Client Alert
Surface Transportation Board Oversight Hearing on Demurrage and Accessorial Charges

May 22, 2019

Update:  GKG Law's Tom Wilcox will testify on behalf of the National Grain and Feed Association at the Surface Transportation Board's oversight hearing on railroad demurrage and accessorial charges on May 22 in Washington, DC.

The Surface Transportation Board (STB) has scheduled a public oversight hearing on May 22, 2019, to receive information from railroads, shippers, receivers, third-party logistics providers, and other parties about their recent experiences with demurrage and accessorial charges.  The STB’s announcement stated that the hearing arises from “recent concerns by users of the freight rail network and other stakeholders about changes to demurrage and accessorial tariffs being implemented by various Class I carriers, and follows related letter inquiries to Class I carriers, including requests for information on quarterly revenue from demurrage and accessorial charges for 2018 and 2019.”  Matters of concern include reciprocity, commercial fairness, the impact of operational changes on such charges, capacity issues, and effects on network fluidity.

GKG Law’s Tom Wilcox recently addressed this issue at the National Coal Transportation Association’s Spring Conference on April 2, 2019.  Tom advised conference attendees that non-railroad parties have several options in addition to attending and listening to the hearing, which include providing in-person testimony, submitting written comments, or both.

The full Decision Information from the STB can be read here.

Detailed hearing schedule here

Deadlines are as follows:

  • If you would like to testify, you must file with the STB preferable as soon as possible, but no later than April 24.
  • If you want to participate in person.  Written testimony must be received by May 8.
  • If you simply want to only submit comments, they must be received by May 8.

For more information on this issue and hearing, please contact Tom Wilcox at twilcox@gkglaw.com.