[Federal Register Volume 79, Number 242 (Wednesday, December 17, 2014)]
[Notices]
[Page 75231]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2014-29550]


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DEPARTMENT OF TRANSPORTATION

Surface Transportation Board

[Docket No. FD 35882]


Watco Holdings, Inc.--Continuance in Control Exemption--Bogalusa 
Bayou Railroad, L.L.C.

    Watco Holdings, Inc. (Watco), a noncarrier, has filed a verified 
notice of exemption pursuant to 49 CFR 1180.2(d)(2) to continue in 
control of Bogalusa Bayou Railroad, L.L.C. (BBRR), upon BBRR's becoming 
a Class III rail carrier. Watco owns, indirectly, 100 percent of the 
issued and outstanding stock of BBRR, a limited liability company.
    This transaction is related to a concurrently filed verified notice 
of exemption in Bogalusa Bayou Railroad--Acquisition of Trackage Rights 
Exemption Containing Interchange Commitment--Illinois Central Railroad, 
Docket No. FD 35880, wherein BBRR seeks Board approval to acquire 
overhead trackage rights over a one-mile rail line owned by Illinois 
Central Railroad Company extending between milepost 68.85, at 
Leescreek, La., and milepost 69.85, at Bogalusa, La.
    The transaction may be consummated on or after December 31, 2014, 
the effective date of the exemption (30 days after the verified notice 
of exemption was filed).
    Watco currently controls, indirectly, one Class II rail carrier 
that operates in two states and 29 Class III rail carriers that 
collectively operate in 20 states. For a complete list of these rail 
carriers, and the states in which they operate, see Watco's verified 
notice of exemption filed on December 1, 2014. The verified notice is 
available on the Board's Web site at WWW.STB.DOT.GOV.
    Watco represents that: (1) The rail lines to be operated by BBRR do 
not connect with any of the rail lines operated by the carriers in the 
Watco corporate family; (2) the transaction is not a part of a series 
of anticipated transactions that would result in such a connection; and 
(3) 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).
    Watco states that the purpose of the transaction is to reduce 
overhead expenses, coordinate billing, maintenance, mechanical, and 
personnel policies and practices of its rail carrier subsidiaries, and 
thereby improve the overall efficiency of rail service provided by the 
railroads in the Watco corporate family.
    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. Because the transaction 
involves the control of one Class II and one or more Class III rail 
carriers, the transaction is subject to the labor protection 
requirements of 49 U.S.C. 11326(b) and Wisconsin Central Ltd.--
Acquisition Exemption--Lines of Union Pacific Railroad, 2 S.T.B. 218 
(1997).
    If the verified 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 effectiveness of the 
exemption. Petitions for stay must be filed by December 24, 2014 (at 
least seven days before the exemption becomes effective).
    An original and 10 copies of all pleadings, referring to Docket No. 
FD 35882, must be filed with the Surface Transportation Board, 395 E 
Street SW., Washington, DC 20423-0001. In addition, a copy of each 
pleading must be served on Karl Morell, Ball Janik LLP, 655 Fifteenth 
Street NW., Suite 225, Washington, DC 20005.
    Board decisions and notices are available on our Web site at 
WWW.STB.DOT.GOV.

    Decided: December 12, 2014.

    By the Board, Rachel D. Campbell, Director, Office of 
Proceedings.
Brendetta S. Jones,
Clearance Clerk.
[FR Doc. 2014-29550 Filed 12-16-14; 8:45 am]
BILLING CODE 4915-01-P