Regulations on Operational Terms for Rail Level of Services Arbitration
SOR/2014-192
Registration 2014-08-01
Regulations on Operational Terms for Rail Level of Services Arbitration
P.C. 2014-895 2014-07-31
Whereas, pursuant to subsection 36(2) of the Canada Transportation ActFootnote a, the Canadian Transportation Agency has given the Minister of Transport notice of the annexed Regulations;
Return to footnote aS.C. 1996, c. 10
Therefore, the Canadian Transportation Agency, pursuant to subsection 169.31(1.1)Footnote b of the Canada Transportation ActFootnote a, makes the annexed Regulations on Operational Terms for Rail Level of Services Arbitration.
Return to footnote bS.C. 2014, c. 8, s. 8(1)
Gatineau, July 21, 2014
His Excellency the Governor General in Council, on the recommendation of the Minister of Transport, pursuant to subsection 36(1) of the Canada Transportation ActFootnote a, approves the annexed Regulations on Operational Terms for Rail Level of Services Arbitration, made by the Canadian Transportation Agency.
Definition of Act
1 In these Regulations, Act means the Canada Transportation Act.
Marginal note:Paragraph 169.31(1)(a) of the Act
2 (1) For the purposes of paragraph 169.31(1)(a) of the Act, a term constitutes an operational term when it sets out an obligation of the railway company towards the shipper respecting the performance of an action related to the receiving, loading, carrying, unloading and delivering of traffic.
Marginal note:Examples
(2) A term that deals with any of the following matters is an operational term referred to in subsection (1):
(a) the furnishing of cars to the shipper, including
(i) the quantity of cars to be furnished,
(ii) the schedule for furnishing them,
(iii) the place where they are to be furnished,
(iv) their condition,
(v) their type and specifications, and
(vi) the procedures to be followed by the railway company for the processing of the shipper’s order for those cars and for their delivery by the railway company;
(b) the handling of cars that are furnished by the shipper to the railway company, including the cycle time for handling them;
(c) the furnishing of locomotives or other motive power sources, of other equipment or of train crews;
(d) the pick-up of cars by the railway company, including
(i) the schedule for picking them up, and
(ii) the place where they are to be picked up;
(e) the number and scheduling of switches;
(f) the transit time for delivery of the shipped traffic ;
(g) the route to be used for that delivery;
(h) a performance standard — expressed as a quantity, frequency, percentage or other metric — for measuring the railway company’s compliance with an operational term that deals with a matter referred to in any of paragraphs (a) to (g) or any other operational term referred to in subsection (1), including any term that establishes the railway company’s responsibility for collecting and sharing data and for reporting in respect of the performance standard;
(i) the circumstances that would make it impossible for the railway company to comply with an operational term that deals with a matter referred to in any of paragraphs (a) to (g) or any other operational term referred to in subsection (1), including
(i) a superior force, including a flood, fire or other natural disaster,
(ii) a war or insurrection,
(iii) a riot, strike or lock-out,
(iv) a derailment,
(v) a blockage of rail lines due to an accident, demonstration, natural cause or other cause,
(vi) any condition related to the loading of cars,
(vii) a failure of the shipper to comply with conditions that are associated with the performance by the railway company of service obligations under section 113 of the Act,
(viii) the inability of the railway company to access a terminal or a delay in accessing it,
(ix) the inability of the railway company to transfer the shipped traffic to another railway company or a delay in transferring it, and
(x) a breakdown in a component of the railway.
Marginal note:Paragraph 169.31(1)(b) of the Act
3 (1) For the purposes of paragraph 169.31(1)(b) of the Act, a term constitutes an operational term when it sets out an obligation of recovery that the railway company must comply with if it fails to comply with an operational term that deals with a matter referred to in any of paragraphs 2(2)(a) to (g) or any other operational term referred to in subsection 2(1).
Marginal note:Obligations of recovery
(2) An obligation of recovery must set out steps that the railway company must take to minimize the consequences for the shipper of its non-compliance and to ensure that compliance, including
(a) preparing a recovery plan for those purposes;
(b) taking reasonable steps to secure whatever assistance may be required to carry out those purposes;
(c) limiting any prejudicial consequences related to the non-compliance; and
(d) implementing the recovery plan.
Marginal note:Paragraph 169.31(1)(c) of the Act
4 (1) For the purposes of paragraph 169.31(1)(c) of the Act, a term constitutes an operational term when it sets out an obligation of the shipper towards the railway company respecting the performance of an action related to an operational term referred to in section 2, including a term that deals with any of the following matters:
(a) the furnishing of cars to the railway company;
(b) the handling of cars that are furnished by the railway company to the shipper;
(c) the loading and unloading of cars, including the scheduling of and the procedures for the release of those cars;
(d) the number and scheduling of switches; and
(e) the provision of access to the shipper’s facilities.
Marginal note:Obligations of recovery
(2) For the purposes of paragraph 169.31(1)(c) of the Act, a term constitutes an operational term when it sets out an obligation that the shipper must comply with in relation to an obligation of recovery referred to in section 3.
Marginal note:Communication protocols
5 For the purposes of paragraphs 169.31(1)(a) to (c) of the Act, a term constitutes an operational term when it sets out a communication protocol for the railway company and shipper to use to communicate information in respect of their compliance with an operational term, including a protocol for communicating information about
(a) the shipped traffic, including its position, state and expected time of delivery at any particular time;
(b) any circumstance referred to in paragraph 2(2)(i);
(c) an obligation of recovery or any obligation of the shipper related to an obligation of recovery, including reporting on the implementation of any recovery plan;
(d) any failure of the railway company or the shipper to comply with an operational term;
(e) the billing for services in relation to an operational term referred to in paragraph 169.31(1)(a) of the Act; and
(f) the authorization of a terminal.
Repeal
6 [Repeal]
Coming into Force
Marginal note:Registration
7 (1) Subject to subsection (2), these Regulations come into force on the day on which they are registered.
Marginal note:S.C. 2014, c. 8
Footnote *(2) Section 6 comes into force on the day on which subsection 8(2) of the Fair Rail for Grain Farmers Act comes into force.
Return to footnote *[Note: Section 6 in force August 1, 2016.]
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