EMPLOYER STATUS DETERMINATION 

B.C.D. No. 2024-09 

Ohio Terminal Railway Company (OTRC)

B.A. No. 5338 

January 17, 2024 

This is a determination of the Railroad Retirement Board (RRB) concerning the 

continued status of Ohio Terminal Railway Company (OTRC) (B.A. No. 5338) as an 

employer under the Railroad Retirement Act (RRA) (45 U.S.C. §231 et seq.) and the 

Railroad Unemployment Insurance Act (RUIA) (45 U.S.C. §351 et seq.). 

In Board Coverage Decision No. 13-16 dated June 14, 2013, the Board determined that 

OTRC was a rail carrier operating in interstate commerce under the RRA and RUIA, with 

an effective coverage date of January 27, 2013, the date it began railroad operations. 

OTRC is owned by Carload Express, Inc. (CEI) (B.A. No. 9244). OTRC was granted 

operating rights over 12.2 miles of rail line owned by Hannibal Real Estate, LLC (also 

referred to as the “Omal Line”). Ultimately, ownership of the track was transferred to the 

Ohio River Partners Shareholder LLC (ORPS). 

In Surface Transportation Board (STB) Finance Docket No. FD 36487, Katahdin Railcar 

Services, LLC (KRS) filed a verified notice of exemption to assume OTRC’s right and 

common carrier obligation to provide rail services on the 12.2 miles of track that had 

previously been operated by OTRC. Katahdin Railcar Services LLC-Change in 

Operators Exemption-Ohio Terminal Railway Company, 2021 STB Fin Dkt. 36487. The 

rail line is between milepost 60.5 near Powhatan Point, Ohio, and milepost 72.7 near 

Hannibal, in Monroe County, Ohio. According to the verified notice filed by KRS, the 

proposed change in operators implements the settlement agreement between ORPS, 

OTRC, and Hannibal Real Estate LLC (HRE) to use the Omal Line. Pursuant to the 

settlement, KRS is to assume the right and common carrier obligation to provide service 

to the HRE industrial park, replacing OTRC. The STB decision stated that the transaction 

may be consummated on or after April 18, 2021, the effective date of the exemption. 

Information regarding OTRC was provided by Mark Rosner, President and CEO of CEI. 

In a letter dated May 27, 2021, Mr. Rosner reported that as of April 17, 2021, OTRC 

ceased rail operations of any kind and last compensated its employees the same date. He

also stated that on April 18, 2021, KRS assumed all of OTRC’s rights and common 

carrier obligations to operate the rail line. Mr. Rosner reported that OTRC currently does 

not own any rail equipment or facilities. He further stated that the locomotives that were 

previously used by OTRC were returned to the owner, Allegheny Valley Railroad 

Company (B.A. No. 2266). Last, he explained that CEI is handling all remaining business 

involving OTRC, which includes “settling revenues and expenses related to operations 

and agreements that existed prior to the cessation” of OTRC’s operations. 

Section 202.11 (20 C.F.R. § 202.11) of the Board’s regulations states that “[t]he 

employer status of any company or person shall terminate whenever such company or 

person loses any of the characteristics essential to the existence of an employer status.” 
2

The evidence in this case supports a finding that OTRC no longer operates a rail line nor 

has any employees engaged in railroad transportation. RRB records of annual reports of 

compensation reflect that the last annual report of creditable compensation reported for 

employees of OTRC was through April 2021.

The evidence of record establishes that OTRC no longer possesses the characteristics of a

covered employer because its operating rights were transferred to KRS. Therefore, the

Board finds that OTRC ceased being a covered employer under the Acts, effective May 

1, 2021, the first month after OTRC’s employees last performed creditable railroad 

services and were compensated by OTRC. 

 

FOR THE BOARD

Stephanie Hillyard

Secretary to the Board