SMRs and AMRs

Saturday, February 17, 2007

Legislation opposing DM&E loan introduced in Congress

Republicans, Democrats combine to thwart Sen. Thune, DM&E back-door deal

by Leigh Pomeroy

One would think that it would be a cold day in hell or a consistently 70º Minnesota winter to see newly elected Minnesota Reps. Tim Walz and Michele Bachmann cosponsoring the same piece of legislation. The same is true with veteran Minnesota Reps. Betty McCollum and John Kline, as arguably the four names represent the broadest possible spread of political perspective among Minnesota's House delegation.

But wait. There's more! Minnesota's Republican Sen. Norm Coleman and his Democratic counterpart, Sen. Amy Klobuchar, are introducing companion legislation in the upper house of Congress.

Ah, you think, it's gotta be one of those non-controversial bills calling for some monument or honoring a famous Minnesotan's birthday, legislation that would pass by unanimous consent. Those slip through Congress like prunes through a toddler all the time.

But there's more! Two other sponsors of the House bill are Democrat Mark Udall and Republican Marilyn Musgrave of Colorado, veterans like Kline and McCollum and politically as opposite. What gives?

Three letters: DM&E.

All eight, plus five more members of the House, are cosponsoring legislation aimed at derailing one of the largest proposed pork deals in the country's history, a $2.3 billion taxpayer-guaranteed, collateral-free loan for the DM&E, a small Midwestern railroad, so that it can compete as a coal hauler with the Burlington Northern Santa Fe and Union Pacific railroads. This is ten times the cost of the ill-fated bridge-to-nowhere in Alaska.

South Dakota Sen. John Thune, a former lobbyist for the railroad, slipped the $2.3 billion loan provision into the Transportation Bill at the last minute nearly two years ago.

Since much has been written about this sweetheart legislative deal, I'm not going into detail here. But more information, including internal documents from the DM&E, can be found at Vox Verax and Minnesota Monitor, as well as at A Bluestem Prairie and I Don't Hate America.

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1 Comments:

Blogger Patrick Dempsey said...

I am so sick and tired of the out and out lie being told here. There was no $2.3 billion anything slipped in to the 2005 Transportation Bill. Section 9003 REHABILITATION AND IMPROVEMENT FINANCING of the SAFETEA-LU (2005 Transportation Act) which you can find on wikipedia clearly shows the amended language authorizing the FRA loan principle increase from $3.5 billion to $35 billion. Yes, Senator Thune was on the conference committee that inserted the FRA loan increase language. But, the Senate version of the Transportation Bill included an increase to from $3.5 billion to $6 billion going all the way back to 1998 - 4 years before Thune was even in office. There was going to be an increase in the amount the FRA could loan no matter whether or not Senator Thune was in office. There is no earmark for DM&E in the bill. There is no $2.3 billion explicitly for DM&E in the bill. The phrases "DM&E" or "Dakota Minnesota & Eastern" or "Dakota Minnesota and Eastern" are no where to be found in the bill. Is it too much to ask that people actually READ THE DAMN BILL?!!!! I supposed it's just easier to rely on Mayo Clinic for the 'facts' and just follow along like lemmings over a cliff.

I am truly amazed at the political clout Mayo Clinic has, though. They have brought together the most diverse group of legislators and the most misinformed collection of boobs in the history of our country.

It is clear now that the DM&E loan is finished. Mayo has killed the loan and any chance for DM&E to upgrade. Good for them. Glad I am not a farmer or ag shipper or ethanol plant owner. Now, the UP will probably buy the DM&E route and ram 20 coal trains a day through Rochester with no mitigation whatsoever. If that happens, I guarantee we will one day here something like this from UP (or whomever owns the line if DM&E just gives up altogether): "We owe nothing to Mayo Clinic as we don't serve them. There is no connection to any other railroad in Rochester. The DM&E route is our shortest route out of the PRB. If Mayo Clinic doesn't want 20 coal trains a day passing through Rochester, they can move their clinic".

5:12 PM  

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