H.F. _____ Section 1. NEW SECTION . 327K.1 Midwest interstate passenger 1 rail compact. 2 The midwest interstate passenger rail compact is enacted 3 into law and entered into with all other states legally joining 4 in the compact in substantially the following form: 5 1. Article I —— Statement of purpose. The purposes of this 6 compact are, through joint or cooperative action: 7 a. To promote development and implementation of improvements 8 to intercity passenger rail service in the midwest. 9 b. To coordinate interaction among midwestern state elected 10 officials and their designees on passenger rail issues. 11 c. To promote development and implementation of long-range 12 plans for high-speed rail passenger service in the midwest and 13 among other regions of the United States. 14 d. To work with the public and private sectors at the 15 federal, state, and local levels to ensure coordination among 16 the various entities having an interest in passenger rail 17 service and to promote midwestern interests regarding passenger 18 rail. 19 e. To support efforts of transportation agencies involved 20 in developing and implementing passenger rail service in the 21 midwest. 22 2. Article II —— Establishment of commission. To further the 23 purposes of the compact, a commission is created to carry out 24 the duties specified in this compact. 25 3. Article III —— Commission membership. 26 a. The manner of appointment of commission members, terms of 27 office consistent with the terms of this compact, provisions 28 for removal and suspension, and manner of appointment to fill 29 vacancies shall be determined by each party state pursuant to 30 its laws, but each commissioner shall be a resident of the 31 state of appointment. Commission members shall serve without 32 compensation from the commission. 33 b. (1) The commission shall consist of four resident 34 members of each state as follows: 35 -1- LSB 1954YC (1) 90 th/ns 1/ 7

H.F. _____ (a) The governor or the governor’s designee who shall 1 serve during the tenure of office of the governor, or until a 2 successor is named. 3 (b) One member of the private sector who shall be appointed 4 by the governor and shall serve during the tenure of office of 5 the governor, or until a successor is named. 6 (c) Two legislators, one from each legislative chamber, who 7 shall serve two-year terms, or until successors are appointed, 8 and who shall be appointed by the appropriate appointing 9 authority in each legislative chamber. 10 (2) All vacancies shall be filled in accordance with the 11 laws of the appointing states. A commissioner appointed to 12 fill a vacancy shall serve until the end of the incomplete 13 term. Each member state shall have equal voting privileges, as 14 determined by the commission bylaws. 15 4. Article IV —— Powers and duties of the commission. 16 a. The duties of the commission are to: 17 (1) Advocate for the funding and authorization necessary to 18 make passenger rail improvements a reality for the region. 19 (2) Identify and seek to develop ways that states can 20 form partnerships, including with rail industry and labor, to 21 implement improved passenger rail service in the region. 22 (3) Seek development of a long-term, interstate plan for 23 high-speed rail passenger service implementation. 24 (4) Cooperate with other agencies, regions, and entities 25 to ensure that the midwest is adequately represented and 26 integrated into national plans for passenger rail development. 27 (5) Adopt bylaws governing the activities and procedures 28 of the commission and addressing, among other subjects: the 29 powers and duties of officers; and the voting rights of 30 commission members, voting procedures, commission business, 31 and any other purposes necessary to fulfill the duties of the 32 commission. 33 (6) Expend such funds as required to carry out the powers 34 and duties of the commission. 35 -2- LSB 1954YC (1) 90 th/ns 2/ 7

H.F. _____ (7) Report on the activities of the commission to the 1 legislatures and governors of the member states on an annual 2 basis. 3 b. In addition to its exercise of these duties, the 4 commission may: 5 (1) Provide multistate advocacy necessary to implement 6 passenger rail systems or plans, as approved by the commission. 7 (2) Work with local elected officials, economic development 8 planning organizations, and similar entities to raise the 9 visibility of passenger rail service benefits and needs. 10 (3) Educate other state officials, federal agencies, 11 other elected officials, and the public on the advantages 12 of passenger rail as an integral part of an intermodal 13 transportation system in the region. 14 (4) Work with federal agency officials and members of 15 Congress to ensure the funding and authorization necessary 16 to develop a long-term, interstate plan for high-speed rail 17 passenger service implementation. 18 (5) Make recommendations to member states. 19 (6) If requested by each state participating in a particular 20 project and under the terms of a formal agreement approved 21 by the participating states and the commission, implement or 22 provide oversight for specific rail projects. 23 (7) Establish an office and hire staff as necessary. 24 (8) Contract for or provide services. 25 (9) Assess dues, in accordance with the terms of this 26 compact. 27 (10) Conduct research. 28 (11) Establish committees. 29 5. Article V —— Officers. The commission shall annually 30 elect from among its members a chair, a vice chair who shall 31 not be a resident of the state represented by the chair, and 32 others as approved in the commission bylaws. The officers 33 shall perform such functions and exercise such powers as are 34 specified in the commission bylaws. 35 -3- LSB 1954YC (1) 90 th/ns 3/ 7

H.F. _____ 6. Article VI —— Meetings and commission administration. The 1 commission shall meet at least once in each calendar year and 2 at such other times as may be determined by the commission. 3 Commission business shall be conducted in accordance with the 4 procedures and voting rights specified in the bylaws. 5 7. Article VII —— Finance. 6 a. Except as otherwise provided, the moneys necessary to 7 finance the general operations of the commission in carrying 8 forth its duties, responsibilities, and powers as stated 9 in this compact shall be appropriated to the commission by 10 the compacting states, when authorized by the respective 11 legislatures, by equal apportionment among the compacting 12 states. Nothing in this compact shall be construed to commit a 13 member state to participate in financing a rail project except 14 as provided by law of a member state. 15 b. The commission may accept, for any of its purposes 16 and functions, donations, gifts, grants, and appropriations 17 of money, equipment, supplies, materials, and services from 18 the federal government, from any party state or from any 19 department, agency, or municipality thereof, or from any 20 institution, person, firm, or corporation. All expenses 21 incurred by the commission in executing the duties imposed 22 upon it by this compact shall be paid by the commission out of 23 the funds available to it. The commission shall not issue any 24 debt instrument. The commission shall submit to the officer 25 designated by the laws of each party state, periodically as 26 required by the laws of each party state, a budget containing 27 its actual past and estimated future expenditures. 28 8. Article VIII —— Enactment, effective date, and 29 amendments. The states of Illinois, Indiana, Iowa, Kansas, 30 Michigan, Minnesota, Missouri, Nebraska, North Dakota, Ohio, 31 South Dakota, and Wisconsin are eligible to join this compact. 32 Upon approval of the commission, according to its bylaws, other 33 states may also be declared eligible to join the compact. 34 As to any eligible party state, this compact shall become 35 -4- LSB 1954YC (1) 90 th/ns 4/ 7

H.F. _____ effective when its legislature shall have enacted the compact 1 into law; provided that the compact shall not become initially 2 effective until enacted into law by any three party states 3 incorporating the provisions of this compact into the laws of 4 the states. Amendments to the compact shall become effective 5 upon their enactment by the legislatures of all compacting 6 states. 7 9. Article IX —— Withdrawal, default, and termination. 8 a. Withdrawal from this compact shall be by enactment of a 9 statute repealing the compact and shall take effect one year 10 after the effective date of the statute. A withdrawing state 11 shall be liable for any obligations which it may have incurred 12 prior to the effective date of withdrawal. 13 b. If any compacting state defaults in the performance 14 of any of its obligations, assumed or imposed, in accordance 15 with this compact, all rights, privileges, and benefits 16 conferred by this compact or agreements under this compact 17 shall be suspended from the effective date of the default as 18 fixed by the commission, and the commission shall stipulate 19 the conditions and maximum time for compliance under which 20 the defaulting state may resume its regular status. Unless 21 the default is remedied under the stipulations and within 22 the time period set forth by the commission, this compact 23 may be terminated with respect to the defaulting state by 24 affirmative vote of a majority of the other commission members. 25 Any such defaulting state may be reinstated, upon vote of 26 the commission, by performing all acts and obligations as 27 stipulated by the commission. 28 10. Article X —— Construction and severability. The 29 provisions of this compact shall be severable and if any 30 phrase, clause, sentence, or provision of this compact is 31 declared to be contrary to the constitution of any compacting 32 state or of the United States, or the applicability thereof 33 to any government, agency, person, or circumstance is held 34 invalid, the validity of the remainder of this compact and 35 -5- LSB 1954YC (1) 90 th/ns 5/ 7

H.F. _____ the applicability thereof to any government, agency, person, 1 or circumstance shall not be affected by the declaration 2 or holding. If this compact is held to be contrary to the 3 constitution of any compacting state, the compact shall remain 4 in full force and effect as to the remaining states and in 5 full force and effect as to the state affected as to all 6 severable matters. This compact shall be liberally construed 7 to effectuate the purposes of the compact. 8 Sec. 2. EFFECTIVE DATE. This Act, being deemed of immediate 9 importance, takes effect upon enactment. 10 EXPLANATION 11 The inclusion of this explanation does not constitute agreement with 12 the explanation’s substance by the members of the general assembly. 13 This bill provides that the midwest interstate passenger 14 rail compact is entered into and enacted into law together 15 with several other midwestern states if those states join the 16 compact in substantially the same form. 17 The bill provides that the purposes of the compact are 18 to promote development and implementation of improvements to 19 intercity passenger rail service in the midwest, to coordinate 20 interaction among midwestern state officials on passenger 21 rail issues, to promote development and implementation of 22 plans for high-speed rail passenger service in the midwest 23 and other regions, to work with public and private sectors 24 at all levels to ensure coordination among entities with an 25 interest in passenger rail service and to promote midwestern 26 interests regarding such service, and to support efforts of 27 transportation agencies involved in developing and implementing 28 passenger rail service in the midwest. 29 The bill provides that a commission shall be established to 30 further the purposes of and to carry out the duties specified 31 in the compact. Each state joining the compact is to be 32 represented by four commission members: the governor of the 33 state or the governor’s designee, serving during the tenure of 34 the governor or until a successor is named; a member of the 35 -6- LSB 1954YC (1) 90 th/ns 6/ 7

H.F. _____ private sector appointed by the governor, serving during the 1 tenure of the governor or until a successor is named; and two 2 legislators, one from each legislative chamber, appointed by 3 the appropriate appointing authority in each chamber, serving 4 two-year terms or until successors are appointed. 5 The bill provides a list of powers and duties the commission 6 shall have related to the compact and provides for the 7 administration and financing of the general operations of the 8 commission. The bill also includes provisions relating to 9 withdrawal, default, and termination of the compact. 10 The bill takes effect upon enactment. The compact, having 11 already been enacted into law and entered into by eight states, 12 would apply in Iowa effective upon enactment of the bill. 13 Current midwest interstate passenger rail compact member 14 states include Illinois, Indiana, Kansas, Michigan, Minnesota, 15 Missouri, North Dakota, and Wisconsin. Iowa, Nebraska, Ohio, 16 and South Dakota are eligible to join. 17 -7- LSB 1954YC (1) 90 th/ns 7/ 7