[Federal Register Volume 64, Number 185 (Friday, September 24, 1999)]
[Notices]
[Page 51825]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 99-24948]
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DEPARTMENT OF TRANSPORTATION
Surface Transportation Board
[STB Finance Docket No. 33800]
Vermont Railway, Inc.--Modified Rail Certificate
On September 14, 1999, Vermont Railway, Inc. (VTR), a Class III
rail carrier, filed a notice for a modified certificate of public
convenience and necessity under 49 CFR part 1150, subpart C, Modified
Certificate of Public Convenience and Necessity, to operate a 14-mile
rail line owned by the State of Vermont (the line).
The line was approved for abandonment by Montpelier and Barre
Railroad Company in Montpelier and Barre Railroad Company--Entire Line
Abandonment--From Graniteville to Montpelier Junction in Washington
County, VT, Docket No. AB-202 F (ICC served Mar. 12, 1980), and
acquired by the State of Vermont on November 21, 1980. The Washington
County Railroad Corporation (WACR) filed a notice for a modified
certificate of public convenience and necessity on November 17, 1980,
and a modified rail certificate was issued to WACR authorizing it to
operate the line as of November 17, 1980.1 On February 2,
1999, WACR agreed to assign its lease of the line to New England
Central Railroad, Inc. (NECR).2 NECR accepted the assignment
on February 9, 1999, and operated the line through the close of
business on September 8, 1999, when it terminated operations over the
line. VTR indicates that VTR and the State of Vermont have reached an
interim agreement that would provide for immediate operation of the
line. During the term of the interim agreement, VTR and the State of
Vermont intend to negotiate and enter into a lease and operating
agreement that will govern future operations of the line by VTR or a
subsidiary of VTR.
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\1\ See Washington County Railroad Corporation--Operations--From
Montpelier Junction to Graniteville, VT, Finance Docket No. 29536F
(ICC served Jan. 2, 1981).
\2\ See New England Central Railroad, Inc.--Modified Rail
Certificate, STB Finance Docket No. 33715 (STB served Feb. 26,
1999).
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The line extends from the interchange with NECR, at Montpelier
Junction, VT, to Graniteville, VT. Approximately the last two miles of
the line, from a point near the Bombardier rail car assembly plant in
Websterville, VT, to Graniteville are out of service. VTR will operate
the segment of the line presently in service, providing at least three
round trips per week (except when no service is required by the line's
customers).
The rail segment qualifies for a modified certificate of public
convenience and necessity. See Common Carrier Status of States, State
Agencies and Instrumentalities and Political Subdivisions, Finance
Docket No. 28990F (ICC served July 16, 1981).
A subsidy is involved. Under the letter agreement, the State of
Vermont's Agency of Transportation (VAOT) agrees to pay VTR (or a VTR
subsidiary) a subsidy of $2,000 per week to provide service over the
line. The letter agreement further provides that VTR (or a VTR
subsidiary ) will be entitled to the line's share of freight revenues
collected from customers.3 VTR represents that it has
extensive insurance coverage for property damage and personal injury.
There are no preconditions for shippers to meet in order to receive
rail service.
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\3\ VAOT states that it is authorized under 5 V.S.A. 3401-3409
to administer State-owned railroad properties and to take necessary
action to ensure continuity of service over such properties.
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This notice will be served on the Association of American Railroads
(Car Service Division) as agent for all railroads subscribing to the
car-service and car-hire agreement: Association of American Railroads,
50 F Street, NW, Washington, DC 20001; and on the American Short Line
and Regional Railroad Association: American Short Line and Regional
Railroad Association, 1120 G Street, NW, Suite 520, Washington, DC
20005.
Decided: September 20, 1999.
By the Board, David M. Konschnik, Director, Office of
Proceedings.
Vernon A. Williams,
Secretary.
[FR Doc. 99-24948 Filed 9-23-99; 8:45 am]
BILLING CODE 4915-00-P
