ACACSO November 12 Tempe Arizona OT-5 What Is It?

ACACSO OT-5 What Is It? Circular Number OT-5K Circular is just another name for a document or publication intended to be given wide circulation AAR publishes mechanical circulars and operations & transportation circulars (OT and TD) OT circulars are numerically sequenced (currently 2 – 55 w/gaps) and suffixed with revision letter Other ACACSO related circulars OT-10, OT-16, OT-26 Current EAC Review

OT-5 Covers 4 Areas . ACACSO OT-5 What Is It? Assignment of reporting marks (All railcars) Assignment of mechanical designations (All railcars) Compliance of Freight Tariff 6007 to receive applicable mileage rates (Private equipment) Application for loading authority (Private equipment) .

Application for Loading Authority ACACSO OT-5 What Is It? Application for Loading Authority Forgotten history of loading rights LO-SAC / RR ICC Proceedings Shippers wanted right to use their own equipment and to be fairly compensated for its use Roads had congestion concerns and their own fleets to protect .

Compromise ACACSO OT-5 What Is It? ICC (STB) gave shippers the right to acquire their own cars subject to: 1) Cars have to be safe 2) Shippers must have storage track ICC gave roads the right to supply their own cars first This ICC ruling, which created U.S. law, was set out in OT-5 May have been added to existing OT-5, which would explain the somewhat unrelated Car Marks and Mech Desig sections

Tank Cars Were Not Included ACACSO OT-5 What Is It? Tank Cars Were Not Included Likely because: The covered hopper was the car type of the original dispute Roads never really had any tank cars so no need to carve out the right to supply it Tank car compensation issue had already been worked out and ruled on by the ICC

Why Have We Been Hearing More About OT-5 Lately ACACSO OT-5 What Is It? Why Have We Been Hearing More About OT-5 Lately Private car fleets continue to grow and for several years now have outnumbered RR marked cars Private cars were focused on by class 1 roads for car distribution efficiencies In 2008 roads started to require shippers to register fleets Shippers became irritated and EAC started an OT-5 review

ACACSO OT-5 What Is It? Recent Changes OT-5J of 1998 has been amended to OT-5K effective Jan 1, 2009 Tank cars are now included OT-5 registration application is on the web Registration process seems to be acceptable to shippers and class 1 roads have electronic data they can integrate into their distibution systems

Final Thought OT-5 is close to the equivalent of CSD 145 ACACSO OT-5 What Is It? Final Thought OT-5 is close to the equivalent of CSD 145 CSD 145 allows a RR to put foreign RR marked cars into a pool for a shippers use – it gives loading authority OT-5 does the same thing for private marked cars