Passenger Rail Investment and Improvement Act of 2005

        [Congressional Bills 109th Congress]
[From the U.S. Government Publishing Office]
[S. 1516 Reported in Senate (RS)]

Calendar No. 235
109th CONGRESS
1st Session
S. 1516

[Report No. 109-143]

To reauthorize Amtrak, and for other purposes.

_______________________________________________________________________

IN THE SENATE OF THE UNITED STATES

July 27, 2005

Mr. Lott (for himself, Mr. Lautenberg, Mr. Stevens, Mr. Inouye, Mrs.
Hutchison, Mr. Burns, Mr. Rockefeller, Mr. DeWine, Ms. Snowe, Ms.
Collins, Mr. Carper, Mr. Corzine, and Mr. Jeffords) introduced the
following bill; which was read twice and referred to the Committee on
Commerce, Science, and Transportation

October 18, 2005

Reported by Mr. Stevens, with an amendment
[Strike out all after the enacting clause and insert the part printed
in italic]

_______________________________________________________________________

A BILL

To reauthorize Amtrak, and for other purposes.

Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled,

<DELETED>SECTION 1. SHORT TITLE.</DELETED>

<DELETED>    This Act may be cited as the ``Passenger Rail Investment
and Improvement Act of 2005''.</DELETED>

<DELETED>SEC. 2. AMENDMENT OF TITLE 49, UNITED STATES CODE.</DELETED>

<DELETED>    Except as otherwise specifically provided, whenever in
this Act an amendment is expressed in terms of an amendment to a
section or other provision of law, the reference shall be considered to
be made to a section or other provision of title 49, United States
Code.</DELETED>

<DELETED>SEC. 3. TABLE OF CONTENTS.</DELETED>

<DELETED>    The table of contents for this Act is as
follows:</DELETED>

<DELETED>Sec. 1. Short title.
<DELETED>Sec. 2. Amendment of title 49, United States Code.
<DELETED>Sec. 3. Table of contents.
<DELETED>TITLE I--AUTHORIZATIONS

<DELETED>Sec. 101. Authorization for Amtrak capital and operating
expenses and State capital grants.
<DELETED>Sec. 102. Authorization for the Federal Railroad
Administration.
<DELETED>Sec. 103. Repayment of long-term debt and capital leases.
<DELETED>Sec. 104. Excess railroad retirement.
<DELETED>Sec. 105. Other authorizations.
<DELETED>TITLE II--AMTRAK REFORM AND OPERATIONAL IMPROVEMENTS

<DELETED>Sec. 201. National railroad passenger transportation system
defined.
<DELETED>Sec. 202. Amtrak Board of Directors.
<DELETED>Sec. 203. Establishment of improved financial accounting
system.
<DELETED>Sec. 204. Development of 5-year financial plan.
<DELETED>Sec. 205. Establishment of grant process.
<DELETED>Sec. 206. State-supported routes.
<DELETED>Sec. 207. Independent auditor to establish methodologies for
Amtrak route and service planning
decisions.
<DELETED>Sec. 208. Metrics and standards.
<DELETED>Sec. 209. Passenger train performance.
<DELETED>Sec. 210. Long distance routes.
<DELETED>Sec. 211. Alternate passenger rail service program.
<DELETED>Sec. 212. Employee transition assistance.
<DELETED>Sec. 213. Northeast Corridor state-of-good-repair plan.
<DELETED>Sec. 214. Northeast Corridor infrastructure and operations
improvements.
<DELETED>Sec. 215. Restructuring long-term debt and capital leases.
<DELETED>Sec. 216. Study of compliance requirements at existing
intercity rail stations.
<DELETED>Sec. 217. Incentive pay.
<DELETED>Sec. 218. Access to Amtrak equipment and services.
<DELETED>Sec. 219. General Amtrak provisions.
<DELETED>Sec. 220. Private sector funding of passenger trains.
<DELETED>Sec. 221. On-board service improvements.
<DELETED>TITLE III--INTERCITY PASSENGER RAIL POLICY

<DELETED>Sec. 301. Capital assistance for intercity passenger rail
service.
<DELETED>Sec. 302. State rail plans.
<DELETED>Sec. 303. Next generation corridor train equipment pool.
<DELETED>Sec. 304. Federal rail policy.
<DELETED>Sec. 305. Rail cooperative research program.
<DELETED>TITLE IV--PASSENGER RAIL SECURITY AND SAFETY

<DELETED>Sec. 401. Systemwide Amtrak security upgrades.
<DELETED>Sec. 402. Fire and life-safety improvements.
<DELETED>Sec. 403. Amtrak plan to assist families of passengers
involved in rail passenger accidents.
<DELETED>Sec. 404. Northern border rail passenger report.
<DELETED>Sec. 405. Passenger, baggage, and cargo screening.
<DELETED>TITLE V--RAIL BOND AUTHORITY

<DELETED>Sec. 501. Intercity rail facility bonds.

<DELETED>TITLE I--AUTHORIZATIONS</DELETED>

<DELETED>SEC. 101. AUTHORIZATION FOR AMTRAK CAPITAL AND OPERATING
EXPENSES AND STATE CAPITAL GRANTS.</DELETED>

<DELETED>    (a) Operating Grants.--There are authorized to be
appropriated to the Secretary of Transportation for the use of Amtrak
for operating costs the following amounts:</DELETED>
<DELETED>    (1) For fiscal year 2006, $580,000,000.</DELETED>
<DELETED>    (2) For fiscal year 2007, $590,000,000.</DELETED>
<DELETED>    (3) For fiscal year 2008, $600,000,000.</DELETED>
<DELETED>    (4) For fiscal year 2009, $575,000,000.</DELETED>
<DELETED>    (5) For fiscal year 2010, $535,000,000.</DELETED>
<DELETED>    (6) For fiscal year 2011, $455,000,000.</DELETED>
<DELETED>    (b) Capital Grants.--There are authorized to be
appropriated to the Secretary of Transportation for the use of Amtrak
to bring the Northeast Corridor as defined in section 24102(a) to a
state-of-good-repair, for capital expenses of the national railroad
passenger transportation system, and for purposes of making capital
grants to states under section 301 of this Act, the following
amounts:</DELETED>
<DELETED>    (1) For fiscal year 2006, $813,000,000.</DELETED>
<DELETED>    (2) For fiscal year 2007, $910,000,000.</DELETED>
<DELETED>    (3) For fiscal year 2008,
$1,071,000,000.</DELETED>
<DELETED>    (4) For fiscal year 2009,
$1,096,000,000.</DELETED>
<DELETED>    (5) For fiscal year 2010,
$1,191,000,000.</DELETED>
<DELETED>    (6) For fiscal year 2011,
$1,231,000,000.</DELETED>
<DELETED>    (c) Amounts for State Grants.--Out of the amounts
authorized under subsection (b), the following percentage shall be
available each fiscal year for capital grants to States under section
301 of this Act, to be administered by the Secretary of
Transportation:</DELETED>
<DELETED>    (1) 3 percent for fiscal year 2006.</DELETED>
<DELETED>    (2) 11 percent for fiscal year 2007.</DELETED>
<DELETED>    (3) 23 percent for fiscal year 2008.</DELETED>
<DELETED>    (4) 25 percent for fiscal year 2009.</DELETED>
<DELETED>    (5) 31 percent for fiscal year 2010.</DELETED>
<DELETED>    (6) 33 percent for fiscal year 2011.</DELETED>
<DELETED>    (d) Project Management Oversight.--The Secretary may
withhold up to </DELETED>\<DELETED>1/2</DELETED>\ <DELETED>of 1 percent
of amounts appropriated pursuant to subsection (b) for the costs of
project management oversight of capital projects carried out by
Amtrak.</DELETED>

<DELETED>SEC. 102. AUTHORIZATION FOR THE FEDERAL RAILROAD
ADMINISTRATION.</DELETED>

<DELETED>    There are authorized to be appropriated to the Secretary
of Transportation for the use of the Federal Railroad Administration
such sums as necessary to implement the provisions required under this
Act for fiscal years 2006 through 2011.</DELETED>

<DELETED>SEC. 103. REPAYMENT OF LONG-TERM DEBT AND CAPITAL
LEASES.</DELETED>

<DELETED>    (a) Amtrak Principal and Interest Payments.--</DELETED>
<DELETED>    (1) Principal on debt service.--There are
authorized to be appropriated to the Secretary of
Transportation for the use of Amtrak for retirement of
principal on loans for capital equipment, or capital leases,
not more than the following amounts:</DELETED>
<DELETED>    (A) For fiscal year 2006,
$130,200,000.</DELETED>
<DELETED>    (B) For fiscal year 2007,
$140,700,000.</DELETED>
<DELETED>    (C) For fiscal year 2008,
$156,000,000.</DELETED>
<DELETED>    (D) For fiscal year 2009,
$183,800,000.</DELETED>
<DELETED>    (E) For fiscal year 2010,
$156,100,000.</DELETED>
<DELETED>    (F) For fiscal year 2011,
$193,500,000.</DELETED>
<DELETED>    (2) Interest on debt.--There are authorized to be
appropriated to the Secretary of Transportation for the use of
Amtrak for the payment of interest on loans for capital
equipment, or capital leases, the following amounts:</DELETED>
<DELETED>    (A) For fiscal year 2006,
$148,100,000.</DELETED>
<DELETED>    (B) For fiscal year 2007,
$141,500,000.</DELETED>
<DELETED>    (C) For fiscal year 2008,
$133,800,000.</DELETED>
<DELETED>    (D) For fiscal year 2009,
$124,000,000.</DELETED>
<DELETED>    (E) For fiscal year 2010,
$113,900,000.</DELETED>
<DELETED>    (F) For fiscal year 2011,
$103,800,000.</DELETED>
<DELETED>    (3) Early Buyout Option.--There are authorized to
be appropriated to the Secretary of Transportation such sums as
may be necessary for the use of Amtrak for the payment of costs
associated with early buyout options if the exercise of those
options is determined to be advantageous to Amtrak.</DELETED>

<DELETED>SEC. 104. EXCESS RAILROAD RETIREMENT.</DELETED>

<DELETED>    There are authorized to be appropriated to the Secretary
of Transportation, beginning with fiscal year 2006, such sums as may be
necessary to pay to the Railroad Retirement Account an amount equal to
the amount Amtrak must pay under section 3221 of the Internal Revenue
Code of 1986 in such fiscal years that is more than the amount needed
for benefits for individuals who retire from Amtrak and for their
beneficiaries. For each fiscal year in which the Secretary makes such a
payment, the amounts authorized by section 101(a) shall be reduced by
an amount equal to such payment.</DELETED>

<DELETED>SEC. 105. OTHER AUTHORIZATIONS.</DELETED>

<DELETED>    There are authorized to be appropriated to the Secretary
of Transportation--</DELETED>
<DELETED>    (1) $5,000,000 for each of fiscal years 2006
through 2011 to carry out the rail cooperative research program
under section 24910 of title 49, United States Code;
and</DELETED>
<DELETED>    (2) $5,000,000 for fiscal year 2006, to remain
available until expended, for grants to Amtrak and States
participating in the Next Generation Corridor Train Equipment
Pool Committee established under section 303 of this Act for
the purpose of designing, developing specifications for, and
initiating the procurement of an initial order of 1 or more
types of standardized next-generation corridor train equipment
and establishing a jointly-owned corporation to manage that
equipment.</DELETED>

<DELETED>TITLE II--AMTRAK REFORM AND OPERATIONAL IMPROVEMENTS</DELETED>

<DELETED>SEC. 201. NATIONAL RAILROAD PASSENGER TRANSPORTATION SYSTEM
DEFINED.</DELETED>

<DELETED>    (a) In General.--Section 24102 is amended--</DELETED>
<DELETED>    (1) by striking paragraph (2);</DELETED>
<DELETED>    (2) by redesignating paragraphs (3), (4), and (5)
as paragraphs (2), (3), and (4), respectively; and</DELETED>
<DELETED>    (3) by inserting after paragraph (4) as so
redesignated the following:</DELETED>
<DELETED>    ``(5) `national rail passenger transportation
system' means--</DELETED>
<DELETED>    ``(A) the segment of the Northeast
Corridor between Boston, Massachusetts and Washington,
D.C.;</DELETED>
<DELETED>    ``(B) rail corridors that have been
designated by the Secretary of Transportation as high-
speed corridors (other than corridors described in
subpargraph (A)), but only after they have been
improved to permit operation of high-speed
service;</DELETED>
<DELETED>    ``(C) long-distance routes of more than
750 miles between endpoints operated by Amtrak as of
the date of enactment of the Passenger Rail Investment
and Improvement Act of 2005; and</DELETED>
<DELETED>    ``(D) short-distance corridors, or routes
of not more than 750 miles between endpoints, operated
by--</DELETED>
<DELETED>    ``(i) Amtrak; or</DELETED>
<DELETED>    ``(ii) another rail carrier that
receives funds under chapter 244.''.</DELETED>
<DELETED>    (b) Amtrak Routes With State Funding.--</DELETED>
<DELETED>    (1) In general.--Chapter 247 is amended by
inserting after section 24701 the following:</DELETED>
<DELETED>``Sec. 24702. Transportation requested by States, authorities,
and other persons</DELETED>
<DELETED>    ``(a) Contracts for Transportation.--Amtrak and a State, a
regional or local authority, or another person may enter into a
contract for Amtrak to operate an intercity rail service or route not
included in the national rail passenger transportation system upon such
terms as the parties thereto may agree.</DELETED>
<DELETED>    ``(b) Discontinuance.--Upon termination of a contract
entered into under this section, or the cessation of financial support
under such a contract by either party, Amtrak may discontinue such
service or route, notwithstanding any other provision of
law.''.</DELETED>
<DELETED>    (2) Conforming amendment.--The chapter analysis
for chapter 247 is amended by inserting after the item relating
to section 24701 the following:</DELETED>

<DELETED>``24702. Transportation requested by States, authorities, and
other persons.''.
<DELETED>    (c) Amtrak To Continue To Provide Non-High-Speed
Services.--Nothing in this Act is intended to preclude Amtrak from
restoring, improving, or developing non-high-speed intercity passenger
rail service.</DELETED>

<DELETED>SEC. 202. AMTRAK BOARD OF DIRECTORS.</DELETED>

<DELETED>    (a) In General.--Section 24302 is amended to read as
follows:</DELETED>
<DELETED>``Sec. 24302. Board of directors</DELETED>
<DELETED>    ``(a) Composition and Terms.--</DELETED>
<DELETED>    ``(1) The Board of Directors of Amtrak is composed
of the following 9 directors, each of whom must be a citizen of
the United States:</DELETED>
<DELETED>    ``(A) The Secretary of
Transportation.</DELETED>
<DELETED>    ``(B) The President of Amtrak.</DELETED>
<DELETED>    ``(C) 7 individuals appointed by the
President of the United States, by and with the advice
and consent of the Senate, with general business and
financial experience, experience or qualifications in
transportation, freight and passenger rail
transportation, travel, hospitality, cruise line, and
passenger air transportation businesses, or
representatives of users of passenger rail
transportation or State government.</DELETED>
<DELETED>    ``(2) In selecting individuals described in
paragraph (1) for nominations for appointments to the Board,
the President shall consult with the Speaker of the House of
Representatives, the minority leader of the House of
Representatives, the majority leader of the Senate, and the
minority leader of the Senate and try to provide adequate and
balanced representation of the major geographic regions of the
United States served by Amtrak.</DELETED>
<DELETED>    ``(3) An individual appointed under paragraph
(1)(C) of this subsection serves for 5 years or until the
individual's successor is appointed and qualified. Not more
than 4 individuals appointed under paragraph (1)(C) may be
members of the same political party.</DELETED>
<DELETED>    ``(4) The Board shall elect a chairman and a vice
chairman from among its membership. The vice chairman shall
serve as chairman in the absence of the chairman.</DELETED>
<DELETED>    ``(5) The Secretary may be represented at board
meetings by the Secretary's designee.</DELETED>
<DELETED>    ``(b) Pay and Expenses.--Each director not employed by the
United States Government is entitled to $300 a day when performing
Board duties. Each Director is entitled to reimbursement for necessary
travel, reasonable secretarial and professional staff support, and
subsistence expenses incurred in attending Board meetings.</DELETED>
<DELETED>    ``(c) Vacancies.--A vacancy on the Board is filled in the
same way as the original selection, except that an individual appointed
by the President of the United States under subsection (a)(1)(C) of
this section to fill a vacancy occurring before the end of the term for
which the predecessor of that individual was appointed is appointed for
the remainder of that term. A vacancy required to be filled by
appointment under subsection (a)(1)(C) must be filled not later than
120 days after the vacancy occurs.</DELETED>
<DELETED>    ``(d) Quorum.--A majority of the members serving shall
constitute a quorum for doing business.</DELETED>
<DELETED>    ``(e) Bylaws.--The Board may adopt and amend bylaws
governing the operation of Amtrak. The bylaws shall be consistent with
this part and the articles of incorporation.''.</DELETED>
<DELETED>    (b) Effective Date for Directors' Provision.--The
amendment made by subsection (a) shall take effect on January 1, 2006.
The members of the Amtrak Board serving on the date of enactment of
this Act may continue to serve for the remainder of the term to which
they were appointed.</DELETED>

<DELETED>SEC. 203. ESTABLISHMENT OF IMPROVED FINANCIAL ACCOUNTING
SYSTEM.</DELETED>

<DELETED>    (a) In General.--The Amtrak Board of Directors--</DELETED>
<DELETED>    (1) may employ an independent financial consultant
with experience in railroad accounting to assist Amtrak in
improving Amtrak's financial accounting and reporting system
and practices; and</DELETED>
<DELETED>    (2) shall implement a modern financial accounting
and reporting system that will produce accurate and timely
financial information in sufficient detail--</DELETED>
<DELETED>    (A) to enable Amtrak to assign revenues
and expenses appropriately to each of its lines of
business and to each major activity within each line of
business activity, including train operations,
equipment maintenance, ticketing, and
reservations;</DELETED>
<DELETED>    (B) to aggregate expenses and revenues
related to infrastructure and distinguish them from
expenses and revenues related to rail
operations;</DELETED>
<DELETED>    (C) to allow the analysis of ticketing and
reservation information on a real-time basis;
and</DELETED>
<DELETED>    (D) to provide Amtrak cost accounting
data.</DELETED>
<DELETED>    (b) Verification of System; Report.--The Inspector General
of the Department of Transportation shall review the accounting system
designed and implemented under subsection (a) to ensure that it
accomplishes the purposes for which it is intended. The Inspector
General shall report his findings and conclusions, together with any
recommendations, to the Senate Committee on Commerce, Science, and
Transportation and the House of Representatives Committee on
Transportation and Infrastructure.</DELETED>

<DELETED>SEC. 204. DEVELOPMENT OF 5-YEAR FINANCIAL PLAN.</DELETED>

<DELETED>    (a) Development of 5-Year Financial Plan.--The Amtrak
Board of Directors shall submit an annual budget for Amtrak, and a 5-
year financial plan for the fiscal year to which that budget relates
and the subsequent 4 years, prepared in accordance with this section,
to the Secretary of Transportation and the Inspector General of the
Department of Transportation no later than--</DELETED>
<DELETED>    (1) the first day of each fiscal year beginning
after the date of enactment of this Act; or</DELETED>
<DELETED>    (2) the date that is 60 days after the date of
enactment of an appropriation Act for the fiscal year, if
later.</DELETED>
<DELETED>    (b) Contents of 5-Year Financial Plan.--The 5-year
financial plan for Amtrak shall include, at a minimum--</DELETED>
<DELETED>    (1) all projected revenues and expenditures for
Amtrak, including governmental funding sources;</DELETED>
<DELETED>    (2) projected ridership levels for all Amtrak
passenger operations;</DELETED>
<DELETED>    (3) revenue and expenditure forecasts for non-
passenger operations;</DELETED>
<DELETED>    (4) capital funding requirements and expenditures
necessary to maintain passenger service which will accommodate
predicted ridership levels and predicted sources of capital
funding;</DELETED>
<DELETED>    (5) operational funding needs, if any, to maintain
current and projected levels of passenger service, including
state-supported routes and predicted funding sources;</DELETED>
<DELETED>    (6) projected capital and operating requirements,
ridership, and revenue for any new passenger service operations
or service expansions;</DELETED>
<DELETED>    (7) an assessment of the continuing financial
stability of Amtrak, as indicated by factors such as the
ability of the Federal Government to fund capital and operating
requirements adequately, Amtrak's ability to efficiently manage
its workforce, and Amtrak's ability to effectively provide
passenger train service;</DELETED>
<DELETED>    (8) estimates of long-term and short-term debt and
associated principle and interest payments (both current and
anticipated);</DELETED>
<DELETED>    (9) annual cash flow forecasts; and</DELETED>
<DELETED>    (10) a statement describing methods of estimation
and significant assumptions.</DELETED>
<DELETED>    (c) Standards To Promote Financial Stability.--In meeting
the requirements of subsection (b), Amtrak shall--</DELETED>
<DELETED>    (1) apply sound budgetary practices, including
reducing costs and other expenditures, improving productivity,
increasing revenues, or combinations of such
practices;</DELETED>
<DELETED>    (2) use the categories specified in the financial
accounting and reporting system developed under section 203
when preparing its 5-year financial plan; and</DELETED>
<DELETED>    (3) ensure that the plan is consistent with the
authorizations of appropriations under title I of this
Act.</DELETED>
<DELETED>    (d) Assessment by DOT Inspector General.--</DELETED>
<DELETED>    (1) In general.--The Inspector General of the
Department of Transportation shall assess the 5-year financial
plans prepared by Amtrak under this section to determine
whether they meet the requirements of subsection (b), and may
suggest revisions to any components thereof that do not meet
those requirements.</DELETED>
<DELETED>    (2) Assessment to be furnished to the congress.--
The Inspector General shall furnish to the House of
Representatives Committee on Appropriations, the Senate
Committee on Appropriations, the House of Representatives
Committee on Transportation and Infrastructure, and the Senate
Committee on Commerce, Science, and Transportation--</DELETED>
<DELETED>    (A) an assessment of the annual budget
within 90 days after receiving it from Amtrak;
and</DELETED>
<DELETED>    (B) an assessment of the remaining 4 years
of the 5-year financial plan within 180 days after
receiving it from Amtrak.</DELETED>

<DELETED>SEC. 205. ESTABLISHMENT OF GRANT PROCESS.</DELETED>

<DELETED>    (a) Grant Requests.--Amtrak shall submit grant requests
(including a schedule for the disbursement of funds), consistent with
the requirements of this Act, to the Secretary of Transportation for
funds authorized to be appropriated to the Secretary for the use of
Amtrak under sections 101 (a) and (b), 103, and 105.</DELETED>
<DELETED>    (b) Procedures for Grant Requests.--The Secretary shall
establish substantive and procedural requirements, including schedules,
for grant requests under this section not later than 30 days after the
date of enactment of this Act and shall transmit copies to the Senate
Committee on Commerce, Science, and Transportation and the House of
Representatives Committee on Transportation and
Infrastructure.</DELETED>
<DELETED>    (c) Review and Approval.--</DELETED>
<DELETED>    (1) 30-day approval process.--The Secretary shall
complete the review of a complete grant request (including the
disbursement schedule) and approve or disapprove the request
within 30 days after the date on which Amtrak submits the grant
request. If the Secretary disapproves the request or determines
that the request is incomplete or deficient, the Secretary
shall include the reason for disapproval or the incomplete
items or deficiencies in the notice to Amtrak.</DELETED>
<DELETED>    (2) 15-day modification period.--Within 15 days
after receiving notification from the Secretary under the
preceding sentence, Amtrak shall submit a modified request for
the Secretary's review.</DELETED>
<DELETED>    (3) Revised requests.--Within 15 days after
receiving a modified request from Amtrak, the Secretary shall
either approve the modified request, or, if the Secretary finds
that the request is still incomplete or deficient, the
Secretary shall identify in writing to the Senate Committee on
Commerce, Science, and Transportation and the House of
Representatives Committee on Transportation and Infrastructure
the remaining deficiencies and recommend a process for
resolving the outstanding portions of the request.</DELETED>

<DELETED>SEC. 206. STATE-SUPPORTED ROUTES.</DELETED>

<DELETED>    (a) In General.--Within 2 years after the date of
enactment of this Act, the Board of Directors of Amtrak, in
consultation with the Secretary of Transportation and the chief
executive officer of each State and the District of Columbia, shall
develop and implement a standardized methodology for establishing and
allocating the operating and capital costs among the States and Amtrak
associated with trains operated on routes described in section 24102(5)
(B) or (D) or section 24702 that--</DELETED>
<DELETED>    (1) ensures, within 5 years after the date of
enactment of this Act, equal treatment in the provision of like
services of all States and groups of States (including the
District of Columbia); and</DELETED>
<DELETED>    (2) allocates to each route the costs incurred
only for the benefit of that route and a proportionate share,
based upon factors that reasonably reflect relative use, of
cost incurred for the common benefit of more than 1
route.</DELETED>
<DELETED>    (b) Review.--If Amtrak and the States (including the
District of Columbia) in which Amtrak operates such routes do not
voluntarily adopt and implement the methodology developed under
subsection (a) in allocating costs and determining compensation for the
provision of service in accordance with the date established therein,
the Surface Transportation Board shall determine the appropriate
methodology required under subsection (a) for such services in
accordance with the procedures and procedural schedule applicable to a
proceeding under section 24904(c) of title 49, United States Code, and
require the full implementation of this methodology with regards to the
provision of such service within 1 year after the Board's determination
of the appropriate methodology.</DELETED>
<DELETED>    (c) Use of Chapter 244 Funds.--Funds provided to a State
under chapter 244 of title 49, United States Code, may be used, as
provided in that chapter, to pay capital costs determined in accordance
with this section.</DELETED>

<DELETED>SEC. 207. INDEPENDENT AUDITOR TO ESTABLISH METHODOLOGIES FOR
AMTRAK ROUTE AND SERVICE PLANNING DECISIONS.</DELETED>

<DELETED>    (a) Methodology Development.--The Federal Railroad
Administration shall obtain the services of an independent auditor or
consultant to develop and recommend objective methodologies for
determining intercity passenger routes and services, including the
establishment of new routes, the elimination of existing routes, and
the contraction or expansion of services or frequencies over such
routes. In developing such methodologies, the auditor or consultant
shall consider--</DELETED>
<DELETED>    (1) the current or expected performance and
service quality of intercity train operations, including cost
recovery, on-time performance and minutes of delay, ridership,
on-board services, stations, facilities, equipment, and other
services;</DELETED>
<DELETED>    (2) connectivity of a route with other
routes;</DELETED>
<DELETED>    (3) the transportation needs of communities and
populations that are not well served by other forms of public
transportation; and</DELETED>
<DELETED>    (4) Amtrak's and other major intercity passenger
rail service providers in other countries' methodologies for
determining intercity passenger rail routes and
services.</DELETED>
<DELETED>    (b) Submittal to Congress.--The auditor or consultant
shall submit recommendations developed under subsection (a) to Amtrak,
the House of Representatives Committee on Transportation and
Infrastructure, and the Senate Committee on Commerce, Science, and
Transportation.</DELETED>
<DELETED>    (c) Consideration of Recommendations.--Within 90 days
after receiving the recommendations developed under subsection (a) by
the independent auditor or consultant, the Amtrak Board shall consider
the adoption of those recommendations. The Board shall transmit a
report to the Senate Committee on Commerce, Science, and Transportation
and the House of Representatives Committee on Transportation and
Infrastructure explaining its action in adopting or failing to adopt
any of the recommendations.</DELETED>
<DELETED>    (d) Authorization of Appropriations.--There are authorized
to be made available to the Secretary of Transportation, out of any
amounts authorized by this Act to be appropriated for the benefit of
Amtrak and not otherwise obligated or expended, such sums as may be
necessary to carry out this section.</DELETED>

<DELETED>SEC. 208. METRICS AND STANDARDS.</DELETED>

<DELETED>    (a) In General.--Within 180 days after the date of
enactment of this Act, the Administrator of the Federal Railroad
Administration and Amtrak shall jointly, in consultation with the
Surface Transportation Board, and rail carriers over whose rail lines
Amtrak trains operate, as appropriate, develop new or improve existing
metrics and minimum standards for measuring the performance and service
quality of intercity train operations, including cost recovery, on-time
performance and minutes of delay, ridership, on-board services,
stations, facilities, equipment, and other services. Such metrics, at a
minimum, shall include the percentage of avoidable and fully allocated
operating costs covered by passenger revenues on each route, ridership
per train mile operated, measures of on-time performance and delays
incurred by intercity trains on the rail lines of each rail carrier
and, for long distance routes, and measures of connectivity with other
routes. Amtrak shall provide reasonable access to the Federal Railroad
Administration in order to enable the Administration to carry out its
duty under this section.</DELETED>
<DELETED>    (b) Quarterly Reports.--The Administrator of the Federal
Railroad Administration shall collect the necessary data and publish a
quarterly report on the performance and service quality of intercity
train operations, including cost recovery, ridership, on-time
performance and minutes of delay, causes of delay, on-board services,
stations, facilities, equipment, and other services.</DELETED>

<DELETED>SEC. 209. PASSENGER TRAIN PERFORMANCE.</DELETED>

<DELETED>    (a) In General.--Section 24308 is amended by adding at the
end the following:</DELETED>
<DELETED>    ``(f) Passenger Train Performance and Other Standards.--
</DELETED>
<DELETED>    ``(1) Investigation of substandard performance.--
If the on-time performance of any intercity passenger train
averages less than 80 percent for any 2 consecutive calendar
quarters, or the service quality of intercity train operations
for which minimum standards are established under section 208
of the Passenger Rail Investment and Improvement Act of 2005
fails to meet those standards for 2 consecutive calendar
quarters, the Surface Transportation Board shall investigate
whether, and to what extent, delays or failure to achieve
minimum standards are due to causes that could reasonably be
addressed by a rail carrier over the tracks of which the
intercity passenger train operates or reasonably addressed by
the intercity passenger rail operator. In carrying out such an
investigation, the Board shall obtain information from all
parties involved and make recommendations regarding reasonable
measures to improve the service, quality, and on-time
performance of the train.</DELETED>
<DELETED>    ``(2) Problems caused by host rail carrier.--If
the Board determines that delays or failures to achieve minimum
standards investigated under paragraph (1) are attributable to
a rail carrier's failure to provide preference to Amtrak over
freight transportation under subsection (c), then the Board
shall enforce its recommendations for relief under this
section.</DELETED>
<DELETED>    ``(3) Penalties.--</DELETED>
<DELETED>    ``(A) In general.--The Board shall publish
a schedule of penalties which will--</DELETED>
<DELETED>    ``(i) fairly reflect the extent to
which Amtrak suffers financial loss as a result
of host rail carrier delays or failure to
achieve minimum standards; and</DELETED>
<DELETED>    ``(ii) will adequately deter
future actions which may reasonably be expected
to be likely to result in delays to
Amtrak.</DELETED>
<DELETED>    ``(B) Assessment.--The Board may assess
these penalties upon a host rail carrier.</DELETED>
<DELETED>    ``(C) Use.--The Board shall make any
amounts received as penalties under this paragraph
available to Amtrak.</DELETED>
<DELETED>    (b) Change of Reference.--Section 24308 is amended--
</DELETED>
<DELETED>    (1) by striking ``Interstate Commerce Commission''
in subsection (a)(2)(A) and inserting ``Surface Transportation
Board'';</DELETED>
<DELETED>    (2) by striking ``Commission'' each place it
appears and inserting ``Board'';</DELETED>
<DELETED>    (3) by striking ``Secretary'' the last 3 places it
appears in subsection (c) and inserting ``Board''.</DELETED>

<DELETED>SEC. 210. LONG DISTANCE ROUTES.</DELETED>

<DELETED>    (a) In General.--Chapter 247 is amended by adding at the
end thereof the following:</DELETED>
<DELETED>``Sec. 24710. Long distance routes</DELETED>
<DELETED>    ``(a) Annual Evaluation.--Using the financial and
performance metrics developed under section 208 of the Passenger Rail
Investment and Improvement Act of 2005, Amtrak shall--</DELETED>
<DELETED>    ``(1) evaluate annually the performance of each
long distance passenger rail route operated by Amtrak;
and</DELETED>
<DELETED>    ``(2) rank the overall performance of such routes
for 2006 and identify each long distance passenger rail route
operated by Amtrak in 2006 according to its overall performance
as belonging to the best performing third of such routes, the
second best performing third of such routes, or the worst
performing third of such routes.</DELETED>
<DELETED>    ``(b) Performance Improvement Plan.--Amtrak shall develop
a performance improvement plan for its long distance passenger rail
routes based on the data collected through the application of the
financial and performance metrics developed under section 208 of that
Act. The plan shall address--</DELETED>
<DELETED>    ``(1) on-time performance;</DELETED>
<DELETED>    ``(2) scheduling, frequency, routes, and
stops;</DELETED>
<DELETED>    ``(3) the feasibility of restructuring service
into connected corridor service;</DELETED>
<DELETED>    ``(4) performance-related equipment changes and
capital improvements;</DELETED>
<DELETED>    ``(5) on-board amenities and service, including
food and sleeping car service;</DELETED>
<DELETED>    ``(6) State or other non-Federal financial
contributions; and</DELETED>
<DELETED>    ``(7) other aspects of Amtrak's long distance
passenger rail routes that affect the financial, competitive,
and functional performance of service on Amtrak's long distance
passenger rail routes.</DELETED>
<DELETED>    ``(c) Implementation.--Amtrak shall implement the
performance improvement plan developed under subsection (b)--</DELETED>
<DELETED>    ``(1) beginning in fiscal year 2007 for those
routes identified as being in the worst performing third under
subsection (a)(3);</DELETED>
<DELETED>    ``(2) beginning in fiscal year 2008 for those
routes identified as being in the second best performing third
under subsection (a)(3); and</DELETED>
<DELETED>    ``(3) beginning in fiscal year 2009 for those
routes identified as being in the best performing third under
subsection (a)(3).</DELETED>
<DELETED>    ``(d) Enforcement.--The Federal Railroad Administration
shall monitor the development, implementation, and outcome of
improvement plans under this section. If, for any year, it determines
that Amtrak is not making reasonable progress in implementing its
performance improvement plan or in achieving the expected outcome of
the plan for any calendar year, the Federal Railroad Administration--
</DELETED>
<DELETED>    ``(1) shall notify Amtrak of its determination
under this subsection;</DELETED>
<DELETED>    ``(2) shall provide an opportunity for a hearing
with respect to that determination; and</DELETED>
<DELETED>    ``(3) may withhold any appropriated funds
otherwise available to Amtrak for the operation of a route or
routes on which it is not making progress, other than funds
made available for passenger safety or security
measures.''.</DELETED>
<DELETED>    (b) Conforming Amendment.--The chapter analysis for
chapter 247 is amended by inserting after the item relating to section
24709 the following:</DELETED>

<DELETED>``24710. Long distance routes.''.

<DELETED>SEC. 211. ALTERNATE PASSENGER RAIL SERVICE PROGRAM.</DELETED>

<DELETED>    (a) In General.--Chapter 247, as amended by section 209,
is amended by adding at the end thereof the following:</DELETED>
<DELETED>``Sec. 24711. Alternate passenger rail service
program</DELETED>
<DELETED>    ``(a) In General.--Within 1 year after the date of
enactment of the Passenger Rail Investment and Improvement Act of 2005,
the Federal Railroad Administration shall initiate a rulemaking
proceeding to develop a program under which--</DELETED>
<DELETED>    ``(1) a rail carrier or rail carriers that own
infrastructure over which Amtrak operates a passenger rail
service route described in subparagraph (B) or (D) of section
24102(5) or in section 24702 of title 49, United States Code
may petition the Federal Railroad Administration to be
considered as a passenger rail service provider over that route
in lieu of Amtrak;</DELETED>
<DELETED>    ``(2) the Administration would notify Amtrak
within 30 days after receiving a petition under paragraph (1)
and establish a deadline by which both the petitioner and
Amtrak would be required to submit a bid to provide passenger
rail service over the route to which the petition
relates;</DELETED>
<DELETED>    ``(3) the Administration would make a decision
within a specified, limited time after that deadline awarding
to the winning bidder--</DELETED>
<DELETED>    ``(A) the right and obligation to provide
passenger rail service over that route subject to such
performance standards as the Administration may
require; and</DELETED>
<DELETED>    ``(B) an operating subsidy will be
provided--</DELETED>
<DELETED>    ``(i) for the first year at a
level not in excess of the level in effect
during the fiscal year preceding the fiscal
year in which the petition was received,
adjusted for inflation; and</DELETED>
<DELETED>    ``(ii) for any subsequent years at
such level, adjusted for inflation.</DELETED>
<DELETED>    ``(b) Implementation.--</DELETED>
<DELETED>    ``(1) Initial petitions.--Pursuant to any rules or
regulations promulgated under subsection (A), the
Administration shall establish a deadline for the submission of
a petition under subsection (a)--</DELETED>
<DELETED>    ``(A) during fiscal year 2007 for
operations commencing in fiscal year 2008;
and</DELETED>
<DELETED>    ``(B) during the immediately preceding
fiscal year for operations commencing in subsequent
fiscal years.</DELETED>
<DELETED>    ``(2) Route limitations.--The Administration may
not make the program available with respect to more than 1
Amtrak passenger rail routes for operations beginning in fiscal
year 2008 nor to more than 2 such routes for operations
beginning in fiscal year 2009 and subsequent fiscal
years.</DELETED>
<DELETED>    ``(c) Performance Standards; Access to Facilities;
Employees.--If the Administration awards the right and obligation to
provide passenger rail service over a route under the program to a rail
carrier or rail carriers--</DELETED>
<DELETED>    ``(1) it shall execute a contract with the rail
carrier or rail carriers for rail passenger operations on that
route that conditions the operating and subsidy rights upon the
service provider's compliance with the minimum standards
established under section 208 of the Passenger Rail Investment
and Improvement Act of 2005 and such additional performance
standards as the Administration may establish;</DELETED>
<DELETED>    ``(2) it shall, if the award is made to a rail
carrier other than Amtrak, require Amtrak to provide access to
its reservation system, stations, and facilities to any rail
carrier or rail carriers awarded a contract under this section,
in accordance with section 218 of that Act, necessary to carry
our the purposes of this section; and</DELETED>
<DELETED>    ``(3) any person used by a rail carrier or rail
carriers to operate a route under this section shall be
considered an employee of that carrier or carriers and subject
to the applicable Federal laws and regulations governing
similar crafts or classes of employees of Amtrak, including
provisions under section 121 of the Amtrak Reform and
Accountability Act of 1997 relating to employees that provide
food and beverage service.</DELETED>
<DELETED>    ``(d) Cessation of Service.--If a rail carrier or rail
carriers awarded a route under this section cease to operate the
service or fail to fulfill their obligations under the contract
required under subsection (c), the Administrator, in collaboration with
the Surface Transportation Board when applicable, shall take any
necessary action consistent with this title to enforce the contract and
ensure the continued provision of service, including the installment of
an interim service provider and re-bidding the contract to operate the
service.</DELETED>
<DELETED>    ``(e) Adequate Resources.--Before taking any action
allowed under this section, the Secretary shall certify that the
Administrator has sufficient resources that are adequate to undertake
the program established under this section.''.</DELETED>
<DELETED>    (b) Conforming Amendment.--The chapter analysis for
chapter 247, as amended by section 209, is amended by inserting after
the item relating to section 24710 the following:</DELETED>

<DELETED>``24711. Alternate passenger rail service program.''.

<DELETED>SEC. 212. EMPLOYEE TRANSITION ASSISTANCE.</DELETED>

<DELETED>    (a) Provision of Financial Incentives.--For Amtrak
employees who are adversely affected by the cessation of the operation
of a long distance route or any other route under section 24711 of
title 49, United States Code, previously operated by Amtrak, the
Secretary shall develop a program under which the Secretary may, in the
Secretary's discretion, provide grants for financial incentives to be
provided to employees of the National Railroad Passenger Corporation
who voluntarily terminate their employment with the Corporation and
relinquish any legal rights to receive termination-related payments
under any contractual agreement with the Corporation.</DELETED>
<DELETED>    (b) Conditions for Financial Incentives.--As a condition
for receiving financial assistance grants under this section, the
Corporation must certify that--</DELETED>
<DELETED>    (1) a reasonable attempt was made to reassign an
employee adversely affected under section 24711 of title 49,
United States Code, or by the elimination of any route, to
other positions within the Corporation in accordance with any
contractual agreements;</DELETED>
<DELETED>    (2) the financial assistance results in a net
reduction in the total number of employees equal to the number
receiving financial incentives;</DELETED>
<DELETED>    (3) the financial assistance results in a net
reduction in total employment expense equivalent to the total
employment expenses associated with the employees receiving
financial incentives; and</DELETED>
<DELETED>    (4) the total number of employees eligible for
termination-related payments will not be increased without the
express written consent of the Secretary.</DELETED>
<DELETED>    (c) Amount of Financial Incentives.--The financial
incentives authorized under this section may be no greater than $50,000
per employee.</DELETED>
<DELETED>    (d) Authorization of Appropriations.--There are hereby
authorized to be appropriated to the Secretary such sums as may be
necessary to make grants to the National Railroad Passenger Corporation
to provide financial incentives under subsection (a).</DELETED>
<DELETED>    (e) Termination-Related Payments.--If Amtrak employees
adversely affected by the cessation of Amtrak service resulting from
the awarding of a grant to an operator other than Amtrak for the
operation of a route under section 24711 of title 49, United States
Code, or any other route, previously operated by Amtrak do not receive
financial incentives under subsection (a), then the Secretary shall
make grants to the National Railroad Passenger Corporation from funds
authorized by section 102 of this Act for termination-related payments
to employees under existing contractual agreements.</DELETED>

<DELETED>SEC. 213. NORTHEAST CORRIDOR STATE-OF-GOOD-REPAIR
PLAN.</DELETED>

<DELETED>    (a) In General.--Within 6 months after the date of
enactment of this Act, the National Railroad Passenger Corporation, in
consultation with the Secretary and the States (including the District
of Columbia) that make up the Northeast Corridor (as defined in section
24102 of title 49, United States Code), shall prepare a capital
spending plan for capital projects required to return the Northeast
Corridor to a state of good repair by the end of fiscal year 2011,
consistent with the funding levels authorized in this Act and shall
submit the plan to the Secretary.</DELETED>
<DELETED>    (b) Approval by the Secretary.--</DELETED>
<DELETED>    (1) The Corporation shall submit the capital
spending plan prepared under this section to the Secretary of
Transportation for review and approval pursuant to the
procedures developed under section 205 of this Act.</DELETED>
<DELETED>    (2) The Secretary of Transportation shall require
that the plan be updated at least annually and shall review and
approve such updates. During review, the Secretary shall seek
comments and review from the commission established under
section 24905 of title 49, United States Code, and other
Northeast Corridor users regarding the plan.</DELETED>
<DELETED>    (3) The Secretary shall make grants to the
Corporation with funds authorized by section 101(b) for
Northeast Corridor capital investments contained within the
capital spending plan prepared by the Corporation and approved
by the Secretary.</DELETED>
<DELETED>    (c) Eligibility of Expenditures.--The Federal share of
expenditures for capital improvements under this section may not exceed
100 percent.</DELETED>

<DELETED>SEC. 214. NORTHEAST CORRIDOR INFRASTRUCTURE AND OPERATIONS
IMPROVEMENTS.</DELETED>

<DELETED>    (a) In General.--Section 24905(a) is amended to read as
follows:</DELETED>
<DELETED>``Sec. 24905. Northeast Corridor Infrastructure and Operations
Advisory Commission; Safety and Security
Committee</DELETED>
<DELETED>    ``(a) Northeast Corridor Infrastructure and Operations
Advisory Commission.--</DELETED>
<DELETED>    ``(1) Within 180 days after the date of enactment
of the Passenger Rail Investment and Improvement Act of 2005,
the Secretary of Transportation shall establish a `Northeast
Corridor Infrastructure and Operations Advisory Commission'
(hereinafter referred to in this section as the `Commission')
to promote mutual cooperation and planning pertaining to the
rail operations and related activities of the Northeast
Corridor. The Commission shall be made up of--</DELETED>
<DELETED>    ``(A) members representing the National
Railroad Passenger Corporation;</DELETED>
<DELETED>    ``(B) members representing the Federal
Railroad Administration; and</DELETED>
<DELETED>    ``(C) 1 member from each of the States
(including the District of Columbia) that constitute
the Northeast Corridor as defined in section 24102,
designated by the chief executive officer
thereof.</DELETED>
<DELETED>    ``(2) The Secretary shall ensure that the
membership belonging to any of the groups enumerated under
subparagraph (1) shall not constitute a majority of the
commission's memberships.</DELETED>
<DELETED>    ``(3) The commission shall establish a schedule
and location for convening meetings, but shall meet no less
than four times per fiscal year, and the commission shall
develop rules and procedures to govern the commission's
proceedings.</DELETED>
<DELETED>    ``(4) A vacancy in the Commission shall be filled
in the manner in which the original appointment was
made.</DELETED>
<DELETED>    ``(5) Members shall serve without pay but shall
receive travel expenses, including per diem in lieu of
subsistence, in accordance with sections 5702 and 5703 of title
5, United States Code.</DELETED>
<DELETED>    ``(6) The Chairman of the Commission shall be
elected by the members.</DELETED>
<DELETED>    ``(7) The Commission may appoint and fix the pay
of such personnel as it considers appropriate.</DELETED>
<DELETED>    ``(8) Upon request of the Commission, the head of
any department or agency of the United States may detail, on a
reimbursable basis, any of the personnel of that department or
agency to the Commission to assist it in carrying out its
duties under this section.</DELETED>
<DELETED>    ``(9) Upon the request of the Commission, the
Administrator of General Services shall provide to the
Commission, on a reimbursable basis, the administrative support
services necessary for the Commission to carry out its
responsibilities under this section.</DELETED>
<DELETED>    ``(10) The commission shall consult with freight
railroads users of the Northeast Corridor and other entities as
appropriate.</DELETED>
<DELETED>    ``(b) General Recommendations.--The Commission shall
develop recommendations concerning northeast corridor rail
infrastructure and operations including proposals addressing, as
appropriate--</DELETED>
<DELETED>    ``(1) short-term and long term capital investment
needs beyond the stat-of-good-repair under section
213;</DELETED>
<DELETED>    ``(2) future funding requirements for capital
improvements and maintenance;</DELETED>
<DELETED>    ``(3) operational improvements of intercity
passenger rail, commuter rail, and freight rail
services;</DELETED>
<DELETED>    ``(4) opportunities for additional non-rail uses
of the Northeast Corridor;</DELETED>
<DELETED>    ``(5) scheduling and dispatching;</DELETED>
<DELETED>    ``(6) safety and security enhancements;</DELETED>
<DELETED>    ``(7) equipment design;</DELETED>
<DELETED>    ``(8) marketing of rail services; and</DELETED>
<DELETED>    ``(9) future capacity requirements.</DELETED>
<DELETED>    ``(c) Access Costs.--</DELETED>
<DELETED>    ``(1) Development of formula.--Within 1 year after
verification of Amtrak's new financial accounting system
pursuant to section 203(b) of the Passenger Rail Investment and
Improvement Act of 2005, the Commission shall--</DELETED>
<DELETED>    ``(A) develop a standardized formula for
determining and allocating costs, revenues, and
compensation for northeast corridor commuter rail
passenger transportation, as defined in section 24102
of this title, that use National Railroad Passenger
Corporation facilities or services or that provide such
facilities or services to the National Railroad
Passenger Corporation that ensure that--</DELETED>
<DELETED>    ``(i) there is no cross-
subsidization of commuter rail passenger,
intercity rail passenger, or freight rail
transportation; and</DELETED>
<DELETED>    ``(ii) each service is assigned
the costs incurred only for the benefit of that
service, and a proportionate share, based upon
factors that reasonably reflect relative use,
of costs incurred for the common benefit of
more than 1 service;</DELETED>
<DELETED>    ``(B) develop a proposed timetable for
implementing the formula before the end of the 6th year
following the date of enactment of that Act;
and</DELETED>
<DELETED>    ``(C) transmit the proposed timetable to
the Surface Transportation Board.</DELETED>
<DELETED>    ``(2) Implementation.--The National Railroad
Passenger Corporation and the commuter authorities providing
commuter rail passenger transportation on the northeast
corridor shall implement new agreements for usage of facilities
or services based on the formula proposed in paragraph (1) in
accordance with the timetable established therein. If the
parties fail to implement such new agreements in accordance
with the timetable, the parties shall--</DELETED>
<DELETED>    ``(A) submit any dispute regarding such
implementation to binding arbitration conducted by a
mutually agreed upon arbitrator and comply with the
decision of that arbitrator; or</DELETED>
<DELETED>    ``(B) petition the Surface Transportation
Board to determine the appropriate compensation amounts
for such services in accordance with section 24904(c)
of this title.</DELETED>
<DELETED>    ``(d) Transmission of Recommendations.--The commission
shall annually transmit the recommendations developed under subsection
(b) and the formula and timetable developed under subsection (c)(1) to
the Senate Committee on Commerce, Science, and Transportation and the
House of Representatives Committee on Transportation and
Infrastructure.''.</DELETED>
<DELETED>    (b) Establishment of Northeast Corridor Safety and
Security Committee.--</DELETED>
<DELETED>    (1) Section 24905(b)(1) is amended--</DELETED>
<DELETED>    (A) by striking the first sentence and
inserting ``The Secretary shall establish a Northeast
Corridor Safety and Security Committee composed of
members appointed by the Secretary.'';</DELETED>
<DELETED>    (B) by striking ``and'' after the
semicolon in subparagraph (F); and</DELETED>
<DELETED>    (C) by redesignating subparagraph (G) as
subparagraph (H) and inserting after subparagraph (F)
the following:</DELETED>
<DELETED>    ``(G) the Transportation Security Administration;
and''.</DELETED>
<DELETED>    (2) Subsections (b)(2) and (b)(3) of section 24905
are each amended by inserting ``and security'' after ``safety''
each place it appears.</DELETED>
<DELETED>    (3) The first sentence of section 24905(b)(3) is
amended by inserting ``to the commission established under
subsection (a) and'' after ``report''.</DELETED>
<DELETED>    (4) Section 24905(b)(4) is amended by striking
``January 1, 1999,'' and inserting ``January 1,
2009,''.</DELETED>

<DELETED>SEC. 215. RESTRUCTURING LONG-TERM DEBT AND CAPITAL
LEASES.</DELETED>

<DELETED>    (a) In General.--The Secretary of the Treasury, in
consultation with the Secretary of Transportation and Amtrak, may make
agreements to restructure Amtrak's indebtedness as of the date of
enactment of this Act. This authorization expires on January 1,
2007.</DELETED>
<DELETED>    (b) Debt Restructuring.--The Secretary of Treasury, in
consultation with the Secretary of the Transportation and Amtrak, shall
enter into negotiations with the holders of Amtrak debt, including
leases, outstanding on the date of enactment of this Act for the
purpose of restructuring (including repayment) and repaying that debt.
The Secretary of the Treasury shall secure agreements for restructuring
or repayment on such terms as the Secretary of the Treasury deems
favorable to the interests of the Government.</DELETED>
<DELETED>    (c) Criteria.--In restructuring Amtrak's indebtedness, the
Secretary and Amtrak--</DELETED>
<DELETED>    (1) shall take into consideration repayment costs,
the term of any loan or loans, and market conditions;
and</DELETED>
<DELETED>    (2) shall ensure that the restructuring results in
significant savings to Amtrak and the United States
Government.</DELETED>
<DELETED>    (d) Payment of Renegotiated Debt.--If the criteria under
subsection (c) are met, the Secretary of Treasury shall assume or repay
the restructured debt, as appropriate.</DELETED>
<DELETED>    (e) Amtrak Principal and Interest Payments.--</DELETED>
<DELETED>    (1) Principal on debt service.--Unless the
Secretary of Treasury makes sufficient payments to creditors
under subsection (d) so that Amtrak is required to make no
payments to creditors in a fiscal year, the Secretary of
Transportation shall use funds authorized by section 103(a)(1)
for the use of Amtrak for retirement of principal on loans for
capital equipment, or capital leases.</DELETED>
<DELETED>    (2) Interest on debt.--Unless the Secretary of
Treasury makes sufficient payments to creditors under
subsection (d) so that Amtrak is required to make no payments
to creditors in a fiscal year, the Secretary of Transportation
shall use funds authorized by section 103(a)(2) for the use of
Amtrak for the payment of interest on loans for capital
equipment, or capital leases.</DELETED>
<DELETED>    (3) Reductions in authorization levels.--Whenever
action taken by the Secretary of the Treasury under subsection
(a) results in reductions in amounts of principal or interest
that Amtrak must service on existing debt, the corresponding
amounts authorized by section 103(a)(1) or (2) shall be reduced
accordingly.</DELETED>
<DELETED>    (f) Legal Effect of Payments Under This Section.--The
payment of principal and interest on secured debt, other than debt
assumed under subsection (d), with the proceeds of grants under
subsection (e) shall not--</DELETED>
<DELETED>    (1) modify the extent or nature of any
indebtedness of the National Railroad Passenger Corporation to
the United States in existence of the date of enactment of this
Act;</DELETED>
<DELETED>    (2) change the private nature of Amtrak's or its
successors' liabilities; or</DELETED>
<DELETED>    (3) imply any Federal guarantee or commitment to
amortize Amtrak's outstanding indebtedness.</DELETED>
<DELETED>    (g) Secretary Approval.--Amtrak may not incur more debt
after the date of enactment of this Act without the express advance
approval of the Secretary of Transportation.</DELETED>
<DELETED>    (h) Report.--The Secretary of the Treasury shall transmit
a report to the Senate Committee on Commerce, Science, and
Transportation, the Senate Committee on Appropriations, the House of
Representatives Committee on Transportation and Infrastructure, and the
House of Representatives Committee on Appropriations by June 1, 2007--
</DELETED>
<DELETED>    (1) describing in detail any agreements to
restructure the Amtrak debt; and</DELETED>
<DELETED>    (2) providing an estimate of the savings to Amtrak
and the United States Government.</DELETED>

<DELETED>SEC. 216. STUDY OF COMPLIANCE REQUIREMENTS AT EXISTING
INTERCITY RAIL STATIONS.</DELETED>

<DELETED>    Amtrak shall evaluate the improvements necessary to make
all existing stations it serves readily accessible to and usable by
individuals with disabilities, as required by section 242(e)(2) of the
Americans with Disabilities Act of 1990 (42 U.S.C. 12162(e)(2)). The
evaluation shall include the estimated cost of the improvements
necessary, the identification of the responsible person (as defined in
section 241(5) of that Act (42 U.S.C. 12161(5))), and the earliest
practicable date when such improvements can be made. Amtrak shall
submit the survey to the Senate Committee on Commerce, Science, and
Transportation, the House of Representatives Committee on
Transportation and Infrastructure, and the National Council on
Disability by September 30, 2006, along with recommendations for
funding the necessary improvements.</DELETED>

<DELETED>SEC. 217. INCENTIVE PAY.</DELETED>

<DELETED>    The Amtrak Board of Directors is encouraged to develop an
incentive pay program for Amtrak employees.</DELETED>

<DELETED>SEC. 218. ACCESS TO AMTRAK EQUIPMENT AND SERVICES.</DELETED>

<DELETED>    If a State desires to select or selects an entity other
than Amtrak to provide services required for the operation of a route
described in section 24102(5)(D) or 24702 of title 49, United States
Code, the State may make an agreement with Amtrak to use facilities and
equipment of, or have services provided by, Amtrak under terms agreed
to by the State and Amtrak to enable the State to utilize an entity
other than Amtrak to provide services required for operation of the
route. If the parties cannot agree upon terms, and the Surface
Transportation Board finds that access to Amtrak's facilities or
equipment, or the provision of services by Amtrak, is necessary to
carry out this provision and that the operation of Amtrak's other
services will not be impaired thereby, the Surface Transportation Board
shall, within 120 days after submission of the dispute, issue an order
that the facilities and equipment be made available, and that services
be provided, by Amtrak, and shall determine reasonable compensation,
liability and other terms for use of the facilities and equipment and
provision of the services. Compensation shall be determined in accord
with the methodology established pursuant to section 206 of this
Act.</DELETED>

<DELETED>SEC. 219. GENERAL AMTRAK PROVISIONS.</DELETED>

<DELETED>    (a) Repeal of Self-Sufficiency Requirements.</DELETED>
<DELETED>    (1) Title 49 amendments.--Chapter 241 is amended--
</DELETED>
<DELETED>    (A) by striking the last sentence of
section 24101(d); and</DELETED>
<DELETED>    (B) by striking the last sentence of
section 24104(a).</DELETED>
<DELETED>    (2) Amtrak reform and accountability act
amendments.--Title II of the Amtrak Reform and Accountability
Act of 1997 (49 U.S.C. 24101 nt) is amended by striking
sections 204 and 205.</DELETED>
<DELETED>    (3) Common stock redemption date.--Section 415 of
the Amtrak Reform and Accountability Act of 1997 (49 U.S.C.
24304 nt) is amended by striking subsection (b).</DELETED>
<DELETED>    (b) Lease Arrangements.--Amtrak may obtain services from
the Administrator of General Services, and the Administrator may
provide services to Amtrak, under section 201(b) and 211(b) of the
Federal Property and Administrative Service Act of 1949 (40 U.S.C.
481(b) and 491(b)) for each of fiscal years 2006 through
2011.</DELETED>

<DELETED>SEC. 220. PRIVATE SECTOR FUNDING OF PASSENGER
TRAINS.</DELETED>

<DELETED>    Amtrak is encouraged to increase its operation of trains
funded by the private sector in order to minimize its need for Federal
subsidies. Amtrak shall utilize the provisions of section 24308 of
title 49, United States Code, when necessary to obtain access to
facilities, train and engine crews, or services of a rail carrier or
regional transportation authority that are required to operate such
trains.</DELETED>

<DELETED>SEC. 221. ON-BOARD SERVICE IMPROVEMENTS.</DELETED>

<DELETED>    (a) In General.--Within 1 year after metrics and standards
are established under section 208 of this Act, Amtrak shall develop and
implement a plan to improve on-board service pursuant to the metrics
and standards for such service developed under that section.</DELETED>
<DELETED>    (b) Report.--Amtrak shall provide a report to the Senate
Committee on Commerce, Science, and Transportation and the House of
Representatives Committee on Transportation and Infrastructure on the
on-board service improvements proscribed in the plan and the timeline
for implementing such improvements.</DELETED>

<DELETED>TITLE III--INTERCITY PASSENGER RAIL POLICY</DELETED>

<DELETED>SEC. 301. CAPITAL ASSISTANCE FOR INTERCITY PASSENGER RAIL
SERVICE; STATE RAIL PLANS.</DELETED>

<DELETED>    (a) In General.--Part C of subtitle V is amended by
inserting the following after chapter 243:</DELETED>

<DELETED>``CHAPTER 244--INTERCITY PASSENGER RAIL SERVICE CORRIDOR
CAPITAL ASSISTANCE

<DELETED>``Sec.
<DELETED>``24401. Definitions.
<DELETED>``24402. Capital investment grants to support intercity
passenger rail service.
<DELETED>``24403. Project management oversight.
<DELETED>``24404. Use of capital grants to finance first-dollar
liability of grant project.
<DELETED>``24405. Grant conditions.
<DELETED>``Sec. 24401. Definitions</DELETED>
<DELETED>    ``In this subchapter:</DELETED>
<DELETED>    ``(1) Applicant.--The term `applicant' means a
State (including the District of Columbia), a group of States,
an Interstate Compact, or a public agency established by one or
more States and having responsibility for providing intercity
passenger rail service.</DELETED>
<DELETED>    ``(2) Capital project.--The term `capital project'
means a project or program in a State rail plan developed under
chapter 225 of this title for--</DELETED>
<DELETED>    ``(A) acquiring, constructing, improving,
or inspecting equipment or a facility for use in or for
the primary benefit of intercity passenger rail
service, expenses incidental to the acquisition or
construction (including designing, engineering,
location surveying, mapping, environmental studies, and
acquiring rights-of-way), payments for the capital
portions of rail trackage rights agreements, highway-
rail grade crossing improvements related to intercity
passenger rail service, security, mitigating
environmental impacts, communication and signalization
improvements, relocation assistance, acquiring
replacement housing sites, and acquiring, constructing,
relocating, and rehabilitating replacement
housing;</DELETED>
<DELETED>    ``(B) rehabilitating, remanufacturing or
overhauling rail rolling stock and facilities used
primarily in intercity passenger rail
service;</DELETED>
<DELETED>    ``(C) costs associated with developing
State rail plans; and</DELETED>
<DELETED>    ``(D) the first-dollar liability costs for
insurance related to the provision of intercity
passenger rail service under section 24404.</DELETED>
<DELETED>    ``(3) Intercity passenger rail service.--The term
`intercity passenger rail service' means transportation
services with the primary purpose of passenger transportation
between towns, cities and metropolitan areas by rail, including
high-speed rail, as defined in section 24102 of title 49,
United States Code.</DELETED>
<DELETED>``Sec. 24402. Capital investment grants to support intercity
passenger rail service</DELETED>
<DELETED>    ``(a) General Authority.--</DELETED>
<DELETED>    ``(1) The Secretary of Transportation may make
grants under this section to an applicant to assist in
financing the capital costs of facilities and equipment
necessary to provide or improve intercity passenger rail
transportation.</DELETED>
<DELETED>    ``(2) The Secretary shall require that a grant
under this section be subject to the terms, conditions,
requirements, and provisions the Secretary decides are
necessary or appropriate for the purposes of this section,
including requirements for the disposition of net increases in
value of real property resulting from the project assisted
under this section and shall prescribe procedures and schedules
for the awarding of grants under this title, including
application and qualification procedures and a record of
decision on applicant eligibility. The Secretary shall issue a
final rule establishing such procedures not later than 90 days
after the date of enactment of the Passenger Rail Investment
and Improvement Act of 2005.</DELETED>
<DELETED>    ``(b) Project as Part of State Rail Plan.--</DELETED>
<DELETED>    ``(1) The Secretary may not approve a grant for a
project under this section unless the Secretary finds that the
project is part of a State rail plan developed under chapter
225 of this title and that the applicant or recipient has or
will have the legal, financial, and technical capacity to carry
out the project, satisfactory continuing control over the use
of the equipment or facilities, and the capability and
willingness to maintain the equipment or facilities.</DELETED>
<DELETED>    ``(2) An applicant shall provide sufficient
information upon which the Secretary can make the findings
required by this subsection.</DELETED>
<DELETED>    ``(3) If an applicant has not selected the
proposed operator of its service competitively, the applicant
shall provide written justification to the Secretary showing
why the proposed operator is the best, taking into account
price and other factors, and that use of the proposed operator
will not unnecessarily increase the cost of the
project.</DELETED>
<DELETED>    ``(c) Project Selection Criteria.--The Secretary, in
selecting the recipients of financial assistance to be provided under
subsection (a), shall--</DELETED>
<DELETED>    ``(1) require that each proposed project meet all
safety and security requirements that are applicable to the
project under law;</DELETED>
<DELETED>    ``(2) give preference to projects with high levels
of estimated ridership, increased on-time performance, reduced
trip time, additional service frequency, or other significant
service enhancements as measured against minimum standards
developed under section 208 of the Passenger Rail Investment
and Improvement Act of 2005;</DELETED>
<DELETED>    ``(3) encourage intermodal connectivity through
projects that provide direct connections between train
stations, airports, bus terminals, subway stations, ferry
ports, and other modes of transportation;</DELETED>
<DELETED>    ``(4) ensure that each project is compatible with,
and is operated in conformance with--</DELETED>
<DELETED>    ``(A) plans developed pursuant to the
requirements of section 135 of title 23, United States
Code; and</DELETED>
<DELETED>    ``(B) the national rail plan (if it is
available); and</DELETED>
<DELETED>    ``(5) favor the following kinds of
projects:</DELETED>
<DELETED>    ``(A) Projects that are expected to have a
significant favorable impact on air or highway traffic
congestion, capacity, or safety.</DELETED>
<DELETED>    ``(B) Projects that also improve freight
or commuter rail operations.</DELETED>
<DELETED>    ``(C) Projects that have significant
environmental benefits.</DELETED>
<DELETED>    ``(D) Projects that are--</DELETED>
<DELETED>    ``(i) at a stage of preparation
that all pre-commencement compliance with
environmental protection requirements has
already been completed; and</DELETED>
<DELETED>    ``(ii) ready to be
commenced.</DELETED>
<DELETED>    ``(E) Projects with positive economic and
employment impacts.</DELETED>
<DELETED>    ``(F) Projects that encourage the use of
positive train control technologies.</DELETED>
<DELETED>    ``(G) Projects that have commitments of
funding from non-Federal Government sources in a total
amount that exceeds the minimum amount of the non-
Federal contribution required for the
project.</DELETED>
<DELETED>    ``(H) Projects that involve donated
property interests or services.</DELETED>
<DELETED>    ``(I) Projects that are identified by the
Surface Transportation Board as necessary to improve
the on time performance and reliability of intercity
passenger rail under section 24308(f).</DELETED>
<DELETED>    ``(d) Amtrak Eligibility.--To receive a grant under this
section, the National Railroad Passenger Corporation may enter into a
cooperative agreement with 1 or more States to carry out 1 or more
projects on a State rail plan's ranked list of rail capital projects
developed under section 22504(a)(5) of this title.</DELETED>
<DELETED>    ``(e) Letters of Intent, Full Funding Grant Agreements,
and Early Systems Work Agreements.--</DELETED>
<DELETED>    ``(1)(A) The Secretary may issue a letter of
intent to an applicant announcing an intention to obligate, for
a major capital project under this section, an amount from
future available budget authority specified in law that is not
more than the amount stipulated as the financial participation
of the Secretary in the project.</DELETED>
<DELETED>    ``(B) At least 30 days before issuing a
letter under subparagraph (A) of this paragraph or
entering into a full funding grant agreement, the
Secretary shall notify in writing the Committee on
Transportation and Infrastructure of the House of
Representatives and the Committee on Commerce, Science,
and Transportation of the Senate and the House and
Senate Committees on Appropriations of the proposed
letter or agreement. The Secretary shall include with
the notification a copy of the proposed letter or
agreement as well as the evaluations and ratings for
the project.</DELETED>
<DELETED>    ``(C) An obligation or administrative
commitment may be made only when amounts are
appropriated.</DELETED>
<DELETED>    ``(2)(A) The Secretary may make a full funding
grant agreement with an applicant. The agreement shall--
</DELETED>
<DELETED>    ``(i) establish the terms of
participation by the United States Government
in a project under this section;</DELETED>
<DELETED>    ``(ii) establish the maximum
amount of Government financial assistance for
the project;</DELETED>
<DELETED>    ``(iii) cover the period of time
for completing the project, including a period
extending beyond the period of an
authorization; and</DELETED>
<DELETED>    ``(iv) make timely and efficient
management of the project easier according to
the law of the United States.</DELETED>
<DELETED>    ``(B) An agreement under this paragraph
obligates an amount of available budget authority
specified in law and may include a commitment,
contingent on amounts to be specified in law in advance
for commitments under this paragraph, to obligate an
additional amount from future available budget
authority specified in law. The agreement shall state
that the contingent commitment is not an obligation of
the Government and is subject to the availability of
appropriations made by Federal law and to Federal laws
in force on or enacted after the date of the contingent
commitment. Interest and other financing costs of
efficiently carrying out a part of the project within a
reasonable time are a cost of carrying out the project
under a full funding grant agreement, except that
eligible costs may not be more than the cost of the
most favorable financing terms reasonably available for
the project at the time of borrowing. The applicant
shall certify, in a way satisfactory to the Secretary,
that the applicant has shown reasonable diligence in
seeking the most favorable financing terms.</DELETED>
<DELETED>    ``(3)(A) The Secretary may make an early systems
work agreement with an applicant if a record of decision under
the National Environmental Policy Act of 1969 (42 U.S.C. 4321
et seq.) has been issued on the project and the Secretary finds
there is reason to believe--</DELETED>
<DELETED>    ``(i) a full funding grant
agreement for the project will be made;
and</DELETED>
<DELETED>    ``(ii) the terms of the work
agreement will promote ultimate completion of
the project more rapidly and at less
cost.</DELETED>
<DELETED>    ``(B) A work agreement under this
paragraph obligates an amount of available budget
authority specified in law and shall provide for
reimbursement of preliminary costs of carrying out the
project, including land acquisition, timely procurement
of system elements for which specifications are
decided, and other activities the Secretary decides are
appropriate to make efficient, long-term project
management easier. A work agreement shall cover the
period of time the Secretary considers appropriate. The
period may extend beyond the period of current
authorization. Interest and other financing costs of
efficiently carrying out the work agreement within a
reasonable time are a cost of carrying out the
agreement, except that eligible costs may not be more
than the cost of the most favorable financing terms
reasonably available for the project at the time of
borrowing. The applicant shall certify, in a way
satisfactory to the Secretary, that the applicant has
shown reasonable diligence in seeking the most
favorable financing terms. If an applicant does not
carry out the project for reasons within the control of
the applicant, the applicant shall repay all Government
payments made under the work agreement plus reasonable
interest and penalty charges the Secretary establishes
in the agreement.</DELETED>
<DELETED>    ``(4) The total estimated amount of future
obligations of the Government and contingent commitments to
incur obligations covered by all outstanding letters of intent,
full funding grant agreements, and early systems work
agreements may be not more than the amount authorized under
section 101(c) of Passenger Rail Investment and Improvement Act
of 2005, less an amount the Secretary reasonably estimates is
necessary for grants under this section not covered by a
letter. The total amount covered by new letters and contingent
commitments included in full funding grant agreements and early
systems work agreements may be not more than a limitation
specified in law.</DELETED>
<DELETED>    ``(f) Federal Share of Net Project Cost.--</DELETED>
<DELETED>    ``(1)(A) Based on engineering studies, studies of
economic feasibility, and information on the expected use of
equipment or facilities, the Secretary shall estimate the net
project cost.</DELETED>
<DELETED>    ``(B) A grant for the project shall not
exceed 80 percent of the project net capital
cost.</DELETED>
<DELETED>    ``(C) The Secretary shall give priority in
allocating future obligations and contingent
commitments to incur obligations to grant requests
seeking a lower Federal share of the project net
capital cost.</DELETED>
<DELETED>    ``(2) Up to an additional 20 percent of the
required non-Federal funds may be funded from amounts
appropriated to or made available to a department or agency of
the Federal Government that are eligible to be expended for
transportation.</DELETED>
<DELETED>    ``(3) 50 percent of the average amounts expended
by a State or group of States (including the District of
Columbia) for capital projects to benefit intercity passenger
rail service in fiscal years 2004 and 2005 shall be credited
towards the matching requirements for grants awarded under this
section. The Secretary may require such information as
necessary to verify such expenditures.</DELETED>
<DELETED>    ``(4) 50 percent of the average amounts expended
by a State or group of States (including the District of
Columbia) in a fiscal year beginning in 2006 for capital
projects to benefit intercity passenger rail service or for the
operating costs of such service above the average of
expenditures made for such service in fiscal years 2004 and
2005 shall be credited towards the matching requirements for
grants awarded under this section. The Secretary may require
such information as necessary to verify such
expenditures.</DELETED>
<DELETED>    ``(g) Undertaking Projects in Advance.--</DELETED>
<DELETED>    ``(1) The Secretary may pay the Federal share of
the net capital project cost to an applicant that carries out
any part of a project described in this section according to
all applicable procedures and requirements if--</DELETED>
<DELETED>    ``(A) the applicant applies for the
payment;</DELETED>
<DELETED>    ``(B) the Secretary approves the payment;
and</DELETED>
<DELETED>    ``(C) before carrying out the part of the
project, the Secretary approves the plans and
specifications for the part in the same way as other
projects under this section.</DELETED>
<DELETED>    ``(2) The cost of carrying out part of a project
includes the amount of interest earned and payable on bonds
issued by the applicant to the extent proceeds of the bonds are
expended in carrying out the part. However, the amount of
interest under this paragraph may not be more than the most
favorable interest terms reasonably available for the project
at the time of borrowing. The applicant shall certify, in a
manner satisfactory to the Secretary, that the applicant has
shown reasonable diligence in seeking the most favorable
financial terms.</DELETED>
<DELETED>    ``(3) The Secretary shall consider changes in
capital project cost indices when determining the estimated
cost under paragraph (2) of this subsection.</DELETED>
<DELETED>    ``(h) 2-Year Availability.--Funds appropriated under this
section shall remain available until expended. If any amount provided
as a grant under this section is not obligated or expended for the
purposes described in subsection (a) within 2 years after the date on
which the State received the grant, such sums shall be returned to the
Secretary for other intercity passenger rail development projects under
this section at the discretion of the Secretary.</DELETED>
<DELETED>    ``(i) Public-Private Partnerships.--</DELETED>
<DELETED>    ``(1) In general.--A metropolitan planning
organization, State transportation department, or other project
sponsor may enter into an agreement with any public, private,
or nonprofit entity to cooperatively implement any project
funded with a grant under this title.</DELETED>
<DELETED>    ``(2) Forms of participation.--Participation by an
entity under paragraph (1) may consist of--</DELETED>
<DELETED>    ``(A) ownership or operation of any land,
facility, locomotive, rail car, vehicle, or other
physical asset associated with the project;</DELETED>
<DELETED>    ``(B) cost-sharing of any project
expense;</DELETED>
<DELETED>    ``(C) carrying out administration,
construction management, project management, project
operation, or any other management or operational duty
associated with the project; and</DELETED>
<DELETED>    ``(D) any other form of participation
approved by the Secretary.</DELETED>
<DELETED>    ``(3) Sub-allocation.--A State may allocate funds
under this section to any entity described in paragraph
(1).</DELETED>
<DELETED>    ``(j) Special Transportation Circumstances.--In carrying
out this section, the Secretary shall allocate an appropriate portion
of the amounts available under this section to provide grants to
States--</DELETED>
<DELETED>    ``(1) in which there is no intercity passenger
rail service for the purpose of funding freight rail capital
projects that are on a State rail plan developed under chapter
225 of this title that provide public benefits (as defined in
chapter 225) as determined by the Secretary; or</DELETED>
<DELETED>    ``(2) in which the rail transportation system is
not physically connected to rail systems in the continental
United States or may not otherwise qualify for a grant under
this section due to the unique characteristics of the geography
of that State or other relevant considerations, for the purpose
of funding transportation-related capital projects.</DELETED>
<DELETED>``Sec. 24403. Project management oversight</DELETED>
<DELETED>    ``(a) Project Management Plan Requirements.--To receive
Federal financial assistance for a major capital project under this
subchapter, an applicant must prepare and carry out a project
management plan approved by the Secretary of Transportation. The plan
shall provide for--</DELETED>
<DELETED>    ``(1) adequate recipient staff organization with
well-defined reporting relationships, statements of functional
responsibilities, job descriptions, and job
qualifications;</DELETED>
<DELETED>    ``(2) a budget covering the project management
organization, appropriate consultants, property acquisition,
utility relocation, systems demonstration staff, audits, and
miscellaneous payments the recipient may be prepared to
justify;</DELETED>
<DELETED>    ``(3) a construction schedule for the
project;</DELETED>
<DELETED>    ``(4) a document control procedure and
recordkeeping system;</DELETED>
<DELETED>    ``(5) a change order procedure that includes a
documented, systematic approach to handling the construction
change orders;</DELETED>
<DELETED>    ``(6) organizational structures, management
skills, and staffing levels required throughout the
construction phase;</DELETED>
<DELETED>    ``(7) quality control and quality assurance
functions, procedures, and responsibilities for construction,
system installation, and integration of system
components;</DELETED>
<DELETED>    ``(8) material testing policies and
procedures;</DELETED>
<DELETED>    ``(9) internal plan implementation and reporting
requirements;</DELETED>
<DELETED>    ``(10) criteria and procedures to be used for
testing the operational system or its major
components;</DELETED>
<DELETED>    ``(11) periodic updates of the plan, especially
related to project budget and project schedule, financing, and
ridership estimates; and</DELETED>
<DELETED>    ``(12) the recipient's commitment to submit a
project budget and project schedule to the Secretary each
month.</DELETED>
<DELETED>    ``(b) Secretarial Oversight.--</DELETED>
<DELETED>    ``(1) The Secretary may use no more than 0.5
percent of amounts made available in a fiscal year for capital
projects under this subchapter to enter into contracts to
oversee the construction of such projects.</DELETED>
<DELETED>    ``(2) The Secretary may use amounts available
under paragraph (1) of this subsection to make contracts for
safety, procurement, management, and financial compliance
reviews and audits of a recipient of amounts under paragraph
(1).</DELETED>
<DELETED>    ``(3) The Federal Government shall pay the entire
cost of carrying out a contract under this
subsection.</DELETED>
<DELETED>    ``(c) Access to Sites and Records.--Each recipient of
assistance under this subchapter shall provide the Secretary and a
contractor the Secretary chooses under subsection (c) of this section
with access to the construction sites and records of the recipient when
reasonably necessary.</DELETED>
<DELETED>``Sec. 24404. Use of capital grants to finance first-dollar
liability of grant project</DELETED>
<DELETED>    ``Notwithstanding the requirements of section 24402 of
this subchapter, the Secretary of Transportation may approve the use of
capital assistance under this subchapter to fund self-insured retention
of risk for the first tier of liability insurance coverage for rail
passenger service associated with the capital assistance grant, but the
coverage may not exceed $20,000,000 per occurrence or $20,000,000 in
aggregate per year.</DELETED>
<DELETED>``Sec. 24405. Grant conditions</DELETED>
<DELETED>    ``(a) Domestic Buying Preference.--</DELETED>
<DELETED>    ``(1) Requirement.--</DELETED>
<DELETED>    ``(A) In general.--In carrying out a
project funded in whole or in part with a grant under
this title, the grant recipient shall purchase only--
</DELETED>
<DELETED>    ``(i) unmanufactured articles,
material, and supplies mined or produced in the
United States; or</DELETED>
<DELETED>    ``(ii) manufactured articles,
material, and supplies manufactured in the
United States substantially from articles,
material, and supplies mined, produced, or
manufactured in the United States.</DELETED>
<DELETED>    ``(B) De minimis amount.--Subparagraph (1)
applies only to a purchase in an total amount that is
not less than $1,000,000.</DELETED>
<DELETED>    ``(2) Exemptions.--On application of a recipient,
the Secretary may exempt a recipient from the requirements of
this subsection if the Secretary decides that, for particular
articles, material, or supplies--</DELETED>
<DELETED>    ``(A) such requirements are inconsistent
with the public interest;</DELETED>
<DELETED>    ``(B) the cost of imposing the
requirements is unreasonable; or</DELETED>
<DELETED>    ``(C) the articles, material, or supplies,
or the articles, material, or supplies from which they
are manufactured, are not mined, produced, or
manufactured in the United States in sufficient and
reasonably available commercial quantities and are not
of a satisfactory quality.</DELETED>
<DELETED>    ``(3) United states defined.--In this subsection,
the term `the United States' means the States, territories, and
possessions of the United States and the District of
Columbia.</DELETED>
<DELETED>    ``(b) Operators Deemed Rail Carriers and Employers for
Certain Purposes.--A person that conducts rail operations over rail
infrastructure constructed or improved with funding provided in whole
or in part in a grant made under this title--</DELETED>
<DELETED>    ``(1) shall be considered an employer for purposes
of the Railroad Retirement Act of 1974 (45 U.S.C. 231 et seq.);
and</DELETED>
<DELETED>    ``(2) shall be considered a carrier for purposes
of the Railway Labor Act (43 U.S.C. 151 et seq.).</DELETED>
<DELETED>    ``(c) Grant Conditions.--The Secretary shall require as a
condition of making any grant under this title that includes the
improvement or use of rights-of-way owned by a railroad that--
</DELETED>
<DELETED>    ``(1) a written agreement exist between the
applicant and the railroad regarding such use and ownership,
including--</DELETED>
<DELETED>    ``(A) any compensation for such
use;</DELETED>
<DELETED>    ``(B) assurances regarding the adequacy of
infrastructure capacity to accommodate both existing
and future freight and passenger operations;
and</DELETED>
<DELETED>    ``(C) an assurance by the railroad that
collective bargaining agreements with the railroad's
employees (including terms regulating the contracting
of work) will remain in full force and effect according
to their terms for work performed by the railroad on
the railroad transportation corridor; and</DELETED>
<DELETED>    ``(2) the applicant agrees to comply with--
</DELETED>
<DELETED>    ``(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</DELETED>
<DELETED>    ``(B) the protective arrangements
established under section 504 of the Railroad
Revitalization and Regulatory Reform Act of 1976 (45
U.S.C. 836) with respect to employees affected by
actions taken in connection with the project to be
financed in whole or in part by grants under this
subchapter.</DELETED>
<DELETED>    ``(d) Replacement of Existing Intercity Passenger Rail
Service.--</DELETED>
<DELETED>    ``(1) Collective bargaining agreement for
intercity passenger rail projects.--Any entity providing
intercity passenger railroad transportation that begins
operations after the date of enactment of this Act on a project
funded in whole or in part by grants made under this title and
replaces intercity rail passenger service that was provided by
Amtrak, unless such service was provided solely by Amtrak to
another entity, as of such date shall enter into an agreement
with the authorized bargaining agent or agents for adversely
affected employees of the predecessor provider that--</DELETED>
<DELETED>    ``(A) gives each such qualified employee
of the predecessor provider priority in hiring
according to the employee's seniority on the
predecessor provider for each position with the
replacing entity that is in the employee's craft or
class and is available within 3 years after the
termination of the service being replaced;</DELETED>
<DELETED>    ``(B) establishes a procedure for
notifying such an employee of such positions;</DELETED>
<DELETED>    ``(C) establishes a procedure for such an
employee to apply for such positions; and</DELETED>
<DELETED>    ``(D) establishes rates of pay, rules, and
working conditions.</DELETED>
<DELETED>    ``(2) Immediate replacement service.--</DELETED>
<DELETED>    ``(A) Negotiations.--If the replacement of
preexisting intercity rail passenger service occurs
concurrent with or within a reasonable time before the
commencement of the replacing entity's rail passenger
service, the replacing entity shall give written notice
of its plan to replace existing rail passenger service
to the authorized collective bargaining agent or agents
for the potentially adversely affected employees of the
predecessor provider at least 90 days before 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 predecessor provider shall commence for the
purpose of reaching agreement with respect to all
matters set forth in subparagraphs (A) through (D) of
paragraph (1). The negotiations shall continue 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
arbitration in accordance with the procedure set forth
in subparagraph (B).</DELETED>
<DELETED>    ``(B) Arbitration.--If an agreement has
not been entered into with respect to all matters 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 upon the selection of such arbitrator
within 5 days, either or both parties shall notify the
National Mediation Board, which shall provide a list of
seven arbitrators with experience in arbitrating rail
labor protection disputes. Within 5 days after such
notification, the parties shall alternately strike
names from the list until only 1 name remains, and that
person shall serve as the neutral arbitrator. Within 45
days after selection 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 subparagraphs (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 parties; all other expenses shall be paid by the
party incurring them.</DELETED>
<DELETED>    ``(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.</DELETED>
<DELETED>    ``(4) Subsequent replacement of service.--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 agreement with
respect to the matters set forth in subparagraphs (A) through
(D) of paragraph (1). If the parties have not entered into an
agreement with respect to all such matters within 60 days after
the date on which the replacing entity replaces the predecessor
provider, the parties shall select an arbitrator using the
procedures set forth in paragraph (2)(B), who shall, within 20
days after the commencement of the arbitration, conduct a
hearing and decide all unresolved issues. This decision shall
be final, binding, and conclusive upon the parties.</DELETED>
<DELETED>    ``(e) Inapplicability to Certain Rail Operations.--
Nothing in this section applies to--</DELETED>
<DELETED>    ``(1) commuter rail passenger transportation (as
defined in section 24102(4) of this title) operations 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 assistance under section 5307 of
this title, or to its contractor performing services in
connection with commuter rail passenger operations (as so
defined);</DELETED>
<DELETED>    ``(2) the Alaska Railroad or its contractors;
or</DELETED>
<DELETED>    ``(3) the National Railroad Passenger
Corporation's access rights to railroad rights of way and
facilities under current law for projects funded under this
title where train operating speeds do not exceed 79 miles per
hour.''.</DELETED>
<DELETED>    (b) Conforming Amendments.--</DELETED>
<DELETED>    (1) The table of chapters for the title is amended
by inserting the following after the item relating to chapter
243:</DELETED>

<DELETED>``244. Intercity passenger rail service capital       24401''.
assistance.
<DELETED>    ``(2) The chapter analysis for subtitle V is
amended by inserting the following after the item relating to
chapter 243:</DELETED>

<DELETED>``244. Intercity passenger rail service capital       24401''.
assistance.

<DELETED>SEC. 302. STATE RAIL PLANS.</DELETED>

<DELETED>    (a) In General.--Part B of subtitle V is amended by adding
at the end the following:</DELETED>

<DELETED>``CHAPTER 225--STATE RAIL PLANS AND HIGH PRIORITY PROJECTS

<DELETED>``Sec.
<DELETED>``22501. Definitions.
<DELETED>``22502. Authority.
<DELETED>``22503. Purposes.
<DELETED>``22504. Transparency; coordination; review.
<DELETED>``22505. Content.
<DELETED>``22506. Review.
<DELETED>``Sec. 22501. Definitions</DELETED>
<DELETED>    ``In this subchapter:</DELETED>
<DELETED>    ``(1) Private benefit.--</DELETED>
<DELETED>    ``(A) In general.--The term `private
benefit'--</DELETED>
<DELETED>    ``(i) means a benefit accrued to a
person or private entity, other than the
National Railroad Passenger Corporation, that
directly improves the economic and competitive
condition of that person or entity through
improved assets, cost reductions, service
improvements, or any other means as defined by
the Secretary; and</DELETED>
<DELETED>    ``(ii) shall be determined on a
project-by-project basis, based upon an
agreement between the parties.</DELETED>
<DELETED>    ``(B) Consultation.--The Secretary may
seek the advice of the States and rail carriers in
further defining this term.</DELETED>
<DELETED>    ``(2) Public benefit.--</DELETED>
<DELETED>    ``(A) In general.--The term `public
benefit'--</DELETED>
<DELETED>    ``(i) means a benefit accrued to
the public in the form of enhanced mobility of
people or goods, environmental protection or
enhancement, congestion mitigation, enhanced
trade and economic development, improved air
quality or land use, more efficient 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</DELETED>
<DELETED>    ``(ii) shall be determined on a
project-by-project basis, based upon an
agreement between the parties.</DELETED>
<DELETED>    ``(B) Consultation.--The Secretary may
seek the advice of the States and rail carriers in
further defining this term.</DELETED>
<DELETED>    ``(3) State.--The term `State' means any of the 50
States and the District of Columbia.</DELETED>
<DELETED>    ``(4) State rail transportation authority.--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 law for preparation,
maintenance, coordination, and administration of the State rail
plan.''.</DELETED>
<DELETED>``Sec. 22502. Authority</DELETED>
<DELETED>    ``(a) In General.--Each State may prepare and maintain a
State rail plan in accordance with the provisions of this
subchapter.</DELETED>
<DELETED>    ``(b) Requirements.--For the preparation and periodic
revision of a State rail plan, a State shall--</DELETED>
<DELETED>    ``(1) establish or designate a State rail
transportation authority to prepare, maintain, coordinate, and
administer the plan;</DELETED>
<DELETED>    ``(2) establish or designate a State rail plan
approval authority to approve the plan;</DELETED>
<DELETED>    ``(3) submit the State's approved plan to the
Secretary of Transportation for review; and</DELETED>
<DELETED>    ``(4) revise and resubmit a State-approved plan no
less frequently than once every 5 years for reapproval by the
Secretary.</DELETED>
<DELETED>``Sec. 22503. Purposes</DELETED>
<DELETED>    ``(a) Purposes.--The purposes of a State rail plan are as
follows:</DELETED>
<DELETED>    ``(1) To set forth State policy involving freight
and passenger rail transportation, including commuter rail
operations, in the State.</DELETED>
<DELETED>    ``(2) To establish the period covered by the State
rail plan.</DELETED>
<DELETED>    ``(3) To present priorities and strategies to
enhance rail service in the State that benefits the
public.</DELETED>
<DELETED>    ``(4) To serve as the basis for Federal and State
rail investments within the State.</DELETED>
<DELETED>    ``(b) Coordination.--A State rail plan shall be
coordinated with other State transportation planning goals and programs
and set forth rail transportation's role within the State
transportation system.</DELETED>
<DELETED>``Sec. 22504. Transparency; coordination; review</DELETED>
<DELETED>    ``(a) Preparation.--A State shall provide adequate and
reasonable notice and opportunity for comment and other input to the
public, rail carriers, commuter and transit authorities operating in,
or affected by rail operations within the State, units of local
government, and other interested parties in the preparation and review
of its State rail plan.</DELETED>
<DELETED>    ``(b) Intergovernmental Coordination.--A State shall
review the freight and passenger rail service activities and
initiatives by regional planning agencies, regional transportation
authorities, and municipalities within the State, or in the region in
which the State is located, while preparing the plan, and shall include
any recommendations made by such agencies, authorities, and
municipalities as deemed appropriate by the State.</DELETED>
<DELETED>``Sec. 22505. Content</DELETED>
<DELETED>    ``(a) In General.--Each State rail plan shall contain the
following:</DELETED>
<DELETED>    ``(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 transportation system.</DELETED>
<DELETED>    ``(2) A review of all rail lines within the State,
including proposed high speed rail corridors and significant
rail line segments not currently in service.</DELETED>
<DELETED>    ``(3) A statement of the State's passenger rail
service objectives, including minimum service levels, for rail
transportation routes in the State.</DELETED>
<DELETED>    ``(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.</DELETED>
<DELETED>    ``(5) A long-range rail investment program for
current and future freight and passenger infrastructure in the
State that meets the requirements of subsection (b).</DELETED>
<DELETED>    ``(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 operating funding
resources, public subsidies, State taxation, and other
financial policies relating to rail infrastructure
development.</DELETED>
<DELETED>    ``(7) An identification of rail infrastructure
issues within the State that reflects consultation with all
relevant stake holders.</DELETED>
<DELETED>    ``(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.</DELETED>
<DELETED>    ``(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.</DELETED>
<DELETED>    ``(10) A performance evaluation of passenger rail
services operating in the State, including possible
improvements in those services, and a description of strategies
to achieve those improvements.</DELETED>
<DELETED>    ``(11) A compilation of studies and reports on
high-speed rail corridor development within the State not
included in a previous plan under this subchapter, and a plan
for funding any recommended development of such corridors in
the State.</DELETED>
<DELETED>    ``(12) A statement that the State is in compliance
with the requirements of section 22102.</DELETED>
<DELETED>    ``(b) Long-Range Service and Investment Program.--
</DELETED>
<DELETED>    ``(1) Program content.--A long-range rail
investment program included in a State rail plan under
subsection (a)(5) shall include the following
matters:</DELETED>
<DELETED>    ``(A) A list of any rail capital projects
expected to be undertaken or supported in whole or in
part by the State.</DELETED>
<DELETED>    ``(B) A detailed funding plan for those
projects.</DELETED>
<DELETED>    ``(2) Project list content.--The list of rail
capital projects shall contain--</DELETED>
<DELETED>    ``(A) a description of the anticipated
public and private benefits of each such project;
and</DELETED>
<DELETED>    ``(B) a statement of the correlation
between--</DELETED>
<DELETED>    ``(i) public funding contributions
for the projects; and</DELETED>
<DELETED>    ``(ii) the public
benefits.</DELETED>
<DELETED>    ``(3) Considerations for project list.--In
preparing the list of freight and intercity passenger rail
capital projects, a State rail transportation authority should
take into consideration the following matters:</DELETED>
<DELETED>    ``(A) Contributions made by non-Federal
and non-State sources through user fees, matching
funds, or other private capital involvement.</DELETED>
<DELETED>    ``(B) Rail capacity and congestion
effects.</DELETED>
<DELETED>    ``(C) Effects to highway, aviation, and
maritime capacity, congestion, or safety.</DELETED>
<DELETED>    ``(D) Regional balance.</DELETED>
<DELETED>    ``(E) Environmental impact.</DELETED>
<DELETED>    ``(F) Economic and employment
impacts.</DELETED>
<DELETED>    ``(G) Projected ridership and other
service measures for passenger rail projects.</DELETED>
<DELETED>``Sec. 22506. Review</DELETED>
<DELETED>    The Secretary shall prescribe procedures for States to
submit State rail plans for review under this title, including
standardized format and data requirements.''.</DELETED>
<DELETED>    (b) Conforming Amendments.--</DELETED>
<DELETED>    (1) The table of chapters for the title is amended
by inserting the following after the item relating to chapter
223:</DELETED>

<DELETED>``225. State rail plans............................   22501''.
<DELETED>    ``(2) The chapter analysis for subtitle V is
amended by inserting the following after the item relating to
chapter 223:</DELETED>

<DELETED>``225. State rail plans............................   24401''.

<DELETED>SEC. 303. NEXT GENERATION CORRIDOR TRAIN EQUIPMENT
POOL.</DELETED>

<DELETED>    (a) In General.--Within 180 days after the date of
enactment of this Act, Amtrak shall establish a Next Generation
Corridor Equipment Pool Committee, comprised of representatives of
Amtrak, the Federal Railroad Administration, and interested States. The
purpose of the Committee shall be to design, develop specifications
for, and procure standardized next-generation corridor
equipment.</DELETED>
<DELETED>    (b) Functions.--The Committee may--</DELETED>
<DELETED>    (1) determine the number of different types of
equipment required, taking into account variations in
operational needs and corridor infrastructure;</DELETED>
<DELETED>    (2) establish a pool of equipment to be used on
corridor routes funded by participating States; and</DELETED>
<DELETED>    (3) subject to agreements between Amtrak and
States, utilize services provided by Amtrak to design, maintain
and remanufacture equipment.</DELETED>
<DELETED>    (c) Cooperative Agreements.--Amtrak and States
participating in the Committee may enter into agreements for the
funding, procurement, remanufacture, ownership and management of
corridor equipment, including equipment currently owned or leased by
Amtrak and next-generation corridor equipment acquired as a result of
the Committee's actions, and may establish a corporation, which may be
owned or jointly-owned by Amtrak, participating States or other
entities, to perform these functions.</DELETED>
<DELETED>    (d) Funding.--In addition to the authorization provided in
section 105 of this Act, capital projects to carry out the purposes of
this section shall be eligible for grants made pursuant to chapter 244
of title 49, United States Code.</DELETED>

<DELETED>SEC. 304. FEDERAL RAIL POLICY.</DELETED>

<DELETED>    Section 103 is amended--</DELETED>
<DELETED>    (1) by inserting ``In General.--'' before ``The
Federal'' in subsection (a);</DELETED>
<DELETED>    (2) by striking the second and third sentences of
subsection (a);</DELETED>
<DELETED>    (3) by inserting ``Administrator.--'' before ``The
head'' in subsection (b);</DELETED>
<DELETED>    (4) by redesignating subsections (c), (d), and (e)
as subsections (d), (e), and (f), respectively and by inserting
after subsection (b) the following:</DELETED>
<DELETED>    ``(c) Safety.--To carry out all railroad safety laws of
the United States, the Administration is divided on a geographical
basis into at least 8 safety offices. The Secretary of Transportation
is responsible for all acts taken under those laws and for ensuring
that the laws are uniformly administered and enforced among the safety
offices.'';</DELETED>
<DELETED>    (5) by inserting ``Powers and Duties.--'' before
``The'' in subsection (d), as redesignated;</DELETED>
<DELETED>    (6) by striking ``and'' after the semicolon in
paragraph (1) of subsection (d), as redesignated;</DELETED>
<DELETED>    (7) by redesignating paragraph (2) of subsection
(d), as redesignated, as paragraph (3) and inserting after
paragraph (1) the following:</DELETED>
<DELETED>    ``(2) the duties and powers related to railroad
policy and development under subsection (e); and'';</DELETED>
<DELETED>    (8) by inserting ``Transfers of Duty.--'' before
``A duty'' in subsection (e), as redesignated;</DELETED>
<DELETED>    (9) by inserting ``Contracts, grants, leases,
cooperative agreements, and similar transactions.--'' before
``Subject'' in subsection (f), as redesignated;</DELETED>
<DELETED>    (10) by striking the last sentence in subsection
(f), as redesignated; and</DELETED>
<DELETED>    (11) by adding at the end the following:</DELETED>
<DELETED>    ``(g) Additional Duties of the Administrator.--The
Administrator shall--</DELETED>
<DELETED>    ``(1) provide assistance to States in developing
State rail plans prepared under chapter 225 and review all
State rail plans submitted under that section;</DELETED>
<DELETED>    ``(2) develop a long range national rail plan that
is consistent with approved State rail plans and the rail needs
of the Nation, as determined by the Secretary in order to
promote an integrated, cohesive, efficient, and optimized
national rail system for the movement of goods and
people;</DELETED>
<DELETED>    ``(3) develop a preliminary national rail plan
within a year after the date of enactment of the Passenger Rail
Investment and Improvement Act of 2005;</DELETED>
<DELETED>    ``(4) develop and enhance partnerships with the
freight and passenger railroad industry, States, and the public
concerning rail development;</DELETED>
<DELETED>    ``(5) support rail intermodal development and
high-speed rail development, including high speed rail
planning;</DELETED>
<DELETED>    ``(6) ensure that programs and initiatives
developed under this section benefit the public and work toward
achieving regional and national transportation goals;
and</DELETED>
<DELETED>    ``(7) facilitate and coordinate efforts to assist
freight and passenger rail carriers, transit agencies and
authorities, municipalities, and States in passenger-freight
service integration on shared rights of way by providing
neutral assistance at the joint request of affected rail
service providers and infrastructure owners relating to
operations and capacity analysis, capital requirements,
operating costs, and other research and planning related to
corridors shared by passenger or commuter rail service and
freight rail operations.</DELETED>
<DELETED>    ``(h) Performance Goals and Reports.--</DELETED>
<DELETED>    ``(1) Performance goals.--In conjunction with the
objectives established and activities undertaken under section
103(e) of this title, the Administrator shall develop a
schedule for achieving specific, measurable performance
goals.</DELETED>
<DELETED>    ``(2) Resource needs.--The strategy and annual
plans shall include estimates of the funds and staff resources
needed to accomplish each goal and the additional duties
required under section 103(e).</DELETED>
<DELETED>    ``(3) Submission with president's budget.--
Beginning with fiscal year 2007 and each fiscal year
thereafter, the Secretary shall submit to Congress, at the same
time as the President's budget submission, the Administration's
performance goals and schedule developed under paragraph (1),
including an assessment of the progress of the Administration
toward achieving its performance goals.''.</DELETED>

<DELETED>SEC. 305. RAIL COOPERATIVE RESEARCH PROGRAM.</DELETED>

<DELETED>    (a) Establishment and Content.--Chapter 249 is amended by
adding at the end the following:</DELETED>
<DELETED>``Sec. 24910. Rail cooperative research program</DELETED>
<DELETED>    ``(a) In General.--The Secretary shall establish and carry
out a rail cooperative research program. The program shall--</DELETED>
<DELETED>    ``(1) address, among other matters, intercity rail
passenger and freight rail services, including existing rail
passenger and freight technologies and speeds, incrementally
enhanced rail systems and infrastructure, and new high-speed
wheel-on-rail systems and rail security;</DELETED>
<DELETED>    ``(2) address ways to expand the transportation of
international trade traffic by rail, enhance the efficiency of
intermodal interchange at ports and other intermodal terminals,
and increase capacity and availability of rail service for
seasonal freight needs;</DELETED>
<DELETED>    ``(3) consider research on the interconnectedness
of commuter rail, passenger rail, freight rail, and other rail
networks; and</DELETED>
<DELETED>    ``(4) give consideration to regional concerns
regarding rail passenger and freight transportation, including
meeting research needs common to designated high-speed
corridors, long-distance rail services, and regional intercity
rail corridors, projects, and entities.</DELETED>
<DELETED>    ``(b) Content.--The program to be carried out under this
section shall include research designed--</DELETED>
<DELETED>    ``(1) to identify the unique aspects and
attributes of rail passenger and freight service;</DELETED>
<DELETED>    ``(2) to develop more accurate models for
evaluating the impact of rail passenger and freight service,
including the effects on highway and airport and airway
congestion, environmental quality, and energy
consumption;</DELETED>
<DELETED>    ``(3) to develop a better understanding of modal
choice as it affects rail passenger and freight transportation,
including development of better models to predict
utilization;</DELETED>
<DELETED>    ``(4) to recommend priorities for technology
demonstration and development;</DELETED>
<DELETED>    ``(5) to meet additional priorities as determined
by the advisory board established under subsection (c),
including any recommendations made by the National Research
Council;</DELETED>
<DELETED>    ``(6) to explore improvements in management,
financing, and institutional structures;</DELETED>
<DELETED>    ``(7) to address rail capacity constraints that
affect passenger and freight rail service through a wide
variety of options, ranging from operating improvements to
dedicated new infrastructure, taking into account the impact of
such options on operations;</DELETED>
<DELETED>    ``(8) to improve maintenance, operations, customer
service, or other aspects of intercity rail passenger and
freight service;</DELETED>
<DELETED>    ``(9) to recommend objective methodologies for
determining intercity passenger rail routes and services,
including the establishment of new routes, the elimination of
existing routes, and the contraction or expansion of services
or frequencies over such routes;</DELETED>
<DELETED>    ``(10) to review the impact of equipment and
operational safety standards on the further development of high
speed passenger rail operations connected to or integrated with
non-high speed freight or passenger rail operations;
and</DELETED>
<DELETED>    ``(11) to recommend any legislative or regulatory
changes necessary to foster further development and
implementation of high speed passenger rail operations while
ensuring the safety of such operations that are connected to or
integrated with non-high speed freight or passenger rail
operations.</DELETED>
<DELETED>    ``(c) Advisory Board.--</DELETED>
<DELETED>    ``(1) Establishment.--In consultation with the
heads of appropriate Federal departments and agencies, the
Secretary shall establish an advisory board to recommend
research, technology, and technology transfer activities
related to rail passenger and freight transportation.</DELETED>
<DELETED>    ``(2) Membership.--The advisory board shall
include--</DELETED>
<DELETED>    ``(A) representatives of State
transportation agencies;</DELETED>
<DELETED>    ``(B) transportation and environmental
economists, scientists, and engineers; and</DELETED>
<DELETED>    ``(C) representatives of Amtrak, the
Alaska Railroad, freight railroads, transit operating
agencies, intercity rail passenger agencies, railway
labor organizations, and environmental
organizations.</DELETED>
<DELETED>    ``(d) National Academy of Sciences.-- The Secretary may
make grants to, and enter into cooperative agreements with, the
National Academy of Sciences to carry out such activities relating to
the research, technology, and technology transfer activities described
in subsection (b) as the Secretary deems appropriate.''.</DELETED>
<DELETED>    (b) Clerical Amendment.--The chapter analysis for chapter
249 is amended by adding at the end the following:</DELETED>

<DELETED>``24910. Rail cooperative research program.''.

<DELETED>TITLE IV--PASSENGER RAIL SECURITY AND SAFETY</DELETED>

<DELETED>SEC. 401. SYSTEMWIDE AMTRAK SECURITY UPGRADES.</DELETED>

<DELETED>    (a) In General--Subject to subsection (c) the Secretary of
Homeland Security, in consultation with the Secretary of
Transportation, is authorized to make grants to Amtrak--</DELETED>
<DELETED>    (1) to secure major tunnel access points and
ensure tunnel integrity in New York, Baltimore, and Washington,
DC;</DELETED>
<DELETED>    (2) to secure Amtrak trains;</DELETED>
<DELETED>    (3) to secure Amtrak stations;</DELETED>
<DELETED>    (4) to obtain a watch list identification system
approved by the Secretary;</DELETED>
<DELETED>    (5) to obtain train tracking and interoperable
communications systems that are coordinated to the maximum
extent possible;</DELETED>
<DELETED>    (6) to hire additional police and security
officers, including canine units; and</DELETED>
<DELETED>    (7) to expand emergency preparedness
efforts.</DELETED>
<DELETED>    (b) Conditions.--The Secretary of Transportation shall
disburse funds to Amtrak provided under subsection (a) for projects
contained in a systemwide security plan approved by the Secretary of
Homeland Security. The plan shall include appropriate measures to
address security awareness, emergency response, and passenger
evacuation training.</DELETED>
<DELETED>    (c) Equitable Geographic Allocation.--The Secretary shall
ensure that, subject to meeting the highest security needs on Amtrak's
entire system, stations and facilities located outside of the Northeast
Corridor receive an equitable share of the security funds authorized by
this section.</DELETED>
<DELETED>    (d) Authorization of Appropriations.--There are authorized
to be appropriated to the Secretary of Homeland Security to carry out
this section--</DELETED>
<DELETED>    (1) $63,500,000 for fiscal year 2006;</DELETED>
<DELETED>    (2) $30,000,000 for fiscal year 2007;
and</DELETED>
<DELETED>    (3) $30,000,000 for fiscal year 2008.</DELETED>
<DELETED>Amounts appropriated pursuant to this subsection shall remain
available until expended.</DELETED>

<DELETED>SEC. 402. FIRE AND LIFE-SAFETY IMPROVEMENTS.</DELETED>

<DELETED>    (a) Life-Safety Needs.--The Secretary of Transportation is
authorized to make grants to Amtrak for the purpose of making fire and
life-safety improvements to Amtrak tunnels on the Northeast Corridor in
New York, NY, Baltimore, MD, and Washington, DC.</DELETED>
<DELETED>    (b) Authorization of Appropriations.--There are authorized
to be appropriated to the Secretary of Transportation for the purposes
of carrying out subsection (a) the following amounts:</DELETED>
<DELETED>    (1) For the 6 New York tunnels to provide
ventilation, electrical, and fire safety technology upgrades,
emergency communication and lighting systems, and emergency
access and egress for passengers--</DELETED>
<DELETED>    (A) $190,000,000 for fiscal year
2006;</DELETED>
<DELETED>    (B) $190,000,000 for fiscal year
2007;</DELETED>
<DELETED>    (C) $190,000,000 for fiscal year
2008;</DELETED>
<DELETED>    (2) For the Baltimore & Potomac tunnel and the
Union tunnel, together, to provide adequate drainage,
ventilation, communication, lighting, and passenger egress
upgrades--</DELETED>
<DELETED>    (A) $19,000,000 for fiscal year
2006;</DELETED>
<DELETED>    (B) $19,000,000 for fiscal year
2007;</DELETED>
<DELETED>    (C) $19,000,000 for fiscal year
2008;</DELETED>
<DELETED>    (3) For the Washington, DC, Union Station tunnels
to improve ventilation, communication, lighting, and passenger
egress upgrades--</DELETED>
<DELETED>    (A) $13,333,000 for fiscal year
2006;</DELETED>
<DELETED>    (B) $13,333,000 for fiscal year
2007;</DELETED>
<DELETED>    (C) $13,333,000 for fiscal year
2008;</DELETED>
<DELETED>    (c) Infrastructure Upgrades.--There are authorized to be
appropriated to the Secretary of Transportation for fiscal year 2006
$3,000,000 for the preliminary design of options for a new tunnel on a
different alignment to augment the capacity of the existing Baltimore
tunnels.</DELETED>
<DELETED>    (d) Availability of Appropriated Funds.--Amounts made
available pursuant to this section shall remain available until
expended.</DELETED>
<DELETED>    (e) Plans Required.--The Secretary may not make amounts
available to Amtrak for obligation or expenditure under subsection
(a)--</DELETED>
<DELETED>    (1) until Amtrak has submitted to the Secretary,
and the Secretary has approved, an engineering and financial
plan for such projects; and</DELETED>
<DELETED>    (2) unless, for each project funded pursuant to
this section, the Secretary has approved a project management
plan prepared by Amtrak addressing appropriate project budget,
construction schedule, recipient staff organization, document
control and record keeping, change order procedure, quality
control and assurance, periodic plan updates, and periodic
status reports.</DELETED>
<DELETED>    (f) Review of Plans.--The Secretary of Transportation
shall complete the review of the plans required by paragraphs (1) and
(2) of subsection (e) and approve or disapprove the plans within 45
days after the date on which each such plan is submitted by Amtrak. If
the Secretary determines that a plan is incomplete or deficient, the
Secretary shall notify Amtrak of the incomplete items or deficiencies
and Amtrak shall, within 30 days after receiving the Secretary's
notification, submit a modified plan for the Secretary's review. Within
15 days after receiving additional information on items previously
included in the plan, and within 45 days after receiving items newly
included in a modified plan, the Secretary shall either approve the
modified plan, or, if the Secretary finds the plan is still incomplete
or deficient, the Secretary shall identify in writing to the Senate
Committee on Commerce, Science, and Transportation and the House of
Representatives Committee on Transportation and Infrastructure the
portions of the plan the Secretary finds incomplete or deficient,
approve all other portions of the plan, obligate the funds associated
with those other portions, and execute an agreement with Amtrak within
15 days thereafter on a process for resolving the remaining portions of
the plan.</DELETED>
<DELETED>    (g) Financial Contribution From Other Tunnel Users.--The
Secretary shall, taking into account the need for the timely completion
of all portions of the tunnel projects described in subsection (a)--
</DELETED>
<DELETED>    (1) consider the extent to which rail carriers
other than Amtrak use or plan to use the tunnels;</DELETED>
<DELETED>    (2) consider the feasibility of seeking a
financial contribution from those other rail carriers toward
the costs of the projects; and</DELETED>
<DELETED>    (3) obtain financial contributions or commitments
from such other rail carriers at levels reflecting the extent
of their use or planned use of the tunnels, if
feasible.</DELETED>

<DELETED>SEC. 403. AMTRAK PLAN TO ASSIST FAMILIES OF PASSENGERS
INVOLVED IN RAIL PASSENGER ACCIDENTS.</DELETED>

<DELETED>    (a) In General.--Chapter 243 of title 49, United States
Code, is amended by adding at the end the following:</DELETED>
<DELETED>``Sec. 24316. Plans to address needs of families of passengers
involved in rail passenger accidents</DELETED>
<DELETED>    ``(a) Submission of Plan.--Not later than 6 months after
the date of the enactment of the Passenger Rail Investment and
Improvement Act of 2005, Amtrak shall submit to the Chairman of the
National Transportation Safety Board and the Secretary of
Transportation a plan for addressing the needs of the families of
passengers involved in any rail passenger accident involving an Amtrak
intercity train and resulting in a loss of life.</DELETED>
<DELETED>    ``(b) Contents of Plans.--The plan to be submitted by
Amtrak under subsection (a) shall include, at a minimum, the
following:</DELETED>
<DELETED>    ``(1) A process by which Amtrak will maintain and
provide to the National Transportation Safety Board and the
Secretary of Transportation, immediately upon request, a list
(which is based on the best available information at the time
of the request) of the names of the passengers aboard the train
(whether or not such names have been verified), and will
periodically update the list. The plan shall include a
procedure, with respect to unreserved trains and passengers not
holding reservations on other trains, for Amtrak to use
reasonable efforts to ascertain the number and names of
passengers aboard a train involved in an accident.</DELETED>
<DELETED>    ``(2) A plan for creating and publicizing a
reliable, toll-free telephone number within 4 hours after such
an accident occurs, and for providing staff, to handle calls
from the families of the passengers.</DELETED>
<DELETED>    ``(3) A process for notifying the families of the
passengers, before providing any public notice of the names of
the passengers, by suitably trained individuals.</DELETED>
<DELETED>    ``(4) A process for providing the notice described
in paragraph (2) to the family of a passenger as soon as Amtrak
has verified that the passenger was aboard the train (whether
or not the names of all of the passengers have been
verified).</DELETED>
<DELETED>    ``(5) A process by which the family of each
passenger will be consulted about the disposition of all
remains and personal effects of the passenger within Amtrak's
control; that any possession of the passenger within Amtrak's
control will be returned to the family unless the possession is
needed for the accident investigation or any criminal
investigation; and that any unclaimed possession of a passenger
within Amtrak's control will be retained by the rail passenger
carrier for at least 18 months.</DELETED>
<DELETED>    ``(6) A process by which the treatment of the
families of nonrevenue passengers will be the same as the
treatment of the families of revenue passengers.</DELETED>
<DELETED>    ``(7) An assurance that Amtrak will provide
adequate training to its employees and agents to meet the needs
of survivors and family members following an
accident.</DELETED>
<DELETED>    ``(c) Use of Information.--The National Transportation
Safety Board, the Secretary of Transportation, and Amtrak may not
release to any person information on a list obtained under subsection
(b)(1) but may provide information on the list about a passenger to the
family of the passenger to the extent that the Board or Amtrak
considers appropriate.</DELETED>
<DELETED>    ``(d) Limitation on Liability.--Amtrak shall not be liable
for damages in any action brought in a Federal or State court arising
out of the performance of Amtrak in preparing or providing a passenger
list, or in providing information concerning a train reservation,
pursuant to a plan submitted by Amtrak under subsection (b), unless
such liability was caused by Amtrak's conduct.</DELETED>
<DELETED>    ``(e) Limitation on Statutory Construction.--Nothing in
this section may be construed as limiting the actions that Amtrak may
take, or the obligations that Amtrak may have, in providing assistance
to the families of passengers involved in a rail passenger
accident.</DELETED>
<DELETED>    ``(f) Funding.--There are authorized to be appropriated to
the Secretary of Transportation for the use of Amtrak $500,000 for
fiscal year 2006 to carry out this section. Amounts made available
pursuant to this subsection shall remain available until
expended.''.</DELETED>
<DELETED>    (b) Conforming Amendment.--The chapter analysis for
chapter 243 of title 49, United States Code, is amended by adding at
the end the following:</DELETED>

<DELETED>``24316.  Plan to assist families of passengers involved in
rail passenger accidents.''.

<DELETED>SEC. 404. NORTHERN BORDER RAIL PASSENGER REPORT.</DELETED>

<DELETED>    Within 180 days after the date of enactment of this Act,
the Secretary of Transportation, in consultation with the Secretary of
Homeland Security, the Assistant Secretary of Homeland Security
(Transportation Security Administration), heads of other appropriate
Federal departments, and agencies and the National Railroad Passenger
Corporation, shall transmit a report to the Senate Committee on
Commerce, Science, and Transportation and the House of Representatives
Committee on Transportation and Infrastructure that contains--
</DELETED>
<DELETED>    (1) a description of the current system for
screening passengers and baggage on passenger rail service
between the United States and Canada;</DELETED>
<DELETED>    (2) an assessment of the current program to
provide preclearance of airline passengers between the United
States and Canada as outlined in ``The Agreement on Air
Transport Preclearance between the Government of Canada and the
Government of the United States of America'', dated January 18,
2001;</DELETED>
<DELETED>    (3) an assessment of the current program to
provide preclearance of freight railroad traffic between the
United States and Canada as outlined in the ``Declaration of
Principle for the Improved Security of Rail Shipments by
Canadian National Railway and Canadian Pacific Railway from
Canada to the United States'', dated April 2, 2003;</DELETED>
<DELETED>    (4) information on progress by the Department of
Homeland Security and other Federal agencies towards finalizing
a bilateral protocol with Canada that would provide for
preclearance of passengers on trains operating between the
United States and Canada;</DELETED>
<DELETED>    (5) a description of legislative, regulatory,
budgetary, or policy barriers within the United States
Government to providing pre-screened passenger lists for rail
passengers traveling between the United States and Canada to
the Department of Homeland Security;</DELETED>
<DELETED>    (6) a description of the position of the
Government of Canada and relevant Canadian agencies with
respect to preclearance of such passengers;</DELETED>
<DELETED>    (7) a draft of any changes in existing Federal law
necessary to provide for pre-screening of such passengers and
providing pre-screened passenger lists to the Department of
Homeland Security; and</DELETED>
<DELETED>    (8) an analysis of the feasibility of reinstating
United States Customs and Border Patrol rolling inspections
onboard international Amtrak trains.</DELETED>

<DELETED>SEC. 405. PASSENGER, BAGGAGE, AND CARGO SCREENING.</DELETED>

<DELETED>    (a) Requirement for Study and Report.--The Secretary of
Homeland Security, in cooperation with the Secretary of Transportation
through the Assistant Secretary of Homeland Security (Transportation
Security Administration) and other appropriate agencies, shall--
</DELETED>
<DELETED>    (1) study the cost and feasibility of requiring
security screening for passengers, baggage, and cargo on
passenger trains including an analysis of any passenger train
screening pilot programs undertaken by the Department of
Homeland Security; and</DELETED>
<DELETED>    (2) report the results of the study, together with
any recommendations that the Secretary of Homeland Security may
have for implementing a rail security screening program to the
Senate Committee on Commerce, Science, and Transportation and
the House of Representatives Committee on Transportation and
Infrastructure within 1 year after the date of enactment of
this Act.</DELETED>
<DELETED>    (b) Authorization of Appropriations.--There are authorized
to be appropriated to the Secretary of Homeland Security $1,000,000 for
fiscal year 2006 to carry out this section.</DELETED>

<DELETED>TITLE V--RAIL BOND AUTHORITY</DELETED>

<DELETED>SEC. 501. INTERCITY RAIL FACILITY BONDS.</DELETED>

<DELETED>    (a) In General.--Chapter 261 is amended by adding at the
end the following:</DELETED>
<DELETED>``Sec. 26106. Rail infrastructure bonds</DELETED>
<DELETED>    ``(a) Designation.--The Secretary may designate bonds for
purposes of section 54 of the Internal Revenue Code of 1986 if--
</DELETED>
<DELETED>    ``(1) the bonds are to be issued by--</DELETED>
<DELETED>    ``(A) a State, if the entire railroad
passenger transportation corridor containing the
infrastructure project to be financed is within the
State;</DELETED>
<DELETED>    ``(B) 1 or more of the States that have
entered into an agreement or an interstate compact
consented to by Congress under section 410(a) of Public
Law 105-134 (49 U.S.C. 24101 note);</DELETED>
<DELETED>    ``(C) an agreement or an interstate
compact described in subparagraph (B); or</DELETED>
<DELETED>    ``(D) Amtrak, for capital projects under
its 5-year plan;</DELETED>
<DELETED>    ``(2) the bonds are for the purpose of financing
projects that make a substantial contribution to providing the
infrastructure and equipment required to complete or improve a
rail transportation corridor (including projects for the
acquisition, financing, or refinancing of equipment and other
capital improvements, including the introduction of new high-
speed technologies such as magnetic levitation systems, track
or signal improvements, the elimination of grade crossings,
development of intermodal facilities, improvement of train
speeds or safety, or both, and station rehabilitation or
construction), but only if the Secretary determines that the
projects are part of a viable and comprehensive rail
transportation corridor design for intercity passenger service
included in a State rail plan under chapter 225 (except for
bonds issued under paragraph (1)(D)); and</DELETED>
<DELETED>    ``(3) for a railroad passenger transportation
corridor not operated by Amtrak that includes the use of
rights-of-way owned by a freight railroad, a written agreement
exists between the applicant and the freight railroad regarding
such use and ownership, including compensation for such use and
assurances regarding the adequacy of infrastructure capacity to
accommodate both existing and future freight and passenger
operations, and including an assurance by the freight railroad
that collective bargaining agreements with the freight
railroad's employees (including terms regulating the
contracting of work) shall remain in full force and effect
according to their terms for work performed by the freight
railroad on such railroad passenger transportation
corridor.</DELETED>
<DELETED>    ``(b) Bond Amount Limitation.--</DELETED>
<DELETED>    ``(1) In general.--The amount of bonds designated
under this section may not exceed in the case of section 54
bonds, $1,300,000,000 for each of the fiscal years 2006 through
2015.</DELETED>
<DELETED>    ``(2) Carryover of unused limitation.--If for any
fiscal year the limitation amount under paragraph (1) exceeds
the amount of section 54 bonds issued during such year, the
limitation amount under paragraph (1) for the following fiscal
year (through fiscal year 2019) shall be increased by the
amount of such excess.</DELETED>
<DELETED>    ``(c) Project Selection Criteria.--The Secretary shall
give preference to the designation under this section of bonds for
projects selected using the criteria in chapter 244.</DELETED>
<DELETED>    ``(d) Timely Disposition of Application.--The Secretary
shall grant or deny a requested designation within 9 months after
receipt of an application.</DELETED>
<DELETED>    ``(e) Refinancing Rules.--Bonds designated by the
Secretary under subsection (a) may be issued for refinancing projects
only if the indebtedness being refinanced (including any obligation
directly or indirectly refinanced by such indebtedness) was originally
incurred by the issuer--</DELETED>
<DELETED>    ``(1) after the date of the enactment of this
section;</DELETED>
<DELETED>    ``(2) for a term of not more than 3
years;</DELETED>
<DELETED>    ``(3) to finance projects described in subsection
(a)(2); and</DELETED>
<DELETED>    ``(4) in anticipation of being refinanced with
proceeds of a bond designated under subsection (a).</DELETED>
<DELETED>    ``(f) Application of Conditions.--Any entity providing
railroad transportation (within the meaning of section 20102) that
begins operations after the date of the enactment of this section and
that uses property acquired pursuant to this section (except as
provided in subsection (a)(2)(B)), shall be subject to the conditions
under section 24405.</DELETED>
<DELETED>    ``(g) Issuance of Regulations.--Not later than 6 months
after the date of the enactment of the Passenger Rail Investment and
Improvement Act of 2005, the Secretary shall issue regulations for
carrying out this section.</DELETED>
<DELETED>    ``(h) Section 54 Defined.--In this section, the term
`section 54 bond' means a bond designated by the Secretary under
subsection (a) for purposes of section 54 of the Internal Revenue Code
of 1986 (relating to credit to holders of qualified rail infrastructure
bonds).''.</DELETED>
<DELETED>    (b) Conforming Amendment.--The table of sections for
chapter 261 is amended by adding after the item relating to section
26105 the following new item:</DELETED>

<DELETED>``26106. Rail infrastructure bonds.''.

</DELETED>SECTION 1. SHORT TITLE.

This Act may be cited as the ``Passenger Rail Investment and
Improvement Act of 2005''.

SEC. 2. AMENDMENT OF TITLE 49, UNITED STATES CODE.

Except as otherwise specifically provided, whenever in this Act an
amendment is expressed in terms of an amendment to a section or other
provision of law, the reference shall be considered to be made to a
section or other provision of title 49, United States Code.

SEC. 3. TABLE OF CONTENTS.

The table of contents for this Act is as follows:

Sec. 1. Short title.
Sec. 2. Amendment of title 49, United States Code.
Sec. 3. Table of contents.

TITLE I--AUTHORIZATIONS

Sec. 101. Authorization for Amtrak capital and operating expenses and
State capital grants.
Sec. 102. Authorization for the Federal Railroad Administration.
Sec. 103. Repayment of long-term debt and capital leases.
Sec. 104. Excess railroad retirement.
Sec. 105. Other authorizations.

TITLE II--AMTRAK REFORM AND OPERATIONAL IMPROVEMENTS

Sec. 201. National railroad passenger transportation system defined.
Sec. 202. Amtrak Board of Directors.
Sec. 203. Establishment of improved financial accounting system.
Sec. 204. Development of 5-year financial plan.
Sec. 205. Establishment of grant process.
Sec. 206. State-supported routes.
Sec. 207. Independent auditor to establish methodologies for Amtrak
route and service planning decisions.
Sec. 208. Metrics and standards.
Sec. 209. Passenger train performance.
Sec. 210. Long distance routes.
Sec. 211. Alternate passenger rail service program.
Sec. 212. Employee transition assistance.
Sec. 213. Northeast Corridor state-of-good-repair plan.
Sec. 214. Northeast Corridor infrastructure and operations
improvements.
Sec. 215. Restructuring long-term debt and capital leases.
Sec. 216. Study of compliance requirements at existing intercity rail
stations.
Sec. 217. Incentive pay.
Sec. 218. Access to Amtrak equipment and services.
Sec. 219. General Amtrak provisions.
Sec. 220. Private sector funding of passenger trains.
Sec. 221. On-board service improvements.

TITLE III--INTERCITY PASSENGER RAIL POLICY

Sec. 301. Capital assistance for intercity passenger rail service.
Sec. 302. State rail plans.
Sec. 303. Next generation corridor train equipment pool.
Sec. 304. Federal rail policy.
Sec. 305. Rail cooperative research program.

TITLE IV--PASSENGER RAIL SECURITY AND SAFETY

Sec. 401. Systemwide Amtrak security upgrades.
Sec. 402. Fire and life-safety improvements.
Sec. 403. Amtrak plan to assist families of passengers involved in rail
passenger accidents.
Sec. 404. Northern border rail passenger report.
Sec. 405. Passenger, baggage, and cargo screening.

TITLE V--RAIL BOND AUTHORITY

Sec. 501. Intercity rail facility bonds.

TITLE I--AUTHORIZATIONS

SEC. 101. AUTHORIZATION FOR AMTRAK CAPITAL AND OPERATING EXPENSES AND
STATE CAPITAL GRANTS.

(a) Operating Grants.--There are authorized to be appropriated to
the Secretary of Transportation for the use of Amtrak for operating
costs the following amounts:
(1) For fiscal year 2006, $580,000,000.
(2) For fiscal year 2007, $590,000,000.
(3) For fiscal year 2008, $600,000,000.
(4) For fiscal year 2009, $575,000,000.
(5) For fiscal year 2010, $535,000,000.
(6) For fiscal year 2011, $455,000,000.
(b) Capital Grants.--There are authorized to be appropriated to the
Secretary of Transportation for the use of Amtrak to bring the
Northeast Corridor as defined in section 24102(a) to a state-of-good-
repair, for capital expenses of the national railroad passenger
transportation system, and for purposes of making capital grants to
states under section 301 of this Act, the following amounts:
(1) For fiscal year 2006, $813,000,000.
(2) For fiscal year 2007, $910,000,000.
(3) For fiscal year 2008, $1,071,000,000.
(4) For fiscal year 2009, $1,096,000,000.
(5) For fiscal year 2010, $1,191,000,000.
(6) For fiscal year 2011, $1,231,000,000.
(c) Amounts for State Grants.--Out of the amounts authorized under
subsection (b), the following percentage shall be available each fiscal
year for capital grants to States under section 301 of this Act, to be
administered by the Secretary of Transportation:
(1) 3 percent for fiscal year 2006.
(2) 11 percent for fiscal year 2007.
(3) 23 percent for fiscal year 2008.
(4) 25 percent for fiscal year 2009.
(5) 31 percent for fiscal year 2010.
(6) 33 percent for fiscal year 2011.
(d) Project Management Oversight.--The Secretary may withhold up to
\1/2\ of 1 percent of amounts appropriated pursuant to subsection (b)
for the costs of project management oversight of capital projects
carried out by Amtrak.

SEC. 102. AUTHORIZATION FOR THE FEDERAL RAILROAD ADMINISTRATION.

There are authorized to be appropriated to the Secretary of
Transportation for the use of the Federal Railroad Administration such
sums as necessary to implement the provisions required under this Act
for fiscal years 2006 through 2011.

SEC. 103. REPAYMENT OF LONG-TERM DEBT AND CAPITAL LEASES.

(a) Amtrak Principal and Interest Payments.--
(1) Principal on debt service.--There are authorized to be
appropriated to the Secretary of Transportation for the use of
Amtrak for retirement of principal on loans for capital
equipment, or capital leases, not more than the following
amounts:
(A) For fiscal year 2006, $130,200,000.
(B) For fiscal year 2007, $140,700,000.
(C) For fiscal year 2008, $156,000,000.
(D) For fiscal year 2009, $183,800,000.
(E) For fiscal year 2010, $156,100,000.
(F) For fiscal year 2011, $193,500,000.
(2) Interest on debt.--There are authorized to be
appropriated to the Secretary of Transportation for the use of
Amtrak for the payment of interest on loans for capital
equipment, or capital leases, the following amounts:
(A) For fiscal year 2006, $148,100,000.
(B) For fiscal year 2007, $141,500,000.
(C) For fiscal year 2008, $133,800,000.
(D) For fiscal year 2009, $124,000,000.
(E) For fiscal year 2010, $113,900,000.
(F) For fiscal year 2011, $103,800,000.
(3) Early buyout option.--There are authorized to be
appropriated to the Secretary of Transportation such sums as
may be necessary for the use of Amtrak for the payment of costs
associated with early buyout options if the exercise of those
options is determined to be advantageous to Amtrak.

SEC. 104. EXCESS RAILROAD RETIREMENT.

There are authorized to be appropriated to the Secretary of
Transportation, beginning with fiscal year 2006, such sums as may be
necessary to pay to the Railroad Retirement Account an amount equal to
the amount Amtrak must pay under section 3221 of the Internal Revenue
Code of 1986 in such fiscal years that is more than the amount needed
for benefits for individuals who retire from Amtrak and for their
beneficiaries. For each fiscal year in which the Secretary makes such a
payment, the amounts authorized by section 101(a) shall be reduced by
an amount equal to such payment.

SEC. 105. OTHER AUTHORIZATIONS.

There are authorized to be appropriated to the Secretary of
Transportation--
(1) $5,000,000 for each of fiscal years 2006 through 2011
to carry out the rail cooperative research program under
section 24910 of title 49, United States Code; and
(2) $5,000,000 for fiscal year 2006, to remain available
until expended, for grants to Amtrak and States participating
in the Next Generation Corridor Train Equipment Pool Committee
established under section 303 of this Act for the purpose of
designing, developing specifications for, and initiating the
procurement of an initial order of 1 or more types of
standardized next-generation corridor train equipment and
establishing a jointly-owned corporation to manage that
equipment.

TITLE II--AMTRAK REFORM AND OPERATIONAL IMPROVEMENTS

SEC. 201. NATIONAL RAILROAD PASSENGER TRANSPORTATION SYSTEM DEFINED.

(a) In General.--Section 24102 is amended--
(1) by striking paragraph (2);
(2) by redesignating paragraphs (3), (4), and (5) as
paragraphs (2), (3), and (4), respectively; and
(3) by inserting after paragraph (4) as so redesignated the
following:
``(5) `national rail passenger transportation system'
means--
``(A) the segment of the Northeast Corridor between
Boston, Massachusetts and Washington, DC;
``(B) rail corridors that have been designated by
the Secretary of Transportation as high-speed corridors
(other than corridors described in subparagraph (A)),
but only after they have been improved to permit
operation of high-speed service;
``(C) long-distance routes of more than 750 miles
between endpoints operated by Amtrak as of the date of
enactment of the Passenger Rail Investment and
Improvement Act of 2005; and
``(D) short-distance corridors, or routes of not
more than 750 miles between endpoints, operated by--
``(i) Amtrak; or
``(ii) another rail carrier that receives
funds under chapter 244.''.
(b) Amtrak Routes With State Funding.--
(1) In general.--Chapter 247 is amended by inserting after
section 24701 the following:
``Sec. 24702. Transportation requested by States, authorities, and
other persons
``(a) Contracts for Transportation.--Amtrak and a State, a regional
or local authority, or another person may enter into a contract for
Amtrak to operate an intercity rail service or route not included in
the national rail passenger transportation system upon such terms as
the parties thereto may agree.
``(b) Discontinuance.--Upon termination of a contract entered into
under this section, or the cessation of financial support under such a
contract by either party, Amtrak may discontinue such service or route,
notwithstanding any other provision of law.''.
(2) Conforming amendment.--The chapter analysis for chapter
247 is amended by inserting after the item relating to section
24701 the following:

``24702. Transportation requested by States, authorities, and other
persons.''.
(c) Amtrak To Continue To Provide Non-High-speed Services.--Nothing
in this Act is intended to preclude Amtrak from restoring, improving,
or developing non-high-speed intercity passenger rail service.
(d) Applicability of Section 24706.--Section 24706 is amended by
adding at the end the following:
``(c) Applicability.--This section applies to all service over
routes provided by Amtrak, notwithstanding any provision of section
24701 of this title or any other provision of this title.''.

SEC. 202. AMTRAK BOARD OF DIRECTORS.

(a) In General.--Section 24302 is amended to read as follows:
``Sec. 24302. Board of directors
``(a) Composition and Terms.--
``(1) The Board of Directors of Amtrak is composed of the
following 9 directors, each of whom must be a citizen of the
United States:
``(A) The Secretary of Transportation.
``(B) The President of Amtrak.
``(C) 7 individuals appointed by the President of
the United States, by and with the advice and consent
of the Senate, with general business and financial
experience, experience or qualifications in
transportation, freight and passenger rail
transportation, travel, hospitality, cruise line, and
passenger air transportation businesses, or
representatives of users of passenger rail
transportation or State government.
``(2) In selecting individuals described in paragraph (1)
for nominations for appointments to the Board, the President
shall consult with the Speaker of the House of Representatives,
the Minority Leader of the House of Representatives, the
Majority Leader of the Senate, and the Minority Leader of the
Senate and try to provide adequate and balanced representation
of the major geographic regions of the United States served by
Amtrak.
``(3) An individual appointed under paragraph (1)(C) of
this subsection serves for 5 years or until the individual's
successor is appointed and qualified. Not more than 4
individuals appointed under paragraph (1)(C) may be members of
the same political party.
``(4) The Board shall elect a chairman and a vice chairman
from among its membership. The vice chairman shall serve as
chairman in the absence of the chairman.
``(5) The Secretary may be represented at board meetings by
the Secretary's designee.
``(b) Pay and Expenses.--Each director not employed by the United
States Government is entitled to $300 a day when performing Board
duties. Each Director is entitled to reimbursement for necessary
travel, reasonable secretarial and professional staff support, and
subsistence expenses incurred in attending Board meetings.
``(c) Vacancies.--A vacancy on the Board is filled in the same way
as the original selection, except that an individual appointed by the
President of the United States under subsection (a)(1)(C) of this
section to fill a vacancy occurring before the end of the term for
which the predecessor of that individual was appointed is appointed for
the remainder of that term. A vacancy required to be filled by
appointment under subsection (a)(1)(C) must be filled not later than
120 days after the vacancy occurs.
``(d) Quorum.--A majority of the members serving shall constitute a
quorum for doing business.
``(e) Bylaws.--The Board may adopt and amend bylaws governing the
operation of Amtrak. The bylaws shall be consistent with this part and
the articles of incorporation.''.
(b) Effective Date for Directors' Provision.--The amendment made by
subsection (a) shall take effect on January 1, 2006. The members of the
Amtrak Board serving on the date of enactment of this Act may continue
to serve for the remainder of the term to which they were appointed.

SEC. 203. ESTABLISHMENT OF IMPROVED FINANCIAL ACCOUNTING SYSTEM.

(a) In General.--The Amtrak Board of Directors--
(1) may employ an independent financial consultant with
experience in railroad accounting to assist Amtrak in improving
Amtrak's financial accounting and reporting system and
practices; and
(2) shall implement a modern financial accounting and
reporting system that will produce accurate and timely
financial information in sufficient detail--
(A) to enable Amtrak to assign revenues and
expenses appropriately to each of its lines of business
and to each major activity within each line of business
activity, including train operations, equipment
maintenance, ticketing, and reservations;
(B) to aggregate expenses and revenues related to
infrastructure and distinguish them from expenses and
revenues related to rail operations;
(C) to allow the analysis of ticketing and
reservation information on a real-time basis; and
(D) to provide Amtrak cost accounting data.
(b) Verification of System; Report.--The Inspector General of the
Department of Transportation shall review the accounting system
designed and implemented under subsection (a) to ensure that it
accomplishes the purposes for which it is intended. The Inspector
General shall report his findings and conclusions, together with any
recommendations, to the Senate Committee on Commerce, Science, and
Transportation and the House of Representatives Committee on
Transportation and Infrastructure.

SEC. 204. DEVELOPMENT OF 5-YEAR FINANCIAL PLAN.

(a) Development of 5-Year Financial Plan.--The Amtrak Board of
Directors shall submit an annual budget for Amtrak, and a 5-year
financial plan for the fiscal year to which that budget relates and the
subsequent 4 years, prepared in accordance with this section, to the
Secretary of Transportation and the Inspector General of the Department
of Transportation no later than--
(1) the first day of each fiscal year beginning after the
date of enactment of this Act; or
(2) the date that is 60 days after the date of enactment of
an appropriation Act for the fiscal year, if later.
(b) Contents of 5-Year Financial Plan.--The 5-year financial plan
for Amtrak shall include, at a minimum--
(1) all projected revenues and expenditures for Amtrak,
including governmental funding sources;
(2) projected ridership levels for all Amtrak passenger
operations;
(3) revenue and expenditure forecasts for non-passenger
operations;
(4) capital funding requirements and expenditures necessary
to maintain passenger service which will accommodate predicted
ridership levels and predicted sources of capital funding;
(5) operational funding needs, if any, to maintain current
and projected levels of passenger service, including state-
supported routes and predicted funding sources;
(6) projected capital and operating requirements,
ridership, and revenue for any new passenger service operations
or service expansions;
(7) an assessment of the continuing financial stability of
Amtrak, as indicated by factors such as the ability of the
Federal government to fund capital and operating requirements
adequately, Amtrak's ability to efficiently manage its
workforce, and Amtrak's ability to effectively provide
passenger train service;
(8) estimates of long-term and short-term debt and
associated principle and interest payments (both current and
anticipated);
(9) annual cash flow forecasts; and
(10) a statement describing methods of estimation and
significant assumptions.
(c) Standards To Promote Financial Stability.--In meeting the
requirements of subsection (b), Amtrak shall--
(1) apply sound budgetary practices, including reducing
costs and other expenditures, improving productivity,
increasing revenues, or combinations of such practices;
(2) use the categories specified in the financial
accounting and reporting system developed under section 203
when preparing its 5-year financial plan; and
(3) ensure that the plan is consistent with the
authorizations of appropriations under title I of this Act.
(d) Assessment by DOT Inspector General.--
(1) In general.--The Inspector General of the Department of
Transportation shall assess the 5-year financial plans prepared
by Amtrak under this section to determine whether they meet the
requirements of subsection (b), and may suggest revisions to
any components thereof that do not meet those requirements.
(2) Assessment to be furnished to the congress.--The
Inspector General shall furnish to the House of Representatives
Committee on Appropriations, the Senate Committee on
Appropriations, the House of Representatives Committee on
Transportation and Infrastructure, and the Senate Committee on
Commerce, Science, and Transportation--
(A) an assessment of the annual budget within 90
days after receiving it from Amtrak; and
(B) an assessment of the remaining 4 years of the
5-year financial plan within 180 days after receiving
it from Amtrak.

SEC. 205. ESTABLISHMENT OF GRANT PROCESS.

(a) Grant Requests.--Amtrak shall submit grant requests (including
a schedule for the disbursement of funds), consistent with the
requirements of this Act, to the Secretary of Transportation for funds
authorized to be appropriated to the Secretary for the use of Amtrak
under sections 101(a) and (b), 103, and 105.
(b) Procedures for Grant Requests.--The Secretary shall establish
substantive and procedural requirements, including schedules, for grant
requests under this section not later than 30 days after the date of
enactment of this Act and shall transmit copies to the Senate Committee
on Commerce, Science, and Transportation and the House of
Representatives Committee on Transportation and Infrastructure.
(c) Review and Approval.--
(1) 30-day approval process.--The Secretary shall complete
the review of a complete grant request (including the
disbursement schedule) and approve or disapprove the request
within 30 days after the date on which Amtrak submits the grant
request. If the Secretary disapproves the request or determines
that the request is incomplete or deficient, the Secretary
shall include the reason for disapproval or the incomplete
items or deficiencies in the notice to Amtrak.
(2) 15-day modification period.--Within 15 days after
receiving notification from the Secretary under the preceding
sentence, Amtrak shall submit a modified request for the
Secretary's review.
(3) Revised requests.--Within 15 days after receiving a
modified request from Amtrak, the Secretary shall either
approve the modified request, or, if the Secretary finds that
the request is still incomplete or deficient, the Secretary
shall identify in writing to the Senate Committee on Commerce,
Science, and Transportation and the House of Representatives
Committee on Transportation and Infrastructure the remaining
deficiencies and recommend a process for resolving the
outstanding portions of the request.

SEC. 206. STATE-SUPPORTED ROUTES.

(a) In General.--Within 2 years after the date of enactment of this
Act, the Board of Directors of Amtrak, in consultation with the
Secretary of Transportation and the chief executive officer of each
State and the District of Columbia, shall develop and implement a
standardized methodology for establishing and allocating the operating
and capital costs among the States and Amtrak associated with trains
operated on routes described in section 24102(5)(B) or (D) or section
24702 that--
(1) ensures, within 5 years after the date of enactment of
this Act, equal treatment in the provision of like services of
all States and groups of States (including the District of
Columbia); and
(2) allocates to each route the costs incurred only for the
benefit of that route and a proportionate share, based upon
factors that reasonably reflect relative use, of cost incurred
for the common benefit of more than 1 route.
(b) Review.--If Amtrak and the States (including the District of
Columbia) in which Amtrak operates such routes do not voluntarily adopt
and implement the methodology developed under subsection (a) in
allocating costs and determining compensation for the provision of
service in accordance with the date established therein, the Surface
Transportation Board shall determine the appropriate methodology
required under subsection (a) for such services in accordance with the
procedures and procedural schedule applicable to a proceeding under
section 24904(c) of title 49, United States Code, and require the full
implementation of this methodology with regards to the provision of
such service within 1 year after the Board's determination of the
appropriate methodology.
(c) Use of Chapter 244 Funds.--Funds provided to a State under
chapter 244 of title 49, United States Code, may be used, as provided
in that chapter, to pay capital costs determined in accordance with
this section.

SEC. 207. INDEPENDENT AUDITOR TO ESTABLISH METHODOLOGIES FOR AMTRAK
ROUTE AND SERVICE PLANNING DECISIONS.

(a) Methodology Development.--The Federal Railroad Administration
shall obtain the services of an independent auditor or consultant to
develop and recommend objective methodologies for determining intercity
passenger routes and services, including the establishment of new
routes, the elimination of existing routes, and the contraction or
expansion of services or frequencies over such routes. In developing
such methodologies, the auditor or consultant shall consider--
(1) the current or expected performance and service quality
of intercity train operations, including cost recovery, on-time
performance and minutes of delay, ridership, on-board services,
stations, facilities, equipment, and other services;
(2) connectivity of a route with other routes;
(3) the transportation needs of communities and populations
that are not well served by other forms of public
transportation; and
(4) Amtrak's and other major intercity passenger rail
service providers in other countries' methodologies for
determining intercity passenger rail routes and services.
(b) Submittal to Congress.--The auditor or consultant shall submit
recommendations developed under subsection (a) to Amtrak, the House of
Representatives Committee on Transportation and Infrastructure, and the
Senate Committee on Commerce, Science, and Transportation.
(c) Consideration of Recommendations.--Within 90 days after
receiving the recommendations developed under subsection (a) by the
independent auditor or consultant, the Amtrak Board shall consider the
adoption of those recommendations. The Board shall transmit a report to
the Senate Committee on Commerce, Science, and Transportation and the
House of Representatives Committee on Transportation and Infrastructure
explaining its action in adopting or failing to adopt any of the
recommendations.
(d) Authorization of Appropriations.--There are authorized to be
made available to the Secretary of Transportation, out of any amounts
authorized by this Act to be appropriated for the benefit of Amtrak and
not otherwise obligated or expended, such sums as may be necessary to
carry out this section.
(e) Pioneer Route.--Within 2 years after the date of enactment of
this Act, Amtrak shall conduct a 1-time evaluation of the Pioneer Route
formerly operated by Amtrak to determine, using methodologies adopted
under subsection (c), whether a level of passenger demand exists that
would warrant consideration of reinstating the entire Pioneer Route
service or segments of that service.

SEC. 208. METRICS AND STANDARDS.

(a) In General.--Within 180 days after the date of enactment of
this Act, the Administrator of the Federal Railroad Administration and
Amtrak shall jointly, in consultation with the Surface Transportation
Board, and rail carriers over whose rail lines Amtrak trains operate,
as appropriate, develop new or improve existing metrics and minimum
standards for measuring the performance and service quality of
intercity train operations, including cost recovery, on-time
performance and minutes of delay, ridership, on-board services,
stations, facilities, equipment, and other services. Such metrics, at a
minimum, shall include the percentage of avoidable and fully allocated
operating costs covered by passenger revenues on each route, ridership
per train mile operated, measures of on-time performance and delays
incurred by intercity trains on the rail lines of each rail carrier
and, for long distance routes, measures of connectivity with other
routes in all regions currently receiving Amtrak service and the
transportation needs of communities and populations that are not well-
served by other forms of public transportation.. Amtrak shall provide
reasonable access to the Federal Railroad Administration in order to
enable the Administration to carry out its duty under this section.
(b) Quarterly Reports.--The Administrator of the Federal Railroad
Administration shall collect the necessary data and publish a quarterly
report on the performance and service quality of intercity train
operations, including cost recovery, ridership, on-time performance and
minutes of delay, causes of delay, on-board services, stations,
facilities, equipment, and other services.

SEC. 209. PASSENGER TRAIN PERFORMANCE.

(a) In General.--Section 24308 is amended by adding at the end the
following:
``(f) Passenger Train Performance and Other Standards.--
``(1) Investigation of substandard performance.--If the on-
time performance of any intercity passenger train averages less
than 80 percent for any 2 consecutive calendar quarters, or the
service quality of intercity train operations for which minimum
standards are established under section 208 of the Passenger
Rail Investment and Improvement Act of 2005 fails to meet those
standards for 2 consecutive calendar quarters, the Surface
Transportation Board shall investigate whether, and to what
extent, delays or failure to achieve minimum standards are due
to causes that could reasonably be addressed by a rail carrier
over the tracks of which the intercity passenger train operates
or reasonably addressed by the intercity passenger rail
operator. In carrying out such an investigation, the Board
shall obtain information from all parties involved and make
recommendations regarding reasonable measures to improve the
service, quality, and on-time performance of the train.
``(2) Problems caused by host rail carrier.--If the Board
determines that delays or failures to achieve minimum standards
investigated under paragraph (1) are attributable to a rail
carrier's failure to provide preference to Amtrak over freight
transportation under subsection (c), then the Board shall
enforce its recommendations for relief under this section.
``(3) Penalties.--
``(A) In general.--The Board shall publish a
schedule of penalties which will--
``(A) fairly reflect the extent to which Amtrak
suffers financial loss as a result of host rail carrier
delays or failure to achieve minimum standards; and
``(B) will adequately deter future actions which
may reasonably be expected to be likely to result in
delays to Amtrak.
``(B) Assessment.--The Board may assess these
penalties upon a host rail carrier.
``(C) Use.--The Board shall make any amounts
received as penalties under this paragraph available to
Amtrak.''.
(b) Change of Reference.--Section 24308 is amended--
(1) by striking ``Interstate Commerce Commission'' in
subsection (a)(2)(A) and inserting ``Surface Transportation
Board'';
(2) by striking ``Commission'' each place it appears and
inserting ``Board'';
(3) by striking ``Secretary'' the last 3 places it appears
in subsection (c) and inserting ``Board''.

SEC. 210. LONG DISTANCE ROUTES.

(a) In General.--Chapter 247 is amended by adding at the end
thereof the following:
``Sec. 24710. Long distance routes
``(a) Annual Evaluation.--Using the financial and performance
metrics developed under section 208 of the Passenger Rail Investment
and Improvement Act of 2005, Amtrak shall--
``(1) evaluate annually the performance of each long
distance passenger rail route operated by Amtrak; and
``(2) rank the overall performance of such routes for 2006
and identify each long distance passenger rail route operated
by Amtrak in 2006 according to its overall performance as
belonging to the best performing third of such routes, the
second best performing third of such routes, or the worst
performing third of such routes.
``(b) Performance Improvement Plan.--Amtrak shall develop a
performance improvement plan for its long distance passenger rail
routes based on the data collected through the application of the
financial and performance metrics developed under section 208 of that
Act. The plan shall address--
``(1) on-time performance;
``(2) scheduling, frequency, routes, and stops;
``(3) the feasibility of restructuring service into
connected corridor service;
``(4) performance-related equipment changes and capital
improvements;
``(5) on-board amenities and service, including food, first
class, and sleeping car service;
``(6) State or other non-Federal financial contributions;
and
``(7) other aspects of Amtrak's long distance passenger
rail routes that affect the financial, competitive, and
functional performance of service on Amtrak's long distance
passenger rail routes.
``(c) Implementation.--Amtrak shall implement the performance
improvement plan developed under subsection (b)--
``(1) beginning in fiscal year 2007 for those routes
identified as being in the worst performing third under
subsection (a)(3);
``(2) beginning in fiscal year 2008 for those routes
identified as being in the second best performing third under
subsection (a)(3); and
``(3) beginning in fiscal year 2009 for those routes
identified as being in the best performing third under
subsection (a)(3).
``(d) Enforcement.--The Federal Railroad Administration shall
monitor the development, implementation, and outcome of improvement
plans under this section. If, for any year, it determines that Amtrak
is not making reasonable progress in implementing its performance
improvement plan or in achieving the expected outcome of the plan for
any calendar year, the Federal Railroad Administration--
``(1) shall notify Amtrak of its determination under this
subsection;
``(2) shall provide an opportunity for a hearing with
respect to that determination; and
``(3) may withhold any appropriated funds otherwise
available to Amtrak for the operation of a route or routes on
which it is not making progress, other than funds made
available for passenger safety or security measures.''.
(b) Conforming Amendment.--The chapter analysis for chapter 247 is
amended by inserting after the item relating to section 24709 the
following:

``24710. Long distance routes.''.

SEC. 211. ALTERNATE PASSENGER RAIL SERVICE PROGRAM.

(a) In General.--Chapter 247, as amended by section 209, is amended
by adding at the end thereof the following:
``Sec. 24711. Alternate passenger rail service program
``(a) In General.--Within 1 year after the date of enactment of the
Passenger Rail Investment and Improvement Act of 2005, the Federal
Railroad Administration shall initiate a rulemaking proceeding to
develop a program under which--
``(1) a rail carrier or rail carriers that own
infrastructure over which Amtrak operates a passenger rail
service route described in subparagraph (B), (C), or (D) of
section 24102(5) or in section 24702 of title 49, United States
Code may petition the Federal Railroad Administration to be
considered as a passenger rail service provider over that route
in lieu of Amtrak;
``(2) the Administration would notify Amtrak within 30 days
after receiving a petition under paragraph (1) and establish a
deadline by which both the petitioner and Amtrak would be
required to submit a bid to provide passenger rail service over
the route to which the petition relates;
``(3) the Administration would make a decision within a
specified, limited time after that deadline awarding to the
winning bidder--
``(A) the right and obligation to provide passenger
rail service over that route subject to such
performance standards as the Administration may
require; and
``(B) an operating subsidy will be provided--
``(i) for the first year at a level not in
excess of the level in effect during the fiscal
year preceding the fiscal year in which the
petition was received, adjusted for inflation;
and
``(ii) for any subsequent years at such
level, adjusted for inflation.
``(b) Implementation.--
``(1) Initial petitions.--Pursuant to any rules or
regulations promulgated under subsection (A), the
Administration shall establish a deadline for the submission of
a petition under subsection (a)--
``(A) during fiscal year 2007 for operations
commencing in fiscal year 2008; and
``(B) during the immediately preceding fiscal year
for operations commencing in subsequent fiscal years.
``(2) Route limitations.--The Administration may not make
the program available with respect to more than 1 Amtrak
passenger rail routes for operations beginning in fiscal year
2008 nor to more than 2 such routes for operations beginning in
fiscal year 2010 and subsequent fiscal years.
``(c) Performance Standards; Access to Facilities; Employees.--If
the Administration awards the right and obligation to provide passenger
rail service over a route under the program to a rail carrier or rail
carriers--
``(1) it shall execute a contract with the rail carrier or
rail carriers for rail passenger operations on that route that
conditions the operating and subsidy rights upon--
``(A) the service provider continuing to provide
passenger rail service on the route that is no less
frequent, nor over a shorter distance, than Amtrak
provided on that route before the award; and
``(B) the service provider's compliance with the
minimum standards established under section 208 of the
Passenger Rail Investment and Improvement Act of 2005
and such additional performance standards as the
Administration may establish;
``(2) it shall, if the award is made to a rail carrier
other than Amtrak, require Amtrak to provide access to its
reservation system, stations, and facilities to any rail
carrier or rail carriers awarded a contract under this section,
in accordance with section 218 of that Act, necessary to carry
our the purposes of this section; and
``(3) any person used by a rail carrier or rail carriers
(as defined in section 10102(5) of this title) to operate a
route under this section shall be considered an employee of
that carrier or carriers and subject to the applicable Federal
laws and regulations governing similar crafts or classes of
employees of Amtrak, including provisions under section 121 of
the Amtrak Reform and Accountability Act of 1997 relating to
employees that provide food and beverage service.
``(d) Cessation of Service.--If a rail carrier or rail carriers
awarded a route under this section cease to operate the service or fail
to fulfill their obligations under the contract required under
subsection (c), the Administrator, in collaboration with the Surface
Transportation Board when applicable, shall take any necessary action
consistent with this title to enforce the contract and ensure the
continued provision of service, including the installment of an interim
service provider and re-bidding the contract to operate the service.
``(e) Adequate Resources.--Before taking any action allowed under
this section, the Secretary shall certify that the Administrator has
sufficient resources that are adequate to undertake the program
established under this section.''.
(b) Conforming Amendment.--The chapter analysis for chapter 247, as
amended by section 209, is amended by inserting after the item relating
to section 24710 the following:

``24711. Alternate passenger rail service program.''.

SEC. 212. EMPLOYEE TRANSITION ASSISTANCE.

(a) Provision of Financial Incentives.--For Amtrak employees who
are adversely affected by the cessation of the operation of a long
distance route or any other route under section 24711 of title 49,
United States Code, previously operated by Amtrak, the Secretary shall
develop a program under which the Secretary may, in the Secretary's
discretion, provide grants for financial incentives to be provided to
employees of the National Railroad Passenger Corporation who
voluntarily terminate their employment with the Corporation and
relinquish any legal rights to receive termination-related payments
under any contractual agreement with the Corporation.
(b) Conditions for Financial Incentives.--As a condition for
receiving financial assistance grants under this section, the
Corporation must certify that--
(1) a reasonable attempt was made to reassign an employee
adversely affected under section 24711 of title 49, United
States Code, or by the elimination of any route, to other
positions within the Corporation in accordance with any
contractual agreements;
(2) the financial assistance results in a net reduction in
the total number of employees equal to the number receiving
financial incentives;
(3) the financial assistance results in a net reduction in
total employment expense equivalent to the total employment
expenses associated with the employees receiving financial
incentives; and
(4) the total number of employees eligible for termination-
related payments will not be increased without the express
written consent of the Secretary.
(c) Amount of Financial Incentives.--The financial incentives
authorized under this section may be no greater than $50,000 per
employee.
(d) Authorization of Appropriations.--There are hereby authorized
to be appropriated to the Secretary such sums as may be necessary to
make grants to the National Railroad Passenger Corporation to provide
financial incentives under subsection (a).
(e) Termination-Related Payments.--If Amtrak employees adversely
affected by the cessation of Amtrak service resulting from the awarding
of a grant to an operator other than Amtrak for the operation of a
route under section 24711 of title 49, United States Code, or any other
route, previously operated by Amtrak do not receive financial
incentives under subsection (a), then the Secretary shall make grants
to the National Railroad Passenger Corporation from funds authorized by
section 102 of this Act for termination-related payments to employees
under existing contractual agreements.

SEC. 213. NORTHEAST CORRIDOR STATE-OF-GOOD-REPAIR PLAN.

(a) In General.--Within 6 months after the date of enactment of
this Act, the National Railroad Passenger Corporation, in consultation
with the Secretary and the States (including the District of Columbia)
that make up the Northeast Corridor (as defined in section 24102 of
title 49, United States Code), shall prepare a capital spending plan
for capital projects required to return the Northeast Corridor to a
state of good repair by the end of fiscal year 2011, consistent with
the funding levels authorized in this Act and shall submit the plan to
the Secretary.
(b) Approval by the Secretary.--
(1) The Corporation shall submit the capital spending plan
prepared under this section to the Secretary of Transportation
for review and approval pursuant to the procedures developed
under section 205 of this Act.
(2) The Secretary of Transportation shall require that the
plan be updated at least annually and shall review and approve
such updates. During review, the Secretary shall seek comments
and review from the commission established under section 24905
of title 49, United States Code, and other Northeast Corridor
users regarding the plan.
(3) The Secretary shall make grants to the Corporation with
funds authorized by section 101(b) for Northeast Corridor
capital investments contained within the capital spending plan
prepared by the Corporation and approved by the Secretary.
(c) Eligibility of Expenditures.--The Federal share of expenditures
for capital improvements under this section may not exceed 100 percent.

SEC. 214. NORTHEAST CORRIDOR INFRASTRUCTURE AND OPERATIONS
IMPROVEMENTS.

Section 24905 is amended to read as follows:
``Sec. 24905. Northeast Corridor Infrastructure and Operations Advisory
Commission; Safety and Security Committee.
``(a) Northeast Corridor Infrastructure and Operations Advisory
Commission.--
``(1) Within 180 days after the date of enactment of the
Passenger Rail Investment and Improvement Act of 2005, the
Secretary of Transportation shall establish a Northeast
Corridor Infrastructure and Operations Advisory Commission
(hereinafter referred to in this section as the `Commission')
to promote mutual cooperation and planning pertaining to the
rail operations and related activities of the Northeast
Corridor. The Commission shall be made up of--
``(A) members representing the National Railroad
Passenger Corporation;
``(B) members representing the Federal Railroad
Administration; and
``(C) 1 member from each of the States (including
the District of Columbia) that constitute the Northeast
Corridor as defined in section 24102, designated by the
chief executive officer thereof.
``(2) The Secretary shall ensure that the membership
belonging to any of the groups enumerated under subparagraph
(1) shall not constitute a majority of the commission's
memberships.
``(3) The commission shall establish a schedule and
location for convening meetings, but shall meet no less than
four times per fiscal year, and the commission shall develop
rules and procedures to govern the commission's proceedings.
``(4) A vacancy in the Commission shall be filled in the
manner in which the original appointment was made.
``(5) Members shall serve without pay but shall receive
travel expenses, including per diem in lieu of subsistence, in
accordance with sections 5702 and 5703 of title 5, United
States Code.
``(6) The Chairman of the Commission shall be elected by
the members.
``(7) The Commission may appoint and fix the pay of such
personnel as it considers appropriate.
``(8) Upon request of the Commission, the head of any
department or agency of the United States may detail, on a
reimbursable basis, any of the personnel of that department or
agency to the Commission to assist it in carrying out its
duties under this section.
``(9) Upon the request of the Commission, the Administrator
of General Services shall provide to the Commission, on a
reimbursable basis, the administrative support services
necessary for the Commission to carry out its responsibilities
under this section.
``(10) The commission shall consult with freight railroads
users of the Northeast Corridor and other entities as
appropriate.
``(b) General Recommendations.--The Commission shall develop
recommendations concerning northeast corridor rail infrastructure and
operations including proposals addressing, as appropriate--
``(1) short-term and long term capital investment needs
beyond the state-of-good-repair under section 213;
``(2) future funding requirements for capital improvements
and maintenance;
``(3) operational improvements of intercity passenger rail,
commuter rail, and freight rail services;
``(4) opportunities for additional non-rail uses of the
Northeast Corridor;
``(5) scheduling and dispatching;
``(6) safety and security enhancements;
``(7) equipment design;
``(8) marketing of rail services; and
``(9) future capacity requirements.
``(c) Access Costs.--
``(1) Development of formula.--Within 1 year after
verification of Amtrak's new financial accounting system
pursuant to section 203(b) of the Passenger Rail Investment and
Improvement Act of 2005, the Commission shall--
``(A) develop a standardized formula for
determining and allocating costs, revenues, and
compensation for northeast corridor commuter rail
passenger transportation, as defined in section 24102
of this title, that use National Railroad Passenger
Corporation facilities or services or that provide such
facilities or services to the National Railroad
Passenger Corporation that ensure that--
``(i) there is no cross-subsidization of
commuter rail passenger, intercity rail
passenger, or freight rail transportation; and
``(ii) each service is assigned the costs
incurred only for the benefit of that service,
and a proportionate share, based upon factors
that reasonably reflect relative use, of costs
incurred for the common benefit of more than 1
service;
``(B) develop a proposed timetable for implementing
the formula before the end of the 6th year following
the date of enactment of that Act; and
``(C) transmit the proposed timetable to the
Surface Transportation Board.
``(2) Implementation.--The National Railroad Passenger
Corporation and the commuter authorities providing commuter
rail passenger transportation on the northeast corridor shall
implement new agreements for usage of facilities or services
based on the formula proposed in paragraph (1) in accordance
with the timetable established therein. If the parties fail to
implement such new agreements in accordance with the timetable,
the parties shall--
``(A) submit any dispute regarding such
implementation to binding arbitration conducted by a
mutually agreed upon arbitrator and comply with the
decision of that arbitrator; or
``(B) petition the Surface Transportation Board to
determine the appropriate compensation amounts for such
services in accordance with section 24904(c) of this
title.
``(d) Transmission of Recommendations.--The commission shall
annually transmit the recommendations developed under subsection (b)
and the formula and timetable developed under subsection (c)(1) to the
Senate Committee on Commerce, Science, and Transportation and the House
of Representatives Committee on Transportation and Infrastructure.
``(e) Northeast Corridor Safety Committee.--
``(1) In general.--The Secretary shall establish a
Northeast Corridor Safety and Security Committee composed of
members appointed by the Secretary. The members shall be
representatives of--
``(A) the Secretary;
``(B) Amtrak;
``(C) freight carriers operating more than 150,000
train miles a year on the main line of the Northeast
Corridor;
``(D) commuter agencies;
``(E) rail passengers;
``(F) rail labor;
``(G) the Transportation Security Administration;
and
``(H) other individuals and organizations the
Secretary decides have a significant interest in rail
safety.
``(2) Function; meetings.--The Secretary shall consult with
the Committee about safety and security improvements on the
Northeast Corridor main line. The Committee shall meet at least
once every 2 years to consider safety matters on the main line.
``(3) Report.--At the beginning of the first session of
each Congress, the Secretary shall submit a report to the
Commission and to Congress on the status of efforts to improve
safety and security on the Northeast Corridor main line. The
report shall include the safety recommendations of the
Committee and the comments of the Secretary on those
recommendations.
``(4) Termination.--The Committee shall cease to exist on
January 1, 2009, or on another date the Secretary decides is
appropriate. The Secretary shall notify Congress in writing of
a decision to terminate the Committee on another date.''.

SEC. 215. RESTRUCTURING LONG-TERM DEBT AND CAPITAL LEASES.

(a) In General.--The Secretary of the Treasury, in consultation
with the Secretary of Transportation and Amtrak, may make agreements to
restructure Amtrak's indebtedness as of the date of enactment of this
Act. This authorization expires on January 1, 2007.
(b) Debt Restructuring.--The Secretary of Treasury, in consultation
with the Secretary of the Transportation and Amtrak, shall enter into
negotiations with the holders of Amtrak debt, including leases,
outstanding on the date of enactment of this Act for the purpose of
restructuring (including repayment) and repaying that debt. The
Secretary of the Treasury may secure agreements for restructuring or
repayment on such terms as the Secretary of the Treasury deems
favorable to the interests of the Government.
(c) Criteria.--In restructuring Amtrak's indebtedness, the
Secretary and Amtrak--
(1) shall take into consideration repayment costs, the term
of any loan or loans, and market conditions; and
(2) shall ensure that the restructuring results in
significant savings to Amtrak and the United States Government.
(d) Payment of Renegotiated Debt.--If the criteria under subsection
(c) are met, the Secretary of Treasury shall assume or repay the
restructured debt, as appropriate.
(e) Amtrak Principal and Interest Payments.--
(1) Principal on debt service.--Unless the Secretary of
Treasury makes sufficient payments to creditors under
subsection (d) so that Amtrak is required to make no payments
to creditors in a fiscal year, the Secretary of Transportation
shall use funds authorized by section 103(a)(1) for the use of
Amtrak for retirement of principal on loans for capital
equipment, or capital leases.
(2) Interest on debt.--D23/Unless the Secretary of Treasury
makes sufficient payments to creditors under subsection (d) so
that Amtrak is required to make no payments to creditors in a
fiscal year, the Secretary of Transportation shall use funds
authorized by section 103(a)(2) for the use of Amtrak for the
payment of interest on loans for capital equipment, or capital
leases.
(3) Reductions in authorization levels.-- Whenever action
taken by the Secretary of the Treasury under subsection (a)
results in reductions in amounts of principal or interest that
Amtrak must service on existing debt, the corresponding amounts
authorized by section 103(a)(1) or (2) shall be reduced
accordingly.
(f) Legal Effect of Payments Under This Section.--D23/The payment
of principal and interest on secured debt, other than debt assumed
under subsection (d), with the proceeds of grants under subsection (e)
shall not--
(1) modify the extent or nature of any indebtedness of the
National Railroad Passenger Corporation to the United States in
existence of the date of enactment of this Act;
(2) change the private nature of Amtrak's or its
successors' liabilities; or
(3) imply any Federal guarantee or commitment to amortize
Amtrak's outstanding indebtedness.
(g) Secretary Approval.--D23/Amtrak may not incur more debt after
the date of enactment of this Act without the express advance approval
of the Secretary of Transportation.
(h) Report.--The Secretary of the Treasury shall transmit a report
to the Senate Committee on Commerce, Science, and Transportation, the
Senate Committee on Appropriations, the House of Representatives
Committee on Transportation and Infrastructure, and the House of
Representatives Committee on Appropriations by June 1, 2007--
(1) describing in detail any agreements to restructure the
Amtrak debt; and
(2) providing an estimate of the savings to Amtrak and the
United States Government.

SEC. 216. STUDY OF COMPLIANCE REQUIREMENTS AT EXISTING INTERCITY RAIL
STATIONS.

Amtrak shall evaluate the improvements necessary to make all
existing stations it serves readily accessible to and usable by
individuals with disabilities, as required by section 242(e)(2) of the
Americans with Disabilities Act of 1990 (42 U.S.C. 12162(e)(2)). The
evaluation shall include the estimated cost of the improvements
necessary, the identification of the responsible person (as defined in
section 241(5) of that Act (42 U.S.C. 12161(5))), and the earliest
practicable date when such improvements can be made. Amtrak shall
submit the survey to the Senate Committee on Commerce, Science, and
Transportation, the House of Representatives Committee on
Transportation and Infrastructure, and the National Council on
Disability by September 30, 2006, along with recommendations for
funding the necessary improvements.

SEC. 217. INCENTIVE PAY.

The Amtrak Board of Directors is encouraged to develop an incentive
pay program for Amtrak employees.

SEC. 218. ACCESS TO AMTRAK EQUIPMENT AND SERVICES.

If a State desires to select or selects an entity other than Amtrak
to provide services required for the operation of a route described in
section 24102(5)(D) or 24702 of title 49, United States Code, the State
may make an agreement with Amtrak to use facilities and equipment of,
or have services provided by, Amtrak under terms agreed to by the State
and Amtrak to enable the State to utilize an entity other than Amtrak
to provide services required for operation of the route. If the parties
cannot agree upon terms, and the Surface Transportation Board finds
that access to Amtrak's facilities or equipment, or the provision of
services by Amtrak, is necessary to carry out this provision and that
the operation of Amtrak's other services will not be impaired thereby,
the Surface Transportation Board shall, within 120 days after
submission of the dispute, issue an order that the facilities and
equipment be made available, and that services be provided, by Amtrak,
and shall determine reasonable compensation, liability and other terms
for use of the facilities and equipment and provision of the services.
Compensation shall be determined in accord with the methodology
established pursuant to section 206 of this Act.

SEC. 219. GENERAL AMTRAK PROVISIONS.

(a) Repeal of Self-Sufficiency Requirements.
(1) Title 49 amendments.--Chapter 241 is amended--
(A) by striking the last sentence of section
24101(d); and
(B) by striking the last sentence of section
24104(a).
(2) Amtrak reform and accountability act amendments.--Title
II of the Amtrak Reform and Accountability Act of 1997 (49
U.S.C. 24101 nt) is amended by striking sections 204 and 205.
(3) Common stock redemption date.--Section 415 of the
Amtrak Reform and Accountability Act of 1997 (49 U.S.C. 24304
nt) is amended by striking subsection (b).
(b) Lease Arrangements.--Amtrak may obtain services from the
Administrator of General Services, and the Administrator may provide
services to Amtrak, under section 201(b) and 211(b) of the Federal
Property and Administrative Service Act of 1949 (40 U.S.C. 481(b) and
491(b)) for each of fiscal years 2006 through 2011.

SEC. 220. PRIVATE SECTOR FUNDING OF PASSENGER TRAINS.

Amtrak is encouraged to increase its operation of trains funded by
the private sector in order to minimize its need for Federal subsidies.
Amtrak shall utilize the provisions of section 24308 of title 49,
United States Code, when necessary to obtain access to facilities,
train and engine crews, or services of a rail carrier or regional
transportation authority that are required to operate such trains.

SEC. 221. ON-BOARD SERVICE IMPROVEMENTS.

(a) In General.--Within 1 year after metrics and standards are
established under section 208 of this Act, Amtrak shall develop and
implement a plan to improve on-board service pursuant to the metrics
and standards for such service developed under that section.
(b) Report.--Amtrak shall provide a report to the Senate Committee
on Commerce, Science, and Transportation and the House of
Representatives Committee on Transportation and Infrastructure on the
on-board service improvements proscribed in the plan and the timeline
for implementing such improvements.

TITLE III--INTERCITY PASSENGER RAIL POLICY

SEC. 301. CAPITAL ASSISTANCE FOR INTERCITY PASSENGER RAIL SERVICE;
STATE RAIL PLANS.

(a) In General.--Part C of subtitle V is amended by inserting the
following after chapter 243:

``CHAPTER 244. INTERCITY PASSENGER RAIL SERVICE CORRIDOR CAPITAL
ASSISTANCE

``Sec.
``24401. Definitions.
``24402. Capital investment grants to support intercity passenger rail
service.
``24403. Project management oversight.
``24404. Use of capital grants to finance first-dollar liability of
grant project.
``24405. Grant conditions.
``Sec. 24401. Definitions
``In this subchapter:
``(1) Applicant.--The term `applicant' means a State
(including the District of Columbia), a group of States, an
Interstate Compact, or a public agency established by one or
more States and having responsibility for providing intercity
passenger rail service.
``(2) Capital project.--The term `capital project' means a
project or program in a State rail plan developed under chapter
225 of this title for--
``(A) acquiring, constructing, improving, or
inspecting equipment or a facility for use in or for
the primary benefit of intercity passenger rail
service, expenses incidental to the acquisition or
construction (including designing, engineering,
location surveying, mapping, environmental studies, and
acquiring rights-of-way), payments for the capital
portions of rail trackage rights agreements, highway-
rail grade crossing improvements related to intercity
passenger rail service, security, mitigating
environmental impacts, communication and signalization
improvements, relocation assistance, acquiring
replacement housing sites, and acquiring, constructing,
relocating, and rehabilitating replacement housing;
``(B) rehabilitating, remanufacturing or
overhauling rail rolling stock and facilities used
primarily in intercity passenger rail service;
``(C) costs associated with developing State rail
plans; and
``(D) the first-dollar liability costs for
insurance related to the provision of intercity
passenger rail service under section 24404.
``(3) Intercity passenger rail service.--The term
`intercity passenger rail service' means transportation
services with the primary purpose of passenger transportation
between towns, cities and metropolitan areas by rail, including
high-speed rail, as defined in section 24102 of title 49,
United States Code.
``Sec. 24402. Capital investment grants to support intercity passenger
rail service.
``(a) General Authority.--
``(1) The Secretary of Transportation may make grants under
this section to an applicant to assist in financing the capital
costs of facilities and equipment necessary to provide or
improve intercity passenger rail transportation.
``(2) The Secretary shall require that a grant under this
section be subject to the terms, conditions, requirements, and
provisions the Secretary decides are necessary or appropriate
for the purposes of this section, including requirements for
the disposition of net increases in value of real property
resulting from the project assisted under this section and
shall prescribe procedures and schedules for the awarding of
grants under this title, including application and
qualification procedures and a record of decision on applicant
eligibility. The Secretary shall issue a final rule
establishing such procedures not later than 90 days after the
date of enactment of the Passenger Rail Investment and
Improvement Act of 2005.
``(b) Project as Part of State Rail Plan.--
``(1) The Secretary may not approve a grant for a project
under this section unless the Secretary finds that the project
is part of a State rail plan developed under chapter 225 of
this title and that the applicant or recipient has or will have
the legal, financial, and technical capacity to carry out the
project, satisfactory continuing control over the use of the
equipment or facilities, and the capability and willingness to
maintain the equipment or facilities.
``(2) An applicant shall provide sufficient information
upon which the Secretary can make the findings required by this
subsection.
``(3) If an applicant has not selected the proposed
operator of its service competitively, the applicant shall
provide written justification to the Secretary showing why the
proposed operator is the best, taking into account price and
other factors, and that use of the proposed operator will not
unnecessarily increase the cost of the project.
``(c) Project Selection Criteria.--The Secretary, in selecting the
recipients of financial assistance to be provided under subsection (a),
shall--
``(1) require that each proposed project meet all safety
and security requirements that are applicable to the project
under law;
``(2) give preference to projects with high levels of
estimated ridership, increased on-time performance, reduced
trip time, additional service frequency, or other significant
service enhancements as measured against minimum standards
developed under section 208 of the Passenger Rail Investment
and Improvement Act of 2005;
``(3) encourage intermodal connectivity through projects
that provide direct connections between train stations,
airports, bus terminals, subway stations, ferry ports, and
other modes of transportation;
``(4) ensure that each project is compatible with, and is
operated in conformance with--
``(A) plans developed pursuant to the requirements
of section 135 of title 23, United States Code; and
``(B) the national rail plan (if it is available);
and
``(5) favor the following kinds of projects:
``(A) Projects that are expected to have a
significant favorable impact on air or highway traffic
congestion, capacity, or safety.
``(B) Projects that also improve freight or
commuter rail operations.
``(C) Projects that have significant environmental
benefits.
``(D) Projects that are--
``(i) at a stage of preparation that all
pre-commencement compliance with environmental
protection requirements has already been
completed; and
``(ii) ready to be commenced.
``(E) Projects with positive economic and
employment impacts.
``(F) Projects that encourage the use of positive
train control technologies.
``(G) Projects that have commitments of funding
from non-Federal Government sources in a total amount
that exceeds the minimum amount of the non-Federal
contribution required for the project.
``(H) Projects that involve donated property
interests or services.
``(I) Projects that are identified by the Surface
Transportation Board as necessary to improve the on
time performance and reliability of intercity passenger
rail under section 24308(f).
``(d) Amtrak Eligibility.--To receive a grant under this section,
the National Railroad Passenger Corporation may enter into a
cooperative agreement with 1 or more States to carry out 1 or more
projects on a State rail plan's ranked list of rail capital projects
developed under section 22504(a)(5) of this title.
``(e) Letters of Intent, Full Funding Grant Agreements, and Early
Systems Work Agreements.--
``(1)(A) The Secretary may issue a letter of intent to an
applicant announcing an intention to obligate, for a major
capital project under this section, an amount from future
available budget authority specified in law that is not more
than the amount stipulated as the financial participation of
the Secretary in the project.
``(B) At least 30 days before issuing a letter
under subparagraph (A) of this paragraph or entering
into a full funding grant agreement, the Secretary
shall notify in writing the Committee on Transportation
and Infrastructure of the House of Representatives and
the Committee on Commerce, Science, and Transportation
of the Senate and the House and Senate Committees on
Appropriations of the proposed letter or agreement. The
Secretary shall include with the notification a copy of
the proposed letter or agreement as well as the
evaluations and ratings for the project.
``(C) An obligation or administrative commitment
may be made only when amounts are appropriated.
``(2)(A) The Secretary may make a full funding grant
agreement with an applicant. The agreement shall--
``(i) establish the terms of participation
by the United States Government in a project
under this section;
``(ii) establish the maximum amount of
Government financial assistance for the
project;
``(iii) cover the period of time for
completing the project, including a period
extending beyond the period of an
authorization; and
``(iv) D23/make timely and efficient
management of the project easier according to
the law of the United States.
`D23/`(B) D23/An agreement under this paragraph
obligates an amount of available budget authority
specified in law and may include a commitment,
contingent on amounts to be specified in law in advance
for commitments under this paragraph, to obligate an
additional amount from future available budget
authority specified in law. The agreement shall state
that the contingent commitment is not an obligation of
the Government and is subject to the availability of
appropriations made by Federal law and to Federal laws
in force on or enacted after the date of the contingent
commitment. Interest and other financing costs of
efficiently carrying out a part of the project within a
reasonable time are a cost of carrying out the project
under a full funding grant agreement, except that
eligible costs may not be more than the cost of the
most favorable financing terms reasonably available for
the project at the time of borrowing. The applicant
shall certify, in a way satisfactory to the Secretary,
that the applicant has shown reasonable diligence in
seeking the most favorable financing terms.
``(3)(A) The Secretary may make an early systems work
agreement with an applicant if a record of decision under the
National Environmental Policy Act of 1969 (42 U.S.C. 4321 et
seq.) has been issued on the project and the Secretary finds
there is reason to believe--
``(i) a full funding grant agreement for
the project will be made; and
``(ii) the terms of the work agreement will
promote ultimate completion of the project more
rapidly and at less cost.
``(B) A work agreement under this paragraph
obligates an amount of available budget authority
specified in law and shall provide for reimbursement of
preliminary costs of carrying out the project,
including land acquisition, timely procurement of
system elements for which specifications are decided,
and other activities the Secretary decides are
appropriate to make efficient, long-term project
management easier. A work agreement shall cover the
period of time the Secretary considers appropriate. The
period may extend beyond the period of current
authorization. Interest and other financing costs of
efficiently carrying out the work agreement within a
reasonable time are a cost of carrying out the
agreement, except that eligible costs may not be more
than the cost of the most favorable financing terms
reasonably available for the project at the time of
borrowing. The applicant shall certify, in a way
satisfactory to the Secretary, that the applicant has
shown reasonable diligence in seeking the most
favorable financing terms. If an applicant does not
carry out the project for reasons within the control of
the applicant, the applicant shall repay all Government
payments made under the work agreement plus reasonable
interest and penalty charges the Secretary establishes
in the agreement.
``(4) The total estimated amount of future obligations of
the Government and contingent commitments to incur obligations
covered by all outstanding letters of intent, full funding
grant agreements, and early systems work agreements may be not
more than the amount authorized under section 101(c) of
Passenger Rail Investment and Improvement Act of 2005, less an
amount the Secretary reasonably estimates is necessary for
grants under this section not covered by a letter. The total
amount covered by new letters and contingent commitments
included in full funding grant agreements and early systems
work agreements may be not more than a limitation specified in
law.
``(f) Federal Share of Net Project Cost.--
``(1)(A) Based on engineering studies, studies of economic
feasibility, and information on the expected use of equipment
or facilities, the Secretary shall estimate the net project
cost.
``(B) A grant for the project shall not exceed 80
percent of the project net capital cost.
``(C) The Secretary shall give priority in
allocating future obligations and contingent
commitments to incur obligations to grant requests
seeking a lower Federal share of the project net
capital cost.
``(2) Up to an additional 20 percent of the required non-
Federal funds may be funded from amounts appropriated to or
made available to a department or agency of the Federal
Government that are eligible to be expended for transportation.
``(3) 50 percent of the average amounts expended by a State
or group of States (including the District of Columbia) for
capital projects to benefit intercity passenger rail service in
fiscal years 2004 and 2005 shall be credited towards the
matching requirements for grants awarded under this section.
The Secretary may require such information as necessary to
verify such expenditures.
``(4) 50 percent of the average amounts expended by a State
or group of States (including the District of Columbia) in a
fiscal year beginning in 2006 for capital projects to benefit
intercity passenger rail service or for the operating costs of
such service above the average of expenditures made for such
service in fiscal years 2004 and 2005 shall be credited towards
the matching requirements for grants awarded under this
section. The Secretary may require such information as
necessary to verify such expenditures.
``(g) Undertaking Projects in Advance.--
``(1) The Secretary may pay the Federal share of the net
capital project cost to an applicant that carries out any part
of a project described in this section according to all
applicable procedures and requirements if--
``(A) the applicant applies for the payment;
``(B) the Secretary approves the payment; and
``(C) before carrying out the part of the project,
the Secretary approves the plans and specifications for
the part in the same way as other projects under this
section.
``(2) The cost of carrying out part of a project includes
the amount of interest earned and payable on bonds issued by
the applicant to the extent proceeds of the bonds are expended
in carrying out the part. However, the amount of interest under
this paragraph may not be more than the most favorable interest
terms reasonably available for the project at the time of
borrowing. The applicant shall certify, in a manner
satisfactory to the Secretary, that the applicant has shown
reasonable diligence in seeking the most favorable financial
terms.
``(3) The Secretary shall consider changes in capital
project cost indices when determining the estimated cost under
paragraph (2) of this subsection.
``(h) 2-Year Availability.--Funds appropriated under this section
shall remain available until expended. If any amount provided as a
grant under this section is not obligated or expended for the purposes
described in subsection (a) within 2 years after the date on which the
State received the grant, such sums shall be returned to the Secretary
for other intercity passenger rail development projects under this
section at the discretion of the Secretary.
``(i) Public-Private Partnerships.--
``(1) In general.--A metropolitan planning organization,
State transportation department, or other project sponsor may
enter into an agreement with any public, private, or nonprofit
entity to cooperatively implement any project funded with a
grant under this title.
``(2) Forms of participation.--Participation by an entity
under paragraph (1) may consist of--
``(A) ownership or operation of any land, facility,
locomotive, rail car, vehicle, or other physical asset
associated with the project;
``(B) cost-sharing of any project expense;
``(C) carrying out administration, construction
management, project management, project operation, or
any other management or operational duty associated
with the project; and
``(D) any other form of participation approved by
the Secretary.
``(3) Sub-allocation.--A State may allocate funds under
this section to any entity described in paragraph (1).
``(j) Special Transportation Circumstances.--In carrying out this
section, the Secretary shall allocate an appropriate portion of the
amounts available under this section to provide grants to States--
``(1) in which there is no intercity passenger rail service
for the purpose of funding freight rail capital projects that
are on a State rail plan developed under chapter 225 of this
title that provide public benefits (as defined in chapter 225)
as determined by the Secretary; or
``(2) in which the rail transportation system is not
physically connected to rail systems in the continental United
States or may not otherwise qualify for a grant under this
section due to the unique characteristics of the geography of
that State or other relevant considerations, for the purpose of
funding transportation-related capital projects.
``Sec. 24403. Project management oversight
``(a) Project Management Plan Requirements.--To receive Federal
financial assistance for a major capital project under this subchapter,
an applicant must prepare and carry out a project management plan
approved by the Secretary of Transportation. The plan shall provide
for--
``(1) adequate recipient staff organization with well-
defined reporting relationships, statements of functional
responsibilities, job descriptions, and job qualifications;
``(2) a budget covering the project management
organization, appropriate consultants, property acquisition,
utility relocation, systems demonstration staff, audits, and
miscellaneous payments the recipient may be prepared to
justify;
``(3) a construction schedule for the project;
``(4) a document control procedure and recordkeeping
system;
``(5) a change order procedure that includes a documented,
systematic approach to handling the construction change orders;
``(6) organizational structures, management skills, and
staffing levels required throughout the construction phase;
``(7) quality control and quality assurance functions,
procedures, and responsibilities for construction, system
installation, and integration of system components;
``(8) material testing policies and procedures;
``(9) internal plan implementation and reporting
requirements;
``(10) criteria and procedures to be used for testing the
operational system or its major components;
``(11) periodic updates of the plan, especially related to
project budget and project schedule, financing, and ridership
estimates; and
``(12) the recipient's commitment to submit a project
budget and project schedule to the Secretary each month.
``(b) Secretarial Oversight.--
``(1) The Secretary may use no more than 0.5 percent of
amounts made available in a fiscal year for capital projects
under this subchapter to enter into contracts to oversee the
construction of such projects.
``(2) The Secretary may use amounts available under
paragraph (1) of this subsection to make contracts for safety,
procurement, management, and financial compliance reviews and
audits of a recipient of amounts under paragraph (1).
``(3) The Federal Government shall pay the entire cost of
carrying out a contract under this subsection.
``(c) Access to Sites and Records.--Each recipient of assistance
under this subchapter shall provide the Secretary and a contractor the
Secretary chooses under subsection (c) of this section with access to
the construction sites and records of the recipient when reasonably
necessary.
``Sec. 24404. Use of capital grants to finance first-dollar liability
of grant project
``Notwithstanding the requirements of section 24402 of this
subchapter, the Secretary of Transportation may approve the use of
capital assistance under this subchapter to fund self-insured retention
of risk for the first tier of liability insurance coverage for rail
passenger service associated with the capital assistance grant, but the
coverage may not exceed $20,000,000 per occurrence or $20,000,000 in
aggregate per year.
``Sec. 24405. Grant conditions
``(a) Domestic Buying Preference.--
``(1) Requirement.--
``(A) D23/In general.--In carrying out a project
funded in whole or in part with a grant under this
title, the grant recipient shall purchase only--
``(i) unmanufactured articles, material,
and supplies mined or produced in the United
States; or
``(ii) manufactured articles, material, and
supplies manufactured in the United States
substantially from articles, material, and
supplies mined, produced, or manufactured in
the United States.
``(B) De minimis amount.--Subparagraph (1) applies
only to a purchase in an total amount that is not less
than $1,000,000.
``(2) Exemptions.--On application of a recipient, the
Secretary may exempt a recipient from the requirements of this
subsection if the Secretary decides that, for particular
articles, material, or supplies--
``(A) such requirements are inconsistent with the
public interest;
``(B) the cost of imposing the requirements is
unreasonable; or
``(C) the articles, material, or supplies, or the
articles, material, or supplies from which they are
manufactured, are not mined, produced, or manufactured
in the United States in sufficient and reasonably
available commercial quantities and are not of a
satisfactory quality.
``(3) United States defined.--In this subsection, the term
`the United States' means the States, territories, and
possessions of the United States and the District of Columbia.
``(b) Operators Deemed Rail Carriers and Employers for Certain
Purposes.--A person that conducts rail operations over rail
infrastructure constructed or improved with funding provided in whole
or in part in a grant made under this title--
``(1) shall be considered a rail carrier as defined in
section 10102(5) of this title for purposes of this title and
any other statute that adopts the that definition or in which
that definition applies;
``(2) shall be considered an employer for purposes of the
Railroad Retirement Act of 1974 (45 U.S.C. 231 et seq.); and
``(3) shall be considered a carrier for purposes of the
Railway Labor Act (43 U.S.C. 151 et seq.).
``(c) Grant Conditions.--The Secretary shall require as a condition
of making any grant under this title that includes the improvement or
use of rights-of-way owned by a railroad that--
``(1) a written agreement exist between the applicant and
the railroad regarding such use and ownership, including--
``(A) any compensation for such use;
``(B) assurances regarding the adequacy of
infrastructure capacity to accommodate both existing
and future freight and passenger operations; and
``(C) an assurance by the railroad that collective
bargaining agreements with the railroad's employees
(including terms regulating the contracting of work)
will remain in full force and effect according to their
terms for work performed by the railroad on the
railroad transportation corridor; and
``(2) the applicant agrees to comply with--
``(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 established under
section 504 of the Railroad Revitalization and
Regulatory Reform Act of 1976 (45 U.S.C. 836) with
respect to employees affected by actions taken in
connection with the project to be financed in whole or
in part by grants under this subchapter.
``(d) Replacement of Existing Intercity Passenger Rail Service.--
``(1) Collective bargaining agreement for intercity
passenger rail projects.--Any entity providing intercity
passenger railroad transportation that begins operations after
the date of enactment of this Act on a project funded in whole
or in part by grants made under this title and replaces
intercity rail passenger service that was provided by Amtrak,
unless such service was provided solely by Amtrak to another
entity, as of such date shall enter into an agreement with the
authorized bargaining agent or agents for adversely affected
employees of the predecessor provider that--
``(A) gives each such qualified employee of the
predecessor provider priority in hiring according to
the employee's seniority on the predecessor provider
for each position with the replacing 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 occurs
concurrent with or within a reasonable time before the
commencement of the replacing entity's rail passenger
service, the replacing entity shall give written notice
of its plan to replace existing rail passenger service
to the authorized collective bargaining agent or agents
for the potentially adversely affected employees of the
predecessor provider at least 90 days before 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 predecessor provider shall commence for the
purpose of reaching agreement with respect to all
matters set forth in subparagraphs (A) through (D) of
paragraph (1). The negotiations shall continue 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
arbitration in accordance with the procedure set forth
in subparagraph (B).
``(B) Arbitration.--If an agreement has not been
entered into with respect to all matters 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 upon the selection of such arbitrator
within 5 days, either or both parties shall notify the
National Mediation Board, which shall provide a list of
seven arbitrators with experience in arbitrating rail
labor protection disputes. Within 5 days after such
notification, the parties shall alternately strike
names from the list until only 1 name remains, and that
person shall serve as the neutral arbitrator. Within 45
days after selection 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 subparagraphs (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 parties; 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.
``(4) Subsequent replacement of service.--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 agreement with
respect to the matters set forth in subparagraphs (A) through
(D) of paragraph (1). If the parties have not entered into an
agreement with respect to all such matters within 60 days after
the date on which the replacing entity replaces the predecessor
provider, the parties shall select an arbitrator using the
procedures set forth in paragraph (2)(B), who shall, within 20
days after the commencement 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 Operations.-- Nothing in this
section applies to--
``(1) commuter rail passenger transportation (as defined in
section 24102(4) of this title) operations 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 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; or
``(3) the National Railroad Passenger Corporation's access
rights to railroad rights of way and facilities under current
law for projects funded under this title where train operating
speeds do not exceed 79 miles per hour.''.
(b) Conforming Amendments.--
(1) The table of chapters for the title is amended by
inserting the following after the item relating to chapter 243:

``244. Intercity passenger rail service capital assistance..   24401''.
``(2) The chapter analysis for subtitle V is amended by
inserting the following after the item relating to chapter 243:

``244. Intercity passenger rail service capital assistance..   24401''.

SEC. 302. STATE RAIL PLANS.

(a) In General.--Part B of subtitle V is amended by adding at the
end the following:

``CHAPTER 225. STATE RAIL PLANS AND HIGH PRIORITY PROJECTS

``Sec.
``22501. Definitions.
``22502. Authority.
``22503. Purposes.
``22504. Transparency; coordination; review.
``22505. Content.
``22506. Review.
``Sec. 22501. Definitions
``In this subchapter:
``(1) Private benefit.--
``(A) In general.--The term `private benefit'--
``(i) means a benefit accrued to a person
or private entity, other than the National
Railroad Passenger Corporation, that directly
improves the economic and competitive condition
of that person or entity through improved
assets, cost reductions, 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 benefit'--
``(i) means a benefit accrued to the public
in the form of enhanced mobility of people or
goods, environmental protection or enhancement,
congestion mitigation, enhanced trade and
economic development, improved air quality or
land use, more efficient 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 authority.--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 law for preparation, maintenance,
coordination, and administration of the State rail plan.''.
``Sec. 22502. Authority
``(a) In General.--Each State may prepare and maintain a State rail
plan in accordance with the provisions of this subchapter.
``(b) Requirements.--For the preparation and periodic revision of a
State rail plan, a State shall--
``(1) establish or designate a State rail transportation
authority to prepare, maintain, coordinate, and administer the
plan;
``(2) establish or designate a State rail plan approval
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 reapproval by the
Secretary.
``Sec. 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 commuter rail
operations, in the State.
``(2) To establish the period covered by the State rail
plan.
``(3) To present priorities and strategies to enhance rail
service in the State that benefits the public.
``(4) To serve as the basis for Federal and State rail
investments within the State.
``(b) Coordination.--A State rail plan shall be coordinated with
other State transportation planning goals and programs and set forth
rail transportation's role within the State transportation system.
``Sec. 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 transit authorities operating in, or affected by
rail operations within the State, units of local government, and other
interested 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, regional transportation authorities, and
municipalities within the State, or in the region in which the State is
located, while preparing the plan, and shall include any
recommendations made by such agencies, authorities, and municipalities
as deemed appropriate by the State.
``Sec. 22505. Content
``(a) In General.--Each State rail plan shall contain 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 transportation system.
``(2) A review of all rail lines within the State,
including proposed high speed rail corridors and significant
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 infrastructure in the State that
meets the requirements of subsection (b).
``(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 operating funding resources,
public subsidies, State taxation, and other financial policies
relating to rail infrastructure development.
``(7) An identification of rail infrastructure issues
within the State that reflects consultation with all relevant
stake holders.
``(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 possible improvements in
those services, and a description of strategies to achieve
those improvements.
``(11) A compilation of studies and reports on high-speed
rail corridor development within the State not included in a
previous plan under this subchapter, and a plan for funding any
recommended development of such corridors in the State.
``(12) A statement that the State is in compliance with the
requirements of section 22102.
``(b) Long-Range Service and Investment Program.--
``(1) Program content.--A long-range rail investment
program included in a State rail plan under subsection (a)(5)
shall include the following matters:
``(A) A list of any rail capital projects expected
to be undertaken or supported in whole or in part by
the State.
``(B) A detailed funding plan for those projects.
``(2) Project list content.--The list of rail capital
projects shall contain--
``(A) a description of the anticipated public and
private benefits of each such project; and
``(B) a statement of the correlation between--
``(i) public funding contributions for the
projects; and
``(ii) the public benefits.
``(3) Considerations for project list.--In preparing the
list of freight and intercity passenger rail capital projects,
a State rail transportation authority should take into
consideration the following matters:
``(A) Contributions made by non-Federal and non-
State sources through user fees, matching funds, or
other private capital involvement.
``(B) Rail capacity and congestion effects.
``(C) Effects to highway, aviation, and maritime
capacity, congestion, or safety.
``(D) Regional balance.
``(E) Environmental impact.
``(F) Economic and employment impacts.
``(G) Projected ridership and other service
measures for passenger rail projects.
``Sec. 22506. Review
The Secretary shall prescribe procedures for States to submit State
rail plans for review under this title, including standardized format
and data requirements.''.
(b) Conforming Amendments.--
(1) The table of chapters for the title is amended by
inserting the following after the item relating to chapter 223:

``225. State rail plans.....................................   22501''.
``(2) The chapter analysis for subtitle V is amended by
inserting the following after the item relating to chapter 223:

``225. State rail plans.....................................   24401''.

SEC. 303. NEXT GENERATION CORRIDOR TRAIN EQUIPMENT POOL.

(a) In General.--Within 180 days after the date of enactment of
this Act, Amtrak shall establish a Next Generation Corridor Equipment
Pool Committee, comprised of representatives of Amtrak, the Federal
Railroad Administration, and interested States. The purpose of the
Committee shall be to design, develop specifications for, and procure
standardized next-generation corridor equipment.
(b) Functions.--The Committee may--
(1) determine the number of different types of equipment
required, taking into account variations in operational needs
and corridor infrastructure;
(2) establish a pool of equipment to be used on corridor
routes funded by participating States; and
(3) subject to agreements between Amtrak and States,
utilize services provided by Amtrak to design, maintain and
remanufacture equipment.
(c) Cooperative Agreements.--Amtrak and States participating in the
Committee may enter into agreements for the funding, procurement,
remanufacture, ownership and management of corridor equipment,
including equipment currently owned or leased by Amtrak and next-
generation corridor equipment acquired as a result of the Committee's
actions, and may establish a corporation, which may be owned or
jointly-owned by Amtrak, participating States or other entities, to
perform these functions.
(d) Funding.--In addition to the authorization provided in section
105 of this Act, capital projects to carry out the purposes of this
section shall be eligible for grants made pursuant to chapter 244 of
title 49, United States Code.

SEC. 304. FEDERAL RAIL POLICY.

Section 103 is amended--
(1) by inserting ``In General.--'' before ``The Federal''
in subsection (a);
(2) by striking the second and third sentences of
subsection (a);
(3) by inserting ``Administrator.--'' before ``The head''
in subsection (b);
(4) by redesignating subsections (c), (d), and (e) as
subsections (d), (e), and (f), respectively and by inserting
after subsection (b) the following:
``(c) Safety.--To carry out all railroad safety laws of the United
States, the Administration is divided on a geographical basis into at
least 8 safety offices. The Secretary of Transportation is responsible
for all acts taken under those laws and for ensuring that the laws are
uniformly administered and enforced among the safety offices.'';
(5) by inserting ``Powers and Duties.--'' before ``The'' in
subsection (d), as redesignated;
(6) by striking ``and'' after the semicolon in paragraph
(1) of subsection (d), as redesignated;
(7) by redesignating paragraph (2) of subsection (d), as
redesignated, as paragraph (3) and inserting after paragraph
(1) the following:
``(2) the duties and powers related to railroad policy and
development under subsection (e); and'';
(8) by inserting ``Transfers of Duty.--'' before ``A duty''
in subsection (e), as redesignated;
(9) by inserting ``Contracts, grants, leases, cooperative
agreements, and similar transactions.--'' before ``Subject'' in
subsection (f), as redesignated;
(10) by striking the last sentence in subsection (f), as
redesignated; and
(11) by adding at the end the following:
``(g) Additional Duties of the Administrator.--The Administrator
shall--
``(1) provide assistance to States in developing State rail
plans prepared under chapter 225 and review all State rail
plans submitted under that section;
``(2) develop a long range national rail plan that is
consistent with approved State rail plans and the rail needs of
the Nation, as determined by the Secretary in order to promote
an integrated, cohesive, efficient, and optimized national rail
system for the movement of goods and people;
``(3) develop a preliminary national rail plan within a
year after the date of enactment of the Passenger Rail
Investment and Improvement Act of 2005;
``(4) develop and enhance partnerships with the freight and
passenger railroad industry, States, and the public concerning
rail development;
``(5) support rail intermodal development and high-speed
rail development, including high speed rail planning;
``(6) ensure that programs and initiatives developed under
this section benefit the public and work toward achieving
regional and national transportation goals; and
``(7) facilitate and coordinate efforts to assist freight
and passenger rail carriers, transit agencies and authorities,
municipalities, and States in passenger-freight service
integration on shared rights of way by providing neutral
assistance at the joint request of affected rail service
providers and infrastructure owners relating to operations and
capacity analysis, capital requirements, operating costs, and
other research and planning related to corridors shared by
passenger or commuter rail service and freight rail operations.
``(h) Performance Goals and Reports.--
``(1) Performance goals.--In conjunction with the
objectives established and activities undertaken under section
103(e) of this title, the Administrator shall develop a
schedule for achieving specific, measurable performance goals.
``(2) Resource needs.--The strategy and annual plans shall
include estimates of the funds and staff resources needed to
accomplish each goal and the additional duties required under
section 103(e).
``(3) Submission with president's budget.--Beginning with
fiscal year 2007 and each fiscal year thereafter, the Secretary
shall submit to Congress, at the same time as the President's
budget submission, the Administration's performance goals and
schedule developed under paragraph (1), including an assessment
of the progress of the Administration toward achieving its
performance goals.''.

SEC. 305. RAIL COOPERATIVE RESEARCH PROGRAM.

(a) Establishment and content.--Chapter 249 is amended by adding at
the end the following:
``Sec. 24910. Rail cooperative research program
``(a) In General.--The Secretary shall establish and carry out a
rail cooperative research program. The program shall--
``(1) address, among other matters, intercity rail
passenger and freight rail services, including existing rail
passenger and freight technologies and speeds, incrementally
enhanced rail systems and infrastructure, and new high-speed
wheel-on-rail systems and rail security;
``(2) address ways to expand the transportation of
international trade traffic by rail, enhance the efficiency of
intermodal interchange at ports and other intermodal terminals,
and increase capacity and availability of rail service for
seasonal freight needs;
``(3) consider research on the interconnectedness of
commuter rail, passenger rail, freight rail, and other rail
networks; and
``(4) give consideration to regional concerns regarding
rail passenger and freight transportation, including meeting
research needs common to designated high-speed corridors, long-
distance rail services, and regional intercity rail corridors,
projects, and entities.
``(b) Content.--The program to be carried out under this section
shall include research designed--
``(1) to identify the unique aspects and attributes of rail
passenger and freight service;
``(2) to develop more accurate models for evaluating the
impact of rail passenger and freight service, including the
effects on highway and airport and airway congestion,
environmental quality, and energy consumption;
``(3) to develop a better understanding of modal choice as
it affects rail passenger and freight transportation, including
development of better models to predict utilization;
``(4) to recommend priorities for technology demonstration
and development;
``(5) to meet additional priorities as determined by the
advisory board established under subsection (c), including any
recommendations made by the National Research Council;
``(6) to explore improvements in management, financing, and
institutional structures;
``(7) to address rail capacity constraints that affect
passenger and freight rail service through a wide variety of
options, ranging from operating improvements to dedicated new
infrastructure, taking into account the impact of such options
on operations;
``(8) to improve maintenance, operations, customer service,
or other aspects of intercity rail passenger and freight
service;
``(9) to recommend objective methodologies for determining
intercity passenger rail routes and services, including the
establishment of new routes, the elimination of existing
routes, and the contraction or expansion of services or
frequencies over such routes;
``(10) to review the impact of equipment and operational
safety standards on the further development of high speed
passenger rail operations connected to or integrated with non-
high speed freight or passenger rail operations; and
``(11) to recommend any legislative or regulatory changes
necessary to foster further development and implementation of
high speed passenger rail operations while ensuring the safety
of such operations that are connected to or integrated with
non-high speed freight or passenger rail operations.
``(c) Advisory Board.--
``(1) Establishment.--In consultation with the heads of
appropriate Federal departments and agencies, the Secretary
shall establish an advisory board to recommend research,
technology, and technology transfer activities related to rail
passenger and freight transportation.
``(2) Membership.--The advisory board shall include--
``(A) representatives of State transportation
agencies;
``(B) transportation and environmental economists,
scientists, and engineers; and
``(C) representatives of Amtrak, the Alaska
Railroad, freight railroads, transit operating
agencies, intercity rail passenger agencies, railway
labor organizations, and environmental organizations.
``(d) National Academy of Sciences.-- The Secretary may make grants
to, and enter into cooperative agreements with, the National Academy of
Sciences to carry out such activities relating to the research,
technology, and technology transfer activities described in subsection
(b) as the Secretary deems appropriate.''.
(b) Clerical Amendment.--The chapter analysis for chapter 249 is
amended by adding at the end the following:

``24910. Rail cooperative research program.''.

TITLE IV--PASSENGER RAIL SECURITY AND SAFETY

SEC. 401. SYSTEMWIDE AMTRAK SECURITY UPGRADES.

(a) In General--Subject to subsection (c) the Secretary of Homeland
Security, in consultation with the Secretary of Transportation, is
authorized to make grants to Amtrak--
(1) to secure major tunnel access points and ensure tunnel
integrity in New York, Baltimore, and Washington, DC;
(2) to secure Amtrak trains;
(3) to secure Amtrak stations;
(4) to obtain a watch list identification system approved
by the Secretary;
(5) to obtain train tracking and interoperable
communications systems that are coordinated to the maximum
extent possible;
(6) to hire additional police and security officers,
including canine units; and
(7) to expand emergency preparedness efforts.
(b) Conditions.--The Secretary of Transportation shall disburse
funds to Amtrak provided under subsection (a) for projects contained in
a systemwide security plan approved by the Secretary of Homeland
Security. The plan shall include appropriate measures to address
security awareness, emergency response, and passenger evacuation
training.
(c) Equitable Geographic Allocation.--The Secretary shall ensure
that, subject to meeting the highest security needs on Amtrak's entire
system, stations and facilities located outside of the Northeast
Corridor receive an equitable share of the security funds authorized by
this section.
(d) Authorization of Appropriations.--There are authorized to be
appropriated to the Secretary of Homeland Security to carry out this
section--
(1) $63,500,000 for fiscal year 2006;
(2) $30,000,000 for fiscal year 2007; and
(3) $30,000,000 for fiscal year 2008.
Amounts appropriated pursuant to this subsection shall remain available
until expended.

SEC. 402. FIRE AND LIFE-SAFETY IMPROVEMENTS.

(a) Life-Safety Needs.--The Secretary of Transportation is
authorized to make grants to Amtrak for the purpose of making fire and
life-safety improvements to Amtrak tunnels on the Northeast Corridor in
New York, NY, Baltimore, MD, and Washington, DC.
(b) Authorization of Appropriations.--There are authorized to be
appropriated to the Secretary of Transportation for the purposes of
carrying out subsection (a) the following amounts:
(1) For the 6 New York tunnels to provide ventilation,
electrical, and fire safety technology upgrades, emergency
communication and lighting systems, and emergency access and
egress for passengers--
(A) $190,000,000 for fiscal year 2006;
(B) $190,000,000 for fiscal year 2007;
(C) $190,000,000 for fiscal year 2008;
(2) For the Baltimore & Potomac tunnel and the Union
tunnel, together, to provide adequate drainage, ventilation,
communication, lighting, and passenger egress upgrades--
(A) $19,000,000 for fiscal year 2006;
(B) $19,000,000 for fiscal year 2007;
(C) $19,000,000 for fiscal year 2008;
(3) For the Washington, DC, Union Station tunnels to
improve ventilation, communication, lighting, and passenger
egress upgrades--
(A) $13,333,000 for fiscal year 2006;
(B) $13,333,000 for fiscal year 2007;
(C) $13,333,000 for fiscal year 2008;
(c) Infrastructure Upgrades.--There are authorized to be
appropriated to the Secretary of Transportation for fiscal year 2006
$3,000,000 for the preliminary design of options for a new tunnel on a
different alignment to augment the capacity of the existing Baltimore
tunnels.
(d) Availability of Appropriated Funds.--Amounts made available
pursuant to this section shall remain available until expended.
(e) Plans Required.--The Secretary may not make amounts available
to Amtrak for obligation or expenditure under subsection (a)--
(1) until Amtrak has submitted to the Secretary, and the
Secretary has approved, an engineering and financial plan for
such projects; and
(2) unless, for each project funded pursuant to this
section, the Secretary has approved a project management plan
prepared by Amtrak addressing appropriate project budget,
construction schedule, recipient staff organization, document
control and record keeping, change order procedure, quality
control and assurance, periodic plan updates, and periodic
status reports.
(f) Review of Plans.--The Secretary of Transportation shall
complete the review of the plans required by paragraphs (1) and (2) of
subsection (e) and approve or disapprove the plans within 45 days after
the date on which each such plan is submitted by Amtrak. If the
Secretary determines that a plan is incomplete or deficient, the
Secretary shall notify Amtrak of the incomplete items or deficiencies
and Amtrak shall, within 30 days after receiving the Secretary's
notification, submit a modified plan for the Secretary's review. Within
15 days after receiving additional information on items previously
included in the plan, and within 45 days after receiving items newly
included in a modified plan, the Secretary shall either approve the
modified plan, or, if the Secretary finds the plan is still incomplete
or deficient, the Secretary shall identify in writing to the Senate
Committee on Commerce, Science, and Transportation and the House of
Representatives Committee on Transportation and Infrastructure the
portions of the plan the Secretary finds incomplete or deficient,
approve all other portions of the plan, obligate the funds associated
with those other portions, and execute an agreement with Amtrak within
15 days thereafter on a process for resolving the remaining portions of
the plan.
(g) Financial Contribution From Other Tunnel Users.--The Secretary
shall, taking into account the need for the timely completion of all
portions of the tunnel projects described in subsection (a)--
(1) consider the extent to which rail carriers other than
Amtrak use or plan to use the tunnels;
(2) consider the feasibility of seeking a financial
contribution from those other rail carriers toward the costs of
the projects; and
(3) obtain financial contributions or commitments from such
other rail carriers at levels reflecting the extent of their
use or planned use of the tunnels, if feasible.

SEC. 403. AMTRAK PLAN TO ASSIST FAMILIES OF PASSENGERS INVOLVED IN RAIL
PASSENGER ACCIDENTS.

(a) In General.--Chapter 243 of title 49, United States Code, is
amended by adding at the end the following:
``Sec. 24316. Plans to address needs of families of passengers involved
in rail passenger accidents
``(a) Submission of Plan.--Not later than 6 months after the date
of the enactment of the Passenger Rail Investment and Improvement Act
of 2005, Amtrak shall submit to the Chairman of the National
Transportation Safety Board and the Secretary of Transportation a plan
for addressing the needs of the families of passengers involved in any
rail passenger accident involving an Amtrak intercity train and
resulting in a loss of life.
``(b) Contents of Plans.--The plan to be submitted by Amtrak under
subsection (a) shall include, at a minimum, the following:
``(1) A process by which Amtrak will maintain and provide
to the National Transportation Safety Board and the Secretary
of Transportation, immediately upon request, a list (which is
based on the best available information at the time of the
request) of the names of the passengers aboard the train
(whether or not such names have been verified), and will
periodically update the list. The plan shall include a
procedure, with respect to unreserved trains and passengers not
holding reservations on other trains, for Amtrak to use
reasonable efforts to ascertain the number and names of
passengers aboard a train involved in an accident.
``(2) A plan for creating and publicizing a reliable, toll-
free telephone number within 4 hours after such an accident
occurs, and for providing staff, to handle calls from the
families of the passengers.
``(3) A process for notifying the families of the
passengers, before providing any public notice of the names of
the passengers, by suitably trained individuals.
``(4) A process for providing the notice described in
paragraph (2) to the family of a passenger as soon as Amtrak
has verified that the passenger was aboard the train (whether
or not the names of all of the passengers have been verified).
``(5) A process by which the family of each passenger will
be consulted about the disposition of all remains and personal
effects of the passenger within Amtrak's control; that any
possession of the passenger within Amtrak's control will be
returned to the family unless the possession is needed for the
accident investigation or any criminal investigation; and that
any unclaimed possession of a passenger within Amtrak's control
will be retained by the rail passenger carrier for at least 18
months.
``(6) A process by which the treatment of the families of
nonrevenue passengers will be the same as the treatment of the
families of revenue passengers.
``(7) An assurance that Amtrak will provide adequate
training to its employees and agents to meet the needs of
survivors and family members following an accident.
``(c) Use of Information.--The National Transportation Safety
Board, the Secretary of Transportation, and Amtrak may not release to
any person information on a list obtained under subsection (b)(1) but
may provide information on the list about a passenger to the family of
the passenger to the extent that the Board or Amtrak considers
appropriate.
``(d) Limitation on Liability.--Amtrak shall not be liable for
damages in any action brought in a Federal or State court arising out
of the performance of Amtrak in preparing or providing a passenger
list, or in providing information concerning a train reservation,
pursuant to a plan submitted by Amtrak under subsection (b), unless
such liability was caused by Amtrak's conduct.
``(e) Limitation on Statutory Construction.--Nothing in this
section may be construed as limiting the actions that Amtrak may take,
or the obligations that Amtrak may have, in providing assistance to the
families of passengers involved in a rail passenger accident.
``(f) Funding.--There are authorized to be appropriated to the
Secretary of Transportation for the use of Amtrak $500,000 for fiscal
year 2006 to carry out this section. Amounts made available pursuant to
this subsection shall remain available until expended.''.
(b) Conforming Amendment.--The chapter analysis for chapter 243 of
title 49, United States Code, is amended by adding at the end the
following:

``24316.  Plan to assist families of passengers involved in rail
passenger accidents.''.

SEC. 404. NORTHERN BORDER RAIL PASSENGER REPORT.

Within 180 days after the date of enactment of this Act, the
Secretary of Transportation, in consultation with the Secretary of
Homeland Security, the Assistant Secretary of Homeland Security
(Transportation Security Administration), heads of other appropriate
Federal departments, and agencies and the National Railroad Passenger
Corporation, shall transmit a report to the Senate Committee on
Commerce, Science, and Transportation and the House of Representatives
Committee on Transportation and Infrastructure that contains--
(1) a description of the current system for screening
passengers and baggage on passenger rail service between the
United States and Canada;
(2) an assessment of the current program to provide
preclearance of airline passengers between the United States
and Canada as outlined in ``The Agreement on Air Transport
Preclearance between the Government of Canada and the
Government of the United States of America'', dated January 18,
2001;
(3) an assessment of the current program to provide
preclearance of freight railroad traffic between the United
States and Canada as outlined in the ``Declaration of Principle
for the Improved Security of Rail Shipments by Canadian
National Railway and Canadian Pacific Railway from Canada to
the United States'', dated April 2, 2003;
(4) information on progress by the Department of Homeland
Security and other Federal agencies towards finalizing a
bilateral protocol with Canada that would provide for
preclearance of passengers on trains operating between the
United States and Canada;
(5) a description of legislative, regulatory, budgetary, or
policy barriers within the United States Government to
providing pre-screened passenger lists for rail passengers
traveling between the United States and Canada to the
Department of Homeland Security;
(6) a description of the position of the Government of
Canada and relevant Canadian agencies with respect to
preclearance of such passengers;
(7) a draft of any changes in existing Federal law
necessary to provide for pre-screening of such passengers and
providing pre-screened passenger lists to the Department of
Homeland Security; and
(8) an analysis of the feasibility of reinstating United
States Customs and Border Patrol rolling inspections onboard
international Amtrak trains.

SEC. 405. PASSENGER, BAGGAGE, AND CARGO SCREENING.

(a) Requirement for Study and Report.--The Secretary of Homeland
Security, in cooperation with the Secretary of Transportation through
the Assistant Secretary of Homeland Security (Transportation Security
Administration) and other appropriate agencies, shall--
(1) study the cost and feasibility of requiring security
screening for passengers, baggage, and cargo on passenger
trains including an analysis of any passenger train screening
pilot programs undertaken by the Department of Homeland
Security; and
(2) report the results of the study, together with any
recommendations that the Secretary of Homeland Security may
have for implementing a rail security screening program to the
Senate Committee on Commerce, Science, and Transportation and
the House of Representatives Committee on Transportation and
Infrastructure within 1 year after the date of enactment of
this Act.
(b) Authorization of Appropriations.--There are authorized to be
appropriated to the Secretary of Homeland Security $1,000,000 for
fiscal year 2006 to carry out this section.

TITLE V--RAIL BOND AUTHORITY

SEC. 501. INTERCITY RAIL FACILITY BONDS.

(a) In General.--Chapter 261 is amended by adding at the end the
following:
``Sec. 26106. Rail infrastructure bonds
``(a) Designation.--The Secretary may designate bonds for purposes
of section 54A of the Internal Revenue Code of 1986 if--
``(1) the bonds are to be issued by--
``(A) a State, if the entire railroad passenger
transportation corridor containing the infrastructure
project to be financed is within the State;
``(B) 1 or more of the States that have entered
into an agreement or an interstate compact consented to
by Congress under section 410(a) of Public Law 105-134
(49 U.S.C. 24101 note);
``(C) an agreement or an interstate compact
described in subparagraph (B); or
``(D) Amtrak, for capital projects under its 5-year
plan;
``(2) the bonds are for the purpose of financing projects
that make a substantial contribution to providing the
infrastructure and equipment required to complete or improve a
rail transportation corridor (including projects for the
acquisition, financing, or refinancing of equipment and other
capital improvements, including the introduction of new high-
speed technologies such as magnetic levitation systems, track
or signal improvements, the elimination of grade crossings,
development of intermodal facilities, improvement of train
speeds or safety, or both, and station rehabilitation or
construction), but only if the Secretary determines that the
projects are part of a viable and comprehensive rail
transportation corridor design for intercity passenger service
included in a State rail plan under chapter 225 (except for
bonds issued under paragraph (1)(D)); and
``(3) for a railroad passenger transportation corridor not
operated by Amtrak that includes the use of rights-of-way owned
by a freight railroad, a written agreement exists between the
applicant and the freight railroad regarding such use and
ownership, including compensation for such use and assurances
regarding the adequacy of infrastructure capacity to
accommodate both existing and future freight and passenger
operations, and including an assurance by the freight railroad
that collective bargaining agreements with the freight
railroad's employees (including terms regulating the
contracting of work) shall remain in full force and effect
according to their terms for work performed by the freight
railroad on such railroad passenger transportation corridor.
``(b) Bond Amount Limitation.--
``(1) In general.--The amount of bonds designated under
this section may not exceed in the case of section 54A bonds,
$1,300,000,000 for each of the fiscal years 2006 through 2015.
``(2) Carryover of unused limitation.--If for any fiscal
year the limitation amount under paragraph (1) exceeds the
amount of section 54A bonds issued during such year, the
limitation amount under paragraph (1) for the following fiscal
year (through fiscal year 2019) shall be increased by the
amount of such excess.
``(c) Project Selection Criteria.--The Secretary shall give
preference to the designation under this section of bonds for projects
selected using the criteria in chapter 244.
``(d) Timely Disposition of Application.--The Secretary shall grant
or deny a requested designation within 9 months after receipt of an
application.
``(e) Refinancing Rules.--Bonds designated by the Secretary under
subsection (a) may be issued for refinancing projects only if the
indebtedness being refinanced (including any obligation directly or
indirectly refinanced by such indebtedness) was originally incurred by
the issuer--
``(1) after the date of the enactment of this section;
``(2) for a term of not more than 3 years;
``(3) to finance projects described in subsection (a)(2);
and
``(4) in anticipation of being refinanced with proceeds of
a bond designated under subsection (a).
``(f) Application of Conditions.--Any entity providing railroad
transportation (within the meaning of section 20102) that begins
operations after the date of the enactment of this section and that
uses property acquired pursuant to this section (except as provided in
subsection (a)(2)(B)), shall be subject to the conditions under section
24405.
``(g) Issuance of Regulations.--Not later than 6 months after the
date of the enactment of the Passenger Rail Investment and Improvement
Act of 2005, the Secretary shall issue regulations for carrying out
this section.
``(h) Section 54A Bond Defined.--In this section, the term `section
54A bond' means a bond designated by the Secretary under subsection (a)
for purposes of section 54A of the Internal Revenue Code of 1986
(relating to credit to holders of qualified rail infrastructure
bonds).''.
(b) Conforming Amendment.--The table of sections for chapter 261 is
amended by adding after the item relating to section 26105 the
following new item:

``26106. Rail infrastructure bonds.''.
Calendar No. 235

109th CONGRESS

1st Session

S. 1516

[Report No. 109-143]

_______________________________________________________________________

A BILL

To reauthorize Amtrak, and for other purposes.

_______________________________________________________________________

October 18, 2005

Reported with an amendment