[Code of Federal Regulations]
[Title 49, Volume 4]
[Revised as of October 1, 2004]
From the U.S. Government Printing Office via GPO Access
[CITE: 49CFR260.23]

[Page 745-746]
 
                        TITLE 49--TRANSPORTATION
 
       CHAPTER II--FEDERAL RAILROAD ADMINISTRATION, DEPARTMENT OF 
                             TRANSPORTATION
 
PART 260_REGULATIONS GOVERNING LOANS AND LOAN GUARANTEES UNDER THE RAILROAD 
REHABILITATION AND IMPROVEMENT FINANCING PROGRAM--Table of Contents
 
             Subpart C_Applications for Financial Assistance
 
Sec. 260.23  Form and content of application generally.

    Each application shall include, in the order indicated and 
identified by applicable paragraph numbers and letters corresponding to 
those used in this section, the following information:
    (a) Full and correct name and principal business address of the 
Applicant;
    (b) Date of Applicant's incorporation, or organization if not a 
corporation, and name of the government, State or territory under the 
laws of which it was incorporated or organized. If Applicant is a 
partnership, association, or other form of organization other than a 
corporation, a full description of the organization should be furnished;
    (c) Name, title, and address of the person to whom correspondence 
regarding the application should be addressed.
    (d) A statement of whether the project involves another railroad or 
other participant, through joint execution, coordination, or otherwise; 
if so, description of the relative participation of Applicant and such 
other railroad or participant, including financial statements (if 
applicable) and financing arrangements of each participant, portion of 
the work to be performed by each participant, and anticipated level of 
usage of the equipment or facility of each participant when the work is 
completed, along with a statement by a responsible officer or official 
of the other railroad or participant that the information provided 
reflects their agreement on these matters;
    (e) A detailed description of the amount and timing of the financial 
assistance that is being requested and its purpose or purposes, 
including:
    (1) Detailed description of the project and its purpose or purposes;
    (2) A description of all facilities or equipment and the physical 
condition of such facilities or equipment included in or directly 
affected by the proposed project;
    (3) Each part or sub-part into which the project may reasonably be 
divided and the priority and schedule of expenditure for each part or 
sub-part; and
    (4) Proposed dates of commencement and completion of the project and 
estimated timing of the expenditure of the proceeds of the obligation;

[[Page 746]]

    (5) A map of Applicant's existing railroad with location of project 
indicated, if appropriate.
    (f) A listing and description of the collateral to be offered the 
Administrator in connection with any financial assistance provided; 
Applicant's opinion of the value of this security and the basis for such 
opinion; in the case of leased equipment to be rehabilitated or improved 
with the proceeds of the obligation proposed to be guaranteed, Applicant 
shall state, in addition to the above, whether the lease provides for, 
or the lessor will permit, encumbrance of the leasehold or subordination 
of the lessor's interest in the equipment to the Administrator;
    (g) A statement, in summary form, showing financial obligations to 
or claims against the United States or obligations for which the United 
States is guarantor, if any, by Applicant or any affiliated corporate 
entity of the Applicant or the Applicant's parent as of the date of the 
application, including:
    (1) Status of any claims under litigation; and
    (2) Any other debits or credits existing between the Applicant and 
the United States, showing the department or agency involved in such 
loans, claims and other debts;
    (h) To the extent such information is available, an analysis that 
includes:
    (1) A statement, together with supporting evidence including copies 
of all market analyses and studies that have been performed to determine 
present and future demand for rail services or facilities, that the 
financing is justified by present and future probable demand for rail 
services or facilities, will meet existing needs for such services or 
facilities, and will provide shippers or passengers with improved 
service;
    (2) Description of the impact of the project upon the projected 
freight or passenger traffic to be originated, terminated, or carried by 
the Applicant for at least the five years immediately following 
completion of the project;
    (3) Explanation of the manner in which the project will increase the 
economical and efficient utilization of equipment and facilities; and
    (4) Description of cost savings or any other benefit which would 
accrue to the Applicant from the project;
    (i) A statement as to how the project will contribute to, or 
enhance, the safe operation of the railroad, considering such factors as 
the occupational safety and health of the employees and the improvement 
of the physical and other conditions that have caused or may cause 
serious injury or loss of life to the public or significant property 
damage;
    (j) A statement of the Applicant's maintenance program for its 
entire rail system and planned maintenance program for the equipment or 
facilities financed by the proceeds of the financial assistance;
    (k) A certified statement in the form contained in Sec. 260.31(d) 
that Applicant will pay to the Administrator, in accordance with Sec. 
260.11, the investigation charge with respect to the application.
    (l) Information relevant to the potential environmental impacts of 
the project in the context of applicable Federal laws;
    (m) Any additional information that the Applicant deems appropriate 
to convey a full and complete understanding of the project, the 
project's relations to the priorities listed in Sec. 260.7, and its 
impact, or to assist the Administrator in making the statutorily 
prescribed findings; and
    (n) Any other information which the Administrator may deem necessary 
concerning an application filed under this part.
    (o) Railroad applicants must also submit a copy of application for 
financing for the project in the private sector, including terms 
requested, from at least one commercial lender, and its response 
refusing to provide such financing.