City Receives EDA Award to Further Rail Improvements in Southbridge Business Park

Marty Dougherty

The City of Sioux City has been awarded an additional $631,102 from the Economic Development Administration (EDA) to assist with rail improvements in Southbridge Business Park. The City was awarded $551,459 by the EDA in 2013 for this project.  The additional funding will be used for the construction of an industrial lead track and “drop & pull” yard. 

The City is working with the Union Pacific RR on the development of the new rail yard to provide enhanced rail service to the business park. The construction contract for this project has been awarded and work is underway. A completion date is planned for mid-April. It is expected to draw interest from major rail-served industries.

The estimated cost of the new rail yard is $6,715,000. With the additional $631,102, the city has now received a total of $6,181,000, making the city’s cost $534,000. The project is therefore 92% grant-funded.

"We are grateful for the support of the EDA and our Congressional delegation for this important project,” said Mayor Bob Scott. “These additional funds will greatly assist our efforts to attract new development while reducing costs to Sioux City taxpayers."

The combined EDA award of $1,182,561 supplements two grants previously received, including $2 million from the Federal Railroad Administration (FRA) and $3 million from the Iowa DOT’s Rail Port Program for the project.

Southbridge Business Park is a new premier development in Sioux City, Iowa. Excellent access is provided by Interstate 29, Sioux Gateway Airport and freight rail. Sabre Industries, a leading provider of communication and electric transmission infrastructure products, opened a new 150-acre facility in 2013 in Southbridge.