The Ties That Bind a Nation: Union Pacific
Ivan Jaime, Director – Border Policy & Community Affairs
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Presentation Overview
• Brief History of Union Pacific
• System, State & Local Operations Overview
• Freight Rail Benefits & Local Involvement
• Quiet Zones
• Derailment & Public Safety
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Disclaimer
• The information in this presentation was prepared at
the request of the El Paso City Council. Statements,
statistics, and figures are provided in good faith and
should not be interpreted as legally binding. Union
Pacific is agreeable to discussing further and
adequately documenting any subsequent agreements.
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Pacific Railway Act of 1862 – 150th Anniversary in 2012
UP
CP
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El Paso Railroad History
El Paso – circa 1886
• In 1873, El Paso is incorporated
• In 1881, three railroads reach El
Paso; El Paso & Juarez are joined
by rail the next year
• By 1890, El Paso had grown to
10,000 inhabitants from 800
residents just ten years earlier
• By 1902, El Paso is served by six
railroads; Union Depot is built in
1903 for passenger convenience
• In 1970, Rail Passenger Service
Act Eliminates Passenger Travel
• In 1982, UP acquires MoPac; In
1996, UP acquires Southern
Pacific becoming the largest
railroad in the country
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Mergers Expand UP’s Reach
Portland
Twin Cities
Chicago
SLC
1982
Denver
St. Louis
Memphis
1982
LA
1988
New
Orleans
1995
Houston
1996
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Strength of a Unique Franchise
Seattle
2010 Fast Facts (Year
End)
Eastport
Portland
Duluth
Twin Cities
Chicago
Omaha
SLC
Oakland
Denver
KC
St. Louis
LA
$16.1 B
• Route Miles
32,000
• Employees
43,500
• Annual Payroll
$3.6 B
• Customers
25,000
• Locomotives
8,000
Memphis
Dallas
Calexico
Nogales
New
Orleans
El Paso
Eagle Pass
Laredo
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• Freight
Revenue
Houston
Brownsville
Port access
Border
crossings
Union Pacific in Texas
2012 Fast Facts
Miles of Track
Annual Payroll
6,317
$700.4 M
In-State Purchases
Capital Spending
$2.7 B
$524.4 M
Employees
8,111
U.S. Jobs Supported*
36,500
Community Giving
$1.4 M
Charitable Organizations
388
*Each American freight rail job supports 4.5 jobs elsewhere in the U.S. economy.
(Association of American Railroads)
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Today’s Sunset Route
Seattle
Eastport
Portland
Twin
Cities
Chicago
Omaha
Oakland
Los
Angeles
Salt
Lake
City
Denver
KC
St. Louis
Memphis
W. Colton
Phoenix
Tucson
Dallas
Meridian Gateway
El Paso
San Antonio
New Orleans
Houston
Laredo
Brownsville
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El Paso Area Operations
• Headquarters of Sunset Service Unit
• Active Main Tracks: Carrizozo Subdivision, Lordsburg
Subdivision, Valentine Subdivision, International
Industrial Lead, Fort Bliss Industrial Lead
• Train Traffic: Estimated 35-55+ Per Day
• Employees: 500+; 100 new hires in last three years
• Primary Markets: International Trade with Asia and
Mexico, Energy, Construction
• Commodities: Consumer Goods, Cement, Autos &
Auto Parts, Beer, Grain
• Local Customers: Western Refining, Jobe Materials,
US Army, Stagecoach Cartage & Distribution
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Seattle/Tacoma
Why is the Santa Teresa Intermodal Terminal
Needed?
Chicago
New Terminals
Omaha
Terminal SLC
Expansions
Denver
Joliet
Kansas City
Planned Terminals
Lathrop
St. Louis
Memphis
LA
Santa Teresa
Yuma
Dallas
Shreveport
Tucson
New
Orleans
San Antonio
Eagle Pass
New Interchange Gateway
Houston
Angleton
LA to El Paso:
West Colton
Phoenix
Yuma
LA Basin
El Paso
Tucson
Strauss, NM
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 UPRR invested $1 billion in
last 10 years on Sunset Route
- Added 2nd track.
 Double track is increasing
speed, improving service &
enhancing through-put.
 Intermodal capacity growth is
needed to serve local
customers.
 Expansion of El Paso facility is
not feasible.
Santa Teresa Terminal - $500 Million Investment
Receiving Tracks
Departure Tracks
- Trains will stop in Santa Teresa to be inspected, refueled and recrewed, improving
fluidity through El Paso as these operations are consolidated in Santa Teresa.
- Intermodal Ramp will be relocated from Alfalfa Yard (near Carolina Bridge) to Santa
Teresa, relieving freight truck traffic in the area and allowing for possible overpass at
Hawkins.
-
New terminal will create 3,000 jobs during construction, with an expected 600
permanent jobs by 2020.
- Heavy commercial development is expected both in Santa Teresa & El Paso.
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One UP Train Can Take 300+ Trucks off of Highways
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Who Pays for Freight Transportation Capacity?
One mile of highway:
One mile of rail:
• Cost: $15 million
• Cost: $2-3 million
• Charge to: taxpayers
• Charge to: private industry
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Offering Cleaner Skies & Clearer Roads
Intercity Freight Transportation
• Three times cleaner than
trucks on a ton-mile basis
• Energy independence
– Four times more fuel efficient
than trucks
– Hauls one ton of freight an avg.
484 miles on one gallon of fuel
– Moved double the freight
on the same amount of fuel
since 1980
• Each train can take up to
300 trucks off highways
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[Based on Ton Miles]
Other
Freight
26%
Trucking
31%
Freight
RRs
43%
Transportation
Greenhouse Gas Emissions
Other
Freight
13.9%
Trucking
78.1%
Freight
RRs
8.0%
Source: EPA, AAR
National Rail Plan’s Projected Modal Shift
Potential Truck to Rail Conversions
Rail Market
Projected Market Shift
Market
Share
Truck Market
0-249
250-499
500-749
750-999
Distance
(Miles)
16
1000-1499
1500-2000
>2000
Community Involvement
• Union Pacific Foundation Community Grants
– Over $200 thousand in El Paso area the last
5 years (i.e. United Way, CASA, Junior
Achievement, Project Vida, Center for the
Homeless, History Museum, Las Americas
Immigrant Advocacy Center, etc.)
• Public Safety Engagement – safety train
trips, Safety Billboards, Fencing, Officer on
a train, emergency responders training, etc.
• Monthly Meetings with City of El Paso
• Membership & Participation in Chamber of
Commerce – Transportation Committee
• Regular Attendance & Participation at El
Paso MPO Transportation Policy Board
Meetings
• Involvement in Rio Grande Council of
Governments
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Locomotive Horn
• Mandated by Federal Railroad Administration
• Must be sounded at all crossings,
except in quiet zones recognized by the FRA
• Standardized pattern, unless emergency
Dependent on train speed,
horn blowing starts
15-20 seconds before
crossing
100 – 110 dBa
LONG LONG
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SHORT LONG
Repeat until
locomotive
clears
crossing
Quiet Zone Definition & Minimum Requirements
• A “Quiet Zone” is a Segment of Rail Line Where
Locomotive Horns are not Routinely Sounded
• A QZ Must be at Least ½-Mile in Length
• Each Crossing Included in the QZ Must be Equipped
With Flashing Lights & Gates at Minimum
• The Calculated Quiet Zone Risk Index (QZRI) is
Determined to be Less than the Nationwide Significant
Risk Threshold (NSRT) through the use of
Supplemental Safety Measures (SSM’s) and/or
Alternative Safety Measures (ASM’s)
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October 18th Derailment
• We thank our partners at the City, County, all levels of law
enforcement and especially TxDOT for your understanding &
cooperation as we work to remedy the situation
• This is our first major derailment in the area in over 10 years; we work
on a zero margin for error basis
• A manifest train was moving west from Herrington, Kansas to El Paso;
train experienced derailment of 7 empty rail cars, one of which struck a
pillar near the I-10 Cotton Street Overpass
• No injuries and no hazardous materials
• Union Pacific’s Response Management Communication Center
contacted emergency responders
• Cause of derailment is under investigation – critical to get it right
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Derailment Timeline
• 8:24 p.m.: Derailment Occurs
• 10:10 p.m.: Crossings are Cleared
• 11:00 p.m.: Derailment Clearing Contractor & TxDOT
Bridge Inspector Arrive on Scene
• 11:05 p.m.: All required initial notifications are
completed
• 8:55 a.m.: Provided derailment information to Jane
Shang and other local contacts
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Rails Are Safer Than Other Transportation Modes and
Getting Safer (Index 1980=100)
110
GOOD
100
90
Employee injuries
80
70
Grade crossing collisions
60
50
40
Train accidents
30
20
10
0
'80
'85
'90
'95
'00
Source: Federal Railroad Administration
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'05
'10‘12
Safety - Top Priority at Union Pacific
Customer
Employee
Public
Reportable Derailments
Per Million Train Miles
Reportable Injuries
Per 200,000 Man-Hours
Grade Crossing Accidents
Per Million Train Miles
4.34
2.81
2.41
3.21
2.38
1.01
2002
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2012
2002
2012
2002
2012
Rail Equipment Incidents Prevention - Track
• Significant investment in hardening infrastructure –
replaced vast majority of rail crossing surfaces (worked
with City of El Paso on approaches), replaced thousands
of ties, upgraded many miles of rail in El Paso.
• Daily inspections of main tracks; 3 rail inspectors based in
El Paso
• Technology improvements to ensure track integrity
• Geometry Track Evaluation average of 6 times per year to
ensure alignment; includes Federal Railroad
Administration inspections
• Ultra Sonic testing of rail every 45 days; find defects inside
the rail
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Example of Track Improvement
2008
2007
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Rail Equipment Incidents Prevention Mechanical
• Daily inspection of
trains
• Technology
improvements including
the following wayside
detection mechanisms
• Ultrasonic wheel crack
Detection
• Hot box, hot wheel &
dragging equipment
detectors
Safety Board Example – Not UP Specific
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Rail Equipment Incidents Prevention - Employee
• On the job training
• Strict adherence to
Federal Railroad
Administration
operating rules &
guidelines
• Peer-to-peer behavior
modification including
Total Safety Culture &
Courage to Care
• Improved training
techonology
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Questions?
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