Back in 2024, the DOJ of the Biden Administration file a 42 count indictment against Norfolk Southern. The indictment accused NS of deliberately slowing down passenger trains.
Now that a new administration is in, this indictment has quietly gone away.
The evidence is clear that the freights do not intend to "share" the line. So we must do one of two things.
The government must either insist that the freights honor the legislation that passenger rail has the right of way or plan to develop a stand alone passenger rail line.
Hi Glenn...I agree that freights continually thumb their collective noses at their legal obligations to passenger rail. That's one of our biggest, longstanding issues here at the Association. BUT, I have to gently correct the idea that "this indictment has quietly gone away." It has definitely NOT quietly gone away. Norfolk Southern agreed to a settlement with the Department of Justice (cynically, of course, as a way to clear the decks for the merger), and the terms of that settlement are genuinely good for passenger rail interests.
Here's what Norfolk Southern signed up to:
Amtrak trains will get not just priority, but “highest priority” in dispatching on Norfolk Southern territory. N-S dispatchers will get extra training to ensure Amtrak priority, and if there’s a non-emergency situation that requires Amtrak trains to lose priority, a dispatcher’s supervisor must approve it. And Norfolk Southern has to provide the Justice Dept. with records on any delays involving the Crescent – the route whose poor timekeeping prompted DOJ’s initial action in Federal court in July 2024.
Norfolk Southern’s Vice President of Compliance will annually certify to DOJ that Norfolk Southern is keeping up its end of the agreement and its obligations under the law to provide Amtrak trains preference. There are a lot of (former) shady defense contractors in jail right now for “certifying” things to DOJ or the Defense Dept. that weren’t true. This is a serious commitment. Nobody's going to be willing to go to jail just to lie to the DOJ about meeting the terms of their settlement.
Does this mean we can relax? Nope. Not at all. The Class I railroads would love to see the preference clause go away, and still do everything they can not to share the line...despite the fact that sharing was the quid pro quo for the taxpayer-funded bailout they enjoyed in 1971 when Amtrak was born. This fight's still live, and we still have to engage in it every day. But let the record show that N-S already signed a legally binding agreement with tough penalties for violation...and let's insist, as we oppose this merger, that IF it has to go through, the successor company inherits that agreement (most contracts remain valid after any merger).
Here's a quote straight from the Justice Dept. press release issued to the public and all the news outlets right after the settlement: “Americans traveling by train are entitled to trips free from delays caused by railroads failing to give Amtrak preference over freight trains,” Assistant Attorney General Brett Shumate of the Justice Department’s Civil Division, said in a prepared statement. “The settlement…as well as Norfolk Southern’s improved performance on Amtrak’s Crescent Route, demonstrates the Department of Justice’s commitment to protecting everyday American train passengers.” https://www.justice.gov/opa/pr/norfolk-southern-agrees-give-amtrak-trains-highest-priority-over-freight-trains-and-make-its
Yes. That was the Corridor ID program funding that was in the Investment in Infrastructure and Jobs Act, also known as the Bipartisan Infrastructure Law. President Biden signed the IIJA into law in November of 2021, so that money was approved, appropriated, and in many cases under contract.
Regarding more trains in Pennsylvania, why the Lackawanna cutoff? Yes they can and do run freight on the D&L however the entire section including NJ is publicly owned. They do not need to run freights on the NJ portion as they can use the NS line that goes through Allentown.
Yes, but, the "network effect" can also run in reverse. As movements are disrupted around the country, we'll see diversions and changes in shipping patterns everywhere so that even non-UPNS territory will be affected.
"If I use a classic steam picture, will you read the rest of the story?"
>yes
One other thing.
Back in 2024, the DOJ of the Biden Administration file a 42 count indictment against Norfolk Southern. The indictment accused NS of deliberately slowing down passenger trains.
Now that a new administration is in, this indictment has quietly gone away.
The evidence is clear that the freights do not intend to "share" the line. So we must do one of two things.
The government must either insist that the freights honor the legislation that passenger rail has the right of way or plan to develop a stand alone passenger rail line.
Hi Glenn...I agree that freights continually thumb their collective noses at their legal obligations to passenger rail. That's one of our biggest, longstanding issues here at the Association. BUT, I have to gently correct the idea that "this indictment has quietly gone away." It has definitely NOT quietly gone away. Norfolk Southern agreed to a settlement with the Department of Justice (cynically, of course, as a way to clear the decks for the merger), and the terms of that settlement are genuinely good for passenger rail interests.
Here's what Norfolk Southern signed up to:
Amtrak trains will get not just priority, but “highest priority” in dispatching on Norfolk Southern territory. N-S dispatchers will get extra training to ensure Amtrak priority, and if there’s a non-emergency situation that requires Amtrak trains to lose priority, a dispatcher’s supervisor must approve it. And Norfolk Southern has to provide the Justice Dept. with records on any delays involving the Crescent – the route whose poor timekeeping prompted DOJ’s initial action in Federal court in July 2024.
Norfolk Southern’s Vice President of Compliance will annually certify to DOJ that Norfolk Southern is keeping up its end of the agreement and its obligations under the law to provide Amtrak trains preference. There are a lot of (former) shady defense contractors in jail right now for “certifying” things to DOJ or the Defense Dept. that weren’t true. This is a serious commitment. Nobody's going to be willing to go to jail just to lie to the DOJ about meeting the terms of their settlement.
Does this mean we can relax? Nope. Not at all. The Class I railroads would love to see the preference clause go away, and still do everything they can not to share the line...despite the fact that sharing was the quid pro quo for the taxpayer-funded bailout they enjoyed in 1971 when Amtrak was born. This fight's still live, and we still have to engage in it every day. But let the record show that N-S already signed a legally binding agreement with tough penalties for violation...and let's insist, as we oppose this merger, that IF it has to go through, the successor company inherits that agreement (most contracts remain valid after any merger).
Wow! I find the comms dynamic interesting.
They make this big deal out of the indictment, but quietly settle on an agreement (under the radar).
Here's a quote straight from the Justice Dept. press release issued to the public and all the news outlets right after the settlement: “Americans traveling by train are entitled to trips free from delays caused by railroads failing to give Amtrak preference over freight trains,” Assistant Attorney General Brett Shumate of the Justice Department’s Civil Division, said in a prepared statement. “The settlement…as well as Norfolk Southern’s improved performance on Amtrak’s Crescent Route, demonstrates the Department of Justice’s commitment to protecting everyday American train passengers.” https://www.justice.gov/opa/pr/norfolk-southern-agrees-give-amtrak-trains-highest-priority-over-freight-trains-and-make-its
Didn't RR conglomerates contribute to the 1930s' Great Depression? Too much power in too few hands?
"the corridors that the Federal Railroad Administration is planning -- and which Congress is paying for."
>has Congress already allocated funds for the corridors?
Yes. That was the Corridor ID program funding that was in the Investment in Infrastructure and Jobs Act, also known as the Bipartisan Infrastructure Law. President Biden signed the IIJA into law in November of 2021, so that money was approved, appropriated, and in many cases under contract.
Regarding more trains in Pennsylvania, why the Lackawanna cutoff? Yes they can and do run freight on the D&L however the entire section including NJ is publicly owned. They do not need to run freights on the NJ portion as they can use the NS line that goes through Allentown.
Yes, but, the "network effect" can also run in reverse. As movements are disrupted around the country, we'll see diversions and changes in shipping patterns everywhere so that even non-UPNS territory will be affected.