Website: www.puc.idaho.gov
PUC won’t contest rail abandonment
Boise
– The Idaho Public Utilities Commission will not object to Union Pacific
Railroad’s intent to abandon a quarter-mile stretch of track in Caribou County.
The
railroad wants to sell that portion of track to Agrium, the only user of the
quarter-mile stretch. Agrium ships phosphate ore from a mining operation in Dry
Valley. Agrium wants to buy the track to allow it to assemble larger dedicated
trains and maximize its rail shipping activity.
The
commission conducted a public hearing on January 6. Officials from Agrium and
Union Pacific were represented at the hearing and on one testified against the
proposal.
Union
Pacific indicated it would file with the federal Surface Transportation Board
for an exemption that allows the railroad to abandon the rail line in as few as
30 days. To be eligible for an exemption, the railroad must certify that no
rail traffic has moved on the line for two years and there are no outstanding
complaints about lack of rail service.
While
the commission does not make rail abandonment decisions, state statute requires
the PUC to schedule a public hearing. The commission’s role is to determine if
the abandonment 1) adversely affects the area being served, 2) impairs the
access of Idaho shippers to vital goods and markets, and 3) whether the rail
line has the potential for profitability. If the commission determines the
proposed abandonment is not in the public interest, it files comments and
represents the state before the Surface Transportation Board. In this case, the
commission has elected not to file comments.
END