Home » Shippers urge STB to require capacity improvements before Amtrak can launch Gulf Coast service

Shippers urge STB to require capacity improvements before Amtrak can launch Gulf Coast service

By Bill Stephens | February 7, 2022

| Last updated on March 30, 2024


Letters follow request for support from CSX CEO

Freight train with blue and yellow engine leaving main line
A westbound CSX merchandise train enters a 6,300-foot passing track at Harbin, Miss., for a meet with an eastbound freight on June 6, 2021. Letters from shippers and trade groups are asking the Surface Transportation Board to require Amtrak to fund infrastructure improvements before starting Gulf Coast passenger service. Bob Johnston

WASHINGTON— More than a dozen rail shippers and trade associations from across North America have written to federal regulators to express concern about how proposed Amtrak service on the Gulf Coast could harm freight service between Mobile, Ala., and New Orleans.

Most of the submissions are form letters that urge the Surface Transportation Board to require Amtrak to fund capacity projects so that passenger service does not affect freight operations on the corridor.

The letters come from shippers and trade associations in the Southeast as well as from shippers as far away as eastern Canada and Oregon. The rail customers ship a range of products, including coal, chemicals, resins, recycled glass, forest products, and steel.

The letter-writing campaign comes after CSX CEO Jim Foote asked shippers to sign a petition or to write to the STB directly regarding the potential negative impact Amtrak service would have in the absence of capacity improvements on the single-track Mobile-New Orleans route [see “CSX seeks shipper support …,” Trains News Wire, Feb. 4, 2022].

Amtrak has hauled CSX and Norfolk Southern before the STB, arguing that host railroads must accommodate two daily round trips between Mobile and New Orleans [see “Amtrak asks STB …,” News Wire, March 16, 2021]. Amtrak has accused the freight railroads of dragging their feet on the proposed service and wanted to begin service last month, even before capacity improvements were made to CSX and NS trackage. The board has scheduled a Feb. 15 hearing on the dispute.

“CSXT and Norfolk Southern Railway Company have submitted evidence, including a Rail Traffic Controller study, that shows the introduction of Gulf Coast passenger service between New Orleans and Mobile will cause significant harm to freight service,” the shipper letters note. A representative letter is available here.

Shippers warned the board that local service would be hit the hardest. If rail service falters, some of the shippers questioned whether they would be able to meet customer demand and remain profitable.

“The Board has an obligation to protect the interests of all parties that rely on the national rail network, not just those of passenger rail,” the letters say. “Amtrak’s desire for access to the Gulf Coast Corridor with no strings attached is not only harmful to freight rail service, but untenable given the substantial funding it received from Congress last year.”

The shippers and trade associations said they did not oppose Gulf Coast passenger service, but emphasized it should not decrease the quality of freight service.

The Alabama Railway Association, which represents Class I railroads and short lines operating in the state, also asked the board in its letter to deny Amtrak’s request to begin service to Mobile unless accompanied by capacity improvements. The group raised concerns about how passenger service would cause congestion that would affect the Port of Mobile and ripple throughout the state.

Amtrak declined to comment.

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