USC Chapter 229

USC Chapter 229
in effect

49 U.S.C. § 22901 Definitions

In this chapter: (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 227 of this title for—(A) acquiring, constructing, improving, or inspecting equipment, track and track structures, 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, 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 22904. (3) Intercity passenger rail service.—The term “intercity passenger rail service” means intercity rail passenger transportation, as defined in section 24102 of this title.

49 U.S.C. § 22902 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, infrastructure, and equipment necessary to provide or improve intercity passenger rail transportation. (2) Consistent with the requirements of this chapter, 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 2 years after the date of enactment of the Passenger Rail Investment and Improvement Act of 2008. For the period prior to the earlier of the issuance of such a rule or 2 years after the date of enactment of such Act, the Secretary shall issue interim guidance to applicants covering such procedures, and administer the grant program authorized under this section pursuant to such guidance. (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 227 of this title, or under the plan required by section 211 of the Passenger Rail Investment and Improvement Act of 2008, 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—(A) that the project be part of a State rail plan developed under chapter 227 of this title, or under the plan required by section 211 of the Passenger Rail Investment and Improvement Act of 2008; (B) 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; (C) that the applicant provides sufficient information upon which the Secretary can make the findings required by this subsection; (D) that if an applicant has selected the proposed operator of its service competitively, that the applicant provide written justification to the Secretary showing why the proposed operator is the best, taking into account costs and other factors; (E) that each proposed project meet all safety and security requirements that are applicable to the project under law; and (F) that each project be compatible with, and operated in conformance with—(i) plans developed pursuant to the requirements of section 135 of title 23, United States Code; and (ii) the national rail plan (if it is available); (2) select projects—(A) that are anticipated to result in significant improvements to intercity rail passenger service, including, but not limited to, consideration of—(i) the project’s levels of estimated ridership, increased on-time performance, reduced trip time, additional service frequency to meet anticipated or existing demand, or other significant service enhancements as measured against minimum standards developed under section 207 of the Passenger Rail Investment and Improvement Act of 2008; (ii) the project’s anticipated favorable impact on air or highway traffic congestion, capacity, or safety; and (iii) identification of the project by the Surface Transportation Board as necessary to improve the on-time performance and reliability of intercity passenger rail under section 24308(f); (B) for which there is a high degree of confidence that the proposed project is feasible and will result in the anticipated benefits, as indicated by—(i) the project’s precommencement compliance with environmental protection requirements; (ii) the readiness of the project to be commenced; (iii) the timing and amount of the project’s future noncommitted investments; (iv) the commitment of any affected host rail carrier to ensure the realization of the anticipated benefits; and (v) other relevant factors as determined by the Secretary; and (C) for which the level of the anticipated benefits compares favorably to the amount of Federal funding requested under this chapter; and (3) give greater consideration to projects—(A) that are anticipated to result in benefits to other modes of transportation and to the public at large, including, but not limited to, consideration of the project’s—(i) encouragement of intermodal connectivity through provision of direct connections between train stations, airports, bus terminals, subway stations, ferry ports, and other modes of transportation; (ii) anticipated improvement of freight or commuter rail operations; (iii) encouragement of the use of positive train control technologies; (iv) environmental benefits, including projects that involve the purchase of environmentally sensitive, fuel-efficient, and cost-effective passenger rail equipment; (v) anticipated positive economic and employment impacts; (vi) encouragement of State and private contributions toward station development, energy and environmental efficiency, and economic benefits; and (vii) falling under the description in section 5302(a)(1)(G) 11 See References in Text note below. of this title as defined to support intercity passenger rail service; and (B) that incorporate equitable financial participation in the project’s financing, including, but not limited to, consideration of—(i) donated property interests or services; (ii) financial contributions by freight and commuter rail carriers commensurate with the benefit expected to their operations; and (iii) financial commitments from host railroads, non-Federal governmental entities, nongovernmental entities, and others. (d) State Rail Plans.—State rail plans completed before the date of enactment of the Passenger Rail Investment and Improvement Act of 2008 that substantially meet the requirements of chapter 227 of this title, as determined by the Secretary pursuant to section 22506 1 of this title, shall be deemed by the Secretary to have met the requirements of subsection (c)(1)(A) of this section. (e) Amtrak Eligibility.—To receive a grant under this section, Amtrak 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) 1 of this title. For such a grant, Amtrak may not use Federal funds authorized under section 101(a) or (c) of the Passenger Rail Investment and Improvement Act of 2008 to fulfill the non-Federal share requirements under subsection (g) of this section. (f) Letters of Intent and Early Systems Work Agreements.—(1) 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. (2) At least 30 days before issuing a letter under paragraph (1) of this subsection, the Secretary shall notify in writing the Committee on Transportation and Infrastructure of the House of Representatives, 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, the criteria used in subsection (c) for selecting the project for a grant award, and a description of how the project meets such criteria. (3) An obligation or administrative commitment may be made only when amounts are appropriated. The letter of intent shall state that the contingent commitment is not an obligation of the Federal Government, and is subject to the availability of appropriations under Federal law and to Federal laws in force or enacted after the date of the contingent commitment. (g) 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) The following amounts, not to exceed $15,000,000 per fiscal year, shall be available to each applicant as a credit toward an applicant’s matching requirement for a grant awarded under this section—(A) in each of fiscal years 2009, 2010, and 2011—(i) 50 percent of the average of amounts expended in fiscal years 2002 through 2008 by an applicant for capital projects related to intercity passenger rail service; and (ii) 50 percent of the average of amounts expended in fiscal years 2002 through 2008 by an applicant for operating costs of such service; and (B) in each of fiscal years 2010, 2011 and 2012, 50 percent of the amount by which the amounts expended for capital projects and operating costs related to intercity passenger rail service by an applicant in the prior fiscal year exceed the average capital and operating expenditures made for such service in fiscal years 2006, 2007, and 2008. The Secretary may require such information as necessary to verify such expenditures. Credits made available to an applicant in a fiscal year under this paragraph may only be applied towards grants awarded in that fiscal year. (4) The Federal share of expenditures for capital improvements under this chapter may not exceed 100 percent. (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) Cooperative Agreements.—(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 chapter. (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) Suballocation.—A State may allocate funds under this section to any entity described in paragraph (1). (j) Large Capital Project Requirements.—(1) In general.—For a grant awarded under this chapter for an amount in excess of $1,000,000,000, the following conditions shall apply:(A) The Secretary may not obligate any funding unless the applicant demonstrates, to the satisfaction of the Secretary, that the applicant has committed, and will be able to fulfill, the non-Federal share required for the grant within the applicant’s proposed project completion timetable. (B) The Secretary may not obligate any funding for work activities that occur after the completion of final design unless—(i) the applicant submits a financial plan to the Secretary that generally identifies the sources of the non-Federal funding required for any subsequent segments or phases of the corridor service development program covering the project for which the grant is awarded; (ii) the grant will result in a useable segment, a transportation facility, or equipment, that has operational independence; and (iii) the intercity passenger rail benefits anticipated to result from the grant, such as increased speed, improved on-time performance, reduced trip time, increased frequencies, new service, safety improvements, improved accessibility, or other significant enhancements, are detailed by the grantee and approved by the Secretary. (C)(i) The Secretary shall ensure that the project is maintained to the level of utility that is necessary to support the benefits approved under subparagraph (B)(iii) for a period of 20 years from the date on which the useable segment, transportation facility, or equipment described in subparagraph (B)(ii) is placed in service. (ii) If the project property is not maintained as required under clause (i) for a 12-month period, the grant recipient shall refund a pro-rata share of the Federal contribution, based upon the percentage remaining of the 20-year period that commenced when the project property was placed in service. (2) Early work.—The Secretary may allow a grantee subject to this subsection to engage in at-risk work activities subsequent to the conclusion of final design if the Secretary determines that such work activities are reasonable and necessary. (k) Small Capital Projects.—The Secretary shall make not less than 5 percent annually available from the amounts authorized under section 101(c) of the Passenger Rail Investment and Improvement Act of 2008 beginning in fiscal year 2009 for grants for capital projects eligible under this section not exceeding $2,000,000, including costs eligible under section 209(d) 1 of that Act. For grants awarded under this subsection, the Secretary may waive requirements of this section, including State rail plan requirements, as appropriate. (l) Nonmotorized Transportation Access and Storage.—Grants under this chapter may be used to provide access to rolling stock for nonmotorized transportation, including bicycles, and recreational equipment, and to provide storage capacity in trains for such transportation, equipment, and other luggage, to ensure passenger safety.

49 U.S.C. § 22903 Project management oversight

(a) Project Management Plan Requirements.—To receive Federal financial assistance for a major capital project under this chapter, 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 periodically a project budget and project schedule to the Secretary. [(b) Repealed. Pub. L. 114–94, div. A, title XI, § 11316(p), Dec. 4, 2015, 129 Stat. 1679] (c) Access to Sites and Records.—Each recipient of assistance under this chapter shall provide the Secretary and a contractor the Secretary chooses under subsection (b) of this section with access to the construction sites and records of the recipient when reasonably necessary.

49 U.S.C. § 22904 Use of capital grants to finance first-dollar liability of grant project

Notwithstanding the requirements of section 22902 of this chapter, the Secretary of Transportation may approve the use of a capital assistance grant under this chapter to fund self-insured retention of risk for the first tier of liability insurance coverage for rail passenger service associated with the grant, but the coverage may not exceed $20,000,000 per occurrence or $20,000,000 in aggregate per year.

49 U.S.C. § 22905 Grant conditions

(a) Buy America.—(1) The Secretary of Transportation may obligate an amount that may be appropriated to carry out this chapter for a project only if the steel, iron, and manufactured goods used in the project are produced in the United States. (2) The Secretary of Transportation may waive paragraph (1) of this subsection if the Secretary finds that—(A) applying paragraph (1) would be inconsistent with the public interest; (B) the steel, iron, and goods produced in the United States are not produced in a sufficient and reasonably available amount or are not of a satisfactory quality; (C) rolling stock or power train equipment cannot be bought and delivered in the United States within a reasonable time; or (D) including domestic material will increase the cost of the overall project by more than 25 percent. (3) For purposes of this subsection, in calculating the components’ costs, labor costs involved in final assembly shall not be included in the calculation. (4) If the Secretary determines that it is necessary to waive the application of paragraph (1) based on a finding under paragraph (2), the Secretary shall, before the date on which such finding takes effect—(A) publish in the Federal Register a detailed written justification as to why the waiver is needed; and (B) provide notice of such finding and an opportunity for public comment on such finding for a reasonable period of time not to exceed 15 days. (5) Not later than December 31, 2012, the Secretary shall submit to the Committee on Transportation and Infrastructure of the House of Representatives and the Committee on Commerce, Science, and Transportation of the Senate a report on any waivers granted under paragraph (2). (6) The Secretary of Transportation may not make a waiver under paragraph (2) of this subsection for goods produced in a foreign country if the Secretary, in consultation with the United States Trade Representative, decides that the government of that foreign country—(A) has an agreement with the United States Government under which the Secretary has waived the requirement of this subsection; and (B) has violated the agreement by discriminating against goods to which this subsection applies that are produced in the United States and to which the agreement applies. (7) A person is ineligible to receive a contract or subcontract made with amounts authorized under this chapter if a court or department, agency, or instrumentality of the Government decides the person intentionally—(A) affixed a “Made in America” label, or a label with an inscription having the same meaning, to goods sold in or shipped to the United States that are used in a project to which this subsection applies but not produced in the United States; or (B) represented that goods described in subparagraph (A) of this paragraph were produced in the United States. (8) The Secretary may not impose any limitation on assistance provided under this chapter that restricts a State from imposing more stringent requirements than this subsection on the use of articles, materials, and supplies mined, produced, or manufactured in foreign countries in projects carried out with that assistance or restricts a recipient of that assistance from complying with those State-imposed requirements. (9) The Secretary may allow a manufacturer or supplier of steel, iron, or manufactured goods to correct after bid opening any certification of noncompliance or failure to properly complete the certification (but not including failure to sign the certification) under this subsection if such manufacturer or supplier attests under penalty of perjury that such manufacturer or supplier submitted an incorrect certification as a result of an inadvertent or clerical error. The burden of establishing inadvertent or clerical error is on the manufacturer or supplier. (10) A party adversely affected by an agency action under this subsection shall have the right to seek review under section 702 of title 5. (11) The requirements of this subsection shall only apply to projects for which the costs exceed $100,000. (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 chapter 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 that definition or in which that definition applies, including—(1) the Railroad Retirement Act of 1974 (45 U.S.C. 231 et seq.); (2) the Railway Labor Act (45 U.S.C. 151 et seq.); and (3) the Railroad Unemployment Insurance Act (45 U.S.C. 351 et seq.). (c) Grant Conditions.—The Secretary shall require as a condition of making any grant under this chapter for a project that uses 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; (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 (D) an assurance that an applicant complies with liability requirements consistent with section 28103 of this title; 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 Amtrak 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 that are equivalent to the protective arrangements established under section 22404 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 chapter. (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 11 See References in Text note below. on a project funded in whole or in part by grants made under this chapter and replaces intercity rail passenger service that was provided by Amtrak, unless such service was provided solely by Amtrak to another entity or unless Amtrak ceased providing intercity passenger railroad transportation over the affected route more than 3 years before the commencement of new service, 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). The arbitrator shall be guided by prevailing national standard rates of pay, benefits, and working conditions for comparable work. 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) operations of a State or local governmental authority (as those terms are defined in section 5302) 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) Amtrak’s access rights to railroad rights of way and facilities under current law. (f) Limitation.—No grants shall be provided under this chapter for commuter rail passenger transportation (as defined in section 24102(3)).

49 U.S.C. § 22906 Authorization of appropriations

There are authorized to be appropriated to the Secretary of Transportation for capital grants under this chapter the following amounts: (1) For fiscal year 2009, $100,000,000. (2) For fiscal year 2010, $300,000,000. (3) For fiscal year 2011, $400,000,000. (4) For fiscal year 2012, $500,000,000. (5) For fiscal year 2013, $600,000,000.

49 U.S.C. § 22907 Consolidated rail infrastructure and safety improvements

(a) General Authority.—The Secretary may make grants under this section to an eligible recipient to assist in financing the cost of improving passenger and freight rail transportation systems in terms of safety, efficiency, or reliability. (b) Eligible Recipients.—The following entities are eligible to receive a grant under this section:(1) A State (including the District of Columbia). (2) A group of States. (3) An Interstate Compact. (4) A public agency or publicly chartered authority established by 1 or more States. (5) A political subdivision of a State. (6) Amtrak or another rail carrier that provides intercity rail passenger transportation (as rail carrier and intercity rail passenger transportation are defined in section 24102). (7) A Class II railroad or Class III railroad (as those terms are defined in section 20102). (8) An association representing 1 or more railroads described in paragraph (7). (9) A federally recognized Indian Tribe. (10) Any rail carrier or rail equipment manufacturer in partnership with at least 1 of the entities described in paragraphs (1) through (5). (11) The Transportation Research Board and any entity with which it contracts in the development of rail-related research, including cooperative research programs. (12) A University transportation center engaged in rail-related research. (13) A non-profit labor organization representing a class or craft of employees of rail carriers or rail carrier contractors. (c) Eligible Projects.—The following projects are eligible to receive grants under this section:(1) Deployment of railroad safety technology, including positive train control and rail integrity inspection systems. (2) A capital project as defined in section 22901(2), except that a project shall not be required to be in a State rail plan developed under chapter 227. (3) A capital project identified by the Secretary as being necessary to address congestion or safety challenges affecting rail service. (4) A capital project identified by the Secretary as being necessary to reduce congestion and facilitate ridership growth in intercity passenger rail transportation along heavily traveled rail corridors. (5) A highway-rail grade crossing improvement project, including installation, repair, or improvement of grade separations, railroad crossing signals, gates, and related technologies, highway traffic signalization, highway lighting and crossing approach signage, roadway improvements such as medians or other barriers, railroad crossing panels and surfaces, and safety engineering improvements to reduce risk in quiet zones or potential quiet zones. (6) A rail line relocation or improvement project. (7) A capital project to improve short-line or regional railroad infrastructure. (8) The preparation of regional rail and corridor service development plans and corresponding environmental analyses. (9) Any project that the Secretary considers necessary to enhance multimodal connections or facilitate service integration between rail service and other modes, including between intercity rail passenger transportation and intercity bus service or commercial air service. (10) The development and implementation of a safety program or institute designed to improve rail safety. (11) The development and implementation of measures to prevent trespassing and reduce associated injuries and fatalities. (12) Any research that the Secretary considers necessary to advance any particular aspect of rail-related capital, operations, or safety improvements. (13) Workforce development and training activities, coordinated to the extent practicable with the existing local training programs supported by the Department of Transportation, the Department of Labor, and the Department of Education. (14) Research, development, and testing to advance and facilitate innovative rail projects, including projects using electromagnetic guideways in an enclosure in a very low-pressure environment. (15) The preparation of emergency plans for communities through which hazardous materials are transported by rail. (16) Rehabilitating, remanufacturing, procuring, or overhauling locomotives, provided that such activities result in a significant reduction of emissions. (d) Application Process.—The Secretary shall prescribe the form and manner of filing an application under this section. (e) Project Selection Criteria.—(1) In general.—In selecting a recipient of a grant for an eligible project, the Secretary shall—(A) give preference to a proposed project for which the proposed Federal share of total project costs does not exceed 50 percent; and (B) after factoring in preference to projects under subparagraph (A), select projects that will maximize the net benefits of the funds appropriated for use under this section, considering the cost-benefit analysis of the proposed project, including anticipated private and public benefits relative to the costs of the proposed project and factoring in the other considerations described in paragraph (2). (2) Other considerations.—The Secretary shall also consider the following:(A) The degree to which the proposed project’s business plan considers potential private sector participation in the financing, construction, or operation of the project. (B) The recipient’s past performance in developing and delivering similar projects, and previous financial contributions. (C) Whether the recipient has or will have the legal, financial, and technical capacity to carry out the proposed project, satisfactory continuing control over the use of the equipment or facilities, and the capability and willingness to maintain the equipment or facilities. (D) If applicable, the consistency of the proposed project with planning guidance and documents set forth by the Secretary or required by law or State rail plans developed under chapter 227. (E) If applicable, any technical evaluation ratings the proposed project received under previous competitive grant programs administered by the Secretary. (F) Such other factors as the Secretary considers relevant to the successful delivery of the project. (3) Benefits.—The benefits described in paragraph (1)(B) may include the effects on system and service performance, including measures such as improved safety, competitiveness, reliability, trip or transit time, resilience, efficiencies from improved integration with other modes, the ability to meet existing or anticipated demand, and any other benefits. (f) Performance Measures.—The Secretary shall establish performance measures for each grant recipient to assess progress in achieving strategic goals and objectives. The Secretary may require a grant recipient to periodically report information related to such performance measures. (g) Rural Areas.—(1) In general.—Of the amounts appropriated under this section, at least 25 percent shall be available for projects in rural areas. The Secretary shall consider a project to be in a rural area if all or the majority of the project (determined by the geographic location or locations where the majority of the project funds will be spent) is located in a rural area. (2) Definition of rural area.—In this subsection, the term “rural area” means any area not in an urbanized area, as defined by the Bureau of the Census. (h) Federal Share of Total Project Costs.—(1) Total project costs.—The Secretary shall estimate the total costs of a project under this section based on the best available information, including any available engineering studies, studies of economic feasibility, environmental analyses, and information on the expected use of equipment or facilities. (2) Federal share.—The Federal share of total project costs under this section shall not exceed 80 percent. (3) Treatment of passenger rail revenue.—If Amtrak or another rail carrier is an applicant under this section, Amtrak or the other rail carrier, as applicable, may use ticket and other revenues generated from its operations and other sources to satisfy the non-Federal share requirements. (4) Grade crossing and trespassing projects.—Applicants may use costs incurred previously for preliminary engineering associated with highway-rail grade crossing improvement projects under subsection (c)(5) and trespassing prevention projects under subsection (c)(11) to satisfy the non-Federal share requirements. (i) Applicability.—Except as specifically provided in this section, the use of any amounts appropriated for grants under this section shall be subject to the requirements of this chapter. (j) Availability.—Amounts appropriated for carrying out this section shall remain available until expended. (k) Limitation.—The requirements under sections 22902, 22903, and 22904, and the definition contained in section 22901(1) shall not apply to this section. (l) Special Transportation Circumstances.—(1) In general.—In carrying out this chapter, the Secretary shall allocate an appropriate portion of the amounts available to programs in this chapter to provide grants to States—(A) 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 227, including highway construction over rail facilities as an alternative to construction or improvement of a highway-rail grade crossing, that provide public benefits (as defined in chapter 227), as determined by the Secretary; or (B) 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. (2) Definition.—For the purposes of this subsection, the term “appropriate portion” means a share, for each State subject to paragraph (1), not less than the share of the total railroad route miles in such State of the total railroad route miles in the United States, excluding from all totals the route miles exclusively used for tourist, scenic, and excursion railroad operations.

49 U.S.C. § 22908 Restoration and enhancement grants

(a) Definitions.—In this section:(1) Applicant.—Notwithstanding section 22901(1), the term “applicant” means—(A) a State, including the District of Columbia; (B) a group of States; (C) an entity implementing an interstate compact; (D) a public agency or publicly chartered authority established by 1 or more States; (E) a political subdivision of a State; (F) a federally recognized Indian Tribe; (G) Amtrak or another rail carrier that provides intercity rail passenger transportation; (H) any rail carrier in partnership with at least 1 of the entities described in subparagraphs (A) through (F); and (I) any combination of the entities described in subparagraphs (A) through (F). (2) Operating assistance.—The term “operating assistance”, with respect to any route subject to section 209 of the Passenger Rail Investment and Improvement Act of 2008 (Public Law 110–432), means any cost allocated, or that may be allocated, to a route pursuant to the cost methodology established under such section or under section 24712. (b) Grants Authorized.—The Secretary of Transportation shall develop and implement a program for issuing operating assistance grants to applicants, on a competitive basis, for the purpose of initiating, restoring, or enhancing intercity rail passenger transportation. (c) Application.—An applicant for a grant under this section shall submit to the Secretary—(1) a capital and mobilization plan that—(A) describes any capital investments, service planning actions (such as environmental reviews), and mobilization actions (such as qualification of train crews) required for initiation of intercity rail passenger transportation; and (B) includes the timeline for undertaking and completing each of the investments and actions referred to in subparagraph (A); (2) an operating plan that describes the planned operation of the service, including—(A) the identity and qualifications of the train operator; (B) the identity and qualifications of any other service providers; (C) service frequency; (D) the planned routes and schedules; (E) the station facilities that will be utilized; (F) projected ridership, revenues, and costs; (G) descriptions of how the projections under subparagraph (F) were developed; (H) the equipment that will be utilized, how such equipment will be acquired or refurbished, and where such equipment will be maintained; and (I) a plan for ensuring safe operations and compliance with applicable safety regulations; (3) a funding plan that—(A) describes the funding of initial capital costs and operating costs for the first 6 years of operation; (B) includes a commitment by the applicant to provide the funds described in subparagraph (A) to the extent not covered by Federal grants and revenues; and (C) describes the funding of operating costs and capital costs, to the extent necessary, after the first 6 years of operation; and (4) a description of the status of negotiations and agreements with—(A) each of the railroads or regional transportation authorities whose tracks or facilities would be utilized by the service; (B) the anticipated railroad carrier, if such entity is not part of the applicant group; and (C) any other service providers or entities expected to provide services or facilities that will be used by the service, including any required access to Amtrak systems, stations, and facilities if Amtrak is not part of the applicant group. (d) Priorities.—In awarding grants under this section, the Secretary shall give priority to applications—(1) for which planning, design, any environmental reviews, negotiation of agreements, acquisition of equipment, construction, and other actions necessary for initiation of service have been completed or nearly completed; (2) that would restore service over routes formerly operated by Amtrak, including routes described in section 11304 of the Passenger Rail Reform and Investment Act of 2015; (3) that would provide daily or daytime service over routes where such service did not previously exist; (4) that include funding (including funding from railroads), or other significant participation by State, local, and regional governmental and private entities; (5) that include a funding plan that demonstrates the intercity rail passenger service will be financially sustainable beyond the 3-year grant period; (6) that would provide service to regions and communities that are underserved or not served by other intercity public transportation; (7) that would foster economic development, particularly in rural communities and for disadvantaged populations; (8) that would provide other non-transportation benefits; (9) that would enhance connectivity and geographic coverage of the existing national network of intercity rail passenger service; and (10) for routes selected under the Corridor Identification and Development Program and operated by Amtrak. (e) Limitations.—(1) Duration.—Federal operating grants authorized under this section for any individual intercity rail passenger transportation route may not provide funding for more than 6 years (including for any such routes selected for funding before the date of enactment of the Passenger Rail Expansion and Rail Safety Act of 2021) and may not be renewed. (2) Limitation.—Not more than 6 of the operating assistance grants awarded pursuant to subsection (b) may be simultaneously active. (3) Maximum funding.—Grants described in paragraph (1) may not exceed—(A) 90 percent of the projected net operating costs for the first year of service; (B) 80 percent of the projected net operating costs for the second year of service; (C) 70 percent of the projected net operating costs for the third year of service; (D) 60 percent of the projected net operating costs for the fourth year of service; (E) 50 percent of the projected net operating costs for the fifth year of service; and (F) 30 percent of the projected net operating costs for the sixth year of service. (f) Use With Capital Grants and Other Federal Funding.—A recipient of an operating assistance grant under subsection (b) may use that grant in combination with other Federal grants awarded that would benefit the applicable service. (g) Availability.—Amounts appropriated for carrying out this section shall remain available until expended. (h) Coordination With Amtrak.—If the Secretary awards a grant under this section to a rail carrier other than Amtrak, Amtrak may be required consistent with section 24711(c)(1) of this title to provide access to its reservation system, stations, and facilities that are directly related to operations to such carrier, to the extent necessary to carry out the purposes of this section. The Secretary may award an appropriate portion of the grant to Amtrak as compensation for this access. (i) Conditions.—(1) Grant agreement.—The Secretary shall require a grant recipient under this section to enter into a grant agreement that requires such recipient to provide similar information regarding the route performance, financial, and ridership projections, and capital and business plans that Amtrak is required to provide, and such other data and information as the Secretary considers necessary. (2) Installments; termination.—The Secretary may—(A) award grants under this section in installments, as the Secretary considers appropriate; and (B) terminate any grant agreement upon—(i) the cessation of service; or (ii) the violation of any other term of the grant agreement. (3) Grant conditions.—The Secretary shall require each recipient of a grant under this section to comply with the grant requirements of section 22905. (j) Report.—Not later than 4 years after the date of enactment of the Passenger Rail Reform and Investment Act of 2015, the Secretary, after consultation with grant recipients under this section, shall submit to Congress a report that describes—(1) the implementation of this section; (2) the status of the investments and operations funded by such grants; (3) the performance of the routes funded by such grants; (4) the plans of grant recipients for continued operation and funding of such routes; and (5) any legislative recommendations.

49 U.S.C. § 22909 Railroad Crossing Elimination Program

(a) In General.—The Secretary of Transportation, in cooperation with the Administrator of the Federal Railroad Administration, shall establish a competitive grant program (referred to in this section as the “Program”) under which the Secretary shall award grants to eligible recipients described in subsection (c) for highway-rail or pathway-rail grade crossing improvement projects that focus on improving the safety and mobility of people and goods. (b) Goals.—The goals of the Program are—(1) to eliminate highway-rail grade crossings that are frequently blocked by trains; (2) to improve the health and safety of communities; (3) to reduce the impacts that freight movement and railroad operations may have on underserved communities; and (4) to improve the mobility of people and goods. (c) Eligible Recipients.—The following entities are eligible to receive a grant under this section:(1) A State, including the District of Columbia, Puerto Rico, and other United States territories and possessions. (2) A political subdivision of a State. (3) A federally recognized Indian Tribe. (4) A unit of local government or a group of local governments. (5) A public port authority. (6) A metropolitan planning organization. (7) A group of entities described in any of paragraphs (1) through (6). (d) Eligible Projects.—The Secretary may award a grant under the Program for a highway-rail or pathway-rail grade crossing improvement project (including acquiring real property interests) involving—(1) grade separation or closure, including through the use of a bridge, embankment, tunnel, or combination thereof; (2) track relocation; (3) the improvement or installation of protective devices, signals, signs, or other measures to improve safety, provided that such activities are related to a separation or relocation project described in paragraph (1) or (2); (4) other means to improve the safety and mobility of people and goods at highway-rail grade crossings (including technological solutions); (5) a group of related projects described in paragraphs (1) through (4) that would collectively improve the mobility of people and goods; or (6) the planning, environmental review, and design of an eligible project described in paragraphs (1) through (5). (e) Application Process.—(1) In general.—An eligible entity seeking a grant under the Program shall submit an application to the Secretary at such time, in such manner, and containing such information as the Secretary may require. (2) Railroad approvals.—(A) In general.—Except as provided in subparagraph (B), the Secretary shall require applicants to obtain the necessary approvals from any impacted rail carriers or real property owners before proceeding with the construction of a project funded by a grant under the Program. (B) Exception.—The requirement under subparagraph (A) shall not apply to planning projects described in subsection (d)(6) if the applicant agrees to work collaboratively with rail carriers and right-of-way owners. (f) Project Selection Criteria.—(1) In general.—In awarding grants under the Program, the Secretary shall evaluate the extent to which proposed projects would—(A) improve safety at highway-rail or pathway-rail grade crossings; (B) grade separate, eliminate, or close highway-rail or pathway-rail grade crossings; (C) improve the mobility of people and goods; (D) reduce emissions, protect the environment, and provide community benefits, including noise reduction; (E) improve access to emergency services; (F) provide economic benefits; and (G) improve access to communities separated by rail crossings. (2) Additional considerations.—In awarding grants under the Program, the Secretary shall consider—(A) the degree to which the proposed project will use—(i) innovative technologies; (ii) innovative design and construction techniques; or (iii) construction materials that reduce greenhouse gas emissions; (B) the applicant’s planned use of contracting incentives to employ local labor, to the extent permissible under Federal law; (C) whether the proposed project will improve the mobility of—(i) multiple modes of transportation, including ingress and egress from freight facilities; or (ii) users of nonvehicular modes of transportation, such as pedestrians, bicyclists, and public transportation; (D) whether the proposed project is identified in—(i) the freight investment plan component of a State freight plan, as required under section 70202(b)(9); (ii) a State rail plan prepared in accordance with chapter 227; or (iii) a State highway-rail grade crossing action plan, as required under section 11401(b) of the Passenger Rail Reform and Investment Act of 2015 (title XI of Public Law 114–94); and (E) the level of financial support provided by impacted rail carriers. (3) Award distribution.—In selecting grants for Program funds in any fiscal year, the Secretary shall comply with the following limitations:(A) Grant funds.—Not less than 20 percent of the grant funds available for the Program in any fiscal year shall be reserved for projects located in rural areas or on Tribal lands. The requirement under section 22907(l), which applies to this section, shall not apply to grant funds reserved specifically under this subparagraph. Not less than 5 percent of the grant funds reserved under this subparagraph shall be reserved for projects in counties with 20 or fewer residents per square mile, according to the most recent decennial census, provided that sufficient eligible applications have been submitted. (B) Planning grants.—Not less than 25 percent of the grant funds set aside for planning projects in any fiscal year pursuant to section 22104(b) of the Passenger Rail Expansion and Rail Safety Act of 2021 shall be awarded for projects located in rural areas or on tribal lands. (C) State limitation.—Not more than 20 percent of the grant funds available for the Program in any fiscal year may be selected for projects in any single State. (D) Minimum size.—No grant awarded under this section shall be for less than $1,000,000, except for a planning grant described in subsection (d)(6). (g) Cost Share.—Except as provided in paragraph (2),11 So in original. No par. (2) has been enacted. the Federal share of the cost of a project carried out using a grant under the Program may not exceed 80 percent of the total cost of the project. Applicants may count costs incurred for preliminary engineering associated with highway-rail and pathway-rail grade crossing improvement projects as part of the total project costs. (h) Congressional Notification.—Not later than 3 days before awarding a grant for a project under the Program, the Secretary shall submit written notification of the proposed grant to the Committee on Commerce, Science, and Transportation of the Senate and the Committee on Transportation and Infrastructure of the House of Representatives, which shall include—(1) a summary of the project; and (2) the amount of the proposed grant award. (i) Annual Report.—Not later than 60 days after each round of award notifications, the Secretary shall post, on the public website of the Department of Transportation—(1) a list of all eligible applicants that submitted an application for funding under the Program during the current fiscal year; (2) a list of the grant recipients and projects that received grant funding under the Program during such fiscal year; and (3) a list of the proposed projects and applicants that were determined to be ineligible. (j) Commuter Rail Eligibility and Grant Conditions.—(1) In general.—Section 22905(f) shall not apply to grants awarded under this section for commuter rail passenger transportation projects. (2) Administration of funds.—The Secretary of Transportation shall transfer amounts awarded under this section for commuter rail passenger transportation projects to the Federal Transit Administration, which shall administer such funds in accordance with chapter 53. (3) Protective arrangements.—(A) In general.—Notwithstanding paragraph (2) and section 22905(e)(1), as a condition of receiving a grant under this section, any employee covered by the Railway Labor Act (45 U.S.C. 151 et seq.) and the Railroad Retirement Act of 1974 (45 U.S.C. 231 et seq.) who is adversely affected by actions taken in connection with the project financed in whole or in part by such grant shall be covered by employee protective arrangements required to be established under section 22905(c)(2)(B). (B) Implementation.—A grant recipient under this section, and the successors, assigns, and contractors of such grant recipient—(i) shall be bound by the employee protective arrangements required under subparagraph (A); and (ii) shall be responsible for the implementation of such arrangements and for the obligations under such arrangements, but may arrange for another entity to take initial responsibility for compliance with the conditions of such arrangement. (k) Defined Term.—In this section, the term “rural area” means any area that is not within an area designated as an urbanized area by the Bureau of the Census.

49 U.S.C. § 22910 Interstate Rail Compacts Grant Program

(a) Grants Authorized.—The Secretary of Transportation shall establish a competitive grant program to provide financial assistance to entities implementing interstate rail compacts pursuant to section 410 of the Amtrak Reform and Accountability Act of 1997 (49 U.S.C. 24101 note) for—(1) costs of administration; (2) systems planning, including studying the impacts on freight rail operations and ridership; (3) promotion of intercity passenger rail operation; (4) preparation of applications for competitive Federal grant programs; and (5) operations coordination. (b) Maximum Amount.—The Secretary may not award a grant under this section in an amount exceeding $1,000,000 per year. (c) Selection Criteria.—In selecting a recipient of a grant for an eligible project under this section, the Secretary shall consider—(1) the amount of funding received (including funding from a rail carrier (as defined in section 24102)) or other participation by State, local, and regional governments and the private sector; (2) the applicant’s work to foster economic development through rail service, particularly in rural communities; (3) whether the applicant seeks to restore service over routes formerly operated by Amtrak, including routes described in section 11304(a) of the Passenger Rail Reform and Investment Act of 2015 (title XI of division A of Public Law 114–94); (4) the applicant’s dedication to providing intercity passenger rail service to regions and communities that are underserved or not served by other intercity public transportation; (5) whether the applicant is enhancing connectivity and geographic coverage of the existing national network of intercity passenger rail service; (6) whether the applicant has prepared regional rail or corridor service development plans and corresponding environmental analysis; and (7) whether the applicant has engaged with appropriate government entities and transportation providers to identify projects necessary to enhance multimodal connections or facilitate service integration between rail service and other modes, including between intercity passenger rail service and intercity bus service or commercial air service. (d) Numerical Limitation.—The Secretary may not award grants under this section for more than 10 interstate rail compacts in any fiscal year. (e) Operator Limitation.—The Secretary may only award grants under this section to applicants with eligible expenses related to intercity passenger rail service to be operated by Amtrak. (f) Non-Federal Match.—The Secretary shall require each recipient of a grant under this section to provide a non-Federal match of not less than 50 percent of the eligible expenses of carrying out the interstate rail compact under this section. (g) Report.—Not later than 3 years after the date of enactment of the Passenger Rail Expansion and Rail Safety Act of 2021, the Secretary, after consultation with grant recipients under this section, shall submit a report to the Committee on Commerce, Science, and Transportation of the Senate and the Committee on Transportation and Infrastructure of the House of Representatives that describes—(1) the implementation of this section; (2) the status of the planning efforts and coordination funded by grants awarded under this section; (3) the plans of grant recipients for continued implementation of the interstate rail compacts; (4) the status of, and data regarding, any new, restored, or enhanced rail services initiated under the interstate rail compacts; and (5) any legislative recommendations.

Starting a business? Corpus forms LLCs in all 50 states and DC.