ITDPublicUse.dh.doc

BEFORE THE
SURFACE TRANSPORTATION BOARD

CAMAS PRAIRIE RAILNET, INC.—ABANDONMENT—IN LEWIS, NEZ PERCE AND IDAHO COUNTIES, IDAHO.
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DOCKET NO. AB-564

PROTEST
AND
REQUEST FOR PUBLIC USE CONDITION
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This protest is filed pursuant to 49 C.F.R. ( 1152.25 by the Idaho Public Utilities Commission (IPUC) on behalf of the State of Idaho. Idaho strongly opposes the abandonment application filed by Camas Prairie RailNet, Inc. (CSPR) on May 26, 2000. The IPUC is the agency created by state law to supervise and regulate all public utilities in this state including railroad corporations. Idaho law requires that the IPUC hold a public hearing on any proposed railroad abandonment. The purpose of the state hearing is to determine whether the abandonment would be adverse to Idaho’s public interest. If the IPUC finds that the abandonment would be adverse to the public interest and that the line has a potential for profitability, then it is authorized to participate in the Surface Transportation Board’s proceeding on behalf of the State of Idaho.

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income ranging from $2.6 to $7.1 million per year depending on the degree of transportation competitiveness in the region.” Id. at 2.
Governor Kempthorne, Director Mahn and others expressed concern about the increased number of heavy truck trips that would be caused by the loss of rail service. Given the mix of commodities, abandonment of the Grangeville line would concentrate these 18,000 truck trips during the fall harvest and beyond. Thus, trips would not be evenly spread throughout the year. In addition to the issues of public safety additional truck traffic will adversely affect highway and bridge maintenance costs. V.S. Mahn at 2.
State witness Dr. Denver Tolliver evaluated the impact abandonment would have to the potential highway and community-related issues. Using the conservative traffic level estimated by CSPR in the forecast year (2,621 cars), Dr. Tolliver determined that the combined effect of heavy trucks, long-trip distances, and utilization of some minor arterial collector highway “will result in an annualized incremental highway cost [to the State] of approximately $193,000.” V.S. Tolliver at 1. Using the shippers traffic data for the forecast year (2,966 cars), he calculated that annualized highway impact would be approximately $219,000. Id at 17. Although this range of incremental highway costs may be mitigated by an increase in revenue from truck fees, the net annual cost to the state and local highway system will likely result in annualized cost of between $187,000 and $213,000. Id. at 17.
Based upon the foregoing, it is clearly evident that the proposed abandonment of the Grangeville would have serious adverse impacts on rural and community development, the rural infrastructure and the Camas Prairie economy. The negative impacts would not only directly affect shippers but would seriously hamper economic recovery for this region, increase unemployment and poverty, and cause additional losses of income as well as infrastructure costs.
REQUESTS FOR PUBLIC USE CONDITION

Pursuant to 49 U.S.C. § 10905 and 49 C.F.R. 1152.28, the Idaho Transportation Department (ITD) requests issuance of a public use condition in this proceeding. ITD is a government agency vested with the authority to establish and maintain state highways within Idaho. Idaho Code §§ 40-501, 40-502. Although ITD believes that the abandonment should be denied, if the Board authorizes abandonment, then ITD seeks a public use condition. ITD maintains that portions of the rail right-of-way (ROW) is suitable for alternative public use, namely public highways.
ITD requests that the Board find the property is suitable for other public use and place the following condition on the abandonment:
An Order prohibiting the Camas Prairie RailNet from disposing of the rail corridor, other than the tracks, ties and signals equipment, except for public use on reasonable terms. Justification for this condition is that portions of the ROW are suitable for public highway use. The time period sought is 180 days from the effective date of the abandonment authorization, if granted.

ITD needs this much time to conduct negotiation with the carrier. In particular, ITD is interested in negotiating with the carrier for two general types of ROW property. The first consists of four existing locations where State Highway 95 crosses the Railroad ROW including: State Highway 95 at Grangeville; State Highway 95 at Craigmont; State Highway 95 at Tunnel No. 1; and State Highway 95 at Bridge No. 19. The second ROW property of interest is generally located between MP 0 and approximately MP 13. Imposition of a public use condition will allow ITD and the carrier to negotiate whether the adverse impacts of abandonment might be mitigated with augmentations to the State Highway system.
CONCLUSION AND REQUESTED RELIEF
As illustrated in this protest, shippers served by the Grangeville line want to retain rail service as indicated by the increase in traffic and their offers of concessions. There are serious discrepancies contained in the Application which warrant its denial. The State believes that this line is profitable now, that there is a demonstrated potential for profitability in the future, and that CSPR’s calculation of avoidable cost is not based on substantial and competent evidence. Here, CSPR has not met its burden of showing an actual operating cost or economic costs.
As amply demonstrated in the Protest, the abandonment of this line will have a serious, adverse impact on shippers, rural economy, and community development of the Camas Prairie. The enormous adverse impacts to shippers and the Camas Prairie region clearly outweigh the potential harm to CSPR. The present and future public convenience and necessity does not warrant abandonment of this line. Consequently, Idaho requests that the abandonment Application be denied.
RESPECTFULLY submitted this 10th day of July 2000.

Deputy Attorney General

PO Box 83720
472 West Washington
Boise, Idaho 83720-0074
[phone]

Attorney for Protestant, State of Idaho

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