Update to 'Not Prepared for Service' Tariff from Kenny Rocker, EVP, Marketing & Sales

Announcement Number: CN2019-34
Categories: General Announcements
Posted Date: May 17, 2019

To Our Customers,

I wanted to touch base again on the Not Prepared for Service tariff (UP 6004 Item 9055) we put into effect the first of this year. Last week I sent an update clarifying we would alter the tariff to charge per occurrence, rather than a per car fee. During our conversations with customers, it's clear we need to go a step further to clarify some existing language in our Not Prepared for Service tariff.

We initially indicated that if the Not Prepared for Service charge was applied, release of the rail car(s) would not stop accrual of demurrage charges or other charges that are based on release of the rail car(s). Since the inception of the tariff on January 1, we have not and will not enforce or collect additional fees when a Not Prepared for Service charge was assigned to rail car(s).

We are listening to our customers and will formally modify the tariff to bring it into conformity with our actual practice. The following text from the tariff will be removed, effective immediately:

  • When this charge is applied, release of the car will not stop accrual of demurrage charges or other charges that are based on release of the car.

This change is being made to clarify that multiple types of tariff charges are not applied to the same rail cars for the same cause.

If you have any questions regarding the upcoming tariff changes, please contact your sales representative.

Sincerely,

Original | Kenny Rocker Signature
Kenny Rocker
Executive Vice President, Marketing & Sales