1.1 	A bill for an act
1.2 	relating to transportation; requiring Class I railroad carriers to file cost 
1.3 	information with the Department of Transportation; providing for publication of 
1.4 	railroad cost information; requiring the commissioner to survey Class I railroads 
1.5 	and representative rail shippers and submit biennial reports; appropriating 
1.6 	money; proposing coding for new law in Minnesota Statutes, chapter 174.
1.7 	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

1.8 	Section 1. [174.56] REPORTS AND DISCLOSURE OF RAILROAD 
1.9 	INFORMATION.
1.10 		Subdivision 1.Initial filing. No later than August 2008, a Class I railroad carrier 
1.11 	shall file with the commissioner information concerning its variable costs of operating 
1.12 	rail transportation from each point of arrival within this state to each point of destination 
1.13 	within this state that is served exclusively by the Class I carrier.
1.14 		Subd. 2.Information to be furnished. With respect to each route connecting an 
1.15 	origin and destination within the meaning of subdivision 1, the Class I railroad carrier 
1.16 	shall furnish electronically to the commissioner:
1.17 	(1) a statement of the variable cost components of operating each rail transportation 
1.18 	route;
1.19 	(2) underlying documentation supporting the variable cost calculations and totals; 
1.20 	and
1.21 	(3) a description of the carrier's policy and practice concerning review and 
1.22 	investigation of costs.
1.23 		Subd. 3.Updated information. A Class I railroad carrier shall furnish to 
1.24 	the commissioner on a quarterly basis, according to a schedule established by the 
2.1 	commissioner, information and documentation to update the material filed under 
2.2 	subdivision 2 and any subsequent filings.
2.3 		Subd. 4.Public inspection. The commissioner shall keep copies of the forms and 
2.4 	documents submitted under subdivision 2 and make them available for public inspection.
2.5 		Subd. 5.Publication in State Register. On or before September 2008, and 
2.6 	every two years thereafter, the commissioner shall publish in the State Register the 
2.7 	information furnished by Class I railroad carriers that relates to variable costs, within the 
2.8 	meaning of subdivision 2, clause (1). The commissioner shall designate a 45-day public 
2.9 	comment period during which it will accept written comments concerning the published 
2.10 	information, to assist the commissioner in identifying inaccurate costs. Public comment 
2.11 	must be posted on the department's Web site.
2.12 		Subd. 6.Penalty for failure to file information or for filing false information.
 2.13 	A Class I railroad carrier that willfully fails or refuses to furnish complete and truthful 
2.14 	information as required in this section is subject to a fine of $1,000,000 for each infraction. 
2.15 	Receipts under this subdivision are credited to the general fund.

2.16 	Sec. 2. [174.57] REPORT ON RAIL INFRASTRUCTURE AND RAILROAD 
2.17 	PERFORMANCE.
2.18 	Not later than February 15, 2008, and every two years thereafter, the commissioner 
2.19 	of transportation shall submit a report on rail infrastructure and railroad performance to 
2.20 	the chairs of the house of representatives and senate committees with jurisdiction over 
2.21 	transportation policy and budget. The report must:
2.22 	(1) summarize rail carriers' variable cost information and related public comment, 
2.23 	submitted under section 1;
2.24 	(2) analyze the state's unmet needs for rail infrastructure expansion and maintenance;
2.25 	(3) set forth the plans of each Class I railroad operating within this state for rail 
2.26 	infrastructure investment, based on a survey of representatives of the railroad companies;
2.27 	(4) explain the department's plans for rail infrastructure investment;
2.28 	(5) list average train speeds along rail routes within this state, based on a survey of 
2.29 	representatives of each Class I railroad and analysis of railroad records;
2.30 	(6) review Class I railroad on-time delivery records, as reported to the department by 
2.31 	Class I railroad companies;
2.32 	(7) list and review all rail accidents in the two-year period prior to the report, 
2.33 	including, but not limited to, accidents resulting in fatalities, environmental contamination, 
2.34 	air and water quality impacts, and damage to rail infrastructure; and
3.1 	(8) analyze the results of a department survey of representative rail shippers 
3.2 	concerning: 
3.3 	(i) their experience with shipping freight to and from facilities in this state;
3.4 	(ii) their identification of excessive rail shipping rates and any resulting adverse 
3.5 	economic consequences for rail customers in Minnesota, such as lost sales or reduced 
3.6 	profitability of sales of goods and products manufactured in Minnesota;
3.7 	(iii) their designation of areas with limited or inadequate service; and
3.8 	(iv) their analysis of adequacy of rail capacity in this state.

3.9 	Sec. 3. APPROPRIATION.
 3.10 	$750,000 in the first year and $750,000 in the second year of the biennium are 
3.11 	appropriated to the commissioner of transportation from the general fund to implement the 
3.12 	requirements of this act.