A significant focus for the Surface Transportation Board in 2016 will be making sure rail service continues to be reliable and timely. For the Board, an important part of that is getting the data we need to properly monitor rail service. Last year, during the severe disruptions in service that affected the railroad industry, the Board began collection of railroad performance data on a temporary basis. That effort was well-received, and the Board is currently working on a rule-making to establish permanent service data collection.
I recently introduced the idea of waiving the Board’s ex parte rules for this rule-making proceeding to allow informal meetings between stakeholders and the Board’s technical staff. A decision was issued Nov. 9, and these informal meetings took place immediately afterward. In addition, we have recently posted on the Board’s website a cumulative spreadsheet with all the performance data reported by the railroads under the temporary data collection order. It’s presented in a format that allows stakeholders to use the data in a variety of ways.
We will also be focusing heavily on improving accessibility of the Board’s processes for all stakeholders. During my first term, the agency initiated an examination of whether agricultural shippers have meaningful access to the Board’s rate reasonableness process, and the Board held a two-day public hearing in July to consider issues related to railroad revenue adequacy and how the Board calculates the railroad industry’s cost of capital.
During my first term, I also engaged an independent firm to evaluate potential alternative rate regulation approaches, with the goal of reducing the time, cost, and complexity of rate cases. The engagement continues, and I look forward to hearing their conclusions. This is the time to consider new ideas, so the Board has an effective regulatory process that makes sense today.