Union Pacific announced a plan on May 4, 2016 to invest $121.6 million in 2016 to improve its infrastructure in California.
UP says the planned investment covers a range of initiatives: $104 million to maintain railroad track and $17.3 million to maintain bridges in the state. Key projects planned this year include: $5.1 million investment in the rail line between Galt and Stockton to replace 37,277 railroad ties; $5.8 million investment in the rail line in Fresno to replace almost 12 miles of new rail; $5.2 million investment in the rail line between Delano and Bakersfield to replace 38,882 railroad ties.
This year's planned $121.6 million capital expenditure in California is part of an ongoing investment strategy. From 2011 to 2015 Union Pacific invested more than $467 million strengthening its infrastructure in California.
UP plans to spend $3.75 billion across its network this year, following investments totaling approximately $33 billion from 2006-2015. UP says these investments contributed to a 25% decrease in derailments over the past 10 years.
"We constantly evaluate our customers' needs to make targeted investments that enhance our efficiency and deliver the goods American businesses and families use daily," said Wes Lujan, Union Pacific Vice President - Public Affairs, Western Region. "Continuing to aggressively invest in our infrastructure is an important element in Union Pacific's unwavering safety commitment."