                                 CODE OF VIRGINIA

WASHINGTON METROPOLITAN AREA TRANSIT AUTHORITY COMPACT OF 1966 (§ 33.2-3100)

§ 3. Whereas, Maryland, Virginia and the District of Columbia heretofore have
entered into the Washington Metropolitan Area Transit Regulation Compact
(Virginia—Ch. 627, 1958 Acts of Assembly; Maryland—Ch. 613, Acts of General
Assembly 1959; District of Columbia—Resolution of the Board of Commissioners
adopted December 22, 1960), with the consent of the Congress (J.R., September
15, 1960, P.L., 86-794, 74 Stat. 1031, as amended by 76 Stat. 764), as a first
step toward the improvement of transit service in the metropolitan area of
Washington, D.C.;
		Whereas, in said Compact each of the Signatories pledged to each of the other
signatory parties faithful cooperation in the solution and control of transit
and traffic problems within said metropolitan area and, in order to effect such
purposes, agreed to enact any necessary legislation to achieve the objectives of
the Compact to the mutual benefit of the citizens living within said
metropolitan area and for the advancement of the interests of the Signatories;
		Whereas, it has been established by a decade of studies that a regional system
of improved and expanded transit facilities, including grade-separated rail
facilities in congested areas, is essential in said metropolitan area 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 area,
the effectiveness of the departments and agencies of the federal government
located within the area, the orderly growth and development of the District of
Columbia and the Maryland and Virginia portions of the area, the comfort and
convenience of the residents of and visitors to the area, and the preservation
of the beauty and dignity of the Nation&#8217;s Capital;
		Whereas, the Congress has authorized Maryland, Virginia and the District of
Columbia to negotiate a Compact for the establishment of an organization
empowered to provide necessary transit facilities (P.L. 86-669, 74 Stat. 537)
and in said legislation declared the policy, inter alia, that the development
and administration of such transit facilities requires (1) cooperation among the
federal, state and local government of the area, (2) financial participation by
the federal government in the creation of major facilities that are beyond the
financial capacity or borrowing powers of the private carriers, the District of
Columbia and the local governments of the area, and (3) coordination of transit
facilities with other public facilities and with the use of land, public and
private;
		Whereas, private transit companies should be utilized to the extent
practicable in providing the regional transit facilities and services,
consistent with the requirements of the public interest that the publicly and
privately owned facilities be operated as a coordinated regional system without
unnecessary duplicating services;
		Whereas, adequate provision should be made for the protection of transit labor
in the development and operation of the regional system;
		Whereas, adequate provisions should be made to eliminate any requirement of
additional authentication of manual signature of bonds guaranteed by the United
States of America; and
		Whereas, it is hereby determined that an Authority to be created by interstate
compact between the District of Columbia, the State of Maryland and the
Commonwealth of Virginia, is the most suitable form of organization to achieve
the stated objectives;
		Now, therefore, the District of Columbia, the State of Maryland and the
Commonwealth of Virginia, hereinafter referred to as Signatories, do hereby
amend the Washington Metropolitan Area Transit Regulation Compact by adding
thereto Title III, as hereinafter set forth, and do hereby covenant and agree
substantially, as follows:
		Title III
		Article I Definitions
		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. &#8220;Board&#8221; means the Board of Directors of the Washington
   Metropolitan Area Transit Authority;

   b. &#8220;Director&#8221; means a member of the Board of Directors of the
   Washington Metropolitan Area Transit Authority;

   c. &#8220;Private transit companies&#8221; and &#8220;private carriers&#8221;
   means corporations, persons, firms or associations rendering transit service
   within the Zone pursuant to a certificate 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. &#8220;Signatory&#8221; means the State of Maryland, the Commonwealth of
   Virginia and the District of Columbia;

   e. &#8220;State&#8221; includes District of Columbia;

   f. &#8220;Transit facilities&#8221; means all real and personal property
   located in the Zone, necessary or useful in rendering 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
   required in connection with the performance of transit service;

   g. &#8220;Transit services&#8221; means the transportation of persons and
   their packages and baggage by means of transit facilities between points
   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 individual-ticket-sales sightseeing
   operations;

   h. &#8220;Transit Zone&#8221; or &#8220;Zone&#8221; means the Washington
   Metropolitan Area Transit Zone created and described in Section 3 as well as
   any additional area that may be added pursuant to Section 83(a) of this
   Compact; and

   i. &#8220;WMATC&#8221; 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, (1) to plan, develop, finance and cause to be operated improved transit
facilities, in coordination with transportation 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 III Organization and Area
			Washington Metropolitan Area Transit Zone

3. There is hereby created the Washington Metropolitan Area Transit Zone which
shall embrace the District of Columbia, the Cities of Alexandria, Falls Church
and Fairfax and the Counties of Arlington, Fairfax and Loudoun and political
subdivisions of the Commonwealth of Virginia located within those counties, and
the counties of Montgomery and Prince George&#8217;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 Washington 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 eight Directors consisting
of two Directors for each Signatory and two for the federal government (one of
whom shall be a regular passenger and customer of the bus or rail service of the
Authority). For Virginia, the Directors shall be appointed by the Northern
Virginia Transportation Commission; for the District of Columbia by the Council
of the District of Columbia; for Maryland, by the Washington Suburban Transit
Commission; and for the federal government, by the Secretary of the United
States Department of Transportation. For Virginia and Maryland, the Directors
shall be appointed from among the members of the appointing body, except as
otherwise provided herein, and shall serve for a term coincident with their term
on the appointing body. A Director for a Signatory may be removed or suspended
from office only as provided by the law of the Signatory from which he was
appointed. The nonfederal appointing authorities shall also appoint an alternate
for each Director. In addition, the Secretary of the United States Department of
Transportation shall also appoint two nonvoting members who shall serve as the
alternates for the federal Directors. An alternate Director may act only in the
absence of the Director for whom he has been appointed an alternate, except
that, in the case of the District of Columbia where only one Director and his
alternate are present, such alternate may act on behalf of the absent Director.
Each alternate, including the federal nonvoting Directors, shall serve at the
pleasure of the appointing authority. In the event of a vacancy in the office of
Director or alternate, it shall be filled in the same manner as an original
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 Government he represents shall provide:
   				&#8220;I, ____________________, 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 Washington
   Metropolitan Area Transit Authority and will faithfully discharge the duties
   of the office upon which I am about to enter.&#8221;
   				Compensation of Directors and Alternates

6. Members of the Board and alternates shall serve without compensation but may
be reimbursed for necessary expenses incurred as an incident to the performance
of their duties.
			Organization and Procedure

7. The Board shall provide for its own organization and procedure. It shall
organize annually by the election of a Chairman and Vice-Chairman from among its
members. Meetings of the Board shall be held as frequently 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 regulations 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 Signatory, shall constitute a quorum and no action
by the Board shall be effective unless a majority of the Board present and
voting, 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 a 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 internal management of the Authority shall 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 a 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, an inspector general, and a general counsel and such other officers
as the Board may provide. Except for the office of general manager, inspector
general, 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 shall perform such duties
and functions as the Board shall specify. The Board shall fix and determine the
compensation to be paid to all officers 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 a 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 administrative officer of the
   Authority and, subject to policy direction by the Board, shall be responsible
   for all activities 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 shall 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 so, 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. The inspector general shall report to the Board and head the Office of the
   Inspector General, an independent and objective unit of the Authority that
   conducts and supervises audits, program evaluations, and investigations
   relating to Authority activities; promotes economy, efficiency, and
   effectiveness in Authority activities; detects and prevents fraud and abuse in
   Authority activities; and keeps the Board fully and currently informed about
   deficiencies in Authority activities as well as the necessity for and progress
   of corrective action.

   e. An oath of office in the form set out in &#xA7; 5 (b) of this Article shall
   be taken, subscribed and filed with the Board by all appointed officers.

   f. Each Director, officer and employee specified by the Board shall give such
   bond in such form and amount as the Board may require, the premium for which
   shall be paid by the Authority.
   				Conflict of Interest

10. (a) No Director, officer or employee shall:

   1. be financially interested, either directly or indirectly, in any contract,
   sale, purchase, lease or transfer 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
   compensation or expenses paid to him by the Authority;

      3a. 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 willfully violate any provision
   of this section shall, in the discretion of the Board, forfeit his office or
   employment.

   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 seal 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, control, sell and convey real
   and personal property and any interest therein by contract, purchase,
   condemnation, lease, license, mortgage or otherwise but all of said property
   shall be located in the Zone and shall be necessary or useful in rendering
   transit service or in activities incidental thereto;

   e. Receive and accept such payments, appropriations, grants, gifts, loans,
   advances and other funds, properties and services as may be transferred or
   made available to it by any Signatory party, any political subdivision or
   agency thereof, by the United States, or by any agency thereof, or by any
   other public or private corporation or individual, and enter into agreements
   to make reimbursement for all or any part thereof;

   f. Enter into and perform contracts, leases and agreements 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, employments and positions (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 retirement 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, participate in the pension and retirement plans
   of any Signatory, or political subdivision or agency thereof, upon terms and
   conditions mutually acceptable;

   i. Contract for or 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, subpoena witnesses, papers, records and
   documents; or delegate such authority to any officer. Each Director may
   administer oaths or affirmations in any proceeding or investigation;

   l. 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 results of such studies and
   other information relating to transportation;

   m. Exercise, subject to the limitations and restrictions herein imposed, all
   powers reasonably necessary or essential to the declared objects and purposes
   of this Title; and

   n. Establish regulations providing for public access to Board records.
   				Article VI Planning
   				Mass Transit Plan

13. (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 cost; (6) estimated operating expenses 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 proposed. 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 probable fares and charges
therefor.

   b. In preparing the mass transit plan, and in any review or 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 government, 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 transportation in the Zone in order to
   achieve a balanced system 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 committees concerned with planning
   and collection and analyses of data relative to decision-making in the
   transportation planning process and the Mayor and Council of the District of
   Columbia, the component governments of the Northern Virginia Transportation
   District and the Washington Suburban Transit District shall appoint
   representatives to such technical committees and otherwise cooperate with the
   Board in the formulation of a mass transit plan, or in revisions, alterations
   or amendments thereof.

   c. The Board, in the preparation, revision, alteration or amendment of a mass
   transit plan, shall

      1. consider data with respect to current and prospective conditions in the
      Zone, including, without limitation, land use, population, economic factors
      affecting development plans, goals or objectives for the development of the
      Zone and the separate political subdivisions, transit demands to be
      generated by such development, travel patterns, existing and proposed
      transportation and transit facilities, impact of transit plans on the
      dislocation of families and businesses, preservation of the beauty and
      dignity of the Nation&#8217;s Capital, factors affecting environmental
      amenities and aesthetics and financial resources;

      2. cooperate with and participate in any continuous, 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 hereafter prescribed by the
      Federal-Aid Highway Acts; and

      3. to the extent not inconsistent with or duplicative of the planning
      process specified in subdivision (2) of this subsection (c), cooperate with
      the National Capital Planning Commission, the National Capital Regional
      Planning Council, the Washington Metropolitan Council of Governments, the
      Washington Metropolitan 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 Commission, the
      Maryland State Planning Department and the Commission of Fine Arts. Such
      cooperation shall include the creation, as necessary, of technical
      committees composed of personnel, appointed by such agencies, concerned with
      planning and collection and analysis of data relative to decision-making in
      the transportation planning process.
      					Adoption of Mass Transit Plan

15. (a) Before a mass transit plan is adopted, altered, revised or amended, the
Board shall transmit such proposed plan, alteration, revision or amendment for
comment to the following and to such other agencies as the Board shall
determine:

   1. the Mayor and Council 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 transportation agencies of the Signatories;

   4. the Washington Metropolitan Area Transit Commission;

   5. the Washington Metropolitan Council of Governments;

   6. the National Capital Planning Commission;

   7. the National Capital Regional Planning Council;

   8. the Maryland-National Capital Park and Planning 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
   providing services under operating contracts.

   b. A copy of the proposed mass transit plan, amendment or revision, shall be
   kept at the office of the Board and shall be available for public inspection.
   Information with respect thereto shall be released to the public. After thirty
   days&#8217; notice published once a week for two successive weeks in one or
   more newspapers of general circulation within the Zone, a public hearing shall
   be held with respect to the proposed plan, alteration, revision or amendment.
   The thirty days&#8217; notice shall begin to run on the first day the notice
   appears in any such newspaper. 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.
   				Article 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 Capital 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 benefiting from the Authority&#8217;s facilities and services and any
remaining costs shall be equitably shared among the federal, District of
Columbia and participating local governments in the Zone. The allocation among
such governments of such remaining cost 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 construction, acquisition and operation of facilities
specified in a mass transit plan adopted pursuant to Article VI hereof, or in
any alteration, revision or amendment thereof. Such plan 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 underlying agreements and indentures, estimated operating expenses
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 consider appropriate.

   b. Such plan of financing shall constitute a proposal to the interested
   governments for financial participation and shall not impose any obligation on
   any government and such obligations shall be created only as provided in
   &#xA7; 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 agreement by the Authority with the Northern Virginia
Transportation District, or its component governments, as authorized in the
Transportation District Act of 1964 (Ch. 631, 1964 Virginia Acts of 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
obligations in the operation of such facilities. No such contract or agreement,
however, shall be entered into by the Authority with the Northern Virginia
Transportation District unless said District has entered into the contracts or
agreements with its member governments, as contemplated by § 1 (b)(4) of
Article 4 of said Act, which contracts or agreements expressly provide that such
contracts or agreements shall inure to the benefit of the Authority and shall be
enforceable by the Authority in accordance with the provisions of § 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 the contemplation of Article 1,
§ 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 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 provided
   in Article VI, or in any alteration, revision or amendment thereof, and for
   meeting expenses and obligations incurred in the operation of such facilities.

   c. With respect to the federal government, the commitment or obligation to
   render financial assistance shall be created by appropriation or in such other
   manner, or by such other legislation, as the Congress shall determine.
   Commitments by the District of Columbia shall be by contract or agreement
   between the governing body of the District of Columbia and the Authority,
   pursuant to which the Authority undertakes, subject to the provisions of
   &#xA7; 20 hereof, to provide transit facilities and service in consideration
   for the undertaking by the District of Columbia 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 in any alteration,
   revision or amendment thereof, and for meeting expenses and obligations
   incurred in the operation of such facilities.

   d. (1) All payments made by the local Signatory governments for the Authority
   for the purpose of matching federal funds appropriated in any given year as
   authorized under Title VI, § 601, P.L. 110-432 regarding funding of capital
   and preventive maintenance projects of the Authority shall be made from
   amounts derived from dedicated funding sources.

      2. For purposes of this paragraph (d), a &#8220;dedicated funding
      source&#8221; means any source of funding that is earmarked or required
      under state or local law to be used to match federal appropriations
      authorized under Title VI, &#xA7; 601, P.L. 110-432 for payments to the
      Authority.
      					Administrative Expenses

19. Prior to the time the Authority has receipts from appropriations and
contracts or agreements as provided in &#xA7; 18 of this Article VII, the
expenses of the Authority 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 governments of the Northern Virginia Transportation District.
Such expenses shall be allocated among such governments on the basis of
population as reflected by the latest available population statistics of the
Bureau of the Census; provided, however, that upon the request of any director
the Board shall make the allocation upon estimates of population acceptable to
the Board. The allocations 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 purchase, 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 personal property and all other assets, located within the Zone,
whether in operation or under construction. Such acquisition shall be made upon
such terms and conditions as may be agreed upon and subject to such
authorization or approval by the Congress and the governing 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 the acquisition until any such affected
contract has been appropriately amended.

   b. For such purpose, the Authority is authorized to assume all 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 authorized 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 lending institution
for any purposes of this Title, including administrative expenses. Such loans
shall be for a term not to exceed two years and at such rates on interest 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.
			Funding

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 capital budget, including all capital
projects it proposes to undertake or continue during the budget period,
containing a statement 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&#8217;s estimated expenditures for
administration, operation, maintenance and repairs, debt service requirements
and payments to be made into any funds required to be maintained. The total of
such expenses shall be balanced by the Board&#8217;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 budgets, the general manager shall transmit certified copies of such
budgets to the principal budget officer of the federal government, the District
of Columbia, the Washington Suburban Transit District and of the component
governments of the Northern 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, &#xA7; 18 of this Title, to balance
   each of said budgets.
   				Payment

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 its 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 Authority, except as may be otherwise provided in the indenture 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 by it to or for the benefit of the holders
thereof.
			Funds and Expenses

28. 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 and for a period not to exceed two years thereafter and any
incidental expenses (legal, engineering, fiscal, financial, consultant and other
expenses) connected with issuing 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,
improvement 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; provided, 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 executing the bonds shall 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 redeeming or retiring any bonds (including the payment
of any premium, duplicate interest or cash adjustment required 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 Authority 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 affected in any way by:
(i) the disposition of bond proceeds by the Board or by contract, commitment or
action taken with respect to such proceeds; or (ii) the failure to complete any
part of the project for which bonds are authorized to be issued. The Authority
may issue bonds in one or more series and may provide for one 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 under its control.
Bonds may be issued by the Authority in such amount, with such maturities and in
such denominations and form or forms, whether coupon or registered, 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; Resolution and Indentures Generally

32. The Board may determine and enter into indentures 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 bonds and coupons and the terms and conditions upon which the same
shall be executed, 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 necessary or desirable for the issue, payment, security,
protection or marketing of the bonds, including 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 disposition 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
facilities; the insuring of the facilities and of the revenues derived
therefrom; the construction or other acquisition of other facilities; the
issuance of additional bonds or other indebtedness; 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. Reference 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.
			Maximum Maturity

33. No bond or its terms shall mature in more than fifty years from its own date
and in the event any authorized 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 separately, 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 all 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
specified 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; and
provided, further, that no such additional authentication or manual signatures
need be required in the case of bonds guaranteed by the United States of
America. 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 power out of any funds available therefor to purchase
its bonds and may hold, cancel or resell such bonds.
			Sale

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 semiannually, computed with
relation to the absolute maturity of the bonds according to standard tables of
bond values, deducting the amount of any premium to be paid 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
political subdivisions and all banks, trust companies, savings and loan
associations, investment companies and others carrying on a banking business,
all insurance companies 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,
including 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.

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 indenture shall take
effect forthwith as provided therein and irrespective of the date of receipt of
such revenues by the Board or the indenture trustee. Such pledge shall be
effective as provided in the indenture without physical delivery of the revenues
to the Board or to the indenture trustee.
			Pledged Revenues

44. Bond redemption and interest payments shall, to the extent provided in the
resolution or indenture, constitute 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 payment therefrom of expenses for other purposes including
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 benefit and protection of all
holders of bonds similarly situated: (1) by mandamus or other appropriate
proceedings 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, construction,
operation, maintenance, repair, reconstruction or insurance of the facilities,
or in connection with the collection, deposit, investment, application and
disbursement of the revenues derived from the operation and use of the
facilities, or in connection with the deposit, investment 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 prosecution of any other rights or remedies available to the
holders of bonds.
			Article X Equipment 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 equipment trust certificates in such manner as it may determine to be for
the best interests of the Authority. Each vehicle covered by an equipment trust
certificate shall have the name of the owner and lessor plainly marked upon both
sides thereof, followed by the words &#8220;Owner and Lessor&#8221;.
			Payments

47. All moneys 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.
			Procedure

48. The agreement to purchase facilities or equipment 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 Administrator, 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 equipment 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 equipment to the Board.
			Agreements and Leases

49. The agreements and leases shall be duly acknowledged before some person
authorized by law to take acknowledgments of deeds and in the form required for
acknowledgment of deeds and such agreements, leases, and equipment trust
certificates shall be authorized by resolution of the Board and shall contain
such covenants, conditions and provisions as may be deemed necessary 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 agreements, 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

50. 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 Columbia. The filing of
any documents required or permitted to be filed shall be governed by the Laws of
the District of Columbia.
			Article XI Operation of Facilities
			Operation by Contract or Lease

51. Any facilities and properties owned or controlled by the Authority may be
operated by the Authority directly 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 provisions as it may deem necessary and appropriate, the operating
contract 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 and functions assumed by it under the
   operating contract and that all such personnel 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;

   d. 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 capital stock, securities or
   interests in any Contractor, whose principal business in the operating
   contract, shall be made without written approval of the Board and the
   certificates or other instruments representing such stock, securities or
   interests shall contain a statement of this restriction;

   f. provide that the Board shall have the sole authority 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 Contractor 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
   contracts; and

   i. provided that no operating contract shall be entered 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 operating contract may, in the
discretion of the Board, be in the form of (1) a fee paid by the Board to the
Contractor 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 proceeding
from any rate or fare or service prescribed by the Board. Any assertion, or
attempted 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 provide
incentives for efficient and economical management.
			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, &#xA7; 20 of this Title, the Authority shall
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

55. 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 transit companies requires that the public and private segments
of the regional transit system be operated, to the fullest extent possible, as a
coordinated system without unnecessary duplicating service.
			Implementation of Policy

56. In order to carry out the legislative policy set forth in § 55 of this
Article XII

   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 practicable, the schedules for service performed by its
      facilities with the schedules for service performed by private carriers; and

      3. shall 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 agreements,
      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 schedules 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 additional routes;

      3. authorize a private carrier, pursuant to agreement between said carrier
      and the Authority, to establish 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 routes and joint fares are required by the public interest; and

      4. in the absence of such an agreement with the Authority, direct a private
      carrier to establish and maintain through routes and joint fares with the
      Authority, 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 service with the Authority which is based on a division thereof
   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 determining 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 subsection (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
   subsection (b) hereof, cause such transit service to be rendered by its
   Contractor by bus or other motor vehicle, as it shall deem necessary to
   effectuate the policy set forth in &#xA7; 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 the 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, &#xA7; 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 &#xA7; 82 of Article XVI.
   				Rights of Private Carriers Unaffected

57. Nothing in this title shall restrict or limit such rights and remedies, if
any, that any private carrier may have against the Authority arising out of acts
done or 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 judgment shall constitute a lien against any and
all of the assets and properties of the Authority.
			Financial Assistance to Private Carriers

58. (a) The Board may accept grants from and enter into loan agreements with the
Housing and Home Finance Administrator, pursuant to the provisions of the Urban
Mass 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
assistance 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 assisted (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
   facilities and equipment, (4) how the use of such facilities and equipment
   will be coordinated with the transit facilities owned by the Authority, (5)
   the ability of the affected private carrier to repay any such loans or grants
   and (6) recommended 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
   control over the use of such facilities and equipment.
   				Article XIII Jurisdiction; Rates and Service
   				Washington Metropolitan Area Transit Commission

59. Except as provided herein, this Title shall not affect the functions and
jurisdiction of WMATC, as granted by Titles I and II of this Compact, over the
transportation 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, notwithstanding
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 by the Authority. The
determinations of the Board with respect to such matters shall not be subject to
judicial review nor to the processes to any court.
			Standards

61. Insofar as practicable, and consistent with the provision of adequate
service at reasonable fares, the rates and fares and service shall be fixed by
the Board so as to result in revenues which will:

   a. pay the operating expenses and provide for repairs, 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 of 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 the 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 raise any fare or rate, nor implement a major
service reduction, 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 matters 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 fifteen days&#8217; notice for all public
   hearings. The notice shall be given by publication in a newspaper of daily
   circulation throughout the Transit Zone and such notice shall be published
   once a week for two successive weeks. The notice period shall start with the
   first day of publication. Notices of public hearings shall be posted in
   accordance with regulations promulgated by the Board.

   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 at such
   hearing. Upon receipt by the Board of any report submitted by WMATC, in
   connection with a matter set for hearing, pursuant to the provisions of &#xA7;
   63 of this Article XIII, 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, § 55, prior to the hearings provided for by § 62 hereof—

   a. The Board shall refer to WMATC for its consideration 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 &#xA7; 62 of this Article XIII, except that temporary or emergency
   changes in matters affecting service 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 its 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 facilities as a
   coordinated regional system, passenger movements, fare structures, service and
   the impact on the revenues of both the public and private facilities.
   				Article XIV Labor Policy
   				Construction

64. The Board shall take such action as may be necessary 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 hours in any 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 paid 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 &#xA7; 103 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 enforcement of the labor standards specified in this provision, the
supervisory, investigatory and other authority and functions set forth in
Reorganization Plan Numbered 14 of 1950 (15 F.R. 3176, 64 Stat. 1267,5 U.S.C.
133z-15), and &#xA7; 2 of the Act of June thirteen, nineteen hundred
thirty-four, as 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 construction, alteration or repair,
including painting and decorating, of the transit facilities owned or controlled
by the Authority where such activities are performed by a contractor 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 subject to the provisions of the Walsh-Healey Public
Contracts Act (41 U.S.C. 35 et seq.), as now or as may hereafter be in effect.
			Operations

66. (a) The rights, benefits, and other employee protective conditions and
remedies of § 13 (c) of the Federal Transit Act, as amended (49 U.S.C. Section
5333 (b)), as determined by the Secretary of Labor, shall apply to Washington
Metropolitan Area Transit Authority employees otherwise covered by the Act. The
Authority shall extend to employees whose positions are adversely affected by
the expenditure of federal funds obtained by WMATA pursuant to congressional
appropriations, the rights, benefits, and other employee protective conditions
and remedies of section 13 (c) of the Federal Transit Act, as amended (49 U.S.C.
§ 5333(b)).

   b. The Authority shall deal with and enter into written contracts with
   employees as defined in &#xA7; 152 of Title 29, United States Code, through
   accredited representatives of such employees or representatives of any labor
   organization authorized to act for such employees concerning wages, salaries,
   hours, working conditions, and pension or retirement provisions. Each such
   contract entered into after the effective date of this act shall prohibit the
   contracting employees from engaging in any strike or an employer from engaging
   in any lockout.

   c. In case of any labor dispute involving the Authority and such employees
   where collective bargaining does not result in agreement, either party may
   declare that an impasse has been reached between the parties and may, by
   written notification to the other party and to the Federal Mediation and
   Conciliation Service, request the Service to appoint a mediator for the
   purpose of assisting them in reconciling their differences and resolving the
   controversy on terms which are mutually acceptable. Within five days of the
   receipt of the request the Federal Mediation and Conciliation Service shall
   appoint a mediator in accordance with its rules and procedures for such
   appointment. The mediator shall meet with the parties forthwith, either
   jointly or separately, and shall take such steps as he or she deems
   appropriate to persuade the parties to resolve their differences and effect a
   mutually acceptable agreement. The mediator shall not, however, make findings
   of fact or recommend terms of settlement. Each party shall pay one-half of the
   expenses of such mediator. If the mediator is unable to effect settlement of
   the controversy within fifteen days after his or her appointment, the
   Authority shall submit such dispute to fact finding by a board composed of
   three persons, one appointed by the Authority, one appointed by the labor
   organization representing the employees, and a third member to be agreed upon
   by the labor organization and the Authority. The member agreed upon by the
   labor organization and the Authority shall act as chairman of the board. The
   determination of the majority of the fact finding board thus established shall
   be advisory as to all matters in dispute. If after a period of ten days from
   the date of the appointment of the two persons representing the Authority and
   the labor organization, the third person has not been selected, then either of
   the two persons may request the Federal Mediation and Conciliation Service to
   furnish a list of five persons from which the third person shall be selected;
   provided, however, that the list shall not include the name of the person who
   served as mediator unless inclusion of his or her name is mutually agreed to
   by both parties. The persons appointed by the Authority and the labor
   organization, promptly after the receipt of such list shall determine 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 member of the fact finding board. The term
   &#8220;labor dispute&#8221; shall be broadly construed and shall include any
   controversy concerning wages, salaries, hours, working conditions, or benefits
   including health and welfare, sick leave, insurance or pension or retirement
   provisions but not limited thereto, and including any controversy concerning
   any differences or questions that may arise between the parties including but
   not limited to the making or maintaining of collective bargaining agreements,
   the terms to be included in such agreements, and the interpretation or
   application of such collective bargaining agreements. Each party shall pay
   one-half of the expenses of such fact finding. Under no circumstances may the
   parties resort to binding arbitration after the date of enactment of this act
   or the expiration date of any contract requiring binding arbitration,
   whichever is later. This prohibition against binding arbitration shall not be
   interpreted to preclude such arbitration of individual employee grievances.

   d. The Authority is hereby authorized and empowered 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 (except 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 system, and to provide in connection with such pension system, 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 provided by resolution of the
   Authority. Such pension system shall be financed or funded by such means and
   in such manner as may be determined by the Authority to be economically
   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 be eligible to receive any pension or retirement or other
   benefits both from or under any such pension system and from or under any
   pension or retirement system established by an acquired transportation system
   or established 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 necessary for the operation
   thereof by the Authority shall be transferred to and appointed as employees of
   the Authority, 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, working 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 representatives 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 control of the acquired transportation system
   and the participating employees through their representative transferred to
   the trust fund to be established, maintained and administered jointly by the
   Authority and the participating employees through their representatives. No
   employee of any acquired transportation system who is transferred to a
   position with the Authority shall by reason of such transfer be placed in any
   worse position with respect to workmen&#8217;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.

   f. The Authority shall not require any person, as a condition of employment or
   continuation of employment, to join any labor union or labor organization. The
   Authority shall not require any person, as a condition of employment or
   continuation of employment, to pay any dues, fees, or other charges of any
   kind to any labor union or labor organization.
   				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, business 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 instrumentality, 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 &#xA7; 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 moneys.
			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
established by the Board and all payments from any fund shall be reported to the
Board. Moneys and such funds and other moneys of the Authority shall be
deposited, as directed by the Board, in any branch or subsidiary of any state or
national bank which has operations within the Zone, and having a total paid-in
capital of at least one million dollars ($1,000,000). The trust department of
any such state or national bank may be designated as a depositary 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
and pursuant to such arrangements as may be acceptable to the Board.

   b. Any moneys of the Authority may, in the discretion 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 investments, be invested
   in: (i) Direct obligations of or obligations guaranteed by the United States
   of America; (ii) Bonds, debentures, notes or other evidences of indebtedness
   issued by agencies of the United States of America, including but not limited
   to the following: Bank for Cooperatives; Federal Intermediate Credit Banks;
   Federal Home Loan Bank System; Export-Import Bank of the United States;
   Federal Land Banks, Federal National Mortgage Association; Student Loan
   Marketing Association; Government National Mortgage Association; Tennessee
   Valley Authority; or United States Postal Service; (iii) Securities that
   qualify as lawful investments and may be accepted as security for fiduciary,
   trust and public funds under the control of the United States or any officer
   or officers thereof, or securities eligible as collateral for deposits of
   moneys of the United States, including United States Treasury tax and loan
   accounts; (iv) Domestic and Eurodollar certificates of deposit; and (v) Bonds,
   debentures, notes or other evidences of indebtedness issued by a domestic
   corporation, such as a corporation organized under the laws of one of the
   states of the United States, provided that such obligations are nonconvertible
   and at the time of their purchase are rated in the highest rating categories
   by a nationally recognized bond rating agency.
   				Annual Independent Audit

70. (a) As soon as practical after the closing of the fiscal year, an audit
shall be made of the financial accounts of the Authority. The audit shall be
made by qualified certified 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
prepared in accordance with generally accepted auditing principles and shall be
filed 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 Mayor
and Council of the District of Columbia, 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 shall be subject to audit by the
   United States General Accounting Office in accordance with the principles and
   procedures applicable to commercial corporate transactions and under such
   rules and regulations as may be prescribed by the Comptroller General of the
   United States. The audit shall be conducted at the place or places where the
   accounts of the Board are kept.

   c. Any Director, officer or employee who shall refuse to give all required
   assistance and information to the accountants selected by the Board or who
   shall refuse to submit to them for examination such books, documents, 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 &#xA7; 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
therefor 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
insurance of bonds or other obligations by the Authority.
			Contracting and Purchasing

73. (a) (1) Except as provided in subsections (b), (c), and (f) of this section,
and except in the case of procurement procedures otherwise expressly authorized
by statute, the Authority in conducting a procurement of property, services, or
construction shall:

   A. obtain full and open competition through the use of competitive procedures
   in accordance with the requirements of this Section; and

   B. use the competitive procedure or combination of competitive procedures that
   is best suited under the circumstances of the procurement.

      2. In determining the competitive procedure appropriate under the
      circumstances, the Authority shall:

   A. solicit sealed bids if:

   i. time permits the solicitation, submission, and evaluation of sealed bids;

      ii. the award will be made on the basis of price and other price-related
      factors;

      iii. it is not necessary to conduct discussions with the responding sources
      about their bids; and

      iv. there is a reasonable expectation of receiving more than one sealed bid;
      or

   B. request competitive proposals if sealed bids are not appropriate under
   clause (A) of this paragraph.

   b. The Authority may provide for the procurement of property, services, or
   construction covered by this Section using competitive procedures but
   excluding a particular source in order to establish or maintain an alternative
   source or sources of supply for that property, service, or construction if the
   Authority determines that excluding the source would increase or maintain
   competition and would likely result in reduced overall costs for procurement
   of property, services, or construction.

   c. The Authority may use procedures other than competitive procedures if:

      1. the property, services, or construction needed by the Authority is
      available from only one responsible source and no other type of property,
      services, or construction will satisfy the needs of the Authority; or

      2. the Authority&#8217;s need for the property, services, or construction is
      of such an unusual and compelling urgency that the Authority would be
      seriously injured unless the Authority limits the number of sources from
      which it solicits bids or proposals; or

      3. the Authority determines that it is necessary in the public interest to
      use procedures other than competitive procedures in the particular
      procurement; or

      4. the property or services needed can be obtained through federal or other
      governmental sources at reasonable prices.

   d. For the purpose of applying subsection (c)(1) of this Section:

      1. in the case of a contract for property, services, or construction to be
      awarded on the basis of acceptance of an unsolicited proposal, the property,
      services, or construction shall be deemed to be available from only one
      responsible source if the source has submitted an unsolicited proposal that
      demonstrates a concept:

   A. that is unique and innovative or, in the case of a service, for which the
   source demonstrates a unique capability to provide the service; and

   B. the substance of which is not otherwise available to the Authority and does
   not resemble the substance of a pending competitive procurement.

      2. in the case of a follow-on contract for the continued development or
      production of a major system or highly specialized equipment or the
      continued provision of highly specialized services, the property, services,
      or construction may be deemed to be available from only the original source
      and may be procured through procedures other than competitive procedures if
      it is likely that award to a source other than the original source would
      result in:

   A. substantial duplication of cost to the Authority that is not expected to be
   recovered through competition; or

   B. unacceptable delays in fulfilling the Authority&#8217;s needs.

   e. If the Authority uses procedures other than competitive procedures to
   procure property, services, or construction under subsection (c)(2) of this
   Section, the Authority shall request offers from as many potential sources as
   is practicable under the circumstances.

   f. (1) To promote efficiency and economy in contracting, the Authority may use
   simplified acquisition procedures for purchases of property, services and
   construction.

      2. For the purposes of this subsection, simplified acquisition procedures
      may be used for purchases for an amount that does not exceed the simplified
      acquisition threshold adopted by the federal government.

      3. A proposed purchase or contract for an amount above the simplified
      acquisition threshold may not be divided into several purchases or contracts
      for lesser amounts in order to use the procedures under paragraph (1) of
      this subsection.

      4. In using simplified acquisition procedures, the Authority shall promote
      competition to the maximum extent practicable.

   g. The Board shall adopt policies and procedures to implement this Section.
   The policies and procedures shall provide for publication of notice of
   procurements and other actions designed to secure competition where
   competitive procedures are used.

   h. The Authority in its discretion may reject any and all bids or proposals
   received in response to a solicitation.
   				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
laws 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; provided, 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 facilities 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 subdivisions and agencies thereof with respect to use
of streets, highways and all other vehicular facilities, traffic control and
regulation, zoning, signs and buildings.
			Police Security

76. (a) The Authority is authorized to establish and maintain a regular police
force, to be known as the Metro Transit Police, to provide protection for its
patrons, personnel, and Transit facilities. The Metro Transit Police shall have
the powers and duties and shall be subject to the limitations set forth in this
section. It shall be composed of both uniformed and plain clothes personnel and
shall be charged with the duty of enforcing the laws of the Signatories, and the
laws, ordinances, and regulations of the political subdivisions thereof in the
Transit Zone, and the rules and regulations of the Authority. The jurisdiction
of the Metro Transit Police shall include all the Transit facilities (including
bus stops) owned, controlled, or operated by the Authority, but this restriction
shall not limit the power of the Metro Transit Police to make arrests in the
Transit Zone for violations committed upon, to, or against such Transit
facilities committed from within or outside such Transit facilities while in hot
or close pursuit, or to execute traffic citations and criminal process in
accordance with subsection (c) below. The members of the Metro Transit Police
shall have concurrent jurisdiction in the performance of their duties with the
duly constituted law-enforcement agencies of the Signatories and of the
political subdivisions thereof in which any Transit facility of the Authority is
located or in which the Authority operates any Transit service. On-duty Metro
Transit Police officers are authorized to make arrests off of Transit facilities
within the Transit Zone when immediate action is necessary to protect the
health, safety, welfare or property of an individual from actual or threatened
harm or from an unlawful act. Nothing contained in this section shall either
relieve any Signatory or political subdivision or agency thereof from its duty
to provide police, fire, and other public safety service and protection, or
limit, restrict, or interfere with the jurisdiction of or the performance of
duties by the existing police, fire, and other public safety agencies. For
purposes of this section, &#8220;bus stop&#8221; means that area within 150 feet
of a MetroBus bus stop sign, excluding the interior of any building not owned,
controlled or operated by the Washington Metropolitan Area Transit Authority.

   b. A member of the Metro Transit Police shall have same powers, including the
   power of arrest, and shall be subject to the same limitations, including
   regulatory limitations, in the performance of his duties as a member of the
   duly constituted police force of the political subdivision in which the Metro
   Transit Police member is engaged in the performance of his duties. A member of
   the Metro Transit Police is authorized to carry and use only such weapons,
   including handguns, as are issued by the Authority. A member of the Metro
   Transit Police is subject to such additional limitations in the use of weapons
   as are imposed on the duly constituted police force for the political
   subdivision in which he is engaged in the performance of his duties.

   c. Members of the Metro Transit Police shall have power to execute on the
   Transit facilities owned, controlled, or operated by the Authority any traffic
   citation or any criminal process issued by any court of any Signatory or of
   any political subdivision of a Signatory, for any felony, misdemeanor, or
   other offense against the laws, ordinances, rules, or regulations specified in
   subsection (a). With respect to offenses committed upon, to, or against the
   Transit facilities owned, controlled, or operated by the Authority, the Metro
   Transit Police shall have power to execute criminal process within the Transit
   Zone.

   d. Upon the apprehension or arrest of any person by a member of the Metro
   Transit Police pursuant to the provisions of subsection (b), the officer, as
   required by the law of the place of apprehension or arrest, shall either issue
   a summons or a citation against the person, book the person, or deliver the
   person to the duly constituted police or judicial officer of the Signatory or
   political subdivision where the apprehension or arrest is made, for
   disposition as required by law.

   e. The Authority shall have the power to adopt rules and regulations for the
   safe, convenient, and orderly use of the Transit facilities owned, controlled,
   or operated by the Authority, including the payment and the manner of the
   payment of fares or charges therefor, the protection of the Transit
   facilities, the control of traffic and parking upon the Transit facilities,
   and the safety and protection of the riding public. In the event that any such
   rules and regulations contravene the laws, ordinances, rules, or regulations
   of a Signatory or any political subdivision thereof which are existing or
   subsequently enacted, these laws, ordinances, rules, or regulations of the
   Signatory or the political subdivision shall apply and the conflicting rule or
   regulation, or portion thereof, of the Authority shall be void within the
   jurisdiction of that Signatory or political subdivision. In all other respects
   the rules and regulations of the Authority shall be uniform throughout the
   Transit Zone. The rules and regulations established under this subsection
   shall be adopted by the Board following public hearings held in accordance
   with Section 62 (c) and (d) of this Compact. The final regulation shall be
   published in a newspaper of general circulation within the Zone at least 15
   days before its effective date. Any person violating any rule or regulation of
   the Authority shall be subject to arrest and, upon conviction by a court of
   competent jurisdiction, shall pay a fine of not more than two hundred fifty
   dollars ($250) and costs. Criminal violations of any rule or regulation of the
   Authority shall be prosecuted by the Signatory or political subdivision in
   which the violation occurred, in the same manner by which violations of law,
   ordinances, rules and regulations of the Signatory or political subdivisions
   are prosecuted.

   f. With respect to members of the Metro Transit Police, the Authority shall:

      1. Establish classifications based on the nature and scope of duties, and
      fix and provide for their qualification, appointment, removal, tenure, term,
      compensation, pension, and retirement benefits;

      2. Provide for their training and, for this purpose, the Authority may enter
      into contracts or agreements with any public or private organization engaged
      in police training, and this training and the qualifications of the
      uniformed and plain clothes personnel shall at least equal the requirements
      of each Signatory and of the political subdivisions therein in the Transit
      Zone for their personnel performing comparable duties; and

      3. Prescribe distinctive uniforms to be worn.

   g. The Authority shall have the power to enter into agreements with the
   Signatories, the political subdivisions thereof in the Transit Zone, and
   public safety agencies located therein, including those of the Federal
   Government, for the delineation of the functions and responsibilities of the
   Metro Transit Police and the duly constituted police, fire, and other public
   safety agencies, and for mutual assistance.

   h. Before entering upon the duties of office, each member of the Metro Transit
   Police shall take or subscribe to an oath or affirmation, before a person
   authorized to administer oaths, faithfully to perform the duties of that
   office.
   				Exemption from Regulation

77. Except as otherwise provided in this Title, any Transit service rendered by
Transit facilities owned or controlled by the Authority and the Authority or any
corporation, firm or association performing such transit service pursuant to an
operating contract with the Authority, shall, in connection with the performance
of such service, be exempt from all laws, rules, regulations and orders of the
Signatories and of the United States otherwise applicable to such transit
service and persons, except that laws, rules, regulations and orders relating to
inspection 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 applicable laws,
rules, regulations or orders of the Signatories and of the United States.
			Tax Exemption

78. It is hereby declared that the creation of the Authority and the carrying
out of the corporate purposes of the Authority is in all respects for the
benefit of the people of the Signatory states and is for a public purpose and
that the Authority and the Board will be performing an essential governmental
function, including, without limitation, proprietary, governmental and other
functions, in the exercise of the powers conferred by this Title. Accordingly,
the Authority and the Board shall not be required 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 income derived therefrom shall be exempt from all federal, State,
District of Columbia, municipal and local 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 Transportation District, the
Washington Suburban Transit District and the component governments thereof, may
enter into contracts or agreements with the Authority to make equitable payments
for fares lower than those established by the Authority pursuant to the
provisions of Article 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 agents committed in the conduct of any
proprietary function, in accordance with the law of the applicable Signatory
(including rules on conflict of laws), but shall not be liable for any torts
occurring in the performance of a governmental function. The exclusive remedy
for such breach of contracts and torts for which the Authority 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 Columbia, Maryland,
Virginia and the counties and cities within the Zone of any immunity from suit.
			Jurisdiction of Courts

81. The United States District Courts shall have original jurisdiction,
concurrent with the courts of Maryland, Virginia and the District of Columbia,
of all actions brought by or against the Authority and to enforce subpoenas
issued under this Title. Any such action initiated in a State or District of
Columbia 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 so, 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 Columbia
   shall be instituted and maintained under the Act of December 23, 1963 (77
   Stat. 577-581, D.C. Code 1961, Supp. IV, Sections 1351-1368). Proceedings for
   the condemnation of property located elsewhere 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; provided, 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
   &#8220;real property,&#8221; &#8220;realty,&#8221; &#8220;land,&#8221;
   &#8220;easement,&#8221; &#8220;right-of-way,&#8221; or words of similar
   meaning are used in any applicable federal 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 Authority, 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 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&#8217; 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 obligation 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 implement the purposes thereof
may be adopted by legislative action of any of the Signatory parties concurred
in by all of the others. When one Signatory adopts an amendment or supplement to
an existing Section of the Compact, that amendment or supplement shall not be
immediately effective, and the previously enacted provision or provisions shall
remain in effect in each jurisdiction until the amendment or supplement is
approved by the other Signatories and is consented to by Congress.
			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 agreement is declared to be unconstitutional or the applicability 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 liberally
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 Mayor and Council of the District of
Columbia.

HISTORY: 1966, c. 2; 1969, Ex. Sess., c. 21; 1970, c. 590; 1972, c. 571; 1973,
c. 508; 1974, c. 576; 1977, c. 592; 1981, c. 378; 1984, c. 610; 1987, c. 112;
1995, c. 150; 1997, c. 736; 2009, cc. 771, 828; § 56-529; 2014, c. 805; 2016,
c. 535.