[Federal Register Volume 83, Number 235 (Friday, December 7, 2018)]
[Notices]
[Page 63191]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2018-26582]


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SURFACE TRANSPORTATION BOARD

[Docket No. FD 36254]


Progressive Rail Incorporated--Continuance in Control Exemption--
St. Paul & Pacific Northwest Railroad Company, LLC

    Progressive Rail Incorporated (PGR), a Class III rail carrier, has 
filed a verified notice of exemption under 49 CFR 1180.2(d)(2) to 
continue in control of St. Paul & Pacific Northwest Railroad Company, 
LLC (SPN), upon SPN's becoming a Class III rail carrier.
    This transaction is related to a concurrently filed verified notice 
of exemption in St. Paul & Pacific Northwest Railroad Company, LLC--
Change in Operators Exemption--Kettle Falls International Railway LLC, 
Docket No. FD 36246. In that proceeding, SPN seeks to assume operations 
over approximately 83 miles of rail line owned by BNSF Railway Company, 
that extends north from Chewelah, Wash., to Kettle Falls, Wash., where 
the line branches; the West Branch continues northwest to West Kettle 
Falls, Wash., and the East Branch continues northeast across the United 
States-Canada border at milepost 139.7 and on to Columbia Gardens, 
B.C., Canada. PGR states that SPN is a new entity established by PGR to 
lease and operate those lines.
    The earliest this transaction may be consummated is December 20, 
2018, the effective date of the exemption (30 days after the verified 
notice was filed). PGR states that it intends to consummate the 
transaction concurrently with SPN's commencement of operations pursuant 
to Docket No. FD 36246, on or about January 1, 2019.
    PGR will continue in control of SPN upon SPN's becoming a Class III 
rail carrier, while remaining in control of eight other Class III 
carriers: Airlake Terminal Railway Company, LLC; Central Midland 
Railway Company; Iowa Traction Railway Company; Iowa Southern Railway 
Company; Piedmont & Northern Railroad, LLC; Chicago Junction Railway 
Company; St. Paul & Pacific Railroad Company, LLC; and Clackamas Valley 
Railway Company, LLC.
    PGR verifies that: (1) The rail lines do not connect with the lines 
of PGR or of the lines of any of the other eight Class III rail 
carriers controlled by PGR; (2) this continuance in control transaction 
is not part of a series of anticipated transactions that would result 
in such a connection; and (3) the transaction does not involve a Class 
I rail carrier. Therefore, the 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 obligation to 
protect the interests of its employees. Section 11326(c), however, does 
not provide for labor protection for transactions under sections 11324 
and 11325 that involve only Class III rail carriers. Accordingly, the 
Board may not impose labor protective conditions here because all the 
carriers involved are Class III carriers.
    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 effectiveness of the exemption. 
Petitions for stay must be filed no later than December 13, 2018 (at 
least seven days before the exemption becomes effective).
    An original and 10 copies of all pleadings, referring to Docket No. 
FD 36254, must be filed with the Surface Transportation Board, 395 E 
Street SW, Washington, DC 20423. In addition, one copy of each pleading 
must be served on Bradon J. Smith, Fletcher & Sippel LLC, 29 North 
Wacker Drive, Suite 800, Chicago, Ill. 60606.
    Board decisions and notices are available on our website at 
www.stb.gov.

    Decided: December 3, 2018.

    By the Board, Scott M. Zimmerman, Acting Director, Office of 
Proceedings.
Jeffrey Herzig,
Clearance Clerk.
[FR Doc. 2018-26582 Filed 12-6-18; 8:45 am]
BILLING CODE 4915-01-P