§727 Additional purchases of Series A preferred stock

Summary

The Association must buy Series A preferred stock and accounts receivable from the Corporation after August 13, 1981, up to a total of $137,000,000. The purchases must include receivables tied to the right-of-way cost dispute until the Commission settles it and receivables caused by delays in commuter authority reimbursements. From money available under this section or section 726, the Association may buy Series A stock to cover commuter service losses up to $15,000,000. The Corporation is free from State tax, except local taxes for taxable periods that begin before January 1, 1987. The Association must return debentures to the Corporation equal to the value of properties the Corporation gave to Amtrak Commuter and any commuter authority. The Corporation keeps the right to collect any purchased receivables from delayed commuter reimbursements, and no U.S. agency is required to collect them. Congress may appropriate up to $262,000,000 total, divided as follows: up to $137,000,000 to the Association for the purchases above (available until the Secretary transfers the Corporation under subchapter IV); up to $75,000,000 to the Secretary to help transfer commuter services under section 1139(b) of the Northeast Rail Service Act of 1981; up to $35,000,000 to the Secretary for employee protection under section 1005; and up to $15,000,000 to help transfer commuter services from railroads that went into reorganization after 1974 to commuter authorities that were operating such service on January 1, 1979. Money received from holding or selling the securities or receivables in the $137,000,000 pool must go into the Treasury general fund. The $75,000,000 amount will be reduced by any amounts reappropriated under section 726(g)(2) when an act reappropriates them.