95-25940. RLTD Railway CorporationAbandonment Exemptionin Leelanau County, MI  

  • [Federal Register Volume 60, Number 202 (Thursday, October 19, 1995)]
    [Notices]
    [Pages 54086-54088]
    From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
    [FR Doc No: 95-25940]
    
    
    
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    INTERSTATE COMMERCE COMMISSION
    [Docket No. AB-457X]
    
    
    RLTD Railway Corporation--Abandonment Exemption--in Leelanau 
    County, MI
    
        RLTD Railway Corporation (RLTD) has filed a notice of exemption 
    under 49 CFR part 1152 Subpart F--Exempt Abandonments to abandon its 
    entire line of railroad between milepost 5.52 at Hatches Crossing, 
    Elmwood Township, and milepost 29.56 at Northport, in Leelanau County, 
    MI.
        RLTD has certified that: (1) No local traffic has moved over the 
    line for at least 2 years; (2) there is no overhead traffic on the 
    line; (3) no formal complaint filed by a user of rail service on the 
    line (or by a state or local government entity acting on behalf of such 
    user) regarding cessation of service over the line either is pending 
    with the Commission or with any U.S. District Court or has been decided 
    in favor of the complainant within the 2-year period; and (4) the 
    requirements at 49 CFR 1105.7 (environmental reports), 49 CFR 1105.8 
    (historic report), 49 CFR 1105.11 (transmittal letter), 49 CFR 1105.12 
    (newspaper publication), and 49 CFR 1152.50(d)(1) (notice to 
    governmental agencies) have been met.
        Where, as here, the carrier is abandoning its entire line, the 
    Commission does not normally impose labor protection under 49 U.S.C. 
    10505(g) unless there is evidence of a corporate affiliate that will: 
    (1) Continue rail operations; or (2) realize significant benefits in 
    addition to being relieved of the burden of deficit operations by its 
    affiliated railroad. See T and P Rwy.--Aband.--in Shawnee, Jefferson, 
    and Atchison Counties, KS, Docket No. 381, et al. (ICC served Apr. 27, 
    1993). Because these conditions do not appear to exist here, employee 
    protective conditions will not be imposed.
        Provided no formal expression of intent to file an offer of 
    financial assistance (OFA) has been received, this exemption will be 
    effective on November 18, 1995, unless stayed pending reconsideration. 
    Petitions to stay that do not involve environmental issues,1 
    formal expressions of intent to file an OFA under 49 CFR 
    1152.27(c)(2),2 and trail use/rail banking requests under 49 CFR 
    1152.29 3 must be filed by October 30, 1995. Petitions to reopen 
    or requests for public use conditions under 49 CFR 1152.28 must be 
    filed by November 8, 1995, with: Office of the Secretary, Case Control 
    Branch, Interstate Commerce Commission, Washington, DC 20423.
    
        \1\ A stay will be issued routinely by the Commission in those 
    proceedings where an informed decision on environmental issues 
    (whether raised by a party or by the Commission's Section of 
    Environmental Analysis in its independent investigation) cannot be 
    made prior to the effective date of the notice of exemption. See 
    Exemption of Out-of-Service Rail Lines, 5 I.C.C.2d 377 (1989). Any 
    entity seeking a stay on environmental concerns is encouraged to 
    file its request as soon as possible in order to permit the 
    Commission to review and act on the request before the effective 
    date of this exemption.
        \2\ See Exempt. of Rail Abandonment--Offers of Finan. Assist., 4 
    I.C.C.2d 164 (1987).
        \3\ The Commission will accept a late-filed trail use request as 
    long as the abandonment has not been consummated and the abandoning 
    railroad is willing to negotiate an agreement.
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        A copy of any pleading filed with the Commission should be sent to 
    applicant's representative: John D. Noonan, P.O. Box 2358, Traverse 
    City, MI 49685-2358.
        If the notice of exemption contains false or misleading 
    information, the exemption is void ab initio.
        Leelanau Trails Association (LTA) seeks issuance of a notice of 
    interim trail use/rail banking (NITU) for a portion of the involved 
    lines (namely between Hatches Crossing and Dumas Road in Suttons Bay 
    Township, MI), under the National Trails System Act (Trails Act), 16 
    U.S.C. 1247(d). LTA has submitted a statement of willingness to assume 
    financial responsibility for the interim trail use and rail banking in 
    compliance with 49 CFR 1152.29 and acknowledged that the right-of-way 
    as a trail is subject to future reactivation of rail service.
        While expressions of interest in interim trail use need not be 
    filed until 10 days after the date the notice of exemption is published 
    in the Federal Register [49 CFR 1152.29(b)(2)], the provisions of the 
    Trails Act are applicable, and all of the criteria for imposing trail 
    use/rail banking have been met. Accordingly, based on RLTD's 
    willingness to enter into negotiations with LTA, a NITU will be issued. 
    The parties may negotiate an agreement during the 180-day period 
    prescribed below. If a mutually acceptable final agreement is reached, 
    further Commission approval is not necessary. If no agreement is 
    reached within 180 days, RLTD may fully abandon the line. See 49 CFR 
    1152.29(d)(9)(1).
        Issuance of this NITU does not preclude other parties from filing 
    interim trail use/rail banking requests. Nor does it preclude RLTD from 
    negotiating with other parties in addition to LTA during the NITU 
    negotiating period. If additional trail use requests are filed, RLTD is 
    directed to respond to them. Use of the right-of-way for trail purposes 
    is subject to restoration for railroad purposes.
        The parties should note that operation of the trail use procedures 
    could be delayed, or even foreclosed, by the OFA process under 49 
    U.S.C. 10905. As stated in Rail Abandonments--Use of Rights-of-Way as 
    Trails, 2 I.C.C.2d 591 (1986) (Trails), OFAs to acquire rail lines for 
    continued rail service or to subsidize rail operations take priority 
    over interim trail use conditions.4 Accordingly, if a formal 
    expression of intent to file an OFA is timely filed under 49 CFR 
    1152.27(c)(2), the effective date of this notice will be postponed 10 
    days beyond the effective date indicated here. In addition, the 
    effective date may be further postponed at later stages in the OFA 
    process. See 49 CFR 1152.27(e)(2) and (f). If the line is sold under 
    the OFA procedures, the notice for abandonment exemption will be 
    dismissed and trail use precluded. Alternatively, if a sale under the 
    OFA procedures does not occur, trail use may proceed.
    
        \4\ The statement in Trails that section 10905 does not apply to 
    abandonment or discontinuance exemptions has since been superseded 
    by the adoption of rules allowing OFAs in these exemption 
    proceedings. See 49 CFR 1152.27.
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        LTA also requested a 180-day public use condition for that portion 
    of the right-of-way between Hatches Crossing and Dumas Road in Suttons 
    Bay Township, MI, under 49 U.S.C. 10906 as an alternative to interim 
    trail use. When the need for both conditions is established, it is 
    Commission policy to impose them concurrently, subject to the execution 
    of a trail use agreement. See Trails, supra at 609. LTA's submission 
    meets the requirements for a public condition prescribed at 49 CFR 
    1152.28(a)(2) by specifying: (a) the condition sought; (b) the public 
    importance of the condition; (c) the time period for which the 
    condition would be effective; and (d) justification for imposition of 
    the time period. Accordingly, the requested 180-day public use 
    condition will also be imposed. If a trail use agreement is reached for 
    a lesser portion of the right-of-way, RLTD must keep the remaining 
    portion intact for the remainder of the 180-day period to permit public 
    use negotiations. A public use condition is not imposed for the benefit 
    of any one potential purchaser, but rather to provide an opportunity 
    for any interested person to acquire either the whole or a portion of a 
    right-of-way that has been found suitable for public purposes, 
    including trail use.
        RLTD filed an environmental report which addresses the 
    abandonment's effects, if any, on the environment and historic 
    resources. The Section of Environmental Analysis (SEA) will 
    
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    issue an environmental assessment (EA) by October 24, 1995. Interested 
    persons may obtain a copy of the EA by writing to SEA (Room 3219, 
    Interstate Commerce Commission, Washington, DC 20423) or by calling 
    Elaine Kaiser, Chief of SEA, at (202) 927-6248. Comments on 
    environmental and historic preservation matters must be filed within 15 
    days after the EA is available to the public.
        Environmental, historic preservation, public use, or trail use/rail 
    banking conditions will be imposed, where appropriate, in a subsequent 
    decision.
        It is ordered:
        1. The abandonment of the above described line between Hatches 
    Crossing and Dumas Road in Suttons Bay Township, MI, is subject to the 
    conditions: (1) That RLTD is prohibited from disposing of the corridor, 
    other than the tracks, ties and signal equipment, unless for public use 
    on reasonable terms; and (2) that RLTD keep intact the right-of-way 
    underlying the track, including all of the trail related structures 
    including bridges, trestles, culverts, and tunnels, for a period of 180 
    days from the effective date of this exemption, to enable any State or 
    local government agency or other interested persons to negotiate the 
    acquisition of the line for public use.
        2. Subject to the conditions set forth above, RLTD may discontinue 
    service, cancel tariffs for the line on not less than 10 days' notice 
    to the Commission, and salvage track and material consistent with 
    interim trail use/rail banking after the effective date of this notice 
    of exemption and NITU. Tariff cancellations must refer to this notice 
    by date and docket number.
        3. If an interim trail use/rail banking agreement is reached, it 
    must require the trail user to assume, for the term of the agreement, 
    full responsibility for management of, for any liability arising out of 
    the transfer or use of (unless the user is immune from liability, in 
    which case it need only indemnify RLTD from any potential liability), 
    and for the payment of any and all taxes that may be levied or assessed 
    against the right-of-way.
        4. Interim trail use/rail banking is subject to the future 
    restoration of rail service and to the user's continuing to meet the 
    financial obligations for the right-of-way.
        5. If interim trail use is implemented and subsequently the user 
    intends to terminate trail use, it must send the Commission a copy of 
    this notice of exemption and NITU and request that it be vacated on a 
    specified date.
        6. If an agreement for interim trail use/rail banking is reached by 
    the 180th day after service of this notice of exemption and NITU, 
    interim trail use may be implemented. If no agreement is reached by 
    that time, RLTD may fully abandon the line.
    
        Decided: October 10, 1995.
    
        By the Commission, David M. Konschnik, Director, Office of 
    Proceedings.
    Vernon A. Williams,
    Secretary.
    [FR Doc. 95-25940 Filed 10-18-95; 8:45 am]
    BILLING CODE 7035-01-P
    
    

Document Information

Published:
10/19/1995
Department:
Interstate Commerce Commission
Entry Type:
Notice
Document Number:
95-25940
Pages:
54086-54088 (3 pages)
Docket Numbers:
Docket No. AB-457X
PDF File:
95-25940.pdf