Surface Transportation Board Announces Results of September 15 Voting Conference

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>From the Surface Transportation Board, Washington, D.C.
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Surface Transportation Board Chairman Roger Nober today announced the
results of the voting conference held today, Thursday, September 15, 2005,
by the STB.

The Board voted unanimously to adopt each of the draft decisions before
it.  A summary of those votes is attached as a fact sheet.

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ATTACHMENT
______________
ATTACHMENT

Fact Sheet

VOTING RESULTS OF SURFACE TRANSPORTATION BOARD'S SEPTEMBER 15, 2005 VOTING
CONFERENCE


-->Government of the Territory of Guam v. Sea-Land Service, Inc., American
President Lines, LTD., and Matson Navigation Company, Inc., STB Docket No.
WCC-101.

This proceeding involves a complaint filed with the STB by the Government
of the Territory of Guam (GovGuam) challenging the reasonableness of the
rates, rules, classifications and practices for transportation provided by
Sea-Land Service, Inc., now known as Horizon Lines, LLC (Horizon), American
President Lines, Ltd., and Matson Navigation Company, Inc. (Matson)
(collectively, defendants), in the noncontiguous domestic trade
(transportation between or among points in the United States mainland and
points in Alaska, Hawaii, or U.S. territories or possessions).  The
complaint also seeks damages.

Earlier, the STB had adopted a three-step process for resolving this
matter.  Phase I involved the agency's addressing a joint motion by the
defendants to dismiss GovGuam's discrimination claim, among other
matters.  Phase II, the current stage of this proceeding, involves the
agency's plans to address an appropriate methodology for assessing rate
reasonableness.  A future Phase III will involve the agency's consideration
of the merits of the complaint.

In October 2004, oral argument was scheduled for November 2004, but was
rescheduled for February 2005 after GovGuam requested a postponement.  The
February 2005 oral argument was later canceled by the STB and the
proceeding held in abeyance pending communication from GovGuam.  In June
2005, the STB directed GovGuam to show cause why this proceeding should not
be dismissed.

Finding that GovGuam has shown sufficient justification to allow it to move
forward with the proceeding, and that it has shown that the proceeding
should not be dismissed, the Board voted, 3-0, to continue Phase II of the
complaint and to set a date for oral argument in a decision to be issued
later.


-->East Brookfield & Spencer Railroad, LLC--Lease and Operation Exemption--
CSX Transportation, Inc., STB Finance Docket No. 34505.

At issue in this proceeding is a United Transportation Union (UTU) request
that the STB revoke a notice of exemption filed with the agency by the East
Brookfield & Spencer Railroad, LLC, to acquire by lease, and to operate as
a common carrier (i.e., offering its service to the general public)
approximately four miles of railroad line and related trackage in East
Brookfield and Spencer, in Worcester County, Massachusetts.

The Board voted, 3-0, to deny UTU's petition.


-->San Pedro Railroad Operating Company, LLC--Abandonment Exemption--in
Cochise County, AZ, STB Docket No. AB-441 (Sub-No. 4X).

This case involves a petition for exemption filed by the San Pedro Railroad
Operating Company, LLC (SPROC) to abandon approximately 76.2 miles of rail
line in Cochise County, Arizona.  The Chemical Lime Company (Chemical) and
Sonora-Arizona International, LLC (Sonora) oppose the petition.

The Board voted, 3-0, to deny SPROC's petition for exemption to abandon the
line, finding that in a petition for exemption proceeding, a railroad must
make its case-in-chief on opening, and that SPROC cannot be permitted to
make that case by filing new evidence in its rebuttal filed in response to
opposition filed by Chemical and Sonora.  Denial of this petition is
without prejudice to SPROC's filing an appropriate abandonment application
or petition for exemption that contains all relevant evidence and financial
data.


-->Pittsburg & Shawmut Railroad, LLC--Abandonment Exemption--in Armstrong
and Jefferson Counties, PA, STB Docket No. AB-976X.

In this proceeding, the Pittsburg & Shawmut Railroad, LLC (Pittsburg &
Shawmut) has petitioned the STB for an exemption from its prior-approval
requirements to allow the railroad to abandon approximately 40 miles of
rail line in Armstrong and Jefferson Counties, Pennsylvania.  Pittsburg &
Shawmut states that:  there has been no traffic on the line since September
1999, the railroad has unsuccessfully attempted to bring new business to
the line, and all overhead traffic (traffic neither originating nor ending
on a specific section of track but, rather, merely passing over it from
another origin to another destination) has been rerouted.

The Board voted, 3-0, to grant the petition, subject to trail use, public
use, environmental and standard labor protective conditions.


-->Yakima Interurban Lines Association--Adverse Abandonment--in Yakima
County, WA, STB Docket No. AB-600.

At issue is the Naches Line (Line) in Yakima County, Washington.  The Line
is owned by Yakima Interurban Lines Association (YILA), a Washington State
nonprofit corporation.  When YILA acquired 11.29 miles of the Line in 1999,
the Line had been out of service since 1997 because of poor track
conditions.  The State of Washington, through the Washington State
Department of Transportation, subsequently loaned YILA $516,000 to
rehabilitate the Line, but YILA failed to perform the rehabilitation and
defaulted on the loan.  In 2004, Kershaw Sunnyside Ranches, Inc. (Kershaw)
filed an adverse abandonment application (wherein a party other than a
railroad providing service seeks the discontinuance of that service) asking
the agency to withdraw its primary jurisdiction to permit Kershaw to
proceed to state court to obtain control of a portion of the Line crossing
its property.  Several protests to Kershaw's petition were filed with the
agency.  In November 2004, the STB denied Kershaw's application, stating
that local governments, shippers, a potential replacement rail carrier, and
other parties opposed abandonment, and that several petitioners had
presented feasible plans for the Line's rehabilitation and service
restoration.  Kershaw filed a petition for reconsideration and
clarification of the STB's November 2004 decision.

The Board voted, 3-0, to deny Kershaw's petition for reconsideration and
clarification.


-->Kansas & Oklahoma Railroad, Inc.--Acquisition Exemption--Rail Line of
Union Pacific Railroad Company, STB Finance Docket No. 34746.

This proceeding concerns an August 2005 petition by the Kansas & Oklahoma
Railroad Company, Inc. (K&O), seeking a waiver of the STB's advance-notice
requirements relative to employees who potentially may be affected by K&O's
planned acquisition and continued operation of a 27-mile segment of a line
of railroad owned by the Union Pacific Railroad Company (UP) between Newton
and McPherson, Kansas.  K&O currently leases the line from UP and has
operated it since September 2002.  Because K&O's current revenues exceed $5
million, the notice requirements would apply unless a waiver is
granted.  K&O asserts that no purpose would be served by a notice because
no UP or K&O employees will be affected by the transaction; no UP employee
has performed operations or maintenance on the line in nearly three years;
K&O will continue to provide the same service and perform the same
maintenance as it does under the current lease; and the transaction will
simply convert operations according to a lease to operations over a
K&O-owned line.

The Board voted, 3-0, to grant K&O's request for waiver of the agency's
advance-notice requirements.


-->Union Pacific Railroad Company--Temporary Trackage Rights
Exemption--BNSF Railway Company, STB Finance Docket No. 34694 (Sub-No. 1).

This proceeding involves a Union Pacific Railroad Company (UP) request that
the STB partially revoke a trackage rights exemption, previously granted by
the agency in a related case, to permit UP's local trackage rights over a
BNSF Railway Company (BNSF) line to expire on or about December 31, 2005,
as agreed by UP and BNSF.

UP states that the purpose of the previously exempted trackage rights
arrangement was to permit UP to move loaded and empty ballast trains for
use in its maintenance-of-way projects.   UP had originally sought, and
BNSF was only willing to grant, temporary operating rights over BNSF's
track until December 31, 2005.

The Board voted, 3-0, to grant UP's petition for partial revocation of the
trackage rights exemption to permit UP's local trackage rights over the
BNSF line to expire on or about December 31, 2005, as agreed by the
parties, subject to the agency's imposition of protective conditions on
employees who may be adversely affected by the discontinuance of trackage
rights operation.


The STB provides the above summaries as a courtesy to the public and the
media.  The STB's actions in these cases, however, are the agency's written
decisions.  Those decisions will be forthcoming.  Printed copies of the
decisions will be available for a fee by contacting ASAP Document
Solutions, 9332 Annapolis Rd., Suite 103, Lanham, MD 20706, telephone (202)
306-4004, or via asapdc@xxxxxxxxxxxx  The decisions also will be available
for viewing and downloading via the Board's website at
http://www.stb.dot.gov.


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