Board Coverage Decision

2004-53

JC

JC service not creditable under the Acts, upon reconsideration.

The Board found that JC’s service for the Mississippi & Skuna

Valley Railroad Company was not creditable under the acts,

reversing the Board’s decision dated May 12, 2003.

No Form G-215 Available
B.C.D. 04-53 OCT 25 2004

Employee Service Determination

Decision on Reconsideration

JC

This is the decision on reconsideration ofthe Railroad Retirement Board’s decision

dated May 12, 2003, finding that services performed by JC for the Mississippi & Skuna

Valley Railroad Company (M&SV) constitute employee service under the Railroad

Retirement and Railroad Unemployment Insurance Acts. The request for

reconsideration provides additional factual background to support the contention that

the following description ofJC’s work for M&SV is not completely accurate.

That decision stated that:

The M&SV is an employer (BA 3549) under the Acts administered by the Board.

JC is an employee of Weyerhaeuser, a publicly traded integrated forest products

company. Weyerhaeuser Corporation owns the M&SV. According to an_____

Employee Questionnaire regarding the activities ofJC supplied by Ms. |

Tutor, Financial Services Manager for Weyerhaeuser Corporation, JC provides

financial and clerical support for the M&SV. Her duties include daily way billing,

interline freight accounting, financial statement preparation, and answering the

telephone. JC has a radio in her office by which she monitors and communicates

with the railroad crew when they are away from the depot. JC performs her

duties in a Weyerhaeuser office building that is less than 100 yards from the

M&SV depot. JC provides services for both Weyerhaeuser and the M&SV.

Approximately 50% of her time is spent on M&SV activities. The M&SV does not

reimburse Weyerhaeuser for JC’s services.

In the request for reconsideration, Mr. counsel for Weyerhaeuser,

advises that the above statement ofJC’s duties is incorrect in thatJC does not monitor

the railroad crew but in effect acts as a backup to the crew’s supervisors in the event that

there is an emergency and the crew cannot get in touch with their supervisors. Mr.

reasons to insure compliance with the Federal Railroad Administration rules so that in 

the event of an accident on the road, the crew can report it immediately if no staff

statement ofJC’s duties is incorrect in that Weyerhaeuser does “charge M&SV on a

weekly basis for financial, purchasing and human resource support services provided by

Weyerhaeuser, which would include those tasks performed by JC.”1 The charge is

entered as an internal charge back between Weyerhaeuser and M&SV. Mr. |

also points out that the office building where JC works is owned by Weyerhaeuser and

that she is not working on railroad property.

explained that the primary purpose ofthe radio in JC’s work area is for safety

member is available in the depot at that time. Also, Mr. advises that the

1 This assertion is supported by information previously submitted on behalf of Weyerhaeuser.
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JC

letter dated September 2, 2004, JC concurred with the description submitted by Mr.

As stated in the Board’s decision, section i(d) ofthe Railroad Retirement Act defines an

individual as "in the service of an employer" when:

(i)(A) he is subject to the continuing authority ofthe employer to

supervise and direct the manner of rendition of his service, or (B) he is

rendering professional or technical services and is integrated into the staff

ofthe employer, or (C) he is rendering, on the property used in the

employer’s operations, personal services the rendition of which is

integrated into the employer’s operations; and

In its initial decision, the Board found that JC provides services to the M&SV, and those

services are directly integrated into the management and operation ofthe railroad

employer. Consequently, the Board found that JC is integrated into the employer’s staff

or operations. Accordingly, the Board found thatJC is rendering professional or

technical services and is integrated into the staff ofthe employer, and is rendering, on

the property used in the employer’s operations, personal services the rendition ofwhich

is integrated into the employer’s operations.

On reconsideration, the Board finds that there is no evidence that JC is subject to the

continuing authority ofthe railroad employer M&SV to supervise and direct the manner

of rendition of her service for M&SV. In fact, Mr. points out in the request for

reconsideration that JC reports directly to Rachel Tutor, the Financial Services Manager

for the Weyerhaeuser Sawmill and a Weyerhaeuser employee.

As noted above, the request for reconsideration also explains thatJC does not work on

the property ofthe M&SV. Thus, the definition of employee service in subparagraph (C)

cannot apply to her service.

WhetherJC is performing professional or technical services for the carrier need not be

decided since she clearly is not integrated into the staff ofthe carrier. Thus, the test of

section i(d)(l)(i)(B) is not met.

and characterized above.

(ii) He renders such service for compensation

In summary, based on Mr. description ofJC’s performance of her duties, the

Board finds that JC is not rendering services on the property used in the employer’s

operations, since the office building where she performsthose services is not on the
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JC

property ofthe M&SV. Accordingly, JC cannot qualify as an employee ofthe M&SV

based on section i(d)(i)(C) ofthe Railroad Retirement Act. Also, based on Mr.

H description ofthose duties, it is apparent that JC is performing clerical

services and is not rendering professional or technical services. Accordingly, JC would

not qualify as an employee ofthe M&SV based on section i(d)(i)(B) ofthe Railroad

Retirement Act.

Accordingly, the Board’s decision dated May 12, 2003, finding thatJC's services for the

Mississippi & Skuna Valley Railroad Company constitute employee service and is service

creditable under the Railroad Retirement and Railroad Unemployment Insurance Acts

is reversed.

Original signed by: