EMPLOYER STATUS DETERMINATION

Chillicothe-Brunswick Rail Maintenance Authority, Inc.

This is the determination of the Railroad Retirement Board 

concerning the status of Chillicothe-Brunswick Rail Maintenance

Authority, Inc. (CBRMA) as an employer under the Railroad

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

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

The full name of the company in question is Green Hills Rural

Development, doing business as Chillicothe-Brunswick Rail

Maintenance Authority, Inc. For clarity, just CBRMA will be

referred to in this decision. CBRMA had been found to be an

employer under the Acts effective the date it began operations,

January 31, 19871. See Legal Opinion L-90-7, dated January 11,

19 90. Based on information provided by letter dated June 11, 1990,

from Mr. Michael R. Johns, Assistant Vice President of Green Hills,

a coverage ruling was issued on August 22, 1990, finding that CBRMA 

was terminated as a rail carrier under the Acts effective March 31,

1990, the date on which CBRMA ceased operations.

On March 23, 1994, Mr. Johns again contacted the Board, this time

to advise that CBRMA was going to start up operations again. The

operations would consist of "switching railroad interconnecting 

with Burlington Northern RR at Sumner, Mo. and proposed interchange

with Soo Line at Chillicothe, Mo. Primary traffic is grain and

steel products, with lesser amounts of fertilizer and building 

materials." CBMRA owns the equipment it will use. Operations were

expected to start up May 1, 1994; however, actual operation began

October 21, 1994.

Section 1(a)(1) of the Railroad Retirement Act (RRA) (45 U.S.C.

§ 231(a)(1)), insofar as relevant here, defines a covered employer

as :

(i) any express company, sleeping-car company, and

carrier by railroad, subject to subchapter I of chapter 

105 of Title 49;

(ii) any company which is directly or indirectly

owned or controlled by, or under common control with one

or more employers as defined in paragraph (i) of this

subdivision and which operates any equipment or facility 

or performs any service (other than trucking service,

casual service, and the casual operation of equipment and

facilities) in connection with the transportation of

passengers or property by railroad * * *.

Sections 1(a) and 1(b) of the Railroad Unemployment Insurance Act

1 Green Hills Rural Development, Inc. (Green Hills) is a not-for-profit corporation,which

is a political subdivision of the state of Missouri. It is financed through local government

service contracts and per capita assessments, state appropriations, and federal grants.

BCD 1995-34 BA # 3763
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Chillicothe-Brunswick Rail Maintenance Authority, Inc.

Sections 1(a) and 1(b) of the Railroad Unemployment Insurance Act

(RUIA) (45 U.S.C. §§ 351(a) and (b)) contain substantially similar 

definitions.

The evidence establishes that CBMRA is a carrier by rail engaged in

the transportation of persons or property in interstate commerce.

Accordingly, it is determined that the Chillicothe-Brunswick Rail

Maintenance Authority, Inc. again became a rail carrier under the

Railroad Retirement and Railroad Unemployment Insurance Acts