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[Federal Register Volume 66, Number 113 (Tuesday, June 12, 2001)]
[Notices]
[Page 31752]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 01-14635]

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DEPARTMENT OF TRANSPORTATION

Surface Transportation Board

[STB Finance Docket No. 34047]

Kansas & Oklahoma Railroad, Inc.--Trackage Rights Exemption--
Central Kansas Railway, L.L.C.

    Central Kansas Railway, L.L.C. (CKR), has agreed to grant to Kansas 
& Oklahoma Railroad, Inc. (K&O) temporary overhead trackage rights over 
the trackage of CKR located between CKR milepost 19.5, near Garden 
Plain, KS, and CKR milepost 3.5, at Wichita, KS, a distance of 16 miles 
(trackage rights line).\1\
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    \1\ The trackage rights line was authorized for abandonment by 
the Board in Central Kansas Railway, L.L.C.--Abandonment Exemption--
in Sedgwick County, KS, STB Docket No. AB-406 (Sub-No. 14X) (STB 
served Apr. 10, 2001). As noted in STB Docket No. AB-406 (Sub-No. 
14X), the abandonment of the trackage rights line was subject to the 
condition that CKR could not consummate abandonment until it 
certified to the Board that its relocation project near Kingman, KS, 
had been completed and that any necessary rehabilitation and 
maintenance had been performed on its rail line between Wichita and 
Kingman via Conway Springs, KS.
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    The transaction was scheduled to be consummated on or shortly after 
June 1, 2001.\2\
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    \2\ K&O indicates that it will shortly file a petition for 
exemption to permit temporary trackage rights operations and thus to 
limit the term of the trackage rights.
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    This transaction is related to two concurrently filed verified 
notices of exemption: STB Finance Docket No. 34030, Kansas & Oklahoma 
Railroad, Inc.--Acquisition Exemption--Central Kansas Railway, L.L.C., 
wherein K&O seeks to acquire most of the rail lines owned or leased and 
operated by CKR in the States of Kansas and Colorado;\3\ and STB 
Finance Docket No. 34042, Watco Companies, Inc.--Continuance in Control 
Exemption--Kansas & Oklahoma Railroad, Inc., wherein Watco Companies, 
Inc. seeks to continue in control of K&O upon K&O's becoming a Class 
III rail carrier.
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    \3\ In addition to the lines being acquired by K&O in the STB 
Finance Docket No. 34030 proceeding, K&O will also assume from CKR 
the ongoing work on the relocation project near Kingman and the 
rehabilitation of the rail line between Wichita and Kingman via 
Conway Springs. However, K&O will not acquire the trackage rights 
line.
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    The trackage rights will allow K&O to move traffic to and from 
Wichita until the relocation and rehabilitation projects have been 
completed.
    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. Because this 
transaction involves Class III rail carriers only, the Board, under the 
statute, may not impose labor protective conditions for this 
transaction.
    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. 34047, must be filed with the Surface Transportation 
Board, Office of the Secretary, Case Control Unit, 1925 K Street, NW., 
Washington, DC 20423-0001. In addition, one copy of each pleading must 
be served on Karl Morell, Esq., Ball Janik LLP, 1455 F Street, NW., 
Suite 225, Washington, DC 20005.
    Board decisions and notices are available on our website at 
www.stb.dot.gov.

    Decided: June 5, 2001.

    By the Board, David M. Konschnik, Director, Office of 
Proceedings.
Vernon A. Williams,
Secretary.
[FR Doc. 01-14635 Filed 6-11-01; 8:45 am]
BILLING CODE 4915-00-P
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