The history of the Hocking Valley, as with other railroads, is one of boom times and depression. The Hocking Valley Railway Company is the largest, independent railroad in Ohio, extending from the Lake Erie port of Toledo through Columbus, and on to the Ohio River port of Pomeroy. Coal was the main business, yet it kept the finest passenger service in the State of Ohio. A connection to Chicago was available via the Erie Railroad at Marion. Since the days when the agreement for a through passenger train to Chicago was signed, the Erie System has become an integral part of today’s Hocking Valley rail system.

     The Hocking coal fields were among the earliest exploited. As early as 1825, Hocking coal was used for blacksmithing work in Nelsonville and the surrounding area. The export of coal from the area started when James Knight took a six-horse team load of fifty-eight bushels to Columbus from Nelsonville (62 miles). Keep in mind that this was when roads were dirt, poorly maintained, and wandered all throughout the hills. The amount in return for the delivery by Mr. Knight - four cents per bushel.

     The quickest way to deliver coal at the time was by canal. Ohio was a large supporter of canal construction and built a vast network all across the state. The Ohio Canal, running from Cleveland to Portsmouth, was the main canal Ohio built, with several "tributaries" extending from it. One of the tributaries built was the Hocking Canal, connecting Athens with the Ohio Canal at Carroll, just north of Lancaster. In 1841, the Hocking Canal was officially opened. When the ground-breaking of the new canal was being celebrated in September 1831, a prominent citizen of Columbus, who was a spectator but not a participant, is said to have remarked, "Make as much ado as you like over your muddy ditch, but before twenty years pass most of its traffic will be carried on wheels." The prediction came true in less than forty years.

     Although the canal was much quicker than taking the "highway" to Columbus, it also had its shortcomings. Seasonal traffic was the main problem with the canal system, as it had to be shut down in the winter. And though there was much celebration with the coming of the canal, the realization began to set in that this new transportation is likewise too slow. After all, there was a speed limit of four miles per hour, and this was imposed to keep the wake created by the barges from eroding the sides of the canal! Rails were desperately needed.

     Recognizing the need for dependable transportation in his district, U.S. Congressman of Ohio John Chaney proposed legislation for the construction of the "Hocking Valley Railroad" from Lancaster to the Ohio River in 1834. This was a full two years before tracks were ever constructed in Ohio! Unfortunately, his proposal was tabled and nothing ever came about. In the 1850s, public meetings for a railroad from the Athens County coalfields to Columbus were stirred up once again. On July 11, 1853, a meeting was held in Lancaster and action taken to incorporate the "Hocking Valley Railroad Company." The stock of the new corporation amounted to $2,000,000. However, these plans were not carried out due to jealousies and dissensions that arose. Surveys were made and stock subscriptions made, but no line was built. Another incident which helped stop construction of the new railroad was legislation passed by the General Assembly of Ohio on April 10, 1856, entitled "An Act to Protect the Investments of Municipal Corporations in the Stock of Railroad Companies." In short, this act stated, "no railroad could be constructed through a county, save by the consent of the legal votes of the county, despite constitutional right of eminent domain." This bill only applied to Athens and Washington Counties. This, naturally, discouraged the promoters of the new railroad, as no outlet to the Ohio River could be had except through Athens County. This act was later repealed, however. It wouldn't be until the latter years of the War Between the States that a railroad would actually be started.

     On April 14, 1864, the Mineral Rail Road Company was incorporated to build a railway from Columbus to Athens, 72 miles, with a capital stock of $1,500,000. Aside from preliminary surveys and securing some right-of-way, nothing was done toward construction. Milbury M. Greene, who operated salt works at Salina (now Beaumont), seven miles north of Athens in the Hocking River Valley, took up the project in 1867 and labored continuously, attempting to gain subscriptions to the capital stock from Southern Ohioans, but with little success. He then went north to Columbus and presented the railroad there, though with cool reception and much discouragement. Greene was finally able to interest some of the wealthier citizens, including Peter Hayden, Benjamin Smith, William Dennison, George M. Parson, William G. Deshler, W. B. Brooks, and several others. On June 26, 1867, the Franklin County Court decreed that the name be changed to the Columbus & Hocking Valley Railroad Company. Peter Hayden was elected president and Greene vice president and Chief Engineer. Some investigation was made as to the amount of coal, iron, and salt to be shipped annually from the region. Although no geological report was in existence at the time, it was known that a very rich vein of coal averaging six feet in thickness existed on either side of the line. The deposits of coal were considered almost inexhaustible and the quality of the coal was decided as good. Subsequent investigations revealed that the major amount of coal tapped by the original lines of the Columbus & Hocking Valley Railroad was the Middle Kittanning or No. 6 coal. This coal predominates in Athens, Perry and Hocking Counties. The transport of coal was the greatest business on the C&HV and successors Columbus, Hocking Valley & Toledo Railroad and Hocking Valley Railway.

     The preliminary survey was conducted by W. W. Graves and was completed in May 1867. At this time, the name of the road was changed to the Columbus & Hocking Valley Railroad Company. By this time sufficient stock was subscribed to start construction. On May 22, 1867, a contract was made with the Dodge, Case & Co. to construct the road complete and ready for rolling stock in eighteen months, at a cost of $865,000. Construction under this contract had proceeded to such an extent that on July 16, 1868, an engine and car were run over the track from Columbus to Canal Winchester, a distance of fourteen miles. On January 13, 1869, the members of the General Assembly, State officers, and citizens journeyed over the road from Columbus to Lancaster at the invitation of the President and Board of Directors. The train consisted of an engine and twelve coaches, carrying a total of 720 passengers.

      On January 20, 1869, regular passenger and freight trains were instituted between Columbus and Lancaster. The first freight train from Nelsonville arrived at Columbus, August 17th of the same year. This train, filled with coal, came from the mines of Brooks and Houston and consisted of twenty-two cars of twelve tons each. It had a small cannon aboard, the discharge of which gave notice of the approach of the train at various points along the line. The first passenger train was operated between Columbus and Athens on July 25, 1870. The Straitsville Branch was opened for traffic on January 2, 1871. At this time, mines on the line had been opened to the extent that there was a daily production of 250 cars, (twelve tons each) or 3,000 tons of coal. The Columbus & Hocking Valley Railroad Company proved a gold mine from the very beginning not only to the original investors, but for Columbus as well. The property was such a paying investment, that a move was soon started to extend the line to Toledo! Accordingly, the Columbus & Toledo Railway was incorporated in 1872, and was financed largely from local subscriptions along the line. Construction was finished and the road was opened in January 1877.

     The former HV River Division from Oldtown (Logan) to Gallipolis was originally the Gallipolis, McArthur & Columbus Railroad Company. Incorporated March 3, 1870, under that name, it was sold to the Columbus & Gallipolis Railway Company in November 1877. Construction from Logan to Gallipolis was not yet completed when, in August 1878, it was again sold to the Ohio & West Virginia Railway Company. This road was built by capital independent of the Columbus & Hocking Valley Railway Company, and largely adverse to it. The road was completed from Logan to Gallipolis in October 1880, and from Gallipolis to Pomeroy in January 1881.

     For some time prior to 1881, there existed a close operating agreement between the three companies. As the Ohio & West Virginia had no outlet into Columbus except over the rails of the Columbus & Hocking Valley, while the Columbus & Hocking Valley had to use the Columbus & Toledo tracks into Toledo, it was decided therefore, to consolidate the three companies into the Columbus, Hocking Valley & Toledo Railway Company. In this merger, the capital stock of the road, which had been largely Columbus-owned, passed into alien hands. The road had been constructed, almost wholly, by the Columbus capital or by subscriptions along the line. Its offices and shops had always been in Columbus, and so it became known as "Columbus' own road." The railroad became widely known for the kindly relation between employer and employee, and familiarly known as "The Buckeye Route." Columbus always entertained a kindly feeling for the Hocking even after the capital stock passed from local control.

     Under the consolidation of the three roads, which was effected July 1881, the termini Walbridge, a point near Toledo; Pomeroy on the Ohio River; and New Straitsville and Athens in the very heart of the coal region. An agreement was made with the Pennsylvania Railroad in 1876 to use its tracks from Walbridge to the docks on the west side of the Maumee River in Toledo. This agreement automatically terminated when the road came under the control of the Chesapeake & Ohio Railway. This agreement, however, was later extended to June 30, 1914, at which time the Company's new docks in East Toledo were occupied. The road was extended in 1890 from Walbridge to Rockwell, a distance of 1.86 miles, from which point tracks of the Lake Superior & Michigan Southern Railroad (later New York Central) were used into Toledo for passenger and interchange business. Other branches were later added, giving entrance into the cities of Wellston, Jackson, and Murray City. In 1914, at the completion of the company's new docks in East Toledo, the tracks of the Toledo Terminal Railroad from Walbridge to Starr Avenue, a distance of 3½ miles, began to be used for lake coal shipment. A second track was constructed on the "Terminal" for this purpose.

     In 1870, B. E. Smith was elected President, with Peter Hayden resigning. Milbury M. Greene was elected President in 1874 and continued in this capacity under the consolidation until July 1, 1886, and was succeeded by Stevenson Burke. He occupied the presidency for a few months before the next annual meeting, at which time John W. Shaw, having purchased the holdings Mr. Burke, was elected president.

     It is interesting to note that Stevenson Burke, upon leaving the CHV&T, built the Toledo & Ohio Central from Toledo to Gallipolis, and on to Charleston, West Virginia via the Kanawha & Michigan. Two divisions were constructed north of Columbus: the Eastern Division from Bremen to Toledo, via Fostoria; and the Western Division from Columbus to Toledo via Findlay. Both lines paralleled the HV's Toledo Division.

     Mr. Shaw resigned and was succeeded by Christopher C. Waite who served in the capacity of president from 1889 to 1896. Waite came to the CHV&T with extensive railroad experience and immediately set about the work of reducing grades, rebuilding bridges, and introducing heavier equipment on the line. It assumed its position as the principal coal-carrying road in the state.

     In 1895, the Hocking Valley group built the Wellston & Jackson Belt Railway from McArthur Junction, near Dundas, to Jackson - a distance of 17.5 miles - with the CHV&T wholly owning the company. This subsidiary passed through the coalfields of Jackson County and was fully opened in February 1896. The property was quite prosperous, especially under Mr. Waite's direction, until the panic years of 1892 and 1893 when the earnings ran so low that they could not cover the fixed charges. Application for Receivership was filed in February 1897. The appointment was asked in order to conserve the assets of the Company and to prevent dissolution of the property. Nicholas Monsarrat was appointed Receiver on February 25, 1897 and the property was operated under his direction until March 1, 1899. At this time the road was reorganized under M. E. Ingalls and G. H. Gardner, acting as reorganization managers. It then became the Hocking Valley Railway Company.

      In March 1910, the Chesapeake & Ohio Railway acquired the control of the Hocking Valley. N. Monsarrat served as president from time of the reorganization to 1910. On March 22, five members of the board of directors resigned and were replaced with C&O men, among who were Frank Trumbull and George W. Stevens, elected chairman and president respectively.

     The C&O's purpose of acquiring the Hocking Valley was to give it an outlet to the Great Lakes, via Toledo, for westbound coal originating in West Virginia. As the Big Sandy fields in eastern Kentucky were opened in 1904, the coal was delivered to the Norfolk & Western at Kenova. Improving its western connections, the C&O purchased the Chicago, Cincinnati & Louisville in 1910. Coal became important on this line, but the flow to the Great Lakes was denied it. Therefore, the C&O acquired the HV, which also controlled the Toledo & Ohio Central and Kanawha & Michigan (collectively known as the Ohio Central Lines). The K&M was very important in the acquisition, as it was the C&O's connection to the Hocking out of Gauley Bridge, near Charleston, West Virginia. With this connection now under its control, the C&O began shipping coal to Toledo and connections at Columbus and Fostoria. This new arrangement produced satisfactory results, even though coal had to be back-hauled from the Big Sandy and Logan fields to Gauley.

     In 1914, the U.S. District Court ordered the C&O to release its interest in either the Ohio Central Lines or HV under the Sherman Act. With the connection already in place between the C&O and K&M, the Chesapeake decided to divest itself of the Hocking Valley.  Thus the HV was on its own for the first time since the reorganization in 1899.

     The New York Central System did come calling in early 1922, however the HV would not accept any offers.  The NYC viewed the HV as a valuable line with abundant coal resources and would fit in well with their plan for growth.  Trying as hard as they could do obtain the HV, the NYC even went so far as to seek a court order demanding the Hocking surrender all assets to the Central.  The courts denied this request and the NYC finally gave up its efforts in 1933.

     During the control war with the NYC, the HV did much to improve its physical plant and equipment.  New freight locomotives were purchased from ALCO in the form of 2-6-6-2 mallets (thirty in all) and 2-8-2 Mikado’s (forty total).  Additionally, twenty 0-8-0 switchers were purchased new from Lima.  In the used motive power department, the HV purchased ten 2-10-2 Santa Fe-types from the Lehigh Valley.  For passenger trains, fifteen 4-6-2 Pacific-types were purchased from ALCO.  These motive power purchases enabled the Hocking to retire many obsolete locomotives, such as the pre-C&O 4-4-0’s and 2-8-0’s.  The Consolidations of the 1910-1911 period were retained for mine runs and locals, while the new, larger locomotives handled the road freights.  The larger power also allowed the Hocking to expand freight operations and even consolidate certain trains into one.  This improved track usage and capacity, especially on the heavily traveled Toledo Division.

     During the 1940s, the Hocking Valley was kept busy moving troops from Columbus to Toledo and vise-versa.  Passenger trains were also upgraded with newer equipment after World War II, especially the Hocking’s name train, the Buckeye.  Also during this time, coal traffic was beginning to slip.  It was soon realized that something needed to be done if the HV were to survive, as coal was the main commodity transported.  It was the lifeblood of the railroad and that lifeblood was slowly fading as coal supplies were exhausted.

     In 1951, the Hocking Valley purchased a 75 percent stake in the Akron, Canton & Youngstown, though with much protest from smaller lines in the area.  This railroad operated from Delphos, near the Indiana state line, to a point just east of Akron.  With the AC&Y under their control, the HV was able to expand services and traffic seen on the line changed drastically.  Carey was the major interchange point with the Akron and soon a four-way interchange was constructed between the HV and AC&Y.  Also with the AC&Y came something new to HV:  the diesel locomotive.

     The AC&Y had purchased numerous S2 and S4 diesels from ALCO in the mid-40s and a few H16-20’s from Fairbanks-Morse.  The efficiency of the diesel astonished the HV management and in 1953, a study was released detailing the new diesel.  In that same year, the Hocking purchased twenty new GP7’s and fifteen GP9’s from the Electro-Motive Division of General Motors.  These new locomotives were tested in various capacities and found suitable for just about any operation.  The inevitable was fast approaching as the HV began to dieselize its operations.  As the Mike’s and mallets were retired, the diesel stepped in as EMD GP9’s and ALCO RS3’s.  The Pacific’s were replaced with new EMD E8’s.  In respect to passenger trains, the heavyweights of the ‘40s were replaced with new lightweight cars from Pullman-Standard.

     No surprise to many, the HV purchased all stock in the AC&Y and merged the line into the system in 1963.  The old AC&Y became known as the AC&Y Division.  As the AC&Y slowly faded away, the HV came in full force, changing what little wasn’t standard HV practice.  In order to market itself better, the HV developed a new logo.  The logo was an “h” with a merged “v”.

     To increase profits, the Hocking Valley and Erie Lackawanna began a run-through freight between Chicago and Toledo, via the connection at Delphos.  Additionally, the C&O began running trains over the Hocking Division to ease congestion over the former T&OC, which had been merged in 1937.  Soon after, an agreement was signed allowing the C&O to route all southbound empty trains via the Hocking Valley, while all northbound loads operated over C&O rails.  This proved extremely successful to not only the C&O, but also the HV, as traffic was slowing tremendously south of Logan.

     In 1970, the Hocking purchased thirty GP30’s and twenty GP35’s from EMD.  These new units permitted the HV to retire the aging RS3’s.  The old Geeps were relegated to yard and local duties, while the new power took over the road trains.  Additional motive power purchases were made in 1975 in the form of ten SD40’s.  The remaining E8’s not in passenger service were rebuilt for fast freight service.

     When 1971 came, the federal government, to take over the failing passenger train business, had established the National Railroad Passenger Corporation.  The HV was one of many railroads to turn what little passenger traffic remained over to Amtrak.  The trains remaining on the system by then were the Buckeye and the Akron Limited.  With the great burden lifted, the HV could now focus on how to improve freight operations.

      In 1972, the Hocking began rebuilding Parsons Yard in Columbus and Walbridge Yard in Toledo.  New TOFC/COFC facilities were built, as well as computerized operations, welded rail, new support tracks, and a completely rebuilt hump terminal.  The AC&Y Division’s Akron Terminal was rebuilt to a degree, which also included computerized operations.

     Also in 1972, the HV embarked on a track rebuild program, which laid welded rail on the Toledo and AC&Y Divisions.  The program also included installation of CTC on all divisions.  Some portions of the Toledo and AC&Y Divisions were downgraded in 1973 to single track due to the CTC systems implemented.  Once the CTC was implemented, most of the towers within the system were phased out as unnecessary and redundant operations.  By 1976, the only towers left were VR Cabin (Toledo), C Cabin (Carey), LM Cabin (also known as Scioto Tower; Columbus), A Cabin (Athens), and AK Tower (Akron).

     In March of 1975, the Chesapeake & Ohio submitted a proposal to the Interstate Commerce Commission to incorporate the Toledo Terminal Railroad into the C&O system.  The bankrupt Penn Central had already sold all of its interest in the TT to the C&O, thus giving them a 69.7 percent control over the TT.  On September 3, 1975, the HV filed a complaint with the ICC that the monopoly created would be tremendous and that any merger would not be in the best interest of the City of Toledo, shippers, other railroad companies, or any other parties involved.  Further investigations by the ICC found that the merging of the TT into the Chesapeake would not be as damaging to parties involved as the HV had alleged, however the ICC came up with a merger plan of its own.  The plan called for the western half of the Terminal to be conveyed to the Chesapeake & Ohio and the eastern half to be conveyed to the Hocking Valley.  The C&O would also be granted trackage rights on the HV’s portion, while the HV would be granted trackage rights on the C&O’s portion to ensure no monopolies would occur from the transaction.  This plan, though initially rejected by both the C&O and HV, was eventually accepted without modification, and on July 25, 1976, the Toledo Terminal Railroad was split between the HV and C&O.  The Hocking’s new Toledo Terminal Subdivision permitted easier access to the northern half of the Toledo.  Additionally, the HV leased its Presque Isle coal dock, located at the mouth of the Maumee River, to the C&O once it was declared surplus real estate.

     When Penn Central acquired the ailing Erie System in 1983, it was announced that they would abandon the west end (Youngstown to Chicago) if a buyer was not found by 1985.  Immediately HV officials went to work on a plan purchase the entire west end from PC.  This would enable the HV to enter the Chicago gateway and thus open up many new possibilities.  The largest problem encountered was what to do with the parallel AC&Y Division.  Originally, the plan called for the Erie to be abandoned or sold between Ohio City and Akron, with the AC&Y being utilized between those two points.  This was later deemed unacceptable due to the trackage rights that would be necessary.  The final plan, as proposed, called for the AC&Y Division to be abandoned or sold between Carey and Akron, trackage rights over NS between Ohio City and Delphos, and trackage rights over Chessie System between Youngstown and New Castle.  The plan was brought to PC officials in 1984 and a price of $30 million was agreed upon.  The property was officially transferred to Hocking Valley ownership on December 1, 1984.

     With the purchase of the Erie, the HV now had to find a buyer for the AC&Y Division.  The short piece between Delphos and Carey would be retained and utilized by through movements to Toledo from Chicago.  When a buyer could not be found immediately, it was decided to use the AC&Y as a secondary route in case the new Erie Division became congested.

     Traffic began picking up, as shippers utilized the new Erie Division to access Columbus and Toledo.  Very little traffic moved east of Marion, however that would soon change with an agreement between the Hocking Valley and Genesee & Alleghany Southern.  In order to accommodate the increased traffic, the HV purchased the remaining Erie System SD45 and SD45-2’s from Penn Central.  These would be used to power the fast freights and intermodals going to and from Chicago.  The remaining GP7 and GP9’s were rebuilt in the Marion shops and assigned to work trains and yard switchers.  Additional motive power came from EMD in the form of fifteen GP40-2’s and ten GP38-2’s.  These would eventually take the place of the GP30’s and GP35’s.

     In hopes of increasing freight on the southern end of the system, the HV decided to form a wholly owned shortline to take over operations south of Logan.  Out of twenty names, Logan Southern Rail System was selected.  The River Division was put under the guidance of the new LSRS and on June 1, 1987, the LSRS was in full operation.  Two GP9’s and two GP30’s were sold to the shortline and freight cars were leased for a period of ten years, renewable.

     Also in 1987, the new CSX Transportation announced it would abandon the former Baltimore & Ohio St. Louis Line between Midland City, Ohio and Belpre, Ohio, as well as the stretch through West Virginia between Parkersburg and Clarksburg.  The abandonment would occur if a buyer could not be found by 1991.  Hocking Valley management immediately went to work trying to find a feasible plan to purchase the lucrative route.  CSXT and HV representatives met in Columbus on August 23, 1988 and one week later, on August 30^th, an announcement was made concerning the purchase of the former B&O mainline for $28 million.  The agreement called for the purchase of the entire line between Midland City, Ohio, and Clarksburg, WV, with trackage rights through the Parkersburg terminal and joint-use of the High Yard.  The Hocking Land Company would purchase the line between Midland City and Chillicothe from the Hocking Valley, as well as the line between Red Diamond and Athens.  The HV would utilize the mainline from Athens to Clarksburg and a new connection would be built in Athens.  The new trackage would permit the HV to move trains from Chicago to Washington, D.C. and Baltimore, Maryland, via CSXT from Clarksburg.  The trackage between Chillicothe and Red Diamond was to be assigned to the Logan Southern.

     An additional amendment was made to the agreement, which called for the LSRS to purchase the Portsmouth Subdivision from CSXT.  The property south of Firebrick was sold to Hocking Land Company.  This would keep the Portsmouth line in the HV’s hands, in the event future expansion to Portsmouth would be necessary.  Additionally, the River Division trackage south of Dundas was sold to Hocking Land due to the near-dormancy of the line.  However the line between Gallipolis and Middleport was retained.

     To alleviate motive power concerns, six SD60’s were purchased from EMD and the first purchase from General Electric came in the form of ten C40-8’s in late 1989.  These would be used in heavy freight service.  The remaining GP30’s and GP35’s were rebuilt with GP40 motors and Dash Two electronics and reclassified as GP39-2’s.  Additionally, two GP9’s were leased to the LSRS to help with motive power there as well.

     In June of 1990, a new look was unveiled in Columbus.  The two locomotives selected for the new paint and logo unveiling were new C40-8 number 4002 and SD60 number 6005.  This was the first unveiling in over twenty-five years.  The blue paint was replaced with maroon and black, yet the yellow remained on the ends for safety concerns.  The lettering reverted back to steam days when the “h” and “y” were larger than the rest of the letters.  And finally the logo dug its roots into the former Erie System’s diamond, with an “h” replacing the “e”.  It gained much praise from employees and customers alike, and has continued to do so ever since.

     The last major sale agreement occurred on June 5, 1990.  New regional Wheeling & Lake Erie acquired the AC&Y Division, still posted for sale, for $12 million.  The agreement stated that the W&LE would purchase the entire mainline between Carey and Akron, lease the Akron Terminal from the HV, and acquire trackage rights over the HV from Carey to Toledo.  The purchase allowed the Hocking to finally remove the diamond in Carey, as well as the two connection tracks still in place on the southern end of the junction.  This also helped offset costs incurred during the purchase of both the Erie and Parkersburg Divisions.

     During the summer of 1995, Penn Central Transportation representatives from Cleveland came to Columbus to discuss a possible alliance with the Hocking Valley.  The primary focus of the conference was to setup a company owned equally by both PC and the HV.  The outcome was a jointly owned company named American Financial & Lease Corporation, Inc. whose purpose was to provide leasing services to not only Penn Central and the Hocking, but others as well.  With the industry so ripe for leased locomotives and freight equipment, both companies felt the venture would be most profitable.

     In the fall of 1997, the public relations department finally noticed the increasing amount of letters and phone calls from a number of people asking for a weekend excursion train.  After some deliberating amongst themselves, representatives from the department unveiled a plan before the Board of Directors for an excursion train.  With so many letters and calls, the public relations staff felt it would be most beneficial if some sort of excursion were operated.  The Board mulled it over for two weeks before finally issuing a decision to proceed with further planning of the excursion train.  The next step was to decide whether to use the remaining E8A’s or use a steam locomotive as the primary motive power.  After looking for a readily available steam locomotive that would cost the least to rebuild, yet provide enough power for a large train, the public relations department settled for a former Hocking Valley class A-1 2-6-6-2 (number 226) that had been donated to the City of Columbus in 1957.  Immediately after signing a ten-year lease with Columbus, the HV sent the mallet to the Logan shops for rebuilding.  After selecting motive power, coaches were acquired and some from the business pool were also selected for first class seating.  Another decision was made to utilize two E8A’s as emergency power should the steam locomotive fail or not be readily available for a certain trip.

     After an extensive rebuild project in the Logan shops, the 226 was released from the shops and began to work on its trial runs on November 28, 1998.  The runs were operated mainly over the Hocking Division to keep the locomotive close to the steam shop in the event some incident occurred and the deadhead trip to Logan wouldn’t be too long.  The locomotive performed almost flawlessly after the one-month trials were completed.  A few bugs were found in the running gear and with the new electronic speedometer, but otherwise the 226 was ready for service.  The E8A’s, numbers 800 and 801, were also readied for service, though much earlier than the steamer, by January 20, 1998.  The public relations department, as well as the various groups who wished to sponsor an excursion worked on the 1999 steam excursion schedule.  By the spring of 1999, an excursion schedule was announced and posted on the Hocking Valley’s new website.  And by the first trips in June 1999, a majority of the excursions had been sold out.

     In an effort to update its road power, the Hocking purged itself of the remaining E8A’s in service, excluding the E8A’s selected for excursion service in later 1999.  To replace them, the railroad leased six SD70M’s from American Financial & Lease for a ten-year term renewable.  They also sold and leased back, for a fifteen-year term renewable, all of the GP39-2’s, GP40-2’s, and GP38-2’s on the roster to lessen the tax burden placed on the company.  The company, due to restrictions placed upon them by their financial institution, retained the remaining locomotives.

     To increase efficiency at the locomotive shops across the system, the company shifted the focus of each shop facility.  The Marion shop complex became the primary General Electric repair facility and the Logan shop complex became the primary Electro-Motive Division repair facility.  Though both would have the capability to do light repair and 90-day inspections to locomotives from each builder, major repairs and overhauls for GE locomotives would occur at Marion and the same for EMD would occur at Logan.  The smaller shops at Marion (Indiana), Dayton, Toledo, and Akron would handle only light repair work and 90-day inspections.  To enforce this, the shop workforce was shifted around the system, with Logan receiving fifty additional employees to keep up with the work.  Lay-offs occurred across the system as the smaller shops were downsized, as was Marion due to the small number of GE locomotives on the system.  Most of the Marion workforce with EMD certification was relocated to Logan, however.  By December 1999, Marion had fifty shop employees and Logan had 120.  Meanwhile the smallest and least-used shops at Hammond, Indiana, and Sharon, Pennsylvania, were closed indefinitely.

     In the summer of 1999, the Hocking began a rigorous program to upgrade its computer systems to accommodate the upcoming Y2K bug that was instilling fear in many across the country.  Fortunately the project was completed in time, but only three days before January 1, 2000.  All computers across the system were upgraded with the new software and technicians worked ‘round the clock to bring the hardware up to date.  The yards were the focus first, then the dispatching centers, and finally the corporate offices.  As everyone knows, the feared date came and went without a problem, many wondering if the upgrade project was a waste of $4.5 million.

     The latter part of 2002 saw a new service come to Southeast Ohio.  In an effort to improve the economic conditions of Southeast Ohio, the Hocking Valley and Logan Southern Rail System announced a new joint intermodal train that would operate from Columbus to Jackson, Ohio.  Two EMD SD70M's were leased from American Financial & Lease for a five-year renewable term to specifically power the train.  The new service was given the name Ohio TrailerJet, hailing back to the days of the Baltimore & Ohio's famed TrailerJet trains.  Trains from various locations across HV system would drop off any blocks in Parsons Terminal destined for Jackson.  The various blocks would then be assembled into the Ohio TrailerJet for final delivery to Jackson.  So far, the program has been working very well.