Responsible Chemistry Labor - Management Alliance Supports Safe, Reliable Rail Transportation of Chemical Products

• The US economy requires that a broad range of chemical products be shipped by rail safely, responsibly and affordably.  Products supplied by the chemistry sector are essential in manufacturing, agriculture, building and construction, energy, transportation, technology, communications, health, defense and virtually every aspect of our lives.
• The chemical industry is vital to America and to US manufacturing.  It provides over 800,000 high-wage jobs, contributes $635 billion annually to the economy, and is one of the nation's leading export sectors.  An effective and efficient rail industry is also vital to America, providing over 250,000 jobs and carrying the nation's freight.
• The US chemical industry ships over 175 million tons annually by rail.   Chemicals are the second-largest commodity shipped by rail (after coal) and represent more than 12% - nearly $7 billion - of annual railroad revenue.
• As an example, chlorine is used throughout the chemistry industry, with the chlorine molecule involved in 60% of the industry's products. Many consumer and industrial processes rely on chlorine chemistry, even though their end products may not contain any chlorine. In 95% of the uses, there is no ready substitute. Action to limit the production, distribution or use of chlorine would have immediate and severe detrimental impact on the health and safety of the U.S. public.  In order to realize the benefits, chlorine must be delivered from production locations to end users that are often a significant distance away. About 85 percent of that long-distance delivery takes place via railroad tank car. Rail transportation of chlorine has over time proven to be a safe and effective way to move the product. The continuing ability to economically transport chlorine by rail is vital to our economy and to public health and safety.

• RCLMA recognizes that rail transport is one of the safest modes of transportation for chemical products. 
• RCLMA congratulates and supports the Department of Transportation's Federal Railroad Administration and its Pipeline and Hazardous Materials Safety Administration for efforts to make rail tank car transportation safer.
• The chemical industry and the railroad industry have worked together to safely transport chemical products, including hazardous materials, for decades.  This partnership is essential to help ensure the continued safe and reliable transport of chemical products. 
• Transportation safety depends on many factors, including: train operations; railroad signal systems; car placement; track conditions; rail car design; a skilled, trained and alert crew; and other issues.  Therefore, efforts to enhance transportation safety require a comprehensive approach that considers all factors.  As it relates to policies to ensure the safe transport of chemical products, RCLMA notes the following:
• Trains should be operated with a sufficient number of crew personnel to ensure maximum safety capability and an adequate, prompt response in case of unexpected events.  Trains should pass through communities in a safe manner, with locomotives, railroad equipment and track all properly and frequently inspected to ensure safe operations.
• Rail shipment of hazardous materials has a proven record of safety over decades. However, to protect workers and communities, neither chemical shippers nor railroads should be relieved of liability if their actions or negligence are responsible for an incident.  Worker and community safety would be compromised by that approach.  Risk management processes, including acceptance of potential liability, help promote safe operations in every industry.
• RCLMA members are committed to working with all stakeholders involved in the rail transportation of chemical products to continually improve safety performance.

• RCLMA is very concerned about proposals from some groups to "re-route" rail shipments of key chemicals away from long-established, safely-used routes.  Such decisions must be made by the US Government in consultation with stakeholders, considering transportation safety and security factors.  While caution is always essential, "re-routing" of chemicals from one area to another could actually increase the risk of accidents and risks to worker and community safety.   Every community along a rail route deserves equal consideration.
• Some groups calling for "re-routing" have broader agendas that include shutting down US chemical production or increasing costs to US chemical companies to help drive them out of business.  Such misguided policies could have serious, inadvertent consequences for worker safety, the environment and broader public health.  All US industries need to continue to have access to the essential service provided by US railroads.

• RCLMA acknowledges that government policies that restrict rail-to-rail competition and protect railroads from normal market forces are issues of concern to the US chemical industry.  Nearly two-thirds of America's chemical facilities that depend on rail service are served by only one railroad, exacerbating the lack of competition.
• RCLMA urges Congress to enact legislation that addresses longstanding service, rate, and competition concerns of rail customers in a manner that ensures a healthy and efficient freight rail system. We stand ready to lend our support to such efforts.

June, 2009
The Responsible Chemistry Labor-Management Alliance was first organized in 1994 as the Alliance for the Responsible Use of Chlorine Chemistry (ARCC). The Alliance has provided one of the longest-active labor-management policy forums at the national level. Alliance participants decided to expand their focus to broader US chemical industry issues beginning in 2009, in response to evolving opportunities and challenges facing US producers and workforces.