83 FR 33971 - Buckingham Branch Railroad Company-Change in Operators Exemption-Cassatt Management, LLC d/b/a Bay Coast Railroad

SURFACE TRANSPORTATION BOARD

Federal Register Volume 83, Issue 138 (July 18, 2018)

[Federal Register Volume 83, Number 138 (Wednesday, July 18, 2018)]
[Notices]
[Page 33971]
From the Federal Register Online  [www.thefederalregister.org]
[FR Doc No: 2018-15331]



[[Page 33971]]

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SURFACE TRANSPORTATION BOARD

[Docket No. FD 36202]


Buckingham Branch Railroad Company--Change in Operators 
Exemption--Cassatt Management, LLC d/b/a Bay Coast Railroad

    Buckingham Branch Railroad Company (BB), a Class III rail carrier, 
has filed a verified notice of exemption under 49 CFR 1150.41 to assume 
operations over the following rail lines: (1) A 2.6-mile rail line, 
owned by Canonie Atlantic Co. (CAC) on behalf of the Accomack-
Northampton Transportation District Commission (ANTDC), extending 
between milepost 95.0 at Little Creek (Virginia Beach), Va., and 
milepost 97.6 at Camden Heights (Norfolk), Va. (the Little Creek Line); 
and (2) a 4.2-mile rail line owned by Norfolk Southern Railway Company 
(NSR), extending between milepost SN 6.7 at Diamond Springs (Virginia 
Beach), Va., and milepost SN 2.5 at Coleman Place (Norfolk), Va. (the 
North Beach and Diamond Springs Line) \1\ (collectively, the Lines). 
According to BB, the Lines represent two branches forming a ``Y'' with 
an overlapping convergence into the stem at Camden Heights, with 
milepost SN 2.5 at Coleman Place located west of the convergence. BB 
states that it will also utilize an additional four miles of trackage 
rights to facilitate interchange with NSR at Portlock Yard.
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    \1\ BB states that NSR formerly leased the North Beach and 
Diamond Springs Line to another carrier, Eastern Shore Railroad. 
According to BB, no discontinuance authority is required as this is 
a change in operators.
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    BB states that it will provide rail common carrier service to 
shippers on the Lines and that its operations will replace those of 
Cassatt Management, LLC d/b/a Bay Coast Railroad (BCR), the current 
operator.\2\ BB further states that BCR seeks to imminently cease 
operations over the Lines and does not object to the proposed change in 
operators. According to BB, BCR's ability to continue operation of the 
Lines has recently become uncertain, and recent personnel departures at 
BCR have prompted BCR to press for terminating its Norfolk-area 
operations as soon as possible.\3\ BB states it is negotiating a lease 
and operation agreement with CAC for the Little Creek Line and a lease 
agreement with NSR to operate over the North Beach and Diamond Springs 
Line.
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    \2\ See Cassatt Mgmt. LLC--Lease & Operation Exemption--Canonie 
Atlantic Co. ex rel. Accomack-Northampton Transp. Dist. Comm'n, FD 
34818 (STB served Feb. 6, 2006).
    \3\ BB states that the circumstances here are related to those 
underlying the transaction in Delmarva Central Railroad--Change in 
Operator Exemption--Cassatt Management, LLC D/B/A Bay Coast 
Railroad, FD 36196 (STB served Jun. 8, 2018).
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    BB states that the proposed operation of the Lines does not involve 
any provision or agreement that would limit future interchange with a 
third-party connecting carrier. BB also certifies that its projected 
annual revenues from freight operations will not result in the creation 
of a Class II or Class I rail carrier.
    Under 49 CFR 1150.42(b), a change in operators requires that notice 
be given to shippers. BB states that it has provided notice of the 
proposed change in operator to the shippers on the Lines.
    BB certifies that on June 13, 2018, it posted notice of the 
transaction at the workplace of BCR employees as required under 49 CFR 
1150.42(e). BB states that BCR employees are not represented by any 
labor union. Concurrently with its notice of exemption, BB filed a 
petition for partial waiver of the 60-day advance labor notice 
requirement under 49 CFR 1150.42(e) to allow the transaction to be 
consummated on August 1, 2018. The petition for waiver will be 
addressed in a separate decision, which will establish the earliest 
date this transaction may be consummated.
    If the verified 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 July 25, 
2018.
    An original and 10 copies of all pleadings, referring to Docket No. 
FD 36202, must be filed with the Surface Transportation Board, 395 E 
Street SW, Washington, DC 20423-0001. In addition, a copy of each 
pleading must be served on BB's representative, Robert A. Wimbish, 
Fletcher & Sippel LLC, 29 North Wacker Drive, Suite 920, Chicago, IL 
60606-2832.
    According to BB, this action is excluded from environmental review 
under 49 CFR 1105.6(c) and from historic preservation reporting 
requirements under 49 CFR 1105.8(b)(1).
    Board decisions and notices are available on our website at 
WWW.STB.GOV.

    Decided: July 13, 2018.

    By the Board, Scott M. Zimmerman, Acting Director, Office of 
Proceedings.
Kenyatta Clay,
Clearance Clerk.
[FR Doc. 2018-15331 Filed 7-17-18; 8:45 am]
 BILLING CODE 4915-01-P