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Cross block Continuity Bug

My DCS-controlled layout has a single TIU, and two Lionel 180-Watt Powerhouse Power Supplies, each powering one of the two channels of the TIU. The layout is divided into two power districts.  The frontier of the two districts is insulated with insulating conductors on all three rails.  (I know... that's a beginner's error, only the center rail needs to be insulated.)  I performed a continuity check and both outside rails are demonstrably insulated.  However, the center rail, despite its nylon insulator, is showing connection.  It shows connection even when disassembled, meaning that somewhere there is a connection between the two zones.  The problem first manifested itself by my locos losing power as they passed between the two power districts.  Go slow and they stall at the border.  Go fast and they slow down but eventually after about a foot, get enough power to continue on.  Both sides of the border are showing 18 volts.  Question 1:  At the border between the two power districts, the center rail should NOT show continuity on the two sides of the nylon insulator.  Correct?  Question 2: Any ideas where the connection might be coming from?

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OGR Publishing, Inc., 1310 Eastside Centre Ct, Suite 6, Mountain Home, AR 72653
800-980-OGRR (6477)
www.ogaugerr.com

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