2013 Tax Information for use in the Revenue Shortfall Allocation Method, 33038 [2014-13381]

Download as PDF 33038 Federal Register / Vol. 79, No. 110 / Monday, June 9, 2014 / Notices be held and used throughout the course of this Study. Dates, times and locations for the scoping meetings and other opportunities for public participation will be announced on the B&P Tunnel Project’s Web site (www.bptunnel.com) and through mailings, public notices, advertisements and press releases. Comments will be accepted on the scope of the EIS at the public meeting, through the project Web site (www.bptunnel.com) and by submitting written comments to Michelle Fishburne according to FOR FURTHER INFORMATION CONTACT above. The formal comment period for scoping will be as described in DATES above. Authority: National Environmental Policy Act of 1969 (NEPA) (42 U.S.C. 4321 et. seq.) Issued in Washington, DC, on June 4, 2014. Corey W. Hill, Director, Office of Program Delivery. [FR Doc. 2014–13318 Filed 6–6–14; 8:45 am] BILLING CODE 4910–06–P DEPARTMENT OF TRANSPORTATION Surface Transportation Board FOR FURTHER INFORMATION CONTACT: [Docket No. EP 682 (Sub-No. 5)] 2013 Tax Information for use in the Revenue Shortfall Allocation Method Surface Transportation Board. Notice. AGENCY: ACTION: state tax rates for each Class I railroad, as calculated by the Association of American Railroads (AAR), for use in the Revenue Shortfall Allocation Method (RSAM). DATES: Comments are due by July 9, 2014. If any comment opposing AAR’s calculation is filed, AAR’s reply will be due by July 29, 2014. If no comments are filed by the due date, AAR’s calculation of the 2013 weighted average state tax rates will be automatically adopted by the Board, effective July 10, 2014. ADDRESSES: Comments may be submitted either via the Board’s e-filing format or in traditional paper format. Any person using e-filing should attach a document and otherwise comply with the instructions at the E-FILING link on the Board’s Web site at http:// www.stb.dot.gov. Any person submitting a filing in the traditional paper format should send an original and 10 copies referring to Docket No. EP 682 (Sub-No. 5) to: Surface Transportation Board, 395 E Street SW., Washington, DC 20423– 0001. The Board is publishing, and providing the public an opportunity to comment on, the 2013 weighted average SUMMARY: Marc Lerner, (202) 245–0390. Assistance for the hearing impaired is available through the Federal Information Relay Service (FIRS) at (800) 877–8339. SUPPLEMENTARY INFORMATION: The RSAM figure is one of three benchmarks that together are used to determine the reasonableness of a challenged rate under the Board’s Simplified Standards for Rail Rate Cases, EP 646 (Sub-No. 1) (STB served Sept. 5, 2007),1 as further revised in Simplified Standards for Rail Rate Cases–Taxes in Revenue Shortfall Allocation Method, EP 646 (Sub-No. 2) (STB served Nov. 21, 2008). RSAM is intended to measure the average markup that the railroad would need to collect from all of its ‘‘potentially captive traffic’’ (traffic with a revenue-tovariable-cost ratio above 180%) to earn adequate revenues as measured by the Board under 49 U.S.C. 10704(a)(2) (i.e., earn a return on investment equal to the railroad industry cost of capital). Simplified Standards–Taxes in RSAM, slip op. at 1. In Simplified Standards– Taxes in RSAM, slip op. at 3, 5, the Board modified its RSAM formula to account for taxes, as the prior formula mistakenly compared pre-tax and aftertax revenues. In that decision, the Board stated that it would institute a separate proceeding in which Class I railroads would be required to submit the annual tax information necessary for the Board’s annual RSAM calculation. Id. at 5–6. In Annual Submission of Tax Information for Use in the Revenue Shortfall Allocation Method, EP 682 (STB served Feb. 26, 2010), the Board adopted rules to require AAR—a national trade association—to annually calculate and submit to the Board the weighted average state tax rate for each Class I railroad. See 49 CFR 1135.2(a). On May 30, 2014, AAR filed its calculation of the weighted average state tax rates for 2013, listed below for each Class I railroad: WEIGHTED AVERAGE STATE TAX RATES [In percent] 2013 (percent) Railroad ehiers on DSK2VPTVN1PROD with NOTICES BNSF Railway Company ............................................................................................................. CSX Transportation, Inc .............................................................................................................. Grand Trunk Corporation ............................................................................................................. The Kansas City Southern Railway ............................................................................................. Norfolk Southern Combined ........................................................................................................ Soo Line Corporation ................................................................................................................... Union Pacific Railroad Company ................................................................................................. Any party wishing to comment on AAR’s calculation of the 2013 weighted average state tax rates should file a comment by July 9, 2014. See 49 CFR 1135.2(c). If any comments opposing AAR’s calculations are filed, AAR’s reply will be due by July 29, 2014. Id. If any comments are filed, the Board will review AAR’s submission, together with the comments, and serve a decision within 60 days of the close of the record that either accepts, rejects, or modifies AAR’s railroad-specific tax information. Id. If no comments are filed by July 9, 2014, AAR’s submitted weighted average state tax rates will be automatically adopted by the Board, effective July 10, 2014. Id. This action will not significantly affect either the quality of the human 1 Aff’d sub nom. CSX Transp., Inc. v. STB, 568 F.3d 236 (D.C. Cir. 2009), and vacated in part on 5.510 5.486 8.066 5.762 5.821 7.289 5.929 15:08 Jun 06, 2014 Jkt 232001 PO 00000 Frm 00132 Fmt 4703 Sfmt 9990 % Change 5.567 5.588 8.078 5.877 5.891 7.351 5.970 ¥0.057 ¥0.102 ¥0.012 ¥0.115 ¥0.070 0.062 ¥0.041 environment or the conservation of energy resources. reh’g, CSX Transp., Inc. v. STB, 584 F.3d 1076 (D.C. Cir. 2009). VerDate Mar<15>2010 2012 (percent) Decided: June 4, 2014. By the Board, Rachel D. Campbell, Director, Office of Proceedings. Derrick A. Gardner, Clearance Clerk. [FR Doc. 2014–13381 Filed 6–6–14; 8:45 am] BILLING CODE 4915–01–P E:\FR\FM\09JNN1.SGM 09JNN1

Agencies

[Federal Register Volume 79, Number 110 (Monday, June 9, 2014)]
[Notices]
[Page 33038]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: 2014-13381]


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DEPARTMENT OF TRANSPORTATION

Surface Transportation Board

[Docket No. EP 682 (Sub-No. 5)]


2013 Tax Information for use in the Revenue Shortfall Allocation 
Method

AGENCY: Surface Transportation Board.

ACTION: Notice.

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SUMMARY: The Board is publishing, and providing the public an 
opportunity to comment on, the 2013 weighted average state tax rates 
for each Class I railroad, as calculated by the Association of American 
Railroads (AAR), for use in the Revenue Shortfall Allocation Method 
(RSAM).

DATES: Comments are due by July 9, 2014. If any comment opposing AAR's 
calculation is filed, AAR's reply will be due by July 29, 2014. If no 
comments are filed by the due date, AAR's calculation of the 2013 
weighted average state tax rates will be automatically adopted by the 
Board, effective July 10, 2014.

ADDRESSES: Comments may be submitted either via the Board's e-filing 
format or in traditional paper format. Any person using e-filing should 
attach a document and otherwise comply with the instructions at the E-
FILING link on the Board's Web site at http://www.stb.dot.gov. Any 
person submitting a filing in the traditional paper format should send 
an original and 10 copies referring to Docket No. EP 682 (Sub-No. 5) 
to: Surface Transportation Board, 395 E Street SW., Washington, DC 
20423-0001.

FOR FURTHER INFORMATION CONTACT: Marc Lerner, (202) 245-0390. 
Assistance for the hearing impaired is available through the Federal 
Information Relay Service (FIRS) at (800) 877-8339.

SUPPLEMENTARY INFORMATION: The RSAM figure is one of three benchmarks 
that together are used to determine the reasonableness of a challenged 
rate under the Board's Simplified Standards for Rail Rate Cases, EP 646 
(Sub-No. 1) (STB served Sept. 5, 2007),\1\ as further revised in 
Simplified Standards for Rail Rate Cases-Taxes in Revenue Shortfall 
Allocation Method, EP 646 (Sub-No. 2) (STB served Nov. 21, 2008). RSAM 
is intended to measure the average markup that the railroad would need 
to collect from all of its ``potentially captive traffic'' (traffic 
with a revenue-to-variable-cost ratio above 180%) to earn adequate 
revenues as measured by the Board under 49 U.S.C. 10704(a)(2) (i.e., 
earn a return on investment equal to the railroad industry cost of 
capital). Simplified Standards-Taxes in RSAM, slip op. at 1. In 
Simplified Standards-Taxes in RSAM, slip op. at 3, 5, the Board 
modified its RSAM formula to account for taxes, as the prior formula 
mistakenly compared pre-tax and after-tax revenues. In that decision, 
the Board stated that it would institute a separate proceeding in which 
Class I railroads would be required to submit the annual tax 
information necessary for the Board's annual RSAM calculation. Id. at 
5-6.
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    \1\ Aff'd sub nom. CSX Transp., Inc. v. STB, 568 F.3d 236 (D.C. 
Cir. 2009), and vacated in part on reh'g, CSX Transp., Inc. v. STB, 
584 F.3d 1076 (D.C. Cir. 2009).
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    In Annual Submission of Tax Information for Use in the Revenue 
Shortfall Allocation Method, EP 682 (STB served Feb. 26, 2010), the 
Board adopted rules to require AAR--a national trade association--to 
annually calculate and submit to the Board the weighted average state 
tax rate for each Class I railroad. See 49 CFR 1135.2(a). On May 30, 
2014, AAR filed its calculation of the weighted average state tax rates 
for 2013, listed below for each Class I railroad:

                                        Weighted Average State Tax Rates
                                                  [In percent]
----------------------------------------------------------------------------------------------------------------
                            Railroad                              2013 (percent)  2012 (percent)     % Change
----------------------------------------------------------------------------------------------------------------
BNSF Railway Company............................................           5.510           5.567          -0.057
CSX Transportation, Inc.........................................           5.486           5.588          -0.102
Grand Trunk Corporation.........................................           8.066           8.078          -0.012
The Kansas City Southern Railway................................           5.762           5.877          -0.115
Norfolk Southern Combined.......................................           5.821           5.891          -0.070
Soo Line Corporation............................................           7.289           7.351           0.062
Union Pacific Railroad Company..................................           5.929           5.970          -0.041
----------------------------------------------------------------------------------------------------------------

    Any party wishing to comment on AAR's calculation of the 2013 
weighted average state tax rates should file a comment by July 9, 2014. 
See 49 CFR 1135.2(c). If any comments opposing AAR's calculations are 
filed, AAR's reply will be due by July 29, 2014. Id. If any comments 
are filed, the Board will review AAR's submission, together with the 
comments, and serve a decision within 60 days of the close of the 
record that either accepts, rejects, or modifies AAR's railroad-
specific tax information. Id. If no comments are filed by July 9, 2014, 
AAR's submitted weighted average state tax rates will be automatically 
adopted by the Board, effective July 10, 2014. Id.
    This action will not significantly affect either the quality of the 
human environment or the conservation of energy resources.

    Decided: June 4, 2014.

    By the Board, Rachel D. Campbell, Director, Office of 
Proceedings.
Derrick A. Gardner,
Clearance Clerk.
[FR Doc. 2014-13381 Filed 6-6-14; 8:45 am]
BILLING CODE 4915-01-P