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[Federal Register Volume 83, Number 240 (Friday, December 14, 2018)]
[Notices]
[Page 64425]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2018-27158]

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SURFACE TRANSPORTATION BOARD

[Docket No. FD 36253]

Middletown & New Jersey Railroad, LLC--Lease Exemption Containing 
Interchange Commitment--Norfolk Southern Railway Company

    Middletown & New Jersey Railroad, LLC (M&NJ), a Class III rail 
carrier, has filed a verified notice of exemption under 49 CFR 1150.41 
to lease from Norfolk Southern Railway Company (NS) and to operate 
approximately 1.9 miles of rail line located between Four Story 
Junction at milepost UJ 0 and Middletown, NY, at milepost UJ 1.9, known 
as the Crawford Industrial Track (the Line).
    According to M&NJ, in conjunction with the lease of the Line, it 
will also obtain incidental local and overhead trackage rights over 
rail line located between the western end of Campbell Hall yard at 
milepost JS 67.50, continuing for 9.1 miles to milepost JS 76.60 at CP 
Howells, and from milepost SR 68.90 at CP Howells, continuing for 21 
miles to milepost SR 89.90 at or near Port Jervis, NY (the Incidental 
Trackage Rights). M&NJ states that the Incidental Trackage Rights are 
being granted over a line owned by NS and currently leased to Metro-
North Commuter Railroad Company pursuant to a sublease agreement under 
which NS retained the exclusive, irrevocable, and perpetual right to 
provide or permit rail freight service on the line. See Metro-North 
Commuter R.R--Acquis. & Operation Exemption--Line of Norfolk S. Ry., FD 
34293, slip op. at 2 (STB served May 13, 2003).
    M&NJ certifies that its projected revenues as a result of this 
transaction will not result in M&NJ's becoming a Class I or Class II 
rail carrier and will not exceed $5 million. As required under 49 CFR 
1150.43(h)(1), M&NJ has disclosed in its verified notice that the lease 
agreement contains an interchange commitment that will require M&NJ to 
pay additional charges if it interchanges certain traffic with a rail 
carrier other than NS.\1\ M&NJ has provided additional information 
regarding the interchange commitment as required by 49 CFR 1150.43(h).
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    \1\ A draft copy of the lease agreement was submitted under seal 
with the verified notice.
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    M&NJ states that it expects to consummate the transaction on or 
shortly after the effective date of this notice of exemption. The 
earliest this transaction may be consummated is December 29, 2018 (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) 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 December 21, 
2018 (at least seven days before the exemption becomes effective).
    An original and 10 copies of all pleadings, referring to Docket No. 
FD 36253, must be filed with the Surface Transportation Board, 395 E 
Street SW, Washington, DC 20423-0001. In addition, a copy of each 
pleading must be served on M&NJ's representative, Karl Morell, Karl 
Morell and Associates, Suite 440, 440 1st Street NW, Washington, DC 
20001.
    According to M&NJ, 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 on our website at 
www.stb.gov.

    Decided: December 11, 2018.

    By the Board, Scott M. Zimmerman, Acting Director, Office of 
Proceedings.
Tammy Lowery,
Clearance Clerk.
[FR Doc. 2018-27158 Filed 12-13-18; 8:45 am]
 BILLING CODE 4915-01-P
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