Rail access is vital to promoting industrial expansion in the state
The Infrastructure Investment and Jobs Act made unprecedented funding available from the federal government for improving railways in the country. In addition, the railroad industry spends about $23 billion in private capital each year to improve the safety, operations and reliability of their private networks, said Manning McPhillips, Executive Director of the Mississippi Railroad Association.
McPhillips said the Mississippi Legislature has joined in the effort by creating a new Strategic Multimodal Investments Fund and committing $40 million to it over the past two years. He said state and federal partners have joined in efforts to improve the rail system in the state because they understand the economic benefits of improving capacity in the freight systems.
“The new Strategic Multimodal Investments Fund is finally putting real resources into ensuring that Mississippi has some of the most modern and competitive railroads, ports and airports in the South,” McPhillips said “In the first round of funding, we took $30 million in state funding and started $125 million worth of multimodal projects. That’s a four-to-one return on investment!
“In the past few years, the Mississippi Department of Transportation (MDOT) has leaned into the fact that our transportation system is more than just roads and bridges. Our farmers and manufacturers rely on railroads and ports to move their products to market and Mississippi consumers depend on those same networks to ensure that there are consumer goods on the shelf when we shop.”
Mississippi Transportation Commission Chair Willie Simmons said MDOT recognizes the importance of each mode of transportation.
“We as commissioners focus a lot on good highways and bridges, but the rail system supports us in that effort by pulling millions of pounds of freight off our highways,” Simmons said. “Higher numbers of 18-wheel trailers on the highway would lead to more deterioration and need for repairs. We already have inadequate funding for maintenance of our current highways.”
Simmons said MDOT wants to continue its support of rail systems that are vital to a healthy multi-modal transportation system.
“We hope the legislature gives money for roads and bridges, but also continues to fund the entire multi-mode system that includes the rail system,” Simmons said. “We must continue to invest in railroads.”
Railroads are essential to the state’s economic competitiveness. When talking to the representatives of the Mississippi Development Authority and its local partners about attracting new industry to locate in Mississippi, having rail access is a vital part of what prospects are looking for.
“Manufacturing relies on rail connectivity to bring inputs into their factories and ship out their finished goods,” McPhillips said. “Our farmers use railroads to bring in fertilizers and ship out their agricultural products to the world. So, our economy, and the jobs of thousands of Mississippians, are really dependent on rail. As the legislature looks at ways to invest more in capacity and maintenance projects at MDOT, having a robust and diversified system is a critical way to solve our transportation challenges.”
Railroad companies are continually striving to improve the safety of railroads through technology and maintenance. America’s Class I railroads have spent more than $500 billion on safety improvements and maintenance since 2000.
“This has resulted in a marked drop in train accident rates,” McPhillips said. “We are also using public and private funding to eliminate or improve the safety of railroad crossings and funding awareness campaigns to encourage the public to be safe around those crossings. Railroads use advanced technology to schedule and direct trains, monitor safety and equipment health through thousands of sensors throughout the system, relying more on drones for bridge and route inspections, and using AI to analyze data to prioritize repairs or other activities.”
The Mississippi Railway Association advocates advancing the ability of railroads
to play a critical role in transportation and economic development. The association has been focused on communicating the important role that railroads play in the state’s transportation system.
“State leaders are rightly focused on investments into the road and bridge system, but moving freight by rail helps to diversify our network and protect our roads and bridges and extend their lifespans,” McPhillips said. “It’s important to view the transportation system as a whole and prioritize funding and policy items like truck size and weight limits in a way that supports the total transportation needs of the state.”
There are about 25 railroads operating in Mississippi. Some are part of major national or even international networks like CPKC, which has about 20,000 miles of railroad in the U.S. and 600 miles in Mississippi, and was the first single-line rail network connecting Canada, the U.S. and Mexico.
Many of the railroads in the state are short line railroads that connect major industrial areas to the larger railroad network. Examples include the Golden Triangle Railroad, which has a ten-mile-long railroad connecting from its industrial parks to CPKC at Columbus.
Eleven Mississippi ports are served by rail, and two are planning for rail service. MDOT states typical port rail needs in the state include track upgrades, restoration and/or construction of rail yards to support port activities, as well as reconstruction of dormant port rail linkages.
In 2022, the Mississippi Department of Transportation (MDOT) adopted a Mississippi State Rail Plan Update. The plan states that while maintenance of the rail network is the responsibility of the privately owned railroad companies, the key point of contact between freight railroads and the public is at rail-highway grade crossings.
