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


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

                          [Report No. 109-143]

             To reauthorize Amtrak, and for other purposes.


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

                             July 27, 2005

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

                            October 18, 2005

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

_______________________________________________________________________

                                 A BILL


 
             To reauthorize Amtrak, and for other purposes.

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

<DELETED>``Sec.
<DELETED>``24401. Definitions.
<DELETED>``24402. Capital investment grants to support intercity 
                            passenger rail service.
<DELETED>``24403. Project management oversight.
<DELETED>``24404. Use of capital grants to finance first-dollar 
                            liability of grant project.
<DELETED>``24405. Grant conditions.
<DELETED>``Sec. 24401. Definitions</DELETED>
<DELETED>    ``In this subchapter:</DELETED>
        <DELETED>    ``(1) Applicant.--The term `applicant' means a 
        State (including the District of Columbia), a group of States, 
        an Interstate Compact, or a public agency established by one or 
        more States and having responsibility for providing intercity 
        passenger rail service.</DELETED>
        <DELETED>    ``(2) Capital project.--The term `capital project' 
        means a project or program in a State rail plan developed under 
        chapter 225 of this title for--</DELETED>
                <DELETED>    ``(A) acquiring, constructing, improving, 
                or inspecting equipment or a facility for use in or for 
                the primary benefit of intercity passenger rail 
                service, expenses incidental to the acquisition or 
                construction (including designing, engineering, 
                location surveying, mapping, environmental studies, and 
                acquiring rights-of-way), payments for the capital 
                portions of rail trackage rights agreements, highway-
                rail grade crossing improvements related to intercity 
                passenger rail service, security, mitigating 
                environmental impacts, communication and signalization 
                improvements, relocation assistance, acquiring 
                replacement housing sites, and acquiring, constructing, 
                relocating, and rehabilitating replacement 
                housing;</DELETED>
                <DELETED>    ``(B) rehabilitating, remanufacturing or 
                overhauling rail rolling stock and facilities used 
                primarily in intercity passenger rail 
                service;</DELETED>
                <DELETED>    ``(C) costs associated with developing 
                State rail plans; and</DELETED>
                <DELETED>    ``(D) the first-dollar liability costs for 
                insurance related to the provision of intercity 
                passenger rail service under section 24404.</DELETED>
        <DELETED>    ``(3) Intercity passenger rail service.--The term 
        `intercity passenger rail service' means transportation 
        services with the primary purpose of passenger transportation 
        between towns, cities and metropolitan areas by rail, including 
        high-speed rail, as defined in section 24102 of title 49, 
        United States Code.</DELETED>
<DELETED>``Sec. 24402. Capital investment grants to support intercity 
              passenger rail service</DELETED>
<DELETED>    ``(a) General Authority.--</DELETED>
        <DELETED>    ``(1) The Secretary of Transportation may make 
        grants under this section to an applicant to assist in 
        financing the capital costs of facilities and equipment 
        necessary to provide or improve intercity passenger rail 
        transportation.</DELETED>
        <DELETED>    ``(2) The Secretary shall require that a grant 
        under this section be subject to the terms, conditions, 
        requirements, and provisions the Secretary decides are 
        necessary or appropriate for the purposes of this section, 
        including requirements for the disposition of net increases in 
        value of real property resulting from the project assisted 
        under this section and shall prescribe procedures and schedules 
        for the awarding of grants under this title, including 
        application and qualification procedures and a record of 
        decision on applicant eligibility. The Secretary shall issue a 
        final rule establishing such procedures not later than 90 days 
        after the date of enactment of the Passenger Rail Investment 
        and Improvement Act of 2005.</DELETED>
<DELETED>    ``(b) Project as Part of State Rail Plan.--</DELETED>
        <DELETED>    ``(1) The Secretary may not approve a grant for a 
        project under this section unless the Secretary finds that the 
        project is part of a State rail plan developed under chapter 
        225 of this title and that the applicant or recipient has or 
        will have the legal, financial, and technical capacity to carry 
        out the project, satisfactory continuing control over the use 
        of the equipment or facilities, and the capability and 
        willingness to maintain the equipment or facilities.</DELETED>
        <DELETED>    ``(2) An applicant shall provide sufficient 
        information upon which the Secretary can make the findings 
        required by this subsection.</DELETED>
        <DELETED>    ``(3) If an applicant has not selected the 
        proposed operator of its service competitively, the applicant 
        shall provide written justification to the Secretary showing 
        why the proposed operator is the best, taking into account 
        price and other factors, and that use of the proposed operator 
        will not unnecessarily increase the cost of the 
        project.</DELETED>
<DELETED>    ``(c) Project Selection Criteria.--The Secretary, in 
selecting the recipients of financial assistance to be provided under 
subsection (a), shall--</DELETED>
        <DELETED>    ``(1) require that each proposed project meet all 
        safety and security requirements that are applicable to the 
        project under law;</DELETED>
        <DELETED>    ``(2) give preference to projects with high levels 
        of estimated ridership, increased on-time performance, reduced 
        trip time, additional service frequency, or other significant 
        service enhancements as measured against minimum standards 
        developed under section 208 of the Passenger Rail Investment 
        and Improvement Act of 2005;</DELETED>
        <DELETED>    ``(3) encourage intermodal connectivity through 
        projects that provide direct connections between train 
        stations, airports, bus terminals, subway stations, ferry 
        ports, and other modes of transportation;</DELETED>
        <DELETED>    ``(4) ensure that each project is compatible with, 
        and is operated in conformance with--</DELETED>
                <DELETED>    ``(A) plans developed pursuant to the 
                requirements of section 135 of title 23, United States 
                Code; and</DELETED>
                <DELETED>    ``(B) the national rail plan (if it is 
                available); and</DELETED>
        <DELETED>    ``(5) favor the following kinds of 
        projects:</DELETED>
                <DELETED>    ``(A) Projects that are expected to have a 
                significant favorable impact on air or highway traffic 
                congestion, capacity, or safety.</DELETED>
                <DELETED>    ``(B) Projects that also improve freight 
                or commuter rail operations.</DELETED>
                <DELETED>    ``(C) Projects that have significant 
                environmental benefits.</DELETED>
                <DELETED>    ``(D) Projects that are--</DELETED>
                        <DELETED>    ``(i) at a stage of preparation 
                        that all pre-commencement compliance with 
                        environmental protection requirements has 
                        already been completed; and</DELETED>
                        <DELETED>    ``(ii) ready to be 
                        commenced.</DELETED>
                <DELETED>    ``(E) Projects with positive economic and 
                employment impacts.</DELETED>
                <DELETED>    ``(F) Projects that encourage the use of 
                positive train control technologies.</DELETED>
                <DELETED>    ``(G) Projects that have commitments of 
                funding from non-Federal Government sources in a total 
                amount that exceeds the minimum amount of the non-
                Federal contribution required for the 
                project.</DELETED>
                <DELETED>    ``(H) Projects that involve donated 
                property interests or services.</DELETED>
                <DELETED>    ``(I) Projects that are identified by the 
                Surface Transportation Board as necessary to improve 
                the on time performance and reliability of intercity 
                passenger rail under section 24308(f).</DELETED>
<DELETED>    ``(d) Amtrak Eligibility.--To receive a grant under this 
section, the National Railroad Passenger Corporation may enter into a 
cooperative agreement with 1 or more States to carry out 1 or more 
projects on a State rail plan's ranked list of rail capital projects 
developed under section 22504(a)(5) of this title.</DELETED>
<DELETED>    ``(e) Letters of Intent, Full Funding Grant Agreements, 
and Early Systems Work Agreements.--</DELETED>
        <DELETED>    ``(1)(A) The Secretary may issue a letter of 
        intent to an applicant announcing an intention to obligate, for 
        a major capital project under this section, an amount from 
        future available budget authority specified in law that is not 
        more than the amount stipulated as the financial participation 
        of the Secretary in the project.</DELETED>
                <DELETED>    ``(B) At least 30 days before issuing a 
                letter under subparagraph (A) of this paragraph or 
                entering into a full funding grant agreement, the 
                Secretary shall notify in writing the Committee on 
                Transportation and Infrastructure of the House of 
                Representatives and the Committee on Commerce, Science, 
                and Transportation of the Senate and the House and 
                Senate Committees on Appropriations of the proposed 
                letter or agreement. The Secretary shall include with 
                the notification a copy of the proposed letter or 
                agreement as well as the evaluations and ratings for 
                the project.</DELETED>
                <DELETED>    ``(C) An obligation or administrative 
                commitment may be made only when amounts are 
                appropriated.</DELETED>
        <DELETED>    ``(2)(A) The Secretary may make a full funding 
        grant agreement with an applicant. The agreement shall--
        </DELETED>
                        <DELETED>    ``(i) establish the terms of 
                        participation by the United States Government 
                        in a project under this section;</DELETED>
                        <DELETED>    ``(ii) establish the maximum 
                        amount of Government financial assistance for 
                        the project;</DELETED>
                        <DELETED>    ``(iii) cover the period of time 
                        for completing the project, including a period 
                        extending beyond the period of an 
                        authorization; and</DELETED>
                        <DELETED>    ``(iv) make timely and efficient 
                        management of the project easier according to 
                        the law of the United States.</DELETED>
                <DELETED>    ``(B) An agreement under this paragraph 
                obligates an amount of available budget authority 
                specified in law and may include a commitment, 
                contingent on amounts to be specified in law in advance 
                for commitments under this paragraph, to obligate an 
                additional amount from future available budget 
                authority specified in law. The agreement shall state 
                that the contingent commitment is not an obligation of 
                the Government and is subject to the availability of 
                appropriations made by Federal law and to Federal laws 
                in force on or enacted after the date of the contingent 
                commitment. Interest and other financing costs of 
                efficiently carrying out a part of the project within a 
                reasonable time are a cost of carrying out the project 
                under a full funding grant agreement, except that 
                eligible costs may not be more than the cost of the 
                most favorable financing terms reasonably available for 
                the project at the time of borrowing. The applicant 
                shall certify, in a way satisfactory to the Secretary, 
                that the applicant has shown reasonable diligence in 
                seeking the most favorable financing terms.</DELETED>
        <DELETED>    ``(3)(A) The Secretary may make an early systems 
        work agreement with an applicant if a record of decision under 
        the National Environmental Policy Act of 1969 (42 U.S.C. 4321 
        et seq.) has been issued on the project and the Secretary finds 
        there is reason to believe--</DELETED>
                        <DELETED>    ``(i) a full funding grant 
                        agreement for the project will be made; 
                        and</DELETED>
                        <DELETED>    ``(ii) the terms of the work 
                        agreement will promote ultimate completion of 
                        the project more rapidly and at less 
                        cost.</DELETED>
                <DELETED>    ``(B) A work agreement under this 
                paragraph obligates an amount of available budget 
                authority specified in law and shall provide for 
                reimbursement of preliminary costs of carrying out the 
                project, including land acquisition, timely procurement 
                of system elements for which specifications are 
                decided, and other activities the Secretary decides are 
                appropriate to make efficient, long-term project 
                management easier. A work agreement shall cover the 
                period of time the Secretary considers appropriate. The 
                period may extend beyond the period of current 
                authorization. Interest and other financing costs of 
                efficiently carrying out the work agreement within a 
                reasonable time are a cost of carrying out the 
                agreement, except that eligible costs may not be more 
                than the cost of the most favorable financing terms 
                reasonably available for the project at the time of 
                borrowing. The applicant shall certify, in a way 
                satisfactory to the Secretary, that the applicant has 
                shown reasonable diligence in seeking the most 
                favorable financing terms. If an applicant does not 
                carry out the project for reasons within the control of 
                the applicant, the applicant shall repay all Government 
                payments made under the work agreement plus reasonable 
                interest and penalty charges the Secretary establishes 
                in the agreement.</DELETED>
        <DELETED>    ``(4) The total estimated amount of future 
        obligations of the Government and contingent commitments to 
        incur obligations covered by all outstanding letters of intent, 
        full funding grant agreements, and early systems work 
        agreements may be not more than the amount authorized under 
        section 101(c) of Passenger Rail Investment and Improvement Act 
        of 2005, less an amount the Secretary reasonably estimates is 
        necessary for grants under this section not covered by a 
        letter. The total amount covered by new letters and contingent 
        commitments included in full funding grant agreements and early 
        systems work agreements may be not more than a limitation 
        specified in law.</DELETED>
<DELETED>    ``(f) Federal Share of Net Project Cost.--</DELETED>
        <DELETED>    ``(1)(A) Based on engineering studies, studies of 
        economic feasibility, and information on the expected use of 
        equipment or facilities, the Secretary shall estimate the net 
        project cost.</DELETED>
                <DELETED>    ``(B) A grant for the project shall not 
                exceed 80 percent of the project net capital 
                cost.</DELETED>
                <DELETED>    ``(C) The Secretary shall give priority in 
                allocating future obligations and contingent 
                commitments to incur obligations to grant requests 
                seeking a lower Federal share of the project net 
                capital cost.</DELETED>
        <DELETED>    ``(2) Up to an additional 20 percent of the 
        required non-Federal funds may be funded from amounts 
        appropriated to or made available to a department or agency of 
        the Federal Government that are eligible to be expended for 
        transportation.</DELETED>
        <DELETED>    ``(3) 50 percent of the average amounts expended 
        by a State or group of States (including the District of 
        Columbia) for capital projects to benefit intercity passenger 
        rail service in fiscal years 2004 and 2005 shall be credited 
        towards the matching requirements for grants awarded under this 
        section. The Secretary may require such information as 
        necessary to verify such expenditures.</DELETED>
        <DELETED>    ``(4) 50 percent of the average amounts expended 
        by a State or group of States (including the District of 
        Columbia) in a fiscal year beginning in 2006 for capital 
        projects to benefit intercity passenger rail service or for the 
        operating costs of such service above the average of 
        expenditures made for such service in fiscal years 2004 and 
        2005 shall be credited towards the matching requirements for 
        grants awarded under this section. The Secretary may require 
        such information as necessary to verify such 
        expenditures.</DELETED>
<DELETED>    ``(g) Undertaking Projects in Advance.--</DELETED>
        <DELETED>    ``(1) The Secretary may pay the Federal share of 
        the net capital project cost to an applicant that carries out 
        any part of a project described in this section according to 
        all applicable procedures and requirements if--</DELETED>
                <DELETED>    ``(A) the applicant applies for the 
                payment;</DELETED>
                <DELETED>    ``(B) the Secretary approves the payment; 
                and</DELETED>
                <DELETED>    ``(C) before carrying out the part of the 
                project, the Secretary approves the plans and 
                specifications for the part in the same way as other 
                projects under this section.</DELETED>
        <DELETED>    ``(2) The cost of carrying out part of a project 
        includes the amount of interest earned and payable on bonds 
        issued by the applicant to the extent proceeds of the bonds are 
        expended in carrying out the part. However, the amount of 
        interest under this paragraph may not be more than the most 
        favorable interest terms reasonably available for the project 
        at the time of borrowing. The applicant shall certify, in a 
        manner satisfactory to the Secretary, that the applicant has 
        shown reasonable diligence in seeking the most favorable 
        financial terms.</DELETED>
        <DELETED>    ``(3) The Secretary shall consider changes in 
        capital project cost indices when determining the estimated 
        cost under paragraph (2) of this subsection.</DELETED>
<DELETED>    ``(h) 2-Year Availability.--Funds appropriated under this 
section shall remain available until expended. If any amount provided 
as a grant under this section is not obligated or expended for the 
purposes described in subsection (a) within 2 years after the date on 
which the State received the grant, such sums shall be returned to the 
Secretary for other intercity passenger rail development projects under 
this section at the discretion of the Secretary.</DELETED>
<DELETED>    ``(i) Public-Private Partnerships.--</DELETED>
        <DELETED>    ``(1) In general.--A metropolitan planning 
        organization, State transportation department, or other project 
        sponsor may enter into an agreement with any public, private, 
        or nonprofit entity to cooperatively implement any project 
        funded with a grant under this title.</DELETED>
        <DELETED>    ``(2) Forms of participation.--Participation by an 
        entity under paragraph (1) may consist of--</DELETED>
                <DELETED>    ``(A) ownership or operation of any land, 
                facility, locomotive, rail car, vehicle, or other 
                physical asset associated with the project;</DELETED>
                <DELETED>    ``(B) cost-sharing of any project 
                expense;</DELETED>
                <DELETED>    ``(C) carrying out administration, 
                construction management, project management, project 
                operation, or any other management or operational duty 
                associated with the project; and</DELETED>
                <DELETED>    ``(D) any other form of participation 
                approved by the Secretary.</DELETED>
        <DELETED>    ``(3) Sub-allocation.--A State may allocate funds 
        under this section to any entity described in paragraph 
        (1).</DELETED>
<DELETED>    ``(j) Special Transportation Circumstances.--In carrying 
out this section, the Secretary shall allocate an appropriate portion 
of the amounts available under this section to provide grants to 
States--</DELETED>
        <DELETED>    ``(1) in which there is no intercity passenger 
        rail service for the purpose of funding freight rail capital 
        projects that are on a State rail plan developed under chapter 
        225 of this title that provide public benefits (as defined in 
        chapter 225) as determined by the Secretary; or</DELETED>
        <DELETED>    ``(2) in which the rail transportation system is 
        not physically connected to rail systems in the continental 
        United States or may not otherwise qualify for a grant under 
        this section due to the unique characteristics of the geography 
        of that State or other relevant considerations, for the purpose 
        of funding transportation-related capital projects.</DELETED>
<DELETED>``Sec. 24403. Project management oversight</DELETED>
<DELETED>    ``(a) Project Management Plan Requirements.--To receive 
Federal financial assistance for a major capital project under this 
subchapter, an applicant must prepare and carry out a project 
management plan approved by the Secretary of Transportation. The plan 
shall provide for--</DELETED>
        <DELETED>    ``(1) adequate recipient staff organization with 
        well-defined reporting relationships, statements of functional 
        responsibilities, job descriptions, and job 
        qualifications;</DELETED>
        <DELETED>    ``(2) a budget covering the project management 
        organization, appropriate consultants, property acquisition, 
        utility relocation, systems demonstration staff, audits, and 
        miscellaneous payments the recipient may be prepared to 
        justify;</DELETED>
        <DELETED>    ``(3) a construction schedule for the 
        project;</DELETED>
        <DELETED>    ``(4) a document control procedure and 
        recordkeeping system;</DELETED>
        <DELETED>    ``(5) a change order procedure that includes a 
        documented, systematic approach to handling the construction 
        change orders;</DELETED>
        <DELETED>    ``(6) organizational structures, management 
        skills, and staffing levels required throughout the 
        construction phase;</DELETED>
        <DELETED>    ``(7) quality control and quality assurance 
        functions, procedures, and responsibilities for construction, 
        system installation, and integration of system 
        components;</DELETED>
        <DELETED>    ``(8) material testing policies and 
        procedures;</DELETED>
        <DELETED>    ``(9) internal plan implementation and reporting 
        requirements;</DELETED>
        <DELETED>    ``(10) criteria and procedures to be used for 
        testing the operational system or its major 
        components;</DELETED>
        <DELETED>    ``(11) periodic updates of the plan, especially 
        related to project budget and project schedule, financing, and 
        ridership estimates; and</DELETED>
        <DELETED>    ``(12) the recipient's commitment to submit a 
        project budget and project schedule to the Secretary each 
        month.</DELETED>
<DELETED>    ``(b) Secretarial Oversight.--</DELETED>
        <DELETED>    ``(1) The Secretary may use no more than 0.5 
        percent of amounts made available in a fiscal year for capital 
        projects under this subchapter to enter into contracts to 
        oversee the construction of such projects.</DELETED>
        <DELETED>    ``(2) The Secretary may use amounts available 
        under paragraph (1) of this subsection to make contracts for 
        safety, procurement, management, and financial compliance 
        reviews and audits of a recipient of amounts under paragraph 
        (1).</DELETED>
        <DELETED>    ``(3) The Federal Government shall pay the entire 
        cost of carrying out a contract under this 
        subsection.</DELETED>
<DELETED>    ``(c) Access to Sites and Records.--Each recipient of 
assistance under this subchapter shall provide the Secretary and a 
contractor the Secretary chooses under subsection (c) of this section 
with access to the construction sites and records of the recipient when 
reasonably necessary.</DELETED>
<DELETED>``Sec. 24404. Use of capital grants to finance first-dollar 
              liability of grant project</DELETED>
<DELETED>    ``Notwithstanding the requirements of section 24402 of 
this subchapter, the Secretary of Transportation may approve the use of 
capital assistance under this subchapter to fund self-insured retention 
of risk for the first tier of liability insurance coverage for rail 
passenger service associated with the capital assistance grant, but the 
coverage may not exceed $20,000,000 per occurrence or $20,000,000 in 
aggregate per year.</DELETED>
<DELETED>``Sec. 24405. Grant conditions</DELETED>
<DELETED>    ``(a) Domestic Buying Preference.--</DELETED>
        <DELETED>    ``(1) Requirement.--</DELETED>
                <DELETED>    ``(A) In general.--In carrying out a 
                project funded in whole or in part with a grant under 
                this title, the grant recipient shall purchase only--
                </DELETED>
                        <DELETED>    ``(i) unmanufactured articles, 
                        material, and supplies mined or produced in the 
                        United States; or</DELETED>
                        <DELETED>    ``(ii) manufactured articles, 
                        material, and supplies manufactured in the 
                        United States substantially from articles, 
                        material, and supplies mined, produced, or 
                        manufactured in the United States.</DELETED>
                <DELETED>    ``(B) De minimis amount.--Subparagraph (1) 
                applies only to a purchase in an total amount that is 
                not less than $1,000,000.</DELETED>
        <DELETED>    ``(2) Exemptions.--On application of a recipient, 
        the Secretary may exempt a recipient from the requirements of 
        this subsection if the Secretary decides that, for particular 
        articles, material, or supplies--</DELETED>
                <DELETED>    ``(A) such requirements are inconsistent 
                with the public interest;</DELETED>
                <DELETED>    ``(B) the cost of imposing the 
                requirements is unreasonable; or</DELETED>
                <DELETED>    ``(C) the articles, material, or supplies, 
                or the articles, material, or supplies from which they 
                are manufactured, are not mined, produced, or 
                manufactured in the United States in sufficient and 
                reasonably available commercial quantities and are not 
                of a satisfactory quality.</DELETED>
        <DELETED>    ``(3) United states defined.--In this subsection, 
        the term `the United States' means the States, territories, and 
        possessions of the United States and the District of 
        Columbia.</DELETED>
<DELETED>    ``(b) Operators Deemed Rail Carriers and Employers for 
Certain Purposes.--A person that conducts rail operations over rail 
infrastructure constructed or improved with funding provided in whole 
or in part in a grant made under this title--</DELETED>
        <DELETED>    ``(1) shall be considered an employer for purposes 
        of the Railroad Retirement Act of 1974 (45 U.S.C. 231 et seq.); 
        and</DELETED>
        <DELETED>    ``(2) shall be considered a carrier for purposes 
        of the Railway Labor Act (43 U.S.C. 151 et seq.).</DELETED>
<DELETED>    ``(c) Grant Conditions.--The Secretary shall require as a 
condition of making any grant under this title that includes the 
improvement or use of rights-of-way owned by a railroad that--
</DELETED>
        <DELETED>    ``(1) a written agreement exist between the 
        applicant and the railroad regarding such use and ownership, 
        including--</DELETED>
                <DELETED>    ``(A) any compensation for such 
                use;</DELETED>
                <DELETED>    ``(B) assurances regarding the adequacy of 
                infrastructure capacity to accommodate both existing 
                and future freight and passenger operations; 
                and</DELETED>
                <DELETED>    ``(C) an assurance by the railroad that 
                collective bargaining agreements with the railroad's 
                employees (including terms regulating the contracting 
                of work) will remain in full force and effect according 
                to their terms for work performed by the railroad on 
                the railroad transportation corridor; and</DELETED>
        <DELETED>    ``(2) the applicant agrees to comply with--
        </DELETED>
                <DELETED>    ``(A) the standards of section 24312 of 
                this title, as such section was in effect on September 
                1, 2003, with respect to the project in the same manner 
                that the National Railroad Passenger Corporation is 
                required to comply with those standards for 
                construction work financed under an agreement made 
                under section 24308(a) of this title; and</DELETED>
                <DELETED>    ``(B) the protective arrangements 
                established under section 504 of the Railroad 
                Revitalization and Regulatory Reform Act of 1976 (45 
                U.S.C. 836) with respect to employees affected by 
                actions taken in connection with the project to be 
                financed in whole or in part by grants under this 
                subchapter.</DELETED>
<DELETED>    ``(d) Replacement of Existing Intercity Passenger Rail 
Service.--</DELETED>
        <DELETED>    ``(1) Collective bargaining agreement for 
        intercity passenger rail projects.--Any entity providing 
        intercity passenger railroad transportation that begins 
        operations after the date of enactment of this Act on a project 
        funded in whole or in part by grants made under this title and 
        replaces intercity rail passenger service that was provided by 
        Amtrak, unless such service was provided solely by Amtrak to 
        another entity, as of such date shall enter into an agreement 
        with the authorized bargaining agent or agents for adversely 
        affected employees of the predecessor provider that--</DELETED>
                <DELETED>    ``(A) gives each such qualified employee 
                of the predecessor provider priority in hiring 
                according to the employee's seniority on the 
                predecessor provider for each position with the 
                replacing entity that is in the employee's craft or 
                class and is available within 3 years after the 
                termination of the service being replaced;</DELETED>
                <DELETED>    ``(B) establishes a procedure for 
                notifying such an employee of such positions;</DELETED>
                <DELETED>    ``(C) establishes a procedure for such an 
                employee to apply for such positions; and</DELETED>
                <DELETED>    ``(D) establishes rates of pay, rules, and 
                working conditions.</DELETED>
        <DELETED>    ``(2) Immediate replacement service.--</DELETED>
                <DELETED>    ``(A) Negotiations.--If the replacement of 
                preexisting intercity rail passenger service occurs 
                concurrent with or within a reasonable time before the 
                commencement of the replacing entity's rail passenger 
                service, the replacing entity shall give written notice 
                of its plan to replace existing rail passenger service 
                to the authorized collective bargaining agent or agents 
                for the potentially adversely affected employees of the 
                predecessor provider at least 90 days before the date 
                on which it plans to commence service. Within 5 days 
                after the date of receipt of such written notice, 
                negotiations between the replacing entity and the 
                collective bargaining agent or agents for the employees 
                of the predecessor provider shall commence for the 
                purpose of reaching agreement with respect to all 
                matters set forth in subparagraphs (A) through (D) of 
                paragraph (1). The negotiations shall continue for 30 
                days or until an agreement is reached, whichever is 
                sooner. If at the end of 30 days the parties have not 
                entered into an agreement with respect to all such 
                matters, the unresolved issues shall be submitted for 
                arbitration in accordance with the procedure set forth 
                in subparagraph (B).</DELETED>
                <DELETED>    ``(B) Arbitration.--If an agreement has 
                not been entered into with respect to all matters set 
                forth in subparagraphs (A) through (D) of paragraph (1) 
                as described in subparagraph (A) of this paragraph, the 
                parties shall select an arbitrator. If the parties are 
                unable to agree upon the selection of such arbitrator 
                within 5 days, either or both parties shall notify the 
                National Mediation Board, which shall provide a list of 
                seven arbitrators with experience in arbitrating rail 
                labor protection disputes. Within 5 days after such 
                notification, the parties shall alternately strike 
                names from the list until only 1 name remains, and that 
                person shall serve as the neutral arbitrator. Within 45 
                days after selection of the arbitrator, the arbitrator 
                shall conduct a hearing on the dispute and shall render 
                a decision with respect to the unresolved issues among 
                the matters set forth in subparagraphs (A) through (D) 
                of paragraph (1). This decision shall be final, 
                binding, and conclusive upon the parties. The salary 
                and expenses of the arbitrator shall be borne equally 
                by the parties; all other expenses shall be paid by the 
                party incurring them.</DELETED>
        <DELETED>    ``(3) Service commencement.--A replacing entity 
        under this subsection shall commence service only after an 
        agreement is entered into with respect to the matters set forth 
        in subparagraphs (A) through (D) of paragraph (1) or the 
        decision of the arbitrator has been rendered.</DELETED>
        <DELETED>    ``(4) Subsequent replacement of service.--If the 
        replacement of existing rail passenger service takes place 
        within 3 years after the replacing entity commences intercity 
        passenger rail service, the replacing entity and the collective 
        bargaining agent or agents for the adversely affected employees 
        of the predecessor provider shall enter into an agreement with 
        respect to the matters set forth in subparagraphs (A) through 
        (D) of paragraph (1). If the parties have not entered into an 
        agreement with respect to all such matters within 60 days after 
        the date on which the replacing entity replaces the predecessor 
        provider, the parties shall select an arbitrator using the 
        procedures set forth in paragraph (2)(B), who shall, within 20 
        days after the commencement of the arbitration, conduct a 
        hearing and decide all unresolved issues. This decision shall 
        be final, binding, and conclusive upon the parties.</DELETED>
<DELETED>    ``(e) Inapplicability to Certain Rail Operations.-- 
Nothing in this section applies to--</DELETED>
        <DELETED>    ``(1) commuter rail passenger transportation (as 
        defined in section 24102(4) of this title) operations of a 
        State or local government authority (as those terms are defined 
        in section 5302(11) and (6), respectively, of this title) 
        eligible to receive financial assistance under section 5307 of 
        this title, or to its contractor performing services in 
        connection with commuter rail passenger operations (as so 
        defined);</DELETED>
        <DELETED>    ``(2) the Alaska Railroad or its contractors; 
        or</DELETED>
        <DELETED>    ``(3) the National Railroad Passenger 
        Corporation's access rights to railroad rights of way and 
        facilities under current law for projects funded under this 
        title where train operating speeds do not exceed 79 miles per 
        hour.''.</DELETED>
<DELETED>    (b) Conforming Amendments.--</DELETED>
        <DELETED>    (1) The table of chapters for the title is amended 
        by inserting the following after the item relating to chapter 
        243:</DELETED>

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

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

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

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

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

        <DELETED>``Sec.
        <DELETED>``22501. Definitions.
        <DELETED>``22502. Authority.
        <DELETED>``22503. Purposes.
        <DELETED>``22504. Transparency; coordination; review.
        <DELETED>``22505. Content.
        <DELETED>``22506. Review.
<DELETED>``Sec. 22501. Definitions</DELETED>
<DELETED>    ``In this subchapter:</DELETED>
        <DELETED>    ``(1) Private benefit.--</DELETED>
                <DELETED>    ``(A) In general.--The term `private 
                benefit'--</DELETED>
                        <DELETED>    ``(i) means a benefit accrued to a 
                        person or private entity, other than the 
                        National Railroad Passenger Corporation, that 
                        directly improves the economic and competitive 
                        condition of that person or entity through 
                        improved assets, cost reductions, service 
                        improvements, or any other means as defined by 
                        the Secretary; and</DELETED>
                        <DELETED>    ``(ii) shall be determined on a 
                        project-by-project basis, based upon an 
                        agreement between the parties.</DELETED>
                <DELETED>    ``(B) Consultation.--The Secretary may 
                seek the advice of the States and rail carriers in 
                further defining this term.</DELETED>
        <DELETED>    ``(2) Public benefit.--</DELETED>
                <DELETED>    ``(A) In general.--The term `public 
                benefit'--</DELETED>
                        <DELETED>    ``(i) means a benefit accrued to 
                        the public in the form of enhanced mobility of 
                        people or goods, environmental protection or 
                        enhancement, congestion mitigation, enhanced 
                        trade and economic development, improved air 
                        quality or land use, more efficient energy use, 
                        enhanced public safety or security, reduction 
                        of public expenditures due to improved 
                        transportation efficiency or infrastructure 
                        preservation, and any other positive community 
                        effects as defined by the Secretary; 
                        and</DELETED>
                        <DELETED>    ``(ii) shall be determined on a 
                        project-by-project basis, based upon an 
                        agreement between the parties.</DELETED>
                <DELETED>    ``(B) Consultation.--The Secretary may 
                seek the advice of the States and rail carriers in 
                further defining this term.</DELETED>
        <DELETED>    ``(3) State.--The term `State' means any of the 50 
        States and the District of Columbia.</DELETED>
        <DELETED>    ``(4) State rail transportation authority.--The 
        term `State rail transportation authority' means the State 
        agency or official responsible under the direction of the 
        Governor of the State or a State law for preparation, 
        maintenance, coordination, and administration of the State rail 
        plan.''.</DELETED>
<DELETED>``Sec. 22502. Authority</DELETED>
<DELETED>    ``(a) In General.--Each State may prepare and maintain a 
State rail plan in accordance with the provisions of this 
subchapter.</DELETED>
<DELETED>    ``(b) Requirements.--For the preparation and periodic 
revision of a State rail plan, a State shall--</DELETED>
        <DELETED>    ``(1) establish or designate a State rail 
        transportation authority to prepare, maintain, coordinate, and 
        administer the plan;</DELETED>
        <DELETED>    ``(2) establish or designate a State rail plan 
        approval authority to approve the plan;</DELETED>
        <DELETED>    ``(3) submit the State's approved plan to the 
        Secretary of Transportation for review; and</DELETED>
        <DELETED>    ``(4) revise and resubmit a State-approved plan no 
        less frequently than once every 5 years for reapproval by the 
        Secretary.</DELETED>
<DELETED>``Sec. 22503. Purposes</DELETED>
<DELETED>    ``(a) Purposes.--The purposes of a State rail plan are as 
follows:</DELETED>
        <DELETED>    ``(1) To set forth State policy involving freight 
        and passenger rail transportation, including commuter rail 
        operations, in the State.</DELETED>
        <DELETED>    ``(2) To establish the period covered by the State 
        rail plan.</DELETED>
        <DELETED>    ``(3) To present priorities and strategies to 
        enhance rail service in the State that benefits the 
        public.</DELETED>
        <DELETED>    ``(4) To serve as the basis for Federal and State 
        rail investments within the State.</DELETED>
<DELETED>    ``(b) Coordination.--A State rail plan shall be 
coordinated with other State transportation planning goals and programs 
and set forth rail transportation's role within the State 
transportation system.</DELETED>
<DELETED>``Sec. 22504. Transparency; coordination; review</DELETED>
<DELETED>    ``(a) Preparation.--A State shall provide adequate and 
reasonable notice and opportunity for comment and other input to the 
public, rail carriers, commuter and transit authorities operating in, 
or affected by rail operations within the State, units of local 
government, and other interested parties in the preparation and review 
of its State rail plan.</DELETED>
<DELETED>    ``(b) Intergovernmental Coordination.--A State shall 
review the freight and passenger rail service activities and 
initiatives by regional planning agencies, regional transportation 
authorities, and municipalities within the State, or in the region in 
which the State is located, while preparing the plan, and shall include 
any recommendations made by such agencies, authorities, and 
municipalities as deemed appropriate by the State.</DELETED>
<DELETED>``Sec. 22505. Content</DELETED>
<DELETED>    ``(a) In General.--Each State rail plan shall contain the 
following:</DELETED>
        <DELETED>    ``(1) An inventory of the existing overall rail 
        transportation system and rail services and facilities within 
        the State and an analysis of the role of rail transportation 
        within the State's surface transportation system.</DELETED>
        <DELETED>    ``(2) A review of all rail lines within the State, 
        including proposed high speed rail corridors and significant 
        rail line segments not currently in service.</DELETED>
        <DELETED>    ``(3) A statement of the State's passenger rail 
        service objectives, including minimum service levels, for rail 
        transportation routes in the State.</DELETED>
        <DELETED>    ``(4) A general analysis of rail's transportation, 
        economic, and environmental impacts in the State, including 
        congestion mitigation, trade and economic development, air 
        quality, land-use, energy-use, and community impacts.</DELETED>
        <DELETED>    ``(5) A long-range rail investment program for 
        current and future freight and passenger infrastructure in the 
        State that meets the requirements of subsection (b).</DELETED>
        <DELETED>    ``(6) A statement of public financing issues for 
        rail projects and service in the State, including a list of 
        current and prospective public capital and operating funding 
        resources, public subsidies, State taxation, and other 
        financial policies relating to rail infrastructure 
        development.</DELETED>
        <DELETED>    ``(7) An identification of rail infrastructure 
        issues within the State that reflects consultation with all 
        relevant stake holders.</DELETED>
        <DELETED>    ``(8) A review of major passenger and freight 
        intermodal rail connections and facilities within the State, 
        including seaports, and prioritized options to maximize service 
        integration and efficiency between rail and other modes of 
        transportation within the State.</DELETED>
        <DELETED>    ``(9) A review of publicly funded projects within 
        the State to improve rail transportation safety and security, 
        including all major projects funded under section 130 of title 
        23.</DELETED>
        <DELETED>    ``(10) A performance evaluation of passenger rail 
        services operating in the State, including possible 
        improvements in those services, and a description of strategies 
        to achieve those improvements.</DELETED>
        <DELETED>    ``(11) A compilation of studies and reports on 
        high-speed rail corridor development within the State not 
        included in a previous plan under this subchapter, and a plan 
        for funding any recommended development of such corridors in 
        the State.</DELETED>
        <DELETED>    ``(12) A statement that the State is in compliance 
        with the requirements of section 22102.</DELETED>
<DELETED>    ``(b) Long-Range Service and Investment Program.--
</DELETED>
        <DELETED>    ``(1) Program content.--A long-range rail 
        investment program included in a State rail plan under 
        subsection (a)(5) shall include the following 
        matters:</DELETED>
                <DELETED>    ``(A) A list of any rail capital projects 
                expected to be undertaken or supported in whole or in 
                part by the State.</DELETED>
                <DELETED>    ``(B) A detailed funding plan for those 
                projects.</DELETED>
        <DELETED>    ``(2) Project list content.--The list of rail 
        capital projects shall contain--</DELETED>
                <DELETED>    ``(A) a description of the anticipated 
                public and private benefits of each such project; 
                and</DELETED>
                <DELETED>    ``(B) a statement of the correlation 
                between--</DELETED>
                        <DELETED>    ``(i) public funding contributions 
                        for the projects; and</DELETED>
                        <DELETED>    ``(ii) the public 
                        benefits.</DELETED>
        <DELETED>    ``(3) Considerations for project list.--In 
        preparing the list of freight and intercity passenger rail 
        capital projects, a State rail transportation authority should 
        take into consideration the following matters:</DELETED>
                <DELETED>    ``(A) Contributions made by non-Federal 
                and non-State sources through user fees, matching 
                funds, or other private capital involvement.</DELETED>
                <DELETED>    ``(B) Rail capacity and congestion 
                effects.</DELETED>
                <DELETED>    ``(C) Effects to highway, aviation, and 
                maritime capacity, congestion, or safety.</DELETED>
                <DELETED>    ``(D) Regional balance.</DELETED>
                <DELETED>    ``(E) Environmental impact.</DELETED>
                <DELETED>    ``(F) Economic and employment 
                impacts.</DELETED>
                <DELETED>    ``(G) Projected ridership and other 
                service measures for passenger rail projects.</DELETED>
<DELETED>``Sec. 22506. Review</DELETED>
<DELETED>    The Secretary shall prescribe procedures for States to 
submit State rail plans for review under this title, including 
standardized format and data requirements.''.</DELETED>
<DELETED>    (b) Conforming Amendments.--</DELETED>
        <DELETED>    (1) The table of chapters for the title is amended 
        by inserting the following after the item relating to chapter 
        223:</DELETED>

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

</DELETED>SECTION 1. SHORT TITLE.

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

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

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

SEC. 3. TABLE OF CONTENTS.

    The table of contents for this Act is as follows:

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

                        TITLE I--AUTHORIZATIONS

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

          TITLE II--AMTRAK REFORM AND OPERATIONAL IMPROVEMENTS

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

               TITLE III--INTERCITY PASSENGER RAIL POLICY

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

              TITLE IV--PASSENGER RAIL SECURITY AND SAFETY

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

                      TITLE V--RAIL BOND AUTHORITY

Sec. 501. Intercity rail facility bonds.

                        TITLE I--AUTHORIZATIONS

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

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

SEC. 102. AUTHORIZATION FOR THE FEDERAL RAILROAD ADMINISTRATION.

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

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

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

SEC. 104. EXCESS RAILROAD RETIREMENT.

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

SEC. 105. OTHER AUTHORIZATIONS.

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

          TITLE II--AMTRAK REFORM AND OPERATIONAL IMPROVEMENTS

SEC. 201. NATIONAL RAILROAD PASSENGER TRANSPORTATION SYSTEM DEFINED.

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

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

SEC. 202. AMTRAK BOARD OF DIRECTORS.

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

SEC. 203. ESTABLISHMENT OF IMPROVED FINANCIAL ACCOUNTING SYSTEM.

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

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

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

SEC. 205. ESTABLISHMENT OF GRANT PROCESS.

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

SEC. 206. STATE-SUPPORTED ROUTES.

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

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

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

SEC. 208. METRICS AND STANDARDS.

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

SEC. 209. PASSENGER TRAIN PERFORMANCE.

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

SEC. 210. LONG DISTANCE ROUTES.

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

``24710. Long distance routes.''.

SEC. 211. ALTERNATE PASSENGER RAIL SERVICE PROGRAM.

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

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

SEC. 212. EMPLOYEE TRANSITION ASSISTANCE.

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

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

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

SEC. 214. NORTHEAST CORRIDOR INFRASTRUCTURE AND OPERATIONS 
              IMPROVEMENTS.

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

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

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

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

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

SEC. 217. INCENTIVE PAY.

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

SEC. 218. ACCESS TO AMTRAK EQUIPMENT AND SERVICES.

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

SEC. 219. GENERAL AMTRAK PROVISIONS.

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

SEC. 220. PRIVATE SECTOR FUNDING OF PASSENGER TRAINS.

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

SEC. 221. ON-BOARD SERVICE IMPROVEMENTS.

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

               TITLE III--INTERCITY PASSENGER RAIL POLICY

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

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

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

``Sec.
``24401. Definitions.
``24402. Capital investment grants to support intercity passenger rail 
                            service.
``24403. Project management oversight.
``24404. Use of capital grants to finance first-dollar liability of 
                            grant project.
``24405. Grant conditions.
``Sec. 24401. Definitions
    ``In this subchapter:
            ``(1) Applicant.--The term `applicant' means a State 
        (including the District of Columbia), a group of States, an 
        Interstate Compact, or a public agency established by one or 
        more States and having responsibility for providing intercity 
        passenger rail service.
            ``(2) Capital project.--The term `capital project' means a 
        project or program in a State rail plan developed under chapter 
        225 of this title for--
                    ``(A) acquiring, constructing, improving, or 
                inspecting equipment or a facility for use in or for 
                the primary benefit of intercity passenger rail 
                service, expenses incidental to the acquisition or 
                construction (including designing, engineering, 
                location surveying, mapping, environmental studies, and 
                acquiring rights-of-way), payments for the capital 
                portions of rail trackage rights agreements, highway-
                rail grade crossing improvements related to intercity 
                passenger rail service, security, mitigating 
                environmental impacts, communication and signalization 
                improvements, relocation assistance, acquiring 
                replacement housing sites, and acquiring, constructing, 
                relocating, and rehabilitating replacement housing;
                    ``(B) rehabilitating, remanufacturing or 
                overhauling rail rolling stock and facilities used 
                primarily in intercity passenger rail service;
                    ``(C) costs associated with developing State rail 
                plans; and
                    ``(D) the first-dollar liability costs for 
                insurance related to the provision of intercity 
                passenger rail service under section 24404.
            ``(3) Intercity passenger rail service.--The term 
        `intercity passenger rail service' means transportation 
        services with the primary purpose of passenger transportation 
        between towns, cities and metropolitan areas by rail, including 
        high-speed rail, as defined in section 24102 of title 49, 
        United States Code.
``Sec. 24402. Capital investment grants to support intercity passenger 
              rail service.
    ``(a) General Authority.--
            ``(1) The Secretary of Transportation may make grants under 
        this section to an applicant to assist in financing the capital 
        costs of facilities and equipment necessary to provide or 
        improve intercity passenger rail transportation.
            ``(2) The Secretary shall require that a grant under this 
        section be subject to the terms, conditions, requirements, and 
        provisions the Secretary decides are necessary or appropriate 
        for the purposes of this section, including requirements for 
        the disposition of net increases in value of real property 
        resulting from the project assisted under this section and 
        shall prescribe procedures and schedules for the awarding of 
        grants under this title, including application and 
        qualification procedures and a record of decision on applicant 
        eligibility. The Secretary shall issue a final rule 
        establishing such procedures not later than 90 days after the 
        date of enactment of the Passenger Rail Investment and 
        Improvement Act of 2005.
    ``(b) Project as Part of State Rail Plan.--
            ``(1) The Secretary may not approve a grant for a project 
        under this section unless the Secretary finds that the project 
        is part of a State rail plan developed under chapter 225 of 
        this title and that the applicant or recipient has or will have 
        the legal, financial, and technical capacity to carry out the 
        project, satisfactory continuing control over the use of the 
        equipment or facilities, and the capability and willingness to 
        maintain the equipment or facilities.
            ``(2) An applicant shall provide sufficient information 
        upon which the Secretary can make the findings required by this 
        subsection.
            ``(3) If an applicant has not selected the proposed 
        operator of its service competitively, the applicant shall 
        provide written justification to the Secretary showing why the 
        proposed operator is the best, taking into account price and 
        other factors, and that use of the proposed operator will not 
        unnecessarily increase the cost of the project.
    ``(c) Project Selection Criteria.--The Secretary, in selecting the 
recipients of financial assistance to be provided under subsection (a), 
shall--
            ``(1) require that each proposed project meet all safety 
        and security requirements that are applicable to the project 
        under law;
            ``(2) give preference to projects with high levels of 
        estimated ridership, increased on-time performance, reduced 
        trip time, additional service frequency, or other significant 
        service enhancements as measured against minimum standards 
        developed under section 208 of the Passenger Rail Investment 
        and Improvement Act of 2005;
            ``(3) encourage intermodal connectivity through projects 
        that provide direct connections between train stations, 
        airports, bus terminals, subway stations, ferry ports, and 
        other modes of transportation;
            ``(4) ensure that each project is compatible with, and is 
        operated in conformance with--
                    ``(A) plans developed pursuant to the requirements 
                of section 135 of title 23, United States Code; and
                    ``(B) the national rail plan (if it is available); 
                and
            ``(5) favor the following kinds of projects:
                    ``(A) Projects that are expected to have a 
                significant favorable impact on air or highway traffic 
                congestion, capacity, or safety.
                    ``(B) Projects that also improve freight or 
                commuter rail operations.
                    ``(C) Projects that have significant environmental 
                benefits.
                    ``(D) Projects that are--
                            ``(i) at a stage of preparation that all 
                        pre-commencement compliance with environmental 
                        protection requirements has already been 
                        completed; and
                            ``(ii) ready to be commenced.
                    ``(E) Projects with positive economic and 
                employment impacts.
                    ``(F) Projects that encourage the use of positive 
                train control technologies.
                    ``(G) Projects that have commitments of funding 
                from non-Federal Government sources in a total amount 
                that exceeds the minimum amount of the non-Federal 
                contribution required for the project.
                    ``(H) Projects that involve donated property 
                interests or services.
                    ``(I) Projects that are identified by the Surface 
                Transportation Board as necessary to improve the on 
                time performance and reliability of intercity passenger 
                rail under section 24308(f).
    ``(d) Amtrak Eligibility.--To receive a grant under this section, 
the National Railroad Passenger Corporation may enter into a 
cooperative agreement with 1 or more States to carry out 1 or more 
projects on a State rail plan's ranked list of rail capital projects 
developed under section 22504(a)(5) of this title.
    ``(e) Letters of Intent, Full Funding Grant Agreements, and Early 
Systems Work Agreements.--
            ``(1)(A) The Secretary may issue a letter of intent to an 
        applicant announcing an intention to obligate, for a major 
        capital project under this section, an amount from future 
        available budget authority specified in law that is not more 
        than the amount stipulated as the financial participation of 
        the Secretary in the project.
                    ``(B) At least 30 days before issuing a letter 
                under subparagraph (A) of this paragraph or entering 
                into a full funding grant agreement, the Secretary 
                shall notify in writing the Committee on Transportation 
                and Infrastructure of the House of Representatives and 
                the Committee on Commerce, Science, and Transportation 
                of the Senate and the House and Senate Committees on 
                Appropriations of the proposed letter or agreement. The 
                Secretary shall include with the notification a copy of 
                the proposed letter or agreement as well as the 
                evaluations and ratings for the project.
                    ``(C) An obligation or administrative commitment 
                may be made only when amounts are appropriated.
            ``(2)(A) The Secretary may make a full funding grant 
        agreement with an applicant. The agreement shall--
                            ``(i) establish the terms of participation 
                        by the United States Government in a project 
                        under this section;
                            ``(ii) establish the maximum amount of 
                        Government financial assistance for the 
                        project;
                            ``(iii) cover the period of time for 
                        completing the project, including a period 
                        extending beyond the period of an 
                        authorization; and
                            ``(iv) D23/make timely and efficient 
                        management of the project easier according to 
                        the law of the United States.
                    `D23/`(B) D23/An agreement under this paragraph 
                obligates an amount of available budget authority 
                specified in law and may include a commitment, 
                contingent on amounts to be specified in law in advance 
                for commitments under this paragraph, to obligate an 
                additional amount from future available budget 
                authority specified in law. The agreement shall state 
                that the contingent commitment is not an obligation of 
                the Government and is subject to the availability of 
                appropriations made by Federal law and to Federal laws 
                in force on or enacted after the date of the contingent 
                commitment. Interest and other financing costs of 
                efficiently carrying out a part of the project within a 
                reasonable time are a cost of carrying out the project 
                under a full funding grant agreement, except that 
                eligible costs may not be more than the cost of the 
                most favorable financing terms reasonably available for 
                the project at the time of borrowing. The applicant 
                shall certify, in a way satisfactory to the Secretary, 
                that the applicant has shown reasonable diligence in 
                seeking the most favorable financing terms.
            ``(3)(A) The Secretary may make an early systems work 
        agreement with an applicant if a record of decision under the 
        National Environmental Policy Act of 1969 (42 U.S.C. 4321 et 
        seq.) has been issued on the project and the Secretary finds 
        there is reason to believe--
                            ``(i) a full funding grant agreement for 
                        the project will be made; and
                            ``(ii) the terms of the work agreement will 
                        promote ultimate completion of the project more 
                        rapidly and at less cost.
                    ``(B) A work agreement under this paragraph 
                obligates an amount of available budget authority 
                specified in law and shall provide for reimbursement of 
                preliminary costs of carrying out the project, 
                including land acquisition, timely procurement of 
                system elements for which specifications are decided, 
                and other activities the Secretary decides are 
                appropriate to make efficient, long-term project 
                management easier. A work agreement shall cover the 
                period of time the Secretary considers appropriate. The 
                period may extend beyond the period of current 
                authorization. Interest and other financing costs of 
                efficiently carrying out the work agreement within a 
                reasonable time are a cost of carrying out the 
                agreement, except that eligible costs may not be more 
                than the cost of the most favorable financing terms 
                reasonably available for the project at the time of 
                borrowing. The applicant shall certify, in a way 
                satisfactory to the Secretary, that the applicant has 
                shown reasonable diligence in seeking the most 
                favorable financing terms. If an applicant does not 
                carry out the project for reasons within the control of 
                the applicant, the applicant shall repay all Government 
                payments made under the work agreement plus reasonable 
                interest and penalty charges the Secretary establishes 
                in the agreement.
            ``(4) The total estimated amount of future obligations of 
        the Government and contingent commitments to incur obligations 
        covered by all outstanding letters of intent, full funding 
        grant agreements, and early systems work agreements may be not 
        more than the amount authorized under section 101(c) of 
        Passenger Rail Investment and Improvement Act of 2005, less an 
        amount the Secretary reasonably estimates is necessary for 
        grants under this section not covered by a letter. The total 
        amount covered by new letters and contingent commitments 
        included in full funding grant agreements and early systems 
        work agreements may be not more than a limitation specified in 
        law.
    ``(f) Federal Share of Net Project Cost.--
            ``(1)(A) Based on engineering studies, studies of economic 
        feasibility, and information on the expected use of equipment 
        or facilities, the Secretary shall estimate the net project 
        cost.
                    ``(B) A grant for the project shall not exceed 80 
                percent of the project net capital cost.
                    ``(C) The Secretary shall give priority in 
                allocating future obligations and contingent 
                commitments to incur obligations to grant requests 
                seeking a lower Federal share of the project net 
                capital cost.
            ``(2) Up to an additional 20 percent of the required non-
        Federal funds may be funded from amounts appropriated to or 
        made available to a department or agency of the Federal 
        Government that are eligible to be expended for transportation.
            ``(3) 50 percent of the average amounts expended by a State 
        or group of States (including the District of Columbia) for 
        capital projects to benefit intercity passenger rail service in 
        fiscal years 2004 and 2005 shall be credited towards the 
        matching requirements for grants awarded under this section. 
        The Secretary may require such information as necessary to 
        verify such expenditures.
            ``(4) 50 percent of the average amounts expended by a State 
        or group of States (including the District of Columbia) in a 
        fiscal year beginning in 2006 for capital projects to benefit 
        intercity passenger rail service or for the operating costs of 
        such service above the average of expenditures made for such 
        service in fiscal years 2004 and 2005 shall be credited towards 
        the matching requirements for grants awarded under this 
        section. The Secretary may require such information as 
        necessary to verify such expenditures.
    ``(g) Undertaking Projects in Advance.--
            ``(1) The Secretary may pay the Federal share of the net 
        capital project cost to an applicant that carries out any part 
        of a project described in this section according to all 
        applicable procedures and requirements if--
                    ``(A) the applicant applies for the payment;
                    ``(B) the Secretary approves the payment; and
                    ``(C) before carrying out the part of the project, 
                the Secretary approves the plans and specifications for 
                the part in the same way as other projects under this 
                section.
            ``(2) The cost of carrying out part of a project includes 
        the amount of interest earned and payable on bonds issued by 
        the applicant to the extent proceeds of the bonds are expended 
        in carrying out the part. However, the amount of interest under 
        this paragraph may not be more than the most favorable interest 
        terms reasonably available for the project at the time of 
        borrowing. The applicant shall certify, in a manner 
        satisfactory to the Secretary, that the applicant has shown 
        reasonable diligence in seeking the most favorable financial 
        terms.
            ``(3) The Secretary shall consider changes in capital 
        project cost indices when determining the estimated cost under 
        paragraph (2) of this subsection.
    ``(h) 2-Year Availability.--Funds appropriated under this section 
shall remain available until expended. If any amount provided as a 
grant under this section is not obligated or expended for the purposes 
described in subsection (a) within 2 years after the date on which the 
State received the grant, such sums shall be returned to the Secretary 
for other intercity passenger rail development projects under this 
section at the discretion of the Secretary.
    ``(i) Public-Private Partnerships.--
            ``(1) In general.--A metropolitan planning organization, 
        State transportation department, or other project sponsor may 
        enter into an agreement with any public, private, or nonprofit 
        entity to cooperatively implement any project funded with a 
        grant under this title.
            ``(2) Forms of participation.--Participation by an entity 
        under paragraph (1) may consist of--
                    ``(A) ownership or operation of any land, facility, 
                locomotive, rail car, vehicle, or other physical asset 
                associated with the project;
                    ``(B) cost-sharing of any project expense;
                    ``(C) carrying out administration, construction 
                management, project management, project operation, or 
                any other management or operational duty associated 
                with the project; and
                    ``(D) any other form of participation approved by 
                the Secretary.
            ``(3) Sub-allocation.--A State may allocate funds under 
        this section to any entity described in paragraph (1).
    ``(j) Special Transportation Circumstances.--In carrying out this 
section, the Secretary shall allocate an appropriate portion of the 
amounts available under this section to provide grants to States--
            ``(1) in which there is no intercity passenger rail service 
        for the purpose of funding freight rail capital projects that 
        are on a State rail plan developed under chapter 225 of this 
        title that provide public benefits (as defined in chapter 225) 
        as determined by the Secretary; or
            ``(2) in which the rail transportation system is not 
        physically connected to rail systems in the continental United 
        States or may not otherwise qualify for a grant under this 
        section due to the unique characteristics of the geography of 
        that State or other relevant considerations, for the purpose of 
        funding transportation-related capital projects.
``Sec. 24403. Project management oversight
    ``(a) Project Management Plan Requirements.--To receive Federal 
financial assistance for a major capital project under this subchapter, 
an applicant must prepare and carry out a project management plan 
approved by the Secretary of Transportation. The plan shall provide 
for--
            ``(1) adequate recipient staff organization with well-
        defined reporting relationships, statements of functional 
        responsibilities, job descriptions, and job qualifications;
            ``(2) a budget covering the project management 
        organization, appropriate consultants, property acquisition, 
        utility relocation, systems demonstration staff, audits, and 
        miscellaneous payments the recipient may be prepared to 
        justify;
            ``(3) a construction schedule for the project;
            ``(4) a document control procedure and recordkeeping 
        system;
            ``(5) a change order procedure that includes a documented, 
        systematic approach to handling the construction change orders;
            ``(6) organizational structures, management skills, and 
        staffing levels required throughout the construction phase;
            ``(7) quality control and quality assurance functions, 
        procedures, and responsibilities for construction, system 
        installation, and integration of system components;
            ``(8) material testing policies and procedures;
            ``(9) internal plan implementation and reporting 
        requirements;
            ``(10) criteria and procedures to be used for testing the 
        operational system or its major components;
            ``(11) periodic updates of the plan, especially related to 
        project budget and project schedule, financing, and ridership 
        estimates; and
            ``(12) the recipient's commitment to submit a project 
        budget and project schedule to the Secretary each month.
    ``(b) Secretarial Oversight.--
            ``(1) The Secretary may use no more than 0.5 percent of 
        amounts made available in a fiscal year for capital projects 
        under this subchapter to enter into contracts to oversee the 
        construction of such projects.
            ``(2) The Secretary may use amounts available under 
        paragraph (1) of this subsection to make contracts for safety, 
        procurement, management, and financial compliance reviews and 
        audits of a recipient of amounts under paragraph (1).
            ``(3) The Federal Government shall pay the entire cost of 
        carrying out a contract under this subsection.
    ``(c) Access to Sites and Records.--Each recipient of assistance 
under this subchapter shall provide the Secretary and a contractor the 
Secretary chooses under subsection (c) of this section with access to 
the construction sites and records of the recipient when reasonably 
necessary.
``Sec. 24404. Use of capital grants to finance first-dollar liability 
              of grant project
    ``Notwithstanding the requirements of section 24402 of this 
subchapter, the Secretary of Transportation may approve the use of 
capital assistance under this subchapter to fund self-insured retention 
of risk for the first tier of liability insurance coverage for rail 
passenger service associated with the capital assistance grant, but the 
coverage may not exceed $20,000,000 per occurrence or $20,000,000 in 
aggregate per year.
``Sec. 24405. Grant conditions
    ``(a) Domestic Buying Preference.--
            ``(1) Requirement.--
                    ``(A) D23/In general.--In carrying out a project 
                funded in whole or in part with a grant under this 
                title, the grant recipient shall purchase only--
                            ``(i) unmanufactured articles, material, 
                        and supplies mined or produced in the United 
                        States; or
                            ``(ii) manufactured articles, material, and 
                        supplies manufactured in the United States 
                        substantially from articles, material, and 
                        supplies mined, produced, or manufactured in 
                        the United States.
                    ``(B) De minimis amount.--Subparagraph (1) applies 
                only to a purchase in an total amount that is not less 
                than $1,000,000.
            ``(2) Exemptions.--On application of a recipient, the 
        Secretary may exempt a recipient from the requirements of this 
        subsection if the Secretary decides that, for particular 
        articles, material, or supplies--
                    ``(A) such requirements are inconsistent with the 
                public interest;
                    ``(B) the cost of imposing the requirements is 
                unreasonable; or
                    ``(C) the articles, material, or supplies, or the 
                articles, material, or supplies from which they are 
                manufactured, are not mined, produced, or manufactured 
                in the United States in sufficient and reasonably 
                available commercial quantities and are not of a 
                satisfactory quality.
            ``(3) United States defined.--In this subsection, the term 
        `the United States' means the States, territories, and 
        possessions of the United States and the District of Columbia.
    ``(b) Operators Deemed Rail Carriers and Employers for Certain 
Purposes.--A person that conducts rail operations over rail 
infrastructure constructed or improved with funding provided in whole 
or in part in a grant made under this title--
            ``(1) shall be considered a rail carrier as defined in 
        section 10102(5) of this title for purposes of this title and 
        any other statute that adopts the that definition or in which 
        that definition applies;
            ``(2) shall be considered an employer for purposes of the 
        Railroad Retirement Act of 1974 (45 U.S.C. 231 et seq.); and
            ``(3) shall be considered a carrier for purposes of the 
        Railway Labor Act (43 U.S.C. 151 et seq.).
    ``(c) Grant Conditions.--The Secretary shall require as a condition 
of making any grant under this title that includes the improvement or 
use of rights-of-way owned by a railroad that--
            ``(1) a written agreement exist between the applicant and 
        the railroad regarding such use and ownership, including--
                    ``(A) any compensation for such use;
                    ``(B) assurances regarding the adequacy of 
                infrastructure capacity to accommodate both existing 
                and future freight and passenger operations; and
                    ``(C) an assurance by the railroad that collective 
                bargaining agreements with the railroad's employees 
                (including terms regulating the contracting of work) 
                will remain in full force and effect according to their 
                terms for work performed by the railroad on the 
                railroad transportation corridor; and
            ``(2) the applicant agrees to comply with--
                    ``(A) the standards of section 24312 of this title, 
                as such section was in effect on September 1, 2003, 
                with respect to the project in the same manner that the 
                National Railroad Passenger Corporation is required to 
                comply with those standards for construction work 
                financed under an agreement made under section 24308(a) 
                of this title; and
                    ``(B) the protective arrangements established under 
                section 504 of the Railroad Revitalization and 
                Regulatory Reform Act of 1976 (45 U.S.C. 836) with 
                respect to employees affected by actions taken in 
                connection with the project to be financed in whole or 
                in part by grants under this subchapter.
    ``(d) Replacement of Existing Intercity Passenger Rail Service.--
            ``(1) Collective bargaining agreement for intercity 
        passenger rail projects.--Any entity providing intercity 
        passenger railroad transportation that begins operations after 
        the date of enactment of this Act on a project funded in whole 
        or in part by grants made under this title and replaces 
        intercity rail passenger service that was provided by Amtrak, 
        unless such service was provided solely by Amtrak to another 
        entity, as of such date shall enter into an agreement with the 
        authorized bargaining agent or agents for adversely affected 
        employees of the predecessor provider that--
                    ``(A) gives each such qualified employee of the 
                predecessor provider priority in hiring according to 
                the employee's seniority on the predecessor provider 
                for each position with the replacing entity that is in 
                the employee's craft or class and is available within 3 
                years after the termination of the service being 
                replaced;
                    ``(B) establishes a procedure for notifying such an 
                employee of such positions;
                    ``(C) establishes a procedure for such an employee 
                to apply for such positions; and
                    ``(D) establishes rates of pay, rules, and working 
                conditions.
            ``(2) Immediate replacement service.--
                    ``(A) Negotiations.--If the replacement of 
                preexisting intercity rail passenger service occurs 
                concurrent with or within a reasonable time before the 
                commencement of the replacing entity's rail passenger 
                service, the replacing entity shall give written notice 
                of its plan to replace existing rail passenger service 
                to the authorized collective bargaining agent or agents 
                for the potentially adversely affected employees of the 
                predecessor provider at least 90 days before the date 
                on which it plans to commence service. Within 5 days 
                after the date of receipt of such written notice, 
                negotiations between the replacing entity and the 
                collective bargaining agent or agents for the employees 
                of the predecessor provider shall commence for the 
                purpose of reaching agreement with respect to all 
                matters set forth in subparagraphs (A) through (D) of 
                paragraph (1). The negotiations shall continue for 30 
                days or until an agreement is reached, whichever is 
                sooner. If at the end of 30 days the parties have not 
                entered into an agreement with respect to all such 
                matters, the unresolved issues shall be submitted for 
                arbitration in accordance with the procedure set forth 
                in subparagraph (B).
                    ``(B) Arbitration.--If an agreement has not been 
                entered into with respect to all matters set forth in 
                subparagraphs (A) through (D) of paragraph (1) as 
                described in subparagraph (A) of this paragraph, the 
                parties shall select an arbitrator. If the parties are 
                unable to agree upon the selection of such arbitrator 
                within 5 days, either or both parties shall notify the 
                National Mediation Board, which shall provide a list of 
                seven arbitrators with experience in arbitrating rail 
                labor protection disputes. Within 5 days after such 
                notification, the parties shall alternately strike 
                names from the list until only 1 name remains, and that 
                person shall serve as the neutral arbitrator. Within 45 
                days after selection of the arbitrator, the arbitrator 
                shall conduct a hearing on the dispute and shall render 
                a decision with respect to the unresolved issues among 
                the matters set forth in subparagraphs (A) through (D) 
                of paragraph (1). This decision shall be final, 
                binding, and conclusive upon the parties. The salary 
                and expenses of the arbitrator shall be borne equally 
                by the parties; all other expenses shall be paid by the 
                party incurring them.
            ``(3) Service commencement.--A replacing entity under this 
        subsection shall commence service only after an agreement is 
        entered into with respect to the matters set forth in 
        subparagraphs (A) through (D) of paragraph (1) or the decision 
        of the arbitrator has been rendered.
            ``(4) Subsequent replacement of service.--If the 
        replacement of existing rail passenger service takes place 
        within 3 years after the replacing entity commences intercity 
        passenger rail service, the replacing entity and the collective 
        bargaining agent or agents for the adversely affected employees 
        of the predecessor provider shall enter into an agreement with 
        respect to the matters set forth in subparagraphs (A) through 
        (D) of paragraph (1). If the parties have not entered into an 
        agreement with respect to all such matters within 60 days after 
        the date on which the replacing entity replaces the predecessor 
        provider, the parties shall select an arbitrator using the 
        procedures set forth in paragraph (2)(B), who shall, within 20 
        days after the commencement of the arbitration, conduct a 
        hearing and decide all unresolved issues. This decision shall 
        be final, binding, and conclusive upon the parties.
    ``(e) Inapplicability to Certain Rail Operations.-- Nothing in this 
section applies to--
            ``(1) commuter rail passenger transportation (as defined in 
        section 24102(4) of this title) operations of a State or local 
        government authority (as those terms are defined in section 
        5302(11) and (6), respectively, of this title) eligible to 
        receive financial assistance under section 5307 of this title, 
        or to its contractor performing services in connection with 
        commuter rail passenger operations (as so defined);
            ``(2) the Alaska Railroad or its contractors; or
            ``(3) the National Railroad Passenger Corporation's access 
        rights to railroad rights of way and facilities under current 
        law for projects funded under this title where train operating 
        speeds do not exceed 79 miles per hour.''.
    (b) Conforming Amendments.--
            (1) The table of chapters for the title is amended by 
        inserting the following after the item relating to chapter 243:

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

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

SEC. 302. STATE RAIL PLANS.

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

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

        ``Sec.
        ``22501. Definitions.
        ``22502. Authority.
        ``22503. Purposes.
        ``22504. Transparency; coordination; review.
        ``22505. Content.
        ``22506. Review.
``Sec. 22501. Definitions
    ``In this subchapter:
            ``(1) Private benefit.--
                    ``(A) In general.--The term `private benefit'--
                            ``(i) means a benefit accrued to a person 
                        or private entity, other than the National 
                        Railroad Passenger Corporation, that directly 
                        improves the economic and competitive condition 
                        of that person or entity through improved 
                        assets, cost reductions, service improvements, 
                        or any other means as defined by the Secretary; 
                        and
                            ``(ii) shall be determined on a project-by-
                        project basis, based upon an agreement between 
                        the parties.
                    ``(B) Consultation.--The Secretary may seek the 
                advice of the States and rail carriers in further 
                defining this term.
            ``(2) Public benefit.--
                    ``(A) In general.--The term `public benefit'--
                            ``(i) means a benefit accrued to the public 
                        in the form of enhanced mobility of people or 
                        goods, environmental protection or enhancement, 
                        congestion mitigation, enhanced trade and 
                        economic development, improved air quality or 
                        land use, more efficient energy use, enhanced 
                        public safety or security, reduction of public 
                        expenditures due to improved transportation 
                        efficiency or infrastructure preservation, and 
                        any other positive community effects as defined 
                        by the Secretary; and
                            ``(ii) shall be determined on a project-by-
                        project basis, based upon an agreement between 
                        the parties.
                    ``(B) Consultation.--The Secretary may seek the 
                advice of the States and rail carriers in further 
                defining this term.
            ``(3) State.--The term `State' means any of the 50 States 
        and the District of Columbia.
            ``(4) State rail transportation authority.--The term `State 
        rail transportation authority' means the State agency or 
        official responsible under the direction of the Governor of the 
        State or a State law for preparation, maintenance, 
        coordination, and administration of the State rail plan.''.
``Sec. 22502. Authority
    ``(a) In General.--Each State may prepare and maintain a State rail 
plan in accordance with the provisions of this subchapter.
    ``(b) Requirements.--For the preparation and periodic revision of a 
State rail plan, a State shall--
            ``(1) establish or designate a State rail transportation 
        authority to prepare, maintain, coordinate, and administer the 
        plan;
            ``(2) establish or designate a State rail plan approval 
        authority to approve the plan;
            ``(3) submit the State's approved plan to the Secretary of 
        Transportation for review; and
            ``(4) revise and resubmit a State-approved plan no less 
        frequently than once every 5 years for reapproval by the 
        Secretary.
``Sec. 22503. Purposes
    ``(a) Purposes.--The purposes of a State rail plan are as follows:
            ``(1) To set forth State policy involving freight and 
        passenger rail transportation, including commuter rail 
        operations, in the State.
            ``(2) To establish the period covered by the State rail 
        plan.
            ``(3) To present priorities and strategies to enhance rail 
        service in the State that benefits the public.
            ``(4) To serve as the basis for Federal and State rail 
        investments within the State.
    ``(b) Coordination.--A State rail plan shall be coordinated with 
other State transportation planning goals and programs and set forth 
rail transportation's role within the State transportation system.
``Sec. 22504. Transparency; coordination; review
    ``(a) Preparation.--A State shall provide adequate and reasonable 
notice and opportunity for comment and other input to the public, rail 
carriers, commuter and transit authorities operating in, or affected by 
rail operations within the State, units of local government, and other 
interested parties in the preparation and review of its State rail 
plan.
    ``(b) Intergovernmental Coordination.--A State shall review the 
freight and passenger rail service activities and initiatives by 
regional planning agencies, regional transportation authorities, and 
municipalities within the State, or in the region in which the State is 
located, while preparing the plan, and shall include any 
recommendations made by such agencies, authorities, and municipalities 
as deemed appropriate by the State.
``Sec. 22505. Content
    ``(a) In General.--Each State rail plan shall contain the 
following:
            ``(1) An inventory of the existing overall rail 
        transportation system and rail services and facilities within 
        the State and an analysis of the role of rail transportation 
        within the State's surface transportation system.
            ``(2) A review of all rail lines within the State, 
        including proposed high speed rail corridors and significant 
        rail line segments not currently in service.
            ``(3) A statement of the State's passenger rail service 
        objectives, including minimum service levels, for rail 
        transportation routes in the State.
            ``(4) A general analysis of rail's transportation, 
        economic, and environmental impacts in the State, including 
        congestion mitigation, trade and economic development, air 
        quality, land-use, energy-use, and community impacts.
            ``(5) A long-range rail investment program for current and 
        future freight and passenger infrastructure in the State that 
        meets the requirements of subsection (b).
            ``(6) A statement of public financing issues for rail 
        projects and service in the State, including a list of current 
        and prospective public capital and operating funding resources, 
        public subsidies, State taxation, and other financial policies 
        relating to rail infrastructure development.
            ``(7) An identification of rail infrastructure issues 
        within the State that reflects consultation with all relevant 
        stake holders.
            ``(8) A review of major passenger and freight intermodal 
        rail connections and facilities within the State, including 
        seaports, and prioritized options to maximize service 
        integration and efficiency between rail and other modes of 
        transportation within the State.
            ``(9) A review of publicly funded projects within the State 
        to improve rail transportation safety and security, including 
        all major projects funded under section 130 of title 23.
            ``(10) A performance evaluation of passenger rail services 
        operating in the State, including possible improvements in 
        those services, and a description of strategies to achieve 
        those improvements.
            ``(11) A compilation of studies and reports on high-speed 
        rail corridor development within the State not included in a 
        previous plan under this subchapter, and a plan for funding any 
        recommended development of such corridors in the State.
            ``(12) A statement that the State is in compliance with the 
        requirements of section 22102.
    ``(b) Long-Range Service and Investment Program.--
            ``(1) Program content.--A long-range rail investment 
        program included in a State rail plan under subsection (a)(5) 
        shall include the following matters:
                    ``(A) A list of any rail capital projects expected 
                to be undertaken or supported in whole or in part by 
                the State.
                    ``(B) A detailed funding plan for those projects.
            ``(2) Project list content.--The list of rail capital 
        projects shall contain--
                    ``(A) a description of the anticipated public and 
                private benefits of each such project; and
                    ``(B) a statement of the correlation between--
                            ``(i) public funding contributions for the 
                        projects; and
                            ``(ii) the public benefits.
            ``(3) Considerations for project list.--In preparing the 
        list of freight and intercity passenger rail capital projects, 
        a State rail transportation authority should take into 
        consideration the following matters:
                    ``(A) Contributions made by non-Federal and non-
                State sources through user fees, matching funds, or 
                other private capital involvement.
                    ``(B) Rail capacity and congestion effects.
                    ``(C) Effects to highway, aviation, and maritime 
                capacity, congestion, or safety.
                    ``(D) Regional balance.
                    ``(E) Environmental impact.
                    ``(F) Economic and employment impacts.
                    ``(G) Projected ridership and other service 
                measures for passenger rail projects.
``Sec. 22506. Review
    The Secretary shall prescribe procedures for States to submit State 
rail plans for review under this title, including standardized format 
and data requirements.''.
    (b) Conforming Amendments.--
            (1) The table of chapters for the title is amended by 
        inserting the following after the item relating to chapter 223:

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

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

SEC. 303. NEXT GENERATION CORRIDOR TRAIN EQUIPMENT POOL.

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

SEC. 304. FEDERAL RAIL POLICY.

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

SEC. 305. RAIL COOPERATIVE RESEARCH PROGRAM.

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

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

              TITLE IV--PASSENGER RAIL SECURITY AND SAFETY

SEC. 401. SYSTEMWIDE AMTRAK SECURITY UPGRADES.

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

SEC. 402. FIRE AND LIFE-SAFETY IMPROVEMENTS.

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

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

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

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

SEC. 404. NORTHERN BORDER RAIL PASSENGER REPORT.

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

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

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

                      TITLE V--RAIL BOND AUTHORITY

SEC. 501. INTERCITY RAIL FACILITY BONDS.

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

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

109th CONGRESS

  1st Session

                                S. 1516

                          [Report No. 109-143]

_______________________________________________________________________

                                 A BILL

             To reauthorize Amtrak, and for other purposes.

_______________________________________________________________________

                            October 18, 2005

                       Reported with an amendment