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Title 45, RailroadsRelease 119-110

§742 Powers and Duties of Corporation

Title 45 › CHAPTER 16 — REGIONAL RAIL REORGANIZATION › SUBCHAPTER III — CONSOLIDATED RAIL CORPORATION › § 742

Last updated Sep 22, 2026|Official source

Summary

The Corporation has the powers and duties given by this chapter, plus any powers from the state where it is incorporated and the powers of a railroad where it runs. It must acquire rail properties named in the final system plan, operate rail service on them (except as limited by sections 744(e) and 791(d)(3) of this title), repair and modernize those properties, and keep rail service adequate and efficient. If 50 percent or more of the Corporation’s outstanding debt, as the Secretary of the Treasury decides, is made up of obligations of the Association or other debts owed to or guaranteed by the United States, the Corporation must not do activities that are not related to transportation.

Full Legal Text

Title 45, §742

Railroads, Source: USLM XML via OLRC

The Corporation shall have all of the powers and is subject to all of the duties vested in it under this chapter, in addition to the powers conferred upon it under the laws of the State or States in which it is incorporated and the powers of a railroad in any State in which it operates. The Corporation is authorized and directed to—
(a)acquire rail properties designated in the final system plan to be transferred or conveyed to it;
(b)operate rail service over such rail properties except as provided under section 744(e) and 791(d)(3) of this title;
(c)rehabilitate, improve, and modernize such rail properties; and
(d)maintain adequate and efficient rail services.
So long as 50 per centum or more, as determined by the Secretary of the Treasury, of the outstanding indebtedness of the Corporation consists of obligations of the Association or other debts owing to or guaranteed by the United States, the Corporation shall not engage in activities which are not related to transportation.

Legislative History

Notes & Related Subsidiaries

Statutory Notes and Related Subsidiaries

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. § 742

Title 45, Railroads

Last Updated

Sep 22, 2026

Release point: 119-110