[Federal Register Volume 61, Number 111 (Friday, June 7, 1996)]
[Rules and Regulations]
[Pages 29036-29037]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 96-14416]



-----------------------------------------------------------------------

DEPARTMENT OF TRANSPORTATION
Surface Transportation Board

49 CFR Part 1039

[STB Ex Parte No. 550]


Removal of Obsolete Regulations Concerning Railroad Contracts

AGENCY: Surface Transportation Board.

ACTION: Final rule.

-----------------------------------------------------------------------

SUMMARY: The Surface Transportation Board (the Board) is removing from 
the Code of Federal Regulations obsolete regulations exempting non-
agricultural railroad transportation contracts from the contract filing 
requirement that previously applied to railroad contracts.

EFFECTIVE DATE: January 1, 1996.


[[Page 29037]]


FOR FURTHER INFORMATION CONTACT: Beryl Gordon, (202) 927-5660. [TDD for 
the hearing impaired: (202) 927-5721.]

SUPPLEMENTARY INFORMATION: Effective January 1, 1996, the ICC 
Termination Act of 1995, Pub. L. No. 104-88, 109 Stat. 803 (ICCTA) 
abolished the Interstate Commerce Commission (ICC) and established the 
Board within the Department of Transportation. Section 204(a) of the 
ICCTA provides that ``[t]he Board shall promptly rescind all 
regulations established by the [ICC] that are based on provisions of 
law repealed and not substantively reenacted by this Act.''
    Prior to the ICCTA, the ICC had issued regulations governing rail 
contracts in 49 CFR part 1313, which included provisions for filing all 
such contracts pursuant to former 49 U.S.C. 10713(b)(1). The ICC had 
later exempted rail carriers from the contract filing requirement, 
except where the contract was for the transportation of agricultural 
commodities.<SUP>1 Railroad Transportation Contracts, 8 I.C.C.2d 730 
(1992). The regulations codifying this exemption were placed at 49 CFR 
1039.23.<SUP>2
---------------------------------------------------------------------------

    \1\  Rail carriers were still required to file contract 
summaries for all their transportation contracts.
    \2\  Minor changes were also made to part 1313.
---------------------------------------------------------------------------

    The ICCTA changed the underlying law governing railroad 
transportation contracts, which is now located at 49 U.S.C. 10709, in 
several important respects. As pertinent here, it eliminates any 
regulation of non-agricultural contracts. Moreover, for agricultural 
contracts, new 49 U.S.C. 10709(d)(1) only requires a contract summary 
to be filed with the Board, and not the full contract.
    In Railroad Contracts, STB Ex Parte No. 541 (STB served Mar. 26, 
1996) (ANPR), published at 61 FR 13147, the Board issued an advance 
notice of proposed rulemaking soliciting comments from the 
transportation community as to appropriate regulations for 
administering new Sec. 10709.<SUP>3 We noted that the regulations set 
forth at 49 CFR Part 1313 that implemented former Sec. 10713 are not 
suitable for carrying out new Sec. 10709. While we will soon be issuing 
proposed rules in response to comments responding to the ANPR, we see 
no need in the interim to continue the obsolete regulations in 
Sec. 1039.23. Because there is no longer a statutory requirement for 
any contract filing, the exemption from filing contracts and contract 
amendments for non-agricultural commodities is unnecessary. Moreover, 
the statement in Sec. 1039.23 that contracts must be filed for 
agricultural commodities is no longer true. We are therefore removing 
the now obsolete Sec. 1039.23 regulations.
---------------------------------------------------------------------------

    \3\  The comment date was extended to May 28, 1996.
---------------------------------------------------------------------------

    Because this action merely reflects, and is required by, the 
enactment of the ICCTA and will not have an adverse effect on the 
interests of any person, this action will be deemed to be effective as 
of January 1, 1996.
    This action will not significantly affect either the quality of the 
human environment or the conservation of energy resources.

List of Subjects in 49 CFR Part 1039

    Agricultural commodities, Intermodal transportation, Manufactured 
commodities, Railroads.

    Decided: May 24, 1996.

    By the Board, Chairman Morgan, Vice Chairman Simmons, and 
Commissioner Owen.
Vernon A. Williams,
Secretary.
    For the reasons set forth in the preamble and under the authority 
of 49 U.S.C. 721(a), title 49, chapter X, Part 1039 of the Code of 
Federal Regulations is amended as set forth below:

PART 1039--EXEMPTIONS

    1. The authority citation for part 1039 continues to read as 
follows:

    Authority: 5 U.S.C. 553 and 49 U.S.C. 721 and 10502.


Sec. 1039.23  [Removed]

    2. Section 1039.23 is removed.

[FR Doc. 96-14416 Filed 6-6-96; 8:45 am]
BILLING CODE 4915-00-P