V & T commission sizing up Grays’ property, wants to terminate agreement | NevadaAppeal.com

V & T commission sizing up Grays’ property, wants to terminate agreement

The Nevada Commission for the Reconstruction of the V & T Railway wants to officially end an operating agreement with the owners of a section of the historic railroad, a section the commission has wanted for years.

The commission will also discuss appraising the section of railroad run by a private business at its meeting 3 p.m. today in the Sierra Room of the Carson City Community Center.

The Virginia and Truckee Railroad Co., owned by the Gray family, has operated its section of rail running from Virginia City to Gold Hill for more than 30 years. It was awarded a contract in 1996 to operate the entire rail, from Virginia City to Carson City, for at least two years.

Last year, however, the commission picked Oakdale, Calif.-based Sierra Railroad Co. as operators. Commissioners have said the project had gotten too big for the company.

The reconstruction of the 18-mile historic railway is run by a nine-person state commission and is funded by state grants, private donations and revenue from room and sales taxes in Carson City and Storey County.

It is expected to cost $54 million and be finished by 2011. About $40 million has been raised so far, including $21 million from Carson City.

Since work started in 2004, the completion date has been pushed back at least two years and estimated costs have risen by millions of dollars.