STB Looks to change rail subsidy rules

[spuwho]

Per Trains:

STB seeks comments on subsidizing rail lines

http://trn.trains.com/news/news-wire/2015/12/17-stb-update

WASHINGTON — The Surface Transportation Board is seeking comment on how it should update its rules regarding service on a line a railroad wants to abandon. In a proposed rule published recently in the Federal Register, the STB is seeking comment on how to "improve that process and protect it against abuse."

The public has until Feb. 12, 2016 to submit a comment regarding the proposed review.

Under the current offers of financial assistance rules, financially responsible parties may temporarily subsidize rail service over a line that a carrier has sought to abandon. The financially responsible party — which could be a community, government or business, among others — could also offer to purchase the line and provide rail service itself. Currently, any offer of temporary subsidization must be approved by the STB. If the board believes the offer is legitimate, the abandonment is delayed for up to a year. If a community or business purchases a line they must offer service for at least two years and cannot sell the line for at least five.

https://www.federalregister.gov/articles/2015/12/14/2015-31347/offers-of-financial-assistance