[r65] Koch Legislation Incentivizes Local Rail Use (1/21/2010)

Thursday, January 21, 2010

Start Date: 1/21/2010 All Day
End Date: 1/21/2010

Koch Legislation Incentivizes Local Rail Use

Bill Part of Effort to Save Local Rail Access

STATEHOUSE-Local efforts to save freight rail access will receive a boost under legislation introduced by State Representative Eric Koch (R-Bedford).  House Bill 1268 authorizes the Indiana Economic Development Corporation (IEDC) to designate Railroad Redevelopment Zones along freight rail lines that are the subjects of petitions to the Federal Surface Transportation Board for permission to discontinue freight rail service on the rail line or to abandon the rail line. Industries locating or expanding within a Railroad Redevelopment Zone would be eligible for incentives including the Enterprise Zone Investment Deduction, the Employment Tax Deduction, the Employment Expense Credit, the Loan Interest Credit, and the Investment Cost Credit.

"These incentives will assist local economic development efforts targeting industries that use rail," said Rep. Koch.  "By increasing rail freight traffic, we can help make the business case for keeping the INRD and CSX lines open." 

The bill also requires the Indiana Department of Transportation (INDOT) to update the state's rail plan before January 1, 2012.  "At the present time, Indiana's state rail plan in not compliant with Federal Railroad Administration (FRA) requirements," said Rep. Koch.

In December, Rep. Koch made a formal request for assistance to INDOT under Indiana's State Rail Preservation Law with respect to the Petition for Abandonment of Line filed by the Indiana Railroad Co. and the Petition for Discontinuance of Service filed by CSX, both now pending before the Surface Transportation Board.

Rep. Koch serves House District 65, which includes parts of Bartholomew, Brown, Jackson, and Lawrence counties, and is Assistant Republican Caucus Chairman.

 

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