Source: https://www.law.cornell.edu/uscode/text/45/744?qt-us_code_tabs=1
Timestamp: 2016-02-07 11:47:36
Document Index: 656008025

Matched Legal Cases: ['§ 744', '§\u202f304', '§\u202f607', '§\u202f804', '§\u202f205', '§\u202f4', '§\u202f201', '§\u202f4', '§\u202f3003', '§\u202f327', '§\u202f6', '§\u202f102', '§\u202f3', '§\u202f806', '§\u202f7', '§\u202f401', '§\u202f1161', '§\u202f327', '§\u202f327', '§\u202f327', '§\u202f327', '§\u202f327', '§\u202f327', '§\u202f327', '§\u202f327', '§\u202f327', '§\u202f804', '§\u202f804', '§\u202f804', '§\u202f804', '§\u202f205', '§\u202f607', '§\u202f205', '§\u202f804', '§\u202f804', '§\u202f804', '§\u202f804', '§\u202f206', '§\u202f206', '§\u202f6']

45 U.S. Code § 744 - Termination and continuation of rail services | US Law | LII / Legal Information Institute
Termination and continuation of rail services
not sooner than 30 days following the effective date of the final system plan, the trustee or trustees of the applicable railroad in reorganization or a profitable railroad give notice in writing of intent to discontinue such service on a date certain which is not less than 60 days after the date of such notice or on the date of any conveyance ordered by the special court pursuant to section 743(b)(1) of this title, whichever is later; and
(A) If rail properties are not, in accordance with the designations in the final system plan, required to be operated, as a consequence of a recommended arrangement for joint use or operation of rail properties (under section 716(g) of this title) or as part of a coordination project (under sections 716(c) and (g) of this title), rail service on such properties may be discontinued, subsequent to the date of conveyance of rail properties pursuant to such section 743(b)(1) of this title, if the Commission determines that such rail service on such rail properties is not compensatory and if—
such discontinuance is not precluded by the terms of the leases and agreements referred to in such section 743(b)(2).
For purposes of this paragraph, rail service on rail properties is compensatory if the revenue attributable to such properties from such service equals or exceeds the sum of the avoidable costs of providing such service on such properties plus a reasonable return on the value of such rail properties, as determined in accordance with the standards developed pursuant to section 10362(b)(6) [1] of title 49.
(c) Continuation of rail servicesNo rail service may be discontinued and no rail properties may be abandoned, pursuant to this section—
A designated railroad may refuse to enter into such an operating agreement only if the Commission determines, on petition by any affected party, that the agreement would substantially impair such railroad’s ability to serve adequately its own patrons or to meet its outstanding common carrier obligations. The designated operator shall, pursuant to each such operating agreement (i) be obligated to operate rail freight service on such rail properties, and (ii) be entitled to receive, from the person offering such payment, the difference between the revenue attributable to such properties and the avoidable costs of providing service on such rail properties, together with a reasonable management fee, as determined by the Office.
The trustees of a railroad in reorganization shall permit rail service to be continued on any rail properties with respect to which a rail service continuation payment operating agreement has been entered into under this subsection. Such trustees shall receive a reasonable return on the value of such properties, as determined in accordance with the standards developed pursuant to section 10362(b)(6) 1 of title 49.
If necessary to prevent any disruption or loss of rail service, at any time after the date of conveyance, pursuant to section 743(b)(1) of this title, the Commission shall take such action as may be appropriate under its existing authority (including the enforcement of common carrier requirements applicable to railroads in reorganization in the region) to ensure compliance with obligations imposed under this subsection. The district courts of the United States shall have jurisdiction, upon petition by the Commission or any interested person (including a government entity), to enforce any order of the Commission issued pursuant to the exercise of its authority under this subsection, or to enjoin any designated entity or the trustees of a railroad in reorganization in the region from refusing to comply with the provisions of this subsection.
pursuant to section 762 1 of this title or section 17 1 of the Federal Transit Act (49 U.S.C. 1613),
The Corporation (or a profitable railroad) shall provide rail passenger service for a period of 180 days immediately following the date of conveyance (pursuant to section 743(b)(1) of this title), with respect to any rail properties over which a railroad in reorganization in the region, or a person leased, operated, or controlled by such a railroad, was providing rail passenger service immediately prior to such date of conveyance. Such service shall be provided on such properties regardless of whether or not such properties are designated in the final system plan as rail properties over which rail service is required to be operated, except with respect to properties over which such service is provided by the National Railroad Passenger Corporation.
a payment required under a lease or agreement, pursuant to section 743(b)(2) of this title or subsection (c)(2)(B) of this section, is not paid when it is due,
Nothing in this subsection shall be construed to affect the obligation of the Corporation (or a profitable railroad), or of the trustees of the railroads in reorganization in the region, to provide rail passenger service pursuant to section 743(b)(2) of this title or subsection (c)(2)(B) of this section.
offers a rail service continuation payment, pursuant to subsection (c)(2)(A) of the [2] section, for the operation of rail passenger service after the 180-day mandatory operation period, and
offers a rail service continuation payment, pursuant to subsection (c)(2)(A) of this section, for the operation of rail passenger service provided under an agreement or lease pursuant to section 743(b)(2) of this title or subsection (c)(2)(B) of this section where such offer is made for the continuation of the service beyond the period required by such agreement or lease, except that such services shall not be eligible for assistance under section 17(a)(2) 1 of the Federal Transit Act (49 U.S.C. 1613(a)(2)),
The Secretary shall reimburse the Corporation (or a profitable railroad) for any loss which is incurred by it during the 180-day mandatory operation period specified in paragraph (1) of this subsection which is not compensated for by a State (or a local or regional transportation authority). The amount of such reimbursement shall be determined pursuant to section 17(a)(1) 1 of the Federal Transit Act.
The Secretary shall reimburse States, local public bodies, and agencies thereof for additional costs incurred by such States, bodies, and agencies for rail service continuation payments for rail passenger service pursuant to section 17(a)(2) 1 of the Federal Transit Act.
For purposes of the obligation of the Secretary to reimburse the Corporation (or a profitable railroad) or States, local public bodies, and agencies thereof under subparagraphs (A) and (B) of this paragraph, the level of rail passenger service shall be determined on the basis of train miles, car miles, or some other appropriate indicia of scheduled train movements. Programs to correct deferred maintenance on rolling stock, right-of-way, and other facilities which are designed to maintain service, meet on-time performance, and maintain a reasonable degree of passenger comfort (and costs incurred incident thereto) shall be included within the meaning of the term “loss” as used in subparagraph (A) of this paragraph and within the meaning of the term “additional costs” as used in subparagraph (B) of this paragraph and section 17(a)(2) 1 of the Federal Transit Act (49 U.S.C. 1613(a)(2)).
If a dispute arises with respect to the application of any such regulations, the parties to such dispute may submit such dispute to arbitration by a third party. If the parties are unable to agree upon the selection of an arbitrator, the Chairman of the Commission shall serve in that capacity (except as to matters required to be decided by the Commission, pursuant to section 562(a) of this title).
If a State (or a local or regional transportation authority) in the region offers to provide payment for the provision of additional rail passenger service, the Corporation shall undertake to provide such service pursuant to this subsection (including the discontinuance provisions of paragraph (2) of this subsection). An offer to provide payment for the provision of additional rail passenger service shall be made in accordance with subsection (c)(2)(A) of this section, and shall be designed to avoid any additional costs to the Corporation arising from the construction or modification of capital facilities or from any additional operating delays or costs arising from the absence of such construction or modification. The State (or local or regional transportation authority) shall demonstrate that it has acquired, leased, or otherwise obtained access to all rail properties, other than those designated for conveyance to the National Railroad Passenger Corporation pursuant to sections 716(c)(1)(C) and 716(c)(1)(D) of this title and to the Corporation pursuant to section 743(b)(1) of this title, necessary to provide the additional rail passenger service and that it has completed, or will complete prior to the inception of the additional rail service, all capital improvements necessary to avoid significant costs which cannot be avoided by improved scheduling or other means on other existing rail services (including rail freight service) and to assure that the additional service will not detract from the level and quality of existing rail passenger and freight service.
As used in this paragraph, the term “additional rail passenger service” means rail passenger service (other than rail passenger service provided pursuant to the provisions of paragraphs (2) and (4) of this subsection), including extended or expanded service and modified routings, which is to be provided over rail properties conveyed to the Corporation pursuant to section 743(b)(1) of this title, or over (i) rail properties contiguous thereto conveyed to the National Railroad Passenger Corporation pursuant to this chapter, or (ii) any other rail properties contiguous thereto to which a State (or local or regional transportation authority) has obtained access.
The Secretary shall, in consultation with the Association, conduct a study to determine the best means of compensating the Corporation for liabilities which it may incur for damages to persons or property, resulting from the operation of rail passenger service required to be operated pursuant to this subsection or section 743(b)(2) of this title, which are not underwritten by private insurance carriers or are not indemnified by a State (or local or regional transportation authority). Such study shall identify the nature of the risks to the Corporation, the probable degree of uninsurability of such risks, and the desirability and feasibility of various indemnification programs, including subsidy offers made pursuant to this section, self-insurance through a passenger tax or other mechanism, or government indemnification for such liabilities. Within one year after November 8, 1978, the Secretary shall prepare a report with appropriate recommendations and shall submit such report to the Congress. Such report shall specify the most appropriate means of indemnifying the Corporation for such liabilities in a manner which shall prevent the cross-subsidization of passenger services with revenues from freight services operated by the Corporation.
(i) Disposition of designated rail propertiesNo railroad in reorganization in the region and no person leased, operated or controlled by such a railroad shall sell, transfer, encumber, or otherwise dispose of rail property, or any right or interest therein, designated for transfer to the Corporation or conveyance to a profitable railroad in the final system plan, except pursuant to section 743(b) of this title. The provisions of this subsection shall not apply to any such sale, transfer, encumbrance, or other disposition—
following certification to the special court, pursuant to section 719(c) of this title, of any such rail properties not previously so certified.
(Pub. L. 93–236, title III, § 304, Jan. 2, 1974, 87 Stat. 1008; Pub. L. 94–210, title VI, § 607(i), title VIII, § 804, Feb. 5, 1976, 90 Stat. 97, 133; Pub. L. 94–555, title II, §§ 205, 206, Oct. 19, 1976, 90 Stat. 2620, 2621; Pub. L. 95–473, § 4(b), Oct. 17, 1978, 92 Stat. 1466; Pub. L. 95–607, title II, § 201, Nov. 8, 1978, 92 Stat. 3064; Pub. L. 97–449, § 4(b)(2), Jan. 12, 1983, 96 Stat. 2441; Pub. L. 102–240, title III, § 3003(b), Dec. 18, 1991, 105 Stat. 2088; Pub. L. 104–88, title III, § 327(3), Dec. 29, 1995, 109 Stat. 951; Pub. L. 104–287, § 6(f)(4)(A), Oct. 11, 1996, 110 Stat. 3399.)
Section 10362(b)(6) of title 49, referred to in subsecs. (a)(2)(B) and (d)(2), was omitted in the general amendment of subtitle IV of Title 49, Transportation, by Pub. L. 104–88, title I, § 102(a), Dec. 29, 1995, 109 Stat. 804. Previously, in subsec. (d)(2), “section 10362(b)(6) of title 49” was substituted for “section 205(d)(6) of this Act”, meaning section 205(d)(6) of Pub. L. 93–236, on authority of Pub. L. 95–473, § 3(b), Oct. 17, 1978, 92 Stat. 1466, the first section of which enacted subtitle IV of Title 49.
Section 762 of this title, referred to in subsec. (d)(4)(B), was repealed by Pub. L. 94–210, title VIII, § 806, Feb. 5, 1976, 90 Stat. 143, eff. Apr. 1, 1978.
Section 17 of the Federal Transit Act, referred to in subsecs. (d)(4)(B) and (e)(4)(C), (5)(A) to (C), which was classified to section 1613 of former Title 49, Transportation, was repealed by Pub. L. 103–272, § 7(b), July 5, 1994, 108 Stat. 1379.
Section 77 of the Bankruptcy Act, referred to in subsec. (i)(2), was classified to section 205 of former Title 11, Bankruptcy. The Bankruptcy Act (act July 1, 1898, ch. 541, 30 Stat. 544, as amended) was repealed effective Oct. 1, 1979, by Pub. L. 95–598, §§ 401(a), 402(a), Nov. 6, 1978, 92 Stat. 2682, section 101 of which enacted revised Title 11. For current provisions relating to railroad reorganization, see subchapter IV (§ 1161 et seq.) of chapter 11 of Title 11.
1996—Subsec. (b)(3). Pub. L. 104–287 made technical amendment to directory language of Pub. L. 104–88, § 327(3)(B). See 1995 Amendment note below.
1995—Subsec. (a)(2)(B). Pub. L. 104–88, § 327(3)(A), substituted “section 10362(b)(6) of title 49” for “section 205(d)(6) of this Act”.
Subsec. (b)(3). Pub. L. 104–88, § 327(3)(B), as amended by Pub. L. 104–287, substituted “part A of subtitle IV of title 49” for “the Interstate Commerce Act”.
Subsec. (d)(3). Pub. L. 104–88, § 327(3)(C), substituted “this title, the Commission” for “this title, the Commission—”, struck out “(A)” before “shall take such action”, and substituted “under this subsection.” for “under this subsection; and
Subsec. (e)(4)(A). Pub. L. 104–88, § 327(3)(D)(i), struck out “and under regulations issued by the Office pursuant to section 205(d)(5) of this Act” before “, for the operation”.
Subsec. (e)(4)(C). Pub. L. 104–88, § 327(3)(D)(ii), struck out “and regulations issued by the Office pursuant to section 205(d)(5) of this Act” after “subsection (c)(2)(A) of this section”.
Subsec. (e)(5)(A), (B). Pub. L. 104–88, § 327(3)(E), struck out before period at end “and under regulations issued by the Office pursuant to section 205(d)(5) of this Act”.
Subsec. (e)(7)(A). Pub. L. 104–88, § 327(3)(F), struck out “and under regulations issued by the Office pursuant to section 205(d)(5) of this Act” after “subsection (c)(2)(A) of this section”.
Subsec. (g). Pub. L. 104–88, § 327(3)(G), substituted “part A of subtitle IV of title 49” for “the Interstate Commerce Act”.
1991—Subsecs. (d)(4)(B), (e)(4)(C), (5)(A) to (C). Pub. L. 102–240 substituted “Federal Transit Act” for “Urban Mass Transportation Act of 1964”.
1983—Subsec. (j). Pub. L. 97–449 repealed section 304(j) of Pub. L. 93–236, effective Oct. 17, 1978, the date Pub. L. 95–473 repealed subsec. (j) by repealing section 804 “Sec. 304(j)” of Pub. L. 94–210. See 1978 Amendment note below.
1976—Subsec. (a). Pub. L. 94–210, § 804, redesignated existing provisions as par. (1) and inserted provision relating to applicability to a railroad in reorganization in the region, or of a person leased, operated, or controlled by such a railroad, in subpar. (B) inserted provision relating to notice on the date of any conveyance ordered by the special court, and in subpar. (C) inserted requirement that notice be sent to the Commission and substituted reference to the chief executive officer for reference to the Governor, and added par. (2).
Subsec. (b). Pub. L. 94–210, § 804, in par. (1) inserted exception of subsecs. (c) and (f) of this section and substituted provisions requiring notice to be sent to any person (including a government entity), for provisions requiring notice to be sent to all those required to receive notice, in par. (2) substituted “240” for “180”, and added par. (3).
Subsec. (c). Pub. L. 94–210, § 804, substituted provisions relating to continuation of rail services and applicability of rail service continuation payments to such continuation, for provisions relating to limitations of Interstate Commerce Act, State constitution or law, or decision of Federal or State court or agency on power to discontinue rail service and abandon rail properties and applicability of rail service continuation subsidies on such power.
Subsec. (d). Pub. L. 94–210, § 804, added subsec. (d). Former subsec. (d) redesignated (f) and amended.
Subsec. (d)(4). Pub. L. 94–555, § 205(a), added par. (4).
Subsec. (e). Pub. L. 94–210, §§ 607(i), 804, added subsec. (e). Former subsec. (e) redesignated (g) and amended.
Subsec. (e)(5)(D). Pub. L. 94–555, § 205(b), redesignated former subpar. (C) as (D) and added subpar. (C).
Subsec. (f). Pub. L. 94–210, § 804, redesignated former subsec. (d) as (f) and substituted provisions relating to rail service continuation payments, for provisions relating to rail service continuation subsidies. Former subsec. (f) redesignated (h) and amended.
Subsec. (g). Pub. L. 94–210, § 804, redesignated former subsec. (e) as (g) and inserted reference to any subsidiary of a Corporation and provision relating to demonstration by the Corporation, etc., that no State (or local or regional transportation authority) will offer a continuation payment under subsec. (c) of this section.
Subsec. (h). Pub. L. 94–210, § 804, redesignated former subsec. (f) as (h), substituted “February 5, 1976, and prior to the date of conveyance (pursuant to section 743(b)(1) of this title)” for “January 2, 1974” and “reorganization in the region may” for “reorganization may”, and made minor changes in structure.
Subsecs. (i), (j). Pub. L. 94–210, § 804, added subsecs. (i) and (j).
Subsec. (j)(1). Pub. L. 94–555, § 206(1), inserted limitation “by rail” to mass transportation services, and provided that any local body providing mass transportation services by rail is exempted from the rules, regulations, and orders promulgated under the Interstate Commerce Act, if interstate fares or application to the Interstate Commerce Commission for a change in such fares is subject to the approval or disapproval of the Governor of any state in which it provides services.
Subsec. (j)(2)(B). Pub. L. 94–555, § 206(2), substituted definition of “mass transportation services” for “mass transportation”.
Pub. L. 104–287, § 6(f)(4)(A), Oct. 11, 1996, 110 Stat. 3399, provided that the amendment made by section 6(f)(4)(A) is effective Dec. 29, 1995.