Illinois General Assembly - Full Text of Public Act 097-1080
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Public Act 097-1080





Public Act 097-1080
SB2861 EnrolledLRB097 13770 HEP 58328 b

    AN ACT concerning transportation.
    Be it enacted by the People of the State of Illinois,
represented in the General Assembly:
    Section 5. The Department of Transportation Law of the
Civil Administrative Code of Illinois is amended by changing
Section 2705-440 as follows:
    (20 ILCS 2705/2705-440)  (was 20 ILCS 2705/49.25h)
    Sec. 2705-440. Intercity Rail Service.
    (a) For the purposes of providing intercity railroad
passenger service within this State (or as part of service to
cities in adjacent states), the Department is authorized to
enter into agreements with units of local government, the
Commuter Rail Division of the Regional Transportation
Authority (or a public corporation on behalf of that Division),
architecture or engineering firms, the National Railroad
Passenger Corporation, any carrier, any adjacent state (or
political subdivision, corporation, or agency of an adjacent
state), or any individual, corporation, partnership, or public
or private entity. The cost related to such services shall be
borne in such proportion as, by agreement or contract the
parties may desire.
    (b) In providing any intercity railroad passenger service
as provided in this Section, the Department shall have the
following additional powers:
        (1) to enter into trackage use agreements with rail
        (2) to enter into haulage agreements with rail
        (3) to lease or otherwise contract for use,
    maintenance, servicing, and repair of any needed
    locomotives, rolling stock, stations, or other facilities,
    the lease or contract having a term not to exceed 50 years
    (but any multi-year contract shall recite that the contract
    is subject to termination and cancellation, without any
    penalty, acceleration payment, or other recoupment
    mechanism, in any fiscal year for which the General
    Assembly fails to make an adequate appropriation to cover
    the contract obligation);
        (4) to enter into management agreements;
        (5) to include in any contract indemnification of
    carriers or other parties for any liability with regard to
    intercity railroad passenger service;
        (6) to obtain insurance for any losses or claims with
    respect to the service;
        (7) to promote the use of the service;
        (8) to make grants to any body politic and corporate,
    any unit of local government, or the Commuter Rail Division
    of the Regional Transportation Authority to cover all or
    any part of any capital or operating costs of the service
    and to enter into agreements with respect to those grants;
        (9) to set any fares or make other regulations with
    respect to the service, consistent with any contracts for
    the service; and
        (10) to otherwise enter into any contracts necessary or
    convenient to provide the service.
    (c) All service provided under this Section shall be exempt
from all regulations by the Illinois Commerce Commission (other
than for safety matters). To the extent the service is provided
by the Commuter Rail Division of the Regional Transportation
Authority (or a public corporation on behalf of that Division),
it shall be exempt from safety regulations of the Illinois
Commerce Commission to the extent the Commuter Rail Division
adopts its own safety regulations.
    (d) In connection with any powers exercised under this
Section, the Department
        (1) shall not have the power of eminent domain; and
        (2) shall not directly operate any railroad service
    with its own employees.
    (e) Any contract with the Commuter Rail Division of the
Regional Transportation Authority (or a public corporation on
behalf of the Division) under this Section shall provide that
all costs in excess of revenue received by the Division
generated from intercity rail service provided by the Division
shall be fully borne by the Department, and no funds for
operation of commuter rail service shall be used, directly or
indirectly, or for any period of time, to subsidize the
intercity rail operation. If at any time the Division does not
have sufficient funds available to satisfy the requirements of
this Section, the Division shall forthwith terminate the
operation of intercity rail service. The payments made by the
Department to the Division for the intercity rail passenger
service shall not be made in excess of those costs or as a
subsidy for costs of commuter rail operations. This shall not
prevent the contract from providing for efficient coordination
of service and facilities to promote cost effective operations
of both intercity rail passenger service and commuter rail
services with cost allocations as provided in this paragraph.
    (f) Whenever the Department is required to enter into an
agreement with any carrier for the payment of railroad
maintenance expenses necessary for intercity passenger
service, the Department may deposit funds in an escrow account.
For purposes of this subsection, an escrow account means a
fiduciary account established with (i) any banking corporation
which is both organized under the Illinois Banking Act and
authorized to accept and administer trusts in this State, or
(ii) any national banking association which has its principal
place of business in this State and which also is authorized to
accept and administer trusts in this State. The funds in the
escrow account may be withdrawn by the carrier in control of
the railroad being maintained only with the consent of the
Department, pursuant to a written maintenance agreement and
pursuant to a maintenance plan that shall be updated each year.
The moneys deposited in the escrow accounts shall be invested
and reinvested, pursuant to the direction of the Department, in
bonds and other interest bearing obligations of this State, or
in such accounts, certificates, bills, obligations, shares,
pools or other securities as are authorized for the investment
of public funds under the Public Funds Investment Act. Escrow
accounts created under this subsection shall not have terms
that exceed 20 years. At the end of the term of an escrow
account, the remaining balance shall be deposited in the State
Treasury. The Department shall prepare a report for
presentation to the Comptroller and the Treasurer each year
that shows the amounts deposited and withdrawn, the purposes
for withdrawal, the balance, and the amounts derived from
(Source: P.A. 94-807, eff. 5-26-06.)
    Section 99. Effective date. This Act takes effect upon
becoming law.

Effective Date: 8/24/2012