Union Pacific CEO Jim Vena claims to have identified a number of rail industry shortcomings that according to him can only be solved by his proposed transcontinental merger between the Union Pacific and Norfolk Southern railroads. The first of these shortcomings we would like to focus on is the well-known issue of the Chicago interchange.
The second of these shortcomings involves the more nebulous issue of allegedly missed growth opportunities caused by the negative impacts of a geographic phenomenon known as the “watershed.” Conventional wisdom in the railroad business today says railroads are not competitive pricing-wise on short haul moves in the “watershed” market(s). This area involves origins and destinations within a few hundred miles of the Mississippi River, the de facto dividing line between Eastern and Western railroads.
According to the U.S. National Park Service (NPS), the definition of a river’s watershed is the area drained by a river and its tributaries. The actual Mississippi River drains an area of about 3.2 million square kilometers (1.2 million square miles) including all or parts of 31 states and two Canadian provinces, about 40% of the continental United States.
For the record, we agree with Mr. Vena’s assessment of both problems here but strongly take issue with his recommended solution. We think we have identified some alternative solutions that are more easily achievable without all the drama and disruption of the UP-NS proposal for a transcontinental merger. Mr. Vena claims that his merger will transform Chicago into “just another crew change point.” Well, that is exactly what we are proposing to do here.
First, the issue of the “notorious” Chicago interchange. Mr. Vena appears to completely ignore the significant investments and quantifiable transit time improvements made by the CREATE Program (of which Union Pacific is a part). We think his criticisms here are a bit overblown and find them extremely self-serving to say the least.
My favorite observation on this issue still comes from Chuck Allen, retired general manager of the IHB. In a 2023 article, he said, “I know it’s nuts, but NS runs trains from North Jersey to Chicago on CTC and BNSF does the same from Los Angeles to Chicago, but here in Chicago they were on an unsignaled railroad trying to reach each other.” We are happy to report this problem has been greatly alleviated if not completely solved!
U.S. taxpayers (like you and me) have already made a substantial investment to improve the Chicago Terminal operations by helping fund the CREATE Program.
As a prime example of this investment’s benefits, virtually the entire 54-mile-long Indiana Harbor Belt Railroad main line (54 miles of main line track, 24 miles of which is double track) has been virtually rebuilt. To help alleviate site-specific bottlenecks a third main line has been added in these specific locations. This rebuilding included the installation of a new bi-directional computerized Traffic Control System (TCS), combined with the replacement of numerous manual switches with powered versions. What had once been a decrepit relic has been transformed into a true 21st century main line.
Today the IHB main line runs between Franklin Park, Ill., on the north and Pine Junction (near Gary, Ind.) on the east. Its webpage proudly proclaims, “We are committed to delivering exceptional service to our customers.”
The IHB has always been considered something of a “convenient route through the metropolitan area” a bypass route to avoid the inherent congestion of the Chicago Terminal. By 1985, run-through traffic had come to dominate the IHB main line. Some of its unique legacy features include a main line crossing under the Rock Island main line at Blue Island as well as under the CN-IC main line at Highlawn.
CREATE Component Project P7 calls for the construction of a new flyover at the Chicago Ridge Control Point in Chicago Ridge, IL. When completed, “the flyover will eliminate delays between the CREATE Beltway (IHB) Corridor and the 30 daily trains of Metra’s SouthWest Service” (which operates between CUS and Manhattan, IL in Will County).
The last remaining bottleneck on the IHB is Dolton Crossing, located in the south suburban community of the same name. This is also the site of CREATE Component Project WA11. According to the CREATE Program website, the WA11 project is designed “to improve the speed at which rail freight and intercity trains move through the Chicago region.” The project will upgrade and reconfigure the CSX/IHB/UP connections at Dolton Interlocking, with the following key features:
“Upgrade and reconfigure the CSX/IHB/UP connections at Dolton Interlocking including the replacement of an NS connection between the IHB and CSX. Construct a third main line with direct access from CSX and Barr Yard to the UP main line. Construct crossovers between two main line IHB tracks. Upgrade connection between IHB and UP. Automate Dolton Tower for remote control.”
According to the CREATE website, “the project will increase freight train speeds for multiple routes from 15 mph to 30 mph, including routes accessing CSX Barr Yard, UP Yard Center, UP Dolton Intermodal Yard, a CSX main line route, and all main line connections between IHB, CSX, and UP. The increased speeds will enable this location to handle increased freight train throughput.”
Phase I and Phase II of this project have been completed. As of this date, Project WA11 is awaiting construction funding for completion of Phase III.
There are also five additional completed Beltway Corridor Projects all originally designed to improve the speed at which rail freight and intercity trains move through the Chicago region. These are CREATE Component Projects B4/B5, B6, B8, B9, and B15.
Now let’s find some creative ways to put this investment to work (and as taxpayers get our money’s worth out of the deal).
My perspective here is comparable to that of industry analyst Larry Gross. He was recently quoted in another publication as saying that “better interline service could be just as effective as a merger. As Larry put it, “Intermodal growth potential is hiding in plain sight. This is growth that wouldn’t require a wholesale overhaul of intermodal strategy, operations or technology.” He goes on to observe “it would just require railroads (like BNSF and CSX) to work better together, one way or another.” And that is exactly the better idea we are proposing here.
In the same publication Gross offered his views on the latest BNSF-CSX interline partnership saying, “the BNSF-CSX deal should show that railroads can solve their interchange problems without a merger.” We think this proposal has the potential to do exactly the same thing.
Despite is dubious beginnings CSXT’s North Baltimore intermodal hub (in northwest Ohio) has turned out to be a genius move on the part of CSX senior management. This was a true example of the old adage that when life hands you a lemon, go out and make lemonade. Let’s combine CREATE and North Baltimore into a single integrated system and establish a new paradigm for the traditional Chicago Interchange (at least for intermodal traffic). Let’s make fast change happen now (not 2-3 years down the road).
We believe the opportunity exists to dramatically improve service and squeeze costs out of the system by implementing a new high speed scheduled intermodal shuttle service to replace the traditional Chicago intermodal interchange (both steel wheel and rubber tire). At the end of the day the actual interchange operation would probably take only a few hours especially since main line improvements on the east end of the Chicago Terminal, between the Illinois state line and Chesterton (in Porter County, Indiana), funded largely with the help of a $71 million government funded upgrade called the Indiana Gateway Project (2014), have largely eliminated delays in that area. Moreover, all this was done without a transcon merger. All it takes is some creativity, innovation and leadership.
First on the list of improvements to be utilized here is CREATE Component Project B6. This project constructed a second connecting track between BNSF and Indiana Harbor Belt/CSX at the McCook crossing. The Project also extended the existing connecting track an additional 7,000 feet. More importantly, improving the current connection has also “increased maximum speeds at that location from 10 mph to 25 mph.”
Historically, the main capacity constraint on the IHB main line was the slow entry and exit speeds at junctions. The old connection at McCook that limited movements to 5-10 mph tied up the main line until the last car in the train cleared the junction.
The short version of this idea is to set up a daily scheduled intermodal shuttle service between Galesburg, IL (on the BNSF) and North Baltimore, OH to move intermodal interchange traffic straight through the terminal on the rail. Ironically, North Baltimore is already listed as a BNSF Intermodal Hub on the BNSF website. This interesting development appears to be the direct result of one of a voluntary interline agreement between BNSF and CSX, the same kind of agreement Mr. Vena claims to have such little faith in.
The city of Galesburg is a small town located along the western edge of Knox County, a predominantly rural area located in the western part of the state of Illinois. It is located about 180 miles southwest of Chicago on the rail and home to one of the oldest classification yards on the BNSF system. Originally constructed in 1906 (by the CB&Q) this original yard was completely rebuilt and expanded during a multiyear project starting in 1930 with final completion in 1942. It has since been expanded and upgraded a number of times. It appears to be equipped with a well-furnished locomotive serving facility capable of maintaining and servicing any and all road power assigned to the new run-through operation.
With the merger of BN and Santa Fe Galesburg assumed increased importance as the key yard at the eastern end of the new network. Today the yard occupies nearly 1,000 acres and is reportedly one of the top three BNSF hump yards by capacity.
Galesburg was the birthplace of the American poet Carl Sandburg, one of Illinois’ most famous native sons. It is also the home of the National Railroad Hall of Fame, originally established in 2003. Recent inductees include former KCS and ATSF President Mike Haverty, former BN CEO Lous Menk and former Union Pacific CEO John Kenefick.
Galesburg falls under the jurisdiction of Foreign Trade Zone 114, Economic Development Council for Central Illinois, Grantee (and is already the site of at least one FTZ subzone).
Interchange traffic would be preblocked in each direction. The eastbound blocks (probably from yards in Barstow, CA and Kansas City, KS on BNSF) could be set out at Galesburg and assembled into a dedicated train. The BNSF Barstow (IL) subdivision connects the Aurora subdivision at Plum River, IL (near Savanna) with Galesburg, which would allow the addition to the mix of CSX traffic out of the Pacific Northwest. After picking up any local business (for CSX destinations) run the entire train over the new and improved IHB main line between the new higher speed BNSF junction at McCook and the IHB east end at Pine Junction straight onto a connection with CSX.
Here’s an interesting thought. Does the Galesburg connection open a new service lane between the Twin Cities and southern California, or between Minneapolis and North Texas?
This new operation would also help relieve pressure on both the CSX Bedford Park (Chicago) intermodal terminal as well as BNSF’s Corwith (Chicago) intermodal terminal. Both facilities are legacy land-locked facilities, and both are operating at or near capacity. Given their legacy locations, both facilities are also increasingly difficult to access on the rail as well as the highway.
According to Mr. Vena, the proposed UP-NS merger would open service in the nation’s midsection that is currently not well-served by rail due to the short hauls for the eastern or western carrier, or both. We agree with his assessment that there really are areas within the watershed with significant untapped concentrations of potential rail traffic. Where we strongly disagree is with his suggested approach/solution.
The I-380 Corridor (primarily in eastern Iowa) represents a veritable gold mine of potential intermodal business right in the middle of the so-called “watershed” area. Think of a funnel and Galesburg is located at the bottom of the funnel’s narrow tube opening. This funnel is spread out north and west of Galesburg into the state of Iowa. It includes the Iowa cities of Waterloo, Cedar Rapids and Davenport, as well as the Illinois city of Moline, which are all located northwest of Galesburg (along Interstates 80 and 380). It turns out there is an enormous amount of agriculture related industry located within the area of this funnel.
Waterloo Tractor Operations in Waterloo, Iowa, is John Deere’s largest manufacturing complex globally (reported 5,000 total employees). Moving south from Waterloo about 50 miles down I-380 is Cedar Rapids home to the world’s largest cereal factory owned and operated by Quaker Oats. It currently employs around 740 people and processes over 2 million pounds of oats daily sourced primarily from western Canada. Quaker is actually one of three major cereal manufacturers in Cedar Rapids along with General Mills and ConAgra.
Continuing east and south about 85 miles, via Interstates 80 and 74, is the Quad Cities, home of four more Deere manufacturing plants (in Davenport and Moline). Galesburg is about 45 miles south of the Quad Cities via Interstate 74.
Finally, a number of Caterpillar manufacturing plants are located about 25 miles south of Galesburg in Central Illinois scattered around the Greater Peoria area.
The advent of intermodal deregulation in 1981 radically changed the nature of the business. In May 1986, Railway Age reported that nationwide railroads had pared the number of intermodal terminals (frequently called “circus” ramps back then) from an estimated 1,175 in 1979 to just 360 hubs. In 1981 Eastern Iowa was home to plethora of piggyback ramps. After the advent of deregulation, the reorganization of The Milwaukee Road and liquidation of the Rock Island Railroad helped to quickly eliminate most of these legacy circus ramps. Today the one remaining intermodal terminal in Iowa is the IAIS facility at Council Bluffs.
At one time both BN and Santa Fe had piggyback ramps located in Galesburg. Santa Fe closed its original Galesburg ramp in 1989 (and BN reportedly soon after). Ironically, 1989 was also the same year that the founder and CEO of the trucking company that still bears his name, Johnnie Bryan Hunt, Sr., and Santa Fe President Mike Haverty made their now famous handshake deal while riding in a Santa Fe business car coupled on the rear of Santa Fe’s QNYLA intermodal train. Legend has it the train was moving westbound (at a high rate of speed) through Galesburg on the rail when the famous handshake occurred.
According to their 1987 Intermodal Service Guide, the BN Galesburg Hub Center included a “Satellite” facility located in Cedar Rapids, Iowa. The “Market Area” for the Galesburg Hub included all points within the area defined by Dubuque, Iowa to the north; Bloomington, Illinois to the east; Hannibal, Missouri to the south and Ottumwa, Iowa to the west. (Sounds like a pretty good definition for the new Galesburg Gateway.)
Like the North Baltimore site, the Galesburg yard is surrounded by acres of cornfields so there is plenty of room for BNSF to construct whatever new infrastructure is needed. In October 2022 BNSF announced development of a 4,500-acre, $1.5 billion facility known as the Barstow International Gateway. This new integrated rail facility will be located on the west side of Barstow, California, home to another BNSF hump yard. It will consist of a railyard, intermodal facility and warehouses for transloading freight from smaller international containers to larger domestic containers. Rail is not the only piece of the narrative here. Both Barstow and Galesburg are well connected to the National Highway System (NHS). We think the ultimate opportunity here for BNSF is to create a new Multimodal Inland Gateway at Galesburg, catering to Midwest agribusiness (in the watershed), and generally based on the Barstow International Gateway model.
As a practical matter, Galesburg is much closer to the historical point of interchange versus Kansas City (and the new Kansas City Logistics Park).
According to the 2022 Iowa DOT Rail Plan:
“Iowa’s central location in the Midwest could potentially make it a hub for the development of an additional facility on various domestic intermodal rail corridor services extending to the southern, eastern, and western U.S. and various international ports, thus enhancing access to the rail network in Iowa and the reach of Iowa’s shippers and receivers in the national and global marketplace.”
Based on public statements such as this one, we believe that the Iowa Department of Transportation could be a willing and valuable partner for any Iowa-related intermodal projects like the Galesburg Gateway.
This new BNSF intermodal terminal (in cooperation with their trucking partner JB Hunt) as part of the Galesburg Gateway could capture a large portion of this Eastern Iowa/North Central Illinois regional manufacturing and food producing business. The potential for new business appears to be significant. Keep the west coast business on BNSF and ship the east coast business on the new shuttle trains via CSXT direct to North Baltimore.
Additional Random ThoughtsThe new STB merger rules specifically require the proponents to provide opportunities for increased competition. I can think of no other more valid example than busting up the intermodal monopoly currently enjoyed by Norfolk Southern at Harrisburg, PA. In recent years, the Harrisburg area has evolved into one of the most important intermodal hubs in the Northeast.
A 2011 Trains article showed an average of 24 intermodal trains per day operating over the NS main line between Cleveland and Harrisburg. At the same time Chambersburg, Pa., was the closest CSX intermodal to terminal to Harrisburg, located about 60 miles to the southwest. Data published in the same article showed an average of only two intermodal trains per day operating along the CSX Chambersburg branch.
There are currently two intermodal terminals located in the greater Harrisburg area identified as NS-Harrisburg and NS-Rutherford, both owned and operated by NS. If that is not a monopoly, I do not know what is. This monopoly is clearly inconsistent with both the spirit as well as the letter of the new regulations. The STB should require NS to divest one of the two terminals (and related access trackage) and turn it over to CSXT.
Another anti-competitive issue is right here in the Chicago area where Union Pacific controls the dispatching on the joint line Villa Grove Subdivision. This 128-mile stretch of track was once the north end of the former Chicago & Eastern Illinois Railroad. It is located at the north end of UP’s route south to the Mississippi River crossing at Thebes, IL. It also represents the north end of CSX’s Southeastern Corridor, which crosses the Ohio River at Evansville, IN. Technically ownership of this line is 50-50, with dispatching handled by Union Pacific at Proviso yard in Chicago, and maintenance costs prorated on tonnage. The railroads’ agreement supposedly provides that Union Pacific treat CSX trains like their own.
A polite person would say that agreement has been followed more in spirit than substance, but everyone who knows me knows that subtlety is not one of my flaws. In my professional opinion, Union Pacific has had CSX in an operational chokehold for a very long time. It is time for a new paradigm here as well by turning over the dispatching of the Joint Line to CSX.
One final thing. Be careful what you ask for. The proposed UP-NS merger deal is about so more than just connecting dots on a map. For instance, as a former Santa Fe employee, I wonder if anyone at Union Pacific has calculated how much actual time and money it will take for them to upgrade the NS ex-Wabash Decatur to Kansas City line to actually be able to compete with BNSF’s Chillicothe and Marceline subdivisions. These two BNSF subdivisions anchor the eastern end of what is the finest high-speed freight route in North America (if not the world).
James A. Giblin has more than 40 years’ experience in rail, truck and intermodal freight transportation, warehousing and logistics, much of it in the greater Chicago area. He has lived in the Chicago area most of his adult life and is intimately familiar with the region’s freight and passenger rail infrastructure. For six years he is proud to say, “He made his run and made his pay on the Atchison, Topeka & Santa Fe.” In recent years, his professional experience has expanded and diversified to include numerous public sector clients and projects in communities and municipalities across Chicago’s south suburbs. He submitted written testimony as regional rail industry expert in favor of CN/EJ&E merger to the Surface Transportation Board and testified at the STB’s September 2008 Chicago hearing in favor of transaction. Jim is a former multi-year Chair of the Education Committee of the Traffic Club of Chicago.
The post A Few Better Ideas: A Contrarian View appeared first on Railway Age.
The American Short Line and Regional Railroad Association has launched a video, An Introduction to Employment in the Railroad Industry, described as a“workforce development tool.”
Created in collaboration with ASLRRA’s Human Resources (HR) Committee and other industry stakeholders, the video features testimony from several short line railroad employees “who share what they enjoy about their jobs, describe the many opportunities for lateral and vertical career moves and discuss the ways short lines support military veterans.” ASLRRA President Chuck Baker also appears in the video, “offering his thoughts on the short line industry and what makes it such a good fit for many different people.”
ASLRRA President Chuck Baker“ASLRRA members are encouraged to use the video in their own recruitment efforts, to help raise awareness of the short line industry and the opportunities it offers,” the association noted. “The video is the latest step in an effort to promote benefits and employment opportunities at short line railroads. ASLRRA’s HR Committee has led the charge to create an industry employment webpage that also includes links to career opportunities and a listing of railroad education providers. As with the employment video, members are invited to incorporate these resources into their recruitment efforts and share them with interested parties. Members interested in being listed on the career opportunities page can send their company name, career page link and ASLRRA region, if known, to Mariel Takamura, along with any other questions about this initiative.”
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Usually when passenger service on a rail line is discontinued, it never comes back, but there have been some exceptions. One is the MBTA’s South Coast Rail “line,” in the shape of the letter “Y,” going from Boston to the two outer destinations of New Bedford and Fall River, Massachusetts. The route was historically part of the Old Colony Railroad, and later the New Haven, branching westward from the main (now Amtrak’s NEC) at Canton Junction. The old New Haven served New Bedford and Fall River until 1958, and passenger trains on the rest of the Old Colony lines bit the dust shortly after.
On March 24 of this year, service from Boston’s South Station returned under the auspices of the “T” for the first time in 66 years, with 36 miles of track rebuilt. As part of my effort to catch up on all the “new starts” in the United States and Canada, including lines that have returned to service, I rode from Boston to New Bedford on Tuesday, October 7 and back from Fall River the next day.
Service returned under the MBTA (the “T”) as part of Boston’s regional rail system, operated by Keolis. The operation is unusual, because of the shape of the line. The operation is not like the Northside line on Boston’s North Shore, where alternating trains go either to Rockport or Newburyport, with essentially “double service” to inner suburbs like Salem and Beverly. Instead every train runs between South Station and either New Bedford or Fall River. Shuttle trains serve the other destination from a transfer station in East Taunton, about a 75 or 80-minute ride from Boston. There are slightly more trains that serve New Bedford than Fall River 15 or 14 on weekdays and seven or six on weekends. Saturday and Sunday schedules are the same.
While the operation is interesting, the line is not scenic, and the stations are not placed conveniently for visiting the towns, which are interesting and normally have plenty of things to see and do.
The Line MBTAThe current line is not the original route to New Bedford and Fall River. Rather it is a longer line where service is operating for several years on a temporary basis. There are presently unfunded plans to restore service in the future through Easton and Taunton on the former line that was abandoned south of Stoughton, which is two stops south of Canton Junction. In the meantime, the trains now run on the former Middleborough-Lakeville Line, on newly upgraded track the rest of the way to the transfer point and the destination cities on the New Bedford Main or Fall River Branch from Myrics Junction. The route to Fall River essentially follows the original 1846 route of the Old Colony & Fall River RR.
Passenger trains were absent from the entire Old Colony system (except between Providence and Boston, which is now part of the NEC) from 1959 until the present Kingston (and also a short branch to a Plymouth station that was not close to the center of town) and Middleborough-Lakeville Lines opened for restored service in 1997. Because of local opposition and other issues, the Greenbush Line did not get new passenger service for another ten years. The South Coast routes extend the former Middleborough-Lakeville Line and run on it as far as Middleborough. Today the Lakeville station is used only for the seasonal Cape Flyer train to Hyannis on summer weekends, although there has been talk of running peak-commuting trains as far as Buzzards Bay, just short of the Cape Cod Canal and the famous lift bridge that carries the Cape Flyer and local freight trains over the canal.
From South Station, the trains run along the right-of-way of the Red Line subway on a surface-running segment through Quincy to Braintree. They do not serve Back Bay Station. The only current station located in a downtown area is Brockton, although the Bridgewater station is within walking distance of downtown and Bridgewater State, the local college. The next stop after Middleborough is East Taunton, where cross-platform transfers are available. I rode the 6:45 AM departure, the first train of the morning. It was bound for Fall River, so it was necessary to change trains for New Bedford.
The ride between Boston and the outer ends is scheduled to take roughly 1¾ hours, although my train was not due into New Bedford until 8:47. The trainset that was supposed to leave Boston consisted of both single-level cars (two types) and bilevel cars, a mix found only on the T. Due to mechanical issues, all riders were sent to an all-bilevel consist on a dfferent track, which delayed our departure by 15 minutes. Still, there was enough slack in the schedule that we arrived at New Bedford at 8:43. On the way there, there is a station at Church Street, in the northern part of town.
MBTA The TownsNew Bedford and Fall River have much in common, and a single day was only enough time to get the flavor of each of them. Both towns are historic, and both pride themselves on their maritime history. New Bedford has two maritime museums: the New Bedford Whaling Museum (which requires all day to see in detail) and another operated by the National Park Service, which was closed due to the federal government shutdown when I was there. The town also has an active waterfront, with ferries, fishing boats, and some freight-carrying boats. Fall River also has a maritime museum and a waterfront but, instead of major commercial activity, there is Battleship Cove, which is now home to the battleship USS Massachusetts and other vintage Navy ships that are now tourist attractions.
The cities are similar in population: New Bedford has slightly more than 100,000 residents, which Fall River has slightly less than that number. Both cities have highly diversified populations, due in large part to their industrial and seafaring histories. Mills are still standing in both places, and some have been repurposed for commercial or residential use. In addition to immigrants who came to this country to work in the mills, many islanders from the Azores, the Cape Verde Islands, and Madeira formed the large Portuguese communities in both towns. There are also Italian, various Hispanic, other European, and Asian communities. New Bedford was founded by Quakers, and the Black community there has historic roots. Frederick Douglass lived there for a few years around 1840. The diversity in both cities also gave rise to a varied food scene, consisting mostly of locally owned, independent restaurants.
Another feature that the destinations have in common is that the train stations are not located in convenient places. The New Bedford station is about a half-hour walk north of the city center. The mapping software on my tablet directed me to walk along Acushnet Avenue, a grimy industrial street named after the river that flows through the town. It might have been a better idea to walk across a new bridge from the station and over a wide highway to Purchase Street, and take a bus the rest of the way. The Fall River station is also located some distance north of downtown. There is a boardwalk and bike-and-walking trail along the waterfront that goes to the station, but there are presently no wayfinding signs, so access is tricky. There is a proposal to extend the line to Battleship Cove in the future.
Both towns are historic, but their histories are somewhat different.
New BedfordNew Bedford is a beautiful, historic city. Its primary industry in the middle of the 19th century was whaling, although other maritime trades were practiced there, and industry later supplanted maritime trade. Herman Melville spent time in town and used it as the setting for Moby Dick, his classic novel about whaling, which was published in 1851. Many of the old buildings along the waterfront have been preserved, and they are now filled with shops and eateries that cater to tourists as well as locals.
Downtown New Bedford appears to have changed little in the past 100 years, and many century-old (or older) commercial and government buildings are well-kept and still serve their original purposes. The interior at City Hall (originally the library) dates from the early 1900s and features a semicircular elevator surrounded by an old-fashioned cage, run by an operator, and furnished with a bench for the comfort of the passengers making the 20-foot journey between the first and third floors. The residential parts of County Street and other nearby neighborhoods feature an eclectic mix of houses of different Victorian styles, as well as those from a century ago. While the town has its rough spots, there appears to be enough to see and do for an inquisitive tourist to keep busy for three or four days of sightseeing. So, there is still plenty to see and do in New Bedford, especially if the local history museum reopens (which could happen before the end of this year). One of the activities is finding the train station.
Fall RiverFall River is as historic as New Bedford, but not as upscale. There are historic buildings downtown, and the classic library, whose slogan: “The People’s University” is carved into its facade, is one of the most beautiful. More buildings in Fall River have been unsympathetically altered, while more in New Bedford retain their historic accuracy. Still, Fall River has some neighborhoods with historic houses, like New Bedford’s, too. Fall River does not have as large a historically upscale component as New Bedford. Traditional New England “triple-decker” houses, with a different family living on each floor, are common throughout Massachusetts, and they abound in Fall River.
Fall River Chow Mein Sandwich, a genuine culinary atrocityAs in New Bedford, there are several Portuguese restaurants, and the food in the Portuguese communities in Massachusetts is different than that found in the other major Portuguese community in the Northeast: The Ironbound in Newark, N.J.. The other local food specialty is the “Fall River Chow Mein Sandwich,” an example of an unfriendly meeting of East and West found in local Chinese restaurants. If you are used to authentic chow mein from a big-city Chinatown (with pan-fried noodles to give them a chewier texture than lo main noodles have) you won’t find it in Fall River. What you will find is the bottom of a slider-sized hamburger bun with a handful of crisp noodles taken from a bag and placed on top. The noodles are then topped with a brown gravy whose color and saltiness come from a generous amount of soy sauce. The top have of the bun is placed alongside, and the concoction is eaten with a fork, not chopsticks. If you are not from Fall River, you might consider it a genuine culinary atrocity. I did, but I spent $5.00 to try it so you don’t have to.
“Lizzie Borden took an ax and gave her mother 40 whacks… when she saw what she had done, she gave her father 41. Andrew Borden is now dead, Lizzie hit him on the head, up in heaven he will sing, on the gallows she will swing.” Borden was acquitted.Fall River also has a local obsession: Lizzie Borden and the 1892 murders of her father and stepmother. The house where the murders took place is still standing, and today it operates as a combination inn and tourist attraction. For $30.00 you can take a tour of the house, which will include the basement, where the murder weapon (an axe) was found, for an additional $7.00. For a few hundred, you can stay there, if you have always wanted to spend the night in the place where two of the most infamous murders in American history took place. Lizzie was acquitted (some local buffs believe that her privileged background helped produce that result), and she managed to stay in the area and keep her lifestyle going until she died in 1927. The building next door to the infamous house on Third Street is now home to Lizzie’s, a combination art gallery and coffee shop, where the coffee is good and Lizzie is still the main topic of conversation.
Back to Boston HNTBBecause I was booked to go home on Amtrak train 179 (7:47 PM form South Station), I had to catch the 4:41 train from Fall River. It ran through to Boston and connected with a shuttle from New Bedford. Part of the line through Fall River is elevated, so it’s possible to get a last look at the town on the way to Boston, including a brief glimpse of the ships in Battleship Cove on the waterfront. There is one station between Fall River and the East Taunton transfer station: Freetown, about a ten-minute ride inbound. Freetown is the home of a large nature park, but it is not visible from the train.
For this writer, the ride back was a good way to learn more about the railroad form Assistant Conductor Aden Walker, a second-generation railroader whose father is an engineer on the system. He pointed out the interlockings, stretches of single track, and other features of the route as we rode. There are four callouts needed to dispatchers on different parts of the route, ending with Terminal Dorchester, which covers all Amtrak and local trains that serve South Station, as well as other services. Our train was running against the heart of the commuter peak, and we had six meets along the way. Most of the route is rated for 79 mph, but with a 30-mph restriction at Bridgewater. We arrived at South Station at 6:23. Part of the fun during the ride was learning about the route from a young railroader who was following a family tradition and looking forward to a long career on the rails.
The fare between Boston and either New Bedford or Fall River is $12.25 each way, $6.00 for seniors and people with disabilities. There is a lot to see in both cities, and it’s not necessary to take the train to East Taunton and transfer to a train going to the other destination. The Southeastern Regional Transit Authority (SRTA) runs local buses in both cities, with a route between them that runs local service and express buses that run on the highway and take 25 minutes between the two downtown terminals. Buses run until about 9:00 on weekdays, but only from mid-morning until late afternoon on weekends.
There is a lot to see in both towns, especially when the museums are open. It was more pleasant than taking a bus would have been, and riding on a route that has been restored after a decades-long absence is something to celebrate. The towns are closer to Providence than Boston, but trains from Providence don’t go to New Bedford or Fall River, only to Boston and the suburbs on the way there.
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Craig Richardson, who retired in March 2025 as Executive Vice President and Chief Legal Officer at Union Pacific, has rejoined global law firm Greenberg Traurig, LLP in its Denver office as an Of Counsel attorney. The return marks his third stint with the firm; he is assigned to Greenberg Traurig’s Energy & Natural Resources and Rail & Transit practices.
A retired Commander in the U.S. Navy Reserves, Richardson oversaw all aspects of UP’s legal affairs, including federal and multi-state litigation; economic, environmental and safety regulation at all levels of government; labor relations; international trade; and passenger rail. In his capacity as Corporate Secretary, Richardson provided support for the Board of Directors. Prior to UP, Richardson spent nearly a decade as the general counsel of El Paso Corporation’s Pipeline Group, the largest network of interstate natural gas pipelines in North America at the time.
Before joining the military, Richardson pursued a career in national security after obtaining his graduate degree from Princeton University. He began government service as a Presidential Management Fellow, serving at the White House, the State Department, the Pentagon, and the U.S. Embassy in Tokyo. In more than 20 years as a Navy intelligence officer, he provided intelligence analysis and support in operations throughout the globe. On six occasions, he received active-duty orders to the White House National Security Council in connection with presidential initiatives related to Haiti, Bosnia, Afghanistan, and Iraq. After the terrorist attacks of Sept. 11, 2001, Richardson was recalled to active duty in Operations Enduring Freedom and Noble Eagle, where he provided space-based intelligence analysis in direct support of combat operations in Southwest Asia. Along the way, he received his J.D. at Stanford Law School.
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New Jersey Transit has launched two new programs, one designed to improve accessibility for customers with disabilities, the other to supplement revenue through real estate development.
Disability AssistanceNJT is piloting two new apps that it says “will help empower customers with disabilities.” Through a collaboration with the Transit Tech Lab, customers now have access to GoodMaps, which “provides innovative indoor navigation assistance” at Hoboken Terminal; and Convo, which provides on-demand American Sign Language (ASL) interpreting at Newark Penn Station Customer Service and Ticket Offices. A QR scan connects customers to a live ASL interpreter “for seamless communication.”
“GoodMaps is a cutting-edge station navigation platform now available at Hoboken Terminal,” NJT explained. “GoodMaps empowers all visitors—including the visually impaired or individuals with disabilities—with precise, real-time navigation throughout the terminal, making travel easier and more accessible. The Goodmaps app operates similarly to outdoor GPS systems like Google Maps. However, it specializes in indoor navigation, providing turn-by-turn directions via audio or on-screen text. With the GoodMaps app, customers can access real-time directions for trains and buses right from their mobile device. They can also benefit from features designed for users with low vision and mobility challenges, enhancing independence and comfort.
Convo “offers technology for those who use ASL to communicate,” NJT said. “Customers can scan a QR code and connect with a live interpreter who can convey the message between the customer and an NJT employee. This allows a full experience to all NJ customers and opens the door to building better relationships by making communication more seamless.”
“GoodMaps and Convo are innovative applications that deliver practical solutions tp help make our busiest facilities more accessible to all customers,” said NJT President and CEO Kris Kolluri,” who will speak about “Modernizing Public Transport” at Railway Age’s Next-Gen Rail Systems conference in Jersey City, N.J. Oct. 29-31. “Whether it’s navigating a terminal or communicating with staff, these technologies give people more control over their journey and reflect our ongoing commitment to creating a more welcoming transit system.”
“Our collaboration with the Transit Tech Lab shows how innovation and partnership can advance accessibility in public transit” said NJT Head of IT Innovation Luna Katbah. “By combining technology and inclusive design, this pilot empowers visually impaired and hard of hearing customers to travel with greater confidence and independence.”
The Transit Tech Lab is a program established by agencies in the New York City region “to bring private sector innovation to public transit by connecting tech companies with transit agencies to pilot new technologies and solve critical transit challenges. The Transit Tech Lab provides an accelerated pathway for early to growth-stage companies to solve public transportation challenges for the largest transit agencies in North America.”
Revenue Through Real EstateNJT says the agency “could realize as much as $1.9 billion in non-farebox revenue over the next 30 years through a combination of opportunities designed to unlock value from its 8,000-acre real estate portfolio,” according to “The LAND Plan: Leveraging Assets for Non-farebox Dollars” study (download below). Additionally, the plan “could add up to $14 billion in economic impact to New Jersey, up to an additional $1.6 billion in municipal revenues, and create up to 50,000 jobs and up to 20,000 new housing units. From Transit-Oriented Development (TOD) to retail concessions to industrial hubs and advertising, the plan offers a unique opportunity to generate essential funding by leveraging its underutilized assets for development, as well as enhancing its customer experience with retail offerings and advertising. The plan presents a series of potential opportunities and suggested actions for consideration to maximize the associated potential revenue.”
Among the study’s key findings for potential non-farebox revenue over the next 30 years are estimates derived from internal NJT analysis.:
“The revenue generated from these developments—whether residential, commercial, or industrial—will empower NJT to continue delivering lasting, reliable, and high-quality service, and further enrich the communities it serves across New Jersey,” the agency noted.
“This first-of-its-kind plan delivers a roadmap for the next Administration that maximizes non-farebox revenue opportunities for NJT, the State of New Jersey and the municipalities we serve,” said Kolluri, cautioning that the proposed actions “are presented merely as options for consideration—not mandates—to support the plan’s full revenue potential. I have a deep respect for home rule in New Jersey and the legislative process, and look forward to working collaboratively with the legislature, municipalities, and elected officials across the state.”
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Transit industry veteran Ronald Swerdon has returned to Urban Engineers, Inc. as a senior project manager for transit. He will lead major infrastructure initiatives across the firm’s public transit portfolio, overseeing quality and cost management programs and supporting strategic growth initiatives.
“Ron’s work will build on Urban’s longstanding success in providing Program Management Oversight services for the Federal Transit Administration, reinforcing the firm’s reputation as a trusted partner in delivering federally funded, complex transit programs nationwide,” said President and CEO Jim Biella, P.E. “Ron brings unquestioned expertise in transit project management and quality assurance, with a track record of delivering projects across North America. His leadership in cost management, quality programs and program delivery strengthens our firm’s ability to provide safe, reliable and efficient transportation solutions to our clients.”
Swerdon has more than 20 years of experience in the transportation industry, including serving as project manager for the Maryland Transit Administration’s Light Rail Vehicle Overhaul Project, and as Project Management Consultant deputy program manager for the Baltimore Red Line transit megaproject. He previously led Gannett Fleming’s International Transit Quality Group, managing a team of 10 responsible for quality and project management support on numerous projects throughout the U.S. and Canada. His background also includes serving as a Project Management Oversight Contractor for the FTA, where he authored revisions to the FTA’s Quality Management System Guidelines.
Swerdon spent nearly 12 years at Urban from 2005 to 2017, serving in various roles, including quality control specialist and quality manager. During that time, “he was recognized for his expertise and insight into critical aspects of transportation project delivery,” the company said. .
“I’m excited to return to Urban and help advance meaningful transportation initiatives that directly benefit communities,” Swerdon said. “I look forward to working with Urban’s talented teams to deliver projects that improve mobility, enhance safety, and elevate quality of life across the regions we serve.”
Swerdon holds a Bachelor of Science in Industrial Engineering from The Pennsylvania State University and maintains professional certifications as a Project Management Professional (PMP) and an ASQ Certified Quality Process Analyst (CQPA). He is an active member of the Project Management Institute and previously served as treasurer of ASQ’s Design and Construction Division.
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STV, Inc. is providing engineering and procurement support for 13 BE (battery-electric) dual-power locomotives MTA Metro-North Railroad is acquiring from Siemens Mobility. STV is performing design reviews, test coverage and vehicle inspection services for this program.
The 13 BE locomotives are an add-on to Metro-North’s existing contract with STV to procure 33 dual-mode (third-rail/diesel-electric) SC42-DM locomotives from Siemens and are modeled after those units. The dual-power BE version will be able to draw traction power from overhead catenary and batteries. They will be employed in a planned new service in which some Metro-North New Haven Line trains on the Northeast Corridor will operate directly to Penn Station New York, as Amtrak trains now do, instead of into Grand Central Terminal.
Metro-North said these locomotives “will be among the first battery-electric passenger rail vehicles in the U.S. The initiative is part of a larger push in the transportation industry to provide more economical and environmentally friendly options to commuters, while advancing long-term operational goals.”
“Our intimate experience with MTA and Metro-North’s vehicle fleet, specifically the SC42-DM locomotives, has helped deliver this cutting-edge innovative solution for the agency,” said STV Vice President of Vehicle Engineering John Batey, P.E. “In addition to providing more convenient access to New York City from Connecticut and Westchester County, these new locomotives will provide riders with a cleaner, greener option.”
In other STV news, the company acquired Cypress Construction Management, LLC, a program, project and construction management firm headquartered in the Sacramento region. Cypress will now be known as Cypress Construction Management, an STV Company. “Cypress offers comprehensive program and construction management services to public clients throughout California,” STV said. “The firm is recognized for its expertise in design-build delivery and for leading transformative projects in education, healthcare, justice and public facilities.
“Acquisition of Cypress Construction Management not only expands our capabilities in Northern California, it also advances the goals set in our Strategic Plan,” said STV CEO Greg Kelly. “We’re excited to welcome Cypress to STV during this time of tremendous growth and momentum.”
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POTUS 47 on Oct. 15 said that $16 billion in federal funding for the project to build the New York/New Jersey Hudson Tunnel under the Hudson River, a key component of the Gateway Program, has been “terminated.” His pronouncement, reported by The New York Times, came two weeks after its federal funding was suspended at the start of the government shutdown. Washington, D.C.-based Politico has debunked that pronouncement.
The Times reported that POTUS 47 “abruptly” announced this during a White House press conference that addressed a variety of issues. The Times went on to report that POTUS 47 took aim at Sen. Chuck Shumer (D-N.Y.) with the statement, “It’s billions and billions of dollars that Schumer has worked 20 years to get. Tell him it’s terminated.”
The Times also reported Schumer’s response to the news from POTUS 47. “Gateway is the most important infrastructure project in America—period. [POTUS 47] trying to kill it again is pure spite and stupidity. It’s petty revenge politics that would screw hundreds of thousands New York and New Jersey commuters, choke off our economy and kill good-paying jobs … [It’s] vindictive, reckless and foolish.”
“It was not immediately clear what [POTUS 47] meant and whether Gateway—as well as another major infrastructure project, [Phase 2] of the Second Avenue Subway—had been stripped of federal funding,” The Times noted. “Both projects depend heavily on federal grants and were both explicitly mentioned in the announcement of the funding pause two weeks ago … Gov. Kathy Hochul of New York said the Administration’s decision hurts roughly 15,000 construction jobs supported by both projects and threatens the broader region and beyond. ‘If this system of transportation collapses, the Northeastern economy and the economy of the country collapses, so why be so shortsighted?’ Governor Hochul said in an interview on MSNBC … The White House referred questions to the Office of Management and Budget, which did not immediately respond to a request for comment.”
“Massive NY tunnel and subway projects still alive, despite [POTUS 47] claims,” Politico reported Oct. 16. “USDOT has no plans to end the multibillion-dollar Gateway tunnel and Second Avenue Subway projects, an Administration official told Politico a day after the President said they had been ‘terminated.’ [POTUS 47’s] remarks also appeared to contradict Transportation Secretary Sean Duffy’s comments last week that the projects are ‘important’ and should ‘move forward fast.’ The White House and DOT did not respond to a request for comment. Stephen Sigmund, a spokesperson for the Gateway Development Commission, and Lucas Bejarano, an MTA spokesperson, declined to comment. As of Thursday (Oct. 16) morning, the Gateway project team has not gotten new communication from the Administration, and construction work on the tunnel continues.”
POTUS 47 has also targeted Chicago’s mass transit systems, CTA and Metra, for funding termination.
Gateway Development Commission CEO Tom Prendergast is keynote speaker at Railway Age’s Next-Gen Rail Systems conference, Jersey City, N.J. Oct. 29-31. May 2025: The Hudson Tunnel Project team reached the halfway point of the HYCC-3 project on schedule. More than 400,000 tons of soil and one million gallons of water have been removed. GDC photo.Railway Age Editor-in-Chief William C. Vantuono contributed to this story.
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National Mediation Board member Deirdre E. Hamilton, a Democrat, was fired Oct. 14 by POTUS 47, making her one of many legally questionable independent regulatory agency terminations by the POTUS. Hamilton’s departure leaves the three-member NMB with one Republican (Chairperson Loren E. Sweatt) and one Democrat (Linda Puchala).
Hamilton told Railway Age by phone Oct. 16 that she is exploring her legal options, as the firing—much as with that of Surface Transportation Board (STB) member and Democrat Robert E. Primus and Democratic members of the Federal Trade Commission (FTC) and National Labor Relations Board (NLRB)—are contrary to statute.
Although Hamilton’s term expired in June, the NMB’s statute provides that members may continue to serve beyond term expiration until a successor is Senate-confirmed. (Note that the STB statute provides STB members may serve a maximum of 12 months following term expiration. Primus was in the midst of second term.)
Primus, as well as the FTC and NLRB Democrats terminated by POTUS 47, have filed separate lawsuits challenging their terminations. The FTC and NLRB Democrats were granted injunctive relief by a federal district court, nullifying their terminations, but the Supreme Court delayed the effectiveness of the lower court ruling pending further litigation—the law not settled as to court authority to order reinstatement.
The NMB is an independent (from Executive Branch) federal regulatory agency that administers the 1926 Railway Labor Act (RLA), which governs labor relations in the airline and railroad industries. It was created in 1934 by amendment to the RLA and its members are nominated by the POTUS and confirmed by the Senate for three-year terms, with no limitation on the number that may be served. (STB, by contrast, limits members to two five-year terms.)
The NMB’s primary function is to minimize work stoppages through dispute resolution procedures such as mediation and arbitration. It also resolves union-representation disputes and maintains a list of qualified arbitrators from which a POTUS chooses for appointment to Presidential Emergency Boards that investigate and make non-binding recommendations for dispute resolution following a collective bargaining impasse.
Unlike the STB, where the POTUS designates the chairperson, the NMB chairperson rotates annually. When reached by phone Oct. 16, NMB Chairperson Loren Sweatt told Railway Age, “I have no comment [on Hamilton]. Have a good day.”
Hamilton was nominated by President Joe Biden and confirmed by the Senate in December 2021. She previously was a staff attorney with the Teamsters Union, working exclusively in its Airline Division, and earlier was a staff attorney with the Association of Flight Attendants. Hamilton earned an undergraduate degree from Oberlin College and a law degree from the University of Michigan.
Sweatt, with a long congressional staff career including at the Senate Health, Education, Labor and Pensions Committee, was Senate-confirmed in 2024 following nomination by Biden.
Puchalla, previously an NMB mediator and president of the Association of Flight Attendants, was first nominated by President Barack Obama and Senate-confirmed in 2009. She is among the longest serving of NMB members. The longest serving was Republican Francis A. O’Neill Jr.—1947-1971—who was nominated by President Harry S. Truman and renominated by Presidents Dwight D. Eisenhower, John F. Kennedy and Lyndon B. Johnson.
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Given that the new North Star of growth I gave our rail industry is being used to justify an alteration to the course of its future, I must break my annual publication cadence to deal with this fork-in-the-road moment. Credit to Railway Age Editor-in-Chief William C. Vantuono for maintaining this publication’s place as the rail ideology octagon to have this necessary debate for the future of this industry among railroaders.
The stakes are higher now, and the pressure and failure consequences are real. So, it is time to change the status of rail egos, reputations, years of service, budgets, relationships and career legacies to interchanged-delivered. We must focus on fact, truth, honesty and intellectual depth: May the most meritorious rail track path win its future.
To deal properly with this situation and its complexity, we will use history, logic, reason, fact and real rail honesty. To start the growth our rail industry needs to prosper, we need to start a new fire in its firebox. As usual, please clean your intellectual rail palates before we proceed, ideally with a glass of water to bring with you, for this is a process, and the boiler will be very hot. When we turn on the steam to power the locomotive forward, we will have this new engine prepped for service with the answer to the question: how to get the American rail industry, and the North American rail system, to grow.
To begin, we must unfortunately deal with my least favorite rail acronym, “PSR,” for despite what I thought was my successful deletion of its use and ideas from our industry’s strategic lexicon, its spirit, like a ghost, continues to haunt and distort its future. We must correct its record for this industry to begin growing and dump the ash of this old fire into the ash pan to make space for the new tender and coal that will fuel our new fire.
How did PSR happen? Specifically, why is there a belief that it was a successful financial management strategy for Class I railroads to be admired? Even more specifically, what enabled railroads to generate and realize real higher cash flows and profits, and find themselves ranked as one of the most profitable U.S. industries in 2019? The rail industry’s future, spirit, structure, hiring decisions and reputation have all been altered by these financial results. Despite the sheer quantity of customer shutdowns, emergency situations, bad news stories and regulatory attention, it still did succeed in boosting rail profits to their highest levels in rail industry history at the time. How? And why?
The answer: The Common Carrier Obligation, and the liability protections its current definition provides railroads. Specifically, the vague word that currently helps define the standard for U.S. rail service quality: “reasonable.” The litigious nature of this U.S. rail policy issue is complex. But Canada has already dealt with this issue in the directionally correct way.
Canada’s Transportation Modernization Act of 2018 instructed its railroads to provide “the highest level of service” to fulfill their obligations, while taking into account railroad and shipper concerns.
Let’s focus on this idea of “highest level of service.” This is what railroads control. This is the realization and execution of our new North Star of growth: If railroads deliver the highest level of service they possibly can to their existing customers, those customers will entrust and pay railroads to move more of their freight. It is that simple of an idea, plan and strategy: maximize the happiness of our customers by earning their business with experiential satisfaction and merit. Time to load the tender for use in starting our new fire.
What is the current reputation of the rail industry as it exists in our society today? What did PSR truly do to this industry? What do non-railroaders, the general public, the venture community, the tech industry and even industry veterans themselves honestly think of our rail industry as it exists today? And most important, what does the youth of this industry think? The younger generation of railroaders are not counting down the days until retirement, but instead have been selected, groomed and positioned to be responsible for, execute and lead railroads into the next century. They are the railroaders whose responsibility it will be to execute the proposed Union Pacific-Norfolk Southern merger and actually do the work required to integrate two of the U.S.’s largest rail networks into one. The railroaders whose jobs it will be to help get that beast to function properly without an operational implosion. The railroaders whose professional futures, lives and families will be impacted because of this merger’s alteration of our rail industry forever, especially if it fails.
The youth of this industry does not care about professional legacies. We do not care about corporate-speak. We do not care about a short-term activist investor’s pressure campaign. And we do not care about this industry’s ways of old. Our concern is its future, not its past, specifically, its results, its growth, its well-being, its prosperity and its return to operational, economic and reputational dominance. Elite railroading is what we want. Prideful railroading. A restoration of respect and admiration for what we do daily for our industry, our nation, our economy and our society. On the tracks, in the office, on the road, in the hotels, in the locomotive cabs, in the mechanical shops, in the boardrooms and on the rails, every day, every night, every week and every year, in all weather conditions. We want a hot fire burning for the boiler, at the heart of this industry, within its locomotive, powering it forward, with fresh coal. With the ash of our old fire now dumped, and our tender loaded, it is time to ignite it.
The Canadians are directionally correct: Policy that eliminates bad service as being an operational option is needed. This industry’s worst temptations and behavior, exemplified by the Class I-caused chaos during the PSR era, are enabled when these huge, bureaucratic and rigid entities, like runaway trains, cannot stop themselves from smashing what the railroader I most respect in my generation calls “the railroad easy button”: relying on rules, regulations, market power, a lack of accountability and complacency to grow instead of doing the hard and necessary work of fixing the core problems to earn as much of their customers’ business as possible by providing them with the highest quality operational service experience.
To be clear, it is not easy to run these railroads. Railroading is not easy. These are fundamentally complex operations and organizations spanning large geographic territories, with large machinery, tens of thousands of employees, operating in all weather conditions, with lots impacting their operational execution they do not control. This is not easy. Especially when the still-massive majority of rail vehicles moving along the tracks today lack the real-time GPS monitoring required for railroads to operate at an elite level. Time for the new coal.
The claim of this merger is that by eliminating the apparently poor inter-carrier coordination challenge of executing a smooth and fast interchange at gateways that have historically struggled with congestion (despite CREATE, the Chicago Region Environmental and Transportation Efficiency project under way to fix Chicago), this newly formed railroad will be able to provide a higher quality service product to a select customer base that allegedly needs that lane’s transit time reduced by one to two days i to justify allocating more of their existing freight, currently moving today by truck, onto this rail route. Doing this will apparently result in “$1.75 billion in revenue ‘synergies’ in year three primarily from the ‘watershed’ truck conversion, better service, more options for customers, and rail industry growth.” The belief in this plan is so deep that UP will spend $85 billion to bring it into reality. The confidence is also so high in this merger’s legality, regulatory approval and industry future track path merit that UP committed to a $2.5 billion dollar break-up fee if it fails. This merger also will apparently generate record-setting advisory deal fees for the banks that were retained to advise and assist in seeing this merger through. More coal.
In June 2025, RailPulse, a rail industry-owned tech startup of which Union Pacific is a part owner, testified before the U.S. House of Representatives T&I Subcommittee on Railroads, Pipelines, and Hazardous Materials stating that getting to full railcar fleet adoption required “additional investment” and therefore “urged Congress to provide financial incentives to help railcar owners equip railcars faster.” Put differently, RailPulse urged Congress to provide additional taxpayer dollars, via resources like CRISI grants, to help justify the cost of equipping all railcars on the rail network with GPS. Commercial-grade GPS devices can cost anywhere from $50 per sensor to a few hundred dollars. While not inherently wrong, this request seems contradictory and hypocritical, given the execution, justification claims, apparent urgency of and the price of this merger.
Why would we not finish equipping the railcar fleet with GPS to see if that helps fix interchange coordination (hint: it will) faster before spending $85 billion on a peer railroad? The only mode of commercial transportation that does not fully use, embrace or view real-time location information for all vehicles as an operating requirement, in 2025, is the rail industry. This is a fixed cost of doing business in our modern transportation economy now. It is not an “investment” decision.
This means that the Canadians again are correct, specifically Keith Creel. He, Joe Hinrichs and Katie Farmer are (and now unfortunately were given Joe’s disgraceful replacing) all right: There are other ways and options to improve interchange coordination and performance before needing to merge. While this merger may be an option, it is not the best, easiest, smartest or fastest immediate option available. More coal.
Why? Zoom out. Ignore the names, the people and the color schemes. Let’s look at the rail system in its entirety. Regardless of trackage rights, ownership and operating rules, there are bedrock facts that are true. First, the track network is one physically connected network. Second, like a stone thrown into a pond, there is a ripple effect on the global network when a disruption occurs anywhere on it. This concept is called schedule delay propagation: Like a wreck on a highway forcing cars to slow, when a disruption occurs on a rail network, regardless of the cause, the schedule delay causes “traffic,” i.e. other trains on the system, getting delayed.
For a railroad, unlike a city street network with alternate route options available to route around the delay by turning left or right on a side street, rail delay schedule propagation is more rapid and consequential. Like a glass cup is more prone to breaking and shattering when dropped than a plastic one, rail network delay propagation has a more disruptive impact on the traffic flows of a rail network than a car wreck does on the flows within a city. While a traffic jam may be caused by a wreck on a street, with advance knowledge a delivery driver can take a different route to avoid it. Doing so mitigates the impact of the blocked street and maintains on-time performance quality for the driver, and for the delivery service. A rail network does not have that physical luxury.
The best way to grow a delivery service is to maximize and optimize for the only delivery service customer satisfaction quality metric that matters: on-time performance. Our rail system as it exists today does not and currently cannot do this. But it could and should. Why? Our final scoop of coal into the firebox. It is time to begin releasing the power and potential of U.S. rail.
Railroads have a reputation of being abrasive, unreliable, complacent, shortsighted, myopic, monopolistic and decaying companies dominated by old ideas, old ways and legacy technology they never want to change and therefore cannot grow. While harsh, I believe this industry has much greater potential. The rail system today is fragmented into isolated regional operating fiefdoms, like ancient castles, with closely guarded moats and gates. They seem to believe their castle moat, which is isolation and control, via a preference of ownership and self-sufficiency of almost all mission-critical systems, innovations, business processes and spending priorities, will not have to meaningfully change, despite the decade of decline, to ignite trajectory-changing growth. That belief is wrong. Many customers have already given up on rail. Some of the best minds in the industry have left or are leaving. Rail integrity has been seemingly lost, and its reputation has been damaged. No one really wants to work for railroads anymore. The PSR-caused non-financial costs and decay in morale, reputations, relationships, turnover, layoffs, experiential knowledge loss, perceptions, trust, and the spirit of this industry that made it so great when I joined it, have been priceless, is real. When leaders fail to or are not allowed to lead properly, the long-term consequences are severe. This is the rail industry right now. And this merger is the surrender, not securing, of our industry’s growth future. Our fire is ready. Time to start the air compressor and unleash the steam.
Drop the fight over the common carrier obligation. Support an updated and quantified common carrier obligation, with a reasonable but ambitious on-time performance target as the quantification metric used to define the standard for rail service quality in not only the U.S. but also Canada and Mexico. Unlike this $85 billion merger, the upfront cost of doing this, to all railroads, is basically $0. Yes, it will require investment to adapt, evolve and adjust to the new standard, but this investment is no longer an option if rail ever wants to meaningfully grow. The decision to support doing this can be made immediately and communicated accordingly within a week from reading this. Yes, the industry will also need to evolve technologically. But the down payment for this digital evolution has been made, and this evolution has been under way for years thanks to the rail tech ecosystem. And it will pay off.
That one signal to the entire market, and that one decisive action, by the employees who are largely and currently responsible for this industry’s future prosperity, will ignite the growth era, and secure our rail industry’s future forever.
Railroads, and specifically rail operational leadership, don’t want or like this kind of accountability. The railroads have fought this update litigiously with intensity for a long time. But growth must be earned. And accountability is not only needed but also required for growth. Without real action with conviction toward change and progress, rail customers will never be the advocates the railroads need in the marketplace to grow. This mindset must change. Why? Do you hear the steam?
Meritorious, transparent and accountable railroading is required to, and will, unleash rail growth. Elite railroading is required to grow. To a rail customer, or to anyone purchasing the services of any delivery service, the true thing you want is for it, whatever it may be, to arrive on time. Need to catch your flight? You plan how early you need to be there and plan your delivery service trip request from a service like Uber accordingly, to be there on time. The speed of the transport is not what matters above all else, nor will a reduction in a few days at a few interchanges spark massive growth for one railroad, much less the rail system, or its ecosystem, in its entirety. The rail industry’s most potent and exploitable marketplace advantage is not speed, it is reliability. It is on-time performance. But that is not possible without system-wide real-time location information, which exists today in every other modal transport option on Earth thanks to cellphones. Had UP leadership understood this, RailPulse would not be asking Congress for taxpayer dollars for GPS. It would be paying for it themselves.
The new rail tech industry formed because of and in the era of PSR. The constriction of spending left rail technological progress underserved and undeveloped. Barely any innovative and new technology was being built to help railroads grow with. No risk for progress was happening. Young railroaders like me saw this and filled the gap. Short lines enabled us to do so. We build and explain what railroads need to use to grow, not what they want to use to operate as they always have. We aren’t disrupting for disruption’s sake. We aren’t some of the most vocal railroaders in this industry for no reason. Our futures are already extremely attached to this industry’s prosperity. Until Class I railroads feel the same healthy pressure we do to improve, build and progress, they never will, and this industry’s growth future will be lost.
The PSR era, and the financial results of the PSR era, would never have happened if railroads were liable, at some reasonable level, for the many severe and expensive operational failures they caused. Until real accountability exists in the U.S. rail system, forcing railroads to identify and fix their hardest problems, the businesses will continue to exploit and at worst abuse their worst monopolistic market power temptations, like runaway trains.
To insert absolutely necessary rhetorical precision into this historical moment: UP will have more options; no one else will. UP will grow, the industry will not. This is not inherently wrong, for JimVena is doing his job. But words matter, just like the one in the Common Carrier obligation that holds this industry back: “reasonable.”
In July 2025, the 7th Circuit Court vacated the STB’s rulemaking attempt to enforce objective reliability standards via reciprocal switching. Quantifying the Common Carrier obligation with on-time performance, and holding U.S. railroads to a high-quality service standard, is the correct and only answer to the question: how to get the American rail industry, the North American rail system, and the entire rail ecosystem full of stakeholders who want it to prosper, to grow. Not a merger. Time to get rolling and blow the train horn.
Alex Luna is the Founder and CEO of AlphaRail, a 2020 Creative Destruction Lab Quantum Computing Stream graduate and the only rail-focused founding member of the United States Quantum Economic Development Consortium (QED-C). Alex started his rail career as an intern on Norfolk Southern’s Ag Marketing team. After modeling and renewing $1.6 billion in rail customer contracts as the Market Manager for Norfolk Southern’s sweeteners commodity franchise, the railroad’s’ most profitable agriculture franchise, Alex left to start AlphaRail to bring high performance algorithmic and computing technology into the rail industry to improve the quality of rail service that rail customers experience. Alex holds a BS in Supply Chain Management and Business Analytics from The University of Tennessee, Knoxville, an MBA from Vanderbilt University, and Venture Capital Executive Education from The University of California Berkeley. He also serves on the Use Case Technology Advisory Committee for the US QED-C.
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Schaumburg, Ill.: Railway Age’s annual Women in Rail Conference has concluded its second day. At the Awards Luncheon Sponsored by CN, we recognized the outstanding honorees of Railway Age’s 2024 Women in Rail and RT&S’s 2025 Women in Railroad Engineering award programs.
RT&S 2025 Women in Railroad Engineering honorees attending the conference.The post Women in Rail Honorees Recognized at 2025 Conference appeared first on Railway Age.
Total U.S. weekly rail traffic was 498,462 carloads and intermodal units, down 1.3% compared with the same week last year, the Association of American Railroads (AAR) reported for Week 41, ending Oct. 11, 2025. However, U.S. railroads realized a 2.8% overall gain through 2025’s first 41 weeks.
Total carloads were 224,562, up 1.2% compared with the same week in 2024, while U.S. weekly intermodal volume was 273,900 containers and trailers, down 3.3% compared to 2024.
Five of the 10 carload commodity groups posted an increase compared with the same week in 2024. They included nonmetallic minerals, up 1,985 carloads, to 32,448; coal, up 605 carloads, to 58,858; and chemicals, up 548 carloads, to 31,048. Commodity groups that posted decreases compared with the same week in 2024 included metallic ores and metals, down 816 carloads, to 18,456; miscellaneous carloads, down 324 carloads, to 8,923; and grain, down 85 carloads, to 23,434.
For the first 41 weeks of 2025, U.S. railroads reported cumulative volume of 9,101,809 carloads, up 2.1% from the same point last year; and 11,126,167 intermodal units, up 3.4% from last year. Total combined U.S. traffic for the first 41 weeks of 2025 was 20,227,976 carloads and intermodal units, an increase of 2.8% compared to last year.
North American rail volume for the week ending Oct. 11, 2025, on 9 reporting U.S., Canadian and Mexican railroads totaled 333,005 carloads, up 1.5% compared with the same week last year, and 359,462 intermodal units, down 0.8% compared with last year. Total combined weekly rail traffic in North America was 692,467 carloads and intermodal units, up 0.3%. North American rail volume for the first 41 weeks of 2025 was 27,844,550 carloads and intermodal units, up 2.3% compared with 2024.
Canadian railroads reported 94,937 carloads for the week, down 3.2%, and 70,657 intermodal units, up 0.8% compared with the same week in 2024. For the first 41 weeks of 2025, Canadian railroads reported cumulative rail traffic volume of 6,639,159 carloads, containers and trailers, up 1.9%.
Mexican railroads reported 13,506 carloads for the week, up 70.7% compared with the same week last year, and 14,905 intermodal units, up 60.5%. Cumulative volume on Mexican railroads for the first 41 weeks of 2025 was 977,415 carloads and intermodal containers and trailers, down 5.0% from the same point last year.
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Anacostia Rail Holdings subsidiary Pacific Harbor Line (PHL) has entered into a development agreement with Remora, a Michigan-based climate technology startup that is pioneering mobile carbon capture for freight rail and trucking. The partnership “aligns with PHL’s long-standing commitment to innovation, environmental stewardship and practical pathways toward decarbonization of freight rail operations.”
PHL, which provides rail transportation, maintenance and dispatching services to the Ports of Long Beach and Los Angeles, is an investor in Remora. Anacostia President and CEO Peter A. Gilbertson, serves as an advisor.
“We’re building this technology not only to meet environmental goals, but to make it financially compelling for railroads,” said Remora Co-founder and CEO Paul Gross. “Pacific Harbor Line’s support and Anacostia’s leadership will be instrumental as we bring carbon capture to freight rail.”
Progress Rail EMD® Joule battery-electric locomotive testing at PHL. Anacostia Rail Holdings photo.“We are proud of our progress toward zero emission operations, which started when we acquired Tier 2 (lower emission) locomotives some 16 years ago,” said PHL President Otis L. Cliatt II. “That initial success was followed by an evolution to Tier 3+ locomotives and then a conversion to renewable diesel fuel which cut CO₂ emissions by some 70%. PHL also operated a zero emission (ZE) EMD® Joule battery-electric locomotive from Progress Rail in test service, and we currently operate a Tier 4 locomotive. We plan to upgrade our entire fleet of Tier 3+ locomotives to Tier 4 using proven after-treatment technologies. This partnership with Remora gives PHL an opportunity to help shape a technology that could significantly reduce freight rail emissions while creating new economic value for operators. We’re proud to support innovations that have the potential to benefit the entire rail industry.”
“For PHL and Anacostia, carbon capture adds yet another option in our efforts to slash emissions,” said Gilbertson. “In addition to reducing CO₂ emissions, Remora’s technology elevates connected locomotives to EPA Tier 4 standards and also enables the reuse of carbon in other commercial applications. The U.S. is facing a CO₂ shortage, even as trains and trucks emit roughly 375 million tons of it every year. Remora’s solution captures that CO₂, converts it to liquid, and sells it to industries such as farming, food production, and manufacturing, sharing the revenue with its transportation partners.”
Founded five years ago, Remora designs and manufactures carbon capture technology for rail and trucking. Its technology transforms exhaust into beverage-grade carbon dioxide sold to breweries and greenhouses, generating revenue while reducing emissions. Founded in 2020, Remora has raised $117 million in venture capital and has partnered with major carriers including DHL, Ryder, Union Pacific and Norfolk Southern. The company said its early truck-based pilots “informed a redesigned system that eliminates backpressure, increases efficiency and captures up to one ton of CO₂ per hour at locomotive scale.”
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The Commuter Rail Coalition (CRC) has gotten behind HR 5697, the Passenger Rail Liability Adjustment Act of 2025, a bill that would modify current statute to allow passenger railroads 90 days to secure additional excess liability insurance coverage when the federal cap is next scheduled to be inflation-adjusted in 2026.
Rep. Troy Nehls (R-Tex.) a member and former Chairman of the House Transportation & Infrastructure Railroads Subcommittee, introduced the bipartisan bill, whose original cosponsors are House Railroads Subcommittee Ranking Member Dina Titus (D-Nev.) and Seth Moulton (D-Mass.). Nehls “has maintained his support of our efforts to find a solution to the problem posed by the current law, which gives commuter railroads just 30 days to obtain additional insurance coverage when the federal liability cap is inflation-adjusted every five years,” CRC noted. “Securing coverage is a complex process that requires much more than 30 days to complete. If commuter railroads are unable to secure coverage within the 30 days, then they will have to cease all operations. We estimate that the next increase will be in excess of $70 million when the U.S. Department of Transportation announces the newest cap sometime in early 2026. The cap is adjusted by applying the Consumer Price Index.”
The CRC has issued an action alert requesting all railroads engage their federal elected representatives in support of HR 5697. “It is imperative to demonstrate clear and widespread support for this legislation,” the organization noted. “It would be an even stronger endorsement if elected officials would become cosponsors of the legislation. CRC is also lining up support in the Senate. Expressions of support should be directed to the Senate Committee on Commerce, Science and Transportation. We are pushing for the inclusion of a permanent solution to this problem in the upcoming reauthorization of the federal surface transportation programs. Reauthorizing legislation will be necessary when the current Infrastructure Investment and Jobs Act (IIJA) expires Sept. 30, 2026. The CRC has expressed its support for a permanent solution with the House Committee on Transportation and Infrastructure, as well as the Senate Committee on Commerce, Science and Transportation. We are advocating for a modification in the statute that would provide for the cap to be calculated every four years instead of the current five, while allowing a full 365 days for implementation of the new cap. This would allow all railroads to acquire additional coverage in the normal course of business when they complete their annual renewals.”
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New ways to pay: New Jersey Transit says it working “to transform the customer experience through innovation and technology,” showcasing fare collection modernization efforts during an event at its Secaucus Junction Station:
“Our fare modernization program is focused on making every step of the customer journey more seamless, efficient, and secure,” said NJT President and CEO Kris Kolluri, a featured speaker at Railway Age’s Oct. 29-31 Next Gen Rail Systems Conference. “From advanced 3D fare gates to expanded contactless payments, we’re improving the way customers move through the system with greater ease and reliability while protecting revenue.”
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CN and Congebec, a Canadian logistics provider of distribution services for the food, retail and packaged goods industries, are collaborating on a “state-of-the-art” cold storage facility at CN’s Calgary Logistics Park in Alberta.
“Strategically located within CN’s integrated logistics hub, the facility will be designed to be in better proximity, accelerating the conversion of temperature-sensitive goods between rail and warehouse,” CN said. “Customers will benefit from a more reliable, timely and efficient service to get their perishable cargo to domestic and international markets. Developed with CN’s construction partner Matthews Tribal, the new Congebec facility will seamlessly integrate cold storage, cross-docking, transloading, and first- and last-mile services with CN’s established refrigerated programs. The proximity to rail of this new facility will also help streamline transfers, reduce dwell times, and ensure temperature-sensitive goods move more efficiently.”
“This innovative solution addresses long-standing challenges in the cold supply chain by enabling faster container flows, flexible on-demand capacity, and more reliable delivery schedules,” CN added. “This initiative will connect producers, retailers and logistics providers in Alberta and across the cold chain, reinforcing Canada’s food distribution network and global competitiveness. With this project, CN and Congebec are redefining cold chain logistics in Western Canada—giving customers greater speed, reliability, and confidence in moving their products across North America and into global markets.”
“This initiative with Congebec reflects CN’s commitment to building smarter, more sustainable supply chains, said CN Vice President, Intermodal Dan Bresolin. “This new hub will give our customers new options to move their temperature-sensitive products with greater efficiency, reliability, and reach, helping them compete in markets across North America and globally.”
“Working with CN on this new Calgary facility is a natural extension of our mission to provide reliable, sustainable cold chain solutions,” said Congebec Transport President Richard Patenaude. “By combining Congebec’s expertise in temperature-controlled logistics with CN’s expansive rail network, we’re giving customers the confidence to move their products anywhere they need to go, with efficiency and care.”
“We are proud to contribute our development expertise to a project that sets a new standard for cold chain logistics,” said Matthews Tribal Vice President, Development Carleigh Oude-Reimerink. “This facility represents the kind of genuine partnership Matthews Tribal believes in—built on trust and creating lasting value. By combining our Calgary presence with CN’s network and Congebec’s cold chain expertise, we’re helping customers overcome real challenges while supporting long-term growth in Western Canada.”
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The potential merger between Union Pacific and Norfolk Southern has stirred up lots of talk and speculation around its possible impact, from safety issues to job opportunities and other likely scenarios impacting the railroad industry. However, what a lot of folks are not discussing is the major disruption this merger will cause to local communities along its route, including one major city that’s played a central role in the nation’s connection of freight railroad–Chicago.
Throughout the course of my 54 years of experience in transportation and rail, including 37 years with CSX, I’ve witnessed or been directly involved in nine freight rail mergers, and the most common theme among each one can be summed up in one word: disruption.
Merging railroads of this scale brings significant impact and complexity. On one hand, it can lead to long-term cost efficiencies for suppliers and manufacturers that rely on rail to transport goods across the country, and the short-term effects are often positive with job creation to support construction and integration efforts. On the other hand, the most lasting impact and disruption of these mass-scale mergers will be felt by the communities located along the expanded or newly built rail lines and tracks.
Increased traffic on some lines that will create congestion that is felt by local communities in the form of increased gate down times at crossings, noise impacts of additional horns where there are no quiet zones in place, locomotive noise impacts, and an increase in slowed or stopped trains at congested locations such as entrances to yards or at-grade crossings with other railroads. Not to mention the potential impacts to commuter and intercity passenger service that shares the tracks with the freight railroads of Union Pacific and Norfolk Southern.
In taking a close look at local communities along this rail network across the U.S., there’s a variety of factors that can impact residents and neighborhoods ranging from environmental damage, safety concerns, noise pollution, traffic congestion and disruption, as well as socioeconomic displacement. In working in Chicago during the CN acquisition of the EJ&E, the impact on communities such as Barrington or Lynwood, in Illinois, created traffic pattern changes that increased train traffic by up to 400%. These communities and others alike were able to secure some concessions from the railroad through the STB process that allowed them to construct rail grade separations, thereby easing some of the impacts on their communities.
One metropolitan area with numerous surrounding communities that will feel the effects and disruption the most from this merger is Chicago. This merger will mean even more trains passing through already one of the major transportation hubs in the Midwest. The merger has the potential to also cause further disruption to residents and commuters who are already waiting sometimes more than 10 minutes for a freight train to cross a track—despite Illinois law prohibiting the blocking of crossings for this amount of time. The influx of freight trains through Chicago has the potential to cause substantial delays in local commuters’ schedules and inconvenience their daily lives.
This combined merger will also interfere with commuter rail, leading to delays for passengers on Chicago’s Amtrak and Metra rail lines, even though by federal law Amtrak passenger trains must be given preference over freight trains.
One initiative that resulted from the multiple mergers in the 1990s and culminating with a record snowstorm in January 1999—the Chicago CREATE program—is a great example of how a public-private partnership worked to improve the way passengers and goods are transported via rail. In my experience working on the CREATE program, I learned firsthand from meetings with local communities what impact freight trains had on them. In this case, the Union Pacific Geneva Subdivision and the Norfolk Southern Chicago Line are both expected to see additional train traffic.
During my experience as the Director of the Chicago Transportation Coordination Office (CTCO) in Chicago from 2003-2008, an incident at any point in the Chicago terminal had an almost immediate effect on trains not only in Chicago but a domino effect on trains enroute to Chicago. While the merger may eliminate some interchanges between railroads in Chicago, it will create new interchanges and modify others, resulting in changes to every railroad operating plan in Chicago. In addition, shippers that today use a specific railroad or multiple railroads will look to improve their costs and transit times, which will create more disruption that will take months to sort out.
During the CSX/NS acquisition of Conrail in 1999, when I was the Director of Train Operations in Chicago for CSX, up until the actual date of the split, it was unknown which railroad any shipper was going to use, and many shifted multiple times afterwards to avoid what I termed at the time “rolling congestion” where shippers would transition to the less-congested railroad, only to find out that the shift impacted both railroads, and the level of congestion would ebb and flow for up to one year afterwards. While the UP+NS merger is different than when CSX and NS “carved” up Conrail, shippers still have the ability stick with their current options or look elsewhere.
Before this merger gains approval, municipalities in its path should start planning sooner rather than later. One way to do so is to commission a study to better understand how the extended, enhanced or new railroad line will impact its community. For example, a detailed operating and infrastructure study can show whether infrastructure that needs to be built, such as a bridge to allow trains to travel under or over major streets and highways to reduce the amount of impact to residents from a traffic perspective. At the same time, any crossing closures can assist in the development of a Quiet Zone, which would also improve the quality of life for a community. This type of knowledge will also help in negotiations with the rail giants to help potentially offset the infrastructure costs to the municipality.
What I’ve learned in my tenure working for some of the nation’s biggest freight rail companies, like CSX, and on projects with other Class I railroads including CN, CPKC, NS and UP, is that it typically gets significantly worse before it gets better for the communities involved. My best advice for municipality leadership is to act early, stay informed and advocate consistently for your community’s interests.
Earl Wacker is a Director in RINA North America’s Rail & Transit Practice and has been with the firm since 2020. He has been involved in the railroad industry in North America for more than 50 years. With 37 years’ experience at CSX Transportation, Inc. (CSXT) and its predecessors, he worked in every aspect of the railroad business. In 2008, Wacker retired from CSXT and took a position at AECOM (URS), where he was responsible for all railroads in North and South America. He retired from AECOM in 2019 and formed his own company to consult with railroads and other entities on issues ranging from operating coordination, capital project management, rules compliance, etc.
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On Oct. 14, 2025, the 45th anniversary of the Staggers Rail Act of 1980 signing, the Association of American Railroads launched a new website, “Harley Explains,” hosted by a folksy, bearded, ponytailed, blue jeans-and-leather-jacket-clad animated character named—who else—Harley, who looks like he just hopped off his Harley Davidson at a railroad crossing. Named after the late Rep. Harley Orrin Staggers, for whom the Staggers Rail Act was named out of respect, this Harley doesn’t gesture with his hands very much, like the late Jim Florio, the Italian-descent New Jersey congressman who actually authored and near single-handedly managed the legislation, probably did.
“I’m here to help you know what’s going on in rail policy and to get an idea of how freight railroads work,” Harley says in a Western-brogue-free baritone reminiscent of Sam Elliott. “Think of me as your guide through the nuts and bolts of the industry, minus the jargon and the snooze (I hope he’s not referring to Railway Age). I’m a true rail guy and I get pretty jazzed (remember that expression?) about all this stuff. I’ll drop new videos regularly, so subscribe to AAR’s YouTube channel and check out their newsletter The Signal to stay in the loop.”
Cowboy hats off to the AAR for doing this. It’s a great idea, presenting rail “stuff” in a simple, easily digestible way, like pork and beans straight out of the can, heated just a tad on a campfire. John Q. Public—who last I heard don’t know nuthin’ ’bout railroads ’cept that when them bells start ringin’ and lights start flashin’ and them gates come down, is gonna be waitin’ a real long time for a real long train to pass—could use some learnin’ ’bout all the good things railroads do.
Come to think of it, most of them folk up on Capitol Hill could use some learning, ’specially since none were around when President Jimmy Carter signed Staggers into law.
President Jimmy Carter signing the Staggers Rail Act into law on Oct. 14, 1980. Representative Harley O. Staggers (D-W.Va.), sponsor of the bill, stands to the President’s right. AAR President William H. Dempsey, who led the railroad lobbying effort in support of the Staggers Rail Act, is at far left. Staggers (1907-1991) was chair of the House Interstate & Foreign Commerce Committee. But directly behind Carter is the person most responsible for crafting the actual legislation, Rep. James J. Florio (D-N.J.) chair of the House Transportation Subcommittee. White House photo.But let’s be clear folks. Florio got it done, as Capitol Hill Contributing Editor Frank N. Wilner points out in his book, Railroads and Economic Regulation (An Insider’s Account): “Sensing strong opposition, Florio flashed remarkable political savvy, seizing on an announcement by House Interstate and Foreign Commerce Committee Chairperson Harley O. Staggers (D-W.Va.) that he (Staggers) would retire after 16 House terms. To attract additional votes for H.R. 7235—and cement Staggers’ support—Florio renamed the Rail Act of 1980 as the Staggers Rail Act, calling it ‘a fitting tribute [to Chairperson Staggers’] years of service and dedication to a sound rail transportation system in America.”
Wilner’s book also chronicles Staggers’ opposition to early economic deregulation, such as a railroad-sought “zone of rate freedom.” So, Harley Staggers was not a deregulator in any sense of the word. Jim Florio was the squeeze and the juice behind the Staggers Rail Act—which was bipartisan legislation, somethin’ we don’t hear too much about ’round these parts anymore.
But that’s OK. All water under the railroad trestle. What matters, AAR tells ya’ll, is that since Staggers, “rail rates are 44% lower than in 1981 (adjusted for inflation). Railroads have reinvested $840 billion—$1.4 trillion in today’s dollars—into their own networks. Railroads move one ton of freight nearly 500 miles on a single gallon of fuel, and make $23 billion each year in private investment, not taxpayer dollars. The legacy of the bipartisan partial economic deregulation continues to deliver results for railroads, customers and everyday consumers. Preserving this landmark legislation will help drive the investment necessary to continue enhancing safety and keep our economy growing. Bottom line: The Staggers Rail Act turned a failing industry into a global leader. [This] anniversary is a moment to reflect on the power of smart policy—and the importance of protecting it.”
Now, for railroaders, all them facts amount to making the obvious less obscure. But for political types and the public, well, heck, we need to keep hammerin’ away, drivin’ that spike into that crosstie—rather than into our own coffin.
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“A continued downward trend in import volumes, which is driving tighter assessment of accessorial fees as ports seek to capture revenue during peak season,” has been confirmed by ITS Logistics’ recently released October forecast for its US Port/Rail Ramp Freight Index. “Outside the ports, the evolving regulatory situation surrounding non-domiciled CDLs is driving lower-cost capacity out of the market, increasing the risk of financial insolvency for some carriers. These compounding factors are placing a downward squeeze on an already soft drayage market, which could cause problems for shippers in both the short and long term.”
(ITS Logistics)ITS Logistics, a Nevada-based third-party logistics (3PL) firm, releases each month an index forecasting port container and dray operations for the Pacific, Atlantic and Gulf regions; ocean and domestic container rail ramp operations are also highlighted for both the West and East inland regions.
“Terminals and rail ramps should not face any major challenges due to inbound or export volumes,” said ITS Logistics Vice President of Global Supply Chain Paul Brashier. “There are, however, some storm clouds on the horizon that could negatively impact trucking and, by extension, terminal and port operations upstream.”
On Sept. 26, following the review of findings from a nationwide audit of CDL licenses, the Federal Motor Carrier Safety Administration (FMCSA) issued an emergency interim ruling restricting eligibility for non-domiciled CDLs. In response, several states have implemented enforcement efforts to verify CDL compliance and English language proficiency (ELP) at weigh stations, ports of entry, and along major transportation routes, according to ITS Logistics. “Industry experts warn that non-domiciled CDL holders account for a significant portion of the lower-cost capacity market and that regulatory crackdowns will likely result in a surge in bankruptcies across small and mid-size carriers. This is especially true for the drayage market, which has seen multiple major providers close their doors throughout 2025. It is anticipated that stricter enforcement of non-domiciled CDLs and ELP requirements will exacerbate financial challenges, pushing out capacity and ultimately impacting terminal and port operations.”
“In the near term, these new regulations will remove capacity from the ecosystem and cause market disruption,” Brashier continued. “In the long term, it could drive many carriers out of business as they struggle to withstand both evolving regulatory pressures and the ongoing freight recession that has pushed rates down to or below operating levels. Vetting service provider health will become even more important as shippers begin late 2025 and early 2026 RFP activity.”
U.S. September import volume is projected at 2.12 million TEUs, down from 2.28 million TEUs in August and representing a 6.8% year-over-year decrease, according to ITS Logistics report. “The National Retail Federation anticipates that monthly import volumes will continue to drop for the remainder of the year, citing tariffs and frontloading activity in the first half of 2025. In response to low container demand and declining per-container revenue, ocean carriers are strictly enforcing their accessorial schedules to maintain profitability. With minimal exceptions beyond clear operational failures, ITS Logistics recommends shippers review their supply chains for any inefficiencies that could be exposed and penalized under this renewed focus.”
“Shippers should take this opportunity to confirm that accessorial dispute processes and documentation requirements are clearly defined in their SOPs,” Brashier said. “If your supply chain utilizes rail for ocean container movement, it’s also important to ensure you understand items like chassis pool flip policies and which parties to engage with to resolve issues within free time.”
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Expanding storage capacity at the rail yard, the agency says, “is a key component to delivering more frequent service that better serve existing, changing and new travel markets” as outlined in the MARC Growth and Transformation Plan (download below).
The project scope includes increased storage capacity for MARC Trains at the Martin Maintenance Yard (located near Martin State Airport), new tracks with catenary electrification, crossover tracks, a new inspection pit, and equipment that includes water hydrants, air piping extensions and light fixtures to support train car maintenance. The yard and shop improvements are needed to support the MTA’s future commitment to operate electrified trainsets on the Penn Line following the completion of Amtrak’s Frederick Douglass Tunnel. The Martin Maintenance Yard project also supports Amtrak’s redevelopment of Penn Station—plans that require an alternative to Penn Station as a storage area, where many MARC trains are currently located when not in service.
The $35 million investment in improvements and increased capacity for the Martin Maintenance Yard is set to begin later this fall, with completion slated for summer 2027, according to the agency. It is supported by a discretionary grant from the Federal Railroad Administration’s (FRA) Consolidated Rail Infrastructure and Safety Improvements (CRISI) Program.
“Investing in our rail infrastructure today ensures we can deliver improved service in the future,” said Maryland Transit Administrator Holly Arnold. “It is a critical element in our goal to transform MARC Train from a commuter rail to a regional rail service.”
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