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Re: Roseburg Forest Products Sends Letter to CORP
Author: Hipshot
Date: 03-08-2008 - 18:19
Wrong again, Mr. FHL.
Firstly, there is no such thing as a "designated operator" until and unless there is a WILLING AND QUALIFIED operator to designate. Under federal regulations (49 CFR §1150, Subpart B) designated operator authority is permissive not obligatory. Any entity desiring to become a designated operator must provide “sufficient information to [the STB to establish the financial responsibility of the offeror for the proposed undertaking, or if the offeror is a State or municipal corporation or authority, a statement that it has authority to perform the service or enter into the agreement for subsidy.” (Emphasis added, see 49 CFR §1150.15(b)) Now just who has the financial capacity, or is going to provide a subsidy, that will allow some putative designated operator to qualify for STB authority AND perform the repairs needed to make the tracks safe?
Secondly, I defy you to provide evidence of any so-called “forced transfer” where there is no WILLING AND QUALIFIED buyer. Feeder Railroad Development regulations (49 CFR §1151, et seq.) provide that “[a] rail line is eligible for a forced sale if it appears in category 1 or 2 of the owning railroad's system diagram map (but the railroad has not filed an application to abandon the line), or the public convenience and necessity, as defined in 49 U.S.C. 10907(c)(1), permit or require the sale of the line.” (see 49 CFR §1151.1).” The regulations allow the STB to require a sale where there is a.) published intent to abandon a line OR b.) there are cogent “public convenience and necessity” considerations. Arguably, the Coos Bay line may qualify under the second alternative; however, there are no regulations that gives the STB authority to require someone to buy the property. Who has the financial qualifications, ability and willingness to buy and operate the line AND perform the repairs need to make the tracks safe?
I regret any inconvenience or confusion that may have arisen from my fumble-fingered typing – of course the intended reference was to Fortress Investment Group, “FIG.”
Perhaps you should consider your own refresher courses.
Hipshot
Firstly, there is no such thing as a "designated operator" until and unless there is a WILLING AND QUALIFIED operator to designate. Under federal regulations (49 CFR §1150, Subpart B) designated operator authority is permissive not obligatory. Any entity desiring to become a designated operator must provide “sufficient information to [the STB to establish the financial responsibility of the offeror for the proposed undertaking, or if the offeror is a State or municipal corporation or authority, a statement that it has authority to perform the service or enter into the agreement for subsidy.” (Emphasis added, see 49 CFR §1150.15(b)) Now just who has the financial capacity, or is going to provide a subsidy, that will allow some putative designated operator to qualify for STB authority AND perform the repairs needed to make the tracks safe?
Secondly, I defy you to provide evidence of any so-called “forced transfer” where there is no WILLING AND QUALIFIED buyer. Feeder Railroad Development regulations (49 CFR §1151, et seq.) provide that “[a] rail line is eligible for a forced sale if it appears in category 1 or 2 of the owning railroad's system diagram map (but the railroad has not filed an application to abandon the line), or the public convenience and necessity, as defined in 49 U.S.C. 10907(c)(1), permit or require the sale of the line.” (see 49 CFR §1151.1).” The regulations allow the STB to require a sale where there is a.) published intent to abandon a line OR b.) there are cogent “public convenience and necessity” considerations. Arguably, the Coos Bay line may qualify under the second alternative; however, there are no regulations that gives the STB authority to require someone to buy the property. Who has the financial qualifications, ability and willingness to buy and operate the line AND perform the repairs need to make the tracks safe?
I regret any inconvenience or confusion that may have arisen from my fumble-fingered typing – of course the intended reference was to Fortress Investment Group, “FIG.”
Perhaps you should consider your own refresher courses.
Hipshot
