There is no need for further delays in resolving the fate of the federal government’s grain hopper cars, says the head of a farm group that has been trying to take ownership of the fleet for nine years.
“I think this issue has been studied to death,” said Sinclair Harrison, president of the Farmer Rail Car Coalition. “We don’t see any reason for it not to be decided in the next few weeks.”
That would allow for the cars to be transferred to a new owner in time for the beginning of the new crop year Aug. 1.
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The House of Commons standing committee on transport has recommended that if the government decides to sell the cars, it should first establish a formal “request for proposals” process that is open and available to all interested parties. It also recommended that federal agencies do a study to determine accurate maintenance costs for the grain hopper cars.
As far as Harrison is concerned, that adds up to more unnecessary delays in a process that has already taken far too long.
“If it goes that route, we’d be looking at another year, with proposals, business plans and evaluations,” he said in an interview last week.
Any group or organization that has interest in buying the cars has known for nearly a decade that the government intended to sell them, he said. There has been plenty of time to prepare a business plan and submit a bid, as the coalition has done.
“There is no need for a call for proposals,” he said, adding that the government has received proposals from the FRCC, the two national railways and the Farmer Industry Partnership.
A spokesperson for the FIP, made up of prairie grain handling companies and a number of farm commodity associations, is more receptive to the transport committee’s recommendation.
“That’s something that makes sense when you’re disposing of an asset of this value,” said Blair Rutter, executive director of the Western Canadian Wheat Growers Association.
FIP was created last fall to submit a last-minute bid for the cars, after federal transport minister Jean Lapierre indicated he wanted to make a decision on the fate of the cars before Christmas.
But while supporting the idea of a formal request for proposals, Rutter said FIP also wants the rail car issue to be resolved quickly.
“Let’s get a resolution because the railways are not investing in repairs because of the uncertainty,” he said. “If we have a resolution then we get to work on refurbishing the cars, whoever owns them, and have a fleet that’s better for all users.”
