KEWL Short Line Railroad $("$Rail Link"$)$ Off$-$Site Terminal Project

The demand for air cargo tenants is larger than we initially expected. To accommodate additional need for cargo terminal capacity, the KEWL Rail$-$Link Development Corp. has developed a proposal to submit to IDOT, the Federal Railroad Administration, to build a short$-$line railroad $($across two phases$)$ between the airport cargo terminals and an existing, but under$-$utilized off$-$site distribution center. A previous study has indicated that it would be much less costly to build a segment of rail and acquire rolling stock than to construct a third and$/$or fourth terminal building on the northside of equivalent capacity. An alignment for the proposed KEWL Rail Link has been developed and we are looking to your firm to evaluate these plans before the proposal is circulated among the current committed airlines, railroad operators, and distribution center owners. This includes answering the following: $$

$$Overall Proposal Review: Review the concept $($available on the KEWL website$)$ and comment on the viability of this project. $$Short Line Railroad $("$Rail Link"$)$ Off$-$Site Terminal Project: The demand for air cargo tenants is larger than we initially expected. To accommodate additional need for cargo terminal capacity, the KEWL Rail$-$Link Development Corp. has developed a proposal to submit to IDOT, the Federal Railroad Administration, to build a short$-$line railroad $($across two phases$)$ between the airport cargo terminals and an existing, but under$-$utilized off$-$site distribution center. A previous study has indicated that it would be much less costly to build a segment of rail and acquire rolling stock than to construct a third and$/$or fourth terminal building on the northside of equivalent capacity. An alignment for the proposed KEWL Rail Link has been developed and we are looking to your firm to evaluate these plans before the proposal is circulated among the current committed airlines, railroad operators, and distribution center owners.

Review the concept $($available on the KEWL website$)$ and consider the following:

$$Rail Rolling Stock: Currently, only one locomotive and a set of $8$ box$-$car rolling stock would be available to be used for trips to and from the airport cargo terminals. A specially designed ULD$-$container car is in prototype stages would not be ready when the airport is set to open to tenants. $$

$$Porject Phases:$$

$$Phase $1$A: Shuttling cargo from aircraft via rail using only the center$-$door boxcars;$$

$$Phase $1$B: Developing the $10$ ULD Container cars and using them for operations;$$

$$Phase $2$: Building the additional connection to the south side terminals, including installing a reinforced grade$-$crossing for truck movements in and out of the complex and connections to nearby warehouses at the CIC Joliet$/$Elwood facilities.$$

What recommendation would you give for each phase of this project and what did you consider for each recommendation?