Saturday, September 15, 2018

MOONBEAM KICKED IN THE ASS BY FEDERAL COURT

by Bob Walsh

Back in 2015 Governor Moonbeam managed to get the legislature of the formerly great state of California to pass a bill that nailed railroads $45 per trip per rail car for carrying certain "hazardous" (undesirable) cargo, like crude oil. Federal law allows such a charge, but only if it is "fair".

The railroads complained that this is not even in the same ballpark as the fees charged trucking companies, which is $100 initially and $75 per year renewal for trucks carrying hazardous cargo.

The 9th Circuit agreed with the railroads. One of the three members of the panel, Sandra Ikuta, also had a problem with the whole notion of local governments regulating rates charged by railroads, be they fair or otherwise.

The California law covers 25 assorted hazardous materials.

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