4.4. SR 06-21-1999 - Laserfiche WebLink

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PO Box 961034 Fort Worth TX. 76161-0034 :!600 Lou Menk Drive Fort Worth TX. 76131-2830 817-352-6100 817-352-7430 Fax ~~~ ,1 38 BNSF MATTHEW K. ROSE Smior Via Pmidmr and Chi~fOp"allom Offiar Burlington Northern Santa Fe Corporation . May 12, 1999 Mr. Tim Yantos Project Director NorthStar Conidor Development Authority 2100 Third Avenue Anoka, Minnesota 55303-2265 Dear Mr. Yantos: I am writing to reiterate BNSF's willingness to work with you and your Board as NorthStar commuter rail service plans continue to develop. The enclosed document entitled "Commuter Principles" was recently prepared by BNSF to help public agencies better understand what BNSF deems important as we respond to requests to use our right-of-way for commuter rail servIce. In addition, we will soon complete capacity simulation studies that will identify improvements . needed to support proposed NorthStar commuter service while maintaining freight operations at their current levels of efficiency. I know you and others will be reviewing our results and trying to gain a better understanding of our assumptions. If we can help. we will do so as quickly as possible because the results of the capacity simulation studies and subsequent engineering and design work will lead to a better definition of project costs. With respect to current project cost estimates, we continue to be concerned that capital cost numbers being presented in public forums may be underestimated. I have therefore asked our project team to work with you and your staff to determine how quickly we can deveiop better capital cost estimates. A for anticipated operating costs, we will look to NorthStar to provide indemnification and insurance for the service, to pay our costs to operate the service, to pay its share of maintenance of way costs, and to provide us a reasonable return for our work. Regarding the improvements identified to support commuter rail service, they have been designed to maintain freight service levels, not enhance them. However, we understand you may ask us to consider funding some of the capital improvements related to service start-up. To help you speed this discussion, I have asked my staff to prepare a paper which summarizes how we as a company define benefit when BNSF makes decisions on what track and signal improvements merit investment. With such information in hand, your people and ours should be able to have a more informed discussion on what would drive us to invest with NorthStar in planned capacity expansion projects. .