Mr. President, today I have filed Amendment No. 1536 to the pending surface transportation reauthorization bill. This amendment is also supported by Senator Boxer. This amendment would change the railcar procurement rules to allow transit systems to contract for delivery of railcars for up to 5 years from the date of delivery of the first railcar. Current law requires the purchase of buses and railcars to be completed within 5 years of the date the contract is signed, not the date of the first delivery. So this amendment would give transit operators the chance to sign larger and more cost effective contracts, which in some cases can save substantial money. The current rules do not make sense for rail operators. They are designed to stimulate competition among manufacturers, and they prevent transit agencies from locking themselves into contracts for outdated buses in a market that is constantly evolving and advancing technologically. But these rules do not recognize the reality of purchasing and producing railcars. A light rail system's car designs must maintain a basic design for compatibility reasons, so rules designed to promote innovative design have little benefit. But by forcing the transit rail agency to buy cars with the same basic design in two orders instead of one, these rules almost certainly increase total costs. It may also lead to the purchase of different models from two different orders, increasing maintenance costs in the future.…
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