Rail Transportation: Federal Railroad Administration’s New Approach to Rail Safety
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1997-07-01
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Abstract:In 1980, the Congress passed the Staggers Rail Act, which fostered substantial changes in the railroad industry. By 1995, fewer large freight railroads accounted for most of the industry's revenue and train miles. At the same time, these freight railroads substantially reduced their workforce and track networks. In response, the Congress and railroad labor have raised concerns that these changes in the industry could compromise safety. In 1995, the railroad industry consisted of Amtrak (the nation's largest passenger railroad), 14 large freight railroads - collectively known as class I railroads - as well as over 600 regional and smaller railroads. The industry had changed significantly since the Staggers Rail Act made it federal policy that railroads would rely, where possible, on competition and the demand for services, rather than on regulation to establish reasonable rates.
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