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Re: CORP And Track Leased From UP -- why no passenger service allowed?
Author: Shortline Sammie
Date: 07-21-2011 - 07:02
Tony J. Wrote:
-------------------------------------------------------
> Dragoman Wrote:
> --------------------------------------------------
> -----
> > > In another discussion thread, Tony J. wrote
> the
> > > following:
> > >
> > > ". . . it may be already written in the
> > operating
> > > contract, or in the lease, that the NWP
> cannot
> > > operate passenger trains. This is the case
> with
> > > CORP in Oregon on trackage leased from UP."
> > >
> > > =======================
> > >
> > Different (but related) question:
> >
> > Why would UP forbid passenger service on the
> > leased line?
> >
> > I understand the technical reasons why it is not
> a
> > good line for passenger services (curves,
> grades,
> > etc.), but then it is even harder to understand
> > why UP felt a prohibition was needed in the
> > lease.
> >
> > And, does "BNSF Rail Dude" know, perhaps, is
> the
> > MRL lease of BNSF's ex-NP mainline similarly
> > restricted? And why?
>
>
> It's only a guess on my part, but I believe it is
> a matter of liability. If a problem happens on a
> line that is leased, you are partly responsible.
> (Deep pockets.)
LIABILITY...exactly! Shortlines operating on leased UP track are not allowed to allow speeder excursions either, even though NARCOA's ten-million dollar liability insurance policy is greater than what many shortlines carry.
Class I's spun off the branchlines to shortlines to RETAIN the FREIGHT traffic. The amount paid to the shortline to originate / terminate the traffic is a small portion of the total $$$ revenue the car movement generates. Minimizing the Class I's risk while on the shortline is of primary importance.
Dick Samuels
www.oregonpacificrr.com
-------------------------------------------------------
> Dragoman Wrote:
> --------------------------------------------------
> -----
> > > In another discussion thread, Tony J. wrote
> the
> > > following:
> > >
> > > ". . . it may be already written in the
> > operating
> > > contract, or in the lease, that the NWP
> cannot
> > > operate passenger trains. This is the case
> with
> > > CORP in Oregon on trackage leased from UP."
> > >
> > > =======================
> > >
> > Different (but related) question:
> >
> > Why would UP forbid passenger service on the
> > leased line?
> >
> > I understand the technical reasons why it is not
> a
> > good line for passenger services (curves,
> grades,
> > etc.), but then it is even harder to understand
> > why UP felt a prohibition was needed in the
> > lease.
> >
> > And, does "BNSF Rail Dude" know, perhaps, is
> the
> > MRL lease of BNSF's ex-NP mainline similarly
> > restricted? And why?
>
>
> It's only a guess on my part, but I believe it is
> a matter of liability. If a problem happens on a
> line that is leased, you are partly responsible.
> (Deep pockets.)
LIABILITY...exactly! Shortlines operating on leased UP track are not allowed to allow speeder excursions either, even though NARCOA's ten-million dollar liability insurance policy is greater than what many shortlines carry.
Class I's spun off the branchlines to shortlines to RETAIN the FREIGHT traffic. The amount paid to the shortline to originate / terminate the traffic is a small portion of the total $$$ revenue the car movement generates. Minimizing the Class I's risk while on the shortline is of primary importance.
Dick Samuels
www.oregonpacificrr.com
