Johnson Applauds New SD Wheat Growers Elevator, Highlighting Importance of Federal Railroad Grant
September 26, 2014
U.S. Senator Tim Johnson (D-SD) applauds the South Dakota Wheat Growers' announcement that they will build a new grain elevator and terminal in Kennebec. This new economic investment follows a $12.68 million Transportation Investment Generating Economic Recovery (TIGER) grant awarded by the U.S. Department of Transportation to the South Dakota Department of Transportation earlier this month for railroad improvements.
"The new Wheat Growers grain elevator is a perfect example of the power of federal transportation investment to spur new economic development, especially in rural areas," said Johnson. "As a direct result of the federal rail investment, Lyman County farmers will be able to get their grain to market faster and cheaper. Kennebec wins too with the creation of good new jobs."
The TIGER grant of $12.68 million will be used to rehabilitate the state-owned railroad line from Chamberlain to Presho. Kennebec is located on the portion of the rail line that will be upgraded with the new grant. The project builds on the rail rehabilitation project from Mitchell to Chamberlain that was funded in part by a $16 million TIGER grant in Fiscal Year 2010.
The TIGER grant program was originally created in the 2009 Recovery Act to fund regionally or nationally significant transportation projects on a competitive basis. Congress provided $600 million for the TIGER grant program in Fiscal Year 2014. Applications for the highly competitive Fiscal Year 2014 funding exceeded $9.5 billion. As a member of the Senate Appropriations Committee, Senator Johnson has worked for robust funding for the program.