August 23, 2024 – Northeast Texas is one of the fastest growing regions in Texas and freight by rail will play an essential role to our economy, job growth, and transportation safety. The NETEX Rural Rail Transportation District is a multi-county District, enabled by the Texas Legislature, which includes Titus, Franklin, Hopkins, Delta, Hunt, and Collin counties. The NETEX rail currently carries 1,800 – 2,000 cars per year with immediate demand for 5,000 cars per year via a new trans-loading facility constructed by the Hopkins County EDC, just east of Sulphur Springs, Texas. Covering 65.7 miles, the short-line rail carries raw materials such as lumber, steel, grain, and hazardous materials needed for industrial use. For every rail car of materials, this is eliminating 4 truckloads from our state highways and county roads. Based on our conversations with the region’s EDC’s, we currently have interest, letters of intent, and letters of authorization for industrial development at the former Thermo (Luminant) coal mine area that would include five thousand+ acres, millions of square feet, and billions of economic dollars. These estimates in turn are expected to demand approximately 35,000 cars per year from the NETEX Rural Rail transportation District by years 2027 and 2028!
This rail line is well over 100-years old with hundreds of cross tie marker nails still in place dated from 1927 to 1949. This short line is considered an “Excepted” Trackage and is limited to 5 miles per hour due to the defective cross ties and current bridge deficiencies. “Due to lack of funding and lack of dedication to rehabilitation, the rail has continued to deteriorate over the decades”, said Dutton. The first step in the state’s budget process begins with the agency recognizing a need and seeking approval to devote resources toward that need. Today, the Texas Department of Transportation (TXDOT) proposed to their executive board a budget for the next biennium that included a requested $25 million for short line rail rehabilitation. With a unanimous vote, the Texas Transportation Commission approved the proposal and recognized the role of the state in taking care of its rail lines. Today, the $25 million for short line rail moves along to the next stage, as we advance toward final approval for this much-needed financial relief for the short lines such as the NETEX rural rail. Next month, the funding will be vetted and approved by the Legislative Budget Board (LBB). I will continue to shepherd these funds in the right procedural direction as the required legislative steps are taken toward finalizing the state budget. “Today’s victory is one that I am proud of, but more importantly, a win that signifies that TXDOT values the NETEX and all short line rail systems in Texas. Commissioners Bugg, New, Vaughn, Meade, and Alvis deserve the gratitude of House District 2 and the NETEX Board. Along with the hard-working staff of TXDOT, the Commission established a record for supporting short rail, and acknowledged the dire needs of the NETEX”, said Dutton.
I will keep you informed as we move ahead in the budget process. As always, if you have any questions
or would like to communicate with me, please call (512) 463-0880 or email [email protected].
My District and Capitol offices remain dedicated to monitoring this vital round of funding for short line
rehabilitation and we welcome you to participate in the process. Thank you for your faith and support as I work to help the constituents of HD 2.
