This is a determination of the Railroad Retirement Board concerning the status
of A & R Terminal Railroad (ARTR) as an employer 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.).
In Surface Transportation Board (STB) Finance Docket No.
35329, decided December 7, 2009, ARTR filed a verified notice of exemption for
ARTR's acquisition by operating agreement from A& R Logistics, Inc.'s (A&R) and
operations pursuant to operating agreement with A&R of approximately 6.25 miles
of existing railroad right-of-way and trackage and transloading facilities owned
by A&R in Morris, Illinois.
Information regarding ARTR was furnished by Mr. Brian Reichert, Chief
Financial Officer for ARTR. In a facsimile letter dated January 27, 2010, Mr.
Reichert stated that ARTR is owned by A&R Logistics, Inc., a privately held
Illinois corporation. According to Mr. Reichert, ARTR commenced operations on
January 1, 2010. Mr. Reichert reported that the Chief Executive Officer of ARTR
is Mr. Jeffrey J. O'Connor. Mr. Reichert reported that ARTR has fifteen
employees who were first compensated on January 8, 2010. According to Mr.
Reichert, 100 percent of those employees work in positions related to business
connected with rail carriers performing rail yard operations, including rail car
switching, railcar to truck transloading, truck to rail transloading, and
processing rail shipped freight through the freight house. Mr. Reichert stated
that ARTR interchanges inbound and outbound cars with Canadian National Railway
(B.A. No. 1103).
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
Section 1 of the RUIA contains essentially the same definition. (45 U.S.C. §
The evidence of record establishes that ARTR is a rail carrier operating in
interstate commerce. Accordingly, it is determined that the A&R Terminal
Railroad, LLC (ARTR) became an employer 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 effective January 1, 2010,
the date as of which it commenced operations.
Original signed by:
||FOR THE BOARD
Secretary to the Board