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Title 45 — RailroadsRelease 119-73not60

§1204 Transition Period

Title 45 › Chapter 21— ALASKA RAILROAD TRANSFER › § 1204

Last updated Apr 5, 2026|Official source

Summary

The Secretary and the Governor of Alaska must work together and, within six months after January 14, 1983, send a report to the U.S. Congress and the Alaska legislature. The report must say what rail property exists, what debts or duties the State will take, any money or personal property that will be kept back, and it must clearly list which rail assets will be transferred, which will be licensed to the State, and which easements will be kept. The Secretaries of Agriculture, Defense, and the Interior and the head of the General Services Administration must give the Secretary the information and help needed for the report. From January 14, 1983 until the railroad is transferred, the State can inspect and copy all railroad property and related records held by any U.S. agency, under confidentiality rules the Secretary sets. During that time, without the State’s consent and following the law and the agreed memorandum, the Secretary and the Alaska Railroad may not: approve any single capital spending from the Alaska Railroad Revolving Fund over $300,000; (except if the law requires) transfer real railroad property; or lease railroad property for more than five years. Before transfer, the railroad’s accounting must be able to report to the Interstate Commerce Commission in the same formats as similar rail carriers. Within nine months after January 14, 1983, the United States Railway Association must determine the railroad’s fair market value, including appraisals of real and personal property to be transferred, using normal appraisal methods and available data; that valuation does not change any inventory or valuation rules required by the Interstate Commerce Commission.

Full Legal Text

Title 45, §1204

Railroads — Source: USLM XML via OLRC

(a)Within 6 months after January 14, 1983, the Secretary and the Governor of Alaska shall jointly prepare and deliver to the Congress of the United States and the legislature of the State a report that describes to the extent possible the rail properties of the Alaska Railroad, the liabilities and obligations to be assumed by the State, the sum of money, if any, in the Alaska Railroad Revolving Fund to be withheld from the State pursuant to section 1202(10)(C) 11 See Codification note below. of this title, and any personal property to be withheld pursuant to section 1202(10)(D) 1 of this title. The report shall separately identify by the best available descriptions (1) the rail properties of the Alaska Railroad to be transferred pursuant to section 1203(b)(1)(A), (B), and (D) of this title; (2) the rail properties to be subject to the license granted pursuant to section 1203(b)(1)(C) of this title; and (3) the easements to be reserved pursuant to section 1203(c)(2) of this title. The Secretaries of Agriculture, Defense, and the Interior and the Administrator of the General Services Administration shall provide the Secretary with all information and assistance necessary to allow the Secretary to complete the report within the time required.
(b)During the period from January 14, 1983, until the date of transfer, the State shall have the right to inspect, analyze, photograph, photocopy and otherwise evaluate all of the rail properties of the Alaska Railroad and all records related to the rail properties of the Alaska Railroad maintained by any agency of the United States under conditions established by the Secretary to protect the confidentiality of proprietary business data, personnel records, and other information, the public disclosure of which is prohibited by law. During that period, the Secretary and the Alaska Railroad shall not, without the consent of the State and only in conformity with applicable law and the Memorandum of Understanding referred to in section 1205(b)(3) of this title—
(1)make or incur any obligation to make any individual capital expenditure of money from the Alaska Railroad Revolving Fund in excess of $300,000;
(2)(except as required by law) sell, exchange, give, or otherwise transfer any real property included in the rail properties of the Alaska Railroad; or
(3)lease any rail property of the Alaska Railroad for a term in excess of five years.
(c)Prior to transfer of the rail properties of the Alaska Railroad to the State, the Alaska Railroad’s accounting practices and systems shall be capable of reporting data to the Interstate Commerce Commission in formats required of comparable rail carriers subject to the jurisdiction of the Interstate Commerce Commission.
(d)(1)Within nine months after January 14, 1983, the United States Railway Association (hereinafter in this section referred to as the “Association”) shall determine the fair market value of the Alaska Railroad under the terms and conditions of this chapter, applying such procedures, methods and standards as are generally accepted as normal and common practice. Such determination shall include an appraisal of the real and personal property to be transferred to the State pursuant to this chapter. Such appraisal by the Association shall be conducted in the usual manner in accordance with generally accepted industry standards, and shall consider the current fair market value and potential future value if used in whole or in part for other purposes. The Association shall take into account all obligations imposed by this chapter and other applicable law upon operation and ownership of the State-owned railroad. In making such determination, the Association shall use to the maximum extent practicable all relevant data and information, including, if relevant, that contained in the report prepared pursuant to subsection (a) of this section.
(2)The determination made pursuant to paragraph (1) of this subsection shall not be construed to affect, enlarge, modify, or diminish any inventory, valuation, or classification required by the Interstate Commerce Commission pursuant to subchapter V 22 See References in Text note below. of chapter 107 of title 49.

Legislative History

Notes & Related Subsidiaries

Editorial Notes

References in Text

Subchapter V of chapter 107 of title 49, referred to in subsec. (d)(2), was omitted in the general amendment of subtitle IV of Title 49, Transportation, by Pub. L. 104–88, title I, § 102(a), Dec. 29, 1995, 109 Stat. 804. Codification In subsec. (a), references to section 1202(10)(C) and (D) of this title were in the original references to section 603(8)(C) and (D) of title VI of Pub. L. 97–468, and were editorially translated as section 1202(10)(C) and (D), as the probable intent of Congress, in view of section 1202(8) containing no subpars. (C) and (D) and the subject matter of section 1202(10)(C), which relates to money in the Alaska Railroad Revolving Fund being withheld from the State, and section 1202(10)(D), which relates to personal property being withheld. Section is comprised of subsecs. (a) to (d) of section 605 of Pub. L. 97–468. Subsec. (e) of section 605 of Pub. L. 97–468 amended section 712 of this title.

Statutory Notes and Related Subsidiaries

Abolition of Interstate Commerce Commission and

Transfer of Functions

Interstate Commerce Commission abolished and functions of Commission transferred, except as otherwise provided in Pub. L. 104–88, to Surface Transportation Board effective Jan. 1, 1996, by section 1302 of Title 49, Transportation, and section 101 of Pub. L. 104–88, set out as a note under section 1301 of Title 49. References to Interstate Commerce Commission deemed to refer to Surface Transportation Board, a member or employee of the Board, or Secretary of Transportation, as appropriate, see section 205 of Pub. L. 104–88, set out as a note under section 1301 of Title 49. Abolition of United States Railway Association and

Transfer of Functions

and Securities See section 1341 of this title.

Reference

Citations & Metadata

Citation

45 U.S.C. § 1204

Title 45 — Railroads

Last Updated

Apr 5, 2026

Release point: 119-73not60