The City has released the phase 1 rail relocation report
(link)
The recommendation is to relocate the CP line outside of city limits and to give no further consideration toward underpasses along arterial routes. However there doesn't seem to be a solid business case for either option, although the 'intangible' benefits are strong, ie emergency response times, community cohesion, etc. The implications for BRT are rather large as well, obviously.
If the CP rail line was to be relocated, what would become of the rail bridge by the weir? What about redevelopment around the Sutherland yards? Might we see McKercher extended north into Forest Grove?
The report recommends looking into CP sharing the line at the south edge of the city with CN -- is there much of a precedent in Canada of these companies sharing track like this?
It's too bad that it is proving so difficult to make a business case for something that is so clearly in the public interest.