81 FR 8000 - Information Required in Notices and Petitions Containing Interchange Commitments

SURFACE TRANSPORTATION BOARD

Federal Register Volume 81, Issue 31 (February 17, 2016)

The Surface Transportation Board (STB or Board) is issuing a final rule to insert language that was inadvertently omitted when an amended rule was promulgated on September 5, 2013. This decision is effective on its date of publication.

[Federal Register Volume 81, Number 31 (Wednesday, February 17, 2016)]
[Rules and Regulations]
[Pages 8000-8001]
From the Federal Register Online  [www.thefederalregister.org]
[FR Doc No: 2016-03199]


=======================================================================
-----------------------------------------------------------------------

SURFACE TRANSPORTATION BOARD

49 CFR Part 1180

[Docket No. EP 714]


Information Required in Notices and Petitions Containing 
Interchange Commitments

AGENCY: Surface Transportation Board.

ACTION: Final rule.

-----------------------------------------------------------------------

SUMMARY: The Surface Transportation Board (STB or Board) is issuing a 
final rule to insert language that was inadvertently omitted when an 
amended rule was promulgated on September 5, 2013. This decision is 
effective on its date of publication.

DATES: This rule is effective on February 17, 2016.

FOR FURTHER INFORMATION CONTACT: Amy C. Ziehm at (202) 245-0391. 
Assistance for the hearing impaired is available through the Federal 
Information Relay Service (FIRS) at (800) 877-8339.

SUPPLEMENTARY INFORMATION: On September 5, 2013, the Board, with Vice 
Chairman Begeman dissenting, adopted final rules that established 
additional disclosure requirements for notices and petitions for 
exemption where the underlying lease or line sale includes an 
interchange commitment. Information Required in Notices and Petitions 
Containing Interchange Commitments (2013 Final Rules), EP 714 (STB 
served Sept. 5, 2013). Interchange commitments are ``contractual 
provisions included with a sale or lease of a rail line that limit the 
incentive or the ability of the purchaser or tenant carrier to 
interchange traffic with rail carriers other than the seller or lessor 
railroad.'' Review of Rail Access & Competition Issues--Renewed Pet. of 
the W. Coal Traffic League, EP 575, slip op. at 1 (STB served Oct. 30, 
2007). The purpose of this rulemaking was to improve the ability of the 
Board and affected parties to determine at the outset whether a 
transaction that includes an interchange commitment is appropriate for 
the exemption process or raises competitive issues that require a more 
detailed examination.
    The 2013 Final Rules' addition of a requirement to certify the 
existence of any interchange commitments was intended to apply to all 
notices and petitions for exemption involving transactions where the 
underlying lease or line sale could include an interchange commitment. 
2013 Final Rules 1, 3. The Board included such language in the amended 
versions of 1121.3(d)(1), 1150.33(h)(1), and 1150.43(h)(1). Due to an 
oversight, however, the introductory language of 49 CFR 1180.4(g)(4)(i) 
was not modified. This inadvertent error will now be addressed by 
amending 49 CFR 1180.4(g)(4)(i). Specifically, 49 CFR 1180.4(g)(4)(i) 
will now state that the filing party must certify whether or not a 
proposed acquisition or operation of a rail line involves a provision 
or agreement that may limit future interchange with a third-party 
connecting carrier, whether by outright prohibition, per-car penalty, 
adjustment in the purchase price or rental, positive

[[Page 8001]]

economic inducement, or other means (``interchange commitment''). 
Futhermore, 49 CFR 1180.4(g)(4)(i) will now state that if such a 
provision or agreement exists, additional information must be provided 
(the information in paragraphs (g)(4)(i)(B), (D), and (G) of this 
section may be filed with the Board under 49 CFR 1104.14(a) and will be 
kept confidential without need for the filing of an accompanying motion 
for a protective order under 49 CFR 1104.14(b)).
    As this action relates solely to the rules of agency practice and 
procedure, it will be issued as a final rule without requesting public 
comment.\1\ 5 U.S.C. 553(b)(3)(A).
---------------------------------------------------------------------------

    \1\ Board procedures allow for the issue of final rules without 
notice or comment when those rules are interpretive, general 
statements of policy, or relate to organization, procedure, or 
practice before the Board. See 49 CFR 1110.3(a).
---------------------------------------------------------------------------

    In the 2013 Final Rules, the Board certified that the rules as 
amended would not have a significant economic impact on a substantial 
number of small entities within the meaning of the Regulatory 
Flexibility Act of 1980 (RFA), 5 U.S.C. 601-612. 2013 Final Rules 8. 
The Board further analyzed the burdens associated with the additional 
filing requirements pursuant to Paperwork Reduction Act (PRA), 44 
U.S.C. 3501-3549 and stated its belief that the additional disclosure 
requirements would not discourage parties from entering into 
efficiency-enhancing transactions. See 2013 Final Rules 6, 8. Those 
analyses and conclusions apply equally to this decision, and therefore, 
we adopt those analyses and conclusions and certify under 5 U.S.C. 
605(b) that this final rule will not have a significant economic impact 
on a substantial number of small entities within the meaning of the 
RFA.

List of Subjects in 49 CFR Part 1180

    Administrative practice and procedure, Railroads, Reporting and 
recordkeeping requirements.

    It is ordered:
    1. The Board adopts the final rule as set forth in this decision. 
Notice of the adopted rules will be published in the Federal Register.
    2. This decision is effective on the date of publication.

    By the Board, Chairman Elliot, Vice Chairman Miller, and 
Commissioner Begman.
Raina S. Contee,
Clearance Clerk.

    For the reasons set forth in the preamble, the Surface 
Transportation Board amends part 1180 title 49, chapter X, of the Code 
of Federal Regulations as follows:

PART 1180--RAILROAD ACQUISITION, CONTROL, MERGER, CONSOLIDATION 
PROJECT, TRACKAGE RIGHTS, AND LEASE PROCEDURES

0
1. The authority for part 1180 continues to read as follows:

    Authority: 5 U.S.C. 553 and 559; 11 U.S.C. 1172; 49 U.S.C. 721, 
10502, 11323-11325.


0
2. Amend Sec.  1180.4 by revising paragraphs (g)(4)(i) introductory 
text to read as follows:


1180.4  Procedures.

* * * * *
    (g) * * *
    (4) Transactions imposing interchange commitments. (i) The filing 
party must certify whether or not a proposed acquisition or operation 
of a rail line involves a provision or agreement that may limit future 
interchange with a third-party connecting carrier, whether by outright 
prohibition, per-car penalty, adjustment in the purchase price or 
rental, positive economic inducement, or other means (``interchange 
commitment''). If such a provision or agreement exists, the following 
additional information must be provided (the information in paragraphs 
(g)(4)(i)(B), (D), and (G) of this section may be filed with the Board 
under 49 CFR 1104.14(a) and will be kept confidential without need for 
the filing of an accompanying motion for a protective order under 49 
CFR 1104.14(b)):
* * * * *
[FR Doc. 2016-03199 Filed 2-16-16; 8:45 am]
BILLING CODE 4915-01-P