Source: https://jelpblog.wordpress.com/2016/05/03/a-primer-on-rails-to-trails-conversions-in-the-eastern-u-s/
Timestamp: 2017-07-27 14:34:30
Document Index: 56003874

Matched Legal Cases: ['§ 10501', '§ 10901', '§ 10903', '§ 10901', '§ 1247', '§ 11901', '§ 1247', '§ 1247', '§ 1247', '§ 1491', '§ 1346', '§ 11101']

A Primer on Rails-to-Trails Conversions in the Eastern U.S. – JELP
The UCLA Journal of Environmental Law and Policy, known informally as JELP, produces a high-quality biannual journal on cutting-edge environmental legal and policy matters. JELP is a member of The Environmental Law Review Syndicate (ELRS), an organization that includes some of the top environmental law publications from across the country. ELRS will operate as a cooperative syndicate featuring submissions from a different environmental journal every week. A Primer on Rails-to-Trails Conversions in the Eastern U.S.	May 3, 2016	This post is part of the Environmental Law Review Syndicate.
By Garrett M. Gee, J.D. Candidate, William & Mary Law School, 2016; Staff Member, William & Mary Environmental Law and Policy Review
Background on the Rails-to-Trails Act.[9] The Interstate Commerce Act of 1887, as amended (“ICA”), vests in the Surface Transportation Board (“STB”) exclusive jurisdiction over rail transportation in the interstate commerce. 49 USC § 10501.[10] As a result, many state law claims (primarily property, tort, and contract claims) brought against a common carrier railroad and its subject property are preempted by STB.[11] This exclusive jurisdiction only applies to railroad lines in the interstate commerce (“common carrier lines”), certified by the STB under 49 USC § 10901, et. seq.[12] Once authorized as common carrier railroad lines, STB jurisdiction and preemption applies to that ROW, even if the railroad ceases operation along that line or transfers it to another party.[13] The only way to remove a common carrier line from the interstate network is through “abandonment authority” pursuant to either 49 USC § 10903 or 49 CFR pt. 1152.50. Once abandoned, state law controls, and myriad state property issues may arise.[14]
Federal jurisdiction over rail ROWs in the interstate commerce. Federally regulated, common carrier rail lines are ideal for trail conversion under the Trails Act. As discussed above, the STB regulates common carrier railroad lines in the interstate commerce, preempting many state property law claims. ICA, 49 USC § 10901.[22] Federal preemption provides a clear procedure for trail conversion under 16 USC § 1247(d), ensuring that reversionary property interests do not cloud the transaction. This procedure and potential legal issues arising under the Trails Act, the ICA, and accompanying regulations are discussed below.
The railbanking procedure. Railbanking provides a procedural alternative to abandonment for railroads that wish to shed tax and potential tort liability on dormant corridors. Unlike abandonment, railbanking allows railroads to preserve contiguous rail corridors for potential reactivation.[23]
Reactivation Railbanked corridors may be reactivated and returned to railroad service at the request of the abandoning rail carrier.[32] If a railroad demonstrates that common carrier rail service is consistent with “the pubic convenience and necessity,” pursuant to 49 USC § 11901, the STB must vacate any existing Certificate of Interim Trail Use for that corridor. 49 CFR pt. 1152.29(c)(3).[33] This is a relatively rare occurrence.[34] However, trail managers should be aware that railbanked trails are subject to reactivation, regardless of past investments or impacts to the existing trail.
Abandonment of a common carrier rail line The Trails Act codifies federal preemption for properly railbanked ROWs, even after the railroad legally abandons a line. 16 USC § 1247(d).[38] However, if a railroad consummates abandonment authority prior to railbanking, state law controls. Abandoned ROWs may be subject to quiet title litigation or other state law claims, discussed below in Part III.
Environmental liability from conversion to trail use. Railbanking itself does not trigger the National Environmental Policy Act. Goos v. ICC, 911 F.2d 1283 (8th Cir. 1990). Rather, environmental review is conducted during the abandonment proceeding.[42] Likewise, the original abandonment proceeding triggers compliance with the National Historical Preservation Act, not any subsequent railbanking. See Friends of the Atglen-Susquehanna Trail v. STB, 252 F.3d 246 (3rd Cir. 2001).
General liability for the trail manager during trail use. One of the requirements of the Rails-to-Trails Act is that the trail manager assumes all legal and financial liability for the ROW. 16 USC § 1247(d). The trail manager must satisfy all tax obligations, otherwise the STB may invalidate the CITU / NITU.[46]
“Tucker takings” for ROWs under federal jurisdiction. The Rails-to-Trails Act preempts any challenges to the ownership or use of properly railbanked ROWs, eliminating the specter of adverse claims. 16 USC § 1247(d).[48] Because federal law controls, railbanking does not terminate easements or trigger any defeasible interests. However, plaintiffs may be able to obtain just compensation from the federal government under a takings theory, pursuant to the Tucker Act. 28 USC § 1491(a)(1).[49] Proper jurisdiction for such claims is Federal Clams Court. Id. However, plaintiffs seeking less than $10,000 can file in federal district court. 28 USC § 1346(a)(2). An adverse Tucker judgment does not implicate either the trail manager or the former railroad. The federal government is solely responsible for paying just compensation, and no equitable remedy is available to the plaintiff. See Preseault v. US, 100 F.3d 1525 (Fed. Cir. 1996).
[34] As of 2015, only eleven of hundreds of railbanked ROWs have been reactivated since passage of the Act. Matthew J. McGowan, Locomotives v. Local Motives: The Coming Conflict, Statutory void, and Legal Uncertainties riding with Reactivated Rails-to-Trails, 16 Vt. J. Env. L 482, 85 (2015), available at http://vjel.vermontlaw.edu/publications/locomotives-v-local-motives-coming-conflict-statutory-void-legal-uncertainties-riding-reactivated-rails-trails/.
[35] See, e.g., King Cnty., Wash—Acquisition Exemption—BNSF Ry., FD 35148 (STB served Sept. 18, 2009). In King County, the STB granted the locality trail manager authority to acquire BNSF’s residual common carrier obligation to build a transit line, subject to the terms of the railbanking agreement. Id. Note that the right to reactivate service includes the common carrier obligation to provide rail service upon reasonable request. 49 USC § 11101(a).
[38] “[I]nterim [trail] use shall not be treated, for purposes of any law or rule of law, as an abandonment of the use of such rights-of-way for railroad purposes.” Id. [39] Implemented at 49 CFR pt. 1152. Convenience and Necessity is a legal determination that the line is not necessary to the interstate rail network no, nor will it be in the future. See pt. 1152.1.
[45] Available at http://www.railstotrails.org/resourcehandler.ashx?id=3762. This source also discusses several case studies and lists other helpful resources and potential funding sources for cleanup costs. Id., at 26-27.
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