“Montana producers, faced with narrow profit margins for their products, are getting squeezed by high input costs,” Rehberg, a member of the House Appropriations Committee, said.  “We’ve long needed a solution to the high costs associated with having only one rail shipping company serving our state.”

          The legislation would clarify existing laws and direct the Surface Transportation Board to ensure effective competition among rail carriers at origins and destinations; maintain reasonable rates in the absence of effective competition; and maintain consistent and efficient rail transportation service for rail shippers, including the timely provision of cars. The bill would also establish a ‘final offer’ arbitration of rail rate disputes between shippers and the railroad companies.

          “This is a major issue for us.  We’re very appreciative of Denny’s support,” commented Southern Montana Generation and Transmission cooperative member Dave Kelsey, who met with Rehberg this morning.  “My co-op plans to ship coal from southeast Montana to a facility in Great Falls.  The length of that rail line is captive.  Shipping that fuel is going to cost as much as the coal itself, meaning higher costs for rate-payers, which is why we need this bill.”