AP: Imports, economy spur freight railroad revival

[question everything]

Imports, economy spur freight railroad revival

By David Koenig
ASSOCIATED PRESS

April 1, 2006

(snip)

After a quarter-century of decline, freight railroads are enjoying a revival as a rising economy and a surge of imports from China has meant more goods than ever riding on the rails. Shippers, however, aren't sharing in the joy – the boom in rail traffic means bottlenecks, declining service and longer delays getting their goods to market.

The reasons for the railroads' turnaround are varied. Demand for coal helps, as does a pickup in agricultural shipments. And truckers that compete with rail have raised their prices and face a shortage of drivers that has slowed service. But clearly one of the biggest factors is the boom in imports from China and other Asian countries. Those goods, from clothing to furniture, come into West Coast ports and are delivered by rail or truck to factories and stores nationwide. Shipping containers for Yang Ming, Cosco and Hyundai are common sights on trains leaving West Coast ports.

(snip)

Burlington Northern expects imports to help push traffic on transcontinental rail lines up 6 percent to 10 percent a year. The company has several ideas for handling the extra load. The railroad plans to use longer trains, up to nearly two miles long. It is testing automated systems that put trains closer together while still providing safe braking distance, which it believes could raise capacity 15 percent to 20 percent. (Union Pacific plans to test similar technology around Spokane, Wash.)

(snip)

Burlington Northern plans to spend $400 million this year on expansion, not counting buying 320 locomotives, which will push its fleet above 5,000. Omaha, Neb.-based Union Pacific says it will spend $305 million adding track in the West and improving rail yards and another $180 million on ethanol-shipping facilities in Iowa and Minnesota. The Association of American Railroads says its members plan to spend a record $8.2 billion this year on capital improvements, a 20 percent jump over last year. They also have aggressive hiring goals – 4,600 this year at Burlington Northern, 3,500 to 4,000 at Union Pacific – although much of it is replacing retiring workers. The railroads have money for this kind of spending because 2005 was a very good year. Strong demand allowed them to raise rates, sometimes by double digits. Revenue rose more than 18 percent at Burlington Northern and 11 percent at Union Pacific. Profits more than tripled at CSX and jumped nearly 40 percent at Norfolk Southern.


(snip)

Despite their recent success, the railroads say they shouldn't shoulder the burden of costly expansion by themselves. Railroad officials point out that their competition, trucking, benefits from federal spending on highways. The railroads are supporting a proposal in the works by Sen. Trent Lott, R-Miss., to give them a tax credit for spending that expands the nation's rail network.


Find this article at:
http://www.signonsandiego.com/uniontrib/20060401/news_1b1railroads.html

[physioex]

1. I have always been a proponent....

Of the railways. It keeps trucks off the highways not to mention the fuel savings. The trade imbalance with China is ofcourse a major concern....

[theHandpuppet]

2. The expansion and revitalization of the nation's rails...

... MUST be a priority for this country. The auto and oil industries did their part to dismantle our country's rail infrastructure, but now more than ever we must have an efficient and vibrant railway industry -- including passenger rail.

[question everything]

8. And this is the irony. Congress readily allocates funds for highways

and for airports, but requires rail companies, like Amtrak, to be self-sufficient.

[MADem]

3. Me too--for people moving as well as goods

The only gripe I have is AMTRAK's stupid no-pets rule. Even if they have to go in a baggage car, they should let ya bring yer dawg, and put you in a car near the baggage car so you can check on Fido. It's the only thing that keeps me off the rails, nowadays. Otherwise, I kind of enjoy a train ride. Very relaxing....

Edited to correct the spelling of the word PEOPLE!!

[theHandpuppet]

4. I'd sure as hell rather have my pet travel by rail than by plane

I really don't understand the rail's ban on pets.

[MADem]

5. I think they are irritated by weewee in the baggage cars

If they had standards for carry kennels, they could avoid that concern.

If rail takes off again, they just might change the rule, if enough people squawk.

[theHandpuppet]

6. Think how many good paying UNION jobs could be created...

... if this country made a real commitment to revitalizing our rail industry. That's one industry you just can't outsource!

[MADem]

7. Actually, we rebuilt the rail infrastructure in a big way during WW2

...using MEXICAN workers!!!!!

Swear to God, they had a "guest worker" program, and the Mexicans did the lion's share of the work!!!

[question everything]

9. And this is what we need to write our Representatives about

Last week there was a Congressional committee, or something, chaired by that moron from Florida, John Mica, about aviation needs in Southern California.

All the people there would like a bullet train, or a Maglev train to connect the existing airports. Frankly, I think that fast, reliable trains should replace air travel of less than 300 miles. This really could reduce the pressure on airports.

But "there is no money." But there is for roads and for airports.

http://www.signonsandiego.com/news/metro/20060322-9999-7m22airport.html

[theHandpuppet]

10. "But there is for roads and for airports..."

That's because cars, trucks and airplanes make loads of dough for the oil/gas industry, not to mention those who profit from fat highway construction contracts. Hate to be a pessimist, but I doubt we'll see lawmakers from either side of the fence pushing for RR expansion because of this. Any politican who says he or she is serious about tackling the problems associated with global warming but doesn't mention the nation's rail system is just blowin' smoke, IMHO.

[question everything]

11. We need to use the angle of jobs that cannot be outsourced

I think that this is an issue that many are willing to pay, at least, a lip service.

Also, the people who suffer from airports are often the low income minority people, as example is LAX. And as people are getting some muscle fighting to prevent airport expansion, a way to reduce such a load is to think outside the box, by using rail.

As this is an election year, some of them may find such a topic a useful one. We just need to be able to identify them.

[theHandpuppet]

12. One idea for Ohio's Dem candidate(s) ?

The building of a passenger rail line that runs from Cincinnati through Columbus to Cleveland. It's a straight shot and desperately needed. Such a line could hook up with Amtrak lines on the Cincy end to Cleveland on the other end (there is currently no Columbus service). Further, an East-West feeder line from a Columbus hub could travel from Indianapolis to the west to Pittsburgh and Philly to the east -- and without going through those convoluted hoops created by Amtrak's routes.

For a state on the downslide I could see plenty of good, union, blue collar jobs which could be created.

[theHandpuppet]

13. Just so y'all will know...

I presented the idea I outlined in post #11 to Ted Strickland's office (who is running for governor in Ohio) and have already received a positive response.

If more of you believe that revitalization of the nation's rails should become a goal for this country and part of the Dem platform, please write to your reps with your ideas. It certainly can't hurt!