I

104TH CONGRESS

1ST SESSION H. R. 1436

To amend subtitle IV of title 49, United States Code, to eliminate unnecessary

regulation of transportation industries, to streamline regulation of rail

carriers, to sunset the Interstate Commerce Commission, and for other

purposes.

IN THE HOUSE OF REPRESENTATIVES

APRIL 6, 1995

Mr. LIPINSKI (for himself and Mr. MINETA) (both by request) introduced the

following bill; which was referred to the Committee on Transportation

and Infrastructure

A BILL

To amend subtitle IV of title 49, United States Code, to

eliminate unnecessary regulation of transportation industries, to streamline regulation of rail carriers, to sunset

the Interstate Commerce Commission, and for other purposes.

1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled,

3 That this Act may be cited as the ‘‘Interstate Commerce

4 Commission Sunset Act of 1995’’.

5 PURPOSE OF THE ACT

6 SEC. 2. This Act is a part of the continuing effort

7 by Congress to eliminate unnecessary and burdensome
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1 government regulation of our Nation’s transportation in2 dustries and to streamline the remaining regulation in

3 order to improve the productivity and competitiveness of

4 United States industries in domestic and world markets.

5 FINDINGS

6 SEC. 3. FINDINGS.—The Congress finds that—

7 (a) a safe, sound, competitive, and efficient

8 transportation system is vital to the maintenance of

9 a strong national economy, an improved balance of

10 payments, and a strong national defense;

11 (b) protective regulation is outdated, unneces12 sary and has resulted in operating and pricing ineffi13 ciencies, has tended to suppress technological and

14 managerial innovation, and has tended to restrict

15 the range of price and service options available to

16 shippers and passengers;

17 (c) available evidence suggests that many bil18 lions of dollars in savings to consumers and a broad

19 range of United States industries have already ac20 crued from recent transportation reforms, and that

21 removal of the remaining regulations and adoption

22 of additional transportation productivity measures

23 will result in additional consumer benefits and sav24 ings that will enable United States companies to be25 come more productive and competitive in domestic

26 and world markets;
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1 (d) the Interstate Commerce Commission’s reg2 ulatory responsibilities over the transportation of

3 property by railroads should be reduced and trans4 ferred to the Departments of Transportation and

5 Labor;

6 (e) antitrust immunity for regulated carriers

7 should be eliminated and such carriers should be

8 subject to the normal antitrust laws applicable to

9 most industries;

10 (f) the Interstate Commerce Commission should

11 cease operation as of September 30, 1996; and

12 (g) legislative and resulting changes should be

13 implemented with the least amount of disruption

14 consistent with achieving the reforms enacted.

15 TERMINATION OF AUTHORITY

16 SEC. 4. (a) Section 307 of title 49, United States

17 Code, is repealed.

18 (b) The following provisions of chapter 103 of title

19 49, United States Code, are repealed effective September

20 30, 1996:

21 (1) Section 10301.

22 (2) Section 10302.

23 (3) Section 10304.

24 (4) Section 10305.

25 (5) Section 10306.

26 (6) Section 10307.
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1 (7) Section 10308.

2 (8) Section 10309.

3 (9) Section 10310(b).

4 (10) Section 10311.

5 (11) Section 10322.

6 (12) Section 10326.

7 (13) Subsection (b) of section 10328.

8 (14) Subsections 10329(a)(2), 10329(c) (2) and

9 (3), and 10329(e).

10 (15) Subsection 10330.

11 (16) Subchapter III—Joint Boards.

12 (17) Section 10361.

13 (18) Section 10362.

14 (19) Section 10363.

15 (20) Section 10364.

16 (21) Subchapter V—Office of Rail Public Coun17 sel.

18 (c) The following provisions of chapter 105 of title

19 49, United States Code, are repealed effective September

20 30, 1996, except for section 10530:

21 (1) Section 10502.

22 (2) Section 10503.

23 (3) Section 10504.

24 (4) Sections 10521 through 10531.

25 (5) Subchapter III.
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1 (6) Subchapter IV.

2 (d) The following provisions of chapter 107 of title

3 49, United States Code, are repealed effective September

4 30, 1996:

5 (1) Subsections (c), (d), and (e) of section

6 10701.

7 (2) Subsection (c) of section 10701a.

8 (3) Section 10702.

9 (4) Section 10703.

10 (5) Section 10705a.

11 (6) Section 10706.

12 (7) Section 10707.

13 (8) Section 10708.

14 (9) Section 10710.

15 (10) Section 10711.

16 (11) Section 10712.

17 (12) Section 10722.

18 (13) Section 10723.

19 (14) Section 10724.

20 (15) Section 10725.

21 (16) Section 10726.

22 (17) Section 10728.

23 (18) Section 10730.

24 (19) Section 10731.

25 (20) Section 10733.
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1 (21) Section 10734.

2 (22) Section 10735.

3 (23) Section 10741.

4 (24) Section 10742.

5 (25) Section 10743.

6 (26) Section 10744.

7 (27) Section 10745.

8 (28) Section 10746.

9 (29) Section 10747.

10 (30) Section 10748.

11 (31) Section 10749.

12 (32) Section 10751.

13 (33) Section 10761.

14 (34) Subsections (a)(1), (a)(2), (b), (c), (d), (e),

15 (f), (g), and (j) of section 10762.

16 (35) Subsections (b) and (c) of section 10763.

17 (36) Section 10764.

18 (37) Section 10765.

19 (38) Section 10766.

20 (39) Section 10767.

21 (40) Subchapter V of chapter 107.

22 (e) The following provisions of chapter 109 of title

23 49, United States Code, are repealed effective September

24 30, 1996:
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1 (1) Subsections (a), (b), and (c) of section

2 10901.

3 (2) Section 10902.

4 (3) Section 10904.

5 (4) Subsection (a) of section 10907.

6 (5) Section 10908.

7 (6) Section 10909.

8 (7) Subchapter II of chapter 109.

9 (f) The following provisions of chapter 111 of title

10 49, United States Code, are repealed effective September

11 30, 1996:

12 (1) Subsections (b) and (c) of section 11101.

13 (2) Section 11102.

14 (3) Section 11105.

15 (4) Section 11106.

16 (5) Section 11108.

17 (6) Section 11110.

18 (7) Section 11111.

19 (8) Section 11121.

20 (9) Section 11124.

21 (10) Section 11126.

22 (11) Section 11127.

23 (12) Section 11142.

24 (13) Section 11161.

25 (14) Section 11162.
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1 (15) Section 11163.

2 (16) Section 11164.

3 (17) Section 11167.

4 (18) Section 11168.

5 (g) The following provisions of chapter 113 of title

6 49, United States Code, are repealed effective September

7 30, 1996:

8 (1) Section 11301.

9 (2) Section 11304.

10 (3) Section 11321.

11 (4) Section 11322.

12 (5) Section 11323.

13 (6) Section 11341.

14 (7) Section 11342.

15 (8) Section 11343.

16 (9) Section 11344.

17 (10) Section 11345.

18 (11) Section 11345a.

19 (12) Section 11346.

20 (13) Section 11348.

21 (14) Section 11349.

22 (15) Section 11350.

23 (16) Section 11351.

24 (17) Section 11361.

25 (18) Section 11362.
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1 (19) Section 11363.

2 (20) Section 11364.

3 (21) Section 11365.

4 (22) Section 11366.

5 (23) Section 11367.

6 (h) The following provisions of chapter 115 of title

7 49, United States Code, are repealed effective September

8 30, 1996:

9 (1) Section 11502.

10 (2) Section 11505.

11 (3) Section 11506.

12 (4) Section 11507.

13 (i) The following provisions of chapter 117 of title

14 49, United States Code, are repealed effective September

15 30, 1996:

16 (1) Section 11702.

17 (2) Section 11704.

18 (3) Section 11708.

19 (4) Section 11709.

20 (5) Section 11711.

21 (6) Section 11712.

22 (j) The following provisions of chapter 119 of title

23 49, United States Code, are repealed effective September

24 30, 1996:

25 (1) Section 11901 (c) and (g) through (l).
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1 (2) Section 11902.

2 (3) Section 11903.

3 (4) Section 11904.

4 (5) Section 11905.

5 (6) Section 11906.

6 (7) Section 11907.

7 (8) Section 11908.

8 (9) Subsections (b), (c), and (d) of section

9 11909.

10 (10) Section 11911.

11 (11) Section 11912.

12 (12) Section 11913a.

13 (13) Subsections (b), (c), and (d) of section

14 11914.

15 (14) Section 11916.

16 (15) Section 11917.

17 TRANSFER OF AUTHORITY TO DEPARTMENT OF

18 TRANSPORTATION

19 SEC. 5. (a) For purposes of the authorities trans20 ferred by this section, unless otherwise specified, the fol21 lowing provisions are amended in general by striking ref22 erence to the ‘‘Interstate Commerce Commission’’ or

23 ‘‘Commission’’ wherever those terms appear and inserting

24 ‘‘Secretary’’ in lieu thereof where appropriate.

25 (b) There are hereby transferred to and vested in the

26 Secretary of Transportation all functions, powers and du-
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1 ties of the Interstate Commerce Commission under the fol2 lowing sections of chapter 101 of title 49, United States

3 Code, effective September 30, 1996:

4 (1) Section 10101 is amended in subsection (a)

5 as follows:

6 (A) By striking ‘‘to provide for the impar7 tial regulation of the modes of transportation

8 subject to this subtitle, and—’’.

9 (B) By amending subparagraphs (1) and

10 (2) to read as follows:

11 ‘‘(1) to promote safe, adequate, economical, and

12 efficient transportation; and

13 ‘‘(2) to cooperate with each State and the offi14 cials of each State on transportation matters.’’.

15 (C) By striking subparagraph (3).

16 (2) Section 10101a, is amended by striking

17 paragraphs (11) and (13).

18 (3) Section 10102, is amended as follows:

19 (A) In subparagraph (4)—

20 (i) by striking ‘‘an express carrier, a

21 pipeline carrier,’’;

22 (ii) by striking ‘‘a sleeping car car23 rier,’’; and

24 (iii) by striking ‘‘household goods’’.

25 (B) By striking subparagraph (5).
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1 (C) In subparagraph (6), by striking

2 ‘‘and’’ and inserting a comma in lieu thereof

3 and by inserting ‘‘and a freight forwarder’’ at

4 the end of subparagraph.

5 (D) By striking subparagraph (8).

6 (E) In subparagraph (9)—

7 (i) by striking ‘‘holding itself out to

8 the general public (other than as an ex9 press, pipeline, rail, sleeping car, motor, or

10 water carrier) to provide’’ and inserting

11 ‘‘that provides’’ in lieu thereof;

12 (ii) by inserting ‘‘and’’ after the semi13 colon following subparagraph (A);

14 (iii) by striking ‘‘and’’ after the semi15 colon following subparagraph (B) and in16 serting a period in lieu thereof; and

17 (iv) in subparagraph (C) by inserting

18 before the word ‘‘carrier’’ the following:

19 ‘‘motor, water or rail’’ and by striking

20 ‘‘subject to the jurisdiction of the Inter21 state Commerce Commission under sub22 chapter I, II, or III of chapter 105 of this

23 title’’.
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1 (F) In subparagraph (11) by striking ‘‘as

2 the Commission may provide by regulation’’

3 each time it appears.

4 (G) By striking subparagraph (12).

5 (H) In subparagraph (13)(B) by striking

6 ‘‘approved under section 10706(b)’’.

7 (I) By inserting after the definition of ‘‘in8 dividually determined rate, classification, rule,

9 or practice’’ a new subparagraph as follows:

10 ‘‘(11) ‘interstate transportation’ means trans11 portation—

12 ‘‘(A) between a place in—

13 ‘‘(i) a State and a place in another

14 State;

15 ‘‘(ii) a State and another place in the

16 same State through another State;

17 ‘‘(iii) the United States and a place in

18 a territory or possession of the United

19 States to the extent the transportation is

20 in the United States or on the high seas;

21 ‘‘(iv) the United States and another

22 place in the United States through a for23 eign country to the extent the transpor24 tation is in the United States; or
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1 ‘‘(v) the United States and a place in

2 a foreign country to the extent the trans3 portation is in the United States; and

4 ‘‘(B) in a reservation under the exclusive

5 jurisdiction of the United States or on a public

6 highway.’’.

7 (J) In subparagraph (15) by inserting ‘‘ex8 cept that after the date of enactment of this

9 Act, it shall mean a motor carrier’’ at the end

10 of the sentence.

11 (K) Subparagraph (16) is amended to read

12 as follows:

13 ‘‘(16) ‘motor contract carrier’ means a person,

14 other than a motor common carrier, providing motor

15 vehicle transportation for compensation under con16 tinuing agreements with a person or a number of

17 persons, except that after the date of enactment of

18 this Act, it shall mean a motor carrier.’’.

19 (L) In subparagraph (17)(A) by striking

20 ‘‘as provided in section 10521 (a) (1) and (2)

21 of this title’’ and inserting ‘‘interstate transpor22 tation’’ in lieu thereof.

23 (M) In subparagraph (18) by striking ‘‘de24 termined by the Commission’’ and inserting

25 ‘‘thereof’’ in lieu thereof.
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1 (N) By striking subparagraph (21).

2 (O) In subparagraph (23) by striking

3 ‘‘lighter, and ferry’’ and inserting ‘‘and ferry’’

4 in lieu thereof.

5 (P) In subparagraph (24) by striking ‘‘,

6 fare,’’.

7 (Q) By striking subparagraph (25).

8 (R) In subparagraph (28)—

9 (i) in subparagraph (A) by striking

10 ‘‘of passengers or’’ and by striking ‘‘, or

11 both, ’’, and

12 (ii) in subparagraph (B) by striking

13 ‘‘passengers and’’.

14 (S) In subparagraph (33) by striking ‘‘sub15 ject to the jurisdiction of the Commission under

16 this subtitle’’; and

17 (T) By redesignating the subparagraphs of

18 section 10102, as amended, as subparagraphs

19 (1) through (29), respectively.

20 (4) Section 10103.

21 (c) There are hereby transferred to and vested in the

22 Secretary of Transportation all functions, powers and du23 ties of the Interstate Commerce Commission under the fol24 lowing sections of chapter 103 of title 49, United States

25 Code, effective September 30, 1996:
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1 (1) Section 10303, as amended by striking sub2 paragraph (a) and the designator ‘‘(b)’’.

3 (2) Subsection (a) of section 10310.

4 (3) Section 10321, is amended as follows:

5 (A) By striking ‘‘, and brokers for,’’ in

6 subsection (b)(1).

7 (B) By striking ‘‘or brokers’’ and ‘‘or

8 broker’’ in subsection (b)(2).

9 (C) By striking ‘‘, brokers,’’ in subsection

10 (b)(3).

11 (D) By repealing subsection (b)(4).

12 (E) In subsection (c)(1) by striking ‘‘The

13 Commission, an individual Commissioner, an

14 employee board, an employee delegated to act

15 under section 10305 of this title’’ and inserting

16 ‘‘the Secretary,’’ in lieu thereof and in the sec17 ond sentence by striking ‘‘the Commission’’

18 where it first appears and inserting in lieu

19 thereof ‘‘the Attorney General, on behalf of the

20 Secretary,’’.

21 (F) By striking subparagraph (c)(2).

22 (4) Section 10324.

23 (5) Section 10327, is amended to read as

24 follows:
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1 ‘‘§ 10327. Rules of procedure

2 ‘‘(a) The Secretary shall promulgate rules establish3 ing simplified procedures for the disposition of proceedings

4 under this subtitle. Such rules shall provide for adequate

5 notice and an opportunity for any interested person to file

6 appropriate written evidence and argument but need not

7 provide for oral evidentiary hearings.

8 ‘‘(b) The Secretary may use such simplified proce9 dures in any case if the Secretary determines that the use

10 of such simplified procedures is in the public interest. The

11 rules adopted by the Secretary pursuant to this section

12 shall, to the extent the Secretary finds it practicable, set

13 forth the standards the Secretary intends to apply in de14 termining whether to employ such simplified procedures,

15 and in deciding cases in which such procedures are

16 employed.’’

17 (6) Section 10328(a).

18 (7) Section 10329 as follows:

19 (A) Subparagraph (a)(1).

20 (B) Subparagraph (b), except for the sec21 ond sentence dealing with transportation by

22 motor carrier or broker.

23 (C) Subparagraph (c)(1), insofar as it ap24 plies to rail carriers.
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1 (D) Subparagraph (d), insofar as it applies

2 to rail carriers and amended by striking ‘‘in

3 fact who filed the tariff’’.

4 (d) There are hereby transferred to and vested in the

5 Secretary of Transportation all functions, powers, and du6 ties of the Interstate Commerce Commission under the fol7 lowing sections of chapter 105 of title 49, United States

8 Code, insofar as they apply to transportation of freight

9 solely by a rail carrier or by rail and water carrier, effec10 tive September 30, 1996:

11 (1) Section 10501 is amended by adding ‘‘of

12 property’’ after ‘‘transportation’’ in the first sen13 tence.

14 (2) Section 10505, is amended by:

15 (A) Striking ‘‘and motor carrier’’ in the

16 title.

17 (B) Striking the phrase ‘‘or a motor car18 rier providing transportation of property other

19 than household goods, or in noncontiguous do20 mestic trade,’’ in subsections (a) and (f).

21 (C) Striking subsection (b).

22 (D) Amending subsection (g) to read as

23 follows.
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1 ‘‘(g) The Secretary may not exercise this authority

2 to relieve a carrier of its obligation to protect the interests

3 of employees as required by this subtitle.’’.

4 (E) Redesignating subsections (c), (d), (e),

5 and (f) as (b), (c), (d), and (e), respectively.

6 (e) There are hereby transferred to and vested in the

7 Secretary of Transportation all functions, powers and du8 ties of the Interstate Commerce Commission under the fol9 lowing sections of chapter 107 of title 49, United States

10 Code, effective September 30, 1996:

11 (1) Section 10701, is amended as follows:

12 (A) By amending subsection (a) to read as

13 follows:

14 ‘‘(a) A classification, rule or practice related to trans15 portation or service provided by a rail carrier subject to

16 the jurisdiction of the Secretary of Transportation under

17 chapter 105 of this title must be reasonable when the Sec18 retary determines under section 10709 of this title that

19 the rail carrier has market dominance over the transpor20 tation.’’.

21 (B) In subsection (f) by—

22 (i) striking in subparagraph (1),

23 ‘‘under subchapter II of chapter 105 of

24 this title’’ wherever it occurs;
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1 (ii) striking in subparagraph (B)(i),

2 ‘‘Commission’’ and inserting ‘‘Commission

3 at the time that the claim arose’’ in lieu

4 thereof;

5 (iii) striking subparagraph (7);

6 (iv) striking in subparagraph (8), ‘‘(1)

7 through (7)’’ and inserting ‘‘(1) through

8 (6) each time it appears; and

9 (v) in subparagraph (9), striking ‘‘as

10 defined in section 10733’’ and inserting in

11 lieu thereof ‘‘meaning waste products for

12 recycling or reuse in the furtherance of

13 recognized pollution control programs.’’

14 (2) Section 2(e) of Public Law 103–180 (the

15 Negotiated Rates Act of 1993), codified at 49

16 U.S.C. 10701 note, is amended by—

17 (A) striking ‘‘under subchapter II of chap18 ter 105 of such title’’; and

19 (B) striking ‘‘provided before September

20 30, 1990,’’.

21 (3) Subsections (a) and (b) of section 10701a.

22 (4) Section 10704 is amended by—

23 (A) amending subsection (a) to read as

24 follows:
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1 ‘‘If the Secretary determines, under section 10709 of

2 this title, on the Secretary’s own initiative or on complaint,

3 that a rail carrier subject to the jurisdiction of the Sec4 retary under subchapter I of chapter 105 has market

5 dominance over the transportation to which a particular

6 rate of that carrier applies and that such rate does or will

7 violate this subtitle, the Secretary may prescribe the rate,

8 classification, rule, or practice to be followed. The Sec9 retary may order the carrier to stop the violation. When

10 a rate, classification, rule, or practice is prescribed under

11 this section, the affected rail carrier may not charge or

12 collect a different rate and shall adopt the classification

13 and observe the rule or practice prescribed by the

14 Secretary.’’.

15 (B) by redesignating (a)(2) as subsection

16 (b); and

17 (C) by striking the remainder of the sec18 tion.

19 (5) Section 10705 is amended to read as

20 follows:

21 ‘‘If the Secretary determines, under subchapter I of

22 chapter 105 has market dominance under section 10709

23 of this title, on the Secretary’s own initiative or on com24 plaint, that a rail carrier subject to the jurisdiction of the

25 Secretary over the transportation to which a particular
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1 through route, joint classification, joint rate, or division

2 of a joint rate of that carrier applies and that such

3 through route, joint classification, joint rate, or division

4 of a joint rate does or will violate this subtitle, the Sec5 retary may prescribe the through route, joint classifica6 tion, joint rate, or division of a joint rate to be followed.

7 The Secretary may order the carrier to stop the violation.

8 A through route, joint classification, joint rate, or division

9 of a joint rate prescribed under this subsection shall be

10 followed by the affected rail carrier, who may not imple11 ment a different through route, joint classification, joint

12 rate, or division of a joint rate.’’.

13 (6) Section 10707a is amended as follows:

14 (A) In subparagraph (b) by striking ‘‘plus

15 any rate increases implemented under sub16 sections (c) or (d) of this section’’, and by strik17 ing subparagraph (3).

18 (B) By striking subsection (c), (d), and

19 (e).

20 (C) By redesignating subsections (f), (g),

21 and (h) as subsections (c), (d), and (e), respec22 tively.

23 (7) Section 10709, is amended as follows:

24 (A) In subsection (b) by—
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1 (i) striking ‘‘within 90 days after the

2 start of a proceeding under section 10707

3 of this title to investigate the lawfulness of

4 that rate,’’ and inserting ‘‘upon complaint’’

5 in lieu thereof;

6 (ii) striking ‘‘proposing’’ and inserting

7 ‘‘charging’’ in lieu thereof; and

8 (iii) striking the second sentence.

9 (B) In subsection (c) by—

10 (i) striking the word ‘‘proposed’’; and

11 (ii) striking the last two sentences;

12 (C) In subsection (d) by—

13 (i) striking subparagraph (1)(B)(i);

14 (ii) in subparagraph (2), inserting

15 after ‘‘less than’’ the term ‘‘180 percent.’’

16 and striking the remainder of the subpara17 graph. The repeal of the 10709(d)(2) (A)

18 through (E) does not alter standards for

19 cases pending on the date of enactment of

20 the Interstate Commerce Commission Sun21 set Act of 1995.;

22 (iii) in subparagraph (3), by striking

23 ‘‘pursuant to section 10705a(m)(1) of this

24 title, with adjustments specified’’ and

25 striking the last sentence; and
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1 (iv) by striking subparagraph (5).

2 (8) Section 10713, is amended to read as

3 follows:

4 ‘‘§ 10713. Contracts

5 ‘‘(a) One or more rail carriers providing transpor6 tation subject to the jurisdiction of the Secretary under

7 subchapter 1 of chapter 105 of this title may enter into

8 a contract with one or more purchasers of rail services

9 to provide specific services under specified rates and condi10 tions.

11 ‘‘(b) A contract specifically referencing provisions of

12 this section shall not be subject to this subtitle, and may

13 not be subsequently challenged before the Secretary or in

14 any court on the grounds that such contract violates a

15 provision of this subtitle.

16 ‘‘(c) The exclusive remedy for any alleged breach of

17 a contract entered into under this section shall be an ac18 tion in an appropriate State court or United States dis19 trict court, unless the parties otherwise agree.’’.

20 (9) Section 10721 is amended to read as fol21 lows:

22 ‘‘§ 10721. Government traffic

23 ‘‘A carrier providing transportation or service for the

24 United States Government may transport property or indi25 viduals for the United States Government without charge
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1 or at a rate reduced from the applicable commercial rate.

2 Section 3709 of the Revised Statutes (41 U.S.C. 5) does

3 not apply when transportation for the United States Gov4 ernment can be obtained from a carrier lawfully operating

5 in the area where the transportation would be provided.’’.

6 (10) Section 10750.

7 (11) Subsections (a)(3)–(a)(5), and subsections

8 (h) and (i) of section 10762, as amended by striking

9 the last sentence in each.

10 (12) Section 10763, as amended by striking

11 ‘‘(a)(1)’’ and inserting ‘‘(a)’’ in lieu thereof and by

12 striking ‘‘(a)(2)’’ and inserting ‘‘(b)’’ in lieu thereof.

13 (f) There are hereby transferred to and vested in the

14 Secretary of Transportation all functions, powers, and du15 ties of the Interstate Commerce Commission under the fol16 lowing sections of chapter 109 of title 49, United States

17 Code, effective September 30, 1996:

18 (1) Section 10901 is amended as follows:

19 (A) By amending the title of the section to

20 read ‘‘Rail Line Crossings for New

21 Lines’’.

22 (B) In subsection (d) by—

23 (i) striking ‘‘Where a rail carrier has

24 been issued a certificate of public conven25 ience and necessity by the Commission au-
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1 thorizing the construction or extension of’’

2 and inserting ‘‘Where a rail carrier desires

3 to construct or extend’’ in lieu thereof; and

4 (ii) redesignating subsection (d) as

5 new subsection (a); and

6 (C) In subsection (e) by—

7 (i) striking ‘‘Commission’’ and insert8 ing in lieu thereof ‘‘Secretary of Labor’’;

9 and

10 (ii) redesignating subsection (e) as

11 new subsection (b).

12 (2) Section 10903 is amended to read as

13 follows:

14 ‘‘(a) A rail carrier providing transportation subject

15 to the jurisdiction of the Secretary under subchapter I of

16 chapter 105 of this title may—

17 ‘‘(1) abandon any part of its railroad lines; or

18 ‘‘(2) discontinue the operation of all rail trans19 portation over any part of its railroad lines, 60 days

20 after filing a notice of intent to abandon or dis21 continue a rail line with the Secretary, except as

22 provided in subsection (e) of this section, but only

23 if approved by the Secretary. Upon compliance with

24 the requirements of this section, the Secretary shall

25 certify that all requirements have been met. As a
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1 condition of such certification, the Secretary shall

2 include provisions to protect the interests of employ3 ees. The provisions shall be at least as beneficial to

4 those interests as the provisions established under

5 section 11347 and section 405(b) of the Rail Pas6 senger Service Act (45 U.S.C. 565(b)).

7 ‘‘(b) A notice of intent filed with the Secretary shall

8 contain—

9 ‘‘(1) a description of the line that will be aban10 doned or discontinued and the date of such proposed

11 abandonment or discontinuance;

12 ‘‘(2) a statement that the line is available for

13 subsidy or sale in accordance with section 10905 of

14 this title;

15 ‘‘(3) a statement that the carrier shall promptly

16 provide to each interested party an estimate of the

17 subsidy and minimum purchase price required to

18 keep the line in operation, calculated in accordance

19 with section 10905 of this title, and

20 ‘‘(4) the name and business address of the per21 son who is authorized to discuss the sale or subsidy

22 terms for the carrier.

23 ‘‘(c) The rail carrier shall—

24 ‘‘(1) send, by certified mail, a copy of the notice

25 of intent to the chief executive officer of each State
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1 that would be directly affected by the proposed

2 abandonment or discontinuance;

3 ‘‘(2) post a copy of the notice in each terminal

4 and station on each portion of a railroad line pro5 posed to be abandoned or over which rail transpor6 tation is to be discontinued;

7 ‘‘(3) publish a copy of the notice for three con8 secutive weeks in a newspaper of general circulation

9 in each county in which each such portion is located;

10 and

11 ‘‘(4) mail a copy of the notice, to the extent

12 practicable, to all shippers that have made signifi13 cant us of the railroad line during the 12 months

14 preceding the filing of the application.

15 ‘‘(d) A rail carrier may file a notice of intent with

16 the Secretary only after complying with subsection (c)

17 above. Such notice shall include an affidavit certifying the

18 rail carrier performed all the actions required by sub19 section (c) above within the 30 days immediately preceding

20 the filing of the notice.

21 ‘‘(e) Any time after the issuance of the notice of in22 tent and before the abandonment or discontinuance of the

23 line, a person may submit a notice of intent to make an

24 offer to pay the carrier a subsidy or offer to purchase the

25 line to assure the continued operation of the line. If a no-
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1 tice of intent to make an offer is received by the owner

2 of the railroad line, the line may not be abandoned pend3 ing the full consideration of the offer in accordance with

4 the provisions of section 10905.’’.

5 (3) Section 10905, is amended by—

6 (A) in subsection (b) by striking ‘‘an appli7 cation for a certificate of abandonment or dis8 continuance’’ and inserting ‘‘a notice of intent

9 to abandon or discontinue a rail line with the

10 Secretary’’ in lieu thereof.

11 (B) in subsection (c) by—

12 (i) striking the first two sentences and

13 inserting ‘‘At any time prior to abandon14 ment, a person may submit to the carrier

15 a notice of intent to make an offer to sub16 sidize or purchase the line under section

17 10903.’’ in lieu thereof; and

18 (ii) adding ‘‘The owner of the railroad

19 line shall give full consideration to the

20 offer.’’ at the end of subsection (c).

21 (C) redesignating subsection (d) as new

22 subsection (e) and amending it by—

23 (i) striking ‘‘If, within 15 days after

24 the publication required in subsection (c)

25 of this section, the Commission finds
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1 that—’’ and inserting ‘‘If a request is

2 made to the Secretary to establish an ap3 propriate subsidy or purchase price and

4 the Secretary finds that—’’ in lieu thereof;

5 and

6 (ii) striking ‘‘the Commission shall

7 postpone the issuance of a certificate au8 thorizing abandonment or discontinuance

9 in accordance with subsections (e) and (f)

10 of this section.’’ and inserting ‘‘the Sec11 retary shall, within 30 days, establish an

12 appropriate subsidy or purchase price as

13 provided in subsection (f) of this section.’’

14 in lieu thereof;

15 (D) redesignating subsection (e) as new

16 subsection (d) and amending it to read as

17 follows:

18 ‘‘(d)(1) If the carrier and the person offering a sub19 sidy or offering to purchase the line enter into an agree20 ment, the line shall not be abandoned but shall be con21 trolled by the terms of the agreement. If the parties fail

22 to reach agreement, either party may request the Sec23 retary to establish an appropriate subsidy or purchase

24 price under the provisions of subsection (f) of this section.
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1 ‘‘(2) At any time after the receipt of a notice of intent

2 to make an offer to subsidize or purchase the line (but

3 not more than once each 30 days), the owning carrier may

4 ask the Secretary to determine whether the offer is a bona

5 fide offer.

6 ‘‘(3) Pursuant to a request for determination under

7 paragraph (2) of this subsection, the Secretary may, after

8 consideration of all relevant fact—

9 ‘‘(A) find that the offeror is exerting its best ef10 fort to bring the negotiation to fruition and require

11 that negotiations continue, or

12 ‘‘(B) find that the offeror has not made a bona

13 fide effort to pursue the negotiations toward comple14 tion and set a date upon which the abandonment

15 shall become effective.’’.

16 (E) in subsection (f)(1) by striking ‘‘When17 ever the Commission is requested to establish

18 the conditions and amount of compensation

19 under this section—’’ and inserting ‘‘Whenever

20 the Secretary is required to establish an appro21 priate subsidy or purchase price as provided in

22 subsection (e) of this section—’’ in lieu thereof;

23 (F) in subsection (f)(2) by striking ‘‘the

24 Commission shall immediately issue a certificate

25 authorizing the abandonment or discontinuance,
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1 unless other offers are being considered pursu2 ant to paragraph (3) of this subsection’’ and in3 serting ‘‘the line may be abandoned or discon4 tinued in accordance with the provisions of sec5 tion 10903, as if no offer had been received.’’.

6 (4) Section 10906.

7 (5) Subsection (b) of section 10907, as amend8 ed by striking the paragraph designator ‘‘(b)’’.

9 (6) Section 10910, is amended by—

10 (A) amending subsection (b)(1) to read as

11 follows:

12 ‘‘(1) When the Secretary finds that the public

13 convenience and necessity require the sale of a par14 ticular railroad line under this section and an offer

15 to purchase such line has been made by a financially

16 responsible person, the Secretary shall require the

17 rail carrier owning the railroad line to sell such line

18 to such financially responsible person at a price of

19 not less than the constitutional minimum value.’’.

20 (B) striking ‘‘, after a hearing on the

21 record,’’ in subsection (c)(1);

22 (C) amending subsection (c)(2) to read as

23 follows:

24 ‘‘(2) In a proceeding under this section, the

25 burden of proving that the public convenience and
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1 necessity require the sale of a particular railroad line

2 is on the person offering to acquire the line.’’; and

3 (D) striking subsections (e), (f), (g), (i),

4 and (k) and redesignating subsections (h) and

5 (j) as new subsections (e) and (f), respectively.

6 (g) There are hereby transferred to and vested in the

7 Secretary of Transportation all functions, powers and du8 ties of the Interstate Commerce Commission under the fol9 lowing sections of chapter 111 of title 49, United States

10 Code, effective September 30, 1996:

11 (1) Section 11101, is amended by—

12 (A) amending subsection (a) to read:

13 ‘‘A common carrier providing transportation or serv14 ice subject to the jurisdiction of the Secretary under chap15 ter 105 of this title shall provide the transportation or

16 service to a shipper or to a connecting rail carrier on rea17 sonable request. A rail carrier shall not be found to have

18 violated this section because it fulfills its commitments

19 under transportation contracts before responding to rea20 sonable requests for service from shipper.’’; and

21 (B) in subsection (d), by striking ‘‘under

22 subchapter II of chapter 105 of this title’’.

23 (2) Section 11103 is amended by—

24 (A) in subsection (a) by striking ‘‘The

25 Interstate Commerce Commission may’’ and in-
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1 serting ‘‘If the Secretary determines, under sec2 tion 10709 of this title, that a rail carrier has

3 market dominance over the transportation of

4 certain freight, the Secretary may, with respect

5 to that freight,’’ in lieu thereof and by striking

6 ‘‘a rail carrier’’ and inserting ‘‘that rail carrier’’

7 in lieu thereof;

8 (B) in subsection (c)(1) by striking ‘‘The

9 Commission’’ and inserting ‘‘If the Secretary

10 determines, under section 10709 of this title,

11 that a rail carrier has market dominance over

12 the transportation of certain freight, then with

13 respect to that freight, the Secretary ’’; and

14 (C) in subsection (c)(2) by striking ‘‘Com15 mission’’ and inserting ‘‘Secretary of Labor’’.

16 (3) Section 11104.

17 (4) Section 11107, is amended to read as fol18 lows:

19 ‘‘The Secretary may prescribe regulations concerning

20 arrangements between a motor carrier providing transpor21 tation of property and any other person under which such

22 other person is to provide any portion of such transpor23 tation by a motor vehicle not owned by the carrier.’’.

24 (5) Section 11122, is amended by adding the

25 following new subsection:
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1 ‘‘(c) The Secretary may prescribe and maintain such

2 rules and regulations with respect to car hire as the Sec3 retary deems necessary.’’;

4 (6) Section 11123.

5 (7) Section 11125.

6 (8) Section 11128, is amended by striking ‘‘sec7 tions 11123(a)(4) and 11127(a)(1)(C)’’ and insert8 ing ‘‘section 11123(a)’’ in lieu thereof.

9 (9) Section 11141, insofar as it applies to rail

10 carriers.

11 (10) Section 11143, insofar as it applies to rail

12 carriers.

13 (11) Section 11144, insofar as it applies to rail

14 carriers.

15 (12) Section 11145, is amended as follows:

16 (A) In subsection (a) by inserting ‘‘rail’’

17 before the word ‘‘carriers’’ and by striking

18 ‘‘brokers,’’ and ‘‘or express’’.

19 (B) By amending subsection (b) to read as

20 follows:

21 ‘‘(b) The Secretary may require motor carriers, motor

22 private carriers, freight forwarders, brokers, lessors, and

23 associations, or classes of them as the Secretary may pre24 scribe, to respond to surveys concerning their operations.’’.

25 (C) By striking (c).
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1 (13) Section 11165.

2 (14) Section 11166.

3 (15) Subchapter IV.

4 (h) There are hereby transferred to and vested in the

5 Secretary of Transportation all functions, powers and du6 ties of the Interstate Commerce Commission under the fol7 lowing section of chapter 113 of title 49, United States

8 Code, effective September 30, 1996:

9 (1) Section 11303, is amended by adding a new

10 subsection as follows:

11 ‘‘(c) The Secretary may establish a fee system for

12 using the lien recordation system. Fees collected under

13 this subsection in a fiscal year shall equal as nearly as

14 possible the costs of operating the recordation system in

15 that fiscal year. Such fees may be credited to the Depart16 ment of Transportation appropriation account charged in

17 proportion to the amount expended from the account for

18 these purposes, and shall be available for expenditure until

19 expended.’’.

20 (i) There are hereby transferred to and vested in the

21 Secretary of Transportation all functions, powers, and du22 ties of the Interstate Commerce Commission under the fol23 lowing sections of chapter 115 of title 49, United States

24 Code, effective September 30, 1996:

25 (1) Section 11501, is amended as follows:
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1 (A) By striking subsections (a), (b), (c),

2 (d), and (f).

3 (B) By inserting a new subsection (a) to

4 read as follows:

5 ‘‘(a) Notwithstanding any other provision of law, no

6 State or political subdivision thereof and no interstate

7 agency or other political agency of two or more States

8 shall enact or enforce any law, rule, regulation, standard,

9 or other provision having the force and effect of law relat10 ing to interstate or intrastate market entry, exit, rates,

11 or services of a rail carrier that provides transportation

12 of property in interstate commerce subject to the jurisdic13 tion of the Secretary under subchapter I of chapter 105

14 of this title.’’.

15 (C) In the first sentence of subsection (e)

16 by—

17 (i) inserting after ‘‘relating to’’ the

18 words ‘‘rates, routes, services or’’;

19 (ii) inserting ‘an interstate’’ before

20 ‘‘motor common carrier of passengers’’;

21 (iii) striking ‘‘subject to the jurisdic22 tion of the Commission under subchapter

23 II of chapter 105 of this title’’;

24 (iv) striking the word ‘‘authorized’’;
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1 (v) striking ‘‘reduction in the rates for

2 such transportation’’ and inserting ‘‘aban3 donment of service’’ in lieu thereof; and

4 (vi) redesignating subsection (e) as

5 subsection (b).

6 (D) In subsection (g) by—

7 (i) in subparagraph (1) by striking

8 ‘‘(1) GENERAL RULE.—Subject to para9 graph (2) of this subsection, no’’ and in10 serting ‘‘No’’ in lieu thereof and by strik11 ing ‘‘interstate’’ the last three times it ap12 pears;

13 (ii) striking subsection (2); and

14 (iii) redesignating subsection (g) as

15 subsection (c).

16 (E) By striking subsection (h) and amend17 ing section 41713(b) of title 49, United States

18 Code by adding the text of subsection (h) as

19 new subparagraph 41713(b)(5).

20 (2) Section 11503.

21 (3) Section 11503a.

22 (4) Section 11504, is amended as follows:

23 (A) In subsection (a) by striking ‘‘subject

24 to the jurisdiction of the Commission under

25 subchapter I of chapter 105 of this title’’.
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1 (B) In subparagraph (b)(1) by striking

2 ‘‘subject to the jurisdiction of the Commission

3 under subchapter II of chapter 105 of this

4 title’’.

5 (C) In subparagraph (c)(2) by striking

6 ‘‘water carrier providing transportation subject

7 to the jurisdiction of the Commission under

8 subchapter III of chapter 105 of this title

9 or a’’.

10 (j) There are hereby transferred to and vested in the

11 Secretary of Transportation all functions, powers and du12 ties of the Interstate Commerce Commission under the fol13 lowing sections of chapter 117 of title 49, United States

14 Code, effective September 30, 1996:

15 (1) Section 11701, is amended to read as

16 follows:

17 ‘‘The Secretary may begin an investigation under this

18 subtitle on his or her own initiative or on complaint of

19 any person, including a governmental authority, of a viola20 tion of this subtitle by a rail carrier or a motor carrier,

21 including a foreign motor carrier. The Secretary may dis22 miss a complaint he or she determines does not state rea23 sonable grounds for investigation or action. If the Sec24 retary finds a violation of this subtitle, the Secretary shall

25 take appropriate action to compel compliance with this
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1 subtitle. An investigation undertaken by the Secretary

2 shall be concluded within 180 days after the date on which

3 it was begun.’’.

4 (2) Section 11702, is amended to read as

5 follows:

6 ‘‘The Attorney General, on behalf of the Secretary

7 may bring a civil action to enforce an order or regulation

8 of the Secretary issued under authority of this subtitle.’’.

9 (3) Section 11703, is amended in subparagraph

10 (a) by striking ‘‘or permit’’ both times it appears.

11 (4) Section 11705, is amended as follows:

12 (A) By striking ‘‘subchapter I or III of’’

13 wherever it appears.

14 (B) In subsection (a) by—

15 (i) striking ‘‘or a freight forwarder’’;

16 (ii) inserting ‘‘(1)’’ after the word

17 ‘‘obey’’; and

18 (iii) inserting after ‘‘money,’’ the

19 phrase ‘‘(2) a regulation of the Secretary

20 prescribed under section 11107 of this

21 title.’’.

22 (C) In subsection (b)—

23 (i) by striking subparagraphs (1) and

24 (3) and redesignating subparagraph (2) as

25 subparagraph (1); and
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1 (ii) by inserting a new subparagraph

2 (2) as follows:

3 ‘‘(2) A motor carrier of property is liable for

4 treble damages sustained by a person as a result of

5 a violation of a regulation prescribed by the Sec6 retary under section 11107 of this title.’’.

7 (D) In subsection (c)(1) by striking

8 ‘‘11701(b)’’ and inserting ‘‘11701’’ in lieu

9 thereof and by striking the last sentence.

10 (E) In subparagraph (d)(1)—

11 (i) by striking ‘‘if a rail carrier,’’;

12 (ii) by striking ‘‘, or (D) if a water

13 carrier, in which a port of call on a route

14 operated by that carrier is located’’; and

15 (iii) by inserting ‘‘or’’ before the des16 ignator (c).

17 (5) Section 11706, is amended as follows:

18 (A) In subsection (a) by striking ‘‘or a

19 freight forwarder’’, ‘‘or freight forwarder’’ and

20 ‘‘or freight forwarder (other than a household

21 goods freight forwarder)’’.

22 (B) In subsection (b) by striking ‘‘sub23 chapter I or III of’’.
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1 (C) By striking subparagraph (c)(2) and

2 redesignating subparagraph (c)(1) as subsection

3 (c).

4 (D) In subsection (d) by striking ‘‘(c)(1)’’

5 and inserting ‘‘(c)’’ in lieu thereof.

6 (6) Section 11710.

7 (7) Section 11712, is amended in subsection (a)

8 by striking ‘‘subject to the jurisdiction of the Com9 mission under subchapter II of chapter 105 of this

10 title (other than motor carriers providing transpor11 tation of household goods)’’.

12 (k) There are hereby transferred to and vested in the

13 Secretary of Transportation all functions, powers and du14 ties of the Interstate Commerce Commission under the fol15 lowing sections of chapter 119 of title 49, United States

16 Code, effective September 30, 1996:

17 (1) Section 11901, as amended as follows:

18 (A) In subsection (b) by striking ‘‘10761,

19 10762, 10764, 10765, or’’.

20 (B) In subsection (d) by—

21 (i) striking ‘‘sections 10901–10907’’

22 and inserting ‘‘sections 10901, 10903,

23 10905, and 10907’’ in lieu thereof; and

24 (ii) redesignating subsection (d) as

25 subsection ‘‘(c)’’.
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1 (C) By striking ‘‘11124’’ and ‘‘11127’’

2 from subsection (e)(1) and redesignating it as

3 subsection ‘‘(d)’’.

4 (D) In subsection (f) by—

5 (i) in subparagraphs (2) and (3),

6 striking $100 in both places and inserting

7 ‘‘$500’’ in lieu thereof;

8 (ii) redesignating subparagraph (4) as

9 (5) and inserting a new subparagraph (4)

10 as follows:

11 ‘‘(4) A motor carrier, motor private carrier,

12 broker, lessor, or association of such entities re13 quired to respond to a survey under section

14 11145(b) of this title that does not respond, is liable

15 to the United States Government for a civil penalty

16 of $500 for each violation.’’.

17 (iii) redesignating subsection (f) as

18 subsection ‘‘(e)’’.

19 (E) In subsection (m), by—

20 (i) striking ‘‘(a)–(f)’’ and inserting

21 ‘‘(a)–(e)’’ in lieu thereof;

22 (ii) by striking subparagraph (2); and

23 (iii) by redesignating subsection

24 (m)(1) as subsection (f).

25 (2) Section 11902a.
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1 (3) Section 11909(a), as amended by striking

2 ‘‘(a)’’.

3 (4) Section 11910 is amended—

4 (i) in subsection (a)(2), by striking

5 ‘‘providing transportation subject to the ju6 risdiction of the Commission under sub7 chapter II of chapter 105 of this title’’;

8 (ii) in subsection (a)(3), by striking

9 ‘‘providing transportation subject to the ju10 risdiction of the Commission under sub11 chapter III of chapter 105 of this title’’;

12 and

13 (iii) in subsection (a)(4), by striking

14 ‘‘providing transportation subject to the ju15 risdiction of the Commission under sub16 chapter IV of chapter 105 of this title’’

17 and by striking ‘‘household goods’’ each

18 time it appears.

19 (5) Section 11913.

20 (6) Subsection (a) of section 11914, is amended

21 by striking the last two sentences.

22 (7) Section 11915.

23 MISCELLANEOUS AMENDMENTS

24 SEC. 6. (a) LOSS AND DAMAGE LIABILITY OF CAR25 RIERS.—Section 11707 of title 49, United States Code is

26 amended to read as follows—
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1 ‘‘§ 11707. Liability of carriers and freight forwarders

2 under receipts and bills of lading

3 ‘‘(a)(1) A motor or rail carrier providing transpor4 tation service and a freight forwarder shall issue a receipt

5 or bill of lading for property it receives for transportation.

6 The carrier or freight forwarder that delivers the property

7 is liable to the person entitled to recover under the receipt

8 or bill of lading. The liability imposed under this section,

9 subject to subsection (e) below, is for the actual loss, dam10 age or delay to the property caused by—

11 ‘‘(1) the receiving carrier,

12 ‘‘(2) the delivering carrier, or

13 ‘‘(3) another carrier over whose line or route

14 the property is transported in the United States or

15 from a place in the United States to a place in an

16 adjacent foreign country when transported under a

17 through bill of lading and, except in the case of a

18 freight forwarder, applies to re-consigned or diverted

19 property.

20 Failure to issue a receipt or bill of lading does not affect

21 the liability of a carrier or freight forwarder. A delivering

22 carrier is deemed to be the carrier performing the line23 haul transportation nearest the destination but does not

24 include a carrier providing only a switching service at the

25 destination.
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1 ‘‘(2) A freight forwarder is both the receiving and de2 livering carrier. When a freight forwarder provides service

3 and uses a motor carrier providing transportation, the

4 motor carrier may execute the bill of lading or shipping

5 receipt for the freight forwarder with its consent. With

6 the consent of the freight forwarder, a motor carrier may

7 deliver property for a freight forwarder on the freight for8 warder’s bill of lading, freight bill, or shipping receipt to

9 the consignee named in it, and receipt for the property

10 may be made on the freight forwarder’s delivery receipt.

11 ‘‘(b) The carrier issuing the receipt or bill of lading

12 under subsection (a) of this section or delivering the prop13 erty for which the receipt or bill of lading was issued is

14 entitled to recover from the carrier over whose line or

15 route the loss, damage or delay occurred the amount re16 quired to be paid to the owners of the property, as evi17 denced by a receipt, judgment, or transcript, and the

18 amount of its expenses reasonably incurred in defending

19 a civil action brought by that person.

20 ‘‘(c)(1) A civil action under this section may be

21 brought against a delivering carrier (other than a rail car22 rier) in a district court of the United States or in a State

23 court. Trial, if the action is brought in a district court

24 of the United States is in a judicial district, and if in a
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1 State court, is in a State through which the defendant

2 carrier operates a railroad or route.

3 ‘‘(2)(A) A civil action under this section may only be

4 brought—

5 ‘‘(i) against the originating rail carrier, in the

6 judicial district in which the point of origin is

7 located;

8 ‘‘(ii) against the delivering rail carrier, in the

9 judicial district in which the principal place of busi10 ness or the person bringing the action is located if

11 the delivering carrier operates a railroad or a route

12 through such judicial district, or in the judicial dis13 trict in which the point of destination is located; and

14 ‘‘(iii) against the carrier alleged to have caused

15 the loss or damage, in the judicial district in which

16 such loss or damage is alleged to have occurred.

17 ‘‘(B) In this section, ‘judicial district’ means—

18 (i) in the case of a United States district court,

19 a judicial district of the United States, and

20 (ii) in the case of a State court, the applicable

21 geographic area over which such court exercises ju22 risdiction.

23 ‘‘(d) A carrier or freight forwarder may not provide

24 by rule, contract, or otherwise, a period of less than 2

25 years for bringing a civil action against it under this sec-
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1 tion. The period for bringing a civil action is computed

2 from the date the carrier or freight forwarder gives a per3 son written notice that the carrier or freight forwarder has

4 disallowed any part of the claim specified in the notice.

5 For the purposes of this subsection—

6 ‘‘(1) an offer of compromise shall not constitute

7 a disallowance of any part of the claim unless the

8 carrier or freight forwarder, in writing, informs the

9 claimant that such part of the claim is disallowed

10 and provides reasons for such disallowance; and

11 ‘‘(2) communication received from a carrier’s or

12 freight forwarder’s insurer shall not constitute a dis13 allowance of any part of the claim unless the in14 surer, in writing informs the claimant that such part

15 of the claim is disallowed, provides reason for such

16 disallowance and informs the claimant that the in17 surer is acting on behalf of the carrier or freight for18 warder.

19 ‘‘(e) A carrier or freight forwarder may not limit or

20 be exempt from liability imposed by subsection (a) of this

21 section except as provided in this subsection:

22 ‘‘(1) When a motor or rail carrier or freight

23 forwarder is liable for loss resulting from loss, dam24 age or delay the motor or rail carrier’s or freight

25 forwarder’s liability shall be the full value of the
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1 goods lost, damaged or delayed. By written agree2 ment between the motor or rail carrier or freight

3 forwarder and the shipper different limits of liability

4 may be fixed in the receipt or the bill of lading.

5 ‘‘(2) If loss, damage or delay to property occurs

6 while it is in the custody of a water carrier, the li7 ability of that carrier is determined by its bill of lad8 ing and the law applicable to water transportation.

9 The liability of the initial or delivering carrier is the

10 same as the liability of the water carrier.

11 ‘‘(3) A common carrier of passengers may limit

12 its liability for loss, damage or delay to baggage car13 ried on passenger trains, boats, or motor vehicles in

14 accordance with subsection (e)(1) of this section.

15 ‘‘(f) The documents referred to in this section may

16 be issued in any form which preserves a record of the in17 formation contained therein. When the carrier and the

18 shipper have agreed to communicate electronically, the

19 documents referred to in this section may be replaced by

20 an equivalent electronic data interchange message.’’.

21 (b) BACKHAUL ALLOWANCES.—Section 10732 of

22 title 49, United States Code, is amended—

23 (1) by striking ‘‘food and grocery’’ both times

24 it appears;
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1 (2) by striking subparagraph (b) and the sub2 paragraph designator ‘‘(a)’’; and

3 (3) by amending the title to read ‘‘Backhaul

4 Allowances’’.

5 (c) FOREIGN MOTOR CARRIERS.—Subchapter 311 of

6 title 49, United States Code is amended by adding a new

7 section as follows:

8 ‘‘§ 31181. Restrictions on motor carriers domiciled in

9 or owned or controlled by nationals of a

10 contiguous foreign country

11 ‘‘(a) If the President of the United States, or his or

12 her delegate, determines that an act, policy or practice of

13 a foreign country contiguous to the United States, or any

14 political subdivision or any instrumentality of any such

15 country is unreasonable or discriminatory and burdens or

16 restricts United States transportation companies provid17 ing, or seeking to provide, motor carrier transportation of

18 property or passengers to, from or within such foreign

19 country, the President, or his or her delegate, may—

20 ‘‘(1) seek elimination of such practices through

21 consultations; or

22 ‘‘(2) notwithstanding any other provision of

23 law, suspend, modify, amend, condition, or restrict

24 operations, including geographical restriction of op25 erations, in the United States by motor carriers of
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1 property or passengers domiciled in such foreign

2 country or owned or controlled by persons of such

3 foreign country.

4 ‘‘(b) Any action taken under paragraph (a)(2) to

5 eliminate an act, policy or practice shall be so devised so

6 as to equal to the extent possible the burdens or restric7 tions imposed by such foreign country on United States

8 transportation companies.

9 ‘‘(c) The President, or his or her delegate, may re10 move or modify in whole or in part any action taken under

11 paragraph (a)(2) if the President, or his delegate, deter12 mines that such removal or modification is consistent with

13 the obligations of the United States under a trade agree14 ment or with United States transportation policy.

15 ‘‘(d) Unless and until the President or his or her dele16 gate makes a determination under paragraphs (a) or (c)

17 above, nothing in this subsection shall affect—

18 ‘‘(1) operations of motor carriers of property or

19 passengers domiciled in any contiguous foreign coun20 try or owned or controlled by persons of any contig21 uous foreign country permitted in the commercial

22 zones along the United States-Mexico border as de23 fined at the time of enactment of the Interstate

24 Commerce Commission Sunset Act of 1995; or
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1 ‘‘(2) any existing restrictions on operations of

2 motor carriers of property or passengers domiciled

3 in any contiguous foreign country or owned or con4 trolled by persons of any contiguous foreign country

5 or any modifications thereof pursuant to section 6 of

6 the Bus Regulatory Reform Act of 1982.

7 ‘‘(e) Unless the President, or his or her delegate, de8 termines that expeditious action is required, he shall pub9 lish in the Federal Register any determination under para10 graphs (a) or (c) together with a description of the facts

11 on which such a determination is based and any proposed

12 action to be taken pursuant to paragraphs (a)(2) or (c)

13 and provide an opportunity for public comments.

14 ‘‘(f) The President may delegate any or all authority

15 under this subsection to the Secretary of Transportation

16 who shall consult with other agencies as appropriate. In

17 accordance with the directions of the President, the Sec18 retary of Transportation may issue regulations to enforce

19 this subsection.

20 ‘‘(g) The Attorney General, on behalf of the Secretary

21 of Transportation, may bring a civil action in an appro22 priate district court of the United States to enforce this

23 subsection or a regulation prescribed or order issued under

24 this subsection. The court may award appropriate relief,

25 including injunctive relief.
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1 ‘‘(h) This subsection shall not affect the requirement

2 for all foreign motor carriers operating in the United

3 States to fully comply with all applicable laws and regula4 tions pertaining to safety fitness; safety of operations; fi5 nancial responsibility; and taxes imposed by section 4481

6 of Internal Revenue Code of 1994.’’.

7 (d) LUMPING PRACTICES.—Section 11109 of title 49,

8 United States Code is amended by striking the parenthet9 ical phrase both times it appears.

10 (e) LABOR PROTECTION.—Section 11347 is amend11 ed, effective September 30, 1996, by—

12 (1) striking ‘‘Interstate Commerce Commis13 sion’’ and ‘‘Commission’’ wherever those terms ap14 pear and inserting ‘‘Secretary of Labor’’ in lieu

15 thereof;

16 (2) striking ‘‘When a rail carrier is involved in

17 a transaction for which approval is sought under

18 sections 11344 and 11345 or section 11346 of this

19 title, the Interstate Commerce Commission shall re20 quire the carrier’’ and inserting ‘‘The Secretary of

21 Labor shall require a rail carrier undertaking a

22 transaction (and may require any other person un23 less exempted under section 10505 of this title) in24 volving a purchase, lease, or transfer of a rail line,
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1 the acquisition of trackage or operating rights, or

2 joint ownership or joint use of a rail line,’’; and

3 (3) inserting after the last sentence: ‘‘The Sec4 retary of Transportation shall determine whether or

5 not the person acquiring the property or rights in6 volved in the transaction is a rail carrier.’’

7 (f) TAX DISCRIMINATION.—Subparagraph (a)(3) of

8 section 11503a of title 49, United States Code, is amended

9 to read as follows:

10 ‘‘(3) ‘motor carrier transportation property’

11 means property owned or used by a motor carrier

12 providing transportation in interstate commerce;

13 and’’.

14 (g) Section 22101(a)(1) of title 49, United States

15 Code, is amended by striking ‘‘the Interstate Commerce

16 Commission has authorized, or exempted from the require17 ments of that authorization, the abandonment of, or the

18 discontinuance of rail transportation on, the rail line relat19 ed to the project;’’ and insert ‘‘a notice of intent to aban20 don or discontinue has been filed with the Secretary pur21 suant to section 10903 of this title;’’ in lieu thereof.

22 (h) Subsection (c) of section 24301 of title 49, United

23 States Code, is amended by striking the paragraph des24 ignator ‘‘(1)’’ and striking subparagraph (2) in its en25 tirety.
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1 (i) Subsection (b)(1) of section 24306 of title 49,

2 United States Code, is amended by inserting a period after

3 ‘‘route’’ and striking the remainder of the paragraph.

4 (j) Section 24308 of title 49, United States Code, is

5 amended by striking ‘‘Interstate Commerce Commission’’

6 and ‘‘Commission’’ wherever they appear and inserting

7 ‘‘Secretary’’ in lieu thereof.

8 (k) Section 24311 of title 49, United States Code,

9 is amended by striking ‘‘Interstate Commerce Commis10 sion’’ and ‘‘Commission’’ wherever they appear and insert11 ing ‘‘Secretary’’ in lieu thereof.

12 (l) Section 24505 of title 49, United States Code, is

13 amended by striking ‘‘Interstate Commerce Commission’’

14 and ‘‘Commission’’ wherever they appear and inserting

15 ‘‘Secretary’’ in lieu thereof.

16 (m) Subsection (j) of section 24902 of title 49, Unit17 ed States Code, is amended by striking the subparagraph

18 designator ‘‘(1)’’ in the first subparagraph and by striking

19 subparagraphs (2) and (3).

20 (n) Section 24904 of title 49, United States Code,

21 is amended by striking ‘‘Interstate Commerce Commis22 sion’’ and ‘‘Commission’’ wherever they appear and insert23 ing ‘‘Secretary’’ in lieu thereof.

24 (o) Section 451 of title 2, United States Code, is

25 amended by striking ‘‘Interstate Commerce Commission’’.
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1 (p) Section 1291(a) of title 7, United States Code,

2 is amended by striking ‘‘Interstate Commerce Commis3 sion’’ and ‘‘Commission’’ wherever they appear and insert4 ing ‘‘Secretary’’ in lieu thereof.

5 (q) Section 2145(a) of title 7, United States Code,

6 is amended by striking ‘‘Interstate Commerce Commis7 sion, the’’.

8 (r) Title 11 of the United States Code is amended

9 by—

10 (1) in section 1164 by striking ‘‘Commission,

11 the.’’

12 (2) in section 1170 by—

13 (A) amending subsection (b) to read as

14 follows:

15 ‘‘(b) The court may authorize the abandonment

16 under subsection (a) provided that the trustee files a no17 tice of intent to abandon or discontinue service, as re18 quired by section 10903 of title 49, United States Code.

19 (B) striking subparagraph (c); and

20 (C) striking ‘‘the Commission,’’ in sub21 section (d)(2)

22 (3) in section 1172 by striking ‘‘Commission’’

23 wherever it appears and inserting ‘‘Secretary of

24 Transportation’’ in lieu thereof.
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1 (s) Title 15 of the United States Code is amended

2 by—

3 (1) in section 1681s by striking ‘‘Interstate

4 Commerce Commission’’ and inserting ‘‘Secretary of

5 Transportation’’ in lieu thereof;

6 (2) in section 1691c by striking ‘‘Interstate

7 Commerce Commission’’ and inserting ‘‘Secretary of

8 Transportation’’ in lieu thereof; and

9 (3) in section 1692l by striking ‘‘Interstate

10 Commerce Commission’’ and inserting ‘‘Secretary of

11 Transportation’’ in lieu thereof.

12 (t) Title 16 of the United States Code is amended

13 by—

14 (1) in section 1247 by—

15 (A) striking ‘‘, the Chairman of the Inter16 state Commerce Commission,’’ and

17 (B) striking ‘‘Commission’’ and inserting

18 ‘‘Secretary of Transportation’’ in lieu thereof;

19 and

20 (2) in section 1248 by striking ‘‘, the Interstate

21 Commerce Commission,’’.

22 (u) Title 26 of the United States Code is amended

23 by—

24 (1) in section 3231(a) by—
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1 (A) striking ‘‘Interstate Commerce Com2 mission’’ and inserting ‘‘Secretary of Transpor3 tation’’ in lieu thereof; and

4 (B) striking ‘‘upon request of the Sec5 retary, or’’

6 (2) in section 7701(a)(33) by—

7 (A) striking ‘‘Interstate Commerce Com8 mission’’ and inserting ‘‘Secretary of Transpor9 tation’’ in lieu thereof; and

10 (B) striking ‘‘of the Interstate Commerce

11 Commission under subchapter III of chapter

12 105 of title 49, or subject to the jurisdiction’’

13 in subparagraph (F).

14 (v) Title 28 of the United States Code is amended

15 by—

16 (1) in section 1336 by striking ‘‘Interstate

17 Commerce Commission’’ and inserting ‘‘Secretary of

18 Transportation’’ in lieu thereof;

19 (2) in section 2321 (a) and (b) by striking

20 ‘‘Interstate Commerce Commission’’ and inserting

21 ‘‘Secretary of Transportation’’ in lieu thereof;

22 (3) in section 2323 by striking ‘‘Interstate

23 Commerce Commission’’ and inserting ‘‘Secretary of

24 Transportation, subject to the Attorney General’s

25 consent,’’ in lieu thereof, and by inserting ‘‘private’’
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1 between ‘‘such’’ and ‘‘party’’ in the final sentence

2 thereof;

3 (4) in section 2341(3)(A) by striking ‘‘Inter4 state Commerce Commission’’; and

5 (5) in section 2342(5) by striking ‘‘Interstate

6 Commerce Commission’’ and ‘‘Commission’’ and in7 serting ‘‘Secretary of Transportation’’ in lieu there8 of.

9 (w) Section 3726(b) of title 31, United States Code,

10 is amended by striking paragraphs (1) and (2) and insert11 ing after ‘‘under’’ the following: ‘‘a commercial rate or a

12 rate established pursuant to section 10721 of title 49 or

13 an equivalent arrangement or an exemption.’’.

14 (x) Section 5005(b)(3) of title 39, United States

15 Code, is amended by striking ‘‘either the Interstate Com16 merce Commission or’’.

17 (y) Sections 13369 and 6362 of title 42, United

18 States Code, are amended by striking ‘‘Interstate Com19 merce Commission’’ and inserting ‘‘Secretary of Transpor20 tation’’ in lieu thereof.

21 (z) Title 45 of the United States Code is amended

22 by—

23 (1) in section 151, striking ‘‘Interstate Com24 merce Commission’’ and inserting ‘‘Secretary of

25 Transportation’’ in lieu thereof;
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1 (2) in section 231(a)(2)(ii)—

2 (A) striking ‘‘Interstate Commerce Com3 mission’’ and inserting ‘‘Secretary of Transpor4 tation’’ in lieu thereof; and

5 (B) striking ‘‘after hearing’’.

6 (3) in section 351(a) by—

7 (A) striking ‘‘Interstate Commerce Com8 mission’’ and inserting ‘‘Secretary of Transpor9 tation’’ in lieu thereof; and

10 (B) striking ‘‘after hearing’’.

11 (4) in section 352(h)(3) by striking ‘‘Interstate

12 Commerce Commission’’ and inserting ‘‘Secretary of

13 Transportation’’ in lieu thereof;

14 (5) in section 661 by striking subsection (2)

15 and redesignating subsections (3) and (4) as sub16 sections ‘‘(2)’’ and ‘‘(3)’’ respectively;

17 (6) in section 662(a) by striking ‘‘after con18 sultation with the Commission’’;

19 (7) in section 662(b) by—

20 (A) striking ‘‘after consultation with the

21 Commission’’; and

22 (B) striking ‘‘and the operation over the

23 lines shall be subject to the approval of the

24 Commission pursuant to the provisions of sub-
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1 chapter III of chapter 113 of title 49,’’ and ‘‘or

2 the Commission’’;

3 (8) in section 665(a) by striking ‘‘, and shall

4 consult with the Interstate Commerce Commission in

5 carrying out the provisions of this chapter’’;

6 (9) by amending section 744(d) by—

7 (A) in paragraph (1) striking ‘‘only if the

8 Commission determines, on petition by any af9 fected party, that the agreement would substan10 tially impair such railroad’s ability to serve ade11 quately its own patrons or to meet its outstand12 ing common carrier obligations’’;

13 (B) in paragraph (1)(A) striking ‘‘, unless

14 the Commission determines that such rail serv15 ice continuation could be performed more effi16 ciently and economically by another railroad’’;

17 and

18 (C) in paragraph (1)(B) striking ‘‘or if the

19 Commission makes a determination in accord20 ance with subparagraph (A) of this paragraph’’;

21 (10) by amending section 744(g) to read as

22 follows:

23 ‘‘(g) ABANDONMENT BY CORPORATION.—The Cor24 poration may abandon any rail properties in accordance
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1 with the provisions of section 10903 of title 49, United

2 States Code.’’; and

3 (11) by amending section 1207 by striking

4 ‘‘Interstate Commerce Commission’’ wherever it ap5 pears and inserting ‘‘Secretary of Transportation’’

6 in lieu thereof.

7 (aa) Section 333 of title 49, United States Code, is

8 amended by—

9 (1) striking subparagraph (d)(1)(C) and redes10 ignating subparagraphs (D) and (E) as ‘‘(C)’’ and

11 ‘‘(D)’’, respectively; and

12 (2) by striking subsection (e).

13 (bb) Section 131 of title 13, United States Code, is

14 amended by inserting the words ‘‘in cooperation with the

15 Department of Transportation and’’ after the open paren16 thesis and before the word ‘‘exclusive’’.

17 (cc) Section 5314 of title 5, United States Code, is

18 amended by striking ‘‘Chairman, Interstate Commerce

19 Commission’’ from the listing of positions at Level III of

20 the Executive Schedule.

21 (dd) Section 5315 of title 5, United States Code, is

22 amended by inserting ‘‘Members, Interstate Commerce

23 Commission’’ from the listing of positions at Level IV of

24 the Executive Schedule.
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1 MOTOR CARRIER REGISTRATION AND INSURANCE

2 REQUIREMENTS

3 SEC. 7. (a) Chapter 311 of title 49, United States

4 Code, is amended as follows:

5 (1) Section 31102, is amended in subparagraph

6 (b)(1) by inserting a new subparagraph as follows:

7 ‘‘(Q) ensures that the State will cooperate

8 in the enforcement of registration and financial

9 responsibility requirements under sections

10 31140 and 31146 of this title, or regulations is11 sued thereunder.’’.

12 (2) Section 31132, is amended as follows:

13 (A) By inserting after the definition of

14 ‘‘interstate commerce’’ a new subparagraph as

15 follows:

16 (6) ‘motor carrier’ means a person providing

17 transportation of passengers or property by commer18 cial motor vehicle, and includes ‘motor common car19 rier’, ‘motor contract carrier’, and ‘motor private

20 carrier’ as those terms are defined in section 10102

21 of this title.’’; and

22 (B) By renumbering subparagraphs (6)

23 through (10) as subparagraphs (7) through

24 (11).

25 (3) Section 31138, is amended as follows:
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1 (A) By redesignating subparagraph (a) as

2 (a)(1).

3 (B) By redesignating subparagraph (a)(1)

4 as (a)(1)(A).

5 (C) By redesignating subparagraph (a)(2)

6 as (a)(1)(B).

7 (D) By redesignating subparagraph (a)(3)

8 as (a)(1)(C).

9 (E) By inserting a new subparagraph after

10 (a)(1) as follows:

11 ‘‘(2) The current regulations in effect at the

12 time of enactment remain in effect until altered or

13 revised by the Secretary pursuant to the Secretary’s

14 authority under this section.’’.

15 (F) By striking subparagraph (b).

16 (4) Section 31139, is amended as follows:

17 (A) By striking in subparagraph (b)(2)

18 ‘‘The level of financial responsibility established

19 under paragraph (1) of this subsection shall be

20 at least $750,000.’’ and inserting in lieu thereof

21 ‘‘The current regulations in effect at the time

22 of enactment remain in effect until altered or

23 revised by the Secretary pursuant to the Sec24 retary’s authority under this section.’’.

25 (B) By striking subparagraph (c).
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1 (C) In subparagraph (d) by striking ‘‘(as

2 those terms are defined in section 10530 of this

3 title) providing transportation of property under

4 a certificate of registration issued under section

5 10530’’ and inserting ‘‘(as those terms are de6 fined in section 31501) providing transportation

7 of passengers or property’’ in lieu thereof.

8 (5) By inserting a new section as follows:

9 ‘‘§ 31140. Commercial Motor Carrier Financial Re10 sponsibility Information System

11 ‘‘(a) GENERAL REQUIREMENT.—The Secretary of

12 Transportation is authorized to enter into an agreement

13 under subsection (b) of this section for the operation of,

14 or establish under subsection (c) of this section, an infor15 mation system that will serve as a clearinghouse and de16 pository of information about compliance with the re17 quired levels of financial responsibility, identification, and

18 disqualification of commercial motor carriers. The Sec19 retary shall consult with the States in carrying out this

20 section. Any agreement that the Secretary enters into to

21 carry out this section shall ensure the integrity of the

22 system.

23 ‘‘(b) STATE AGREEMENTS.—If the Secretary decides

24 that an information system used by a State or States re25 garding the financial responsibility of commercial motor
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1 vehicles and motor carriers or another State-operated in2 formation system could be used to carry out this section,

3 and the State or States agree to the use of the system

4 for carrying out this section, the Secretary may enter into

5 an agreement with such State or States to use the system

6 as provided in this section. An agreement made under this

7 subsection shall contain terms the Secretary considers nec8 essary to carry out this chapter.

9 ‘‘(c) ESTABLISHMENT BY SECRETARY.—If the Sec10 retary elects not to enter into an agreement under sub11 section (b) of this section, the Secretary shall establish an

12 information system regarding the financial responsibility

13 status of commercial motor vehicles and motor carriers as

14 provided in this section.

15 ‘‘(d) CONTENTS.—(1) At a minimum, the informa16 tion system under this section shall include for each motor

17 carrier—

18 ‘‘(A) information the Secretary considers appro19 priate to ensure identification of the motor carrier;

20 ‘‘(B) the tax identification number of the motor

21 carrier and other identification numbers the Sec22 retary considers appropriate to identify the operator;

23 ‘‘(C) the name of the State(s) within which the

24 carrier operates that issued registration(s) to the
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1 motor carrier and in which it registers its commer2 cial motor vehicles; and

3 ‘‘(D) the levels and types of financial respon4 sibility applicable to the motor carrier.

5 ‘‘(2) Not later than six months following the enact6 ment of this section the Secretary shall prescribe regula7 tions with respect to an identification system to ensure

8 the identification of commercial motor carriers.

9 ‘‘(e) AVAILABILITY OF INFORMATION.—(1) On the

10 request of any State, the Secretary or operator of the in11 formation system, as the case may be, may make available

12 to such State any information contained in the system es13 tablished under this section.

14 ‘‘(2) On request of a motor carrier, the Secretary or

15 the operator of the information system, as the case may

16 be, may make available to the motor carrier any informa17 tion in the system pertaining to the requesting motor

18 carrier.

19 ‘‘(3) On the request of any person, the Secretary or

20 the operator of the information system, as the case may

21 be, may make available to such person information in the

22 system about any motor carrier.

23 ‘‘(4) On the request of the Secretary, the operator

24 of the information system shall make available to the Sec-
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1 retary any information in the system, including summary

2 reports that the system has the capacity to produce.

3 ‘‘(f) FEE SYSTEM.—The Secretary is authorized to

4 establish a fee system for using the information system,

5 pursuant to section 9701, title 31, United States Code.

6 Fees collected under this subsection in a fiscal year shall

7 equal as nearly as possible the costs of operating the infor8 mation system in that fiscal year. Such fees may be cred9 ited to the Department of Transportation appropriation

10 account charged in proportion to the amount expended

11 from the account for these purposes, and shall be available

12 for expenditure until expended.’’.

13 (6) By renumbering section 31140 as 31141.

14 (7) By renumbering section 31141 as 31142.

15 (8) By renumbering section 31142 as 31143.

16 (9) By renumbering section 31143 as 31144.

17 (10) By renumbering section 31144 as 31145.

18 (11) By inserting a new section, as follows:

19 ‘‘§ 31146. Registration

20 ‘‘(a) PERSONS REQUIRED TO FILE.—(1) The Sec21 retary of Transportation is authorized to require any

22 motor carrier that transports or causes to be transported

23 passengers or property in commerce, as defined by section

24 31301, in a commercial motor vehicle to register its com25 mercial motor vehicle operations.
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1 ‘‘(2) The Secretary may require motor carriers domi2 ciled in foreign countries to register with the Department

3 of Transportation when offering transportation services

4 within the United States.

5 ‘‘(3) DEPARTMENT OF TRANSPORTATION IDENTI6 FICATION NUMBER AND CERTIFICATE.—Upon receipt of

7 a registration statement completed in accordance with the

8 requirements of this section, the Secretary shall issue a

9 Department of Transportation identification number and

10 certificate to the motor carrier as proof of registration.

11 ‘‘(b) COMPLIANCE WITH REGISTRATION REQUIRE12 MENTS.—

13 ‘‘(1) No motor carrier required to file a reg14 istration statement under subsection (a) may oper15 ate or cause to be operated any commercial motor

16 vehicles in commerce unless the motor carrier’s oper17 ations are currently registered with the Secretary

18 and the motor carrier has a valid certificate and

19 identification number issued by the Secretary.

20 ‘‘(2) The Secretary may deny, revoke, or sus21 pend a motor carrier’s registration, identification

22 number and certificate, as provided for in this sec23 tion, because of noncompliance with the motor car24 rier safety fitness standards, required levels of finan25 cial responsibility, or any restrictions or conditions
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1 imposed pursuant to section 31181, as determined

2 by the Secretary.

3 ‘‘(c) FORM, CONTENTS, AND LIMITATIONS ON FIL4 INGS.—(1) A registration statement under subsection (a)

5 of this section shall be in the form and contain information

6 the Secretary of Transportation requires by regulation.

7 The statement shall include, at a minimum—

8 ‘‘(A) the name and principal place of business

9 of the registrant;

10 ‘‘(B) a description of the activity the registrant

11 carries out for which filing a statement under sub12 section (a) of this section is required;

13 ‘‘(C) each State in which the person carries out

14 the activity; and

15 ‘‘(D) a designated agent for service of process

16 that is domiciled within the United States if the ap17 plicant motor carrier is a foreign motor carrier as

18 defined in section 31501 of this title.

19 ‘‘(2) A motor carrier carrying out more than one ac20 tivity; or an activity at more than one location for which

21 filing is required, need only file one registration statement

22 to comply with subsection (a) of this section.

23 ‘‘(d) SECURITY OF MOTOR CARRIERS.—The Sec24 retary may issue a Department of Transportation identi25 fication number and certificate under this section only if
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1 the motor carrier, as defined in section 31132, applying

2 for such registration number, files with the Department

3 proof of financial responsibility in an amount not less than

4 that prescribed by the Secretary pursuant to, or required

5 by, sections 31138 and 31139 of this title, and the laws

6 of the State or States in which the carrier is operating,

7 to the extent applicable. The security obtained by the

8 motor carrier must remain in effect for the entire period

9 that the carrier is registered with the Department.

10 ‘‘(e) FILING DEADLINES AND AMENDMENTS.—(1)

11 Motor carriers that are required to file a registration

12 statement under subsection (a) of this section and are

13 presently in possession of a Department of Transportation

14 number must renew their registration with the Depart15 ment within 1 year of the effective date of regulations is16 sued pursuant to this section. All other motor carriers that

17 are required to file a registration statement must register

18 with the Department within 6 months of the effective date

19 of such regulations. Motor carriers shall renew their reg20 istrations periodically consistent with regulations the Sec21 retary prescribes, but not more than once each year and

22 not less than once every 5 years.

23 ‘‘(2) The Secretary may decide by regulation when

24 and under what circumstances a registration statement
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1 must be amended and the procedures to follow in amend2 ing the statement.

3 ‘‘(f) FEE SYSTEM.—The Secretary is authorized to

4 establish a fee system for using the information system,

5 pursuant to section 9701, title 31, United States Code.

6 Fees collected under this subsection in a fiscal year shall

7 equal as nearly as possible the costs of operating the infor8 mation system in that fiscal year. Such fees may be cred9 ited to the Department of Transportation appropriation

10 account charged in proportion to the amount expended

11 from the account for these purposes, and shall be available

12 for expenditure until expended.

13 ‘‘(g) MAINTAINING PROOF OF FILING AND PAYMENT

14 OF FEES.—Valid Department of Transportation identi15 fication numbers and certificates of registration shall serve

16 as proof of filing and receipt of certification and identifica17 tion numbers from the Secretary.’’.

18 (12) By renumbering section 31145 as 31147.

19 (13) By renumbering section 31146 as 31148.

20 (14) By renumbering section 31147 as 31149.

21 AMENDMENTS TO GENERAL DUTIES AND POWERS

22 SEC. 8. (a) Section 31501 of title 49, United States

23 Code, is amended in subparagraph (3)—

24 (1) by inserting ‘‘interstate’’ before the word

25 ‘‘transportation’’ the first time it appears; and
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1 (2) by striking ‘‘referred to in section 10521(a)

2 of this title’’.

3 (b) Subparagraph 31502(a)(1) of title 49, United

4 States Code, is amended to read as follows:

5 ‘‘(1) defined as ‘‘interstate transportation’’ by

6 section 10102.’’.

7 (c) Subparagraph 31503(a) of title 49, United States

8 Code, is amended by striking ‘‘a motor carrier subject to

9 subchapter II of chapter 105 of this title and a motor pri10 vate carrier’’ and inserting ‘‘an interstate motor carrier

11 or motor private carrier’’ in lieu thereof.

12 (d) The amendments made by this section shall be

13 effective September 30, 1996.

14 FEDERAL TRADE COMMISSION

15 SEC. 9. The Federal Trade Commission Act (15

16 U.S.C. 41 et seq.), is amended as follows:

17 (a) Section 5(a)(2) (15 U.S.C. section 45(a)(2))

18 is amended by deleting the following: ‘‘common car19 riers subject to the Acts to regulate commerce’’ and

20 adding in lieu thereof: ‘‘common carriers subject to

21 the Communications Act of 1934 or Acts amend22 atory thereof or supplementary thereof’’.

23 (b) Section 6 (15 U.S.C. section 46) is amend24 ed by striking the phrase ‘‘common carriers subject

25 to the Act to regulate commerce’’ wherever it ap-
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1 pears and adding in lieu thereof ‘‘common carriers

2 described in section 5(a)(2)’’.

3 APPLICATION OF THE ANTITRUST LAWS

4 SEC. 10. (a) Section 7 of the Clayton Act (15 U.S.C.

5 18) is amended—

6 (1) in the first and second paragraphs, by strik7 ing out ‘‘or’’ immediately after ‘‘stock’’ and inserting

8 a comma in lieu thereof and by striking out ‘‘and no

9 person subject to the jurisdiction of the Federal

10 Trade Commission shall acquire the whole or any

11 part of the’’ and inserting in lieu thereof ‘‘or’’;

12 (2) by deleting the fourth paragraph; and

13 (3) in the final paragraph, by striking out

14 ‘‘Interstate Commerce Commission,’’.

15 (b) Section 11(a) of the Clayton Act (15 U.S.C. sec16 tion 21(a)) is amended by striking ‘‘in the Interstate Com17 merce Commission where applicable to common carriers

18 subject to subtitle IV of title 49’’; and

19 (c) Section 16 of the Clayton Act (15 U.S.C. 26) is

20 amended by striking the entire proviso beginning with the

21 words ‘‘Provided, That’’ through the end of the paragraph,

22 and striking the colon after the word ‘‘issue’’ and inserting

23 a period in lieu thereof.

24 (d) The amendments made by this section shall be

25 effective as of September 30, 1996.
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1 TRANSFER OF APPROPRIATIONS AND PERSONNEL

2 SEC. 11. (a) The personnel (including career mem3 bers of the Senior Executive Service and excluding all po4 litical appointees) employed in connection with, and the

5 assets, liabilities, contracts, property, records, and unex6 pended balances of appropriations and other funds em7 ployed, held, used, arising from, available to or to be made

8 available in connection with, any function transferred by

9 this Act, subject to section 1531 of title 31, United States

10 Code, shall be transferred to the Secretary of Transpor11 tation or the Secretary of Labor in accordance with the

12 transfer of such function. Personnel employed in connec13 tion with functions so transferred shall be transferred in

14 accordance with any applicable laws and regulations relat15 ing to transfer of functions. Unexpended funds transferred

16 pursuant to this subsection shall only be used for the pur17 pose and period of time for which the funds were originally

18 authorized and appropriated. The unobligated balance of

19 appropriations available in connection with any function

20 abolished by this Act shall lapse on September 30, 1996,

21 and the obligated balance of such appropriations shall be

22 transferred to the Secretary of Transportation or the Sec23 retary of Labor in connection with any function trans24 ferred by this Act for the purpose of administering the

25 payment of such obligations.
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1 (b) In order to facilitate the transfers made by this

2 Act, the Director of the Office of Management and Budget

3 is authorized and directed, in consultation with the Inter4 state Commerce Commission, the Secretary of Transpor5 tation and the Secretary of Labor, to make such deter6 minations as may be necessary with regard to the func7 tions so transferred, and to make such additional inciden8 tal dispositions of personnel, assets, liabilities, contracts,

9 property, records, and unexpended balances of appropria10 tions and other funds held, used, arising from, available

11 to, or to be made available in connection with, such func12 tions, as may be necessary to resolve disputes between the

13 Interstate Commerce Commission and the Departments to

14 which functions are transferred by this Act.

15 (c) With the consent of the Interstate Commerce

16 Commission, the Secretary of Transportation and the Sec17 retary of Labor are authorized to use the services of such

18 officers, employees, and other personnel of the Commis19 sion for such period of time up to September 30, 1996,

20 as may reasonably be needed to facilitate the orderly

21 transfer of such functions.

22 SAVINGS PROVISIONS

23 SEC. 12. (a) All orders, determinations, rules, regula24 tions, permits, contracts, certificates, licenses, and privi25 leges—
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1 (1) which have been issued, made, or granted

2 by any agency or official thereof, or by a court of

3 competent jurisdiction, in the performance of any

4 function which is transferred by this Act from Inter5 state Commerce Commission to the Secretary of

6 Transportation or the Secretary of Labor, and

7 (2) which are in effect on September 30,

8 1996—shall continue in effect according to their

9 terms until modified, terminated, superseded, set

10 aside, or revoked in accordance with law by the Sec11 retary of the Department to which such function is

12 transferred, or other authorized officials, a court of

13 competent jurisdiction, or by operation of law.

14 (b) The transfers of functions made by this Act shall

15 not affect any proceedings or any application for any li16 cense, permit, or certificate relating to transferred func17 tions pending before the Interstate Commerce Commission

18 at the time such transfers take effect; but such proceed19 ings and applications, to the extent that they relate to

20 functions so transferred, shall be continued. Orders shall

21 be issued in such proceedings, and appeals may be taken

22 therefrom, as if this Act had not been enacted; and orders

23 issued in any such proceedings shall continue in effect

24 until modified, terminated, superseded, or revoked by a

25 duly authorized official, by a court of competent jurisdic-
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1 tion, or by operation of law. Nothing in this section shall

2 be deemed to prohibit the discontinuance or modification

3 of any such proceeding under the same terms and condi4 tions and to the same extent that such proceeding could

5 have been discontinued or modified if this Act had not

6 been enacted.

7 (c) Except as provided in subsection (e)—

8 (1) the transfer of any function under this Act

9 shall not affect any suite relating to such function

10 which is commenced prior to the date the transfer

11 takes effect, and

12 (2) in all such suites, proceedings shall be had,

13 appeals taken, and judgments rendered in the same

14 manner and effect as if this Act had not been en15 acted.

16 (d) No suit, action, or other proceeding commenced

17 by or against any officer in his or her official capacity

18 as an officer of the Interstate Commerce Commission shall

19 abate by reason of the transfer of any function under this

20 Act. No cause of action by or against the Interstate Com21 merce Commission, or by or against any officer thereof

22 in his or her official capacity, shall abate by reason of the

23 transfer of any function under this Act.

24 (e) If, before September 30, 1996, the Interstate

25 Commerce Commission, or officer thereof in his or her of-
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1 ficial capacity, is a party to a suit relating to a function

2 transferred by this Act, then such suit shall be continued

3 with the Secretary of the Department to which the func4 tion is transferred.

5 (f) With respect to any function transferred to the

6 Secretary of Transportation or the Secretary of Labor by

7 this Act and exercised after the effective date of such

8 transfer, reference in any Federal law to the Interstate

9 Commerce Commission or the Commission (insofar as

10 such term refers to the Interstate Commerce Commis11 sion), or to any officer or office of the Interstate Com12 merce Commission, shall be deemed to refer to that De13 partment, or other official or component to the Depart14 ment, in which such function vests.

15 (g) In the exercise of any function transferred under

16 this Act, the Secretary of Transportation or the Secretary

17 of Labor shall have the same authority as that vested in

18 the Interstate Commerce Commission with respect to such

19 function, immediately preceding its transfer, and actions

20 of the Secretary of the Department in exercising such

21 function shall have the same force and effect as when exer22 cised by the Interstate Commerce Commission.

23 (h) In exercising any function transferred by this Act,

24 the Secretary of Transportation or the Secretary of Labor
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1 shall give full consideration to the need for operational

2 continuity of the function transferred.

3 CONFORMING AMENDMENTS

4 SEC. 13. The provisions and chapter analyses of title

5 49, United States Code, shall be amended to conform with

6 the amendments made by this Act.

7 FEDERAL MARITIME COMMISSION

8 SEC. 14. (a) FINDINGS.—The Congress finds that:

9 (1) Statutory provisions providing jurisdiction

10 for the Federal Maritime Commission to regulate

11 the reasonableness of rates charged by ocean car12 riers in the domestic offshore trades (those between

13 the 48 mainland States, on the one hand, and points

14 in Alaska, Hawaii, Puerto Rico, and United States

15 territories and possessions, on the other), and in cer16 tain circumstances to establish reasonable rates of

17 return for such carriers in those trades no longer

18 serve a useful regulatory purpose and should be

19 eliminated; and

20 (2) Statutory provisions requiring ocean car21 riers in domestic offshore trades and domestic con22 tiguous States trades (comprising waterborne trans23 portation between points on the United States in24 land waterways, intracoastal waterways and the

25 Great Lakes) to set forth the rates they charge in

26 tariffs filed with either the Interstate Commerce
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1 Commission or the Federal Maritime Commission no

2 longer serve a useful regulatory purpose and should

3 also be eliminated.

4 (b) TERMINATION OF AUTHORITY.—

5 (1) Chapter 23A of title 46, United States

6 Code, commonly referred to as the Intercoastal Ship7 ping Act, 1933, is repealed in its entirety effective

8 September 30, 1996.

9 (2) The following provisions of chapter 23 of

10 title 46, United States Code, commonly referred to

11 as the Shipping Act, 1916, are repealed effective

12 September 30, 1996:

13 (A) Section 804.

14 (B) Section 817.

15 (C) Section 818.

16 (D) Section 832.

17 (3) The following provisions of chapter 23 of

18 title 46, United States Code, commonly referred to

19 as the Shipping Act, 1916, are amended effective

20 September 30, 1996, as follows:

21 (A) Section 812 is amended by—

22 (i) striking the subparagraph denomi23 nated ‘‘First’’ in its entirety;

24 (ii) by redesignating the subparagraph

25 denominated ‘‘Second’’ as ‘‘First’’;
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1 (iii) by redesignating the subpara2 graph denominated ‘‘Third’’ as ‘‘Second’’;

3 and

4 (iv) by redesignating the subpara5 graph denominated ‘‘Fourth’’ as ‘‘Third’’;

6 (B) Section 815 is amended by—

7 (i) striking the subparagraph denomi8 nated ‘‘Second’’ in its entirety;

9 (ii) by redesignating the subparagraph

10 denominated ‘‘Third’’ as ‘‘Second’’;

11 (iii) by deleting the penultimate sub12 paragraph of the section; and

13 (iv) by amending the last subpara14 graph of the section to read as follows:

15 ‘‘Whoever violates any provision of this

16 section shall be guilty of a misdemeanor

17 punishable by a fine of not more than

18 $5,000 for each offense.’’.

19 (C) Section 820 is amended by—

20 (i) striking the designation ‘‘(a)’’ from

21 the opening subparagraph; and

22 (ii) by striking the subparagraph de23 nominated ‘‘(b)’’ in its entirety.

24 SEVERABILITY CLAUSE

25 SEC. 15. If any provision of this Act, or the applica26 tion of such provision to any person or circumstance, is
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1 held invalid, the remainder of this Act and the application

2 of such provision to any other person or circumstance shall

3 not be affected by such invalidation.

4 EFFECTIVE DATE

5 SEC. 16. This Act shall be effective upon enactment,

6 except as specifically provided otherwise.

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