News Releases for November 2003
November 5, 2003
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Hoeven Pushes BNSF To Clear Grain Freight Backlog
Shippers Facing Hardship Because Of Delayed Trains
BISMARCK, N.D. - Gov. John Hoeven today said he has again contacted Burlington Northern Santa Fe (BNSF) Railroad CEO Matt Rose to push the carrier to meet its obligations and improve grain freight service for North Dakota producers and shippers. Hoeven told Rose that elevators across the state are confronting severe financial consequences because of lack of railcars, and that the railroad must respond effectively to prevent further hardship.
Elevator operators at a number of locations are forced to pile commodities outdoors, where it is subject to deterioration and reduced value. Other shippers have paid for grain that they are unable to get to market because BNSF is weeks behind schedule on guaranteed freight.
“BNSF has caused particular hardship for our smaller shippers who can’t service shuttle trains,” Hoeven said. “The railroad has fallen considerably behind for them, causing economic difficulty as they struggle to meet their obligations.”
Hoeven said the current situation is precisely the reason the state is pushing its rail rate investigation with the federal Surface Transportation Board. The complaint will seek to remedy the monopolistic pricing practices of railroads serving North Dakota.
“North Dakota this year had a good, high-quality crop, but now the railroad’s delay is jeopardizing the value of the harvest,” Hoeven said. “Problems like this make it clear just why it is so important that we press forward with our rail rate investigation with the Surface Transportation Board.”
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