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City of Newton Awards Contract for KLP Rail Extension

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NEWTON, Kan. — At Tuesday’s meeting, the City Commission awarded a contract to extend rail improvements to serve the Kansas Logistics Park, including the new GAF manufacturing facility currently under construction.

The project will extend rail spurs from the KO Railroad line where it currently ends at Standridge Color Corp. near Southeast 12th Street. It will provide rail access for the GAF property at 12th and Hillside, as well as other future developments.

The winning bid of $3.45 million was submitted by Complete Track Works of North Dakota.

In 2023, the Kansas Department of Transportation awarded $2.6 million in Economic Development Grant funding for the project. The City will pay for the remaining cost from economic development sales tax funds.

The Logistics Park’s access to both short-line rail (KO) and Class 1 rail (BNSF) has been a strong selling point for industrial development.

The City and Watco (KO’s parent company) are now in negotiations regarding the operation of the rail line. The City Commission will consider an operations agreement at a future meeting.