Green Mountain Railroad

The Green Mountain Railroad (GMRC) was established in 1964 by railroad preservationist and businessman F. Nelson Blount, founder of Steamtown, U.S.A., then located in North Walpole, New Hampshire. Seeking to preserve rail service over portions of the former Rutland Railroad network, Blount persuaded the State of Vermont to acquire approximately 52 miles (84 km) of railroad between Bellows Falls and Rutland, which GMRC would operate under lease.^[4]

That same year, incorporation papers were filed for the Steamtown Foundation for the Preservation of Steam and Railroad Americana, a nonprofit organization created to preserve Blount's collection of historic railroad equipment. The foundation's initial objective was to acquire the collection at North Walpole and relocate it to former Rutland Railroad property in Bellows Falls.^[5]

In 1966, GMRC obtained trackage rights over the Boston & Maine Railroad (B&M) between Bellows Falls, Vermont, and North Walpole, New Hampshire. The arrangement provided access to locomotive servicing and storage facilities that had previously been unavailable to the railroad. Blount was killed on August 31, 1967, when his private aircraft struck a tree while attempting an emergency landing near Marlborough, New Hampshire.^[6] At the time of his death, he owned 746 of the railroad's 750 outstanding shares.

GMRC ownership was reorganized after Blount's death. In 1968, 49 percent of the company's stock was sold to private investors, while the remaining shares were retained by railroad president Robert Adams, who led the company from 1968 until 1978.^[2]

Relations between GMRC and Steamtown became increasingly contentious during the 1970s. Although both organizations depended upon the state-owned railroad between Bellows Falls and Chester, disputes arose over maintenance responsibilities and operating control.^[3] The conflict continued until Steamtown relocated its collection to Scranton, Pennsylvania, in 1983. Shortly thereafter, GMRC began operating its own excursion trains over portions of the route using diesel locomotives.

Throughout the 1980s, GMRC relied heavily on local freight traffic and struggled to maintain consistent profitability. Although the railroad served as a bridge route connecting the Delaware & Hudson Railway (D&H) at Rutland with B&M at North Walpole, interchange traffic remained limited. Annual traffic levels generally remained below 2,000 carloads. The 1986 labor dispute on D&H further reduced overhead traffic and negatively affected the railroad's revenues.

During the early 1990s, increased shipments of commodities such as limestone and fly ash offset declines in traditional traffic, including talc. Freight volumes subsequently expanded, reaching more than 4,000 carloads annually by the middle of the decade and later exceeding 5,000 carloads per year.^[2]

The creation of the New England Central Railroad in 1995 improved GMRC's access to markets south of Vermont and provided more competitive interchange opportunities than had existed under the former Central Vermont Railway. In 1997, GMRC was acquired by the Vermont Railway, becoming part of the developing Vermont Rail System. The acquisition formed a key component of a regional railroad network that eventually expanded to include rail operations in Vermont, New Hampshire, and New York.^[2]