Luzerne County Council Vetoes Rail Line Sale to R.J. Corman

The Luzerne County Council unanimously vetoed a decision by the Redevelopment Authority of Luzerne County to sell the county rail line to R.J. Corman Railroad Group for $8.2 million. Although the redevelopment authority owns the property, the council holds veto power under a litigation settlement agreement involving $3.28 million owed to the county.

During the Tuesday meeting, the council heard significant public support for a competing $10 million proposal from Reading Blue Mountain and Northern Railroad. That package includes $7 million in cash, $3 million in track services, and plans for tourism-focused passenger excursions connecting Wilkes-Barre to Pittston and Jim Thorpe. Scott Lindeman, chairman of the Redevelopment Authority Board, had previously defended the R.J. Corman selection as the highest up-front cash offer.

Because the Redevelopment Authority maintains ownership, the council cannot directly award the sale to the competing bidder. The authority may vote to select another buyer before an October 9 deadline, subject to council approval. If no sale closes by that date, the redevelopment authority and affiliated Rail Corp. must voluntarily return possession of the rail property to Luzerne County.