[Congressional Record Volume 148, Number 88 (Thursday, June 27, 2002)]
[Extensions of Remarks]
[Page E1170]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




                THE EMERGENCY DIRECTED RAIL SERVICE ACT

                                 ______
                                 

                             HON. DON YOUNG

                               of alaska

                    in the house of representatives

                        Wednesday, June 26, 2002

  Mr. YOUNG of Alaska. Mr. Speaker, today I introduce the Emergency 
Directed Rail Service Act. This legislation is intended to prepare the 
nation for the possibility that Amtrak will follow through on its 
threat to shut down. This bill is part of my effort to make sure the 
country is as prepared as possible should that shutdown occur.
  Members are no doubt aware that Amtrak is in an extremely desperate 
financial situation. Amtrak contends it needs $200 million in 
additional cash or it will cease operations on or about July 1, 2002. 
Although the Administration is currently considering an Amtrak 
application to use the Railroad Rehabilitation and Infrastructure 
Financing (RRIF) loan and loan guarantee program, it is doubtful Amtrak 
qualifies under the statute, under the formal regulations that govern 
the program, or under the informal rules imposed by the Department of 
Transportation and the Office of Management and Budget.
  Similarly, although I would support an appropriation under the right 
conditions to help Amtrak in the short-term while the Congress and the 
Administration address Amtrak for the long-term, it is unclear whether 
the appropriations process will be able to provide Amtrak any funds 
before July 1, 2002.
  I am particularly concerned about the effect on freight movements in 
the Northeast and on commuter operations around the country and 
consequently on our national economy. An Amtrak shutdown could 
adversely affect the economy in the Northeast United States because 
considerable freight would not be able to get to its destination, 
especially plants where the Northeast Corridor is the only rail access. 
Moreover, commuters in the Northeast and around the country may not be 
able to get to work either because the commuter authority operates on 
Amtrak infrastructure or because the commuter authority uses Amtrak 
employees to operate or maintain its trains.
  Accordingly, on Monday I wrote Linda Morgan, the Chairman of the 
Surface Transportation Board, and asked whether the Board had the power 
to direct freight and commuter service that would be adversely affected 
by an Amtrak shutdown.
  Ms. Morgan responded yesterday that the STB was unclear whether it 
would have the power to direct freight and commuter service in the 
event of an Amtrak shutdown and that its emergency powers have ``never 
been tested before in this context . . . and . . . could be challenged 
in court.''
  This country needs someone to have the power to address the fallout 
on freight railroads and commuters if Amtrak shuts down. The 
legislation I introduce today does just that. It makes it clear that 
the STB has the authority it needs to act in the event Amtrak ceases 
service.
  In particular, the bill would give the STB the authority to order the 
continued maintenance, signaling, and dispatching of the Northeast 
Corridor.
  It would give the STB the authority to use federal funds to 
compensate the entity that conducts these services and to indemnify it 
with respect to any increased liability exposure.
  It would also authorize the STB to direct service and to provide 
interim financial assistance to commuter operations around the country 
affected by an Amtrak shutdown.
  Further, current law requires that to the extent possible the Amtrak 
employees who already perform the work should do the work required by 
the directed service.
  A final word of caution. I realize this bill addresses provisions of 
law relating to the STB and that there are interests out there who will 
want to attach other STB-related amendments to it. I call on them not 
to do so. This bill addresses a potential national transportation 
disaster and is limited solely to the STB's emergency directed service 
powers. In this case, we must put the national interest above all 
others.

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