arrc adds to fire-fighting arsenal · 2017-08-11 · fairbanks, taking note of fire-related...

s springtime draws closer, so does therisk of wild land fires. The AlaskaRailroad is doing more than ever toaddress the dangers posed by firesalong the track.

On the fire prevention side, ARRClocomotives are outfitted with thelatest design in exhaust spark arresters

approved by the U.S. Forest Service.

On the response side, the ARRC track crews areequipped with water jugs and sprayers tosuppress small fires. However, if a fire grows,they turn to the professionals within the AlaskaDepartment of Natural Resources (ADNR). Itis at this juncture where the railroad has madethe most progress — boosting professional-ledfirefighting efforts.

ARRC is close to finalizing a letter ofagreement with ADNR’s Division of Forestry toprovide reciprocal assistance in the event of afire along the rail line. As part of the agreement,ARRC recently converted nine 20,000-gallontank railcars to hold water. These will bedeployed in pairs to five strategic locationsalong the rail line.

No longer federally qualified to haul petroleum,these aging tank cars were to be sold to thescrapyard. But after second thought, the carswere thoroughly cleaned, donated for water useonly, and clearly marked to underscore theirrole in fire suppression.

In addition to boosting fire-fighting capabilitywith on-site water sources, the railroad has beencollecting information to help gauge thepotential severity of future fires. Last summer,ARRC inventoried the track from Anchorage toFairbanks, taking note of fire-relatedconditions, mile-by-mile. This summer theinventory will cover Anchorage to Seward.

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Alaska Railroad Corporation

1st Quarter, 2008

www.A l a sk aRa i l ro ad . com • ( 907 ) 265 -2300

ARRC ADDS TO FIRE-FIGHTING ARSENALOld tank railcars convert into water-filled fire suppression assets

Alaska Railroad Ongoing Projects:

Northern Rail Extension

Ft. Wainwright Realignment

Fairbanks Area Rail Relocation

Nenana Rail Relocation

Collision Avoidance System

Port MacKenzie Rail Extension

Crossbuck Illumination Test

Ship Creek Intermodal Center

Chugach Forest Whistle Stop

South Wasilla Rail Relocation

Anchorage Capacity Yard to Airport Spur

Seward Freight Dock Expansion

For updates or comments onthese projects, visit the AlaskaRailroad web site atwww.AlaskaRailroad.com

(See “ARRC Boosts Fire-fighting” on page 2)

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Below, a convert-ed tank carawaits deploy-ment along therail line. Left, agraphic messageon the car’s use.

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Fire risk is the product of fuel types, fuel density and seasonalconditions. For example, spruce trees are extremelyflammable, and a patch of spruce growing closely togethermight identify an area as high risk for becoming a conduit tospread wildfire. And periods of warm, dry, windy weather canturn a normally low-risk area into a potential tinderbox.

Such fire-related information is being incorporated intoARRC’s Track Chart. This booklet illustrates the trackstructure, milepost locations, and geographical features alongthe railroad’s main line and branch lines. Soon, it will becomethe latest in the Alaska Railroad’s growing arsenal of tools tocombat fire along the track.

ARRC BOOSTS FIRE-FIGHTING... (continued from page 1)

ort MacKenzie Rail Extension: In February, thefederal Surface Transportation Board (STB) issued aNotice of Intent (NOI) to prepare an Environ-mental Impact Statement (EIS), and hired ICFInternational to prepare the EIS. The month prior,the Mat-Su Borough (MSB) and ARRC jointproject team provided the STB with a PreliminaryEnvironmental and Alternatives Report (PEAR),which compiles five months of public involvement,

environmental and engineering activities. The report isavailable at the ARRC/MSB project web site —www.portmacrail.com — or on CD by contacting StephenieWheeler, 265-2671. People can participate and stay informedvia the STB’s EIS web site — www.stbportmacraileis.com.

Northern Rail Extension: The STB is nearly done withreviewing proposals for building an 80-mile rail extensionbetween North Pole and Delta Junction. A draft EIS isexpected in 2008. A key component of the project is railaccess over the Tanana River. ARRC’s preferred alternativeincludes a river crossing near Salcha. This would also providethe military with year-round access to the Joint TananaTraining Complex, which is currently only available by iceroad at unpredictable times in the winter. On March 6,ARRC hosted a public open house to update Salcha residentson the extension project and specific plans for the rivercrossing and flood mitigation near their community.

Fairbanks Area Rail Line Relocation: ARRC continues ananalysis of options to relocate the track outside congested andurban areas of Fairbanks and North Pole. Analysis thus farunderscores the need for a phased approach in order tocomplete the costly and complex realignment. The first phasefocuses on the area around North Pole. As part of the project,ARRC also commissioned a study to explore possibilities for

passenger and commuter rail service between communitiesalong the stretch from Denali National Park to North Pole. Adraft preliminary report in January indicated that the marketis not yet developed enough to support commuter railbetween Fairbanks and communities in the direction of thepark. However, as the population base grows, these servicescould become viable.

Nenana Rail Line Relocation: With the EnvironmentalAnalysis (EA) completed and approved (2004), and the routechosen and final design accomplished (2005), ARRC beganbuying land for the right-of-way in 2006. Land acquisitioncontinues and will be completed in 2008, setting the stage foreventual construction. Funding has not yet been identifiedfor construction, estimated to cost $25 million.

Anchorage-to-Wasilla / South Wasilla Rail Relocation:Straightening some 40 curves between the Anchorage Yardand Wasilla is all but completed, except for the finishingtouches on the Knik River Bridge (due in 2008) and theBeach Lake Recreational area curve, which is on-holdindefinitely due to a massive underground ice lens. The four-mile South Wasilla Rail Relocation picks up wherecommunity-to-community realignment left off. In 2006, theSouth Wasilla project moved into land acquisition for PhaseOne, the big curve between MP 154 and MP 156, and willcontinue in 2008. Funding is not identified for Phase Onefinal engineering and construction, estimated at $24 million.

Road/Rail Relocation Around Wasilla: The Department ofTransportation continues to take the lead on this effort toidentify a viable route for the highway and mainline rail tomove outside of downtown Wasilla. ARRC will help keep thecommunity informed on opportunities for public involve-ment in 2008 and beyond.

ROUND-UP: RAIL REALIGNMENTS AND EXTENSIONSARRC pursues track relocation projects in southcentral and interior Alaska

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uring February, the AlaskaRailroad received noticethat its quest to recertify aGreen Star Award and toearn a separate andadditional Green Star AirQuality Award were bothapproved. A formal awardpresentation is planned for

April 21 at the Anchorage Chamber“Make it Monday” forum.

“The standards committee was veryimpressed with the Alaska RailroadCorporation’s efforts, as well as itsthorough documentation,” said GreenStar Membership Director Jean MarieGuzzetti in a memo congratulatingARRC on the award.

Of note, the railroad was recognizedfor its holistic approach to reducing

locomotiveemissions. Significantly fewer emissionshave been achieved through thepurchase of newer, more efficientlocomotives; establishing locomotiveoperating policies that promote fuelefficiency; installing on-boardequipment that reduces engine idling;and a switch to using ultra low sulfurdiesel fuel five years before the EPA-mandated deadline.

In addition, ARRC has been aproponent of commuter rail service,having sponsored a southcentral Alaskacommuter rail study and operationsplan, constructed track and depotinfrastructure, and served in anadvisory role for local government andpublic support groups.

ARRC is also a partner in offering theShip Creek Shuttle, a public transitservice connecting lower downtownand upper downtown Anchorage,where there is a public bus systemconnection.

ARRC’s Green Star and Air Qualityaward submissions and supportinginformation (appendices) are posted onwww.AlaskaRailroad.com. Click theInformation tab, then Safety &Environmental, then Green Star.

RAILROAD EARNS GREEN STAR AIR QUALITY AWARDGreen Star approves original award recertification and separate air quality honors

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2007 ANNUAL REPORT HIGHLIGHTS “THE GOLDEN RUN”The Alaska Railroad Corporation’s2007 Annual Report is availablefor public review on ARRC’s website — www.AlaskaRailroad.com,— beginning in April.

This year’s theme is The GoldenRun , a term used to define themost efficient possible trainrun between two points. Toachieve it, everything has tobe near perfect, meaning theentire railroad team has toperform with excellence — from thecrew operating the train, to the track gangs maintainingthe line, to the accounting technician cutting the payrollchecks.

Achieving excellence requires continual effort — takingstock and moving forward. That’s what it wasall about for the railroad last year. 2007 was ayear of re-establishing baselines. We took stockof achievements from our previous five-year plan,and used it to engineer the next five-year plan.Our goals: increased operational flexibility, preciseperformance tracking, a better expense-to-revenueratio as reflected by net operating income, contin-ued improvements in safety — overall, a more excel-lent railroad.

2007 was a solid financial year with total revenues at$169.3 million, total expense at $153 million and netincome at $16.3 million. Our assets grew another $120

million and now total $835 million.

he Alaska Railroad is rolling into 10 railbeltcommunities March 31 through April 12 to offerpractical information and instruction aimed atpreventing and preparing for a variety ofemergency situations. The 2008 Alaska RailroadEmergency Response Whistle Stop Tour begins inSeward, with subsequent stops in Whittier, Palmer,Wasilla, Talkeetna, Healy, Nenana, Clear AFS andFairbanks, and ending in Anchorage.

The tour trains fire-fighters, medics and other emergencyresponders what to consider in the event of a train accidentthrough classroom instruction, and hands-on exercises. It alsooffers potentially life-saving information to the general publicthrough a mobile “fair” with presentations, experts andmaterials to help plan ahead to avoid or mitigate situationsranging from wildfires and natural disasters, to crime andrailroad hazards.

Partners include the Alaska Departments of EnvironmentalConservation (ADEC) and Health & Social Services(ADHSS). Along with information from sponsors, severalnationally-recognized preparedness programs are represented:Community Emergency Response Team (CERT), CitizenCorps (homeland security), Neighborhood Watch (crimeprevention), Operation Lifesaver (rail safety), FireWise Alaskaand Smokey the Bear (wildfire prevention).

“The Alaska Railroad is required to periodically coordinatewith the emergency response community on responding to

accidents and incidents involving freight and passengertrains,” said Alaska Railroad Environmental Services &Emergency Response Manager Marc Peterson. “The WhistleStop Tour program fulfills that mandate, but goes evenfurther. These face-to-face forums allow for a true partneringwith local emergency organizations. At the same time, thetraveling train provides a venue to reach everyday citizenswith tools that can save lives and property.”

A biennial effort, the 2008 Whistle Stop tour is bigger thanever, with an expanded outreach to emergency responseorganizations, elementary schools and the general public. Additional details are available on the Alaska Railroad website – www.AlaskaRailroad.com. Click on INFORMATION,then COMMUNITY. On the left, click on EmergencyResponse Whistle Stop Tour.

WHISTLE STOP TOUR OFFERS LIFE-SAVING COUNSEL Biennial effort reaches emergency responders, school children and public at large

TAlaska Railroad CorporationP.O. Box 107500Anchorage, AK 99510-7500

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ANCHORAGE, AK

PERMIT NO. 500

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Front-line emergency responders, such as fire-fighters, receive vitaltraining (Photo from a simulated exercise during summer 2007).

hree hundred railcars stretching 24,000feet long and hauling 28,000 tons sumsup one of the Alaska Railroad’s biggestmilitary moves to date. From May 29 toJune 10 ARRC hauled nearly 1,000military vehicles in support of the FortWainwright Stryker unit’s 3,900-soldierdeployment to Iraq. Strong leadership,commendable teamwork, exemplary

communication, and an excellent rapportbetween the railroad and military led to anultra-efficient operation executed ahead ofschedule and with fewer resources.

Seven 40-flatcar trains were used to move nearly300 Stryker vehicles plus hundreds of supportvehicles in all shapes and sizes. On the loadingend in Fairbanks, Army personnel guided theirvehicles onto the flatcars, while railroad workleaders directed their location on the flatcars.

The expertise of both maximized the number ofvehicles that fit onto each flatcar.

On the south end at the Port of Anchorage,teamwork and cooperation translated into rapidturnaround. Even a minor derailment of thefifth train as it entered the port rail spur June 5offered an opportunity to showcase railroadcapabilities. Railroad operations were backonline quickly and there were no delays to anypart of the mobility schedule.

In the end, the hefty military move demon-strated the railroad’s ability to handle additionalcapacity, due in part to significant capitalinvestments to modernize the rail system overthe past decade. “This was a new type of moveinto the port and we learned from it,” saidARRC Assistant VP of Transportation PatShake. “We’re ready to do it again.”

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2nd Quarter, 2008


ARRC MOVES 1,000 MILITARY VEHICLESSeven-train mobility supports Fort Wainwright deployment to Iraq


Northern Rail Extension and Tanana River Crossing

Fairbanks Area Rail Line Relocation




Healy Canyon Safety and Reliability Improvements







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A 40-car train carrying military vehicles pulls into the Port of Anchorage. (Photo by David Blazejewski)

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laska Railroad Chairman John Binkley was on-hand June 13 to witness Anchorage Mayor MarkBegich and Mat-Su Borough Mayor Curt Menardas they signed a pioneering agreement to endorseformation of a regional transportation authority(RTA). Skyrocketing gas prices and growingcommuter traffic between the two communitiesspurred mayoral promises to improve mass transitopportunities, including the possibility of a

commuter rail service.

“The Railroad’s Southcentral Commuter Rail Study in 2002points to forming a regional transit authority as the firstcritical step to establishing commuter rail service,” saidBinkley. “Local governments and state governmentcoordination is key to this effort, and we are pleased to seethe Mat-Su Borough and Anchorage on board.”

Begich and Menard signed the agreement at the railroad’sShip Creek Historic Depot, the site of a future transportationhub. During the past five years, ARRC has invested millionsof dollars to straighten track, build a new rail station at theAnchorage Airport and a rail depot in Palmer, as well as begin

work on the Ship Creek Intermodal Transportation Center.Such infrastructure improvements make commuter rail amore viable option.

More than 14,000 people regularly commute between theMat-Su and Anchorage, including about 150 ARRCemployees.

ROUND-UP: RAIL REALIGNMENTS AND EXTENSIONSARRC pursues track relocation projects in southcentral and interior Alaska

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ALASKA RAILROADERS HELP FORGE NEW NATIONAL COLLEGELEVEL RAILWAY MANAGEMENT CERTIFICATION PROGRAM

The Alaska Railroad had a hand in developing, teachingand experiencing a premier Railway Management Programoffered through Michigan State University.

The new certificate program is aimed at upwardly mobile,mid-career railroad managers, according to Alaska RailroadTraining Director Paula Donson, Ph.D. She served on theprogram’s Curriculum Content Advisory Committee,which first met in February 2007 and subsequently duringthe summer 2007 to identify program goals and hammerout key topics to be taught.

The course includes online participation, along with class-room instruction that is split into four one-week sessionsheld throughout a six-month period. Week 1 in the class-room introduces railway and transportation fundamentals.

Week 2 covers rail infrastructure, equipment, and com-mand and control. Week 3 reviews customer and financialstakeholder relations. The final week outlines managementand leadership development.

ARRC President & CEO Pat Gamble taught a two-hourblock in the fourth week. “The students said they reallyliked the ‘one-liners’ in particular, because these werethoughts or tools that could be implemented on the spotwhen they return to work,” said Gamble.

The inaugural class began last January and graduated inearly June 2008. ARRC Director of Passenger OperationsDavid Greenhalgh was among the first class of 17 studentsto earn the certificate. For details about the RailwayManagement Program visit www.RailEducation.com.

Left-right: ARRC Chair John Binkley, Mat-Su Mayor Curt Menard,and Anchorage Mayor Mark Begich. (Photo by Stephenie Wheeler)

uring 1941, the U.S.Department of the Interiordesigned a long, narrowfreight shed adjacent to anindustry rail spur alongAnchorage’s First Avenue,just down the street fromthe Historic Ship CreekDepot. Today, this World

War II-era structure has become theposter child for the promise of ShipCreek revitalization.

ARRC is renovating the HistoricFreight Shed as a Leadership in Energyand Environmental Design (LEED)-

certified building, making it the first ofits kind in Alaska — a historic LEEDbuilding. The Freight Shed is amonga handful of historic big timberbuildings in Anchorage. Its remarkablelarge timber truss interior features addto the building’s charm and value.

The challenge is to transform thebuilding while meeting two caveats:The building must 1) remain “historic”in nature; and 2) meet strenuousenvironmental design standards forenergy conservation, material reuse,and waste/pollution reduction in order

to be LEED-certified. ARRC turned toECI/Hyer, the firm that recentlydesigned the railroad’s Ship CreekIntermodal Transportation Centerproject, which also requires a blend ofhistoric preservation with cutting edgeamenities.

“This is a fantastic old building insideand outside,” said ECI/Hyer PrincipalBrian Meissner, who heads the effort tobalance historic character, modern codecompliance and energy efficiency.That balanced design calls for a raisedsidewalk on the street side, whichpreserves the building’s historic

entryways, while addressing adequateexits. ECI/Hyer has been equallyinventive in incorporating requisiteenergy conservation features. Forexample, an old-style framer’s approachis employed to maintain the distinctiveroof lines while accommodatingsufficient insulation. LEED also callsfor re-use or recycling of all materialspossible from the original structure. Inthis spirit, the interior infrastructurewill use large timbers to constructtruss-style supports that will blend intothe décor.

The renovated Freight Shed will offertenants roughly 32,000 square feet ofcommercial space in an essentiallydowntown location. Its unique,historic nature also offers anextraordinary setting with both prestigeand convenience.

Kaladi Brothers recognized thepotential and inquired about a lease in2006. ARRC took Kaladi’s interest as apositive sign that its long-time pursuitof a revitalized Ship Creek couldaccelerate as a result of the FreightShed renovation. ECI/Hyer is soenamored with the project that thefirm has expressed interest in becominga potential inaugural tenant, alongwith Porcaro Communications /Bernholz & Graham.

Given this strong interest, the railroadplans to proceed with the renovationproject this summer to include utilitysite work, sidewalk, plinth (platform)construction, new roof and wallupgrades. Over the winter, work willfocus on indoor mechanical andelectrical system upgrades and interiorfinishes. Construction will conclude in2009 with paved parking, streetupgrades and landscaping.

While ARRC will maintainarchitectural control, interior design isup to tenants, who will be encouragedto create their interior space based ongreen and LEED concepts.

For more information about leasingspace in the Freight Shed, call theAlaska Railroad Real Estate Depart-ment at 265-2670.

ALASKA’S FIRST HISTORIC L.E.E.D. BUILDINGRailroad renovation of large timber freight shed provides prime downtown office space

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ECI/Hyer architectural concept rendition for Freight Shed LEED-friendly renovations

s of May 2008, the Alaska Railroad locomotivefleet no longer includes the GP49 series. WhenARRC purchased the final four of 28 SD70MAClocomotives in 2006, this move to modernizespurred the sale of ARRC’s nine GP49s between2006 and May 2008.

The first five were sold in 2006-2007 to HelmFinancial Corp. After an overhaul by National

Railway Equipment Company in Chicago, Locomotives 2801and 2804 sold to Transap to support timber, mining andgeneral freight industries in southern and central Chile.Locomotives 2803, 2806 and 2807 went to Seattle.

Of the four sold in 2007-2008, Locomotives 2802 and 2809are used by Frontier Rail Corporation in Walla Walla, WA.The final two — 2805 and 2808 — were ultimately sold toFerronor to support copper mining in Chile’s northern desertregion. The trucks (wheel assemblies) on GP49s bound forChile were replaced or modified to fit broad gauge track insouthern Chile and narrow gauge track in northern Chile.

The Alaska Railroad originally ordered Locomotives 2801,2802, 2803 and 2804 for manufacture in 1983 and deliveryin 1984, when the railroad was still owned by the federalgovernment. Locomotives 2805 through 2809 were built byMay 1985 and delivered after ownership of the railroadtransferred from federal hands to the state.

NO MORE GP49 LOCOMOTIVES IN ARRC FLEET Railroad’s sale of nine GP series locomotives of interest to rail fans and history buffs

AAlaska Railroad CorporationP.O. Box 107500Anchorage, AK 99510-7500


ANCHORAGE, AK

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Locomotives 2805 and 2808 are unloaded at the Port of Valparaisoin Santiago, Chile, in early May 2008. (Photo by Anthony King)

laska Railroad Corporation (ARRC)operations range from a rail-bargeservice staged at the Port of Seattle, topassenger and freight docks inSeward, to ARRC’s terminus inInterior Alaska. All along the way —every day — ARRC enhances thelivability, livelihood and security ofour business partners and resident

neighbors. To follow are a few examples of howrailroad employees and the corporationcontribute to railbelt communities.

Seattle: In mid-September, railroad employeesoutlined locomotive emission reduction effortswith U.S. transportation providers hailing fromthe northwest region. ARRC’s presentation waspart of an annual Faster Freight Cleaner Airconference aimed at sharing best practices andideas for greater efficiency and environmental

stewardship. Nearly 300 people attended theconference held in Seattle, where ARRC haspartnered with Lynden to barge freight fromthe northwest to Alaska’s gateway in Whittier.

Seward: Local business people report amoney-making summer despite gloomypredictions for tourism this year. ARRC did itspart to spur visitor-related commerce, asridership on the Coastal Classic train betweenAnchorage and Seward increased slightly overlast year, bringing more visitors to the doorstepsof Seward operators. Business also benefitedfrom 65 cruise ships that docked at the ARRCterminal, compared to 45 ships last year. Thatmeant more cruise passengers spent time andmoney in town. Early rumor has it that nextyear may be even better, given reports that twocruise ships may come as early as April 2009.

(See “Community Contributions” on page 2)

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3rd Quarter, 2008


RAILBELT COMMUNITY CONTRIBUTIONS From Tidewater to Interior: ARRC volunteers, donates, supports














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ARRC Executive VP Jim Blasingame offers a hotdog to a student during the August back-to-school picnic.

(continued frrom page 1)

Each fall ARRC’s cruise ship passenger terminal becomesavailable to offer Seward a spacious venue to host a variety ofcommunity gatherings and events. In September alone, aregional tribal organization conducted an annual meeting,musical groups organized an annual music festival, and an oilcompany organized spill response training. Coming up,ARRC has offered complimentary use of the terminal tohouse a popular children’s Halloween extravaganza.

Anchorage: Children were also the focus of railroademployee volunteers who organized the annual GovernmentHill Elementary back-to-school picnic in mid-August.Hundreds of students, parents and teachers turned out todine on hot dogs and chips and celebrate the new academicyear. ARRC has long engaged in a proactive School BusinessPartnership with Government Hill by lending corporateresources and promoting employee volunteerism. Thepartnership includes support of the picnic, spelling bee,science fair and other activities. ARRC was a founding

member of the School Business Partnership program, whichwas initiated in the early 1990s by the Anchorage SchoolDistrict, Anchorage Chamber and local businesses.

Eklutna / Birchwood: On the heels of last year’s successfulquarry land return negotiation, Eklutna, Inc. and ARRC arepursuing another win-win land deal. Eklutna is developingresidential property near Eagle River, in the Powder RidgeSubdivision. The Alaska Native corporation has expressedinterest in expanding this development to include 400 acresowned by ARRC in the middle of the development. As partof the deal, ARRC would like to acquire up to 160 acres ofland adjacent to its Birchwood rail operations yard, whichincludes multiple sidings along the mainline that are used tostore railcars and smooth operations into and out of theAnchorage Yard. This property would open up new industrialbusiness land for lease that is served by rail. Land appraisal,ARRC board approval and legislative approval are neccessarybefore a deal can be finalized.

(See “Community Contributions” on page 3)

COMMUNITY CONTRIBUTIONS...

RAILROADER MARKS 50 YEARS OF SERVICE ON THE JOBSteve Love is a remarkably dedi-cated railroader — a half centuryworth of dedicated, in fact.When Love marked 50 years onthe job this August, dozens ofcommunity friends and col-leagues gathered in Healy tosalute this epic milestone.

No one else in Alaska Railroadhistory can boast such a jaw-dropping tenure. It all started onJuly 28, 1958 — the year beforeAlaska became the 49th state —when Love joined the federally-owned railroad as a member of a track maintenance gang.He hasn’t wandered far from the track ever since, prefer-ring to work in the field as opposed to behind a desk.After 20 years as a track laborer and foreman, Love waspromoted in 1978 to his final position as Roadmaster. Inthis capacity, for the past 30 years, Love has kept the trackin good working order along a 125-mile stretch from GoldCreek north through Healy, where Love resides. During the August celebration, ARRC President and CEO

Pat Gamble presented Love with a one-of-a-kind service pin and a sign bearingLove’s name. The sign is now postedalong a siding that was renamed inLove’s honor. Accolades also camethrough an ARRC Board of Directorsresolution, a State of Alaska Legislaturecitation, and a congratulatory letterfrom Governor Sarah Palin — all com-mending Love’s enduring service.

Yet Love nearly followed another path asa teenager. As a new high school gradu-ate, Love repeatedly checked with the

railroad, hoping for a job opening.Discouraged and jobless by the end of summer 1958, Loveflipped a coin to decide whether to check with the railroadone more time (heads), or to talk to an Army recruiter(tails). Heads came up and this time his quest for employ-ment met with success. “If that 50-cent piece had turnedup tails and I’d have gone into the Army, who knows howmy life would have turned out,” he said, whereuponGamble quipped, “He would probably be Chairman of theJoint Chiefs.”

CEO Pat Gamble reveals the Love Siding sign.

(continued from page 2)

Mat-Su Borough: The Alaska Railroad teamed up with theAlaska Department of Transportation & Public Facilities,Matanuska-Susitna Borough, City of Wasilla and City ofPalmer to present the Mat-Su Transportation Fair in lateSeptember. Hundreds of residents attended this one-stopinformation venue to learn about the latest road, rail and trailprojects that are in the works and on the horizon in theValley. ARRC project managers were on hand to answerquestions and offer information on the South Wasilla TrackRealignment project. ARRC also supported a joint exhibit oncommuter choices including rail service, and a boroughexhibit about the Port MacKenzie Rail Extension project.

Nenana: Pounding rains soaked Interior Alaska in latesummer creating near historic flooding conditions. While theState Emergency Coordination Center activated in response,the Alaska Railroad’s Incident Command System ramped up

to handle the logistical and communications challenges posedby jeopardized rail and road transportation corridors.Railroad crews lent the community a helping hand by gettingsupplies into Nenana as rising flood waters threatened to cutoff regular transportation and supply routes. At its worst,water crested nearly 18 inches above the mainline indowntown Nenana. Once waters subsided, crews had thetrack back in service, restoring the movement of trains andsupplies into and out of Nenana.

Railbelt Security: In early August, ARRC Police & Securityspecial agents joined forces with Transportation SecurityAdministration (TSA) Visible Intermodal Prevention andResponse (VIPR) team members for a one-day multiplelocation training exercise. The VIPR operation focused onAlaska Railroad passenger operations at the Dale R. Lindsey

Cruise Ship and Intermodal facility in Seward, the HistoricShip Creek Depot and Bill Sheffield Airport Depot inAnchorage, the Denali Park Depot and the Fairbanks Depot.The event evaluated passenger facility security plans, as wellas promoted the visibility of TSA and ARRC resources as adeterrent to terrorism within Alaska.

TSA visibility got another boost on September 11, when TSAofficers across the country engaged in a national programrollout. ARRC offered the Bill Sheffield Depot at theAnchorage Airport as a venue for about 300 TSA agents tore-affirm their oath while clad in sharp new TSA uniforms.TSA officers also received a classic burnished metal badge(similar to law enforcement badges), to reflect TSA officerduty and authority.

Railbelt Philanthropy: Alaska Railroad recently kicked off atwo-month United Way pledge drive slated to conclude aweek before Thanksgiving. A number of stalwart employeevolunteers have returned to lead the charge toward a $95,000goal for employee pledges. United Way committee membersare generating excitement and interest all along the rail linewith “Live United” themed activities and pledgingopportunities. While the annual campaign is entirelyemployee driven, the corporation offers substantial support tothe tune of a dollar-for-dollar funding match. Last year,railroad employees and matching corporate contributionstotaled in excess of $200,000.

COMMUNITY CONTRIBUTIONS...

TSA officers re-affirm their oath in a ceremony held at theBill Sheffield Depot at Anchorage Airport.

River flooding puts road and rail under water in Nenana.

rnie Piper was named as theAlaska Railroad’s Vice Presidentof Operations and ChiefOperating Officer on July 30,2008. Piper began his careerwith the Alaska Railroad in 1998as the Director of Public Affairs.He was later promoted toAssistant Vice President (AVP)

Health, Safety and Environment followedby AVP of Mechanical and then AVP Safetyand Operations. He left the railroad in late2007 to serve as a railroad industry consultant, primarily forAmtrak. Piper also has extensive experience in commandingemergency and hazardous materials operations, including afour-year stint as a state on-scene commander during theExxon Valdez oil spill response.

“We very are pleased Ernie Piper has agreed to rejointhe Alaska Railroad team,” said Pat Gamble,President and CEO. “He stood out among a shortlist of candidates as our top choice and brings awealth of experience to the position. Piper’s longhistory with the State of Alaska and his broadexperience throughout the Alaska Railroad make himan ideal fit for our organization.”

Piper replaces Matt Glynn who came to the AlaskaRailroad over seven years ago starting as the AssistantChief Operating Officer and moving quickly into the

Chief Operating Officer position. Glynn tendered hisresignation on July 28, 2008, indicating his desire to pursueother professional interests at this point in his railroadingcareer. After his successful years of leadership at the AlaskaRailroad, we wish him well.

RAILROAD NAMES NEW CHIEF OPERATING OFFICER Alaska Railroad veteran Ernie Piper accepts COO post in July

EAlaska Railroad CorporationP.O. Box 107500Anchorage, AK 99510-7500


ANCHORAGE, AK

PERMIT NO. 500




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The year 2008 was about managing andembracing change. Forces outside theAlaska Railroad Corporation (ARRC)presented changing economicconditions that demanded equivalentchange from within. Impacts from theyear’s unstable environment was perhapsmost evident in our financial results,which changed quarterly, given

dramatic and unexpected expense shifts in themarkets. A budgeted $16 million net incomedwindled to nearly half in the wake of marketnosedives and skyrocketing fuel costs. Weended the year with a respectable $137.3

million in totalrevenues, $128.2million in total

expense and anestimated $9.0 million

net income. The ARRCBoard of Directors offered

considerable fore-thought and guid-ance

early on, leading toeffective and

measured

mitigation. ARRC recognized the approachingexternal change and responded with appropriateinternal offsetting adjustments. Here arehighlights of railroad actions that directed,affected and reacted to change during 2008.

ORGANIZATIONAL CHANGE• ARRC responded to flat freight revenues and

rising fuel expenses by lowering supply andtravel costs, conserving energy and elimina-ting about four dozen positions throughattrition and unfilled vacancies. These year-long efforts limited a final year-end layoff toabout a dozen additional positions.

FREIGHT / TRANSPORTATION• ARRC transported more than 5.825 million

tons of freight in 2008 reflecting a decreasefor some commodities. Petroleum hauledfrom the Flint Hills Refinery in North Poledropped about 14% from 2007. Shipmentof trailers and containers dipped 12% andassociated barge-rail business declined 16%from 2007.

• 2008 gravel activity rebounded somewhatwith 28,309 car loads carrying 2.83 milliontons for a 19% increases over 2007.

• On the up side, with more than 550,000metric tons hauled, 2008 was one of the bestyears for coal. The export market wasbuoyed by a rise in Asia coal use and globalcoal prices. In addition, more available cargoships lowered ocean freight costs,

(See “2008 In Review” on page 2)

T


4th Quarter, 2008


2008 IN REVEW: MANAGING CHANGE Railroad responds to evolving environment with internal adjustment












Track Program: Rail, Ties and Surfacing


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Work on capital projects doesn’t stop in the winter.

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dramatically improving the margin of profitability forAlaska coal. While Chile was the largest export customerin 2008, test shipments went to Japan, China and SouthKorea, raising the possibility of future sales. Domestic coaldemand remained similar to 2007.

• In late spring 2008, the railroad conducted one of itslargest military mobilization moves to date. About 300railcars moved nearly1,000 military vehicles from FortWainwright to the Port of Anchorage in support of the 1-25th Stryker Brigade Combat Team’s eventualdeployment to Iraq.

• ARRC welcomed new customer Eni Petroleum, a globaloil company that became a player on the North Slope in2008. As the start to a hopefully long-term businessrelationship, ARRC transported 97 railcars of pipe andother materials to support drilling and production activity.

PASSENGER SERVICE• The railroad carried more than 541,000 passengers in

2008. Total 2008 passengers increased 6% over 2007 andrecord-breaking summer ticket sales generated $1.37million more than 2007. GoldStar first-class service alonegrew 36%.

Train Operations • Trailer On Flat Car (TOFC) operations improved by

building a new track and ramp used to load heavyequipment onto flatcars. Relocation next to the Anchorage

Operations Center on Whitney Road is part of a phasedeffort to move all TOFC activities into the main yardoperating area.

• The multi-phase Collision Avoidance System (CAS) wastested and monitored in 2008. The CAS integratescomputer-aided dispatch (CAD), on-board locomotiveequipment, trackside devices and a dedicated communi-cation network to prevent accidents typically caused byhuman error. Completion is due in 2010.

RAILCAR EQUIPMENT • Colorado Railcar Manufacturing (CRM) built and

delivered two bi-level dome railcars equipped with fullkitchens and dining areas on the lower level, and largewindow seating on the upper level. They will help satisfy agrowing demand for GoldStar first-class service in 2009.

• CRM also built the Alaska Railroad’s first self-propelleddouble-deck commuter-style railcar. Sporting ARRC’scolors and scheme, the diesel multiple unit (DMU) will bedelivered in 2009 and will support the Chugach ForestWhistle Stop Service in the summer and local service inthe winter.

TRACK INFRASTRUCTURE• Maintenance-of-Way (MOW) crews installed more than

417,000 feet of 115-pound welded rail, 60,000 feet of new141-pound welded rail, 42,000 wood ties, 17,000 concreteties, and 100,000 tons of track resurfacing ballast.

(See “2008 Year in Review” on page 3)

2008 YEAR IN REVIEW...

ARRC SCHEDULES PROJECT OPEN HOUSES IN JANUARY ‘09The Alaska Railroad invites the public to three open houseevents in January to showcase plans for capital improve-ments during 2009, and to provide an opportunity forpublic comment on the proposed Program of Projects.Events include continuing and proposed projects in variousstages — from conceptual planning to construction.Project managers will be on-hand to answer questions.

• Anchorage – 4:00-7:00 p.m., Wednesday, January 21.Historic Ship Creek Depot at 411 West First Avenue.

• Wasilla – 4:00-7:00 p.m., Thursday, January 22.Evangelo’s Restaurant at 2530 E. Parks Highway.

• Fairbanks – 4:00-7:00 p.m., Tuesday, January 27. ARRCDepot at 1745 Johansen Expressway.

People unable to attend theopen house events may visitwww.AlaskaRailroad.comfor project information.Written comments may bee-mailed to [email protected] or mailedto Alaska Railroad CapitalProjects, P.O. Box 107500,Anchorage, AK 99510-7500.

For more information, call Public Involvement OfficerStephenie Wheeler at 265-2671 or External AffairsDirector Tim Thompson, 265-2695.

2008 YEAR IN REVIEW... (continued from page 2)

• The top of the 265-foot Moody Tunnel in Healy Canyonwas removed. “Daylighting” eliminated train heightlimitations and serious structural concerns, and left roomto shift the track 30 feet to more stable ground in 2009.

• As part of the railroad’s extensive bridge program, thetimber trestle bridge at Billion Slough near Talkeetna wasreplaced with a new steel through-plate girder bridge.

• The railroad’s own Curry Quarry process area wascompleted and quarry operations began in 2008,producing 200,000 tons of ballast rock and 60,000 tons ofrip rap rock material.

• The Colorado Siding about 25 miles south of Cantwellwas extended from 4,109 feet to just over 10,000 feet. Thesiding can now accommodate our longest freight trains.

• ARRC helped the Municipality of Anchorage to restorefish passage to a historic in-town salmon stream. ARRCinstalled a 12-by-12-foot box culvert under the mainlinetrack about two miles south of the Anchorage Yard.

OTHER CAPITAL PROJECTS• The Surface Transportation Board (STB) released the

Northern Rail Extension (NRE) Draft EnvironmentalImpact Statement (EIS) for public review in mid-December. As the project sponsor, the Alaska Railroad hassupported the EIS effort with grant funding, informationand research.

• Sponsored by the Matanuska-Susitna Borough, the PortMacKenzie Rail Extension project moved into the EISphase in January 2008, when the railroad submitted anapplication to the STB. During 2008, the STB’s contractorcompleted field work in support of the EIS.

• Near Curry Station, the railroad improved visibility alonginterpretive trails and placed historic rail equipment asstatic displays. Equipment includes a Rotary 3 track snowblower, an inspector “speeder” car, a 10,000-gallon tankcar, an engineering caboose and a domed caboose.

• Some work continued in support of the Chugach ForestWhistle Stop program. A water pump was purchased and awell site prepared to provide potable water at the SpencerWhistle Stop. The Forest Service is seeking funds tocomplete design and construct the Grandview WhistleStop site.

• Crews demolished the 67,000 square-foot WhittierMarginal Wharf and installed a new barge winch dolphin.Built in 1958, the wharf had been declared structurallyunsafe. Long-term (unfunded) plans call for a new dockoperation with a possible rail passenger facility.

POLICE AND SECURITY• The ARRC Police and Security Department (APSD)

assessed and improved physical security of all ARRCfacilities, and installed additional video surveillancecameras along the mainline. Both are effective efforts todeter crim, catch criminals and improve overall security.

• In August APSD joined with the Transportation SecurityAdministration (TSA) to assess rail passenger operations atfacilities in Seward, Anchorage Denali and Fairbanks. Thejoint team-based operation promoted TSA visibility in therail and cruise environment as a means to actively deterterrorism. It was the first exercise of its type in Alaska.

SAFETY & ENVIRONMENT• In response to requests from the public and agencies, the

railroad commissioned the University of Fairbanks (UAF)to begin a multi-year herbicide research project. Admin-istered by UAF scientists, studies are gathering science anddata on the migration and retention of specific herbideproducts in the Alaskan soil. In coordination with theAlaska Department of Environmental Conservation,research took place on less than 14 acres of railroad land inSouth-Central Alaska.

• ARRC and the state Division of Forestry approved anagreement to provide reciprocal assistance for fire-fightingalong the rail line. In support, ARRC converted nine oldfuel tank railcars to hold water and deployed the cars toalong the mainline to help fight wildfires.

REAL ESTATE & FACILITIES• ARRC began renovating its Historic Freight Shed on First

Avenue as a Leadership in Energy and EnvironmentalDesign (LEED)-certified building. The 36,000-square-footfacility will be Alaska’s first historic LEED building. Duefor completion by late 2009, the Freight Shed will house acoffee shop, café and office spaces. The renovationprovides a cornerstone for future commitments in supportof the Ship Creek Development Plan.

• Marking its first full year as a separate operating shop,ARRC’s new Facilities Department focused on energyefficiency. Dozens of infrared thermal building scansidentified heat loss areas for repair. Other initiatives:Upgraded thermostats to lower nighttime temperatures,light switch motion detectors to keep lights off, inefficientfluorescent lamps and garage doors replaced.

The 2009 Alaska Railroad commemorative poster and print are now availableat the Historic Ship Creek Depot in Anchorage and the Fairbanks Depot.The poster or print can also be ordered through the Alaska Railroad onlineGifts Shop at www.alaskarailroadgiftshop.com.

The 2009 print is entitled Clearing the Way by Wasilla artist Taffina Katkus.The print artwork depicts a Jordan spreader crossing the Hurricane GulchBridge on a cold Alaskan afternoon. The sundog and frozen MountMcKinley in the background illustrate harsh frigid conditions.

“I wanted to capture the enormous expanse of the gulch and the bridge,” said Katkus. “I imagined the huge challenges that the engineers in that era would have faced to erectthis remarkable bridge.”

Born in Colorado, Katkus moved to Alaska 38 years ago. Katkus and her husband ownPioneer Signs, a commercial sign company in Wasilla. For the past 25 years, Katkushas supported the company as a commercial graphic artist. Recently, she begandevoting more time to fine art through painting in her home studio

2009 COMMEMORATIVE POSTER/PRINT AVAILABLE Wasilla artist portrays frigid Alaska environment and iconic Hurricane Gulch bridge

TAlaska Railroad CorporationP.O. Box 107500Anchorage, AK 99510-7500


ANCHORAGE, AK

PERMIT NO. 500




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