# Appendix — Brown v. D. C. Transit System, Inc. > Briefs, arguments, decisions, and more. URL: https://www.frixlaw.com/law-library/documents/brief%3Amicro_IA40385608_1226%3A2 ## Record - **Collection:** Supreme Court brief - **Document type:** Appendix - **Published:** January 1, 1975 - **Citation:** 423 U.S. 862 ## Text fer) é al 5 % pe Ss la APPENDIX A AMENDMENT V. No person shall be held to answer for a capital, or other- wise infamous crime, unless on a presentment or indictment of a Grand Jury, except in cases arising in the land or naval forces, or in the Militia, when in actual service in time of War or public danger; nor shall any person be subject for the same offence to be twice put in jeopardy of life or limb; nor shall be compelled in any criminal case to be a witness against himself, nor be deprived of life, liberty, or =e without due process of law; nor shall private property be taken for public use, without just compensation. SUBCHAPTER IV,—WASHINGTON METROPOLI- TAN AREA TRANSIT AUTHORITY COMPACT SUBCHAPTER REFERRED TO IN OTHER SECTIONS This subchapter is referred to in section 1-1441. § 1-1431. Consent of Congress given for, and adoption of, compact amending compact set out under sec- tion 1-1410. The Congress hereby consents to, adopts and en- acts for the District of Columbia an amendment to the Washington Metropolitan Area Transit Regula- tion Compact, for which Congress heretofore has granted its consent (subchapter II of this chapter) by adding thereto title III, known as the Washing- ton Metropolitan Area Transit Authority Compact (referred to in this subchapter as title ITI), sub- stantially as set out below. (Nov. 6, 1966, 80 Stat. 1324, Pub. L. 89-774, § 1.) CODIFICATION In the original, words “substantially as set out below” read “substantially as follows:". The words first quoted have been subtituted for purpose of convenient text classification of the provisions of this section. The “amendment” referred to, known as the Washington Metropolitan Area Transit Authority Compact, is set out in note below, AMENDMENTS 1972——Pas, (1) and (2) of §101(#) of Act Oct. 21, 1072, Pub. L, 92-617, 86 Stat, 1000, amended articles XII and XVI of title III of the Washington Metropolitan Area Transit Regulation Compact as follows: (1) by adding at the end of section 56 a new par. (e), and (2) by strik- ing out ‘or by a private transit company” at the end of section 82(a) and inserting in lieu thereof ‘whenever such property cannot be acquired by negotiated purchase ata nrice satisfactory to the Authority”. AE TE, SLRTHP IL NIN 5PM OO SME AER EMER HN WMH ITP TTP LL WMD Swe NNT ) THROUGH POOR COPY en | AEE AA IA GEL CREOLE GS FN LDP LO AAAS SA SB Page 117 2a TITLE 1.—ADMINISTRATION PREAMELE The preamble to act Nov. 6, 1966, 80 Stat. 1824, Pub. L. 89-774, provided: “Whereas Congress heretofore has declared in the Na- tional Capital Transportation Act of 1960 (Public Law 86-660, 74 Stat. 637 (D.C. Code § 1~-1401 et #eq.)) and in the National Capital Transportation Act of 1065 (Public Law 869-173, 79 Stat. 663 (D.C, Code § 1~1421 et #eq.)) that ® coordinated system of rail rapid transit, bus transporta- tion service, and highways is essential in the National Capital Region for the satisfactory movement of people and goods, the alleviation of present and future traffic congestion, the economic welfare and vitality of all parts of the Region, the effective performance of the functions of the United States Government located within the Re- gion, the orderly growth and development of the Region, the comfort and convenience of the residents and visitors to the Region, and the preservation of the beauty and dignity of the Nation's Capital and that such ea system should be developed cooperatively by the Federal, State, and local governments of the National Capital Region, with the costs of the necessary facilities financed, as far as possible, by persons using or benefiting from such facilities and the remaining costs shared equitably among the Federal, State, and local governments; “Whereas in furtherance of this policy, Congress, in title ITI of the National Capital Transportation Act of 1960 [D.C. Code §§ 1-1408, 1-1409], authorized the District of Columbia, the Commonwealth of Virginia, and the State of Maryland to negotiate a Compact for the estab- lishment of an organization, empowered, inter alia, to provide regional transportation facilities; “Whereas, it is the sense of the Congress that the Mass Transit Plan authorized by the Compact and this Act shall conform to the fullest extent practicable with the Comprehensive Plan for the National Capital and the general plan for the development of the National Capital Region prepared pursuant to the National Capital Plan- ning Act of 1952 (Public Law 82-592, 66 Stat. 781 [D.c. Code § 1-1001 et seq.]); and “Whereas, the District of Columbia, the Commonwealth of Virginia and the State of Maryland, with a represent- ative of the United States appointed by the President, have negotiated such a Compact, known as the Washing- ton Metropolitan Area Transit Authority Compact, which amends the Washington Metropolitan Area Transit Reg- ulation Compact (D.C. Code § 1-1410 note], heretofore consented to by the Congress (Public Law 86~794, 74 Stat. 1031, a8 amended by Public Law 87-767, 76 Stat. 764) [D.C, Code § 11-1410 et seq.]), by adding thereto a title TTI and said Compact has been enacted by Maryland (Ch, 869, Acts of General Assembly 1965) and in sub- stantially the same language by Virginia (Ch. 2, 1966 Acts of Arsembly): Now, therefore, be it” (etc.). 79-900 O—73—vol. 1———14 § 1-1431 Pee a as — ee Bi EED THROUGH 3a WASHINGTON MPTTROPOLITAN AREA Transit AvuTMoRITY COMPACT The Washington Metropolitan Area Transit Authority Compact, referred to in this section, and constituting title II!'of the Washington Metropolitan Area Transit Regula- tion Compact of which titles I and II are set out as a note under § 1-1410, constituted the remainder of this section. The compact is as follows: “TITLE I “ARTICLE I “DEFINITIONS “1, As used in this Title, the following words and terms shall have the following meanings, unless the context clearly requires a different meaning: “(a) ‘Board’ means the Board of Directors of the Wash- ington Metropolitan Area Transit Authority; “(b) ‘Director’ means a member of the Board of Di- rectors of the Washington Metropolitan Area Transit Authority; “(c) ‘Private transit companies’ and ‘private carriers’ means corporations, persons, firms or associations render- ing transit service within the Zone pursuant to a certifi- cate of public convenience and necessity issued by the Washington Metropolitan Area Transit Commission or by a franchise granted by the United States or any signatory party to this Title; “(d) ‘Signatory’ means the State of Maryland, the Commonwealth of Virginia and the District of Columbia; “(e) ‘State’ includes District of Columbia; “(f) ‘Transit facilities’ means all real and personal property located in the Zone, necessary or useful in ren- dering transit service between points within the Zone, by means of rail, bus, water or air and any other mode of travel, including without limitation, tracks, rights of way, bridges, tunnels, subways, rolling stock for rail, motor vehicle, marine and air transportation, stations, terminals and ports, areas for parking and all equipment, fixtures, buildings and structures and services incidental to or re- quired in connection with the performance of transit service; “(g) ‘Transit services’ means the transportation of per- sons and their packages and baggage by means of transit facilities between pointe within the Zone including the transportation of newspapers, express, and mail] between such points, and charter service which originates within the Zone but does not include taxicab service or individ- ual-ticket-sales sightseeing operations; and “(h) ‘WMATC’ means Washington Metropolitan Area Transit Commission. “ARTICLE II “PURPOSE AND FUNCTIONS “Purpose “2. The purpose of this Title is to create a regional instrumentality, as a common agency of each signatory party, empowered, in the manner hereinafter set forth, ORO ER RTA BE MPA A INES SOMERS OP & PON gee 4a (1) to plan, develop, finance and cause to be operated improved transit facilities, in coordination with transpor- tation and general development planning for the Zone, as part of a balanced regional system of transportation, utilizing to their best advantage the various modes of transportation, (2) to coordinate the operation of the public and privately owned or controlled transit facilities, to the fullest extent practicable, into a unified regional transit system without unnecessary duplicating service, and (3) to serve such other regional purposes and to perform such other regional functions as the signatories may authorize by appropriate legislation. “ARTICLE IIT “ORGANIZATION AND AREA “Washington Metropolitan Area Transit Zone “3. There is hereby created the Washington Metropoli- tan Area Transit Zone which shall embrace the District of Columbia, the cities of Alexandria, Falls Church and Fairfax and the counties of Arlington and Fairfax and political subdivisions of the Commonwealth of Virginia located within those counties, and the counties of Mont- gomery and Prince George's in the State of Maryland and political subdivisions of the State of Maryland located in said counties. “Washington Metropolitan Area Transit Authority “4. There is hereby created, as an instrumentality and agency of each of the signatory parties hereto, the Wash- ington Metropolitan Area Transit Authority which shall be a body corporate and politic, and which shall have the powers and duties granted herein and such additional powers as may hereafter be conferred upon it pursuant to law. “Board Membership “5. (a) The Authority shall be governed by a Board of six Directors consisting of two Directors for each signa- tory. For Virginia, the Directors shall be appointed by the Northern Virginia Transportation Commission; for the District of Columbia by the City Council of the Dis- trict of Columbia from among its members, the Commis- sioner and the Assistant to the Commissioner of the Dis- trict of Columbia; and for Maryland, by the Washington Suburban Transit Commission. In each instance the Di- rector shall be appointed from among the members of the appointing body, except as otherwise provided herein, and shall serve for a term coincident with his term on the body by which he was appointed. A director may be re- moved or suspended from office only as provided by the law of the signatory from which he was appointed. The appointing authorities shall also appoint an alternate for a, es Page 118 1irFEeED THROUGH Sa each Director, who may act only in the absence of the Di- rector for whom he has been appointed an alternate, ex- cept that, in the case of the District of Columbia where only one Director and his alternate are present, such alter- nate may act on behalf of the absent Director. Each alter- nate shall serve at the pleasure of the appointing author- ity. In the event of a vacancy in the office of Director or alternate, it shall be filled in the same manner as an origi- nal appointment. “(b) Before entering upon the duties of his office each Director and alternate director shall take and subscribe to the following oath (or affirmation) of office or any such other oath or affirmation, if any, as the Constitution or laws of the signatory he represents shal] provide: Oe, cncecsansseu , hereby solemnly swear (or affirm) that I will support and defend the Constitution of the United States and the Constitution and Laws of the state or political jurisdiction from which I was appointed as a director (alternate director) of the Board of Washing- ton Metropolitan Area Transit Authority and will faith- fully discharge the duties of the office upon which Iam about to enter.’ “Compensation of Directors and Alternates “6. Members of the Board and alternates shall serve without compensation but may be reimbursed for neces- sary expenses incurred as an incident to the performance of their‘duties. “Organization and Procedure “?. The Board shall provide for its own organization and procedure. It shall organize annually by the elec- tion of a Chairman and Vice-Chairman from among its members. Meetings of the Board shall be held as fre- quently as the Board deems that‘the proper performance of its duties requires and the Board shall keep minutes of its meetings. The Board shall adopt rules and regu- lations governing its meeting, minutes and transactions. “Quorum and Actions by the Board “8. (a) Four Directors or alternates consisting of at least one Director or alternate appointed from each Signa- tory, shall constitute a quorum and no action by the Board shall be effective unless a majority of the Board, which’ majority shall include at least one Director or alternate from each Signatory, concur therein; provided, however, that a plan of financing may be adopted or 4 mass transit plan adopted, altered, revised or amended by the unanimous vote of the Directors representing any two Signatories. “(b) The actions of the Board shall be expressed by motion or resolution. Actions dealing solely with inter- nal management of the Authority shal! become effective when directed by the Board, but no other action shall become effective prior to the expiration of thirty days following its adoption; provided, however, that the Board may provide for the acceleration of any action upon & finding that such acceleration is required for the proper and timely performance of its functions. “Officers “9. (a) The officers of the Authority, none of whom shall be members of the Board, shall consist of a general manager, a secretary, a treasurer, a comptroller and a general counsel and such other officers as the Board may provide. Except for the office of general manager and comptroller, the Board may consolidate any of such other offices in one person. All such officers shall be appointed and may be removed by the Board, shall serve at the pleasure of the Board and shal) perform such duties and functions as the Board shall specify. The Board shall fix and determine the compensation to be paid to all of- ficers and, except for the general manager who shall be a full-time employee, all other officers may be hired on a full-time or part-time basis and may be compensated on @ salary or fee basis, as the Board may determine. All employees and such officers as the Board may designate shall be appointed and removed by the general manager under such rules of procedure and standards as the Board may determine. “(b) The general manager shall be the chief adminis- trative officer of the Authority and, subject to policy direction by the Board, shall be responsible for all activi- ties of the Authority. “(c) The treasurer shall] be the custodian of the funds of the Authority, shall keep an account of all receipts and disbursements and shell make payments only upon warrants duly and regularly signed by the Chairman or Vice-Chairman of the Board, or other person authorized by the Board to do eo, and by the secretary or general manager; provided, however, that the Board may provide that warrants not exceeding such amounts or for such purposes as may from time to time be specified by the Board may be signed by the general manager or by persons designated by him. “(d) An oath of office in the form set out in Section 5(b) of this Article shall be taken, subscribed and filed with the Board by all appointed officers. “(e) Each Director, officer and employees specified by the Board shall give such bond in euch form and amount as the Board may require, the premium for which shall be paid by the Authority. “Conflict of Interests “10. (a) No Director, officer or employee shall: “(1) be financially interested, either directly or in- directly, in any contract, sale, purchase, lease or trans- fer of real or personal property to which the Board or the Authority is a party; “(2) in connection with services performed within the scope of his official duties, solicit or accept money or any other thing of value in addition to the com- pensation or expenses paid to him by the Authority; “(3) offer money or any thing of value for or in consideration of obtaining an appointment, promotion or privilege in his employment with the Authority. “(b) Any Director, officer or employee who shall will- fully violate any provision of this section shall, in the discretion of the Board, forfeit his office or employment. ~~ . 1 Page 119 4 Soom *Wwo Olin Ta “(c) Any contract or agreement made in contravention of this section may be declared void by the Board. “(d) Nothing in this section shall be construed to abrogate or limit the applicability of any federal or state law which may be violated by any action prescribed by this section. “ARTICLE IV “PLEDGE OF COOPERATION “11. Each Signatory pledges to each other faithful cooperation in the achievement of the purposes and objects of this Title. “ARTICLE V “GENERAL POWERS “Enumeration “12. In addition to the powers and duties elsewhere described in this Title, and except as limited in this Title, the Authority may: “(a) Sue and be sued; “(b) Adopt and use a corporate sea] and alter the same at pleasure; “(c) Adopt, amend, and repeal rules and regulations respecting the exercise of the powers conferred by this Title; “(d) Construct, acquire, own, operate, maintain, con- trol, sell and convey real and personal property and any interest therein by contract, purchase, condemnation, lease, license, mortgage or otherwise but all of said prop- erty shall be located in the Zone and shall be necessary or useful in rendering transit service or in activities inci- dental thereto; “(e) Receive and accept such payments, appropriations, grants, gifts, loans, advances and other funds, properties and services may be transferred or made available to it by any signatory party, any political subdivision or agency thereof, by tne United States, or by any agency thereof, or by any other public or private corporation or individual, and enter into agreements to make reimburse- ment for all or any part thereof; “(f) Enter into and perform contracts, leases and agree- ments with any person, firm or corporation or with any political subdivision or agency of any signatory party or with the federal government, or any agency thereof, including, but not limited to, contracts or agreements to furnish transit facilities and service; “(g) Create and abolish offices, employmente and posi- tions (other than those specifically provided for herein) as it deems necessary for the purposes of the Authority, and fix and provide for the qualification, appointment, removal, term, tenure, compensation, pension and retire- ment rights of its officers and employees without regard to the laws of any of the signatories; “(h) Establish, in its discretion, a personnel system based on merit and fitness and, subject to eligibility, 8a participate in the pension and retirement plans of any signatory, or political subdivision or agency thereof, upon terms and conditions mutually acceptable; “(1) Contract for of employ any professional services; “(j) Control and regulate the use of facilities owned or controlled by the Authority, the service to be rendered and the fares and charges to be made therefor; “(K) Hold public hearings and conduct investigations relating to any matter affecting transportation in the Zone with which the Authority is concerned and, in connection therewith, subpena witnesses, papers, records and documents; or delegate such authority to any officer. Each director may administer oaths or affirmations in any proceeding or investigation; “(1) Make or participate in studies of all phases and forms of transportation, including transportation vehicle research and development techniques and methods for determining traffic projections, demand motivations, and fiscal research and publicize and make available the re- sults of such studies and other iriformation relating to transportation; and “(m) Exercise, subject to the limitations and restric- tions herein imposed, all powers reasonably necessary or essential to the declared objects and purposes of this Title. “ARTICLE VI “PLANNING ““‘Mass Transit Plan “18. (a) The Board shall develop and adopt, and may from time to time review and revise, a mass transit plan for the immediate and long-range needs of the Zone. The mass transit plan shall include one or more plans designating (1) the transit facilities to be provided by the Authority, including the locations of terminals, stations, platforms, parking facilities and the character and nature thereof; (2) the design and location of such facilities; (3) whether such facilities are to be constructed or acquired by lease, purchase or condemnation; (4) a timetable for the provision of such facilities; (5) the anticipated capital costs; (6) estimated operating ex- penses and revenues relating thereto; and (7) the various other factors and considerations, which, in the opinion of the Board, justify and require the projects therein pro- posed. Such plan shall specify the type of equipment to be utilized, the areas to be served, the routes and schedules of service expected to be provided and the probable fares and charges therefor. “(b) In preparing the mass transit plan, and in any review of revision thereof, the Board shall make full utilization of all data, studies, reports and information available from the National Capital Transportation Agency and from any other agencies of the federal govern- ment, and from signatories and the political subdivisions thereof. “Planning Process “14. (a) The mass transit plan, and any revisions, alterations or amendments thereof, shall be coordinated, through the procedures hereinafter set forth, with “(1) other plans and programs affecting transpor- tation in the Zone in order to achieve a balanced system BLEED ED THROUGH 9a of transportation, utilizing each mode to its best advantage; “(2) the general plan or plans for the development of the Zone; and “(3) the development plans of the various political subdivisions embraced within the Zone. “(b) It shall be the duty and responsibility of each member of the Board to serve as liaison between the Board and the body which appointed him to the Board. To provide a framework for regional participation in the planning process, the Board shall create technical com- mittees concerned with planning and collection and anal- yses of data relative to decision-making in the trans- portation planning process and the Commissioners of the District of Columbia, the component governments of the Northern Virginia Transportation District and the Washington Suburban Transit District shall appoint reprecentatives to such technical committees and other- wise cooperate with the Board in the formulation of a mass transit plan, or in revisions, alterations or amend- ments therof. “(c) The Board, in the preparation, revision, alteration or amendment of a mags transit plan, shall “(1) consider data with respect to current anc pro- spective conditions in the Zone, including, without limitation, land use, population, economic factors af- fecting development plans, goals or objectives for the development of the Zone and the separate political sub- divisions, transit demands to be generated by such de- velopment, travel patterns, existing and proposed trans- portation and transit facilities, impact of transit plans on the dislocation of families and businerses, preser- vation of the beauty and dignity of the Nation's Capi- tal, factors affecting environmental amenities and aesthetics and financial resources; “(2) cooperate with and participate in any contin- ous, comprehensive transportation planning process cooperatively established by the highway agencies of the signatories and the local political subdivisions in the Zone to meet the planning standards now or here- after prescribed by the Federal-Aid Highway Acts; and “(3) to the extent not inconsistent with or duplica- tive of the planning process specified in subparagraph (2) of this paragraph (c), cooperate with the National Capital Planning Commission, the National Capital Regional Planning Council, the Washington Metropol- itan Council of Governments, the Washington Metro- politan Area Transit Commission, the highway agencies of the Signatories, the Maryland-National Capital Park and Planning Commission, the Northern Virginia Regional Planning and Economic Development Com- mission, the Maryland State Planning Department and the Commission of Fine Arts. Such cooperation shall include the creation, as necessary, of technical com- mittees composed of personnel, appointed by such agencies, concerned with planning and collection and analysis of data relative to decisionmaking in the transportation planning process. Page 120 10a “Adoption of Mass Transit Plan “15. (a) Before a mass transit plan is adopted, altered, revised or amended, the Board shall transmit such pro- posed plan, alteration, revision or amendment for com- ment to the following and to such other agencies as the Board shall determine: “(1) the Commissioners of the District of Columbia, the Northern Virginia Transportation Commission and the Washington Suburban Transit Commission; “(2) the governing bodies of the Counties and Cities embraced within the Zone; “(3) the highway agencies of the Signatories; “(4) the Washington Metropolitan Area Transit Commission; “(5) the Washington Metropolitan Council of Gov- ernments; “(6) the National Capital Planning Commission; “(7) The National Capital Regional Planning Council; “(8) the Maryland-National Capital Park and Plan- ning Commission; “(9) the Northern Virginia Regional Planning and Economic Development Commission; “(10) the Maryland State Planning Department; and “(11) the private transit companies operating in the Zone and the Labor Unions representing the employees of such companies and employees of contractors pro- viding service under Operating contracts. “Information with respect thereto shall be released to the public. A copy of the proposed mass transit plan, amendment or revision, ehall be kept at the office of the Board and shall be available for public inspection. After thirty days’ notice published once a week for two suc- cessive weeks in one or more newspapers of general cir- culation within the Zone, a public hearing shall be held with respect to the proposed plan, alteration, revision or amendment. The thirty days’ notice shall begin to run on the first day the notice appears in any such newspapers. The Board shall consider the evidence submitted and statements and comments made at such hearing and may make any changes in the proposed plan, amendment or revision which it deems appropriate and such Changes may be made without further hearing. “ArTictz VII “FINANCING “Policy “16. With due regard for the policy of Congress for financing a mass transit plan for the Zone set forth in Section 204(g) of the National Capita] Transportation Act of 1960 (74 Stat. 537), it is hereby declared to be the policy of this Title that, as far as possible, the payment of all costs shall be borne by the persons using or bene- fiting from the Authority's facilities and services and any B!| FEED THROUGH lla remaining costs shall be equitably shared among the federal, District of Columbia and participating local gov- ernments in the Zone. The allocation among such gov- ernments of such remaining costs shall be determined by agreement among them and shall be provided in the manner hereinafter specified. “Plan of Financing “17. (a) The Authority, in conformance with said policy, shall prepare and adopt a plan for financing the con- struction, acquisition. and operation of facilities epeci- fied in a mass transit plan adopted pursuant to Article VI hereof, or in any alteration, revision or amendment thereof. Such of financing shall specify the facilities to be constructed or acquired, the cost thereof, the principal amount of revenue bonds, equipment trust certificates, and other evidences of debt proposed to be issued, the principal terms and provisions of all loans and underly- ing agreements and indentures, estimated operating ex- penses and revenues, and the proposed allocation among the federal, District of Columbia, and participating local governments of the remaining costs and deficits, if any, and such other information as the Commission may con- sider appropriate. “(b) Such plan of financing shatl constitute a proposal to the interested governments for financial participation and shall not impose any obligation on any government and such oblige ions shall be created only as provided in Section 18 of this Article VII. “Commitments for Financial Participation “18. (a) Commitments on behalf of the portion of the Zone located in Virginia shall be by contract or agree- ment by the Authority with the Northern Virginia Trans- portation District, or its component governments, as au- thorized in the Transportation District Act of 1964 (Ch. 631, 1964 Acts of Virignia Assembly), to contribute to the capital required for the construction and/or acquisition of facilities specified in a mass transit plan adopted as provided in Article VI, or any alteration, revision or amendment thereof, and for meeting expenses and obli- gations in the operation of such facilities. No such con- tract or agreement, however, shall be entered into by the Authority with the Northern Virginia Transportation Dis- trict unless said District has entered into the contracts or agreements with its member governments, as contem- plated by Section 1(b) (4) of Article 4 of said Act, which contracts or agreements expressly provide that such con- tracts or agreements shall inure to the benefit of the Au- thority and shall be enforceable by the Authority in ac- cordance with the provisions of Section 2, Article 5 of said Act, and such contracts or agreements are acceptable to the Board. The General] Assembly of Virginia hereby authorizes and designates the Authority as the agency to plan for and provide transit facilities and services for the area of Virginia encompassed within the Zone within “ae contemplation of Article 1, Section 3(c) of said Act. “(b) Commitments on behalf of the portion of the Zone located in Maryland shall be by contract or agreement by 12a the Authority with the Washington Suburban Transit District, pursuant to which the Authority undertakes to provide transit facilities and service in consideration for the agreement by said District to contribute to the capital required for the construction and/or acquisition of facilities specified in a mass transit plan adopted as pro- vided in Article VI, or in any alteration, revision or amendment thereof, and for meeting expenses and obli- gations incurred in the operation of such facilities. “(c) With respect to the District of Columbia and the federal government, the commitment or obligation to render financial assistance shall be created by appropria- tion or in such other manner, or by such other legislation, as the Congress shall determine. If prior to making such commitment by or on behalf of the District of Columbia, legislation ia enacted by the Congress granting the gov- erning body of the District of Columbia plenary power to create obligations and levy taxes, the commitment by the District of Columbia shall be by contract or agree- ment between the governing body of the District of Columbia and the Authority, pursuant to which the Authority undertakes, subject to the provisions of Section 20 hereof, to provide transit facilities and service in con- sideration for the undertaking by the District of Colum- bia to contribute to the capital required for the construc- tion and/or acquisition of facilities specified in a mass transit plan adopted as provided in Article VI, or in any alteration, revision or amendment thereof, and for meet- ing expenses and obligations incurred in the operation of such facilities. “Administrative Expenses “19. Prior to the time the Authority has receipts from appropriations and contracts or agreements as provided in Section 18 of this Article VII, the expenses of the Au- thority for administration and for preparation of a mass transit and financing plan, including all engineering, financial, legal and other services required in connection therewith, shall, to the extent funds for such expenses are not provided through grants by the federal government, be borne by the District of Columbia, by the Washington Suburban Transit District and the component govern- ments of the Northern Virginia Transportation District. Such expenses shall be allocated among such govern- ments on the basis of population as reflected by the latest available population statistics of the Bureau of the Cen- sus; provided, however, that upon the request of any Director the Board shall make the allocation upon esti- mates of population acceptable to the Board. The allo- cations shall be made by the Board and shall be included in the annual current expense budget prepared by the Board. “Acquisition of Facilities from Federal or Other Agencies “20. (a) The Authority is authorized to acquire by pur- chase, lease or grant or in any manner other than condemnation, from the federal government, or any agency thereof, from the District of Columbia, Maryland or Virginia, or any political subdivision or agency thereof, any transit and related facilities, including real and per- BI Page 121 B! EED THROUGH 13a sonal property and al] other assets, located within the Zone, whether in operation or unde! construction. Such acquisition shall be made upon such terms and condi- tions as may be agreed upon and subject to such au- thorization or approval by the Congress and the govern- ing body of the District of Columbia, as may be required; provided, however, that if such acquisition imposes or may impose any further or additional obligation or liability upon the Washington Suburban Transit District, the Northern Virginia Transportation District, or any component government thereof, under any contract with the Authority, the Authority shall not make such acqulisi- tion until any such affected contract has been appro- priately amended. “(b) For such purpose, the Authority is authorized to assume al] liabilities and contracts relating thereto, to assume responsibility as primary obligor, endorser or guarantor on any outstanding revenue bonds, equipment trust certificates or other form of indebtedness author- ized in this Act issued by such predecessor agency or agencies and, in connection therewith, to become a party to, and assume the obligations of, any indenture or loan agreement underlying or issued in connection with any outstanding securities or debts. “Temporary Borrowing “21. The Board may borrow, in anticipation of receipts, from any signatory, the Washington Suburban Transit District, the Northern Virginia Transportation District or any component government thereof, or from any lend- ing institution for any purposes of this title, includ- ing administrative expenses. Such loans shall be for a term not to exceed two years and at such rates of inter- est as shall be acceptable to the Board. The signatories and any such political subdivision or agency may, in its discretion, make such loans from any available money. “Punding “22. The Board shall not construct or acquire any of the transit facilities specified in a mass transit plan adopted pursuant to the provisions of Article VI of this Title, or in any alteration, revision or amendment thereof, nor make any commitments or incur any obligations with respect thereto until funds are available therefor. “ARTICLE VIII “BUDGET “Capital Budget “23. The Board shall annually adopt a capitai budget, including all capital projects it proposes to undertake or continue during the budget period, containing a state- ment of the estimated cost of each project and the method of financing thereof. “Current Expense Budget “24. The Board shall annually adopt a current expense budget for each fiscal year. Such budget shall include the Board's estimated expenditures for administration, a a a a 2 14a operation, maintenance and repairs, debt service require- ments and payments to be made into any funds required to be maintained. The total of such expenses shall be balanced by the Board's estimated revenues and receipts from all sources, excluding funds included in the capital budget or otherwise earmarked for other purposes. “Adoption and Distribution of Budgets “25. (a) Following the adoption by the Board of annual capital and current expense budgete, the general manager shall transmit certified copies of such budgets to the prin- cipal budget officer of the federal government, the Dis- trict of Columbia, the Washington Suburban Transit District and of the component governments of the North- ern Virginia Transportation Commission at such time and in such manner as may be required under their respective budgetary procedures. “(b) Each budget shall indicate the amounts, if any, required from the federal government, the Government of the District of Columbia, the Washington Suburban Transit District and the component governments of the Northern Virginia Transportation District, determined in accordance with the commitments made pursuant to Article VII, Section 18 of this Title, to balance each of said budgets. “Payments “26. Subject to such review and approval as may be required by their budgetary or other applicable processes, the federal government, the Government of the District of Columbia, the Washington Suburban Transit District and the component governments of the Northern Virginia Transportation District shall include in their respective budgets next to be adopted and appropriate or otherwise provide the amounts certified to each of them as set forth in the budgets. “ARTICLE IX “REVENUE BONDS “Borrowing Power “27. The Authority may borrow money for any of the purposes of this Title, may issue ite negotiable bonds and other evidences of indebtedness in respect thereto and may mortgage or pledge its properties, revenues and contracts as security therefor. “All such bonds and evidences of indebtedness shall be payable solely out of the properties and revenues of the Authority. The bonds and other obligations of the Au- thority, except as may be otherwise provided in the in- denture under which they were issued, shall be direct and general obligations of the Authority and the full faith and credit of the Authority are hereby pledged for the prompt payment of the debt service thereon and for the fulfillment of all other undertakings of the Authority assumed dy if to or for the benefit of the holders thereof. “Punds and Expenses “98. The purposes of this Title shall include, without limitation, all costs of any project or facility or any part thereof, including interest during a period of construction BLEED =D THROUGH 15a and for a period not to exceed two years thereafter and any incidental expenses (legal, engineering, fiscal, finan- cial, consultant and other expenses) connected with is- suing and disposing of the bonds; all amounts required for the creation of an operating fund, construction fund, reserve fund, sinking fund, or other special fund; all other expenses connected with administration, the planning, design, acquisition, construction, completion, improve- ment or reconstruction of any facility or any part thereof; and reimbursement of advances by the Board or by others for such purposes and for working capital. “Credit Excluded; Officers, State, Political Subdivisions and Agencies “29. The Board shall have no power to pledge the credit of any signatory party, political subdivision or agency thereof, or to impose any obligation for payment of the bonds upon any signatory party, political subdivision or agency thereof, but may pledge the contracts of such governments and agencies; provided, however, that the bonds may be underwritten in whole or in part as to principal and interest by the United States, or by any political subdivision or agency of any signatory; pro- vided, further, that any bonds underwritten in whole or in part as to principal and interest by the United States shall not be issued without approval of the Secretary of the Treasury. Neither the Directors nor any person ex- ecuting the bonds 6hall be liable personally on the bonds of the Authority or be subject to any personal liability or accountability by reason of the issuance thereof. “Funding and Refunding “30. Whenever the Board deems it expedient, it may fund and refund the bonds and other obligations of the Authority whether or not such bonds and obligations have matured. It may provide for the issuance, sale or exchange of refunding bonds for the purpose of redeem- ing or retiring any bonds (including the payment of any premium, duplicate interest or each cash adjustment re- quired in connection therewith) issued by the Authority or issued by any other issuing body, the proceeds of the sale of which have been applied to any facility acquired by the Authority or which are payable out of the revenues of any facility acquired by the Authority. Bonds may be issued partly to refund bonds and other obligations then outstanding, and partly for any other purpose of the Authority. All provisions of this Title applicable to the issuance of bonds are applicable to refunding bonds and to the issuance, sale or exchange thereof. “Bonds; Authorization Generally “31. Bonds and other indebtedness of the Atuhority shall be authorized by resolution of the Board. The validity of the authorization and issuance of any bonds by the Authority shall not be dependent upon nor af- fected in any way by: (1) the deposition of bond proceeds by the Board or by contract, commitment or action taken with respect to such proceeds; or (ii) the failure to com- plete any part of the project for which bonds ere au- thorized to be issued. The Authority may issue bonds Page 122 16a in one or more series and may provide for or more consolidated bond issues, in such principal amounts and with such terms and provisions as the Board may deem necessary. The bonds may be secured by a pledge of all or any part of the property, revenues and franchises un- der its control. Bonds may be issued by the Authority in such amount, with such maturities and in such denom- inations and form or forms, whether coupon or regis- tered, as to principal alone or as to both principal and interest, as may be determined by the Board. The Board may provide for redemption of bonds prior to maturity on such notice and at such time or times and with such redemption provisions, including premiums, as the Board may determine. “Bonds; Resolutions and Indentures Generally “32. The Board may determine and enter into inden- tures or adopt resolutions providing for the principal amount, date or dates, maturities, interest rate, or rates. denominations, form, registration, transfer, interchange and other provisions of the bonds and coupons and the terms and conditions upon which the same shall be exe- cuted, issued, secured, sold, paid, redeemed, funded and refunded. The resolution of the Board authorizing any bond or any indenture so authorized under which the bonds are issued may include all such covenants and other provisions not inconsistent with the provisions of this Title, other than any restriction on the regulatory powers vested in the Board by this Title, as the Board may deem neceesary or desirable for the issue, payment, security, protection or marketing of the bonds, includ- ing without limitation covenants and other provisions as to the rates or amounts of fees, rents and other charges to be charged or made for use of the facilities; the use, pledge, custody, securing, application and dis- position of such revenues, of the proceeds of the bonds, and of any other moneys or contracts of the Authority; the operation, maintenance, repair and reconstruction of the facilities and the amounts which may be expended therefor; the sale, lease or other disposition of the facili- ties; the insuring of the facilities and of the revenues derived therefrom; the construction or other acquisi- tion of other facilities; the issuance of additional bonds or other indebtednegs; the rights of the bondholders and of any trustee for the bondholders upon default by the Authority or otherwise; and the modification of the provisions of the indenture and of the bonds. Refer- ence on the face of the bonds to such resolution or indenture by its date of adoption or the apparent date on the face thereof is sufficient to incorporate all of the provisions thereof and of this Title into the body of the bonds and their appurtenant coupons. Each taker and subsequent holder of the bonds or coupons, whether the coupons are attached to or detached from the bonds, has recourse to all of the provisions of the indenture and of this Title and is bound thereby. BI EED ‘ED THROUGH 17a “Maximum Maturity “32. No bond or its terms shall mature in more than fifty years from its own date and in the event any author- ized issue is divided into two or more series or divisions, the maximum maturity date herein authorized shall be calculated from the date on the face of each bond sepa- rately, irrespective of the fact that different dates may be prescribed for the bonds of each separate series or division of any authorized issue. . “Tax Exemption “34. All bonds and all other evidences of debt issued by the Authority under the provisions of this Title and the interest thereon shall at all times be free and exempt from al] taxation by or under authority of any signatory parties, except for transfer, inheritance and estate taxes. “Interest “35. Bonds shall bear interest at such rate or rates as may be determined by the Board, payable annually or semiannually. “Place of Payment “36. The Board may provide for the payment of the principal and interest of bonds at any place or places within or without the signatory states, and in any speci- fied lawful coin or currency of the United States of America. “Execution “37. The Board may provide for the execution and authentication of bonds by the manual, lithographed or printed facsimile signature of members of the Board, and by additional authentication by a trustee or fiscal agent appointed by the Board; provided, however, that one of such signatures shall be manual. If any of the members whose signatures or countersignatures appear upon the bonds or coupons cease to be members before the delivery of the bonds or coupons, their signatures or countersignatures are nevertheless valid and of the same force and effect as if the members had remained in office until the delivery of the bonds and coupons. “Holding Own Bonds “38. The Board shall have powe out of any funds available therefor to purchase its bonds and may hold, cancel or resell such bonds. “Bale “39. The Board may fix terms and conditions for the sale or other disposition of any authorized issue of bonds. The Board may sell bonds at less than their par or face value but no issue of bonds may be sold at an aggregate price below the par or face value thereof if such sale would result in a net interest cost to the Authority calculated upon the entire issue so sold in excess of the applicable rate determined by the Board, payable semi- annually, computed with relation to the absolute matu- rity of the bonds according to standard tables of bond values, deducting the amount of any premium to be paid 18a on the redemption of any bonds prior to maturity. All bonds issued and sold pursuant to this title may be sold in such manner, either at public or private sale, as the Board shall determine. “Negotiability “40. All bonds issued under the provisions of this Title are negotiable instruments. “Bonds Eligible for Investment and Deposit “41. Bonds issued under the provisions of this Title are hereby made securities in which all public officers and public agencies of the signatories and their po- litical subdivisions and all banks, trust companies, sav- ings and loan associations, investment companies and others carrying on a banking business, all insurance com- panies and insurance associations and others carrying on an insurance business, all administrators, executors, guardians, trustees and other fiduciaries, and all other persons may legally and properly invest funds, includ- ing capital in their control or belonging to them. Such bonds are hereby made securities which may properly and legally be deposited with and received by any officer of any signatory, or of any agency or political subdivision of any signatory, for any purpose for which the deposit of bonds or other obligations of such signatory is now or may hereafter be authorized by law. “Validation Proceedings “42. Prior to the issuance of any bonds, the Board may institute a special proceeding to determine the legality of proceedings to issue the bonds and their validity under the laws of any of the signatory parties. Such proceeding shall be instituted and prosecuted in rem and the final judgment rendered therein shall be conclusive against all persons whomsoever and against each of the signatory parties. “Recording “43. No indenture need be recorded or filed in any public office, other than the office of the Board. The pledge of revenues provided in any identure shall take effect forthwith as provided therein and irrespective of the date of receipt of such revenues by the Board of the indenture trustee. Such pledge shall be effective as pro- vided in the indenture without physical delivery of the revenues to the Board of to the indenture trustee. “Pledged Revenues “44. Bond redemption and interest payments shall, to the extent provided in the resolution or indenture, con- stitute a first, direct and exclusive charge and lien on all revenues received from the use and operation of the facility, and on any sinking or other funds created therefrom. All such revenues, together with interest thereon, shall constitute a trust fund for the security and payment of such bonds and except as and to the extent provided in the indenture with respect to the pay- ment therefrom of expenses for other purposes including 7 Page 123 19a administration, operation, maintenance, improvements or extensions of the facilities or other purposes shall not be used or pledged for any other purpose so long as such bonds, or any of them, are outstanding and unpaid. “Remedies “45. The holder of any bond may for the equal bene- fit and protection of all holders of bonds similarly situated: (1) by mandamus or other appropriate pro- ceedings require and compel the performance of any of the duties imposed upon the Board or assumed by it, its officers, agents or employees under the provisions of any indenture, in connection with the acquisition, con- struction, operation, maintenance, repair, reconstruction or insurance of the facilities, or in connection with the collection, deposit, investment, application and disburse- ment of the revenues derived from the operation and use of the facilities, or in connection with the deposit, invest- ment and disbursement of the proceeds received from the sale of bonds; or (2) by action or suit in a court of competent jurisdiction of any signatory party require the Authority to account as if it were the trustee of an express trust, or enjoin any acts or things which may be unlawful or in violation of the rights of the holders of the bonds. The enumeration of such rights and remedies does not, however, exclude the exercise or pros- ecution of any other rights or remedies available to the holders of bonds. ; : ’ at “ARTICLE X ' ‘ “£QUIPMENT TRUST CERTIFICATES “Power “46. The Board shall have power to execute agreements, leases and equipment trust certificates with respect to the purchase of facilities or equipment such as cars, trolley buses and motor buses, or other craft, in the form customarily used in such cases and appropriate to effect such purchase, and may dispose of such equip- ment trust certificates in such manner as it may deter- mine to be for the best interests of the Authority. Each vehicle covered by an equipment trust certificate shall have the name of the owner or lessor plainly marked upon both sides thereof, followed by the words ‘Owner and Lessor’. “Payments “47. All monies required to be paid by the Authority under the provisions of such agreements, leases and equipment trust certificates shall be payable solely from the revenue to be derived from the operation of the transit system or from such grants, loans, appropriations or other revenues, as may be available to the Board under the provisions of this Title. Payment for such facilities or equipment, or rentals thereof, may be made in installments, and the deferred installments may be evidenced by equipment trust certificates as aforesaid, and title to such facilities or equipment may not vest in the Authority until the equipment trust certificates are paid. 20a “Procedure “48. The agreement to purchase facilities or equip- ment by the Board may direct the vendor to sell and assign the equipment to a bank or trust company, duly authorized to transact business in any of the signatory States, or to the Housing and Home Finance Adminis- trator, as trustee, lessor or vendor, for the benefit and security of the equipment trust certificates and may direct the trustee to deliver the facilities and equip- ment to one or more designated officers of the Board and may authorize the trustee simultaneously therewith to execute and deliver a lease of the facilities or equip- ment to the Board. “Agreements and Leases “49. The agreements and leases shall be duly acknowl- edged before some person authorized by law to take acknowledgements of deeds and in the form required for acknowledgement of deeds and such agreements, leases, and equipment trust certificates shall be authorized by resolution of the Board and shall contain such cov- enants, conditions and provisions as may be deemed nec- essary or appropriate to insure the payment of the equipment trust certificates from the revenues to be derived from the operation of the transit system and other funds. “The covenants, conditions and provisions of the agree- ments, leases and equipment trust certificates shall not conflict with any of the provisions of any resolution or trust agreement securing the payment of bonds or other obligations of the Authority then outstanding or conflict with or be in derogation of the rights of the holders of any such bonds or other obligations. “Law Governing “60. The equipment trust certificates issued hereunder shall be governed by Laws of the District of Columbia and for this purpose the chief place of business of the Authority shall be considered to be the District of Colum- bia. The filing of any documents required or permitted to be filed shall be governed by the — of the District of Columbia. “ARTICLE XI : “OPERATION OF FACILITIES “Operation by Contract or Lease “61. Any facilities and propérties owned or controlled by the Authority may be operated by the Authority di- rectly or by others pursuant to-contract or lease as the Board may determine. _— , “The Operating Contract ; “52. Without limitation upon the right of the Board to prescribe such additional terms and provivions as it may deem necessary and appregee, the operating con- tract shall; “(a) specify the services and functions to be performed by the Contractor; “(b) provide that the Contractor shall hire, supervise and control all personnel required to perform the services 2la and functions assumed by it under the operating con- tract and that all such personne] shall be employees of the Contractor and not of the Authority; “(c) require the Contractor to assume the obligations of the labor contract or contracts of any transit company which may be acquired by the Authority and assume the pension obligations of any such transit company; “(a@) require the Contractor to comply in all respects with the labor policy set forth in Article XIV of this Title; . “(e) provide that no transfer of ownership of the capi- tal stock, securities or interests in any Contractor, whose principal business is the operating contract, shall be made without written approval of the Board and the certificates or other instruments representing such stock, securities or interest shall contain a statement of this restriction; “(f) provide that the Board ehall have the sole au- thority to determine the rates or fares to be charged, the routes to be operated and the service to be furnished; “(g) specify the obligations and liabilities which are to be assumed by the Contractor and those which are to be the responsibility of the Authority; “(h) provide for an annual audit of the books and accounts of the Contractor by an independent certified public accountant to be selected by the Board and for such other audits, examinations and investigations of the books and records, procedures and affairs of the Con- tractor at such times and in such manner as the Board shall require, the cost of such audits, examinations and investigations to be borne as agreed by the parties in the operating contract; and “(1) provide that no operating contract shall be en- tered into for a term in excess of five years; provided, that any such contract may be renewed for successive terms, each of which shall not exceed five years. Any such operating contract shall be subject to termination by the Board for cause only. “Compensation for Contractor “53. Compensation to the Contractor under the operat- ing contract may, in the discretion of the Board, be in the form of (1) a fee paid by the Board to the Con- tractor for services, (2) a payment by the Contractor to the Board for the right to operate the system, or (3) such other arrangement as the Board may prescribe; provided, however, that the compensation shall bear a reasonable relationship to the benefits to the Authority and to the estimated costs the Authority would incur in directly performing the functions and duties delegated under the operating contract; and provided, further, that no such contract shall create any right in the Contractor (1) to make or change any rate or fare or alter or change the service specified in the contract to be provided or (2) to seek judicial relief by any form of original action, review or other proceedings from any rate or fare or service prescribed by the Board. Any assertion, or at- tempted assertion, by the Contractor of the right to make or change any rate or fare or service prescribed by the Board shall constitute cause for termination of the operating contract. The operating contract may pro- vide incentives for efficient and economical management. Page 124 22a “Selection of Contractor “54. The Board shall enter into an operating contract only after formal advertisement and negotiations with all interested and qualified parties, including private transit companies rendering transit service within the Zone; provided, however, that, if the Authority acquires transit facilities from any agency of the federal or District of Columbia governments, in accordance with the provisions of Article VII, Section 20 of this Title, the Authority shal] assume the obligations of any operating contract which the transferor agency may have entered into. “ARTICLE XII “COORDINATION OF PRIVATE AND PUBLIC FACILITIES “Declaration of Policy “65. It is hereby declared that the interest of the public in efficient and economical transit service and in the financial well-being of the Authority and of the private trangit companies requires that the public and private segments of the regional transit system be operated, to the fullest extent possible, as a coordinated system with- out unnecessary duplicating service. “Implementation of Policy “66. In order to carry out the legislative policy set forth in Section 55 of this Article XZ “(a) The Authority— “(1) except as herein provided, shall not, directly or through a Contractor, perform transit service by bus or similar motor vehicles; (2) shall, in cooperation with the private carriers and WMATC, coordinate to the fullest extent prac- ticable, the schedules for service performed by its facilities with the schedules for service performed by private carriers; and “(3) ehall enter into agreements with the private carriers to establish and maintain, subject to approval by WMATC, through routes and joint fares and provide for the division thereof, or, in the absence of such agree- ments, establish and maintain through routes and joint fares in accordance with orders issued by WMATC directed to the private carriers when the terms and conditions for such through service and joint fares are acceptable to it. “(b) The WMATC, upon application, complaint, or upon its own motion, shall— “(1) direct private carriers to coordinate their sched- ules for service with the schedules for service performed by facilities owned or controlled by the Authority; “(2) direct private carriers to improve or extend any existing services or provide additional service over addl- tional routes; “(3) authorize a private carrier, pursuant to agree- ment between said carrier and the Authority, to estab- lish and maintain through routes and joint fares for transportation to be rendered with facilities owned or controlled by the Authority if. after hearing held upon reasonable notice, WMATC finds that such through A Fis B!| EED THROUGH 23a routes and joint fares are required by the public inter- est; and “(4) im the absence of such an agreement with the Authority, direct a private carrier to establish and maintain through routes and joint fares with the Au- thority, if, after hearing held upon reasonable notice, WMATC finds that such through service and joint fares are required by the public interest; provided, however, that no such order, rule or regulation of WMATC shall be construed to require the Authority to establish and maintain any through route and joint fare. “(c) WMATC shall not authorize or require a private carrier to render any service, including the establishment or continuation of a joint fare for a through route serv- ice with the Authority which is based on a division there- of between the Authority and private carrier which does not provide a reasonable return to the private carrier, unless the carrier is currently earning a reasonable return on its operation as a whole in performing transportation subject to the jurisdiction of WMATC. In determin- ing the issue of reasonable return, WMATC shall take into account any income attributable to the carrier, or to any corporation, firm or association owned in whole or in part by the carrier, from the Authority whether by way of payment for services or otherwise. “(d) If the WMATC is unable, through the exercise of its regulatory powers over the private carriers granted in paragraph (b) hereof or otherwise, to bring about the requisite coordination of operations and service between the private carriers and the Authority, the Authority may in the situations specified in paragraph (b) hereof, cause such transit service to be rendered by its Con- tractor by bus or other motor vehicle, as it shell deem necessary to effectuate the policy set forth in Section 55 hereof. In any such situation, the Authority, in order to encourage private carriers to render bus service to the fullest extent practicable, may, pursuant to agreement, make reasonable subsidy payments to any private carrier. “(e) The Authority may acquire the capital stock or transit facilities of any private transit company and may perform transit service, including service by bus or similar motor vehicle, with transit facilities so acquired, or with transit facilities acquired pursuant to article VII, section 20. Upon acquisition of the capital stock or the transit facilities of any private transit company, the Authority shall undertake the acquisition as soon as possible of the capital stock or the transit facilities of each of the other private transit companies within the zone requesting such acquisition. Lack of such request, however, shall not be construed to preclude the Authority from acquiring the capital stock or the transit facilities of any such company pursuant to section 82 of article XVI. “Rights of Private Carriers Unaffected “57. Nothing in this Title shall restrict or limit such rights and remedies, if any, thet any private carrier may have against the Authority arising out of acts done or Page 125 24a actions taken by the Authority hereunder. In the event any court of competent jurisdiction shall determine that the Authority has unlawfully infringed any rights of any private carrier or otherwise caused or permitted any private carrier to suffer legally cognizable injury, damages or harm and shall award a judgment therefor, such judg- ment shall constitute a lien against any and all of the assets and properties of the Authority. “Financial Assistance to Private Carriers “68. (a) The Board may accept grants from and enter into loan agreements with the Housing and Home Fi- nance Administrator, pursuant to the provisions of the Urban Maas Transportation Act of 1964 (78 Stat. 302), or with any successor agency or under any law of similar purport, for the purpose of rendering financial essistance to private carriers. “(b) An application by the Board for any such grant or loan shall be based on and supported by a report from WMATC setting forth for each private carrier to be as- sisted (1) the equipment and facilities to be acquired, constructed, reconstructed, or improved, (2) the service proposed to be rendered by such equipment and facilities, (3) the improvement in service expected from such fa- cilities and equipment, (4) how the use of such facilities and equipment will be coordinated with the transit fa- cilities owned by the Authority, (5) the ability of the affected private carrier to repay any such loans or grants and (6) recommend terms for any such loans or grants. “(c) Any equipment or facilities acquired, constructed, reconstructed or improved with the proceeds of such grants or loans shall be owned by the Authority and may be made available to private carriers only by lease or other agreement which contain provisions acceptable to the Housing and Home Finance Administrator assuring that the Authority will have satisfactory continuing con- trol over the use of such facilities and equipment. “ARTICLE XITI “JURISDICTION; RATES AND SERVICE “Washington Metropolitan Area Transit Commission “59. Except as provided herein, this Title shall not af- fect the functions and jurisdiction of WMATC, as granted by Titles I and I of this Compact, over the transporta- tion therein specified and the persons engaged therein and the Authority shall have no jurisdiction with respect thereto. “Public Facilities “60. Service performed by transit facilities owned or controlled by the Authority, and the rates and fares to be charged for such service, shall be subject to the sole and exclusive jurisdiction of the Board and, notwith- standing any other provision in this Compact contained, WMATC shall have no authority with respect thereto, or with respect to any contractor in connection with the operation by it of transit facilities owned or controlled 25a by the Authority. The determinations of the Board with respect to such matters shall not be subject to ju- dicial review nor to the processes of any court. “Standards “61. Insofar as practicable, and consistent with the provision of adequate service eat reasonable fares, the rates and fares and service shall be fixed by the Board so as to result in revenues which will: “(@) pay the operating expenses and provide for re- pairs, maintenance and depreciation of the transit system owned or controlled by the Authority; “(b) provide for payment of all principal and interest on outstanding revenue bonds and other obligations and for payment of all amounts to sinking funds and other funds as may be required by the terms of any indenture or loan agreement; “(c) provide for the purchase, lease or acquisition of rolling stock, including provisions for interest, sinking funds, reserve funds, or other funds required for payment of any obligations incurred by the Authority for the acquisition of rolling stock; and “(d) provide funds for any purpose the Board deems necessary and desirable to carry out the purposes of this Title. “Hearings “62. (a) The Board shall not make or change any fare or rate, nor establish or abandon any service except after holding a public hearing with respect thereto. “(b) Any signatory, any political subdivision thereof, any agency of the federal government and any person, firm or association served by or using the transit facilities of the Authority and any private carrier may file a request with the Board for a hearing with respect to any rates or charges made by the Board or any service rendered with the facilities owned or controlled by the Authority. Such request shall be in writing, shall state the matter on which a hearing is requested and shall set forth clearly the matters and things on which the request relies. As Promptly as possible after such a request is filed, the Board, or such officer or employee as it may designate, shall confer with the protestant with respect to the mat- ters complained of. After such conference, the Board, if it deems the matter meritorious and of general significance, may call a hearing with respect to such request. “(c) The Board shall give at least thirty days’ notice for all hearings. The notice shall be given by publication in @ newspaper of daily circulation throughout the Zone and such notice shall be published once a week for two successive weeks. The notice shall start with the day of first publication. In addition, the Board shall post notices of the hearing in its offices, all stations and termi- nals, and in all of its vehicles and rolling stock in revenue service. “(d) Prior to calling a hearing on any matter specified in this section, the Board shall prepare and file at its main office and keep open for public inspection its report relating to the proposed action to be considered et such hearing. Upon receipt by the Board of any report sub- 26a mitted by WMATC, in connection with a matter set for hearing, pursuant to the provisions of Section 63 of this Article XII, the Board shall file such report at its main office and make it available for public inspection. For hearings called by the Board pursuant to paragraph (b), above, the Board also shall cause to be lodged and kept open for public inspection the written request upon which the hearing is granted and all documents filed in support thereof. “Reference of Matters to WMATC “63. To facilitate the attainment of the public policy objectives for operation of the publicly and privately owned or controlled transit facilities as stated in Article XII, Section 55, prior to the hearing provided for by Sec- tion 62 hereof— “(a) The Board shall refer to WMATC for its consid- eration and recommendations, any matter which the Board considers may affect the operation of the publicly and privately owned or controlled transit facilities as a coordinated regional transit system and any matter for which the Board has called a hearing, pursuant to Section 62 of this Article XIII, except that temporary or emer- gency changes in matters affecting sevice shall not be referred; and “(b) WMATC, upon such reference of any matter to it, shall give the referred matter preference over any other matters pending before it and shall, as expeditiously as practicable, prepare and transmit its report thereon to the Board. The Board may request WMATC to reconsider any part of ita report or to make any supplemental reports it deems necessary. All of such reports shall be advisory only. “(c) Any report submitted by WMATC to the Board shall consider, without limitation, the probable effect of the matter or proposal upon the operation of the publicly and privately owned or controlled transit facili- ties as a coordinated regional system, passenger move- ments, fare structures, service and the impact on the revenues of both the public and private facilities. “Artice XIV “LABOR POLICY “Construction “64. The Board shal] take such action as may be neces- sary to insure that all laborers and mechanics employed by contractors or subcontractors in the construction, alteration or repair, including painting and decorating, of projects, buildings and works which are undertaken by the Authority or are financially assisted by it, shall be paid wages at rates not less than those prevailing on similar construction in the locality as determined by the Secretary of Labor in accordance with the Davis- Bacon Act, as amended (40 U.S.C. 276a—276a-5), and every such employee shall receive compensation at a rate not less than one and one-half times his basic rate of pay for all hours worked in any workweek in excess of eight B! Page 126 Bi EED THROUGH 27a hours in eny workday or forty hours in any workweek, as the case may be. A provision stating the minimum wages thus determined and the requirement that overtime be p3id as above provided shall be set out in each project advertisement for bids and in each bid proposal form and shall be made a part of the contract covering the project, which contract shall be deemed to be a contract of the character specified in Section 108 of the Contract Work Hours Standards Act (76 Stat. 357), as now or as may hereafter be in effect. The Secretary of Labor shall have, with respect to the administration and enforce- ment of the labor standards specified in this provision, the supervisory, investigatory and other authority and functions set forth in Reorganization Plan No. 14 of 1950 (15 F.R. 3176, 64 Stat. 1267, 6 U.S.C. 133z-15), and sec- tion 2 of the Act of June 13, 1934, ag amended (48 Stat. 948, as amended; 40 U.S.C. 276(c)). The requirements of this section shall also be applicable with respect to the employment of laborers and mechanics in the construc- tion, alteration or repair, including painting and deco- rating, of the transit facilities owned or controlled by the Authority where such activities are performed by a Con- tractor pursuant to agreement with the operator of such facilities. “Equipment and Supplies “65. Contracts for the manufacture or furnishing of materials, supplies, articles and equipment shall be sub- ject to the provisions of the Walsh-Healey Public Con- tracts Act (41 US.C. 35 et seq.), as now or as may hereafter be in effect. “Operations “66. (a) The rights, benefits, and other employee pro- tective conditions and remedies of section 13(c) of the Urban Mass Transportation Act of 1964, as amended (49 U.S.C. 1609(c)), as determined by the Secretary of Labor shall apply to the operation by the Washington Metro- politan Area Transit Authority of any mass transit facili- ties owned or controlled by it and to any contract or other arrangement for the operation of transit facilities. When- ever the Authority shall operate any transit facility or enter into any contractual or other arrangements for the operation of such transit facility the Authority shall ex- tend to employees of affected mass transportation systems first opportunity for transfer and appointment as em- ployees of the Authority in accordance with seniority, in any nonsupervisory job in respect to such operations for which they can qualify after a reasonable training period. Such employment shall not result in any worsening of the employee's position in his former employment nor any loss of wages, hours, working conditions, seniority, fringe bene- fits and rights and privileges pertaining thereto. “(b) The Authority shall deal with and enter into writ- ten contracts with employees as defined in section 152 of title 29, United States Code, through accredited represent- atives of such employees or representatives of any labor organization authorized to act for such employees con- cerning wages, salaries, hours, working conditions, and pension or retirement provisions. 28a “(c) In case of any labor dispute involving the Author- ity and such employees where collective bargaining does not result in agreement, the Authority shall submit such dispute to arbitration by a board composed of three per- s0n8s, one appointed by the Authority, one appointed by the labor organization representing the employees, and & third member to be agreed upon by the lebor organiza- tion and the Authority. The member agreed upon by the labor organization and the Authority shall act as chair- man of the board. The determination of the majority of the board of arbitration, thus established shall be final and binding on all matters in dispute. If after a period of ten days from the date of the appointment of the two ar- bitrators representing the Authority and the labor organi- zation, the third arbitrator has not been selected, then either arbitrator may request the Federal Mediation and Conciliation Service to furnish a list of five persons from which the third arbitrator shall be selected. The arbitra- tors appointed by the Authority and the labor organiza- tion, promptly after the receipt of such list shall deter- mine by lot the order of elimination, and thereafter each shall in that order alternately eliminate one name until only one name remains. The remaining person on the list shall be the third arbitrator. The term ‘labor dispute’ shall be broadly construed and shall include any con- troversy concerning wages, salaries, hours, working con- ditions, or benefits including health and welfare, sick leave, insurance or pension or retirement provisions but not limited thereto, and including any controversy con- cerning any differences or questions that may arise be- tween the parties including but not limited to the mak- ing or maintaining of collective bargaining agreements, the terms to be included in such agreements, and the interpretation or application of such collective bargaining agreements and any grievance that may arise and ques- tions concerning representation. Each party shall pay one-half of the expenses of such arbitration. “(d) The Authority is hereby authorized and empow- ered to establish and maintain a system of pensions and retirement benefits for such officers and employees of the Authority as may be designated or described by resolution of the Authority; to fix the terms of and restrictions on . admission to such system and the classifications therein; to provide that persons eligible for admission in such pension system shall not be eligible for admission to, or receive any benefits from, any other pension system (ex- cept social security benefits), which is financed or funded, in whole or in part, directly or indirectly by funds paid or appropriated by the Authority to such other pension sys- tem, and to provide in connection with such pension sys- tem, a system of benefits payable to the beneficiaries and dependents of any participant in such pension system after the death of such participant (whether accidental or otherwise, whether occurring in the actual performance of duty or otherwise, or both) subject to such exceptions, conditions, restrictions and classifications as may be pro- vided by resolution of the Authority. Such pension system shall be financed or funded by such means and in such 29a manner as may be determined by the Authority to be eco- nomically feasible. Unless the Authority shall otherwise determine, no officer or employee of the Authority and no beneficiary or dependent of any such Officer or employee shall de eligible to receive any pension or retirement or other benefits both from or under any such pension sys- tem and from or under any pension or retirement system established by an acquired transportation system or estab- lished or provided for, by or under the provisions of any collective bargaining agreement between the Authority and the representatives of its employees. “(e) Whenever the Authority acquires existing transit facilities from a public or privately owned utility either in proceeding by eminent domain or otherwise, the Authority shall assume and observe all existing labor contracts and pension obligations. When the Authority acquires an existing transportation system, all employees who are nec- essary for the operation thereof by the Authority shall be transferred to and appointed as employees of the Author- ity, subject to all the rights and benefits of this title. These employees shall be given seniority credit and sick leave, vacation, insurance and pension credits in accordance with the records or labor agreements from the acquired transportation system. Members and beneficiaries of any pension or retirement system or other benefits established by the acquired transportation system shall continue to have rights, privileges, benefits, obligations and status with respect to such established system. The Authority shall assume the obligations of any transportation system acquired by it with regard to wages, salaries, hours, work- ing conditions, sick leave, health and welfare and pension or retirement provisions for employees. It shall assume the provisions of any collective bargaining agreement between such acquired transportation system and the representa- tives of its employees. The Authority and the employees, through their representatives for collective bargaining purposes, shall take whatever action may be necessary to have pension trust funds presently under the joint con- trol of the acquired transportation system and the par- ticipating employees through their representative trans- ferred to the trust fund to be established, maintained and administered jointly by the Authority and the participat- ing employees through their representatives. No employee of any acquired transportation system who is transferred to e position with the Authority shall by reason of such transfer be pleced in any worse position with respect to workmen's compensation, pension, seniority, wages, sick leave, vacation, health and welfare insurance or any other benefits, than he enjoyed as an employee of such acquired transportation system. “ARTICLE XV “RELOCATION ASSISTANCE “Relocation Program and Payments “67. Section 7 of the Urban Mass Transportation Act .of 1964, and as the same may from time to time be amended, and all regulations promulgated thereunder, are hereby made applicable to individuals, families, busi- Page 127 30a ness concerns and nonprofit organizations displaced from real property by actions of the Authority without regard to whether financial assistance is sought by or extended to the Authority under any provision of that Act; provided, however, that in the event real property is acquired for the Authority by an agency of the federal government, or by a State or local agency or instrumen- tality, the Authority is authorized to reimburse the acquiring agency for relocation payments made by it. “Relocation of Public or Public Utility Facilities “68. Notwithstanding the provisions of Section 67 of this article XV, any highway or other public facility or any facilities of a public utility company which will be dislocated by reason of a project deemed necessary by the Board to effectuate the authorized purposes of this Title shall be relocated if such facilities are devoted to a public use, and the reasonable cost of relocation, if substitute facilities are necessary, shall be paid by the Board from any of its monies. “ARTICLE XVI “GENERAL PROVISIONS “Creation and Administration of Funds “69. (a) The Board may provide for the creation and administration of such funds as may be required. The funds shall be disbursed in accordance with rules estab- lished by the Board and all payments from any funds shall be reported to the Board. Monies in such funds and other monies of the Authority shall be deposited, as di- rected by the Board, in any state or national bank located in the Zone having a total paid-in capital of at least one million dollars ($1,000,000). The trust depart- ment of any such state or nationa] bank may be desig- nated as a depos:ary to receive any securities acquired or owned by the Authority. The restriction with respect to paid-in capital may be waived for any such bank which agrees to pledge federal securities to protect the funds and securities of the Authority in such amounts an pur- suant to such arrangements as may be acceptable to the Board. “(b) Any monies of the Authority may, in the discre- tion of the Board and subject to any agreement or covenant between the Authority and the holders of any of its obligations limiting or restricting classes of invest- ments, be invested in bonds or other obligations of, or gusranteed as to interest and principal by, the United States, Meryland, Virginia or the political subdivisions or agencies thereof. “Annual Independent Audit “710. (a) As soon as practical after the closing of the fiscal year, an audit shall be made of the financial ac- accounts of the Authority. The audit shall be made by qualified certj/fied public accountants selected by the Board, who shall have no personal interest direct or indirect in the financial affairs of the Authority or any of its officers or employees. The report of audit shall be } Ri FEN THR OLIGH 3la prepared in accordance with generally accepted auditing principles ana shall be filled with the Chairman and other officers as the Board shall direct. Copies of the report shall be distributed to each Director, to the Congress, to the Board of Commissioners of the District of Colum- bia, to the Governors of Virginia and Maryland, to the Washington Suburban Transit Commission, to the Northern Virginia Transportation Commission and to the governing bodies of the political subdivisions located within the Zone which are parties to commitments for participation in the financing of the Authority and shall be made available for public distribution. “(b) The financial transactions of the Board shal] be subject to audit by the United States Genera’ Account- ing Office in accordance with the principles und proce- dures applicable to commercial corporate .ransactions and under such rules and regulations as may be pre- scribed by the Comptroller General of the ‘Jnited States. The audit shall be conducted at the place co: places where the accounts of the Board are kept. “(c) Any Director, officer or employee wl.o shall refuse to give all required azgsistance and information to the accountants selected by the Board or who shall refuse to submit to them for examination such books, docu- ments, records, files, accounts, papers, things or property as may be requested shall, in the discretion of the Board forfeit his office. “Reports “71. The Board shall make and publish an annual report on its programs, operations and finances, which shall be distributed in the same manner provided by Section 70 of this Article XVI for the report of annual audit. It may also prepare, publish and distribute such other public reports and informational materials as it may deem necessary or desirable. “Insurance “72. The Board may self-insure or purchase insurance and pay the premiums therefore against loss or damage to any of its properties; against liability for injury to persons or property; and against loss of revenue from any cause whatsoever. Such insurance coverage shall be in such form and amount as the Board may determine, subject to the requirements of any agreement arising out of issuance of bonds or other obligations by the Authority. “Purchasing “73. Contracts for the construction, reconstruction or improvement of any facility when the expenditure re- quired exceeds ten thousand dollars ($10,000) and con- tracts for the purchase of supplies, equipment and mate- rials when the expenditure required exceeds two thousand five hundred dollars ($2,500) shall be advertised and let upon sealed bids to the lowest responsible bidder. Notice requesting such bids shall be published in a manner rea- sonably likely to attract prospective bidders, which publi- cation shall be made at least ten days before bids are received and in at least two newspapers of general circula- tion in the Zone. The Board may reject any and all bids and readvertise in its discretion. If after rejecting bids RRR ET ee PR RP 32a the Board determines and resolves that, in its opinion, the supplies, equipment and materials may be purchased at a lower price in the open market, the Board may give each responsible bidder an opportunity to negotiate a price and may proceed to purchase the supplies, equipment and ma- terials in the open market at a negotiated price which is lower than the lowest rejected bid of a responsible bid- der, without further observance of the provisions requir- ing bids or notice. The Board shall adopt rules and regulations to provide for purchasing from the lowest responsible bidder when sealed bids, notice and publica- tion are not required by this section. The Board may suspend and waive the provisions of this section requiring competitive bids whenever: . “(a) the purchase is to be made from or the contract is to be made with the federal or any State government or any agency or political subdivision thereof or pursuant to any open end bulk purchase contract of any of them; “(b) the public exigency requires the immediate de- livery of the articles; “(c) only one source of supply is available; or “(d) the equipment to be purchased is of a technical nature and the procurement thereof without advertising is necessary in order to assure standardization of equip- ment and interchangeability of parts in the public interest. “Rights of Way “74. The Board is authorized to locate, construct and maintain any of its transit and related facilities in, upon, over, under or across any streets, highways, freeways, bridges and any other vehicular facilities, subject to the applicable lawg governing such use of such facilities by public agencies. In the absence of such laws, such use of such facilities by the Board shall be subject to such reasonable conditions as the highway department or other affected agency of a signatory party may require; pro- vided, however, that the Board shall not construct or operate transit or related facilities upon, over, or across any parkways or park lands without the consent of, and except upon the terms and conditions required by, the agency having jurisdiction with respect to such parkways and park lands, but may construct or operate such facili- ties in a subway under such parkways or park lands upon such reasonable terms and conditions as may be specified by the agency having jurisdiction with respect thereto. “Compliance with Laws, Regulations and Ordinances “75. The Board shall comply with all laws, ordinances and regulations of the signatories and political subdivi- sions and agencies thereof with respect to use of streets, highways and all other vehicular facilities, traffic control and regulation, zoning, signs and bulldings. “Police “76. The Board is authorized to employ watchmen, guards and investigators as it may deem necessary for the protection of its properties, personnel and passengers and such employees, when authorized by any Jurisdiction within the Zone, may serve as special police officers in any such jurisdiction. Nothing contained herein shall relieve AEM GN Page 128 rb ode GAN OSES IT 21 FED THROUGH 33a any signatory or politica] subdivision or agency thereof from its duty to provide police service and protection or to limit, restrict or interfere with the jurisdiction of or performance of duties by the existing police and law of enforcement agencies. “Exemption from Regulation “77, Except as otherwise provided in this Title, any transit service rendered by transit facilities owned or con- trolled by the Authority and the Authority or any cor- poration, firm or association performing such transit serv- ice pursuant to an operating contract with the Author- ity, shall, in connection with the performance of such service, be exempt from al] laws, rules, regulations and orders of the signatories and of the United States other- wise applicable to such transit service and persons, except that laws, rules, regulations and orders relating to in- spection of equipment and facilities, safety and testing shall remain in force and effect; provided, however, that the Board may promulgate regulations for the safety of the public and employees not inconsistent with the ap- plicable laws, rules, regulations or orders of the signa- tories and of the United States. “Tax Exemption “76. It is hereby declared that the creation of the Au- thority and the carrying out of the corporate purposes of the Authority is in all respects for the benefit of the an essential governmental function, including, without limitation, proprietary, governmental and other functions, in the exercise of the powers conferred by this Title. Ac- cordingly, the Authority and the Board shall not be re- quired to pay taxes or assessments upon any of the property acquired by it or under its jurisdiction, control, possession or supervision or upon its activities in the operation and maintenance of any transit facilities or upon any revenues therefrom and the property and in- come derived therefrom shall be exempt from all federal, State, District of Columbia, municipal and loca) taxation. This exemption shall include, without limitation, all motor vehicle license fees, sales taxes and motor fuel taxes. “Reduced Fares “79. The District of Columbia, the Northern Virginia rtation District, the Washington Suburban Tran- sit District and the component governments thereof, may enter into contracts or agreements with the Authority to make equitable payments for fares lower than those estab- lished by the Authority pursuant to the provisions of ar- ticle XIII hereof for any specified class or category of riders. “Liability for Contracts and Torts “80. The Authority shall be liable for its contracts and for its torts and those of its Directors, officers, employees and agent committed in the conduct of any proprietary function, in accordance with the law of the applicable MELE ANAT PRA LN LILES LOE MART NMS 34a signatory (including rules on conflict of laws), but shall not be Mable for any torts occurring In the performance of a governmental function. The exclusive remedy for such breach of contracts and torts for which the Author- ity shall be liable, as herein provided, shall be by suit against the Authority. Nothing contained in this Title shall be construed as a waiver by the District of Colum- bia, Maryland, Virginia and the counties and cities within the Zone of any immunity from sult. “Jurisdiction of Courts “81. The United States District Courts ‘shall have ori- ginal jurisdiction, concurrent with the Courts of Mary- land and Virginia, of all actions brought by or against the Authority and to enforce subpoenas issued under this Title. Any such action initiated in a State Court shall be removable to the appropriate United States District Court in the manner provided by Act of June 25, 1948, as amended (28 U.S.C. 1446). “Condemnation “82. (a) The Authority shall have the power to acquire by condemnation, whenever in its opinion it is necessary or advantageous to the Authority to do fo, any real or personal property, or any interest therein, necessary or useful for the transit system authorized herein, except property owned by the United States, by a signatory, or any political subdivision thereof, whenever such property cannot be acquired by negotiated purchase at a price satisfactory to the Authority. “(b) Proceedings for the condemnation of property in the District of Columbie shall be instituted and main- tained under the Act of December 23, 1963 (77 Stat. 577- 581, D.C. Code 1961, Supp. IV, Sections 1351-1368). Pro- ceedings for the condemnation of property located else- where within the Zone shall be instituted and maintained, if applicable, pursuant to the provisions of the Act of August 1, 1888, as amended (25 Stat. 357, 40 U.S.C. 257) and the Act of June 25, 1948 (62 Stat. 935 and 937, 28 U.S.C. 1358 and 1403) or any other applicable Act: pro- vided, however, that if there is no applicable Federal law, condemnation proceedings shall be in accordance with the provisions of the State law of the signatory in which the property is located governing condemnation by the highway agency of such state. Whenever the words ‘real property,’ ‘realty,’ ‘land,’ ‘easement,’ ‘right-of-way,’ or words of similar meaning are used in any applicable fed- eral or state law relating to procedure, jurisdiction and venue, they shall be deemed, for the purposes of this Title, to include any personal] property authorized to be acquired hereunder. “(c) Any award or compensation for the taking of property pursuant to this Title shall be paid by the Au- thority, and none of the signatory parties nor any other agency, instrumentality or political subdivision thereof shall be liable for such award or compensation. “Enlargement and Withdrawal; Duration “83. (a) When advised in writing by the Northern Virginia Transportation Commission or the Washington ” 35a Suburban Transit Commission that the geographical area embraced therein has been enlarged, the Board, upon such terms and conditions as it may deem appropriate, shall by resolution enlarge the Zone to embrace the additional area. “(b) The duration of this Title shall be perpetual but any signatory thereto may withdraw therefrom upon two years’ written notice to the Board. “(c) The withdrawal of any signatory shall not relieve such signatory, any transportation district, county or city or other political subdivision thereof from any obliga- tion to the Authority, or inuring to the benefit of the Authority, created by contract or otherwise. “Amendments and Supplements “84. Amendments and supplements to this Title to im- plement the purposes thereof may be adopted by legisla- tive action of any of the signatory parties concurred in by all of the others. “Construction and Severability “85. The provisions of this Title and of the agreements thereunder shall be severable and if any phrase, clause, sentence or provision of this Title or any such agree- ment is declared to be unconstitutional or the applicabil- ity thereof to any signatory party, political subdivision or agency thereof is held invalid, the constitutionality of the remainder of this Title or any such agreement and the applicability thereof to any other signatory party, political subdivision or agency thereof or circumstance shall not be affected thereby. It is the legislative intent that the provisions of this Title be reasonably and liber- ally construed. “Effective Date; Execution “86. This Title shall be adopted by the signatories in the manner provided by law therefor and shall be signed and sealed in four duplicate original copies. One such copy shall be filed with the Secretary of State of each of the signatory parties or in accordance with laws of the State in which the filing is made, and one copy shall be filed and retained in the archives of the Authority upon its organization. This Title shall become effective ninety days after the enactment of concurring legislation by or on behalf of the District of Columbia, Maryland and Virginia and consent thereto by the Congress and all other acts or actions have been taken, including the signing and execution of the Title by the Governors of Maryland and Virginia and the Commissioners of the District of Columbia.” EX£curION OF COMPACT According to information received, the Compact set out in note above was signed as follows: By the Governor of Maryland, November 17, 1966; by the Governor of Virginia, November 21, 1966, and by the President of the Board of Commissioners of the District of Columbia, November 22, 1966. Page 129 36a Po.icy oF CONGRESS Section 805 of Act Dec. 15, 1971, Pub. L. 92-196, 85 Stat. 659, provided: In granting its consent to the Washington Metropolitan Area Transit Authority Compact and enact- ing that compact for the District of Columbia, Congress declared the policy that, to the extent that costs of the regional transit project are not covered by user charges, such cost shall be equitably shared among the Federal, District of Columbia, and participating local governments in the transit zone. In the National Capital Transporta- tion Act of 1960 (§ 1—-1441 et seq.), Congress, in conform- ance with this policy, authorized the Commissioner of the District of Columbia to contract with the Transit Au- thority to make annual capital contributions to provide the District of Columbia's share of the cost of the regional transit project. Pursuant to this authorization, the Dis- trict of Columbia has entered into a Capital Contributions Agreement with the Transit Authority and the political subdivisions in the transit zone to make the agreed upon annual contributions. It is the purpose of this section to reaffirm the aforementioned policy established by Con- gress with respect to the regional transit project and the contractual obligation of the District of Columbia to pro- vide its share of the cost of the regional transit project. TRANSFER OF FUNCTIONS TO COMMISSIONER See } 401 of Reorg. Plan No. 3 of 1967, eff. No. 3, 1967, the appendix to title 1. See also §§ 301 and 503 TRAN or Funcrions To District or COLUMBIA CouNctrIL Section (425) of Reorg. Plan No. 3 of 1967, effective November \8, 1967, transferred the regulatory and other functions $f the Board of Commissioners, with respect to appointing|two directors as specified in section 5(a) of the compact se} out as a note to this section (the appoint- ments to ba made from a group of individuals, as specified in par. 425 df the Plan) to the District of Columbia Coun- cil, subject the right of the Commissioner as provided by section of the Plan. For provisions establishing the District pf Columbia Council, see section 201 of Re- organization \Plan No. 3 of 1967, set out in the appendix to this title. — Cross REFERENCES Blind and ysically disabled persons, equal access to public conveyances, see § 6-1502. yments and assistance to persons dis- ams and projects of Washington Metro- sit Authority, see § 5-732a. Page 130 Taxpayers of District of Columbia do not have standing to challenge bond referenda in Maryland or Virginia. Jd. $1-1431a. Consent of Congress to compact amend- ments. (a) The Congress hereby consents to amendments to articles I, III, VI, IX, XI, XIV, and XVI of title II of the Washington Metropolitan Area Transit Regulation Compact substantially as set out in the note below section 1-1431. (b) The Commissioner of the District of Columbia is authorized and directed to enter into and execute on behalf of the District of Columbia amendments, substantially as set forth in subsection (a), to title Ill of the Washington Metropolitan Area Transit Regulation Compact with the States of Virginia and Maryland. (July 13, 1972, Pub. L. 92-349, title II, $ 301, 86 Stat. 466.) CODIFICATION - In subsec, (a), the words “substantially as set out in the note below section 1-1431" have been substituted for (D.C. Code, sec. 1-1431 note) subsiantially as follows:”. REFERENCE IN TEXT The cited amendments are to the following sections within the articles of the Compact: 1(g), 5(a), 21, 35, 39, 61, 66, and 79. § 1-1431b. Consent of Congress to —— amend- ments—Acquisition of mass transit bus systems. (a) The Congress hereby consents to amendments to articles XII and XVI of title ITI of the Washing- ton Metropolitan Area Transit Regulation Compact substantially as set out in the note below section 1-1431. (b) The Commissioner of the District of Columbia is authorized and directed to enter into and execute on behalf of the District of Columbia amendments, substantially as set forth above, to title ITI of the Washington Metropolitan Area Transit Regulation Compact with the States of Virginia and Maryland. (Oct. 21, 1972, Pub. L. 92-517, title I, § 101, 86 Stat. 1000.) CODIFICATION In subsec. (a), the words “substantially as set out in the note below section 1-1431" have been substituted for “(D.C. Code, sec. 1-1431 note) substantially as follows:”. 38a REFERENCE IN TEXT The cited amendments are to sections 56(e) and 82(a) of the Compact. § 1-1432. Authority and duty of Commissioner to ex- ecute and carry out compact. The Commissioner of the District of Columbia is authorized and directed to enter into and exe- cute an amendment to the EMnpact substantially as set forth above with the States of Virginia and Mary- land and is further authorized and directed to carry out and effectuate the terms and provisions of said Title II, and there are hereby authorized to be appropriated out of District of Columbia funds such amounts as are necessary to carry out the obligations of the District of Columbia in accordance with the terms of the said Title ITI. (Nov. 6, 1966, 80 Stat. 1352, Pub. L. 89-774, § 2.) Rereaences wr Text Words “amendment to the Compact substantially as set forth above” and “Title III”, as used in this section, refer to the Washington Metropolitan Area Transit Au- thority Compact, set out as a note under § 1~-1431. Transrer oF Puwcrions To COMMISSIONER Bee § 401 of Reorg. Plan No. 3 of 1967, eff. Nov. 8, 1967, set out in the appendix to title 1. See also §§ 301 and 508 of the Plan. §1-1433. Transfer of func‘ion, property, documents, ete.—Appropriations— Development of Plans—aAd- visory services. (a) To assure uninterrupted progress in the de- velopment of the facilities authorized by the Na- tional Capital Transportation Act of 1965, the trans- fer of the functions and duties of the National Capital Transportation Agency (herein referred to as the Agency) to the Washington Metropolitan Area Transit Authority (herein referred to as the Authority) as required by section 1-1408(b) shall take place on September 30, 1967. (b) Upon the effective date of the transfer of functions and duties authorized by subsection (a) of this section, the President is authorized to transfer to the Authority such real and personal property, studies, reports, records, and other assets and lia- bilities as are appropriate in order that the Author- ity may assume the functions and duties of the Agency and, further, the President shal] make pro- ~y Page 131 BI! FEED THROUGH 39a vision for the transfer to the Authority of the unex- pended balance of the appropriations, and of other funds, of the Agency for use by the Authority but such unexpended balances so transferred shall be used only for the purpose for which such appropria- tions were originally made. Subsequent to said ef- fective date, there is authorized to be appropriated to the Department of Housing and Urban Develop- ment, for payment to the Authority, any unappro- priated portion of the authorization specified in sec- tion 1-1424(a)(1). There is also authorized to be appropriated to the District of Columbia out of the genera] fund of the District of Columbia, for pay- ment to the Authority, any unappropriated portion of the authorization specified in section 1-1424(a) (2). Any such appropriations shall be used only for the purposes for which such authorizations were originally made. (c) Pending the assumption by the Authority of the functions and duties of the Agency, the Agency is authorized and directed, in the manner herein set forth, fully to cooperate with and assist the Author- ity, the Northern Virginia Transportation Commis- sion and the Washington Suburban Transit Com- mission in the development of plans for the exten- sions, new lines and related facilities required to ex- pand the basic system authorized by the National Capital Transportation Act of 1965 into a regional system, but pending such transfer of functions and duties, nothing in this subchapter shall be construed to impair the performance by the Agency of the functions and duties imposed by the National Capi- tal Transportation Act of 1965. (d) In order to provide the cooperation and as- sistance specified in subsection (c) of this section, the Agency is authorized to perform, on a reimburs- able basis, planning, engineering and such other services for the Authority, as the Authority may re- quest, or to obtain such services by contract, but all such assistance and services shall be rendered in accordance with policy determinations made by the Authority and shall be advisory only. (e) Amounts received by the Agency from the Au- thority as provided in subsection (d) of this section shall be available for expenditure by the Agency in performing services for the Authority. (Nov. 6, 1966, 80 Stat. 1352, Pub. L. 89-774, § 3.) 40a RErerences In TEXT The National Capital Transportation Act of 1965, re- ferred to in subsecs. (a) and (c), is clagesified to § 1-1421 et seq. CoprrICATION Section was also classified to 40 U.S.C. 672. TRANSFER OF FUNCTIONS Section 1(a)(3) of Reorg. Plan No. 2, of 1968, eff. June 30, 1968, transferred the functions of the Department of Housing and Urban Development, under subsection (b) of this section, to the Secretary of Transportation. For com- plete details of the Plan, see appendix to this title. PRESIDENTIAL EXECUTIVE ORDER 11373 PROVIDING FOR CERTAIN TRANSFERS FROM THE NATIONAL CAPITAL TRANSPORTATION AGENCY TO THE WASHINGTON METROPOLITAN AREA TRANSIT AUTHORITY Ex. Ord. No. 11373, Sept. 20, 1967, 32 F.R. 11371, provided: By virtue of the authority vested in me by section 3(b) of the Act of November 6, 1966 (P-L. 89-774; 80 Stat. 1352; 40 U.S.C. 672(b)) [subsec. b of this section] and by sec- tion 301 of title 3 of the United States Code, tt is ordered as follows: SecTion 1. (a) There are hereby transferred to the Washington Metropolitan Area Transit Authority, effec- tive on September 30, 1967, (1) all real and persorial prop- erty, studies, and reports of the National Capital Trans- portation Agency, (ii) the records of that Agency, except records relating to individual employees or officers, and (411) so much of the other assets, and so much of the liabilities, of that Agency as the Director of the Bureau of the Budget shall determine. (b) Such measures and dispositions as may be neces- sary to effectuate the transfers provided for in subsection (a) of this section shall be carried out by the Director of the Bureau of the Budget or by such officers and agencies of the Executive Branch of the Government as he may designate therefor under the authority of this subsection. Sec. 2. The authority conferred upon the President by the provisions of the above-mentioned section 3(b) to make provision for the transfer to the Washington Metro- politan Area Transit Authority of the unexpended balance of the appropriations, and of other funds, of the National Capital Transportation Agency is hereby delegated to the Director of the Bureau of the Budget. § 1-1434. Jurisdiction of courts—Removal of actions. The United States District Courts shall have original jurisdiction, concurrent with the Courts of Maryland and Virginia, of all actions brcught by or against the Authority and to enforce subpoenas issued pursuant to the provisions of Title III. Any such action initiated in a State court shall be re- Ri FEN THR OLIGH 4la movable to the appropriate United States District Court in the manner provided by section 1446 of title 28, U.S. Code. (Nov. 6, 1966, 80 Stat. 1353, Pub. L. 89-774, § 4.) REFERENCES IN TEXT “Title ITI", as used in this section, refers to the Wash- ington Metropolitan Area Transit Authority Compact, which is ret out as a note under § 1-1431. § 11-1425. Amendment of laws and reorganization plans. (9) All laws or parts of laws of the United States ani of the District of Columbia inconsistent with the provisions of Title III are hereby amended for the purpose of this subchapter to the extent neces- sary to eliminate such inconsistencies and to carry out the provisions of this subchapter and Title II and all laws or parts of laws and all reorganization plans of the United States are hereby amended and made applicable for the purpose of this subchapter to the extent necessary to carry out the provisions of this subchapter and Title III. (Nov. 6, 1966, 80 Stat. 1353, Pub. L. 89-774, § 5(a).) REFeRENCEs.tx TEXT “Title III”, as used in this section, refers to the Wash- ington Metropolitan Area Transit Authority Compact, which is set out as a note under § 1-1431. § 1-1436. Reservation of right to alter, amend or re- peal—Submission of reports to Congress—Dis- closure of information—Access to books and rec- ords—Audits. (a) The right to alter, amend or repeal this sub- chapter is hereby expressly reserved. (b) The Authority shall submit to Congress and the President copies of all annual and special re- ports made to the Governors, the Commissioner of the District of Columbia and/or the legislatures of the compacting States. (c) The President and the Congress or any com- mittee thereof shall have the right to require the disclosure and furnishing of such information by the Authority as they may deem appropriate. Fur- ther, the President and Congress or any of its com- mittees shall have access to all books, records and papers of the Authority as well as the right of in- spection of any facility used, owned, leased, regu- lated or under the control of said Authority. (d) In carrying out the audits provided for in section 70(b) of the Compact the representatives of 42a the General Accounting Office shall have access to all books, accounts, financial records, reports, files, and all other papers, things, or property belonging to or in use by the Board and necessary to facilitate the audit, and they shall be afforded full facilities for verifying transactions with the balances or se- curities held by depositories, agents, and custodians. (Nov. 6, 1966, 80 Stat. 1353, Pub. L. 89-774, § 6.) REFERENCES IN TEXT The Compact, referred to in subsec. (d) of this section, is the Washington Metropolitan Area Transit Authority Compact, which, along with §70(b) thereof, also re- ferred to in this section, is set out as a note under § 1-1431. TRANSFER OF FUNCTIONS TO COMMISSIONER Seo § 401 of Reorg. Plan No. 3 of 1967, eff. Nov. 3, 1967, set out in the appendix to title 1. See also §§301 and 503 of the Plan. lb APPENDIX B = 973 KctuciV rome) fw - United States Court of Appeals FOR THE DISTRICT OF COLUMBIA CIRCUIT No. 73-2089 September Term, [9 7 Civil Action 2426-71 Inited States Court 0; Apneals Bugene 2. Brow, et al. v. fer the Cistrict of Colmo.2 C.r2- D.C. Pransit System, Inc., et al., APFK2 Wir appellants LEB QRDER HUGH E. KLINE Appellees’ suggestion for rehearing having been i itil trengaitted to the full Court and ne Judge requested a vote thereon, it is ORDERED by the Court en banc that appellees' aforesaid suggestion for rehearing en banc is denied. For the Court: HUGH E. KLINE Clerk 2b United States Court of Appeals FOR THE DISTRICT OF COLUMBIA CIRCUIT No. 73-2089 September Term, 19 7, Civil Action 2426-71 Eugene R. Brown, et al. see Babbar eat § Gi v. D. C. Transit System, Inc., et al., AFK 2 Wir Appellants eB i Before: Danaher, Senior Circuit Judge; Leventhal and Wibkeysy ©. KLIIN Circuit Judges. CLEX« ORDER On consideration of appellees' petition for rehearing, it is ORDERED by the Court that appellees' aforesaid petition is denied. Per Curiam For the Court: HUGH E. KLINE Clerk 74 Wid LINE RE Ce ly, 3p SOM: » . A | 2p Notice: This opinion is subject to formal revision before publication in the Federal Reporter or U.S. App. D.C. Keports. Users are requested to notify the Clerk of any formal errors in order that corrections may be made before the bound volumes go to press. United States Court of Appeals FOR THE DISTRICT OF COLUMBIA CIRCUIT No. 73-2089 EUGENE R. BROWN, ET AL, APPELLEES V. D.C. TRANSIT SYSTEM, INC., ET AL, APPELLANTS Appeal from the United States District Court for the District of Columbia (D.C. Civil Action 2426-71) Decided February 28, 1975 Harold Smith for appellant, D.C. Transit System, Ine. Peter G. Ciano for appellant, Washington Metropolitan Area Transit Authority. John H. Harmon, for appellees. Before: DANAHER, Senior Circuit Judge, LEVENTHAL and WILKEY, Circuit Judges. Opinion for the Court filed by Senior Circuit Judge DANAHER. B!| FEED THROUGH ae an a oe on fa a Faas 4b DANAHER, Senior Circuit Judge: The above-named ap- pellees (hereinafter, “Plaintiffs”) were bus drivers in the employ of D.C. Transit System, Inc. (hereinafter, “Transit” ) whose services were terminated, as the dis- trict judge found, “because of failure to conform * their facial hair to the styling required by D.C. Transit Regula- tion #+70-67.” ? He concluded after consideration of cross- motions for summary judgment that Transit’s Regulation and the discharge of the Plaintiffs were in violation of their Fifth Amendment rights. In response to a motion of D.C. Transit, the district judge issued an order which found that the court’s Fifth Amendment ruling “involves a controlling question of law as to which there is sub- stantial ground for difference of opinion,” and that an appeal from it may materially advance termination of 1“Their non-conformity consisted of sideburns extending approximately two inches below their earlobes and . . . in ‘mutton chop’ fashion toward their mouths,” the judge found. 2—D. C. Transit Regulation +70-67 states: (1) Employees must be clean and neat and operators must be clothed in full regulation uniform. (2) Employees must be clean shaven (exceptions: a moustache may be worn provided that it is neatly trimmed, follows the contour of the upper lip and does not exceed to a point lower than a horizontal line projected from the bottom of the lower lip; (a) a dickey (slang), a patch of hair worn just below the center of the lower lip, may be worn provided that it does not exceed 1/,” in width, length and protrusion). (3) Hair must be trimmed neatly. It must not be allowed to cover the ears or extend over the neck collar. (4) Sideburns must be trimmed neatly and are not to exceed a point lower than 14” below the earlob. (5) Beards, goatees and any item not covered above are not permissible. 5b the litigation, see 28 U.S.C. § 1292(b). The corporate defendants* have brought this appeal from the partial summary judgment granted Plaintiffs. We have accepted jurisdiction over this interlocutory appeal. The respec- tive parties on brief agree that the Fifth Amendment determination presents the sole issue before us. We re- verse and remand with directions that judgment be en- tered in favor of the appellants and that Plaintiffs’ com- plaint be dismissed. I The district judge concluded that Plaintiffs’ claim based on statutory grounds had failed. Specifically he ruled that “Regulation #70-67 does not discriminate against persons because of their race or sex and provides no basis for a claim cognizable under 42 U.S.C. § 1981 or § 2000e-2.” Moreover, since the District of Columbia is not a “State or Territory” within the meaning of 42 U.S.C. § 1983, the Plaintiffs “are entitled to no relief under that statute,” citing District of Columbia v. Carter, 409 U.S. 418 (1973).* Succinctly the district judge thus ruled before turning to the Plaintiffs’ claim of denial of substantive due process under the Fifth Amendment. ‘D.C. Transit System, Inc., was a privately owned corpo- ration organized under legislation appertaining to the District of Columbia; Washington Metropolitan Area Transi [Text truncated at 120,000 characters. The full text is on the page linked above.] --- Source: Frix Law Library, https://www.frixlaw.com/law-library/documents/brief%3Amicro_IA40385608_1226%3A2. Public record. Not legal advice.