Justice Department Sues Railroad Over Derailment, Release of Chlorine Gas

The Department of Justice filed a lawsuit April 23 against Norfolk Southern Railway Co. for its role in the Jan. 6, 2005, derailment of a train in Graniteville, S.C., that released a cloud of chlorine gas, killing nine people and injuring 250.  In the lawsuit filed in U.S. District Court for the District of South Carolina, the government is seeking civil penalties and injunctive relief from Norfolk Southern under the Clean Water Act for the discharge of chlorine and oil into Horse Creek, and a failure to immediately notify the National Response Center, according to the lawsuit.

According to court papers, the chlorine leak occurred when a train carrying the chemical was improperly diverted onto a side line and collided with an unoccupied parked train at 47 miles per hour. The train's two locomotives were derailed, along with 16 of 42 rail cars. Three of the rail cars were carrying chlorine and one was breached in the accident. (Source: Bureau of National Affairs, Inc.)

Railroads Say Common Carrier Obligation Puts Companies at Risk for Costly Lawsuits

The obligation of rail carriers to transport hazardous materials whether they want to or not is creating an "untenable" situation, according to a rail industry representative who testified before the Surface Transportation Board (STB) April 25.  Edward R. Hamberger, president and CEO of the Association of American Railroads (AAR), testified that the common carrier obligation, which requires railroads to provide "transportation or service on reasonable request," is putting railroads at risk of multibillion dollar lawsuits.

The STB held a two-day hearing April 24-25 in response to questions that have arisen in recent years regarding the extent of the common carrier obligation.  STB Vice Chairman Francis P. Mulvey said in his opening statement that the Board wanted to examine the common carrier obligation in light of "a tension between the concepts of the railroads as organizations with significant public utility characteristics and as private enterprises that must maximize profits for their shareholders." But, he added, it was not his intention to build a foundation for reducing the scope of the common carrier obligation.  (Source: Bureau of National Affairs, Inc.)

Rail Capacity Policy Passed at Committee Business Meeting

A policy entitled “Expanding Rail Capacity” was passed by unanimous voice vote of the Transportation Standing Committee during their 2008 Spring Forum business meeting and subsequently approved by the full NCSL business meeting on April 26.  The policy was sponsored by the Committee’s immediate past chair, Senator Bruce Starr of Oregon.

Noting the importance of efficiently moving goods and the role of freight rail therein to states’ economic development, the policy recommends Congress pass legislation that would provide investment tax credits for railroad infrastructure investments that expand capacity.

Spring Forum Presentations and Audio Available on Website

NCSL’s annual Spring Forum was held April 24-26 in Washington, DC and saw high attendance and many interesting sessions.  Topics covered ranged from the Federal-State traffic safety partnership to a survey of transportation finance studies, the costs of congestion to aviation & economic development.

Presentations by the various speakers along with the full audio of the  “Real ID: Final Rules ... State Responses”  session are available at http://www.ncsl.org/standcomm/sctran/transpringforumpres08.htm.