Federal Register / Vol. 77, No. 46 / Thursday, March 8, 2012 / Notices 14057 

2 Graco’s petition, which was filed under 49 CFR 

Part 556, requests an agency decision to exempt 

Graco as a manufacturer from the notification and 

recall responsibilities of 49 CFR Part 573 for the 

affected child restraint systems. However, a 

decision on this petition cannot relieve distributors 

and dealers of the prohibitions on the sale, offer for 

sale, or introduction or delivery for introduction 

into interstate commerce of the noncompliant child 

restraint systems under their control after Graco 

notified them that the subject noncompliance 

existed. 

noncompliance as required by 49 U.S.C. 

30118 and remedying the 

noncompliance as required by 49 U.S.C. 

30120. 

NHTSA Decision 

Requirement Background 

The purpose of the flammability 

requirements is to reduce deaths and 

injuries to motor vehicle occupants 

caused by vehicle fires, especially those 

originating in the interior of the vehicle 

from sources such as matches or 

cigarettes. S5.7 of FMVSS No. 213 

requires that each material used in a 

child restraint system shall conform to 

the flammability requirements 

contained in S4 of FMVSS No. 302. S4 

contains flammability requirements to 

measure the burn rate of specific 

components of vehicle occupant 

compartments. 

NHTSA’s Analysis of Graco’s Reasoning 

Based on Dorel’s explanation in its 

petition, certain warning labels sewn to 

a detachable pillow provided with the 

Dorel MyRide 65 child restraint system 

did not comply with the flammability 

requirements contained in FMVSS No. 

213 and No. 302. Dorel stated that the 

subject warning labels were supplied by 

a sub-supplier of Dorel’s usual supplier 

of pillow warning labels and were not 

properly treated for flammability 

resistance. Dorel concludes that since 

the warning labels were not properly 

treated for flammability resistance then 

the labels are not in compliance with 

FMVSS No. 213. 

Dorel states that the noncompliance of 

the pillow label to the requirements of 

FMVSS No. 213 is inconsequential to 

overall motor vehicle safety. The size, 

location, function and overall design of 

the pillow at issue, together with the 

low risk of injury resulting from the 

noncompliant label on the detachable 

pillow, is inconsequential to the overall 

safety of the MyRide child restraint 

system. Since the label is physically 

small (3 inches by 11⁄4 inches) the 

likelihood of ignition is negligible, and 

the label is surrounded by flame 

resistant materials. Graco considered a 

variety of potential ignition sources that 

may be exposed to the label and 

believes that the likelihood of the label 

coming into contact with any type of 

ignition source is extremely low, 

including the potential ignition from 

cigarettes or other smoking materials. 

NHTSA Conclusions 

There appears to be an insignificant 

safety risk created by the 

noncompliance. The underlying 

concern is that the label attached to the 

detachable pillow could ignite since it 

was not treated with flame resistant 

material. But the relatively small size of 

the label, together with its proximity to 

other materials on the child restraint 

system that have been treated with 

flame resistant materials, renders the 

likelihood of ignition for this one label 

extremely low. 

There appears to be no significant 

safety risk caused by the 

noncompliance. 

NHTSA’s Response to the Comment 

In its comments to the docket, Hoppe 

did not specifically address the pillow 

warning label noncompliance that is the 

essence of the Graco petition. Instead he 

applauded Graco and NHTSA for 

enforcing the applicable safety 

standards. 

Because Hoppes’ comments did not 

provide any information addressing 

Graco’s noncompliance that is the 

essence of its petition, 

Hoppes’comments do not support 

denying the subject petition. 

Decision 

After a review of Graco’s arguments 

and Dean L. Hoppe’s comment, NHTSA 

is convinced that Graco has met its 

burden of demonstrating that the 

noncompliance does not present a 

significant safety risk. Therefore, 

NHTSA agrees with Graco that this 

specific noncompliance is 

inconsequential to motor vehicle safety. 

In consideration of the foregoing, 

NHTSA has decided that Graco has met 

its burden of persuasion that the FMVSS 

No. 213 noncompliance in the child 

restraint systems identified in Graco’s 

Noncompliance Information Report is 

inconsequential to motor vehicle safety. 

Accordingly, Graco’s petition is granted 

and the petitioner is exempted from the 

obligation of providing notification of, 

and a remedy for, that noncompliance 

under 49 U.S.C. 30118 and 30120. 

NHTSA notes that the statutory 

provisions (49 U.S.C. 30118(d) and 

30120(h)) that permit manufacturers to 

file petitions for a determination of 

inconsequentiality allow NHTSA to 

exempt manufacturers only from the 

duties found in sections 30118 and 

30120, respectively, to notify owners, 

purchasers, and dealers of a defect or 

noncompliance and to remedy the 

defect or noncompliance. Therefore, this 

decision only applies to the car child 

restraint systems 2 that Graco no longer 

controlled at the time that it determined 

that a noncompliance existed in the 

subject vehicles. 

Authority: (49 U.S.C. 30118, 30120: 

delegations of authority at CFR 1.50 and 

501.8). 

Issued on: March 2, 2012. 

Claude H. Harris, 

Director, Office of Vehicle Safety Compliance. 

[FR Doc. 2012–5623 Filed 3–7–12; 8:45 am] 

BILLING CODE 4910–59–P 

DEPARTMENT OF TRANSPORTATION 

Surface Transportation Board 

[Docket No. FD 35600] 

Gregory B. Cundiff, Connie Cundiff, 

CGX, Inc. and Ironhorse Resources, 

Inc.; Continuance in Control 

Exemption; Santa Teresa Southern 

Railroad, LLC 

Gregory B. Cundiff, Connie Cundiff, 

CGX, Inc. (CGX) and Ironhorse 

Resources, Inc. (Ironhorse) (collectively, 

parties) have filed a verified notice of 

exemption under 49 CFR 1180.2(d)(2) to 

continue in control of Santa Teresa 

Southern Railroad, LLC (STSR), upon 

STSR’s becoming a Class III rail carrier. 

This transaction is related to a 

concurrently filed verified notice of 

exemption in Santa Teresa Southern 

Railroad, LLC—Operation Exemption— 

Rail Line of Verde Logistics Railroad, 

LLC at Santa Teresa, Dona Ana County, 

N.M., Docket No. FD 35599, wherein 

STSR seeks Board approval to operate 

over approximately 12,000 feet of rail 

line owned by Verde Logistics Railroad, 

LLC in Santa Teresa, N.M. 

The parties intend to consummate the 

transaction no sooner than 30 days after 

filing their notice with the Board (March 

22, 2012). 

CGX, a noncarrier holding company, 

is owned by Gregory B. Cundiff and 

Connie Cundiff. CGX owns Ironhorse, 

also a noncarrier holding company. CGX 

owns the following Class III rail carriers: 

Crystal City Railroad, Inc.; Lone Star 

Railroad, Inc.; Rio Valley Railroad, Inc.; 

and Mississippi Tennessee Holdings, 

LLC. Ironhorse owns the following Class 

III rail carriers: Rio Valley Switching 

Company; Southern Switching 

Company; Mississippi Tennessee 

Railroad, LLC; Gardendale Railroad, 

Inc.; and STSR. 

The parties represent that: (1) The rail 

line to be operated by STSR will not 


wreier-aviles on DSK5TPTVN1PROD with NOTICES
14058 Federal Register / Vol. 77, No. 46 / Thursday, March 8, 2012 / Notices 

1STSR states that Strauss Road has been designed 

but has not yet been constructed. 

1A copy of the trackage rights agreement was 

submitted with the notice of exemption. BNSF 

states that this agreement, dated August 1, 2000 

(First Supplemental Agreement), is a supplement to 

the Trackage Rights Agreement dated September 10, 

1998, between UP and BNSF, which was authorized 

by the Board in Burlington Northern & Santa Fe 

Railway Co.—Trackage Rights Exemption—Union 

Pacific Railroad Co., FD 33663 (STB served Oct. 19, 

1998). BNSF adds that, while the First 

Supplemental Agreement covers all former 

Southern Pacific Transportation Company branches 

connecting to the rail line between Dawes, Tex., 

and Avondale, La., in this proceeding BNSF seeks 

trackage rights authority only over the portion of 

the Lockport Branch between milepost 0.1 and 

milepost 14.2. 

2Specifically, UP seeks authority to abandon the 

portion of the Lockport Branch between milepost 

1.7 and milepost 14.2. 

connect with any of the railroads owned 

by CGX or Ironhorse; (2) the 

continuance in control is not part of a 

series of anticipated transactions that 

would connect the rail lines with any 

other railroads in their corporate family; 

and (3) the transaction does not involve 

a Class I rail carrier. Therefore, the 

transaction is exempt from the prior 

approval requirements of 49 U.S.C. 

11323. See 49 CFR 1180.2(d)(2). 

The parties state that the purpose of 

the proposed transaction is the 

achievement of operating efficiency and 

economy. 

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. Section 11326(c), however, 

does not provide for labor protection for 

transactions under sections 11324 and 

11325 that involve only Class III rail 

carriers. Accordingly, the Board may not 

impose labor protective conditions here, 

because all of 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 March 15, 2012 (at 

least 7 days before the exemption 

becomes effective). 

An original and 10 copies of all 

pleadings, referring to Docket No. FD 

35600, 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 Thomas F. McFarland, 208 

South LaSalle Street Suite 1890, 

Chicago, IL 60604–1112. 

Board decisions and notices are 

available on our Web site at 

www.stb.dot.gov. 

Decided: March 5, 2012. 

By the Board, Rachel D. Campbell, 

Director, Office of Proceedings. 

Jeffrey Herzig, 

Clearance Clerk. 

[FR Doc. 2012–5662 Filed 3–7–12; 8:45 am] 

BILLING CODE 4915–01–P 

DEPARTMENT OF TRANSPORTATION 

Surface Transportation Board 

[Docket No. FD 35599] 

Santa Teresa Southern Railroad, LLC— 

Operation Exemption—Rail Line of 

Verde Logistics Railroad, LLC at Santa 

Teresa, Dona Ana County, NM 

Santa Teresa Southern Railroad, LLC 

(STSR), a noncarrier, has filed a verified 

notice of exemption under 49 CFR 

1150.31 to operate approximately 

12,000 feet of rail line owned by Verde 

Logistics Railroad, LLC (Verde). The rail 

line extends between a point of 

connection with Union Pacific Railroad 

Company (UP) at or near milepost 1280 

on UP’s Lordsburg Subdivision and 

terminus at Strauss Road 1 at or near 

Santa Teresa, Dona Ana County, N.M. 

STSR states that it has entered into an 

Operating Agreement with Verde for 

STSR to provide common carrier rail 

service to shippers and receivers located 

in the Santa Teresa Logistics Industrial 

Park. 

This transaction is related to a 

concurrently filed verified notice of 

exemption in Gregory B. Cundiff, et 

al.—Continuance in Control 

Exemption—Santa Teresa Southern 

Railroad, LLC, Docket No. FD 35600, 

wherein Mr. Gregory B. Cundiff and 

others seek Board approval to continue 

in control of STSR upon STSR’s 

becoming a Class III rail carrier. 

According to STSR, the transaction is 

expected to be consummated no sooner 

than 30 days after filing its notice with 

the Board. The earliest this transaction 

can be consummated is March 22, 2012, 

the effective date of the exemption (30 

days after the notice of exemption was 

filed). 

STSR certifies that its projected 

annual revenues as a result of this 

transaction will not exceed $5 million 

and will not result in its becoming a 

Class I or Class II rail carrier. 

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 March 15, 2012 (at 

least 7 days before the exemption 

becomes effective). 

An original and 10 copies of all 

pleadings, referring to Docket No. FD 

35599, 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 Thomas F. McFarland, 208 

South LaSalle Street, Suite 1890, 

Chicago, IL 60604–1112. 

Board decisions and notices are 

available on our Web site at 

www.stb.dot.gov. 

Decided: March 5, 2012. 

By the Board, Rachel D. Campbell, 

Director, Office of Proceedings. 

Jeffrey Herzig, 

Clearance Clerk. 

[FR Doc. 2012–5660 Filed 3–7–12; 8:45 am] 

BILLING CODE 4915–01–P 

DEPARTMENT OF TRANSPORTATION 

Surface Transportation Board 

[Docket No. FD 35601] 

BNSF Railway Company—Trackage 

Rights Exemption—Union Pacific 

Railroad Company 

Pursuant to a written trackage rights 

agreement, Union Pacific Railroad 

Company (UP) has agreed to grant 

trackage rights to BNSF Railway 

Company (BNSF) over a portion of a 

line of railroad known as the Lockport 

Branch, between milepost 0.1 at 

Raceland Junction and milepost 14.2 at 

Jay, a distance of 14.1 miles, in 

Lafourche Parish, La. (the Line).1

The earliest this transaction may be 

consummated is March 22, 2012, the 

effective date of the exemption (30 days 

after the notice was filed). 

BNSF states that it is seeking trackage 

rights authority to protect its interests in 

the Lockport Branch. In Docket No. AB 

33 (Sub-No. 277X), UP filed a verified 

notice of exemption to abandon most of 

the Lockport Branch over which BNSF 

now seeks trackage rights authority.2

BNSF has asserted, in that abandonment 

proceeding, that it has authority 

sanctioned by the Board to provide 

service on the Line. UP has contested 


wreier-aviles on DSK5TPTVN1PROD with NOTICES