Seven to Become Six

There was a time when every region and almost every major city in the country was served by at least three major railroads. The Northeast had Erie, Lackawanna, New York Central, and Pennsylvania, among others. The Southeast had Atlantic Coast Line, Seaboard, and Southern. The Midwest had the Burlington, Chicago & North Western, Milwaukee, and Rock Island. The Northwest had the Great Northern, Milwaukee Road, and Northern Pacific. The Southwest had Santa Fe, Southern Pacific, and Union Pacific.

Canadian Pacific and Kansas City Southern meet at only one point, so a merger between them preserves competition. Kansas City Southern photo.

Then came the merger movements of the 1960s, 1970s, and 1980s, and now we are down to just seven class 1 railroads: two in the East, two in the West, two in Canada making various incursions into the United States, and Kansas City Southern, which connects Missouri with Texas, Louisiana, Mississippi, and Mexico. Continue reading

Biden to STB: Screw the Environment

President Biden and Democrats in Congress want to spend trillions of dollars on a green new deal. But their true colors are revealed when it comes to railroad re-regulation: the needs of the environment are less important than the needs of labor unions and shippers who want the federal government to exercise more control over the railroads.

This container train is saving thousands of tons of greenhouse gas emissions, savings that will be lost if regulation allows trucks to capture some or all of this traffic. Photo by David Jordan.

This is made clear in a report that was released yesterday by the Reason Foundation. Written by the Antiplanner’s faithful ally, Marc Scribner, Pathways and Policy for 21st Century Freight Rail points out that railroads produce less than 10 percent as much carbon dioxide per ton-mile as trucks. As the Antiplanner observed a few weeks ago, the railroads have become more competitive with trucks since deregulation took place in 1980. Continue reading

The Money Pit

Last month, the Department of Transportation announced 2018 “BUILD” grants totaling $1.5 billion. BUILD, which stands for Better Utilizing Investment to Leverage Development, is the successor to TIGER, which stood for Transportation Investments Generating Economic Recovery. TIGER was a part of the 2009 American Recovery and Reinvestment Act and should have ended after the economy had recovered. But Congress had so much fun spending other people’s money that it simply renamed the program and kept it going.

The 2018 BUILD grants include 91 projects in 49 states — only Hawaii got left out — including such things as highway expansions, bus-rapid transit, port facilities, and autonomous vehicle services. Regardless of what they are, virtually all of the projects are local and should have been funded locally and not out of federal deficit spending.

One project the Antiplanner is familiar with is the Coos Bay rail line, which goes west from Eugene, Oregon to Florence, and then south along the Oregon Coast to Coos Bay, then east to Coquille and (at one time) Myrtle Point and Powers. The Myrtle Point/Powers rails have been torn out but the rest of it remains. Continue reading