| Who Side Are They On? There
is a bill before congress which would use the funds of fuel sales tax,
currently being placed on Class 1 rail carriers, to fund an Emergency
Shortline Fund. The fund would assist shortlines and entities in
repairing track and other infrastructure.
When you reading the testimony of the of Edward R. Hamberger
President and Chief Executive Officer Association of American
Railroads", he makes clear that AAR is clearly only interested in
Class 1 interest. Which I guess, is as it should be in his case, since
that his who pays his check? Here below is part of his
testimony to the members of congress on July 25th..
"AAR's membership includes freight railroads that operate 75
percent of the line-haul mileage, pay 92.6 percent of the deficit
reduction fuel taxes, and account for 93 percent of the freight
revenue of all railroads in the United States; as well as passenger
railroads that operate almost all of the nation's intercity passenger
trains and provide commuter rail service."
"AAR opposes H.R. 4746 because it could undermine industry
efforts to repeal the unfair 4.3 cent-per-gallon tax on railroad
diesel fuel; it would create a new federal program funded by Class
I tax revenues even though the tax's original purpose of reducing
the federal deficit has been achieved; and it would establish a
Railroad Trust Fund that Class I carriers neither want nor need.
"
In reading his testimony and listening to Class 1 representatives,
their stance is pretty much the same "we eventually get all the
shipments anyway.... what do we care if they come from trucks or other
shortlines."
The AAR is aggressively fighting this tax, which
would help fund the emergency shortline bill.
The Class 1 carriers, via AAR, point out that there is no need for
assistance. Obviously they either are ignoring the problems arising due
to their abandoning branch lines, or are not caring to look.
DepotNews 08/08 |