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 Post subject: Re: Starting a Railroad
PostPosted: Fri Jul 22, 2022 9:52 pm 

Joined: Sun Sep 05, 2004 9:48 am
Posts: 1558
Location: Byers, Colorado
If the RR is private property, located on private property, with NO PUBLIC GRADE CROSSINGS, it's non-FRA territory, even if it's a business, even if it's connected to a "real railroad", and even if it interchanges traffic with a real railroad.

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 Post subject: Re: Starting a Railroad
PostPosted: Fri Jul 22, 2022 10:13 pm 

Joined: Thu Oct 08, 2015 11:54 am
Posts: 1792
Location: New Franklin, OH
Sammy -

You’re sort of describing a plant railroad under FRA. They fall under an “FRA Lite” sort of or just like tourist roads.

If commerce is involved, the STB is gonna want to call you a common carrier railroad. I’ve had similar discussions with an STB lawyer about what we can and cannot do working with a potential “customer” that wanted to lease a spot for occasional transloading that we’d have to switch. We didn’t want to become a common carrier, hence the call to the STB to find out what’s what.

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 Post subject: Re: Starting a Railroad
PostPosted: Fri Jul 22, 2022 10:41 pm 

Joined: Thu Feb 26, 2009 3:07 pm
Posts: 1116
Location: B'more Maryland
jayrod wrote:
It’s simple. He accepts cars in interchange and delivers them to customers, he’s a railroad and a common carrier. If he’s just playing trains on a piece of track, he’s not.

I think he’s connected to NS.


Oh no. It is decidedly NOT simple.

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 Post subject: Re: Starting a Railroad
PostPosted: Sat Jul 23, 2022 12:38 am 

Joined: Sun Sep 05, 2004 9:48 am
Posts: 1558
Location: Byers, Colorado
Eric,

What I described is indeed a sizeable railcar repair facility. The boss man kindly offered me a place to keep and operate my locomotive in case we didn't get FRA approval otherwise. It's FRA VERY lite, as in we do whatever we want unless something should cross the border to BNSF.

A number of JC McHugh customers are steel mills, and they only comply with FRA regs if they choose to. Of course, they can't send any of their non complying cars out into the real world.

Many tourist RRs qualify for this status, too, but if they're open to the public there are plenty of other regulatory agencies to make life miserable for them.

If your locomotive is private property on private property, and you're not running it as a business, you don't need nuthin from nobody. (Now watch --- it would be just my luck that somebody will get in trouble following my advice).

Been There, Done That,
Sammy

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 Post subject: Re: Starting a Railroad
PostPosted: Sat Jul 23, 2022 12:56 am 

Joined: Thu Jul 13, 2017 8:42 am
Posts: 70
Location: Either behind my desk or on my phone
Common carrier authority and rights are a completely separate topic from FRA jurisdiction. For our purposes common carrier status confirms the company's role in interstate commerce and exempts it from certain types of local regulation. The FRA is concerned with primarily with safety. The FRA dicision tree on jurisdiction is at https://railroads.dot.gov/legislation-regulations/regulations-rulemaking/safety-jurisdiction-tourist-railroads.

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Subscribing to my grandfather's philosophy that no case is so weak or cause so harebrained that somebody cannot be found to handle it in exchange for a sufficient retainer up front.


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 Post subject: Re: Starting a Railroad
PostPosted: Sat Jul 23, 2022 7:33 am 

Joined: Thu Oct 08, 2015 11:54 am
Posts: 1792
Location: New Franklin, OH
Megan - Yup, agreed that the FRA and STB are totally different animals.

As I think I understand it, ETR - the guy in the videos - would like to be able to receive cars from a Class 1 and service customers (I believe there are five potential customers that have switches but currently don’t use rail service). That would make him a terminal or switching railroad per the STB. Serving a customer, other than himself and outside of his own property would make him a common carrier. Hence, involvement with AAR, STB and FRA. That’s how it was explained to me by various officials and jives with all I’ve read. Then toss in the costs of insurance, funding needed, paperwork, maintenance, dealing with the Class 1, etc. as well as having to turn a profit, and all I can say is “good luck”, hope it works out”.

Keep in mind I’m talking in generalities here, not details. As stated previously by others, consult professionals for definitive answers.

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 Post subject: Re: Starting a Railroad
PostPosted: Sat Jul 23, 2022 1:59 pm 

Joined: Fri Feb 26, 2010 9:52 pm
Posts: 161
This topic comes up every so often and as discussed, the Surface Transportation Board (STB) and the Federal Railroad Administration (FRA) have two different roles.

Regarding FRA and regulatory oversite regarding safety, I always refer to 49 CFR Part 209, Appendix A. https://www.ecfr.gov/current/title-49/s ... o-Part-209

About halfway into this appendix is a description regarding The Extent And Exercise Of FRA's Safety Jurisdiction. It explains that FRA's statutory jurisdiction extends to all entities that can be construed as railroads by virtue of their providing non-highway ground transportation over rails or electromagnetic guideways. For policy reasons, however, FRA does not exercise jurisdiction under all of its regulations to the full extent permitted by statute.

This is where it describes jurisdiction policy over, "Plant Operations, Tourist Operations, Commuter and Passenger Operations, etc.

Some history in this section as well on how we got here.

Mike Ramsey
FRA Passenger Rail Safety Specialist (Retired)
Safety & Regulatory Compliance, American Heritage Railways


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 Post subject: Re: Starting a Railroad
PostPosted: Sat Jul 23, 2022 5:49 pm 

Joined: Thu Jul 13, 2017 8:42 am
Posts: 70
Location: Either behind my desk or on my phone
You're really quite close -
jayrod wrote:
As I think I understand it, ETR - the guy in the videos - would like to be able to receive cars from a Class 1 Class I not Class 1 and service customers (I believe there are five potential customers that have switches but currently don’t use rail service).
Is there a switch in place to the railroad he would be connecting with?

That would make him a terminal or switching railroad per the STB.
The type of carrier outside of revenue class (i.e. Class I, II, or III not 1, 2, 3, 4, et c. - Those are the FRA track classifications used for determining speed limits) is based on the revenue division agreement with the connecting carrier.

Serving a customer, other than himself and outside of his own property would make him a common carrier.
Common carrier authority is conferred by the STB either by publishing an uncontested Notice of Exemption or a issuing Certificate of Public Necessity and Convenience and includes the preemption of most local regulation. IF the line can negotiate the necessary agreements with both the connecting carrier and the industries it could operate as a private switching carrier but would not only be subject to FRA jurisdiction but would be subject to state and local regulation as well.

Hence, involvement with AAR, STB and FRA.
More likely the American Shortline and Regional Railroad Association (ASLRRA) for representation even though reporting marks and a handful of other services are handled through the Association of American Railroads (AAR).

That’s how it was explained to me by various officials and jives with all I’ve read. Then toss in the costs of insurance, funding needed, paperwork, maintenance, dealing with the Class 1 Again, Class I not Class 1, etc. as well as having to turn a profit, and all I can say is “good luck”, hope it works out”.

My comments are really intended to clarify, not correct.

We tend to be very picky about the use Class (Roman Numeral) I, II, and III v Class (Arabic Numeral) 1, 2, 3, et c. in part because of a series of seemingly everlasting lawsuits which seem to stem from the term "operate a Class 3 railroad" being used in operating and lease agreements when it apparently should have read "operate a Class III railroad" and this was later interpreted by the city which owned the line to mean a requirement for maintaining every inch of track to FRA Class 3 track standards.

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 Post subject: Re: Starting a Railroad
PostPosted: Sat Jul 23, 2022 6:31 pm 

Joined: Thu Oct 08, 2015 11:54 am
Posts: 1792
Location: New Franklin, OH
Thanks for that. And no offense taken (I’m not prickly, learning as I go). I also hadn’t finished my first cup of coffee. That’s my story and I’m sticking to it. Our situation under consideration was similar but a bit different which is what prompted my call as we didn’t know if it would change the status quo. I got a fuzzy answer so we let it go. Yeah, ASLRRA makes more sense for most of it. And yes, ETR has a connection to a Class I in place last I knew. [Yay, I typed the right character this time]

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 Post subject: Re: Starting a Railroad
PostPosted: Sat Jul 23, 2022 8:29 pm 

Joined: Mon Dec 18, 2017 11:41 am
Posts: 138
ETR connects with the Genesee & Wyoming.


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 Post subject: Re: Starting a Railroad
PostPosted: Sun Jul 24, 2022 6:12 am 

Joined: Thu Oct 08, 2015 11:54 am
Posts: 1792
Location: New Franklin, OH
I’m batting 1,000 here. ETR is off the C&OR. For some reason, I’ve never been able to keep the west ends of the Ft. Wayne line (NS) and Panhandle line (C&OR/G&W) straight. It’s all PRR to me though it would likely make me a heretic in PRR fans’ eyes. Oh well…. And I can’t blame that on coffee. I’ll shut up now.

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 Post subject: Re: Starting a Railroad
PostPosted: Sun Jul 31, 2022 5:41 pm 

Joined: Mon Jan 12, 2009 9:37 pm
Posts: 240
Gone quiet.

What is going on with East Terminal Ry. anything?


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 Post subject: Re: Starting a Railroad
PostPosted: Sun Jul 31, 2022 8:09 pm 

Joined: Sat Oct 17, 2015 5:55 pm
Posts: 2298
R.L.Kennedy wrote:
Gone quiet.


The OP has one post total, either he became sensible or he was a troll from the beginning.


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 Post subject: Re: Starting a Railroad
PostPosted: Mon Aug 01, 2022 6:46 am 

Joined: Fri Jul 15, 2022 4:40 pm
Posts: 4
Thank you all for your responses, and so far I have talked to NS and CSX they both do not have any line available at the moment, so for now I am stuck waiting to hear from them if they have anything available.


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 Post subject: Re: Starting a Railroad
PostPosted: Mon Aug 01, 2022 8:52 am 

Joined: Fri Nov 11, 2016 10:17 pm
Posts: 246
I thought CSX had a list of lines they were actively still trying to rid themselves of.
The real question is how likely would a C1 actually call you back vs working with G&W, Patriot, Watco, etc that they've done multiple projects with in the past...


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