82_FR_10202 82 FR 10176 - The Indiana Rail Road Company-Trackage Rights Exemption-CSX Transportation, Inc.

82 FR 10176 - The Indiana Rail Road Company-Trackage Rights Exemption-CSX Transportation, Inc.

SURFACE TRANSPORTATION BOARD

Federal Register Volume 82, Issue 26 (February 9, 2017)

Page Range10176-10176
FR Document2017-02701

Federal Register, Volume 82 Issue 26 (Thursday, February 9, 2017) 
[Federal Register Volume 82, Number 26 (Thursday, February 9, 2017)]
[Notices]
[Page 10176]
From the Federal Register Online  [www.thefederalregister.org]
[FR Doc No: 2017-02701]


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SURFACE TRANSPORTATION BOARD

[Docket No. FD 36068 (Sub-No. 1)]


The Indiana Rail Road Company--Trackage Rights Exemption--CSX 
Transportation, Inc.

    On September 29, 2016, The Indiana Rail Road Company (INRD) filed a 
verified notice of exemption in Docket No. FD 36068 for trackage rights 
under the class exemption at 49 CFR 1180.2(d)(7) and simultaneously 
filed a petition in this sub-docket to partially revoke the exemption 
to allow the trackage rights to expire on December 31, 2017. Notice of 
the exemption in Docket No. FD 36068 was served and published in the 
Federal Register on October 14, 2016 (81 FR 71160), and became 
effective on October 29, 2016. This decision addresses INRD's petition 
to partially revoke the exemption.
    As explained by INRD in its notice of exemption in Docket No. FD 
36068, pursuant to a May 15, 2008 trackage rights agreement and two 
subsequent supplements to that agreement dated as of August 1, 2009, 
and November 20, 2009, INRD holds trackage rights over a line of 
railroad of CSX Transportation, Inc. (CSXT) from Sullivan to Carlisle 
and Oaktown, Ind.\1\ The purpose of these trackage rights is to allow 
INRD to handle unit coal trains from mines at Carlisle and Oaktown to 
specified destinations on INRD or other railroads with which INRD 
interchanges.
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    \1\ See Ind. Rail Rd.--Trackage Rights Exemption--CSX Transp., 
Inc., FD 35328 (STB served Dec. 31, 2009); Ind. Rail Rd.--Trackage 
Rights Exemption--CSX Transp., Inc., FD 35287 (STB served Sept. 2, 
2009); Ind. Rail Rd.--Amended Trackage Rights Exemption--CSX 
Transp., Inc., FD 35137 (STB served May 22, 2008).
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    INRD states in its petition in this sub-docket that CSXT agreed to 
temporarily expand the existing trackage rights to allow INRD to handle 
loaded and empty coal trains between the Oaktown Mine and the Kentucky 
Utilities Generating Station in Harrodsburg, Ky., in interline service 
with other rail carriers.\2\ That temporary trackage rights agreement, 
entitled Supplemental Agreement No. 6 and dated September 1, 2016 
(Agreement), provides that the expanded trackage rights will expire on 
December 31, 2017.\3\ INRD argues that granting its petition to allow 
the trackage rights to expire on that date will promote the rail 
transportation policy, will be consistent with the limited scope of the 
transaction, and will not adversely affect the current competitive 
situation of any shipper.
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    \2\ INRD's notice of exemption initially described the trackage 
rights as ``local.'' However, on October 4, 2016, INRD filed a 
supplement in which it states that, beyond serving the mine at 
Oaktown, the temporary trackage rights will not allow INRD to 
provide local service at any points between Sullivan and Oaktown.
    \3\ INRD explained in its notice of exemption that because the 
temporary trackage rights under the Agreement were to be more than a 
year in duration, the class exemption for temporary trackage rights 
under 49 CFR 1180.2(d)(8) was not available.
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Discussion and Conclusions

    Although INRD and CSXT have expressly agreed on the duration of the 
proposed Agreement, trackage rights approved under the class exemption 
at 49 CFR 1180.2(d)(7) typically remain effective indefinitely, 
regardless of any contract provisions. Occasionally, however, trackage 
rights exemptions have been granted for a limited time period rather 
than in perpetuity. See, e.g., Ind. S. R.R.--Temporary Trackage Rights 
Exemption--Norfolk S. Ry., FD 35965 (Sub-No. 1) (STB served Nov. 25, 
2015).
    Under 49 U.S.C. 10502, the Board may exempt a person, class of 
persons, or a transaction or service, in whole or in part, when it 
finds that: (1) Continued regulation is not necessary to carry out the 
rail transportation policy of 49 U.S.C. 10101; and (2) either the 
transaction or service is of limited scope, or regulation is not 
necessary to protect shippers from the abuse of market power.
    INRD's trackage rights were already authorized under the class 
exemption at 49 CFR 1180.2(d)(7). Granting partial revocation in these 
circumstances would promote the rail transportation policy by 
eliminating the need to file a second pleading seeking discontinuance 
when the agreement expires, thereby promoting rail transportation 
policy goals at 49 U.S.C. 10101(2), (7), and (15). Moreover, limiting 
the term of the trackage rights is consistent with the limited scope of 
the transaction previously exempted. Therefore, the Board will grant 
the petition and permit the trackage rights exempted in Docket No. FD 
36068 to expire on December 31, 2017.
    To provide the statutorily mandated protection to any employee 
adversely affected by the discontinuance of trackage rights, the Board 
will impose the employee protective conditions set forth in Oregon 
Short Line Railroad--Abandonment Portion Goshen Branch Between Firth & 
Ammon, in Bingham & Bonneville Counties, Idaho, 360 I.C.C. 91 (1979).
    This action is categorically excluded from environmental review 
under 49 CFR 1105.6(c).
    It is ordered:
    1. The petition for partial revocation is granted.
    2. Under 49 U.S.C. 10502, the trackage rights described in Docket 
No. FD 36068 are exempted, as discussed above, to permit the trackage 
rights to expire on December 31, 2017, subject to the employee 
protective conditions set forth in Oregon Short Line.
    3. Notice will be published in the Federal Register on February 9, 
2017.
    4. This decision is effective on March 11, 2017. Petitions to stay 
must be filed by February 21, 2017. Petitions for reconsideration must 
be filed by March 1, 2017.

    Decided: February 3, 2017.

    By the Board, Acting Chairman Begeman, Vice Chairman Elliott, 
and Commissioner Miller.
Marline Simeon,
Clearance Clerk.
[FR Doc. 2017-02701 Filed 2-8-17; 8:45 am]
 BILLING CODE 4915-01-P

10176 Federal Register / Vol. 82, No. 26 / Thursday, February 9, 2017 / Notices JXPT certifies that, as a result of this rights agreement and two subsequent in part, when it finds that: (1) Continued transaction, its projected revenues will supplements to that agreement dated as regulation is not necessary to carry out not result in the creation of a Class II or of August 1, 2009, and November 20, the rail transportation policy of 49 Class I rail carrier and will not exceed 2009, INRD holds trackage rights over a U.S.C. 10101; and (2) either the $5 million. line of railroad of CSX Transportation, transaction or service is of limited JXPT states that the operating Inc. (CSXT) from Sullivan to Carlisle scope, or regulation is not necessary to agreement does not involve a provision and Oaktown, Ind.1 The purpose of protect shippers from the abuse of or agreement which may limit future these trackage rights is to allow INRD to market power. interchange with a third party handle unit coal trains from mines at INRD’s trackage rights were already connecting carrier. Carlisle and Oaktown to specified authorized under the class exemption at If the verified notice contains false or destinations on INRD or other railroads 49 CFR 1180.2(d)(7). Granting partial misleading information, the exemption with which INRD interchanges. revocation in these circumstances is void ab initio. Petitions to revoke the INRD states in its petition in this sub- would promote the rail transportation exemption under 49 U.S.C. 10502(d) docket that CSXT agreed to temporarily policy by eliminating the need to file a may be filed at any time. The filing of expand the existing trackage rights to second pleading seeking discontinuance a petition to revoke will not allow INRD to handle loaded and empty when the agreement expires, thereby automatically stay the effectiveness of coal trains between the Oaktown Mine and the Kentucky Utilities Generating promoting rail transportation policy the exemption. Petitions to stay must be Station in Harrodsburg, Ky., in interline goals at 49 U.S.C. 10101(2), (7), and (15). filed no later than February 16, 2017 (at least seven days before the exemption service with other rail carriers.2 That Moreover, limiting the term of the becomes effective). temporary trackage rights agreement, trackage rights is consistent with the An original and 10 copies of all entitled Supplemental Agreement No. 6 limited scope of the transaction pleadings, referring to Docket No. FD and dated September 1, 2016 previously exempted. Therefore, the 36089, must be filed with the Surface (Agreement), provides that the Board will grant the petition and permit Transportation Board, 395 E Street SW., expanded trackage rights will expire on the trackage rights exempted in Docket Washington, DC 20423–0001. In December 31, 2017.3 INRD argues that No. FD 36068 to expire on December 31, addition, a copy must be served on Karl granting its petition to allow the 2017. Morell, Karl Morell & Associates, Suite trackage rights to expire on that date To provide the statutorily mandated 225, 655 Fifteenth St. NW., Washington, will promote the rail transportation protection to any employee adversely DC 20005. policy, will be consistent with the affected by the discontinuance of Board decisions and notices are limited scope of the transaction, and trackage rights, the Board will impose available on our Web site at will not adversely affect the current the employee protective conditions set ‘‘WWW.STB.GOV.’’ competitive situation of any shipper. forth in Oregon Short Line Railroad— Decided: February 3, 2017. Abandonment Portion Goshen Branch Discussion and Conclusions By the Board, Scott M. Zimmerman, Acting Between Firth & Ammon, in Bingham & Although INRD and CSXT have Bonneville Counties, Idaho, 360 I.C.C. Director, Office of Proceedings. expressly agreed on the duration of the 91 (1979). Brendetta S. Jones, proposed Agreement, trackage rights Clearance Clerk. approved under the class exemption at This action is categorically excluded [FR Doc. 2017–02703 Filed 2–8–17; 8:45 am] 49 CFR 1180.2(d)(7) typically remain from environmental review under 49 BILLING CODE 4915–01–P effective indefinitely, regardless of any CFR 1105.6(c). contract provisions. Occasionally, It is ordered: however, trackage rights exemptions 1. The petition for partial revocation SURFACE TRANSPORTATION BOARD have been granted for a limited time is granted. [Docket No. FD 36068 (Sub-No. 1)] period rather than in perpetuity. See, e.g., Ind. S. R.R.—Temporary Trackage 2. Under 49 U.S.C. 10502, the trackage The Indiana Rail Road Company— Rights Exemption—Norfolk S. Ry., FD rights described in Docket No. FD 36068 Trackage Rights Exemption—CSX 35965 (Sub-No. 1) (STB served Nov. 25, are exempted, as discussed above, to Transportation, Inc. 2015). permit the trackage rights to expire on Under 49 U.S.C. 10502, the Board December 31, 2017, subject to the On September 29, 2016, The Indiana may exempt a person, class of persons, employee protective conditions set forth Rail Road Company (INRD) filed a or a transaction or service, in whole or in Oregon Short Line. verified notice of exemption in Docket 3. Notice will be published in the No. FD 36068 for trackage rights under 1 See Ind. Rail Rd.—Trackage Rights Exemption— Federal Register on February 9, 2017. the class exemption at 49 CFR CSX Transp., Inc., FD 35328 (STB served Dec. 31, 1180.2(d)(7) and simultaneously filed a 2009); Ind. Rail Rd.—Trackage Rights Exemption— 4. This decision is effective on March petition in this sub-docket to partially CSX Transp., Inc., FD 35287 (STB served Sept. 2, 11, 2017. Petitions to stay must be filed 2009); Ind. Rail Rd.—Amended Trackage Rights by February 21, 2017. Petitions for revoke the exemption to allow the Exemption—CSX Transp., Inc., FD 35137 (STB trackage rights to expire on December served May 22, 2008). reconsideration must be filed by March 31, 2017. Notice of the exemption in 2 INRD’s notice of exemption initially described 1, 2017. Docket No. FD 36068 was served and the trackage rights as ‘‘local.’’ However, on October Decided: February 3, 2017. published in the Federal Register on 4, 2016, INRD filed a supplement in which it states sradovich on DSK3GMQ082PROD with NOTICES that, beyond serving the mine at Oaktown, the By the Board, Acting Chairman Begeman, October 14, 2016 (81 FR 71160), and temporary trackage rights will not allow INRD to Vice Chairman Elliott, and Commissioner became effective on October 29, 2016. provide local service at any points between Miller. This decision addresses INRD’s petition Sullivan and Oaktown. 3 INRD explained in its notice of exemption that Marline Simeon, to partially revoke the exemption. because the temporary trackage rights under the Clearance Clerk. As explained by INRD in its notice of Agreement were to be more than a year in duration, exemption in Docket No. FD 36068, [FR Doc. 2017–02701 Filed 2–8–17; 8:45 am] the class exemption for temporary trackage rights pursuant to a May 15, 2008 trackage under 49 CFR 1180.2(d)(8) was not available. BILLING CODE 4915–01–P VerDate Sep<11>2014 18:11 Feb 08, 2017 Jkt 241001 PO 00000 Frm 00194 Fmt 4703 Sfmt 9990 E:\FR\FM\09FEN1.SGM 09FEN1


Document Created: 2017-02-09 01:03:13
Document Modified: 2017-02-09 01:03:13
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 Citation82 FR 10176 
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