| This is the determination
of the Railroad Retirement Board concerning
the status of Arizona & California Railroad
LP, California Northern Railroad LP, Arizona
& California Railroad Company, California
Northern Railroad Company, and Puget Sound
& Pacific Railroad as employers under
the Railroad Retirement Act (45 U.S.C. §
231 et seq.) and the Railroad Unemployment
Insurance Act (45 U.S.C. § 351 et seq.).
On September 28, 2000, ParkSierra Corporation1
acquired the assets of California Northern
Railroad Company Limited Partnership and
Arizona & California Railroad Company
Limited Partnership (B.A. Nos. 5734 and
3777, respectively) and itself became an
employer under the Acts as of that date
(B.A. No. 2795). California Northern Railroad
Company Limited Partnership and Arizona
& California Railroad Company Limited
Partnership were operated as divisions of
ParkSierra which, on January 8, 2002, was
acquired by RailAmerica, Inc.
California Northern Railroad Company started
operations effective November 1, 2002, when
ParkSierra transferred rail assets to it.
These assets had formerly belonged to California
Northern Railroad Limited Partnership2,
which, as mentioned above, had conveyed
its interest to ParkSierra in September
2000. Employees were to be transferred from
ParkSierra to California Northern Railroad
Company on January 3, 2003.
In Surface Transportation Board Finance
Docket No. 34199, California Northern Railroad
Company3
filed a notice of exemption to acquire and
operate approximately 248.5 miles of rail
line.
Arizona & California Railroad Company
started operations effective November 1,
2002, when ParkSierra Corporation transferred
rail assets to it. These assets had formerly
belonged to Arizona & California Railroad
Limited Partnership4,
which, as mentioned above, had conveyed
its interest to ParkSierra in September
2000. Employees were to be transferred from
ParkSierra to Arizona & California Railroad
Company on January 3, 2003.
In Surface Transportation Board Finance
Docket No. 34198, Arizona & California
Railroad Company5
filed a notice of exemption to acquire and
operate approximately 240 miles of rail
line.
Puget Sound & Pacific Railroad started
operations effective November 1, 2002, when
ParkSierra Corporation transferred rail
assets to it. These assets had formerly
belonged to Arizona & California Railroad
Limited Partnership. Employees were to be
transferred from ParkSierra to Puget Sound
& Pacific Railroad on January 3, 2003.
In Surface Transportation Board Finance
Docket No. 34200, Puget Sound & Pacific
Railroad Company6
filed a notice of exemption to acquire and
operate approximately 153 miles of rail
line.
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 of subtitle IV of title
49, United States Code;
Sections 1(a) and 1(b) of the Railroad
Unemployment Insurance Act (45 U.S.C. §§
351(a) and (b)) contain substantially the
same definition, as does section 3231 of
the Railroad Retirement Tax Act (26 U.S.C.
§ 3231).
The evidence of record establishes that
Arizona & California Railroad Company,
California Northern Railroad Company, and
Puget Sound & Pacific Railroad are carriers
operating in interstate commerce. Accordingly,
it is determined that they are employers
within the meaning of section 1(a)(1)(i)
of the Railroad Retirement Act (45 U.S.C.
§ 231(a)(1)(i)) and the corresponding
provision of the Railroad Unemployment Insurance
Act as of November 1, 2002, the date as
of which they commenced operations.
The evidence further establishes that the
status of Arizona & California Railroad
LP, and California Northern Railroad LP
as employers under the Acts should be terminated
as of October 1, 2000, the beginning of
the month after the month those companies
transferred their rail assets to ParkSierra7. |