H. R. 2539—112
of which under the Solid Waste Disposal Act has been suspended
by Congress) shall be liable to the United States for a civil penalty
not to exceed $20,000 for each violation.
‘‘(c) FACTORS TO CONSIDER IN DETERMINING AMOUNT.—In deter-
mining and negotiating the amount of a civil penalty under sub-
section (a) or (d) concerning transportation of household goods,
the degree of culpability, any history of prior such conduct, the
degree of harm to shipper or shippers, ability to pay, the effect
on ability to do business, whether the shipper has been adequately
compensated before institution of the proceeding, and such other
matters as fairness may require shall be taken into account.
‘‘(d) PROTECTION OF HOUSEHOLD GOODS SHIPPERS.—If a carrier
providing transportation of household goods subject to jurisdiction
under subchapter I or III of chapter 135 or a receiver or trustee
of such carrier fails or refuses to comply with any regulation issued
by the Secretary or the Board relating to protection of individual
shippers, such carrier, receiver, or trustee is liable to the United
States for a civil penalty of not less than $1,000 for each violation
and for each additional day during which the violation continues.
‘‘(e) VIOLATION RELATING TO TRANSPORTATION OF HOUSEHOLD
GOODS.—Any person that knowingly engages in or knowingly
authorizes an agent or other person—
‘‘(1) to falsify documents used in the transportation of
household goods subject to jurisdiction under subchapter I or
III of chapter 135 which evidence the weight of a shipment;
or
‘‘(2) to charge for accessorial services which are not per-
formed or for which the carrier is not entitled to be compensated
in any case in which such services are not reasonably necessary
in the safe and adequate movement of the shipment;
is liable to the United States for a civil penalty of not less than
$2,000 for each violation and of not less than $5,000 for each
subsequent violation. Any State may bring a civil action in the
United States district courts to compel a person to pay a civil
penalty assessed under this subsection.
‘‘(f) VENUE.—Trial in a civil action under subsections (a)
through (e) of this section is in the judicial district in which—
‘‘(1) the carrier or broker has its principal office;
‘‘(2) the carrier or broker was authorized to provide
transportation or service under this part when the violation
occurred;
‘‘(3) the violation occurred; or
‘‘(4) the offender is found.
Process in the action may be served in the judicial district of
which the offender is an inhabitant or in which the offender may
be found.
‘‘(g) BUSINESS ENTERTAINMENT EXPENSES.—
‘‘(1) IN
GENERAL.—Any business entertainment expense
incurred by a water carrier providing transportation subject
to this part shall not constitute a violation of this part if
that expense would not be unlawful if incurred by a person
not subject to this part.
‘‘(2) COST
OF
SERVICE.—Any business entertainment
expense subject to paragraph (1) that is paid or incurred by
a water carrier providing transportation subject to this part
shall not be taken into account in determining the cost of
service or the rate base for purposes of section 13702.
H. R. 2539—113
‘‘§ 14902. Civil penalty for accepting rebates from carrier
‘‘A person—
‘‘(1) delivering property to a carrier providing transpor-
tation or service subject to jurisdiction under chapter 135 for
transportation under this part or for whom that carrier will
transport the property as consignor or consignee for that person
from a State or territory or possession of the United States
to another State or possession, territory, or to a foreign country;
and
‘‘(2) knowingly accepting or receiving by any means a rebate
or offset against the rate for transportation for, or service
of, that property contained in a tariff required under section
13702;
is liable to the United States for a civil penalty in an amount
equal to 3 times the amount of money that person accepted or
received as a rebate or offset and 3 times the value of other
consideration accepted or received as a rebate or offset. In a civil
action under this section, all money or other consideration received
by the person during a period of 6 years before an action is brought
under this section may be included in determining the amount
of the penalty, and if that total amount is included, the penalty
shall be 3 times that total amount.
‘‘§ 14903. Tariff violations
‘‘(a) CIVIL PENALTY FOR UNDERCHARGING AND OVERCHARGING.—
A person that offers, grants, gives, solicits, accepts, or receives
by any means transportation or service provided for property by
a carrier subject to jurisdiction under chapter 135 at a rate different
than the rate in effect under section 13702 is liable to the United
States for civil penalty of not more than $100,000 for each violation.
‘‘(b) 
GENERAL
CRIMINAL
PENALTY.—A 
carrier 
providing
transportation or service subject to jurisdiction under chapter 135
or an officer, director, receiver, trustee, lessee, agent, or employee
of a corporation that is subject to jurisdiction under that chapter,
that willfully does not observe its tariffs as required under section
13702, shall be fined under title 18 or imprisoned not more than
2 years, or both.
‘‘(c) ACTIONS
OF AGENTS
AND EMPLOYEES.—When acting in
the scope of their employment, the actions and omissions of persons
acting for or employed by a carrier or shipper that is subject
to this section are considered to be the actions and omissions
of that carrier or shipper as well as that person.
‘‘(d) VENUE.—Trial in a criminal action under this section is
in the judicial district in which any part of the violation is commit-
ted or through which the transportation is conducted.
‘‘§ 14904. Additional rate violations
‘‘(a) REBATES BY AGENTS.—A person, or an officer, employee,
or agent of that person, that—
‘‘(1) offers, grants, gives, solicits, accepts, or receives a
rebate for concession, in violation of a provision of this part
related to motor carrier transportation subject to jurisdiction
under subchapter I of chapter 135; or
‘‘(2) by any means assists or permits another person to
get transportation that is subject to jurisdiction under that
subchapter at less than the rate in effect for that transportation
under section 13702,
H. R. 2539—114
is liable to the United States for a civil penalty of $200 for the
first violation and $250 for a subsequent violation.
‘‘(b) UNDERCHARGING.—
‘‘(1) FREIGHT FORWARDER.—A freight forwarder providing
service subject to jurisdiction under subchapter III of chapter
135, or an officer, agent, or employee of that freight forwarder,
that assists a person in getting, or willingly permits a person
to get, service provided under that subchapter at less than
the rate in effect for that service under section 13702, is liable
to the United States for a civil penalty of not more than
$500 for the first violation and not more than $2,000 for a
subsequent violation.
‘‘(2) OTHERS.—A person that by any means gets, or
attempts to get, service provided under subchapter III of chap-
ter 135 at less than the rate in effect for that service under
section 13702, is liable to the United States for a civil penalty
of not more than $500 for the first violation and not more
than $2,000 for a subsequent violation.
‘‘§ 14905. Penalties for violations of rules relating to loading
and unloading motor vehicles
‘‘(a) CIVIL PENALTIES.—Whoever knowingly authorizes, consents
to, or permits a violation of subsection (a) or (b) of section 14103
or who knowingly violates subsection (a) of such section is liable
to the United States for a civil penalty of not more than $10,000
for each violation.
‘‘(b) CRIMINAL PENALTIES.—Whoever knowingly violates section
14103(b) of this title shall be fined under title 18 or imprisoned
not more than 2 years, or both.
‘‘§ 14906. Evasion of regulation of carriers and brokers
‘‘A person, or an officer, employee, or agent of that person,
that by any means tries to evade regulation provided under this
part for carriers or brokers is liable to the United States for a
civil penalty of $200 for the first violation and at least $250 for
a subsequent violation.
‘‘§ 14907. Recordkeeping and reporting violations
‘‘A person required to make a report to the Secretary or the
Board, as applicable, answer a question, or make, prepare, or pre-
serve a record under this part about transportation subject to
jurisdiction under subchapter I or III of chapter 135, or an officer,
agent, or employee of that person, that—
‘‘(1) does not make that report;
‘‘(2) does not specifically, completely, and truthfully answer
that question in 30 days from the date the Secretary or Board,
as applicable, requires the question to be answered;
‘‘(3) does not make, prepare, or preserve that record in
the form and manner prescribed;
‘‘(4) falsifies, destroys, mutilates, or changes that report
or record;
‘‘(5) files a false report or record;
‘‘(6) makes a false or incomplete entry in that record about
a business related fact or transaction; or
‘‘(7) makes, prepares, or preserves a record in violation
of an applicable regulation or order of the Secretary or Board;
H. R. 2539—115
is liable to the United States for a civil penalty of not more than
$5,000.
‘‘§ 14908. Unlawful disclosure of information
‘‘(a) DISCLOSURE OF SHIPMENT AND ROUTING INFORMATION.—
‘‘(1) VIOLATIONS.—A carrier or broker providing transpor-
tation subject to jurisdiction under subchapter I, II, or III
of chapter 135 or an officer, receiver, trustee, lessee, or
employee of that carrier or broker, or another person authorized
by that carrier or broker to receive information from that
carrier or broker may not disclose to another person, except
the shipper or consignee, and a person may not solicit, or
receive, information about the nature, kind, quantity, destina-
tion, consignee, or routing of property tendered or delivered
to that carrier or broker for transportation provided under
this part without the consent of the shipper or consignee if
that information may be used to the detriment of the shipper
or consignee or may disclose improperly to a competitor the
business transactions of the shipper or consignee.
‘‘(2) PENALTY.—A person violating paragraph (1) of this
subsection is liable to the United States for a civil penalty
of not more than $2,000.
‘‘(b) LIMITATION ON STATUTORY CONSTRUCTION.—This part does
not prevent a carrier or broker providing transportation subject
to jurisdiction under chapter 135 from giving information—
‘‘(1) in response to legal process issued under authority
of a court of the United States or a State;
‘‘(2) to an officer, employee, or agent of the United States
Government, a State, or a territory or possession of the United
States; or
‘‘(3) to another carrier or its agent to adjust mutual traffic
accounts in the ordinary course of business.
‘‘§ 14909. Disobedience to subpoenas
‘‘Whoever does not obey a subpoena or requirement of the
Secretary or the Board to appear and testify or produce records
shall be fined under title 18 or imprisoned not more than 1 year,
or both.
‘‘§ 14910. General civil penalty when specific penalty not pro-
vided
‘‘When another civil penalty is not provided under this chapter,
a person that violates a provision of this part or a regulation
or order prescribed under this part, or a condition of a registration
under this part related to transportation that is subject to jurisdic-
tion under subchapter I or III of chapter 135 or a condition of
a registration of a foreign motor carrier or foreign motor private
carrier under section 13902, is liable to the United States for
a civil penalty of $500 for each violation. A separate violation
occurs each day the violation continues.
‘‘§ 14911. Punishment of corporation for violations committed
by certain individuals
‘‘An act or omission that would be a violation of this part
if committed by a director, officer, receiver, trustee, lessee, agent,
or employee of a carrier providing transportation or service subject
to jurisdiction under chapter 135 that is a corporation is also
H. R. 2539—116
a violation of this part by that corporation. The penalties of this
chapter apply to that violation. When acting in the scope of their
employment, the actions and omissions of individuals acting for
or employed by that carrier are considered to be the actions and
omissions of that carrier as well as that individual.
‘‘§ 14912. Weight-bumping in household goods transportation
‘‘(a) WEIGHT-BUMPING DEFINED.—For the purposes of this sec-
tion, ‘weight-bumping’ means the knowing and willful making or
securing of a fraudulent weight on a shipment of household goods
which is subject to jurisdiction under subchapter I or III of chapter
135.
‘‘(b) PENALTY.—Whoever has been found to have committed
weight-bumping shall be fined under title 18 or imprisoned not
more than 2 years, or both.
‘‘§ 14913. Conclusiveness of rates in certain prosecutions
‘‘When a carrier publishes or files a particular rate under
section 13702 or participates in such a rate, the published or
filed rate is conclusive proof against that carrier, its officers, and
agents that it is the legal rate for that transportation or service
in a proceeding begun under section 14902 or 14903. A departure,
or offer to depart, from that published or filed rate is a violation
of those sections.
‘‘§ 14914. Civil penalty procedures
‘‘(a) IN GENERAL.—After notice and an opportunity for a hear-
ing, a person found by the Surface Transportation Board to have
violated a provision of law that the Board carries out or a regulation
prescribed under that law by the Board that is related to transpor-
tation which occurs under subchapter II of chapter 135 for which
a civil penalty is provided, is liable to the United States for the
civil penalty provided. The amount of the civil penalty shall be
assessed by the Board by written notice. In determining the amount
of the penalty, the Board shall consider the nature, circumstances,
extent, and gravity of the prohibited acts committed and, with
respect to the violator, the degree of culpability, any history of
prior offenses, ability to pay, and other matters that justice requires.
‘‘(b) COMPROMISE.—The Board may compromise, modify, or
remit, with or without consideration, a civil penalty until the assess-
ment is referred to the Attorney General.
‘‘(c) COLLECTION.—If a person fails to pay an assessment of
a civil penalty after it has become final, the Board may refer
the matter to the Attorney General for collection in an appropriate
district court of the United States.
‘‘(d) REFUNDS.—The Board may refund or remit a civil penalty
collected under this section if—
‘‘(1) application has been made for refund or remission
of the penalty within 1 year from the date of payment; and
‘‘(2) the Board finds that the penalty was unlawfully,
improperly, or excessively imposed.’’.
SEC. 104. MISCELLANEOUS MOTOR CARRIER PROVISIONS.
(a) GRANTS TO STATES.—Section 31102(b)(1) of title 49, United
States Code, is amended—
(1) by striking ‘‘and’’ at the end of subparagraph (O);
(2) by striking the period at the end of subparagraph (P)
and inserting in lieu thereof ‘‘; and’’; and
H. R. 2539—117
(3) by adding at the end the following:
‘‘(Q) ensures that the State will cooperate in the enforce-
ment of registration and financial responsibility requirements
under sections 31140 and 31146, or regulations issued there-
under.’’
(b) 
TRANSPORT
VEHICLES
FOR
OFF-ROAD, 
COMPETITION
VEHICLES.—Section 31111(b)(1) of such title is amended—
(1) by striking ‘‘or’’ at the end of subparagraph (C);
(2) by striking the period at the end of subparagraph (D)
and inserting in lieu thereof a semicolon and ‘‘or’’; and
(3) by adding at the end thereof the following:
‘‘(E) imposes a limitation of less than 46 feet on the distance
from the kingpin to the center of the rear axle on trailers
used exclusively or primarily in connection with motorsports
competition events.’’.
(c) MULTIPLE INSURERS.—Section 31138(c) of such title is
amended by adding at the end the following new paragraph:
‘‘(3) A motor carrier may obtain the required amount of financial
responsibility from more than one source provided the cumulative
amount is equal to the minimum requirements of this section.’’.
(d) MINIMUM FINANCIAL RESPONSIBILITY REQUIREMENTS WITH
RESPECT TO CERTAIN TRANSPORTATION SERVICE.—Section 31138(e)
is amended—
(1) by striking ‘‘or’’ at the end of paragraph (2);
(2) by striking the period at the end of paragraph (3)
and inserting in lieu thereof ‘‘; or’’; and
(3) by adding at the end the following:
‘‘(4) providing transportation service within a transit serv-
ice area under an agreement with a Federal, State, or local
government funded, in whole or in part, with a grant under
section 5307, 5310, or 5311, including transportation designed
and carried out to meet the special needs of elderly individuals
and individuals with disabilities; except that, in any case in
which the transit service area is located in more than 1 State,
the minimum level of financial responsibility for such motor
vehicle will be at least the highest level required for any of
such States.’’.
(e) TRANSPORTERS OF PROPERTY.—Section 31139(e) of such title
is amended by adding at the end the following:
‘‘(3) A motor carrier may obtain the required amount of financial
responsibility from more than one source provided the cumulative
amount is equal to the minimum requirements of this section.’’.
(f) COMMERCIAL MOTOR VEHICLE DEFINED.—Section 31132(1)
of such title is amended—
(1) by redesignating subparagraph (C) as subparagraph
(D); and
(2) by striking subparagraph (B) and inserting in lieu
thereof the following:
‘‘(B) is designed or used to transport passengers for
compensation, but excluding vehicles providing taxicab
service and having a capacity of not more than 6 passengers
and not operated on a regular route or between specified
places;
‘‘(C) is designed or used to transport more than 15
passengers, including the driver, and is not used to trans-
port passengers for compensation; or’’.
H. R. 2539—118
(g) SAFETY FITNESS
OF OWNERS
AND OPERATORS.—Section
31144 of such title is amended—
(1) in the first sentence of subsection (a) by striking ‘‘In
cooperation with the Interstate Commerce Commission, the’’
and inserting in lieu thereof ‘‘The’’;
(2) in such sentence by striking ‘‘sections 10922 and 10923’’
and inserting in lieu thereof ‘‘section 13902’’;
(3) in subsection (a)(1)(C) by striking ‘‘and the Commission’’;
and
(4) by striking subsection (b) and inserting in lieu thereof
the following:
‘‘(b) FINDINGS AND ACTION ON REGISTRATIONS.—The Secretary
shall find that a person seeking to register as a motor carrier
is unfit if such person does not meet the safety fitness requirements
established under subsection (a) and shall not register such person.’’.
(h) SELF-INSURANCE RULES.—The Secretary of Transportation
shall continue to enforce the rules and regulations of the Interstate
Commerce Commission, as in effect on July 1, 1995, governing
the qualifications for approval of a motor carrier as a self-insurer,
until such time as the Secretary finds it in the public interest
to revise such rules. The revised rules must provide for—
(1) continued ability of motor carriers to qualify as self-
insurers; and
(2) the continued qualification of all carriers then so quali-
fied under the terms and conditions set by the Interstate Com-
merce Commission or Secretary at the time of qualification.
SEC. 105. CREDITABILITY OF ANNUAL LEAVE FOR PURPOSES OF
MEETING MINIMUM ELIGIBILITY REQUIREMENTS FOR AN
IMMEDIATE ANNUITY.
(a) IN GENERAL.—An employee of the Interstate Commerce
Commission who is separated from Government service pursuant
to the abolition of that agency under section 101 shall, upon appro-
priate written application, be given credit, for purposes of determin-
ing eligibility for and computing the amount of any annuity under
subchapter III of chapter 83 or chapter 84 of title 5, United States
Code, for accrued annual leave standing to such employee’s credit
at the time of separation.
(b) LIMITATION AND OTHER CONDITIONS.—Any regulations nec-
essary to carry out this section shall be prescribed by the Office
of Personnel Management. Such regulations shall include provi-
sions—
(1) defining the types of leave for which credit may be
given under this section (such definition to be similar to the
corresponding provisions of the regulations under section
351.608(c)(2) of title 5 of the Code of Federal Regulations,
as in effect on the date of the enactment of this Act);
(2) limiting the amount of accrued annual leave which
may be used for the purposes specified in subsection (a) to
the minimum period of time necessary in order to permit such
employee to attain first eligibility for an immediate annuity
under section 8336, 8412, or 8414 of title 5, United States
Code (in a manner similar to the corresponding provisions
of the regulations referred to in paragraph (1));
(3) under which contributions (or arrangements for the
making of contributions) shall be made so that—
H. R. 2539—119
(A) employee contributions for any period of leave for
which retirement credit may be obtained under this section
shall be made by the employee; and
(B) Government contributions with respect to such
period shall similarly be made by the Interstate Commerce
Commission or other appropriate officer or entity (out of
appropriations otherwise available for such contributions);
and
(4) under which subsection (a) shall not apply with respect
to an employee who declines a reasonable offer of employment
in another position in the Department of Transportation made
under this Act or any amendment made by this Act.
(c) EXTINGUISHMENT OF ELIGIBILITY FOR LUMP-SUM PAYMENT.—
A lump-sum payment under section 5551 of title 5, United States
Code, shall not be payable with respect to any leave for which
retirement credit is obtained under this section.
SEC. 106. PIPELINE CARRIER PROVISIONS.
(a) AMENDMENT TO TITLE 49.—Subtitle IV of title 49, United
States Code, is further amended by adding at the end the following:
‘‘PART C—PIPELINE CARRIERS
‘‘CHAPTER 151—GENERAL PROVISIONS
‘‘CHAPTER 151—GENERAL PROVISIONS
‘‘Sec.
‘‘15101. Transportation policy.
‘‘15102. Definitions.
‘‘15103. Remedies as cumulative.
‘‘§ 15101. Transportation policy
‘‘(a) IN GENERAL.—To ensure the development, coordination,
and preservation of a transportation system that meets the
transportation needs of the United States, including the national
defense, it is the policy of the United States Government to oversee
of the modes of transportation and in overseeing those modes—
‘‘(1) to recognize and preserve the inherent advantage of
each mode of transportation;
‘‘(2) to promote safe, adequate, economical, and efficient
transportation;
‘‘(3) to encourage sound economic conditions in transpor-
tation, including sound economic conditions among carriers;
‘‘(4) to encourage the establishment and maintenance of
reasonable rates for transportation without unreasonable
discrimination or unfair or destructive competitive practices;
‘‘(5) to cooperate with each State and the officials of each
State on transportation matters; and
‘‘(6) to encourage fair wages and working conditions in
the transportation industry.
‘‘(b) ADMINISTRATION TO CARRY OUT POLICY.—This part shall
be administered and enforced to carry out the policy of this section.
‘‘§ 15102. Definitions
‘‘In this part—
‘‘(1) BOARD.—The term ‘Board’ means the Surface Transpor-
tation Board.
‘‘(2) PIPELINE CARRIER.—The term ‘pipeline carrier’ means
a person providing pipeline transportation for compensation.
H. R. 2539—120
‘‘(3) RATE.—The term ‘rate’ means a rate or charge for
transportation.
‘‘(4) STATE.—The term ‘State’ means a State of the United
States and the District of Columbia.
‘‘(5) 
TRANSPORTATION.—The 
term 
‘transportation’
includes—
‘‘(A) property, facilities, instrumentalities, or equip-
ment of any kind related to the movement of property,
regardless of ownership or an agreement concerning use;
and
‘‘(B) services related to that movement, including
receipt, delivery, transfer in transit, storage, handling, and
interchange of property.
‘‘(6) UNITED STATES.—The term ‘United States’ means the
States of the United States and the District of Columbia.
‘‘§ 15103. Remedies as cumulative
‘‘Except as otherwise provided in this part, the remedies pro-
vided under this part are in addition to remedies existing under
another law or common law.
‘‘CHAPTER 153—JURISDICTION
‘‘CHAPTER 153—JURISDICTION
‘‘Sec.
‘‘15301. General pipeline jurisdiction.
‘‘15302. Authority to exempt pipeline carrier transportation.
‘‘§ 15301. General pipeline jurisdiction
‘‘(a) IN GENERAL.—The Board has jurisdiction over transpor-
tation by pipeline, or by pipeline and railroad or water, when
transporting a commodity other than water, gas, or oil. Jurisdiction
under this subsection applies only to transportation in the United
States between a place in—
‘‘(1) a State and a place in another State;
‘‘(2) the District of Columbia and another place in the
District of Columbia;
‘‘(3) a State and a place in a territory or possession of
the United States;
‘‘(4) a territory or possession of the United States and
a place in another such territory or possession;
‘‘(5) a territory or possession of the United States and
another place in the same territory or possession;
‘‘(6) the United States and another place in the United
States through a foreign country; or
‘‘(7) the United States and a place in a foreign country.
‘‘(b) NO JURISDICTION OVER INTRASTATE TRANSPORTATION.—
The Board does not have jurisdiction under subsection (a) over
the transportation of property, or the receipt, delivery, storage,
or handling of property, entirely in a State (other than the District
of Columbia) and not transported between a place in the United
States and a place in a foreign country except as otherwise provided
in this part.
‘‘(c) PROTECTION OF STATES POWERS.—This part does not affect
the power of a State, in exercising its police power, to require
reasonable intrastate transportation by carriers providing transpor-
tation subject to the jurisdiction of the Board under this chapter
H. R. 2539—121
unless the State requirement is inconsistent with an order of the
Board issued under this part or is prohibited under this part.
‘‘§ 15302. Authority to exempt pipeline carrier transportation
‘‘(a) IN GENERAL—In a matter related to a pipeline carrier
providing transportation subject to jurisdiction under this chapter,
the Board shall exempt a person, class of persons, or a transaction
or service when the Board finds that the application, in whole
or in part, of a provision of this part—
‘‘(1) is not necessary to carry out the transportation policy
of section 15101; and
‘‘(2) either (A) the transaction or service is of limited scope,
or (B) the application, in whole or in part, of the provision
is not needed to protect shippers from the abuse of market
power.
‘‘(b) INITIATION OF PROCEEDING.—The Board may, where appro-
priate, begin a proceeding under this section on its own initiative
or an interested party.
‘‘(c) PERIOD OF EXEMPTION.—The Board may specify the period
of time during which an exemption granted under this section
is effective.
‘‘(d) REVOCATION.—The Board may revoke an exemption, to
the extent it specifies, when it finds that application, in whole
or in part, of a provision of this part to the person, class, or
transportation is necessary to carry out the transportation policy
of section 15101.
‘‘CHAPTER 155—RATES
‘‘Sec.
‘‘15501. Standards for pipeline rates, classifications, through routes, rules, and prac-
tices.
‘‘15502. Authority for pipeline carriers to establish rates, classifications, rules, and
practices.
‘‘15503. Authority and criteria: rates, classifications, rules, and practices prescribed
by Board.
‘‘15504. Government traffic.
‘‘15505. Prohibition against discrimination by pipeline carriers.
‘‘15506. Facilities for interchange of traffic.
‘‘§ 15501. Standards 
for 
pipeline 
rates, 
classifications,
through routes, rules, and practices
‘‘(a) REASONABLENESS.—A rate, classification, rule, or practice
related to transportation or service provided by a pipeline carrier
subject to this part must be reasonable. A through route established
by such a carrier must be reasonable.
‘‘(b) 
NONDISCRIMINATION.—A 
pipeline 
carrier 
providing
transportation subject to this part may not discriminate in its
rates against a connecting line of any other pipeline, rail, or water
carrier providing transportation subject to this subtitle or unreason-
ably discriminate against that line in the distribution of traffic
that is not routed specifically by the shipper.
‘‘§ 15502. Authority for pipeline carriers to establish rates,
classifications, rules, and practices
‘‘A pipeline carrier providing transportation or service subject
to this part shall establish—
‘‘(1) rates and classifications for transportation and service
it may provide under this part; and
H. R. 2539—122
‘‘(2) rules and practices on matters related to that transpor-
tation or service.
‘‘§ 15503. Authority and criteria: rates, classifications, rules,
and practices prescribed by Board
‘‘(a) IN GENERAL.—When the Board, after a full hearing, decides
that a rate charged or collected by a pipeline carrier for transpor-
tation subject to this part, or that a classification, rule, or practice
of that carrier, does or will violate this part, the Board may pre-
scribe the rate, classification, rule, or practice to be followed. In
prescribing the rate, classification, rule, or practice, the Board may
utilize rate reasonableness procedures that provide an effective
simulation of a market-based price for a stand alone pipeline.
The Board may order the carrier to stop the violation. When a
rate, classification, rule, or practice is prescribed under this sub-
section, the affected carrier may not publish, charge, or collect
a different rate and shall adopt the classification and observe the
rule or practice prescribed by the Board.
‘‘(b) FACTORS TO CONSIDER.—When prescribing a rate, classi-
fication, rule, or practice for transportation or service by a pipeline
carrier, the Board shall consider, among other factors—
‘‘(1) the effect of the prescribed rate, classification, rule,
or practice on the movement of traffic by that carrier;
‘‘(2) the need for revenues that are sufficient, under honest,
economical, and efficient management, to let the carrier provide
that transportation or service; and
‘‘(3) the availability of other economic transportation alter-
natives.
‘‘(c) PROCEEDING.—The Board may begin a proceeding under
this section on complaint. A complaint under this section must
contain a full statement of the facts and the reasons for the com-
plaint and must be made under oath.
‘‘§ 15504. Government traffic
‘‘A pipeline carrier providing transportation or service for the
United States Government may transport property for the United
States Government without charge or at a rate reduced from the
applicable commercial rate. Section 3709 of the Revised Statutes
(41 U.S.C. 5) does not apply when transportation for the United
States Government can be obtained from a carrier lawfully operat-
ing in the area where the transportation would be provided.
‘‘§ 15505. Prohibition against discrimination by pipeline car-
riers
A pipeline carrier providing transportation or service subject
to this part may not subject a person, place, port, or type of
traffic to unreasonable discrimination.
‘‘§ 15506. Facilities for interchange of traffic
‘‘A pipeline carrier providing transportation subject to this part
shall provide reasonable, proper, and equal facilities that are within
its power to provide for the interchange of traffic between, and
for the receiving, forwarding, and delivering of property to and
from, its respective line and a connecting line of a pipeline, rail,
or water carrier under this subtitle.
H. R. 2539—123
‘‘CHAPTER 157—OPERATIONS OF CARRIERS
‘‘CHAPTER 157—OPERATIONS OF CARRIERS
‘‘SUBCHAPTER A—GENERAL REQUIREMENTS
‘‘Sec.
‘‘15701. Providing transportation and service.
‘‘SUBCHAPTER B—OPERATIONS OF CARRIERS
‘‘15721. Definitions.
‘‘15722. Records: form; inspection; preservation.
‘‘15723. Reports by carriers, lessors, and associations.
‘‘SUBCHAPTER A—GENERAL REQUIREMENTS
‘‘§ 15701. Providing transportation and service
‘‘(a) SERVICE
ON REASONABLE REQUEST.—A pipeline carrier
providing transportation or service under this part shall provide
the transportation or service on reasonable request.
‘‘(b) RATES AND OTHER TERMS.—A pipeline carrier shall also
provide to any person, on request, the carrier’s rates and other
service terms. The response by a pipeline carrier to a request
for the carrier’s rates and other service terms shall be—
‘‘(1) in writing and forwarded to the requesting person
promptly after receipt of the request; or
‘‘(2) promptly made available in electronic form.
‘‘(c) LIMITATION ON RATE INCREASES AND CHANGES TO SERVICE
TERMS.—A pipeline carrier may not increase any common carrier
rates or change any common carrier service terms unless 20 days
have expired after written or electronic notice is provided to any
person who, within the previous 12 months—
‘‘(1) has requested such rates or terms under subsection
(b); or
‘‘(2) has made arrangements with the carrier for a shipment
that would be subject to such increased rates or changed terms.
‘‘(d) PROVISION OF SERVICE.—A pipeline carrier shall provide
transportation or service in accordance with the rates and service
terms, and any changes thereto, as published or otherwise made
available under subsection (b) or (c).
‘‘(e) REGULATIONS.—The Board shall, by regulation, establish
rules to implement this section. The regulations shall provide for
immediate disclosure and dissemination of rates and service terms,
including classifications, rules, and practices, and their effective
dates. The regulations may modify the 20-day period specified in
subsection (c). Final regulations shall be adopted by the Board
not later than 180 days after the effective date of this section.
‘‘SUBCHAPTER B—OPERATIONS OF CARRIERS
‘‘§ 15721. Definitions
‘‘In this subchapter, the following definitions apply:
‘‘(1) CARRIER, LESSOR.—The terms ‘carrier’ and ‘lessor’
include a receiver or trustee of a pipeline carrier and lessor,
respectively.
‘‘(2) LESSOR.—The term ‘lessor’ means a person owning
a pipeline that is leased to and operated by a carrier providing
transportation under this part.
‘‘(3) ASSOCIATION.—The term ‘association’ means an
organization maintained by or in the interest of a group of
H. R. 2539—124
pipeline carriers that performs a service, or engages in activi-
ties, related to transportation under this part.
‘‘§ 15722. Records: form; inspection; preservation
‘‘(a) FORM OF RECORDS.—The Board may prescribe the form
of records required to be prepared or compiled under this subchapter
by pipeline carriers and lessors, including records related to move-
ment of traffic and receipts and expenditures of money.
‘‘(b) INSPECTION.—The Board, or an employee designated by
the Board, may on demand and display of proper credentials—
‘‘(1) inspect and examine the lands, buildings, and equip-
ment of a pipeline carrier or lessor; and
‘‘(2) inspect and copy any record of—
‘‘(A) a pipeline carrier, lessor, or association; and
‘‘(B) a person controlling, controlled by, or under com-
mon control with a pipeline carrier if the Board considers
inspection relevant to that person’s relation to, or trans-
action with, that carrier.
‘‘(c) PRESERVATION PERIOD.—The Board may prescribe the time
period during which operating, accounting, and financial records
must be preserved by pipeline carriers and lessors.
‘‘§ 15723. Reports by carriers, lessors, and associations
‘‘(a) FILING OF REPORTS.—The Board may require pipeline car-
riers, lessors, and associations, or classes of them as the Board
may prescribe, to file annual, periodic, and special reports with
the Board containing answers to questions asked by it.
‘‘(b) UNDER OATH.—Any report under this section shall be made
under oath.
‘‘CHAPTER 159—ENFORCEMENT: INVESTIGATIONS,
RIGHTS, AND REMEDIES
‘‘CHAPTER 159—ENFORCEMENT: INVESTIGATIONS, RIGHTS, AND
REMEDIES
‘‘Sec.
‘‘15901. General authority.
‘‘15902. Enforcement by the Board.
‘‘15903. Enforcement by the Attorney General.
‘‘15904. Rights and remedies of persons injured by certain carriers.
‘‘15905. Limitation on actions by and against pipeline carriers.
‘‘15906. Liability of pipeline carriers under receipts and bills of lading.
‘‘15907. Liability when property is delivered in violation of routing instructions.
‘‘§ 15901. General authority
‘‘(a) INVESTIGATION; COMPLIANCE ORDER.—Except as otherwise
provided in this part, the Board may begin an investigation under
this part only on complaint. If the Board finds that a pipeline
carrier is violating this part, the Board shall take appropriate
action to compel compliance with this part. The Board shall provide
the carrier notice of the investigation and an opportunity for a
proceeding.
‘‘(b) COMPLAINT.—A person, including a governmental author-
ity, may file with the Board a complaint about a violation of this
part by a pipeline carrier providing transportation or service subject
to this part. The complaint must state the facts that are the
subject of the violation. The Board may dismiss a complaint it
determines does not state reasonable grounds for investigation and
action. However, the Board may not dismiss a complaint made
H. R. 2539—125
against a pipeline carrier providing transportation subject to this
part because of the absence of direct damage to the complainant.
‘‘(c) AUTOMATIC DISMISSAL.—A formal investigative proceeding
begun by the Board under subsection (a) is dismissed automatically
unless it is concluded by the Board with administrative finality
by the end of the 3d year after the date on which it was begun.
‘‘§ 15902. Enforcement by the Board
‘‘The Board may bring a civil action to enforce an order of
the Board, except a civil action to enforce an order for the payment
of money, when it is violated by a pipeline carrier providing
transportation subject to this part.
‘‘§ 15903. Enforcement by the Attorney General
‘‘(a) ON BEHALF OF BOARD.—The Attorney General may, and
on request of the Board shall, bring court proceedings to enforce
this part or a regulation or order of the Board and to prosecute
a person violating this part or a regulation or order of the Board
issued under this part.
‘‘(b) ON BEHALF OF OTHERS.—The United States Government
may bring a civil action on behalf of a person to compel a pipeline
carrier providing transportation or service subject to this part to
provide that transportation or service to that person in compliance
with this part at the same rate charged, or on conditions as favor-
able as those given by the carrier, for like traffic under similar
conditions to another person.
‘‘§ 15904. Rights and remedies of persons injured by pipeline
carriers
‘‘(a) ENFORCEMENT OF ORDERS.—A person injured because a
pipeline carrier providing transportation or service subject to this
part does not obey an order of the Board, except an order for
the payment of money, may bring a civil action to enforce that
order under this subsection.
‘‘(b) LIABILITY OF CARRIER.—
‘‘(1) EXCESSIVE
CHARGES.—A pipeline carrier providing
transportation subject to this part is liable to a person for
amounts charged that exceed the applicable rate for the
transportation.
‘‘(2) DAMAGES.—A pipeline carrier providing transportation
subject to this part is liable for damages sustained by a person
as a result of an act or omission of that carrier in violation
of this part.
‘‘(c) COMPLAINTS.—
‘‘(1) FILING.—A person may file a complaint with the Board
under section 11501(b) or bring a civil action under subsection
(b) to enforce liability against a pipeline carrier providing
transportation subject to this part.
‘‘(2) PAYMENT DEADLINE.—When the Board makes an award
under subsection (b), the Board shall order the carrier to pay
the amount awarded by a specific date. The Board may order
a carrier providing transportation subject to this part to pay
damages only when the proceeding is on complaint. The person
for whose benefit an order of the Board requiring the payment
of money is made may bring a civil action to enforce that
order under this paragraph if the carrier does not pay the
amount awarded by the date payment was ordered to be made.
H. R. 2539—126
‘‘(d) CIVIL ACTIONS.—
‘‘(1) COMPLAINT.—When a person begins a civil action under
subsection (b) to enforce an order of the Board requiring the
payment of damages by a pipeline carrier providing transpor-
tation subject to this part, the text of the order of the Board
must be included in the complaint. In addition to the district
courts of the United States, a State court of general jurisdiction
having jurisdiction of the parties has jurisdiction to enforce
an order under this paragraph. The findings and order of the
Board are competent evidence of the facts stated in them.
Trial in a civil action brought in a district court of the United
States under this paragraph is in the judicial district in which
the plaintiff resides or in which the principal operating office
of the carrier is located. In a civil action under this paragraph,
the plaintiff is liable for only those costs that accrue on an
appeal taken by the plaintiff.
‘‘(2) ATTORNEY’S FEES.—The district court shall award a
reasonable attorney’s fee as a part of the damages for which
a carrier is found liable under this subsection. The district
court shall tax and collect that fee as a part of the costs
of the action.
‘‘§ 15905. Limitation on actions by and against pipeline car-
riers
‘‘(a) IN GENERAL.—A pipeline carrier providing transportation
or service subject to this part must begin a civil action to recover
charges for transportation or service provided by the carrier within
3 years after the claim accrues.
‘‘(b) OVERCHARGES.—A person must begin a civil action to
recover overcharges under section 15904(b)(1) within 3 years after
the claim accrues. If an election to file a complaint with the Board
is made under section 15904(c)(1), the complaint must be filed
within 3 years after the claim accrues.
‘‘(c) DAMAGES.—A person must file a complaint with the Board
to recover damages under section 15904(b)(2) within 2 years after
the claim accrues.
‘‘(d) EXTENSIONS.—The limitation periods under subsection (b)
are extended for 6 months from the time written notice is given
to the claimant by the carrier of disallowance of any part of the
claim specified in the notice if a written claim is given to the
carrier within those limitation periods. The limitation periods under
subsection (b) and the 2-year period under subsection (c) are
extended for 90 days from the time the carrier begins a civil
action under subsection (a) to recover charges related to the same
transportation or service, or collects (without beginning a civil action
under that subsection) the charge for that transportation or service
if that action is begun or collection is made within the appropriate
period.
‘‘(e) PAYMENT.—A person must begin a civil action to enforce
an order of the Board against a carrier for the payment of money
within one year after the date the order required the money to
be paid.
‘‘(f) GOVERNMENT TRANSPORTATION.—This section applies to
transportation for the United States Government. The time limita-
tions under this section are extended, as related to transportation
for or on behalf of the United States Government, for 3 years
from the date of—
H. R. 2539—127
‘‘(1) payment of the rate for the transportation or service
involved,
‘‘(2) subsequent refund for overpayment of that rate, or
‘‘(3) deduction made under section 3726 of title 31,
whichever is later.
‘‘(g) ACCRUAL DATE.—A claim related to a shipment of property
accrues under this section on delivery or tender of delivery by
the carrier.
‘‘§ 15906. Liability of pipeline carriers under receipts and
bills of lading
‘‘(a) GENERAL LIABILITY.—A pipeline carrier providing transpor-
tation or service subject to this part shall issue a receipt or bill
of lading for property it receives for transportation under this
part. That carrier and any other carrier that delivers the property
and is providing transportation or service subject to jurisdiction
under this part are liable to the person entitled to recover under
the receipt or bill of lading. The liability imposed under this sub-
section is for the actual loss or injury to the property caused
by the carrier over whose line or route the property is transported
in the United States or from a place in the United States to
a place in an adjacent foreign country when transported under
a through bill of lading. Failure to issue a receipt or bill of lading
does not affect the liability of a carrier.
‘‘(b) APPORTIONMENT.—The carrier issuing the receipt or bill
of lading under subsection (a) or delivering the property for which
the receipt or bill of lading was issued is entitled to recover from
the carrier over whose line or route the loss or injury occurred
the amount required to be paid to the owners of the property,
as evidenced by a receipt, judgment, or transcript, and the amount
of its expenses reasonably incurred in defending a civil action
brought by that person.
‘‘(c) CIVIL ACTIONS.—A civil action under this section may be
brought against a delivering carrier in a district court of the United
States or in a State court. Trial, if the action is brought in a
district court of the United States is in a judicial district, and
if in a State court, is in a State, through which the defendant
carrier operates a line or route.
‘‘(d) MINIMUM PERIOD FOR FILING CLAIMS.—A pipeline carrier
may not provide by rule, contract, or otherwise, a period of less
than 9 months for filing a claim against it under this section
and a period of less than 2 years for bringing a civil action against
it under this section. The period for bringing a civil action is
computed from the date the carrier gives a person written notice
that the carrier has disallowed any part of the claim specified
in the notice. For the purposes of this subsection—
‘‘(1) an offer of compromise shall not constitute a disallow-
ance of any part of the claim unless the carrier, in writing,
informs the claimant that such part of the claim is disallowed
and provides reasons for such disallowance; and
‘‘(2) communications received from a carrier’s insurer shall
not constitute a disallowance of any part of the claim unless
the insurer, in writing, informs the claimant that such part
of the claim is disallowed, provides reasons for such disallow-
ance, and informs the claimant that the insurer is acting on
behalf of the carrier.
H. R. 2539—128
‘‘CHAPTER 161—CIVIL AND CRIMINAL PENALTIES
‘‘CHAPTER 161—CIVIL AND CRIMINAL PENALTIES
‘‘Sec.
‘‘16101. General civil penalties.
‘‘16102. Recordkeeping and reporting violations.
‘‘16103. Unlawful disclosure of information.
‘‘16104. Disobedience to subpenas.
‘‘16105. General criminal penalty when specific penalty not provided.
‘‘16106. Punishment of corporation for violations committed by certain individuals.
‘‘§ 16101. General civil penalties
‘‘(a) GENERAL.—Except as otherwise provided in this section,
a pipeline carrier providing transportation subject to this part,
an officer or agent of that carrier, or a receiver, trustee, lessee,
or agent of one of them, knowingly violating this part or an order
of the Board under this part is liable to the United States for
a civil penalty of not more than $5,000 for each violation. Liability
under this subsection is incurred for each distinct violation. A
separate violation occurs for each day the violation continues.
‘‘(b) RECORDKEEPING AND REPORTING.—
‘‘(1) RECORDS.—A person required under chapter 157 to
make, prepare, preserve, or submit to the Board a record
concerning transportation subject to this part that does not
make, prepare, preserve, or submit that record as required
under that chapter, is liable to the United States for a civil
penalty of $500 for each violation.
‘‘(2) INSPECTION.—A carrier providing transportation sub-
ject to this part, and a lessor, receiver, or trustee of that
carrier, violating section 15722, is liable to the United States
for a civil penalty of $100 for each violation.
‘‘(3) REPORTS.—A carrier providing transportation subject
to the jurisdiction of the Board under this part, a lessor,
receiver, or trustee of that carrier, and an officer, agent, or
employee of one of them, required to make a report to the
Board or answer a question that does not make the report
or does not specifically, completely, and truthfully answer the
question, is liable to the United States for a civil penalty
of $100 for each violation.
‘‘(4) CONTINUED
VIOLATION.—A separate violation occurs
for each day violation under this subsection continues.
‘‘(d) VENUE.—Trial in a civil action under this section is in
the judicial district in which the carrier has its principal operating
office.
‘‘§ 16102. Recordkeeping and reporting violations
‘‘A person required to make a report to the Board, or make,
prepare, or preserve a record, under chapter 157 about transpor-
tation subject to this part that knowingly and willfully—
‘‘(1) makes a false entry in the report or record,
‘‘(2) destroys, mutilates, changes, or by another means fal-
sifies the record,
‘‘(3) does not enter business related facts and transactions
in the record,
‘‘(4) makes, prepares, or preserves the record in violation
of a regulation or order of the Board, or
‘‘(5) files a false report or record with the Board,
shall be fined under title 18 or imprisoned not more than 2 years,
or both.
H. R. 2539—129
‘‘§ 16103. Unlawful disclosure of information
‘‘(a) GENERAL
PROHIBITION.—A pipeline carrier providing
transportation subject to this part, or an officer, agent, or employee
of that carrier, or another person authorized to receive information
from that carrier, that knowingly discloses to another person, except
the shipper or consignee, or a person who solicits or knowingly
receives information about the nature, kind, quantity, destination,
consignee, or routing of property tendered or delivered to that
carrier for transportation provided under this part without the
consent of the shipper or consignee, if that information may be
used to the detriment of the shipper or consignee or may disclose
improperly, to a competitor the business transactions of the shipper
or consignee, is liable to the United States for a civil penalty
of not more than $1,000.
‘‘(b) LIMITATION ON STATUTORY CONSTRUCTION.—This part does
not prevent a pipeline carrier providing transportation under this
part from giving information—
‘‘(1) in response to legal process issued under authority
of a court of the United States or a State;
‘‘(2) to an officer, employee, or agent of the United States
Government, a State, or a territory or possession of the United
States; or
‘‘(3) to another carrier or its agent to adjust mutual traffic
accounts in the ordinary course of business.
‘‘(c) BOARD EMPLOYEE.—An employee of the Board delegated
to make an inspection or examination under section 15722 who
knowingly discloses information acquired during that inspection
or examination, except as directed by the Board, a court, or a
judge of that court, shall be fined under title 18 or imprisoned
for not more than 6 months, or both.
‘‘§ 16104. Disobedience to subpenas
‘‘Whoever does not obey a subpena or requirement of the Board
to appear and testify or produce records shall be fined under title
18 or imprisoned not more than 1 year, or both.
‘‘§ 16105. General criminal penalty when specific penalty not
provided
‘‘When another criminal penalty is not provided under this
chapter, a pipeline carrier providing transportation subject to this
part, and when that carrier is a corporation, a director or officer
of the corporation, or a receiver, trustee, lessee, or person acting
for or employed by the corporation that, alone or with another
person, willfully violates this part or an order prescribed under
this part, shall be fined under title 18 or imprisoned not more
than 2 years, or both. A separate violation occurs each day a
violation of this part continues.
‘‘§ 16106. Punishment of corporation for violations committed
by certain individuals
‘‘An act or omission that would be a violation of this subtitle
if committed by a director, officer, receiver, trustee, lessee, agent,
or employee of a pipeline carrier providing transportation or service
subject to this part that is a corporation is also a violation of
this part by that corporation. The penalties of this chapter apply
to that violation. When acting in the scope of their employment,
the actions and omissions of individuals acting for or employed
H. R. 2539—130
by that carrier are considered to be the actions and omissions
of that carrier as well as that individual.’’.
(b) GAO REPORT.—Within 3 years after the effective date of
this Act, the Comptroller General shall transmit to the Committee
on Commerce, Science, and Transportation of the Senate and the
Committee on Transportation and Infrastructure of the House of
Representatives a report regarding the impact of regulations under
part C of title 49, United States Code, on the competitiveness
of pipelines and recommend whether to continue, revise, or sunset
such regulations. Congress shall take into account the findings
of this report when considering the Board’s reauthorization.
TITLE II—SURFACE TRANSPORTATION
BOARD
SEC. 201. TITLE 49 AMENDMENT.
(a) AMENDMENT.—Subtitle I of title 49, United States Code,
is amended by adding at the end the following new chapter:
‘‘CHAPTER 7—SURFACE TRANSPORTATION BOARD
‘‘SUBCHAPTER I—ESTABLISHMENT
‘‘Sec.
‘‘701. Establishment of Board.
‘‘702. Functions.
‘‘703. Administrative provisions.
‘‘704. Annual report.
‘‘705. Authorization of appropriations.
‘‘706. Reporting official action.
‘‘SUBCHAPTER II—ADMINISTRATIVE
‘‘721. Powers.
‘‘722. Board action.
‘‘723. Service of notice in Board proceedings.
‘‘724. Service of process in court proceedings.
‘‘725. Administrative support.
‘‘726. Railroad-Shipper Transportation Advisory Council.
‘‘727. Definitions.
‘‘SUBCHAPTER I—ESTABLISHMENT
‘‘§ 701. Establishment of Board
‘‘(a) ESTABLISHMENT.—There is hereby established within the
Department of Transportation the Surface Transportation Board.
‘‘(b) MEMBERSHIP.—(1) The Board shall consist of 3 members,
to be appointed by the President, by and with the advice and
consent of the Senate. Not more than 2 members may be appointed
from the same political party.
‘‘(2) At any given time, at least 2 members of the Board shall
be individuals with professional standing and demonstrated knowl-
edge in the fields of transportation or transportation regulation,
and at least one member shall be an individual with professional
or business experience (including agriculture) in the private sector.
‘‘(3) The term of each member of the Board shall be 5 years
and shall begin when the term of the predecessor of that member
ends. An individual appointed to fill a vacancy occurring before
the expiration of the term for which the predecessor of that individ-
ual was appointed, shall be appointed for the remainder of that