[Federal Register Volume 65, Number 68 (Friday, April 7, 2000)]
[Notices]
[Page 18428]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 00-8574]



[[Page 18428]]

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DEPARTMENT OF TRANSPORTATION

Surface Transportation Board

[STB Finance Docket No. 33856]


Court Hammond, et al.''Continuance in Control Exemption--Colorado 
Central Railroad Company and Colorado, Kansas & Pacific Railway Company

    Court Hammond and James Sanders \1\ (Hammond Group), who previously 
controlled Yreka Western Railroad Company (YWRR) and Rocky Mountain 
Railway and Mining Museum (RMRMM),\2\ have filed a verified notice of 
exemption to continue in control of Colorado Central Railroad Company 
(CCRR) and Colorado, Kansas & Pacific Railway Company (CKPR), upon 
their becoming rail carriers.
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    \1\ Court Hammond and James Sanders are the controlling 
shareholders, officers and directors of Colorado Central Railroad 
Company, Yreka Western Railroad Company, Rocky Mountain Railway and 
Mining Museum, and Colorado, Kansas & Pacific Railway Company.
    \2\ RMRMM is a noncarrier holding company which controls 100% of 
the stock of YWRR but does not itself provide any common carrier 
rail freight service.
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    CCRC is a new short line railroad that will become a Class III rail 
carrier when it consummates the authority granted to it in Colorado 
Central Railroad Company--Operation Exemption--Yreka Western Railroad 
Company, STB Finance Docket No. 33849 (STB served Feb. 23, 2000).\3\ 
CKPR will become a Class III rail carrier upon consummation of the 
transaction covered by the simultaneously filed notice of exemption in 
STB Finance Docket No. 33857, Colorado, Kansas & Pacific Railway 
Company--Lease, Operation, and Future Purchase Exemption--Colorado 
Department of Transporation, wherein CKPR will lease and initiate 
common carrier operations over an abandoned line of railroad.
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    \3\ The Hammond Group reports that it intended for CCRC to 
commence providing common carrier service over YWRR's line on or 
about March 27, 2000. YWRR will continue to own the line, to have a 
residual common carrier obligation on the line, and to provide 
excursion rail passenger service.
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    The transaction was expected to be consummated on March 29, 2000.
    The Hammond Group states that: (i) The railroads will not connect 
with each other or any railroad in their corporate family; (ii) The 
continuance in control is not part of a series of anticipated 
transactions that would connect the 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. 33856, 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, 1707 L 
Street, N.W., Suite 570, Washington, DC 20036.

    Decided: March 31, 2000.

    By the Board, David M. Konschnik, Director, Office of 
Proceedings.
Vernon A. Williams,
Secretary.
[FR Doc. 00-8574 Filed 4-6-00; 8:45 am]
BILLING CODE 4915-00-P