[Federal Register Volume 86, Number 221 (Friday, November 19, 2021)]
[Notices]
[Pages 64987-64988]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2021-25298]


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SURFACE TRANSPORTATION BOARD

[Docket No. FD 36545]


Dallas, Garland & Northeastern Railroad, Inc.--Lease and 
Operation Exemption Including Interchange Commitment--Union Pacific 
Railroad Company

    Dallas, Garland & Northeastern Railroad, Inc. (DGNO), a Class III 
railroad, has filed a verified notice of exemption under 49 CFR 1150.41 
to amend its lease and continue to operate approximately 30.7 miles of 
rail line in Texas owned by Union Pacific Railroad Company (UP) (the 
Lines). The Lines consist of: (1) A portion of the Garland Subdivision 
(also known as the Greenville Subdivision) from milepost 741.3 near 
Lake Ray Hubbard to milepost 713.6 at Greenville, Tex.; and (2) the 
Sprecher Lead (also known as the Safeway Lead) at Garland, Tex. DGNO 
states that the Sprecher Lead has no official mileposts, but DGNO 
informally designates the mileposts as extending from milepost 0 to 
milepost 3 beginning at the switch at milepost 753.4.
    According to the verified notice, DGNO has leased and operated the 
Lines since at least 2001. DGNO states that, pursuant to an amended 
lease agreement (Amended Lease) with UP, DGNO's operations over the 
Lines will be extended for an additional 10 years.\1\
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    \1\ According to DGNO, in preparing the verified notice, it 
determined that DGNO's acquisition of Board authority for lease and 
operation of the Lines under the current lease appears to be 
incomplete because the authority only applies to a portion of the 
Garland Subdivision and none of the Sprecher Lead. See Dall., 
Garland & Ne. R.R.--Lease Exemption--Union Pac. R.R., FD 33686 (STB 
served Feb. 5, 1999) (granting authority to operate on milepost 
741.3 to milepost 729.5 of the Garland Subdivision, among others). 
DGNO states that, in addition to seeking authority to operate under 
the Amended Lease, it also is seeking to correct the Board's records 
of the lines operated by DGNO and to confirm its authority to 
operate on the Lines. This request will be addressed in a subsequent 
decision.
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    Further, DGNO certifies that its projected revenues as a result of 
the transaction will not exceed those that would qualify it as a Class 
III carrier, but that its current annual revenues exceed $5 million. 
Pursuant to 49 CFR 150.42(e), if a carrier's projected annual revenues 
will exceed $5 million, it must, at least 60 days before this exemption 
is to become effective, post a notice of its intent to undertake the 
proposed transaction at the workplace of the employees on the affected 
lines, serve a copy of the notice on the national offices of the labor 
unions with employees on the affected lines, and certify to the Board 
that it has done so. However, DGNO has petitioned for

[[Page 64988]]

waiver of the 60-day advance labor notice requirements. DGNO's waiver 
request will be addressed in a subsequent decision, and the 
effectiveness of the exemption will be postponed pending that decision.
    As required under 49 CFR 1150.43(h)(1), DGNO has disclosed in its 
verified notice that its lease agreement with UP contains an 
interchange commitment pertaining to interchange with carriers other 
than UP. DGNO has provided additional information regarding the 
interchange commitment as required by 49 CFR 1150.43(h).\2\
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    \2\ A copy of the lease with the interchange commitment was 
submitted under seal. See 49 CFR 1150.43(h)(1).
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    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 November 26, 2021.
    All pleadings, referring to Docket No. FD 36545, should be filed 
with the Surface Transportation Board via e-filing on the Board's 
website. In addition, a copy of each pleading must be served on DGNO's 
representative, Eric M. Hocky, Clark Hill PLC, Two Commerce Square, 
2001 Market Street, Suite 2620, Philadelphia, PA 19103.
    According to DGNO, this action is categorically excluded from 
environmental review under 49 CFR 1105.6(c) and from historic reporting 
under 49 CFR 1105.8(b).
    Board decisions and notices are available at www.stb.gov.

    Decided: November 16, 2021.

    By the Board, Scott M. Zimmerman, Acting Director, Office of 
Proceedings.
Aretha Laws-Byrum,
Clearance Clerk.
[FR Doc. 2021-25298 Filed 11-18-21; 8:45 am]
BILLING CODE 4915-01-P