is the determination of the Railroad Retirement
Board concerning the continuing status of
the RailTex Service Company, Inc. (RSCI)
(B.A. No. 6805) as an employer under the
Railroad Retirement Act (45 U.S.C. §
231, et seq.) (RRA) and the Railroad Unemployment
Insurance Act (45 U.S.C. § 351,
et seq.) (RUIA). RSCI has been an employer
under the RRA and RUIA with service creditable
from January 1, 1991.
Mr. Gary Laakso, Vice President and Regulatory
Counsel for RailAmerica, Inc., a non-carrier
holding company, advised that on December
31, 2000, RSCI was merged into Rail Operating
Support Group, Inc. (ROSG) (B.A. No. 9533).
RSCI had no assets and last compensated
employees on December 31, 2000. All RSCI
employees were transferred to ROSG. As a
result of this merger, ROSG became the surviving
corporation and RSCI ceased to exist as
a legal entity effective December 31, 2000.
Section 202.11 of the Board’s regulations
The employer status of any company or
person shall terminate whenever such company
or person loses any of the characteristics
essential to the existence of an employer
status. 20 CFR 202.11.
Based on the information summarized above,
the Board finds that RailTex Service Company,
Inc. has lost the characteristics essential
to the existence of an employer status.
It is thus determined that RailTex Service
Company, Inc. ceased being an employer covered
under the Railroad Retirement Act and the
Railroad Unemployment Insurance Act on December
31, 2000, the date on which it last compensated
employees and merged into another corporation.