Transit labor arrangements : most transit agencies report impacts are minimal
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Transit labor arrangements : most transit agencies report impacts are minimal

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      Over the last several years there has been renewed concern about the 37-year old statutory provision commonly known as Section 13 (c) -- codified as section 5333(b) of title 49 U.S. Code. Before the Federal Transit Administration (FTA) may make grants to transit applicants, section 13(c) requires that the Department of Labor (DOL) certify that fair and equitable arrangements are in place to protect mass transit employees affected by federal assistance. Section 13(c) requires that the arrangements contain provisions for, among other things, the continuation of collective bargaining rights and the protection of employees against a worsening of their positions. The General Accounting Office was asked to assess the impact of Section 13(c) on labor costs and the technological and operational management of transit agencies, as well as its impact on the timely receipt of federal transit grants and the burden of complying with section 13(c) relative to other federal grant requirements. Briefly, except for their ability to contract out for transit services, the transit agencies surveyed generally reported that section 13(c) has had a minimal impact on their (1) labor costs, (2) ability to adopt new technologies, and (3) ability to modify transit operations. Transit agencies reported that section 13(c) has delayed the award of federal grants and has presented a burden regarding time, efforts, and resources. Transit officials said that growth in the transit industry may act to mitigate the effects of Section 13(c).
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