[Federal Register Volume 84, Number 95 (Thursday, May 16, 2019)]
[Pages 22222-22223]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2019-10144]



[Docket No. FD 36266]

San Francisco Bay Railway, LLC--Acquisition & Operation 
Exemption--San Francisco Bay Railroad, Inc.

    San Francisco Bay Railway, LLC (SFB Railway), a non-carrier, has 
filed a verified notice of exemption under 49 CFR 1150.31 to acquire by 
assignment from San Francisco Bay Railroad, Inc. (SFBR), SFBR's lease 
of and license to operate trackage of the San Francisco Port Commission 
(the Port), extending from a connection with Union Pacific Railroad 
Company near the intersection of Amador Street and Cargo Way, through 
the Intermodal Container Transfer Facility and to Piers 92, 94, and 96, 
a distance of approximately 0.5 route miles and approximately 16,750 
track feet in San Francisco, Cal. (the Line).\1\ According to SFB 
Railway, there are no mileposts assigned to the Line.

    \1\ On May 3, 2019, SFB Railway supplemented its verified notice 
of exemption by submitting a certification that notice of the 
transaction was provided to shippers on the Line pursuant to the 
change in operators provisions at 49 CFR 1150.31(a)(3) and 

    SFBR is a Class III rail carrier that has leased and operated rail 
trackage in the vicinity of the Intermodal Container Transfer Facility 
at the Port of San Francisco. LB Railco, Inc.--Lease & Operation 
Exemption--S.F. Port Comm'n, FD 33985 (STB served Jan. 8, 2001); \2\ 
S.F. Bay R.R.--Lease & Operation Exemption--S.F. Port Comm'n, FD 36265 
(STB served Feb. 15, 2019).

    \2\ According to the verified notice, LB Railco, Inc., changed 
its name to San Francisco Bay Railroad, Inc., on February 20, 2008.

    SFB Railway states that, pursuant to an Asset Purchase Agreement 
executed by SFB Railway and SFBR, SFB Railway will acquire, via 
assignment of certain agreements between SFBR and the Port (the Lease/
Rail Agreements), SFBR's lease and license to operate the Line. The 
Lease/Rail Agreements provide for the lease and operation of the Line 
until December 31, 2033, with a mutual five-year extension option to 
December 31, 2038. The verified notice states that, as contemplated by 
the Lease/Rail Agreements, the parties have sought the Port's consent 
to the assignment of those agreements.
    According to SFB Railway, the proposed transaction does not involve 
a limitation on SFB Railway's interchange with a third-party connecting 
    SFB Railway certifies that its projected annual revenues as a 
result of the transaction will not result in the creation of a Class II 
or Class I carrier and will not exceed $5 million.
    Under 49 CFR 1150.32(b), a change in operators requires that notice 
be given to shippers. As noted above, on May 3, 2019, SFB Railway filed 
a certification that it has provided notice of the proposed transaction 
to shippers on the Line.
    The earliest this transaction may be consummated is May 30, 2019 
(30 days after the verified notice was filed).\3\ 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 no later than May 23, 2019 (at least seven days 
before the exemption becomes effective).

    \3\ SFB Railway states that it intends to consummate the 
proposed transaction on or shortly after May 31, 2019, but in no 
event prior to the Port's pending issuance of consent to the 
assignment of the Lease/Rail Agreements to SFB Railway.

    All pleadings, referring to Docket No. FD 36266, must be filed with 
the Surface Transportation Board either via e-filing or in writing 
addressed to 395 E Street SW, Washington, DC 20423-0001. In addition, a 
copy of each pleading must be served on SFB Railway's representative, 
Thomas J. Litwiler, Fletcher & Sippel LLC, 29 North Wacker Drive, Suite 
800, Chicago, IL 60606-3208.
    According to SFB Railway, this action is excluded from 
environmental review under 49 CFR 1105.6(c) and from historic 
preservation reporting requirements under 49 CFR 1105.8(b)(1).
    Board decisions and notices are available at www.stb.gov.

    Decided: May 13, 2019.

[[Page 22223]]

    By the Board, Allison C. Davis, Acting Director, Office of 
Brendetta Jones,
Clearance Clerk.
[FR Doc. 2019-10144 Filed 5-15-19; 8:45 am]