high_speed_rail_1In competitive markets, vision and strategy are tested daily as consumers vote with their wallets, investors choose among opportunities, and competitors react – all creating greater efficiency.

Conventional wisdom in passenger rail today is high speed trains. Amtrak, for example, has a 30-year, $117 billion (or more) plan to convert the 456-mile Northeast Corridor, linking Washington D.C., Baltimore, Philadelphia, New York, and Boston, to a 220-mph speedway providing 96-minute trips between Washington and New York and 84-minute trips between New York and Boston. That equates to more than $250 million per mile, which, on the Washington D.C.-New York segment, would shave some 69 minutes from the current Acela Express trip that travels between 110 mph and 150 mph over 65 percent of the route and about 85 mph on average for the trip.

Read the complete column at Railway Age.

NEW YORK (AP) – A week after four people died in a New York commuter train derailment, two federal lawmakers proposed Sunday that trains nationwide be outfitted with cameras pointed at engineers and at the tracks.

“I know you’re going to hear from Metro-North that there are costs, but the costs of these audio and visual recorders is minuscule, in fact negligible, compared to the hundreds of millions of dollars that this tragic incident will cost Metro-North in the end,” said Sen. Richard Blumenthal of Connecticut who joined New York Sen. Charles Schumer for a news conference at Manhattan’s Grand Central Terminal.

Read the complete story at the Associated Press.

Previsich
Previsich

(John Previsich’s column below was reprinted from the November 2013 SMART Transportation Division News. See page 4.)

In this communication, my first to you as president of this great organization, I will begin by saying that I am honored by the opportunity to serve in this capacity. One of my goals for this administration is to be transparent in every way, allowing you, the membership for whom we work, to be aware and informed of the issues that affect you and your union.

Accordingly, I want to update you on a number of initiatives that are currently in progress at our offices in Cleveland and Washington. To begin, I will address the merger between Sheet Metal Workers International Association and United Transportation Union, an issue first and foremost in the minds of members at every meeting that I have had the opportunity to attend.

The merger agreement provided that the constitutions of the UTU and the SMWIA were to be combined into a single constitution for the new International Association of Sheet Metal, Air, Rail and Transportation Workers’ union (SMART). Both the merger agreement and the subsequent arbitration award pertaining to implementation directed the parties to meet and resolve conflicts between the constitutions of the two organizations.

Accordingly, the parties met for extended periods on numerous occasions throughout 2012 and 2013 and have made excellent progress in reconciling conflicts between our respective constitutions. Nonetheless, in mid-2013, it became apparent to all involved that although we had accomplished much of the necessary work, additional direction from the arbitrator was needed in order to finalize the remaining issues. The parties submitted their respective views on the items still unresolved to the arbitrator and, at the time of this writing, are still awaiting an award that will offer guidance to move us to conclusion.

In order to meet all of the constitutional and regulatory requirements that apply to the two organizations, the former UTU – now SMART Transportation Division – convention originally scheduled for 2015 will be held June 30 – July 2, 2014, in San Diego, Calif. This will be followed by the first SMART convention to be held Aug. 11-15, 2014, in Las Vegas. Details regarding the two conventions are still being finalized and additional information will be distributed as soon as it becomes available.

Of course, the day-to-day business of representing our members continues without interruption. Among countless other initiatives, we are working hard in Washington to advance H.R. 3040, legislation that is intended to require two-person crews on trains. The Affordable Care Act and the recent Supreme Court decisions on same-sex spousal benefits require careful handling to ensure compliance, without negatively impacting the benefits enjoyed by our members who are currently a part of the National Health and Welfare Plan. And, our Organizing Department is continuing to lead all others in successfully organizing properties where the employees have sought union representation.

In matters of negotiations, we are assisting general chairpersons in contract negotiations with numerous bus companies and passenger and short line railroads around the country. In addition, we have recently requested proffers of arbitration from the National Mediation Board on two properties, one rail and one air. We have received and rejected the proffer on the rail property and are hopeful that the proffer requested on behalf of our brothers and sisters on the airline property will soon be granted by the NMB. Once received, a proffer may then be rejected and the parties advance to the next level in the process of getting to self-help.

The foregoing is a brief update on just some of the many efforts underway to protect and improve the working conditions of our members. In future articles, I will expand on each of these items and also discuss what’s ahead in 2014.

(John Previsich’s column above was reprinted from the November 2013 SMART Transportation Division News. See page 4.)

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Boardman

Joseph H. Boardman, President and Chief Executive Officer of Amtrak, has been named 2014 Railroader of the Year by railroad industry trade journal Railway Age.

“Joe Boardman, who came to Amtrak after his tenure as Federal Railroad Administrator, has been chief executive for the past six years, far longer than any of his post-Graham Claytor predecessors,” said Railway Age editor-in-chief William C. Vantuono. “Under his watch, Amtrak has posted record ridership and revenues, ordered a new fleet of electric locomotives for the Northeast Corridor and new single-level long-distance cars, developed a long-term strategy for additional new rolling stock acquisitions, and is effectively administering major capital programs. Boardman has a sustainable vision for the future of U.S. intercity passenger rail, which includes higher-speed services. As such, he is a deserving recipient of our Railroader of the Year award.”

Read the complete story at Railway Age.

TWO  HARBORS, Minn. – Authorities are investigating what caused a train to derail just south of Two Harbors, Minn., Thursday (Dec. 5) afternoon.

The Lake County Sheriff’s Office, along with Two Harbors Police, the Minnesota DNR and rescue squads were called to the incident around 1:15 p.m.

Read the complete story at Northlands Newscenter.

This incident occurred despite prior notices from the SMART Transportation Division’s Minnesota State Legislative Board asking railroads operating in northern Minnesota to prepare for inclement weather.

According to reports from SMART TD local officers in Minnesota, Canadian National Railway has not reacted appropriately to the severe weather conditions, Minnesota State Legislative Director Phillip Qualy said.

Reportedly, CN had six runaways on Steelton Hill in the last 30 hours after nearly three feet of snow fell in northern Minnesota.

The board reports that CN has not flanged or winged hills properly, despite the availability maintenance-of-way crews on equipment, waiting for track time.

To view copies of SMART TD’s letters to CN, BNSF Railway, Canadian Pacific, Union Pacific and Red River Valley & Western Railroad regarding winter safety action plans, snow removal and maintenance of way, click Winter_Safety_Letters_MSLB_120213.

The board asks that local officers post copies of the letters on all on-property bulletin boards.

The board also asks that, as always, members report all unsafe conditions immediately, including switches, switch channels, walkways, roads, crew-change locations and industry tracks not cleared of snow, sanded, salted or maintained.

FRA_logo_wordsWASHINGTON – The U.S. Department of Transportation’s Federal Railroad Administration (FRA) Dec. 6 issued an Emergency Order (EO 29) to Metro-North Commuter Railroad (MNCW) to take specific, immediate steps to ensure its train crews do not exceed speed limitations. The EO requires Metro-North to modify its existing signal system to ensure speed limits are obeyed and to provide two qualified railroad employees to operate trains where major speed restrictions are in place until the signal system is updated.

“Safety is our highest priority, and we must do everything we can to learn from this tragic crash and help prevent future derailments,” said U.S. Transportation Secretary Anthony Foxx. “While we assist the National Transportation Safety Board in carrying out its investigation, this Emergency Order will help ensure that other Metro-North trains travel at appropriate, safe speeds.”

EO 29 requires Metro-North to provide the FRA with a list of main track locations where there is a reduction of more than 20 mph in the maximum authorized passenger train speed by Dec. 10, 2013. Further, Metro-North is ordered to identify appropriate modifications to its existing automatic train control system or other signal systems to enable adequate advance warning of and adherence to such speed restrictions. These modifications will help prevent another over-the-speed-limit event if a locomotive engineer fails to take actions to appropriately slow or stop a passenger train.

In the meantime, Metro-North is ordered to operate trains with two qualified train crew members in the controlling locomotive cab or passenger car control compartment at the locations where speed limits change by 20 mph or more until the signal work at these locations is complete. Additionally, the railroad must submit to the FRA for approval an Action Plan that ensures the safety of its operations for passengers and employees by Dec. 31. The plan must contain target dates and milestones for implementing necessary signal system modifications.

“Last year was the safest on record for our nation’s rail industry,” said FRA Administrator Joseph C. Szabo. “Even with a 43 percent decline in train accidents nation-wide over the past decade, we must remain steadfast and vigilant to ensure passengers and employees are safe. The public deserves better and our mission is to drive continuous safety improvement.”

The EO is a mandatory directive to the railroad, and failure to comply with its requirements will result in enforcement actions against the railroad or individuals who violate it. Today’s EO follows a letter issued by the FRA earlier this week calling on Metro-North to launch a safety stand-down with all employees and to fully implement the confidential close call reporting system, which has helped improve rail safety on other lines.

The Federal Railroad Administration had already increased its oversight and enforcement of Metro-North’s rail lines following the May 2013 crash, including additional inspections of its lines and audits of Metro-North’s operations and compliance with federal regulations. FRA is also planning to conduct an extensive investigation of the carrier’s safety compliance with all regulated railroad safety disciplines.

To view EO 29, click here.

RRB_seal_150pxThe amounts of compensation subject to railroad retirement tier I and tier II payroll taxes will increase in 2014, while the tier I and tier II tax rates will remain the same on both railroad employers and employees, the Railroad Retirement Board announced. Also, railroad unemployment insurance contribution rates paid by employers will not include a surcharge in 2014.

The railroad retirement tier I payroll tax rate on covered rail employers and employees for the year 2014 remains at 7.65 percent. The railroad retirement tier I tax rate is the same as the social security tax, and for withholding and reporting purposes is divided into 6.20 percent for retirement and 1.45 percent for Medicare hospital insurance. The maximum amount of an employee’s earnings subject to the 6.20 percent rate increases from $113,700 to $117,000 in 2014, but there is no maximum on earnings subject to the 1.45 percent Medicare rate.

An additional Medicare payroll tax of 0.9 percent applies to an individual’s income exceeding $200,000, or $250,000 for a married couple filing a joint tax return. While employers will begin withholding the additional Medicare tax as soon as an individual’s wages exceed the $200,000 threshold, the final amount owed or refunded will be calculated as part of the individual’s Federal income tax return.

The railroad retirement tier II tax rate on employees will remain 4.4 percent in 2014, and the employers’ rate will stay at 12.6 percent. The maximum amount of earnings subject to railroad retirement tier II taxes will increase from $84,300 to $87,000 in 2014. Since 2004, tier II tax rates are based on an average account benefits ratio reflecting railroad retirement fund levels. Depending on this ratio, the tier II tax rate for employees can be between 0 percent and 4.9 percent, while the tier II rate for employers can range between 8.2 percent and 22.1 percent.

Employers, but not employees, pay railroad unemployment insurance contributions, which are experience-rated by employer. The Railroad Unemployment Insurance Act also provides for a surcharge in the event the Railroad Unemployment Insurance Account balance falls below an indexed threshold amount. The accrual balance of the Railroad Unemployment Insurance Account was $204.2 million on June 30, 2013. Since the balance exceeded the indexed threshold of $144.8 million, no surcharge applies to the basic contribution rates for 2014. There was also no surcharge in 2013, although a surcharge of 1.5 percent applied in 2012.

As a result, the unemployment insurance contribution rates on railroad employers in 2014 will range from the minimum basic rate of 0.65 percent to the maximum of 12 percent on monthly compensation up to $1,440, an increase from $1,405 in 2013.

In 2014, the minimum rate of 0.65 percent will apply to 79 percent of covered employers, with 9 percent paying the maximum rate of 12 percent.

During the year, new employers will pay an unemployment insurance contribution rate of 4.53 percent, which represents the average rate paid by all employers in the period 2010-2012.

U.S. Rep. Sean Patrick Maloney (D-N.Y.) has proposed the Commuter Rail Passenger Safety Act to help commuter railroads, such as MTA Metro-North Railroad, fund and implement positive train control (PTC) systems.

Maloney announced he would introduce the legislation earlier this week after touring the site of Metro-North’s deadly derailment in the Bronx, N.Y. On Tuesday, the National Transportation Safety Board (NTSB) confirmed that PTC would have prevented the crash, Maloney said in a press release.

Read the complete story at Progressive Railroading.

NEW YORK – It’s sometimes called “highway hypnosis” or “white-line fever,” and it’s familiar to anyone who has ever driven long distances along a monotonous route.

Drivers are lulled into a semitrance state and reach their destination with little or no memory of parts of the trip. But what if it happened to an engineer at the controls of a speeding passenger train?

Read the complete Associated Press story at the Times Herald-Record.

On Veterans’ Day, Nov. 11, 2013, SMART Sheet Metal Workers’ Local 104, the San Francisco Labor Council, the San Francisco Building Trades Council, Justice for Jobs and Community Leaders such as Supervisor Scott Weiner and Supervisor David Chiu gathered in front of the BRE Properties Headquarters to take a stand for our veterans.

A delegation of Sheet Metal Workers veterans from the Vietnam, Gulf, and Afghan wars had a message for BRE CEO Connie Moore.

They demanded that BRE provide middle class job opportunities and employ apprentices from approved State of California Apprenticeship Programs. BRE has refused to reach an agreement with Sheet Metal Workers’ Local Union 104 that would ensure our veterans got the opportunity they deserve.

Once the delegation arrived to the elevator, they were notified that they would not be allowed access to Connie Moore and she had expressed a strong desire “not” to meet with the veterans. The veteran delegation returned to their supporters outside. Two veterans, both of whom are sheet metal workers, William Leighton and Jason Hutton, held their ground when the police would no longer allow the protest outside of the building. They were arrested for trespassing and cited and released on the other side of Market St.

Please visit http://afl.salsalabs.com/o/4038/p/dia/action3/common/public/?action_KEY=7607 to tell BRE Properties to stand by returning vets and support the stable middle class jobs that allow them the respect and dignity they deserve.