What is a Class I Railroad?

Question:  What is considered to be a Class I railroad?

Answer:   A Class I railroad is a freight railroad that earns at least $250 million in annual operating revenue (this figure is adjusted periodically to account for inflation).  The designation is made by the Surface Transportation Board (STB), which regulates many commerce and economic aspects of the Class I railroads, and requires the Class I lines to report statistics and financial data.  There are currently seven Class I railroads operating in the United States:   BNSF Railway, CSX Transportation, Grand Trunk Corporation (owned by Canadian National), Kansas City Southern, Norfolk Southern, Soo Line (owned by Canadian Pacific), and Union Pacific.  

While certainly important at the railroad executive level, from a trainmaster’s perspective, or from the perspective of any train and engine crewmember, the Class I designation is largely meaningless.  Operators are much more concerned with complying with rail operation and safety regulations as enforced by the Federal Railroad Administration (FRA), which makes no distinction in railroad size or operating revenue in its enforcement.