[Federal Register Volume 61, Number 214 (Monday, November 4, 1996)]
[Notices]
[Page 56735]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 96-28236]
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DEPARTMENT OF TRANSPORTATION
[STB Finance Docket No. 33161]
David Monte Verde, Michael Thomas, Charles Riedmiller, Jeffrey
Baxter and John Herbrand, and Genesee Valley Transportation Co. Inc.--
Continuance in Control Exemption--Falls Road Railroad Co., Inc.
David Monte Verde, Michael Thomas, Charles Riedmiller, Jeffrey
Baxter and John Herbrand (Individual Applicants), and Genesee Valley
Transportation Co. Inc. (GVT), a noncarrier holding company,1 have
filed a notice of exemption to continue in control of the Falls Road
Railroad Co., Inc. (FRRR), upon FRRR's becoming a Class III
railroad.2
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\1\ The Individual Applicants collectively own 100% of the
outstanding shares of GVT that in turn controls a number of Class
III carriers.
\2\ At commencement of operations by FRRR, the entire
outstanding capital stock of FRRR will be owned by GVT. Individual
Applicants will continue in indirect control of FRRR.
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The transaction was expected to be consummated upon FRRR's
commencement of operations on or after October 24, 1996.
This transaction is related to STB Finance Docket No. 33160, Falls
Road Railroad Co., Inc.--Acquisition and Operation Exemption--
Consolidated Rail Corporation, wherein FRRR seeks to acquire and
operate certain rail lines from Consolidated Rail Corporation.
GVT controls 5 existing Class III railroad subsidiaries: Depew,
Lancaster & Western Railroad Co., Inc., operating between Lancaster and
Depew, NY; Lowville & Beaver River Railroad Co., operating between
Lowville and Croghan, NY; Mohawk Adirondack & Northern Railroad Corp.,
operating (a) between Carthage and Lowville, (b) between Carthage and
Newton Falls, and (c) between Utica and Lyons Falls, NY; Genesee &
Mohawk Valley Railroad Co., operating (a) a portion of the Utica Yard,
(b) a portion of the Rome Industrial trackage in Oneida County, NY, and
(c) a portion of the Batavia-Lehigh and Lower Town Industrial trackage
in Genesee County, NY; and Delaware-Lackawanna Railroad Co., Inc.,
operating (a) between Fell Township and Moosic (Scranton), (b) tracks
within Scranton, and (c) between Scranton and Mt. Pocono, PA.3
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\3\ GVT owns a controlling interest of the stock of Lowville &
Beaver River Railroad and 100% of the stock of the other carriers
under its control.
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GVT states that: (i) The rail lines to be operated by FRRR do not
connect with any railroad in the corporate family; (ii) the transaction
is not part of a series of anticipated transactions that would connect
FRRR with any railroads in the corporate family; and (iii) the
transaction does not involve a Class I carrier. Therefore, the
transaction is exempt from the prior approval requirements of 49 U.S.C.
11323. See 49 CFR 1180.2(d)(2).
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.
If the 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 transaction.
An original and 10 copies of all pleadings, referring to STB
Finance Docket No. 33161, must be filed with the Surface Transportation
Board, Office of the Secretary, Case Control Branch, 1201 Constitution
Avenue, N.W., Washington, DC 20423. In addition, a copy of each
pleading must be served on Eric M. Hocky, Esq., Gollatz, Griffin &
Ewing, P.C., 213 West Miner Street, P.O. Box 796, West Chester, PA
19381-0796.
Decided: October 25, 1996.
By the Board, David M. Konschnik, Director, Office of
Proceedings.
Vernon A. Williams,
Secretary.
[FR Doc. 96-28236 Filed 11-1-96; 8:45 am]
BILLING CODE 4915-00-P
