SENATE RESOLUTION NO. 33
(By Senator Tomblin, Mr. President)
Urging the West Virginia congressional delegation to ascertain all
pertinent facts relating to the disadvantages that could be
inflicted on the coal shippers in north central West Virginia
by the proposed acquisition of Conrail by CSX Corporation and
the subsequent division of Conrail between CSX and Norfolk
Southern.
Whereas, The merger of rail lines by CSX and Norfolk Southern
may be desirable in a general sense; and
Whereas, The well-being of the West Virginia economy,
especially the coal industry, has historically been dependent on a
cost-effective rail system to transport coal reserves to markets
throughout the world; and
Whereas, The West Virginia coal industry finds itself in a
highly competitive global marketplace where the cost of rail
delivery can be the deciding factor in winning and losing a coal
supply contract; and
Whereas, The coal shippers in north central West Virginia that
ship on the old B&O rail line, directly employing over two thousand
people, directly creating a total of twelve thousand jobs, have
annual sales of three hundred million dollars, and pay twelve
million dollars in coal severance taxes; and
Whereas, It is anticipated that the rail line division between CSX and Norfolk Southern will clearly favor some Pittsburgh Seam
coal producers in southwestern Pennsylvania by providing joint
access by both CSX and Norfolk Southern, thus granting those
shippers full, unfettered, low cost, direct access to customers of
the north central West Virginia producers; and
Whereas, The north central West Virginia producers on the
CSX/B&O line will be relegated to CSX-Norfolk Southern "two line"
hauls that are more costly and time consuming; and
Whereas, This rail line division must be structured to provide
a level playing field so the north central West Virginia coal
fields can compete fairly with producers in western Pennsylvania;
therefore, be it
Resolved by the Senate:
That the Senate urges Senator Robert C. Byrd, Senator John D.
Rockefeller, IV, Representative Nick Rahall, Representative Alan
Mollohan and Representative Bob Wise to contact the United States.S.
Department of Transportation, the Surface Transportation Board and
other appropriate federal regulatory agencies to ascertain the
effect the proposed merger will have on the coal producers in north
central West Virginia, and to do ensure that a level playing field is
available to all coal producers; and, be it
Further Resolved, That the Clerk is hereby directed to forward
a copy of this resolution to Senator Robert C. Byrd, Senator John
D. Rockefeller, IV, Representative Nick Rahall, Representative Alan Mollohan, Representative Bob Wise, the Secretary of the U.S.
Department of Transportation and the members of the Surface
Transpoirtaattion Board.