A Potential Shift Toward Case-by-Case Competitive Access in Rail Freight as Surface Transportation Board Unanimously Proposes Repeal of Part 1144

The Surface Transportation Board (“STB”) has issued a unanimous proposal to repeal 49 C.F.R. Part 1144, a regulation first adopted in 1985 that governs when the STB may prescribe reciprocal switching, through routes, and through rates. The STB cites significant changes in the statutory framework, rail industry structure, and stakeholder views as justification for the repeal.

This Notice of Proposed Rulemaking (“NPRM”) would eliminate the need for shippers to demonstrate “anticompetitive conduct” in order to obtain competitive access relief and would restore the STB’s discretion to rule on such petitions in a case-by-case manner. The STB emphasized that “the NPRM would remove regulatory barriers that limit options for American businesses critical to our economy, including both shippers, such as manufacturers, utilities, and agricultural companies, and railroads seeking to innovate and compete,” and that competitive access disputes are not best resolved with a one-size-fits all approach. This proposal also reflects a broader federal effort to reduce regulations that are viewed as “unnecessarily anticompetitive.”

Shipping groups, like the National Industrial Transportation League and American Chemistry Council, have had a positive response to the proposal finding it a step toward addressing competitive failures in a highly consolidated industry. At the same time, some have cautioned that repeal alone will not create meaningful relief without clear standards and effective enforcement. Overall, the proposal signals a potentially significant shift in how the STB will approach competitive access and inter-carrier cooperation moving forward.

Comments on the NPRM are due by March 10, 2026. Reply comments are due by April 24, 2026.