Zichlinski_dh.doc

June 9, 2000

Marleen Zichlinski, Attorney Advisor
U.S. Department of Interior
Office of the Solicitor
500 NE Multnomah, Ste. 607
Portland, OR 97232

Re: Abandonment of the Camas Prairie Grangeville Line in Lewis, Idaho and Nez Perce Counties, Idaho

Dear Marleen:

Several weeks ago we discussed the reversionary characteristics of railroad right-of-way regarding Camas Prairie RailNet’s intent to abandon the Grangeville line in Idaho. As you know, a substantial portion of this rail line traverses the Nez Perce Indian Reservation. Enclosed for your information is the Idaho Public Utilities Commission’s Notice of Public Hearing that it intends to hold on June 19, 2000, in Craigmont, Idaho.

In the Railroad’s Abandonment Application filed with the Surface Transportation Board (STB), Camas Prairie maintains that there are about 1,324 acres of right-of-way for the line. Of that area, the Railroad claims that it owns “in fee” approximately 78.5%, or 1,039 acres. The Railroad also states that 21.47% of the underlying real estate “is subject to reversionary interests. More specifically, 11.85% of the total land consists of reversionary easements and another 9.21% of the land represents reversionary Federal Land Grants.” V.S. of Kenneth Young (App. Exh. Q) (enclosed). I estimate that approximately 47 miles of the 66.8 mile rail line is located within the boundaries of the Nez Perce Indian Reservation. I have also enclosed a copy of the Railroad’s complete real estate appraisal for your information.

I would be interested to know whether the Tribe or the Department of Interior agrees with the Railroad’s assertions regarding the amount or proportion of reversionary ROW property. The Railroad received the property via a “Quitclaim Deed” in April 1998 from the Burlington Northern Santa Fe Railway Company for $10.00 “and other valuable consideration.” The quitclaim deed is dated April 13, 1998.

The deadline for filing comments with the STB is approximately July 10, 2000. To receive a complete copy of the Camas Prairie’s application and other documents, please contact John Heffner, Rea, Cross & Auchincloss, 1707 L Street NW Ste 570, Washington DC 20036, [phone].

I hope you find this information helpful. If you have any questions, I can be contact at [phone].

Sincerely yours,

Donald L. Howell, II
Deputy Attorney General

Enclosures

Vld/L:Zichlinski _dh
Marleen Zichlinski
06/09/00
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