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305 P.3d 13
Kan. Ct. App.
2013
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Background

  • Wichita Terminal Association owns and operates two sets of railroad tracks along a 30-foot right-of-way in Wichita; FYG owns adjacent property to the south.
  • 2008 district court journal entry ordered the WTA to construct a permanent crossing at Emporia Court and to install crossing protection under FRA rules, with a 90-day deadline for the crossing and no appeal filed.
  • FYG sought ingress/egress rights and the district court previously held FYG lacked an ingress right, while later remands required viability analyses for crossing options.
  • Over time, the district court on remand found the most viable solution was removal of the north track and laying a new south track to enable a compliant permanent crossing.
  • The January 25, 2012 district court order required removal of the north track and new track placement to enable a MUTCD-compliant crossing, while preserving a temporary crossing in the interim.
  • WTA timely argued that ICCTA vests exclusive STB jurisdiction over track removal/construction and preempts state-law remedies; the appeal seeks preemption-based relief and STB involvement.

Issues

Issue Plaintiff's Argument Defendant's Argument Held
Does ICCTA preempt state remedies to remove or relocate tracks for a crossing? WTA: STB exclusive jurisdiction preempts removal/remodeling orders. FYG: district court remedies may proceed; or at least preemption should limit state orders. STB exclusive jurisdiction preempts removal/relocation orders; remand with STB involvement.
Is WTA's preemption defense timely and preserved for appeal? WTA timely asserted STB jurisdiction and preemption defense. FYG contends preemption not properly raised as a defense. WTA timely preserved the preemption issue for review.
What is the proper remedy given STB jurisdiction over track construction/removal? WTA should pursue STB proceedings; district court should defer. District court remedies are appropriate if feasible under STB oversight. Remand to require WTA to file with STB to resolve jurisdictional issues; district court may enforce interim crossing.

Key Cases Cited

  • Chicago & N.W. Tr. Co. v. Kalo Brick & Tile Co., 450 U.S. 311 (U.S. 1981) (ICC/board authority is plenary and exclusive over rail regulation)
  • Norfolk Southern Ry Co. v. City of Alexandria, 608 F.3d 150 (4th Cir. 2010) (state laws prohibiting rail operations preempted by ICCTA)
  • Port City Properties v. Union Pacific R. Co., 518 F.3d 1186 (10th Cir. 2008) (STB authority over spur/industrial tracks preempts state regulation)
  • Emerson v. Kansas City Southern Ry. Co., 503 F.3d 1126 (10th Cir. 2007) (preemption analysis recognizes field/conflict preemption and congressional intent)
  • Board of Miami County Comm’rs v. Kanza Rail-Trails Conservancy, Inc., 292 Kan. 285, 255 P.3d 1186 (Kan. 2011) (state regulatory powers limited by express preemption in ICCTA context)
  • City of South Bend, IN v. Surface Transp. Bd., 566 F.3d 1166 (D.C. Cir. 2009) (STB jurisdiction and rail regulation controls influence on state actions)
Read the full case

Case Details

Case Name: Wichita Terminal Ass'n v. F.Y.G. Investments, Inc.
Court Name: Court of Appeals of Kansas
Date Published: May 31, 2013
Citations: 305 P.3d 13; 48 Kan. App. 2d 1071; No. 107,666
Docket Number: No. 107,666
Court Abbreviation: Kan. Ct. App.
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