Thursday, July 14, 2011

Privatizing Amtrak violates constitution's Takings Clause

Congressional Research Service: Privatizing Amtrak violates constitution's Takings Clause
By Keith Laing - 07/13/11 01:50 PM ET 
  
The Congressional Research Service said this week that the House Republican plan to privatizing rail service currently provided by Amtrak would violate the Takings Clause of the U.S. Constitution. 

Looking into the proposal at the behest of Democrats on the House Transportation and Infrastructure Committee, the CRS ruled that the proposal to transfer assets in the Northeast Rail Corridor currently owned by Amtrak to the Department of Transportation runs afoul of the constitutional provision that requires compensation for transactions of value. 

"The terms of the clause make plain that if the proposed bill were enacted, Amtrak would be able to invoke the clause's protections if (1) Amtrak may be regarded as an entity outside the federal government for Takings Clause purposes … (2) the Amtrak assets to be transferred to the Secretary are 'property' under the Clause and (3) the transfer is a 'taking' under the clause," the CRS report obtained by The Hill said. 


Read more at: http://thehill.com/blogs/transportation-report/railroads/171247-congressional-research-service-privatizing-amtrak-violates-constitutions-takings-clause

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