[Federal Register Volume 81, Number 178 (Wednesday, September 14, 2016)]
[Notices]
[Pages 63258-63259]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2016-22102]


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SURFACE TRANSPORTATION BOARD

[Docket No. FD 36059]


Ozinga Bros., Inc.--Continuance in Control Exemption--Chicago 
Port Railroad Company

    Ozinga Bros., Inc. (Ozinga Bros.), a noncarrier, has filed a 
verified notice of exemption for authority to continue in control of 
Chicago Port Railroad Company (CPRR), a Class III rail carrier. 
According to Ozinga Bros., in 2006, CPRR obtained authority to operate 
as a common carrier.\1\ At the time, CPRR was, and now is, owned by 
Mokena Illinois Railroad (MIRR), a Class III rail carrier.\2\ MIRR, in 
turn, was, and is, controlled by Ozinga Bros. Ozinga Bros.' ownership 
interest in MIRR, and its indirect ownership interest in CPRR, was not 
disclosed at the time of the CPRR transaction. Ozinga Bros. asserts 
that neither it nor MIRR sought Board authority for Ozinga Bros. to 
control CPRR when CPRR obtained its common carrier authority in 2006, 
because neither was aware that federal regulatory authority was 
required for Ozinga Bros. to control, directly or indirectly, multiple 
rail carriers. Ozinga Bros. states that the present notice of exemption 
serves to correct this inadvertent regulatory oversight so that it will 
possess the necessary regulatory authority to control the two railroads 
in its corporate family (CPRR and MIRR).
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    \1\ See Chicago Port R.R.--Operation Exemption--Ozinga Transp., 
FD 34808 (STB served Jan. 12, 2006).
    \2\ See Mokena Ill. R.R.--Construction Exemption--Will Cty., 
Ill., FD 31680 (ICC served Oct. 4, 1990, and Dec. 3, 1990).
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    The effective date of the exemption is September 28, 2016 (30 days 
after the verified notice of exemption was filed).
    As clarified in a letter filed on September 8, 2016, the applicant 
represents that: (1) The rail lines of CPRR and MIRR do not connect 
with each other or any railroads in their corporate family; (2) the 
continuance of control is not part of a series of anticipated 
transactions that would connect the railroads with each other or any 
railroads in their corporate family; and (3) the transaction does not 
involve a Class I carrier. Therefore, the proposed 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 obligations to 
protect the interests of its employees. Section 11326(c), however, does 
not provide for labor protection for transactions under 11324 and 11325 
that involve only Class III rail carriers. Accordingly, the Board may 
not impose labor protective conditions here, because all of the 
carriers involved are Class III carriers.
    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. Stay petitions must be filed no later than September 21, 
2016 (at least seven days before the exemption becomes effective).
    An original and 10 copies of all pleadings, referring to Docket No. 
FD 36059, must be filed with the Surface Transportation Board, 395 E 
Street SW.,

[[Page 63259]]

Washington, DC 20423-0001. In addition, one copy of each pleading must 
be served on Robert A. Wimbish, Fletcher & Sippel LLC, 29 North Wacker 
Drive, Suite 920, Chicago, IL 60606-2832.
    Board decisions and notices are available on our Web site at 
WWW.STB.GOV.

    Decided: September 9, 2016.

    By the Board, Rachel D. Campbell, Director, Office of 
Proceedings.
Tia Delano,
Clearance Clerk.
[FR Doc. 2016-22102 Filed 9-13-16; 8:45 am]
 BILLING CODE 4915-01-P