Re: Kyle

During the years that I was in Chama Kyle was responsible for all the operational maintenance for the cars, locomotives, and track. The money from the states was only used for capital improvements. Leo and the Commission did get grants from FHA (I think) for ties. We were able to get the commission to pay for some capital costs related to the locomotives during that time.
For example when a new main axle was needed for #484 The commission paid for the new material. Kyle paid all costs related to machining and assembly. The Commission paid for a air compressor rebuild for one of the locomotives during that time frame as well.
All of the costs incurred rebuilding the #463 were funded by a federal grant (arranged by Carl Turner). That money $550,000 also paid for the aquisition of 11 flatcar frames and the design and completion of 3 new coaches. All other work on the passenger car fleet including new wheels was Kyles responsibility.
The general rule we tried to apply regarding what constituted capital investment at least as regards locomotives was as follows. If the item was expected to last longer than the term of the operators contract (10 years) then the commission would pay for the materials.
Kyle made a small profit most years under this arrangement.
The track was always subject to FRA inspection.
I can only conclude that our positive treatment by FRA was the result of their confidence in Kyles management.