Railroad Switching – Car Hire Impact ACACSO May 12, 2016

RULE 5 — Switching Car Hire Expense Recovery A RULE 5 — Switching Car Hire Expense Recovery A. Terminal Switching Service Car Hire, on the basis of actual time involved in the handling of each car loaded or unloaded in Terminal Switching Service for the month(s) in which the car hire accrues, subject to a maximum of 120 hours per switching event, shall be the responsibility of the carrier road for which the switching service was performed, provided the terminal switching road reports the required information (Paragraph E) to the carrier road and car owner via AAR TRAIN II.

More from Rule 5 B. Intermediate Switching/Blocking Service 1. Car Hire, on the basis of actual time involved in the handling of each loaded and empty car in Intermediate Switching/Blocking Service for the month(s) in which the car hire accrues, subject to a maximum of 24 hours per switching/blocking event, shall be the responsibility of the carrier road provided the intermediate switching/blocking road reports the required information (Paragraph E) to the carrier road and car owner via AAR TRAIN II.

More from Rule 5 2. Car Hire, on the basis of actual time involved in the handling of each loaded and empty car in Intermediate Switching Service for the month(s) in which the car hire accrues, subject to a maximum of 24 hours per switching event, shall be the responsibility of the carrier road when received from a road performing terminal switching service, provided the intermediate switching road reports the required information (Paragraph E) to the responsible carrier road and car owner via AAR TRAIN II.

IAIS System map – IAIS is both a road haul carrier and a switch carrier. Switching Districts

Serving as a road haul carrier IAIS is charged by switching carriers, both terminal and intermediate carriers, to terminate or originate or handle shipments. IAIS allows reclaims.

Serving as a road haul carrier Car hire impact is that costs increase.

Serving as a switching carrier IAIS switching one or more industries it has chosen to open to other carriers. IAIS reclaims time from connecting carriers.

Serving as a switching carrier Car hire impact is that costs are reduced.

Questions?