The Transportation Safety Board of Canada (TSB) released its engineering laboratory report (LP148/2013) Thursday, March 6, 2014, analyzing the petroleum crude oil contained in tank cars of the Montreal, Maine & Atlantic Railway (MM&A) train that derailed on July 6, 2013 in Lac-Mégantic, Quebec. The derailment and resultant explosion killed 47 people.

TSB said that, as it noted in its Sept. 11, 2013 news release announcing the issuance of safety advisory letters to Canadian and U.S. regulators, test results indicate that the level of hazard posed by the petroleum crude oil transported in the tank cars of the occurrence train was not accurately documented.

For this report, samples were collected from the nine tank cars at the end of the occurrence train (MMA-002). These tank cars did not derail and were pulled back to Nantes, Quebec, after the accident, TSB said. Samples were also taken from two tank cars located at Farnham, Quebec (MM&A's Canadian headquarters). These two tank cars were part of another unit train operated by MM&A (MMA-874) that was transporting petroleum crude oil of the same origin as the oil carried by train MMA-002.

All the samples were tested and examined, TSB said, adding that it is releasing the engineering laboratory report documenting this comprehensive analysis in advance of the final investigation report.

TSB added, "If at any stage during the remainder of the investigation the TSB identifies additional safety deficiencies, it will communicate directly with regulators and the industry, and inform the public."

The report can be accessed here.

U.S. freight rail traffic was mixed over the 28 days of February, but advanced in the final days of the month included in the latest tally offered by the Association of American Railroads for the week ending March 1, 2014.

AAR reported Thursday, March 5, that U.S. freight carload traffic rose 1.4% for the week ending March 1, measured against the comparable week in 2013 and the second straight weekly gain. U.S. intermodal volume did better, up 3.4% for the week, also logging a second straight weekly gain. Total U.S. rail traffic for the week was up 2.3% over the comparable week in 2013.

Just four of the 10 carload commodity groups AAR measures on a weekly basis posted increases, however, led by grain, up 14.3%. Declining commodities included metallic ores and metals, down 5.2%.

Canadian freight carload traffic fared less well during the week ending March 1, down 11.8% compared to a year ago. Canadian intermodal, by contrast, advanced 3%. Mexican freight carload traffic fell 2.6% for the week compared with the same week a year ago; Mexican intermodal also declined, down 11.9%.

Combined North American freight carload traffic for the first nine weeks of 2014 on 13 reporting U.S., Canadian, and Mexican railroads remained in the minus column, down 1.8% percent compared with the same period in 2013. Combined North American intermodal volume was in the plus column, up 0.8%.

For the month of February itself, U.S. freight carload traffic declined 1.1%, while U.S. intermodal volume retained its winning ways, up 1.1%. Nine of the 20 commodity categories tracked by the AAR each month saw year-over-year carload increases in February over the same month last year, including grain, up 12.3%, and grain mill products, up 10.1%.

Coal continued to lag, down 3.5% during the month. Primary metal products also fell, down 7.2%.

"It would be nice to be able to separate out the effects of the harsh winter on rail traffic, but we can't do that. We can probably expect improvements in the rail numbers in the months ahead, assuming that the weather and the economy cooperate," said AAR Senior Vice President John T. Gray.

"In the meantime, crude oil has become a significant part of the railroad business. Railroads know how important it is to move crude oil safely, and they are committed to continually searching for ways to make this happen," Gray said.

This year’s historic bumper crop has conspired with exceptionally frigid air to make the grain-shipping season particularly contentious.

The immediate conjunctural factors of crop size and weather have conspired with underlying structural conditions to increase the prospect for yet another in Canada’s long history of federal attempts to balance rail efficiency and the frustrations of Western Canada’s grain growers.

The leading wheat farmers’ lobby wants the Western-dominated Conservative government in Ottawa to legislate “service obligations of the railways, in terms of car order fulfillment, car spotting, pickup, and delivery.” It also wants shippers to have “interswitching” access to a competing main line carrier extended from 30 km (18.6 miles) to 120 km (74.4 miles). The government says it is listening sympathetically.

The Western Canadian Wheat Growers’ Association advocates adjusting the country’s regulated cap on grain rates to give railways “greater incentive to provide additional surge capacity during the peak post-harvest shipping period.” But it wants to rake some of that back by sharing in the productivity gains made by the railways since the rate cap went into effect 14 years ago.

Crude-by-rail has become a new but probably illusory target for grain shippers. The Saskatoon-based wheat lobby argues, “Increased shipments of oil by rail result in fewer locomotives, crews, and line capacity dedicated to shipping grain.” It wants more pipeline approvals to release equipment for traditional rail-borne commodities.

The big cause for this year’s network congestion, according to CN spokesman Mark Hallman, is the persistent extreme cold that impedes the performance of train braking systems, forcing railways to run shorter, slower trains.

“The notion that CN’s crude-by-rail business is displacing grain on the company’s rail network has no merit,” Hallman said. “CN’s crude oil carloadings in 2013 accounted for just 1.4% of the company’s total carloadings of freight, and CN has ample network capacity in normal weather conditions to move all freight efficiently, including grain.”

A huge but late harvest combined with the Arctic air mass that settled over North America is slowing the movement of all freight, not just grain, Hallman said:

“When the temperature is forecast to drop below -25 degrees C, CN needs to plan for shorter trains to consistently get air from the head-end locomotives to the tail-end of trains to release the brakes. Usually, this occurs for relatively short periods in specific areas. This year, we have had to operate with shortened trains for much longer periods, and over much broader territory than normal.

“Shorter trains increase the number of trains operating on our network handling the same volume of traffic. Running more trains means a need for more crews, and more trains meeting and passing one another, which eats up network capacity. Shorter trains and cold weather also mean longer dwell times for cars in switching yards, and slower local train operations when delivering and picking up cars from sidings. The cumulative impact of the continuing severe cold has been to slow down the velocity of train operations throughout our network, which reduces our capacity to move traffic.”

Once normal weather returns, say both CN and CP, railways will be able to rapidly catch up with car spottings and pickups. That will not fix the underlying business and regulatory issues that guarantee tension among grain shippers, carriers, and governments.

Insisting that railways move more grain while at the same time crippling rate economics is deeply rooted in the country’s history. Canada’s sea-to-sea geographical span is in fact thanks to an 1897 deal that handed Canadian Pacific land and cash to push track just above the 49th Parallel as a counter to 19th century American “Manifest Destiny.” The deal included an absolute cap on CPR freight rates for shifting western grain to the Great Lakes and the backhauling of “settlers’ supplies” westward.

That “Crow Rate” subsidized both prairie growers and central Canadian manufacturers, to the disadvantage of Western attempts to build regional manufacturing. The Crow Rate was replaced in 1993 by a sliding cap on freight rates equal to 10% of the global wheat price. In turn, that cap was superseded in 2000 by today’s “maximum grain revenue entitlement.”

Incorrectly but universally referred to as the “revenue cap,” the current formula adjusts the annual rate the two Class Is may levy for carrying grain to the ports of Vancouver and Thunder Bay. For the 2013-2014 crop year, the formula fixes the maximum revenue for CN at C$35.51 per tonne, and C$33.15 for CP. The average haul is about 1,000 miles.

But, as with the previous schemes to damp market economics, the revenue cap isn’t working to anyone’s advantage. The government’s preferred solution, as in the past, is yet another set of mandates and price caps.

To offset its demand for compulsory service performance and a longer reach to competing carriers, the wheat growers suggest tweaking the revenue cap so that railways could charge slightly more for car movements above a “normal” threshold during the peak post-harvest shipping time. A 5% increase above the threshold would earn the railways a 1% increase in the rate cap, but only for the September-December peak period.

What the farmers giveth, they also want to taketh away: Any productivity gains made by the railways “should be shared with farmers through a reduction in the revenue cap.”

Gerry Ritz, Canada’s minister of agriculture, recently threatened to “mandate” the priority movement of grain by rail. As a first step in that contentious direction, Ritz ordered CN and CP to provide weekly instead of monthly reporting for grain car deployments. The Conservative minister warned the railways there will be “consequences” if they manage car movements to the disadvantage of farmers.

CN invested C$100 million last year to grow prairie capacity, including its northern line between Saskatoon, Sask., and Wainwright, Alberta, said Hallman.

“This investment in additional capacity has worked,” said Hallman. “It has increased the network capacity to operate more trains, and has provided a more robust parallel route for recovery from disruptions. So far this year, CN has doubled the number of trains operating over the Prairie North Line compared to a year ago.

“CN has also acquired and deployed more equipment to handle record volumes of traffic, including Western grain, by acquiring more high-horsepower locomotives and augmenting its fleet of grain hopper cars. CN has also trained management employees as conductors or engineers, who have been stepping in during December and January to help relieve short-term crew shortages in targeted areas of the network impacted by the extreme cold. These and other initiatives have helped mitigate the short-term effects of winter on our operations and to grow our long-term spotting capacity for Western grain.”

CP, for its part, moved 17% more grain than the five-year average from September through January, and 8% more than last year, said spokesman Ed Greenberg. It could move even more if port terminals had capacity to accept it, he said.

“This is a complex supply chain issue involving not just the railways, but all participants,” said Greenberg. “For example, the grain handling and transportation system would further benefit from more port elevators working 24/7 to match the round-the-clock operation of the railway. By working 24/7, the ports would unload more railcars so we can turn them back into service for grain shippers.”

Throughput is expected to increase as spring weather opens Great Lakes and Hudson Bay ports to grain traffic.

On Jan. 8, 2014, the MBTA awarded a $2.68 billion, eight-year contract to Keolis Commuter Services, a subsidiary of Keolis North America (whose majority shareholder is SNCF, French National Railways), to operate the MBTA’s commuter rail system. The contract includes a provision for up to two, two-year extensions worth approximately $1.6 billion, combined. MBCR, the only other bidder, believing the Keolis bid to be non-responsive, filed an administrative protest with MBTA on Feb. 7, 2014. MBTA has not made a final decision on MBCR’s protest and has extended the deadline for doing so until early April; MBCR said MBTA wants the protest to languish, running out the clock until it is too late to reverse its decision.

On March 6, 2014, MBCR filed a motion in Suffolk County (Mass.) Superior Court  to halt the award of the contract to Keolis, and invalidate the contract.

In its court filing, MBCR cited “irreparable harm created by the MBTA’s decision to move forward with transition to a new operator while refusing to review MBCR’s formal protest in a timely manner.”

“MBCR’s request for an injunction follows discovery of multiple, serious deficiencies and errors found in commuter rail procurement documents made public by the MBTA following public records requests,” MBCR said. “These mistakes include a $428 million understatement of actual commuter rail costs in the MBTA’s Independent Cost Estimate (ICE), which omitted costs such as guaranteed annual wage benefits worth nearly $5,000 per employee, and $10 million in existing costs for parts and materials that are required to maintain trains. When compared with an accurate ICE, the fixed-cost bid price falls more than $500 million below the realistic price of operating the system. Additionally, SNCF/Keolis failed to provide a detailed security plan as required by the Request for Proposals and instead offered a promise to prepare one sometime in the future.”

Records provided by the MBTA “also show the MBTA’s Deputy General Counsel responsible for the integrity of the procurement assisted SNCF/Keolis in an apparent attempt to conceal documentation of significant noncompliance in the SNCF/Keolis proposal,” MCBR added. “A series of emails between the MBTA and SNCF/Keolis officials—exchanged after a legally binding deadline had passed—show the attorney advised SNCF/Keolis to withdraw an inquiry from the official record that would have required public disclosure of noncompliance.”

“The holes in the MBTA’s procurement process are big enough to drive a locomotive through,” said Alan Moldawer, an attorney for MBCR. “Every bid for a government contract must adhere to a strict, legally proscribed process, but the MBTA ignored its fundamental responsibility to provide a level playing field to both bidders and overlooked obvious deficiencies that allowed SNCF/Keolis to stay in the bid process.”

MBCR claims it found more than a dozen “deficiencies” in the commuter rail procurement in documents obtained from the MBTA. Among them:

• “SNCF/Keolis submitted misleading information and misrepresentations regarding SNCF’s subpar commuter rail performance, where public records reveal system On Time Performance (OTP) at 88%, not 95%, and did not disclose data from other commuter operations in France that are widely criticized for widespread delays and poor service.”

• “SNCF/Keolis [provided the names of] employees of its parent company in France as references instead of representatives of agencies it serves, and the MBTA did not check [those] references.”

• “SNCF/Keolis claimed it could not provide accident statistics or a detailed accounting of its past safety performance as required by the procurement because its operations in Europe were ‘too big’ while rail services provided by its American subsidiary were ‘too small.’”

• “SNCF/Keolis’ proposed key management team includes three high-ranking officials who now will not fill the positions as set forth in the SNCF/Keolis bid—a ‘bait and switch’ technique long considered unacceptable.”

• “MBTA disregarded stated financial covenants that required bidders to achieve minimum profit margins that would ensure long-term financial stability and availability of funds to pay for up to $12 million in potential fines and penalties. SNCF/Keolis’ bid presented a ‘zero dollar’ profit margin in ‘Year 1’ and profit margins for the entire contract that breach the bid requirements set forth by the MBTA.”

• “SNCF/Keolis failed to meet the minimal ‘acceptable standard’ for Disadvantaged Business Enterprise (DBE) participation. In January, the MBTA publicly reported that SNCF/Keolis’ DBE plan was satisfactory but internal MBTA documents show the plan was not ‘acceptable.’ The MBTA has since directed SNCF/Keolis to develop an ‘acceptable’ DBE plan prior to assuming control of the commuter rail system.”

• “SNCF/Keolis ignored the MBTA’s bid requirement to submit detailed security and emergency preparedness plans. Rather than develop plans or show an understanding of the system needs as required by procurement rules, SNCF/Keolis promised to develop plans after award of a contract.”

MCBR called upon Robert Stephan, the former U.S. Assistant Secretary for Homeland Security, to review the SNCF/Keolis bid. Stephan, a “globally recognized safety expert,” said that SNCF/Keolis has failed “to provide security and emergency preparedness plans, as required by the procurement.” This “contradicts the basic standards of public transit safety in the United States after 9/11.”

“SNCF/Keolis’ promise to prepare plans at some point in the future is no substitute for the essential requirement of detailed Security, Emergency Preparedness and Emergency Response plans that illustrate a clear, thorough understanding of the risks associated with the commuter rail system in Boston and Massachusetts,” said Stephan. “There is no excuse for failing to prepare these essential plans, or the MBTA’s decision to ignore the omission. These plans are the foundation that tens of thousands of commuters rely upon to safeguard their well-being and security, every day.”

A Keolis spokesman said MBCR's allegations are misleading and that the company is trying to “disguise its own shortcomings and create an atmosphere of disorder.” MBCR “continues to play the role of obstructionist,” the spokesman said. He added that Keolis is contributing $18 million in working capital, and that Keolis and  SNCF have also posted a $20 million standby letter of credit.

MBTA said it is reviewing MBCR's allegations, but added that MBCR’s decision to pursue legal action is uncalled for. “If MBCR proceeds to seek an injunction, it will do so in blatant violation of the procedural rules it agreed to and the contractual promises it made to the MBTA under its current contract,” MBTA spokesman Joe Pesaturo said in a statement.

MBCR’s final bid was approximately 6% higher than that of Keolis.

Fairport, N.Y.-based RailComm said Friday, March 7, 2014, a major North American railroad yard in North Baltimore, Ohio, has chosen to upgrade it current yard control system to include 18 new switch locations.

The locations include nine in the Process Area Extension, four in the R&D Track Project's East and West End, two in the West End Ready Track, two in the Engine East Ready Track, and one in the East End Bad Order Track.

In addition, 16 derail locations are being added throughout the yard, RailComm said.

The switch and derails locations will use wheel counters as the train detection equipment in order to detect the presence of any rail vehicle in the vicinity of the device and to prevent the switch from being thrown beneath a vehicle. Switch position indicators (SPIs) will provide visual indication of the status of the switch.

RailComm's SPIs are triple aspect and have a LED Automatic light intensity adjustment for day and night mode. The triple sided SPIs can be angled independently and therefore parallel to the track in both directions. RailComm is including SPI's for all switch locations. A blue strobe will be provided for each derail to indicate when the derail is in place.

Existing workstations and servers are being used for control of the switches and derails via the RailComm Domain Operations Controller (DOC®) system. The DOC system allows for the control of and provides the status of field devices and operator actions by altering the display states of the icons on the screen.

RailComm's 2.4 GHz RADiANT™ spread spectrum data radios will be used at each switch and derail location to provide reliable and secure communication.

It’s the only conference anywhere that brings together the people who make, buy, finance, use, and care for equipment, and it’s the only place one can talk about trends and outlooks in all four areas with the people who set the trends and make outlooks come true. The March 2014 conference, the 28th in the annual series, was no exception. There were more than 200 people in the room at the opening gong, representing major players from GE, GATX, Union Tank Car, Georgia Pacific, The Andersons, and First Union Rail to Trinity, Union Tank Car, Norfolk Southern, and Union Pacific.

The REF conference is unique because the agenda sequence never changes. What’s presented does—and how. Day One covers an overview of trends and outlooks for the capital markets, railroad equipment, and commodities (this year we did frac sand, steel, intermodal, auto, and coal). Day Two is markets and economics, this time featuring the S&P Outlook, tank cars, boxcars, and covered hoppers. Day Three is locomotives: What’s a used locomotive worth, how does GWR manage its fleet, how to tweak DC power so it acts like AC when you need it, etc.

The conference is rife with what I call “Things You’ll Never Hear Elsewhere But Ought To.” A sampling: Why is the GP38-2 the most popular short line power, and why does a used SW1500 cost three times as much as a used SD40-2? Forty-foot ISO containers are popular in Europe; why not here, and, if here, would they replace tank cars and covered hoppers? (Channel checks since say not likely.) Norfolk Southern does close to 300,000 boxcar loads a year—what’s in them? How car-hire works and who pays it. (This last very worthwhile because the tone of the Q&A says it’s not well understood here.)

More takeaways from REF 2014: The most popular car for plastics is now a 6,245 cubic-foot covered hopper. Though new natural gas drill holes are down, frac sand and cement are up as each site goes deeper and wider. Standard & Poors predicts roughly 3% GDP growth and 4% freight rate growth through 2015. Builders expect 11,000 new small-cube covered hoppers will be built in 2014. The Big Three in forest products are Georgia Pacific, International Paper, and RockTenn; they still like the plug-door 50-foot boxcar. The BNSF decision to buy 5,000 tank cars for crude oil is a “signal to the market.” The prospect of LNG-fueled locomotives is a “tsunami” to railroad economics.

If there were one thing I could wish for at the REF conference, it would be for more short line participation. I counted just seven short line names on the attendee list and two of these were presenters. I realize that most non-Class I roads are like Blanche in Streetcar when it comes to car supply: They depend on the kindness of strangers. But that’s no excuse. They still have stuff to move and they need cars to move it in plus power to pull it. What are their options? REF has answers.

Kruglinski feels the same way about short line participation and is prepared to do something about it. First, registration fees. The full ticket can run north of $1,000 per player, twice what short lines are used to paying for their convention outings. Thus, says Tony, he’s planning a discount for non-Class I road attendees for the REF 2015 session next March. Second, hotel fees. He’s considering—just considering—a break here too. That’ll depend on demand and what he can arrange with the La Quinta Resort. Let me know if you’re interested so I can aggregate the numbers and advise Tony.

During 2014, Amtrak plans to move forward on key capital improvement projects, including continued installation of PTC (Positive Train Control) safety technology, the start of major construction to upgrade Northeast Corridor high speed rail, and expansion of station accessibility for passengers with disabilities.

POSITIVE TRAIN CONTROL

In 2014, Amtrak is continuing its aggressive program to install ACSES (Advanced Civil Speed Enforcement System) and ITCS (Incremental Train Control System), its versions of PTC on an additional 1,200 track-miles beyond the approximately 530 track-miles where it is already in operation on some Amtrak-owned sections of the Northeast Corridor (ACSES) and all of its Michigan Line (ITCS). Amtrak is also taking action to obtain needed radio spectrum to transmit data critical to make PTC operational in the new areas. PTC is an overlay on the existing signaling and train control system that can prevent train-to-train collisions, derailments caused by excessive speed, and certain human-caused incidents such as misaligned turnouts. Amtrak says it is on target to meet the Dec. 31, 2015 federal deadline for PTC.



NORTHEAST CORRIDOR HIGH SPEED RAIL



In 2014, Amtrak is beginning major construction activities on the “New Jersey Raceway,” a 23-mile section of the Northeast Corridor between Trenton and New Brunswick, N.J., to increase top train speeds to 160 mph from 135 mph and improve reliability along this heavily used section. The project will upgrade track and various elements of the electrical and signal systems (such as replacing the existing variable-tension catenary with modern constant-tension catenary) to support the higher speeds, and reconfigure the interlocking plant at Penn Station New York to mitigate congestion issues.



ADA STATION ACCESSIBILITY

In 2014, Amtrak will advance its Accessible Stations Development Program with continuation of existing construction work at eight stations in three states and new construction activities at 21 stations in eight additional states. In addition, necessary ADA-related design work will be completed at 61 stations in 20 states.

GATEWAY PROGRAM, BRIDGES AND TUNNELS



Amtrak will also move forward in 2014 on other infrastructure projects including: various planning elements of the Gateway Program to expand track, tunnel, and station capacity between Newark, N.J., and Penn Station New York (among them, construction of two new Hudson River tunnels just south of the existing ones, and a new Portal Bridge); ongoing construction of a concrete casement through the Hudson Yards commercial development project to preserve a possible pathway for the future Hudson River tunnels into Manhattan; and design work for replacing major Northeast Corridor and century-old assets such as the Susquehanna River Bridge (Md.), the Pelham Bay Bridge (N.Y.), the Connecticut River Bridge (Conn.), and the B&P Tunnel (Md.).

OTHER INFRASTRUCTURE WORK



By the end of its 2014 maintenance program, Amtrak expects to install or replace nearly 165,000 crossties, 23 track-miles of rail, and several dozen track turnouts and interlockings. The railroad is also upgrading numerous sections of its electrical and signal systems along the Northeast and Keystone Corridors, and performing various maintenance projects on property it owns in Chicago, New Orleans, and elsewhere in the country.

 In addition, Amtrak forces will perform significant work as part of state-led projects to upgrade tracks and signal systems between Kalamazoo and Dearborn, Mich.; Poughkeepsie and Albany, N.Y.; and New Haven, Conn., and Springfield, Mass.

“With limited federal capital funding we are doing the work that needs to be done to keep the railroad operating and taking action where we can to achieve safety, operational, and passenger travel improvements,” said President and CEO Joe Boardman. “However, to truly realize the mobility and economic benefits offered by passenger rail, there must be dedicated federal funding to support a multi-year planning and construction program.”

Supporters of Detroit's public-private partnership advancing a $140 million initial streetcar line say construction will likely begin this spring.

The three-mile project, currently dubbed M1 Rail (or, often, M-1 Rail), will also be rebranded with a new name, possibly involving naming rights.

"I think it's absolutely just the first portion of a regional transit network. I think this really gives us the foundational link people are going to build on," Matt Cullen, CEO of M-1 Rail, told local media.

A plan from the metropolitan area's new Regional Transit Authority, itself virtually mandated by federal officials in order for the area to qualify for any federal transit funding, was to ask voters for a fee or tax to pay for a larger, more cohesive public transit plan. But the vote has been delayed until at least 2016, in part to allow the streetcar line to demonstrate its utility to the public.

"I hope that we can move beyond this first phase," said Harriet Saperstein, chairperson of the nonprofit civic group Woodward Avenue Action Association. "The downtown portion is important, but it's only one part of the public transportation system we need all along Woodward Avenue."

Last fall Detroit awarded a contract to Parsons Brinckerhoff for design, review, and construction quality assurance services for the project along Woodward Avenue.

Bids for rolling stock were due to be submitted Oct. 21, 2013, but a decision on a winning supplier has not been made public.

More Americans relied on public transit (bus and rail) in 2013 than in any year since 1956, the American Public Transportation Association (APTA) said Monday, March 10, 2014.

APTA said overall transit ridership rose 1.1% during 2013, with almost 10.7 billion trips taken on public transport, recovering from somewhat depressed levels attributed to the Great Recession.

"People are making a fundamental shift to having options" aside from a car in how they get around, said APTA President and CEO Michael Melaniphy. "This is a long-term trend. This isn't just a blip."

Among other large systems, Los Angeles County Metropolitan Transportation Authority (LACMTA) light rail transit ridership rose 6% from 2012 levels, in part due to LACMTA's expanding LRT reach. Including bus transport, LACMTA ridership rose 1.9% over 2012 levels.

New York's Metropolitan Transportation Authority ridership on regional rail, subway, and bus lines rose 3.6% in 2013, according to APTA figures and MTA officials.

Metra has won a local Silver Addy Award from the American Advertising Federation, honoring the agency's digital billboard touting the Chicagoland regional rail system as the area's "Real Expressway."

Created jointly by Staples Marketing and Metra's marketing team as part of the "Metra Makes Life Easier" campaign last spring, the billboard won the award in the category of "Out-of-Home, Outdoor Board, Flat," a Metra spokeswoman says.

The American Advertising Federation's Madison, Wis., chapter announced the award late last month. The American Advertising Federation is based in Washington, D.C.

The campaign stressed all the advantages of riding Metra, with additional emphasis on the volatility of gas prices and the amount of time and money Chicagoans waste annually sitting in traffic jams.

"We are very pleased that our efforts to bring new riders to our trains have been recognized by industry professionals," said Metra Executive Director/CEO Don Orseno in a statment. "Our promotional programs were an important part of developing good relationships with customers in 2013, and that will continue this year."

Metra says its ridership of 82.3 million passenger trips in 2013 was up 1.2% over 2012 passenger levels, in keeping with the nationwide trend detailed March 10, 2014 by the American Public Transportation Association (APTA).

Axion International Holdings, Inc. said Tuesday, March 11, 2014 it has "a second purchase order for ECOTRAX® rail ties to be shipped to Russia and installed in track with a major transit line."

The order, for 600 rail ties, was sold through Axion's in-country distributor and business partner, TVEMA, an international group of companies based in Moscow whose subdivisions are involved in design, manufacture, and project development of rail diagnostic equipment.

"We are excited with the progress we have made in developing our business in Russia," said Axion President and CEO Steve Silverman. "Breaking into a new market with a new technology is a process that takes time. After several years of lab testing and in track trials, we are starting to see the business develop.

"Russia is the second largest rail network in the world and we have focused resources against this large opportunity," Silverman noted. "We are extremely pleased with our partnership with TVEMA and look forward to a very fruitful relationship as we continue to progress in the global adoption process for a high quality composite rail tie and continue to build our footprint in Russia."

New Providence, N.J.-based Axion says its composite rail ties have potential for widespread adoption throughout Russia's rail network, many of which traverse a variety of climates where wooden alternatives are short-lived. ECOTRAX® rail ties are not porous and do not absorb moisture, and therefore are impervious to water and rot, the company says.

Chicago-based NxGen Rail Services announced Wednesday, March 12, 2014 what it calls "the release of the world's first high-speed rail inspection system capable of detecting missing and displaced rail anchors."

Until recently, the most common way to inspect rail anchors was to walk the track or manually inspect them from slow speed road rail vehicles, NxGen says. The new software module within the NxTrack inspection system can automatically scan for clusters of missing anchors at 70 mph aboard the CRDX391 inspection car. It also provides detailed reports of any defects.

The NxTrack CRDX391 currently houses the anchor inspection software module, but NxGen plans to include it in all new inspection cars as well.

"At NxGen we are responsive to customer's needs," said Robert Grant, NxGen Managing Director. "We are excited to provide the industry with the first, high-speed solution for inspecting rail anchors as a part of our NxTrack inspection system."

Last December the company announced the launching of NxTrack, describing it at the time as "a fully integrated, line speed, rail track inspection system."

NxGen Rail Services, with operations in the U.S. and Europe, is a subsidiary of Sasser Family Holdings, Inc.

Prior to receiving the award, Boardman was honored with a special video presentation prepared by Amtrak’s Corporate Communications department that featured tributes from Amtrak board members past and present, among them current Chairman Anthony Coscia, Tom Carper, and Hunter Biden. The presentation concluded with a message from Vice President Joe Biden.

Nick Little, director of the Michigan State University Certificate Program in Railway Management, presented Boardman with a scholarship for an Amtrak employee who wishes to attend the program (center photo). Following the dinner, Railway Age Publisher Jon Chalon presented Boardman with a commemorative portfolio and pen (bottom photo) on behalf of all the railway industry suppliers who supported Railway Age’s January 2014 Railroader of the Year issue.

Marco Fumagalli (top photo) assumes the role as President and CEO of Ansaldo STS USA, replacing Thomas Lawton, who will remain as counsel to the company. Fumagalli will also retain his previous role as global Senior Vice President of Strategy, Quality and Improvement. A graduate of the Polytechnic of Milan (Italy) and Stanford Business School, Fumagalli has been an employee of Ansaldo STS since 2011. Prior to that, he worked for the Boston Consulting Group.

Roberto Passalacqua (bottom photo) has been appointed as Vice President of the Railways & Mass Transit Business Unit in North America. Passalacqua graduated with a degree in Electrical Engineering from the University of Genoa and a Masters Degree from the University of Birmingham. After several roles in the transportation industry, he joined Ansaldo in1997, where he had numerous management roles on large global projects. Most recently, he worked as the global Vice President of Risk Management.

Jason White, previously Vice President of Sales and Business Development, will take the role of Vice President of the Freight Business Unit. He maintains his current commercial activities as well as assuming responsibility for the delivery of projects within the Freight Business Unit.

Founded in 2004, GoRail mobilizes support for policies that would lead to more freight moving by rail and opposition to policies that would limit the freight railroads’ ability to meet growing freight demand. The GoRail locomotive will enter into regular freight service on Norfolk Southern’s system.

The EMD SD60E locomotive “features a paint scheme combining the infinity lines of the Norfolk Southern livery with the tracks of the GoRail logo,” NS said. “The lines end in an arrow to depict movement, and the GoRail colors carry through the modified speed lines to show the unity of GoRail and Norfolk Southern, creating the look of land as seen from above and signifying freight movement. The GoRail locomotive joins Norfolk Southern’s 30th anniversary fleet of 20 non-traditional locomotives painted in the schemes of key predecessor railroad companies and the veterans’ locomotive painted to honor those who have served in the military and reserves. The GoRail locomotive was painted in Altoona, involving 14 Norfolk Southern employees using 60 gallons of primer and paint over a 40-hour period.”

“We are honored that Norfolk Southern has commissioned this special GoRail locomotive and are excited for its debut,” said GoRail President Russell McGurk. “We believe it will help GoRail spread awareness about the many public benefits of rail, including more jobs, improved safety, less pollution, and less energy consumption. When the public understands that America’s privately owned freight railroads invest billions of dollars each year in the nation’s rail network, so taxpayers don’t have to, they are eager to get behind pro-rail policies.”

“Our industry has a great story to tell, and GoRail does an excellent job of educating the public about the benefits and strengths of the American freight rail system and the continuing high levels of freight rail investment to drive safety, service and growth,” said Norfolk Southern CEO Wick Moorman. “We are pleased to help promote GoRail and their pro-rail mission.”

The unveiling of the GoRail locomotive (No. 6963) was to take place at a reception on March 12 at Union Station in Washington, D.C., the evening preceding Railroad Day on Capitol Hill. Photos were then be posted to the GoRail and Norfolk Southern social media accounts.

A time-lapse video of the painting of No. 6963 is on YouTube at https://www.youtube.com/watch?v=7h55AaK6rZ0.

Eliasson discussed a variety of financial and market-specific topics, including the first-quarter 2014 weather impact on CSX, macroeconomic drivers of company growth, and long-term earnings guidance.

 “The severe weather has challenged CSX operations and volume, with the impact on first-quarter earnings now expected to approach 10 cents per share,” he said. “After several years of excess inventory at coal-fired utility plants in CSX’s service territory, inventories are now close to normal levels as a result of the colder than normal winter weather. In addition, broad-based growth in the company’s merchandise and intermodal markets in 2014 will continue on the strength of macroeconomic expansion, opportunities afforded by the process of natural gas drilling, and conversions from highway to intermodal service.

”

To continue to promote modal conversion (truck to rail), Eliasson said CSX “is making strategic investments to capitalize on an estimated nine million truckloads in the East that would benefit from intermodal service. To leverage that opportunity, the company is expanding its Northwest Ohio Intermodal Terminal to leverage growth in the small- and mid-sized markets CSX now reaches as a result of its combined corridor and hub-and-spoke strategies.



”Long-term, the company expects to continue generating sustainable, profitable growth for investors by leveraging its diverse business portfolio while continuing to price above inflation and drive efficiency gains of at least $130 million per year.

 With this as a foundation and with coal headwinds subsiding, CSX expects to deliver double-digit EPS growth on a sustainable basis. However, it is not clear whether the double-digit EPS growth expected in 2015 will be sufficient, in combination with the more modest earnings growth expected in 2014, to produce a compound annual growth rate of 10% to 15% over the two-year period. At the same time, CSX continues to target a high-60s operating ratio by 2015, which the company believes is still attainable. Longer term, the company remains focused on achieving a mid-60s operating ratio.
”

In addition, APTA’s plan calls for a number of policy changes “that will ensure that the industry provides effective and
 efficient public transportation,” said APTA Chair Peter Varga, CEO of The Rapid transit system in 
Grand Rapids, Mich. “The industry has come together and developed a consensus recommendation
 that creates American jobs and addresses the growing demand for public
 transportation. Our future is riding on public transportation and we 
are moving forward to work with Congress to implement this plan that wil l
help our local communities grow.”



According to APTA, the return on investment of its recommendations will 
result in an additional 1.1 million jobs created or sustained annually, $66
 billion in business sales generated yearly, and $9.5 billion in local, state, and federal tax revenue generated each year. “That means for every $1 
communities invest in public transportation, approximately $4 is generated 
in economic returns,” said APTA President and CEO Michael
 Melaniphy. “This multi-modal plan we are recommending fosters community growth by 
driving economic development and revitalizes neighborhoods. Increasing investment in public 
transportation and roads is essential for growing our economy in the U.S. 
and remaining competitive in a global economy."
”

Some highlights of the APTA recommendations:

• Authorize a public transportation program that provides strong
 funding
 for no fewer than six years.

• Establish a new dedicated Trust Fund funding mechanism that
 supplements
 existing dedicated revenues for the Highway Trust Fund and the Mass Transit Account.


• Restore the bus and bus facilities program to pre-MAP 21 levels in 
two
 years.


• Increase and balance federal capital investments in programs for 
formula
 funding, new starts and extensions, state of good repair, and bus 
and
 bus facilities.


• Ensure existing public transportation infrastructure and facilities 
are maintained and updated through major capital investments in current
 and
 future projects.


• Enact a robust and long-term program for investment in high speed
 and
 intercity passenger rail.


In support of its recommendations to Congress, PTA also launched
 a new nationwide integrated outreach campaign called “Where Public
 Transportation Goes, Communities Grow.” It features research-based 
advertising, public relations and social media, as well as a digital
 grassroots outreach initiative.



Investment in public transportation infrastructure drives growth,” said
 Melaniphy. “It attracts development while increasing property values. It 
connects employers to employees, restaurants to diners, landlords to 
renters, and families to local stores. It provides a vital connection for 
people from all walks of life.”

Currently, Sease serves as Director Corporate Communications, a role in which he leads the company’s media efforts and supports initiatives with respect to branding, employee engagement, the financial community, and public safety. Sease developed the CSX’s signature “Play it Safe” campaigns, and led CSX’s efforts to broaden public safety messages, often in partnership with government and non-profit safety agencies.

 Among the “Play it Safe” initiatives are CSX’s sponsorship of Front Row Motorsports’ driver David Ragan (lower photo) and the no. 34 Ford Fusion in the NASCAR Sprint Cup Series.

Sease succeeds Vance Meyer, who is leaving CSX “after leading significant communications efforts, including successfully strengthening the company’s brand and developing social media capabilities over the past nine years,” said CSX Executive Vice President Law and Public Affairs Ellen Fitzsimmons.

 “Gary is a skilled and experienced communications professional and leader who seeks to address the needs and expectations of CSX’s many audiences with candor, efficiency, and insight. With extensive media relations, regulatory, financial and management communications background, he will build on the successes Vance brought to CSX.”

Sease began his career as a reporter at The Florida Times-Union and later worked for United Press International before joining CSX in 1986. He has been active in the Florida and Jacksonville Chambers of Commerce and the Florida NAACP.


Tigard, Ore., voters appear to have approved Ballot Measure 34-210, which specifically rejects any effort by TriMet to extend MAX light rail transit into the community.

The vote, held Tuesday, March 11, 2014, allows Tigard to amend its city charter to officially oppose LRT. Assuming no last-minute changes in the tally, TriMet would have to address any future public transit issues using other modes, such as Bus Rapid Transit (BRT) or regular bus service options.

TriMet General Manager Neil McFarlane told local media the agency will continue to move forward on its Southwest Enhancement Plan for bus service in Washington County cities, some of whom objected to service cuts feeling neglected after a series of service cuts were put in place during the Great Recession. "We don't consider (the ballot measure) to be opposition to TriMet bus service," McFarlane said.

The ballot measure also requires Tigard to send an annual letter to Oregon's governor, the state Department of Transportation, TriMet, Washington County, and the Federal Transit Administration, among other authorities, reiterating Tigard's opposition to high-capacity transit projects.

Tigard's action is not unprecedented. In 1991, the California legislature, urged by anti-rail voices and some labor unions, passed a law banning light rail in parts of Los Angeles County (unless LRT was placed completely underground), which led to implementation of the 14-mile Orange Line busway. But last January, the State Assembly unanimously passed a bill that would repeal the ban on above-ground rail. The bill, AB 577, has moved on to the State Senate for consideration.