Reading Eagle (PA), 08/15/2002
By Tony Lucia
Aug. 15--A brouhaha over rail service to D.A. Yuengling & Son's new brewery
in Port Carbon Borough and East Norwegian Township in Schuylkill County that had
company President Richard L. Yuengling Jr. threatening that Yuengling would
abandon the facility is being resolved, Yuengling said.
The $50 million brewery, which opened in February and employs about 100, can
produce up to 1.2 million barrels of beer a year. But it requires railroad
access for its supplies, and Yuengling said it faces a Sept. 30 deadline from
the Pennsylvania Department of Transportation to resolve the issue.
Yuengling had accused borough officials of holding up approvals for rail access,
but said Monday that apparently one of the firm's contractors was required to
get a borough permit for a railroad crossing on Jackson Street and had neglected
to do so.
"I don't believe the contractor knew he needed a permit to cross that street,"
Yuengling said. "They (the borough) want to know when somebody digs up the
street. They just want to know what's going on."
Yuengling said the new brewery is running at about 50 percent capacity until it
is able to establish the rail connection on the Reading, Blue Mountain and
Northern Railroad line.
Michael G. Sninsky, Port Carbon Borough Council president, said that when the
railroad began staking out its spur line for the plant in June, it appeared that
it deviated from plans that had been approved by the Schuylkill County Rail
Authority.
"We know and recognize how important it is to Yuengling and we don't want to be
doing anything which slows down the project, but we have to look out for the
borough's interest," Sninsky said.
"There have been misunderstandings," he said. "We believe it is close to
resolution. We're sure it can all be resolved quickly. We want it to work out
because it is a local business and we certainly want him to be successful."
John F. Eagan, a representative of borough engineer Alfred Benesch and Co.,
Pottsville, said the property for the crossings had been acquired by the county
rail authority, but the permit had not been obtained.
"I guess it was an oversight and they just have to go get it," Eagan said.
He said he understood most other approvals have been met, including one from the
Pennsylvania Department of Transportation for the crossing at Pottsville Street,
a state route, and approvals from the state Public Utility Commission, which he
said regulates rail crossing locations and types.
Wayne Michel, executive vice president of railroad operations, said the railroad
will redesign a section of track between Fourth and Pottsville streets so there
is sufficient track to switch and store rail cars while unloading is taking
place.
Yuengling also operates its plant on Mahantongo Street in Pottsville --
"America's Oldest Brewery," built in 1831 -- but only on one shift, and has a
third facility in Tampa, Fla.
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(c) 2002, Reading Eagle, Pa. Distributed by Knight Ridder/Tribune Business News.