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July 2009
In This Issue
Senators Vow to Repeal Railroad Antitrust Exemptions; Achieve Rail Reform NIT League Endorses Antitrust Bill
Thirteen Associations Urge Rail Reform Bill CURE Welcomes New Members
Cosponsor Update Noted and Quoted
Senators Vow to Repeal Railroad Antitrust Exemptions; Achieve Rail Reform
On June 1, Senate Commerce Committee Chairman Rockefeller and Senate Judiciary Subcommittee on Antitrust Chairman Kohl united to call for comprehensive rail reform legislation that will also repeal the railroads' antitrust exemptions. In a letter to their colleagues in the Senate, both Senators reiterated that rail reform legislation is a high priority and they are “absolutely committed to finding real solutions that can be enacted into law this year.” By postponing a vote on S. 146, the Railroad Antitrust Enforcement Act, the Senators have more time to work together on a robust bill that includes both S.146 and reform of the Surface Transportation Board and its policies. Click here to read Senator Kohl's floor statement.
This development brings captive rail customers one step closer to freight rail competition and demonstrates the commitment of our congressional leaders to end the abuse of railroad monopoly pricing power.
The momentum continues in the House of Representatives where the House Judiciary Subcommittee on Courts and Competition Policy is expected to mark-up H.R. 233, the Railroad Antitrust Enforcement Act, in early July. The full Judiciary Committee is expected to consider the legislation shortly after Subcommittee action.
Thirteen Associations Urge Rail Reform Bill
Leaders of thirteen associations joined together to thank Senate Commerce Committee Chairman Rockefeller and Senate Judiciary Subcommittee on Antitrust Chairman Kohl for their leadership on captive rail issues and urged the swift development of rail reform legislation that will also repeal the railroads' antitrust exemptions.
The June 19 letter was signed by the following associations: National Rural Electric Cooperative Association, Edison Electric Institute, American Chemistry Council, American Public Power Association, American Coalition for Ethanol, Western Coal Traffic League, Cooperative Network (Wisconsin and Minnesota), Alliance for Rail Competition, Consumers United for Rail Equity, American Forest & Paper Association, National Association of State Utility Consumer Advocates, Consumer Federation of America, and Badger CURE.
Further underscoring the broad support for comprehensive rail reform legislation, sixteen agriculture groups sent a similar letter on June 22 to Senators Rockefeller and Kohl. The agriculture joint letter was from the following groups: American Farm Bureau Federation, American Soybean Association, Agricultural Retailers Association, National Association of Wheat Growers, National Barley Growers Association, National Corn Growers Association, National Cotton Council, National Farmers Union, National Grain and Feed Association, National Oilseed Processors Association, National Sorghum Producers, The Fertilizer Institute, U.S. Beet Sugar Association, U.S. Dry Bean Council, USA Dry Pea & Lentil Council and USA Rice Federation. Click here to view the letter.
NIT League Endorses Antitrust Bill
The National Industrial Transportation League, one of the nation’s oldest and largest trade associations, representing over 700 member freight transportation companies, voted overwhelmingly to endorse S. 146. Click here to read a recent letter the League sent to Congress.
CURE Welcomes New Members
Consumers United for Rail Equity welcomes three new members: Ohio Rural Electric Cooperative (Buckeye Power), Central Iowa Power Cooperative, and Western Farmers Electric Cooperative. These new members further highlight the impact that railroad monopoly pricing power has on essential services such as electricity. While railroads’ continue to increase their profits on declining volumes, consumers ultimately pay the price of captivity. We’re pleased to welcome these new members to our campaign to protect consumers across the nation.
Click here for an updated CURE membership list.
Cosponsor Update
Sen. Orrin G. Hatch (R-UT) - Thank Sen. Hatch for supporting S. 146
Rep. Steve Kagen (D-WI) - Thank Rep. Kagen for supporting H.R. 233
Noted and Quoted
“I would like to be clear in stating that this bill is not about “reregulation” of the railroad industry. The bill does nothing of the sort. It simply places the rail industry under the same antitrust laws that every other industry such as energy, telecommunications, or even other forms of freight transportation, including trucking and aviation, faces. These laws, of course, are the nation’s basic laws for ensuring competitive markets.”
- The Honorable Rodney Alexander (R-LA) in testimony to the House Judiciary Subcommittee on Courts and Competition Policy, May 19.
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