Order No. 2015-R-195

November 6, 2015

IN THE MATTER OF Certificate of Fitness No. 97013 held by The International Bridge and Terminal Company and Certificate of Fitness No. 97014 held by Minnesota, Dakota & Western Railway Company.

Case number: 
15-04810

The International Bridge and Terminal Company (IBT) is the holder of Certificate of Fitness No. 97013, issued by the Canadian Transportation Agency (Agency) pursuant to subsection 92(1) of the Canada Transportation Act, S.C., 1996, c. 10, as amended (CTA), which authorizes IBT to operate a railway at Fort Frances, in the province of Ontario.

Minnesota, Dakota & Western Railway Company (MD&W) is the holder of Certificate of Fitness No. 97014, issued by the Agency pursuant to subsection 92(2) of the CTA, which authorizes MD&W to operate, by virtue of an operating agreement, a railway over the line of IBT between the USA-Canada border and the plant site of Abitibi‑Consolidated Inc. at Fort Frances, in the province of Ontario.

Subsection 94(1) of the CTA provides that the holder of a certificate of fitness shall notify the Agency in writing without delay if the liability insurance coverage is cancelled or altered so that it may no longer be adequate; or the construction or operation has changed so that the liability insurance coverage may no longer be adequate.

Subsection 94(2) of the CTA states that the Agency may suspend or cancel the certificate of fitness if it determines that the liability insurance coverage is no longer adequate.

Agency records indicated that the third party liability insurance coverage had expired. Therefore, in Decision No. LET-R-65-2015 dated October 20, 2015, the Agency directed IBT and MD&W to show cause, by no later than October 27, 2015, why the Agency should not, pursuant to subsection 94(2) of the CTA, suspend or cancel their certificates of fitness. The Agency also advised them that their certificates of fitness would be cancelled if they failed to demonstrate that they have adequate liability insurance coverage.

IBT and MD&W have failed to show cause why their certificates of fitness should not be cancelled.

The Agency is not satisfied that IBT and MD&W continue to maintain adequate liability insurance coverage for the railway operations authorized under their certificates of fitness. Therefore, the Agency, pursuant to subsection 94(2) of the CTA, cancels Certificate of Fitness No. 97013 held by IBT and Certificate of Fitness No. 97014 held by MD&W.

IBT and MD&W are reminded that pursuant to subsection 90(1) of the CTA, no person shall construct or operate a railway without a certificate of fitness.

Member(s)

P. Paul Fitzgerald
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