The trustee for the Canadian Pacific Railway Corp.'s acquisition of the Dakota, Minnesota and Eastern Railroad says DM&E President and CEO Kevin Schieffer has left the company to pursue other opportunities.
Trustee Richard Hamlin says Schieffer's departure is effective immediately.
Officials say Ed Terbell, the chief operating officer, and Kurt Feaster, the chief financial officer, will manage the day-to-day operations while the Sioux Falls-based DM&E remains in trust.
On Sept. 30, the Canadian Pacific received U.S. Surface Transportation Board approval to acquire control of the DM&E and its subsidiaries. Hamlin says the Canadian Pacific expects to assume control of the DM&E Oct. 30.
When the STB approval was announced, a Canadian Pacific spokesman the company had not yet decided if it will continue with the DM&E's plans to build new track into Wyoming coal fields and ship coal east across South Dakota and southern Minnesota.
Civic leaders in Rochester, Minn., have long expressed safety concerns about the coal train project. The DM&E track runs through the city.
Dennis Hanson, president of the Rochester City Council, said CP's purchase of DM&E affords the opportunity for a fresh start on discussing safety issues.
"I think when Mr. Schieffer was on board, there was a lot like oil and water trying to mix and it just didn't work," Hanson said in an interview. "I think hopefully with this new ownership that we can start fresh and both meet at the table and discuss things in a civil manner and hopefully get some great things accomplished."
Chris Gade, a spokesman for Mayo Clinic in Rochester, echoed the safety concerns.
"From our perspective as Mayo Clinic regardless of who has the responsibility for leadership of the organization, we really feel the highest priority has to be placed on safety, safety for patients, the staff and the community of Rochester," Gade said.
"We look forward to, as we've said, the opportunity to work with a new set of leadership for the organization. We feel it's appropriate that they're transitioning to new leadership."
Hanson said CP representatives are expected to visit Rochester and other communities on the line.
"We're just waiting for that to happen and sit down and have some face-to-face negotiations," he said.
"I think right now everything is on the table. Safety is our No. 1 issue. Those are things we'll express to whoever comes to the table and see if we can get off to a little better start than we did last time with Mr. Schieffer."
Schieffer could not be reached for comment.
