RSI: Keep safety, passenger funding intact

Testifying before the U.S. House of Representatives Committee on Transportation and Infrastructure Subcommittee on Railroads, Pipelines, and Hazardous Materials last week, Railway Supply Institute President Tom Simpson asserted “decisions made during the debate of reauthorizing The Safe, Accountable, Flexible, Efficient Transportation Equity Act: A Legacy for Users (SAFETEA LU) will have a profound impact on the rail supply industry.”

RSI says railway suppliers are just beginning to enjoy a modest recovery from the recent economic downturn, but are wary of the future.

RSI submitted five program recommendations to the Committee that will provide more certainty in the marketplace, continue to ensure public safety, and stimulate intercity passenger rail development.

Simpson (pictured at left) said one of the five recommendations involves grade crossing safety. He noted that since 1973 the Section 130 program has provided funds allowing states, localities, and railroads to implement this simple strategy: close unnecessary crossings, upgrade the remaining crossings with the most modern warning devices available and, with Operation Lifesaver, educate the public on the dangers at these unique intersections.

“With rail freight traffic beginning to rebound, the promise of more and faster passenger trains in the next few years and increased highway traffic, now is not the time to turn our back on this program,” said Simpson. RSI supports H.R. 825, the Surface Transportation Safety Act of 2011 which, among other safety initiatives, would help preserve the Section 130 program in the next surface transportation bill at $220 million per fiscal year.

RSI hailed Operation Lifesaver as a “prototypical public private partnership as railroads, railway suppliers, and others in private industry provide volunteers and additional funding for OLI’s programs.” RSI urged continued funding for the program, and recommended that this nationwide highway-rail crossing education and safety program should continue to receive federal funding at its current modest level of $560,000 per year.

Reaffirming its support for passenger rail, Simpson asserted that the U.S. has underinvested in intercity passenger service since the 1950s and has never developed a dedicated source of funding akin to what highways and transit enjoy. RSI supports an initiative to develop a dedicated, multi-year passenger rail funding proposal that will work and has offered to work with the Committee to develop such a proposal.

RSI also believes that Buy America regulations have promoted the development of a passenger rail car building industry in the U.S., and suggested the following improvements to the program that will stimulate greater growth:• Clarification of Buy America standards by streamlining the particular differences among provisions specific to Buy American, Federal Transit Administration, Federal Railroad Administration and under the American Recovery and Reinvestment Act.• Improved transparency and accountability of domestic content requirements and introduce incentives to increase domestic content.• DOT’s National Rail Plan should support development of a renewed U.S. passenger rail equipment manufacturing industry through a vision of sustained equipment purchases and equipment lifecycle policies that avoid “boom or bust” procurement cycles.

Freight diversion of traffic from our nation’s railroads to trucks will adversely affect railway suppliers, RSI noted, arguing, “Now is not the time to raise truck sizes and weights.”

Simpson also called for tax incentives to expand rail capacity. “Congress should enact legislation which provides tax incentives for projects that expand freight rail capacity and help short line railroads remain competitive,” he said.

The full text of RSI’s testimony is available on RSI’s website at www.rsiweb.org.