BNSF - Is Lake Stevens a Railroad Town?
At our October 17th meeting, Terry Hill, recently retired BNSF Railway's Executive Director of Government Affairs for the Northwest, gave us a lively presentation about the current state of freight railroads in the United States. The BNSF is one of four Class I type railroads in the country. A Class I railroad has an annual carrier operating revenue of $250 million or more. The other Class I's are CSX, Norfolk Southern (NS) and Union Pacific (UP). The BNSF is over 160 years old and is the conglomeration of over 200 mergers and acquisitions representing 390 different lines during that time. The last one was in September 1995 when the Burlington Northern Railroad and the Atchison, Topeka and Santa Fe Railway merged to become BNSF. The BNSF is now owned by Berkeshire Hathaway.
The BNSF and UP dominate freight movement in the US and combined with CSX and NS move one quarter of all freight in the US. The Southern Spine of the BNSF moves more freight than all freight in the Northeast. The other two spines of the BN are across the north--MN, ND, MT, ID & WA--and through IA, MO, NB, KS, CO, UT & NV into CA. This is actually Union Pacific line but the BNSF has trackage rights meaning they pay a fee to use the UP's tracks.
In Washington, the BNSF has three primary east-west corridors: 1) Stevens Pass, 2) Stampede Pass, and 3) along the Columbia River. The river route sees most of the traffic especially heavy trains because it is flatter, even though it is 200 miles longer. 70 trains a day use the I-5 north-south corridor. This figure includes passenger trains. 27 trains a day go across Stevens Pass. Could be more, but, the limiting factor is the time it takes to ventilate the Cascade Tunnel.
Some interesting BNSF facts:
- the BNSF has 32,500 route miles
- operates over 1,500 freight trains a day
- unlike other forms of transportation, BNSF trains operate on an infrastructure financed almost entirely by the railroad
- In America, 42% of long haul freight is handled by rail
- The Puget Sound is the third largest Port in North America
- The BNSF handles 1.5 million carloads of freight annually in Washington alone
- In Washington, there are about 3,500 employees with a payroll of $250 million
- And, in Washington, the BNSF Foundation gives over $600,000 annually.
Freight railroads in Washington contribute at least $28.5 billion annually to the economy. Over 342,000 Washington workers depend on freight rail. Household income is $13.4 billion higher due to freight traffic. And, Washington’s prosperity depends on trade and freight rail is a critical link that gives us a competitive edge over other regions.
Terry displayed a chart showing the differences in traffic handled by the BNSF from 2006 through 2013. Domestic intermodal increased 18% while international intermodal decreased 28%. Intermodel is putting truck trailers on rail flatcars and moving them between cities. Perhaps the most startling growth area is petroleum. It was up 229%. This is because of the natural fuels being extracted in the Bakken Oil Fields in North Dakota. Whatever we may think about the transportation of fossil fuels through our area, this is a game changer for our economy.
This year BNSF has a capitol commitment of $5 billion. This includes 400 additional locomotives since last fall. New locos are 10-15% more efficient than the ones they replace. They cost about $1-1.5 million each and are 4,400 horsepower. Terry added that one gallon of diesel fuel will move one ton of cargo 500 miles. That’s 3-4 times more efficient than moving freight by truck. One container train typically equals 200 separate semi-trucks rolling down the highway. BNSF also purchased 5,000 tanker cars. Tank cars are usually owned by a separate company and leased by the shipper, but, because of the concern for safety BNSF made the decision to invest in its own equipment. The company also has 212 haz mat responders in 60 locations throughout its network to respond to hazardous materials emergencies. BNSF will also train, at no cost, local emergency responders.
BNSF has an excellent safety record. In 2013, there were 1.1 employee injuries for every 200,000 hours worked. Combined with accidents and crossing collisions the rate fell over 80% since 1980. Key routes are inspected four times a week—twice the mandated Federal Railroad Administration frequency. The busiest main lines are inspected daily. Equipment is checked regularly as it rolls down the track through various detector systems that are placed along the tracks to sense for overheated wheels, listen for anomalies is trucks and other railcar equipment. This is a proactive approach and improves safety and extends the life of the equipment. But, there has to be human oversight to the thousands of miles of track and 1,500 trains a day. The company’s Network Operations Center is located in Ft Worth, TX. There are over 140 dispatchers watching over the system every day.
Terry Hill’s career includes time with the Port of Seattle and as a reporter for United Press International. Thank you for a very informative presentation.
Ed Note: Click here for a complete history of the BNSF. This includes the Great Northern and Northern Pacific Railroads.