Upgraded rack
As Rack has some non backwards compatible changes added required
modifications to keep behaviour in rails close to same as before.

Also modified generators to include rack/rack for not yet released
version of rack
Since upgrading rack we can remove unnecessary string encodings
https://github.com/rack/rack/commit/5a5aee36
Merge pull request #13999 from jamox/update_rack

This updates rails to use edge rack