RBM&N is attempting to stay an extension to Lehigh Railway's current lease of NS between Athens, PA and Mehoopany, PA because LWRY has yet to offer RBMN haulage under standard industry terms between Mehoopany interchange point and RBMN's Towanda - Monroeton Shippers' Lifeline RR.
Summary excerpts:
https://www.stb.gov/filings/all.nsf/ba7 ... 241708.pdf
Summary excerpts:
While RBMN and LWRY interchange traffic with one another, they also are competitors for traffic that originates and terminates in the northeastern Pennsylvania / Mehoopany area.Last time I passed through the area a few years back, the TMSL track looked to be unused - is that still the case? What does RBMN have in mind for TMSL traffic - frac sand to transload to trucks?
In late 2009, RBMN acquired a 4.7 mile line between Monroeton and Towanda that connects with the Rail Line at Towanda, approximately 41 miles from Mehoopany...
...Currently, RBMN has no way to move traffic directly between its tracks south of Mehoopany, and its line at Towanda. All of the Towanda-Monroeton traffic must be interchanged with LWRY, adding an additional carrier to the route. In 2014, RBMN and NSR entered into a confidential agreement that addressed a number of commercial issues between the parties...As relevant here, NSR agreed that in connection with any renewal of the Original Lease, it would require LWRY to haul cars for RBMN between Mehoopany and Towanda on standard industry terms. It was expected that the haulage might not take effect until the expiration of the Original Lease on December 31, 2018. However, based on the Notice, NSR and LWRY (without notice to RBMN) agreed to renew the Original Lease early. While RBMN has been advised that LWRY has agreed in the Amended Lease to provide haulage for RBMN, the commitment does not start until January 1, 2019, instead of immediately upon the renewal, and NSR has not required, and LWRY has not agreed, to provide the haulage at a standard industry rate. The rate suggested in the form is substantially higher than standard, and in fact is higher than LWRY would likely receive if it were a carrier participating in the move...
https://www.stb.gov/filings/all.nsf/ba7 ... 241708.pdf