Notice2026-00125
Watco Holdings, Inc.-Continuance in Control Exemption-Smoky Ridge Railroad, L.L.C.
Primary source
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Published
January 8, 2026
Issuing agencies
Surface Transportation Board
Full Text
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<title>Federal Register, Volume 91 Issue 5 (Thursday, January 8, 2026)</title>
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[Federal Register Volume 91, Number 5 (Thursday, January 8, 2026)]
[Notices]
[Page 758]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2026-00125]
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SURFACE TRANSPORTATION BOARD
[Docket No. FD 36902]
Watco Holdings, Inc.--Continuance in Control Exemption--Smoky
Ridge Railroad, L.L.C.
Watco Holdings, Inc. (Watco), a noncarrier, has filed a verified
notice of exemption under 49 CFR 1180.2(d)(2) to continue in control of
Smoky Ridge Railroad, L.L.C. (SMO), upon SMO's becoming a Class III
rail carrier.
This transaction is related to a verified notice of exemption filed
concurrently in Smoky Ridge Railroad, L.L.C.--Acquisition & Operation
Exemption--EnergySolutions, LLC, Docket No. FD 36901, in which SMO
seeks to acquire and operate as a common carrier over approximately
7.07 miles of railroad track (the Line), together with approximately
6.63 miles of spur track, in Anderson and Roane Counties, Tenn.
According to the verified notice, Watco currently controls 44 Class
III rail carriers and one Class II rail carrier, collectively operating
in 28 states and one Canadian province. For a complete list of these
rail carriers and the states in which they operate, see the Appendix to
Watco's December 23, 2025 verified notice of exemption, available at
<a href="http://www.stb.gov">www.stb.gov</a>.
The verified notice indicates that: (1) the Line does not connect
with the rail lines of any of Watco's 45 existing rail carriers; (2)
this transaction is not part of a series of anticipated transactions
that would result in such a connection; and (3) the proposed
transaction does not involve a Class I rail carrier. The proposed
transaction therefore is exempt from the prior approval requirements of
49 U.S.C. 11323. See 49 CFR 1180.2(d)(2).
The transaction may be consummated on or after January 22, 2026,
the effective date of the exemption (30 days after the verified notice
was filed).
Under 49 U.S.C. 10502(g), the Board may not use its exemption
authority to relieve a rail carrier of its statutory obligation to
protect the interests of its employees. Because the transaction
involves the control of one Class II and one or more Class III rail
carriers, the transaction is subject to the labor protection
requirements of 49 U.S.C. 11326(b) and Wisconsin Central Ltd.--
Acquisition Exemption--Lines of Union Pacific Railroad, 2 S.T.B. 218
(1997).
If the verified notice contains false or misleading information,
the exemption is void ab initio. Petitions to revoke the exemption
under 49 U.S.C. 10502(d) may be filed at any time. The filing of a
petition to revoke will not automatically stay the effectiveness of the
exemption. Petitions to stay must be filed no later than January 15,
2026.
All pleadings, referring to Docket No. FD 36902, must be filed with
the Surface Transportation Board either via e-filing on the Board's
website or in writing addressed to 395 E Street SW, Washington, DC
20423-0001. In addition, a copy of each pleading must be served on
Watco's representative, Stephen J. Foland, Fletcher & Sippel LLC, 29
North Wacker Drive, Suite 800, Chicago, IL 60606-3208.
According to the verified notice, this action is categorically
excluded from environmental review under 49 CFR 1105.6(c) and from
historic preservation reporting requirements under 49 CFR 1105.8(b).
Board decisions and notices are available at <a href="http://www.stb.gov">www.stb.gov</a>.
Decided: January 5, 2026.
By the Board, Anika S. Cooper, Chief Counsel, Office of Chief
Counsel.
Tammy Lowery,
Clearance Clerk.
[FR Doc. 2026-00125 Filed 1-7-26; 8:45 am]
BILLING CODE 4915-01-P
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</html>Indexed from Federal Register on January 8, 2026.
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