[Congressional Bills 104th Congress]
[From the U.S. Government Publishing Office]
[S. 920 Introduced in Senate (IS)]







104th CONGRESS
  1st Session
                                 S. 920

  To assist in the preservation of rail infrastructure, and for other 
                               purposes.


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

                June 14 (legislative day, June 5), 1995

 Mr. Pressler introduced the following bill; which was read twice and 
   referred to the Committee on Commerce, Science, and Transportation

_______________________________________________________________________

                                 A BILL


 
  To assist in the preservation of rail infrastructure, and for other 
                               purposes.
    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Rail Infrastructure Preservation Act 
of 1995''.

SEC. 2. LOCAL RAIL FREIGHT ASSISTANCE; AUTHORIZATION OF APPROPRIATIONS.

    Section 22108 of title 49, United States Code, is amended--
          (1) by striking out so much of subsection (a) as precedes 
        paragraph (2) and inserting the following:
  ``(a) In General.--(1) There is authorized to be appropriated to the 
Secretary of Transportation to carry out this chapter the sum of 
$25,000,000 for the fiscal year ending September 30, 1996, and for each 
subsequent fiscal year.''; and
            (2) by striking subsection (a)(3).

SEC. 3. DISASTER FUNDING FOR RAILROADS.

    Section 22101 of title 49, United States Code, is amended by 
redesignating subsection (d) as (e), and by inserting after subsection 
(c) the following:
    ``(d) Disaster Funding for Railroads.--
            ``(1) The Secretary may declare that a disaster has 
        occurred and that it is necessary to repair and rebuild rail 
        lines damaged as a result of such disaster. If the Secretary 
        makes the declaration under this paragraph, the Secretary may--
                    ``(A) waive the requirements of this section; and
                    ``(B) prescribe the form and time for applications 
                for assistance made available herein.
            ``(2) The Secretary may not provide assistance under this 
        subsection unless emergency disaster relief funds are 
        appropriated for that purpose.
            ``(3) Funds provided for under this subsection shall remain 
        available until extended.''.

SEC. 4. DECLARATION OF POLICY.

    Section 101(a) of the Railroad Revitalization and Regulatory Reform 
Act of 1976 (45 U.S.C. 801(a)(4)) is amended to read as follows:
            ``(4) continuation of service on, or preservation of, light 
        density lines that are necessary to continued employment and 
        community well-being throughout the United States;''.

SEC. 5. RAILROAD LOAN GUARANTEES; MAXIMUM RATE OF INTEREST.

    Section 511(f) of the Railroad Revitalization and Regulatory Reform 
Act of 1976 (45 U.S.C. 831(f)) is amended by striking ``shall not 
exceed an annual percentage rate which the Secretary determines to be 
reasonable, taking into consideration the prevailing interest rates for 
similar obligations in the private market.'' and inserting in lieu 
thereof ``shall not exceed the annual percentage rate charged 
equivalent to the cost of money to Government.''.

SEC. 6. RAILROAD LOAN GUARANTEES; MINIMUM REPAYMENT PERIOD AND 
              PREPAYMENT PENALTIES.

    Section 511(g)(2) of the Railroad Revitalization and Regulatory 
Reform Act of 1976 (45 U.S.C. 831(g)(2)) is amended to read as follows:
            ``(2) payment of the obligation is required by its terms to 
        be made not less than 15 years nor more than 25 years from the 
        date of its execution, with no penalty imposed for prepayment 
        after 5 years;''.

SEC. 7. RAILROAD LOANS GUARANTEES; DETERMINATION OF REPAYABILITY.

    Section 511(g)(5) of the Railroad Revitalization and Regulatory 
Reform Act of 1976 (45 U.S.C. 831(g)(5)) is amended to read as follows:
            ``(5) either the loan can reasonably be repaid by the 
        applicant or the loan is collaterallized at no more than the 
        current value of assets being financed under this section to 
        provide protection to the United States;''.

SEC. 8. RAILROAD LOANS GUARANTEES; RIGHTS OF SECRETARY.

    Section 511(i) of the Railroad Revitalization and Regulatory Reform 
Act of 1976 (45 U.S.C. 831(i)) is amended by adding at the end the 
following:
            ``(4) The Secretary shall not require, as a condition for 
        guarantee of an obligation, that all preexisting secured 
        obligations of an obligor be subordinated to the rights of the 
        Secretary in the event of a default.''.
                                 <all>