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Kirk, William J., trustee, New York, New Haven & Hartford Rail-
road Co., Newtonville, Mass___

Klein, Nathan M., Sea Cliff, Long Island, N.Y.

364

Kohl, John C., Assistant Administrator (Transportation), Housing and
Home Finance Agency, Washington, D.C.; accompanied by Richard
Bryant, Office of the General Counsel

259

304

Padula, Hon. Louis J., member, Connecticut House of Representatives,
Norwalk, Conn__

293

Rosan, Richard A., United Communities for Railroad Action, Stam-
ford, Conn...

324

331

95

Sage, George M., president, the Short Line Inc., Providence, R.I..
Saltonstall, Hon. Leverett, U.S. Senator from the Commonwealth of
Massachusetts, Senate Office Building, Washington, D.C_

Schamus, Sanford L., New York, N.Y..

Schiff, Irwin A., New Haven, Conn..

Smith, Richard J., trustee, the New York, New Haven & Hartford
Railroad Co., New Haven, Conn.; accompanied by William J.
Kirk, trustee; Harry W. Dorigan, trustee; Robert W. Blanchette,
general counsel; James W. Moore, counsel for trustees; Joseph
Auerbach, special counsel for trustees; and Hollis Coyle,
comptroller_

Volpe, Hon. John A., Governor, Commonwealth of Massachusetts,
State House, Boston, Mass_

Webb, Hon. Charles A., Chairman, Interstate Commerce Commission,
Washington, D.C.; accompanied by Kenneth H. Tuggle, Chairman,
Division 3; Matthew Paolo, Director, Bureau of Accounts; Thaddeus
W. Forbes, Director, Bureau of Finance; and Edward Margolin,
Director, Bureau of Transport Economics and Statistics..
Zellers, John B., assistant vice president, Peoples Savings Bank,
Bridgeport, Conn....

Zimmerman, Prof. Frederick A., Hunter College, New York, N.Y., on

behalf of Senator Max Berking of the New York State Senate.---.

113

227

158

333

Beattie, Donald S., executive secretary, Railway Labor Executives'
association, NW., Washington, D.C.......

382

Statements submitted by-

Statements submitted by-Continued

Fogarty, Hon. John E., U.S. Representative from the State of Rhode
Island, House Office Building, Washington, D.C...

Page

93

Irwin, Hon. Donald J., U.S. Representative from the State of Con-
necticut, Longworth Office Building, Washington, D.C
National Association of Motor Bus Owners, Washington, D.C.
Nelson, Prof. James R., Amherst College, Amherst, Mass
Peabody, Endicott, Roche & Leen, Boston, Mass-

378

385

387

380

St Germain, Hon. Fernand, U.S. Representative from the State of
Rhode Island, House Office Building, Washington, D.C

Letters received from-

94

Dorigan, H. W., New Haven, Conn., to Senator Pastore, dated March
23, 1965

Dorigan, H. W., New Haven, Conn. to Senator Pastore, dated March
17, 1963.

321

209

Dorigan, H. W., New Haven, Conn., to Senator Pastore, dated March
31, 1965_

Hutchinson, Hon. Everett, Commissioner, Interstate Commerce Com-
mission, Washington, D.C., to Senator Smathers, dated September
6, 1961..

Moore, James Wm., New Haven, Conn. to Senator Pastore, dated
March 23, 1965..

Nugent, Hon., J. Joseph, attorney general, State of Rhode Island,
Providence, R.I., to Governor Chafee, dated March 22, 1965----
Webb, Hon. Charles A., Chairman, Interstate Commerce Commission,
Washington, D.C., to Senator Magnuson, dated March 9, 1965----
Miscellaneous information submitted-

Article entitled "Who Will Save the New Haven?" by Senator Clai-
borne Pell, February 22, 1965, issue of the Nation magazine_-
Exhibits to statement of William J. Kirk, trustee, New York, New
Haven & Hartford Railroad Co

248

181

321

224

166

75

137

Extracts from constitutions of Massachusetts, New York, and Rhode
Island....

68

Memorandum from the Library of Congress to Senate Commerce
Committee, dated March 1, 1965.

265

Memorandum of Decision Re Petition for Order No. 287 by the U.S.
District Court, District of Connecticut__

24

Memorandum concerning airline subsidy, H. H. Coyle, New
Haven, Conn.

322

Supplemental exhibits furnished by the New York, New Haven and
Hartford Railroad Company_

318

Table: Class I Line-Haul Railroads Conducting Passengers Service by
District and Individual Roads, Year 1963_

52

Telegram from Senator Dodd to Senator Pastore, dated March 11, 1965.

346

THE CRISIS IN PASSENGER TRAIN SERVICE

TUESDAY, MARCH 2, 1965

U.S. SENATE, COMMITTEE ON COMMERCE, Washington, D.C.

The committee met, pursuant to notice, at 10:08 a.m., in room 5110, New Senate Office Building, Hon. John O. Pastore presiding. Senator PASTORE. This hearing will please come to order.

Today the full Committee on Commerce meets to receive testimony on four very important bills which relate to passenger railroad transportation.

The first of these, S. 325, was introduced by Senator Ribicoff on January 7, 1965. It would amend the Interstate Commerce Act to authorize the ICC to provide economic assistance to railroads for the purpose of preserving and improving essential passenger train services and facilities.

Without objection, a copy of S. 325 and an analysis of its provisions will be printed at this point in the record. (The bill follows:)

[S. 325, 89th Cong., 1st sess.]

A BILL To amend the Interstate Commerce Act, as amended, to authorize the Interstate Commerce Commission to assist common carriers of passengers by railroad in preserving and improving essential passenger train services and facilities, 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 "Railroad Passenger Train Assistance Act of 1965."

SEC. 2. The Interstate Commerce Act, as amended, is amended by inserting immediately after part V thereof the following new part:

"PART VI
"PURPOSE

"SEC. 601. It is the purpose of this part to provide for assistance to common carriers of passengers by railroad subject to this Act to aid them in preserving and improving essential passenger train services and facilities, and to encourage State and local governments and their public instrumentalities to extend tax relief and other assistance toward the same end, to encourage the employment of labor, and to foster the preservation and development of a national transportation system adequate to meet the needs of the commerce of the United States, of the postal service, and of the national defense.

"DEFINITIONS

"SEC. 602. For the purposes of this part

"(a) The term 'Commission' means the Interstate Commerce Commission. "(b) The term 'expense' means expenditures for labor, materials, services and other costs incurred in maintaining, repairing, or renewing road property used

Staff counsel assigned to this hearing: Joseph R. Fogarty and Stanton P. Sender.

Ι

in transportation service which are chargeable to the maintenance of way and structure operating expense accounts in accordance with the uniform system of accounts for railroad companies prescribed by the Commission.

"(c) The term 'expenses,' in referring to expenses directly assignable as solely related to railroad passenger service or to that portion of common expenses assignable to railroad passenger service, means expenses assignable in accordance with rules governing the separation of operating expenses, railway taxes, equipment rents, and joint facility rents, between freight service and passenger service prescribed by the Commission.

"APPLICATION FOR AID; CONDITIONS PRECEDENT TO GRANTING

"SEC. 603. In order to carry out the purpose declared in section 601, the Commission is authorized and directed to consider the application of any railroad subject to this Act for financial aid in the operation of a passenger train or trains required by the present or future public convenience and necessity. No such application shall be approved by the Commission unless it determines that (1) the continuance of passenger train operations specified in the application is required by the present or future public convenience and necessity; and (2) the granting of the aid applied for is necessary to carry out effectively the purpose of this part. Applications shall be under oath or affirmation and in such form as the Commission shall prescribe. A statement of the findings of the Commission under the provisions of this section shall be made a matter of public record by the Commission with respect to each application considered under the provisions of this part.

"DETERMINATION OF AMOUNT OF AID

"SEC. 604. (a) The amount of financial aid extended under the provisions of this section shall be determined on the basis of a final accounting respecting passenger train operations conducted during the calendar year preceding the year in which the application is filed and shall be payable as soon as practicable after the end of each such calendar year.

"(b) The maximum amount of financial aid available to any applicant shall be: "(1) Expenses incurred by the applicant in the preceding calendar year in the maintenance of way and structures which are directly assignable as solely related to railroad passenger service; plus

"(2) Any expenses incurred in the preceding calendar year in the maintenance of the applicants' way and structures by any State, municipality, or other political subdivision, or any public instrumentality thereof, which, if incurred by the applicant, would be an expense directly assignable as solely related to railroad passenger service; plus

"(3) That portion of common expenses incurred by the applicant in the preceding calendar year in the maintenance of way and structures which is assignable to railroad passenger services: Provided, however, That the amount of any grant determined in accordance with the provisions of this paragraph shall not exceed the amount of assistance including tax relief, but excluding any assistance available under paragraph (2) above, made available to the applicant in the preceding calendar year by any State, municipality, or other political subdivision, or any public instrumentality thereof, which, in the judgment of the Commission, is reasonably related to the purpose of this part.

"(c) In determining the amount of aid to be extended to an applicant under the provisions of this section, the decision of the Commission shall be final.

"ACQUISITION AND MODERNIZATION OF EQUIPMENT

"SEC. 605. In order to carry out the purposes declared in section 601, the Commission is authorized and directed to consider the application of any railroad subject to this Act for financial aid in the acquisition and modernization of passenger cars, including multiple-unit commuter cars, required by the present or future public convenience and necessity. The Commission will apply the same conditions precedent to granting aid under this section as set forth in section 603.

"DISCONTINUANCE OR CHANGE OF CERTAIN PASSENGER OPERATIONS OR SERVICES

"SEC. 606. In the determination of any proposed discontinuance or change in passenger operations or services under the provisions of section 13a of this Act, the Commission shall give appropriate weight to any representations relative to the present or future public convenience and necessity which may have been made by the carrier involved under the provisions of this part and to the amount

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