New process prioritizes most significant cases and delivered a record $15.4 million in civil penalties

 WASHINGTON, D.C. – The Federal Railroad Administration (FRA) today announced its brand-new streamlined settlement negotiation process collected a record $15.4 million in civil penalties issued to Class I railroads. The penalties showcase how Secretary Duffy and the FRA are committed to keeping the American people safe and holding operators accountable. 
 
The streamlined process centers on meaningful discussions in the most significant cases while continuing to collect critical data to improve railroad safety. Under this framework, Class I railroads—Amtrak, BNSF, CN, CPKC, CSX, NS, and UP—may receive a civil penalty when inspectors identify issues such as defective wheels, with potential reductions when repairs are made and discussed with mechanical craft employees to prevent recurrence. Overall, the process reinforces safety as the top priority by driving timely corrections, improved practices, and stronger risk mitigation. 
                                                         
“Under Secretary Duffy’s leadership, safety is our number one priority,” said FRA Administrator David Fink. “Our new civil penalty process is already delivering results – forcing Class I railroads to step up, improve safety, and immediately address noncompliance. I am grateful to our dedicated safety inspectors who are right there with the railroad workforce in the field
 
FRA’s settlement conferences provide valuable opportunities for regulators and railroads to work together and resolve key safety concerns. These discussions are focused on achieving real safety improvements that support railroad employees and help protect the traveling American public. 
 
Additional Information: 
Federal and state rail safety inspectors have several enforcement tools at their disposal. Civil penalties are reserved for severe instances of noncompliance warranting the deterrent effect of monetary penalties. Civil penalties are assessed based on specific guidelines outlined in the Code of Federal Regulations. FRA is authorized to settle such claims based on a wide variety of mitigating factors, which encourages railroads to provide responsive information. FRA’s process enables the efficient exchange of information about safety improvements and the collection of claims without requiring protracted litigation.  

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