STB – Page 13 – Railfanning.org

STB Makes Rail Revenue Adequacy Determination for 2006

May 6, 2008 Railfanning.org News Wire

WASHINGTON –Three Class I railroads, the BNSF Railway Co., the Norfolk Southern Railway Co., and the Soo Line Railroad Co. (a subsidiary of Canadian Pacific Railway Co., were revenue adequate for 2006. All other Class I freight railroads were found to be revenue inadequate for that year. The Surface Transportation Board made its determinations of revenue adequacy for the seven Class I freight railroads (the Nation’s largest) for 2006. A railroad is considered to be revenue adequate if it achieves a rate of return on net investment (ROI) equal to at least the current cost of capital (i.e., the cost

Federal Board’s Decision Shortchanges Michigan Rail Shippers and Passengers

December 12, 2007 Railfanning.org News Wire

NORFOLK, Va. — The Surface Transportation Board’s denial of regulatory approval for an innovative joint venture involving freight and passenger rail service over 384 route miles in Michigan and Indiana represents a lost opportunity for the region’s shippers, passengers and communities, according to Norfolk Southern Railway Co. Norfolk Southern and Watco Companies had planned jointly to form a new regional railroad, Michigan Central Railway, to preserve and grow freight service in the region. Amtrak passenger lines would have benefited from an extended agreement ensuring continued maintenance and investment levels on the rail lines between Ypsilanti and Kalamazoo, Mich., Norfolk Southern

Canadian Pacific, Mayo Clinic Commit to Ongoing Dialogue

November 27, 2007 Railfanning.org News Wire

ROCHESTER, Minn. — Canadian Pacific and the Mayo Clinic, on behalf of Rochester residents, have conducted their first face-to-face meeting, and officials said they made a commitment to continue their dialogue following the railroad’s recent acquisition of the Dakota, Minnesota, and Eastern Railroad (DM&E). “We had a very open and constructive dialogue and we left with a mutual understanding of each others needs and concerns,” said Glenn Forbes, CEO of the Mayo Clinic. “We both expressed a strong and firm commitment to work collaboratively, both together and with the community of Rochester, to ensure the highest degree of safety moving

Canadian Pacific Completes Acquisition of DM&E Railroad

October 4, 2007 Railfanning.org News Wire

CALGARY — Canadian Pacific Railway Limited has completed the transaction to acquire Dakota, Minnesota & Eastern Railroad Corporation and its subsidiaries (DM&E). The agreement was previously announced on Sep. 4, 2007. The transaction is subject to review and approval by the U.S. Surface Transportation Board (STB), pending which the shares of DM&E have been placed into an independent voting trust. The voting trust is required by US law so that CP does not exercise control over DM&E prior to approval of the transaction by the STB. CP announced that Mr. Richard Hamlin has been appointed as the trustee during the

Amtrak and Michigan Central Railway Reach Agreement to Support Michigan Passenger Rail Service

September 18, 2007 Railfanning.org News Wire

KALAMAZOO, Mich. – Amtrak and Michigan Central Railway have reached an agreement concerning maintenance and investment levels on the rail lines between Ypsilanti and Kalamazoo, Mich., which are currently used for passenger rail operations. As a result of this agreement, Amtrak will support Michigan Central’s request for regulatory approval of the transaction now pending before the Surface Transportation Board (STB) that would grant Michigan Central control over those lines. “When the Michigan Central transaction was announced in July, a number of constituencies expressed concern regarding the impact on passenger rail service in southern Michigan,” said Paul Vilter, Amtrak’s Assistant Vice

STB to Hold July 18 Public Hearing on Rail Transportation Energy Resources

June 13, 2007 Railfanning.org News Wire

KANSAS CITY — The Surface Transportation Board will hold a public forum to examine issues related to the efficiency and reliability of railroad transportation of resources critical to the Nation’s energy supply, including coal, ethanol and biofuels, Chairman Charles D. Nottingham said. The hearing will begin at 9 a.m. in the Ground Floor Conference Room of the Richard Bolling Federal Building, 601 East 12th Street, Kansas City, Mo. The STB officially announced the July 18 hearing in the proceeding entitled Rail Transportation of Resources Critical to the Nation’s Energy Supply, STB Ex Parte No. 672, in a decision issued to

STB: Mediated Settlement in Small Rail Rate-Complaint Case

February 1, 2007 Railfanning.org News Wire

WASHINGTON — Surface Transportation Board Chairman Charles D. Nottingham announced today that a mediated settlement has been reached in a case filed under the Board’s small rate-complaint procedures. As a result, the shipper has requested that its complaint be dismissed. “This settlement demonstrates that the STB can help resolve rail rate disputes in a matter of weeks — not months and years — and at a Reasonable cost to the parties,” Nottingham said. “I commend the parties and the STB staff mediators for their efforts to quickly resolve this matter. The STB will continue to promote mediation as an alternative

Appeals Court Upholds STB’s DM&E Decision

December 29, 2006 Railfanning.org News Wire

WASHINGTON – The Surface Transportation Board’s decision granting final approval to Dakota, Minnesota & Eastern Railroad (DM&E) to construct a 280-mile rail line into Wyoming’s Powder River Basin was affirmed by the United States Court of Appeals for the Eighth Circuit. The Dakota, Minnesota and Eastern Railroad (DM&E) is seeking the largest federal loan to a private company in American history — a $2.3 billion in tax money from to finance a major rail expansion project through the Midwest. The loan guarantee from the Federal Railroad Administration (FRA) would allow the DM&E to expand and improve a rail line that

STB Issues Supplemental Draft Environmental Impact Statement for Southwest Gulf Line

December 10, 2006 Railfanning.org News Wire

WASHINGTON – The Surface Transportation Board’s Section of Environmental Analysis (SEA) has issued the Supplemental Draft Environmental Impact Statement (SDEIS) for the Southwest Gulf Railroad Company’s construction and operation of a roughly seven mile line in Medina County, Texas. SEA previously issued a Draft Environmental Impact Statement (DEIS) for public review and comment in this proceeding in 2004. The DEIS assessed four potential rail routes for Southwest Gulf’s proposed rail line to connect a proposed Vulcan Construction Materials, LP limestone quarry and the Del Rio subdivision of the Union Pacific Railroad Company (UP), near Dunlay, Texas, as well as the

STB to Examine Grain Transport

October 14, 2006 Railfanning.org News Wire

WASHINGTON – The Surface Transportation Board will hold a Nov. 2 hearing to discuss issues related to the transportation of grain by railroad. On Oct. 6, the United States Government Accountability Office (GAO) released a report on rates, competition, and capacity issues in the American rail freight industry. According to the GAO preliminary report, the amount of grain traffic with comparatively high markups over variable cost increased notably between 1985 and 2004. Although GAO reported that changes that have occurred in the rail industry since the Staggers Rail Act of 1980 are widely viewed as positive – with a healthier