A BILL



To authorize appropriations for the Surface Transportation

Board for fiscal years 2000 and 2001, and for other

purposes.



     Be it enacted by the Senate and the House of

Representatives of the United States of America in Congress

assembled,



SECTION 1.  SHORT TITLE.

     This Act may be cited as the "Surface Transportation



Board Reauthorization Act of 1999".



SEC. 2.  AUTHORIZATION OF APPROPRIATIONS.



     The text of section 705 of title 49, United States



Code, is revised to read as follows:



     "(a) AUTHORIZATIONS.--There are authorized to be



appropriated for the activities of the Board such sums as



may be necessary for fiscal year 2001.



     "(b) USER FEES AND CHARGES.--Beginning in fiscal year



2000, the Board is authorized to assess and collect fees and



annual charges in each fiscal year in amounts equal to all



of the costs incurred by the Board in that fiscal year.



Fees and charges assessed by the Board shall be computed on



the basis of methods that the Board determines, by rule, to



be fair and equitable.  Fees authorized under this section



shall be collected and be available for obligation only to



the extent and in the amount provided for in advance in



appropriation acts.  Such fees are authorized to be



appropriated to remain available until expended.



SEC. 3.  SMALL SHIPMENTS.



     Section 10701(d) of title 49, United States Code, is



amended by adding a new paragraph (4) at the end to read as



follows:



     "(4) The simplified and expedited method for



determining the rate reasonableness in the non-coal rate



guidelines proceeding developed by the Board under paragraph



(3) shall be used by the Board in considering a challenged



rate if the shipper challenging the rate has incurred



shipping costs of not more than $500,000 under that rate for



the 12-month period immediately preceding the date on which



a rate challenge is filed with the Board.  The Board shall



also use the simplified procedure in any other rate



challenge as it deems appropriate.".



SEC. 4.  REVENUE ADEQUACY.



     (a) Section 10101(3) of title 49, United States Code,



is amended by striking ", as determined by the Board".



     (b) Section 10701(d)(2) of title 49, United States



Code, is amended by striking "recognizing the policy" and



all that follows through "title." and substituting



"recognizing the policy that rail carriers shall earn



adequate revenues.".



     (c) Section 10704(a) of title 49, United States Code,



is amended by--



          (1) striking subsections (a)(2) and (3); and



          (2) redesignating subsection (a)(1) as subsection



(a).



SEC. 5.  RATE AGREEMENTS.



     Title 49, United States Code, is amended by striking



section 10706, and striking the corresponding item in the



analysis of chapter 107; provided, however, that agreements



approved by the Board under section 10706 that are currently



in effect shall terminate on the termination date originally



established by the Board or two years after the date of



enactment of this section, whichever occurs first.



SEC. 6.  RECIPROCAL SWITCHING.



     Section 11102(c)(1) of title 49, United States Code is



amended--



     (a) by striking "may" in the first sentence and



substituting "shall";



     (b) by inserting after the first sentence the



following: "In making this determination, the Board shall



not require evidence of anticompetitive conduct by the rail



carrier from which access is sought."; and



     (c) by striking "may establish such conditions and



compensation" in the last sentence and substituting "shall,



through an arbitration process, establish reasonable



conditions and compensation which will facilitate the use of



such switching agreements".



SEC. 7.  SERVICE ORDERS.



     Section 11123(c)(1) of title 49, United States Code, is



amended by striking "240" and substituting "335".



SEC. 8.  MERGER AUTHORITY.



     (a) Section 11321 is amended by--



          (1) striking subsection (a) and inserting a new



     subsection (a) to read as follows:



          "(a) The authority of the Board under this



     subchapter is exclusive.  A rail carrier or corporation



     participating in or resulting from a transaction



     approved by, or exempted by, the Board under this



     subchapter may carry out the transaction, own, and



     operate property, and exercise control of franchises



     acquired through the transaction without the approval



     of a State authority.  Except as otherwise provided, a



     rail carrier, corporation or person participating in



     that approved or exempted transaction is exempt from



     all other laws as necessary to let that rail carrier,



     corporation, or person carry out the transaction, hold,



     maintain, and operate property, and exercise control or



     franchises acquired through the transaction.  This



     section does not, however, exempt a transaction from



     Federal labor, safety, health and antitrust laws, nor



     from State and municipal laws that are not otherwise



     preempted under Federal law and that deal with labor,



     employment, employee safety, or railroad safety.  If an



     exemption from any other laws is necessary it may be no



     broader than required to enable the transaction to be



     effected.  However, if a purchase and sale, a lease, or



     a corporate consolidation or merger is involved in the



     transaction, the carrier or corporation may carry out



     the transaction only with the assent of a majority, or



     the number required under applicable state law, of the



     votes of the holders of the capital stock of that



     corporation entitled to vote.  The vote must occur at a



     regular meeting, or special meeting called for that



     purpose, of those stockholders and the notice of the



     meeting must indicate its purpose."; and



          (2) adding a new subsection (c) to read as



follows:



          "(c) The Board shall not, under any circumstances,



     have the authority under this subchapter to break,



     modify, alter, override or abrogate, in whole or in



     part, any or all provisions in any collective



     bargaining agreements and/or implementing agreements



     made between the rail carrier and authorized



     representatives of its employees under the Railway



     Labor Act or to provide such authority to any other



     person, carrier or corporation.".



     (b) Section 11322(a) of title 49, United States Code,



is amended by striking "earnings--" and all that follows



through "competition." and substituting "earnings will be in



the interest of better service to the public or of economy



of operation.".



     (c) Section 11324 of title 49, United States Code, is



amended--



          (1) in subsection (b) by--



               (A) striking "transaction;" and substituting



          "transaction; and" in paragraph (3);



               (B) striking "; and" in paragraph (4), and



     inserting a period;



          and



               (C) striking paragraph (5);



          (2) in subsection (c) by striking the third



     sentence;



          (3) by striking subsection (d); and



          (4) by redesignating subsections (e) and (f) as



     subsections (d) and (e).



SEC. 9.  EMPLOYEE IMPLEMENTING AGREEMENTS IN RAILROAD



CONSOLIDATIONS.



     Section 11326 of title 49, United States Code, is



amended by striking subsection (a) and inserting a new



subsection (a) to read as follows:



     "(a)(1) Except as otherwise provided in this section,



when approval is sought for a transaction under sections



11324 and 11325 of this title, the Board shall require the



rail carrier to provide a fair arrangement at least as



protective of the interests of employees who are affected by



the transaction as the terms imposed under section 11347 of



the Interstate Commerce Act before December 29, 1995.  The



arrangement and the order approving the transaction must



require that:



          "(A) the employees of the affected rail carrier



     will not be in a worse position related to their



     employment as a result of the transaction during the 6



     years following the date the employees are adversely



     affected by an action taken by the affected rail



     carrier as a result of the transaction (or if an



     employee was employed for a lesser period of time by



     the rail carrier before the action became effective,



     for that lesser period); and



          "(B) the rail carrier and the authorized



     representatives of the rail carrier's employees shall



     negotiate under the Railway Labor Act any arrangement



     regarding the selection of forces or assignment of



     employees caused by the Board's order of approval under



     sections 11324 or 11325 of this subchapter.



     Arbitration of the proposed arrangement may only occur



     if both parties agree to that process.  The Board shall



     not intervene in such negotiations or arbitration



     unless requested to do so by both parties.  The Board



     shall not, under any circumstances, have the authority



     under this subchapter to break, modify, alter, override



     or abrogate, in whole or in part, any or all provisions



     in any collective bargaining agreements and/or



     implementing agreements made between the rail carrier



     and authorized representatives of its employees under



     the Railway Labor Act or to provide such authority to



     any other person, carrier or corporation.



     "(2) The provisions of this subsection shall be



applicable, effective on the date of enactment of this



subsection, to any transactions proposed by rail carriers



under conditions previously imposed by the former Interstate



Commerce Commission or the Surface Transportation Board



under this section or former sections 11347 or 5(2)(f) of



the Interstate Commerce Act.".



SEC. 10.  COLLECTIVE MOTOR CARRIER ACTIVITIES.



     (a) Title 49, United States Code, is amended by



striking section 13703, and striking the corresponding item



in the analysis of chapter 137.



     (b) Section 13907 of title 49, United States Code, is



amended by striking subsection (d) and redesignating



subsection (e) as subsection (d).



     (c) Title 49, United States Code, is amended by



striking section 14302,



and striking the corresponding item in the analysis of



chapter 143.



     (d) The Federal Trade Commission Act (15 U.S.C. 41 et



seq.) is amended--



          (1) in section 5(a)(2) by striking "common



     carriers subject to the Acts to regulate commerce" and



     substituting "common carriers subject to the



     Communications Act of 1934 (47 U.S.C. 609 et seq.) or



     acts amendatory thereof or supplementary thereof"; and



          (2) in section 6 by striking "common carriers



     subject to the Act to regulate commerce" each place it



     appears and substituting "common carriers described in



     section 5(a)(2)".



SEC. 11.  MOTOR CARRIER CONSOLIDATIONS AND MERGERS.



     (a) Section 14303(f) of title 49, United States Code,



is amended by striking from the second sentence "the



antitrust laws and from all other law, including State and



municipal laws," and inserting in lieu thereof "State and



municipal laws, and from all other law except the antitrust



laws, as defined in the first section of the Clayton Act (15



U.S.C. 12)".



     (b) The Clayton Act (15 U.S.C. 12 et seq.) is amended--



          (1) in section 7--



               (A) in the first and second paragraphs, by



          striking "or" immediately after "stock" and



          inserting a comma, and by striking "and no person



          subject to the jurisdiction of the Federal Trade



          Commission shall acquire the whole or any part of



          the" and substituting "or";



               (B) by striking the fourth paragraph; and



               (C) in the final paragraph, striking "Surface



Transportation



          Board,";



          (2) in section 11(a) by--



               (A) striking "in the Surface Transportation



          Board where applicable to common carriers subject



          to jurisdiction under subtitle IV of title 49,



          United States Code;" and



               (B) striking ", Board," in the caption; and



          (3) in section 16 by striking "issue:  Provided,



     That" and all that follows through "Title 49, United



     States Code." and substituting "issue.".



SEC. 12.  STUDY OF RAIL INDUSTRY SINCE THE STAGGERS ACT.



     (a) STUDY.--(1) There is authorized to be appropriated



to the Secretary of Transportation such sums as may be



necessary for fiscal years 2000 and 2001 to conduct a



comprehensive analysis to determine--



          (A) the changes in the rail industry cost



     structure and related financial condition since



     enactment of the Staggers Rail Act of 1980;



          (B) the effectiveness of the regulatory structure



     that has governed the industry since enactment of the



     Interstate Commerce Commission Termination Act of 1995;



     and



          (C) the potential impact on railroad rates,



     operation, financial condition, and efficiency of



     service delivery under various competitive access



     scenarios.



     (2) The analysis shall assess--



          (A) the scope of the changes in the rail industry,



     including the effect of mergers and development of



     regional and short line railroads on competitive access



     and rates;



          (B) service to small and captive shippers;



          (C) the financial health of the industry;



          (D) the adequacy of capital investment;



          (E) the location of system capacity constraints;



          (F) the impact of other economic changes, such as



     electric utility deregulation;



          (G) the adequacy and appropriateness of the



     existing regulatory structure and procedures, with



     particular emphasis on identifying additional



     alternate, less costly means to seek regulatory relief



     or solve disputes.



          (H) the potential impact on railroads and shippers



     that may result from imposing various competitive



     access proposals; and



          (I) the Canadian experience with reciprocal



     switching.



     (b) CONSULTATION.--In conducting the study under



subsection (a), the Secretary shall consult with the Surface



Transportation Board, the Department of Agriculture, the



Department of Justice, the Council of Economic Advisors, and



the National Economic Council.



     (c) REPORT.--The Secretary shall complete the study



required by subsection (a) and report the findings of the



study to Congress within one year of the date of enactment



of this section.



SEC. 13.  TITLE 49 TECHNICAL CORRECTIONS.



     (a) REFERENCE TO TITLE 49 USC.--Except as



otherwise provided, a reference in this section to an



amendment to, or a repeal of, a section or other



provision is deemed to be a reference to a section or



other provision of title 49, United States Code.



     (b) REPEAL OF 49 U.S.C. 307.--(1) Section 307



(Safety information and intervention in Interstate



Commerce Commission proceedings), is repealed.



     (2) Strike item 307 in the analysis of chapter 3.



     (c) CORRECTION OF OBSOLETE REFERENCE TO ICC.--



Subsections (d)(1)(C) and (e) of section 333



(Responsibility for rail transportation unification and



coordination projects) are amended by striking



"Interstate Commerce Commission" and "Commission" each



place the words appear and substituting "Surface



Transportation Board" and "Board", respectively.



     (d) CORRECTION OF CHAPTER 53 ANALYSIS.--The



analysis for chapter 53 is amended by striking items



5310 and 5311 and substituting the following:



 "5310. Formula grants and loans for special needs of



elderly individuals



          and individuals with disabilities.



 "5311. Formula grants for other than urbanized



areas.".



     (e) CONFORMING SINGULAR AND PLURAL FORMS OF TERM.-



-Section 5303 (Metropolitan planning) is amended by



striking "long-range plan" each place the words appear



and substituting "long-range transportation plan".



     (f) REDESIGNATION OF DUPLICATE PROVISION.--



Effective June 9, 1998, section 3009 of the



Transportation Equity Act for the 21st Century (112



Stat. 356) is amended as follows:



     (1) In subsection (i), strike "adding at the end



the following" and substitute "redesignating subsection



(o) as subsection (q) and substituting a new subsection



(o) as follows".



     (2) In subsection (j), strike "adding at the end



the following" and substitute "adding after subsection



(o) (as added by this section) the following".



     (g) REDESIGNATION OF DUPLICATE PROVISION.--(1)



Effective June 9, 1998, subsection (e) of section 5337



(as added by section 3028(b) of the Transportation



Equity Act for the 21st Century (112 Stat. 367) is



redesignated as subsection (f) of section 5337.



     (h) PUNCTUATION CORRECTION.--Section 5338(h)(5) is



amended by striking "1999", "2000", "2001", "2002", and



"2003", and substituting "1999,", "2000,", "2001,",



"2002,", and "2003,", respectively.



     (i) DELETION OF OBSOLETE REFERENCE.--Sections



5313(b) and 5314(a) are each amended by striking "5315,



5317, and 5322" and substituting "5315, and 5322".



     (j) CORRECTION OF CASE.--Section 5903(a) is



amended by striking "person, To whom" and substituting



"person, to whom".



     (k) CORRECTION OF CROSS REFERENCE.--Section



10903(b)(2) is amended by striking "24706(c) of this



title" and substituting "24706(c) of this title before



May 31, 1998".



     (l) CLARIFICATION OF WORDING.--Section 13541(a) is



amended by striking "finds that" and all that follows,



and substituting--



"finds that the exemption is in the public interest and



that the application of that provision--



          "(1) is not necessary to carry out the



     transportation policy of section 13101; and



          "(2) is not needed to protect shippers from



     the abuse of market power or that the transaction



     or service is of limited scope.".



     (m) CORRECTION OF PLACEMENT OF PROVISION.--(1)



Section 14704 (Rights and remedies of persons injured



by carriers or brokers) is amended as follows:



          (A) In subsection (a) --



               (i) strike "In general.--" and all that



          follows through "injured" and substitute



          "Enforcement of order.--A person injured";



          and



               (ii) redesignate paragraph (2) as



          subsection (b)(2); and



          (B) In subsection (b), by strike "Liability



     and damages" and all that follows through "A



     carrier" and substitute "Liability and damages.--



     (1) A carrier".



     (2) Section 14705(c) is amended by striking



     "14704(b)" and substituting "14704(b)(2)".



     (n) CORRECTION OF OBSOLETE REFERENCES TO ICC.--(1)



Subsection (c)(3) of section 24307 (Special



transportation) is amended by striking "Interstate



Commerce Commission" and substituting "Surface



Transportation Board".



     (2) Section 24308 (Use of facilities and providing



services to Amtrak) is amended by striking "Interstate



Commerce Commission" and "Commission" each place the



words appear and substituting "Surface Transportation



Board" and "Board", respectively.



     (3) Section 24311 (Acquiring interests in property



by eminent domain) is amended by striking "Interstate



Commerce Commission" and "Commission" each place the



words appear and substituting "Surface Transportation



Board" and "Board", respectively.



     (4) Section 24902 (Goals and requirements) is



amended by striking "Interstate Commerce Commission"



and "Commission" each place the words appear and



substituting "Surface Transportation Board" and



"Board", respectively.



     (5) Section 24904 (General authority) is amended



by striking "Interstate Commerce Commission" and



"Commission" each place the words appear and



substituting "Surface Transportation Board" and



"Board", respectively.



     (o) DELETION OF OBSOLETE PROVISION.--Section



31112(d) is amended by striking subsection (4).



     (p) DELETION OF OBSOLETE REFERENCE.--Section



31132(7) (definition of 'State') is amended by striking



"31136 and 31140-31142" and substituting "31136, 31141,



and 31142".



     (q) DELETION OF OBSOLETE REFERENCE.--Section



31304(2) is amended by striking "(except as allowed



under section 31302 of this title)".







SEC. 14. CORRECTIONS TO ICC REFERENCES IN CERTAIN LAWS



OF THE UNITED STATES.



     (a) Section 316 of the Packers and Stockyards Act,



1921 (7 U.S.C. 217), is amended by striking "Interstate



Commerce Commission" and substituting "Surface



Transportation Board".



     (b) Section 406(a) of the Packers and Stockyards



Act, 1921 (7 U.S.C. 226), is amended by striking



"Interstate Commerce Commission" and "Commission" and



substituting "Surface Transportation Board" and



"Board", respectively.



     (c) Section 11 of the Perishable Agricultural



Commodities Act, 1930  (7 U.S.C. 499k), is amended by



striking "Interstate Commerce Commission" and



substituting "Surface Transportation Board".



     (d) Section 203(j) of the Act of August 14, 1946



(relating to the distribution and marketing of



agricultural products) (60 Stat 1082, 1087) (7 U.S.C.



1622(j)), is amended by striking "Interstate Commerce



Commission" and substituting "Surface Transportation



Board".



     (e) Section 1110(a)(2)(B) of title 11, United



States Code, is amended by striking "a water carrier



that holds a certificate of public convenience and



necessity or permit issued by the Interstate Commerce



Commission" and substituting "a water carrier that



held, on December 31, 1995, a certificate of public



convenience and necessity or permit issued by the



Interstate Commerce Commission (or a water carrier that



would have been required to obtain such a certificate



or permit under the law in effect on that date)".



     (f)(1) Section 1398 of title 28, United States



Code, is amended--



          (A) by striking the section heading and



     substituting--



"Sec. 1398. Surface Transportation Board's orders"; and



          (B) in subsection (b), by striking



     "Interstate Commerce Commission" and substituting



     "Surface Transportation Board".



     (2) The analysis for chapter 87 of title 28,



United States Code, is amended by striking item 1398



and substituting the following:



  "1398. Surface Transportation Board's orders.".



     (g) Section 1108(f) of title 31, United States



Code, is amended by striking "Interstate Commerce



Commission" and "Commission" and substituting "Surface



Transportation Board" and "Board", respectively.



     (h) Section 3(a)(2) of Public Law 91-621 (33 U.S.C. 857-



3) is amended by striking "Interstate Commerce Commission"



and substituting "Surface Transportation Board".