83 FR 63192 - North Carolina & Virginia Railroad Company, L.L.C., Chesapeake & Albemarle Railroad Division-Lease Amendment and Operation Exemption Including Interchange Commitment-Norfolk Southern Railway Company

SURFACE TRANSPORTATION BOARD

Federal Register Volume 83, Issue 235 (December 7, 2018)

Page Range		63192-63192
FR Document		2018-26575
Federal Register, Volume 83 Issue 235 (Friday, December 7, 2018)
[Federal Register Volume 83, Number 235 (Friday, December 7, 2018)]
[Notices]
[Page 63192]
From the Federal Register Online  [www.thefederalregister.org]
[FR Doc No: 2018-26575]



[[Page 63192]]

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SURFACE TRANSPORTATION BOARD

[Docket No. FD 36252]


North Carolina & Virginia Railroad Company, L.L.C., Chesapeake & 
Albemarle Railroad Division--Lease Amendment and Operation Exemption 
Including Interchange Commitment--Norfolk Southern Railway Company

    Chesapeake & Albemarle Railroad (CA), a Class III railroad and 
division of North Carolina & Virginia Railroad Company, L.L.C. (NCVA), 
has filed a verified notice of exemption under 49 U.S.C. 10902 to enter 
into a superseding and replacement lease with Norfolk Southern Railway 
Company (NSR) and operate lines of railroad between (1) milepost NS 
4.00 at Providence Junction, Va., and milepost NS 8.00 at Butts, Va., 
(2) milepost NS 8.00 at Butts, Va., and milepost NS 73.59 at Edenton, 
N.C., and (3) milepost WK 0.00 at Elizabeth City, N.C., and milepost WK 
7.48 at Weeksville, N.C. (collectively, the Line). The Line totals 
approximately 77.07 miles.
    CA and NSR entered into a lease in 1990, which covered lines 
between (1) milepost NS 8.00, and milepost NS 74.00, and (2) milepost 
WK 0.00, and milepost WK 7.48 (Original Lease).\1\ A 2003 amendment 
added a line between milepost NS 4.00, and milepost NS 8.00.\2\ In 2004 
and 2007, the Board issued abandonment and discontinuance of service 
exemptions for line included in the Original Lease between (1) milepost 
NS 73.67 and milepost NS 74.00 at Edenton, N.C.,\3\ and (2) milepost NS 
73.59 and milepost NS 73.67 at Edenton, N.C.\4\ In 2011, CA and NSR 
added an amendment to extend the term of the Original Lease and strike 
all provisions relating to the option to purchase.\5\ Now, CA explains 
that the Original Lease has expired, and CA and NSR have reached a new 
Lease Agreement (New Lease). CA and NSR intend the New Lease to 
supersede and replace the Original Lease and extend the term for an 
additional 10 years. CA declares that it currently operates the Line 
pursuant to the Original Lease and will continue to operate the Line 
under the New Lease.\6\
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    \1\ Chesapeake & Albemarle R.R.--Lease, Acquis. & Operation 
Exemption--S. Ry., FD 31617 (ICC served Apr. 17, 1990).
    \2\ N.C. & Va. R.R.--Lease & Operation Exemption--Norfolk S. 
Ry., FD 34272 (STB served Jan. 22, 2003).
    \3\ Norfolk S. Ry.--Aban. Exemption--in Chowan Cty., N.C., AB 
290 (Sub-No. 251X) et al. (STB served July 16, 2004). NSR 
consummated the abandonment between milepost NS 73.67 and milepost 
NS 74.00.
    \4\ The verified notices filed by NSR and CA describe the line 
to be abandoned and discontinued as between milepost NS 73.59 and 
milepost NS 73.67. Likewise, NSR consummated the abandonment between 
milepost NS 73.59 and milepost NS 73.67. Therefore, it appears this 
milepost was erroneously stated as 73.50 in the published notice. 
See Norfolk S. Ry.--Aban. Exemption--in Chowan Cty., N.C., AB 290 
(Sub-No. 295X) et al. (STB served Aug. 9, 2007).
    \5\ N.C. & Va. R.R., Chesapeake & Albemarle R.R. Div.--Lease 
Amendment Exemption--Norfolk S. Ry., FD 35564 (Sub-No. 1) (STB 
served Dec. 16, 2011).
    \6\ The Original Lease, as amended in 2011, appears to have 
included line from mileposts NS 73.59 to NS 74.00, which had been 
abandoned prior to the 2011 lease amendment. CA does not state 
whether it continued to operate over that abandoned line after the 
2011 renewal.
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    According to CA, the New Lease includes an interchange commitment 
that is similar in structure to the interchange commitment included in 
the Original Lease. As required under 49 CFR 1150.43(h)(1), CA provided 
additional information regarding the interchange commitment.
    CA does not project that this transaction will result in annual 
revenues significant enough to establish a Class I or Class II rail 
carrier. Additionally, CA confirms that its total revenues will not 
exceed $5 million after the transaction; however, CA states that NCVA, 
of which CA is a division, will have revenues over $5 million following 
the transaction. Accordingly, CA is required by Board regulations to 
send notice of the transaction to the national offices of the labor 
unions with employees on the affected lines at least 60 days before 
this exemption is to become effective, to post a copy of the notice at 
the workplace of the employees on the affected lines, and to certify to 
the Board that it has done so. 49 CFR 1150.42(e).
    CA requests a waiver of the 60-day advance labor notice requirement 
under 49 CFR 1150.42(e). In that request, CA argues that: (1) No 
employees of the transferring carrier, NSR, will be affected by the 
lease and no employees of NSR have worked on any part of the Line since 
2003 and therefore, posting notices would be futile because no NSR 
employees work on the Line and (2) there will be no operational changes 
and no CA employees will be affected by the lease. CA's waiver request 
will be addressed in a separate decision.
    CA states that it expects to consummate the transaction on the 
effective date of this exemption. The Board will establish the 
effective date in its separate decision on the waiver request.
    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 at least seven days before the 
exemption becomes effective.
    An original and 10 copies of all pleadings, referring to Docket No. 
FD 36252, 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 Eric M. Hocky, Clark Hill PLC, One Commerce 
Square, 2005 Market Street, Suite 1000, Philadelphia, PA 19103.
    Board decisions and notices are available on our website at 
www.stb.gov.

    Decided: December 3, 2018.

    By the Board, Scott M. Zimmerman, Acting Director, Office of 
Proceedings.
Jeffrey Herzig,
Clearance Clerk.
[FR Doc. 2018-26575 Filed 12-6-18; 8:45 am]
BILLING CODE 4915-01-P
63192 Federal Register / Vol. 83, No. 235 / Friday, December 7, 2018 / Notices

SURFACE TRANSPORTATION BOARD CA and NSR have reached a new Lease automatically stay the effectiveness of
Agreement (New Lease). CA and NSR the exemption. Petitions for stay must
[Docket No. FD 36252]
intend the New Lease to supersede and be filed at least seven days before the
North Carolina & Virginia Railroad replace the Original Lease and extend exemption becomes effective.
Company, L.L.C., Chesapeake & the term for an additional 10 years. CA An original and 10 copies of all
Albemarle Railroad Division—Lease declares that it currently operates the pleadings, referring to Docket No. FD
Amendment and Operation Exemption Line pursuant to the Original Lease and 36252, must be filed with the Surface
Including Interchange Commitment— will continue to operate the Line under Transportation Board, 395 E Street SW,
Norfolk Southern Railway Company the New Lease.6 Washington, DC 20423–0001. In
According to CA, the New Lease addition, a copy of each pleading must
Chesapeake & Albemarle Railroad includes an interchange commitment be served on Eric M. Hocky, Clark Hill
(CA), a Class III railroad and division of that is similar in structure to the PLC, One Commerce Square, 2005
North Carolina & Virginia Railroad interchange commitment included in Market Street, Suite 1000, Philadelphia,
Company, L.L.C. (NCVA), has filed a the Original Lease. As required under 49 PA 19103.
verified notice of exemption under 49 CFR 1150.43(h)(1), CA provided Board decisions and notices are
U.S.C. 10902 to enter into a superseding additional information regarding the available on our website at www.stb.gov.
and replacement lease with Norfolk interchange commitment.
CA does not project that this Decided: December 3, 2018.
Southern Railway Company (NSR) and
operate lines of railroad between (1) transaction will result in annual By the Board, Scott M. Zimmerman, Acting
revenues significant enough to establish Director, Office of Proceedings.
milepost NS 4.00 at Providence
Junction, Va., and milepost NS 8.00 at a Class I or Class II rail carrier. Jeffrey Herzig,
Butts, Va., (2) milepost NS 8.00 at Butts, Additionally, CA confirms that its total Clearance Clerk.
Va., and milepost NS 73.59 at Edenton, revenues will not exceed $5 million [FR Doc. 2018–26575 Filed 12–6–18; 8:45 am]
N.C., and (3) milepost WK 0.00 at after the transaction; however, CA states BILLING CODE 4915–01–P
Elizabeth City, N.C., and milepost WK that NCVA, of which CA is a division,
7.48 at Weeksville, N.C. (collectively, will have revenues over $5 million
the Line). The Line totals approximately following the transaction. Accordingly,
77.07 miles. CA is required by Board regulations to TENNESSEE VALLEY AUTHORITY
CA and NSR entered into a lease in send notice of the transaction to the
1990, which covered lines between (1) national offices of the labor unions with Environmental Impact Statement for
milepost NS 8.00, and milepost NS employees on the affected lines at least Gallatin Fossil Plant Surface
74.00, and (2) milepost WK 0.00, and 60 days before this exemption is to Impoundment Closure and Restoration
milepost WK 7.48 (Original Lease).1 A become effective, to post a copy of the Project
2003 amendment added a line between notice at the workplace of the AGENCY: Tennessee Valley Authority.
milepost NS 4.00, and milepost NS employees on the affected lines, and to
8.00.2 In 2004 and 2007, the Board certify to the Board that it has done so. ACTION: Notice of intent.
issued abandonment and 49 CFR 1150.42(e). SUMMARY: The Tennessee Valley
discontinuance of service exemptions CA requests a waiver of the 60-day Authority (TVA) intends to prepare an
for line included in the Original Lease advance labor notice requirement under Environmental Impact Statement (EIS)
between (1) milepost NS 73.67 and 49 CFR 1150.42(e). In that request, CA to address the potential environmental
milepost NS 74.00 at Edenton, N.C.,3 argues that: (1) No employees of the effects associated with management of
and (2) milepost NS 73.59 and milepost transferring carrier, NSR, will be coal combustion residual (CCR) material
NS 73.67 at Edenton, N.C.4 In 2011, CA affected by the lease and no employees at the Gallatin Fossil Plant (GAF)
and NSR added an amendment to of NSR have worked on any part of the located near Gallatin in Sumner County,
extend the term of the Original Lease Line since 2003 and therefore, posting Tennessee. The purpose of the EIS is to
and strike all provisions relating to the notices would be futile because no NSR address the final disposition of CCR
option to purchase.5 Now, CA explains employees work on the Line and (2) onsite at GAF, support TVA’s goal to
that the Original Lease has expired, and there will be no operational changes and eliminate wet CCR storage at its plants,
no CA employees will be affected by the and assist TVA in complying with the
1 Chesapeake & Albemarle R.R.—Lease, Acquis. & lease. CA’s waiver request will be U.S. Environmental Protection Agency’s
Operation Exemption—S. Ry., FD 31617 (ICC addressed in a separate decision.
served Apr. 17, 1990). (EPA’s) CCR Rule. The proposed actions
CA states that it expects to
2 N.C. & Va. R.R.—Lease & Operation would also provide long-term on-site
consummate the transaction on the
Exemption—Norfolk S. Ry., FD 34272 (STB served landfill space for operations and/or
Jan. 22, 2003). effective date of this exemption. The
storage of CCR. TVA will develop and
3 Norfolk S. Ry.—Aban. Exemption—in Chowan Board will establish the effective date in
evaluate various alternatives for these
Cty., N.C., AB 290 (Sub-No. 251X) et al. (STB served its separate decision on the waiver
July 16, 2004). NSR consummated the abandonment actions, including the No Action
request.
between milepost NS 73.67 and milepost NS 74.00.
If the notice contains false or Alternative. Public comments are
4 The verified notices filed by NSR and CA
misleading information, the exemption invited concerning both the scope of the
describe the line to be abandoned and discontinued review and environmental issues that
as between milepost NS 73.59 and milepost NS is void ab initio. Petitions to revoke the
73.67. Likewise, NSR consummated the exemption under 49 U.S.C. 10502(d) should be addressed.
abandonment between milepost NS 73.59 and
may be filed at any time. The filing of DATES: Comments on the scope of the
amozie on DSK3GDR082PROD with NOTICES

milepost NS 73.67. Therefore, it appears this EIS must be received on or before
milepost was erroneously stated as 73.50 in the a petition to revoke will not
published notice. See Norfolk S. Ry.—Aban. January 11, 2019.
Exemption—in Chowan Cty., N.C., AB 290 (Sub-No. 6 The Original Lease, as amended in 2011, ADDRESSES: Comments may be
295X) et al. (STB served Aug. 9, 2007). appears to have included line from mileposts NS submitted in writing to Ashley Farless,
5 N.C. & Va. R.R., Chesapeake & Albemarle R.R. 73.59 to NS 74.00, which had been abandoned prior
Div.—Lease Amendment Exemption—Norfolk S. to the 2011 lease amendment. CA does not state
NEPA Specialist, 1101 Market Street,
Ry., FD 35564 (Sub-No. 1) (STB served Dec. 16, whether it continued to operate over that BR4A–C, Chattanooga, TN, 37402.
2011). abandoned line after the 2011 renewal. Comments may also be submitted online

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Document Created: 2018-12-07 01:52:49
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Category		Regulatory Information
Collection		Federal Register
sudoc Class		AE 2.7: GS 4.107: AE 2.106:
Publisher		Office of the Federal Register, National Archives and Records Administration
Section		Notices
FR Citation		83 FR 63192