‘‘(A) the standards of section 24312 of this 
title, as such section was in effect on September 
1, 2003, with respect to the project in the same 
manner that the National Railroad Passenger 
Corporation is required to comply with those 
standards for construction work financed under 
an agreement made under section 24308(a) of 
this title; and 
‘‘(B) the protective arrangements estab-
lished under section 504 of the Railroad Revi-
talization and Regulatory Reform Act of 1976 
(45 U.S.C. 836) with respect to employees af-
fected by actions taken in connection with the 
project to be financed in whole or in part by 
grants under this chapter. 
‘‘(d) REPLACEMENT OF EXISTING INTERCITY PAS-
SENGER RAIL SERVICE.— 
‘‘(1) COLLECTIVE
BARGAINING
AGREEMENT 
FOR INTERCITY PASSENGER RAIL PROJECTS.—Any 
entity providing intercity passenger railroad trans-
portation that begins operations after the date of en-
actment of this chapter on a project funded in whole 
or in part by grants made under this chapter and 
replaces intercity rail passenger service that was 
provided by Amtrak, unless such service was pro-
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vided solely by Amtrak to another entity, as of such 
date shall enter into an agreement with the author-
ized bargaining agent or agents for adversely af-
fected employees of the predecessor provider that— 
‘‘(A) gives each such qualified employee of 
the predecessor provider priority in hiring ac-
cording to the employee’s seniority on the pred-
ecessor provider for each position with the re-
placing entity that is in the employee’s craft or 
class and is available within 3 years after the 
termination of the service being replaced; 
‘‘(B) establishes a procedure for notifying 
such an employee of such positions; 
‘‘(C) establishes a procedure for such an 
employee to apply for such positions; and 
‘‘(D) establishes rates of pay, rules, and 
working conditions. 
‘‘(2) IMMEDIATE REPLACEMENT SERVICE.— 
‘‘(A) NEGOTIATIONS.—If the replacement 
of preexisting intercity rail passenger service oc-
curs concurrent with or within a reasonable 
time before the commencement of the replacing 
entity’s rail passenger service, the replacing en-
tity shall give written notice of its plan to re-
place existing rail passenger service to the au-
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thorized collective bargaining agent or agents 
for the potentially adversely affected employees 
of the predecessor provider at least 90 days be-
fore the date on which it plans to commence 
service. Within 5 days after the date of receipt 
of such written notice, negotiations between the 
replacing entity and the collective bargaining 
agent or agents for the employees of the prede-
cessor provider shall commence for the purpose 
of reaching agreement with respect to all mat-
ters set forth in subparagraphs (A) through (D) 
of paragraph (1). The negotiations shall con-
tinue for 30 days or until an agreement is 
reached, whichever is sooner. If at the end of 
30 days the parties have not entered into an 
agreement with respect to all such matters, the 
unresolved issues shall be submitted for arbitra-
tion in accordance with the procedure set forth 
in subparagraph (B). 
‘‘(B) ARBITRATION.—If an agreement has 
not been entered into with respect to all mat-
ters set forth in subparagraphs (A) through (D) 
of paragraph (1) as described in subparagraph 
(A) of this paragraph, the parties shall select 
an arbitrator. If the parties are unable to agree 
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upon the selection of such arbitrator within 5 
days, either or both parties shall notify the Na-
tional Mediation Board, which shall provide a 
list of seven arbitrators with experience in arbi-
trating rail labor protection disputes. Within 5 
days after such notification, the parties shall al-
ternately strike names from the list until only 
1 name remains, and that person shall serve as 
the neutral arbitrator. Within 45 days after se-
lection of the arbitrator, the arbitrator shall 
conduct a hearing on the dispute and shall 
render a decision with respect to the unresolved 
issues among the matters set forth in subpara-
graphs (A) through (D) of paragraph (1). This 
decision shall be final, binding, and conclusive 
upon the parties. The salary and expenses of 
the arbitrator shall be borne equally by the par-
ties; all other expenses shall be paid by the 
party incurring them. 
‘‘(3) SERVICE
COMMENCEMENT.—A replacing 
entity under this subsection shall commence service 
only after an agreement is entered into with respect 
to the matters set forth in subparagraphs (A) 
through (D) of paragraph (1) or the decision of the 
arbitrator has been rendered. 
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‘‘(4) SUBSEQUENT
REPLACEMENT
OF
SERV-
ICE.—If the replacement of existing rail passenger 
service takes place within 3 years after the replacing 
entity commences intercity passenger rail service, 
the replacing entity and the collective bargaining 
agent or agents for the adversely affected employees 
of the predecessor provider shall enter into an agree-
ment with respect to the matters set forth in sub-
paragraphs (A) through (D) of paragraph (1). If the 
parties have not entered into an agreement with re-
spect to all such matters within 60 days after the 
date on which the replacing entity replaces the pred-
ecessor provider, the parties shall select an arbi-
trator using the procedures set forth in paragraph 
(2)(B), who shall, within 20 days after the com-
mencement of the arbitration, conduct a hearing and 
decide all unresolved issues. This decision shall be 
final, binding, and conclusive upon the parties. 
‘‘(e) INAPPLICABILITY
TO CERTAIN RAIL OPER-
ATIONS.—Nothing in this section applies to— 
‘‘(1) commuter rail passenger transportation 
(as defined in section 24102(4) of this title) oper-
ations of a State or local government authority (as 
those terms are defined in section 5302(11) and (6), 
respectively, of this title) eligible to receive financial 
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assistance under section 5307 of this title, or to its 
contractor performing services in connection with 
commuter rail passenger operations (as so defined); 
‘‘(2) the Alaska Railroad or its contractors; 
‘‘(3) the National Railroad Passenger Corpora-
tion’s access rights to railroad rights-of-way and fa-
cilities under current law; or 
‘‘(4) high-speed rail corridors.’’. 
(b) CONFORMING AMENDMENTS.—(1) The table of 
chapters for title 49, United States Code, is amended by 
inserting the following after the item relating to chapter 
243: 
‘‘244. 
Intercity passenger rail service corridor capital 
assistance ..................................................................24401’’. 
(2) The chapter analysis for subtitle V of such title 
is amended by inserting the following after the item relat-
ing to chapter 243: 
‘‘244. 
Intercity passenger rail service corridor capital 
assistance ..................................................................24401’’. 
SEC. 5. STATE RAIL PLANS. 
(a) IN GENERAL.—Part B of subtitle V of title 49, 
United States Code, is amended by adding at the end the 
following: 
‘‘CHAPTER 225—STATE RAIL PLANS AND 
HIGH PRIORITY PROJECTS 
‘‘Sec. 
‘‘22501. Definitions. 
‘‘22502. Authority. 
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‘‘22503. Purposes. 
‘‘22504. Transparency; coordination; review. 
‘‘22505. Content. 
‘‘22506. Review. 
‘‘§ 22501. Definitions 
‘‘In this chapter: 
‘‘(1) PRIVATE BENEFIT.— 
‘‘(A) IN
GENERAL.—The term ‘private 
benefit’— 
‘‘(i) means a benefit accrued to a per-
son or private entity, other than the Na-
tional Railroad Passenger Corporation, 
that directly improves the economic and 
competitive condition of that person or en-
tity through improved assets, cost reduc-
tions, service improvements, or any other 
means as defined by the Secretary; and 
‘‘(ii) shall be determined on a project- 
by-project basis, based upon an agreement 
between the parties. 
‘‘(B) CONSULTATION.—The Secretary may 
seek the advice of the States and rail carriers 
in further defining this term. 
‘‘(2) PUBLIC BENEFIT.— 
‘‘(A) IN GENERAL.—The term ‘public ben-
efit’— 
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‘‘(i) means a benefit accrued to the 
public in the form of enhanced mobility of 
people or goods, environmental protection 
or enhancement, congestion mitigation, en-
hanced trade and economic development, 
improved air quality or land use, more effi-
cient energy use, enhanced public safety or 
security, reduction of public expenditures 
due to improved transportation efficiency 
or infrastructure preservation, and any 
other positive community effects as defined 
by the Secretary; and 
‘‘(ii) shall be determined on a project- 
by-project basis, based upon an agreement 
between the parties. 
‘‘(B) CONSULTATION.—The Secretary may 
seek the advice of the States and rail carriers 
in further defining this term. 
‘‘(3) STATE.—The term ‘State’ means any of 
the 50 States and the District of Columbia. 
‘‘(4) STATE
RAIL
TRANSPORTATION
AUTHOR-
ITY.—The term ‘State rail transportation authority’ 
means the State agency or official responsible under 
the direction of the Governor of the State or a State 
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law for preparation, maintenance, coordination, and 
administration of the State rail plan. 
‘‘§ 22502. Authority 
‘‘(a) IN GENERAL.—Each State may prepare and 
maintain a State rail plan in accordance with the provi-
sions of this chapter. 
‘‘(b) REQUIREMENTS.—For the preparation and peri-
odic revision of a State rail plan, a State shall— 
‘‘(1) establish or designate a State rail trans-
portation authority to prepare, maintain, coordinate, 
and administer the plan; 
‘‘(2) establish or designate a State rail plan ap-
proval authority to approve the plan; 
‘‘(3) submit the State’s approved plan to the 
Secretary of Transportation for review; and 
‘‘(4) revise and resubmit a State-approved plan 
no less frequently than once every 5 years for re-
approval by the Secretary. 
‘‘§ 22503. Purposes 
‘‘(a) PURPOSES.—The purposes of a State rail plan 
are as follows: 
‘‘(1) To set forth State policy involving freight 
and passenger rail transportation, including com-
muter rail operations, in the State. 
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‘‘(2) To establish the period covered by the 
State rail plan. 
‘‘(3) To present priorities and strategies to en-
hance rail service in the State that benefits the pub-
lic. 
‘‘(4) To serve as the basis for Federal and 
State rail investments within the State. 
‘‘(b) COORDINATION.—A State rail plan shall be co-
ordinated with other State transportation planning goals 
and programs and set forth rail transportation’s role with-
in the State transportation system. 
‘‘§ 22504. Transparency; coordination; review 
‘‘(a) PREPARATION.—A State shall provide adequate 
and reasonable notice and opportunity for comment and 
other input to the public, rail carriers, commuter and tran-
sit authorities operating in, or affected by rail operations 
within the State, units of local government, and other in-
terested parties in the preparation and review of its State 
rail plan. 
‘‘(b) 
INTERGOVERNMENTAL
COORDINATION.—A 
State shall review the freight and passenger rail service 
activities and initiatives by regional planning agencies, re-
gional transportation authorities, and municipalities with-
in the State, or in the region in which the State is located, 
while preparing the plan, and shall include any rec-
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ommendations made by such agencies, authorities, and 
municipalities as deemed appropriate by the State. 
‘‘§ 22505. Content 
‘‘(a) IN GENERAL.—Each State rail plan shall con-
tain the following: 
‘‘(1) An inventory of the existing overall rail 
transportation system and rail services and facilities 
within the State and an analysis of the role of rail 
transportation within the State’s surface transpor-
tation system. 
‘‘(2) A review of all rail lines within the State, 
including proposed high-speed rail corridors and sig-
nificant rail line segments not currently in service. 
‘‘(3) A statement of the State’s passenger rail 
service objectives, including minimum service levels, 
for rail transportation routes in the State. 
‘‘(4) A general analysis of rail’s transportation, 
economic, and environmental impacts in the State, 
including congestion mitigation, trade and economic 
development, air quality, land use, energy use, and 
community impacts. 
‘‘(5) A long-range rail investment program for 
current and future freight and passenger infrastruc-
ture in the State that meets the requirements of 
subsection (b). 
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‘‘(6) A statement of public financing issues for 
rail projects and service in the State, including a list 
of current and prospective public capital and oper-
ating funding resources, public subsidies, State tax-
ation, and other financial policies relating to rail in-
frastructure development. 
‘‘(7) An identification of rail infrastructure 
issues within the State that reflects consultation 
with all relevant stakeholders. 
‘‘(8) A review of major passenger and freight 
intermodal rail connections and facilities within the 
State, including seaports, and prioritized options to 
maximize service integration and efficiency between 
rail and other modes of transportation within the 
State. 
‘‘(9) A review of publicly funded projects within 
the State to improve rail transportation safety and 
security, including all major projects funded under 
section 130 of title 23. 
‘‘(10) A performance evaluation of passenger 
rail services operating in the State, including pos-
sible improvements in those services, and a descrip-
tion of strategies to achieve those improvements. 
‘‘(11) A compilation of studies and reports on 
high-speed rail corridor development within the 
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