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Surface Transportation Board and CSX Update

The Surface Transportation Board (STB) responded to CSX Rail Issues that generated outrage among its customers and the three members of the STB Board.

CSX’ new CEO implemented operational changes to speed up trains but these changes, instead, caused major service disruptions for mail shippers. The “improvements” included idling special rail cars including large gondolas important to ferrous scrap shippers and others in the scrap recycling industry.

  • Due to the complaints from shippers and other operators the STB issued to CSX a strongly worded letter stating its serious concerns with CSX’ activities
  • CSX responded to the STB stating that the changes were temporary problems and would be gone when improvements became effective. CSX also responded to customers and others advising them that the improvements would improve rail service, while increasing profits.
  • The STB responded by setting up a “Listening Session,” planned for early September but postponed due to hurricane concerns (CSX is a Florida-based company. The rescheduling date is October 8.

Why it’s important: CSX runs up and down the east coast and the mid-west so their service impacts many scrap recycling shippers. Scrap recyclers and others are watching how this case proceeds. For more information, contact Billy Johnson.

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