[Federal Register Volume 64, Number 98 (Friday, May 21, 1999)]
[Notices]
[Pages 27851-27852]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 99-12872]


-----------------------------------------------------------------------

DEPARTMENT OF TRANSPORTATION

Surface Transportation Board
[STB Finance Docket No. 33724]


CSX Transportation, Inc.--Trackage Rights Exemption--Consolidated 
Rail Corp.

    Consolidated Rail Corporation (Conrail) has agreed to grant 
overhead trackage rights to CSX Transportation, Inc. (CSXT), over main 
line trackage of Conrail between the connection of the parties at Town 
Tower, Hagerstown, MD, at or near milepost CR-73.7 to the Conrail 
connection at CP Ship, at or near milepost CR-40.1, including necessary 
head and tail room, and thence to the connection point between the 
parties at Lurgan, PA, at or near milepost CR-42.2. These trackage 
rights include the right for CSXT to enter or exit the trackage at the 
connection of the parties at Chambers 5 Industrial Park, Chambersburg, 
PA, at or near milepost CR-53.0, including sufficient operating head 
room for CSXT trains to access the Industrial Park. The total distance 
of the trackage rights is 35.7 miles in Washington County, MD, and 
Franklin County, PA.1
---------------------------------------------------------------------------

    \1\ The line in question will be allocated to Pennsylvania 
Lines, LLC, and operated by Norfolk Southern Railway Company (NSR) 
upon the division of Conrail's assets between CSXT and NSR pursuant 
to CSX Corporation and CSX Transportation, Inc., Norfolk Southern 
Corporation and Norfolk Southern Railway Company--Control and 
Operating Leases/Agreements--Conrail, Inc. and Consolidated Rail 
Corporation, STB Finance Docket No. 33388 (STB served July 23, 
1998). Accordingly, NSR has participated in the negotiations for 
these trackage rights and has agreed to its terms.
---------------------------------------------------------------------------

    The purpose of the trackage rights is to allow CSXT to reroute all 
traffic currently moving over its own line through downtown 
Chambersburg and, therefore, eliminate a number of at-grade crossings 
and improve safety in Chambersburg.2 However, before these 
trackage rights can be implemented by CSXT, Conrail must make over $8 
million in rail and signal improvements on its line that will allow for 
faster and more efficient operations. Accordingly, consummation will 
not occur until these improvements are made. The earliest the 
transaction could have been consummated was May 10, 1999, the effective 
date of the exemption (7 days after the exemption was filed.)
---------------------------------------------------------------------------

    \2\ This proceeding is related to CSX Transportation, Inc.--
Abandonment Exemption--in Franklin County, PA, STB Docket No. AB-55 
(Sub-No. 568X) (STB served Mar. 9, 1999), in which the Board 
exempted under 49 U.S.C. 10502 from prior approval requirements of 
49 U.S.C. 10903 the abandonment by CSXT of its rail line between 4th 
Street and Commerce Street in Chambersburg, subject to public use, 
trail use, and standard employee protective conditions. Subsequent 
to the March 9 decision, an offer of financial assistance was filed 
by Frederick A. Fox, Kaye A. Fox, Frederick Armstrong Fox and Karla 
M. Fox (the offerors). CSXT has agreed to sell the line between Main 
Street and South Street to the offerors once the trackage rights 
involved in this proceeding have been implemented. By decision 
served May 7, 1999, the acquisition was authorized.
---------------------------------------------------------------------------

    As a condition to this exemption, any employees affected by the 
trackage rights will be protected by the conditions imposed 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).
    This notice is filed under 49 CFR 1180.2(d)(7). If it 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. 33724, must be filed with the Surface Transportation 
Board, Office of the Secretary, Case Control Unit, 1925 K Street, NW, 
Washington, DC 20423-0001. In addition, a copy of each

[[Page 27852]]

pleading must be served on Charles M. Rosenberger, CSX Transportation, 
Inc., 500 Water Street (J150), Jacksonville, FL 32202.
    Board decisions and notices are available on our website at 
``WWW.STB.DOT.GOV.''

    Decided: May 14, 1999.

    By the Board, David M. Konschnik, Director, Office of 
Proceedings.
Vernon A. Williams,
Secretary.
[FR Doc. 99-12872 Filed 5-20-99; 8:45 am]
BILLING CODE 4915-00-P