[Federal Register Volume 88, Number 197 (Friday, October 13, 2023)]
[Notices]
[Pages 71071-71072]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2023-22683]


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SURFACE TRANSPORTATION BOARD

[Docket No. FD 36723 (Sub-No. 2)]


OmniTRAX Holdings Combined, Inc., and HGS Railway Holdings, 
Inc.--Continuance in Control Exemption--Savannah Industrial Logistics, 
LLC

    OmniTRAX Holdings Combined, Inc. (OmniTRAX), and HGS Railway 
Holdings, Inc. (HGS) (collectively, Omni-HGS), both noncarriers, have 
filed a verified notice of exemption under 49 CFR 1180.2(d)(2) to 
continue in control of Savannah Industrial Logistics, LLC (SIL), a 
noncarrier currently controlled by OmniTRAX, once SIL is authorized to 
commence common carrier operations.
    This notice of exemption is related to a concurrently filed 
petition for exemption in Savannah Industrial Transportation, LLC--
Construction Exemption--in Effingham County, Ga., Docket No. FD 36723. 
In that proceeding, SIL seeks an after-the-fact exemption under 49 
U.S.C. 10502(a), from the prior approval requirements of 49 U.S.C. 
10901(a), for the construction of a rail line (the Track) located in an 
industrial park sited near Rincon, in

[[Page 71072]]

Effingham County, Georgia.\1\ The Track extends from a connection with 
Norfolk Southern Railway Company (NSR) near NSR milepost 16.6 to a 
connection with CSX Transportation, Inc. (CSXT), near CSXT milepost 
S484.0, a distance of approximately 11,404 feet.
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    \1\ According to the verified notice, SIL is currently 
controlled by OmniTRAX. (Notice 2.) Should SIL's petition for after-
the-fact construction authority be granted in Docket No. FD 36723, 
OmniTRAX and HGS seek to control SIL jointly. (Id. at 5.)
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    Omni-HGS states that it will control SIL upon SIL's becoming a 
Class III rail carrier. According to Omni-HGS, OmniTRAX and HGS are 
under joint managerial and operational control.\2\ Omni-HGS states that 
OmniTRAX currently controls 22 Class III railroads, HGS currently 
controls two Class III railroads, and OmniTRAX and HGS control one 
Class III railroad together.\3\ The properties of the rail carriers 
controlled by OmniTRAX and HGS are located in the following states: 
Alabama, California, Colorado, Florida, Georgia, Illinois, Kansas, 
Maryland, Nebraska, New Jersey, Ohio, Oklahoma, Texas, Virginia, 
Washington, and West Virginia. Omni-HGS certifies that the proposed 
transaction does not involve an interchange commitment.
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    \2\ See OmniTRAX Holdings Combined, Inc.--Control Exemption--The 
Winchester & W. R.R., FD 36338 (STB served Aug. 22, 2019).
    \3\ Specifically, OmniTRAX currently controls: Alabama & 
Tennessee River Railway, LLC; Brownsville & Rio Grande International 
Railway, LLC; Central Texas & Colorado River Railway, LLC; Chicago 
Rail Link, L.L.C.; Cleveland & Cuyahoga Railway, LLC; Fulton County 
Railway, LLC; Georgia & Florida Railway, LLC; Georgia Woodlands 
Railroad, L.L.C.; Great Western Railway of Colorado, L.L.C.; 
Illinois Railway, LLC; Kettle Falls International Railway, LLC; 
Manufacturers' Junction Railway, L.L.C.; Nebraska, Kansas and 
Colorado Railway, LLC; Newburgh & South Shore Railroad, LLC; 
Northern Ohio & Western Railway, L.L.C.; Omni River Ridge, LLC d/b/a 
River Ridge Railroad; Panhandle Northern Railroad, L.L.C.; Peru 
Industrial Railroad, LLC; Sand Springs Railway Company, Stockton 
Terminal and Eastern Railroad; Winchester and Western Railroad 
Company; and Savannah Industrial Transportation, LLC. HGS currently 
controls HGS-ATN, LLC, and HGS-FCR, LLC. Further, according to Omni-
HGS, it recently filed for control of OmniTRAX SBVR, LLC d/b/a South 
Branch Valley Railroad, noting that its control authority becomes 
effective on October 11, 2023. See OmniTRAX Holdings Combined, 
Inc.--Continuance in Control Exemption--OmniTRAX SBVR, LLC, FD 36716 
(STB served Sept. 27, 2023).
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    Omni-HGS states that: (1) the line over which SIL seeks authority 
to operate does not connect with the lines of any of the existing rail 
carriers controlled by OmniTRAX or by HGS, (2) the proposed transaction 
is not part of a series of anticipated transactions that would connect 
the line with any other railroads in the OmniTRAX or HGS corporate 
families; and (3) the transaction does not involve a Class I rail 
carrier. Therefore, the proposed transaction is exempt from the prior 
approval requirements of 49 U.S.C. 11323. See 49 CFR 1180.2(d)(2).
    The earliest this transaction may be consummated is October 28, 
2023, the effective date of the exemption (30 days after the verified 
notice was filed). The verified notice states that the parties do not 
intend to consummate the transaction until such time as SIL consummates 
the transaction that is the subject of its petition for exemption in 
Docket No. FD 36723.
    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. Accordingly, 
the Board may not impose labor protective conditions here because all 
the carriers involved are Class III carriers.
    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 October 20, 
2023 (at least seven days before the exemption becomes effective).
    All pleadings, referring to Docket No. FD 36723 (Sub-No. 2), 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 
Omni-HGS' representative, Robert A. Wimbish, Fletcher & Sippel LLC, 29 
North Wacker Drive, Suite 800, Chicago, IL 60606-3208.
    According to Omni-HGS, this action is categorically excluded from 
environmental review under 49 CFR 1105.6(c) and from historic 
preservation reporting requirements under 49 CFR 1105.8(b).
    Board decisions and notices are available at www.stb.gov.

    Decided: October 10, 2023.

    By the Board, Mai T. Dinh, Director, Office of Proceedings.
Tammy Lowery,
Clearance Clerk.
[FR Doc. 2023-22683 Filed 10-12-23; 8:45 am]
BILLING CODE 4915-01-P