The state of Colorado announced Monday the outlines of a new agreement with Union Pacific that will allow more passenger trains to use the Moffat Tunnel.
“This is a big step forward in making Mountain Rail from Denver to Craig a reality,” Gov. Jared Polis wrote in a statement.
The 6.2-mile-long tunnel was dug nearly 100 years ago to provide rail access through the Continental Divide from Gilpin County to Grand County near Winter Park at an elevation of 9,200 feet. It is owned by the state but was leased to Union Pacific and its predecessors for the last century.
“We need alternatives to I-70 and the high mountain passes, and Moffat Tunnel and Union Pacific’s line provides that whether you’re traveling with kids or freight,” said John Putnam, the governor’s chief negotiator for Moffat Tunnel, in the statement.
The state has big plans for passenger rail service through the tunnel. In November, Polis announced the state would lower ticket prices and boost frequency for the Amtrak-operated Winter Park Express. And the Colorado Department of Transportation is pursuing a new Denver-to-Yampa Valley rail line that would use the tunnel.
Under the old deal, Union Pacific paid the state $12,000 a year for access to the tunnel but was responsible for maintenance costs. The terms of the new agreement were not immediately available Monday, though the state noted it would last 25 years. The parties plan to finalize it on May 1, 2025.
The Colorado Department of Transportation has led negotiations for the state over the last year.
