Why Transloaders Must Update Their Rails to Fra Standards

Many transload operators assume that because they’re not a Class I railroad, they’re off the Federal Railroad Administration’s radar. That assumption can be both costly and dangerous.

If even a single railcar moves across your track, you are subject to FRA regulations — and if your site isn’t up to code, you could face major penalties, shutdowns, and business losses.

Here’s why staying compliant with FRA rail standards isn’t just smart — it’s essential:

You’re Legally on the FRA’s Radar

Just because you're not a major railroad doesn’t mean you’re exempt.

If railcars operate on your track — even one — your site falls under FRA jurisdiction. That includes Track Safety Standards (49 CFR Part 213), Switching Operations (Part 218), Brake Tests, Equipment Handling, and more

Failing to meet these standards can lead to civil penalties, forced shutdowns, or worse. And if something goes wrong — like an injury or derailment — and your track isn’t compliant, you will be held liable.

The FRA Can Show Up Unannounced

They don’t need to call. They don’t need a warrant. And they don’t need your permission. If an FRA inspector visits your site and finds: no documented track inspections, missing or incorrect track classifications, and/or unaddressed defects. They have the authority to cite you on the spot. Fines can add up quickly, and a non-compliance report can haunt your operation long after the visit ends.

Non-Compliance Hurts Business

Customers, especially railroads, don’t want to deal with risk. If your site has poor rail conditions or can’t prove compliance, you could: lose current contracts, get passed over for new referrals, be dropped from preferred vendor lists, be labeled as “unsafe” and uninsurable. Reputation matters. In this industry, compliance is credibility.

Track Inspections Are the Backbone of Compliance

If you can't prove when your last track inspection occurred, who performed it, and/or what defects were found and how they were corrected; You are non-compliant in the FRA’s eyes.

 It doesn't matter how good your track looks; it matters what’s in writing.

The Bottom Line

Transloaders are not invisible.

If your facility moves railcars, you are subject to FRA regulation, period. If your site isn’t up to code, you risk fines, derailments, injuries, lawsuits, loss of revenue and reputation.

How Axiom Helps

Axiom ensures transload sites stay compliant with FRA regulations.

From inspections to full documentation, we catch the issues and correct them before the FRA does.

Don’t wait for an inspector to show up. Let us get you compliant — and keep you that way.