Lichter restored Polson Lumber 2 to operational condition and loaned it to the Mid-Continent Railway Museum in North Freedom, Wisconsin.

Disagreement over who should cover the restoration costs ultimately led to an arbiter finding in Lichter's favor.

As of 2023, it is owned by Rick Franklin, and it is stored at the Oregon Rail Heritage Center (ORHC) for use in pulling their Christmas trains to Oaks Park.

The Saginaw Timber Company was formed in 1908, and its purpose was to operate logging trains through forests along the Chehalis River in the state of Washington.

[1] However, Saginaw Timber decided they needed a larger and more conventional engine with greater power and speed to handle their logging loads.

[1] Hence, in December 1912, the Baldwin Locomotive Works of Philadelphia, Pennsylvania constructed a brand new 2-8-2 Mikado for Saginaw Timber, which was No.

2 had a design flaw on the equalising beams between the rear trailing axle and the drivers, which were prone to breaking.

2 was delivered to Washington, Saginaw Timber put the locomotive into use on pulling their logging trains on the company's 40-mile (64 km) route.

2 was towed from Hoquiam, Washington to Cadillac for over 2,300 miles on mainline trackage owned by the Northern Pacific and Soo Line Railroads.

[5] However, the C&LC was facing a slow decline in ridership, and it led to the railroad discontinuing their Michigan operations in 1971.

2 was subsequently sold to Carl U., who was the son-in-law of Richard Hinebaugh, the owner and operator of the Kettle Moraine Scenic Railway in North Lake, Wisconsin.

2 was purchased by steam engine enthusiast and Mid-Continent Railway Museum member Roland “Skip” Lichter, who thought No.

[7] Work began by Lichter and Mid-Continent crews to repair the engine and bring it back to service.

2 pulled the MCRM's annual Snow Train before it was removed from service, since the engine was in poor mechanical condition, and it had to be rebuilt to comply with the new FRA steam standards.

Lease costs with the obligation of 15 years for maintenance and with no warranties whatsoever was the main reason that made the decision necessary."

Beginning in 2001, the engine was disassembled with the boiler shipped to a shop complex in Milwaukee, Wisconsin to be rebuilt.

[1] While Lichter and his crew began giving the engine a thorough overhaul, a court-approved stipulation was made in 2003 where the MCRM would lease and operate No.

[10][11] Shortly afterward, however, the MCRM's board of directors started to express financial concerns over leasing and operating Lichter's engine; the MCRM’s President, Jeff Bloohm, explained that the board’s primary concern was that the Museum would be immediately responsible for all costly repairs made to No.

[9] An arbitrator by the name of William Parker was asked to settle the dispute between Lichter and the MCRM over lease terms and restoration costs.

[The museum’s] attempt to void the lease, let alone some of the spurious reasons put forward to justify it, could almost certainly have been avoided."

[8] From there, Lichter and his family, albeit sad to leave North Freedom behind, began seeking other places in the country to move to while taking No.

[12] By July 2017, Lichter struck a deal with the Oregon Coast Scenic Railroad, which owns and operates McCloud Railway 25 and Heisler engines No.

2 would have had to be shipped to the Railroad's location in Garibaldi, Oregon from North Freedom for over 2,000 miles by truck, and it was estimated that it would cost the MCRM around $75,000.

2 was loaded back onto rails upon arrival in Tillamook, Oregon, and it was temporarily stored inside a shed building for some minor repairs to take place.

The engine was placed into service on the OCSR in May 2018, and it began pulling yearly tourist trains between Garibaldi and Rockaway Beach.

2 was sold to Rick Franklin, the owner and operator of the Albany and Eastern Railroad, where only one steam engine, Santa Maria Valley No.

2 and its tender were once again loaded onto separate truck trailers for shipment to the Albany and Eastern's location, but the engine first landed at the Oregon Rail Heritage Center, while a two-stall barn would be built at the Albany and Eastern to eventually house both Nos.

700 to pull Christmas trains on the Oregon Pacific Railroad through Oaks Park in December every year.

[23] However, their long wheelbases caused damage to the rails, and by 2022, the Oregon Pacific restricted the operation of the giant 4-8-4's to Oaks Park.

[23] The ORHF compensated by obtaining ownership of Mount Emily Lumber Co. 1 from the Oregon Historical Society, but that engine requires some certified maintenance in order to run again.