[H.R. 9742, 86th Cong., 2d sess.] A BILL To amend the Interstate Commerce Act, as amended, so as to strengthen and improve the national transportation system, insure the protection of the public interest, and for other purposes Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, That this Act may be cited as the "Passenger Train Service Act of 1960." DECLARATION OF FINDINGS, PURPOSES, AND POLICY SEC. 2. (a) The Congress finds that it is in the public convenience and necessity to foster and protect the continued development and growth of the railroads of the United States which are essential to a strong economy in time of peace and to the needs of national defense in time of national emergency; that the passenger operations of the railroads, no less than their freight operations, are vitally necessary to insure the military security of the United States in time of national emergency; that it is a recognized part of the railroads' public obligation and responsibility to provide reasonably frequent, safe, clean, and convenient passenger service; that, to accomplish the objective of securing an adequate and sound rail transportation system properly serving the public convenience and necessity, it is essential that the railroads exercise all reasonable and proper means of retaining and securing sufficient passenger patronage to permit continued operation of their passenger services; and that in the proper discharge of these obligations and responsibilities to the public, the railroads should not be permitted to engage in activities which tend to eliminate or discourage patronage of their passenger service. (a) It is hereby declared to be the policy of the United States and in the public interest to foster and protect the foregoing objectives by (1) imposing upon the Interstate Commerce Commission authority over the passenger train service of the railroads, and (2) requiring the railroads to exercise all reasonable efforts to preserve, continue, and improve their passenger train service, as provided for in this Act. SEC. 3. Part I of the Interstate Commerce Act (49 U.S.C. 1) is amended by the deletion therefrom of section 13a. SEC. 4. Section 1 of part I of the Interstate Commerce Act is amended by adding at the end thereof the following: "(23) (a) No carrier subject to this part shall discontinue, in whole or in part, the operation or service of any passenger train or ferry, operating from a point in one State to a point in any other State or in the District of Columbia or from the District of Columbia to a point in any other State, unless and until such carrier shall first have applied for and obtained from the Commission, or from a State regulatory agency having jurisdiction, a certificate that the present or future public convenience and necessity permit of such discontinuance. Upon the receipt of protests to such applications, the Commission shall hold a public hearing on the application; and the Commission shall avail itself of the cooperation, services, records, and facilities of the authorities in such States in the performance of its functions hereunder. "(b) Where the discontinuance, in whole or in part, by a carrier or carriers subject to this part of the operation or services of any passenger train or ferry operated wholly within the boundaries of a single State authority having jurisdiction thereof shall have denied an application or petition duly filed with it by said carrier or carriers for authority to discontinue, in whole or in part, the operation or service of any such passenger train or ferry, or shall not have acted finally on such application or petition within 120 days from the presentation thereof, such carrier or carriers may petition the Commission for a certificate authorizing the discontinuance. For the purposes of this subparagraph (b), the Commission may issue such certificate only after full hearing and upon findings by it that (1) the present or future public convenience and necessity permit such discontinuance, in whole or in part, of the operation or service of such passenger train or ferry, and (2) the continued operation of such passenger train or ferry without discontinuance, in whole or in part, will constitute an unjust and undue burden upon the interstate operations of such carrier or upon interstate commerce. The hearing provided for herein shall be held by the Commission in the State in which such passenger train or ferry is operated; and the Commission shall avail itself of the cooperation, service, records, and facilities of the authorities in such State in the performance of its functions hereunder. "(c) When any application or petition is filed with the Commission pursuant to the provisions of this paragraph (23) the Commission shall notify immediately the Governor or Governors of the State or States in which the passenger train or ferry intended to be discontinued is operated, the Secretary of Defense, the Administrator of the Federal Civil Defense Administration, and the regulatory agencies in the State or States involved having jurisdiction over railroad operations: Provided, That in addition to notice of the existence of the application or petition, the Commission shall notify those above listed of the time and place of the hearing provided for in this paragraph (23) at least thirty days in advance of the time set for said hearing. "(d) In passing upon any proposed discontinuance under the provisions of this paragraph (23), the Commission shall consider, among other things, the effect of the discontinuance upon the military and civil defense needs of the Nation and the State or States involved, the carrier's discharge of its public responsibility and obligations to provide reasonably frequent, safe, clean, and convenient passenger train service, the value of the train or trains involved to the carrier's system revenues and expenses, and the carrier's revenues from all freight and passenger traffic in the State or States in which the carrier operates the train or ferry sought to be discontinued, as well as said carrier's expenses of operation in said State or States. "(e) The Commission shall have the power to issue such certificate as prayed for, or refuse to issue it, or to issue it in part and deny it in part, and may attach to the issuance of the certificate such terms and conditions, including those for the protection of the interests of employees affected as a result thereof, as in its judgment the public convenience and necessity may require. From and after issuance of such certificate, and not before, the carrier by railroad may, without securing approval other than such certificate, comply with the terms and conditions contained in or attached to the issuance of such certificate and proceed with the discontinuance covered thereby. Any discontinuance contrary to the provisions of this paragraph (23) may be enjoined by any court of competent jurisdiction at the suit of the United States, the Commission, any commission or regulating body in the State or States affected, or any party in interest. "(f) The Commission is authorized to call upon, for advice in any matter arising under the provisions of this paragraph (23) and paragraph (24), any agency of the United States Government, including those charged with the responsibility for the military security or civil defense of the Nation, and any such agency shall have the right to intervene as a party in interest in any proceeding arising under this Act. "(g) As used in this paragraph (23) and paragraph (24): "(1) The term 'passenger train' shall include one or more self-propelled units normally used to transport persons for hire, or a locomotive and one or more of the following cars used to transport persons for hire: dining cars, sleeping cars, lounge cars, and coaches; (2) The term 'passenger train service' shall include all transportation services normally rendered by railroads by means of passenger trains and related facilities, including station and ticket facilities; "(3) The term 'passenger traffic' shall include everything normally transported by passenger trains. “(24) (a) It shall be the duty of every carrier by railroad to exert every reasonable effort to maintain sufficient passenger train service to meet the military and civil defense needs of the Nation in time of national emergency and to maintain and furnish safe and adequate passenger train service to the public, including, among other things, the observance of minimum standards of sanitation and comfort in all passenger facilities, maintenance of convenient schedules of operation, and the maintenance and use of passenger train equipment adequate to assure compliance with the objectives of this Act. "(b) The provisions of subsections (1) and (2) of section 13 of this part shall apply in the event a claim is made that a carrier has not discharged its duty under subparagraph (a) of this paragraph (24). Should the Commission find, in an investigation instituted after complaint or upon its own motion without complaint, that a carrier has not discharged its duty under subparagraph (a) it shall by appropriate order prescribe such practice thereafter to be observed by the carrier, in such manner as, in the judgement of the Commission, will result in the discharge of the carrier's duty under subparagraph (a). A carrier which refuses or neglects to comply with any order of the Commission made in pursuance of this subparagraph (b) shall be liable to a penalty of $400 for each day during which such refusal or neglect continues, which shall accrue to the United States and be recoverable in a civil action brought by the United States. "(c) (1) It shall be the duty of the Commission to see that the requirements of this paragraph (24), and the orders and practices made or prescribed hereunder are observed by every carrier. In order to carry out its duties under this paragraph (24) the Commission is authorized to inspect the manner in which the carriers serve the public in the conduct of their passenger train service, including inspection of the physical condition of the actual equipment used in the passenger trains with respect to passenger comfort and sanitation, the service rendered patrons in stations, and all related matters. "(c) (2) The persons employed by the Commission to assist in the carrying out of its duties under this paragraph shall file with it monthly inspection reports which shall cover a thirty-day inspection period, terminating not more than fourteen days prior to the filing of the report, and shall include the names of all carriers inspected, a description of the physical condition of each passenger train and related facility inspected with respect to passenger comfort and sanitation, the consideration of passenger convenience in the scheduling of the passenger trains, the inspector's recommendations to the Commission and any other information which the Commission may designate. The report shall be made on forms prepared and supplied by the Commission. "(d) Nothing contained in this paragraph (24) shall supersede any laws of the several States except to the extent that this paragraph (24) prescribes requirements additional to those provided by State law." SEC. 5. Nothing in any amendment made by this Act shall supersede, interfere with, or affect the procedures under, or rights, benefits or privileges created and protected by, the provisions of the Act entitled the Railway Labor Act, as amended. SEC. 6. Section 16 (8) of part I of the Interstate Commerce Act is amended by inserting therein after the word "provisions" the following: “of paragraph (23) of section 1 or". (NOTE.-Bills identical to H.R. 9742, introduced by Mr. Moulder of Missouri, are H.R. 9838 by Mr. Staggers of West Virginia; H.R. 9864 by Mr. Burdick of North Dakota; H.R. 9943 by Mr. Zelenko of New York; H.R. 10121 by Mr. Rhodes of Pennsylvania; H.R. 10131 by Mr. Dent of Pennsylvania; H.R. 10165 by Mr. Dulski of New York; H.R. 10192 by Mrs. Dwyer of New Jersey; H.R. 10262 by Mr. Hays of Ohio; H.R. 10264 by Mr. Johnson of California; H.Ř. 10354 by Mr. Thompson of New Jersey; and H.R. 10762 by Mr. Macdonald of Massachusetts.) Hon. OREN HARRIS, INTERSTATE COMMERCE COMMISSION, OFFICE OF THE CHAIRMAN, Washington, D.C., April 17, 1959. Chairman, Committee on Interstate and Foreign Commerce, House of Representatives, Washington, D.C. DEAR CHAIRMAN HARRIS: Your letter of February 12, 1959, addressed to the Chairman of the Commission and requesting a report and comments on a bill, H.R. 4292, introduced by Congressman Osmers, to repeal section 13a of the Interstate Commerce Act, has been referred to our Committee on Legislation. After consideration by that committee I am authorized to submit the following comments in its behalf: Section 13a of the Interstate Commerce Act which H.R. 4292 would repeal, was added to that act by the Transportation Act of 1958. The report of the House Interstate and Foreign Commerce Committee (H. Rept. No. 1922, 85th Cong., 2d sess.) on H.R. 12832, which contained provisions similar to those contained in section 13a, pointed out that a major cause of the worsening railroad situation was the unsatisfactory passenger situation, and that under then existing law this Commission had no jurisdiction over discontinuance or changes in train service, except where complete abandonment of a line of track was involved. The report stated that local regulation of what has come to be a national problem has hampered the railroads from making some changes in their passenger train operations in line with changes in patronage, and has contributed greatly to the passenger deficit. It appears, therefore, that section 13a was added to the Interstate Commerce Act to afford the railroads relief from State requirements for the continued operation of trains unless this Commission finds that such service is required by public convenience and necessity and will not unduly burden interstate commerce. This provision of the law has been in effect only since August 12, 1958. We are aware of no material change since that date in the situation which led to the enactment of section 13a which would now justify its repeal. Accordingly, we do not recommend enactment of H.R. 4292. We wish to point out, however, that various interested individuals, groups, and organizations have expressed dissatisfaction with the procedure provided and the time limitations imposed by paragraph (1) of section 13a, and, as you are undoubtedly aware, several bills have been introduced in both the House and Senate to amend the act in this respect. These proposals have been referred to the Commission for an expression of its views, and a report will be submitted upon completion of an analysis and study thereof. Respectfully submitted. KENNETH H. TUGGLE, Chairman, HOWARD FREAS, MY DEAR MR. CHAIRMAN: This is to acknowledge your letters of February 12, 1959, March 16, 1959, and March 21, 1959, requesting, respectively, the views of the Bureau of the Budget on H.R. 4292, a bill to repeal section 13a of the Interstate Commerce Act, H.R. 5596, a bill to amend the Interstate Commerce Act, as amended, so as to strengthen and improve the national transportation system, insure the protection of the public interest, and for other purposes, and H.R. 5866, a bill to amend section 13a (1) of the Interstate Commerce Act, as amended, relative to discontinuance or change of the operation of certain trains or ferries. These bills would amend (H.R. 4292 would repeal) section 13a of the Interstate Commerce Act dealing with the discontinuance of trains or ferries. Section 13a was enacted less than 1 year ago as part of the Transportation Act of 1958 and embodies a recommendation of the Presidential Advisory Committee on Transport Policy and Organization. The Bureau of the Budget has no information indicating changed conditions which would justify the repeal of section 13a and believes that it has not been sufficiently tested to warrant modification at this time. While the Bureau would not oppose procedural changes eventually proven necessary to make review of discontinuance applications more effective, it doubts that either H.R. 5596 or H.R. 5866 would achieve this purpose. On the contrary, it is believed that enactment of either bill might create the kind of procedural delays which section 13a was designed to eliminate. Accordingly, the Bureau of the Budget is opposed to the enactment of any of these bills. Sincerely yours, PHILLIP S. HUGHES, Assistant Director for Legislative Reference. INTERSTATE COMMERCE COMMISSION, Hon. OREN HARRIS, Chairman, Committee on Interstate and Foreign Commerce, DEAR CHAIRMAN HARRIS: Your letter of March 16, 1959, requesting a report and comments on a bill, H.R. 5596, introduced by Congressman Dwyer, to amend the Interstate Commerce Act, as amended, so as to strengthen and improve the national transportation system, insure the protection of the public interest, and for other purposes, has been considered by the Commission, and I am authorized to submit the following comments: While it appears that the first clause of this bill is intended to eliminate section 13a from the Interstate Commerce Act, it refers to "subsection (a)" of section 13. Section 13a is a separate section which was added to the Interstate Commerce Act by the Transportation Act of 1958, and is not a subsection of section 13. The United States Code reference should also be changed to "(49 U.S.C. 13a).” In contrast to the permissive nature of section 13a (1), the proposed new section 1 (19) (a) would require carriers subject to part I of the act to obtain the authorization of this Commission to effect such discontinuances, unless the carrier elects to proceed under State law, provided, however, such law exists. In other words, under the present provisions of the act, a railroad may discontinue a passenger train without Federal action unless the result amounts to an abandonment of a line of railroad within the scope of section 1(18). Thus, to effect such discontinuance the carrier is required only to comply with such State laws as may be applicable. If no State laws are applicable it may change the service at will. However, under the proposed new section 1(19) (a) the latter no longer would be true, it apparently being intended that authorization must be obtained either from a State agency or this Commission before any interstate passenger train could be discontinued in whole or in part. We have no objection to this proposed change. While section 13a presently applies to "any train or ferry," the proposed new provisions would be applicable only to "any passenger train or ferry." We would also have no objection to this proposed change and urge that it be made if the bill retains the requirement that a proposed discontinuance be passed upon by this Commission where no State law is applicable. The effect of the following clause, "or if a proceeding for which an order or certificate will issue respecting such discontinuance is pending before a court or administrative or regulatory agency of any State" which appears in lines 11-13, page 2 of the bill, is not clear, and, in view of the immediately preceding language in lines 7-11, seems unnecessary. We therefore sugges that this clause be eliminated. The present section 1(19), which under the new bill would be renumbered as section 1(20) and amended to embrace train discontinuances and changes in service, sets forth the procedure to be followed by the Commission and parties after an appropriate application is filed. In view thereof, and since no change of that subsection is proposed by the bill, except as above mentioned, it would appear that the two sentences beginning in line 17 and ending in line 24, page 2, of the bill should be stricken. We believe that the procedure provided for by present section 1(19) adequately protects the public interest, and we are unaware of any dissatisfaction with these provisions as they have been applied in abandonment proceedings. We doubt the desirability of making a public hearing mandatory in every case in which a protest is filed. From its experience in abandonment proceedings under section 1 (18), the Commission has found it desirable that it have some discretion in determining whether a particular application should be set down for hearing. If the described language is retained in proposed new section 1(19), then appropriate changes in the present section 1(19) should be made to eliminate inconsistencies. The language beginning in line 25, page 4, of the bill which reads "(1) by striking the period after 'abandonment of lines' in the heading of the paragraph and inserting in lieu thereof 'or discontinuance of passenger trains or ferries.' and" should be eliminated. Although the language proposed to be changed appears in the appropriate section of the Interstate Commerce Act Annotated, it is not a part of the statute itself. If this clause is stricken, the remaining clauses (2) through (5) should be renumbered accordingly. |