GAO REPORT FINDS RAIL FREIGHT RATES DECREASED
A General Accounting Office report released Monday showed that freight railroad rates decreased for most commodities during the 1997 through 2000.
The report, “Railroad Regulation: Changes in Freight Railroad Rates from 1997 through 2000,” was prepared at the request of U.S. Rep. Don Young, R-Alaska, chairman of the House Transportation and Infrastructure Committee.
Young said the GAO’s facts and figures could play a prominent role in the debate on reauthorization of the Surface Transportation Board, and possible changes to the Staggers Rail Act of 1980, a law meant to deregulate the nation’s railroads.
While the report showed rates decreasing, it also found some commodity categories and some distance categories remained level, or increased.
Young added that rail freight transportation costs are a critical element in the nation’s competitiveness, especially when “just-in-time” business policies have become a part of the business environment. “Reliable rail service at a reasonable cost can be a make-or-break factor for many of our basic industries,” he said.
The report is available on the Web at: http://www.gao.gov.