EDCCC buys Gurdon property with intent to build rail facility

“Build it and they will come” was the message used to sway officials to buy and develop Clark County’s newest field of dreams.

The purchase of about 61 acres adjacent to an existing rail line near Georgia-Pacific was given the OK by the Economic Development Corp. of Clark County in a special-called meeting Wednesday, Nov. 6, 2024. Talks about spending $360,000 to buy the Weyerhauser-owned land were made public in an August meeting of the 15-member board, which oversees the coffers of the county’s voter-approved 1/2-cent sales tax for economic development.

For years local job officials have endeavored to build a transload facility for job recruitment and expansion. Transloading is the process of uploading products from trucks and onto rail cars, or offloading goods from rail to trucks. The most recent effort, which would have laid tracks in Gum Springs and been funded with matching federal grants, was officially derailed in 2023 as local officials were unable to meet deadlines set by the U.S. Economic Development Administration.

Officials are again eyeing the possibility of erecting a transload facility in a different location. The Gurdon acreage is a young pine plantation, which will likely be cleared to make way for the project should further discussion deem it feasible for Clark County.

“We entered into this [land purchase] agreement with the hope or idea that this could become a transload facility,” said Shelley Short, CEO of the Arkadelphia Regional Economic Development Alliance. “We may end up with a hybrid-type situation where part or the property is dedicated for transload and some is for development purposes.”

Should there be any “snags” in the engineering phase, Short said, the Gurdon acreage would “still be an excellent piece of property to have in our portfolio.”

Arkansas Midland Railroad, which owns the short-line railroad connecting Georgia-Pacific to the UP rail line, said there is “existing interest” from regional manufacturers, but wouldn’t specify who. Representatives did, however, confirm that none those prospective customers ship or store hazardous materials.

The latest projected cost to build the facility itself is in the ballpark of $1 million. It was noted in Wednesday’s meeting that the expenditure would be no issue for the EDCCC, which has $8.7 million in cash assets. The 1/2-cent sales that funds the EDCCC generates an average of about $2 million annually.

A transload facility likely wouldn’t generate much revenue, according to Arkansas Midland Railroad, which manages similar operations in the state — but it would be an asset for business retention and job creation. Its revenue stream would rely on customer base, as well as whether customers would lease annually or by railcar.

In preliminary research, local officials looked to their counterparts in Monticello to better grasp the business model and operation of a transload facility. Transloading will likely be discussed in more depth at future EDCCC meetings, which are open to the public.