June 2024 NRC Bulletin

July 1, 2024

NRC Chairman’s Column: The NRC Is Giving Industrial Development the Attention It Deserves

Chairman Joe Daloisio’s column in the June issue of Progressive Railroading shares firsthand knowledge about his work on industrial development projects. He asserts that these projects don’t just change communities, they pave the way for lasting business relationships that mature into long-term maintenance, capital improvement, and potential expansion projects.

If you missed it, you can check it out at this link to learn some best practices from panelists from the 2024 annual conference about capitalizing on industrial development opportunities. Click here to read Joe's column: The NRC Is Giving Industrial Development the Attention It Deserves

NRC Veteran's Committee and NRC Staff Met With Veteran Job Seekers in Fort Cavazos, Texas

The NRC joined with more than 175 employers on June 11 at the Mega Career Fair in Fort Cavazos, Texas, to meet with U.S. veterans, military spouses and transitioning military, and members of the Guard and Reserve. Members of the NRC’s Veterans Committee and NRC staff met with job seekers to encourage them to consider employment in the railway industry with NRC member companies.

Veteran committee chair Bob Hirte shared "Thank you to Ames Construction, Hamilton Construction Company, Herzog, Ragnar Benson, RailPros, and Taylor Borthers Construction for your participation at MEGA Career Fair. We hope to partner with more member companies in the future to continue our intiative."

The NRC established its Veterans Committee to provide veterans with rail industry mentors and the opportunity to have a rewarding career in the rail industry post-military service. This Career Fair was a positive event that served as a springboard for the NRC Veterans Committee to more activities to integrate transitioning and post-military veterans into our industry. If you are interested in participating at future events with veterans seeking employment, please email info@nrcma.org.

The 2024 NRC Scholarship Program is now Open!

It's time to apply for an NRC Scholarship! If you work for an NRC member company and are a student or a parent or grandparent of a college-age student, take advantage of this opportunity to win a scholarship. The NRC has awarded more than $200,000 in scholarships to deserving students. Don't delay, the application deadline is August 30. Click here to find out all the details and how to apply: Scholarship Program

NRC Members: NRC Membership Renewal Period Now Open!

It is time to renew your company's NRC 2024-2025 membership. Your dues invoice are posted to your organization’s primary account-holder's account. To view your organization’s invoice when it’s processed, please visit www.nrcma.org and login with your username and password. Once you are logged in, you will see the invoice in the ‘my invoices’ section. The invoice will present your organization with a few options on how to renew your NRC membership.

We greatly appreciate your NRC Membership, and look forward to having you all re-join this year! If you have any questions at all or would like any other additional information, please do not hesitate to reach out to marian@nrcma.org.

Biden Administration Announces $1.8 Billion for Infrastructure Projects

Through the Rebuilding American Infrastructure with Sustainability and Equity (RAISE) program, the Biden administration announced it has awarded $1.8 billion in grants for 148 infrastructure projects across the U.S. Transportation Secretary Pete Buttigieg shared in a statement that "after decades of underinvestment, the condition of America's infrastructure is now finally getting better instead of worse--and today we proudly announce our support for 148 more projects in communities of every size across the country".

The 1.8 billion awarded will include funding the following projects: a project to restore about 45 miles of the Alaska Highway impacted by thawing permafrost, $25 million to reconstruct a California rail crossing, $23 to develop roads in Florida, nearly $25 million to construct a foot bridge in Pennsylvania and over $21.2 million to reconstruct a wharf in Puerto Rico. Click here to read more about the RAISE program and the infrastructure projects included.

AAR outlines safety actions taken since East Palestine train derailment

The Association of American Railroads announced last week that the nation's railroads have not waited for the National Transportation's Safety Board (NTSB)'s final report to take action towards improving freight-rail transportation safety. Since the NTSB released it's preliminary findings, the rail industry has taken "meaningful actions" to address what happened in the derailment. AAR officials shared in a press release that they "anticipate the report will focus at least in part on bearings and wayside detectors, tank-car standards and supporting first responders".

AAR officials also shared that since East Palestine, railroads have increased the frequency of hot bearing detectors across key routes, established new industry standards of stopping and inspecting trains when hot bearing detectors reading exceeds 170 degrees Fahrenheit, have reviewed rail carrier's current trending analysis programs to develop uniform recommendations for proactively identifying bearings that may become problematic and redoubled their efforts to train first responders. To read more about the press release from the AAR, click here.

STB Issues Environmental Report for Proposed Freight-Rail Line in New York

The Surface Transportation Board's Office of Environmental Analysis (OEA) issued a final environmental assessment (EA) last week for the proposed construction and operation of Townline Rail Terminal LLC's 5,000 feet of new rail line in Smithtown, New York. Towline filed a petition seeking the STB's authorization for the construction and operation of a new, common-carrier rail line in November of 2022. The proposed 5,000 foot line would connect and run parallel to the existing Long Island Rail Road mainline and would add two daily trains to the LIRR system five days a week.

VPRA and Norfolk Southern in Discussions for New Rail Agreement

The Virginia Passenger Rail Authority (VPRA) and Norfolk Southern Corporation are in preliminary discussions to purchase the Manassas Line and pursue the possibility of extending passenger rail service to the New River Valley (NRV) on the Norfolk Southern main line. This transaction would be beneficial to Virginians who us VRE's Manassas Line service because it would allow for additional frequencies. Extending service to the NRV via the N-Line could potentially reduce cost and accelerate VPRA's plans to expand passenger rail service to Cambria Yard in Christiansburg. Executive Director of VPRA, DJ Stadtler shared that "Norfolk Southern has been a great partner to VPRA as we've worked to reach more Virginians by rail, and we appreciate their efforts in aiding us in this endeavor."

Lessons Learned: Ancora vs. NS

Tony Hatch, independent transportation analyst and consultant shared insights and lessons learned regarding the proxy battles between Ancora and Norfolk Southern. Lessons learned mentioned by Hatch include understanding key stakeholders, investors don't care about safety issues unless it is considered systemic, performance and messaging is important, and to defend the plan. The lessons are highlighted for NS and other railways that could face activism in the future. 

Virginia and North Carolina Notify Regulators of Intent to Acquire NS Routes

In order to expand passenger and commuter service, Virginia and Charlotte, N.C. have notified federal regulators that they intend to acquire portions of Norfolk Southern main lines. Virginia will acquire the Manassas Line and the adjacent Seminary Passage. The deal would will permit more frequent Virginia Railway Express commuter service to and from Washington Union Station. The Virginia Passenger Rail Authority will also gain rights to add more Amtrak service between Alexandria, VA and Roanoke, VA. In Charlotte, the city will acquire almost 30 miles of the NS O-Line between Charlotte and Mooresville, NC. NS will retain the right to operate freight trains over the routes in Virginia and North Carolina. 

Amtrak on Track to Break Ridership Record in FY24

Compared to the same period last year, Amtrak's ridership has increased 20% and ticket revenue is up 10% in the first seven-months of fiscal-year 2024. Amtrak CEO, Stephen Gardner shared that they are "on target to set a new all-time ridership record by exceeding the 32.3 million passengers we carried in their record-breaking year". Gardner also reported that operating costs are increasing due to several factors, capital expenditures have significantly climbed, Amtrak experienced zero National Transportation Safety Board reportable accidents, currently has no NTSB investigations, and is sustaining the 20% decrease in employee injuries.