terminal operator for the port authority, accompanied Mothershead. Koch pointed out there are new firms using the port and they most likely will do so in the future.

He said Q.C. Corporation will bring in 60,000 tons of iron sulfate a year that his company is unloading. Until the rail spur is finished, it is being unloaded from rail cars in Cape Girardeau.

Koch also advised the board that Egyptian Construction, which has a contract for a new bridge north of Alton, Ill., will be constructing 150-ton concrete forms at the port that will be shipped by barge to the construction site.

Koch said the company will pre-cast the beams on barges at the port and likely will be working here for eight months. He said it is possible Egyptian and other companies will be working through the port in the future.

Maki reported that during July 1,546.5 tons of salt were handled by the port's public dock, bringing the total for the year to 28,603.53 tons. That is about 500 tons more than was handled during all of 1990, Maki said.

"This is a good trend, considering this is a slow time of the year," said Maki.

Koch and Mothershead said they were optimistic tonnage would be increasing at the port authority over the next few months as more companies use the facilities.