Transportation Roundup: Federal agencies requiring further reporting to improve ocean, rail shipping

Following a two-day public hearing at the end of April, the Surface Transportation Board (STB) will require Class I railroads to submit reports on rail service, operations and employment. Four rail companies – BNSF Railway Co., CSX Transportation, Norfolk Southern Railway Co., and Union Pacific Railroad Co. – will also be required to submit service recovery plans, progress reports, historical data and participate in bi-weekly conference class with STB staff. The measures are intended to improve service issues and promote transparency, accountability and improvements. Read the full press release here.

The Federal Maritime Commission (FMC) will now require three major container alliances: 2M, Ocean and THE to submit more detailed pricing and capacity information to their Bureau of Trade Analysis (BTA). The information will help the agency assess ocean container behavior and market competitiveness. At SSGA’s Transportation Go! in early March, FMC chairman Daniel Maffei announced that the FMC audit team would be expanding its scope to get information from carriers about their handling of exports. Read the full press release here.

While appearing at a meeting of the National Shipper Advisory Committee (NSAC) FMC Commissioner Carl Bentzel proposed the agency to oversee rail demurrage on containers moving by a through bill of lading. The proposal would give FMC authority on demurrage matters on carrier haulage moves when the ocean carrier is responsible for door-to-door transportation, but not merchant haulage.

Intermodal rail has traditionally been overseen by the STB but Bentzel interprets shipping law to give the FMC authority over intermodal, meaning no formal FMC vote would be needed. NSAC has requested FMC provide greater oversight on intermodal for many months, especially with greater rail demurrage problems. Read more at the Journal of Commerce.