The FRA more than likely requested a set of standard that the C&TS will be required to follow taking account of speeds, weight, etc. etc. specific to the C&TS. The White Pass would laugh at the C&TS track, The track program at the White Pass produces some of the heavest look track you will see: 116# rail on plated 7"x9"x8' ties with lots of good ballast and anchors. They can't afford derailments and neight can the C&TS. ANd regardless of weather the C&TS or any other railroad is under FRA or not they should have some form or tracks standards to protect themselves.
The commision should have a minimum standard that the track should be maintained to to provide the operator a measure to perform to.