INDIANA HARBOR BELT RAILROAD COMPANY

CIRCULAR NOTICE NO. 2

TO: ALL CONCERNED JANUARY 1, 2008

BLOCKED ROAD CROSSINGS

Blocking of road crossings for extended periods of time is a serious problem and is in violation of the Operating Rules, City and State Ordinances.

All train and engine crews of the Indiana Harbor Belt Railroad will be held strictly accountable for blocking

all crossings. We cannot continue to operate and upset the public, police officials of the local communities, or anyone in permitting a train to stand on any crossing longer than the legally authorized time.

Do NOT block crossings if it known that your train will not clear, and in the event you get stopped and know crossing will be blocked for an extended period of time, every effort must be made to cut the crossing.

In the event the crossing is blocked in excess of ten minutes, the IHB Activity and Train Performance Report MUST indicate the delay in detail. The bottom portion of the delay report must also be completed, showing the name of street crossing blocked, times from and to, and reason therefor.

Crews will be held responsible for violations of excessive crossing blockage.

The following is the Illinois Law concerning crossing blockages, 625 12CS 5/18 (C)-7402:

Any railroad corporation violation Sec. 14 of this Act shall be guilty of a petty offense

and fined not less than $200 or more than $500 if the duration of the obstruction is in

excess of 10 minutes but not longer than 15 minutes.

If the duration of the obstruction exceeds 15 minutes, violation shall be a business offense and the following fines shall be imposed:

In excess of 10 minutes but no longer than 15 minutes, the fine shall be not less $200 nor more than $500.

In excess of 15 minutes but no longer than 20 minutes, the fine shall be $500.

In excess of 20 minutes but no longer than 25 minutes, the fine shall be $700.

In excess of 25 minutes but no longer than 30 minutes, the fine shall be $900.

In excess of 30 minutes but no longer than 35 minutes, the fine shall be $1,000.

If the duration of the obstruction is in excess of 35 minutes, the fine shall be $1,000

plus an additional $500 for each 5 minutes of obstruction in excess of 35 minutes.

Any railroad employee violating Sec. 14.2 of this Act shall be guilty of a petty offense.

Another portion of the law has been in effect: The blockage of a crossing for reasons beyond the control of the railroad, such as mechanical failure, is not an offense against the law. the actual wording says a railroad cannot block for more than 10 minutes, "except where such train, railroad car or engine cannot be moved by reason of circumstances over which the railroad has no control." Therefore, it is imperative that conductors indicate on their delay report all pertinent information concerning any delay occurred over public crossings at grade, including equipment failure, giving car initial, numbers, and placement in train.

D.D. Kelley

Transportation Superintendent