03-16589. Railroad Revenue Adequacy-2002 Determination

AGENCY:

Surface Transportation Board, DOT.

ACTION:

Notice of decision.

SUMMARY:

On July 2, 2003, the Board served a decision announcing the 2002 revenue adequacy determinations for the Nation's Class I railroads. No carrier is found to be revenue adequate.

EFFECTIVE DATE:

This decision is effective July 2, 2003.

FOR FURTHER INFORMATION CONTACT:

Leonard J. Blistein, [phone]. (Assistance for the hearing impaired is available through the Federal Information Relay Service (FIRS) at 1-800-877-8339.)

SUPPLEMENTARY INFORMATION:

The Board is required to make an annual determination of railroad revenue adequacy. A railroad is considered revenue adequate under 49 U.S.C. 10704(a) if it achieves a rate of return on net investment equal to at least the current cost of capital for the railroad industry for 2002, determined to be 9.8% in Railroad Cost of Capital—2002, STB Ex Parte No. 558 (Sub-No. 6) (STB served June 19, 2003). This revenue adequacy standard was applied to each Class I railroad, and no carrier was found to be revenue adequate for 2002.

Additional information is contained in the Board's formal decision. To purchase a copy of the full decision, write to, call, or pick up in person from: Da-To-Da Legal, Room 405, 1925 K Street, NW., Washington, DC 20423. Telephone: [phone]. (Assistance for the hearing impaired is available through FIRS at 1-800-877-8339.) The decision is also available on the Board's Internet site at www.stb.dot.gov.

Environmental and Energy Considerations

This action will not significantly affect either the quality of the human environment or the conservation of energy resources.

Regulatory Flexibility Analysis

Pursuant to 5 U.S.C. 603(b), we conclude that our action in this proceeding will not have a significant economic impact on a substantial number of small entities. The purpose and effect of the action is merely to update the annual railroad industry revenue adequacy finding. No new reporting or other regulatory requirements are imposed, directly or indirectly, on small entities.

Decided: June 20, 2003.

By the Board, Chairman Nober.

Vernon A. Williams,

Secretary.