Rutland Railroad ends all train service and operations. In September, 1962, the ICC ruled that the Rutland Railroad could abandon the entire line. By the summer of 1963, the Rutland Railroad officials were anxious to tear up the rails, sell the right of way, and dispose of the corporation’s remaining assets. The State was under a lot of pressure to find a buyer or operator for the property.

On August 6 Jay L. Wulfson of East Brunswick, NJ, signed a lease agreement with the State of Vermont to begin operations. President Wulfson, along with Vice-President Harold T. Filskov, Charles Bischoff, and an ambitious team of railroaders, set off to run the Vermont Railway (VTR), the nation’s first privately-owned railroad operating on a publicly-owned right of way.  Soon after, Jay’s wife, Joan Wulfson, left East Brunswick with their four kids, and a collie dog in a station wagon to drive overnight to meet him in their new home State.

On January 6th, Bright Red took over the rails as a modest GE 44 tonner and caboose began their first day of operations in the Burlington Yard.

The VTR became involved in the piggyback trailer service (loading truck trailers onto flat cars to be shipped by rail). Ramps for loading and unloading trailers were constructed in Burlington, Rutland, and North Bennington. The company’s piggyback traffic continued to grow, and by 1974, more than 10% of the road’s traffic was trailer-on-flatcar.

Vermont Railway was able to purchase a brand new EMD SW 1500 locomotive No. 501 with the extra revenue generated from their trailer business. Purchasing a brand new engine was nearly unheard of for a shortline railroad.

The VTR purchased the Clarendon & Pittsford Railroad (CLP) from the Vermont Marble Company. The CLP serves the substantial ultra-modern limestone processing plant on the mountainside above Florence, Vermont, on a daily basis. OMYA soon became (and still is) the railroad’s biggest shipper. The local facility produces finely ground limestone that is used in the manufacturing of products such as paint, plastics, paper, automobile parts, and floor tile.

In the fall of 1978, Harold Filskov was admitted to the hospital for what they presumed to be a heart condition. There, he was diagnosed with cancer. Although he pursued this courageous battle for nearly a decade, he was unable to return to work at the railroad. Around that same time, Jay Wulfson was stricken ill while attending a conference of short-line officials. Jay was able to recover enough to return to work for a few more years. 

Jay Wulfson passed away in November of 1980. The VTR board of directors, of which his oldest son David (age 22) was chairman, appointed John Pennington as President, and David as Assisting Vice-President. Jay Wulfson’s unique, innovative, and logical approach to running a railroad has not been lost on his family, employees, customers, state officials, and the railroad industry. He left behind his daughter Lisa, and sons David, Todd, and Gary. Both Jay Wulfson and Harold Filskov made a lasting mark in the railroad industry. Together they accomplished, as Jay used to say, “What the consultants’ reports said we couldn’t do.”

The Vermont Railway fulfilled its 30-year obligation to the State of Vermont by reimbursing the State’s cost of the 1964 purchase of the former Rutland trackage. This enabled the state to retire this bond twelve years early. Considering the 1963 consultant reports that indicated this line would never become a profitable operation, this was a remarkable achievement.

The Clarendon & Pittsford Railroad expanded with the acquisition of the Delaware & Hudson line between Rutland and Whitehall, NY. The 24-mile line soon became essential to the shipment of fuel oil and gasoline to Vermont through the Whitehall interchange. 

Vermont Railway and Green Mountain Railroad (GMRC) merge to become the Vermont Rail System. At the time of the sale, the GMRC was well run, was operating with lean and efficient staff, had a solid traffic base, and was debt-free. Although the company had plenty of capital, there was never enough to keep up with the deteriorating track conditions. Slow train speeds and derailments became a costly and limiting factor to traffic growth. Management of both railways had worked together for many years. The VTR would lend the GMRC equipment and would help them whenever they could. The partnership grew into the opportunity to merge as one. 

John Pennington retired as president. David Wulfson assumed his position as President of the Vermont Rail System and his sister Lisa, assumed the position of Executive Vice-President and Treasurer. In September, the VRS began operations on the Washington County Railroad Montpelier & Barre Division. The line was formerly operated by the New England Central Railroad and was struggling severely from the loss of customers.

The New York and Ogdensburg Railway (NYOG) joined the Vermont Rail System. The NYOG consists of 31.2 miles of track between Norfolk and Ogdensburg, New York, and was a part of the former Rutland Railroad. When the NYOG joined the VRS, the surviving Rutland Railroad rails were finally reunited under the same operator. 

The WACR expanded to another line between White River Junction and Newport, Vermont. The VRS affiliate immediately went to work providing regular service and making a concerted effort to win back previous customers and gain the trust of new ones. This line is now known as the Washington County Railroad Connecticut River Devision.

Hurricane Irene tore across the State of Vermont. This was the most catastrophic storm to occur in Vermont’s history. Flooding destroyed roads and bridges, decimated farms, and forced railroads to shut down. With the hard work and dedication of more than 250 men and women, the VRS, six different contractors and engineering firms, several vendors, the Vermont Agency of Transportation, and neighboring railroads, was able to repair over 100 washouts and six severely compromised bridges throughout the system. Their efforts during Irene strengthened their bond tremendously, not only with each other but also with local businesses and the Vermont AOT. The community undoubtedly earned the title of “Vermont Strong”.

The Vermont Rail System was honored by Railway Age Magazine with the “Shortline of the Year Award” for their efforts in helping restore Vermont after Hurricane Irene.

On January 1st  the Vermont Rail System celebrated 50 years of continuous family-owned and operated service. A ceremony was hosted to dedicate the specially painted locomotive #311 to Joan Wulfson

The North East Association of Rail Shippers presented David Wulfson with the “Transportation Person of the Year Award”. The award is a special recognition given to an individual who has made a significant impact on the rail industry, especially in the Northeast region of North America

The Vermont Rail System purchased two SD70m-2 locomotives, No. 431 and No. 432. The highly efficient locomotives are the most modern in the VRS fleet. They have microprocessor-controlled features that allow the VRS to move heavier trains over its lines while using less fuel, ultimately making them more environmentally friendly.

David Wulfson assumed the position of CEO, and Selden Houghton was appointed President of the Vermont Rail System. In the fall, VRS took over operations of the New England Southern Railroad (NEGS), a shortline running between Concord and Tilton, New Hampshire. In September the VRS celebrated the opening of the Middlebury Tunnel. The multi-year construction project was a partnership between the state, the Town of Middlebury, and VRS.

After a long battle with Cancer, Lisa J. Wulfson passed away peacefully in her home on June 17th, 2021 with her two daughters by her side. She dedicated her 39 year career to Vermont Railway, owning and operating and most importantly, continuing the legacy of her late father with brothers, David and Gary Wulfson. Mary Anne Michaels assumed the position of Executive Vice President and Treasurer.