[Federal Register Volume 62, Number 175 (Wednesday, September 10, 1997)]
[Rules and Regulations]
[Pages 47583-47584]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 97-23827]
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DEPARTMENT OF TRANSPORTATION
Surface Transportation Board
49 CFR Parts 1121 and 1150
[STB Ex Parte No. 562]
Acquisition of Rail Lines Under 49 U.S.C. 10901 and 10902;
Advance Notice of Proposed Transaction
AGENCY: Surface Transportation Board.
ACTION: Final rule.
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SUMMARY: The Surface Transportation Board (Board), after reviewing
public comments filed pursuant to the notice of proposed rulemaking,
adopts a 60-day notice requirement for certain transactions in which
rail lines are transferred to a new owner or operator under 49 U.S.C.
10901 and 10902. Final regulations implementing the notice requirement
are set forth below.
EFFECTIVE DATE: October 10, 1997.
FOR FURTHER INFORMATION CONTACT: Joseph H. Dettmar, (202) 565-1600.
(TDD for the hearing impaired: (202) 565-1695.)
SUPPLEMENTARY INFORMATION: By notice of proposed rulemaking served and
published in the Federal Register on May 1, 1997 (62 FR 23742-44), we
sought public comments on our proposal to amend our exemption
procedures to establish a 60-day notice to rail employees who work on
rail lines undergoing transfer to a new owner or operator. We proposed
that the notice requirement would apply to transactions processed
pursuant to the Board's exemption authority from: (1) 49 U.S.C. 10902
for Class II rail carriers to acquire or operate additional lines; (2)
49 U.S.C. 10902 for Class III rail carriers to acquire or operate
additional rail lines where the lines to be acquired or operated,
together with the acquiring carrier's existing lines, would produce
annual revenue exceeding $5 million; or (3) 49 U.S.C. 10901 for
noncarriers to acquire or operate rail lines where the lines to be
acquired or operated would produce annual revenue exceeding $5 million.
A number of comments were filed by interested parties, including
comments from railroads, railroad associations, rail employee unions,
and members of both Houses of Congress. Upon reviewing the comments,
the Board is adopting the proposal with some modifications and
clarifications based on the public comments received. Additional
information is contained in the Board's decision served on [date of
service]. To purchase a copy of the decision, write to, call, or pick
up in person from: DC News & Data, Inc. (202) 289-4357, 1925 K Street,
N.W., Room 210, Washington, D.C. 20006. (Assistance for the hearing
impaired is available through TDD services (202) 565-1695.)
List of Subjects
49 CFR Part 1121
Administrative practice and procedure, Railroads.
49 CFR Part 1150
Administrative practice and procedure, Railroads.
Decided: September 2, 1997.
By the Board, Chairman Morgan and Vice Chairman Owen.
Vernon A. Williams,
Secretary.
For the reasons set forth in the preamble, the Board amends title
49, Chapter X, parts 1121 and 1150 of the Code of Federal Regulations,
to read as follows:
PART 1121--RAIL EXEMPTION PROCEDURES
1. The authority citation for part 1121 continues to read as
follows:
Authority: 5 U.S.C. 553; 49 U.S.C. 10502 and 10704.
2. Section 1121.4 is amended by adding a new paragraph (h) to read
as follows:
Sec. 1121.4 Procedures.
* * * * *
(h) In transactions for the acquisition or operation of rail lines
by Class II rail carriers under 49 U.S.C. 10902, the exemption may not
become effective until 60 days after applicant certifies to the Board
that it has posted at the workplace of the employees on the affected
line(s) and served a notice of the transaction on the national offices
of
[[Page 47584]]
the labor unions with employees on the affected line(s), setting forth
the types and numbers of jobs expected to be available, the terms of
employment and principles of employee selection, and the lines that are
to be transferred.
PART 1150--CERTIFICATE TO CONSTRUCT, ACQUIRE, OR OPERATE RAILROAD
LINES
3. The authority citation for part 1150 continues to read as
follows:
Authority: 5 U.S.C. 553 and 559; 49 U.S.C. 721(a), 10502, 10901
and 10902.
4. Section 1150.32 is amended by adding a new paragraph (e) to read
as follows:
Sec. 1150.32 Procedures and relevant dates--transactions that involve
creation of Class III carriers.
* * * * *
(e) If the projected annual revenue of the carrier to be created by
a transaction under this exemption exceeds $5 million, applicant must,
at least 60 days before the exemption becomes effective, post a notice
of intent to undertake the proposed transaction at the workplace of the
employees on the affected line(s) and serve a copy of the notice on the
national offices of the labor unions with employees on the affected
line(s), setting forth the types and numbers of jobs expected to be
available, the terms of employment and principles of employee
selection, and the lines that are to be transferred, and certify to the
Board that it has done so.
5. Section 1150.35 is amended by revising paragraph (a) to read as
follows:
Sec. 1150.35 Procedures and relevant dates--transactions that involve
creation of Class I or Class II carriers.
(a) To qualify for this exemption, applicant must serve a notice of
intent to file a notice of exemption no later than 14 days before the
notice of exemption is filed with the Board, and applicant must comply
with the notice requirement of Sec. 1150.32(e).
* * * * *
6. Section 1150.42 is amended by adding a new paragraph (e) to read
as follows:
Sec. 1150.42 Procedures and relevant dates for small line
acquisitions.
* * * * *
(e) If the projected annual revenue of the rail lines to be
acquired or operated, together with the acquiring carrier's projected
annual revenue, exceeds $5 million, the applicant must, at least 60
days before the exemption becomes effective, post a notice of
applicant's intent to undertake the proposed transaction at the
workplace of the employees on the affected line(s) and serve a copy of
the notice on the national offices of the labor unions with employees
on the affected line(s), setting forth the types and numbers of jobs
expected to be available, the terms of employment and principles of
employee selection, and the lines that are to be transferred, and
certify to the Board that it has done so.
7. Section 1150.45 is amended by revising paragraph (a) to read as
follows:
Sec. 1150.45 Procedures and relevant dates-transactions under section
10902 that involve creation of Class I or Class II rail carriers.
(a) To qualify for this exemption, applicant must serve a notice of
intent to file a notice of exemption no later than 14 days before the
notice of exemption is filed with the Board, and applicant must comply
with the notice requirement of Sec. 1150.42(e).
* * * * *
[FR Doc. 97-23827 Filed 9-9-97; 8:45 am]
BILLING CODE 4915-00-P