Avalon Motor Coaches, LLC, and Avalon Transportation, LLC-Acquisition of Control-Kerrville Bus Company Inc., All West Coachlines, Inc., American Coach Lines of Atlanta, Inc., Coach Leasing, Inc., Cam Leasing, LLC, Coach USA, Inc., and Coach USA Administration, Inc., 83935-83937 [2024-24157]
Download as PDF
Federal Register / Vol. 89, No. 202 / Friday, October 18, 2024 / Notices
• Title of Information Collection:
Request for Overseas U.S. Citizen Vital
Records Services.
• OMB Control Number: 1405–0253.
• Type of Request: Revision of a
currently approved collection.
• Originating Office: Department of
State, Bureau of Consular Affairs,
Passport Services, Office of Program
Management and Operational Support
(CA/PPT/S/PMO).
• Form Number: DS–5542.
• Respondents: Individuals.
• Estimated Number of Respondents:
18,346.
• Estimated Number of Responses:
18,346.
• Average Time per Response: 40
minutes.
• Total Estimated Burden Time:
12,230 hours.
• Frequency: On Occasion.
• Obligation to Respond: Required to
Obtain a Benefit.
We are soliciting public comments to
permit the Department to:
• Evaluate whether the proposed
information collection is necessary for
the proper functions of the Department.
• Evaluate the accuracy of our
estimate of the time and cost burden for
this proposed collection, including the
validity of the methodology and
assumptions used.
• Enhance the quality, utility, and
clarity of the information to be
collected.
• Minimize the reporting burden on
those who are to respond, including the
use of automated collection techniques
or other forms of information
technology.
Please note that comments submitted
in response to this notice are public
record. Before including any detailed
personal information, you should be
aware that your comments as submitted,
including your personal information,
will be available for public review.
khammond on DSKJM1Z7X2PROD with NOTICES
Abstract of Proposed Collection
The Request for Overseas U.S. Citizen
Vital Records Services is submitted to
the Office of Records Management to
request certified or authenticated copies
of overseas U.S. citizen vital records
such as Consular Reports of Birth/Death
Abroad, Certificates of Witness to
Marriage, and Panama Canal Zone
documents pursuant to authorized
requests. Requests for correction,
amendment, or replacement of such
vital records may be made using this
form also.
Methodology
A PDF fillable form is available on the
Department’s website, travel.state.gov,
where it can be printed for manual
VerDate Sep<11>2014
16:48 Oct 17, 2024
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signature and submission. The Request
for Overseas U.S. Citizen Vital Records
Services form may be submitted by mail
to request certified or authenticated
copies of overseas U.S. citizen vital
records maintained by the Office of
Records Management.
83935
to: Surface Transportation Board, 395 E
Street SW, Washington, DC 20423–0001.
In addition, send one copy of comments
to Avalon’s representative: Barry M.
Weisz, Thompson Coburn LLP, 10100
Santa Monica Boulevard, Suite 500, Los
Angeles, CA 90067.
FOR
FURTHER INFORMATION CONTACT:
Amanda E. Smith,
Jonathon
Binet at (202) 245–0368. If you
Managing Director for Passport Support
require
an
accommodation under the
Operations, Bureau of Consular Affairs,
Americans with Disabilities Act, please
Passport Services, Department of State.
call (202) 245–0245.
[FR Doc. 2024–24116 Filed 10–17–24; 8:45 am]
SUPPLEMENTARY INFORMATION: According
BILLING CODE 4710–06–P
to the application,1 Avalon
Transportation is a California company
SURFACE TRANSPORTATION BOARD and Avalon Motor Coaches is a Texas
company. (Appl. 8.) The sole member of
[Docket No. MCF 21120]
both limited liability companies is
Virgin-Fish, a California company
Avalon Motor Coaches, LLC, and
owned by a sole shareholder, Jeffrey
Avalon Transportation, LLC—
Brush.2 (Id. at 8.) Avalon Transportation
Acquisition of Control—Kerrville Bus
and Avalon Motor Coaches both hold
Company Inc., All West Coachlines,
interstate authority to carry passengers.3
Inc., American Coach Lines of Atlanta, (Id. at 3.) According to the application,
Inc., Coach Leasing, Inc., Cam
Avalon Transportation and Avalon
Leasing, LLC, Coach USA, Inc., and
Motor Coaches operate chauffeured
Coach USA Administration, Inc.
service offices in California, New York,
New Jersey, and Pennsylvania, and
AGENCY: Surface Transportation Board.
motor coach offices in California,
ACTION: Notice tentatively approving
Arizona, and Texas. (Id. at 8.) The
and authorizing finance transaction.
application states that Avalon Motor
SUMMARY: On August 12, 2024, interstate Coaches focuses on the Texas Motor
passenger motor carriers Avalon
Coach division, while Avalon
Transportation, LLC (Avalon
Transportation focuses on chauffeured
Transportation), and Avalon Motor
services and the California Motor Coach
Coaches, LLC (Avalon Motor Coaches),
division. (Id. at 8–9.) The application
filed an application for control over
also states that Avalon Transportation
certain assets of the following Coach
provides service to clients in over 700
USA, Inc. (Coach USA) subsidiaries:
domestic and international locations
Kerrville Bus Company, Inc. (Kerrville); through its affiliate program. (Id. at 9.)
The application explains that in this
All West Coachlines, Inc. (All West);
transaction Avalon will purchase
American Coach Lines of Atlanta, Inc.
certain assets and good will of the
(ACL Atlanta); Coach Leasing, Inc.;
Coach USA Subsidiaries. (Id. at 4.) 4
CAM Leasing, LLC; and Coach USA
Administration, Inc. (collectively, Coach Specifically, Avalon Transportation will
acquire ‘‘the operating assets utilized in
USA Subsidiaries). On September 19,
the All West Coachlines, Inc. business
2024, Virgin-Fish, Inc. (Virgin-Fish),
segment,’’ and Avalon Motor Coaches
and Jeffrey Brush submitted a filing
will acquire ‘‘the operating assets
joining the application. (Avalon
utilized in the Kerrville Bus Company,
Transportation, Avalon Motor Coaches,
Virgin-Fish, and Jeffrey Brush will be
1 The application was supplemented on August
collectively referred to as ‘‘Avalon’’ or
20, 2024, and on September 19, 2024. Therefore, for
‘‘Applicants.’’) The Board is tentatively
purposes of determining the procedural schedule
approving and authorizing this
and statutory deadlines, the filing date of the
transaction. If no opposing comments
application is September 19, 2024. See 49 CFR
1182.4(a).
are timely filed, this notice will be the
2 More information about Avalon’s corporate
final Board action.
structure and ownership can be found in the
DATES: Comments must be filed by
application. (See Appl. 9.)
December 2, 2024. If any comments are
3 Further information, including U.S. Department
filed, Applicants may file a reply by
of Transportation (USDOT) numbers, motor carrier
numbers, and USDOT safety fitness ratings, can be
December 17, 2024. If no opposing
found in the application. (Id. at 3, 20.)
comments are filed by December 2,
4 Concurrent with the application in this docket,
2024, this notice shall be effective on
Avalon Transportation and Avalon Motor Coaches
December 3, 2024.
filed, in Docket No. MCF 21120 TA, a request under
49 U.S.C. 14303(i) and the Board’s regulations at 49
ADDRESSES: Comments, referring to
CFR 1182.7(b) to manage and operate the assets to
Docket No. MCF 21120, may be filed
be acquired on an interim basis pending approval
with the Board either via e-filing on the
of the acquisition. The Board granted that request
in a decision served on August 30, 2024.
Board’s website or in writing addressed
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83936
Federal Register / Vol. 89, No. 202 / Friday, October 18, 2024 / Notices
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Inc. and American Coachlines of
Atlanta, Inc. business segments.’’ (Id.) 5
According to the application, Coach
USA is a noncarrier Delaware
corporation headquartered in New
Jersey,6 and the passenger motor carriers
it controls provide services in various
locations. (Id. at 10.) The regulated
Coach USA Subsidiaries are:
• Kerrville, a Texas corporation
headquartered in San Antonio, Tex.,
that provides deluxe motorcoach
charters and shuttles, customized group
tour packages, casino trips, and
convention coordinating and planning,
(id. at 10–11);
• All West, a Texas corporation
headquartered in Sacramento, Cal., that
provides charter bus services in
California, charter tours including to
Nevada, and thruway bus services under
contract, (id.); and
• ACL Atlanta, a Texas corporation
headquartered in Norcross, Ga., that
provides charter bus services in Atlanta,
Ga., and the surrounding Southeast,
(id.).7
The remaining Coach USA
Subsidiaries do not hold operating
authority and are described as follows:
• Coach Leasing, Inc., an Illinois
corporation headquartered in Chicago,
Ill., (id. at 10);
• CAM Leasing, LLC, a Delaware
corporation headquartered in Paramus,
N.J., (id. at 11); and
• Coach USA Administration, Inc., a
Nevada corporation headquartered in
Paramus, (id.).
Under 49 U.S.C. 14303(b), the Board
must approve and authorize a
transaction that it finds consistent with
the public interest, taking into
consideration at least (1) the effect of the
proposed transaction on the adequacy of
transportation to the public, (2) the total
fixed charges resulting from the
proposed transaction, and (3) the
interest of affected carrier employees.
Applicants have submitted the
information required by 49 CFR 1182.2,
including information demonstrating
that the proposed transaction is
consistent with the public interest
under 49 U.S.C. 14303(b), see 49 CFR
5 The application states that real estate assets of
Kerrville will be purchased by Found Things, LLC,
a California company whose sole manager is Livery
Station, LLC, a New York company solely managed
by Jeffrey Brush. (Id. at 4, 8.) Applicants state that
Found Things, LLC, will not operate passenger
motor carrier service. (Id. at 4.)
6 More information about Coach USA’s corporate
structure and ownership can be found in the
application. (Id. at 10–11, Ex. 1.)
7 Further information about these passenger
motor carriers, including their USDOT numbers,
motor carrier numbers, and USDOT safety fitness
ratings, can be found in the application. (Id. at 3,
20.)
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16:48 Oct 17, 2024
Jkt 265001
1182.2(a)(7), and a jurisdictional
statement under 49 U.S.C. 14303(g) that
the aggregate gross operating revenues
of the involved carriers exceeded $2
million during the 12-month period
immediately preceding the filing of the
application, see 49 CFR 1182.2(a)(5).
Applicants assert that granting the
application would be consistent with
the public interest. (Id. at 12.) The
application states that Avalon will
maintain and improve the service
currently provided by the Coach USA
Subsidiaries. (Id. at 12–13.) According
to Applicants, Avalon will use its
experience to increase efficiency by
connecting its services to those of the
Coach USA Subsidiaries and by
integrating the subsidiaries’ services
into Avalon’s software platform. (Id. at
13.) Applicants also state that Avalon
will assume the Coach USA
Subsidiaries’ charter pricing agreements
and continue meeting the transportation
needs of the charter customers, who will
likely increase or improve their
transportation options through Avalon’s
expansion of services. (Id.) Further,
Applicants state that they intend to
improve the safety, comfort, and
reliability of transportation options by
purchasing new vehicles. (Id.)
Applicants also state that, absent the
proposed transaction, passenger
transportation options may decrease
because the Coach USA Subsidiaries
may be required to shut down
operations in certain markets. (Id.)
Applicants argue that the proposed
transaction will not adversely affect
competition in the markets where All
West and ACL Atlanta operate because
Avalon does not own or operate motor
carrier services or routes in those
markets. (Id. at 16.) Rather, according to
Applicants, the proposed transaction
will have a positive impact on
competition because All West and ACL
Atlanta would otherwise shut down
operations in those markets. (Id. at 19.)
Avalon’s operations overlap with
Kerrville’s operations in San Antonio,
Houston, and Dallas, Tex., but
Applicants argue that the proposed
transaction will not adversely impact
competition in those markets. (Id. at 16.)
Applicants estimate that Kerrville’s
current operations constitute only a
small fraction of the market in those
cities,8 where there is vigorous
8 Applicants estimate that Kerrville operates less
than 1% of the motor coaches in Dallas (one or two
buses), approximately 6% of the motor coaches in
Houston (14 buses), and less than 12% of the motor
coaches in San Antonio (23 buses). (Id. at 17 &
n.13.) Applicants estimate that post-transaction the
combined operations will constitute less than 12%
of the Houston market and approximately 21% of
the San Antonio market. (Id. at 18 (stating that there
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Fmt 4703
Sfmt 4703
competition from several other charter
services, as well as from public
transportation and private car
transportation. (Id. at 16–17.)
Applicants also state that demand for
charter service in Texas is expected to
increase. (Id. at 16.) Further, Applicants
assert that the transaction will have an
overall positive effect on competition in
the San Antonio and Houston
metropolitan areas because it will
prevent Kerrville from exiting those
markets. (Id. at 18.)
Applicants concede that this
transaction may result in additional
fixed costs in the form of additional
interest charges but assert that any such
increase is not likely to impact the
public. (Id. at 14.) Applicants state that
additional fixed costs may result
because acquisition of the Coach USA
Subsidiaries will be financed through a
combination of cash and term notes, and
Avalon will assume the existing debt of
the subsidiaries. (Id. at 13–14.)
However, Avalon intends to refinance
the assumed debt to improve the terms
of the loans. (Id. at 14.) Applicants
further represent that the proposed
transaction will not adversely impact
the interests of the Coach USA
Subsidiaries’ employees. (Id. at 14–15.)
According to the application, Avalon
has agreed to offer employment to no
less than 95% of the employees at each
acquired location operated by the Coach
USA Subsidiaries, provided that the
employees meet certain eligibility
standards. (Id. at 14.) Further, Avalon
intends to extend employment offers
with substantially equivalent salary,
benefits, and seniority to nearly all the
eligible employees of the Coach USA
Subsidiaries at the acquired locations.
(Id.) Applicants state that absent the
proposed transaction all such
employees would likely lose their jobs.
(Id. at 15.) Applicants further state that,
although most of the employees it will
retain are bus drivers, Avalon will also
extend employment offers to
maintenance, operations, safety,
management, and human resource
employees of the Coach USA
Subsidiaries. (Id. at 14; see also id. at
18–19.)
Based on Applicants’ representations,
the Board finds that the acquisition as
proposed in the application is
consistent with the public interest and
should be tentatively approved and
authorized. If any opposing comments
are timely filed, these findings will be
deemed vacated and, unless a final
decision can be made on the record as
developed, a procedural schedule will
will be no competitive impact in the Dallas
metropolitan area).)
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Federal Register / Vol. 89, No. 202 / Friday, October 18, 2024 / Notices
be adopted to reconsider the
application. See 49 CFR 1182.6. If no
opposing comments are filed by the
expiration of the comment period, this
notice will take effect automatically and
will be the final Board action in this
proceeding.
This action is categorically excluded
from environmental review under 49
CFR 1105.6(c).
Board decisions and notices are
available at www.stb.gov.
It is ordered:
1. The proposed transaction is
approved and authorized, subject to the
filing of opposing comments.
2. If opposing comments are timely
filed, the findings made in this notice
will be deemed vacated.
3. This notice will be effective
December 3, 2024, unless opposing
comments are filed by December 2,
2024. If any comments are filed,
Applicants may file a reply by
December 17, 2024.
4. A copy of this notice will be served
on: (1) the U.S. Department of
Transportation, Federal Motor Carrier
Safety Administration, 1200 New Jersey
Avenue SE, Washington, DC 20590; (2)
the U.S. Department of Justice, Antitrust
Division, 10th Street & Pennsylvania
Avenue NW, Washington, DC 20530;
and (3) the U.S. Department of
Transportation, Office of the General
Counsel, 1200 New Jersey Avenue SE,
Washington, DC 20590.
Decided: October 15, 2024.
By the Board, Board Members Fuchs,
Hedlund, Primus, and Schultz.
Kenyatta Clay,
Clearance Clerk.
[FR Doc. 2024–24157 Filed 10–17–24; 8:45 am]
BILLING CODE 4915–01–P
DEPARTMENT OF TRANSPORTATION
Federal Motor Carrier Safety
Administration
I. Public Participation and Request for
Comments
[Docket No. FMCSA–2019–0159]
Parts and Accessories Necessary for
Safe Operation; Application for
Renewal of Exemption; Vision Systems
North America, Inc.
Federal Motor Carrier Safety
Administration (FMCSA), Department
of Transportation (DOT).
ACTION: Notice of application for
renewal of exemption; request for
comments.
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AGENCY:
FMCSA announces that it has
received an application from Vision
Systems North America, Inc. (VSNA) for
a renewal of its exemption allowing
SUMMARY:
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16:48 Oct 17, 2024
Jkt 265001
motor carriers to operate commercial
motor vehicles (CMVs) with the
company’s Smart-Vision high-definition
camera monitoring system (SmartVision) installed as an alternative to the
two rear-vision mirrors required by the
Federal Motor Carrier Safety
Regulations (FMCSRs). VSNA currently
holds an exemption for the period
January 15, 2020, through January 15,
2025, and requests a five-year renewal
of the exemption. FMCSA requests
public comment on VSNA’s request for
exemption.
DATES: Comments must be received on
or before November 18, 2024.
ADDRESSES: You may submit comments
identified by docket number FMCSA–
2019–0159 using any of the following
methods:
• Federal eRulemaking Portal: Go to
https://www.regulations.gov/docket/
FMCSA-2019-0159/document. Follow
the online instructions for submitting
comments.
• Mail: Dockets Operations, U.S.
Department of Transportation, 1200
New Jersey Avenue SE, West Building,
Ground Floor, Washington, DC 20590–
0001.
• Hand Delivery or Courier: Dockets
Operations, U.S. Department of
Transportation, 1200 New Jersey
Avenue SE, West Building, Ground
Floor, Washington, DC 20590–0001,
between 9 a.m. and 5 p.m. ET, Monday
through Friday, except Federal holidays.
• Fax: (202) 493–2251.
FOR FURTHER INFORMATION CONTACT: Mr.
David Sutula, Chief, Vehicle and
Roadside Operations Division, Office of
Carrier, Driver, and Vehicle Safety,
FMCSA, 1200 New Jersey Avenue SE,
Washington, DC 20590–0001; (202) 366–
9209; MCPSV@dot.gov. If you have
questions on viewing or submitting
material to the docket, call Dockets
Operations at (202) 366–9826.
SUPPLEMENTARY INFORMATION:
A. Submitting Comments
If you submit a comment, please
include the docket number for this
notice (FMCSA–2019–0159), indicate
the specific section of this document to
which the comment applies, and
provide a reason for suggestions or
recommendations. You may submit
your comments and material online or
by fax, mail, or hand delivery, but
please use only one of these means.
FMCSA recommends that you include
your name and a mailing address, an
email address, or a phone number in the
body of your document so the Agency
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83937
can contact you if it has questions
regarding your submission.
To submit your comment online, go to
https://www.regulations.gov/docket/
FMCSA-2019-0159/document, click on
this notice, click ‘‘Comment,’’ and type
your comment into the text box on the
following screen. Choose whether you
are submitting your comment as an
individual or on behalf of a third party
and then submit.
If you submit your comments by mail
or hand delivery, submit them in an
unbound format, no larger than 8 1⁄2 by
11 inches, suitable for copying and
electronic filing.
If you submit comments by mail and
would like to know that they reached
the facility, please enclose a stamped,
self-addressed postcard or envelope.
FMCSA will consider all comments
and material received during the
comment period. Comments received
after the comment closing date will be
filed in the public docket and will be
considered to the extent practicable.
Confidential Business Information (CBI)
CBI is commercial or financial
information that is both customarily and
actually treated as private by its owner.
Under the Freedom of Information Act
(5 U.S.C. 552), CBI is exempt from
public disclosure. If your comments
responsive to the notice contain
commercial or financial information
that is customarily treated as private,
that you actually treat as private, and
that is relevant or responsive to the
notice, it is important that you clearly
designate the submitted comments as
CBI. Please mark each page of your
submission that constitutes CBI as
‘‘PROPIN’’ to indicate it contains
proprietary information. FMCSA will
treat such marked submissions as
confidential under the Freedom of
Information Act, and they will not be
placed in the public docket of the
notice. Submissions containing CBI
should be sent to Brian Dahlin, Chief,
Regulatory Evaluation Division, Office
of Policy, FMCSA, 1200 New Jersey
Avenue SE, Washington, DC 20590–
0001 or via email at brian.g.dahlin@
dot.gov. At this time, you need not send
a duplicate hardcopy of your electronic
CBI submissions to FMCSA
headquarters. Any comments FMCSA
receives not specifically designated as
CBI will be placed in the public docket
for this notice.
B. Viewing Comments and Documents
To view any documents mentioned as
being available in the docket, go to
https://www.regulations.gov/docket/
FMCSA-2019-0159/document and
choose the document to review. To view
E:\FR\FM\18OCN1.SGM
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Agencies
[Federal Register Volume 89, Number 202 (Friday, October 18, 2024)]
[Notices]
[Pages 83935-83937]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2024-24157]
=======================================================================
-----------------------------------------------------------------------
SURFACE TRANSPORTATION BOARD
[Docket No. MCF 21120]
Avalon Motor Coaches, LLC, and Avalon Transportation, LLC--
Acquisition of Control--Kerrville Bus Company Inc., All West
Coachlines, Inc., American Coach Lines of Atlanta, Inc., Coach Leasing,
Inc., Cam Leasing, LLC, Coach USA, Inc., and Coach USA Administration,
Inc.
AGENCY: Surface Transportation Board.
ACTION: Notice tentatively approving and authorizing finance
transaction.
-----------------------------------------------------------------------
SUMMARY: On August 12, 2024, interstate passenger motor carriers Avalon
Transportation, LLC (Avalon Transportation), and Avalon Motor Coaches,
LLC (Avalon Motor Coaches), filed an application for control over
certain assets of the following Coach USA, Inc. (Coach USA)
subsidiaries: Kerrville Bus Company, Inc. (Kerrville); All West
Coachlines, Inc. (All West); American Coach Lines of Atlanta, Inc. (ACL
Atlanta); Coach Leasing, Inc.; CAM Leasing, LLC; and Coach USA
Administration, Inc. (collectively, Coach USA Subsidiaries). On
September 19, 2024, Virgin-Fish, Inc. (Virgin-Fish), and Jeffrey Brush
submitted a filing joining the application. (Avalon Transportation,
Avalon Motor Coaches, Virgin-Fish, and Jeffrey Brush will be
collectively referred to as ``Avalon'' or ``Applicants.'') The Board is
tentatively approving and authorizing this transaction. If no opposing
comments are timely filed, this notice will be the final Board action.
DATES: Comments must be filed by December 2, 2024. If any comments are
filed, Applicants may file a reply by December 17, 2024. If no opposing
comments are filed by December 2, 2024, this notice shall be effective
on December 3, 2024.
ADDRESSES: Comments, referring to Docket No. MCF 21120, may be filed
with the Board either via e-filing on the Board's website or in writing
addressed to: Surface Transportation Board, 395 E Street SW,
Washington, DC 20423-0001. In addition, send one copy of comments to
Avalon's representative: Barry M. Weisz, Thompson Coburn LLP, 10100
Santa Monica Boulevard, Suite 500, Los Angeles, CA 90067.
FOR FURTHER INFORMATION CONTACT: Jonathon Binet at (202) 245-0368. If
you require an accommodation under the Americans with Disabilities Act,
please call (202) 245-0245.
SUPPLEMENTARY INFORMATION: According to the application,\1\ Avalon
Transportation is a California company and Avalon Motor Coaches is a
Texas company. (Appl. 8.) The sole member of both limited liability
companies is Virgin-Fish, a California company owned by a sole
shareholder, Jeffrey Brush.\2\ (Id. at 8.) Avalon Transportation and
Avalon Motor Coaches both hold interstate authority to carry
passengers.\3\ (Id. at 3.) According to the application, Avalon
Transportation and Avalon Motor Coaches operate chauffeured service
offices in California, New York, New Jersey, and Pennsylvania, and
motor coach offices in California, Arizona, and Texas. (Id. at 8.) The
application states that Avalon Motor Coaches focuses on the Texas Motor
Coach division, while Avalon Transportation focuses on chauffeured
services and the California Motor Coach division. (Id. at 8-9.) The
application also states that Avalon Transportation provides service to
clients in over 700 domestic and international locations through its
affiliate program. (Id. at 9.)
---------------------------------------------------------------------------
\1\ The application was supplemented on August 20, 2024, and on
September 19, 2024. Therefore, for purposes of determining the
procedural schedule and statutory deadlines, the filing date of the
application is September 19, 2024. See 49 CFR 1182.4(a).
\2\ More information about Avalon's corporate structure and
ownership can be found in the application. (See Appl. 9.)
\3\ Further information, including U.S. Department of
Transportation (USDOT) numbers, motor carrier numbers, and USDOT
safety fitness ratings, can be found in the application. (Id. at 3,
20.)
---------------------------------------------------------------------------
The application explains that in this transaction Avalon will
purchase certain assets and good will of the Coach USA Subsidiaries.
(Id. at 4.) \4\ Specifically, Avalon Transportation will acquire ``the
operating assets utilized in the All West Coachlines, Inc. business
segment,'' and Avalon Motor Coaches will acquire ``the operating assets
utilized in the Kerrville Bus Company,
[[Page 83936]]
Inc. and American Coachlines of Atlanta, Inc. business segments.''
(Id.) \5\
---------------------------------------------------------------------------
\4\ Concurrent with the application in this docket, Avalon
Transportation and Avalon Motor Coaches filed, in Docket No. MCF
21120 TA, a request under 49 U.S.C. 14303(i) and the Board's
regulations at 49 CFR 1182.7(b) to manage and operate the assets to
be acquired on an interim basis pending approval of the acquisition.
The Board granted that request in a decision served on August 30,
2024.
\5\ The application states that real estate assets of Kerrville
will be purchased by Found Things, LLC, a California company whose
sole manager is Livery Station, LLC, a New York company solely
managed by Jeffrey Brush. (Id. at 4, 8.) Applicants state that Found
Things, LLC, will not operate passenger motor carrier service. (Id.
at 4.)
---------------------------------------------------------------------------
According to the application, Coach USA is a noncarrier Delaware
corporation headquartered in New Jersey,\6\ and the passenger motor
carriers it controls provide services in various locations. (Id. at
10.) The regulated Coach USA Subsidiaries are:
---------------------------------------------------------------------------
\6\ More information about Coach USA's corporate structure and
ownership can be found in the application. (Id. at 10-11, Ex. 1.)
---------------------------------------------------------------------------
Kerrville, a Texas corporation headquartered in San
Antonio, Tex., that provides deluxe motorcoach charters and shuttles,
customized group tour packages, casino trips, and convention
coordinating and planning, (id. at 10-11);
All West, a Texas corporation headquartered in Sacramento,
Cal., that provides charter bus services in California, charter tours
including to Nevada, and thruway bus services under contract, (id.);
and
ACL Atlanta, a Texas corporation headquartered in
Norcross, Ga., that provides charter bus services in Atlanta, Ga., and
the surrounding Southeast, (id.).\7\
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\7\ Further information about these passenger motor carriers,
including their USDOT numbers, motor carrier numbers, and USDOT
safety fitness ratings, can be found in the application. (Id. at 3,
20.)
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The remaining Coach USA Subsidiaries do not hold operating
authority and are described as follows:
Coach Leasing, Inc., an Illinois corporation headquartered
in Chicago, Ill., (id. at 10);
CAM Leasing, LLC, a Delaware corporation headquartered in
Paramus, N.J., (id. at 11); and
Coach USA Administration, Inc., a Nevada corporation
headquartered in Paramus, (id.).
Under 49 U.S.C. 14303(b), the Board must approve and authorize a
transaction that it finds consistent with the public interest, taking
into consideration at least (1) the effect of the proposed transaction
on the adequacy of transportation to the public, (2) the total fixed
charges resulting from the proposed transaction, and (3) the interest
of affected carrier employees. Applicants have submitted the
information required by 49 CFR 1182.2, including information
demonstrating that the proposed transaction is consistent with the
public interest under 49 U.S.C. 14303(b), see 49 CFR 1182.2(a)(7), and
a jurisdictional statement under 49 U.S.C. 14303(g) that the aggregate
gross operating revenues of the involved carriers exceeded $2 million
during the 12-month period immediately preceding the filing of the
application, see 49 CFR 1182.2(a)(5).
Applicants assert that granting the application would be consistent
with the public interest. (Id. at 12.) The application states that
Avalon will maintain and improve the service currently provided by the
Coach USA Subsidiaries. (Id. at 12-13.) According to Applicants, Avalon
will use its experience to increase efficiency by connecting its
services to those of the Coach USA Subsidiaries and by integrating the
subsidiaries' services into Avalon's software platform. (Id. at 13.)
Applicants also state that Avalon will assume the Coach USA
Subsidiaries' charter pricing agreements and continue meeting the
transportation needs of the charter customers, who will likely increase
or improve their transportation options through Avalon's expansion of
services. (Id.) Further, Applicants state that they intend to improve
the safety, comfort, and reliability of transportation options by
purchasing new vehicles. (Id.) Applicants also state that, absent the
proposed transaction, passenger transportation options may decrease
because the Coach USA Subsidiaries may be required to shut down
operations in certain markets. (Id.)
Applicants argue that the proposed transaction will not adversely
affect competition in the markets where All West and ACL Atlanta
operate because Avalon does not own or operate motor carrier services
or routes in those markets. (Id. at 16.) Rather, according to
Applicants, the proposed transaction will have a positive impact on
competition because All West and ACL Atlanta would otherwise shut down
operations in those markets. (Id. at 19.) Avalon's operations overlap
with Kerrville's operations in San Antonio, Houston, and Dallas, Tex.,
but Applicants argue that the proposed transaction will not adversely
impact competition in those markets. (Id. at 16.) Applicants estimate
that Kerrville's current operations constitute only a small fraction of
the market in those cities,\8\ where there is vigorous competition from
several other charter services, as well as from public transportation
and private car transportation. (Id. at 16-17.) Applicants also state
that demand for charter service in Texas is expected to increase. (Id.
at 16.) Further, Applicants assert that the transaction will have an
overall positive effect on competition in the San Antonio and Houston
metropolitan areas because it will prevent Kerrville from exiting those
markets. (Id. at 18.)
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\8\ Applicants estimate that Kerrville operates less than 1% of
the motor coaches in Dallas (one or two buses), approximately 6% of
the motor coaches in Houston (14 buses), and less than 12% of the
motor coaches in San Antonio (23 buses). (Id. at 17 & n.13.)
Applicants estimate that post-transaction the combined operations
will constitute less than 12% of the Houston market and
approximately 21% of the San Antonio market. (Id. at 18 (stating
that there will be no competitive impact in the Dallas metropolitan
area).)
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Applicants concede that this transaction may result in additional
fixed costs in the form of additional interest charges but assert that
any such increase is not likely to impact the public. (Id. at 14.)
Applicants state that additional fixed costs may result because
acquisition of the Coach USA Subsidiaries will be financed through a
combination of cash and term notes, and Avalon will assume the existing
debt of the subsidiaries. (Id. at 13-14.) However, Avalon intends to
refinance the assumed debt to improve the terms of the loans. (Id. at
14.) Applicants further represent that the proposed transaction will
not adversely impact the interests of the Coach USA Subsidiaries'
employees. (Id. at 14-15.) According to the application, Avalon has
agreed to offer employment to no less than 95% of the employees at each
acquired location operated by the Coach USA Subsidiaries, provided that
the employees meet certain eligibility standards. (Id. at 14.) Further,
Avalon intends to extend employment offers with substantially
equivalent salary, benefits, and seniority to nearly all the eligible
employees of the Coach USA Subsidiaries at the acquired locations.
(Id.) Applicants state that absent the proposed transaction all such
employees would likely lose their jobs. (Id. at 15.) Applicants further
state that, although most of the employees it will retain are bus
drivers, Avalon will also extend employment offers to maintenance,
operations, safety, management, and human resource employees of the
Coach USA Subsidiaries. (Id. at 14; see also id. at 18-19.)
Based on Applicants' representations, the Board finds that the
acquisition as proposed in the application is consistent with the
public interest and should be tentatively approved and authorized. If
any opposing comments are timely filed, these findings will be deemed
vacated and, unless a final decision can be made on the record as
developed, a procedural schedule will
[[Page 83937]]
be adopted to reconsider the application. See 49 CFR 1182.6. If no
opposing comments are filed by the expiration of the comment period,
this notice will take effect automatically and will be the final Board
action in this proceeding.
This action is categorically excluded from environmental review
under 49 CFR 1105.6(c).
Board decisions and notices are available at www.stb.gov.
It is ordered:
1. The proposed transaction is approved and authorized, subject to
the filing of opposing comments.
2. If opposing comments are timely filed, the findings made in this
notice will be deemed vacated.
3. This notice will be effective December 3, 2024, unless opposing
comments are filed by December 2, 2024. If any comments are filed,
Applicants may file a reply by December 17, 2024.
4. A copy of this notice will be served on: (1) the U.S. Department
of Transportation, Federal Motor Carrier Safety Administration, 1200
New Jersey Avenue SE, Washington, DC 20590; (2) the U.S. Department of
Justice, Antitrust Division, 10th Street & Pennsylvania Avenue NW,
Washington, DC 20530; and (3) the U.S. Department of Transportation,
Office of the General Counsel, 1200 New Jersey Avenue SE, Washington,
DC 20590.
Decided: October 15, 2024.
By the Board, Board Members Fuchs, Hedlund, Primus, and Schultz.
Kenyatta Clay,
Clearance Clerk.
[FR Doc. 2024-24157 Filed 10-17-24; 8:45 am]
BILLING CODE 4915-01-P