[Federal Register Volume 59, Number 213 (Friday, November 4, 1994)]
[Unknown Section]
[Page 0]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 94-27394]


[[Page Unknown]]

[Federal Register: November 4, 1994]


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INTERSTATE COMMERCE COMMISSION
[Finance Docket No. 32557]

 

Missouri Pacific Railroad Company, Southeast Kansas Railroad 
Company, and South Kansas and Oklahoma Railroad Company--Joint 
Relocation Project Exemption--in Kansas and Oklahoma

    Missouri Pacific Railroad Company (MP), Southeast Kansas Railroad 
Company (SEKR), and South Kansas and Oklahoma Railroad Company (SKOL) 
jointly filed a notice of exemption under 49 CFR 1180.2(d)(5) to 
relocate lines of railroad. The joint project involves 68.1 miles of 
SKOL's line and involves: (1) SKOL's granting trackage rights to MP and 
SEKR over SKOL's line (a) between milepost 155.8 at Cherryvale, KS, to 
milepost 165.7 at Independence, KS, and between milepost 0.0 at 
Independence, KS, to milepost 37.6 at D.Y. Junction (Dewey), OK, a 
total distance of 47.5 miles (the Tulsa Subdivision); and (b) between 
milepost 16.9 at Coffeyville, KS, and milepost 0.0 at Cherryvale, KS, 
in Montgomery County, KS, a total distance of 16.9 miles (the 
Coffeyville Subdivision); (2) SKOL's granting MP trackage rights over 
SKOL's line between milepost 37.6 at D.Y. Junction, OK, to milepost 
41.3 at Bartlesville, OK, a distance of 3.7 miles (SEKR holds rights 
over this trackage based on an assignment from MP at the time SEKR 
leased the Bartlesville Subdivision); and (3) MP's incidental 
abandonment and discontinuance of operations and SEKR's incidental 
discontinuance of lease operations over the line beginning at milepost 
171.0 near South Coffeyville, OK, and ending at milepost 191.15 near 
Dewey, a distance of approximately 20.15 miles in Nowata and Washington 
Counties, OK. The transaction was to have been consummated on, or soon 
as possible after, October 12, 1994.
    MP is a class I rail carrier. SEKR and SKOL are class III carriers.
    SEKR operates a line of railroad known as the Bartlesville 
Subdivision from milepost 171.0 at South Coffeyville, OK, to milepost 
200.0 near Bartlesville, OK. SEKR has not conducted train service over 
the segment of line between mileposts 171.0 and 191.15 (near Dewey, OK) 
for more than two years. SEKR uses haulage via SKOL to move its cars 
from Coffeyville to Dewey or Bartlesville and the cars are then 
interchanged to an SEKR crew for placement to SEKR customers in Dewey 
or Bartlesville. SKOL will grant trackage rights to SEKR and MP between 
Coffeyville, KS, and Dewey so that SEKR and MP can provide service to 
Dewey. SKOL's grant of these trackage rights will permit SEKR to 
discontinue its lease operation and MP to abandon and discontinue its 
operation on the out of service trackage from mileposts 171.0 to 
191.15.
    The joint relocation project involving MP's and SEKR'S rail 
operations will result in an alternate and satisfactory continuation of 
rail service to customers. There will be no new traffic generated by 
the proposed transaction, there will be no extension of rail service 
into new territory, and there will be no adverse effect on shippers. In 
addition, there will be no change in the competitive situation of the 
rail carriers in the area.
    The Commission will exercise jurisdiction over the abandonment and/
or discontinuance component of a relocation project only where the 
proposal involves, for example, a change in service to shippers, 
expansion into new territory, or a change in existing competitive 
situations. See, generally, Denver & R.G.W.R. Co.--Jt. Proj.--
Relocation over BN, 4 I.C.C.2d 95 (1987). Under these standards, the 
abandonment and discontinuance under consideration here is not subject 
to the Commission's jurisdiction. The Commission has determined that 
line relocations embrace trackage rights transactions such as the ones 
proposed here. See D.T. & I.R.--Trackage Rights, 363 I.C.C. 878 (1981).
    As a condition to use of this exemption, any employees affected by 
the trackage rights agreement will be protected by the conditions set 
forth in Norfolk and Western Ry. Co.--Trackage Rights--BN, 354 I.C.C. 
605 (1978), as modified in Mendocino Coast Ry., Inc.--Lease and 
Operate, 360 I.C.C. 653 (1980).
    Petitions to revoke the exemption under 49 U.S.C. 10505(d) may be 
filed at any time. The filing of a petition to revoke will not stay the 
transaction. Pleadings must be filed with the Commission and served on: 
Jeanna L. Regier, Missouri Pacific Railroad Company, 1416 Dodge Street, 
Room 830, Omaha, NE 68179, and Karl Morell, Ball, Janik & Novack, 1101 
Pennsylvania Avenue, N.W., Washington, DC 20004.

    Decided: October 27, 1994.

    By the Commission, David M. Konschnik, Director, Office of 
Proceedings.
Vernon A. Williams,
Acting Secretary.
[FR Doc. 94-27394 Filed 11-3-94; 8:45 am]
BILLING CODE 7035-01-P