B.C.D. 15-12

EMPLOYER STATUS DETERMINATION

Big Four Terminal Railroad, LLC (BFTR)

June 19, 2015

This is a determination of the Railroad Retirement Board concerning the status of Big

Four Terminal Railroad, LLC (BFTR) as an employer under the Railroad Retirement Act

(45 U.S.C. §231 et seep) and the Railroad Unemployment Insurance Act (45 U.S.C. §351

et seg.). The status ofBFTR under the Acts has not previously been considered.

BFTR is a subsidiary corporation ofRMW Ventures, LLC (RMW) and is part of a family 

of business entities owned and controlled by Spencer N. Wendelin. Mr. Wendelin

controls BFTR as well as Wabash Central Railway, LLC (WCRC) (BA # 2376) and C &

NC Railroad Corporation (CNC) (BA # 2374) through his ownership of RMW. WCRC 

was found to be a rail carrier employer under the Acts effective December 19, 1997 in

Board Coverage Determination 98-09. Similarly, CNC was found to be a rail carrier

employer under the Acts effective December 19, 1997 in Board Coverage Determination

98-11. The status of RMW was considered under the Acts on December 4, 2001, but it

was found not to be a covered employer under the Acts in Board Coverage Determination

01-86.

Mr. Wendelin also serves as the Chief Executive Officer of BFTR. In that capacity, Mr.

Wendelin provided information regarding the formation and start of operations for BFTR. 

Mr. Wendelin stated that BFTR began operations on October 8, 2013, but as of

December 4, 2014 had not hired any employees. Instead, BFTR has contracted for

operating personnel with GPB Consulting, LLC (GPB) (BA # 9364). GPB was found to

be an employer under the Acts effective April 1, 2007 in Board Coverage Determination

08-46.

In Surface Transportation Board Finance Docket No. 35454, BFTR filed a Verified

Notice of Exemption to operate along approximately 5.2 miles of rail line in the state of

Indiana, from Milepost 0.0 in Connorsville, Indiana to Milepost 5.2+/- in Beeson,

Indiana. BFTR indicated in that filing that it had entered into an agreement on December

1, 2010 with RMW to provide common carrier rail service along the identified 5.2 miles

of rail line, replacing CNC as the line operator, and that projected annual revenues would

not exceed $5 million. However, Mr. Wendelin did not file an individual application with 

the Surface Transportation Board to seek continuance in control authority involving

RMW and BFTR until February 12, 2014 (Surface Transportation Board Finance Docket

35801). The Surface Transportation Board granted Mr. Wendelin’s request for exemption

effective April 4, 2014, in conjunction with a concurrently filed Verified Notice of

BA # 5341
2

Exemption for RMW to acquire the stock of BFTR (Surface Transportation Board

Finance Docket 35798).

Section 1(a)(1) of the Railroad Retirement Act (45 U.S.C. § 231(a)(1)), insofar as

relevant here, defines a covered employer as:

(i) any carrier by railroad subject to the jurisdiction of the Surface 

Transportation Board under Part A ofsubtitle IV oftitle 49, United States Code.

Section 1 ofthe RUIA (45 U.S.C. §351) contains essentially the same definition, as does 

section 3231 ofthe Railroad Retirement Tax Act (26 U.S.C.§ 3231).

The evidence of record establishes that BFTR is a rail carrier operating in interstate

commerce. Accordingly, the Board finds that Big Four Terminal Railroad, LLC became

an employer within the meaning of section 1(a)(1) of the Railroad Retirement Act and

Section 1 of the Railroad Unemployment Insurance Act effective October 8, 2013, the

date on which BFTR began operations.

FOR THE BOARD

Martha P. Rico

Secretary to the Board