[Federal Register Volume 71, Number 23 (Friday, February 3, 2006)]
[Notices]
[Pages 5906-5907]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 06-963]


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DEPARTMENT OF TRANSPORTATION

Surface Transportation Board

[STB Finance Docket No. 34823]


The Kansas City Southern Railway Company--Trackage Rights 
Exemption--Meridian Speedway LLC

    Meridian Speedway LLC (MSLLC) has agreed to grant local and 
overhead trackage rights to The Kansas City Southern Railway Company 
(KCSR) \1\ to permit KCSR to operate over a line of railroad being 
transferred to MSLLC.\2\ The trackage rights extend over this line 
between milepost 0.0 at Meridian, MS, and milepost 95.26 <plus-minus> 
at Jackson, MS, and between milepost 95.7 <plus-minus> at Jackson, MS, 
and milepost V-169.85 <plus-minus> at Shreveport, LA, a total distance 
of approximately 320 miles.\3\
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    \1\ A redacted version of the trackage rights agreement was 
filed with the notice of exemption. The full version of the 
agreement, as required by 49 CFR 1180.6(a)(7)(ii), was filed under 
seal along with a motion for a protective order.
    \2\ KCSR's verified notice of exemption is related to two other 
verified notices of exemption filed on January 17, 2006. In STB 
Finance Docket No. 34822, Kansas City Southern (KCS), KCSR, and 
MSLLC have filed a notice of exemption relating to an intra-
corporate family transaction pursuant to which KCSR will transfer 
its line between Meridian, MS, and Shreveport, LA, to MSLLC, KCS 
will continue in control of MSLLC (which will become a carrier upon 
acquiring the line), and KCSR will contract with MSLLC to operate 
the transferred line on MSLLC's behalf. In STB Finance Docket No. 
34821, Norfolk Southern Railway Company (NSR) has filed a notice of 
exemption to acquire trackage rights over the line to be transferred 
to MSLLC in STB Finance Docket No. 34822.
    \3\ KCSR currently operates via trackage rights over the 
approximately four-tenths of a mile section of track in Jackson, MS, 
connecting these two line segments. That section of track is 
controlled by Canadian National Railway Company (CN) as successor to 
Illinois Central Railroad Company (IC) pursuant to a trackage rights 
agreement dated March 26, 1986, between MidSouth Rail Corporation 
and IC.
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    KCSR had intended to consummate the transaction on the later of two 
dates, January 24, 2006, or when the transaction described in STB 
Finance Docket No. 34822 is consummated. However, by decision served on 
January 23, 2006, the effective date of the three exemptions was 
stayed, at the joint request of CN, NSR, KCS, KCSR, and MSLLC, until 
February 23, 2006. Accordingly, consummation of the transaction cannot 
occur until February 23, at the earliest.

[[Page 5907]]

    KCSR will use the trackage rights to continue to provide local rail 
service to shippers located on the line once ownership of the line has 
transferred from KCSR to MSLLC. In addition, the trackage rights will 
allow KCSR to transport goods to and from shippers and other rail 
carriers between Shreveport, LA, and Meridian, MS. This transaction and 
the transactions covered by the other two notices of exemption are part 
of a joint-venture between KCS and NSR to share and upgrade the instant 
line, a segment of a longer line located between Meridian, MS, and 
Dallas, TX.
    As a condition to this exemption, any employees affected by the 
trackage rights will be protected by the conditions imposed in Norfolk 
and Western Ry. Co.--Trackage Rights--BN, 354 I.C.C. 605 (1978), as 
modified in Mendocino Coast Ry., Inc.--Lease and Operate, 360 I.C.C. 
653 (1980).
    This notice is filed under 49 CFR 1180.2(d)(7). If it 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 transaction.
    An original and 10 copies of all pleadings, referring to STB 
Finance Docket No. 34823, must be filed with the Surface Transportation 
Board, 1925 K Street, NW., Washington, DC 20423-0001. In addition, a 
copy of each pleading must be served on: (1) Robert B. Terry, The 
Kansas City Southern Railway Company, P.O. Box 219335, Kansas City, MO 
64121-9335; and (2) William A Mullins, Baker & Miller PLLC, 2401 
Pennsylvania Avenue, NW., Suite 300, Washington, DC 20037.
    Board decisions and notices are available on our Web site at http://www.stb.dot.gov.

    Decided: January 27, 2006.
    By the Board, David M. Konschnik, Director, Office of 
Proceedings.
Vernon A. Williams,
Secretary.
[FR Doc. 06-963 Filed 2-2-06; 8:45 am]
BILLING CODE 4915-01-P