Ocala Star-Banner: Will CSX Deal Be A Train Wreck?

By Bill Thompson
Staff writer

Published Monday, March 30, 2009

Seven years ago, a speeding northbound Amtrak passenger train derailed in Putnam County, killing four people and injuring more than 140 of the nearly 500 riders on board.

Investigators determined the April 2002 accident was caused by shoddy maintenance and improper stabilization of a section of the tracks, owned by CSX Transportation.

As a result, Amtrak paid $12 million in damages related to that crash near Crescent City, according to an October 2004 article by The New York Times. The article noted that some claims were still outstanding two and a half years later.

The Times also reported that CSX did not pay one dime, even though the multibillion-dollar company was responsible.

Instead Amtrak, which received more than $1 billion in government subsidies, bore the full financial burden for the mishap because Amtrak had agreed to shield CSX from liability in exchange for the right to use the freight hauler's tracks, a policy known as indemnification.

In fact, The Times found, Amtrak had doled out more than $186 million in accident claims over 20 years because of its indemnification agreements with CSX and other freight-train companies around the country - even though those accidents were not Amtrak's fault.

The state of Florida is poised to do the same thing.

Read complete story here: http://www.ocala.com/article/20090330/ARTICLES/903301006/1402/NEWS?Title...

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#34 Great blog, this could be the

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#36 Freight superhighway

Submitted by Bob (not verified) on Wed, 04/01/2009 - 15:34.
Read this report and see why Florida needs to become a freight superhighway. Transportation and Infrastructure Special Report Transportation Report: Rail comparatively inexpensive, clean way to move cargo By Rep. Corrine Brown (D-Fla.) Posted: 03/05/09 04:32 PM [ET] Congestion has become an all-too familiar fact of life in the United States today. According to the U.S. Department of Transportation, congestion across all modes of transportation already costs the economy some $200 billion annually. If you think congestion is bad now, just wait a few years. DOT projects that demand for freight transportation alone will almost double over the next three decades. How do we move all of that additional freight without increasing congestion? One way is by moving more freight by rail. Railroads already provide more than 40 percent of the nation’s freight transportation, moving everything from Florida orange juice to computers to building supplies. Moving more freight by rail brings with it enormous environmental advantages. In 2007, freight railroads moved a ton of freight an average of 436 miles per gallon of diesel fuel, more than three times as far as it could move on a highway. Freight trains also help reduce greenhouse gases. According to the U.S. Environmental Protection Agency, freight trains are cleaner than trucks, emitting only a third as many greenhouse gases to move the same volume equivalent distances. And freight rail also helps reduce highway congestion. A single intermodal train can take 280 trucks off the highways. There are many reasons we should look to freight rail as part of the solution to our transportation challenges. The problem is that railroads don’t have enough capacity to handle the expected freight traffic increase. Unless that capacity is increased, more and more freight will have to move on the nation’s highways. But highways are already congested, bridges are deteriorating and highway funding through the trust fund is declining. A 2007 study indicated that $148 billion should be invested to expand the capacity of the freight rail network by 2035 in order to keep up with demand. Railroads are already investing heavily to maintain, upgrade and expand their networks — more than $9 billion in capital improvements last year. That same study indicated that the freight railroads could raise about 70 percent of the expansion funds themselves. But that leaves a gap of about $1.4 billion annually between what the railroads themselves can invest and what is needed. One way to help bridge the gap is through a modest program of tax incentives. Bi-partisan legislation that I strongly support — the Freight Rail Infrastructure Capacity Expansion Act of 2009 (H.R. 272) — has been proposed in this Congress to extend a 25 percent tax incentive for projects that add capacity to the nation’s rail network. The incentive could be utilized not just by railroads but also by others who invest in those projects, such as a shipper who builds a spur to a plant or a trucking company that invests in an intermodal terminal. If that money is invested, highway congestion, stress on bridges and transportation-related greenhouse gas emissions can all be reduced while existing passenger rail capacity for Amtrak and local commuter trains can be retained. For freight rail to expand, it is also critical that a balanced and fair regulatory system be maintained. Under the system that was introduced in 1980, average freight rates have declined by about half, service has improved, accidents have fallen by 70 percent and the number of shippers using rail has increased. As we begin to develop and reauthorize the next SAFETEA bill, it is critical that the need for additional rail capacity for both freight and passenger rail be addressed. There is no one solution that will solve rail congestion. New and creative ideas from both government and the private sector must be utilized to increase and improve freight rail capacity. Our future prosperity depends heavily on a transportation system that allows goods to move freely to market. Freight railroads are critical to that system. We need to make sure that freight railroads can expand capacity and help keep our nation’s economy moving ahead. Brown is a member of the House Transportation Committee.

#37 SunRail won't fund Education

Submitted by Bob (not verified) on Wed, 04/01/2009 - 15:22.
The Orlando Sentinel has obtained an interesting memo from Joyce Rose, Republican Staff Director for the Subcommittee of Railroads, Pipelines and Hazardous Materials to Congressman John Mica. Guess what? If Paula Dockery and her misinformed minions get their way and derail commuter rail again, the federal money will NOT go to education. Instead, it will go to either New Jersey or Conneticutt. Go to www.orlandosentinel.com/politicalpulse to see the entire memo. The people who say commuter rail will take money from education know that's not true. But, how do you educate the uneducated?

#38 Mica Minion

Submitted by Joyce (not verified) on Wed, 04/01/2009 - 23:39.
Dear Congressman Mica, Here's the memo you requested. Even though any potential federal money goes through the New Starts grant program administered by the FTA, I'm sure your developer friends will be happy to disseminate the misinformation that I, as a Republican committee staff member states in this official looking document. Never mind the fact that there has never been guaranteed funding for the commuter rail project you are pushing or that your project didn't meet the criteria as it fell short of the medium rank required by garnering only a medium low designation for cost effectiveness. Never mind that there are 17 applicants all in the running for the remaining $750 million of New Starts funding. My claim that the failure of the Florida Legislature to act will result in our pretend funding going to San Francisco will get picked up by the Orlando Sentinel and strike fear in the hearts of those legislators that dare to deny your rich and powerful friends their god given right to develop the stations and profit off the backs of the taxpayers. Silly fools. Don't they know that you are the powerful ranking member of the transportation committee? Please advise how I might further help you. Joyce Rose

#39 Joyce Rose?????

Submitted by Mary (not verified) on Wed, 04/01/2009 - 22:24.
That is hilarious. Joyce Rose, the REPUBLICAN Staff Director for the subcommittee on Railroads! Is that the best you've got? The paid, partisan employee sends a memo to Mica. Oh my God, that IS BREAKING NEWS! Do you know how pathetic that sounds?

#40 No substantive reply

Submitted by Bob (not verified) on Thu, 04/02/2009 - 13:18.
It must sound pretty good since you have no substantive reply.

#41 Guess what they call it in railroading?

Submitted by Railroaded Again (not verified) on Mon, 03/30/2009 - 22:53.
The proper term for the cause of the Crescent City derailment should be telling in the present "Sun" rail discussion. The derailment was caused by what is known as a "sun kink.' Like the present state of the Sunrail deal, a "sun kink" is caused by too much heat from the sun being applied when there is not enough support. As a result of the unbridled expansion of the rail, the track blows out lateral causing a kink in the rail. Hmmm, too much heat without enough support. Sounds like a "Sunrail kink"

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