970728.docx

July 28, 1997
Ms. Marguerite McLaughlin
Democratic Leader, Idaho State Senate
State Capitol Bldg
PO Box 83720
Boise, ID 83720-0081
RE: Commission’s Regulation of Railroads Within the State of Idaho
Dear Senator McLaughlin:
Thank you for your letter of July 10, 1997 in which you express concern regarding the proposed sale of the Camas Prairie Railroad and the abandonment of rail lines in general.  I share your concerns regarding the effect that abandonments have on the economy and morale of Idaho’s small communities.  Unfortunately, however, because of the doctrine of federal supremacy, the Idaho Public Utilities Commission has limited ability to influence decisions made regarding the operation of railroad companies and the abandonment of railroad lines.  The authority to make decision regarding abandonments, for instance, rests exclusively with the federal Surface Transportation Board (STB).  
Idaho Code § 62-424 requires that this Commission conduct an investigation whenever a railroad proposes to abandon one of its lines within the state of Idaho.  If the Commission finds that the abandonment would have an adverse effect on the area being served by the line, then it is directed to submit a report of its findings to the STB which will consider those findings in reaching its decision.  In the past, this Commission has vigorously opposed certain abandonments deemed to have an adverse effect on Idahoans.  
Please do not hesitate to contact me if you have any further questions.
Very truly yours,
Marsha H. Smith
Commissioner
cm/L:mclaugh.bp
MS. MARGUERITE MCLAUGHLIN
DEMOCRATIC LEADER, IDAHO STATE SENATE
STATE CAPITOL BLDG
PO BOX 83720
BOISE, ID 83720-0081