'We are not going to put our head into the sand'

Railmark, the company that has signed an agreement with CN Rail to operate the Algoma Central Railway (ACR) passenger service, is looking forward to the potential of separate freight projects in the Sault even as the deadline for ACR funding looms.

B. Allen Brown, president and CEO of Railmark, said Railmark has identified some potential Sault Ste. Marie-area transloading opportunities that he is interested in pursuing in he future.

Although Railmark had won the bid based largely on its operation of various dinner trains in the past, much of its business focuses on rail logistics and transloading, which is the act of loading transport trailers on to freight cars.

“We are not going to put our head into the sand with respect to other rail services we provide that we can also provide in Sault Ste. Marie," he said.

Brown awaits a decision from Transport Canada on whether it will agree to his proposal for a $7-million grant over five years to allow Railmark to act as a third-party operator for the passenger service.

Even if Transport Canada agrees to the proposal before the March 31 deadline, Brown’s company may not be cleared to run the trains until they receive certification to do so.

In the House of Commons on Friday, Parliamentary Secretary to the Minister of Foreign Affairs Bernard Trottier said Transport Canada is looking into the request for funding and Railmark’s application for a railway operating certificate.

Trottier also distanced the government from blame should they decide to not give funding and the passenger service is discontinued.

“Any decision to terminate the Algoma Central Railway between Sault Ste. Marie and Hearst will be a business decision made by the owner or operator of the Algoma Central Railway,” said Trottier.

Tom Dodds, president and CEO of the Sault Ste. Marie Economic Development Corporation and a key member of the ACR working group, welcomes Railmark’s foresight in seeking out new opportunities in the Sault.

Having said that, Dodds said he hopes Brown will focus on the job at hand.

“I want him to stick to his knitting and focus on the ACR,” he said.

A project Brown said he is keeping an eye on is the proposed Port of Algoma.

Brown said he feels Railmark can add value to that project and would welcome an opportunity to participate in planning, development and operation.

KPMG and AECOM have been retained as master consultants on the Port of Algoma and are currently engaged in early planning work.

“We have views that state North America has a shortage of port capacity for its future and therefore on a broad basis, we support it,” said Brown.

(PHOTO: A plaque in an ACR passenger car notes that the train is financially assisted by the Government of Canada. CN rail threatened to discontinue passenger service along the ACR line by April, 2014 but was convinced to continue for another year with a one-time cash injection by the government. Kenneth Armstrong/SooToday)