Background
In 2024, the Federal Railroad Administration adopted a Crew Size Rule that generally requires at least two crewmembers aboard a train. The rule provides exemptions and pathways for one-person operations. Certain smaller railroads may use a notice process for qualifying operations, while Class I railroads and railroads seeking to begin transporting hazardous materials with one-person crews must obtain special approval by showing that the proposed operation would be at least as safe as a two-person crew.
Six railroads and two industry trade associations petitioned for review, and the challenges were consolidated in the Eleventh Circuit. The petitioners argued that the FRA exceeded its statutory authority and violated the Administrative Procedure Act, including by adopting the rule without adequate safety evidence, changing course from its 2019 position, failing to account properly for labor costs, conflicting with federal risk-reduction requirements, and taking too long to complete the rulemaking.
The Court’s Holding
The Eleventh Circuit denied the petitions for review and left the Crew Size Rule in place. The majority held that the Federal Railroad Safety Act’s authorization to issue regulations “as necessary” for railroad safety gives the FRA broad discretion rather than imposing a requirement that every rule be proved essential through conclusive evidence. The crew-size regulation was reasonably related to Congress’s railroad-safety purposes and therefore fell within the agency’s statutory authority.
The majority also rejected the petitioners’ arbitrary-and-capricious and procedural challenges, concluding that the FRA acted within the permissible zone of reasonableness in assessing safety concerns and structuring the rule’s exemptions and approval processes. Judge Branch dissented, reasoning that the FRA inadequately explained its departure from the factual conclusions underlying its 2019 withdrawal of an earlier proposal and improperly omitted increased labor expenses from its cost analysis.
Key Takeaways
- The FRA may generally require two crewmembers aboard trains under its broad statutory authority to regulate railroad safety.
- The phrase “as necessary” grants the agency regulatory discretion and does not require conclusive proof that a safety rule is indispensable.
- The court upheld the rule’s system of exemptions, notice-based eligibility, and special approval for one-person operations.
Why It Matters
The decision preserves a nationwide federal framework under which two-person crews are the default while railroads may pursue specified routes to operate with one person. It also confirms a broad understanding of the FRA’s authority to address potential safety risks even when available data do not conclusively establish that one operating model is safer than another.
The divided decision highlights an important administrative-law dispute over how fully an agency must explain a policy reversal and account for foreseeable costs when regulating amid evidentiary uncertainty.