Morristown & Erie Railway - Rebirth of The Modern M&E

Rebirth of The Modern M&E

A consortium of businessmen under the leadership of Benjamin J. Friedland purchased the railroad in 1982, and immediately set to work on rebuilding the business as the Morristown & Erie Railway. Investments were made in track and repairing locomotives. Aggressive marketing helped bring freight traffic back to the M&E. Friedland became a spokesperson for short line railroading, and was able to use these connections to help grow his business. He also had a strong sense of history, and is also credited with the opening of the Whippany Railway Museum in 1985.

Around this same time, Friedland helped orchestrate the purchase of the Chester Branch, and began operating the line under contract for the new owners on December 21, 1983. He also worked with Morris County government to help purchase and operate the former Central Railroad of New Jersey Dover & Rockaway and High Bridge branches in 1986. The M&E also briefly operated the New Hope & Ivyland Railroad between 1989 and 1990.

While the M&E enjoyed modest growth throughout the 1980s, the railroad continued to seek out new opportunities for expansion. In 1995, Friedland negotiated a contract with Tosco (now ConocoPhillips) to be the contract operator for switching operations at Bayway Refinery in Linden, New Jersey. Bayway is one of the largest refineries on the East Coast.

The sudden passing of Friedland in 1998 shocked not only the company, but the entire short line industry that had come to respect him as a leader. In his 16 years at the helm of the M&E, he ascended from an obscure railroader to an industry icon. The New Jersey Short Line Railroad Association has an award named in his honor "for meritorious service to the short line industry."

The expansion of the M&E continued after Friedland's death. In 2001 the M&E was selected to repair and operate a rail line consisting of the New Jersey portion of the Staten Island Railway (SIRY) between Linden and Cranford, and the former Rahway Valley Railroad (RVRR) between Cranford and Summit, to be called the Union County Central Railroad. In an official filing on record with the Surface Transportation Board, the M&E entered into a 10-year agreement with Union County starting on May 15, 2002, for the rehabilitation and operation of these dormant freight lines. Conrail objected to the filing, because M&E would have had use trackage rights over NJ Transit's Raritan Valley Line to travel between the ex-SIRY and ex-RVRR. Conrail had previously negotiated exclusive trackage rights with NJT back in 1984, but expressed willingness to work out a special arrangement with M&E should service resume. As of May 2012, the M&E removed their equipment from the RVRR and SIRY, pursuant to the 10-year agreement with Union County.

The M&E would embark on its second foray into Pennsylvania, operating the SEPTA-owned Octoraro Railroad from July 1, 2003, to November 18, 2004. The line is currently operated by the East Penn Railroad.

On November 1, 2003, M&E took over operation of the Rockland Branch, a former Maine Central Railroad line now owned by the state of Maine. M&E created a subsidiary, the Maine Eastern Railroad, for its Maine operations. Passenger trains are operated between Brunswick and Rockland, Maine.

In 2009, the M&E took over contract operations of the Stourbridge Railroad (former Lackawaxen & Stourbridge), based in Honesdale, Pennsylvania. Passenger excursions continued to be sponsored by Wayne County. As of 2012, all freight and passenger operations have been suspended.