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RAIL EMPLOYMENT & NOTICES



Rail News Home Rail Industry Trends

8/28/2002



Rail News: Rail Industry Trends

STB conditionally approves San Jacinto's Houston line


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Surface Transportation Board Aug. 28 conditionally granted San Jacinto Rail Ltd. a regulation exemption, which enables the company to construct a 12.8-mile line near Houston pending a complete environmental review.


San Jacinto, which comprises Burlington Northern Santa Fe and four chemical shippers, plans to build the line between Bayport Industrial District in southeast Houston and a connection with the former Galveston, Henderson and Houston Railroad line now owned by Union Pacific Railroad.


The Board determined that national rail-transportation policy favors the construction of new lines and that San Jacinto's proposed line would increase rail competition for shippers captive to UP.


Also, in response to United Transportation Union concerns that service might be provided by a non-union BNSF subsidiary rather than BNSF itself, STB ruled that those fears are premature and that only BNSF has sought board authority to provide service.


The board, too, dismissed UP's arguments that BNSF lacks adequate rail infrastructure in the Bayport Loop area to properly support the proposal.


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