Issues of Importance to NAFCA

    • Railroad fleets are inadequate to fill shipper requirements

     

    • Railroads encourage shippers to provide their own equipment

     

    • Railroads are limiting their investments in railcars because of demands on their resources

     

    • Railroads do not hold themselves out to supply higher cube and heavier axle cars that shippers are requiring

     

    • Private car economics
      • Compensation
      • Tank car compensation is prescribed
      • Compensation on other equipment is determined by the railroads
      • No effective recourse before STB
      • Short lines and leasing companies rely on "deprescribed" car hire

     

    • Shifting of risk

     

    • Railroads handle other railroad cars for $.42 per mile

     

    • Railroads charge shippers up to $1.45 per mile with minimum of $375 per car for movements to repair facilities

     

    • Railroads charge destination demurrage on private cars on railroad tracks but keep all of the demurrage collected
      • No effective recourse before STB

     

    • Holding tracks
      • Cost being shifted to shippers

     

    • AAR control

     

    • AAR interchange agreement (must be signed by shipper before operation of private cars)
      • Rules set by AAR (which is controlled by Class 1 Railroads)
      • Third parties have minority representation on some AAR Committees, however, they have limited voting rights on AAR Committees
      • Hollow wheels

     

    • OT-5 Approval

     

    • Discriminatory mechanical and safety standards
      • Constant contact side bearings

     

    • Private car utilization
    • Service failures