As chemical distributors, we operate in a constantly changing legislative and regulatory environment. The beginning of a new year is a great opportunity to reflect on our top priorities and what we need to achieve our goals in the coming year.
Distributors are facing more rules, regulations, and pressures from the railroads than ever before. With the burden on small business growing significantly, now is the perfect time to share your concerns, get your voice heard, and help implement change.
What do the smartphone in your pocket, the computer on your desk, and the electric vehicle in your driveway have in common? They are all possible thanks to a technological advancement decades in the making that couldn’t have happened without chemistry: rechargeable lithium-ion batteries.
We all know that the impact Congress has on the chemical distribution industry can be far reaching. Whether they’re writing new laws, reauthorizing existing laws, or failing to act on issues important to our industry, Congress has the ability to both positively and negatively affect our industry and the choices individual companies make to remain successful. Luckily, we each have the opportunity to engage with Congress to make sure our voice is heard. There is nothing more influential that your business could do than to invite your Member of Congress to tour your facility and engage with them to discuss issues critical to your business and the chemical distribution industry.
As the school year wraps up for many across the country and we commence our summer activities, we begin the season with a somber day set aside to remember soldiers fallen in combat in America’s wars and to honor veterans who have lost comrades in America’s struggle to protect life and liberty.
Our transportation systems and infrastructure go hand-in-hand. That’s no secret. One can’t happen without the other. Unless we start to seriously prioritize both, American businesses and taxpayers will end up fronting the cost.
Since taking over as President and CEO of NACD in 2014, I have marveled at the ability of the Class I railroads to increase their fees to the shipper and receiver community at staggering rates with little or no fuss from most on Capitol Hill and the regulatory agencies. The escalating fees call into question the competitive nature of the industry and fairness when it comes to how small businesses are to work with the larger Class I railroads. Compounding matters more, consolidation of the major railroads has reduced access to rail service for most shippers and receivers to just one railroad. This dire situation for rail customers has been exacerbated by the advent and implementation of Precision Scheduled Railroading (PSR), which has created enormous delays and service issues.
Meeting face-to-face with legislators is the most effective way to get your message heard on Capitol Hill, and Fly-In participation by our members – the constituents of the legislators NACD works with throughout the year – is critical to advancing the day-to-day work NACD does here in Washington. And there’s still plenty for us to accomplish this year.
As our members recently saw, the association and its industry partners were successful in securing a short-term extension to keep the U.S. Department of Homeland Security’s Chemical Facility Anti-Terrorism Standards (CFATS) program going past January 18, 2019.
Chemical distributors depend on reliable, competitive rail service to deliver products to customers in nearly every industry sector. Unfortunately, the railroad industry is currently a near-monopoly with only four rail providers controlling 90 percent of the traffic regulated by outdated policies that hinder competition and fair service.