THE APPLICABILITY OF SECTION I(18) OF THE INTERSTATE COMMERCE ACT TO RAIL LINE CONSTRUCTION IN WESTERN COAL REGIONS

A provision of the Interstate Commerce Act exempting spur and industrial tracks from Federal regulation when located within a state is examined in the light of new railroad construction. Development of Western coal reserves promises to spark a resurgence in railroad building. Much of this construction will be undertaken without effective ICC control as railroads seek to invoke the exemption to cover long lines and in other cases arrange for shipper construction which eventually then will be purchased by the carriers. The implications for national transportation policy and for possible adverse impact on the viability of existing, older segments of a carrier's network are examined. A table lists 1,088 miles of such lines under construction or projected.