Regional intermodal task force seeks update to 1999 study

Regional government and industry officials agreed Wednesday that a 1999 market study for a proposed intermodal facility needs an update before determining what type of quasi-governmental structure — if any — is needed for a regional intermodal/port authority.

The Western Arkansas Planning and Development District is shepherding a process to identify the viability of creating a formal organization that would develop, maintain and/or operate intermodal/port facilities. The goal is to create a structure and facilities “that would enhance regional freight management and advance the competitiveness of the region’s business,” according to WAPDD information.

OLD NUMBERS
A January 2000 feasibility and market assessment for a Van Buren Regional Intermodal Port suggested that interviews with 170 area transportation users and providers proved the need for a large intermodal facility, cross-dock operation for trans-loading commodities between barge and rail and plenty of storage for bulk materials.

Also, the intermodal yard — transferring containers between rail and truck — could handle a volume of 250,000 “lifts” annually between rail and truck, or more than 680 a day. The estimated demand for annual lifts in 2000 was about 113,000.

The 2000 study noted the average annual economic impact during the first 20 years of a regional intermodal facility would be $14.7 million.

NEW REALITIES
However, the 2000 study does not reflect the many changes in the transportation industry and potential changes from the current national recession, Russ Bragg (pictured upper center in white shirt), a vice president at Fort Smith-based OK Foods, said at the Wednesday meeting of the Regional Intermodal Task Force.

“We need to sit down again” with companies in a 60-mile radius “and find out what their needs really are,” Bragg said. “I realize this is a long-term plan, but we have to look at the economic realities … and the fact that some of the major shippers in the area now might not be here in a few years.”

Ray Gosack, deputy city administrator for the city of Fort Smith, and Rusty Myers, economic development director for WAPDD, agreed that another analysis of freight needs is required.

“I think we determine again the freight needs and then configure an entity” around the new needs, Gosack advised.

FUTURE HOPES
Mat Pitsch, representing the Fort Smith Manufacturing Executives Association, encouraged the group to consider future growth opportunities and not just focus on immediate or near-term shipping needs.

“We don’t want to set up an entity for what we are doing now. We want to set it up for what we want it (regional economic growth) to be,” Pitsch explained.

Bragg endorsed Pitsch’s optimism, saying a regional intermodal facility would serve an area with a lot of open land, a long-term water source, relatively low utility rates, an established waterway (Arkansas River), and convenient access to Interstate 40.

“We’re just sitting in a perfect place with this,” Bragg said. “We’ve got the infrastructure to handle” enough economic growth to support a large intermodal facility.

Myers and Ken O’Donnell, director of Bi-State Metropolitan Planning for WAPDD, agreed to conduct a survey of 30 to 50 area shippers and report back to the group.

O’Donnell said the challenge is to find a way to move forward to handle current needs while configuring an organization and/or facilities that allows for future demand.

Ideally, the intermodal task force will have a recommendation on how to move forward no later than the end of April.

Members of the task force include:
Larry Balch, representing the Fort Smith Manufacturing Executives Association
Russ Bragg, representing the Fort Smith Manufacturing Executives Association
Van Buren Mayor Bob Freeman
Crawford County Judge John Hall
Sebastian County Judge David Hudson
Fort Smith City Administrator Dennis Kelly
Jackie Krutsch, executive director of the Van Buren Chamber of Commerce
Ken O’Donnell, WAPDD
Mat Pitsch, representing the Fort Smith Manufacturing Executives Association
Sandy Sanders, interim president of the Fort Smith Regional Chamber of Commerce
Fort Smith City Director Steve Tyler