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 STB Common Carrier Obligation Hearing.
The Surface Transportation Board (STB) held a public hearing on April 24 and 25, 2008, focusing on the “common carrier obligation” of railroads. The common carrier obligation refers to the statutory duty of railroads to provide “transportation or service on reasonable request.” A railroad may not refuse to provide service because to do so would be inconvenient or unprofitable. However, the service request must be “reasonable.” Because the statute is highly subjective and wide open for interpretation, the hearing was held to further examine the issue, including the following specific areas: (1) service limitation resulting from a capacity constrained environment; (2) cost and safety issues related to the transportation of hazardous materials, especially toxic inhalation hazards; (3) carrier-imposed requirements for infrastructure investments by shippers; (4) the impact of volume requirements or incentives; (5) economically motivated service reductions and metering of the demand for service; (6) the proper use of rail embargoes; (7) when it becomes necessary to obtain abandonment authorization; and (8) to whom the common carrier obligation applies. The following agricultural organizations were represented on the hearing panel: National Association of State Departments of Agriculture; the Idaho Wheat Commission; the National Grain and Feed Association; the North Dakota Grain Dealers Association; Ag Processing; and Frank Bros. Feed and Grain Co.
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