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Federal grant targets Coos Bay rail upgrades for proposed container port
Nearly $205 million in federal funding will go toward upgrading the Coos Bay Rail Line, a key link in a proposed deep-water shipping terminal that still needs billions more to proceed. The project promises jobs and new investment, while environmental concerns and lengthy reviews remain ahead.
The Port of Coos Bay has received a nearly $205 million federal grant to improve the rail line that would connect a proposed shipping-container terminal to markets inland, marking the project’s largest construction award to date.
The U.S. Department of Transportation funding, agreed to Monday, is intended for the 111-mile Coos Bay Rail Line, which runs from the coast to a point near Eugene. The century-old line needs substantial improvements to handle the volume of containers envisioned for the Pacific Coast Intermodal Port, said Melissa Cribbins, the project’s executive director.
The proposed terminal would bring large cargo ships to Coos Bay and move their containers by rail. The overall project is expected to cost more than $2 billion and remains years from operation. Oregon’s only major container terminal is in Portland, more than 200 miles north of Coos Bay.
The new award adds to roughly $70 million in previous federal grants, $160 million from the state and a $25 million investment from NorthPoint Development, the private company expected to operate the terminal. Project leaders say the port’s location, about six miles from the open ocean, could limit the need for additional dredging.
Supporters argue the terminal could create 2,500 permanent jobs and 2,500 temporary construction jobs, while helping a region still recovering from the decline of timber employment. Coos County’s unemployment rate is about 5.6%, slightly above Oregon’s 5% rate. Gov. Tina Kotek said the investment could strengthen supply chains and expand trade and industry.
The project also faces opposition from environmental advocates concerned about dredging and its effects on wildlife. Critics have urged regional leaders to prioritize sectors such as health care and tourism instead of international trade.
The next steps include choosing contractors to support permitting and review work. Proposals are due Oct. 28, after which the project is expected to undergo environmental review and a public-comment process.
Cribbins, a former Coos County commissioner who grew up in the area, said the project could bring well-paid jobs and help families build their lives locally. Its long-term economic benefits, however, will depend on securing further funding and completing the reviews and approvals still ahead.