IB
Union Calendar No. 52
107TH CONGRESS
1ST SESSION
H. R. 1020
[Report No. 107–96]
To authorize the Secretary of Transportation to establish a grant program
for the rehabilitation, preservation, or improvement of railroad track.
IN THE HOUSE OF REPRESENTATIVES
MARCH 14, 2001
Mr. QUINN (for himself, Mr. CLEMENT, and Mr. BACHUS) introduced the fol-
lowing bill; which was referred to the Committee on Transportation and
Infrastructure
JUNE 12, 2001
Additional sponsors: Mr. FOLEY, Mr. BORSKI, Mr. UDALL of New Mexico, Mr.
FROST, Mr. MICA, Mr. SWEENEY, Mr. PETERSON of Pennsylvania, Mr.
NEAL of Massachusetts, Mr. FERGUSON, Mr. MASCARA, Mr. ALLEN, Mr.
DUNCAN, Mr. BISHOP, Mr. YOUNG of Alaska, Mr. HOUGHTON, Mr.
GOODE, Mr. MORAN of Kansas, Mr. NADLER, Mr. LARSEN of Wash-
ington, Mr. MCHUGH, Mr. HOLDEN, Mr. FILNER, Mr. PLATTS, Mr.
ROSS, Mr. SANDERS, Mr. BASS, Mr. DEFAZIO, Ms. HART, Mr.
BALDACCI, Mr. VISCLOSKY, Mr. GANSKE, Mr. WATKINS, Mr. TIAHRT,
Mr. PETRI, Mr. BOEHLERT, Mr. HAYES, Mr. ENGLISH, Mr. HILL, Mr.
HERGER, Ms. KAPTUR, Mr. LIPINSKI, Mr. GEKAS, Mr. CUMMINGS, Mr.
BERRY, Mr. HILLIARD, Mr. BOYD, Mr. RYUN of Kansas, Mr. KLECZKA,
Mr. KANJORSKI, Mr. CARSON of Oklahoma, Mr. TOWNS, Mr. STUPAK,
Mr. PASCRELL, Mr. GREENWOOD, Mr. SCARBOROUGH, Mr. PHELPS, Mr.
BLUMENAUER, Mr. SIMMONS, Mrs. CAPITO, Mr. BONIOR, Mr. PASTOR,
Mr. MOLLOHAN, Mr. GRAVES, Mr. ROGERS of Michigan, Mr. BARCIA,
Mr. COOKSEY, Mr. LATOURETTE, Mr. DEMINT, Mr. DINGELL, Mr.
MCNULTY, Ms. MCKINNEY, Mr. KIRK, Mr. COBLE, Mr. REHBERG, Mr.
BROWN of South Carolina, Mr. LAHOOD, Mr. OBERSTAR, Mr. MEEKS of
New York, Mr. GILLMOR, Mr. LUCAS of Oklahoma, Mr. JOHNSON of Illi-
nois, Mr. SCHAFFER, Mr. SNYDER, Mr. COSTELLO, Mr. KENNEDY of
Minnesota, Mr. BEREUTER, Mr. BOSWELL, Mr. HUTCHINSON, Mr. MCIN-
TYRE, Mr. LOBIONDO, Mr. HOEFFEL, Mr. THOMPSON of California, Mr.
WHITFIELD, Mr. WALDEN of Oregon, Mr. DOYLE, Mr. THOMAS, Mr.
PALLONE, and Mr. THOMPSON of Mississippi
JUNE 12, 2001
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 March 14, 2001]
A BILL
To authorize the Secretary of Transportation to establish
a grant program for the rehabilitation, preservation, or
improvement of railroad track.
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 ‘‘Railroad Track Mod-
ernization Act of 2001’’.
SEC. 2. CAPITAL GRANTS FOR RAILROAD TRACK.
(a) AMENDMENT.—Chapter 223 of title 49, United
States Code, is amended to read as follows:
‘‘CHAPTER 223—CAPITAL GRANTS FOR
RAILROAD TRACK
‘‘Sec.
‘‘22301. Capital grants for railroad track.
‘‘§ 22301. Capital grants for railroad track
‘‘(a) ESTABLISHMENT OF PROGRAM.—
‘‘(1) ESTABLISHMENT.—The Secretary of Trans-
portation shall establish a program of capital grants
for the rehabilitation, preservation, or improvement of
railroad track (including roadbed, bridges, and re-
lated track structures) of class II and class III rail-
roads. Such grants shall be for rehabilitating, pre-
serving, or improving track used primarily for freight
transportation to a standard ensuring that the track
can be operated safely and efficiently, including
grants for rehabilitating, preserving, or improving
track to handle 286,000 pound rail cars. Grants may
be provided under this chapter—
‘‘(A) directly to the class II or class III
railroad; or
‘‘(B) with the concurrence of the class II or
class III railroad, to a State or local govern-
ment.
‘‘(2) STATE COOPERATION.—Class II and class
III railroad applicants for a grant under this chapter
are encouraged to utilize the expertise and assistance
of State transportation agencies in applying for and
administering such grants. State transportation agen-
cies are encouraged to provide such expertise and as-
sistance to such railroads.
‘‘(3) INTERIM
REGULATIONS.—Not later than
December 31, 2001, the Secretary shall issue tem-
porary regulations to implement the program under
this section. Subchapter II of chapter 5 of title 5 does
not apply to a temporary regulation issued under this
paragraph or to an amendment to such a temporary
regulation.
‘‘(4) FINAL REGULATIONS.—Not later than Octo-
ber 1, 2002, the Secretary shall issue final regulations
to implement the program under this section.
‘‘(b) MAXIMUM FEDERAL SHARE.—The maximum
Federal share for carrying out a project under this section
shall be 80 percent of the project cost. The non-Federal share
may be provided by any non-Federal source in cash, equip-
ment, or supplies. Other in-kind contributions may be ap-
proved by the Secretary on a case by case basis consistent
with this chapter.
‘‘(c) PROJECT ELIGIBILITY.—For a project to be eligi-
ble for assistance under this section the track must have
been operated or owned by a class II or class III railroad
as of the date of the enactment of the Railroad Track Mod-
ernization Act of 2001.
‘‘(d) USE OF FUNDS.—Grants provided under this sec-
tion shall be used to implement track capital projects as
soon as possible. In no event shall grant funds be contrac-
tually obligated for a project later than the end of the third
Federal fiscal year following the year in which the grant
was awarded. Any funds not so obligated by the end of such
fiscal year shall be returned to the Secretary for realloca-
tion.
‘‘(e) ADDITIONAL PURPOSE.—In addition to making
grants for projects as provided in subsection (a), the Sec-
retary may also make grants to supplement direct loans
or loan guarantees made under title V of the Railroad Revi-
talization and Regulatory Reform Act of 1976 (45 U.S.C.
822(d)), for projects described in the last sentence of section
502(d) of such title. Grants made under this subsection may
be used, in whole or in part, for paying credit risk pre-
miums, lowering rates of interest, or providing for a holi-
day on principal payments.
‘‘(f) EMPLOYEE PROTECTION.—The Secretary shall re-
quire as a condition of any grant made under this section
that the recipient railroad provide a fair arrangement at
least as protective of the interests of employees who are af-
fected by the project to be funded with the grant as the terms
imposed under section 11326(a), as in effect on the date
of the enactment of the Railroad Track Modernization Act
of 2001.
‘‘(g) LABOR STANDARDS.—
‘‘(1) PREVAILING WAGES.—The Secretary shall
ensure that laborers and mechanics employed by con-
tractors and subcontractors in construction work fi-
nanced by a grant made under this section will be
paid wages not less than those prevailing on similar
construction in the locality, as determined by the Sec-
retary of Labor under the Act of March 3, 1931
(known as the Davis-Bacon Act; 40 U.S.C. 276a et
seq.). The Secretary shall make a grant under this
section only after being assured that required labor
standards will be maintained on the construction
work.
‘‘(2) WAGE RATES.—Wage rates in a collective
bargaining agreement negotiated under the Railway
Labor Act (45 U.S.C. 151 et seq.) are deemed for pur-
poses of this subsection to comply with the Act of
March 3, 1931 (known as the Davis-Bacon Act; 40
U.S.C. 276a et seq.).
‘‘(h) STUDY.—The Secretary shall conduct a study of
the projects carried out with grant assistance under this
section to determine the public interest benefits associated
with the light density railroad networks in the States and
their contribution to a multimodal transportation system.
Not later than March 31, 2003, the Secretary shall report
to Congress any recommendations the Secretary considers