Buckingham Branch Railroad Company (BBRR) has filed a verified notice of exemption to acquire from Norfolk Southern (NS) approximately 58.1 route miles of a railroad line extending from milepost F86.0 at Burkeville, Va., to milepost F65.8 at Keysville, Va. (historically known as the F Line), and from milepost D0.0 at Keysville, Va., to milepost D37.9 at Clarksville, Va. (historically known as the D Line) from the Class I railroad, according to a Nov. 17 Federal Register report.
According to the verified notice, except for a portion of the F Line between milepost F86.0 and F84.8 at or near Burkville, BBRR has operated the lines pursuant to a lease since 2009. The Class III rail carrier states that the parties “have agreed in principle to the sale of the lines from NS to BBRR under the terms of a draft transaction agreement.” The verified notice, the Federal Register reports, also states that BBRR “intends to consummate the subject transaction on or after the date of this exemption, and that BBRR will provide all rail common carrier service on the lines.”
The transaction may be consummated on or after Dec. 8, 2023, the effective date of the exemption (30 days after the verified notice was filed).
BBRR, according to the Federal Register report, certifies that the transaction agreement does not have an interchange commitment and that its projected annual revenues will not result in the Class III carrier becoming a Class I or Class II rail carrier. BBRR says that its annual revenues currently exceed $5 million and are expected to continue to exceed $5 million following its acquisition of the lines.
Pursuant to 49 CFR 1150.42(e), “if a carrier’s projected annual revenues will exceed $5 million, it must, at least 60 days before the exemption is to become effective, post a notice of its intent to undertake the proposed transaction at the workplace of the employees on the affected lines, serve a copy of the notice on the national offices of the labor unions with employees on the affected lines, and certify to the Board that it has done so.” On Oct. 6, 2023, BBRR certified that it had complied with those advance notice requirements.