[Federal Register Volume 84, Number 49 (Wednesday, March 13, 2019)]
[Notices]
[Pages 9199-9200]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2019-04613]
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SURFACE TRANSPORTATION BOARD
[Docket No. FD 36272]
The Gregory B. Cundiff Trust, the Connie Cundiff Trust, CGX,
Inc., and Ironhorse Resources, Inc.--Continuance in Control Exemption--
Tennessee Railroad Holdings, LLC, Sequatchie Valley Switching Company,
LLC, and Walking Horse Railroad, LLC
The Gregory B. Cundiff Trust, the Connie Cundiff Trust, CGX, Inc.
(CGX), and Ironhorse Resources, Inc. (Ironhorse) (collectively, the
Controlling Entities), have filed a verified notice of exemption
pursuant to 49 CFR 1180.2(d)(2) to continue in control of Tennessee
Railroad Holdings, LLC (TRH), Sequatchie Valley Switching Company, LLC
(SQSC), and Walking Horse Railroad, LLC (WHRR) when TRH, SQSC, and WHRR
become rail carriers.\1\
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\1\ The verified notice was supplemented on March 1, 2019, with
a letter indicating that the proposed transaction does not involve
any interchange commitments.
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The transaction is related to three concurrently filed verified
notices of exemption. In Tennessee Railroad Holdings, LLC--Acquisition
Exemption--Sequatchie Valley Railroad, Inc., Docket No. FD 36269, TRH
seeks an exemption under 49 CFR 1150.31 to acquire by purchase from
Sequatchie Valley Railroad, Inc., a line of railroad that extends
between milepost 0.0, a point of connection to CSX Transportation, Inc.
(CSXT) at or near Bridgeport, Jackson County, Ala., and milepost 11.77,
the end of track at or near Jaspar, Marion County, Tenn. (the Line). In
Sequatchie Valley Switching Co.--Operation Exemption--Tennessee
Railroad Holdings, LLC, Docket No. FD 36270, SQSC seeks an exemption
under 49 CFR 1150.31 to operate over the Line pursuant to an operating
agreement with TRH. In Walking Horse Railroad, LLC--Change in Operators
Exemption--Walking Horse & Eastern Railroad Co., Docket No. FD 36271,
WHRR seeks an exemption under 49 CFR 1150.31 to replace Walking Horse
and Eastern Railroad Company, Inc., as the operator of a rail line that
extends between milepost 0.0, a point of connection to CSXT at or near
Wartrace, and milepost 7.9, the end of track at or near Shelbyville, in
Bedford County, Tenn.
The earliest this transaction may be consummated is March 27, 2019,
the effective date of the exemption (30 days after the verified notice
was filed).
According to the verified notice of exemption, the Gregory B.
Cundiff Trust and the Connie Cundiff Trust, both of which are
noncarrier individual trusts, own CGX, a noncarrier holding company, in
equal parts. CGX, in turn, directly controls a number of existing Class
III carriers and Ironhorse, a noncarrier holding company. As a result
of this transaction, CGX would directly control TRH (which is currently
a noncarrier). Ironhorse directly controls several existing Class III
rail carriers. As a result of this transaction, Ironhorse would
directly control SQSC and WHRR (which are currently noncarriers).
The Controlling Entities represent that: (1) The rail lines to be
owned by TRH, the lines to be operated SQSC and WHRR, and the
properties of the rail carriers controlled by the Controlling Entities
do not connect with each other; (2) the proposed continuance in control
is not part of a series of anticipated transactions that would connect
the carriers with each other or any other railroad in the corporate
family; and (3) the transaction does not involve a Class I carrier. The
proposed transaction is, therefore, exempt from the prior approval
requirements of 49 U.S.C. 11323 pursuant to 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. However, 49 U.S.C. 11326(c)
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 to stay must be filed no later than March 20, 2019 (at least
seven days before the exemption becomes effective).
An original and 10 copies of all pleadings, referring to Docket No.
FD 36272, must be filed with the Surface Transportation Board, 395 E
Street SW, Washington, DC 20423-0001. In addition, one copy of each
pleading must be served on Thomas F. McFarland, Thomas F. McFarland,
P.C.,
[[Page 9200]]
208 South LaSalle Street, Suite 1666, Chicago, IL 60604-1228.
Board decisions and notices are available at www.stb.gov.
Decided: March 8, 2019.
By the Board, Allison C. Davis, Acting Director, Office of
Proceedings.
Jeffrey Herzig,
Clearance Clerk.
[FR Doc. 2019-04613 Filed 3-12-19; 8:45 am]
BILLING CODE 4915-01-P