OPS 17-85. SIDE LETTERS FOR WISHRAM-
VANCOUVER-PASCO ID AGREEMENT

SIDE LETTER NO. 1 June 22, 1994                                                            File: BN 6/13/85 OPS 17-85

Mr. D.L. McPherson
General Chairman
Union Depot Place, Suite 3
214 E. 4th Street
St. Paul, MN 55101

Dear Mr. McPherson:

This refers to our discussions of this date concerning the above captioned protective agreement and related Interseniority District freight service between Portland-Vancouver and Pasco.

During our discussion regarding Section 1(b) of this agreement it was recognized that due to the extended period of delay between the date of the agreement and the actual implementation, it was understood that it would be necessary to change the first sentence of said paragraph to read:

It was further understood that the date (May 16, 1984) as contained in Section 4(a) of the above captioned agreement would be amended to read "October 5, 1993".

In recognition of our understandings herein, the date (April 15, 1985) as contained in Question and Answer 15 of the AGREED TO QUESTIONS AND ANSWERS signed June 13, 1985 is hereby amended to read "October 5, 1993".

If this accurately reflects our understanding, please indicate your concurrence by signing in the space provided below.

Sincerely, I Concur:

SIDE LETTER NO. 2 June 22, 1994                                        File: BN 6/13/85 OPS 17-85

Mr. D.L. McPherson
General Chairman
Union Depot Place, Suite 3
214 E. 4th Street
St. Paul, MN 55101

Dear Mr. McPherson:

This refers to our discussions of this date concerning the above captioned protective agreement and related Interseniority District freight service between Portland-Vancouver and Pasco.

During our discussions the subject of comparable housing allowances was considered. In order to resolve the matter, and to develop the necessary comparison, it was necessary to first determine the difference between the average cost of real estate at Wishram and the average cost of real estate at Portland-Vancouver. We agreed to issue instructions to a team of certified real estate appraisers to make comparisons between the cost of housing at Portland-Vancouver and Wishram. It was determined that the cost of housing at Portland-Vancouver exceeds the cost of housing at Wishram by the average of seventy (70) percent. It is evident that an allowance to assist in offsetting the cost of obtaining comparable housing at Portland-Vancouver would be an appropriate item to include as part of this agreement. The following will confirm our understanding on the subject:

1. To share and assist in offsetting the cost of obtaining housing in the Portland-Vancouver area the Carrier will provide a monetary allowance to eligible employees. The housing allowance will be an amount equal to 35% of the appraised value of the employee's home, but shall not be an amount less than $10,000 or exceed the amount of $20,000.

2. The following are examples of application of this understanding.

EXAMPLE 1: If the employee's home is appraised at $45,000, the employee would be entitled to a $15,750 housing allowance

($45,000 X 35% = $15,750).

EXAMPLE 2: If the employee's home is appraised at $70,000, the employee would be entitled to the $20,000 maximum payment.

3. In order to receive a housing allowance, the employee must first apply with the Carrier for relocation benefits by filing form 12602E (Scheduled Employees Transfer Notice). The housing allowance will be paid immediately after the  appraised value of the employee's home has been determined by the two (2) certified real estate appraisers selected by the employee from the list supplied by the relocation company. It is understood that the employee will be required to eventually relocate to the Portland-Vancouver area in order to retain the housing allowance.

4. The housing allowance shall be paid in addition to the moving, real estate and all other protective benefits to which employees are entitled under the terms of this agreement.

5. Employees who reside in Wishram and are currently employed on regular or extra assignments at Bend, OR that may be abolished in the future, will be entitled to the provisions of this side letter, if otherwise qualified.

6. The parties recognize that there are unique circumstances associated with the real estate and housing which relate exclusively to the situation existing between Wishram and Portland-Vancouver. It is understood and agreed that neither party would refer to this agreement, in any forum, as being representative of acceptable terms and conditions for payment of comparable housing allowances in connection with any other existing or proposed interdivisional service.

If this accurately reflects our understanding, please indicate your concurrence by signing in the space provided below.

Sincerely, I Concur:

SIDE LETTER NO. 3 June 22, 1994                                        File: BN 6/13/85 OPS 17-85

Mr. D.L. McPherson
General Chairman
Union Depot Place, Suite 3
214 E. 4th Street
St. Paul, MN 55101

Dear Mr. McPherson:

This refers to our discussions of this date concerning the above captioned agreement and related Interseniority District freight service between Portland-Vancouver and Pasco.

During our discussions of this agreement it was agreed that if an employee lost time as a result of conducting union business and was entitled to protection as a result of the implementation of this interdivisional service, such time would be counted in the computation of their test period and protection rates under this agreement. It further was agreed that the Organization would provide the Carrier a record of the lost earnings of such employees.

If this accurately reflects our understanding, please indicate your concurrence by signing in the space provided below.

Sincerely, I Concur: