BY KEITH BENMAN, Times of Northwest Indiana
kbenman@nwitimes.com

A CSX intermodal rail yard for LaPorte County is not a done deal, but is close enough that developers are talking with unions about labor and local governments are thinking about such issues as taxes and services.

"I believe sooner rather than later something will unfold and I believe a decision will have to be made by elected officials -- if it's good or bad," said Matthew Reardon, an economic development consultant for the county.

Reardon and Timothy Gropp, of the Greater LaPorte Economic Development Corp., and John Regetz, of the Michigan City Economic Development Corp., came to The Times on Thursday to talk about the plan.

They pointed out the facility could provide from 5,000 to 10,000 jobs in a county that has a population of about 110,000. Spin-off from the development could include major new manufacturing plants looking to ship globally.

"It's thousands of jobs," Gropp said. "We've already had inquiries, you know people keeping tabs on the project, from Elkhart County, St. Joe County, Starke County, Lake County. I mean people will see the impact here."

But as information about the facility has been revealed, citizen opposition in the immediate area has grown. Recently, local landowners in Union and other townships united with a group that opposed the Illiana Expressway plan to voice their opposition.

The facility of about 3,000 acres would be located near the intersection of U.S. 6 and Ind. 39, just west of the former Kingsbury Ordnance Plant.

Real estate developer Grubb & Ellis/Cressy & Everett has been paying landowners for options-to-buy in the area.

Grubb & Ellis/Cressy & Everett wants to develop an intermodal site that would be larger than the CenterPoint Intermodal Center, in Illinois, where 5,000 jobs have been created since it opened in 2002, Reardon said.

The yard would serve CSX Corp., which has a major rail line running through the area. Canadian National Railway and the Chicago SouthShore & South Bend Railroad also have expressed interest, Reardon said.

CSX is not publicly commenting on the proposed intermodal site in LaPorte County, according to spokesman Garrick Francis.

Intermodal facilities transfer shipping containers from rail cars to semitrailers and vice versa.

The facility would not be owned by a government entity, Reardon said, although he said a tax increment financing district or other tax incentives might be offered.

"We want to rely on the private sector to do what they do to build this facility," Reardon said. "We want it to be a taxable facility. We don't want the Port of Indiana to own it."

Opponents have accused local politicians of going behind their backs to give out lucrative incentives, but Reardon said nothing of that sort has taken place. The developer may request incentives, but those will be laid out before the public and their elected representatives for approval, he said.

Once a solid proposal is put forth by the developer, the public will be informed of all its details, Reardon said. Even though such an announcement may be close, it would be at least three years until ground could be broken for the project.

The overall goal is to create a "boat load" of jobs and lower property taxes across the county, Reardon added.
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