Reading & Northern questions Pennsylvania rail authority's no-bid contract

Reading, Blue Mountain & Northern Railroad Co. (RBMN) officials announced yesterday they will continue to try to pressure the Pennsylvania Northeast Regional Railroad Authority (PNRRA) to put its rail operations up for bid.

The announcement follows PNRRA's recent renewal of its contract with Delaware Lackawanna Railroad, the authority's current operator.

Originally set to expire in late August, the authority's contract with Delaware Lackawanna was renewed without offering any party an opportunity to bid, RBMN officials said in a press release.

PNRRA rejected RBMN's request to bid 18 months ago, RBMN officials said. The railroad then filed a lawsuit against PNRRA asserting violations of state law.

RBMN earlier this week notified the PNRRA of its intent to continue to challenge these decisions, RBMN officials said.