Modernizing Freight Rail Regulation (2015) / Chapter Skim
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Appendix A: RESPONSES TO TOPICS (a)(f) IN STATEMENT OF TASK
Appendix A: RESPONSES TO TOPICS (a)(f) IN STATEMENT OF TASK
Pages 220-224
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From page 220... ...
e report recommends that such empirically based methods be used to identify rates that can be challenged according to the maximum rate protections and that such methods replace current methods relying on arbitrary cost allocations. Freight rail service performance cannot be examined in the same quantitative manner as rates.
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From page 221... ...
Most concerned the inadequacies of railroads in meeting their common carrier service obligation, particularly during periods of tight capacity caused by high demand and episodes of severe weather. Data at the shipmentspecific level are not available for assessing whether shippers using common carriage regularly receive service inferior to that of shippers using contract carriage or whether common carrier service levels are more likely to suffer when capacity is tight.
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From page 222... ...
Chapter 2 references studies of future freight capacity needs by the American Association of State Highway and Transportation Officials, the National Surface Transportation Policy and Revenue Study Commission, and the Association of American Railroads. Each study concluded that increasing the railroads' share of freight transportation could confer public benefits, including reductions in highway congestion and emissions, through the diversion of freight from trucks.
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From page 223... ...
As noted above (and for reasons explained in Chapter 4) , the committee finds that STB's annual appraisal of the revenue adequacy of each Class I railroad does not provide meaningful information about the industry's earnings or profitability levels.
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From page 224... ...
( f ) Assess whether railroads continue to be a decreasing cost industry due to economies of density or whether average and marginal costs are rising and the implications the latter has for STB oversight and regulation.
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