SENATE RESOLUTION NO. 33

(By Senator Tomblin, Mr. President)

Urging the West Virginia congressional delegation to ascertain all pertinent facts relating to the disadvantages that could be inflicted on the coal shippers in north central West Virginia by the proposed acquisition of Conrail by CSX Corporation and the subsequent division of Conrail between CSX and Norfolk Southern.

Whereas, The merger of rail lines by CSX and Norfolk Southern may be desirable in a general sense; and
Whereas, The well-being of the West Virginia economy, especially the coal industry, has historically been dependent on a cost-effective rail system to transport coal reserves to markets throughout the world; and
Whereas, The West Virginia coal industry finds itself in a highly competitive global marketplace where the cost of rail delivery can be the deciding factor in winning and losing a coal supply contract; and
Whereas, The coal shippers in north central West Virginia that ship on the old B&O rail line, directly employing over two thousand people, directly creating a total of twelve thousand jobs, have annual sales of three hundred million dollars, and pay twelve million dollars in coal severance taxes; and
Whereas, It is anticipated that the rail line division between CSX and Norfolk Southern will clearly favor some Pittsburgh Seam coal producers in southwestern Pennsylvania by providing joint access by both CSX and Norfolk Southern, thus granting those shippers full, unfettered, low cost, direct access to customers of the north central West Virginia producers; and
Whereas, The north central West Virginia producers on the CSX/B&O line will be relegated to CSX-Norfolk Southern "two line" hauls that are more costly and time consuming; and
Whereas, This rail line division must be structured to provide a level playing field so the north central West Virginia coal fields can compete fairly with producers in western Pennsylvania; therefore, be it
Resolved by the Senate:
That the Senate urges Senator Robert C. Byrd, Senator John D. Rockefeller, IV, Representative Nick Rahall, Representative Alan Mollohan and Representative Bob Wise to contact the United States.S. Department of Transportation, the Surface Transportation Board and other appropriate federal regulatory agencies to ascertain the effect the proposed merger will have on the coal producers in north central West Virginia, and to do ensure that a level playing field is available to all coal producers; and, be it
Further Resolved, That the Clerk is hereby directed to forward a copy of this resolution to Senator Robert C. Byrd, Senator John D. Rockefeller, IV, Representative Nick Rahall, Representative Alan Mollohan, Representative Bob Wise, the Secretary of the U.S. Department of Transportation and the members of the Surface Transpoirtaattion Board.