§717 Adoption of Final System Plan

Summary

The Association must write and publish a preliminary system plan within 420 days after January 2, 1974. It must base the plan on reports, information it gathers, and its own research. The Association must send copies to the Secretary, the Office, state governors and public utility commissions, Congress, the courts handling railroad reorganizations, the special court, and other interested people, and it must publish the plan in the Federal Register. People have 60 days after the plan is released to send comments. The Office must hold public hearings on the preliminary plan and give the Association a summary, analysis, and critique of the evidence within 60 days of the plan’s release. For any supplements to the plan, the Office may hold hearings and must give its summary and critique within 30 days of the supplement’s release. Courts in charge of railroad reorganizations must act quickly. Within 120 days after January 2, 1974 they must decide if a railroad can be reorganized under section 77 of the Bankruptcy Act and whether that is better than using this chapter. Within 60 days after the Office’s report on the Secretary’s regional report, the courts must decide whether to transfer some railroad properties under this chapter. Courts should proceed under this chapter unless they find the railroad can be reorganized under section 77 and that is in the public interest, or unless this chapter would be unfair to the railroad’s estate. If a court does not make the required finding, the reorganization goes ahead under this chapter. Appeals go only to the special court, must be filed within 10 days, and the special court must decide within 80 days (or 30 days in the special reconsideration process started by trustees within 10 days after February 28, 1975). The Association must take steps needed to follow any changed court order, including preparing plan supplements. The executive committee must submit a final system plan within 540 days after January 2, 1974, the Board must approve it by majority within 30 days, and the Commission must send an evaluation of the final plan to both Houses of Congress within 30 days after the plan is adopted and sent to Congress.