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Short Line/Regional

Surface Transportation Board Approves Routes for Southwest Gulf Railroad Line

SAN ANTONIO — Southwest Gulf Railroad (SGR), a subsidiary of Vulcan Materials Co., announced it has received approval from the federal Surface Transportation Board to construct a 9-mile rail line in Medina County, Texas. The STB’s approval allows three environmentally acceptable route options for the SGR line. The approval follows an extensive five-year review of the project that included multiple revisions and improvements, resulting in route modifications that were requested as well as extensive mitigation measures designed to protect the environment and historic resources. SGR said it fully supports these mitigation measures. “We are pleased with the STB’s decision. We

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Canadian National

STB Approves CN Acquisition of EJ&E

WASHINGTON — The Surface Transportation Board unanimously approved the Canadian National Railway Company and Grand Trunk Corporation application to acquire control of the Elgin, Joliet & Eastern Railway Company (EJ&E), subject to a number of Board-imposed conditions. “Approval of this important railroad merger, with the conditions we have imposed, marks a significant step forward in our nation’s efforts to alleviate rail and highway congestion,” Board Chairman Charles D. Nottingham said. “I am pleased that the Board agreed, in a bipartisan and unanimous manner, after an unprecedented public involvement process, to grant the relief that this merger will provide to the

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Amtrak

STB to Hole Hearing on Passenger Rail Investment and Improvement Act of 2008

WASHINGTON — The Surface Transportation Board announced it will hold a public hearing on Feb. 11 to allow interested persons to comment on the Board’s new responsibilities in the recently passed Passenger Rail Investment and Improvement Act of 2008. The Act enhances the Board’s role in various types of disputes between the National Railroad Passenger Corporation (Amtrak), commuter rail operators, host railroads over which they operate, or States that seek to use Amtrak equipment or services with respect to cost allocations, quality of service, compensation, liability, and other terms for provision of service.

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Short Line/Regional

STB Grants Final Approval for Texas Line

WASHINGTON — The Surface Transportation Board (Board) announced it has issued a decision granting final approval for Southwest Gulf Railroad Company (SGR) to construct and operate a rail line in Medina County, Texas, subject to environmental mitigation conditions. The Board identified three environmentally acceptable routing alternatives, any one of which SGR may now build. The new rail line will extend from Vulcan Construction Material’s planned  limestone quarry in the north central part of Medina County to a connection with the Del Rio Subdivision of the Union Pacific Railroad Co. near Dunlay, Texas. Limestone aggregate from the quarry will be transported

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Legislation

New Rail Competition Study Rejects Reregulation

WASHINGTON – A new study for the Surface Transportation Board (STB) on competition in the freight railroad industry says that “both railroads and their customers benefited” from the partial rail deregulation introduced by the Staggers Rail Act of 1980. The study also rejected the principal proposals for reregulation of the railroad industry, saying they could harm the industry or would otherwise be inappropriate. “We’re pleased that this independent study has affirmed key economic principles on which the STB has relied for many years in its regulation of the railroad industry,” said Association of American Railroads (AAR) President and CEO Edward

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Canadian National

CN, Schererville, Ind., Agree on Mitigation Plan for EJ&E Transaction

CHICAGO — CN announced an agreement with the Town of Schererville, Ind., located 28 miles south of Chicago, that would mitigate the impact on the community of CN’s proposed acquisition of the principal lines of the Elgin, Joliet & Eastern Railway Company (EJ&E). Under the agreement, CN will assist in the creation and maintenance of quiet zones in Schererville, and take various steps to improve train operations, communications, and emergency preparedness in the municipality. The agreement is contingent upon regulatory approval of CN’s proposed acquisition of the EJ&E. The transaction is being reviewed by the Surface Transportation Board (STB), which

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Canadian National

CN, Village of Mundelein, Ill., Reach Agreement on Mitigation Plan for EJ&E transaction

CHICAGO — CN and the Village of Mundelein, Ill., located northwest of Chicago, today jointly announced a voluntary mitigation agreement addressing the municipality’s concerns regarding CN’s proposed acquisition of the principal lines of the Elgin, Joliet & Eastern Railway Company (EJ&E). Under the agreement, CN will assist in the maintenance of quiet zones, and take various steps to increase the fluidity of train movements through Mundelein, as well as improve safety, communications, emergency preparedness, and Metra access. The agreement is contingent upon regulatory approval of CN’s proposed acquisition of the EJ&E. The transaction is being reviewed by the Surface Transportation

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Canadian National

CN, Chicago Heights, Ill., Reach Mitigation Agreement for EJ&E transaction

CHICAGO HEIGHTS, Ill. — CN announced an agreement with the City of Chicago Heights, Ill., located 26 miles south of downtown Chicago and six miles from the Indiana border, that addresses municipal concerns about CN’s proposed acquisition of the principal lines of the Elgin, Joliet & Eastern Railway Company (EJ&E). Under the agreement, CN will assist in the creation and maintenance of quiet zones and take various steps to improve operations, safety, fencing and emergency preparedness and promote economic development in Chicago Heights. The agreement is contingent upon regulatory approval of CN’s proposed acquisition of the EJ&E. The transaction is

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Canadian National

STB Issues Final EIS for CN Acquisition

WASHINGTON — The Surface Transportation Board announced that its Section of Environmental Analysis (SEA) has issued the Final Environmental Impact Statement (Final EIS) for the proposed acquisition by the Canadian National Railway and Grand Trunk Corporation of the Elgin, Joliet & Eastern Railway (EJ&E). Issuance of the Final EIS completes SEA’s environmental review process.  Upon reviewing and considering the Final EIS, and the extensive transportation related and environmental record developed in this case, the Board will independently issue a final decision either denying, approving, or approving with conditions the pending merger. Completion of SEA’s Final EIS should not be interpreted

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Short Line/Regional

STB Sets CORP Sale Price

WASHINGTON — The Surface Transportation Board announced it has established $16.6 million as the purchase price of the Central Oregon & Pacific Railroad Inc.’s (CORP) 111-mile railroad line, running from Danebo to Cordes, Ore. In a prior decision, the Board had ordered CORP to sell the line to the Oregon International Port of Coos Bay. The Board-established figure is approximately $2.9 million less than the $19.5 million that the Port testified it had available for the Line’s purchase. The Port must decide by Dec. 1 whether to accept the terms of sale established by the Board’s decision.  If the Port