[Federal Register Volume 90, Number 144 (Wednesday, July 30, 2025)]
[Notices]
[Pages 35958-35959]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2025-14383]


=======================================================================
-----------------------------------------------------------------------

SURFACE TRANSPORTATION BOARD

[Docket No. FD 36866]


OPSEU Pension Plan Trust Fund, Jaguar Transport Holdings, LLC, 
and Jaguar Rail Holdings, LLC--Control Exemption--Central Washington 
Railroad Company, LLC

    OPSEU Pension Plan Trust Fund (OPTrust), Jaguar Transport Holdings, 
LLC (JTH), and Jaguar Rail Holdings, LLC (JRH) (collectively, Jaguar), 
each a noncarrier, have filed a verified notice of exemption under 49 
CFR 1180.2(d)(2) to acquire control of Central Washington Railroad 
Company, LLC (CWAR). CWAR \1\ is an existing Class III railroad common 
carrier.\2\
---------------------------------------------------------------------------

    \1\ The verified notice indicates that CWAR was formerly a 
corporation--Central Washington Railroad Company--that has 
reconstituted as a limited liability company).
    \2\ See Cent. Wash. R.R.--Lease & Operation Exemption--The 
Burlington N. & Santa Fe Ry, FD 34640 (STB served Jan. 21, 2005).
---------------------------------------------------------------------------

    According to the verified notice, OPTrust indirectly controls JTH, 
which, in turn, directly controls JRH. JTH currently controls, 
indirectly, 11 Class III railroads. Of the 11 railroads currently under 
JTH's indirect control, eight \3\ are controlled directly by JRH. JRH 
also indirectly controls two \4\ other railroads through WYCO. JTH 
indirectly controls West Memphis Base Railroad, L.L.C., through Jaguar 
Transport, LLC, a separate JTH subsidiary affiliated with JRH.\5\
---------------------------------------------------------------------------

    \3\ Those carriers, and the states in which they operate, are: 
(1) Southwestern Railroad, Inc. (New Mexico, Texas, and Oklahoma); 
(2) Texas & Eastern Railroad, LLC (Texas); (3) Wyoming and Colorado 
Railroad, Inc. (WYCO) (Oregon); (4) Missouri Eastern Railroad, LLC 
(Missouri); (5) Charlotte Western Railroad, LLC (North Carolina); 
(6) Kinston Railroad LLC (North Carolina); (7) Waterloo Railroad LLC 
(Iowa); and (8) Kansas City West Bottoms Railroad, LLC (Missouri and 
Kansas).
    \4\ Those carriers, and the states in which they operate, are: 
(1) Cimarron Valley Railroad, L.C. (Kansas, Colorado, and Oklahoma); 
and (2) Washington Eastern Railroad, LLC (Washington).
    \5\ Concurrent with this acquisition of control notice of 
exemption, Jaguar is filing a separate notice of exemption to 
authorize Jaguar's acquisition of control of another Class III rail 
carrier, Columbia Basin Railroad Company, LLC (CBRW), in Docket No. 
FD 36865. CWAR's lines and CBRW's lines are each located in the 
State of Washington, but CWAR's and CBRW's railroad networks do not 
connect or intersect.
---------------------------------------------------------------------------

    Pursuant to a Unit Purchase Agreement, Jaguar proposes to acquire

[[Page 35959]]

control of CWAR.\6\ According to the verified notice, the primary 
purpose of the transaction is for Jaguar to add CWAR to its various 
short line holdings. The verified notice further states that the 
transaction will promote Jaguar's investment objectives and sustain its 
railroads' efficiency, financial strength, and ability to meet customer 
needs. Jaguar also states that the agreement does not include any 
provision that would limit the future interchange of traffic with a 
third-party connecting carrier.
---------------------------------------------------------------------------

    \6\ Public and confidential versions of the agreement were filed 
with the verified notice. The confidential version was submitted 
under seal concurrent with a motion for protective order, which was 
granted on July 25, 2025.
---------------------------------------------------------------------------

    Jaguar represents that its acquisition of control of CWAR is not a 
transaction where: (1) CWAR would connect with any of the Jaguar 
railroads, (2) Jaguar plans through its acquisition of control of CWAR 
to connect to any of the Jaguar railroads, or to connect any of the 
Jaguar railroads to one another; or (3) a Class I carrier is involved. 
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).
    This transaction may be consummated on or after August 13, 2025, 
the effective date of the exemption (30 days after the verified notice 
was filed).
    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 49 U.S.C. 
11324 and 11325 that involve only Class III rail carriers. Because this 
transaction involves Class III rail carriers only, the Board, under the 
statute, may not impose labor protective conditions for this 
transaction.
    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 August 6, 
2025.
    All pleadings, referring to Docket No. FD 36866, must be filed with 
the Surface Transportation Board either via e-filing on the Board's 
website or in writing addressed to 395 E Street SW, Washington, DC 
20423-0001. In addition, one copy of each pleading must be served on 
Jaguar's representative, Robert A. Wimbish, Fletcher & Sippel LLC, 29 
North Wacker Drive, Suite 800, Chicago, IL 60606-3208.
    According to Jaguar, this action is categorically excluded from 
environmental review under 49 CFR 1105.6(c) and from historic reporting 
requirements under 49 CFR 1105.8(b).
    Board decisions and notices are available at www.stb.gov.

    Decided: July 25, 2025.

    By the Board, Scott M. Zimmerman, Acting Director, Office of 
Proceedings.
Kenyatta Clay,
Clearance Clerk.
[FR Doc. 2025-14383 Filed 7-29-25; 8:45 am]
BILLING CODE 4915-01-P