Union Calendar No. 155

104TH CONGRESS

1ST SESSION H. R. 1788

[Report No. 104–299]

A BILL

To reform the statutes relating to Amtrak, to aupurposes. thorize appropriations for Amtrak, and for other

OCTOBER 30, 1995

Reported with an amendment, committed to the Commitordered to be printed tee of the Whole House on the State of the Union, and
IB

Union Calendar No. 155

104TH CONGRESS

1ST SESSION H. R. 1788

[Report No. 104–299]

To reform the statutes relating to Amtrak, to authorize appropriations for

Amtrak, and for other purposes.

IN THE HOUSE OF REPRESENTATIVES

JUNE 8, 1995

Ms. MOLINARI (for herself and Mr. SHUSTER) introduced the following bill;

which was referred to the Committee on Transportation and Infrastructure

OCTOBER 30, 1995

Reported with an amendment, committed to the Committee of the Whole

House on the State of the Union, and ordered to be printed

[Strike out all after the enacting clause and insert the part printed in italic]

[For text of introduced bill, see copy of bill as introduced on June 8, 1995]

A BILL

To reform the statutes relating to Amtrak, to authorize

appropriations for Amtrak, 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 SECTION 1. SHORT TITLE.

4 This Act may be cited as the ‘‘Amtrak Reform and Pri5 vatization Act of 1995’’.
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1 TITLE I—PROCUREMENT

2 REFORMS

3 SEC. 101. CONTRACTING OUT.

4 (a) AMENDMENT.—Section 24312(b) of title 49, United

5 States Code, is amended to read as follows:

6 ‘‘(b) CONTRACTING OUT.—(1) When Amtrak contracts

7 out work normally performed by an employee in a bargain8 ing unit covered by a contract between a labor organization

9 and Amtrak, Amtrak is encouraged to use other rail car10 riers for performing such work.

11 ‘‘(2)(A) Amtrak may not enter into a contract for the

12 operation of trains with any entity other than a State or

13 State authority.

14 ‘‘(B) If Amtrak enters into a contract as described in

15 subparagraph (A)—

16 ‘‘(i) such contract shall not relieve Amtrak of

17 any obligation in connection with the use of facilities

18 of another entity for the operation covered by such

19 contract; and

20 ‘‘(ii) such operation shall be subject to any oper21 ating or safety restrictions and conditions required by

22 the agreement providing for the use of such facilities.

23 ‘‘(C) This paragraph shall not restrict Amtrak’s au24 thority to enter into contracts for access to or use of tracks

25 or facilities for the operation of trains.’’.
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1 (b) EFFECTIVE DATE.—Subsection (a) shall take effect

2 254 days after the date of the enactment of this Act.

3 SEC. 102. CONTRACTING PRACTICES.

4 (a) BELOW-COST COMPETITION.—Section 24305(b) of

5 title 49, United States Code, is amended to read as follows:

6 ‘‘(b) BELOW-COST COMPETITION.—(1) Amtrak shall

7 not submit any bid for the performance of services under

8 a contract for an amount less than the cost to Amtrak of

9 performing such services, with respect to any activity other

10 than the provision of intercity rail passenger transpor11 tation, commuter rail passenger transportation, or mail or

12 express transportation. For purposes of this subsection, the

13 cost to Amtrak of performing services shall be determined

14 using generally accepted accounting principles for contract15 ing.

16 ‘‘(2) Any aggrieved individual may commence a civil

17 action for violation of paragraph (1). The United States

18 district courts shall have jurisdiction, without regard to the

19 amount in controversy or the citizenship of the parties, to

20 enforce paragraph (1). The court, in issuing any final order

21 in any action brought pursuant to this paragraph, may

22 award bid preparation costs, anticipated profits, and liti23 gation costs, including reasonable attorney and expert wit24 ness fees, to any prevailing or substantially prevailing

25 party. The court may, if a temporary restraining order or
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1 preliminary injunction is sought, require the filing of a

2 bond or equivalent security in accordance with the Federal

3 Rules of Civil Procedure.

4 ‘‘(3) This subsection shall cease to be effective on the

5 expiration of a fiscal year during which no Federal operat6 ing assistance is provided to Amtrak.’’.

7 (b) THROUGH SERVICE IN CONJUNCTION WITH INTER8 CITY BUS OPERATIONS.—(1) Section 24305(a) of title 49,

9 United States Code, is amended by adding at the end the

10 following new paragraph:

11 ‘‘(3)(A) Except as provided in subsection (d)(2), Am12 trak may enter into a contract with a motor carrier of pas13 sengers for the intercity transportation of passengers by

14 motor carrier over regular routes only—

15 ‘‘(i) if the motor carrier is not a public recipient

16 of governmental assistance, as such term is defined in

17 section 10922(d)(1)(F)(i) of this title, other than a re18 cipient of funds under section 18 of the Federal Tran19 sit Act;

20 ‘‘(ii) for passengers who have had prior move21 ment by rail or will have subsequent movement by

22 rail; and

23 ‘‘(iii) if the buses, when used in the provision of

24 such transportation, are used exclusively for the

25 transportation of passengers described in clause (ii).
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1 ‘‘(B) Subparagraph (A) shall not apply to transpor2 tation funded predominantly by a State or local govern3 ment, or to ticket selling agreements.’’.

4 (2) Section 24305(d) of title 49, United States Code,

5 is amended by adding at the end the following new para6 graph:

7 ‘‘(3) Congress encourages Amtrak and motor common

8 carriers of passengers to use the authority conferred in sec9 tion 11342(a) of this title for the purpose of providing im10 proved service to the public and economy of operation.’’.

11 SEC. 103. FREEDOM OF INFORMATION ACT.

12 Section 24301(e) of title 49, United States Code, is

13 amended by striking ‘‘Section 552 of title 5, this part,’’ and

14 inserting in lieu thereof ‘‘This part’’.

15 TITLE II—OPERATIONAL

16 REFORMS

17 SEC. 201. BASIC SYSTEM.

18 (a) OPERATION OF BASIC SYSTEM.—Section 24701 of

19 title 49, United States Code, and the item relating thereto

20 in the table of sections of chapter 247 of such title, are re21 pealed.

22 (b) IMPROVING RAIL PASSENGER TRANSPORTATION.—

23 Section 24702 of title 49, United States Code, and the item

24 relating thereto in the table of sections of chapter 247 of

25 such title, are repealed.
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1 (c) DISCONTINUANCE.—Section 24706 of title 49,

2 United States Code, is amended—

3 (1) in subsection (a)(1)—

4 (A) by striking ‘‘90 days’’ and inserting in

5 lieu thereof ‘‘180 days’’;

6 (B) by striking ‘‘a discontinuance under

7 section 24704 or 24707(a) or (b) of this title’’

8 and inserting in lieu thereof ‘‘discontinuing serv9 ice over a route’’; and

10 (C) by inserting ‘‘or assume’’ after ‘‘agree to

11 share’’;

12 (2) in subsection (a)(2), by striking ‘‘section

13 24704 or 24707(a) or (b) of this title’’ and inserting

14 in lieu thereof ‘‘paragraph (1)’’; and

15 (3) by striking subsection (b).

16 (d) COST AND PERFORMANCE REVIEW.—Section

17 24707 of title 49, United States Code, and the item relating

18 thereto in the table of sections of chapter 247 of such title,

19 are repealed.

20 (e) SPECIAL COMMUTER TRANSPORTATION.—Section

21 24708 of title 49, United States Code, and the item relating

22 thereto in the table of sections of chapter 247 of such title,

23 are repealed.
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1 (f) CONFORMING AMENDMENT.—Section 24312(a)(1)

2 of title 49, United States Code, is amended by striking ‘‘,

3 24701(a),’’.

4 SEC. 202. MAIL, EXPRESS, AND AUTO-FERRY TRANSPOR5 TATION.

6 (a) REPEAL.—Section 24306 of title 49, United States

7 Code, and the item relating thereto in the table of sections

8 of chapter 243 of such title, are repealed.

9 (b) CONFORMING AMENDMENT.—Section 24301 of title

10 49, United States Code, is amended by adding at the end

11 the following new subsection:

12 ‘‘(o) NONAPPLICATION OF CERTAIN OTHER LAWS.—

13 State and local laws and regulations that impair the provi14 sion of mail, express, and auto-ferry transportation do not

15 apply to Amtrak or a rail carrier providing mail, express,

16 or auto-ferry transportation.’’.

17 SEC. 203. ROUTE AND SERVICE CRITERIA.

18 Section 24703 of title 49, United States Code, and the

19 item relating thereto in the table of sections of chapter 247

20 of such title, are repealed.

21 SEC. 204. ADDITIONAL QUALIFYING ROUTES.

22 Section 24705 of title 49, United States Code, and the

23 item relating thereto in the table of sections of chapter 247

24 of such title, are repealed.
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1 SEC. 205. TRANSPORTATION REQUESTED BY STATES, AU2 THORITIES, AND OTHER PERSONS.

3 (a) REPEAL.—Section 24704 of title 49, United States

4 Code, and the item relating thereto in the table of sections

5 of chapter 247 of such title, are repealed.

6 (b) EXISTING AGREEMENTS.—Amtrak shall not, after

7 the date of the enactment of this Act, be required to provide

8 transportation services pursuant to an agreement entered

9 into before such date of enactment under the section re10 pealed by subsection (a) of this section.

11 (c) STATE, REGIONAL, AND LOCAL COOPERATION.—

12 Section 24101(c)(2) of title 49, United States Code, is

13 amended by inserting ‘‘, separately or in combination,’’

14 after ‘‘and the private sector’’.

15 (d) CONFORMING AMENDMENT.—Section 24312(a)(1)

16 of title 49, United States Code, is amended by striking ‘‘or

17 24704(b)(2)’’.

18 SEC. 206. AMTRAK COMMUTER.

19 (a) REPEAL OF CHAPTER 245.—Chapter 245 of title

20 49, United States Code, and the item relating thereto in

21 the table of chapters of subtitle V of such title, are repealed.

22 (b) CONFORMING AMENDMENTS.—(1) Section 24301(f)

23 of title 49, United States Code, is amended to read as fol24 lows:

25 ‘‘(f) TAX EXEMPTION FOR CERTAIN COMMUTER AU26 THORITIES.—A commuter authority that was eligible to
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1 make a contract with Amtrak Commuter to provide com2 muter rail passenger transportation but which decided to

3 provide its own rail passenger transportation beginning

4 January 1, 1983, is exempt, effective October 1, 1981, from

5 paying a tax or fee to the same extent Amtrak is exempt.’’.

6 (2) Subsection (a) of this section shall not affect any

7 trackage rights held by Amtrak or the Consolidated Rail

8 Corporation.

9 SEC. 207. COMMUTER COST SHARING ON THE NORTHEAST

10 CORRIDOR.

11 (a) DETERMINATION OF COMPENSATION.—Section

12 24904 of title 49, United States Code, is amended—

13 (1) by striking subsection (b);

14 (2) by redesignating subsection (c) as subsection

15 (b);

16 (3) in subsection (b), as so redesignated by para17 graph (2) of this subsection—

18 (A) by striking ‘‘TRANSPORTATION OVER

19 CERTAIN RIGHTS OF WAY AND FACILITIES’’ in

20 the subsection head and inserting in lieu thereof

21 ‘‘FREIGHT TRANSPORTATION’’;

22 (B) by inserting ‘‘relating to rail freight

23 transportation’’ after ‘‘subsection (a)(6) of this

24 section’’ in paragraph (1); and
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1 (C) by inserting ‘‘to an agreement described

2 in paragraph (1)’’ after ‘‘If the parties’’ in para3 graph (2); and

4 (4) by inserting after subsection (b), as so redes5 ignated by paragraph (2) of this subsection, the fol6 lowing new subsection:

7 ‘‘(c) BINDING ARBITRATION FOR COMMUTER DIS8 PUTES.—(1) If the parties to an agreement described in

9 subsection (a)(6) relating to commuter rail passenger trans10 portation cannot agree to the terms of such agreement, such

11 parties shall submit the issues in dispute to binding arbi12 tration.

13 ‘‘(2) The parties to a dispute described in paragraph

14 (1) may agree to use the Interstate Commerce Commission

15 to arbitrate such dispute, and if requested the Interstate

16 Commerce Commission shall perform such function.’’.

17 (b) PRIVATIZATION.—Section 24101(d) of title 49,

18 United States Code, is amended to read as follows:

19 ‘‘(d) MINIMIZING GOVERNMENT SUBSIDIES.—To carry

20 out this part, Amtrak is encouraged to make agreements

21 with the private sector and undertake initiatives that are

22 consistent with good business judgment, that produce in23 come to minimize Government subsidies, and that promote

24 the potential privatization of Amtrak’s operations.’’.
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1 SEC. 208. ACCESS TO RECORDS AND ACCOUNTS.

2 Section 24315 of title 49, United States Code, is

3 amended—

4 (1) in subsection (e), by inserting ‘‘financial or’’

5 after ‘‘Comptroller General may conduct’’; and

6 (2) by adding at the end the following new sub7 section:

8 ‘‘(h) ACCESS TO RECORDS AND ACCOUNTS.—A State

9 shall have access to Amtrak’s records, accounts, and other

10 necessary documents used to determine the amount of any

11 payment to Amtrak required of the State.’’.

12 TITLE III—COLLECTIVE

13 BARGAINING REFORMS

14 SEC. 301. RAILWAY LABOR ACT PROCEDURES.

15 (a) NOTICES.—(1) Notwithstanding any arrangement

16 in effect before the date of the enactment of this Act, notices

17 under section 6 of the Railway Labor Act (45 U.S.C. 156)

18 with respect to all issues relating to—

19 (A) employee protective arrangements and sever20 ance benefits, including all provisions of Appendix C–

21 2 to the National Railroad Passenger Corporation

22 Agreement, signed July 5, 1973; and

23 (B) contracting out by Amtrak of work normally

24 performed by an employee in a bargaining unit cov25 ered by a contract between Amtrak and a labor orga26 nization representing Amtrak employees,
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1 applicable to employees of Amtrak shall be deemed served

2 and effective on the date which is 90 days after the date

3 of the enactment of this Act. Amtrak, and each affected labor

4 organization representing Amtrak employees, shall prompt5 ly supply specific information and proposals with respect

6 to each such notice. This subsection shall not apply to issues

7 relating to provisions defining the scope or classification

8 of work performed by an Amtrak employee.

9 (2) In the case of provisions of a collective bargaining

10 agreement with respect to which a moratorium is in effect

11 90 days after the date of the enactment of this Act, para12 graph (1) shall take effect on the expiration of such morato13 rium. For purposes of the application of paragraph (1) to

14 such provisions, notices shall be deemed served and effective

15 on the date of such expiration.

16 (b) NATIONAL MEDIATION BOARD EFFORTS.—Except

17 as provided in subsection (c), the National Mediation Board

18 shall complete all efforts, with respect to each dispute de19 scribed in subsection (a), under section 5 of the Railway

20 Labor Act (45 U.S.C. 155) not later than 180 days after

21 the date of the enactment of this Act.

22 (c) RAILWAY LABOR ACT ARBITRATION.—The parties

23 to any dispute described in subsection (a) may agree to sub24 mit the dispute to arbitration under section 7 of the Rail25 way Labor Act (45 U.S.C. 157), and any award resulting
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1 therefrom shall be retroactive to the date which is 180 days

2 after the date of the enactment of this Act.

3 (d) DISPUTE RESOLUTION.—(1) With respect to any

4 dispute described in subsection (a) which—

5 (A) is unresolved as of the date which is 180

6 days after the date of the enactment of this Act; and

7 (B) is not submitted to arbitration as described

8 in subsection (c),

9 Amtrak and the labor organization parties to such dispute

10 shall, within 187 days after the date of the enactment of

11 this Act, each select an individual from the entire roster

12 of arbitrators maintained by the National Mediation

13 Board. Within 194 days after the date of the enactment of

14 this Act, the individuals selected under the preceding sen15 tence shall jointly select an individual from such roster to

16 make recommendations with respect to such dispute under

17 this subsection.

18 (2) No individual shall be selected under paragraph

19 (1) who is pecuniarily or otherwise interested in any orga20 nization of employees or any railroad. Nothing in this sub21 section shall preclude an individual from being selected for

22 more than 1 dispute described in subsection (a).

23 (3) The compensation of individuals selected under

24 paragraph (1) shall be fixed by the National Mediation

25 Board. The second paragraph of section 10 of the Railway
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1 Labor Act shall apply to the expenses of such individuals

2 as if such individuals were members of a board created

3 under such section 10.

4 (4) If the parties to a dispute described in subsection

5 (a) fail to reach agreement within 224 days after the date

6 of the enactment of this Act, the individual selected under

7 paragraph (1) with respect to such dispute shall make rec8 ommendations to the parties proposing contract terms to

9 resolve the dispute.

10 (5) If the parties to a dispute described in subsection

11 (a) fail to reach agreement, no change shall be made by

12 either of the parties in the conditions out of which the dis13 pute arose for 30 days after recommendations are made

14 under paragraph (4).

15 (6) Section 10 of the Railway Labor Act (45 U.S.C.

16 160) shall not apply to a dispute described in subsection

17 (a).

18 SEC. 302. SERVICE DISCONTINUANCE.

19 (a) REPEAL.—(1) Section 24706(c) of title 49, United

20 States Code, is repealed.

21 (2)(A) Any provision of a contract, entered into before

22 the date of the enactment of this Act between Amtrak and

23 a labor organization representing Amtrak employees, relat24 ing to—
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1 (i) employee protective arrangements and sever2 ance benefits, including all provisions of Appendix C–

3 2 to the National Railroad Passenger Corporation

4 Agreement, signed July 5, 1973; or

5 (ii) contracting out by Amtrak of work normally

6 performed by an employee in a bargaining unit cov7 ered by a contract between Amtrak and a labor orga8 nization representing Amtrak employees,

9 applicable to employees of Amtrak is extinguished. This

10 paragraph shall not apply to provisions defining the scope

11 or classification of work performed by an Amtrak employee.

12 (B) In the case of provisions of a collective bargaining

13 agreement with respect to which a moratorium is in effect

14 90 days after the date of the enactment of this Act, subpara15 graph (A) shall take effect 164 days after the date of the

16 expiration of such moratorium.

17 (3) Section 1172(c) of title 11, United States Code,

18 shall not apply to Amtrak and its employees.

19 (4) Paragraphs (1) and (2) of this subsection shall take

20 effect 254 days after the date of the enactment of this Act.

21 (b) INTERCITY PASSENGER SERVICE EMPLOYEES.—

22 Section 1165(a) of the Northeast Rail Service Act of 1981

23 (45 U.S.C. 1113(a)) is amended—

24 (1) by inserting ‘‘(1)’’ before ‘‘After January 1,

25 1983’’;
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1 (2) by striking ‘‘Amtrak, Amtrak Commuter,

2 and Conrail’’ and inserting in lieu thereof ‘‘Amtrak

3 and Conrail’’;

4 (3) by striking ‘‘Such agreement shall ensure’’

5 and all that follows through ‘‘submitted to binding ar6 bitration.’’; and

7 (4) by adding at the end the following new para8 graph:

9 ‘‘(2) Notwithstanding any other provision of law,

10 agreement, or arrangement, with respect to employees in

11 any class or craft in train or engine service, Conrail shall

12 have the right to furlough one such employee for each em13 ployee in train or engine service who moves from Amtrak

14 to Conrail in excess of the cumulative number of such em15 ployees who move from Conrail to Amtrak. Conrail shall

16 not be obligated to fill any position governed by an agree17 ment concerning crew consist, attrition arrangements, re18 serve boards, or reserve engine service positions, where an

19 increase in positions is the result of the return of an Amtrak

20 employee pursuant to an agreement entered into under

21 paragraph (1). Conrail’s collective bargaining agreements

22 with organizations representing its train and engine service

23 employees shall be deemed to have been amended to conform

24 to this paragraph. Any dispute or controversy with respect

25 to the interpretation, application, or enforcement of this
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1 paragraph which has not been resolved within 90 days after

2 the date of the enactment of this paragraph may be submit3 ted by either party to an adjustment board for a final and

4 binding decision under section 3 of the Railway Labor

5 Act.’’.

6 (c) TECHNICAL AMENDMENT.—Section 11347 of title

7 49, United States Code, is amended by striking ‘‘sections

8 24307(c), 24312, and’’ and inserting in lieu thereof ‘‘sec9 tion’’.

10 TITLE IV—USE OF RAILROAD

11 FACILITIES

12 SEC. 401. LIABILITY LIMITATION.

13 (a) AMENDMENT.—Chapter 281 of title 49, United

14 States Code, is amended by adding at the end the following

15 new section:

16 ‘‘§ 28103. Limitations on rail passenger transpor17 tation liability

18 ‘‘(a) LIMITATIONS.—(1) Notwithstanding any other

19 statutory or common law or public policy, or the nature

20 of the conduct giving rise to damages or liability, in a claim

21 for personal injury, death, or damage to property arising

22 from or in connection with the provision of rail passenger

23 transportation, or from or in connection with any rail pas24 senger transportation operations over or rail passenger

25 transportation use of right-of-way or facilities owned,
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1 leased, or maintained by any high-speed railroad authority

2 or operator, any commuter authority or operator, any rail

3 carrier, or any State—

4 ‘‘(A) punitive damages shall not exceed the great5 er of—

6 ‘‘(i) $250,000; or

7 ‘‘(ii) three times the amount of economic

8 loss; and

9 ‘‘(B) noneconomic damages awarded to any

10 claimant for each accident or incident shall not ex11 ceed the claimant’s economic loss, if any, by more

12 than $250,000.

13 ‘‘(2) If, in any case wherein death was caused, the law

14 of the place where the act or omission complained of oc15 curred provides, or has been construed to provide, for dam16 ages only punitive in nature, the claimant may recover in

17 a claim limited by this subsection for economic and non18 economic damages and punitive damages, subject to para19 graph (1)(A) and (B).

20 ‘‘(3) For purposes of this subsection—

21 ‘‘(A) the term ‘actual damages’ means damages

22 awarded to pay for economic loss;

23 ‘‘(B) the term ‘claim’ means a claim made, di24 rectly or indirectly—
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1 ‘‘(i) against Amtrak, any high-speed rail2 road authority or operator, any commuter au3 thority or operator, any rail carrier, or any

4 State; or

5 ‘‘(ii) against an officer, employee, affiliate

6 engaged in railroad operations, or agent, of Am7 trak, any high-speed railroad authority or opera8 tor, any commuter authority or operator, any

9 rail carrier, or any State;

10 ‘‘(C) the term ‘economic loss’ means any pecu11 niary loss resulting from harm, including the loss of

12 earnings, medical expense loss, replacement services

13 loss, loss due to death, burial costs, loss of business or

14 employment opportunities, and any other form of pe15 cuniary loss allowed under applicable State law or

16 under paragraph (2) of this subsection;

17 ‘‘(D) the term ‘noneconomic damages’ means

18 damages other than punitive damages or actual dam19 ages; and

20 ‘‘(E) the term ‘punitive damages’ means dam21 ages awarded against any person or entity to punish

22 or deter such person or entity, or others, from engag23 ing in similar behavior in the future.

24 ‘‘(b) INDEMNIFICATION OBLIGATIONS.—Obligations of

25 any party, however arising, including obligations arising
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1 under leases or contracts or pursuant to orders of an ad2 ministrative agency, to indemnify against damages or li3 ability for personal injury, death, or damage to property

4 described in subsection (a), incurred after the date of the

5 enactment of the Amtrak Reform and Privatization Act of

6 1995, shall be enforceable, notwithstanding any other statu7 tory or common law or public policy, or the nature of the

8 conduct giving rise to the damages or liability.

9 ‘‘(c) EFFECT ON OTHER LAWS.—This section shall not

10 affect the damages that may be recovered under the Act of

11 April 27, 1908 (45 U.S.C. 51 et seq.; popularly known as

12 the ‘Federal Employers’ Liability Act’) or under any work13 ers compensation act.

14 ‘‘(d) DEFINITION.—For purposes of this section, the

15 term ‘rail carrier’ includes a person providing excursion,

16 scenic, or museum train service, and an owner or operator

17 of a privately owned rail passenger car.’’.

18 (b) CONFORMING AMENDMENT.—The table of sections

19 of chapter 281 of title 49, United States Code, is amended

20 by adding at the end the following new item:

‘‘28103. Limitations on rail passenger transportation liability.’’.

21 TITLE V—FINANCIAL REFORMS

22 SEC. 501. FINANCIAL POWERS.

23 (a) CAPITALIZATION.—(1) Section 24304 of title 49,

24 United States Code, is amended to read as follows:
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1 ‘‘§ 24304. Employee stock ownership plans

2 ‘‘In issuing stock pursuant to applicable corporate

3 law, Amtrak is encouraged to include employee stock owner4 ship plans.’’.

5 (2) The item relating to section 24304 of title 49, Unit6 ed States Code, in the table of sections of chapter 243 of

7 such title is amended to read as follows:

‘‘24304. Employee stock ownership plans.’’.

8 (b) REDEMPTION OF COMMON STOCK.—(1) Amtrak

9 shall, within 2 months after the date of the enactment of

10 this Act, redeem all common stock previously issued, for the

11 fair market value of such stock.

12 (2) Section 28103 of title 49, United States Code, shall

13 not apply to any rail carrier holding common stock of Am14 trak after the expiration of 2 months after the date of the

15 enactment of this Act.

16 (3) Amtrak shall redeem any such common stock held

17 after the expiration of the 2-month period described in

18 paragraph (1), using procedures set forth in section

19 24311(a) and (b).

20 (c) ELIMINATION OF LIQUIDATION PREFERENCE AND

21 VOTING RIGHTS OF PREFERRED STOCK.—(1)(A) Preferred

22 stock of Amtrak held by the Secretary of Transportation

23 shall confer no liquidation preference.

24 (B) Subparagraph (A) shall take effect 90 days after

25 the date of the enactment of this Act.
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1 (2)(A) Preferred stock of Amtrak held by the Secretary

2 of Transportation shall confer no voting rights.

3 (B) Subparagraph (A) shall take effect 60 days after

4 the date of the enactment of this Act.

5 (d) NOTE AND MORTGAGE.—(1) Section 24907 of title

6 49, United States Code, and the item relating thereto in

7 the table of sections of chapter 249 of such title, are repealed.

8 (2) The United States hereby relinquishes all rights

9 held in connection with any note obtained or mortgage

10 made under such section 24907, or in connection with the

11 note, security agreement, and terms and conditions related

12 thereto entered into with Amtrak dated October 5, 1983.

13 (3) No amount shall be includible in Amtrak’s gross

14 income for Federal tax purposes as a result of the applica15 tion of this subsection or subsection (c).

16 (e) STATUS AND APPLICABLE LAWS.—(1) Section

17 24301(a)(3) of title 49, United States Code, is amended by

18 inserting ‘‘, and shall not be subject to title 31, United

19 States Code’’ after ‘‘United States Government’’.

20 (2) Section 9101(2) of title 31, United States Code,

21 relating to Government corporations, is amended by strik22 ing subparagraph (A) and redesignating subparagraphs

23 (B) through (M) as subparagraphs (A) through (L), respec24 tively.
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1 SEC. 502. DISBURSEMENT OF FEDERAL FUNDS.

2 Section 24104(d) of title 49, United States Code, is

3 amended to read as follows:

4 ‘‘(d) ADMINISTRATION OF APPROPRIATIONS.—Federal

5 funds appropriated to Amtrak shall be provided to Amtrak

6 upon appropriation when requested by Amtrak, and shall

7 not be includible in Amtrak’s gross income for Federal tax

8 purposes.’’.

9 SEC. 503. BOARD OF DIRECTORS.

10 (a) AMENDMENT.—Section 24302 of title 49, United

11 States Code, is amended to read as follows:

12 ‘‘§ 24302. Board of Directors

13 ‘‘(a) EMERGENCY REFORM BOARD.—

14 ‘‘(1) ESTABLISHMENT AND DUTIES.—The Emer15 gency Reform Board described in paragraph (2) shall

16 assume the responsibilities of the Board of Directors

17 of Amtrak 60 days after the date of the enactment of

18 the Amtrak Reform and Privatization Act of 1995, or

19 as soon thereafter as such Board is sufficiently con20 stituted to function as a board of directors under ap21 plicable corporate law. Such Board shall adopt new

22 bylaws, including procedures for the selection of mem23 bers of the Board of Directors under subsection (c)

24 which provide for employee representation.

25 ‘‘(2) MEMBERSHIP.—(A) The Emergency Reform

26 Board shall consist of 7 members appointed by the
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1 President, by and with the advice and consent of the

2 Senate.

3 ‘‘(B) In selecting individuals for nominations for

4 appointments to the Emergency Reform Board, the

5 President should consult with—

6 ‘‘(i) the Speaker of the House of Representa7 tives concerning the appointment of two mem8 bers;

9 ‘‘(ii) the minority leader of the House of

10 Representatives concerning the appointment of

11 one member;

12 ‘‘(iii) the majority leader of the Senate con13 cerning the appointment of two members; and

14 ‘‘(iv) the minority leader of the Senate con15 cerning the appointment of one member.

16 ‘‘(C) Appointments under subparagraph (A)

17 shall be made from among individuals who—

18 ‘‘(i) have technical qualification, profes19 sional standing, and demonstrated expertise in

20 the fields of intercity common carrier transpor21 tation and corporate management; and

22 ‘‘(ii) are not employees of Amtrak, employ23 ees of the United States, or representatives of rail

24 labor or rail management.
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1 ‘‘(b) DIRECTOR GENERAL.—If the Emergency Reform

2 Board described in subsection (a)(2) is not sufficiently con3 stituted to function as a board of directors under applicable

4 corporate law before the expiration of 60 days after the date

5 of the enactment of the Amtrak Reform and Privatization

6 Act of 1995, the special court established under section

7 209(b) of the Regional Rail Reorganization Act of 1973 (45

8 U.S.C. 719(b)) shall appoint a Director General, who shall

9 exercise all powers of the Board of Directors of Amtrak until

10 the Emergency Reform Board assumes such powers.

11 ‘‘(c) BOARD OF DIRECTORS.—Four years after the es12 tablishment of the Emergency Reform Board under sub13 section (a), a Board of Directors shall be selected pursuant

14 to bylaws adopted by the Emergency Reform Board, and

15 the Emergency Reform Board shall be dissolved.’’.

16 (b) EFFECT ON AUTHORIZATIONS.—If the Emergency

17 Reform Board has not assumed the responsibilities of the

18 Board of Directors of Amtrak before March 15, 1996, all

19 provisions authorizing appropriations under the amend20 ments made by section 701 of this Act for a fiscal year after

21 fiscal year 1996 shall cease to be effective.

22 SEC. 504. REPORTS AND AUDITS.

23 Section 24315 of title 49, United States Code, as

24 amended by section 208 of this Act, is further amended—

25 (1) by striking subsections (a) and (c);
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1 (2) by redesignating subsections (b), (d), (e), (f),

2 (g), and (h) as subsections (a), (b), (c), (d), (e), and

3 (f), respectively; and

4 (3) in subsection (d), as so redesignated by para5 graph (2) of this section, by striking ‘‘(d) or (e)’’ and

6 inserting in lieu thereof ‘‘(b) or (c)’’.

7 SEC. 505. OFFICERS’ PAY.

8 Section 24303(b) of title 49, United States Code, is

9 amended by inserting ‘‘The preceding sentence shall cease

10 to be effective on the expiration of a fiscal year during

11 which no Federal operating assistance is provided to Am12 trak.’’ after ‘‘with comparable responsibility.’’.

13 SEC. 506. EXEMPTION FROM TAXES.

14 Section 24301(l)(1) of title 49, United States Code, is

15 amended—

16 (1) by inserting ‘‘, and any passenger or other

17 customer of Amtrak or such subsidiary,’’ after ‘‘sub18 sidiary of Amtrak’’;

19 (2) by striking ‘‘or fee imposed’’ and all that fol20 lows through ‘‘levied on it’’ and inserting in lieu

21 thereof ‘‘, fee, head charge, or other charge, imposed

22 or levied by a State, political subdivision, or local

23 taxing authority, directly or indirectly on Amtrak or

24 on persons traveling in intercity rail passenger trans25 portation or on mail or express transportation pro-
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1 vided by Amtrak or a rail carrier subsidiary of Am2 trak, or on the carriage of such persons, mail, or ex3 press, or on the sale of any such transportation, or on

4 the gross receipts derived therefrom’’; and

5 (3) by amending the last sentence thereof to read

6 as follows: ‘‘In the case of a tax or fee that Amtrak

7 was required to pay as of September 10, 1982, Am8 trak is not exempt from such tax or fee if it was as9 sessed before April 1, 1995.’’.

10 TITLE VI—MISCELLANEOUS

11 SEC. 601. TEMPORARY RAIL ADVISORY COUNCIL.

12 (a) APPOINTMENT.—Within 30 days after the date of

13 the enactment of this Act, a Temporary Rail Advisory

14 Council (in this section referred to as the ‘‘Council’’) shall

15 be appointed under this section.

16 (b) DUTIES.—The Council shall—

17 (1) evaluate Amtrak’s performance;

18 (2) prepare an analysis and critique of Amtrak’s

19 business plan;

20 (3) suggest strategies for further cost contain21 ment and productivity improvements, including

22 strategies with the potential for further reduction in

23 Federal operating subsidies and the eventual partial

24 or complete privatization of Amtrak’s operations; and
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1 (4) recommend appropriate methods for adoption

2 of uniform cost and accounting procedures throughout

3 the Amtrak system, based on generally accepted ac4 counting principles.

5 (c) MEMBERSHIP.—(1) The Council shall consist of 7

6 members appointed as follows:

7 (A) Two individuals to be appointed by the

8 Speaker of the House of Representatives.

9 (B) One individual to be appointed by the mi10 nority leader of the House of Representatives.

11 (C) Two individuals to be appointed by the ma12 jority leader of the Senate.

13 (D) One individual to be appointed by the mi14 nority leader of the Senate.

15 (E) One individual to be appointed by the Presi16 dent.

17 (2) Appointments under paragraph (1) shall be made

18 from among individuals who—

19 (A) have technical qualification, professional

20 standing, and demonstrated expertise in the fields of

21 transportation and corporate management; and

22 (B) are not employees of Amtrak, employees of

23 the United States, or representatives of rail labor or

24 rail management.
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1 (3) Within 40 days after the date of the enactment of

2 this Act, a majority of the members of the Council shall

3 elect a chairman from among such members.

4 (d) TRAVEL EXPENSES.—Each member of the Council

5 shall serve without pay, but shall receive travel expenses,

6 including per diem in lieu of subsistence, in accordance

7 with sections 5702 and 5703 of title 5, United States Code.

8 (e) ADMINISTRATIVE SUPPORT.—The Secretary of

9 Transportation shall provide to the Council such adminis10 trative support as the Council requires to carry out this

11 section.

12 (f) ACCESS TO INFORMATION.—Amtrak shall make

13 available to the Council all information the Council re14 quires to carry out this section. The Council shall establish

15 appropriate procedures to ensure against the public disclo16 sure of any information obtained under this subsection

17 which is a trade secret or commercial or financial informa18 tion that is privileged or confidential.

19 (g) REPORTS.—(1) Within 120 days after the date of

20 the enactment of this Act, the Council shall transmit to the

21 Amtrak board of directors and the Congress an interim re22 port on its findings and recommendations.

23 (2) Within 270 days after the date of the enactment

24 of this Act, the Council shall transmit to the Amtrak board
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1 of directors and the Congress a final report on its findings

2 and recommendations.

3 (h) STATUS.—The Council shall not be subject to the

4 Federal Advisory Committee Act (5 U.S.C. App.) or section

5 552 of title 5, United States Code (commonly referred to

6 as the Freedom of Information Act).

7 SEC. 602. PRINCIPAL OFFICE AND PLACE OF BUSINESS.

8 Section 24301(b) of title 49, United States Code, is

9 amended—

10 (1) by striking the first sentence;

11 (2) by striking ‘‘of the District of Columbia’’ and

12 inserting in lieu thereof ‘‘of the State in which its

13 principal office and place of business is located’’; and

14 (3) by inserting ‘‘For purposes of this subsection,

15 the term ‘State’ includes the District of Columbia.

16 Notwithstanding section 3 of the District of Columbia

17 Business Corporation Act, Amtrak, if its principal of18 fice and place of business is located in the District of

19 Columbia, shall be considered organized under the

20 provisions of such Act.’’ after ‘‘in a civil action.’’.

21 SEC. 603. STATUS AND APPLICABLE LAWS.

22 Section 24301 of title 49, United States Code, is

23 amended—

24 (1) in subsection (a)(1), by striking ‘‘rail carrier

25 under section 10102’’ and inserting in lieu thereof
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1 ‘‘railroad carrier under section 20102(2) and chapters

2 261 and 281’’; and

3 (2) by amending subsection (c) to read as fol4 lows:

5 ‘‘(c) APPLICATION OF SUBTITLE IV.—Subtitle IV of

6 this title shall not apply to Amtrak, except for sections

7 11303, 11342(a), 11504(a) and (d), and 11707. Notwith8 standing the preceding sentence, Amtrak shall continue to

9 be considered an employer under the Railroad Retirement

10 Act of 1974, the Railroad Unemployment Insurance Act,

11 and the Railroad Retirement Tax Act.’’.

12 SEC. 604. WASTE DISPOSAL.

13 Section 24301(m)(1)(A) of title 49, United States

14 Code, is amended by striking ‘‘1996’’ and inserting in lieu

15 thereof ‘‘2001’’.

16 SEC. 605. ASSISTANCE FOR UPGRADING FACILITIES.

17 Section 24310 of title 49, United States Code, and the

18 item relating thereto in the table of sections of chapter 243

19 of such title, are repealed.

20 SEC. 606. RAIL SAFETY SYSTEM PROGRAM.

21 Section 24313 of title 49, United States Code, and the

22 item relating thereto in the table of sections of chapter 243

23 of such title, are repealed.
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1 SEC. 607. DEMONSTRATION OF NEW TECHNOLOGY.

2 Section 24314 of title 49, United States Code, and the

3 item relating thereto in the table of sections of chapter 243

4 of such title, are repealed.

5 SEC. 608. PROGRAM MASTER PLAN FOR BOSTON-NEW YORK

6 MAIN LINE.

7 (a) REPEAL.—Section 24903 of title 49, United States

8 Code, and the item relating thereto in the table of sections

9 of chapter 249 of such title, are repealed.

10 (b) CONFORMING AMENDMENT.—Section

11 24902(a)(1)(A) of title 49, United States Code, is amended

12 by striking ‘‘and 40 minutes’’.

13 SEC. 609. BOSTON-NEW HAVEN ELECTRIFICATION PROJECT.

14 Section 24902(f) of title 49, United States Code, is

15 amended—

16 (1) by inserting ‘‘(1)’’ before ‘‘Improvements

17 under’’; and

18 (2) by adding at the end the following new para19 graph:

20 ‘‘(2) Amtrak shall design and construct the electrifica21 tion system between Boston, Massachusetts, and New

22 Haven, Connecticut, to accommodate the installation of a

23 third mainline track between Davisville and Central Falls,

24 Rhode Island, to be used for double-stack freight service to

25 and from the Port of Davisville. Amtrak shall also make

26 clearance improvements on the existing main line tracks
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1 to permit double stack service on this line, if funds to defray

2 the costs of clearance improvements beyond Amtrak’s own

3 requirements for electrified passenger service are provided

4 by public or private entities other than Amtrak. Wherever

5 practicable, Amtrak shall use portal structures and realign

6 existing tracks on undergrade and overgrade bridges to

7 minimize the width of the right-of-way required to add the

8 third track. Amtrak shall take such other steps as may be

9 required to coordinate and facilitate design and construc10 tion work. The Secretary of Transportation may provide

11 appropriate support to Amtrak for carrying out this para12 graph.’’.

13 SEC. 610. AMERICANS WITH DISABILITIES ACT OF 1990.

14 (a) APPLICATION TO AMTRAK.—Amtrak shall not be

15 subject to any requirement under section 242(a)(1) and (3)

16 and (e)(2) of the Americans With Disabilities Act of 1990

17 (42 U.S.C. 12162(a)(1) and (3) and (e)(2)) until January

18 1, 1998.

19 (b) CONFORMING AMENDMENT.—Section 24307 of title

20 49, United States Code, is amended—

21 (1) by striking subsection (b); and

22 (2) by redesignating subsection (c) as subsection

23 (b).
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1 SEC. 611. DEFINITIONS.

2 Section 24102 of title 49, United States Code, is

3 amended—

4 (1) by striking paragraphs (2), (3), and (11);

5 (2) by redesignating paragraphs (4) through (8)

6 as paragraphs (2) through (6), respectively;

7 (3) by inserting after paragraph (6), as so redes8 ignated by paragraph (2) of this section, the following

9 new paragraph:

10 ‘‘(7) ‘rail passenger transportation’ means the

11 interstate, intrastate, or international transportation

12 of passengers by rail;’’;

13 (4) in paragraph (6), as so redesignated by

14 paragraph (2) of this section, by inserting ‘‘, includ15 ing a unit of State or local government,’’ after

16 ‘‘means a person’’; and

17 (5) by redesignating paragraphs (9) and (10) as

18 paragraphs (8) and (9), respectively.

19 SEC. 612. NORTHEAST CORRIDOR COST DISPUTE.

20 Section 1163 of the Northeast Rail Service Act of 1981

21 (45 U.S.C. 1111) is repealed.

22 SEC. 613. INSPECTOR GENERAL ACT OF 1978 AMENDMENT.

23 (a) AMENDMENT.—Section 8G(a)(2) of the Inspector

24 General Act of 1978 (5 U.S.C. App.) is amended by striking

25 ‘‘Amtrak,’’.
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1 (b) AMTRAK NOT FEDERAL ENTITY.—Amtrak shall

2 not be considered a Federal entity for purposes of the In3 spector General Act of 1978.

4 SEC. 614. CONSOLIDATED RAIL CORPORATION.

5 Section 4023 of the Conrail Privatization Act (45

6 U.S.C. 1323), and the item relating thereto in the table of

7 contents of such Act, are repealed.

8 SEC. 615. INTERSTATE RAIL COMPACTS.

9 (a) CONSENT TO COMPACTS.—Congress grants consent

10 to States with an interest in a specific form, route, or cor11 ridor of intercity passenger rail service (including high

12 speed rail service) to enter into interstate compacts to pro13 mote the provision of the service, including—

14 (1) retaining an existing service or commencing

15 a new service;

16 (2) assembling rights-of-way; and

17 (3) performing capital improvements, includ18 ing—

19 (A) the construction and rehabilitation of

20 maintenance facilities and intermodal passenger

21 facilities;

22 (B) the purchase of locomotives; and

23 (C) operational improvements, including

24 communications, signals, and other systems.
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1 (b) FINANCING.—An interstate compact established by

2 States under subsection (a) may provide that, in order to

3 carry out the compact, the States may—

4 (1) accept contributions from a unit of State or

5 local government or a person;

6 (2) use any Federal or State funds made avail7 able for intercity passenger rail service (except funds

8 made available for the National Railroad Passenger

9 Corporation);

10 (3) on such terms and conditions as the States

11 consider advisable—

12 (A) borrow money on a short-term basis

13 and issue notes for the borrowing; and

14 (B) issue bonds; and

15 (4) obtain financing by other means permitted

16 under Federal or State law.

17 SEC. 616. CONFORMING AMENDMENT.

18 Section 10362(b) of title 49, United States Code, is

19 amended by striking paragraph (5) and redesignating

20 paragraphs (6) through (8) as paragraphs (5) through (7),

21 respectively.
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1 TITLE VII—AUTHORIZATION OF

2 APPROPRIATIONS

3 SEC. 701. AUTHORIZATION OF APPROPRIATIONS.

4 (a) IN GENERAL.—Section 24104(a) of title 49, United

5 States Code, is amended to read as follows:

6 ‘‘(a) IN GENERAL.—There are authorized to be appro7 priated to the Secretary of Transportation—

8 ‘‘(1) $772,000,000 for fiscal year 1995;

9 ‘‘(2) $712,000,000 for fiscal year 1996;

10 ‘‘(3) $712,000,000 for fiscal year 1997;

11 ‘‘(4) $712,000,000 for fiscal year 1998; and

12 ‘‘(5) $403,000,000 for fiscal year 1999,

13 for the benefit of Amtrak for capital expenditures under

14 chapters 243 and 247 of this title, operating expenses, and

15 payments described in subsection (c)(1)(A) through (C).’’.

16 (b) ADDITIONAL AUTHORIZATIONS.—Section 24104(b)

17 of title 49, United States Code, is amended to read as fol18 lows:

19 ‘‘(b) ADDITIONAL AUTHORIZATIONS.—(1) In addition

20 to amounts appropriated under subsection (a), there are au21 thorized to be appropriated to the Secretary of Transpor22 tation—

23 ‘‘(A) $200,000,000 for fiscal year 1995;

24 ‘‘(B) $200,000,000 for fiscal year 1996;

25 ‘‘(C) $200,000,000 for fiscal year 1997;
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1 ‘‘(D) $200,000,000 for fiscal year 1998; and

2 ‘‘(E) $200,000,000 for fiscal year 1999,

3 for the benefit of Amtrak to make capital expenditures

4 under chapter 249 of this title.

5 ‘‘(2) In addition to amounts appropriated under sub6 section (a), there are authorized to be appropriated to the

7 Secretary of Transportation—

8 ‘‘(A) $21,500,000 for fiscal year 1995;

9 ‘‘(B) $10,000,000 for fiscal year 1996;

10 ‘‘(C) $10,000,000 for fiscal year 1997;

11 ‘‘(D) $10,000,000 for fiscal year 1998; and

12 ‘‘(E) $10,000,000 for fiscal year 1999,

13 for the benefit of Amtrak to be used for engineering, design,

14 and construction activities to enable the James A. Farley

15 Post Office in New York, New York, to be used as a train

16 station and commercial center and for necessary improve17 ments and redevelopment of the existing Pennsylvania Sta18 tion and associated service building in New York, New

19 York.’’.

20 (c) CONFORMING AMENDMENTS.—Section 24909 of

21 title 49, United States Code, and the item relating thereto

22 in the table of sections of chapter 249 of such title, are re23 pealed.
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1 (d) GUARANTEE OF OBLIGATIONS.—There are author2 ized to be appropriated to the Secretary of Transpor3 tation—

4 (1) $50,000,000 for fiscal year 1996;

5 (2) $50,000,000 for fiscal year 1997;

6 (3) $50,000,000 for fiscal year 1998; and

7 (4) $50,000,000 for fiscal year 1999,

8 for guaranteeing obligations of Amtrak under section 511

9 of the Railroad Revitalization and Regulatory Reform Act

10 of 1976 (45 U.S.C. 831).

11 (e) CONDITIONS FOR GUARANTEE OF OBLIGATIONS.—

12 Section 511(i) of the Railroad Revitalization and Regu13 latory Reform Act of 1976 (45 U.S.C. 831(i)) is amended

14 by adding at the end the following new paragraph:

15 ‘‘(4) The Secretary shall not require, as a condition

16 for guarantee of an obligation under this section, that all

17 preexisting secured obligations of an obligor be subordinated

18 to the rights of the Secretary in the event of a default.’’.

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