Susan's wiring setup is close to what we use at club but we use a 4pdt toggle switch to switch both hot and ground to either route power straight though to the track or switched to route power through the TIU.
Run both wires from your transformer to one pair of the center contacts of the 4pdt switch. Run track wires to the other pair of center contacts. Now wire the 2 lower contacts below the transformer input wire to the other 2 lower contacts below the track wire contacts. The upper contacts above the transformer contacts will be wired to the TIU input terminals and other 2 upper contacts will be wired to the TIU output terminals. Make sure you keep the red hot side of the transformer wired to the red input on the TIU and the red output wired to switch to the center rail track feed.
When the 4pdt toggle is switched up the power will feed from transformer thru TIU and out to track. When the toggle switched down the power will feed straight to the track bypassing the TIU altogether.
The reason we did this is we have some folks who are technically challenged and this way they can run anything in conventional mode with the flip of a switch.
To run TMCC engines in conventional you must turn off the power strip that powers the TMCC Command base.
One other advantage we found was if a Proto2 engine has a low battery it will sometimes not add to the DCS remote. In this case with a flip of the toggle you can switch to Conventional and run the engine for several minutes to bring the battery up enough that it will then add to the remote once the toggle is flipped back up to the TIU DCS position.