(1) There is hereby created in the department of transportation the transit and rail division, the head of which shall be the director of the transit and rail division, which office is hereby created.

(2) The transit and rail division and the office of the director of the division shall exercise their powers and perform their duties and functions under the department and the executive director as if the same were transferred to the department by a type 2 transfer, as defined in section 24-1-105, C.R.S.

(3) (a) The transit and rail division shall be responsible for the planning, development, operation, and integration of transit and rail, including, where appropriate, advanced guideway systems, into the statewide transportation system; shall, in coordination with other transit and rail providers, plan, promote, and implement investments in transit and rail services statewide; and shall have the following specific powers and duties:

(I) To develop, in accordance with part 11 of this article and consistent with the requirements of 23 U.S.C. secs. 134 and 135, a statewide transit and passenger rail plan that shall be integrated by the department as an element of the statewide transportation plan. The plan shall identify local, interregional, and statewide transit and passenger rail needs and priorities.

(II) To promote, plan, design, build, finance, operate, maintain, and contract for transit services, including, but not limited to, bus, passenger rail, and advanced guideway systems services;

(III) To establish and modify fares and schedules for transit, passenger rail, and advanced guideway services provided directly by the state or contracted for by the state;

(IV) To administer and expend state and federal funds that may be dedicated by law, by appropriation by the general assembly, or by the commission for:

(A) The construction, maintenance, and operation of interregional transit, advanced guideway, and passenger rail services; and

(B) Transit projects including, but not limited to, facilities, equipment, services, and the provision of grants to transit operators;

(V) To coordinate and negotiate with railroads regarding the siting of passenger rail tracks and other facilities and the coordination of transit services;

(VI) To support the department in representing the state with respect to the development of intercity rail facilities, including but not limited to submission of applications to the United States department of transportation for approval and funding of high-speed rail projects, commissioning of any necessary studies, and coordination with other states to facilitate such applications; and

(VII) To coordinate and cooperate with regional transportation authorities created pursuant to part 6 of article 4 of this title and other regional or corridor-specific entities concerned with the planning, development, operation, and integration of transit, passenger rail, or advancedguideway systems in the statewide transportation system.

(b) In exercising the powers and performing the duties set forth in paragraph (a) of this subsection (3), the transit and rail division shall coordinate with the regional transportation district created in article 9 of title 32, C.R.S., regional transportation authorities created pursuant to part 6 of article 4 of this title, and other transit operators to ensure the efficient provision of transit services. The authority given to the division pursuant to paragraph (a) of this subsection (3) shall not be construed to limit or otherwise affect the powers of any transit operator or other local governmental entity or to usurp or duplicate the existing regulatory authority over railroads of the federal railroad administration, the federal surface transportation board, or the public utilities commission.