Strasburg Rail Road Company-Continuance in Control Exemption-SRC Railway LLC

• Published date: 06 January 2021
• Citation: 86 FR 673
• Record Number: 2020-29257
• Section: Notices
• Court: Surface Transportation Board

Federal Register, Volume 86 Issue 3 (Wednesday, January 6, 2021)

[Federal Register Volume 86, Number 3 (Wednesday, January 6, 2021)]
                [Notices]
                [Pages 673-674]
                From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
                [FR Doc No: 2020-29257]
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                SURFACE TRANSPORTATION BOARD
                [Docket No. FD 36454]
                Strasburg Rail Road Company--Continuance in Control Exemption--
                SRC Railway LLC
                 Strasburg Rail Road Company (SRC), a Class III rail carrier, has
                filed a verified notice of exemption pursuant to 49 CFR 1180.2(d)(2) to
                continue in control of SRC Railway LLC (Railway LLC), upon Railway LLC
                becoming a Class III rail carrier.\1\ Railway LLC is a newly formed
                noncarrier entity that is controlled by SRC.
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                 \1\ SRC states that, although the proposed transaction is wholly
                within a corporate family and would satisfy the criteria for an
                exemption under section 1180.2(d)(3), it submitted verified notices
                for acquisition authority and continuance in control authority given
                the decision in Oregon International Port of Coos Bay--Intra-
                Corporate Family Transaction Exemption, FD 36199 (STB served Oct.
                26, 2018). This notice does not address the appropriateness of
                section 1180.2(d)(3) in this situation, as the notice satisfies the
                criteria for section 1180.2(d)(2).
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                 This transaction is related to a concurrently filed verified notice
                of exemption in SRC Railway LLC--Lease & Operation Exemption--Strasburg
                Rail Road Co., Docket No. FD 36453. In that proceeding, Railway LLC
                seeks an exemption to lease and operate approximately 4.25 miles of
                rail line known as the Strasburg Line in Lancaster County, Pa. (the
                Line).
                 The verified notice states that because the Line is solely owned by
                SRC, lease of the Line to Railway LLC does not constitute a connection
                within the corporate family. SRC further states that the transaction
                does not involve a Class I rail carrier. The proposed transaction is
                therefore exempt from the prior approval requirements of 49 U.S.C.
                11323. See 49 CFR 1180.2(d)(2).
                 The earliest this transaction may be consummated is January 20,
                2021, 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. Section 11326(c), however, does
                not provide for labor protection for transactions under sections 11324
                and 11325 that involve only Class III rail carriers. Accordingly, the
                Board may not impose labor protective conditions here because only
                Class III carriers are involved.
                 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 January 12,
                2021.
                 All pleadings, referring to Docket No. FD 36454 should be filed
                with the Surface Transportation Board via e-filing on the Board's
                website. In addition, a copy of each pleading must be served on SRC's
                representative, Bradon J. Smith, Fletcher & Sippel LLC, 29 North Wacker
                Drive, Suite 800, Chicago, IL 60606-3208.
                 According to SRC, 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.
                 Decided: December 31, 2020.
                [[Page 674]]
                 By the Board, Scott M. Zimmerman, Acting Director, Office of
                Proceedings.
                Jeffrey Herzig,
                Clearance Clerk.
                [FR Doc. 2020-29257 Filed 1-5-21; 8:45 am]
                BILLING CODE 4915-01-P