Darr outlines ASLRRA priorities

Written by Kyra Senese, Managing Editor
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American Short Line and Regional Railroad Association (ASLRRA) President Linda Bauer Darr outlined three critical priorities for members Jan. 18 in any considered infrastructure funding package at the U.S. Chamber of Commerce's "America's Infrastructure Summit: Time to Modernize."  

 

Darr said the three critical items that the more than 600 small business railroads should pay attention to as Congressional focus turns to an infrastructure funding package include the long-term extension, or permanency, of the shortline tax credit, which she said the association hopes will be included in a 2018 budget deal on a short-term basis.

Also among those priorities should be modal equity and ensuring eligibility and priority for shortline freight railroad projects in funding programs, Darr said.

She explained to the chamber that shortlines were largely created from abandoned or marginalized Class 1 railroad lines, ASLRRA said.

Years of delayed maintenance had led to unsafe or inoperable tracks and bridges, and much of the useable track would not support modern car configurations.

It has been more than a three-decade effort to create today’s network of 603 railroads that operate in 49 states and move one in five cars on the national network, ASLRRA noted. This effort has been supported by the tax credit, which has afforded $4 billion of investments in capital improvements to date.

“As an industry, we have largely addressed tie replacement and some of the upgrades to allow modern rail cars on the system,” Darr said. “However, heavier rail and significant bridge repairs are still badly needed across much of the network to allow all short lines to operate modern cars and run as efficiently as our Class 1 partners. We have estimated that our industry will need to invest $10 billion to complete this additional work.”

As privately held entities, Darr said shortlines must largely fund their track and bridge upgrades from operating cash flows. This is in stark contrast to competing modes of transportation that do not cover the cost for the public infrastructure they use, ASLRRA notes.

“We are advocates for modal equity, ensuring that infrastructure is paid for by a user-based system such as a diesel tax or vehicle miles traveled (VMT) fee for those using the network,” Darr said.

The ASLRRA said it wants to ensure there is adequate consideration for project funding in rural areas, which include regions where many shortlines operate.

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