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B-175155 1 (1976-07-01)

handle is hein.gao/gaobadufw0001 and id is 1 raw text is: 


               ~COMPTIAOLLER GENERAL OF TH4E UNITEM STATES      i-
                        WASHINGTON, D.C. Z048



              the OJUL 19 76




  Mr. Arthur D. Lewis
Chairman of the Board
United States Railway Association
  2100 Second Street, S. W.
Washington. D C. 20595

  Dear Mr. Lewis:
     We refer to your letter of June 18, 1976, requesting our opinion
  as to whether, in view of the provisions of section 202(a)(5)Xof the
  Regional Rail Reorganization Act of 1973, fringe benefits adminis-
  tratively provided for officers and other employees of the United
  States Railway Association in the form of retirement benefits and
  reimbursement of commutation costs, would be accepted as a nornal
  benefit of Executive Level I officials and, therefore, constitue legal
  payments.

     The Regional Fail Reorganization Act of 1973, approved
  January 2, 1974, P b. L. No. 93-236, which in major part appears
  at 45 U. S. C. S 701et ~sea, (Supp* IV, 1974), established the United
  States Railway Ass6-at-Tn as an incorporated nonprofit association
  whose powers include the preparation and implementation of a final
  system plan for rail service in the midwest and northeast regions
  of the United States. Its employees are not employees of the
  Federal Government. 45 U.S.C. SS 711, 712(a)(l).V/

     Section 202(a)(5) of the Act, 45 U. S. C. § 712(a)(5),Yprovides
  in pertinent part, as follows (quoting from the Code):

          (5) appoint, fix the compensation, and
     assign the duties of such attorneys, agents,
     consultants, and other full- and p4t-time em-
     ployees as it deems necessary or appropriate;.
     except that (1) no officer of the Association,
     including the Chairman, may receive compen-
     sation at a rate in excess of that prescribed
     for level I of the Executive Schedule under
     section 5312 of Title5 * * *. (Emphasis added.)

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