[Federal Register Volume 66, Number 216 (Wednesday, November 7, 2001)]
[Rules and Regulations]
[Pages 56245-56246]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 01-27950]


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DEPARTMENT OF TRANSPORTATION

Surface Transportation Board

49 CFR Part 1201

[STB Ex Parte No. 634]


Consolidated Reporting By Commonly Controlled Railroads

AGENCY: Surface Transportation Board, DOT.

ACTION: Final rule.

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SUMMARY: The Board has concluded that consolidated financial reports 
should be filed for each group of railroads or railroad-related 
affiliates that operate as a single, integrated United States rail 
system whose cumulative annual operating revenues meet the Class I 
threshold of $250 million (in 1991 dollars).

EFFECTIVE DATE: January 1, 2002.

FOR FURTHER INFORMATION CONTACT: Paul A. Aguiar, (202) 565-1527. 
[Assistance for the hearing impaired is available through the Federal 
Information Relay Service (FIRS) 1-800-877-8339.]

SUPPLEMENTARY INFORMATION: On September 25, 2000, the Board proposed 
that commonly controlled railroads (and their railroad-related 
affiliates) whose combined annual operating revenues meet the $250 
million threshold be required to file consolidated financial reports. 
See 65 FR 57650 (2000). The Board's objective was to gather more 
meaningful and accurate information on the large rail systems operating 
in the United States by conforming its regulatory reporting 
requirements as closely as practical to Financial Accounting Standards 
Board Statement No. 94, Consolidation of All Majority-Owned 
Subsidiaries. After evaluating the comments filed by interested 
parties, the Board has concluded that consolidated reports should be 
required for commonly controlled railroads that operate as a single, 
integrated United States rail system and whose cumulative operating 
revenues meet the Class I threshold. Accordingly, the Board will amend 
its regulations at 49 CFR part 1201 to reflect this change. A printed 
copy of the full Board decision served November 7, 2001 in this 
proceeding is available for a fee by contacting Da 2 Da Legal, Room 
405, 1925 K Street, NW., Washington, DC 20006, telephone (202) 293-
7776. The decision also is available for viewing and downloading via 
the Board's website at www.stb.dot.gov.

List of Subjects in 49 CFR Part 1201

    Freight, Railroads, Reporting and recordkeeping requirements.

    For the reasons set forth in the preamble, Title 49, part 1201 of 
the Code of Federal Regulations will be amended as follows:

PART 1201--[AMENDED]

    1. The authority citation for Title 49, Part 1201 continues to read 
as follows:

    Authority: 5 U.S.C. 553 and 49 U.S.C. 11142 and 11164.

    2. Section 1-1 is amended by revising paragraph (b)(1) to read as 
follows:
1-1 Classification of Carriers. * * *
    (b)(1) The class to which any carrier belongs shall be determined 
by annual carrier operating revenues after the railroad revenue 
deflator adjustment. Families of railroads operating within the United 
States as a single, integrated rail system will be treated as a single 
carrier for classification purposes. Upward and downward 
reclassification will be effected as of January 1 in the year 
immediately following the third consecutive year of revenue 
qualification.
* * * * *

    Decided: October 31, 2001.


[[Page 56246]]


    By the Board, Chairman Morgan, Vice Chairman Clyburn, and 
Commissioner Burkes.
Vernon A. Williams,
Secretary.
[FR Doc. 01-27950 Filed 11-6-01; 8:45 am]
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