§24101. Findings, purpose, and goals

(a) Findings.-(1) Public convenience and necessity require that Amtrak, to the extent its budget allows, provide modern, cost-efficient, and energy-efficient intercity rail passenger transportation between crowded urban areas and in other areas of the United States.

(2) Rail passenger transportation can help alleviate overcrowding of airways and airports and on highways.

(3) A traveler in the United States should have the greatest possible choice of transportation most convenient to the needs of the traveler.

(4) A greater degree of cooperation is necessary among Amtrak, other rail carriers, State, regional, and local governments, the private sector, labor organizations, and suppliers of services and equipment to Amtrak to achieve a performance level sufficient to justify expending public money.

(5) Modern and efficient commuter rail passenger transportation is important to the viability and well-being of major urban areas and to the energy conservation and self-sufficiency goals of the United States.

(6) As a rail passenger transportation entity, Amtrak should be available to operate commuter rail passenger transportation through its subsidiary, Amtrak Commuter, under contract with commuter authorities that do not provide the transportation themselves as part of the governmental function of the State.

(7) The Northeast Corridor is a valuable resource of the United States used by intercity and commuter rail passenger transportation and freight transportation.

(8) Greater coordination between intercity and commuter rail passenger transportation is required.

(b) Purpose.-By using innovative operating and marketing concepts, Amtrak shall provide intercity and commuter rail passenger transportation that completely develops the potential of modern rail transportation to meet the intercity and commuter passenger transportation needs of the United States.

(c) Goals.-Amtrak shall-

(1) use its best business judgment in acting to minimize United States Government subsidies, including-

(A) increasing fares;

(B) increasing revenue from the transportation of mail and express;

(C) reducing losses on food service;

(D) improving its contracts with operating rail carriers;

(E) reducing management costs; and

(F) increasing employee productivity;

(2) minimize Government subsidies by encouraging State, regional, and local governments and the private sector, separately or in combination, to share the cost of providing rail passenger transportation, including the cost of operating facilities;

(3) carry out strategies to achieve immediately maximum productivity and efficiency consistent with safe and efficient transportation;

(4) operate Amtrak trains, to the maximum extent feasible, to all station stops within 15 minutes of the time established in public timetables;

(5) develop transportation on rail corridors subsidized by States and private parties;

(6) implement schedules based on a systemwide average speed of at least 60 miles an hour that can be achieved with a degree of reliability and passenger comfort;

(7) encourage rail carriers to assist in improving intercity rail passenger transportation;

(8) improve generally the performance of Amtrak through comprehensive and systematic operational programs and employee incentives;

(9) carry out policies that ensure equitable access to the Northeast Corridor by intercity and commuter rail passenger transportation;

(10) coordinate the uses of the Northeast Corridor, particularly intercity and commuter rail passenger transportation; and

(11) maximize the use of its resources, including the most cost-effective use of employees, facilities, and real property.

(d) Minimizing Government Subsidies.-To carry out subsection (c)(11) of this section, Amtrak is encouraged to make agreements with the private sector and undertake initiatives that are consistent with good business judgment and designed to maximize its revenues and minimize Government subsidies. Amtrak shall prepare a financial plan to operate within the funding levels authorized by section 24104 of this chapter, including budgetary goals for fiscal years 1998 through 2002. Commencing no later than the fiscal year following the fifth anniversary of the Amtrak Reform and Accountability Act of 1997, Amtrak shall operate without Federal operating grant funds appropriated for its benefit.

( Pub. L. 103–272, §1(e), July 5, 1994, 108 Stat. 899 ; Pub. L. 105–134, title I, §105(b), title II, §201, Dec. 2, 1997, 111 Stat. 2573 , 2578.)

Historical and Revision Notes

Revised Section	Source (U.S. Code)	Source (Statutes at Large)
24101(a)	45:501.	Oct. 30, 1970, Pub. L. 91–518, §101, 84 Stat. 1328 ; Sept. 29, 1979, Pub. L. 96–73, §102, 93 Stat. 537 ; restated Aug. 13, 1981, Pub. L. 97–35, §1171, 95 Stat. 687 .
24101(b)	45:541 (2d sentence words after 1st comma).	Oct. 30, 1970, Pub. L. 91–518, §301 (2d sentence words after 1st comma), 84 Stat. 1330 ; Aug. 13, 1981, Pub. L. 97–35, §1188(a), 95 Stat. 699 .
24101(c)	45:501a (less (14) (last sentence)).	Oct. 30, 1970, Pub. L. 91–518, 84 Stat. 1327 , §102; added Sept. 29, 1979, Pub. L. 96–73, §103(a), 93 Stat. 537 ; Aug. 13, 1981, Pub. L. 97–35, §1172, 95 Stat. 688 .
24101(d)	45:501a(14) (last sentence).

In this part, the word "Amtrak" is substituted for "National Railroad Passenger Corporation", and the words "Amtrak Commuter" are substituted for "Amtrak Commuter Services Corporation", to reflect the more current and commonly used names of the entities. The words "rail transportation" are substituted for "rail service" and "rail services", the word "transportation" is substituted for "service" where appropriate, and the word "authority" is substituted for "agency", as being more appropriate and for consistency in the revised title and with other titles of the United States Code. The words "rail carrier" are substituted for "railroad" because of the definitions of "rail carrier" and "railroad" in 49:10102.

In subsection (a), the words "The Congress finds that the" and "The Congress further finds that" are omitted as surplus.

In subsection (a)(3), the words "greatest possible choice of" are substituted for "to the maximum extent feasible . . . the freedom to choose the mode of" to eliminate unnecessary words.

In subsection (c), before clause (1), the words "Amtrak shall" are substituted for "The Congress hereby establishes the following goals for Amtrak" to eliminate unnecessary words. The text of 45:501a(3) and (4) is omitted as executed. The text of 45:501a(9) is omitted as obsolete because there no longer are any technical assistance panels. In clause (2), the words "stations and other" are omitted as surplus. In clause (4), the words "for such operation" are omitted as surplus. In clause (10), the word "various" is omitted as surplus. In clause (11), the words "real property" are substituted for "real estate" for consistency in the revised title and with other titles of the Code.

References in Text

The Amtrak Reform and Accountability Act of 1997, referred to in subsec. (d), is Pub. L. 105–134, Dec. 2, 1997, 111 Stat. 2570 . For complete classification of this Act to the Code, see Short Title of 1997 Amendment note set out under section 20101 of this title and Tables.

Amendments

1997-Subsec. (c)(2). Pub. L. 105–134, §105(b), inserted ", separately or in combination," after "and the private sector".

Subsec. (d). Pub. L. 105–134, §201, inserted at end "Amtrak shall prepare a financial plan to operate within the funding levels authorized by section 24104 of this chapter, including budgetary goals for fiscal years 1998 through 2002. Commencing no later than the fiscal year following the fifth anniversary of the Amtrak Reform and Accountability Act of 1997, Amtrak shall operate without Federal operating grant funds appropriated for its benefit."

Amtrak Findings

Pub. L. 105–134, §2, Dec. 2, 1997, 111 Stat. 2571 , provided that: "The Congress finds that-

"(1) intercity rail passenger service is an essential component of a national intermodal passenger transportation system;

"(2) Amtrak is facing a financial crisis, with growing and substantial debt obligations severely limiting its ability to cover operating costs and jeopardizing its long-term viability;

"(3) immediate action is required to improve Amtrak's financial condition if Amtrak is to survive;

"(4) all of Amtrak's stakeholders, including labor, management, and the Federal Government, must participate in efforts to reduce Amtrak's costs and increase its revenues;

"(5) additional flexibility is needed to allow Amtrak to operate in a businesslike manner in order to manage costs and maximize revenues;

"(6) Amtrak should ensure that new management flexibility produces cost savings without compromising safety;

"(7) Amtrak's management should be held accountable to ensure that all investment by the Federal Government and State governments is used effectively to improve the quality of service and the long-term financial health of Amtrak;

"(8) Amtrak and its employees should proceed quickly with proposals to modify collective bargaining agreements to make more efficient use of manpower and to realize cost savings which are necessary to reduce Federal financial assistance;

"(9) Amtrak and intercity bus service providers should work cooperatively and develop coordinated intermodal relationships promoting seamless transportation services which enhance travel options and increase operating efficiencies;

"(10) Amtrak's Strategic Business Plan calls for the establishment of a dedicated source of capital funding for Amtrak in order to ensure that Amtrak will be able to fulfill the goals of maintaining-

"(A) a national passenger rail system; and

"(B) that system without Federal operating assistance; and

"(11) Federal financial assistance to cover operating losses incurred by Amtrak should be eliminated by the year 2002."

Fiscal Accountability

Pub. L. 105–134, title II, §§202–205, Dec. 2, 1997, 111 Stat. 2578–2582 , provided that:

"SEC. 202. INDEPENDENT ASSESSMENT.

"(a) Initiation.-Not later than 15 days after the date of enactment of this Act [Dec. 2, 1997], the Secretary of Transportation shall contract with an entity independent of Amtrak and not in any contractual relationship with Amtrak, and independent of the Department of Transportation, to conduct a complete independent assessment of the financial requirements of Amtrak through fiscal year 2002. The entity shall have demonstrated knowledge about railroad industry accounting requirements, including the uniqueness of the industry and of Surface Transportation Board accounting requirements. The Department of Transportation, Office of Inspector General, shall approve the entity's statement of work and the award and shall oversee the contract. In carrying out its responsibilities under the preceding sentence, the Inspector General's Office shall perform such overview and validation or verification of data as may be necessary to assure that the assessment conducted under this subsection meets the requirements of this section.

"(b) Assessment Criteria.-The Secretary and Amtrak shall provide to the independent entity estimates of the financial requirements of Amtrak for the period described in subsection (a), using as a base the fiscal year 1997 appropriation levels established by the Congress. The independent assessment shall be based on an objective analysis of Amtrak's funding needs.

"(c) Certain Factors To Be Taken into Account.-The independent assessment shall take into account all relevant factors, including Amtrak's-

"(1) cost allocation process and procedures;

"(2) expenses related to intercity rail passenger service, commuter service, and any other service Amtrak provides;

"(3) Strategic Business Plan, including Amtrak's projected expenses, capital needs, ridership, and revenue forecasts; and

"(4) assets and liabilities.

For purposes of paragraph (3), in the capital needs part of its Strategic Business Plan Amtrak shall distinguish between that portion of the capital required for the Northeast Corridor and that required outside the Northeast Corridor, and shall include rolling stock requirements, including capital leases, 'state of good repair' requirements, and infrastructure improvements.

"(d) Bidding Practices.-

"(1) Study.-The independent assessment also shall determine whether, and to what extent, Amtrak has performed each year during the period from 1992 through 1996 services under contract at amounts less than the cost to Amtrak of performing such services with respect to any activity other than the provision of intercity rail passenger transportation, or mail or express transportation. For purposes of this clause, the cost to Amtrak of performing services shall be determined using generally accepted accounting principles for contracting. If identified, such contracts shall be detailed in the report of the independent assessment, as well as the methodology for preparation of bids to reflect Amtrak's actual cost of performance.

"(2) Reform.-If the independent assessment performed under this subparagraph reveals that Amtrak has performed services under contract for an amount less than the cost to Amtrak of performing such services, with respect to any activity other than the provision of intercity rail passenger transportation, or mail or express transportation, then Amtrak shall revise its methodology for preparation of bids to reflect its cost of performance.

"(e) Deadline.-The independent assessment shall be completed not later than 180 days after the contract is awarded, and shall be submitted to the Council established under section 203, the Secretary of Transportation, the Committee on Commerce, Science, and Transportation of the United States Senate, and the Committee on Transportation and Infrastructure of the United States House of Representatives.

"SEC. 203. AMTRAK REFORM COUNCIL.

"(a) Establishment.-There is established an independent commission to be known as the Amtrak Reform Council.

"(b) Membership.-

"(1) In general.-The Council shall consist of 11 members, as follows:

"(A) The Secretary of Transportation.

"(B) Two individuals appointed by the President, of which-

"(i) one shall be a representative of a rail labor organization; and

"(ii) one shall be a representative of rail management.

"(C) Three individuals appointed by the Majority Leader of the United States Senate.

"(D) One individual appointed by the Minority Leader of the United States Senate.

"(E) Three individuals appointed by the Speaker of the United States House of Representatives.

"(F) One individual appointed by the Minority Leader of the United States House of Representatives.

"(2) Appointment criteria.-

"(A) Time for initial appointments.-Appointments under paragraph (1) shall be made within 30 days after the date of enactment of this Act [Dec. 2, 1997].

"(B) Expertise.-Individuals appointed under subparagraphs (C) through (F) of paragraph (1)-

"(i) may not be employees of the United States;

"(ii) may not be board members or employees of Amtrak;

"(iii) may not be representatives of rail labor organizations or rail management; and

"(iv) shall have technical qualifications, professional standing, and demonstrated expertise in the field of corporate management, finance, rail or other transportation operations, labor, economics, or the law, or other areas of expertise relevant to the Council.

"(3) Term.-Members shall serve for terms of 5 years. If a vacancy occurs other than by the expiration of a term, the individual appointed to fill the vacancy shall be appointed in the same manner as, and shall serve only for the unexpired portion of the term for which, that individual's predecessor was appointed.

"(4) Chairman.-The Council shall elect a chairman from among its membership within 15 days after the earlier of-

"(A) the date on which all members of the Council have been appointed under paragraph (2)(A); or

"(B) 45 days after the date of enactment of this Act.

"(5) Majority required for action.-A majority of the members of the Council present and voting is required for the Council to take action. No person shall be elected chairman of the Council who receives fewer than 5 votes.

"(c) Administrative Support.-The Secretary of Transportation shall provide such administrative support to the Council as it needs in order to carry out its duties under this section.

"(d) Travel Expenses.-Each member of the Council shall serve without pay, but shall receive travel expenses, including per diem in lieu of subsistence, in accordance with section[s] 5702 and 5703 of title 5, United States Code.

"(e) Meetings.-Each meeting of the Council, other than a meeting at which proprietary information is to be discussed, shall be open to the public.

"(f) Access to Information.-Amtrak shall make available to the Council all information the Council requires to carry out its duties under this section. The Council shall establish appropriate procedures to ensure against the public disclosure of any information obtained under this subsection that is a trade secret or commercial or financial information that is privileged or confidential.

"(g) Duties.-

"(1) Evaluation and recommendation.-The Council shall-

"(A) evaluate Amtrak's performance; and

"(B) make recommendations to Amtrak for achieving further cost containment and productivity improvements, and financial reforms.

"(2) Specific considerations.-In making its evaluation and recommendations under paragraph (1), the Council shall consider all relevant performance factors, including-

"(A) Amtrak's operation as a national passenger rail system which provides access to all regions of the country and ties together existing and emerging rail passenger corridors;

"(B) appropriate methods for adoption of uniform cost and accounting procedures throughout the Amtrak system, based on generally accepted accounting principles; and

"(C) management efficiencies and revenue enhancements, including savings achieved through labor and contracting negotiations.

"(3) Monitor work-rule savings.-If, after January 1, 1997, Amtrak enters into an agreement involving work-rules intended to achieve savings with an organization representing Amtrak employees, then Amtrak shall report quarterly to the Council-

"(A) the savings realized as a result of the agreement; and

"(B) how the savings are allocated.

"(h) Annual Report.-Each year before the fifth anniversary of the date of enactment of this Act [Dec. 2, 1997], the Council shall submit to the Congress a report that includes an assessment of-

"(1) Amtrak's progress on the resolution of productivity issues; or

"(2) the status of those productivity issues,

and makes recommendations for improvements and for any changes in law it believes to be necessary or appropriate.

"(i) Authorization of Appropriations.-There are authorized to be appropriated to the Council such sums as may be necessary to enable the Council to carry out its duties.

"SEC. 204. SUNSET TRIGGER.

"(a) In General.-If at any time more than 2 years after the date of enactment of this Act [Dec. 2, 1997] and implementation of the financial plan referred to in section 24104(d) [24101(d)] of title 49, United States Code, as amended by section 201 of this Act, the Amtrak Reform Council finds that-

"(1) Amtrak's business performance will prevent it from meeting the financial goals set forth in section 24104(d) [24101(d)] of title 49, United States Code, as amended by section 201 of this Act; or

"(2) Amtrak will require operating grant funds after the fifth anniversary of the date of enactment of this Act,

then the Council shall immediately notify the President, the Committee on Commerce, Science, and Transportation of the United States Senate, and the Committee on Transportation and Infrastructure of the United States House of Representatives.

"(b) Factors Considered.-In making a finding under subsection (a), the Council shall take into account-

"(1) Amtrak's performance;

"(2) the findings of the independent assessment conducted under section 202;

"(3) the level of Federal funds made available for carrying out the financial plan referred to in section 24104(d) [24101(d)] of title 49, United States Code, as amended by section 201 of this Act; and

"(4) Acts of God, national emergencies, and other events beyond the reasonable control of Amtrak.

"(c) Action Plan.-Within 90 days after the Council makes a finding under subsection (a)-

"(1) it shall develop and submit to the Congress an action plan for a restructured and rationalized national intercity rail passenger system; and

"(2) Amtrak shall develop and submit to the Congress an action plan for the complete liquidation of Amtrak, after having the plan reviewed by the Inspector General of the Department of Transportation and the General Accounting Office for accuracy and reasonableness.

"SEC. 205. SENATE PROCEDURE FOR CONSIDERATION OF RESTRUCTURING AND LIQUIDATION PLANS.

"(a) In General.-If, within 90 days (not counting any day on which either House is not in session) after a restructuring plan is submitted to the House of Representatives and the Senate by the Amtrak Reform Council under section 204 of this Act, an implementing Act with respect to a restructuring plan (without regard to whether it is the plan submitted) has not been passed by the Congress, then a liquidation disapproval resolution shall be introduced in the Senate by the Majority Leader of the Senate, for himself and the Minority Leader of the Senate, or by Members of the Senate designated by the Majority Leader and Minority Leader of the Senate. The liquidation disapproval resolution shall be held at the desk at the request of the Presiding Officer.

"(b) Consideration in the Senate.-

"(1) Referral and reporting.-A liquidation disapproval resolution introduced in the Senate shall be placed directly and immediately on the Calendar.

"(2) Implementing resolution from house.-When the Senate receives from the House of Representatives a liquidation disapproval resolution, the resolution shall not be referred to committee and shall be placed on the Calendar.

"(3) Consideration of single liquidation disapproval resolution.-After the Senate has proceeded to the consideration of a liquidation disapproval resolution under this subsection, then no other liquidation disapproval resolution originating in that same House shall be subject to the procedures set forth in this section.

"(4) Amendments.-No amendment to the resolution is in order except an amendment that is relevant to liquidation of Amtrak. Consideration of the resolution for amendment shall not exceed one hour excluding time for recorded votes and quorum calls. No amendment shall be subject to further amendment, except for perfecting amendments.

"(5) Motion nondebatable.-A motion to proceed to consideration of a liquidation disapproval resolution under this subsection shall not be debatable. It shall not be in order to move to reconsider the vote by which the motion to proceed was adopted or rejected, although subsequent motions to proceed may be made under this paragraph.

"(6) Limit on consideration.-

"(A) After no more than 20 hours of consideration of a liquidation disapproval resolution, the Senate shall proceed, without intervening action or debate (except as permitted under paragraph (9)), to vote on the final disposition thereof to the exclusion of all amendments not then pending and to the exclusion of all motions, except a motion to reconsider or table.

"(B) The time for debate on the liquidation disapproval resolution shall be equally divided between the Majority Leader and the Minority Leader or their designees.

"(7) Debate of amendments.-Debate on any amendment to a liquidation disapproval resolution shall be limited to one hour, equally divided and controlled by the Senator proposing the amendment and the majority manager, unless the majority manager is in favor of the amendment, in which case the minority manager shall be in control of the time in opposition.

"(8) No motion to recommit.-A motion to recommit a liquidation disapproval resolution shall not be in order.

"(9) Disposition of senate resolution.-If the Senate has read for the third time a liquidation disapproval resolution that originated in the Senate, then it shall be in order at any time thereafter to move to proceed to the consideration of a liquidation disapproval resolution for the same special message received from the House of Representatives and placed on the Calendar pursuant to paragraph (2), strike all after the enacting clause, substitute the text of the Senate liquidation disapproval resolution, agree to the Senate amendment, and vote on final disposition of the House liquidation disapproval resolution, all without any intervening action or debate.

"(10) Consideration of house message.-Consideration in the Senate of all motions, amendments, or appeals necessary to dispose of a message from the House of Representatives on a liquidation disapproval resolution shall be limited to not more than 4 hours. Debate on each motion or amendment shall be limited to 30 minutes. Debate on any appeal or point of order that is submitted in connection with the disposition of the House message shall be limited to 20 minutes. Any time for debate shall be equally divided and controlled by the proponent and the majority manager, unless the majority manager is a proponent of the motion, amendment, appeal, or point of order, in which case the minority manager shall be in control of the time in opposition.

"(c) Consideration in Conference.-

"(1) Convening of conference.-In the case of disagreement between the two Houses of Congress with respect to a liquidation disapproval resolution passed by both Houses, conferees should be promptly appointed and a conference promptly convened, if necessary.

"(2) Senate consideration.-Consideration in the Senate of the conference report and any amendments in disagreement on a liquidation disapproval resolution shall be limited to not more than 4 hours equally divided and controlled by the Majority Leader and the Minority Leader or their designees. A motion to recommit the conference report is not in order.

"(d) Definitions.-For purposes of this section-

"(1) Liquidation disapproval resolution.-The term 'liquidation disapproval resolution' means only a resolution of either House of Congress which is introduced as provided in subsection (a) with respect to the liquidation of Amtrak.

"(2) Restructuring plan.-The term 'restructuring plan' means a plan to provide for a restructured and rationalized national intercity rail passenger transportation system.

"(e) Rules of Senate.-This section is enacted by the Congress-

"(1) as an exercise of the rulemaking power of the Senate, and as such they are deemed a part of the rules of the Senate, but applicable only with respect to the procedure to be followed in the Senate in the case of a liquidation disapproval resolution; and they supersede other rules only to the extent that they are inconsistent therewith; and

"(2) with full recognition of the constitutional right of the Senate to change the rules (so far as relating to the procedure of the Senate) at any time, in the same manner and to the same extent as in the case of any other rule of the Senate."

Interstate Rail Compacts

Pub. L. 105–134, title IV, §410, Dec. 2, 1997, 111 Stat. 2587 , provided that:

"(a) Consent to Compacts.-Congress grants consent to States with an interest in a specific form, route, or corridor of intercity passenger rail service (including high speed rail service) to enter into interstate compacts to promote the provision of the service, including-

"(1) retaining an existing service or commencing a new service;

"(2) assembling rights-of-way; and

"(3) performing capital improvements, including-

"(A) the construction and rehabilitation of maintenance facilities;

"(B) the purchase of locomotives; and

"(C) operational improvements, including communications, signals, and other systems.

"(b) Financing.-An interstate compact established by States under subsection (a) may provide that, in order to carry out the compact, the States may-

"(1) accept contributions from a unit of State or local government or a person;

"(2) use any Federal or State funds made available for intercity passenger rail service (except funds made available for Amtrak);

"(3) on such terms and conditions as the States consider advisable-

"(A) borrow money on a short-term basis and issue notes for the borrowing; and

"(B) issue bonds; and

"(4) obtain financing by other means permitted under Federal or State law."