BALTIMORE (WJZ) — The city of Baltimore and CSX agree to split the cost of rebuilding the collapsed retaining wall along E. 26th Street. That’s according to a memorandum of understanding signed by both parties.

City officials expect the collapse to cost taxpayers around $7.5 million. They say the total could still increase as construction continues.

Bryan M. Rhode, regional vice president of state government affairs for CSX, said in a statement:

“CSX has been engaged in productive discussions with the City of Baltimore since immediately after the April 30th collapse along 26th Street, and we are pleased to be a party to this important agreement. The agreement is fair, and brings quick resolution to what otherwise could have been a protracted process. The agreement also establishes a foundation for an even stronger relationship between the City and CSX in the future

“We appreciate the Mayor’s leadership in bringing these discussions to an equitable resolution while maintaining the focus on meeting the needs of the residents who were directly affected by this event.”

Half the block of E. 26th Street between St. Paul and N. Charles Street collapsed amid heavy ranis in April, tumbling onto railroad tracks owned by CSX.

Residents were displaced for weeks. They are still living in a construction zone.

In addition to half the construction costs, the city will cover the engineering work and the costs associated with its emergency response and staffing needs.

CSX will cover costs related to clearing the tracks of debris and other incurred costs.

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