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NS stormwater project benefits riverside communities

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Written by: William C. Vantuono, Editor-in-Chief
Communities around Norfolk, Va., and the Elizabeth River, a tributary of the ecologically important Chesapeake Bay, have benefitted from Norfolk Southern’s innovative stormwater management system at the railroad’s Lamberts Point coal transload facility.

When it rains, the multimillion-dollar recycling system collects, filters, and treats stormwater from the 425-acre export coal facility. The water is reused to suppress dust and clean equipment at Pier 6, where oceangoing colliers are loaded with metallurgical and steam coal used to produce steel and electricity worldwide. In addition to enhancing the health of the river’s ecosystem by reducing stormwater runoff, the project conserves water and lowers NS’s water bill. Since the recycling system began operating in March 2013, the coal pier has reduced its use of municipal water by approximately 1.5 million gallons a month, annually saving about 18 million gallons.

The project began in 2000, when NS constructed stormwater retention ponds at the Lamberts Point facility. The latest upgrade, an approximately $5 million investment, added a 10,000-gallon holding tank, a “Hydroclone” filtration system to remove fine coal particles, and a carbon and ultraviolet light treatment system that neutralizes microorganisms and other potential pollutants. The water then is ready for use in the coal pier’s operating processes.

The railroad’s efforts have earned recognition from the Elizabeth River Project, a nonprofit conservation organization whose goal is to restore the river’s water quality. The ERP in January presented NS with a 2013 “Sustained Distinguished Performance” award for the stormwater project, the second consecutive year the railroad has achieved the award. The railroad is a “Model Level” partner in the ERP’s River Star Business program, the highest level for businesses.

“It really is an impressive project,” said Pamela Boatwright, the ERP’s deputy director administration and River Star program manager. “Through its efforts at Lamberts Point, Norfolk Southern has shown its commitment to environmental stewardship and is contributing to our long-term goal to make the Elizabeth River safe again for swimming and fishing.”

NS Vice President Real Estate and Corporate Sustainability Officer Blair Wimbush said the stormwater project demonstrates the railroad’s commitment to corporate responsibility. “Our investment supports a healthier environment while also benefitting the company’s bottom line, results that are good for the communities the railroad serves as well as employees and shareholders,” he said. “This is the kind of sustainability project that we love to do. It was voluntary, goes beyond governmental compliance, and has ecological and economical efficiencies. It reflects our underlying commitment to innovate, reduce our environmental footprint, and improve our economic well-being at the same time.”

“A lot of people think that big industry doesn’t care about the environment until somebody forces their hand, but that has not been my experience at Norfolk Southern,” said Director Piers and Facilities Ray Jones. A 33-year employee of the company, Jones helped oversee the stormwater system upgrade. “Norfolk Southern has done many other projects across our 22-state system that show we do care about the environment and are taking care of the land and waterways around us,” he said.

To learn more about NS’s sustainability efforts, visit www.nssustainability.com.


PBS documentary traces Penn Station's rise, fall

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Written by: William C. Vantuono, Editor-in-Chief

The PBS series AMERICAN EXPERIENCE will premiere “The Rise and Fall of Penn Station,” produced by Randall MacLowry, on Feb. 18, 2014 at 8:00 p.m.

In 1910, the Pennsylvania Railroad successfully completed the enormous
engineering feat of building tunnels under New York City’s Hudson and East
 Rivers, connecting the railroad to New York and New England, knitting
together the entire eastern half of the United States. The tunnels connected to what was one of the greatest architectural achievements of
 its
time, Pennsylvania Station.

Pennsylvania Station covered nearly eight acres, extended two city blocks, and housed one of the largest public spaces in
the
world. By 1917, 18 million Pennsylvania Railroad and Long Island Rail Road passengers traveled through Pennsylvania Station every year; by 1945, their numbers had swelled to more than 100 million, exceeding even the wildest dreams of the PRR president who had first envisioned the station and its supporting infrastructure in 1900, Alexander Cassatt.

But just 53 years after the station’s opening, the monumental
 building was slated to be destroyed. The financially strapped PRR, which had sold the air rights above the station, began demolition in October 1963 to make way for Madison Square Garden and two office towers. Protests fell largely on deaf ears.

As architectural historian Vincent J. Scully, Jr. famously lamented in 1968, when the new station was completed, “One once entered the city like a god; one scuttles in now like a rat.” In the wake of the station’s destruction, New York City established the Landmarks Preservation Commission. Grand Central Terminal was designated a historic landmark in 1967, sparing it and the people of New York from Pennylvania Station’s sad fate.

New, modern, and spacious LIRR and NJ Transit underground concourses constructed in the 1990s vastly improved Penn Station. Today, plans are under way to return the station to its former glory by repurposing the Farley Post Office Building on Eighth Avenue—which was designed by Charles McKim, the very same architect who had designed the original Penn Station—into the Daniel P. Moynihan Station, which will supplement Amtrak, NJ Transit, and LIRR’s existing facilities and possibly host Metro-North trains.

CN, AMT sign Deux-Montagnes Line deal

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Written by: John D. Thompson, Contributing Editor

Montreal's Agence Metropolitaine de Transport (AMT, or Metropolitan Transportation Agency) has signed an agreement to buy the Deux-Montagnes  line from CN for an undisclosed price. The purchase is subject to final approval by the Quebec provincial government.

CN and AMT began negotiating last spring on the possible sale of the electrified Deux-Montagnes Line, including the Mount Royal tunnel.  AMT’s ownership of the right-of-way will facilitate adding passenger service on the line, AMT’s busiest, and also reduce potential scheduling conflicts with CN freight trains.

The 18.6-mile, 12-station route carries 45% of the agency's annual ridership. Opened in 1918 by CN predecessor Canadian Northern Railway, the Deux-Montagnes Line extends northward from downtown's Central Station (also VIA's terminal station in Montreal).

AMT has been leasing the line from CN, which operates freights over a portion of the line during two windows: 8:30 a.m. - 3:30 p.m., and 8:30 p.m. to 5:30 a.m. With AMT as owner, its trains would have priority between 5:30 a.m. and 8:30 p.m.

Deadline nears for ASLRRA award nominations

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Written by: Douglas John Bowen

Nominations are still being accepted for the American Short Line and Regional Railroad Association (ASLRRA) 2014 awards honoring marketing, safety, and improvement – but the deadline of Friday, Feb. 14, 2014, is near.

The annual ASLRRA awards include: the Marketing Award; the Safety Person of the Year Award; the Safety Professional of the Year Award; and the Most Improved Railroad Safety Award.

ASLRRA notes the Marketing Awards Competition "aims to recognize the Class II or III railroads that have designed and enacted the most innovative and successful marketing initiatives in the small railroad industry. All ASLRRA member railroads are eligible to enter the Competition."

The Safety Person of the Year Award "may be given to an employee of an ASLRRA member railroad employee, except those considered to be a professional safety management employee, who has never had a reportable injury in their career; works with management of their company to make their safety programs effective; exhibits a high degree of safety awareness; and contributes off-duty time to activities promoting safety awareness in the community," ASLRRA says.

The Safety Professional of the Year Award "may be given to an railroad management employee of an ASLRRA member railroad, who is responsible for safety programs, training and the overall management of safe behavior and actions on their railroad, who is an excellent communicator, motivator, and organizer; is selfless in their actions, doing the job for results, not recognition; consistently produces documentable safety achievements; and is respected by peers, senior management and subordinate alike," says ASLRRA.

Finally, the Most Improved Railroad Safety Award will be given to an ASLRRA member railroad "that demonstrates improved safety over a period of at least three years, as verified by FRA safety rates; provides evidence of implementation of programs, processes and procedures that have resulted in a marked improvement in safety; and provides evidence of the capital (i.e. manpower, funding and other resources) that has been devoted to improving safety."

ASLRRA traditionally bestows its awards at its annual convention, scheduled to occur this year on April 22-25 at the Hilton San Diego Bayfront in San Diego. Railway Age will present its own awards for 2014 Short Line Railroad of the Year and 2014 Regional Railroad of the Year at the ASLRRA gathering.

For more information on ASLRRA's Marketing Award, contact ASLRRA's Jenny Bourque, Tel.: 202-585-3449; Email: jbourque@aslrra.org. For more information on ASLRRA's Safety Awards, contact ASLRRA's David Whorton, Tel.: 202-585-3430; Email: dwhorton@aslrra.org.

Wabtec to acquire Fandstan Electric

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Written by: William C. Vantuono, Editor-in-Chief
In a cash deal worth approximately $215 million, Wabtec Corp. has signed a definitive agreement to acquire London, England-based Fandstan Electric Group Ltd.

Fandstan Electric, with annual sales of about $235 million, is a rail and industrial equipment manufacturer. The company designs, manufactures, and installs electrical current and data collection products for a variety of markets, including rail and tram transportation, industrial, and energy. The company’s highly engineered products include pantographs, third rail shoe gears, electrical contacts, and brush holders, and its brand names include Brecknell Willis, Stemmann Technik, and Transtech. Fandstan Electric has about 1,000 employees and operations in the U.K., Europe, China, Australia, and the U.S.

Wabtec expects the transaction to be completed in the first quarter of 2014, subject to customary closing conditions and competition authority clearance. As previously announced, Wabtec plans to release its 2013 fourth quarter and full-year results on Feb. 19, and it also plans to issue 2014 guidance, including Fandstan Electric, on the same day.

“Fandstan Electric will expand our high-technology content on transit vehicles and provide another entry into the infrastructure segment of the market,” said Wabtec Chairman and CEO Albert J. Neupaver. “In addition, the company has a strong presence in growing non-rail markets, and a well-established aftermarket, with an installed base in more than 100 countries around the world.”

BNSF engineer trainee lauded for fast response to CBR wreck

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Written by: William C. Vantuono, Editor-in-Chief
Geoff Andersen, a BNSF locomotive engineer trainee, has been credited with preventing the spread of fire and explosions that occurred shortly after a BNSF crude oil train wrecked in Casselton, N.D., in December 2013.

According to a report published in the Grand Forks Herald newspaper, Andersen donned firefighting gear borrowed from the Casselton Fire Department to uncouple 25 crude oil cars that had not exploded from the wreck. A BNSF locomotive was able to haul them away. The wreck occurred when the CBR train hit cars from a grain train that had derailed on an adjacent main line track.

Andersen, who resides in Grand Forks, N.D., is a former firefighter at Grand Forks Air Force Base. He said he worked with Casselton Assistant Fire Chief Adrian Kieffer to develop the plan.

Andersen was praised by Sen. Heidi Heitkamp (D-N.Dak.) for his successful efforts to move the remaining oil cars to safety. In a Feb. 10 speech on the floor of the U.S. Senate, Heitkamp said the nation should develop rules and regulations necessary to increase train safety, but it should also recognize “the importance of skillful and well trained railmen on the lines.”

RSICTC to USDOT: We’re tired of waiting

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Written by: Douglas John Bowen
The Railway Supply Institute Committee on Tank Cars (RSICTC) has called on the U.S. Department of Transportation to get moving on new safety measures for tank cars carrying crude oil and ethanol. 

In a Feb. 12, 2014 letter to U.S. Transportation Secretary Anthony R. Foxx, RSICTC called for formal and swift adoption of additional safety requirements on newly manufactured tank cars, a prohibition on placing additional legacy tank cars into crude oil and ethanol service, and prioritization of the modification of existing legacy crude oil and ethanol tank cars. RSICTC’s call “comes after three years of waiting for the government to issue new rules that would create an industry standard and help mitigate product loss after train derailments,” said RSI President Thomas D. Simpson. 

"The discovery of new sources of crude oil in North America is one of the most important developments for our economy in the last few decades," said Simpson. "Addressing a 4,000% increase in delivery of those resources by rail and protecting the public requires actions by railroads, shippers, tank car manufacturers, and the federal government.

"Today we clearly laid out how tank cars can be made safer as quickly as possible," Simpson said. "Now it's up to the federal government to complete its rulemaking and issue new standards for the manufacture and modification of tank cars meant to carry crude oil or ethanol."

RSI said that in 2011, manufacturers began voluntarily building tank cars to a new standard (CPC-1232) jointly developed with the railroads, and also petitioned DOT to issue a new regulatory standard.

RSI said that despite DOT's inaction on this petition, today's announcement would expand this safety standard and proposes seven guiding principles to move crude oil and ethanol tank car safety forward, including:

Additional Safety Technology. The RSICTC proposed expanding the CPC-1232 standard by requiring a metal jacket, full height head shield and top fittings protection with added thermal protection for the manufacture of all new crude oil and ethanol tank cars. These additions will make the cars more resistant to punctures and heat in case of a derailment.

Limits on Legacy Cars. The industry also called for a prohibition on adding additional legacy (i.e. non-CPC-1232 compliant) tank cars to the existing crude oil or ethanol fleets until DOT issues standards to modify legacy tank cars.

Modify Crude Oil & Ethanol Cars First. RSI's tank car committee has estimated that it will take 10 years to modify existing legacy tank cars because DOT regulations require other work as well. If DOT allows the modification of crude oil and ethanol tank cars first, the time frame for addressing the highest risks could be shortened significantly.

"These guiding principles will accelerate tank car safety," continued Simpson. "Adding new technology, prohibiting additional unmodified tank cars from entering into crude oil and ethanol service, and modifying crude oil and ethanol tank cars first will move safety forward.

"Additionally, the DOT needs to issue revised tank car standards. These standards should consider the work already done by engineers in the industry to improve tank car safety. The absence of a science-based, government-mandated standard is chilling investment, hindering job creation and slowing down the rollout of new, stronger, cars that can potentially save lives and limit damage after train accidents occur," Simpson said.

Fly/drive focus aids U.S. weather wimpdom

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Written by: Douglas John Bowen

The winds at my back from the north actually aided my trip to work this snowy Thursday, Feb. 13, 2014, also allowing me great visibility since the snow also attacked from behind. It is, as I write this, a gorgeous day for those of us who don't have to drive. Or fly. And the trains were running – a good thing, since I can't walk across the Hudson River. It's not cold enough. It's not the worst winter I've ever lived.

Which leads me to two conclusions, which I've now joined together as an axiom:

1. Americans, by and large, are big-time weather wimps; and

2. American fly/drive dependency exacerbates that weather wimpdom.

Yup, many of you are tired of winter. For my part, I'm tired of that fine winter whine. Snowbelt or Sunbelt, East Coast or West, we live on Planet Earth. Deal with it. And take the train – if you're lucky enough, or smart enough, to live where you can actually do that.

Since I've now clearly insulted most of my potential audience, even within the rail world, the caveats (not quite the apologia) must follow, especially for Point No. 1. Those folks soldiering on this winter in hardy places, from Boise to Buffalo to Bangor, from Portland to Pocatello, from Minneapolis or from Chicago, get a salute from me whether they have passenger rail service or not. That includes at least one Railway Age Contributing Editor and my Railway Track & Structures colleagues. They know what constitutes real weather and what instead is "disaster weather" promulgated by the likes of The Weather Channel and breathlessly relied on by hyper local mikes on the street marveling that it's – snowing in February!

In fact some local reporters were at the ready standing at train stations throughout the Northeast this day and found that – zounds! – the trains were running. (Ridership was relatively light, though. I'm sure the trains are at fault for that somehow.)

In short, weather reports are driven by the need to "inform" or assuage the driving public, and sometimes seemingly no one else. Snow becomes "bad" and something to be bemoaned. Tell that to ski resort operators, or cities thirsting now and later this year due to below-normal snowpack – a much more potentially devastating disaster finally bubbling to the media surface, even in Railway Age itself.

Late Wednesday, Feb. 12, of course, the media "disaster weather" focus was further south, where Atlanta apparently did better than the last time, but where Durham, N.C., discovered what real snowfall is and why one's auto-dependency can be somewhat treacherous. Lots of reporters braved the roads to earnestly urge local residents to (in effect) don't do what we're doing. Let's hope Durham citizens remember this as rail transit proposals continue to surface – and are often shot down – in North Carolina's Research Triangle. Certainly, officials in nearby Winston-Salem appear to be seeking (streetcar) alternatives, and perhaps modal choice is one reason why.

MARTA Amour Rail YardI was going to wear my Atlanta Braves baseball cap on my trudge today, but that somehow seemed an unfair swipe at the city of Atlanta, where MARTA rail service (depicted in photo at left) performed admirably on Jan. 29, 2014, and "city-zens" (hence the word "citizens," eh?) actually found ways to enjoy the weather, taking their kids sledding and taking in the beauty of what's still a relatively rare occurrence in Georgia's capital city. Taking time to stop and smell the roses, if I may mix a seasonal metaphor.

Meanwhile, the surrounding Atlanta Metro Area rehearsed for a Zombie Apocalypse. You know, the Atlanta Metro Area where voters shot down a proposal to expand rail transit. The Metro Area that the Atlanta Braves plan on relocating to, abandoning the city center even as most pro-sports franchises have realized that's where the future is. That Atlanta, seemingly the one that The Weather Channel, as it happens based in Atlanta, caters to.

On that Jan. 29 day, I emailed my older brother, who's preparing for the upcoming maple sap season, and (I readily acknowledge: snidely) said the following:

"1. Atlanta proper has rail transit (which is working Wednesday morning, by the way), but the region is otherwise woefully short of it. Like most U.S. cities, particularly those in the Sunbelt (there are exceptions), the Car is King. Fine. You good Atlanta-area folks choose to go that route (and, by ballot, they have, just to make this abundantly clear). Live with it.

"2. Polls suggest most Georgians do not acknowledge the possibility of climate change (induced by humans or otherwise). Fine, let's accept as a baseline the idea that there is no climate change. That means this weather is 'normal.' Why is Atlanta not prepared for normal?"

The predictable anti-rail voices have crowed this winter as icy conditions have crippled light rail transit systems in Portland, Ore., and in Dallas. Fair enough; I'll crow now about how flight cancellations have littered the U.S. landscape this winter, even here in the Northeast, where Amtrak's Northeast Corridor has done far better, struggling now and then but remaining open for business as a general rule (including this day, so far as I write this).

Know what else? U.S. auto dependency in bad weather may be bad for the Gross Domestic Product, hindering people's ability to work efficiently. For those who must provide a physical presence at work – the maintenance staffs, police and fire and rescue services, doctors and nurses – there often is no choice; they must be on site. Too often, that places on them the burden of owning and operating an automobile, cost be danged. Some freedom. And on days like today, some mobility. Some choice.

Doubtless the lucky some can and do work from home, though I have to believe some folks fake it exquisitely. Because how much easier it is for those with supposed "freedom of mobility" to decide their one-ton chariot just can't cut it. Some mobility. Fair-weather mobility. Weather-wimp mobility.

Here in New York this day, schools are open, because most students, and maybe more important, most teachers, don't have to drive to their objective. They walk, or take the subway (or even the bus). Civilization continues. [Update, 1:46 p.m.: The city decided to dismiss students early. DJB] And maybe the kids learn to tough out a little winter weather as a bonus. Imagine.

For too many of us young and old, however, the "disaster weather" mindset prevails even when the weather isn't all that bad, even extending to the mere potential for the less than ideal. Teeth were gnashing and fingernails were bitten over the fears of "snowpocalyse" enveloping Super Bowl XLVIII, to be played in the Arctic environs of New Jersey. Yup, when New York metro folks are seen as seasoned citizens of Yellowknife, you know the weather-wimp scale is fully deployed.

Turned out, of course, that the Super Bowl weather was highly tolerable, even for fans of Sunbelt teams like the Denver Broncos and Seattle Seahawks ... uh, never mind. But boy, did it make news to worry, at least until the media shifted focus to the shortcomings (both real and overblown) of rail transit services to and from the event.

How spoiled, how truly indulgent we citizens of the U.S. must be when somewhat predictable weather (a relatively recent luxury in itself) makes us whine and panic and buy milk to last for two weeks (when the supermarket two miles away will be restocked in 36 hours), because we can't drive at 55 mph anywhere and everywhere, right now, this minute.

In an apparent sincere attempt to share the pain, one website columnist recently warned us Corridor Kids not to gloat over Atlanta's misfortunes, because it would be our turn next. Again, fair enough, and warning accepted. It's my turn this day – and I'm at work. My kid is OK, too, not stuck a zillion miles from my home in a (dangerous?) school or (dangerous?) Wal-Mart where I must "rescue" him by driving in peril and never making my destination. I'll take that kind of turn, and those odds.

And as for the snarky note from one Arizona resident (possibly a snowbird and not a year-round resident) boasting about how he had no snow worries, ha, ha, ha: I look at snow as drought insurance. Hope you have some. As for today's developments, I walked, and took the train. Isn't choice grand?

I also did wear a baseball cap today, as the visor helps deflect blowing snow and aids eyesight. My choice: Canaan, Conn.-based Housatonic Railroad, which also presumably knows something about winter weather. I recommend this, with the cap serving essentially as a second hat atop the first headcovering, though different folks (downhill skiers, in particular) have different and equally good ways of dealing with visibility and blowing snow.

Don't worry, though; my Atlanta Braves cap will be in use soon enough. Pitchers and catchers have begun reporting to their respective teams all this week. Spring isn't all that far off. The weather wimps can resume their good-life fantasy life of all rubber wheels, all the time, and reminding us train-reliant types why our way of life is inherently inferior.


Nashville’s Ballard headed to Dallas/Fort Worth

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Written by: William C. Vantuono, Editor-in-Chief
Paul J. Ballard, chief executive officer of the Nashville MTA and Regional Transportation Authority of Middle Tennessee, is leaving the MTA to become president and CEO of the Fort Worth Transportation Authority.

Among his many accomplishments during 12 years in Nashville, Ballard directed the start-up of the 31-mile, six-station Music City Star commuter rail line, which was opened on time and on budget. The RTA is now working on plans to acquire a freight line in order to start a second Music City Star line.

“My recruitment by Fort Worth was an unexpected career opportunity with the challenge of starting a new commuter rail line while growing ridership on an already thriving transit system with dedicated funding,” Ballard said. “The Dallas/Fort Worth area is one of the largest urbanized areas in the U.S. and is initiating some significant changes in which I will enjoy participating.”

Ballard said it was a tough decision to leave a growing and vibrant city such as Nashville with the tremendous progress that has been made. “We have successfully changed the face and the operation of public transportation in Nashville, and I am extremely grateful for the strong support given me by the MTA and RTA Boards, Mayor Karl Dean, Mayor Bill Purcell, the Metro Council, and the terrific transit employees whose professionalism, knowledge, and dedication to service have been extraordinary and much appreciated,” he said.

Ballard recently celebrated his 12th anniversary as CEO of the Nashville MTA and his fifth as CEO of the RTA. The RTA responsibility was added in December 2008. Prior to this assignment, Ballard served on the RTA board of directors for several years as a governor’s appointee.

Ballard and others were successful in pushing for the passage of enabling legislation that allows Tennessee’s regional transit authorities to identify and raise dedicated funds for public transportation. The Tennessee State Legislature passed bill the without a single vote against it in either the House or the Senate.

Winston-Salem ponders streetcar project

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Written by: Douglas John Bowen

Following Charlotte's lead in North Carolina, and perhaps pacing similar efforts in Raleigh-Durham, the Winston-Salem City Council's Public Works Committee has approved a streetcar proposal.

The Committee's 3-to-1 vote, occurring Feb. 11, 2014, moves the matter to the full City Council, which is likely to cast its own vote on the matter next month.

The vote follows and is based on a study conducted by Omaha, Neb.-based HDR, Inc., in conjunction with the city, identifying a $180 million lined eyed in part as an economic development tool, according to local media. A preferred route has yet to be identified.

HDR, Inc. earlier this month was selected by Grand Rapids, Mich., to advance that city's proposed streetcar project. HDR also landed a contract last December for the final design of the main components of the streetcar line in Kansas City, Mo., now under construction.

Supporters say approval of the plan will aid the city's efforts to obtain federal financial assistance of up to $88 million for the project.

NS CBR train derails in Pennsylvania

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Written by: Douglas John Bowen

A Norfolk Southern crude-by-rail (CBR) train derailed in Pennsylvania Thursday, Feb. 13, 2014, resulting in oil leakage from three tank cars. No injuries were reported.

Shortly after noon, NS said leaks from two of the cars had been addressed. Of the 21 cars that derailed, 19 carried heavy crude, while two carried liquefied petroleum gas. The NS consist included 120 cars overall. Cleanup efforts were ongoing despite severe winter weather blanketing the Northeast.

The train was heading east from Conway, Pa., to Morrisville, Pa., when it derailed near Vandergrift, a town in the western portion of the state. Some of the crude on board reportedly was destined for an asphalt plant in Paulsboro, N.J., owned by San Antonio-based NuStar Energy, L.P.

During the derailment some of the rail cars struck a building which fabricates metal products. There were no injuries. There was no fire or explosion. There is no fire," Norfolk Southern said in a statement.

The incident occurred one day after the Railway Supply Institute Committee on Tank Cars (RSICTC) publicly urged the U.S. Department of Transportation to move proactively in implementing new safety measures for tank cars carrying crude oil and ethanol.

Back to mixed results for U.S. freight traffic

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Written by: Douglas John Bowen

Resuming a pattern predominant through 2013, U.S. intermodal volume gained ground, while U.S. carload freight fell short, during the week ending Feb. 8, 2014, the Association of American Railroads reported Thursday, Feb. 13.

U.S. freight carload traffic declined 4.3% when measured against the comparable week in 2013, while U.S. intermodal volume resumed it usual upside, rising a modest 0.6% from a year ago. Total combined U.S. weekly rail traffic slipped 2% compared with the same week last year.

Just four of the 10 carload commodity groups AAR measures on a weekly basis posted increases compared with the same week in 2013, including farm and farm products excluding grain, up 5.8%, and grain, up 4%. Declining commodities included coal, down 8.4%.

Canadian freight carload traffic for the week ending Feb. 8 slumped sharply, down 12.2%, while Canadian intermodal fared somewhat better, down a modest 0.1%. Mexican freight carload traffic for the week declined 1.8%, while Mexican intermodal volume plunged 11.6%.

Combined North American freight carload traffic for the first six weeks of 2014 on 13 reporting U.S., Canadian, and Mexican railroads was down 1.6% when measured against the comparable period in 2013. Combined North American intermodal, by contrast, was up 0.4% for the period.

CBR: CN charging more for pre-CPC-1232 tank cars

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Written by: William C. Vantuono, Editor-in-Chief
CN is charger a higher rate to move crude oil in DOT-111 tank cars built prior to October 2011, when Association of American Railroads CPC (Casualty Prevention Circular)-1232 safety standards took effect. These standards include head shields, top-fitting rollover protection, half-inch-thick normalized tank steel (for unjacketed applications), double-shelf couplers, and bottom skid protection.

“CN has structured its rates to create an economic incentive for customers to acquire, over time, more robust tank cars that meet the higher safety standard of the more recent CPC-1232 design,” spokesman Mark Hallman told the Grand Forks Herald.

“[W]e price crude differently for different car types. . . . The CPC-1232 is our favorite car when it comes to pricing or attracting business,” CN Chief Marketing Officer J.J. Ruest said at a Feb. 10 conference

CN did not comment on the specifics of the rate increase, but a Canadian crude oil shipper told the newspaper that CN was charging up to 5% more to move some DOT-111 cars. The shipper said the additional freight charges could impact the cost structure of CBR, which is now a major method of moving crude oil from areas under-served by pipelines, such as the North Dakota’s Bakken region and Canada’s Alberta oil sands.

CN’s Hallman said the economic incentive for customers to use safer tank cars applied to all its routes. The railroad supports AAR and RSICTC (Railway Supply Institute Committee on Tank Cars) appeals to the U.S. PHMSA (Pipeline and Hazardous Materials Safety Administration) for a rulemaking retrofitting or phasing out pre-CPC-1232 DOT-111 cars and improving standards for new tank cars.

The newspaper said that oil traders “are concerned that CN may set a precedent that is quickly followed. . . . Canadian Pacific Railway spokesman Ed Greenberg declined to comment on whether CP was charging different rates for older railcars. ‘We are discussing rate structures with our customers as we work directly with them,’ he said.”

New tank car builder coming on line

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Written by: William C. Vantuono, Editor-in-Chief
West Brookfield, Mass.-based freight car lessor Boxcar Services LLC has 
merged with Vertex Rail Technologies LLC to form Vertex Rail
 Manufacturing. Beginning in second-quarter 2014, Vertex Rail will
 manufacture tank cars, boxcars, and covered hoppers at facilities located
 in Worcester, Mass., and Wilmington, N.C. 





 Vertex Rail member Daniel Bigda says Vertex Rail will offer 
31,800NCNI*-gallon, 29,000CI**-gallon, 25,500CI-gallon, and 23,500CI-gallon
 tank cars built to AAR CPC-1232 standards for crude oil and ethanol, as
 well as a 33,500-gallon pressure tank car. The Worcester facility has the 
capacity to produce up to 18 tank cars per week; the Wilmington plant is
 large enough to support production of up to 50 tank cars per week, plus,
 with new designs, Plate F 286K GRL boxcars, and covered hoppers of 3,300-
and 5,000-cubic-foot capacity.





 Bigda says the company has orders to take production out to mid-2015. “Our
 plans are to expand rapidly in late 2014 so that by the beginning of 2015
 we will have significantly more capacity to offer,” he says. “We have
 completed design drawings and are now developing our pilot line production 
facility that will, starting in Q2 2014, manufacture oil tank cars and
 will bring some much needed capacity to the market. As well, cars built 
prior to July 1974 that do not have AAR Interchange Rule 88 Rebuild or
 Extended Life Status will be retired.”



 Vertex Rail’s founders “are industry innovators in both the rail and
 vessel manufacturing industries that bring more than 100 years of combined 
industry, fabrication, design, and manufacturing experience to the 
company,” says Bigda.


* non-coiled, non-insulated

** coiled, insulated

RailComm derail system employed in KC diesel shop

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Written by: Douglas John Bowen

Fairport, N.Y.-based RailComm said Thursday, Feb. 13, 2014 that a North American railroad yard in Kansas City, Kan., has added a remote control derail system to the diesel shop.

The derail will be controlled using RailComm's Domain Operations Controller (DOC®) system within their facility. The RailComm DOC System allows a user to apply the derail remotely from a PC.

RailComm's 2.4 GHz RADiANT™ spread spectrum data radios are used to provide reliable and secure communication between the field and control locations.

RailComm did not identify the customer.


“Underlying rail fundamentals are very solid”

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Written by: William C. Vantuono, Editor-in-Chief
Fourth-quarter and full-year 2013 Class I financial results and accompanying railroad management commentaries have reinforced Wall Street’s favorable view of the rail sector, according to Cowen & Co. Managing Director and Railway Age Contributing Editor Jason Seidl. “While weather should be a bigger drag in first-quarter 2014 than it was in the prior quarter, we believe the underlying rail fundamentals are very solid,” he says.

“Rail earnings results increased our confidence in our favorable sector view for 2014,” says Seidl. “This may seem paradoxical given that five out of seven publicly-traded carriers posted lower-than-expected 4Q 2013 profits. However, our increased confidence can be attributed to three key earnings season takeaways. First, unusually severe winter weather had material negative impacts on all carriers. Second, many of the non-weather issues that impacted the quarter were nonrecurring, temporary, or company-specific. Third, all companies were more positive on the macro environment and freight demand than they had been for several quarters. Pricing, except for coal, remains solid and in some cases may be improving.

“The net weather impact will likely be negative on rail earnings when all is said and done. However, we believe it is not all bad news, especially for the eastern carriers. The persistence of below-average winter temperatures and rising natural gas prices seem to be putting a dent in domestic utility stockpiles, especially in the South, where stockpiles remain well above normal levels. Norfolk Southern noted in a February 13 presentation that southern utilities are now likely to reach normal stockpile levels sooner than the 3Q 2014 time frame the company had suggested on its 4Q 2013 earnings call. Coal volumes on the North American Class I’s are down 0.6% quarter-to-date, compared to the 1.0% decline in total traffic excluding coal. Of course, this is not enough to significantly alter the subdued coal narrative for the eastern carriers, at least not while export coal weakness persists or becomes even more pronounced, but any upside to the dismal coal expectations, however minor, could aid earnings.

“The shift from the highway to intermodal appears to have picked up in recent months. Indeed, about 32% of shippers participating in our Jan. 15 4Q 2013 Rail Shipper Survey said they shifted to intermodal in the past twelve months, compared to 27% in our previous survey. Rail management teams spoke of the accelerating shift on their earnings calls, and the numbers support the story, with 4Q 2013 North American Class I intermodal traffic up 6.7% year-over-year, well above the 1.7% increase in the aggregate of all other carloading groups. Quarter-to-date in 1Q 2014, intermodal is down 0.6%, compared to the 1.1% decline in the remaining volumes. The narrowing of the growth disparity in 1Q 2014 is likely due to intermodal traffic being more susceptible to weather events due to the involvement of multiple modes of transportation.

“This shift could eventually lead to stronger earnings if the railroads’ ability to price their freight higher takes hold. Higher intermodal pricing is looking more and more like it will happen. Truckload pricing has always been the most restrictive factor for the languishing pricing trends in intermodal. However, recently truckload carriers cited meaningful increases in spot rates, which are a good precursor of contractual pricing. The economic malaise of much of the past two years had kept a tight lid on truckload pricing, which hovered around a meager 2%. Most companies now appear to have their eyes set on a range closer to 3%. The improvement is being driven by both demand and supply dynamics. At the same time that the uptick in economic growth is aiding freight demand, rapid-growth industries such as fracturing and construction are attracting truck drivers, and the Hours-of-Service regulations, which went into full effect in July 2013, are further straining capacity, as more carriers conform to the new rules. Accordingly, we believe that intermodal pricing will slowly improve in 2014, benefiting carriers with high exposure to truck competitive traffic, such as CSX and NS.

“Six weeks into the quarter, all the Class I’s except Union Pacific are trailing our full-quarter traffic growth assumptions. Quarter-to-date, UP’s volumes are up 3.2%, compared to our full-quarter assumption of 2.5%. With seven weeks yet to be reported in the quarter, we are hesitant to jump to conclusions, but we are encouraged by UP’s performance. Additionally, this quarter’s results will likely be judged based on investors’ perceptions of earnings, excluding the unusually severe weather.”

RTA, UIUC sponsoring two educational events

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Written by: William C. Vantuono, Editor-in-Chief
In June 2014, the Railway Tie Association (RTA) and the Rail Transportation and Engineering Center (RailTEC) at the University of Illinois at Urbana-Champaign (UIUC) will host joint activities that will provide educational and networking opportunities relating to crossties and fastening systems. These events are expected to draw domestic and international attendees that include rail infrastructure component designers, manufacturers, researchers, and end users such as Class I’s and transit operators.

RTA 2The RTA Annual Field Trip will be taking place June 1-5. “It is focusing on an amazing set of field visits in Chicago and Central Illinois,” according to RTA Executive Director Jim Gaunnt. “The Field Trip will end on the UIUC campus in Champaign, Ill., and will include technical sessions and laboratory tours at UIUC.”

Schedule and registration information for this event can be accessed at http://www.rta.org/field-trip.

RTA 3In conjunction with the RTA Field Trip, RailTEC is hosting the 2014 International Crosstie and Fastening System Symposium at UIUC. This event will take place June 3-5 and will include technical sessions on a variety of topics related to crossties and fastening systems as well as a technical tour of UIUC’s new Rail Research and Innovation Laboratory and Voestalpine Nortrak’s foundry and injection molding facility in nearby Decatur, Ill.

Registration information and a schedule for this event can be accessed at http://ict.uiuc.edu/railroad/Crosstie/2014/crossties.php.

Love on the train ain’t no surprise

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Written by: William C. Vantuono, Editor-in-Chief
Save me a seat, and I’ll look into your eyes . . . . My apologies to Neil Diamond.

Remember “Silver Streak,” the 1976 movie starring a long-distance luxury passenger train, and a supporting cast with such Hollywood luminaries as Gene Wilder, Richard Pryor, Jill Clayburgh, Ned Beatty, and Ray Walston? A send-up of Agatha Christie’s “Murder on the Orient Express,” the movie featured a budding romance between Wilder and Clayburgh, amid all the action. Of course, they ride happily off into the sunset (in a car, though) after the runaway Silver Streak crashes through the concourse of Los Angeles Union Station. Bad guys dead or arrested, the guy gets the girl, and the train station implodes. All in a day’s work.

Caltrain Romance 1Today, Valentine’s Day 2014, we have the story of the real-life romance of Caltrain commuters Sujata Mahidhara and Anirudh Joshi, whose courtship has been a bit less eventful than Wilder and Clayburgh’s fictional encounter with mayhem and murder. I’ve seen some innovative marketing by transit agencies (check out APTA’s AdWheel awards), but this story really takes the cake . . . er, chocolates.

Here’s the story, as Caltrain’s Will Reisman tells it:

“Sujata Mahidhara is a huge proponent of Caltrain. Without it, she wouldn’t be able to seamlessly commute to her job as an engineer in Sunnyvale. She wouldn’t be able to focus on work productivity instead of battling Highway 101 traffic. She also wouldn’t have the chance to decompress with friends after work, building a social network of other Caltrain regulars. And, at the top of that list, she wouldn’t have met her fiancé, Anirudh Joshi, this past May.

Gotta plug those rail transit benefits up front. All true, of course . . . . Read on:

“‘We’ve talked about this, and we both agree, that if it weren’t for Caltrain, we may never have started dating,’ said Mahidhara, who moved to the Bay Area from Canada five years ago. ‘Ani describes it as an ideal dating situation. You get 45 minutes of someone’s undivided attention, at the end of which there’s no awkward kiss or reach for the check. Just a promise to see each other again on the train the next day.’”

I’m telling you folks, it doesn’t get any better than this! But read on:

“Mahidhara and Joshi, also an engineer and president of a small Sunnyvale startup, originally met on May 17, 2012, at their mutual friend’s trunk show (what’s a trunk show?) in San Francisco. Although they chatted for about 20 minutes, they parted without exchanging phone numbers. Fortunately, about one month later, they bumped into each other again at Caltrain’s Mountain View Station. Mahidhara gave Joshi her number, not realizing that he had been trying to corral her contact information from her friend the whole time.

“After talking, the couple realized that they both lived near Caltrain’s San Francisco Station and worked just a few blocks apart in Sunnyvale. Mahidhara also noticed that after their first meeting, Joshi began to ‘conveniently’ show up on the same train as she for their morning and evening commutes, opting for Caltrain over driving.”

Hey, when you meet the love of your life, you’ll do anything, including leaving the car at home! Sorry to interrupt . . . .

“‘Sharing a daily train commute was a great way to get to know each other. He really became a confidante who shared my good days and my bad ones, offered advice when I needed it and a listening ear when I didn’t, and shared a silent commute with side-by-side laptops when deadlines loomed,’ said Mahidhara. ‘As our friendship grew, I started noticing how well he interacted with my other friends, and how some of his comments and points of view resonated with me unexpectedly.’

Caltrain Romance 2“With plenty of time to get to know each other during their commute on Caltrain, the two went out on their first date a month after their encounter at the Mountain View Station; less than a year later, they became engaged. Their wedding is set to take place in Sonoma this May, exactly two years after they first met.

“‘Caltrain almost works as a filtering device for dating,’ said Mahidhara. ‘If you see someone on the train regularly during peak hours, you can often infer that he’s employed and successful, since he’s commuting to Silicon Valley and likely fun and outgoing, since he’s commuting from San Francisco. It works as well as any dating site!’”

See, successful, educated people do take public transportation! Sorry to interrupt again . . . .

“A commuter rail system might not strike many people as the most romantic meeting grounds, but Mahidhara and Joshi are both well aware of the influence Caltrain played in their relationship, and they’ve decided to pay homage to that during their wedding festivities. ‘We’re going to have Caltrain tickets for our table seating assignments at our wedding,’ said Mahidhara. So Caltrain—public transportation and matchmaker, at your service.”

What, no wedding aboard a private railcar?

As Tom Hanks, the Conductor, said at the end of “The Polar Express” movie (another great train adventure), “One thing about trains: It doesn’t matter where they’re going. What matters is deciding to get on.”

Jim Young, 
Oct. 24, 1952 – Feb. 15, 2014

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Written by: William C. Vantuono, Editor-in-Chief
Union Pacific Corp. Chairman James R. (Jim) Young, who worked his way from an entry-level finance position to Chairman, President and Chief Executive Officer, died Feb. 15, 2014 after a two-year battle with pancreatic cancer. He was 61.



Jim Young 1A lifelong Omaha resident and the oldest of six children, Young was elected Union Pacific Corp. chairman in January 2007. He served as President and CEO from November 2005 until March 2012. Prior to those appointments, Young was Union Pacific Railroad President and Chief Operating Officer, a position he had held since January 2004. He was elected a director of Union Pacific Corp. in February 2005.



Young began his railroad career with UP in 1978 and held a variety of management positions. He was named Vice President-Customer Service Planning and Quality in 1997; Senior Vice President and Corporate Treasurer of Union Pacific Corp. in 1998; and CFO of Union Pacific Corp. in December 1999.



Jim Young 2“Jim was an icon at Union Pacific and in the railroad industry, a colleague and great friend,” said Union Pacific President and CEO Jack Koraleski. “Jim’s vision and leadership took Union Pacific to unparalleled heights, and his civic contributions made positive impacts on many communities across Nebraska and the entire Union Pacific system.

 Most important, he was a dedicated and loving husband, father, and grandfather. He will be greatly missed.”

Young is survived by his wife Shirley, three children, and two grandchildren.



“We are deeply saddened by Jim Young’s passing,” said Union Pacific Lead Director Steve Rogel. “Jim’s commitment to Union Pacific’s mission and values, his tireless energy, and infectious enthusiasm helped make Union Pacific an industry leader and made a lasting impression on everyone he met.” 



Jim Young 3Railway Age named Young 2013 Railroader of the Year. “As Jim Young so aptly puts it, ‘Union Pacific has evolved from the company that built America by building the first transcontinental railroad to one that today is critical to the global supply chain,’” said Railway Age editor-in-chief William C. Vantuono in January 2013. “For his vital role in that evolution, he is a deserving recipient of our Railroader of the Year award. Under the leadership of Young and such key team members as Jack Koraleski, the current President and CEO, UP recently has started to see what its franchise can deliver for customers, employees, communities, and shareholders.”

Jim Young 5Young was a member and past Chairman of the Board of the Jim Young 4Association of American Railroads, the Joslyn Art Museum, and the Greater Omaha Chamber of Commerce.
 He served on the boards of FXE Railroad in Mexico, the University of Nebraska Medical Center, The Knights of Aksarben Foundation, Heritage Services, and Creighton University.

 A graduate of the University of Nebraska Omaha, he and his wife established the Jim and Shirley Young Scholarship Program, specifically designed to assist low-income students. The Youngs grew up in Omaha, graduated from Omaha South High School, and led the community fundraising effort to install a new artificial turf field at the school’s Collin Field in 2009, marking the first time the school could host varsity football games since 1946.

 Young served as a Presbyterian Church Elder and coached youth football, basketball and baseball in Nebraska.



In 2013, Young was named to the Omaha Business Hall of Fame by the Greater Omaha Chamber of Commerce. 

Union Pacific’s board of directors will elect a successor as chairman, as prescribed by the company’s governance policy.


Atlanta gets first two Siemens S70 streetcars

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Written by: Douglas John Bowen

The first Siemens S70 streetcar destined to ply the streets of downtown Atlanta arrived in Georgia's capital city Monday, Feb. 17, 2014, while a second car was slated to arrive on the property Tuesday.

Two more S70 cars are scheduled to be delivered in March, completing the city's four-car order.

"This is the beginning of a new era in Atlanta's transportation history," \Atlanta City Councilmember Kwanza Hall told local media on Monday. "What we're trying to do is begin to build transportation around a new mode of getting people around."

Atlanta hopes to begin revenue service on the 2.7-mile transit loop sometime this year, though the specific opening day has fluctuated.

The route will offer direct access to MARTA's Peachtree Center station, and also serve Centennial Olympic Park, the World of Coca-Cola, the Georgia World Congress Center, the new College Football Hall of Fame, the future National Center for Civil and Human Rights, and the Martin Luther King Jr. National Historic site.

Siemens S70 streetcar gear made its operational debut last December in South Salt Lake on Utah Transit Authority's Sugar House streetcar route.

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