SCDA Approves Lease for Possible Rail Spur

The Stephens County Development Authority is continuing to work to try to help a local business get off the ground.

At its monthly meeting, the Development Authority board voted unanimously to approve a lease agreement with Southeast Metals and Recycling regarding a proposed rail spur.

Southeast Metals and Recycling is looking to locate and open in the old WABCO building on U.S. Highway 123 and get into the business of recycling and disposing of large metals.

To open up, the business needs a rail spur.

It is seeking a grant, with the support of Stephens County, to cover $340,000 of the cost of the rail spur.

Stephens County Development Authority Executive Director Tim Martin said that if the grant is approved and the rail spur is installed, the county will own it but lease it to Southeast Metals and Recycling for operation.

“That railroad spur will have to be owned by a public entity,” said Martin. “That is what Development Authorities do. That is what the Stephens County Development Authority does. We will be acting in that capacity. Should the state fund this resource, it will be owned by Stephens County and operated by Southeast Metals and Recycling.”

The lease agreement between the Development Authority and Southeast Metals and Recycling would be for 20 years.

Under it, Southeast Metals and Recycling would have exclusive rights to the rail spur and also be obligated to handle all of the maintenance of the rail spur.

If everything moves forward, Southeast Metals and Recycling could create more than 30 new jobs.