Ammendments Transportation Act

[agstar77]

May see something tomorrow.

[gustgd]

What do you expect to see agstar? Maybe we
can find some common ground?

[gustgd]

The Harper government moves to strengthen rail
freight service
No. H134/12
For release - December 11, 2012

WINNIPEG – Today, the Honourable Denis Lebel,
Minister of Transport, Infrastructure and
Communities, along with the Honourable Gerry
Ritz, Minister of Agriculture and Agri-Food,
announced the introduction of the Fair Rail Freight
Service Act bill to give companies that ship goods
by rail the right to a service agreement with
railways. It will also create an arbitration process
to establish an agreement when commercial
negotiations fail.

“The Harper government is taking action in the
interest of all Canadians to enhance the
effectiveness, efficiency and reliability of the entire
rail freight supply,” Minister Lebel said. “This bill
will help shippers maintain and grow their
businesses while ensuring that railways can
manage an efficient shipping network for
everyone.”

This announcement fulfills a key commitment
following the recommendations made by the Rail
Freight Service Review Panel in 2011. The
Panel’s report encouraged the use of bilateral
service agreements between shippers and
railways as an effective way of bringing more
clarity, predictability and reliability to rail service.

Most shippers acknowledge there has been
improvement in rail service since the Review
began. The new legislative provision builds upon
that progress, and will help solidify these gains.

“To continue creating jobs and growth for the
Canadian economy, agriculture producers and
processors must be able to get their world class
product to market in a reliable and efficient way,”
said Minister Ritz.

“This bill is good news for Canada’s farmers as it
will help ensure all shippers are treated fairly by
the railroads. We will continue to work on
improving the performance of the supply chain for
all crops, with an emphasis on innovation,
capacity, efficiency and stakeholder collaboration
through the Crops Logistics Working Group as we
move towards a stronger rail freight supply chain
and stronger Canadian economy.”

The new process will create a strong incentive for
shippers and railways to negotiate service
agreements commercially. If these negotiations
are not successful, shippers will be able to trigger
a fast and efficient arbitration process with the
Canadian Transportation Agency. The goal of the
legislation is to encourage railways and shippers
to work together.

The arbitrator will have the mandate to establish
terms and conditions of service based on the
shipper’s needs, as well as the railways’
requirement to provide adequate and suitable
service to all the other customers. Strong
enforcement mechanisms will hold railways to
account for obligations imposed by an arbitrator.

An administrative monetary penalty of up to
$100,000 could be issued by the Canadian
Transportation Agency for each violation of an
arbitrated service level agreement. This is in
addition to other existing remedies in the Act (e.g.
Level of Service Complaint) to ensure railways
meet their service obligations.

Further details about Rail Freight Service Review
process can be found at
http://www.tc.gc.ca/eng/policy/acg-acgb-
menu.htm.

[gustgd]

Canadian pulse industry pleased to see the focus
shift to improved service
December 11, 2012 (Winnipeg, MB) - Pulse
Canada agrees with the message sent with
today’s announcement of amendments to the
Canada Transportation Act; consistent and
reliable rail freight service is key to the
competitiveness of Canadian businesses.
“Every step in this process is just that, a single
step towards the goal of a more predictable and
reliable supply chain that makes Canadian
businesses more competitive in the international
marketplace” says Greg Cherewyk, Executive
Director of Pulse Canada. “Over the past year
cost cutting and the pursuit of operational
efficiencies have taken the headlines. This
announcement puts customer service back in the
spotlight. Improvements in service are key to
Canadian businesses that depend on railways to
help meet their customers’ needs” says
Cherewyk.
In its submission to the Rail Freight Service
Review Panel in April of 2010, the Canadian pulse
industry proposed service level agreements as a
tool to deal with the range of service related
issues highlighted by the analysis undertaken
during the Review. Since that time, industry
representatives have worked with shippers from
across the agriculture industry to develop
template agreements that will meet their needs.
From December of 2011 through to April of 2012,
Pulse Canada represented pulse industry
interests during the Dinning facilitation meetings;
a process designed to help shippers and railways
reach a common understanding on service level
agreement templates and dispute resolution
mechanisms. At the conclusion of the facilitated
sessions, Pulse Canada worked with legal
counsel and industry organizations representing
all sectors to develop draft legislation for
consideration by the government during its
consultations in month of July.
“Canadian businesses and their industry
organizations put a great deal of work into the
recommendations on this legislation. While its
premise is straightforward, it’s a complicated
matter and it’ll take some time to review and
consider the implications of the package the
government put forward today. It is important to
acknowledge how significant today is - this is a
process of continuous improvement and every
step taken in that direction is critical” says
Cherewyk.
On November 20, 2012 Agriculture Minister Gerry
Ritz announced the second mandate of the Crop
Logistics Working Group (CLWG), a group co-
chaired by Pulse Canada CEO Gordon Bacon.
“The CLWG is another step in the right direction.
It has a mandate to support supply chain
innovation, to build industry capacity and to
ensure that measurement systems are in place to
let everyone know if there’s been a measurable
impact in the areas that matter most to the
Canada ag industry. Pulse Canada intends to play
an important role in keeping the attention sharply
focused on improvements that create
predictability in the ag supply chain” says
Cherewyk.
Pulse Canada is the national association
representing growers, traders and processors of
Canadian pulse crops (peas, beans, lentils and
chickpeas). Canada is the world’s largest supplier
of pulses, with exports reaching more than 150
countries.
-30-
For more information: Greg Cherewyk, Executive
Director, Pulse Canada, (204) 291-6449,
gcherewyk@pulsecanada.com

[gustgd]

Canadian rail service legislation puts at
risk innovation and supply chain
collaboration, says President and CEO Claude
Mongeau
 
MONTREAL, Dec. 11, 2012 /CNW Telbec/ - Claude
Mongeau, president and chief executive
officer of CN (TSX: CNR) (NYSE: CNI), says
that, putting aside normal operational and
commercial issues, there is no evidence of
systemic rail service performance problems in
Canada warranting the federal government's
introduction today of legislation to impose
level of service obligations on railways
through increased regulation.

Mongeau said: "The objective fact is that
Canada has a world-class rail system, one
known internationally for efficiency and
reliability - a key asset for a trading
nation like Canada - and that reflects a
well-functioning market for rail services.

"The government's Rail Freight Service Review
(RFSR) process launched in 2008 was a key
factor in spurring further improvement in
rail service. CN addressed every commercial
recommendation of the RFSR panel to improve
service, entering framework cooperation
agreements with a wide array of stakeholders
and level of service agreements with many of
its customers to increase supply chain
collaboration and deepen customer
relationships.

"Jim Dinning, while heading the RFSR's
railway-shipper facilitation process,
recognized this fact, saying in his report
that commercial forces were already driving
improved rail service and advising the
government that shippers should take
advantage of the improved customer focus of
the rail industry. In recent years, CN has
launched a comprehensive series of commercial
initiatives that benefit our supply chain
partners and the Canadian economy. CN is
committed to helping its customers be more
competitive in markets at home and abroad
through better service and a relentless focus
on continuous improvement.

"This is why I am troubled by the
government's decision to introduce service
legislation that is inconsistent with the
facts underscoring improved rail service, as
well as the government's stated agenda of
innovation and productivity to foster
economic prosperity for Canadians.  I also
believe the legislation sends mixed signals
to customers and suppliers around the world
about the government's approach to commercial
markets in Canada.

"CN invites the government to identify
specific, systemic service issues that
warrant this legislation. We are ready to
address any legitimate problems brought to
our attention, in the same way we addressed
all the commercial recommendations of the
RFSR panel. We will continue to make our case
that a commercial framework for the rail
industry is what Canada needs to foster
prosperity.

"CN is a true backbone of the Canadian
economy. We are central to sustained economic
growth, helping take the nation's goods and
commodities to market efficiently and
reliably. Canada should not put the
commercial framework of its rail system at
risk through unnecessary and overly
burdensome rail regulation. Such an approach
would stifle innovation, chill the positive
service momentum that's taken hold and result
in potentially unintended consequences for
the rail industry and the customers we
serve."

Click here to see table identifying key RFSR
issues and CN's comprehensive response

CN - Canadian National Railway Company and
its operating railway subsidiaries - spans
Canada and mid-America, from the Atlantic and
Pacific oceans to the Gulf of Mexico, serving
the ports of Vancouver, Prince Rupert, B.C.,
Montreal, Halifax, New Orleans, and Mobile,
Ala., and the key metropolitan areas of
Toronto, Buffalo, Chicago, Detroit, Duluth,
Minn./Superior, Wis., Green Bay, Wis.,
Minneapolis/St. Paul, Memphis, and Jackson,
Miss., with connections to all points in
North America. For more information on CN,
visit the company's website at www.cn.ca.

[sumdumguy]

Mongeau should try booking cars with his dear
railroads. Its a joke -a very sick joke.

He should sit on hold for hours or try to change
his password every few days when it doesnt
work.

[hobbyfrmr]

Sumdum,

Try ordering your rail cars through the Canadian
Grain Commission. They have an order sheet you
fill out and fax into them. I used to have very
good results with this procedure.
It was going so good and so convenient that the
rail company discontinued service!

[bucket]

You guys realize the railways have the senate in their back pocket. I doubt this will pass without amendments in the senate.

[TOM4CWB]

Bucket,

Same Senate that passed the CWB Freedom Act... I
would be surprised if there was a material change in
the Transportation Act by the senate. This has been in
the works for years.

Cheers

[bucket]

Geez Tom, was there shares in the cwb that paid dividends or could be traded?

The freedom act had no monet involved for the senators.

This is a little different, the senators might be invested in cp and cn stock.

Money talks.