The Colorado Department of Transportation (CDOT) and the V & S Railway, Inc. signed an agreement regarding the sale of the NA Towner Railroad Line.

The contract provides for the long-term operation of the railroad line by V&S Railway. In addition, the agreement provides CDOT the first right to repurchase the Line should V & S Railway seek to abandon the railroad in the future. The Line is being sold for $10.35 million dollars.

"The signing of this agreement will allow for V & S to fulfill the needs of the communities along the Towner Line by providing continuous and efficient service for years to come," said CDOT Executive Director Tom Norton.

The 122-mile NA Towner Railroad Line was purchased by the State of Colorado in 1998. From 1999 to 2005, the Colorado Kansas and Pacific Railroad (CKP), through a lease-purchase agreement with CDOT, operated the Line. At the end of the lease period, CDOT sought to secure a new operator through the sale process. V& S Railway, Inc. of Salt Lake City, UT was chosen through a competitive and open formal request for proposals process.

V&S Railway has been successfully operating a railroad in the State of Kansas for more than five years. V&S affiliated railroads have been operating for more than 15 years. These railroads are located in the State of California and the Canadian Province of Manitoba.

Norton added, "We are confident that V & S will be a viable business and member of the southeast Colorado community. They have provided CDOT with financial and operating assurances of their commitment to work with local communities to ensure the Line's viability. This agreement is a win-win opportunity for all involved."