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Proposed Logistics Hub Draws Reservations From Johnston County, Support From Wilmington Chamber

By Jenny Callison, posted Jan 25, 2016
A proposal from freight carrier CSX that met with approval when it was announced Jan. 14 has since run into opposition.

Some owners of property in Johnston County where CSX would like to build a $272 million intermodal freight rail hub near Interstate 95 have objected to selling their land or having it taken through the process of eminent domain, according to media reports.

The Johnston County Board of Commissioners met in special session Jan. 20 to discuss concerns from some property owners CSX had contacted about selling their land, Jonston County manager Rick Hester said Monday. At the conclusion of the meeting, the commissioners issued a statement supporting the proposed project in general but expressing reservations.

“Last week’s news that CSX Transportation and the State of North Carolina would begin exploring plans to develop the Carolina Connector (CCX) near Selma was greeted with excitement and support from elected officials, business leaders and other residents of Johnston County,” the statement began, but continued, “The Johnston County Board of Commissioners does not support plans for CCX at the footprint the project’s advocates had envisioned.

“The Board continues to believe that CCX represents economic development opportunities for Eastern North Carolina, including Johnston County, and hopes that alternative sites can be identified that reconciles the project’s location needs with the desires of property owners that are willing to sell their land.”

CSX states on the project website that it is “at the beginning of an extensive and thorough process” where the project is concerned, and “is committed to partnering with Johnston County, state and federal officials and local residents to ensure that this development is positive for the community and the surrounding areas. Throughout this process, CSX will work closely with the local community to communicate openly, provide project updates, solicit feedback and address concerns.”

Having the intermodal freight rail hub – called the Carolina Connector Intermodal Rail Terminal, or CCX – in eastern North Carolina would be a boon for the Port of Wilmington, both N.C. Department of Transportation and N.C. State Ports Authority officials said when CSX made its initial announcement.

“This is a game-changer for the North Carolina State Ports Authority. Enhancing our freight movement statewide is key to growth,” ports spokesman Cliff Pyron said Jan. 14 in an email.

The Wilmington Chamber of Commerce on Monday announced its support for the CCX, issuing a statement that said the CCX “will position Eastern North Carolina as a major transportation hub in the South and create a competitive advantage for Eastern North Carolina. Locally, the terminal will benefit the North Carolina State Ports Authority by expanding market reach and lowering transportation costs for businesses that use the Port of Wilmington.”

"This is an unprecedented project for the State with numerous benefits to our Ports and Southeastern North Carolina," chamber president and CEO Connie Majure-Rhett said in the statement. "The Carolina Connector will improve rail capabilities by connecting Eastern North Carolina directly to CSX’s extensive rail network, which will have direct positive effects on businesses inside and outside our region that use our Ports."

Resolving landowner issues is not the only hurdle facing CCX. Although CSX is willing to invest $150 million of the project cost, it is looking for an additional $100 million from North Carolina's Strategic Transportation Investment program and the remaining $22 million from other sources.
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