On Monday, June 16, 2003, Chicago Mayor Richard M. Daley, the State of Illinois and the nation’s railroads announced a historic agreement to invest $1.5 billion in Chicago-area rail infrastructure designed to improve the flow of rail traffic through the area.
The agreement is a groundbreaker in financial cooperation between the private railroad industry and public government entities and in operational cooperation and infrastructure assets sharing between competing railroads.
Chicago is the largest rail hub in the country with more than 1,200 trains passing through it daily carrying 75 percent of the nation's freight valued at $350 billion; 37,500 rail freight cars pass through the City every day projected to increase to 67,000 by 2020. Chicago is the only city where all six Class-One railroads converge and exchange freight.
The Chicago Plan calls for the creation of five rail corridors, including one primarily for passenger trains; 25 new grade separations to improve safety and eliminate vehicular delays; six rail-to-rail "flyovers" to separate freight and passenger trains; and converting the St. Charles Air Line elevated railroad tracks to public use.
It is estimated that the project will create more than 1,000 jobs with an annual payroll of $50 million. In addition, the project will generate about $140 million annually in purchases of goods and services from area businesses. In all, the project is expected to produce almost $500 million in annual public benefits.
The major railroads will contribute more than $210 million to the plan and Metra $20 million. The rest of the funds will have to come from public sources.FRA has been active in efforts to mitigate rail-related livability issues in the greater Chicago area. FRA Administrator met with Mayor Daley, Sen. Durbin, Commissioner D’Escoto, Aldermen, and leaders of various citizens interest groups to discuss safety, whistle noise, blocked crossings, idling trains, trash and more.
DOT is a strong supporter of the CREATE Program. It considers the Chicago Plan a significant landmark in private / public cooperation that could be used as a model for public / private cooperation elsewhere in the nation. The Chicago Plan marks an innovative cooperation between competing railroads to address public concerns through asset sharing agreements. DOT has been working with Chicago and Illinois to identify funding sources for the Chicago Plan.
For more information see www.aar.org/Create/Create_main.asp
