1 | 1 | | Session of 2025 |
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2 | 2 | | SENATE BILL No. 86 |
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3 | 3 | | By Committee on Transportation |
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4 | 4 | | 1-28 |
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5 | 5 | | AN ACT concerning the passenger rail service program; establishing the |
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6 | 6 | | intercity passenger rail service program; making transfers annually to |
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7 | 7 | | the passenger rail service revolving fund; amending K.S.A. 75-5089 |
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8 | 8 | | and repealing the existing section. |
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9 | 9 | | Be it enacted by the Legislature of the State of Kansas: |
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10 | 10 | | Section 1. K.S.A. 75-5089 is hereby amended to read as follows: 75- |
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11 | 11 | | 5089. (a) The secretary of transportation is hereby authorized to establish |
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12 | 12 | | and implement a passenger rail service program. |
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13 | 13 | | (b) The secretary of transportation may, as part of such passenger rail |
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14 | 14 | | service program, do the following: |
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15 | 15 | | (1) Enter into agreements with Amtrak, other rail operators, local |
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16 | 16 | | jurisdictions and other states for the purpose of developing passenger rail |
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17 | 17 | | service, serving Kansas and other states interconnected and positioned on a |
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18 | 18 | | current or proposed route. The agreements may include any of the |
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19 | 19 | | following provisions: |
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20 | 20 | | (A) Cost-sharing agreements associated with initiating service, capital |
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21 | 21 | | costs, operating subsidies and other costs necessary to develop and |
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22 | 22 | | maintain service; or |
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23 | 23 | | (B) joint powers agreements and other institutional arrangements |
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24 | 24 | | associated with the administration, management and operation of |
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25 | 25 | | passenger rail service. |
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26 | 26 | | (2) Provide assistance and enter into agreements with local |
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27 | 27 | | jurisdictions along the proposed route of a midwest regional rail system |
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28 | 28 | | development or other passenger rail service operations serving Kansas to |
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29 | 29 | | ensure that rail stations and terminals are designed and developed in |
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30 | 30 | | accordance with the following objectives: |
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31 | 31 | | (A) To meet safety and efficiency requirements outlined by Amtrak |
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32 | 32 | | and the federal railroad administration; |
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33 | 33 | | (B) to aid intermodal transportation; and |
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34 | 34 | | (C) to encourage economic development. |
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35 | 35 | | (3) Provide loans or grants as provided under the provisions of |
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36 | 36 | | subsection (c). |
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37 | 37 | | (c) Pursuant to subsection (b), the secretary shall establish, |
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38 | 38 | | implement and administer an intercity passenger rail service program to |
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39 | 39 | | develop and provide funding in order to connect Kansas by rail to other |
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75 | 75 | | 36 SB 86 2 |
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76 | 76 | | member states of the midwest interstate passenger rail commission, the |
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77 | 77 | | midwest regional rail system, the national passenger rail network and any |
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78 | 78 | | other passenger rail service operations serving Kansas. The secretary |
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79 | 79 | | shall provide funding for the costs of qualifying projects and provide |
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80 | 80 | | operating support for Amtrak or any common rail carrier approved by the |
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81 | 81 | | federal railroad administration for operation of the service. |
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82 | 82 | | (d) (1) The secretary of transportation is hereby authorized to make |
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83 | 83 | | loans or grants to passenger rail service providers for the following |
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84 | 84 | | purposes: |
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85 | 85 | | (A) To provide assistance for the restoration, conservation, |
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86 | 86 | | improvement and construction of railroad main lines, branch lines, |
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87 | 87 | | switching yards, sidings, rail connections, intermodal yards, highway |
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88 | 88 | | grade separations and other railroad related improvements; |
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89 | 89 | | (B) for rail economic development projects that improve rail |
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90 | 90 | | facilities, including the construction of branch lines, sidings, rail |
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91 | 91 | | connections, intermodal yards, stations, equipment defined as locomotives |
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92 | 92 | | and rolling stock, including passenger coaches and other rail-related |
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93 | 93 | | improvements that spur economic development and job growth; and |
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94 | 94 | | (C) costs associated with the initiation, operation and maintenance of |
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95 | 95 | | passenger rail service. |
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96 | 96 | | (2) Passenger rail service providers, who desire assistance in the form |
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97 | 97 | | of a loan or grant under this section, shall submit an application to the |
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98 | 98 | | secretary of transportation. Applications shall be in such form and shall |
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99 | 99 | | include such information as the secretary of transportation shall require |
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100 | 100 | | and shall be submitted in a manner and at a time to be determined by the |
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101 | 101 | | secretary of transportation. |
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102 | 102 | | (3) Such loans or grants shall be made upon such terms and |
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103 | 103 | | conditions as the secretary of transportation may deem appropriate, and |
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104 | 104 | | such loans or grants shall be made from funds credited to the passenger |
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105 | 105 | | rail service revolving fund. |
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106 | 106 | | (4) The passenger rail service revolving fund is hereby established in |
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107 | 107 | | the state treasury which shall be for the purposes established under |
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108 | 108 | | subsection (c)(1) (d)(1). The secretary of transportation shall administer |
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109 | 109 | | the passenger rail service revolving fund. All expenditures from the |
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110 | 110 | | passenger rail service revolving fund shall be made in accordance with |
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111 | 111 | | appropriation acts upon warrants of the director of accounts and reports |
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112 | 112 | | issued pursuant to vouchers approved by the secretary of transportation or |
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113 | 113 | | by a person or persons designated by the secretary. |
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114 | 114 | | The secretary of transportation shall remit to the state treasurer, in |
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115 | 115 | | accordance with the provisions of K.S.A. 75-4215, and amendments |
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116 | 116 | | thereto, all moneys received by the secretary pursuant to this act. Upon |
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117 | 117 | | receipt of each such remittance, the state treasurer shall deposit the entire |
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118 | 118 | | amount in the state treasury to the credit of the passenger rail service |
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161 | 161 | | 43 SB 86 3 |
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162 | 162 | | revolving fund. |
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163 | 163 | | (5) The management and investment of the passenger rail service |
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164 | 164 | | revolving fund shall be in accordance with K.S.A. 68-2324, and |
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165 | 165 | | amendments thereto. Notwithstanding anything to the contrary, all interest |
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166 | 166 | | or other income of the investments, after payment of any management |
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167 | 167 | | fees, shall be considered income of the passenger rail service revolving |
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168 | 168 | | fund. |
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169 | 169 | | (d)(e) As part of the annual report required under K.S.A. 68-2315, |
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170 | 170 | | and amendments thereto, the secretary of transportation shall report on the |
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171 | 171 | | development and operation of the midwest regional rail system and the |
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172 | 172 | | state's passenger rail service program. |
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173 | 173 | | (e)(f) It is the intent of the state legislature that the enactment of this |
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174 | 174 | | act shall not affect the terms or duration of railroad assistance agreements |
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175 | 175 | | entered into under legislation enacted before the effective date of this act. |
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176 | 176 | | (g) On July 1, 2026, and each July 1 thereafter through July 1, 2029, |
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177 | 177 | | the secretary of transportation, in consultation with the director of the |
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178 | 178 | | budget, shall determine the amount of unencumbered moneys in the state |
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179 | 179 | | general fund, the state highway fund or any special revenue fund or funds |
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180 | 180 | | of the department of transportation that may be used for the intercity |
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181 | 181 | | passenger rail service program. The secretary of transportation shall |
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182 | 182 | | certify the amount from each such fund to the director of accounts and |
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183 | 183 | | reports, and upon receipt of each such certification, or as soon thereafter |
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184 | 184 | | as moneys are available, the director of accounts and reports shall |
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185 | 185 | | immediately transfer an aggregate amount of $5,000,000 each fiscal year |
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186 | 186 | | from such certified funds to the passenger rail service revolving fund. The |
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187 | 187 | | secretary of transportation shall transmit a copy of each such certification |
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188 | 188 | | to the director of legislative research and the director of the budget. |
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189 | 189 | | (f)(h) As used in this section "passenger rail service" means long- |
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190 | 190 | | distance, intercity and commuter passenger transportation, including the |
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191 | 191 | | midwest regional rail system development which is provided on railroad |
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192 | 192 | | tracks. |
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193 | 193 | | (g)(i) The secretary of transportation may adopt rules and regulations |
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194 | 194 | | for the purpose of implementing the provisions of this section. |
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195 | 195 | | Sec. 2. K.S.A. 75-5089 is hereby repealed. |
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196 | 196 | | Sec. 3. This act shall take effect and be in force from and after its |
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197 | 197 | | publication in the statute book. |
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