Metra asks federal government for relief in dispute with Union Pacific; service in jeopardy

Commuter service for thousands of Union Pacific riders is in jeopardy amid an impasse with the freight railroad over track usage, Metra leaders warned on Friday.

Metra filed separate actions with the U.S. Surface Transportation Board and in federal court seeking relief from what they called “windfall” rates proposed by UP to use its tracks.

The issue dates back to 2019 when the freight railroad decided it was no longer feasible to operate trains on Metra’s three commuter lines: the UP North, Northwest and West. The UP Northwest line has stops in Fox River Grove, Cary, Crystal Lake and Woodstock

Over the years, the two railroads have negotiated a plan to transfer staff and mechanical assets to Metra. However, the talks recently came to a hard stop over the UP’s proposed charges for track use.

“Union Pacific has demanded commercially unreasonable and monopolistic rates for Metra to continue using the UP lines for commuter rail, rates to which Metra cannot feasibly agree and which have no grounding in industry-standard rate-setting methods,” Metra argued in a lawsuit filed Friday in the U.S. District Court for Northern Illinois.

Metra, Pace and the CTA face a $771 million operating shortfall in 2026.

“Despite knowing that Metra cannot agree to these terms, and that commuter rail service on the UP lines is threatened as a result, Union Pacific has refused to budge,” attorneys said.

“For the first time since before the Civil War, passenger rail service on the UP Lines may end.”

UP officials declined to comment, saying they were reviewing Metra’s filings.

Metra contends UP could terminate rail service effective July 1.

“Their loss would be felt throughout the regional economy, as workers are stranded from their jobs and Chicago-area residents lose the ability to traverse the region without a car,” attorneys said.

It’s unlikely that will happen given the high stakes for commuters, objections from Illinois’ congressional delegation, and a potential intervention from the U.S. Surface Transportation Board.

UP, meanwhile, previously asked the STB to step in and help resolve the dispute.

“Union Pacific believes that, with the help of a board-appointed mediator, the parties may succeed in reaching an agreement,” the freight railroad said in a recent filing.

https://www.dailyherald.com/20250307/transportation/metra-asks-feds-for-relief-in-feud-with-union-pacific-over-unreasonable-costs-to-run-trains-on-tra/