Two for the Long Haul

ProgressiveThe Information Leader for the Railroad Industry JANUARY 2013

TWO FOR THE LONG HAUL A NEW LINE FOR Crude oil and PORTLAND'S domestic intermodal TRIMET business pose the greatest long-term EASTERN growth potential SHALES for BNSF as long as STILL A enough capacity’s GROWTH DRIVER in place OUR 14TH ANNUAL GRADE CROSSING UPDATE

WEB EXCLUSIVE: Michael DePallo, the new CEO at Metrolink, cites challenges and priorities www.progressiverailroading.com/cover

www.ProgressiveRailroading.com

C1_PR_0113 cover.indd C1 1/3/13 11:35 AM The Secret is Coming Down the Track... POWERRAIL IS CELEBRATING 10 YEARS OF EXCELLENCE!

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C2_PR_0113_lr PowerRail.indd C2 12/27/12 11:21 AM PROGRESSIVE RAILROADING Volume 56, No. 1 January 2013 | CONTENTS | 1

COVER STORY • PAGE 16 TWO FOR THE LONG HAUL Crude oil and domestic intermodal business pose the greatest long-term growth potential for BNSF as long as enough capacity’s in place

FEATURES 14 Deconstructing the North American rail industry Short-term caution and long-term bullishness ruled at RailTrends 2012

23 Connecting the dots TriMet’s Portland-Milwaukie light-rail line will be the latest in a series of corridors linking key employment, tourist destinations

Photo courtesy of BNSF Railway Co. Cover design by Mark E. Uy 27 Shale and hearty growth Despite a drilling lull in some parts of the Marcellus, shales will be a growth driver this year for eastern DEPARTMENTS U.S. railroads 4 Upfront 30 A multi-pronged 13 Guest Comment approach Making the safety grade at crossings 45 Reader Information Center requires a little technology, a lot of partnering, and more education and 46 Professional Services Directory closures 46 Classified 39 Handling with greater care 48 From the Editor Suppliers that help railroads move MOW materials discuss technology and marketplace trends

“Crude by rail has gone from zero to 60 mph in a very short time.” — Matt Rose, Chairman and CEO, BNSF Railway Co. - p.17

PROGRESSIVE RAILROADING (ISSN 0033-0817) (Publications Agreement No. 40031401) is published mailed outside the U.S., $140.00 (U.S. dollars) per year, $245 (U.S. dollars) for two years. Add $150.00 (U.S. every month by Trade Press Media Group, Inc. Editorial and business offices are at 2100 W. Florist Ave., dollars) per year for USPS Priority Mail delivery. Periodicals postage paid at Milwaukee, Wisconsin and additional Milwaukee, WI 53209. (414) 228-7701. Subscriptions: PROGRESSIVE RAILROADING is sent without mailing offices. The publishers do not assume responsibility for the validity of the claims made for products obligation to railroad presidents, vice-presidents, and qualified personnel in railroad management and described. supervision in the executive, administrative, operating, mechanical, engineering, purchases and mate- POSTMASTER: Please send address changes to Progressive Railroading, P.O. Box 1289, Skokie, IL 60076- rials, electrical, signal and communications departments of the railroads. Qualified 8289. CANADIAN return address: Station A P.O. Box 54, Windsor, ON N9A 6J5; [email protected] subscriptions should be requested on railroad letterhead. Subscription price to All packages shipped via UPS, air express or common carrier, plus all general correspondence, should be others: $8.00 per single copy. $96.00 per year, $180.00 (U.S.) 2 years. For subscriptions addressed to: Progressive Railroading, 2100 W. Florist Ave. Milwaukee, WI 53209. Printed in U.S.A.

01_PR_0113 TOCMain.indd 01 1/3/13 2:22 PM PROGRESSIVE RAILROADING 2 | ONLINE | January 2013

Meet Operation Lifesaver Inc.’s New Metrolink CEO Michael Joyce Rose As the new national DePallo talks challenges, Find us on Facebook leader of Operational priorities The facebook.com/ Lifesaver Inc., Rose longtime Port Authority ProgressiveRailroading is taking over at an Trans-Hudson general important juncture in the manager has relocated organization’s history — to southern California, and in her career. www. where he plans to apply Join the Progressive Railroading progressiverailroading. his experiences in New Magazine LinkedIn group com/PR York and New Jersey to progressiverailroading.com/ carry out Metrolink’s PTC linkedin and passenger-car programs. www.progressiverailroading.com/PR Check us out on Google+ progressiverailroading.com/ Intermodal: Shorter trains, efficiency gains at NS A year ago, Norfolk google+ Southern Railway began to roll out an R3 initiative to optimize the movements of trailers, and international and domestic containers. Meaning the right lane, right car and right unit, R3 aims to ensure that trains Join the discussion, ask departing an intermodal terminal are headed questions and network to the correct destinations, moving freight with your colleagues at loaded on the most optimal rail cars and our social networking site, transporting the proper containers or trailers myprogressiverailroading.com to enhance capacity and increase asset utilization. www.progressiverailroading.com/PR myProgressive

RailTrends® — The premier Progressive Railroading’s Daily News conference for rail professionals The most-read Daily News stories last month: www.railtrends.com ■ “Canadian Pacific: New ‘rapid change agenda’ includes job cuts, headquarters relocation, DM&E line divestiture and mid-60s operating ratio” ■ “Berkshire sells second short line to meet STB divestiture obligation” ■ “Genesee & Wyoming lands its largest Utica Shale customer” www.progressiverailroading.com/news

LOGGING IN Angela Cotey associate editor

Jeff Stagl Julie Sneider managing editor assistant editor

his year, transit agency execs will he Panama Canal expansion — ncoming House T&I Committee Tget their long-awaited wish for a Twhich is slated for completion next IChairman Bill Shuster, on whether more streamlined New Starts program. year — will be followed by at least he’ll model outgoing Chairman John U.S. Transportation Secretary Ray one additional expansion, according Mica’s talent for making colorful LaHood’s Dec. 31 FastLane blog out- to an article posted Dec. 12 by statements: “I don’t know who writes lines the basics of the revisions. the Containerization & Intermodal his stuff for him. But I don’t have the www.fastlane.dot.gov Institute. www.containerization.org same writers.” www.politico.com

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03_PR_0113 Plasser American.indd 03 12/27/12 11:20 AM PROGRESSIVE RAILROADING 4 | January 2013 Upfront

[ INFORMATION TECHNOLOGY ] UP: A new center of attention By Jeff Stagl, Managing Editor Each year, Union Pacific group leaders closer to the top- electrical engineering programs, state, and employs more people Railroad’s attrition levels tier talent residing in one of such as the University of Texas- in Texas than any other state typically reach 3,000 to 4,000 the nation’s hottest technology Austin, University of Texas-San except Nebraska, where the workers primarily because of hubs. The 11,000-square-foot Antonio, Texas A&M University, company maintains its Omaha retirements. Every department facility will serve as a software Baylor University, Southern headquarters, according to the is impacted by the experienced and engineering research and Methodist University, Texas Class I. UP operates one of the worker drain, but it’s especially development center for the Christian University and Trinity world’s largest privately owned problematic in the information group, which conducts work University, says UP spokesman telecommunications networks, technology (IT) group because in such areas as real-time and Tom Lange. which supports 10,000 custom- hardware and software demands predictive analytics, hardware “We have been evaluating ers and the railroad’s 32,000- continue to mount. There usu- engineering, sensor-based mote the possibility of a satellite mile network in 23 states.

UNION PACIFIC RAILROAD PACIFIC UNION IT office for about two years,” he says. “A few years ago, we Special programming started sending recruiters to The new open-concept IT quite a few universities across center, which will support the U.S. to cultivate relation- more than 40 programmers ships with schools and meet and engineers, features a lab, potential employees. We also audio/visual training room and have expanded our internship “collaboration room,” where program to include roughly programmers and engineers can 70 year-round and 40 summer work together on projects. interns.” For example, professionals at The railroad continues to the center will work on predic- aggressively pursue recruiting tive analytics that help the rail- efforts within the Texas univer- road operate its trains — which sity systems and found many in any 24-hour window typically of the candidates prefer to live total about 3,300 — more safely Programmers and engineers use and work in Austin, said Lynden and reliably, says Lange. a room in the new IT center to Tennison, UP’s senior vice Opening the center in collaborate on projects. president and chief information northwest Austin is “a proof- officer, in a prepared statement. of-concept move on our part,” ally are 20 to 30 positions that technology and train com- “Having an office in the heart he says, adding that the facility remain unfilled in the group munications. The group also of Austin will help us bring is UP’s first true satellite IT because UP recruiters can’t develops and builds proprietary exciting new opportunities to center. find enough people with the hardware, software and systems. the exceptional talent being “We will evaluate its success requisite skills. developed in Texas,” he said. over the next 12 to 18 months That could soon change for A hold on Texas hotbed Considered an industry leader and determine whether to the better. Last month, UP Austin is home or in close in IT and technology innova- expand our Austin presence, add opened a new information tech- proximity to many colleges and tion, UP operates more miles other satellite locations or pull nology center in Austin, Texas, universities that offer “very of railroad in Texas — about the work back into our Omaha to locate recruiters and IT strong” computer science and 6,300 — than in any other headquarters,” says Lange. ■

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05_PR_0113 RAILWORKS.indd 05 12/27/12 2:25 PM | | PROGRESSIVE RAILROADING 6 UPFRONT January 2013 Carloads Originated

2012 % Change Numbers from 2011

U.S. CLASS I RAILROADS TOTAL...... 13,318,005 -3.3

CSX Transportation ...... 2,624,856 -5.9 TRAFFIC Norfolk Southern ...... 2,459,750 -5.5 Upfront EAST TOTAL ...... 5,084,606 -5.7 BNSF Railway ...... 4,071,417 0.3 Kansas City Southern ...... 270,104 -2.6 Union Pacific...... 3,891,878 -3.6 North American Carloads WEST TOTAL...... 8,233,399 -1.7 CANADIAN CLASS I RAILROADS TOTAL . 3,710,095 2.1 Canadian National ...... 2,477,083 1.5 2012 17,999,168 -1.9% Canadian Pacific ...... 1,233,012 3.3 MEXICAN RAILROADS TOTAL ...... 693,244 0.8 Ferrocarril Mexicano S.A. de C.V...... 468,665 0.7 2011 18,345,389 Kansas City Southern de México...... 224,579 1.0

Cumulative, 48 weeks 2012 Source: AAR Policy and Economics Department 4,071,417 0.3% CHANGEHANGE

Cumulative, 48 weeks 2012 Housing’s impact in 2013 Corn crop quality Source: AAR Policy and Economics Department Business could be looking up improved in 2012 for lumber carloads this year, as Total U.S. corn production fell the U.S. housing market recov- in 2012 because of the worst ery gains momentum. According drought in decades, but the RAIL KEY TO NORTH DAKOTA OIL to a Bank of America Merrill overall quality of the crop Growth in shale-based liquids produc- Lynch Global Research 2013 is “high” and improved upon tion has turned North Dakota into the Market Outlook, U.S. home 2011’s measurements, accord- prices are expected to increase ing to the U.S. Grains Council’s second-largest oil producing state. another 3 percent, adding to “Corn Harvest Quality Report About one quarter of the state’s oil 2012-13,” www.grains.org. the 5 percent gain in 2012. production now is moved by rail, ac- “Housing starts could increase The crop showed year-over- by more than 25 percent, and year improvement in average cording to Fitch Ratings’ 2013 outlook a 3.5 percent average annual text, weight, protein levels on crude oil and pipelines. “Oil produc- appreciation over the next 10 and density, as well as lower years should stimulate jobs for moisture and “broken corn and tion growth is significant enough to construction and related sec- foreign material,” the report support projects for pipelines and rail tors such as furniture, building states. The next Corn Harvest cars,” Fitch states. ■ materials and financials,” the Quality report will be available report states. ■ in April. ■

Carloads By Commodity

U.S. CANADIAN MEXICAN RAILROADS RAILROADS RAILROADS 2012 % 2012 % 2012 % Numbers Change* Numbers Change* Numbers Change* 131,897 Grain 944,955 -9.1 430,570 -0.3 47,933 -14.0 Ores 343,845 -5.8 597,769 -2.6 75,592 0.9 7.3% CHANGE* Coal 5,579,386 -10.5 416,889 5.5 7,800 -13.5 Aggregates 906,901 7.8 117,806 5.2 4,127 -44.5 Minerals (nonmet.) 226,480 -5.1 72,650 -9.6 1,525 -28.8 Grain Mill 456,418 -0.2 76,120 -0.6 7,011 -19.0 Food 313,834 2.6 102,428 0.4 46,756 8.0 149,914 Lumber 149,914 12.8 131,897 7.3 968 36.3 12.8% CHANGE* Paper 288,124 0.4 159,080 -6.0 1,915 -7.1 Chemicals 1,420,437 -0.9 501,062 -6.0 61,601 8.6 Petroleum 491,349 45.2 279,553 30.4 19,835 -14.9 Stone, Clay, Glass 362,741 3.6 68,563 6.3 99,484 8.7 Metals 503,760 2.9 108,616 -0.8 78,471 -9.0 36.3% CHANGE* Autos 747,336 16.7 269,197 10.0 163,980 10.9 968 Iron & Steel Scrap 212,521 -5.4 44,982 1.9 14,767 1.4 Cumulative 48 weeks * Percent change from 2011 Waste/Scrap 147,052 -5.7 32,233 60.7 5,368 -37.6 Source: AAR Policy and Economics Department

06_PR_0113 Upfront_Traffic.indd 06 12/27/12 2:24 PM PROGRESSIVE RAILROADING January 2013 | UPFRONT | 7 RailConnect Index® of Short-Line Traffic Year-to-Date Period Ending 12/1/2012, Week 48 SHORT LINE CARLOADS HANDLED 2012 2011 %Change Coal 653,867 699,662 -6.55 Upfront Grain 734,272 765,046 -4.02 Farm & Food (Excl. Grain) 289,796 292,171 -0.81 Ores 124,228 153,898 -19.28 TRACKWORK IN WINTER Indiana Harbor Belt Railroad Co. is Stone, Clay, Aggregates 721,264 702,669 2.65 rebuilding, reconfiguring and adding tracks in Whiting Yard to Lumber & Forest Products 268,304 244,678 9.66 accommodate an expansion of BP’s refinery in Whiting, Ind. Work Paper Products 381,591 393,447 -3.01 Waste & Scrap Materials 305,278 321,733 -5.11 is slated for completion in early 2013. ■ Chemicals 1,058,316 1,027,551 2.99 Petroleum & C oke 237,054 257,996 -8.12 Metals & Products 486,786 513,714 -5.24 Motor Vehicles & Equip. 144,786 126,511 14.45 A FOUR-WAY MOVE In November, Vermont Rail System helped move Intermodal 680,049 495,158 37.34 wind turbine blades from Little Rock, Ark., to its Burlington, Vt., yard. All Other 129,995 126,020 3.15 The blades then were trucked to a Georgia Mountain TOTAL 6,215,586 6,120,254 1.56 Community Wind installation site near Milton and Georgia, Vt. CSX Transportation, Union Pacific Railroad and Pan Am Southern Railways also played roles in 2012012 20112 railing the freight from Arkansas to Vermont. ■ 144,78686 126,5111 MORE POWER FOR FARMRAIL Because of growing Anadarko Basin crude-oil volumes, Farmrail System Inc. has leased seven additional locomotives, increasing its fleet to 35 units. The company leased five fuel-efficient, Caterpillar-powered locomotives to increase heavier road trains’ tractive effort and two 12-cylinder switchers to +14.45%4 4 %C CHANGEHANGE Source: RMI, a GE Transportation T t ti company (Data(D t from f 423 U.S. U S and d Canadian C di railroads) assemble mini-unit consists at a truck-to-rail transload facility. ■

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07_PR_0113 UpfrontShortLine.indd 07 12/27/12 11:15 AM PROGRESSIVE RAILROADING 8 | UPFRONT | January 2013

INTERMODAL Intermodal Traffic Upfront Cumulative, 48 weeks 2012 Canadian Railroads TRENDS OF THE TRADE Global completed in the port’s Grain 2012 % up/down Numbers from 2011 trade volumes are slow- Subdivision area. All overhead Total Units 2,484,231 6.7 primary electrical cables were ing down, according to the Trailers 68,419 -8.0 International Transport Forum’s replaced with underground Containers 2,415,812 7.2 December 2012 Statistics Brief. cables. ■ Total external trade by sea has remained stagnant below U.S. Railroads 2,484,231 “pre-crisis” levels in the United LESS THAN GREAT 2012 % up/downwn States and European Union. EXPECTATIONS During the Numbers from 201111 Total Units 11,379,334 3.3 However, total exports remain fourth quarter, freight demand Trailers 1,420,265 -9.5 clocked in at levels in line 11,379,334 above pre-crisis levels, while Containers 9,959,069 5.4 exports to Asia exhibited signs with what economists had of slowing down, the report predicted, according to Baird Mexican Railroads states. ■ Equity Research’s December 483,528 2012 % up/down Transportation/Logistics report. Numbers from 2011 However, those expectations Total Units 483,528 19.6 MARKING A MILESTONE The were “muted” and some chal- Trailers 434 64.4 Port of Vancouver USA’s West lenges — such as core pricing Containers 483,528 19.6 Vancouver Freight Access growth that continued to project last month reached yet decelerate and uncertainty due Source: AAR Policy and Economics Department another milestone. The last to macro/fiscal policy issues of the work on the electrical — still need to be overcome in services “undergrounding” was early 2013. ■

GOING ELECTRIC IN GEORGIA The Georgia Ports Authority (GPA) has “Regulations adversely begun using four electrified rubber-tired gantry affecting trucking’s (ERTG) cranes at the Port of Savannah. The capacity to haul, espe- cranes will help reduce fuel consumption cially the new [hours by about 95 percent. The authority is of service] rule in the the first entity in North America to pipeline for implementa- use such technology, according to tion, will cause an ever- the GPA. The ERTGs can automati- tightening condition. cally switch to diesel generators When we add in the when moving from stack to stack. expectation of further GPA developed the new system freight growth, we can in partnership with Konecranes, see a possible crisis Conductix-Wampfler and Georgia unfolding in late 2013 Power, which supplied the cranes, where there simply are new power system and electrical in- not enough available frastructure, respectively. GPA plans hauling hours to meet to retrofit the Garden City Terminal’s shipping demands.” fleet of diesel-powered RTGs to use — Jonathan Starks, shore power, bringing the total number director of Y IT R O of ERTGs in operation to 169 by 2022. TH transportation analysis, AU S RT PO FTR Associates IA RG GEO

08,9_PR_0113 Int-Transit.indd 08 1/2/13 4:01 PM PROGRESSIVE RAILROADING January 2013 | UPFRONT | 9

Transit ridership through September 2012 IN TRANSIT During 2012’s first three quarters, more than 7.9 Upfront billion trips were taken on U.S. public transit systems. The period from July to September marked the HEAR YE, HEAR YE In early trip between the cities to about seventh-consecutive quarter of ridership gains. December, House Transportation eight hours. ■ and Infrastructure Committee HEAVY LIGHT COMMUTER Chairman John Mica held a RAIL RAIL RAIL hearing on the Northeast TWITTER.COM/@RAIL_PRO_MAG Corridor. Federal Railroad 2,806,936 2,710,173 Administration Deputy From RailTrends® 2012: Administrator Karen Hedlund “FEC’s Husein Cumber on discussed the strategy for ad- AllAboardFlorida: Well on dressing the corridor’s near- and our way to demonstrating long-term needs. “Our initial fo- you can build a passenger cus is to thoroughly understand rail system using private money” the true needs of the market,” she said. “We will do a market- based assessment and will know from the very beginning the PAYING THE WAY A vehicle- 380,196

types of rail service needed to miles tax is one option 364,940 353,309 344,994 meet future demand.” ■ that often comes up during discussions about how to shore up the Highway Trust Fund. CHINA’S LATEST HIGH-SPEED According to a Dec. 4 poll on LINK On Dec. 26, the Beijing- ProgressiveRailroading.com, Guangzhou high-speed rail line the majority of respondents opened for service. At 1,500 — 57 percent of the 280 who miles, it’s the longest high- participated — said they would speed line in the world. Trains support such a tax, the proceeds 201220201212 20112020111 2012202 122 2011202 11 2012200122 2011202 111 will travel at an average speed of which would help fund transit Source: American Public Transportation Association of 300 kph, cutting the 20-hour projects. ■

Meetings MEETING PREVIEW

FEB 12-13 — American Railway MARCH 14 — Railroad Day on Capitol Development Association 2013 Executive Hill. Capitol Hill and Renaissance Forum. BNSF Railway Co. headquarters, Fort Washington, D.C., Downtown Hotel. Worth, Texas. www.amraildev.com www.aar.org or www.aslrra.org This industry event includes FEB. 28-MARCH 2 — American MARCH 19-21 — Railroad Track Design meetings with congressional Association of Railroad Superintendents’ Training Workshop. University of Tennessee members throughout the day, 41st Winter Meeting. Marriott Atlanta NRTC, Knoxville. http://ctr.utk.edu/ttap/ and a reception and dinner in Buckhead Hotel and Conference Center. training/index.html the evening. The event is orga- www.railroadsuperintendents.org nized by AAR, ASLRRA, NRC, RSI, APRIL 8-10 — 2013 International Rail RSSI, REMSA, RTA and other in- Safety Seminar and Expo. Florida Hotel MARCH 5-6 — 18th Annual AAR Research dustry groups. Review. Pueblo Convention Center, Pueblo, and Conference Center, Orlando. Colo. http://www.regonline.com/18threview http://railsafetyseminars.com MARCH 11-15 — Railroad Track APRIL 27-30 — American Short Line and For more meetings, see Inspection & Safety Standards Workshop. Regional Railroad Association’s Annual University of Tennessee, Chattanooga. Meeting and Exhibition. Atlanta Marriott Progressive http:// http://ctr.utk.edu/ttap/training/ Marquis Hotel. http://www.aslrra.org/ index.html meetings_seminars/

08,9_PR_0113 Int-Transit.indd 09 1/2/13 4:01 PM NOW — Better by Design...... AND AS RELEVANT AS EVER.

Enjoy our new look starting with this issue

10_PR_0113 PR.indd 10 12/19/12 3:53 PM PROGRESSIVE RAILROADING January 2013 | UPFRONT | 11

People FREIGHT CSX Transportation Co. … Patriot Rail Corp. Spotlight named Gary Bethel vice presi- promoted David Eyermann dent of the Northern Region from VP of operations to VP Women Executive Network named Canadian Pacific Executive to succeed Craig King, who is of planning and design, and Vice President and Chief Marketing Officer Jane O’Hagan one of retiring; Frank Lonegro, VP of appointed Dennis Marzec VP Canada’s “Top 100 Most Powerful Women” of mechanical to succeed Bethel; of field operations. 2012. O’Hagan is a founding member of CP’s and Kathleen Brandt, presi- Women on Track group that fosters mentor- dent of CSX Technology, to TRANSIT Amtrak named ing, communications, learning and connect- succeed Lonegro. … Indiana David Nichols chief trans- ing with women companywide. Over the past Rail Road Co. promoted Mike portation officer and Matt eight years, she has been promoted to posi- Engel to the new position of Hardison, chief marketing tions of increased scope and responsibility, senior VP and chief financial and sales officer. including those involving yield management, officer, and Bob Babcock to product design, corporate communications and public affairs, government affairs and Canadian Pacific Logistics Services. SVP of operations and busi- SUPPLY SIDE Thales’ board ness development. The elected Jean-Bernard Levy regional also named Eric chairman and CEO. ... Harsco Powell manager of intermodal Rail announced three key Zealand; and David Baxter, counsel and secretary. ... The and economic development. leadership appointments: director of global commercial National Railroad Construction ... Watco Cos. L.L.C. named Joseph Dougherty, VP- operations. … Harbor Rail and Maintenance Association Mike Stickel VP of market- international; Jay Gowan, Services Co. appointed Caylan selected Railroad Construction ing. ... Watco Transportation VP of sales for North and Myronowicz executive VP. Co. Inc. Chairman and Chief Services L.L.C. named James South America, who will … Trinity Industries Inc. Executive Officer James Fuchs general manager of take on sales responsibil- promoted Jared Richardson Daloisio the 2013 Hall of Wisconsin & Southern Railroad ity for Australia and New to VP, associate general Fame inductee.

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11,12_PR_0113 upfrontPeopleMarket.indd 11 1/3/13 7:50 AM PROGRESSIVE RAILROADING 12 | UPFRONT | January 2013

Marketplace M&A CATERPILLAR INC. nance for 1,000 tank cars that subsidiary PROGRESS RAIL will move crude oil out of the SERVICES purchased the Bakken Shale play. Spotlight mobile welding assets of RIBBONWELD L.L.C. C&S Wheeling & Lake Erie METROLINK plans to acquire up to 20 Tier 4-compliant Railway Co. deployed AVTEC locomotive engines under a contract with ELECTRO-MOTIVE MECHANICAL BOMBARDIER INC.’S SCOUT™ radio dispatch DIESEL INC. Metrolink allocated $129.4 million for the pur- TRANSPORTATION obtained console to control train move- chase. Designed to meet the U.S. Environmental Protection a $170 million contract ments on its 840-mile system. Agency’s Tier 4 emission standard, the engines are expected with Virgin Trains to con- to reduce emissions by 86 percent, according to Metrolink. tinue maintaining its Super MOW L.B. FOSTER CO. The first three demonstration locomotives are scheduled to be Voyager fleet on the United obtained a multi-year contract completed in fall 2015. Kingdom’s West Coast mainline. extension from Union Pacific Bombardier also obtained Railroad to supply pre-stressed a $90.7 million (Canadian concrete ties, which will be dollars) contract from British manufactured at the firm’s Columbia’s government and Tucson, Ariz., plant. … TransLink to supply 28 SkyTrain PROTRAN TECHNOLOGY and cars for the new Evergreen and QINETIQ NORTH AMERICA existing Expo and Millennium partnered to provide Maryland lines. … STATOIL MARKETING Transit Administration a real- AND TRADING INC. chose The time network of remote sensors Greenbrier Cos. to provide rail- on continuous-welded rail for car management and mainte- testing and evaluation.

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11,12_PR_0113 upfrontPeopleMarket.indd 12 1/3/13 7:50 AM PROGRESSIVE RAILROADING January 2013 | GUEST COLUMN | 13

Peter Gertler is the high-speed rail services chair for HNTB Corp. The company is providing services for several U.S. high-speed rail projects. He can be reached at [email protected].

to operate effi ciently and effectively, the existing lines must operate effi ciently U.S. high-speed rail: and effectively, too. In the meantime, progress is being made on several projects. In the Midwest, What now? Illinois began 110 mph rail service on a 15-mile segment of the Chicago-to-St. Louis corridor in November 2012 and orrowing from the fi reman’s lesson to children to trains have been operating at speeds up to 110 mph on an “stop, drop and roll,” America needs to “listen, 80-mile stretch between Kalamazoo, Mich., and Porter, Ind. Bdiscuss and act” on the need to invest in sustain- since February 2012. able infrastructure and to have a realistic, substantive The Northeast Corridor has embarked on many signifi - discussion about the future of U.S. passenger rail. We cant projects to improve reliability and speed, including have an unprecedented opportunity to frame a productive the New Jersey 160 mph project, Baltimore Tunnel and the discussion if we: Gateway Project, which are necessary to keep one of the Listen — Elected offi cials need to move beyond party world’s busiest and most productive rail corridors operat- politics to listen more to the experts about passenger rail’s ing at high effi ciency and capacity. value in securing America’s multi-modal future. And, California is selecting a design-build contractor for Discuss — At a time when Congress is grappling with a 130-mile section of high-speed rail known as the Central funding issues, our leaders need to direct Americans in a Valley Corridor, regarded as the backbone of California’s constructive and forward-thinking conversation about gen- planned 800-mile system. Construction is scheduled to be- erating revenue, cutting costs and enhancing our infrastruc- gin in the fi rst quarter of 2013. ture for future generations by investing in passenger rail. In just four years, the pas- Act — Hurricane Sandy was a wake-up call. We can- Local and regional senger rail industry will have not take our passenger rail systems for granted. Working even greater progress to show together, we can respond to a crisis. passenger-rail for America’s investment: • Construction will be Where the conversation stands improvements are substantially underway on the The message about the benefi ts of high-speed rail has the backbone of a 130-mile segment in California. not changed, but the conversation has evolved from “Let’s • Passengers up and down build high-speed rail” to “Let’s improve the passenger-rail future high-speed rail the Northeast will see im- system, of which high-speed and intercity rail are critical proved speeds and reliability components, to create a robust, integrated and sustain- system. on existing corridors. able public transportation system necessary for a growing, • The Chicago-to-St. Louis highly mobile society.” corridor will be completed, as The long-term vision remains intact. The United States will the Kalamazoo-Dearborn portion of the Chicago-to- will have an integrated and effi cient passenger-rail system Detroit/Pontiac corridor. with trains running at higher and conventional speeds that • High-speed and intercity rail studies in Texas, Geor- connect major urban areas. The steps necessary to achieve gia, New York and other states will have completed initial that long-term vision will require several local and regional planning and environmental studies, and will be pipelined improvements fi rst be made, including: and funding-ready for fi nal design and construction. • Enhance reliability, capacity and safety by maintain- Beyond September 2014, no one knows exactly where ing and modernizing regional and local rail systems. funding for U.S. passenger rail will come from or how • Where there is demand for a cost-effective alternative much will be available. We do know we can’t let this oppor- to existing travel options, expand the existing rail systems. tunity slip away. We are on the brink of a greatly improved • Maximize the convenience and attractiveness of rail passenger-rail system, but there won’t be money to com- travel with integrated connectivity, scheduling transfers plete the work unless we fi nd solutions now. We can’t wait and fare systems. until three months before the next authorization deadline These local and regional improvements are the back- to decide. We need to listen, discuss and act now to identify bone of the future U.S. high-speed rail system and if it is solutions for tomorrow. ■

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sentation. The consensus that emerged from RT: We’re still in the very early in- Deconstructing nings of a very long game. On the government relations front, we heard from an array of trade asso- the North American ciations: Association of American Rail- roads (AAR), American Short Line and Regional Railroad Association (ASLR- RA), Railway Supply Institute, Na- rail industry tional Industrial Transportation League, National Railroad Construction and Maintenance Association, and Railway Short-term caution THE RESCHEDULED RAILTRENDS® Association of Canada (RAC). 2012 (RT) CONFERENCE, held Dec. 10- AAR President and CEO Ed Ham- (sort of) and long- 11 at the W New York Hotel in New York berger (“for the defense”) was outstand- City, offered a rather full deconstruction ing in talking about bringing product term bullishness of the North American rail industry and and geographic competition into the its prospects. I use the term “deconstruc- equation. ASLRRA President Richard ruled at RailTrends tion” because not only did RT examine Timmons rightly noted: “It’s a transfor- the industry from the widest variety of mational period. The challenge is to see 2012 viewpoints (including, for the fi rst time, clearly enough to make reasonable deci- a signifi cant passenger perspective), but sions.” RAC President and CEO Michael Superstorm Sandy caused the coherent Bourque was particularly relevant and agenda order we strive for to be be- timely: While the United States ponders holden to a wide variety of speaker re- slowly developing regulatory changes booking needs — and thanks to all for through the Surface Transportation that. Needless to say, in our little corner Board’s (STB) ex parte 711, the Fair Rail of the world, the score was RailTrends Freight Service Act entered the Cana- 2012 1, Sandy 0. dian legislature while we were at RT. By Essentially, the news over the inten- U.S. standards, this would be an inva- sive day-and-a-half proceedings was sive stretch, but Canadian carriers and mixed — caution over the near term RAC appear to believe that while the By Tony Hatch (the i.e., the fi scal cliff) and continued precedent is troubling (to say the least), optimism for the longer term. RE: op- given the devil’s details, it wouldn’t be timism — enough, certainly, to fi re up too onerous for the railways up north. unprecedented spending and a few new or updated projects we heard about, in- The ‘energy renaissance’ rules cluding All Aboard Florida, the National U.S. regulators, too, were ably represent- Gateway and various hub creations. ed at RT. STB Chairman Daniel Elliott, Of course, we also heard a lot about National Transportation Safety Board energy, specifi cally crude by rail, the Chair Deborah Hersman and Federal excitable and lasting topic of three spe- Railroad Administration Associate Ad- cifi c presentations — from Kansas City ministrator for Railroad Policy and De- Southern (KCS) EVP of Sales and Mar- velopment Paul Nissenbaum offered up- keting Pat Ottensmeyer, Dakota Plains dates on and insights into their respective Holdings Inc. VP of Operations Robert agencies’ current rail takes. Henry and Oliver Wyman Partner Jef- Meanwhile, noted political speaker fery Elliott — but at least mentioned Jamal Simmons didn’t promise a diver- in just about every freight-related pre- sion from cliff diving, but said that the Obama administration would place trade at the upper end of its priorities. Other speaker highlights, and there were many, included:

■ The rail-car market remains relatively solid: Rail Theory Forecasts L.L.C. President Toby Kolstad suggested it’s a healthy, if tanker-biased, environment,

14,15_PR_0113 RTrecap.indd 14 12/28/12 1:42 PM PROGRESSIVE RAILROADING January 2013 | 15

with a big one-year drop (from 57,000 de- mile Florida racetrack — proving that liveries in 2012 to 47,000 in 2013) refl ect- with density and a product, even very ing the cyclical decline in sand-car orders short-haul intermodal can get a great due in part to the wave of velocity that is ROI. The FECR “story” gets refi ned every hitting the rail fl eets. year as it adds blue-chip customers (Wal- Mart, USG) and extends its market reach Joseph Boardman ■ KCS’ Ottensmeyer focused on energy, (Charlotte, Memphis, Atlanta) — and all President and CEO perhaps its forgotten growth market after of this before the wider Panama Canal Amtrak autos and white goods in Mexico, chemi- promises to be at least a partial solution cals, grain and intermodal. But a look at to the 4:1 balance issue the railway and an aerial map clearly shows what should the state “enjoy.” Amtrak President and CEO Joe Board- be a great opportunity in Mexico for frac man, who offered a spirited talk on his drilling. Combine that with KCS’ sand ■ Genesee & Wyoming Inc. (GWI) Presi- vision of the future for the national pas- originations and Port Arthur control in dent and CEO Jack Hellmann looked pos- senger railroad. “Amtrak is not dwelling Texas, and it gives the Class I a rather bal- itively giddy, given the sure-thing status on the negative,” Boardman said. “We’re anced exposure to the developing energy of the RailAmerica Inc. (RA) merger ap- dwelling on growth.” supply chain. proval from the STB (note: it came on Dec. 20). Contrary to my earlier expectations, I ■ Domestic intermodal still will be the ■ Union Pacifi c Railroad sent us VP of got the strong impression from Hellmann top-billed star. CSX Corp. VP of Intermo- Engineering Joe Santamaria. He reas- that all of the RA properties fi t within the dal Bill Clement demonstrated why the sured me that despite the publicly an- traditional GWI “cluster” system, with coming promise of domestic conversion nounced reduction in capex as a percent- only one new region; even RA’s rail con- shouldn’t be overlooked in an oil boom, age of revenue (no longer the perfect struction company Atlas may be a keeper, with 9 million loads achievable on the measurement, anyhow) from 17 percent after all. GWI has an amazing safety re- CSX system and the development of a cord — half the accident rate of the Class new hub to complement the successful Is (with short lines, it usually is the other northwest Ohio venture. way around, or more). ■ Alaska Railroad Corp. President and ■ Newly energized OmniTRAX Inc. has CEO Chris Aadnesen talked about his been growing and emphasizing devel- unique freight-passenger property, citing Joe Santamaria opment. For example: “We’re looking to opportunities for growth, current expan- VP of Engineering handle crude from the Bakken at the Port sion projects and challenges — chiefl y, Union Pacific Railroad of Churchill; it’s the only arctic deepwa- the severe cold and abundant snow. ter port,” said President and CEO Gary to 18 percent down to 16 percent to 17 Long. Another OmniTRAX focus: “We’ll ■ Consultants Oliver Wyman, well percent, UP nonetheless would spend be increasing the marketing of our trans- known for their work with Canadian Pa- as it saw fi t to maintain the railway — a load business — it’s the fastest way to cifi c and CSX, among others, confi rmed strategic look as opposed to the tacti- grow,” he said. our belief in the aforementioned crude- cal viewpoint at the end of the “bad old by-rail story while still proposing that coal days.” And with revenue growth forecast ■ Florida East Coast Industries EVP of will be back (or at least up year over year) to be strong thanks to pricing, economic Corporate Development Husein Cum- in 2013. As Oliver Wyman’s Elliott put it, recovery, and crude and chemicals, the ber provided an overview/update on only half of the radical drop is systemic. net dollar number likely will continue to All Aboard Florida, a privately owned, grow. operated and maintained higher-speed ■ Larry Shughart of WorleyParsons — passenger-rail service that would run our last speaker — might have been our ■ CN EVP and Chief Marketing Offi - 240 miles between Miami, Cocoa and most shocking: By benchmarking best cer Jean-Jacques Ruest, in a presentation Orlando. It’s expected to stand alone practices on both the revenue (prices) titled “Growth and New Traffi c Oppor- on an EBITDA and ROI basis without and cost (operating practices) sides, rail- tunities at CN,” noted that “one of the government funding or real estate assis- roads could achieve improvements that benefi ts of the energy renaissance is it’s tance. Can it be done? Also joining us was range from 32 percent upside (Norfolk teaching railroads to move fast.” As for Southern Corp.) to fully 60 percent (CP), growth and new traffi c opportunities, he said. And that is without marketshare Ruest said: “Probably the biggest story gains in intermodal, grain’s comeback, for CN revenue is energy, and energy is shale plays, etc.! ■ crude. Alberta heavy crude.” Tony Hatch is an independent transporta- ■ Represented by President and CEO tion analyst and consultant, and a program Jim Hertwig, Florida East Coast Rail- Jean-Jacques Ruest consultant for Progressive Railroading’s way (FECR) is a “phenom” as we say, EVP and CMO RailTrends® conference. Email him at abh18@ running 75 percent intermodal on a 351- CN mindspring.com.

14,15_PR_0113 RTrecap.indd 15 1/3/13 3:37 PM PROGRESSIVE RAILROADING 16 | COVER STORY | January 2013013 TWO FOR THE LONG HAUL By Jeff Stagl, Managing Editor

BNSF RAILWAY CO.

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THE WILLISTON AREA DEVELOPMENT FOUNDATION moting the development of more fl exible and customized manages a “Rockin’ the Bakken” campaign and website to services to boost operational consistency. promote the expansion of crude-oil drilling in the Bakken And to ensure the Class I can continue pursuing and Formation, a 200,000-square-mile shale that encompasses accommodating much more volume, senior execs are portions of North Dakota, Montana and Saskatchewan. willing to devote a lot of dollars for capacity enhance- More commonly known as the Bakken Shale, the region ments, from new staging tracks, turnouts and intermodal already has been rockin’ big time for BNSF Railway Co. In facilities, to additional manpower and rolling stock. the past fi ve years, the Class I’s annual crude-oil volume Last year, BNSF budgeted a “very strong” $3.9 billion for in the shale has skyrocketed 7,000 per- capital expenditures and the railroad cent from 1.3 million barrels in 2008 to will continue to develop “robust capital a projected 89 million barrels in 2012. Crude oil and investment programs,” says Rose. (At BNSF’s daily volume was expected press time, the Class I hadn’t yet released to climb from 400,000 barrels at 2012’s domestic intermodal a 2013 capex budget.) end to 500,000 barrels by the end of “We will continue to focus on expand- this year, while the number of unit business pose the ing and maintaining our network,” says trains operating per day was projected Rose. to increase from fi ve in 2012 to eight greatest long-term In terms of expanding intermodal in 2013. capacity, it’s somewhat easier to address Although domestic intermodal growth potential mainline, locomotive, rail-car and labor growth hasn’t been anywhere near needs than any requisite new terminals, as rapid, it’s been a boon for BNSF, for BNSF as long as which are the “long pole in the capacity too. Volume has climbed by 10 per- tent,” he says. cent, or about 200,000 units, each of enough capacity’s “Land availability in very large the past few years and is forecasted metropolitan areas is a problem. We to continue registering double-digit in place usually need to try and acquire land growth for the foreseeable future. in outlying areas,” says Rose, adding Better yet for BNSF, crude oil and that such locations aren’t always con- domestic intermodal business aren’t just pegged for robust ducive to ideal intermodal operations. growth in the near term. The two traffi c segments pose the For crude-oil business, just getting an initial network in greatest long-term traffi c- and revenue-generation potential place is capacity charge No. 1. Crude-by-rail traffi c is pro- among all commodity groups. jected to increase by 300,000 units in 2013, virtually off- In the Bakken — where the Class I serves 16 of the top 19 setting a similar drop in coal volume in 2012. But coal is oil-producing counties in central and western North Dakota, moved on a fi xed network that’s been in place for decades and fi ve of the six oil-producing counties in eastern Montana — while crude oil is moved along a system that’s just being daily crude-oil volume could double within the next fi ve years. established, says Rose. “We see a path to 1 million barrels per day,” says BNSF “It’s a challenge to keep up. Crude by rail has gone from Chairman and Chief Executive Offi cer Matt Rose. zero to 60 mph in a very short time,” he says. In the domestic intermodal sector, the railroad is posi- tioned to divert more truck traffi c in the coming years from Building up in the Bakken a pool of about 10 million viable highway moves. Why? Cost- To keep pace, BNSF is trying to mold and enhance its crude- conscious shippers are dealing with higher trucking rates by-rail network as quickly as possible. due to increasing fuel prices and tightening capacity. In 2012, the Class I allocated $200 million for trackwork — “Big and small retailers are thinking more about their costs, including new inspection tracks and high-speed turnouts, the including the cost of transportation, and the cost of transpor- replacement of bolted rail with continuous-welded rail, and tation is winning out,” says Rose. track raising and replacement projects — as well as signal But it’s one thing to project the vast potential posed by the upgrades and equipment acquisitions. two white-hot traffi c segments, and another to realize it. The The railroad also has hired more than 600 new workers key to achieving the latter: expanding capacity and enhanc- the past two years to fi ll existing and newly created positions ing service reliability to meet shippers’ mounting needs as in North Dakota and Montana, such as crew members who the markets continue to evolve. deliver inbound materials (frac sand, pipes, etc.) to support The BNSF senior team is striving to do both. They’re pro- drilling operations.

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In addition, the Class I formed a facilities are essential in the supply ken is projected to reach 1.5 million bar- dedicated Unit Energy Desk that works chain to meet mounting demand, rels this year and ramp up to 2 million with customers to plan and coordinate says Rose. barrels over the next several years. unit train movements, and increased The Williston Basin is a well devel- Because of the quick-developing the size of unit trains from 100 tank cars opment hotbed since that’s where oil market, BNSF needs accurate produc- to 104 or 118 cars. producers began to set up shop, says tion forecasts two years in advance to BNSF likely will spend a similar Lanigan. ensure the necessary infrastructure $175 million to $200 million on capacity “It’s easier to build off of that than and supply chain is in place, says initiatives in 2013, but then take a short start one 100 or 200 miles or more Garin. The Class I develops its own “breather” because infrastructure put in away,” he says. “It’s a boon to us as forecasts for the Bakken, where BNSF place essentially would be in tune with long as any wells are along our right generally handles half of all crude-oil projected demand, says Rose. of way.” traffi c; the other half is handled by Over the long term, the Class I Canadian Pacifi c and pipelines. expects to add capacity in the Bakken Eye on the ‘prize’ The forecasts address tank-car and Although moving frac sand and other destination capacity, and service reliabil- BNSF RAILWAY CO. RAILWAY BNSF inbound materials to wells is just as ity and consistency. Tank-car capacity is vital to BNSF’s fortunes as outbound adequate now, but more cars will need crude oil since the traffi c is intercon- to be built soon. Meanwhile, destination nected, oil is the “prize at the end of the capacity, too, will be an issue, says Garin. journey” that poses slightly more value, In late 2012, Tesoro Corp. opened says Lanigan. a BNSF-served unit train facility at Crude by rail is a very long-lived its refi nery near Anacortes, Wash. It and valuable opportunity for BNSF, became the fi rst crude-oil unit train and not a fad or fl avor of the day, says facility in the Pacifi c Northwest and Steve Bobb, who succeeded Lanigan as the fi rst unit train facility at a crude-oil EVP and CMO. refi nery in the nation, says Garin. “We provide value that isn’t avail- “As the economics work out, we able from a pipeline service. We try to will see more of these ‘refi nery direct’ stay focused on all opportunities in all moves,” he says. markets, and crude by rail illustrates In addition to addressing booming that,” he says. “You see what’s chang- growth in the Bakken, BNSF to a lesser ing in markets as the economy changes extent is deriving slower, yet steadier and as customers’ needs change. We volume growth in other oil-producing want to capture the opportunities as regions, such as the Eagle Ford Shale and they occur.” Permian Basin in Texas, and Niobrara Domestic intermodal Although not all other opportu- Shale in Colorado, says Lanigan. volume rose about nities will be as “good or big” as the 10 percent in both 2011 Bakken, BNSF needs to take advantage Knowledge is king and 2012, and BNSF of what’s hot in all markets, such as a “Slow” isn’t a word that comes to mind expects more double-digit rethinking in the lumber products and when BNSF senior execs describe domes- growth in coming years. chemical sectors targeting where those tic intermodal growth and the sector’s products are manufactured, says Bobb. potential. The “triple-crown effect” of on an ongoing basis, especially in the Business in the Bakken continues public benefi ts — reduced air emissions, Williston Basin in North Dakota and to heat up because more refi ners are fuel usage and highway congestion — is Montana, where BNSF operates 1,000 fi nding that Bakken light sweet crude helping to drive more highway traffi c to miles of track and serves 10 originating works better in their refi neries than fi rst rail, says Rose. terminals. thought, says Dave Garin, BNSF’s group In addition, the shipping commu- “We might have to do some modi- vice president-industrial products. nity is becoming more involved in fi cations in yards and add staging New entrants are establishing a modal decisions, and “there’s increased areas,” says John Lanigan, who had presence in the region each month and awareness of the value of intermodal,” served as BNSF’s executive vice presi- some are becoming signifi cant players, Lanigan says. dent and chief marketing offi cer since he says. “When you think back 20 or 30 years January 2003, but in November 2012 In addition, several long-established ago, intermodal was thought of as a announced plans to retire on Jan. 15. oil industry fi rms — such as such as BP damage-causing mode and moving at Oil companies will need to boost and ConocoPhillips — now are partici- slow speeds,” he says. their capacity, as well, to ramp up pating in Bakken production. BNSF has developed an e-brochure production and ship more crude via “Everything is happening so fast. that’s designed to raise shippers’ inter- rail. Producers have many rail-served The amount of production is changing modal awareness even higher. The web- facilities in the planning stages, but rapidly every day,” says Garin, adding based promotional fl ier includes a “Why more destination and origination that total daily production in the Bak- intermodal?” page that lists seven rea-

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19_PR_0113 vossloh.indd 19 12/27/12 11:07 AM PROGRESSIVE RAILROADING 20 | COVER STORY | January 2013

sons shippers should consider the mode. Among the reasons: Due to NGI, BNSF has developed partnerships with about Intermodal provides transit times that are comparable to over 90 additional trucking companies over the past two years, says the road and helps shippers reach new markets. VP of Domestic Intermodal Katie Farmer. The Class I now has The e-brochure also provides information to debunk 10 contracts in place with more than 250 motor carriers. myths about intermodal, including that the mode isn’t as “NGI is a collaborative approach that helps shippers deter- reliable or fast as over the road, is too complicated and only mine what’s the right combination,” she says. “We’re having works in certain areas, and causes more theft and lading dam- broader conversations with shippers and trucking fi rms.” age than trucking. One “reality” is that BNSF’s transit times NGI also is convincing more shippers about the service’s often meet or exceed single-driver truck delivery times, the fl exibility, says Lanigan. e-brochure states. “There are more open minds than the conventional think- But BNSF isn’t solely trying to take business away from ing that a dray has to be less than 100 miles,” he says. trucks; obtaining more of it with truckers also is a top objective. NGI’s benefi ts helped BNSF and trucking fi rm Schneider As recently as fi ve years ago, BNSF had more of an adversarial National Inc. convince Pep Boys to begin using their joint relationship with truckers, says Rose. domestic intermodal service in 2009. “But they’re our partners now,” he says. The Class I and Schneider National committed to meet the automotive repair services and parts supplier’s requirements A tailored fi t that on-time performance average 98 percent and loads be ac- Partnerships are increasing in part because of a Next Generation cepted on short notice. Intermodal (NGI) initiative BNSF launched three years ago. NGI Over the past three years, loads per week have climbed offers different transit speeds and multi-modal rail options in from about 20 to 32. Pep Boys expects to use NGI more in the the same shipping lane for seasonal or promotional freight, or next few years because of expansions into new markets and goods needed to replenish inventories or cover store deliveries. a growing tire services market. The service can be tailored to a shipper’s needs, such The ability of BNSF and its trucking partners to provide as by ensuring inbound freight is delivered to distribution shippers the capacity they need now — such as chassis and centers or certain retail stores on a tight schedule. BNSF col- direct rail routes to numerous markets — is key, says Bobb. laborates with other asset-based motor carriers to guarantee “With over the road, shippers aren’t sure where capacity will equipment availability or provide drayage or other services. be added since it’s at the whim of highway expansions,” he says.

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BNSF also is counting on a beefed up sales force to attract from over the road.” more shippers to intermodal. A 12-member dedicated sales There also are millions of more intermodal loads BNSF can team — which has grown from a separate sales force formed attract by offering warehouse storage and other freight-related within the intermodal group six years ago — calls on cargo services at additional logistics parks. The Class I currently op- owners in an attempt to make intermodal a larger part of their erates logistics parks near Chicago in Joliet, Ill., and near Dallas transportation strategies. in Alliance, Texas, and plans to open one in Edgerton, Kan., “They work with benefi cial owners and call on the end later this year. user,” says Farmer. “They also coordinate shipments with a BNSF aims to open a new logistics park about every two carrier and the railroad.” Dedicated sales team members essentially provide free At 2012’s end, BNSF was moving about consulting services to cargo owners, says Lanigan. 400,000 barrels of crude oil from the Bakken “They can give them a ‘what if’ scenario about intermo- Shale each day. By 2013’s end, daily volume dal,” he says. “It’s been very educational.” is projected to reach 500,000 barrels. Scratching the ‘fl at’ surface What might be educational to shippers who move their cargo on fl at-bed trucks is that BNSF has developed a freight car capable of moving those goods via rail and truck. The new fl at-deck car, which has been tested the past 18 months, is light enough in weight to work in intermodal, says Farmer. BNSF worked with Reitnouer Trailers to produce the BNSF RAILWAY CO. Raildeck fl at deck and with Fontaine Trailer Co. to manufac- ture the Evolution™ intermodal fl at deck. The Class I plans to years and has analyzed Minnesota’s Twin Cities, Houston and ramp up usage of the cars over the next several years. Seattle as sites for potential facilities, which would be devel- “Potentially there are a couple of million loads out there oped at a smaller scale because of market size, says Rose. that we can go after,” says Farmer. “The advantages are fl ex- Storage services are a top priority these days for potential ibility in the supply chain, reliability of service and visibility park customers.

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“We are seeing interest from developers and others want- ing to establish warehousing,” says Rose. BNSF’s proposed $500 million Southern California International Gateway (SCIG) intermodal facility in the Los Angeles area, which is projected to enter the construction phase in a year or two, would be the next logistics park to open after the Edgerton facility is operational. The difference with the SCIG facility versus logistics parks developed in other areas is that warehousing already is well established in the L.A. area, says Rose. The SCIG facility is expected to eliminate more than 1.5 million truck trips from Interstate 710 annually. Such projections have BNSF senior execs energized about the vast potential posed by the domestic intermodal and crude oil markets. If they can execute their plan to establish and reﬁ ne services, and expand and enhance capacity in the sectors well in advance of the needs dictated by demand, more of the potential will be realized, the execs believe. To say the stars have aligned — and continue to align — in both trafﬁ c segments is an understatement. “As trucking companies face ever-present challenges and shippers become savvier about their shipping options, we will see over-the-road conversion on long-haul lanes continue to drive domestic intermodal growth,” says Rose. “[And] there is no indication that production in the Bakken and other oil shale formations in the Williston Basin will slow anytime soon.” ■

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16-22_PR_0113 coverstory.indd 22 1/3/13 3:22 PM PROGRESSIVE RAILROADING January 2013 | LIGHT RAIL | 23 TriMet’s Portland-Milwaukie light-rail line will cross the Willamette River, connecting downtown Portland with north Clackamas County, Ore.

Connecting THE DOTS TRIMET

By Angela Cotey, Associate Editor

PORTLAND, ORE., is a city known for its diverse option for the area, which was part of the so- culture. Art and entertainment venues, health and called North/South Corridor. More than 20 years education institutions, industrial areas, urban ago, local transportation leaders envisioned a housing developments and historic suburbs, as corridor running from Vancouver, Wash., to cen- well as a range of green initiatives, make the city tral Portland and then south to Milwaukie. That appealing for residents and visitors alike. proposal was later split into more manageable An extensive public tran- pieces, including TriMet’s Yellow Line, which sit network helps connect it now connects central and northern Portland, and TriMet’s Portland- all. During the past 25 years, the Green Line, now running along the eastern the Tri-County Metropolitan portion of the city connecting to Clackamas Town Milwaukie light-rail Transportation District of Center. Oregon (TriMet) has built a line will be the series of light-rail lines serv- An evolving idea ing the Portland area, as well For the project’s southern portion, offi cials at latest in a series of as a suburb-to-suburb com- TriMet, regional government agency Metro, and muter-rail corridor. the cities of Portland and Milwaukie considered corridors linking key Now, TriMet is in the bus rapid transit, river transit and high-occupancy midst of building its sixth vehicle lanes as potential transportation-improve- employment, tourist light-rail corridor, a 7.3-mile ment options. destinations line extending from the ter- But area community leaders requested that minus of the MAX (or Met- light rail be included in the study phase. In 2003, ropolitan Area Express) Green and Yellow lines agency offi cials identifi ed the mode as the pre- in downtown Portland to Milwaukie and north ferred option after community feedback indi- Clackamas County. When it opens in 2015, the cated strong support for the service. corridor will link a range of key employment, Now under construction since mid-2011, the housing and entertainment destinations. Portland-Milwaukie segment will be known as “This line will really connect quite a patchwork the Orange Line when it’s completed. The Fed- of different types of neighborhoods,” says Dan eral Transit Administration is fronting about half Blocher, TriMet’s director of capital projects. “We of the project’s $1.5 billion price tag through a anticipate this corridor will have the highest level Full Funding Grant Agreement; state, local and of opening-day ridership of all our lines.” regional funds will cover the remainder. TriMet Initially, light rail wasn’t even considered an is purchasing 18 S70 light-rail vehicles from Sie-

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mens to operate on the line. chemistry departments. The light-rail The 10-station corridor will pick up service will provide employees and where the Green Line, which opened in patients easier access to the medical 2009, left off. The line will originate at center and university, and connect the Portland State University (PSU), then PSU and OHSU campuses, so students travel southeast to a section of town can shuttle quickly between classes. called the South Waterfront, which has And near OMSI, the city of Portland THE CITY OF PORTLAND been under development for the past is tweaking the street grid to support fi ve years or so, says Blocher. The South future development, says Blocher. is well known for its Waterfront now features a series of TriMet, which long has strongly em- high-rise apartments, as well as an ex- phasized transit-oriented development, green initiatives and tension of the Oregon Health & Science is reviewing other development op- environmentally conscious University (OHSU) campus; OHSU is tions. The agency already has received the region’s largest employer. a development proposal for a narrow residents. So when TriMet From there, the line will cross the piece of property adjacent to the future Willamette River and enter a light in- Clinton Station, and also plans to seek needed to remove some dustrial area before traveling to the development bids for a remnant prop- trees near the future Lincoln Oregon Museum of Science and Indus- erty created after a building was torn try (OMSI), a major tourist destination, down to make room for the light-rail Street/SW 3rd Avenue according to Blocher. The line then will alignment, Blocher says. travel through the suburban commu- As of mid-December, construction Station, to be located nity of Milwaukie before terminating on the corridor was 32 percent com- between Portland State a bit further south in north Clackamas plete. The construction process hasn’t County. been — and won’t continue to be — University and the South without its challenges. Waterfront, agency offi cials Delving into development Construction kicked off in July TriMet offi cials anticipate the line will 2011, when crews began prep work for realized they would have to serve about 20,000 riders daily in its bridge piers to be installed in the Wil- opening year and 25,000 passengers a lamette River. Some utility work was compensate. day by 2030. Area businesses are hop- done in conjunction with it. Crews That’s why the agency ing to capture much of that customer were under a strict timeline for the river base — and also do their part to help work; the Oregon Department of Fish plans to install an “eco-track” ensure ridership exceeds expectations. and Wildlife will allow piers to be built For example, OHSU is construct- only between July 1 and Oct. 31 dur- at the station, a vegetated ing a new facility adjacent to the future ing any given year to avoid disrupting trackway featuring a blend light-rail station. The building will migratory fi sh. house OHSU’s schools of dentistry As for the bridge itself: The 1,720- of low-growing plants and medicine, OHSU and Oregon State foot, cable-stayed structure will ac- University’s joint pharmacy program, commodate light-rail trains, buses, between the rails and within and PSU’s undergraduate biology and bicyclists, pedestrians and streetcars

the track. TRIMET “Picture a paved track, but instead of concrete, it’s a plant material,” says TriMet Director of Capital Projects Dan Blocher.

TriMet is working with Union Paciﬁ c Railroad to relocate the Class I’s Tillamook branch line, located in an industrial area of Milwaukie.

23-26_PR_0113 TriMet.indd 24 1/4/13 9:29 AM timken.com/rail

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crossing the river. Private vehicles will not be allowed to op- accessible pedestrian and bicycle path was no easy feat. ADA erate over the structure. TriMet offi cials worked closely with requirements set a maximum grade that a walkway can be, community and business leaders from either bank of the while the barge and other boat traffi c requires a higher bridge river to determine the appearance and design for the bridge. — and TriMet offi cials had to prove the bridge could accom- Designing a structure that will accommodate river traf- modate that traffi c before obtaining a U.S. Coast Guard per- fi c as well as an Americans with Disabilities Act (ADA)- mit to build the structure. Meanwhile, TriMet had restrictions on how high it could TRIMET raise the ends of the bridge, with OHSU and OMSI developments on the west and east ends of the river, respectively. “It’s sort of a confl uence of a number of factors that led to the particular shape and type of bridge,” says Blocher. “We had to go with the maximum slope possible to meet the ADA requirements and also provide enough clearance over the waterfront for commercial river traffi c.” Train and traffi c signal integration on the bridge and either side of it will be critical, too. Trains and buses will share about 1.5 miles of the transitway, which will help reduce bus traffi c on the other highway bridges over the river. The new Willamette River bridge also will “close the loop” on Portland’s streetcar system, which now runs parallel to the river on the west side, through the Pearl District and across a different bridge, then runs on the east side of the river past the Oregon Convention Center to OMSI. “It’s a lot of coordination. The bridge structure and portals where buses can cut outside of traffi c and get onto the tran- As part of the Portland-Milwaukie project, TriMet must relocate a sit way with the streetcars and trains — everything has to rail segment owned by the Oregon Pacifi c Railroad. work together technically, electrically and signal-wise,” says Blocher. “It will be quite a ballet we’ll have there when it’s all said and done.” Class I cooperation TriMet offi cials are choreographing a ballet of another sort on the east side of the river, where the Portland-Milwaukie alignment runs into freight railroad territory. Over the bridge, near OMSI, the light-rail line will run adjacent to a Union Pacifi c Railroad mainline for three miles. It also will run parallel with the Portland & Western Railroad and cross over Oregon Pacifi c Railroad Co. tracks at grade. TriMet purchased 2.4 miles of track from UP for $9.5 million. The agency and Class I worked together to determine mutually benefi cial projects, including improvements to UP’s busy Brooklyn Yard. For example, the Class I and TriMet will grade separate a section of track where intermodal trucks enter and exit the yard, which will eliminate some of the traffi c crossing the light-rail alignment at grade. “That intermodal facility really is the heartbeat of UP’s local operations, so obviously they had a very high level of interest in … helping to make it all come together,” says Blocher. In many ways, TriMet serves as the heartbeat of Portland, providing transit options that have helped make the city one of the easiest to get around in the United States. When TriMet ventures farther south come 2015, it will offer yet another relevant transit option for the Portland community. “With the way land use is arranged and growth patterns are forming, this is a growing corridor,” says Blocher. “It’s projected that by 2030, there will be 50,000 more households and 100,000 more employees than in 2005.” ■

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Shale and hearty growth Despite a drilling lull in some parts of the Marcellus, shales will be a growth driver this year for eastern U.S. railroads

By Julie Sneider, Assistant Editor

THE DROP IN NATURAL GAS PRICES in nia and West Virginia, continues to be fairly 2012 may have slowed the pace of drilling in strong,” says Rob Robinson, assistant vice some areas of the Marcellus Shale, but shale president of short-line and commercial de- plays remain growth drivers for Class Is and velopment at Norfolk Southern Railway. short lines serving the eastern United States. NS offi cials anticipate activity will pick up A warm winter last year combined with again in the dry gas Marcellus territory when rapid expansion of energy companies’ drill- the price of natural gas moves back up. In the ing across the Marcellus region helped keep meantime, NS remains busy moving carloads a lid on natural gas prices, particularly for of frac sand and other shale-related supplies. “dry” natural gas (methane). As a result, ener- “Through July, we were still up about gy companies have widened their focus from 40 percent over 2011,” Robinson says of the dry gas areas of central and northeastern NS’ 2012 Marcellus traffi c. Then, the Class I Pennsylvania to the “wet” gas (ethane, pro- saw August and September drop off “pretty pane, butane) territories in the state’s western signifi cantly” before posting a “slight resur- region and into the Utica Shale in Ohio. gence” of traffi c in October. Railroads that operate in the Marcellus “We are somewhat hopeful that we’ll fi n- and Utica shales remain busy transporting ish [2012] strong — I think that will be up 30 frac sand, pipe, chemicals and other com- to 40 percent over last year,” says Robinson. modities needed for shale exploration and “But last year [2011], we were up 100 percent drilling. Despite the lull in some parts of the from 2010.” Marcellus, railroad offi cials expect shales to Frac sand represents 70 percent to 75 remain one of their fastest growing lines of percent of the materials NS moves into the A scene from the Norfolk Southern Thoroughbred Bulk Terminal, which business in 2013. Marcellus. is used to transload frac sand in “The southwestern part of the Marcellus, Shale play development in the eastern Maidsville, W.Va. which goes into southwestern Pennsylva- United States will continue and, in turn, keep

NORFOLK SOUTHERN RAILWAY

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is “working diligently” to make sure Frac sand represents 70 percent to 75 percent it has multi-commodity facilities that of the materials Norfolk Southern Railway can handle inbound cargo, such as frac moves to the Marcellus Shale. sand, and the potential for outbound traffi c, such as large blocks or unit train volumes of liquids, says Schaaf. The potential to move natural gas liquids or crude oil out of the Utica represents a rail opportunity that isn’t available in the dry-gas areas of Marcellus. “A lot of what you’re seeing in Mar- cellus are terminating facilities that unload products to support the drilling activity,” Schaaf says. “There is no real outbound, other than some business with dirt or drill cuttings, but not to the magnitude that you would have as you start drilling to get into the liquids.” The Eastern shale activity has gener- ated traffi c for regionals and short lines NORFOLK SOUTHERN RAILWAY operating in Pennsylvania and Ohio, as well. NS, for example, is working on Marcellus and Utica moves with providing growth opportunities for ties, we’re moving inbound materials 26 short lines and regionals, including North American railroads, rail execu- like sand to the Marcellus Shale and the Wheeling and Lake Erie Railway tives and industry analysts say. through our strategic connections to Co. (W&LE). The regional has been U.S. carloads of petroleum and re- the Utica Shale” for natural gas drilling, “extensively involved” in the Marcel- lated products posted a “whopping Greenberg says. lus Shale in western Pennsylvania by 48 percent year-over-year growth” in Any slowdown in frac sand carloads moving commodities such as natural second-quarter 2012 and a 47 percent moving into the Marcellus in 2012 was gas liquids, frac sand, pipe and machin- year-over-year gain in July 2012, ac- offset by demand for sand in other ery, according to the railroad’s website. cording to an August 2012 report on the shale plays in Texas, North Dakota and W&LE’s current focus in the Mar- fi nancial analysis website Trefi s.com. Canada, he says. When natural gas cellus is in southwestern Pennsylvania, When it comes to the Marcellus and prices start to increase, CP will be ready where it serves the Rook Yard transload Utica, CSX Transportation and NS are to take advantage of the opportunity, facility just outside Pittsburgh, and a in a good position to take advantage of Greenberg adds. new MarkWest Energy Partners’ frac- business there, the Trefi s report stated. Meanwhile, activity in the Utica tionating plant that began operating in The report also noted how the rail- Shale in Ohio is gaining momentum. fall 2012 near Hickory, Pa., says W&LE roads have been gearing up for the Twenty-eight rigs were active in the President Bill Callison. Most of the shale business, spending heavily on Utica during the last week of October railroad’s shale-related loads originate special freight cars specifically de- 2012, up from 15 a year earlier. That from those locations. W&LE primarily signed for moving frac sand. CSXT, for compares with 88 active rigs in the Mar- moves frac sand and fractionated prod- example, purchased about 900 cube cellus Shale play, a decline of 53 active ucts derived from wet natural gas. hoppers for transporting the sand in rigs versus October 2011, according to The railroad’s shale activity has 2011, and NS allocated nearly 14 per- a U.S. Energy Information Administra- been growing since 2009, “and has cent of its 2012 capital expenditure tion (EIA) report issued in November. been a signifi cant source of revenue,” budget for sand-transporting cars, ac- “Utica in 2012 is where Marcellus says Callison. He declined to cite spe- cording to the report. was in about 2008,” says NS’ Robinson. cifi c carload fi gures, but says shale-re- “You’ll see somewhere around 200 wells lated products are the fastest-growing CP’s shale business growing drilled [in 2012], which is a relatively line of W&LE’s business. Canadian Pacifi c, too, is trying to take small number. But in 2013, that number advantage of shale development oppor- triples and you’ll see between 600 and Shales’ long-term impact tunities. The increasing sand volume 650, and by 2014, we expect that number Moreover, the growth has prompted prompted by drilling in North Ameri- to be 1,800 to 2,000 wells.” W&LE to hire additional employees can shale plays is a key component Much of the current Utica activity is (the railroad currently employs 340 to of CP’s energy sector growth strategy, occurring in the Ohio counties of Car- 350, says Callison) and invest in infra- says spokesman Ed Greenberg. roll, Jefferson, Harrison, Columbiana structure. According to a Nov. 16 article “We’re not only moving sand into and Noble, says Jim Schaaf, NS’ group in the Pittsburgh Tribune-Review, W&LE regions like the Bakken Shale for oil vice president-metals and construction. received a $1.1 million state grant to drilling, but with our network capabili- As the Utica activity ramps up, NS rebuild a rail siding to help handle

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the increase in output from the Mark- 72 percent between October 2011 and growth, North Shore completed con- West facility. The regional also plans October 2012 to 6.8 billion cubic feet per struction on nearly eight miles of new to demolish old buildings in the Rook day, which accounts for 26 percent of all sidings using federal Transportation Yard to make room for more trains and natural shale gas production, according Investment Generating Economic Re- trucks to transfer loads. to the EIA. covery (TIGER) II funds, and also up- Longer term, W&LE execs believe graded its motive power after replacing their shale growth story will continue. Marcellus is ‘here to stay’ some EMD SW8 switchers with EMD “We see Utica as being a signifi cant For the North Shore Railroad Co. in SW1500 switchers, Hunter says. opportunity,” Callison says. “We are for- central Pennsylvania, Marcellus-related Although the 2012 Marcellus activity tunate in that our footprint is in the Uti- business is still humming, says Market- wasn’t at 2011’s “phenomenal” rate of ca, and we expect to attract customers ing Director Todd Hunter. 40 percent growth, the pace tells Hunter that want a small, responsive railroad to “We’re in the dry gas area of the Mar- “this Marcellus business is here to stay.” turn their assets as quickly as possible.” cellus, and there was a lot of press [in “Actually, 2011 was kind of crazy,” Drew Nelson, W&LE’s vice pres- 2012] about the rigs leaving Pennsyl- Hunter says. “It was like the Wild West ident-marketing and sales, envisions vania and going to Ohio to get the wet out here, with everyone trying to get two stages of potential business in the gas in the Utica,” Hunter says. “What into the Marcellus. Now, I think things Utica for W&LE: the transport of sup- we’ve seen, though, is that we’re actu- are established, and I think we’ll con- plies necessary for drilling, and the ally having a better year [in 2012] than tinue to see high levels of volumes with movement of the gas and, possibly, oil we did in 2010 for Marcellus-related Marcellus-related commodities.” once it’s harvested. commodities.” Noting the higher level of permit- “We are cautiously optimistic that in North Shore operates six short ting activity in Pennsylvania, Ohio and the short term, the Utica opportunities in lines, including the Lycoming Valley West Virginia, NS’ Schaaf concurs. what I call the raw input — the frac sand, Railroad in Williamsport, Pa., which “The Marcellus is very well posi- the aggregate and even possibly pipe — handles the lion’s share of the com- tioned for growth,” he says. “There’s will last fi ve to seven years,” Nelson pany’s Marcellus moves of frac sand, no doubt that the Marcellus is a play says. “And the liquids coming out of the pipe and brine water. Lycoming Valley with long, long-term viability.” ground will last probably 20 to 30 years.” GWI’s biggest Utica deal so far Another indication of the upsurge in Eastern railroads continue to transport Utica activity was Genesee & Wyoming pipe for use in the shale-fracturing and drilling process. Inc.’s (GWI) Dec. 3 announcement that its Columbus & Ohio River Rail Road Co. (CUOH) subsidiary signed a long- term agreement to serve a $900 million natural gas liquids fractionation hub that Utica East Ohio Midstream L.L.C. is building in Scio, Ohio. Slated to open in May, the processing, fractionation and storage facility will be the largest integrated midstream service complex in eastern Ohio — and GWI’s largest customer in the Utica Shale, GWI offi - cials said in a prepared statement. The plant will benefi t from a recent NORFOLK SOUTHERN RAILWAY $2 million expansion of CUOH’s main yard in Newark, Ohio, which was funded by the short line and state dol- serves customers along a 34-mile line As for the Utica, key questions lars. The yard will facilitate the sorting from Montgomery to Avis, Pa. remain, such as what the characteris- of 100,000 rail cars annually for more Registering a better year than 2010 tics of the gas and oil coming out of than 80 customers, as well as for sev- also says a lot about Williamsport, it will be. eral new Utica Shale-related facilities which was considered by many to be “Where are the consuming markets that already have or plan to locate on the “ground zero” of Marcellus activ- for the output of the Utica? That’s still the CUOH’s line. ity in 2010 and 2011. The shale activity an unknown right now,” Schaaf says. While excitement over Utica explo- during that period propelled the Wil- “So we’re making sure we have the ration and drilling activities grew in liamsport area to become the country’s proper facilities identifi ed to handle 2012, most of the eastern shale activity seventh-fastest-growing metropolitan those when the market develops.” ■ remains in the Marcellus. The rig count region, according to the U.S. Bureau of in Marcellus may have fallen, but the Economic Analysis. Email questions or comments to production of natural gas there climbed To accommodate the business [email protected].

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In short: Making the safety grade A multi-pronged at crossings requires a multi-pronged approach. During the information-gathering process for Progressive Railroading’s approach 14th annual grade crossing update, a cross-section of freight and passenger railroads shared some of the work they’ve done in recent months to im- FREIGHT AND PASSENGER railroads prove safety at crossings. A few also Making the safety continue to investigate any and all op- discussed what they plan to do in the portunities to improve grade crossing year ahead. grade at crossings safety, from employing the latest con- Their responses — gleaned from requires a little struction methods to installing new interviews and email replies — follow. technology to working on more effective technology, a lot of ways to educate the public. Yet, more in- Stand-bys and upgrades vestigative work is needed to prevent The Southeastern Pennsylvania Trans- partnering, and crossing accidents and incidents. portation Authority (SEPTA) has 90 “Although federal, state and railroad crossings on its commuter-rail lines and more education dollars continue to be spent to upgrade another 40 on its light-rail line. Some of and install new active grade crossing the crossing-related technology already and closures trafﬁ c control warning devices, we con- in place continues to perform as intended. tinue to experience incidents at the rail- “We have been using full depth or road/highway interface,” said Norfolk ‘tub’ crossings, and those that were in- Southern Railway Assistant Vice Presi- stalled 15 years ago are still in excellent By Walter Weart dent of Communication and Signals condition,” said Acting Assistant Chief Ray Rumsey in an email. “The use of Engineer of Track Tony Bohara. improved technology, ongoing efforts Unlike conventional concrete panels for grade crossing closures, coupled that ﬁ t on top of ties, tub crossings don’t with public education and appropriate sit on ties. The rails are attached directly law enforcement, need to be pursued in to the precast concrete modules, which our efforts to enhance public awareness eliminate the use of ties and ballast. at grade crossings.” But SEPTA also is adopting new technology.

WALTER WEART “We are upgrading signage, upgrading fl ashers by going to 10-inch from the 8-inch size where we can, depend- ing on the size of the lamp housing, and converting from bulbs to LEDs, as well as installing new refl ective highway gate arms,” said Chief Engineering Offi cer of Communications and Signals Mike Monastero. In addition, SEPTA is upgrading event recorders that can be monitored from a central location. On its light-rail routes, the agency is using “highway type” traffi c signals in place of conventional warning signals. “The Manual of Uniform Traf- fi c Control Devices from the Federal Highway Administration has allowed this change,” Monastero said. “We are Railroads continue to adopt technology to improve also incorporating our devices into the crossing safety. Shown: A crew in a Union Pacifi c highway signals with priority for the Railroad subdivision upgrades the active protection light-rail train.” equipment at the 80th Street crossing in Arvada, Colo.

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SEPTA also is pushing ahead on the crossing education crossings to prevent drivers from entering a crossing when front. “We are using the ‘Hand’ and ‘Man’ pedestrian signs a train is approaching. to warn of approaching light-rail trains and ‘Second Train “In connection with the Blue Line, we are working with Coming’ warning signs, as well as loud speakers, to make the Union Pacifi c, the California Public Utilities Commission both visual and audio announcements to further enhance and local governments to review all the crossings and pro- crossing safety,” Monastero said. pose improvements to enhance the safety for both automo- For the Los Angeles County Metropolitan Transportation tive traffi c and pedestrians,” Harris-Gifford said. Authority (LACMTA), safety-improvement efforts revolve Among the enhancements: new left-turn warning signs around the nearly 60 crossings along its 70-mile system. The and improved street lighting. “On our newer lines, we have been able to incorporate the capability to inform the operator that the crossing equipment “We continue to evaluate is functioning and that gates are down,” Harris-Gifford said. Given the frequency of LACMTA trains, gate mechanism for more possible durability is an area of concern, he added. So many projects in SoCal Offi cials at the Southern California Regional Rail Author- closures.” ity (Metrolink) continue to pursue crossing safety improvements, as well. Metrolink operates seven lines and 300 track — Lyn Hartley, BNSF Railway Co. miles that include 288 public and private crossings, as well as a number of pedestrian crossings, including 13 pedestrian- current program includes crossing replacements on the Blue only crossings. Metrolink also retains trackage rights to UP Line light-rail corridor with “standard concrete panels that and BNSF Railway Co. lines. provide a much better running surface for vehicles,” said “While we would prefer separation or closure, we have de- Executive Offi cer of Wayside Systems Michael Harris-Gifford, veloped a set of recommended practices for grade crossings,” adding that 20 had been replaced as of late 2012. said Director of Engineering and Construction Bill Doran. LACMTA also has installed four-quadrant gates at many The “recommended” list includes four-quadrant gates, me-

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dian strips, pedestrian gates and, where appropriate, “channels” vance preemption technology. with traffi c light advance preemption systems, Doran said. Crossing upgrades also are on tap for the New Mexico On the crossing construction front, Metrolink is “standard- Rail Runner Express, which operates 97 miles of track be- izing” concrete panels on wood ties but also considering com- tween Santa Fe and Belen. Rail Runner’s lines feature about posite ties at crossings, Doran said. Even in California’s dry cli- 120 public and private crossings. mate, water under crossing panels can cause wood ties to rot. The crossing improvements include replacing a number of wood and rubber crossing surfaces with concrete and new PROGRESSIVERAILROADING.COM/PR track panels along with new gate mechanisms,” said Opera- tions Manager Robert Gonzales. These include two exit gates at Valentin and Molina, THE $3.2 BILLION Chicago Region where crossings will be equipped with four-quadrant gates. Environmental and Transportation Efficiency Rail Runner also has installed concrete crossings and track (CREATE) program includes 25 grade separation panels at Gabaldon and Courthouse roads, and at Tribal Road 40 “while closing Tribal Road 84 to improve safety and projects. For an update on a few of them, see sight lines,” Gonzales said. “CREATE update: Crossing upgrades, separations Other projects include the installation of LED lights and closures” at progressiverailroading.com/PR at Menaul Boulevard, replacing old gate mechanisms at Ranchitos Road and installing pedestrian path gates at Alameda Boulevard. “We’re also standardizing 12-foot fl asher lights, and while Future plans call for installing new crossing controllers many are equipped with LEDs [light-emitting diode lamps], and equipment at crossings, two of which will be closed. Rail some still use incandescent bulbs,” Doran said. Runner offi cials also will continue to evaluate the need to The California Transportation Commission recently replace aging gate mechanisms and service batteries, and to approved $7.8 million for improvements at fi ve Metrolink perform LED light upgrades, Gonzales said. crossings. The work includes roadway widening, and the Meanwhile, offi cials at the North Carolina Railroad Co. installation of new automatic vehicle exit gates, sidewalks, (NCRR) continue to work closely with an array of partners — handrails, automatic pedestrian gates and traffi c signal ad- from railroads to transportation offi cials to a state university

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— to make crossings safer. The railroad recently partnered “We continue to use microprocessor technology, and we with the University of North Carolina at Greensboro to de- are also installing constant warning time technology where sign and construct a pedestrian underpass beneath NCRR’s practical, based on the crossing, design and traffi c,” said BNSF mainline. The project is part of a campus expansion that, Director of Public Projects and Field Engineering Lyn Hartley. when complete, will create a “mixed-use village” featuring retail shops, a recreation center and new housing for 1,400 An ‘aggressive’ closure program students, said NCRR President Scott Saylor in an email. For the past 10 years, BNSF has been installing health moni- The railroad also has implemented a grade crossing im- toring equipment at all new and upgraded crossings, he said. provement program in eastern North Carolina, where the fo- And when it comes to crossing materials, concrete panels are cus is on 32 crossings with either partial or no signals. NCRR the Class I’s preferred option, although the railroad uses rub- is upgrading existing active warning devices and replacing ber or timber when and where appropriate. existing passive warning devices in the area, Saylor said. Meanwhile, BNSF continues to pursue what Hartley Where feasible, median barriers also are being installed. terms an “aggressive grade crossing closure program,” add- NCRR plans to continue working with the North Carolina ing that 5,500 crossings have been closed since 2000. Department of Transportation (NCDOT), NS and Charlotte “We continue to evaluate for more possible closures,” he said. Area Transit System to install new technology or eliminate One locale that’s already been evaluated: Lincoln, Neb., crossings. For example, NCRR and NS are jointly working on 11 which is “actively planning” to eliminate two crossings at grade separations that will result in the elimination of 23 public a cost of $65 million, Hartley said. Fifty to 60 BNSF trains crossings and improvements to nine additional crossings, Say- traverse the crossings daily. There’s also heavy vehicle auto- lor said. Several private crossings also will be eliminated. mobile traffi c across them. Between them, the crossings have Other work on NCRR’s docket includes a grade sepa- 1 million daily “interactions,” Hartley said. “These two cross- ration project at Sugar Creek Road in Charlotte; a grade ings are ideal candidates for separation,” he added. separation and realignment at Hopson Road in the Research NS has identifi ed its share of ideal candidates, as well. Triangle Park near Durham; and crossing improvements in The Class I is working with several states and local commu- Johnston and Carteret counties. nities to identify crossings that would benefi t from warning In Class I country, improving safety at crossings remains device modifi cations and closures. a top priority, too. “Norfolk Southern has current agreements in place with

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30-38_PR_0113 GradeCrossings.indd 35 1/3/13 1:28 PM 36 | GRADE CROSSINGS

various state road authorities to begin modifi cations to key corridors in 2013 and future years,” Rumsey said. The railroad also installed or upgraded about 300 actively signalized crossing locations in 2012, Rumsey said. Work ranged from upgrading a location from eight-inch to 12-inch lamps to installing four-quadrant gates. “Motion sensor technology is being replaced with constant warning time systems,” Rumsey said. “Some advantages of the newer technology are improved self-diagnostic tools, health monitoring and improved event logging.” Last year, NS was contacted by several communities to help establish quiet zones. A Federal Railroad Administra- tion train-horn rule issued in 2004 enables local governments to establish quiet zones at designated public crossings. To create a zone, a municipality must add gates, wayside horns and/or lights at a crossing. “Crossing modifi cations can include but are not limited to the installation of a basic ‘power out’ indicator, constant warning time, channelization and/or four quadrant gates,” Rumsey said. “Norfolk Southern reiterates the importance for communities to get the railroad involved early in the quiet zone planning process so that the communities can have a realistic ballpark estimate formulated specifi cally for the crossings in the proposed quiet zones.” This year, NS offi cials plan to continue partnering with states and suppliers as new technology becomes available. “In 2013, we may test the use of radar technology for ve- ▲ FREE INFO: Circle 012

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30-38_PR_0113 GradeCrossings.indd 36 1/3/13 1:28 PM PROGRESSIVE RAILROADING January 2013 | 37

hicle detection at select grade crossings in North Carolina — a fi rst on the NS system,” Rumsey said. A similarly comprehensive approach is in place at CSX Transportation: “We have begun installing new refl ective post and crossbucks which now have refl ective material on both the front and back,” said Jim Beyerl, Engineering Stan- dards II, Engineering Department, Wayside. The Class I also is replacing emergency notifi cation signs at crossings. CSXT continues to push the education envelope, aiming to raise crossing safety awareness within specifi c demo- graphic groups. “We have co-sponsored a NASCAR entry to reach out to 18- to 34-[year-old] males and have received positive feedback,” said Director of Community Affairs and Safety Cliff Stayton, adding that the railroad also recently used Operation Life- saver Inc. presentations to educate truck drivers at truck stops. W&LE: A regional approach Regional railroads, too, are actively upgrading their crossings. Witness the Wheeling & Lake Erie Railway Co. (W&LE). In- cluding trackage rights, the 576-mile regional totals 840 miles dotted with more than 600 crossings. “We are doing some upgrades with fl ashers replacing crossbucks and fl ashers with gates,” said Signal and Communications Superinten- dent Dan Reinsel, adding that the railroad is transitioning from rubber panels to concrete panels. W&LE also has installed a few tub crossings, primarily ▲ FREE INFO: Circle 014

Be an Informed Industry Insider with Web-Exclusive Content ■ DAILY INDUSTRY NEWS ■ AUDIO INTERVIEWS AND VIDEOS CONNECT. NETWORK. ■ ONLINE CAR & LOCOMOTIVE GET IN ON THE ACTION AND TRACK YEARBOOKS Connect with rail professionals and ■ ARCHIVED WEBCASTS stay on top of current industry trends, join myProgressiveRailroading.com, the online social media hub for rail industry professionals. Check in daily for new web-only content. Join for free today.

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30-38_PR_0113 GradeCrossings.indd 37 1/3/13 1:29 PM PROGRESSIVE RAILROADING 38 | GRADE CROSSINGS | January 2013

at locations with a “very high vehicle count,” and has spent In Navarre, Ohio, two crossings will be closed, and two “signifi cant funds” to improve train detection circuitry at nu- crossbuck-only crossings will be upgraded to include gates merous sites, Reinsel said. and fl ashers, Reinsel said. And in Twinsburg, Ohio, W&LE “Whenever a rail improvement program has occurred, the worked with local and state offi cials to install new gates and traditional DC track circuitry has been upgraded to constant lights at four crossings; an upgrade at a fi fth is scheduled warning devices,” he said. “This has allowed us to eliminate for spring 2013. insulated joints by the hundreds and reduce the number of In April 2012, the Public Utilities Commission of Ohio required relays. The costs associated with maintaining the (PUCO) approved construction authorization from the track joints and testing those relays is eliminated forever.” ORDC for W&LE to install fl ashing lights and roadway gates at grade crossings at the Kohler Road crossing in Sug- More partnering on tap ar Creek Township in Wayne County. The project, which W&LE offi cials also continue to work with state and local will be completed this April, was funded by PUCO, ORDC authorities to boost crossing safety. In Ohio, they recently re- and W&LE. In October 2012, PUCO also approved construc- viewed numerous crossings, identifying fi ve in Canton that tion authorization from the ORDC to install mast-mounted could be improved or closed. fl ashing lights and roadway gates at the Allen Avenue SE “We worked with the Ohio Rail Development Commis- crossing in Stark County. The federally funded project is sion [ORDC] and the city of Canton, putting together a plan scheduled to be completed by July. to address the results of the study,” Reinsel said. “When fi nished, the crossings will have a fully upgraded The fi nal plan included: circuitry improvements to pro- assembly that should require little maintenance over the vide the necessary pre-emption timing at fi ve locations; con- years while providing the proper warning to the traveling version of two streets from one-way to two-way automotive public,” Reinsel said. traffi c; correction to the placement of warning devices at fi ve That’s the aim of all crossing improvement projects and crossings previously converted to one way; closure of the programs. ■ Elm Court crossing; installation of gates and fl ashers at 10 crossings that previously were “fl ashers only” crossings; re- Walter Weart is a Denver-based free-lance writer. Email comments placement of gates; and surface work at two locations. or questions to [email protected].

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30-38_PR_0113 GradeCrossings.indd 38 1/3/13 1:29 PM PROGRESSIVE RAILROADING January 2013 | MOW | 39

Handling with greater care Suppliers that help

railroads move MOW e recently checked in with a cross-section of companies materials discuss that supply equipment that helps railroads distribute technology and maintenance-of-way (MOW) materials. We asked them to weigh in on what they consider to be emerging trends in marketplace trends the material-handling realm, and to discuss the extent to Wwhich those trends are having an impact on technology development. Accordingly, Compiled by Howard Ande we requested that they share information on recent product introductions. We also

wondered what their railroad customers are clamoring for, product or equipment wise.

Here’s what six of them told us — one in an interview and ﬁ ve via email.

Auto Truck Group stability,” he added. There’s more technology in railroad maintenance vehicles Auto Truck Group offers hydraulic loaders with a magnet these days — from signal construction, bridge maintenance generator system for lifting tie plates, spikes and other track and locomotive service trucks to signal maintainers to ma- material. The company also is building trucks for bridge con- terial handlers, said Auto Truck Group Director of Railroad struction and maintenance. Operations Pete Dondlinger. “Some of our equipment can be operated from an elevated “We are giving our customers the ability to get chassis operator’s seat, which gives better visibility and safety,” Don- and equipment information to see how vehicles are being dlinger said. “There have been many technological improve- utilized,” he said, adding that Auto Truck Group’s customers ments in radio remote controls, which help as well.” include Class Is, short-line railroads and contractors. “An ex- Auto Truck Group is designing specialized vehicles for track, ample of this is how often you use your crane to help improve signal, bridge, centenary and other functions. The company also maintenance intervals. Hi-rail sensors allow the customer to is seeing an increased demand for specialized applications. tell if a vehicle is on road or rail, how fast it is moving and “We’re seeing demand for highly engineered products where it is located.” with very specifi c functions for both truck and rail-car mount- Meanwhile, Class Is now are using only hydraulic rail- ed applications,” Dondlinger said. gear, which “eliminates the manual process to raise and lower the gear, and also allows operators get off a crossing quickly,” Dondlinger said. Customers also continue to emphasize product liability, Georgetown Rail Equipment Co. and “more sophisticated systems continue to emerge for en- Georgetown Rail Equipment Co.’s (GREX) newest service gine, truck and crane controls,” he added. — BallastSaver — was developed “in response to requests by One example: air suspension override to fi x airbag pres- our customers for an effi cient and precise calculation of de- sures in crane applications. The driver will have an improved fi cient ballast as an alternate to the cumbersome and less ac- ride quality on the road and a stable lift when operating the curate method of a human inspector ‘eyeballing’ it,” said Vice crane, Dondlinger said. President of Marketing and Sales Lynn Turner in an email. “Computer monitoring systems are becoming more so- BallastSaver utilizes Light Detection and Ranging (LIDAR) phisticated and reliable to monitor factors such as outrig- technology along with cameras to scan the roadbed and gener- ger position and other functions critical to ensuring crane ate an accurate measurement of the current ballast profi le. This

39-44_PR_0113_MOWmaterialhandling.indd 39 1/2/13 10:57 AM PROGRESSIVE RAILROADING 40 | MOW | January 2013

data then is compared with the standard specifying the total cubic feet of mate- last needed to achieve this goal. profi le furnished by the customer to rial needed per mile to bring the current BallastSaver was originally designed calculate the amount of defi cient ballast profi le back up to the customer-provid- as an enhancement to GREX’s GateSync along the roadbed. BallastSaver data ed standard profi le. A survey of the loca- automated ballast unloading system. can be fed directly into GREX’s Gate- tions to deliver the ballast and images “Previously, ballast requirements sync software for precise and automat- of the track from still pictures taken by were determined largely by a human ed delivery of ballast with GateSync- the camera also can be delivered. In ad- assessment often dictated by the num- equipped ballast cars at speeds up to 10 dition, the amount of ballast needed to ber of cars loaded with ballast coming mph. BallastSaver also may be used as lift the track from its current elevation to from the quarry,” Turner said. “This is a a stand-alone tool for maintenance plan- a height of choice can be calculated: If a very subjective process. It is impossible ning and budgetary purposes. one-inch lift is requested, a calculation is to visually estimate the amount of de- BallastSaver scans generate a report made to determine the quantity of bal- fi cient ballast which most likely would lead to ineffi cient distribution of ballast, possibly creating maintenance issues. BallastSaver, in conjunction with Gate- Sync-equipped ballast cars, eliminate the subjectivity of this process allowing for automated delivery of the exact amount of ballast needed to be precisely placed where it is needed.” Recently, GREX began offering Bal- lastSaver to railroad customers as a stand-alone service. Data derived from scans performed by BallastSaver provide the user with information that aids in planning, budgeting, and prioritizing track maintenance and projects. “Budgets can be tightened and potentially unwarranted spending eliminated by allowing the customer to order the exact amount of ballast needed for track maintenance and projects,” Turner said, adding that BallastSaver data aids in determining the priority of projects and track maintenance. BallastSaver technology recently was expanded to include automated Lateral Instability Detection (LID) identifying areas that exhibit poor lateral resistance to movement in the lateral plane. The data also has been used to assess roadway approach grades and track centers, and to detect other physical plant items.

Herzog Railroad Services Inc. What do railroads want from material handling equipment suppliers? “The trends we see with the railroads are basically unchanged from recent years,” said Herzog Railroad Services Inc. Vice President of Marketing Tim Francis in an email. “Their focus, in re- gards to suppliers, is a desire for us to design products and services that help them increase their track maintenance efﬁ ciency, minimize the ‘track and time’ needed while at the same time increas-

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39-44_PR_0113_MOWmaterialhandling.indd 40 1/2/13 10:58 AM PROGRESSIVE RAILROADING January 2013 | 41 L.B. FOSTER CO. L.B. FOSTER ing the safety of the day-to-day tasks they fi nd themselves performing.” Safety continues to be railroads’ — and Herzog’s — fi rst concern, he added. “We believe that all of our products offer safer and more effi cient alterna- tives to the customer,” Francis said. The Automated Tiedown car is Her- zog’s most recent product. “This new innovation removes the need to manually clamp and unclamp rails during the unloading and loading of rail trains,” Francis said. “The automated clamp technology offers more holding power than standard tiedown car clamps. The clamps are operated by remote control and open and close in a fraction of the time needed to do the same task with a manual tiedown car. This innovative clamp design also offers signifi cant safety improvements over the manual version.” There also is no need for personnel to L.B. Foster Co. currently has four continuous weld trains available to climb on top of the car while “dragging ship product and “can add a fifth rental train if needed,” said Manager of around hydraulic hoses and impacts,” Corporate Marketing Jeff Kondis in an email. Francis added. “Manual clamp cars are often unsafe to climb on in inclement weather. Our rail to customers using our CWR trains, blocks in this fashion enables Loram car is operated remotely so there is not these trains also have equipment to aid Maintenance of Way Inc. to provide “op- a need to climb on the equipment,” he in unloading the rail,” Kondis said. “We timal production at a lower overall unit said. can provide two-car multiple threader cost for the customer,” said Manager of box unloaders, which have both verti- Product Development Scott Diercks in cal and horizontal controls to precisely an email. “New technologies are begin- unload and place the CWR where the ning to enter the market that assist with L.B. Foster Co. customer wants it.” assessing and planning work needs,” he Railroads continue to outsource an As of late November 2012, L.B. added. “These tools allow our custom- array of functions, including the off- Foster had supplied 23 CWR trains to ers to use their budgets in the most effec- loading of rail, said L.B. Foster Co. Man- various customers throughout the U.S. tive and effi cient manner.” ager of Corporate Marketing Jeff Kondis northeast, southeast, and southwest, as All the Class Is, several short lines and in an email. One result: L.B. Foster can well as Mexico, totaling 175 track miles passenger-rail agencies, and multiple in- offer a wide range of services to rail- of rail delivered. ternational railroads use Loram’s mate- roads, including project management. “We expect that demand for CWR rial handling products, Diercks said. “For example, we can provide a crew will continue to grow in North America A current product focus is the Raptor to our customers and oversee rail un- due to the many benefi ts it provides to Rail Handling System. Loram’s system loading activities on their track,” Kondis the railroads and transit agencies,” Kon- “reduces staffi ng requirements and is said. “In addition, the move away from dis said. the safest product on the market,” Di- using stick rail — individual pieces of ercks said, noting that there have been rail that require joints — to the use of zero injuries since the product was in- welded ribbon rail in track replacement troduced. Other benefi ts of the Raptor and expansion projects also continues to Loram Maintenance of Rail Handling System: grow in importance. We now have four Way Inc. • It retains “total positive control of continuous welded rail (CWR) trains to the rail during loading,” Diercks said. ship product to our customers and can Railroads continue to pursue ad- • The top loading feature accommo- add a fi fth rental train if needed.” vancements in machine performance dates loading long, continuous strings Because of the limited amount of track — the kind that optimizes productiv- of rail in port facilities or stockpile loca- time available on mainline railroads to ity. Gains in productivity, in turn, allow tions. offl oad rail, the company has developed them to complete more work during a • It was developed to “easily accom- new methodologies to more quickly up- season and reduce overall unit costs. modate future rail sizes,” he said. load CWR trains on site, reducing the time Railroads also are coordinating equip- Loram’s Raptor system currently is from three to four days to two days. ment with system work gangs during “working on a major Class I railroad,” “We can not only effi ciently ship major track outages. And utilizing work Diercks added.

39-44_PR_0113_MOWmaterialhandling.indd 41 1/3/13 3:23 PM PROGRESSIVE RAILROADING 42 | MOW | January 2013

Rail Construction Equipment Co. Rail Construction Equipment Co. (RCE) has updated the 544K swing loader/swing crane to Interim Tier 4 diesel technology to meet federal emission requirements. “We have also added additional attachments to the swing loader to make it more versatile,” said RCE Sales Manager Dennis Hanke in an email. Due to customer demand, RCE offers a cold air blower at- tachment for blowing snow from switches and track. “I would say that the primary item that comes up the most besides safety is [customers] want greater versatility in the machines they use,” Hanke said. “Having the ability to not only handle pallet and bulk material, the ability to perform other maintenance functions helps with the justiﬁ cation for the acquisition of new equipment and reduces the need for multiple machines.” RCE also can supply four tie crane models for tie distribution, including the TC75D, TC85D, TC120G and TC135G. “These units provide the latest technology from a Deere excavator along with improved fuel economy and low maintenance cost,” Hanke said. RCE also offers the 225D High Rail Excavator, which can be used on and off track, perform rail maintenance tasks and handle material such as ballast, OTM, ties, bridge pilings and structural material. RCE plans to introduce two more models early this year “to expand on the size capacity for these jobs,” Hanke said. The 544K Series 5 swing loader provides wheel loader and ▲ FREE INFO: Circle 019

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39-44_PR_0113_MOWmaterialhandling.indd 42 1/2/13 10:58 AM Introducing the Raptor The Raptor Rail Handling System from Loram makes loading, unloading, cutting, joining, and delivery of your rail a safer, faster, and more reliable process. In addition, operating and manpower costs will be greatly reduced enabling you to reinvest your capital else- where. Our innovative service solution is offered as a turnkey package, which includes pick-up and delivery, and is fully staffed, supervised, and supported by Loram. Contact us today to ﬁnd out how more of your rail can be picked up in less time for less money. And, if you require ballast maintenance, rail grinding, ditching, or drainage maintenance, Loram has you covered as well.

3900 Arrowhead Dr. 1-800-328-1466 Hamel, MN 55340 www.loram.com

Speed • Performance • Reliability FREE INFO: Circle 106

43_PR_0113_lr LORAM.indd 43 12/27/12 10:55 AM PROGRESSIVE RAILROADING 44 | MOW | January 2013 RAIL CONSTRUCTION EQUIPMENT CO. EQUIPMENT CONSTRUCTION RAIL

Shown: Rail Construction Equipment Co.’s 544 Series 5 swing loader.

swing crane capabilities in one machine. Based on a John Deere wheel loader platform, it can handle all types of material, including rail, ties, ballast, dirt and material stationed on pallets. “We can also supply conventional Deere equipment to meet the industry’s needs,” Hanke said. “RCE supplies hydraulic dump carts for handling everything from ballast dirt to OTM, and can be pulled by our tie cranes or hi-rail excavators.” ■

Howard Ande is a Bartlett, Ill.-based free-lance writer. Email comments or questions to [email protected]. ▲ FREE INFO: Circle 021

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39-44_PR_0113_MOWmaterialhandling.indd 44 1/2/13 10:58 AM PROGRESSIVE RAILROADING January 2013 | ADVERTISERS INDEX | 45 Reader Information Center It’s easy to get the product information you want. Use the product information card in this issue and circle the numbers that correspond with the products you want information on. Then either mail the card or fax it to 888-847-6035.

COMPANY PAGE CIRCLE # COMPANY PAGE CIRCLE #

Birmingham Rail & Locomotive Co. Inc...... 42 ...... 019 Softrail ...... 11 ...... 002 205-424-7245 • www.bhamrail.com 888-872-4612 • www.softrail.com Controlled Products Systems Group ...... 40 ...... 003 The Timken Co...... 25 ...... 104 800-642-2249 • www.controlledproducts.com 330-438-3000 • www.timken.com Danella Rental Systems Inc...... 22 ...... 009 Tiefenbach ...... 36 ...... 012 800-969-6200 • www.danella.com 618-993-8513 • www.tiefenbach.com Dixie Precast Inc...... 22 ...... 010 Trainyard Tech L.L.C...... 11 ...... 022 770-944-1930 • www.dixieprecast.com 724-443-8881 • www.trainyardtech.com Gensco Equipment ...... 47 ...... 024 Transpo Industries Inc...... 37 ...... 014 416-465-7521 • www.genscoequip.com 800-321-7870 • www.transpo.com Helm Financial Corp...... 7 ...... 001 TTX Company ...... 20 ...... 006 415-398-4510 • www.hlmx.com 312-606-1450 • www.ttx.com Herzog Railroad Services Inc...... 44 ...... 018 Unitrac Railroad Materials Inc...... 21 ...... 005 816-233-9002 • www.hrsi.com 412-298-0915 • www.unitracrail.com HiRail Corp...... 35 ...... 017 Vossloh North America ...... 19 ...... 108 800-274-7245 • www.hirail.com 800-554-0554 • www.vossloh-north-america.com Invensys Rail ...... 31 ...... 105 Western-Cullen-Hayes Inc...... 7 ...... 004 800-626-2710 • www.safetran.com 773-254-9600 • www.wch.com JK-Co L.L.C...... 44 ...... 021 419-422-5240 • www.JK-CO.com Leotek Electronics USA Corp...... 36 ...... 016 408-380-1788 • 408-518-8128 • www.leotek.com Loram Maintenance of Way Inc...... 43 ...... 106 763-478-6014 • www.loram.com LTK Engineering Services ...... 26 ...... 007 Advertising Sales 215-542-0700 • www.ltk.com Mass. Electric Construction Co...... 12 ...... 025 972-505-4700 • www.MassElec.com PUBLISHER MTU...... IBC ...... 109 Stephen Bolte 313-592-7000 • www.mtu-online.com 6671 West Indiantown Road, Suite 56-426 NMC Railway Systems ...... 38 ...... 023 Jupiter, FL 33458 866-662-7799 • www.nmcrail.com 561/743-7373; FAX 561/743-1973 [email protected] Omni Products Inc...... 38 ...... 011 815-344-3100 • www.omnirail.com EASTERN UNITED STATES/EASTERN CANADA Plasser American Corp...... 3 ...... 102 757-543-3526 • www.eurailpress.com/plasser Ray Kosakowski, Regional Sales Manager PowerRail Distribution Inc...... IFC ...... 101 532 Pinkerton Run Rd., Oakdale, PA 15071 570-883-7005 • www.ePowerRail.com 412/788-6988; FAX 412/788-6978 [email protected] ProgressiveRailroading.com/MyProgressiveRailroading.com . . . . .37 414-228-7701 ext. 458 • http:/bit.ly/Kn5mwG CENTRAL UNITED STATES Progressive Railroading Magazine ...... 10 561-743-7373 • www.progressiverailroading.com Heather Ryterski, Regional Sales Manager Progress Rail Services Corp...... 32 ...... 008 1522 Fallbrook Dr. , Round Lake, IL 60073 256-593-1260 • www.progressrail.com 815/260-7012; FAX 815/377-0155 [email protected] RJ Corman Railroad Group L.L.C...... BC ...... 107 859-881-7521 • www.rjcorman.com WESTERN UNITED STATES/WESTERN CANADA/ RailComm Inc...... 33 ...... 103 MEXICO 877-724-5266 • www.railcomm.com Railquip Inc...... 42 ...... 013 Jimmy Morgan IV, Regional Sales Manager 770-458-4157 • www.railquip.com 6157 Eclipse Circle RailWorks Corp...... 5 ...... 100 Jacksonville, FL 32258 866-905-7245 • www.railworks.com 904/718-1008; FAX 866/781-9598 [email protected] S&C Distribution Co...... 34 ...... 020 708-396-1755 • www.sandcco.com Sealeze ...... 36 ...... 015 800-787-7325 • www.sealeze.com

45_PR_0113 readerinfo.indd 45 1/3/13 8:08 AM PROGRESSIVE RAILROADING 46 | SERVICES | January 2013 PROFESSIONAL SERVICES Directory

Professional Services Directory Rates Per column inch (3.375” x 1” deep), per insertion 1X$215 • 3X$210 • 6 X$205 • 9X$200 • 12X$195 Send grayscale (b/w) press quality electronic files to: www.tradepress.com/uploads

Classified Advertising

Signal Positions Available Sales Position Open Railroad Signal International is seeking qualified Signal Leading Railroad Industry Company is looking for a regional Supervisors/Maintainers/Foremen and Signal Construction. sales manager. Candidate must have a minimum of 3 to 5 Requires travel nationwide and international. years of supply side sales experience with a proven track Contact: [email protected] record. Please send resumes to: [email protected]

Signal Engineers and CAD Operators Isis Consultants is seeking experienced senior or junior railroad signal engineers and CAD operators for its Louisville, KY Classified Advertising Rates office and nationwide. Isis offers competitive pay with health, Per column inch, per insertion (column inch is 3.375” x 1” deep): $290/inch. Includes a month in print and online. Submit your ad to: www. dental, vision and life insurances and a 401K program. progressiverailroading.com/classifiedads Send resume to: [email protected] Blind box number: $30 additional

46,47_PR_0113 PSD-Classifieds.indd 46 1/3/13 3:38 PM PROGRESSIVE RAILROADING January 2013 | CLASSIFIED | 47

RAIL TRANSPORTATION Hulcher Services Inc Senior Rail Design & ENGINEERING FACULTY is currently looking for Construction Engineers The Pennsylvania State University, the NATIONAL ACCOUNT MANAGER (2 posi- KNIGHT E/A, INC. has opportunities Altoona College invites applications for tions - Atlanta, GA and Minneapolis, MN available for rail engineering profes- a faculty position in Rail Transportation areas) Experienced managing fortune sionals to join our growing rail group in Engineering (rank open) beginning Fall 500 clients in a fast paced environment Chicago, IL. Ideal candidates will have 2013. The preferred qualifications for coupled with previous National Account 15 plus years of design and/or construc- this position include an earned graduate Management experience and excel- tion experience working on rail proj- degree in Engineering with experience lent analytical/selling skills required. ects, specifically with Class 1 railroads. in the railway engineering industry. A BUSINESS DEVELOPMENT MANAGER Candidates will possess strong leadership new Rail Transportation Engineering (7 positions- Houston and DFW, TX; and technical expertise. BS degree in program seeks to expand its expertise Washington, PA; Des Moines, IA; Tulsa, engineering or related degree required, in one or more of the following areas: OK; Memphis, TN)Drive profitability professional registration preferred. We construction and maintenance, opera- through savvy business acumen solv- offer a competitive salary and outstand- tion and safety, or communications ing complex customer problems and ing benefit package. Send cover letter and signals. Applicants should pres- the introduction of new service lines. and resume to [email protected]. EOE. ent a record of evidence and potential REGIONAL VICE PRESIDENT OF SALES (3 Employment Contact: www.knightea. effectiveness in teaching, research, positions - Dallas/Ft. Worth, TX; Kansas com. and service. Candidates should have a City, MO; Hudson, WI) The position of strong commitment to undergraduate RVP of Sales is the momentum behind education, research, student recruit- Hulcher Services success as the premiere ment and retention, and curricular contractor to the Railroad Industry. The development and assessment. Penn ideal RVP candidate will possess a laser State Altoona offers a competitive focus on strategic planning and MUST salary and an attractive benefits pack- have 8-10 years experience managing age. Applicants should send a letter of teams of outside sales representatives. application establishing their qualifica- Contact: [email protected] tions; a current vita; a description of teaching philosophy and evidence of teaching effectiveness; a statement of research interests; and transcripts. Official transcripts and three letters of reference will be required at the time of an interview. Applicants are strongly encouraged to submit their applications and accompanying materials electroni- cally to businessandengineering@psu. edu in Word or PDF formats. Review of applications will begin immediately, and continue until the position is filled. Non-electronic inquiries, applications, and additional materials should be sent to: Chair Search Committee for Rail Transportation Engineering, Penn State Altoona, Position G-37848, Elm Building, 3000 Ivyside Park, Altoona, PA 16601-3760. Employment will require successful completion of background check(s) in accordance with University policies. Penn State is committed to affirmative action, equal opportunity and the diversity of its workforce. Employment Contact: www.altoona. psu.edu/

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46,47_PR_0113 PSD-Classifieds.indd 47 1/3/13 3:41 PM PROGRESSIVE RAILROADING 48 | FROM THE EDITOR | January 2013

Stephen Bolte Publisher 6671 West Indiantown Road, Suite 56-426 Jupiter, FL 33458 561/743-7373; FAX 561/743-1973 A design reboot with [email protected] Dick Yake Vice President – Content Development an eye on the e-realm [email protected] Pat Foran Unless you began to peruse this issue from the back Editor (and I know readers who do), you’ve already seen our [email protected] new look. For the fi rst time since 1996, we’ve rede- Jeff Stagl Managing Editor signed the magazine. [email protected] You saw wider margins, more space between col- Angela Cotey umns, more white space. More contemporary typog- Associate Editor [email protected] raphy. We think it’s a cleaner look — a “fun, energetic, Julie Sneider user-friendly design,” as one of our Creative Services colleagues put it. Assistant Editor The new design also enables us to present information a bit differently. [email protected] Witness the Upfront section, which begins on page 4. Upfront features an Frank Richter Co-Founder array of data and a representative sampling of rail-industry dot connecting. Wayne Winter We’ve also redesigned with a synergistic eye on our increasingly robust Vice President of E-Media and e-content (see page 2). Creative Services [email protected] Ultimately, this design reboot underscores our mission: to put a range of Jeff Giencke freight- and passenger-rail industry issues and trends — from new-business Creative Director development to business-process change to the technology evolution — into [email protected] clear and current context for rail executives and managers. Mark E. Uy Graphic Designer That mission hasn’t changed since the [email protected] '96 redesign. What has changed is we have The aim is to let the Jon Warner more (a lot more) information delivery Electronic Production Coordinator information drive the vehicles at our disposal these days — from [email protected] audio to video to webcasts to virtual trade Bobbie Reid Production Director format, wherever it’s shows to the various “verses” in the social [email protected] media realm to whatever comes next. Wendy Melnick published or posted Expect to see some cross-pollinating of Production Manager [email protected] those delivery options within these pages Eric J. Muench (e.g., Upfront); online, too. The aim is to let the information drive the format, Director of Audience Development wherever it’s published or posted and however it’s delivered. Send address and other changes to Many thanks to our design team — Creative Director Jeff Giencke, and [email protected] Graphic Designers Emily Hawkins and Mark Uy — for listening, interpret- COLUMNISTS ing, refi ning and clarifying as we attempted to articulate our information- Tony Hatch delivery mission. (Considering the extent to which one of us rambles, speaks [email protected] parenthetically and tangents himself into expository corners, they had their Toby Kolstad work cut out for them.) We’re fortunate to count them as colleagues. [email protected] We’re also fortunate to count you as readers. Thanks for sticking with us CORPORATE — from the '96 redesign to this one. Opinions, comments or thoughts about Robert J. Wisniewski President/CEO our new look? Email me at [email protected]. Jeff Schenk Chief Operating Offi cer/ Chief Financial Offi cer EXECUTIVE AND EDITORIAL OFFICES 2100 W. Florist Ave., Milwaukee, WI 53209 Pat Foran, Editor 414/228-7701 FAX 414/228-1134 Address Changes: [email protected]

® Reprint Pricing: Progressive Railroading is a registered trademark of Trade Press Media Group, Inc. Contents copyrighted © 2013 by [email protected] Trade Press Media Group, Inc. The publisher assumes no liability for opinions expressed in editorial contributions to the magazine. The publication is not responsible for claims in advertisements. Printed in the U.S.A. Email: [email protected] American In-House Web: Design Awards www.progressiverailroading.com

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