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ations or schedule reliability: Provided further, That the 
capital plan shall identify the priority for each capital 
project in rank order, based upon a scenario for the Amtrak 
system as presently configured, a scenario under which the 
Corporation operates a system that can be sustained over 
the long-term with an annual level of Federal support equal 
to that which the Corporation receives under this Act and 
any other scenario the Secretary deems appropriate. 
EFFICIENCY INCENTIVE GRANTS TO THE NATIONAL 
RAILROAD PASSENGER CORPORATION 
(INCLUDING TRANSFER OF FUNDS) 
For an additional amount made available to the Sec-
retary of Transportation for efficiency incentive grants to 
the 
National 
Railroad 
Passenger 
Corporation, 
$650,000,000, to remain available until expended: Pro-
vided, That the Secretary may make grants to the National 
Railroad Passenger Corporation for an additional sum for 
operating subsidies at any time during the fiscal year for 
the purpose of maintaining the operation of existing or new 
Amtrak routes: Provided further, That nothing in the pre-
vious proviso should be interpreted to either encourage or 
discourage the Corporation with respect to adjusting exist-
ing routes or frequencies: Provided further, That the Sec-
retary of Transportation shall reserve $60,000,000 of the 
funds provided under this heading and is authorized to 
transfer such sums to the Surface Transportation Board,
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upon request from said Board, to carry out directed service 
orders issued pursuant to section 11123 of title 49, United 
States Code, to respond to the cessation of commuter rail 
operations by the National Railroad Passenger Corpora-
tion: Provided further, That the Secretary of Transpor-
tation shall make the reserve funds available to the National 
Railroad Passenger Corporation through an appropriate 
grant instrument not earlier than September 1, 2007, to 
the extent that no directed service orders have been issued 
by the Surface Transportation Board as of the date of 
transfer or there is a balance of reserve funds not needed 
by the Board to pay for any directed service order issued 
through September 30, 2007: Provided further, That as a 
condition of accepting any grant under this heading, the 
Secretary of Transportation shall require the Corporation 
to undertake a pilot program subject to such terms, condi-
tions and schedule as the Secretary deems appropriate to 
permit a State or States to assume the responsibility for 
intercity passenger rail service on a specific train, route 
or corridor that results in a measurable reduction in the 
amount of Federal subsidy required to provide such service: 
Provided further, That such service shall be provided 
through a contract between the State and the Corporation 
under which the Corporation provides only those functions 
requested by the State: Provided further, That the Secretary
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may require the Corporation to provide to the State access 
to the equipment and facilities presently used for service 
on the route of the pilot project and access to shared or 
system-wide services, such as reservations, required for the 
pilot project, subject to such terms and conditions as the 
Secretary deems reasonable to account for the Corporation’s 
cost of such equipment, facilities and services: Provided fur-
ther, That the Secretary may require the Corporation to 
provide the State a portion of the Corporation’s operating 
subsidy equal to not more than 75 percent of the Corpora-
tion’s fiscal year 2006 fully allocated loss attributable to 
the train or trains for the second and third year that the 
pilot service operates and not more than 50 percent of the 
fiscal year 2006 fully allocated loss attributable to the train 
or trains for the second and third year that the pilot service 
operates: Provided further, That as a condition of accepting 
any grant under this heading, the Secretary of Transpor-
tation shall require the Corporation to undertake a pilot 
program subject to such terms, conditions and schedule as 
the Secretary deems appropriate, under which the Corpora-
tion determines whether a private entity, at no incremental 
cost to the Corporation, would provide sleeper or first class 
service on a specific train or route: Provided further, That 
as a condition of accepting any grant under this heading, 
the Secretary of Transportation shall require the Corpora-
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tion to develop a plan to progressively reduce the Corpora-
tion’s net losses on food and beverage service so that such 
service is no worse than revenue neutral to the Corporation 
by the end of the fiscal year 2011: Provided further, That 
the Corporation shall reduce its net losses on food and bev-
erage service, so that the net loss in fiscal year 2007 is 20 
percent less than the net loss on such service in fiscal year 
2005: Provided further, That as a condition of accepting 
any grant under this heading, the Secretary of Transpor-
tation shall require the Corporation to develop a plan to 
progressively reduce the Corporation’s net losses on sleeper 
and first class service so that such service is no worse than 
revenue neutral to the Corporation by the end of fiscal year 
2011: Provided further, That the Corporation shall reduce 
its net losses on sleeper and first class service, so that the 
net loss in fiscal year 2007 is 20 percent less than the net 
loss on such service in fiscal year 2005: Provided further, 
That the Corporation’s Inspector General shall report no 
less frequently than quarterly on the progress made in re-
ducing the Corporation’s net loss from providing food and 
beverage service and the Corporation’s net loss from pro-
viding sleeper and first class service. 
RAILROAD REHABILITATION AND IMPROVEMENT PROGRAM 
The Secretary of Transportation is authorized to issue 
to the Secretary of the Treasury notes or other obligations 
pursuant to section 512 of the Railroad Revitalization and
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Regulatory Reform Act of 1976 (Public Law 94–210), as 
amended, in such amounts and at such times as may be 
necessary to pay any amounts required pursuant to the 
guarantee of the principal amount of obligations under sec-
tions 511 through 513 of such Act, such authority to exist 
as long as any such guaranteed obligation is outstanding: 
Provided, That pursuant to section 502 of such Act, as 
amended, no new direct loans or loan guarantee commit-
ments shall be made using Federal funds for the credit risk 
premium during fiscal year 2007. 
ADMINISTRATIVE PROVISIONS—FEDERAL RAILROAD 
ADMINISTRATION 
SEC. 150. The Secretary may purchase promotional 
items of nominal value for use in outreach activities to ac-
complish the purposes of 49 U.S.C. 20134: Provided, That 
the Secretary shall prescribe guidelines for the administra-
tion of such purchases and use. 
SEC. 151. Notwithstanding any other provision of this 
Act, funds provided in this Act for the National Railroad 
Passenger Corporation shall immediately cease to be avail-
able to said Corporation in the event that the Corporation 
contracts to have services provided at or from any location 
outside the United States. For purposes of this section, the 
word ‘‘services’’ shall mean any service that was, as of July 
1, 2006, performed by a full-time or part-time Amtrak em-
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ployee whose base of employment is located within the 
United States. 
FEDERAL TRANSIT ADMINISTRATION 
ADMINISTRATIVE EXPENSES 
For necessary administrative expenses of the Federal 
Transit Administration’s programs authorized by chapter 
53 of title 49, United States Code, $85,000,000: Provided, 
That of the funds available under this heading, not to exceed 
$1,063,353 shall be available for the Office of the Adminis-
trator; not to exceed $7,653,698 shall be available for the 
Office of Administration; not to exceed $4,272,759 shall be 
available for the Office of the Chief Counsel; not to exceed 
$1,394,111 shall be available for the Office of Communica-
tion and Congressional Affairs; not to exceed $8,403,493 
shall be available for the Office of Program Management; 
not to exceed $9,258,714 shall be available for the Office 
of Budget and Policy; not to exceed $4,876,078 shall be 
available for the Office of Demonstration and Innovation; 
not to exceed $3,272,077 shall be available for the Office 
of Civil Rights; not to exceed $4,717,764 shall be available 
for the Office of Planning; not to exceed $22,419,998 shall 
be available for regional offices; and not to exceed 
$17,667,955 shall be available for the central account: Pro-
vided further, That the Administrator is authorized to 
transfer funds appropriated for an office of the Federal