Hagerstown Considers Revised Donation Agreement for Historic Locomotive to Scenic Railroad

At the upcoming Mayor and Council Meeting on August 19, 2025, the City of Hagerstown Public Works Department will present a revised agreement with the Western Maryland Scenic Railroad (WMSR) for the donation of Locomotive 202. This initiative aims to transfer ownership of the locomotive to WMSR for refurbishment. The proposed agreement includes provisions to address concerns raised by the Council regarding potential future costs associated with the locomotive’s return to Hagerstown.

City staff are seeking approval from the Mayor and Council for a donation agreement with WMSR concerning Locomotive 202. The Council had previously reviewed a draft of this agreement on July 8, 2025. Key points of discussion included the financial responsibility for potentially returning the locomotive to Hagerstown if the restoration project does not reach completion within a 10-year timeframe stipulated in the agreement. The cost to move the locomotive from Hagerstown to Cumberland is estimated to exceed $100,000.

To mitigate this potential future expense, the agreement now includes a clause requiring WMSR to establish a separate holding account. This account will be funded with annual deposits of $10,000 over a 10-year period, accumulating a total of $100,000. This fund is intended to cover the costs of returning the locomotive to Hagerstown should the restoration not be completed as planned. WMSR has agreed to this contractual condition. The agreement specifies that WMSR will provide annual statements for this holding account to the City until the restoration is finalized. Withdrawals from the account will require explicit written permission from the City, unless WMSR receives official operating certification from the Federal Railroad Administration, at which point they may liquidate the account and will promptly notify the City. If the locomotive is successfully refurbished within the 10-year period, the accumulated funds will then belong to WMSR for their discretion.

Another point of consideration for the Council was the provision of a more detailed timeline for the locomotive’s restoration. However, WMSR has indicated that providing a precise timeline is challenging at this stage. This is due to the fact that WMSR does not yet possess Locomotive 202 and has not conducted a comprehensive evaluation of its current condition. Until a thorough inspection of the engine can be completed and a clearer understanding of its state is established, a detailed project schedule cannot be finalized. For instance, the firebox of the locomotive appears to require replacement, a process that could involve either replacement or rebuilding, each with its own timeline. Similar complexities exist with other components, as no spare parts are readily available, meaning any necessary replacements would likely require custom fabrication or rebuilding. The intricate nature and unique requirements of restoring such a historic piece of machinery make definitive timeline forecasting difficult.

WMSR has expressed its intention to maintain open communication and keep the City of Hagerstown informed about the progress of the restoration project. The City staff, Mayor, and Council members are welcome to visit WMSR periodically to observe the progress. It is important to note that this is a donation, and the City will not be involved in overseeing the project in any capacity, including physically or financially. WMSR will assume all risks associated with the restoration effort.

The financial impact on the City of Hagerstown for the relocation of Locomotive 202 is expected to be near zero dollars. There may be minor incidental costs associated with the removal of the locomotive from City Park. City staff will offer limited assistance to WMSR as needed during this process.

Staff recommends that the City enter into the proposed draft agreement with the Western Maryland Scenic Railroad for the donation of Locomotive 202. Staff members will be available to address any questions the Mayor and Council have regarding the agreement.

The resolution is scheduled to be voted on August 26, 2025.

Article by Ken Buckler, based upon information from the City of Hagerstown Public Works Department.

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