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Reliable Rail Service Act reintroduced to tackle high costs and poor freight rail performance

Posted: 19 June 2025 | | No comments yet

The Reliable Rail Service Act aims to ensure dependable freight rail service and reasonable rates for farmers, manufacturers, and small businesses across the US.

Reliable Rail Service Act

On June 18 2025, U.S. Senators Tammy Baldwin (D-WI) and Roger Marshall (R-KS) reintroduced the Reliable Rail Service Act, a bipartisan bill designed to tackle the unreliable service and high costs of rail shipping impacting farmers and manufacturers, particularly in Wisconsin and Kansas. The legislation aims to strengthen the freight rail supply chain, ensuring that the largest railroads provide dependable services at reasonable rates so goods can reach markets more efficiently, ultimately lowering costs for consumers.

The Reliable Rail Service Act aims to boost freight reliability, lower shipping costs, and strengthen U.S. supply chains for producers

“Across the Badger State, our farmers, small businesses, and manufacturers rely on rail service to get their products to market and make ends meet,” said Senator Baldwin. “But when rail service is unreliable, it puts their livelihoods on the line, disrupts supply chains, and drives up costs for hardworking Wisconsin families. That’s why I am proud to work with my Republican colleague to once again introduce our Reliable Rail Service Act and help level the playing field for Wisconsin workers, grow our Made in Wisconsin economy, and keep costs down for consumers.”

“Kansas’s farmers and ranchers depend upon reliable transport of their world-class goods to the rest of the country, and Class 1 railroads are not meeting expectations; this is a disservice to hard-working Kansans,” said Senator Marshall. “This bill lays out reasonable requirements for rail carriers to meet these important obligations, and I look forward to working with Senator Baldwin on getting this to the finish line.”

Farmers, energy producers, manufacturers, and other rail shippers continue to face poor service, significant disruptions, and soaring prices that affect communities and consumers, while profits for the nation’s largest railroads reach record highs. The Reliable Rail Service Act takes a commonsense approach to these challenges by clarifying the “common carrier obligation” under current law. This obligation requires rail carriers to serve the wider shipping public “on reasonable request,” but ambiguity has led to insufficient service and exorbitant costs.

The bill sets out clear criteria for the Surface Transportation Board (STB) to evaluate whether carriers are fulfilling their common carrier duties, providing much-needed certainty to shippers in the face of industry consolidation and practices that reduce rail network capacity.

“For years, dairy processors have struggled to use America’s rail system because of lack of reliability and reduced service schedules. The Reliable Rail Service Act is commonsense legislation that will provide greater clarity to the railroad’s common carrier obligations and ensure that they provide more dependable service at sensible rates,” said Dr Michael Dykes, President and CEO of the International Dairy Foods Association. “IDFA applauds Sen Baldwin and Sen Marshall for introducing this legislation to improve transparency in the rail industry and restore the balance between carriers and shippers so the U.S. dairy industry can move products more reliably by rail.”

“Senators Baldwin and Marshall have proposed smart, and a much-needed reforms to help fix persistent freight rail service failures that are plaguing chemical manufacturers,” said Chris Jahn, President and Chief Executive Officer of the American Chemistry Council. “If members of Congress are serious about bringing jobs back, leading global trade, and making more in America, not China, they should back this bill. We urge Democrats and Republicans to support this important legislation because it will help ensure that railroads deliver on their obligation to provide reliable service to U.S. manufacturers.”

“IWLA strongly supports the Reliable Rail Service Act and thanks Senator Baldwin for reintroducing this important bill,” said Jay D. Strother, International Warehouse Logistics Association (IWLA) President & CEO. “Clarifying the common carrier obligation is critical to ensuring that railroads provide consistent, fair, and timely service. This legislation gives the Surface Transportation Board the tools it needs to hold carriers accountable, enforce meaningful service standards, and support the 3PL warehouses that keep America’s supply chain moving.”

“We applaud Senators Baldwin and Marshall for reintroducing the Reliable Rail Service Act to improve our nation’s freight rail network,” said Greg Regan, President of the Transportation Trades Department, AFL-CIO. “Unfortunately, America’s freight rail companies too often fail to provide the equal, timely, and affordable service required of them by federal law. Let’s hold railroads accountable and better serve the small businesses, farmers, and other customers who rely on freight rail to transport their goods.”

“Clarification of the common carrier obligation has been needed for decades and this bipartisan bill provides STB with clear oversight rules to help address our nation’s freight railroad supply chain challenges and improve rail service for agricultural shippers,” said Mike Seyfert, President and CEO of the National Grain and Feed Association. “NGFA members appreciate Senator Baldwin and Senator Marshall’s leadership in responding to rail service issues and for cosponsoring this legislation, which will help regulators respond to service disruptions that cause hardship for livestock producers, grain exporters, and grain processing facilities.”

“The Wisconsin Farm Bureau appreciates the work of Sen Baldwin to address the definition of common carrier service obligation and increase the authority of the Surface Transportation Board to address agricultural rail needs,” said Brad Olson, President of the Wisconsin Farm Bureau Federation. “Wisconsin farmers are dependent on the movement of agricultural goods by rail and we hope this increased authority will lead to greater efficiency within the rail industry.”

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