spring 2020 MRA

RAIL UPDATE A publication of the Railroads Association

Photo Courtesy of Kyle Korienek Kyle of Courtesy Photo What Is Transloading? hen products are transloaded, they are What Products Can Be Transloaded? moved from trucks to rail cars, or vice Just about any product can be transloaded Wversa. Often, shippers want to combine between trains and trucks and back again. Some the economic advantages of shipping by rail with typical examples include: the flexibility of over-the-road trucking, using affordable rail shipping for the long haul and Standard Rail Commodities: Lumber, metals, trucks for final delivery. Transloading allows this paper, rebar bundles, palletized products to be possible. Bulk: Sand, plastic pellets, soda ash, flour Oversized: Transformers, wind blades, Why Transload? machinery, military vehicles Transloading provides options - primarily Service Sensitive/Critical: Auto parts, parcel, economical railroad transport with the flexibility frozen food, produce, other perishables of other logistics partners. As shipments move seamlessly between modes, you get the And more: Bricks, floor tile, coil, solar panels economies of rail without the investment in and beyond track, allowing you to ship affordably throughout Local Example - Beer Malt? North America and expand your market reach. Railroad companies and shippers are always Most shippers turn to transloading to lower looking for options pertaining to shipping their From left: Kirk Small, Sales Manager Grand Elk transportation costs and access the benefits of Railroad and Northern Dry Bulk owner Tom Kunse products. This is exemplified by the recent monitor transloading of malt product for West rail. Typically, shipping by rail is a more affordable partnership between The Michigan breweries. Jeff Platschore, Northern Dry shipping option. However, many shippers — or and Northern Dry Bulk to provide Grand Rapids Bulk, is operating the transload conveyor. Photo Credit: Grand Elk Railroad. receivers — don’t have tracks at their door. With breweries with Malted Barley. transloading, it doesn’t matter: all shippers and receivers can benefit from rail. When Kirk Small (Grand Elk) and Tom Kunse Continued on page 2

From The President In this issue he Michigan Railroads The legislation, Senate Bill 364, would create a Association continues local public infrastructure program within MDOT Railroad Contacts ����������������� 2 Tto work with to determine which congested crossings in our stakeholders in supporting state would be eligible for a grade separation Moving Michigan ������������������� 3 Jon Cool, President the Local Grade Separation project. Crossings with the greatest need score @MI_FreightRail program. This proposal as most eligible. would have MDOT administer We appreciate the partnership with firefighters, CN Live Lift ����������������������������� 4 a program to support local law enforcement, manufacturing and business, communities and railroads in separating the regional local planning groups, the auto industry Operation Lifesaver ��������������� 5 grade (road and track) at some of the state’s and a trauma center in our efforts to find a most congested crossings. solution to this public infrastructure problem. Suicide Hotline ����������������������� 6

Continued on page 2 Spring 2020 MRA RAIL UPDATE 1 Continued from page 1: What Is Transloading? (Northern Dry Bulk) discussed options for often times extremely bringing in this new product to the Watco cost-effective over long Hughart Yard, they focused on how to create distances. By utilizing a transload program to not only benefit the a combination of primary customer – but also other West Michigan transportation modes, brewers as well. companies can consolidate New equipment was needed for this project. In loads and cut down on total this instance, a food grade auger for the grain costs by comparing the was needed. A new conveyor was brought in to prices of various shipping methods. find the right solution for the customer - to meet Grand Elk Railroad loading sand at their Grand Rapids operations. their needs. Transloading improves The Grand Elk and Northern Dry Bulk program flexibility during distribution. transloads their product from train to could become a gateway for the craft beer With transloading, there are several points truck may be more successful in that rural supply chain in Michigan - if all goes well. of transfer where the company can alter the community than companies that only ship course of the shipment if necessary, making by rail. Each railcar carries enough malt to distribution faster and more adaptable to Transloading storage facilities allow make roughly 125,000 gallons of an change. Especially for long-term shipment, shippers to strategically consolidate and average bodied beer. flexibility can be a huge advantage. That’s more than 1 million cans. position product near its end destination or Additionally, when a company relies solely alternative transportation port, improving the There are many other similar local examples of on one mode of transportation to get their speed and efficiency of delivery. railroads operating in Michigan finding a solution product from Point A to Point B (without for their customer’s needs. Think outside the transloading), they assume more risk. A single rail car can carry box for freight shipping needs. Don’t hesitate to Transloading extends a company’s reach. the contents of three to four reach out to the railroad near your operations to Shippers who utilize several different modes explore possibilities (see contact list below). truckloads — and trains are of transportation (each boasting its own four times more fuel efficient network of destinations) have access to a than trucks. These efficiencies Recap - The Benefits of Transloading wider net of destinations domestically and reduce your transportation costs, Transloading is a method of mitigating internationally. allowing you to ship heavier loads transportation costs. Certain modes of For example, a rural area may only be farther, all while spending less. transportation, like rail or vessel, are accessible by road — a company that Railroad Economic Development Contacts Adrian & Blissfield Rail Road CSX Transportation Huron & Eastern Railway Lapeer Industrial Railroad 734.641.2300 317.267.4981 989.293.7803 734.641.2300 Ann Arbor Railroad Detroit Connecting Railroad Co. Indiana Northeastern LLC 419.726.4181 734.641.2300 517.439.4677 260.415.0846 Escanaba & Indiana & Ohio Railway Railroad 202.585.0250 260.415.0846 260.415.0846 906.786.3464 Jackson & Lansing Railroad Co. Charlotte Southern Railroad Mid-Michigan Railroad Grand Elk Railroad 734.641.2300 734.641.2300 989.293.7803 757.632.5787 Lake State Railway CN Grand Rapids Eastern Railroad 269.753.4957 Mineral Range 708.332.4705 260.415.0846 Lake Superior & Ishpeming 906-360-6849 Conrail Great Lakes Central Railroad Railroad Norfolk Southern 215.209.5019 989.725.6644 906.475.9693 317.819.7672

Continued from page 1: from the president The legislation has been unanimously approved program for railroads and rail shippers. Freight rail takes 4.7 million truck trips off of by the State Senate on a 38-0 vote. Please A rail grant program could help preserve Michigan roads annually. SB437 can help ship contact your area legislative House member essential rail freight service and stimulate more goods by rail - helping to preserve our road and Governor Whitmer to share your support economic development through the generation & highway network. for SB364. Thank you to Senator Dale Zorn of new or expanded rail freight service. If you would like to help advocate for the (R-Monroe) for introducing the bill. Another goal of this type of program would be passage of these legislative priorities, We also look forward to a committee hearing to encourage the continuation of rail service in please contact the MRA at 517-482-9413 or soon on the Freight Rail Development and light density areas. Michigan does not currently [email protected]. Preservation program. Senate Bill 437 would have a rail grant program and this places some provide for a competitive cost-share grant railroads and shippers at a disadvantage. Spring 2020 MRA RAIL UPDATE 2 Moving Featuring Michigan CN On Track For Over 100 Years 019 was a historic year for CN as it celebrated 100 years on the move. Its rich history as a transportation industry innovator 2and leader reflects the key role CN has played in growing the baraga Michigan economy. Marquette Sault ste.marie Today, CN is the largest of the four Class I railroads operating in munising Michigan. CN’s tracks crisscross the state’s Lower Peninsula with rail trout lake yards in Battle Creek, Flint, Port Huron, Flat Rock, Lansing, Pontiac, Iron mountain manistique Detroit and Ferndale, which is home to CN’s Moterm Intermodal escanaba Terminal. powers flint

menominee durand Port huron

lansing charlotte Pontiac

Battle creek detroit trenton kalamazoo

monroe diann CN locomotive 8904 pulls auto racks and mixed freight through Battle Creek, MI. Photo Credit: Alex Christmas.

CN’s Paul Tellier Tunnel between Port Huron and All these facilities link Michiganders to CN’s inspection railcars, increased capacity at the Sarnia serves as the main border crossing for CN 20,000-mile transcontinental network, which Flint auto compound, and maintenance of track traffic moving between Eastern Canada and the connects nine ports on the Atlantic, Pacific and infrastructure. Gulf of Mexico to communities large and small. Midwest. Our Port Huron border crossing facility PTC is a safety overlay on sections of track that is now taking advantage of the CN developed, With our team of almost 26,000 employees, CN carry dangerous goods. The system provides an Live Lift operations for both inbound as well as transports 300 million tons of goods annually added level of operational safety by initiating outbound trains. worth C$250 billion. Its ribbons of steel stitch a full brake application to stop a train in the together the fabric of the North American With a crane that can pivot between tracks, unlikely event that the crew is unable to or does economy, fostering the prosperity of businesses the Live Lift design at Port Huron allows for not act. It is the largest technology program ever and communities. easy access to assist Customs inspections of deployed by CN and a major step toward safer Serving exporters, importers, retailers, farmers containers on two tracks and bi-directional operations. In 2019, CN began PTC operations trains. and manufacturers, CN’s transportation services in revenue service throughout Michigan, with are integral to modern life, touching the lives of CN also has a repair shop in Battle Creek and interoperability with all railroads including short hosts several trains, including those millions of people every day. As CN likes to say, if you eat it, drink it, wear line partners. terminating in Pontiac and Port Huron. it or drive it, there is a In the Upper Peninsula of the State, CN very good chance that CN has rail yards in Escanaba and Gladstone as well moved it. as another international rail crossing at Sault In 2020, CN plans to invest Ste. Marie. more than US$50 million to The Company serves many automotive and expand and strengthen its other industrial customers throughout Michigan. Michigan rail network to In fact, one in four finished automobiles built support safety, efficiency in Michigan is moved on its train. CN has an and long-term growth. automotive distribution facility, two CN CargoFlo® The program will focus bulk handling centers as well as forest products on Positive Train Control CN locomotive 8821 pulls mixed freight through Battle Creek, MI. and metals/minerals distribution facilities. (PTC), autonomous track Photo Credit: Alex Christmas. Spring 2020 MRA RAIL UPDATE 3 Moving Featuring Michigan CN

Continued from page 3 bringing critical training to more than 6,000 Rail and Intermodal Transportation Summer participants throughout the U.S. and Canada. Youth Program and the Canadian Studies Center Moving the economy, CN is committed to playing at Michigan State. CN also supports Foster a key role in the transition to a lower carbon Inspiration and Recognition of Science and economy by means of efficient operations, Technology (FIRST) at Escanaba High School conserving resources, and protecting and by engaging students in an innovative robotics restoring the rich and diverse natural ecosystems program. through which its network passes. The Michigan Department of Environment, Great Michigan in Numbers (2019) Lakes, and Energy has awarded four CN yards with Employees: 1,095 CN locomotive 2257 pulls mixed freight along Flint their Clean Corporate Citizen (C3) certification: Major commodities Subdivision. Photo Credit: Alex Christmas. Flat Rock, Flint, Port Huron and Battle Creek. Route miles: 904 C3 recognizes state-regulated companies automobiles Local spending: US$112M As safety is a core value of the Company, CN that have demonstrated strong environmental forest regularly shares information with communities performance and a commitment to continual Capital investments products US$74M on crossing safety, corridor risk assessments, improvement. CN was the first transportation metals proximity guidelines, dangerous goods traffic company to be C3 certified. Community partnerships: US$153K minerals and emergency response. An important CN is proud of the partnerships it has formed component of this work is supporting TransCAER in communities across Michigan. For example, U.S. headquarters: Homewood, Illinois (Transportation Community Awareness and CN helped improve the lives of thousands of Emergency Response), an outreach effort to Michiganders by supporting the United Way in Connect with CN train community emergency personnel situated the Capital Area, Delta County, Eastern Upper Larry Lloyd, 312.505.4625 near rail lines where dangerous goods are Peninsula, Genesee County, Southeastern [email protected] www.cn.ca transported. Michigan and St. Clair County. facebook.com/CNrail In 2019, CN participated in over 360 TransCAER CN is the sponsor of Michigan Technological linkedin.com/company/cn events (including in Detroit and Port Huron), University’s Rail Transportation Program, the twitter.com/CNRailway CN’s Live Lift Comes To Port Huron n November 2018, the industry-changing Live Lift operation that CN pioneered at their Ranier, IMN facility became operational at CN’s Port Huron, MI border crossing. Live Lift is a CN innovation dating back to 2011 that greatly speeds up border crossings for CN customers by allowing for single container inspection. With CN Live Lift, single containers can be removed from a “live” train for inspection without the need to switch cars off of the train. This means faster border crossings, less train CN’s Live Lift pulling freight for examination CN’s Live Lift working in the snow in Port Huron, MI. delays, and no other containers being delayed at border. Photo Credit: CN. Photo Credit: CN. simply for being on the same car as an inspected for both inbound as well as outbound trains. With On-site US customs officers container. a crane that can pivot between tracks, the Live Off-site fumigation facility At the Ranier, MN facility the success of the Lift design at Port Huron allows for easy access By maintaining close working relationships Live Lift model has proven to improve border to inspect containers on two tracks and on bi- crossing speed and efficiency, as well as crew with local customs management and officers directional trains. and resource utilization, leading to a seamless and through innovations like CN’s Live Lift, CN border crossing experience for CN customers. The CN Port Huron border crossing facility also is dedicated to creating fluid border crossings The Port Huron border crossing facility is now features: for their customers in order to help them reach proudly taking advantage of Live Lift operations On-site US customs examination facility more markets faster. Spring 2020 MRA RAIL UPDATE 4 Michigan Operation Lifesaver News Congrats To ichigan Operation Lifesaver Authorized OLI has introduced New Operation Volunteers (OLAV) continue with efforts to new resources for Mencourage motorists and pedestrians to effective messaging Lifesaver make safe decisions at railroad intersections and for the news media along rail rights-of-way using presentations and for better reporting of Authorized special events. Thirty MI-OL volunteers across rail incidents involving the state, reported over 14,000 contacts at 370 suicides, with an online Volunteers! events and presentations in 2019. guide called ‘Safe and Federal Railroad Administration (FRA) preliminary Effective Messaging on Rail Incidents’. This tool ew Operation Lifesaver Authorized statistics for 2019 compared to 2018 show a highlights appropriate practices especially in Volunteers (OLAV) met with current O.L. 5% overall increase of highway/rail collisions the reporting of suicides, as it explains proper Nleadership in Durand, MI January 10th, 2020. nationwide, while the crashes in Michigan were language and phrases that have the potential to The meeting was held to train new volunteers down by 12%. Fatalities, however, were up increase ‘copycat’ behavior. and prepare them to begin rail safety education significantly in Michigan in 2019 over 2018 from More information on this subject is on the OLI presentations. one to seven. Nationwide, fatalities were up by web site under the heading ‘About Us’. OLI has 12%. also updated the www.oli.org web site to show Trespasser fatalities were up nationwide with how ‘Risky Behavior’ is a contributing factor over 600 people killed in 2019. In Michigan, in trespasser incidents, especially with the trespasser fatalities were down from 6 to 3. use of earbuds and other distractions. Also, Injuries to trespassers in Michigan were also there is a materials library with a navigation down from six to three in 2019. for key audiences – Kids, First responders, Law Enforcement, Media, New Drivers and much Suicides by train have steadily increased across more. the country with approximately 200 deaths each L-R front: Sam Crowl, MI-OL-State Coordinator, Julie year. In Michigan, there were seven intentional OLI has announced the date for the 2020 Gravelle, MI-OL Coach, Paul Wegmeyer, Transportation fatal incidents in 2019, the same as in 2018. Rail Safety Week (RSW); it is set to begin on Supervisor-Holland, MI, Marge Monforton, U of September 21, 2020 across the U.S. and Canada. M Instructor, Curtis Stewart, MI-OL Asst State Michigan Operation Lifesaver has recently joined Coordinator. with ‘Common Ground’ to place posters along the For more information about Michigan Operation L-R back: Larry Burk, Retired Engineer, T.J. Gaffney, tracks at certain high-risk locations listing a 24 Lifesaver, contact Sam Crowl, State Coordinator Conrail Car Inspector, Anthony Veasey, Retired OLAV, hour 800 + phone number for support or help. at [email protected] 248-823-7037 Robert Barker, Retired OLAV.

MI Operation Lifesaver Partners With Law Enforcement To Promote Safety team of law enforcement officers recently partnered with Michigan Operation ALifesaver and the Lake State Railway on an enforcement detail from Grayling to Gaylord. Participating agencies included: Michigan State Police (MSP), Department of Natural Resources (DNR), Crawford County Sheriff and the City of Grayling Police Department. The train left Grayling at 9:30 a.m. and made a return trip from Gaylord in the afternoon. There was a MSP Trooper and DNR officer onboard the train with radio contact to the officers on the ground ready to chase down the trespassing violations. Reports from law enforcement included four snowmobile violations, four traffic L-R: Jeremy Cantrell, DNR; Ben McAteer, DNR; Mike Hearn, DNR; violations at crossings and 15 verbal warnings. Harold Terry, MSP; Sam Crowl, MI-OL and Jimmy Baxter, MSP. In the locomotive is Lake State Railway Engineer Ryan Krengel. This was the 14th year of conducting these type enforcement efforts with law enforcement in County Sheriff and City of Grayling Police this area and there has been a steady decrease Department for assisting in this program. of snowmobile violations. L-R: MSP Sgt. Harold Terry, Post, The mission of Operation Lifesaver is to reduce and DNR Conservation Officer Mike Hearn, Law Michigan Operation Lifesaver is grateful to the and eliminate crashes at railroad crossings and Enforcement Division, participate in the OL Lake State Railway, Michigan State Police, the trespasser tragedies along railway lines. See Snowmobile Enforcement. Department of Natural Resources, Crawford www.oli.org for more information. Spring 2020 MRA RAIL UPDATE 5 120 N. Washington Square Suite 701 Lansing, Michigan 48933

Ph 517.482.9413 [email protected] michiganrailroadsassociation.com @MI_FreightRail

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Michigan Rail Update is a publication of the Michigan Railroads Association, 120 N. Washington Square, Suite 701, Lansing, Michigan 48933. President: Jon Cool. (P) 517.482.9413. Members of the Michigan Railroads Association are: Adrian & Blissfield Rail Road Co., Ann Arbor Railroad, Canadian Pacific Railway, Charlotte Southern Railroad, CN, Consolidated Rail Corp. (Conrail), CSX Transportation, Detroit Connecting Railroad, Escanaba & Lake Superior Railroad, Grand Elk Railroad, Grand Rapids Eastern Railroad, Great Lakes Central Railroad, Huron & Eastern Railway, Indiana Northeastern Railroad, Jackson & Lansing Railroad, Lake State Railway, Lake Superior & Ishpeming Railroad, Lapeer Industrial Railroad, Marquette Rail, Michigan Shore Railroad, Mid-Michigan Railroad, Mineral Range Railroad, Norfolk Southern Corp.

Rail Suicide Prevention Hotline The two leading causes of rail-related death in the U.S. have nothing to do with operating or riding in a train. Instead, hundreds of people lose their lives every year on train tracks due to trespassing or suicide. If you are facing a crisis, please call the number below for free and confidential counseling, information and referrals. Get Help

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