SOUTH FORK— A final decision has been filed on April 15 in regard to a section of the Denver & Rio Grande rail line spanning 26.5 miles from Monte Vista to South Fork. The federal Surface Transportation Board (STB) has granted the request for Colorado Pacific Rio Grande Railroad LLC. (CXRG) to withdraw the original request for abandonment.

The railroad filed a request for abandonment in the spring of 2025 while working with local organizations including San Luis Valley Great Outdoors (SLVGO) in hopes of turning the line into a hiking trail. Negotiations for the proposed trail were eventually deserted when local property owners began voicing concerns about boarding private property and the effects the trail might have on landowners.

Due to the opposition of the local landowners, CXRG changed directions and requested to withdraw the request for abandonment, siting the reason was to re-evaluate the line’s value and future use. During this process, a third party, Hayduk International, attempted to block the withdrawal and submitted what is termed an Offer of Financial Assistance (OFA) which would have forced the purchase of the line to ensure continued service.

The final decision filed by the STB states, “The Board grants Colorado Pacific Rio Grande Railroad LLC’s request to withdraw a verified notice of exemption to abandon a rail line in Colorado and resolves the remaining outstanding requests for relief.”

It continued to state, “In this proceeding, Colorado Pacific Rio Grande Railroad LLC (CXRG) filed a verified notice of exemption to abandon a segment of rail line in Colorado. Before the exemption became effective, a potential offeror filed a notice of intent to file an Offer of Financial Assistance (OFA) to purchase the line and was presumed preliminarily financially responsible. CXRG now seeks to withdraw its verified notice, and the Board has received a number of filings, including a motion for sanctions and an allegation of forgery. For the reasons discussed below, the Board will grant CXRG’s request to withdraw and will resolve the remaining outstanding requests for relief.”

The final decision was delayed by the STB due to the extended government shutdown and several side disputes that the STB had to resolve including Right to Withdraw violations, Sanctions and Confidentiality and forgery allegations filed by both Hayduk Internation and a concerned citizen group.

The final decision from STB ensures that the line will not be abandoned or sold at this time and Hayduk International’s OFA is no longer valid. This decision also maintained the historical connectivity of the rail. The STB will continue investigations into the forgery allegations through a separate inquiry as they move forward.