By Scott Lindsey

The Board of Trustees of the Cincinnati Southern Railway (CS) has recommended that the proposed sale of the railroad be placed before the voters of the City of Cincinnati in the November 7, 2023, general election. The City of Cincinnati has owned the CS for over 150 years and leases its use to the Cincinnati, New Orleans & Texas Pacific Railway (CNO&TP), an operating subsidiary of Norfolk Southern. Its 337-mile main line between Cincinnati and Chattanooga, Tenn., is one of NS’ busiest routes, linking the Midwest with the Southeast. 

Following the July 13, 2023, meeting and vote, board president Paul Muething stated that “We have also concluded that the sooner the voters of Cincinnati consider the sale of CSR, the sooner the sale proceeds can be invested in a trust fund to begin generating earnings to improve existing infrastructure. This November is the first available opportunity for the voters of Cincinnati to vote to sell the railroad.”

In November 2022, the CS’ Board executed a purchase agreement with NS for a lump sum of $1.6 billion plus transaction fees of $24.5 million to be paid at closing. The board in November voted to sell the railroad after determining it was a better deal than re-upping the lease when it ends in 2026, but the final decision rests with the voting public. The present lease brings in close to $25 million a year, which the board gives to the city for capital projects. Earlier this year, the proposed sale received the necessary approval of the Ohio state legislature.