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The Director of Retirement Claims the General Counsel Pennsylvania

The Director of Retirement Claims the General Counsel Pennsylvania

The Director of Retirement Claims

The General Counsel \

Pennsylvania and Railway Company Mahoning & Ghenango Railway C< Light Company (Pennsylvania) Mahoning P* Shenango Railway L Light Company () (Kama changed February PI, 192>i to The Pennsylvania-Ohlo Llootric Cor.pany) The Pcnn.sylvania- .hio Lloctrlc Company The Pcnnaylvania-Chio Power & Light Company

I herewith submit my opinion on the following*

HiibTioi;

1. "as tho Pennsylvania end Mahoning V,alloy Railway Company an nemployer" under the Railroad Retire­ ment Act and is corvico to it creditable under that Act?

2. Tino the Mahoning ft fihenango Railway ft Light Com­ pany (Pennsylvania) an "employer" under tho Railroad Retirement Act and is service to it creditablo under that Act?

3. Vi.)o Tho Pennsylvania— )hlo - lcctrio Company (prior to February 21, 1920, known no tho Mahoning & Rhonango Railway & Lirht Co pany (Ohio)) an "era- ployor" tmdor the Railroad Retirement ct end is service to it creditable under that 'ct?

4. Van Tho Pennsylvnnia-Chio Power & Light Company an ’'employer" under the Railroad Retirement Act and ia service to it creditable under that Act?

opr'ie:;

1. It is ny opinion that the Pennsylvania and Mahoning Valley Railway Ccmp-my was not an "employer11 under tho Railroad Retirement Act and that aervice to it ia not credit.-ible under that Act. -2-< ?£omoranduu to The Director of Retirement Claims

2. It is cy opinion that the Mahoning & Shcmango Railvtay & Light Company (Pennsylvania) was not an "employer" tinder the Railroad Retirement Act and that service to it is not creditable under that. Act.

3. It Is my opinion that The ronnGylvanifi.-tihlo Electric Company (prior to February 21, 1920, known as the Mahoning & 'Shonango Railway & Light Company Ohio)) was not an "employer" xindor the Lailroad Retirement Act and that service to it is not credit­ able under that Act. - ■ ,

4. It la my opinion that The Pennsylvania-Ohio Power & Light Company was not an "employor" under the Rail­ road Retirement Act and that service to it la not creditable under that Act.

DlOCgjdlOfl

i;cnn.y/lvanla and *r;?honln.rr Valley Railway Company

Information in Poor’s Railroads (street Railway Section) in that tho Pennsylvania and Mahoning Valley Railway Company was incorporated on May 24, 1902, under the laws of Pennsylvania, as a consolidation of the following companies t

Tho Mahoning Valley Railway Company Lew Castle Traction Company Tho Trumbull Electric Railway Company Tho Mineral Ridge and Riles Traction Company Row C&etle ft- Lowell Railway Company Lowrcnco Gao Company Row Castle lilectric Company

"These cocprieo the entire local aysLem in Youngstown, Ohio, Riles, Ohio, 1 orron, Ohio, and Row Castle, Pennsylvania, nnu all tho electric lighting, power and manufactured gas business of Row Castle, Pennsylvania." Tho railway was of standard gauge, electrically (overhead trolley) operated and consisted of approximately 92 miles of track. Tho company owned 110 cars. Revenues na reported in tho manuals oro not broken down. Oo.io tins in 1905 tho properties of tho company were acquired by tho Mahoning 6 Shenango Railway £■ Light Company (Pennsylvania).

An oxraination of tho records of the Interstate Commerce Cont- miasion does not indicate that the Pennsylvania and Mahoning Valley Railway Conptmy filed with that Coisaisaion any tariffs, concurrences, powers of attorney, annual or other reports. It has no "A" file and doea not appear .iv-1fcVjrundmii to The Director of Retirement Claims

to have boon a party to any proceadlngs before tho Commission. Ita name dooo not appear in the Official Guide of Railways or in the Official Rail­ way Equipment Register.

It coos not sppoar from the foregoing that the Pennsylvania and Mahoning Valley Railway Company was an express company, sleeping—car com­ pany or carrier by railroad subject to Part I of the Interstate Ccrswc© Act. But in any event, it is iny opinion that tho railway operated by it vi,so nothing moro than a utroot, suburban or ir.torurban oloctric railway within tho exception proviso in bection 1(a) of tho Railroad Retirement Act. The records available do not indicate that tho Pennsylvania and Mahoning Valley Railway Company was or,nod or controlled by or undor cona­ tion control with any "carrier employer" and in any event there is no evi­ dence that in tho operation* of its light and power properties it performed any service in connection with the transportation of passengers or property by railroad within tho meaning of Section 1(a) of tho Railroad Retirement Act. Therefore, it was not an "employer" undor the Railroad Retirement Act. As will appear later In this memorandum, tho company vzao not a "prodocoasor" within tho meaning of Sections l(f) and 202 of the Railroad Retirement Act of 1937 end service to it is not creditable under that Act.

Mahonin? *■ Bhennrro Railway I- 1,1’ht Comn-iny (Pennsylvania)

Information In various iditiona of Poor1 a and Moody’s manuals is that tho Mahoning L Shonango Railway 6 Light Company was incorporated on liny 23, 1905# under the laws of Pennsylvania and acquired tho property of tho Pennsylvania and Mahoning Valley Railway Company. It io said to ha vo "or,mod or controlled" about 159 a ilea of "intorurban and street rail­ way" linos in Youngstown, Girard, Miles, arron, Teavittalmrg, Sbruthera, Lowellville, Mineral Ridge, Ohio, end Sharon Falls, fheatland, V'eat Middle3 ox, Sharpoville and Row Castle, Pennsylvania, and alco tho electric lighting cystoma In certain of those communities.2 /

The Mahoning & Shenango Railway t: Light Company (Pennsylvania) was succeeded on August 29, 1917, by the Mahoning 6 Shenango Railway & Light Company, an Oliio corporation, tho nano of which was changed on February 21, 1920, to The Pennsylvania—Ohio Electric Company.

An examination of tho records of tho Interstate Cow.erce Co»- nission shows that the Mahoning t- Uhenmgo Railway le Light Company j/ Apparently each "controlled’1 company was operated as a ooparnto entity for each company, which had railvny operations, filed annual operating reports with the Interstate Commerce Commission, the reports of tho Mahoning & Shenango Railway & Light Company indicating tho ownership and operation of only approxi utely 13 ciiloa of railway. Ifonorsndua to Tho Director of Retirement Claims

(Pennsylvania) filed with that Commission annual (oloctric) operating re­ ports for the years 1907 to 1916, Inclusive. It filed a. total of 21 freight tariffs. Tho earliest effective date of any of these tariffs is that of Its I.C.C, Do. 1, February 5, 1915- It filed also a number of passenger con­ currences and poMors of attorney. Ite freight tariffs were headed up aa followsi \ "Mahoning & Shenango hallway & Light Company comprising the following linasi

Mahoning St Shenango Railway & Light Company. Sharon & I’ew Castlo Street Railway Co.ipany i / Mahoning Valley Railway Company 2/ ; , Lew Castle & Low oil Railway Corjpany 2/ Youngstown fr Sharon Street Railway Company 2/ Poland Street Railway Company"

Tho Mahoning It Shenango Railway & Light Company (Pennsylvania) does not appear to have been a party to any proceedings before tho Interstate Com­ merce Coamission and its nans dous not appear in tho Official Guide of Railway® or tho Official Railway Equipment Register. Tho following tablo shows tho revenues of the Company and the equipment and mileage owned by it as reflected In its reports to the Interstate Co.vaereo Commissiont

n;;v;~rnn-!i percor.tago of sruipvrrT freight to pao- Year Freight Pnooonger eenrer revenues Freight Pasaearner Mile a "i „ 1909 v‘ 2v0, u21. 56 12.93 1910 - 204,267 - . - 56 12.93 1911 - 222,18? - - 56 12.93 1912 — 226,740 - - 56 12.93 1913 — 234,333 — - 56 12.93 1914 - 240,644 - — 66 12.14 1915 5481 305,998 - - - 66 12.14 1916 604 403,442 - - 42 36.00

Inforraation furnished by Mr. V>. G, Bourne, Jr., Treasurer, Tho CoenonwealtU (t .Southern Corporation, (which company appears to be In possession of certain records of the ".'(boning ft Ghenango Railway & Light. Company and its successor corporations) with letters dated Kovenber 4, 1941, and Becenbar 10, 1941, is that c*ppraxira;vt«ly 9 per cent of the rail­ way of the Mahoning & Chenango Railway & Light Company (Pennsylvania) was built oil privately ovfned right-of-way and thu balance on public streets or highways; that it handled no freight; that it did not have physical

2/ Thego companies filed separate annual reports with tho Interstate Corcuerco Commission. Kemorandua to The uiroctor of Retirement Claims

connection Tilth any otona carrier; that It did not interchange froieht or paasongorg with any steaa carrier; and that It was not directly or indi­ rectly owned or controlled by or tinder common control with any exproas company, sleeping-car company or carrier by railroad subject to Part I of tho Interstate Comaoreo Act,

Y/'hethor or not the Mahoning & Shonango Railway f< Light Company (Pennsylvania) was a carrier by railroad subject to Part I of tho Inter­ state Commerce Act, it la my opinion, on thu basis of tho foregoing infor­ mation, that tho railway operated by it was nothing more than u street, suburban or lntcrurban electric railway within the exemption proviso in Section 1(a) of tho Railroad Retirement Act. It ovmed no freight equip­ ment; it had no physical connection with any steam carrier; it did not interchango freight or passengers with tiny steam carrier and except for / tho years 1915 and 1916 (for which years It had freight revenues of £481 and A604, respectively), it had no freight revenues. There is nothing in tho information available to chow that tho Mahoning & Shtmango Railway ft Light Company was controllod by or uncier com,:,on control with any "carrier employer" and in any event there is no evidence that in the operation of its power and light properties it performed ur.y ecrvico in connection with tho transportation of paesengors or property by railroad within tho mean­ ing of Section 1(a) of tho Railroad Retirement Act. Therefore, tho Mahoning & bhcnango Railway & Light Coiipany (Pennsylvania) was not an "employer11 under the Railroad Retirement Act. ,,a will appear later In this memorandum, tho Mahoning & Chenango Railway & Light Company (Pennsyl­ vania) was not a "predecessor" within tho moaning of Sections 1(f) and 202 of the Railroad Retirement Act of 1937 end service to it is nob credit­ able under that Act.

Th o Pennsylvania—■,'hlo Line trio Cor.;>any "(Trior to foorunry 21, Ivib, known as Mahoning & Chenango railway & Light Company (Ohio))

Information in various editions of Poor’s and Moody's manuals is that The i’enrteylvania-Ohlo Llectrio Company was incorporated on Au­ gust 20, 1917, under the laws of Ohio, aa tho Mahoning & Shenango Rail­ way & Light Company and in October 1917 "merged and consolidated th® fol­ lowing companies:

Mahoning Valley Railway Company f'ahoning Valley Southeastern Railway Company Poland Atreot Railway Conpany Youngstown Park k Falls Street Railway Company Youngstown & dharon Street Railway Company" L'emrantiua to The Director of Retirement Claims

In addition to Its railway operations, it also conducted tho light and power business In various communities. Its nnao was changed to Tho Portnoylvonia-Ohlo Electric Coupaiy on February 21, 1920.

This consolidation gave the company the ownership and operation of approximately 150 miles of standard gauge electric railway extending from Youngstown, Ohio, to Hew Castle, Pennsylvania. On November 1, 1920, Tho Pennsylvonia-Ohlo Power & Light Company was formed arid took over all tho oloctric light and power proportion and business of Tho Ponnsylvanlu- OhJo Electric Company in tho State of Ohio, the olectvlc railway lines from Youngstown to tho Pennaylvanln-Chlo state lino near Slmron, Pennsyl­ vania, and tho electric railway lit os formerly owned by tho Youngs town Park & Falls Stroot Railway Company in the city of Youngstown, Ohio. The title to the eloctrlo railway lines in and around Sharon, Pennsylvania, was vested in a now company, tho Shenongo Valley Traction Company.2/ On July 1, 1923, the railway linos of The Pennsylvania-Ohio Electric Company from Girard through 7,’arren, $5lies and Lcnvlttsburg and Mineral Ridge, Ohio, were acquired by the Rest End Traction Company,;*/ and on the anno date the line of railway from East Youngstown, Ohio to the Pennsylvania-Ohio state line at Lowollvllle, was acquired by tho East End Traction Company.2/ Thio left Tho Fennoylvania-Ohio Electric Company with 12.3 milos of railway in and around Hew Castle, Pennsylvania, which tere acquired by Tho Pennsylvanin- Ohio Power & Light Company on Juno 11, 1928.

An exminution of the records of tho Interstate Commerce Commis­ sion shown that The Pennsylvania-Ohio Electric Company filed with that Commission annual (electric) operating reports for the years 1917 to 1926, inclusive (the reports for the years 1917, 1913, and 1919 are in tho name of the Mahoning Shermngo Railway 6 Light Company (Ohio)). The folloviing table shows tho rovenuoo of the comp-my end the equipment and mileage owned by it &o reflected in ita annual reportsi

FSVr.TUP::; Percentage of r UP V 'IT freight to pas- Tear Freight Passenr:or Bonder revenues Freight Passanror Rile--0 1917 (13,396 vl,169,651 1.Q5 - 190 146.00 1918 57,003 2,All,527 1.5-u G 192 150.00 1919 39,923 1,602,582 2.3 C 10 205 149.00 1920 53,767 1,475,290 3.6,5 7 36 74.17

2/ Chenango Valley Traction Company has been hold never to have been an "employer” undor tho Railroad Retirement Act. 2oo L-44-461. i j Vest End Traction Company operated these properties until T'.-rrch 10, 1939. -ost End Traction Company Isas been held to have boon an "employer” undor tho Railroad Retirement Act from October 16, 1933 to December 31, 1931. See L-44-357. 5 / East End Traction Company operated tho line ur.til Decentor 31, 1931, when it was abandoned. IX.iOrandum «o The Director of Retirement Claims

RLV5SUH3 Percentage of ' BHIPgSCT freight to pao- Ycir Freight Passenger ronror revonnos Freight Passenger Vlleago

1921 £26,219 # 929,260 2.8* 7 73 49.72 1922 34,630 894,036 3.9* 7 • 82 39.52 1923 26,198 640,012 4.0* 7 73 12.31 1924 - 305,996 - - 26 12.81 1925 - 323,213 - - 26 12.31 1926 - , 328,541 - - 27 12.80

Electric Company filed a total of 50 freight

Railway & Light Company). It filed also numerous freight and passenger con­ currences and powers of attorney. As of I.'ovonber 15, 1920, The Venneylvania- Ohio Power & Light Company adopted the tariffs, concurrences and powers of attorney of The Pennsylvania-Ohio Electric Company "so far no they apply to stations on tho Youngstown end Sharon Division of the Pennsylvania-Ohio Electric Company.H Ao of Juno 11, 1923, The Pennsylvania-Ohio Power & light Company adopted tho balance of tho tariffs, concurrences and powers of attorney of Th© Pennsylvania-Ohio Electric Company. Th© 1- ennoylvonia- Ohio Electric Company does not appear to have beon a party to any proceed­ ings before tho Interstate Cornierce Commission end Its nnraa does not appear in the Official Guide of Railways or in the Official Railway Equipment Register»

V.h other or not The Pennsylvania-Ohio Electric Company was a car­ rier by railroad subject to Part I of tho Interstate Commerce damn lesion, it is my opinion, on the basis of tho foregoing information, that the rail­ way operated by it was nothing more than a street, suburban or interurlrm electric railway within tho exemption proviso In lection 1(a) of tho Rail­ road Retirement -ct. There la nothing in tho records available to ahow that The Pennsylvania-Ohio Electric Company via a owned or controlled by or under common control with any *’carrier vnployor" arid, in any event, there in no evidence that in tho operation of its light and power propertied it performed any service in connection with the transportation of passengers or property by railroad within the moaning of Section 1(a) of the Railroad Retirement Act. Therefore, The t ©nrisylvania-Ohlo ulactric Company wasrot r.n "employer" under that Act. It dooo not appear to have had any ctoaia railroad connections; it owned but a few so-called freight cars; it had freight revenues for tho first si;: years of its exist mce, but its rat's of freight to passenger revenues during that period was never above 4 y 'T cent and averaged about 2 per cent, it had no freight revenues for tho last three years of its operations, bine a no part of its railway was ac­ quired by a company which was a "carrier employer" on August 29, 1935, it was not a "predecessor" within tho r.caning of Sections 1(f) and 202 of tho Railroad Retirement Act of 1937 and service to it is not creditable under that Act. Memorandum to Tho Director of Retirement Claims

Tho Pcr.nsylvanin-Ohio S orcr & Light Conn,any

Information in Poor’s and Goody's manuals la that Tho Pennsylvania- Chlo Power & Light Company was incorporated on October 15, 1920, undor tho lnv<3 of Ohio and on that date acquired from The Pennsylvania-Ohio Electric Company a lino of standard gauge electric railway extending from Youngs­ town, Ohio to the Pennsylvania-Ohio state lino at Sharon, Pennsylvania, approximately 14 miles, and certain electric light and power properties# It operated the railway until Docunber 31, 1929, when tho last augment was cold to the Vie at End Traction Co.rpany. Tho Pennsylvania-Ohio Power & Light Co.ipany was consolidated with others on July 5, 1930, to form the Ohio Edison Company.

An examination of tho records of tho Interstate Commerce Conrala- cion shows that Tho Icnnsylvania-Chio Power & Light Company filed with that Cocirtdasion annual (oloctric) operating reports for the years 1920 to 1929, inclusive. The following table shows the revenues of tho company and the equipment owned by it &s reflected in its annual reports i

pv:;r:u™3 Percentage of rguirr freight to pas­ Year Freight Passenger senger revenues Freight iasscngcr

1920 » 2,791 $ 60,632 4.5* 3 16 1921 6,189 277,675 2.25 3 16 1922 5,357 253,896 2.0,5 3 16 1923 4,672 255,853 1.25 3 16 1924 5,017 223,033 2.25 7 23 1925 6,352 211,111 2.6, 7 23 1926 6,571 223,935 2.Gi 7 23 1927 6,562 211,516 3.11 7 23 1923 6,031 201,536 3.0/5 7 23 1929 7,073 194,163 3.61 7 23

As of November 15, 1920, it adopted tho tariffs, concurrence:), and powers of attorney of Tho Pennsylvania-Ohio Electric Company - Youivratovn- Sharon Division. As of June 11, 192.', it adopted tho balance of tho tariffs, concurrences and powers of attorney of The Lornsylvattla-Ohio lectrio Cc ;r.my. Its tariffs, concurrences and powers of attorney v.oro adopted by the V eat End Traction Co psny as of December 31, 1929. Tho Pennsylvania- hio Power & Light Company does not appear to have been a party to any proceeding before the Interstate Commerce Commission and its name doers not appear in the Official Guide of Railways or in tho Official Railway Equipment Register.

Whether or not Tho Pennsylvania-Ohio Power 6 Light Company was a carrier by railroad subject to Part I of the Interstate Commerce Act, it la my opinion, on the basis of tho foregoing information, that tho , ti.noranriuza to The Director of Retirement Claims

railway operated by it was nothing core than a street, suburban or inter- urban electric railway within the exemption proviso In Section 1(a) of the Railroad Retirement Act. There is nothing in the records available to show that The Pennsylvania—3hio l ower & Light Coripany was owned or controlled by or under common control with any "carrier employer" and, in any event, there is no evidence that in the operation of its light and power properties it performed any service in connection with tho transportation of passengers by railroad within tho meaning of Section 1(a) of the Railroad Retirement Act. Sinco tho host Jind Traction Co«v- rany, which acquired curtain of the railway properties of Tho Pennoylvrnia- Ohio Power & Light Company, ha* boon held never to have bean an "employer*1 undor the Railroad Retireaer.t Act (see L-44-357)» Tho Tcnnaylvaniu-Ohio * Power & Light Company virs not a "prodecesnor" within tho mooning of tho Sections 1(f) and 202 of the Railroad Retirement Act of 1937 and service to It is not creditable under that Act.

Joseph K. Freehill General Counsel