SCOTT MOONEYHAM: Do You Hear That Train Coming?

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Raleigh

The magnificent, beneficent North Carolina Railroad isn't going to demand rent from people it says built in its right-of-way corridor.

The railroad -- which once you sort through the various layers, is owned by the people of the state of North Carolina -- had been threatening to require lease payments from about 1,500 businesses and other land owners. It had even signed agreements with some requiring rent payments of up to $1,200 and liability insurance.

Now, though, all seems forgiven. Or at least it appears that way as long as legislators pass a bill that strengthens the hand of the railroad and as long as those 1,500 landowners sign agreements to secure the right of way.

If I were one of those business owners, I wouldn't sign anything without a thorough vetting by a lawyer, an extensive deed and record search, and discussions with a land surveyor.

Here's why:

The North Carolina Railroad began this quest to control a 200-foot ribbon along the course of its 317-mile rail line after 2000. That's when legislators granted it the authority to lease right of way in order to "protect" it. That makes sense, right?

But it's never been really clear that the railroad actually controlled a 200-foot-wide corridor. The railroad is 161 years old. There are conflicting claims for property.

People have been paying property taxes for decades on some of the land.

And let's remember, it's a right of way. The North Carolina Railroad doesn't necessarily own it. According to a 1995 Securities and Exchange Commission filing, the railroad's then-president, John McNair III, wrote that the railroad controlled as much as 80 percent of its right of way by easement. He claimed in that same filing that the right of way varied between 50 and 200 feet.

Now, though, this entity called the North Carolina Railroad -- which operates like a private firm, leases track to Norfolk Southern, and is controlled by a 13-member board appointed by the governor and legislative leaders -- wants legislators to give it even more power.

The bill in question, now being debated in the North Carolina General Assembly, is an exercise in talking out of both sides of your mouth.

It allows railroads to draw their own corridor maps, without any legal determination of whether they're correct. Those maps can't be used to authenticate ownership, but any person, business or municipality that wants to do anything on that property -- unless they want a court battle -- will need the railroad's permission.

The bill also would allow railroads to hold easements perpetually, even if they've stopped using them.

Perhaps some legislator will actually read this bill and decide that it stinks.

If so, here's a suggestion: Make an amendment to sell the doleful railroad, get state government out of a business it has no business being in, and allow private entities to sort out these issues without government protection and favoritism.

Scott Mooneyham writes for Capitol Press Association. Contact him at smooneyh@ ncinsider.com

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