The Fertilizer Institute (TFI) has been working with the federal government, individual railroads, the Association of American Railroads (AAR) and others on these critical issues affecting the fertilizer industry's ability to ship anhydrous ammonia by rail.

1. Support for infrastructure tax credit

   TFI supports the railroads' and AAR's request of Congress for a tax credit for railroad investment of freight rail infrastructure, provided that TFI members' needs also are recognized.

   “The railroads want liability protection or relief from carrying products, such as anhydrous ammonia,” explains Harriet Wegmeyer, TFI director of communications. “AAR and TFI have discussed, at great length, our desire to preserve our ability to move ammonia by rail. We believe that moving ammonia by rail is the safest way to deliver the product to farmers.”

2. New tank car delayed

   TFI has pressured the AAR to delay its implementation of a new tank car design for anhydrous ammonia until January 1, 2008. Along with the U.S. Department of Transportation, TFI asked for the delay because the new tank car design has not been tested and the time frame to replace the fleet is unrealistic, Wegmeyer says.

   “TFI felt strongly that AAR should wait for the results of the research that is currently under way before making a decision,” she says. “In addition, there is currently no indication that the tank cars in operation are unsafe as the fleet, at 10 to 11 years, is fairly young.”

   TFI's members as well as agricultural retailers that receive product could be affected if AAR mandates the use of heavier cars. “The cars may be too heavy for tracks leading to some retail facilities and could jeopardize the delivery of ammonia,” Wegmeyer explains.

3. Shipments in metro areas

   The Transportation Security Administration (TSA) is proposing to require that all carriers, shippers and receivers in high threat urban areas (HTUA) allow TSA (part of the Department of Homeland Security) to enter and be present within any area without access media or identification media issues or approval by the carrier, shipper or receiver. The proposed requirements do not apply to receivers if they are not in an HTUA.

4. 24/7 attendant

   The TSA is proposing that each carrier, shipper and receiver in an HTUA have a rail security coordinator available 24/7 to TSA. This person would need to be present when cars are loaded and unloaded in the HTUA. If a train were to drop off a car at midnight, for example, someone would have to be there to receive it.

For more information, call TFI at 202/962-0490 or visit www.tfi.org.

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