I. BACKGROUND UNITED STATES RAILWAY ASSOCIATION ADMINISTRATIVE EXPENSES GENERAL JUSTIFICATION The Regional Rail Reorganization Act establishes an administrative expense limitation of $26 million for the Association. The term "administrative expenses" includes both the salary and associated administrative outlays of the Association and all expenditures for contracts, studies, inventories, evaluations, etc. required to support the development of the preliminary and final system plans. Legislative history discloses that the Congress expected this amount to provide for the period from January 1974 through December of 1975. The Congress authorized a transfer of $6 million from the Federal Railroad Administration in order to provide funds to get the Association started. Early in June, an appropriation of $12 million was enacted making a total of $18 million available. Reports of the House and Senate Appropriations Committees indicated that the $18 million was expected to provide administrative expense funds through the end of the current fiscal year on June 30, 1975. There have been extensive changes in USRA's administrative expense requirements since Congress acted on the Regional Rail Reorganization Act. Unanticipated delays occurred in getting a Board Chairman and a Board of Directors. Courts have handed down a number of decisions which declared that portions of the Act are unconstitutional or that specific bankrupt railroads should be excluded from reorganization by USRA. Both of these factors have had the effect of deferring certain policy decisions and promise to stretch out and increase the cost of the Association's main planning task. Hourly rates for contractual services have been going up rather sharply in the past nine months, and the Association finds it must pay substantially larger amounts for surveys and studies performed under contract. In addition, data concerning rail operations and facilities is not in the form anticipated just a few months ago. The cost of compiling and formating this basic data from the bankrupt railroads is now expected to be several times prior estimates. 39-600 74-6 Biography James E. Burke UTU Vice President James E. Burke, UTU Vice President, was born March 2, 1920, at-Savannah, Georgia. Railroad service for Eurke began in 1941 when he was employed as a freight brakeman on the New York Region of the Pennsylvania Railroad, now a part of the Penn Central System. Burke worked in both road and yard service and was promoted to conductor the following year. First a member of ERT Lodge 946 at Rahway, New Jersey, Burke later (now UTU Local 1751). transfered to Lodge 1056 at Long Island, New York,/ He served as treasurer from 1949 to 1955, local chairman from 1951 to 1963, secretary of the PRR Grievance Committee (Lines East) from 1959 to 1962 and vice chairman of the GGC from 1963 to 1964 when he was elected an alternate vice president. In 1966 he became a full vice president and was re- : elected to that position thru the 1971 UTU Convention. Burke is a veteran with service in the U.S. Marine Corps from 1943 to 1945. He and his wife Bernice have two children, one boy and one girl. Home for the UTU officer is at 55 Kettle Creek Road, Freehold, New Jersey 11 The Regional Rail Reorganization Act establishes an administrative expense limitation of $26 million for the Association. The term 'administrative expenses" includes both the salary and associated administrative outlays of the Association and all expenditures for contracts, studies, inventories, evaluations, etc. required to support the development of the preliminary and final system plans. Legislative history discloses that the Congress expected this amount to provide for the period from January 1974 through December of 1975. The Congress authorized a transfer of $6 million from the Federal Railroad Administration in order to provide funds to get the Association started. Early in June, an appropriation of $12 million was enacted making a total of $18 million available. Reports of the House and Senate Appropriations Committees indicated that the $18 million was expected to provide administrative expense funds through the end of the current fiscal year on June 30, 1975. There have been extensive changes in USRA's administrative expense requirements since Congress acted on the Regional Rail Reorganization Act. Unanticipated delays occurred in getting a Board Chairman and a Board of Directors. Courts have handed down a number of decisions which declared that portions of the Act are unconstitutional or that specific bankrupt railroads should be excluded from reorganization by USRA. Both of these factors have had the effect of deferring certain policy decisions and promise to stretch out and increase the cost of the Association's main planning task. Hourly rates for contractual services have been going up rather sharply in the past nine months, and the Association finds it must pay substantially larger amounts for surveys and studies performed under contract. In addition, data concerning rail operations and facilities is not in the form anticipated just a few months ago. The cost of compiling and formating this basic data from the bankrupt railroads is now expected to be several times prior estimates. GALE B. AYDELOTT Chairman and President of the Denver and Rio Grande Western Railroad Born in LaGrange, Ill., in 1914, Mr. Aydelott began a lifelong career with the Denver and Rio Grande Western Railroad when he joined the track gang in 1936 upon graduation from the University of Illinois. He subsequently served in virtually all areas of the railroad's operations with such positions as assistant extra gang foreman, track inspector, engineering assistant, roadmaster, trainmaster, assistant to the chief mechanical officer and division superintendent. In 1954, he was named vice president and general manager and, in 1955, became executive vice president. He was elected chairman and president in 1956. He is a director of the First National Bank Corp., the First National Bank of Denver, the First Security Corp. of Salt Lake City, Ideal Basic Industries and a trustee of the University of Denver. Mr. Aydelott and his wife, the former Estella Schooley, have three children. They reside at 2101 E. Alameda Avenue, in Denver. WILLIAM WARREN SCRANTON b. Madison, Conn. 7/19/17 m. 7/6/42 to Mary L. Chamberlain c. Susan, William W., Joseph C., Peter K. Education: Yale University B. A. '39, Yale Law School LL.B '46 Excc. Committee member National Governors Conference '65 - 'G? Delegate and chairman, Committee on Judiciary, Pennsylvania State Made two fact finding missions for Pres. Nixon to Western Europe Ambassader and Chairman, U.S. Del., INTELSAT '69 Business & Professional: Lawyer, O'Malley, Harris, Warren & Hill, '47 Director & Pres., Scranton Lackawanna Trust Co., 154-'56 173 Director Sun Oil Co., 73 Military Service: Entered as Aviation Cadet, Army Air Force, '41 Recipient of 30 Honorary Degrees Religion: Protestant Legal Address: Northeastern National Bark, Scranton, Pa., 18503 |