[Federal Register Volume 61, Number 250 (Friday, December 27, 1996)]
[Notices]
[Page 68333]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 96-32780]
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DEPARTMENT OF TRANSPORTATION
Surface Transportation Board
[STB Finance Docket No. 33310]
Housatonic Railroad Company, Inc.--Corporate Family Transaction
Exemption--Danbury Terminal Railroad Company
Housatonic Railroad Company, Inc. (HRRC) 1 and Danbury
Terminal Railroad Company (DTRR),2 Class III railroads, have
jointly filed a verified notice of exemption. The exempt transaction is
a merger of DTRR into HRRC.3
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\1\ HRRC operates approximately 72.29 miles of track, of which
approximately 36.25 miles are within the State of Connecticut and
owned by the State of Connecticut, and of which approximately 36.04
miles are within the Commonwealth of Massachusetts and owned by
HRRC.
\2\ DTRR operates approximately 89.1 miles of track, of which
approximately 47.1 miles are located in the State of Connecticut and
owned by Maybrook Railroad Company, and of which 42 miles are
located in the State of New York and owned by Metro North Commuter
Railroad. DTRR also holds approximately 10 miles of incidental
overhead trackage rights over tracks owned by the State of
Connecticut within the State of Connecticut.
\3\ HRRC and DTRR are wholly owned subsidiaries of Housatonic
Transportation Company.
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The transaction is expected to be consummated on December 31, 1996.
HRRC will assume operation of DTRR's rail lines and operating
rights in the States of Connecticut and New York.4 The proposed
merger is intented to enable the merged carrier to provide more
efficient service to shippers. The merger will also eliminate the
significant administrative burden and expense associated with billing
and accounting services.
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\4\ No ownership interests are transferred or otherwise affected
by this transaction.
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This is a transaction within a corporate family of the type
specifically exempted from prior review and approval under 49 CFR
1180.2(d)(3). The parties state that the transaction will not result in
adverse changes in service levels, significant operational changes, or
a change in the competitive balance with carriers outside the corporate
family.
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 verified notice contains false or misleading information,
the exemption is void ab initio. Petitions to reopen the proceeding to
revoke the exemption under 49 U.S.C. 10502(d) may be filed at any time.
The filing of a petition to reopen will not automatically stay the
transaction.
An original and 10 copies of all pleadings, referring to STB
Finance Docket No. 33310, 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 Edward J. Rodriquez, Esq., Housatonic
Railroad Company, Inc., 67 Main Street, P.O. Box 298, Centerbrook, CT
06409.
Decided: December 18, 1996.
By the Board, David M. Konschnik, Director, Office of
Proceedings.
Vernon A. Williams,
Secretary.
[FR Doc. 96-32780 Filed 12-26-96; 8:45 am]
BILLING CODE 4915-00-P
