Cincinnati Southern Railway's board of trustees is searching for an investment consultant for a potential $1.6 billion CSR Trust.
The board issued an RFP for a firm or individual who can advise it regarding the investment management of a trust created from the proceeds of the potential sale of the railway to Norfolk Southern Railway, said Paul V. Muething, president of the board.
The city of Cincinnati currently owns the segment of railway from Cincinnati to Chattanooga, Tenn., which Norfolk Southern leases, Mr. Muething said. The sale (and the hiring of an investment consultant) is contingent upon the approval of voters in a November referendum, and the board issued the RFP so a consultant can be in place when the sale is scheduled to close in March 2024.
Mr. Muething said that Ohio state statute allows for city ownership of the railway and that any proceeds from any sale of the railway should be "put into a trust to be held by the board and used for the improvement of city infrastructure as the trust generates investment income."
The RFP is available on the city's procurement website. Proposals are due at noon EDT on Sept. 29. A selection is planned for later in November provided the voters approve the sale, Mr. Muething said.