SECTION 1. FINDINGS.

    Congress finds that--
            (1) railroad activity has significantly increased in recent 
        years;
            (2) rail intermodal traffic has increased by 40 percent 
        over the last decade;
            (3) more than 9,000,000 containers and trailers traveled 
        the Nation's rails in 1999, up 3.1 percent from the previous 
        year;
            (4) the impact of increased railroad activity is having a 
        negative impact on the quality of life of many communities 
        throughout the United States;
            (5) increased noise associated with railroad activities is 
        a serious and growing concern of many local communities;
            (6) current Federal laws fail to provide local communities 
        with the authority to participate in railroad activity in their 
        community;
            (7) Federal laws also fail to provide incentives to 
        communities and railroads for noise abatement and other 
        activities to address the concerns related to railroad 
        activity; and
            (8) railroad noise abatement technology is an emerging 
        component of transportation research and should be given 
        greater support by the Federal Government.

SEC. 2. STUDY OF ADVERSE EFFECTS OF IDLING TRAIN ENGINES.

    (a) Study Required.--The Secretary of Transportation shall provide 
under section 150303 of title 36, United States Code, for the National 
Academy of Sciences to conduct a study on noise impacts of railroad 
operations, including idling train engines on the quality of life of 
nearby communities, the quality of the environment (including 
consideration of air pollution), and safety, and to submit a report on 
the study to the Secretary. The report shall include recommendations 
for mitigation to combat rail noise, standards for determining when 
noise mitigation is required, needed changes in Federal law to give 
Federal, State, and local governments flexibility in combating railroad 
noise, and possible funding mechanisms for financing mitigation 
projects.
    (b) Report.--Not later than one year after the date of the 
enactment of this Act, the Secretary of Transportation shall transmit 
to Congress the report of the National Academy of Sciences on the 
results of the study under subsection (a).

SEC. 3. CREDIT FOR PURCHASE AND INSTALLATION OF SOUND BARRIERS FOR THE 
              ABATEMENT OF RAILROAD NOISE.

    (a) In General.--Subpart B of part IV of subchapter A of chapter 1 
of the Internal Revenue Code of 1986 (relating to general business 
credits) is amended by adding at the end the following:

``SEC. 45D. CREDIT FOR PURCHASE AND INSTALLATION OF SOUND BARRIERS AND 
              THE IMPLEMENTATION OF OTHER ACTIVITIES FOR THE ABATEMENT 
              OF RAILROAD NOISE.

    ``(a) In General.--For purposes of section 38, in the case of an 
eligible taxpayer, the amount of the railroad noise abatement credit 
determined under this section for any taxable year shall be the amount 
equal to 50 percent of the eligible railroad noise abatement 
expenditures for the taxable year.
    ``(b) Eligible Taxpayer.--For purposes of this section, the term 
`eligible taxpayer' means any rail carrier (including any railroad 
carrier, as defined in section 20102 of title 49, United States Code) 
that owns property adjacent to railroad tracks.
    ``(c) Eligible Railroad Noise Abatement Expenditures.--For purposes 
of this section--
            ``(1) In general.--The term `eligible railroad noise 
        abatement expenditures' means amounts paid or incurred by an 
        eligible taxpayer for the purposes of installing sound barriers 
        on property (owned by the taxpayer) adjacent to railroad tracks 
        (including the costs of purchasing the sound barriers), and 
        implementing other activities, to abate for populations in the 
        vicinity of the operation of trains by that taxpayer the noise 
        of the trains to levels within standards prescribed by the 
        Administrator of the Environmental Protection Agency that are 
        in effect as of the date of enactment of this section, but only 
        if the taxpayer consulted on the sound barriers or other noise 
        abatement activities, in advance, with the officials of the 
        government of each municipality or other political subdivision 
        of a State in which the taxpayer installs the sound barriers or 
        engages in the other sound abatement activities.
            ``(2) Sound barriers.--The term `sound barriers' means any 
        physical feature that abates the propagation of sound, 
        including--
                    ``(A) trees, shrubbery, or other botanic life, or
                    ``(B) a manmade structure.
            ``(3) Expenditures must be reasonable.--Amounts paid or 
        incurred for the purposes described in paragraph (1) shall 
        include only expenditures which are reasonable and shall not 
        include expenditures which are unnecessary to accomplish such 
        purposes.
    ``(d) Denial of Double Benefit.--In the case of the amount of the 
credit determined under this section--
            ``(1) no deduction or credit shall be allowed for such 
        amount under any other provision of this chapter, and
            ``(2) no increase in the adjusted basis of any property 
        shall result from such amount.''.
    (b) Inclusion in General Business Credit.--
            (1) In general.--Section 38(b) of the Internal Revenue Code 
        of 1986 (relating to current year business credit) is amended 
        by striking ``plus'' at the end of paragraph (11), by striking 
        the period at the end of paragraph (12) and inserting ``, 
        plus'', and by adding at the end the following:
            ``(13) the railroad noise abatement credit determined under 
        section 45D(a).''.
            (2) Transition rule.--Section 39(d) of such Code (relating 
        to transitional rules) is amended by adding at the end the 
        following:
            ``(9) No carryback of section 45d credit before 
        enactment.--No portion of the unused business credit for any 
        taxable year which is attributable to the railroad noise 
        abatement credit determined under section 45D may be carried 
        back to a taxable year ending before the date of the enactment 
        of section 45D.''.
    (c) Conforming Amendment.--The table of sections for subpart D of 
part IV of subchapter A of chapter 1 of the Internal Revenue Code of 
1986 is amended by adding at the end the following new item:

                              ``Sec. 45D. Credit for purchase and 
                                        installation of sound barriers 
                                        for the abatement of railroad 
                                        noise.''.
    (d) Effective Date.--The amendments made by this section shall 
apply to taxable years beginning after December 31, 2000.

SEC. 4. RAILROAD NOISE ABATEMENT ACTIVITIES.

    The first sentence of section 130(a) of title 23, United States 
Code, is amended by inserting ``and the entire cost of activities for 
the abatement of the noise of trains (as defined by the Secretary), 
including construction of sound barriers on public lands or on private 
property with the consent of the property owner,''.

SEC. 5. RAILROAD NOISE ABATEMENT RESEARCH.

    Section 20108(a) of title 49, United States Code, is amended by 
inserting before the period at the end the following: ``and research 
and development on technologies for the abatement of railroad noise''.

SEC. 6. CONSOLIDATIONS, MERGERS, AND ACQUISITION OF CONTROL.

    Section 11324 of title 49, United States Code, is amended--
            (1) in subsection (a), by inserting ``and the chief 
        executive of any city'' after ``chief executive of each 
        State''; and
            (2) in subsection (b)--
                    (A) by striking ``and'' at the end of paragraph 
                (4);
                    (B) by striking the period at the end of paragraph 
                (5) and inserting a semicolon; and
                    (C) by adding at the end the following:
            ``(6) the safety and environmental effects of the proposed 
        transaction, which shall include thorough consideration of a 
        traffic study and environmental impact statement, as well as 
        complete consideration of any appropriate safety studies;
            ``(7) a federalism impact assessment that addresses the 
        preemptive impact of, and associated costs incurred by State 
        and local governments as a result of, such proposed 
        transaction; and
            ``(8) all mitigation and impact costs attributed to the 
        transaction, and the extent to which existing local standards 
        will be compromised or lessened if the transaction is approved.

SEC. 7. IMPACT OF RAIL CARRIER ACTIONS ON LOCALITIES.

    (a) Notification of Potential Impacts on Localities.--
            (1) Requirement.--Before taking an action described in 
        paragraph (2), a rail carrier shall transmit a notification of 
        the planned action to the following:
                    (A) Affected states.--To the chief executive of 
                each State in which the action is to planned to be 
                taken.
                    (B) Affected communities.--To the chief executive 
                of each municipality or other political subdivision of 
                a State in which, or adjacent to which, the action is 
                to planned to be taken.
            (2) Actions increasing noise.--The requirement for advance 
        notification in paragraph (1) applies to the following actions:
                    (A) Rail activation or expansion.--A rail 
                activation or expansion.
                    (B) Rail yard activation or expansion.--A rail yard 
                activation or expansion.
                    (C) Increased rail traffic.--An increase of rail 
                traffic.
                    (D) Other increases in noise of rail traffic.--Any 
                action that increases the noise of rail traffic.
                    (E) Land acquisitions.--A land acquisition.
                    (F) Other.--The initiation of any other new or 
                newly modified rail carrier operation to which the 
                Secretary of Transportation applies the notification 
                requirement under this subsection in regulations 
                prescribed by the Secretary.
    (b) Opportunity for Public Comment.--
            (1) Comment period.--The Secretary of Transportation shall 
        promulgate regulations that provide localities with a right to 
        submit to the Secretary public comments on the commencement of 
        an activity for which a notification is required under 
        subsection (a). The period for the submission of comments shall 
        be not less than 30 days prior to the commencement of the 
        activity.
            (2) Appeals.--The Secretary shall also provide localities 
        with the opportunity to appeal to the Secretary for a final 
        determination of any action that may be taken within the 
        Department of Transportation on the activity.
            (3) Suspension of action pending comment and appeal.--A 
        rail carrier may not initiate any action to which subsection 
        (a) applies during the period provided under paragraph (1) for 
        public comment on the action nor during a period for which an 
        appeal of the action is pending under paragraph (2).
Amends the Internal Revenue Code to allow an eligible taxpayer (rail carrier that owns property adjacent to railroad tracks) to take a general business tax credit in an amount equal to 50 percent of the eligible railroad noise abatement expenditures for the taxable year. Defines "eligible railroad noise abatement expenditures" as amounts paid by an eligible taxpayer for installation of sound barriers on property adjacent to railroad tracks, including the implementation of other activities to abate the noise of trains to within levels prescribed by the Environmental Protection Agency.
Amends Federal highway law to authorize payment from a State's Federal-aid highway fund apportionment for the entire cost of activities for the abatement of the noise of trains, including construction of sound barriers on public lands or on private property with the consent of the property owner.
Amends Federal transportation law to revise certain factors the Surface Transportation Board must consider in a proceeding to approve the consolidation, merger, or acquisition of control of at least two Class I railroads. Includes among such factors: (1) the safety and environmental effects of the proposed transaction; (2) a federalism impact assessment that addresses the preemptive impact of, and associated costs incurred by State and local governments as a result of, such proposed transaction; and (3) all mitigation and impact costs attributed to the transaction.
Requires an rail carrier to notify the Governor of the State and its affected communities before it takes any rail-related actions that may increase noise levels there.
A bill to provide for the abatement of noise and other adverse effects of idling train engines, and for other purposes.