Bay City Northern (BCN)

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AARR
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Bay City Northern (BCN)

Unread post by AARR »

Bay City Northern (BCN) started service in 2016 on former LSRC/nee D&M lines from Bay City to Gaylord (approx. 120 miles) and Pinconning Jct. to Alpena (approx. 108 miles). After the passing of LSRC owner in 2011 these lines didn't receive the attention needed to sustain and grow traffic and LSRC hadn't established the dynamic Team in place now. I took advantage of the opportunity to acquire the lines while traffic and track conditions were poor.

The original engines at the start up included:
- 1 SD40
- 2 GP40's
- 1 GP40X
Owner: Bay City Northern 6300
Model: EMD SD40 Built As: GTW 5921 (SD40)
Serial Number: 36887 Order No: 7289
Frame Number: 7289-1 Built: 8/1970
Notes: Acquired from LSRC at start up
Other locos with this serial: LSRC 5921(SD40) GTW 5921(SD40)
Image

Owner: Bay City Northern 4300
Model: EMD GP40X Built As: SP 7230 (GP40X)
Serial Number: 766016-3 Order No: 766016
Frame Number: 766016-3 Built: 2/1978
Notes: Acquired from LSRC at start up
Other locos with this serial: LSRC 4300(GP40X) HLCX 4300(GP40X) HATX 4300(GP40X)SP 7230(GP40X)
Image

Owner: Bay City Northern 4301
Model: EMD GP40 Built As: DRGW 3065 (GP40)
Serial Number: 32171 Order No: 7921
Frame Number: 7921-2 Built: 9/1966
Notes: Acquired from LSRC at start-up
Other locos with this serial: LSRC 4301(GP40) HLCX 4301(GP40) DRGW 3065(GP40)
Image

Owner: Bay City Northern 4302
Model: EMD GP40 Built As: NYC 3095 (GP40)
Serial Number: 33506 Order No: 7064
Frame Number: 7064-16 Built: 10/1967
Notes: Acquired from LSRC at start-up
Other locos with this serial: LSRC 4302(GP40) KYLE 3114(GP40) HLCX 4302(GP40) AMTK 653(GP40) CR 3095(GP40) PC 3095(GP40) NYC 3095(GP40)
Image

An engine house and shops are in Bay City. An engine shed and light maintenance is performed in Alpena.

The operations at the start-up included:
• Bay City: The weekday yard job will dog-catch the overnight road job from Alpena at Pinconning Jct. returning to Bay City Yard where it breaks it up and makes up the overnight road train. Twice a week (sometimes three) they run to Pinconning Jct. to meet the Grayling Job where they exchange trains. They interchange cars with HESR and LSRC. They also switch local Bay City customers and several times a week will run to Kawkawlin to switch the stone yard. At the end of their shift, they take the Alpena Job to Pinconning Jct. where the night crew takes over.
• Grayling: A weekday job handles all switching from Grayling to Gaylord. Twice a week (sometimes three) they run to Pinconning Jct. where they will meet the Bay City crew and exchange trains. They handle any switching at Standish enroute.
• Alpena: A weekday crew may have to dog catch the Tawas Road Job and bring it back to Alpena. They switch Alpena customers and build the night road train to Tawas.

Road Train Operations:
• Bay City hosts a weeknight road train to Tawas. The Bay City crew will take it as far as Pinconning Jct. where the night crew takes over, runs to Tawas, switching local customers enroute, swaps trains with the Alpena night train then returns to Pinconning Jct. where the Bay City crew will take it back to Bay City.
• Alpena has a weeknight road train to Tawas. They run to Tawas, switching local customers enroute, exchange trains with the Bay City weeknight crew and return to Alpena.

Customers at the 2016 start-up included:
• Edward C. Levy operates the limestone plant in Alpena and ships around 5,000 cars annually, mostly to Flint and Kawkawlin.
• Lafarge in Alpena receives 900-1,350 carloads a year of fly-ash and ships out 1,600-2,400 cars a year of cement.
• Georgia-Pacific Resin Plant receives 9-12 cars a week of feed stock and ships out 9-12 cars a week of resin and wood glue. In addition, they ship another 3-5 cars a week to other BCN customers like Michigan Panel and Weyerhaeuser.
• Weyerhaeuser in Grayling receives 2-3 cars a week of resin (from G-P next door, about a half mile movement) and ships out 6-10 cars a week of Oriented Strand Board.
• The Anderson’s in Standish ships 430-570 cars a year of grain including 85 & 90 car unit trains.
• LC Redimix in Grayling receives 350-500 cars a year of mostly limestone but other aggregates too. They arrive in up to 20-car blocks when busy and half to a third of that when slower.
• SC Johnson in Bay City receives 4-6 car loads of resin per week.
• A&L in Gaylord ships 2-3 cars a week of metal scrap.
• Michigan Panel Board ships from Team tracks in Alpena 2-3 outbound cars of panel board, receives 1-2 cars of resin, etc. and ships out a car of week of wood ethanol.

Other commodities handled includes fertilizer, lubricants, lumber, military vehicles (including unit trains to Grayling), petroleum products, plastic pellets and windmills.
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AARR
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Re: Bay City Northern (BCN)

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By 2018 the fruits of aggressive marketing and improving service were beginning to pay off. Existing customers were increasing their rail shipments and several new customers were converted from trucks or brand new. Several of these included:
• Port Fisher in Bay City began receiving four-to-five-unit trains of nitrogen solution (for Brinks Farms) per year, asphalt for Bit Mat of MI and petroleum products for various customers.
• Straits Wood Treating has resumed outbound shipments of fencepoles after 10 years.
• American Plastic Toys in Rose City is receiving its plastic pellets from a transload track in Standish.
• Weyerhaeuser in Grayling is increasing outbound rail shipments of its particle board.
• A transload track was built between Horrigan and Grayling for local shippers without direct service to use. Stella-Jones is the first loading untreated railroad ties in high-top gondolas.
• ARAUCO has opened a huge particle board mill on the old Georgia-Pacific property in Gaylord. When it is fully operational it will produce over 600,000 tons per year.
• A&L in Gaylord has doubled its outbound shipments of metal scrap.
• The National Gypsum wallboard plant in National City has resumed outbound shipments after 20 years of using trucks exclusively.
• National Gypsum loads 3-5 20-car blocks per month, during the mining season, in Alabaster, that are shuttled to Lafarge in Alpena.
• Oscoda Plastics resumed rail service after 25 years.
• Michigan Wood Pellets opened a wood pellet plant in the old Wurtsmith AFB. Currently they ship 20-30 cars per week but are forecasting double or triple that in the next few years.
• Michigan Panel Board has resumed rail service using team tracks in Alpena. They ship out 2-3 outbound cars of panel board which is loaded from a sidetrack next to the roundhouse, receives 1-2 cars of resin, etc. and ships out a car of week of wood ethanol.

Several additional engines were acquired to handle the new business. They are:
Owner: Bay City Northern 4200
Model: Rebuilt EMD GP38m Built As: MP 618 (GP35)
Serial Number: 28790 Order No: 7706
Frame Number: 7706-4 Built: 1/1964
Notes: Acquired from LSRC in 2018
Other locos with this serial: LSRC 2052(GP38M) WC 2052(GP35M) WC 4004(GP35M) MP 2608(GP35m)
Image

Owner: Bay City Northern 6200
Model: EMD SD38-2 Built As: CNW 6900 (SD40-2)
Serial Number: 74661-10 Order No: 74661
Frame Number: 74661-10 Built: 1/1975
Notes: Acquired in 2018
Other locos with this serial: GMTX 3307(SD38-2) LTEX 6900(SD40-2) CNW 6900(SD40-2)
Image

There were several operational changes because of the increased business:
• The Bay City weekday Job now breaks up and builds two overnight road trains. The existing train is to Tawas and the new train is to Grayling.
• An overnight weeknight road train was established between Pinconning Jct. and Grayling. It departs Pinconning Jct. and works Standish customers enroute. Sets out and picks up in Grayling Yard, may switch some customers as time permits, and returns to Pinconning Jct.
• The Grayling Job works weekdays servicing customers from Grayling to Gaylord. It no longer runs south to Pinconning Jct.
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AARR
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Re: Bay City Northern (BCN)

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A little information about Michigan Wood Pellets.

Shortly after taking over in 2016, BCN had discussions with AJD (Grayling) about resuming rail service. The last time AJD shipped by rail was around 2005. They shipped wood ties to the treatment plant in Bay City in all-door box cars with the doors removed. It amounted to around 150-200 cars a year. But as the cars wore out it was determined that using trucks for the short haul made more sense than investing in gondolas.

The conversation got sidetracked about other wood products and they mentioned that Canada was converting utility plants to wood pellets for fuel. AJD was brainstorming a way to take advantage of MI's abundant tree industry. So, BCN did some research and found several Canadian cogeneration plants that were designed for wood pellets rather than scrap wood, wood ties, etc. because a higher BTU output was attained using less wood (due to the compressed nature of a wood pellet). However, wood pellets are considered on the lower end of the value scale and not worth transporting long distances. One plant, located on a short line railroad off CN east of Toronto, was looking for a particular type of wood pellet and MI happens to have that type of tree.

BCN approached AJD with this information and further discussions with all three parties (AJD, BCN, Co-generation plant) were productive.

The next challenge was finding a location to build a plant to economically produce wood pellets. Fortunately, the ex-Oscoda AFB was nearby and exactly what was needed. A large area, with tax incentives, away from population with rail access. Although. the rail would have to be upgraded, but it is easier to do that than build a couple miles of brand-new rail.

BCN approached CN with a proposal to deliver 60-80 cars per week to Durand, spread out over four to five days per week. CN could easily add this to existing trains, they like this kind of business, and they presented a good (not low) rate.

The state of MI fully supported the venture as part of its green energy initiative.

By 2018 the plant opened for minimal business starting out shipping 20-30 cars a week. By 2020 they were shipping 40-60 a week. During 2022 they hit their stride and are producing 500,000 tons per year of which 3,100-4,200 are shipped by rail to the Canadian Co-generation plant and the rest trucked to local users. A pool of 200 ex-CN cylindrical covered hoppers are used. A round trip takes about two weeks so each car will generate about 15-20 revenue loads per year.

Currently the road train from Alpena switches MWP daily, M-F. Often, it delays their return to Alpena, so the Alpena weekday crew has to dog-catch them and bring the train back to Alpena before starting their normal jobs. With the addition of Oscoda Plastics (1-2 cars per week) on the industrial lead and National Gypsum wallboard plant in National City (switched by the road job from Bay City - 3-6 cars per week) there is talk about adding a new switching job to Tawas City, but for now BCN will continue doing the work with the road jobs.
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David Collins
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Re: Bay City Northern (BCN)

Unread post by David Collins »

AARR wrote:
Fri May 28, 2021 1:30 pm
...Michigan Wood Pellets operates a plant in the old Oscoda AFB. They ship 60-80 cars a week to an eastern Canadian utility plant. They are switched four to five times per week currently by the road crew out of Alpena.
Just thought I'd bring this up, Oscoda-Wurtsmith is home to a heavy maintenance facility that services Kalitta Air's aircraft (Primarily 737's, 747's, 767's and 777's). Roughly 10-15 aircraft go in/out there weekly so maybe there's a market for Jet Fuel and parts shipped by rail?

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AARR
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Re: Bay City Northern (BCN)

Unread post by AARR »

Thank you for the suggestion, David. I will look into it.

Also, in addition to the MWP plant, an old railroad tie transload for Viking Energy is there averaging 15-30 cars per week. I had the railroad tie customer on my paper railroad before LSRC picked it up and built an unloading track in Greenbush.
David Collins wrote:
Mon May 23, 2022 5:11 pm
AARR wrote:
Fri May 28, 2021 1:30 pm
...Michigan Wood Pellets operates a plant in the old Oscoda AFB. They ship 60-80 cars a week to an eastern Canadian utility plant. They are switched four to five times per week currently by the road crew out of Alpena.
Just thought I'd bring this up, Oscoda-Wurtsmith is home to a heavy maintenance facility that services Kalitta Air's aircraft (Primarily 737's, 747's, 767's and 777's). Roughly 10-15 aircraft go in/out there weekly so maybe there's a market for Jet Fuel and parts shipped by rail?
PatC created a monster, 'cause nobody wants to see Don Simon no more they want AARR I'm chopped liver, well if you want AARR this is what I'll give ya, bad humor mixed with irrelevant info that'll make you roll your eyes quicker than a ~Z~ banhammer...

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AARR
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Re: Bay City Northern (BCN)

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The stone is flowing from Alpena. Every weekday there are 20-35 cars of stone from Specification Stone Products in the consist along with 8-13 cars of cement from Holcim. Typically, Holcim uses 27 cars a week (about four cars a day, seven days per week) of fly ash shipped from a power plant in WI. Filling out their daily consists of a few tank cars and 2-3 box cars per week transloaded for Decorative Panel. This time of year, the typical Alpena train departing south has 30-50 cars of mostly loads.

In Oscoda they will pick up another 15-23 cars from businesses before meeting their northbound counterpart from Bay City.

A pair of new engines have been added to the roster:
Owner: CIT Group/Capital Finance, Inc
Model: EMD SD70M-2 Built As: EMDX GM75 (SD70M-2)
Serial Number: 20036552-2
Order No: 20036552
Frame Number: 20036552-2 Built: 11/2004
Notes: Ex-EMDX
Other locos with this serial: CITX 141(SD70M-2) EMDX 75(SD70M-2)
Image

Owner: CIT Group/Capital Finance, Inc
Model: EMD SD70M-2 Built As: EMDX GM76 (SD70M-2)
Serial Number: 20036552-3
Order No: 20036552
Frame Number: 20036552-3 Built: 11/2004
Notes: Ex-EMDX
Other locos with this serial: CITX 142(SD70M-2) EMDX 76(SD70M-2)
Image

These two new engines will hold down the Bay City to Tawas weeknight road job which can get very heavy with stone, cement and wood pellets.
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AARR
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Re: Bay City Northern (BCN)

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The stone business has slowed down by around half as the cold weather and snow has reduced construction projects around MI. Cement and lumber products have slowed down as well.

In 2020 BCN acquired a group of 30 bulkhead flat cars to service the National Gypsum drywall plant in National City (3-6 cars per week) and Straits Wood Treating plant in Bay City (1-2 cars per week). For National Gypsum, it was their first rail shipment in over 20 years. These cars a 60’ long and are rated at 110 tons. The two industries are expected to ship 30 cars per month combined.

A fleet of 200 60’ Plate C 110-ton box cars are on the roster to service AURACO (23-35 cars per week), Decorative Panel (2-3 cars per week) and Louisiana-Pacific (6-9 cars per week).

With the addition of the two SD70M-2’s, SD40 6300 is determined surplus and Stored Serviceable.
PatC created a monster, 'cause nobody wants to see Don Simon no more they want AARR I'm chopped liver, well if you want AARR this is what I'll give ya, bad humor mixed with irrelevant info that'll make you roll your eyes quicker than a ~Z~ banhammer...

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AARR
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Re: Bay City Northern (BCN)

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SD40 6300 was sold to Saginaw & Michigan Thumb back in December.

Several new customers have been added the last several years including:
• Kiros Energy opened a propane transload at the north end of Bay City Yard. The docks can handle up to 10 cars at a time.
• Green’s Gas in Kawkawlin is receiving propane.
• The Team track near Grayling has added AJD and Hydrolake as shippers
• The old lumber yard north of Gaylord is being used by a local mill to ship 1-2 cars per week of lumber on centerbeam flatcars.
• Lime & Gypsum Products north of Turner has resumed shipping by rail after 25 years.
• A transload track was built in Greenbush for Viking Energy in Lincoln for used-rail ties.
• Great Lakes Tissue in Cheboygan is receiving scrap paper at an old warehouse in Alpena. Those boxcars are then reloaded at the round house with panel board from Alpena Panel for a return trip.

The Mackinaw Sub track has been upgraded to 286k standards and after this summer the Huron Sub will be too.
PatC created a monster, 'cause nobody wants to see Don Simon no more they want AARR I'm chopped liver, well if you want AARR this is what I'll give ya, bad humor mixed with irrelevant info that'll make you roll your eyes quicker than a ~Z~ banhammer...

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AARR
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Re: Bay City Northern (BCN)

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BCN’s fleet of seven (7) engines is just enough to keep fluid during the busiest eight to nine months of the year when aggregate and cement demand is at its peak. If an engine goes down or needs maintenance BCN has had to rent an engine (usually from LSRC). To avoid the rental fee and dependency on another railroad BCN has acquired an eighth engine.
Owner: GATX Rail Locomotive Group
Model: EMD SD38-2 Built As: BN 8130 (SD40-2)
Serial Number: 786256-41
Order No: 786256
Frame Number: 786256-41 Built: 6/1980
Notes: Rebuilt from SD40-2, Nee-BN 8130, Ex-FURX 8130
Other locos with this serial: GMTX 3303(SD38-2) FURX 8130(SD40-2) BN 8130(SD40-2)
Image

SD38-2’s are usually assigned to the Alpena jobs. There was one occasion recently that one of the units was coming out of the Bay City shops and was used on a unusually large 71 car train Pinconning-Grayling Turn. Normally the Pinconning-Grayling Job is between 10-20 cars but this particular train had a 20-car block of stone and over 30 empty box cars destined for Arauco and Weyerhaeuser.
PatC created a monster, 'cause nobody wants to see Don Simon no more they want AARR I'm chopped liver, well if you want AARR this is what I'll give ya, bad humor mixed with irrelevant info that'll make you roll your eyes quicker than a ~Z~ banhammer...

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AARR
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Re: Bay City Northern (BCN)

Unread post by AARR »

BCN has entered into an agreement for LSRC to acquire them. The deal should be finalized with LSRC assuming operations on 11/1/23.

BCN acquired the lines north of Bay City with the track under-maintained and customers deferring to trucks. BCN brought customers back, generated new customers, invested in upgrading the track and promoted a positive image in the communities along the lines.

Despite their strong efforts, BCN does not meet the 100 car per mile per year standard of profitability. They have gotten by with grants, low-interest loans and employees willing to do what it takes.

LSRC, along with their Strategic Investment from Antin Infrastructure Partners, will have the resources to continue the vision started by BCN. Also, by bundling their operations with their lines south of Bay City, will lower costs through economies of scale and eliminating duplicated operations.

LSRC will merge BCN’s locomotive and car fleet into theirs.

The is an emotional discussion at RailroadFan.com with lots of insults and name-calling between railroad employees and non-railroad employees/railfans. ~Z~ has had about enough and may Beavis & Butthead the thread soon. :)
PatC created a monster, 'cause nobody wants to see Don Simon no more they want AARR I'm chopped liver, well if you want AARR this is what I'll give ya, bad humor mixed with irrelevant info that'll make you roll your eyes quicker than a ~Z~ banhammer...

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