§ 3405 — Lease for continued operation

(a) The Secretary, as agent for the State, is authorized to lease or otherwise arrange for the continued operation of all or any State-owned railroad property to any responsible person, provided that approval for the operation, if necessary, is granted by the federal Surface Transportation Board under 49 C.F.R. Part 1150 (certificate to construct, acquire, or operate railroad lines). The transaction shall be subject to any further terms and conditions as in the opinion of the Secretary are necessary and appropriate to accomplish the purpose of this chapter.
(b) To preserve continuity of service on State-owned railroads, the Secretary may enter into a short-term lease or operating agreement, for a term not to exceed six months, with a responsible railroad operator.
(c) The Secretary shall notify the House and Senate Committees on Transportation or, if the General Assembly is not in session, the Joint Transportation Oversight Committee when there are 12 months remaining on the operating lease for any State-owned railroad, and when there are 12 months remaining on a lease extension for the operating lease for any State-owned railroad. (Added 1987, No. 211 (Adj. Sess.), § 1, eff. May 26, 1988; amended 1999, No. 156 (Adj. Sess.), § 7, eff. May 29, 2000; 2003, No. 56, § 18, eff. June 4, 2003; 2023, No. 148 (Adj. Sess.), § 41, eff. June 3, 2024.)