Of 14 rail projects recently funded through Kansas’s Rail Service Improvement Program (RSIP), 8 were for short line railroads and 4 were for shippers/receivers involved in grain transportation, to provide short line rail access. In total, these 12 projects received $12.1 million.
The largest award ($2.2 million) was granted to Seaboard Energy, which operates a renewable diesel production facility in Hugoton, KS, and is served by the Cimarron Valley Railroad. The project will increase the facility’s capacity for receiving renewable diesel feedstocks such as soybean oil, reducing the need for off-site transloading. Other grain shippers—including Seaboard Foods, Skyland Grain, and Weskan Grain—also received RSIP awards.
Short line and regional railroads provide rail access for rural grain producers and reduce overall reliance on trucks. Rising rail use results in lower emissions and less road congestion and maintenance. However, government funding is often needed to adequately maintain short line tracks.