By Joanna Marsh, Freight Waves; October 2, 2019
The Surface Transportation Board (STB) has been busy lately. The Board issued two proposed rulemakings on September 30, while an August decision regarding fuel surcharges has led a coalition of shippers’ interests to ask the Board to reconsider its decision.
Railroads’ Cost of Capital
On September 30, the STB issued a notice of proposed rulemaking addressing how it determines the railroad industry’s cost of capital. It is proposing an additional model, called “Step MSDCF” into its methodology for calculating the cost of capital.