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Lobato Trestle Information

October 08, 2010 10:45AM avatar
Chama Teddy asked me to copy his post at the ashpit.

Local Media To The Lobato Trestle Fire - CHAMA VALLEY TIMES
Posters have questioned what is going on in Chama? Here is one local paper's response. When the other two monthlies are published, I will OCR and post them as well. There may be misspellings and stray artifacts contained in these articles. I tried to catch them all but probably missed some. If a misspelling or wrong word is encountered, it is the falut of the OCR and its proofreader - not the paper. The photographs are in no particular order as they have been scanned separately from the stories. Some photos are not linking properly so will add them later. . .

AT THE CONCLUSION OF STORY #3, THE READER WILL FIND A LIST OF ELECTED REPRESENTATIVES THAT GENERALLYINCLUDES A CONTACT TELEPHONE NUMBER AND E-MAIL ADDRESS.

DO YOU WISH TO SEE THE C&TS RR SURVIVE? THE TELEPHONE NUMBERS AND E-MAIL ADDRESS ARE AT YOUR DISPOSAL. MAIL THEM TO YOUR FRIENDS AND HAVE A VIRTUAL E-MAIL PARTY BY DOING YOUR PART TO SAVE IT!

#1

PRESERVING CHAMA’S RAILROAD HERITAGE

Margaret Palmer

Chama is a railroad town. It was built by and for the railroad in 1881. Since then, railroading has been a vital part of our heritage and has represented a large portion of our livelihood. Now, without the immediate restoration of Lobato trestle, for the first time in 129 years, Chama stands to lose this heritage and cease to be a railroad town. Bussing tourists to Cumbres, while an important emergency solution to the trestle problem, is an inadequate long-term solution. Lobato trestle has to be rebuilt.

Although the Railroad Commission has been working hard to secure state funding to rebuild the trestle, protect Chama's economy and New Mexico's interest in the railroad, they are still $1,000,000 short of enough money to complete the $2,000,000 job. The time schedule for rebuilding Lobato Trestle, as explained at the September 30 Railroad Commission Meeting is: one month for drawing, one month to go out for bids, four months for the fabrication of the steel, and 2-3 weeks for installation.

Elmer Salazar, President and CEO of the company that manages the railroad for the Cumbres and Toltec Scenic Railroad Commission, stated that most of the money for the trestle has to be obtained prior to starting the project. The steel company will not begin to fabricate the steel unless it is paid for up front. The one million dollars that the railroad has is enough to get started on drawings, but $9'75,000 is required for the steel and other materials. This doesn't count labor or building a road between the highway and the trestle. So money for the restoration of the railroad is needed and it is needed now.

With eight months until the 2011 train season starts and winter coming on, they are down to the wire and need the support of the community in obtaining this money. At the Commission meeting, Commissioner Randy Randall commented that there is money there, but none of it has, as yet, been appropriated for the railroad. He stressed that we need to express our concern for the railroad by making calls, especially to the Governor's office. Commissioner Lennie Martinez and Commission Executive Director, Leo Schmitz commented that there is a lot of competition for any remaining money that is available.

It is time for us, the people of Chama to get organized and to help the railroad commission stand up for our town, our heritage, and to do everything we can to preserve our way of life – a way of life that includes the railroad! Love Chama? Love the railroad? Call your elected representatives and ask them to provide the Railroad Commission with the funding needed to rebuild the trestle.


#2

Chama Valley Times, October, 2010 -- C&TS RR One of State's Best Investments

The Cumbres and Toltec Scenic Railroad was purchased from the Denver and Rio Grande Western railroad by the states of New Mexico and Colorado in 1970. They, thereafter, created a tourist railroad dedicated to the purpose of improving the economy of the towns of Antonito, Colorado and Chama, New Mexico. The railroad is still owned by the states of New Mexico and Colorado, and it's operation is supervised by a railroad commission comprised of two representatives of each state selected by the governor of that state.

Although from the very beginning there were challenges and obstacles to overcome in raising this Phoenix from the ashes of near oblivion, it has served its purpose and has brought, during the past 40 years, between 1,250,000 and1,75(1,000 visitors to the combined areas.

In 2004 an Economic/fiscal Impact study was prepared by the Southwest Planning & Marketing Company for the state of New Mexico regarding the impact on Chama of the Cumbres & Toltec Scenic Railroad. According to this study, in 2001, the railroad carried 53,375 riders and, that year, brought a minimum of $7,000,000 in direct income to Chama. For the ten years preceding this study, the train actually was at the height of its prosperity and carried over 60,000 passengers each year, thus bringing a minimum of $8,000,000 per year of direct income to Chama‑ The figures in this study are conservative and only cover the direct income generated by the railroad for Chama. Railroad revenues represent about 1/3 of Chama's economy, about 1/3 of its gross receipts and over half of its lodger's revenue and lodger's tax receipts.

The study didn't include indirect income. It didn't include gasoline or any lineal spending, i.e. what is spent getting to and from the railroad. Nor did it include non railroad businesses that benefit when Chama is prosperous and suffer when it is not. It only included obvious tourist-related businesses such as gift shops, motels and restaurants, etc. The study also did not cover negative costs, i.e. the fact that without the railroad about ll3 of the residents would be unemployed and require public assistance in the form of unemployment, food stamps, etc. in the short ran. In the long ran the population of Chama would decrease. If it were not for the railroad, the local housing market would suffer excessive vacancies and deflation in valuation. Also, the burden of supporting local utilities would fall on fewer customers who would see their rates increase. The schools would lose money by enrolling fewer students and so forth.

Nor does it take into account property taxes paid by employees of the railroad, or businesses or individuals who derive much of their income from tourists brought to Chama by the railroad, or any income tax any of these groups might pay to the state.

The peak years of the railroad seem to have been from 1990‑2002. These were the years the railroad carried the most passengers and thus brought the most prosperity to the towns of Antonito and Chama. During these years, the railroad carried at least 60,000 passengers per season and made nice profits each year. According to Joe Vigil, general manager under Kyle Railways from 1990‑1997, "We didn't make a fortune, but we made 12% to 1 5.% margin over and above expenses." This was in addition to keeping six locomotives Continued on page 7
Chama Valley Times, October, 2010
C&TS RR Investment

and one rotary snowplow goad operating condition. the railroad's expenses including salaries, promotion and advertising, equipment (including locomotive) maintenance, repair and restoration came out of ticket sales.

The way the management worked things was: as soon as the last train of the year ran, Kyle's management got a line of credit from the bank, and Joe Vigil, general manager on the site, gradually accessed it during the winter for necessary expenses such as salaries for working on equipment, track work, and doing promotion and advertising. Everything was fixed and repaired, advertising was done and reservations were taken during the winter so that they wen ready to run trains the first day of the season. Then, money from ticket sale started coming in, all the money above and beyond regular expenses went to pay off the bank. Before the end of the month of July (usually by the 15th') they were able to pay the bank off completely for the past winter's work including the expense of all maintenance and restoration of equipment.

Mr. Vigil says, he's "not a rail fan" and is "# 1 a businessman"; nevertheless, he had business knowledge that was specific to the steam rail road industry, and this is the main thing that made the rail road such a success under his management. Another thing that was very important to those successful years is that Mr. Vigil supervised a team of people that not only cared about the operation, but, like himself, had necessary knowledge, experience and skills that were specific to the steam railroad industry.

While the "conventional wisdom" that says the train can't support itself because it never did and never will is not completely true, it is true as of the track and roadbed. All the managers and engineers that I have interviewed have testified that the track has been in poor shape since the d days of the Rio Grande Railroad – Richard Braden, railroad engineer under Scenic Railways' who visited Chama and rode the train during the 40` Anniversary celebration says, "The track condition would be one of the
mast important factors in preventing wear and tear on all the equipment, so I applaud (the states) efforts in that department. The Rio Grande never maintained the track in such good condition (as it is in now) from day one." The $8,500,00 listed on the "Appropriations for Cumbres and Toltec Railroad Commission 20O5-2011, plus funds of at least $5 million" from 2000 to 2005 that Dan Ranger (General Manager under the RGRPC) remembers the states of Colorado and New Mexico having invested, primarily, in the track, but also in locomotives, cars and shop was money well spent.

2001 was chosen far the economic impact study because it was the last "normal" year of train operations before Federal Regulations Association restrictions were tightened on the railroad, (both track and locomotives), other serious rack and locomotive problems many of which had been festering for years) came to light, and the railroad was shut down by the forest service due to fire danger. In 2002, the railroad was shut down for most of the season due to these problems. In 2003, the RGRPC, who was operating the railroad at the time, had only one locomotive hat could pass inspection. This resulted in their having to run an abbreviated schedule the first part of the season - one lay out of Antonito returning the next day from Chama, just Four days a week. It was the same schedule Scenic Railways had run the first year the train was operated as a tourist railroad.

Later in the season they were able to use two locomotives. Due to the aforementioned problems of the 2000's, the states began putting more money into their railroad investment than ever before. (And, also due to these problems, the past ten years have brought the states the least amount of revenue as in all but the first few years of the tourist railroad.) A lot has been accomplished during these hard times by the last two management companies, and by and large the problems of the 2000's have been corrected. So, it is unfair to judge the railroad's future economic possibilities by these past, rather blighted, ten years alone.

While the states began their influx of money in. 2000, the records that I was able to access begin July 2005. During these past 6 years, the states of Colorado and New Mexico have put a combined $11„772,212 (5,296,812 far Colorado and 6,475,400 far New Mexico) in the railroad. This includes $1,423,100 for Colorado and $493,700 for New Mexico far the current fiscal year, 2010 - 2011. Most of the Page 7

money, $8,500,000, was appropriated for track and locomotive expenses. $2,400,000 went to subsidize operation expenses. The rest, $822,212 went for other forms of maintenance. Although this sounds like a lot of money, when one considers that the states put almost no money into the railroad the first ten years of its operation and relatively little the next 18 years (most of the money for the considerable improvements made to the railroad during those 18 years came from federal grants which had either an 80/20 (the 20% owed by the states) or a 75/25 match. (There are few records going back to the railroad's beginning on these matters, but Leo Schmitz remembers a time when the annual budget for the Railroad Commission was $10,000.) So, most of the people who I've interviewed, including Leo Schmitz, believe that the money invested in, the railroad during the past ten years has to have been at least half the total amount of money invested in the railroad during the full 40 years continued on Page 14

Chama Valley Tunes, October, 2010 - C&TS RR Good Investment

of its existence (including the initial purchase price. So, let us tie generous and say that the states of New Mexico and Colorado have invested $20 million each during the past 40 years (a total of $40 million. The railroad has; by admittedly conservative estimates, brought, in 2001 dollars, over $7 million a year for 39 years to the economy of the Chama area alone - a minimum of $273 million plus whatever it has brought to Antonito. The combined amount is probably at least $500 million in direct income for the two towns. As you can see from earlier in the article, indirect income would make this figure considerably more the amount of economic stimulus the railroad has brought the states is probably closer to a billion dollars. This is a pretty good return on a $40 million investment!

This train was once, and can be again, an extremely valuable asset and investment to the states of New Mexico and Colorado. If Lobato trestle is not rebuilt this year and the current emergency schedule is continued into the 2011 season, New Mexico will no longer have a steam train destination/departure city on the railroad, the train will not carry enough people out of Chama to stimulate Chama's economy the way it has in the past, and the good red New Mexico and Colorado have been seeing on their investment over the past 40 years will vanish.

The money the states have poured into the railroad during the past ten years has been money well spent. The track is in better shape than it has ever been in the 129 years of its existence. There are four locomotives in good working condition that meet current FRA standards. All the railroad needs is $1,500,000 to rebuild Lobato Trestle to carry it back to the "glory days" of the 1990's. Without the trestle, lost revenue over the NEXT 40 years could well cost the states between $500,000,000 and a billion dollars. The question we should be asking is not whether the states can afford to rebuild their trestle, but whether they can afford NOT to.

Sources: Joe Vigil, general manager of the Cumbres and Toltec Scenic Railroad under Scenic Railways (197? 1981) and Kyle Railways (1990 -1997),

Dan Ranger, general manager of the Cumbres and Toltec Scenic Railroad Kyle Railways (1981-1989) and RGRPC (2001 2003,)

Kim Smith-Casford general manager RGRPC (2003 - 2005,)

Clif Palmer, head of marketing and advertising, Scenic and Kyle Railways
(1977-1985,

Richard Braden, engineer and shop, Scenic Railways (1971 – 1981)

Leo Schmitz, executive director of the Cumbres and Toltec Scenic Railroad Commission, all interviewed by Margaret Palmer. Appropriations for Cumbres and Toltec Railroad Commission 2005 - 2011. Economic/Fiscal Impact for the Cumbres & Toltec Scenic Railroad; Prepared by South west Planning & Marketing of Santa Fe, NM (in 2004 for the year 2001). Article written by Margaret Palmer.


#3

Chama Valley Times, October, 2010 - Calls to Legislators Needed to Secure Trestle Funding


By Margaret Palmer

Funding for Lobato Trestle has not yet been secured. As you may have heard at the last town hall meeting, it has been suggested by members of the Railroad Commission that receiving funding for trestle repair so that our train can run a normal schedule next year may hinge upon local people calling our elected representatives and asking them for financial aid. Many of us who care about Chama and its survival are concerned that the funding will not be forthcoming in time to rebuild the trestle by next season. It has been suggested that we call our legislative and congressional representatives to ask for their support in this effort.

The more of us that call or e-mail these people, the better chance we will have of having a normal or near normal train season next year. Here are the phone numbers and addresses for the New Mexico and Colorado Governors, the legislators who represent Rio Arriba and Conejos Counties, and for our Representatives in the US Congress and Senate: Please call, the train belongs to the taxpaying public of New Mexico and Colorado and it's our responsibility to let our elected representatives know how important the Cumbres and Toltec Railroad is to us!

Governor Bill Richardson:
Phone: 505-476-2200
E-mail: gov@gov.state.nm.us

Teddy's comments RE: Governors' races for Colorado and New Mexico
NB: Governor Bill is a lame duck. Here are a couple of websites that may be of use to write a letter of support for the railroad. On the preview, it has a line through the address. Why I do not know. try using it as a cut 'n' paste or in the worst case scenario, recopy it when sending you $$$'s plea.

Candidate for NM Governor: Susan Martinez
[www.susanamartinez2010.com] ... anding-up/

Candidate for NM Governor: Diane Denish
[www.dianedenish.com]


Governor Bill Ritter:
Phone 303-866-2471
E-mail: Governor.ritter@state.co.us

NB: Governor Ritter is a lame duck. Here are a couple of websites that may be of use to write a letter of support for the railroad.

Candidate for Colo. Governor: John Wright Hickenlooper
[www.hickenlooperforcolorado.com]

I don't know who Hickenlooper's opponent is so some help is needed to establish a contact.

Representative Debbie Rodella:
[E-mail] debbie.rodella@nrnlegis. gov

Senator Richard C. Martinez:
Phone: 505-929-0125
[E-mail] Richard.martineznrnlegis.gov (capital “R” may be in error – try lower case “r” as well)

Representative Henry Saavedra:
Chair, Legislative finance committee.
Phone 505-986-4316

Representative Ben Lujan:
NM Finance Authority
Phone 505-455-3354
E-mail: ben.lujan@nmlegis.gov

Senator Gail Schwartz
Phone: 303-866-4871
E-mail: gail.schwartz.senate@gmail. com

Representative Edward Vigil
Phone: 303-866-2916
E-mail: edvigil@gmail.com

Congressman Ben Ray Lujan
Phone: Washington: 202-225-6190
Phone: Santa Fe: 505-984-8950
forms.house.gov/lujan/
conatct.form.shtml or Lujan.house.gov,
click on "e-mail Ben"

Senator Jeff Bingaman NM
Phone: 1-800-443-8658
bingaman.senate.gov - click on "contacf'

Senator Tom Udall Phone,
Washington DC 202-224-6621
New Mexico: 505-346-6791

Tell them you are asking them to support the Cumbres and Toltec Scenic Railroad and [the village of] Chama by helping find funding to repair Lobato trestle. After the first few calls they will just keep a tally of the number of calls they receive supporting the trestle
Subject Author Posted

Lobato Trestle Information

Roger Hogan October 08, 2010 10:45AM

Re: Lobato Trestle Information

John Cole October 08, 2010 11:20AM

Re: Lobato Trestle Information

BobHuddleston October 08, 2010 11:33AM

Re: Lobato Trestle Information

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Re: Lobato Trestle Information

JoeK October 08, 2010 04:12PM

Re: Lobato Trestle Information

Greg Raven October 08, 2010 06:54PM

Re: Lobato Trestle Information

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Cascade Trestle

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Insurance Question:

Ron Keagle October 09, 2010 06:43AM



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