Fortress Investment Group LLC-Exemption for Intra-Corporate Family Transaction-Ohio River Partners Shareholder LLC & Katahdin Railcar Services LLC, 29502-29503 [2020-10428]

Download as PDF 29502 Federal Register / Vol. 85, No. 95 / Friday, May 15, 2020 / Notices jbell on DSKJLSW7X2PROD with NOTICES Nos. 3922 and 3923 to provide switching operations for Drake. The verified notice states that the proposed transaction will afford CACR the ability to continue to conduct common carrier operations in interchange with BNSF Railway Company. The transaction may be consummated on or after May 30, 2020, the effective date of the exemption (30 days after the verified notice of exemption was filed). If the 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 May 22, 2020 (at least seven days before the exemption becomes effective). 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. However, 49 U.S.C. 11326(c) does not provide for labor protection for transactions under 49 U.S.C. 11324 and 11325 that involve only Class III rail carriers. Accordingly, the Board may not impose labor protective conditions here, because all of the carriers involved are Class III carriers. All pleadings, referring to Docket No. FD 35742 (Sub-No. 1), 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 CACR’s representative, William A. Mullins, Baker & Miller PLLC, 2401 Pennsylvania Ave. NW, Suite 300, Washington, DC 20037. According to CACR, this action is categorically excluded from environmental review under 49 CFR 1105.6(c), and from historic reporting under 49 CFR 1105.8(b)(3). Board decisions and notices are available at www.stb.gov. Decided: May 12, 2020. By the Board, Allison C. Davis, Director, Office of Proceedings. Regena Smith-Bernard, Clearance Clerk. [FR Doc. 2020–10473 Filed 5–14–20; 8:45 am] BILLING CODE 4915–01–P VerDate Sep<11>2014 17:09 May 14, 2020 Jkt 250001 SURFACE TRANSPORTATION BOARD [Docket No. FD 36402] Fortress Investment Group LLC— Exemption for Intra-Corporate Family Transaction—Ohio River Partners Shareholder LLC & Katahdin Railcar Services LLC Fortress Investment Group LLC (Fortress), for the benefit of Fortress Transportation and Infrastructure Investors LLC (FTAI), Ohio River Partners Shareholder LLC (ORPS), a Class III carrier, and Katahdin Railcar Services LLC (KRS), a noncarrier (collectively, the Parties),1 filed a verified notice of exemption for an intra-corporate family transaction under 49 CFR 1180.2(d)(3), which exempts from the prior approval requirements of 49 U.S.C. 11323 ‘‘[t]ransactions within a corporate family that do not result in adverse changes in service levels, significant operational changes, or a change in the competitive balance with carriers outside the corporate family.’’ 49 CFR 1180.2(d)(3). Under the proposed transaction, KRS will lease from ORPS a 12.2-mile rail line between milepost 60.5 at or near Powhatan Point, Ohio, and milepost 72.7 at or near Hannibal, Ohio (the Omal Line), thereby becoming a Class III rail carrier.2 The notice states that ORPS satisfies its common carrier obligation by engaging Central Maine & Quebec Railway US, Inc. (CMQR), to operate the Omal Line on a contract basis. The Parties state that ORPS affiliate KRS will operate the Omal Line upon the June 30, 2020 termination of the contract between OPRS and CMQR.3 According to the Parties, the transaction will facilitate an orderly transition of rail operations and provide for uninterrupted rail service to customers located on and along the Omal Line. The notice states that KRS intends to 1 The verified notice states that FTAI, which is managed by an affiliate of Fortress, indirectly owns a majority equity interest in ORPS and also indirectly owns KRS. FTAI, ORPS, and KRS all are Delaware limited liability companies. 2 In 2016, Ohio River Partners LLC (ORP) obtained an exemption to acquire and operate the Omal Line. See Ohio River Partners LLC—Acquis. & Operation Exemption—Hannibal Dev., LLC, FD 35984 (STB served Apr. 1, 2016). In 2017, ORP was authorized to be merged into its corporate parent, ORPS. See Ohio River Partners Shareholders LLC— Exemption for Intra-Corporate Family Transaction—Ohio River Partners, LLC, FD 36152 (STB served Dec. 22, 2017). 3 The notice states that FTAI sold CMQR to Soo Line Corporation, an indirect wholly owned subsidiary of Canadian Pacific Railway Company (CP), and that CMQR is no longer an affiliate of ORPS. CP’s control of CMQR was authorized in Soo Line Corp.—Control—Central Maine & Quebec Railway US, FD 36368 (STB served May 4, 2020). PO 00000 Frm 00111 Fmt 4703 Sfmt 4703 offer employment to the same CMQR crews that currently operate trains over the Omal Line. Upon consummation of the transaction, KRS will acquire the right and common carrier obligation to operate the Omal Line pursuant to the lease between ORPS and KRS. Unless stayed, the exemption will be effective on May 30, 2020 (30 days after the verified notice was filed). The Parties state that they intend to consummate the proposed transaction as soon as practicable after that date. The Parties state that the transaction will not result in adverse changes in service levels, significant operational changes, or a change in the competitive balance with carriers outside the corporate family. Therefore, the transaction is exempt from the prior approval requirements of 49 U.S.C. 11323. See 49 CFR 1180.2(d)(3). 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. However, 49 U.S.C. 11326(c) does not provide for labor protection for transactions under 49 U.S.C. 11324 and 11325 that involve only Class III rail carriers. Accordingly, the Board may not impose labor protective conditions here because all of the carriers involved are Class III rail carriers. 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 no later than May 22, 2020 (at least seven days before the exemption becomes effective). All pleadings, referring to Docket No. FD 36402, must be filed with the Surface Transportation Board either via e-filing or in writing addressed to 395 E Street, SW, Washington, DC 20423– 0001. In addition, one copy of each pleading must be served on the Parties’ representative, Terence M. Hynes, Sidley Austin LLP, 1501 K St NW, Washington, DC 20005. According to the Parties, this action is categorically excluded from environmental review under 49 CFR 1105.6(c) and historic reporting under 49 CFR 1105.8(b). Board decisions and notices are available at www.stb.gov. Decided: May 11, 2020. E:\FR\FM\15MYN1.SGM 15MYN1 Federal Register / Vol. 85, No. 95 / Friday, May 15, 2020 / Notices By the Board, Allison C. Davis, Director, Office of Proceedings. Aretha Laws-Byrum, Clearance Clerk. [FR Doc. 2020–10428 Filed 5–14–20; 8:45 am] BILLING CODE 4915–01–P OFFICE OF THE UNITED STATES TRADE REPRESENTATIVE Notice of Product Exclusion Extensions: China’s Acts, Policies, and Practices Related to Technology Transfer, Intellectual Property, and Innovation Office of the United States Trade Representative. ACTION: Notice of product exclusion extensions. AGENCY: Effective July 6, 2018, the U.S. Trade Representative imposed additional duties on goods of China with an annual trade value of approximately $34 billion as part of the action in the Section 301 investigation of China’s acts, policies, and practices related to technology transfer, intellectual property, and innovation. The U.S. Trade Representative initiated the exclusion process in July 2018 and, to date, has granted 10 sets of exclusions under the $34 billion action. The fourth set of exclusions was published in May 2019 and will expire in May 2020. On March 12, 2020, the U.S. Trade Representative established a process for the public to comment on whether to extend particular exclusions granted in May 2019 for up to 12 months. This notice announces the U.S. Trade Representative’s determination to extend certain exclusions until December 31, 2020. DATES: The product exclusion extensions announced in this notice will apply as of May 14, 2020, and extend until December 31, 2020. U.S. Customs and Border Protection will issue instructions on entry guidance and implementation. FOR FURTHER INFORMATION CONTACT: For general questions about this notice, contact Assistant General Counsels Philip Butler or Benjamin Allen, or Director of Industrial Goods Justin Hoffmann at (202) 395–5725. For specific questions on customs classification or implementation of the product exclusions identified in the Annex to this notice, contact traderemedy@cbp.dhs.gov. SUPPLEMENTARY INFORMATION: jbell on DSKJLSW7X2PROD with NOTICES SUMMARY: A. Background For background on the proceedings in this investigation, please see prior VerDate Sep<11>2014 17:09 May 14, 2020 Jkt 250001 notices including: 82 FR 40213 (August 23, 2017), 83 FR 14906 (April 6, 2018), 83 FR 28710 (June 20, 2018), 83 FR 32181 (July 11, 2018), 83 FR 67463 (December 28, 2018), 84 FR 11152 (March 25, 2019), 84 FR 16310 (April 18, 2019), 84 FR 21389 (May 14, 2019), 84 FR 25895 (June 4, 2019), 84 FR 32821 (July 9, 2019), 84 FR 43304 (August 20, 2019), 84 FR 46212 (September 3, 2019), 84 FR 49564 (September 20, 2019), 84 FR 52567 (October 2, 2019), 84 FR 58427 (October 31, 2019), 84 FR 70616 (December 23, 2019), 84 FR 72102 (December 30, 2019), 85 FR 6687 (February 5, 2020), 85 FR 12373 (March 2, 2020), 85 FR 16181 (March 20, 2020), and 85 FR 24081 (April 30, 2020). Effective July 6, 2018, the U.S. Trade Representative imposed additional 25 percent duties on goods of China classified in 818 8-digit subheadings of the Harmonized Tariff Schedule of the United States (HTSUS), with an approximate annual trade value of $34 billion. See 83 FR 28710 (the $34 billion action). The U.S. Trade Representative’s determination included a decision to establish a process by which U.S. stakeholders could request exclusion of particular products classified within an 8-digit HTSUS subheading covered by the $34 billion action from the additional duties. The U.S. Trade Representative issued a notice setting out the process for the product exclusions and opened a public docket. See 83 FR 32181 (the July 11 notice). In May 2019, the U.S. Trade Representative granted a set of exclusion requests, which expire on May 14, 2020. See 84 FR 21389 (the May 14 notice). On March 2, 2020, the U.S. Trade Representative invited the public to comment on whether to extend by up to 12 months, particular exclusions granted in the May 14 notice. See 85 FR 12373 (the March 2 notice). Under the March 2 notice, commenters were asked to address whether the particular product and/or a comparable product is available from sources in the United States and/or in third countries; any changes in the global supply chain since July 2018 with respect to the particular product, or any other relevant industry developments; and efforts, if any, importers or U.S. purchasers have undertaken since July 2018 to source the product from the United States or third countries. In addition, commenters who were importers and/or purchasers of the products covered by an exclusion were asked to provide information regarding their efforts since July 2018 to source the product from the United States or third countries; the value and quantity PO 00000 Frm 00112 Fmt 4703 Sfmt 4703 29503 of the Chinese-origin product covered by the specific exclusion request purchased in 2018, the first half of 2018, and the first half of 2019, and whether these purchases are from a related company; whether Chinese suppliers have lowered their prices for products covered by the exclusion following the imposition of duties; the value and quantity of the product covered by the exclusion purchased from domestic and third country sources in 2018, the first half of 2018 and the first half of 2019; the commenter’s gross revenue for 2018, the first half of 2018, and the first half of 2019; whether the Chinese-origin product of concern is sold as a final product or as an input; whether the imposition of duties on the products covered by the exclusion will result in severe economic harm to the commenter or other U.S. interests; and any additional information in support or in opposition of the extending the exclusion. The March 2 notice required the submission of comments no later than April 12, 2020. B. Determination To Extend Certain Exclusions Based on evaluation of the factors set out in the July 11 notice and March 2 notice, which are summarized above, pursuant to sections 301(b), 301(c), and 307(a) of the Trade Act of 1974, as amended, and in accordance with the advice of the interagency Section 301 Committee, the U.S. Trade Representative has determined to extend certain product exclusions covered by the May 14 notice, as set out in the Annex to this notice. The March 2 notice provided that the U.S. Trade Representative would consider extensions of up to 12 months. In light of the cumulative effect of current and possible future exclusions or extensions of exclusions on the effectiveness of the action taken in this investigation, the U.S. Trade Representative has determined to extend the exclusions in the Annex to this notice for less than 12 months— until December 31, 2020. To date, the U.S. Trade Representative has granted more than 6,200 exclusion requests, has extended some of these exclusions, and may consider further extensions of exclusions. Furthermore, more than 8,600 requests are pending on the products covered by the action taken on August 20, 2019. The U.S. Trade Representative will take account of the cumulative effect of exclusions in considering the possible further extension of the exclusions covered by this notice, as well as possible extensions of exclusions of other E:\FR\FM\15MYN1.SGM 15MYN1

Agencies

[Federal Register Volume 85, Number 95 (Friday, May 15, 2020)]
[Notices]
[Pages 29502-29503]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2020-10428]


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SURFACE TRANSPORTATION BOARD

[Docket No. FD 36402]


Fortress Investment Group LLC--Exemption for Intra-Corporate 
Family Transaction--Ohio River Partners Shareholder LLC & Katahdin 
Railcar Services LLC

    Fortress Investment Group LLC (Fortress), for the benefit of 
Fortress Transportation and Infrastructure Investors LLC (FTAI), Ohio 
River Partners Shareholder LLC (ORPS), a Class III carrier, and 
Katahdin Railcar Services LLC (KRS), a noncarrier (collectively, the 
Parties),\1\ filed a verified notice of exemption for an intra-
corporate family transaction under 49 CFR 1180.2(d)(3), which exempts 
from the prior approval requirements of 49 U.S.C. 11323 
``[t]ransactions within a corporate family that do not result in 
adverse changes in service levels, significant operational changes, or 
a change in the competitive balance with carriers outside the corporate 
family.'' 49 CFR 1180.2(d)(3).
---------------------------------------------------------------------------

    \1\ The verified notice states that FTAI, which is managed by an 
affiliate of Fortress, indirectly owns a majority equity interest in 
ORPS and also indirectly owns KRS. FTAI, ORPS, and KRS all are 
Delaware limited liability companies.
---------------------------------------------------------------------------

    Under the proposed transaction, KRS will lease from ORPS a 12.2-
mile rail line between milepost 60.5 at or near Powhatan Point, Ohio, 
and milepost 72.7 at or near Hannibal, Ohio (the Omal Line), thereby 
becoming a Class III rail carrier.\2\
---------------------------------------------------------------------------

    \2\ In 2016, Ohio River Partners LLC (ORP) obtained an exemption 
to acquire and operate the Omal Line. See Ohio River Partners LLC--
Acquis. & Operation Exemption--Hannibal Dev., LLC, FD 35984 (STB 
served Apr. 1, 2016). In 2017, ORP was authorized to be merged into 
its corporate parent, ORPS. See Ohio River Partners Shareholders 
LLC--Exemption for Intra-Corporate Family Transaction--Ohio River 
Partners, LLC, FD 36152 (STB served Dec. 22, 2017).
---------------------------------------------------------------------------

    The notice states that ORPS satisfies its common carrier obligation 
by engaging Central Maine & Quebec Railway US, Inc. (CMQR), to operate 
the Omal Line on a contract basis. The Parties state that ORPS 
affiliate KRS will operate the Omal Line upon the June 30, 2020 
termination of the contract between OPRS and CMQR.\3\ According to the 
Parties, the transaction will facilitate an orderly transition of rail 
operations and provide for uninterrupted rail service to customers 
located on and along the Omal Line. The notice states that KRS intends 
to offer employment to the same CMQR crews that currently operate 
trains over the Omal Line. Upon consummation of the transaction, KRS 
will acquire the right and common carrier obligation to operate the 
Omal Line pursuant to the lease between ORPS and KRS.
---------------------------------------------------------------------------

    \3\ The notice states that FTAI sold CMQR to Soo Line 
Corporation, an indirect wholly owned subsidiary of Canadian Pacific 
Railway Company (CP), and that CMQR is no longer an affiliate of 
ORPS. CP's control of CMQR was authorized in Soo Line Corp.--
Control--Central Maine & Quebec Railway US, FD 36368 (STB served May 
4, 2020).
---------------------------------------------------------------------------

    Unless stayed, the exemption will be effective on May 30, 2020 (30 
days after the verified notice was filed). The Parties state that they 
intend to consummate the proposed transaction as soon as practicable 
after that date.
    The Parties state that the transaction will not result in adverse 
changes in service levels, significant operational changes, or a change 
in the competitive balance with carriers outside the corporate family. 
Therefore, the transaction is exempt from the prior approval 
requirements of 49 U.S.C. 11323. See 49 CFR 1180.2(d)(3).
    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. However, 49 U.S.C. 11326(c) 
does not provide for labor protection for transactions under 49 U.S.C. 
11324 and 11325 that involve only Class III rail carriers. Accordingly, 
the Board may not impose labor protective conditions here because all 
of the carriers involved are Class III rail carriers.
    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 no later than May 22, 2020 
(at least seven days before the exemption becomes effective).
    All pleadings, referring to Docket No. FD 36402, must be filed with 
the Surface Transportation Board either via e-filing or in writing 
addressed to 395 E Street, SW, Washington, DC 20423-0001. In addition, 
one copy of each pleading must be served on the Parties' 
representative, Terence M. Hynes, Sidley Austin LLP, 1501 K St NW, 
Washington, DC 20005.
    According to the Parties, this action is categorically excluded 
from environmental review under 49 CFR 1105.6(c) and historic reporting 
under 49 CFR 1105.8(b).
    Board decisions and notices are available at www.stb.gov.

    Decided: May 11, 2020.


[[Page 29503]]


    By the Board, Allison C. Davis, Director, Office of Proceedings.
Aretha Laws-Byrum,
Clearance Clerk.
[FR Doc. 2020-10428 Filed 5-14-20; 8:45 am]
BILLING CODE 4915-01-P