Congress passed the Regional Rail Reorganization Act of 1973 (sometimes called the "3R Act") to salvage viable freight operations from the bankrupt Penn Central and other lines in the northeast, mid-Atlantic and midwestern regions, through the creation of the Consolidated Rail Corporation (ConRail), a government-owned corporation.United States. Regional Rail Reorganization Act of 1973, , 87 Stat. 985, . See b: Annotated Laws Relating to Conrail. Conrail began operations in 1976.Consolidated Rail Corporation, Philadelphia, PA (2003). "A Brief History of Conrail." Accessed 2012-05-24. The 3R Act also formed the United States Railway Association, another government corporation, taking over the powers of the ICC with respect to allowing the bankrupt railroads to abandon unprofitable lines.
