The Agricultural Transportation Working Group recently shared rail concerns with the Surface Transportation Board. Group member, National Grain and Feed Association President Randy Gordon says they sent a letter to the Surface Transportation Board asking for rule making to modernize the oversight of freight rail rates.
He says the current system in place for challenging rail rates is unworkable and costly. It’s estimated a rate review case costs on average between $5 million and $10 million or more and takes at least three to five years to litigate.
Gordon says under the present system, the railroads have control over whatever they want to do with no real challenge of their rates available to agricultural shippers.
Gordon says it’s critical the STB get a rule making process out soon to correct abuses in the current rail rates and how they can be challenged.
