83 FR 17699 - Alliance Terminal Railroad, LLC-Discontinuance of Service and Discontinuance of Trackage Rights Exemption-in Denton and Tarrant Counties, Texas

SURFACE TRANSPORTATION BOARD

Federal Register Volume 83, Issue 78 (April 23, 2018)

[Federal Register Volume 83, Number 78 (Monday, April 23, 2018)]
[Notices]
[Page 17699]
From the Federal Register Online  [www.thefederalregister.org]
[FR Doc No: 2018-08420]


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SURFACE TRANSPORTATION BOARD

[Docket No. AB 1262X]


Alliance Terminal Railroad, LLC--Discontinuance of Service and 
Discontinuance of Trackage Rights Exemption--in Denton and Tarrant 
Counties, Texas

    Alliance Terminal Railroad, LLC (ATR) has filed a verified notice 
of exemption under 49 CFR 1152 subpart F-Exempt Abandonments and 
Discontinuances of Service to discontinue service and trackage rights 
over approximately 23.9 miles of rail line in Denton and Tarrant 
Counties, Tex. (the Line). Specifically, ATR is seeking to discontinue 
(a) service over approximately 12.9 miles of subleased track that is 
owned by BNSF Railway Company (BNSF) and was previously leased to 
Quality Terminal Services LLC, a non-carrier corporate affiliate of 
ATR, in Haslet, Tex.,\1\ and (b) an additional 11 miles of incidental, 
overhead trackage rights over BNSF Main Line #2 in Haslet and Saginaw, 
Tex., splitting from BNSF Main Line #1 at milepost 359.0 and rejoining 
BNSF Main Line #1 at milepost 370.0. The Line traverses United States 
Postal Service Zip Codes 76052 and 76247.
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    \1\ ATR states that the subleased track lies adjacent to BNSF 
Main Line #2 and that there are no mileposts associated with the 
subleased track or BNSF Main Line #2. ATR further states that the 
subleased track lies approximately between milepost 362.2 and 
milepost 365.0 on BNSF Main Line #1.
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    ATR has certified that: (1) It has handled no local or overhead 
traffic over the Line for at least two years; (2) any overhead traffic 
on the Line can be rerouted over other lines; (3) no formal complaint 
filed by a user of a rail service on the Line (or by a state or local 
government entity acting on behalf of such user) regarding cessation of 
service over the Line is pending either with the Surface Transportation 
Board (Board) or with any U.S. District Court or has been decided in 
favor of a complainant within the two-year period; and (4) the 
requirements at 49 CFR 1105.12 (newspaper publication) and 49 CFR 
1152.50(d)(1) (notice to governmental agencies) have been met.
    The verified notice states that the Line ``constitutes the entirety 
of ATR's past operations.'' Where, as here, the carrier is 
discontinuing service over its entire system, the Board does not 
normally impose labor protection under 49 U.S.C. 10502(g), unless the 
evidence indicates the existence of: (1) A corporate affiliate that 
will continue substantially similar rail operations; or (2) a corporate 
parent that will realize substantial financial benefits over and above 
relief from the burden of deficit operations by its subsidiary 
railroad. See Honey Creek R.R.--Aban. Exemption--in Henry Cty., Ind., 
AB 865X (STB served Aug. 20, 2004); Wellsville, Addison & Galeton 
R.R.--Aban., 354 I.C.C. 744 (1978); and Northampton & Bath R.R.--Aban., 
354 I.C.C. 784 (1978). According to ATR, after discontinuance no 
corporate affiliate of ATR will continue similar operations, nor will 
ATR's parent company realize substantial financial benefits over and 
above relief from a common carrier obligation over a line that ATR has 
not operated over in more than two years. Therefore, employee 
protection conditions will not be imposed.
    Provided no formal expression of intent to file an offer of 
financial assistance (OFA) \2\ to subsidize continued rail service has 
been received, this exemption will be effective May 23, 2018,\3\ unless 
stayed pending reconsideration. Petitions to stay that do not involve 
environmental issues and formal expressions of intent to file an OFA to 
subsidize continued rail service under 49 CFR 1152.27(c)(2) \4\ must be 
filed by May 3, 2018.\5\ Petitions for reconsideration must be filed by 
May 14, 2018, with the Surface Transportation Board, 395 E Street SW, 
Washington, DC 20423-0001.
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    \2\ The Board modified its OFA procedures effective July 29, 
2017. Among other things, the OFA process now requires potential 
offerors, in their formal expression of intent, to make a 
preliminary financial responsibility showing based on a calculation 
using information contained in the carrier's filing and publicly 
available information. See Offers of Financial Assistance, EP 729 
(STB served June 29, 2017); 82 FR 30,997 (July 5, 2017).
    \3\ ATR initially filed its verified notice of exemption on 
March 12, 2018. ATR supplemented its notice on March 22, 2018 and 
April 3, 2018. Therefore, April 3 will be considered the official 
filing date.
    \4\ Each OFA must be accompanied by the filing fee, which 
currently is set at $1,800. See Regulations Governing Fees for 
Servs. Performed in Connection with Licensing & Related Servs.--2017 
Update, EP 542 (Sub-No. 25) (STB served July 28, 2017).
    \5\ Because this is a discontinuance proceeding and not an 
abandonment, trail use/rail banking and public use conditions are 
not appropriate. Because there will be an environmental review 
during abandonment, this discontinuance does not require 
environmental review.
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    A copy of any petition filed with Board should be sent to ATR's 
representative, Bradon J. Smith, Fletcher & Sippel LLC, 29 North Wacker 
Drive, Suite 920, Chicago, IL 60606.
    If the verified notice contains false or misleading information, 
the exemption is void ab initio.
    Board decisions and notices are available on our website at 
``WWW.STB.GOV.''

    Decided: April 18, 2018.

    By the Board, Scott M. Zimmerman, Acting Director, Office of 
Proceedings.
Jeffrey Herzig,
Clearance Clerk.
[FR Doc. 2018-08420 Filed 4-20-18; 8:45 am]
 BILLING CODE 4915-01-P