Federal and state rail safety inspectors have several enforcement tools at their disposal. Civil penalties, which are reserved for “severe instances of noncompliance warranting the deterrent effect of monetary penalties,” are assessed based on specific guidelines outlined in the Federal Railroad Administration’s (FRA) Code of Federal Regulations.
The FRA, which is authorized to settle such claims based on a wide variety of mitigating factors, encouraging railroads to provide responsive information, says its process “enables the efficient exchange of information about safety improvements and the collection of claims without requiring protracted litigation.”
In a Jan. 6 press release, the FRA announced that its brand-new “streamlined” settlement negotiation process collected a record $15.4 million in civil penalties issued to Class I railroads.
The streamlined process, FRA says, “centers on meaningful discussions in the most significant cases while continuing to collect critical data to improve railroad safety.” Under this framework, Class I railroads—Amtrak, BNSF, CN, CPKC, CSX, NS, and UP—may receive a civil penalty when inspectors identify issues such as defective wheels, with potential reductions when repairs are made and discussed with mechanical craft employees to prevent recurrence. Overall, the process, FRA adds, “reinforces safety as the top priority by driving timely corrections, improved practices, and stronger risk mitigation.”
“Our new civil penalty process is already delivering results—forcing Class I railroads to step up, improve safety, and address immediately noncompliance. I am grateful to our dedicated safety inspectors who are right there with the railroad workforce in the field,” said FRA Administrator David Fink.
“FRA’s settlement conferences provide valuable opportunities for regulators and railroads to work together and resolve key safety concerns. These discussions are focused on achieving real safety improvements that support railroad employees and help protect the traveling American public,” the Administration stated in the release.
