I
105TH CONGRESS
1ST SESSION
H. R. 2247
To reform the statutes relating to Amtrak, to authorize appropriations for
Amtrak, and for other purposes.
IN THE HOUSE OF REPRESENTATIVES
JULY 24, 1997
Ms. MOLINARI (for herself and Mr. SHUSTER) introduced the following bill;
which was referred to the Committee on Transportation and Infrastructure
A BILL
To reform the statutes relating to Amtrak, to authorize
appropriations for Amtrak, and for other purposes.
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the ‘‘Amtrak Reform and
Privatization Act of 1997’’.
TITLE I—PROCUREMENT
REFORMS
SEC. 101. CONTRACTING OUT.
(a) AMENDMENT.—Section 24312(b) of title 49,
United States Code, is amended to read as follows:
‘‘(b) CONTRACTING OUT.—(1) When Amtrak con-
tracts out work normally performed by an employee in a
bargaining unit covered by a contract between a labor or-
ganization and Amtrak, Amtrak is encouraged to use
other rail carriers for performing such work.
‘‘(2)(A) Amtrak may not enter into a contract for the
operation of trains with any entity other than a State or
State authority.
‘‘(B) If Amtrak enters into a contract as described
in subparagraph (A)—
‘‘(i) such contract shall not relieve Amtrak of
any obligation in connection with the use of facilities
of another entity for the operation covered by such
contract; and
‘‘(ii) such operation shall be subject to any op-
erating or safety restrictions and conditions required
by the agreement providing for the use of such fa-
cilities.
‘‘(C) This paragraph shall not restrict Amtrak’s au-
thority to enter into contracts for access to or use of
tracks or facilities for the operation of trains.’’.
(b) EFFECTIVE DATE.—Subsection (a) shall take ef-
fect 254 days after the date of the enactment of this Act.
SEC. 102. CONTRACTING PRACTICES.
(a) BELOW-COST COMPETITION.—Section 24305(b)
of title 49, United States Code, is amended to read as
follows:
‘‘(b) BELOW-COST COMPETITION.—(1) Amtrak shall
not submit any bid for the performance of services under
a contract for an amount less than the cost to Amtrak
of performing such services, with respect to any activity
other than the provision of intercity rail passenger trans-
portation, commuter rail passenger transportation, or mail
or express transportation. For purposes of this subsection,
the cost to Amtrak of performing services shall be deter-
mined using generally accepted accounting principles for
contracting.
‘‘(2) Any aggrieved individual may commence a civil
action for violation of paragraph (1). The United States
district courts shall have jurisdiction, without regard to
the amount in controversy or the citizenship of the parties,
to enforce paragraph (1). The court, in issuing any final
order in any action brought pursuant to this paragraph,
may award bid preparation costs, anticipated profits, and
litigation costs, including reasonable attorney and expert
witness fees, to any prevailing or substantially prevailing
party. The court may, if a temporary restraining order
or preliminary injunction is sought, require the filing of
a bond or equivalent security in accordance with the Fed-
eral Rules of Civil Procedure.
‘‘(3) This subsection shall cease to be effective on the
expiration of a fiscal year during which no Federal operat-
ing assistance is provided to Amtrak.’’.
(b) THROUGH SERVICE
IN CONJUNCTION WITH
INTERCITY BUS OPERATIONS.—(1) Section 24305(a) of
title 49, United States Code, is amended by adding at the
end the following new paragraph:
‘‘(3)(A) Except as provided in subsection (d)(2), Am-
trak may enter into a contract with a motor carrier of
passengers for the intercity transportation of passengers
by motor carrier over regular routes only—
‘‘(i) if the motor carrier is not a public recipient
of governmental assistance, as such term is defined
in section 13902(b)(8)(A) of this title, other than a
recipient of funds under section 5311 of this title;
‘‘(ii) for passengers who have had prior move-
ment by rail or will have subsequent movement by
rail; and
‘‘(iii) if the buses, when used in the provision
of such transportation, are used exclusively for the
transportation of passengers described in clause (ii).
‘‘(B) Subparagraph (A) shall not apply to transpor-
tation funded predominantly by a State or local govern-
ment, or to ticket selling agreements.’’.
(2) Section 24305(d) of title 49, United States Code,
is amended by adding at the end the following new para-
graph:
‘‘(3) Congress encourages Amtrak and motor com-
mon carriers of passengers to use the authority conferred
in sections 11322 and 14302 of this title for the purpose
of providing improved service to the public and economy
of operation.’’.
SEC. 103. FREEDOM OF INFORMATION ACT.
Section 24301(e) of title 49, United States Code, is
amended by striking ‘‘Section 552 of title 5, this part,’’
and inserting in lieu thereof ‘‘This part’’.
SEC. 104. TRACK WORK.
(a) OUTREACH PROGRAM.—Amtrak shall, within one
year after the date of the enactment of this Act, establish
an outreach program through which it will work with track
work manufacturers in the United States to increase the
likelihood that such manufacturers will be able to meet
Amtrak’s specifications for track work. The program shall
include engineering assistance for the manufacturers and
dialogue between Amtrak and the manufacturers to iden-
tify how Amtrak’s specifications can be met by the capa-
bilities of the manufacturers.
(b) ANNUAL REPORT.—Amtrak shall report to the
Congress within 2 years after the date of the enactment
of this Act on progress made under subsection (a), includ-
ing a statement of the percentage of Amtrak’s track work
contracts that are awarded to manufacturers in the United
States.
TITLE II—OPERATIONAL
REFORMS
SEC. 201. BASIC SYSTEM.
(a) OPERATION OF BASIC SYSTEM.—Section 24701
of title 49, United States Code, and the item relating
thereto in the table of sections of chapter 247 of such title,
are repealed.
(b) 
IMPROVING
RAIL
PASSENGER
TRANSPOR-
TATION.—Section 24702 of title 49, United States Code,
and the item relating thereto in the table of sections of
chapter 247 of such title, are repealed.
(c) DISCONTINUANCE.—Section 24706 of title 49,
United States Code, is amended—
(1) in subsection (a)(1)—
(A) by striking ‘‘90 days’’ and inserting in
lieu thereof ‘‘180 days’’;
(B) by striking ‘‘a discontinuance under
section 24704 or 24707(a) or (b) of this title’’
and inserting in lieu thereof ‘‘discontinuing
service over a route’’; and
(C) by inserting ‘‘or assume’’ after ‘‘agree
to share’’;
(2) in subsection (a)(2), by striking ‘‘section
24704 or 24707(a) or (b) of this title’’ and inserting
in lieu thereof ‘‘paragraph (1)’’; and
(3) by striking subsection (b).
(d) COST
AND PERFORMANCE REVIEW.—Section
24707 of title 49, United States Code, and the item relat-
ing thereto in the table of sections of chapter 247 of such
title, are repealed.
(e) SPECIAL COMMUTER TRANSPORTATION.—Section
24708 of title 49, United States Code, and the item relat-
ing thereto in the table of sections of chapter 247 of such
title, are repealed.
(f) 
CONFORMING
AMENDMENT.—Section
24312(a)(1) of title 49, United States Code, is amended
by striking ‘‘, 24701(a),’’.
SEC. 202. MAIL, EXPRESS, AND AUTO-FERRY TRANSPOR-
TATION.
(a) REPEAL.—Section 24306 of title 49, United
States Code, and the item relating thereto in the table of
sections of chapter 243 of such title, are repealed.
(b) CONFORMING AMENDMENT.—Section 24301 of
title 49, United States Code, is amended by adding at the
end the following new subsection:
‘‘(o) NONAPPLICATION OF CERTAIN OTHER LAWS.—
State and local laws and regulations that impair the provi-
sion of mail, express, and auto-ferry transportation do not
apply to Amtrak or a rail carrier providing mail, express,
or auto-ferry transportation.’’.
SEC. 203. ROUTE AND SERVICE CRITERIA.
Section 24703 of title 49, United States Code, and
the item relating thereto in the table of sections of chapter
247 of such title, are repealed.
SEC. 204. ADDITIONAL QUALIFYING ROUTES.
Section 24705 of title 49, United States Code, and
the item relating thereto in the table of sections of chapter
247 of such title, are repealed.
SEC. 205. TRANSPORTATION REQUESTED BY STATES, AU-
THORITIES, AND OTHER PERSONS.
(a) REPEAL.—Section 24704 of title 49, United
States Code, and the item relating thereto in the table of
sections of chapter 247 of such title, are repealed.
(b) EXISTING AGREEMENTS.—Amtrak shall not,
after the date of the enactment of this Act, be required
to provide transportation services pursuant to an agree-
ment entered into before such date of enactment under
the section repealed by subsection (a) of this section.
(c) STATE, REGIONAL, AND LOCAL COOPERATION.—
Section 24101(c)(2) of title 49, United States Code, is
amended by inserting ‘‘, separately or in combination,’’
after ‘‘and the private sector’’.
(d) 
CONFORMING
AMENDMENT.—Section
24312(a)(1) of title 49, United States Code, is amended
by striking ‘‘or 24704(b)(2)’’.
SEC. 206. AMTRAK COMMUTER.
(a) REPEAL OF CHAPTER 245.—Chapter 245 of title
49, United States Code, and the item relating thereto in
the table of chapters of subtitle V of such title, are re-
pealed.
(b) 
CONFORMING
AMENDMENTS.—(1) 
Section
24301(f) of title 49, United States Code, is amended to
read as follows:
‘‘(f) TAX EXEMPTION FOR CERTAIN COMMUTER AU-
THORITIES.—A commuter authority that was eligible to
make a contract with Amtrak Commuter to provide com-
muter rail passenger transportation but which decided to
provide its own rail passenger transportation beginning
January 1, 1983, is exempt, effective October 1, 1981,
from paying a tax or fee to the same extent Amtrak is
exempt.’’.
(2) Subsection (a) of this section shall not affect any
trackage rights held by Amtrak or the Consolidated Rail
Corporation.
SEC. 207. COMMUTER COST SHARING ON THE NORTHEAST
CORRIDOR.
(a) DETERMINATION
OF COMPENSATION.—Section
24904 of title 49, United States Code, is amended—
(1) by striking subsection (b);
(2) by redesignating subsection (c) as sub-
section (b);
(3) in subsection (b), as so redesignated by
paragraph (2) of this subsection—
(A) by striking ‘‘TRANSPORTATION OVER
CERTAIN RIGHTS OF WAY AND FACILITIES’’ in
the subsection head and inserting in lieu thereof
‘‘FREIGHT TRANSPORTATION’’;
(B) by inserting ‘‘relating to rail freight
transportation’’ after ‘‘subsection (a)(6) of this
section’’ in paragraph (1); and
(C) by inserting ‘‘to an agreement de-
scribed in paragraph (1)’’ after ‘‘If the parties’’
in paragraph (2); and
(4) by inserting after subsection (b), as so re-
designated by paragraph (2) of this subsection, the
following new subsection:
‘‘(c) BINDING ARBITRATION FOR COMMUTER DIS-
PUTES.—(1) If the parties to an agreement described in
subsection (a)(6) relating to commuter rail passenger
transportation cannot agree to the terms of such agree-
ment, such parties shall submit the issues in dispute to
binding arbitration.
‘‘(2) The parties to a dispute described in paragraph
(1) may agree to use the Surface Transportation Board
to arbitrate such dispute, and if requested the Surface
Transportation Board shall perform such function.’’.
(b) PRIVATIZATION.—Section 24101(d) of title 49,
United States Code, is amended to read as follows:
‘‘(d) MINIMIZING
GOVERNMENT
SUBSIDIES.—To
carry out this part, Amtrak is encouraged to make agree-
ments with the private sector and undertake initiatives
that are consistent with good business judgment, that
produce income to minimize Government subsidies, and
that promote the potential privatization of Amtrak’s oper-
ations.’’.
SEC. 208. ACCESS TO RECORDS AND ACCOUNTS.
Section 24315 of title 49, United States Code, is
amended—
(1) in subsection (e), by inserting ‘‘financial or’’
after ‘‘Comptroller General may conduct’’; and
(2) by adding at the end the following new sub-
section:
‘‘(h) ACCESS TO RECORDS AND ACCOUNTS.—A State
shall have access to Amtrak’s records, accounts, and other
necessary documents used to determine the amount of any
payment to Amtrak required of the State.’’.
TITLE III—COLLECTIVE
BARGAINING REFORMS
SEC. 301. RAILWAY LABOR ACT PROCEDURES.
(a) NOTICES.—Notwithstanding any arrangement in
effect before the date of the enactment of this Act, notices
under section 6 of the Railway Labor Act (45 U.S.C. 156)
with respect to all issues relating to—
(1) employee protective arrangements and sev-
erance benefits, including all provisions of Appendix
C–2 to the National Railroad Passenger Corporation
Agreement, signed July 5, 1973; and
(2) contracting out by Amtrak of work normally
performed by an employee in a bargaining unit cov-
ered by a contract between Amtrak and a labor or-
ganization representing Amtrak employees,
applicable to employees of Amtrak shall be deemed served
and effective on the date which is 90 days after the date
ommendations to the parties proposing contract terms to
resolve the dispute.
(5) If the parties to a dispute described in subsection
(a) fail to reach agreement, no change shall be made by
either of the parties in the conditions out of which the
dispute arose for 30 days after recommendations are made
under paragraph (4).
(6) Section 10 of the Railway Labor Act (45 U.S.C.
160) shall not apply to a dispute described in subsection
(a).
SEC. 302. SERVICE DISCONTINUANCE.
(a) REPEAL.—(1) Section 24706(c) of title 49, Unit-
ed States Code, is repealed.
(2) Any provision of a contract, entered into before
the date of the enactment of this Act between Amtrak and
a labor organization representing Amtrak employees, re-
lating to—
(A) employee protective arrangements and sev-
erance benefits, including all provisions of Appendix
C–2 to the National Railroad Passenger Corporation
Agreement, signed July 5, 1973; or
(B) contracting out by Amtrak of work nor-
mally performed by an employee in a bargaining
unit covered by a contract between Amtrak and a
labor organization representing Amtrak employees,
applicable to employees of Amtrak is extinguished. This
paragraph shall not apply to provisions defining the scope
or classification of work performed by an Amtrak em-
ployee.
(3) Section 1172(c) of title 11, United States Code,
shall not apply to Amtrak and its employees.
(4) Paragraphs (1) and (2) of this subsection shall
take effect 254 days after the date of the enactment of
this Act.
(b) INTERCITY PASSENGER SERVICE EMPLOYEES.—
Section 1165(a) of the Northeast Rail Service Act of 1981
(45 U.S.C. 1113(a)) is amended—
(1) by inserting ‘‘(1)’’ before ‘‘After January 1,
1983’’;
(2) by striking ‘‘Amtrak, Amtrak Commuter,
and Conrail’’ and inserting in lieu thereof ‘‘Amtrak
and Conrail’’;
(3) by striking ‘‘Such agreement shall ensure’’
and all that follows through ‘‘submitted to binding
arbitration.’’; and
(4) by adding at the end the following new
paragraph:
‘‘(2) Notwithstanding any other provision of law,
agreement, or arrangement, with respect to employees in
any class or craft in train or engine service, Conrail shall
have the right to furlough one such employee for each em-
ployee in train or engine service who moves from Amtrak
to Conrail in excess of the cumulative number of such em-
ployees who move from Conrail to Amtrak. Conrail shall
not be obligated to fill any position governed by an agree-
ment concerning crew consist, attrition arrangements, re-
serve boards, or reserve engine service positions, where an
increase in positions is the result of the return of an Am-
trak employee pursuant to an agreement entered into
under paragraph (1). Conrail’s collective bargaining agree-
ments with organizations representing its train and engine
service employees shall be deemed to have been amended
to conform to this paragraph. Any dispute or controversy
with respect to the interpretation, application, or enforce-
ment of this paragraph which has not been resolved within
90 days after the date of the enactment of this paragraph
may be submitted by either party to an adjustment board
for a final and binding decision under section 3 of the
Railway Labor Act.’’.
TITLE IV—USE OF RAILROAD
FACILITIES
SEC. 401. LIABILITY LIMITATION.
(a) AMENDMENT.—Chapter 281 of title 49, United
States Code, is amended by adding at the end the follow-
ing new section:
‘‘§ 28103. Limitations on rail passenger transpor-
tation liability
‘‘(a) LIMITATIONS.—(1) Notwithstanding any other
statutory or common law or public policy, or the nature
of the conduct giving rise to damages or liability, in a
claim for personal injury, death, or damage to property
arising from or in connection with the provision of rail
passenger transportation, or from or in connection with
any rail passenger transportation operations over or rail
passenger transportation use of right-of-way or facilities
owned, leased, or maintained by any high-speed railroad
authority or operator, any commuter authority or opera-
tor, any rail carrier, or any State—
‘‘(A) punitive damages shall not exceed the
greater of—
‘‘(i) $250,000; or
‘‘(ii) three times the amount of economic
loss; and
‘‘(B) noneconomic damages awarded to any
claimant for each accident or incident shall not ex-
ceed the claimant’s economic loss, if any, by more
than $250,000.
‘‘(2) If, in any case wherein death was caused, the
law of the place where the act or omission complained of
occurred provides, or has been construed to provide, for
damages only punitive in nature, the claimant may recover
in a claim limited by this subsection for economic and non-
economic damages and punitive damages, subject to para-
graph (1)(A) and (B).
‘‘(3) For purposes of this subsection—
‘‘(A) the term ‘actual damages’ means damages
awarded to pay for economic loss;
‘‘(B) the term ‘claim’ means a claim made, di-
rectly or indirectly—
‘‘(i) against Amtrak, any high-speed rail-
road authority or operator, any commuter au-
thority or operator, any rail carrier, or any
State; or
‘‘(ii) against an officer, employee, affiliate
engaged in railroad operations, or agent, of
Amtrak, any high-speed railroad authority or
operator, any commuter authority or operator,
any rail carrier, or any State;
‘‘(C) the term ‘economic loss’ means any pecu-
niary loss resulting from harm, including the loss of
earnings, medical expense loss, replacement services
loss, loss due to death, burial costs, loss of business
or employment opportunities, and any other form of
pecuniary loss allowed under applicable State law or
under paragraph (2) of this subsection;
‘‘(D) the term ‘noneconomic damages’ means
damages other than punitive damages or actual
damages; and
‘‘(E) the term ‘punitive damages’ means dam-
ages awarded against any person or entity to punish
or deter such person or entity, or others, from en-
gaging in similar behavior in the future.
‘‘(b) INDEMNIFICATION OBLIGATIONS.—Obligations
of any party, however arising, including obligations arising
under leases or contracts or pursuant to orders of an ad-
ministrative agency, to indemnify against damages or li-
ability for personal injury, death, or damage to property
described in subsection (a), incurred after the date of the
enactment of the Amtrak Reform and Privatization Act
of 1997, shall be enforceable, notwithstanding any other
statutory or common law or public policy, or the nature
of the conduct giving rise to the damages or liability.
‘‘(c) EFFECT ON OTHER LAWS.—This section shall
not affect the damages that may be recovered under the
Act of April 27, 1908 (45 U.S.C. 51 et seq.; popularly
known as the ‘Federal Employers’ Liability Act’) or under
any workers compensation Act.
‘‘(d) DEFINITION.—For purposes of this section, the
term ‘rail carrier’ includes a person providing excursion,
scenic, or museum train service, and an owner or operator
of a privately owned rail passenger car.’’.
(b) CONFORMING AMENDMENT.—The table of sec-
tions of chapter 281 of title 49, United States Code, is
amended by adding at the end the following new item:
‘‘28103. Limitations on rail passenger transportation liability.’’.
TITLE V—FINANCIAL REFORMS
SEC. 501. FINANCIAL POWERS.
(a) CAPITALIZATION.—(1) Section 24304 of title 49,
United States Code, is amended to read as follows:
‘‘§ 24304. Employee stock ownership plans
‘‘In issuing stock pursuant to applicable corporate
law, Amtrak is encouraged to include employee stock own-
ership plans.’’.
(2) The item relating to section 24304 of title 49,
United States Code, in the table of sections of chapter 243
of such title is amended to read as follows:
‘‘24304. Employee stock ownership plans.’’.
(b) REDEMPTION OF COMMON STOCK.—(1) Amtrak
shall, within 2 months after the date of the enactment of
this Act, redeem all common stock previously issued, for
the fair market value of such stock.
(2) Section 28103 of title 49, United States Code,
shall not apply to any rail carrier holding common stock
of Amtrak after the expiration of 2 months after the date
of the enactment of this Act.
(3) Amtrak shall redeem any such common stock held
after the expiration of the 2-month period described in
paragraph (1), using procedures set forth in section
24311(a) and (b).
(c) ELIMINATION
OF LIQUIDATION PREFERENCE
AND VOTING RIGHTS OF PREFERRED STOCK.—(1)(A)
Preferred stock of Amtrak held by the Secretary of Trans-
portation shall confer no liquidation preference.
(B) Subparagraph (A) shall take effect 90 days after
the date of the enactment of this Act.
(2)(A) Preferred stock of Amtrak held by the Sec-
retary of Transportation shall confer no voting rights.
(B) Subparagraph (A) shall take effect 60 days after
the date of the enactment of this Act.
(d) NOTE AND MORTGAGE.—(1) Section 24907 of
title 49, United States Code, and the item relating thereto
in the table of sections of chapter 249 of such title, are
repealed.
(2) The United States hereby relinquishes all rights
held in connection with any note obtained or mortgage
made under such section 24907, or in connection with the
note, security agreement, and terms and conditions related
thereto entered into with Amtrak dated October 5, 1983.
(3) No amount shall be includible in Amtrak’s gross
income for Federal tax purposes as a result of the applica-
tion of this subsection or subsection (c).
(e) STATUS AND APPLICABLE LAWS.—(1) Section
24301(a)(3) of title 49, United States Code, is amended
by inserting ‘‘, and shall not be subject to title 31, United
States Code’’ after ‘‘United States Government’’.
(2) Section 9101(2) of title 31, United States Code,
relating to Government corporations, is amended by strik-
ing subparagraph (A) and redesignating subparagraphs
(B) through (L) as subparagraphs (A) through (K), re-
spectively.
SEC. 502. DISBURSEMENT OF FEDERAL FUNDS.
Section 24104(d) of title 49, United States Code, is
amended to read as follows:
‘‘(d) ADMINISTRATION OF APPROPRIATIONS.—Fed-
eral operating assistance funds appropriated to Amtrak
shall be provided to Amtrak upon appropriation when re-
quested by Amtrak.’’.
SEC. 503. BOARD OF DIRECTORS.
(a) AMENDMENT.—Section 24302 of title 49, United
States Code, is amended to read as follows:
‘‘§ 24302. Board of Directors
‘‘(a) EMERGENCY REFORM BOARD.—
‘‘(1) 
ESTABLISHMENT
AND
DUTIES.—The
Emergency Reform Board described in paragraph
(2) shall assume the responsibilities of the Board of
Directors of Amtrak 60 days after the date of the
enactment of the Amtrak Reform and Privatization
Act of 1997, or as soon thereafter as such Board is
sufficiently constituted to function as a board of di-
rectors under applicable corporate law. Such Board
shall adopt new bylaws, including procedures for the
selection of members of the Board of Directors
under subsection (c) which provide for employee rep-
resentation.
‘‘(2) MEMBERSHIP.—(A) The Emergency Re-
form Board shall consist of 7 members appointed by
the President, by and with the advice and consent
of the Senate.
‘‘(B) In selecting individuals for nominations
for appointments to the Emergency Reform Board,
the President should consult with—
‘‘(i) the Speaker of the House of Rep-
resentatives concerning the appointment of two
members;
‘‘(ii) the minority leader of the House of
Representatives concerning the appointment of
one member;
‘‘(iii) the majority leader of the Senate
concerning the appointment of two members;
and
‘‘(iv) the minority leader of the Senate con-
cerning the appointment of one member.
‘‘(C) Appointments under subparagraph (A)
shall be made from among individuals who—
‘‘(i) have technical qualification, profes-
sional standing, and demonstrated expertise in
the fields of intercity common carrier transpor-
tation and corporate management; and
‘‘(ii) are not employees of Amtrak, employ-
ees of the United States, or representatives of
rail labor or rail management.
‘‘(b) DIRECTOR GENERAL.—If the Emergency Re-
form Board described in subsection (a)(2) is not suffi-
ciently constituted to function as a board of directors
under applicable corporate law before the expiration of 60
days after the date of the enactment of the Amtrak Re-
form and Privatization Act of 1997, the Chief Justice of
the United States shall appoint a Director General, who
shall exercise all powers of the Board of Directors of Am-
trak until the Emergency Reform Board assumes such
powers.
‘‘(c) BOARD OF DIRECTORS.—Four years after the
establishment of the Emergency Reform Board under sub-
section (a), a Board of Directors shall be selected pursu-
ant to bylaws adopted by the Emergency Reform Board,
and the Emergency Reform Board shall be dissolved.
‘‘(d) AUTHORITY
TO
RECOMMEND
PLAN.—The
Emergency Reform Board shall have the authority to rec-
ommend to the Congress a plan to implement the rec-
ommendations of the 1997 Working Group on Inter-City
Rail regarding the transfer of Amtrak’s infrastructure as-
sets and responsibilities to a new separately governed cor-
poration.’’.
(b) EFFECT
ON AUTHORIZATIONS.—If the Emer-
gency Reform Board has not assumed the responsibilities
of the Board of Directors of Amtrak before March 15,
1998, all provisions authorizing appropriations under the
amendments made by section 701 of this Act for a fiscal
year after fiscal year 1998 shall cease to be effective.
SEC. 504. REPORTS AND AUDITS.
Section 24315 of title 49, United States Code, as
amended by section 208 of this Act, is further amended—
(1) by striking subsections (a) and (c);
(2) by redesignating subsections (b), (d), (e),
(f), (g), and (h) as subsections (a), (b), (c), (d), (e),
and (f), respectively; and
(3) in subsection (d), as so redesignated by
paragraph (2) of this section, by striking ‘‘(d) or
(e)’’ and inserting in lieu thereof ‘‘(b) or (c)’’.
SEC. 505. OFFICERS’ PAY.
Section 24303(b) of title 49, United States Code, is
amended by inserting ‘‘The preceding sentence shall cease
to be effective on the expiration of a fiscal year during
which no Federal operating assistance is provided to Am-
trak.’’ after ‘‘with comparable responsibility.’’.
SEC. 506. EXEMPTION FROM TAXES.
Section 24301(l)(1) of title 49, United States Code,
is amended—
(1) by inserting ‘‘, and any passenger or other
customer of Amtrak or such subsidiary,’’ after ‘‘sub-
sidiary of Amtrak’’;
(2) by striking ‘‘or fee imposed’’ and all that
follows through ‘‘levied on it’’ and inserting in lieu
thereof ‘‘, fee, head charge, or other charge, imposed
or levied by a State, political subdivision, or local
taxing authority, directly or indirectly on Amtrak or
on persons traveling in intercity rail passenger
transportation or on mail or express transportation
provided by Amtrak or a rail carrier subsidiary of
Amtrak, or on the carriage of such persons, mail, or
express, or on the sale of any such transportation,
or on the gross receipts derived therefrom’’; and
(3) by amending the last sentence thereof to
read as follows: ‘‘In the case of a tax or fee that
Amtrak was required to pay as of September 10,
1982, Amtrak is not exempt from such tax or fee if
it was assessed before April 1, 1997.’’.
TITLE VI—MISCELLANEOUS
SEC. 601. TEMPORARY RAIL ADVISORY COUNCIL.
(a) APPOINTMENT.—Within 30 days after the date
of the enactment of this Act, a Temporary Rail Advisory
Council (in this section referred to as the ‘‘Council’’) shall
be appointed under this section.
(b) DUTIES.—The Council shall—
(1) evaluate Amtrak’s performance;
(2) prepare an analysis and critique of Am-
trak’s business plan;
(3) suggest strategies for further cost contain-
ment and productivity improvements, including
strategies with the potential for further reduction in
Federal operating subsidies and the eventual partial
or complete privatization of Amtrak’s operations;
and
(4) recommend appropriate methods for adop-
tion of uniform cost and accounting procedures
throughout the Amtrak system, based on generally
accepted accounting principles.
(c) MEMBERSHIP.—(1) The Council shall consist of
7 members appointed as follows:
(A) Two individuals to be appointed by the
Speaker of the House of Representatives.
(B) One individual to be appointed by the mi-
nority leader of the House of Representatives.
(C) Two individuals to be appointed by the ma-
jority leader of the Senate.
(D) One individual to be appointed by the mi-
nority leader of the Senate.
(E) One individual to be appointed by the
President.
(2) Appointments under paragraph (1) shall be made
from among individuals who—
(A) have technical qualification, professional
standing, and demonstrated expertise in the fields of
transportation and corporate management; and
(B) are not employees of Amtrak, employees of
the United States, or representatives of rail labor or
rail management.
(3) Within 40 days after the date of the enactment
of this Act, a majority of the members of the Council shall
elect a chairman from among such members.
(d) TRAVEL EXPENSES.—Each member of the Coun-
cil shall serve without pay, but shall receive travel ex-
penses, including per diem in lieu of subsistence, in ac-
cordance with sections 5702 and 5703 of title 5, United
States Code.
(e) ADMINISTRATIVE SUPPORT.—The Secretary of
Transportation shall provide to the Council such adminis-
trative support as the Council requires to carry out this
section.
(f) ACCESS TO INFORMATION.—Amtrak shall make
available to the Council all information the Council re-
quires to carry out this section. The Council shall establish
appropriate procedures to ensure against the public disclo-
sure of any information obtained under this subsection
which is a trade secret or commercial or financial informa-
tion that is privileged or confidential.
(g) REPORTS.—(1) Within 120 days after the date
of the enactment of this Act, the Council shall transmit
to the Amtrak board of directors and the Congress an in-
terim report on its findings and recommendations.
(2) Within 270 days after the date of the enactment
of this Act, the Council shall transmit to the Amtrak
board of directors and the Congress a final report on its
findings and recommendations.
(h) STATUS.—The Council shall not be subject to the
Federal Advisory Committee Act (5 U.S.C. App.) or sec-
tion 552 of title 5, United States Code (commonly referred
to as the Freedom of Information Act).
SEC. 602. PRINCIPAL PLACE OF BUSINESS.
Section 24301(b) of title 49, United States Code, is
amended—
(1) by striking the first sentence;
(2) by striking ‘‘of the District of Columbia’’
and inserting in lieu thereof ‘‘of the State in which
its principal place of business is located’’; and
(3) by inserting ‘‘For purposes of this sub-
section, the term ‘State’ includes the District of Co-
lumbia. Notwithstanding section 3 of the District of
Columbia Business Corporation Act, Amtrak, if its
principal place of business is located in the District
of Columbia, shall be considered organized under the
provisions of such Act.’’ after ‘‘in a civil action.’’.
SEC. 603. STATUS AND APPLICABLE LAWS.
Section 24301 of title 49, United States Code, is
amended—
(1) in subsection (a)(1), by striking ‘‘rail car-
rier under section 10102’’ and inserting in lieu
thereof ‘‘railroad carrier under section 20102(2) and
chapters 261 and 281’’; and
(2) by amending subsection (c) to read as fol-
lows:
‘‘(c) APPLICATION OF SUBTITLE IV.—Subtitle IV of
this title shall not apply to Amtrak, except for sections
11301, 11322(a), 11502, and 11706. Notwithstanding the
preceding sentence, Amtrak shall continue to be consid-
ered an employer under the Railroad Retirement Act of
1974, the Railroad Unemployment Insurance Act, and the
Railroad Retirement Tax Act.’’.
SEC. 604. WASTE DISPOSAL.
Section 24301(m)(1)(A) of title 49, United States
Code, is amended by striking ‘‘1996’’ and inserting in lieu
thereof ‘‘2000’’.
SEC. 605. ASSISTANCE FOR UPGRADING FACILITIES.
Section 24310 of title 49, United States Code, and
the item relating thereto in the table of sections of chapter
243 of such title, are repealed.
SEC. 606. RAIL SAFETY SYSTEM PROGRAM.
Section 24313 of title 49, United States Code, and
the item relating thereto in the table of sections of chapter
243 of such title, are repealed.
SEC. 607. DEMONSTRATION OF NEW TECHNOLOGY.
Section 24314 of title 49, United States Code, and
the item relating thereto in the table of sections of chapter
243 of such title, are repealed.
SEC. 608. PROGRAM MASTER PLAN FOR BOSTON-NEW YORK
MAIN LINE.
(a) REPEAL.—Section 24903 of title 49, United
States Code, and the item relating thereto in the table of
sections of chapter 249 of such title, are repealed.
(b) 
CONFORMING
AMENDMENT.—Section
24902(a)(1)(A) of title 49, United States Code, is amend-
ed by striking ‘‘and 40 minutes’’.
SEC. 
609. 
BOSTON-NEW 
HAVEN 
ELECTRIFICATION
PROJECT.
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 the elec-
trification system between Boston, Massachusetts, and
New Haven, Connecticut, 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. Amtrak shall
also make clearance improvements on the existing main
line tracks to permit double stack service on this line, if
funds to defray the costs of clearance improvements be-
yond Amtrak’s own requirements for electrified passenger
service are provided by public or private entities other
than Amtrak. Wherever practicable, Amtrak shall use por-
tal 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 fa-
cilitate design and construction work. The Secretary of
Transportation may provide appropriate support to Am-
trak for carrying out this paragraph.’’.
SEC. 610. AMERICANS WITH DISABILITIES ACT OF 1990.
(a) APPLICATION TO AMTRAK.—Amtrak, and with
respect only to the facilities it jointly uses with Amtrak,
a commuter authority, shall not be subject to any require-
ment under section 242(a)(1) and (3) and (e)(2) of the
Americans With Disabilities Act of 1990 (42 U.S.C.
12162(a)(1) and (3) and (e)(2)) until January 1, 1998.
For stations jointly used by Amtrak and a commuter au-
thority, this subsection shall not affect the allocation of
costs between Amtrak and the commuter authority relat-
ing to accessibility improvements.
(b) CONFORMING AMENDMENT.—Section 24307 of
title 49, United States Code, is amended—
(1) by striking subsection (b); and
(2) by redesignating subsection (c) as sub-
section (b).
SEC. 611. DEFINITIONS.
Section 24102 of title 49, United States Code, is
amended—
(1) by striking paragraphs (2), (3), and (11);
(2) by redesignating paragraphs (4) through
(8) as paragraphs (2) through (6), respectively;
(3) by inserting after paragraph (6), as so re-
designated by paragraph (2) of this section, the fol-
lowing new paragraph:
‘‘(7) ‘rail passenger transportation’ means the
interstate, intrastate, or international transportation
of passengers by rail;’’;
(4) in paragraph (6), as so redesignated by
paragraph (2) of this section, by inserting ‘‘, includ-
ing a unit of State or local government,’’ after
‘‘means a person’’; and
(5) by redesignating paragraphs (9) and (10)
as paragraphs (8) and (9), respectively.
SEC. 612. NORTHEAST CORRIDOR COST DISPUTE.
Section 1163 of the Northeast Rail Service Act of
1981 (45 U.S.C. 1111) is repealed.
SEC. 613. INSPECTOR GENERAL ACT OF 1978 AMENDMENT.
(a) AMENDMENT.—Section 8G(a)(2) of the Inspector
General Act of 1978 (5 U.S.C. App.) is amended by strik-
ing ‘‘Amtrak,’’.
(b) AMTRAK NOT FEDERAL ENTITY.—Amtrak shall
not be considered a Federal entity for purposes of the In-
spector General Act of 1978.
SEC. 614. CONSOLIDATED RAIL CORPORATION.
Section 4023 of the Conrail Privatization Act (45
U.S.C. 1323), and the item relating thereto in the table
of contents of such Act, are repealed.
SEC. 615. INTERSTATE RAIL COMPACTS.
(a) CONSENT TO COMPACTS.—Congress grants con-
sent to States with an interest in a specific form, route,
or corridor of intercity passenger rail service (including
high speed rail service) to enter into interstate compacts
to promote the provision of the service, including—
(1) retaining an existing service or commencing
a new service;
(2) assembling rights-of-way; and
(3) performing capital improvements, includ-
ing—
(A) the construction and rehabilitation of
maintenance facilities and intermodal passenger
facilities;
(B) the purchase of locomotives; and
(C) operational improvements, including
communications, signals, and other systems.
(b) FINANCING.—An interstate compact established
by States under subsection (a) may provide that, in order
to carry out the compact, the States may—
(1) accept contributions from a unit of State or
local government or a person;
(2) use any Federal or State funds made avail-
able for intercity passenger rail service (except funds
made available for the National Railroad Passenger
Corporation);
(3) on such terms and conditions as the States
consider advisable—
(A) borrow money on a short-term basis
and issue notes for the borrowing; and
(B) issue bonds; and
(4) obtain financing by other means permitted
under Federal or State law.
SEC. 616. CONFORMING AMENDMENTS.
Part C of subtitle V of title 49, United States Code,
is amended—
(1) in section 24102(2), by striking ‘‘Interstate
Commerce Commission’’ and inserting in lieu thereof
‘‘Surface Transportation Board’’;
(2) in section 24307(b)(3), as so redesignated
by section 610(b)(2) of this Act, by striking ‘‘Inter-
state Commerce Commission’’ and inserting in lieu
thereof ‘‘Surface Transportation Board’’;
(3) in section 24308—
(A) by striking ‘‘Interstate Commerce
Commission’’ in subsection (a)(2)(A) and in-
serting in lieu thereof ‘‘Surface Transportation
Board’’; and
(B) by striking ‘‘Commission’’ each place it
appears and inserting in lieu thereof ‘‘Board’’;
(4) in section 24311(c)—
(A) by striking ‘‘Interstate Commerce
Commission’’ in paragraph (1) and inserting in
lieu thereof ‘‘Surface Transportation Board’’;
and
(B) by striking ‘‘Commission’’ each place it
appears and inserting in lieu thereof ‘‘Board’’;
(5) in section 24902(j)—
(A) by striking ‘‘Interstate Commerce
Commission’’ each place it appears and insert-
ing in lieu thereof ‘‘Surface Transportation
Board’’; and
(B) by striking ‘‘Commission’’ each place it
appears and inserting in lieu thereof ‘‘Board’’;
and
(6) in section 24904(b), as so redesignated by
section 207(a)(2) of this Act—
(A) by striking ‘‘Interstate Commerce
Commission’’ in paragraph (2) and inserting in
lieu thereof ‘‘Surface Transportation Board’’;
and
(B) by striking ‘‘Commission’’ each place it
appears and inserting in lieu thereof ‘‘Board’’.
SEC. 617. MAGNETIC LEVITATION TRACK MATERIALS.
The Secretary of Transportation shall transfer to
the State of Florida, pursuant to a grant or cooperative
agreement, title to aluminum reaction rail, power rail
base, and other related materials (originally used in con-
nection with the Prototype Air Cushion Vehicle Program
between 1973 and 1976) located at the Transportation
Technology Center near Pueblo, Colorado, for use by the
State of Florida to construct a magnetic levitation track
in connection with a project or projects being undertaken
by American Maglev Technology, Inc., to demonstrate
magnetic levitation technology in the United States. If
the materials are not used for such construction within
3 years after the date of the enactment of this Act, title
to such materials shall revert to the United States.
SEC. 618. RAILROAD LOAN GUARANTEES.
(a) DECLARATION OF POLICY.—Section 101(a)(4) of
the Railroad Revitalization and Regulatory Reform Act of
1976 (45 U.S.C. 801(a)(4)) is amended to read as follows:
‘‘(4) Continuation of service on, or preservation
of, light density lines that are necessary to continued
employment and community well-being throughout
the United States.’’.
(b) MAXIMUM RATE OF INTEREST.—Section 511(f)
of the Railroad Revitalization and Regulatory Reform Act
of 1976 (45 U.S.C. 831(f)) is amended by striking ‘‘shall
not exceed an annual percentage rate which the Secretary
determines to be reasonable, taking into consideration the
prevailing interest rates for similar obligations in the pri-
vate market.’’ and inserting in lieu thereof ‘‘shall not ex-
ceed the annual percentage rate which is equivalent to the
cost of money to the United States.’’.
(c) MINIMUM REPAYMENT PERIOD
AND PREPAY-
MENT PENALTIES.—Section 511(g)(2) of the Railroad Re-
vitalization and Regulatory Reform Act of 1976 (45
U.S.C. 831(g)(2)) is amended to read as follows:
‘‘(2) payment of the obligation is required by its
terms to be made not less than 15 years but not
more than 25 years from the date of its execution,
with no penalty imposed for prepayment after 5
years;’’.
(d) DETERMINATION
OF REPAYABILITY.—Section
511(g)(5) of the Railroad Revitalization and Regulatory
Reform Act of 1976 (45 U.S.C. 831(g)(5)) is amended
to read as follows:
‘‘(5) either the loan can reasonably be repaid by
the applicant or the loan is collateralized at no more
than the current value of assets being financed
under this section to provide protection to the Unit-
ed States;’’.
TITLE VII—AUTHORIZATION OF
APPROPRIATIONS
SEC. 701. AUTHORIZATION OF APPROPRIATIONS.
(a) CAPITAL EXPENDITURES.—Section 24104(a) of
title 49, United States Code, is amended to read as fol-
lows:
‘‘(a) CAPITAL EXPENDITURES.—There are author-
ized to be appropriated to the Secretary of Transpor-
tation—
‘‘(1) $230,000,000 for fiscal year 1995;
‘‘(2) $230,000,000 for fiscal year 1996;
‘‘(3) $224,000,000 for fiscal year 1997;
‘‘(4) $501,000,000 for fiscal year 1998;
‘‘(5) $516,000,000 for fiscal year 1999; and
‘‘(6) $531,000,000 for fiscal year 2000,
for the benefit of Amtrak for capital expenditures under
chapters 243 and 247 of this title.’’.
(b) OPERATING EXPENSES.—Section 24104(b) of
title 49, United States Code, is amended to read as fol-
lows:
‘‘(b) OPERATING EXPENSES.—There are authorized
to be appropriated to the Secretary of Transportation—
‘‘(1) $542,000,000 for fiscal year 1995;
‘‘(2) $405,000,000 for fiscal year 1996;
‘‘(3) $365,000,000 for fiscal year 1997;
‘‘(4) $387,000,000 for fiscal year 1998;
‘‘(5) $292,000,000 for fiscal year 1999; and
‘‘(6) $242,000,000 for fiscal year 2000,
for the benefit of Amtrak for operating expenses.’’.
(c) 
ADDITIONAL
AUTHORIZATIONS.—Section
24104(c) of title 49, United States Code, is amended to
read as follows:
‘‘(c) ADDITIONAL AUTHORIZATIONS.—In addition to
amounts appropriated under subsection (a), there are au-
thorized to be appropriated to the Secretary of Transpor-
tation—
‘‘(1) $200,000,000 for fiscal year 1995;
‘‘(2) $115,000,000 for fiscal year 1996;
‘‘(3) $255,000,000 for fiscal year 1997;
‘‘(4) $250,000,000 for fiscal year 1998;
‘‘(5) $250,000,000 for fiscal year 1999; and
‘‘(6) $250,000,000 for fiscal year 2000.
for the benefit of Amtrak to make capital expenditures
under chapter 249 of this title.’’.
(d) REDUCTION OF AMOUNTS.—Section 24104 of
title 49, United States Code, is further amended by adding
at the end the following new subsection:
‘‘(g) REDUCTION
OF AMOUNTS.—For each fiscal
year, the total amount authorized to be appropriated
under subsections (a) and (c) combined shall be reduced
by any amount made available to Amtrak from an inter-
city passenger transportation trust fund for that fiscal
year.’’.
(e) CONFORMING AMENDMENTS.—Section 24909 of
title 49, United States Code, and the item relating thereto
in the table of sections of chapter 249 of such title, are
repealed.
(f) GUARANTEE OF OBLIGATIONS.—There are au-
thorized to be appropriated to the Secretary of Transpor-
tation—
(1) $50,000,000 for fiscal year 1998;
(2) $50,000,000 for fiscal year 1999; and
(3) $50,000,000 for fiscal year 2000,
for guaranteeing obligations of Amtrak under section 511
of the Railroad Revitalization and Regulatory Reform Act
of 1976 (45 U.S.C. 831).
(g) CONDITIONS
FOR
GUARANTEE
OF
OBLIGA-
TIONS.—Section 511(i) of the Railroad Revitalization and
Regulatory Reform Act of 1976 (45 U.S.C. 831(i)) is
amended by adding at the end the following new para-
graph:
‘‘(4) The Secretary shall not require, as a condition
for guarantee of an obligation under this section, that all
preexisting secured obligations of an obligor be subordi-
nated to the rights of the Secretary in the event of a de-
fault.’’.
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