[Congressional Bills 105th Congress]
[From the U.S. Government Publishing Office]
[S. 2164 Introduced in Senate (IS)]







105th CONGRESS
  2d Session
                                S. 2164

To amend title 49, United States Code, to promote rail competition, and 
                          for other purposes.


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

                             June 11, 1998

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

_______________________________________________________________________

                                 A BILL


 
To amend title 49, United States Code, to promote rail competition, 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 ``Surface Transportation Board 
Amendments of 1998''.

SEC. 2. PROMOTION OF COMPETITION WITHIN THE RAIL INDUSTRY.

    Section 10101 of title 49, United States Code, is amended by--
            (1) redesignating paragraphs (1) through (7) as paragraphs 
        (2) through (8);
            (2) inserting before paragraph (2), as redesignated, the 
        following:
            ``(1) to encourage and promote effective competition within 
        the rail industry;'';
            (3) redesignating paragraphs (9) through (16) as paragraphs 
        (10) through (17); and
            (4) inserting before paragraph (10), as redesignated, the 
        following:
            ``(9) to discourage artificial barriers to interchange and 
        car supply which can impede competition between shortline, 
        regional, and Class I carriers and block effective rail service 
        to shippers.''.

SEC. 3. EXTENSION OF TIME LIMIT ON EMERGENCY SERVICE ORDERS.

    Section 11123 of title 49, United States Code, is amended by--
            (1) striking ``30'' in subsection (a) and inserting ``60'';
            (2) striking ``30'' in subsection (c)(1) and inserting 
        ``60'';
            (3) striking the second sentence of subsection (c)(1) and 
        inserting the following: ``An action taken by the Board under 
        subsection (a) of this section may not remain in effect longer 
        than 18 months (including the initial 60-day period), unless 
        the Board requests an extension under paragraph (4).''; and
            (4) adding at the end of subsection (c) the following:
            ``(4) The Board may request up to 2 extensions, of not more 
        than 6 months each, of the 18-month period under subsection (a) 
        by submitting to the Congress a request in writing for such an 
        extension, together with an explanation of the reasons for the 
        request. Such a requested extension goes into effect unless 
        disapproved by the Congress by concurrent resolution. Any other 
        extension requested by the Board will not go into effect unless 
        the Congress approves it under the procedure established by 
        section 4 of the Surface Transportation Amendments of 1998.''.

SEC. 4. APPROVAL PROCEDURE.

    (a) In General.--Within 90 days (not counting any day on which 
either House is not in session) after a request for a third or 
subsequent extension is submitted to the House of Representatives and 
the Senate by the Surface Transportation Board under section 
11123(c)(4) of title 49, United States Code, an approval resolution 
shall be introduced in the House by the Majority Leader of the House, 
for himself and the Minority Leader of the House, or by Members of the 
House designated by the Majority Leader and Minority Leader of the 
House; and shall be introduced in the Senate by the Majority Leader of 
the Senate, for himself and the Minority Leader of the Senate, or by 
Members of the Senate designated by the Majority Leader and Minority 
Leader of the Senate. The approval resolution shall be held at the desk 
at the request of the Presiding Officers of the respective Houses.
    (b) Consideration in the House of Representatives.--
            (1) Consideration of approval resolution.--After an 
        approval resolution is introduced, it is in order to move that 
        the House resolve into the Committee of the Whole House on the 
        State of the Union for consideration of the resolution. All 
        points of order against the resolution and against 
        consideration of the resolution are waived. The motion is 
        highly privileged. A motion to reconsider the vote by which the 
        motion is agreed to or disagreed to shall not be in order. 
        During consideration of the resolution in the Committee of the 
        Whole, the first reading of the resolution shall be dispensed 
        with. General debate shall proceed, shall be confined to the 
        resolution, and shall not exceed one hour equally divided and 
controlled by a proponent and an opponent of the resolution. The 
resolution shall be considered as read for amendment under the five-
minute rule. Only one motion to rise shall be in order, except if 
offered by the manager. No amendment to the resolution is in order. 
Consideration of the resolution shall not exceed one hour excluding 
time for recorded votes and quorum calls. At the conclusion of the 
consideration of the resolution, the Committee shall rise and report 
the resolution to the House. The previous question shall be considered 
as ordered on the resolution to final passage without intervening 
motion. A motion to reconsider the vote on passage of the resolution 
shall not be in order.
            (2) Appeals of rulings.--Appeals from decision of the Chair 
        regarding application of the rules of the House of 
        Representatives to the procedure relating to an approval 
        resolution shall be decided without debate.
            (3) Consideration of more than one approval resolution.--It 
        shall not be in order to consider under this subsection more 
        than one approval resolution under this section, except for 
        consideration of a similar Senate resolution (unless the House 
        has already rejected an approval resolution) or more than one 
        motion to discharge described in paragraph (1) with respect to 
        an approval resolution.
    (c) Consideration in the Senate.--
            (1) Referral and reporting.--An approval resolution 
        introduced in the Senate shall be placed directly and 
        immediately on the Calendar.
            (2) Implementing resolution from house.--When the Senate 
        receives from the House of Representatives an approval 
        resolution, the resolution shall not be referred to committee 
        and shall be placed on the Calendar.
            (3) Consideration of single approval resolution.--After the 
        Senate has proceeded to the consideration of an approval 
        resolution under this subsection, then no other approval 
        resolution originating in that same House shall be subject to 
        the procedures set forth in this subsection.
            (4) Motion nondebatable.--A motion to proceed to 
        consideration of an approval resolution under this subsection 
        shall not be debatable. It shall not be in order to move to 
        reconsider the vote by which the motion to proceed was adopted 
        or rejected, although subsequent motions to proceed may be made 
        under this paragraph.
            (5) Limit on consideration.--
                    (A) After no more than 2 hours of consideration of 
                an approval resolution, the Senate shall proceed, 
                without intervening action or debate (except as 
                permitted under paragraph (9)), to vote on the final 
                disposition thereof to the exclusion of all motions, 
                except a motion to reconsider or table.
                    (B) The time for debate on the approval resolution 
                shall be equally divided between the Majority Leader 
                and the Minority Leader or their designees.
            (6) No motion to recommit.--A motion to recommit an 
        approval resolution shall not be in order.
            (7) Disposition of senate resolution.--If the Senate has 
        read for the third time an approval resolution that originated 
        in the Senate, then it shall be in order at any time thereafter 
        to move to proceed to the consideration of an approval 
        resolution for the same special message received from the House 
        of Representatives and placed on the Calendar pursuant to 
        paragraph (2), strike all after the enacting clause, substitute 
        the text of the Senate approval resolution, agree to the Senate 
        amendment, and vote on final disposition of the House approval 
        resolution, all without any intervening action or debate.
            (8) Consideration of house message.--Consideration in the 
        Senate of all motions, amendments, or appeals necessary to 
        dispose of a message from the House of Representatives on an 
        approval resolution shall be limited to not more than 1 hour. 
        Debate on each motion or amendment shall be limited to 30 
        minutes. Debate on any appeal or point of order that is 
        submitted in connection with the disposition of the House 
        message shall be limited to 15 minutes. Any time for debate 
        shall be equally divided and controlled by the proponent and 
        the majority manager, unless the majority manager is a 
        proponent of the motion, amendment, appeal, or point of order, 
        in which case the minority manager shall be in control of the 
        time in opposition.
    (d) Definitions.--For purposes of this section--
            (1) Approval resolution.--The term ``approval resolution'' 
        means only a concurrent resolution of either House of Congress 
        which is introduced as provided in subsection (a) with respect 
        to the approval of a request from the Surface 
Transportation Board under section 11123(a)(4) of title 49, United 
States Code.
    (e) Rules of House of Representatives and Senate.--This section is 
enacted by the Congress--
            (1) as an exercise of the rulemaking power of the House of 
        Representatives and the Senate, respectively, and as such they 
        are deemed a part of the rules of each House, respectively, but 
        applicable only with respect to the procedure to be followed in 
        that House in the case of approval resolutions described in 
        subsection (c); and they supersede other rules only to the 
        extent that they are inconsistent therewith; and
            (2) with full recognition of the constitutional right of 
        either House to change the rules (so far as relating to the 
        procedure of that House) at any time, in the same manner and to 
        the same extent as in the case of any other rule of that House.

SEC. 5. PROCEDURAL RELIEF FOR SMALL RATE CASES.

    (a) Discovery Limited.--Section 10701(d) of title 49, United States 
Code, is amended by--
            (1) inserting ``(A)'' in paragraph (3) before ``The 
        Board''; and
            (2) adding at the end thereof the following:
    ``(B) Unless the Board finds that there is a compelling need to 
permit discovery in a particular proceeding, discovery shall not be 
permitted in a proceeding handled under the guidelines established 
under subparagraph (A).''.
    (b) Administrative Relief.--Not later than 180 days after the date 
of enactment of this Act, the Surface Transportation Board shall--
            (1) review the rules and procedures applicable to rate 
        complaints and other complaints filed with the Board by small 
        shippers;
            (2) identify any such rules or procedures that are unduly 
        burdensome to small shippers; and
            (3) take such action, including rulemaking, as is 
        appropriate to reduce or eliminate the aspects of the rules and 
        procedures that the Board determines under paragraph (2) to be 
        unduly burdensome to small shippers.
    (c) Legislative Relief.--The Board shall notify the Committee on 
Commerce, Science, and Transportation of the Senate and the Committee 
on Transportation and Infrastructure of the House of Representatives if 
the Board determines that additional changes in the rules and 
procedures described in subsection (b) are appropriate and require 
commensurate changes in statutory law. In making that notification, the 
Board shall make recommendations concerning those changes.

SEC. 6. MARKET DOMINANCE STANDARD.

    The Surface Transportation Board shall complete a rulemaking, as 
outlined in STB Ex Parte No. 575, to determine whether and to what 
extent it should consider product and geographic competition in making 
market dominance determinations.

SEC. 7. REVENUE ADEQUACY.

    The Surface Transportation Board shall reexamine, as outlined in 
STB Ex Parte No. 575, its standards and procedures for determining 
adequate railroad revenue levels under section 10704(a)(2) of title 49, 
United States Code. In carrying out its reexamination, the Board is 
directed to seek recommendations of a panel of three disinterested 
economists on the proper standards to apply. The panel shall submit its 
report and recommendations simultaneously to the Surface Transportation 
Board and to the Senate Committee on Commerce, Science, and 
Transportation and the House Committee on Transportation and 
Infrastructure.

SEC. 8. BOTTLENECK RATES.

    (a) Through Routes.--Section 10703 of title 49, United States Code, 
is amended--
            (1) inserting ``(a) In General.--'' before ``Rail 
        carriers''; and
            (2) adding at the end thereof the following:
    ``(b) Connecting Carriers.--When a shipper and rail carrier enter 
into a contract under section 10709 for transportation that would 
require a through route with a connecting carrier and there is no 
reasonable alternative route that could be constructed without 
participation of that connecting carrier, the connecting carrier shall, 
upon request, establish a through route and a rate that can be used in 
conjunction with transportation provided pursuant to the contract, 
unless the connecting carrier shows that--
            ``(1) the interchange requested is not operationally 
        feasible; or
            ``(2) the through route would significantly impair the 
        connecting carrier's ability to serve its other traffic.
The connecting carrier shall establish a rate and through route within 
21 days unless the Board has made a determination that the connecting 
carrier is likely to prevail in its claim under paragraph (1) or 
(2).''.
    (b) Board's Authority to Prescribe Division of Joint Rates.--
Section 10705(b) of title 49, United States Code, is amended by 
striking ``The Board shall'' and inserting ``Except as provided in 
section 10703(b), the Board shall''.
    (c) Complaints.--Section 11701 of title 49, United States Code, is 
amended--
            (1) by redesignating subsection (c) as subsection (d); and
            (2) by inserting after subsection (b) the following:
    ``(c) Where transportation over a portion of a through route is 
governed by a contract under section 10709, a rate complaint must be 
limited to the rates that apply to the portion of the through route not 
governed by such a contract.''.

SEC. 9. SIMPLIFIED DISPUTE RESOLUTION.

    Within 180 days after the date of enactment of this Act, the 
Surface Transportation Board shall promulgate regulations adopting a 
simplified dispute resolution mechanism with the following features:
            (1) In general.--The simplified dispute resolution 
        mechanism will utilize expedited arbitration with a minimum of 
        discovery and may be used to decide disputes between parties 
        involving any matter subject to the jurisdiction of the Board, 
        other than rate reasonableness cases that would be decided 
        under constrained market pricing principles.
            (2) Applicable standards.--Arbitrators will apply existing 
        legal standards.
            (3) Mandatory if requested.--Use of the simplified dispute 
        resolution mechanism is required whenever at least one party to 
        the dispute requests.
            (4) 90-day turnaround.--Arbitrators will issue their 
        decisions within 90 days after being appointed.
            (5) Payment of costs.--Each party will pay its own costs, 
        and the costs of the arbitrator and other administrative costs 
        of arbitration will be shared equally between and among the 
        parties.
            (6) Decisions private; not precedential.--Except as 
        otherwise provided by the Board, decisions will remain private 
        and will not constitute binding precedent.
            (7) Decisions binding and enforceable.--Except as otherwise 
        provided in paragraph (8), decisions will be binding and 
        enforceable by the Board.
            (8) Right to appeal.--Any party will have an unqualified 
        right to appeal any decision to the Board, in which case the 
        Board will decide the matter de novo. In making its decision, 
        the Board may consider the decision of the arbitrator and any 
        evidence and other material developed during the arbitration.
            (9) Mutual modification.--Any procedure or regulation 
        adopted by the Board with respect to the simplified dispute 
        resolution may be modified or eliminated by mutual agreement of 
        all parties to the dispute.

SEC. 10. PROMOTION OF COMPETITIVE RAIL SERVICE OPTIONS.

    Section 11324 of title 49, United States Code, is amended--
            (1) by striking ``and'' in paragraph (4) of subsection (b);
            (2) by striking ``system.'' in paragraph (5) of subsection 
        (b) and inserting ``system; and'';
            (3) by adding at the end of subsection (b) the following:
            ``(6) means and methods to encourage and expand competition 
        between and among rail carriers in the affected region or the 
        national rail system.''; and
            (4) by inserting after the second sentence in subsection 
        (c) the following: ``The Board may impose conditions to 
        encourage and expand competition between and among rail 
        carriers in the affected region or the national rail system, 
        provided that such conditions do not cause substantial harm to 
        the benefits of the transaction to the affected carriers or the 
        public.''.

SEC. 11. HOUSEHOLD GOODS COLLECTIVE ACTIVITIES.

    Section 13703(d) of title 49, United States Code, is amended by 
inserting ``(other than an agreement affecting only the transportation 
of household goods, as defined on December 31, 1995)'' after 
``agreement'' in the first sentence.
                                 <all>