BNSF shortens free time, raises demurrage costs
Burlington Northern and Santa Fe Railway (BNSF) is shortening free time and raising demurrage charges from tomorrow.
BNSF is decreasing free time to date of arrival notification plus as little as 24 hours and raising demurrage to up to $150 per day from a level of about $50 per day.
BNSF said all service levels, including expedited, premium, value and Y-empty will be governed by the new policy. All rail-controlled and all private equipment is covered.
“Now that we are beyond the peak shipping season and 2005 volume projections continue to be strong, BNSF is implementing a more comprehensive system-wide intermodal storage policy,” BNSF said.
BNSF has divided its facilities into three groups for the purpose of defining free time and storage charges:
* Group I facilities include Los Angeles, Oakland International Gateway, San Bernardino, Seattle International Gateway, St. Paul and Stockton. Free time equals notification day plus 24 hours. The storage charge is $150 a day.
* Group II facilities include Alliance, Texas; Chicago Cicero, Ill.; Kansas City, Kan.; Kansas City, Mo.; and Memphis, Tenn. Free time equals notification day plus 48 hours. The storage charge is $150 a day.
* Group III facilities include Albuquerque, Amarillo, Billings, Birmingham, Chicago Corwith, Chicago Logistics Park, Chicago Willow Springs, Denver, Dilworth, El Paso, Fresno, Harvard, Houston, New Orleans, Oklahoma
City, Omaha, Phoenix, Portland, Richmond, San Diego, South Seattle, Spokane and St. Louis. Free time equals notification day plus 48 hours. The storage charge is $100 a day.
BNSF said weekend days will be chargeable and will be incorporated into the storage calculation.