Notice2025-11508
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
June 24, 2025
Issuing agencies
Surface Transportation Board
Full Text
<html>
<head>
<title>Federal Register, Volume 90 Issue 119 (Tuesday, June 24, 2025)</title>
</head>
<body><pre>
[Federal Register Volume 90, Number 119 (Tuesday, June 24, 2025)]
[Notices]
[Pages 26897-26898]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2025-11508]
=======================================================================
-----------------------------------------------------------------------
SURFACE TRANSPORTATION BOARD
[Docket No. EP 748]
Indexing the Annual Operating Revenues of Railroads
The Surface Transportation Board (Board) is publishing the annual
deflator factor and inflation-adjusted railroad revenue thresholds for
2024. The deflator factor is 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 annual deflator factor is based on the annual average
of the Producer Price Index (PPI) industry data for line-haul railroads
published by the Bureau of Labor Statistics (BLS) and is used to
deflate revenues for comparison with established revenue thresholds.
Application of the annual deflator factors for 2020-2024 results in
the following annual revenue thresholds:
[[Page 26898]]
Railroad Revenue Thresholds \1\
----------------------------------------------------------------------------------------------------------------
Year Factor Class I Class II
----------------------------------------------------------------------------------------------------------------
2020 \2\............................................... 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
2024................................................... 0.8375 1,074,600,816 48,237,637
----------------------------------------------------------------------------------------------------------------
The annual inflation-adjusted deflator factor and revenue
thresholds for 2024 are effective January 1, 2024. Notice of this
decision will be published in the Federal Register.
---------------------------------------------------------------------------
\1\ 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.
\2\ The 2020 and subsequent values are based on the thresholds
established in Docket No. EP 763, and the deflator factor is indexed
with a base year of 2019. As the PPI industry index for Line-haul
railroads remained the same from 2019 to 2020, the annual deflator
factor for 2020 was 1.0000.
---------------------------------------------------------------------------
By the Board, Kristen Monaco, Ph.D., Director, Office of Economics.
Zantori Dickerson,
Clearance Clerk.
[FR Doc. 2025-11508 Filed 6-23-25; 8:45 am]
BILLING CODE 4915-01-P
</pre></body>
</html>Indexed from Federal Register on June 24, 2025.
This is legal information, not legal advice. Laws vary by jurisdiction and change frequently. Always verify current law with official sources and consult a licensed attorney in your jurisdiction for advice on your specific situation.