[Federal Register Volume 63, Number 34 (Friday, February 20, 1998)]
[Notices]
[Page 8737]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 98-4340]


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DEPARTMENT OF TRANSPORTATION

Surface Transportation Board
[STB Finance Docket No. 33550]


Pioneer Railcorp--Continuance in Control Exemption--Pioneer 
Industrial Railway Co.

    Pioneer Railcorp (Pioneer), a noncarrier holding company, has filed 
a notice of exemption to continue in control of Pioneer Industrial 
Railway Co. (PRY), upon PRY's becoming a carrier. Pioneer owns all of 
the outstanding stock of PRY.
    The transaction is scheduled to be consummated on February 17, 
1998.
    This transaction is related to STB Finance Docket No. 33549, 
Pioneer Industrial Railway Co.--Lease and Operation Exemption--Peoria, 
Peoria Heights & Western Railroad, wherein PRY seeks to lease and 
operate 23.4 miles of rail line from Peoria, Peoria Heights & Western 
Railroad.
    Pioneer owns and controls twelve existing Class III shortline rail 
carriers: West Michigan Railroad Co., operating in Michigan; Fort Smith 
Railroad Co., operating in Arkansas; Alabama Railroad Co., operating in 
Alabama; Mississippi Central Railroad Co., operating in Mississippi and 
Tennessee; Alabama & Florida Railway Co., Inc., operating in Alabama; 
Decatur Junction Railway Co., operating in Illinois; Vandalia Railroad 
Company, operating in Illinois; Minnesota Central Railroad Co., 
operating in Minnesota; Keokuk Junction Railway, operating in Iowa and 
Illinois; Wabash & Western Railway Co., d/b/a Michigan Southern 
Railroad, operating in Michigan and Indiana; Rochelle Railroad Co., 
operating in Illinois; and Shawnee Terminal Railway Company, operating 
in Illinois.
    Pioneer states that: (i) The railroads will not connect with each 
other or any railroad in their corporate family; (ii) the acquisition 
of control is not part of a series of anticipated transactions that 
would connect the eleven railroads with each other or any railroad in 
their corporate family; and (iii) the transaction does not involve a 
Class I carrier. Therefore, the transaction is exempt from the prior 
approval requirements of 49 U.S.C. 11323. See 49 CFR 1180.2(d)(2).
    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. 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 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 transaction.
    An original and 10 copies of all pleadings, referring to STB 
Finance Docket No. 33550, must be filed with the Surface Transportation 
Board, Office of the Secretary, Case Control Unit, 1925 K Street, N.W., 
Washington, DC 20423-0001. In addition, a copy of each pleading must be 
served on John D. Heffner, Esq., Rea, Cross & Auchincloss, 1920 N 
Street, N.W., Suite 420, Washington, DC 20036.

    Decided: February 11, 1998.

    By the Board, David M. Konschnik, Director, Office of 
Proceedings.
Vernon A. Williams,
Secretary.
[FR Doc. 98-4340 Filed 2-19-98; 8:45 am]
BILLING CODE 4915-00-P