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[Congressional Bills 104th Congress]
[From the U.S. Government Publishing Office]
[S. 693 Introduced in Senate (IS)]

104th CONGRESS
  1st Session
                                 S. 693

    To authorize appropriations for the National Railroad Passenger 
                  Corporation, and for other purposes.

_______________________________________________________________________

                   IN THE SENATE OF THE UNITED STATES

                April 6 (legislative day, April 5), 1995

Mr. Hollings (by request) introduced the following bill; which was read 
     twice and referred to the Committee on Commerce, Science, and 
                             Transportation

_______________________________________________________________________

                                 A BILL

 
    To authorize appropriations for the National Railroad Passenger 
                  Corporation, and for other purposes.

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

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Amtrak Restructuring Act of 1995''.

SEC. 2. FINDINGS.

    The Congress finds that--
            (1) intercity rail passenger service is an essential 
        component of the integrated national transportation system, and 
        the National Railroad Passenger Corporation (Amtrak) must 
        provide a quality transportation product in the form of clean, 
        comfortable, and on-time service to achieve its full potential;
            (2) Amtrak has been forced to significantly cut back its 
        basic system due to cash shortages, and further cutback may be 
        required unless Amtrak is able to reduce its costs and increase 
        its revenues;
            (3) to ensure Amtrak's long-term viability as a provider of 
        intercity rail passenger service, contributions from all of 
        Amtrak's stakeholders are needed to reduce Amtrak's costs and 
        increase its revenues;
            (4) Amtrak's management and employees are dedicated to 
        providing the high-quality service that Amtrak's customers 
        deserve but additional capital investment is needed to acquire 
        the modern equipment and efficient facilities that are 
        essential to satisfy the demand for superior intercity rail 
        passenger service, and additional management flexibility is 
        needed to allow Amtrak to adjust quickly to meet demand and 
        changing customer needs;
            (5) adequate levels of capital investment from the Federal 
        Government and State governments and innovative partnerships 
        with the private sector will enable Amtrak to provide the world 
        class service American rail passengers deserve and will help 
        reduce operating costs in the long term;
            (6) Amtrak's management should be held accountable to 
        ensure that all capital investment by the Federal Government 
        and State governments is used effectively to improve the 
        quality of service and the long-term financial health of 
        Amtrak;
            (7) the Secretary of Transportation, as an ex officio 
        member of Amtrak's Board of Directors, should use this position 
        to evaluate Amtrak's costs and revenue elements to ensure that 
        Amtrak provides excellent service to its customers and that 
        Amtrak uses its Federal investment wisely and efficiently;
            (8) States, local governments, and private parties can and 
        should play an increasingly significant role in supporting 
        cost-efficient intercity rail passenger transportation and in 
        addressing local transportation needs and air quality control;
            (9) mandatory payments reflecting funds paid into the 
        railroad retirement and railroad unemployment systems on 
        Amtrak's behalf in excess of the funds needed to pay retirement 
        and unemployment benefits for Amtrak's employees and their 
        beneficiaries shall not be considered a Federal operating 
        subsidy of Amtrak but rather a subsidy of the railroad 
        retirement and railroad unemployment systems as a whole; and
            (10) Federal financial assistance to cover operating losses 
        incurred by Amtrak should be reduced gradually between the 
years 1996 and 2001.

SEC. 3. FINDINGS, PURPOSE, AND GOALS.

    Section 24101 of title 49, United States Code, is amended--
            (1) by revising subsection (a)(6) to read as follows:
            ``(6) Amtrak should be available to operate commuter rail 
        passenger transportation under contract with commuter 
        authorities to the extent Amtrak is fully reimbursed for the 
        costs incurred in operating such services, including a 
        reasonable return on Amtrak's investment of time and 
        resources.'';
            (2) by replacing the period at the end of subsection (c) 
        with ``, and''; and
            (3) by adding at the end of subsection (c) the following:
            ``(12) manage capital investment in such a way as to 
        provide customers with world class service.''.

SEC. 4. DEFINITIONS.

    Section 24102 of title 49, United States Code, is amended--
            (1) by repealing paragraphs (2), (3) and (11); and
            (2) by renumbering the remaining paragraphs as appropriate.

SEC. 5. AUTHORIZATION OF APPROPRIATIONS.

    (a) Authorizations.--Section 24104 of title 49, United States Code, 
is amended to read as follows:
``Sec. 24104. Authorization of appropriations
    ``(a) Operating Expenses.--There are authorized to be appropriated 
to the Secretary to make grants to Amtrak $300,000,000 for fiscal year 
1996 and $200,000,000 for fiscal year 1997, to be used for operating 
expenses.
    ``(b) Capital Investment.--There are authorized to be appropriated 
to the Secretary to make grants to Amtrak $230,000,000 for fiscal year 
1996 and $230,000,000 for fiscal year 1997, to be used for capital 
investment expenditures.
    ``(c) Intercity Rail Passenger Station.--There are authorized to be 
appropriated to the Secretary to make grants to Amtrak $40,000,000 for 
fiscal year 1995 and $50,000,000 for fiscal year 1996, to be used for 
engineering, design and construction activities to enable the James A. 
Farley Post Office in New York, New York, to be used as a train station 
and commercial center and for necessary improvements and redevelopment 
of the existing Pennsylvania Station and associated service building in 
New York, New York. The Secretary is authorized to retain from these 
funds such amounts as the Secretary shall deem appropriate to undertake 
the environmental and historic preservation analyses associated with 
the project.
    ``(d) Transition Costs.--There are authorized to be appropriated to 
the Secretary to make grants to Amtrak $100,000,000 for fiscal year 
1996, to be used for transition costs associated with a long-term 
restructuring of the Corporation.
    ``(e) Northeast Corridor Improvement Program.--There are authorized 
to be appropriated to the Secretary to make grants to Amtrak 
$235,000,000 for fiscal year 1996 and $200,000,000 for fiscal year 
1997, to be used for capital expenditures under section 24909 of this 
title.
    ``(f) Mandatory Payments.--(1) Not more than $120,000,000 for the 
fiscal year ending September 30, 1996, and not more than $120,000,000 
for the fiscal year ending September 30, 1997, may be appropriate to 
the Secretary to pay--
            ``(A) tax liabilities under section 3221 of the Internal 
        Revenue Code of 1986 due in such fiscal years in excess of 
        amounts needed to fund benefits for individuals who retire from 
        Amtrak and for their beneficiaries; and
            ``(B) obligations of Amtrak under section 8(a) of the 
        Railroad Unemployment Insurance Act (45 U.S.C. 358(a)) due in 
        such fiscal years in excess of its obligations calculated on an 
        experience-rated basis.
    ``(2) Amounts appropriated under this subsection shall not be 
considered a United States Government subsidy of Amtrak but rather a 
subsidy of the railroad retirement system as a whole.
    ``(3) Notwithstanding the payment by the Secretary of certain of 
Amtrak's obligations under the Internal Revenue Code and the Railroad 
Unemployment Insurance Act under subsection (f)(1) above, Amtrak 
remains responsible for meeting its financial obligations under 
applicable law over and above the amounts paid by the Secretary to the 
Internal Revenue Service and Railroad Retirement Board on Amtrak's 
behalf.
    ``(g) Availability of Appropriations.--Amounts appropriated under 
this section remain available until expended.
    ``(h) Limitations on Use.--Amounts appropriated under this section 
may not be used to subsidize operating losses of commuter rail 
passenger or rail freight transportation.''.
    (b) Conforming Amendment.--Section 24304(d) of title 49, United 
States Code, is amended by deleting ``24104(d)'' and by inserting in 
lieu thereof ``24104''.

SEC. 6. EXPANDING THE SCOPE OF COLLECTIVE BARGAINING ON CONTRACTING 
              ACTIVITIES.

    Section 24312(b) of title 49, United States Code, is amended by 
adding at the end the following new paragraph:
            ``(3) This subsection does not bar Amtrak and a union 
        representing Amtrak employees from negotiating a collective 
        bargaining agreement that permits Amtrak great flexibility in 
        contracting out work than permitted under paragraph (1). 
        Paragraph (1) shall not apply to any bargaining unit covered by 
        a contract containing provisions that are inconsistent with 
        paragraph (1).''.

SEC. 7. REPORTS AND AUDITS.

    Section 24315 of title 49, United States Code, is amended--
            (1) in subsection (a)(1) by redesignating subparagraphs 
        (D), (E), (F), (G), and (H) as subparagraphs (E), (F), (G), (H) 
        and (I), and by inserting after paragraph (C) the following:
                    ``(D) the long-term profit or loss;'' and
            (2) in subsection (b) by redesignating paragraph (2) as 
        (3), and by inserting after paragraph (1) the following:
            ``(2) Amtrak shall include in the report required under 
        paragraph (1) projections of the anticipated benefits of the 
        projects proposed for funding under part C of subtitle V of 
        title 49, United States Code, and a report on the benefits 
        actually realized from all projects previously funded under 
        part C beginning with funds provided in fiscal year 1995. The 
        report shall include an identification of improvements in the 
        quality of service offered by Amtrak, facility improvements 
        that demonstrate a productivity gain, equipment improvements 
        that lower operating costs, environmental benefits (including 
        air quality and land use benefits), enhancements to local 
        transportation needs, enhancements to mobility of physically 
        and economically disadvantaged persons, any improvement of the 
        revenue-to-cost ratio, any reduced dependence on Federal 
        operating support, and reductions in the need for alternative 
        transportation investments. To the extent practicable, the 
        benefits addressed in each report shall also be expressed as 
        return on invested capital.''.

SEC. 8. MISCELLANEOUS REPEALS AND TECHNICAL AMENDMENTS IN CHAPTER 243.

    (a) Technical Amendment.--Section 24302(a)(1)(D) of title 49, 
United States Code, is amended to read as follows:
                    ``(D) Two individuals selected by the President 
                from a list of five names submitted by commuter 
                authorities providing service over rail properties 
                owned by Amtrak.''.
    (b) Authority.--Section 24305(c) of title 49, United States Code, 
is amended--
            (1) by deleting the word ``and'' at the end of paragraph 
        (5);
            (2) by adding a new paragraph (6) as follows:
            ``(6) consult and cooperate, to the extent feasible, on 
        request of eligible applicants proposing a technology 
        demonstration authorized and financed under a law of the United 
        States, with those applicants; and''; and
            (3) by renumbering existing paragraph (6) as paragraph (7).
    (c) Labor Standards.--Section 24312(a) of title 49, United States 
Code, is amended by deleting ``, 24701(a) or 24704(b)(2)'' and 
inserting in lieu thereof ``or 24701(a)''.
    (d) Repeals.--Sections 24310 and 24314 of title 49, United States 
Code, are repealed.
    (e) Conforming.--The remaining sections of Chapter 243 of title 49, 
United States Code, are renumbered appropriately.

SEC. 9. ELIMINATION OF AMTRAK COMMUTER SERVICE CORPORATION.

    Chapter 245 of title 49, United States Code, and the corresponding 
item in the analysis of Subtitle V is repealed except that section 
24501(g) is transferred to section 24301 as new subsection (o) at the 
end thereof.

SEC. 10. OPERATION OF INTERCITY RAIL PASSENGER SERVICE.

    Chapter 247 of title 49, United States Code, is amended--
            (1) by revising the heading of section 24701 to read as 
        follows:
``Sec. 24701. Operation of intercity rail passenger service'';
            (2) by amending section 24701(a) to read as follows:
    ``(a) By Amtrak.--Amtrak is authorized to provide cost-effective 
intercity rail passenger service on those routes throughout the United 
States where it can serve an important transportation function and it 
can, over the long term, cover the full operating costs associated with 
providing the service either through fares or contributions from state 
and local governments or other interested parties. Amtrak's decisions 
regarding the initiation, retention, modification or elimination of 
intercity rail passenger service shall be made on the basis of 
available financial resources and any agreement Amtrak enters into with 
a state or local government or private entity to support rail passenger 
service should be made with the understanding that Federal funding for 
operating expenses will decrease over the fiscal years 1996 through 
2001.''; and
            (3) by amending section 24702 to read as follows:
``Sec. 24702. Route and Service Changes''
    ``Amtrak shall adjust its route structure as it deems appropriate 
applying sound business and transportation principles. Prior to 
implementing a route discontinuance that would remove all service on a 
route or cut service by more than half, Amtrak shall provide affected 
states, cities and other interested parties with advance notice of at 
least ninety days in order to enable any of the affected parties to 
provide financial support for the route that would allow for continued 
operation. In an emergency, Amtrak may implement a route discontinuance 
with less than ninety days notice but shall in any event provide as 
much notice as possible. An emergency shall exist when the Secretary of 
Transportation determines, on the basis of information and data 
supplied by Amtrak, that funds available to Amtrak for the fiscal year 
are not sufficient to meet estimated operating costs and significant 
harm to the Corporation would result if immediate action is not taken 
to reduce costs through route reductions and service eliminations.''.

SEC. 11. EXPANDING THE SCOPE OF COLLECTIVE BARGAINING ON LABOR 
              PROTECTIVE ARRANGEMENTS.

    Section 24706 of title 49, United States Code, is amended--
            (1) by revising the heading of section 24706 to read as 
        follows:
``Sec. 24706. Employee Protective Arrangements'';
            (2) by repealing subsections (a) and (b);
            (3) by deleting ``(c) Employee Protective Arrangements.--'' 
        in subsection (c); and
            (4) by deleting paragraph (6) and by inserting in lieu 
        thereof the following new paragraphs (6) and (7):
            ``(6) For purposes of this section, employees of Amtrak 
        refers to employees occupying positions subject to collective 
        bargaining under the Railway Labor Act, 45 U.S.C. 151 et seq.
            ``(7) Notwithstanding the other provisions of this section 
        and the implementing protective arrangement established for 
        Amtrak employees (Appendix C-2 to Basic Agreement between 
        Amtrak and the freight railroads), Amtrak and unions 
        representing Amtrak employees may negotiate new employee 
        protective arrangements for Amtrak employees that differ from 
        the requirements of other portions of this section and from the 
        terms of Appendix C-2. If a new protective arrangement is 
        negotiated, provisions of this section and the terms of 
        Appendix C-2 that are inconsistent with the new protective 
        arrangement shall cease to apply to the bargaining unit covered 
        by the new protective arrangement.''.

SEC. 12. MISCELLANEOUS REPEALS IN CHAPTER 247.

    (a) Repeals.--Sections 24703, 24704, 24705, 24707 and 24708 of 
title 49, United States Code, are repealed.
    (b) Conforming.--The remaining sections of chapter 47 of title 49, 
United States Code, are renumbered appropriately.

SEC. 13. BOSTON-NEW HAVEN ELECTRIFICATION PROJECT.

    (a) Electrification System.--Section 24902(f) of title 49, United 
States Code, is amended--
            (1) by inserting ``(1)'' before ``Improvements under''; and
            (2) by adding at the end the following new paragraph:
    ``(2) Amtrak shall design and construct an electrification system 
between Boston, Massachusetts, and New Haven, Connecticut. The 
electrification system shall be designed and constructed to accommodate 
the installation of a third mainline track between Davisville and 
Central Falls, Rhode Island, to be used for double-stack freight 
service to and from the Port of Davisville. Wherever practicable, 
Amtrak shall use portal structures and realign existing tracks on 
undergrade and overgrade bridges to minimize the width of the right-of-
way required to add the third track. Amtrak shall take such other steps 
as may be required to coordinate and facilitate design and construction 
work.''.
    (b) Amtrak Report.--Amtrak shall, not later than six months after 
the date of enactment of this Act, transmit to the Congress a report 
detailing its electrification design between Davisville and Central 
Falls, Rhode Island, and describing efforts to comply with section 
24902(f)(2) of title 49, United States Code.

SEC. 14. COMPENSATION FOR TRANSPORTATION OVER THE NORTHEAST CORRIDOR.

    (a) Compensation for Transportation Over Certain Rights of Way and 
Facilities.--Section 24904(c)(2) of title 49, United States Code, is 
amended--
            (1) by adding after the words ``rail freight 
        transportation'' in the first sentence ``or between intercity 
        rail passenger and commuter rail passenger transportation'';
            (2) by adding after the words ``rail freight carrier'' in 
        the second sentence ``or a commuter authority''; and
            (3) by adding at the end of the second sentence ``or 
        commuter authority.''
    (b) Northeast Corridor Cost Dispute.--Section 1163 of the Northeast 
Rail Service Act of 1981 (45 U.S.C. 1111) is repealed.

SEC. 15. NORTHEAST CORRIDOR IMPROVEMENT PROJECT.

    Section 24909 of title 49, United States Code, is amended--
            (1) by revising subsection (a) to read as follows:
    ``(a) Capital Improvements.--Amtrak shall make capital improvements 
for the Northeast Corridor improvement project under this title as 
necessary to operate reliable, high-speed rail passenger service, to 
enhance capacity for intercity and commuter passenger service, and as 
otherwise may be necessary to ensure continued reliable high-speed 
service. Amtrak shall also acquire train equipment to be used on the 
Northeast Corridor, mitigate environmental impacts related to the 
Northeast Corridor improvement project, and provide adequate parking 
at, and improve Northeast Corridor rail stations.'';
            (2) by revising subsection (b) to read as follows:
    ``(b) Rhode Island Third Track.--(1) There are authorized to be 
appropriated to the Secretary to make grants to the State of Rhode 
Island, $10,000,000 for the fiscal year ending September 30, 1996, and 
$10,000,000 for the fiscal year ending September 30, 1997, to be used 
to design and construct a third track on the Northeast Corridor between 
Davisville and Central Falls, Rhode Island.
    ``(2) The third track shall be designed and constructed with 
sufficient clearance to accommodate double stack freight cars.
    ``(3) The funds provided by the Secretary to the State of Rhode 
Island to design and construct the third track shall be matched by the 
State of Rhode Island or its designee on a dollar for dollar basis. 
Notwithstanding other provisions of law, the State of Rhode Island is 
authorized to use other Federal transportation funds available to the 
State as the required matching funds.'';
            (3) by revising subsection (c) to read as follows:
    ``(c) Availability of Amounts.--Amounts appropriated under this 
section remain available until expended.''; and
            (4) by striking subsections (d), (e), (f), and (g).

SEC. 16. EFFECTIVE DATE.

    Except as otherwise provided, this Act is effective on the date of 
enactment.
                                 <all>
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