Property dispute disrupts Boardman Steel’s business

The business owner has had his water and sewer service cut off.

STAFF REPORT

BOARDMAN — A complicated property dispute has disrupted the operation of a township business.

The dispute involves a legal fight over easements that run beneath Southern Boulevard and railroad tracks near Boardman Steel, 8397 Southern Boulevard.

At 6:30 a.m. Monday, work crews dug up the access road to Boardman Steel and also cut off the company’s water and sewer service.

By early afternoon, however, the company had used gravel to create another access road to its property near the former Youngstown & Southern railroad tracks.

At issue in the case, filed in Mahoning County Common Pleas Court, is who owns the utility easements and any payments that are owed for them. The easements include entry and exit access, and water, sewer and natural gas.

Venture Properties Ltd. and Railroad Ventures Inc., both of Boardman, say they own the easements, and have a court ruling on their side to back up their decision to bring in the equipment to uproot the entryway and cut off the utility service.

David C. Deibel, owner of Boardman Steel, however, called it “legal extortion,” and that Railroad Ventures and Ventures Properties have no right to cut off his water and sewers.

His company is still operating, and Deibel plans to keep operating.

His plant produces steel, some of which is going into the new YMCA in Boardman. The company now has about 35 workers.

Tracy Drake, the chief executive officer Columbiana County Port Authority, said the port authority gave permission to Boardman Steel to create a new gravel entry, near the old entry, over the railroad tracks. The authority, which now owns the railroad tracks, also owns the easement to allow for entry to Boardman Steel.

Railroad Ventures sold the tracks to the authority in 2001.

Atty. Dale Bricker represents Venture Properties and Railroad Ventures. He said though the Rail Ventures sold the rail line to the port authority, the easements along 36 miles of rail line for entry and exit, gas, water and sewer were excluded from the sale. Railroad Ventures later assigned to Venture Properties its interest in the easements.

His lawsuit maintains Boardman Steel has not paid rent for using the easements for a dozen years.

Bricker is seeking $161,238 from Boardman Steel for rental of the property, $50,000 for compensatory damage and punitive damages of $100,000.

Drake said when the port authority purchased the railroad line, it had to be approved by the federal Surface Transportation Board. When the port authority bought the line, Railroad Ventures told the authority that easement rights brought in about $23,000 a year.

Drake believes the federal government has jurisdiction since the dispute involves a railroad.

But Railroad Ventures, Drake said, “is trying to change the rights we [the port authority] own.”

Lawyers for Deibel have said they were not sure what they will do.

In the meantime, the company workers will be using portable toilets since the sewers have been cut.

If other utilities are affected, Deibel said he would have to re- evaluate the company’s position.