H. Rept. 108-452 - 108th Congress (2003-2004)
March 29, 2004, As Reported by the Transportation and Infrastructure Committee

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House Report 108-452 - TRANSPORTATION EQUITY ACT: A LEGACY FOR USERS




[House Report 108-452]
[From the U.S. Government Printing Office]





108th Congress 2d SessioHOUSE OF REPRESENTATIVES    Rept. 108-452
                                                        Part 1
_______________________________________________________________________



                       TRANSPORTATION EQUITY ACT:
                           A LEGACY FOR USERS

                               ----------                              

                              R E P O R T

                                 of the

             COMMITTEE ON TRANSPORTATION AND INFRASTRUCTURE

                                   on

                               H.R. 3550

<GRAPHIC(S) NOT AVAILABLE IN TIFF FORMAT>


                 March 29, 2004.--Ordered to be printed
             TRANSPORTATION EQUITY ACT: A LEGACY FOR USERS
108th Congress                                            Rept. 108-452
                        HOUSE OF REPRESENTATIVES
 2d Session                                                      Part 1

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             TRANSPORTATION EQUITY ACT: A LEGACY FOR USERS

                                _______
                                

                 March 29, 2004.--Ordered to be printed

                                _______
                                

     Mr. Young of Alaska, from the Committee on Transportation and 
                Infrastructure, submitted the following

                              R E P O R T

                        [To accompany H.R. 3550]

    The Committee on Transportation and Infrastructure, to whom 
was referred the bill (H.R. 3550) to authorize funds for 
Federal-aid highways, highway safety programs, and transit 
programs, and for other purposes, having considered the same, 
report favorably thereon with an amendment and recommend that 
the bill as amended do pass.
    The amendment is as follows:
    The amendment strikes all after the enacting clause of the 
bill and inserts a new text which appears in italic type in the 
reported bill.

                       Purpose of the Legislation

    The purpose of this bill is to authorize funds for Federal-
aid highways, highway safety, truck safety, public 
transportation, transportation research, transportation 
planning and project delivery, hazardous materials 
transportation, and other surface transportation programs 
carried out by the United States Department of Transportation, 
to be financed primarily through the Federal Highway Trust 
Fund.

                Background and Need for the Legislation

    Enactment of H.R. 3550, the Transportation Equity Act: a 
Legacy for Users (TEA LU), is the Committee's highest priority 
this year. This legislation will set the course for highway, 
highway safety, truck safety, and public transportation 
programs for the remainder of this decade. It must also ensure 
the integrity of the Highway Trust Fund, and the ability of the 
Trust Fund to meet our nation's surface transportation 
infrastructure needs. These needs are significant and they must 
be met.
    Increased investment in transportation infrastructure has 
far-reaching impacts on the quality of life in our communities, 
our nation's economy, and our competitiveness in the world 
marketplace. Every American and every business will benefit 
from such investment by experiencing shortened travel times, 
increased productivity, and improved safety.

Transportation Investment Leads to Economic Growth

    Throughout our nation's history, economic growth, 
prosperity, and opportunity have followed investments in the 
nation's infrastructure. From the ``internal improvements'' of 
the early 1800's--canals, locks, and roads--to the Interstate 
Highway System of today, infrastructure investment has been our 
foundation for economic growth. For example, between 1980 and 
1991, almost one-fifth of the increase in productivity in the 
U.S. economy was attributable to investment in highways.
    Our nation's highways, transit and rail systems, pipelines, 
airports, harbors, and waterways not only provide the backbone 
of our economy by moving people and goods, they also employ 
millions of workers and generate a significant share of total 
economic output. Transportation-related goods and services 
generate 10 percent of our total Gross Domestic Product.
    In addition to facilitating economic growth, our 
transportation system has a direct and significant impact on 
the daily lives of nearly all Americans. The average household 
spends 19 percent of its income on transportation, more than on 
any other expense except housing, and the average person 
travels 40 miles each day.
    To the average American, higher Federal investment in 
surface transportation infrastructure will mean:
          
 Shorter commutes that save time, fuel, and 
        reduce pollution.
          
 Better access to work, school, health care, 
        and recreation.
          
 Lives saved--many of the more than 42,000 
        highway fatalities each year could be prevented by 
        building better roads and improving the safety features 
        of existing roads.
          
 Safer systems to accommodate the transport 
        of hazardous materials, estimated at more than 1.2 
        million shipments per day and an annual movement of 4 
        billion tons.
    Despite the importance of transportation to both our 
economy and the quality of life in our communities, many of our 
nation's transportation infrastructure needs are going unmet. 
This has resulted in, among other things, an alarming increase 
in congestion.

Congestion Crisis

    Congestion is a major national problem, and is increasing. 
In 1999, 167 major highway bottlenecks located in 30 states 
plus the District of Columbia were identified. Using the same 
methodology, the number of major bottlenecks has now grown to a 
total of 233. According to the Texas Transportation Institute's 
2003 Urban Mobility Study, which studies congestion in the 
nation's 75 largest urban areas, traffic congestion levels have 
increased in every area since 1982. Congestion now extends to 
more time of the day, more roads, affects more trips, and 
creates more extra travel time than in the past.
    In fact, the extra time needed for rush hour travel has 
tripled over the last two decades. The national average Travel 
Time Index for 2001 was 1.39 (meaning a rush hour trip took 39 
percent longer than a non-rush hour trip). The national average 
in 1982 was only 1.13. This problem is not restricted to the 
largest cities. In small urban areas (less than 50,000 in 
population), this index has nearly quadrupled over these same 
years, indicating that even smaller areas are not able to keep 
pace with rising demand.
    The cost of congestion is continuing to climb. Traffic 
congestion cost motorists in the nation's 75 largest urban 
areas a staggering $69.5 billion in 2001 in terms of wasted 
time and fuel, $4.5 billion more than in 2000. This $69.5 
billion total cost equates to an average annual cost per urban 
resident--adults and children--of about $520.
    Congestion negatively impacts our environment by increasing 
emissions and wasting fuel. Vehicles in stop-and-go traffic 
emit more pollutants--particularly carbon monoxide and volatile 
organic compounds--than they do when operating without frequent 
braking and acceleration. In addition, 5.7 billion gallons of 
fuel were wasted in 2001 due to traffic congestion in these 
cities alone. This amount of fuel would fill 570,000 gasoline 
tank trucks that would stretch from New York to Las Vegas and 
back again.
    Perhaps most importantly, reducing highway congestion would 
save lives. If modest improvements were made to improve the 
traffic flow at the 233 severe bottlenecks identified in the 
highway organization study discussed above, the number and 
severity of vehicle crashes would be lessened. Over the 20-year 
life of the projects, such improvements would prevent more than 
449,500 crashes, including some 1,750 fatalities and 220,500 
injuries.

The Highway Trust Fund

    Congress has established, over time, a series of trust 
funds to collect user fees and then invest those funds on 
capital improvements. The Highway Trust Fund was established in 
the 1956 Highway Revenue Act to specifically link taxes on 
motor fuels to funding for highways. The Revenue Act increased 
some of the existing user fees, established new ones, and 
provided that most of the revenues from these taxes would be 
credited to the Highway Trust Fund. In the 1982 Surface 
Transportation Assistance Act, a separate Mass Transit Account 
was established in the Highway Trust Fund to receive part of 
the motor fuel user fee receipts. Subsequent increases in the 
user fee brought the Federal gas tax to 18.4 cents. In 1997, 
the Taxpayer Relief Act redirected a 4.3-cent diversion of user 
fee payments from the general fund to the Highway Trust Fund. 
Currently, all Federal motor fuel user fee receipts are 
deposited to the Highway Trust Fund, with 15.44 cents credited 
to the Highway Account and 2.86 cents credited to the Mass 
Transit Account. One of this Committee's highest priorities is 
to ensure that the user fees deposited into these trust funds 
are in fact used for their intended purposes--to rebuild our 
nation's highway and transit infrastructure.
    The Highway Trust Fund is: (1) wholly self-financed by the 
users; (2) a dedicated revenue source; (3) self-supporting, 
operating on a pay-as-you-go basis; and (4) deficit proof. The 
Trust Fund represents a contract between the government and the 
user that specifies that certain user fees will be levied on 
the users of highways and, in return, the government pledges to 
use the receipts to build transportation infrastructure for the 
taxpayer's use.
    A major accomplishment of the 1998 Transportation 
Efficiency Act for the 21st Century (TEA 21) was reestablishing 
trust with the taxpayer by creating a budgetary mechanism to 
ensure that the user fees deposited in the Highway Trust Fund 
become available to be spent for their intended purpose. 
Maintaining these budgetary firewalls and spending guarantees 
are a top priority for the Committee.

                      Section-by-Section Analysis


Sec. 1. Short title: Table of contents

    Subsection (a) provides that the short title is the 
Transportation Equity Act: A Legacy for Users.
    Subsection (b) lists the table of contents.

                     TITLE I--FEDERAL-AID HIGHWAYS


                 Subtitle A--Authorizations of Programs


Sec. 1101. Authorizations of appropriations

    Subsection (a) authorizes funds out of the Highway Trust 
Fund (other than the Mass Transit Account) for the following 
highway programs: Interstate Maintenance Program, National 
Highway System, Bridge Program, Highway Safety Improvements 
Program, Surface Transportation Program, Congestion Mitigation 
and Air Quality Improvement Program, Appalachian Development 
Highway System Program, Recreational Trails Program, Federal 
Lands Highways Program, National Corridor Infrastructure 
Improvement Program, Coordinated Border Infrastructure Program, 
Projects of National and Regional Significance Program, 
Construction of Ferry Boats and Ferry Terminal Facilities, 
National Scenic Byways Program, Congestion Pricing Pilot 
Program, Deployment of 511 Traveler Information Program, High 
Priority Projects Program, Freight Intermodal Connector 
Program, High Risk Rural Road Safety Improvement Program, 
Highway Use Tax Evasion Program, Pedestrian and Cyclist Equity, 
Dedicated Truck Lanes, Highways for LIFE Program, and 
Commonwealth of Puerto Rico Program.
    Subsection (b) continues the disadvantaged business 
enterprise (DBE) program from TEA 21.

Sec. 1102. Obligation ceiling

    This section provides the obligation limitation for the 
federal-aid highway and highway safety construction programs. 
Subsection (b) addresses the exemptions to the obligation 
limitation. Paragraphs 1-8 in this subsection are identical to 
TEA 21. Paragraph (9) is added to address 3-year obligation 
authority (OA) made available under TEA 21 for research 
programs and ``no-year'' OA made available for certain programs 
and projects under TEA 21 or in subsequent appropriations acts. 
Subsections (c),(d),(e),(f),(g),(h), and (i) address how the 
obligation authority is distributed, the redistribution of 
unused obligation authority, and the limitation on obligations 
for administrative expenses and are virtually identical to TEA 
21.

Sec. 1103. Apportionments

    This section makes changes to the process by which 
apportionments are made pursuant to Section 104 of Title 23. 
Subsection (a) of this section amends the way administrative 
expenses for FHWA and FMCSA are provided. These expenses were 
formerly funded as a takedown and are now a specific authorized 
amount.
    Subsection (b) of this section changes the set-aside amount 
for the Alaska Highway and the set-asides for the U.S. 
Territories under the National Highway System program 
apportionment formula.
    Subsection (c) of this section makes a conforming amendment 
to the metropolitan planning set-aside formula to reflect the 
fact that administrative expenses are no longer funded as a 
takedown.
    Subsection (d) of this section updates the reference for 
the Puerto Rico Highway program, replacing the TEA 21 reference 
with a TEA LU reference.

Sec. 1104. Minimum guarantee

    This updates the years referred to in Section 105 of Title 
23 to reflect the duration of this bill and eliminates high 
priority projects from the minimum guarantee calculation and 
includes the border infrastructure program, the freight 
intermodal connectors program, the safe routes to school 
program, the highway safety improvement program, and the high 
risk rural road safety improvement program in the minimum 
guarantee calculation.
    Subsection (b) increases the amount of minimum guarantee 
funding that is flexible to be used by states as if it were 
surface transportation program funding.

Sec. 1105. Project approval and oversight

    This section amends the Financial Plan portion of section 
106 of title 23 requiring states with a project that costs $500 
million or more to submit an annual financial plan.

Sec. 1106. Temporary traffic control devices

    This section amends Section 109(e) of Title 23 and Section 
112 of Title 23 to require that contracts for federally funded 
highway construction projects include costs for appropriate 
safety measures. The amendment to Section 109 requires that 
temporary traffic control devices be installed and maintained 
during construction and maintenance projects in order to 
provide protection for construction workers. The amendment to 
Section 112 requires the Secretary to issue regulations 
establishing the conditions for and the appropriate use of 
federal funds for uniformed law enforcement officers, positive 
protective measures between traffic and workers, and 
installation of temporary traffic control devices during 
construction and maintenance projects.

Sec. 1107. Revenue aligned budget authority

    This section conveys the Committee's intent to continue the 
concept of revenue aligned budget authority, but in a way that 
ensures greater stability in program funding level adjustments.

Sec. 1108. Emergency relief

    This section increases the authorized amount for the 
Emergency Relief Program in Section 125 of Title 23 from $100 
million to $120million beginning in FY 2005. This section also 
authorizes additional amounts for this program above the $120 million 
per year to be derived from the General Fund. It is the Committee's 
intent that if there is the need for additional funds over and above 
the annually authorized level of $120 million that those funds be 
appropriated from the General Fund.

Sec. 1109. Surface Transportation Program

    This section continues the requirement in Section 133(f)(1) 
of Title 23 that States suballocate a portion of their Surface 
Transportation Program funds to urbanized areas with over 
200,000 individuals.

Sec. 1110. Highway use tax evasion projects

    This section continues the existing program to combat 
highway use tax evasion and makes changes designed to reduce 
tax evasion and increase receipts into the Highway Trust Fund.
    The Highway Use Tax Evasion program supports State and 
Federal efforts to enhance motor fuel tax enforcement. To make 
the program more effective, this provision would amend section 
143 of title 23 to: (1) dedicate funding for intergovernmental 
enforcement efforts; (2) allow projects for identification of 
tax evasion in the area of foreign imported fuel; (3) assist 
States and Indian Tribes in addressing issues related to the 
collection of State motor fuel taxes; and (4) provide for 
annual reporting on examinations, criminal investigations, and 
audits by the States and the Internal Revenue Service (IRS).

Sec. 1111. Appalachian Development Highway System

    This section directs the Secretary to apportion funds made 
available for the Appalachian Development Highway System (ADHS) 
among the states on the basis of the estimated cost to complete 
the system. It specifies that such funds are subject to title 
23 requirements and are available to construct ADHS highways 
and access roads. It also prohibits the use of toll revenues as 
non-federal match for the construction, improvement, and 
maintenance of highways, bridges, or tunnels.

Sec. 1112. Construction of ferry boats and ferry terminal facilities

    Subsections (a) and (b) of this section codify the existing 
Ferry Boat Discretionary Program authorized in Section 1064 of 
ISTEA. Subsection (c) requires the Secretary to establish a 
national ferry database. It is the Committee's intent that the 
information collected and maintained in this database will be 
used as part of the decision making process for funding 
allocations under this program.

Sec. 1113. Interstate Maintenance Discretionary

    This section eliminates the Interstate Maintenance 
Discretionary program in Section 118 of Title 23. The Committee 
does not intend to have any changes to this program affect any 
projects that have already been funded under this program.

Sec. 1114. Highway bridge

    Subsection (a) retains the principles for applications for 
and approval of Federal assistance for bridge replacement or 
rehabilitation allowed in current law. It also includes 
additional language to allow Federal participation in 
preventive maintenance on a bridge, as well as, installing 
scour countermeasures to a bridge.
    Subsection (b) continues the discretionary bridge program 
and subsection (c) changes the lower bound for the off-system 
set-aside from 15 percent to 20 percent.

Sec. 1115. Transportation and Community and System Preservation Program

    This section reauthorizes the program for fiscal years 2004 
through 2009. It prohibits funds made available for this 
program from being transferred to other programs, and 
establishes the federal cost share for projects carried out 
under this program in accordance with section 120(b) of title 
23.

Sec. 1116. Deployment of magnetic levitation transportation projects

    This section details the funding and eligibility 
requirements for constructing fixed guideway infrastructure, as 
well as, the related components necessary for the construction, 
but not including costs incurred for a new station. Eligible 
projects under this section must involve a segment or segments 
of high speed ground transportation corridor, result in an 
operating transportation facility that provides a revenue 
producing service and be approved by the Secretary. It is the 
Committee's intent for this program to be administered as a new 
program and not the continuation of any previously authorized 
program.

Sec. 1117. Recreational trails

    Sec. 1117 makes various improvements to the recreational 
trails program established in section 206 of title 23, U.S. 
Code.
    Subsection (a) amends 23 USC 104(h) to permit use of 
administrative funds for training and deletes reference to the 
National Recreational Trails Advisory Committee. Subsection (b) 
amends 23 USC 206(d)(2) regarding permissible uses of funds to 
include assessment of trail conditions and to clarify that new 
trails on Federal lands must be recommended in a statewide 
comprehensive outdoor recreation plan.
    Subsection (c) strikes 23 USC 206 (b)(3)(C), which permits 
States to waive requirements regarding distribution of funds 
for various types of projects.
    Subsection (d) amends 23 USC 206(f) to provide that the 
federal share for recreational trails projects shall be 
determined in accordance with section 120(b) of title 23 and 
allows recreational trails funds to be used toward the Federal 
share of certain other Federal programs.
    Subsection (e) amends 23 USC 206(h)(1) to provide that pre-
approval planning and environmental compliance costs can be 
credited toward the non-Federal share of a project.
    Subsection (f) directs the Secretary to encourage the 
States to use qualified youth conservation or service corps to 
complete trail projects.

Sec. 1118. Federal Lands Highways

    This section amends the current Federal Lands Highway 
provision in title 23 to clarify the authority that Indian 
Tribes have to conduct their own contracting and construction 
programs for federal-aid highways. The Transportation Equity 
Act for the 21st Century amended this section to make 
amendments that the Committee felt were clear on the breadth of 
this authority, but, the Committee believes the full intent of 
the TEA 21 amendments has not been fulfilled. The amendments 
are intended to clarify the intent of the Committee on this 
important point for Indian Tribes.

Sec. 1120. Pedestrian and cyclist equity

    This section establishes two new programs--a Safe Routes to 
School Program and a Nonmotorized Transportation Pilot Program.

Sec. 1121. National commissions

    This section establishes two commissions, one to study 
future revenue sources to support the Highway Trust Fund and 
another to study the future of the Interstate Highway System. 
Both commissions are established using the same criteria for 
the selection of the members. This section also amends section 
101 of title 23 to include a declaration of policy regarding 
the study of the Interstate Highway System.
    The Commission on Future Revenue Sources to Support the 
Highway Trust Fund will study alternative short-term sources of 
revenue for the Highway Trust Fund, as well as evaluating 
alternative long-term sources of revenue to support the Highway 
Trust Fund. When studying the long-term sources, the Commission 
is directed to consider the findings, conclusions, and 
recommendations of a recent study completed by the 
Transportation Research Board of the National Academy of 
Sciences on alternatives to the user fee to support highway 
financing.
    The Commission is directed to develop ways to generate 
revenues to accomplish the requirements of section 1124; 
oversee a comprehensive investigation of alternatives to 
replace the user fee as the principal source of revenue for the 
Highway Trust Fund; consult with the Secretaries of 
Transportation and Treasury to ensure that their views 
concerning essential revenue alternatives are understood; 
consider State transportation agencies views on alternative 
revenue sources for the Highway Trust Fund; and make specific 
recommendations regarding their findings and necessary actions 
to Congress.
    When considering alternative sources of revenue, the 
Commission shall address the advantages or disadvantages of 
alternative revenue sources and identify the most promising 
revenue sources to support long-term financing requirements. 
The Commission shall also establish a time frame for which the 
necessary actions must be taken and a broad transition strategy 
to move from the current user fee base to new funding 
mechanisms, including the time frame for the transition 
strategy.
    Not later than September 30, 2005, the Commission shall 
transmit to Congress a report on revenues to support actions 
necessary to meet the requirements of section 1124. The 
Commission has until September 30, 2006 to transmit to Congress 
a report on the alternative long-term sources of revenue for 
the Highway Trust Fund.
    The Commission on the Future of the Interstate Highway 
System will study the current condition and future of the 
Dwight D. Eisenhower National System of Interstate and Defense 
Highways (the ``Interstate System''). The study will include a 
conceptual plan with alternative approaches for the future of 
the Interstate System and will assure that the Interstate 
System will continue to serve its National needs.
    The Commission is directed to consider the views of State 
transportation agencies and make specific recommendations 
regarding design standards, Federal policies, and legislative 
changes that must be made to assure that national interests in 
meeting future needs are addressed.
    When conducting the study, the Commission is specifically 
directed to address all issues that could impact the Interstate 
system including, demographics; usage; natural disasters; 
design standards; system-wide needs; potential expansion, 
upgrades, or other changes; community values; environmental 
issues; and system performance.
    The Commission has until September 30, 2006 to transmit to 
Congress a report on the results of the study.

Sec. 1122. Adjustments for the Surface Transportation Extension Act of 
        2003

    This section is reserved for instructions on how to 
reconcile adjustments made in the Surface Transportation 
Extension Act of 2003 and the Surface Transportation Extension 
Act of 2004 with this Act.

Sec. 1123. Roadway safety

    Subsection (a) directs the Secretary to enter into an 
agreement with an organization to develop a public service 
campaign to educate transportation officials, public safety 
officials, and motorists regarding the extent to which road 
hazards and design features are a factor in motor vehicle 
crashes.
    Subsection (b) directs the Secretary to make grants to an 
organization to operate a national bicycle and pedestrian 
clearinghouse, to disseminate techniques and strategies for 
improving bicycle and pedestrian safety, and to develop 
information and educational programs related to pedestrian 
activities and cycling.

Sec. 1124 Equity requirement

    This section establishes a requirement that a law be 
enacted prior to FY 2006 that increases the minimum guarantee 
rate of return to 95 percent by FY 2009. Subsection (a) states 
that a law must be enacted that increases the guaranteed rate 
of return to 92 percent in fiscal year 2006, 93 percent in 
fiscal year 2007, 94 percent in fiscal year 2008, and 95 
percent in fiscal year 2009. The law that increases the rate of 
return must also ensure that all states receive an increase in 
formula funds from year to year. The increase can either be 
derived from the minimum guaranteed rate of return or from the 
states prior year apportioned highway funds adjusted for 
inflation using the consumer price index.
    If the law referenced above is not enacted by September 30, 
2005 no funds may be apportioned for any of the following 
programs: the National Highway System program, high priority 
program, the Interstate maintenance program, the surface 
transportation program, the Metropolitan Planning program, the 
highway bridge replacement and rehabilitation program, the 
congestion mitigation and air quality improvement program, the 
recreation trails program, the Appalachian development highway 
system, the freight intermodal connectors program, the 
coordinated border infrastructure program, the high risk rural 
road safety improvement program, the safe routes to schools 
program, and the minimum guarantee program.

                     Subtitle B--Congestion Relief


Sec. 1201. motor vehicle congestion relief

    This section adds a new Section 139 to title 23 of the U.S. 
Code. Section 1201 would require each State with an urbanized 
area population over 200,000 to obligate a portion of its 
formula funds to target congestion in those areas of the State. 
The amount to be obligated in each State is determined 
multiplying the total amount apportioned to each State under 
Sections 104(b)(1), (2), (3) and (4) of title 23 by 10 percent 
and by the percentage of the State population residing in 
urbanized areas over 200,000.
    Under-one activities.--40 percent of the funds will be 
obligated for congestion relief activities that will be 
complete within one year after the date of commencement of 
onsite improvements and has a project cost of less than $1 
million.
    Under-three activities.--35 percent of the funds will be 
obligated for congestion relief activities that will be 
complete within three years after the date of commencement of 
onsite improvements.
    Twenty-five percent of the funds will be obligated by a 
State for one or more of the following: under-one, under-three, 
eligible capital costs under Chapter 53 of Title 49, or demand 
relief projects and activities.
    States are not required to obligate proportional or equal 
amounts of their Section 104(b)(1), (2), (3) and (4) funds. 
Section 1201 does not change the eligibility of projects under 
Section 104. States may transfer amounts for under-one 
activities to under-three if the State certifies to the 
Secretary it has no under-one congestion relief activities.
    Congestion relief activities include additional capacity, 
improvements to interchanges, construction of parallel roads, 
construction of truck only lanes, operational improvements, and 
through programs that use existing capacity more efficiently 
such as reversible lanes or lane management strategies.

Sec. 1202. Transportation Systems Management and Operations

    Section 1202 broadens the definition of Operational Costs 
for Traffic Monitoring, Management and Control in Section 
101(a)(17) of title 23 to include transportation systems 
management and operations. It also broadens the definition of 
Operational Improvements in Section 101(a)(18)(A)(i) to include 
transportation systems management and operations and equipment 
and programs for transportation response to natural disasters.
    Section 1202 adds a new definition (39) Transportation 
Systems Management and Operations to Section 101(a) of Title 
23.
    Section 1202 adds a new Section 166 to title 23.

Sec. 1203. Real-Time System Management Information Program

    The Secretary shall establish a program that provides to 
all States the capability to monitor, in real-time, the traffic 
and travel conditions of the nation's major highways and to 
share the information with other States, local governments and 
the traveling public.
    The Secretary is required to establish a steering committee 
to provide guidance regarding the content and uniformity of 
data exchange formats to ensure that data can be shared.
    With approval from the Secretary, States may obligate 
formula funds for activities related to the planning and 
deployment of this program.

Sec. 1204. Expedited National Intelligent Transportation Systems 
        Deployment Program

    Section 1204 requires the Secretary to establish a 
comprehensive program to accelerate the integration, 
interoperability and deployment of intelligent transportation 
systems in order to improve the performance of the surface 
transportation system.
    The Secretary may make grants for projects that improve 
efficiency, promote safety, reduce emissions of air pollutants, 
improve traveler information, and build on existing intelligent 
transportation system projects and other projects.

Sec. 1205. Intelligent Transportation Systems (ITS) deployment

    Section 1205 adds a new section 150 to title 23 that 
requires States to obligate a portion of their formula funds 
for the deployment of ITS systems in the State. The amount that 
each State shall spend is determined by multiplying 
$500,000,000 by the ratio that a state's total funds 
apportioned under section 104(b)(1), (b)(2), (b)(3) and (b)(4) 
of title 23 bears to the total amount apportioned to all States 
for such fiscal year.
    Funds must be obligated for ITS projects such as 
improvements to the performance of a system like incident 
management, projects that provide for networks to link 
metropolitan and rural surface transportation systems, 
improvements to highway safety, operation and management, 
interagency support between transportation agencies, police, 
medical services and others, and planning.
    States are not required to obligate proportional or equal 
amounts of their Section 104(b)(1), (2), (3) and (4) funds. 
Section 1201 does not change the eligibility of projects under 
Section 104.

Sec. 1206. Environmental review of activities that support deployment 
        of intelligent transportation systems (ITS)

    The Secretary shall conduct a rulemaking within one year to 
establish categorical exclusions, to the extent appropriate, 
for activities that support the deployment of ITS from the 
requirement that an environmental assessment or an 
environmental impact statement be prepared under NEPA, in 
compliance with the standards for categorical exclusions 
established by NEPA.
    The Secretary shall also develop a nationwide programmatic 
agreement governing the review of activities that support ITS 
deployment in accordance with the National Historic 
Preservation Act. The agreement will be developed in 
consultation with the National Conference of State Historic 
Preservation Officers and the Advisory Council on Historic 
Preservation.

Sec. 1207. Assumption of responsibility for certain programs and 
        projects

    This section provides the Secretary the authority to 
conduct a pilotprogram for up to five states to assume the 
responsibilities of the Secretary for projects funded under Sec. 
104(h), transportation enhancement activities under Section 133, as 
defined in Sec. 101(a)(35), and projects defined in Section 101(a)(38) 
of title 23, and Section 5607 of TEA LU.

Sec. 1208. HOV facilities

    Subsection (a) of this section adds a new section 167 to 
title 23 that authorizes the conversion of HOV lanes to high 
occupancy toll (HOT) lanes. Subsection (a) of the proposed 
section 167 in title 23 allows a state agency to establish the 
occupancy requirements of vehicles operating on an HOV facility 
except that no fewer than 2 occupants per vehicle may be 
required for use of an HOV facility.
    Subsection (b) of proposed section 167 states the 
exemptions for the HOV occupancy requirements including 
motorcycles, bicycles, public transportation vehicles, and High 
Occupancy Toll (HOT) vehicles and low emission and energy-
efficient vehicles.
    For HOT lanes the state agency must charge operators of 
vehicles with less than the established occupancy requirements 
a fee. The agency must also establish a program that addresses 
how motorists can enroll and participate in the toll program, 
automatically collect tolls, and establish policies and 
procedures to manage demand by varying the toll, enforce 
violations, and permit low-income drivers to pay a reduced 
toll.
    For inherently low emission vehicles, a state may allow the 
use of HOV lanes even if the occupancy requirements are not met 
so long as the vehicles are certified pursuant to section 
88.311-93 of title 40, Code of Federal Regulations. The state 
agency may also allow other low emission and energy efficient 
vehicles to pay a toll to use HOV lanes though the occupancy 
requirements are not met if those vehicles meet the 
certification requirements that the EPA is directed to develop 
in subsection (e). The toll amount charged to low emission 
vehicles not certified pursuant to the CFR and other energy 
efficient vehicles may be charged a toll less than other HOT 
lane vehicles.
    Subsection (c) sets requirements applicable to tolls on HOV 
lanes. This subsection verifies that HOV facilities on the 
Interstate can be tolled pursuant to the provisions of this 
section. The subsection also states that the state agency must 
first use the toll revenue to repay debt and provide a 
reasonable rate of return on investments and then must give 
priority consideration to projects for developing alternatives 
to single occupancy vehicle travel and projects for improving 
highway safety, including projects that improve safety by 
providing increased capacity.
    Subsection (d) addresses HOV facility management, 
operation, monitoring and enforcement. If a state agency allows 
single occupancy HOV vehicles to use the facility it must 
ensure that vehicles maintain a minimum operating speed 90 
percent of the time over a 6-month period during weekday peak 
travel periods.

Sec. 1209. Congestion Pricing Pilot Program

    This section amends the congestion pricing pilot program 
established under the Intermodal Surface Transportation Equity 
Act of 1991 to expand the authority to conduct such projects to 
all States, although the number of congestion pricing pilot 
projects is limited to 25. The limit of 25 projects includes 
all projects previously approved under this section (prior to 
the enactment of TEA LU) that collect tolls. This section also 
requires that any congestion pricing toll programs include a 
program for low-income drivers to pay a reduced toll. This 
section also sets aside $3 million a year for congestion 
pricing programs that do not include tolls.

                  Subtitle C--Mobility and Efficiency


Sec. 1301. National Corridor Infrastructure Improvement Program

    This section directs the Secretary to establish and 
implement a program to allocate funding to States for highway 
construction projects in corridors of national significance. A 
State must submit applications to the Secretary for funds.
    The Secretary shall give priority to corridor projects that 
are part of, or will be designated as part of, the Dwight D. 
Eisenhower National System of Interstate and Defense highways 
and to any project that will be complete in 5 years. The 
Secretary shall consider such factors as mobility, economic 
growth, linking two existing segments of Interstate, commercial 
vehicle traffic due to NAFTA, reduction of travel time, value 
of the cargo traveling through the corridor, economic costs, 
and the financing associated with the project.

Sec. 1302. Coordinated Border Infrastructure Program

    This section establishes a new formula program for border 
infrastructure projects. The Secretary apportions funds to the 
States based upon several factors: incoming commercial trucks 
passing through land border ports of entry; the number of 
incoming personal motor vehicles and buses passing through the 
land border ports of entry; the weight of incoming cargo by 
commercial trucks passing through such ports of entry; and the 
number of land border ports of entry.
    Definitions--``Border region'' means any portion of a 
border State within 20 miles in an international land border 
with Canada or Mexico. ``Border State'' means any State that 
has an international land border with Canada or Mexico. 
``Commercial Truck'' means a commercial motor vehicle as 
defined in section 31301(4) (other than subparagraph (B)) of 
title 49, U.S.C.

Sec. 1303. Freight intermodal connectors

    This section establishes a new formula program for freight 
intermodal connectors. The Secretary shall apportion funds to 
States based upon the number of freight intermodal connectors; 
a State's annual contribution to the Highway Trust Fund; total 
lane miles of principle arterial routes; total vehicle miles 
traveled on lanes on principle arterial routes; total diesel 
fuel used on highways; total lane miles on principle arterial 
highways divided by population.
    The purpose of the program is to improve the movement of 
freight and mitigate the impact of congestion. Eligible 
projects include construction of and improvements to publicly 
owned freight intermodal connectors and operational 
improvements. States shall give priority to connectors to the 
National Highway System.
    States that do not have any freight intermodal connectors 
or whose connectors are in good condition may use the 
apportioned funds for projects eligible under the National 
Highway System (Section 103(b)(6) of title 23).

Sec. 1304. Projects of national and regional significance

    This section establishes a program to finance critical 
high-cost transportationinfrastructure that address critical 
national economic and transportation needs. These projects of national 
and regional significance will improve the safe, secure, and efficient 
movement of people and goods throughout the United States and improve 
the health and welfare of the national economy by increasing economic 
productivity, facilitating international trade, relieving 
transportation congestion, and enhancing transportation safety.
    The program will fund the construction of high-cost surface 
transportation projects, including freight railroad projects 
eligible under Title 23. To be eligible for assistance under 
this program, eligible project costs must equal or exceed the 
lesser of $500 million or 75 percent of the State's highway 
apportionment for the prior fiscal year. The Secretary of 
Transportation will conduct a national solicitation for 
applications for projects of national and regional significance 
and award grants on a competitive basis. The program creates a 
rigorous review process for project applicants similar to the 
Federal Transit Administration's review process for transit new 
start projects.

Sec. 1305. Dedicated truck lanes

    This section directs the Secretary to establish a pilot 
program to allocate funds to States for the construction of 
projects that separate commercial truck traffic from other 
motor vehicle traffic. Priority will be given to projects that 
provide additional capacity. The Secretary will also consider 
the following factors: improvement to the safe and efficient 
movement of freight; the extent to which trucks are separated 
from other traffic; the connectivity of the project to the NHS 
or the Interstate; if the project removes trucks from surface 
streets; reductions in travel time; and the extent to which 
federal funds are leveraged.

Sec. 1306. Truck parking facilities

    This section establishes a pilot program in cooperation 
with appropriate State, regional, and local governments to 
address the shortage of long-term parking for commercial motor 
vehicles on the National Highway System.
    This section allows State, regional, and local governments 
to address the safety problem of fatigued drivers through a 
pilot program designed to allow for the creation of new rest 
stops, as stated in section 120(c) of title 23, addition of new 
commercial motor vehicle parking facilities adjacent to 
commercial truck stops or travel plazas, or opening existing 
weigh stations or park-and-ride facilities to commercial motor 
vehicle parking. Pilot programs may also include using 
intelligent transportation systems, or other means, to promote 
the availability of public or privately available parking 
facilities.
    The Committee developed this pilot project after working 
closely with the Administration, industry, State safety and 
construction agencies, and truck plaza and rest stop operators. 
It is the Committee's intent that the projects funded from this 
pilot program only address adding parking facilities in 
corridors with an identified truck parking shortage. This pilot 
program is not intended to compete with local businesses or 
commercial enterprises.
    Not later than five years after the enactment of this bill, 
the Secretary shall transmit a report on the results of the 
pilot programs developed under this section.

Subtitle D--Highway Safety

Sec. 1401. Highway Safety Improvement Program

    This section amends title 23 by eliminating the requirement 
that States set aside 10 percent of their section 133, Surface 
Transportation Program funds to carry out section 130 of Title 
23, the Railway-Highway Crossing program and section 152, the 
Hazard Elimination program. This section also establishes a 
separate funding authorization for a combined section 130 and 
152 called Highway Safety Improvement Program. However, the 
authorizing language for the two programs still resides in 
Section 130 and Section 152.
    In subsection (a) the definition of Safety Improvement 
Project as used in Section 101(a)(30) of title 23 is expanded 
to include the installation of fluorescent, yellow-green signs 
at pedestrian or bicycle crossings or school zones.
    Subsection (b) amends title 23 to move the set-aside for 
Operation Lifesaver from the apportionment under the Surface 
Transportation Program to the apportionment for Section 130. It 
also increases the amount for this program from $500,000 to 
$600,000.
    Subsection (c) increases the amount of the set-aside for 
hazard elimination in high-speed rail corridors designated 
under 104(d)(2) of title 23 and for the Minneapolis/St. Paul--
Chicago segment of the Midwest High-Speed Rail Corridor. The 
subsection also adds the Northern New England High Speed Rail 
Corridor and expands the South Central Corridor in 104(d)(2) of 
title 23.
    Subsection (d) adds a special rule to allow States to use 
funds for protective devices on other section 130 activities if 
the State demonstrates to the Secretary that it has met the 
needs in such State for protective devices. The apportionment 
formula for rail highway crossings is amended to distribute 
funds 50 percent based on the STP formula and 50 percent based 
on the number of rail highway crossings. Each state shall 
receive at least a minimum of one half of one percent. The 
federal share will be 90 percent. States will be required to 
report to Congress every two years and can use up to 2 percent 
of their funds for analysis and data collection.
    Subsection (e) makes technical changes.
    Subsection (f) amends section 152(a)(1) of title 23 to 
include in the state survey dangers to the disabled from 
hazardous road conditions. It also includes a requirement that 
States identify the roadway safety improvements for hazardous 
locations. It also adds three new activities for which the 
funds can be used. The Secretary will use the STP apportionment 
formula to apportion funds to the States for the Hazard 
Elimination program. Each State shall receive at least one 
percent from funds apportioned to the States. The federal share 
will be 90 percent. The Secretary is required to report to 
Congress every two years the results of this program, including 
projects completed, the effectiveness of the projects, adequacy 
of funding and recommendation of improvements to the program.
    Subsection (g) makes the amendments in subsection (d), (e) 
and (f) effective September 30, 2004 since there is no funding 
for the new Highway Safety Improvement Program in FY 2004.

Sec. 1402. Worker injury prevention and free flow of vehicular traffic

    The Secretary shall, within one year, issue regulations 
requiring workers whose duties place them in close proximity to 
a Federal-aid highway to wear high visibility garments.

Sec. 1403. High risk rural road safety improvement program

    The Secretary shall establish and implement a program to 
improve safety on rural major or minor collector or rural local 
roads. Funds will be apportioned to States based on public road 
lane mileage, population in other than urbanized areas, and 
vehicle miles traveled on public roads. States will allocate 
apportioned funds to projects that have the highest benefits to 
highway safety. Funds can only be used for construction and 
operational improvements on high-risk rural roads.

Sec. 1404. Transfers of apportionments to safety programs

    Subsection (a) caps the amount of apportioned funds that 
are required to be transferred from sections 104(b)(1), (2), 
and (3) of title 23 to section 402 of title 23 in an amount 
equivalent to 3 percent of what was apportioned to states in 
fiscal year 2003. This transfer is required when States fail to 
comply with section 153(a)(2) of title 23 (seatbelt use in the 
front seat). It also caps the amount of obligation authority 
the Secretary is required to transfer with the apportionment in 
the preceding sentence.
    Subsection (b) caps the amount of apportioned funds that 
are required to be transferred from sections 104(b)(1), (3), 
and (4) of title 23 to section 402 of title 23 in an amount 
equivalent to 3 percent of what was apportioned to states in 
fiscal year 2003. This transfer is required when States fail to 
comply with section 154(b) of title 23 (open container laws). 
It also caps the amount of obligation authority the secretary 
is required to transfer with the apportionment in the preceding 
sentence.
    Subsection (c) caps the amount of apportioned funds that 
are required to be transferred from sections 104(b)(1), (3), 
and (4) of title 23 to section 402 of title 23 in an amount 
equivalent to 3 percent of what was apportioned to states in 
fiscal year 2003. The funds are to be used to carry out section 
164(b)(1)(A) or (B). This transfer is required when States fail 
to enact or enforce a repeat intoxicated driver law. It also 
caps the amount of obligation authority the secretary is 
required to transfer with the apportionment in the preceding 
sentence.

Sec. 1405. Safety incentive grants for use of seat belts

    Subsection (a) authorizes, in 2004, $112,000,000 for grants 
to states that have met certain requirements with regards to 
seatbelts.

Sec. 1406. Safety incentives to prevent operation of motor vehicles by 
        intoxicated persons

    Subsection (a) codifies the penalty against states for not 
enacting and enforcing a 0.08 drunk driving law. This penalty 
was originally enacted in the 2001 DOT appropriations bill.
    Subsection (b) authorizes, in 2004, $110,000,000 for grants 
to states that have enacted 0.08 laws.
    Subsection (c) repeals the appropriations language that 
enacted the penalty in 2001.

Sec. 1407. Repeat offenders for driving while intoxicated

    This section amends Section 164(a)(5)(A) of title 23 by 
adding an alternative penalty that a person who is a repeat 
offender can receive for a violation: a forty-five day 
suspension of driving privileges followed by a reinstatement of 
limited driving privileges to get to work, school or alcohol 
treatment programs if an ignition interlock device is installed 
on each motor vehicle owned or operated, or both, by the 
individual.

           Subtitle E--Construction and Contract Efficiencies


Sec. 1501. Design-build

    Subsection (a) of this Section amends section 112 of title 
23 with the intent of clarifying and improving the design-build 
authority provided. During the rulemaking process for the 
design-build regulation required by section 1307 of TEA 21, 
which also amended 23 U.S.C. 112, FHWA received several 
comments regarding the restrictive nature of the ``qualified 
project'' definition with respect to the project cost 
threshold. Approximately 85% of the design-build projects that 
have been evaluated under the FHWA experimental contracting 
program (Special Experimental Project No. 14 (SEP-14)--
Innovative Contracting) are too small to meet the definition of 
``qualified project.'' Based on the Haw's experience with 
design-build projects under SEP-14, there is no need to limit 
design-build projects to those costing more than $5 million in 
the case of a project that involves installation of an 
intelligent transportation system and to those costing more 
than $50 million in the case of any other project.
    Subsection (b) similarly amends section 112 of title 23 
making clear the parameters of the authority for the use of 
project evaluation criteria. The section also makes clear that 
this amendment does not disturb any other authority that the 
Secretary has under current law or that is being carried out by 
the Secretary as of the date of enactment.

Sec. 1502. Warranty Highway Construction Project Pilot Program

    The Committee is aware that highway projects constructed of 
advanced materials, and often utilizing innovative techniques 
that also contain warranties of the constructed project's 
expected performance can, over the life of the project mean 
less cost to the state for maintenance, reconstruction and 
rehabilitation, than a similar project not utilizing advanced 
techniques and materials and not containing a warranty.
    This pilot program is meant to take the experience of 
states already utilizing warranty bid regimes and conduct a 
pilot within the federal-aid program. The Committee expects 
that the projects built under this authority will cost less 
over their life to the taxpayer than non-warranted projects.

Sec. 1503. Private investment study

    This section authorizes the national Academy of Sciences to 
conduct a comprehensive study of private investment in surface 
transportation infrastructure.

Sec. 1504. Highways for Life Pilot Program

    The Committee intends with this pilot to incentivize the 
use of innovative technologies and practices in the 
construction of highways and bridges. The Committee expects 
that safe, efficient highways and bridges can be built faster, 
and with longer performance, if innovative practices and 
technologies are better utilized. This pilot authorizes the 
Secretary to allocate funds for projects deemed to satisfy the 
requirements of the project. The project criteria is designed 
to identify projects which utilize material and technique 
innovationswhich will produce more quickly constructed, longer 
lasting, high-quality and cost-effective projects.

                          Subtitle F--Finance


Sec. 1601. Transportation Infrastructure Finance and Innovation Act

    This section makes programmatic changes to the TIFIA 
program.
    Subsection (a) makes technical changes to the definitions 
Section 181 of title 23.
    Subsection (b) amends the eligibility standards in Section 
182 of title 23 to simplify the provision regarding statewide 
and metropolitan planning requirements. This subsection also 
decreases the minimum eligible project costs to $50,000,000 and 
to $15,000,000 for ITS projects.
    Subsection (c) makes technical changes to the project 
selection section in Section 182 of title 23.
    Subsection (d) makes technical changes to Section 183 of 
Title 23. The change to section 183(a)(4) codifies a DOT 
regulation that requires the project's senior obligations to 
receive an investment-grade rating in order to execute a 
secured loan agreement. The change to section 183(b)(2) ensures 
that the amount of the TIFIA credit instrument may not exceed 
that of the senior project obligations. The elimination of 
section 183(c)(3) deletes the description of sources of 
repayment funds because the subject is already covered in 
section 183(b)(3).
    Subsection (e)(1) makes changes to section 184(b)(3) to 
ease the restrictions on funding draws on a line of credit in 
order to help a borrower avoid a payment default. The changes 
to section 184(b)(4) conform the interest rate setting 
mechanism for the line of credit with that for secured loans. 
The change to section 184(b)(5) has the same purpose as the 
changes to sections 183(b)(3) and 182(a)(4).
    Subsection (e)(2) makes changes to Section 184(c) to 
clarify language regarding the scheduling of principal and 
interest repayments. The elimination of section 184(c)(3) 
deletes the description of sources of repayment funds because 
the subject is already covered in section 184(b)(5)(A)(i).
    The changes to sections 185(a), 185(b), and 185(c) in 
subsection (f) clarify that the Secretary may establish fees to 
cover the cost of servicing TIFIA credit instruments. The 
change to section 185(d) clarifies that the program may retain 
outside counsel to assist in the underwriting and servicing of 
TIFIA credit instruments.
    Subsection (g) sets the funding levels for the TIFIA 
program, including administrative expenses and limitations on 
credit amounts.

Sec. 1602. State infrastructure banks

    Subsection (a) of this section codifies a state 
infrastructure bank (SIB) program in Section 189 of title 23.
    Subsection (a) of Section 189 provides definitions for the 
SIBS program. Subsection (b) permits the Secretary to enter 
into a cooperative agreement with a state for the establishment 
of a SIB. Subsection (c) allows 2 or more States to enter into 
a cooperative agreement with the Secretary to establish a 
multi-state SIB. Subsection (d) establishes funding 
requirements for SIBs, restricting the amount of federal 
funding that a state can deposit in their highway, transit, and 
rail SIB accounts. Subsection (e) establishes the forms of 
assistance that a SIB can offer. Subsection (f) describes the 
eligible projects that are allowed to be funded by the SIB.
    Subsection (g) establishes the requirements that a State 
must adhere to when establishing a SIB. Subsection (h) speaks 
to the applicability of Federal law in the SIBs program. 
Subsection (i) states that the United States is not obligated 
by any commitment made by a state SIB. Subsection (k) limits 
the amount of federal funds that can be used to administer the 
state SIB to 2 percent of the federal funds contributed to the 
SIB.
    Subsection (b) (c) (d) and (e) of Section 1602 establishes 
a new chapter 6 in title 23 for infrastructure finance.

Sec. 1603. Interstate System Reconstruction and Rehabilitation Toll 
        Pilot Program

    Establishes an interstate system reconstruction and 
rehabilitation pilot program similar to the one authorized in 
TEA 21. The new program is limited to 3 facilities and requires 
states to show that tolling is the most efficient and 
economical way to finance the project. The previous program 
required that states prove that tolling was the only way to 
finance the interstate reconstruction or rehabilitation 
project. The new program also requires that the state agency 
collect tolls electronically and that the agency include a 
program to permit low-income drivers to pay a reduced toll 
amount.

Sec. 1604. Interstate System Construction Toll Pilot Program

    Establishes a new pilot program for projects involving the 
construction of new interstate facilities. The program is 
limited to 3 facilities (multi-state corridor projects may be 
considered as one facility) and states must show that tolling 
is the most efficient and economical way to finance the 
project. The new program also requires that the state agency 
collect tolls electronically and that the agency include a 
program to permit low-income drivers to pay a reduced toll 
amount.
    It is the Committee's intent that this program be used only 
for the construction of new interstate facilities and that the 
pilot program authorized in Section 1603 be used only for 
rehabilitation and reconstruction of existing interstate 
facilities.

Sec. 1605. Use of excess funds

    This section allows states to audit projects funded with 
apportionments under sections 104 and 144 of title 23 to 
determine whether there are excess project funds. If the audit 
reveals that there are excess funds, the state may develop a 
plan for spending the apportionment for the design or 
construction of other similar eligible projects. The state must 
certify to the Secretary that an audit was conducted and has 
developed a plan Excess funds used to carry out a project under 
this section are subject to the requirements of this title that 
are applicable to the program for which the funds were 
originally apportioned.

                   Subtitle G--High Priority Projects


Sec. 1701. High Priority Projects Program

    Updates the current high priority projects program to 
reflect the funding and year-by-year allocations provided in 
TEA LU.

Sec. 1702. Project authorizations

    Lists the state, project description, and dollar amount for 
each high priority project.

                  Subtitle H--Miscellaneous Provisions


Sec. 1801. Budget justification

    This section requires the Department of Transportation and 
each agency therein to submit to the Committee on 
Transportation and Infrastructure a budget justification 
concurrently with the President's annual Budget submission.

Sec. 1802. Motorist information

    Repeals section 124 of title I of division F of the FY 2004 
appropriations bill.

Sec. 1803. Motorist information concerning full service restaurants

    Requires the Secretary to do a rulemaking to determine 
whether or not to give priority to full service restaurants on 
at least two of the panels for highway food service signs.

Sec. 1804. High priority corridors on the national highway system

    Adds corridors to the high priority corridor list in ISTEA.

Sec. 1805. Additions to Appalachian region

    Adds 12 counties to the jurisdiction of the Appalachian 
Regional Commission.

Sec. 1806. Transportation assets and needs of Delta region

    This section authorizes the Secretary of Transportation to 
contract with the Delta Regional Authority (DRA) to conduct a 
study on the Delta region's transportation assets and needs for 
all modes of transportation, including passenger and freight 
transportation. This section also directs the DRA to report on 
the results of the study and establish a regional strategic 
plan to implement the report's recommendations.

Sec. 1807. Toll facilities workplace safety study

    This section directs the Secretary to conduct a study to 
determine the safety of highway toll collection facilities for 
toll collectors who work in and around such facilities. It 
requires the Secretary to submit within 1 year a report on the 
results of the study and recommendations for improving 
workplace safety at toll facilities to the congressional 
committees of jurisdiction.

Sec. 1808. Pavement marking systems demonstration projects

    Directs the Secretary to conduct demonstration projects in 
Alaska and Tennessee to study the impacts of increasing the 
minimum width for pavement markings from 4 inches to 6 inches.

Sec. 1809. Work zone safety grants

    Directs the Secretary to establish a work zone safety grant 
program to provide training to prevent or reduce highway work 
zone injuries and fatalities.

Sec. 1810. Grant program to prohibit racial profiling

    This section establishes a new incentive grant program to 
encourage states to enact and to enforce laws that prohibit the 
use of racial profiling in the enforcement of traffic laws on 
Federal-aid highways

Sec. 1811. America's Byways Resource Center

    This section reauthorizes the America's Byways Resource 
Center. The Byways Resource Center provides technical support 
and conducts educational activities for the National Scenic 
Byways program. Technical support and educational activities 
shall provide local officials and organizations with proactive, 
technical, and on-site customized assistance, including 
training, communications (including a public awareness series), 
publications, conferences, on-site meetings, and other 
assistance considered appropriate to develop and sustain Scenic 
Byways and All-American Roads.

Sec 1812. Technical adjustments

Sec. 1813. Road user charge evaluation pilot project

    The issue of future financing of the Highway Trust Fund is 
a critical one that the Congress must begin to address. The 
Trust Fund is currently financed primarily through fuel excise 
taxes and certain truck taxes. When the Trust Fund was 
established in the 1950s, it was legitimate to have the gas tax 
serve as a surrogate for road usage and be the basis for the 
user-pays system of the federal highway program. But with the 
advent of hybrid cars, alternative fuels, the potential for 
fuel cell technology, increased fuel efficiency and other 
technological developments, the relationship between the gas 
tax and road usage is diminishing.
    On July 16, 2002, the Subcommittee on Highways, Transit and 
Pipelines held a hearing on this and related topics. Testimony 
was received from representatives of the Public Policy Center 
of the University of Iowa regarding research that was then in 
progress, though now completed, to develop a new approach for 
charging vehicles that travel on the public roads. A consortium 
of the Federal Highway Administration and 15 State Departments 
of Transportation funded the study. The purpose of the study 
was to evaluate how intelligent transportation system 
technology (GPS and on-board computers, smart cards and 
collection centers) can be used to assess mileage-based road 
user charges.
    This section provides funding and authorization for the 
Secretary to conduct a pilot project to test the technology and 
feasibility of the system. It is contemplated that various cars 
will be equipped with the technology in different regions of 
the country with a diverse set of drivers. An important element 
of the study is measuring the public acceptance of such a 
system and to ensure that privacy concerns of drivers are met.
    The finding of this study will provide useful information 
as the Congress strives to identify a funding source that is 
stable, accurate, fairer and more flexible than the current gas 
tax.

Sec. 1814. Sense of Congress

    This section expresses the sense of the Congress that, in 
honor of his service to the Commonwealth of Massachusetts and 
to the United States, and in recognition of his contributions 
toward the construction of the Central Artery Tunnel project in 
Boston, Massachusetts, the Central Artery Tunnel should be 
designated as the ``Thomas P. `Tip' O'Neill, Jr. Tunnel''.

Sec. 1815. Conforming amendment for transportation planning sections

    Section 1814 amends sections 134 and 135 of title 23, 
United States Code to indicate that metropolitan and statewide 
transportation planning programs funded under those sections 
shall be carried out according to the provisions the unified 
highway and transit planning chapter in chapter 52, title 49, 
United States Code. (See Title VI of TEA LU.)

                        TITLE II--HIGHWAY SAFETY


Sec. 2001. Authorizations of appropriations

    This section authorizes funds for the section 402 highway 
safety grant program; highway safety research and development 
under section 403; occupant protection incentive grants under 
section 405; alcohol-impaired driving countermeasures incentive 
grants under section 410; state traffic safety information 
improvements under section 412; the national driver register; 
and the high visibility enforcement program. The Secretary is 
provided the flexibility to transfer any amounts remaining 
available under the occupant protection incentive grant 
program, the alcohol-impaired driving countermeasures program, 
and the state traffic safety information system improvements 
program to ensure, to the maximum extent possible, that each 
state receives the maximum amount of incentive grants under 
these programs for which the state is eligible.

Sec. 2002. Occupant protection incentive grants

    This section extends the occupant protection incentive 
grant program through the six-year term of the legislation. In 
order to receive a grant, a state may have a seatbelt rate of 
85 percent or greater or a state may comply by implementing at 
least four of the six safety incentives under the program.

Sec. 2003. Alcohol-impaired driving countermeasures

    This section extends the alcohol-impaired driving 
countermeasures program over the six-year term of the 
legislation with modifications to the grant requirements. The 
criteria for eligibility under the Basic Grant A program is 
expanded to permit a State that has an alcohol-related fatality 
rate of 0.5 or less per 100 million vehicle miles traveled to 
receive a grant. The criteria for eligibility for a Basic Grant 
A is amended under the administrative license revocation 
requirement to permit a state to allow a first time offender 
who has had his or her license suspended to operate a motor 
vehicle after a 15-day suspension period, to and from 
employment, school, or an alcohol treatment program if an 
ignition interlock device is installed on each of the motor 
vehicles owned or operated, or both, by the individual. 
Similarly, a state may allow a repeat offender who has had his 
or her license suspended or revoked to operate a motor vehicle 
after a 45-day suspension or revocation period, to and from 
employment, school, or an alcohol treatment program if an 
ignition interlock device is installed on each of the motor 
vehicles owned or operated, or both, by the individual. Under 
the Basic Grant A criteria, three new eligibility requirements 
are added in lieu of the elimination of the young adult 
drinking awareness program. The three new requirements are an 
outreach program, a self-sustaining drunk driving prevention 
program, and programs for effective inpatient and outpatient 
alcohol rehabilitation based on mandatory assessment and 
appropriate treatment for repeat offenders. The criteria for 
the eligibility for a Basic Grant B is amended to permit a 
state to receive a grant if its alcohol-related fatality rate 
is 0.8 or more per 100 million vehicle miles traveled and the 
state establishes a task force to evaluate and recommend 
changes to the state's drunk driving programs. The supplemental 
grant program is repealed.

Sec. 2004. State traffic safety information system improvements

    This section authorizes a new state traffic safety 
information system incentive grants program under a new section 
412 to encourage states to adopt and to implement effective 
safety data systems programs. The Secretary is required to 
determine the model data elements necessary for the safety data 
systems. To receive a grant, a state must comply with safety 
data system requirements under this section and use the grant 
only to implement such requirements.

Sec. 2005. High Visibility Enforcement Program

    The Secretary is required to establish a program to support 
national impaired driving mobilization and enforcement efforts 
and national safety belt mobilization and enforcement efforts, 
including the purchase of national paid advertisement to 
support such efforts.

Sec. 2006. Motorcycle crash causation study

    The Secretary is required to conduct a study of the causes 
of motorcycle crashes and to submit a report to Congress on the 
results of the study not later than 3 years after the date of 
enactment of this legislation.

Sec. 2007. Child safety and booster seats

    This section authorizes a child safety and child booster 
seat incentive grant program for the benefit of states that 
enact or enforce a law requiring that children riding in 
passenger motor vehicles who are too large to be secured in a 
child safety seat be secured in a child restraint that meets 
the requirements prescribed by the Secretary under section 3 of 
Anton's Law (116 Stat. 2772). States may use grants under this 
section only to carry out child safety seat and child booster 
seat programs, including education, training, enforcement, and 
the purchase and distribution of child restraints to families 
that cannot otherwise afford them. Each state to which a grant 
is made under this section must transmit a report to the 
Secretary indicating how the grant funds were expended and 
identifying the specific programs supported by the grant.

Sec. 2008. Safety data

    This section requires the Secretary to collect data and 
compile statistics on accidents involving motor vehicles being 
backed up that result in fatalities and injuries.
    The Secretary is required to transmit a report to Congress 
not later than January 1, 2009, on these accidents and any 
recommendations regarding measures to be taken.

Sec. 2009. Motorcyclist safety

    This section establishes a new motorcyclist advisory 
council to advise the Federal Highway Administrator on 
infrastructure issues that concern motorcyclists. This section 
also establishes a motorcycle safety incentive grant program 
for states that adopt and implement effective programs to 
reduce the number of single- and multi-vehicle crashes 
involving motorcycles.

Sec. 2010. Driver fatigue

    This section adds driver fatigue to the list of safety 
factors that must be included in state highway safety programs 
in accordance with uniform guidelines promulgated by the 
Secretary under section 402. The Committee wishes to 
acknowledge the contribution of ``Maggie's Law'' to its 
deliberations on this issue.

           TITLE III--FEDERAL TRANSIT ADMINISTRATION PROGRAMS


Sec. 3001. Short title; Amendments to title 49, United States Code

    Title III of the bill is cited as the ``Federal Public 
Transportation Act of 2004.'' All amendments in this title, 
unless otherwise specified, are made to title 49 of the United 
States Code.

Sec. 3002. Policies, findings, and purposes

    This section and subsequent sections of the bill change the 
terminology used to describe the federal transit programs, 
which have grown far beyond the original mission and 
orientation of ``urban renewal'' in the Federal Transit 
Administration's organic statute, the Urban Mass Transportation 
Act of 1964. Today, the federal transit programs also provide 
vital transportation services to rural and other non-urban 
constituencies. The title change and subsequent legislative 
changes to chapter 53, title 49 United States Code in which the 
terms ``mass transit'' or ``mass transportation'' are replaced 
by ``public transportation'' reflect this evolution.

Sec. 3003. Definitions

    This section includes amendments to section 5302 of title 
49, United States Code that change definitions that apply 
generally to all of chapter 53, except as otherwise 
specifically provided. These changes include adding new 
eligibilities for federal capital transit funding. Newly 
eligible uses for these capital funds include: (1) acquiring, 
constructing, relocating, and renovating intercity bus stations 
and terminals; (2) crime prevention and security projects 
(including security training for personnel and conducting 
emergency response drills); (3) establishing a debt service 
reserve fund for bond payments when such bonds are used for the 
purpose of financing an eligible transit project; and (4) 
mobility management activities and projects. Mobility 
management activities and projects improve the coordination 
among public transportation and other transportation service 
providers through short-range planning and management 
activities, such as buying computer software that matches 
public transportation riders and non-emergency medical and 
other human services clients to transportation services. 
Directly providing public transportation services is not an 
eligible capital expense under this definition.
    Under current law, the terms ``mass transportation,'' 
``public transportation,'' and ``transit'' are interchangeable. 
Under the changes made in this section, these three terms are 
still synonymous. However, ``public transportation'' becomes 
the principal defined term.

Sec. 3004. Metropolitan planning

    This section amends sections 5303 and 5304 of title 49, 
United States Code, which contain the metropolitan planning 
process for federal transit funded programs under current law. 
The Transportation Equity Act: a Legacy for Users consolidates 
the current law metropolitan planning provisions under sections 
5303 and 5304 of title 49 and under sections 134 of title 23 
into a unified planning title for both transit and highways 
under chapter 52 of title 49. For ease of reference, section 
5303 of title 49 is amended to reflect that grants made under 
sections 5307-5311, 5316 and 5317 are to be carried out in 
accordance with chapter 52. See Title VI of the bill, which 
contains the planning provisions.
    Subsection 5303(b) as amended in this section requires the 
Secretary to certify that metropolitan planning organizations 
in transportation management areas (urbanized areas of more 
than 200,000 in population) comply with all planning and other 
applicable requirements in law in their transportation planning 
activities. In section 5306(a) (which is not amended), transit 
grant recipients are directed to encourage to the maximum 
extent feasible private enterprise participation in transit 
plans and programs. However, the Secretary may not withhold 
certification of a transit grantee's plans based on private 
enterprise participation. This is a standing limitation in 
existing law under section 5305(e)(3).

Sec. 3005. Statewide planning

    The Transportation Equity Act: a Legacy for Users 
consolidates the metropolitan and statewide planning provisions 
currently under title 23 and chapter 53, title 49 into a 
unified planning title for both transit and highways under 
chapter 52 of title 49. For ease of reference, section 5304 of 
title 49 is amended to reflect that grants made under sections 
5307-5311, 5316 and 5317 are to be carried out in accordance 
with chapter 52. Under current law (section 5323(l)), statewide 
transit planning was subject to statewide highway planning 
processes outlined in section 135 of title 23. See Title VI of 
the bill, which contains the planning provisions.

Sec. 3006. Planning programs

    Metropolitan planning and statewide planning funding 
provisions contained in current law sections 5303(g) and 
5313(b) are moved into a unified section on planning programs 
as the amended section 5305 of title 49. The current law 
section 5305 pertains to metropolitan planning requirements for 
transportation management areas, which is included in the 
unified metropolitan planning sections of chapter 52.
    Subsections 5305(a), (b) and (c) establish the general 
planning grant authority and purposes. Subsection (d) describes 
the metropolitan planning grant apportionment process. 
Subsection (e) describes the state planning and research grant 
apportionment process. Subsection (f) sets the Government's 
share of planning grant activity costs at 80 percent. 
Subsection (g) describes the allocation of planning funds made 
available under funding authorization section 5338(c) between 
metropolitan planning and statewide planning, using the same 
percentages set in current law section 5338(c)(2)(C) (82.78 
percent for metropolitan planning and 17.28 percent for state 
planning and research). In subsection (h), funds remain 
available for three years after the fiscal year in which the 
funds are authorized, the same period of availability as under 
current law.

Sec. 3007. Private enterprise participation

    This section title has been shortened to more clearly 
reflect the provisions within. The text of section 5306 of 
title 49, United States Code is not amended.

Sec. 3008. Urbanized area formula grants

    This section amends section 5307 of title 49, United States 
Code, which contains provisions governing theeligibility and 
procedures for urbanized area formula grants to transit providers in 
areas of 50,000 and more in population. Two existing law subsections 
are deleted. Subsection 5307(h) is deleted as a technical cleanup, 
because streamlined administrative procedures for track and signal 
equipment certification have already been promulgated as directed in 
the subsection. Subsection 5307(k) regarding transit enhancement 
activities is also deleted, but the requirement that one percent of 
urbanized area formula grant funds for recipients in areas of over 
200,000 be spent on enhancement activities is retained, and added to 
the list of grant recipient requirements in subsection 5307(d)(1). 
Treating the one percent enhancement requirement as a grant recipient 
requirement rather than a set-aside relieves the Federal Transit 
Administration (FTA) from making separate one percent apportionments 
for transit enhancements activities.
    Subsection 5307(b) is amended in paragraph (1) by restating 
the general authority for urbanized area formula grants in a 
list format. There is no change to the existing law authority 
to make grants for: capital projects and associated capital 
maintenance items; planning; transit enhancements; and, in 
areas with a population of less than 200,000, operating 
expenses. In paragraph (2), the existing extension of operating 
flexibility in urbanized areas that were less than 200,000 
under the 1990 Census, but increased to more than 200,000 in 
the 2000 Census, is further extended through the end of fiscal 
year 2005.
    Currently under subsection 5307(d), recipients are required 
to certify that they have the legal, financial, and technical 
capacity to carry out the program of projects for which they 
are applying as an urbanized area formula grant. This is 
amended in subparagraph (d)(1)(A) to additionally require that 
recipients certify such legal, financial, and technical 
capacity for the safety and security aspects of their program 
of projects. Subsection 5307(d) is also amended, as discussed 
above, by adding the requirement that grantees in urbanized 
areas over 200,000 in population certify that one percent of 
each grant amount is spent on enhancement activities.
    Subsection 5307(e) regarding the Government's share of 
costs is amended by deleting the 1985 baseline limitation on 
local match revenues resulting from the sale of advertising or 
concessions. Additionally, recipients are authorized to use 
amounts received under service agreements with a State, local 
social service agency, or private social service organizations 
as local match. This creates an incentive to transit agencies 
to better coordinate transportation services with human service 
agencies that provide transportation services.
    Section 5307(i) is redesignated as section 5307(h) and 
amended to give the Secretary discretion to require annual 
audits rather than mandate them. There remains in place an 
audit requirement pursuant to the Single Audit Act, which 
requires an annual audit of all Federal grantees receiving 
grants exceeding $300,000, which constitutes about 83 percent 
of all section 5307 grants. Auditing smaller grants would be 
discretionary, based on the FTA's annual risk assessment 
process.
    Subsection 5307(l) as redesignated, relationship to other 
laws, strikes subparagraph (1) and moves the provision 
contained therein to the General Provisions on Assistance in 
section 5323, to make the prohibition on making false or 
fraudulent statements to the Government (18 U.S.C. section 
1001) applicable to any Federal public transportation grant 
program. The existing law paragraph (2) regarding the other 
sections of title 49 that apply to the Urbanized Area Formula 
Grants program is retained and redesignated as paragraph (1). A 
new paragraph (2) is added that exempts non-supervisory transit 
employees from the Hatch Act limitations, if the Hatch Act 
applies only because the employees' salaries are funded through 
Federal grants under this section. This exemption will apply 
only to employees in urbanized areas under 200,000 in 
population, where up to 50 percent of the net project cost may 
be derived from Federal grant funds. This codifies existing 
Federal transit law, although the provision does not otherwise 
appear in title 49 because of a codification error in Public 
Law 103-272, which revised and codified without substantive 
change certain general and permanent laws related to 
transportation. The provision is identical to section 142(g) of 
title 23, regarding non-supervisory employees of urban mass 
transportation systems receiving funds under the Federal-aid 
highway program.
    Subsection 3008(h) adds a new subsection 5307(m) regarding 
the treatment of the United States Virgin Islands, which shall 
be treated as an urbanized area for the purposes of 
apportionments under section 5307.

Sec. 3009. Clean fuels Formula Grant Program

    Section 3009 amends section 5308 of title 49, United States 
Code, regarding the clean fuels formula grant bus procurement 
program. Funds are apportioned to recipients in urbanized areas 
that are designated as nonattainment areas for ozone or carbon 
monoxide under section 107(d) of the Clean Air Act or are 
maintenance areas for ozone or carbon monoxide. These grant 
funds can be used to purchase or lease clean fuel buses, 
construct or lease facilities supporting such clean fuel buses, 
and improve existing facilities to accommodate clean fuel 
buses. Clean fuel buses include those powered by clean diesel, 
compressed natural gas, liquefied natural gas, biodiesel fuels, 
batteries, alcohol-based fuels, hybrid electric power systems, 
fuel cells, or other low or zero emission technologies. Not 
more than 35 percent of the funds made available under the 
clean fuels formula grant program may be used for clean diesel 
bus technology. The apportionment formula is weighted such that 
two-thirds of the funds go to recipients serving urbanized 
areas with a population of 1,000,000 or more and one-third of 
the funds go to recipients serving urbanized areas of less than 
1,000,000. The formula is also weighted by the severity of 
nonattainment in the urbanized area being served.
    The grant requirements of section 5307 apply to the clean 
fuels formula grant program. The Federal share for the clean 
fuels formula grant program may be increased in accordance with 
section 5323(i), which allows a 90 percent Federal share of the 
net project cost of equipment that is attributable to 
compliance with the Clean Air Act.
    Funds made available under the clean fuels formula grants 
program remain available for one year after the fiscal year in 
which the amounts are made available, a total of two years. 
Funds that remain available after this period are added to the 
amount to be made available for the program in the next fiscal 
year.
    The Committee intends that the Secretary shall encourage 
recipients of clean fuels formula grants to adequately invest 
in infrastructure facilities to accommodate the needs of these 
alternatively fueled vehicles.

Sec. 3010. Capital investment grants

    This section amends section 5309 of title 49, United States 
Code, which authorizes capital investment grants for new fixed 
guideway capital projects (``new starts''), fixed guideway 
modernization (``rail modernization''), and bus and bus-related 
facilities. All references in the current law section heading 
and text to ``capital investment loans'' are deleted from 
section 5309 since, historically, only capital investment 
grants have been awarded pursuant to this section. Two existing 
law subsections are deleted. Subsection 5309(b), which deals 
with loans for real property interests, is struck because the 
authority to use Federal transit grants under this section for 
real property loans has not been utilized and is being 
eliminated. Subsection 5309(c) is reserved under current law, 
and is deleted as a technical cleanup. The existing subsection 
5309(d) is moved to subsection (b), and requires that projects 
funded under this section be part of an approved program of 
projects that has gone through the planning process outlined in 
section 5303-5306, have the legal, financial, and technical 
capacity to carry out the project, and have the capability to 
maintain satisfactory continuing control and maintenance of the 
equipment and facilities associated with the project. 
Subsection (b) (as redesignated) is further amended by striking 
the reference to capital loans.
    The remaining subsections (e) through (p) of section 5309 
are deleted and rewritten as the new subsections (c) through 
(n), with some organizational changes and the addition of one 
new program, capital investment grants of less than $75 million 
(``small starts'').
    Subsection 5309(c), concerning major capital investment 
grants of $75 million or more includes the new starts program 
requirements and FTA evaluation and rating criteria found in 
current law subsection 5309(e). The term describing all new 
starts and small starts projects is changed from the current 
law ``capital project for a new fixed guideway system or 
extension of an existing fixed guideway system'' to ``new fixed 
guideway capital project'' for the sake of brevity. The new 
term is defined in subsection (n) as a minimum operable segment 
of a capital project for a new fixed guideway system or 
extension to an existing fixed guideway system, which is the 
same definition for new starts projects as under current law 
subsection 5309(p). Subsection 5309(c) pertains only to those 
new fixed guideway capital projects that will require $75 
million or more of Federal assistance provided under the 
authority of Section 5309. Such projects are defined as 
``major'' new starts as opposed to small starts, which involve 
less than $75 million in such funds and are authorized under 
subsection (d).
    Major new starts projects must be carried out through a 
full funding grant agreement with the Secretary. Projects must 
be authorized for final design and construction to enter into a 
full funding grant agreement. (New starts project 
authorizations are contained in section 3037 of the bill.) The 
full funding grant agreement is based upon the evaluations and 
ratings required under subsection 5309(c). The baseline 
requirements for a project to secure a grant under this 
subsection is that the project proposal must be based on the 
results of alternatives analysis and preliminary engineering; 
justified based on a comprehensive review of the project's 
benefits; and supported by an acceptable degree of local 
financial commitment. The project justification and local 
financial commitment evaluation criteria are outlined in detail 
in subparagraphs (c)(3)(A)-(D), consistent with the current law 
criteria found in subsection 5309(e)(2)-(4). In assessing the 
local financial commitment for a new starts project, the FTA is 
authorized to consider the extent to which the project sponsor 
has overmatched the statutory local match requirement of 20 
percent. However, the authority to consider a higher local 
match as part of the assessment of a project's local financial 
commitment does not allow the Secretary to require a higher 
local match than 20 percent.
    Proposed new starts projects under subsection (c) are 
authorized to advance from alternatives analysis to preliminary 
engineering, and from preliminary engineering to final design 
and construction, if the Secretary finds that the project meets 
the requirements of this section. In making these findings, the 
Secretary is directed to evaluate and rate the project as 
``highly recommended'', ``recommended'', or ``not 
recommended'', based on the results of alternatives analysis, 
the project justification criteria, and local financial 
commitment.
    Subsection 5309(d) regarding capital investment grants of 
less than $75 million authorizes a new program under Capital 
Investment Grants. These ``small starts'' fall into two 
subcategories--those involving between $25 million and $75 
million in funds under section 5309, and those that are less 
than $25 million. New fixed guideway capital projects with a 
section 5309 Federal share of less than $25 million are not 
subject to the requirements of this subsection regarding 
project evaluation and rating and do not enter into a long-term 
financial contract with the Secretary (called a ``project 
construction grant agreement'' in the small starts program). 
The small starts program is based on the new starts program 
requirements, evaluation and rating procedures, but is 
streamlined to reflect the lower cost and less complex nature 
of projects funded under this subsection.
    Project justifications for the small starts program are 
based on five criteria: consistency with local land use 
policies and likelihood to achieve local developmental goals; 
cost effectiveness of the project at the time revenue service 
is initiated; degree of positive impact on local economic 
development; reliability of cost and ridership forecasts; and 
other factors the Secretary considers appropriate to carry out 
this subsection. The Secretary is also required to analyze and 
consider the results of planning and the alternatives analysis 
for the project. In the small starts program, emphasis has been 
placed on supporting local land use and development and 
encouraging local economic development. The small starts local 
financial commitment evaluation is a streamlined version of the 
new starts financial evaluation process. The Secretary is 
directed to require that each proposed local source of capital 
and operating financing is stable, reliable, and available 
within the proposed project timetable, and that there be an 
acceptable degree of local financial commitment. This provision 
gives the Secretary the authority to consider a higher local 
match as part of the assessment of a project's local financial 
commitment, but does not allow the Secretary to require a 
higher local match than 20 percent.
    The project development process is also simplified. The new 
starts project development process involves four discrete 
steps: (1) planning and alternatives analysis, (2) preliminary 
engineering, (3) final design, and (4) entering into a full 
funding grant agreement and construction. The small starts 
program involves three steps: (1) planning and alternatives 
analysis, (2) project development, and (3) entering into a 
project construction grant agreement and construction. Small 
starts projects may advance from planning and alternatives 
analysis to project development and construction only after the 
Secretary finds that the project meets the requirements of this 
subsection and the local metropolitan planning organization 
adopts the locally preferred alternative into its long-range 
transportation plan. Small starts projects are evaluated based 
on project justification criteria and local financial 
commitment and are rated as ``recommended'' or ``not 
recommended'' based on the results of the FTA's analysis. Only 
small starts projects that are authorized for construction and 
rated ``recommended'' may enter into a project construction 
grant agreement.
    Another important difference between the new starts program 
and the small starts program is that, under the small starts 
program, fixed guideway capital projects have a broader 
definition that includes corridor-based public transportation 
bus projects if the majority of the project's right-of-way is 
dedicated alignment. However, the program is written to be 
``mode neutral''--any fixed guideway capital project fitting 
the broader definition under small starts is eligible to be 
funded under this category if it is less than $75 million in 
section 5309 Federal funds, whether it is a bus rapid transit 
project, a streetcar or trolley project, commuter rail, or 
light rail. However, all small starts projects must be included 
under the new starts authorization list in section 3037 of this 
bill to receive funds in subsequent appropriations bills within 
this authorization period.
    All new starts projects that are currently approved for 
final design that fall under the $75 million threshold shall 
continue to be treated as major new fixed guideway capital 
projects, to avoid a duplicative review and evaluation process. 
The FTA is directed to promulgate regulations establishing the 
evaluation and rating process for the small starts program 
within 120 days after the enactment of this Act.
    In subsection 5309(e), projects for which the FTA has 
previously issued letters of intent and full funding grant 
agreements before the date of enactment are exempted from any 
new program requirements under subsections (c) or (d).
    Subsection 5309(f) describes three federal financing 
mechanisms that can be used to support new fixed guideway 
capital projects funded under this section: letters of intent, 
full funding grant agreements, and early systems work 
agreements. These provisions are identical to those found in 
subsection 5309(g) under existing law. Subsection 5309(f)(4) 
addresses the issue of contingent commitment authority for 
major new starts and for small starts. Contingent commitment 
authority enables the Secretary to commit Federal funds in a 
full funding grant agreement or project construction grant 
agreement that extends beyond the end of the authorization 
period. The total amount the Secretary can commit is limited. 
For full funding grant agreements with major new starts 
projects, the total amount covered by all outstanding full 
funding grant agreements may not be more than the greater of 
the amount authorized for new starts for the 6-year life of the 
authorization, plus an amount equivalent to the last 3 fiscal 
years of the funding allocated for new starts under the 
authorization. For project construction grant agreements, the 
limitation extends only one fiscal year beyond the total 6-year 
life of the authorization. In subsection 5309(f)(5), the 
Secretary is directed to notify, in writing, the House 
Committee on Transportation and Infrastructure and the Senate 
Committee on Banking, Housing, and Urban Affairs before issuing 
a full funding grant agreement or project construction grant 
agreement, which allows the authorizing committees to review 
each long-term federal financing commitment before it is 
executed by the Secretary.
    Subsection 5309(g) outlines the Government's share of the 
net project cost for all projects authorized under section 
5309. The Administration had proposed to decrease the 
Government's share for new start projects to 50 percent. The 
Committee has rejected this proposal, and retains the provision 
under subsection 5309(h) in current law that the Federal share 
for a project shall be 80 percent, unless the grant recipient 
requests a lower grant percentage. New language is included 
clarifying that nothing in section 5309, including the language 
that specifically directs the FTA to consider in its evaluation 
of a project the extent to which a project has a higher local 
match than required by law, shall be construed as authorizing 
the Secretary to require a local match higher than 20 percent 
of the net capital project cost.
    Subsection 5309(i) directs the Secretary to submit an 
annual new starts report to the House and Senate authorizing 
committees on the first Monday in February, which includes the 
Administration's funding proposals for new starts projects in 
the coming fiscal year, and evaluations and ratings for all new 
starts projects authorized in section 3037 of this Act. The 
current law requirement under subsection 5309(o)(2) regarding 
an August supplemental report is deleted. The Committee directs 
that the FTA shall forward letter updates to the House and 
Senate authorizing committees when a project advances to 
preliminary engineering or to final design after the 
publication of the annual new startsreport. In subsection 
5309(i)(2), the U.S. General Accounting Office is directed to conduct 
an annual review of FTA's processes and procedures for evaluating, 
rating, and recommending new starts projects and how the agency 
implements such processes and procedures. This review shall be 
submitted to the Congress by May 31 of each year.
    Subsection 5309(k), regarding bus and bus facility grants, 
amends the existing law language under subsection 5309(m)(3). 
The current language regarding consideration of the age of 
buses, bus fleets, related equipment, and bus-related 
facilities when making grants is retained. Current law 
provisions that set aside funds for the bus testing facility in 
Altoona, Pennsylvania and for the section 5308 Clean Fuels 
formula program are deleted, as both these programs are now 
funded as set-asides from formula grants.
    Subsection 5309(l) is a new provision making bus and bus 
facilities and new starts grant funds available for three 
fiscal years (including the year in which the amount is made 
available or appropriated). Funds that remain unobligated after 
three years shall be deobligated and may be used by the 
Secretary for any purpose under this section.
    Subsection 5309(m) directs the allocation of amounts made 
available for programs authorized under section 5309. The 
existing formula of 40 percent for new starts, 40 percent for 
rail modernization, and 20 percent for bus and bus facilities 
is retained, after the funding levels authorized for small 
starts are set aside from the total amount made available for 
section 5309 programs. Subsection 5309(m)(1) makes allocations 
for fiscal year 2004, using the current law practice of split 
funding each Federal transit program with 80 percent funding 
from the Mass Transit Account of the Highway Trust Fund and 20 
percent funding from the general fund of the U.S. Treasury. For 
fiscal years 2005-2009, the financing of Federal transit 
programs is changed to eliminate the practice of split funding 
accounts, though the overall 80:20 ratio of trust funds to 
general funds for all Federal transit programs is retained. 
Therefore, subsection 5309(m)(2) makes allocations for fiscal 
years 2005-2009 from two different subsections of section 5338, 
which contains all Federal transit program apportionments. 
Subsection 5338(g) makes funds available for the rail 
modernization and bus and bus facilities programs from the Mass 
Transit Account. Subsection 5338(h) makes funds available for 
the new starts and the small starts programs from the general 
fund. The current law set-aside of $10.4 million a year for 
ferry boats and ferry terminal facilities in Alaska or Hawaii 
is retained. A provision is added establishing a new set-aside 
for the national fuel cell bus technology development program, 
authorized in section 3039 of the bill.

Sec. 3011. Formula grants for special needs of elderly individuals and 
        individuals with disabilities

    This section amends section 5310 of title 49, United States 
Code, which authorizes formula grants to States for public 
transportation projects and services that meet the special 
needs of elderly and disabled individuals. The definition of 
grant recipient is amended in paragraph 5310(a)(2) by adding a 
definition for subrecipients, which is consistent with current 
practice. Section 5310 elderly and disabled formula grants are 
apportioned to the States and territories, whereupon a State 
may then allocate grant funds to: private nonprofit 
organizations if no public transportation service for these 
special needs is available, or if the available service is 
insufficient or inappropriate; or to governmental authorities 
that are approved by the State to coordinate services or that 
certify there are not any nonprofits organizations readily 
available to provide the transportation services. In paragraph 
5310(a)(3) and consistent with existing law under section 
5310(d), acquiring public transportation services is treated as 
a capital expense under this section. In paragraph 5310(a)(4), 
a 10-percent limitation is included on the amount of a State's 
grant funds that may be used for recipient or for subrecipient 
administrative expenses and technical assistance. This codifies 
current FTA administrative practice.
    Subsection 5310(b) describes the apportionment and transfer 
processes, which follows current law, except that an adjustment 
is made to the apportionment formula for particularly low 
density States. Before the standard formula is run, which 
apportions funds based on the total number of elderly persons 
and persons with disabilities in a State to the total U.S. 
population of elderly and disabled, States with a population 
density of 10 persons or fewer per square mile have their 
elderly and disabled population number adjusted upward by a 
factor of 2; States with a population density of between 10 and 
30 persons per square mile have their elderly and disabled 
population numbers adjusted upward by a factor of 1.25. In low 
density States, providing essential public transportation is 
particularly challenging, especially to special needs 
populations, because of the distances involved. When providing 
services over these long distances, operating costs are higher 
and farebox recovery is lower. This formula adjustment may 
enable low density States to continue providing essential 
public transportation services to a sector of the population 
that is particularly dependent on transit--the elderly and 
disabled. The provision regarding transfers of unobligated 
grant funds is identical to current law, and allows funds that 
may lapse under the one year availability to be transferred to 
other elderly and disabled transportation services in the State 
that are funded under sections 5307 or 5311.
    Subsection (c) amends current law regarding the 
Government's share of costs. The current Federal match of 80 
percent for capital projects is retained. Operating expenses 
are also made eligible for section 5310 elderly and disabled 
grant funding, limited to 50 percent of net operating costs. 
Two new sources of local match funding are authorized: proceeds 
from a service agreement with a State, local social service 
agency, or private social service organization; and other 
Federal funds from non-Department of Transportation agencies 
that can be expended for transportation (e.g., Temporary 
Assistance for Needy Families, Medicaid, job training program 
funds, or Welfare to Work grants). Using these related human 
service grants funds as a local match for transit projects 
leverages the Federal investment and increases coordination 
among Federal agencies that provide transportation services.
    Subsection (d) regarding grant requirements changes the 
general applicability of requirements for the elderly and 
disabled grant program from current law, which ties the program 
to section 5309, to the requirements under section 5307, to the 
extent the Secretary considers appropriate. A new requirement 
is added that the State must certify that projects funded under 
this section are derived from coordinated public transit-human 
services transportation plans with public input. The current 
law requirement that the State certify allocations of funds 
were made on a fair and equitable basis is retained.
    Subsection (e) repeats the current law provision in 
subsection 5310(c) regarding use of program funds for projects 
included in a State program of projects that has been submitted 
annually to the Secretary for approval, and that provides for 
the maximum feasible coordination of transportation services.
    Subsection (f) allows vehicles acquired under this section 
to be leased to local governments to improve elderly and 
disabled transportation services (as under current law 
subsection 5310(g)). The remaining subsections 5310(h), (i) and 
(j) are redesignated as (g), (h) and (i) to follow.

Sec. 3012. Formula grants for other than urbanized areas

    This section amends section 5311 of title 49, United States 
Code, regarding the apportionment of formula grant funds for 
non-urbanized areas. Subsection (a) amends the definition 
provisions under section 5311(a) to define an eligible 
recipient and sub-recipient of other than urbanized area funds.
    Subsection (b) amends the general authority provisions that 
allow other than urbanized areas to use formula grant funds for 
capital transportation projects, or operating assistance 
projects (including the acquisition of transportation services) 
provided the projects are contained in a state program of 
public transportation service projects. Under subsection 
5311(b)(3), the rural transportation assistance program (RTAP), 
a national technical assistance, training and support program 
for rural public transportation providers, is funded with a 2 
percent set-aside of the section 5311 grant funds. From the 
amounts made available for the RTAP activities, up to 15 
percent may be used by the Secretary to carry out projects of a 
national scope to sustain ongoing national activities. Under 
current law, the RTAP is funded out of the Research program.
    Subsection 5311(c) describes the apportionment process, 
which follows current law, except that an adjustment is made to 
the apportionment formula for particularly low density States. 
Before the standard formula is run, which apportions funds 
based on the total population in nonurbanized areas in a State 
to the total U.S. population in nonurbanized areas, States with 
a population density of 10 persons or fewer per nonurbanized 
square mile have their population number adjusted upward by a 
factor of 1.5; States with a population density of between 10 
and 12 persons per nonurbanized square mile have their 
population numbers adjusted upward by a factor of 1.25. In low 
density States, providing essential public transportation is 
particularly challenging because of the distances involved. 
When providing services over these long distances, operating 
costs are higher and farebox recovery is lower. This formula 
adjustment may enable low density States to provide essential 
public transportation services by establishing a level of 
funding that will support a baseline program. Funds remain 
available for two years after the fiscal year in which the 
amount is apportioned, consistent with current law.
    In subsection (e), an amendment is made to 5311(f) that 
requires States to consult with affected intercity bus service 
providers before certifying to the Secretary that intercity bus 
service needs of the State are being adequately met without 
making the 15 percent allocation of funds to such services. 
Such consultation would help ensure the state's awareness of 
any intercity bus service needs.
    Subsection (f) amends section 5311(g) to retain the 
existing Federal share for any capital project at 80 percent or 
less of the net project cost, as determined by the Secretary; 
except the Federal share may be increased up to 95 percent in 
states containing a significant percentage of nontaxable Indian 
lands, individual and tribal lands, public domain lands, 
national forests, and national parks and monuments. The 
increased Federal share is the same as provided under section 
120(b)(1) of title 23, U.S.C. Also retained is the Federal 
share for operating assistance at 50 percent or less of the net 
costs of an operating project, as determined by the Secretary. 
The remainder of the net project costs may be provided from a 
number of different sources, including amounts appropriated to 
or made available to a department or agency of the Federal 
government, other than the Department of Transportation (e.g., 
Temporary Assistance for Needy Families, Medicaid, job training 
program funds, or Welfare to Work grants). Using these related 
human service grants funds as a local match for transit 
projects leverages the Federal investment and increases 
coordination among Federal agencies that provide transportation 
services.
    Subsection (g) strikes section 5311(h) relating to 
operating assistance because operating assistance eligibility 
is included under the General Authority provisions at 
subsection (b).
    Subsection (h) corrects the title to Chapter Analysis.

Sec. 3013. Research, development, demonstration, and deployment 
        projects

    Currently, section 5312 of title 49, United States Code 
does not address deployment of emerging technologies, and 
inappropriately includes training provisions. As amended, 
section 5312 would authorize research, development, 
demonstration, and deployment projects, and would move the 
training provisions in subsections (b) and (c) to section 5322 
(Human Resource Program). Under this subsection, the terms 
``other transactions'' is included and is used to replace the 
terms ``other agreements'' to provide the Federal government 
with discretion to enter into project agreements under terms 
that would encourage private parties to participate in 
Federally assisted projects. Subsection 5312(a) is further 
amended to eliminate outdated references to the Secretary of 
Housing and Urban Development. All references to ``urban'' 
transportation are eliminated to clarify that all 
transportation is public transportation in both urban and rural 
areas. Mass transportation and public transportation have the 
same meaning under the transit programs. This subsection also 
contains a series of clarifying and conforming amendments.

Sec. 3014. Cooperative Research Program

    Amendments made to section 5313 of title 49, United States 
Code provide the correct authorization citation for the 
research programs and moves subsection (b) to the state 
planning section under Chapter 52 of title 49.

Sec. 3015. National research and technology programs

    Section 5314 of title 49, United States Code is amended to 
delete the word ``Planning'' inthe heading because the focus of 
the section is on research and to include ``Technology'' in the heading 
to reflect the activities carried out under this subsection. Other 
amendments under this subsection correct the funding authorization 
citations and eliminate references to the planning sections of the 
title. The Secretary is required to continue to make funds available to 
help public transportation providers comply with the Americans With 
Disabilities Act of 1990. Under this section, the term ``other 
transactions'' is included to provide the Federal government with 
discretion to enter into project agreements under terms that encourage 
private parties to participate in federally assisted projects. The 
Industry Technical Panel composed of transportation suppliers and 
others involved in technology development is eliminated because the 
panel is no longer needed. The Federal Transit Administration has 
established an ongoing working relationship with all facets of the 
transit industry.

Sec. 3016. National Transit Institute

    Section 5315 of title 49, United States Code is amended by 
striking references to mass transportation because public 
transportation is defined to mean mass transportation under the 
transit program.

Sec. 3017. Job access and reverse commute formula grants

    This section codifies the Job Access And Reverse Commute 
(JARC) program authorized under section 3037 of the 
Transportation Equity Act for the 21st Century. The program was 
established to assist welfare recipients and low-income 
individuals in getting to and from jobs. Under the proposed 
codified provisions of section 5316, subsection (a) applies 
definitions for eligible projects, low-income individuals, 
recipients, reverse commute projects, subrecipients, and 
welfare recipients.
    As proposed in subsection (b), the Secretary would make 
grants for access to jobs and reverse commute projects to be 
carried out by the recipient or a subrecipient. A recipient 
would be permitted to use up to 15 percent of the amount it 
receives under this section to administer, plan, and provide 
technical assistance.
    Subsection (c) proposes a formula for JARC funds that 
apportions 60 percent of the funds to designated recipients in 
urbanized areas with a population of 200,000 or more in a ratio 
reflecting the number of eligible low-income and welfare 
recipients in each urbanized area with a population of 200,000 
or more; 20 percent of the funds are apportioned among the 
states in a ratio reflecting the number of eligible low-income 
and welfare recipients in urbanized areas with populations of 
less than 200,000 in each state; and 20 percent of the funds 
are apportioned among states in a ratio reflecting the number 
of low-income individuals and welfare recipients in other than 
urbanized areas in each state.
    The funds must be used for eligible projects in the 
designated areas, except funds made available in urbanized 
areas with populations less than 200,000 and nonurbanized areas 
may be transferred for projects anywhere in the state if the 
state has established a statewide program for meeting the 
objectives of this section and the Governor of the state 
certifies that all of the objectives of this section are being 
met in the specific area. The recipient of JARC funds in an 
urbanized area with a population of 200,000 or more must 
conduct a competitive process for an areawide solicitation for 
applications for grants to the recipients and subrecipients. 
Statewide solicitations must be conducted in urbanized areas of 
less than 200,000 and in nonurbanized areas for applications 
for grants to the recipients and subrecipients. All grants 
shall be awarded on a competitive basis.
    After consulting with responsible local public 
transportation officials and publicly owned operators of 
transportation in each area JARC funds were originally awarded, 
a state may transfer funds apportioned for urbanized areas with 
a population of less than 200,000 and for nonurbanized areas to 
section 5311(c) or 5336, or both. Any funds transferred must be 
made available only for eligible JARC projects.
    A JARC grant is subject to section 5307 formula grant 
requirements and a recipient of a grant must certify to the 
Secretary that allocations of the grant to subrecipients are 
distributed on a fair and equitable basis. The Federal share 
for capital projects may not exceed 80 percent of the net 
capital cost and for operating assistance the Federal share may 
not exceed 50 percent of the net operating costs. The non-
Federal share may be provided from a variety of sources, 
including other Federal funds (other than from the Department 
of Transportation). Funds made available through the Social 
Security Act may also be used for the remainder of the cost of 
the project.
    The Comptroller General is required to conduct a study to 
evaluate the JARC grant program and transmit the results to the 
Congress. The study must begin within one year after the 
enactment of the Federal Transportation Act of 2004, and every 
two years thereafter. Not later than three years after the date 
of enactment of this section, the Secretary must conduct a 
study to evaluate the effectiveness of recipients making grants 
to subrecipients and transmit the report to Congress.

Sec. 3018. New Freedom Program

    This section authorizes a new program to address the 
transportation needs of persons with disabilities at all income 
levels. The Secretary would make grants to a recipient for new 
transportation services and public transportation alternatives 
beyond the Americans With Disabilities Act of 1990 (ADA) to 
assist individuals with disabilities with transportation needs.
    With the passage of the ADA, it has become a civil rights 
violation to deny access to persons with disabilities to public 
transportation. The New Freedom formula grant program was 
proposed by the administration and has been included in this 
legislation to provide additional tools to overcome existing 
barriers facing Americans with disabilities seeking integration 
into the work force and full participation in society. Lack of 
adequate transportation is a primary barrier to work for people 
with disabilities. The 2000 Census showed that only 60 percent 
of people between the ages of 16 and 64 with disabilities are 
employed. The New Freedom formula grant program will expand the 
transportation mobility options available to persons with 
disabilities beyond the requirements of the ADA. Examples of 
projects and activities that might be funded under the program 
include, but are not limited to:
    
 Purchasing vehicles and supporting accessible 
taxi, ride-sharing, and vanpooling programs.
    
 Providing paratransit services beyond minimum 
requirements (3/4 mile to either side of a fixed route), 
including for routes that run seasonally.
    
 Making accessibility improvements to transit and 
intermodal stations not designated as key stations.
    
 Supporting voucher programs for transportation 
services offered by human service providers.
    
 Supporting volunteer driver and aide programs.
    
 Supporting mobility management and coordination 
programs among public transportation providers and other human 
service agencies providing transportation.
    A state may use up to 10 percent of the amount it receives 
under this section to administer, plan, and provide technical 
assistance. Funds would be apportioned based on a formula that 
apportions 60 percent of the funds to designated recipients in 
urbanized areas with a population of 200,000 or more in a ratio 
reflecting the number of individuals with disabilities in each 
such urbanized area; 20 percent of the funds are apportioned 
among the states in a ratio reflecting the number of 
individuals with disabilities in urbanized areas with a 
population of less than 200,000; and 20 percent of the funds 
are apportioned among the states in a ratio reflecting the 
number of individuals with disabilities in nonurbanized areas 
in each state.
    The funds made available must be used for projects serving 
the areas for which the funds are apportioned for eligible 
projects. The formula provides an adjustment for low densely 
populated areas to increase the amounts made available to 
assist in meeting the areas transportation needs. For small 
urbanized areas with a population of less than 200,000 and a 
population density of 10 persons per square mile or fewer, 
their population is multiplied by a factor of 2. For small 
urbanized areas with a population of 200,000 or less and a 
population density of 10 but equal to or fewer than 30 persons 
per square mile, the Secretary shall multiply their population 
by a factor of 1.25. The low density adjustment for other than 
urbanized areas with a density of 10 persons per square mile or 
fewer, the Secretary shall multiply their population by a 
factor of 1.5. For nonurbanized areas with a population density 
of more than 10 but equal to or fewer than 12 persons per 
square mile, the Secretary shall multiply their population by a 
factor of 1.25.
    A state may transfer the amounts apportioned for small 
urbanized areas and for nonurbanized areas to other small 
urbanized formula grant programs and to other nonurbanized 
formula grant programs, provided the state has consulted with 
responsible local officials and publicly owned operators of 
public transportation in each area for which the amounts 
originally were awarded under this section. Any funds 
transferred must be available for eligible new freedom 
projects.
    The recipient of New Freedom funds in an urbanized area 
with a population of 200,000 or more must conduct a competitive 
process for an areawide solicitation for applications for 
grants to the recipients and subrecipients. Statewide 
solicitations must be conducted in urbanized areas with a 
population of less than 200,000 and in nonurbanized areas for 
applications for grants to the recipients.
    A New Freedom grant is subject to the section 5307 formula 
grant requirements, except for grants for urbanized areas with 
a population of less than 200,000 and for nonurbanized areas, a 
special warranty agreement utilized by the Secretary of Labor 
may be used to provide a fair and equitable arrangement to 
protect the interest of employees. The recipient of a grant 
under this section is required to certify that allocations are 
distributed to subrecipients on a fair and equitable basis.
    The Secretary requires a recipient of a grant to coordinate 
the new freedom program activities with other related program 
activities of other Federal agencies. Also a recipient that 
transfers funds to the urbanized area formula grant program 
must certify that the project for which funds are requested had 
been coordinated with nonprofit providers of services. A 
recipient would also be required to certify that projects 
selected were derived from a locally developed, coordinated 
public transit-human services transportation plan and that the 
plan was developed through a process that involved individuals 
of the public, private, and nonprofit transportation and human 
services providers.
    The Federal share for the net project capital cost of a 
project may be up to 80 percent, and not more than 50 percent 
of the net operating cost of a project. The remainder of the 
funds could be derived from a variety of other sources, 
including undistributed cash surpluses; a replacement or 
depreciation cash fund or reserve; a service agreement with a 
state or local social service agency or a provide social 
service organization; a capital; and other eligible Federal 
funds expended for transportation (other than funds from the 
Department of Transportation). Federal and state funds made 
available under section 403(a)(5)(vii) of the Social Security 
Act may be used for the non-Federal share. A state is 
prohibited from limiting the level or extent of the 
Government's share of operating expenses below the 50 percent 
in statute.

Sec. 3019. Bus testing facility.

    This section amends section 5318 of title 49, United States 
Code, to delete the requirement for the Secretary to establish 
one bus testing facility because the facility has already been 
established in Altoona, Pennsylvania. The Secretary is required 
to maintain the facility. The provisions under section 5318 
that establishes a revolving loan fund for expenses related to 
operating and maintaining the facility are deleted because the 
bus testing facility relies on state resources to pay for those 
costs, and has never requested a loan. The provision concerning 
the acquisition of new bus models is moved to this section from 
section 5323(c) for clarity.

Sec. 3020. Bicycle facilities

    This section includes a technical amendment and an 
amendment to extend the bicycle related provisions to the new 
transit in the parks pilot program.

Sec. 3021. Transit in the Parks Pilot Program

    This section establishes a new program to provide for 
public transportation in certain Federally-owned or managed 
areas that are open to the public. The definition of public 
transportation for the pilot program means general or special 
transportation to the public by a conveyance that is publicly 
or privately owned. The definition does not include school bus 
or charter transportation, but does include sightseeing 
transportation. Within 90 days after the enactment of this 
section, the Secretary of Transportation and the Secretary of 
the Interior must enter into a memorandum of understanding 
(MOU) to establish a transit in the parks pilot program to 
encourage and to promote the development of transportation 
systems to improve visitor mobility and enjoyment, reduce 
pollution and congestion, and enhance resource protection 
through the use of public transportation.
    The Secretary of Transportation will administer the pilot 
program in consultation with the Secretary of the Interior. The 
MOU entered into between the Secretaries must be consistent 
with the planning processes required under Chapter 52 of title 
49 and include descriptions and activities eligible for 
assistance under the pilot program. The Secretary of the 
Interior may carry out eligible transportation projects as 
permitted under the interagency agreements. The Government's 
share for any capital project or activity carried out under the 
pilot program is 100 percent of the net project costs. 
Operating assistance grants may not exceed 50 percent of the 
net operating costs of the project.

Sec. 3022. Human resource programs

    Sections 5312(b) and (c) would be moved to sections 5322(b) 
and (c) to better fit the organization of the revised section 
5312 of title 49, United States Code.

Sec. 3023. General provisions on assistance

    Amendments are made to section 5323 of title 49, United 
States Code in this section. The term ``private mass 
transportation company'' is changed to ``private company 
engaged in public transportation'' in subsection (a), to 
reflect the change in terminology from mass transportation or 
mass transit to public transportation.
    Subsection 3023(c) regarding conditions on charter bus 
transportation service amends section 5323(d) by striking the 
existing law subsection (d)(2) regarding violations of 
agreements and inserting new language which directs the 
Secretary to investigate all complaints about violations of the 
charter service agreement and decide whether a violation has 
occurred; if a violation has occurred, to correct the 
violation; and, if a pattern of violations is found, to bar the 
recipient from receiving funds in an amount the Secretary 
considers appropriate. Under existing law, the Secretary did 
not have the flexibility to adjust the amount withheld--the 
recipient would be barred from receiving further Federal 
assistance. This overly-broad authority was never used, whereas 
a more flexible authority to penalize charter violators will 
encourage a more realistic and responsive approach to charter 
enforcement by the FTA. The Committee is aware that both public 
transportation providers and private charter bus providers have 
expressed strong concerns about the 1987 FTA rule enforcing 
section 5323(d) regarding charter bus service. The Committee 
directs the FTA to initiate a rulemaking seeking public comment 
on the regulations implementing section 5323(d), and to 
consider the issues listed below. Consideration of any changes 
to the current regulation shall not disturb the current law 
provisions under section 5323(f) regarding school bus 
transportation.
    1. Are there potential limited conditions under which 
public transit agencies can provide community-based charter 
services directly to local governments and private non-profit 
agencies that would not otherwise be served in a cost-effective 
manner by private operators?
    2. How can the administration and enforcement of charter 
bus provisions be better communicated to the public, including 
use of internet technology?
    3. How can the enforcement of violations of the charter bus 
regulations be improved?
    4. How can the charter complaint and administrative appeals 
process be improved?
    The existing law section 5323(e) regarding bus seat belt 
functional specifications is deleted because such 
specifications have been issued by the Secretary. A new 
subsection (e) takes its place that makes revenue bond proceeds 
eligible for use as local match against federal transit grants 
and that authorizes recipients to establish debt service 
reserves using up to 10 percent of their federal grant funds. 
The authority to use bond proceeds as local match was 
established in section 3011 of the Transportation Equity Act 
for the 21st Century (TEA 21), and FTA has reported that this 
authority has been beneficial to transit operators. This 
subsection also permits the Secretary to reimburse recipients 
for deposits in a debt service reserve established for the 
purpose of financing transit capital projects, pursuant to 
section 5302(a)(1)(K). Such reimbursements are capped at 10 
percent of the recipient's annual apportionment from section 
5307 urbanized area formula grants.
    Subsection 5323(f) regarding school bus transportation is 
amended to allow the Federal Transit Administration to assess 
fines and withhold grant funds if public transportation 
agencies violate the narrowly defined conditions under which 
public transportation providers can provide school bus 
transportation.
    Section 5323(j) regarding Buy America is amended by adding 
a new requirement that FTA provide a detailed written 
justification when the agency issues a public interest waiver. 
Additionally, a new provision is added stating that parties 
adversely affected by FTA action on Buy America decisions may 
seek judicial review under the Administrative Procedures Act. 
The general regulatory waivers for Chrysler 15-passenger vans 
and wagons from the requirement that public transportation 
vehicles be assembled in the United States are repealed. In 
addition, the permanent regulatory waiver for microcomputer 
equipment is also repealed.
    Under current law, section 5323(l) requires state-managed 
transit grant programs be subject to State transportation 
planning requirements in section 135 of title 23, United States 
Code. Since all transportation planning programs are now 
addressed under chapter 42 of title 49, U.S.C., section 5323(l) 
contains a new provision that broadens the applicability of 
section 1001 of title 18, that prohibits fraudulent statements 
to the Government, to all programs funded under chapter 53.

Sec. 3024. Special provisions for capital projects

    This section makes very minor amendments to section 5324 of 
title 49, United States Code and changes the title of the 
section from ``Limitations on discretionary and special needs 
grants and loans'' to ``Special provisions for capital 
projects,'' which is more descriptive of the provisions 
contained therein regarding relocation program requirements and 
consideration of economic, social, and environmental interests.

Sec. 3025. Contract requirements

    This section consolidates sections 5325 ``Contract 
Requirements'' and 5326 ``Special Procurements'' of title 49, 
United States Code, since the provisions of section 5326 fall 
within the scope of conditions set on contracts that utilize 
federal funds provided under chapter 53 of title 49, United 
States Code. Under the revised subsection 5325(a) and (b), 
recipients of such funds are expressly required to conduct 
procurements using full and open competition and to use 
standard architectural, engineering, and design contract award 
procedures. A new subsection 5325(d) is added that is identical 
to existing law section 5326(a), except that the term 
``turnkey'' is replaced with the more commonly used term 
``design-build'', and references to design-build 
``demonstration projects'' are deleted, since design-build 
contracting has matured beyond the demonstration phase. In 
addition, design-build contracting does not necessarily result 
in lower project costs or new technologies and, as a result, 
this concept as expressed under section 5326(a)(2) in current 
law is removed.

Sec. 3026. Project management oversight and review

    This section amends section 5327 of title 49, United States 
Code regarding project management oversight activities. The 
Secretary is authorized to use .5 percent of section 5311 
funds, .75 percent of section 5307 funds, and 1 percent of 
section 5309 funds to make contracts for oversight of major 
transit construction projects, and to review and audit 
recipients' compliance with federal requirements and provide 
technical assistance to correct deficiencies identified in such 
reviews and audits. This is an increase in the amount set aside 
for such activities above levels set under current, which 
provides for .5 percent of section 5307 and section 5311 funds 
and up to .75 percent for section 5309 funds. Comprehensive 
agency oversight, compliance review, and technical assistance 
are necessary for all major grant programs, and particularly 
important for major capital grants such as new starts and rail 
modernization.

Sec. 3027. Investigations of safety and hazards

    This section amends section 5329 of title 49, United States 
Code regarding the Secretary's authority to investigate safety 
and security risks associated with public transportation 
equipment, facilities, or operations financed under chapter 53 
of title 49, United States Code. The Secretary may withhold any 
amount of a recipient's Federal assistance until a plan to 
eliminate, mitigate, or correct the hazard has been approved 
and carried out.

Sec. 3028. State safety oversight

    This section amends section 5330 of title 49, United States 
Code by changing the heading from ``Withholding amounts for 
noncompliance with safety requirements'' to reflect the more 
commonly used title of ``State safety oversight.'' Under this 
section, a State is required to establish and carry out a 
safety program plan for rail-based new starts projects. 
Commuter rail systems that operate on the general railway 
system are subject to the safety rules and oversight of the 
Federal Railroad Administration. Amendments to subsection 
5330(a) ensure that safety is considered well before a rail-
based new start project begins revenue service. In subsection 
5330(d), rail-based new start projects that operate in two or 
more States are required to have a unified safety program plan.

Sec. 3029. Controlled substances and alcohol misuse testing

    This section amends section 5331 of title 49, United States 
Code regarding drug and alcohol testing of public 
transportation employees, allowing the Secretary to apply a 
single agency's drug and alcohol testing regime if a particular 
transportation provider is subject to more than one agency's 
rules. Currently, section 5331 authorizes the Secretary to 
exclude from FTA drug and alcohol testing those public 
transportation providers that are adequately covered by the 
Federal Motor Carrier Safety Administration or the Federal 
Railroad Administration testing statutes. The amendment to 
subsection 5331(a) expands the Secretary's authority to exclude 
from FTA testing those public transportation providers that are 
adequately covered under other Federal or Departmental testing, 
such as the U.S. Coast Guard's testing provisions applicable to 
ferryboat employees.

Sec. 3030. Employee protective arrangements

    This section amends Section 5333 of title 49, United States 
Code making conforming changes to ensure that all federal 
public transportation grant programs are subject to fair labor 
standards and employee protective arrangements.

Sec. 3031. Administrative procedures

    This section amends section 5334 of title 49, United States 
Code regarding the Secretary of Transportation and Federal 
Transit Administration's authority to administer programs 
carried out under chapter 53 of title 49, United States Code. 
The Secretary is prohibited from regulating public 
transportation provider's routes, schedules, and rates, except 
in the case of a national or regional emergency. A new 
subsection 5334(c)(5) has been added thatrequires the FTA to 
subject non-regulatory substantive policy statements to a 60-day public 
review notice and comment period. Currently, FTA circulars, letters, or 
other policy statements can be issued without the benefit of the same 
public review and comment process that is required under the regulatory 
process. However, such documents often carry the same weight and 
penalties as regulations. An example of this ``unwritten rule'' is the 
$500 million per project limitation FTA has placed on the Federal 
commitment on a full funding grant agreement issued under the authority 
of section 5309. Although such a project cost limitation might be a 
valid policy, it has not been published in a form that allows for 
comment from the affected transit community. The provision added in 
subsection (c)(5) will add transparency to FTA's administrative 
procedures and provide opportunity for public review and feedback.

Sec. 3032. National transit database

    This section amends Section 5335 of title 49, United States 
Code by striking subsection (b) regarding a transferability 
report that was completed in 1993 and changing the title of the 
section to reflect the remaining provisions regarding the 
Secretary's authority to maintain a national reporting system 
of public transportation financial and operating information 
using a uniform system of accounts. The section header is 
amended from the current law title ``Reports and audits'' to 
``National transit database'' to reflect the revised contents 
of the section.

Sec. 3033. Apportionments based on fixed guideway factors

    This section amends Section 5337 of title 49, United States 
Code regarding apportionment formulas for the fixed guideway 
modernization program. The provision regarding route segments 
to be included in the apportionment formula is amended to 
delete the ``1997 Standard'' that held eligible rail system 
mileage to the number of miles a system reported in fiscal year 
1997.

Sec. 3034. Authorizations

    This section amends Section 5338 of title 49, United States 
Code, making FTA program funds available on an annual basis for 
the fiscal year 2004-2009 authorization period. The major FTA 
programs are Formula Grants, Capital Investment Grants, 
Planning, Research, and Administrative Expenses. Subsections 
(a), (c), (d), (e), and (f) break out funding allocations 
between fiscal year 2004 and fiscal years 2005-2009. This 
organizational structure is adopted to separate the fiscal year 
2004 funding, which splits every account's funding between the 
Mass Transit Account and the general fund at an 80-20 ratio 
(current law structure), from funding for fiscal years 2005-
2009, which is either 100 percent trust funded or 100 percent 
general funded. The programs that will be 100 percent trust 
funded in fiscal years 2005-2009 are Formula Grants and 
Planning, as well as the bus and bus related facilities grants 
and the fixed guideway modernization grants under Capital 
Investment Grants. The programs that will be 100 percent 
general funded in fiscal years 2005-2009 are Research, 
Administration, and the new starts and small starts programs 
under Capital Investment Grants. This restructuring of the 
program financing will prevent an accounting problem with the 
spending rate of the Mass Transit Account. By not split-funding 
any programs, each program will outlay at its actual spending 
rate.
    The Formula Grants programs comprise 54 percent of the 
total transit programs. There are a number of allocations made 
from the total formula grants funding for: new bus model 
testing, grants to the Alaska Railroad, over-the-road bus 
accessibility equipment costs, the new Transit in the Parks 
pilot program, the transit portion of funding for the non-
motorized transportation pilot program authorized in section 
1118(b) of the bill, the New Freedom program, the Job Access 
and Reverse Commute grant program, and the Clean Fuels grant 
program. After these allocations of funds have been made, the 
remainder of the aggregate amount is allocated in the following 
percentages: 2.5 percent to the elderly and disabled formula 
grant program, 8 percent to the nonurbanized formula grant 
program, and 89.5 to the urbanized area formula grant program. 
The percentage shares for the elderly and disabled program 
grants and for the nonurbanized formula grants have been 
increased over such shares under current law.
    The Capital Investment Grants programs comprise 43 percent 
of the total transit programs. The four Capital Investment 
Grant programs (fixed guideway modernization, new starts, small 
starts, and bus and bus-related facilities) receive funding 
allocations under section 5309(m). For fiscal year 2004, 
funding for these programs is apportioned under subsection 
5338(b), with 80 percent of the funding coming from the Mass 
Transit Acount and 20 percent from the general fund. In 
subsection 5338(g), funding is apportioned for fiscal years 
2005-2009 from the Mass Transit Account of the Highway Trust 
Fund for bus and bus facilities and fixed guideway 
modernization. In subsection 5338(h), funding is authorized to 
be appropriated in fiscal years 2005-2009 for new starts and 
small starts.
    Planning grant fund apportionments to metropolitan areas 
and states is provided under subsection 5338(c). For fiscal 
year 2004, the funding is split-funded and for fiscal years 
2005-2009, the funding is derived from the Mass Transit 
Account. The percentage of planning funds allocated to 
metropolitan areas is 82.72 percent and 17.28 percent is 
apportioned to states for state planning activities. These are 
the same percentages as provided under current law. The total 
amount of funding authorized for planning activities has been 
increased from 1 percent of the total program under current law 
to 1.25 percent, in recognition of additional funding needs 
resulting from the designation of 46 new urbanized areas in the 
2000 Census.
    The Research program is funded under subsection 5338(d). 
For fiscal year 2004, the funding is split-funded, and for 
fiscal years 2005-2009, the funding is authorized to be 
appropriated from the general fund. There are a number of 
allocations made from the total formula grants funding for: the 
transit cooperative research program, management of the 
national transit database, the National Transit Institute 
transit training facility at Rutgers University, and Project 
Action, a national technical assistance program for providers 
of transportation services to the disabled. The remainder of 
funds under this subsection are available for the national 
research and technology programs. In subsection 5338(e), 
funding is authorized for university transportation research. 
This complements funding made available for these programs 
under the Federal-aid Highway program in Title V of the bill.
    Funding for administration of the Federal transit programs 
is provided under subsection 5338(f). For fiscal year 2004, the 
funding is split-funded, and for fiscal years 2005-2009, the 
funding is authorized to be appropriated from the general fund.

Sec. 3035. Over-the-Road Bus Accessibility Program

    This section amends Section 3038 of TEA 21 regarding the 
over-the-road bus accessibility program, which provides grants 
to intercity and charter bus providers for incremental costs of 
equipment to reach compliance with the Americans with 
Disabilities Act. The TEA 21 provision regarding Federal share 
is amended by increasing the Federal share for such project 
costs from 50 percent to 80 percent.

Sec. 3036. Updated terminology

    This section amends chapter 53 of title 49, United States 
Code by striking ``mass transportation'' and replacing it with 
``public transportation.''

Sec. 3037. Project authorizations for new fixed guideway capital 
        projects

    This section lists the projects that are authorized under 
the section 5309 new starts and small starts programs for 
fiscal years 2004 through 2009. Existing full funding grant 
agreements are listed separately from projects authorized for 
final design and construction and those authorized for 
alternatives analysis and preliminary engineering.
    In subsection 3037(a), 23 new start projects originally 
authorized in the Intermodal Surface Transportation Efficiency 
Act (ISTEA) or in TEA 21 have continued authorizations with the 
amount specified by fiscal year that remains outstanding under 
the schedule of federal funds for the project (or ``schedule 
6'') attached to each project's full funding grant agreement 
contract with the FTA. The first responsibility of the 
Appropriations Committees in providing funds for new fixed 
guideway capital projects must be to ensure that each project 
under a full funding grant agreement receives the full amount 
specified for the fiscal year in which it is programmed. Under-
funding full funding grant agreements is very damaging to the 
financial management of the project and to the overall capital 
and operating budget of the sponsoring agency, and may 
jeopardize private financing for the local share of such 
project costs.
    In subsection 3037(b), new fixed guideway capital projects 
that are ongoing projects in the new starts pipeline and are 
currently in preliminary engineering or final design are 
authorized for final design and construction.
    In subsection 3037(c), new fixed guideway capital projects 
that have not yet been approved for preliminary engineering by 
the FTA or that were not previously authorized under TEA 21 are 
authorized for alternatives analysis and preliminary 
engineering.
    Subsection 3037(d) provides fixed dollar authorizations for 
the amounts outstanding under current full funding grant 
agreements for five projects that are essentially complete, but 
have very small amounts of federal funding remaining.
    Subsection 3038(e) sets out rules relating to new starts 
and small starts funding for the life of the authorization. In 
general, all projects that are authorized under subsection (a) 
may expend Federal funds only for final design and construction 
activities. Projects that are authorized under subsection (b) 
may expend Federal funds for final design and construction, and 
for alternatives analysis and preliminary engineering 
activities. Projects that are authorized under subsection (c) 
may expend Federal funds only on alternatives analysis and 
preliminary engineering activities. However, on October 1, 
2006, projects authorized under subsection (c) shall also be 
authorized for final design and construction. Minimum funding 
levels are established for appropriations for each fiscal year 
in the full funding grant agreement category (subsection a) and 
the final design and construction category (subsection b), and 
maximum funding levels are established for each fiscal year in 
the alternatives analysis and preliminary engineering category 
(subsection c). Subsection 3037(b) projects authorized for 
final design and construction that execute a full funding grant 
agreement with FTA after the date of enactment of this Act are 
to be given the full amount indicated in the schedule of 
federal funds for the project for each fiscal year under the 
agreement.
    Subsection 3037(f) amends the project description for the 
New Jersey Urban Core project originally authorized in section 
3031(d) of ISTEA. This authorization was expanded in TEA 21 and 
is further amended in this legislation. Elements of New Jersey 
Urban Core project include:
    
 The Secaucus Transfer, which consists of 
construction of a new rail transfer station at the intersection 
of the Northeast Corridor and the Main, Bergen and Pascack 
Valley Lines as well as a rail spur north to the Meadowlands 
Sports Complex and a connection to the Hudson River Waterfront 
Transportation System.
    
 The Lackawanna Cutoff, which is the restoration of 
passenger rail service between Port Morris, NJ and Scranton, 
PA.
    
 The Kearny Connection, which is a connection in 
Kearny allowing Morris and Essex Line commuter rail trains to 
access the Northeast Corridor to New York.
    
 The Waterfront Connection, which is a connection 
allowing Northeast Corridor commuter rail trains to access the 
Morris and Essex Lines to Hoboken.
    
 The Northeast Corridor Signal System, which is the 
implementation of a high- density signal system on the 
Northeast Corridor between Newark and New York City.
    
 The Hudson River Waterfront Transportation System, 
which is being implemented as three segments of Hudson-Bergen 
Light Rail. The first segment runs from Hoboken Terminal south 
to 34th Street in Bayonne with a spur to West Side Avenue in 
Jersey City. The second segment extends the first segment south 
from 34th Street to 22nd Street in Bayonne and north from 
Hoboken to TonnelleAvenue in North Bergen. The third segment 
extends the line south from 22nd Street to 5th Street in Hoboken and 
North from Tonnelle Avenue to the Vince Lombardi Park & Ride in 
Ridgefield. The Hudson River Waterfront Transportation System also 
includes extensions from the Vince Lombardi Park & Ride in Ridgefield 
west to Saddlebrook and east to Edgewater.
    
 The Northern Branch Line or the West Shore Line, 
which consists of either an extension from the Hudson River 
Waterfront Transportation System north along the Northern 
Branch freight line to New York State, or a commuter rail 
extension north from Secaucus Transfer and the Meadowlands Rail 
Spur across the Meadowlands to the West Shore freight line, 
which extends into New York State.
    
 The Newark-Newark International Airport-Elizabeth 
Transit Link, which is a light rail project running from Newark 
Penn Station south through downtown Newark into Union County, 
including Newark Liberty International Airport Rail Station, 
the Jersey Gardens Mall, downtown Elizabeth, then proceeding 
west to Plainfield.
    
 The rail connection between Newark Penn and Broad 
Street stations, which is a light rail circulator service in 
downtown Newark, being implemented as the Newark Elizabeth Rail 
Link.
    
 The New York Penn Station Concourse, which is a 
station expansion project in New York Penn Station.
    
 The restoration of commuter rail service in 
Monmouth, Ocean and Middlesex counties, which consists of 
restored rail service from Lakehurst north to Freehold and 
proceeding either west to connect with the Northeast Corridor 
through Jamesburg or north to connect with the North Jersey 
Coast Line in Matawan.
    New Jersey Urban Core also provides for the construction of 
any appropriate rail service in Passaic County and the 
equipment necessary to service all project elements.
    Subsection 3037(g) directs that project elements of the New 
Jersey Trans-Hudson Midtown Corridor that have been advanced 
with 100 percent non-Federal funds shall be given consideration 
by the FTA when evaluating the local share of the project in 
the new starts rating process, including the purchase of bi-
level rail equipment.

Sec. 3038. Projects for bus and bus-related facilities

    This section lists bus and bus facilities projects and 
associated funding levels for fiscal years 2005, 2006, and 
2007. Each year's designated funding represents half of the 
authorized amount for section 5309 bus and bus facility 
projects for that fiscal year.

Sec. 3039. National Fuel Cell Bus Technology Development Program

    This section authorizes a new fuel cell bus technology 
development program for hydrogen fuel cell and liquid methanol 
fuel cell bus technologies, in order to facilitate the 
development of commercially viable fuel cell bus technology and 
related infrastructure. The program is limited to four 
recipients, at a Federal share of 50 percent.

Sec. 3040. Extension of public transit vehicle exemption from axle 
        weight restrictions

    This section amends Section 1023(h)(1) of the Intermodal 
Surface Transportation Efficiency Act of 1991 by extending from 
the current exemption from the per-axle weight limitation for 
buses used in public transportation.

Sec. 3041. High-Intensity Small-Urbanized Area Formula Grant Program

    This section establishes a new set-aside program from the 
section 5307 urbanized area formula grants that provides a 
small bonus grant payment to urbanized areas under 200,000 in 
population that operate at a level of service above the 
industry average level of service in similarly-sized urbanized 
areas in one or more of six performance categories: passenger 
miles traveled per vehicle revenue mile, passenger miles 
traveled per vehicle revenue hour, vehicle revenue miles per 
capita, vehicle revenue hours per capita, passenger miles 
traveled per capita, and passengers per capita. These 
performance categories and a methodology established for 
providing bonus grants were established in the September 2000 
FTA report to Congress called ``The Urbanized Area Formula 
Program and the Needs of Small Transit Intensive Cities.''

Sec. 3042. Allocation for national research and technology programs

    This section establishes seven specific research areas 
within the Federal Transit Administration's national research 
and technology program, and allocates funding levels in each 
fiscal year of the authorization period for these research 
areas. These research focus areas were developed through 
conferring with the FTA and reflecting priorities established 
in the agency's Research and Technology Strategic Plan. The 
programmatic structure and funding floors for each research 
area will help ensure that adequate funding is provided 
throughout the authorization period to establish and carry out 
meaningful programs with depth and continuity.

Sec. 3043. Obligation ceiling

    This section sets the annual obligation ceiling for Federal 
Transit Administration programs authorized by this Act for 
fiscal years 2004 through 2009, including both amounts made 
available from the Mass Transit Account of the Highway Trust 
Fund and general funds from the U.S. Treasury. The total 
obligation authority for each fiscal year is guaranteed to be 
provided in the fiscal year for which it is set under the 
budgetary firewalls established in section VIII of the bill.

Sec. 3044. Adjustments for the Surface Transportation Extension Act of 
        2004

    This section provides for the funding reconciliation of 
apportionments and allocations made to transit grant recipients 
under this Act with the levels of funding already made 
available under the Surface Transportation Extension Act of 
2004, which expires April 30, 2004.

           TITLE IV--MOTOR CARRIER SAFETY AND TRANSPORTATION


              Subtitle A--Commercial Motor Vehicle Safety

    The Motor Carrier Safety Improvement Act of 1999 (MCSIA) 
(P.L. 106-159) established the FMCSA within the Department of 
Transportation (DOT) on January 1, 2000. Prior to the enactment 
of MCSIA, commercial motor vehicle-related crashes involving 
fatalities and injuries had been steadily climbing and it was 
determined that the creation of a separate modal administration 
within the DOT would improve truck and bus safety. According to 
data compiled by the DOT, large trucks \1\ represent about 
three percent of registered vehicles; however, they account for 
seven percent of the vehicle-miles traveled on our Nation's 
highways, and are involved in about 11 percent of all fatal 
crashes.
---------------------------------------------------------------------------
    \1\ Large truck is defined as a commercial motor vehicle with a 
gross vehicle weight of 10,001 pounds or more.
---------------------------------------------------------------------------
    FMCSA's primary responsibility is to enforce the Federal 
motor carrier safety and hazardous materials regulations, 
including the requirements governing Mexico-domiciled 
commercial motors vehicles operating in the United States. The 
FMCSA also administers the Commercial Drivers' License (CDL) 
program, oversees the interstate transportation of household 
goods, and all aspects of hazardous materials transportation 
via highway. The FMCSA has been directed to accomplish these 
responsibilities through increased enforcement of the safety 
regulations, expedited completion of rulemaking proceedings, 
scientific research, and improved commercial driver's licensing 
programs.
    FMCSA has set a goal of reducing the rate of fatalities in 
large truck crashes by 39 percent between 1999, the year prior 
to the agency's creation, and 2008, from a rate of 2.7 
fatalities per 100 million vehicle miles traveled (VMT) to a 
rate of 1.65. The commercial motor vehicle fatality rate, 
factoring in increases in VMT, was reduced to 2.28 in 2002, a 
reduction of 7 percent from 2001 when the rate was 2.45. The 
commercial motor vehicle fatality rate reduction in 2002 marked 
the fifth consecutive year the rate had been reduced.

Sec. 4101. Authorization of appropriations

    From the day of burro-drawn wagons moving our goods to the 
current day intermodal, just-in-time delivery system, 
commercial vehicles have always played an important role in our 
Nation's economy. To ensure this vital system continues in a 
safe and efficient manner, the Committee has reported out this 
legislation.
    This section provides funding from the Highway Trust Fund, 
other than the Mass Transit Account, for FMCSA to implement 
safety programs for fiscal years 2004 through 2009. Funding for 
the Motor Carrier Safety Assistance Program is authorized in 
section 1402 of this title.
    This bill authorizes FMCSA and its programs to be funded 
through contract authority. Under the Transportation Equity Act 
for the 21st Century (TEA 21), which was enacted 18 months 
prior to the creation of FMCSA, the agency's administrative 
expenses were funded through a deduction of the Federal Highway 
Administration's (FHWA) administrative expenses. This set-aside 
of Federal-aid funds is called a ``takedown''. MCSIA amended 
TEA 21 by increasing the takedown to one-third of one percent 
from the FHWA's administrative expenses to administer FMCSA 
activities. Other than the first year of enactment, the 
takedown has proven to be ineffective for funding the motor 
carrier safety program adequately. In addition, the takedown 
has not been adequate for additional safety and program needs 
created with the implementation of the North American Free 
Trade Agreement, and the security improvements needed in 
response to the terrorist attacks of September 11, 2001. 
Therefore, it is appropriate to create new contract authority 
for FMCSA expenses.

Sec. 4102. Motor carrier safety grants

    An important FMCSA responsibility is managing the Motor 
Carrier Safety Assistance Program (MCSAP), which provides 
grants to States for the enforcement of the Federal safety and 
hazardous materials regulations governing commercial motor 
vehicles. Safety enforcement under MCSAP is primarily achieved 
through roadside inspections and safety compliance reviews. 
MCSAP grants are authorized to provide up to 80 percent of 
State program costs. The MCSAP was initiated in the early 1980s 
and the program has grown in size every year since. From 1997 
to 2003, the annual authorization grew from $78.2 million to 
$189 million. In 2003, MCSAP officers conducted over 2.9 
million commercial motor vehicle and driver inspections 
nationwide, with approximately 7 percent of drivers and 23 
percent of vehicles placed out of service for violations of the 
safety and hazardous materials regulations. Under current law, 
MCSAP agencies may be reimbursed for traffic enforcement 
activities when those activities are conducted in conjunction 
with safety inspections, while conducting weight inspections, 
or while conducting a drug interdiction inspection.
    Subsection (a) of this section would reauthorize the Motor 
Carrier Safety Assistance Program, with a number of changes. In 
addition to increases in authorized funding levels, the program 
would be amended to require the States to include five new 
requirements in their annual commercial vehicle safety plans. 
The first would require the implementation of performance-based 
activities, including deployment of technology to enhance the 
efficiency and effectiveness of commercial motor vehicle safety 
programs. The second would require States to include in their 
training manuals, for all drivers' licensing examinations, 
information about best practices for safely sharing the road 
with trucks and cars. States would also be required to enforce 
the registration requirements of section 13902, of title 49, 
United States Code, by removing from service vehicles that are 
unregistered or operating beyond the scope of their 
registration. Another change would require States to conduct 
highly visible traffic enforcement programs in locations or 
corridors that have been identified as having a high incidence 
of car and truck crashes. The final change would require States 
to establish a program ensuring that all information and data 
provided to the Secretary that is used for safety rating 
purposes, or in identifying high-risk carriers, is accurate, 
timely, and complete.
    Subsection (b) of this section details the new activities 
for which States can use funds provided under the Motor Carrier 
Safety Assistance Program. These activities would include the 
ability to conduct traffic enforcement on commercial motor 
vehicles without a corresponding safety inspection and on non-
commercial motor vehicles whenthe behavior of the drivers of 
smaller vehicles increases the risk of crashes involving commercial 
motor vehicles. The Secretary would also be required to provide an 
annual report to Congress detailing the effect these new activities and 
requirements have had on commercial motor vehicle and highway safety.
    The Committee intends this new authority in the MCSAP to be 
used for conducting highly visible roadside enforcement 
activities in high crash corridors. The Committee intends these 
changes to establish a commercial motor vehicle and highway 
safety program similar to State impaired driving programs, as 
well as ``buckle-up'' campaigns. With these changes in mind, 
the Committee has also increased funding for outreach and 
education currently conducted by FMCSA. With this legislation, 
the outreach program will be jointly managed by FMCSA and 
NHSTA. The Committee believes combining enforcement activities 
with a robust outreach and education program is necessary to 
maximize the results.
    Subsection (c) of this section authorizes funding for the 
Motor Carrier Safety Assistance Program. This funding is for 
the basic grant program, high priority grants, and the new 
entrant program. This bill does not continue the incentive 
program for MCSAP. By increasing the funding total and removing 
the incentive program the Committee will ensure more resources 
go to the core function of the MCSAP program, conducting 
commercial motor vehicle and driver safety and hazardous 
materials inspections.
    Subsection (d) of this section provides the Federal Motor 
Carrier Safety Administration the authority to provide grants 
without a matching requirement to the States to conduct safety 
audits of new entrant motor carriers. This subsection also 
increases the current amount of Motor Carrier Safety Assistance 
Program funding available for high priority activities to 10% 
of the total funds authorized. The funding may be used for 
activities designed to improve all information and data 
provided to the Secretary from the State that is used for 
safety rating purposes, or for identifying high-risk carriers. 
In addition, this subsection also allows the Secretary to use 
up to $15,000,000 each fiscal year to conduct safety audits of 
new entrant motor carriers described in subsection (c).
    Subsection (e) contains a technical amendment.

Sec. 4103. Border enforcement grants

    Subsection (a) deletes contract authority funding for 
information systems by striking the section where it currently 
is located. Funding for information systems is now included in 
the administrative expenses. Subsection (a) also creates a new 
grant program for Border Enforcement Programs.
    This grant program is for State enforcement activities at 
the Canadian and Mexican borders. No Federal activity would be 
conducted using this money. States would be authorized to use 
the grants for virtually anything related to CMV safety 
enforcement and compliance with State and Federal CMV 
requirements involving foreign motor carriers, including the 
purchase of land and buildings. Grant recipients could not use 
Federal funds to replace State funds and they would be required 
to maintain the average level of border-related expenditures 
during fiscal years 2002-2003. It is intended, and quite 
possible, that this money will not be distributed to every 
State that shares a border with another Country, but will only 
be distributed to States with an identified need.
    These grants do not require a State match.
    Subsection (b) includes the conforming amendments necessary 
for the changes made in subsection (a).

Sec. 4104. Commercial driver's license improvements

    Subsection (a) creates a new program for commercial 
driver's license improvement grants. These grants would enable 
States to improve the implementation of their commercial 
driver's license programs. The grants may be used to improve 
training, computer software, computer hardware, publications, 
testing, quality control, and to hire personnel. However, the 
funds received under this program must first be used to ensure 
the State has met the commercial driver's license program 
improvements that were required in the Motor Carrier Safety 
Improvement Act. Unlike the border grants, these funds may not 
be used to purchase land or buildings.
    In order to apply for a grant, the State must first conduct 
a self-assessment of their commercial driver's license program 
identifying deficiencies within their commercial driver's 
licensing program. Based on these assessments, the State will 
then apply for the appropriate amount of funding to correct 
these issues. The State must also maintain an average level of 
commercial driver's license expenditures during the fiscal 
years 2002-2003. The government share for these grants is 80 
percent. Five percent of these funds will be set aside for high 
priority commercial driver's license activities.
    Subsection (b) includes the conforming amendments necessary 
for the changes made in subsection (a).
    Subsection (c) would authorize the Secretary to redirect up 
to 5 or 10 percent of the funds a State receives under this 
program, if the State is found to be in serious non-compliance 
with the commercial driver's license programs. The penalty 
provisions found in the CDL statutes have been amended to 
encourage the Secretary, through more flexibility, to assess 
penalties for non-compliance.

Sec. 4105. Hobbs act

    Subsection (a) would amend the Hobbs Act to make explicit 
the interpretation given to that act by a series of decisions 
of the U.S. Circuit Courts of Appeal.
    In 1966, when the Department of Transportation (DOT) was 
created, Congress transferred responsibility for regulating 
motor carrier safety and driver qualifications from the former 
Interstate Commerce Commission (ICC) to the Department.
    Sections 351(a) and 352 of title 49 provide for the same 
method of judicial appeal from actions based on these 
transferred functions as would have been required had the 
functions remained with the ICC. Prior to 1966, ICC orders were 
reviewed by three-judge District Courts, with a right of direct 
appeal to the Supreme Court. In 1975, Congress altered the path 
of review for ICC actions, substituting for the three-judge 
District Court, a right of direct appeal to the Court of 
Appeals for the relevant jurisdiction. This statute is known as 
the Hobbs Act (28 U.S.C. 2321, 2342).
    The ICC was abolished in 1995 and most of its remaining 
functions weretransferred to the newly created Surface 
Transportation Board (STB) or to FMCSA. The corresponding revisions to 
the Hobbs Act, however, created uncertainty.
    That raised the question whether an action by FMCSA 
pursuant to the safety authority transferred in 1966 could 
still be reviewed by the Courts of Appeal, since section 
2342(3)(A) applied to the commercial statutes, while section 
2342(5) applied to actions of the STB.
    Subsection (a) would be amended to ensure that both of 
these issues would be covered by inserting in section 
2342(3)(A) a reference to ``subchapter III of chapter 311, 
chapter 313, and chapter 315 of Part B of subtitle VI of title 
49.'' FMCSA's safety statutes are codified there, including 
statutes enacted after 1966. All safety statutes would thus be 
subject to exclusive review by the Courts of Appeal.
    Subsections (b) and (c) would simply replace the term 
``Federal Highway Administration'' with ``Federal Motor Carrier 
Safety Administration'' in 49 U.S.C. 351(a) and 352. The ICC's 
motor carrier safety functions were exercised by FHWA until the 
fall of 1999 and were statutorily entrusted to FMCSA when it 
was created on January 1, 2000. Because FHWA retains no duties 
or powers transferred from the ICC, sections 351(a) and 352 
should refer to FMCSA.

Sec. 4106. Penalty for denial of access to records

    FMCSA investigators have broad authority to inspect and 
copy motor carrier and shipper records (see 49 U.S.C. 504(c), 
31133(a)). The majority of carriers and shippers readily grant 
access to requested records, however, some deliberately impede 
the investigative process by refusing to set an audit date, or, 
after setting a date, by ordering investigators off the 
premises--occasionally with a show of force. Others take a more 
subtle approach, feigning illness or declaring an ``emergency'' 
during the audit; pleading inability to produce records because 
of the absence of key personnel; or delivering documents at a 
pace designed to prolong the audit beyond the time available to 
the investigator.
    FMCSA can issue an administrative subpoena for documents, 
and the refusal to comply requires the agency to file an action 
in Federal court to enforce the subpoena. This process, though 
effective, is relatively slow and labor-intensive, and the cost 
to a carrier or shipper who does not seriously contest the 
action is minimal.
    New section 521(b)(2)(E) would create a financial penalty 
to dissuade any uncooperative carriers or shippers from denying 
or impeding FMCSA's legitimate access to records.

Sec. 4107. Medical review board

    This section requires the FMCSA to establish a Medical 
Review Board to serve as a source of up-to-date medical advice 
for the FMCSA on matters related to driver qualification rules, 
guidelines for medical examiners, and standards for medical 
exemptions under 49 U.S.C. 31315(b).
    The Committee has included the Administration's proposal 
for establishing a five-member Medical Review Board to make 
recommendations on medical standards for commercial drivers, 
medical examiner education, and medical research. Due to the 
variety of motor carrier operations and the sheer number of 
commercial drivers, the Committee is not overly prescriptive in 
describing how FMCSA should conduct this proposal. With over 
6.5 million commercial drivers requiring biennial medical 
certifications, permitting FMCSA to set the standard for who 
should be allowed to conduct physical examinations, with the 
help of the Medical Review Board, is the most feasible way to 
ensure no disruption in the medical certification system 
currently in place. Having this provision will ensure medical 
examiners know the driver qualification standards and 
guidelines, while understanding the mental and physical demands 
involved in driving a commercial motor vehicle.

Sec. 4108. Increased penalties for out-of-service violations and false 
        records

    Subsection (a) would double the penalties for recordkeeping 
violations under 49 U.S.C. 521(b)(2)(B) up to $1,000 for each 
day the offense continues, or up to $10,000 for an offense that 
conceals the fact that a non-recordkeeping violation occurred. 
Recordkeeping violations frequently have no other purpose than 
to conceal a safety violation, and they often succeed. Higher 
penalties should reduce both the number of recordkeeping 
violations and the number of safety violations as well.
    The current penalties under 49 U.S.C. 31310(i)(2) for a 
driver who violates an out-of-service (OOS) order are, for a 
first offense, a 90-day disqualification from operating a CMV 
and a civil penalty of at least $1,000 and for a second 
offense, disqualification for one to five years and a civil 
penalty of at least $1,000. An employer who knowingly allows or 
requires a driver to violate an OOS order is subject to a civil 
penalty of up to $10,000. OOS orders can be issued for a 
variety of reasons: for failure to pay civil penalties on 
schedule, for having an unsatisfactory safety rating, for 
violating the agency's hours-of-service or equipment 
regulations, or because the motor carrier constitutes an 
imminent hazard. Enforcement officers cannot afford to spend 
hours monitoring a single OOS vehicle, and tracking possible 
movements of an entire OOS fleet is even more difficult. As a 
result, many OOS orders are violated. One effective deterrent 
to violating an OOS order is to raise the cost to violators. 
Subsection (b) would increase to a maximum of $25,000 the civil 
penalty for a motor carrier that knowingly orders a driver to 
proceed despite an OOS order. An employer that knowingly and 
willfully ignores OOS orders is liable to imprisonment for up 
to a year or a fine of up to $100,000 if the violation did not 
result in death, or up to $250,000 if it did result in death, 
or both. But drivers sometimes decide to ignore an OOS order. 
Subsection (b) would also increase a driver's penalty for a 
first offense to a 180-day disqualification and a civil penalty 
of at least $2,500, and, for a second offense, to a two to five 
year disqualification and a civil penalty of up to $5,000.

Sec. 4109. Commercial vehicle information systems and networks 
        deployment

    This section moves the commercial vehicle information 
system and networks deployment program out of FHWA and to FMCSA 
in order to streamline the grant process. Historically, FMCSA 
has been responsible for implementing and deploying thisprogram 
with the money passing through FHWA. This streamlined process is 
intended to ensure the completion of the core deployment of commercial 
vehicle information systems and networks. It also will help with the 
expanded deployment of the program.
    Subsection (a) provides general direction to carry out the 
commercial vehicle information systems and networks deployment 
program.
    Subsection (b) describes the overall purpose of the 
commercial vehicle information systems and networks deployment 
program.
    Subsection (c) would require the Secretary to make grants 
of up to $2.5 million for the core deployment of commercial 
vehicle information systems and networks. A State that has 
previously received funding for the core deployment of 
commercial vehicle information systems and networks would 
receive a grant that has been reduced by the amount of funds 
previously received for core deployment. States that have not 
previously received funding for core deployment would receive a 
grant of $2.5 million. To be eligible for a core deployment 
grant, a State must have a program plan and must certify that 
its activities are consistent with National Intelligent 
Transportation Systems and Commercial Vehicle Information 
Systems and Networks architectures and available standards, and 
must agree to execute a successful interoperability test. The 
use of the grant would be limited to core deployment 
activities.
    Subsection (d) would authorize the Secretary to make grants 
to States for the expanded deployment of commercial vehicle 
information systems and networks. The amount of the grants 
would be determined by the amount of funds that remain after 
the core deployment grants have been made and by the number of 
States that request an expanded deployment grant. The maximum 
expanded deployment grant that may be given to a State in a 
fiscal year would be $1 million. Only States that have 
completed core deployment would be eligible for an expanded 
deployment grant.
    Subsection (e) describes the eligibility requirements to 
receive these grants. Subsection (f) provides that the Federal 
share of grant funds under this section would be 50 percent. 
The Federal share for funds used for commercial vehicle 
information systems and networks from all eligible sources 
would be 80 percent.
    Subsection (g) provides definitions for terms used in this 
section.
    Subsection (h) repeals Section 5209 of TEA 21 that 
established the commercial vehicle information systems and 
networks program.

Sec. 4110. Safety fitness

    As defined in 49 U.S.C. 31132(1), a vehicle is not a 
commercial motor vehicle unless it operates in interstate 
commerce. One of the implications of the definition is that the 
Secretary's authority to determine the safety fitness of CMV 
owners and operators encompasses the accident and safety 
inspection record of such companies or individuals on 
interstate trips, but not on intrastate trips. Most interstate 
motor carriers also have substantial intrastate operations.
    For purposes of safety, it is artificial and 
counterproductive to create two classes of accidents and safety 
inspection data--one subject to Federal jurisdiction, the other 
not--when both involve the same vehicles, drivers, dispatchers, 
mechanics, and safety management controls, and may cause the 
same kind of death, injury, or physical damage. In examining a 
motor carrier's accident and inspection data, it is often 
difficult, and sometimes impossible, to determine whether the 
vehicle involved was making an interstate or intrastate trip.
    In order to simplify and rationalize the analysis of 
accident data and provide a complete picture of the safety of 
motor carrier operations, subsection (a) requires the 
Secretary, in the course of determining the safety fitness of 
commercial motor vehicle (i.e., interstate) owners and 
operators, to consider the accident and inspection record of 
such owners and operators both on interstate and intrastate 
trips.
    In addition, owners and operators of commercial motor 
vehicles who are determined to be unfit and prohibited from 
operating in interstate commerce, would also be prohibited by 
subsection (b) from operating commercial motor vehicles in 
intrastate commerce until they are able to demonstrate their 
fitness.
    Subsection (c) would direct the Secretary to place all 
interstate operations of a motor carrier out of service if a 
State, using the Federal safety fitness standards prescribed 
under 49 U.S.C. 31144(b), has placed out of service the 
intrastate operations of a carrier that has its principal place 
of business in that State.
    A Federal safety determination that an interstate motor 
carrier is unfit would thus halt both its interstate and 
intrastate operations, while a State safety determination that 
an intrastate carrier is unfit will halt both its intrastate 
and any interstate operations.
    This subsection also provides the Secretary the authority 
to make grants to the States to conduct new entrant safety 
audits. This funding requires no State match; however, if the 
Secretary determines that a State is unable to use government 
employees to conduct these activities, the Secretary may 
utilize the funding to conduct new entrant audits with Federal 
resources.

Sec. 4111. Patterns of violations by motor carrier and broker 
        management

    Some motor carrier and brokers managers order, encourage, 
or tolerate widespread regulatory violations and, when caught, 
declare bankruptcy, rename the company and reshuffle the 
managers' titles, sell its assets to a pre-existing shell 
corporation owned and managed by the same people, or otherwise 
attempt to evade the payment of civil penalties, obscure the 
identity of the company and thus its violation record, and 
perpetuate a casual indifference to regulatory compliance and 
public safety. Although the total number of such managers is 
small, their actions create risks disproportionate to their 
numbers.
    This section would address these problems. It would amend 
49 U.S.C. 31135 to authorize the Secretary to suspend, amend, 
or revoke the registration of a for-hire motor carrier if any 
of its officers has engaged in a pattern or practice of 
avoiding compliance, or concealing non-compliance, with Federal 
standards. The Secretary could also deny an application to 
register as a for-hire motor carrier or broker if any of the 
proposed officers of the company has engaged in a pattern of 
non-compliance. In this context, ``officer'' means owner, chief 
executive officer, chief operating officer, chief financial 
officer, safety director, vehicle maintenance supervisor, and 
driver supervisor.
    This provision would not apply to all officers whose 
companies are found to be in violation of the Federal safety 
rules. Rather, it is intended to authorize the Secretary 
toforce out of the industry those few who have shown unusual and 
repeated disregard for compliance.

Sec. 4112. Motor Carrier Research and Technology Program

    This section authorizes a comprehensive FMCSA research and 
technology program. The goal is to support--through contracts, 
cooperative agreements, and grants--research designed to 
produce innovative advances in motor carrier, driver, and 
passenger safety. Equally critical, however, would be the 
transfer of promising results--whether technical or 
operational--to potential users and rapid deployment of the 
products of research and development.
    The Federal share of the cost of activities carried out 
under a cooperative research and development agreement could 
not exceed 50 percent, except if there is substantial public 
interest or benefit, the Secretary could approve a greater 
Federal share.

Sec. 4113. International cooperation

    This section authorizes the Secretary, and thus the Federal 
Motor Carrier Safety Administration (FMCSA), to engage in 
international activities. This authority is necessary to aid in 
implementing the North American Free Trade Agreement and to 
carry on discussions with U.S. trading partners concerning a 
variety of safety issues.

Sec. 4114. Performance and registration information systems management

    Subsection (a) updates the current statute to more closely 
follow how the performance and registration information systems 
management (PRISM) program is currently administered.
    Subsection (b) establishes a new separate grant program for 
PRISM. These grants do not require a State match.

Sec. 4115. Data quality improvement

    This section adds language to the current information 
systems requirements to ensure that the data FMCSA receives 
from the States is timely, accurate, and complete.

Sec. 4116. Driveaway saddlemount vehicles

    This section creates a new national standard for the 
maximum length of drive-away saddlemount with fullmount vehicle 
transporter combinations operated on the Interstate Highway 
System.

Sec. 4117. Completion of uniform carrier registration

    This section repeals the single state registration system 
and requires FMCSA to complete a rule-making for an on-line 
registration system to replace the old registration system 
originally administered by the Interstate Commerce Commission. 
This rule-making must be completed within one year.

Sec. 4118. Registration of motor carriers and freight forwarders

    This section harmonizes the jurisdictional reach of the 
commercial and the safety statutes by eliminating the 
requirement for motor carriers to register if they are not 
subject to the Federal motor carrier safety regulations.

Sec. 4119. Deposit of certain civil penalties into Highway Trust Fund

    This section amends current law by requiring the deposit of 
all civil penalties collected from motor carriers for 
violations of the Federal insurance requirements into the 
Highway Trust Fund, other than the Mass Transit Account.

Sec. 4120. Outreach and education

    This section authorizes the Secretary to conduct an 
outreach and education program through the FMCSA and NHTSA to 
promote highway safety. Elements of the program shall include a 
comprehensive national effort to educate commercial motor 
vehicle and passenger vehicle drivers about how to share the 
road safely with each other, as well as an emphasis on traffic 
enforcement aimed at reducing the most common driving behaviors 
that cause or contribute to crashes, similar to such programs 
as ``Click It or Ticket'' and drunk driving awareness 
campaigns. The Secretary is required to provide an annual 
report each year demonstrating the programs and activities 
carried out under this section.
    The Committee has significantly increased the funding for 
the outreach and education program currently conducted by 
FMCSA, but with this legislation, the outreach program will be 
jointly managed by FMCSA and NHSTA. Although, the Committee 
believes a strong enforcement program is important for 
improving commercial motor vehicle and highway safety, 
combining enforcement activities with a robust outreach and 
education program is necessary to maximize the results. Also, 
consistent with the recommendations in the U.S. General 
Accounting Office report GAO-03-680, the Committee recommends 
that the outreach and education activities conducted by FMCSA 
are directly linked to the program's goal and establish a 
systematic process for evaluating the effectiveness of the 
program.

Sec. 4121. Insulin-treated diabetes mellitus

    This section requires the Secretary to allow individuals 
who use insulin to treat their diabetes to operate commercial 
motor vehicles in interstate commerce without requiring the 
individual to have experience operating a commercial motor 
vehicle while using insulin.
    The Committee directs FMCSA to issue a final rule to amend 
the current exemption program to allow individuals who use 
insulin to treat their diabetes to operate commercial motor 
vehicles in interstate commerce that is consistent with the 
findings of the expert medical panel report issued in July 
2000. That report concluded that individuals could be qualified 
to operate a commercial motor vehicle following a one- to two-
month period of adjustment to insulin use. This provision is 
intended to preempt FMSCA's notice of final disposition issued 
September 3, 2003, which requires an individual to have three 
years of experience operating a commercial motor vehicle in 
intrastate commerce while using insulin for treatment of 
diabetes before the individual could qualify to drive in 
interstate commerce. According to the American Diabetes 
Association, approximately 20 States do not have an intrastate 
exemption program for insulin-dependent commercial drivers, 
therefore, these drivers would never be able to meet the 
Federal requirement to drive in interstate commerce. The 
Committee is concerned that by issuing a notice of final 
disposition that is inconsistent with the finding of FMCSA's 
own expert medical panel, qualified drivers may not be able to 
get employment.

Sec. 4122. Grant program for commercial motor vehicle operators

    This section would establish a grant program to train 
drivers and future drivers of commercial motor vehicles to 
operate such vehicles in a safe manner.

Sec. 4123. Commercial Motor Vehicle Safety Advisory Committee

    This section requires the establishment of a commercial 
motor vehicle safety advisory committee to provide advice and 
recommendations on a range of commercial motor vehicle safety 
issues. Members are appointed by the Secretary and include 
representatives of industry, drivers, safety advocates, 
manufacturers, safety enforcement officials, representatives of 
law enforcement agencies from border States, and other 
individuals affected by rulemakings. No one interest may 
constitute a majority. The advisory committee should provide 
advice to the Secretary on commercial motor vehicle safety 
regulations and other matters relating to activities and 
functions of the FMCSA.

Sec. 4124. Safety Data Improvement Program

    This section establishes a grant program to the States 
dedicated to improving the quality and timeliness of the data 
provided to the Secretary. Prior to receiving a grant under 
this section, the State must complete an audit of its safety 
data system and develop a plan recognizing the needs and goals 
for improving its safety data system. The Secretary must 
provide a report every two years on the results of the program 
carried out under this section.
    The Safety Data Improvement program is intended to address 
safety data problems identified in the DOT Inspector General's 
audit of the FMSCA database. FMSCA's limited resources require 
focusing on the motor carriers who are considered most ``at 
risk''. In order to do this, the data FMCSA uses for selecting 
carriers must be accurate, and timely. The Committee is 
concerned that without additional funding, the States may have 
trouble improving their data reporting.

Sec. 4125. Commercial driver's license information system improvements

    This section creates a grant program to be used to 
modernize the commercial driver's license information system 
(CDLIS). Since the creation of the CDLIS, improvements to the 
database and operability of the system have not kept up with 
improvements in technology. This program will help to modernize 
the system and improve the State licensing and Federal 
enforcement personnel's ability to access the necessary 
information.
    This section also allows the Secretary to conduct a pilot 
project in 3 States to evaluate a program for sharing 
information about all drivers' licenses, both commercial and 
non-commercial, between States.

Sec. 4126. Maximum hours of service for operators of ground water well 
        drilling rigs

    For operators of commercial motor vehicles transporting 
ground water well drilling rigs, this section preserves the 24-
hour restart provision enacted in the NHS designation act and 
provides that no additional off-duty time (greater than 10 
hours) shall be required to operate the vehicle.

Sec. 4127. Safety performance history screening

    In order to improve motor carrier safety, this provision 
requires the Secretary to provide companies conducting pre-
employment screening services for motor carrier employers, 
electronic access to commercial motor vehicle accident reports 
involving a driver-applicant that are collected and maintained 
by the Federal Motor Carrier Safety Administration in its Motor 
Carrier Management Information System. The accidents reported 
to FMCSA must meet the accident definition found in 49 CFR 
390.5. This provision also requires the Secretary to provide 
electronic access to roadside safety inspection reports 
involving a driver-applicant that resulted in a serious driver-
related safety violation. This electronic access may be 
accomplished only after the prospective employer obtains 
written consent of the driver applicant. This safety compliance 
and performance information is unique to FMCSA's Motor Carrier 
Management Information System and, therefore, is not found on 
any other national database. Prohibiting the release of this 
driver safety information unless expressly authorized or 
required by law protects driver privacy. The Secretary may 
require a fee from companies conducting pre-employment 
screening services, to cover necessary administrative costs to 
implement this screening service.

Sec. 4128. Intermodal chassis roadability rule-making

    This section directs the Secretary to initiate a rule-
making to ensure that equipment used to transport intermodal 
chassis is safe. The rule-making must be completed no later 
than 1 year after enactment of this bill and must address a way 
to identify the equipment owner, a civil penalty structure, a 
petition process, and an inspection system.

Sec. 4129. Substance abuse professionals

    This section requires the Secretary to update the current 
regulatory definition of a substance abuse professional to 
include State licensed or certified mental health counselors, 
as well as, individuals certified as addiction specialists by 
the American Academy of Healthcare Providers in the Addictive 
Disorders.

Sec. 4130. Interstate van operations

    This section directs the Secretary to extend the Federal 
motor carrier safety regulations found in 49 Code of Federal 
Regulations, Parts 387, 390 through 399 to all operations of 
commercial motor vehicles designed to transport between nine 
and fifteen passengers (including the driver), regardless of 
their operational distance. This section is intended to amend 
the final rule issued by the DOT on August 12, 2003.
    The Committee intends the Secretary to address this 
situation through the rule-making process. As part of the rule-
making, the Secretary shall amend the final rule addressing 
commercial motor vehicles transporting nine to fifteen 
passengers to specifically exempt vanpool operations as defined 
by section 132(f) of the Internal Revenue Code. The rule-making 
shall also exempt stretch sedan limousines that are designed to 
seat nine to fifteen passengers. The rule-making would not 
exempt SUV stretch limousines, or super stretch sedan 
limousines that are designed to seat sixteen or more passengers 
(including the driver).

Sec. 4131. Hours of service for operators of utility service vehicles

    This section provides an exemption for drivers of utility 
service vehicles from Federal, State, and local laws, rules, 
regulations, or standards that limit the number of hours 
operators of utility service vehicles may remain on duty.

Sec. 4132. Technical corrections

    Subsection (a) adds the Administrator as a member of the 
Intermodal Transportation Advisory Board.
    Subsection (b) changes the reference from ``Regional 
Director'' to ``Field Administrator'', that position's correct 
title since the creation of the FMCSA in the Motor Carrier 
Safety Improvement Act of 1999.

               Subtitle B--Household Goods Transportation

    Oversight of the interstate household goods moving industry 
had been the responsibility of the Interstate Commerce 
Commission (ICC) prior to the ``sun-setting'' of the ICC by the 
ICC Termination Act of 1995. Most Federal oversight 
responsibilities for the transportation of household goods were 
transferred to the FHWA and later transferred to the FMCSA upon 
enactment of MCSIA in 1999. FHWA and then FMCSA, focused their 
limited resources on their primary mission of highway safety, 
rather than on consumer protection. The lack of Federal 
oversight has permitted unscrupulous ``rogue'' household goods 
movers to exploit this regulatory gap.
    Subtitle B of title IV of this bill is intended to provide 
greater protection to consumers shipping their household goods 
via motor carrier. However, the provisions in Subtitle B of 
title IV of this bill only relate to the movement of household 
goods motor carriers and brokers. For purposes of this 
subtitle, `household goods motor carrier' means a carrier that 
provides as part of its transportation services the 
inventorying, packing, unpacking, loading, and unloading of 
household goods.

Sec. 4201. Federal-State relations relating to transportation of 
        household goods

    This section confers authority to a State Attorney General 
of any state to bring a civil action on behalf of its residents 
in an appropriate district court of the United States to compel 
a motor carrier to relinquish possession of a household goods 
shipment, to pay a civil penalty assessed under section 14915.
    For purposes of bringing any civil action under this 
section, nothing in this section shall prevent a State Attorney 
General from exercising the powers conferred on the attorney 
general by the laws of such State to conduct investigations or 
to administer oaths or to compel the attendance of witnesses or 
the production of documentary and other evidence.
    Whenever a civil action has been instituted on a defendant 
by, or on behalf of, the Secretary for violation of any 
provision specified in this section, a State may not institute 
a civil action under this section.
    A civil action under this section may be brought in the 
district in which the defendant is found, resides, or transacts 
business or whenever venue is proper under section 1391 of 
title 28.
    This section would allow State attorneys general to pursue 
civil penalties in any appropriate district court of the United 
States in cases where a ``rogue mover'' committed repeated 
violations of holding household goods hostage. This ability to 
enforce Federal law by State officials will be a huge step 
towards improving the consumer protection that has been lacking 
since the termination of the ICC, and will help augment the 
limited Federal resources currently available. Although, this 
additional power may be seen by some as an infringement on the 
long-standing ``Carmack'' amendment, the Committee was careful 
not to touch upon any more than was necessary to ensure proper 
enforcement at the State level.

Sec. 4202. Arbitration requirements

    This section requires household goods carriers to offer 
shippers arbitration on all matters related to loss and damage, 
as well as, including disputes about charges. This section also 
increases the threshold for binding arbitration from $5,000 to 
$10,000. These two changes will provide the consumer with more 
options for settling disputes when they arise.

Sec. 4203. Civil penalties relating to household goods brokers and 
        unauthorized transportation

    This section creates civil penalties for household goods 
brokers who provide estimates prior to entering into a contract 
with a household goods mover. This section also creates a civil 
penalty for anyone who transports household goods in interstate 
commerce without having the authority to conduct that activity.

Sec. 4204. Penalties for holding household goods hostage

    This section creates penalties, both civil and criminal, 
for anyone who holds a person's household goods hostage once 
full payment (up to 110% of the estimate) has been made. The 
civil penalty for holding household goods hostage shall not be 
less than $10,000, and if the person holding the goods hostage 
is a motor carrier, the carrier's operating authority will be 
suspended for 6 months. The criminal penalty for holding 
household goods hostage is up to $250,000 and two years 
imprisonment.
    This legislation codifies existing regulations that require 
a carrier to give up possession of a household goods shipment 
provided the shipper pays the mover 100 percent of a binding 
estimate of the charges, or 110 percent of a non-binding 
estimate of the charges.
    One of the most important parts of Subtitle B of Title IV, 
is the new definition and penalties for the practice of holding 
household goods hostage. This situation arises when a household 
goods motor carrier informs the shipper that the charges for 
shipping or unloading the shipper's possessions have double, 
tripled, or even quadrupled, and the only way the carrier will 
unload the goods is upon payment of these higher charges. These 
actions, conducted primarily by ``rogue movers'', have gone 
largely unchecked in recent years. With the addition of civil 
penalties, and for egregious violations, criminal penalties, 
Federal and State enforcement personnel have tremendous powers 
to prosecute these individuals.

Sec. 4205. Working group for development of practices and procedures to 
        enhance federal-state relations

    This section would require the Secretary of Transportation 
to create a working group of State attorney generals, State 
consumer protection administrators and Federal and local law 
enforcement officials for the purpose of developing uniform 
enforcement procedures with respect to interstate 
transportation of household goods.

Sec. 4206. Consumer handbook on DOT Web site

    This section requires the Secretary of Transportation to 
publish a handbook about consumer's rights in readily 
understandable language and display it prominently on the DOT 
Web site.

Sec. 4207. Release of household goods broker information

    This section requires the Secretary to modify the 
regulations to require household goods brokers to provide 
shippers, or potential shippers, with information about the 
motor carriers the broker uses, the broker's DOT identification 
number, the general information handbook, and a statement that 
the broker is not a motor carrier.
    The Committee intends to deter the current practice of some 
brokers who advertise over the Internet, providing a low 
estimate without seeing the items to be shipped, then trying to 
find a carrier to transport the household goods without regard 
to the rate the broker quoted the shipper.

Sec. 4208. Consumer complaint information

    This section requires the Secretary to establish a system 
for logging consumer complaints about household goods movers in 
a database that will be accessible to the public. This section 
also requires the Secretary to establish a way for carriers to 
correct any incorrect information on the database. The 
Secretary is encouraged to use this information when 
determining which carriers should be the subject of a 
commercial investigation.

Sec. 4209. Insurance regulations

    This section directs the Secretary to review current 
regulatory requirements regarding insurance coverage provided 
by household goods motor carriers to shippers. The review 
should determine whether the current regulations provide 
adequate protection, whether the shipper should purchase 
insurance as opposed to the carrier, and whether there are 
abuses of the current regulations that leave shippers 
unprotected.

Sec. 4210. Estimating requirements

    This section requires household goods motor carriers to 
provide written estimates for shipments of household goods. 
When providing these estimates, the motor carrier must conduct 
a physical survey of the household goods to be transported. A 
shipper may waive the on-site survey, but a copy of the waiver 
must accompany the estimate and remain as an addendum to the 
bill of lading.
    This section also provides definitions of binding, and non-
binding, estimates. The binding estimate guarantees the total 
cost of the move based upon the quantities and services shown 
on the estimate.

Sec. 4211. Application of state consumer protection laws to certain 
        household goods carriers

    This section requires the GAO to conduct a study of the 
impact on motor carriers and shippers of household goods if 
State attorneys general and consumer protection agencies were 
allowed to enforce their State consumer protection laws and 
regulations with respect to interstate transportation of 
household goods. The GAO shall provide a report to Congress on 
the results of this study within 18 months of the date of 
enactment of this Act.

                           TITLE V--RESEARCH


                          Subtitle A--Funding


Sec. 5101. Authorization of appropriations

    This section provides authorizations for each of the 
programs in the Research Title. The Surface Transportation 
Research Program and the Technology Deployment program, which 
were separate programs in the Transportation Equity Act for the 
21st Century (TEA 21), are now merged into one program--the 
Surface Transportation Research, Development, and Deployment 
Program.

Sec. 5102. Obligation ceiling

    This section establishes the obligation ceiling for fiscal 
years 2004 through 2009.

            Subtitle B--Research, Technology, and Education


Sec. 5201. Research, technology and education

    This section establishes basic principles for 
transportation research, including the federal responsibility 
and role, stakeholder input, competition, and performance 
review. This section provides the Secretary with authority to 
enter into cooperative agreements and establishes a mechanism 
to facilitate ``pooled funding'' of projects when several 
states wish to fund a research project of common interest to 
those states. One of the principles governing research and 
technology investments directs that the Federal highway 
research program would become more oriented toward exploratory 
advanced research. The 20-year Long-Term Pavement Performance 
Program, initiated in the late 1980's will be continued to its 
conclusion in 2009. The role and function of the Turner-
Fairbank Highway Research Center is codified in law.

Sec. 5202. Long-Term Bridge Performance Program; Innovative Bridge 
        Research and Deployment Program

    A 20-year Long-Term Bridge Performance Program, modeled on 
the Long-Term Pavement Performance Program, is established. An 
Innovative Bridge Research and Deployment program to 
demonstrate innovative designs and construction methods for the 
construction, repair and rehabilitation of bridges is 
established.

Sec. 5203. Surface Transportation Environment and Planning Cooperative 
        Research Program

    A new research program is created to study the interaction 
between transportation and the environment. The program will be 
managed and administered by the National Academy of Sciences. 
An Advisory Committee, appointed by the Secretary, and with a 
balanced membership representing transportation and 
environmental perspectives, will recommend the national 
research agenda for this program.

Sec. 5204. Technology deployment

    An Innovative Pavement Research and Deployment program to 
demonstrate innovative pavement technologies, practices and 
performance is established. The goals of this program include 
new, cost-effective designs to extend pavement life and 
performance, and the reduction of both initial cost and life-
cycle cost of pavements. A Safety Innovation Deployment Program 
is established to foster the deployment and evaluation of 
safety technologies and innovations at State and local levels.

Sec. 5205. Training and education

    The National Highway Institute--the training office of the 
Federal Highway Administration--is continued and the general 
topics for courses that it develops and administers are 
specified. The Local Technical Assistance program is authorized 
for fiscal years 2004-2009. The federal share for State LTAP 
grant recipients is up to 50 percent and the share for tribal 
technical assistance centers is 100 percent. Federal law is 
revised to allow states to spend NHS, IM, STP, CMAQ, and Bridge 
funds for transportation workforce development, training, and 
education. The federal share is 100 percent for the workforce 
development activities.

Sec. 5206. Freight planning capacity building

    A Freight Planning Capacity Building Program is established 
to improve the capabilities of Metropolitan Planning 
Organizations (MPOs) and other planning agencies in 
transportation planning for freight.

Sec. 5207. Advanced Travel Forecasting Procedures Program

    TRANSIMS is a state-of-the-art travel forecasting model 
that will have special utility for large MPOs in areas with air 
quality problems. Funding grants to states and MPOs will 
support deployment of this forecasting model.

Sec. 5208. National Cooperative Freight Transportation Research Program

    The National Academy of Sciences will manage and administer 
a freight transportation research program. The program's 
purpose is to discover improved ways to provide surface 
transportation mobility for freight movement. An Advisory 
Committee will be appointed by the Academy and will include a 
representative cross-section of freight stakeholders. The 
Advisory Committee is directed to recommend a national research 
agenda for this program.

Sec. 5209. Future Strategic Highway Research Program

    This section establishes the Future Strategic Highway 
Research Program (F-SHRP), which is to be carried out by the 
National Academy of Sciences. F-SHRP is modeled on the 
Strategic Highway Research Program that was established by 
Congress in 1987. TEA-21 directed that a study be conducted to 
determine the research agenda for a new strategic highway 
research program. F-SHRP will carry out the recommendations 
made by the study and will focus on four specific research 
areas--renewal of aging highway infrastructure, human factors 
related to highway safety, reducing highway congestion, and 
planning and designing new highway capacity. Projects and 
researchers will be selected to conduct research for the 
program on the basis of merit and open solicitation of 
proposals.

Sec. 5210. Transportation safety information management system project

    Funding is provided over two years to develop a software 
system that will link driver licensing, vehicle registration, 
roadway inventory, and motor carrier databases. The purpose of 
this system is to more easily identify the cause of accidents, 
injuries, and fatalities, so that appropriate countermeasures 
can be developed.

Sec. 5211. Surface transportation congestion relief solutions research 
        initiative

    Two independent research programs are established to assist 
State DOTs and MPOs in measuring and addressing surface 
transportation congestion problems. These research programs 
will focus on the effectiveness of Congestion Management 
Systems and identify the best methods for acquiring and 
reporting congestion information. Funding is included for 
technical assistance and training.

Sec. 5212. Motor carrier efficiency study

    This section provides funding for a study of the use of 
wireless technology to improve the safety and productivity of 
motor carrier freight transportation. The study will assess use 
of wireless technologies in fuel monitoring and management, 
electronic document imaging, border pre-clearance systems, 
Radio Frequency Identification technology, electronic manifest 
systems, and cargo theft prevention.

      Subtitle C--University Transportation Research; Scholarship 
                             Opportunities


sec. 5301. national university transportation centers

    This section provides for national university 
transportation centers and states that the role of such centers 
shall be to advance significantly transportation research on 
critical national transportation issues and to expand the 
workforce of transportation professionals.

Sec. 5302. University transportation research

    This section provides for grants to be made to University 
Transportation Centers (UTCs). Funding is made available to ten 
Regional University Transportation Centers, which are Centers 
that currently receive funding from an ongoing UTC program. 
Funding is made available for each of ten Tier I Centers, which 
were identified in TEA-21 and were subsequently successful in a 
competition. Ten Tier II Centers will be selected by a 
competitive process.
    The purpose of UTCs is to advance significantly the state-
of-the-art in transportation research and expand the workforce 
of transportation professionals through research, education and 
technology transfer. Regional UTCs, Tier I Centers, and Tier II 
Centers will all be subject to competitive selection every four 
years and all institutions must meet eligibility criteria to 
qualify for competition. The research and education activities 
of each Center must support a national strategy for surface 
transportation research. Each Center must match each dollar of 
federal grant funds with one dollar of local funds.

Sec. 5303. Transportation Scholarship Opportunities Program

    This section allows the Secretary to establish a 
scholarship program to attract qualified students for 
transportation-related critical jobs.

                   Subtitle D--Advanced Technologies


Sec. 5401. Advanced Heavy-Duty Vehicle Technologies Research Program

    Section 5401 directs the Secretary to conduct research, 
development, demonstration and testing on advanced heavy-duty 
vehicle technologies. The Secretary shall consult with the 
Secretary of Energy and the EPA Administrator. Projects must 
have a cost share of at least 50 percent from non-federal 
sources.

Sec. 5402. Commercial remote sensing products and spatial information 
        technologies

    This section directs the Secretary, in cooperation with 
NASA and a consortium of university research centers, to carry 
out a program to validate commercial remote sensing products 
and spatial information technologies for application to 
transportation infrastructure.

              Subtitle E--Transportation Data and Analysis


Sec. 5501. Bureau of Transportation Statistics

    This section provides for the appointment of the Director 
of the Bureau of Transportation Statistics (BTS) and defines 
the Director's responsibilities. The National Transportation 
Library is retained as part of BTS's activities. Several 
provisions are included on the collection of freight data, 
including a requirement for mandatory response by corporations 
to BTS requests for data. Safeguards are provided to prevent 
disclosure of freight data that can be identified with any 
corporation or individual. An Advisory Council on 
Transportation Statistics is established.

        Subtitle F--Intelligent Transportation Systems Research


Sec. 5601. Short title

    The short title is ``Intelligent Transportation Systems Act 
of 2004''

Sec. 5602. Goals and purposes

    The goals and purposes of the Intelligent Transportation 
Systems Program are articulated. While the wording is different 
from TEA 21, the substance is similar.

Sec. 5603. General authorities and requirements

    This section grants the Secretary authority to use an 
advisory committee to carry out this subtitle.

Sec. 5604. National architecture and standards

    The Secretary is directed to develop, implement and 
maintain a national architecture for Intelligent Transportation 
Systems, as well as the supporting standards and protocols, to 
promote the widespread use of Intelligent Transportation 
Systems. The Secretary shall designate a panel of experts to 
advise the Secretary on ways to expedite development of 
standards. Any Intelligent Transportation Systems projects that 
use Highway Trust Fund monies shall conform to the national 
architecture and applicable standards.

Sec. 5605. Research and development

    The Secretary is directed to carry out a comprehensive 
Intelligent Transportation Systems research, development, and 
operational test program with priority given to enhancing 
mobility and productivity, enhancing safety, and integration of 
vehicle and infrastructure technologies.

Sec. 5606. Infrastructure development

    This section states that funds made available in this 
subtitle shall be used for ITS infrastructure and not for 
conventional highway and transit infrastructure.

Sec. 5607. Definitions

    This section defines key terms, including ITS, Intelligent 
Transportation Infrastructure, National Architecture, Standard, 
and Transportation Systems Management and Operations.

Sec. 5608. Rural Interstate Corridor communications study

    This section provides funding for a study on the 
feasibility of installing fiber optic cabling and wireless 
communication infrastructure along Interstate route corridors 
for improved communications services to rural communities.

Sec. 5609. Repeal

    The Intelligent Transportation Systems subtitle in TEA 21 
is repealed and replaced by the sections 5601-5607 described 
above.

         TITLE VI--TRANSPORTATION PLANNING AND PROJECT DELIVERY


Sec. 6001. Transportation Planning

    This section creates a new chapter 52 in title 49 to 
address transportation planning and environmental review for 
transportation projects. Existing planning provisions for 
highway (sections 134 and 135 in title 23) and transit programs 
(sections 5303-5305 in title 49) are combined to form a unified 
planning title. Minor adjustments are made to eliminate 
inconsistencies and to reflect updated terminologies and 
practices.
    The section also extends the update cycle of metropolitan 
long-range transportation plans from 3 years under current 
regulation to 4 years. It extends the update cycle of 
metropolitan transportation improvement programs (TIPs) from 2 
years under current law to 4 years. It requires MPOs to include 
in their TIPs projects that are designed to meet the set-aside 
requirements (for a portion of a state's annual apportionments 
for NHS, CMAQ, STP, Interstate Maintenance, and Bridge 
programs) for congestion relief activities as mandated under 
section 139 of title 23.
    The section similarly extends the update cycle of state 
transportation improvement programs from 2 years to 4 years. It 
requires the state transportation improvement program to 
reflect the priorities for congestion relief activities that 
are included in the metropolitan TIPs.

                    SUBCHAPTER A--GENERAL PROVISIONS


Sec. 5201. Definitions

    Definitions would include definitions used in chapter 52.

                 SUBCHAPTER B--TRANSPORTATION PLANNING


Sec. 5211. Policy

    This section is consistent with section 134 of title 23, 
United States Code and metropolitan planning provisions in 
sections 5303 and 5304 of title 49, United States Code.

Sec. 5212. Definitions

    Definitions from section 101(a) of title 23 and section 
5302 are applicable to this subchapter. In subsection (b) are 
six definitions used in this subchapter are listed. These 
include metropolitan planning area, metropolitan planning 
organization, non-metropolitan area, non-metropolitan local 
official, TIP, and urbanized area.

Sec. 5213. Metropolitan transportation planning

    Subsection (a) describes the general requirements for 
metropolitan transportation planning. More specifically, it 
directs MPOs, in cooperation with States and public 
transportation operators, to develop long-range plans and 
transportation improvement programs. These plans and 
Transportation Improvement Programs (TIPs) will encompass all 
modes of transportation and will be intermodal in nature.
    Subsection (b) specifies the method by which MPOs are 
designated. Every city with a population of more than 50,000 
people will have an MPO either by agreement between the 
Governor and local officials representing at least 75 percent 
of the affected population or in accordance with State and 
local law. Each MPO will consist of local officials, officials 
of major local metropolitan transportation agencies and 
appropriate State officials. Once an MPO is designated, it will 
remain so designated until it is redesignated under the 
procedures outlined in Section 5213(b)(5) or (6).
    Subsection (c) describes the methods for determining the 
boundaries of metropolitan planning areas that do not cross 
State lines. This subsection is consistent with section 134(c) 
of title 23, United States Code.
    Subsection (d) outlines methods for coordinating the 
planning process between responsible parties in metropolitan 
areas spanning two or more states. The Secretary will encourage 
Governors and members of multi-state MPOs to partake in 
interstate compacts consenting to cooperate in efforts to 
mutually assist interstate activities as well as establishing 
joint transportation agencies. The requirements in current law 
section 134(d)(4) of title 23, United States Code, regarding 
coordination of the design and delivery of transportation 
services provided by recipients of assistance under chapter 53, 
title 49 of current law or by government agencies or non-profit 
organizations are moved to subsection (e)(3).
    Subsection (e) involves coordination and consultation 
between MPOs in the event of jurisdictional conflicts. This 
must occur in cases in which more than one MPO has jurisdiction 
over an area or an area is designated as a nonattainment area 
for ozone or carbon monoxide under the Clean Air Act. 
Coordination between MPOs will also occur if a transportation 
improvement funded by the Highway Trust Fund (HTF) runs through 
more than one MPO.
    Section 5213(e)(3) is a new provision that provides that, 
if a planned project has a substantial impact outside a single 
metropolitan planning area or State, or if the project is 
located in more than one area or State, it will be coordinated 
directly with the affected MPOs and States. Also, when planning 
new projects, the Secretary will encourage each MPO to consult 
with officials involved in planning activities that are 
affected by transportation in the area. These affected 
activities include such things as State and local planned 
growth, economic development, environmental protection, airport 
operations, and freight movements.
    Section (f) outlines the goals and objectives MPOs should 
strive to attain when planning area transportation projects. 
Projects should support economic vitality, increase the safety 
and security of the transportation system, increase 
accessibility and mobility for both people and freight, protect 
and enhance the environment, promote integration between the 
various modes of transportation, as well as maintaining 
efficiency of the current transportation system. This 
subsection also states that failure to consider any and all of 
the objectives described in Section 5213(f)(1) may not be 
reviewed by any court.
    Subsection (g) details the contents of transportation plans 
and the process MPOs must follow when developing such plans. 
5213(g)(1), unlike current law, specifies that MPOs must 
prepare and update their transportation plans no less 
frequently than every 4 years. (The current law update cycle is 
``according to a schedule that the Secretary determines to be 
appropriate,'' which has been determined by regulation to be 
every 3 years in nonattainment or maintenance areas and every 5 
years in attainment areas.)
    Subsection (h) details the contents of metropolitan 
transportation improvement programs (TIPs) and the process MPOs 
must follow when developing TIPs. Included in each TIP should 
be a funding estimate, a priority project list, a description 
of each project, and a financial plan. TIPs will be published 
for public comment. Unlike current law 134(h)(1)(D), this 
subsection specifically details that TIPs must be updated at 
least every 4 years, as opposed to every 2 years under current 
law. Two portions of this subsection are new. The project 
descriptions 5213(h)(2)(C) and the inclusion of a listing of 
congestion relief activities 5213(h)(2)(D) as described in 
section 139(h) of title 23, United States Code.
    Subsection (i) involves transportation management areas, 
which are defined as urbanized areas with a population over 
200,000. The transportation plans in these areas are based on a 
continuing and comprehensive planning process carried out by 
the MPO. Congestion management is achieved through the use of 
travel demand reduction and operational management strategies. 
Congestion relief activities under section 139 of title 23 are 
also to be used. The Secretary must certify that the planning 
process for each transportation management area is being 
carried out in accordance with Federal law no less than every 4 
years. This is a change from current law, which mandates 
certification every 3 years. The Secretary has the authority to 
withhold up to 20% of the funds attributable to the MPO. 
5213(i)(5)(C)(iii) concerning the feasibility of private 
enterprise participation.
    Subsection (j) gives the Secretary the authority to provide 
an abbreviated transportation plan and a TIP for a metropolitan 
planning area if deemed appropriate, except if the metropolitan 
planning area is in nonattainment for ozone or carbon monoxide 
under the Clean Air Act.
    Subsection 134(k) of current law concerning funds for 
highways and transit being transferred to the Secretary in 
accordance with title 23 has been deleted, because the 
transferability provisions contained in section 104(k) of title 
23 already apply to all transfers of highway funds to transit, 
and to the transfer of transit funds to highways.
    Subsection (k) is consistent with subsection 134(l) of 
current law, and states that a metropolitan planning area 
classified as nonattainment for ozone and carbon monoxide under 
the Clean Air Act may not receive funds for any highway project 
that will result in a significant increase in single-occupant 
vehicles. The only exception would be if the project were 
addressed through a congestion management process.
    Subsection (l) is consistent with subsection 134(m) of 
current law. This section states that MPOs do not have the 
authority to impose legal requirements on any transportation 
facility, provider, or project not eligible under title 23, 
United States Code or chapter 53 of title 49, United States 
Code.
    Subsection (m) is consistent with section 134(n) of title 
23 and specifies that funding for the metropolitan 
transportation planning shall be provided section 104(f) of 
title 23 or and under 5338(c) of title 49, United States Code.
    Subsection 134(n) is consistent with existing law 
subsection 5213(n). It restates current methods of review for 
projects included in plans and programs under the National 
Environmental Policy Act of 1969 (42 U.S.C. 4321 et seq.).

Sec. 5214. Statewide transportation planning

    Subsection 5214(b) is consistent with subsection 135(b) of 
title 23, but adds the phrase: ``with Statewide trade and 
economic development planning activities and related multi-
State planning efforts,'' after ``areas of the State and'' to 
recognize the importance of trade and economic development in 
each State and with other States; and adds a new paragraph 
``(2) develop the transportation portion of the State 
implementation plan as required by the Clean Air Act (42 U.S.C. 
7401 et seq.)
    Subsection 5214(c) is a new subsection that allows States 
to enter into compacts or agreements for the purpose of formal 
planning cooperation and coordination, since some projects are 
multi-state in nature.
    Subsection 5214(d) regarding the scope of the planning 
process (under existing section 135(c)) is amended by adding 
the phrase ``and implementing projects and services'' would 
after ``strategies'' to reflect the concept that not only 
projects, but also transportation services, are developed 
through the planning process. In section 5214(d)(1)(A), the 
term ``non-metropolitan areas'' is inserted into this factor 
after ``States,'' to require States to consider economic 
vitality for rural areas. (``Non-metropolitan areas'' have been 
defined in a recent amendment to the joint FHWA/FTA planning 
regulations.)
    Subsection 5214(f) corresponds to 135(e) in title 23. In 
subsection 5214(f)(3)(A), after the phrase ``users of public 
transportation'' the sentence ``representatives of users of 
pedestrian walkways and bicycle transportation facilities, 
representatives of the disabled'' is added to the list of 
interested parties.
    Subsection 5214(g), regarding statewide transportation 
improvement programs, is consistent with subsection 135(f) of 
title 23, United States Code. This subsection has been 
reorganized and includes a few deletions. Section 
135(f)(1)(B)(ii)(II) required that States submit to the 
Secretary, within one year of TEA-21's passage, the details of 
their consultation process with non-metropolitan officials. 
This requirement has been accomplished, so the provision has 
been eliminated. Subsection 5214(g)(4)(H) is a newportion 
concerning the transportation improvement program reflecting the 
priorities for congestion relief from section 139 of current law. 
Subsection 5214(g)(5) combines 135(f)(3)(A) and (B) of current law. 
This subsection, concerning project selection in areas with populations 
of less than 50,000 people, adds projects from state-managed public 
transportation programs authorized under sections 5310, 5311, 5316, and 
5317 of title 49, United States Code to the list of projects to be 
selected from the TIP by the State in consultation with affected local 
metropolitan transportation officials. Subsection 5214(g)(6) states 
that the Secretary must approve a transportation improvement program at 
least every 4 years, as opposed to a biennial review mandated in 
current law.
    In subsection (h), funding for statewide transportation 
planning is provided under subsection 104(i) of title 23 and 
under section 5338(c) of title 49, United States Code.
    Subsections 5214(i) and 5214(j) are identical to existing 
law subsections 135(h) and 135(i), respectively.

Sec. 6002. Efficient environmental reviews for project decisionmaking

    This Project Development Procedures section establishes 
comprehensive project development procedures for projects that 
require the approval of the U.S. Department of Transportation. 
These procedures must be followed for all projects that require 
preparation of an environmental impact statement (EIS) under 
NEPA and may be followed for any project that involves 
preparation of an environmental assessment (EA) or categorical 
exclusion (CE). The decision about whether to use these 
procedures for EA or CE projects is committed to the discretion 
of the Secretary of Transportation, acting in consultation with 
the project sponsor.

Sec. 6003. Policy on historic sites

    This section amends section 303 of title 49 and section 138 
of title 23 to provide that requirements under such section(s) 
are deemed to be satisfied if an agreement under section 106 of 
the National Historic Preservation Act concludes that a 
transportation program or project will not have an adverse 
effect on an historic site, unless the Advisory Council on 
Historic Preservation determines that using the section 106 
consultation procedure to satisfy the requirements of such 
sections is inconsistent with the objectives of such Act.

Sec. 6004. Exemption of interstate system

    This section provides that the Interstate System itself 
shall not be considered a historic site for purposes of 23 
U.S.C. Sec. 138 or 49 U.S.C. Sec. 303(c)--the laws commonly 
known as ``Section 4(f).'' This section allows individual 
elements of the Interstate System to be considered historic 
sites for purposes of Section 4(f), if those elements possess 
an independent feature of historic significance.
    It clarifies that a state is able to carry out 
construction, maintenance, restoration, and rehabilitation 
activities for such elements after complying with section 303 
of title 49 or section 138 of title 23, as applicable, and 
section 106 of the National Historic Preservation Act.-

             TITLE VII--HAZARDOUS MATERIALS TRANSPORTATION


Sec. 7001. Amendment of Title 49, United States Code

    This section establishes that any reference to a section or 
other provision shall be considered a section or provision of 
title 49, United States Code, unless otherwise specified.

Sec. 7002. Findings and purpose

    This section establishes the Congressional findings of the 
hazardous materials title, and updates and clarifies the 
purpose of chapter 51.

Sec. 7003. Definitions

    This section modifies the definition of ``commerce'' to 
include transportation on a U.S.-registered aircraft anywhere 
in the world. This section also defines the term ``Secretary'' 
as the Secretary of Transportation, except where otherwise 
indicated.

Sec. 7004. General regulatory authority

    This section updates the terminology used to describe the 
materials the Secretary should designate as hazardous, as well 
as the terminology describing the transportation, and 
transportation-related, activities regulated by the DOT. This 
section amends current law to ensure that persons who design 
and inspect packages (or components of packages) are subject to 
the hazardous materials regulations. This section also 
clarifies that the hazardous materials regulations apply to 
persons who prepare or accept hazardous materials for 
transportation in commerce.

Sec. 7005. Chemical or biological materials

    This section requires the Secretary to develop uniform 
standards governing the collection of information, transmission 
and review of the information for completing background checks 
on individuals transporting hazardous materials, and 
notification to those individuals of the results of the 
background checks. It also requires that drivers from Canada 
and Mexico who are transporting hazardous materials in the U.S. 
undergo similar background checks as those conducted on U.S. 
drivers who transport hazardous materials.

Sec. 7006. Representation and tampering

    This section updates the language in current law without 
changing the scope of the law.

Sec. 7007. Technical amendments

    This section provides technical amendments to update the 
terminology in current law.

Sec. 7008. Training of certain employees

    This section amends section 5107(f) of current law 
(redesignated in the bill as section 5107(g)) by deleting the 
reference to section 5108(a)-(g)(1) and (h), and section 5109, 
but retains the provision in current law that states that an 
action of the Secretary under subsections (a)-(d) of this 
section and section 5106 of this title is not an exercise of 
statutory authority, under section 4(b)(1) of the Occupational 
Safety and Health Act of 1970, to prescribe or enforce 
standards or regulations affecting occupational safety or 
health.
    This section also codifies the existing practice of 
providing hazardous materials training to maintenance-of-way 
employees and railroad signalmen.

Sec. 7009. Registration

    This section amends the current law to include those 
persons who design and inspect hazardous materials packages, or 
package components, as persons required to register with the 
Secretary. This change is consistent with the updated language 
in Section 7004 concerning persons who are subject to the 
hazardous materials regulations.
    Section 5108(g) is amended to require the Secretary to 
establish and collect a registration fee sufficient to cover 
the costs of processing the registration and that the Secretary 
must collect a fee at least large enough to cover processing 
costs from all entities otherwise exempted from paying the 
registration fee. This section reduces the maximum fee the 
Secretary may assess from $5,000 to $3,000.
    This section also requires the Administrator of RSPA to 
transmit the annual registration information required in 
section 5108 for motor carriers to the FMCSA. The Committee 
intends to ensure that FMCSA has the most up-to-date 
information on motor carriers that transport hazardous 
materials and expects the transmittal of information to be done 
as expeditiously as possible.

Sec. 7010. Providing shipping papers

    This section requires that each person who prepares a 
shipping paper must make the disclosures that the Secretary 
prescribes by regulation.
    This section amends section 5110 to extend the time period 
shippers and carriers are required to retain shipping papers. 
Under current law, shippers and carriers are required to retain 
the shipping papers for one year after the hazardous material 
is no longer in transportation. This section requires shippers 
and carriers to retain shipping paper for two years after the 
shipping paper is prepared.

Sec. 7011. Rail tank cars

    This section repeals section 5111, which permits a rail car 
built before January 1, 1971, to be used for hazardous 
materials transportation only if the air brake equipmentsupport 
attachments of the car comply with the standard for attachments 
contained in 49 CFR 179.100-16 and 179.200-19.

Sec. 7012. Unsatisfactory safety ratings

    This section amends section 5113 to provide that a motor 
carrier owner or operator transporting hazardous materials in 
commerce who, upon review of an unfavorable fitness 
determination, is determined by the Secretary to be ``unfit'' 
is subject to the civil penalties in section 5123 and the 
criminal penalties set forth in section 5124.

Sec. 7013. Training curriculum for the public sector

    This section updates the training curriculum to include 
appropriate emergency response training and planning programs 
developed with all Federal assistance, not just those under 
Federal grant programs.
    This section also makes the Secretary responsible for 
distribution and publication of the training curriculum.

Sec. 7014. Planning and training grants, monitoring, and review

    This section amends section 5116(b)(4) to require the 
Secretary to consider the report established in section 7022 of 
this bill when determining a State or Indian tribes' emergency 
response funding needs.
    This section also establishes the Secretary of 
Transportation as the lead for monitoring public sector 
emergency response planning and training. It also establishes a 
new account within the Treasury specifically for hazardous 
materials emergency preparedness.
    This section also allows the Secretary to use funds 
collected from the annual registration fees to publish and 
distribute the Emergency Response Guidebook.

Sec. 7015. Special permits and exclusions

    This section would clarify that the Secretary may issue a 
special permit to any person who performs a function regulated 
under section 5103(b)(1).
    This section would increase the maximum renewal period of 
special permits from two years to four years, except that 
special permits issued related to highway routing of hazardous 
materials are only renewable for a two-year period.

Sec. 7016. Uniform forms and procedures

    This section requires the Secretary to establish a working 
group to develop uniform forms and procedures for States to 
register and issue permits to persons who transport, or cause 
to be transported, hazardous materials in the State. The 
working group is required to develop a report of its 
recommendations for the Secretary to consider when issuing 
regulations to carry out a uniform State registration system. 
The working group is prohibited from proposing to limit any fee 
that a State may impose or collect.

Sec. 7017. International uniformity of standards and requirements

    This section amends current law to reflect that the 
Secretary may have additional international requirements, in 
addition to current international standards, that need to be 
met.

Sec. 7018. Administrative

    This section amends section 5121 to provide for enhanced 
authority to discover hidden shipments of hazardous materials 
and to clarify and enhance the inspection and enforcement 
authority of DOT officials and inspection personnel, thereby 
enabling them to more effectively identify hazardous materials 
shipments and to determine whether those shipments are made in 
accordance with the hazardous materials regulations. This 
proposal would expand DOT inspection authority to authorize a 
designated DOT officer or employee to: access, open, and 
examine a package (except for the packaging immediately 
adjacent to the hazardous materials contents) offered for or in 
transportation when the officer or employee has an objectively 
reasonable and articulable belief that the package may contain 
a hazardous material; remove from transportation a package or 
related packages in a shipment when the officer or employee has 
an objectively reasonable and articulable belief that the 
package or packages may pose an imminent hazard and 
contemporaneously documents that belief; gather information 
from the shipper, packaging manufacturer or retester, or others 
responsible for the package to determine the nature and hazards 
of the contents of the package; as necessary, order the 
shipper, packaging manufacturer or retester, or others 
responsible for the package to have the package transported to, 
opened, and the contents analyzed at an appropriate facility; 
and authorize properly qualified personnel to assist in the 
package opening and examination when safety might otherwise be 
compromised.
    This section also amends current law to require the 
Secretary to develop procedures to assist in the safe 
resumption of transportation of the package and transport unit 
when an inspection or investigation does not result in 
discovery of an imminent hazard. This section directs the 
Secretary to develop expedited procedures for hazardous 
materials that are perishable.
    The Committee believes strongly that DOT officials, law 
enforcement and inspection personnel must have the tools 
necessary to accurately determine whether hazardous materials 
are being transported safely and in accordance with the 
relevant law and regulations. To that end, the Committee 
supports the use of new technologies, such as the Hazmat 
Trucking Enforcer, that enable inspectors to conduct hazardous 
materials inspections in a more effective manner and to respond 
swiftly to any incident involving hazardous materials. The 
Committee notes that States must be in substantial compliance 
with a number of requirements under 49 U.S.C. 31102 as a 
condition of receiving MCSAP funding, including requirements to 
deploy technology to enhance the efficiencyand effectiveness of 
commercial motor vehicle safety programs under 49 U.S.C 31102(b)(1)(A), 
as amended.
    This section would also repeal a requirement that the 
Secretary maintain 30 hazardous materials safety inspectors 
more than the number authorized at the end of fiscal year 1990. 
The RSPA currently maintains inspectors in excess of this 
requirement.

Sec. 7019. Enforcement

    This section amends section 5122 to clarify the types of 
judicial relief, including a temporary or permanent injunction, 
punitive damages, and assessment of civil penalties, available 
to be granted in an action brought by the Attorney General. 
Subsection (b) is amended for clarity by changing the word 
``ameliorate'' to ``mitigate.''

Sec. 7020. Civil penalty

    This section amends section 5123 to increase the maximum 
civil penalty from $27,500 to $50,000 for each violation of a 
law or regulation under Chapter 51. In those cases resulting in 
death, serious illness, severe injury to any person, or 
substantial destruction of property, the Secretary would be 
able to increase the maximum penalty to $100,000.

Sec. 7021. Criminal penalty

    Section 5124 would be revised to include a new ``reckless'' 
standard and to define the ``knowing,'' ``reckless,'' and 
``willful'' mental-state standards necessary to establish a 
criminal violation. Section 5124(a) would be amended to provide 
that a person who knowingly, willfully, or recklessly violates 
chapter 51 or a regulation, order, special permit, or approval 
issued under that chapter, is subject to a fine imposed under 
title 18 and/or imprisonment of not more than 5 years. In cases 
where a violation involves the release of a hazardous material 
that results in death or bodily injury to any person, the 
maximum term of imprisonment is 10 years.
    Section 5124(c) defines a ``willful'' violation as when the 
person has knowledge of the facts giving rise to the violation 
and the person has knowledge that the conduct was unlawful.
    Section 5124(d) defines a ``reckless'' violation as when a 
person displays a deliberate indifference or conscious 
disregard for the consequences of his or her conduct.

Sec. 7022. Preemption

    This section strikes section 5125(f) regarding judicial 
review. Judicial review is addressed by the revisions provided 
in section 7024 of this bill.
    This section also adds language to ensure that when the 
preemption test required by this section is conducted, each 
requirement is independent in their application to the State or 
Indian tribe.

Sec. 7023. Relationship to other laws

    This section updates the language in the current law 
without changing the scope.

Sec. 7024. Judicial review

    This section adds a new section 5127 providing for judicial 
review of final actions taken by the Secretary under chapter 
51. This provision establishes the appropriate judicial forum 
for review of final agency actions in the areas of compliance, 
enforcement, civil penalties, rulemaking, and preemption.
    Under this proposal, the U.S. Court of Appeals for the 
District of Columbia or the U.S. Court of Appeals for the U.S. 
circuit in which a person seeking review resides or has his or 
her principal place of business would review the final action. 
The petition for review must be filed within 60 days after 
issuance of the order. The section describes judicial 
procedures, the authority of the court, and a requirement for 
prior objection.

Sec. 7025. Authorization of appropriations

    This section provides funding for the DOT to implement the 
programs and grants established and required in chapter 51 for 
fiscal years 2004 through 2007.

Sec. 7026. Determining amount of undeclared shipments of hazardous 
        materials entering the United States

    This section requires the GAO to conduct a study to propose 
methods to determine the amount of undeclared shipments of 
hazardous materials entering the United States.

Sec. 7027. Conforming amendments

    This section provides conforming amendments necessary for 
the changes made in Title VII.

      TITLE VIII--TRANSPORTATION DISCRETIONARY SPENDING GUARANTEE


Sec. 8001. Policy

    This section retains the principles of guaranteed funding 
levels and budgetary firewalls for the federal-aid highways 
program, Federal Motor Carrier Safety Administration, the trust 
fund portion of the National Highway Traffic Safety 
Administration, and the general fund and trust fund portion of 
the Federal Transit Administration.
    The Committee ordered the bill reported with the 
expectation that additional language would be proposed jointly 
by the Committee on Transportation and Infrastructure and the 
Committee on the Budget to address RABA and to propose a new 
approach to RABA that would prevent future wide fluctuations in 
adjustments each year.

            Legislative History and Committee Consideration

    H.R. 3550 was introduced by Chairman Don Young, Ranking 
Minority Member Jim Oberstar, Subcommittee Chairman Tom Petri, 
and Subcommittee Ranking Minority Member William Lipinski and 
69 cosponsors on November 20, 2003 and referred to the 
Committee on Transportation and Infrastructure. The Committee 
on Transportation and Infrastructure met on March 24, 2004 and 
adopted by voice vote, an amendment in the nature of a 
substitute offered by Subcommittee Chairman Tom Petri. 
Subsequently by unanimous voice vote, the Committee approved 
and ordered the bill favorably reported to the House.

                             Rollcall Votes

    Clause 3(b) of rule XIII of the House of Representatives 
requires each committee report to include the total number of 
votes cast for and against on each roll call vote on a motion 
to report and on any amendment offered to the measure or 
matter, and the names of those members voting for and against. 
There were no recorded votes taken.

                      Committee Oversight Findings

    With respect to the requirements of clause 3(c)(1) of rule 
XIII of the Rules of the House of Representatives, the 
Committee's oversight findings and recommendations are 
reflected in this report.

                          Cost of Legislation

    Clause 3(c)(2) of rule XIII of the Rules of the House of 
Representatives does not apply where a cost estimate and 
comparison prepared by the Director of the Congressional Budget 
Office under section 402 of the Congressional Budget Act of 
1974 has been timely submitted prior to the filing of the 
report. Such a cost estimate will be included in a supplemental 
report.

                    Compliance With House Rule XIII

    1. With respect to the requirement of clause 3(c)(2) of 
rule XIII of the Rules of the House of Representatives, and 
308(a) of the Congressional Budget Act of 1974, the Committee 
references the report of the Congressional Budget Office that 
will be included in a supplemental report.
    2. With respect to the requirement of clause 3(c)(4) of 
rule XIII of the Rules of the House of Representatives, the 
performance goals and objectives of this legislation are to 
provide for a safe, efficient, and improved surface 
transportation system.
    3. With respect to the requirement of clause 3(c)(3) of 
rule XIII of the Rules of the House of Representatives and 
section 402 of the Congressional Budget Act of 1974, the 
Committee references the cost estimate for H.R. 3550 from the 
Director of the Congressional Budget Office that will be 
included in a supplemental report.

                   Constitutional Authority Statement

    Pursuant to clause (3)(d)(1) of rule XIII of the Rules of 
the House of Representatives, committee reports on a bill or 
joint resolution of a public character shall include a 
statement citing the specific powers granted to the Congress in 
the Constitution to enact the measure. The Committee on 
Transportation and Infrastructure finds that Congress has the 
authority to enact this measure pursuant to its powers granted 
under article I, section 8 of the Constitution.

                       Federal Mandates Statement

    The Committee will provide the estimate of federal mandates 
prepared by the Director of the Congressional Budget Office 
pursuant to section 423 of the Unfunded Mandates Reform Act in 
a supplemental report. (Public Law 104-4).

                        Preemption Clarification

    Section 423 of the Congressional Budget Act of 1974 
requires the report of any Committee on a bill or joint 
resolution to include a statement on the extent to which the 
bill or joint resolution is intended to preempt state, local, 
or tribal law. The Committee states that H.R. 3550 does not 
preempt any state, local, or tribal law.

                Applicability to the Legislative Branch

    The Committee finds that the legislation does not relate to 
the terms and conditions of employment or access to public 
services or accommodations within the meaning of section 
102(b)(3) of the Congressional Accountability Act. (Public Law 
104-1).

         Changes in Existing Law Made by the Bill, as Reported

  In compliance with clause 3(e) of rule XIII of the Rules of 
the House of Representatives, changes in existing law made by 
the bill, as reported, are shown as follows (existing law 
proposed to be omitted is enclosed in black brackets, new 
matter is printed in italic, existing law in which no change is 
proposed is shown in roman):

TITLE 23, UNITED STATES CODE

           *       *       *       *       *       *       *



                                HIGHWAYS

Chap.                                                               Sec.
    1. Federal-Aid Highways.......................................   101
     * * * * * * *
    [5. Research and Technology...................................  501]
    5. Research, Technology, and Education........................   501
    6. Infrastructure and Finance.................................   601

                    CHAPTER 1--FEDERAL-AID HIGHWAYS

                   [SUBCHAPTER I--GENERAL PROVISIONS]

Sec.

101. Definitions and declaration of policy.
     * * * * * * *
139. Motor vehicle congestion relief.
     * * * * * * *
150. Deployment of intelligent transportation systems.
     * * * * * * *
165. Construction of ferry boats and ferry terminal facilities.
166. Transportation systems management and operations.
167. HOV facilities.
     * * * * * * *

                 [SUBCHAPTER II--INFRASTRUCTURE FINANCE

[181. Definitions.
[182. Determination of eligibility and project selection.
[183. Secured loans.
[184. Lines of credit.
[185. Project servicing.
[186. State and local permits.
[187. Regulations.
[188. Funding.
[189. Report to Congress.]

                   [SUBCHAPTER I--GENERAL PROVISIONS]

Sec. 101. Definitions and declaration of policy

  (a) Definitions.--In this title, the following definitions 
apply:
          (1) * * *

           *       *       *       *       *       *       *

          (3) Construction.--The term ``construction'' means 
        the supervising, inspecting, actual building, and 
        incurrence of all costs incidental to the construction 
        or reconstruction of a highway, including bond costs 
        and other costs relating to the issuance in accordance 
        with section 122 of bonds or other debt financing 
        instruments and costs incurred by the State in 
        performing Federal-aid project related audits that 
        directly benefit the Federal-aid highway program. Such 
        term includes--
                  (A) * * *

           *       *       *       *       *       *       *

                  (G) improvements that directly facilitate and 
                control traffic flow, such as grade separation 
                of intersections, widening of lanes, 
                channelization of traffic, traffic control 
                systems, and passenger loading and unloading 
                areas; [and]
                  (H) capital improvements that directly 
                facilitate an effective vehicle weight 
                enforcement program, such as scales (fixed and 
                portable), scale pits, scale installation, and 
                scale houses[.]; and
                  (I) surface transportation workforce 
                development, training, and education.

           *       *       *       *       *       *       *

          (17) Operating costs for traffic monitoring, 
        management, and control.--The term ``operating costs 
        for traffic monitoring, management, and control'' 
        includes labor costs, administrative costs, costs of 
        utilities and rent, and other costs associated with 
        transportation systems management and operations and 
        the continuous operation of traffic control, such as 
        integrated traffic control systems, incident management 
        programs, and traffic control centers.
          (18) Operational improvement.--The term ``operational 
        improvement''--
                  (A) means (i) a capital improvement for 
                transportation systems management and 
                operations, including installation of traffic 
                surveillance and control equipment, 
                computerized signal systems, motorist 
                information systems, integrated traffic control 
                systems, incident management programs, 
                equipment and programs for transportation 
                response to natural disasters, and 
                transportation demand management facilities, 
                strategies, and programs, and (ii) such other 
                capital improvements to public roads as the 
                Secretary may designate, by regulation; and

           *       *       *       *       *       *       *

          (30) Safety improvement project.--The term ``safety 
        improvement project'' means a project that corrects or 
        improves high hazard locations, eliminates roadside 
        obstacles, improves highway signing and pavement 
        marking, installs priority control systems for 
        emergency vehicles at signalized intersections, 
        installs or replaces emergency motorist aid call boxes, 
        installs fluorescent, yellow-green signs at pedestrian 
        or bicycle crossings or school zones, or installs 
        traffic control or warning devices at locations with 
        high accident potential.

           *       *       *       *       *       *       *

          [(2)] (38) Motor vehicle.--The term ``motor vehicle'' 
        means a vehicle driven or drawn by mechanical power and 
        manufactured primarily for use on public streets, 
        roads, and highways, but does not include a vehicle 
        operated exclusively on a rail or rails.
          (39) Transportation systems management and 
        operations.--
                  (A) In general.--The term ``transportation 
                systems management and operations'' means an 
                integrated program to optimize the performance 
                of existing infrastructure through the 
                implementation of multimodal and intermodal, 
                cross-jurisdictional systems, services, and 
                projects designed to preserve capacity and 
                improve the security, safety, and reliability 
                of Federal-aid highways.
                  (B) Included activities and improvements.--
                The term includes regional operations 
                collaboration and coordination activities 
                between transportation and public safety 
                agencies and improvements such as traffic 
                detection and surveillance, arterial 
                management, freeway management, demand 
                management, work zone management, emergency 
                management, electronic toll collection, 
                automated enforcement, traffic operations 
                measures to improve capacity, traffic signal 
                coordination, optimization of traffic signal 
                timing, traffic incident management, roadway 
                weather management, traveler information 
                services, commercial vehicle operations, 
                traffic control, freight management, and 
                coordination of highway, rail, transit, 
                bicycle, and pedestrian operations.
  (b) It is hereby declared to be in the national interest to 
accelerate the construction of the Federal-aid highway systems, 
including the National System of Interstate and Defense 
Highways, since many of such highways, or portions thereof, are 
in fact inadequate to meet the needs of local and interstate 
commerce, for the national and civil defense.

           *       *       *       *       *       *       *

  [It is further declared that since the Interstate System is 
now in the final phase of completion it shall be the national 
policy that increased emphasis be placed on the construction 
and reconstruction of the other Federal-aid systems in 
accordance with the first paragraph of this subsection, in 
order to bring all of the Federal-aid systems up to standards 
and to increase the safety of these systems to the maximum 
extent.] It is further declared that it is in the national 
interest to preserve and enhance the Dwight D. Eisenhower 
National System of Interstate and Defense Highways to meet the 
Nation's needs for the 21st century. The current urban and long 
distance personal travel and freight movement demands have 
surpassed the vision of the original Interstate System and 
travel demand patterns are expected to change. Continued 
planning for and investment in the Interstate System is 
critical to assure it adequately meets the changing travel 
demands of the future. Among the foremost needs that the 
Interstate System must provide are safe, efficient, and 
reliable (1) national and interregional personal mobility, (2) 
flow of interstate commerce, and (3) travel movements essential 
for national security. To the maximum extent, actions under 
this title should address congestion, safety, and freight 
transportation to provide for a strong and vigorous national 
economy. The Interstate System is hereby declared to be the 
Nation's premiere highway system, essential for the Nation's 
economic vitality, national security, and general welfare. The 
Secretary of Transportation is directed to take appropriate 
actions to preserve and enhance the Interstate System to meet 
the needs of the 21st century in accordance with this title.

           *       *       *       *       *       *       *


Sec. 102. Program efficiencies

  [(a) HOV Passenger Requirements.--
          [(1) In general.--A State transportation department 
        shall establish the occupancy requirements of vehicles 
        operating in high occupancy vehicle lanes; except that 
        no fewer than 2 occupants per vehicle may be required 
        and, subject to section 163 of the Surface 
        Transportation Assistance Act of 1982, motorcycles and 
        bicycles shall not be considered single occupant 
        vehicles.
          [(2) Exception for inherently low-emission 
        vehicles.--Notwithstanding paragraph (1), before 
        September 30, 2003, a State may permit a vehicle with 
        fewer than 2 occupants to operate in high occupancy 
        vehicle lanes if the vehicle is certified as an 
        Inherently Low-Emission Vehicle pursuant to title 40, 
        Code of Federal Regulations, and is labeled in 
        accordance with, section 88.312-93(c) of such title. 
        Such permission may be revoked by the State should the 
        State determine it necessary.]
  [(b)] (a) Access of Motorcycles.--No State or political 
subdivision of a State may enact or enforce a law that applies 
only to motorcycles and the principal purpose of which is to 
restrict the access of motorcycles to any highway or portion of 
a highway for which Federal-aid highway funds have been 
utilized for planning, design, construction, or maintenance. 
Nothing in this subsection shall affect the authority of a 
State or political subdivision of a State to regulate 
motorcycles for safety.
  [(c)] (b) Engineering Cost Reimbursement.--If on-site 
construction of, or acquisition of right-of-way for, a highway 
project is not commenced within [10 years (or such longer 
period as the State requests and the Secretary determines to be 
reasonable) after] 10 years (or such longer period as the State 
requests and the Secretary determines to be reasonable) after 
the date on which Federal funds are first made available, out 
of the Highway Trust Fund (other than Mass Transit Account), 
for preliminary engineering of such project, the State shall 
pay an amount equal to the amount of Federal funds made 
available for such engineering. The Secretary shall deposit in 
such Fund all amounts paid to the Secretary under this section.

           *       *       *       *       *       *       *


Sec. 103. Federal-aid systems

  (a) * * *
  (b) National Highway System.--
          (1) * * *

           *       *       *       *       *       *       *

          (6) Eligible projects for nhs.--Subject to approval 
        by the Secretary, funds apportioned to a State under 
        section 104(b)(1) for the National Highway System may 
        be obligated for any of the following:
                  (A) * * *

           *       *       *       *       *       *       *

                  (Q) Capital, operating, and systems 
                maintenance costs for transportation systems 
                management and operations.
  (c) Interstate System.--
          (1) * * *

           *       *       *       *       *       *       *

          (5) Exemption of interstate system.--
                  (A) In general.--Except as provided in 
                subparagraph (B), the Interstate System shall 
                not be considered to be a historic site under 
                section 303 of title 49 or section 138 of this 
                title, regardless of whether the Interstate 
                System or portions of the Interstate System are 
                listed on, or eligible for listing on, the 
                National Register of Historic Places.
                  (B) Individual elements.--Subject to 
                subparagraph (C), a portion of the Interstate 
                System that possesses an independent feature of 
                historic significance (such as a historic 
                bridge or a highly significant engineering 
                feature) that is listed on, or eligible for 
                listing on, the National Register of Historic 
                Places, shall be considered to be a historic 
                site under section 303 of title 49 or section 
                138 of this title, as applicable.
                  (C) Construction, maintenance, restoration, 
                and rehabilitation activities.--Subparagraph 
                (B) does not prohibit a State from carrying out 
                construction, maintenance, restoration, or 
                rehabilitation activities for a portion of the 
                Interstate System referred to in subparagraph 
                (B) upon compliance with section 303 of title 
                49 or section 138 of this title, as applicable, 
                and section 106 of the National Historic 
                Preservation Act of 1966 (16 U.S.C. 470f).
  (d) Transfer of Interstate Construction Funds.--
          (1) Interstate construction funds not in surplus.--
                  (A) * * *
                  (B) Effect of transfer.--Upon transfer of an 
                amount under subparagraph (A), the construction 
                on which the amount is based, as included in 
                the most recent Interstate System cost 
                estimate, shall not be eligible for funding 
                under section 104(b)(5)(A) (as in effect on the 
                day before the date of enactment of the 
                Transportation Equity Act for the 21st Century) 
                or 118(c).

           *       *       *       *       *       *       *


Sec. 104. Apportionment

  (a) Administrative Expenses.--
          [(1) In general.--Whenever an apportionment is made 
        of the sums made available for expenditure on each of 
        the surface transportation program under section 133, 
        the bridge program under section 144, the congestion 
        mitigation and air quality improvement program under 
        section 149, the Interstate and National Highway System 
        program, the minimum guarantee program under section 
        105, the Federal lands highway program under section 
        204, or the Appalachian development highway system 
        program under section 14501 of title 40, the Secretary 
        shall deduct a sum, in an amount not to exceed--
                  [(A) 1\1/6\ percent of all sums so made 
                available, as the Secretary determines 
                necessary--
                          [(i) to administer the provisions of 
                        law to be financed from appropriations 
                        for the Federal-aid highway program and 
                        programs authorized under chapter 2; 
                        and
                          [(ii) to make transfers of such sums 
                        as the Secretary determines to be 
                        appropriate to the Appalachian Regional 
                        Commission for administrative 
                        activities associated with the 
                        Appalachian development highway system; 
                        and
                  [(B) one-third of 1 percent of all sums so 
                made available, as the Secretary determines 
                necessary, to administer the provisions of law 
                to be financed from appropriations for motor 
                carrier safety programs and motor carrier 
                safety research.
          [(2) Consideration of unobligated balances.--In 
        making the determination described in paragraph (1), 
        the Secretary shall take into account the unobligated 
        balance of any sums deducted under this subsection in 
        prior fiscal years.]
          (1) In general.--There are authorized to be 
        appropriated from the Highway Trust Fund (other than 
        the Mass Transit Account) for purposes described in 
        paragraph (2) $390,000,000 for fiscal year 2004, 
        $395,000,000 for fiscal year 2005, $395,000,000 for 
        fiscal year 2006, $395,000,000 for fiscal year 2007, 
        $395,000,000 for fiscal year 2008, and $400,000,000 for 
        fiscal year 2009.
          (2) Use of funds.--The amounts authorized to be 
        appropriated by paragraph (1) are authorized for the 
        following purposes:
                  (A) To administer the provisions of law to be 
                financed from appropriations for the Federal-
                aid highway program and programs authorized 
                under chapter 2.
                  (B) To make transfers of such sums as the 
                Secretary determines to be appropriate to the 
                Appalachian Regional Commission for 
                administrative activities associated with the 
                Appalachian development highway system.
          (3) Availability.--The [sum deducted under] amounts 
        authorized to be appropriated by paragraph (1) shall 
        remain available until expended.
          (4) Limitation on transferability.--Unless expressly 
        authorized by law, the Secretary may not transfer any 
        [sums deducted under] amounts authorized to be 
        appropriated by paragraph (1) to a Federal agency or 
        entity other than the Federal Highway Administration 
        [and the Federal Motor Carrier Safety Administration].
  (b) Apportionments.--On October 1 of each fiscal year, the 
Secretary, after making [the deduction authorized by subsection 
(a) and] the set-aside authorized by subsection (f), shall 
apportion the remainder of the sums authorized to be 
appropriated for expenditure on the Interstate and National 
Highway System program, the Congestion Mitigation and Air 
Quality Improvement program, and the Surface Transportation 
program for that fiscal year, among the several States in the 
following manner:
          (1) National highway system component.--
                  (A) In general.--For the National Highway 
                System (excluding funds apportioned under 
                paragraph (4)), [$36,400,000 for each fiscal 
                year] $40,000,000 for fiscal year 2004, 
                $40,000,000 for fiscal year 2005, $40,000,000 
                for fiscal year 2006, $50,000,000 for fiscal 
                year 2007, $50,000,000 for fiscal year 2008, 
                and $50,000,000 for fiscal year 2009 to the 
                Virgin Islands, Guam, American Samoa, and the 
                Commonwealth of Northern Mariana Islands, 
                [$18,800,000 for each of fiscal years 1998 
                through 2002] $20,000,000 for fiscal year 2004 
                and $30,000,000 for each of fiscal years 2005 
                through 2009 for the Alaska Highway, and the 
                remainder apportioned as follows:
                          (i) * * *

           *       *       *       *       *       *       *

  (d) Operation Lifesaver and High Speed Rail Corridors.--
          (1) Operation lifesaver.--Before making an 
        apportionment under [subsection (b)(3) of this section] 
        section 130(f) for a fiscal year, the Secretary shall 
        set aside [$500,000] $600,000 for such fiscal year for 
        carrying out a public information and education program 
        to help prevent and reduce motor vehicle accidents, 
        injuries, and fatalities and to improve driver 
        performance at railway-highway crossings.
          (2) Railway-highway crossing hazard elimination in 
        high speed rail corridors.--
                  (A) In general.--Before making an 
                apportionment of funds under subsection (b)(3) 
                for a fiscal year, the Secretary shall set 
                aside [$5,250,000] $7,500,000 for each of 
                fiscal years 2004 and 2005, $10,000,000 for 
                each of fiscal years 2006 and 2007, and 
                $15,000,000 for each of fiscal years 2008 and 
                2009 of the funds made available for the 
                surface transportation program for the fiscal 
                year for elimination of hazards of railway-
                highway crossings.

           *       *       *       *       *       *       *

                  (E) Certain improvements.--[Not less than 
                $250,000 of such set-aside] Of such set-aside, 
                not less than $875,000 for each of fiscal years 
                2004 and 2005, $1,500,000 for each of fiscal 
                years 2006 and 2007, and $2,750,000 for each of 
                fiscal years 2008 and 2009 shall be available 
                [per fiscal year] for eligible improvements to 
                the Minneapolis/St. Paul-Chicago segment of the 
                Midwest High Speed Rail Corridor.

           *       *       *       *       *       *       *

  (f) Metropolitan Planning.--
          (1) Set-aside.--On October 1 of each fiscal year, the 
        Secretary[, after making the deduction authorized by 
        subsection (a) of this section,] shall set aside not to 
        exceed 1 percent of the [remaining] funds authorized to 
        be appropriated for expenditure upon programs 
        authorized under this title, for the purpose of 
        carrying out the requirements of section 134 of this 
        title.

           *       *       *       *       *       *       *

          (4) Distribution of funds within states.--The 
        distribution within any State of the planning funds 
        made available to agencies under paragraph (3) of this 
        subsection shall be in accordance with a formula 
        developed by each State and approved by the Secretary 
        which shall consider but not necessarily be limited to, 
        population, status of planning, attainment of air 
        quality standards, metropolitan area transportation 
        needs, and other factors necessary to provide for an 
        appropriate distribution of funds to carry out the 
        requirements of section 134 and other applicable 
        requirements of Federal law. Such distribution of funds 
        to metropolitan planning organizations shall be made 
        within 30 days of the date of receipt of such funds 
        from the Secretary.

           *       *       *       *       *       *       *

  (h) Recreational Trails Program.--
          (1) Administrative costs.--Whenever an apportionment 
        is made of the sums authorized to be appropriated to 
        carry out the recreational trails program under section 
        206, the Secretary shall deduct an amount, not to 
        exceed 1\1/2\ percent of the sums authorized, to cover 
        the cost to the Secretary for administration of and 
        [research and technical assistance under the 
        recreational trails program and for administration of 
        the National Recreational Trails Advisory Committee] 
        research, technical assistance, and training under the 
        recreational trails program. The Secretary may enter 
        into contracts with for-profit organizations or 
        contracts, partnerships, or cooperative agreements with 
        other government agencies, institutions of higher 
        learning, or nonprofit organizations to perform these 
        tasks.

           *       *       *       *       *       *       *

  (i) Audits of Highway Trust Fund.--From administrative funds 
[deducted] authorized to be appropriated under subsection (a), 
the Secretary may reimburse the Office of Inspector General of 
the Department of Transportation for the conduct of annual 
audits of financial statements in accordance with section 3521 
of title 31.

           *       *       *       *       *       *       *


Sec. 105. Minimum guarantee

  (a) General Rule.--For each of fiscal years [1998 through 
2003] 2004 through 2009, the Secretary shall allocate among the 
States amounts sufficient to ensure that each State's 
percentage of the total apportionments for such fiscal year of 
Interstate maintenance, national highway system, bridge, 
congestion mitigation and air quality improvement, surface 
transportation, metropolitan planning, minimum guarantee[, high 
priority projects], Appalachian development highway system, 
[and recreational trails] recreational trails, coordinated 
border infrastructure, freight intermodal connectors, safe 
routes to school, highway safety improvement, and high risk 
rural road safety improvement programs shall equal the 
percentage listed for each State in subsection (b). The minimum 
amount allocated to a State under this section for a fiscal 
year shall be $1,000,000.

           *       *       *       *       *       *       *

  (c) Treatment of Funds.--
          (1) Programmatic distribution.--The Secretary shall 
        apportion the amounts made available under this section 
        that exceed [$2,800,000,000] $2,870,000,000 in fiscal 
        year 2004, $2,941,750,000 in fiscal year 2005, 
        $3,015,293,750 in fiscal year 2006, $3,090,676,094 in 
        fiscal year 2007, $3,167,942,996 in fiscal year 2008, 
        and $3,247,141,571 in fiscal year 2009 so that the 
        amount apportioned to each State under this paragraph 
        for each program referred to in subsection (a) (other 
        than metropolitan planning, minimum guarantee[, high 
        priority projects], Appalachian development highway 
        system, [and recreational trails] recreational trails, 
        coordinated border infrastructure, freight intermodal 
        connectors, safe routes to school, highway safety 
        improvement, and high risk rural road safety 
        improvement programs) is equal to the amount determined 
        by multiplying the amount to be apportioned under this 
        paragraph by the ratio that--
                  (A) the amount of funds apportioned to each 
                State for each program referred to in 
                subsection (a) (other than metropolitan 
                planning, minimum guarantee, high priority 
                projects, Appalachian development highway 
                system, [and recreational trails] recreational 
                trails, coordinated border infrastructure, 
                freight intermodal connectors, safe routes to 
                school, highway safety improvement, and high 
                risk rural road safety improvement programs) 
                for a fiscal year; bears to

           *       *       *       *       *       *       *

  (d) Authorization.--There are authorized to be appropriated 
out of the Highway Trust Fund (other than the Mass Transit 
Account) such sums as may be necessary to carry out this 
section for each of fiscal years [1998 through 2003] 2004 
through 2009.
  [(e) Special Rule.--If in any of fiscal years 1999 through 
2003, the amount authorized under subsection (d) is more than 
30 percent higher than the amount authorized under subsection 
(d) in fiscal year 1998, the Secretary shall use the 
apportionment factors under sections 104 and 144 as in effect 
on the date of enactment of this section.]
  [(f)] (e) Guarantee [of 90.5] Specified Return.--
          (1) In general.--Before making any apportionment 
        under this title for each of fiscal years [1999 through 
        2003] 2004 through 2009, the Secretary, subject to 
        paragraph (2), shall adjust the percentages in the 
        table in subsection (b) to reflect the estimated 
        percentage of estimated tax payments attributable to 
        highway users in each State paid into the Highway Trust 
        Fund (other than the Mass Transit Account) in the 
        latest fiscal year for which data is available, to 
        ensure that no State's percentage return from such 
        Trust Fund is less than 90.5 percent.

           *       *       *       *       *       *       *


Sec. 106. Project approval and oversight

  (a) * * *

           *       *       *       *       *       *       *

  (h) Financial Plan.--A recipient of Federal financial 
assistance for a project under this title with an estimated 
total cost of [$1,000,000,000] $500,000,000 or more shall 
submit to the Secretary an annual financial plan for the 
project. The plan shall be based on detailed annual estimates 
of the cost to complete the remaining elements of the project 
and on reasonable assumptions, as determined by the Secretary, 
of future increases in the cost to complete the project.
  (i) Use of Excess Funds.--
          (1) Audits.--A State may audit projects funded with 
        amounts apportioned under sections 104 and 144 to 
        determine whether any amounts obligated for a project 
        are excess funds.
          (2) Plans for use of excess funds.--If a State 
        determines, after conducting an audit under paragraph 
        (1), that funds obligated for a project are excess 
        funds, the State may develop a plan for obligating the 
        funds for the design and construction of one or more 
        projects that are eligible for funding under the 
        program for which the funds were originally 
        apportioned.
          (3) Certification to the secretary.--A State that has 
        developed a plan under paragraph (2) shall transmit to 
        the Secretary a certification that the State has 
        conducted an audit under paragraph (1) and developed 
        the plan in accordance with paragraph (2).
          (4) Implementation of plans.--After transmitting a 
        certification to the Secretary with respect to a plan 
        under paragraph (3), the State may carry out the plan.
          (5) Applicability of requirements.--Excess funds used 
        to carry out a project under this section shall be 
        subject to the requirements of this title that are 
        applicable to the program for which the funds were 
        originally apportioned.
          (6) Excess funds defined.--In this subsection, the 
        term ``excess funds'' means funds obligated for a 
        project that remain available for the project after the 
        project has been completed.

           *       *       *       *       *       *       *


Sec. 109. Standards

  (a) * * *

           *       *       *       *       *       *       *

  [(e) No funds]
  (e) Installation of Safety Devices.--
          (1) Highway and railroad grade crossings and 
        drawbridges.--No funds shall be approved for 
        expenditure on any Federal-aid highway, or highway 
        affected under chapter 2 of this title, unless proper 
        safety protective devices complying with safety 
        standards determined by the Secretary at that time as 
        being adequate shall be installed or be in operation at 
        any highway and railroad grade crossing or drawbridge 
        on that portion of the highway with respect to which 
        such expenditures are to be made.
          (2) Temporary traffic control devices.--No funds 
        shall be approved for expenditure on any Federal-aid 
        highway, or highway affected under chapter 2 of this 
        title, unless proper temporary traffic control devices 
        to improve safety in work zones will be installed and 
        maintained during construction, utility, and 
        maintenance operations on that portion of the highway 
        with respect to which such expenditures are to be made. 
        Installation and maintenance of the devices shall be in 
        accordance with the Manual on Uniform Traffic Control 
        Devices.

           *       *       *       *       *       *       *


Sec. 110. Revenue aligned budget authority

  (a) * * *
  (b) General Distribution.--The Secretary shall--
          (1) determine the ratio that--
                  (A) the sums authorized to be appropriated 
                from the Highway Trust Fund (other than the 
                Mass Transit Account) for each of the [for] 
                Federal-aid highway and highway safety 
                construction programs (other than the minimum 
                guarantee program) and the motor carrier safety 
                grant program for which funds are allocated 
                from such Trust Fund by the Secretary under 
                this title, the Transportation Equity Act for 
                the 21st Century, and subchapter I of chapter 
                311 of title 49 for a fiscal year, bears to

           *       *       *       *       *       *       *


Sec. 112. Letting of contracts

  (a) * * *
  (b) Bidding Requirements.--
          (1) * * *

           *       *       *       *       *       *       *

          (3) Design-build contracting.--
                  (A) * * *

           *       *       *       *       *       *       *

                  [(C) Qualified projects.--A qualified project 
                referred to in subparagraph (A) is a project 
                under this chapter for which--
                          [(i) the Secretary has approved the 
                        use of design-build contracting 
                        described in subparagraph (A) under 
                        criteria specified in regulations 
                        issued by the Secretary; and
                          [(ii) the total costs are estimated 
                        to exceed--
                                  [(I) in the case of a project 
                                that involves installation of 
                                an intelligent transportation 
                                system, $5,000,000; and
                                  [(II) in the case of any 
                                other project, $50,000,000.]
                  (C) Qualified projects.--A qualified project 
                referred to in subparagraph (A) is a project 
                under this chapter for which the Secretary has 
                approved the use of design-build contracting 
                under criteria specified in regulations issued 
                by the Secretary.
                  (D) Experimental procurement.--As part of any 
                experimental program carried out under this 
                section, the Secretary shall evaluate the use 
                of procurement procedures under this paragraph 
                where subjective evaluation criteria account 
                for the majority of the selection 
                determination.
                  (E) Limitation on statutory construction.--
                Nothing in this section shall be construed as 
                effecting the authority to carry out any 
                experimental program concerning design-build 
                contracting that is being carried out by the 
                Secretary on the date of enactment of this 
                subparagraph.
                  (F) Report.--Not later than 3 years after the 
                date of enactment of this subparagraph, the 
                Secretary shall transmit to Congress a report 
                on the effectiveness of design-build 
                contracting procedures in which the majority of 
                the selection determinations are made based on 
                subjective criteria in accordance with 
                subparagraph (D).
                  [(D)] (G) Design-build contract defined.--In 
                this paragraph, the term ``design-build 
                contract'' means an agreement that provides for 
                design and construction of a project by a 
                contractor, regardless of whether the agreement 
                is in the form of a design-build contract, a 
                franchise agreement, or any other form of 
                contract approved by the Secretary.

           *       *       *       *       *       *       *

  [(f) The provisions of this section shall not be applicable 
to contracts for projects on the Federal-aid secondary system 
in those States where the Secretary has discharged his 
responsibility pursuant to section 117 of this title, except 
where employees of a political subdivision of a State are 
working on a project outside of such political subdivision.]
  [(g)] (f) Selection Process.--A State may procure, under a 
single contract, the services of a consultant to prepare any 
environmental impact assessments or analyses required for a 
project, including environmental impact statements, as well as 
subsequent engineering and design work on the project if the 
State conducts a review that assesses the objectivity of the 
environmental assessment, environmental analysis, or 
environmental impact statement prior to its submission to the 
Secretary.
  (g) Temporary Traffic Control Devices.--
          (1) Issuance of regulations.--The Secretary, after 
        consultation with appropriate Federal and State 
        officials, shall issue regulations establishing the 
        conditions for the appropriate use of, and expenditure 
        of funds for, uniformed law enforcement officers, 
        positive protective measures between workers and 
        motorized traffic, and installation and maintenance of 
        temporary traffic control devices during construction, 
        utility, and maintenance operations.
          (2) Effects of regulations.--Based on regulations 
        issued under paragraph (1), a State shall--
                  (A) develop separate pay items for the use of 
                uniformed law enforcement officers, positive 
                protective measures between workers and 
                motorized traffic, and installation and 
                maintenance of temporary traffic control 
                devices during construction, utility, and 
                maintenance operations; and
                  (B) incorporate such pay items into contract 
                provisions to be included in each contract 
                entered into by the State with respect to a 
                highway project to ensure compliance with 
                section 109(e)(2).
          (3) Limitation.--Nothing in the regulations shall be 
        construed to prohibit a State from implementing 
        standards that are more stringent than those required 
        under the regulations.
          (4) Positive protective measures defined.--In this 
        subsection, the term ``positive protective measures'' 
        means temporary traffic barriers, crash cushions, and 
        other strategies to avoid traffic accidents in work 
        zones, including full road closures.

           *       *       *       *       *       *       *


Sec. 114. Construction

  (a) Construction Work In General.--The construction of any 
highways or portions of highways located on a Federal-aid 
system shall be undertaken by the respective State 
transportation departments or under their direct supervision. 
[Except as provided in section 117 of this title, such] Such 
construction shall be subject to the inspection and approval of 
the Secretary. The construction work and labor in each State 
shall be performed under the direct supervision of the State 
transportation department and in accordance with the laws of 
that State and applicable Federal laws. Construction may be 
begun as soon as funds are available for expenditure pursuant 
to subsection (a) of section 118 of this title. After July 1, 
1973, the State transportation department shall not erect on 
any project where actual construction is in progress and 
visible to highway users any informational signs other than 
official traffic control devices conforming with standards 
developed by the Secretary of Transportation.

           *       *       *       *       *       *       *

  (c) Construction Work in Alaska.--
          (1) In general.--The Secretary shall ensure that a 
        worker who is employed on a remote project for the 
        construction of a highway or portion of a highway 
        located on a Federal-aid system in the State of Alaska 
        and who is not a domiciled resident of the locality 
        shall receive meals and lodging.
          (2) Lodging.--The lodging under paragraph (1) shall 
        be in accordance with section 1910.142 of title 29, 
        Code of Federal Regulations (relating to temporary 
        labor camp requirements).
          (3) Definitions.--In this subsection, the following 
        definitions apply:
                  (A) Remote.--The term ``remote'', as used 
                with respect to a project, means that the 
                project is 75 miles or more from the United 
                States Post Office in either Fairbanks, 
                Anchorage, Juno, or Ketchikan, Alaska, or is 
                inaccessible by road in a 2-wheel drive 
                vehicle.
                  (B) Resident.--The term ``resident'', as used 
                with respect to a project, means a person 
                living within 75 miles of the midpoint of the 
                project for at least 12 months.

           *       *       *       *       *       *       *


Sec. 116. Maintenance

  (a) * * *
  (b) In any State wherein the State transportation department 
is without legal authority to maintain a project constructed on 
the Federal-aid secondary system, or within a municipality, 
such [highway department] transportation department shall enter 
into a formal agreement for its maintenance with the 
appropriate officials of the county or municipality in which 
such project is located.

           *       *       *       *       *       *       *


Sec. 117. High priority projects program

  (a) Authorization of High Priority Projects.--The Secretary 
is authorized to carry out high priority projects with funds 
made available to carry out the high priority projects program 
under this section. Of amounts made available to carry out this 
section, the Secretary, subject to subsection (b), shall make 
available to carry out each project described in section [1602 
of the Transportation Equity Act for the 21st Century] 1701 of 
the Transportation Equity Act: A Legacy for Users the amount 
listed for such project in such section. Any amounts made 
available to carry out such program that are not allocated for 
projects described in such section shall be available to the 
Secretary, subject to subsection (b), to carry out such other 
high priority projects as the Secretary determines appropriate.
  (b) Allocation Percentages.--For each project to be carried 
out with funds made available to carry out the high priority 
projects program under this section--
          [(1) 11 percent of such amount shall be available for 
        obligation beginning in fiscal year 1998;
          [(2) 15 percent of such amount shall be available for 
        obligation beginning in fiscal year 1999;
          [(3) 18 percent of such amount shall be available for 
        obligation beginning in fiscal year 2000;
          [(4) 18 percent of such amount shall be available for 
        obligation beginning in fiscal year 2001;
          [(5) 19 percent of such amount shall be available for 
        obligation beginning in fiscal year 2002; and
          [(6) 19 percent of such amount shall be available for 
        obligation beginning in fiscal year 2003.]
          (1) 19.6 percent of such amount shall be available 
        for obligation beginning in fiscal year 2004;
          (2) 18.5 percent of such amount shall be available 
        for obligation beginning in fiscal year 2005;
          (3) 16.3 percent of such amount shall be available 
        for obligation beginning in fiscal year 2006;
          (4) 15.3 percent of such amount shall be available 
        for obligation beginning in fiscal year 2007;
          (5) 15.8 percent of such amount shall be available 
        for obligation beginning in fiscal year 2008; and
          (6) 14.5 percent of such amount shall be available 
        for obligation beginning in fiscal year 2009.
  (c) Federal Share.--The Federal share payable on account of 
any project carried out with funds made available to carry out 
this section shall be 80 percent of the total cost thereof[; 
except that the Federal share on account of the project to be 
carried out under item 1419 of the table contained in section 
1602 of the Transportation Equity Act for the 21st Century (112 
Stat. 309), relating to reconstruction of a road and causeway 
in Shiloh Military Park in Hardin County, Tennessee, shall be 
100 percent of the total cost thereof].

           *       *       *       *       *       *       *

  (e) Advance Construction.--When a State which has been 
delegated responsibility for a project under this section--
          (1) has obligated all funds allocated under this 
        section and section [1602 of the Transportation Equity 
        Act for the 21st Century] 1701 of the Transportation 
        Equity Act: A Legacy for Users for such project; and
          (2) proceeds to construct such project without the 
        aid of Federal funds in accordance with all procedures 
        and all requirements applicable to such project, except 
        insofar as such procedures and requirements limit the 
        State to the construction of projects with the aid of 
        Federal funds previously allocated to it;
the Secretary, upon the approval of the application of a State, 
shall pay to the State the Federal share of the cost of 
construction of the project when additional funds are allocated 
for such project under this section and section [1602 of the 
Transportation Equity Act for the 21st Century] 1701 of the 
Transportation Equity Act: A Legacy for Users.

           *       *       *       *       *       *       *

  (g) Availability of Obligation Limitation.--Obligation 
authority attributable to funds made available to carry out 
this section shall only be available for the purposes of this 
section and shall remain available until obligated pursuant to 
section 1102(g) of the [Transportation Equity Act for the 21st 
Century] Transportation Equity Act: A Legacy for Users.

           *       *       *       *       *       *       *


Sec. 118. Availability of funds

  (a) * * *

           *       *       *       *       *       *       *

  [(c) Set-Asides for Interstate Discretionary Projects.--
          [(1) In general.--Before any apportionment is made 
        under section 104(b)(4), the Secretary shall set aside 
        $50,000,000 in fiscal year 1998 and $100,000,000 in 
        each of fiscal years 1999 through 2003 for obligation 
        by the Secretary for projects for resurfacing, 
        restoring, rehabilitating, and reconstructing any route 
        or portion thereof on the Interstate System (other than 
        any highway designated as a part of the Interstate 
        System under section 139 (as in effect on the day 
        before the date of enactment of the Transportation 
        Equity Act for the 21st Century)) and any toll road on 
        the Interstate System not subject to an agreement under 
        section 119(e) (as in effect on December 17, 1991).
          [(2) Selection criteria.--The amounts set aside under 
        paragraph (1) shall be made available by the Secretary 
        to any State applying for such funds if the Secretary 
        determines that--
                  [(A) the State has obligated or demonstrates 
                that it will obligate in the fiscal year all of 
                its apportionments under section 104(b)(4) 
                other than an amount that, by itself, is 
                insufficient to pay the Federal share of the 
                cost of a project for resurfacing, restoring, 
                rehabilitating, and reconstructing the 
                Interstate System that has been submitted by 
                the State to the Secretary for approval; and
                  [(B) the applicant is willing and able to--
                          [(i) obligate the funds within 1 year 
                        of the date the funds are made 
                        available;
                          [(ii) apply the funds to a ready-to-
                        commence project; and
                          [(iii) in the case of construction 
                        work, begin work within 90 days after 
                        obligation.
          [(3) Priority consideration for certain projects.--In 
        selecting projects to fund under paragraph (1), the 
        Secretary shall give priority consideration to any 
        project the cost of which exceeds $10,000,000 on any 
        high volume route in an urban area or a high truck-
        volume route in a rural area.
          [(4) Period of availability of discretionary funds.--
        Sums made available pursuant to this subsection shall 
        remain available until expended.]
  [(d)] (c) Effect of Release of Funds.--Any Federal-aid 
highway funds released by the final payment on a project, or by 
the modification of the project agreement, shall be credited to 
the same program funding category previously apportioned to the 
State and shall be immediately available for expenditure.
  [(e)] (d) Special Rules.--Funds made available to the State 
of Alaska and the Commonwealth of Puerto Rico under this title 
may be expended for construction of access and development 
roads that will serve resource development, recreational, 
residential, commercial, industrial, or other like purposes.

           *       *       *       *       *       *       *


Sec. 120. Federal share payable

  (a) * * *

           *       *       *       *       *       *       *

  (e) Emergency Relief.--The Federal share payable on account 
of any repair or reconstruction provided for by funds made 
available under section 125 of this title on account of any 
project on a Federal-aid highway, including the Interstate 
System, shall not exceed the Federal share payable on a project 
on [such system] such highway as provided in subsections (a) 
and (b) of this section; except that (1) the Federal share 
payable for eligible emergency repairs to minimize damage, 
protect facilities, or restore essential traffic accomplished 
within 180 days after the actual occurrence of the natural 
disaster or catastrophic failure may amount to 100 percent of 
the costs thereof; and (2) the Federal share payable on account 
of any repair or reconstruction of forest highways, forest 
development roads and trails, park roads and trails, parkways, 
public lands highways, public lands development roads and 
trails, and Indian reservation roads may amount to 100 percent 
of the cost thereof. The total cost of a project may not exceed 
the cost of repair or reconstruction of a comparable facility. 
As used in this section with respect to bridges and in section 
144 of this title, ``a comparable facility'' shall mean a 
facility which meets the current geometric and construction 
standards required for the types and volume of traffic which 
such facility will carry over its design life.

           *       *       *       *       *       *       *

  (j) Credit for Non-Federal Share.--
          (1) Eligibility.--A State may use as a credit toward 
        the non-Federal share requirement for any funds made 
        available to carry out this title (other than the 
        emergency relief program authorized by section 125 and 
        the Appalachian development highway system program 
        under section 14501 of title 40) or chapter 53 of title 
        49 toll revenues that are generated and used by public, 
        quasi-public, and private agencies to build, improve, 
        or maintain highways, bridges, or tunnels that serve 
        the public purpose of interstate commerce. Such public, 
        quasi-public, or private agencies shall have built, 
        improved, or maintained such facilities without Federal 
        funds.

           *       *       *       *       *       *       *


Sec. 125. Emergency relief

  (a) * * *

           *       *       *       *       *       *       *

  (c) Funding.--Subject to the following limitations, there are 
authorized to be appropriated from the Highway Trust Fund 
(other than the Mass Transit Account) such sums as may be 
necessary to establish the fund authorized by this section and 
to replenish it on an annual basis:
          (1) Not more than [$100,000,000] $120,000,000 is 
        authorized to be obligated in any 1 fiscal year 
        commencing after September 30, 1980, to carry out the 
        provisions of this section; except that, if in any 
        fiscal year the total of all obligations under this 
        section is less than the amount authorized to be 
        obligated in such fiscal year, the unobligated balance 
        of such amount shall remain available until expended 
        and shall be in addition to amounts otherwise available 
        to carry out this section each year.

           *       *       *       *       *       *       *


Sec. 126. Uniform transferability of Federal-aid highway funds

  (a) General Rule.--Notwithstanding any other provision of law 
but subject to subsections (b) and (c), if at least 50 percent 
of a State's apportionment under section 104 or 144 for a 
fiscal year or at least 50 percent of the funds set-aside under 
section 133(d) from the State's apportionment under section 
104(b)(3) may not be transferred to any other apportionment of 
the State under section 104 or 144 for such fiscal year, then 
the State may transfer not to exceed 50 percent of such 
apportionment or set aside to any other apportionment of such 
State under section 104 or 144 for such fiscal year.
  (b) Application to Certain Set-Asides.--No funds may be 
transferred under this section that are subject [to the last 
sentence of section 133(d)(1) or] to section 104(f) or to 
[section 133(d)(3)] section 133(d)(2). The maximum amount that 
a State may transfer under this section of the State's set-
aside under section 133(d)(1) [or 133(d)(2)] for a fiscal year 
may not exceed 25 percent of (1) the amount of such set-aside, 
less (2) the amount of the State's set-aside under such section 
for fiscal year 1997.

           *       *       *       *       *       *       *


Sec. 127. Vehicle weight limitations--Interstate System

  (a) In General.--No funds shall be apportioned in any fiscal 
year under section 104(b)(1) of this title to any State which 
does not permit the use of the National System of Interstate 
and Defense Highways within its boundaries by vehicles with a 
weight of twenty thousand pounds carried on any one axle, 
including enforcement tolerances, or with a tandem axle weight 
of thirty-four thousand pounds, including enforcement 
tolerances, or a gross weight of at least eighty thousand 
pounds for vehicle combinations of five axles or more. However, 
the maximum gross weight to be allowed by any State for 
vehicles using the National System of Interstate and Defense 
Highways shall be twenty thousand pounds carried on one axle, 
including enforcement tolerances, and a tandem axle weight of 
thirty-four thousand pounds, including enforcement tolerances 
and with an overall maximum gross weight, including enforcement 
tolerances, on a group of two or more consecutive axles 
produced by application of the following formula:

           *       *       *       *       *       *       *

where W equals overall gross weight on any group of two or more 
consecutive axles to the nearest five hundred pounds, L equals 
distance in feet between the extreme of any group of two or 
more consecutive axles, and N equals number of axles in group 
under consideration, except that two consecutive sets of tandem 
axles may carry a gross load of thirty-four thousand pounds 
each providing the overall distance between the first and last 
axles of such consecutive sets of tandem axles is (1) thirty-
six feet or more, or (2) in the case of a motor vehicle hauling 
any tank trailer, dump trailer, or ocean transport container 
before September 1, 1989, is 30 feet or more: Provided, That 
such overall gross weight may not exceed eighty thousand 
pounds, including all enforcement tolerances, except for 
vehicles using Interstate Route 29 between Sioux City, Iowa, 
and the border between Iowa and South Dakota or vehicles using 
Interstate Route 129 between Sioux City, Iowa, and the border 
between Iowa and Nebraska, and except for those vehicles and 
loads which cannot be easily dismantled or divided and which 
have been issued special permits in accordance with applicable 
State laws, or the corresponding maximum weights permitted for 
vehicles using the public highways of such State under laws or 
regulations established by appropriate State authority in 
effect on July 1, 1956 except in the case of the overall gross 
weight of any group of two or more consecutive axles on any 
vehicle (other than a vehicle comprised of a motor vehicle 
hauling any tank trailer, dump trailer, or ocean transport 
container on or after September 1, 1989), on the date of 
enactment of the Federal-Aid Highway Amendments of 1974, 
whichever is the greater. Any amount which is withheld from 
apportionment to any State pursuant to the foregoing provisions 
shall lapse if not released and obligated within the 
availability period specified in section [118(b)(1)] 118(b)(2) 
of this title. This section shall not be construed to deny 
apportionment to any State allowing the operation within such 
State of any vehicles or combinations thereof, other than 
vehicles or combinations subject to subsection (d) of this 
section, which the State determines could be lawfully operated 
within such State on July 1, 1956, except in the case of the 
overall gross weight of any group of two or more consecutive 
axles, on the date of enactment of the Federal-Aid Highway 
Amendments of 1974. With respect to State of Hawaii, laws or 
regulations in effect on February 1, 1960, shall be applicable 
for the purposes of this section in lieu of those in effect on 
July 1, 1956. With respect to the State of Colorado, vehicles 
designed to carry 2 or more precast concrete panels shall be 
considered a nondivisible load. With respect to the State of 
Michigan, laws or regulations in effect on May 1, 1982, shall 
be applicable for the purposes of this subsection. With respect 
to the State of Maryland, laws and regulations in effect on 
June 1, 1993, shall be applicable for the purposes of this 
subsection. The State of Louisiana may allow, by special 
permit, the operation of vehicles with a gross vehicle weight 
of up to 100,000 pounds for the hauling of sugarcane during the 
harvest season, not to exceed 100 days annually. With respect 
to Interstate Route 95 in the State of New Hampshire, State 
laws (including regulations) concerning vehicle weight 
limitations that were in effect on January 1, 1987, and are 
applicable to State highways other than the Interstate System, 
shall be applicable in lieu of the requirements of this 
subsection. With respect to that portion of the Maine Turnpike 
designated Interstate Route 95 and 495, and that portion of 
Interstate Route 95 from the southern terminus of the Maine 
Turnpike to the New Hampshire State line, laws (including 
regulations) of the State of Maine concerning vehicle weight 
limitations that were in effect on October 1, 1995, and are 
applicable to State highways other than the Interstate System, 
shall be applicable in lieu of the requirements of this 
subsection.

           *       *       *       *       *       *       *


Sec. 130. Railway-highway crossings

  (a) * * *

           *       *       *       *       *       *       *

  (e) Funds for Protective Devices.--
          (1) In general.--At least \1/2\ of the funds 
        authorized for and expended under this section shall be 
        available for the installation of protective devices at 
        railway-highway crossings. Sums authorized to be 
        appropriated to carry out this section shall be 
        available for obligation in the same manner as funds 
        apportioned under section 104(b)(1) of this title.
          (2) Special rule.--If a State demonstrates to the 
        satisfaction of the Secretary that the State has met 
        all its needs for installation of protective devices at 
        railway-highway crossings, the State may use funds made 
        available by this subsection for other purposes by this 
        section.
  [(f) Apportionment.--Twenty-five percent of the funds 
authorized to be appropriated to carry out this section shall 
be apportioned to the States in the same manner as sums are 
apportioned under section 104(b)(2) of this title, 25 percent 
of such funds shall be apportioned to the States in the same 
manner as sums are apportioned under section 104(b)(6) of this 
title, and 50 percent of such funds shall be apportioned to the 
States in the ratio that total railway-highway crossings in 
each State bears to the total of such crossings in all States. 
The Federal share payable on account of any project financed 
with funds authorized to be appropriated to carry out this 
section shall be 90 percent of the cost thereof.]
  (f) Apportionment.--
          (1) Formula.--Fifty percent of the funds authorized 
        to be appropriated to carry out this section shall be 
        apportioned to the States in accordance with the 
        formula set forth in section 104(b)(3)(A), and 50 
        percent of such funds shall be apportioned to the 
        States in the ratio that total public railway-highway 
        crossings in each State bears to the total of such 
        crossings in all States.
          (2) Minimum apportionment.--Notwithstanding paragraph 
        (1), each State shall receive a minimum of \1/2\ of 1 
        percent of the funds apportioned under paragraph (1).
          (3) Federal share.--The Federal share payable on 
        account of any project financed with funds authorized 
        to be appropriated to carry out this section shall be 
        90 percent of the cost thereof.
  (g) Annual Report.--Each State shall report to the Secretary 
not later than December 30 of each year on the progress being 
made to implement the railway-highway crossings program 
authorized by this section and the effectiveness of such 
improvements. Each State report shall contain an assessment of 
the costs of the various treatments employed and subsequent 
accident experience at improved locations. The Secretary shall 
submit a report to the Committee on Environment and Public 
Works of the Senate and the Committee on Transportation and 
Infrastructure of the House of Representatives [not later than 
April 1 of each year,], not later than April 1, 2005, and every 
2 years thereafter, on the progress being made by the State in 
implementing projects to improve railway-highway crossings. The 
report shall include, but not be limited to, the number of 
projects undertaken, their distribution by cost range, road 
system, nature of treatment, and subsequent accident experience 
at improved locations. In addition, the Secretary's report 
shall analyze and evaluate each State program, identify any 
State found not to be in compliance with the schedule of 
improvements required by subsection (d) and include 
recommendations for future implementation of the railroad 
highway crossings program.

           *       *       *       *       *       *       *

  (k) Expenditure of Funds.--Not more than 2 percent of funds 
apportioned to a State to carry out this section may be used by 
the State for compilation and analysis of data in support of 
activities carried out under subsection (g).

Sec. 131. Control of outdoor advertising

  (a) * * *

           *       *       *       *       *       *       *

  (m) There is authorized to be appropriated to carry out the 
provisions of this section, out of any money in the Treasury 
not otherwise appropriated, not to exceed $20,000,000 for the 
fiscal year ending June 30, 1966, not to exceed $20,000,000 for 
the fiscal year ending June 30, 1967, not to exceed $2,000,000 
for the fiscal year ending June 30, 1970, not to exceed 
$27,000,000 for the fiscal year ending June 30, 1971, not to 
exceed $20,500,000 for the fiscal year ending June 30, 1972, 
and not to exceed $50,000,000 for the fiscal year ending June 
30, 1973. The provisions of this chapter relating to the 
obligation, period of availability and expenditure of Federal-
aid primary highway funds shall apply to the funds authorized 
to be appropriated to carry out this section after June 30, 
1967. Subject to approval by the Secretary [in accordance with 
the program of projects approval process of section 105], a 
State may use any funds apportioned to it under section 104 of 
this title for removal of any sign, display, or device lawfully 
erected which does not conform to this section.

           *       *       *       *       *       *       *


Sec. 133. Surface transportation program

  (a) * * *
  (b) Eligible Projects.--A State may obligate funds 
apportioned to it under section 104(b)(3) for the surface 
transportation program only for the following:
          (1) * * *

           *       *       *       *       *       *       *

          [(13)] (12) Infrastructure-based intelligent 
        transportation systems capital improvements.
          [(14)] (13) Environmental restoration and pollution 
        abatement projects (including the retrofit or 
        construction of storm water treatment systems) to 
        address water pollution or environmental degradation 
        caused or contributed to by transportation facilities, 
        which projects shall be carried out when the 
        transportation facilities are undergoing 
        reconstruction, rehabilitation, resurfacing, or 
        restoration; except that the expenditure of funds under 
        this section for any such environmental restoration or 
        pollution abatement project shall not exceed 20 percent 
        of the total cost of the reconstruction, 
        rehabilitation, resurfacing, or restoration project.
          (14) Regional transportation operations collaboration 
        and coordination activities that are associated with 
        regional improvements, including activities for traffic 
        incident management, technology deployment, emergency 
        management and response, traveler information, and 
        regional congestion relief.

           *       *       *       *       *       *       *

  (d) Allocations of Apportioned Funds.--
          [(1) For safety programs.--10 percent of the funds 
        apportioned to a State under section 104(b)(3) for the 
        surface transportation program for a fiscal year shall 
        only be available for carrying out sections 130 and 152 
        of this title. Of the funds set aside under the 
        preceding sentence, the State shall reserve in such 
        fiscal year an amount of such funds for carrying out 
        each such section which is not less than the amount of 
        funds apportioned to the State in fiscal year 1991 
        under such section.]
          [(2)] (1) For transportation enhancement 
        activities.--10 percent of the funds apportioned to a 
        State under section 104(b)(3) for a fiscal year shall 
        only be available for transportation enhancement 
        activities.
          [(3)] (2) Division between urbanized areas of over 
        200,000 population and other areas.--
                  (A) General rule.--Except as provided in 
                subparagraphs (C) and (D), 62.5 percent of the 
                remaining [80 percent] 90 percent of the funds 
                apportioned to a State under section 104(b)(3) 
                for a fiscal year shall be obligated under this 
                section--
                          (i) * * *

           *       *       *       *       *       *       *

                  (B) Special rule for areas of less than 5,000 
                population.--Of the amounts required [tobe] to 
                be obligated under subparagraph (A)(ii), the 
                State shall obligate in areas of the State 
                (other than urban areas with a population 
                greater than 5,000) an amount which is not less 
                than 110 percent of the amount of funds 
                apportioned to the State for the Federal-aid 
                secondary system for fiscal year 1991.

           *       *       *       *       *       *       *

                  (D) Noncontiguous states exemption.--
                Subparagraph (A) shall not apply to Hawaii and 
                Alaska.
          [(4)] (3) Applicability of planning requirements.--
        Programming and expenditure of funds for projects under 
        this section shall be consistent with the requirements 
        of sections 134 and 135 of this title.
          [(5)] (4) Applicability of certain requirements to 
        third party sellers.--
                  (A) * * *

           *       *       *       *       *       *       *

  (e) Administration.--
          (1) * * *

           *       *       *       *       *       *       *

          (3) Payments.--
                  (A) * * *
                  (B) Advance payment option for transportation 
                enhancement activities.--
                          (i) In general.--The Secretary may 
                        advance funds to the State for 
                        transportation enhancement activities 
                        funded from the allocation required by 
                        subsection [(d)(2)] (d)(1) for a fiscal 
                        year.

           *       *       *       *       *       *       *

          (5) Transportation enhancement activities.--
                  (A) Categorical exclusions.--To the extent 
                appropriate, the Secretary shall develop 
                categorical exclusions from the requirement 
                that an environmental assessment or an 
                environmental impact statement under section 
                102 of the National Environmental Policy Act of 
                1969 (42 U.S.C. 4332) be prepared for 
                transportation enhancement activities funded 
                from the allocation required by subsection 
                [(d)(2)] (d)(1).
                  (B) Nationwide programmatic agreement.--The 
                Secretary, in consultation with the National 
                Conference of State Historic Preservation 
                Officers and the Advisory Council on Historic 
                Preservation established under title II of the 
                National Historic Preservation Act (16 U.S.C. 
                470i et seq.), shall develop a nationwide 
                programmatic agreement governing the review of 
                transportation enhancement activities funded 
                from the allocation required by subsection 
                [(d)(2)] (d)(1), in accordance with--
                          (i) * * *

           *       *       *       *       *       *       *

  (f) Obligation Authority.--
          (1) In general.--A State that is required to obligate 
        in an urbanized area with an urbanized area population 
        of over 200,000 individuals under subsection (d) funds 
        apportioned to the State under section 104(b)(3) shall 
        make available during the period of fiscal years [1998 
        through 2000] 2004 through 2006 and the period of 
        fiscal years [2001 through 2003] 2007 through 2009 an 
        amount of obligation authority distributed to the State 
        for Federal-aid highways and highway safety 
        construction programs for use in the area that is equal 
        to the amount obtained by multiplying--
                  (A) * * *

           *       *       *       *       *       *       *


[Sec. 134. Metropolitan planning

  [(a) General Requirements.--
          [(1) Findings.--It is in the national interest to 
        encourage and promote the safe and efficient 
        management, operation, and development of surface 
        transportation systems that will serve the mobility 
        needs of people and freight and foster economic growth 
        and development within and through urbanized areas, 
        while minimizing transportation-related fuel 
        consumption and air pollution.
          [(2) Development of plans and programs.--To 
        accomplish the objective stated in paragraph (1), 
        metropolitan 
        planning organizations designated under subsection (b), 
        in cooperation with the State and public transit 
        operators, shall develop transportation plans and 
        programs for urbanized areas of the State.
          [(3) Contents.--The plans and programs for each 
        metropolitan area shall provide for the development and 
        integrated management and operation of transportation 
        systems and facilities (including pedestrian walkways 
        and bicycle transportation facilities) that will 
        function as an intermodal transportation system for the 
        metropolitan area and as an integral part of an 
        intermodal transportation system for the State and the 
        United States.
          [(4) Process of development.--The process for 
        developing the plans and programs shall provide for 
        consideration of all modes of transportation and shall 
        be continuing, cooperative, and comprehensive to the 
        degree appropriate, based on the complexity of the 
        transportation problems to be addressed.
  [(b) Designation of Metropolitan Planning Organizations.--
          [(1) In general.--To carry out the transportation 
        planning process required by this section, a 
        metropolitan planning organization shall be designated 
        for each urbanized area with a population of more than 
        50,000 individuals--
                  [(A) by agreement between the Governor and 
                units of general purpose local government that 
                together represent at least 75 percent of the 
                affected population (including the central city 
                or cities as defined by the Bureau of the 
                Census); or
                  [(B) in accordance with procedures 
                established by applicable State or local law.
          [(2) Structure.--Each policy board of a metropolitan 
        planning organization that serves an area designated as 
        a transportation management area, when designated or 
        redesignated under this subsection, shall consist of--
                  [(A) local elected officials;
                  [(B) officials of public agencies that 
                administer or operate major modes of 
                transportation in the metropolitan area 
                (including all transportation agencies included 
                in the metropolitan planning organization as of 
                June 1, 1991); and
                  [(C) appropriate State officials.
          [(3) Limitation on statutory construction.--Nothing 
        in this subsection shall be construed to interfere with 
        the authority, under any State law in effect on the 
        date of the enactment of this section, of a public 
        agency with multimodal transportation responsibilities 
        to--
                  [(A) develop plans and programs for adoption 
                by a metropolitan planning organization; and
                  [(B) develop long-range capital plans, 
                coordinate transit services and projects, and 
                carry out other activities pursuant to State 
                law.
          [(4) Continuing designation.--A designation of a 
        metropolitan planning organization under this 
        subsection or any other provision of law shall remain 
        in effect until the metropolitan planning organization 
        is redesignated under paragraph (5).
          [(5) Redesignation.--
                  [(A) Procedures.--A metropolitan planning 
                organization may be redesignated by agreement 
                between the Governor and units of general 
                purpose local government that together 
                represent at least 75 percent of the affected 
                population (including the central city or 
                cities as defined by the Bureau of the Census) 
                as appropriate to carry out this section.
                  [(B) Certain requests to redesignate.--A 
                metropolitan planning organization shall be 
                redesignated upon request of a unit or units of 
                general purpose local government representing 
                at least 25 percent of the affected population 
                (including the central city or cities as 
                defined by the Bureau of the Census) in any 
                urbanized area (i) whose population is more 
                than 5,000,000 but less than 10,000,000, or 
                (ii) which is an extreme nonattainment area for 
                ozone or carbon monoxide as defined under the 
                Clean Air Act. Such redesignation shall be 
                accomplished using procedures established by 
                subparagraph (A).
          [(6) Designation of more than 1 metropolitan planning 
        organization.--More than 1 metropolitan planning 
        organization may be designated within an existing 
        metropolitan planning area only if the Governor and the 
        existing metropolitan planning organization determine 
        that the size and complexity of the existing 
        metropolitan planning area make designation of more 
        than 1 metropolitan planning organization for the area 
        appropriate.
  [(c) Metropolitan Planning Area Boundaries.--
          [(1) In general.--For the purposes of this section, 
        the boundaries of a metropolitan planning area shall be 
        determined by agreement between the metropolitan 
        planning organization and the Governor.
          [(2) Included area.--Each metropolitan planning 
        area--
                  [(A) shall encompass at least the existing 
                urbanized area and the contiguous area expected 
                to become urbanized within a 20-year forecast 
                period; and
                  [(B) may encompass the entire metropolitan 
                statistical area or consolidated metropolitan 
                statistical area, as defined by the Bureau of 
                the Census.
          [(3) Existing metropolitan planning areas in 
        nonattainment.--Notwithstanding paragraph (2), in the 
        case of an urbanized area designated as a nonattainment 
        area for ozone or carbon monoxide under the Clean Air 
        Act (42 U.S.C. 7401 et seq.), the boundaries of the 
        metropolitan planning area in existence as of the date 
        of enactment of this paragraph shall be retained, 
        except that the boundaries may be adjusted by agreement 
        of the Governor and affected metropolitan planning 
        organizations in the manner described in subsection 
        (b)(5).
          [(4) New metropolitan planning areas in 
        nonattainment.--In the case of an urbanized area 
        designated after the date of enactment of this 
        paragraph as a nonattainment area for ozone or carbon 
        monoxide, the boundaries of the metropolitan planning 
        area--
                  [(A) shall be established in the manner 
                described in subsection (b)(1);
                  [(B) shall encompass the areas described in 
                paragraph (2)(A);
                  [(C) may encompass the areas described in 
                paragraph (2)(B); and
                  [(D) may address any nonattainment area 
                identified under the Clean Air Act (42 U.S.C. 
                7401 et seq.) for ozone or carbon monoxide.
  [(d) Coordination in Multistate Areas.--
          [(1) In general.--The Secretary shall encourage each 
        Governor with responsibility for a portion of a 
        multistate metropolitan area and the appropriate 
        metropolitan planning organizations to provide 
        coordinated transportation planning for the entire 
        metropolitan area.
          [(2) Interstate compacts.--The consent of Congress is 
        granted to any 2 or more States--
                  [(A) to enter into agreements or compacts, 
                not in conflict with any law of the United 
                States, for cooperative efforts and mutual 
                assistance in support of activities authorized 
                under this section as the activities pertain to 
                interstate areas and localities within the 
                States; and
                  [(B) to establish such agencies, joint or 
                otherwise, as the States may determine 
                desirable for making the agreements and 
                compacts effective.
          [(3) Lake tahoe region.--
                  [(A) Definition.--In this paragraph, the term 
                ``Lake Tahoe region'' has the meaning given the 
                term ``region'' in subdivision (a) of article 
                II of the Tahoe Regional Planning Compact, as 
                set forth in the first section of Public Law 
                96-551 (94 Stat. 3234).
                  [(B) Transportation planning process.--The 
                Secretary shall--
                          [(i) establish with the Federal land 
                        management agencies that have 
                        jurisdiction over land in the Lake 
                        Tahoe region a transportation planning 
                        process for the region; and
                          [(ii) coordinate the transportation 
                        planning process with the planning 
                        process required of State and local 
                        governments under this section, section 
                        135, and chapter 53 of title 49.
                  [(C) Interstate compact.--
                          [(i) In general.--Subject to clause 
                        (ii), notwithstanding subsection (b), 
                        to carry out the transportation 
                        planning process required by this 
                        section, the consent of Congress is 
                        granted to the States of California and 
                        Nevada to designate a metropolitan 
                        planning organization for the Lake 
                        Tahoe region, by agreement between the 
                        Governors of the States of California 
                        and Nevada and units of general purpose 
                        local government that together 
                        represent at least 75 percent of the 
                        affected population (including the 
                        central city or cities (as defined by 
                        the Bureau of the Census)), or in 
                        accordance with procedures established 
                        by applicable State or local law.
                          [(ii) Involvement of federal land 
                        management agencies.--
                                  [(I) Representation.--The 
                                policy board of a metropolitan 
                                planning organization 
                                designated under clause (i) 
                                shall include a representative 
                                of each Federal land management 
                                agency that has jurisdiction 
                                over land in the Lake Tahoe 
                                region.
                                  [(II) Funding.--In addition 
                                to funds made available to the 
                                metropolitan planning 
                                organization under other 
                                provisions of this title and 
                                under chapter 53 of title 49, 
                                not more than 1 percent of the 
                                funds allocated under section 
                                202 may be used to carry out 
                                the transportation planning 
                                process for the Lake Tahoe 
                                region under this subparagraph.
                  [(D) Activities.--Highway projects included 
                in transportation plans developed under this 
                paragraph--
                          [(i) shall be selected for funding in 
                        a manner that facilitates the 
                        participation of the Federal land 
                        management agencies that have 
                        jurisdiction over land in the Lake 
                        Tahoe region; and
                          [(ii) may, in accordance with chapter 
                        2, be funded using funds allocated 
                        under section 202.
          [(4) Recipients of other assistance.--The Secretary 
        shall encourage each metropolitan planning organization 
        to coordinate, to the maximum extent practicable, the 
        design and delivery of transportation services within 
        the metropolitan planning area that are provided--
                  [(A) by recipients of assistance under 
                chapter 53 of title 49; and
                  [(B) by governmental agencies and nonprofit 
                organizations (including representatives of the 
                agencies and organizations) that receive 
                Federal assistance from a source other than the 
                Department of Transportation to provide 
                nonemergency transportation services.
  [(e) Coordination of MPOs.--
          [(1) Nonattainment areas.--If more than 1 
        metropolitan planning organization has authority within 
        a metropolitan area or an area which is designated as a 
        nonattainment area for ozone or carbon monoxide under 
        the Clean Air Act, each metropolitan planning 
        organization shall consult with the other metropolitan 
        planning organizations designated for such area and the 
        State in the coordination of plans and programs 
        required by this section.
          [(2) Project located in multiple mpos.--If a project 
        is located within the boundaries of more than 1 
        metropolitan planning organization, the metropolitan 
        planning organizations shall coordinate plans regarding 
        the project.
  [(f) Scope of Planning Process.--
          [(1) In general.--The metropolitan transportation 
        planning process for a metropolitan area under this 
        section shall provide for consideration of projects and 
        strategies that will--
                  [(A) support the economic vitality of the 
                metropolitan area, especially by enabling 
                global competitiveness, productivity, and 
                efficiency;
                  [(B) increase the safety and security of the 
                transportation system for motorized and 
                nonmotorized users;
                  [(C) increase the accessibility and mobility 
                options available to people and for freight;
                  [(D) protect and enhance the environment, 
                promote energy conservation, and improve 
                quality of life;
                  [(E) enhance the integration and connectivity 
                of the transportation system, across and 
                between modes, for people and freight;
                  [(F) promote efficient system management and 
                operation; and
                  [(G) emphasize the preservation of the 
                existing transportation system.
          [(2) Failure to consider factors.--The failure to 
        consider any factor specified in paragraph (1) shall 
        not be reviewable by any court under this title, 
        subchapter II of chapter 5 of title 5, or chapter 7 of 
        title 5 in any matter affecting a transportation plan, 
        a transportation improvement plan, a project or 
        strategy, or the certification of a planning process.
  [(g) Development of Long-Range Transportation Plan.--
          [(1) In general.--Each metropolitan planning 
        organization shall prepare, and update periodically, 
        according to a schedule that the Secretary determines 
        to be appropriate, a long-range transportation plan for 
        its metropolitan area in accordance with the 
        requirements of this subsection.
          [(2) Long-range transportation plan.--A long-range 
        transportation plan under this section shall be in a 
        form that the Secretary determines to be appropriate 
        and shall contain, at a minimum, the following:
                  [(A) An identification of transportation 
                facilities (including but not necessarily 
                limited to major roadways, transit, and 
                multimodal and intermodal facilities) that 
                should function as an integrated metropolitan 
                transportation system, giving emphasis to those 
                facilities that serve important national and 
                regional transportation functions. In 
                formulating the long-range transportation plan, 
                the metropolitan planning organization shall 
                consider factors described in subsection (f) as 
                such factors relate to a 20-year forecast 
                period.
                  [(B) A financial plan that demonstrates how 
                the adopted long-range transportation plan can 
                be implemented, indicates resources from public 
                and private sources that are reasonably 
                expected to be made available to carry out the 
                plan, and recommends any additional financing 
                strategies for needed projects and programs. 
                The financial plan may include, for 
                illustrative purposes, additional projects that 
                would be included in the adopted long-range 
                transportation plan if reasonable additional 
                resources beyond those identified in the 
                financial plan were available. For the purpose 
                of developing the long-range transportation 
                plan, the metropolitan planning organization 
                and State shall cooperatively develop estimates 
                of funds that will be available to support plan 
                implementation.
                  [(C) Assess capital investment and other 
                measures necessary to--
                          [(i) ensure the preservation of the 
                        existing metropolitan transportation 
                        system, including requirements for 
                        operational improvements, resurfacing, 
                        restoration, and rehabilitation of 
                        existing and future major roadways, as 
                        well as operations, maintenance, 
                        modernization, and rehabilitation of 
                        existing and future transit facilities; 
                        and
                          [(ii) make the most efficient use of 
                        existing transportation facilities to 
                        relieve vehicular congestion and 
                        maximize the mobility of people and 
                        goods.
                  [(D) Indicate as appropriate proposed 
                transportation enhancement activities.
          [(3) Coordination with clean air act agencies.--In 
        metropolitan areas which are in nonattainment for ozone 
        or carbon monoxide under the Clean Air Act, the 
        metropolitan planning organization shall coordinate the 
        development of a long-range transportation plan with 
        the process for development of the transportation 
        control measures of the State implementation plan 
        required by the Clean Air Act.
          [(4) Participation by interested parties.--Before 
        approving a long-range transportation plan, each 
        metropolitan planning organization shall provide 
        citizens, affected public agencies, representatives of 
        transportation agency employees, freight shippers, 
        providers of freight transportation services, private 
        providers of transportation, representatives of users 
        of public transit, and other interested parties with a 
        reasonable opportunity to comment on the long-range 
        transportation plan, in a manner that the Secretary 
        deems appropriate.
          [(5) Publication of long-range transportation plan.--
        Each long-range transportation plan prepared by a 
        metropolitan planning organization shall be--
                  [(i) published or otherwise made readily 
                available for public review; and
                  [(ii) submitted for information purposes to 
                the Governor at such times and in such manner 
                as the Secretary shall establish.
          [(6) Selection of projects from illustrative list.--
        Notwithstanding paragraph (2)(B), a State or 
        metropolitan planning organization shall not be 
        required to select any project from the illustrative 
        list of additional projects included in the financial 
        plan under paragraph (2)(B).
  [(h) Metropolitan Transportation Improvement Program.--
          [(1) Development.--
                  [(A) In general.--In cooperation with the 
                State and any affected public transit operator, 
                the metropolitan planning organization 
                designated for a metropolitan area shall 
                develop a transportation improvement program 
                for the area for which the organization is 
                designated.
                  [(B) Opportunity for comment.--In developing 
                the program, the metropolitan planning 
                organization, in cooperation with the State and 
                any affected public transit operator, shall 
                provide citizens, affected public agencies, 
                representatives of transportation agency 
                employees, freight shippers, providers of 
                freight transportation services, private 
                providers of transportation, representatives of 
                users of public transit, and other interested 
                parties with a reasonable opportunity to 
                comment on the proposed program.
                  [(C) Funding estimates.--For the purpose of 
                developing the transportation improvement 
                program, the metropolitan planning 
                organization, public transit agency, and State 
                shall cooperatively develop estimates of funds 
                that are reasonably expected to be available to 
                support program implementation.
                  [(D) Updating and approval.--The program 
                shall be updated at least once every 2 years 
                and shall be approved by the metropolitan 
                planning organization and the Governor.
          [(2) Contents.--The transportation improvement 
        program shall include--
                  [(A) a priority list of proposed federally 
                supported projects and strategies to be carried 
                out within each 3-year period after the initial 
                adoption of the transportation improvement 
                program; and
                  [(B) a financial plan that--
                          [(i) demonstrates how the 
                        transportation improvement program can 
                        be implemented;
                          [(ii) indicates resources from public 
                        and private sources that are reasonably 
                        expected to be available to carry out 
                        the program;
                          [(iii) identifies innovative 
                        financing techniques to finance 
                        projects, programs, and strategies; and
                          [(iv) may include, for illustrative 
                        purposes, additional projects that 
                        would be included in the approved 
                        transportation improvement program if 
                        reasonable additional resources beyond 
                        those identified in the financial plan 
                        were available.
          [(3) Included projects.--
                  [(A) Projects under this chapter and chapter 
                53 of title 49.--A transportation improvement 
                program developed under this subsection for a 
                metropolitan area shall include the projects 
                and strategies within the area that are 
                proposed for funding under this chapter and 
                chapter 53 of title 49.
                  [(B) Projects under chapter 2.--
                          [(i) Regionally significant 
                        projects.--Regionally significant 
                        projects proposed for funding under 
                        chapter 2 shall be identified 
                        individually in the transportation 
                        improvement program.
                          [(ii) Other projects.--Projects 
                        proposed for funding under chapter 2 
                        that are not determined to be 
                        regionally significant shall be grouped 
                        in 1 line item or identified 
                        individually in the transportation 
                        improvement program.
                  [(C) Consistency with long-range 
                transportation plan.--Each project shall be 
                consistent with the long-range transportation 
                plan developed under subsection (g) for the 
                area.
                  [(D) Requirement of anticipated full 
                funding.--The program shall include a project, 
                or an identified phase of a project, only if 
                full funding can reasonably be anticipated to 
                be available for the project within the time 
                period contemplated for completion of the 
                project.
          [(4) Notice and comment.--Before approving a 
        transportation improvement program, a metropolitan 
        planning organization shall, in cooperation with the 
        State and any affected public transit operator, provide 
        citizens, affected public agencies, 
        representatives of transportation agency employees, 
        freight shippers, providers of freight transportation 
        services, private providers of transportation, 
        representatives of users of public transit, and other 
        interested parties with reasonable notice of and an 
        opportunity to comment on the proposed program.
          [(5) Selection of projects.--
                  [(A) In general.--Except as otherwise 
                provided in subsection (i)(4) and in addition 
                to the transportation improvement program 
                development required under paragraph (1), the 
                selection of federally funded projects in 
                metropolitan areas shall be carried out, from 
                the approved transportation improvement 
                program--
                          [(i) by--
                                  [(I) in the case of projects 
                                under this chapter, the State; 
                                and
                                  [(II) in the case of projects 
                                under chapter 53 of title 49, 
                                the designated transit funding 
                                recipients; and
                          [(ii) in cooperation with the 
                        metropolitan planning organization.
                  [(B) Modifications to project priority.--
                Notwithstanding any other provision of law, 
                action by the Secretary shall not be required 
                to advance a project included in the approved 
                transportation improvement program in place of 
                another project in the program.
          [(6) Selection of projects from illustrative list.--
                  [(A) No required selection.--Notwithstanding 
                paragraph (2)(B)(iv), a State or metropolitan 
                planning organization shall not be required to 
                select any project from the illustrative list 
                of additional projects included in the 
                financial plan under paragraph (2)(B)(iv).
                  [(B) Required action by the secretary.--
                Action by the Secretary shall be required for a 
                State or metropolitan planning organization to 
                select any project from the illustrative list 
                of additional projects included in the 
                financial plan under paragraph (2)(B)(iv) for 
                inclusion in an approved transportation 
                improvement program.
          [(7) Publication.--
                  [(A) Publication of transportation 
                improvement programs.--A transportation 
                improvement program involving Government 
                participation shall be published or otherwise 
                made readily available by the metropolitan 
                planning organization for public review.
                  [(B) Publication of annual listings of 
                projects.--An annual listing of projects for 
                which Federal funds have been obligated in the 
                preceding year shall be published or otherwise 
                made available by the metropolitan planning 
                organization for public review. The listing 
                shall be consistent with the categories 
                identified in the transportation improvement 
                program.
  [(i) Transportation Management Areas.--
          [(1) Designation.--
                  [(A) Required designations.--The Secretary 
                shall designate as a transportation management 
                area each urbanized area with a population of 
                over 200,000 individuals.
                  [(B) Designations on request.--The Secretary 
                shall designate any additional area as a 
                transportation management area on the request 
                of the Governor and the metropolitan planning 
                organization designated for the area.
          [(2) Transportation plans and programs.--Within a 
        transportation management area, transportation plans 
        and programs shall be based on a continuing and 
        comprehensive transportation planning process carried 
        out by the metropolitan planning organization in 
        cooperation with the State and transit operators.
          [(3) Congestion management system.--Within a 
        transportation management area, the transportation 
        planning process under this section shall include a 
        congestion management system that provides for 
        effective management of new and existing transportation 
        facilities eligible for funding under this title and 
        chapter 53 of title 49 through the use of travel demand 
        reduction and operational management strategies. The 
        Secretary shall establish an appropriate phase-in 
        schedule for compliance with the requirements of this 
        section.
          [(4) Selection of projects.--
                  [(A) In general.--All federally funded 
                projects carried out within the boundaries of a 
                transportation management area under this title 
                (excluding projects carried out on the National 
                Highway System and projects carried out under 
                the bridge program or the Interstate 
                maintenance program) or under chapter 53 of 
                title 49 shall be selected for implementation 
                from the approved transportation improvement 
                program by the metropolitan planning 
                organization designated for the area in 
                consultation with the State and any affected 
                public transit operator.
                  [(B) National highway system projects.--
                Projects carried out within the boundaries of a 
                transportation management area on the National 
                Highway System and projects carried out within 
                such boundaries under the bridge program or the 
                Interstate maintenance program shall be 
                selected for implementation from the approved 
                transportation improvement program by the State 
                in cooperation with the metropolitan planning 
                organization designated for the area.
          [(5) Certification.--
                  [(A) In general.--The Secretary shall--
                          [(i) ensure that the metropolitan 
                        planning process in each transportation 
                        management area is being carried out in 
                        accordance with applicable provisions 
                        of Federal law; and
                          [(ii) subject to subparagraph (B), 
                        certify, not less often than once every 
                        3 years, that the requirements of this 
                        paragraph are met with respect to the 
                        transportation management area.
                  [(B) Requirements for certification.--The 
                Secretary may make the certification under 
                subparagraph (A) if--
                          [(i) the transportation planning 
                        process complies with the requirements 
                        of this section and other applicable 
                        requirements of Federal law; and
                          [(ii) there is a transportation 
                        improvement program for the area that 
                        has been approved by the metropolitan 
                        planning organization and the Governor.
                  [(C) Effect of failure to certify.--
                          [(i) Withholding of funds.--If a 
                        metropolitan planning process is not 
                        certified, the Secretary may withhold 
                        up to 20 percent of the apportioned 
                        funds attributable to the 
                        transportation management area under 
                        this title and chapter 53 of title 49.
                          [(ii) Restoration of withheld 
                        funds.--The withheld apportionments 
                        shall be restored to the metropolitan 
                        area at such time as the metropolitan 
                        planning organization is certified by 
                        the Secretary.
                          [(iii) Feasibility of private 
                        enterprise participation.--The 
                        Secretary shall not withhold 
                        certification under this paragraph 
                        based on the policies and criteria 
                        established by a metropolitan planning 
                        organization or transit grant recipient 
                        for determining the feasibility of 
                        private enterprise participation in 
                        accordance with section 5306(a) of 
                        title 49.
                  [(D) Review of certification.--In making 
                certification determinations under this 
                paragraph, the Secretary shall provide for 
                public involvement appropriate to the 
                metropolitan area under review.
  [(j) Abbreviated Plans and Programs for Certain Areas.--
          [(1) In general.--Subject to paragraph (2), in the 
        case of a metropolitan area not designated as a 
        transportation management area under this section, the 
        Secretary may provide for the development of an 
        abbreviated long-range transportation plan and 
        transportation improvement program for the metropolitan 
        area that the Secretary determines is appropriate to 
        achieve the purposes of this section, taking into 
        account the complexity of transportation problems in 
        the area.
          [(2) Nonattainment areas.--The Secretary may not 
        permit abbreviated plans or programs for a metropolitan 
        area that is in nonattainment for ozone or carbon 
        monoxide under the Clean Air Act (42 U.S.C. 7401 et 
        seq.).
  [(k) Transfer of Funds.--Funds made available for a highway 
project under chapter 53 of title 49 shall be transferred to 
and administered by the Secretary in accordance with the 
requirements of this title. Funds made available for a transit 
project under the Federal-Aid Highway Act of 1991 shall be 
transferred to and administered by the Secretary in accordance 
with the requirements of chapter 53 of title 49. The provisions 
of title 23, United States Code, regarding the non-Federal 
share shall apply to title 23 funds used for transit projects 
and the provisions of chapter 53 of title 49 regarding non-
Federal share shall apply to chapter 53 funds used for highway 
projects.
  [(l) Additional Requirements for Certain Nonattainment 
Areas.--
          [(1) In general.--Notwithstanding any other 
        provisions of this title or chapter 53 of title 49, for 
        transportation management areas classified as 
        nonattainment for ozone or carbon monoxide pursuant to 
        the Clean Air Act, Federal funds may not be programmed 
        in such area for any highway project that will result 
        in a significant increase in carrying capacity for 
        single-occupant vehicles unless the project is part of 
        an approved congestion management system.
          [(2) Applicability.--This subsection applies to a 
        nonattainment area within the metropolitan planning 
        area boundaries determined under subsection (c).
  [(m) Limitation on Statutory Construction.--Nothing in this 
section shall be construed to confer on a metropolitan planning 
organization the authority to impose legal requirements on any 
transportation facility, provider, or project not eligible 
under this title or chapter 53 of title 49.
  [(n) Funding.--
          [(1) In general.--Funds set aside under section 
        104(f) of this title to carry out sections 5303 through 
        5305 of title 49 shall be available to carry out this 
        section.
          [(2) Unused funds.--Any funds that are not used to 
        carry out this section may be made available by the 
        metropolitan planning organization to the State to fund 
        activities under section 135.
  [(o) Continuation of Current Review Practice.--Since plans 
and programs described in this section are subject to a 
reasonable opportunity for public comment, since individual 
projects included in the plans and programs are subject to 
review under the National Environmental Policy Act of 1969 (42 
U.S.C. 4321 et seq.), and since decisions by the Secretary 
concerning plans and programs described in this section have 
not been reviewed under such Act as of January 1, 1997, any 
decision by the Secretary concerning a plan or program 
described in this section shall not be considered to be a 
Federal action subject to review under the National 
Environmental Policy Act of 1969 (42 U.S.C. 4321 et seq.).

[Sec. 135. Statewide planning

  [(a) General Requirements.--
          [(1) Findings.--It is in the national interest to 
        encourage and promote the safe and efficient 
        management, operation, and development of surface 
        transportation systems that will serve the mobility 
        needs of people and freight and foster economic growth 
        and development within and through urbanized areas, 
        while minimizing transportation-related fuel 
        consumption and air pollution.
          [(2) Development of plans and programs.--Subject to 
        section 134 of this title and sections 5303 through 
        5305 of title 49, each State shall develop 
        transportation plans and programs for all areas of the 
        State.
          [(3) Contents.--The plans and programs for each State 
        shall provide for the development and integrated 
        management and operation of transportation systems and 
        facilities (including pedestrian walkways and bicycle 
        transportation facilities) that will function as an 
        intermodal transportation system for the State and an 
        integral part of an intermodal transportation system 
        for the United States.
          [(4) Process of development.--The process for 
        developing the plans and programs shall provide for 
        consideration of all modes of transportation and shall 
        be continuing, cooperative, and comprehensive to the 
        degree appropriate, based on the complexity of the 
        transportation problems to be addressed.
  [(b) Coordination With Metropolitan Planning; State 
Implementation Plan.--In carrying out planning under this 
section, a State shall coordinate such planning with the 
transportation planning activities carried out under section 
134 of this title and sections 5303 through 5305 of title 49 
for metropolitan areas of the State and shall carry out its 
responsibilities for the development of the transportation 
portion of the State implementation plan to the extent required 
by the Clean Air Act.
  [(c) Scope of Planning Process.--
          [(1) In general.--Each State shall carry out a 
        transportation planning process that provides for 
        consideration of projects and strategies that will--
                  [(A) support the economic vitality of the 
                United States, the States, and metropolitan 
                areas, especially by enabling global 
                competitiveness, productivity, and efficiency;
                  [(B) increase the safety and security of the 
                transportation system for motorized and 
                nonmotorized users;
                  [(C) increase the accessibility and mobility 
                options available to people and for freight;
                  [(D) protect and enhance the environment, 
                promote energy conservation, and improve 
                quality of life;
                  [(E) enhance the integration and connectivity 
                of the transportation system, across and 
                between modes throughout the State, for people 
                and freight;
                  [(F) promote efficient system management and 
                operation; and
                  [(G) emphasize the preservation of the 
                existing transportation system.
          [(2) Failure to consider factors.--The failure to 
        consider any factor specified in paragraph (1) shall 
        not be reviewable by any court under this title, 
        subchapter II of chapter 5 of title 5, or chapter 7 of 
        title 5 in any matter affecting a transportation plan, 
        a transportation improvement plan, a project or 
        strategy, or the certification of a planning process.
  [(d) Additional Requirements.--In carrying out planning under 
this section, each State shall, at a minimum, consider--
          [(1) with respect to nonmetropolitan areas, the 
        concerns of local elected officials representing units 
        of general purpose local government;
          [(2) the concerns of Indian tribal governments and 
        Federal land management agencies that have jurisdiction 
        over land within the boundaries of the State; and
          [(3) coordination of transportation plans, programs, 
        and planning activities with related planning 
        activities being carried out outside of metropolitan 
        planning areas.
  [(e) Long-Range Transportation Plan.--
          [(1) Development.--Each State shall develop a long-
        range transportation plan, with a minimum 20-year 
        forecast period, for all areas of the State, that 
        provides for the development and implementation of the 
        intermodal transportation system of the State.
          [(2) Consultation with governments.--
                  [(A) Metropolitan areas.--With respect to 
                each metropolitan area in the State, the long-
                range transportation plan shall be developed in 
                cooperation with the metropolitan planning 
                organization designated for the metropolitan 
                area under section 134 of this title and 
                section 5303 of title 49.
                  [(B) Nonmetropolitan areas.--With respect to 
                each nonmetropolitan area, the long-range 
                transportation plan shall be developed in 
                consultation with affected local officials with 
                responsibility for transportation.
                  [(C) Indian tribal areas.--With respect to 
                each area of the State under the jurisdiction 
                of an Indian tribal government, the long-range 
                transportation plan shall be developed in 
                consultation with the tribal government and the 
                Secretary of the Interior.
          [(3) Participation by interested parties.--In 
        developing the long-range transportation plan, the 
        State shall--
                  [(A) provide citizens, affected public 
                agencies, representatives of transportation 
                agency employees, freight shippers, private 
                providers of transportation, representatives of 
                users of public transit, providers of freight 
                transportation services, and other interested 
                parties with a reasonable opportunity to 
                comment on the proposed plan; and
                  [(B) identify transportation strategies 
                necessary to efficiently serve the mobility 
                needs of people.
          [(4) Financial plan.--The long-range transportation 
        plan may include a financial plan that demonstrates how 
        the adopted long-range transportation plan can be 
        implemented, indicates resources from public and 
        private sources that are reasonably expected to be made 
        available to carry out the plan, and recommends any 
        additional financing strategies for needed projects and 
        programs. The financial plan may include, for 
        illustrative purposes, additional projects that would 
        be included in the adopted transportation plan if 
        reasonable additional resources beyond those identified 
        in the financial plan were available.
          [(5) Selection of projects from illustrative list.--
        Notwithstanding paragraph (4), a State shall not be 
        required to select any project from the illustrative 
        list of additional projects included in the financial 
        plan under paragraph (4).
  [(f) State Transportation Improvement Program.--
          [(1) Development.--
                  [(A) In general.--Each State shall develop a 
                transportation improvement program for all 
                areas of the State.
                  [(B) Consultation with governments.--
                          [(i) Metropolitan areas.--With 
                        respect to each metropolitan area in 
                        the State, the program shall be 
                        developed in cooperation with the 
                        metropolitan planning organization 
                        designated for the metropolitan area 
                        under section 134 of this title and 
                        section 5303 of title 49.
                          [(ii) Nonmetropolitan areas.--
                                  [(I) In general.--With 
                                respect to each nonmetropolitan 
                                area in the State, the program 
                                shall be developed in 
                                consultation with affected 
                                local officials with 
                                responsibility for 
                                transportation.
                                  [(II) Review.--Not later than 
                                1 year after the date of 
                                enactment of this subclause, 
                                the State shall submit to the 
                                Secretary the details of the 
                                consultative planning process 
                                developed by the State for 
                                nonmetropolitan areas under 
                                subclause (I). The Secretary 
                                shall not review or approve 
                                such process.
                          [(iii) Indian tribal areas.--With 
                        respect to each area of the State under 
                        the jurisdiction of an Indian tribal 
                        government, the program shall be 
                        developed in consultation with the 
                        tribal government and the Secretary of 
                        the Interior.
                  [(C) Participation by interested parties.--In 
                developing the program, the Governor shall 
                provide citizens, affected public agencies, 
                representatives of transportation agency 
                employees, freight shippers, private providers 
                of transportation, providers of freight 
                transportation services, representatives of 
                users of public transit, and other interested 
                parties with a reasonable opportunity to 
                comment on the proposed program.
          [(2) Included projects.--
                  [(A) In general.--A transportation 
                improvement program developed under this 
                subsection for a State shall include federally 
                supported surface transportation expenditures 
                within the boundaries of the State.
                  [(B) Chapter 2 projects.--
                          [(i) Regionally significant 
                        projects.--Regionally significant 
                        projects proposed for funding under 
                        chapter 2 shall be identified 
                        individually in the transportation 
                        improvement program.
                          [(ii) Other projects.--Projects 
                        proposed for funding under chapter 2 
                        that are not determined to be 
                        regionally significant shall be grouped 
                        in 1 line item or identified 
                        individually in the transportation 
                        improvement program.
                  [(C) Consistency with long-range 
                transportation plan.--Each project shall be--
                          [(i) consistent with the long-range 
                        transportation plan developed under 
                        this section for the State;
                          [(ii) identical to the project as 
                        described in an approved metropolitan 
                        transportation improvement program; and
                          [(iii) in conformance with the 
                        applicable State air quality 
                        implementation plan developed under the 
                        Clean Air Act (42 U.S.C. 7401 et seq.), 
                        if the project is carried out in an 
                        area designated as nonattainment for 
                        ozone or carbon monoxide under such 
                        Act.
                  [(D) Requirement of anticipated full 
                funding.--The program shall include a project, 
                or an identified phase of a project, only if 
                full funding can reasonably be anticipated to 
                be available for the project within the time 
                period contemplated for completion of the 
                project.
                  [(E) Financial plan.--The transportation 
                improvement program may include a financial 
                plan that demonstrates how the approved 
                transportation improvement program can be 
                implemented, indicates resources from public 
                and private sources that are reasonably 
                expected to be made available to carry out the 
                plan, and recommends any additional financing 
                strategies for needed projects and programs. 
                The financial plan may include, for 
                illustrative purposes, additional projects that 
                would be included in the adopted transportation 
                plan if reasonable additional resources beyond 
                those identified in the financial plan were 
                available.
                  [(F) Selection of projects from illustrative 
                list.--
                          [(i) No required selection.--
                        Notwithstanding subparagraph (E), a 
                        State shall not be required to select 
                        any project from the illustrative list 
                        of additional projects included in the 
                        financial plan under subparagraph (E).
                          [(ii) Required action by the 
                        secretary.--Action by the Secretary 
                        shall be required for a State to select 
                        any project from the illustrative list 
                        of additional projects included in the 
                        financial plan under subparagraph (E) 
                        for inclusion in an approved 
                        transportation improvement program.
                  [(G) Priorities.--The program shall reflect 
                the priorities for programming and expenditures 
                of funds, including transportation enhancement 
                activities, required by this title.
          [(3) Project selection for areas of less than 50,000 
        population.--
                  [(A) In general.--Projects carried out in 
                areas with populations of less than 50,000 
                individuals (excluding projects carried out on 
                the National Highway System and projects 
                carried out under the bridge program or the 
                Interstate maintenance program) shall be 
                selected, from the approved statewide 
                transportation improvement program, by the 
                State in cooperation with the affected local 
                officials.
                  [(B) National highway system projects.--
                Projects carried out in areas described in 
                subparagraph (A) on the National Highway System 
                and projects carried out in such areas under 
                the bridge program or the Interstate 
                maintenance program shall be selected, from the 
                approved statewide transportation improvement 
                program, by the State in consultation with the 
                affected local officials.
          [(4) Biennial review and approval.--A transportation 
        improvement program developed under this subsection 
        shall be reviewed and, on a finding that the planning 
        process through which the program was developed is 
        consistent with this section, section 134, and sections 
        5303 through 5305 of title 49, approved not less 
        frequently than biennially by the Secretary.
          [(5) Modifications to project priority.--
        Notwithstanding any other provision of law, action by 
        the Secretary shall not be required to advance a 
        project included in the approved statewide 
        transportation improvement program in place of another 
        project in the program.
  [(g) Funding.--Funds set aside pursuant to section 307(c)(1) 
of title 23, United States Code, shall be available to carry 
out the requirements of this section.]

Sec. 134. Metropolitan planning

  Metropolitan transportation planning programs funded under 
section 104(f) shall be carried out in accordance with the 
metropolitan planning provisions of chapter 52, title 49, 
United States Code.

Sec. 135. Statewide planning.

  Statewide transportation planning programs funded under 
section 104(f) shall be carried out in accordance with the 
statewide planning provisions of chapter 52, title 49, United 
States Code.

           *       *       *       *       *       *       *


Sec. 138. Preservation of parklands

  (a) Policy.--It is hereby declared to be the national policy 
that special effort should be made to preserve the natural 
beauty of the countryside and public park and recreation lands, 
wildlife and waterfowl refuges, and historic sites. The 
Secretary of Transportation shall cooperate and consult with 
the Secretaries of the Interior, Housing and Urban Development, 
and Agriculture, and with the States in developing 
transportation plans and programs that include measures to 
maintain or enhance the natural beauty of the lands traversed. 
After the effective date of the Federal-Aid Highway Act of 
1968, the Secretary shall not approve any program or project 
(other than any project for a park road or parkway under 
section 204 of this title) which requires the use of any 
publicly owned land from a public park, recreation area, or 
wildlife and waterfowl refuge of national, State, or local 
significance as determined by the Federal, State, or local 
officials having jurisdiction thereof, or any land from an 
historic site of national, State, or local significance as so 
determined by such officials unless (1) there is no feasible 
and prudent alternative to the use of such land, and (2) such 
program includes all possible planning to minimize harm to such 
park, recreational area, wildlife and waterfowl refuge, or 
historic site resulting from such use.
  (b) Special Rules for Historic Sites.--
          (1) In general.--The requirements of this section are 
        deemed to be satisfied in any case in which the 
        treatment of a historic site has been agreed upon in 
        accordance with section 106 of the National Historic 
        Preservation Act (16 U.S.C. 470f) and the agreement 
        includes a determination that the program or project 
        will not have an adverse effect on the historic site.
          (2) Limitation on applicability.--This subsection 
        does not apply in any case in which the Advisory 
        Council on Historic Preservation determines, concurrent 
        with or prior to the conclusion of section 106 
        consultation, that allowing section 106 compliance to 
        satisfy the requirements of this section would be 
        inconsistent with the objectives of the National 
        Historic Preservation Act. The Council shall make such 
        a determination if petitioned to do so by a section 106 
        consulting party, unless the Council affirmatively 
        finds that the views of the requesting party have been 
        adequately considered and that section 106 compliance 
        will adequately protect historic properties.
          (3) Definitions.--In this subsection, the following 
        definitions apply:
                  (A) Section 106 consultation.--The term 
                ``section 106 consultation'' means the 
                consultation process required under section 106 
                of the National Historic Preservation Act (16 
                U.S.C. 470f).
                  (B) Adverse effect.--The term ``adverse 
                effect'' means altering, directly or 
                indirectly, any of the characteristics of a 
                historic property that qualify the property for 
                inclusion in the National Register in a manner 
                that would diminish the integrity of the 
                property's location, design, setting, 
                materials, workmanship, feeling, or 
                association.
  (c) Studies.--In carrying out the national policy declared in 
this section the Secretary, in cooperation with the Secretary 
of the Interior and appropriate State and local officials, is 
authorized to conduct studies as to the most feasible Federal-
aid routes for the movement of motor vehicular traffic through 
or around national parks so as to best serve the needs of the 
traveling public while preserving the natural beauty of these 
areas.

Sec. 139. Motor vehicle congestion relief

  (a) In General.--Each State that has an urbanized area with 
an urbanized area population of over 200,000 individuals shall 
obligate in each of fiscal years 2004 through 2009 a portion of 
the State's apportionments under section 104(b) in such fiscal 
year, as calculated under subsection (b), for congestion relief 
activities in such urbanized areas in accordance with this 
section.
  (b) Calculation of Amount.--The portion of a State's 
apportionments for a fiscal year to be obligated for congestion 
relief activities under subsection (a) shall be determined by 
multiplying--
          (1) the total of amounts apportioned to the State 
        under each of paragraphs (1), (2), (3), and (4) of 
        section 104(b) in such fiscal year; by
          (2) 10 percent; by
          (3) the percentage of the State's population residing 
        in urbanized areas of the State with an urbanized area 
        population of over 200,000 individuals.
  (c) Allocation Between Under One and Under Three Congestion 
Relief Activities.--Of the total amount of a State's 
apportionments to be obligated for congestion relief activities 
for a fiscal year as calculated under subsection (b)--
          (1) 40 percent shall be obligated for under one 
        congestion relief activities;
          (2) 35 percent shall be obligated for under three 
        congestion relief activities; and
          (3) 25 percent shall be obligated at the discretion 
        of the State department of transportation for 1 or more 
        of the following:
                  (A) Under one congestion relief activities.
                  (B) Under three congestion relief activities.
                  (C) Capital costs for transit projects that 
                are eligible for assistance under chapter 53 of 
                title 49.
                  (D) Demand relief projects and activities 
                that shift demand to non-peak hours or to other 
                modes of transportation or that reduce the 
                overall level of demand for roads through such 
                means as telecommuting, ridesharing, 
                alternative work hour programs, and value 
                pricing.
  (d) Obligation of Amounts.--
          (1) In general.--In complying with the requirements 
        of this section, the amounts obligated by a State for 
        congestion relief activities under subsection (a) shall 
        be allocated among the individual programs for which 
        funds are apportioned under sections 104(b)(1), 
        104(b)(2), 104(b)(3), and 104(b)(4).
          (2) Limitation on statutory construction.--Nothing in 
        this subsection shall be construed as requiring a State 
        to obligate proportional or equal amounts under 
        sections 104(b)(1), 104(b)(2), 104(b)(3), and 104(b)(4) 
        for any congestion relief activity under this section.
  (e) Limitation on Statutory Construction.--Nothing in this 
section shall be construed as altering or otherwise affecting 
the applicability of the requirements of this chapter 
(including requirements relating to the eligibility of a 
project for assistance under the program, the location of the 
project, and the Federal-share payable on account of the 
project) to amounts apportioned to a State for a program under 
section 104(b) that are obligated by the State for congestion 
relief activities under subsection (a).
  (f) Joint Responsibility.--Each State, each affected 
metropolitan planning organization, and the Secretary shall 
jointly ensure compliance with this section.
  (g) Transfers.--
          (1) In general.--A State may transfer a portion of 
        the amount that the State must obligate for under one 
        congestion relief activities in a fiscal year under 
        this section to the amount the State must obligate for 
        under three congestion relief activities under this 
        section if the State certifies to the Secretary that 
        there are no under one congestion relief activities for 
        which such portion can be obligated in such fiscal year 
        and the Secretary does not disapprove such transfer 
        within 30 days after the date of such certification.
          (2) Limitation.--The amount that a State may transfer 
        in a fiscal year under this subsection may not reduce 
        the amount the State must obligate for under one 
        congestion relief activities to less than 10 percent of 
        the total amount of the State's apportionments to be 
        obligated for congestion relief activities for such 
        fiscal year as calculated under subsection (b).
          (3) Treatment.--Amounts transferred by a State under 
        this subsection for a fiscal year shall be included in 
        the amount of the State's apportionments allocated for 
        under three congestion relief activities for such 
        fiscal year under subsection (c)(2).
  (h) Definitions.--In this section, the following definitions 
apply:
          (1) Congestion relief activities.--
                  (A) In general.--The term ``congestion relief 
                activity'' means any activity, project, or 
                program that has as its primary purpose, as 
                determined by the State transportation 
                department, the relief of motor vehicle 
                congestion.
                  (B) Inclusions.--Such term includes the 
                following:
                          (i) Relief of motor vehicle 
                        congestion through additional capacity, 
                        construction of additional lanes, 
                        improvements to interchanges, improved 
                        access to major terminals, construction 
                        of parallel roads, construction of 
                        truck only lanes, and major arterial 
                        improvements.
                          (ii) Transportation systemwide 
                        operational improvements targeted at 
                        increasing motor vehicle travel 
                        reliability through such means as 
                        incident management programs, traffic 
                        monitoring and surveillance, and 
                        traveler information initiatives.
                          (iii) Maximizing efficient use of 
                        existing motor vehicle travel capacity 
                        through such means as reversible lanes, 
                        coordinated traffic signalization, and 
                        managed lanes or other lane management 
                        strategies.
                  (C) Exclusions.--Such term does not include 
                demand relief projects and activities that 
                shift demand to non-peak hours or to other 
                modes of transportation or that reduce the 
                overall level of demand for roads through such 
                means as telecommuting, ridesharing, 
                alternative work hour programs, and value 
                pricing.
          (2) Under one congestion relief activities.--The term 
        ``under one congestion relief activity'' means a 
        congestion relief activity that--
                  (A) will be completed within one year after 
                the date of commencement of onsite 
                improvements;
                  (B) has a total projected cost of less than 
                $1,000,000; and
                  (C) will improve conditions in the applicable 
                urbanized area or is an element of the 
                congestion management system of the applicable 
                metropolitan planning organization.
          (3) Under three congestion relief activities.--The 
        term ``under three congestion relief activities'' means 
        congestion relief activities that--
                  (A) will be completed within 3 years after 
                the date of commencement of onsite 
                improvements; and
                  (B) will improve conditions in the applicable 
                urbanized area or is an element of the 
                congestion management system of the applicable 
                metropolitan planning organization.

Sec. 140. Nondiscrimination

  (a) Prior to approving any [programs for projects as provided 
for in subsection (a) of section 105 of this title] project 
under this chapter, the Secretary shall require assurances from 
any State desiring to avail itself of the benefits of this 
chapter that employment in connection with proposed projects 
will be provided without regard to race, color, creed, national 
origin, or sex. He shall require that each State shall include 
in the advertised specifications, notification of the specific 
equal employment opportunity responsibilities of the successful 
bidder. In approving programs for projects on any of the 
Federal-aid systems, the Secretary shall, where he considers it 
necessary to assure equal employment opportunity, require 
certification by any State desiring to avail itself of the 
benefits of this chapter that there are in existence and 
available on a regional, statewide, or local basis, 
apprenticeship, skill improvement or other upgrading programs, 
registered with the Department of Labor or the appropriate 
State agency, if any, which provide equal opportunity for 
training and employment without regard to race, color, creed, 
national origin, or sex. In implementing such programs, a State 
may reserve training positions for persons who receive welfare 
assistance from such State; except that the implementation of 
any such program shall not cause current employees to be 
displaced or current positions to be supplanted or preclude 
workers that are participating in an apprenticeship, skill 
improvement, or other upgrading program registered with the 
Department of Labor or the appropriate State agency from being 
referred to, or hired on, projects funded under this title 
without regard to the length of time of their participation in 
such program. The Secretary shall periodically obtain from the 
Secretary of Labor and the respective State transportation 
departments information which will enable him to judge 
compliance with the requirements of this section and the 
Secretary of Labor shall render to the Secretary such 
assistance and information as he shall deem necessary to carry 
out the equal employment opportunity program required 
hereunder.

           *       *       *       *       *       *       *

  (c) The Secretary, in cooperation with any other department 
or agency of the Government, State agency, authority, 
association, institution, Indian tribal governments, 
corporation (profit or nonprofit), or any other organization or 
person, is authorized to develop, conduct, and administer 
training programs and assistance programs in connection with 
any program under this title in order that minority businesses 
may achieve proficiency to compete, on an equal basis, for 
contracts and subcontracts. Whenever apportionments are made 
under [subsection 104(b)(3) of this title] section 104(b)(3), 
the Secretary shall deduct such sums as he may deem necessary, 
not to exceed $10,000,000 per fiscal year, for the 
administration of this subsection. The provisions of section 
3709 of the Revised Statutes, as amended (41 U.S.C. 5), shall 
not be applicable to contracts and agreements made under the 
authority herein granted to the Secretary notwithstanding the 
provisions of section 302(e) of the Federal Property and 
Administrative Services Act of 1949 (41 U.S.C. 252(e)).

           *       *       *       *       *       *       *


Sec. 143. Highway use tax evasion projects

  (a) * * *
  (b) Projects.--
          (1) * * *
          (2) Allocation of funds.--Funds made available to 
        carry out this section may be allocated to the Internal 
        Revenue Service and the States at the discretion of the 
        Secretary; except that of funds so made available for 
        each of fiscal years 2004 through 2009, $2,000,000 
        shall be available only to carry out intergovernmental 
        enforcement efforts, including research and training.
          (3) Conditions on funds allocated to internal revenue 
        service.--[The] Except as otherwise provided in this 
        section, the Secretary shall not impose any condition 
        on the use of funds allocated to the Internal Revenue 
        Service under this subsection.
          (4) Limitation on use of funds.--Funds made available 
        to carry out this section shall be used only--
                  (A) * * *

           *       *       *       *       *       *       *

                  (F) to reimburse State expenses that 
                supplement existing fuel tax compliance 
                efforts; [and]
                  (G) to analyze and implement programs to 
                reduce tax evasion associated with other 
                highway use taxes[.];
                  (H) to support efforts between States and 
                Indian tribes to address issues related to 
                State motor fuel taxes; and
                  (I) to analyze and implement programs to 
                reduce tax evasion associated with foreign 
                imported fuel.

           *       *       *       *       *       *       *

          (9) Reports.--The Commissioner of the Internal 
        Revenue Service and each State shall submit to the 
        Secretary an annual report that describes the projects, 
        examinations, and criminal investigations funded by and 
        carried out under this section. Such report shall 
        specify the annual yield estimated for each project 
        funded under this section.
  (c) Excise Fuel Reporting System.--
          (1) In general.--Not later than [August 1, 1998,] 90 
        days after the date of enactment of the Transportation 
        Equity Act: A Legacy for Users, the Secretary shall 
        enter into a memorandum of understanding with the 
        Commissioner of the Internal Revenue Service for the 
        purposes of the [development] completion, operation, 
        and maintenance by the Internal Revenue Service of [an 
        excise fuel reporting system (in this subsection 
        referred to as the ``system'')] an excise summary 
        terminal activity reporting system.
          (2) Elements of memorandum of understanding.--The 
        memorandum of understanding shall provide that--
                  (A) the Internal Revenue Service shall 
                [develop] complete and maintain [the system] 
                the excise summary terminal activity reporting 
                system through contracts;
                  (B) the system shall be under the control of 
                the Internal Revenue Service; [and]
                  (C) the system shall be made available for 
                use by appropriate State and Federal revenue, 
                tax, and law enforcement authorities, subject 
                to section 6103 of the Internal Revenue Code of 
                1986[.]; and
                  (D) the Commissioner of the Internal Revenue 
                Service shall submit and the Secretary shall 
                approve a budget and project plan for the 
                completion, operation, and maintenance of the 
                system.
          [(3) Funding priority.--Of the amounts made available 
        to carry out this section for each of fiscal years 1998 
        through 2003, and prior to funding any other activity 
        under this section, the Secretary shall make available 
        sufficient funds to the Internal Revenue Service to 
        establish and operate an automated fuel reporting 
        system.]
          (3) Funding.--Of the amounts made available to carry 
        out this section for each of fiscal years 2004 through 
        2009, the Secretary shall make available to the 
        Internal Revenue Service such funds as may be necessary 
        to complete, operate, and maintain the excise summary 
        terminal activity reporting system in accordance with 
        this subsection.
  (d) Pipeline, Vessel, and Barge Registration System.--
          (1) In general.--Not later than 90 days after the 
        date of enactment of this subsection, the Secretary 
        shall enter into a memorandum of understanding with the 
        Commissioner of the Internal Revenue Service for the 
        purposes of the development, operation, and maintenance 
        of a registration system for pipelines, vessels, and 
        barges, and operators of such pipelines, vessels, and 
        barges, that make bulk transfers of taxable fuel.
          (2) Elements of memorandum of understanding.--The 
        memorandum of understanding shall provide that--
                  (A) the Internal Revenue Service shall 
                develop and maintain the registration system 
                through contracts;
                  (B) the Commissioner of the Internal Revenue 
                Service shall submit and the Secretary shall 
                approve a budget and project plan for 
                development, operation, and maintenance of the 
                registration system;
                  (C) the registration system shall be under 
                the control of the Internal Revenue Service; 
                and
                  (D) the registration system shall be made 
                available for use by appropriate State and 
                Federal revenue, tax, and law enforcement 
                authorities, subject to section 6103 of the 
                Internal Revenue Code of 1986.
          (3) Funding.--Of the amounts made available to carry 
        out this section for each of fiscal years 2004 through 
        2009, the Secretary shall make available to the 
        Internal Revenue Service such funds as may be necessary 
        to complete, operate, and maintain a registration 
        system for pipelines, vessels, and barges, and 
        operators of such pipelines, vessels, and barges, that 
        make bulk transfers of taxable fuel in accordance with 
        this subsection.
  (e) Heavy Vehicle Use Tax Payment Database.--
          (1) In general.--Not later than 90 days after the 
        date of enactment of this subsection, the Secretary 
        shall enter into a memorandum of understanding with the 
        Commissioner of the Internal Revenue Service for the 
        purposes of the establishment, operation, and 
        maintenance of an electronic database of heavy vehicle 
        highway use tax payments.
          (2) Elements of memorandum of understanding.--The 
        memorandum of understanding shall provide that--
                  (A) the Internal Revenue Service shall 
                establish and maintain the electronic database 
                through contracts;
                  (B) the Commissioner of the Internal Revenue 
                Service shall submit and the Secretary shall 
                approve a budget and project plan for 
                establishment, operation, and maintenance of 
                the electronic database;
                  (C) the electronic database shall be under 
                the control of the Internal Revenue Service; 
                and
                  (D) the electronic database shall be made 
                available for use by appropriate State and 
                Federal revenue, tax, and law enforcement 
                authorities, subject to section 6103 of the 
                Internal Revenue Code of 1986.
          (3) Funding.--Of the amounts made available to carry 
        out this section for each of fiscal years 2004 through 
        2009, the Secretary shall make available to the 
        Internal Revenue Service such funds as may be necessary 
        to establish, operate, and maintain an electronic 
        database of heavy vehicle highway use tax payments in 
        accordance with this subsection.
  (f) Reports.--Not later than March 30 and September 30 of 
each year, the Commissioner of the Internal Revenue Service 
shall provide reports to the Secretary on the status of the 
Internal Revenue Service projects funded under this section 
related to the excise summary terminal activity reporting 
system, the pipeline, vessel, and barge registration system, 
and the heavy vehicle use tax electronic database.

Sec. 144. Highway bridge replacement and rehabilitation program

  (a) * * *

           *       *       *       *       *       *       *

  [(d) Whenever any State or States make application to the 
Secretary for assistance in replacing or rehabilitating a 
highway bridge which the priority system established under 
subsection (b) and (c) of this section shows to be eligible, 
the Secretary may approve Federal participation in replacing 
such bridge with a comparable facility or in rehabilitating 
such bridge. Whenever any State makes application to the 
Secretary for assistance in painting and seismic retrofit, or 
applying calcium magnesium acetate, sodium acetate/formate, or 
other environmentally acceptable, minimally corrosive anti-
icing and de-icing compositions or installing scour 
countermeasures to, the structure of a highway bridge, the 
Secretary may approve Federal participation in the painting or 
seismic retrofit of, or application of such acetate or sodium 
acetate/formate or such anti-icing or de-icing composition or 
installation of such countermeasures to, such structure. The 
Secretary shall determine the eligibility of highway bridges 
for replacement or rehabilitation for each State based upon the 
unsafe highway bridges in such State, except that a State may 
carry out a project for seismic retrofit of a bridge under this 
section without regard to whether the bridge is eligible for 
replacement or rehabilitation under this section. In approving 
projects (other than projects for bridge structure painting or 
seismic retrofit or application of such acetate or sodium 
acetate/formate or such anti-icing or de-icing composition or 
installation of such countermeasures) under this section, the 
Secretary shall give consideration to those projects which will 
remove from service those highway bridges most in danger of 
failure.]
  (d) Applications for and Approval of Assistance.--
          (1) Bridge replacement or rehabilitation.--Whenever 
        any State or States make application to the Secretary 
        for assistance in replacing or rehabilitating a highway 
        bridge which the priority system established under 
        subsections (b) and (c) shows to be eligible, the 
        Secretary may approve Federal participation in 
        replacing such bridge with a comparable facility or in 
        rehabilitating such bridge.
          (2) Preventive maintenance, scour measures, and 
        applications of certain compositions.--Whenever any 
        State makes application to the Secretary for assistance 
        in painting, seismic retrofit, or preventive 
        maintenance of, or installing scour countermeasures or 
        applying calcium magnesium acetate, sodium acetate/
        formate, or other environmentally acceptable, minimally 
        corrosive anti-icing and de-icing compositions to, the 
        structure of a highway bridge, the Secretary may 
        approve Federal participation in the painting, seismic 
        retrofit, or preventive maintenance of, or installation 
        of scour countermeasures or application of acetate or 
        sodium acetate/formate or such anti-icing or de-icing 
        composition to, such structure.
          (3) Eligibility.--The Secretary shall determine the 
        eligibility of highway bridges for replacement or 
        rehabilitation for each State based upon the unsafe 
        highway bridges in such State; except that a State may 
        carry out a project for preventive maintenance on a 
        bridge, seismic retrofit of a bridge, or installing 
        scour countermeasures to a bridge under this section 
        without regard to whether the bridge is eligible for 
        replacement or rehabilitation under this section.

           *       *       *       *       *       *       *

  (g) Set Asides.--
          (1) Discretionary bridge program.--
                  (A) * * *

           *       *       *       *       *       *       *

                  (D) Fiscal years 2004 through 2009.--Of the 
                amounts authorized to be appropriated to carry 
                out the bridge program under this section for 
                each of the fiscal years 2004 through 2009, all 
                but $100,000,000 shall be apportioned as 
                provided in subsection (e). Such $100,000,000 
                shall be available at the discretion of the 
                Secretary.

           *       *       *       *       *       *       *

          (3) Off-system bridges.--Not less than [15 percent] 
        20 percent nor more than 35 percent of the amount 
        apportioned to each State in each of fiscal years 
        [1987] 2004 through [2003] 2009 and in the period of 
        October 1, 2003, through April 30, 2004, shall be 
        expended for projects to replace, rehabilitate, paint, 
        perform systematic preventive maintenance, or seismic 
        retrofit, or apply calcium magnesium acetate, sodium 
        acetate/formate, or other environmentally acceptable, 
        minimally corrosive anti-icing and de-icing 
        compositions or install scour countermeasures, to 
        highway bridges located on public roads, other than 
        those on a Federal-aid highway. The Secretary, after 
        consultation with State and local officials, may, with 
        respect to such State, reduce the requirement for 
        expenditure for bridges not on a Federal-aid highway 
        when the Secretary determines that such State has 
        inadequate needs to justify such expenditure.

           *       *       *       *       *       *       *

  (i) Inventories and Reports.--The Secretary shall--
          (1) * * *

           *       *       *       *       *       *       *

Such reports shall be submitted to such committees biennially 
[at the same time as the report required by section 307(f) of 
this title is submitted to Congress].

           *       *       *       *       *       *       *


Sec. 145. Federal-State relationship

  (a) * * *
  (b) Purpose of Projects.--The projects described in section 
1702 of the Transportation Equity Act: A Legacy for Users, 
section 1602 of the Transportation Equity Act for the 21st 
Century, sections 1103 through 1108 of the Intermodal Surface 
Transportation Efficiency Act of 1991 (105 Stat. 2027 et seq.), 
and section 149(a) of the Surface Transportation and Uniform 
Relocation Assistance Act of 1987 (101 Stat. 181 et seq.) are 
intended to establish eligibility for Federal-aid highway funds 
made available for such projects by section 1101(a)(17) of the 
Transportation Equity Act: A Legacy for Users, section 
1101(a)(13) of the Transportation Equity Act for the 21st 
Century, [117 of title 23, United States Code,] section 117 of 
this title, sections 1103 through 1108 of the Intermodal 
Surface Transportation Efficiency Act of 1991, and subsections 
(b), (c), and (d) of section 149 of the Surface Transportation 
and Uniform Relocation Assistance Act of 1987, respectively, 
and are not intended to define the scope or limits of Federal 
action in a manner inconsistent with subsection (a).

           *       *       *       *       *       *       *


Sec. 149. Congestion mitigation and air quality improvement program

  (a) * * *
  (b) Eligible Projects.--Except as provided in subsection (c), 
a State may obligate funds apportioned to it under section 
104(b)(2) for the congestion mitigation and air quality 
improvement program only for a transportation project or 
program if the project or program is for an area in the State 
that is or was designated as a nonattainment area for ozone, 
carbon monoxide, or particulate matter under section 107(d) of 
the Clean Air Act (42 U.S.C. 7407(d)) and classified pursuant 
to section 181(a), 186(a), 188(a), or 188(b) of the Clean Air 
Act (42 U.S.C. 7511(a), 7512(a), 7513(a), or 7513(b)) or is or 
was designated as a nonattainment area under such section 
107(d) after December 31, 1997, and--
          (1) * * *

           *       *       *       *       *       *       *

          (5) if the program or project improves traffic flow, 
        including projects to improve signalization, construct 
        high occupancy vehicle lanes, improve intersections, 
        improve transportation systems management and 
        operations, and implement intelligent transportation 
        system strategies and such other projects that are 
        eligible for assistance under this section on the day 
        before the date of enactment of this paragraph.

           *       *       *       *       *       *       *


Sec. 150. Deployment of intelligent transportation systems

  (a) In General.--In each of fiscal years 2004 through 2009, 
each State shall obligate a portion of the funds apportioned to 
the State under sections 104(b)(1), 104(b)(2), 104(b)(3), and 
104(b)(4) for such fiscal year, calculated under subsection 
(b), for projects described in subsection (c) that support 
deployment of intelligent transportation systems in the State.
  (b) Calculation of Amount.--The portion of a State's 
apportionments to be obligated under subsection (a) for 
projects described in subsection (c) in a fiscal year shall be 
determined by multiplying $500,000,000 by the ratio that--
          (1) the aggregate of amounts apportioned to the State 
        for such fiscal year under sections 104(b)(1), 
        104(b)(2), 104(b)(3), and 104(b)(4); bears to
          (2) the aggregate of amounts apportioned to all 
        States for such fiscal year under such sections.
  (c) Intelligent Transportation Systems Deployment Projects.--
Projects for which funds must be obligated under this section 
include the following:
          (1) Performance.--Establishment and implementation of 
        operations systems and services that improve 
        performance in the areas of traffic operations, 
        emergency response to surface transportation incidents, 
        surface transportation incident management, weather 
        event response management by State and local 
        authorities, surface transportation network and 
        facility management, construction and work zone 
        management, and traffic flow information.
          (2) Networks.--Conducting activities that support the 
        creation of networks that link metropolitan and rural 
        surface transportation systems into an integrated data 
        network, capable of collecting, sharing, and archiving 
        transportation system traffic condition and performance 
        information.
          (3) Safety.--Implementation of intelligent 
        transportation system technologies that improve highway 
        safety through linkages connecting the vehicle, the 
        infrastructure, and information to the driver.
          (4) Operation and management.--Provision of services 
        necessary to ensure the efficient operation and 
        management of intelligent transportation systems 
        infrastructure, including costs associated with 
        communications, utilities, rent, hardware, software, 
        labor, administrative costs, training, and technical 
        services.
          (5) Interagency support.--Provision of support for 
        institutional relationships between transportation 
        agencies, police, emergency medical services, private 
        emergency operators, freight operators, and shippers.
          (6) Planning.--Conducting cross-jurisdictional 
        planning and deployment of regional transportation 
        systems operations and management approaches.
  (d) Obligation of Amounts.--
          (1) In general.--In complying with the requirements 
        of this section, the amounts obligated by a State for 
        projects under subsection (c) that support deployment 
        of intelligent transportation systems in such State 
        under subsection (a) shall be allocated among the 
        individual programs for which funds are apportioned 
        under sections 104(b)(1), 104(b)(2), 104(b)(3), and 
        104(b)(4).
          (2) Limitation on statutory construction.--Nothing in 
        this subsection shall be construed as requiring a State 
        to obligate proportional or equal amounts under 
        sections 104(b)(1), 104(b)(2), 104(b)(3), and 104(b)(4) 
        for any congestion relief activity under this section.
  (e) Limitation on Statutory Construction.--Nothing in this 
section shall be construed as altering or otherwise affecting 
the applicability of the requirements of this chapter 
(including requirements relating to the eligibility of a 
project for assistance under the program, the location of the 
project, and the Federal-share payable on account of the 
project) to amounts apportioned to a State for a program under 
section 104(b) that are obligated by the State for projects 
under this section.
  (f) Joint Responsibility.--Each State, each affected 
metropolitan planning organization, and the Secretary shall 
jointly ensure compliance with this section.

           *       *       *       *       *       *       *


Sec. 152. Hazard elimination program

  (a) In General.--
          (1) Program.--Each State shall conduct and 
        systematically maintain an engineering survey of all 
        public roads to identify hazardous locations, sections, 
        and elements, including roadside obstacles and unmarked 
        or poorly marked roads, which may constitute a danger 
        to motorists, bicyclists, [and] pedestrians, and the 
        disabled, identify roadway safety improvement needs for 
        such locations, sections, and elements, assign 
        priorities for the correction of such locations, 
        sections, and elements, and establish and implement a 
        schedule of projects for their improvement.
          (2) Hazards.--In carrying out paragraph (1), a State 
        may, at its discretion--
                  (A) identify, through a survey, hazards to 
                motorists, bicyclists, pedestrians, the 
                disabled, and users of highway facilities; and

           *       *       *       *       *       *       *

  (b) The Secretary may approve as a project under this section 
any safety improvement project, including a project described 
in subsection (a) that reduces the likelihood of crashes 
involving road departures, intersections, pedestrians, the 
disabled, bicyclists, older drivers, or construction work 
zones.
  (c) Funds authorized to carry out this section shall be 
available for expenditure on--
          (1) * * *
          (2) any public surface transportation facility or any 
        publicly owned bicycle or pedestrian pathway or trail; 
        [or]
          (3) any traffic calming measure[.];
          (4) police assistance for traffic and speed 
        management in construction work zones;
          (5) installation of barriers between construction 
        work zones and traffic lanes for the safety of 
        motorists and workers; and
          (6) compilation and analysis of data under 
        subsections (f) and (g) if the funds used for this 
        purpose by a State do not exceed 2 percent of the 
        amount apportioned to such State to carry out this 
        section.
  [(d) The Federal share payable on account of any project 
under this section shall be 90 percent of the cost thereof.]
  (d) Apportionment.--
          (1) Formula.--Funds authorized to be appropriated to 
        carry out this section shall be apportioned to the 
        States in accordance with the formula set forth in 
        section 104(b)(3)(A).
          (2) Minimum apportionment.--Notwithstanding paragraph 
        (1), each State shall receive a minimum of \1/2\ of 1 
        percent of the funds apportioned under paragraph (1).
          (3) Federal share.--The Federal share payable on 
        account of any project financed with funds authorized 
        to be appropriated to carry out this section shall be 
        90 percent of the cost thereof.

           *       *       *       *       *       *       *

  (g) Each State shall report to the Secretary of 
Transportation not later than December 30 of each year, on the 
progress being made to implement safety improvement projects 
for hazard elimination and the effectiveness of such 
improvements. Each State report shall contain an assessment of 
the cost of, and safety benefits derived from, the various 
means and methods used to mitigate or eliminate hazards and the 
previous and subsequent accident experience at these locations. 
[The Secretary of Transportation shall submit a report to the 
Committee on Environment and Public Works of the Senate and the 
Committee on Transportation and Infrastructure of the House of 
Representatives not later than April 1 of each year on the 
progress being made by the States in implementing the hazard 
elimination program (including but not limited to any projects 
for pavement marking). The report shall include, but not be 
limited to, the number of projects undertaken, their 
distribution by cost range, road system, means and methods 
used, and the previous and subsequent accident experience at 
improved locations. In addition, the Secretary's report shall 
analyze and evaluate each State program, identify any State 
found not to be in compliance with the schedule of improvements 
required by subsection (a) and include recommendations for 
future implementation of the hazard elimination program.]

           *       *       *       *       *       *       *

  (i) Biennial Report to Congress.--Not later than 2 years 
after the date of enactment of this subsection, and every 2 
years thereafter, the Secretary shall transmit to the Committee 
on Transportation and Infrastructure of the House of 
Representatives and the Committee on Environment and Public 
Works of the Senate a report on the results of the program 
under this section. The report shall include, at a minimum, the 
following:
          (1) A summary of State projects completed under this 
        section categorized by the types of hazards and a 
        statement of the cost of such projects.
          (2) An analysis of the effectiveness of such 
        categories of projects in reducing the number and 
        severity of crashes at high hazard locations.
          (3) An assessment of the adequacy of authorized 
        funding for the program and State use of such funding 
        to address the national need for such projects.
          (4) Recommendations for funding and program 
        improvements to reduce the number of high hazard 
        locations.
          (5) An analysis and evaluation of each State program, 
        an identification of any State found not to be in 
        compliance with the schedule of improvements required 
        by subsection (a), and recommendations for future 
        implementation of the hazard elimination program.

Sec. 153. Use of safety belts and motorcycle helmets

  (a) * * *

           *       *       *       *       *       *       *

  (h) Penalty.--
          (1) * * *
          (2) [Thereafter] Fiscal years 1995-2003.--If, at any 
        time in a fiscal year beginning after September 30, 
        1994, and ending before October 1, 2003, a State does 
        not have in effect a law described in subsection 
        (a)(2), the Secretary shall transfer 3 percent of the 
        funds apportioned to the State for the succeeding 
        fiscal year under each of subsections (b)(1), (b)(2), 
        and (b)(3) of section 104 of this title to the 
        apportionment of the State under section 402 of this 
        title.
          (3) Fiscal year 2004 and thereafter.--On October 1, 
        2003, and each October 1 thereafter, if a State does 
        not have in effect a law described in subsection 
        (a)(2), the Secretary shall transfer from the funds 
        apportioned to the State on that date under each of 
        subsections (b)(1), (b)(2), and (b)(3) of section 104 
        to the apportionment of the State under section 402 an 
        amount equal to 3 percent of the funds apportioned to 
        the State under such subsections for fiscal year 2003.
          [(3)] (4) Federal share.--The Federal share of the 
        cost of any project carried out under section 402 with 
        funds transferred to the apportionment of section 402 
        shall be 100 percent.
          [(4)] (5) Transfer of obligation authority.--If the 
        Secretary transfers under this subsection any funds to 
        the apportionment of a State under section 402 for a 
        fiscal year, the Secretary shall allocate an amount of 
        obligation authority distributed for such fiscal year 
        to the State for Federal-aid highways and highway 
        safety construction programs for carrying out only 
        projects under section 402 [which is determined by 
        multiplying] which, for fiscal year 2004 and each 
        fiscal year thereafter, is determined by multiplying--
                  (A) * * *
                  (B) the ratio of the amount of obligation 
                authority distributed for [such fiscal year] 
                fiscal year 2003 to the State for Federal-aid 
                highways and highway safety construction 
                programs to the total of the sums apportioned 
                to the State for Federal-aid highways and 
                highway safety construction (excluding sums not 
                subject to any obligation limitation) for [such 
                fiscal year] fiscal year 2003.
          [(5)] (6) Limitation on applicability of highway 
        safety obligations.--Notwithstanding any other 
        provision of law, no limitation on the total of 
        obligations for highway safety programs carried out by 
        the Federal Highway Administration under section 402 
        shall apply to funds transferred under this subsection 
        to the apportionment of section 402.
  (i) Definitions.--For the purposes of this section, the 
following definitions apply:
          (1) * * *
          [(2) Motor vehicle.--The term ``motor vehicle'' has 
        the meaning such term has under section 154 of this 
        title.]
          [(3)] (2) Passenger vehicle.--The term ``passenger 
        vehicle'' means a motor vehicle which is designed for 
        transporting 10 individuals or less, including the 
        driver, except that such term does not include a 
        vehicle which is constructed on a truck chassis, a 
        motorcycle, a trailer, or any motor vehicle which is 
        not required on the date of the enactment of this 
        section under a Federal motor vehicle safety standard 
        to be equipped with a belt system.
          [(4)] (3) Safety belt.--The term ``safety belt'' 
        means--
                  (A) * * *

           *       *       *       *       *       *       *


Sec. 154. Open container requirements

  (a) Definitions.--In this section, the following definitions 
apply:
          (1) * * *
          [(3)] (2) Open alcoholic beverage container.--The 
        term ``open alcoholic beverage container'' means any 
        bottle, can, or other receptacle--
                  (A) * * *

           *       *       *       *       *       *       *

          [(4)] (3) Passenger area.--The term ``passenger 
        area'' shall have the meaning given the term by the 
        Secretary by regulation.

           *       *       *       *       *       *       *

  (c) Transfer of Funds.--
          (1) * * *
          (2) Fiscal year 2003 [and fiscal years thereafter].--
        On October 1, 2002, [and each October 1 thereafter,] if 
        a State has not enacted or is not enforcing an open 
        container law described in subsection (b), the 
        Secretary shall transfer an amount equal to 3 percent 
        of the funds apportioned to the State on that date 
        under each of paragraphs (1), (3), and (4) of section 
        104(b) to the apportionment of the State under section 
        402 to be used or directed as described in subparagraph 
        (A) or (B) of paragraph (1).
          (3) Fiscal year 2004 and thereafter.--On October 1, 
        2003, and each October 1 thereafter, if a State has not 
        enacted or is not enforcing an open container law 
        described in subsection (b), the Secretary shall 
        transfer from the funds apportioned to the State on 
        that date under each of paragraphs (1), (3), and (4) of 
        section 104(b) an amount equal to 3 percent of the 
        funds apportioned to the State under such paragraphs 
        for fiscal year 2003 to be used or directed as 
        described in subparagraph (A) or (B) of paragraph (1).
          [(3)] (4) Use for hazard elimination program.--A 
        State may elect to use all or a portion of the funds 
        transferred under [paragraph (1) or (2)] paragraph (1), 
        (2), or (3) for activities eligible under section 152.
          [(4)] (5) Federal share.--The Federal share of the 
        cost of a project carried out with funds transferred 
        under [paragraph (1) or (2)] paragraph (1), (2), or 
        (3), or used under [paragraph (3)] paragraph (4), shall 
        be 100 percent.
          [(5)] (6) Derivation of amount to be transferred.--
        The amount to be transferred under [paragraph (1) or 
        (2)] paragraph (1), (2), or (3) may be derived from 1 
        or more of the following:
                  (A) * * *

           *       *       *       *       *       *       *

          [(6)] (7) Transfer of obligation authority.--
                  (A) * * *
                  (B) Amount.--[The amount] For fiscal year 
                2004 and each fiscal year thereafter, the 
                amount of obligation authority referred to in 
                subparagraph (A) shall be determined by 
                multiplying--
                          (i) * * *
                          (ii) the ratio that--
                                  (I) the amount of obligation 
                                authority distributed for [the 
                                fiscal year] fiscal year 2003 
                                to the State for Federal-aid 
                                highways and highway safety 
                                construction programs; bears to
                                  (II) the total of the sums 
                                apportioned to the State for 
                                Federal-aid highways and 
                                highway safety construction 
                                programs (excluding sums not 
                                subject to any obligation 
                                limitation) for [the fiscal 
                                year] fiscal year 2003.
          [(7)] (8) Limitation on applicability of obligation 
        limitation.--Notwithstanding any other provision of 
        law, no limitation on the total of obligations for 
        highway safety programs under section 402 shall apply 
        to funds transferred under this subsection to the 
        apportionment of a State under such section.

           *       *       *       *       *       *       *


Sec. 157. Safety incentive grants for use of seat belts

  (a) * * *

           *       *       *       *       *       *       *

  (g) Funding.--
          (1) In general.--There is authorized to be 
        appropriated from the Highway Trust Fund (other than 
        the Mass Transit Account) to carry out this section 
        $82,000,000 for fiscal year 1999, $92,000,000 for 
        fiscal year 2000, $102,000,000 for fiscal year 2001, 
        $112,000,000 for fiscal year 2002, $112,000,000 for 
        [fiscal year 2003] each of fiscal years 2003 and 2004, 
        $65,333,333 for the period of October 1, 2003, through 
        April 30, 2004.

           *       *       *       *       *       *       *


Sec. 163. Safety incentives to prevent operation of motor vehicles by 
                    intoxicated persons

  (a) * * *

           *       *       *       *       *       *       *

  (e) Penalty.--
          (1) In general.--On October 1, 2003, and October 1 of 
        each fiscal year thereafter, if a State has not enacted 
        or is not enforcing a law described in subsection (a), 
        the Secretary shall withhold from amounts apportioned 
        to the State on that date under each of paragraphs (1), 
        (3), and (4) of section 104(b) an amount equal to the 
        amount specified in paragraph (2).
          (2) Amount to be withheld.--If a State is subject to 
        a penalty under paragraph (1), the Secretary shall 
        withhold for a fiscal year from the apportionments of 
        the State described in paragraph (1) an amount equal to 
        a percentage of the funds apportioned to the State 
        under paragraphs (1), (3), and (4) of section 104(b) 
        for fiscal year 2003. The percentage shall be as 
        follows:
                  (A) For fiscal year 2004, 2 percent.
                  (B) For fiscal year 2005, 4 percent.
                  (C) For fiscal year 2006, 6 percent.
                  (D) For fiscal year 2007, and each fiscal 
                year thereafter, 8 percent.
          (3) Failure to comply.--If, within 4 years from the 
        date that an apportionment for a State is withheld in 
        accordance with this subsection, the Secretary 
        determines that the State has enacted and is enforcing 
        a law described in subsection (a), the apportionment of 
        the State shall be increased by an amount equal to the 
        amount withheld. If, at the end of such 4-year period, 
        any State has not enacted or is not enforcing a law 
        described in subsection (a) any amounts so withheld 
        from such State shall lapse.
  [(e)] (f) Authorization of Appropriations.--
          (1) In general.--There are authorized to be 
        appropriated out of the Highway Trust Fund (other than 
        the Mass Transit Account) to carry out this section 
        $55,000,000 for fiscal year 1998, $65,000,000 for 
        fiscal year 1999, $80,000,000 for fiscal year 2000, 
        $90,000,000 for fiscal year 2001, $100,000,000 for 
        fiscal year 2002, $110,000,000 for [fiscal year 2003] 
        each of fiscal years 2003 and 2004, and $70,000,000 for 
        the period of October 1, 2003, through April 30, 2004.

           *       *       *       *       *       *       *


Sec. 164. Minimum penalties for repeat offenders for driving while 
                    intoxicated or driving under the influence

  (a) Definitions.--In this section, the following definitions 
apply:
          (1) * * *

           *       *       *       *       *       *       *

          (4) Motor vehicle.--The term ``motor vehicle'' [means 
        a vehicle driven or drawn by mechanical power and 
        manufactured primarily for use on public highways, but 
        does not include a vehicle operated solely on a rail 
        line or] does not include a commercial vehicle.
          (5) Repeat intoxicated driver law.--The term ``repeat 
        intoxicated driver law'' means a State law that 
        provides, as a minimum penalty, that an individual 
        convicted of a second or subsequent offense for driving 
        while intoxicated or driving under the influence after 
        a previous conviction for that offense shall--
                  [(A) receive a driver's license suspension 
                for not less than 1 year;]
                  (A) receive (i) a driver's license suspension 
                for not less than 1 year, or (ii) a combination 
                of suspension of all driving privileges of an 
                individual for the first 45 days of the 
                suspension period followed by a reinstatement 
                of limited driving privileges for the propose 
                of getting to and from work, school, or an 
                alcohol treatment program if an ignition 
                interlock device is installed on each of the 
                motor vehicles owned or operated, or both, by 
                the individual;

           *       *       *       *       *       *       *

  (b) Transfer of Funds.--
          (1) * * *
          (2) Fiscal year 2003 [and fiscal years thereafter].--
        On October 1, 2002, [and each October 1 thereafter,] if 
        a State has not enacted or is not enforcing a repeat 
        intoxicated driver law, the Secretary shall transfer an 
        amount equal to 3 percent of the funds apportioned to 
        the State on that date under each of paragraphs (1), 
        (3), and (4) of section 104(b) to the apportionment of 
        the State under section 402 to be used or directed as 
        described in subparagraph (A) or (B) of paragraph (1).
          (3) Fiscal year 2004 and thereafter.--On October 1, 
        2003, and each October 1 thereafter, if a State has not 
        enacted or is not enforcing a repeat intoxicated driver 
        law, the Secretary shall transfer from the funds 
        apportioned to the State on that date under each of 
        paragraphs (1), (3), and (4) of section 104(b) an 
        amount equal to 3 percent of the funds apportioned to 
        the State under such paragraphs for fiscal year 2003 to 
        be used or directed as described in subparagraph (A) or 
        (B) of paragraph (1).
          [(3)] (4) Use for hazard elimination program.--A 
        State may elect to use all or a portion of the funds 
        transferred under [paragraph (1) or (2)] paragraph (1), 
        (2), or (3) for activities eligible under section 152.
          [(4)] (5) Federal share.--The Federal share of the 
        cost of a project carried out with funds transferred 
        under [paragraph (1) or (2)] paragraph (1), (2), or 
        (3), or used under [paragraph (3)] paragraph (4), shall 
        be 100 percent.
          [(5)] (6) Derivation of amount to be transferred.--
        The amount to be transferred under [paragraph (1) or 
        (2)] paragraph (1), (2), or (3) may be derived from 1 
        or more of the following:
                  (A) * * *

           *       *       *       *       *       *       *

          [(6)] (7) Transfer of obligation authority.--
                  (A) * * *
                  (B) Amount.--[The amount] For fiscal year 
                2004 and each fiscal year thereafter, the 
                amount of obligation authority referred to in 
                subparagraph (A) shall be determined by 
                multiplying--
                          (i) * * *
                          (ii) the ratio that--
                                  (I) the amount of obligation 
                                authority distributed for [the 
                                fiscal year] fiscal year 2003 
                                to the State for Federal-aid 
                                highways and highway safety 
                                construction programs; bears to
                                  (II) the total of the sums 
                                apportioned to the State for 
                                Federal-aid highways and 
                                highway safety construction 
                                programs (excluding sums not 
                                subject to any obligation 
                                limitation) for [the fiscal 
                                year] fiscal year 2003.
          [(7)] (8) Limitation on applicability of obligation 
        limitation.--Notwithstanding any other provision of 
        law, no limitation on the total of obligations for 
        highway safety programs under section 402 shall apply 
        to funds transferred under this subsection to the 
        apportionment of a State under such section.

Sec. 165. Construction of ferry boats and ferry terminal facilities

  (a) In General.--The Secretary shall carry out a program for 
construction of ferry boats and ferry terminal facilities in 
accordance with section 129(c).
  (b) Federal Share.--The Federal share payable for 
construction of ferry boats and ferry terminal facilities under 
this section shall be 80 percent of the cost thereof.
  (c) Availability of Amounts.--Amounts made available to carry 
out this section shall remain available until expended.
  (d) Set-Aside for Projects on NHS.--
          (1) In general.--$20,000,000 of the amount made 
        available to carry out this section for each of fiscal 
        years 2004 through 2009 shall be obligated for the 
        construction or refurbishment of ferry boats and ferry 
        terminal facilities and approaches to such facilities 
        within marine highway systems that are part of the 
        National Highway System.
          (2) Alaska.--$10,000,000 of the $20,000,000 for a 
        fiscal year made available under paragraph (1) shall be 
        made available to the State of Alaska.
          (3) New jersey.--$5,000,000 of the $20,000,000 for a 
        fiscal year made available under paragraph (1) shall be 
        made available to the State of New Jersey.
          (4) Washington.--$5,000,000 of the $20,000,000 for a 
        fiscal year made available under paragraph (1) shall be 
        made available to the State of Washington.
  (e) Applicability.--All provisions of this chapter that are 
applicable to the National Highway System, other than 
provisions relating to apportionment formula and Federal share, 
shall apply to funds made available to carry out this section, 
except as determined by the Secretary to be inconsistent with 
this section.

Sec. 166. Transportation systems management and operations

  (a) Authority.--The Secretary may--
          (1) encourage transportation system managers, 
        operators, public safety officials, and transportation 
        planners within an urbanized area, who are actively 
        engaged in and responsible for conducting activities 
        relating to day-to-day management, operations, public 
        safety, and planning of transportation facilities and 
        services, to collaborate and coordinate on a regional 
        level in a continuous and sustained manner for improved 
        transportation systems management and operations, 
        including, at a minimum--
                  (A) developing a regional concept of 
                operations that defines a regional strategy 
                shared by all transportation and public safety 
                participants for how the region's systems 
                should be managed, operated, and measured;
                  (B) sharing of information among operators, 
                service providers, public safety officials, and 
                the general public; and
                  (C) guiding, in a regionally-coordinated 
                manner, the implementation of regional 
                transportation system management and operations 
                initiatives, including emergency evacuation and 
                response, traffic incident management, 
                technology deployment, and traveler information 
                systems delivery, in a manner consistent with 
                and integrated into the ongoing metropolitan 
                and statewide transportation planning processes 
                and regional intelligent transportation system 
                architecture, if required; and
          (2) encourage States to establish a system of basic 
        real-time monitoring capability for the surface 
        transportation system and provide the capability and 
        means to share that data among agencies (including 
        highway, transit, and public safety agencies), 
        jurisdictions (including States, cities, counties, and 
        areas represented by metropolitan planning 
        organizations), private-sector entities, and the 
        traveling public.
  (b) Execution.--To support the successful execution of 
transportation systems management and operations activities, 
the Secretary may undertake the following activities:
          (1) Assist and cooperate with other Federal 
        departments and agencies, State and local governments, 
        metropolitan planning organizations, private industry 
        representatives, and other interested parties to 
        improve regional collaboration and real-time 
        information sharing between transportation system 
        managers and operators, public safety officials, 
        emergency managers, and the general public to increase 
        the security, safety, and reliability of Federal-aid 
        highways.
          (2) Issue, if necessary, new guidance or regulations 
        for the procurement of transportation system management 
        and operations facilities, equipment, and services, 
        including equipment procured in preparation for natural 
        disasters and emergencies, system hardware, software, 
        and software integration services.

Sec. 167. HOV facilities

  (a) In General.--
          (1) Authority of state agencies.--A State agency that 
        has jurisdiction over the operation of a HOV facility 
        shall establish the occupancy requirements of vehicles 
        operating on the facility.
          (2) Occupancy requirement.--Except as otherwise 
        provided by this section, no fewer than 2 occupants per 
        vehicle may be required for use of a HOV facility.
  (b) Exceptions.--Notwithstanding the occupancy requirements 
of subsection (a)(2), the following exceptions shall apply with 
respect to a State agency operating a HOV facility:
          (1) Motorcycles and bicycles.----
                  (A) In general.--Subject to subparagraph (B), 
                the State agency shall allow motorcycles and 
                bicycles to use the HOV facility.
                  (B) Safety exception.--A State agency may 
                restrict use of the HOV facility by motorcycles 
                or bicycles (or both) if the agency certifies 
                to the Secretary that such use would create a 
                safety hazard and the Secretary accepts the 
                certification. The Secretary may accept a 
                certification under this subparagraph only 
                after the Secretary publishes notice of the 
                certification in the Federal Register and 
                provides an opportunity for public comment.
          (2) Public transportation vehicles.--The State agency 
        may allow public transportation vehicles to use the HOV 
        facility if the agency--
                  (A) establishes requirements for clearly 
                identifying the vehicles; and
                  (B) establishes procedures for enforcing the 
                restrictions on the use of the facility by such 
                vehicles.
          (3) High occupancy toll vehicles.--The State agency 
        may allow vehicles not otherwise exempt pursuant to 
        this subsection to use the HOV facility if the 
        operators of such vehicles pay a toll charged by the 
        agency for use of the facility and the agency--
                  (A) establishes a program that addresses how 
                motorists can enroll and participate in the 
                toll program;
                  (B) develops, manages, and maintains a system 
                that will automatically collect the toll; and
                  (C) establishes policies and procedures to--
                          (i) manage the demand to use the 
                        facility by varying the toll amount 
                        that is charged;
                          (ii) enforce violations of use of the 
                        facility; and
                          (iii) permit low-income individuals 
                        to pay reduced tolls.
          (4) Low emission and energy-efficient vehicles.--
                  (A) Inherently low-emission vehicle.--Before 
                September 30, 2009, the State agency may allow 
                vehicles that are certified as inherently low-
                emission vehicles pursuant to section 88.311-93 
                of title 40, Code of Federal Regulations, and 
                are labeled in accordance with section 88.312-
                93 of such title, to use the HOV facility if 
                the agency establishes procedures for enforcing 
                the restrictions on the use of the facility by 
                such vehicles.
                  (B) Other low emission and energy-efficient 
                vehicles.--Before September 30, 2009, the State 
                agency may allow vehicles certified as low 
                emission and energy-efficient vehicles under 
                subsection (e), and labeled in accordance with 
                subsection (e), to use the HOV facility if the 
                operators of such vehicles pay a toll charged 
                by the agency for use of the facility and the 
                agency--
                          (i) establishes a program that 
                        addresses the selection of vehicles 
                        under this paragraph; and
                          (ii) establishes procedures for 
                        enforcing the restrictions on the use 
                        of the facility by such vehicles.
                  (C) Amount of tolls.--Tolls charged under 
                subparagraph (B) may be less than tolls charged 
                under paragraph (3).
  (c) Requirements Applicable to Tolls.----
          (1) In general.--Tolls may be charged under 
        subsections (b)(3) and (b)(4) notwithstanding section 
        301 and, except as provided in paragraphs (2) and (3), 
        subject to the requirements of section 129.
          (2) HOV facilities on the interstate system.--
        Notwithstanding section 129, tolls may be charged under 
        subsections (b)(3) and (b)(4) on a HOV facility on the 
        Interstate System.
          (3) Excess toll revenues.--If a State agency makes a 
        certification under the last sentence of section 
        129(a)(3) with respect to toll revenues collected under 
        under subsections (b)(3) and (b)(4), the State, in the 
        use of tolls revenues under that sentence, shall give 
        priority consideration to projects for developing 
        alternatives to single occupancy vehicle travel and 
        projects for improving highway safety.
  (d) HOV Facility Management, Operation, Monitoring, and 
Enforcement.--
          (1) In general.--A State agency that allows vehicles 
        to use a HOV facility under subsection (b)(3) or (b)(4) 
        in a fiscal year shall certify to the Secretary that 
        the agency will carry out the following 
        responsibilities with respect to the facility in the 
        fiscal year:
                  (A) Establishing, managing, and supporting a 
                performance monitoring, evaluation, and 
                reporting program for the facility that 
                provides for continuous monitoring, assessment, 
                and reporting on the impacts that such vehicles 
                may have on the operation of the facility and 
                adjacent highways.
                  (B) Establishing, managing, and supporting an 
                enforcement program that ensures that the 
                facility is being operated in accordance with 
                the requirements of this section.
                  (C) Limiting or discontinuing the use of the 
                facility by such vehicles if the presence of 
                such vehicles has degraded the operation of the 
                facility.
          (2) Degraded facility.----
                  (A) In general.--For purposes of paragraph 
                (1), the operation of a HOV facility shall be 
                considered to be degraded if vehicles operating 
                on the facility are failing to maintain a 
                minimum average operating speed 90 percent of 
                the time over a consecutive 6-month period 
                during morning or evening weekday peak hour 
                periods (or both).
                  (B) Minimum average operating speed 
                defined.--In subparagraph (A), the term 
                ``minimum average operating speed'' means--
                          (i) 45 miles per hour, in the case of 
                        a HOV facility with a speed limit of 50 
                        miles per hour or greater; and
                          (ii) not more than 10 miles per hour 
                        below the speed limit, in the case of a 
                        HOV facility with a speed limit of less 
                        than 50 miles per hour.
  (e) Certification of Low Emission and Energy-Efficient 
Vehicles.--Not later than 6 months after the date of enactment 
of this section, the Administrator of the Environmental 
Protection Agency shall issue a final rule establishing 
requirements for certification of vehicles as low emission and 
energy-efficient vehicles for purposes of this section and 
requirements for the labeling of such vehicles.
  (f) Definitions.--In this section, the following definitions 
apply:
          (1) Alternative fuel vehicle.--The term ``alternative 
        fuel vehicle'' means a vehicle that operates on--
                  (A) methanol, denatured ethanol, or other 
                alcohols;
                  (B) a mixture containing at least 85 percent 
                of methanol, denatured ethanol, and other 
                alcohols by volume with gasoline or other 
                fuels;
                  (C) natural gas;
                  (D) liquefied petroleum gas;
                  (E) hydrogen;
                  (F) coal derived liquid fuels;
                  (G) fuels (except alcohol) derived from 
                biological materials;
                  (H) electricity (including electricity from 
                solar energy); or
                  (I) any other fuel that the Secretary 
                prescribes by regulation that is not 
                substantially petroleum and that would yield 
                substantial energy security and environmental 
                benefits.
          (2) HOV facility.--The term ``HOV facility'' means a 
        high occupancy vehicle facility.
          (3) Low emission and energy efficient vehicle.--The 
        term ``low emission and energy-efficient vehicle'' 
        means a vehicle that--
                  (A) has been certified by the Administrator 
                of the Environmental Protection Agency as 
                meeting the Tier II emission level established 
                in regulations prescribed by the Administrator 
                under section 202(i) of the Clean Air Act (42 
                U.S.C. 7521(i)) for that make and model year 
                vehicle; and
                  (B)(i) has been certified by the 
                Administrator to have a 45-mile-per-gallon or 
                greater fuel economy highway rating; or
                  (ii) is an alternative fuel vehicle.
          (4) Public transportation vehicle.--The term ``public 
        transportation vehicle'' means a vehicle that provides 
        public transportation (as defined in section 5302(a) of 
        title 49).
          (5) State agency.--The term ``State agency'', as used 
        with respect to a HOV facility, means an agency of a 
        State or local government having jurisdiction over the 
        operation of the facility and includes a State 
        transportation department.

                [SUBCHAPTER II--INFRASTRUCTURE FINANCE]

Chapter 2.--OTHER HIGHWAYS

           *       *       *       *       *       *       *


Sec. 202. Allocations

      (a) On October 1 of each fiscal year, the Secretary shall 
allocate the sums authorized to be appropriated for such fiscal 
year for forest development roads and trails according to the 
relative needs of the various national forests. Such allocation 
shall be consistent with the renewable resource and land use 
planning for the various national forests; except that the 
Secretary may use up to 3 percent of such funds for making 
grants to Indian tribes for the purpose of financing 
transportation debt for individual Indian reservation roads 
subject to all requirements governing Federal assistance for 
Indian roads under this section and section 204.

           *       *       *       *       *       *       *

      (d) Indian Reservation Roads.--
          (1) * * *
          (2) Fiscal year 2000 and thereafter.--
                  (A) * * *

           *       *       *       *       *       *       *

                  (E) Alaska native road inventory.--
                          (i) In general.--For fiscal year 2004 
                        and each fiscal year thereafter, any 
                        allocation of sums authorized to be 
                        appropriated for Indian reservation 
                        roads in Alaska shall be based on an 
                        inventory of roads within the exterior 
                        boundaries of village corporation land 
                        selected pursuant to the Alaska Native 
                        Claims Settlement Act (43 U.S.C. 1601 
                        et seq.) that includes all routes 
                        previously included in such an 
                        inventory. The Secretary of 
                        Transportation and the Secretary of the 
                        Interior may include, in the inventory 
                        of roads, those proposed for inclusion 
                        by tribal village governments from 
                        among community streets within the 
                        village and those proposed primary 
                        access routes for inclusion by tribal 
                        village governments, including roads 
                        and trails between villages (including 
                        links over water), roads and trails to 
                        landfills, roads and trails to drinking 
                        water sources, roads and trails to 
                        natural resources identified for 
                        economic development, and roads and 
                        trails that provide access to 
                        intermodal termini, such as airports, 
                        harbors, or boat landings.
                          (ii) Limitation on primary access 
                        routes.--For purposes of this 
                        subparagraph, a proposed primary access 
                        route is the shortest practicable route 
                        connecting 2 points of the proposed 
                        route.
          [(3) Contracts and agreements with indian tribes.--
                  [(A) In general.--Notwithstanding any other 
                provision of law or any interagency agreement, 
                program guideline, manual, or policy directive, 
                all funds made available under this title for 
                Indian reservation roads and for highway 
                bridges located on Indian reservation roads to 
                pay for the costs of programs, services, 
                functions, and activities, or portions thereof, 
                that are specifically or functionally related 
                to the cost of planning, research, engineering, 
                and construction of any highway, road, bridge, 
                parkway, or transit facility that provides 
                access to or is located within the reservation 
                or community of an Indian tribe shall be made 
                available, upon request of the Indian tribal 
                government, to the Indian tribal government for 
                contracts and agreements for such planning, 
                research, engineering, and construction in 
                accordance with the Indian Self-Determination 
                and Education Assistance Act.
                  [(B) Exclusion of agency participation.--
                Funds for programs, functions, services, or 
                activities, or portions thereof, including 
                supportive administrative functions that are 
                otherwise contractible to which subparagraph 
                (A) applies, shall be paid in accordance with 
                subparagraph (A) without regard to the 
                organizational level at which the Department of 
                the Interior that has previously carried out 
                such programs, functions, services, or 
                activities.]
          (3) Contracts and agreements with indian tribes.--
                  (A) In general.--Notwithstanding any other 
                provision of law or any interagency agreement, 
                program guideline, manual, or policy directive, 
                all funds made available to an Indian tribal 
                government under this title for a highway, 
                road, bridge, parkway, or transit facility 
                project that is located on an Indian 
                reservation or provides access to the 
                reservation or a community of the Indian tribe 
                shall be made available, on the request of the 
                Indian tribal government, to the Indian tribal 
                government for use in carrying out, in 
                accordance with the Indian Self-Determination 
                and Education Assistance Act (25 U.S.C. 450 et 
                seq.), contracts and agreements for the 
                planning, research, engineering, and 
                construction relating to such project.
                  (B) Exclusion of agency participation.--In 
                accordance with subparagraph (A), all funds for 
                a project to which subparagraph (A) applies 
                shall be paid to the Indian tribal government 
                without regard to the organizational level at 
                which the Department of the Interior has 
                previously carried out, or the Department of 
                Transportation has previously carried out under 
                the Federal lands highway programs, the 
                programs, functions, services, or activities 
                involved.
                  (C) Consortia.--Two or more Indian tribes 
                that are otherwise eligible to participate in a 
                project to which this title applies may form a 
                consortium to be considered as a single Indian 
                tribe for the purpose of participating in the 
                project under this section.
                  (D) Funding.--The amount an Indian tribal 
                government receives for a project under 
                subparagraph (A) shall equal the sum of the 
                funding that the Indian tribal government would 
                otherwise receive for the project in accordance 
                with the funding formula established under this 
                subsection and such additional amount as the 
                Secretary determines equal the amounts that 
                would have been withheld for the costs of the 
                Bureau of Indian Affairs for administration of 
                the project.
                  (E) Eligibility.--An Indian tribal government 
                may receive funding under subparagraph (A) for 
                a project in a fiscal year if the Indian tribal 
                government demonstrates to the satisfaction of 
                the Secretary financial stability and financial 
                management capability as demonstrated in the 
                annual auditing required under the Indian Self-
                Determination and Education Assistance Act (25 
                U.S.C. 450 et seq.) and, during the preceding 
                fiscal year, had no uncorrected significant and 
                material audit exceptions in the required 
                annual audit of the Indian tribe's self-
                determination contracts or self-governance 
                funding agreements with any Federal agency.
                  (F) Assumption of functions and duties.--An 
                Indian tribal government receiving funding 
                under subparagraph (A) for a project shall 
                assume all functions and duties that the 
                Secretary of the Interior would have performed 
                with respect to projects under this chapter, 
                other than those functions and duties that 
                inherently cannot be legally transferred under 
                the Indian Self-Determination and Education 
                Assistance Act (25 U.S.C. 450b et seq.).
                  (G) Powers.--An Indian tribal government 
                receiving funding under subparagraph (A) for a 
                project shall have all powers that the 
                Secretary of the Interior would have exercised 
                in administering the funds transferred to the 
                Indian tribal government for such project under 
                this section if such funds had not been 
                transferred, except to the extent that such 
                powers are powers that inherently cannot be 
                legally transferred under the Indian Self-
                Determination and Education Assistance Act (25 
                U.S.C. 450b et seq.).
                  (H) Dispute resolution.--In the event of a 
                disagreement between the Secretary of 
                Transportation or the Secretary of the Interior 
                and an Indian tribe over whether a particular 
                function, duty, or power may be lawfully 
                transferred under the Indian Self-Determination 
                and Education Assistance Act (25 U.S.C. 450b et 
                seq.), the Indian tribe shall have the right to 
                pursue all alternative dispute resolutions and 
                appeal procedures authorized by such Act, 
                including regulations issued to carry out such 
                Act.

           *       *       *       *       *       *       *


Sec. 206. Recreational trails program

  (a) * * *

           *       *       *       *       *       *       *

  (d) Use of Apportioned Funds.--
          (1) * * *

           *       *       *       *       *       *       *

          [(2) Permissible uses.--Permissible uses of funds 
        apportioned to a State for a fiscal year to carry out 
        this section include--
                  [(A) maintenance and restoration of existing 
                recreational trails;
                  [(B) development and rehabilitation of 
                trailside and trailhead facilities and trail 
                linkages for recreational trails;
                  [(C) purchase and lease of recreational trail 
                construction and maintenance equipment;
                  [(D) construction of new recreational trails, 
                except that, in the case of new recreational 
                trails crossing Federal lands, construction of 
                the trails shall be--
                          [(i) permissible under other law;
                          [(ii) necessary and required by a 
                        statewide comprehensive outdoor 
                        recreation plan that is required by the 
                        Land and Water Conservation Fund Act of 
                        1965 (16 U.S.C. 460l-4 et seq.) and 
                        that is in effect;
                          [(iii) approved by the administering 
                        agency of the State designated under 
                        subsection (c)(1); and
                          [(iv) approved by each Federal agency 
                        having jurisdiction over the affected 
                        lands under such terms and conditions 
                        as the head of the Federal agency 
                        determines to be appropriate, except 
                        that the approval shall be contingent 
                        on compliance by the Federal agency 
                        with all applicable laws, including the 
                        National Environmental Policy Act of 
                        1969 (42 U.S.C. 4321 et seq.), the 
                        Forest and Rangeland Renewable 
                        Resources Planning Act of 1974 (16 
                        U.S.C. 1600 et seq.), and the Federal 
                        Land Policy and Management Act of 1976 
                        (43 U.S.C. 1701 et seq.);
                  [(E) acquisition of easements and fee simple 
                title to property for recreational trails or 
                recreational trail corridors;
                  [(F) payment of costs to the State incurred 
                in administering the program, but in an amount 
                not to exceed 7 percent of the apportionment 
                made to the State for the fiscal year to carry 
                out this section; and
                  [(G) operation of educational programs to 
                promote safety and environmental protection as 
                those objectives relate to the use of 
                recreational trails, but in an amount not to 
                exceed 5 percent of the apportionment made to 
                the State for the fiscal year.]
          (2) Permissible uses.--Permissible uses of funds 
        apportioned to a State for a fiscal year to carry out 
        this section include--
                  (A) maintenance and restoration of existing 
                recreational trails;
                  (B) development and rehabilitation of 
                trailside and trailhead facilities and trail 
                linkages for recreational trails;
                  (C) purchase and lease of recreational trail 
                construction and maintenance equipment;
                  (D) construction of new recreational trails, 
                except that, in the case of new recreational 
                trails crossing Federal lands, construction of 
                the trails shall be--
                          (i) permissible under other law;
                          (ii) necessary and recommended by a 
                        statewide comprehensive outdoor 
                        recreation plan that is required by the 
                        Land and Water Conservation Fund Act of 
                        1965 (16 U.S.C. 460l-4 et seq.) and 
                        that is in effect;
                          (iii) approved by the administering 
                        agency of the State designated under 
                        subsection (c)(1); and
                          (iv) approved by each Federal agency 
                        having jurisdiction over the affected 
                        lands under such terms and conditions 
                        as the head of the Federal agency 
                        determines to be appropriate, except 
                        that the approval shall be contingent 
                        on compliance by the Federal agency 
                        with all applicable laws, including the 
                        National Environmental Policy Act of 
                        1969 (42 U.S.C. 4321 et seq.), the 
                        Forest and Rangeland Renewable 
                        Resources Planning Act of 1974 (16 
                        U.S.C. 1600 et seq.), and the Federal 
                        Land Policy and Management Act of 1976 
                        (43 U.S.C. 1701 et seq.);
                  (E) acquisition of easements and fee simple 
                title to property for recreational trails or 
                recreational trail corridors;
                  (F) assessment of trail conditions for 
                accessibility and maintenance;
                  (G) operation of educational programs to 
                promote safety and environmental protection as 
                those objectives relate to the use of 
                recreational trails, but in an amount not to 
                exceed 5 percent of the apportionment made to 
                the State for the fiscal year; and
                  (H) payment of costs to the State incurred in 
                administering the program, but in an amount not 
                to exceed 7 percent of the apportionment made 
                to the State for the fiscal year to carry out 
                this section.
          (3) Use of apportionments.--
                  (A) * * *

           *       *       *       *       *       *       *

                  [(C) Waiver authority.--A State recreational 
                trail advisory committee established under 
                subsection (c)(2) may waive, in whole or in 
                part, the requirements of clauses (ii) and 
                (iii) of subparagraph (A) if the State 
                recreational trail advisory committee 
                determines and notifies the Secretary that the 
                State does not have sufficient projects to meet 
                the requirements of clauses (ii) and (iii) of 
                subparagraph (A).]
                  [(D)] (C) State administrative costs.--State 
                administrative costs eligible for funding under 
                paragraph [(2)(F)] (2)(H) shall be exempt from 
                the requirements of subparagraph (A).

           *       *       *       *       *       *       *

  (f) Federal Share.--
          (1) In general.--Subject to the other provisions of 
        this subsection, the Federal share of the cost of a 
        project and the Federal share of the administrative 
        costs of a State under this section shall [not exceed 
        80 percent] be determined in accordance with section 
        120(b).
          (2) Federal agency project sponsor.--Notwithstanding 
        any other provision of law, a Federal agency that 
        sponsors a project under this section may contribute 
        additional Federal funds toward the cost of a project, 
        except that--
                  (A) the share attributable to the Secretary 
                of Transportation may not exceed [80 percent 
                of] the amount determined in accordance with 
                section 120(b) for the cost of a project under 
                this section; and
                  (B) the share attributable to the Secretary 
                and the Federal agency sponsoring the project 
                may not exceed 95 percent of the cost of a 
                project under this section.

           *       *       *       *       *       *       *

          (4) Use of recreational trails program funds to match 
        other federal program funds.--Notwithstanding any other 
        provision of law, funds made available under this 
        section may be used toward the non-Federal matching 
        share for other Federal program funds that are--
                  (A) expended in accordance with the 
                requirements of the Federal program relating to 
                activities funded and populations served; and
                  (B) expended on a project that is eligible 
                for assistance under this section.
          [(4)] (5) Programmatic non-federal share.--A State 
        may allow adjustments to the non-Federal share of an 
        individual project for a fiscal year under this section 
        if the Federal share of the cost of all projects 
        carried out by the State under the program (excluding 
        projects funded under paragraph (2) or (3)) using funds 
        apportioned to the State for the fiscal year does not 
        exceed [80 percent] the Federal share as determined in 
        accordance with section 120(b).
          [(5) State administrative costs.--The Federal share 
        of the administrative costs of a State under this 
        subsection shall be determined in accordance with 
        section 120(b).]

           *       *       *       *       *       *       *

  (h) Project Administration.--
          (1) Credit for donations of funds, materials, 
        services, or new right-of-way.--
                  (A) * * *

           *       *       *       *       *       *       *

                  (C) Planning and environmental assessment 
                costs incurred prior to project approval.--The 
                Secretary may allow pre-approval planning and 
                environmental compliance costs to be credited 
                toward the non-Federal share of the cost of a 
                project described under subsection (d)(2) 
                (other than subparagraph (I)) in accordance 
                with subsection (f), limited to costs incurred 
                less than 18 months prior to project approval.

           *       *       *       *       *       *       *


                       Chapter 4.--HIGHWAY SAFETY

Sec.

401. Authority of the Secretary.
     * * * * * * *
412. State traffic safety information system improvements.

           *       *       *       *       *       *       *


Sec. 402. Highway safety programs

      (a) Each State shall have a highway safety program 
approved by the Secretary, designed to reduce traffic accidents 
and deaths, injuries, and property damage resulting therefrom. 
Such programs shall be in accordance with uniform guidelines 
promulgated by the Secretary. Such uniform guidelines shall be 
expressed in terms of performance criteria. In addition, such 
uniform guidelines shall include programs (1) to reduce 
injuries and deaths resulting from motor vehicles being driven 
in excess of posted speed limits, (2) to encourage the proper 
use of occupant protection devices (including the use of safety 
belts and child restraint systems) by occupants of motor 
vehicles and to increase public awareness of the benefit of 
motor vehicles equipped with airbags, (3) to reduce deaths and 
injuries resulting from persons driving motor vehicles while 
impaired by alcohol or a controlled substance, (4) to prevent 
accidents and reduce deaths and injuries resulting from 
accidents involving motor vehicles and motorcycles, (5) to 
reduce injuries and deaths resulting from accidents involving 
school buses, [and] (6) to improve law enforcement services in 
motor vehicle accident prevention, traffic supervision, and 
post-accident procedures. The Secretary shall establish a 
highway safety program for the collection and reporting of data 
on traffic-related deaths and injuries by the States. Under 
such program, the States shall collect and report such data as 
the Secretary may require. The purposes of the program are to 
ensure national uniform data on such deaths and injuries and to 
allow the Secretary to make determinations for use in 
developing programs to reduce such deaths and injuries and 
making recommendations to Congress concerning legislation 
necessary to implement such programs. The program shall provide 
for annual reports to the Secretary on the efforts being made 
by the States in reducing deaths and injuries occurring at 
highway construction sites and the effectiveness and results of 
such efforts. The Secretary shall establish minimum reporting 
criteria for the program. Such criteria shall include, but not 
be limited to, criteria on deaths and injuries resulting from 
police pursuits, school bus accidents, and speeding, on 
traffic-related deaths and injuries at highway construction 
sites and on the configuration of commercial motor vehicles 
involved in motor vehicle accidents. Such uniform guidelines 
shall be promulgated by the Secretary so as to improve driver 
performance (including, but not limited to, driver education, 
driver testing to determine proficiency to operate motor 
vehicles, driver examinations (both physical and mental) and 
driver licensing) and to improve pedestrian performance, and 
bicycle safety. In addition such uniform guidelines shall 
include, but not be limited to provisions for an effective 
record system of accidents (including injuries and deaths 
resulting therefrom), accident investigations to determine the 
probable causes of accidents, injuries, and deaths, vehicle 
registration, operation, and inspection, highway design and 
maintenance (including lighting, markings, and surface 
treatment), traffic control, vehicle codes and laws, 
surveillance of traffic for detection and correction of high or 
potentially high accident locations, enforcement of light 
transmission standards of window glazing for passenger motor 
vehicles and light trucks as necessary to improve highway 
safety, and emergency services. Such guidelines as are 
applicable to State highway safety programs shall, to the 
extent determined appropriate by the Secretary, be applicable 
to federally administered areas where a Federal department or 
agency controls the highways or supervises traffic operations; 
and (7) to reduce deaths and injuries resulting from persons 
driving motor vehicles while fatigued.

           *       *       *       *       *       *       *


Sec. 405. Occupant protection incentive grants

  (a) General Authority.--
          (1) * * *
          (2) Maintenance of effort.--No grant may be made to a 
        State under this section in any fiscal year unless the 
        State enters into such agreements with the Secretary as 
        the Secretary may require to ensure that the State will 
        maintain its aggregate expenditures from all other 
        sources for programs described in paragraph (1) at or 
        above the average level of such expenditures in its 2 
        fiscal years preceding the date of enactment of the 
        [Transportation Equity Act for the 21st Century] 
        Transportation Equity Act: A Legacy for Users.
          (3) Maximum period of eligibility.--No State may 
        receive grants under this section in more than 6 fiscal 
        years beginning after September 30, [1997] 2003.
          (4) Federal share.--The Federal share of the cost of 
        implementing and enforcing, as appropriate, in a fiscal 
        year a program adopted by a State pursuant to paragraph 
        (1) shall not exceed--
                  (A) in each of the first and second fiscal 
                years beginning after September 30, 2003, in 
                which the State receives a grant under this 
                section, 75 percent;
                  (B) in each of the third and fourth fiscal 
                years beginning after September 30, 2003, in 
                which the State receives a grant under this 
                section, 50 percent; and
                  (C) in each of the fifth and sixth fiscal 
                years beginning after September 30, 2003, in 
                which the State receives a grant under this 
                section, 25 percent.
  (b) Grant Eligibility.--[A State shall become eligible] A 
State shall be eligible for a grant under this section if the 
State has a seat belt usage rate of 85 percent or greater as of 
the date of the grant, as determined by the Secretary. A State 
shall also become eligible for a grant under this section by 
adopting or demonstrating to the satisfaction of the Secretary 
at least 4 of the following:
          (1) * * *

           *       *       *       *       *       *       *

  (c) Grant Amounts.--The amount of a grant for which a State 
qualifies under this section for a fiscal year shall equal up 
to [25 percent] 100 percent of the amount apportioned to the 
State for fiscal year [1997] 2003 under section 402.

           *       *       *       *       *       *       *

  (f) Definitions.--In this section, the following definitions 
apply:
          (1) * * *
          [(2) Motor vehicle.--The term ``motor vehicle'' means 
        a vehicle driven or drawn by mechanical power and 
        manufactured primarily for use on public streets, 
        roads, and highways, but does not include a vehicle 
        operated only on a rail line.]
          [(3)] (2) Multipurpose passenger vehicle.--The term 
        ``multipurpose passenger vehicle'' means a motor 
        vehicle with motive power (except a trailer), designed 
        to carry not more than 10 individuals, that is 
        constructed either on a truck chassis or with special 
        features for occasional off-road operation.
          [(4)] (3) Passenger car.--The term ``passenger car'' 
        means a motor vehicle with motive power (except a 
        multipurpose passenger vehicle, motorcycle, or trailer) 
        designed to carry not more than 10 individuals.
          [(5)] (4) Passenger motor vehicle.--The term 
        ``passenger motor vehicle'' means a passenger car or a 
        multipurpose passenger motor vehicle.
          [(6)] (5) Safety belt.--The term ``safety belt'' 
        means--
                  (A) * * *

           *       *       *       *       *       *       *


Sec. 410. Alcohol-impaired driving countermeasures

  (a) General Authority.--
          (1) * * *
          (2) Maintenance of effort.--No grant may be made to a 
        State under this section in any fiscal year unless the 
        State enters into such agreements with the Secretary as 
        the Secretary may require to ensure that the State will 
        maintain its aggregate expenditures from all other 
        sources for alcohol traffic safety programs at or above 
        the average level of such expenditures in its 2 fiscal 
        years preceding the date of enactment of the 
        [Transportation Equity Act for the 21st Century] 
        Transportation Equity Act: A Legacy for Users.
          (3) Maximum period of eligibility.--No State may 
        receive grants under this section in more than 7 fiscal 
        years beginning after September 30, [1997] 2003.
          (4) Federal share.--The Federal share of the cost of 
        implementing and enforcing in a fiscal year a program 
        adopted by a State pursuant to paragraph (1) shall not 
        exceed--
                  (A) in each of the first and second fiscal 
                years beginning after September 30, 2003, in 
                which the State receives a grant under this 
                section, 75 percent;
                  (B) in each of the third and fourth fiscal 
                years beginning after September 30, 2003, in 
                which the State receives a grant under this 
                section, 50 percent; and
                  (C) in each of the fifth, sixth, and seventh 
                fiscal years beginning after September 30, 
                2003, in which the State receives a grant under 
                this section, 25 percent.
  (b) Basic Grant Eligibility.--
          (1) Basic grant a.--[A State shall become eligible] A 
        State shall be eligible for a grant under this 
        paragraph if the State has an alcohol-related fatality 
        rate per 100,000,000 vehicle miles traveled of 0.5 or 
        less as of the date of the grant, as determined by the 
        Secretary using the Fatality Analysis Reporting System 
        of the National Highway Traffic Safety Administration. 
        A State shall also become eligible for a grant under 
        this paragraph by adopting or demonstrating to the 
        satisfaction of the Secretary [at least 5 of] at least 
        6 of the following:
                  (A) Administrative license revocation.--An 
                administrative driver's license suspension or 
                revocation system for individuals who operate 
                motor vehicles while under the influence of 
                alcohol that requires that--
                          (i) in the case of an individual who, 
                        in any 5-year period beginning after 
                        the date of enactment of the 
                        Transportation Equity Act for the 21st 
                        Century, is determined on the basis of 
                        a chemical test to have been operating 
                        a motor vehicle while under the 
                        influence of alcohol or is determined 
                        to have refused to submit to such a 
                        test as proposed by a law enforcement 
                        officer, the State agency responsible 
                        for administering drivers' licenses, 
                        upon receipt of the report of the law 
                        enforcement officer--
                                  (I) * * *
                                  (II) shall suspend the 
                                driver's license of such 
                                individual for a period of not 
                                less than 1 year, or revoke 
                                such license, if such 
                                individual is a repeat offender 
                                in such 5-year period; [and]
                          (ii) the suspension and revocation 
                        referred to under clause (i) shall take 
                        effect not later than 30 days after the 
                        day on which the individual refused to 
                        submit to a chemical test or received 
                        notice of having been determined to be 
                        driving under the influence of alcohol, 
                        in accordance with the procedures of 
                        the State[.]; and
                          (iii) the suspension referred to 
                        under clause (i)(I) may allow an 
                        individual to operate a motor vehicle, 
                        after the 15-day period beginning on 
                        the date of the suspension, to and from 
                        employment, school, or an alcohol 
                        treatment program if an ignition 
                        interlock device is installed on each 
                        of the motor vehicles owned or 
                        operated, or both, by the individual; 
                        and
                          (iv) the suspension and revocation 
                        referred to under clause (i)(II) may 
                        allow an individual to operate a motor 
                        vehicle, after the 45-day period 
                        beginning on the date of the suspension 
                        or revocation, to and from employment, 
                        school, or an alcohol treatment program 
                        if an ignition interlock device is 
                        installed on each of the motor vehicles 
                        owned or operated, or both, by the 
                        individual.
                  (B) Underage drinking program.--An effective 
                system, as determined by the Secretary, for 
                preventing operators of motor vehicles under 
                age 21 from obtaining alcoholic beverages and 
                for preventing persons from making alcoholic 
                beverages available to individuals under age 
                21. Such system [may include the issuance] may 
                include--
                          (i) the issuance of drivers' licenses 
                        to individuals under age 21 that are 
                        easily distinguishable in appearance 
                        from drivers' licenses issued to 
                        individuals age 21 or older and the 
                        issuance of drivers' licenses that are 
                        tamper resistant[.]; and
                          (ii) a program provided by a 
                        nonprofit organization for training 
                        point of sale personnel concerning, at 
                        a minimum, the following:
                                  (I) the clinical effects of 
                                alcohol;
                                  (II) methods of preventing 
                                second party sales of alcohol;
                                  (III) recognizing signs of 
                                intoxication;
                                  (IV) methods to prevent 
                                underage drinking;
                                  (V) Federal, State, and local 
                                laws that are relevant to such 
                                personnel.

           *       *       *       *       *       *       *

                  [(F) Young adult drinking programs.--Programs 
                to reduce driving while under the influence of 
                alcohol by individuals age 21 through 34. Such 
                programs may include awareness campaigns; 
                traffic safety partnerships with employers, 
                colleges, and the hospitality industry; 
                assessments of first-time offenders; and 
                incorporation of treatment into judicial 
                sentencing.]
                  (F) Outreach program.--A judicial and 
                prosecutorial education, training, and outreach 
                program that provides information on the 
                appropriateness and effectiveness of sentencing 
                options.

           *       *       *       *       *       *       *

                  (H) Self-sustaining drunk driving prevention 
                program.--A self-sustaining drunk driving 
                prevention program under which a significant 
                portion of the fines or surcharges collected 
                from individuals apprehended and fined for 
                operating a motor vehicle while under the 
                influence of alcohol are returned to those 
                communities that have comprehensive programs 
                for the prevention of such operations of motor 
                vehicles.
                  (I) Programs for effective alcohol 
                rehabilitation.--A program for effective 
                inpatient and outpatient alcohol rehabilitation 
                based on mandatory assessment and appropriate 
                treatment for repeat offenders described in 
                subparagraph (A)(i)(II).
          [(2) Basic grant b.--A State shall become eligible 
        for a grant under this paragraph by adopting or 
        demonstrating to the satisfaction of the Secretary each 
        of the following:
                  [(A) Fatal impaired driver percentage 
                reduction.--The percentage of fatally injured 
                drivers with 0.10 percent or greater blood 
                alcohol concentration in the State has 
                decreased in each of the 3 most recent calendar 
                years for which statistics for determining such 
                percentages are available.
                  [(B) Fatal impaired driver percentage 
                comparison.--The percentage of fatally injured 
                drivers with 0.10 percent or greater blood 
                alcohol concentration in the State has been 
                lower than the average percentage for all 
                States in each of the calendar years referred 
                to in subparagraph (A).]
          (2) Basic grant b.--A State shall become eligible for 
        a grant under this paragraph if the State--
                  (A) has an alcohol-related fatality rate per 
                100,000,000 vehicle miles traveled of 0.8 or 
                more as of the date of the grant, as determined 
                by the Secretary using the Fatality Analysis 
                Reporting System of the National Highway 
                Traffic Safety Administration; and
                  (B) establishes, subject to such requirements 
                as the Secretary may prescribe, a task force to 
                evaluate and recommend changes to the State's 
                drunk driving programs.
          (3) Basic grant amount.--The amount of a basic grant 
        made to a State for a fiscal year under this subsection 
        shall equal up to [25 percent] 100 percent of the 
        amount apportioned to the State for fiscal year [1997] 
        2003 under section 402.
  [(c) Supplemental Grants.--
          [(1) In general.--Upon receiving an application from 
        a State, the Secretary may make supplemental grants to 
        the State for meeting 1 or more of the following 
        criteria:
                  [(A) Video equipment for detection of drunk 
                drivers.--The State provides for a program to 
                acquire video equipment to be used in detecting 
                persons who operate motor vehicles while under 
                the influence of alcohol and in prosecuting 
                those persons, and to train personnel in the 
                use of that equipment.
                  [(B) Self-sustaining drunk driving prevention 
                program.--The State provides for a self-
                sustaining drunk driving prevention program 
                under which a significant portion of the fines 
                or surcharges collected from individuals 
                apprehended and fined for operating a motor 
                vehicle while under the influence of alcohol 
                are returned to those communities which have 
                comprehensive programs for the prevention of 
                such operations of motor vehicles.
                  [(C) Reducing driving with a suspended 
                license.--The State enacts and enforces a law 
                to reduce driving with a suspended license. 
                Such law, as determined by the Secretary, may 
                require a ``zebra'' stripe that is clearly 
                visible on the license plate of any motor 
                vehicle owned and operated by a driver with a 
                suspended license.
                  [(D) Use of passive alcohol sensors.--The 
                State provides for a program to acquire passive 
                alcohol sensors to be used by police officers 
                in detecting persons who operate motor vehicles 
                while under the influence of alcohol, and to 
                train police officers in the use of that 
                equipment.
                  [(E) Effective dwi tracking system.--The 
                State demonstrates an effective driving while 
                intoxicated (DWI) tracking system. Such a 
                system, as determined by the Secretary, may 
                include data covering arrests, case 
                prosecutions, court dispositions and sanctions, 
                and provide for the linkage of such data and 
                traffic records systems to appropriate 
                jurisdictions and offices within the State.
                  [(F) Other programs.--The State provides for 
                other innovative programs to reduce traffic 
                safety problems resulting from individuals 
                driving while under the influence of alcohol or 
                controlled substances, including programs that 
                seek to achieve such a reduction through legal, 
                judicial, enforcement, educational, 
                technological, or other approaches.
          [(2) Eligibility.--A State shall be eligible to 
        receive a grant under this subsection in a fiscal year 
        only if the State is eligible to receive a grant under 
        subsection (b) in such fiscal year.
          [(3) Funding.--Of the amounts made available to carry 
        out this section in a fiscal year, not to exceed 10 
        percent shall be available for making grants under this 
        subsection.]
  (c) Allocation for Basic Grants B.--Not more than $16,000,000 
per fiscal year of amounts made available to carry out this 
section shall be available for making grants under subsection 
(b)(2).

           *       *       *       *       *       *       *


Sec. 412. State traffic safety information system improvements

  (a) General Authority.--
          (1) Authority to make grants.--Subject to the 
        requirements of this section, the Secretary shall make 
        grants to States that adopt and implement effective 
        programs to--
                  (A) improve the timeliness, accuracy, 
                completeness, uniformity, integration, and 
                accessibility of the safety data of the State 
                that is needed to identify priorities for 
                national, State, and local highway and traffic 
                safety programs;
                  (B) evaluate the effectiveness of efforts to 
                make such improvements;
                  (C) link these State data systems, including 
                traffic records, with other data systems within 
                the State, such as systems that contain 
                medical, roadway, and economic data; and
                  (D) improve the compatibility and 
                interoperability of the data systems of the 
                State with national data systems and data 
                systems of other States and enhance the ability 
                of the Secretary to observe and analyze 
                national trends in crash occurrences, rates, 
                outcomes, and circumstances.
          (2) Use of grants.--A State may use a grant received 
        under this section only to implement such programs.
          (3) Model data elements.--The Secretary, in 
        consultation with States and other appropriate parties, 
        shall determine the model data elements necessary to 
        observe and analyze State and national trends in crash 
        occurrences, rates, outcomes, and circumstances. In 
        order to become eligible for a grant under this 
        section, a State shall certify to the Secretary the 
        State's adoption and use of such model data elements.
          (4) Maintenance of effort.--No grant may be made to a 
        State under this section in any fiscal year unless the 
        State enters into such agreements with the Secretary as 
        the Secretary may require ensuring that the State will 
        maintain its aggregate expenditures from all other 
        sources for highway safety data programs at or above 
        the average level of such expenditures in the 2 fiscal 
        years preceding the date of enactment of this section.
          (5) Federal share.--The Federal share of the cost of 
        implementing in a fiscal year a program of a State 
        pursuant to paragraph (1) shall not exceed 80 percent.
  (b) First-Year Grants.--To be eligible for a first-year grant 
under this section, a State shall demonstrate to the 
satisfaction of the Secretary that the State has--
          (1) established a highway safety data and traffic 
        records coordinating committee with a multidisciplinary 
        membership that includes, among others, managers, 
        collectors, and users of traffic records and public 
        health and injury control data systems; and
          (2) developed a multiyear highway safety data and 
        traffic records system strategic plan that addresses 
        existing deficiencies in the State's highway safety 
        data and traffic records system and is approved by the 
        highway safety data and traffic records coordinating 
        committee and--
                  (A) specifies how existing deficiencies in 
                the State's highway safety data and traffic 
                records system were identified;
                  (B) prioritizes, based on the identified 
                highway safety data and traffic records system 
                deficiencies, the highway safety data and 
                traffic records system needs and goals of the 
                State, including the activities described in 
                subsection (a)(1);
                  (C) identifies performance-based measures by 
                which progress toward those goals will be 
                determined;
                  (D) specifies how the grant funds and any 
                other funds of the State will be used to 
                address needs and goals identified in the 
                multiyear plan; and
                  (E) includes a current report on the progress 
                in implementing the multiyear plan that 
                documents progress toward the specified goals.
  (c) Succeeding-Year Grants.--
          (1) Eligibility.--A State shall be eligible for a 
        grant under this section in a fiscal year succeeding 
        the first fiscal year in which the State receives a 
        grant under subsection (b) if the State, to the 
        satisfaction of the Secretary--
                  (A) submits an updated multiyear plan that 
                meets the requirements of subsection (b)(2);
                  (B) certifies that its highway safety data 
                and traffic records coordinating committee 
                continues to operate and supports the multiyear 
                plan;
                  (C) specifies how the grant funds and any 
                other funds of the State will be used to 
                address needs and goals identified in the 
                multiyear plan;
                  (D) demonstrates measurable progress toward 
                achieving the goals and objectives identified 
                in the multiyear plan; and
                  (E) includes a current report on the progress 
                in implementing the multiyear plan.
  (d) Grant Amounts.--
          (1) In general.--The amount of a grant made to a 
        State for a fiscal year under this section shall equal 
        an amount determined by multiplying--
                  (A) the amount appropriated to carry out this 
                section for such fiscal year; by
                  (B) the ratio that the funds apportioned to 
                the State under section 402 for fiscal year 
                2003 bears to the funds apportioned to all 
                States under section 402 for fiscal year 2003.
          (2) Minimum amount.--Notwithstanding subparagraph 
        (A)--
                  (A) a State eligible for a first-year grant 
                under this section shall not receive less than 
                $300,000; and
                  (B) a State eligible for a succeeding-year 
                grant under this section shall not receive less 
                than $500,000.
  (e) Administrative Expenses.--Funds authorized to be 
appropriated to carry out this section in a fiscal year shall 
be subject to a deduction not to exceed 5 percent for the 
necessary costs of administering the provisions of this 
section.
  (f) Applicability of Chapter 1.--The provisions contained in 
section 402(d) shall apply to this section.

                  [CHAPTER 5--RESEARCH AND TECHNOLOGY]

             CHAPTER 5--RESEARCH, TECHNOLOGY, AND EDUCATION

Sec.
501. Definitions.
     * * * * * * *
[507. Surface transportation-environment cooperative research program.]
507. Surface transportation environment and planning cooperative 
          research program.
     * * * * * * *
509. National cooperative freight transportation research program.
510. Future strategic highway research program.

           *       *       *       *       *       *       *


Sec. 502. Surface transportation research

  (a) Basic Principles Governing Research and Technology 
Investments.--
          (1) Coverage.--Surface transportation research and 
        technology development shall include all activities 
        leading to technology development and transfer, as well 
        as the introduction of new and innovative ideas, 
        practices, and approaches, through such mechanisms as 
        field applications, education and training, and 
        technical support.
          (2) Federal responsibility.--Funding and conducting 
        surface transportation research and technology transfer 
        activities shall be considered a basic responsibility 
        of the Federal Government when the work--
                  (A) is of national significance;
                  (B) supports research in which there is a 
                clear public benefit and private sector 
                investment is less than optimal;
                  (C) supports a Federal stewardship role in 
                assuring that State and local governments use 
                national resources efficiently; or
                  (D) presents the best means to support 
                Federal policy goals compared to other policy 
                alternatives.
          (3) Role.--Consistent with these Federal 
        responsibilities, the Secretary shall--
                  (A) conduct research;
                  (B) support and facilitate research and 
                technology transfer activities by State highway 
                agencies;
                  (C) share results of completed research; and
                  (D) support and facilitate technology and 
                innovation deployment.
          (4) Program content.--A surface transportation 
        research program shall include--
                  (A) fundamental, long-term highway research;
                  (B) research aimed at significant highway 
                research gaps and emerging issues with national 
                implications; and
                  (C) research related to policy and planning.
          (5) Stakeholder input.--Federally sponsored surface 
        transportation research and technology development 
        activities shall address the needs of partners and 
        stakeholders, and provide for stakeholder input in 
        preparation of a strategic plan for surface 
        transportation research and technology development.
          (6) Competition.--To the greatest extent possible, 
        investment decisions for surface transportation 
        research and technology development activities shall be 
        based on the well established principles of competition 
        and merit review.
          (7) Performance review.--Surface transportation 
        research and technology development activities shall 
        include a component of performance measurement.
  [(a)] (b) General Authority.--
          (1) Research, development, and technology transfer 
        activities.--The Secretary may carry out research, 
        development, and technology transfer activities with 
        respect to--
                  (A) * * *
                  (B) all phases of transportation planning and 
                development (including construction, operation, 
                transportation system management and 
                operations, modernization, development, design, 
                maintenance, safety, financing, and traffic 
                conditions); and

           *       *       *       *       *       *       *

          [(3) Cooperation, grants, and contracts.--The 
        Secretary may carry out this section--
                  [(A) independently;
                  [(B) in cooperation with other Federal 
                departments, agencies,
                  [(C) by making grants to, or entering into 
                contracts, cooperative agreements, and other 
                transactions with, the National Academy of 
                Sciences, the American Association of State 
                Highway and Transportation Officials, or any 
                Federal laboratory, State agency, authority, 
                association, institution, for-profit or 
                nonprofit corporation, organization, foreign 
                country, or person.]
          (3) Cooperation, grants, and contracts.--The 
        Secretary may carry out research, development, and 
        technology transfer activities related to 
        transportation--
                  (A) independently;
                  (B) in cooperation with other Federal 
                departments, agencies, and instrumentalities 
                and Federal laboratories; or
                  (C) by making grants to, or entering into 
                contracts, cooperative agreements, and other 
                transactions with one or more of the following: 
                the National Academy of Sciences, the American 
                Association of State Highway and Transportation 
                Officials, any Federal laboratory, Federal 
                agency, State agency, authority, association, 
                institution, for-profit or nonprofit 
                corporation, organization, foreign country, any 
                other person.

           *       *       *       *       *       *       *

          (6) Pooled funding.--
                  (A) Cooperation.--To promote effective 
                utilization of available resources, the 
                Secretary may cooperate with a State and an 
                appropriate agency in funding research, 
                development, and technology transfer activities 
                of mutual interest on a pooled funds basis.
                  (B) Secretary as agent.--The Secretary may 
                enter into contracts, cooperative agreements, 
                grants, and other transactions as agent for all 
                participating parties in carrying out such 
                research, development, or technology transfer.
  [(b)] (c) Collaborative Research and Development.--
          (1) * * *
          [(2) Agreements.--In carrying out this subsection, 
        the Secretary may enter into cooperative research and 
        development agreements (as defined in section 12 of the 
        Stevenson-Wydler Technology Innovation Act of 1980 (15 
        U.S.C. 3710a)).]
          (2) Cooperation, grants, contracts, and agreements.--
        Notwithstanding any other provision of law, the 
        Secretary may directly initiate contracts, cooperative 
        research and development agreements (as defined in 
        section 12 of the Stevenson-Wydler Technology 
        Innovation Act of 1980 (15 U.S.C. 3710a)), and other 
        transactions to fund, and accept funds from, the 
        Transportation Research Board of the National Research 
        Council of the National Academy of Sciences, State 
        departments of transportation, cities, counties, and 
        their agents to conduct joint transportation research 
        and technology efforts.

           *       *       *       *       *       *       *

  [(c)] (d) Contents of Research Program.--The Secretary shall 
include in surface transportation research, technology 
development, and technology transfer programs carried out under 
this title coordinated activities in the following areas:
          (1) * * *

           *       *       *       *       *       *       *

          (5) Dynamic simulation models of surface 
        transportation systems for--
                  (A) * * *

           *       *       *       *       *       *       *

                  (C) testing the strengths and weaknesses of 
                proposed revisions to surface transportation 
                system management and operations programs.

           *       *       *       *       *       *       *

          (12) Investigation and development of various 
        operational methodologies to reduce the occurrence and 
        impact of recurrent congestion and nonrecurrent 
        congestion and increase transportation system 
        reliability.
          (13) Investigation of processes, procedures, and 
        technologies to secure container and hazardous material 
        transport, including the evaluation of regulations and 
        the impact of good security practices on commerce and 
        productivity.
          (14) Research, development, and technology transfer 
        related to asset management.
  [(d) Advanced Research.--
          [(1) In general.--The Secretary shall establish an 
        advanced research program, consistent with the surface 
        transportation research and technology development 
        strategic plan developed under section 508, that 
        addresses longer-term, higher-risk research that shows 
        potential benefits for improving the durability, 
        efficiency, environmental impact, productivity, and 
        safety (including bicycle and pedestrian safety) of 
        highway and intermodal transportation systems. In 
        carrying out the program, the Secretary shall strive to 
        develop partnerships with the public and private 
        sectors.
          [(2) Research areas.--In carrying out the program, 
        the Secretary may make grants and enter into 
        cooperative agreements and contracts in such areas as 
        the Secretary determines appropriate, including the 
        following:
                  [(A) Characterization of materials used in 
                highway infrastructure, including analytical 
                techniques, microstructure modeling, and the 
                deterioration processes.
                  [(B) Diagnostics for evaluation of the 
                condition of bridge and pavement structures to 
                enable the assessment of risks of failure, 
                including from seismic activity, vibration, and 
                weather.
                  [(C) Design and construction details for 
                composite structures.
                  [(D) Safety technology-based problems in the 
                areas of pedestrian and bicycle safety, 
                roadside hazards, and composite materials for 
                roadside safety hardware.
                  [(E) Environmental research, including 
                particulate matter source apportionment and 
                model development.
                  [(F) Data acquisition techniques for system 
                condition and performance monitoring.
                  [(G) Human factors, including prediction of 
                the response of travelers to new technologies.
  [(e) Long-Term Pavement Performance Program.--
          [(1) Authority.--The Secretary shall complete the 
        long-term pavement performance program tests initiated 
        under the strategic highway research program 
        established under section 307(d) (as in effect on the 
        day before the date of enactment of this section) and 
        continued by the Intermodal Surface Transportation 
        Efficiency Act of 1991 (105 Stat. 1914 et seq.) through 
        the midpoint of a planned 20-year life of the long-term 
        pavement performance program.
          [(2) Grants, cooperative agreements, and contracts.--
        Under the program, the Secretary shall make grants and 
        enter into cooperative agreements and contracts to--
                  [(A) monitor, material-test, and evaluate 
                highway test sections in existence as of the 
                date of the grant, agreement, or contract;
                  [(B) analyze the data obtained in carrying 
                out subparagraph (A); and
                  [(C) prepare products to fulfill program 
                objectives and meet future pavement technology 
                needs.]
  (e) Exploratory Advanced Research.--
          (1) In general.--The Secretary shall establish an 
        exploratory advanced research program, consistent with 
        the surface transportation research and technology 
        development strategic plan developed under section 508 
        that involves and draws upon basic research results to 
        provide a better understanding of problems and develop 
        innovative solutions. In carrying out the program, the 
        Secretary shall strive to develop partnerships with 
        public and private sector entities.
          (2) Research areas.--In carrying out the program, the 
        Secretary may make grants and enter into cooperative 
        agreements and contracts in such areas of surface 
        transportation research and technology as the Secretary 
        determines appropriate, including the following:
                  (A) Characterization of materials used in 
                highway infrastructure, including analytical 
                techniques, microstructure modeling, and the 
                deterioration processes.
                  (B) Assessment of the effects of 
                transportation decisions on human health.
                  (C) Development of surrogate measures of 
                safety.
                  (D) Environmental research.
                  (E) Data acquisition techniques for system 
                condition and performance monitoring.
                  (F) System performance data and information 
                processing needed to assess the day-to-day 
                operational performance of the system in 
                support of hour-to-hour operational 
                decisionmaking.
  (f) Long-Term Pavement Performance Program.--
          (1) Authority.--The Secretary shall complete the 20-
        year long-term pavement performance program tests 
        initiated under the strategic highway research program 
        established under section 307(d) (as in effect on June 
        8, 1998).
          (2) Grants, cooperative agreements, and contracts.--
        Under the program, the Secretary shall make grants and 
        enter into cooperative agreements and contracts to--
                  (A) monitor, material-test, and evaluate 
                highway test sections in existence as of the 
                date of the grant, agreement, or contract;
                  (B) analyze the data obtained under 
                subparagraph (A); and
                  (C) prepare products to fulfill program 
                objectives and meet future pavement technology 
                needs.
  [(f)] (g) Seismic Research Program.--
          (1) * * *

           *       *       *       *       *       *       *

  [(g)] (h) Infrastructure Investment Needs Report.--
          (1) * * *

           *       *       *       *       *       *       *

  (i) Turner-Fairbank Highway Research Center.--
          (1) In general.--The Secretary shall operate in the 
        Federal Highway Administration a Turner-Fairbank 
        Highway Research Center.
          (2) Uses of the center.--The Turner-Fairbank Highway 
        Research Center shall support--
                  (A) the conduct of highway research and 
                development related to new highway technology;
                  (B) the development of understandings, tools, 
                and techniques that provide solutions to 
                complex technical problems through the 
                development of economical and environmentally 
                sensitive designs, efficient and quality-
                controlled construction practices, and durable 
                materials; and
                  (C) the development of innovative highway 
                products and practices.
  (j) Long-Term Bridge Performance Program.--
          (1) Authority.--The Secretary shall establish a 20-
        year long-term bridge performance program.
          (2) Grants, cooperative agreements, and contracts.--
        Under the program, the Secretary shall make grants and 
        enter into cooperative agreements and contracts to--
                  (A) monitor, material-test, and evaluate test 
                bridges;
                  (B) analyze the data obtained under 
                subparagraph (A); and
                  (C) prepare products to fulfill program 
                objectives and meet future bridge technology 
                needs.

Sec. 503. Technology deployment

  (a) Technology Deployment [Initiatives and Partnerships] 
Program.--
          [(1) Establishment.--The Secretary shall develop and 
        administer a national technology deployment initiatives 
        and partnerships program.]
          (1) Establishment.--The Secretary shall develop and 
        administer a national technology deployment program.

           *       *       *       *       *       *       *

          [(7) Grants, cooperative agreements, and contracts.--
        Under the program, the Secretary may make grants and 
        enter into cooperative agreements and contracts to 
        foster alliances and support efforts to stimulate 
        advances in transportation technology, including--
                  [(A) the testing and evaluation of products 
                of the strategic highway research program;
                  [(B) the further development and 
                implementation of technology in areas such as 
                the Superpave system and the use of lithium 
                salts and other alternatives to prevent and 
                mitigate alkali silica reactivity;
                  [(C) the provision of support for long-term 
                pavement performance product implementation and 
                technology access; and
                  [(D) other activities to achieve the goals 
                established under paragraph (3).
          [(8) Reports.--Not later than 18 months after the 
        date of enactment of this section, and biennially 
        thereafter, the Secretary shall submit to the Committee 
        on Environment and Public Works of the Senate and the 
        Committee on Transportation and Infrastructure of the 
        House of Representatives a report on the progress and 
        results of activities carried out under this section.]
          (7) Grants, cooperative agreements, and contracts.--
                  (A) In general.--Under the program, the 
                Secretary shall make grants to, and enter into 
                cooperative agreements and contracts with, 
                States, other Federal agencies, universities 
                and colleges, private sector entities, and 
                nonprofit organizations to pay the Federal 
                share of the cost of research, development, and 
                technology transfer activities concerning 
                innovative materials.
                  (B) Applications.--To receive a grant under 
                this subsection, an entity described in 
                subparagraph (A) shall submit an application to 
                the Secretary. The application shall be in such 
                form and contain such information as the 
                Secretary may require. The Secretary shall 
                select and approve an application based on 
                whether the project that is the subject of the 
                grant meets the purpose of the program 
                described in paragraph (2).
          (8) Technology and information transfer.--The 
        Secretary shall ensure that the information and 
        technology resulting from research conducted under 
        paragraph (7) is made available to State and local 
        transportation departments and other interested parties 
        as specified by the Secretary.

           *       *       *       *       *       *       *

  (b) Innovative Bridge Research and Construction 
Program.--
          [(1) In general.--The Secretary shall establish and 
        carry out a program to demonstrate the application of 
        innovative material technology in the construction of 
        bridges and other structures.
          [(2) Goals.--The goals of the program shall include--
                  [(A) the development of new, cost-effective 
                innovative material highway bridge 
                applications;
                  [(B) the reduction of maintenance costs and 
                life-cycle costs of bridges, including the 
                costs of new construction, replacement, or 
                rehabilitation of deficient bridges;
                  [(C) the development of construction 
                techniques to increase safety and reduce 
                construction time and traffic congestion;
                  [(D) the development of engineering design 
                criteria for innovative products and materials 
                for use in highway bridges and structures;
                  [(E) the development of cost-effective and 
                innovative techniques to separate vehicle and 
                pedestrian traffic from railroad traffic;
                  [(F) the development of highway bridges and 
                structures that will withstand natural 
                disasters, including alternative processes for 
                the seismic retrofit of bridges; and
                  [(G) the development of new nondestructive 
                bridge evaluation technologies and techniques.]
          (1) In general.--The Secretary shall establish and 
        carry out a program to promote, demonstrate, evaluate, 
        and document the application of innovative designs, 
        materials, and construction methods in the 
        construction, repair, and rehabilitation of bridges and 
        other highway structures.
          (2) Goals.--The goals of the program shall include--
                  (A) the development of new, cost-effective, 
                innovative highway bridge applications;
                  (B) the development of construction 
                techniques to increase safety and reduce 
                construction time and traffic congestion;
                  (C) the development of engineering design 
                criteria for innovative products, materials, 
                and structural systems for use in highway 
                bridges and structures;
                  (D) the reduction of maintenance costs and 
                life-cycle costs of bridges, including the 
                costs of new construction, replacement, or 
                rehabilitation of deficient bridges;
                  (E) the development of highway bridges and 
                structures that will withstand natural 
                disasters;
                  (F) the documentation and wide dissemination 
                of objective evaluations of the performance and 
                benefits of these innovative designs, 
                materials, and construction methods;
                  (G) the effective transfer of resulting 
                information and technology; and
                  (H) the development of improved methods to 
                detect bridge scour and economical bridge 
                foundation designs that will withstand bridge 
                scour.

           *       *       *       *       *       *       *

  (c) Innovative Pavement Research and Deployment Program.--
          (1) In general.--The Secretary shall establish and 
        implement a program to promote, demonstrate, support, 
        and document the application of innovative pavement 
        technologies, practices, performance, and benefits.
          (2) Goals.--The goals of the innovative pavement 
        research and deployment program shall include--
                  (A) the deployment of new, cost-effective, 
                innovative designs, materials, and practices to 
                extend pavement life and performance and to 
                improve customer satisfaction;
                  (B) the reduction of initial costs and life-
                cycle costs of pavements, including the costs 
                of new construction, replacement, maintenance, 
                and rehabilitation;
                  (C) the deployment of accelerated 
                construction techniques to increase safety and 
                reduce construction time and traffic disruption 
                and congestion;
                  (D) the deployment of engineering design 
                criteria and specifications for innovative 
                practices, products, and materials for use in 
                highway pavements;
                  (E) the deployment of new nondestructive and 
                real-time pavement evaluation technologies and 
                techniques;
                  (F) the evaluation, refinement, and 
                documentation of the performance and benefits 
                of innovative technologies deployed to improve 
                life, performance, cost effectiveness, safety, 
                and customer satisfaction;
                  (G) effective technology transfer and 
                information dissemination to accelerate 
                implementation of innovative technologies and 
                to improve life, performance, cost 
                effectiveness, safety, and customer 
                satisfaction; and
                  (H) the development of designs and materials 
                to reduce storm water runoff.
          (3) Research to improve nhs pavement.--The Secretary 
        shall obligate not less than $2,000,000 for fiscal year 
        2004 and $6,000,000 for each of fiscal years 2005 
        through 2009 from funds made available to carry out 
        this subsection to conduct research to improve asphalt 
        pavement, concrete pavement, and aggregates used in 
        highways on the National Highway System.
  (d) Safety Innovation Deployment Program.--
          (1) In general.--The Secretary shall establish and 
        implement a program to demonstrate the application of 
        innovative technologies in highway safety.
          (2) Goals.--The goals of the program shall include--
                  (A) the deployment and evaluation of safety 
                technologies and innovations at State and local 
                levels; and
                  (B) the deployment of best practices in 
                training, management, design, and planning.
          (3) Grants, cooperative agreements, and contracts.--
                  (A) In general.--Under the program, the 
                Secretary shall make grants to, and enter into 
                cooperative agreements and contracts with, 
                States, other Federal agencies, universities 
                and colleges, private sector entities, and 
                nonprofit organizations for research, 
                development, and technology transfer for 
                innovative safety technologies.
                  (B) Applications.--To receive a grant under 
                this subsection, an entity described in 
                subparagraph (A) shall submit an application to 
                the Secretary. The application shall be in such 
                form and contain such information as the 
                Secretary may require. The Secretary shall 
                select and approve the applications based on 
                whether the project that is the subject of the 
                application meets the goals of the program 
                described in paragraph (2).
          (4) Technology and information transfer.--The 
        Secretary shall take such action as is necessary to 
        ensure that the information and technology resulting 
        from research conducted under paragraph (3) is made 
        available to State and local transportation departments 
        and other interested parties as specified by the 
        Secretary.
  (e) Promotional Authority.--Funds authorized to be 
appropriated for necessary expenses for administration and 
operation of the Federal Highway Administration shall be 
available to purchase promotional items of nominal value for 
use in the recruitment of individuals and to promote the 
programs of the Federal Highway Administration.

Sec. 504. Training and education

  (a) National Highway Institute.--
          (1) * * *

           *       *       *       *       *       *       *

          [(3) Courses.--The Institute may develop and 
        administer courses in modern developments, techniques, 
        methods, regulations, management, and procedures 
        relating to surface transportation, environmental 
        mitigation and compliance, acquisition of rights-of-
        way, relocation assistance, engineering, safety, 
        construction, maintenance and operations, contract 
        administration, motor carrier safety activities, 
        inspection, and highway finance.]
          (3) Courses.--The Institute may develop and 
        administer courses in modern developments, techniques, 
        methods, regulations, management, and procedures in 
        areas, including surface transportation, environmental 
        mitigation, compliance, stewardship, and streamlining, 
        acquisition of rights-of-way, relocation assistance, 
        engineering, safety, transportation system management 
        and operations, construction, maintenance, contract 
        administration, inspection, and highway finance.

           *       *       *       *       *       *       *

  (b) Local Technical Assistance Program.--
          (1) * * *

           *       *       *       *       *       *       *

          (3) Federal share.--
                  (A) Grants.--A grant under this subsection 
                may be used to pay up to 50 percent of local 
                technical assistance program costs. Funds 
                available for technology transfer and training 
                purposes under this title and title 49 may be 
                used to cover the remaining 50 percent of the 
                program costs.
                  (B) Tribal technical assistance centers.--The 
                Federal share of the cost of activities carried 
                out by the tribal technical assistance centers 
                under paragraph (2)(D)(ii) shall be 100 
                percent.

           *       *       *       *       *       *       *

  (d) Garrett A. Morgan Technology and Transportation Futures 
Program.--The Secretary shall carry out a program, to be known 
as the ``Garrett A. Morgan Technology and Transportation 
Futures Program'', for the following purposes:
          (1) To attract young people in all levels of 
        education, from elementary school through college, to 
        careers in transportation, with a special emphasis on 
        attracting minorities, women, and other 
        underrepresented groups.
          (2) To enhance the math, science, and technology 
        skills of young people to prepare them for careers in 
        transportation.
  (e) Surface Transportation Workforce Development, Training, 
and Education.--
          (1) Funding.--Subject to project approval by the 
        Secretary, a State may obligate funds apportioned to 
        the State under sections 104(b)(1), 104(b)(2), 
        104(b)(3), 104(b)(4), and 144(e) for surface 
        transportation workforce development, training and 
        education, including--
                  (A) tuition and direct educational expenses, 
                excluding salaries, in connection with the 
                education and training of employees of State 
                and local transportation agencies;
                  (B) employee professional development;
                  (C) student internships;
                  (D) university or community college support; 
                and
                  (E) education activities, including outreach, 
                to develop interest and promote participation 
                in surface transportation careers.
          (2) Federal share.--The Federal share of the cost of 
        activities carried out in accordance with this 
        subsection shall be 100 percent.
          (3) Surface transportation workforce development, 
        training, and education defined.--In this subsection, 
        the term ``surface transportation workforce 
        development, training, and education'' means activities 
        associated with surface transportation career 
        awareness, student transportation career preparation, 
        and training and professional development for surface 
        transportation workers, including activities for women 
        and minorities.
  (f) Freight Capacity Building Program.--
          (1) Establishment.--The Secretary shall establish a 
        freight planning capacity building initiative to 
        support enhancements in freight transportation planning 
        in order to--
                  (A) better target investments in freight 
                transportation systems to maintain efficiency 
                and productivity; and
                  (B) strengthen the decisionmaking capacity of 
                State transportation departments and local 
                transportation agencies with respect to freight 
                transportation planning and systems.
          (2) Agreements.--The Secretary shall enter into 
        agreements to support and carry out administrative and 
        management activities relating to the governance of the 
        freight planning capacity initiative.
          (3) Stakeholder involvement.--In carrying out this 
        section, the Secretary shall consult with the 
        Association of Metropolitan Planning Organizations, the 
        American Association of State Highway and 
        Transportation Officials, and other freight planning 
        stakeholders, including the other Federal agencies, 
        State transportation departments, local governments, 
        nonprofit entities, academia, and the private sector.
          (4) Eligible activities.--The freight planning 
        capacity building initiative shall include research, 
        training, and education in the following areas:
                  (A) The identification and dissemination of 
                best practices in freight transportation.
                  (B) Providing opportunities for freight 
                transportation staff to engage in peer 
                exchange.
                  (C) Refinement of data and analysis tools 
                used in conjunction with assessing freight 
                transportation needs.
                  (D) Technical assistance to State 
                transportation departments and local 
                transportation agencies reorganizing to address 
                freight transportation issues.
                  (E) Facilitating relationship building 
                between governmental and private entities 
                involved in freight transportation.
                  (F) Identifying ways to target the capacity 
                of State transportation departments and local 
                transportation agencies to address freight 
                considerations in operations, security, asset 
                management, and environmental excellence in 
                connection with long-range multimodal 
                transportation planning and project 
                implementation.
          (5) Funding.--
                  (A) Federal share.--The Federal share of the 
                cost of an activity carried out under this 
                section shall be up to 100 percent, and such 
                funds shall remain available until expended.
                  (B) Use of non-federal funds.--Funds made 
                available for the program established under 
                this subsection may be used for research, 
                program development, information collection and 
                dissemination, and technical assistance. The 
                Secretary may use such funds independently or 
                make grants to, or enter into contracts, 
                cooperative agreements, and other transactions 
                with, a Federal agency, State agency, local 
                agency, Federally recognized Indian tribal 
                government or tribal consortium, authority, 
                association, nonprofit or for-profit 
                corporation, or institution of higher 
                education, to carry out the purposes of this 
                subsection.

           *       *       *       *       *       *       *


[Sec. 507. Surface transportation-environment cooperative research 
                    program

  [(a) In General.--The Secretary shall establish and carry out 
a surface transportation-environment cooperative research 
program.
  [(b) Contents.--The program to be carried out under this 
section shall include research designed--
          [(1) to develop more accurate models for evaluating 
        transportation control measures and transportation 
        system designs that are appropriate for use by State 
        and local governments, including metropolitan planning 
        organizations, in designing implementation plans to 
        meet Federal, State, and local environmental 
        requirements;
          [(2) to improve understanding of the factors that 
        contribute to the demand for transportation, including 
        transportation system design, demographic change, land 
        use planning, and communications and other information 
        technologies;
          [(3) to develop indicators of economic, social, and 
        environmental performance of transportation systems to 
        facilitate analysis of potential alternatives;
          [(4) to study the relationship between highway 
        density and ecosystem integrity, including the impacts 
        of highway density on habitat integrity and overall 
        ecosystem health, and develop a rapid assessment 
        methodology for use by transportation and regulatory 
        agencies in determining the relationship between 
        highway density and ecosystem integrity; and
          [(5) to meet additional priorities as determined by 
        the advisory board established under subsection (c), 
        including recommendations of the National Research 
        Council in the report entitled ``Environmental Research 
        Needs in Transportation''.
  [(c) Advisory Board.--
          [(1) Establishment.--In consultation with the 
        Secretary of Energy, the Administrator of the 
        Environmental Protection Agency, and the heads of other 
        appropriate Federal departments and agencies, the 
        Secretary shall establish an advisory board to 
        recommend environmental and energy conservation 
        research, technology, and technology transfer 
        activities related to surface transportation.
          [(2) Membership.--The advisory board shall include--
                  [(A) representatives of State transportation 
                and environmental agencies;
                  [(B) transportation and environmental 
                scientists and engineers; and
                  [(C) representatives of metropolitan planning 
                organizations, transit operating agencies, and 
                environmental organizations.
  [(d) National Academy of Sciences.--The Secretary may make 
grants to, and enter into cooperative agreements with, the 
National Academy of Sciences to carry out such activities 
relating to the research, technology, and technology transfer 
activities described in subsection (b) as the Secretary 
determines appropriate.]

Sec. 507. Surface transportation environment and planning cooperative 
                    research program

  (a) Establishment.--The Secretary shall establish and carry 
out a collaborative, public-private surface transportation 
environment and planning cooperative research program.
  (b) Agreement.--The Secretary shall enter into an agreement 
with the National Academy of Sciences to carry out 
administrative and management activities relating to the 
governance of the surface transportation environment and 
planning cooperative research program.
  (c) Advisory Committee.--
          (1) Establishment.--The Secretary shall establish a 
        committee that will be responsible for program 
        oversight and project selection.
          (2) Membership.--The members of the committee shall 
        be appointed by the Secretary and shall be composed 
        of--
                  (A) representatives of State, regional, and 
                local transportation agencies, including 
                transit agencies;
                  (B) representatives of State environmental 
                agencies and other environmental organizations;
                  (C) representatives of the transportation 
                private sector;
                  (D) transportation and environmental 
                scientists and engineers; and
                  (E) representatives of the Federal Highway 
                Administration, Federal Transit Administration, 
                Environmental Protection Agency, United States 
                Fish and Wildlife Service, Corps of Engineers, 
                American Association of State Highway and 
                Transportation Officials, and American Public 
                Transportation Association, who shall serve in 
                an ex officio capacity.
          (3) Balance.--The majority of the committee's voting 
        members shall be representatives of government 
        transportation agencies.
          (4) Meetings.--The National Academy of Sciences shall 
        convene meetings of the committee.
  (d) Governance.--The program established under this section 
shall include the following administrative and management 
elements:
          (1) National research agenda.--The advisory 
        committee, in consultation with interested parties, 
        shall develop, recommend, and periodically update a 
        national research agenda for the program. The national 
        research agenda shall include a multiyear strategic 
        plan.
          (2) Involvement.--Interested parties may--
                  (A) submit research proposals;
                  (B) participate in merit reviews of research 
                proposals and peer reviews of research 
                products; and
                  (C) receive research results.
          (3) Open competition and peer review of research 
        proposals.--The National Academy of Sciences may award 
        under the program research contracts and grants through 
        open competition and merit review conducted on a 
        regular basis.
          (4) Evaluation of research.--
                  (A) Peer review.--Research contracts and 
                grants may allow peer review of the research 
                results.
                  (B) Programmatic evaluations.--The National 
                Academy of Sciences may conduct periodic 
                programmatic evaluations on a regular basis.
          (5) Dissemination of research findings.--The National 
        Academy of Sciences shall disseminate research findings 
        to researchers, practitioners, and decisionmakers, 
        through conferences and seminars, field demonstrations, 
        workshops, training programs, presentations, testimony 
        to government officials, World Wide Web, and 
        publications for the general public.
  (e) Contents.--The national research agenda for the program 
required under subsection (d)(1) shall include research in the 
following areas for the purposes described:
          (1) Human health.--Human health to establish the 
        links between transportation activities and human 
        health; substantiate the linkages between exposure to 
        concentration levels, emissions, and health impacts; 
        examine the potential health impacts from the 
        implementation and operation of transportation 
        infrastructure and services; develop strategies for 
        avoidance and reduction of these impacts; and develop 
        strategies to understand the economic value of health 
        improvements and for incorporating health 
        considerations into valuation methods.
          (2) Ecology and natural systems.--Ecology and natural 
        systems to measure transportation's short- and long-
        term impact on natural systems; develop ecologically 
        based performance measures; develop insight into both 
        the spatial and temporal issues associated with 
        transportation and natural systems; study the 
        relationship between highway density and ecosystem 
        integrity, including the impacts of highway density on 
        habitat integrity and overall ecosystem health; develop 
        a rapid assessment methodology for use by 
        transportation and regulatory agencies in determining 
        the relationship between highway density and ecosystem 
        integrity; and develop ecologically based performance 
        techniques to evaluate the success of highway project 
        mitigation and enhancement measures.
          (3) Environmental and socioeconomic relationships.--
        Environmental and socioeconomic relationships to 
        understand differences in mobility, access, travel 
        behavior, and travel preferences across socioeconomic 
        groups; develop improved planning approaches that 
        better reflect and respond to community needs; improve 
        evaluation methods for examining the incidence of 
        benefits and costs; examine the differential impacts of 
        current methods of finance and explore alternatives; 
        understand the socioeconomic implications of emerging 
        land development patterns and new transportation 
        technologies; develop cost-effective applications of 
        technology that improve the equity of the transport 
        system; and develop improved methods for community 
        involvement, collaborative planning, and conflict 
        resolution.
          (4) Emerging technologies.--Emerging technologies to 
        assist in the transition to environmentally benign 
        fuels and vehicles for passengers and freight; develop 
        responses to and demand for new technologies that could 
        offer improved environmental performance; identify 
        possible applications of intelligent transportation 
        systems technologies for environmental benefit; develop 
        policy instruments that would encourage the development 
        of beneficial new technologies in a cost-effective 
        manner; and respond to the impact of new technologies.
          (5) Land use.--Land use to assess land consumption 
        trends and contributing factors of transportation 
        investment, housing policies, school quality, and 
        consumer preferences; incorporate impacts of 
        transportation investments on location decision and 
        land use; identify the costs and benefits of current 
        development patterns and their transportation 
        implications; determine the effect of the built 
        environment on people's willingness to walk, drive, or 
        take public transportation; determine the roles of 
        public policy and institutional arrangements in current 
        and prospective land use and transportation choices; 
        and develop improved data, methods, and processes for 
        considering land use, transportation, and the 
        environment in an integrated, systematic fashion.
          (6) Planning and performance measures.--Planning and 
        performance measures to improve understanding of travel 
        needs and preferences; improve planning methods for 
        system analysis, forecasting, and decisionmaking; 
        expand information on consumer choice processes and 
        travel and activity patterns for both local and long-
        distance trips and both passenger and freight 
        transportation analysis of social, environmental, and 
        economic benefits and cost of various transport 
        options; develop tools for measuring and forecasting 
        complex transportation decisions for all modes and 
        users; and develop performance measures and policy 
        analysis approaches that can be used to determine 
        effectiveness.
          (7) Other research areas.--Other research areas to 
        identify and address the emerging and future surface 
        transportation research needs related to planning and 
        environment.
  (f) Funding.--
          (1) Federal share.--The Federal share of the cost of 
        an activity carried out under this section shall be up 
        to 100 percent, and such funds shall remain available 
        until expended.
          (2) Use of non-federal funds.--In addition to using 
        funds authorized to be appropriated to carry out this 
        section, the National Academy of Sciences may seek and 
        accept additional funding sources to carry out this 
        section from public and private entities capable of 
        attracting and accepting funding from the Department of 
        Transportation, Environmental Protection Agency, 
        Department of Energy, United States Fish and Wildlife 
        Service, and other Federal environmental agencies, 
        States, local governments, nonprofit foundations, and 
        the private sector.

Sec. 508. Surface transportation research strategic planning

  (a) * * *

           *       *       *       *       *       *       *

  (c) Surface Transportation Research and Technology 
Development Strategic Plan.--
          (1) * * *

           *       *       *       *       *       *       *

          (3) National research council review.--The Secretary 
        shall enter into an agreement for the review by the 
        National Research Council of the details of each--
                  (A) * * *

           *       *       *       *       *       *       *

                  (C) program performance report required under 
                section 1116 of title 31,

           *       *       *       *       *       *       *


Sec. 509. National cooperative freight transportation research program

  (a) Establishment.--The Secretary shall establish and support 
a national cooperative freight transportation research program.
  (b) Agreement.--The Secretary shall enter into an agreement 
with the National Academy of Sciences to support and carry out 
administrative and management activities relating to the 
governance of the national cooperative freight transportation 
research program.
  (c) Advisory Committee.--The National Academy of Sciences 
shall select an advisory committee consisting of a 
representative cross-section of freight stakeholders, including 
the Department of Transportation, other Federal agencies, State 
transportation departments, local governments, nonprofit 
entities, academia, and the private sector.
  (d) Governance.--The national cooperative freight 
transportation research program established under this section 
shall include the following administrative and management 
elements:
          (1) National research agenda.--The advisory 
        committee, in consultation with interested parties, 
        shall recommend a national research agenda for the 
        program. The agenda shall include a multiyear strategic 
        plan.
          (2) Involvement.--Interested parties may--
                  (A) submit research proposals to the advisory 
                committee;
                  (B) participate in merit reviews of research 
                proposals and peer reviews of research 
                products; and
                  (C) receive research results.
          (3) Open competition and peer review of research 
        proposals.--The National Academy of Sciences may award 
        research contracts and grants under the program through 
        open competition and merit review conducted on a 
        regular basis.
          (4) Evaluation of research.--
                  (A) Peer review.--Research contracts and 
                grants under the program may allow peer review 
                of the research results.
                  (B) Programmatic evaluations.--The National 
                Academy of Sciences may conduct periodic 
                programmatic evaluations on a regular basis of 
                research contracts and grants.
          (5) Dissemination of research findings.--The National 
        Academy of Sciences shall disseminate research findings 
        to researchers, practitioners, and decisionmakers, 
        through conferences and seminars, field demonstrations, 
        workshops, training programs, presentations, testimony 
        to government officials, World Wide Web, publications 
        for the general public, and other appropriate means.
  (e) Contents.--The national research agenda required under 
subsection (d)(1) shall include research in the following 
areas:
          (1) Techniques for estimating and quantifying public 
        benefits derived from freight transportation projects.
          (2) Alternative approaches to calculating the 
        contribution of truck and rail traffic to congestion on 
        specific highway segments.
          (3) The feasibility of consolidating origins and 
        destinations for freight movement.
          (4) Methods for incorporating estimates of 
        international trade into landside transportation 
        planning.
          (5) The use of technology applications to increase 
        capacity of highway lanes dedicated to truck-only 
        traffic.
          (6) Development of physical and policy alternatives 
        for separating car and truck traffic.
          (7) Ways to synchronize infrastructure improvements 
        with freight transportation demand.
          (8) The effect of changing patterns of freight 
        movement on transportation planning decisions relating 
        to rest areas.
          (9) Other research areas to identify and address the 
        emerging and future research needs related to freight 
        transportation by all modes.
  (f) Funding.--
          (1) Federal share.--The Federal share of the cost of 
        an activity carried out under this section shall be up 
        to 100 percent, and such funds shall remain available 
        until expended.
          (2) Use of non-federal funds.--In addition to using 
        funds authorized for this section, the National Academy 
        of Sciences may seek and accept additional funding 
        sources from public and private entities capable of 
        accepting funding from the Department of 
        Transportation, States, local governments, nonprofit 
        foundations, and the private sector.

Sec. 510. Future strategic highway research program

  (a) Establishment.--The Secretary, in consultation with the 
American Association of State Highway and Transportation 
Officials, shall establish and carry out, acting through the 
National Research Council of the National Academy of Sciences, 
the future strategic highway research program.
  (b) Cooperative Agreements.--The Secretary may make grants 
to, and enter into cooperative agreements with, the American 
Association of State Highway and Transportation Officials and 
the National Academy of Sciences to carry out such activities 
under this subsection as the Secretary determines are 
appropriate.
  (c) Period of Availability.--Funds made available to carry 
out this section shall remain available for the fiscal year in 
which such funds are made available and the 3 succeeding fiscal 
years.
  (d) Program Priorities.--
          (1) Program elements.--The program established under 
        this section shall be based on the National Research 
        Council Special Report 260, entitled ``Strategic 
        Highway Research: Saving Lives, Reducing Congestion, 
        Improving Quality of Life'' and the results of the 
        detailed planning work subsequently carried out in 2002 
        and 2003 to identify the research areas through 
        National Cooperative Research Program Project 20-58. 
        The research program shall include an analysis of the 
        following:
                  (A) Renewal of aging highway infrastructure 
                with minimal impact to users of the facilities.
                  (B) Driving behavior and likely crash causal 
                factors to support improved countermeasures.
                  (C) Reducing highway congestion due to 
                nonrecurring congestion.
                  (D) Planning and designing new road capacity 
                to meet mobility, economic, environmental, and 
                community needs.
          (2) Dissemination of results.--The research results 
        of the program, expressed in terms of technologies, 
        methodologies, and other appropriate categorizations, 
        shall be disseminated to practicing engineers for their 
        use, as soon as practicable.
  (e) Program Administration.--In carrying out the program 
under this section, the National Research Council shall ensure, 
to the maximum extent practicable, that--
          (1) projects and researchers are selected to conduct 
        research for the program on the basis of merit and open 
        solicitation of proposals and review by panels of 
        appropriate experts;
          (2) State department of transportation officials and 
        other stakeholders, as appropriate, are involved in the 
        governance of the program at the overall program level 
        and technical level through the use of expert panels 
        and committees;
          (3) the Council acquires a qualified, permanent core 
        staff with the ability and expertise to manage the 
        program and multiyear budget; and
          (4) there is no duplication of research effort 
        between the program and any other research effort of 
        the Department.
  (f) Report on Implementation of Results.--
          (1) Report.--The Transportation Research Board of the 
        National Research Council shall complete a report on 
        the strategies and administrative structure to be used 
        for implementation of the results of the future 
        strategic highway research program.
          (2) Components.--The report under paragraph (1) shall 
        include with respect to the program--
                  (A) an identification of the most promising 
                results of research under the program 
                (including the persons most likely to use the 
                results);
                  (B) a discussion of potential incentives for, 
                impediments to, and methods of, implementing 
                those results;
                  (C) an estimate of costs of implementation of 
                those results; and
                  (D) recommendations on methods by which 
                implementation of those results should be 
                conducted, coordinated, and supported in future 
                years, including a discussion of the 
                administrative structure and organization best 
                suited to carry out those recommendations.
          (3) Consultation.--In developing the report, the 
        Transportation Research Board shall consult with a wide 
        variety of stakeholders, including--
                  (A) the Federal Highway Administration;
                  (B) the National Highway Traffic Safety 
                Administration; and
                  (C) the American Association of State Highway 
                and Transportation Officials.
          (4) Submission.--Not later than February 1, 2009, the 
        report shall be submitted to the Committee on 
        Environment and Public Works of the Senate and the 
        Committee on Transportation and Infrastructure of the 
        House of Representatives.
  (g) Limitation of Remedies.--
          (1) Same remedy as if united states.--The remedy 
        against the United States provided by sections 1346(b) 
        and 2672 of title 28 for injury, loss of property, 
        personal injury, or death shall apply to any claim 
        against the National Academy of Sciences for money 
        damages for injury, loss of property, personal injury, 
        or death caused by any negligent or wrongful act or 
        omission by employees and individuals described in 
        paragraph (3) arising from activities conducted under 
        or in connection with this section. Any such claim 
        shall be subject to the limitations and exceptions 
        which would be applicable to such claim if such claim 
        were against the United States. With respect to any 
        such claim, the Secretary shall be treated as the head 
        of the appropriate Federal agency for purposes of 
        sections 2672 and 2675 of title 28.
          (2) Exclusiveness of remedy.--The remedy referred to 
        in paragraph (1) shall be exclusive of any other civil 
        action or proceeding for the purpose of determining 
        liability arising from any such act or omission without 
        regard to when the act or omission occurred.
          (3) Treatment.--Employees of the National Academy of 
        Sciences and other individuals appointed by the 
        president of the National Academy of Sciences and 
        acting on its behalf in connection with activities 
        carried out under this section shall be treated as if 
        they are employees of the Federal Government under 
        section 2671 of title 28 for purposes of a civil action 
        or proceeding with respect to a claim described in 
        paragraph (1). The civil action or proceeding shall 
        proceed in the same manner as any proceeding under 
        chapter 171 of title 28 or action against the United 
        States filed pursuant to section 1346(b) of title 28 
        and shall be subject to the limitations and exceptions 
        applicable to such a proceeding or action.
          (4) Sources of payments.--Payment of any award, 
        compromise, or settlement of a civil action or 
        proceeding with respect to a claim described in 
        paragraph (1) shall be paid first out of insurance 
        maintained by the National Academy of Sciences, second 
        from funds made available to carry out this section, 
        and then from sums made available under section 1304 of 
        title 31. For purposes of such section, such an award, 
        compromise, or settlement shall be deemed to be a 
        judgment, award, or settlement payable under section 
        2414 or 2672 of title 28. The Secretary may establish a 
        reserve of funds made available to carry out this 
        section for making payments under this paragraph.
  (h) Funding.--
          (1) Federal share.--The Federal share of the cost of 
        an activity carried out using amounts made available 
        under a grant or cooperative agreement under this 
        section shall be 100 percent, and such funds shall 
        remain available until expended.
          (2) Advance payments.--The Secretary may make advance 
        payments as necessary to carry out the program under 
        this section.

                   CHAPTER 6--INFRASTRUCTURE FINANCE

Sec.
601. Generally applicable provisions.
602. Determination of eligibility and project selection.
603. Secured loans.
604. Lines of credit.
605. Program administration.
606. State and local permits.
607. Regulations.
608. Funding.
609. State infrastructure bank program.

[Sec. 181. Definitions]

Sec. 601. Generally applicable provisions

  [In this subchapter] (a) Definitions.--In this chapter, the 
following definitions apply:
          (1) * * *
          (2) Federal credit instrument.--The term ``Federal 
        credit instrument'' means a secured loan, loan 
        guarantee, or line of credit authorized to be made 
        available under [this subchapter] chapter with respect 
        to a project.
          (3) Investment-grade rating.--The term ``investment-
        grade rating'' means a rating [category] of BBB minus, 
        Baa3, or higher assigned by a rating agency to project 
        obligations [offered into the capital markets].

           *       *       *       *       *       *       *

          (5) Line of credit.--The term ``line of credit'' 
        means an agreement entered into by the Secretary with 
        an obligor under section [184] 604 to provide a direct 
        loan at a future date upon the occurrence of certain 
        events.

           *       *       *       *       *       *       *

          [(7) Local servicer.--The term ``local servicer'' 
        means--
                  [(A) a State infrastructure bank established 
                under this title; or
                  [(B) a State or local government or any 
                agency of a State or local government that is 
                responsible for servicing a Federal credit 
                instrument on behalf of the Secretary.]
          [(8)] (7) Obligor.--The term ``obligor'' means a 
        party primarily liable for payment of the principal of 
        or interest on a Federal credit instrument, which party 
        may be a corporation, partnership, joint venture, 
        trust, or governmental entity, agency, or 
        instrumentality.
          [(9)] (8) Project.--The term ``project'' means--
                  (A) * * *
                  (B) a project for an international bridge or 
                tunnel for which an international entity 
                authorized under Federal or State law is 
                responsible[.];

           *       *       *       *       *       *       *

          [(10)] (9) Project obligation.--The term ``project 
        obligation'' means any note, bond, debenture, or other 
        debt obligation issued by an obligor in connection with 
        the financing of a project, other than a Federal credit 
        instrument.
          [(11)] (10) Rating agency.--The term ``rating 
        agency'' means a [bond] credit rating agency identified 
        by the Securities and Exchange Commission as a 
        Nationally Recognized Statistical Rating Organization.
          [(12)] (11) Secured loan.--The term ``secured loan'' 
        means a direct loan or other debt obligation issued by 
        an obligor and funded by the Secretary in connection 
        with the financing of a project under section [183] 
        603.
          [(13)] (12) State.--The term ``State'' has the 
        meaning given the term in section 101.
          [(14)] (13) Subsidy amount.--The term ``subsidy 
        amount'' means the amount of budget authority 
        sufficient to cover the estimated long-term cost to the 
        Federal Government of a Federal credit instrument, 
        calculated on a net present value basis, excluding 
        administrative costs and any incidental effects on 
        governmental receipts or outlays in accordance with the 
        provisions of the Federal Credit Reform Act of 1990 (2 
        U.S.C. 661 et seq.).
          [(15)] (14) Substantial completion.--The term 
        ``substantial completion'' means the opening of a 
        project to vehicular or passenger traffic.
  (b) Treatment of Chapter.--For purposes of this title, this 
chapter shall be treated as being part of chapter 1.

Sec. [182] 602. Determination of eligibility and project selection

  (a) Eligibility.--To be eligible to receive financial 
assistance under [this subchapter] chapter, a project shall 
meet the following criteria:
          [(1) Inclusion in transportation plans and 
        programs.--The project--
                  [(A) shall be included in the State 
                transportation plan required under section 135; 
                and
                  [(B) at such time as an agreement to make 
                available a Federal credit instrument is 
                entered into under this subchapter, shall be 
                included in the approved State transportation 
                improvement program required under section 134.
          [(2) Application.--A State, a local servicer 
        identified under section 185(a), or the entity 
        undertaking the project shall submit a project 
        application to the Secretary.]
          (1) Inclusion in transportation plans and programs.--
        The project shall satisfy the applicable planning and 
        programming requirements of sections 134 and 135 at 
        such time as an agreement to make available a Federal 
        credit instrument is entered into under this 
        subchapter.
          (2) Application.--A State, a local government, public 
        authority, public-private partnership, or any other 
        legal entity undertaking the project and authorized by 
        the Secretary, shall submit a project application to 
        the Secretary.
          (3) Eligible project costs.--
                  (A) In general.--Except as provided in 
                subparagraph (B), to be eligible for assistance 
                under [this subchapter] chapter, a project 
                shall have eligible project costs that are 
                reasonably anticipated to equal or exceed the 
                lesser of--
                          (i) [$100,000,000] $50,000,000; or

           *       *       *       *       *       *       *

                  (B) Intelligent transportation system 
                projects.--In the case of a project principally 
                involving the installation of an intelligent 
                transportation system, eligible project costs 
                shall be reasonably anticipated to equal or 
                exceed [$30,000,000] $15,000,000.
          (4) Dedicated revenue sources.--[Project financing] 
        The Federal credit instrument shall be repayable, in 
        whole or in part, from tolls, user fees, or other 
        dedicated revenue sources that also secure the project 
        obligations.

           *       *       *       *       *       *       *

  (b) Selection Among Eligible Projects.--
          (1) Establishment.--The Secretary shall establish 
        criteria for selecting among projects that meet the 
        eligibility [criteria] requirements specified in 
        subsection (a).
          (2) Selection criteria.--
                  (A) In general.--The selection criteria shall 
                include the following:
                          (i) * * *

           *       *       *       *       *       *       *

                          (iii) The extent to which assistance 
                        under [this subchapter] chapter would 
                        foster innovative public-private 
                        partnerships and attract private debt 
                        or equity investment.
                          (iv) The likelihood that assistance 
                        under [this subchapter] chapter would 
                        enable the project to proceed at an 
                        earlier date than the project would 
                        otherwise be able to proceed.

           *       *       *       *       *       *       *

                          (vi) The amount of budget authority 
                        required to fund the Federal credit 
                        instrument made available under [this 
                        subchapter] chapter.

           *       *       *       *       *       *       *

                          (viii) The extent to which assistance 
                        under this chapter and chapter 1 would 
                        reduce the contribution of Federal 
                        grant assistance to the project.
                  (B) Preliminary rating opinion letter.--For 
                purposes of subparagraph (A)(ii), the Secretary 
                shall require each project applicant to provide 
                a preliminary rating opinion letter from at 
                least 1 rating agency indicating that the 
                project's senior obligations, which may be the 
                Federal credit instrument, have the potential 
                to achieve an investment-grade rating.
  (c) Federal Requirements.--In addition to the requirements of 
this title for highway projects, chapter 53 of title 49 for 
transit projects, and section 5333(a) of title 49 for rail 
projects, the following provisions of law shall apply to funds 
made available under [this subchapter] chapter and projects 
assisted with the funds:
          (1) * * *

           *       *       *       *       *       *       *


Sec. [183] 603. Secured loans

  (a) In General.--
          (1) Agreements.--Subject to paragraphs (2) through 
        (4), the Secretary may enter into agreements with 1 or 
        more obligors to make secured loans, the proceeds of 
        which shall be used--
                  (A) to finance eligible project costs of any 
                project selected under section 602; or
                  (B) to refinance interim construction 
                financing of eligible project costs[;
        [of any project selected under section 182] of any 
        project selected under section 602.

           *       *       *       *       *       *       *

          (3) Risk assessment.--Before entering into an 
        agreement under this subsection, the Secretary, in 
        consultation with the Director of the Office of 
        Management and Budget and each rating agency providing 
        a preliminary rating opinion letter under section 
        [182(b)(2)(B)] 602(b)(2)(B), shall determine an 
        appropriate capital reserve subsidy amount for each 
        secured loan, taking into account such letter.
          (4) Investment-grade rating requirement.--[The 
        funding] The execution of a secured loan under this 
        section shall be contingent on the project's senior 
        obligations receiving an investment-grade rating[, 
        except that--
                  [(A) the Secretary may fund an amount of the 
                secured loan not to exceed the capital reserve 
                subsidy amount determined under paragraph (3) 
                prior to the obligations receiving an 
                investment-grade rating; and
                  [(B) the Secretary may fund the remaining 
                portion of the secured loan only after the 
                obligations have received an investment-grade 
                rating by at least 1 rating agency].
  (b) Terms and Limitations.--
          (1) * * *
          (2) Maximum amount.--The amount of the secured loan 
        shall not exceed the lesser of 33 percent of the 
        reasonably anticipated eligible project costs or the 
        amount of the senior project obligations.
          (3) Payment.--The secured loan--
                  (A) shall--
                          (i) be payable, in whole or in part, 
                        from tolls, user fees, or other 
                        dedicated revenue sources that also 
                        secure the senior project obligations; 
                        and

           *       *       *       *       *       *       *

          (4) Interest rate.--The interest rate on the secured 
        loan shall be not less than the yield on [marketable] 
        United States Treasury securities of a similar maturity 
        to the maturity of the secured loan on the date of 
        execution of the loan agreement.

           *       *       *       *       *       *       *

          (8) Non-federal share.--The proceeds of a secured 
        loan under [this subchapter] chapter may be used for 
        any non-Federal share of project costs required under 
        this title or chapter 53 of title 49, if the loan is 
        repayable from non-Federal funds.
  (c) Repayment.--
          (1) * * *

           *       *       *       *       *       *       *

          [(3) Sources of repayment funds.--The sources of 
        funds for scheduled loan repayments under this section 
        shall include tolls, user fees, or other dedicated 
        revenue sources.]
          [(4)] (3) Deferred payments.--
                  (A) * * *

           *       *       *       *       *       *       *

          [(5)] (4) Prepayment.--
                  (A) * * *

           *       *       *       *       *       *       *


Sec. [184] 604. Lines of credit

  (a) In General.--
          (1) Agreements.--Subject to paragraphs (2) through 
        (4), the Secretary may enter into agreements to make 
        available lines of credit to 1 or more obligors in the 
        form of direct loans to be made by the Secretary at 
        future dates on the occurrence of certain events for 
        any project selected under section [182] 602.

           *       *       *       *       *       *       *

          (3) Risk assessment.--Before entering into an 
        agreement under this subsection, the Secretary, in 
        consultation with the Director of the Office of 
        Management and Budget and each rating agency providing 
        a preliminary rating opinion letter under section 
        [182(b)(2)(B)] 602(b)(2)(B), shall determine an 
        appropriate capital reserve subsidy amount for each 
        line of credit, taking into account such letter.

           *       *       *       *       *       *       *

  (b) Terms and Limitations.--
          (1) * * *

           *       *       *       *       *       *       *

          (3) Draws.--Any draw on the line of credit shall 
        represent a direct loan and shall be made only if net 
        revenues from the project (including capitalized 
        interest[, any debt service reserve fund,] but not 
        including reasonably required financing reserves and 
        any other available reserve) are insufficient to pay 
        the costs specified in subsection (a)(2).
          (4) Interest rate.--The interest rate on a direct 
        loan resulting from a draw on the line of credit shall 
        be not less than the yield on 30-year [marketable] 
        United States Treasury securities as of the date [on 
        which] of execution of the line of credit [is 
        obligated] agreement.
          (5) Security.--The line of credit--
                  (A) shall--
                          (i) be payable, in whole or in part, 
                        from tolls, user fees, or other 
                        dedicated revenue sources that also 
                        secure the senior project obligations; 
                        and

           *       *       *       *       *       *       *

          (10) Relationship to other credit instruments.--A 
        project that receives a line of credit under this 
        section also shall not receive a secured loan or loan 
        guarantee under section [183] 603 of an amount that, 
        combined with the amount of the line of credit, exceeds 
        33 percent of eligible project costs.
  (c) Repayment.--
          (1) * * *
          (2) Timing.--All [scheduled] repayments of principal 
        or interest on a direct loan under this section shall 
        be scheduled to commence not later than 5 years after 
        the end of the period of availability specified in 
        subsection (b)(6) and [be fully repaid, with interest,] 
        conclude, with full repayment of principal and 
        interest, by the date that is 25 years after the end of 
        the period of availability specified in subsection 
        (b)(6).
          [(3) Sources of repayment funds.--The sources of 
        funds for scheduled loan repayments under this section 
        shall include tolls, user fees, or other dedicated 
        revenue sources.]

[Sec. 185. Project servicing

  [(a) Requirement.--The State in which a project that receives 
financial assistance under [this subchapter] chapter is located 
may identify a local servicer to assist the Secretary in 
servicing the Federal credit instrument made available under 
this subchapter.
  [(b) Agency; Fees.--If a State identifies a local servicer 
under subsection (a), the local servicer--
          [(1) shall act as the agent for the Secretary; and
          [(2) may receive a servicing fee, subject to approval 
        by the Secretary.
  [(c) Liability.--A local servicer identified under subsection 
(a) shall not be liable for the obligations of the obligor to 
the Secretary or any lender.
  [(d) Assistance From Expert Firms.--The Secretary may retain 
the services of expert firms in the field of municipal and 
project finance to assist in the underwriting and servicing of 
Federal credit instruments.]

Sec. 605. Program administration

  (a) Requirement.--The Secretary shall establish a uniform 
system to service the Federal credit instrument made available 
under this chapter.
  (b) Fees.--The Secretary may establish fees at a level to 
cover all or a portion of the costs to the Federal Government 
of servicing the Federal credit instrument.
  (c) Services.--The Secretary may identify a financial entity 
to assist the Secretary in servicing a Federal credit 
instrument. The services--
          (1) shall act as the agent for the Secretary; and
          (2) shall receive a servicing fee, subject to 
        approval by the Secretary.
  (d) Assistance From Expert Firms.--The Secretary may retain 
the services of one or more expert firms, including counsel, in 
the field of municipal and project finance to assist in the 
underwriting and servicing of Federal credit instruments.

Sec. [186] 606. State and local permits

  The provision of financial assistance under [this subchapter] 
chapter with respect to a project shall not--
          (1) * * *

           *       *       *       *       *       *       *


Sec. [187] 607. Regulations

  The Secretary may issue such regulations as the Secretary 
determines appropriate to carry out [this subchapter] chapter.

[Sec. 188. Funding

  [(a) Funding.--
          [(1) In general.--There are authorized to be 
        appropriated from the Highway Trust Fund (other than 
        the Mass Transit Account) to carry out this 
        subchapter--
                  [(A) $80,000,000 for fiscal year 1999;
                  [(B) $90,000,000 for fiscal year 2000;
                  [(C) $110,000,000 for fiscal year 2001;
                  [(D) $120,000,000 for fiscal year 2002;
                  [(E) $130,000,000 for fiscal year 2003; and
                  [(F) $81,666,666 for the period of October 1, 
                2003, through April 30, 2004.
          [(2) Administrative costs.--From funds made available 
        under paragraph (1), the Secretary may use, for the 
        administration of this subchapter, not more than 
        $2,000,000 for each of fiscal years 1999 through 2003 
        and $833,333 for the period of October 1, 2003, through 
        February 29, 2004.
          (3) Availability.--Amounts made available under 
        paragraph (1) shall remain available until expended.
  [(b) Contract Authority.--
          [(1) In general.--Notwithstanding any other provision 
        of law, approval by the Secretary of a Federal credit 
        instrument that uses funds made available under this 
        subchapter shall be deemed to be acceptance by the 
        United States of a contractual obligation to fund the 
        Federal credit instrument.
          [(2) Availability.--Amounts authorized under this 
        section for a fiscal year shall be available for 
        obligation on October 1 of the fiscal year.
  [(c) Limitations on Credit Amounts.--For each of fiscal years 
1999 through 2004, principal amounts of Federal credit 
instruments made available under this subchapter shall be 
limited to the amounts specified in the following table:

                                                          Maximum amount
[Fiscal year:                                               of credit:  
  1999.................................................. $1,600,000,000 
  2000.................................................. $1,800,000,000 
  2001.................................................. $2,200,000,000 
  2002.................................................. $2,400,000,000 
  2003.................................................. $2,600,000,000 
  2004.................................................. $1,083,333,333.

[Sec. 189. Report to Congress

  [Not later than 4 years after the date of enactment of this 
subchapter, the Secretary shall submit to Congress a report 
summarizing the financial performance of the projects that are 
receiving, or have received, assistance under this subchapter, 
including a recommendation as to whether the objectives of this 
subchapter are best served--
          [(1) by continuing the program under the authority of 
        the Secretary;
          [(2) by establishing a Government corporation or 
        Government-sponsored enterprise to administer the 
        program; or
          [(3) by phasing out the program and relying on the 
        capital markets to fund the types of infrastructure 
        investments assisted by this subchapter without Federal 
        participation.]

Sec. 608. Funding

  (a) Funding.--
          (1) In general.--There are authorized to be 
        appropriated from the Highway Trust Fund (other than 
        the Mass Transit Account) $130,000,000 for fiscal year 
        2004 and $140,000,000 for each of fiscal years 2005 
        through 2009 to carry out this chapter.
          (2) Administrative costs.--From funds made available 
        under paragraph (1), the Secretary may use, for the 
        administration of this subchapter, not more than 
        $3,000,000 for each of fiscal years 2004 through 2009.
          (3) Availability.--Amounts made available under 
        paragraph (1) shall remain available until expended.
  (b) Contract Authority.--
          (1) In general.--Notwithstanding any other provision 
        of law, approval by the Secretary of a Federal credit 
        instrument that uses funds made available under this 
        chapter shall be deemed to be acceptance by the United 
        States of a contractual obligation to fund the Federal 
        credit instrument.
          (2) Availability.--Amounts authorized under this 
        section for a fiscal year shall be available for 
        obligation on October 1 of the fiscal year.
  (c) Limitations on Credit Amounts.--For each of fiscal years 
2004 through 2009, principal amounts of Federal credit 
instruments made available under this chapter shall be limited 
to $2,600,000,000.

Sec. 609. State infrastructure bank program

  (a) Definitions.--In this section, the following definitions 
apply:
          (1) Capital project.--The term ``capital project'' 
        has the meaning such term has under section 5302 of 
        title 49, United States Code.
          (2) Other forms of credit assistance.--The term 
        ``other forms of credit assistance'' includes any use 
        of funds in an infrastructure bank--
                  (A) to provide credit enhancements;
                  (B) to serve as a capital reserve for bond or 
                debt instrument financing;
                  (C) to subsidize interest rates;
                  (D) to insure or guarantee letters of credit 
                and credit instruments against credit risk of 
                loss;
                  (E) to finance purchase and lease agreements 
                with respect to transit projects;
                  (F) to provide bond or debt financing 
                instrument security; and
                  (G) to provide other forms of debt financing 
                and methods of leveraging funds that are 
                approved by the Secretary and that relate to 
                the project with respect to which such 
                assistance is being provided.
          (3) State.--The term ``State'' has the meaning such 
        term has under section 401 of this title.
          (4) Capitalization.--The term ``capitalization'' 
        means the process used for depositing funds as initial 
        capital into a State infrastructure bank to establish 
        the infrastructure bank.
          (5) Cooperative agreement.--The term ``cooperative 
        agreement'' means written consent between a State and 
        the Secretary which sets forth the manner in which the 
        infrastructure bank established by the State in 
        accordance with this section will be administered.
          (6) Loan.--The term ``loan'' means any form of direct 
        financial assistance from a State infrastructure bank 
        that is required to be repaid over a period of time and 
        that is provided to a project sponsor for all or part 
        of the costs of the project.
          (7) Guarantee.--The term ``guarantee'' means a 
        contract entered into by a State infrastructure bank in 
        which the bank agrees to take responsibility for all or 
        a portion of a project sponsor's financial obligations 
        for a project under specified conditions.
          (8) Initial assistance.--The term ``initial 
        assistance'' means the first round of funds that are 
        loaned or used for credit enhancement by a State 
        infrastructure bank for projects eligible for 
        assistance under this section.
          (9) Leverage.--The term ``leverage'' means a 
        financial structure used to increase funds in a State 
        infrastructure bank through the issuance of debt 
        instruments.
          (10) Leveraged.--The term ``leveraged'', as used with 
        respect to a State infrastructure bank, means that the 
        bank has total potential liabilities that exceed the 
        capital of the bank.
  (b) Cooperative Agreements.--Subject to the provisions of 
this section, the Secretary may enter into cooperative 
agreements with States for the establishment of State 
infrastructure banks for making loans and providing other forms 
of credit assistance to public and private entities carrying 
out or proposing to carry out projects eligible for assistance 
under this section.
  (c) Interstate Compacts.--Congress grants consent to 2 or 
more of the States, entering into a cooperative agreement under 
subsection (a) with the Secretary for the establishment by such 
States of a multi-State infrastructure bank in accordance with 
this section, to enter into an interstate compact establishing 
such bank in accordance with this section.
  (d) Funding.--
          (1) Highway account.--Subject to subsection (j), the 
        Secretary may permit a State entering into a 
        cooperative agreement under this section to establish a 
        State infrastructure bank to deposit into the highway 
        account of the bank not to exceed--
                  (A) 10 percent of the funds apportioned to 
                the State for each of fiscal years 2004 through 
                2009 under each of sections 104(b)(1), 
                104(b)(3), 104(b)(4), and 144; and
                  (B) 10 percent of the funds allocated to the 
                State for each of such fiscal years under 
                section 105.
          (2) Transit account.--Subject to subsection (j), the 
        Secretary may permit a State entering into a 
        cooperative agreement under this section to establish a 
        State infrastructure bank, and any other recipient of 
        Federal assistance under section 5307, 5309, or 5311 of 
        title 49, to deposit into the transit account of the 
        bank not to exceed 10 percent of the funds made 
        available to the State or other recipient in each of 
        fiscal years 2004 through 2009 for capital projects 
        under each of such sections.
          (3) Rail account.--Subject to subsection (j), the 
        Secretary may permit a State entering into a 
        cooperative agreement under this section to establish a 
        State infrastructure bank, and any other recipient of 
        Federal assistance under subtitle V of title 49, to 
        deposit into the rail account of the bank funds made 
        available to the State or other recipient in each of 
        fiscal years 2004 through 2009 for capital projects 
        under such subtitle.
          (4) Capital grants.--
                  (A) Highway account.--Federal funds deposited 
                into a highway account of a State 
                infrastructure bank under paragraph (1) shall 
                constitute for purposes of this section a 
                capitalization grant for the highway account of 
                the bank.
                  (B) Transit account.--Federal funds deposited 
                into a transit account of a State 
                infrastructure bank under paragraph (2) shall 
                constitute for purposes of this section a 
                capitalization grant for the transit account of 
                the bank.
                  (C) Rail account.--Federal funds deposited 
                into a rail account of a State infrastructure 
                bank under paragraph 3 shall constitute for 
                purposes of this section a capitalization grant 
                for the rail account of the bank.
          (5) Special rule for urbanized areas of over 
        200,000.--Funds in a State infrastructure bank that are 
        attributed to urbanized areas of a State with urbanized 
        populations of over 200,000 under section 133(d)(3) may 
        be used to provide assistance with respect to a project 
        only if the metropolitan planning organization 
        designated for such area concurs, in writing, with the 
        provision of such assistance.
          (6) Discontinuance of funding.--If the Secretary 
        determines that a State is not implementing the State's 
        infrastructure bank in accordance with a cooperative 
        agreement entered into under subsection (b), the 
        Secretary may prohibit the State from contributing 
        additional Federal funds to the bank.
  (e) Forms of Assistance From Infrastructure Banks.--An 
infrastructure bank established under this section may make 
loans or provide other forms of credit assistance to a public 
or private entity in an amount equal to all or a part of the 
cost of carrying out a project eligible for assistance under 
this section. The amount of any loan or other form of credit 
assistance provided for the project may be subordinated to any 
other debt financing for the project. Initial assistance 
provided with respect to a project from Federal funds deposited 
into an infrastructure bank under this section may not be made 
in the form of a grant.
  (f) Eligible Projects.--Subject to subsection (e), funds in 
an infrastructure bank established under this section may be 
used only to provide assistance for projects eligible for 
assistance under this title and capital projects defined in 
section 5302 of title 49, and any other projects related to 
surface transportation that the Secretary determines to be 
appropriate.
  (g) Infrastructure Bank Requirements.--In order to establish 
an infrastructure bank under this section, the State 
establishing the bank shall--
          (1) deposit in cash, at a minimum, into each account 
        of the bank from non-Federal sources an amount equal to 
        25 percent of the amount of each capitalization grant 
        made to the State and deposited into such account; 
        except that, if the deposit is into the highway account 
        of the bank and the State has a non-Federal share under 
        section 120(b) that is less than 25 percent, the 
        percentage to be deposited from non-Federal sources 
        shall be the lower percentage of such grant;
          (2) ensure that the bank maintains on a continuing 
        basis an investment grade rating on its debt, or has a 
        sufficient level of bond or debt financing instrument 
        insurance, to maintain the viability of the bank;
          (3) ensure that investment income derived from funds 
        deposited to an account of the bank are--
                  (A) credited to the account;
                  (B) available for use in providing loans and 
                other forms of credit assistance to projects 
                eligible for assistance from the account; and
                  (C) invested in United States Treasury 
                securities, bank deposits, or such other 
                financing instruments as the Secretary may 
                approve to earn interest to enhance the 
                leveraging of projects assisted by the bank;
          (4) ensure that any loan from the bank will bear 
        interest at or below market interest rates, as 
        determined by the State, to make the project that is 
        the subject of the loan feasible;
          (5) ensure that repayment of any loan from the bank 
        will commence not later than 5 years after the project 
        has been completed or, in the case of a highway 
        project, the facility has opened to traffic, whichever 
        is later;
          (6) ensure that the term for repaying any loan will 
        not exceed 30 years after the date of the first payment 
        on the loan; and
          (7) require the bank to make an annual report to the 
        Secretary on its status no later than September 30 of 
        each year and such other reports as the Secretary may 
        require under guidelines issued to carry out this 
        section.
  (h) Applicability of Federal Law.--
          (1) In general.--The requirements of this title and 
        title 49 that would otherwise apply to funds made 
        available under this title or such title and projects 
        assisted with those funds shall apply to--
                  (A) funds made available under this title or 
                such title and contributed to an infrastructure 
                bank established under this section, including 
                the non-Federal contribution required under 
                subsection (g); and
                  (B) projects assisted by the bank through the 
                use of the funds;
        except to the extent that the Secretary determines that 
        any requirement of such title (other than sections 113 
        and 114 of this title and section 5333 of title 49), is 
        not consistent with the objectives of this section.
          (2) Repayments.--The requirements of this title and 
        title 49 shall apply to repayments from non-Federal 
        sources to an infrastructure bank from projects 
        assisted by the bank. Such a repayment shall be 
        considered to be Federal funds.
  (i) United States not Obligated.--The deposit of Federal 
funds into an infrastructure bank established under this 
section shall not be construed as a commitment, guarantee, or 
obligation on the part of the United States to any third party, 
nor shall any third party have any right against the United 
States for payment solely by virtue of the contribution. Any 
security or debt-financing instrument issued by the 
infrastructure bank shall expressly state that the security or 
instrument does not constitute a commitment, guarantee, or 
obligation of the United States.
  (j) Management of Federal Funds.--Sections 3335 and 6503 of 
title 31, shall not apply to funds deposited into an 
infrastructure bank under this section.
  (k) Program Administration.--For each of fiscal years 2004 
through 2009, a State may expend not to exceed 2 percent of the 
Federal funds contributed to an infrastructure bank established 
by the State under this section to pay the reasonable costs of 
administering the bank.

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                              ----------                              


                      TITLE 49, UNITED STATES CODE



           *       *       *       *       *       *       *
SUBTITLE I--DEPARTMENT OF TRANSPORTATION

           *       *       *       *       *       *       *


CHAPTER 1--ORGANIZATION

           *       *       *       *       *       *       *


Sec. 102. Department of Transportation

  (a) * * *

           *       *       *       *       *       *       *

  (f) Deputy Assistant Secretary for Tribal Government 
Affairs.--The Department of Transportation shall have, within 
the office of the Secretary, a Deputy Assistant Secretary for 
Tribal Government Affairs appointed by the President to plan, 
coordinate, and implement the Department of Transportation 
policy and programs serving Indian tribes and tribal 
organizations and to coordinate tribal transportation programs 
and activities in all offices and administrations of the 
Department and to be a participant in any negotiated rulemaking 
related to, or has impact on, projects, programs, or funding 
associated with the tribal transportation program.
  [(f)] (g) The Department shall have a seal that shall be 
judicially recognized.
  [(g)] (h) The Department has an Associate Deputy Secretary 
appointed by the President, by and with the advice and consent 
of the Senate. The Associate Deputy Secretary shall carry out 
powers and duties prescribed by the Secretary.

           *       *       *       *       *       *       *


Sec. 111. Bureau of Transportation Statistics

  (a) * * *
  [(b) Director.--
          [(1) Appointment.--The Bureau shall be headed by a 
        Director who shall be appointed by the President, by 
        and with the advice and consent of the Senate.
          [(2) Qualifications.--The Director shall be appointed 
        from among individuals who are qualified to serve as 
        the Director by virtue of their training and experience 
        in the compilation and analysis of transportation 
        statistics.
          [(3) Reporting.--The Director shall report directly 
        to the Secretary.
          [(4) Term.--The term of the Director shall be 4 
        years. The Director may continue to serve after the 
        expiration of the term until a successor is appointed 
        and confirmed.
  [(c) Responsibilities.--The Director of the Bureau shall be 
responsible for carrying out the following duties:
          [(1) Compiling transportation statistics.--Compiling, 
        analyzing, and publishing a comprehensive set of 
        transportation statistics to provide timely summaries 
        and totals (including industrywide aggregates and 
        multiyear averages) of transportation-related 
        information. Such statistics shall be suitable for 
        conducting cost-benefit studies (including comparisons 
        among individual transportation modes and intermodal 
        transport systems) and shall include information on--
                  [(A) productivity in various parts of the 
                transportation sector;
                  [(B) traffic flows;
                  [(C) travel times;
                  [(D) vehicle weights;
                  [(E) variables influencing traveling 
                behavior, including choice of transportation 
                mode;
                  [(F) travel costs of intracity commuting and 
                intercity trips;
                  [(G) availability of mass transit and the 
                number of passengers served by each mass 
                transit authority;
                  [(H) frequency of vehicle and transportation 
                facility repairs and other interruptions of 
                transportation service;
                  [(I) accidents;
                  [(J) collateral damage to the human and 
                natural environment;
                  [(K) the condition of the transportation 
                system; and
                  [(L) transportation-related variables that 
                influence global competitiveness.
          [(2) Implementing long-term data collection 
        program.--Establishing and implementing, in cooperation 
        with the modal administrators, the States, and other 
        Federal officials a comprehensive, long-term program 
        for the collection and analysis of data relating to the 
        performance of the transportation systems of the United 
        States. Such program shall--
                  [(A) be coordinated with efforts to measure 
                outputs and outcomes of the Department of 
                Transportation and the transportation systems 
                of the United States under the Government 
                Performance and Results Act of 1993 (107 Stat. 
                285 et seq.) and the amendments made by such 
                Act;
                  [(B) ensure that data is collected under this 
                subsection in a manner which will maximize the 
                ability to compare data from different regions 
                and for different time periods; and
                  [(C) ensure that data collected under this 
                subsection is controlled for accuracy, made 
                relevant to the States and metropolitan 
                planning organizations, and disseminated to the 
                States and other interested parties.
          [(3) Issuing guidelines.--Issuing guidelines for the 
        collection of information by the Department of 
        Transportation required for statistics to be compiled 
        under paragraph (1) in order to ensure that such 
        information is accurate, reliable, relevant, and in a 
        form that permits systematic analysis. The Bureau shall 
        review and report to the Secretary of Transportation on 
        the sources and reliability of the statistics proposed 
        by the heads of the operating administrations of the 
        Department to measure outputs and outcomes as required 
        by the Government Performance and Results Act of 1993, 
        and the amendments made by such Act, and shall carry 
        out such other reviews of the sources and reliability 
        of other data collected by the heads of the operating 
        administrations of the Department as shall be requested 
        by the Secretary.
          [(4) Coordinating collection of information.--
        Coordinating the collection of information by the 
        Department of Transportation required for statistics to 
        be compiled under paragraph (1) with related 
        information-gathering activities conducted by other 
        Federal departments and agencies and collecting 
        appropriate data not elsewhere gathered.
          [(5) Making statistics accessible.--Making the 
        statistics published under this subsection readily 
        accessible.
          [(6) Identifying information needs.--Identifying 
        information that is needed under paragraph (1) but 
        which is not being collected, reviewing such needs at 
        least annually with the Advisory Council on 
        Transportation Statistics, and making recommendations 
        to appropriate Department of Transportation research 
        officials concerning extramural and intramural research 
        programs to provide such information.
          [(7) Supporting transportation decisionmaking.--
        Ensuring that the statistics compiled under paragraph 
        (1) are relevant for transportation decisionmaking by 
        the Federal Government, State and local governments, 
        transportation-related associations, private 
        businesses, and consumers.
  [(d) Intermodal Transportation Data Base.--
          [(1) In general.--In consultation with the Associate 
        Deputy Secretary, the Assistant Secretaries, and the 
        heads of the operating administrations of the 
        Department of Transportation, the Director shall 
        establish and maintain a transportation data base for 
        all modes of transportation.
          [(2) Use.--The data base shall be suitable for 
        analyses carried out by the Federal Government, the 
        States, and metropolitan planning organizations.
          [(3) Contents.--The data base shall include--
                  [(A) information on the volumes and patterns 
                of movement of goods, including local, 
                interregional, and international movement, by 
                all modes of transportation and intermodal 
                combinations, and by relevant classification;
                  [(B) information on the volumes and patterns 
                of movement of people, including local, 
                interregional, and international movements, by 
                all modes of transportation (including bicycle 
                and pedestrian modes) and intermodal 
                combinations, and by relevant classification;
                  [(C) information on the location and 
                connectivity of transportation facilities and 
                services; and
                  [(D) a national accounting of expenditures 
                and capital stocks on each mode of 
                transportation and intermodal combination.
  [(e) National Transportation Library.--
          [(1) In general.--The Director shall establish and 
        maintain a National Transportation Library, which shall 
        contain a collection of statistical and other 
        information needed for transportation decisionmaking at 
        the Federal, State, and local levels.
          [(2) Access.--The Director shall facilitate and 
        promote access to the Library, with the goal of 
        improving the ability of the transportation community 
        to share information and the ability of the Director to 
        make statistics readily accessible under subsection 
        (c)(5).
          [(3) Coordination.--The Director shall work with 
        other transportation libraries and other transportation 
        information providers, both public and private, to 
        achieve the goal specified in paragraph (2).
  [(f) National Transportation Atlas Data Base.--
          [(1) In general.--The Director shall develop and 
        maintain geospatial data bases that depict--
                  [(A) transportation networks;
                  [(B) flows of people, goods, vehicles, and 
                craft over the networks; and
                  [(C) social, economic, and environmental 
                conditions that affect or are affected by the 
                networks.
          [(2) Intermodal network analysis.--The data bases 
        shall be able to support intermodal network analysis.
  [(g) Research and Development Grants.--
          [(1) In general.--The Secretary may make grants to, 
        or enter into cooperative agreements or contracts with, 
        public and nonprofit private entities (including State 
        transportation departments, metropolitan planning 
        organizations, and institutions of higher education) 
        for--
                  [(A) investigation of the subjects specified 
                in subsection (c)(1) and research and 
                development of new methods of data collection, 
                management, integration, dissemination, 
                interpretation, and analysis;
                  [(B) development of electronic clearinghouses 
                of transportation data and related information, 
                as part of the National Transportation Library 
                under subsection (e); and
                  [(C) development and improvement of methods 
                for sharing geographic data, in support of the 
                national transportation atlas data base under 
                subsection (f) and the National Spatial Data 
                Infrastructure developed under Executive Order 
                No. 12906.
          [(2) Limitation.--Not more than $500,000 of the 
        amounts made available to carry out this section in a 
        fiscal year may be used to carry out this subsection.
  [(h) Limitations on Statutory Construction.--Nothing in this 
section shall be construed--
          [(1) to authorize the Bureau to require any other 
        department or agency to collect data; or
          [(2) to reduce the authority of any other officer of 
        the Department of Transportation to collect and 
        disseminate data independently.
  [(i) Prohibition on Certain Disclosures.--
          [(1) In general.--An officer or employee of the 
        Bureau may not--
                  [(A) make any disclosure in which the data 
                provided by an individual or organization under 
                subsection (c)(2) can be identified;
                  [(B) use the information provided under 
                subsection (c)(2) for a nonstatistical purpose; 
                or
                  [(C) permit anyone other than an individual 
                authorized by the Director to examine any 
                individual report provided under subsection 
                (c)(2).
          [(2) Prohibition on requests for certain data.--
                  [(A) Government agencies.--No department, 
                bureau, agency, officer, or employee of the 
                United States (except the Director in carrying 
                out this section) may require, for any reason, 
                a copy of any report that has been filed under 
                subsection (c)(2) with the Bureau or retained 
                by an individual respondent.
                  [(B) Courts.--Any copy of a report described 
                in subparagraph (A) that has been retained by 
                an individual respondent or filed with the 
                Bureau or any of its employees, contractors, or 
                agents--
                          [(i) shall be immune from legal 
                        process; and
                          [(ii) shall not, without the consent 
                        of the individual concerned, be 
                        admitted as evidence or used for any 
                        purpose in any action, suit, or other 
                        judicial or administrative proceeding.
                  [(C) Applicability.--This paragraph shall 
                apply only to reports that permit information 
                concerning an individual or organization to be 
                reasonably inferred by direct or indirect 
                means.
          [(3) Data collected for nonstatistical purposes.--In 
        a case in which the Bureau is authorized by statute to 
        collect data or information for a nonstatistical 
        purpose, the Director shall clearly distinguish the 
        collection of the data or information, by rule and on 
        the collection instrument, so as to inform a respondent 
        that is requested or required to supply the data or 
        information of the nonstatistical purpose.
  [(j) Transportation Statistics Annual Report.--The Director 
shall transmit to the President and Congress a Transportation 
Statistics Annual Report which shall include information on 
items referred to in subsection (c)(1), documentation of 
methods used to obtain and ensure the quality of the statistics 
presented in the report, and recommendations for improving 
transportation statistical information.
  [(k) Proceeds of Data Product Sales.--Notwithstanding section 
3302 of title 31, United States Code, funds received by the 
Bureau from the sale of data products, for necessary expenses 
incurred, may be credited to the Highway Trust Fund (other than 
the Mass Transit Account) for the purpose of reimbursing the 
Bureau for the expenses.]
  (b) Director.--
          (1) In general.--The Bureau shall be headed by a 
        Director who shall be appointed by the President, by 
        and with the advice and consent of the Senate.
          (2) Appointment.--The Director shall be appointed 
        from among individuals who are qualified to serve as 
        the Director by virtue of their training and experience 
        in the collection, analysis and use of transportation 
        data.
          (3) Reporting to secretary.--The Director shall 
        report directly to the Secretary of Transportation.
          (4) Term.--The term of the Director shall be 4 years. 
        The Director may continue to serve after the expiration 
        of the term until a successor is appointed and 
        confirmed.
  (c) Responsibilities.--The Director of the Bureau shall serve 
as the Secretary's senior advisor on data and statistics and be 
responsible for carrying out the following duties:
          (1) Collecting, analyzing, and disseminating data 
        concerning the domestic and international movement of 
        freight.
          (2) Collecting, analyzing, and disseminating data 
        concerning travel patterns for local and long-distance 
        travel, at the local, State, national, and 
        international levels.
          (3) Developing, analyzing, and disseminating 
        information on the economics of transportation.
          (4) Building and disseminating the transportation 
        layer of the National Spatial Data Infrastructure, 
        including coordinating the development of 
        transportation geospatial data standards, compiling 
        intermodal geospatial data, and collecting geospatial 
        data that is not being collected by others.
          (5) Developing, publishing, and disseminating a 
        comprehensive set of measures of investment, use, 
        costs, performance, and impacts of the national 
        transportation system, including publishing an annual 
        transportation statistics abstract.
          (6) Identifying information needs of the Department 
        and reviewing such needs at least annually with the 
        Advisory Council on Transportation Statistics of the 
        Bureau.
          (7) Conducting or supporting research relating to 
        methods of gathering or analyzing transportation 
        statistics and issuing guidelines for the collection of 
        information by the Department in order to ensure that 
        such information is accurate, relevant, comparable, 
        accessible, and in a form that permits systematic 
        analysis.
  (d) Coordinating Collection of Information.--The Director 
shall work with the operating administrations of the Department 
to establish and implement the Bureau's data programs and to 
improve the coordination of information collection efforts with 
other Federal agencies.
  (e) Supporting Transportation Decisionmaking.--The Director 
shall ensure that the statistics compiled under this section 
are relevant for transportation policy, planning, and 
decisionmaking by the Federal Government, State and local 
governments, transportation-related associations, private 
businesses, and the public. The Director shall provide to the 
Department's other operating administrations technical 
assistance on collecting, compiling, analyzing, and verifying 
transportation data and statistics and the design of surveys.
  (f) National Transportation Library.--
          (1) In general.--The Director shall establish and 
        maintain a National Transportation Library. The Library 
        shall contain a collection of statistical and other 
        information needed for transportation decisionmaking at 
        the Federal, State, and local levels.
          (2) Access.--The Director shall facilitate and 
        promote access to the Library, with the goal of 
        improving the ability of the transportation community 
        to share information and the ability of the Director to 
        disseminate information under subsection (c).
          (3) Coordination.--The Director shall work with other 
        transportation libraries and other transportation 
        information providers, both public and private, to 
        achieve the goal specified in paragraph (2).
          (4) Transportation research information service.--The 
        Director shall provide the full financial support for 
        the web-based version of the Transportation Research 
        Information Service.
  (g) Research and Development Grants.--
          (1) In general.--The Secretary may make grants to, or 
        enter into cooperative agreements or contracts with, 
        public and nonprofit private entities (including State 
        transportation departments, metropolitan planning 
        organizations, and institutions of higher education) if 
        each of the grants, agreements, and contracts--
                  (A) provide for an alternative means of 
                accomplishing program-related research of the 
                Department;
                  (B) contribute to research and development of 
                new methods of transportation data collection; 
                or
                  (C) improve the methods for sharing 
                geographic transportation data.
          (2) Funding limit.--Not more than $500,000 of the 
        amounts made available to carry out this section in a 
        fiscal year may be used for research and development 
        grants under this subsection.
  (h) Transportation Statistics Annual Report.--By March 31 of 
each year, the Director shall transmit to the President and 
Congress a report that includes information on the subjects 
described in subsection (c), documentation of the methods used 
to obtain the information and ensure the quality of the 
statistics presented in the report, and recommendations for 
improving transportation statistical information.
  (i) Proceeds of Data Product Sales.--Notwithstanding section 
3302 of title 31, funds received by the Bureau from the sale of 
data products, for necessary expenses incurred, may be credited 
to the Highway Trust Fund (other than the Mass Transit Account) 
for the purpose of reimbursing the Bureau for the expenses.
  (j) Limitations on Statutory Construction.--Nothing in this 
section shall be construed to--
          (1) authorize the Bureau to require any other 
        department or agency to collect data; or
          (2) reduce the authority of any other officer of the 
        Department of Transportation to collect and disseminate 
        data independently.
  (k) Mandatory Response Authority for Freight Data 
Collection.--Whoever, being the owner, official, agent, person 
in charge, or assistant to the person in charge of any 
corporation, company, business, institution, establishment, or 
organization of any nature whatsoever, neglects or refuses, 
when requested by the Director or other authorized officer, 
employee, or contractor of the Bureau, to answer completely and 
correctly to the best of his or her knowledge all questions 
relating to the corporation, company, business, institution, 
establishment, or other organization, or to make available 
records or statistics in his or her official custody, contained 
in a data collection request prepared and submitted under the 
authority of subsection (c)(1), shall be fined not more than 
$500; but if he or she willfully gives a false answer to such a 
question, he or she shall be fined not more than $10,000.
  (l) Prohibition on Certain Disclosures.--
          (1) In general.--An officer, employee or contractor 
        of the Bureau may not--
                  (A) make any disclosure in which the data 
                provided by an individual or organization under 
                subsection (c) can be identified;
                  (B) use the information provided under 
                subsection (c) for a nonstatistical purpose; or
                  (C) permit anyone other than an individual 
                authorized by the Director to examine any 
                individual report provided under subsection 
                (c).
          (2) Copies of reports.--
                  (A) In general.--No department, bureau, 
                agency, officer, or employee of the United 
                States (except the Director in carrying out 
                this section) may require, for any reason, a 
                copy of any report that has been filed under 
                subsection (c) with the Bureau or retained by 
                an individual respondent.
                  (B) Limitation on judicial proceedings.--A 
                copy of a report described in subparagraph (A) 
                that has been retained by an individual 
                respondent or filed with the Bureau or any of 
                its employees, contractors, or agents--
                          (i) shall be immune from legal 
                        process; and
                          (ii) shall not, without the consent 
                        of the individual concerned, be 
                        admitted as evidence or used for any 
                        purpose in any action, suit, or other 
                        judicial or administrative proceeding.
                  (C) Applicability.--This paragraph shall 
                apply only to reports that permit information 
                concerning an individual or organization to be 
                reasonably determined by direct or indirect 
                means.
          (3) Informing respondent of use of data.--In a case 
        in which the Bureau is authorized by statute to collect 
        data or information for a nonstatistical purpose, the 
        Director shall clearly distinguish the collection of 
        the data or information, by rule and on the collection 
        instrument, so as to inform a respondent that is 
        requested or required to supply the data or information 
        of the nonstatistical purpose.
  (m) Data Access.--The Director shall have access to 
transportation and transportation-related information in the 
possession of any Federal agency except information--
          (1) the disclosure of which to another Federal agency 
        is expressly prohibited by law; or
          (2) the disclosure of which the agency so requested 
        determines would significantly impair the discharge of 
        authorities and responsibilities which have been 
        delegated to, or vested by law, in such agency.
  (n) Advisory Council on Transportation Statistics.--
          (1) Establishment.--There is established in the 
        Bureau an Advisory Council on Transportation 
        Statistics.
          (2) Function.--It shall be the function of the 
        Advisory Council to advise the Director of the Bureau 
        on transportation statistics and analyses, including 
        whether or not the statistics and analysis disseminated 
        by the Bureau are of high quality and are based upon 
        the best available objective information.
          (3) Membership.--The Advisory Council shall be 
        composed of not more than 6 members appointed by the 
        Director who are not officers or employees of the 
        United States. Each member shall have expertise in 
        transportation data collection or analysis or 
        application; except that 1 member shall have expertise 
        in economics, 1 member shall have expertise in 
        statistics, and 1 member shall have expertise in 
        transportation safety. At least 1 member shall be a 
        senior official of a State department of 
        transportation.
          (4) Applicability of federal advisory committee 
        act.--The Federal Advisory Committee Act (5 App. 
        U.S.C.) shall apply to the advisory council established 
        under this section, except that section 14 of such Act 
        shall not apply to the Advisory Council.

           *       *       *       *       *       *       *


Sec. 113. Federal Motor Carrier Safety Administration

  (a) * * *

           *       *       *       *       *       *       *

  (j) Medical Review Board.--
          (1) Establishment and function.--The Administrator 
        shall establish a Medical Review Board as an advisory 
        committee to provide the Administration with medical 
        advice and recommendations on driver qualification 
        medical standards and guidelines, medical examiner 
        education, and medical research.
          (2) Composition.--The Medical Review Board shall 
        consist of 5 members appointed for a term not to exceed 
        3 years by the Secretary from medical institutions and 
        private medical practice. The membership shall reflect 
        expertise in a variety of medical specialties relevant 
        to the functions of the Administration.

           *       *       *       *       *       *       *


CHAPTER 3--GENERAL DUTIES AND POWERS

           *       *       *       *       *       *       *


SUBCHAPTER I--DUTIES OF THE SECRETARY OF TRANSPORTATION

           *       *       *       *       *       *       *


Sec. 303. Policy on lands, wildlife and waterfowl refuges, and historic 
                    sites

  (a) * * *

           *       *       *       *       *       *       *

  (d) Special Rules for Historic Sites.--
          (1) In general.--The requirements of this section are 
        deemed to be satisfied in any case in which the 
        treatment of a historic site has been agreed upon in 
        accordance with section 106 of the National Historic 
        Preservation Act (16 U.S.C. 470f) and the agreement 
        includes a determination that the program or project 
        will not have an adverse effect on the historic site.
          (2) Limitation on applicability.--This subsection 
        does not apply in any case in which the Advisory 
        Council on Historic Preservation determines, concurrent 
        with or prior to the conclusion of section 106 
        consultation, that allowing section 106 compliance to 
        satisfy the requirements of this section would be 
        inconsistent with the objectives of the National 
        Historic Preservation Act. The Council shall make such 
        a determination if petitioned to do so by a section 106 
        consulting party, unless the Council affirmatively 
        finds that the views of the requesting party have been 
        adequately considered and that section 106 compliance 
        will adequately protect historic properties.
          (3) Definitions.--In this subsection, the following 
        definitions apply:
                  (A) Section 106 consultation.--The term 
                ``section 106 consultation'' means the 
                consultation process required under section 106 
                of the National Historic Preservation Act (16 
                U.S.C. 470f).
                  (B) Adverse effect.--The term ``adverse 
                effect'' means altering, directly or 
                indirectly, any of the characteristics of a 
                historic property that qualify the property for 
                inclusion in the National Register in a manner 
                that would diminish the integrity of the 
                property's location, design, setting, 
                materials, workmanship, feeling, or 
                association.

           *       *       *       *       *       *       *


                     SUBCHAPTER III--MISCELLANEOUS

Sec. 351. Judicial review of actions in carrying out certain 
                    transferred duties and powers

  (a) Judicial Review.--An action of the Secretary of 
Transportation in carrying out a duty or power transferred 
under the Department of Transportation Act (Public Law 89-670, 
80 Stat. 931), or an action of the Administrator of the Federal 
Railroad Administration, the [Federal Highway Administration] 
Federal Motor Carrier Safety Administration, or the Federal 
Aviation Administration in carrying out a duty or power 
specifically assigned to the Administrator by that Act, may be 
reviewed judicially to the same extent and in the same way as 
if the action had been an action by the department, agency, or 
instrumentality of the United States Government carrying out 
the duty or power immediately before the transfer or 
assignment.

           *       *       *       *       *       *       *


Sec. 352. Authority to carry out certain transferred duties and powers

  In carrying out a duty or power transferred under the 
Department of Transportation Act (Public Law 89-670, 80 Stat. 
931), the Secretary of Transportation and the Administrators of 
the Federal Railroad Administration, the [Federal Highway 
Administration] Federal Motor Carrier Safety Administration, 
and the Federal Aviation Administration have the same authority 
that was vested in the department, agency, or instrumentality 
of the United States Government carrying out the duty or power 
immediately before the transfer. An action of the Secretary or 
Administrator in carrying out the duty or power has the same 
effect as when carried out by the department, agency, or 
instrumentality.

           *       *       *       *       *       *       *


CHAPTER 5--SPECIAL AUTHORITY

           *       *       *       *       *       *       *


SUBCHAPTER II--PENALTIES

           *       *       *       *       *       *       *


Sec. 521. Civil penalties

  (a) * * *
  [(b)(1)(A) If the Secretary]
  (b) Violations Relating to Commercial Motor Vehicle Safety 
Regulation and Operators.--
          (1) Notice.--
                  (A) In general.--If the Secretary finds that 
                a violation of a provision of subchapter III of 
                chapter 311 (except sections 31138 and 31139) 
                or section 31302, 31303, 31304, 31305(b), 
                31310(g)(1)(A), or 31502 of this title, or a 
                violation of a regulation issued under any of 
                those provisions, has occurred, the Secretary 
                shall issue a written notice to the violator. 
                Such notice shall describe with reasonable 
                particularity the nature of the violation found 
                and the provision which has been violated. The 
                notice shall specify the proposed civil 
                penalty, if any, and suggest actions which 
                might be taken in order to abate the violation. 
                The notice shall indicate that the violator 
                may, within 15 days of service, notify the 
                Secretary of the violator's intention to 
                contest the matter. In the event of a contested 
                notice, the Secretary shall afford such 
                violator an opportunity for a hearing, pursuant 
                to section 554 of title 5, following which the 
                Secretary shall issue an order affirming, 
                modifying, or vacating the notice of violation.

           *       *       *       *       *       *       *

  (2) Civil Penalty.--
                  (A) * * *
                  (B) Recordkeeping and reporting violations.--
                A person required to make a report to the 
                Secretary, answer a question, or make, prepare, 
                or preserve a record under section 504 of this 
                title or under any regulation issued by the 
                Secretary pursuant to subchapter III of chapter 
                311 (except sections 31138 and 31139) or 
                section 31502 of this title about 
                transportation by motor carrier, motor carrier 
                of migrant workers, or motor private carrier, 
                or an officer, agent, or employee of that 
                person--
                          (i) who does not make that report, 
                        does not specifically, completely, and 
                        truthfully answer that question in 30 
                        days from the date the Secretary 
                        requires the question to be answered, 
                        or does not make, prepare, or preserve 
                        that record in the form and manner 
                        prescribed by the Secretary, shall be 
                        liable to the United States for a civil 
                        penalty in an amount not to exceed 
                        [$500] $1,000 for each offense, and 
                        each day of the violation shall 
                        constitute a separate offense, except 
                        that the total of all civil penalties 
                        assessed against any violator for all 
                        offenses related to any single 
                        violation shall not exceed [$5,000] 
                        $10,000; or
                          (ii) who knowingly falsifies, 
                        destroys, mutilates, or changes a 
                        required report or record, knowingly 
                        files a false report with the 
                        Secretary, knowingly makes or causes or 
                        permits to be made a false or 
                        incomplete entry in that record about 
                        an operation or business fact or 
                        transaction, or knowingly makes, 
                        prepares, or preserves a record in 
                        violation of a regulation or order of 
                        the Secretary, shall be liable to the 
                        United States for a civil penalty in an 
                        amount not to exceed [$5,000] $10,000 
                        for each violation, if any such action 
                        can be shown to have misrepresented a 
                        fact that constitutes a violation other 
                        than a reporting or recordkeeping 
                        violation.

           *       *       *       *       *       *       *

                  (E) Copying of records and access to 
                equipment, lands, and buildings.--A person 
                subject to chapter 51 or part B of subtitle VI 
                who fails to allow the Secretary, or an 
                employee designated by the Secretary, promptly 
                upon demand to inspect and copy any record or 
                inspect and examine equipment, lands, 
                buildings, and other property in accordance 
                with section 504(c), 5121(c), or 14122(b) shall 
                be liable to the United States for a civil 
                penalty not to exceed $1,000 for each offense. 
                Each day the Secretary is denied the right to 
                inspect and copy any record or inspect and 
                examine equipment, lands, buildings, and other 
                property shall constitute a separate offense; 
                except that the total of all civil penalties 
                against any violator for all offenses related 
                to a single violation shall not exceed $10,000. 
                It shall be a defense to such penalty that the 
                records did not exist at the time of the 
                Secretary's request or could not be timely 
                produced without unreasonable expense or 
                effort. Nothing in this subparagraph shall be 
                construed as amending or superseding any remedy 
                available to the Secretary under section 
                502(d), section 507(c), or any other provision 
                of this title.

           *       *       *       *       *       *       *


             SUBTITLE III--GENERAL AND INTERMODAL PROGRAMS

Chapter                                                             Sec.
      TRANSPORTATION OF HAZARDOUS MATERIAL..........................5101
      TRANSPORTATION PLANNING AND PROJECT DELIVERY..................5201
5301[MASS] PUBLIC TRANSPORTATION......................................

           *       *       *       *       *       *       *


            CHAPTER 51--TRANSPORTATION OF HAZARDOUS MATERIAL

Sec.
5101.  Purpose.
     * * * * * * *
[5111.  Rail tank cars.]
     * * * * * * *
[5117.  Exemptions and exclusions.
[5118.  Inspectors.]
5117.  Special permits and exclusions.
     * * * * * * *
[5127.  Authorization of appropriations.]
5127.  Judicial review.
5128.  Authorization of appropriations.

Sec. 5101. Purpose

  [The purpose of this chapter is to provide adequate 
protection against the risks to life and property inherent in 
the transportation of hazardous material in commerce by 
improving the regulatory and enforcement authority of the 
Secretary of Transportation.] The purpose of this chapter is to 
protect against the risks to life, property, and the 
environment that are inherent in the transportation of 
hazardous material in intrastate, interstate, and foreign 
commerce.

Sec. 5102. Definitions

  In this chapter--
          (1) ``commerce'' means trade or transportation in the 
        jurisdiction of the United States--
                  (A) between a place in a State and a place 
                outside of the State; [or]
                  (B) that affects trade or transportation 
                between a place in a State and a place outside 
                of the State[.]; or
                  (C) on a United States registered aircraft.
          (2) ``hazardous material'' means a substance or 
        material the Secretary [of Transportation] designates 
        under section 5103(a) of this title.

           *       *       *       *       *       *       *

          (11) ``Secretary'' means the Secretary of 
        Transportation.
          [(11)] (12) ``State'' means--
                  (A) * * *

           *       *       *       *       *       *       *

          [(12)] (13) ``transports'' or ``transportation'' 
        means the movement of property and loading, unloading, 
        or storage incidental to the movement.
          [(13)] (14) ``United States'' means all of the 
        States.

Sec. 5103. General regulatory authority

  (a) Designating Material as Hazardous.--The Secretary [of 
Transportation] shall designate material (including an 
explosive, radioactive material, [etiologic agent,] infectious 
substance, flammable or combustible liquid or solid, [poison,] 
toxic, oxidizing or corrosive material, and compressed gas) or 
a group or class of material as hazardous when the Secretary 
decides that transporting the material in commerce in a 
particular amount and form may pose an unreasonable risk to 
health and safety or property.
  (b) Regulations for Safe Transportation.--(1) The Secretary 
shall prescribe regulations for the safe transportation, 
including security, of hazardous material in intrastate, 
interstate, and foreign commerce. The regulations--
          (A) apply to a person--
                  (i) [transporting] that transports hazardous 
                material in commerce;
                  (ii) [causing] that causes hazardous material 
                to be transported in commerce; [or]
                  [(iii) manufacturing, fabricating, marking, 
                maintaining, reconditioning, repairing, or 
                testing a packaging or a container that is 
                represented, marked, certified, or sold by that 
                person as qualified for use in transporting 
                hazardous material in commerce; and]
                  (iii) that designs, manufactures, fabricates, 
                inspects, marks, maintains, reconditions, 
                repairs, or tests a package or container that 
                is represented, marked, certified, or sold by 
                that person as qualified for use in 
                transporting hazardous material in commerce;
                  (iv) that prepares or accepts hazardous 
                material for transportation in commerce;
                  (v) that is responsible for the safety of 
                transporting hazardous material in commerce;
                  (vi) that certifies compliance with any 
                requirement of this chapter; or
                  (vii) that misrepresents whether the person 
                is engaged in any of the activities described 
                in this subparagraph; and

           *       *       *       *       *       *       *

  (2) A proceeding to prescribe the regulations must be 
conducted under section 553 of title 5, including an 
opportunity for informal oral presentation.
  [(C)] (3) Consultation.--When prescribing a security 
regulation or issuing a security order that affects the safety 
of the transportation of hazardous material, the Secretary of 
Homeland Security shall consult with the Secretary.

Sec. 5103a. Limitation on issuance of hazmat licenses

  (a) Limitation.--
          (1) Issuance of licenses.--A State may not issue to 
        any individual a license to operate a motor vehicle 
        transporting in commerce a hazardous material unless 
        the Secretary [of Transportation] has first determined, 
        upon receipt of a notification under subsection 
        (c)(1)(B), that the individual does not pose a security 
        risk warranting denial of the license.
          (2) Renewals included.--For the purposes of this 
        section, the term ``issue'', with respect to a license, 
        includes renewal of the license.
  (b) Hazardous Materials Described.--The limitation in 
subsection (a) shall apply with respect to--
          (1) any material defined as a hazardous material by 
        the Secretary [of Transportation]; and
          (2) any chemical or biological material or agent 
        determined by the Secretary of Health and Human 
        Services or the Attorney General as being a threat to 
        the national security of the United States.
  (c) Background Records Check.--
          (1) In general.--Upon the request of a State 
        regarding issuance of a license described in subsection 
        (a)(1) to an individual, the Attorney General--
                  (A) * * *
                  (B) upon completing the background records 
                check, shall notify the Secretary [of 
                Transportation] of the completion and results 
                of the background records check.
          (2) Scope.--A background records check regarding an 
        individual under [this subsection] paragraph (1) shall 
        consist of the following:
                  (A) * * *

           *       *       *       *       *       *       *

          (3) Standards.--The Secretary shall prescribe by 
        regulation uniform standards (including standards used 
        to disqualify applicants) governing--
                  (A) the collection by States of background 
                information authorized by paragraph (1);
                  (B) the collection, transmission, and review 
                of background information; and
                  (C) the notification of an applicant of the 
                results of the background check.
          (4) Fees.--A State may impose and collect an 
        appropriate fee to carry out paragraph (1) consistent 
        with section 5125(f).
          (5) Operators registered in mexico and canada.--No 
        operator of a commercial motor vehicle (as defined in 
        section 31101) licensed in Mexico or Canada may operate 
        in the United States a commercial motor vehicle 
        transporting hazardous material until the operator has 
        undergone a background records check similar to the 
        background records check required of operators of 
        commercial motor vehicles licensed in the United States 
        to transport hazardous materials.
  (d) Reporting Requirement.--Each State shall submit to the 
Secretary [of Transportation], at such time and in such manner 
as the Secretary may prescribe, the name, address, and such 
other information as the Secretary may require, concerning--
          (1) * * *

           *       *       *       *       *       *       *


Sec. 5104. Representation and tampering

  (a) Representation.--[A] No person may represent, by marking 
or otherwise, that--
          (1) a container, package, or packaging (or a 
        component of a container, package, or packaging) for 
        transporting hazardous material is safe, certified, or 
        complies with this chapter [only if the container, 
        package, or packaging (or a component of a container, 
        package, or packaging) meets] if it does not conform to 
        the requirements of each applicable regulation 
        prescribed under this chapter; or
          (2) hazardous material is present in a package, 
        container, motor vehicle, rail freight car, aircraft, 
        or vessel [only if] unless the material is present.
  (b) Tampering.--[A person may not] No person may alter, 
remove, destroy, or otherwise tamper unlawfully with--
          (1) * * *

           *       *       *       *       *       *       *


Sec. 5105. Transporting certain highly radioactive material

  (a) * * *
  (b) Transportation Safety Study.--In consultation with the 
Secretary of Energy, the Nuclear Regulatory Commission, 
potentially affected States and Indian tribes, representatives 
of the rail transportation industry, and shippers of high-level 
radioactive waste and spent nuclear fuel, the Secretary [of 
Transportation] shall conduct a study comparing the safety of 
using trains operated only to transport high-level radioactive 
waste and spent nuclear fuel with the safety of using other 
methods of rail transportation for transporting that waste and 
fuel. The Secretary [of Transportation] shall submit to 
Congress not later than November 16, 1991, a report on the 
results of the study.
  (c) Safe Rail Transportation Regulations.--Not later than 
November 16, 1992, after considering the results of the study 
conducted under subsection (b) of this section, the Secretary 
[of Transportation] shall prescribe amendments to existing 
regulations that the Secretary considers appropriate to provide 
for the safe rail transportation of high-level radioactive 
waste and spent nuclear fuel, including trains operated only 
for transporting high-level radioactive waste and spent nuclear 
fuel.
  [(d) Routes and Modes Study.--Not later than November 16, 
1991, the Secretary of Transportation shall conduct a study to 
decide which factors, if any, shippers and carriers should 
consider when selecting routes and modes that would enhance 
overall public safety related to the transportation of high-
level radioactive waste and spent nuclear fuel. The study shall 
include--
          [(1) notice and opportunity for public comment; and
          [(2) an assessment of the degree to which at least 
        the following affect the overall public safety of the 
        transportation:
                  [(A) population densities.
                  [(B) types and conditions of modal 
                infrastructures (including highways, railbeds, 
                and waterways).
                  [(C) quantities of high-level radioactive 
                waste and spent nuclear fuel.
                  [(D) emergency response capabilities.
                  [(E) exposure and other risk factors.
                  [(F) terrain considerations.
                  [(G) continuity of routes.
                  [(H) available alternative routes.
                  [(I) environmental impact factors.]
  [(e)] (d) Inspections of Motor Vehicles Transporting Certain 
Material.--(1) Not later than November 16, 1991, the Secretary 
[of Transportation] shall require by regulation that before 
each use of a motor vehicle to transport a highway-route-
controlled quantity of radioactive material in commerce, the 
vehicle shall be inspected and certified as complying with this 
chapter and applicable United States motor carrier safety laws 
and regulations. The Secretary may require that the inspection 
be carried out by an authorized United States Government 
inspector or according to appropriate State procedures.
  (2) The Secretary [of Transportation] may allow a person, 
transporting or causing to be transported a highway-route-
controlled quantity of radioactive material, to inspect the 
motor vehicle used to transport the material and to certify 
that the vehicle complies with this chapter. The inspector 
qualification requirements the Secretary prescribes for an 
individual inspecting a motor vehicle apply to an individual 
conducting an inspection under this paragraph.

Sec. 5106. Handling criteria

  The Secretary [of Transportation] may prescribe criteria for 
handling hazardous material, including--
          (1) * * *

           *       *       *       *       *       *       *


Sec. 5107. Hazmat employee training requirements and grants

  (a) Training Requirements.--The Secretary [of Transportation] 
shall prescribe by regulation requirements for training that a 
hazmat employer must give hazmat employees of the employer on 
the safe loading, unloading, handling, storing, and 
transporting of hazardous material and emergency preparedness 
for responding to an accident or incident involving the 
transportation of hazardous material. The regulations--
          (1) * * *

           *       *       *       *       *       *       *

  (b) Beginning and Completing Training.--A hazmat employer 
shall begin the training of hazmat employees of the employer 
not later than 6 months after the Secretary [of Transportation] 
prescribes the regulations under subsection (a) of this 
section. The training shall be completed within a reasonable 
period of time after--
          (1) * * *

           *       *       *       *       *       *       *

  (c) Certification of Training.--After completing the 
training, each hazmat employer shall certify, with 
documentation the Secretary [of Transportation] may require by 
regulation, that the hazmat employees of the employer have 
received training and have been tested on appropriate 
transportation areas of responsibility, including at least one 
of the following:
          (1) * * *

           *       *       *       *       *       *       *

  (d) Coordination of Training Requirements.--In consultation 
with the Administrator of the Environmental Protection Agency 
and the Secretary of Labor, the Secretary [of Transportation] 
shall ensure that the training requirements prescribed under 
this section do not conflict with or duplicate--
          (1) * * *

           *       *       *       *       *       *       *

  (f) Training of Certain Employees.--The Secretary shall 
ensure that maintenance-of-way employees and railroad signalmen 
receive general awareness/familiarization training and safety 
training pursuant to section 172.704 of title 49, Code of 
Federal Regulations.
  [(f)] (g) Relationship to Other Laws.--(1) Chapter 35 of 
title 44 does not apply to an activity of the Secretary [of 
Transportation] under subsections (a)-(d) of this section.
  (2) An action of the Secretary [of Transportation] under 
subsections (a)-(d) of this section and [sections 5106, 
5108(a)-(g)(1) and (h), and 5109 of this title] section 5106 is 
not an exercise, under section 4(b)(1) of the Occupational 
Safety and Health Act of 1970 (29 U.S.C. 653(b)(1)), of 
statutory authority to prescribe or enforce standards or 
regulations affecting occupational safety or health.
  [(g)] (h) Existing Effort.--No grant under subsection (e) 
shall supplant or replace existing employer-provided hazardous 
materials training efforts or obligations.

Sec. 5108. Registration

  (a) Persons Required to File.--(1) A person shall file a 
registration statement with the Secretary [of Transportation] 
under this subsection if the person is transporting or causing 
to be transported in commerce any of the following:
          (A) * * *
          (B) more than 25 kilograms of a [class A or B] 
        Division 1.1, 1.2, or 1.3 explosive in a motor vehicle, 
        rail car, or transport container.

           *       *       *       *       *       *       *

  (2) The Secretary [of Transportation] may require any of the 
following persons to file a registration statement with the 
Secretary under this subsection:
          (A) * * *
          (B) a person [manufacturing, fabricating, marking, 
        maintaining, reconditioning, repairing, or testing] 
        designing, manufacturing, fabricating, inspecting, 
        marking, maintaining, reconditioning, repairing, or 
        testing a package or container the person represents, 
        marks, certifies, or sells for use in transporting in 
        commerce hazardous material the Secretary designates.
          (3) A person required to file a registration 
        statement under this subsection may transport or cause 
        to be transported, or manufacture, fabricate, mark, 
        maintain, recondition, repair, or test a package or 
        container for use in transporting, hazardous material, 
        only if the person has a statement on file as required 
        by this subsection.

           *       *       *       *       *       *       *

  (b) Form, Contents, and Limitation on Filings.--(1) A 
registration statement under subsection (a) of this section 
shall be in the form and contain information the Secretary [of 
Transportation] requires by regulation. The Secretary may use 
existing forms of the Department of Transportation and the 
Environmental Protection Agency to carry out this subsection. 
The statement shall include--
          (A) * * *

           *       *       *       *       *       *       *

  (c) [Filing Deadlines and Amendments.--] Filing Schedule.--
(1) Each person required to file a registration statement under 
subsection (a) of this section [must file the first] shall file 
that statement [not later than March 31, 1992. The Secretary of 
Transportation may extend that date to September 30, 1992, for 
activities referred to in subsection (a)(1) of this section.] 
in accordance with regulations issued by the Secretary. A 
person shall renew the statement periodically consistent with 
regulations the Secretary prescribes, but not more than once 
each year and not less than once every 5 years.
  (2) The Secretary [of Transportation] shall decide by 
regulation when and under what circumstances a registration 
statement must be amended and the procedures to follow in 
amending the statement.
  (d) Simplifying the Registration Process.--The Secretary [of 
Transportation] may take necessary action to simplify the 
registration process under subsections (a)-(c) of this section 
and to minimize the number of applications, documents, and 
other information a person is required to file under this 
chapter and other laws of the United States.
  (e) Cooperation With Administrator.--The Administrator of the 
Environmental Protection Agency shall assist the Secretary [of 
Transportation] in carrying out subsections (a)-(g)(1) and (h) 
of this section by providing the Secretary with information the 
Secretary requests to carry out the objectives of subsections 
(a)-(g)(1) and (h).
  (f) Availability of Statements.--The Secretary [of 
Transportation] shall make a registration statement filed under 
subsection (a) of this section available for inspection by any 
person for a fee the Secretary establishes. However, this 
subsection does not require the release of information 
described in section 552(b) of title 5 or otherwise protected 
by law from disclosure to the public.
  (g) Fees.--(1) The Secretary [of Transportation may] shall 
establish, impose, and collect from a person required to file a 
registration statement under subsection (a) of this section a 
fee necessary to pay for the costs of the Secretary in 
processing the statement.
  (2)(A) In addition to a fee established under paragraph (1) 
of this subsection, the Secretary [of Transportation] shall 
establish and impose by regulation and collect an annual fee. 
Subject to subparagraph (B) of this paragraph, the fee shall be 
at least $250 but not more than [$5,000] $3,000 from each 
person required to file a registration statement under this 
section. The Secretary shall determine the amount of the fee 
under this paragraph on at least one of the following:
          (i) * * *

           *       *       *       *       *       *       *

  (B) The Secretary [of Transportation] shall adjust the amount 
being collected under this paragraph to reflect any unexpended 
balance in the account established under section 5116(i) of 
this title. However, the Secretary is not required to refund 
any fee collected under this paragraph.
  (C) The Secretary [of Transportation] shall transfer to the 
Secretary of the Treasury amounts the Secretary of 
Transportation collects under this paragraph for deposit in the 
account the Secretary of the Treasury establishes under section 
5116(i) of this title.
          (3) Fees on exempt persons.--Notwithstanding 
        subsection (a)(4), the Secretary shall impose and 
        collect a fee of $25 from a person who is required to 
        register under this section but who is otherwise 
        exempted by the Secretary from paying any fee under 
        this section. The fee shall be used to pay the cost of 
        the Secretary in processing registration statements 
        filed by such persons.
  (h) Maintaining Proof of Filing and Payment of Fees.--The 
Secretary [of Transportation] may prescribe regulations 
requiring a person required to file a registration statement 
under subsection (a) of this section to maintain proof of the 
filing and payment of fees imposed under subsection (g) of this 
section.
  (i) Relationship to Other Laws.--(1) Chapter 35 of title 44 
does not apply to an activity of the Secretary [of 
Transportation] under subsections (a)-(g)(1) and (h) of this 
section.
  (2)(A) * * *
  (B) Subsections (a)-(h) of this section do not apply to a 
department, agency, or instrumentality of the United States 
Government, an authority of a State, Indian tribe, or political 
subdivision of a State, or an employee of a department, agency, 
instrumentality, or authority carrying out official duties.

Sec. 5109. Motor carrier safety permits

  (a) Requirement.--A motor carrier may transport or cause to 
be transported by motor vehicle in commerce hazardous material 
only if the carrier holds a safety permit the Secretary [of 
Transportation] issues under this section authorizing the 
transportation and keeps a copy of the permit, or other proof 
of its existence, in the vehicle. The Secretary shall issue a 
permit if the Secretary finds the carrier is fit, willing, and 
able--
          (1) * * *

           *       *       *       *       *       *       *


Sec. 5110. Shipping papers and disclosure

  (a) Providing Shipping Papers.--Each person offering for 
transportation in commerce hazardous material to which the 
shipping paper requirements of the Secretary [of 
Transportation] apply shall provide to the carrier providing 
the transportation a shipping paper that makes the disclosures 
the Secretary prescribes [under subsection (b) of this section] 
by regulation.

           *       *       *       *       *       *       *

  (e) Retention of Papers.--After the hazardous material to 
which a shipping paper provided to a carrier under subsection 
(a) applies is no longer in transportation, the person who 
provided the shipping paper and the carrier required to 
maintain it under subsection (a) shall retain the paper or 
electronic image thereof for a period of [1 year] 2 years after 
the date of preparation of the shipping paper to be accessible 
through their respective principal places of business. Such 
person and carrier shall, upon request, make the shipping paper 
available to a Federal, State, or local government agency at 
reasonable times and locations.

[Sec. 5111. Rail tank cars

  [A rail tank car built before January 1, 1971, may be used to 
transport hazardous material in commerce only if the air brake 
equipment support attachments of the car comply with the 
standards for attachments contained in sections 179.100-16 and 
179.200-19 of title 49, Code of Federal Regulations, in effect 
on November 16, 1990.]

Sec. 5112. Highway routing of hazardous material

  (a) Application.--(1) This section applies to a motor vehicle 
only if the vehicle is transporting hazardous material in 
commerce for which placarding of the vehicle is required under 
regulations prescribed under this chapter. However, the 
Secretary [of Transportation] by regulation may extend 
application of this section or a standard prescribed under 
subsection (b) of this section to--
          (A) * * *

           *       *       *       *       *       *       *


Sec. 5113. Unsatisfactory safety rating

  [See section 31144.] A person who violates section 
31144(c)(3) shall be subject to the penalties in sections 5123 
and 5124.

Sec. 5114. Air transportation of ionizing radiation material

  (a) * * *
  (b) Procedures.--The Secretary [of Transportation] shall 
prescribe procedures for monitoring and enforcing regulations 
prescribed under this section.

           *       *       *       *       *       *       *


Sec. 5115. Training curriculum for the public sector

  (a) Development and Updating.--Not later than November 16, 
1992, in coordination with the Director of the Federal 
Emergency Management Agency, Chairman of the Nuclear Regulatory 
Commission, Administrator of the Environmental Protection 
Agency, Secretaries of Labor, Energy, and Health and Human 
Services, and Director of the National Institute of 
Environmental Health Sciences, and using the existing 
coordinating mechanisms of the national response team and, for 
radioactive material, the Federal Radiological Preparedness 
Coordinating Committee, the Secretary of Transportation shall 
develop and update periodically a curriculum consisting of a 
list of courses necessary to train public sector emergency 
response and preparedness teams. Only in developing the 
curriculum, the Secretary [of Transportation] shall consult 
with regional response teams established under the national 
contingency plan established under section 105 of the 
Comprehensive Environmental Response, Compensation, and 
Liability Act of 1980 (42 U.S.C. 9605), representatives of 
commissions established under section 301 of the Emergency 
Planning and Community Right-To-Know Act of 1986 (42 U.S.C. 
11001), persons (including governmental entities) that provide 
training for responding to accidents and incidents involving 
the transportation of hazardous material, and representatives 
of persons that respond to those accidents and incidents.
  (b) Requirements.--The curriculum developed under subsection 
(a) of this section--
          (1) shall include--
                  (A) * * *

           *       *       *       *       *       *       *

                  (C) appropriate emergency response training 
                and planning programs for public sector 
                employees developed [under other United States 
                Government grant programs, including those] 
                with Federal financial assistance, including 
                programs developed with grants made under 
                section 126(g) of the Superfund Amendments and 
                Reauthorization Act of 1986 (42 U.S.C. 9660a); 
                and

           *       *       *       *       *       *       *

  (c) Training on Complying With Legal Requirements.--A 
recommended basic course described in subsection (b)(1)(B) of 
this section shall provide the training necessary for public 
sector employees to comply with--
          (1) * * *

           *       *       *       *       *       *       *

          (3) standards related to emergency response training 
        prescribed by the National Fire Protection Association 
        and such other voluntary consensus standard-setting 
        organizations as the Secretary determines appropriate.
  (d) Distribution and Publication.--With the [national 
response team] National Response Team--
          (1) the [Director of the Federal Emergency Management 
        Agency] Secretary shall distribute the curriculum and 
        any updates to the curriculum to the regional response 
        teams and all committees and commissions established 
        under section 301 of the Emergency Planning and 
        Community Right-To-Know Act of 1986 (42 U.S.C. 11001); 
        and
          (2) the Secretary [of Transportation] may publish and 
        distribute a list of [programs that uses a course 
        developed under this section for training public sector 
        employees to respond to an accident or incident 
        involving the transportation of hazardous material] 
        programs and courses developed under this section.

Sec. 5116. Planning and training grants, monitoring, and review

  (a) Planning Grants.--(1) The Secretary [of Transportation] 
shall make grants to States and Indian tribes--
          (A) * * *

           *       *       *       *       *       *       *

  (2) The Secretary [of Transportation] may make a grant to a 
State or Indian tribe under paragraph (1) of this subsection in 
a fiscal year only if--
          (A) * * *

           *       *       *       *       *       *       *

  (b) Training Grants.--(1) The Secretary [of Transportation] 
shall make grants to States and Indian tribes to train public 
sector employees to respond to accidents and incidents 
involving hazardous material.
  (2) The Secretary [of Transportation] may make a grant under 
paragraph (1) of this subsection in a fiscal year--
          (A) * * *

           *       *       *       *       *       *       *

  (3) A grant under this subsection may be used--
          (A) * * *

           *       *       *       *       *       *       *

          (C) to make an agreement the Secretary [of 
        Transportation] approves authorizing a person 
        (including an authority of a State or political 
        subdivision of a State or Indian tribe) to provide the 
        training--
                  (i) * * *

           *       *       *       *       *       *       *

  (4) The Secretary [of Transportation] shall allocate amounts 
made available for grants under this subsection for a fiscal 
year among eligible States and Indian tribes based on the needs 
of the States and tribes for emergency response training. In 
making a decision about those needs, the Secretary shall 
consider--
          (A) * * *

           *       *       *       *       *       *       *

          (D) whether the fee is used only to carry out a 
        purpose related to transporting hazardous material; 
        [and]
          (E) the report submitted by the State to the 
        Secretary under section 5125(f)(2); and
          [(E)] (F) other factors the Secretary decides are 
        appropriate to carry out this subsection.
  (c) Compliance With Certain Law.--The Secretary [of 
Transportation] may make a grant to a State or Indian tribe 
under this section in a fiscal year only if the State or Indian 
tribe certifies that (1) the State or Indian tribe is complying 
with all applicable requirements of this chapter (including 
section 5125(f)), and (2) in the case of a State, the State 
complies with sections 301 and 303 of the Emergency Planning 
and Community Right-To-Know Act of 1986 (42 U.S.C. 11001, 
11003).
  (d) Applications.--A State or Indian tribe interested in 
receiving a grant under this section shall submit an 
application to the Secretary [of Transportation]. The 
application must be submitted at the time, and contain 
information, the Secretary requires by regulation to carry out 
the objectives of this section.
  (e) Government's Share of Costs.--A grant under this section 
is for 80 percent of the cost the State or Indian tribe incurs 
in the fiscal year to carry out the activity for which the 
grant is made. [Amounts of the State or tribe under subsections 
(a)(2)(A) and (b)(2)(A) of this section are not part of the 
non-Government share under this subsection.] Amounts received 
by the State or tribe under subsections (a)(1) and (b)(1) are 
not part of the non-Government share under this subsection.
  (f) Monitoring and Technical Assistance.--In coordination 
with the [Secretaries of Transportation and Energy,] Secretary 
of Energy, Director of the Federal Emergency Management Agency, 
Administrator of the Environmental Protection Agency, and 
Director of the National Institute of Environmental Health 
Sciences, the [Director of the Federal Emergency Management 
Agency shall] Secretary of Transportation shall monitor public 
sector emergency response planning and training for an accident 
or incident involving hazardous material. Considering the 
results of the monitoring, [the Secretaries, Administrator, and 
Directors each shall] the Secretary shall provide technical 
assistance to a State, political subdivision of a State, or 
Indian tribe for carrying out emergency response training and 
planning for an accident or incident involving hazardous 
material and shall coordinate the assistance using the existing 
coordinating mechanisms of the [national response team] 
National Response Team and, for radioactive material, the 
Federal Radiological Preparedness Coordinating Committee.
  (g) Delegation of Authority.--To minimize administrative 
costs and to coordinate [Government grant programs] Federal 
financial assistance for emergency response training and 
planning, the Secretary of Transportation may delegate to the 
Directors of the Federal Emergency Management Agency and 
National Institute of Environmental Health Sciences, Chairman 
of the Nuclear Regulatory Commission, Administrator of the 
Environmental Protection Agency, and Secretaries of Labor and 
Energy any of the following:
          (1) * * *

           *       *       *       *       *       *       *

  (i) [Annual Registration Fee Account and Its Uses.--] 
Hazardous Materials Emergency Preparedness Fund.--The Secretary 
of the Treasury shall establish an account in the Treasury, to 
be known as the ``Hazardous Materials Emergency Preparedness 
Fund'', into which the Secretary of the Treasury shall deposit 
amounts the Secretary of Transportation collects under [section 
5108(g)(2)(A) of this title and transfers to the Secretary of 
the Treasury under section 5108(g)(2)(C) of this title] this 
chapter. Without further appropriation, amounts in the account 
are available--
          (1) to make grants under this section;
          (2) to monitor and provide technical assistance under 
        subsection (f) of this section; [and]
          (3) to publish and distribute the Emergency Response 
        Guidebook; and
          [(3)] (4) to pay administrative costs of carrying out 
        this section and sections 5108(g)(2) and 5115 of this 
        title, except that not more than 10 percent of the 
        amounts made available from the account in a fiscal 
        year may be used to pay those costs.

           *       *       *       *       *       *       *

  (k) Reports.--[Not later than September 30, 1997, the 
Secretary shall submit to Congress a report on the allocation 
and uses of training grants authorized under subsection (b) for 
fiscal year 1993 through fiscal year 1996 and grants authorized 
under subsection (j) and section 5107 for fiscal years 1995 and 
1996. Such] The Secretary shall submit to Congress and make 
available to the public annually a report on the allocation and 
uses of planning grants under subsection (a), training grants 
under subsection (b), and grants under subsection (j) and under 
section 5107. The report shall identify the ultimate recipients 
of training grants and include a detailed accounting of all 
grant expenditures by grant recipients, the number of persons 
trained under the grant programs, and an evaluation of the 
efficacy of training programs carried out.

[Sec. 5117. Exemptions and exclusions]

Sec. 5117. Special permits and exclusions

  (a) Authority To [Exempt] Issue Special Permits.--(1) As 
provided under procedures prescribed by regulation, the 
Secretary [of Transportation] may issue [an exemption], modify, 
or terminate a special permit authorizing a variance from this 
chapter or a regulation prescribed under section 5103(b), 5104, 
5110, or 5112 of this title to a person [transporting, or 
causing to be transported, hazardous material] performing a 
function regulated by the Secretary under section 5103(b)(1) in 
a way that achieves a safety level--
          (A) * * *

           *       *       *       *       *       *       *

  [(2) An exemption under this subsection is effective for not 
more than 2 years and may be renewed on application to the 
Secretary.]
  (2) A special permit issued under this section shall be 
effective for an initial period of not more than 2 years and 
may be renewed by the Secretary upon application for an 
additional period of not more than 4 years or, in the case of a 
special permit relating to section 5112, for an additional 
period of not more than 2 years.
  (b) Applications.--When applying for [an exemption] a special 
permit or renewal of [an exemption] a special permit under this 
section, the person must provide a safety analysis prescribed 
by the Secretary that justifies [the exemption] the special 
permit. The Secretary shall publish in the Federal Register 
notice that an application for [an exemption] a special permit 
has been filed and shall give the public an opportunity to 
inspect the safety analysis and comment on the application. 
This subsection does not require the release of information 
protected by law from public disclosure.
  (c) Applications To Be Dealt With Promptly.--The Secretary 
shall issue or renew [the exemption] the special permit for 
which an application was filed or deny such issuance or renewal 
within 180 days after the first day of the month following the 
date of the filing of such application, or the Secretary shall 
publish a statement in the Federal Register of the reason why 
the Secretary's decision on [the exemption] the special permit 
is delayed, along with an estimate of the additional time 
necessary before the decision is made.
          * * * * * * *
  (e) Limitation on Authority.--Unless the Secretary decides 
that an emergency exists, [an exemption] a special permit or 
renewal granted under this section is the only way a person 
subject to this chapter may [be exempt] be granted a variance 
from this chapter.

[Sec. 5118. Inspectors

  [(a) General Requirement.--The Secretary of Transportation 
shall maintain the employment of 30 hazardous material safety 
inspectors more than the total number of safety inspectors 
authorized for the fiscal year that ended September 30, 1990, 
for the Federal Railroad Administration, the Federal Highway 
Administration, and the Research and Special Programs 
Administration.
  [(b) Allocation To Promote Safety in Transporting Radioactive 
Material.--(1) The Secretary shall ensure that 10 of the 30 
additional inspectors focus on promoting safety in transporting 
radioactive material, as defined by the Secretary, including 
inspecting--
          [(A) at the place of origin, shipments of high-level 
        radioactive waste or nuclear spent material (as those 
        terms are defined in section 5105(a) of this title); 
        and
          [(B) to the maximum extent practicable shipments of 
        radioactive material that are not high-level 
        radioactive waste or nuclear spent material.
  [(2) In carrying out their duties, those 10 additional 
inspectors shall cooperate to the greatest extent possible with 
safety inspectors of the Nuclear Regulatory Commission and 
appropriate State and local government officials.
  [(3) Those 10 additional inspectors shall be allocated as 
follows:
          [(A) one to the Research and Special Programs 
        Administration.
          [(B) 3 to the Federal Railroad Administration.
          [(C) 3 to the Federal Highway Administration.
          [(D) the other 3 among the administrations referred 
        to in clauses (A)-(C) of this paragraph as the 
        Secretary decides.
  [(c) Allocation of Other Inspectors.--The Secretary shall 
allocate, as the Secretary decides, the 20 additional 
inspectors authorized under this section and not allocated 
under subsection (b) of this section among the administrations 
referred to in subsection (b)(3)(A)-(C) of this section.

[Sec. 5119. Uniform forms and procedures

  [(a) Working Group.--The Secretary of Transportation shall 
establish a working group of State and local government 
officials, including representatives of the National Governors' 
Association, the National Association of Counties, the National 
League of Cities, the United States Conference of Mayors, and 
the National Conference of State Legislatures. The purposes of 
the working group are--
          [(1) to establish uniform forms and procedures for a 
        State--
                  [(A) to register persons that transport or 
                cause to be transported hazardous material by 
                motor vehicle in the State; and
                  [(B) to allow the transportation of hazardous 
                material in the State; and
          [(2) to decide whether to limit the filing of any 
        State registration and permit forms and collection of 
        filing fees to the State in which the person resides or 
        has its principal place of business.
  [(b) Consultation and Reporting.--The working group--
          [(1) shall consult with persons subject to 
        registration and permit requirements described in 
        subsection (a) of this section; and
          [(2) not later than November 16, 1993, shall submit 
        to the Secretary, the Committee on Commerce, Science, 
        and Transportation of the Senate, and the Committee on 
        Transportation and Infrastructure of the House of 
        Representatives a final report that contains--
                  [(A) a detailed statement of its findings and 
                conclusions; and
                  [(B) its joint recommendations on the matters 
                referred to in subsection (a) of this section.
  [(c) Regulations on Recommendations.--(1) The Secretary shall 
prescribe regulations to carry out the recommendations 
contained in the report submitted under subsection (b) of this 
section with which the Secretary agrees. The regulations shall 
be prescribed by the later of the last day of the 3-year period 
beginning on the date the working group submitted its report or 
the last day of the 90-day period beginning on the date on 
which at least 26 States adopt all of the recommendations of 
the report. A regulation prescribed under this subsection may 
not define or limit the amount of a fee a State may impose or 
collect.
  [(2) A regulation prescribed under this subsection takes 
effect one year after it is prescribed. The Secretary may 
extend the one-year period for an additional year for good 
cause. After a regulation is effective, a State may establish, 
maintain, or enforce a requirement related to the same subject 
matter only if the requirement is the same as the regulation.
  [(3) In consultation with the working group, the Secretary 
shall develop a procedure to eliminate differences in how 
States carry out a regulation prescribed under this subsection.
  [(d) Relationship to Other Laws.--The Federal Advisory 
Committee Act (5 App. U.S.C.) does not apply to the working 
group.]

Sec. 5119. Uniform forms and procedures

  (a) Establishment of Working Group.--The Secretary shall 
establish a working group of State and local government 
officials, including representatives of the National Governors' 
Association, the National Association of Counties, the National 
League of Cities, the United States Conference of Mayors, the 
National Conference of State Legislatures, and the Alliance for 
Uniform Hazmat Transportation Procedures.
  (b) Purpose of Working Group.--The purpose of the working 
group shall be to establish uniform forms and procedures for a 
State to register, and to issue permits to, persons that 
transport, or cause to be transported, hazardous material by 
motor vehicle in the State.
  (c) Limitation on Working Group.--The working group may not 
propose to define or limit the amount of a fee a State may 
impose or collect.
  (d) Procedure.--The Secretary shall develop a procedure by 
which the working group shall harmonize existing State 
registration and permit laws and regulations relating to the 
transportation of hazardous materials, with special attention 
paid to each State's unique safety concerns and interest in 
maintaining strong hazmat safety standards.
  (e) Report of Working Group.--Not later than 18 months after 
the date of enactment of this subsection, the working group 
shall transmit to the Secretary a report containing 
recommendations for establishing uniform forms and procedures 
described in subsection (b).
  (f) Regulations.--Not later than 2 years after the date of 
enactment of this subsection, the Secretary shall issue 
regulations to carry out such recommendations of the working 
group as the Secretary considers appropriate.
  (g) Limitation on Statutory Construction.--Nothing in this 
section shall be construed as prohibiting a State from 
voluntarily participating in a program of uniform forms and 
procedures until such time as the Secretary issues regulations 
under subsection (f).

Sec. 5120. International uniformity of standards and requirements

  (a) * * *
  (b) Consultation.--The Secretary [of Transportation] may 
consult with interested authorities to ensure that, to the 
extent practicable, regulations the Secretary prescribes under 
sections 5103(b), 5104, 5110, and 5112 of this title are 
consistent with standards and requirements related to 
transporting hazardous material that international authorities 
adopt.
  (c) Differences With International Standards and 
Requirements.--This section--
          (1) does not require the Secretary [of 
        Transportation] to prescribe a standard or requirement 
        identical to a standard or requirement adopted by an 
        international authority if the Secretary decides the 
        standard or requirement is unnecessary or unsafe; and
          (2) does not prohibit the Secretary from prescribing 
        a safety standard or requirement more stringent than a 
        standard or requirement [included in a standard] 
        adopted by an international authority if the Secretary 
        decides the standard or requirement is necessary in the 
        public interest.

Sec. 5121. Administrative

  (a) General Authority.--To carry out this chapter, the 
Secretary [of Transportation] may investigate, conduct tests, 
make reports, issue subpenas, conduct hearings, require the 
production of records and property, take depositions, and 
conduct research, development, demonstration, and training 
activities. [After] Except as provided in subsections (c) and 
(d), after notice and an opportunity for a hearing, the 
Secretary may issue an order requiring compliance with this 
chapter or a [regulation prescribed] regulation, order, special 
permit, or approval issued under this chapter.
  (b) Records, Reports, and Information.--A person subject to 
this chapter shall--
          (1) maintain records and property, make reports, and 
        provide information the Secretary by regulation or 
        order requires; and
          (2) make the records, property, reports, and 
        information available for inspection when the Secretary 
        [requests] undertakes an investigation or makes a 
        request.
  [(c) Inspection.--(1) The Secretary may authorize an officer, 
employee, or agent to inspect, at a reasonable time and in a 
reasonable way, records and property related to--
          [(A) manufacturing, fabricating, marking, 
        maintaining, reconditioning, repairing, testing, or 
        distributing a packaging or a container for use by a 
        person in transporting hazardous material in commerce; 
        or
          [(B) the transportation of hazardous material in 
        commerce.
  [(2) An officer, employee, or agent under this subsection 
shall display proper credentials when requested.]
  (c) Inspections and Investigations.--
          (1) In general.--A designated officer, employee, or 
        agent of the Secretary may--
                  (A) inspect and investigate, at a reasonable 
                time and in a reasonable manner, records and 
                property relating to a function described in 
                section 5103(b)(1);
                  (B) except in the case of packaging 
                immediately adjacent to its hazardous material 
                contents, gain access to, open, and examine a 
                package offered for, or in, transportation when 
                the officer, employee, or agent has an 
                objectively reasonable and articulable belief 
                that the package may contain a hazardous 
                material;
                  (C) remove from transportation a package or 
                related packages in a shipment offered for or 
                in transportation for which--
                          (i) such officer, employee, or agent 
                        has an objectively reasonable and 
                        articulable belief that the package may 
                        pose an imminent hazard; and
                          (ii) such officer, employee, or agent 
                        contemporaneously documents such belief 
                        in accordance with procedures set forth 
                        in guidance or regulations prescribed 
                        under subsection (e);
                  (D) gather information from the offeror, 
                carrier, packaging manufacturer or retester, or 
                other person responsible for the package, to 
                ascertain the nature and hazards of the 
                contents of the package;
                  (E) as necessary, under terms and conditions 
                specified by the Secretary, order the offeror, 
                carrier, packaging manufacturer or retester, or 
                other person responsible for the package to 
                have the package transported to, opened, and 
                the contents examined and analyzed, at a 
                facility appropriate for the conduct of such 
                examination and analysis; and
                  (F) when safety might otherwise be 
                compromised, authorize properly qualified 
                personnel to assist in the activities conducted 
                under this subsection.
          (2) Display of credentials.--An officer, employee, or 
        agent acting under this subsection shall display proper 
        credentials when requested.
          (3) Safe resumption of transportation.--In instances 
        when, as a result of an inspection or investigation 
        under this subsection, an imminent hazard is not found 
        to exist, the Secretary, in accordance with procedures 
        set forth in regulations prescribed under subsection 
        (e), shall assist--
                  (A) in the safe resumption of transportation 
                of the package concerned; or
                  (B) in any case in which the hazardous 
                material being transported is perishable, in 
                the safe and expeditious resumption of 
                transportation of the perishable hazardous 
                material.
  (d) Emergency Orders.--
          (1) In general.--If, upon inspection, investigation, 
        testing, or research, the Secretary determines that 
        either a violation of a provision of this chapter or a 
        regulation issued under this chapter, or an unsafe 
        condition or practice, constitutes or is causing an 
        imminent hazard, the Secretary may issue an emergency 
        order, without notice or the opportunity for a hearing, 
        but only to the extent necessary to abate the imminent 
        hazard.
          (2) Written orders.--An emergency order issued under 
        paragraph (1) shall be in writing, describe the 
        violation, condition, or practice that is causing the 
        imminent hazard, and state the restrictions, 
        prohibitions, recalls, or out-of-service orders issued. 
        The emergency order also shall describe the standards 
        and procedures for obtaining relief from the order.
          (3) Opportunity for review.--After issuing an 
        emergency order under paragraph (1), the Secretary 
        shall provide an opportunity for review of the order 
        under section 554 of title 5 if a petition for review 
        is filed within 20 calendar days after the date of 
        issuance of the order.
          (4) Expiration of effectiveness of emergency order.--
        If a petition for review is filed for an order and the 
        review is not completed by the end of the 30-day period 
        beginning on the date the petition was filed, the order 
        shall cease to be effective at the end of that period 
        unless the Secretary determines in writing that the 
        emergency situation still exists.
  (e) Guidance and Regulations.--
          (1) Guidance.--Not later than 60 days after the date 
        of enactment of the Transportation Equity Act: A Legacy 
        for Users, the Secretary shall issue interim guidance 
        to carry out subsections (c) and (d).
          (2) Regulations.--Not later than 1 year after such 
        date of enactment, the Secretary shall issue 
        regulations to carry out subsections (c) and (d) in 
        accordance with subchapter II of chapter 5 of title 5.
  [(d)] (f) Facility, Staff, and Reporting System on Risks, 
Emergencies, and Actions.--(1) * * *

           *       *       *       *       *       *       *

  [(e)] (g) Report.--The Secretary shall, once every 2 years, 
prepare and [submit to the President for transmittal to the 
Congress] transmit to the Committee on Transportation and 
Infrastructure of the House of Representatives and the 
Committee on Commerce, Science, and Transportation of the 
Senate a comprehensive report on the transportation of 
hazardous materials during the preceding 2 calendar years. The 
report shall include--
          (1) * * *
          * * * * * * *
          (4) an evaluation of the effectiveness of enforcement 
        activities relating to a function regulated by the 
        Secretary under section 5103(b)(1) and the degree of 
        voluntary compliance with regulations;
          * * * * * * *

Sec. 5122. Enforcement

  (a) General.--At the request of the Secretary [of 
Transportation], the Attorney General may bring a civil action 
in an appropriate district court of the United States to 
enforce this chapter or a regulation prescribed or order issued 
under this chapter. [The court may award appropriate relief, 
including punitive damages.] The court may award appropriate 
relief, including a temporary or permanent injunction, punitive 
damages, and assessment of civil penalties considering the same 
penalty amounts and factors as prescribed for the Secretary in 
an administrative case under section 5123.
  (b) Imminent Hazards.--[(1)] If the Secretary has reason to 
believe that an imminent hazard exists, the Secretary may bring 
a civil action in an appropriate district court of the United 
States--
          [(A)] (1) to suspend or restrict the transportation 
        of the hazardous material responsible for the hazard; 
        or
          [(B)] (2) to eliminate [or ameliorate the] or 
        mitigate the hazard.
  [(2) On request of the Secretary, the Attorney General shall 
bring an action under paragraph (1) of this subsection.]
          * * * * * * *

Sec. 5123. Civil penalty

  (a) Penalty.--(1) A person that knowingly violates this 
chapter or a [regulation prescribed or order issued] 
regulation, order, special permit, or approval issued under 
this chapter is liable to the United States Government for a 
civil penalty of at least $250 but not more than [$25,000] 
$50,000 for each violation. A person acts knowingly when--
          (A) * * *
          * * * * * * *
  (2) If the Secretary finds that a violation under paragraph 
(1) results in death, serious illness, or severe injury to any 
person or substantial destruction of property, the Secretary 
may increase the amount of the civil penalty for such violation 
to not more than $100,000.
  [(2)] (3) A separate violation occurs for each day the 
violation, committed by a person that transports or causes to 
be transported hazardous material, continues.
  (b) Hearing Requirement.--The Secretary [of Transportation] 
may find that a person has violated this chapter or a 
[regulation prescribed] regulation, order, special permit, or 
approval issued under this chapter only after notice and an 
opportunity for a hearing. The Secretary shall impose a penalty 
under this section by giving the person written notice of the 
amount of the penalty.
          * * * * * * *
  (d) Civil Actions To Collect.--The [Attorney General] 
Secretary may bring a civil action in an appropriate district 
court of the United States to collect a civil penalty under 
this section. In such action, the validity, amount, and 
appropriateness of the civil penalty shall not be subject to 
review.
  (e) Compromise.--The Secretary may compromise the amount of a 
civil penalty imposed under this section [before referral to 
the Attorney General].
          * * * * * * *

[Sec. 5124. Criminal penalty

  [A person knowingly violating section 5104(b) of this title 
or willfully violating this chapter or a regulation prescribed 
or order issued under this chapter shall be fined under title 
18, imprisoned for not more than 5 years, or both.]

Sec. 5124. Criminal penalty

  (a) In General.--A person knowingly violating section 5104(b) 
or willfully or recklessly violating this chapter or a 
regulation, order, special permit, or approval issued under 
this chapter shall be fined under title 18, imprisoned for not 
more than 5 years, or both; except that the maximum amount of 
imprisonment shall be 10 years in any case in which the 
violation involves the release of a hazardous material that 
results in death or bodily injury to any person.
  (b) Knowing Violations.--For purposes of this section--
          (1) a person acts knowingly when--
                  (A) the person has actual knowledge of the 
                facts giving rise to the violation; or
                  (B) a reasonable person acting in the 
                circumstances and exercising reasonable care 
                would have that knowledge; and
          (2) knowledge of the existence of a statutory 
        provision, or a regulation or a requirement required by 
        the Secretary, is not an element of an offense under 
        this section.
  (c) Willful Violations.--For purposes of this section, a 
person acts willfully when--
          (1) the person has knowledge of the facts giving rise 
        to the violation; and
          (2) the person has knowledge that the conduct was 
        unlawful.
  (d) Reckless Violations.--For purposes of this section, a 
person acts recklessly when the person displays a deliberate 
indifference or conscious disregard to the consequences of that 
person's conduct.

Sec. 5125. Preemption

  (a) [General.--] Dual Compliance and Obstacle Tests.--Except 
as provided in subsections (b), (c), and (e) of this section 
and unless authorized by another law of the United States, a 
requirement of a State, political subdivision of a State, or 
Indian tribe is preempted if--
          (1) * * *

           *       *       *       *       *       *       *

  (b) Substantive Differences.--(1) * * *
  (2) If the Secretary [of Transportation] prescribes or has 
prescribed under section 5103(b), 5104, 5110, or 5112 of this 
title or prior comparable provision of law a regulation or 
standard related to a subject referred to in paragraph (1) of 
this subsection, a State, political subdivision of a State, or 
Indian tribe may prescribe, issue, maintain, and enforce only a 
law, regulation, standard, or order about the subject that is 
substantively the same as a provision of this chapter or a 
regulation prescribed or order issued under this chapter. The 
Secretary shall decide on and publish in the Federal Register 
the effective date of section 5103(b) of this title for any 
regulation or standard about any of those subjects that the 
Secretary prescribes [after November 16, 1990]. However, the 
effective date may not be earlier than 90 days after the 
Secretary prescribes the regulation or standard nor later than 
the last day of the 2-year period beginning on the date the 
Secretary prescribes the regulation or standard.

           *       *       *       *       *       *       *

  (d) Decisions on Preemption.--(1) A person (including a 
State, political subdivision of a State, or Indian tribe) 
directly affected by a requirement of a State, political 
subdivision, or tribe may apply to the Secretary, as provided 
by regulations prescribed by the Secretary, for a decision on 
whether the requirement is preempted by subsection (a), (b)(1), 
or (c) of this section. The Secretary shall publish notice of 
the application in the Federal Register. The Secretary shall 
issue and publish in the Federal Register a decision on an 
application for a determination within 180 days after the date 
of the publication of the notice of having received such 
application, or the Secretary shall publish a statement in the 
Federal Register of the reason why the Secretary's decision on 
the application is delayed, along with an estimate of the 
additional time necessary before the decision is made. After 
notice is published, an applicant may not seek judicial relief 
on the same or substantially the same issue until the Secretary 
takes final action on the application or until 180 days after 
the application is filed, whichever occurs first.

           *       *       *       *       *       *       *

  [(f) Judicial Review.--A party to a proceeding under 
subsection (d) or (e) of this section may bring a civil action 
in an appropriate district court of the United States for 
judicial review of the decision of the Secretary not later than 
60 days after the decision becomes final.]
  [(g)] (f) Fees.--(1) * * *
  (2) A State or political subdivision thereof or Indian tribe 
that levies a fee in connection with the transportation of 
hazardous materials shall, upon the Secretary's request, report 
to the Secretary on--
          (A) the basis on which the fee is levied upon persons 
        involved in such transportation;
          (B) the purposes for which the revenues from the fee 
        are used;
          (C) the annual total amount of the revenues collected 
        from the fee; and
          (D) such other matters as the Secretary requests.
  (g) Independent Application of Each Standard.--Subsections 
(b), (c)(1), (d), and (g) are independent in their application 
to a requirement of any State, political subdivision of a 
State, or Indian tribe and shall be reviewed independently.

Sec. 5126. Relationship to other laws

  (a) Contracts.--A person under contract with a department, 
agency, or instrumentality of the United States Government that 
transports or causes to be transported hazardous material, or 
manufactures, fabricates, marks, maintains, reconditions, 
repairs, or tests a package or container that the person 
represents, marks, certifies, or sells as qualified for use in 
transporting hazardous material [must comply] shall comply with 
this chapter, regulations prescribed and orders issued under 
this chapter, and all other requirements of the Government, 
State and local governments, and Indian tribes (except a 
requirement preempted by a law of the United States) in the 
same way and to the same extent that any person engaging in 
that transportation, manufacturing, fabricating, marking, 
maintenance, reconditioning, repairing, or testing that is in 
or affects commerce must comply with the provision, regulation, 
order, or requirement.

           *       *       *       *       *       *       *


[Sec. 5127. Authorization of appropriations

  [(a) General.--Not more than $18,000,000 may be appropriated 
to the Secretary of Transportation for fiscal year 1993, 
$18,000,000 for fiscal year 1994, $18,540,000 for fiscal year 
1995, $19,100,000 for fiscal year 1996, and $19,670,000 for 
fiscal year 1997 to carry out this chapter (except sections 
5107(e), 5108(g)(2), 5113, 5115, 5116, and 5119).
  [(b) Training of Hazmat Employee Instructors.--(1) There is 
authorized to be appropriated to the Secretary $3,000,000 for 
each of fiscal years 1995, 1996, 1997, and 1998 to carry out 
section 5107(e).
          [(2)(A) There shall be available to the Secretary for 
        carrying out section 5116(j), from amounts in the 
        account established pursuant to section 5116(i), 
        $250,000 for each of fiscal years 1995, 1996, 1997, and 
        1998.
          [(B) In addition to amounts made available under 
        subparagraph (A), there is authorized to be 
        appropriated to the Secretary for carrying out section 
        5116(j) $1,000,000 for each of the fiscal years 1995, 
        1996, 1997, and 1998.
  [(c) Training Curriculum.--(1) Not more than $1,000,000 is 
available to the Secretary of Transportation from the account 
established under section 5116(i) of this title for each of the 
fiscal years ending September 30, 1993-1998, to carry out 
section 5115 of this title.
  [(2) The Secretary of Transportation may transfer to the 
Director of the Federal Emergency Management Agency from 
amounts available under this subsection amounts necessary to 
carry out section 5115(d)(1) of this title.
  [(d) Planning and Training.--(1) Not more than $5,000,000 is 
available to the Secretary of Transportation from the account 
established under section 5116(i) of this title for each of the 
fiscal years ending September 30, 1993-1998, to carry out 
section 5116(a) of this title.
  [(2) Not more than $7,800,000 is available to the Secretary 
of Transportation from the account established under section 
5116(i) of this title for each of the fiscal years ending 
September 30, 1993-1998, to carry out section 5116(b) of this 
title.
  [(3) Not more than the following amounts are available from 
the account established under section 5116(i) of this title for 
each of the fiscal years ending September 30, 1993-1998, to 
carry out section 5116(f) of this title:
          [(A) $750,000 each to the Secretaries of 
        Transportation and Energy, Administrator of the 
        Environmental Protection Agency, and Director of the 
        Federal Emergency Management Agency.
          [(B) $200,000 to the Director of the National 
        Institute of Environmental Health Sciences.
  [(e) Uniform Forms and Procedures.--Not more than $400,000 
may be appropriated to the Secretary of Transportation for the 
fiscal year ending September 30, 1993, to carry out section 
5119 of this title.
  [(f) Credits to Appropriations.--The Secretary of 
Transportation may credit to any appropriation to carry out 
this chapter an amount received from a State, Indian tribe, or 
other public authority or private entity for expenses the 
Secretary incurs in providing training to the State, authority, 
or entity.
  [(g) Availability of Amounts.--Amounts available under 
subsections (c)-(e) of this section remain available until 
expended.]

Sec. 5127. JUDICIAL REVIEW

  (a) Filing and Venue.--Except as provided in section 
20114(c), a person adversely affected or aggrieved by a final 
action of the Secretary under this chapter may petition for 
review of the final action in the United States Court of 
Appeals for the District of Columbia or in the court of appeals 
for the United States for the circuit in which the person 
resides or has its principal place of business. The petition 
must be filed not more than 60 days after the Secretary's 
action becomes final.
  (b) Judicial Procedures.--When a petition is filed under 
subsection (a), the clerk of the court immediately shall send a 
copy of the petition to the Secretary. The Secretary shall file 
with the court a record of any proceeding in which the final 
action was issued, as provided in section 2112 of title 28.
  (c) Authority of Court.--The court has exclusive 
jurisdiction, as provided in subchapter II of chapter 5 of 
title 5, to affirm or set aside any part of the Secretary's 
final action and may order the Secretary to conduct further 
proceedings. Findings of fact by the Secretary, if supported by 
substantial evidence, are conclusive.
  (d) Requirement for Prior Objection.--In reviewing a final 
action under this section, the court may consider an objection 
to a final action of the Secretary only if the objection was 
made in the course of a proceeding or review conducted by the 
Secretary or if there was a reasonable ground for not making 
the objection in the proceeding.

Sec. 5128. Authorizations of appropriations

  (a) In General.--In order to carry out this chapter (except 
sections 5107(e), 5108(g)(2), 5113, 5115, 5116, and 5119), the 
following amounts are authorized to be appropriated to the 
Secretary:
          (1) For fiscal year 2004, $24,981,000.
          (2) For fiscal year 2005, $27,000,000.
          (3) For fiscal year 2006, $29,000,000.
          (4) For fiscal year 2007, $30,000,000.
  (b) Emergency Preparedness Fund.--There shall be available to 
the Secretary, from the account established pursuant to section 
5116(i), for each of fiscal years 2004 through 2007 the 
following:
          (1) To carry out section 5115, $200,000.
          (2) To carry out section 5116(a), $8,000,000.
          (3) To carry out section 5116(b), $13,800,000.
          (4) To carry out section 5116(f), $150,000.
          (5) To publish and distribute the Emergency Response 
        Guidebook under section 5116(i)(3), $500,000.
          (6) To pay administrative expenses in accordance with 
        section 5116(i)(4), $150,000.
          (7) To carry out section 5116(j), $1,000,000.
  (c) Training of Hazmat Employee Instructors.--There shall be 
available to the Secretary, from the account established 
pursuant to section 5116(i), to carry out section 5107(e) 
$4,000,000 for each of fiscal years 2004 through 2007.
  (d) Uniform Forms and Procedures.--There is authorized to be 
appropriated to the Secretary for making grants to States 
participating in the working group established under section 
5119 $1,000,000 for each of the fiscal years 2005 and 2006.
  (e) Issuance of Hazmat Licenses.--There are authorized to be 
appropriated for the Department of Transportation such amounts 
as may be necessary to carry out section 5103a.
  (f) Credits to Appropriations.--The Secretary may credit to 
any appropriation to carry out this chapter an amount received 
from a State, Indian tribe, or other public authority or 
private entity for expenses the Secretary incurs in providing 
training to the State, authority, or entity.
  (g) Availability of Amounts.--Amounts made available by or 
under this section remain available until expended.

        CHAPTER 52--TRANSPORTATION PLANNING AND PROJECT DELIVERY

                     Subchapter A--General provisions

Sec.
5201. Definitions.

        Subchapter B--Transportation planning and project delivery

5211. Policy.
5212. Definitions.
5213. Metropolitan transportation planning.
5214. Statewide transportation planning.

        Subchapter C--Efficient environmental reviews for project 
                             decisionmaking

5251. Definitions and applicability.
5252. Project development procedures.

                    SUBCHAPTER A--GENERAL PROVISIONS

Sec. 5201. Definitions

  In this chapter, the following definitions apply:
          (1) Secretary.--The term ``Secretary'' means the 
        Secretary of Transportation.
          (2) State.--The term ``State'' means a State of the 
        United States, the District of Columbia, and Puerto 
        Rico.

       SUBCHAPTER B--TRANSPORTATION PLANNING AND PROJECT DELIVERY

Sec. 5211. Policy

  (a) In General.--It is in the national interest to--
          (1) encourage and promote the safe and efficient 
        management, operation, and development of surface 
        transportation systems that will serve the mobility 
        needs of people and freight and foster economic growth 
        and development within and between States and urbanized 
        areas, while minimizing transportation-related fuel 
        consumption and air pollution through metropolitan and 
        statewide transportation planning processes identified 
        in this chapter; and
          (2) encourage the continued improvement and evolution 
        of the metropolitan and statewide transportation 
        planning processes by metropolitan planning 
        organizations, State departments of transportation, and 
        public transit operators as guided by the planning 
        factors identified in sections 5213(f) and 5214(d).
  (b) Common Transportation Planning Program.--This subchapter 
provides a common transportation planning program to be 
administered by the Federal Highway Administration and the 
Federal Transit Administration.

Sec. 5212. Definitions

  (a) Applicability by Reference.--Unless otherwise specified 
in subsection (b), the definitions in section 101(a) of title 
23 and section 5302 are applicable to this subchapter.
  (b) Additional Definitions.--In this subchapter, the 
following definitions apply:
          (1) Metropolitan planning area.--The term 
        ``metropolitan planning area'' means the geographic 
        area determined by agreement between the metropolitan 
        planning organization for the area and the Governor 
        under section 5213(c).
          (2) Metropolitan planning organization.--The term 
        ``metropolitan planning organization'' means the policy 
        board of an organization created as a result of the 
        designation process in section 5213(b).
          (3) Nonmetropolitan area.--The term ``nonmetropolitan 
        area'' means a geographic area outside designated 
        metropolitan planning areas.
          (4) Nonmetropolitan local official.--The term 
        ``nonmetropolitan local official'' means elected and 
        appointed officials of general purpose local government 
        in a nonmetropolitan area with responsibility for 
        transportation.
          (5) TIP.--The term ``TIP'' means a transportation 
        improvement program developed by a metropolitan 
        planning organization under section 5213.
          (6) Urbanized area.--The term ``urbanized area'' 
        means a geographic area with a population of 50,000 or 
        more, as designated by the Bureau of the Census.

Sec. 5213. Metropolitan transportation planning

  (a) General Requirements.--
          (1) Development of long-range plans and TIPs.--To 
        accomplish the objectives in section 5211, metropolitan 
        planning organizations designated under subsection (b), 
        in cooperation with the State and public transportation 
        operators, shall develop long-range transportation 
        plans and transportation improvement programs for 
        metropolitan planning areas of the State.
          (2) Contents.--The plans and TIPs for each 
        metropolitan area shall provide for the development and 
        integrated management and operation of transportation 
        systems and facilities (including accessible pedestrian 
        walkways and bicycle transportation facilities) that 
        will function as an intermodal transportation system 
        for the metropolitan planning area and as an integral 
        part of an intermodal transportation system for the 
        State and the United States.
          (3) Process of development.--The process for 
        developing the plans and TIPs shall provide for 
        consideration of all modes of transportation and shall 
        be continuing, cooperative, and comprehensive to the 
        degree appropriate, based on the complexity of the 
        transportation problems to be addressed.
  (b) Designation of Metropolitan Planning Organizations.--
          (1) In general.--To carry out the transportation 
        planning process required by this section, a 
        metropolitan planning organization shall be designated 
        for each urbanized area with a population of more than 
        50,000 individuals--
                  (A) by agreement between the Governor and 
                units of general purpose local government that 
                together represent at least 75 percent of the 
                affected population (including the largest 
                incorporated city (based on population) as 
                named by the Bureau of the Census); or
                  (B) in accordance with procedures established 
                by applicable State or local law.
          (2) Structure.--Each metropolitan planning 
        organization that serves an area designated as a 
        transportation management area, when designated or 
        redesignated under this subsection, shall consist of--
                  (A) local elected officials;
                  (B) officials of public agencies that 
                administer or operate major modes of 
                transportation in the metropolitan area; and
                  (C) appropriate State officials.
          (3) Limitation on statutory construction.--Nothing in 
        this subsection shall be construed to interfere with 
        the authority, under any State law in effect on 
        December 18, 1991, of a public agency with multimodal 
        transportation responsibilities to--
                  (A) develop the plans and TIPs for adoption 
                by a metropolitan planning organization; and
                  (B) develop long-range capital plans, 
                coordinate transit services and projects, and 
                carry out other activities pursuant to State 
                law.
          (4) Continuing designation.--A designation of a 
        metropolitan planning organization under this 
        subsection or any other provision of law shall remain 
        in effect until the metropolitan planning organization 
        is redesignated under paragraph (5).
          (5) Redesignation procedures.--A metropolitan 
        planning organization may be redesignated by agreement 
        between the Governor and units of general purpose local 
        government that together represent at least 75 percent 
        of the existing planning area population (including the 
        largest incorporated city (based on population) as 
        named by the Bureau of the Census) as appropriate to 
        carry out this section.
          (6) Designation of more than 1 metropolitan planning 
        organization.--More than 1 metropolitan planning 
        organization may be designated within an existing 
        metropolitan planning area only if the Governor and the 
        existing metropolitan planning organization determine 
        that the size and complexity of the existing 
        metropolitan planning area make designation of more 
        than 1 metropolitan planning organization for the area 
        appropriate.
  (c) Metropolitan Planning Area Boundaries.--
          (1) In general.--For the purposes of this section, 
        the boundaries of a metropolitan planning area shall be 
        determined by agreement between the metropolitan 
        planning organization and the Governor.
          (2) Included area.--Each metropolitan planning area--
                  (A) shall encompass at least the existing 
                urbanized area and the contiguous area expected 
                to become urbanized within a 20-year forecast 
                period for the transportation plan; and
                  (B) may encompass the entire metropolitan 
                statistical area or consolidated metropolitan 
                statistical area, as defined by the Bureau of 
                the Census.
          (3) Identification of new urbanized areas within 
        existing planning area boundaries.--The designation by 
        the Bureau of the Census of new urbanized areas within 
        an existing metropolitan planning area shall not 
        require the redesignation of the existing metropolitan 
        planning organization.
          (4) Existing metropolitan planning areas in 
        nonattainment.--Notwithstanding paragraph (2), in the 
        case of an urbanized area designated as a nonattainment 
        area for ozone or carbon monoxide under the Clean Air 
        Act (42 U.S.C. 7401 et seq.) as of the date of 
        enactment of this paragraph, the boundaries of the 
        metropolitan planning area in existence as of such date 
        of enactment shall be retained; except that the 
        boundaries may be adjusted by agreement of the Governor 
        and affected metropolitan planning organizations in the 
        manner described in subsection (b)(5).
          (5) New metropolitan planning areas in 
        nonattainment.--In the case of an urbanized area 
        designated after the date of enactment of this 
        paragraph as a nonattainment area for ozone or carbon 
        monoxide, the boundaries of the metropolitan planning 
        area--
                  (A) shall be established in the manner 
                described in subsection (b)(1);
                  (B) shall encompass the areas described in 
                paragraph (2)(A);
                  (C) may encompass the areas described in 
                paragraph (2)(B); and
                  (D) may address any nonattainment area 
                identified under the Clean Air Act for ozone or 
                carbon monoxide.
  (d) Coordination in Multistate Areas.--
          (1) In general.--The Secretary shall encourage each 
        Governor with responsibility for a portion of a 
        multistate metropolitan area and the appropriate 
        metropolitan planning organizations to provide 
        coordinated transportation planning for the entire 
        metropolitan area.
          (2) Interstate compacts.--The consent of Congress is 
        granted to any 2 or more States--
                  (A) to enter into agreements or compacts, not 
                in conflict with any law of the United States, 
                for cooperative efforts and mutual assistance 
                in support of activities authorized under this 
                section as the activities pertain to interstate 
                areas and localities within the States; and
                  (B) to establish such agencies, joint or 
                otherwise, as the States may determine 
                desirable for making the agreements and 
                compacts effective.
          (3) Lake tahoe region.--
                  (A) Definition.--In this paragraph, the term 
                ``Lake Tahoe region'' has the meaning given the 
                term ``region'' in subdivision (a) of article 
                II of the Tahoe Regional Planning Compact, as 
                set forth in the first section of Public Law 
                96-551 (94 Stat. 3234).
                  (B) Transportation planning process.--The 
                Secretary shall--
                          (i) establish with the Federal land 
                        management agencies that have 
                        jurisdiction over land in the Lake 
                        Tahoe region a transportation planning 
                        process for the region; and
                          (ii) coordinate the transportation 
                        planning process with the planning 
                        process required of State and local 
                        governments under this section and 
                        section 5214.
                  (C) Interstate compact.--
                          (i) In general.--Subject to clause 
                        (ii), notwithstanding subsection (b), 
                        to carry out the transportation 
                        planning process required by this 
                        section, the consent of Congress is 
                        granted to the States of California and 
                        Nevada to designate a metropolitan 
                        planning organization for the Lake 
                        Tahoe region, by agreement between the 
                        Governors of the States of California 
                        and Nevada and units of general purpose 
                        local government that together 
                        represent at least 75 percent of the 
                        affected population (including the 
                        central city or cities (as defined by 
                        the Bureau of the Census)), or in 
                        accordance with procedures established 
                        by applicable State or local law.
                          (ii) Involvement of federal land 
                        management agencies.--
                                  (I) Representation.--The 
                                policy board of a metropolitan 
                                planning organization 
                                designated under clause (i) 
                                shall include a representative 
                                of each Federal land management 
                                agency that has jurisdiction 
                                over land in the Lake Tahoe 
                                region.
                                  (II) Funding.--In addition to 
                                funds made available to the 
                                metropolitan planning 
                                organization under other 
                                provisions of title 23 and 
                                under chapter 53, not more than 
                                1 percent of the funds 
                                allocated under section 202 of 
                                title 23 may be used to carry 
                                out the transportation planning 
                                process for the Lake Tahoe 
                                region under this subparagraph.
                  (D) Activities.--Highway projects included in 
                transportation plans developed under this 
                paragraph--
                          (i) shall be selected for funding in 
                        a manner that facilitates the 
                        participation of the Federal land 
                        management agencies that have 
                        jurisdiction over land in the Lake 
                        Tahoe region; and
                          (ii) may, in accordance with chapter 
                        2 of title 23, be funded using funds 
                        allocated under section 202 of title 
                        23.
  (e) MPO Consultation in Plan and TIP Coordination.--
          (1) Nonattainment areas.--If more than 1 metropolitan 
        planning organization has authority within a 
        metropolitan area or an area which is designated as a 
        nonattainment area for ozone or carbon monoxide under 
        the Clean Air Act, each metropolitan planning 
        organization shall consult with the other metropolitan 
        planning organizations designated for such area and the 
        State in the coordination of plans and TIPs required by 
        this section.
          (2) Transportation improvements located in multiple 
        MPOS.--If a transportation improvement funded from the 
        Highway Trust Fund or authorized under chapter 53 is 
        located within the boundaries of more than 1 
        metropolitan planning area, the metropolitan planning 
        organizations shall coordinate plans and TIPs regarding 
        the transportation improvement.
          (3) Relationship with other planning officials.--The 
        Secretary shall encourage each metropolitan planning 
        organization to consult with those officials 
        responsible for other types of planning activities that 
        are affected by transportation in the area (including 
        State and local planned growth, economic development, 
        environmental protection, airport operations, and 
        freight movements) or to coordinate its planning 
        process, to the maximum extent practicable, with such 
        planning activities. Under the metropolitan planning 
        process, transportation plans and TIPs shall be 
        developed with due consideration of other related 
        planning activities within the metropolitan area, and 
        the process shall provide for the design and delivery 
        of transportation services within the metropolitan area 
        that are provided by--
                  (A) recipients of assistance under chapter 
                53;
                  (B) governmental agencies and nonprofit 
                organizations (including representatives of the 
                agencies and organizations) that receive 
                Federal assistance from a source other than the 
                Department of Transportation to provide 
                nonemergency transportation services; and
                  (C) recipients of assistance under section 
                204 of title 23.
  (f) Scope of Planning Process.--
          (1) In general.--The goals and objectives developed 
        through the metropolitan planning process for a 
        metropolitan planning area under this section shall 
        address the following factors as they relate to the 
        performance of the metropolitan area transportation 
        systems:
                  (A) Support of the economic vitality of the 
                metropolitan area, especially by enabling 
                global competitiveness, productivity, and 
                efficiency.
                  (B) Increases in the safety and security of 
                the transportation system for motorized and 
                nonmotorized users.
                  (C) Increases in the accessibility and 
                mobility of people and for freight.
                  (D) Protection and enhancement of the 
                environment, promotion of energy conservation, 
                improvement of the quality of life, and 
                promotion of consistency between transportation 
                improvements and State and local planned growth 
                and economic development patterns.
                  (E) Enhancement of the integration and 
                connectivity of the transportation system, 
                across and between modes, for people and 
                freight.
                  (F) Promotion of efficient system management 
                and operation.
                  (G) Emphasis on the preservation of the 
                existing transportation system.
          (2) Failure to consider factors.--The failure to 
        consider any factor specified in paragraph (1) shall 
        not be reviewable by any court under title 23 or this 
        title, subchapter II of chapter 5 of title 5, or 
        chapter 7 of title 5 in any matter affecting a 
        transportation plan, a TIP, a project or strategy, or 
        the certification of a planning process.
  (g) Development of Transportation Plan.--
          (1) In general.--Each metropolitan planning 
        organization shall prepare, and update no less 
        frequently than every 4 years, a transportation plan 
        for its metropolitan planning area in accordance with 
        the requirements of this subsection.
          (2) Transportation plan.--A transportation plan under 
        this section shall be in a form that the Secretary 
        determines to be appropriate and shall contain, at a 
        minimum, the following:
                  (A) An identification of transportation 
                facilities (including major roadways, transit, 
                multimodal and intermodal facilities, and 
                intermodal connectors) that should function as 
                an integrated metropolitan transportation 
                system, giving emphasis to those facilities 
                that serve important national and regional 
                transportation functions. In formulating the 
                transportation plan, the metropolitan planning 
                organization shall consider factors described 
                in subsection (f) as such factors relate to a 
                20-year forecast period.
                  (B) A financial plan that demonstrates how 
                the adopted transportation plan can be 
                implemented, indicates resources from public 
                and private sources that are reasonably 
                expected to be made available to carry out the 
                plan, and recommends any additional financing 
                strategies for needed projects and programs. 
                The financial plan may include, for 
                illustrative purposes, additional projects that 
                would be included in the adopted transportation 
                plan if reasonable additional resources beyond 
                those identified in the financial plan were 
                available. For the purpose of developing the 
                transportation plan, the metropolitan planning 
                organization, transit operator, and State shall 
                cooperatively develop estimates of funds that 
                will be available to support plan 
                implementation.
                  (C) Operational and management strategies to 
                improve the performance of existing 
                transportation facilities to relieve vehicular 
                congestion and maximize the safety and mobility 
                of people and goods.
                  (D) Capital investment and other strategies 
                to preserve the existing and projected future 
                metropolitan transportation infrastructure and 
                provide for multimodal capacity increases based 
                on regional priorities and needs.
                  (E) Proposed transportation and transit 
                enhancement activities.
          (3) Coordination with clean air act agencies.--In 
        metropolitan areas which are in nonattainment for ozone 
        or carbon monoxide under the Clean Air Act, the 
        metropolitan planning organization shall coordinate the 
        development of a transportation plan with the process 
        for development of the transportation control measures 
        of the State implementation plan required by the Clean 
        Air Act.
          (4) Participation by interested parties.--Before 
        approving a transportation plan, each metropolitan 
        planning organization shall provide citizens, affected 
        public agencies, representatives of public 
        transportation employees, freight shippers, providers 
        of freight transportation services, private providers 
        of transportation, representatives of users of public 
        transportation, representatives of users of pedestrian 
        walkways and bicycle transportation facilities, 
        representatives of the disabled, and other interested 
        parties with a reasonable opportunity to comment on the 
        transportation plan, in a manner that the Secretary 
        deems appropriate.
          (5) Publication.--A transportation plan involving 
        Federal participation shall be published or otherwise 
        made readily available by the metropolitan planning 
        organization for public review and submitted for 
        information purposes to the Governor at such times and 
        in such manner as the Secretary shall establish.
          (6) Selection of projects from illustrative list.--
        Notwithstanding paragraph (2)(B), a State or 
        metropolitan planning organization shall not be 
        required to select any project from the illustrative 
        list of additional projects included in the financial 
        plan under paragraph (2)(B).
  (h) Metropolitan TIP.--
          (1) Development.--
                  (A) In general.--In cooperation with the 
                State and any affected public transportation 
                operator, the metropolitan planning 
                organization designated for a metropolitan area 
                shall develop a TIP for the area for which the 
                organization is designated.
                  (B) Opportunity for comment.--In developing 
                the TIP, the metropolitan planning 
                organization, in cooperation with the State and 
                any affected public transportation operator, 
                shall provide citizens, affected public 
                agencies, representatives of public 
                transportation employees, freight shippers, 
                providers of freight transportation services, 
                private providers of transportation, 
                representatives of users of public 
                transportation, representatives of the 
                disabled, representatives of users of 
                pedestrian walkways and bicycle facilities, and 
                other interested parties with a reasonable 
                opportunity to comment on the proposed TIP.
                  (C) Funding estimates.--For the purpose of 
                developing the TIP, the metropolitan planning 
                organization, public transportation agency, and 
                State shall cooperatively develop estimates of 
                funds that are reasonably expected to be 
                available to support program implementation.
                  (D) Updating and approval.--The TIP shall be 
                updated at least once every 4 years and shall 
                be approved by the metropolitan planning 
                organization and the Governor.
          (2) Contents.--
                  (A) Priority list.--The TIP shall include a 
                priority list of proposed federally supported 
                projects and strategies to be carried out 
                within each 4-year period after the initial 
                adoption of the TIP.
                  (B) Financial plan.--The TIP shall include a 
                financial plan that--
                          (i) demonstrates how the TIP can be 
                        implemented;
                          (ii) indicates resources from public 
                        and private sources that are reasonably 
                        expected to be available to carry out 
                        the program;
                          (iii) identifies innovative financing 
                        techniques to finance projects, 
                        programs, and strategies; and
                          (iv) may include, for illustrative 
                        purposes, additional projects that 
                        would be included in the approved TIP 
                        if reasonable additional resources 
                        beyond those identified in the 
                        financial plan were available.
                  (C) Descriptions.--Each project in the TIP 
                shall include sufficient descriptive material 
                (such as type of work, termini, length, and 
                other similar factors) to identify the project 
                or phase of the project.
                  (D) Congestion relief activities.--The TIP 
                shall include a listing of congestion relief 
                activities to be carried out to meet the 
                requirements of section 139 of title 23, 
                categorized as either under one or under three 
                congestion relief activities.
          (3) Included projects.--
                  (A) Projects under title 23 and chapter 53.--
                A TIP developed under this subsection for a 
                metropolitan area shall include the projects 
                within the area that are proposed for funding 
                under chapter 1 of title 23 and chapter 53.
                  (B) Projects under chapter 2 of title 23.--
                All projects proposed for funding under chapter 
                2 of title 23 shall be identified individually 
                in the TIP.
                  (C) Consistency with long-range 
                transportation plan.--Each project shall be 
                consistent with the long-range transportation 
                plan developed under subsection (g) for the 
                area.
                  (D) Requirement of anticipated full 
                funding.--The program shall include a project, 
                or an identified phase of a project, only if 
                full funding can reasonably be anticipated to 
                be available for the project within the time 
                period contemplated for completion of the 
                project.
          (4) Notice and comment.--Before approving a TIP, a 
        metropolitan planning organization, in cooperation with 
        the State and any affected public transportation 
        operator, shall provide citizens, affected public 
        agencies, representatives of public transportation 
        employees, freight shippers, providers of freight 
        transportation services, private providers of 
        transportation, representatives of users of public 
        transportation, representatives of the disabled, 
        representatives of users of pedestrian walkways and 
        bicycle facilities, and other interested parties with 
        reasonable notice of and an opportunity to comment on 
        the proposed program.
          (5) Selection of projects.--
                  (A) In general.--Except as otherwise provided 
                in subsection (i)(4) and in addition to the TIP 
                development required under paragraph (1), the 
                selection of federally funded projects in 
                metropolitan areas shall be carried out, from 
                the approved TIP--
                          (i) by--
                                  (I) in the case of projects 
                                under title 23, the State; and
                                  (II) in the case of projects 
                                under chapter 53, the 
                                designated recipients of public 
                                transportation funding; and
                          (ii) in cooperation with the 
                        metropolitan planning organization.
                  (B) Modifications to project priority.--
                Notwithstanding any other provision of law, 
                action by the Secretary shall not be required 
                to advance a project included in the approved 
                TIP in place of another project in the program.
          (6) Selection of projects from illustrative list.--
                  (A) No required selection.--Notwithstanding 
                paragraph (2)(B)(iv), a State or metropolitan 
                planning organization shall not be required to 
                select any project from the illustrative list 
                of additional projects included in the 
                financial plan under paragraph (2)(B)(iv).
                  (B) Required action by the secretary.--Action 
                by the Secretary shall be required for a State 
                or metropolitan planning organization to select 
                any project from the illustrative list of 
                additional projects included in the financial 
                plan under paragraph (2)(B)(iv) for inclusion 
                in an approved TIP.
          (7) Publication.--
                  (A) Publication of TIPs.--A TIP involving 
                Federal participation shall be published or 
                otherwise made readily available by the 
                metropolitan planning organization for public 
                review.
                  (B) Publication of annual listings of 
                projects.--An annual listing of projects for 
                which Federal funds have been obligated in the 
                preceding year shall be published or otherwise 
                made available by the metropolitan planning 
                organization for public review. The listing 
                shall be consistent with the categories 
                identified in the TIP.
  (i) Transportation Management Areas.--
          (1) Identification and designation.--
                  (A) Required identification.--The Secretary 
                shall identify as a transportation management 
                area each urbanized area (as defined by the 
                Bureau of the Census) with a population of over 
                200,000 individuals.
                  (B) Designations on request.--The Secretary 
                shall designate any additional area as a 
                transportation management area on the request 
                of the Governor and the metropolitan planning 
                organization designated for the area.
          (2) Transportation plans.--In a metropolitan planning 
        area serving a transportation management area, 
        transportation plans shall be based on a continuing and 
        comprehensive transportation planning process carried 
        out by the metropolitan planning organization in 
        cooperation with the State and public transportation 
        operators.
          (3) Congestion management process.--Within a 
        metropolitan planning area serving a transportation 
        management area, the transportation planning process 
        under this section shall address congestion management 
        through a process that provides for effective 
        management and operation, based on a cooperatively 
        developed and implemented metropolitan-wide strategy, 
        of new and existing transportation facilities eligible 
        for funding under title 23 and chapter 53 through the 
        use of travel demand reduction and operational 
        management strategies and shall identify a sufficient 
        number of congestion relief activities under section 
        139 of title 23 to meet the requirements of such 
        section. The Secretary shall establish an appropriate 
        phase-in schedule for compliance with the requirements 
        of this section but no sooner than one year after the 
        identification of a transportation management area.
          (4) Selection of projects.--
                  (A) In general.--All federally funded 
                projects carried out within the boundaries of a 
                metropolitan planning area serving a 
                transportation management area under title 23 
                (excluding projects carried out on the National 
                Highway System and projects carried out under 
                the bridge program or the Interstate 
                maintenance program) or under chapter 53 shall 
                be selected for implementation from the 
                approved TIP by the metropolitan planning 
                organization designated for the area in 
                consultation with the State and any affected 
                public transportation operator.
                  (B) National highway system projects.--
                Projects, carried out within the boundaries of 
                a metropolitan planning area serving a 
                transportation management area, on the National 
                Highway System and projects carried out within 
                such boundaries under the bridge program or the 
                Interstate maintenance program under title 23 
                shall be selected for implementation from the 
                approved TIP by the State in cooperation with 
                the metropolitan planning organization 
                designated for the area.
          (5) Certification.--
                  (A) In general.--The Secretary shall--
                          (i) ensure that the metropolitan 
                        planning process of a metropolitan 
                        planning organization serving a 
                        transportation management area is being 
                        carried out in accordance with 
                        applicable provisions of Federal law; 
                        and
                          (ii) subject to subparagraph (B), 
                        certify, not less often than once every 
                        4 years, that the requirements of this 
                        paragraph are met with respect to the 
                        metropolitan planning process.
                  (B) Requirements for certification.--The 
                Secretary may make the certification under 
                subparagraph (A) if--
                          (i) the transportation planning 
                        process complies with the requirements 
                        of this section and other applicable 
                        requirements of Federal law; and
                          (ii) there is a TIP for the 
                        metropolitan planning area that has 
                        been approved by the metropolitan 
                        planning organization and the Governor.
                  (C) Effect of failure to certify.--
                          (i) Withholding of project funds.--If 
                        a metropolitan planning process of a 
                        metropolitan planning organization 
                        serving a transportation management 
                        area is not certified, the Secretary 
                        may withhold up to 20 percent of the 
                        funds attributable to the metropolitan 
                        planning area of the metropolitan 
                        planning organization for projects 
                        funded under title 23 and chapter 53.
                          (ii) Restoration of withheld funds.--
                        The withheld funds shall be restored to 
                        the metropolitan planning area at such 
                        time as the metropolitan planning 
                        process is certified by the Secretary.
                  (D) Review of certification.--In making 
                certification determinations under this 
                paragraph, the Secretary shall provide for 
                public involvement appropriate to the 
                metropolitan area under review.
  (j) Abbreviated Plans for Certain Areas.--
          (1) In general.--Subject to paragraph (2), in the 
        case of a metropolitan area not designated as a 
        transportation management area under this section, the 
        Secretary may provide for the development of an 
        abbreviated transportation plan and TIP for the 
        metropolitan planning area that the Secretary 
        determines is appropriate to achieve the purposes of 
        this section, taking into account the complexity of 
        transportation problems in the area.
          (2) Nonattainment areas.--The Secretary may not 
        permit abbreviated plans or TIPs for a metropolitan 
        area that is in nonattainment for ozone or carbon 
        monoxide under the Clean Air Act (42 U.S.C. 7401 et 
        seq.).
  (k) Additional Requirements for Certain Nonattainment 
Areas.--
          (1) In general.--Notwithstanding any other provisions 
        of title 23 or chapter 53, for transportation 
        management areas classified as nonattainment for ozone 
        or carbon monoxide pursuant to the Clean Air Act, 
        Federal funds may not be advanced in such area for any 
        highway project that will result in a significant 
        increase in the carrying capacity for single-occupant 
        vehicles unless the project is addressed through a 
        congestion management process.
          (2) Applicability.--This subsection applies to a 
        nonattainment area within the metropolitan planning 
        area boundaries determined under subsection (c).
  (l) Limitation on Statutory Construction.--Nothing in this 
section shall be construed to confer on a metropolitan planning 
organization the authority to impose legal requirements on any 
transportation facility, provider, or project not eligible 
under title 23 or chapter 53.
  (m) Funding.--
          (1) Set-asides.--Funds set aside under section 104(f) 
        of title 23 or section 5305(h) shall be available to 
        carry out this section.
          (2) Other funding.--Funds made available under 
        section 5338(c) shall be available to carry out this 
        section.
  (n) Continuation of Current Review Practice.--Since plans and 
TIPs described in this section are subject to a reasonable 
opportunity for public comment, individual projects included in 
plans and TIPs are subject to review under the National 
Environmental Policy Act of 1969 (42 U.S.C. 4321 et seq.), and 
decisions by the Secretary concerning plans and TIPs described 
in this section have not been reviewed under such Act as of 
January 1, 1997, any decision by the Secretary concerning a 
plan or TIP described in this section shall not be considered 
to be a Federal action subject to review under such Act.

Sec. 5214. Statewide transportation planning

  (a) General Requirements.--
          (1) Development of plans and programs.--To accomplish 
        the objectives stated in section 5211, each State shall 
        develop a statewide transportation plan and a statewide 
        transportation improvement program for all areas of the 
        State subject to section 5213.
          (2) Contents.--The statewide transportation plan and 
        the transportation improvement program developed for 
        each State shall provide for the development and 
        integrated management and operation of transportation 
        systems and facilities (including accessible pedestrian 
        walkways and bicycle transportation facilities) that 
        will function as an intermodal transportation system 
        for the State and an integral part of an intermodal 
        transportation system for the United States.
          (3) Process of development.--The process for 
        developing the statewide plan and the transportation 
        improvement program shall provide for consideration of 
        all modes of transportation and the policies stated in 
        section 5211, and shall be continuing, cooperative, and 
        comprehensive to the degree appropriate, based on the 
        complexity of the transportation problems to be 
        addressed.
  (b) Coordination With Metropolitan Planning; State 
Implementation Plan.--A State shall--
          (1) coordinate planning carried out under this 
        section with the transportation planning activities 
        carried out under section 5213 for metropolitan areas 
        of the State and with statewide trade and economic 
        development planning activities and related multistate 
        planning efforts; and
          (2) develop the transportation portion of the State 
        implementation plan as required by the Clean Air Act 
        (42 U.S.C. 7401 et seq.).
  (c) Interstate Agreements.--The consent of Congress is 
granted to 2 or more States entering into agreements or 
compacts, not in conflict with any law of the United States, 
for cooperative efforts and mutual assistance in support of 
activities authorized under this section related to interstate 
areas and localities in the States and establishing authorities 
the States consider desirable for making the agreements and 
compacts effective.
  (d) Scope of Planning Process.--
          (1) In general.--Each State shall carry out a 
        statewide transportation planning process that provides 
        for consideration and implementation of projects, 
        strategies, and services that will--
                  (A) support the economic vitality of the 
                United States, the States, nonmetropolitan 
                areas, and metropolitan areas, especially by 
                enabling global competitiveness, productivity, 
                and efficiency;
                  (B) increase the safety and security of the 
                transportation system for motorized and 
                nonmotorized users;
                  (C) increase the accessibility and mobility 
                of people and freight;
                  (D) protect and enhance the environment, 
                promote energy conservation, improve the 
                quality of life, and promote consistency 
                between transportation improvements and State 
                and local planned growth and economic 
                development patterns;
                  (E) enhance the integration and connectivity 
                of the transportation system, across and 
                between modes throughout the State, for people 
                and freight;
                  (F) promote efficient system management and 
                operation; and
                  (G) emphasize the preservation of the 
                existing transportation system.
          (2) Failure to consider factors.--The failure to 
        consider any factor specified in paragraph (1) shall 
        not be reviewable by any court under title 23 or this 
        title, subchapter II of chapter 5 of title 5, or 
        chapter 7 of title 5 in any matter affecting a 
        statewide transportation plan, the transportation 
        improvement program, a project or strategy, or the 
        certification of a planning process.
  (e) Additional Requirements.--In carrying out planning under 
this section, each State shall consider, at a minimum--
          (1) with respect to nonmetropolitan areas, the 
        concerns of affected local officials with 
        responsibility for transportation;
          (2) the concerns of Indian tribal governments and 
        Federal land management agencies that have jurisdiction 
        over land within the boundaries of the State; and
          (3) coordination of transportation plans, the 
        transportation improvement program, and planning 
        activities with related planning activities being 
        carried out outside of metropolitan planning areas and 
        between States.
  (f) Long-Range Statewide Transportation Plan.--
          (1) Development.--Each State shall develop a long-
        range statewide transportation plan, with a minimum 20-
        year forecast period for all areas of the State, that 
        provides for the development and implementation of the 
        intermodal transportation system of the State.
          (2) Consultation with governments.--
                  (A) Metropolitan areas.--The statewide 
                transportation plan shall be developed for each 
                metropolitan area in the State in cooperation 
                with the metropolitan planning organization 
                designated for the metropolitan area under 
                section 5213.
                  (B) Nonmetropolitan areas.--With respect to 
                nonmetropolitan areas, the statewide 
                transportation plan shall be developed in 
                consultation with affected nonmetropolitan 
                officials with responsibility for 
                transportation. The Secretary shall not review 
                or approve the consultation process in each 
                State.
                  (C) Indian tribal areas.--With respect to 
                each area of the State under the jurisdiction 
                of an Indian tribal government, the statewide 
                transportation plan shall be developed in 
                consultation with the tribal government and the 
                Secretary of the Interior.
          (3) Participation by interested parties.--In 
        developing the statewide transportation plan, the State 
        shall--
                  (A) provide citizens, affected public 
                agencies, representatives of public 
                transportation employees, freight shippers, 
                private providers of transportation, 
                representatives of users of public 
                transportation, representatives of users of 
                pedestrian walkways and bicycle transportation 
                facilities, representatives of the disabled, 
                providers of freight transportation services, 
                and other interested parties with a reasonable 
                opportunity to comment on the proposed plan; 
                and
                  (B) identify transportation strategies 
                necessary to efficiently serve the mobility 
                needs of people.
          (4) Financial plan.--The statewide transportation 
        plan may include a financial plan that demonstrates how 
        the adopted statewide transportation plan can be 
        implemented, indicates resources from public and 
        private sources that are reasonably expected to be made 
        available to carry out the plan, and recommends any 
        additional financing strategies for needed projects and 
        programs. The financial plan may include, for 
        illustrative purposes, additional projects that would 
        be included in the adopted statewide transportation 
        plan if reasonable additional resources beyond those 
        identified in the financial plan were available.
          (5) Selection of projects from illustrative list.--A 
        State shall not be required to select any project from 
        the illustrative list of additional projects included 
        in the financial plan described in paragraph (4).
          (6) Existing system.--The statewide transportation 
        plan should include capital, operations and management 
        strategies, investments, procedures, and other measures 
        to ensure the preservation and most efficient use of 
        the existing transportation system.
  (g) Statewide Transportation Improvement Program.--
          (1) Development.--Each State shall develop a 
        statewide transportation improvement program for all 
        areas of the State.
          (2) Consultation with governments.--
                  (A) Metropolitan areas.--With respect to each 
                metropolitan area in the State, the program 
                shall be developed in cooperation with the 
                metropolitan planning organization designated 
                for the metropolitan area under section 5213.
                  (B) Nonmetropolitan areas.--With respect to 
                each nonmetropolitan area in the State, the 
                program shall be developed in consultation with 
                affected nonmetropolitan local officials with 
                responsibility for transportation. The 
                Secretary shall not review or approve the 
                specific consultation process in the State.
                  (C) Indian tribal areas.--With respect to 
                each area of the State under the jurisdiction 
                of an Indian tribal government, the program 
                shall be developed in consultation with the 
                tribal government and the Secretary of the 
                Interior.
          (3) Participation by interested parties.--In 
        developing the program, the State shall provide 
        citizens, affected public agencies, representatives of 
        public transportation employees, freight shippers, 
        private providers of transportation, providers of 
        freight transportation services, representatives of 
        users of public transportation, representatives of 
        users of pedestrian walkways and bicycle transportation 
        facilities, representatives of the disabled, and other 
        interested parties with a reasonable opportunity to 
        comment on the proposed program.
          (4) Included projects.--
                  (A) In general.--A transportation improvement 
                program developed under this subsection for a 
                State shall include federally supported surface 
                transportation expenditures within the 
                boundaries of the State.
                  (B) Projects under chapter 2 of title 23.--
                All projects proposed for funding under chapter 
                2 of title 23 shall be identified individually 
                in the transportation improvement program.
                  (C) Consistency with statewide transportation 
                plan.--Each project shall be--
                          (i) consistent with the statewide 
                        transportation plan developed under 
                        this section for the State;
                          (ii) identical to the project or 
                        phase of the project as described in an 
                        approved metropolitan transportation 
                        plan; and
                          (iii) in conformance with the 
                        applicable State air quality 
                        implementation plan developed under the 
                        Clean Air Act (42 U.S.C. 7401 et seq.), 
                        if the project is carried out in an 
                        area designated as nonattainment for 
                        ozone or carbon monoxide under that 
                        Act.
                  (D) Requirement of anticipated full 
                funding.--The transportation improvement 
                program shall include a project, or an 
                identified phase of a project, only if full 
                funding can reasonably be anticipated to be 
                available for the project within the time 
                period contemplated for completion of the 
                project.
                  (E) Financial plan.--The transportation 
                improvement program may include a financial 
                plan that demonstrates how the approved 
                transportation improvement program can be 
                implemented, indicates resources from public 
                and private sources that are reasonably 
                expected to be made available to carry out the 
                transportation improvement program, and 
                recommends any additional financing strategies 
                for needed projects and programs. The financial 
                plan may include, for illustrative purposes, 
                additional projects that would be included in 
                the adopted transportation plan if reasonable 
                additional resources beyond those identified in 
                the financial plan were available.
                  (F) Selection of projects from illustrative 
                list.--
                          (i) No required selection.--
                        Notwithstanding subparagraph (E), a 
                        State shall not be required to select 
                        any project from the illustrative list 
                        of additional projects included in the 
                        financial plan under subparagraph (E).
                          (ii) Required action by the 
                        secretary.--Action by the Secretary 
                        shall be required for a State to select 
                        any project from the illustrative list 
                        of additional projects included in the 
                        financial plan under subparagraph (E) 
                        for inclusion in an approved 
                        transportation improvement program.
                  (G) Priorities.--The transportation 
                improvement program shall reflect the 
                priorities for programming and expenditures of 
                funds, including transportation enhancement 
                activities, required by title 23 and chapter 
                53.
                  (H) Prioritization of congestion relief 
                activities.--The transportation improvement 
                program shall reflect the priorities for 
                congestion relief activities included in the 
                metropolitan transportation plan to meet the 
                requirements of section 139 of title 23.
          (5) Project selection for areas of less than 50,000 
        population.--Projects carried out in areas with 
        populations of less than 50,000 individuals shall be 
        selected, from the approved transportation improvement 
        program (excluding projects carried out on the National 
        Highway System and projects carried out under the 
        bridge program or the Interstate maintenance program 
        under title 23 or sections 5310, 5311, 5316, and 5317), 
        by the State in cooperation with the affected 
        nonmetropolitan local officials with responsibility for 
        transportation. Projects carried out in areas with 
        populations of less than 50,000 individuals on the 
        National Highway System or under the bridge program or 
        the Interstate maintenance program under title 23 or 
        under sections 5310, 5311, 5316, and 5317 shall be 
        selected, from the approved statewide transportation 
        improvement program, by the State in consultation with 
        the affected nonmetropolitan local officials with 
        responsibility for transportation.
          (6) Transportation improvement program approval.--
        Every 4 years, a transportation improvement program 
        developed under this subsection shall be reviewed and 
        approved by the Secretary if based on a current 
        planning finding.
          (7) Planning finding.--A finding shall be made by the 
        Secretary at least every 4 years that the 
        transportation planning process through which statewide 
        transportation plans and programs are developed is 
        consistent with this section and section 5213.
          (8) Modifications to project priority.--
        Notwithstanding any other provision of law, action by 
        the Secretary shall not be required to advance a 
        project included in the approved transportation 
        improvement program in place of another project in the 
        program.
  (h) Funding.--
          (1) Set-aside.--Funds set aside pursuant to section 
        104(i) of title 23 shall be available to carry out this 
        section.
          (2) Other funding.--Funds made available under 
        section 5338(c) shall be available to carry out this 
        section.
  (i) Treatment of Certain State Laws as Congestion Management 
Processes.--For purposes of this section and section 5213, 
State laws, rules, or regulations pertaining to congestion 
management systems or programs may constitute the congestion 
management process under section 5213(i)(3) if the Secretary 
finds that the State laws, rules, or regulations are consistent 
with, and fulfill the intent of, the purposes of section 5213, 
as appropriate.
  (j) Continuation of Current Review Practice.--Since the 
statewide transportation plan and the transportation 
improvement program described in this section are subject to a 
reasonable opportunity for public comment, since individual 
projects included in the statewide transportation plans and the 
transportation improvement program are subject to review under 
the National Environmental Policy Act of 1969 (42 U.S.C. 4321 
et seq.), and since decisions by the Secretary concerning 
statewide transportation plans or the transportation 
improvement program described in this section have not been 
reviewed under such Act as of January 1, 1997, any decision by 
the Secretary concerning a metropolitan or statewide 
transportation plan or the transportation improvement program 
described in this section shall not be considered to be a 
Federal action subject to review under such Act.

       SUBCHAPTER C--EFFICIENT ENVIRONMENTAL REVIEWS FOR PROJECT 
                             DECISIONMAKING

Sec. 5251. Definitions and applicability

  (a) Definitions.--In this section, the following definitions 
apply:
          (1) Agency.--The term ``agency'' means any agency, 
        department, or other unit of Federal, State, local, or 
        Indian tribal government.
          (2) Environmental impact statement.--The term 
        ``environmental impact statement'' means the detailed 
        statement of environmental impacts required to be 
        prepared under the National Environmental Policy Act of 
        1969 (42 U.S.C. 4321 et seq.).
          (3) Environmental review process.--
                  (A) In general.--The term ``environmental 
                review process'' means the process for 
                preparing for a project an environmental impact 
                statement, environmental assessment, 
                categorical exclusion, or other document 
                prepared under the National Environmental 
                Policy Act of 1969 (42 U.S.C. 4321 et seq.).
                  (B) Inclusions.--The term includes the 
                process for and completion of any environmental 
                permit, approval, review, or study required for 
                a project under any Federal law other than the 
                National Environmental Policy Act of 1969 (42 
                U.S.C. 4321 et seq.).
          (4) Lead agency.--The term ``lead agency'' means the 
        Department of Transportation and, if applicable, any 
        State or local governmental entity serving as a joint 
        lead agency pursuant to this section.
          (5) Multimodal project.--The term ``multimodal 
        project'' means a project funded, in whole or in part, 
        under title 23 or chapter 53 and involving the 
        participation of more than one Department of 
        Transportation administration or agency.
          (6) Project.--The term ``project'' means any highway 
        project, public transportation capital project, or 
        multimodal project that requires the approval of the 
        Secretary.
          (7) Project sponsor.--The term ``project sponsor'' 
        means the agency or other entity, including any private 
        or public-private entity, that seeks approval of the 
        Secretary for a project.
          (8) State transportation department.--The term 
        ``State transportation department'' means any statewide 
        agency of a State with responsibility for one or more 
        modes of transportation.
  (b) Applicability.--This subchapter is applicable to all 
projects for which an environmental impact statement is 
prepared under the National Environmental Policy Act of 1969 
(42 U.S.C. 4321 et seq.). This subchapter may be applied, to 
the extent determined appropriate by the Secretary, to other 
projects for which an environmental document is prepared 
pursuant to such Act. Any authorities granted in this 
subchapter may be exercised for a project, class of projects, 
or program of projects.

Sec. 5252. Project development procedures

  (a) Lead Agencies.--
          (1) Federal lead agency.--The Department of 
        Transportation shall be the Federal lead agency in the 
        environmental review process for a project.
          (2) Project sponsor as joint lead agency.--Any 
        project sponsor that is a State or local governmental 
        entity receiving funds under title 23 or chapter 53 for 
        the project shall serve as a joint lead agency with the 
        Department for purposes of preparing any environmental 
        document under the National Environmental Policy Act of 
        1969 (42 U.S.C. 4321 et seq.) and may prepare any such 
        environmental document required in support of any 
        action or approval by the Secretary if the Federal lead 
        agency furnishes guidance in such preparation and 
        independently evaluates such document and the document 
        is approved and adopted by the Secretary prior to the 
        Secretary taking any subsequent action or making any 
        approval based on such document, whether or not the 
        Secretary's action or approval results in Federal 
        funding.
          (3) Ensuring compliance.--The Secretary shall ensure 
        that the project sponsor complies with all design and 
        mitigation commitments made jointly by the Secretary 
        and the project sponsor in any environmental document 
        prepared by the project sponsor in accordance with this 
        subsection and that such document is appropriately 
        supplemented if project changes become necessary.
          (4) Adoption and use of documents.--Any environmental 
        document prepared in accordance with this subsection 
        may be adopted or used by any Federal agency making any 
        approval to the same extent that such Federal agency 
        could adopt or use a document prepared by another 
        Federal agency.
  (b) Participating Agencies.--
          (1) In general.--The lead agency shall be responsible 
        for inviting and designating participating agencies in 
        accordance with this subsection.
          (2) Invitation.--The lead agency shall identify, as 
        early as practicable in the environmental review 
        process for a project, any other Federal and non-
        Federal agencies that may have an interest in the 
        project, and shall invite such agencies to become 
        participating agencies in the environmental review 
        process for the project. The invitation shall set a 
        deadline for responses to be submitted. The deadline 
        may be extended by the lead agency for good cause.
          (3) Federal participating agencies.--Any Federal 
        agency that is invited by the lead agency to 
        participate in the environmental review process for a 
        project shall be designated as a participating agency 
        by the lead agency unless the invited agency informs 
        the lead agency, in writing, by the deadline specified 
        in the invitation that the invited agency--
                  (A) has no jurisdiction or authority with 
                respect to the project;
                  (B) has no expertise or information relevant 
                to the project; and
                  (C) does not intend to submit comments on the 
                project.
          (4) Effect of designation.--Designation as a 
        participating agency under this subsection shall not 
        imply that the participating agency--
                  (A) supports a proposed project; or
                  (B) has any jurisdiction over, or special 
                expertise with respect to evaluation of, the 
                project.
          (5) Cooperating agency.--A participating agency may 
        also be designated by a lead agency as a ``cooperating 
        agency'' under the regulations contained in part 1500 
        of title 40, Code of Federal Regulations.
          (6) Designations for categories of projects.--The 
        Secretary may exercise the authorities granted under 
        this subsection for a project, class of projects, or 
        program of projects.
  (c) Project Initiation.--
          (1) In general.--The project sponsor shall initiate 
        the environmental review process for a project by 
        submitting an initiation notice to the Secretary.
          (2) Contents of notice.--The initiation notice shall 
        include, at a minimum, a brief description of the type 
        of work, termini, length, and general location of the 
        proposed project, together with a statement of any 
        Federal approvals anticipated to be needed for the 
        project.
  (d) Purpose and Need.--
          (1) Participation.--As early as practicable during 
        the environmental review process, the lead agency shall 
        provide an opportunity for involvement by participating 
        agencies and the public in defining the purpose and 
        need for a project.
          (2) Definition.--Following participation under 
        paragraph (1), the lead agency shall define the 
        project's purpose and need for purposes of any document 
        which the lead agency is responsible for preparing for 
        the project.
          (3) Objectives.--The statement of purpose and need 
        shall include a clear statement of the objectives that 
        the proposed action is intended to achieve, which may 
        include--
                  (A) achieving a transportation objective 
                identified in an applicable statewide or 
                metropolitan transportation plan;
                  (B) supporting land use, economic 
                development, or growth objectives established 
                in applicable Federal, State, local, or tribal 
                plans; and
                  (C) serving national defense, national 
                security, or other national objectives, as 
                established in Federal laws, plans, or 
                policies.
  (e) Alternatives Analysis.--
          (1) Participation.--As early as practicable during 
        the environmental review process, the lead agency shall 
        provide an opportunity for involvement by participating 
        agencies and the public in determining the range of 
        alternatives to be considered for a project.
          (2) Range of alternatives.--Following participation 
        under paragraph (1), the lead agency shall determine 
        the range of alternatives for consideration in any 
        document which the lead agency is responsible for 
        preparing for the project.
          (3) Methodologies.--The lead agency also shall 
        determine, in collaboration with participating agencies 
        at appropriate times during the study process, the 
        methodologies to be used and the level of detail 
        required in the analysis of each alternative for a 
        project.
          (4) Preferred alternative.--At the discretion of the 
        lead agency, the preferred alternative for a project, 
        after being identified, may be developed to a higher 
        level of detail than other alternatives in order to 
        facilitate the development of mitigation measures or 
        concurrent compliance with other applicable laws if the 
        lead agency determines that the development of such 
        higher level of detail will not prevent the lead agency 
        from making an impartial decision as to whether to 
        accept another alternative which is being considered in 
        the environmental review process.
  (f) Comment Deadlines.--The lead agency shall establish the 
following deadlines for comment during the environmental review 
process for a project:
          (1) For comments by agencies and the public on a 
        draft environmental impact statement, a period of no 
        more than 60 days from the date of public availability 
        of such document, unless--
                  (A) a different deadline is established by 
                agreement of the lead agency, the project 
                sponsor, and all participating agencies; or
                  (B) the deadline is extended by the lead 
                agency for good cause.
          (2) For all other comment periods established by the 
        lead agency for agency or public comments in the 
        environmental review process, a period of no more than 
        30 days from availability of the materials on which 
        comment is requested, unless--
                  (A) a different deadline is established by 
                agreement of the lead agency, the project 
                sponsor, and all participating agencies; or
                  (B) the deadline is extended by the lead 
                agency for good cause.
  (g) Issue Identification and Resolution.--
          (1) Cooperation.--The lead agency and the 
        participating agencies shall work cooperatively in 
        accordance with this section to identify and resolve 
        issues that could delay completion of the environmental 
        review process or could result in denial of any 
        approvals required for the project under applicable 
        laws.
          (2) Lead agency responsibilities.--The lead agency 
        shall make information available to the participating 
        agencies as early as practicable in the environmental 
        review process regarding the environmental and 
        socioeconomic resources located within the project area 
        and the general locations of the alternatives under 
        consideration. Such information may be based on 
        existing data sources, including geographic information 
        systems mapping.
          (3) Participating agency responsibilities.--Based on 
        information received from the lead agency, 
        participating agencies shall identify, as early as 
        practicable, any issues of concern regarding the 
        project's potential environmental or socioeconomic 
        impacts. In this paragraph, issues of concern include 
        any issues that could substantially delay or prevent an 
        agency from granting a permit or other approval that is 
        needed for the project.
          (4) Issue resolution.--Whenever issues of concern are 
        identified or at any time upon request of a project 
        sponsor, the lead agency shall promptly convene a 
        meeting with the relevant participating agencies. If a 
        resolution cannot be achieved within 30 days following 
        such a meeting and a determination by the lead agency 
        that all information necessary to resolve the issue has 
        been obtained, the lead agency shall notify the heads 
        of all Federal agencies involved in the meeting and the 
        Committee on Environment and Public Works of the Senate 
        and the Committee on Transportation and Infrastructure 
        of the House of Representatives and shall publish such 
        notification in the Federal Register.
  (h) Participation of State Agencies.--For any project 
eligible for assistance under title 23 or chapter 53, a State 
may require, under procedures established by State law, that 
all State agencies that have jurisdiction by State or Federal 
law over environmental-related issues that may be affected by 
the project, or that are required to issue any environmental-
related reviews, analyses, opinions, or determinations on 
issuing any permits, licenses, or approvals for the project, be 
subject to the coordinated environmental review process 
established under this section unless the Secretary determines 
that a State agency's participation would not be in the public 
interest. A State participating in the review process must 
require all State agencies with jurisdiction to be subject to 
and comply with the review process to the same extent as a 
Federal agency.
  (i) Assistance to Affected State and Federal Agencies.--
          (1) In general.--For a project that is subject to the 
        environmental review process established under this 
        section and for which funds are made available to a 
        State under title 23 or chapter 53, the Secretary may 
        approve a request by the State to provide funds so made 
        available to affected Federal agencies (including the 
        Department of Transportation), State agencies, and 
        Indian tribes participating in the environmental review 
        process for the project. Such funds may be provided 
        only to support activities that directly and 
        meaningfully contribute to expediting and improving 
        transportation project planning and delivery. Such 
        activities may include dedicated staffing, training of 
        agency personnel, information gathering and mapping, 
        and development of programmatic agreements. The 
        Secretary may also use funds made available under 
        section 204 of title 23 for a project for the purposes 
        specified in this subsection with respect to the 
        environmental review process for the project.
          (2) Amounts.--Requests under paragraph (1) may be 
        approved only for the additional amounts that the 
        Secretary determines are necessary for the Federal 
        agencies, State agencies, or Indian tribes 
        participating in the environmental review process to 
        meet the time limits for environmental review.
          (3) Condition.--A request under paragraph (1) to 
        expedite time limits for environmental review may be 
        approved only if such time limits are less than the 
        customary time necessary for such review.
  (j) Judicial Review and Savings Clause.--
          (1) Judicial review.--Except as set forth under 
        subsection (k), nothing in this section shall affect 
        the reviewability of any final Federal agency action in 
        a court of the United States.
          (2) Savings clause.--Nothing in this section shall be 
        construed as superseding, amending, or modifying the 
        National Environmental Policy Act of 1969 (42 U.S.C. 
        4321 et seq.) or any other Federal environmental 
        statute or affect the responsibility of any Federal 
        officer to comply with or enforce any such statute.
          (3) Limitations.--Nothing in this section shall 
        preempt or interfere with--
                  (A) any practice of seeking, considering, or 
                responding to public comment; or
                  (B) any power, jurisdiction, responsibility, 
                or authority that a Federal, State, or local 
                government agency, metropolitan planning 
                organization, Indian tribe, or project sponsor 
                has with respect to carrying out a project or 
                any other provisions of law applicable to 
                projects, plans, or programs.
  (k) Limitations on Claims.--
          (1) In general.--Notwithstanding any other provision 
        of law, a claim arising under Federal law seeking 
        judicial review of a permit, license, or approval 
        issued by a Federal agency for a highway or public 
        transportation capital project shall be barred unless 
        it is filed within 90 days after the permit, license, 
        or approval is final pursuant to the law under which 
        the agency action is taken, unless a shorter time is 
        specified in the Federal law pursuant to which judicial 
        review is allowed. Nothing in this subsection shall 
        create a right to judicial review or place any limit on 
        filing a claim that a person has violated the terms of 
        a permit, license, or approval.
          (2) New information.--The Secretary shall consider 
        new information received after the close of a comment 
        period if the information satisfies the requirements 
        for a supplemental environmental impact statement under 
        section 771.130 of title 23, Code of Federal 
        Regulations. The preparation of a supplemental 
        environmental impact statement when required shall be 
        considered a separate final agency action and the 
        deadline for filing a claim for judicial review of such 
        action shall be 90 days after the date of such action.

                CHAPTER 53--[MASS] PUBLIC TRANSPORTATION

Sec.
5301.  Policies, findings, and purposes.
     * * * * * * *
[5304.  Transportation improvement program.
[5305.  Transportation management areas.
[5306.  Private enterprise participation in metropolitan planning and 
          transportation improvement programs and relationship to other 
          limitations.]
5304.  Statewide planning.
5305.  Planning programs.
5306.  Private enterprise participation in planning; relationship to 
          other limitations.
     * * * * * * *
[5309.  Capital investment grants and loans.
[5310.  formula Grants and loans for special needs of elderly 
          individuals and individuals with disabilities.
[5311.  Formula grant for other than urbanized areas.
[5312.  Research, development, demonstration, and training projects.
[5313.  State planning and research programs.
[5314.  National planning and research programs.]
5309.  Capital investment grants.
5310.  Formula grants for special needs of elderly individuals and 
          individuals with disabilities.
5311.  Formula grants for other than urbanized areas.
5312.  Research, development, demonstration, and deployment projects.
5313.  Cooperative research program.
5314.  National research and technology programs.
     * * * * * * *
5316.  Job access and reverse commute formula grants.
5317.  New freedom program.
     * * * * * * *
[5320.  Suspended light rail system technology pilot project.]
5320.  Transit in the parks pilot program.
     * * * * * * *
[5324.  Limitations on discretionary and special needs grants and 
          loans.]
5324.  Special provisions for capital projects.
5325.  Contract requirements.
[5326.  Special procurements.]
     * * * * * * *
[5329.  Investigation of safety hazards.
[5330.  Withholding amounts for noncompliance with safety requirements.]
5329.  Investigation of safety and hazards.
5330.  State safety oversight.
     * * * * * * *
[5335.  Reports and audits.]
5335.  National transit database.
5336.  Apportionment of appropriations for formula grants.
[5337.  Apportionment of appropriations for fixed guideway 
          modernization.]
5337.  Apportionment based on fixed guideway factors.
     * * * * * * *

Sec. 5301. Policies, findings, and purposes

  [(a) Development of Transportation Systems.--It is in the 
interest of the United States to encourage and promote the 
development of transportation systems that embrace various 
modes of transportation and efficiently maximize mobility of 
individuals and goods in and through urbanized areas and 
minimize transportation-related fuel consumption and air 
pollution.]
  (a) Development and Revitalization of Public Transportation 
Systems.--It is in the interest of the United States to foster 
the development and revitalization of public transportation 
systems that--
          (1) maximize the safe, secure, and efficient mobility 
        of individuals;
          (2) minimize environmental impacts; and
          (3) minimize transportation-related fuel consumption 
        and reliance on foreign oil.

           *       *       *       *       *       *       *

  (b) General Findings.--Congress finds that--
          (1) * * *

           *       *       *       *       *       *       *

          (4) for many years the [mass] public transportation 
        industry capably and profitably satisfied the 
        transportation needs of the urban areas of the United 
        States but in the early 1970's continuing even minimal 
        [mass] public transportation service in urban areas was 
        threatened because maintaining that transportation 
        service was financially burdensome;

           *       *       *       *       *       *       *

          (6) some urban areas were developing preliminary 
        plans for, or carrying out, projects in the early 
        1970's to revitalize their [mass] public transportation 
        operations;
          (7) significant [mass] public transportation 
        improvements are necessary to achieve national goals 
        for improved air quality, energy conservation, 
        international competitiveness, and mobility for elderly 
        individuals, individuals with disabilities, and 
        economically disadvantaged individuals in urban and 
        rural areas of the United States;
          (8) financial assistance by the Government to develop 
        efficient and coordinated [mass] public transportation 
        systems is essential to solve the urban transportation 
        problems referred to in clause (2) of this subsection; 
        and
          (9) immediate substantial assistance by the 
        Government is needed to enable [mass] public 
        transportation systems to continue providing vital 
        transportation service.

           *       *       *       *       *       *       *

  (d) Elderly Individuals and Individuals With Disabilities.--
It is the policy of the Government that elderly individuals and 
individuals with disabilities have the same right as other 
individuals to use [mass] public transportation service and 
facilities. Special efforts shall be made in planning and 
designing [mass] public transportation service and facilities 
to ensure that [mass] public transportation can be used by 
elderly individuals and individuals with disabilities. All 
programs of the Government assisting [mass] public 
transportation shall carry out this policy.
  (e) Preserving the Environment.--It is the policy of the 
Government that special effort shall be made to preserve the 
natural beauty of the countryside, public park and recreation 
lands, wildlife and waterfowl refuges, and important historical 
and cultural assets when planning, designing, and carrying out 
[an urban mass] a public transportation capital project with 
assistance from the Government [under sections 5309 and 5310 of 
this title].
  (f) General Purposes.--The purposes of this chapter are--
          (1) to assist in developing improved [mass] public 
        transportation equipment, facilities, techniques, and 
        methods with the cooperation of [public and private 
        mass transportation companies] both public 
        transportation companies and private companies engaged 
        in public transportation;
          (2) to encourage the planning and establishment of 
        areawide [urban mass] public transportation systems 
        needed for economical and desirable urban development 
        with the cooperation of [public and private mass 
        transportation companies] both public transportation 
        companies and private companies engaged in public 
        transportation;
          (3) to assist States and local governments and their 
        authorities in financing areawide [urban mass] public 
        transportation systems that are to be operated by 
        [public or private mass transportation companies] 
        public transportation companies or private companies 
        engaged in public transportation as decided by local 
        needs;

           *       *       *       *       *       *       *

          (5) to establish a partnership that allows a 
        community, with financial assistance from the 
        Government, to satisfy its [urban mass] public 
        transportation requirements.

Sec. 5302. Definitions

  (a) In General.--[In this chapter] Except as otherwise 
specifically provided, in this chapter, the following 
definitions apply:
          (1) Capital project.--The term ``capital project'' 
        means a project for--
                  (A) acquiring, constructing, supervising, or 
                inspecting equipment or a facility for use in 
                [mass] public transportation, expenses 
                incidental to the acquisition or construction 
                (including designing, engineering, location 
                surveying, mapping, and acquiring rights-of-
                way), payments for the capital portions of rail 
                trackage rights agreements, transit-related 
                intelligent transportation systems, relocation 
                assistance, acquiring replacement housing 
                sites, and acquiring, constructing, relocating, 
                and rehabilitating replacement housing;

           *       *       *       *       *       *       *

                  (F) leasing equipment or a facility for use 
                in [mass] public transportation, subject to 
                regulations that the Secretary prescribes 
                limiting the leasing arrangements to those that 
                are more cost-effective than purchase or 
                construction;
                  (G) a [mass] public transportation 
                improvement that enhances economic development 
                or incorporates private investment, including 
                commercial and residential development, 
                pedestrian and bicycle access to a [mass] 
                public transportation facility, construction, 
                renovation, and improvement of intercity bus 
                stations and terminals, and the renovation and 
                improvement of historic transportation 
                facilities, because the improvement enhances 
                the effectiveness of a [mass] public 
                transportation project and is related 
                physically or functionally to that [mass] 
                public transportation project, or establishes 
                new or enhanced coordination between [mass] 
                public transportation and other transportation, 
                and provides a fair share of revenue for [mass] 
                public transportation that will be used for 
                [mass] public transportation--
                          (i) * * *
                          (ii) excluding construction of a 
                        commercial revenue-producing facility 
                        (other than an intercity bus station or 
                        terminal) or a part of a public 
                        facility not related to [mass] public 
                        transportation;
                  (H) the introduction of new technology, 
                through innovative and improved products, into 
                [mass] public transportation; [or]
                  (I) the provision of nonfixed route 
                paratransit transportation services in 
                accordance with section 223 of the Americans 
                with Disabilities Act of 1990 (42 U.S.C. 
                12143), but only for grant recipients that are 
                in compliance with applicable requirements of 
                that Act, including both fixed route and demand 
                responsive service, and only for amounts not to 
                exceed 10 percent of such recipient''s annual 
                formula apportionment under sections 5307 and 
                5311[.];
                  (J) crime prevention and security--
                          (i) including--
                                  (I) projects to refine and 
                                develop security and emergency 
                                response plans;
                                  (II) projects aimed at 
                                detecting chemical and 
                                biological agents in public 
                                transportation;
                                  (III) the conduct of 
                                emergency response drills with 
                                public transportation agencies 
                                and local first response 
                                agencies; and
                                  (IV) security training for 
                                public transportation 
                                employees; but
                          (ii) excluding all expenses related 
                        to operations, other than such expenses 
                        incurred in conducting activities 
                        described in subclauses (III) and (IV);
                  (K) establishment of a debt service reserve 
                made up of deposits with a bondholders' trustee 
                in a noninterest bearing account for the 
                purpose of ensuring timely payment of principal 
                and interest on bonds issued by a grant 
                recipient for purposes of financing an eligible 
                project under this chapter; or
                  (L) mobility management--
                          (i) consisting of short-range 
                        planning and management activities and 
                        projects for improving coordination 
                        among public transportation and other 
                        transportation service providers 
                        carried out by a recipient or 
                        subrecipient through an agreement 
                        entered into with a person, including a 
                        governmental entity, under this chapter 
                        (other than section 5309); but
                          (ii) excluding operating public 
                        transportation services.

           *       *       *       *       *       *       *

          (4) Fixed guideway.--The term ``fixed guideway'' 
        means a [mass] public transportation facility--
                  (A) using and occupying a separate right-of-
                way or rail for the exclusive use of [mass] 
                public transportation and other high occupancy 
                vehicles; or

           *       *       *       *       *       *       *

          (5) [Handicapped individual] Individual with a 
        disability.--The term ``[handicapped individual] 
        individual with a disability'' means an individual who, 
        because of illness, injury, age, congenital 
        malfunction, or other incapacity or temporary or 
        permanent disability (including an individual who is a 
        wheelchair user or has semiambulatory capability), 
        cannot use effectively, without special facilities, 
        planning, or design, [mass] public transportation 
        service or a [mass] public transportation facility.

           *       *       *       *       *       *       *

          [(7) Mass transportation.--The term ``mass 
        transportation'' means transportation by a conveyance 
        that provides regular and continuing general or special 
        transportation to the public, but does not include 
        school bus, charter, or sightseeing transportation.]
          (7) Mass transportation.--The term ``mass 
        transportation'' means public transportation.

           *       *       *       *       *       *       *

          (9) New bus model.--The term ``new bus model'' means 
        a bus model (including a model using alternative 
        fuel)--
                  (A) that has not been used in [mass] public 
                transportation in the United States before the 
                date of production of the model; or
                  (B) used in [mass] public transportation in 
                the United States, but being produced with a 
                major change in configuration or components.
          [(10) Public transportation.--The term ``public 
        transportation'' means mass transportation.]
          (10) Public transportation.--The term ``public 
        transportation'' means transportation by a conveyance 
        that provides regular and continuing general or special 
        transportation to the public, but does not include 
        schoolbus, charter, or sightseeing transportation.

           *       *       *       *       *       *       *

          (14) Transit.--The term ``transit'' means [mass] 
        public transportation.
          (15) Transit enhancement.--The term ``transit 
        enhancement'' means, with respect to any project or an 
        area to be served by a project, projects that are 
        designed to enhance [mass] public transportation 
        service or use and that are physically or functionally 
        related to transit facilities. Eligible projects are--
                  (A) historic preservation, rehabilitation, 
                and operation of historic [mass] public 
                transportation buildings, structures, and 
                facilities (including historic bus and railroad 
                facilities);

           *       *       *       *       *       *       *

                  (F) bicycle access, including bicycle storage 
                facilities and installing equipment for 
                transporting bicycles on [mass] public 
                transportation vehicles;
                  (G) transit connections to parks within the 
                recipient's transit service area;
                  (H) signage; and
                  (I) enhanced access for persons with 
                disabilities to [mass] public transportation.
          (16) Urban area.--The term ``urban area'' means an 
        area that includes a municipality or other built-up 
        place that the Secretary, after considering local 
        patterns and trends of urban growth, decides is 
        appropriate for a local [mass] public transportation 
        system to serve individuals in the locality.
          [(17) Urbanized area.--The term ``urbanized area'' 
        means an area--
                  [(A) encompassing at least an urbanized area 
                within a State that the Secretary of Commerce 
                designates; and
                  [(B) designated as an urbanized area within 
                boundaries fixed by State and local officials 
                and approved by the Secretary.]
          (17) Urbanized area.--The term ``urbanized area'' 
        means an area encompassing a population of at least 
        50,000 people that has been defined and designated in 
        the latest decennial census as an urbanized area by the 
        Secretary of Commerce.
  (b) Authority To Modify ``[Handicapped Individual] Individual 
With a Disability''.--The Secretary may by regulation modify 
the definition of the term ``[handicapped individual] 
individual with a disability'' in subsection (a)(5) as it 
applies to section 5307(d)(1)(D).

[Sec. 5303. Metropolitan planning

  [(a) General Requirements.--
          [(1) Development of plans and programs.--To carry out 
        section 5301(a), metropolitan planning organizations 
        designated under subsection (c), in cooperation with 
        the States and mass transportation operators, shall 
        develop transportation plans and programs for urbanized 
        areas of the State.
          [(2) Contents.--The plans and programs developed 
        under paragraph (1) for each metropolitan area shall 
        provide for the development and integrated management 
        and operation of transportation systems and facilities 
        (including pedestrian walkways and bicycle 
        transportation facilities) that will function as an 
        intermodal transportation system for the metropolitan 
        area and as an integral part of an intermodal 
        transportation system for the State and the United 
        States.
          [(3) Process.--The process for developing the plans 
        and programs shall provide for consideration of all 
        modes of transportation and shall be continuing, 
        cooperative, and comprehensive to the degree 
        appropriate, based on the complexity of the 
        transportation problems to be addressed.
  [(b) Scope of Planning Process.--
          [(1) In general.--The metropolitan transportation 
        planning process for a metropolitan area under this 
        section shall provide for consideration of projects and 
        strategies that will--
                  [(A) support the economic vitality of the 
                metropolitan area, especially by enabling 
                global competitiveness, productivity, and 
                efficiency;
                  [(B) increase the safety and security of the 
                transportation system for motorized and 
                nonmotorized users;
                  [(C) increase the accessibility and mobility 
                options available to people and for freight;
                  [(D) protect and enhance the environment, 
                promote energy conservation, and improve 
                quality of life;
                  [(E) enhance the integration and connectivity 
                of the transportation system, across and 
                between modes, for people and freight;
                  [(F) promote efficient system management and 
                operation; and
                  [(G) emphasize the preservation of the 
                existing transportation system.
          [(2) Failure to consider factors.--The failure to 
        consider any factor specified in paragraph (1) shall 
        not be reviewable by any court under this title, 
        subchapter II of chapter 5 of title 5, or chapter 7 of 
        title 5 in any matter affecting a transportation plan, 
        a transportation improvement plan, a project or 
        strategy, or the certification of a planning process.
  [(c) Designating Metropolitan Planning Organizations.--(1) To 
carry out the planning process required by this section and 
sections 5304-5306 of this title, a metropolitan planning 
organization shall be designated for each urbanized area with a 
population of more than 50,000--
          [(A) by agreement of the chief executive officer of a 
        State and units of general purpose local government 
        that together represent at least 75 percent of the 
        affected population (including the central city or 
        cities, as defined by the Bureau of the Census); or
          [(B) under procedures established by State or local 
        law.
  [(2) Each policy board of a metropolitan planning 
organization that serves an area designated as a transportation 
management area when designated or redesignated under this 
subsection shall consist of local elected officials, officials 
of public agencies that administer or operate major modes of 
transportation in the metropolitan area (including all 
transportation authorities included in the organization on June 
1, 1991), and appropriate State officials.
  [(3) More than one metropolitan planning organization may be 
designated within an existing metropolitan planning area only 
if the chief executive officer of the State and the existing 
metropolitan organization determine that the size and 
complexity of the existing metropolitan planning area make 
designation of more than one organization appropriate.
  [(4) A designation is effective until--
          [(A) the organization is redesignated under paragraph 
        (5) of this subsection; or
          [(B) revoked--
                  [(i) by agreement of the chief executive 
                officer and units of general local government 
                representing at least 75 percent of the 
                affected population; or
                  [(ii) as otherwise provided by State or local 
                procedures.
  [(5)(A) The chief executive officer and units of general 
purpose local government that together represent at least 75 
percent of the affected population (including the central city 
or cities, as defined by the Bureau of the Census) may 
redesignate by agreement a metropolitan planning organization 
when appropriate to carry out this section and sections 5304-
5306 of this title.
  [(B) A metropolitan planning organization shall be 
redesignated on request of one or more units of general local 
government representing at least 25 percent of the affected 
population (including the central city or cities, as defined by 
the Bureau of the Census) in an urbanized area with a 
population of more than 5,000,000, but less than 10,000,000 or 
that is an extreme nonattainment area for ozone or carbon 
monoxide (as defined in the Clean Air Act (42 U.S.C. 7401 et 
seq.)).
  [(C) A metropolitan planning organization shall be 
redesignated using procedures established to carry out this 
paragraph.
  [(D) Designations of metropolitan planning organizations, 
whether made under this section or under any other provision of 
law, shall remain in effect until redesignation under this 
paragraph.
  [(6) This subsection does not affect the authority, under 
State law in effect on December 18, 1991, of a public authority 
with multimodal transportation responsibilities--
          [(A) to develop plans and programs for a metropolitan 
        planning organization to adopt; and
          [(B) to develop long-range capital plans, coordinate 
        mass transportation services and projects, and carry 
        out other activities under State law.
  [(d) Metropolitan Planning Area Boundaries.--
          [(1) In general.--To carry out this section, the 
        metropolitan planning organization and the chief 
        executive officer shall decide by agreement on the 
        boundaries of a metropolitan planning area.
          [(2) Included area.--Each metropolitan planning 
        area--
                  [(A) shall encompass at least the existing 
                urbanized area and the contiguous area expected 
                to become urbanized within a 20-year forecast 
                period; and
                  [(B) may encompass the entire metropolitan 
                statistical area or consolidated metropolitan 
                statistical area, as defined by the Bureau of 
                the Census.
          [(3) Existing metropolitan planning areas in 
        nonattainment.--Notwithstanding paragraph (2), in the 
        case of an urbanized area designated as a nonattainment 
        area for ozone or carbon monoxide under the Clean Air 
        Act (42 U.S.C. 7401 et seq.), the boundaries of the 
        metropolitan planning area in existence as of the date 
        of enactment of this paragraph shall be retained, 
        except that the boundaries may be adjusted by agreement 
        of the chief executive officer of the State and any 
        affected metropolitan planning organizations, in the 
        manner described in subsection (c)(5).
          [(4) New metropolitan planning areas in 
        nonattainment.--In the case of an urbanized area 
        designated after the date of enactment of this 
        paragraph as a nonattainment area for ozone or carbon 
        monoxide under the Clean Air Act, the boundaries of the 
        metropolitan planning area--
                  [(A) shall be established in the manner 
                described in subsection (c)(1);
                  [(B) shall encompass the areas described in 
                paragraph (2)(A);
                  [(C) may encompass the areas described in 
                paragraph (2)(B); and
                  [(D) may address any nonattainment area 
                identified under the Clean Air Act for ozone or 
                carbon monoxide.
  [(e) Coordination.--(1) The Secretary of Transportation shall 
establish requirements the Secretary considers appropriate to 
encourage chief executive officers and metropolitan planning 
organizations with responsibility for part of a multi-State 
metropolitan area to provide coordinated transportation 
planning for the entire area.
  [(2) Congress consents to at least 2 States making an 
agreement or compact, not in conflict with a law of the United 
States, for cooperative efforts and mutual assistance in 
support of activities authorized under this section related to 
interstate areas and localities in the States and establishing 
authorities the States consider desirable for making the 
agreements and compacts effective.
  [(3) If more than one metropolitan planning organization has 
authority in a metropolitan area or an area designated a 
nonattainment area for ozone or carbon monoxide under the Clean 
Air Act (42 U.S.C. 7401 et seq.), each organization shall 
consult with the other organizations designated for the area 
and the State to coordinate plans and projects required by this 
section and sections 5304-5306 of this title.
  [(4) The Secretary shall encourage each metropolitan planning 
organization to coordinate, to the maximum extent practicable, 
the design and delivery of transportation services within the 
metropolitan planning area that are provided--
          [(A) by recipients of assistance under this chapter; 
        and
          [(B) by governmental agencies and non-profit 
        organizations (including representatives of the 
        agencies and organizations) that receive Governmental 
        assistance from a source other than the Department of 
        Transportation to provide non-emergency transportation 
        services.
          [(5) Coordination.--If a project is located within 
        the boundaries of more than 1 metropolitan planning 
        organization, the metropolitan planning organizations 
        shall coordinate plans regarding the project.
          [(6) Lake tahoe region.--
                  [(A) Definition.--In this paragraph, the term 
                ``Lake Tahoe region'' has the meaning given the 
                term ``region'' in subdivision (a) of article 
                II of the Tahoe Regional Planning Compact, as 
                set forth in the first section of Public Law 
                96-551 (94 Stat. 3234).
                  [(B) Transportation planning process.--The 
                Secretary shall--
                          [(i) establish with the Federal land 
                        management agencies that have 
                        jurisdiction over land in the Lake 
                        Tahoe region a transportation planning 
                        process for the region; and
                          [(ii) coordinate the transportation 
                        planning process with the planning 
                        process required of State and local 
                        governments under this chapter and 
                        sections 134 and 135 of title 23.
                  [(C) Interstate compact.--
                          [(i) In general.--Subject to clause 
                        (ii) and notwithstanding subsection 
                        (b), to carry out the transportation 
                        planning process required by this 
                        section, the consent of Congress is 
                        granted to the States of California and 
                        Nevada to designate a metropolitan 
                        planning organization for the Lake 
                        Tahoe region, by agreement between the 
                        Governors of the States of California 
                        and Nevada and units of general purpose 
                        local government that together 
                        represent at least 75 percent of the 
                        affected population (including the 
                        central city or cities (as defined by 
                        the Bureau of the Census)), or in 
                        accordance with procedures established 
                        by applicable State or local law.
                          [(ii) Involvement of federal land 
                        management agencies.--
                                  [(I) Representation.--The 
                                policy board of a metropolitan 
                                planning organization 
                                designated under clause (i) 
                                shall include a representative 
                                of each Federal land management 
                                agency that has jurisdiction 
                                over land in the Lake Tahoe 
                                region.
                                  [(II) Funding.--In addition 
                                to funds made available to the 
                                metropolitan planning 
                                organization under other 
                                provisions of this chapter and 
                                under title 23, not more than 1 
                                percent of the funds allocated 
                                under section 202 of title 23 
                                may be used to carry out the 
                                transportation planning process 
                                for the Lake Tahoe region under 
                                this subparagraph.
                  [(D) Activities.--Highway projects included 
                in transportation plans developed under this 
                paragraph--
                          [(i) shall be selected for funding in 
                        a manner that facilitates the 
                        participation of the Federal land 
                        management agencies that have 
                        jurisdiction over land in the Lake 
                        Tahoe region; and
                          [(ii) may, in accordance with chapter 
                        2 of title 23, be funded using funds 
                        allocated under section 202 of title 
                        23.
  [(f) Developing Long-Range Transportation Plans.--(1) Each 
metropolitan planning organization shall prepare and update 
periodically, according to a schedule the Secretary of 
Transportation decides is appropriate, a long-range plan for 
its metropolitan area under the requirements of this section. 
The plan shall be in the form the Secretary considers 
appropriate and at least shall--
          [(A) identify transportation facilities (including 
        major roadways, mass transportation, and multimodal and 
        intermodal facilities) that should function as an 
        integrated metropolitan transportation system, 
        emphasizing transportation facilities that serve 
        important national, regional, and metropolitan 
        transportation functions;
          [(B) include a financial plan that--
                  [(i) demonstrates how the long-range plan can 
                be carried out;
                  [(ii) indicates resources from public and 
                private sources reasonably expected to be made 
                available to carry out the plan; and
                  [(iii) recommends any additional financing 
                strategies for needed projects and programs;
          [(C) identify transportation strategies necessary--
                  [(i) to ensure preservation, including 
                requirements for management, operation, 
                modernization, and rehabilitation, of the 
                existing and future transportation system; and
                  [(ii) to use existing transportation 
                facilities most efficiently to relieve 
                congestion, to efficiently serve the mobility 
                needs of people and goods, and to enhance 
                access within the metropolitan planning area;
          [(D) indicate appropriate proposed transportation 
        enhancement activities; and
          [(E) the financial plan may include, for illustrative 
        purposes, additional projects that would be included in 
        the adopted long-range plan if reasonable additional 
        resources beyond those identified in the financial plan 
        were available, except that, for the purpose of 
        developing the long-range plan, the metropolitan 
        planning organization and the State shall cooperatively 
        develop estimates of funds that will be available to 
        support plan implementation.
  [(2) When formulating a long-range transportation plan, the 
metropolitan planning organization shall consider the factors 
described in subsection (b) of this section and any State or 
local goals developed within the cooperative metropolitan 
planning process as they relate to a 20-year forecast period 
and to other forecast periods as determined by the participants 
in the planning process.
  [(3) In a metropolitan area that is in a nonattainment area 
for ozone or carbon monoxide under the Clean Air Act (42 U.S.C. 
7401 et seq.), the metropolitan planning organization shall 
coordinate the development of the long-range plan with the 
development of the transportation control measures of the State 
Implementation Plan required by the Act.
  [(4) Before approving a long-range plan, each metropolitan 
planning organization shall provide citizens, affected public 
agencies, representatives of mass transportation authority 
employees, freight shippers, providers of freight 
transportation services, private providers of transportation, 
representatives of users of public transit, and other 
interested parties with a reasonable opportunity to comment on 
the plan in a way the Secretary of Transportation considers 
appropriate.
  [(5) A long-range plan shall be--
          [(A) published or otherwise made readily available 
        for public review; and
          [(B) submitted for information purposes to the chief 
        executive officer of the State at the time and in the 
        way the Secretary of Transportation establishes.
  [(6) Selection of projects from illustrative list.--
Notwithstanding paragraph (1)(E), a State or metropolitan 
planning organization shall not be required to select any 
project from the illustrative list of additional projects 
included in the financial plan under paragraph (1)(B).
  [(g) Grants.--Under criteria the Secretary of Transportation 
establishes, the Secretary may make contracts for, and grants 
to, States, local governmental authorities, and authorities of 
the States and governmental authorities, or may make agreements 
with other departments, agencies, and instrumentalities of the 
Government, to plan, engineer, design, and evaluate a mass 
transportation project and for other technical studies, 
including--
          [(1) studies related to management, operations, 
        capital requirements, and economic feasibility;
          [(2) evaluating previously financed projects; and
          [(3) other similar and related activities preliminary 
        to and in preparation for constructing, acquiring, or 
        improving the operation of facilities and equipment.
  [(h) Balanced and Comprehensive Planning.--(1) To the extent 
practicable, the Secretary of Transportation shall ensure that 
amounts made available under subsection (c) or (h)(1) of 
section 5338 of this title to carry out this section and 
sections 5304 and 5305 of this title are used to support 
balanced and comprehensive transportation planning that 
considers the relationships among land use and all 
transportation modes, without regard to the programmatic source 
of the planning amounts.
  [(2)(A) The Secretary of Transportation shall apportion 80 
percent of the amount made available under subsection (c) or 
(h)(1) of section 5338 of this title to States in a ratio equal 
to the population in urbanized areas in each State divided by 
the total population in urbanized areas in all States, as shown 
by the latest available decennial census. A State may not 
receive less than .5 percent of the amount apportioned under 
this subparagraph.
  [(B) Amounts apportioned to a State under subparagraph (A) of 
this paragraph shall be allocated to metropolitan planning 
organizations in the State designated under this section under 
a formula--
          [(i) the State develops in cooperation with the 
        metropolitan planning organizations;
          [(ii) the Secretary of Transportation approves; and
          [(iii) that considers population in urbanized areas 
        and provides an appropriate distribution for urbanized 
        areas to carry out the cooperative processes described 
        in this section.
  [(C) A State shall make amounts available promptly to 
eligible metropolitan planning organizations according to 
procedures the Secretary of Transportation approves.
  [(3)(A) The Secretary of Transportation shall apportion 20 
percent of the amount made available under subsection (c) or 
(h)(1) of section 5338 of this title to States to supplement 
allocations made under paragraph (2)(B) of this subsection for 
metropolitan planning organizations.
  [(B) Amounts under this paragraph shall be allocated under a 
formula that reflects the additional cost of carrying out 
planning, programming, and project selection responsibilities 
under this section and sections 5304-5306 of this title in 
those areas.
  [(4) To the maximum extent practicable, the Secretary of 
Transportation shall ensure that no metropolitan planning 
organization is allocated less than the amount it received by 
administrative formula under this section in the fiscal year 
that ended September 30, 1991. To carry out this subsection, 
the Secretary may make a proportionate reduction in other 
amounts made available to carry out subsection (c) or (h)(1) of 
section 5338 of this title.
  [(5) Amounts available for an activity under this subsection 
are for 80 percent of the cost of the activity unless the 
Secretary of Transportation decides it is in the interests of 
the Government not to require a State or local match.
  [(6) An amount apportioned under this subsection--
          [(A) remains available for 3 years after the fiscal 
        year in which the amount is apportioned, and
          [(B) that is unobligated at the end of the 3-year 
        period shall be reapportioned among the States for the 
        next fiscal year.

[Sec. 5304. Transportation improvement program

  [(a) Development and Update.--
          [(1) In general.--In cooperation with the State and 
        affected mass transportation operators, a metropolitan 
        planning organization designated for a metropolitan 
        area shall develop a transportation improvement program 
        for the area. In developing the program, the 
        metropolitan planning organization, in cooperation with 
        the chief executive officer of the State and any 
        affected mass transportation operator, shall provide 
        citizens, affected public agencies, representatives of 
        transportation authority employees, other affected 
        employee representatives, freight shippers, providers 
        of freight transportation services, other affected 
        employee representatives, private providers of 
        transportation, representatives of users of public 
        transit, and other interested parties with a reasonable 
        opportunity to comment on the proposed program. The 
        program shall be updated at least once every 2 years 
        and shall be approved by the organization and the chief 
        executive officer of the State.
          [(2) Funding estimate.--For the purpose of developing 
        the transportation improvement program, the 
        metropolitan planning organization, public transit 
        agency, and the State shall cooperatively develop 
        estimates of funds that are reasonably expected to be 
        available to support program implementation.
  [(b) Contents.--A transportation improvement program for a 
metropolitan area shall include--
          [(1) a priority list of projects and parts of 
        projects to be carried out in each 3-year period after 
        the program is adopted; and
          [(2) a financial plan that--
                  [(A) demonstrates how the program can be 
                carried out;
                  [(B) indicates resources from public and 
                private sources that reasonably are expected to 
                be made available to carry out the plan;
                  [(C) identifies innovative financing 
                techniques to finance projects, programs, and 
                strategies; and
                  [(D) may include, for illustrative purposes, 
                additional projects that would be included in 
                the approved transportation improvement program 
                if reasonable additional resources beyond those 
                identified in the financial plan were 
                available.
  [(c) Project Selection.--(1) Except as otherwise provided in 
section 5305(d)(1) and in addition to the transportation 
improvement program development required under subsection (b), 
the selection of federally funded projects for implementation 
in metropolitan areas shall be carried out, from the approved 
transportation improvement program--
          [(A) by--
                  [(i) in the case of projects under title 23, 
                the State; and
                  [(ii) in the case of projects under this 
                chapter, the designated transit funding 
                recipients; and
          [(B) in cooperation with the metropolitan planning 
        organization.
  [(2) A transportation improvement program for a metropolitan 
area shall include--
          [(A) projects within the area that are proposed for 
        financing under this chapter and title 23 and that are 
        consistent with the long-range plan developed under 
        section 5303(f) of this title; and
          [(B) a project or an identified phase of a project 
        only if full financing reasonably can be anticipated to 
        be available for the project in the period estimated 
        for completion.
  [(3) Notwithstanding any other provision of law, action by 
the Secretary shall not be required to advance a project 
included in the approved transportation improvement program in 
place of another project in the program.
          [(4) Selection of projects from illustrative list.--
                  [(A) In general.--Notwithstanding subsection 
                (b)(2)(D), a State or metropolitan planning 
                organization shall not be required to select 
                any project from the illustrative list of 
                additional projects included in the financial 
                plan under subsection (b)(2)(D).
                  [(B) Action by secretary.--Action by the 
                Secretary shall be required for a State or 
                metropolitan planning organization to select 
                any project from the illustrative list of 
                additional projects included in the plan under 
                subsection (b)(2) for inclusion in an approved 
                transportation improvement plan.
  [(5) Publication.--(A) A transportation improvement program 
involving Government participation shall be published or 
otherwise made readily available by the metropolitan planning 
organization for public review.
  [(B) An annual listing of projects for which Government funds 
have been obligated in the preceding year shall be published or 
otherwise made available by the metropolitan planning 
organization for public review. The listing shall be consistent 
with the categories identified in the transportation 
improvement program.
  [(6) Regionally significant projects proposed for funding 
under chapter 2 of title 23 shall be identified individually in 
the transportation improvement program. All other projects 
funded under chapter 2 of title 23 shall be grouped in 1 line 
item or identified individually in the transportation 
improvement program.
  [(d) Notice and Comment.--Before approving a transportation 
improvement program, a metropolitan planning organization shall 
provide citizens, affected public agencies, representatives of 
transportation agency employees, private providers of 
transportation, and other interested parties with reasonable 
notice and an opportunity to comment on the proposed program.
  [(e) Regulatory Proceeding.--Not later than June 18, 1992, 
the Secretary of Transportation shall begin a regulatory 
proceeding to conform review requirements for mass 
transportation projects under the National Environmental Policy 
Act of 1969 (42 U.S.C. 4321 et seq.) to comparable requirements 
under that Act applicable to highway projects. This section and 
sections 5303, 5305, and 5306 of this title do not affect the 
applicability of the Act to mass transportation or highway 
projects. A mass transportation project that has an approved 
draft Environmental Impact Statement is exempt from complying 
with requirements under the Act applicable to highway projects.

[Sec. 5305. Transportation management areas

  [(a) Designation.--The Secretary of Transportation shall 
designate as a transportation management area--
          [(1) each urbanized area with a population of more 
        than 200,000; and
          [(2) any other area, if requested by the chief 
        executive officer and the metropolitan planning 
        organization designated for the area.
  [(b) Transportation Plans and Programs.--Transportation plans 
and programs in a transportation management area shall be based 
on a continuing and comprehensive transportation planning 
process the metropolitan planning organization carries out in 
cooperation with the State and affected mass transportation 
operators.
  [(c) Congestion Management System.--The transportation 
planning process under sections 5303, 5304, and 5306 of this 
title in a transportation management area shall include a 
congestion management system providing for effective 
management, through travel demand reduction and operational 
management strategies, of new and existing transportation 
facilities eligible for financing under this chapter and title 
23.
  [(d) Project Selection.--(1)(A) All federally funded projects 
carried out within the boundaries of a transportation 
management area under title 23 (excluding projects carried out 
on the National Highway System and projects carried out under 
the bridge and interstate maintenance program) or under this 
chapter shall be selected from the approved transportation 
improvement program by the metropolitan planning organization 
designated for the area in consultation with the State and any 
affected public transit operator.
  [(B) Projects carried out within the boundaries of a 
transportation management area on the National Highway System 
and projects carried out within such boundaries under the 
bridge program or the interstate maintenance program shall be 
selected from the approved transportation improvement program 
by the State in cooperation with the metropolitan planning 
organization designated for the area.
  [(2)(A) A selection under this subsection must comply with 
the transportation improvement program for the area.
  [(B) A selection under paragraph (1)(A) of this subsection 
must comply with priorities established in the program.
  [(e) Certification.--(1) At least once every 3 years, the 
Secretary shall ensure and certify that each metropolitan 
planning organization in each transportation management area is 
carrying out its responsibilities under applicable laws of the 
United States. The Secretary may make the certification only if 
the organization is complying with section 134 of title 23 and 
other applicable requirements of laws of the United States and 
the organization and chief executive officer have approved a 
transportation improvement program for the area.
  [(2)(A) If a metropolitan planning process is not certified, 
the Secretary may withhold not more than 20 percent of the 
apportioned funds attributable to the transportation management 
area under this chapter and title 23.
  [(B) Any apportionments withheld under subparagraph (A) shall 
be restored to the metropolitan area at such time as the 
metropolitan planning organization is certified by the 
Secretary.
  [(3) The Secretary may not withhold certification based on 
the policies and criteria a metropolitan planning organization 
or mass transportation grant recipient establishes under 
section 5306(a) of this title for deciding the feasibility of 
private enterprise participation.
  [(4) In making certification determinations under this 
subsection, the Secretary shall provide for public involvement 
appropriate to the metropolitan area under review.
  [(f) Additional Requirements for Certain Nonattainment 
Areas.--Government amounts may be made available for a mass 
transportation project resulting in a significant increase in 
carrying capacity for single occupant vehicles in a 
transportation management area classified as a nonattainment 
area for ozone or carbon monoxide under the Clean Air Act (42 
U.S.C. 7401 et seq.) only if the project is part of an approved 
congestion management system.
  [(g) Areas Not Designated Transportation Management Areas.--
(1) The Secretary may provide for the development of 
abbreviated metropolitan transportation plans and programs the 
Secretary decides are appropriate to carry out this section and 
sections 5303, 5304, and 5306 of this title for metropolitan 
areas not designated transportation management areas under this 
section. The Secretary shall consider the complexity of 
transportation problems in those areas, including 
transportation-related air quality problems.
  [(2) The Secretary may not provide an abbreviated plan or 
program for a metropolitan area in a nonattainment area for 
ozone or carbon monoxide under the Clean Air Act (42 U.S.C. 
7401 et seq.).
  [(h) Continuation of Current Review Practice.--Since plans 
and programs described in this section are subject to a 
reasonable opportunity for public comment, since individual 
projects included in the plans and programs are subject to 
review under the National Environmental Policy Act of 1969 (42 
U.S.C. 4321 et seq.), and since decisions by the Secretary 
concerning plans and programs described in this section have 
not been reviewed under such Act as of January 1, 1997, any 
decision by the Secretary concerning a plan or program 
described in this section shall not be considered to be a 
Federal action subject to review under the National 
Environmental Policy Act of 1969 (42 U.S.C. 4321 et seq.).]

Sec. 5303. Metropolitan planning

  (a) In General.--Grants made under sections 5307, 5308, 5309, 
5310, 5311, 5316, and 5317 shall be carried out in accordance 
with the metropolitan planning provisions of chapter 52.
  (b) Certification.--
          (1) In general.--The Secretary shall ensure and 
        certify that each metropolitan planning organization in 
        each transportation management area is carrying out its 
        responsibilities under applicable laws of the United 
        States. The Secretary may make the certification only 
        if the organization is complying with chapter 52 and 
        other applicable requirements of laws of the United 
        States and the organization and chief executive officer 
        have approved a transportation improvement program for 
        the area.
          (2) Limitation on withholding certification.--The 
        Secretary may not withhold certification based on the 
        policies and criteria a metropolitan planning 
        organization or mass transportation grant recipient 
        establishes under section 5306(a) for deciding the 
        feasibility of private enterprise participation.

Sec. 5304. Statewide planning

  Grants made under sections 5307, 5308, 5309, 5310, 5311, 
5316, and 5317 shall be carried out in accordance with the 
statewide planning provisions of chapter 52.

Sec. 5305. Planning programs

  (a) State Defined.--In this section the term ``State'' means 
a State of the United States, the District of Columbia, and 
Puerto Rico.
  (b) General Authority.--
          (1) Assistance.--Under criteria to be established by 
        the Secretary, the Secretary may provide assistance 
        for--
                  (A) the development of transportation plans 
                and programs;
                  (B) planning, engineering, designing, and 
                evaluating a public transportation project; and
                  (C) for other technical studies.
          (2) Grants, agreements, and contracts.--The Secretary 
        may provide assistance under paragraph (1)--
                  (A) by making grants to States, authorities 
                of States, metropolitan planning organizations, 
                and local governmental authorities; or
                  (B) by making agreements with other 
                departments, agencies, and instrumentalities of 
                the Government.
          (3) Eligible activities.--Activities eligible for 
        assistance under paragraph (1) include the following:
                  (A) Studies related to management, planning, 
                operations, capital requirements, and economic 
                feasibility.
                  (B) Evaluating previously financed projects.
                  (C) Peer reviews and exchanges of technical 
                data, information, assistance, and related 
                activities in support of planning and 
                environmental analyses among metropolitan 
                planning organizations and other transportation 
                planners.
                  (D) Other similar and related activities 
                preliminary to and in preparation for 
                constructing, acquiring, or improving the 
                operation of facilities and equipment.
  (c) Purpose.--To the extent practicable, the Secretary shall 
ensure that amounts appropriated or made available under 
section 5338 to carry out this section and sections 5303 and 
5304 are used to support balanced and comprehensive 
transportation planning that considers the relationships among 
land use and all transportation modes, without regard to the 
programmatic source of the planning amounts.
  (d) Metropolitan Planning Program.--
          (1) Apportionment to states.--
                  (A) In general.--The Secretary shall 
                apportion 80 percent of the amounts made 
                available under subsection (g)(1) among the 
                States to carry out sections 5303 and 5306 in 
                the ratio that--
                          (i) the population of urbanized areas 
                        in each State, as shown by the latest 
                        available decennial census of 
                        population; bears to
                          (ii) the total population of 
                        urbanized areas in all States, as shown 
                        by that census.
                  (B) Minimum apportionment.--Notwithstanding 
                subparagraph (A), a State may not receive less 
                than 0.5 percent of the amount apportioned 
                under this paragraph.
          (2) Allocation to mpo's.--Amounts apportioned to a 
        State under paragraph (1) shall be made available 
        within 30 days after allocation to metropolitan 
        planning organizations in the State designated under 
        this section under a formula that--
                  (A) considers population of urbanized areas;
                  (B) provides an appropriate distribution for 
                urbanized areas to carry out the cooperative 
                processes described in this section;
                  (C) the State develops in cooperation with 
                the metropolitan planning organizations; and
                  (D) the Secretary approves.
          (3) Supplemental amounts.--
                  (A) In general.--The Secretary shall 
                apportion 20 percent of the amounts made 
                available under subsection (g)(1) among the 
                States to supplement allocations made under 
                paragraph (1) for metropolitan planning 
                organizations.
                  (B) Formula.--The Secretary shall apportion 
                amounts referred to in subparagraph (A) under a 
                formula that reflects the additional cost of 
                carrying out planning, programming, and project 
                selection responsibilities under sections 5303 
                and 5306 in certain urbanized areas.
  (e) State Planning and Research Program.--
          (1) Apportionment to states.--
                  (A) In general.--The Secretary shall 
                apportion the amounts made available under 
                subsection (g)(2) among the States for grants 
                and contracts to carry out sections 5303 
                through 5306, 5312, 5315, and 5322 in the ratio 
                that--
                          (i) the population of urbanized areas 
                        in each State, as shown by the latest 
                        available decennial census; bears to
                          (ii) the population of urbanized 
                        areas in all States, as shown by that 
                        census.
                  (B) Minimum apportionment.--Notwithstanding 
                subparagraph (A), a State may not receive less 
                than 0.5 percent of the amount apportioned 
                under this paragraph.
          (2) Supplemental amounts.--A State, as the State 
        considers appropriate, may authorize part of the amount 
        made available under this subsection to be used to 
        supplement amounts made available under subsection (d).
  (f) Government's Share of Costs.--The Government's share of 
the cost of an activity funded using amounts made available 
under this section may not exceed 80 percent of the cost of the 
activity unless the Secretary determines that it is in the 
interests of the Government not to require a State or local 
match.
  (g) Allocation of Funds.--Of the funds made available by or 
appropriated to carry out this section under section 5338(c) 
for fiscal years 2004 through 2009--
          (1) 82.72 percent shall be available for the 
        metropolitan planning program under subsection (d); and
          (2) 17.28 percent shall be available to carry out 
        subsection (e).
  (h) Availability of Funds.--Funds apportioned under this 
section in a State shall remain available for obligation in 
that State for a period of 3 years after the last day of the 
fiscal year for which the funds are authorized. Any amounts so 
apportioned that remain unobligated at the end of that period 
shall be reapportioned among the States.

[Sec. 5306. Private enterprise participation in metropolitan planning 
                    and transportation improvement programs and 
                    relationship to other limitations]

Sec. 5306. Private enterprise participation in planning; relationship 
                    to other limitations

  (a) * * *

           *       *       *       *       *       *       *


Sec. 5307. Urbanized area formula grants

  (a) Definitions.--In this section, the following definitions 
apply:
          (1) * * *
          (2) Designated recipient.--The term ``designated 
        recipient'' means--
                  (A) [a person] an entity designated, 
                consistent with the planning process under 
                sections 5303-5306 of this title, by the chief 
                executive officer of a State, responsible local 
                officials, and publicly owned operators of 
                [mass] public transportation to receive and 
                apportion amounts under section 5336 of this 
                title that are attributable to transportation 
                management areas established under [section 
                5305(a) of this title] chapter 52; or
                  (B) a State or regional authority if the 
                authority is responsible under the laws of a 
                State for a capital project and for financing 
                and directly providing [mass] public 
                transportation.
  (b) General Authority.--[(1) The Secretary of Transportation 
may make grants under this section for capital projects and to 
finance the planning and improvement costs of equipment, 
facilities, and associated capital maintenance items for use in 
mass transportation, including the renovation and improvement 
of historic transportation facilities with related private 
investment. The Secretary may also make grants under this 
section to finance the operating cost of equipment and 
facilities for use in mass transportation in an urbanized area 
with a population of less than 200,000.]
          (1) Grants.--The Secretary may make grants under this 
        section for--
                  (A) capital projects and associated capital 
                maintenance items;
                  (B) planning;
                  (C) transit enhancements; and
                  (D) operating costs of equipment and 
                facilities for use in public transportation in 
                an urbanized area with a population of less 
                than 200,000.
          (2) Special rule for [fiscal year 2003 and for the 
        period of october 1, 2003, through april 30, 2004] 
        fiscal years 2003 through 2005.--
                  (A) Increased flexibility.--The Secretary may 
                make grants under this section, from funds made 
                available to carry out this section for [fiscal 
                year 2003, and for the period of October 1, 
                2003, through April 30, 2004] fiscal years 
                2003, 2004, and 2005, to finance the operating 
                cost of equipment and facilities for use in 
                [mass] public transportation in an urbanized 
                area with a population of at least 200,000 as 
                determined under the 2000 decennial census of 
                population if--
                          (i) * * *

           *       *       *       *       *       *       *

  (3) In a transportation management area designated under 
[section 5305(a) of this title] chapter 52, amounts that cannot 
be used to pay operating expenses under this section also are 
available for a highway project if--
          (A) that use is approved, in writing, by the 
        metropolitan planning organization under [section 5303 
        of this title] chapter 52 after appropriate notice and 
        an opportunity for comment and appeal is provided to 
        affected [mass] public transportation providers;

           *       *       *       *       *       *       *

  (c) Public Participation Requirements.--Each recipient of a 
grant shall--
          (1) * * *

           *       *       *       *       *       *       *

          (5) ensure that the proposed program of projects 
        provides for the coordination of [mass] public 
        transportation services assisted under section 5336 of 
        this title with transportation services assisted from 
        other United States Government sources;

           *       *       *       *       *       *       *

  (d) Grant Recipient Requirements.--A recipient may receive a 
grant in a fiscal year only if--
          (1) the recipient, within the time the Secretary 
        prescribes, submits a final program, including safety 
        and security aspects of the program of projects 
        prepared under subsection (c) of this section and a 
        certification for that fiscal year that the recipient 
        (including a person receiving amounts from a chief 
        executive officer of a State under this section)--
                  (A) * * *

           *       *       *       *       *       *       *

                  (H) will comply with [sections 5301(a) and 
                (d), 5303-5306, and 5310(a)-(d) of this title] 
                subsections (a) and (d) of section 5301 and 
                sections 5303 through 5306;
                  (I) has a locally developed process to 
                solicit and consider public comment before 
                raising a fare or carrying out a major 
                reduction of transportation; [and]
                  (J)(i) will expend for each fiscal year for 
                [mass] public transportation security projects, 
                including increased lighting in or adjacent to 
                a [mass] public transportation system 
                (including bus stops, subway stations, parking 
                lots, and garages), increased camera 
                surveillance of an area in or adjacent to that 
                system, providing an emergency telephone line 
                to contact law enforcement or security 
                personnel in an area in or adjacent to that 
                system, and any other project intended to 
                increase the security and safety of an existing 
                or planned [mass] public transportation system, 
                at least one percent of the amount the 
                recipient receives for each fiscal year under 
                section 5336 of this title; or
                  (ii) has decided that the expenditure for 
                security projects is not necessary; and
                  (K) in the case of a recipient for an 
                urbanized area with a population of at least 
                200,000--
                          (i) will expend one percent of the 
                        amount the recipient receives each 
                        fiscal year under this section for 
                        projects for transit enhancements, as 
                        defined in section 5302(a); and
                          (ii) will submit an annual report 
                        listing projects carried out in the 
                        preceding fiscal year with those funds; 
                        and

           *       *       *       *       *       *       *

  [(e) Government's Share of Costs.--A grant of the Government 
for a capital project (including associated capital maintenance 
items) under this section is for 80 percent of the net project 
cost of the project. A recipient may provide additional local 
matching amounts. A grant for operating expenses may not be 
more than 50 percent of the net project cost of the project. 
The remainder of the net project cost shall be provided in cash 
from sources other than amounts of the Government or revenues 
from providing mass transportation (excluding revenues derived 
from the sale of advertising and concessions that are more than 
the amount of those revenues in the fiscal year that ended 
September 30, 1985). Transit system amounts that make up the 
remainder shall be from an undistributed cash surplus, a 
replacement or depreciation cash fund or reserve, or new 
capital.]
  (e) Government's Share of Costs.--
          (1) Capital projects.--A grant for a capital project 
        (including associated capital maintenance items) under 
        this section shall be for 80 percent of the net project 
        cost of the project. The recipient may provide 
        additional local matching amounts.
          (2) Operating expenses.--A grant for operating 
        expenses under this section may not exceed 50 percent 
        of the net project cost of the project.
          (3) Remainder.--The remainder of the net project cost 
        shall be provided--
                  (A) in cash from sources other than amounts 
                of the Government or revenues from providing 
                public transportation (excluding revenues 
                derived from the sale of advertising and 
                concessions);
                  (B) from an undistributed cash surplus, a 
                replacement or depreciation cash fund or 
                reserve, or new capital; and
                  (C) from amounts received under a service 
                agreement with a State or local social service 
                agency or private social service organization.
  (f) Statewide Operating Assistance.--(1) A State authority 
that is a designated recipient and providing [mass] public 
transportation in at least 2 urbanized areas may apply for 
operating assistance in an amount not more than the amount for 
all urbanized areas in which it provides transportation.

           *       *       *       *       *       *       *

  [(h) Streamlined Administrative Procedures.--The Secretary 
shall prescribe streamlined administrative procedures for 
complying with the certification requirement under subsection 
(d)(1)(B) and (C) of this section for track and signal 
equipment used in existing operations.]
  [(i)] (h) Reviews, Audits, and Evaluations.--(1)(A) At least 
annually, the Secretary [shall] may carry out, or require a 
recipient to have carried out independently, reviews and audits 
the Secretary considers appropriate to establish whether the 
recipient has carried out--
          (i) * * *

           *       *       *       *       *       *       *

  [(j)] (i) Reports.--A recipient (including a person receiving 
amounts from a chief executive officer of a State under this 
section) shall submit annually to the Secretary a report on the 
revenues the recipient derives from the sale of advertising and 
concessions.
  [(k) Transit Enhancement Activities.--
          [(1) In general.--One percent of the funds 
        apportioned to urbanized areas with a population of at 
        least 200,000 under section 5336 for a fiscal year 
        shall be made available for transit enhancement 
        activities in accordance with section 5302(a)(15).
          [(2) Period of availability.--Funds apportioned under 
        paragraph (1) shall be available for obligation for 3 
        years following the fiscal year in which the funds are 
        apportioned. Funds that are not obligated at the end of 
        such period shall be reapportioned under the urbanized 
        area formula program of section 5336.
          [(3) Report.--A recipient of funds apportioned under 
        paragraph (1) shall submit, as part of the recipient's 
        annual certification to the Secretary, a report listing 
        the projects carried out during the preceding fiscal 
        year with those funds.]
  [(l)] (j) Procurement System Approval.--A recipient may 
request the Secretary to approve its procurement system. The 
Secretary shall approve the system for use for procurements 
financed under section 5336 of this title if, after consulting 
with the Administrator for Federal Procurement Policy, the 
Secretary decides the system provides for competitive 
procurement. Approval of a system under this subsection does 
not relieve a recipient of the duty to certify under subsection 
(d)(1)(E) of this section.
  [(m)] (k) Operating Ferries Outside Urbanized Areas.--A 
vessel used in ferryboat operations financed under section 5336 
of this title that is part of a State-operated ferry system may 
be operated occasionally outside the urbanized area in which 
service is provided to accommodate periodic maintenance if 
existing ferry service is not reduced significantly by 
operating outside the area.
  [(n)] (l) Relationship to Other Laws.--[(1) Section 1001 of 
title 18 applies to a certificate or submission under this 
section. The Secretary may end a grant under this section and 
seek reimbursement, directly or by offsetting amounts available 
under section 5336 of this title, when a false or fraudulent 
statement or related act within the meaning of section 1001 is 
made in connection with a certification or submission.]
          [(2)] (1) This chapter.--Sections 5302, 5318, 5319, 
        5323(a)(1), (d), and (f), 5332, and 5333 of this title 
        apply to this section and to a grant made under this 
        section. Except as provided in this section, no other 
        provision of this chapter applies to this section or to 
        a grant made under this section.
          (2) Chapter 15 of title 5.--The provision of 
        assistance under this chapter shall not be construed as 
        bringing within the application of chapter 15 of title 
        5 any nonsupervisory employee of a public 
        transportation system (or any other agency or entity 
        performing related functions) to which such chapter is 
        otherwise inapplicable.
  (m) Treatment.--For purposes of this section, the United 
States Virgin Islands shall be treated as an urbanized area, as 
defined in section 5302.

[Sec. 5308. Clean fuels formula grant program

  [(a) Definitions.--In this section--
          [(1) the term ``clean fuel vehicle'' means a vehicle 
        that--
                  [(A) is powered by--
                          [(i) compressed natural gas;
                          [(ii) liquefied natural gas;
                          [(iii) biodiesel fuels;
                          [(iv) batteries;
                          [(v) alcohol-based fuels;
                          [(vi) hybrid electric;
                          [(vii) fuel cell;
                          [(viii) clean diesel, to the extent 
                        allowed under this section; or
                          [(ix) other low or zero emissions 
                        technology; and
                  [(B) the Administrator of the Environmental 
                Protection Agency has certified sufficiently 
                reduces harmful emissions;
          [(2) the term ``designated recipient'' has the same 
        meaning as in section 5307(a)(2); and
          [(3) the term ``eligible project''--
                  [(A) means a project for--
                          [(i) purchasing or leasing clean fuel 
                        buses, including buses that employ a 
                        lightweight composite primary 
                        structure;
                          [(ii) constructing or leasing clean 
                        fuel buses or electrical recharging 
                        facilities and related equipment;
                          [(iii) improving existing mass 
                        transportation facilities to 
                        accommodate clean fuel buses;
                          [(iv) repowering pre-1993 engines 
                        with clean fuel technology that meets 
                        the current urban bus emission 
                        standards; or
                          [(v) retrofitting or rebuilding pre-
                        1993 engines if before half life to 
                        rebuild; and
                  [(B) in the discretion of the Secretary, may 
                include projects relating to clean fuel, 
                biodiesel, hybrid electric, or zero emissions 
                technology vehicles that exhibit equivalent or 
                superior emissions reductions to existing clean 
                fuel or hybrid electric technologies.
  [(b) Authority.--The Secretary shall make grants in 
accordance with this section to designated recipients to 
finance eligible projects.
  [(c) Application.--
          [(1) In general.--Not later than January 1 of each 
        year, any designated recipient seeking to apply for a 
        grant under this section for an eligible project shall 
        submit an application to the Secretary, in such form 
        and in accordance with such requirements as the 
        Secretary shall establish by regulation.
          [(2) Certification required.--An application 
        submitted under paragraph (1) shall contain a 
        certification by the applicant that the grantee will 
        operate vehicles purchased with a grant under this 
        section only with clean fuels.
  [(d) Apportionment of Funds.--
          [(1) Formula.--Not later than February 1 of each 
        year, the Secretary shall apportion amounts made 
        available to carry out this section to designated 
        recipients submitting applications under subsection 
        (c), of which--
                  [(A) two-thirds shall be apportioned to 
                designated recipients with eligible projects in 
                urban areas with a population of at least 
                1,000,000, of which--
                          [(i) 50 percent shall be apportioned, 
                        such that each such designated 
                        recipient receives a grant in an amount 
                        equal to the ratio between--
                                  [(I) the number of vehicles 
                                in the bus fleet of the 
                                eligible project of the 
                                designated recipient, weighted 
                                by severity of nonattainment 
                                for the area in which the 
                                eligible project is located, as 
                                provided in paragraph (2); and
                                  [(II) the total number of 
                                vehicles in the bus fleets of 
                                all eligible projects in areas 
                                with a population of at least 
                                1,000,000 funded under this 
                                section, weighted by severity 
                                of nonattainment for all areas 
                                in which those eligible 
                                projects are located, as 
                                provided in paragraph (2); and
                          [(ii) 50 percent shall be 
                        apportioned, such that each such 
                        designated recipient receives a grant 
                        in an amount equal to the ratio 
                        between--
                                  [(I) the number of bus 
                                passenger miles (as that term 
                                is defined in section 5336(c)) 
                                of the eligible project of the 
                                designated recipient, weighted 
                                by severity of nonattainment of 
                                the area in which the eligible 
                                project is located, as provided 
                                in paragraph (2); and
                                  [(II) the total number of bus 
                                passenger miles of all eligible 
                                projects in areas with a 
                                population of at least 
                                1,000,000 funded under this 
                                section, weighted by severity 
                                of nonattainment of all areas 
                                in which those eligible 
                                projects are located, as 
                                provided in paragraph (2); and
                  [(B) one-third shall be apportioned to 
                designated recipients with eligible projects in 
                urban areas with a population of less than 
                1,000,000, of which--
                          [(i) 50 percent shall be apportioned, 
                        such that each such designated 
                        recipient receives a grant in an amount 
                        equal to the ratio between--
                                  [(I) the number of vehicles 
                                in the bus fleet of the 
                                eligible project of the 
                                designated recipient, weighted 
                                by severity of nonattainment 
                                for the area in which the 
                                eligible project is located, as 
                                provided in paragraph (2); and
                                  [(II) the total number of 
                                vehicles in the bus fleets of 
                                all eligible projects in areas 
                                with a population of less than 
                                1,000,000 funded under this 
                                section, weighted by severity 
                                of nonattainment for all areas 
                                in which those eligible 
                                projects are located, as 
                                provided in paragraph (2); and
                          [(ii) 50 percent shall be 
                        apportioned, such that each such 
                        designated recipient receives a grant 
                        in an amount equal to the ratio 
                        between--
                                  [(I) the number of bus 
                                passenger miles (as that term 
                                is defined in section 5336(c)) 
                                of the eligible project of the 
                                designated recipient, weighted 
                                by severity of nonattainment of 
                                the area in which the eligible 
                                project is located, as provided 
                                in paragraph (2); and
                                  [(II) the total number of bus 
                                passenger miles of all eligible 
                                projects in areas with a 
                                population of less than 
                                1,000,000 funded under this 
                                section, weighted by severity 
                                of nonattainment of all areas 
                                in which those eligible 
                                projects are located, as 
                                provided in paragraph (2).
          [(2) Weighting of severity of nonattainment.--
                  [(A) In general.--For purposes of paragraph 
                (1), subject to subparagraph (B) of this 
                paragraph, the number of clean fuel vehicles in 
                the fleet, or the number of passenger miles, 
                shall be multiplied by a factor of--
                          [(i) 1.0 if, at the time of the 
                        apportionment, the area is a 
                        maintenance area (as that term is 
                        defined in section 101 of title 23) for 
                        ozone or carbon monoxide;
                          [(ii) 1.1 if, at the time of the 
                        apportionment, the area is classified 
                        as--
                                  [(I) a marginal ozone 
                                nonattainment area under 
                                subpart 2 of part D of title I 
                                of the Clean Air Act (42 U.S.C. 
                                7511 et seq.); or
                                  [(II) a marginal carbon 
                                monoxide nonattainment area 
                                under subpart 3 of part D of 
                                title I of the Clean Air Act 
                                (42 U.S.C. 7512 et seq.);
                          [(iii) 1.2 if, at the time of the 
                        apportionment, the area is classified 
                        as--
                                  [(I) a moderate ozone 
                                nonattainment area under 
                                subpart 2 of part D of title I 
                                of the Clean Air Act (42 U.S.C. 
                                7511 et seq.); or
                                  [(II) a moderate carbon 
                                monoxide nonattainment area 
                                under subpart 3 of part D of 
                                title I of the Clean Air Act 
                                (42 U.S.C. 7512 et seq.);
                          [(iv) 1.3 if, at the time of the 
                        apportionment, the area is classified 
                        as--
                                  [(I) a serious ozone 
                                nonattainment area under 
                                subpart 2 of part D of title I 
                                of the Clean Air Act (42 U.S.C. 
                                7511 et seq.); or
                                  [(II) a serious carbon 
                                monoxide nonattainment area 
                                under subpart 3 of part D of 
                                title I of the Clean Air Act 
                                (42 U.S.C. 7512 et seq.);
                          [(v) 1.4 if, at the time of the 
                        apportionment, the area is classified 
                        as--
                                  [(I) a severe ozone 
                                nonattainment area under 
                                subpart 2 of part D of title I 
                                of the Clean Air Act (42 U.S.C. 
                                7511 et seq.); or
                                  [(II) a severe carbon 
                                monoxide nonattainment area 
                                under subpart 3 of part D of 
                                title I of the Clean Air Act 
                                (42 U.S.C. 7512 et seq.); or
                          [(vi) 1.5 if, at the time of the 
                        apportionment, the area is classified 
                        as--
                                  [(I) an extreme ozone 
                                nonattainment area under 
                                subpart 2 of part D of title I 
                                of the Clean Air Act (42 U.S.C. 
                                7511 et seq.); or
                                  [(II) an extreme carbon 
                                monoxide nonattainment area 
                                under subpart 3 of part D of 
                                title I of the Clean Air Act 
                                (42 U.S.C. 7512 et seq.).
                  [(B) Additional adjustment for carbon 
                monoxide areas.--If, in addition to being 
                classified as a nonattainment or maintenance 
                area (as that term is defined in section 101 of 
                title 23) for ozone under subpart 2 of part D 
                of title I of the Clean Air Act (42 U.S.C. 7511 
                et seq.), the area was also classified under 
                subpart 3 of part D of title I of that Act (42 
                U.S.C. 7512 et seq.) as a nonattainment area 
                for carbon monoxide, the weighted nonattainment 
                or maintenance area fleet and passenger miles 
                for the eligible project, as calculated under 
                subparagraph (A), shall be further multiplied 
                by a factor of 1.2.
          [(3) Maximum grant amount.--
                  [(A) In general.--The amount of a grant made 
                to a designated recipient under this section 
                shall not exceed the lesser of--
                          [(i) for an eligible project in an 
                        area--
                                  [(I) with a population of 
                                less than 1,000,000, 
                                $15,000,000; and
                                  [(II) with a population of at 
                                least 1,000,000, $25,000,000; 
                                or
                          [(ii) 80 percent of the total cost of 
                        the eligible project.
                  [(B) Reapportionment.--Any amounts that would 
                otherwise be apportioned to a designated 
                recipient under this subsection that exceed the 
                amount described in subparagraph (A) shall be 
                reapportioned among other designated recipients 
                in accordance with paragraph (1).
  [(e) Additional Requirements.--
          [(1) Limitation on uses.--Not less than 5 percent of 
        the amount made available by or appropriated under 
        section 5338 in each fiscal year to carry out this 
        section shall be available for any eligible projects 
        for which an application is received from a designated 
        recipient, for--
                  [(A) the purchase or construction of hybrid 
                electric or battery-powered buses; or
                  [(B) facilities specifically designed to 
                service those buses.
          [(2) Clean diesel buses.--Not more than 35 percent of 
        the amount made available by or appropriated under 
        section 5338 in each fiscal year to carry out this 
        section may be made available to fund clean diesel 
        buses.
          [(3) Bus retrofitting and replacement.--Not more than 
        5 percent of the amount made available by or 
        appropriated under section 5338 in each fiscal year to 
        carry out this section may be made available to fund 
        retrofitting or replacement of the engines of buses 
        that do not meet the clean air standards of the 
        Environmental Protection Agency, as in effect on the 
        date on which the application for such retrofitting or 
        replacement is submitted under subsection (c)(1).
  [(f) Availability of Funds.--Any amount made available or 
appropriated under this section--
          [(1) shall remain available to a project for 1 year 
        after the fiscal year for which the amount is made 
        available or appropriated; and
          [(2) that remains unobligated at the end of the 
        period described in paragraph (1), shall be added to 
        the amount made available in the following fiscal 
        year.]

Sec. 5308. Clean fuels formula grant program

  (a) Definitions.--In this section, the following definitions 
apply:
          (1) Clean fuel bus.--The term ``clean fuel bus'' 
        means a passenger vehicle used to provide public 
        transportation that--
                  (A) is powered by--
                          (i) compressed natural gas;
                          (ii) liquefied natural gas;
                          (iii) biodiesel fuels;
                          (iv) batteries;
                          (v) alcohol-based fuels;
                          (vi) hybrid electric;
                          (vii) fuel cell;
                          (viii) clean diesel, to the extent 
                        allowed under this section; or
                          (ix) other low or zero emissions 
                        technology; and
                  (B) the Administrator of the Environmental 
                Protection Agency has certified sufficiently 
                reduces harmful emissions.
          (2) Eligible project.--The term ``eligible 
        project''--
                  (A) means a project in a nonattainment or 
                maintenance area described in paragraph (4)(A) 
                for--
                          (i) purchasing or leasing clean fuel 
                        buses, including buses that employ a 
                        lightweight composite primary 
                        structure;
                          (ii) constructing or leasing clean 
                        fuel buses or electrical recharging 
                        facilities and related equipment for 
                        such buses; or
                          (iii) improving existing public 
                        transportation facilities to 
                        accommodate clean fuel buses; and
                  (B) at the discretion of the Secretary, may 
                include a project located in a nonattainment or 
                maintenance area described in paragraph (3)(A) 
                relating to clean fuel, biodiesel, hybrid 
                electric, or zero emissions technology buses 
                that exhibit equivalent or superior emissions 
                reductions to existing clean fuel or hybrid 
                electric technologies.
          (3) Maintenance area.--The term ``maintenance area'' 
        has the meaning such term has under section 101 of 
        title 23.
          (4) Recipient.--
                  (A) In general.--The term ``recipient'' means 
                a designated recipient (as defined in section 
                5307(a)(2)) for an area that, and a recipient 
                for an urbanized area with a population of less 
                than 200,000 that--
                          (i) is designated as a nonattainment 
                        area for ozone or carbon monoxide under 
                        section 107(d) of the Clean Air Act (42 
                        U.S.C. 7407(d)); or
                          (ii) is a maintenance area for ozone 
                        or carbon monoxide.
                  (B) Smaller urbanized areas.--In the case of 
                an urbanized area with a population of less 
                than 200,000, the State in which the area is 
                located shall act as the recipient for the area 
                under this section.
  (b) Authority.--The Secretary shall make grants in accordance 
with this section to recipients to finance eligible projects.
  (c) Apportionment of Funds.--
          (1) Formula.--The Secretary shall apportion among 
        recipients amounts made available to carry out this 
        section for a fiscal year. Of such amounts--
                  (A) two-thirds shall be apportioned to 
                recipients serving urbanized areas with a 
                population of at least 1,000,000, of which--
                          (i) 50 percent shall be apportioned 
                        so that each such recipient receives a 
                        grant under this section in an amount 
                        equal to the ratio that--
                                  (I) the number of vehicles in 
                                the bus fleet of the recipient, 
                                weighted by severity of 
                                nonattainment for the area 
                                served by the recipient; bears 
                                to
                                  (II) the total number of 
                                vehicles in the bus fleets of 
                                all such recipients, weighted 
                                by severity of nonattainment 
                                for all areas served by such 
                                recipients; and
                          (ii) 50 percent shall be apportioned 
                        so that each such recipient receives a 
                        grant under this section in an amount 
                        equal to the ratio that--
                                  (I) the number of bus 
                                passenger miles (as defined in 
                                section 5336(c)) of the 
                                recipient, weighted by severity 
                                of nonattainment of the area 
                                served by the recipient; bears 
                                to
                                  (II) the total number of bus 
                                passenger miles (as defined in 
                                section 5336(c)) of all such 
                                recipients, weighted by 
                                severity of nonattainment of 
                                all areas served by such 
                                recipients; and
                  (B) one-third shall be apportioned to 
                recipients serving urbanized areas with a 
                population of less than 1,000,000, of which--
                          (i) 50 percent shall be apportioned 
                        so that each such recipient receives a 
                        grant under this section in an amount 
                        equal to the ratio that--
                                  (I) the number of vehicles in 
                                the bus fleet of the recipient, 
                                weighted by severity of 
                                nonattainment for the area 
                                served by the recipient; bears 
                                to
                                  (II) the total number of 
                                vehicles in the bus fleets of 
                                all such recipients, weighted 
                                by severity of nonattainment 
                                for all areas served by such 
                                recipients; and
                          (ii) 50 percent shall be apportioned 
                        so that each such recipient receives a 
                        grant under this section in an amount 
                        equal to the ratio that--
                                  (I) the number of bus 
                                passenger miles (as defined in 
                                section 5336(c)) of the 
                                recipient, weighted by severity 
                                of nonattainment of the area 
                                served by the recipient; bears 
                                to
                                  (II) the total number of bus 
                                passenger miles (as defined in 
                                section 5336(c)) of all such 
                                recipients, weighted by 
                                severity of nonattainment of 
                                all areas served by such 
                                recipients.
          (2) Weighting of severity of nonattainment.--
                  (A) In general.--For purposes of paragraph 
                (1), subject to subparagraph (B), the number of 
                buses in the bus fleet, or the number of 
                passenger miles, shall be multiplied by a 
                factor of--
                          (i) 1.0 if, at the time of the 
                        apportionment, the area is a 
                        maintenance area for ozone or carbon 
                        monoxide;
                          (ii) 1.1 if, at the time of the 
                        apportionment, the area is classified 
                        as a marginal ozone nonattainment area 
                        under subpart 2 of part D of title I of 
                        the Clean Air Act (42 U.S.C. 7511 et 
                        seq.);
                          (iii) 1.2 if, at the time of the 
                        apportionment, the area is classified 
                        as--
                                  (I) a moderate ozone 
                                nonattainment area under 
                                subpart 2 of such part; or
                                  (II) a moderate carbon 
                                monoxide nonattainment area 
                                under subpart 3 of such part;
                          (iv) 1.3 if, at the time of the 
                        apportionment, the area is classified 
                        as a serious ozone nonattainment area 
                        under subpart 2 of such part; or
                          (v) 1.4 if, at the time of the 
                        apportionment, the area is classified 
                        as a severe ozone nonattainment area 
                        under subpart 2 of such part; or
                          (vi) 1.5 if, at the time of the 
                        apportionment, the area is classified 
                        as an extreme ozone nonattainment area 
                        under subpart 2 of such part.
                  (B) Additional adjustment for carbon monoxide 
                areas.--If, in addition to being classified as 
                a nonattainment or maintenance area for ozone 
                under subpart 2 of such part, the area was also 
                classified under subpart 3 of such part as a 
                nonattainment area for carbon monoxide, the 
                weighted nonattainment or maintenance area 
                fleet and passenger miles for the recipient, as 
                calculated under subparagraph (A), shall be 
                further multiplied by a factor of 1.2.
  (d) Clean Diesel Buses.--Not more than 35 percent of the 
amount made available by or appropriated under section 5338 in 
each fiscal year to carry out this section may be made 
available to fund clean diesel buses.
  (e) Grant Requirements.--
          (1) In general.--A grant under this section shall be 
        subject to the requirements of section 5307.
          (2) Government's share of costs for certain 
        projects.--Section 5323(i) applies to projects carried 
        out under this section.
  (f) Availability of Funds.--Any amount made available or 
appropriated under this section--
          (1) shall remain available to a project for 1 year 
        after the fiscal year for which the amount is made 
        available or appropriated; and
          (2) that remains unobligated at the end of the period 
        described in paragraph (1) shall be added to the amount 
        made available in the following fiscal year.

[Sec. 5309. Capital investment grants and loans]

Sec. 5309. Capital investment grants

  (a) General Authority.--(1) The Secretary of Transportation 
may make grants [and loans] under this section to assist State 
and local governmental authorities in financing--
          (A) capital projects for new fixed guideway systems, 
        and extensions to existing fixed guideway systems, 
        including the acquisition of real property, the initial 
        acquisition of rolling stock for the systems, 
        alternatives analysis related to the development of the 
        systems, and the acquisition of rights of way, and 
        relocation, for fixed guideway corridor development for 
        projects in the advanced stages of alternatives 
        analysis or preliminary engineering;
          (B) capital projects, including property and 
        improvements (except public highways other than fixed 
        guideway facilities), needed for an efficient and 
        coordinated [mass] public transportation system;
          (C) the capital costs of coordinating [mass] public 
        transportation with other transportation;
          (D) the introduction of new technology, through 
        innovative and improved products, into [mass] public 
        transportation;
          (E) capital projects to modernize existing fixed 
        guideway systems;
          (F) capital projects to replace, rehabilitate, and 
        purchase buses and related equipment and to construct 
        bus-related facilities;
          (G) [mass] public transportation projects planned, 
        designed, and carried out to meet the special needs of 
        elderly individuals and individuals with disabilities; 
        and
          (H) the development of corridors to support fixed 
        guideway systems, including protecting rights of way 
        through acquisition, construction of dedicated bus and 
        high occupancy vehicle lanes and park and ride lots, 
        and other nonvehicular capital improvements that the 
        Secretary may decide would result in increased [mass] 
        public transportation usage in the corridor.
  (2) The Secretary of Transportation shall require that all 
grants [and loans] under this subsection be subject to all 
terms, conditions, requirements, and provisions the Secretary 
decides are necessary or appropriate for the purposes of this 
section, including requirements for the disposition of net 
increases in value of real property resulting from the project 
assisted under this section.
  [(b) Loans for Real Property Interests.--(1) The Secretary of 
Transportation may make loans under this section to State and 
local governmental authorities to acquire interests in real 
property for use on urban mass transportation systems as rights 
of way, station sites, and related purposes, including 
reconstruction, renovation, the net cost of property 
management, and relocation payments made under section 5324(a) 
of this title.
  [(2) The Secretary of Transportation may make a loan under 
paragraph (1) of this subsection for an approved project only 
after finding that the property reasonably is expected to be 
required for a mass transportation system and that it will be 
used for that system within a reasonable time.
  [(3) An applicant for a loan under this subsection shall 
provide a copy of the application to the planning agency for 
the community affected by the project at the same time the 
application is submitted to the Secretary of Transportation. If 
the planning agency submits comments to the Secretary not later 
than 30 days after the application is submitted, or, if the 
agency requests more time within those 30 days, within a period 
the Secretary establishes, the Secretary shall consider those 
comments before taking final action on the application.
  [(4) A loan agreement under this subsection shall provide 
that a capital project on the property will be started not 
later than 10 years after the fiscal year in which the 
agreement is made. If an interest in property acquired under 
this subsection is not used for the purpose for which it was 
acquired, an appraisal of the current value of the property or 
interest shall be made when a decision is made about the use. 
The decision shall be made within the 10-year period. Two-
thirds of the increase in value shall be paid to the Secretary 
of Transportation for deposit in the Treasury as miscellaneous 
receipts.
  [(5) A loan under this subsection must be repaid not later 
than 10 years after the date of the loan agreement or on the 
date a grant agreement for a capital project on the property is 
made, whichever is earlier. Payments made to repay the loan 
shall be deposited in the Treasury as miscellaneous receipts.
  [(c) [Reserved.]]
  [(d)] (b) Project as Part of Approved Program of Projects.--
[Except as provided in subsections (b)(2) and (e) of this 
section, the] The Secretary of Transportation may approve a 
grant [or loan] for a project under this section only after 
finding that the project is part of the approved program of 
projects required under sections 5303-5306 of this title and 
that an applicant--
          (1) * * *

           *       *       *       *       *       *       *

  [(e) Criteria for Grants and Loans for Fixed Guideway 
Systems.--
          [(1) In general.--The Secretary may approve a grant 
        or loan under this section for a capital project for a 
        new fixed guideway system or extension of an existing 
        fixed guideway system only if the Secretary determines 
        that the proposed project is--
                  [(A) based on the results of an alternatives 
                analysis and preliminary engineering;
                  [(B) justified based on a comprehensive 
                review of its mobility improvements, 
                environmental benefits, cost effectiveness, and 
                operating efficiencies; and
                  [(C) supported by an acceptable degree of 
                local financial commitment, including evidence 
                of stable and dependable financing sources to 
                construct, maintain, and operate the system or 
                extension.
          [(2) Alternatives analysis and preliminary 
        engineering.--In evaluating a project under paragraph 
        (1)(A), the Secretary shall analyze and consider the 
        results of the alternatives analysis and preliminary 
        engineering for the project.
          [(3) Project justification.--In evaluating a project 
        under paragraph (1)(B), the Secretary shall--
                  [(A) consider the direct and indirect costs 
                of relevant alternatives;
                  [(B) consider factors such as congestion 
                relief, improved mobility, air pollution, noise 
                pollution, energy consumption, and all 
                associated ancillary and mitigation costs 
                necessary to carry out each alternative 
                analyzed, and recognize reductions in local 
                infrastructure costs achieved through compact 
                land use development;
                  [(C) identify and consider mass 
                transportation supportive existing land use 
                policies and future patterns, and the cost of 
                suburban sprawl;
                  [(D) consider the degree to which the project 
                increases the mobility of the mass 
                transportation dependent population or promotes 
                economic development;
                  [(E) consider population density and current 
                transit ridership in the corridor;
                  [(F) consider the technical capability of the 
                grant recipient to construct the project;
                  [(G) adjust the project justification to 
                reflect differences in local land, 
                construction, and operating costs; and
                  [(H) consider other factors that the 
                Secretary determines appropriate to carry out 
                this chapter.
          [(4) Local financial commitment.--
                  [(A) Evaluation of project.--In evaluating a 
                project under paragraph (1)(C), the Secretary 
                shall require that--
                          [(i) the proposed project plan 
                        provides for the availability of 
                        contingency amounts that the Secretary 
                        determines to be reasonable to cover 
                        unanticipated cost increases;
                          [(ii) each proposed local source of 
                        capital and operating financing is 
                        stable, reliable, and available within 
                        the proposed project timetable; and
                          [(iii) local resources are available 
                        to operate the overall proposed mass 
                        transportation system (including 
                        essential feeder bus and other services 
                        necessary to achieve the projected 
                        ridership levels) without requiring a 
                        reduction in existing mass 
                        transportation services to operate the 
                        proposed project.
                  [(B) Considerations.--In assessing the 
                stability, reliability, and availability of 
                proposed sources of local financing under 
                subparagraph (A), the Secretary shall 
                consider--
                          [(i) existing grant commitments;
                          [(ii) the degree to which financing 
                        sources are dedicated to the purposes 
                        proposed;
                          [(iii) any debt obligation that 
                        exists or is proposed by the recipient 
                        for the proposed project or other mass 
                        transportation purpose; and
                          [(iv) the extent to which the project 
                        has a local financial commitment that 
                        exceeds the required non-Federal share 
                        of the cost of the project.
          [(5) Regulations.--Not later than 120 days after the 
        date of enactment of the Federal Transit Act of 1998, 
        the Secretary shall issue regulations on the manner in 
        which the Secretary will evaluate and rate the projects 
        based on the results of alternatives analysis, project 
        justification, and the degree of local financial 
        commitment, as required under this subsection.
          [(6) Project evaluation and rating.--A proposed 
        project may advance from alternatives analysis to 
        preliminary engineering, and may advance from 
        preliminary engineering to final design and 
        construction, only if the Secretary finds that the 
        project meets the requirements of this section and 
        there is a reasonable likelihood that the project will 
        continue to meet such requirements. In making such 
        findings, the Secretary shall evaluate and rate the 
        project as ``highly recommended'', ``recommended'', or 
        ``not recommended'', based on the results of 
        alternatives analysis, the project justification 
        criteria, and the degree of local financial commitment, 
        as required under this subsection. In rating the 
        projects, the Secretary shall provide, in addition to 
        the overall project rating, individual ratings for each 
        of the criteria established under the regulations 
        issued under paragraph (5).
          [(7) Full funding grant agreement.--A project 
        financed under this subsection shall be carried out 
        through a full funding grant agreement. The Secretary 
        shall enter into a full funding grant agreement based 
        on the evaluations and ratings required under this 
        subsection. The Secretary shall not enter into a full 
        funding grant agreement for a project unless that 
        project is authorized for final design and 
        construction.
          [(8) Limitations on applicability.--
                  [(A) Projects with a section 5309 federal 
                share of less than $25,000,000.--A project for 
                a new fixed guideway system or extension of an 
                existing fixed guideway system is not subject 
                to the requirements of this subsection, and the 
                simultaneous evaluation of similar projects in 
                at least 2 corridors in a metropolitan area may 
                not be limited, if the assistance provided 
                under this section with respect to the project 
                is less than $25,000,000.
                  [(B) Projects in nonattainment areas.--The 
                simultaneous evaluation of projects in at least 
                2 corridors in a metropolitan area may not be 
                limited and the Secretary shall make decisions 
                under this subsection with expedited procedures 
                that will promote carrying out an approved 
                State Implementation Plan in a timely way if a 
                project is--
                          [(i) located in a nonattainment area;
                          [(ii) a transportation control 
                        measure (as defined by the Clean Air 
                        Act (42 U.S.C. 7401 et seq.)); and
                          [(iii) required to carry out the 
                        State Implementation Plan.
                  [(C) Projects financed with highway funds.--
                This subsection does not apply to a part of a 
                project financed completely with amounts made 
                available from the Highway Trust Fund (other 
                than the Mass Transit Account).
                  [(D) Previously issued letter of intent or 
                full funding grant agreement.--This subsection 
                does not apply to projects for which the 
                Secretary has issued a letter of intent or 
                entered into a full funding grant agreement 
                before the date of enactment of the Federal 
                Transit Act of 1998.
  [(f) [Reserved.]
  [(g) Letters of Intent, Full Funding Grant Agreements, and 
Early Systems Work Agreements.--(1)(A) The Secretary of 
Transportation may issue a letter of intent to an applicant 
announcing an intention to obligate, for a project under this 
section, an amount from future available budget authority 
specified in law that is not more than the amount stipulated as 
the financial participation of the Secretary in the project. 
The amount shall be sufficient to complete at least an operable 
segment when a letter is issued for a fixed guideway project.
  [(B) At least 60 days before issuing a letter under 
subparagraph (A) of this paragraph or entering into a full 
funding grant agreement, the Secretary of Transportation shall 
notify in writing the Committee on Transportation and 
Infrastructure of the House of Representatives and the 
Committee on Banking, Housing, and Urban Affairs of the Senate 
and the House and Senate Committees on Appropriations of the 
proposed letter or agreement. The Secretary shall include with 
the notification a copy of the proposed letter or agreement as 
well as the evaluations and ratings for the project.
  [(C) The issuance of a letter is deemed not to be an 
obligation under sections 1108(c) and (d), 1501, and 1502(a) of 
title 31 or an administrative commitment.
  [(D) An obligation or administrative commitment may be made 
only when amounts are appropriated.
  [(2)(A) The Secretary of Transportation may make a full 
funding grant agreement with an applicant. The agreement 
shall--
          [(i) establish the terms of participation by the 
        United States Government in a project under this 
        section;
          [(ii) establish the maximum amount of Government 
        financial assistance for the project;
          [(iii) cover the period of time for completing the 
        project, including a period extending beyond the period 
        of an authorization; and
          [(iv) make timely and efficient management of the 
        project easier according to the law of the United 
        States.
  [(B) An agreement under this paragraph obligates an amount of 
available budget authority specified in law and may include a 
commitment, contingent on amounts to be specified in law in 
advance for commitments under this paragraph, to obligate an 
additional amount from future available budget authority 
specified in law. The agreement shall state that the contingent 
commitment is not an obligation of the Government. Interest and 
other financing costs of efficiently carrying out a part of the 
project within a reasonable time are a cost of carrying out the 
project under a full funding grant agreement, except that 
eligible costs may not be more than the cost of the most 
favorable financing terms reasonably available for the project 
at the time of borrowing. The applicant shall certify, in a way 
satisfactory to the Secretary of Transportation, that the 
applicant has shown reasonable diligence in seeking the most 
favorable financing terms. The amount stipulated in an 
agreement under this paragraph for a fixed guideway project 
shall be sufficient to complete at least an operable segment.
  [(3)(A) The Secretary of Transportation may make an early 
systems work agreement with an applicant if a record of 
decision under the National Environmental Policy Act of 1969 
(42 U.S.C. 4321 et seq.) has been issued on the project and the 
Secretary finds there is reason to believe--
          [(i) a full funding grant agreement for the project 
        will be made; and
          [(ii) the terms of the work agreement will promote 
        ultimate completion of the project more rapidly and at 
        less cost.
  [(B) A work agreement under this paragraph obligates an 
amount of available budget authority specified in law and shall 
provide for reimbursement of preliminary costs of carrying out 
the project, including land acquisition, timely procurement of 
system elements for which specifications are decided, and other 
activities the Secretary of Transportation decides are 
appropriate to make efficient, long-term project management 
easier. A work agreement shall cover the period of time the 
Secretary considers appropriate. The period may extend beyond 
the period of current authorization. Interest and other 
financing costs of efficiently carrying out the work agreement 
within a reasonable time are a cost of carrying out the 
agreement, except that eligible costs may not be more than the 
cost of the most favorable financing terms reasonably available 
for the project at the time of borrowing. The applicant shall 
certify, in a way satisfactory to the Secretary, that the 
applicant has shown reasonable diligence in seeking the most 
favorable financing terms. If an applicant does not carry out 
the project for reasons within the control of the applicant, 
the applicant shall repay all Government payments made under 
the work agreement plus reasonable interest and penalty charges 
the Secretary establishes in the agreement.
  [(4)(A) The total estimated amount of future obligations of 
the Government and contingent commitments to incur obligations 
covered by all outstanding letters of intent, full funding 
grant agreements, and early systems work agreements may be not 
more than the greater of the amount authorized under section 
5338(b) of this title for new fixed guideway systems and 
extensions to existing fixed guideway systems and the amount 
appropriated under section 5338(h)(5) or an amount equivalent 
to the last 2 fiscal years of funding authorized under section 
5338(b) for new fixed guideway systems and extensions to 
existing fixed guideway systems, less an amount the Secretary 
of Transportation reasonably estimates is necessary for grants 
under this section not covered by a letter. The total amount 
covered by new letters and contingent commitments included in 
full funding grant agreements and early systems work agreements 
may be not more than a limitation specified in law.
          [(B) For fiscal year 2001 and thereafter, the amount 
        equivalent to the last 2 fiscal years of funding 
        authorized under section 5338(b) for new fixed guideway 
        systems and extensions to existing fixed guideway 
        systems referred to in subparagraph (A) shall be the 
        amount equivalent to the last 3 fiscal years of such 
        authorized funding.
          [(C) Any increase in the total estimated amount of 
        future obligations of the Government and contingent 
        commitments to incur obligations covered by all 
        outstanding letters of intent, full funding grant 
        agreements, and early systems work agreements as a 
        result of application of subparagraph (B) instead of 
        subparagraph (A) shall be available as follows:
                  [(1) $269,100,000 for the Chicago, Illinois 
                Metra commuter rail project, that consists of 
                the following elements: the Kane County 
                extension; the North Central double-tracking 
                project; and the Southwest corridor extension.
                  [(2) $565,600,000 for the Chicago Transit 
                Authority project that consists of the 
                following elements: Ravenswood Branch station 
                and line improvements and the Douglas Branch 
                reconstruction project.
                  [(3) For new fixed guideways and extensions 
                to existing fixed guideway systems other than 
                for projects referred to in paragraphs (1) and 
                (2); except that for fiscal year 2001, such 
                increase under this paragraph shall not be 
                available for allocation by the department or 
                for making future obligations of the Government 
                and contingent commitments until April 1, 2001.
          [(D) Of the amount that would be available under 
        subparagraph (A) if subparagraph (B) were not in effect 
        and would have otherwise been allocated by the Federal 
        Transit Administration to those projects referred to in 
        subparagraphs (C)(1) and (C)(2) shall be available as 
        follows:
                  [(1) $60,000,000 for the Minneapolis Hiawatha 
                corridor light rail project, which shall be in 
                addition to amounts otherwise allocated under 
                subparagraph (A), for a total of $334,300,000.
                  [(2) $217,800,000 for the Dulles corridor bus 
                rapid transit project, that consists of a rail 
                extension from the West Falls Church metrorail 
                station to Tysons Corner, Virginia and bus 
                rapid transit from Tysons Corner to the Dulles 
                International Airport.
          [(E) Any amount that would be available under 
        subparagraph (A) if subparagraph (B) were not in effect 
        and would have otherwise been allocated by the Federal 
        Transit Administration to those projects referred to in 
        subparagraphs (C)(1) and (C)(2), shall not be available 
        for allocation by the department or for making future 
        obligations of the Government and contingent 
        commitments until April 1, 2001, except for those 
        projects referred to in subparagraph (D)(1) and (D)(2).
          [(F) Future obligations of the Government and 
        contingent commitments made against the contingent 
        commitment authority under section 3032(g)(2) of the 
        Intermodal Surface Transportation Efficiency Act of 
        1991 for the San Francisco BART to the Airport project 
        for fiscal years 2002, 2003, 2004, 2005 and 2006 shall 
        be charged against section 3032(g)(2) of the Intermodal 
        Surface Transportation Efficiency Act of 1991.
          [(G) Any amount that would be available under 
        subparagraph (A) if subparagraph (F) were not in effect 
        and would otherwise have been allocated by the Federal 
        Transit Administration to the project in subparagraph 
        (F) shall not be available for allocation by the 
        department or for making future obligations of the 
        Government and contingent commitments until April 1, 
        2001.
  [(h) Government's Share of Net Project Cost.--Based on 
engineering studies, studies of economic feasibility, and 
information on the expected use of equipment or facilities, the 
Secretary of Transportation shall estimate the net project 
cost. A grant for the project is for 80 percent of the net 
project cost, unless the grant recipient requests a lower grant 
percentage. The remainder shall be provided in cash from a 
source other than amounts of the Government. Transit system 
amounts that make up the remainder must be from an 
undistributed cash surplus, a replacement or depreciation cash 
fund or reserve, or new capital. The remainder for a planned 
extension to a fixed guideway system may include the cost of 
rolling stock previously purchased if the applicant satisfies 
the Secretary that only amounts other than amounts of the 
Government were used and that the purchase was made for use on 
the extension. A refund or reduction of the remainder may be 
made only if a refund of a proportional amount of the grant of 
the Government is made at the same time.
  [(i) Loan Term Requirements.--Except for a loan under 
subsection (b) of this section, a loan, including a renewal or 
extension of the loan, may be made, and a security or 
obligation may be bought, only if it has a maturity date of not 
more than 40 years. Interest on a loan may not be less than--
          [(1) a rate the Secretary of the Treasury 
        establishes, considering the current average yield on 
        outstanding marketable obligations of the Government 
        that have remaining periods of maturity comparable to 
        the average maturity of the loan, adjusted to the 
        nearest .125 percent; plus
          [(2) an allowance the Secretary of Transportation 
        considers adequate to cover administrative costs and 
        probable losses.
  [(j) Loan Payment Forgiveness.--A grant agreement for a 
capital project may forgive repaying the loan and interest in 
place of a cash grant for the amount forgiven. The amount is 
part of the grant and part of the contribution of the 
Government to the cost of the project.
  [(k) Limitation on Making Loans and Grants for Projects.--The 
Secretary of Transportation may not make a loan under this 
section for a project for which a grant (except a relocation 
payment grant) is made under this section. However, the 
Secretary may make a project grant even though real property 
for the project has been or will be acquired through a loan 
under subsection (b) of this section.
  [(l) Fiscal Capacity Considerations.--If the Secretary of 
Transportation gives priority consideration to financing 
projects that include more than the non-Government share 
required under subsection (h) of this section, the Secretary 
shall give equal consideration to differences in the fiscal 
capacity of State and local governments.
  [(m) Allocating Amounts.--
          [(1) In general.--Of the amounts made available by or 
        appropriated under section 5338(b) for grants and loans 
        under this section for each of fiscal years 1998 
        through 2003 and for the period of October 1, 2003, 
        through April 30, 2004--
                  [(A) 40 percent shall be available for fixed 
                guideway modernization, except for the period 
                beginning on October 1, 2003, and ending on 
                April 30, 2004, during which $699,642,775 will 
                be available;
                  [(B) 40 percent shall be available for 
                capital projects for new fixed guideway systems 
                and extensions to existing fixed guideway 
                systems, except for the period beginning on 
                October 1, 2003, and ending on April 30, 2004, 
                during which $767,657,109 will be available; 
                and
                  [(C) 20 percent shall be available to 
                replace, rehabilitate, and purchase buses and 
                related equipment and to construct bus-related 
                facilities, except for the period beginning on 
                October 1, 2003 and ending on April 30, 2004, 
                during which $352,110,220 will be available.
          [(2) New fixed guideway grants.--
                  [(A) Limitation on amounts available for 
                activities other than final design and 
                construction.--Not more than 8 percent of the 
                amounts made available in each fiscal year by 
                paragraph (1)(B) shall be available for 
                activities other than final design and 
                construction.
                  [(B) Funding for ferry boat systems.--
                          [(i) Amounts under (1)(b).--Of the 
                        amounts made available under paragraph 
                        (1)(B), $10,400,000 shall be available 
                        in each of fiscal years 1999 through 
                        2003 for capital projects in Alaska or 
                        Hawaii, for new fixed guideway systems 
                        and extensions to existing fixed 
                        guideway systems that are ferry boats 
                        or ferry terminal facilities, or that 
                        are approaches to ferry terminal 
                        facilities.
                          [(ii) Amounts under 5338(h)(5).--Of 
                        the amounts appropriated under section 
                        5338(h)(5), $3,600,000 shall be 
                        available in each of fiscal years 1999 
                        through 2003 for capital projects in 
                        Alaska or Hawaii, for new fixed 
                        guideway systems and extensions to 
                        existing fixed guideway systems that 
                        are ferry boats or ferry terminal 
                        facilities, or that are approaches to 
                        ferry terminal facilities.
                          [(iii) October 1, 2003 through april 
                        30, 2004.--Of the amounts made 
                        available under paragraph (1)(B), 
                        $6,066,667 shall be available for the 
                        period beginning on October 1, 2003, 
                        and ending on April 30, 2004, for 
                        capital projects described in clause 
                        (i).
          [(3) Bus and bus facility grants.--
                  [(A) Consideration.--In making grants under 
                paragraph (1)(C), the Secretary shall consider 
                the age of buses, bus fleets, related 
                equipment, and bus-related facilities.
                  [(B) Funding for bus testing facility.--Of 
                the amounts made available under paragraph 
                (1)(C), $3,000,000 shall be available in each 
                of fiscal years 1998 through 2003 (and 
                $1,750,000 shall be available for the period 
                October 1, 2003, through April 30, 2004) to 
                carry out section 5318.
                  [(C) Funding for clean fuels.--Of the amounts 
                made available under paragraph (1)(C), 
                $50,000,000 shall be available in each of 
                fiscal years 1999 through 2003 (and $20,833,334 
                shall be available for the period October 1, 
                2003, through February 29, 2004) to carry out 
                section 5308.
                  [(D) Other than urbanized areas.--Of amounts 
                made available by paragraph (1)(C), not less 
                than 5.5 percent shall be available in each 
                fiscal year for other than urbanized areas.
          [(4) Eligibility for assistance for multiple 
        projects.--A person applying for or receiving 
        assistance for a project described in subparagraph (A), 
        (B), or (C) of paragraph (1) may receive assistance for 
        a project described in any other of such subparagraphs.
  [(n) Undertaking Projects in Advance.--(1) The Secretary of 
Transportation may pay the Government's share of the net 
project cost to a State or local governmental authority that 
carries out any part of a project described in this section or 
a substitute transit project described in section 103(e)(4) of 
title 23 without the aid of amounts of the Government and 
according to all applicable procedures and requirements if--
          [(A) the State or local governmental authority 
        applies for the payment;
          [(B) the Secretary approves the payment; and
          [(C) before carrying out the part of the project, the 
        Secretary approves the plans and specifications for the 
        part in the same way as other projects under this 
        section or section 103(e)(4) of title 23.
  [(2) The cost of carrying out part of a project includes the 
amount of interest earned and payable on bonds issued by the 
State or local governmental authority to the extent proceeds of 
the bonds are expended in carrying out the part. However, the 
amount of interest under this paragraph may not be more than 
the most favorable interest terms reasonably available for the 
project at the time of borrowing. The applicant shall certify, 
in a manner satisfactory to the Secretary of Transportation, 
that the applicant has shown reasonable diligence in seeking 
the most favorable financial terms.
  [(3) The Secretary of Transportation shall consider changes 
in capital project cost indices when determining the estimated 
cost under paragraph (2) of this subsection.
  [(o) Use of Deobligated Amounts.--An amount available under 
this section that is deobligated may be used for any purpose 
under this section.
  [(o) Reports.--
          [(1) Funding levels and allocations of funds for 
        fixed guideway systems.--
                  [(A) Annual report.--Not later than the first 
                Monday in February of each year, the Secretary 
                shall submit to the Committee on Transportation 
                and Infrastructure of the House of 
                Representatives and the Committee on Banking, 
                Housing, and Urban Affairs of the Senate a 
                report that includes a proposal on the 
                allocation of amounts to be made available to 
                finance grants and loans for capital projects 
                for new fixed guideway systems and extensions 
                to existing fixed guideway systems among 
                applicants for those amounts.
                  [(B) Recommendations on funding.--The annual 
                report under this paragraph shall include 
                evaluations and ratings, as required under 
                subsection (e), for each project that is 
                authorized or has received funds under this 
                section since the date of enactment of the 
                Federal Transit Act of 1998 or October 1 of the 
                preceding fiscal year, whichever date is 
                earlier. The report shall also include 
                recommendations of projects for funding based 
                on the evaluations and ratings and on existing 
                commitments and anticipated funding levels for 
                the next 3 fiscal years and for the next 10 
                fiscal years based on information currently 
                available to the Secretary.
          [(2) Supplemental report on new starts.--The 
        Secretary shall submit a report to Congress on the 31st 
        day of August of each year that describes the 
        Secretary's evaluation and rating of each project that 
        has completed alternatives analysis or preliminary 
        engineering since the date of the last report. The 
        report shall include all relevant information that 
        supports the evaluation and rating of each project, 
        including a summary of each project's financial plan.
          [(3) Annual gao review.--The General Accounting 
        Office shall--
                  [(A) conduct an annual review of--
                          [(i) the processes and procedures for 
                        evaluating and rating projects and 
                        recommending projects; and
                          [(ii) the Secretary's implementation 
                        of such processes and procedures; and
                  [(B) shall report to Congress on the results 
                of such review by April 30 of each year.
  [(p) Project Defined.--In this section, the term ``project'' 
means, with respect to a new fixed guideway system or extension 
to an existing fixed guideway system, a minimum operable 
segment of the project.]
  (c) Major Capital Investment Grants of $75,000,000 or More.--
          (1) Full funding grant agreement.--A major new fixed 
        guideway capital project financed under this subsection 
        shall be carried out through a full funding grant 
        agreement. The Secretary shall enter into a full 
        funding grant agreement based on the evaluations and 
        ratings required under this subsection. The Secretary 
        shall not enter into a full funding grant agreement for 
        a project unless that project is authorized for final 
        design and construction.
          (2) Approval of grants.--The Secretary may approve a 
        grant under this section for a major new fixed guideway 
        capital project only if the Secretary, based upon 
        evaluations and considerations set forth in paragraph 
        (3), determines that the proposal is--
                  (A) based on the results of an alternatives 
                analysis and preliminary engineering;
                  (B) justified based on a comprehensive review 
                of its mobility improvements, environmental 
                benefits, cost effectiveness, operating 
                efficiencies, transit supportive policies, and 
                existing land use; and
                  (C) supported by an acceptable degree of 
                local financial commitment (including evidence 
                of stable and dependable financing sources) to 
                construct, maintain, and operate the system or 
                extension.
          (3) Considerations.--
                  (A) Results of alternatives analysis and 
                preliminary engineering.--In evaluating a 
                proposed project for purposes of making the 
                finding required by paragraph (2)(A), the 
                Secretary shall analyze and consider the 
                results of the alternatives analysis and 
                preliminary engineering for the project.
                  (B) Project justification.--In evaluating a 
                proposed project for purposes of making the 
                finding required by paragraph (2)(B), the 
                Secretary shall--
                          (i) consider the direct and indirect 
                        costs of relevant alternatives;
                          (ii) consider factors such as 
                        congestion relief, improved mobility, 
                        air pollution, noise pollution, energy 
                        consumption, and all associated 
                        ancillary and mitigation costs 
                        necessary to carry out each alternative 
                        analyzed and recognize reductions in 
                        local infrastructure costs achieved 
                        through compact land use development;
                          (iii) identify and consider public 
                        transportation supportive existing land 
                        use policies and future patterns and 
                        the cost of suburban sprawl;
                          (iv) consider the degree to which the 
                        project increases the mobility of the 
                        public transportation dependent 
                        population or promotes economic 
                        development;
                          (v) consider population density and 
                        current transit ridership in the 
                        corridor;
                          (vi) consider the technical 
                        capability of the grant recipient to 
                        construct the project;
                          (vii) adjust the project 
                        justification to reflect differences in 
                        local land, construction, and operating 
                        costs; and
                          (viii) consider other factors that 
                        the Secretary determines appropriate to 
                        carry out this chapter.
                  (C) Local financial commitment.--In 
                evaluating a proposed project under paragraph 
                (2)(C), the Secretary shall require that--
                          (i) the proposed project plan 
                        provides for the availability of 
                        contingency amounts that the Secretary 
                        determines to be reasonable to cover 
                        unanticipated cost increases;
                          (ii) each proposed local source of 
                        capital and operating financing is 
                        stable, reliable, and available within 
                        the proposed project timetable; and
                          (iii) local resources are available 
                        to operate the overall proposed public 
                        transportation system (including 
                        essential feeder bus and other services 
                        necessary to achieve the projected 
                        ridership levels) without requiring a 
                        reduction in existing public 
                        transportation services to operate the 
                        proposed project.
                  (D) Assessment of local financing.--In 
                assessing the stability, reliability, and 
                availability of proposed sources of local 
                financing under paragraph (2)(C), the Secretary 
                shall consider--
                          (i) existing grant commitments;
                          (ii) the degree to which financing 
                        sources are dedicated to the purposes 
                        proposed;
                          (iii) any debt obligation that exists 
                        or is proposed by the recipient for the 
                        proposed project or other public 
                        transportation purpose; and
                          (iv) the extent to which the project 
                        has a local financial commitment that 
                        exceeds the required non-Federal share 
                        of the cost of the project.
          (4) Evaluation and rating of projects.--A proposed 
        project under this subsection may advance from 
        alternatives analysis to preliminary engineering, and 
        may advance from preliminary engineering to final 
        design and construction, only if the Secretary finds 
        that the project meets the requirements of this section 
        and there is a reasonable likelihood that the project 
        will continue to meet such requirements. In making the 
        findings, the Secretary shall evaluate and rate the 
        project as ``highly recommended'', ``recommended'', or 
        ``not recommended'' based on the results of 
        alternatives analysis, the project justification 
        criteria, and the degree of local financial commitment, 
        as required under this subsection. In rating the 
        projects, the Secretary shall provide, in addition to 
        the overall project rating, individual ratings for each 
        of the criteria established by regulation.
          (5) Major defined.--In this section, the term 
        ``major'', as used with respect to a new fixed guideway 
        capital project, means the Federal assistance provided 
        or to be provided under this section for the project is 
        $75,000,000 or more.
  (d) Capital Investment Grants Less Than $75,000,000.--
          (1) In general.--Subject to the provisions of this 
        subsection, if the Federal assistance provided or to be 
        provided under this section with respect to a new fixed 
        guideway capital project is less than $75,000,000, and 
        not less than $25,000,000, the project shall be subject 
        to the requirements in this subsection.
          (2) Selection criteria.--The Secretary may provide 
        Federal assistance under this subsection with respect 
        to a proposed project only if the Secretary finds that 
        the project is--
                  (A) based on the results of planning and 
                alternatives analysis;
                  (B) justified based on a review of its public 
                transportation supportive land use policies, 
                cost effectiveness, and effect on local 
                economic development; and
                  (C) supported by an acceptable degree of 
                local financial commitment.
          (3) Planning and alternatives.--In evaluating a 
        project under paragraph (2)(A), the Secretary shall 
        analyze and consider the results of planning and 
        alternatives analysis for the project.
          (4) Project justification.--For purposes of making 
        the finding under paragraph (2)(B), the Secretary 
        shall--
                  (A) determine the degree to which the project 
                is consistent with local land use policies and 
                is likely to achieve local developmental goals;
                  (B) determine the cost effectiveness of the 
                project at the time of the initiation of 
                revenue service;
                  (C) determine the degree to which the project 
                will have a positive effect on local economic 
                development;
                  (D) consider the reliability of the forecasts 
                of costs and ridership associated with the 
                project; and
                  (E) consider other factors that the Secretary 
                determines appropriate to carry out this 
                subsection.
          (5) Local financial commitment.--For purposes of 
        paragraph (2)(C), the Secretary shall require that each 
        proposed local source of capital and operating 
        financing is stable, reliable, and available within the 
        proposed project timetable.
          (6) Advancement of project to development and 
        construction.--
                  (A) General rule.--A proposed project under 
                this subsection may advance from planning and 
                alternatives analysis to project development 
                and construction only if--
                          (i) the Secretary finds that the 
                        project meets the requirements of this 
                        subsection and there is a reasonable 
                        likelihood that the project will 
                        continue to meet such requirements; and
                          (ii) the metropolitan planning 
                        organization has adopted the locally 
                        preferred alternative for the project 
                        into the long-range transportation 
                        plan.
                  (B) Evaluation.--In making the findings under 
                subparagraph (A), the Secretary shall evaluate 
                and rate the project as ``recommended'' or 
                ``not recommended'' based on the results of the 
                analysis of the project justification criteria 
                and the degree of local financial commitment, 
                as required by this subsection.
          (7) Contents of project construction grant 
        agreement.--A project construction grant agreement 
        under this subsection shall specify the scope of the 
        project to be constructed, the estimated net project 
        cost of the project, the schedule under which the 
        project shall be constructed, the maximum amount of 
        funding to be obtained under this subsection, the 
        proposed schedule for obligation of future Federal 
        grants, and the sources of funding from other than the 
        Government. The agreement may include a commitment on 
        the part of the Secretary to provide funding for the 
        project in future fiscal years.
          (8) Limitation on entry into construction grant 
        agreement.--The Secretary may enter into a project 
        construction grant agreement for a project under this 
        subsection only if the project is authorized for 
        construction and has been rated as ``recommended'' 
        under this subsection.
          (9) Regulations.--Not later than 120 days after the 
        date of enactment of the Federal Public Transportation 
        Act of 2004, the Secretary shall issue regulations 
        establishing an evaluation and rating process for 
        proposed projects under this subsection that is based 
        on the results of project justification and local 
        financial commitment, as required under this 
        subsection.
          (10) Fixed guideway capital project.--In this 
        subsection, the term ``fixed guideway capital project'' 
        includes a corridor-based public transportation bus 
        capital project if the majority of the project's 
        corridor right-of-way is dedicated alignment for 
        exclusive use by public transportation vehicles for all 
        or part of the day.
  (e) Previously Issued Letter of Intent or Full Funding Grant 
Agreement.--Subsections (c) and (d) do not apply to projects 
for which the Secretary has issued a letter of intent or 
entered into a full funding grant agreement before the date of 
enactment of the Federal Public Transportation Act of 2004.
  (f) Letters of Intent, Full Funding Grant Agreements, and 
Early Systems Work Agreements.--
          (1) Letters of intent.--
                  (A) Amounts intended to be obligated.--The 
                Secretary may issue a letter of intent to an 
                applicant announcing an intention to obligate, 
                for a capital project under this section, an 
                amount from future available budget authority 
                specified in law that is not more than the 
                amount stipulated as the financial 
                participation of the Secretary in the project. 
                When a letter is issued for fixed guideway 
                projects, the amount shall be sufficient to 
                complete at least an operable segment.
                  (B) Treatment.--The issuance of a letter 
                under subparagraph (A) is deemed not to be an 
                obligation under sections 1108(c), 1108(d), 
                1501, and 1502(a) of title 31 or an 
                administrative commitment.
          (2) Full funding grant agreements.--
                  (A) Terms.--The Secretary may make a full 
                funding grant agreement with an applicant. The 
                agreement shall--
                          (i) establish the terms of 
                        participation by the Government in a 
                        project under this section;
                          (ii) establish the maximum amount of 
                        Government financial assistance for the 
                        project;
                          (iii) cover the period of time for 
                        completing the project, including a 
                        period extending beyond the period of 
                        an authorization; and
                          (iv) make timely and efficient 
                        management of the project easier 
                        according to the law of the United 
                        States.
                  (B) Special financial rules.--
                          (i) In general.--An agreement under 
                        this paragraph obligates an amount of 
                        available budget authority specified in 
                        law and may include a commitment, 
                        contingent on amounts to be specified 
                        in law in advance for commitments under 
                        this paragraph, to obligate an 
                        additional amount from future available 
                        budget authority specified in law.
                          (ii) Statement of contingent 
                        commitment.--The agreement shall state 
                        that the contingent commitment is not 
                        an obligation of the Government.
                          (iii) Interest and other financing 
                        costs.--Interest and other financing 
                        costs of efficiently carrying out a 
                        part of the project within a reasonable 
                        time are a cost of carrying out the 
                        project under a full funding grant 
                        agreement, except that eligible costs 
                        may not be more than the cost of the 
                        most favorable financing terms 
                        reasonably available for the project at 
                        the time of borrowing. The applicant 
                        shall certify, in a way satisfactory to 
                        the Secretary, that the applicant has 
                        shown reasonable diligence in seeking 
                        the most favorable financing terms.
                          (iv) Completion of operable 
                        segment.--The amount stipulated in an 
                        agreement under this paragraph for a 
                        fixed guideway project shall be 
                        sufficient to complete at least an 
                        operable segment.
          (3) Early system work agreements.--
                  (A) Conditions.--The Secretary may make an 
                early systems work agreement with an applicant 
                if a record of decision under the National 
                Environmental Policy Act of 1969 (42 U.S.C. 
                4321 et seq.) has been issued on the project 
                and the Secretary finds there is reason to 
                believe--
                          (i) a full funding grant agreement 
                        for the project will be made; and
                          (ii) the terms of the work agreement 
                        will promote ultimate completion of the 
                        project more rapidly and at less cost.
                  (B) Contents.--
                          (i) In general.--A work agreement 
                        under this paragraph obligates an 
                        amount of available budget authority 
                        specified in law and shall provide for 
                        reimbursement of preliminary costs of 
                        carrying out the project, including 
                        land acquisition, timely procurement of 
                        system elements for which 
                        specifications are decided, and other 
                        activities the Secretary decides are 
                        appropriate to make efficient, long-
                        term project management easier.
                          (ii) Period covered.--A work 
                        agreement under this paragraph shall 
                        cover the period of time the Secretary 
                        considers appropriate. The period may 
                        extend beyond the period of current 
                        authorization.
                          (iii) Interest and other financing 
                        costs.--Interest and other financing 
                        costs of efficiently carrying out the 
                        work agreement within a reasonable time 
                        are a cost of carrying out the 
                        agreement, except that eligible costs 
                        may not be more than the cost of the 
                        most favorable financing terms 
                        reasonably available for the project at 
                        the time of borrowing. The applicant 
                        shall certify, in a way satisfactory to 
                        the Secretary, that the applicant has 
                        shown reasonable diligence in seeking 
                        the most favorable financing terms.
                          (iv) Failure to carry out project.--
                        If an applicant does not carry out the 
                        project for reasons within the control 
                        of the applicant, the applicant shall 
                        repay all Government payments made 
                        under the work agreement plus 
                        reasonable interest and penalty charges 
                        the Secretary establishes in the 
                        agreement.
          (4) Limitation on amounts.--
                  (A) Major capital investment grants 
                contingent commitment authority.--The total 
                estimated amount of future obligations of the 
                Government and contingent commitments to incur 
                obligations covered by all outstanding letters 
                of intent, full funding grant agreements, and 
                early systems work agreements under this 
                subsection for major new fixed guideway capital 
                projects may be not more than the greater of 
                the amount authorized under sections 5338(b) 
                and 5338(h)(1) for such projects or an amount 
                equivalent to the last 3 fiscal years of 
                funding allocated under subsections (m)(1)(B) 
                and (m)(2)(B)(ii) for such projects, less an 
                amount the Secretary reasonably estimates is 
                necessary for grants under this section for 
                those of such projects that are not covered by 
                a letter or agreement. The total amount covered 
                by new letters and contingent commitments 
                included in full funding grant agreements and 
                early systems work agreements for such projects 
                may be not more than a limitation specified in 
                law.
                  (B) Other contingent commitment authority.--
                The total estimated amount of future 
                obligations of the Government and contingent 
                commitments to incur obligations covered by all 
                project construction grant agreements and early 
                system work agreements under this subsection 
                for small capital projects described in 
                subsection (d) may be not more than the greater 
                of the amount allocated under subsection 
                (m)(2)(A) for such projects or an amount 
                equivalent to the last fiscal year of funding 
                allocated under subsection (m)(2)(A) for such 
                projects, less an amount the Secretary 
                reasonably estimates is necessary for grants 
                under this section for those of such projects 
                that are not covered by an agreement. The total 
                amount covered by new contingent commitments 
                included in project construction grant 
                agreements and early systems work agreements 
                for such projects may be not more than a 
                limitation specified in law.
                  (C) Inclusion of certain commitments.--Future 
                obligations of the Government and contingent 
                commitments made against the contingent 
                commitment authority under section 3032(g)(2) 
                of the Intermodal Surface Transportation 
                Efficiency Act of 1991 (106 Stat. 2125) for the 
                San Francisco BART to the Airport project for 
                fiscal years 2002, 2003, 2004, 2005, and 2006 
                shall be charged against section 3032(g)(2) of 
                that Act.
                  (D) Appropriation required.--An obligation 
                may be made under this subsection only when 
                amounts are appropriated for the obligation.
          (5) Notification of congress.--At least 60 days 
        before issuing a letter of intent or entering into a 
        full funding grant agreement or project construction 
        grant agreement under this section, the Secretary shall 
        notify, in writing, the Committee on Transportation and 
        Infrastructure of the House of Representatives and the 
        Committee on Banking, Housing, and Urban Affairs of the 
        Senate of the proposed letter or agreement. The 
        Secretary shall include with the notification a copy of 
        the proposed letter or agreement as well as the 
        evaluations and ratings for the project.
  (g) Government's Share of Net Project Cost.--
          (1) Federal share.--Based on engineering studies, 
        studies of economic feasibility, and information on the 
        expected use of equipment or facilities, the Secretary 
        shall estimate the net project cost. A grant for the 
        project shall be for 80 percent of the net capital 
        project cost, unless the grant recipient requests a 
        lower grant percentage.
          (2) Remainder of net project cost.--The remainder of 
        net project costs shall be provided from an 
        undistributed cash surplus, a replacement or 
        depreciation cash fund or reserve, or new capital.
          (3) Limitation on statutory construction.--Nothing in 
        this section, including paragraph (1) and subsections 
        (c)(3)(D)(iv) and (c)(4), shall be construed as 
        authorizing the Secretary to require a non-Federal 
        financial commitment for a project that is more than 20 
        percent of the net capital project cost.
          (4) Special rule for rolling stock costs.--In 
        addition to amounts allowed pursuant to paragraph (1), 
        a planned extension to a fixed guideway system may 
        include the cost of rolling stock previously purchased 
        if the applicant satisfies the Secretary that only 
        amounts other than amounts of the Government were used 
        and that the purchase was made for use on the 
        extension. A refund or reduction of the remainder may 
        be made only if a refund of a proportional amount of 
        the grant of the Government is made at the same time.
          (5) Limitation on applicability.--This subsection 
        does not apply to projects for which the Secretary has 
        entered into a full funding grant agreement before the 
        date of enactment of the Federal Public Transportation 
        Act of 2004.
  (h) Fiscal Capacity Considerations.--If the Secretary gives 
priority consideration to financing projects that include more 
than the non-Government share required under subsection (g), 
the Secretary shall give equal consideration to differences in 
the fiscal capacity of State and local governments.
  (i) Reports on New Starts.--
          (1) Annual dot report.--Not later than the first 
        Monday in February of each year, the Secretary shall 
        submit to the Committee on Transportation and 
        Infrastructure of the House of Representatives and the 
        Committee on Banking, Housing, and Urban Affairs of the 
        Senate a report that includes--
                  (A) a proposal of allocations of amounts to 
                be available to finance grants for new fixed 
                guideway capital projects among applicants for 
                these amounts;
                  (B) evaluations and ratings, as required 
                under subsection (c), for each such project 
                that is authorized by the Federal Public 
                Transportation Act of 2004; and
                  (C) recommendations of such projects for 
                funding based on the evaluations and ratings 
                and on existing commitments and anticipated 
                funding levels for the next 3 fiscal years and 
                for the next 10 fiscal years based on 
                information currently available to the 
                Secretary.
          (2) Annual gao review.--The Comptroller General 
        shall--
                  (A) conduct an annual review of--
                          (i) the processes and procedures for 
                        evaluating, rating, and recommending 
                        new fixed guideway capital projects; 
                        and
                          (ii) the Secretary's implementation 
                        of such processes and procedures; and
                  (B) report to Congress on the results of such 
                review by May 31 of each year.
  (j) Undertaking Projects in Advance.--
          (1) In general.--The Secretary may pay the 
        Government's share of the net capital project cost to a 
        State or local governmental authority that carries out 
        any part of a project described in this section without 
        the aid of amounts of the Government and according to 
        all applicable procedures and requirements if--
                  (A) the State or local governmental authority 
                applies for the payment;
                  (B) the Secretary approves the payment; and
                  (C) before carrying out the part of the 
                project, the Secretary approves the plans and 
                specifications for the part in the same way as 
                other projects under this section.
          (2) Financing costs.--
                  (A) In general.--The cost of carrying out 
                part of a project includes the amount of 
                interest earned and payable on bonds issued by 
                the State or local governmental authority to 
                the extent proceeds of the bonds are expended 
                in carrying out the part.
                  (B) Limitation on amount of interest.--The 
                amount of interest under this paragraph may not 
                be more than the most favorable interest terms 
                reasonably available for the project at the 
                time of borrowing.
                  (C) Certification.--The applicant shall 
                certify, in a manner satisfactory to the 
                Secretary, that the applicant has shown 
                reasonable diligence in seeking the most 
                favorable financial terms.
          (3) Capital project cost indices.--The Secretary 
        shall consider changes in capital project cost indices 
        when determining the estimated cost under paragraph 
        (2).
  (k) Bus and Bus Facilities Projects.--
          (1) Considerations.--In making grants under 
        subsections (m)(1)(C) and (m)(2)(B)(iii), the Secretary 
        shall consider the age of buses, bus fleets, related 
        equipment, and bus-related facilities.
          (2) Fuel cell bus program.--Of the amounts made 
        available under subsections (m)(1)(C) and 
        (m)(2)(B)(iii) for a fiscal year, the following amounts 
        shall be set aside for the national fuel cell bus 
        technology development program under section 3039 of 
        the Federal Public Transportation Act of 2004:
                  (A) $4,849,950 for fiscal year 2004.
                  (B) $10,000,000 for fiscal year 2005.
                  (C) $11,000,000 for fiscal year 2006.
                  (D) $12,000,000 for fiscal year 2007.
                  (E) $13,000,000 for fiscal year 2008.
                  (F) $14,000,000 for fiscal year 2009.
  (l) Availability of Amounts.--An amount made available or 
appropriated under section 5338(b), 5338(g), or 5338(h) for 
replacement, rehabilitation, and purchase of buses and related 
equipment and construction of bus-related facilities or for new 
fixed guideway capital projects shall remain available for 3 
fiscal years, including the fiscal year in which the amount is 
made available or appropriated. Any of such amounts that are 
unobligated at the end of the 3-fiscal-year period shall be 
deobligated and may be used by the Secretary for any purpose 
under this section.
  (m) Allocating Amounts.--
          (1) Fiscal year 2004.--Of the amounts made available 
        by or appropriated under section 5338(b), $85,000,000 
        shall be allocated to new fixed guideway capital 
        projects under subsection (d). Remaining amounts shall 
        be allocated as follows:
                  (A) 40 percent for fixed guideway 
                modernization;
                  (B) 40 percent for major new fixed guideway 
                capital projects; and
                  (C) 20 percent to replace, rehabilitate, and 
                purchase buses and related equipment and to 
                construct bus-related facilities.
          (2) Fiscal years 2005-2009.--The total amount of 
        funds made available by section 5338(g), and 
        appropriated under section 5338(h), for each of fiscal 
        years 2005 through 2009 shall be allocated in the 
        fiscal year as follows:
                  (A) Small capital projects.--From funds 
                appropriated under section 5338(h) for new 
                fixed guideway capital projects described in 
                subsection (d)--
                          (i) $135,000,000 in fiscal year 2005;
                          (ii) $175,000,000 in fiscal year 
                        2006;
                          (iii) $200,000,000 in fiscal year 
                        2007;
                          (iv) $200,000,000 in fiscal year 
                        2008; and
                          (v) $225,000,000 in fiscal year 2009.
                  (B) Remainder.--After the allocation under 
                subparagraph (A), the remainder of such total 
                amount shall be allocated as follows:
                          (i) 40 percent for fixed guideway 
                        modernization, to be derived from funds 
                        made available under section 5338(g).
                          (ii) 40 percent for major new fixed 
                        capital guideway projects, to be 
                        derived from funds appropriated under 
                        section 5338(h).
                          (iii) 20 percent to replace, 
                        rehabilitate, and purchase buses and 
                        related equipment and to construct bus-
                        related facilities, to be derived from 
                        funds made available under section 
                        5338(g).
          (3) Funding for ferry boat systems.--Of the amounts 
        made available under paragraphs (1)(B) and (2)(B)(ii), 
        $10,400,000 shall be available in each of fiscal years 
        2004 through 2009 for new fixed guideway capital 
        projects in Alaska or Hawaii that are for ferry boats 
        or ferry terminal facilities or that are for approaches 
        to ferry terminal facilities.
  (n) New Fixed Guideway Capital Project Defined.--In this 
section, the term ``new fixed guideway capital project'' means 
a minimum operable segment of a capital project for a new fixed 
guideway system or extension to an existing fixed guideway 
system.

[Sec. 5310. Formula grants and loans for special needs of elderly 
                    individuals and individuals with disabilities

  [(a) General Authority.--The Secretary of Transportation may 
make grants and loans to--
          [(1) State and local governmental authorities to help 
        them provide mass transportation service planned, 
        designed, and carried out to meet the special needs of 
        elderly individuals and individuals with disabilities; 
        and
          [(2) the chief executive officer of each State for 
        allocation to--
                  [(A) private nonprofit corporations and 
                associations to help them provide that 
                transportation service when the transportation 
                service provided under clause (1) of this 
                subsection is unavailable, insufficient, or 
                inappropriate; or
                  [(B) governmental authorities--
                          [(i) approved by the State to 
                        coordinate services for elderly 
                        individuals and individuals with 
                        disabilities; or
                          [(ii) that certify to the chief 
                        executive officer that no nonprofit 
                        corporation or association readily is 
                        available in an area to provide service 
                        under this subsection.
  [(b) Apportioning and Transferring Amounts.--The Secretary 
shall apportion amounts made available under section 5338(a) of 
this title under a formula the Secretary administers that 
considers the number of elderly individuals and individuals 
with disabilities in each State. Any State's apportionment 
remaining available for obligation at the beginning of the 90-
day period before the end of the period of availability of the 
apportionment is available to the chief executive officer of 
the State for transfer to supplement amounts apportioned to the 
State under section 5311(c) or 5336(a)(1) of this title.
  [(c) State Program of Projects.--Amounts made available for 
this section may be used for transportation projects to assist 
in providing transportation services for elderly individuals 
and individuals with disabilities that are included in a State 
program of projects. A program shall be submitted annually to 
the Secretary for approval and shall contain an assurance that 
the program provides for maximum feasible coordination of 
transportation services assisted under this section with 
transportation services assisted by other United States 
Government sources.
  [(d) Eligible Capital Expenses.--A recipient of amounts under 
this section may include acquiring transportation services as 
an eligible capital expense.
  [(e) Application of Section 5309.--(1) A grant or loan under 
subsection (a)(1) of this section is subject to all 
requirements of a grant or loan under section 5309 of this 
title, and is deemed to have been made under section 5309.
  [(2) A grant or loan under subsection (a)(2) of this section 
is subject to requirements similar to those under paragraph (1) 
of this subsection to the extent the Secretary considers 
appropriate.
  [(f) Minimum Requirements and Procedures for Recipients.--In 
carrying out section 5301(d) of this title, section 165(b) of 
the Federal-Aid Highway Act of 1973 (Public Law 93-87, 87 Stat. 
282), and section 504 of the Rehabilitation Act of 1973 (29 
U.S.C. 794) (consistent with Government-wide standards to carry 
out section 504), the Secretary shall prescribe regulations 
establishing minimum criteria a recipient of Government 
financial assistance under this chapter or a law referred to in 
section 165(b) shall comply with in providing mass 
transportation service to elderly individuals and individuals 
with disabilities and procedures for the Secretary to monitor 
compliance with the criteria. The regulations shall include 
provisions for ensuring that organizations and groups 
representing elderly individuals and individuals with 
disabilities are given adequate notice of, and an opportunity 
to comment on, the proposed activity of a recipient to achieve 
compliance with the regulations.
  [(g) Leasing Vehicles.--The Secretary shall prescribe 
guidelines allowing vehicles bought under this section to be 
leased to local governmental authorities to improve 
transportation services designed to meet the special needs of 
elderly individuals and individuals with disabilities.]

Sec. 5310. Formula grants for special needs of elderly individuals and 
                    individuals with disabilities

  (a) General Authority.--
          (1) Grants.--The Secretary may make grants to States 
        and local governmental authorities under this section 
        for public transportation capital projects, and 
        operating costs associated with public transportation 
        capital projects, planned, designed, and carried out to 
        meet the special needs of elderly individuals and 
        individuals with disabilities.
          (2) Subrecipients.--A State that receives a grant 
        under this section may allocate the amounts of the 
        grant to--
                  (A) a private nonprofit organization if the 
                public transportation service provided under 
                paragraph (1) is unavailable, insufficient, or 
                inappropriate; or
                  (B) a governmental authority that--
                          (i) is approved by the State to 
                        coordinate services for elderly 
                        individuals and individuals with 
                        disabilities; or
                          (ii) certifies that there are not any 
                        nonprofit organizations readily 
                        available in the area to provide the 
                        services described under paragraph (1).
          (3) Acquiring public transportation services.--A 
        public transportation capital project under this 
        section may include acquisition of public 
        transportation services as an eligible capital expense.
          (4) Administrative expenses.--A State or local 
        governmental authority may use not more than 10 percent 
        of the amounts apportioned to the State under this 
        section to administer, plan, and provide technical 
        assistance for a project funded under this section.
  (b) Apportionment and Transfers.--
          (1) Apportionment.--
                  (A) Formula.--The Secretary shall apportion 
                amounts made available to carry out this 
                section under a formula the Secretary 
                administers that considers the number of 
                elderly individuals and individuals with 
                disabilities in each State.
                  (B) Low density adjustment.--In administering 
                the apportionment formula under subparagraph 
                (A)--
                          (i) in the case of a State with a 
                        population density of 10 or fewer 
                        persons per square mile, the Secretary 
                        shall multiply by a factor of 2 the 
                        number of elderly individuals and 
                        individuals with disabilities in the 
                        State (as determined using the most 
                        recent decennial United States Census); 
                        and
                          (ii) in the case of a State with a 
                        population density of more than 10 but 
                        equal to or fewer than 30 persons per 
                        square mile, the Secretary shall 
                        multiply by a factor of 1.25 the number 
                        of elderly individuals and individuals 
                        with disabilities in the State (as 
                        determined using the most recent 
                        decennial United States Census).
          (2) Transfers.--Any State's apportionment remaining 
        available for obligation at the beginning of the 90-day 
        period before the end of the period of availability of 
        the apportionment is available to the State for 
        transfer to supplement amounts apportioned to the State 
        under section 5311(c) or 5336(a)(1), or both. Any funds 
        transferred pursuant to this paragraph shall be made 
        available only for eligible projects as described in 
        this section.
  (c) Government's Share of Costs.--
          (1) Capital projects.--A grant for a capital project 
        under this section shall be for 80 percent of the net 
        capital costs of the project, as determined by the 
        Secretary; except that in the case of a State described 
        in section 120(b)(1) of title 23, such percentage shall 
        be increased in accordance with such section.
          (2) Operating assistance.--A grant made under this 
        section for operating assistance may not exceed 50 
        percent of the net operating costs of the project, as 
        determined by the Secretary.
          (3) Remainder.--The remainder of the net project 
        costs--
                  (A) may be provided from an undistributed 
                cash surplus, a replacement or depreciation 
                cash fund or reserve, a service agreement with 
                a State or local social service agency or a 
                private social service organization, or new 
                capital; and
                  (B) may be derived from amounts appropriated 
                to or made available to a department or agency 
                of the Government (other than the Department of 
                Transportation) that are eligible to be 
                expended for transportation.
          (4) Use of certain funds.--For purposes of paragraph 
        (3)(B), the prohibitions on the use of funds for 
        matching requirements under section 403(a)(5)(C)(vii) 
        of the Social Security Act (42 U.S.C. 
        603(a)(5)(C)(vii)) shall not apply to Federal or State 
        funds to be used for transportation purposes.
  (d) Grant Requirements.--
          (1) In general.--A grant under this section shall be 
        subject to all requirements of a grant under section 
        5307. A grant to a subrecipient under this section 
        shall be subject to such requirements to the extent the 
        Secretary considers appropriate.
          (2) Coordination with nonprofit providers.--A 
        recipient that transfers funds to an apportionment 
        under section 5336(a)(1) pursuant to subsection (b)(2) 
        shall certify that the project for which the funds are 
        requested under this section has been coordinated with 
        nonprofit providers of services.
          (3) Project selection and planning.--A recipient of 
        funds under this section shall certify that--
                  (A) the projects selected were derived from a 
                locally developed, coordinated public transit-
                human services transportation plan; and
                  (B) the plan was developed through a process 
                that included representatives of public, 
                private, and nonprofit transportation and human 
                services providers and participation by the 
                public.
          (4) Fair and equitable distribution.--A recipient of 
        a grant under this section shall certify that 
        allocations of the grant to subrecipients are 
        distributed on a fair and equitable basis.
  (e) State Program.--
          (1) In general.--Amounts made available to carry out 
        this section may be used for transportation projects to 
        assist in providing transportation services for elderly 
        individuals and individuals with disabilities that are 
        included in a State program of projects.
          (2) Submission and approval.--A program shall be 
        submitted annually to the Secretary for approval and 
        shall contain an assurance that the program provides 
        for maximum feasible coordination of transportation 
        services assisted under this section with 
        transportation services assisted by other Government 
        sources.
  (f) Leasing Vehicles.--Vehicles acquired under this section 
may be leased to local governmental authorities to improve 
transportation services designed to meet the special needs of 
elderly individuals and individuals with disabilities.
  [(h)] (g) Meal Delivery Service to Homebound Individuals.--
[Mass] Public transportation service providers receiving 
assistance under this section or section 5311(c) of this title 
may coordinate and assist in regularly providing meal delivery 
service for homebound individuals if the delivery service does 
not conflict with providing [mass] public transportation 
service or reduce service to [mass] public transportation 
passengers.
  [(i)] (h) Transfer of Facilities and Equipment.--With the 
consent of the recipient currently having a facility or 
equipment acquired with assistance under this section, a State 
may transfer the facility or equipment to any recipient 
eligible to receive assistance under this chapter if the 
facility or equipment will continue to be used as required 
under this section.
  [(j)] (i) Fares Not Required.--This chapter does not require 
that elderly individuals and individuals with disabilities be 
charged a fare.

Sec. 5311. Formula grants for other than urbanized areas

  [(a) Definition.--In this section, ``recipient'' includes a 
State authority, a local governmental authority, a nonprofit 
organization, and an operator of mass transportation service.
  [(b) General Authority.--(1) The Secretary of Transportation 
may make grants for transportation projects that are included 
in a State program of mass transportation service projects 
(including service agreements with private providers of mass 
transportation service) for areas other than urbanized areas. 
The program shall be submitted annually to the Secretary. The 
Secretary may approve the program only if the Secretary finds 
that the program provides a fair distribution of amounts in the 
State, including Indian reservations, and the maximum feasible 
coordination of mass transportation service assisted under this 
section with transportation service assisted by other United 
States Government sources.
  [(2) The Secretary of Transportation shall carry out a rural 
transportation assistance program in nonurbanized areas. In 
carrying out this paragraph, the Secretary may make grants and 
contracts for transportation research, technical assistance, 
training, and related support services in nonurbanized areas.
  [(c) Apportioning Amounts.--The Secretary of Transportation 
shall apportion amounts made available under section 5338(a) of 
this title so that the chief executive officer of each State 
receives an amount equal to the total amount apportioned 
multiplied by a ratio equal to the population of areas other 
than urbanized areas in a State divided by the population of 
all areas other than urbanized areas in the United States, as 
shown by the most recent of the following: the latest 
Government census, the population estimate the Secretary of 
Commerce prepares after the 4th year after the date the latest 
census is published, or the population estimate the Secretary 
of Commerce prepares after the 8th year after the date the 
latest census is published. The amount may be obligated by the 
chief executive officer for 2 years after the fiscal year in 
which the amount is apportioned. An amount that is not 
obligated at the end of that period shall be reapportioned 
among the States for the next fiscal year.]
  (a) Definitions.--In this section, the following definitions 
apply:
          (1) Recipient.--The term ``recipient'' means a State 
        that receives a Federal transit program grant directly 
        from the Government.
          (2) Subrecipient.--The term ``subrecipient'' means a 
        State or local governmental authority, nonprofit 
        organization, or operator of public transportation 
        services that receives a Federal transit program grant 
        indirectly through a recipient.
  (b) General Authority.--
          (1) Grants.--Except as provided in paragraph (2), the 
        Secretary may make grants to other than urbanized areas 
        under this section for the following:
                  (A) Public transportation capital projects.
                  (B) Operating costs of equipment and 
                facilities for use in public transportation.
                  (C) Acquisition of public transportation 
                services, including service agreements with 
                private providers of public transportation 
                services.
          (2) State program.--
                  (A) In general.--Amounts made available to 
                carry out this section shall be used for 
                projects included in a State program for public 
                transportation projects, including service 
                agreements with private providers of public 
                transportation.
                  (B) Submission.--The program shall be 
                submitted annually to the Secretary for 
                approval.
                  (C) Approval.--The Secretary may approve the 
                program only if the Secretary finds that the 
                program provides a fair distribution of amounts 
                in the State, including Indian reservations, 
                and the maximum feasible coordination of public 
                transportation service assisted under this 
                section with transportation service assisted by 
                other Federal sources.
          (3) Rural transportation assistance program.--
                  (A) In general.--The Secretary shall carry 
                out a rural transportation assistance program 
                in other than urbanized areas.
                  (B) Grants and contracts.--In carrying out 
                this paragraph, the Secretary may use not more 
                than 2 percent of the amount made available to 
                carry out this section to make grants and 
                contracts for transportation research, 
                technical assistance, training, and related 
                support services in other than urbanized areas.
                  (C) Projects of a national scope.--Not more 
                than 15 percent of the amounts available under 
                subparagraph (B) may be used by the Secretary 
                to carry out projects of a national scope, with 
                the remaining balance provided to the States.
  (c) Apportionments.--
          (1) In general.--The Secretary shall apportion 
        amounts made available to carry out this section among 
        the States in the ratio that--
                  (A) the population of other than urbanized 
                areas in each State, as shown by the most 
                recent Government decennial census of 
                population; bears to
                  (B) the population of all other than 
                urbanized areas in the United States, as shown 
                by that census.
          (2) Low density adjustment.--In administering the 
        apportionment formula under paragraph (1)--
                  (A) in the case of a State with a population 
                density of 10 or fewer persons per square mile 
                in other than urbanized areas of the State, the 
                Secretary shall multiply by a factor of 1.5 the 
                population of such other than urbanized areas 
                (as determined using the most recent decennial 
                United States Census); and
                  (B) in the case of a State with a population 
                density of more than 10 but equal to or fewer 
                than 12 persons per square mile in other than 
                urbanized areas of the State, the Secretary 
                shall multiply by a factor of 1.25 the 
                population of such other than urbanized areas 
                (as determined using the most recent decennial 
                United States Census).
          (3) Availability.--The amount apportioned to a State 
        under this subsection may be obligated by the State for 
        2 fiscal years after the fiscal year in which the 
        amount is apportioned. An amount that is not obligated 
        at the end of that period shall be reapportioned among 
        the States for the next fiscal year.

           *       *       *       *       *       *       *

  (e) Use for Administration, Planning, and Technical 
Assistance.--[(1)] The Secretary of Transportation may allow a 
State to use not more than 15 percent of the amount apportioned 
under this section to administer this section and provide 
technical assistance to a [recipient] subrecipient, including 
project planning, program and management development, 
coordination of [mass] public transportation programs, and 
research the State considers appropriate to promote effective 
delivery of [mass] public transportation to an area other than 
an urbanized area.
  [(2) Except as provided in this section, a State carrying out 
a program of operating assistance under this section may not 
limit the level or extent of use of the Government grant for 
the payment of operating expenses.]
  (f) Intercity Bus Transportation.--(1) A State shall expend 
at least 15 percent of the amount made available in each fiscal 
year [after September 30, 1993,] to carry out a program to 
develop and support intercity bus transportation. Eligible 
activities under the program include--
          (A) * * *

           *       *       *       *       *       *       *

          (E) coordinating rural connections between small 
        [mass] public transportation operations and intercity 
        bus carriers.
  (2) [A State] After consultation with affected intercity bus 
service providers, a State does not have to comply with 
paragraph (1) of this subsection in a fiscal year in which the 
chief executive officer of the State certifies to the Secretary 
of Transportation that the intercity bus service needs of the 
State are being met adequately.
  [(g) Government's Share of Costs.--(1) In this subsection, 
``amounts of the Government or revenues'' do not include 
amounts received under a service agreement with a State or 
local social service agency or a private social service 
organization.
  [(2) A grant of the Government for a capital project under 
this section may not be more than 80 percent of the net cost of 
the project, as determined by the Secretary of Transportation. 
A grant to pay a subsidy for operating expenses may not be more 
than 50 percent of the net cost of the operating expense 
project. At least 50 percent of the remainder shall be provided 
in cash from sources other than amounts of the Government or 
revenues from providing mass transportation. Transit system 
amounts that make up the remainder shall be from an 
undistributed cash surplus, a replacement or depreciation cash 
fund or reserve, or new capital.
  [(h) Amounts for Operating Assistance.--An amount made 
available under this section may be used for operating 
assistance.]
  (g) Government's Share of Costs.--
          (1) Capital projects.--A grant for a capital project 
        under this section shall be for 80 percent of the net 
        capital costs of the project, as determined by the 
        Secretary; except that in the case of a State described 
        in section 120(b)(1) of title 23, such percentage shall 
        be increased in accordance with such section.
          (2) Operating assistance.--A grant made under this 
        section for operating assistance may not exceed 50 
        percent of the net operating costs of the project, as 
        determined by the Secretary.
          (3) Remainder.--The remainder of net project costs--
                  (A) may be provided from an undistributed 
                cash surplus, a replacement or depreciation 
                cash fund or reserve, a service agreement with 
                a State or local social service agency or a 
                private social service organization, or new 
                capital; and
                  (B) may be derived from amounts appropriated 
                to or made available to a department or agency 
                of the Government (other than the Department of 
                Transportation) that are eligible to be 
                expended for transportation.
          (4) Use of certain funds.--For purposes of paragraph 
        (3)(B), the prohibitions on the use of funds for 
        matching requirements under section 403(a)(5)(C)(vii) 
        of the Social Security Act (42 U.S.C. 
        603(a)(5)(C)(vii)) shall not apply to Federal or State 
        funds to be used for transportation purposes.
          (5) Limitation on operating assistance.--A State 
        carrying out a program of operating assistance under 
        this section may not limit the level or extent of use 
        of the Government grant for the payment of operating 
        expenses.
  [(i)] (h) Transfer of Facilities and Equipment.--With the 
consent of the recipient currently having a facility or 
equipment acquired with assistance under this section, a State 
may transfer the facility or equipment to any recipient 
eligible to receive assistance under this chapter if the 
facility or equipment will continue to be used as required 
under this section.
  [(j)] (i) Relationship to Other Laws.--(1) Sections 
5323(a)(1)(D) and 5333(b) of this title apply to this section 
but the Secretary of Labor may waive the application of section 
5333(b).

           *       *       *       *       *       *       *


[Sec. 5312. Research, development, demonstration, and training 
                    projects]

Sec. 5312. Research, development, demonstration, and deployment 
                    projects

  (a) Research, Development, and Demonstration Projects.--The 
Secretary of Transportation [(or the Secretary of Housing and 
Urban Development when required by section 5334(i) of this 
title)] may undertake, or make grants [or contracts], 
contracts, cooperative agreements, or other transactions 
(including agreements with departments, agencies, and 
instrumentalities of the United States Government) for, 
research, development, [and demonstration projects], 
demonstration or deployment projects, or evaluation of 
technology of national significance related to [urban mass] 
public transportation that the Secretary decides will [help 
reduce urban transportation needs, improve mass transportation 
service,] improve transportation service or help [mass] public 
transportation service meet the total [urban] transportation 
needs at a minimum cost. The Secretary may request and receive 
appropriate information from any source. This subsection does 
not limit the authority of the Secretary under another law.
  [(b) Research, Investigations, and Training.--(1) The 
Secretary of Transportation (or the Secretary of Housing and 
Urban Development when required by section 5334(i) of this 
title) may make grants to nonprofit institutions of higher 
learning--
          [(A) to conduct competent research and investigations 
        into the theoretical or practical problems of urban 
        transportation; and
          [(B) to train individuals to conduct further research 
        or obtain employment in an organization that plans, 
        builds, operates, or manages an urban transportation 
        system.
  [(2) Research and investigations under this subsection 
include--
          [(A) the design and use of urban mass transportation 
        systems and urban roads and highways;
          [(B) the interrelationship between various modes of 
        urban and interurban transportation;
          [(C) the role of transportation planning in overall 
        urban planning;
          [(D) public preferences in transportation;
          [(E) the economic allocation of transportation 
        resources; and
          [(F) the legal, financial, engineering, and esthetic 
        aspects of urban transportation.
  [(3) When making a grant under this subsection, the 
appropriate Secretary shall give preference to an institution 
that brings together knowledge and expertise in the various 
social science and technical disciplines related to urban 
transportation problems.
  [(c) Training Fellowships and Innovative Techniques and 
Methods.--(1) The Secretary of Transportation may make grants 
to States, local governmental authorities, and operators of 
mass transportation systems to provide fellowships to train 
personnel employed in managerial, technical, and professional 
positions in the mass transportation field.
  [(2) The Secretary of Transportation may make grants to State 
and local governmental authorities for projects that will use 
innovative techniques and methods in managing and providing 
mass transportation.
  [(3) A fellowship under this subsection may be for not more 
than one year of training in an institution that offers a 
program applicable to the mass transportation industry. The 
recipient of the grant shall select an individual on the basis 
of demonstrated ability and for the contribution the individual 
reasonably can be expected to make to an efficient mass 
transportation operation. A grant for a fellowship may not be 
more than the lesser of $24,000 or 75 percent of--
          [(A) tuition and other charges to the fellowship 
        recipient;
          [(B) additional costs incurred by the training 
        institution and billed to the grant recipient; and
          [(C) the regular salary of the fellowship recipient 
        for the period of the fellowship to the extent the 
        salary is actually paid or reimbursed by the grant 
        recipient.]
  [(d)] (b) Joint Partnership Program for Deployment of 
Innovation.--
          (1) Definition of consortium.--In this subsection, 
        the term ``consortium''--
                  (A) means 1 or more public or private 
                organizations located in the United States that 
                provide [mass] public transportation service to 
                the public and 1 or more businesses, including 
                small- and medium-sized businesses, 
                incorporated in a State, offering goods or 
                services or willing to offer goods and services 
                to [mass] public transportation operators; and
                  (B) may include, as additional members, 
                public or private research organizations 
                located in the United States, or State or local 
                governmental authorities.
          (2) General authority.--The Secretary may, under 
        terms and conditions that the Secretary prescribes, 
        enter into grants, contracts, cooperative agreements, 
        and [other agreements] other transactions with 
        consortia selected in accordance with paragraph (4), to 
        promote the early deployment of innovation in [mass] 
        public transportation services, management, operational 
        practices, or technology that has broad applicability. 
        This paragraph shall be carried out in consultation 
        with the transit industry by competitively selected 
        consortia that will share costs, risks, and rewards of 
        early deployment of innovation.

           *       *       *       *       *       *       *

  [(e)] (c) International Mass Transportation Program.--
          (1) Activities.--The Secretary is authorized to 
        engage in activities to inform the United States 
        domestic [mass] public transportation community about 
        technological innovations available in the 
        international marketplace and activities that may 
        afford domestic businesses the opportunity to become 
        globally competitive in the export of [mass] public 
        transportation products and services. Such activities 
        may include--
                  (A) development, monitoring, assessment, and 
                dissemination domestically of information about 
                worldwide [mass] public transportation market 
                opportunities;
                  (B) cooperation with foreign public sector 
                entities in research, development, 
                demonstration, training, and other forms of 
                technology transfer and exchange of experts and 
                information;
                  (C) advocacy, in international [mass] public 
                transportation markets, of firms, products, and 
                services available from the United States;
                  (D) informing the international market about 
                the technical quality of [mass] public 
                transportation products and services through 
                participation in seminars, expositions, and 
                similar activities; and
                  (E) offering those Federal Transit 
                Administration technical services which cannot 
                be readily obtained from the United States 
                private sector to foreign public authorities 
                planning or undertaking [mass] public 
                transportation projects if the cost of these 
                services will be recovered under the terms of 
                each project.
          (2) Cooperation.--The Secretary may carry out 
        activities under this subsection in cooperation with 
        other Federal agencies, State or local agencies, 
        [public and] public or private nonprofit institutions, 
        government laboratories, foreign governments, or any 
        other organization the Secretary determines is 
        appropriate.

           *       *       *       *       *       *       *


[Sec. 5313. State planning and research programs]

Sec. 5313. Cooperative research program

  (a) Cooperative Research Program.--[(1) The amounts made 
available under paragraphs (1) and (2)(C)(ii) of section 
5338(d) of this title] The amounts made available under 
paragraphs (1)(C)(iv) and (2)(C) of section 5338(d) are 
available for a [mass] public transportation cooperative 
research program. The Secretary of Transportation shall 
establish an independent governing board for the program. The 
board shall recommend [mass] public transportation research, 
development, and technology transfer activities the Secretary 
considers appropriate.
  [(2) The] (b)  Federal Assistance.--The Secretary may make 
grants to, and cooperative agreements with, the National 
Academy of Sciences to carry out activities under this 
subsection that the Secretary decides are appropriate.
  [(b) State Planning and Research.--(1) The amounts made 
available under paragraphs (1) and (2)(C)(ii) of section 
5338(c) of this title shall be apportioned to States for grants 
and contracts consistent with the purposes of sections 5303-
5306, 5312, 5315, 5317, and 5322 of this title. The amounts 
shall be apportioned so that each State receives an amount 
equal to the population in urbanized areas in the State, 
divided by the population in urbanized areas in all States, as 
shown by the latest available decennial census. However, a 
State must receive at least .5 percent of the amount 
apportioned under this subsection.
  [(2) A State, as the State considers appropriate, may 
authorize part of the amount made available under this 
subsection to be used to supplement amounts available under 
subsection (a) of this section.
  [(3) An amount apportioned under this subsection--
          [(A) remains available for 3 years after the fiscal 
        year in which the amount is apportioned; and
          [(B) that is unobligated at the end of the 3-year 
        period shall be reapportioned among the States for the 
        next fiscal year.]
  (c) Government's Share.--When there would be a clear and 
direct financial benefit to an entity under a grant or contract 
financed under [subsection (a) of] this section, the Secretary 
shall establish a United States Government share consistent 
with the benefit.

[Sec. 5314. National planning and research programs]

Sec. 5314. National research and technology programs

  (a) Program.--(1) The amounts made available under 
[subsections (d) and (h)(7) of section 5338 of this title] 
section 5338(d) are available to the Secretary of 
Transportation for grants [and contracts], contracts, 
cooperative agreements, or other transactions for the purposes 
of sections [5303-5306,] 5312, 5315, [5317,] and 5322 of this 
title, as the Secretary considers appropriate.
  (2) [Of the amounts made available under paragraph (1) of 
this subsection, the Secretary shall make available at least 
$3,000,000 to] The Secretary shall provide [mass] public 
transportation-related technical assistance, demonstration 
programs, research, public education, and other activities the 
Secretary considers appropriate to help [mass] public 
transportation providers comply with the Americans with 
Disabilities Act of 1990 (42 U.S.C. 12101 et seq.). To the 
extent practicable, the Secretary shall carry out this 
paragraph through a contract with a national nonprofit 
organization serving individuals with disabilities that has a 
demonstrated capacity to carry out the activities.

           *       *       *       *       *       *       *

  (4)(A) The Secretary may undertake a program of [mass] public 
transportation technology development in coordination with 
affected entities.
  [(B) The Secretary shall establish an Industry Technical 
Panel composed of representatives of transportation suppliers 
and operators and others involved in technology development. A 
majority of the Panel members shall represent the supply 
industry. The Panel shall assist the Secretary in identifying 
priority technology development areas and in establishing 
guidelines for project development, project cost sharing, and 
project execution.]
  [(C)] (B) The Secretary shall develop guidelines for cost 
sharing in technology development projects financed under this 
paragraph. The guidelines shall be flexible and reflect the 
extent of technical risk, market risk, and anticipated supplier 
benefits and payback periods.

           *       *       *       *       *       *       *

  (b) Government's Share.--When there would be a clear and 
direct financial benefit to an entity under a grant [or 
contract financed under subsection (a) of this section,], 
contract, cooperative agreement, or other transaction under 
subsection (a) or section 5312, the Secretary shall establish a 
United States Government share consistent with the benefit.

Sec. 5315. National transit institute

  (a) Establishment and Duties.--The Secretary of 
Transpor