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Kokomo Grain, U S Rail Corp. (USR) and Norfolk Southern Railway are partnering on a $5.5 million project that calls for restoring a 12-mile NS line between Kokomo and Tiptona, Ind., that's been inactive since 1997.

To reopen by early 2014, the line will sport new rail and ties, and rehabilitated grade crossings.

"Kokomo and central Indiana companies will benefit from this world-class transportation system," said Kokomo Mayor Greg Goodnight in a prepared statement. "As an economic development tool, access to a rail system is again becoming more important to agricultural, construction and manufacturing industries."

For Kokomo Grain, the reopened rail line will reduce transportation costs and provide quicker and more efficient access to southern grain markets, company officials said.

"This project is a great example of public/private coordination of efforts to attract investments to our community," said Kokomo Grain President and Chief Executive Officer Scot Ortman.

USR operates a Kokomo Division short line that interchanges with NS in Marion and Clymers, Ind., as well as with the Toledo, Peoria & Western Railway in Logansport, Ind., and Central Railroad of Indianapolis in Kokomo. USR also operates two short lines in Ohio and provides rail logistics, translating, private industrial rail-car switching, track maintenance, and car repair and storage services.

Meanwhile, CMC Industries Inc. has launched the development of the 1,500-acre Gulf Inland Logistics Park northeast of Houston. To be located less than 25 miles from the Port of Houston, the industrial and logistics park will be served by BNSF Railway Co. and Union Pacific Railroad, with local switching services provided by CMC Railroad.

The existing rail infrastructure can accommodate more than 6,000 rail cars each day, CMC officials said in a prepared statement. Construction of the park's next project phase — which is slated to begin this month — will provide necessary turnouts, switches and track to efficiently rail-serve manufacturing and transload facilities, they said.