It is designed to provide facts about the project rather than promotional information by project proponents.
The Pacific Coast Intermodal Project is shaping up to be an extremely costly gamble, with estimates soaring as high as $4.36 billion — far beyond initial figures. Despite receiving more than $100 million in public planning funds and new state bonding, supporters press ahead, calling Coos Bay “the Appalachia of Oregon” in a bid to justify the investment. Critics see it as an expensive bet with uncertain returns for a struggling community.
So far, taxpayers are footing most of it — with over $160 million in state funds and $54 million in federal grants committed — while NorthPoint has pledged to contribute but won’t disclose how much. The Port has failed to secure full federal funding in recent years after being rated as lacking the capacity to carry out the project cost-effectively.
| Item | Cost |
|---|---|
| Design & Permitting Year-1 | $70,722,000 |
| Design & Permitting Year-2 | $30,000,000 |
| Rail Segment 1 | $274,796,000 |
| Rail Segment 2 | $1,019,922,000 |
| Container Terminal | $1,254,025,000 |
| Eugene Railyard | $104,489,000 |
| Navigation Channel | $551,368,000 |
| Sub-Total | $3,305,322,000 |
| Interest During Construction | $182,731,000 |
| Sub-Total | $3,488,053,000 |
| Contingency (25%) | $872,013,000 |
| Total Costs | $4,360,066,000 |
Note: IDC calculated at the FY24 federal discount rate of 2.75%
Coos Bay Section 204(f)/408 Report to the US Army Corps of Engineers. Economics Appendix – May 2024
The proposal would deepen Coos Bay’s Federal Navigation Channel by 6 feet, widen it by 150 feet, and create two turning basins—one stretching nearly bank-to-bank between the North Spit and Empire, near historic Coos Indian village sites. This three-year project would remove over 20 million cubic yards of sand and rock, enough to fill Autzen Stadium seven times. In many areas, soft sediment that supports crabs and clams would be replaced with bare rock. Within seven years, another 12 million cubic yards of sand is expected to slump into the channel, destroying shallow eelgrass habitat.
The U.S. Army Corps of Engineers (USACE) must decide if this expansion is economically justified and environmentally acceptable before granting a permit. Approval would mean the federal government takes on the ongoing maintenance of a project with major, long-term environmental consequences. The Port of Coos Bay’s 2024 permit request and studies are available for public review on the port’s website.
Most of the material would be dumped in the ocean, since historic bay disposal sites are no longer used. Two new sites are proposed: a 2.3-square-mile offshore site near Sunset Beach for rock and sand, and a 1,000-acre nearshore site north of the jetty for sand only. The nearshore site could be used only in calm weather, as it’s too close to shore for safe access during rough conditions.
Empire residents are concerned that the proposed terminal may cause pollution, harm wildlife, strain infrastructure, lower property values, and disrupt neighborhood character.
The proposed PCIP terminal would generate continuous noise, diesel pollution, and disruptive lighting from around-the-clock ship and train operations, posing health and environmental risks to workers and nearby residents.
The Confederated Tribes of the Coos, Lower Umpqua, and Siuslaw Indians have long lived along Coos Bay, where the Hollering Place served as a vital historic travel and crossing site near the proposed terminal.
Dredging for the terminal would destroy vital estuarine habitats, alter salinity and water flow, harm fisheries and shellfish production, and disrupt recreational use of Coos Bay.
The Port of Coos Bay plans to spend $1.4 billion upgrading its 130-mile rail line to move 2 million containers annually between Coos Bay and Eugene, requiring twelve 1.7-mile-long trains per workday. Public costs have already exceeded $100 million, with more federal grants awarded despite limited public information on the project.
The route crosses mountains, lakes, 121 bridges, and nine tunnels, all of which would need costly upgrades for double-stacked containers and increased train traffic. Communities like Reedsport face significant impacts, with up to twelve 1.7+ mile trains passing daily.
Most freight is expected to travel north to Portland before heading east, avoiding the longer southern route over Donner Pass. This routing still funnels additional heavy rail traffic through Oregon’s busiest rail corridors.
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