SECTION 1. AMENDMENT.

    The Railway Labor Act (45 U.S.C. 151 et seq.) is amended by 
inserting after section 10 the following new section:

                     ``final arbitration procedures

    ``Sec. 10A. (a) If any dispute with respect to which a board 
created under section 10 has made recommendations remains unresolved 30 
days after the report of such board to the President, the final 
paragraph of section 10 shall apply and be extended for an additional 
period with respect to each such unresolved dispute, so that no change 
shall be made by any carrier or employee affected by such unresolved 
dispute, before a decision is rendered under subsection (c)(4) or the 
parties have reached agreement, in the conditions out of which such 
dispute arose.
    ``(b)(1)(A) Within three days (excluding Saturdays, Sundays, and 
Federal holidays) after the date which is 30 days after a report is 
made to the President under section 10, the carrier parties to the 
unresolved disputes that were the subject of such report, acting 
jointly, and the labor organization parties to such unresolved 
disputes, acting jointly, shall select an individual from the entire 
roster of arbitrators maintained by the National Mediation Board. 
Within six days (excluding Saturdays, Sundays, and Federal holidays) 
after the date which is 30 days after such report under section 10, the 
individual selected by the labor organizations under the preceding 
sentence shall, jointly with the individual selected by the carrier 
parties under the preceding sentence, select an individual from such 
roster to serve as arbitrator for the unresolved disputes involving 
such labor organizations and carriers.
    ``(B) For purposes of this paragraph and subsection (a), a dispute 
as to which tentative agreement has been reached but not ratified shall 
be considered an unresolved dispute.
    ``(2) No individual shall be selected under paragraph (1) who is 
pecuniarily or otherwise interested in any organization of employees or 
any railroad, or who has served as a member of the board created under 
section 10 with respect to the disputes involved.
    ``(3) The compensation of individuals selected under paragraph (1) 
shall be fixed by the National Mediation Board. The second paragraph of 
section 10 of the Railway Labor Act shall apply to the expenses of such 
individuals as if such individuals were members of a board created 
under such section 10.
    ``(c)(1) During the 20-day period beginning on the date which is 30 
days after the relevant report under section 10, the parties to the 
unresolved disputes described in subsection (b)(1) shall conduct 
negotiations for the purpose of reaching agreement with respect to such 
disputes. Arbitrators selected under subsection (b) shall be available 
for consultation with the parties to the unresolved disputes for which 
they have been selected.
    ``(2) If, within the period described in paragraph (1), the parties 
to any dispute described in subsection (b) do not reach agreement, both 
the labor organizations and the carriers shall, within five days after 
the end of such period, submit to the arbitrator and to the other 
parties a proposed written contract embodying their last best offer for 
agreement concerning rates of pay, rules, and working conditions. Such 
proposed written contract shall address only--
            ``(A) issues that the relevant Presidential Emergency Board 
        dealt with by a recommendation in its report; and
            ``(B) other issues that the parties agree may be addressed 
        by the written contract.
    ``(3) Upon submission to the arbitrator of the proposed written 
contracts described in paragraph (2), and for a period of seven days 
thereafter, the parties shall, with the assistance of the arbitrator, 
attempt to reach agreement.
    ``(4) If the parties fail to reach agreement within the period 
described in paragraph (3), the arbitrator, within three days 
thereafter, shall render a decision selecting one of the proposed 
written contracts submitted under paragraph (2), without modification, 
and shall immediately submit such decision and selected contract to the 
President. The selected contract shall be binding on the parties and 
have the same effect as though arrived at by agreement of the parties 
under this Act unless, within three days following receipt of the 
decision and selected contract, the President disapproves such decision 
and contract. If the President disapproves such decision and contract, 
the parties shall have those rights under this Act they had on the date 
which was 30 days after the relevant report under section 10.
    ``(5)(A) With respect to any tentative agreement reached but not 
ratified prior to the date which is 30 days after the relevant report 
under section 10, if the ratification of such tentative agreement 
fails, the parties to such tentative agreement shall be considered 
parties to an unresolved dispute for purposes of this subsection, and 
the time periods described in this subsection shall apply to such 
dispute beginning on the date of such failure.
    ``(B) With respect to any tentative agreement reached after the 
date which is 30 days after the relevant report under section 10, if 
the ratification of such tentative agreement fails, both the labor 
organizations and the carriers party to such tentative agreement shall, 
within five days after the date of such failure, submit to the 
arbitrator and to the other parties a proposed written contract under 
paragraph (2), and shall be subject to paragraphs (3) and (4).
    ``(C) Upon the agreement of the parties to an unresolved dispute, 
final offers may be submitted under paragraph (2) at any time after the 
date which is 30 days after the relevant report under section 10.
    ``(6) The responsibilities of an arbitrator appointed under 
subsection (b) shall terminate upon a decision under paragraph (4) of 
this subsection.
    ``(d) There shall be no judicial review of any decision of an 
arbitrator under this section.
    ``(e) Nothing in this section shall prevent a mutual written 
agreement to any terms and conditions different from those established 
by this section.''.

SEC. 2. EXCLUSION.

    Section 201 of the Railway Labor Act (45 U.S.C. 181) is amended by 
striking ``section 3'' and inserting in lieu thereof ``sections 3 and 
10A''.
Amends the Railway Labor Act to establish final arbitration procedures for settlement of railroad labor-management disputes.
Amending the Railway Labor Act to provide for the settlement of railroad labor-management disputes.