Macquarie Infrastructure Partners V GP, LLC (MIP GP), a noncarrier, filed for the benefit of the MIP Infrastructure Partners V fund vehicle (MIP V), MIP V Rail, LP (MIP Rail), Pinsly Holdco, LLC, and Pinsly Railroad Company, LLC (Pinsly),^[1] a verified notice of exemption under 49 CFR 1180.2(d)(2) to acquire control of Kankakee, Beaverville and Southern Railroad Company (KBSR),^[2] a Class III common carrier freight railroad. KBSR is currently controlled by Vicki L. Stroo Living Trust, Vicki L. Stroo, Tyler A. Stroo, and Neil A. Stroo (collectively, the Stroo Family).

The verified notice states that, pursuant to a Purchase Agreement dated September 16, 2026,^[3] Pinsly has agreed to acquire 100% of the equity interests of KBSR from the Stroo Family. Currently, Pinsly directly controls, and MIP GP, MIP V, and MIP Rail indirectly control, nine rail carriers: Grenada Railroad, LLC; Florida Gulf & Atlantic Railroad, LLC; Camp Chase Rail, LLC; Chesapeake and Indiana Railroad, LLC; Vermilion Valley Railroad Company LLC; Pioneer Valley Railroad Company, LLC; Hondo Railway LLC; North Florida Industrial Railroad, LLC; and Georgiana & Andalusia Railroad, LLC.

MIP GP states that: (1) KBSR does not connect with any of the railroads that would be in the same corporate family following the transaction; (2) the proposed transaction is not part of a series of anticipated transactions that would connect KBSR with any railroad in its corporate family; and (3) the transaction does not involve a Class I rail carrier. Therefore, the proposed transaction is exempt from the prior ( printed page 62804) approval requirements of 49 U.S.C. 11323. See49 CFR 1180.2(d)(2).

The earliest this transaction may be consummated is October 17, 2026, the effective date of the exemption (30 days after the verified notice was filed).

Under 49 U.S.C. 10502(g), the Board may not use its exemption authority to relieve a rail carrier of its statutory obligation to protect the interests of its employees. However, 49 U.S.C. 11326(c) does not provide for labor protection for transactions under 49 U.S.C. 11324 and 11325 that involve only Class III rail carriers. Because this transaction involves Class III rail carriers only, the Board, under the statute, may not impose labor protective conditions for this transaction.

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 to stay must be filed no later than October 9, 2026 (at least seven days before the exemption becomes effective).

All pleadings, referring to Docket No. FD 36957, should be filed with the Surface Transportation Board via e-filing on the Board's website or in writing addressed to 395 E Street SW, Washington, DC 20423-0001. In addition, a copy of each pleading must be served on MIP GP's representative, Terence M. Hynes, Sidley Austin LLP, 1501 K Street NW, Washington, DC 20005.

According to MIP GP, this action is categorically excluded from environmental review under 49 CFR 1105.6(c) and from historic preservation reporting requirements under 49 CFR 1105.8(b).

Board decisions and notices are available at www.stb.gov.