[Federal Register Volume 76, Number 118 (Monday, June 20, 2011)]
[Notices]
[Pages 35947-35948]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2011-15232]


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DEPARTMENT OF TRANSPORTATION

Surface Transportation Board

[Docket No. FD 35521]


Maine Northern Railway Company--Modified Rail Certificate--in 
Aroostook and Penobscot Counties, ME

    On June 7, 2011, Maine Northern Railway Company (MNRC) filed a 
notice for a modified certificate of public convenience and necessity, 
pursuant to 49 CFR 1150 subpart C--Modified Certificate of Public 
Convenience and Necessity, to lease and operate approximately 233 miles 
of rail line (the Line) in Aroostook and Penobscot Counties, Me.
    The Line was the subject of an abandonment application granted by 
the Board in Montreal, Maine & Atlantic Railway, Ltd.--Discontinuance 
of Service and Abandonment--in Aroostook and Penobscot Counties, Me., 
AB 1043 (Sub-No. 1)(STB served Dec. 27, 2010).\1\ Although authorized 
for abandonment, the State of Maine, by and through its Department of 
Transportation (State), sought to preserve service on the Line and 
purchased the Line pursuant to the class exemption found in Common 
Carrier Status of States, State Agencies and Instrumentalities, and 
Political Subdivisions, 363 I.C.C. 132 (1980) (Common Carrier), aff'd 
sub nom Simmons v. ICC, 697 F.2d 326 (D.C. Cir. 1982), codified at 49 
CFR 1150.22. Montreal, Maine & Atlantic Railway, Ltd. (MMA), the 
abandoning carrier, was authorized to provide service on the Line on an 
interim basis while the State conducted a search for a new operator.\2\ 
In April 2011, the State selected MNRC as the new operator, and on 
April 14, 2011, MMA filed its 60-day notice to terminate its interim 
service.\3\
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    \1\ Specifically, the application, as amended, identified the 
Line to be abandoned as comprising: (1) The Madawaska Subdivision, 
consisting of approximately 151 miles of line between milepost 109 
near Millinocket and milepost 260 near Madawaska in Penobscot and 
Aroostook Counties; (2) the Presque Isle Subdivision, consisting of 
approximately 25.3 miles of line between milepost 0.0 near Squa Pan 
and milepost 25.3 near Presque Isle in Aroostook County; (3) the 
Fort Fairfield Subdivision, consisting of approximately 10 miles of 
line between milepost 0.0 near Presque Isle and milepost 10.0 near 
Easton in Aroostook County; (4) the Limestone Subdivision, 
consisting of approximately 29.85 miles of line between milepost 0.0 
near Presque Isle and milepost 29.85 near Limestone in Aroostook 
County and; (5) the Houlton Subdivision, running between milepost 
0.0 near Oakfield and milepost 17.27 near Houlton in Aroostook 
County, and including the B Spur.
    \2\ See Montreal, Me. & Atl. Ry.--Modified Rail Certificate--in 
Aroostook and Penobscot Cntys., Me., FD 35463 (STB served Jan. 26, 
2011).
    \3\ Under 49 CFR 1150.23, rail operations of a carrier under a 
modified certificate may commence immediately upon the filing of a 
modified certificate notice with the Board. MNRC, however, will not 
begin its rail operations until June 15, 2011.
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    Pursuant to a lease and operating agreement (Agreement) dated June 
1, 2011, between MNRC and the State, MNRC will provide operations on 
the Line for an initial term of 10 years, which MNRC may extend for 1 
or 2 additional 10-year terms. The Agreement may be terminated, and 
operations may cease, in whole or in part, during any term upon the 
occurrence of certain events described in the Agreement. MNRC points 
out that, as stated in the Agreement, the portion of the Limestone 
Subdivision between Caribou and the end of the line in Limestone is not 
operational and will not be operated, as of the date of the Agreement. 
If future circumstances warrant, MNRC can begin operations on this 
segment under the Agreement.
    The transaction in Docket No. FD 35521 is related to the following 
transactions.
    (1) In Montreal, Maine & Atlantic Railway, Ltd.--Trackage Rights 
Exemption--Maine Northern Railway Company, FD 35505 (STB served May 27, 
2011), MMA invoked Board authority for overhead trackage rights being 
granted to it by MNRC over approximately 151 miles of rail line 
extending between milepost 109 near Millinocket, Me. and milepost 260 
near Madawaska, Me., to access MMA lines south of Millinocket and the 
MMA line beyond Madawaska.
    (2) In Maine Northern Railway Company--Trackage Rights Exemption--
Montreal, Maine & Atlantic Railway, Ltd., FD 35518 (STB served June 3, 
2011), MNRC invoked Board authority for overhead trackage rights being 
granted to it by MMA over MMA's line extending between Madawaska, Me. 
(at or about milepost 260 on MMA's Madawaska Subdivision) and the 
connection to the Canadian National Railway (CN) in St. Leonard, N.B. 
(at or about milepost 194.1 on CN's Nappadoggin Subdivision), plus 
additional trackage as described in that notice, so that MNRC can 
directly access CN to the north once MNRC begins its operations.
    (3) In Maine Northern Railway Company--Trackage Rights Exemption--
Montreal, Maine & Atlantic Railway, Ltd., FD 35519 (STB served June 3, 
2011), MNRC invoked Board authority for overhead trackage rights being 
granted to it by MMA over MMA's line extending between Millinocket, Me. 
(at or about milepost 109 on MMA's Millinocket Subdivision) and 
Brownville Junction, Me. (at or about milepost 104.84 on the 
Mattawamkeag Subdivision of the Eastern Maine Railway (EMR)), including 
MMA's Brownville Junction Yard, so that MNRC can directly access EMR to 
the south once MNRC begins its operations.
    (4) In The New Brunswick Railway Company--Continuance in Control 
Exemption--Maine Northern Railway Company, FD 35520 (STB served June 3, 
2011), The New Brunswick Railway Company (NBRC), the parent company of 
both EMR and MNRC, was authorized to continue in control of EMR and 
MNRC once MNRC becomes a Class III carrier after filing the modified 
certificate notice in Docket No. FD 35521.
    The Line qualifies for a modified certificate of public convenience 
and necessity. See Common Carrier and 49 CFR 1150.22. MNRC states that 
it will receive no subsidies in connection with its operations and that 
there will be no preconditions that shippers must meet to receive 
service.
    This notice will be served on the Association of American Railroads 
(Car Service Division) as agent for all railroads subscribing to the 
car-service and car-hire agreement at 425 Third Street, SW., Suite 
1000, Washington, DC 20024; and on the American Short Line and Regional 
Railroad Association at 50 F Street, NW., Suite 7020, Washington, DC 
20001.

[[Page 35948]]

    Board decisions and notices are available on our Web site at http://www.stb.dot.gov.

    Decided: June 15, 2011.

    By the Board.
Rachel D. Campbell,
Director, Office of Proceedings.
Jeffrey Herzig,
Clearance Clerk.
[FR Doc. 2011-15232 Filed 6-17-11; 8:45 am]
BILLING CODE 4915-01-P