4 1 annual rate in connection with each loan guaranteed under 2 this title. 3 (b) At no time shall the outstanding aggregate principal 4 amount of all loans guaranteed under this title exceed 5 $750,000,000. 6 7 DECLARATION OF DIVIDENDS SEC. 104. No rail carrier may declare any stock divi8 dend while there is any principal or interest remaining un9 paid on any loan to such carrier for which the Secretary 10 stands as guarantor, in whole or in part, under this title, 11 unless the Secretary consents in writing after finding that the 14 15 payment of the dividend would not be inconsistent with the purposes of this title. CONSULTATION WITH RAIL CARRIERS SEC. 105. The Secretary shall consult, as necessary, 16 with any rail carrier which has received a loan guaranteed 17 under this title concerning any matter which may bear upon 18 the ability of such carrier to repay the loan within the fixed 19 time therefore and reasonable protection to the United 20 States; and to ensure that the purpose of this title is being 21 carried out. 23 222 24 PAYMENT OF GUARANTORS; ACTION TO RECOVER PAYMENTS MADE SEC. 106. (a) To enable the Secretary to carry out his 25 rights and responsibilities under section 103 of this title, he is 26 authorized to issue to the Secretary of the Treasury notes or 50-934 712 5 1 other obligations in such forms and denominations, bearing 2 such maturities, and subject to such terms and conditions, as 3 may be perscribed by the Secretary with the approval of the 4 Secretary of the Treasury. Such notes or other obligations 5 shall bear interest at a rate determined by the Secretary of 6 the Treasury, taking into consideration the current average 7 market yield on outstanding marketable obligations of the 8 United States of comparable maturities during the month 9 preceding the issuance of the notes or other obligations. The 10 Secretary of the Treasury shall purchase any notes and other 11 obligations issued hereunder and for that purpose he is au12 thorized to use as a public debt transaction the proceeds from 13 the sale of any securities issued under the Second Liberty 14 Bond Act, and the purposes for which securities may be issued under that Act, are extended to included any purchase 16 of such notes and obligations. The Secretary of the Treasury 17 may at any time sell any of the notes or other obligations 18 acquired by him under this subsection. All redemptions, pur19 chases, and sales by the Secretary of the Treasury of such 20 notes or other obligations shall be treated as public debt 21 transactions of the United States. There are authorized to be 15 22 appropriated to the Secretary such sums as may be necessary 23 to pay the principal and interest on the notes or obligations 24 issued by him to the Secretary of the Treasury. 25 (b) Any guarantee made by the Secretary under this 6 1 title shall not be terminated, canceled, or otherwise revoked, 2 except as provided by the terms and conditions prescribed 3 by the Secretary under section 103 of this title; shall be 4 conclusive evidence that such guarantee complies fully with 5 the provisions of this title and of the approval of the princi 6 7 8 9 10 11 pal amount, interest rate, and all other terms of the guar antee; and shall be incontestable from the date the guarantee is made except as to any person participating in, or having knowledge on that date, of fraud, duress, or mutual mistake. of fact relating to the guarantee. (c) The Attorney General shall take such action as 12 may be appropriate to enforce any right accruing to the 13 United States by reason of its having made guarantees under 14 this title, or by reason of its having paid money or incurred 15 expenses as a result of making such guarantees. 16 17 18 19 20 21 22 23 24 25 ASSISTANCE OF DEPARTMENTS AND OTHER AGENCIES SEC. 107. (a) In carrying out the provisions of this title the Secretary may use available services and facilities of other departments, agencies, and instrumentalities of the Federal Government, with their consent and on a reimbursa ble basis. (b) Departments, agencies, and instrumentalities of the Federal Government shall exercise their powers, duties, and functions in such manner as will assist in carrying out the provisions of this title. 2 SEC. 108. The guarantee fees collected under section 103, 3 together with other receipts under this title (including sums 4 borrowed under section 106), shall be placed in a separate 5 fund in the United States Treasury. Such fund shall be avail6 able, without fiscal year limitation, for payments required 7 under the guarantees, for the repayment of sums borrowed 8 under section 106 (including interest thereon), and for ad9 ministrative expenses and such other expenditures as may be 10 necessary, in the judgment of the Secretary, to facilitate the 11 prudent administration of this title. 13 SEC. 10. There are authorized to be appropriated to the 14 Secretary such sums as may be necessary for administrative 15 expenses incident to the administration of this title. 23 ANNUAL REPORT SEC. 11. The Secretary shall transmit to the Congress, one year following the date of enactment of this title and annually thereafter, reports on the administration of this title. EXPIRATION OF GUARANTEE AUTHORITY SEC. 12. The provisions of section 103 of this title shall expire five years after the date of enactment of this title. TITLE II—JOINT COMMITTEE ON RAILROADS 24 SEC. 201. (a) There is hereby established a joint con25 gressional committee to be known as the Joint Committee 8 1 on Railroads (referred to hereinafter, as the "joint com 2 mittee”). 3 (b) The joint committee shall be composed of seven 4 Members of the Senate appointed by the President of the 5 Senate, four from the majority party and three from the 6 minority party, and seven Members of the House of Repre7 sentatives appointed by the Speaker of the House of Repre8 sentatives, four from the majority party and three from the 9 minority party. 10 (c) The joint committee shall select a Chairman and 11 Vice Chairman from among its members. Eight members of 12 the joint committee shall constitute a quorum, except that 13 the joint committee may prescribe a lesser number of mem14 bers to constitute a quorum for the purpose of conducting 15 hearings. Vacancies in the membership of the joint commit16 tee shall not affect the authority of the remaining members to execute the functions of the joint committee, and shall be 18 filled in the same manner in which original appointments 17 19 20 21 were made. FUNCTIONS OF THE JOINT COMMITTEE SEC. 202. (a) The joint committee shall conduct a com22 prehensive study and investigation of the financial and other 23 problems of the Nation's common carriers by railroad for 24 the purpose of making recommendations for the solution of 25 such problems. |