Railroad Clearinghouse Update ACACSO – November 12 th, 2008 Orlando, FL Robert Sanford Manager Car...
16
Railroad Railroad Clearinghouse Clearinghouse Update Update ACACSO – November 12 ACACSO – November 12 th th , 2008 , 2008 Orlando, FL Orlando, FL Robert Sanford Robert Sanford Manager Car Accounting Manager Car Accounting
-
Upload
doris-stevenson -
Category
Documents
-
view
215 -
download
0
Transcript of Railroad Clearinghouse Update ACACSO – November 12 th, 2008 Orlando, FL Robert Sanford Manager Car...
Railroad Railroad Clearinghouse Clearinghouse
UpdateUpdateACACSO – November 12ACACSO – November 12thth, 2008, 2008
Orlando, FLOrlando, FL
Robert SanfordRobert SanfordManager Car AccountingManager Car Accounting
• Electronic detail submitted to Railinc via the Car Hire Data Exchange (CHDX)– Supplemental detail submitted manually
through paper documents
• Paper Appendix H submitted via US Mail to each business partner
• Appendix H may not balance to the CHDX details
Prior Settlement ProcessPrior Settlement Process
Prior Settlement ProcessPrior Settlement Process
• Cash settlement is made based on bilateral arrangements between business partners– Net basis– Gross basis– Form of payment – Check, Draft, EFT, ACH
• Timing of settlement varies– Some payments are timely– Some payments are late – sometimes significantly
RCH Settlement ProcessRCH Settlement Process
• Detail records submitted electronically to Railinc through Car Hire Data Exchange (CHDX)
• CHDX Summary Records (Type 9) are used to determine the net car hire position of each participant
• Net-Net Position reports produced by Railinc
Process Flow - DataProcess Flow - DataROAD B
CHDX
RCH SYSTEM
Processes CHDX data
by the 19th of each month
Net/Net Position Report
Reports created on the 20th of
each month
ROAD A ROAD C
Process Flow - SettlementProcess Flow - Settlement
ROAD BROAD A ROAD C
Net/Net Position Report
Funds Transfer
Clearing House Bank
Roads retrieve
reports from Railinc
Website
Funds due to bank by 11:30 A.M. on the 21st
TimelineTimeline
Monthly RCH processing:• 19th - CHDX details processed through RCH• 20th – Net/Net Reports available by 10:00 A.M.• 21st – For net payable participants, funds must be
received by 11:30 A.M.• 21st – For net receivable participants, funds are
disbursed by 2:00 P.M.
* RCH processing will occur on the next business day for any date which falls on a weekend or holiday
Designed to allow each participant to:• Enter Negative Payable thresholds• Contact information
– Set up email notifications• Review rejected participant report
– Current– Historical
Designed to allow non-CHDX participants to:• Enter CHDX detail records
CHDX ApplicationCHDX Application
Designed to allow each participant to confidentially:• Set a threshold for negative car hire positions• Set thresholds for individual participant roads
– Default negative limit is $0.00• Set a specific time frame for each entry
* Negative payable table entries must be updated by the 11th of each month for current month RCH processing
Negative Payable TableNegative Payable Table
Designed to allow each participant to:• Access Net/Net Reports
– Current– Historical
• View Carrier Roll Up Report– Defines participant controlling road
relationships
• Unprocessed Road Report– CHDX roads which did not settle through RCH
RCH ApplicationRCH Application
• A.A.R. Code of Car Hire Rules 3 & 14 (Circular OT-10)
• A.A.R. Code of Trailer and Container Reporting Rules 3 &14 (Circular OT-36-I)
• Only applies to railroad owned rail equipment, trailers, and containers
Car Hire RulesCar Hire Rules
• Electronic settlement eliminates:– Paper Appendix H– Balancing errors between Appendix H and
CHDX detail• Decreased collection time• Decreased costs from:
– Processing payments– Reconciling accounts and bank statements
• Improved audit trail
BenefitsBenefits
• 1st RCH processing and settlement occurred on September 23rd, 2008
• $50M average monthly settlement• 80.4% of roads participating:
– 460 participating roads– 112 non-participants (some are no longer
active operating railroads)
• 7.9M CHDX records processed
Current StatusCurrent Status
• Explore the possibility of adding:– Shippers– Private Car Owners– Leasing Companies– TTX Company
• Increase RCH participation
• Decrease errors submitted on CHDX
Future of RCHFuture of RCH
Important Information and ContactsImportant Information and Contacts
Railinc Single Sign On Website Address:
https://www.railinc.com/sso
Contacts• Mr. Warren Alvis - RCH Administrator
– 919-651-5001 [email protected]
• Jim Pinson – General Questions– 919-651-5047 [email protected]
• Robert Sanford – RCH TAG Chair– 404-529-1011 [email protected]
Questions?Questions?
