City of El Paso and Union Pacific engage in war of words

The city of El Paso and the Union Pacific Railroad are having a war of words.

El Paso city Rep. Cortney Niland charged today that the Union Pacific Railroad is trying to bully the city.

She made the accusation after the Railroad claimed, in a recent article in the El Paso Times, it has not had any discussions with the city on the sale of a rail yard for a potential arena site.

Niland said the city has recorded calls and emails proving the city did reach out to Union Pacific.

This is an issue because some people are not happy with the city’s choice to put the new arena in the Union Plaza neighborhood.

Many are asking why the city didn’t choose the rail yard location just behind City Hall.

City officials said they did not choose the rail yard site for the new downtown arena for a number of reasons.

One of their concerns was that the Railroad allegedly wanted the city to close some 30 railroad crossings as part of the deal.

City officials said that would have led to street closures and traffic problems. None of the city representatives wanted to see that happen in their districts.

Rep. Claudia Ordaz said that option is off the table.

“But when we talk about these closures, this would impact far, far more residents in El Paso,” she said.

City Attorney Sylvia Firth said choosing the rail yard site would have led to two city buildings having to be demolished, an environmental assessment of the property and a possible contamination cleanup.

Niland lashed out at the Railroad during the City Council meeting.

“But you ask yourself why in the world would they be telling the media not the truth? I can’t imagine. Is it because they want to force us back over here to have a conversation with them? So we will be forced to negotiate with them and shut down closures in our own districts that we all know none of our neighborhoods wants to happen? Did that maybe dawn on anyone? Because that it what’s happening,” Niland said.

ABC7 reached out to Union Pacific for reaction.

Spokesman Jeff Degraff said the Railroad has had no informal or formal discussions with the city concerning the arena. He said he doesn’t know why the city is insisting those conversations took place.

Niland is standing by her claim.

“We negotiated in good faith with all of those involved. And now people are trying to use us to bully us back to doing what is not right for our constituents. And that, to me, is highly offensive. And I hope, henceforth, will cease,” Niland said.

Rep. Niland also said legislation passed in Austin now allows the city of El Paso to recoup state sales tax.
That means the city will be able to subsidize the arena project by $25 million. An arena capacity of up to 15,000 may now be considered.