SIOUX FALLS, S.D. -- Instead of protecting people, the Mayo Clinic is increasing the risk of a hazardous spill by opposing a rail project, the president of the Dakota, Minnesota & Eastern Railroad said Thursday.

The Rochester, Minn., clinic, which is concerned its patients couldn't be moved if there were an environmental disaster, called the allegation "preposterous."

Kevin Schieffer, DM&E's president and chief executive officer, said he wrote to the clinic outlining his concern. The old track that runs through town now is far more susceptible to a derailment than new track that would replace it, he told The Associated Press.

"I think it's extra irresponsible of them to continue frightening people about something with an argument that has been rejected by every federal agency and court that has looked at it," Schieffer said.

"Their claim is that this project shouldn't be built because it exposes them to hazardous spills and they'd have problems evacuating the hospital. That's a nonsensical claim, demonstrably untrue. And everybody who has looked at it has told them that."

Chris Gade, spokesman for the Mayo Clinic, said the clinic has acknowledged the current track needs to be replaced. But even with new track, increased rail traffic poses a risk to clinic patients and Rochester residents, he said.

"Kevin's claims are preposterous. We disagree with his claims. We feel mediation is the place to get at the heart of the issues that he raises," Gade said. "But to date, Mr. Schieffer has declined to participate in good faith."

The Rochester City Council last month authorized an appeal of the federal Surface Transportation Board ruling to permit the railroad's expansion through town. And Bill Janklow, a former South Dakota congressman and governor, has joined a group of consultants dealing with concerns about the project.

The Sioux Falls-based railroad wants to add track to the Powder River Basin coal fields in Wyoming and upgrade its existing line in South Dakota and Minnesota so it can connect the Wyoming coal fields to consumers in the Midwest and East.

The project would involve about 280 miles of new track and upgrading 600 miles of existing track. The railroad is awaiting approval on a $2.5 billion government loan.

Schieffer said there have been 36 derailments on the 52 miles of DM&E track similar to the 80-year-old line that goes through Rochester. But no rail car has ever jumped the track on the 169 miles of new rail, he said.

"For them to say that a brand new rail increases the chances of a hazardous material spill, it's Alice in Wonderland stuff," Schieffer said.

But many of DM&E's derailments and accidents were due to equipment problems, Gade said.

"Which points to the credibility of his claim that it's the condition of the tracks. In reality it's about the operation of his company," he said.