[Federal Register Volume 87, Number 116 (Thursday, June 16, 2022)]
[Notices]
[Pages 36358-36359]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2022-13001]


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SURFACE TRANSPORTATION BOARD

[Docket No. FD 36621]


Kinston Railroad, LLC--Change in Operator Exemption--Kinston & 
Snow Hill Railroad Co., Inc.

    Kinston Railroad, LLC (KNR), a noncarrier, has filed a verified 
notice of exemption pursuant to 49 CFR 1150.31 to assume operation of 
approximately 5.7 miles of rail line near Kinston, Lenoir County, N.C., 
extending between milepost GTP-0.0 (and a connection at that location 
to a North Carolina Railroad Company track) and milepost GTP-5.7 at the 
North Carolina Global TransPark (the Line). The North Carolina 
Department of Transportation (NCDOT) owns the Line, and Kinston & Snow 
Hill Railroad Co., Inc. (KSHR), currently operates the Line pursuant to 
a 2015 lease with NCDOT (the Lease).\1\ See N.C. & Atl. R.R.--Lease & 
Operation Exemption--N.C. Dep't of Transp., FD 36008 (STB served Mar. 
25, 2016); N.C. & Atl. R.R.--Lease & Operation Exemption--N.C. Dep't of 
Transp., FD 36008 et al., (STB served Nov. 4, 2016) (providing notice 
that North Carolina & Atlantic Railroad Co., Inc., changed its name to 
Kinston & Snow Hill Railroad Co., Inc.).
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    \1\ Public and confidential versions of the Lease were filed 
with the verified notice. The confidential version was submitted 
under seal concurrently with a motion for protective order, which 
will be addressed in a separate decision.
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    According to the verified notice, KNR has entered into an agreement 
with KSHR--with NCDOT's consent--under which KSHR will assign its 
interest in the Lease to KNR, and KNR will commence common carrier 
operations over the Line in place of KSHR. Based on projected annual 
revenues for the Line, KNR expects to become a Class III rail carrier 
after consummation of the proposed transaction.
    This transaction is related to a concurrently filed verified notice 
in OPSEU Pension Plan Trust Fund--Continuance in Control Exemption--
Kinston Railroad, Docket No. FD 36620, in which the filing parties seek 
to continue in control of KNR upon KNR's becoming a Class III rail 
carrier.
    As required under 49 CFR 1150.33(h)(1), KNR certifies in its 
verified notice that the proposed change of operator on the Line does 
not involve, and the Lease between NCDOT and KSHR does not include, any 
provision or agreement that may limit future interchange with a third-
party connecting carrier.
    KNR certifies that its projected annual revenues as a result of the 
transaction will not exceed $5 million and will not result in the 
creation of a Class I or Class II rail carrier. Under 49 CFR 
1150.32(b), a change in operator exemption requires that notice be 
given to shippers. KNR certifies that it has provided notice of the 
proposed change in operator to the shippers on the Line.
    The transaction may be consummated on or after June 30, 2022, the 
effective date of the exemption (30 days after the verified notice was 
filed).
    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)

[[Page 36359]]

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 June 23, 2022 (at least seven days 
before the exemption becomes effective).
    All pleadings, referring to Docket No. FD 36621, must be filed with 
the Surface Transportation Board via e-filing on the Board's website or 
in writing addressed to 395 E Street SW, Washington, DC 20423-0001. In 
addition, a copy of each pleading must be served on KNR's 
representative, Robert A. Wimbish, Fletcher & Sippel LLC, 29 North 
Wacker Drive, Suite 800, Chicago, IL 60606-3208.
    According to KNR, this action is categorically excluded from 
historic preservation reporting requirements under 49 CFR 1105.8(b) and 
from environmental reporting requirements under 49 CFR 1105.6(c).
    Board decisions and notices are available at www.stb.gov.

    Decided: June 13, 2022.

    By the Board, Scott M. Zimmerman, Acting Director, Office of 
Proceedings.
Kenyatta Clay,
Clearance Clerk.
[FR Doc. 2022-13001 Filed 6-15-22; 8:45 am]
BILLING CODE 4915-01-P