—Lancaster Farming, Saturday, October 20, 1973
8
In the shadow of Penn Central’s
impending liquidation, PennAg
Industries Association recently
adopted a resolution supporting
the continuation of rail service in
the Northeast.
Joining the National Grain &
Feed Association, the American
Feed Manufacturers Association
and other trade groups who have
policies designed to rehabilitate,
refurbish and restore rail ser
vice, the Chairman of PennAg
Industries’ Transportation
Committee, James W. Leeser.
Selinsgrove, said,
“The welfare of Pennsylvania
citizens and the State economy
depend heavily on the railroads.
The cost of Penn Central’s
liquidation to the citizenry would
be almost incomprehensible. The
lack of rail service would cost
Pennsylvania fanners alone $4OO
million annually aaccording to
Penn Dot studies”.
The statewide association’s
resolution is aimed at continuing
service and opposed to the
misuse of funds. It calls for
amendments to Federal acts,
suggestions on subsidies and
other ideas to promote ef
ficiencies.
The Federal Railroad Adminis
trator’s authority would be
limited to the approval or
disapproval of applications for
funds using ICC decisions or
court rulings as a guide.
It would establish new tools to
be used in continuing service on
branch lines such as increased
freight rates at the local level,
reduction in service from daily to
less frequent, or reduction in size
of train crews, among other
things.
The resolution calls for subsidy
of essential branch lines, subject
to certain safeguards, such as
being limited to provable losses,
in the public interest as opposed
to continuing inefficiencies and
for limited periods of time, thus
necessitating periodic
reevaluation.
It receommends establishment
of car clearance centers to
facilitate movement of cars to
home territories. Also recom
mended would be a Federal fund
used to evaluate the condition of
all existing locomotion and
rolling stock, the sale of cars as
scrap which are not rehabitable
and the repair of the remaining
fleet before purchasing new
equipment.
Finally, the resolution calls for
a scale of demurrage or penalties
against either shipper or carrier
in an effort to improve rail ser
vice.
“This resolution represents
many hours of work by volunteer
committee members, within
PennAg Industries Association
who are offering it as their
contribution to lawmakers,
regulatory agencies, carriers and
shippers as a guide in solving a
complex problem”, Leeser
concluded.
RESOLUTION
on
Rail Service
WHEREAS the RAIL TRAN
SPORTATION SYSTEM,
especially in the Northeast, has
been seriously affected by
tropical storm Agnes, and
WHEREAS certain RAIL
TRANSPORTATION SYSTEMS
are in a state of insolvency and
were so prior to tropics! storm
Agnes, and
WHEREAS, due to the lack of
Canoe Settlers
Canoes brought voyagers from
Southeast Asia to distant Pacific
Island homes centuries before
Columbus braved the Atlantic
Double canoes of Tonga, largest
known in Polynesia, reached 100
feet and carried as many as 200
PennAg Passes
sufficient operational capital,
certain RAIL TRAN
SPORTATION SYSTEMS are
incapable of involvement in a
program of restoration and-or
rehabilitation of certain affected
lines, and
WHEREAS a number of the
affected branch lines are vital to
the life of the immediate area,
the State and Nation and, in
particular, to the stability and
viability of agribusiness, and
WHEREAS the NATIONAL
GRAIN & FEED ASSOCIATION,
THE AMERICAN FEED
MANUFACTURERS
ASSOCIATION and other in
terested NATIONAL TRADE
ORGANIZATIONS have
developed RAIL TRAN
SPORTATION policies designed
to rehabilitate, refurbish and
restore RAIL TRAN
SPORTATION services, now
therefore
BE IT RESOLVED by the
representative segment of
PENNSYLVANIA
AGRIBUSINESS embodied in the
TRANSPORTATION COM
MITTEE of PENNAG IN
DUSTRIES ASSOCIATION that:
1. The BOARD OF DIREC
TORS OF PENNAG IN
DUSTRIES ASSOCIATION adopt
an attitude of full cooperation
with the severally above-named
on matters relating to RAIL
TRANSPORTATION especially
as it affects commerce within the
State of Pennsylvania on the
whole, the welfare of the
citizenry and the economic
security of the membership of
PENNAG INDUSTRIES
ASSOCIATION particularly.
MR. FARMER
N. Church Street
Quarryville, Pa.
2. The BOARD OF DIREC-
RED ROSE
SERVICE
Red Rose Feed Grain
Exchange Programs?
EXAMPLE
5-Ton's Solanco Feed at *
Less 2Vi TONS Formers Grains at
Net*
To Complete The Above Blank Spaces
Contact Pete Howard, Ray 8011,
Dick Ibach.
WE ALSO OFFER GRAIN STORAGE FOR OUR MANY CUSTOMERS
WHO HAVE A SURPLUS OF 1973 CORN CROP.
WE OFFER COMPLETE MARKETING PROGRAMS FOR SHELLED CORN, SOYBEANS, ETC.
MAIN
OFFICE
786-736?
Rail Resolution
TORS OF PENNAG IN
DUSTRIES ASSOCIATION
empower the Executive Vice
President to act as liason bet
ween PENNAG INDUSTRIES
ASSOCIATION and the severally
above-named.
3. The BOARD OF DIREC
TORS OF PENNAG IN
DUSTRIES ASSOCIATION
adopt, as its policy on RAIL
TRANSPORTATION, the
following suggestions of the
TRANSPORTATION COM
MITTEE;
a. That APPLICANTS for
Federal assistance under the
provisions of the EMERGENCY
RAIL FACILITIES
RESTORATION ACT (PL 92-951)
be required to forego abon
donment proceedings on any line
restored through use of such
funds for a period of not less than
eighteen (18) months following
such restoration.
b. the Federal Railroad
Administrator be limited to
approval or disapproval of ap
plications for funds, by RAIL
TRANSPORTATION SYSTEMS
based upon:
1. I.C.C decisions already a
matter of record.
2. Court Rulings based upon
presentations by the RAIL
TRANSPORTATION SYSTEM
and arguments thereto by in
terested entities on any or all
affected feeder or branch lines.
3. Full and complete in
vestigation into the accounting
procedure, of applicant carriers,
to make certain that “loading”
branch lines with unwarranted
expenses has not taken place.
4. A re-determination of
“essentiality” of branch lines.
FARM
INC.
GRAIN
New Providence
not to be restored, based upon
increased income as a result of:
a. Allowing increases in local
freight rates to an extent not to
exceed the cost of alternate
modes of transportation.
b. Adjustment in service on the
affected line, i.e., from five to
three days service; from three to
two days; from twice weekly to
once a week.
c. Reduction in crew make-up
to only the essential personnel,
i.e., engineman, conductor and
onebrakeman or switchman. The
exception to this being ex
traordinary circumstances that,
for the safety of life and property,
would require a second
brakeman or switchman.
c. That consideration be
given a program of subsidization -
of essential branch lines,
provided:
1. Such subsidies be limited to
provable losses based on strict
accounting of the branch in
question.
2. Such subsidies would be in
the public interest and not purely
the support of an inefficient
operation.
3. Such subsidies were not to be
granted for an indeterminate
period of time but be limited to a
period necessary to other
disposition of the affected line.
4. Such subsidies to be granted
only after the exercise of
procedure as outlined in Section
b, 4a, 4b and 4c proceeding.
d. That purchase of the affected
line via Federal and State funds
be arranged with the Trustees of
bankrupt RAIL TRAN
SPORTATION SYSTEMS, under
jurisdiction of the FEDERAL
COURTS, by authority of
ELEVATOR
786-3427
enabling legislation such as
Hartke Bill S-1031, S-2188 and-or
Pennsylvania Act number 35
(1973 Legislative Session). Such
acquisitions to be continued in
operation under lease
agreements with other RAIL
TRANSPORTATION SYSTEMS
whether, or not, interconnecting.
e. That all else failing, branch
lines be exposed at sale to any
entity or combination of entities
interested in the continued
operation either as a "short line”
or a "lease back” agreement.
f. That a system of car
clearance centers be established
to facilitate the movement of cars
whether laden, or not, toward
home territories. Special em
phasis to be placed upon
movements into and out of ports
of embarkation and in-transit
classification facilities and
junction points.
9. That appropriation of
Federal funds be made for the
purpose of rehabilitation of
locomotion and rolling stock with
precedence given to moder
nization of present inventories
through a program of evaluation.
Examination of rolling stock and
locomotion at points capable of
making a decision as to the
feasibility of repair and-or
refurbishing or consignment to
scrap, could be carried out.
Funds derived from the sale of
scrapped material could be
returned to the program of
rehabilitation and modernization
of equipment.
h. That a scale of demurrage
and-or per diem rates be
established that would make it
prohibitive for any RAIL
TRANSPORTATION SYSTEM
not to handle cars with greater
facility.
Above Resolution adopted by;
PennAg Industries Association
Board of Directors
BUCK, PA.
284-4464