[Federal Register Volume 71, Number 37 (Friday, February 24, 2006)]
[Notices]
[Page 9633]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 06-1598]


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DEPARTMENT OF TRANSPORTATION

Surface Transportation Board

[STB Finance Docket No. 34834]


State of Texas, Acting by and Through the Texas Department of 
Transportation--Acquisition Exemption--Union Pacific Railroad Company

    The State of Texas, acting by and through the Texas Department of 
Transportation (TXDOT), a noncarrier, has filed a verified notice of 
exemption under 49 CFR 1150.31 to acquire the rights, title, and 
interest in certain personal and real property of a line of railroad 
from Union Pacific Railroad Company (UP). The line consists of a 
portion of the Bonham Subdivision extending between milepost 94.0 near 
Paris, and milepost 127.5 near Bonham, in Lamar and Fannin Counties, 
TX, a distance of approximately 33.5 miles.
    The Board previously authorized the Fannin Rural Rail 
Transportation District (FRRTD), a political subdivision of the State 
of Texas, to acquire from UP and operate the above-described rail line 
through the offer of financial assistance process.\1\ After having 
reached an agreement with UP for the sale of the line but before 
consummating the transaction, FRRTD sold its interests in the rail line 
to TXDOT. In consideration of FRRTD's agreement to sell its interests, 
TXDOT agreed to provide the funds to acquire the rail line from UP and 
to lease back the properties so that FRRTD, or its operator could 
perform freight rail service over the rail line.\2\ The sale of the 
line by UP to TXDOT was consummated and closed on September 21, 2005.
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    \1\ See Union Pacific Railroad Company--Abandonment Exemption--
In Lamar and Fannin Counties, TX, STB Docket No. AB-33 (Sub-No. 
163X) (STB served Aug. 19, 2003).
    \2\ TXDOT states that an appropriate notice will be filed in the 
event an operator is hired by FRRTD.
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    TXDOT states that it will retain the residual common carrier 
obligation as part of its lease and operating agreement with FRRTD to 
ensure the viability of the corridor should FRRTD fail in its efforts 
to restore the line. TXDOT has filed this notice of exemption to cure 
its inadvertent failure to obtain prior Board approval of the sale to 
TXDOT rather than FRRTD.
    The exemption authorized by this notice became effective on 
February 9, 2006 (7 days after the notice was filed).
    TXDOT certifies that its projected revenues as a result of this 
transaction will not exceed those of a Class III rail carrier.
    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. 34834, must be filed with the Surface Transportation 
Board, 1925 K Street, NW., Washington, DC 20423-0001. In addition, one 
copy of each pleading must be served on Richard H. Streeter, Barnes & 
Thornburg LLP, 750 17th Street, NW., Suite 900, Washington, DC 20006.
    Board decisions and notices are available on our Web site at 
``http://www.stb.dot.gov.''

    Decided: February 15, 2006.

    By the Board, David M. Konschnik, Director, Office of 
Proceedings.
Vernon A. Williams,
Secretary.
[FR Doc. 06-1598 Filed 2-23-06; 8:45 am]
BILLING CODE 4915-01-P