80_FR_82130 80 FR 81879 - Fortress Investment Group LLC-Continuance in Control Exemption-Ohio River Partners LLC

80 FR 81879 - Fortress Investment Group LLC-Continuance in Control Exemption-Ohio River Partners LLC

DEPARTMENT OF TRANSPORTATION
Surface Transportation Board

Federal Register Volume 80, Issue 251 (December 31, 2015)

Page Range81879-81879
FR Document2015-32961

Federal Register, Volume 80 Issue 251 (Thursday, December 31, 2015)
[Federal Register Volume 80, Number 251 (Thursday, December 31, 2015)]
[Notices]
[Page 81879]
From the Federal Register Online  [www.thefederalregister.org]
[FR Doc No: 2015-32961]


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DEPARTMENT OF TRANSPORTATION

Surface Transportation Board

[Docket No. FD 35985]


Fortress Investment Group LLC--Continuance in Control Exemption--
Ohio River Partners LLC

    Fortress Investment Group LLC (Fortress) has filed a verified 
notice of exemption pursuant to 49 CFR 1180.2(d)(2) for the benefit of 
Fortress Transportation and Infrastructure Investors LLC (FTAI), which 
is managed by an affiliate of Fortress, to continue in control of Ohio 
River Partners LLC (ORP), a noncarrier, upon ORP becoming a Class III 
rail carrier.
    This transaction is related to a concurrently filed verified notice 
of exemption in Ohio River Partners LLC--Acquisition & Operation 
Exemption--Hannibal Development, LLC, Docket No. FD 35984, wherein ORP 
seeks Board approval under 49 CFR 1150.31 to acquire and operate a line 
of railroad, known as the Omal Secondary Track, that extends between 
milepost 60.5 at or near Powhatan Point and milepost 72.7 at or near 
Hannibal, a distance of 12.2 miles in Monroe County, Ohio (the Line). 
ORP, a Delaware limited liability company, is controlled by Ohio River 
Partners Shareholder LLC, a Delaware limited liability company 
(ORPS).\1\ ORPS is indirectly owned and controlled by FTAI, which is 
managed by an affiliate of Fortress.
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    \1\ Upon consummation of the proposed transaction, ORPS will own 
a 75% interest in ORP. The remaining 25% interest in ORP will be 
held by Hannibal Development, LLC, which currently owns the rail 
line that is the subject of ORP's verified notice of exemption in 
Docket No. FD 35984.
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    The parties intend to consummate the proposed transaction as soon 
as practicable after the effective date of this notice of exemption and 
the concurrent notice of exemption filed in Docket No. FD 35984.
    Two other rail carriers subject to the Board's jurisdiction, 
Florida East Coast Railway, L.L.C. (FECR) and Central Maine & Quebec 
Railway US Inc. (CMQR), are currently controlled by companies managed 
by affiliates of Fortress.\2\ FECR, a Class II carrier operates 
approximately 350 miles of rail lines in the State of Florida extending 
between Jacksonville and the Miami metropolitan area. CMQR, a Class III 
carrier, operates approximately 244 miles of rail lines in the States 
of Maine and Vermont.
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    \2\ FECR is currently owned by FECR Rail Holding LLC, which is, 
in turn, owned by investment funds managed by an affiliate of 
Fortress. CMQR is a subsidiary of Rail Acquisition Holdings LLC, a 
Delaware limited liability company, which is, in turn, owned by 
FTAI.
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    Fortress represents that: (1) The rail lines operated by FECR and 
CMQR do not connect with each other, nor do they connect with the Line 
that ORP proposes to acquire and operate in Docket No. FD 35984; (2) 
the transaction that is the subject of Docket No. FD 35984 is not part 
of a series of anticipated transactions that would connect the Line 
that ORP proposes to acquire with the lines of any other rail carrier 
owned by Fortress, any affiliate of Fortress, or any investment fund or 
entity managed by an affiliate of Fortress; \3\ and (3) ORP, CMQR, and 
FECR are not Class I carriers. Therefore, the transaction is exempt 
from the prior approval requirements of 49 U.S.C. 11323. See 49 CFR 
1180.2(d)(2).
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    \3\ Fortress' representation concerning Docket No. FD 35984 is 
sufficient for purposes of the continuance in control exemption 
sought here through 49 CFR 1180.2(d)(2) given that the two 
transactions are so closely related.
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    Under 49 U.S.C. 10502(g), the Board may not use its exemption 
authority to relieve a rail carrier of its statutory obligation to 
protect the interests of its employees. As a condition to the use of 
this exemption, any employees adversely affected by this transaction 
will be protected by the conditions set forth in Wisconsin Central 
Ltd.--Acquisition Exemption--Lines of Union Pacific Railroad, 2 S.T.B. 
218 (1997).
    If the notice contains false or misleading information, the 
exemption is void ab initio. Petitions to revoke the exemption under 49 
U.S.C. 10502(d) may be filed at any time. The filing of a petition to 
revoke will not automatically stay the effectiveness of the exemption. 
Petitions for stay must be filed no later than January 8, 2016.
    An original and 10 copies of all pleadings, referring to Docket No. 
FD 35985, must be filed with the Surface Transportation Board, 395 E 
Street SW., Washington, DC 20423-0001. In addition, one copy of each 
pleading must be served on Terence M. Hynes, Sidley Austin LLP, 1501 K 
Street NW., Washington, DC 20005.
    Board decisions and notices are available on our Web site at 
WWW.STB.DOT.GOV.

    Decided: December 23, 2015.

    By the Board, Julia M. Farr, Acting Director, Office of 
Proceedings.
Raina S. Contee,
Clearance Clerk.
[FR Doc. 2015-32961 Filed 12-30-15; 8:45 am]
BILLING CODE 4915-01-P



                                                                        Federal Register / Vol. 80, No. 251 / Thursday, December 31, 2015 / Notices                                                    81879

                                                By the Board, Julia M. Farr, Acting                   at or near Hannibal, a distance of 12.2               adversely affected by this transaction
                                              Director, Office of Proceedings.                        miles in Monroe County, Ohio (the                     will be protected by the conditions set
                                              Raina S. Contee,                                        Line). ORP, a Delaware limited liability              forth in Wisconsin Central Ltd.—
                                              Clearance Clerk.                                        company, is controlled by Ohio River                  Acquisition Exemption—Lines of Union
                                              [FR Doc. 2015–32960 Filed 12–30–15; 8:45 am]            Partners Shareholder LLC, a Delaware                  Pacific Railroad, 2 S.T.B. 218 (1997).
                                              BILLING CODE 4915–01–P                                  limited liability company (ORPS).1                       If the notice contains false or
                                                                                                      ORPS is indirectly owned and                          misleading information, the exemption
                                                                                                      controlled by FTAI, which is managed                  is void ab initio. Petitions to revoke the
                                              DEPARTMENT OF TRANSPORTATION                            by an affiliate of Fortress.                          exemption under 49 U.S.C. 10502(d)
                                                                                                         The parties intend to consummate the               may be filed at any time. The filing of
                                              Surface Transportation Board                            proposed transaction as soon as                       a petition to revoke will not
                                                                                                      practicable after the effective date of this          automatically stay the effectiveness of
                                              Release of Waybill Data                                 notice of exemption and the concurrent                the exemption. Petitions for stay must
                                                The Surface Transportation Board has                  notice of exemption filed in Docket No.               be filed no later than January 8, 2016.
                                                                                                      FD 35984.                                                An original and 10 copies of all
                                              received a request Neville Peterson LLP
                                                                                                         Two other rail carriers subject to the             pleadings, referring to Docket No. FD
                                              on behalf of Trinity Industries, Inc.
                                                                                                      Board’s jurisdiction, Florida East Coast              35985, must be filed with the Surface
                                              (WB605–12—12/22/15) for permission
                                                                                                      Railway, L.L.C. (FECR) and Central                    Transportation Board, 395 E Street SW.,
                                              to use certain data from the Board’s
                                                                                                      Maine & Quebec Railway US Inc.                        Washington, DC 20423–0001. In
                                              2014 Carload Waybill Sample. A copy of
                                                                                                      (CMQR), are currently controlled by                   addition, one copy of each pleading
                                              this request may be obtained from the
                                                                                                      companies managed by affiliates of                    must be served on Terence M. Hynes,
                                              Office of Economics.
                                                                                                      Fortress.2 FECR, a Class II carrier                   Sidley Austin LLP, 1501 K Street NW.,
                                                The waybill sample contains
                                                                                                      operates approximately 350 miles of rail              Washington, DC 20005.
                                              confidential railroad and shipper data;
                                                                                                      lines in the State of Florida extending                  Board decisions and notices are
                                              therefore, if any parties object to these
                                                                                                      between Jacksonville and the Miami                    available on our Web site at
                                              requests, they should file their
                                                                                                      metropolitan area. CMQR, a Class III                  WWW.STB.DOT.GOV.
                                              objections with the Director of the
                                                                                                      carrier, operates approximately 244                     Decided: December 23, 2015.
                                              Board’s Office of Economics within 14
                                                                                                      miles of rail lines in the States of Maine              By the Board, Julia M. Farr, Acting
                                              calendar days of the date of this notice.
                                                                                                      and Vermont.                                          Director, Office of Proceedings.
                                              The rules for release of waybill data are                  Fortress represents that: (1) The rail
                                              codified at 49 CFR 1244.9.                                                                                    Raina S. Contee,
                                                                                                      lines operated by FECR and CMQR do
                                                Contact: Alexander Dusenberry, (202)                  not connect with each other, nor do they
                                                                                                                                                            Clearance Clerk.
                                              245–0319.                                               connect with the Line that ORP                        [FR Doc. 2015–32961 Filed 12–30–15; 8:45 am]
                                                                                                      proposes to acquire and operate in                    BILLING CODE 4915–01–P
                                              Jeffrey Herzig,
                                              Clearance Clerk.                                        Docket No. FD 35984; (2) the transaction
                                              [FR Doc. 2015–32930 Filed 12–30–15; 8:45 am]            that is the subject of Docket No. FD
                                                                                                      35984 is not part of a series of                      DEPARTMENT OF TRANSPORTATION
                                              BILLING CODE 4915–01–P
                                                                                                      anticipated transactions that would                   Surface Transportation Board
                                                                                                      connect the Line that ORP proposes to
                                                                                                      acquire with the lines of any other rail              [Docket No. FD 35976]
                                              DEPARTMENT OF TRANSPORTATION
                                                                                                      carrier owned by Fortress, any affiliate
                                                                                                      of Fortress, or any investment fund or                Roanoke Southern, LLC—Acquisition
                                              Surface Transportation Board
                                                                                                      entity managed by an affiliate of                     and Operation Exemption—Norfolk
                                              [Docket No. FD 35985]                                                                                         Southern Railway Company
                                                                                                      Fortress; 3 and (3) ORP, CMQR, and
                                              Fortress Investment Group LLC—                          FECR are not Class I carriers. Therefore,                Roanoke Southern, LLC (RSRL),1 a
                                              Continuance in Control Exemption—                       the transaction is exempt from the prior              noncarrier, has filed a verified notice of
                                              Ohio River Partners LLC                                 approval requirements of 49 U.S.C.                    exemption under 49 CFR 1150.31 to
                                                                                                      11323. See 49 CFR 1180.2(d)(2).                       acquire, by donation from Norfolk
                                                Fortress Investment Group LLC                            Under 49 U.S.C. 10502(g), the Board
                                                                                                                                                            Southern Railway Company (NSR), and
                                              (Fortress) has filed a verified notice of               may not use its exemption authority to
                                                                                                                                                            to operate an approximately 2.42-mile
                                              exemption pursuant to 49 CFR                            relieve a rail carrier of its statutory
                                                                                                                                                            portion of a rail line known as the
                                              1180.2(d)(2) for the benefit of Fortress                obligation to protect the interests of its
                                                                                                                                                            Roanoke Belt Line between milepost R–
                                              Transportation and Infrastructure                       employees. As a condition to the use of
                                                                                                                                                            4.5 (at a point north of Rolfe St., SW)
                                              Investors LLC (FTAI), which is managed                  this exemption, any employees
                                                                                                                                                            and milepost R–6.92 (at a point east of
                                              by an affiliate of Fortress, to continue in
                                                                                                                                                            the intersection of U.S. Business 220
                                              control of Ohio River Partners LLC                         1 Upon consummation of the proposed

                                                                                                      transaction, ORPS will own a 75% interest in ORP.     and Brandon Ave., SW), all of which is
                                              (ORP), a noncarrier, upon ORP
                                                                                                      The remaining 25% interest in ORP will be held by     located in Roanoke, Va.
                                              becoming a Class III rail carrier.                      Hannibal Development, LLC, which currently owns          RSRL states that the line is being
                                                This transaction is related to a                      the rail line that is the subject of ORP’s verified   acquired to facilitate the
                                              concurrently filed verified notice of                   notice of exemption in Docket No. FD 35984.
                                                                                                                                                            commencement of the VMT-sponsored,
                                              exemption in Ohio River Partners LLC—                      2 FECR is currently owned by FECR Rail Holding

                                                                                                      LLC, which is, in turn, owned by investment funds     intrastate excursion operations. RSRL
                                              Acquisition & Operation Exemption—
                                                                                                      managed by an affiliate of Fortress. CMQR is a        notes that in the event that a demand for
tkelley on DSK3SPTVN1PROD with NOTICES




                                              Hannibal Development, LLC, Docket No.                   subsidiary of Rail Acquisition Holdings LLC, a        freight service was to emerge following
                                              FD 35984, wherein ORP seeks Board                       Delaware limited liability company, which is, in
                                                                                                                                                            consummation of the proposed
                                              approval under 49 CFR 1150.31 to                        turn, owned by FTAI.
                                                                                                         3 Fortress’ representation concerning Docket No.   transaction, RSRL acknowledges that it
                                              acquire and operate a line of railroad,
                                                                                                      FD 35984 is sufficient for purposes of the
                                              known as the Omal Secondary Track,                      continuance in control exemption sought here            1 RSRL is directly controlled by the Virginia
                                              that extends between milepost 60.5 at or                through 49 CFR 1180.2(d)(2) given that the two        Museum of Transportation, Inc. (VMT), a
                                              near Powhatan Point and milepost 72.7                   transactions are so closely related.                  noncarrier.



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Document Created: 2015-12-31 02:14:41
Document Modified: 2015-12-31 02:14:41
CategoryRegulatory Information
CollectionFederal Register
sudoc ClassAE 2.7:
GS 4.107:
AE 2.106:
PublisherOffice of the Federal Register, National Archives and Records Administration
SectionNotices
FR Citation80 FR 81879 

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