The Commuter Rail Coalition (CRC) has gotten behind HR 5697, the Passenger Rail Liability Adjustment Act of 2025, a bill that would modify current statute to allow passenger railroads 90 days to secure additional excess liability insurance coverage when the federal cap is next scheduled to be inflation-adjusted in 2026.
Rep. Troy Nehls (R-Tex.) a member and former Chairman of the House Transportation & Infrastructure Railroads Subcommittee, introduced the bipartisan bill, whose original cosponsors are House Railroads Subcommittee Ranking Member Dina Titus (D-Nev.) and Seth Moulton (D-Mass.). Nehls “has maintained his support of our efforts to find a solution to the problem posed by the current law, which gives commuter railroads just 30 days to obtain additional insurance coverage when the federal liability cap is inflation-adjusted every five years,” CRC noted. “Securing coverage is a complex process that requires much more than 30 days to complete. If commuter railroads are unable to secure coverage within the 30 days, then they will have to cease all operations. We estimate that the next increase will be in excess of $70 million when the U.S. Department of Transportation announces the newest cap sometime in early 2026. The cap is adjusted by applying the Consumer Price Index.”
The CRC has issued an action alert requesting all railroads engage their federal elected representatives in support of HR 5697. “It is imperative to demonstrate clear and widespread support for this legislation,” the organization noted. “It would be an even stronger endorsement if elected officials would become cosponsors of the legislation. CRC is also lining up support in the Senate. Expressions of support should be directed to the Senate Committee on Commerce, Science and Transportation. We are pushing for the inclusion of a permanent solution to this problem in the upcoming reauthorization of the federal surface transportation programs. Reauthorizing legislation will be necessary when the current Infrastructure Investment and Jobs Act (IIJA) expires Sept. 30, 2026. The CRC has expressed its support for a permanent solution with the House Committee on Transportation and Infrastructure, as well as the Senate Committee on Commerce, Science and Transportation. We are advocating for a modification in the statute that would provide for the cap to be calculated every four years instead of the current five, while allowing a full 365 days for implementation of the new cap. This would allow all railroads to acquire additional coverage in the normal course of business when they complete their annual renewals.”
