[Federal Register Volume 80, Number 108 (Friday, June 5, 2015)]
[Notices]
[Pages 32200-32201]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2015-13769]


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DEPARTMENT OF TRANSPORTATION

Surface Transportation Board

[Docket No. FD 35931]


Watco Holdings, Inc.--Continuance in Control Exemption--Texas New 
Mexico Railway, L.L.C.

    Watco Holdings, Inc. (Watco), a noncarrier, has filed a verified 
notice of exemption pursuant to 49 CFR 1180.2(d)(2) to continue in 
control of Texas New Mexico Railway, L.L.C. (TNMR), upon TNMR's 
becoming a Class III rail carrier. Watco owns, indirectly, 100 percent 
of the issued and outstanding stock of TNMR, a limited liability 
company.
    This transaction is related to a concurrently filed verified notice 
of exemption in Texas New Mexico Railway--Acquisition and Operation 
Exemption--Austin & Northwestern Railroad, Docket No. FD 35930, wherein 
TNMR seeks Board approval to acquire and operate approximately 104.191 
miles of rail line owned by Austin & Northwestern Railway Company, 
Inc., between milepost 0.079 at Monahans, Tex., and milepost 104.27 at 
Lovington, NM.
    The transaction may be consummated on or after June 20, 2015, the 
effective date of the exemption (30 days after the notice of exemption 
was filed).
    Watco is a Kansas corporation that currently controls, indirectly, 
one Class II rail carrier, and 30 Class III rail carriers, collectively 
operating in 22 states. For a complete list of these rail carriers, and 
the states in which they operate, see Watco's notice of exemption filed 
on May 21, 2015. The notice is available on the Board's Web site at 
WWW.STB.DOT.GOV.
    Watco represents that: (1) The rail lines to be operated by TNMR do 
not connect with any of the rail lines operated by the carriers in the 
Watco corporate family; (2) the transaction is not a part of a series 
of anticipated transactions that would result in such a connection; and 
(3) the transaction does not involve a Class I carrier. Therefore, the 
transaction is exempt from the prior approval requirements of 49 U.S.C. 
11323. See 49 CFR 1180.2(d)(2).
    Watco states that the purpose of the transaction is to reduce 
overhead expenses, coordinate billing,

[[Page 32201]]

maintenance, mechanical, and personnel policies and practices of its 
rail carrier subsidiaries, and thereby improve the overall efficiency 
of rail service provided by the railroads in the Watco corporate 
family.
    Under 49 U.S.C. 10502(g), the Board may not use its exemption 
authority to relieve a rail carrier of its statutory obligation to 
protect the interests of its employees. Because the transaction 
involves the control of one Class II and one or more Class III rail 
carriers, the transaction is subject to the labor protection 
requirements of 49 U.S.C. 11326(b) and Wisconsin Central Ltd.--
Acquisition Exemption--Lines of Union Pacific Railroad, 2 S.T.B. 218 
(1997).
    If the verified notice contains false or misleading information, 
the exemption is void ab initio. Petitions to revoke the exemption 
under 49 U.S.C. 10502(d) may be filed at any time. The filing of a 
petition to revoke will not automatically stay the effectiveness of the 
exemption. Petitions for stay must be filed by June 12, 2015 (at least 
seven days before the exemption becomes effective).
    An original and 10 copies of all pleadings, referring to Docket No. 
FD 35931, must be filed with the Surface Transportation Board, 395 E 
Street SW., Washington, DC 20423-0001. In addition, a copy of each 
pleading must be served on Karl Morell, Karl Morell & Associates, 655 
Fifteenth Street NW., Suite 225, Washington, DC 20005.
    Board decisions and notices are available on our Web site at 
WWW.STB.DOT.GOV.

    Decided: June 1, 2015.

    By the Board, Rachel D. Campbell, Director, Office of 
Proceedings.
Brendetta S. Jones,
Clearance Clerk.
[FR Doc. 2015-13769 Filed 6-4-15; 8:45 am]
 BILLING CODE 4915-01-P