Notice2024-11337
Indexing the Annual Operating Revenues of Railroads
Primary source
Metadata and text below are from the Federal Register, a public-domain U.S. government work. Always verify the official published version before relying on it for any legal matter.
Published
May 23, 2024
Effective
January 1, 2023
Issuing agencies
Surface Transportation Board
Full Text
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<title>Federal Register, Volume 89 Issue 101 (Thursday, May 23, 2024)</title>
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[Federal Register Volume 89, Number 101 (Thursday, May 23, 2024)]
[Notices]
[Pages 45729-45730]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2024-11337]
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SURFACE TRANSPORTATION BOARD
[Docket No. EP 748]
Indexing the Annual Operating Revenues of Railroads
The Surface Transportation Board (the Board) is publishing the
annual inflation-adjusted index and deflator factors for 2023. The
deflator factors are used by the railroads to adjust their gross annual
operating revenues for classification purposes. This indexing
methodology ensures that railroads are classified based on real
business expansion and not on the effects of inflation. Classification
is important because it determines the extent to which individual
railroads must comply with the Board's reporting requirements.
The Board's deflator factors are based on the annual average of the
Producer Price Index (PPI) industry data for line-haul railroads
developed by the Bureau of Labor Statistics (BLS).\1\
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\1\ Starting in this year's decision, the reference to the
series for the Railroad Freight Price Index has been changed to
match BLS's terminology (PPI industry data for line-haul railroads)
for ease of identifying the information.
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The Board's deflator factor is used to deflate revenues for
comparison with established revenue thresholds.
Railroad Revenue Thresholds \2\
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Year Factor Class I Class II
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2019 \3\............................................... 0.4952 504,803,294 40,384,263
2020 \4\............................................... 1.0000 900,000,000 40,400,000
2021................................................... 0.9535 943,898,958 42,370,575
2022................................................... 0.8721 1,032,002,719 46,325,455
2023................................................... 0.8541 1,053,709,560 47,299,851
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DATES: The inflation-adjusted indexes and deflator factors are
effective January 1, 2023.
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\2\ In Montana Rail Link, Inc., & Wisconsin Central Ltd., Joint
Petition for Rulemaking with Respect to 49 CFR part 1201, 8 I.C.C.2d
625 (1992), the Board's predecessor, the Interstate Commerce
Commission, raised the revenue classification level for Class I
railroads from $50 million (1978 dollars) to $250 million (1991
dollars), effective for the reporting year beginning January 1,
1992. The Class II threshold was also raised from $10 million (1978
dollars) to $20 million (1991 dollars). In Montana Rail Link, Inc.--
Petition for Rulemaking--Classification of Carriers, EP 763 (STB
served Apr. 5, 2021), the revenue classification level for Class I
railroads was raised from $250 million (1991 dollars) to $900
million (2019 dollars), and the Class II threshold was converted and
rounded from $20 million (1991 dollars) to $40.4 million (2019
dollars), effective for the reporting year beginning January 1,
2020.
\3\ The 2019 values reflect those in Indexing the Annual
Operating Revenues of Railroads, EP 748 (STB served June 10, 2020).
\4\ The 2020 and subsequent values are based on the thresholds
established in Docket No. EP 763, and the deflator factor is
referenced to the new base year of 2019. As the PPI industry data
for line-haul railroads remained the same from 2019 to 2020, the
annual deflator factor for 2020 was 1.0000.
FOR FURTHER INFORMATION CONTACT: Pedro Ramirez at (202) 245-0333. If
you require an accommodation under the Americans with Disabilities Act,
please call (202) 245-0245.
Board decisions and notices are available at <a href="http://www.stb.gov">www.stb.gov</a>.
[[Page 45730]]
Decided:
By the Board, Kristen Monaco, Ph.D., Director, Office of
Economics.
Kenyatta Clay,
Clearance Clerk.
[FR Doc. 2024-11337 Filed 5-22-24; 8:45 am]
BILLING CODE 4915-01-P
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</html>Indexed from Federal Register on May 23, 2024.
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