FREIGHT RAIL POLICY ISSUES KEY FACTS

• Freight railroads privately invest $23B+ a year into their networks.
• They’re critical to our economy, supporting nearly 750K jobs nationwide.
• They need policies that allow them to keep investing.

America’s freight railroads form the backbone of the supply chain, investing about $23 billion annually. This commitment keeps the 140,000-mile network modern, efficient, and the safest, most fuel-efficient way to move land freight. Railroads strengthen U.S. industries’ global competitiveness and ensure consumers have access to diverse goods, playing a vital economic role.

Freight rail generated $233.4 billion in economic output in 2023, driving growth and supporting nearly 750,000 jobs nationwide. The industry offers some of the nation’s highest-paying jobs, reinforcing its role as a pillar of American prosperity. Smart public policies can help railroads keep delivering for America.

Automated Track Inspections

The FRA should permit railroads that have used expanded ATI inspections in conjunction with a reduced level of visual inspections. Railroads should continue and expand their programs because ATI systems reduce derailment risks. Additionally, they allow for better maintenance scheduling.

Cargo Theft

Multi-layered federal action that enhances law enforcement coordination and increases prosecutions is vital. It helps disrupt criminal operations. Furthermore, it protects consumers and businesses from supply chain disruptions and increased costs.

Cybersecurity

Cybersecurity legislation should enable nimble and effective response capabilities without liability concerns. It should direct relevant agencies to establish consistent procedures for timely government analysis and support.

Decarbonization

Policies to reduce greenhouse gas emissions must leverage market-based competition. They should be grounded in data and established through a cooperative approach involving stakeholders.

Economic Regulation

The STB must not implement wholesale changes that would compromise railroads’ ability. Specifically, changes should not affect earning the revenue necessary to reinvest in the network and their employees to meet customer demand. STB policies should encourage investment, not deter it.

Environmental Permitting

Freight railroads support reforms that would provide greater predictability and transparency in federal permitting processes. These reforms should ensure a timely, focused review of the environmental impacts of proposed projects.

Hazmat & Tank Cars

To mitigate the consequences of rail accidents, should they occur, railroads support making producers, sellers, or users hazmat. These stakeholders, as well as those who benefit from their transportation by rail, should share in the added liability and costs associated with transporting such materials.

Highway Trust Fund (HTF)

Congress should consider increasing the gas tax. Implementing a vehicle miles traveled (VMT) tax is also an option to ensure equitable funding for infrastructure maintenance. They should explore long-term solutions.

International Interchange

International interchange strengthens border security. Moreover, it boosts U.S. rail jobs and benefits communities by improving safety, reliability, and cross-border commerce.

Modern Regulatory Framework

Freight railroads need a modern, performance-based regulatory framework. It should encourage innovation and set operational goals based on data. Prescriptive regulations are outdated and hinder safety progress.

Passenger Rail

U.S. freight railroads provide the literal foundation for most intercity passenger service in America. Policymakers should ensure that the passenger rail service on corridors owned by freight railroads is done safely. It should not impede freight rail service.

Reconciliation Tax

Tax policies that support investment and maintain modal equity across the tax code will be imperative. Railroads support our workers, our customers, and the communities in which we operate now and into the future. Freight railroads support maintaining the 21% corporate tax rate and extending 100% bonus depreciation.

Right of Way Access

Lawmakers should oppose BDAC-like legislation that threatens public safety around rail infrastructure. They should let railroads and entities seeking railroad access to continue to negotiate agreements privately.

Surface Reauthorization

Freight railroads support restoring the highway trust fund to a true user-based system. They advocate providing robust funding for and streamlining safety-enhancing grant programs. Additionally, they support funding public entities partnering with host freight railroads. Improving safety by allowing railroads to innovate and deploy safety technologies is also crucial. Streamlining the environmental permitting process is necessary too. Freight railroads oppose policies that harm railroads’ ability to operate safely and efficiently.

Trade

Freight railroads support free and fair trade. International trade benefits the U.S. economy, largely facilitated through free trade agreements. Railroads oppose policies that restrict access to global markets, including tariffs that impose additional costs on rail shippers and industry business operations.

Truck Size & Weight (TSW)

Congress should not consider changes to federal TSW limitations until the full extent of impacts from different truck configurations are understood. Trucks should pay for the damage they cause to our nation’s roads and bridges.