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Stakeholders prepare for 2020 Illinois River closure

By TIM ALEXANDER

PEORIA, Ill. — Agribusiness representatives, farmers and other key stakeholders gathered August 6 in Peoria to wrap up a series of Illinois Farm Bureau (IFB) meetings on the planned repair and closure of six locks along the Illinois River in 2020 – an effort that will essentially shut down the key trade waterway for most of next summer.

Meeting topics focused on marketing impacts the closures are expected to have on farmers’ bottom lines, along with basis, crop storage, and futures markets. In Peoria, the fourth stop of the series, a representative from the U.S. Army Corps of Engineers Rock Island District provided an overview of planned repairs and a timeline for the closures.

“These locks and dams were built in the 1930s, so they are old and in need of repairs,” said Dennis Shannon, projects manager for the Illinois Waterway System, who came to Peoria to begin planning for the closures in March.

“With the Illinois River open year-round, it is difficult for us or for contractors to get in there and do work without impacts to the farm industry, the navigation industry, or the commodities that go up and down the river.”

In addition, Shannon explained all lock and dam facilities on the Illinois Waterway have a single lock chamber for passing vessels. During the scheduled closing, which is expected to last several months before culminating prior to harvest, no vessels will be able to pass through the affected locks.

An exception to this restriction could occur at the Peoria and LaGrange locks only if water levels to reach such a depth that wickets could be lowered for open-pass; however, he pointed out there is no guarantee river levels will be high while the locks are scheduled to be closed – during the heat of summer.

The Corps’ project manager said not only will six Illinois River locks be closed in 2020, another extended closure is slated for 2023 to perform more maintenance work. The Corps’ ambitious, multi-phase, multiyear river infrastructure repair project will actually begin in 2019, with some preliminary work already underway.

“Out of some 200 total locks on the U.S. Inland Navigation System, the LaGrange (Ill.) lock is probably in about the worst shape of any lock and dam. The Rock Island District received $117 million in funding to begin work on that lock and dam in November of 2018. They are going to be replacing machinery and doing a lot of work down there,” said Shannon.

“The LaGrange rehab project was the key; once we got funding for that, a decision was made to try to get funding to do work at as many locks as possible.”

Preparatory work prior to actual repairs has already begun at Starved Rock and Marseilles, he added. A full closure of those locks is scheduled from Sept. 21-Oct. 5 this year, while contractors perform work. Simultaneously, the Corps will be closing the Lockport lock and dam to repair a miter gate.

Shannon provided attendees with a timeline for the expected 2020 and 2023 closures on the Illinois River. The 2020 closures include:

•LaGrange: Major rehabilitation and lock machinery replacement; full closure scheduled July 1-Sept. 30

•Peoria: Dewatering for maintenance and inspection; full closure expected to start early June for 60-plus days

•Starved Rock: Upper and lower miter gate installation; full closure July 1-Oct. 29

•Marseilles: Upper miter gate installation; full closure July 6-Oct. 4

•Dresden Island and Brandon Road: Upper bulkhead recess installation; partial closure July 6-Sept. 27 and Oct. 11-14, full closure Sept. 27-Oct. 10

The 2023 scheduled closures include Dresden Island and Brandon Road: Upper miter gate installation, full closure July 1-Sept. 30.

Projects and dates listed on this schedule are subject to change due to river levels and project funding.

“Looking ahead to when the river closes, I think that on corn it will have an effect on farmers around here,” said Cole Stock, a grain originator with Western Grain Marketing Group, who spoke to the Peoria farmers following Shannon’s presentation.

“Not a huge effect, but when you think about areas west of here, like Canton, Fairview ... those farmers there can come to us in Adair at our shuttle location, and they can go to the Illinois River and here (in Peoria). Without the Illinois River, that leaves our shuttle and here.

“I don’t see when the river shuts down the Pekin, Peoria ethanol market needing to pay the 15-to-25 over, or whatever it is, for old-crop corn. So the plan there: sell to cash, get it marketed, get it moved at the best price for you that fits your marketing plan,” Stock said.

“Because when the river shuts down, it depends on where the board goes, but when you take out a demand point, more corn is going to try to get shuffled this way or to our grain facility, so have a plan to get it out the door.”

As for soybeans, Stock recommends those who use CHS, ADM, or other buyers on the Illinois River to also “get them out the door before the river shuts down” to avoid having to sell low.

Meanwhile, rail transportation options for Illinois grains and oilseeds appear to remain stable and strong, according to Stock, who advises those marketing their 2020 crops to search carefully for the best prices before the scheduled lock and dam closures.

The Peoria meeting was hosted by Kurt Wagner, IFB assistant director of transportation.

8/16/2019