Ross Hall Wrote:
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> ... Local short lines can add switching charges
> and surcharges to cover additional costs or, in
> the case of Watco and PCC, kill off lines...

The vast majority of short lines, those who have been spun off post 1990 at least, do not have the ability to add other switching charges or surcharges. These extra charges are usually expressly forbidden in the vast majority of Interline Marketing Agreements between them and the Class 1. The Class 1 retains ALL rate making authority, and only with the permission of the Class 1 can a handling carrier short line add any surcharges.

For example, most short lines are not allowed to add a fuel surcharge. If the short line wants to add an extra $100 to handle a move because it is farther away from interchange, then too bad too sad for the short line. Want to upgrade the line to bring it up a track class? Don’t expect to add a surcharge to do it.

Often in even more recent IMAs the short line doesn’t even get to set their own rates for extra switches, demurrage, set back cars, bunched cars, etc.

Again, I’m not saying these “tired and lazy short lines” don’t exist, but it would be incorrect to assume that a typical short line has any ability to add surcharges on their own.