Here we are, at the change of the year, and while I wouldn’t classify 2014 as a tough year by any measure, 2015 already has the makings for one that will tax (no pun intended) us a bit. In the year past we have changed leadership at the ASLRRA (and the new president is already fast at work), got the 45G tax credit retroactively renewed, and have dealt with challenges like rulemaking on two-man crews, train securement, and crude by rail. So what are the items that we will be facing in 2015?
New CongressStarting in January, we will have a new Congress, with both houses being controlled by one party. There will be a number of new members in Congress, and our challenge will be the same as it is every year with all of our politicians: educate, educate, educate. The more knowledge they have about us, the less chance there is for “surprise” legislation (like the RSIA of 2008) that has an inverse cost benefit ratio. There is also a bit of a time crunch with the next election in 2016 being a presidential one, and if past history holds, Congress will do even less than it does now once election season gets in full swing.
New FRA ChiefWith FRA Administrator Joe Szabo’s departure, there is an opening at the top. Hopefully, with the Republican Congress and a lame duck president we will see a slightly less controversial Administrator than Mr. Szabo, who had strong union ties, and at times did show some leaning towards their ideals.
PTCAs the law reads (now), on December 31, 2015, the railroads that need to deploy PTC must have the initial required deployment complete. If you believe that it will happen, I have some nice oceanfront property in Colorado that I can sell you, and if that is not your taste, I do have an option on the Brooklyn Bridge. That being said, do not think for a second that everyone is sitting on their butts waiting for the law to change. Railroads and their suppliers are working as fast as physically possible to make PTC happen, and on a limited basis we are starting to see deployments take place. Will we be ready? No. Will we make as good an attempt as we can, and might make the requirement 18-24 months down the road? Most likely, and don’t expect Congress to do anything about this until the later part of the third quarter at the earliest, and maybe not until this time next year.So as the old calendar gets tossed and the new one gets put up on the first page, do take the time to look back at what has happened over the previous twelve months. But don’t take too long, because the new year is going to get moving pretty quickly, and I don’t see it slowing down any time soon.Have a Happy New Year!
---By Steve Friedland
Steve Friedland is a child of the railroad industry. Following summers and vacations working on the track gang for the family-owned Morristown & Erie Railway, a 42-mile New Jersey short line, he started full-time in 1994. He has worked in all areas of the railroad, including track, mechanical, signals, and operations, and currently is a member of the management team for the company as director of operations in Morristown, N.J. In 1999, he founded Short Line Data Systems, a provider of railroad EDI and dispatching software, AEI hardware, and management consulting to the short line industry. He currently serves as the ASLRRA representative to the AAR's Wireless Communications Committee and is chairman of the joint AAR-ASLRRA Short Line Information Improvement Committee. He also is a member of the ASLRRA's board of directors.
Steve Friedland is a child of the railroad industry. Following summers and vacations working on the track gang for the family-owned Morristown & Erie Railway, a 42-mile New Jersey short line, he started full-time in 1994. He has worked in all areas of the railroad, including track, mechanical, signals, and operations, and currently is a member of the management team for the company as director of operations in Morristown, N.J. In 1999, he founded Short Line Data Systems, a provider of railroad EDI and dispatching software, AEI hardware, and management consulting to the short line industry. He currently serves as the ASLRRA representative to the AAR's Wireless Communications Committee and is chairman of the joint AAR-ASLRRA Short Line Information Improvement Committee. He also is a member of the ASLRRA's board of directors.