3 named to rail agency
Rusk Council declines to sign off on sale agreement because contract arrives too late
BY GLORIA JENNINGS

The Rusk City Council appointed Rusk's three members of the Texas State Railroad Operating Agency as members of a new Texas State Railroad Operating Authority Wednesday evening. Charles Hassell, Bob Goldsberry and Marie Whitehead will join Dale Brown, Dan Davis and Wesley Holloway of Palestine on the authority board. Operating agency president, Steve Presley of Palestine, was not appointed to the authority. A seventh person will be chosen by the board to serve. Authority members will draw for length of terms at the organizational meeting.

The Rusk council elected to postpone the approval of a purchase and sale agreement with the American Heritage Railways Inc. because Rusk City Attorney Forrest Phifer and City Manager Mike Murray did not receive the agreement until just moments before the Wednesday 5 p.m. meeting. Plans are to meet on July 5 to approve the purchase and sale agreement. This will give Mr. Phifer time to study the agreement prior to making a recommendation to the council.

During the Wednesday evening council meeting Mr. Phifer distributed copies of two proposed contracts to be approved. One is with the American Heritage Railways Inc. and the other is with the Texas State Railroad Operating Authority.

Mr. Phifer said, "Legislation passed in the last session does not allow the council the opportunity to contract directly with American Heritage Railways." Any agreement for the transfer of city owned property will go through the railroad authority. If the council decides not to go through the authority, then an election must be called for November."

Gov. Rick Perry signed the bill creating the operating authority on June 16.

The operating agency decided earlier this year to select American Heritage Railways Inc. as the contractor for the railroad. The company operates the Durango and Silverton Narrow Gauge Railroad in Colorado and the Great Smoky Mountains Railroad in North Carolina. If an operator had not been found the Texas State Railroad was scheduled to become a static display on Sept. 1.

The operating agency/authority members were scheduled to meet jointly at 2 p.m. Tuesday at Citizens 1st Bank.

Attending the Rusk City Council meeting were Mayor Angela Raiborn; Councilmembers Kris Morgan, Walter Session, Don Jones, Donald Woodard and Sam Florian; City Manager Murray; and City Secretary Fran Wendeborn.