FDOT Still Helping CSX Bilk Taxpayers

Click title for full link. A message from Florida Department of Transportation District 5 Secretary Noranne Downs May 12, 2008 Albert Einstein once said that “in the middle of every difficulty lies opportunity.” With regard to the Central Florida Commuter Rail project, truer words perhaps were never spoken. As this year’s legislative session drew to a close, there was much debate about whether lawmakers should approve liability insurance required to operate commuter rail on an existing, active freight line. When the final gavel fell, our legislators were unable to reach agreement. Difficult? Absolutely. But in concert with our local and federal funding partners, the Florida Department of Transportation remains committed to working through these challenges to bring this critical transportation project home. Why? Because opportunity abounds.

Opinion 1: Blocking Progress On The Rails

Click title for full story. Monday, 26 May 2008 By Timothy P. MurraySpecial to the Worcester Business Journal With gasoline approaching $4 a gallon and diesel fuel already surpassing it, we need to make better use of our rail system in Massachusetts to give commuters more options and to help take trucks off the road. To that end, the Patrick-Murray administration is working on several fronts, including a statewide rail plan to help maximize usage of our rail assets. As part of our rail strategy, we are also working to conclude a major transaction with the railroad company CSX that would expand commuter rail service on the Worcester line, facilitate commuter rail service for the South Coast, and enhance freight rail service throughout the Commonwealth. This plan, which is nearly finalized, remains stalled because of CSX’s untenable demand for a no-fault liability standard on the Worcester line.

Senator Paula Dockery's Letter

Lakeland Chamber Wrap-Up – May 21, 2008 Remarks by Senator Paula Dockery Good Morning Chamber members and guests, I'm sorry I couldn't be here with you today. As a member of the Governor's Commission on Open Government, I have a responsibility to attend public hearings throughout the state, and at the present, I am in Ft. Lauderdale for a two day hearing. Government in the Sunshine is a concept I take very seriously and believe that the best policy is that which is openly discussed, questioned and debated. Public involvement is the key to good government.I'm sure by now that my colleagues have done a wonderful job of reporting to you on the highlights of the recent Legislative session including funding for the USF campus, property insurance reforms, health care changes, energy policy and the implementation of the extension of the Florida Forever land acquisition program.In my new role as Chairman of the Criminal Justice Committee, I kept busy determining which of the hundreds of bills referred to my committee that we would hear and move along in the process, and as Chairman of the Law and Justice Policy and Calendar Committee had to make tough choices about which bills would come to the floor of the Senate. I sponsored several criminal justice bills that are explained on the back of your handouts so I won't go into detail, but I thoroughly enjoyed working with the Sheriffs, the police, FDLE, the court experts and our corrections officials in hammering out the details of the Exploited Children's Rights Act, the No Contact Order Legislation, the mandatory life sentence for the murder of a police officer, and the increased penalties for lewd and lascivious molestation on a child under 12. My main focus of the Legislative Session was devoted to an issue that many of you asked me to address. Let me spend a few minutes talking about CSX and what ultimately transpired. In May 2007 when I returned from Session, I started receiving numerous phone calls, emails and visits asking me to get involved and to stop the proposal to increase freight train traffic in downtown Lakeland. Most of these early requests came from businessmen and women, followed by homeowners in the Lakeland and Winter Haven communities. As I started to look into the matter, I learned that their concerns were related to the Central Florida Commuter Rail Project. As a strong proponent of mass transit and particularly passenger rail, I couldn't understand how a commuter rail project in the four counties around Orlando could have a negative effect on us. I started asking question of the Florida Department of Transportation (FDOT) and realized that they were not interested in providing thorough answers. After I submitted a public records request for all documents related to the project, I received 27 boxes of loose paper in no particular order and got to work trying to piece together the story. As it turns out, this project is not so much a commuter rail project as it is a freight project. The information available would have you believe that the total cost of the project is $650 million of state taxpayer money, with a potential of $350 million in federal money, and $150 million commitment in local taxpayer money. However, there are many unanswered questions that could bring the price tag of this entire project to somewhere between $1.5-2 billion dollars. Very little of that cost is related to commuter rail. The constituents that I have heard from are concerned primarily with four things: 1) the increased freight through downtown Lakeland 2) the location of the proposed ILC in Winter Haven 3) the lack of a statewide integrated commuter rail plan, so that one day Polk and Hillsborough and other counties can be served 4) the secrecy surrounding the negotiations between CSX and FDOT, and lack of coordination or information provided to those areas outside the commuter rail corridor that could be receiving the brunt of the negative impacts My original intention was to try to mitigate the damages that would be caused to Ocala, Plant City, Lakeland, Auburndale, and Lake Wales, but it became clear every time I offered a suggestion of improving the project, the response was always the same – “This is a done deal.” I came to find out that FDOT had the ability to move monies around to fund all of these separate components without any legislative approval necessary. The one piece of legislation that FDOT needed to pull this entire deal together was a provision that would take the liability off of CSX and any of its subcontractors, and place that liability onto the backs of Florida taxpayers. This liability transfer had two components: 1) Indemnification of CSX and subcontractors 2) Sovereign Immunity Senator Carey Baker, Chair of the Senate Transportation Committee, sponsored a stand-alone piece of legislation transferring both of these components of liability. I serve on that committee, and Senator Baker never brought his bill forward. Midway through the legislative session, he withdrew his bill from further consideration when it became apparent that he didn’t have the votes to pass it out of his own committee. By then, numerous legislators had been made aware of the desire of DOT and the proponents from the Orlando area to see the liability proposal pass, and yet from a public policy perspective, many legislators were against that transfer. It became obvious that there would be an attempt to amend that language onto another transportation bill that had already passed out of the transportation committee and that was not referenced to the judiciary committee, where the liability language needed to be heard. Meanwhile, in conversations with proponents of the deal, primarily FDOT and CSX, and some other elected officials, the answer was still the same – “This is a done deal” – when changes were proposed. Our only hope of forcing those who negotiated this sweetheart deal for CSX to make any concessions to those areas being negatively affected was to stall implementation of the liability transfer. In the end, on the last day of session, we were able to prevent that language from being added onto any transportation bill. The sad reality is that the proponents of this deal, which was hatched in large part in secret and which did not reach out to neighboring governments, attempted the same type of stealth maneuverings through the Senate legislative process, and in the end, 27 of the 40 Senators did not allow that to happen. It is important to keep in mind that only 5 of the 40 Senators ever heard the bill in any committee, and it was never debated on the floor of the Senate. There is too much money on the table for CSX, FDOT, or certain elected officials to let the deal die, and in fact, both commuter rail and the freight improvements could go on without the liability transfer, so we did not in effect kill the commuter rail project. But CSX and FDOT are insisting on the liability transfer, so things are at a temporary standstill. This breather gives us the opportunity to have a real seat at the table for the first time and to restructure a deal that has a vision for statewide commuter rail. It gives us an opportunity to divert traffic out of city centers, and a chance to openly, in public hearings, discuss the formation of a true commuter rail system that is a win-win situation for all. We should take this time to demand some answers in an open public forum and insist on some input if the deal is to go forward. It is my hope that we will rejoin forces and bridge the gap throughout Polk County to improve the current costly plan or to find a better alternative. In the meantime, Representative Dennis Ross and I are exploring other commuter rail options that would cover the entire I-4 corridor and still be more efficient and less costly to the taxpayers, since the current proposal is primarily a freight rail subsidy. I could not have asked for a better partner than Representative Ross, who fought the good fight in the House, and nearly defeated what was said to be a “done deal,” against leadership’s influence, with a vote of 56-59. His closing argument was highly touted throughout the Capitol complex. To those of you who asked us to get involved and stood with us to the end, I thank you for your courage and unwavering moral support. There are two important lessons to be learned in this. The first is that government in the sunshine truly does produce better public policy. The second is that we should never so quickly accept the fact that something is a “done deal.”

Deadly cargo to roll on

Click title for full story. New U.S. rules not likely to improve security By David Nitkin Sun reporter May 25, 2008 WASHINGTON - Tankers filled with deadly chemicals are likely to continue to roll through Baltimore and other major cities despite new federal rules initially aimed at reducing the risk of catastrophic accidents or terrorist threats by sending much of the cargo through less-populated areas.Beginning next month, railroads must analyze alternative routes for shipping chlorine and other hazardous materials, and pick the path they find to be the safest and most secure, as well as practical and "commercially viable."But meaningful security improvements are unlikely, say safety experts and local officials. The analysis will be performed by the railroads themselves, using a model they are developing in agreement with the Bush administration and endorsed by Congress. There will be virtually no outside review, and limited input from state and local leaders or emergency responders. And any decisions on rerouting will be left to the railroads.

State Funding Of Railroad Work Spurs Investigation

Click title for link By LINDSAY PETERSON The Tampa Tribune Published: May 15, 2008 Updated: 12:11 am TAMPA - A state representative has called for an investigation into how railroad executives influenced state plans to give their companies millions for track improvements. In response to complaints from state Rep. Susan Bucher, D-West Palm Beach, the Department of Transportation's inspector general opened an investigation last month. The track improvement program provided money for several railroad projects, including the state's $649 million deal with CSX Transportation. "The whole thing smells," said Bucher, who was one of the few House members who repeatedly questioned the CSX deal during the legislative session that ended May 2. She asked for the investigation after reading Tribune stories about the state spending.

Murray blasts CSX tie-up

Click title for link to full story WORCESTER— Lt. Gov. Timothy P. Murray said yesterday that railroad company CSX Corp. is blocking the expansion of commuter rail service to the city, and he reproached CSX for neglecting the public interest. At a railroad summit at the DCU Center, Mr. Murray used harsh terms to describe the current stalemate between CSX and the state. The policies CSX is proposing, he said, are “absurd.” “Despite CSX’s apparent indifference to the public interest, we are not dissuaded in our effort to expand rail to Worcester and other parts of the state,” he told a packed conference room, including CSX representatives sitting in the front row. '

Risky Proposal For CSX

Click title for link to story Saturday, May 10, 2008 If I don't get my deal, nobody gets anything, said Senate Majority Leader Dan Webster, R-Winter Garden, in the final days of the legislative session. And he got his way, meaning that nobody got anything, meaning that South Florida got stiffed by Tallahassee again on money to run Tri-Rail. In both cases, the issue was mass transit. Sen. Webster's district and all of greater Orlando are choking on car traffic. But the deal Sen. Webster was pushing - that the state spend $650 million to buy 61 miles of CSX track for a commuter rail line - was questionable on many counts. Legislators correctly rejected the plan because it would have made the state liable for accidents even when CSX was at fault.

Looks like all the legislative keister-kissing didn't pay off on commuter rail

Looks like all the legislative keister-kissing didn't pay off on commuter rail Scott Maxwell TAKING NAMES May 7, 2008 If you look behind a state legislator, you'll often find a local politician.That's because legislative keister-kissing is a pretty much standard protocol for local-government types.Mayors and council members love to rave about how lucky we are to have the most powerful delegation in the state -- a rising speaker in Dean Cannon, a former majority leader in Andy Gardiner, a wise veteran in Dan Webster and so on.They hope the flattery will help them get a bill passed -- and maybe an endorsement down the road.But, given our supposedly mighty delegation, doesn't it seem odd that these boys got their tails whipped on commuter rail by some trial lawyers and a couple of their obstinate peers?Makes you wonder if these guys aren't really so powerful, after all.Or maybe they're just less powerful than the special interests.Or maybe, just maybe, these folks never really wanted the commuter-rail project as much as they led their puckered-up friends back home to believe.Mica says Mica's persistentOne guy who definitely has clout is U.S. Rep. John Mica.And the Little Congressman Who Could isn't about to give up on rail.The Winter Park Republican has teamed up with Jacksonville Democrat Corrine Brown to make some good old-fashioned threats.Said Mica: "I don't know if you've ever gotten on the wrong side of Mr. Mica and Ms. Brown. But I'm telling you that you don't want to go there."While Mr. Maxwell thinks it's kind of weird when folks refer to themselves in the third person, Mr. Mica may be speaking the only language his fellow pols really understand.A better deal?While we're in a transit time-out anyway, maybe rail supporters should make sure taxpayers aren't getting a raw deal.We all know rail's not cheap. No transportation project is. And delays will only up the price.But there have been legitimate questions about how much the public is paying for the project -- and, as CFO Alex Sink has stressed, about the cost of providing liability protection for CSX.Yes, mass transit makes sense. But it also makes sense to ensure that taxpayers aren't getting hosed.Hering out before in?Bob Hering may be out of the 8th Congressional District race before he was ever in.The Orlando businessman who wanted to challenge incumbent Ric Keller in the primary -- and has been campaigning heavily for months -- confirmed Tuesday that he had missed a paperwork deadline with elections officials."I'm certainly embarrassed," said the Iraq war veteran and colonel in the Marine Corps Reserve. "I never wanted to embarrass myself or my supporters in any way. I really think we had a chance to pull this off."While Hering said he should've taken the initiative to fill out the Loyalty Oath, he said he never received the form he was told to expect from elections officials and will make "a decision over what we're going to do in the next couple of days."Nice gig if you can get itSo Orlando helped departing City Commissioner Betty Wyman get a $75,000-a-year job at City Hall. And state Sen. Mike Haridopolos has his $75,000-a-year at UF. You know, with the economy tanking and so many people out of work, it's nice to know we're taking extra-good care of our "public servants."Scott Maxwell can be reached at smaxwell@orlandosentinel.com or 407-420-6141. Copyright © 2008, Orlando Sentinel

CSX facing suit over ethics

Click title for full story! CSX facing suit over ethics Among the charges are accusations of insider trading and legal lapses. By TIMOTHY J. GIBBONS, The Times-Union A hedge fund accused by Jacksonville-based CSX Corp. of violating security laws during its feud with the company has struck back with a countersuit, accusing the railroad company and its chief executive officer of a variety of legal and ethical lapses, including using insider trading to benefit its leadership. "CSX Corp. and CEO Michael Ward have committed violations of the federal securities laws through materially false and misleading disclosures," charges the lawsuit filed Friday by The Children's Investment Fund, a British hedge fund that is fighting to add members to CSX's board and change the company's direction.

Congressman threatens state over CSX deal

Click the title for the full report. Congressman threatens state over CSX deal Published Friday, May 2, 2008 at 4:07 p.m. Congressman John Mica, a Republican from central Florida, sent the following letter to lawmakers today, containing a pretty clear threat that federal lawmakers will punish the state if the Orlando commuter rail deal fails: “As the Legislature concludes its business, it is absolutely imperative that the legislature grant final approval to proceed with the Central Florida Commuter Rail project. Failure to do so will have dire consequences affecting all transportation projects and federal transportation and infrastructure revenues to the state, affecting all districts.

CSX Job Injuries Hidden, Report Says

Click title for full report link. CSX Job Injuries Hidden, Report Says By LINDSAY PETERSON The Tampa Tribune Published: May 2, 2008 Related Links Read The Report TAMPA - Bobby Lightfoot braced himself as the train engineer hit the brakes in the Polk County rail yard, but the hard stop rippled through the railroad cars to where Lightfoot stood, throwing him over a railing and onto the pavement 8 feet below. On the way to Brandon Regional Hospital later, one of Lightfoot's bosses at CSX Transportation told him what to do - to keep the company from having to report his injury to the federal government. "Don't let them give you a prescription," Lightfoot says he was told. When a nurse gave him a sling, he gave it back. Not because he didn't need it but because the sling would also trigger the reporting requirement. "If my supervisors saw me in that, they'd go into orbit," he said.