Why apply to abandon 0.21 miles of track?

[MP57313]

In reading over another site that lists STB abandonment decisions, it seems strange that some lines file to abandon short segments of line. A recent one was for 0.21 miles of UP in Caribou County, Idaho. (STB AB-33 Sub 227X)
Why would they go to the trouble to apply for abandonment for such a small segment; does it reduce liability of some type?

[adrianspeeder]

Taxes maybe???

Adrianspeeder

[mudchicken]

Sold the 0.21 miles (1108' +/-) to Agrium, a mining company, the only shipper at the end of the line. UP still gets the biz, saves on taxes, gets extra income and reduced liability,.... good deal for UP. Hopefully a surveyor is involved to keep the lawyers and real estate people from screwing-up future boundary concerns.[banghead][banghead][banghead]

This is common practice on spurs and branch main tracks with most railroads. UP did it also with the Kersey Branch in Weld Co. Colorado as well. This is one of those "not always cases" Mark refers to..

[bobwilcox]

In this specific case it will stop a tradition of bickering about what constitutes appropriate maintance.

[ericsp]

Would I be correct in assuming that before Staggers a railroad might abandon a small section of a branch to make sure that no new shippers come on line that they would then have to, unprofitably, switch?

[mudchicken]

QUOTE: Originally posted by ericsp

Would I be correct in assuming that before Staggers a railroad might abandon a small section of a branch to make sure that no new shippers come on line that they would then have to, unprofitably, switch?

no

[BNSFNUT]

To sell the spur to another corperation while the spur was still active would subject the new owner to having to operate is as a railroad subject to FRA rules, by abandoning it first it is no longer a part of a railroad, it then it is a simple land transfer. Good for both corperations.

[MP57313]

Thanks for the responses. It did not occur to me that the shipper would take over ownership of the spur. I've probably seen these in other areas, where is a shipper is located at the "end of track".

[ericsp]

QUOTE: Originally posted by mudchicken

QUOTE: Originally posted by ericsp

Would I be correct in assuming that before Staggers a railroad might abandon a small section of a branch to make sure that no new shippers come on line that they would then have to, unprofitably, switch?

no

Let us say that pre-Staggers there is a branch line that is owned and operated common carrier railroad. Then, the customer at the end of the active tracks closes the plant or changes to trucks only. About that time, another company anounces plans to either build a plant or move into an abandoned plant near the end of the line. The railroad figures the traffic to this plant would not pay for the maintenance on the line from the last customer to the future customer. I would guess that the railroad would not want this business. What would they have done?

[kenneo]

QUOTE: Originally posted by M.W. Hemphill

They would apply for abandonment, and abide by the decision of the ICC thereof.

The condition of one customer leaving and another appearing, with or without overlap, is irrelevant. The railroad must apply to the ICC for abandonment in all cases. Everyone has an opportunity to protest. If the ICC concludes that abandonment does not harm the public good and convenience, abandonment is allowed. If it concludes otherwise, it is disallowed. The lack of protest did not necessarily mean that abandonment was allowed, and the presence of protest did not necessarily mean that abandonment was disallowed. The ICC looked at whether the business present and in the forseeable future would pay for the cost of upkeep on the line, plus cost of service. If not, it usually allowed abandonment. And there were a lot of abandonments under ICC aegis.

Although the following was usually a state function and not federal, manned (open) agencies are also included in such procedures. If an agency is located on the abandoned portion, it is automatically included; should the railroad desire to close an agency and operate there as a closed (pre-pay) station, they must file for closure ("abandonment of the agency") and transfer the responsibility to an open office using the closure procedure.

All stations that are not manned (open) are, by definition, pre-pay (closed). There is, of course, a tariff listing such places. It is "Leland's Open and Pre-Pay". You would probably hear station service folks call it "The Open and Shut".

[MP57313]

QUOTE: Originally posted by M.W. Hemphill

Be careful of terminology.
When you say "the spur was still active" you mean "the main track was still active."
What was abandoned in this case (and in most abandonment cases) was a section of main track, not a spur.

What I had envisioned was a case similar to Creshaw Lumber on the UP (ex-PE) in Gardena, CA where a former main line, cut back pre-WW II, now terminates inside a lumber yard. While I don't know if that line is still considered a "main line" it appears to be a spur {from a layman's point-of-view}.
for more clarification: If an 'industrial lead' is abandoned....is the 'industrial lead' considered part of a main line? That term is used on cut-back former main lines...
Mike P

[mudchicken]

MP: Those apply on a case by case basis, ....usually a function of length, geography and or # of customers served. How does it affect Interstate commerce? How was that industrial lead originally established? ....Case In Point, Mookie's Lincoln Lumber fiasco.

[Anonymous]

Got abetter question. Why sell portions of main line like csx did in virginia to a short line? Csx has a program of selling main line in the B&O cluster. It is my impression that by doing this they still maintain control of the revenue, but don't have to maintain the track or maintain it to ahigher standard. It is also my impression that is easier for a short line to abandon the track. In some cases the short lines are still listed on the csx home page, check csx.com and search for short lines in the index. bigcl64.