SURFACE TRANSPORTATION BOARD PROPOSES RULES TO INCREASE USE OF MEDIATION & ARBITRATION

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>From the Surface Transportation Board, Washington, D.C.
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The Surface Transportation Board announced today that it is seeking public
comment on its proposals to encourage increased use of mediation and
arbitration for the resolution of certain matters before the Board.


                                        While the Board has existing
                                        procedures in place for both
                                        mediation and arbitration, the
                                        proposed rules represent an
                                        initiative to refine and expand
                                        those rules, in an effort to
                                        promote greater use of alternative
                                        dispute resolution procedures for a
                                        wide range of issues.  The Board
                                        believes that it will be to the
                                        mutual benefit of all stakeholders
                                        with business before the STB to
                                        reduce time and expense devoted to
                                        more formal litigation, and may
                                        provide enhanced access to the
                                        Board as well, particularly in
                                        matters involving relatively small
                                        disputes.  The proposed rules would
                                        require parties to mediate certain
                                        matters, and would simplify and
                                        clarify its current rules for
                                        voluntary mediation.  The Board
                                        also proposes a new program in
                                        which shippers and carriers could
                                        voluntarily agree to arbitrate
                                        certain routine disputes that come
                                        before the Board.  The Board's
                                        mediation proposals would provide
                                        more rapid resolution of certain
                                        controversies, and at lower cost,
                                        through the mutual agreement of
                                        involved parties.  The arbitration
                                        proposal similarly would involve
                                        less time and lower costs than
                                        current, formal adjudicatory
                                        procedures.


                                        In announcing the proposals,
                                        Chairman Elliott said,

                                        "The more often we can get parties
                                        to settle disputes before formal
                                        action, the more often we can save
                                        parties the cost, time and
                                        uncertainty of that formal action,"
                                        Elliott said. "And both parties
                                        walk away from the process as
                                        winners."


                                        The Board invited comment on its
                                        proposals in today's decision in
                                        Assessment of Mediation and
                                        Arbitration Procedures, EP 699
                                        ( http://www.stb.dot.gov/decisions/readingroom.nsf/WebDecisionID/42262?OpenDocument )

                                        .  That decision is available for
                                        viewing and downloading at the
                                        Board's website at www.stb.dot.gov
                                        .


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