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Feds to Rule on Montana Rail Link Transaction By March 8

The timeline put forward by U.S. Surface Transportation Board suggests Montana Rail Link could become a fallen flag during the first half of 2023. Photo by Justin Franz. 

Feds to Rule on Montana Rail Link Transaction By March 8

By Justin Franz

WASHINGTON — The U.S. Surface Transportation Board announced Thursday that it would decide whether or not to expedite Montana Rail Link’s lease termination by March 8. The timeline put forward by the federal regulator suggests that MRL could become a fallen flag during the first half of 2023.

On November 18, MRL filed a petition for exemption with the STB. In it, the railroad asked for an exemption from the normal review process for the discontinuance of common carrier service. Attorneys for the regional railroad argue that MRL’s discontinuation of service will not negatively impact employees or customers. 

Earlier this year, MRL announced that it was terminating the long-term lease of its main line across Montana and Idaho and that BNSF would soon resume operations. MRL’s parent company, Washington Corp., leased the former Northern Pacific from Huntley, Mont., to Sandpoint, Idaho, in 1987 for 60 years. MRL and BNSF mutually decided to end that agreement after just 35 years. Since the announcement in January, MRL and BNSF have been working with labor leaders to forge implementation agreements with the regional road’s union employees. 

In its filing last month, MRL stated that the transition to BNSF would be determined by when the STB made its decision. With the STB vowing to rule on the transaction by March 8, it’s highly likely that MRL will return to BNSF in the weeks and months that follow. 

This article was posted on: December 8, 2022