Political Entrepreneurship

From the Washington Post:

[Kevin] Schieffer is trying to persuade the Federal Railroad Administration to give him a $2.5 billion loan for the project [to build a 1000-mile rail line from Wyoming to Minnesota], among the largest in history.

If it succeeds, it could be a boon to farmers – and Schieffer.

The project would cut transportation costs for coal, corn and ethanol, and would make Schieffer what Fortune magazine calls “America’s first self-made railroad baron since the days of Teddy Roosevelt.”…

“He’s talking about using eminent domain out here and just wiping out 110 or 120 farms and ranches out here,” [rancher Paul] Jensen said.

Schieffer received help from an old friend, someone he admired as a South Dakota basketball legend years ago: Sen. John Thune (R), who defeated Senate Majority Leader Thomas A. Daschle (D) in 2004.

Despite opposition from the White House, Thune helped persuade Congress last year to increase the amount of the program from $3.5 billion to $35 billion. Thune, who received campaign contributions from Schieffer and who earned $220,000 as DM&E’s chief lobbyist in the 18 months before joining the Senate, is promoting the project to lure jobs. The law would allow Schieffer to put down no collateral and to make no payments for up to six years. [Sen. Mark] Dayton and other critics fear that taxpayers would be on the hook if the project were to fail.

He’s no James J. Hill.