text:
Page:United States Statutes at Large Volume 95.djvu/671

 PUBLIC LAW 97-35—AUG. 13, 1981

95 STAT. 645

(2) transfer of Conrail commuter service responsibilities to one or more entities whose principal purpose is the provision of commuter service; and (3) an orderly return of Conrail freight service to the private sector. GOALS

SEC. 1134. It is the goal of this subtitle to provide Conrail the opportunity to become profitable through the achievement of the following objectives: (1) NoNAGREEMENT PERSONNEL.—(A) Employees who are not subject to collective bargaining agreements (hereafter in this section referred to as "nonagreement personnel") should forego wage increases and benefits in an amount proportionately equivalent to the amount foregone by agreement employees pursuant to paragraph (4) of this section, adjusted annually to reflect inflation. (B) After May 1, 1981, the number of nonagreement personnel should be reduced proportionately to any reduction in agreement employees (excluding reductions pursuant to the termination program under section 702 of the Regional Rail Reorganization Act of 1973). (2) SuppuERS.—To facilitate the orderly movement of goods in interstate commerce, materials and services should continue to be available to Conrail, under normal business practices, including the provision of credit and normal financing arrangements. (3) SHIPPERS.—Conrail should utilize the revenue opportunities available to it under the Staggers Rail Act of 1980 and subtitle IV of title 49, United States Code. (4) AGREEMENT EMPLOYEES.—(A) Conrail should enter into collective bargaining agreements with its employees which would reduce Conrail's costs in an amount equal to $200,000,000 a year, beginning April 1, 1981, adjusted annually to reflect inflation. (B) Agreements under this subparagraph may provide for reductions in wage increases and for changes in fringe benefits common to agreement employees, including vacations and holidays. (C) The cost reductions required under this subparagraph in the first year of the agreement may be deferred, but the aggregate cost reductions should be no less than an average of $200,000,000 per year for each of the first three one-year periods beginning April 1, 1981. (D) The amount of cost reductions provided under this paragraph shall be calculated by subtracting the cost of an agreement entered into under this paragraph from (i) the cost that would otherwise result from the application of the national agreement reached by railroad industry and its employees, or (ii) until such national agreement is reached, the cost which the United States Railway Association estimates would result from the application of such a national agreement.

42 USC 1103.

Post, p. Q62.

49 USC lOiol "ote. ^^„ ^^ seq.

DEPINrriONS

SEC. 1135. (a) As used in this subtitle, unless the context otherwise 45 USC 1104. requires, the term:

�


text:
Page:United States Statutes at Large Volume 95.djvu/672

 95 STAT. 646

PUBLIC LAW 97-35—AUG. 13, 1981

(1) "Amtrak" means the National Railroad Passenger Corporation created under title III of the Rail Passenger Service Act (45 U.S.C.541etseq.). (2) "Commission" means the Interstate Commerce Commission. (3) "Commuter authority" means any State, local, or regional authority, corporation, or other entity established for purposes of providing commuter service, and includes the Metropolitan Transportation Authority, the Connecticut Department of Transportation, the Maryland Department of Transportation, the Southeastern Pennsylvania Transportation Authority, the New Jersey Transit Corporation, the Massachusetts Bay Transportation Authority, the Port Authority Trans-Hudson Corporation, any successor agencies, and any entity created by one or more such agencies for the purpose of operating, or contracting for the operation of, commuter service. (4) "Commuter service" means short-haul rail passenger service operated in metropolitan and suburban areas, whether within or across the geographical boundaries of a State, usually characterized by reduced fare, multiple-ride, and commutation tickets, and by morning and evening peak period operations. (5) "Conrail" means the Consolidated Rail Corporation created under title III of the Regional Rail Reorganization Act of 1973 (45 U.S.C.741etseq.). (6) "Rail carrier" means a common carrier engaged in interstate or foreign commerce by rail subject to subtitle IV of title 49, 49 USC 10101 et United States Code. seq. (7) "Secretary" means the Secretary of Transportation. (8) "Special court" means the judicial panel established under section 209 of the Regional Rail Reorganization Act of 1973 (45 U.S.C.719). 45 USC 702. (b) Section 102 of the Regional Rail Reorganization Act of 1973 is amended— (1) by inserting after paragraph (2) the following new paragraphs: "(3) 'Commuter authority' means any State, local, or regional authority, corporation, or other entity established for purposes of providing commuter service, and includes the Metropolitan Transportation Authority, the Connecticut Department of Transportation, the Maryland Department of Transportation, the Southeastern Pennsylvania Transportation Authority, the New Jersey Transit Corporation, the Massachusetts Bay Transportation Authority, the Port Authority Trans-Hudson Corporation, any successor agencies, and any entity created by one or more such agencies for the purpose of operating, or contracting for the operation of, commuter service; "(4) 'Commuter service' means short-haul rail passenger service operated in metropolitan and suburban areas, whether within or across the geographical boundaries of a State, usually characterized by reduced fare, multiple-ride, and commutation tickets, and by morning and evening peak period operations;"; and (2) by redesignating paragraphs (3) through (19) as paragraphs (5) through (21), respectively.

�

license: Creative Commons - Attribution Share-Alike - https://creativecommons.org/licenses/by-sa/4.0/


text:
Page:United States Statutes at Large Volume 95.djvu/673

 PUBLIC LAW 97-35—AUG. 13, 1981

95 STAT. 647

PART 2-TRANSFER OF RAIL SERVICE RESPONSIBILITIES Subpart A—Transfer of Conrail Commuter Services END OF CONRAIL OBLIGATION

SEC. 1136. Notwithstanding any other provision of law or contract, 45 USC 744a. Conrail shall be relieved of any legal obligation to operate commuter service on January 1, 1983. ESTABLISHMENT OF AMTRAK COMMUTER

SEC. 1137. The Rail Passenger Service Act (45 U.S.C. 501 et seq.) is amended by inserting immediately after title IV thereof the following new title: "TITLE V—AMTRAK COMMUTER SERVICES "SEC. 501. ESTABLISHMENT OF AMTRAK COMMUTER

45 USC 581.

"(a) There shall be established, no later than November 1, 1981, a wholly-owned subsidiary of the Corporation to be known as the Amtrak Commuter Services Corporation (hereafter in this Act referred to as 'Amtrak Commuter'). "(b)(1) Amtrak Commuter shall not be an agency or instrumentality of the Federal Government. Amtrak Commuter shall be subject to the provisions of this Act and, to the extent not inconsistent with this Act, to the District of Columbia Business Corporation Act. DC. Code 29-90:i. "(2) Amtrak Commuter shall be a contract operator of commuter service on behalf of the commuter authorities that contract with Amtrak Commuter for the operation of commuter service under this title. Amtrak Commuter sh^l have no common carrier obligation to operate either passenger or freight service. "(c)(1) Amtrak Commuter shall not be subject to the jurisdiction of the Commission under chapter 105 of title 49, United States Code, but 49 USC losoi et it shall (treated as a separate rail carrier) be subject to the same laws *^^and regulations with respect to safety and with respect to the representation of its employees for purposes of collective bargaining, the handling of disputes between carriers and their employees, employee retirement, annuity, and unemployment systems, and other dealings with its employees as any rail carrier providing transportation subject to the jurisdiction of the Commission under such chapter 105. "(2) Amtrak Commuter shall not be subject to any State or other law relating to the transportation of passengers by railroad insofar as such law relates to rates, routes, or service, including any modification or discontinuance thereof. "(3) Amtrak Commuter shall be exempt from the payment of taxes to the same extent as the Corporation is exempt under section 306(n) of this Act.

Posi, p. 692.

"(4) The provisions of section 10 of the Clayton Act (15 U.S.C. 20) shall not apply to transactions between Amtrak Commuter and the Corporation. "(d) The Board of Directors of the Corporation shall be the incorporators of Amtrak Commuter and shall take whatever steps are necessary to establish Amtrak Commuter, including filing articles of incorporation.

-194 0—82

43:QL3

�


text:
Page:United States Statutes at Large Volume 95.djvu/674

 95 STAT. 648 45 USC 582.

PUBLIC LAW 97-35—AUG. 13, 1981 "SEC. 502. DIRECTORS AND OFFICERS.

"(a)(1) Amtrak Commuter shall have a Board of Directors as follows: "(A) The President of Amtrak Commuter, ex officio. "(B) One member of the Board of Directors of the Corporation who was selected as a representative of commuter authorities contracting with Amtrak Commuter for the operation of commuter service. "(C) Two members selected by the Board of Directors of the Corporation. "(D) Two members from commuter authorities as follows: "(i) During the period prior to the commencement of the operation of commuter service by Amtrak Commuter, such members shall be selected by commuter authorities for which the Consolidated Rail Corporation (hereafter in this title referred to as 'Conrail') operates commuter service 45 USC 701 note. under the Regional Rail Reorganization Act of 1973. "(ii) Beginning January 1, 1983, such members shall be selected by commuter authorities for which Amtrak Commuter operates commuter service pursuant to this title, except that if Amtrak Commuter operates commuter service for only one commuter authority, only one member shall be selected under this clause. "(2)(A) Except as otherwise provided in this section, members of the Board of Directors of Amtrak Commuter shall serve terms of two years, and any vacancy in the membership of the Board shall be filled in the same manner as in the case of the original selection. "(B) The Board shall elect one of its members annually to serve as Chairman. "(C) Each member of the Board shall receive compensation and 45 USC 543. reimbursement in accordeuice with section 303(a)(5) of this Act. "(b) The provisions of section 303(b) and (d) of this Act shall apply to Amtrak Commuter, except that references to the Corporation shall be read as though they referred to Amtrak Commuter. 45 USC 583.

D.e. Code 29-901. 45 USC 584.

"SEC. 503. GENERAL POWERS OF AMTRAK COMMUTER.

"(a)(1) Amtrak Commuter is authorized to own, manage, operate, or contract for the operation of commuter service; to conduct research and development related to its mission; and to acquire by construction, purchase, or gift, or to contract for the use of, physical facilities, equipment, and devices necessary to commuter service operations. "(2) Amtrak Commuter shall, to the extent consistent with this Act and with agreements with commuter authorities, directly operate and control all aspects of its commuter service. "(b) To carry out its functions and purposes, Amtrak Commuter shall have the usual powers conferred upon a stock corporation by the District of Columbia Business Corporation Act. "(c) Amtrak Commuter is authorized to issue common stock to the Corporation. "SEC. 504. COMMUTER SERVICE.

"(a) Amtrak Commuter is authorized to operate commuter service under an agreement with a commuter authority. Effective January 1, 1983, any commuter service operated by Amtrak Commuter under an agreement with a commuter authority shall be operated solely pursuant to the provisions of this section, "(b)(1) Amtrak Commuter shall operate commuter service which Conrail was obligated to provide on the effective date of this title

�


text:
Page:United States Statutes at Large Volume 95.djvu/675

 PUBLIC LAW 97-35—AUG. 13, 1981

95 STAT. 649

under section 303(b)(2) or 304(e) of the Regional Rail Reorganization Act of 1973, and may operate any other commuter service, if the ^5 USC 743, 744. commuter authority for which such service is to be operated offers to provide a commuter service operating payment which is designed to cover the difference between the revenue attributable to the operation of such service and the avoidable costs of operating such service (including the avoidable cost of any capital improvements necessary to operate such service) together with a reasonable return on the value. "(2) Any commuter authority making an offer under this subsection shall demonstrate that such commuter authority has acquired, leased, or otherwise obtained access to all rail properties necessary to provide such additional commuter service. "(3) Any additional manpower requirements shall be satisfied through existing seniority arrangements as agreed to in the implementing agreement negotiated pursuant to section 508 of this Act. "(c) Any offer to provide a commuter service operating payment under subsection (b) of this section shall be made in accordance with regulations issued by the Rail Services Planning Office pursuant to section 205(d)(5)(A) and (6) of the Regional Rail Reorganization Act of 1973. Such Office may revise and update such regulations as may be 45 USC 715. necessary to carry out the provisions of this section. "(d)(1) Amtrak Commuter may discontinue commuter service provided under this section upon 60 days' notice if— "(A) a commuter authority does not offer a commuter service operating payment in accordance with subsection (b) of this section; or ''(B) an applicable commuter service operating payment is not paid when it is due. "(2) The necessary contents of the notice required under this subsection shall be determined pursuant to regulations issued by the Rail Services Planning Office. "(e) Notwithstanding any other provision of law, compensation to the Corporation or Amtrak Commuter for right-of-way related costs for service over the Northesist Corridor and other properties owned by the Corporation shall be determined in accordance with the methodology determined by the Commission or agreed upon by the parties pursuant to section 1163 of the Northeast Rgiil Service Act of 1981.

"(f) Amtrak Commuter shall not be subject to any lease or agreement with a commuter authority under which financial support was being provided on January 2, 1974, for the continuation of rail passenger service, except that the Corporation and Conrail shall retain appropriate trackage rights (for passenger and freight operations respectively) over any rail properties owned or leased by such commuter agency. Compensation for such trackage rights shall be just and reasonable. "(g) Notwithstanding any other provision of this section, Amtrak Commuter is not obligated to provide commuter service if a commuter authority operates the service itself or contracts for the provision of such service by an operator other than Amtrak Commuter. In any such case, Amtrak Commuter shall, where appropriate, provide the commuter authority or such other operator with access to the rail properties needed to operate such service. "(h) Amtrak Commuter and the Corporation shall, to the maximum extent practicable, enter into agreements for purposes of avoiding duplication of employee functions and voluntarily establishing a consolidated work force.

Post, p. 685.

�


text:
Page:United States Statutes at Large Volume 95.djvu/676

 95 STAT. 650 45 USC 585.

45 USC 562.

Notification.

PUBLIC LAW 97-35—AUG. 13, 1981 "SEC. 505. NORTHEAST CORRIDOR COORDINATION.

"(a) The Board of Directors of Amtrak Commuter shall develop and recommend to the Corporation— "(1) policies which ensure equitable access to the Northeast Corridor, taking into account the need for equitable access by commuter and intercity service and the requirements of section 402(e) of this Act; and "(2) equitable policies for the Northeast Corridor with respect to dispatching, public information, maintenance of equipment and facilities, major capital facility investments, and harmonization of equipment acquisitions, fares, tariffs, and schedules. "(b) The Board of Directors of Amtrak Commuter may recommend to the President and Board of Directors of the Corporation such actions as are necessary to resolve differences of opinions regarding operations (among or between the Corporation, Amtrak Commuter, other railroads, commuter authorities, and other State, local, and regional agencies responsible for the provision of commuter rail, rapid rail, or rail freight service), with respect to all matters except those conferred on the Commission in section 402(a) of this Act. "SEC. 506. PROPERTY TRANSFER

"(a) Not later than April 1, 1982, each commuter authority shall notify Amtrak Commuter and Conrail whether it intends to operate its own commuter service or to contract with Amtrak Commuter for the operation of such service. "(b)(1) A commuter authority may initiate negotiations with Conrail for the transfer of commuter service operated by Conrail. "(2) Any transfer agreement between such a commuter authority and Conrail shall specify at least— "(A) the service responsibilities to be transferred; "(B) the rail properties to be conveyed; and "(C) a transfer date not later than January 1, 1983. "(3) Any transfer agreement under this subsection shall be entered into not later than September 1, 1982. "(c) Not later than September 1, 1982, Conrail and Amtrak Commuter shall agree on terms and conditions for the transfer to Amtrak Commuter of all of Conrail's commuter service in the Northeast Corridor, except for commuter service to be transferred directly to a commuter authority under an agreement entered into under subsection (b) of this section, and any rail properties used or useful for the operation of such commuter service. Such service and properties shall be transferred to Amtrak Commuter not later than January 1, 1983. "(d) If, by September 1, 1982, Conrail and Amtrak Commuter have not signed an agreement pursuant to subsection (c) of this section, the Secretary shall, within 30 days, determine which rail properties shall be transferred to Amtrak Commuter and the terms and conditions under which such rail properties and the Northeast Corridor commuter service of Conrail shall be transferred to Amtrak Commuter. Such transfer shall occur not later than January 1, 1983. "(e) Following the transfer of commuter service and properties to Amtrak Commuter, and upon the request of any commuter authority for which the service is provided by Amtrak Commuter, Amtrak Commuter and such commuter authority shall agree upon terms and conditions for the transfer to the commuter authority of such service and any rail properties used or useful in the operation of such commuter service. "(f) If, within 90 days after a request for the transfer of commuter services is made by a commuter authority under subsection (e),

�


text:
Page:United States Statutes at Large Volume 95.djvu/677

 PUBLIC LAW 97-35—AUG. 13, 1981

95 STAT. 651

Amtrak Commuter and such commuter authority do not sign an agreement pursuant to subsection (e) of this section, Amtrak Commuter or the commuter authority may appeal to the Secretary. Upon such appeal the Secretary shall determine which rail properties shall be transferred and the terms and conditions of such transfer. "(g) Consideration for inventory, including tools, spare parts, and fuel, transferred under this section shall be based on book value. The transfer of fixed facilities and rolling stock under this section shall be without consideration. "(h)(1) Notwithstanding any other provision of this Act, if an interest in rail properties is conveyed pursuant to this section, and if such conveyance is in accordance with the requirements of paragraph (2) of this subsection, the conveyance of such properties shall be deemed an assignment. Any such assignment shall relieve Conrail of liability for any breach which occurs after the date of such conveyance, except that Conrail shall remain liable for any breach, event of default, or violation of covenant which occurred (and any charges or obligations which accrued) prior to the date of such conveyance, regardless of whether the assignee thereof assumes such liabilities, charges, or obligations. If any such liabilities, charges, or obligations (accrued prior to the date of such conveyance) are paid by or on behalf of any person or entity other than Conrail, such person or entity shall have a claim to direct reimbursement from Conrail, together with interest on the amount so paid. "(2)(A) A conveyance referred to in paragraph (1) of this subsection may be effected only i— f • "(i) the assignee to whom such conveyance is made assumes all of the obligations under any applicable conditional sale agreement, equipment trust agreement, or lease with respect to such rail properties (including any obligations which accrued prior to the date on which such rail properties are conveyed); "(ii) such conveyance is made subject to such obligations; and "(iii) in the event of a conveyance of property to persons other than Class I or II railroads, such conveyance must be approved by any party who is an owner, lessor, equipment trustee, or conditional sale vendor to Conrail on any debt instrument imposing a lien or encumbrance on or otherwise affecting the title or interest in the rail properties to be conveyed, except that such approval may not be unreasonably withheld and may be withheld only for lack of credit worthiness. As used in this subsection, the term 'rail properties' means assets or "Rail rights owned, leased, or otherwise controlled by Conrail, other than properties." real property, which are used or useful in rail transportation service, tion service. "(B) Subject to the provisions of this subsection, the provisions of this Act shall not affect the title and interests of any lessor, equipment trust trustee, or conditional sale vendor under any conditional sale agreement, equipment trust agreement, or lease under section 1168 of title 11, United States Code. An assignee to whom such a conveyance is made shall assume all liability under such conditional sale agreement, equipment trust agreement, or lease. Such an assignment or conveyance to, and such an assumption of liability by such an assignee, shall not be deemed a breach, an event of default, or a violation of any covenant of any such conditional sale agreement, equipment trust agreement, or lease so assigned or conveyed, notwithstanding any provision of any such, agreement or lease. "(i) Conrail shall retain rail properties which are used chiefly in freight service and appropriate trackage rights for freight operations

�


text:
Page:United States Statutes at Large Volume 95.djvu/678

 95 STAT. 652

PUBLIC LAW 97-35—AUG. 13, 1981

45 USC 701 note.

over any rail properties which are transferred under this section. Any dispute regarding such rights may be submitted to the Commission for final and binding determination. "(j) Nothing contained in this title shall be construed to affect the rights, duties, or obligations of Conrail or its successor in title and any bi-state commuter authority under any agreement, lease, or contract subject to which property was conveyed to Conrail pursuant to the Regional Rail Reorganization Act of 1973.

45 USC 587.

"SEC. 507. REGULATORY APPROVAL.

.49 USC 10101 et seq.

"Transfers of properties and assumptions of service responsibilities pursuant to agreements negotiated under section 506, or pursuant to a determination made by the Secretary under section 506(d) or (f), shall not be subject to judicial review or to the provisions of subtitle IV of title 49, United States Code.". PROHIBITION OF CROSS-SUBSIDIZATION

SEC. 1138. Section 601 of the Rail Passenger Service Act (45 U.S.C. 601) is amended by adding at the end thereof the following new subsection: "(c) None of the funds appropriated under this section for the payment of operating and capital expenses of intercity rail passenger service shall be used for the operation of commuter service by Amtrak Commuter.". AUTHORIZATION OF APPROPRIATIONS

45 USC 744a note.

SEC. 1139. (a) Section 601 of the Rail Passenger Service Act (45 U.S.C. 601), as amended by section 1138 of this subtitle, is further amended by adding at the end thereof the following new subsection: "(d) There are authorized to be appropriated to the Secretary not to exceed $20,000,000 for the fiscal year ending September 30, 1982, to be allocated for commuter rail purposes to any commuter authority that was providing commuter service, operated by a railroad that entered reorganization after calendar year 1974, as of January 1, 1979.". (b) There are authorized to be appropriated to the Secretary in the fiscal year ending September 30, 1982, not to exceed $50,000,000, to facilitate the transfer of rail commuter services from Conrail to other operators. The Secretary shall by regulation prescribe standards for the obligation of such funds, and shall ensure that distribution of such funds is equitably made between Amtrak Commuter and the commuter authorities that operate commuter service. In providing for the distribution of such funds, the Secretary shall consider any particular adverse financial impact upon any commuter authority contracting with Amtrak Commuter that results from the termination of any lease or agreement between such commuter authority and Conrail. Amounts appropriated under this section are authorized to remain available until October 1, 1986. Subpart B—Additional Financing of Conrail ADDITIONAL FINANCING OF CONRAIL

SEC. 1140. (a) Title II of the Regional Rail Reorganization Act of 1973 (45 U.S.C. 711 et seq.) is amended by adding at the end thereof the following new section:

�


text:
Page:United States Statutes at Large Volume 95.djvu/679

 PUBLIC LAW 97-35—AUG. 13, 1981

95 STAT. 653

"ADDITIONAL PURCHASES OF SERIES A PREFERRED STOCK "SEC. 217. (a) FEDERAL INVESTMENT.—In addition to the authority

45 USC 727.

provided under section 216 of this Act, the Association shall purchase 45 USC 726. shares of Series A preferred stock and accounts receivable of the Corporation after the effective date of the Northeast Rail Service Act of 1981, in amounts not to exceed a total of $262,000,000. "GJ) ACCOUNTS RECEIVABLE.—(1) In any further purchase under this section or section 216 of this title the Association shall purchase accounts receivable of the Corporation attributable to the dispute over the right-of-way related costs described in section 1163 of the Northeast Rail Service Act of 1981 until the Commission resolves Post, p. 685. such dispute under such section, and accounts receivable of the Corporation attributable to delays in reimbursement from commuter authorities. "(2) From funds provided under this section or section 216 of this Act, the Association shall purchase Series A preferred stock of the Corporation, to the extent of losses on commuter service, in an amount not to exceed $15,000,000. "(c) STATES AND LOCALITIES.—The Corporation shall be exempt from liability for any State tax, except for any tax imposed by any political subdivision of a State, until the property of the Corporation is transferred by the Secretary under title IV of this Act. Post, p. 654. "(d) DEBENTURES.—The Association shall return debentures to the Corporation in an amount equal to the value of the properties conveyed by the Corporation to Amtrak Commuter and any commuter authority. "(e) RIGHTS RETAINED.—The Corporation shall retain the right to collect and shall collect any accounts receivable attributable to delays in reimbursement from commuter authorities that are purchased by the Association under this section. No agency or instrumentality of the United States shall be required to collect such accounts. "(f) AUTHORIZATION OF APPROPRIATIONS.—There are authorized to be appropriated to the Association for purposes of purchasing securities and accounts receivable of the Corporation under this section not to exceed $262,000,000, such sums to remain available until the Secretary transfers the Corporation under title IV of this Act. All sums received on account of the holding or disposition of any such securities or accounts receivable shall be deposited in the general fund of the Tresisury.". (b) The table of contents of the Regional Rail Reorganization Act of 1973 is amended by inserting immediately after the item relating to section 216 the following new item: "Sec. 217. Additional purchases of Series A preferred stock.". ORGANIZATION AND STRUCTURE OF CONRAIL

SEC. 1141. (a) Section 301(d)(2) of the Regional Rail Reorganization Act of 1973 (45 U.S.C. 741(d)(2)) is amended— (1) by striking out "(other than resignations pursuant to this subsection)" in the second sentence; and (2) by striking out the third, fourth, and fifth sentences. (b) Section 301(e)(1) of the Regional Rail Reorganization Act of 1973 (45 U.S.C. 741(e)(1)) is amended by striking out "In order to carry out the final system plan, the" and inserting in lieu thereof "The". (c) Section 301 of the Regional Rail Reorganization Act of 1973 (45 U.S.C. 741) is amended by striking out subsection (j) and inserting in lieu thereof the following new subsection:

�


text:
Page:United States Statutes at Large Volume 95.djvu/680

 95 STAT. 654

PUBLIC LAW 97-35—AUG. 13, 1981 "(j) SIGNAL SYSTEMS.—If, within two years after the effective date of this subsection, the Corporation applies for the permission of the Secretary to substitute manual block signal systems for automatic block signal systems on lines on which less than 20,000,000 gross tons of freight are carried annually, the Secretary shall approve or disapprove such application within 90 days of its submission,". Subpart C—Transfer of Freight Service Responsibilities TRANSFER OF FREIGHT SERVICE

SEC. 1142. The Regional Rail Reorganization Act of 1973 is amended by inserting immediately after title III the following new title: "TITLE IV—TRANSFER OF FREIGHT SERVICE " I N T E R E S T OF UNITED STATES

45 USC 761. Ante, p. 643.

Plan, submittal to Congress.

401. (a) PLAN FOR SALE OF COMMON STOCK.—(1) As soon as practicable after the effective date of the Northeast Rail Service Act of 1981, the Secretary shall engage the services of an investment banking firm or similar financial institution, which firm or institution shall arrange for the sale of the interest of the United States in the common stock of the Corporation under this section. "(2) At any time after the effective date of the Northeast Rail Service Act of 1981 the Secretary may submit to the Congress a plan for the sale, in block or by public offering, of the interest of the United States in the common stock of the Corporation. Such plan shall— "(A) ensure continued rail service; "(B) promote competitive bidding for such common stock; and "(C) maximize the return to the United States on its investment. "(3) Any plan submitted under paragraph (2) shall be deemed approved at the end of the 60-calendar-day period of continuous session of the Congress beginning on the date the plan was submitted, unless during such period both Houses of Congress pass a concurrent resolution the substance of which states that the Congress does not favor such plan. The Secretary shall implement any plan deemed approved under this paragraph. For purposes of this subsection— "(A) continuity of session of the Congress is broken only by an adjournment sine die; and "(B) the days on which either House is not in session because of adjournment of more than 3 days to a day certain are excluded in the computation of the 60-day period. "(b) CANCELLATION.—In making any sale under a plan submitted under subsection (a)(2), the Secretary may cancel some shares of the common stock of the Corporation and sell only the remaining shares. "SEC.

"(c) REPLACEMENT OF BOARD OF DIRECTORS.—When all common

stock of the Corporation held by the United States (or any agent or instrumentality thereof) is sold under a plan submitted under subsection (a)(2) or canceled under subsection (b), the Corporation shall elect a new Board of Directors. Only holders of shares of common stock may vote in such election, and each such share shall entitle its holder to one vote. "(d) RAILROAD PURCHASERS.—Any railroad which purchases common stock of the Corporation shall vote such stock in the same proportion as all other common stock of the Corporation is voted

�


text:
Page:United States Statutes at Large Volume 95.djvu/681

 PUBLIC LAW 97-35—AUG. 13, 1981

95 STAT. 655

unless the Commission determines that such railroad has purchased a controlling interest in the Corporation. "(e) STOCK OFFERING.—In making any sale under a plan submitted under subsection (a)(2), the Secretary shall first offer for sale, to any employees whose wages are reduced pursuant to any agreement entered into in accordance with the goal set forth in section 1134(4) of the Northeast Rail Service Act of 1981, stock in amounts equal to the Ante, p. 645. extent of such wage reduction. "DEBT AND PREFERRED STOCK

"SEC. 402. (a) LIMITATION.—Prior to any sale of the common stock of 45 USC 762. the Corporation under section 401, the interest of the United States in any debt or preferred stock of the Corporation held by the United States (or any agent or instrumentality thereof, including the Association) shall be limited to any interest which attaches to such debt or preferred stock in the event of bankruptcy, or substantied sale, or liquidation of the assets of the Corporation. The Secretary shall substitute for the evidence of such debt or preferred stock held by the United States (or any such agent or instrumentality) contingency notes conforming to the limited terms set forth in this subsection. "(b) SUBSEQUENT ISSUE.—If the interest of the United States is limited under subsection (a) the Corporation may issue new debt or preferred stock subsequent to the issuance of the debt or preferred stock described in subsection (a) which shall have higher priority in the event of bankruptcy, liquidation, or abandonment of the assets of the Corporation than the debt or preferred stock described in subsection (a). "PROFITABILITY DETERMINATIONS

403. (a) FIRST DETERMINATION.—(1) On June 1, 1983, the 45 USC 763. Board of Directors of the Association (hereafter in this title referred to as the 'USRA Board') shall make a determination whether the Corporation will be a profitable carrier. For the purpose of making such determination the USRA Board shall assume that the interest of the United States in any debt or preferred stock of the Corporation is limited as required under section 402 of this Act. "(2) As used in this subsection, 'profitable carrier' means a carrier "Profitable that generates sufficient revenues to meet its expenses, including earner. reasonable maintenance of necessary equipment and facilities, and will be able to borrow capital in the private market sufficient to meet all its capital needs. "(3)(A) If the USRA Board determines under paragraph (1) of this subsection that the Corporation will be a profitable carrier, the Secretary shall continue to attempt to sell the interest of the United States in the common stock of the Corporation under section 401 of this Act. "(B) If the USRA Board determines under paragraph (1) of this subsection that the Corporation will not be a profitable carrier, the Secretary shall initiate discussions and negotiations under section 405 of this Act for the transfer of the Corporation's freight rail properties and service responsibilities. "(b) SECOND DETERMINATION.J-(1) AS soon after November 1, 1983, as the necessary information is available, if the USRA Board has determined under subsection (a)(2) of this section that the Corporation will be a profitable carrier such Board shall make a determination as to whether the Corporation has been a profitable carrier "SEC.

�


text:
Page:United States Statutes at Large Volume 95.djvu/682

 95 STAT. 656

"Profitable earner.

PUBLIC LAW 97-35—AUG. 13, 1981 during the period beginning June 1, 1983, and ending October 31, 1983. "(2) As used in this subsection, 'profitable carrier* means a carrier that generates sufficient revenues to meet its expenses, including reasonable maintenance of necessary equipment and facilities, and would have been able to borrow capital in the private market sufficient to meet all its capital needs. For the purpose of making such determination the USRA Board shall assume that the interest of the United States in any debt or preferred stock of the Corporation has been limited as required under section 402 of this Act. "(3)(A) If the USRA Board determines under paragraph (1) of this subsection that the Corporation has been a profitable carrier, the Secretary shall continue to attempt to sell the interest of the United States in the common stock of the Corporation under section 401 of this Act. "(B) If the USRA Board determines under paragraph (1) of this subsection that the Corporation has not been a profitable carrier, the Secretary shall initiate discussions and negotiations under section 405 of this Act for the transfer of the Corporation's freight rail properties and service responsibilities. "FAILURE TO SELL AS ENTITY

45 USC 764.

"SEC. 404. (a) NOTIFICATION.—After June 1, 1984, the Secretary may notify the USRA Board that he has determined that he is unable to sell the interest of the United States in the common stock of the Corporation under section 401 of this Act. The USRA Board shall approve or disapprove such determination within 15 days after the date of such notification. "(b) USRA BOARD APPROVAL.—(1) If the USRA Board approves any determination of the Secretary of which it is notified under subsection (a)(2), the employees of the Corporation may, within 90 days after the date of the Secretary's determination was submitted to the USRA Board, submit to the Secretary a plan for the purchase of the common stock of the Corporation. "(2) The Secretary shall approve any plan submitted under paragraph (1) of this subsection if, taking into account any consideration to be received by the Corporation from any sale of debt instruments or newly issued common stock as part of the purchase transaction, the Corporation's earnings and earnings prospects are sufficient to meet its operating and capital requirements and permit it adequate access to the private capital markets for any additional capital it may require, so that the Corporation will not require further Federal financial assistance. The Secretary shall consider whether the plan ensures continued rail service and maximizes the return to the United States on its investment. "(3) If the Secretary does not approve the plan submitted under paragraph (1) of this subsection the Secretary shall initiate discussions and negotiations under section 405 of this Act for the transfer of the Corporation's freight rail properties and service responsibilities. "(c) USRA BOARD DISAPPROVAL.—(1) If the USRA Board disapproves any determination of the Secretary it is notified of under subsection (a), the Secretary shall continue to attempt to sell the interest of the United States in the common stock of the Corporation. "(2) The Secretary may notify the USRA Board that he has determined that he is unable to sell the interest of the United States in the common stock of the Corporation each 90 days thereafter, and

�


text:
Page:United States Statutes at Large Volume 95.djvu/683

 PUBLIC LAW 97-35—AUG. 13, 1981

95 STAT. 657

such determination shall be subject to the approval or disapproval under the provisions of this section. "TRANSFER PLAN

405. (a) INITIAL DISCUSSIONS.—If the Corporation is deter- 45 USC 765. mined not to be a profitable carrier by the USRA Board under subsection (a) or (b) of section 403, or if any plan for the purchase of the common stock of the Corporation under section 404(b) is not approved by the Secretary, or if at any time the Corporation requires funding from the Federal Government in excess of amounts authorized on or before the effective date of the Northeast Rail Service Act of 1981, the Secretary, in consultation with the Corporation, shall Ante, p. 643. initiate discussions and negotiations under section 5 of the Department of Transportation Act (49 U.S.C. 1654) with potential purchasers for the transfer of the Corporation's freight rail properties and service responsibilities, ^)ecifically including freight terminal operations in the Northeast Corridor. "(b) CONFERENCES.—As a part of the process set forth in subsection (a), the Secretary shall consult with railroads, representatives of employees of the Corporation and other railroads that may be affected, appropriate State and local government officials, shippers, consumer representatives, potential purchasers or operators other than railroads, and holders of purchase money equipment obligations. The Secretary shall hold conferences in developing plans for the sale of the Corporation and persons attending or represented at such conferences shall not be liable under the antitrust laws of the United States with respect to any discussion at such conference, or with respect to any agreements reached at such conferences, which are entered into with the approval of the Secretary. "SEC.

"(c)

FREIGHT TRANSFER AGREEMENTS.—Any agreement for

the

transfer of the Corporation's rail properties and service responsibilities (hereafter in this title referred to as 'freight transfer agreements') shall specify the rail properties and the service responsibilities to be transferred to the acquiring railroad and the price to be paid for rail properties transferred, and shall include such other terms as the Secretary, consulting with the Corporation, and the acquiring railroad consider appropriate. "(d) TERMINAL COMPANIES.—Not later than 1 year after the freight transfer agreements are implemented pursuant to section 408 of this title, the Secretary shall arrange for the formation by railroads of one or more terminal companies, to be operated as private corporations without Federal operating subsidy, to provide switching and terminal services in the Northeast Corridor without preference to the traffic of any railroad. Notwithstanding the provisions of the preceding sentence, the Secretary shall not be required to arrange for the formation of such terminal companies if he certifies in writing to the Congress that individual acquiring railroads are capable of assuring adequate freight terminal operations in the Northeast Corridor. "(e) COMPETITION.—Discussion and negotiations for freight transfer agreements shall be conducted, to the maximum extent practicable, to assure the preservation and enhancement of rail competition in the Northeast. In the development of freight transfer agreements, rail lines which have heavy rail freight activity shall receive priority designation for competitive service. In determining such priority, the Secretary shall consider shipper input and other relevant data. "(f) REPORT.—The Secretary shall submit to the Congress every six months a report regarding his activities under this section. If the Secretary finds that he is unable to sell the interest of the United States in the common stock of the Corporation under section 401 of

�


text:
Page:United States Statutes at Large Volume 95.djvu/684

 95 STAT. 658

PUBLIC LAW 97-35—AUG. 13, 1981 this Act, he shall concurrently notify the Congress and the USRA Board of such finding. "CONSOUDATION OF AGREEMENTS

45 USC 766.

"SEC. 406. (a) GOALS.—The Secretary shall ensure that freight transfer agreements entered into under the authority of this title provide for the continuation of the optimum level of self-sustaining rail service consistent with the needs of the service area, the longterm viability of acquiring railroads operating in the private sector, the preservation and enhancement of transportation competition, and the orderly disposition of equipment subject to railroad equipment obligations and of rail properties subject to contractual obligations based on improvements directly financed by States, localities, and shippers. "(b) TRANSFER DATE.—All freight transfer agreements entered into under this title shall include as a term a common transfer date. "(c) CONSOLIDATION.—The Secretary shall consolidate, for purposes of approval and review, all freight transfer agreements and shall ensure that no less than 75 percent of the total rail service operated by the Corporation on the date of transfer shall be maintained under the aggregate of such agreements. If the Secretary acts to grant preliminary or final approval to the freight transfer agreements, the Secretary shall include in his determination a listing of those rail properties not specified in such agreements for transfer, and the likely disposition of such properties. "PUBLIC COMMENT AND CONGRESSIONAL NOTIFICATION

Publication m Federal 45 USC^767

"SEC. 407. (a) ATTORNEY GENERAL.—If the Secretary grants preliminary approval to the freight transfer agreements, the Secretary shall publish a summary of the agreements in the Federal Register, requesting public comment. The period for comment shall be not less than 30 days. The Secretary shall, upon the expiration of such 30-day period, transmit the freight transfer agreements with any proposed modifications to the Attorney General. The Attorney General shall, within 10 days of receipt of such transmittal, advise the Secretary as to whether any freight transfer agreement or combination of agreements would create or maintain a situation inconsistent with the antitrust laws of the United States, and the Secretary shall give due consideration to any such advice that may be rendered. The transmittal to the Attorney General shall contain such information as the Attorney General may require in order to advise the Secretary as to whether the freight transfer agreements under consideration would create or maintain a situation inconsistent with such antitrust laws. "(b) COMMISSION.—The Secretary shall also transmit the freight transfer agreements with any proposed modifications to the Commission on the same date that the Secretary transmits them to the Attorney General. The Commission shall, within 10 days of receipt of such transmittal, advise the Secretary as to the effect of any freight transfer agreement or combination of agreements on the adequacy of public transportation and whether any freight transfer agreement or combination of agreements would have an adverse effect on other railroads or on competition among railroads. "(c) FINAL APPROVAL.—After consideration of comments received and any advice rendered by the Attorney General and the Commission, but no later than 90 days after the close of public comment under subsection (a), the Secretary may grant final approval to the

�


text:
Page:United States Statutes at Large Volume 95.djvu/685

 PUBLIC LAW 97-35—AUG. 13, 1981

95 STAT. 659

freight transfer agreements. With the consent of the acquiring railroad, the Secretary may modify a freight transfer agreement prior to granting such final approval. "(d) CONGRESSIONAL REVIEW.—If the Secretary grants final approval to the freight transfer agreements, the Secretary shall, within 10 days of such approval, transmit a copy of such agreements to each House of Congress, together with the Secretary's determination of final approval. The freight transfer agreements shall be deemed approved at the end of 60 calendar days of continuous session of the Congress, unless either the House of Representatives or the Senate or both passes a resolution during such period stating that they do not favor the freight treinsfer agreements. For purposes of this subsection— "(1) continuity of session of the Congress is broken only by an adiournment sine die; and (2) the days on which either House is not in session because of adjournment of more than 3 days to a day certain are excluded in the computation of the period described in this subsection. "PERFORMANCE UNDER AGREEMENTS; EFFECT

"SEC. 408. (a) TRANSFER.—If neither House of Congress has acted to disapprove the freight transfer agreements within 60 days, rail properties shall be conveyed and service responsibilities of the Corporation shall be transferred in accordance with the freight transfer agreements. Such conveyances and transfers shall not be subject to the provisions of subtitle IV of title 49, United States Code, or, with respect to the issuance and sale of securities to the United States or the Corporation for the purpose of financing such transfers, to the registration and prospectus delivery requirements of the Securities Act of 1933, or to the laws of any State with respect to the issuance and sale of securities. "0)) RESPONSIBIUTIES.—On the date the common stock or the rail properties and service responsibilities of the Corporation are transferred under this title— "(1) the acquiring railroad shall be deemed a railroad subject to subtitle IV of title 49, United States Code, and shall be deemed qualified thereunder to provide the service responsibilities assumed; and "(2) the Corporation shall discontinue and shall be relieved of any responsibility to operate rail service over any line of railroad conveyed under the freight transfer agreements and all other rail properties of the Corporation. "(c) REVIEW.—No transfer of the Corporation's stock or rail properties and freight service responsibilities under this title shall be subject to judicial review or to review by the (Commission. "(d) SALE DATE.—Unless the Corporation is found not profitable under section 403(a) or (b) of this title, the Secretary may not sell the rail properties and service responsibilities of the Corporation until June 1, 1984, except that if the Corporation requires further Federal financing before such date, such sale may be made before such date.

45 USC 768.

49 USC loioi ^^ *^915 USC 77a.

"ASSIGNMENT

"SEC. 409. LIABILITY.—(a) Notwithstanding any other provision of 45 USC 769. this title, if an interest in rail properties is conveyed pursuant to section 408 of this Act, and if such conveyance is in accordance with the requirements of subsection (b) of this section, the conveyance of

�


text:
Page:United States Statutes at Large Volume 95.djvu/686

 95 STAT. 660

"Rail. „ properties.

PUBLIC LAW 97-35—AUG. 13, 1981 such properties shall be deemed an assignment. Any such assignment shall relieve the Corporation of liability for any breach which occurs after the date of such conveyance, except that the Corporation shall remain liable for any breach, event of default, or violation of covenant which occurred (and any charges or obligations which accrued) prior to the date of such conveyance, regardless of whether the assignee thereof assumes such liabilities, charges, or obligations. If any such liabilities, charges, or obligations (accrued prior to the date of such conveyance) are paid by or on behalf of any person or entity other than the Corporation, such person or entity shall have a claim to direct reimbursement from the Corporation, together with interest on the amount so paid. "(b) CONVEYANCE.—(1) A conveyance referred to in subsection (a) of this section may be effected only if— "(A) the assignee to whom such conveyance is made assumes all of the obligations under any applicable conditional sale agreement, equipment trust agreement, or lease with respect to such rail properties (including any obligations which accrued prior to the date on which such rail properties are conveyed), "(B) such conveyance is made subject to such obligations, and "(C) in the event of a conveyance of property to persons other than Class I or II railroads, such conveyance must be approved by any party who is a owner, lessor, equipment trustee, or conditional sale vendor to the Corporation on any debt instrument imposing a lien or encumbrance on or otherwise affecting the title or interest in the rail properties to be conveyed, provided that such approval may not be unreasonably withheld and may be withheld only for lack of credit worthiness. As used in this paragraph, the term 'rail properties' means assets or rights Owned, leased, or otherwise controlled by the Corporation, other than real property, which are used or useful in rail transportation service. "(2) Subject to the provisions of this subsection, the provisions of this title shall not affect the title and interests of any lessor, equipment trust trustee, or conditional sale vendor under any conditional sale agreement, equipment trust agreement, or lease under section 1168 of title 11, United States Code. An assignee to whom such a conveyance is made shall assume all liability under such conditional sale agreement, equipment trust agreement, or lease. Such an assignment or conveyance to, and such an assumption of liability by such an assignee, shall not be deemed a breach, an event of default, or a violation of any covenant of any such conditional sale agreement, equipment trust agreement, or lease so assigned or conveyed, notwithstanding any provision of any such agreement or lease. "SUBSIDIARIES

45 USC 769a.

"SEC. 410. The Corporation, by January 1, 1982, shall identify those of its subsidiaries (other than the Conrail Equity Corporation) which did not operate at a profit during the preceding 12-month period, and shall, not later than 12 months after the date of enactment of this subtitle, seek to sell any subsidiary identified as not profitable unless the Association determines that the benefits of maintaining ownership of such subsidiary outweigh the financial loss resulting from such ownership.".

�


text:
Page:United States Statutes at Large Volume 95.djvu/687

 PUBLIC LAW 97-35—AUG. 13, 1981

95 STAT. 661

PART 3—PROTECTION FOR CONRAIL EMPLOYEES PROTECTION OF CONRAIL EMPLOYEES

SEC. 1143. (a) The Regional Rail Reorganization Act of 1973 (45 U.S.C. 701 et seq.) is amended by adding at the end thereof the following new title: "TITLE VII—PROTECTION OF EMPLOYEES "EMPLOYEE PROTECTION AGREEMENT

"SEC. 701. (a) GENERAL.—(1) The Secretary of Labor and the representatives of the various classes and crafts of employees of the Corporation shall, not later than 90 days after the effective date of this title, enter into an agreement providing protection for employees of the Corporation who were protected by the compensatory provisions of title V of this Act immediately prior to the effective date of the Northeast Rail Service Act of 1981 and who are, or may be, deprived of employment by actions taken under this Act and the Northeast Rail Service Act of 1981. An employee shall be considered deprived of employment if unable to obtain a position with an acquiring railroad, or to obtain a position with the Corporation, the National Railroad Passenger Corporation, or a commuter authority through the normal exercise of seniority or, in the case of a nonagreement employee, by written application. "(2) If the parties are unable to reach agreement under paragraph (1) within 90 days, the Secretary of Labor shall, within 30 days after the expiration of such 90-day period, prescribe the benefit schedule. "(b) USE OF FUNDS.—The agreement entered into under this section may provide for the use of funds made available under section 713 of this Act for the following purposes: "(1) Allowances to employees deprived of emplo3ment. "(2) Moving expenses for employees who must make a change in residence. "(3) Retraining expenses for employees who are seeking emplo5ment in new areas. "(4) Termination allowances for employees. "(5) Health and welfare insurance premiums. "(6) Such other purposes as may be agreed upon by the parties. "(c) APPLICABILITY.—Any employee of the Corporation who is eligible for benefits under an agreement entered into under this section and who is transferred to the National Railroad Passenger Corporation, to the Amtrak Commuter Services Corporation, or to a commuter authority pursuant to title V of the Rail Passenger Service Act shall remain eligible for such benefits. "(d) LIMITATION.—(1) The agreement of the parties and the benefit schedule prescribed by the Secretary under this section may not require the expenditure of funds in excess of the amount authorized to be appropriated under section 713 of this Act, or provide benefits for any individual employee in excess of $20,000. "(2) No individual shall become eligible for benefits under this section after the last day of the eighteen-month period beginning on the date of transfer under section 401 or 404 of this Act.

45 USC 797.

45 USC 771. Ante, p. 643.

Ante, p. 647.

Ante, pp. 654, 656.

�


text:
Page:United States Statutes at Large Volume 95.djvu/688

 95 STAT. 662

PUBLIC LAW 97-35—AUG. 13, 1981 "TERMINATION ALLOWANCE

45 USC 797a.

"SEC. 702. (a) GENERAL.—The Corporation may terminate the employment of certain employees, in accordance with this section, upon the payment of an allowance of $350 for each month of active service with the Corporation or with a rcdlroad in reorganization, but in no event may any such termination allowance exceed $25,000. "(b) EMPLOYMENT NEEDS.—Within 90 days after the effective date of this title, the Corporation shall determine, for each location, the number of employees that the Corporation intends to separate under subsection (a) of this section. "(c) NOTIFICATION AND SEPARATION PROCEDURE.-;-(1) Within 90 days after the effective date of this title, the (Corporation shall notify its employees of their rights and responsibilities under this section. (2) Within 90 days after the effective date of this title, the Corporation shall notify each train and engine service employee eligible to be separated under paragraph (3) that such employee may be entitled to receive a separation payment under this section if such employee files a written request to be separated. Such notice may be revised from time to time. "(3) If the number of employees who request to be separated pursuant to paragraph (2) of this subsection is greater, in engine service a t any location, than the number of excess firemen at the location, and in train service at the location than the number of excess second and third brakemen, as determined by the Corporation, the Corporation shall separate the employees described in paragraph (2) of this subsection in order of seniority beginning with the most senior employee, until the excess firemen and second and third brakemen positions at that location, as determined by the (Corporation, have been eliminated. "(d) DESIGNATED SEPARATIONS.—If the number of employees who

are separated pursuant to subsection (c)(3) is less at any location than the number of excess firemen in freight and commuter service and second and third brakemen in freight service at such location, as determined by the (Corporation, the Corporation may, after 210 days after the effective date of this title, designate for separation employees in engine service or train service respectively in inverse order of seniority, beginning with the most junior employee in active service at such location until the excess firemen in freight and commuter service and second and third brakemen in freight service, at that location have been eliminated. An employee designated under this subsection may choose (1) to furlough himself voluntarily, in which case the next most junior employee protected under the fireman manning or crew consist agreements or any other agreement or law, in the same craft or class at such location may be separated instead and receive the separation allowance, or (2) to exercise his seniority to another location, in which case the (Corporation may separate, under the provisions of this subsection, the next most junior protected employee in active service at the location to which seniority ultimately is exercised. "(e) EFFECT ON POSITIONS.—(1) The (Corporation shall refrain from filling one fireman position in freight service, or in commuter service where applicable, for each employee in engine service separated in accordgmce with this section. "(2) The (Corporation may refrain from filling one brakeman position in excess of one conductor and one brakeman on one crew in freight service for each employee in train service who is separated in accordance with this section.

�


text:
Page:United States Statutes at Large Volume 95.djvu/689

 PUBLIC LAW 97-35—AUG. 13, 1981

95 STAT. 663

"(3) Positions permitted to be not filled under this subsection shall be not filled in different types of freight service actually operated at or from the location in a sequence to be agreed upon between the Corporation and the general chairman representative of classes or crafts of employees having jurisdiction over the positions to be not filled. If no such agreement is reached, the Corporation may designate the position to be not filled. "(4) Notwithstanding paragraphs (1) and (2) of this subsection, the Corporation shall retain all rights it has under any provision of law or agreement to refrain from filling any position of employment. "(0 PROCEDURES.—The Corporation and representatives of the various classes and crafts of employees to be separated may agree on procedures to implement this section, but the absence of such agreement shall not interfere with implementation of the separations authorized by this section. "(g) COMMUTER EMPLOYEES.—The provisions of this section shall apply to the separation of firemen in commuter service, except that with respect to such employees the Corporation is required to make the separations authorized by this section. "PREFERENTIAL HIRING

"SEC. 703. (a) GENERAL.—Any employee who is deprived of employ- 45 USC 797b. ment shall have the first right of hire by any other railroad for a vacancy for which he is qualified in a class or craft (or in the case of a non-agreement employee, for a non-agreement vacancy) in which such employee was employed by the Corporation or a predecessor carrier for not less than one year, except where such a vacancy is covered by (1) an affirmative action plan, or a hiring plan designed to eliminate discrimination, that is required by Federal or State statute, regulation, or Executive order, or by the order of a Federal court or agency, or (2) a permissible voluntary affirmative action plan. For purposes of this section, a railroad shall not be considered to be hiring new employees when it recalls any of its own furloughed employees. "(b) STATUS.—The first right of hire afforded to employees under this section shall be coequal to the first right of hire afforded under section 8 of the Milwaukee Railroad Restructuring Act (45 U.S.C. 907) and section 105 of the Rock Island Transition and Employee Assistance Act (45 U.S.C. 1004). 94 Stat. 400. "CENTRAL REGISTER OF RAILROAD EMPLOYMENT

"SEC. 704. (a) REGISTER.—(1) The Railroad Retirement Board (here- 45 USC 797c. after in this section referred to as the 'Board') shall prepare and maintain a register of persons separated from railroad employment after at least one year of completed service with a railroad who have declared their current availability for employment in the railroad industry. The register shall be subdivided by class and craft of prior employment and shall be updated periodically to reflect current availability. "(2) Each entry in the register shall include, or provide access to, basic information concerning the individual's experience and qualifications. "(3) The Board shall place at the top of the register those former railroad employees entitled to priority under applicable provisions of law, including this Act, "(b) CORPORATION EMPLOYEES,—As soon as is practicable after the effective date of this title, the Corporation shall provide to the Board

9-194 0—82

44: QL3

�


text:
Page:United States Statutes at Large Volume 95.djvu/690

 95 STAT. 664

PUBLIC LAW 97-35—AUG. 13, 1981 the names of its former employees who elect to appear on the register and who have not been offered employment with acquiring railroads. "(c) VACANCY NOTICES.—Each railroad shall timely file with the Board a notice of vacancy with respect to any position for which the railroad intends to accept applications from persons other than current employees of that carrier. "(d) PLACEMENT.—The Board shall, through distribution of copies of the central register (or portions thereof) to railroads and representatives of classes or crafts of employees and through publication of employment information derived from vacancy notices filed with the Board, promote the placement of former railroad employees possessing requisite skills and experience in appropriate positions with other railroads. "(e) EMPLOYMENT APPLICATIONS.—In addition to its responsibilities under subsections (a) through (d) of this section, the Board shall facilitate the filing of emplojntnent applications with respect to current vacancies in the industry by former railroad employees entitled to priority under applicable provisions of law, including this Act. "(f) EXPIRATION.—The provisions of this section shall cease to be effective on the expiration of the 3-year period beginning on the effective date of this title. "(g) RESOLUTION OF DISPUTES.—Any dispute, grievance, or claim arising under this section or section 703 of this Act shall be subject to resolution in accordance with the following procedures: "(1) Any employee with such a dispute, grievance, or claim may petition the Board to review and investigate the dispute, grievance, or claim. "(2) The Board shall investigate the dispute, grievance, or claim, and if it concludes that the employee s rights under this section or section 703 of this Act may have been violated, the dispute, grievance, or claim shall be subject to resolution in accordance with the procedures set forth in section 3 of the Railway Labor Act (45 U.S.C. 153). "(3) In the case of any violation of this section or section 703 of this Act, the Adjustment Board (or any division or delegate thereof) or any other board of adjustment created under section 3 of the Railway Labor Act shall, where appropriate, award such relief, including back pay, as may be necessary to enforce the employee's rights. "ELECTION AND TREATMENT OF BENEFITS

45 USC 797d.

Ante, p. 643. 45 USC 23it. 45 USC 367.

"SEC. 705. (a) ELECTION.—(1) Any employee who accepts any benefits under an agreement entered into under section 701 of this Act or a termination allowance under section 702 of this Act, shall, except as provided in paragraph (2) of this subsection, be deemed to waive any employee protection benefits otherwise available under any other provision of law or any contract or agreement in effect on the effective date of this title, except benefits under sections 703 and 704 of this Act, and shall be deemed to waive any cause of action for any alleged loss of benefits resulting from the provisions of or the amendments made by the Northeast Rail Service Act of 1981. "(2) Nothing in paragraph (1) of this subsection shall affect the right of any employee described in such paragraph to benefits under the Railroad Retirement Act of 1974 or the Railroad Unemployment Insurance Act.

�


text:
Page:United States Statutes at Large Volume 95.djvu/691

 PUBLIC LAW 97-35—AUG. 13, 1981

95 STAT. 665

"(b) TREATMENT OP BENEFITS.—Any benefits received by an employee under an agreement entered into pursuant to section 701 of this Act and any termination allowance received under section 702 of this Act shall be considered compensation solely for purposes of— "(1) the Railroad Retirement Act of 1974 (45 U.S.C. 231 et seq.); and "(2) determining the compensation received by such employee in any base year under the Railroad Unemployment Insurance Act (45 U.S.C. 351 et seq.). "ASSIGNMENT OF WORK

"SEC. 706. (a) GENERAL.—With respect to any craft or class of 45 USC 797e. employees not covered by a collective bargaining agreement that provides for a process substantially equivalent to that provided for in this section, the Corporation shall have the right to assign, allocate, reassign, reallocate, and consolidate work formerly performed on the rail properties acquired pursuant to the provisions of this Act from a railroad in reorganization to any location, facility, or position on its system if it does not remove such work from coverage of a collective bargaining agreement and does not infringe upon the existing classification of work rights of any craft or class of employees at the location or facility to which such work is assigned, allocated, reassigned, reallocated, or consolidated. Prior to the exercise of authority under this subsection, the Corporation shall negotiate an agreement with the representatives of the employees involved permitting such employees the right to follow their work. "(b) EXPIRATION.—The authority granted by this section shall apply only for as long as benefits are provided under this title with funds made available under section 713 of this Act. "CONTRACTING OUT

"SEC. 707. All work in connection with the operation or services 45 USC 797f. provided by the Corporation on the rail lines, properties, equipment, or facilities acquired pursuant to the provisions of this Act and the maintenance, repair, rehabilitation, or modernization of such lines, properties, equipment, or facilities which has been performed by practice or agreement in accordance with provisions of the existing contracts in effect with the representatives of the employees of the classes or crafts involved shall continue to be performed by the Corporation's employees, including employees on furlough. Should the Corporation lack a sufficient number of employees, including employees on furlough, and be unable to hire additional employees, to perform the work required, it shall be permitted to subcontract that part of such work which cannot be performed by its employees, including those on furlough, except where agreement by the representatives of the employees of the classes or crafts involved is required by applicable collective-bargaining agreements. The term 'unable to hire additional employees' as used in this section contemplates establishment and maintenance by the Corporation of an apprenticeship, training, or recruitment program to provide an adequate number of skilled employees to perform the work. "NEW COLLECTIVE-BARGAINING AGREEMENTS

"SEC. 708. (a) AGREEMENT.—Not later than 60 days after the 45 USC 797g. effective date of any conveyance pursuant to the provisions of this

�


text:
Page:United States Statutes at Large Volume 95.djvu/692

 95 STAT. 666

PUBLIC LAW 97-35—AUG. 13, 1981

Act, the representatives of the various classes or crafts of employees of a railroad in reorganization involved in a conveyance and representatives of the Corporation shall commence negotiation of a new single collective bargaining agreement for each class and craft of employees covering the rate of pay, rules, and working conditions of employees who are the employees of the Corporation. Such collective bargaining agreement shall include appropriate provisions concerning rates of pay, rules, and working conditions, but shall not, before April 1, 1984, include any provisions for job stabilization which may exceed or conflict with those established herein. Negotiations with respect to such single collective bargaining agreement, and any successor thereto, shall be conducted systemwide. "(b) PROCEDURE.—(1) Any procedure for finally determining the components of the first single collective bargaining agreement for any class or craft, agreed upon before the effective date of this title, shall be completed no later than 45 days after such effective date. Such agreed upon procedure shall be deemed to satisfy the require45 USC 157,158. ments of sections 7 and 8 of the Railway Labor Act. The National Mediation Board shall appoint any person as provided for by such agreements. "(2) Nothing in this section shall be construed to require the parties to enter into a new single collective bargaining agreement if the agreement between the parties in effect immediately prior to the 94 Stat. 1956. effective date of this title complied with section 504(d) of this Act as in 45 USC 774. effect immediately prior to such date. "(c) RAILWAY LABOR ACT NOTICES.—Employees of the Corporation 45 USC 156. may not serve notices under section 6 of the Railway Labor Act for the purpose of negotiating job stabilization or other protective agreements with the Corporation until after April 1, 1984. "EMPLOYEE AND PERSONAL INJURY CLAIMS

45use797h.

45 USC 743. 45 USC 721.

"SEC. 709. (a) LiABiliTY FOR EMPLOYEE CLAIMS.—In all cases of claims, prior to April 1, 1976, by employees, arising under the collective bargaining agreements of the railroads in reorganization in the Region, and subject to section 3 of the Railway Labor Act (45 U.S.C. 153), the Corporation, the National Railroad Passenger Corporation, or an acquiring carrier, as the case may be, shall assume responsibility for the processing of Einy such claims, and payment of those which are sustained or settled on or subsequent to the date of conveyance, under section 303(b)(l) of this Act, and shall be entitled to direct reimbursement from the Association pursuant to section 211(h) of this Act, to the extent that such claims are determined by the Association to be the obligation of a railroad in reorganization in the Region. Any liability of an estate of a railroad in reorganization to its employees which is assumed, processed, and paid pursuant to this subsection by the Corporation, the National Railroad Passenger Corporation, or an acquiring carrier shall remain the preconveyance obligation of the estate of such railroad for purposes of section 211^X1) of this Act. The Corporation, the National Railroad Passenger Corporation, an acquiring carrier, or the Association, as the case may be, shall be entitled to a direct claim as a current expense of administration, in accordance with the provisions of section 211(h) of this Act (other than paragraph (4)(A) thereof), for reimbursement (including costs and expenses of processing such claims) from the estate of the railroad in reorganization on whose behalf such obligations are discharged or paid. In those cases in which claims for employees were susteined or settled prior to such date of conveyance.

�


text:
Page:United States Statutes at Large Volume 95.djvu/693

 PUBLIC LAW 97-35—AUG. 13, 1981

95 STAT. 667

it shall be the obligation of the employees to seek satisfaction against the estate of the railroads in reorganization which were their former employers. "(b) ASSUMPTION OF PERSONAL INJURY CLAIMS.—All cases or claims by employees or their personal representatives for personal injuries or death against a railroad in reorganization in the Region arising prior to the date of conveyance of rail properties, pursuant to section 303 of this Act, shall be assumed by the Corporation or an acquiring 45 USC 743. railroad, as the case may be. The Corporation or the acquiring railroad shall process and pay any such claims that are sustained or settled, and shall be entitled to direct reimbursement from the Association pursuant to section 211(h) of this Act, to the extent that 45 USC 721. such claims are determined by the Association or its successor authority to be the obligation of such railroad. Any liability of an estate of a railroad in reorganization which is assumed, processed, and paid, pursuant to this subsection, by the Corporation or an acquiring railroad shall remain the preconveyance obligation of the estate of such railroad for purposes of section 211(h)(l) of this Act. The Corporation, an acquiring railroad, or the Association, as the case may be, shall be entitled to a direct claim as a current expense of administration, in accordance with the provisions of section 211(h) of this Act (other than paragraph (4)(A) thereof), for reimbursement (including costs and expenses of processing such claims) from the estate of the railroad in reorganization on whose behalf such obligations were discharged or paid. "LIMITATIONS ON LIABILITY

710. (a) FEDERAL GOVERNMENT.—The liability of the United 45 USC 797i. States under an agreement entered into or benefit schedule prescribed under section 701 of this Act or for payment of a termination allowance under section 702 of this Act shall be limited to amounts appropriated under section 713 of this Act. "(b) THE CORPORATION.—(1) The Corporation, Amtrak Commuter, and commuter authorities shall incur no liability under an agreement entered into or benefit schedule prescribed under section 701 of this Act or for the payment of a termination allowance under section 702 of this Act. "(2) Notwithstanding any other provision of law, until April 1, 1984, the Corporation shall have no liability for employee protection in the event of a sale of any asset to a purchaser, and such purchaser shall assume the liability for the application of employee protection conditions imposed by the Commission for all employees adversely affected by such sale. "SEC.

"PREEMPTION

"SEC. 711. NO State may adopt or continue in force any law, rule, 45 USC 797j. regulation, order, or standard requiring the Corporation, the National Railroad Passenger Corporation, or the Amtrak Commuter Services Corporation to employ any specified number of persons to perform any particular task, function, or operation, or requiring the Corporation to pay protective benefits to employees, and no State in the Region may adopt or continue in force any such law, rule, regulation, order, or standard with respect to any railroad in the Region.

�


text:
Page:United States Statutes at Large Volume 95.djvu/694

 95 STAT. 668

PUBLIC LAW 97-35—AUG. 13, 1981 "FACTFINDING PANEL

45 USC 797k.

45 USC 151.

"SEC. 712. (a) PURPOSE.—The Corporation shall enter into collective bargaining agreements with its employees which provide for the establishment of one or more advisory factfinding panels, chaired by a neutral expert in industrial relations, for purposes of recommending changes in operating practices and procedures which result in greater productivity to the maximum extent practicable. "(b) NATIONAL MEDIATION BOARD.—The National Mediation Board shall appoint public members to any panel established by an agreement entered into under this subparagraph, and shall perform such functions contained in the agreement as are consistent with the duties of such Board under the Railway Labor Act. "(c) OTHER FUNCTIONS.—The factfinding panel may, before making

its report to the parties, provide mediation, conciliation, and other assistance to the parties. "AUTHORIZATION OF APPROPRIATIONS

45 USC 797/.

94 Stat. 1945. 94 Stat. 1946. 45 USC 726.

"SEC. 713. There are authorized to be appropriated to carry out the provisions of this title not to exceed $385,000,000. Of the amounts authorized to be appropriated under this section, not more than $115,000,000 shall be available solely for termination allowances under section 702 of this Act. Any amounts not expended for termination allowances under section 702 shall be available for purposes of section 701 of this Act. In addition to funds authorized under this section, any funds appropriated under section 5090)X1) of the Railroad Revitalization and Regulatory Reform Act of 1976 (45 U.S.C. 829(b)(1)) for use under section 216(b)(3) of the Regional Rail Reorganization Act of 1973 shall be available to the Association, and ^jjg Association shall make available to the Corporation as a grant such funds to accomplish the purposes of this title. Amounts appropriated under this section are authorized to remain available until expended. "ARBITRATION

45 USC 797m. Post, p. 669. Post, p. 676. 45 USC 153.

"SEC. 714. Any dispute or controversy with respect to the interpretation, application, or enforcement of the provisions of this title, except sections 703,704,708, and 713, or section 1144 of the Northeast Rail Service Act of 1981, and except those matters subject to judicial review under section 1152 of the Northeast Rail Service Act of 1981, which have not been resolved within 90 days, may be submitted by either party to an Adjustment Board for a final and binding decision thereon as provided in section 3 of the Railway Labor Act, in which event the burden of proof on all issues so presented shall be on the Corporation, or the Association, where appropriate.". (b) The table of contents of the Regional Rail Reorganization Act of 1973 is amended by adding at the end thereof the following new items: "TITLE VII-PROTECTION OF EMPLOYEES "Sec. 701. Employee protection agreement. "Sec. 702. Termination allowance. "Sec. 703. Preferential hiring. "Sec. 704. Central register of railroad employment. "Sec. 705. Election and treatment of benefits. "Sec. 706. Assignment of work. "Sec. 707. Contracting out. "Sec. 708. New collective bargaining agreements. "Sec. 709. Employee and personal injury claims. "Sec. 710. Limitations on liability.

�


text:
Page:United States Statutes at Large Volume 95.djvu/695

 PUBLIC LAW 97-35—AUG. 13, 1981

95 STAT. 669

"Sec. 711. Preemption. "Sec. 712. Factfinding panel. "Sec. 713. Authorization of appropriations. "Sec. 714. Arbitration.". REPEALS

SEC. 1144. (a)(1) Title V of the Regional Rail Reorganization Act of 1973 (45 U.S.C. 771 et seq.), and the items in the table of contents of such Act relating to such title V, are repealed. (2) Notwithstanding the repeal made by paragraph (1) of this subsection— (A) benefits accrued as of the effective date of thii^ subsection as a result of events that occurred wholly prior to October 1, 1981, shall be disbursed except as provided in paragraph (3); and (B) any dispute or controversy regarding such benefits shall be determined under the terms of the law in effect on the date the claim arose. (3) Benefits shall not be disbursed under paragraph (2)(A) unless the employee has filed a claim for such benefits within 90 days after the date of repeal; except that, with respect to a claim which is the subject of or is based upon any arbitration decision issued after the date of repeal, such 90-day period shall not commence until such arbitration decision is issued to the employee and the employee's representative; and no benefits shall be disbursed unless appropriations for such purposes are or become available. (4) The provisions of this subsection shall take effect on the first day of the first month beginning after the date of enactment of this subtitle. 0)) Section 11 of the Milwaukee Railroad Restructuring Act (45 U.S.C. 910) and section 107 of the Rock Island Transition and Employee Assistance Act (45 U.S.C. 1006) (relating to maintenance of certain employee lists) are repealed.

45 USC 771 "ote.

Effective date.

94 Stat. 402.

PART 4—TERMS OF LABOR ASSUMPTION Subpart A—Passenger Employees TRANSFER OF PASSENGER SERVICE EMPLOYEES

SEC. 1145. Title V of the Rail Passenger Service Act, as added by ^"te, p. 647. this subtitle, is amended by adding at the end thereof the following new sections: "SEC. 508. TRANSFER OF EMPLOYEES.

"(a) Not later than May 1, 1982, Conrail, commuter authorities that intend to operate commuter service, and representatives of the various crafts or classes of employees of Conrail to be transferred to the commuter authorities shall enter into negotiations for an implementing agreement in accordance with subsection (c) of this section. "(b) Not later than May 1, 1982, Conrail, Amtrak Commuter, and representatives of the various crafts or classes of employees of Conrail to be transferred to Amtrak Commuter shall enter into negotiations for an implementing agreement in accordance with subsection (c) of this section. "(c) Such negotiations shall— "(1) determine the number of employees to be transferred to Amtrak Commuter or a commuter authority; "(2) identify the specific employees of Conrail to whom Amtrak Commuter or a commuter authority offers employment;

45 USC 588.

�


text:
Page:United States Statutes at Large Volume 95.djvu/696

 95 STAT. 670

45 USC 153.

Ante, p. 650.

PUBLIC LAW 97-35—AUG. 13, 1981 "(3) determine the procedure by which such employees may elect to accept employment with Amtrak Commuter or a commuter authority; "(4) determine the procedure for acceptance of such employees into employment with Amtrak Commuter or a commuter authority; "(5) determine the procedure for determining the seniority of such employees in their respective crafts or classes in Amtrak Commuter or with a commuter authority which shall, to the extent possible, preserve their prior seniority rights; "(6) ensure that all such employees are transferred to Amtrak Commuter or a commuter authority no later than January 1, 1983; and "(7) ensure the retention of prior seniority on Conrail of employees transferring to Amtrak Commuter or a commuter authority and determine the extent and manner in which such employees shall be permitted to exercise such seniority in order to (A) provide employees transferred to Amtrak Commuter or a commuter authority at least one opportunity every six-month period to exercise previous freight seniority rights, (B) maximize employment opportunities for employees on furlough, (C) maintain the ability to recall experienced employees, (D) ensure that under no circumstances are seniority rights exercised in any manner which results in any disruption of service or a position being filled which would otherwise not be filled under the terms of any crew consist, fireman manning, or other similar agreement, and (E) ensure that Conrail has the right to furlough one employee in the same craft or class for each employee who returns from Amtrak Commuter or a commuter authority by exercising seniority. "(d)(1) If agreements with respect to the matters being negotiated pursuant to this section are not reached by August 1, 1982, the parties to the negotiations shall, within an additional 5 days, select a neutral referee. If the parties are unable to agree upon the selection of such a referee, the National Mediation Board shall immediately appoint a referee. "(2) The referee shall commence hearings on the matters being negotiated pursuant to this section not later than 5 days after the date he is selected or appointed, and shall render a decision within 20 days after the date of commencement of such hearings. All parties may participate in the hearings, but the referee shall have the only vote. "(3) The referee shall resolve and decide all matters in dispute with respect to the negotiation of the implementing agreement or agreements. The referee's decision shall be final and binding to the same extent as an award of an adjustment board under section 3 of the Railway Labor Act, and shall constitute the implementing agreement or agreements between the parties. The National Mediation Board shall fix and pay the compensation of such referees. "(e) If Amtrak Commuter transfers commuter service and properties to a commuter authority under section 506 of this title, Amtrak Commuter, the commuter authority, and representatives of the various crafts or classes of employees to be transferred to the commuter authority shall enter into an implementing agreement in accordance with subsection (c) of this section. If no agreement is reached by the date service and properties are transferred, the dispute shall be resolved by a neutral referee in accordance with subsection (d) of this section.

�


text:
Page:United States Statutes at Large Volume 95.djvu/697

 PUBLIC LAW 97-35—AUG. 13, 1981

95 STAT. 671

"(£) Any employee of Conrail who is not offered employment with Amtrak Commuter or a commuter authority under agreements entered into under this section shall be provided employee protection under section 701 of the Regional Rail Reorganization Act of 1973 to Ante, p. 661. the same extent as if such employee had remained in the employ of Conrail. "SEC. 509. FACTFINDING PANEL.

45 USC 589.

"(a) Amtrak Commuter or a commuter authority and the representatives of the various classes and crafts of employees to be transferred to Amtrak Commuter or such commuter authority shall, by May 1, 1982, establish a factfinding panel, chaired by a neutral expert in industrial relations, for purposes of recommending changes in operating practices and procedures which would result in greater productivity to the maximum extent practicable. "(b) The National Mediation Board shall appoint public members to the panel established under subsection (a) of this section. "(c) The factfinding panel shall, by July 1, 1982, submit a report to the parties setting forth its recommendations for changes in operating practices and procedures. (d) The factfinding panel may provide mediation, conciliation, and other assistance to the parties. "SEC. 510. COLLECTIVE BARGAINING AGREEMENT FOR AMTRAK COMMUT- 45 USC 590. ER OR COMMUTER AUTHORITIES.

"(a)(1) Not later than September 1, 1982, the commuter authorities that intend to operate commuter service and the representatives of the various classes or crafts of employees to be transferred to such commuter authorities under agreements entered into under section 508 of this Act shall enter into new collective bargaining agreements with respect to rates of pay, rules, and working conditions. "(2) Not later than September 1, 1982, Amtrak Commuter and the representatives of the various classes or crafts of employees to be transferred to Amtrak Commuter under agreements entered into under section 508 of this Act shall enter into new collective bargaining agreements with respect to rates of pay, rules, and working conditions. "(b) If the parties have not reached an agreement by the date specified in subsection (a) of this section, any party to the dispute or the Governor of any State through which the service that is the subject of the dispute is operated may, within 15 days after such date, request the President to establish an emergency board pursuant to subsection (c) of this section. "(c) Within 15 days after the request under subsection (b) of this section, of a party or a Governor, the President shall create an emergency board. Such board shall conduct a public hearing on the dispute at which each party shall appear and provide testimony, and shall, within 30 days after the date of its creation, report on the dispute. (d) If no settlement in the dispute is reached within 10 days after the report of the emergency board, such board shall require the parties to the dispute to submit, within 5 days, final offers to the board for settlement of the dispute. "(e) Within 15 days after the submission of final offers, the emergency board shall submit a report to the President setting forth its selection of the most reasonable offer. "(f) If the emergency board selects a final offer submitted by a carrier and the employees of such carrier engage in any work

�


text:
Page:United States Statutes at Large Volume 95.djvu/698

 95 STAT. 672

45 USC 367.

PUBLIC LAW 97-35—AUG. 13, 1981 stoppage arising out of the dispute, such employees shall not be eligible during the period of such work stoppage for benefits under the Railroad Unemployment Insurance Act. "(g) If the emergency board selects a final offer submitted by the employees and the carrier refuses to accept such offer, the carrier shall not participate in any benefits of any agreement between carriers which is designed to provide benefits to such carriers during a work stoppage. "(h) The provisions set forth in this section shall be the exclusive means for resolving any dispute relating to entering into an initisd collective bargaining agreement between Amtrak Commuter or a commuter authority, as the case may be, and representatives of the various classes or creifts of employees to be transferred to Amtrak Commuter or such commuter authority.". Subpart B—Freight Employees LABOR TRANSFER

Ante, p. 654.

SEC. 1146. (a) Title IV of the Regional Rail Reorganization Act of 1973, as added by this subtitle, is amended by adding at the end thereof the following new sections: "LABOR TRANSFER AGREEMENTS

45 USC 769b.

"SEC. 411. (a) IMPLEMENTING AGREEMENT.—Within 30 days after the date any freight transfer agreement is entered into under this title, any Class I or Class II railroad purchasing rail properties under such agreement, including any entity that attains such status on the transfer date, and the representatives of the various crafts or classes of employees of the Corporation to be transferred to such railroad or other entity shall commence implementing agreement negotiations. Such negotiations shall— "(1) determine the number of employees to be transferred to such railroad; "(2) identify the specific employees of the Corporation to whom such railroad or other entity offers employment; "(3) determine the procedure by which such employees may elect to accept emplo3n3ient with such railroad or other entity; "(4) determine the procedure for acceptance of such employees into employment with such railroad or other entity; "(5) determine the procedure for determining the seniority of such employees in their respective crafts or classes in the system of such railroad or other entity, which shall, to the extent possible, preserve their prior freight service seniority rights; and "(6) ensure that all such employees are transferred to such railroad or other entity no later than 120 days after the date the transfer agreement is entered into under this title. "(b) DECISION OF REFEREE.—(1) If no agreement with respect to the matters being negotiated pursuant to subsection (a) is reached within 30 days after the date such negotiations are commenced, the parties to the negotiations shall, within an additional 10 days, select a neutral referee. If the parties are unable to agree upon the selection of such a referee, the National Mediation Boeird shall promptly appoint a referee. (2) The referee shall commence hearings on the matters being negotiated pursuant to subsection (a) within 10 days after the date he is selected or appointed, and shall render a decision within 30 days

�


text:
Page:United States Statutes at Large Volume 95.djvu/699

 PUBLIC LAW 97-35—AUG. 13, 1981

95 STAT. 673

after the date of commencement of such hearings. All parties may participate in the hearings, but the referee shall have the only vote. "(3) The referee shall resolve and decide all matters in dispute with respect to the negotiation of the implementing agreement or agreements. The referee's decision shall be final and binding to the same extent as an award of an adjustment board under section 3 of the Railway Labor Act, and shall constitute the implementing agreement 45 USC 153. or agreements between the parties. The National Mediation Board shall fix and pay the compensation of such referees. "LABOR CONDITIONS

412. (a) NEW YORK DOCK.—Employees of the Corporation who 45 USC 769c. are transferred under this title shall be entitled to the labor protection benefits set forth in New York Dock Railway-C!ontrol-Brooklyn Eastern Terminal, 360 ICC 60 (1979), except as provided in subsection (b) of this section. "(b) ALTERNATIVES.—(1) If the entity to which such employees are transferred was a railroad under the provisions of subtitle IV of title 49, United States Code, prior to the date of transfer, and the parties 49 USC loioi are unable to reach a collective bargaining agreement under proce- ^* *^^" dures referred to in subsection (a), the collective bargaining agreement in effect between such railroad and its employees shall govern. "(2) If the entity to which such employees are transferred was not a railroad under the provisions of subtitle IV of title 49, United States Code, prior to the date of transfer, and the parties are unable to reach a collective bargaining agreement under procedures referred to in subsection (a), the collective bargaining agreement in effect between the Corporation and its employees prior to the date of transfer shall govern. "(c) CLASS III EXEMPTION.—The provisions of this section shall not apply to any Class III carrier.". (b) The table of contents of the Regional Rail Reorganization Act of 1973 is amended by striking out the items relating to title IV and inserting in lieu thereof the following new items: "SEC.

"TITLE IV—TRANSFER OF FREIGHT SERVICE "Sec. "Sec. "Sec. "Sec. "Sec. "Sec. "Sec. "Sec. "Sec. "Sec. "Sec. "Sec.

401. 402. 403. 404. 405. 406. 407. 408. 409. 410. 411. 412.

Interest of United States. Debt and preferred stock. Profitability determinations. Failure to sell as entity. Transfer plan. Consolidation of agreements. Public comment and congressional notification. Performance under agreements; effect. Assignment. Subsidiaries. Labor transfer agreements. Labor conditions.".

PART 5—UNITED STATES RAILWAY ASSOCIATION ORGANIZATION OF USRA

SEC. 1147. Section 201 of the Regional Rail Reorganization Act of 1973 (45 U.S.C. 711) is amended by striking out subsections (d) through (i), by redesignating subsections 0') and (k) as subsections (g) and (h), respectively, and by inserting after subsection (c) the following new subsections:

�