Michigan considers budget appropriation for double-stack rail tunnel

A transportation budget awaiting the Michigan Legislature’s approval would allocate $10 million for the Continental Rail Gateway, a proposed high-clearance rail tunnel under the Detroit River between Detroit and Windsor, Ontario.

The $400 million project calls for constructing a single-track tunnel under the river to accommodate double-stack trains carrying all types of commodities, including automotive vehicles. The new tunnel would be built near an existing rail tunnel, which opened in 1909 and can't handle the double-stacked, multi-level rail cars typically used in today's domestic and international trade.

The state funding would help advance the project, according to Continental Rail Gateway planners. The U.S. and Canadian governments also plan to allocate funds for the project.

The Continental Rail Gateway is being developed by partners Canadian Pacific, Borealis Infrastructure and the Windsor Port Authority, which formed a coalition in June 2010. The project would add freight capacity and efficiency at a critical crossing, and make the region more competitive as a multi-modal center between key Canadian ports and U.S. Midwest markets, according to the partners.