ABANDONM.docx

Leo Hennessy, Parks & Recreation
Dale Toweill, Fish & Game
Ron Kerr, ITD
John L. Hatch, Agriculture
Wallace N. Cory, DEQ
Don Watts, Historical Society
James Hawkins, Commerce
R. Keith Higginson, Water Resources
Re:Abandonment of Idaho Northern & Pacific Railroad’s Council Branch Line
Gentlemen:
The PUC has received notification from the Idaho Northern & Pacific Railroad that it plans to abandon the Council railroad line generally located in Washington and Adams Counties.  This branch line runs approximately 83 miles from Weiser to Tamarack.  This branch has historically been used to transport lumber products for Boise Cascade and Evergreen Lumber.
Idaho Northern purchased this branch about two years ago as part of a sales package from Union Pacific Railroad.  At that time, Boise Cascade shipped and received approximately 1,100 cars per year at the Council mill.  With the announced closure of the Boise Cascade Mill in Council, Idaho Northern believes that the remaining traffic will generate an insufficient amount of revenue to support continued rail operations.  Consequently, Idaho Northern is in the process of preparing a request to the Interstate Commerce Commission (ICC) for permission to abandon the line.  A copy of the Railroad’s draft environmental report is attached for your review.  
The abandonment of railroad lines is governed by federal law and supervised by the ICC.  The PUC’s role in rail abandonment proceedings is to determine whether the abandonment would be adverse to Idaho’s interests and to coordinate the submission of agency comments to the railroad and ICC.  Idaho Code § 62-424 requires that the PUC convene a public hearing on the proposed abandonment.  If the PUC finds that abandonment of the branch line would be adverse to Idaho’s interests, then it represents the state before the ICC.  
Your agency is being notified at this time so you may evaluate whether the abandonment would have any effect on activities or interest germane to your agency.  The Governor’s Executive Order No. 94-1 provides that state agencies coordinate any submissions to the railroad or the ICC with the PUC prior to transmittal.  If your agency desires to submit any comments to Idaho Northern or the ICC regarding the planned abandonment, please coordinate your comments with Mary Friddle, Administrator of our Regulated Carrier Division.  
If you have any questions, please contact me at 334-0312 or Mary Friddle at 334-0330.
Sincerely yours,
Donald L. Howell, II
Deputy Attorney General
Enclosure
cc:Commissioners
RCD
Nathan Fisher, Gov.’s Office
vld/L-Abandonm.dh