U.S. Surface Transportation Board to examine regulatory effects of price Berkshire Hathaway paid when it acquired BNSF Railway
September 28, 2011
– The Surface Transportation Board today instituted a public proceeding to examine the regulatory effects of the price Berkshire Hathaway paid when it acquired BNSF Railway last year.
In May, the Western Coal Traffic League petitioned the Board to adjust its costing system as a result of the purchase price. BNSF opposed this effort. The Board has discretionary authority to issue a declaratory order to terminate a controversy or remove uncertainty.
While this proceeding is underway, the Board will continue using the purchase price at issue in its costing and revenue adequacy calculations. If the Board later determines that different calculations are in order, it will consider any necessary recalculations or revisions at that time.
"This formal proceeding will allow stakeholders and the public to bring their perspectives to the Board," said STB Chairman Daniel R. Elliott III. "This complex issue should be examined in a transparent way, with the inclusion of as many views and voices as possible."
Today's decision in Western Coal Traffic League--Petition for Declaratory Order, Docket No. FD 35506, which includes a schedule for submitting public comments, can be found on the Board's website, www.stb.dot.gov.