Demurrage Policy Changes Effective July 15, 2014
The Surface Transportation Board (STB) recently issued new rules regarding liability for demurrage charges. Demurrage is a charge assessed by railroads for the detention of railcars beyond a specified free time established in the governing demurrage tariff. The new rules take effect on July 15th, 2014.
The STB’s new rules establish that a party receiving railcars from a rail carrier will generally be responsible for any associated demurrage charges. Responsible parties may now include parties such as warehousemen, transloaders, business parks providing local switch services and other third-party service providers. Previously, only the parties owning the goods being transported (generally Shippers and Receivers) were typically responsible for demurrage. If railcars are delivered to your facility and the products being loaded or unloaded are within your ownership and control, these new rules may have no impact on your demurrage liability.
For a complete copy of the STB ruling, click here. BNSF will be updating the BNSF Demurrage Book 6004 accordingly, on or before June 25, 2014 to be effective July 15, 2014.
How We Can Help
To help with this transition for our customers, BNSF offers a number of visibility tools:
To access these tools, please contact our eBusiness team at 888-428-2673 option 4, 1 or email eBizhelp@bnsf.com. Also, check with eBusiness on the availability of training webinars to help guide you through the use of the tools.
- Rail Central-Carload Pipeline Report: Access real-time visibility of BNSF served facility pipelines. Based on the historical 45-day dwell period, the report also displays a future two week forecast.
- Customer Dwell Management Tool: View, print and/or inquire on demurrage related charges in real time. As car records cycle and end, charges are available online.
- Customer Subscription Services: Check on events such as car arrivals, car placements, bad orders, constructive placements, no-bill notifications, etc.
- Railcar Equipment Request: Create, maintain and monitor BNSF equipment requests in real time. Within the application you may also monitor how car orders are filled as they are requested, applied and placed.
- Switch & Release: Order In and/or Release equipment in real time. Through this application, you can view your current inventory, as well as access up to 90 days of transaction history,
We will be sending out reminders to our customers as the effective date approaches. In the meantime, if you have any questions, please contact your BNSF Demurrage representative at 888-428-2673 option 3, 3, 3 or email DemurrageFAQs@bnsf.com. This is an email address that has been created for questions specifically related to this STB demurrage ruling.
Your business is important to us. Thank you for choosing BNSF as your transportation service provider.