NASHVILLE, TENN. (RFD-TV) — Last week, shareholders of both Union Pacific and Norfolk Southern approved their merger. When the ink is dry, it will create the first transcontinental railroad in the United States.
Mike Steenhook with the Soy Transportation Coalition tells us there could be some concern around consolidation. He says the pressure is now on other rail lines to follow suit, and warns that some customers are worried they will lose significant negotiating power.
Lawmakers are also worried about future rail choices. That is why Sen. Tammy Baldwin, D-Wisc., filed the Reliable Rail Service Act earlier this year.
“They preference their biggest customers, and they don’t recognize that they have a common carrier duty to all shippers,” Sen. Baldwin explained. “And so, my Reliable Rail Service Act helps us build a strong economy and lower costs for consumers and shippers by requiring the freight rail services to be reliable and to understand what their common carrier obligation means.”
Baldwin said her bill would put a definition to that term. Once that is accomplished, she says it will help the enforcement agencies hold rail shippers accountable.
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