East Texas attraction may be forced to close down because of fun - KLTV.com - Tyler, Longview, Jacksonville |ETX News

TX State Railroad to remain open through end of 2012


UPDATE: The Texas State Railroad says they will continue operating through the rest of the 2012 season.


PALESTINE, TX (KLTV) - A long time attraction may be closing due to funding issues.

Palestine City Manager Michel Orht says American Heritage railways receives most of their money during the polar express attraction, but getting money to operate the rest of the year is becoming a challenge. So much so, that Orht says they've asked both the city of Palestine and Rusk for help.  


"American Heritage has been operating Texas state railroad for a while now they thought they were going to be profitable and it looks like they'll almost to the point of profitability but the issue is cash flow" says Orht.

"They're asking for both the City of Palestine and the City of Rusk to take over maintenance of the two parks, they've asked for us to forgive their loan that both of the cities gave, they've also requested that we consider funding some of their marketing efforts and provide them if operating cash through the polar express," Orht says.

Orht says American Heritage railways is asking for a little over $350,000 from both cities to help make ends meet and help the company break even for the year.

Orht also added, "American Heritage has indicated to us that if we are not able to come up with the funding they will unfortunately have to layoff their employees and shut down operations fairly quickly."

As of now the Texas State Railroad employs about 40 people at both the Palestine and Rusk locations.

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