[Code of Federal Regulations]
[Title 49, Volume 8]
[Revised as of October 1, 2004]
From the U.S. Government Printing Office via GPO Access
[CITE: 49CFR1242.06]

[Page 173-174]
 
                        TITLE 49--TRANSPORTATION
 
 CHAPTER X--SURFACE TRANSPORTATION BOARD, DEPARTMENT OF TRANSPORTATION 
                               (Continued)
 
PART 1242_SEPARATION OF COMMON OPERATING EXPENSES BETWEEN FREIGHT SERVICE 
AND PASSENGER SERVICE FOR RAILROADS\1\ --Table of Contents
 
Sec. 1242.06  Instructions for separation.

    (a) Certain instructions for separating common expense accounts 
(dependent accounts) between freight and passenger services base the 
allocation on the proportional freight/passenger separation of other 
common expense accounts (independent accounts). The dependent account is 
frequently identified by an ``XX'' symbol in the natural expense 
position (first two digits) with corresponding independent accounts also 
identified by the ``XX'' natural expense symbol. Unless otherwise 
stated, the applicable natural expense associated with ``XX'' symbol 
shall be the same for both the dependent and independent accounts.
    (b) To illustrate, Sec. 1242.10 provides instructions for 
separating common Way and Structures, Administration--Track accounts 
(dependent accounts) designated by XX-19-02. The separation is based on 
certain other common Way and Structures accounts including Roadway--
Running, XX-17-10, and Roadway--Switching, XX-18-10.
    (c) As Sec. 1242.05 states, the ``XX'' symbol denotes the following 
natural expenses for Way and Structures administration functions:

11--Salaries and wages,
21--Materials, tools, supplies, fuels, and lubricants,
41--Other purchased services, and
61--General.


These natural expenses shall be individually applied to the separation 
rules in Sec. 1242.10. In each case, the independent accounts providing 
the basis for freight/passenger separation of the dependent account 
shall have the same natural expense designation. For example, the basis 
of separating account 11-19-02, Salaries and Wages, Way and Structures, 
Administration--Track, would be based on certain independent accounts 
including 11-17/18-10, Salaries and Wages, Way and Structures, Running/
Switching, Repair and Maintenance, Roadway.

[[Page 174]]

                 Operating Expenses--Way and Structures