Mississippi Governor Phil Bryant has signed a $30 million bond bill that will aid the North Central Mississippi Regional Rail Authority (NCMRRA) in purchasing 187 miles of railroad.
“We are thrilled that our legislative delegation and the entire legislature has approved this much-needed, vital expenditure,” Rail Authority Secretary and Tate County representative Tim Climer said. “We look forward to the hard work that will take place, in order to finalize this deal with the new owners.”
The future of the rail line, which runs from Southaven to Canton, has been up in the air since its acquisition by Grenada Railway (GRYR), an affiliate of V&S Railway and railroad salvage company A&K Railroad Materials.
The company has twice attempted to abandon the 86-mile stretch of railroad from Grenada to Canton, which would have ultimately affected the entire line.
As a solution, the Rail Authority sought state aid to purchase the line, in order to then sell it to a different railroad company.
Climer declined to name the new buyer, as the deal has not been finalized.
The Mississippi Senate unanimously voted to pass the bill earlier this week.