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The Transportation of Goods
Click HERE for graphic. GOODS MOVEMENT ELEMENT OF THE LONG RANGE TRANSPORTATION PLAN FOR THE GREATER ROCHESTER AREA 1995-2015 * * * * * * * * * Financial assistance for the preparation of this document was provided in part by the U.S. Department of Transportation's Federal Highway Administration and Federal Transit Administration and the New York State Department of Transportation. The Genesee Transportation Council is solely responsible for its content. August, 1995 TABLE OF CONTENTS Page Introduction 1 Purpose of Plan 2 1. Existing Conditions 2 la. Truck Service in the Rochester Area 3 lb. Rail Service in the Rochester Area 5 lc. Intermodal Service 8 ld. New Technology for Intermodal Shipments 9 le. Air Cargo Companies 12 lf. Other Express Transportation Services 13 lg. Water Transportation 13 2. Projected Future 14 3. Issues and Concerns 14 3a. Goals for the Goods Movement Element 16 3b. Objectives for Improving Goods Movement in Rochester Area 17 Objective I - Goods Movement System Management Plan 17 Objective II - Establish Additional Intermodal Terminals 19 Objective III - Support Existing Intermodal Terminals 20 Objective IV - Identify Barriers to Efficient Truck Use of Region's Highways 21 Objective V - Study Erie Canal Use for Commercial Traffic 21 Objective VI - Competitive Rail Service in Rochester 22 Objective VII - Alternate Access to RG&E Russell Power Plant 23 Conclusion 23 Genesee Transportation Council Goods Movement Plan List of Figures Page Figure 1 - Division Of Traffic Between Modes 3 Figure 2 - A Wegman's Tandem Trailer At I-90 Exit 46 4 Figure 3 - Truckloads for Rochester At A Mt. Read Blvd. Term. 4 Figure 4 - Conrail Train Passing Through Fairport, With Empty Coal Cars Returning To The Mines 5 Figure 5 - Railroads Of Western New York 7 Figure 6 - Conrail Container Train With Japanese Containers 10 Figure 7 - RoadRailer Mark IV Trailer 11 Figure 8 - Triple Crown Train On Norfolk Southern Railway 11 Figure 9 - Federal Express Cargo Plane Unloading At GRIA 12 Figure 10 - Unloading Canadian Cement At Port Of Rochester 13 Appendices: A. Intermodal Facilities Inventory B. Performance Measures C. Map of Rail Access to RG&E Russell Station D. Map of GTC Nine County Planning Region E. Goods Movement Locations Referred to in Text * * * * * * * * * Cover Photo: LIVONIA, AVON & LAKEVILLE RAILROAD train leaving Avon in December, 1987, with tank carloads of corn sweeteners to be trans-loaded to trucks at the Lakeville intermodal terminal. (Photograph used with permission of the photographer, Pete Swanson, of Avon, NY. Other photographs by the author.) * * * * * * * * * * * * For further information, please call or write H. Douglas Midkiff, Transportation Specialist, Genesee Transportation Council, 65 West Broad Street, Rochester, NY 14614, telephone (716)232-6240. Genesee Transportation Council Goods Movement Plan TRANSPORTATION OF GOODS INTRODUCTION Why plan for the movement of goods? For that matter, what are "goods"? The dictionary says they are merchandise, wares, commodities, manufactured items. So why does the Genesee Transportation Council (OTC) have a goods movement plan? The simplest answer is that the efficient and economical movement of goods and materials to, from, and within the Rochester area is vital to the health of the regional economy. Moreover, unless we maintain and improve the freight transportation network we have, it could become difficult to maintain the standard of living we enjoy. Most of us take for granted that we will find grapefruit, oranges, and melons, at our local supermarket. We are accustomed to finding fresh Atlantic seafood, Italian chestnuts, New Zealand kiwis, and other foodstuffs that are not native to western New York. We seldom think about the logistics involved in having North Carolina-made furniture at our favorite furniture outlet, or Pacific Rim computers and other electronic marvels at the Jefferson Road discount stores. Few of us know, or care, about the vital role transportation plays in having electricity available when we plug in a hair dryer, or a respirator at the hospital, or flick a switch to light a Christmas tree. These are just a few examples of the way the movement of goods affects our daily lives. There are many others. We hope this document will explain how the nation's superb freight transportation and distribution network, which includes the airlines, railroads, truck lines, and water carriers, makes these minor miracles possible. It is no easy task for a planning organization to establish and achieve goals and objectives for a goods movement long range plan, requiring, as it does, the closest cooperation between the public and private sectors. Accomplishment depends upon many factors that are outside the control of the planning agency. It will require a judicious blend of the public and private transportation infrastructure to attain the goals and objectives contained in this document. The movement of goods is a venture into a new area of transportation for most of the professional planners who will read this, hence, the detailed background information we have supplied. Traditionally, Metropolitan Planning Organizations (MPOs) have concentrated on planning infrastructure for moving people. Relatively low priority has been given to specifically planning the movement of goods, despite the fact the Genesee Transportation Council Goods Movement Plan movement of goods makes a disproportionate demand upon the infrastructure1. Highways, bridges, and roads built to move people also handle goods, but the Intermodal Surface Transportation Efficiency Act (ISTEA) now specifically requires MPOs to take goods movements into account and to plan for the multi-modal movement of goods in a manner that will make maximum use of existing transportation facilities. The goals and objectives expressed in the Goods Movement Element of the Long Range Transportation Plan have been developed with that central idea in mind. The members of the planning community, as well as the members of the public, need an understanding of the choices available to the freight traffic community and how some choices require more investment in the infrastructure than others. They need a good understanding of the logistics of moving goods in order to understand the issues and concerns of the freight traffic community and to continue the partnership that is necessary if the nation and region are to realize to goals of ISTEA. PURPOSE OF THE PLAN The purpose of the Goods Movement Element of the GTC Long Range Transportation Plan for 1995-2015 is to lay out plans for maintaining and improving the freight transportation system of the nine-county GTC region (See Map in Appendix D) in that 20-year period. As stated above, the efficient movement of goods and materials is vital to the health of the regional economy. As was recognized before the Erie Canal was built, most of the products grown and produced in the Rochester area have relatively little value until they are efficiently and economically transported to the market. The Canal is still available, but the area now depends upon a variety of transportation services, all of which are part of the national freight transportation network. 1. EXISTING CONDITIONS The Rochester region has an abundance of goods transportation services, however, the type of service and the demands put upon it differ substantially from the service requirements of earlier times. The movement to the suburbs and the increase in the number of private automobiles after World War II led to the building of a vast network of interstate highways and state and regional arterial routes, many of them parallel to the rail lines. This, in turn, has led to phenomenal growth in the inter-city 1 According to the Highway Capacity Manual, one 18-wheel truck is equivalent to three automobiles on the highways of the rolling hill country of the metropolitan area. In terms of pavement wear, an AASHTO study, that trucking interests dispute, has concluded that one truck, weighing the authorized maximum gross weight of 80,0000 pounds, can do the damage of over 5,000 automobiles. Genesee Transportation Council 2 Goods Movement Plan trucking industry. Although the railroads are usually the lower cost mode for long haul traffic, the flexibility and speed of motor carrier service, over good highways, is powerful competition. As a result, trucks now handle by far the largest volume of goods moving to, from, and within the Rochester Business Economic Area (BEA), as shown in the graph in Figure 1, which depicts the division of traffic between the various modes in 1992. Click HERE for graphic. la. Truck Service in the Rochester Area With the passage of the Motor Carrier Act of 1980, the trucking industry was partially de-regulated. Until then, entry into the business was severely restricted, with applicants having to prove it was in the public interest to start a new trucking company. Since 1980, an estimated 30,000 new trucking companies have entered the business, resulting in a national total of 45,000 companies today. The Rochester metropolitan area has its share of the new carriers, with the list of carriers too long for this document. There are many types of truck lines. There are common carriers that handle freight for all shippers, and contract carriers, whose service is usually confined to a few shippers under contract. Many shippers have found it just as practical to operate their own truck lines, hence, the growth of the private carrier industry, with many companies using small trucks, or specially designed trucks, for delivering their products or for picking up raw materials or supplies. Examples are the trucks of the breweries and beverage bottlers, trucks for handling ready-mixed concrete, and for Genesee Transportation Council 3 Goods Movement Plan milk and dairy products. Cartage companies are trucking companies that work with individual shippers, container companies, freight forwarders, and distributors. They Click HERE for graphic. Genesee Transportation Council 3 Goods Movement Plan pick up empty containers or trailers at intermodal hubs and spot them for loading, then pick up the loads and deliver them to the hubs. They sort and distribute less than truckload shipments that have been combined into solid truckloads. Many of them provide space at their terminals for parking empty trailers and containers. Rochester has a mix of all types of trucking lines. In 1992, trucks handled 71% of the inbound traffic to the Rochester BEA and 73% of the outbound traffic, totaling 14,582,000 tons, or the equivalent of 634,000 truckloads of 23 tons each. lb. Rail Service in the Rochester Area Truck competition and burdensome economic regulations led to a decline in railroad service and, in the case of many northeastern railroads, bankruptcy. However, with the passage of the Staggers Act in 1980, which substantially de-regulated the industry, the railroads have made a comeback, hauling 40% more traffic than they did during WW II, over 44% less track. They have introduced new methods of moving rail shipments and offer fast and frequent schedules between key cities, over rail roadbeds that are in the best condition they have ever been. They have sharply reduced the amount of track they operate, abandoning some, but selling even more to short line operators who often can make a profit by using non-union employees and providing a more personalized service. Click HERE for graphic. Figure 4 - Conrail train passing through Fairport, with empty coal cars returning from a power plant south of Albany, to the mines in West Virginia Genesee Transportation Council 5 Goods Movement Plan The GTC region is served by two major railroads and eight short-line rail carriers. In 1992, they handled 24% of the inbound tonnage and 11% of the outbound tonnage. This translates to 23,869 inbound carloads and 8,342 outbound, of 100 tons each. While this is less than the truck tonnage, the commodities handled by the railroads are of significant importance to the area. For example, a large portion of the rail traffic is inbound coal used by RG&E for generating electricity. It cannot be economically handled by any other transportation mode. The major Class 1 railroads2 are Conrail, the giant rail line created by special federal legislation when the Penn Central and several other northeastern railroads went bankrupt, and the Canadian Pacific Railway (CP), which uses the trackage rights of its Delaware & Hudson Railroad component over Conrail's Southern Tier Line to move through traffic between Buffalo and Binghamton. Conrail is now a privately owned railroad in sound financial condition. The CP Rail System is one of two major railroads serving Canada, with thousands of miles of track from the Atlantic to the Pacific. It owns several lines extending from border crossings to the interior of the United States. In the GTC region, Conrail is primarily an east-west line that uses the famous New York Central Water Level Route between New York City and Buffalo. This major trunk line has 40-50 trains daily passing through the city, including many intermodal trains. At least ten of them pick up and deliver freight at the Goodman Street Yards, but no intermodal traffic is handled in Rochester. ( See Map in Appendix E) The short-line carriers are the Arcade & Attica (ARA), the Dansville & Mount Morris (DMM), the Finger Lakes Railroad (FLR), Genesee & Wyoming Railroad (GNWR), the Livonia, Avon and Lakeville Railroad (LAL), the Ontario Central (ONCT), the Ontario Midland (OMID), and the Rochester and Southern Railroad (RSR). The principal business of the ARA is handling agricultural products between Arcade and North Java. The DMM handles heavy and oversized shipments of pressure vessels that are not practical to ship over the highways, for Foster-Wheeler Energy Corporation of Dansville. The FLR is a new short-line that has bought the so-called Geneva Cluster of lines from Conrail, which serve Canandaigua, Shortsville, Waterloo, Geneva, Watkins Glen, Penn Yan, Auburn, Seneca Falls, and other points on the former Conrail Auburn Line. 2 A Class 1 carrier is defined by the Interstate Commerce Commission as one that has annual income of $251 million or more. The revenue threshold for Class 2 carriers is between $250 million and $20 million. Class 3 carriers, which includes most short-lines, have annual income of less than $20 million. Genesee Transportation Council 6 Goods Movement Plan Click HERE for graphic. Genesee Transportation Council 7 Goods Movement Plan The GNWR's primary business is the movement of salt from the Akzo Nobel mines in Livingston County. The ONCT provides rail service to shippers in the Shortsville Farmington area and in Victor. The OMID serves the fruit and vegetable processors in Wayne County and the Xerox plant in Webster. The Livonia, Avon, and Lakeville Railroad is an important short-line railroad in the area. It operates between Lakeville and Avon, where the line connects with the Conrail branch line to Henrietta and a connection with Conrail's West Shore Line. The LAL has a large break bulk intermodal terminal in Lakeville. Rail carloads of bulk products, such as corn sweeteners, plastic granules, and fertilizer chemicals, are to bulk trucks for delivery to local plants and wineries. Outbound shipments consist of carloads of locally produced products, such as locally grown grain, logs for paper mill feedstock, and a variety of other agricultural commodities that are brought in by truck and trans-loaded to rail cars, The RSR is the only short-line serving the city directly. It has a yard in Rochester from which it serves several companies, including Kodak and General Motors plants (See Map in Appendix E). It connects with Conrail in Rochester and with the Conrail Southern Tier line at Silver Springs, 50 miles southwest of the city. It also has a connection at Silver Springs with the CP. RSR has haulage rights over the Conrail/CP tracks between Silver Springs and Buffalo for a connection with its sister railroad, Buffalo & Pittsburgh (B&P), making a through route to connections with other railroads in Pennsylvania. lc. Intermodal Service Intermodal service is defined as the integration of two or more modes of transportation. It includes the transfer of goods and cargo in bulk, in packages, or in containers, including truck trailers, from one mode to another. The principal intermodal transfers in the region are between trucks and the railroads. Surveys by GTC reveal approximately 50,000 intermodal trailers and containers are shipped and received in the Rochester region each year. This is less than 10% of the estimated 634,000 truckloads shipped to, from, and within the Rochester BEA. However, on a national level, the volume of rail intermodal traffic is impressive, with over 8,000,000 intermodal units handled by the railroads in 1994. Most of the major railroads run trains that handle intermodal traffic exclusively between key cities, offering truck competitive schedules. Until 1992, Conrail had an intermodal terminal in Rochester and the trains stopped to pick up and deliver intermodal shipments and containers. Despite protests from local shippers, Conrail removed the facilities, offering the Rochester intermodal users the choice of hauling their loads over the highway approximately 90 miles to an enlarged intermodal facility Genesee Transportation Council 8 Goods Movement Plan at Conrail's Dewitt Yard at Syracuse, or taking them 60 miles to the Norfolk Southern facility in Buffalo. For some shippers, the distance can be even greater. The trimmed-down railroads have left many plants in the region miles from the nearest railroad The trimmed-down railroads have left many plants in the region miles from the nearest railroad. While they have the transportation option of using commercial or privately-owned trucks, they no longer have the option of conventional rail service. Truck-rail intermodal service is an option, but because of the distance of many shippers from intermodal facilities, the economic advantages of using intermodal service are not as great. In short, many find it difficult to use transportation modes that are "economically efficient and environmentally sound", an objective of the ISTEA legislation. ld. New Technology for Intermodal Shipment New technology for handling intermodal traffic has been developed in recent years. One is the use of containers on ocean-going vessels. Some years ago steamship lines tried moving truck trailers, with the wheels removed, on their vessels. This eliminated handling the freight over the docks, thereby reducing pilferage and longshoreman labor. The method caught on Truck trailers were soon replaced with specially designed waterproof containers that range in length from 45 to 53 feet, which can be equipped with rubber-tired wheels at the dock or at the intermodal transfer point. Fast ships designed to handle containers exclusively now operate between ports all around the world. From the ports, import shipments in containers are dispatched directly to consignees via over-the-highway cartage or trucking companies, or are loaded on rail flatcars, often double-stacked, and moved in dedicated rail service to the intermodal hub nearest their final destination for distribution over the highways to the customers. The situation is reversed for export shipments. It soon became apparent that containers would-also work for domestic shipments. Many container owners now employ third-party brokers and agents to solicit loads for containers, at discount prices, that would otherwise move empty to the origin ports. Use of containers for domestic shipments is increasing rapidly, with both foreign and domestic containers showing up at loading docks throughout the country. Genesee Transportation Council 9 Goods Movement Plan Another variation on traditional intermodal service that employs new technology is provided by RoadRailers, or RoadRailer-type, trailers. These are truck trailers that are equipped with rubber tires for operation over the highways, but are also equipped, or can be equipped, with steel wheels for movement on railroad tracks. They do not require loading on flatcars, but are coupled together for movement in special trains. Tests have shown as many as 120 can be coupled together and pulled by one locomotive with a crew of two. The slackless coupling of RoadRailer trailers all but eliminates the stress caused by starting and stopping a long train, removing the need for heavy weight construction, so the RoadRailers are only slightly heavier than comparable highway trailers. When compared to trailers and containers loaded on flat cars, the light weight and lower drag of RoadRailers provide exceptional performance. Tests have shown fuel economy approaches 26 trailer miles per gallon as compared to 8 trailer miles per gallon for an over-the-highway truck. The stability and air suspension provide a very smooth ride, meaning the cargo will need less bracing Cans of water have remained full on test trips from Detroit to St. Louis. RoadRailers can operate at much higher speeds than those of conventional rail freight equipment, limited primarily by the locomotive power wheel track dynamics, and train scheduling. Click HERE for graphic. Figure 6 - Conrail container train, with Japanese containers, crossing Main Street in Fairport The RoadRailer concept has the potential to greatly expand the movement of time sensitive goods by rail. Triple Crown Services, a subsidiary of Conrail and Norfolk Southern Corporation, operates an extensive RoadRailer operation. It has announced plans to purchase an additional 1,700 Mark V RoadRailers to add to the existing fleet of 3,300 nationwide. Genesee Transportation Council 10 Goods Movement Plan Click HERE for graphic. in May, 1994, that it will purchase 500 RoadRailers. Nine major truck lines have also announced that they will form a cooperative that could acquire up to 5,000 RoadRailers by the end of 1995. Genesee Transportation Council 11 Goods Movement Plan The truckload carriers have stated that they look upon themselves as "shippers" as far as railroads are concerned. The RoadRailers will give the truckers the option of using the new equipment over the highways in the conventional manner, or when circumstances permit, using the lower cost rail mode. Triple Crown opened a RoadRailer terminal in Rochester in November, 1994, on the north side of Conrail's Goodman Street Yard, and offers service between Rochester and points in the midwest and central south. (See Map in Appendix E) le. Air Cargo Companies The Greater Rochester International Airport (GRIA) is the major air hub in the region with service by 13 airlines, large and small. Not all of them offer air cargo service, but, because of the many high-tech companies in the area, there is an abundance of air cargo service. Airborne Express, Burlington Air Express, DHL, Emery Worldwide, and Federal Express, operate their cargo-only airplanes in and out of the GRIA, where each has an air cargo terminal. UPS flies in and out of Buffalo. The regular passenger airlines-also provide air cargo service and transportation for the U.S. Postal Service. Click HERE for graphic. Figure 9 - Federal Express cargo plane unloading at Greater Rochester International Airport The old terminal has been substantially rebuilt and enlarged and has excess capacity at the present time. Studies will be made of the access to the privately-owned air Genesee Transportation Council 12 Goods Movement Plan cargo terminals at GRIA to determine if any improvements to the infrastructure are needed. lf. Other Express Transportation Services Rochester has ample service from express companies that provide expedited service for small packages, generally limited to 70 pounds. Delivery can be overnight or in from two to five days, depending upon the needs of the shipper. Examples of these canters are United Parcel Service (UPS), Roadway Package Systems, AMTRAK, and several of the bus companies. The U. S. Postal Service also offers an express package service. lg. Water Transportation The Erie Canal is still available for commercial water transportation, but is seldom used for that purpose. The New York State Thruway Authority, which now has responsibility for operation of the Canal, is seeking to increase its use for commercial service. The only major goods movement by water today in the Rochester Transportation Management Area (TMA) is via the Port of Rochester at the mouth of the Genesee River. Inbound shipments of cement, shipped in bulk by lake boat from Picton, Ontario, are trans-loaded to bulk trucks for distribution over a wide area of the state. Click HERE for graphic. Figure 10 - Unloading Canadian cement at the Port of Rochester Genesee Transportation Conncil 13 Goods Movement Plan Because Rochester is a large exporting city, several steamship companies maintain container pools here, but the containers move to the ports by truck. Third-party brokers solicit business and regional sales and service representatives are located here. Rochester is also the home of several freight forwarders, which are transportation companies that accumulate shipments from several shippers in order to get volume discounts from the carriers. 2. PROJECTED FUTURE The purpose of ISTEA is contained in the following policy statement: "It is the policy of the United States to develop a National Intermodal Transportation System that is economically efficient and environmentally sound, provides the foundation for the Nation to compete in the global economy, and will move people and goods in an energy efficient manner." The message of the legislation is clear and simple. It is saying that, with the national highway system essentially complete, we will no longer need to emphasize the building of new highways or the extensive widening of existing ones to accommodate the ever increasing volume of roadway traffic. ISTEA stresses that the states and local governments must manage the transportation infrastructure they already have, investing the money where it will best accomplish the region's goals for moving goods and people and building new capacity only when additional capacity is determined to be the best option, after all alternatives have been examined. 3. ISSUES AND CONCERNS While the Rochester metropolitan area is well-situated for goods transportation service, with transportation modes of all types tied into the national freight transportation network, there are issues related to the provision of competitive rail service, convenient access to intermodal facilities, and sufficient capacity for the growing volume of goods movement, which could get worse by 2015 if not properly addressed. The number of trucks moving to, from, and within the GTC region is expected to increase from 634,000 in 1992, to approximately 1 million by 2015. While a lot of this traffic is local, a substantial portion is inter-regional traffic that will travel over the federal and state highways. The projected increase in truck traffic will put a disproportionate demand upon the transportation infrastructure in terms of pavement wear and congestion. Increased use of intermodal service would obviously slow the demand upon the infrastructure. Consequently, the objectives of the Goods Movement Element have been developed with that central idea in mind. It will require extremely close cooperation between the privately-owned railroads, shippers, and the planning organizations to increase the use of rail intermodal as an Genesee Transportation Council 14 Goods Movement Plan Click HERE for graphic. Genesee Transportation Council Goods Movement Plan Click HERE for graphic. Genesee Transportation Council Goods Movement Plan Click HERE for graphic. Genesee Transportation Council Goods Movement Plan alternative to over-the-highway service. As has been previously noted, during the 1980s, most of the major rail carriers took advantage of the liberal provisions of the Staggers Act to down-size their capacity, eliminating what they considered to be redundant lines. Putting their faith in new dispatching and operating technology, many railroads, including Conrail, felt it was no longer necessary to maintain multiple track capacity to get the trains over the line and reduced four and three-track lines to two tracks. Many have gone a step further and reduced double track lines to single track lines, such as on the Conrail Southern Tier Line between Buffalo and the New York-New Jersey area. However, while they have been down-sizing, the volume of traffic has been exceeding predictions, with an increase of 8.5% for all types of rail traffic during 1994. Intermodal traffic has been increasing at an even faster rate with a 14% increase nationwide and a 21% increase on Conrail. This is taxing the capacity of the railroads on key truck competitive routes and, in some cases, they are beginning to be selective in the type of intermodal traffic they will handle. Conrail business is so good, there is much competition for time slots on the New York-Buffalo-Chicago route. RoadRailer service, with 50-75 trailer units, ranks behind the 150-car/300-container double stack container trains from a revenue standpoint. Thus, service provided by the new Triple Crown RoadRailer operation in Rochester is threatened and it is not likely Conrail will be receptive to opening additional RoadRailer terminals on high density lines. The need to provide truck competitive schedules required the elimination of many intermediate stops, which led to the closing of the Conrail conventional intermodal terminal in Rochester in 1992, forcing local shippers to use the terminal in Syracuse. In August, 1994, the railroad announced it would no longer handle shipments to destinations less than 500 miles from Syracuse. Conrail is simply not interested in investing private funds to put the region's shippers within economical range of intermodal terminals unless there is a clear demand for intermodal service that will provide a balanced and profitable operation. Thus, of major concern to GTC is the question of how to blend public and privately-owned infrastructure into a regional intermodal system that is part of a multi-modal national transportation system. "an opportunity for . . . carriers and the shippers and receivers in the freight traffic community to become partners in the planning process" ISTEA and its requirement for public participation provide an opportunity for the public and private sectors, as represented by the railroads, truck lines, and other Genesee Transportation Council 15 Goods Movement Plan carriers, and the shippers and receivers in the freight traffic community to become partners in the planning process for goods movements and to work together to use the existing infrastructure with maximum efficiency. It is through this process that GTC hopes to accomplish its objectives. 3a Goals for the Goods Movement Element The knowledge of the problems and approaches to solving them are due, in a large part, to the assessment and analysis, in the fall of 1993, of the goods movements and operations within the Rochester TMA, with emphasis on the movement of goods in intermodal transportation. In the course of the program, new channels of communication were opened with key players in the freight traffic community, providing information that forms the basis for the goals and objectives in this report. Through responses to questionnaires, round table discussions, one-on-one meetings with shipper and carrier representatives, and various other sources, GTC has learned that there are issues and concerns that need addressing if the region is to realize the full potential of the ISTEA goals. In line with the policy statement of ISTEA, GTC has established goals and objectives that will make the best use of the existing transportation infrastructure. The goals for Goods Movement Element are: . to establish a monitoring and reporting system to provide effective oversight of the GTC region's goods transportation system. . to establish additional intermodal terminals within the GTC region in order to take advantage of new technology in intermodal transportation and to put the region's shippers within economical range of the terminals. . to provide continuing support to existing intermodal facilities by maintaining access to them and by providing supporting infrastructure when it can be logically justified. . to determine the patterns of highway usage by the truck lines in the Rochester TMA and develop strategies for correcting barriers to efficient use of the system. . to work with the New York State Thruway Authority to establish facilities that will encourage increased use of the Erie Canal for commercial transportation. . to restore competitive rail service in Rochester. Genesee Transportation Council 16 Goods Movement Plan Accomplishment of these goals will give more shippers the option of using energy efficient and environmentally sound modes of transportation, remove barriers to the use of intermodal transportation, and offer opportunities for reducing transportation costs so that the region's shippers can compete more effectively in the global economy. Use of intermodal service can also lead to the slowing of the projected increase in truck traffic by the year 2015, which will in turn reduce the demand upon and wear of the highway infrastructure. 3b. Objectives for Improving Goods Movement in the Rochester Metropolitan Area Using information gathered from personal observations and experience, plus information obtained from the freight traffic community, seven short and long range objectives have been established that, if accomplished, will further the goals identified above. The objectives are as follows: Objective I - Establish a Goods Movement System Management Plan To provide effective management of the region's goods movement transportation system, an on-going and dynamic Goods Movement System Management Plan is being developed using guidelines established in an ISTEA federal rule-making procedure. It will be used in the years ahead to provide an effective means of monitoring and improving the Rochester region's intermodal and goods movement system. Features of the plan are as follows: . Identification of Intermodal and Goods Movement Facilities GTC has developed a base line inventory of intermodal facilities and of facilities that support goods transportation, as listed in Appendix A. In addition to the actual air, truck, rail, and water intermodal hubs, the list includes elements of the freight transportation network that connect the intermodal facilities to the rest of the network and to the shippers and receivers. . Identification of Performance Measures Using information supplied by the consumers, parameters have been identified for measuring the performance of single mode and intermodal goods transportation for comparison of the services available by the respective modes. A list of performance measures shippers and carriers may consider are attached as Appendix B. In addition, GTC will develop basic cost data, such as cost per ton/mile, and transit time between Rochester, Syracuse, Buffalo, and key destinations, for use in making comparisons between the modes and for use in tracking performance over time. Genesee Transportation Council 17 Goods Movement Plan . Data Collection and System Monitoring In order to properly monitor the system, GTC will establish base line operating characteristics of the intermodal hubs and supporting facilities, developing as much information as possible on the strengths and weaknesses of each, e.g., the distance from point of loading to the intermodal hub, access streets, clearance problems, etc., to see if improvements in the system can, or should be, included in the Transportation Improvement Program (TIP). GTC has organized a standing Shipper/Carrier Advisory Committee to assist in system monitoring. This process will be on-going. . System and Facility Efficiency Evaluation The efficiency of the system and facilities will ultimately be reflected in the reaction of the shippers and, to a lesser degree, the reaction of the intermodal service providers. If the infrastructure used in goods transportation services, whether publicly or privately owned, creates problems or inefficiency, the problems will first be noticed by the providers and through them, will surface as problems for the shippers and as barriers to intermodal usage. In addition to periodic checks by GTC and its agreed-upon performance standards, the system will be monitored by GTC through the Shipper/Carrier advisory Committee, as described in the System Monitoring component above. . Strategy and Action Identification and Evaluation When deficiencies in the system are identified, or improvements are needed, it will be determined if a remedy is possible under the provisions of ISTEA, or other public source. If so, GTC and the Committee will develop short term and long term strategies for improving the intermodal transportation and goods movement system in an on-going process. . Implementation GTC, in collaboration with the Shipper/Carrier Advisory Committee, will, when appropriate, recommend inclusion in the area Transportation Improvement Program(TIP) the actions for eliminating the deficiencies or for improving the system. There may be other strategies that could be developed outside the parameters of ISTEA, or the TIP, such as supporting the private sector in establishing intermodal options and choices by coordinating the efforts of the parties involved. This would be done on a case by case basis, to remedy needs that became apparent during the base line survey, or as they become apparent through the System Monitoring process. Genesee Transportation Council 18 Goods Movement Plan Objective II - Establishment of Additional Intermodal Terminals As previously noted, one area of concern is the projected increase in the number of trucks moving over the region's highways. According to Reebie Associates TRANSEARCH Data, truckload traffic to, from, and within the Rochester BEA will increase at the rate of about 2.7 percent per year, from approximately 634,000 truckloads in 1992 to over 1,000,000 by 2015. Given the disproportionate impact heavy trucks have on the infrastructures3, will the existing highways be able to handle the increase without substantial expenditures for additional highway capacity and accelerated reconstruction cycles? Despite the increase in rail business, some rail lines have excess capacity and are able to offer truck competitive intermodal service. Increased use of rail intermodal service would be a step in the direction of reversing the trend of ever increasing truck traffic over the highways. Thus, GTC has adopted objectives that, if accomplished, will make it easier for shippers, regardless of location, to use intermodal transportation and which will allow shippers, now located miles from a railroad, the option of using lower cost rail transportation. IIa. New Intermodal Terminals - The use of RoadRailers for rail intermodal transportation will increase substantially by the year 2015. For this reason, more shippers in the region should have the option of using RoadRailer service. GTC is working with the and the CP to establish an intermodal terminal in Rochester that would handle RoadRailers and conventional intermodal equipment if surveys reveal there is enough shipper interest to support it. GTC has had meetings with CP and RSR to discuss the operating parameters for a new terminal on the RSR, for RoadRailer and conventional trailers or containers. If an intermodal terminal is built on the RSR in Rochester, the RSR would provide dedicated intermodal service to Silver Springs, for connection with CP intermodal trains operating between the Buffalo/Niagara frontier and points in the Middle Atlantic States and points in the Southeast, as well as the ports of New York and Philadelphia, thereby filling a gap in the available intermodal service in the area. Another objective is the location of a second intermodal terminal on the Conrail/CP Southern Tier Line, at Hornell or Gang Mills, provided there is sufficient shipper interest. A terminal in either location would reduce the highway distance for shippers located in the southern end of the region. Surveys will be conducted to determine the level of shipper interest. 3 Traffic counts that show approximately 5% of the vehicles moving over federal-aid highways in the Rochester TMA are heavy trucks, meaning over 80% of the weight on the pavement of these highways comes from heavy truck traffic. (See Footnote 1) Genesee Transportation Council 19 Goods Movement Plan IIb. Re-opening the Conrail Intermodal Terminal in Rochester - According to information received from shippers and cartage companies in Rochester, the loss of the Conrail intermodal terminal in Rochester in 1992 has created barriers to intermodal usage by some Rochester area shippers. Shippers now desiring to use Conrail intermodal services must deliver the shipments to Conrail at Syracuse, or use the Norfolk Southern facility in Buffalo. If there is sufficient shipper support and intermodal traffic to justify it, GTC will organize a joint shipper/carrier effort to encourage the re-opening of the Conrail intermodal facility for conventional trailers and containers in the city. Objective III - Provide Continuing Support for Existing lntermodal Terminals To encourage the movement of goods in intermodal transportation in the region, GTC, through its Intermodal Management System Plan, will support access to and from existing intermodal terminals. This includes truck/rail, truck/air, and truck or rail/water terminals. Using the newly established channels of communication with the freight traffic community, GTC will monitor the efficiency of the links and make recommendations for any improvements that are needed. IIIa Support the New RoadRailer Terminal in Rochester - Triple Crown Services has opened a new RoadRailer terminal on the north side of Conrail's Goodman Street Yard in Rochester. GTC is working with Triple Crown management to determine which routes to and from the new Rochester terminal are free of clearance restrictions and which intersections need improvement in the turn radii in order to handle trailers fifty-three feet long GTC will monitor the level of traffic and will recommend improvements in the infrastructure should problems arise with access to the site. IIIb. New Parking Area for Intermodal Trailers and Containers - While some shippers and cartage companies have expressed an interest, it will be necessary to conduct a broader survey to determine the need for a, strategically located parking area for truck trailers and containers. By "strategically located", GTC means a location that is reasonably close to interstate highways and to major intermodal shippers and cartage companies, yet reasonably close to the intermodal hub at the rail yards. Such a parking area would offer a secure, fenced location for storing empties and loads and, if possible, would have amenities for the users, such as public telephones, restrooms, and office space for the necessary paperwork. IIIc. Intermodal Break Bulk Terminal in Lakeville - Another existing area intermodal facility that offers shippers and receivers in the region an opportunity to reduce transportation costs and enjoy just-in-time deliveries is the LAL Railroad break bulk intermodal terminal in Lakeville. As previously Genesee Transportation Council 20 Goods Movement Plan noted, LAL has established facilities for serving several companies that transload bulk shipments between rail cars and trucks for pick up and delivery at plants in the region. Reducing the length of trip by truck through trans-loading and confining the truck portion to relatively short distances for pick ups and deliveries, reduces the line-haul unit costs and allows shippers of products in bulk, who do not have rail sidings or who are located miles from the railroad, to take advantage of the inherent economic advantages of rail transportation. Moreover, because inventories of the products are maintained in Lakeville in bulk rail cars, customers in the region are able to reduce their inventories by utilizing "just-intime" deliveries. Many firms in the region currently are served through the LAL facility. LAL has expansion plans on the drawing board. An important part of its plan is the acquisition of the Conrail secondary line from Henrietta to Avon, where it connects with the LAL. This line, while in poor condition, would allow LAL to pick up additional customers and would assure them a direct connection with Conrail's West Shore Line. Negotiations with Conrail are in progress. With support from GTC, LAL has secured grants from the Federal Railroad Administration and NYSDOT to upgrade the track. GTC support is in keeping with the ISTEA goals and the GTC policy of fostering economic development. Objective IV - Identify Barriers to Efficient Truck Use of Streets and Highways and Develop Strategies for Correction. Using currently available information on truck usage of the region's streets and highways, GTC will determine barriers to their most efficient use for goods movement, such as low clearances, bridge weight restrictions, restrictive turn radii, grade crossing protection, and gross weight and length limitations, and in concert with the appropriate agencies and the private sector, develop strategies for correction of the barriers. Objective V - Establish a Joint Program with the New York State Thruway Authority to Study Benefits of Using the Erie Canal for Commercial Traffic. In a joint effort with the New York State Thruway Authority, GTC will determine if there are volume movements to or from the region that can be economically transported via the Erie Canal. Products that often move by water are fuel oil, gasoline, asphalt, cement, grain, and fertilizer chemicals. Genesee Transportation Council 21 Goods Movement Plan Objective VI - Re introduction of Competitive Rail Service in Rochester Another area of concern is the loss of competitive rail service in Rochester. Prior to 1984, Rochester was served by two Class 1 railroads, Conrail and the CSX System, formerly the B&O. In 1984, negotiations began between the CSX and the Genesee & Wyoming Industries for sale of the Rochester Branch of CSX, running from Ashford Junction, near Salamanca, to Rochester. This was accomplished in 1987 and the Rochester & Southern (RSR) was created to operate between the two points. The new short-line started off with a core revenue base of coal for Kodak from mines in Pennsylvania and West Virginia and chemicals and plastics moving between Kodak's Chemicals Division plant in Tennessee and Rochester, but with the track in poor condition, trains were restricted to 10 MPH. Because of the short RSR haul from Ashford Junction to Rochester, the per car division of the revenue for RSR was marginal, leaving little room to maneuver when Conrail offered Kodak lower freight rates. RSR lost the Kodak coal business to Conrail. In addition, promised state aid to upgrade the track was late in coming The combination of these factors led to the abandonment of the RSR line between Silver Springs and Machias and the railroad no longer provides a direct route to the coal fields, although it can and does handle some coal to Rochester in connection with its sister railroad, the Buffalo & Pittsburgh, and by way of haulage rights over Conrail via a route through Buffalo. Rochester consumers of large volumes of coal, such as RG&E, are, for all practical purposes, "captive" customers of Conrail. This is especially true of RG&E. At present, RSR is unable to compete for the RG&E coal business because both RG&E plants are located on Conrail tracks and Conrail assesses a high switching charge per car for switching the cars from RSR tracks for final delivery to RG&E. Because of the minimal per car revenue, RSR cannot pay the switching charge and make a profit. Shippers no longer have easy access to the Interstate Commerce Commission to claim rates are too high since the Staggers Act became law with its premise that competition would be the regulator. While there is no evidence of Conrail taking advantage of its position, there is the potential for this becoming an issue in the future. In line with the ISTEA policy of offering shippers opportunities to use transportation modes that are "economically efficient" and allow them to better "compete in the global economy", as well as to support the GTC policy of fostering the economic development of the Rochester area, GTC has established a goal of securing competitive rail service for Rochester. It has adopted an objective of coordinating a plan that would bring together key players to encourage cooperation between the CP, a Class 1 carrier, and the RSR. This could provide a single line route to the Middle Genesee Transportation Council 22 Goods Movement Plan Atlantic and Southeastern states, via Northern Virginia Gateways, for conventional and intermodal traffic via RSR and CP. More importantly, it would offer Rochester area coal users competitive access to coal mines on the Norfolk Southern Railway in Virginia and West Virginia for movement via the Buffalo gateway. Objective VII - Alternate Access to the RG&E Russell Station A related objective is to work out an alternate means of rail access to the Russell Station of RG&E in Greece. The generating plant at present is served exclusively by Conrail by way of a secondary track running from a connection with the main line in Lincoln Park up the west bank of the Genesee to Charlotte, then west over Conrail tracks under Lake Avenue and over Greenleaf Road to the storage yards at the plant site. A map of the area can be found in Appendix C. The city of Rochester has plans for expansion of the waterfront in Charlotte, including possible restoration of the old NYC Railroad station, but access to the waterfront and station is blocked by the Conrail tracks. The city would like to see the tracks moved. The RSR tracks run parallel to the Conrail secondary to Charlotte for some distance and are close enough for a physical connection in several places, especially north of Ridge Road. However, the RSR tracks end at Stonewood Avenue, some three miles short of Russell Station. There is an abandoned B&O right-of-way, now owned by CSX, the successor to the B&O, to a rail bridge that crosses the Ontario Parkway. The bridge is owned by New York State DOT or Parks & Recreation and may need repair. The balance of the right-of-way to the Conrail lead tracks to RG&E is owned by the Greenleaf Meadows Apartments. Building a delivery track over this abandoned ROW could give RSR switching access to the plant and provide RG&E with a competitive source of coal, but just as important, it could provide a means of delivering Conrail coal that would eliminate the need for Conrail to maintain its riverside trackage, thereby allowing the City to proceed with its plans for developing the waterfront. CONCLUSION As was stated in the introduction, it will not be easy to achieve the goals and objectives in this plan. It will require the closest cooperation between the public and private sectors, for accomplishment depends upon many factors beyond the control of the public sector. We are hopeful the new channels of communication that are opened with the freight traffic community will establish a partnership that will allow us to correct existing problems, as well as learn of new problems as they surface, and that, by working together, we can solve them to the benefit of all. Genesee Transportation Council 23 Goods Movement Plan To achieve the goals, GTC staff will take an active role by serving as a catalyst to bring the parties together in a forum for discussion and for development of strategies for implementation. It is hoped we can create a blend of public and private transportation infrastructure for a transportation system that will allow the shippers of the region and the nation to move their goods in a manner that is economically and energy efficient, as well as environmentally sound, and in a manner that will provide the foundation for them to compete in the global economy. Genesee Transportation Council 24 Goods Movement Plan APPENDICES APPENDIX A Preliminary Inventor of Intermodal Facilities August 16, 1995 Some intermodal facilities, or facilities that support intermodal service, in the GTC Region, that should be considered for linking to the National Highway System and ultimately to the National Transportation system. The specific firms and locations can be provided as needed. * Conrail's Goodman Street Yard * Conrail's Storage and Delivery tracks to Kodak Park and the Kodak distribution Center * Conrail’s Intermodal Yard in Syracuse and Norfolk Southern's Terminal in Buflalo * Rail and truck facilities in Avon, Batavia, Canandaigua, Lyons, Newark, Macedon, Palmyra, Shortville, and Victor * Asphalt Terminal on Conrail's West Shore Line at Monroe Avenue in Pittsford * Rochester & Southern's Brooks Avenue Yard * Rochester & Southern's Storage & Delivery tracks to Kodak Park and Kodak Distribution Center * Rochester & Southern's Storage track at GM plants * Numerous inter-city truck terminals * Cartage company truck terminals * Livonia, Avon, and Lakeville intermodal facilities in Lakeville * Ontario Midland's rail facilities in Monroe & Wayne counties, including the facilities serving Xerox and the fruit and vegetable companies. * Ontario Central's rail facilities in Ontario County * All airports in the planning region, public and private, that handle passengers and air cargo. * Rochester Port at mouth of Genesee River (ESSROC Terminal) * Air cargo facilities at the Greater Rochester International Airport * Any sand and gravel trans-loading facilities * Marines in Rochester, Fairport, Pittsford, Spencerport, Brockport, and others in the region, such as at Palmyra, Geneva, Macedon, etc. * Triple Crown Terminal at Conrails Goodman Street Yard. * Private air cargo terminals at GRIA, e.g., Airborne, Emery, DHL, and Federal Express. APPENDIX B Below are some performance measures a typical consumer (shipper) may consider a. Price (total cost dock to dock) b. Transit time c. Reliability of schedules d. Availability of equipment e. Cubical capacity of equipment f. Flexibility in obtaining equipment g. Condition of equipment, i.e. cleanliness, no protruding nails etc. h. Loss and damage ratio i. Ease of obtaining information on service availability and parameters j. Availability of electronic data interchange k. Responsiveness of customer service department l. Flexibility of pricing i.e. willingness to meet competitive prices and receptiveness to rate negotiations m. Security of shipment in transit (Susceptibility to theft, vandalism, etc.) Below are some performance measures that a cartage company or an inter-city truck line may consider a. Clearances on the route to and from an intermodal hub, terminal, or a shipper's dock (13'6. desirable) b. Bridge and highway weight restrictions c. Turning radii for trailers up to 53' in length d. Availability of secure parking for trailers e. Amenities for drivers, e.g., restrooms, public telephones, office space for required paperwork f. Cooperation of rail intermodal employees in making a reasonably quick interchange g. Condition of pavement on access roads h. Snow removal in appropriate areas i. Restrictions on tandem trailers j. Extra cost of above barriers