20220601Decision Memo.pdf

DECISION MEMORANDUM 1

DECISION MEMORANDUM

TO: COMMISSIONER ANDERSON
COMMISSIONER CHATBURN
COMMISSIONER HAMMOND
COMMISSION SECRETARY
COMMISSION STAFF
LEGAL

FROM: CHRIS BURDIN
DEPUTY ATTORNEY GENERAL

DATE: JUNE 1, 2022

SUBJECT: IN THE MATTER OF ST. MARIES RIVER RAILROAD COMPANY’S
FAILURE TO MAINTAIN THE 396298J CROSSING AND TO PAY
ASSESSMENT FEES; CASE NO. SMR-R-22-01.

St. Maries River Railroad Company (“Railroad” or “Company”) is a short line railroad
providing freight service between Plummer and Bovill, Idaho. The Railroad is a “railroad
corporation” and a “common carrier” as defined by Idaho Code §§ 61-111 and 61-113. As such,
the Railroad is a public utility subject to the jurisdiction of the Commission. Idaho Code § 61-129.
This matter comes before the Commission due to the Railroad’s failure to maintain the 396298J,
10th Street railroad crossing (“Crossing”) in St. Maries, Idaho, as required by Idaho Code 62-306,
and to pay its regulatory fees for 2022, as required by Idaho Code §§ 61-1001 through 61-1005.
A. The 396298j Crossing
On March 22, 2022, Commission Staff (“Staff”) conducted a physical inspection of the
Crossing. See Affidavit of Wayne Andrews, Exhibit 1. During that inspection, Staff spoke with
the Maintenance of Way Supervisor/Bridge Inspector (“Maintenance Supervisor”) for the
Railroad. Id. Staff informed the Maintenance Supervision that the asphalt at the Crossing had
deteriorated and was causing a rough crossing that required maintenance. Id. Idaho Code § 62-306
provides:
Whenever a state or county highway crosses or shall hereafter cross a railroad at
grade, the railroad company shall at its own expense construct and maintain that
portion of such highway between the rails and for a distance of not less than two
(2) feet outside the outer rails. The crossing shall be planked or surfaced with other
suitable material for the full width of the traveled way, including shoulders, and
shall be maintained at all times in a smooth and firm condition.
DECISION MEMORANDUM 2

I.C. § 62-306.
On March 24, 2022, Staff sent letter to the Railroad via certified mail informing the
Railroad that the Crossing was in violation of Idaho Code § 62-306. Exhibit A. The letter provided
thirty (30) days to resolve the issue, or to provide notice of a detailed plan and timeline for
resolving the issue. Id. On May 3, 2022, Staff conducted a follow up inspection of the Crossing
and determined that no maintenance had been performed. Id. Staff has not received any response
from the Railroad.
B. Annual Assessment
On April 21, 2022, Staff notified the Railroad through Invoice No. 2022-019 that the
Railroad owed a 2022 Assessment Amount of $6,890.18. See Affidavit of Nancy Ashcraft, Exhibit
2. The Invoice provided that “assessment fee may be paid in equal semi-annual installments. The
first installment of the regulatory fee is due no later than May 15, 2022. The second installment is
due no later than November 15, 2022. Outstanding balances will be assessed with a 6% annual
interest fee.” Exhibit B. Staff has not received any response or payment from the Railroad.
STAFF RECOMMENDATION
Staff recommends that the Commission issue a Notice of Hearing & Order to Show Cause
why the Railroad should not be required by the Commission to:
1. Immediately perform maintenance on the Crossing;
2. Pay up to a $2,000.00 penalty per day for its failure to perform maintenance
on the Crossing. See Idaho Code §§ 61-706 & 61-707.
3. Immediately pay its past due Assessment or semi-annual installment, plus
all accrued interest; and
4. Pay up to a $2,000.00 penalty per day for its continuing failure to pay its
2022 Assessment or semi-annual installment and all accrued interest. See
Idaho Code §§ 61-706 & 61-707.

COMMISSION DECISION
Does the Commission wish to set a date for and issue a Notice of Hearing & Order to
Show Cause?

Chris Burdin
Deputy Attorney General

I:\Legal\RAIL\SMR-R-22-1\SMRR2201_memo_cb.docx
Affidavit of Wayne Andrews
EXHIBIT 1
Affidavit of Nancy Ashcraft
EXHIBIT 2