Development Chris Matthews assistant Vice PresidentBnsf Railroad and jim dolinsky ceo and the executive a director. And with those challenges to meet the final implementation deadline of december 31st. The recent Committee Hearing is anig Important Technology with the ability to prevent accidents and derailments such as the tragic derailment in washington in 2017. Then to pass by congress and october 2015 and then to implement tpc by december 31st but allows the railroad the extension of up to 24 months if and only if they hit the milestones are pleased to say under the secretary chao in under the leadership the framework has been faithfully implemented and to submit documentation and to qualify for the extension so then to receive a certain extension from that deadline and to make progress on tpc implementation and availability for updates and across the network and from the end of last year witnesses to discuss freight how they implement tpc and to describe what is needed to achieve full implementation that the railroads be interoperable in other words to operate seamlessly across tracks on five different railroads the interoperability requires coordination across the Rail Industry between the fair at earl Railroad Administration vendors and suppliers and other stakeholders to undertake their complex areas where multiple railroads interact and then to provide an update on testing with any success through such testing i also invite our expert witnesses of the interoperability through that network and less than a year and a half away and then to focus on those that require additional attention in that past tpc hearings we hear about software and railroads and field testing. So i invite all witnesses on the availability to support tpc installation and to identify any other challenges to full implementation require look forward to a robust discussion we think the wet the witnesses for today and to be recognized and also senator duckworth for a special introduction i will recognize senator cantwell. Thanks for holding this important hearing of this implementation thanks to the witnesses we look forward to hearing your perspective but the headline of 2020 the importance of the lifesaving technology in december 2017 then to derail near the bend in washington claiming three lives and entering 65 people the ntsb investigation found tpc would have prevented this tragedy. Just one of many preventable tragedies since the ntsb first recommended positive train control implementation it could have prevented 150 crashes and fatalities brick i am pleased that chairman wicker shares my commitment to make sure 2020 is the deadline that the Committee Takes the oversight with positive train control if we still do not fully implement to support the safety even at the full implement there will still be those that were not part of tpc including 1400 miles of tracks used by amtrak expressing concerns about this during a previous Committee Hearing last month and we followed up to seek more information about the Safety Measures that should be in place this includes speed limit action plan and the technologies thank you to the administrator for the response for your commitment to ensure safety everywhere that amtrak operates. This will help prevent another washington accident from happening again even with tpc in place we have to prioritize cufety no technology is a cure all for well chain just trained engineers at a railroad that is a major step forward for safety and a Long Time Coming to get where we toe today with a special Commuter Railroad system facing challenges and look forward to the opportunity to hear from the witnesses about tpc to be fully implemented everywhere to make sure it is on the rail system. I look forward to asking specific question about that implementation and is 1400 miles of track that will not be covered. Also senator duckworth i thank you mister chairman it is my pleasure to welcome ceo and executive director who has successfully led the organization in 2017 every weekday metro operate 700 trains transporting 290,000 passengers to provide service to and from Downtown Chicago on 11 lines covering more than 1200 tracks. s extensive experience and Technical Expertise allows him to lead one of the most complex systems in the nation to pull every drop of value out of state and federal resources. A few monthsy va ago the 47th street coach and then to fine tune the rolling stock. And then then to go a little bit further and it was t there with the real and deep appreciation of tpc 250 million receiving less than 50 million of federal grants expected the implementation to be between 350,000,400,000,000 with that 2ditional per year of operating cost i am confident welcome and thank you for being here today we stand to learn a lot from you and i yelled back. Thank you senator. We will now proceed to hearing summaries and we will begin mister administrator you may begin. Good afternoon. Chairman booker Ranking Member cantwell and members of the committee thank you for the opportunity to testify about the High Priorities in the full implementation and interoperable systems by decembt 2020 and with the industry as of march 31st tpc is in operation of the 70000 miles subject to the statutory mandate nevertheless still to have extensive work including activating tpc with the required mainline and achieving interoperability. Notably to put on that required mainline in 2018 and the other 37 railroads on target scheduled the statutory mandate requires so as of march 5th to approve all applicable schedules before the 90 daych deadline. And we continue to actively monitor railroads progress including the reports do today. Planarity reports show tpc was in operation 87 percent of the required mainline nationwide june 2019 including 91 percent of the class one required. Commuter railroads conducting Revenue Service on 37 percent of their required lines as of june a 12 percent increase over quarter one. Amtrak often onto support it is in operation 99. 8 percent of its required mainline and in addition to implement the Passenger Rail service it has been operating at full implement system since 2018 and another five are conducted in the field and then the focus mandated mainline is a high concentration including Commuter Railroads. On july 12th i initiated monthly meetings with leadership of amtrak and Commuter Railroads of the northeast corridor with her own teeth ten required line of the northeast as this committee is aware interoperability is the primary challenge of full implementation by december 31st 2020. Approximately the railroads that are operating on the mainlines there are 227 relationships are interoperability must be achieved as of march 31st 70 percent of those have achieved interoperability and 38 percent were conducting testing. As leadership of 61 of the 71 freight class one to discuss the next steps are interoperability also posting more additional collaboration over the next 17 months focusing on debt p practices and the ultimate statutory deadline the role has accontinued that tpc vendors and suppliers are resource constrained in part due to increased demand as the deadline approaches. After being confirmed as administrator i met with the ten major vendors to discuss the Critical Role they play. This year i have set those issues that require some suppliers immediate action including the recall equipment due to defects and capacity limitations hindering interoperability and as we continue to meet with vendors and suppliers they are in trouble to meet the deadline. In additionas to Technical Assistance awarded two. 6 billion were awarded in Grant Funding to support tpc implementation representing 18 percent of this Million Dollar industry. And specifically 42 percent that estimates the implementation is costing the Commuter Railroad also the Maintenance Cost citing hundreds of millions of additional dollars with 100 million per year. Thats why we appreciate the prioritization and the continued funding and to continue to work with stakeholders to ensure the fully implement those systems if any world fails to meet the deadline with the plans to enforce the statutory mandate with those that are authorized by congress thank you and im here to answer questions. Thank you very much director fleming. It afternoon Ranking Member and members of the committee and chairman thank you for the opportunity to prevent implementation and oversight of tpc one of the most promising technological advantages in rail safety and decades back over thee years we have reported on progress reporting on tpc which is complex and lengthy process involving nearly all major rail lines and every aspect of operation while railroads are required to implement by last december youre allowed to grant extensions through december 2020 if they met specific requirements d. Moore have fully implemented tpc the others continue to h work to achieve full implementation. In terms of equipment testing but with respect to interoperability to be made to fully implement tpc i will focus on two main issues railroad implementation progress in remaining challenges and the approach to meet the 2020 deadline turning to the implementation update since december making progress on the limitation of your own system six railroads reported implementing on all their own territories as only one commuter at this stage in december but 11 railroads reported they remained in field testing which is an early stage of implementation regarding the interoperability as of march 11th the most operable systems reported they achievedra interoperability with one and collectively of the 227 unique relationships theyve only turned which actually achieve 20 percent in response to the questionnaire most reported that vendor and Software Issues are significant problem it is now more acute because of the 2020 deadline and then add dressing these issues and delays with highat demand for Services Continue to cause problems more than half of the railroad interoperability was a major challenge and can be complicated by Software Issues with host and tenet schedules one said that Certain Software functionality still has to be developed, tested and implemented to address reliability issues causing system disruptions interoperability challenges through the systems and geographic areas are difficult and dense urban areas like the northeast or chicago with different stages of implementation and the Commuter Railroads and amtrak are implementing a form of the system on a portion of their equipment and in some cases two different systems are operating cant currently which adds to the complexity of interoperability. Now to my second point, providing assistance and support to railroads and the testing processe but as we continue to face the substantial workload through 2020 overseeing those implementations including lengthy safety plans as such to prioritize the resources based on risk. And to make improvements to the extended deadline for the full implementation less than 18 months away and then to have substantial work to complete those challenges to address before the deadline. Going forward have that transition as a routine part of operations after the 2020 deadline similarly we need to transitionne from implementation largely done by contractors to maintain the tpc system so december 2020 that is now the deadline for implementationn but also a point after which railroads will face new operational and oversight environment this can was my statement pleased to answer questions you may have. Thank you very much. Good afternoon chairman and Ranking Member and all the members of the committee thank you for holding is important hearing for the next steps for tpcth implementation with the Vice President of strategy and growth it is our privilege to represent to appear before you today with two of the earliest partners bnsf. Going back to the origins in 1869 safety has been and is the core issue for lab tech supporting freighty and passenger customer railroad commitments to meet the decembet deadline of implementation is a foremost priority. At the outset i thought to be helpful to note to be deployed by railroads tpc function has a safety overlay that is designed to enforce existing indications this means that tpc serves as a supplement insurance measure with the Safety Practices and procedures. Lab techs role is built on the interoperable electronic train Management System and diploid both Passenger Railroads operating outside the northeast corridor. Lab tech is a hardware and softwarere supplier for onboard a back Office Segments it also serves as a tpc system for a number of Passenger Railroads. And to implement the 2018 Requirements Lab tech manufactured and delivered more than 23000 on board systems. It also developed a Customized Software application for the back office interfaces to or replaces existing railroad back office systems. Focusing on our customers tmeeting that december 31st deadline is twofold. First, lab tech is committed to those customer requirements for interoperability. Specifically we have released Software Updates to enable increase traffic and working toward another update this fall that will have the onboard capacity to handle train bulletins. Certification e supporting customer agencies to complete Revenue Service demonstrations, achieve approval of safety plans and free, validate host interoperability. In summary, we are dedicated to fulfilling commitments to enable full interoperability across the system. Wewe are teaming up with the wih our customers to continually include david could improve performance and working directly with Passenger Railroad customers where they have a lead System Integration will. Looking to the future, its an ongoing commitment for all stakeholders into the work and i investment will continue past 2020. New Digital Technologies will enable even greater safety operational benefits. We look forward to partnering with our customers and other industry stakeholders to advance this vision for the future. Thank you for the invitation to testify, and i would be pleased to answer any questions you may have. Thank you sir. Mr. Matthews. Afternoon members of the committee, thank you for inviting me to do is to provide an update on the implementation of the positive control. Ptc is an important component of the overall Risk Reduction program that has resulted in a meaningful progress towards the vision of zero accidents and injuries. Safety is the most important thing we do. In such ongoing Risk Reduction efforts combining robust Capital Investment program, training that reinforces the safe operating practices and maintenance of a strong employee Safety Culture is also increasingly involves development and deployment of new technologies. Weve invested nearly 65 billion in private capital back into the railroad since 2000 advanced windows 3. 5 billion in 2019. The railroads t physical plantn the best condition in its01 history. Ttc is an important Safety Development and also one of the most significant costly and complex technologies that the industry has ever deployed. The Capital Investment will exceed 2 billion. As the industry deploys other s portant technological advancements, we are working closely in support of moving towards a regulatory paradigm that will allow leveraging theel investment and support future innovation. Today we are operating ptc on all 88 federally mandated subdivisions covering more than 11,500 miles and 80 of the freight volume. Weve also equipped an equippede operating on mine on mandated an additional 2,000 miles of protection. We are running more than 4,000 trains daily in the Revenue Service and have run more than 2. 5 million trips since december, 2012. More than 21,000 employees to operate and maintain training equipment which involves not Just Technology that changes in the work processes of the operations teams and many other departments. The volume of trainings running on the Networks Demonstrates that people know how to operate and support the system. Moving forward, we have three major focus areas to continue refining and driving continuous improvement. Ensuring reliability, fully integrating into the operations and achieving full interoperability. Enosely engaged with vendors and suppliers become part hardware and software to refine the key components of the system to ensure they have the necessary capacity, longevity and reliability to separate the operations. Unicef is actively working on painteroperability with our suppliers with which we need to be interoperable to identify their needs and provide technical and operational assistance with services such as posting and training as needed. Unisys did it