LAKE PLACID, N.Y. (AP) A $2.6 million project to create a biking and hiking trail along train tracks between two Adirondack resort villages has been derailed by federal wetland rules.

The town board in North Elba this week shelved plans for the trail running parallel to the tracks between Saranac Lake and Lake Placid.

Now, local officials want the state to remove the tracks, currently used by a tourist train, and build a multi-use trail.

The move comes as state officials are holding public hearings on what to do with the 119-mile rail corridor bisecting the Adirondack Park from Remsen to Lake Placid. Tourist trains run only at the ends, with the vast midsection deteriorating.

There's a debate over whether to fix the tracks or replace them with a multi-use trail.