Genesee & Wyoming short line Central Oregon & Pacific Railroad will take over local service from Union Pacific’s Eugene Yard in Oregon, in a move the railroads said will improve service for local customers.
The change allows UP to reduce the number of times a railcar is handled and create greater efficiencies, while providing more flexibility and agility for both railroads to meet current customer needs and anticipated growth, the railroads said today.
“G&W has a proven track record in operational flexibility and providing excellent customer service,” Union Pacific Executive Vice President of Operations Eric Gehringer said in a statement. “Those strengths, combined with Union Pacific’s unmatched franchise and access to critical markets nationwide, position us to provide customers with the service we sold them and grow together.”
The 306-mile Central Oregon & Pacific interchanges with UP in Eugene.
“Union Pacific can count on CORP to operate their Eugene, Ore., yard safely and efficiently,” G&W CEO Michael Miller said in a statement. “In partnership with Union Pacific, our team is ready to deliver the customer-centric first- and last-mile rail service that customers have come to rely on from G&W railroads so that we can grow together.”
The deal is reminiscent of one between Canadian National and Watco in Louisiana. In 2021, CN handed off local switching at a nine-plant petrochemical complex to the new Watco short line Dutchtown Southern. Thanks to Dutchtown Southern providing service seven days per week — up from five — and offering customers multiple switches per day, traffic grew 47% in the 1.76-mile short line’s first year of operation.
Union Pacific and G&W say they are working with customers to ensure a smooth transition once the plan takes effect following approval from the Surface Transportation Board. Their regulatory paperwork was filed with the STB today but has yet to appear on the board’s website.
Union Pacific says it has been in contact with employees impacted by the change, including providing information about continued employment opportunities at UP, CORP, or other G&W railroads.
Union Pacific road train crews will continue to work out of Eugene Yard.
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