    [Congressional Bills 112th Congress]
    [From the U.S. Government Publishing Office]
    [H.R. 4348 Enrolled Bill (ENR)]

            H.R.4348

                          One Hundred Twelfth Congress

                                     of the

                            United States of America

                              AT THE SECOND SESSION

              Begun and held at the City of Washington on Tuesday,
                the third day of January, two thousand and twelve

                                     An Act

     To authorize funds for Federal-aid highways, highway safety programs,
                  and transit programs, and for other purposes.

        Be it enacted by the Senate and House of Representatives of the
    United States of America in Congress assembled,
    SECTION 1. SHORT TITLE; ORGANIZATION OF ACT INTO DIVISIONS; TABLE OF
    CONTENTS.
        (a) Short Title.--This Act may be cited as the ``Moving Ahead for
    Progress in the 21st Century Act'' or the ``MAP-21''.
        (b) Divisions.--This Act is organized into 8 divisions as follows:
            (1) Division A-Federal-aid Highways and Highway Safety
        Construction Programs.
            (2) Division B-Public Transportation.
            (3) Division C-Transportation Safety and Surface Transportation
        Policy.
            (4) Division D-Finance.
            (5) Division E-Research and Education.
            (6) Division F-Miscellaneous.
            (7) Division G-Surface Transportation Extension.
            (8) Division H-Budgetary Effects.
        (c) Table of Contents.--The table of contents for this Act is as
    follows:

    Sec. 1. Short title; organization of Act into divisions; table of
              contents.
    Sec. 2. Definitions.
    Sec. 3. Effective date.

        DIVISION A--FEDERAL-AID HIGHWAYS AND HIGHWAY SAFETY CONSTRUCTION
                                    PROGRAMS

                          TITLE I--FEDERAL-AID HIGHWAYS

                     Subtitle A--Authorizations and Programs

    Sec. 1101. Authorization of appropriations.
    Sec. 1102. Obligation ceiling.
    Sec. 1103. Definitions.
    Sec. 1104. National Highway System.
    Sec. 1105. Apportionment.
    Sec. 1106. National highway performance program.
    Sec. 1107. Emergency relief.
    Sec. 1108. Surface transportation program.
    Sec. 1109. Workforce development.
    Sec. 1110. Highway use tax evasion projects.
    Sec. 1111. National bridge and tunnel inventory and inspection
              standards.
    Sec. 1112. Highway safety improvement program.
    Sec. 1113. Congestion mitigation and air quality improvement program.
    Sec. 1114. Territorial and Puerto Rico highway program.
    Sec. 1115. National freight policy.
    Sec. 1116. Prioritization of projects to improve freight movement.
    Sec. 1117. State freight advisory committees.
    Sec. 1118. State freight plans.
    Sec. 1119. Federal lands and tribal transportation programs.
    Sec. 1120. Projects of national and regional significance.
    Sec. 1121. Construction of ferry boats and ferry terminal facilities.
    Sec. 1122. Transportation alternatives.
    Sec. 1123. Tribal high priority projects program.

                       Subtitle B--Performance Management

    Sec. 1201. Metropolitan transportation planning.
    Sec. 1202. Statewide and nonmetropolitan transportation planning.
    Sec. 1203. National goals and performance management measures.

                  Subtitle C--Acceleration of Project Delivery

    Sec. 1301. Declaration of policy and project delivery initiative.
    Sec. 1302. Advance acquisition of real property interests.
    Sec. 1303. Letting of contracts.
    Sec. 1304. Innovative project delivery methods.
    Sec. 1305. Efficient environmental reviews for project decisionmaking.
    Sec. 1306. Accelerated decisionmaking.
    Sec. 1307. Assistance to affected Federal and State agencies.
    Sec. 1308. Limitations on claims.
    Sec. 1309. Accelerating completion of complex projects within 4 years.
    Sec. 1310. Integration of planning and environmental review.
    Sec. 1311. Development of programmatic mitigation plans.
    Sec. 1312. State assumption of responsibility for categorical
              exclusions.
    Sec. 1313. Surface transportation project delivery program.
    Sec. 1314. Application of categorical exclusions for multimodal
              projects.
    Sec. 1315. Categorical exclusions in emergencies.
    Sec. 1316. Categorical exclusions for projects within the right-of-way.
    Sec. 1317. Categorical exclusion for projects of limited Federal
              assistance.
    Sec. 1318. Programmatic agreements and additional categorical
              exclusions.
    Sec. 1319. Accelerated decisionmaking in environmental reviews.
    Sec. 1320. Memoranda of agency agreements for early coordination.
    Sec. 1321. Environmental procedures initiative.
    Sec. 1322. Review of State environmental reviews and approvals for the
              purpose of eliminating duplication of environmental reviews.
    Sec. 1323. Review of Federal project and program delivery.

                           Subtitle D--Highway Safety

    Sec. 1401. Jason's law.
    Sec. 1402. Open container requirements.
    Sec. 1403. Minimum penalties for repeat offenders for driving while
              intoxicated or driving under the influence.
    Sec. 1404. Adjustments to penalty provisions.
    Sec. 1405. Highway worker safety.

                            Subtitle E--Miscellaneous

    Sec. 1501. Real-time ridesharing.
    Sec. 1502. Program efficiencies.
    Sec. 1503. Project approval and oversight.
    Sec. 1504. Standards.
    Sec. 1505. Justification reports for access points on the Interstate
              System.
    Sec. 1506. Construction.
    Sec. 1507. Maintenance.
    Sec. 1508. Federal share payable.
    Sec. 1509. Transferability of Federal-aid highway funds.
    Sec. 1510. Idle reduction technology.
    Sec. 1511. Special permits during periods of national emergency.
    Sec. 1512. Tolling.
    Sec. 1513. Miscellaneous parking amendments.
    Sec. 1514. HOV facilities.
    Sec. 1515. Funding flexibility for transportation emergencies.
    Sec. 1516. Defense access road program enhancements to address
              transportation infrastructure in the vicinity of military
              installations.
    Sec. 1517. Mapping.
    Sec. 1518. Buy America provisions.
    Sec. 1519. Consolidation of programs; repeal of obsolete provisions.
    Sec. 1520. Denali Commission.
    Sec. 1521. Uniform Relocation Assistance and Real Property Acquisition
              Policies Act of 1970 amendments.
    Sec. 1522. Extension of public transit vehicle exemption from axle
              weight restrictions.
    Sec. 1523. Use of debris from demolished bridges and overpasses.
    Sec. 1524. Use of youth service and conservation corps.
    Sec. 1525. State autonomy for culvert pipe selection.
    Sec. 1526. Evacuation routes.
    Sec. 1527. Consolidation of grants.
    Sec. 1528. Appalachian development highway system.
    Sec. 1529. Engineering judgment.
    Sec. 1530. Transportation training and employment programs.
    Sec. 1531. Notice of certain grant awards.
    Sec. 1532. Budget justification.
    Sec. 1533. Prohibition on use of funds for automated traffic
              enforcement.
    Sec. 1534. Public-private partnerships.
    Sec. 1535. Report on Highway Trust Fund expenditures.
    Sec. 1536. Sense of Congress on harbor maintenance.
    Sec. 1537. Estimate of harbor maintenance needs.
    Sec. 1538. Asian carp.
    Sec. 1539. Rest areas.

                       Subtitle F--Gulf Coast Restoration

    Sec. 1601. Short title.
    Sec. 1602. Gulf Coast Restoration Trust Fund.
    Sec. 1603. Gulf Coast natural resources restoration and economic
              recovery.
    Sec. 1604. Gulf Coast Ecosystem Restoration Science, Observation,
              Monitoring, and Technology program.
    Sec. 1605. Centers of excellence research grants.
    Sec. 1606. Effect.
    Sec. 1607. Restoration and protection activity limitations.
    Sec. 1608. Inspector General.

               TITLE II--AMERICA FAST FORWARD FINANCING INNOVATION

    Sec. 2001. Short title.
    Sec. 2002. Transportation Infrastructure Finance and Innovation Act of
              1998 amendments.

                        DIVISION B--PUBLIC TRANSPORTATION

    Sec. 20001. Short title.
    Sec. 20002. Repeals.
    Sec. 20003. Policies and purposes.
    Sec. 20004. Definitions.
    Sec. 20005. Metropolitan transportation planning.
    Sec. 20006. Statewide and nonmetropolitan transportation planning.
    Sec. 20007. Urbanized area formula grants.
    Sec. 20008. Fixed guideway capital investment grants.
    Sec. 20009. Mobility of seniors and individuals with disabilities.
    Sec. 20010. Formula grants for rural areas.
    Sec. 20011. Research, development, demonstration, and deployment
              projects.
    Sec. 20012. Technical assistance and standards development.
    Sec. 20013. Private sector participation.
    Sec. 20014. Bus testing facilities.
    Sec. 20015. Human resources and training.
    Sec. 20016. General provisions.
    Sec. 20017. Public Transportation Emergency Relief Program.
    Sec. 20018. Contract requirements.
    Sec. 20019. Transit asset management.
    Sec. 20020. Project management oversight.
    Sec. 20021. Public transportation safety.
    Sec. 20022. Alcohol and controlled substances testing.
    Sec. 20023. Nondiscrimination.
    Sec. 20024. Administrative provisions.
    Sec. 20025. National transit database.
    Sec. 20026. Apportionment of appropriations for formula grants.
    Sec. 20027. State of good repair grants.
    Sec. 20028. Authorizations.
    Sec. 20029. Bus and bus facilities formula grants.
    Sec. 20030. Technical and conforming amendments.

       DIVISION C--TRANSPORTATION SAFETY AND SURFACE TRANSPORTATION POLICY

        TITLE I--MOTOR VEHICLE AND HIGHWAY SAFETY IMPROVEMENT ACT OF 2012

    Sec. 31001. Short title.
    Sec. 31002. Definition.

                           Subtitle A--Highway Safety

    Sec. 31101. Authorization of appropriations.
    Sec. 31102. Highway safety programs.
    Sec. 31103. Highway safety research and development.
    Sec. 31104. National driver register.
    Sec. 31105. National priority safety programs.
    Sec. 31106. High visibility enforcement program.
    Sec. 31107. Agency accountability.
    Sec. 31108. Emergency medical services.
    Sec. 31109. Repeal of programs.

                     Subtitle B--Enhanced Safety Authorities

    Sec. 31201. Definition of motor vehicle equipment.
    Sec. 31202. Permit reminder system for non-use of safety belts.
    Sec. 31203. Civil penalties.
    Sec. 31204. Motor vehicle safety research and development.
    Sec. 31205. Odometer requirements.
    Sec. 31206. Increased penalties and damages for odometer fraud.
    Sec. 31207. Extend prohibitions on importing noncompliant vehicles and
              equipment to defective vehicles and equipment.
    Sec. 31208. Conditions on importation of vehicles and equipment.
    Sec. 31209. Port inspections; samples for examination or testing.

                   Subtitle C--Transparency and Accountability

    Sec. 31301. Public availability of recall information.
    Sec. 31302. National Highway Traffic Safety Administration outreach to
              manufacturer, dealer, and mechanic personnel.
    Sec. 31303. Public availability of communications to dealers.
    Sec. 31304. Corporate responsibility for National Highway Traffic Safety
              Administration reports.
    Sec. 31305. Passenger motor vehicle information program.
    Sec. 31306. Promotion of vehicle defect reporting.
    Sec. 31307. Whistleblower protections for motor vehicle manufacturers,
              part suppliers, and dealership employees.
    Sec. 31308. Anti-revolving door.
    Sec. 31309. Study of crash data collection.
    Sec. 31310. Update means of providing notification; improving efficacy
              of recalls.
    Sec. 31311. Expanding choices of remedy available to manufacturers of
              replacement equipment.
    Sec. 31312. Recall obligations and bankruptcy of manufacturer.
    Sec. 31313. Repeal of insurance reports and information provision.
    Sec. 31314. Monroney sticker to permit additional safety rating
              categories.

              Subtitle D--Vehicle Electronics and Safety Standards

    Sec. 31401. National Highway Traffic Safety Administration electronics,
              software, and engineering expertise.
    Sec. 31402. Electronic systems performance.

                       Subtitle E--Child Safety Standards

    Sec. 31501. Child safety seats.
    Sec. 31502. Child restraint anchorage systems.
    Sec. 31503. Rear seat belt reminders.
    Sec. 31504. Unattended passenger reminders.
    Sec. 31505. New deadline.

     Subtitle F--Improved Daytime and Nighttime Visibility of Agricultural
                                    Equipment

    Sec. 31601. Rulemaking on visibility of agricultural equipment.

        TITLE II--COMMERCIAL MOTOR VEHICLE SAFETY ENHANCEMENT ACT OF 2012

    Sec. 32001. Short title.
    Sec. 32002. References to title 49, United States Code.

                Subtitle A--Commercial Motor Vehicle Registration

    Sec. 32101. Registration of motor carriers.
    Sec. 32102. Safety fitness of new operators.
    Sec. 32103. Reincarnated carriers.
    Sec. 32104. Financial responsibility requirements.
    Sec. 32105. USDOT number registration requirement.
    Sec. 32106. Registration fee system.
    Sec. 32107. Registration update.
    Sec. 32108. Increased penalties for operating without registration.
    Sec. 32109. Revocation of registration for imminent hazard.
    Sec. 32110. Revocation of registration and other penalties for failure
              to respond to subpoena.
    Sec. 32111. Fleetwide out of service order for operating without
              required registration.
    Sec. 32112. Motor carrier and officer patterns of safety violations.

                   Subtitle B--Commercial Motor Vehicle Safety

    Sec. 32201. Crashworthiness standards.
    Sec. 32202. Canadian safety rating reciprocity.
    Sec. 32203. State reporting of foreign commercial driver convictions.
    Sec. 32204. Authority to disqualify foreign commercial drivers.
    Sec. 32205. Revocation of foreign motor carrier operating authority for
              failure to pay civil penalties.
    Sec. 32206. Rental truck accident study.

                            Subtitle C--Driver Safety

    Sec. 32301. Hours of service study and electronic logging devices.
    Sec. 32302. Driver medical qualifications.
    Sec. 32303. Commercial driver's license notification system.
    Sec. 32304. Commercial motor vehicle operator training.
    Sec. 32305. Commercial driver's license program.
    Sec. 32306. Commercial motor vehicle driver information systems.
    Sec. 32307. Employer responsibilities.
    Sec. 32308. Program to assist Veterans to acquire commercial driver's
              licenses.

                       Subtitle D--Safe Roads Act of 2012

    Sec. 32401. Short title.
    Sec. 32402. National clearinghouse for controlled substance and alcohol
              test results of commercial motor vehicle operators.

                             Subtitle E--Enforcement

    Sec. 32501. Inspection demand and display of credentials.
    Sec. 32502. Out of service penalty for denial of access to records.
    Sec. 32503. Penalties for violation of operation out of service orders.
    Sec. 32504. Impoundment and immobilization of commercial motor vehicles
              for imminent hazard.
    Sec. 32505. Increased penalties for evasion of regulations.
    Sec. 32506. Violations relating to commercial motor vehicle safety
              regulation and operators.
    Sec. 32507. Emergency disqualification for imminent hazard.
    Sec. 32508. Disclosure to State and local law enforcement agencies.
    Sec. 32509. Grade crossing safety regulations.

                 Subtitle F--Compliance, Safety, Accountability

    Sec. 32601. Motor carrier safety assistance program.
    Sec. 32602. Performance and registration information systems management
              program.
    Sec. 32603. Authorization of appropriations.
    Sec. 32604. Grants for commercial driver's license program
              implementation.
    Sec. 32605. Commercial vehicle information systems and networks.

               Subtitle G--Motorcoach Enhanced Safety Act of 2012

    Sec. 32701. Short title.
    Sec. 32702. Definitions.
    Sec. 32703. Regulations for improved occupant protection, passenger
              evacuation, and crash avoidance.
    Sec. 32704. Fire prevention and mitigation.
    Sec. 32705. Occupant protection, collision avoidance, fire causation,
              and fire extinguisher research and testing.
    Sec. 32706. Concurrence of research and rulemaking.
    Sec. 32707. Improved oversight of motorcoach service providers.
    Sec. 32708. Report on feasibility, benefits, and costs of establishing a
              system of certification of training programs.
    Sec. 32709. Commercial driver's license passenger endorsement
              requirements.
    Sec. 32710. Safety inspection program for commercial motor vehicles of
              passengers.
    Sec. 32711. Regulations.

            Subtitle H--Safe Highways and Infrastructure Preservation

    Sec. 32801. Comprehensive truck size and weight limits study.
    Sec. 32802. Compilation of existing State truck size and weight limit
              laws.

                            Subtitle I--Miscellaneous

                              PART I--Miscellaneous

    Sec. 32911. Prohibition of coercion.
    Sec. 32912. Motor carrier safety advisory committee.
    Sec. 32913. Waivers, exemptions, and pilot programs.
    Sec. 32914. Registration requirements.
    Sec. 32915. Additional motor carrier registration requirements.
    Sec. 32916. Registration of freight forwarders and brokers.
    Sec. 32917. Effective periods of registration.
    Sec. 32918. Financial security of brokers and freight forwarders.
    Sec. 32919. Unlawful brokerage activities.

                     PART II--Household Goods Transportation

    Sec. 32921. Additional registration requirements for household goods
              motor carriers.
    Sec. 32922. Failure to give up possession of household goods.
    Sec. 32923. Settlement authority.

                         PART III--Technical Amendments

    Sec. 32931. Update of obsolete text.
    Sec. 32932. Correction of interstate commerce commission references.
    Sec. 32933. Technical and conforming amendments.
    Sec. 32934. Exemptions from requirements for covered farm vehicles.

    TITLE III--HAZARDOUS MATERIALS TRANSPORTATION SAFETY IMPROVEMENT ACT OF
                                      2012

    Sec. 33001. Short title.
    Sec. 33002. Definition.
    Sec. 33003. References to title 49, United States Code.
    Sec. 33004. Training for emergency responders.
    Sec. 33005. Paperless Hazard Communications Pilot Program.
    Sec. 33006. Improving data collection, analysis, and reporting.
    Sec. 33007. Hazardous material technical assessment, research and
              development, and analysis program.
    Sec. 33008. Hazardous Material Enforcement Training.
    Sec. 33009. Inspections.
    Sec. 33010. Civil penalties.
    Sec. 33011. Reporting of fees.
    Sec. 33012. Special permits, approvals, and exclusions.
    Sec. 33013. Highway routing disclosures.
    Sec. 33014. Motor carrier safety permits.
    Sec. 33015. Wetlines.
    Sec. 33016. Hazmat employee training requirements and grants.
    Sec. 33017. Authorization of appropriations.

    TITLE IV--SPORT FISH RESTORATION AND RECREATIONAL BOATING SAFETY ACT OF
                                      2012

    Sec. 34001. Short title.
    Sec. 34002. Amendment of Federal Aid in Sport Fish Restoration Act.

                             TITLE V--MISCELLANEOUS

    Sec. 35001. Overflights in Grand Canyon National Park.
    Sec. 35002. Commercial air tour operations.
    Sec. 35003. Qualifications for public aircraft status.

                               DIVISION D--FINANCE

    Sec. 40001. Short title.

       TITLE I--EXTENSION OF HIGHWAY TRUST FUND EXPENDITURE AUTHORITY AND
                                  RELATED TAXES

    Sec. 40101. Extension of trust fund expenditure authority.
    Sec. 40102. Extension of highway-related taxes.

                          TITLE II--REVENUE PROVISIONS

             Subtitle A--Leaking Underground Storage Tank Trust Fund

    Sec. 40201. Transfer from Leaking Underground Storage Tank Trust Fund to
              Highway Trust Fund.

                         Subtitle B--Pension Provisions

                      PART I--Pension Funding Stabilization

    Sec. 40211. Pension funding stabilization.

                             PART II--PBGC Premiums

    Sec. 40221. Single employer plan annual premium rates.
    Sec. 40222. Multiemployer annual premium rates.

                         PART III--Improvements of PBGC

    Sec. 40231. Pension Benefit Guaranty Corporation Governance Improvement.
    Sec. 40232. Participant and plan sponsor advocate.
    Sec. 40233. Quality control procedures for the Pension Benefit Guaranty
              Corporation.
    Sec. 40234. Line of credit repeal.

                   PART IV--Transfers of Excess Pension Assets

    Sec. 40241. Extension for transfers of excess pension assets to retiree
              health accounts.
    Sec. 40242. Transfer of excess pension assets to retiree group term life
              insurance accounts.

             Subtitle C--Additional Transfers to Highway Trust Fund

    Sec. 40251. Additional transfers to Highway Trust Fund.

                       DIVISION E--RESEARCH AND EDUCATION

    Sec. 50001. Short title.

                                TITLE I--FUNDING

    Sec. 51001. Authorization of appropriations.

                  TITLE II--RESEARCH, TECHNOLOGY, AND EDUCATION

    Sec. 52001. Research, technology, and education.
    Sec. 52002. Surface transportation research, development, and
              technology.
    Sec. 52003. Research and technology development and deployment.
    Sec. 52004. Training and education.
    Sec. 52005. State planning and research.
    Sec. 52006. International highway transportation program.
    Sec. 52007. Surface transportation environmental cooperative research
              program.
    Sec. 52008. National cooperative freight research.
    Sec. 52009. University transportation centers program.
    Sec. 52010. University transportation research.
    Sec. 52011. Bureau of Transportation Statistics.
    Sec. 52012. Administrative authority.
    Sec. 52013. Transportation research and development strategic planning.

             TITLE III--INTELLIGENT TRANSPORTATION SYSTEMS RESEARCH

    Sec. 53001. Use of funds for ITS activities.
    Sec. 53002. Goals and purposes.
    Sec. 53003. General authorities and requirements.
    Sec. 53004. Research and development.
    Sec. 53005. National architecture and standards.
    Sec. 53006. Vehicle-to-vehicle and vehicle-to-infrastructure
              communications systems deployment.

                            DIVISION F--MISCELLANEOUS

                  TITLE I--REAUTHORIZATION OF CERTAIN PROGRAMS

       Subtitle A--Secure Rural Schools and Community Self-determination
                                     Program

    Sec. 100101. Secure Rural Schools and Community Self-Determination
              Program.

                  Subtitle B--Payment in Lieu of Taxes Program

    Sec. 100111. Payments in lieu of taxes.

                               Subtitle C--Offsets

    Sec. 100121. Phased retirement authority.
    Sec. 100122. Roll-your-own cigarette machines.
    Sec. 100123. Change in FMAP increase for disaster recovery states.
    Sec. 100124. Repeals.
    Sec. 100125. Limitation on payments from the Abandoned Mine Reclamation
              Fund.

                            TITLE II--FLOOD INSURANCE

              Subtitle A--Flood Insurance Reform and Modernization

    Sec. 100201. Short title.
    Sec. 100202. Definitions.
    Sec. 100203. Extension of National Flood Insurance Program.
    Sec. 100204. Availability of insurance for multifamily properties.
    Sec. 100205. Reform of premium rate structure.
    Sec. 100207. Premium adjustment.
    Sec. 100208. Enforcement.
    Sec. 100209. Escrow of flood insurance payments.
    Sec. 100210. Minimum deductibles for claims under the National Flood
              Insurance Program.
    Sec. 100211. Considerations in determining chargeable premium rates.
    Sec. 100212. Reserve fund.
    Sec. 100213. Repayment plan for borrowing authority.
    Sec. 100214. Payment of condominium claims.
    Sec. 100215. Technical mapping advisory council.
    Sec. 100216. National flood mapping program.
    Sec. 100217. Scope of appeals.
    Sec. 100218. Scientific Resolution Panel.
    Sec. 100219. Removal of limitation on State contributions for updating
              flood maps.
    Sec. 100220. Coordination.
    Sec. 100221. Interagency coordination study.
    Sec. 100222. Notice of flood insurance availability under RESPA.
    Sec. 100223. Participation in State disaster claims mediation programs.
    Sec. 100224. Oversight and expense reimbursements of insurance
              companies.
    Sec. 100225. Mitigation.
    Sec. 100226. Flood Protection Structure Accreditation Task Force.
    Sec. 100227. Flood in progress determinations.
    Sec. 100228. Clarification of residential and commercial coverage
              limits.
    Sec. 100229. Local data requirement.
    Sec. 100230. Eligibility for flood insurance for persons residing in
              communities that have made adequate progress on the
              reconstruction or improvement of a flood protection system.
    Sec. 100231. Studies and reports.
    Sec. 100232. Reinsurance.
    Sec. 100233. GAO study on business interruption and additional living
              expenses coverages.
    Sec. 100234. Policy disclosures.
    Sec. 100235. Report on inclusion of building codes in floodplain
              management criteria.
    Sec. 100236. Study of participation and affordability for certain
              policyholders.
    Sec. 100237. Study and report concerning the participation of Indian
              tribes and members of Indian tribes in the National Flood
              Insurance Program.
    Sec. 100238. Technical corrections.
    Sec. 100239. Use of private insurance to satisfy mandatory purchase
              requirement.
    Sec. 100240. Levees constructed on certain properties.
    Sec. 100241. Insurance coverage for private properties affected by
              flooding from Federal lands.
    Sec. 100242. Permissible land use under Federal flood insurance plan.
    Sec. 100243. CDBG eligibility for flood insurance outreach activities
              and community building code administration grants.
    Sec. 100244. Termination of force-placed insurance.
    Sec. 100245. FEMA authority on transfer of policies.
    Sec. 100246. Reimbursement of certain expenses.
    Sec. 100247. FIO study on risks, hazards, and insurance.
    Sec. 100248. Flood protection improvements constructed on certain
              properties.
    Sec. 100249. No cause of action.

                     Subtitle B--Alternative Loss Allocation

    Sec. 100251. Short title.
    Sec. 100252. Assessing and modeling named storms over coastal States.
    Sec. 100253. Alternative loss allocation system for indeterminate
              claims.

                        Subtitle C--HEARTH Act Amendment

    Sec. 100261. HEARTH Act technical corrections.

                 TITLE III--STUDENT LOAN INTEREST RATE EXTENSION

    Sec. 100301. Federal Direct Stafford Loan interest rate extension.
    Sec. 100302. Eligibility for, and interest charges on, Federal Direct
              Stafford Loans for new borrowers on or after July 1, 2013.

                  DIVISION G--SURFACE TRANSPORTATION EXTENSION

    Sec. 110001. Short title.

                          TITLE I--FEDERAL-AID HIGHWAYS

    Sec. 111001. Extension of Federal-aid highway programs.

                 TITLE II--EXTENSION OF HIGHWAY SAFETY PROGRAMS

    Sec. 112001. Extension of National Highway Traffic Safety Administration
              highway safety programs.
    Sec. 112002. Extension of Federal Motor Carrier Safety Administration
              programs.
    Sec. 112003. Additional programs.

                    TITLE III--PUBLIC TRANSPORTATION PROGRAMS

    Sec. 113001. Allocation of funds for planning programs.
    Sec. 113002. Special rule for urbanized area formula grants.
    Sec. 113003. Allocating amounts for capital investment grants.
    Sec. 113004. Apportionment of formula grants for other than urbanized
              areas.
    Sec. 113005. Apportionment based on fixed guideway factors.
    Sec. 113006. Authorizations for public transportation.
    Sec. 113007. Amendments to SAFETEA-LU.

                            TITLE IV--EFFECTIVE DATE

    Sec. 114001. Effective date.

                          DIVISION H--BUDGETARY EFFECTS

    Sec. 120001. Budgetary effects.
    SEC. 2. DEFINITIONS.
        In this Act, the following definitions apply:
            (1) Department.--The term ``Department'' means the Department
        of Transportation.
            (2) Secretary.--The term ``Secretary'' means the Secretary of
        Transportation.
    SEC. 3. EFFECTIVE DATE.
        (a) In General.--Except as otherwise provided, divisions A, B, C
    (other than sections 32603(d), 32603(g), 32912, and 34002 of that
    division) and E, including the amendments made by those divisions, take
    effect on October 1, 2012.
        (b) References.--Except as otherwise provided, any reference to the
    date of enactment of the MAP-21 or to the date of enactment of the
    Federal Public Transportation Act of 2012 in the divisions described in
    subsection (a) or in an amendment made by those divisions shall be
    deemed to be a reference to the effective date of those divisions.

       DIVISION A--FEDERAL-AID HIGHWAYS AND HIGHWAY SAFETY CONSTRUCTION
                                    PROGRAMS
                         TITLE I--FEDERAL-AID HIGHWAYS
                    Subtitle A--Authorizations and Programs

    SEC. 1101. AUTHORIZATION OF APPROPRIATIONS.
        (a) In General.--The following sums are authorized to be
    appropriated out of the Highway Trust Fund (other than the Mass Transit
    Account):
            (1) Federal-aid highway program.--For the national highway
        performance program under section 119 of title 23, United States
        Code, the surface transportation program under section 133 of that
        title, the highway safety improvement program under section 148 of
        that title, the congestion mitigation and air quality improvement
        program under section 149 of that title, and to carry out section
        134 of that title--
                (A) $37,476,819,674 for fiscal year 2013; and
                (B) $37,798,000,000 for fiscal year 2014.
            (2) Transportation infrastructure finance and innovation
        program.--For credit assistance under the transportation
        infrastructure finance and innovation program under chapter 6 of
        title 23, United States Code--
                (A) $750,000,000 for fiscal year 2013; and
                (B) $1,000,000,000 for fiscal year 2014.
            (3) Federal lands and tribal transportation programs.--
                (A) Tribal transportation program.--For the tribal
            transportation program under section 202 of title 23, United
            States Code, $450,000,000 for each of fiscal years 2013 and
            2014.
                (B) Federal lands transportation program.--For the Federal
            lands transportation program under section 203 of title 23,
            United States Code, $300,000,000 for each of fiscal years 2013
            and 2014, of which $240,000,000 of the amount made available
            for each fiscal year shall be the amount for the National Park
            Service and $30,000,000 of the amount made available for each
            fiscal year shall be the amount for the United States Fish and
            Wildlife Service.
                (C) Federal lands access program.--For the Federal lands
            access program under section 204 of title 23, United States
            Code, $250,000,000 for each of fiscal years 2013 and 2014.
            (4) Territorial and puerto rico highway program.--For the
        territorial and Puerto Rico highway program under section 165 of
        title 23, United States Code, $190,000,000 for each of fiscal years
        2013 and 2014.
        (b) Disadvantaged Business Enterprises.--
            (1) Findings.--Congress finds that--
                (A) while significant progress has occurred due to the
            establishment of the disadvantaged business enterprise program,
            discrimination and related barriers continue to pose
            significant obstacles for minority- and women-owned businesses
            seeking to do business in federally-assisted surface
            transportation markets across the United States;
                (B) the continuing barriers described in subparagraph (A)
            merit the continuation of the disadvantaged business enterprise
            program;
                (C) Congress has received and reviewed testimony and
            documentation of race and gender discrimination from numerous
            sources, including congressional hearings and roundtables,
            scientific reports, reports issued by public and private
            agencies, news stories, reports of discrimination by
            organizations and individuals, and discrimination lawsuits,
            which show that race- and gender-neutral efforts alone are
            insufficient to address the problem;
                (D) the testimony and documentation described in
            subparagraph (C) demonstrate that discrimination across the
            United States poses a barrier to full and fair participation in
            surface transportation-related businesses of women business
            owners and minority business owners and has impacted firm
            development and many aspects of surface transportation-related
            business in the public and private markets; and
                (E) the testimony and documentation described in
            subparagraph (C) provide a strong basis that there is a
            compelling need for the continuation of the disadvantaged
            business enterprise program to address race and gender
            discrimination in surface transportation-related business.
            (2) Definitions.--In this subsection, the following definitions
        apply:
                (A) Small business concern.--
                    (i) In general.--The term ``small business concern''
                means a small business concern (as the term is used in
                section 3 of the Small Business Act (15 U.S.C. 632)).
                    (ii) Exclusions.--The term ``small business concern''
                does not include any concern or group of concerns
                controlled by the same socially and economically
                disadvantaged individual or individuals that have average
                annual gross receipts during the preceding 3 fiscal years
                in excess of $22,410,000, as adjusted annually by the
                Secretary for inflation.
                (B) Socially and economically disadvantaged individuals.--
            The term ``socially and economically disadvantaged
            individuals'' has the meaning given the term in section 8(d) of
            the Small Business Act (15 U.S.C. 637(d)) and relevant
            subcontracting regulations issued pursuant to that Act, except
            that women shall be presumed to be socially and economically
            disadvantaged individuals for purposes of this subsection.
            (3) Amounts for small business concerns.--Except to the extent
        that the Secretary determines otherwise, not less than 10 percent
        of the amounts made available for any program under divisions A and
        B of this Act and section 403 of title 23, United States Code,
        shall be expended through small business concerns owned and
        controlled by socially and economically disadvantaged individuals.
            (4) Annual listing of disadvantaged business enterprises.--Each
        State shall annually--
                (A) survey and compile a list of the small business
            concerns referred to in paragraph (2) in the State, including
            the location of the small business concerns in the State; and
                (B) notify the Secretary, in writing, of the percentage of
            the small business concerns that are controlled by--
                    (i) women;
                    (ii) socially and economically disadvantaged
                individuals (other than women); and
                    (iii) individuals who are women and are otherwise
                socially and economically disadvantaged individuals.
            (5) Uniform certification.--
                (A) In general.--The Secretary shall establish minimum
            uniform criteria for use by State governments in certifying
            whether a concern qualifies as a small business concern for the
            purpose of this subsection.
                (B) Inclusions.--The minimum uniform criteria established
            under subparagraph (A) shall include, with respect to a
            potential small business concern--
                    (i) on-site visits;
                    (ii) personal interviews with personnel;
                    (iii) issuance or inspection of licenses;
                    (iv) analyses of stock ownership;
                    (v) listings of equipment;
                    (vi) analyses of bonding capacity;
                    (vii) listings of work completed;
                    (viii) examination of the resumes of principal owners;
                    (ix) analyses of financial capacity; and
                    (x) analyses of the type of work preferred.
            (6) Reporting.--The Secretary shall establish minimum
        requirements for use by State governments in reporting to the
        Secretary--
                (A) information concerning disadvantaged business
            enterprise awards, commitments, and achievements; and
                (B) such other information as the Secretary determines to
            be appropriate for the proper monitoring of the disadvantaged
            business enterprise program.
            (7) Compliance with court orders.--Nothing in this subsection
        limits the eligibility of an individual or entity to receive funds
        made available under divisions A and B of this Act and section 403
        of title 23, United States Code, if the entity or person is
        prevented, in whole or in part, from complying with paragraph (2)
        because a Federal court issues a final order in which the court
        finds that a requirement or the implementation of paragraph (2) is
        unconstitutional.
    SEC. 1102. OBLIGATION CEILING.
        (a) General Limitation.--Subject to subsection (e), and
    notwithstanding any other provision of law, the obligations for
    Federal-aid highway and highway safety construction programs shall not
    exceed--
            (1) $39,699,000,000 for fiscal year 2013; and
            (2) $40,256,000,000 for fiscal year 2014.
        (b) Exceptions.--The limitations under subsection (a) shall not
    apply to obligations under or for--
            (1) section 125 of title 23, United States Code;
            (2) section 147 of the Surface Transportation Assistance Act of
        1978 (23 U.S.C. 144 note; 92 Stat. 2714);
            (3) section 9 of the Federal-Aid Highway Act of 1981 (95 Stat.
        1701);
            (4) subsections (b) and (j) of section 131 of the Surface
        Transportation Assistance Act of 1982 (96 Stat. 2119);
            (5) subsections (b) and (c) of section 149 of the Surface
        Transportation and Uniform Relocation Assistance Act of 1987 (101
        Stat. 198);
            (6) sections 1103 through 1108 of the Intermodal Surface
        Transportation Efficiency Act of 1991 (105 Stat. 2027);
            (7) section 157 of title 23, United States Code (as in effect
        on June 8, 1998);
            (8) section 105 of title 23, United States Code (as in effect
        for fiscal years 1998 through 2004, but only in an amount equal to
        $639,000,000 for each of those fiscal years);
            (9) Federal-aid highway programs for which obligation authority
        was made available under the Transportation Equity Act for the 21st
        Century (112 Stat. 107) or subsequent Acts for multiple years or to
        remain available until expended, but only to the extent that the
        obligation authority has not lapsed or been used;
            (10) section 105 of title 23, United States Code (but, for each
        of fiscal years 2005 through 2011, only in an amount equal to
        $639,000,000 for each of those fiscal years);
            (11) section 1603 of SAFETEA-LU (23 U.S.C. 118 note; 119 Stat.
        1248), to the extent that funds obligated in accordance with that
        section were not subject to a limitation on obligations at the time
        at which the funds were initially made available for obligation;
        and
            (12) section 119 of title 23, United States Code (but, for each
        of fiscal years 2013 through 2014, only in an amount equal to
        $639,000,000 for each of those fiscal years).
        (c) Distribution of Obligation Authority.--For each of fiscal years
    2013 through 2014, the Secretary--
            (1) shall not distribute obligation authority provided by
        subsection (a) for the fiscal year for--
                (A) amounts authorized for administrative expenses and
            programs by section 104(a) of title 23, United States Code; and
                (B) amounts authorized for the Bureau of Transportation
            Statistics;
            (2) shall not distribute an amount of obligation authority
        provided by subsection (a) that is equal to the unobligated balance
        of amounts--
                (A) made available from the Highway Trust Fund (other than
            the Mass Transit Account) for Federal-aid highway and highway
            safety construction programs for previous fiscal years the
            funds for which are allocated by the Secretary (or apportioned
            by the Secretary under sections 202 or 204 of title 23, United
            States Code); and
                (B) for which obligation authority was provided in a
            previous fiscal year;
            (3) shall determine the proportion that--
                (A) the obligation authority provided by subsection (a) for
            the fiscal year, less the aggregate of amounts not distributed
            under paragraphs (1) and (2) of this subsection; bears to
                (B) the total of the sums authorized to be appropriated for
            the Federal-aid highway and highway safety construction
            programs (other than sums authorized to be appropriated for
            provisions of law described in paragraphs (1) through (11) of
            subsection (b) and sums authorized to be appropriated for
            section 119 of title 23, United States Code, equal to the
            amount referred to in subsection (b)(12) for the fiscal year),
            less the aggregate of the amounts not distributed under
            paragraphs (1) and (2) of this subsection;
            (4) shall distribute the obligation authority provided by
        subsection (a), less the aggregate amounts not distributed under
        paragraphs (1) and (2), for each of the programs (other than
        programs to which paragraph (1) applies) that are allocated by the
        Secretary under this Act and title 23, United States Code, or
        apportioned by the Secretary under sections 202 or 204 of that
        title, by multiplying--
                (A) the proportion determined under paragraph (3); by
                (B) the amounts authorized to be appropriated for each such
            program for the fiscal year; and
            (5) shall distribute the obligation authority provided by
        subsection (a), less the aggregate amounts not distributed under
        paragraphs (1) and (2) and the amounts distributed under paragraph
        (4), for Federal-aid highway and highway safety construction
        programs that are apportioned by the Secretary under title 23,
        United States Code (other than the amounts apportioned for the
        national highway performance program in section 119 of title 23,
        United States Code, that are exempt from the limitation under
        subsection (b)(12) and the amounts apportioned under section 204 of
        that title) in the proportion that--
                (A) amounts authorized to be appropriated for the programs
            that are apportioned under title 23, United States Code, to
            each State for the fiscal year; bears to
                (B) the total of the amounts authorized to be appropriated
            for the programs that are apportioned under title 23, United
            States Code, to all States for the fiscal year.
        (d) Redistribution of Unused Obligation Authority.--Notwithstanding
    subsection (c), the Secretary shall, after August 1 of each of fiscal
    years 2013 through 2014--
            (1) revise a distribution of the obligation authority made
        available under subsection (c) if an amount distributed cannot be
        obligated during that fiscal year; and
            (2) redistribute sufficient amounts to those States able to
        obligate amounts in addition to those previously distributed during
        that fiscal year, giving priority to those States having large
        unobligated balances of funds apportioned under sections 144 (as in
        effect on the day before the date of enactment of this Act) and 104
        of title 23, United States Code.
        (e) Applicability of Obligation Limitations to Transportation
    Research Programs.--
            (1) In general.--Except as provided in paragraph (2),
        obligation limitations imposed by subsection (a) shall apply to
        contract authority for transportation research programs carried out
        under--
                (A) chapter 5 of title 23, United States Code; and
                (B) division E of this Act.
            (2) Exception.--Obligation authority made available under
        paragraph (1) shall--
                (A) remain available for a period of 4 fiscal years; and
                (B) be in addition to the amount of any limitation imposed
            on obligations for Federal-aid highway and highway safety
            construction programs for future fiscal years.
        (f) Redistribution of Certain Authorized Funds.--
            (1) In general.--Not later than 30 days after the date of
        distribution of obligation authority under subsection (c) for each
        of fiscal years 2013 through 2014, the Secretary shall distribute
        to the States any funds (excluding funds authorized for the program
        under section 202 of title 23, United States Code) that--
                (A) are authorized to be appropriated for the fiscal year
            for Federal-aid highway programs; and
                (B) the Secretary determines will not be allocated to the
            States (or will not be apportioned to the States under section
            204 of title 23, United States Code), and will not be available
            for obligation, for the fiscal year because of the imposition
            of any obligation limitation for the fiscal year.
            (2) Ratio.--Funds shall be distributed under paragraph (1) in
        the same proportion as the distribution of obligation authority
        under subsection (c)(5).
            (3) Availability.--Funds distributed to each State under
        paragraph (1) shall be available for any purpose described in
        section 133(c) of title 23, United States Code.
    SEC. 1103. DEFINITIONS.
        (a) Definitions.--Section 101(a) of title 23, United States Code,
    is amended--
            (1) by striking paragraphs (6), (7), (9), (12), (19), (20),
        (24), (25), (26), (28), (38), and (39);
            (2) by redesignating paragraphs (2), (3), (4), (5), (8), (13),
        (14), (15), (16), (17), (18), (21), (22), (23), (27), (29), (30),
        (31), (32), (33), (34), (35), (36), and (37) as paragraphs (3),
        (4), (5), (6), (9), (12), (13), (14), (15), (16), (17), (18), (19),
        (20), (21), (22), (23), (24), (25), (26), (28), (29), (33), and
        (34), respectively;
            (3) by inserting after paragraph (1) the following:
            ``(2) Asset management.--The term `asset management' means a
        strategic and systematic process of operating, maintaining, and
        improving physical assets, with a focus on both engineering and
        economic analysis based upon quality information, to identify a
        structured sequence of maintenance, preservation, repair,
        rehabilitation, and replacement actions that will achieve and
        sustain a desired state of good repair over the lifecycle of the
        assets at minimum practicable cost.'';
            (4) in paragraph (4) (as redesignated by paragraph (2))--
                (A) in the matter preceding subparagraph (A), by inserting
            ``or any project eligible for assistance under this title''
            after ``of a highway'';
                (B) by striking subparagraph (A) and inserting the
            following:
                ``(A) preliminary engineering, engineering, and design-
            related services directly relating to the construction of a
            highway project, including engineering, design, project
            development and management, construction project management and
            inspection, surveying, mapping (including the establishment of
            temporary and permanent geodetic control in accordance with
            specifications of the National Oceanic and Atmospheric
            Administration), and architectural-related services;'';
                (C) in subparagraph (B)--
                    (i) by inserting ``reconstruction,'' before
                ``resurfacing''; and
                    (ii) by striking ``and rehabilitation'' and inserting
                ``rehabilitation, and preservation'';
                (D) in subparagraph (E) by striking ``railway'' and
            inserting ``railway-highway''; and
                (E) in subparagraph (F) by striking ``obstacles'' and
            inserting ``hazards'';
            (5) in paragraph (6) (as so redesignated)--
                (A) by inserting ``public'' before ``highway eligible'';
            and
                (B) by inserting ``functionally'' before ``classified'';
            (6) by inserting after paragraph (6) (as so redesignated) the
        following:
            ``(7) Federal lands access transportation facility.--The term
        `Federal Lands access transportation facility' means a public
        highway, road, bridge, trail, or transit system that is located on,
        is adjacent to, or provides access to Federal lands for which title
        or maintenance responsibility is vested in a State, county, town,
        township, tribal, municipal, or local government.
            ``(8) Federal lands transportation facility.--The term `Federal
        lands transportation facility' means a public highway, road,
        bridge, trail, or transit system that is located on, is adjacent
        to, or provides access to Federal lands for which title and
        maintenance responsibility is vested in the Federal Government, and
        that appears on the national Federal lands transportation facility
        inventory described in section 203(c).'';
            (7) in paragraph (11)(B) by inserting ``including public roads
        on dams'' after ``drainage structure'';
            (8) in paragraph (14) (as so redesignated)--
                (A) by striking ``as a'' and inserting ``as an air
            quality''; and
                (B) by inserting ``air quality'' before ``attainment
            area'';
            (9) in paragraph (18) (as so redesignated) by striking ``an
        undertaking to construct a particular portion of a highway, or if
        the context so implies, the particular portion of a highway so
        constructed or any other undertaking'' and inserting ``any
        undertaking'';
            (10) in paragraph (19) (as so redesignated)--
                (A) by striking ``the State transportation department
            and''; and
                (B) by inserting ``and the recipient'' after ``Secretary'';
            (11) by striking paragraph (23) (as so redesignated) and
        inserting the following:
            ``(23) Safety improvement project.--The term `safety
        improvement project' means a strategy, activity, or project on a
        public road that is consistent with the State strategic highway
        safety plan and corrects or improves a roadway feature that
        constitutes a hazard to road users or addresses a highway safety
        problem.'';
            (12) by inserting after paragraph (26) (as so redesignated) the
        following:
            ``(27) State strategic highway safety plan.--The term `State
        strategic highway safety plan' has the same meaning given such term
        in section 148(a).'';
            (13) by striking paragraph (29) (as so redesignated) and
        inserting the following:
            ``(29) Transportation alternatives.--The term `transportation
        alternatives' means any of the following activities when carried
        out as part of any program or project authorized or funded under
        this title, or as an independent program or project related to
        surface transportation:
                ``(A) Construction, planning, and design of on-road and
            off-road trail facilities for pedestrians, bicyclists, and
            other nonmotorized forms of transportation, including
            sidewalks, bicycle infrastructure, pedestrian and bicycle
            signals, traffic calming techniques, lighting and other safety-
            related infrastructure, and transportation projects to achieve
            compliance with the Americans with Disabilities Act of 1990 (42
            U.S.C. 12101 et seq.).
                ``(B) Construction, planning, and design of infrastructure-
            related projects and systems that will provide safe routes for
            non-drivers, including children, older adults, and individuals
            with disabilities to access daily needs.
                ``(C) Conversion and use of abandoned railroad corridors
            for trails for pedestrians, bicyclists, or other nonmotorized
            transportation users.
                ``(D) Construction of turnouts, overlooks, and viewing
            areas.
                ``(E) Community improvement activities, including--
                    ``(i) inventory, control, or removal of outdoor
                advertising;
                    ``(ii) historic preservation and rehabilitation of
                historic transportation facilities;
                    ``(iii) vegetation management practices in
                transportation rights-of-way to improve roadway safety,
                prevent against invasive species, and provide erosion
                control; and
                    ``(iv) archaeological activities relating to impacts
                from implementation of a transportation project eligible
                under this title.
                ``(F) Any environmental mitigation activity, including
            pollution prevention and pollution abatement activities and
            mitigation to--
                    ``(i) address stormwater management, control, and water
                pollution prevention or abatement related to highway
                construction or due to highway runoff, including activities
                described in sections 133(b)(11), 328(a), and 329; or
                    ``(ii) reduce vehicle-caused wildlife mortality or to
                restore and maintain connectivity among terrestrial or
                aquatic habitats.''; and
            (14) by inserting after paragraph (29) (as so redesignated) the
        following:
            ``(30) Transportation systems management and operations.--
                ``(A) In general.--The term `transportation systems
            management and operations' means integrated strategies 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 security, safety, and reliability
            of the transportation system.
                ``(B) Inclusions.--The term `transportation systems
            management and operations' includes--
                    ``(i) actions such as traffic detection and
                surveillance, corridor management, freeway management,
                arterial management, active transportation and demand
                management, work zone management, emergency management,
                traveler information services, congestion pricing, parking
                management, automated enforcement, traffic control,
                commercial vehicle operations, freight management, and
                coordination of highway, rail, transit, bicycle, and
                pedestrian operations; and
                    ``(ii) coordination of the implementation of regional
                transportation system management and operations investments
                (such as traffic incident management, traveler information
                services, emergency management, roadway weather management,
                intelligent transportation systems, communication networks,
                and information sharing systems) requiring agreements,
                integration, and interoperability to achieve targeted
                system performance, reliability, safety, and customer
                service levels.
            ``(31) Tribal transportation facility.--The term `tribal
        transportation facility' means a public highway, road, bridge,
        trail, or transit system that is located on or provides access to
        tribal land and appears on the national tribal transportation
        facility inventory described in section 202(b)(1).
            ``(32) Truck stop electrification system.--The term `truck stop
        electrification system' means a system that delivers heat, air
        conditioning, electricity, or communications to a heavy-duty
        vehicle.''.
        (b) Sense of Congress.--Section 101(c) of title 23, United States
    Code, is amended by striking ``system'' and inserting ``highway''.
    SEC. 1104. NATIONAL HIGHWAY SYSTEM.
        (a) In General.--Section 103 of title 23, United States Code, is
    amended to read as follows:
    ``Sec. 103. National Highway System
        ``(a) In General.--For the purposes of this title, the Federal-aid
    system is the National Highway System, which includes the Interstate
    System.
        ``(b) National Highway System.--
            ``(1) Description.--The National Highway System consists of the
        highway routes and connections to transportation facilities that
        shall--
                ``(A) serve major population centers, international border
            crossings, ports, airports, public transportation facilities,
            and other intermodal transportation facilities and other major
            travel destinations;
                ``(B) meet national defense requirements; and
                ``(C) serve interstate and interregional travel and
            commerce.
            ``(2) Components.--The National Highway System described in
        paragraph (1) consists of the following:
                ``(A) The National Highway System depicted on the map
            submitted by the Secretary of Transportation to Congress with
            the report entitled `Pulling Together: The National Highway
            System and its Connections to Major Intermodal Terminals' and
            dated May 24, 1996, and modifications approved by the Secretary
            before the date of enactment of the MAP-21.
                ``(B) Other urban and rural principal arterial routes, and
            border crossings on those routes, that were not included on the
            National Highway System before the date of enactment of the
            MAP-21.
                ``(C) Other connector highways (including toll facilities)
            that were not included in the National Highway System before
            the date of enactment of the MAP-21 but that provide motor
            vehicle access between arterial routes on the National Highway
            System and a major intermodal transportation facility.
                ``(D) A strategic highway network that--
                    ``(i) consists of a network of highways that are
                important to the United States strategic defense policy,
                that provide defense access, continuity, and emergency
                capabilities for the movement of personnel, materials, and
                equipment in both peacetime and wartime, and that were not
                included on the National Highway System before the date of
                enactment of the MAP-21;
                    ``(ii) may include highways on or off the Interstate
                System; and
                    ``(iii) shall be designated by the Secretary, in
                consultation with appropriate Federal agencies and the
                States.
                ``(E) Major strategic highway network connectors that--
                    ``(i) consist of highways that provide motor vehicle
                access between major military installations and highways
                that are part of the strategic highway network but were not
                included on the National Highway System before the date of
                enactment of the MAP-21; and
                    ``(ii) shall be designated by the Secretary, in
                consultation with appropriate Federal agencies and the
                States.
            ``(3) Modifications to nhs.--
                ``(A) In general.--The Secretary may make any modification,
            including any modification consisting of a connector to a major
            intermodal terminal, to the National Highway System that is
            proposed by a State if the Secretary determines that the
            modification--
                    ``(i) meets the criteria established for the National
                Highway System under this title after the date of enactment
                of the MAP-21; and
                    ``(ii) enhances the national transportation
                characteristics of the National Highway System.
                ``(B) Cooperation.--
                    ``(i) In general.--In proposing a modification under
                this paragraph, a State shall cooperate with local and
                regional officials.
                    ``(ii) Urbanized areas.--In an urbanized area, the
                local officials shall act through the metropolitan planning
                organization designated for the area under section 134.
        ``(c) Interstate System.--
            ``(1) Description.--
                ``(A) In general.--The Dwight D. Eisenhower National System
            of Interstate and Defense Highways within the United States
            (including the District of Columbia and Puerto Rico) consists
            of highways designed, located, and selected in accordance with
            this paragraph.
                ``(B) Design.--
                    ``(i) In general.--Except as provided in clause (ii),
                highways on the Interstate System shall be designed in
                accordance with the standards of section 109(b).
                    ``(ii) Exception.--Highways on the Interstate System in
                Alaska and Puerto Rico shall be designed in accordance with
                such geometric and construction standards as are adequate
                for current and probable future traffic demands and the
                needs of the locality of the highway.
                ``(C) Location.--Highways on the Interstate System shall be
            located so as--
                    ``(i) to connect by routes, as direct as practicable,
                the principal metropolitan areas, cities, and industrial
                centers;
                    ``(ii) to serve the national defense; and
                    ``(iii) to the maximum extent practicable, to connect
                at suitable border points with routes of continental
                importance in Canada and Mexico.
                ``(D) Selection of routes.--To the maximum extent
            practicable, each route of the Interstate System shall be
            selected by joint action of the State transportation
            departments of the State in which the route is located and the
            adjoining States, in cooperation with local and regional
            officials, and subject to the approval of the Secretary.
            ``(2) Maximum mileage.--The mileage of highways on the
        Interstate System shall not exceed 43,000 miles, exclusive of
        designations under paragraph (4).
            ``(3) Modifications.--The Secretary may approve or require
        modifications to the Interstate System in a manner consistent with
        the policies and procedures established under this subsection.
            ``(4) Interstate system designations.--
                ``(A) Additions.--If the Secretary determines that a
            highway on the National Highway System meets all standards of a
            highway on the Interstate System and that the highway is a
            logical addition or connection to the Interstate System, the
            Secretary may, upon the affirmative recommendation of the State
            or States in which the highway is located, designate the
            highway as a route on the Interstate System.
                ``(B) Designations as future interstate system routes.--
                    ``(i) In general.--Subject to clauses (ii) through
                (vi), if the Secretary determines that a highway on the
                National Highway System would be a logical addition or
                connection to the Interstate System and would qualify for
                designation as a route on the Interstate System under
                subparagraph (A) if the highway met all standards of a
                highway on the Interstate System, the Secretary may, upon
                the affirmative recommendation of the State or States in
                which the highway is located, designate the highway as a
                future Interstate System route.
                    ``(ii) Written agreement.--A designation under clause
                (i) shall be made only upon the written agreement of each
                State described in that clause that the highway will be
                constructed to meet all standards of a highway on the
                Interstate System by not later than the date that is 25
                years after the date of the agreement.
                    ``(iii) Failure to complete construction.--If a State
                described in clause (i) has not substantially completed the
                construction of a highway designated under this
                subparagraph by the date specified in clause (ii), the
                Secretary shall remove the designation of the highway as a
                future Interstate System route.
                    ``(iv) Effect of removal.--Removal of the designation
                of a highway under clause (iii) shall not preclude the
                Secretary from designating the highway as a route on the
                Interstate System under subparagraph (A) or under any other
                provision of law providing for addition to the Interstate
                System.
                    ``(v) Retroactive effect.--An agreement described in
                clause (ii) that is entered into before August 10, 2005,
                shall be deemed to include the 25-year time limitation
                described in that clause, regardless of any earlier
                construction completion date in the agreement.
                    ``(vi) References.--No law, rule, regulation, map,
                document, or other record of the United States, or of any
                State or political subdivision of a State, shall refer to
                any highway designated as a future Interstate System route
                under this subparagraph, and no such highway shall be
                signed or marked, as a highway on the Interstate System,
                until such time as the highway--

                        ``(I) is constructed to the geometric and
                    construction standards for the Interstate System; and
                        ``(II) has been designated as a route on the
                    Interstate System.

                ``(C) Financial responsibility.--Except as provided in this
            title, the designation of a highway under this paragraph shall
            create no additional Federal financial responsibility with
            respect to the highway.
            ``(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
            or elements 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)--
                    ``(i) the Secretary shall determine, through the
                administrative process established for exempting the
                Interstate System from section 106 of the National Historic
                Preservation Act (16 U.S.C. 470f), those individual
                elements of the Interstate System that possess national or
                exceptional historic significance (such as a historic
                bridge or a highly significant engineering feature); and
                    ``(ii) those elements shall be considered to be
                historic sites 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,
            preservation, 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 (16 U.S.C. 470f).''.
        (b) Inclusion of Certain Route Segments on Interstate System.--
            (1) In general.--Section 1105(e)(5)(A) of the Intermodal
        Surface Transportation Efficiency Act of 1991 (105 Stat. 2031; 109
        Stat. 597; 115 Stat. 872) is amended--
                (A) in the first sentence, by striking ``and in subsections
            (c)(18) and (c)(20)'' and inserting ``, in subsections (c)(18)
            and (c)(20), and in subparagraphs (A)(iii) and (B) of
            subsection (c)(26)''; and
                (B) in the second sentence, by striking ``that the
            segment'' and all that follows through the period and inserting
            ``that the segment meets the Interstate System design standards
            approved by the Secretary under section 109(b) of title 23,
            United States Code, and is planned to connect to an existing
            Interstate System segment by the date that is 25 years after
            the date of enactment of the MAP-21.''.
            (2) Route designation.--Section 1105(e)(5)(C)(i) of the
        Intermodal Surface Transportation Efficiency Act of 1991 (105 Stat.
        2032; 109 Stat. 598) is amended by adding at the end the following:
        ``The routes referred to subparagraphs (A)(iii) and (B)(i) of
        subsection (c)(26) are designated as Interstate Route I-11.''.
        (c) Conforming Amendments.--
            (1) Analysis.--The analysis for chapter 1 of title 23, United
        States Code, is amended by striking the item relating to section
        103 and inserting the following:

    ``103. National Highway System.''.

            (2) Section 113.--Section 113 of title 23, United States Code,
        is amended--
                (A) in subsection (a) by striking ``the Federal-aid
            systems'' and inserting ``Federal-aid highways''; and
                (B) in subsection (b), in the first sentence, by striking
            ``of the Federal-aid systems'' and inserting ``Federal-aid
            highway''.
            (3) Section 123.--Section 123(a) of title 23, United States
        Code, is amended in the first sentence by striking ``Federal-aid
        system'' and inserting ``Federal-aid highway''.
            (4) Section 217.--Section 217(b) of title 23, United States
        Code, is amended in the subsection heading by striking ``National
        Highway System'' and inserting ``National Highway Performance
        Program''.
            (5) Section 304.--Section 304 of title 23, United States Code,
        is amended in the first sentence by striking ``the Federal-aid
        highway systems'' and inserting ``Federal-aid highways''.
            (6) Section 317.--Section 317(d) of title 23, United States
        Code, is amended by striking ``system'' and inserting ``highway''.
    SEC. 1105. APPORTIONMENT.
        (a) In General.--Section 104 of title 23, United States Code, is
    amended to read as follows:
    ``Sec. 104. Apportionment
        ``(a) Administrative Expenses.--
            ``(1) In general.--There are authorized to be appropriated from
        the Highway Trust Fund (other than the Mass Transit Account) to be
        made available to the Secretary for administrative expenses of the
        Federal Highway Administration--
                ``(A) $454,180,326 for fiscal year 2013; and
                ``(B) $440,000,000 for fiscal year 2014.
            ``(2) Purposes.--The amounts authorized to be appropriated by
        this subsection shall be used--
                ``(A) to administer the provisions of law to be funded 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; and
                ``(C) to reimburse, as appropriate, 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.
            ``(3) Availability.--The amounts made available under paragraph
        (1) shall remain available until expended.
        ``(b) Division of State Apportionments Among Programs.--The
    Secretary shall distribute the amount apportioned to a State for a
    fiscal year under subsection (c) among the national highway performance
    program, the surface transportation program, the highway safety
    improvement program, and the congestion mitigation and air quality
    improvement program, and to carry out section 134 as follows:
            ``(1) National highway performance program.--For the national
        highway performance program, 63.7 percent of the amount remaining
        after distributing amounts under paragraphs (4) and (5).
            ``(2) Surface transportation program.--For the surface
        transportation program, 29.3 percent of the amount remaining after
        distributing amounts under paragraphs (4) and (5).
            ``(3) Highway safety improvement program.--For the highway
        safety improvement program, 7 percent of the amount remaining after
        distributing amounts under paragraphs (4) and (5).
            ``(4) Congestion mitigation and air quality improvement
        program.--For the congestion mitigation and air quality improvement
        program, an amount determined by multiplying the amount determined
        for the State under subsection (c) by the proportion that--
                ``(A) the amount apportioned to the State for the
            congestion mitigation and air quality improvement program for
            fiscal year 2009; bears to
                ``(B) the total amount of funds apportioned to the State
            for that fiscal year for the programs referred to in section
            105(a)(2) (except for the high priority projects program
            referred to in section 105(a)(2)(H)), as in effect on the day
            before the date of enactment of the MAP-21.
            ``(5) Metropolitan planning.--To carry out section 134, an
        amount determined by multiplying the amount determined for the
        State under subsection (c) by the proportion that--
                ``(A) the amount apportioned to the State to carry out
            section 134 for fiscal year 2009; bears to
                ``(B) the total amount of funds apportioned to the State
            for that fiscal year for the programs referred to in section
            105(a)(2) (except for the high priority projects program
            referred to in section 105(a)(2)(H)), as in effect on the day
            before the date of enactment of the MAP-21.
        ``(c) Calculation of State Amounts.--
            ``(1) For fiscal year 2013.--
                ``(A) Calculation of amount.--For fiscal year 2013, the
            amount for each State of combined apportionments for the
            national highway performance program under section 119, the
            surface transportation program under section 133, the highway
            safety improvement program under section 148, the congestion
            mitigation and air quality improvement program under section
            149, and to carry out section 134 shall be equal to the
            combined amount of apportionments that the State received for
            fiscal year 2012.
                ``(B) State apportionment.--On October 1 of such fiscal
            year, the Secretary shall apportion the sum authorized to be
            appropriated for expenditure on the national highway
            performance program under section 119, the surface
            transportation program under section 133, the highway safety
            improvement program under section 148, the congestion
            mitigation and air quality improvement program under section
            149, and to carry out section 134 in accordance with
            subparagraph (A).
            ``(2) For fiscal year 2014.--
                ``(A) State share.--For fiscal year 2014, the amount for
            each State of combined apportionments for the national highway
            performance program under section 119, the surface
            transportation program under section 133, the highway safety
            improvement program under section 148, the congestion
            mitigation and air quality improvement program under section
            149, and to carry out section 134 shall be determined as
            follows:
                    ``(i) Initial amount.--The initial amount for each
                State shall be determined by multiplying the total amount
                available for apportionment by the share for each State
                which shall be equal to the proportion that--

                        ``(I) the amount of apportionments that the State
                    received for fiscal year 2012; bears to
                        ``(II) the amount of those apportionments received
                    by all States for that fiscal year.

                    ``(ii) Adjustments to amounts.--The initial amounts
                resulting from the calculation under clause (i) shall be
                adjusted to ensure that, for each State, the amount of
                combined apportionments for the programs shall not be less
                than 95 percent of the estimated tax payments attributable
                to highway users in the State paid into the Highway Trust
                Fund (other than the Mass Transit Account) in the most
                recent fiscal year for which data are available.
                ``(B) State apportionment.--On October 1 of such fiscal
            year, the Secretary shall apportion the sum authorized to be
            appropriated for expenditure on the national highway
            performance program under section 119, the surface
            transportation program under section 133, the highway safety
            improvement program under section 148, the congestion
            mitigation and air quality improvement program under section
            149, and to carry out section 134 in accordance with
            subparagraph (A).
        ``(d) Metropolitan Planning.--
            ``(1) Use of amounts.--
                ``(A) Use.--
                    ``(i) In general.--Except as provided in clause (ii),
                the amounts apportioned to a State under subsection (b)(5)
                shall be made available by the State to the metropolitan
                planning organizations responsible for carrying out section
                134 in the State.
                    ``(ii) States receiving minimum apportionment.--A State
                that received the minimum apportionment for use in carrying
                out section 134 for fiscal year 2009 may, subject to the
                approval of the Secretary, use the funds apportioned under
                subsection (b)(5) to fund transportation planning outside
                of urbanized areas.
                ``(B) Unused funds.--Any funds that are not used to carry
            out section 134 may be made available by a metropolitan
            planning organization to the State to fund activities under
            section 135.
            ``(2) Distribution of amounts within states.--
                ``(A) In general.--The distribution within any State of the
            planning funds made available to organizations under paragraph
            (1) shall be in accordance with a formula that--
                    ``(i) is developed by each State and approved by the
                Secretary; and
                    ``(ii) takes into consideration, at a minimum,
                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 section 134 and other
                applicable requirements of Federal law.
                ``(B) Reimbursement.--Not later than 15 business days after
            the date of receipt by a State of a request for reimbursement
            of expenditures made by a metropolitan planning organization
            for carrying out section 134, the State shall reimburse, from
            amounts distributed under this paragraph to the metropolitan
            planning organization by the State, the metropolitan planning
            organization for those expenditures.
            ``(3) Determination of population figures.--For the purpose of
        determining population figures under this subsection, the Secretary
        shall use the latest available data from the decennial census
        conducted under section 141(a) of title 13, United States Code.
        ``(e) Certification of Apportionments.--
            ``(1) In general.--The Secretary shall--
                ``(A) on October 1 of each fiscal year, certify to each of
            the State transportation departments the amount that has been
            apportioned to the State under this section for the fiscal
            year; and
                ``(B) to permit the States to develop adequate plans for
            the use of amounts apportioned under this section, advise each
            State of the amount that will be apportioned to the State under
            this section for a fiscal year not later than 90 days before
            the beginning of the fiscal year for which the sums to be
            apportioned are authorized.
            ``(2) Notice to states.--If the Secretary has not made an
        apportionment under this section for a fiscal year beginning after
        September 30, 1998, by not later than the date that is the twenty-
        first day of that fiscal year, the Secretary shall submit, by not
        later than that date, to the Committee on Transportation and
        Infrastructure of the House of Representatives and the Committee on
        Environment and Public Works of the Senate, a written statement of
        the reason for not making the apportionment in a timely manner.
            ``(3) Apportionment calculations.--
                ``(A) In general.--The calculation of official
            apportionments of funds to the States under this title is a
            primary responsibility of the Department and shall be carried
            out only by employees (and not contractors) of the Department.
                ``(B) Prohibition on use of funds to hire contractors.--
            None of the funds made available under this title shall be used
            to hire contractors to calculate the apportionments of funds to
            States.
        ``(f) Transfer of Highway and Transit Funds.--
            ``(1) Transfer of highway funds for transit projects.--
                ``(A) In general.--Subject to subparagraph (B), amounts
            made available for transit projects or transportation planning
            under this title may be transferred to and administered by the
            Secretary in accordance with chapter 53 of title 49.
                ``(B) Non-federal share.--The provisions of this title
            relating to the non-Federal share shall apply to the amounts
            transferred under subparagraph (A).
            ``(2) Transfer of transit funds for highway projects.--
                ``(A) In general.--Subject to subparagraph (B), amounts
            made available for highway projects or transportation planning
            under chapter 53 of title 49 may be transferred to and
            administered by the Secretary in accordance with this title.
                ``(B) Non-federal share.--The provisions of chapter 53 of
            title 49 relating to the non-Federal share shall apply to
            amounts transferred under subparagraph (A).
            ``(3) Transfer of funds among states or to federal highway
        administration.--
                ``(A) In general.--Subject to subparagraph (B), the
            Secretary may, at the request of a State, transfer amounts
            apportioned or allocated under this title to the State to
            another State, or to the Federal Highway Administration, for
            the purpose of funding 1 or more projects that are eligible for
            assistance with amounts so apportioned or allocated.
                ``(B) Apportionment.--The transfer shall have no effect on
            any apportionment of amounts to a State under this section.
                ``(C) Funds suballocated to urbanized areas.--Amounts that
            are apportioned or allocated to a State under subsection (b)(3)
            (as in effect on the day before the date of enactment of the
            MAP-21) or subsection (b)(2) and attributed to an urbanized
            area of a State with a population of more than 200,000
            individuals under section 133(d) may be transferred under this
            paragraph only if the metropolitan planning organization
            designated for the area concurs, in writing, with the transfer
            request.
            ``(4) Transfer of obligation authority.--Obligation authority
        for amounts transferred under this subsection shall be transferred
        in the same manner and amount as the amounts for the projects that
        are transferred under this section.
        ``(g) Report to Congress.--For each fiscal year, the Secretary
    shall make available to the public, in a user-friendly format via the
    Internet, a report that describes--
            ``(1) the amount obligated, by each State, for Federal-aid
        highways and highway safety construction programs during the
        preceding fiscal year;
            ``(2) the balance, as of the last day of the preceding fiscal
        year, of the unobligated apportionment of each State by fiscal year
        under this section;
            ``(3) the balance of unobligated sums available for expenditure
        at the discretion of the Secretary for such highways and programs
        for the fiscal year; and
            ``(4) the rates of obligation of funds apportioned or set aside
        under this section, according to--
                ``(A) program;
                ``(B) funding category of subcategory;
                ``(C) type of improvement;
                ``(D) State; and
                ``(E) sub-State geographical area, including urbanized and
            rural areas, on the basis of the population of each such
            area.''.
        (b) Conforming Amendment.--Section 146(a) of title 23, United
    States Code, is amended by striking ``sections 104(b)(l) and
    104(b)(3)'' and inserting ``section 104(b)(2)''.
    SEC. 1106. NATIONAL HIGHWAY PERFORMANCE PROGRAM.
        (a) In General.--Section 119 of title 23, United States Code, is
    amended to read as follows:
    ``Sec. 119. National highway performance program
        ``(a) Establishment.--The Secretary shall establish and implement a
    national highway performance program under this section.
        ``(b) Purposes.--The purposes of the national highway performance
    program shall be--
            ``(1) to provide support for the condition and performance of
        the National Highway System;
            ``(2) to provide support for the construction of new facilities
        on the National Highway System; and
            ``(3) to ensure that investments of Federal-aid funds in
        highway construction are directed to support progress toward the
        achievement of performance targets established in an asset
        management plan of a State for the National Highway System.
        ``(c) Eligible Facilities.--Except as provided in subsection (d),
    to be eligible for funding apportioned under section 104(b)(1) to carry
    out this section, a facility shall be located on the National Highway
    System, as defined in section 103.
        ``(d) Eligible Projects.--Funds apportioned to a State to carry out
    the national highway performance program may be obligated only for a
    project on an eligible facility that is--
            ``(1)(A) a project or part of a program of projects supporting
        progress toward the achievement of national performance goals for
        improving infrastructure condition, safety, mobility, or freight
        movement on the National Highway System; and
            ``(B) consistent with sections 134 and 135; and
            ``(2) for 1 or more of the following purposes:
                ``(A) Construction, reconstruction, resurfacing,
            restoration, rehabilitation, preservation, or operational
            improvement of segments of the National Highway System.
                ``(B) Construction, replacement (including replacement with
            fill material), rehabilitation, preservation, and protection
            (including scour countermeasures, seismic retrofits, impact
            protection measures, security countermeasures, and protection
            against extreme events) of bridges on the National Highway
            System.
                ``(C) Construction, replacement (including replacement with
            fill material), rehabilitation, preservation, and protection
            (including impact protection measures, security
            countermeasures, and protection against extreme events) of
            tunnels on the National Highway System.
                ``(D) Inspection and evaluation, as described in section
            144, of bridges and tunnels on the National Highway System, and
            inspection and evaluation of other highway infrastructure
            assets on the National Highway System, including signs and sign
            structures, earth retaining walls, and drainage structures.
                ``(E) Training of bridge and tunnel inspectors, as
            described in section 144.
                ``(F) Construction, rehabilitation, or replacement of
            existing ferry boats and ferry boat facilities, including
            approaches, that connect road segments of the National Highway
            System.
                ``(G) Construction, reconstruction, resurfacing,
            restoration, rehabilitation, and preservation of, and
            operational improvements for, a Federal-aid highway not on the
            National Highway System, and construction of a transit project
            eligible for assistance under chapter 53 of title 49, if--
                    ``(i) the highway project or transit project is in the
                same corridor as, and in proximity to, a fully access-
                controlled highway designated as a part of the National
                Highway System;
                    ``(ii) the construction or improvements will reduce
                delays or produce travel time savings on the fully access-
                controlled highway described in clause (i) and improve
                regional traffic flow; and
                    ``(iii) the construction or improvements are more cost-
                effective, as determined by benefit-cost analysis, than an
                improvement to the fully access-controlled highway
                described in clause (i).
                ``(H) Bicycle transportation and pedestrian walkways in
            accordance with section 217.
                ``(I) Highway safety improvements for segments of the
            National Highway System.
                ``(J) Capital and operating costs for traffic and traveler
            information monitoring, management, and control facilities and
            programs.
                ``(K) Development and implementation of a State asset
            management plan for the National Highway System in accordance
            with this section, including data collection, maintenance, and
            integration and the cost associated with obtaining, updating,
            and licensing software and equipment required for risk-based
            asset management and performance-based management.
                ``(L) Infrastructure-based intelligent transportation
            systems capital improvements.
                ``(M) Environmental restoration and pollution abatement in
            accordance with section 328.
                ``(N) Control of noxious weeds and aquatic noxious weeds
            and establishment of native species in accordance with section
            329.
                ``(O) Environmental mitigation efforts related to projects
            funded under this section, as described in subsection (g).
                ``(P) Construction of publicly owned intracity or intercity
            bus terminals servicing the National Highway System.
        ``(e) State Performance Management.--
            ``(1) In general.--A State shall develop a risk-based asset
        management plan for the National Highway System to improve or
        preserve the condition of the assets and the performance of the
        system.
            ``(2) Performance driven plan.--A State asset management plan
        shall include strategies leading to a program of projects that
        would make progress toward achievement of the State targets for
        asset condition and performance of the National Highway System in
        accordance with section 150(d) and supporting the progress toward
        the achievement of the national goals identified in section 150(b).
            ``(3) Scope.--In developing a risk-based asset management plan,
        the Secretary shall encourage States to include all infrastructure
        assets within the right-of-way corridor in such plan.
            ``(4) Plan contents.--A State asset management plan shall, at a
        minimum, be in a form that the Secretary determines to be
        appropriate and include--
                ``(A) a summary listing of the pavement and bridge assets
            on the National Highway System in the State, including a
            description of the condition of those assets;
                ``(B) asset management objectives and measures;
                ``(C) performance gap identification;
                ``(D) lifecycle cost and risk management analysis;
                ``(E) a financial plan; and
                ``(F) investment strategies.
            ``(5) Requirement for plan.--Notwithstanding section 120, with
        respect to the second fiscal year beginning after the date of
        establishment of the process established in paragraph (8) or any
        subsequent fiscal year, if the Secretary determines that a State
        has not developed and implemented a State asset management plan
        consistent with this section, the Federal share payable on account
        of any project or activity carried out by the State in that fiscal
        year under this section shall be 65 percent.
            ``(6) Certification of plan development process.--
                ``(A) In general.--Not later than 90 days after the date on
            which a State submits a request for approval of the process
            used by the State to develop the State asset management plan
            for the National Highway System, the Secretary shall--
                    ``(i) review the process; and
                    ``(ii)(I) certify that the process meets the
                requirements established by the Secretary; or
                    ``(II) deny certification and specify actions necessary
                for the State to take to correct deficiencies in the State
                process.
                ``(B) Recertification.--Not less frequently than once every
            4 years, the Secretary shall review and recertify that the
            process used by a State to develop and maintain the State asset
            management plan for the National Highway System meets the
            requirements for the process, as established by the Secretary.
                ``(C) Opportunity to cure.--If the Secretary denies
            certification under subparagraph (A), the Secretary shall
            provide the State with--
                    ``(i) not less than 90 days to cure the deficiencies of
                the plan, during which time period all penalties and other
                legal impacts of a denial of certification shall be stayed;
                and
                    ``(ii) a written statement of the specific actions the
                Secretary determines to be necessary for the State to cure
                the plan.
            ``(7) Performance achievement.--A State that does not achieve
        or make significant progress toward achieving the targets of the
        State for performance measures described in section 150(d) for the
        National Highway System for 2 consecutive reports submitted under
        this paragraph shall include in the next report submitted a
        description of the actions the State will undertake to achieve the
        targets.
            ``(8) Process.--Not later than 18 months after the date of
        enactment of the MAP-21, the Secretary shall, by regulation and in
        consultation with State departments of transportation, establish
        the process to develop the State asset management plan described in
        paragraph (1).
        ``(f) Interstate System and NHS Bridge Conditions.--
            ``(1) Condition of interstate system.--
                ``(A) Penalty.--If, during 2 consecutive reporting periods,
            the condition of the Interstate System, excluding bridges on
            the Interstate System, in a State falls below the minimum
            condition level established by the Secretary under section
            150(c)(3), the State shall be required, during the following
            fiscal year--
                    ``(i) to obligate, from the amounts apportioned to the
                State under section 104(b)(1), an amount that is not less
                than the amount of funds apportioned to the State for
                fiscal year 2009 under the Interstate maintenance program
                for the purposes described in this section (as in effect on
                the day before the date of enactment of the MAP-21), except
                that for each year after fiscal year 2013, the amount
                required to be obligated under this clause shall be
                increased by 2 percent over the amount required to be
                obligated in the previous fiscal year; and
                    ``(ii) to transfer, from the amounts apportioned to the
                State under section 104(b)(2) (other than amounts
                suballocated to metropolitan areas and other areas of the
                State under section 133(d)) to the apportionment of the
                State under section 104(b)(1), an amount equal to 10
                percent of the amount of funds apportioned to the State for
                fiscal year 2009 under the Interstate maintenance program
                for the purposes described in this section (as in effect on
                the day before the date of enactment of the MAP-21).
                ``(B) Restoration.--The obligation requirement for the
            Interstate System in a State required by subparagraph (A) for a
            fiscal year shall remain in effect for each subsequent fiscal
            year until such time as the condition of the Interstate System
            in the State exceeds the minimum condition level established by
            the Secretary.
            ``(2) Condition of nhs bridges.--
                ``(A) Penalty.--If the Secretary determines that, for the
            3-year-period preceding the date of the determination, more
            than 10 percent of the total deck area of bridges in the State
            on the National Highway System is located on bridges that have
            been classified as structurally deficient, an amount equal to
            50 percent of funds apportioned to such State for fiscal year
            2009 to carry out section 144 (as in effect the day before
            enactment of MAP-21) shall be set aside from amounts
            apportioned to a State for a fiscal year under section
            104(b)(1) only for eligible projects on bridges on the National
            Highway System.
                ``(B) Restoration.--The set-aside requirement for bridges
            on the National Highway System in a State under subparagraph
            (A) for a fiscal year shall remain in effect for each
            subsequent fiscal year until such time as less than 10 percent
            of the total deck area of bridges in the State on the National
            Highway System is located on bridges that have been classified
            as structurally deficient, as determined by the Secretary.
        ``(g) Environmental Mitigation.--
            ``(1) Eligible activities.--In accordance with all applicable
        Federal law (including regulations), environmental mitigation
        efforts referred to in subsection (d)(2)(O) include participation
        in natural habitat and wetlands mitigation efforts relating to
        projects funded under this title, which may include--
                ``(A) participation in mitigation banking or other third-
            party mitigation arrangements, such as--
                    ``(i) the purchase of credits from commercial
                mitigation banks;
                    ``(ii) the establishment and management of agency-
                sponsored mitigation banks; and
                    ``(iii) the purchase of credits or establishment of in-
                lieu fee mitigation programs;
                ``(B) contributions to statewide and regional efforts to
            conserve, restore, enhance, and create natural habitats and
            wetlands; and
                ``(C) the development of statewide and regional
            environmental protection plans, including natural habitat and
            wetland conservation and restoration plans.
            ``(2) Inclusion of other activities.--The banks, efforts, and
        plans described in paragraph (1) include any such banks, efforts,
        and plans developed in accordance with applicable law (including
        regulations).
            ``(3) Terms and conditions.--The following terms and conditions
        apply to natural habitat and wetlands mitigation efforts under this
        subsection:
                ``(A) Contributions to the mitigation effort may--
                    ``(i) take place concurrent with, or in advance of,
                commitment of funding under this title to a project or
                projects; and
                    ``(ii) occur in advance of project construction only if
                the efforts are consistent with all applicable requirements
                of Federal law (including regulations) and State
                transportation planning processes.
                ``(B) Credits from any agency-sponsored mitigation bank
            that are attributable to funding under this section may be used
            only for projects funded under this title, unless the agency
            pays to the Secretary an amount equal to the Federal funds
            attributable to the mitigation bank credits the agency uses for
            purposes other than mitigation of a project funded under this
            title.
            ``(4) Preference.--At the discretion of the project sponsor,
        preference shall be given, to the maximum extent practicable, to
        mitigating an environmental impact through the use of a mitigation
        bank, in-lieu fee, or other third-party mitigation arrangement, if
        the use of credits from the mitigation bank or in-lieu fee, or the
        other third-party mitigation arrangement for the project, is
        approved by the applicable Federal agency.''.
        (b) Transition Period.--
            (1) In general.--Except as provided in paragraph (2), until
        such date as a State has in effect an approved asset management
        plan and has established performance targets as described in
        sections 119 and 150 of title 23, United States Code, that will
        contribute to achieving the national goals for the condition and
        performance of the National Highway System, but not later than 18
        months after the date on which the Secretary promulgates the final
        regulation required under section 150(c) of that title, the
        Secretary shall approve obligations of funds apportioned to a State
        to carry out the national highway performance program under section
        119 of that title, for projects that otherwise meet the
        requirements of that section.
            (2) Extension.--The Secretary may extend the transition period
        for a State under paragraph (1) if the Secretary determines that
        the State has made a good faith effort to establish an asset
        management plan and performance targets referred to in that
        paragraph.
        (c) Conforming Amendment.--The analysis for chapter 1 of title 23,
    United States Code, is amended by striking the item relating to section
    119 and inserting the following:

    ``119. National highway performance program.''.
    SEC. 1107. EMERGENCY RELIEF.
        Section 125 of title 23, United States Code, is amended to read as
    follows:
    ``Sec. 125. Emergency relief
        ``(a) In General.--Subject to this section and section 120, an
    emergency fund is authorized for expenditure by the Secretary for the
    repair or reconstruction of highways, roads, and trails, in any area of
    the United States, including Indian reservations, that the Secretary
    finds have suffered serious damage as a result of--
            ``(1) a natural disaster over a wide area, such as by a flood,
        hurricane, tidal wave, earthquake, severe storm, or landslide; or
            ``(2) catastrophic failure from any external cause.
        ``(b) Restriction on Eligibility.--
            ``(1) Definition of construction phase.--In this subsection,
        the term `construction phase' means the phase of physical
        construction of a highway or bridge facility that is separate from
        any other identified phases, such as planning, design, or right-of-
        way phases, in the State transportation improvement program.
            ``(2) Restriction.--In no case shall funds be used under this
        section for the repair or reconstruction of a bridge--
                ``(A) that has been permanently closed to all vehicular
            traffic by the State or responsible local official because of
            imminent danger of collapse due to a structural deficiency or
            physical deterioration; or
                ``(B) if a construction phase of a replacement structure is
            included in the approved Statewide transportation improvement
            program at the time of an event described in subsection (a).
        ``(c) Funding.--
            ``(1) In general.--Subject to the limitations described in
        paragraph (2), there are authorized to be appropriated from the
        Highway Trust Fund (other than the Mass Transit Account) such sums
        as are necessary to establish the fund authorized by this section
        and to replenish that fund on an annual basis.
            ``(2) Limitations.--The limitations referred to in paragraph
        (1) are that--
                ``(A) not more than $100,000,000 is authorized to be
            obligated in any 1 fiscal year commencing after September 30,
            1980, to carry out this section, except that, if for any fiscal
            year the total of all obligations under this section is less
            than the amount authorized to be obligated for the fiscal year,
            the unobligated balance of that amount shall--
                    ``(i) remain available until expended; and
                    ``(ii) be in addition to amounts otherwise available to
                carry out this section for each year; and
                ``(B)(i) pending such appropriation or replenishment, the
            Secretary may obligate from any funds appropriated at any time
            for obligation in accordance with this title, including
            existing Federal-aid appropriations, such sums as are necessary
            for the immediate prosecution of the work herein authorized;
            and
                ``(ii) funds obligated under this subparagraph shall be
            reimbursed from the appropriation or replenishment.
        ``(d) Eligibility.--
            ``(1) In general.--The Secretary may expend funds from the
        emergency fund authorized by this section only for the repair or
        reconstruction of highways on Federal-aid highways in accordance
        with this chapter, except that--
                ``(A) no funds shall be so expended unless an emergency has
            been declared by the Governor of the State with concurrence by
            the Secretary, unless the President has declared the emergency
            to be a major disaster for the purposes of the Robert T.
            Stafford Disaster Relief and Emergency Assistance Act (42
            U.S.C. 5121 et seq.) for which concurrence of the Secretary is
            not required; and
                ``(B) the Secretary has received an application from the
            State transportation department that includes a comprehensive
            list of all eligible project sites and repair costs by not
            later than 2 years after the natural disaster or catastrophic
            failure.
            ``(2) Cost limitation.--
                ``(A) Definition of comparable facility.--In this
            paragraph, the term `comparable facility' means a facility that
            meets the current geometric and construction standards required
            for the types and volume of traffic that the facility will
            carry over its design life.
                ``(B) Limitation.--The total cost of a project funded under
            this section may not exceed the cost of repair or
            reconstruction of a comparable facility.
            ``(3) Debris removal.--The costs of debris removal shall be an
        eligible expense under this section only for--
                ``(A) an event not declared a major disaster or emergency
            by the President under the Robert T. Stafford Disaster Relief
            and Emergency Assistance Act (42 U.S.C. 5121 et seq.); or
                ``(B) an event declared a major disaster or emergency by
            the President under that Act if the debris removal is not
            eligible for assistance under section 403, 407, or 502 of that
            Act (42 U.S.C. 5170b, 5173, 5192).
            ``(4) Territories.--The total obligations for projects under
        this section for any fiscal year in the Virgin Islands, Guam,
        American Samoa, and the Commonwealth of the Northern Mariana
        Islands shall not exceed $20,000,000.
            ``(5) Substitute traffic.--Notwithstanding any other provision
        of this section, actual and necessary costs of maintenance and
        operation of ferryboats or additional transit service providing
        temporary substitute highway traffic service, less the amount of
        fares charged for comparable service, may be expended from the
        emergency fund authorized by this section for Federal-aid highways.
        ``(e) Tribal Transportation Facilities, Federal Lands
    Transportation Facilities, and Public Roads on Federal Lands.--
            ``(1) Definition of open to public travel.--In this subsection,
        the term `open to public travel' means, with respect to a road,
        that, except during scheduled periods, extreme weather conditions,
        or emergencies, the road is open to the general public for use with
        a standard passenger vehicle, without restrictive gates or
        prohibitive signs or regulations, other than for general traffic
        control or restrictions based on size, weight, or class of
        registration.
            ``(2) Expenditure of funds.--Notwithstanding subsection (d)(1),
        the Secretary may expend funds from the emergency fund authorized
        by this section, independently or in cooperation with any other
        branch of the Federal Government, a State agency, a tribal
        government, an organization, or a person, for the repair or
        reconstruction of tribal transportation facilities, Federal lands
        transportation facilities, and other federally owned roads that are
        open to public travel, whether or not those facilities are Federal-
        aid highways.
            ``(3) Reimbursement.--
                ``(A) In general.--The Secretary may reimburse Federal and
            State agencies (including political subdivisions) for
            expenditures made for projects determined eligible under this
            section, including expenditures for emergency repairs made
            before a determination of eligibility.
                ``(B) Transfers.--With respect to reimbursements described
            in subparagraph (A)--
                    ``(i) those reimbursements to Federal agencies and
                Indian tribal governments shall be transferred to the
                account from which the expenditure was made, or to a
                similar account that remains available for obligation; and
                    ``(ii) the budget authority associated with the
                expenditure shall be restored to the agency from which the
                authority was derived and shall be available for obligation
                until the end of the fiscal year following the year in
                which the transfer occurs.
        ``(f) Treatment of Territories.--For purposes of this section, the
    Virgin Islands, Guam, American Samoa, and the Commonwealth of the
    Northern Mariana Islands shall be considered to be States and parts of
    the United States, and the chief executive officer of each such
    territory shall be considered to be a Governor of a State.
        ``(g) Protecting Public Safety and Maintaining Roadways.--The
    Secretary may use not more than 5 percent of amounts from the emergency
    fund authorized by this section to carry out projects that the
    Secretary determines are necessary to protect the public safety or to
    maintain or protect roadways that are included within the scope of an
    emergency declaration by the Governor of the State or by the President,
    in accordance with this section, and the Governor deems to be an
    ongoing concern in order to maintain vehicular traffic on the
    roadway.''.
    SEC. 1108. SURFACE TRANSPORTATION PROGRAM.
        (a) Eligible Projects.--Section 133(b) of title 23, United States
    Code, is amended--
            (1) in the matter preceding paragraph (1) by striking ``section
        104(b)(3)'' and inserting ``section 104(b)(2)'';
            (2) by striking paragraph (1);
            (3) by redesignating paragraphs (2) through (15) as paragraphs
        (5) through (18), respectively;
            (4) by inserting before paragraph (5) (as so redesignated) the
        following:
            ``(1) Construction, reconstruction, rehabilitation,
        resurfacing, restoration, preservation, or operational improvements
        for highways, including construction of designated routes of the
        Appalachian development highway system and local access roads under
        section 14501 of title 40.
            ``(2) Replacement (including replacement with fill material),
        rehabilitation, preservation, protection (including painting, scour
        countermeasures, seismic retrofits, impact protection measures,
        security countermeasures, and protection against extreme events)
        and application of calcium magnesium acetate, sodium acetate/
        formate, or other environmentally acceptable, minimally corrosive
        anti-icing and deicing compositions for bridges (and approaches to
        bridges and other elevated structures) and tunnels on public roads
        of all functional classifications, including any such construction
        or reconstruction necessary to accommodate other transportation
        modes.
            ``(3) Construction of a new bridge or tunnel at a new location
        on a Federal-aid highway.
            ``(4) Inspection and evaluation of bridges and tunnels and
        training of bridge and tunnel inspectors (as defined in section
        144), and inspection and evaluation of other highway assets
        (including signs, retaining walls, and drainage structures).'';
            (5) by striking paragraph (6) (as so redesignated) and
        inserting the following:
            ``(6) Carpool projects, fringe and corridor parking facilities
        and programs, including electric vehicle and natural gas vehicle
        infrastructure in accordance with section 137, bicycle
        transportation and pedestrian walkways in accordance with section
        217, and the modifications of public sidewalks to comply with the
        Americans with Disabilities Act of 1990 (42 U.S.C. 12101 et
        seq.).'';
            (6) by striking paragraph (7) (as so redesignated) and
        inserting the following:
            ``(7) Highway and transit safety infrastructure improvements
        and programs, installation of safety barriers and nets on bridges,
        hazard eliminations, projects to mitigate hazards caused by
        wildlife, and railway-highway grade crossings.'';
            (7) in paragraph (11) (as so redesignated) by striking
        ``enhancement activities'' and inserting ``alternatives'';
            (8) by striking paragraph (14) (as so redesignated) and
        inserting the following:
            ``(14) Environmental mitigation efforts relating to projects
        funded under this title in the same manner and to the same extent
        as such activities are eligible under section 119(g).''; and
            (9) by inserting after paragraph (18) (as so redesignated) the
        following:
            ``(19) Projects and strategies designed to support congestion
        pricing, including electric toll collection and travel demand
        management strategies and programs.
            ``(20) Recreational trails projects eligible for funding under
        section 206.
            ``(21) Construction of ferry boats and ferry terminal
        facilities eligible for funding under section 129(c).
            ``(22) Border infrastructure projects eligible for funding
        under section 1303 of the SAFETEA-LU (23 U.S.C. 101 note; Public
        Law 109-59).
            ``(23) Truck parking facilities eligible for funding under
        section 1401 of the MAP-21.
            ``(24) Development and implementation of a State asset
        management plan for the National Highway System in accordance with
        section 119, including data collection, maintenance, and
        integration and the costs associated with obtaining, updating, and
        licensing software and equipment required for risk based asset
        management and performance based management, and for similar
        activities related to the development and implementation of a
        performance based management program for other public roads.
            ``(25) A project that, if located within the boundaries of a
        port terminal, includes only such surface transportation
        infrastructure modifications as are necessary to facilitate direct
        intermodal interchange, transfer, and access into and out of the
        port.
            ``(26) Construction and operational improvements for any minor
        collector if--
                ``(A) the minor collector, and the project to be carried
            out with respect to the minor collector, are in the same
            corridor as, and in proximity to, a Federal-aid highway
            designated as part of the National Highway System;
                ``(B) the construction or improvements will enhance the
            level of service on the Federal-aid highway described in
            subparagraph (A) and improve regional traffic flow; and
                ``(C) the construction or improvements are more cost-
            effective, as determined by a benefit-cost analysis, than an
            improvement to the Federal-aid highway described in
            subparagraph (A).''.
        (b) Location of Projects.--Section 133 of title 23, United States
    Code, is amended by striking subsection (c) and inserting the
    following:
        ``(c) Location of Projects.--Surface transportation program
    projects may not be undertaken on roads functionally classified as
    local or rural minor collectors unless the roads were on a Federal-aid
    highway system on January 1, 1991, except--
            ``(1) as provided in subsection (g);
            ``(2) for projects described in paragraphs (2), (4), (6), (7),
        (11), (20), (25), and (26) of subsection (b); and
            ``(3) as approved by the Secretary.''.
        (c) Allocation of Apportioned Funds.--Section 133 of the title 23,
    United States Code, is amended by striking subsection (d) and inserting
    the following:
        ``(d) Allocations of Apportioned Funds to Areas Based on
    Population.--
            ``(1) Calculation.--Of the funds apportioned to a State under
        section 104(b)(2)--
                ``(A) 50 percent for a fiscal year shall be obligated under
            this section, in proportion to their relative shares of the
            population of the State--
                    ``(i) in urbanized areas of the State with an urbanized
                area population of over 200,000;
                    ``(ii) in areas of the State other than urban areas
                with a population greater than 5,000; and
                    ``(iii) in other areas of the State; and
                ``(B) 50 percent may be obligated in any area of the State.
            ``(2) Metropolitan areas.--Funds attributed to an urbanized
        area under paragraph (1)(A)(i) may be obligated in the metropolitan
        area established under section 134 that encompasses the urbanized
        area.
            ``(3) Consultation with regional transportation planning
        organizations.--For purposes of paragraph (1)(A)(ii), before
        obligating funding attributed to an area with a population greater
        than 5,000 and less than 200,000, a State shall consult with the
        regional transportation planning organizations that represent the
        area, if any.
            ``(4) Distribution among urbanized areas of over 200,000
        population.--
                ``(A) In general.--Except as provided in subparagraph (B),
            the amount of funds that a State is required to obligate under
            paragraph (1)(A)(i) shall be obligated in urbanized areas
            described in paragraph (1)(A)(i) based on the relative
            population of the areas.
                ``(B) Other factors.--The State may obligate the funds
            described in subparagraph (A) based on other factors if the
            State and the relevant metropolitan planning organizations
            jointly apply to the Secretary for the permission to base the
            obligation on other factors and the Secretary grants the
            request.
            ``(5) Applicability of planning requirements.--Programming and
        expenditure of funds for projects under this section shall be
        consistent with sections 134 and 135.''.
        (d) Administration.--Section 133 of title 23, United States Code,
    is amended by striking subsection (e) and inserting the following:
        ``(e) Administration.--
            ``(1) Submission of project agreement.--For each fiscal year,
        each State shall submit a project agreement that--
                ``(A) certifies that the State will meet all the
            requirements of this section; and
                ``(B) notifies the Secretary of the amount of obligations
            needed to carry out the program under this section.
            ``(2) Request for adjustments of amounts.--Each State shall
        request from the Secretary such adjustments to the amount of
        obligations referred to in paragraph (1)(B) as the State determines
        to be necessary.
            ``(3) Effect of approval by the secretary.--Approval by the
        Secretary of a project agreement under paragraph (1) shall be
        deemed a contractual obligation of the United States to pay surface
        transportation program funds made available under this title.''.
        (e) Obligation Authority.--Section 133(f)(1) of title 23, United
    States Code, is amended by striking ``2004 through 2006 and the period
    of fiscal years 2007 through 2009'' and inserting ``2011 through
    2014''.
        (f) Bridges Not on Federal-aid Highways.--Section 133 of the title
    23, United States Code, is amended by adding at the end the following:
        ``(g) Bridges Not on Federal-aid Highways.--
            ``(1) Definition of off-system bridge.--In this subsection, the
        term `off-system bridge' means a highway bridge located on a public
        road, other than a bridge on a Federal-aid highway.
            ``(2) Special rule.--
                ``(A) Set-aside.--Of the amounts apportioned to a State for
            fiscal year 2013 and each fiscal year thereafter under this
            section, the State shall obligate for activities described in
            subsection (b)(2) for off-system bridges an amount that is not
            less than 15 percent of the amount of funds apportioned to the
            State for the highway bridge program for fiscal year 2009,
            except that amounts allocated under subsection (d) shall not be
            obligated to carry out this subsection.
                ``(B) Reduction of expenditures.--The Secretary, after
            consultation with State and local officials, may reduce the
            requirement for expenditures for off-system bridges under
            subparagraph (A) with respect to the State if the Secretary
            determines that the State has inadequate needs to justify the
            expenditure.
            ``(3) Credit for bridges not on federal-aid highways.--
        Notwithstanding any other provision of law, with respect to any
        project not on a Federal-aid highway for the replacement of a
        bridge or rehabilitation of a bridge that is wholly funded from
        State and local sources, is eligible for Federal funds under this
        section, is noncontroversial, is certified by the State to have
        been carried out in accordance with all standards applicable to
        such projects under this section, and is determined by the
        Secretary upon completion to be no longer a deficient bridge--
                ``(A) any amount expended after the date of enactment of
            this subsection from State and local sources for the project in
            excess of 20 percent of the cost of construction of the project
            may be credited to the non-Federal share of the cost of other
            bridge projects in the State that are eligible for Federal
            funds under this section; and
                ``(B) that crediting shall be conducted in accordance with
            procedures established by the Secretary.
        ``(h) Special Rule for Areas of Less Than 5,000 Population.--
            ``(1) Special rule.--Notwithstanding subsection (c), and except
        as provided in paragraph (2), up to 15 percent of the amounts
        required to be obligated by a State under subsection (d)(1)(A)(iii)
        for each of fiscal years 2013 through 2014 may be obligated on
        roads functionally classified as minor collectors.
            ``(2) Suspension.--The Secretary may suspend the application of
        paragraph (1) with respect to a State if the Secretary determines
        that the authority provided under paragraph (1) is being used
        excessively by the State.''.
    SEC. 1109. WORKFORCE DEVELOPMENT.
        (a) On-the-job Training.--Section 140(b) of title 23, United States
    Code, is amended--
            (1) in the second sentence, by striking ``Whenever
        apportionments are made under section 104(b)(3) of this title,''
        and inserting ``From administrative funds made available under
        section 104(a),''; and
            (2) in the fourth sentence, by striking ``and the bridge
        program under section 144''.
        (b) Disadvantaged Business Enterprise.--Section 140(c) of title 23,
    United States Code, is amended in the second sentence by striking
    ``Whenever apportionments are made under section 104(b)(3),'' and
    inserting ``From administrative funds made available under section
    104(a),''.
    SEC. 1110. HIGHWAY USE TAX EVASION PROJECTS.
        Section 143 of title 23, United States Code, is amended--
            (1) in subsection (b)--
                (A) by striking paragraph (2) and inserting the following:
            ``(2) Funding.--
                ``(A) In general.--From administrative funds made available
            under section 104(a), the Secretary shall deduct such sums as
            are necessary, not to exceed $10,000,000 for each of fiscal
            years 2013 and 2014, to carry out this section.
                ``(B) 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 fiscal year,
            $2,000,000 shall be available only to carry out
            intergovernmental enforcement efforts, including research and
            training.''; and
                (B) in paragraph (8) by striking ``section 104(b)(3)'' and
            inserting ``section 104(b)(2)''; and
            (2) in subsection (c)(3) by striking ``for each of fiscal years
        2005 through 2009,'' and inserting ``for each fiscal year,''.
    SEC. 1111. NATIONAL BRIDGE AND TUNNEL INVENTORY AND INSPECTION
    STANDARDS.
        (a) In General.--Section 144 of title 23, United States Code, is
    amended to read as follows:
    ``Sec. 144. National bridge and tunnel inventory and inspection
       standards
        ``(a) Findings and Declarations.--
            ``(1) Findings.--Congress finds that--
                ``(A) the condition of the bridges of the United States has
            improved since the date of enactment of the Transportation
            Equity Act for the 21st Century (Public Law 105-178; 112 Stat.
            107), yet continued improvement to bridge conditions is
            essential to protect the safety of the traveling public and
            allow for the efficient movement of people and goods on which
            the economy of the United States relies; and
                ``(B) the systematic preventative maintenance of bridges,
            and replacement and rehabilitation of deficient bridges, should
            be undertaken through an overall asset management approach to
            transportation investment.
            ``(2) Declarations.--Congress declares that it is in the vital
        interest of the United States--
                ``(A) to inventory, inspect, and improve the condition of
            the highway bridges and tunnels of the United States;
                ``(B) to use a data-driven, risk-based approach and cost-
            effective strategy for systematic preventative maintenance,
            replacement, and rehabilitation of highway bridges and tunnels
            to ensure safety and extended service life;
                ``(C) to use performance-based bridge management systems to
            assist States in making timely investments;
                ``(D) to ensure accountability and link performance
            outcomes to investment decisions; and
                ``(E) to ensure connectivity and access for residents of
            rural areas of the United States through strategic investments
            in National Highway System bridges and bridges on all public
            roads.
        ``(b) National Bridge and Tunnel Inventories.--The Secretary, in
    consultation with the States and Federal agencies with jurisdiction
    over highway bridges and tunnels, shall--
            ``(1) inventory all highway bridges on public roads, on and off
        Federal-aid highways, including tribally owned and Federally owned
        bridges, that are bridges over waterways, other topographical
        barriers, other highways, and railroads;
            ``(2) inventory all tunnels on public roads, on and off
        Federal-aid highways, including tribally owned and Federally owned
        tunnels;
            ``(3) classify the bridges according to serviceability, safety,
        and essentiality for public use, including the potential impacts to
        emergency evacuation routes and to regional and national freight
        and passenger mobility if the serviceability of the bridge is
        restricted or diminished;
            ``(4) based on that classification, assign each a risk-based
        priority for systematic preventative maintenance, replacement, or
        rehabilitation; and
            ``(5) determine the cost of replacing each structurally
        deficient bridge identified under this subsection with a comparable
        facility or the cost of rehabilitating the bridge.
        ``(c) General Bridge Authority.--
            ``(1) In general.--Except as provided in paragraph (2) and
        notwithstanding any other provision of law, the General Bridge Act
        of 1946 (33 U.S.C. 525 et seq.) shall apply to bridges authorized
        to be replaced, in whole or in part, by this title.
            ``(2) Exception.--Section 502(b) of the General Bridge Act of
        1946 (33 U.S.C. 525(b)) and section 9 of the Act of March 3, 1899
        (33 U.S.C. 401), shall not apply to any bridge constructed,
        reconstructed, rehabilitated, or replaced with assistance under
        this title, if the bridge is over waters that--
                ``(A) are not used and are not susceptible to use in the
            natural condition of the bridge or by reasonable improvement as
            a means to transport interstate or foreign commerce; and
                ``(B) are--
                    ``(i) not tidal; or
                    ``(ii) if tidal, used only by recreational boating,
                fishing, and other small vessels that are less than 21 feet
                in length.
        ``(d) Inventory Updates and Reports.--
            ``(1) In general.--The Secretary shall--
                ``(A) annually revise the inventories authorized by
            subsection (b); and
                ``(B) submit 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 inventories.
            ``(2) Inspection report.--Not later than 2 years after the date
        of enactment of the MAP-21, each State and appropriate Federal
        agency shall report element level data to the Secretary, as each
        bridge is inspected pursuant to this section, for all highway
        bridges on the National Highway System.
            ``(3) Guidance.--The Secretary shall provide guidance to States
        and Federal agencies for implementation of this subsection, while
        respecting the existing inspection schedule of each State.
            ``(4) Bridges not on national highway system.--The Secretary
        shall--
                ``(A) conduct a study on the benefits, cost-effectiveness,
            and feasibility of requiring element-level data collection for
            bridges not on the National Highway System; and
                ``(B) submit 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 study.
        ``(e) Bridges Without Taxing Powers.--
            ``(1) In general.--Notwithstanding any other provision of law,
        any bridge that is owned and operated by an agency that does not
        have taxing powers and whose functions include operating a
        federally assisted public transit system subsidized by toll
        revenues shall be eligible for assistance under this title, but the
        amount of such assistance shall in no event exceed the cumulative
        amount which such agency has expended for capital and operating
        costs to subsidize such transit system.
            ``(2) Insufficient assets.--Before authorizing an expenditure
        of funds under this subsection, the Secretary shall determine that
        the applicant agency has insufficient reserves, surpluses, and
        projected revenues (over and above those required for bridge and
        transit capital and operating costs) to fund the bridge project or
        activity eligible for assistance under this title.
            ``(3) Crediting of non-federal funds.--Any non-Federal funds
        expended for the seismic retrofit of the bridge may be credited
        toward the non-Federal share required as a condition of receipt of
        any Federal funds for seismic retrofit of the bridge made available
        after the date of the expenditure.
        ``(f) Replacement of Destroyed Bridges and Ferry Boat Service.--
            ``(1) In general.--Notwithstanding any other provision of law,
        a State may use the funds apportioned under section 104(b)(2) to
        construct any bridge that replaces--
                ``(A) any low water crossing (regardless of the length of
            the low water crossing);
                ``(B) any bridge that was destroyed prior to January 1,
            1965;
                ``(C) any ferry that was in existence on January 1, 1984;
            or
                ``(D) any road bridge that is rendered obsolete as a result
            of a Corps of Engineers flood control or channelization project
            and is not rebuilt with funds from the Corps of Engineers.
            ``(2) Federal share.--The Federal share payable on any bridge
        construction carried out under paragraph (1) shall be 80 percent of
        the cost of the construction.
        ``(g) Historic Bridges.--
            ``(1) Definition of historic bridge.--In this subsection, the
        term `historic bridge' means any bridge that is listed on, or
        eligible for listing on, the National Register of Historic Places.
            ``(2) Coordination.--The Secretary shall, in cooperation with
        the States, encourage the retention, rehabilitation, adaptive
        reuse, and future study of historic bridges.
            ``(3) State inventory.--The Secretary shall require each State
        to complete an inventory of all bridges on and off Federal-aid
        highways to determine the historic significance of the bridges.
            ``(4) Eligibility.--
                ``(A) In general.--Subject to subparagraph (B), reasonable
            costs associated with actions to preserve, or reduce the impact
            of a project under this chapter on, the historic integrity of a
            historic bridge shall be eligible as reimbursable project costs
            under section 133 if the load capacity and safety features of
            the historic bridge are adequate to serve the intended use for
            the life of the historic bridge.
                ``(B) Bridges not used for vehicle traffic.--In the case of
            a historic bridge that is no longer used for motorized
            vehicular traffic, the costs eligible as reimbursable project
            costs pursuant to this chapter shall not exceed the estimated
            cost of demolition of the historic bridge.
            ``(5) Preservation.--Any State that proposes to demolish a
        historic bridge for a replacement project with funds made available
        to carry out this section shall first make the historic bridge
        available for donation to a State, locality, or responsible private
        entity if the State, locality, or responsible entity enters into an
        agreement--
                ``(A) to maintain the bridge and the features that give the
            historic bridge its historic significance; and
                ``(B) to assume all future legal and financial
            responsibility for the historic bridge, which may include an
            agreement to hold the State transportation department harmless
            in any liability action.
            ``(6) Costs incurred.--
                ``(A) In general.--Costs incurred by the State to preserve
            a historic bridge (including funds made available to the State,
            locality, or private entity to enable it to accept the bridge)
            shall be eligible as reimbursable project costs under this
            chapter in an amount not to exceed the cost of demolition.
                ``(B) Additional funding.--Any bridge preserved pursuant to
            this paragraph shall not be eligible for any other funds
            authorized pursuant to this title.
        ``(h) National Bridge and Tunnel Inspection Standards.--
            ``(1) Requirement.--
                ``(A) In general.--The Secretary shall establish and
            maintain inspection standards for the proper inspection and
            evaluation of all highway bridges and tunnels for safety and
            serviceability.
                ``(B) Uniformity.--The standards under this subsection
            shall be designed to ensure uniformity of the inspections and
            evaluations.
            ``(2) Minimum requirements of inspection standards.--The
        standards established under paragraph (1) shall, at a minimum--
                ``(A) specify, in detail, the method by which the
            inspections shall be carried out by the States, Federal
            agencies, and tribal governments;
                ``(B) establish the maximum time period between
            inspections;
                ``(C) establish the qualifications for those charged with
            carrying out the inspections;
                ``(D) require each State, Federal agency, and tribal
            government to maintain and make available to the Secretary on
            request--
                    ``(i) written reports on the results of highway bridge
                and tunnel inspections and notations of any action taken
                pursuant to the findings of the inspections; and
                    ``(ii) current inventory data for all highway bridges
                and tunnels reflecting the findings of the most recent
                highway bridge and tunnel inspections conducted; and
                ``(E) establish a procedure for national certification of
            highway bridge inspectors and tunnel inspectors.
            ``(3) State compliance with inspection standards.--The
        Secretary shall, at a minimum--
                ``(A) establish, in consultation with the States, Federal
            agencies, and interested and knowledgeable private
            organizations and individuals, procedures to conduct reviews of
            State compliance with--
                    ``(i) the standards established under this subsection;
                and
                    ``(ii) the calculation or reevaluation of bridge load
                ratings; and
                ``(B) establish, in consultation with the States, Federal
            agencies, and interested and knowledgeable private
            organizations and individuals, procedures for States to follow
            in reporting to the Secretary--
                    ``(i) critical findings relating to structural or
                safety-related deficiencies of highway bridges and tunnels;
                and
                    ``(ii) monitoring activities and corrective actions
                taken in response to a critical finding described in clause
                (i).
            ``(4) Reviews of state compliance.--
                ``(A) In general.--The Secretary shall annually review
            State compliance with the standards established under this
            section.
                ``(B) Noncompliance.--If an annual review in accordance
            with subparagraph (A) identifies noncompliance by a State, the
            Secretary shall--
                    ``(i) issue a report detailing the issues of the
                noncompliance by December 31 of the calendar year in which
                the review was made; and
                    ``(ii) provide the State an opportunity to address the
                noncompliance by--

                        ``(I) developing a corrective action plan to remedy
                    the noncompliance; or
                        ``(II) resolving the issues of noncompliance not
                    later than 45 days after the date of notification.

            ``(5) Penalty for noncompliance.--
                ``(A) In general.--If a State fails to satisfy the
            requirements of paragraph (4)(B) by August 1 of the calendar
            year following the year of a finding of noncompliance, the
            Secretary shall, on October 1 of that year, and each year
            thereafter as may be necessary, require the State to dedicate
            funds apportioned to the State under sections 119 and 133 after
            the date of enactment of the MAP-21 to correct the
            noncompliance with the minimum inspection standards established
            under this subsection.
                ``(B) Amount.--The amount of the funds to be directed to
            correcting noncompliance in accordance with subparagraph (A)
            shall--
                    ``(i) be determined by the State based on an analysis
                of the actions needed to address the noncompliance; and
                    ``(ii) require approval by the Secretary.
            ``(6) Update of standards.--Not later than 3 years after the
        date of enactment of the MAP-21, the Secretary shall update
        inspection standards to cover--
                ``(A) the methodology, training, and qualifications for
            inspectors; and
                ``(B) the frequency of inspection.
            ``(7) Risk-based approach.--In carrying out the revisions
        required by paragraph (6), the Secretary shall consider a risk-
        based approach to determining the frequency of bridge inspections.
        ``(i) Training Program for Bridge and Tunnel Inspectors.--
            ``(1) In general.--The Secretary, in cooperation with the State
        transportation departments, shall maintain a program designed to
        train appropriate personnel to carry out highway bridge and tunnel
        inspections.
            ``(2) Revisions.--The training program shall be revised from
        time to time to take into account new and improved techniques.
        ``(j) Availability of Funds.--In carrying out this section--
            ``(1) the Secretary may use funds made available to the
        Secretary under sections 104(a) and 503;
            ``(2) a State may use amounts apportioned to the State under
        section 104(b)(1) and 104(b)(3);
            ``(3) an Indian tribe may use funds made available to the
        Indian tribe under section 202; and
            ``(4) a Federal agency may use funds made available to the
        agency under section 503.''.
        (b) Conforming Amendment.--The analysis for chapter 1 of title 23,
    United States Code, is amended by striking the item relating to section
    144 and inserting the following:

    ``144. National bridge and tunnel inventory and inspection standards.''.
    SEC. 1112. HIGHWAY SAFETY IMPROVEMENT PROGRAM.
        (a) In General.--Section 148 of title 23, United States Code, is
    amended to read as follows:
    ``Sec. 148. Highway safety improvement program
        ``(a) Definitions.--In this section, the following definitions
    apply:
            ``(1) High risk rural road.--The term `high risk rural road'
        means any roadway functionally classified as a rural major or minor
        collector or a rural local road with significant safety risks, as
        defined by a State in accordance with an updated State strategic
        highway safety plan.
            ``(2) Highway basemap.--The term `highway basemap' means a
        representation of all public roads that can be used to geolocate
        attribute data on a roadway.
            ``(3) Highway safety improvement program.--The term `highway
        safety improvement program' means projects, activities, plans, and
        reports carried out under this section.
            ``(4) Highway safety improvement project.--
                ``(A) In general.--The term `highway safety improvement
            project' means strategies, activities, and projects on a public
            road that are consistent with a State strategic highway safety
            plan and--
                    ``(i) correct or improve a hazardous road location or
                feature; or
                    ``(ii) address a highway safety problem.
                ``(B) Inclusions.--The term `highway safety improvement
            project' includes, but is not limited to, a project for 1 or
            more of the following:
                    ``(i) An intersection safety improvement.
                    ``(ii) Pavement and shoulder widening (including
                addition of a passing lane to remedy an unsafe condition).
                    ``(iii) Installation of rumble strips or another
                warning device, if the rumble strips or other warning
                devices do not adversely affect the safety or mobility of
                bicyclists and pedestrians, including persons with
                disabilities.
                    ``(iv) Installation of a skid-resistant surface at an
                intersection or other location with a high frequency of
                crashes.
                    ``(v) An improvement for pedestrian or bicyclist safety
                or safety of persons with disabilities.
                    ``(vi) Construction and improvement of a railway-
                highway grade crossing safety feature, including
                installation of protective devices.
                    ``(vii) The conduct of a model traffic enforcement
                activity at a railway-highway crossing.
                    ``(viii) Construction of a traffic calming feature.
                    ``(ix) Elimination of a roadside hazard.
                    ``(x) Installation, replacement, and other improvement
                of highway signage and pavement markings, or a project to
                maintain minimum levels of retroreflectivity, that
                addresses a highway safety problem consistent with a State
                strategic highway safety plan.
                    ``(xi) Installation of a priority control system for
                emergency vehicles at signalized intersections.
                    ``(xii) Installation of a traffic control or other
                warning device at a location with high crash potential.
                    ``(xiii) Transportation safety planning.
                    ``(xiv) Collection, analysis, and improvement of safety
                data.
                    ``(xv) Planning integrated interoperable emergency
                communications equipment, operational activities, or
                traffic enforcement activities (including police
                assistance) relating to work zone safety.
                    ``(xvi) Installation of guardrails, barriers (including
                barriers between construction work zones and traffic lanes
                for the safety of road users and workers), and crash
                attenuators.
                    ``(xvii) The addition or retrofitting of structures or
                other measures to eliminate or reduce crashes involving
                vehicles and wildlife.
                    ``(xviii) Installation of yellow-green signs and
                signals at pedestrian and bicycle crossings and in school
                zones.
                    ``(xix) Construction and operational improvements on
                high risk rural roads.
                    ``(xx) Geometric improvements to a road for safety
                purposes that improve safety.
                    ``(xxi) A road safety audit.
                    ``(xxii) Roadway safety infrastructure improvements
                consistent with the recommendations included in the
                publication of the Federal Highway Administration entitled
                `Highway Design Handbook for Older Drivers and Pedestrians'
                (FHWA-RD-01-103), dated May 2001 or as subsequently revised
                and updated.
                    ``(xxiii) Truck parking facilities eligible for funding
                under section 1401 of the MAP-21.
                    ``(xxiv) Systemic safety improvements.
            ``(5) Model inventory of roadway elements.--The term `model
        inventory of roadway elements' means the listing and standardized
        coding by the Federal Highway Administration of roadway and traffic
        data elements critical to safety management, analysis, and
        decisionmaking.
            ``(6) Project to maintain minimum levels of
        retroreflectivity.--The term `project to maintain minimum levels of
        retroreflectivity' means a project that is designed to maintain a
        highway sign or pavement marking retroreflectivity at or above the
        minimum levels prescribed in Federal or State regulations.
            ``(7) Road safety audit.--The term `road safety audit' means a
        formal safety performance examination of an existing or future road
        or intersection by an independent multidisciplinary audit team.
            ``(8) Road users.--The term `road user' means a motorist,
        passenger, public transportation operator or user, truck driver,
        bicyclist, motorcyclist, or pedestrian, including a person with
        disabilities.
            ``(9) Safety data.--
                ``(A) In general.--The term `safety data' means crash,
            roadway, and traffic data on a public road.
                ``(B) Inclusion.--The term `safety data' includes, in the
            case of a railway-highway grade crossing, the characteristics
            of highway and train traffic, licensing, and vehicle data.
            ``(10) Safety project under any other section.--
                ``(A) In general.--The term `safety project under any other
            section' means a project carried out for the purpose of safety
            under any other section of this title.
                ``(B) Inclusion.--The term `safety project under any other
            section' includes--
                    ``(i) a project consistent with the State strategic
                highway safety plan that promotes the awareness of the
                public and educates the public concerning highway safety
                matters (including motorcycle safety);
                    ``(ii) a project to enforce highway safety laws; and
                    ``(iii) a project to provide infrastructure and
                infrastructure-related equipment to support emergency
                services.
            ``(11) State highway safety improvement program.--The term
        `State highway safety improvement program' means a program of
        highway safety improvement projects, activities, plans and reports
        carried out as part of the Statewide transportation improvement
        program under section 135(g).
            ``(12) State strategic highway safety plan.--The term `State
        strategic highway safety plan' means a comprehensive plan, based on
        safety data, developed by a State transportation department that--
                ``(A) is developed after consultation with--
                    ``(i) a highway safety representative of the Governor
                of the State;
                    ``(ii) regional transportation planning organizations
                and metropolitan planning organizations, if any;
                    ``(iii) representatives of major modes of
                transportation;
                    ``(iv) State and local traffic enforcement officials;
                    ``(v) a highway-rail grade crossing safety
                representative of the Governor of the State;
                    ``(vi) representatives conducting a motor carrier
                safety program under section 31102, 31106, or 31309 of
                title 49;
                    ``(vii) motor vehicle administration agencies;
                    ``(viii) county transportation officials;
                    ``(ix) State representatives of nonmotorized users; and
                    ``(x) other major Federal, State, tribal, and local
                safety stakeholders;
                ``(B) analyzes and makes effective use of State, regional,
            local, or tribal safety data;
                ``(C) addresses engineering, management, operation,
            education, enforcement, and emergency services elements
            (including integrated, interoperable emergency communications)
            of highway safety as key factors in evaluating highway
            projects;
                ``(D) considers safety needs of, and high-fatality segments
            of, all public roads, including non-State-owned public roads
            and roads on tribal land;
                ``(E) considers the results of State, regional, or local
            transportation and highway safety planning processes;
                ``(F) describes a program of strategies to reduce or
            eliminate safety hazards;
                ``(G) is approved by the Governor of the State or a
            responsible State agency;
                ``(H) is consistent with section 135(g); and
                ``(I) is updated and submitted to the Secretary for
            approval as required under subsection (d)(2).
            ``(13) Systemic safety improvement.--The term `systemic safety
        improvement' means an improvement that is widely implemented based
        on high-risk roadway features that are correlated with particular
        crash types, rather than crash frequency.
        ``(b) Program.--
            ``(1) In general.--The Secretary shall carry out a highway
        safety improvement program.
            ``(2) Purpose.--The purpose of the highway safety improvement
        program shall be to achieve a significant reduction in traffic
        fatalities and serious injuries on all public roads, including non-
        State-owned public roads and roads on tribal land.
        ``(c) Eligibility.--
            ``(1) In general.--To obligate funds apportioned under section
        104(b)(3) to carry out this section, a State shall have in effect a
        State highway safety improvement program under which the State--
                ``(A) develops, implements, and updates a State strategic
            highway safety plan that identifies and analyzes highway safety
            problems and opportunities as provided in subsections (a)(12)
            and (d);
                ``(B) produces a program of projects or strategies to
            reduce identified safety problems; and
                ``(C) evaluates the strategic highway safety plan on a
            regularly recurring basis in accordance with subsection (d)(1)
            to ensure the accuracy of the data and priority of proposed
            strategies.
            ``(2) Identification and analysis of highway safety problems
        and opportunities.--As part of the State highway safety improvement
        program, a State shall--
                ``(A) have in place a safety data system with the ability
            to perform safety problem identification and countermeasure
            analysis--
                    ``(i) to improve the timeliness, accuracy,
                completeness, uniformity, integration, and accessibility of
                the safety data on all public roads, including non-State-
                owned public roads and roads on tribal land in the State;
                    ``(ii) to evaluate the effectiveness of data
                improvement efforts;
                    ``(iii) to link State data systems, including traffic
                records, with other data systems within the State;
                    ``(iv) to improve the compatibility and
                interoperability of safety data with other State
                transportation-related data systems and the compatibility
                and interoperability of State safety data systems with data
                systems of other States and national data systems;
                    ``(v) to enhance the ability of the Secretary to
                observe and analyze national trends in crash occurrences,
                rates, outcomes, and circumstances; and
                    ``(vi) to improve the collection of data on
                nonmotorized crashes;
                ``(B) based on the analysis required by subparagraph (A)--
                    ``(i) identify hazardous locations, sections, and
                elements (including roadside obstacles, railway-highway
                crossing needs, and unmarked or poorly marked roads) that
                constitute a danger to motorists (including motorcyclists),
                bicyclists, pedestrians, and other highway users;
                    ``(ii) using such criteria as the State determines to
                be appropriate, establish the relative severity of those
                locations, in terms of crashes (including crash rates),
                fatalities, serious injuries, traffic volume levels, and
                other relevant data;
                    ``(iii) identify the number of fatalities and serious
                injuries on all public roads by location in the State;
                    ``(iv) identify highway safety improvement projects on
                the basis of crash experience, crash potential, crash rate,
                or other data-supported means; and
                    ``(v) consider which projects maximize opportunities to
                advance safety;
                ``(C) adopt strategic and performance-based goals that--
                    ``(i) address traffic safety, including behavioral and
                infrastructure problems and opportunities on all public
                roads;
                    ``(ii) focus resources on areas of greatest need; and
                    ``(iii) are coordinated with other State highway safety
                programs;
                ``(D) advance the capabilities of the State for safety data
            collection, analysis, and integration in a manner that--
                    ``(i) complements the State highway safety program
                under chapter 4 and the commercial vehicle safety plan
                under section 31102 of title 49;
                    ``(ii) includes all public roads, including public non-
                State-owned roads and roads on tribal land;
                    ``(iii) identifies hazardous locations, sections, and
                elements on all public roads that constitute a danger to
                motorists (including motorcyclists), bicyclists,
                pedestrians, persons with disabilities, and other highway
                users;
                    ``(iv) includes a means of identifying the relative
                severity of hazardous locations described in clause (iii)
                in terms of crashes (including crash rate), serious
                injuries, fatalities, and traffic volume levels; and
                    ``(v) improves the ability of the State to identify the
                number of fatalities and serious injuries on all public
                roads in the State with a breakdown by functional
                classification and ownership in the State;
                ``(E)(i) determine priorities for the correction of
            hazardous road locations, sections, and elements (including
            railway-highway crossing improvements), as identified through
            safety data analysis;
                ``(ii) identify opportunities for preventing the
            development of such hazardous conditions; and
                ``(iii) establish and implement a schedule of highway
            safety improvement projects for hazard correction and hazard
            prevention; and
                ``(F)(i) establish an evaluation process to analyze and
            assess results achieved by highway safety improvement projects
            carried out in accordance with procedures and criteria
            established by this section; and
                ``(ii) use the information obtained under clause (i) in
            setting priorities for highway safety improvement projects.
        ``(d) Updates to Strategic Highway Safety Plans.--
            ``(1) Establishment of requirements.--
                ``(A) In general.--Not later than 1 year after the date of
            enactment of the MAP-21, the Secretary shall establish
            requirements for regularly recurring State updates of strategic
            highway safety plans.
                ``(B) Contents of updated strategic highway safety plans.--
            In establishing requirements under this subsection, the
            Secretary shall ensure that States take into consideration,
            with respect to updated strategic highway safety plans--
                    ``(i) the findings of road safety audits;
                    ``(ii) the locations of fatalities and serious
                injuries;
                    ``(iii) the locations that do not have an empirical
                history of fatalities and serious injuries, but possess
                risk factors for potential crashes;
                    ``(iv) rural roads, including all public roads,
                commensurate with fatality data;
                    ``(v) motor vehicle crashes that include fatalities or
                serious injuries to pedestrians and bicyclists;
                    ``(vi) the cost-effectiveness of improvements;
                    ``(vii) improvements to rail-highway grade crossings;
                and
                    ``(viii) safety on all public roads, including non-
                State-owned public roads and roads on tribal land.
            ``(2) Approval of updated strategic highway safety plans.--
                ``(A) In general.--Each State shall--
                    ``(i) update the strategic highway safety plans of the
                State in accordance with the requirements established by
                the Secretary under this subsection; and
                    ``(ii) submit the updated plans to the Secretary, along
                with a detailed description of the process used to update
                the plan.
                ``(B) Requirements for approval.--The Secretary shall not
            approve the process for an updated strategic highway safety
            plan unless--
                    ``(i) the updated strategic highway safety plan is
                consistent with the requirements of this subsection and
                subsection (a)(12); and
                    ``(ii) the process used is consistent with the
                requirements of this subsection.
            ``(3) Penalty for failure to have an approved updated strategic
        highway safety plan.--If a State does not have an updated strategic
        highway safety plan with a process approved by the Secretary by
        August 1 of the fiscal year beginning after the date of
        establishment of the requirements under paragraph (1), the State
        shall not be eligible to receive any additional limitation pursuant
        to the redistribution of the limitation on obligations for Federal-
        aid highway and highway safety construction programs that occurs
        after August 1 for each succeeding fiscal year until the fiscal
        year during which the plan is approved.
        ``(e) Eligible Projects.--
            ``(1) In general.--Funds apportioned to the State under section
        104(b)(3) may be obligated to carry out--
                ``(A) any highway safety improvement project on any public
            road or publicly owned bicycle or pedestrian pathway or trail;
                ``(B) as provided in subsection (g); or
                ``(C) any project to maintain minimum levels of
            retroreflectivity with respect to a public road, without regard
            to whether the project is included in an applicable State
            strategic highway safety plan.
            ``(2) Use of other funding for safety.--
                ``(A) Effect of section.--Nothing in this section prohibits
            the use of funds made available under other provisions of this
            title for highway safety improvement projects.
                ``(B) Use of other funds.--States are encouraged to address
            the full scope of the safety needs and opportunities of the
            States by using funds made available under other provisions of
            this title (except a provision that specifically prohibits that
            use).
        ``(f) Data Improvement.--
            ``(1) Definition of data improvement activities.--In this
        subsection, the following definitions apply:
                ``(A) In general.--The term `data improvement activities'
            means a project or activity to further the capacity of a State
            to make more informed and effective safety infrastructure
            investment decisions.
                ``(B) Inclusions.--The term `data improvement activities'
            includes a project or activity--
                    ``(i) to create, update, or enhance a highway basemap
                of all public roads in a State;
                    ``(ii) to collect safety data, including data
                identified as part of the model inventory for roadway
                elements, for creation of or use on a highway basemap of
                all public roads in a State;
                    ``(iii) to store and maintain safety data in an
                electronic manner;
                    ``(iv) to develop analytical processes for safety data
                elements;
                    ``(v) to acquire and implement roadway safety analysis
                tools; and
                    ``(vi) to support the collection, maintenance, and
                sharing of safety data on all public roads and related
                systems associated with the analytical usage of that data.
            ``(2) Model inventory of roadway elements.--The Secretary
        shall--
                ``(A) establish a subset of the model inventory of roadway
            elements that are useful for the inventory of roadway safety;
            and
                ``(B) ensure that States adopt and use the subset to
            improve data collection.
        ``(g) Special Rules.--
            ``(1) High-risk rural road safety.--If the fatality rate on
        rural roads in a State increases over the most recent 2-year period
        for which data are available, that State shall be required to
        obligate in the next fiscal year for projects on high risk rural
        roads an amount equal to at least 200 percent of the amount of
        funds the State received for fiscal year 2009 for high risk rural
        roads under subsection (f) of this section, as in effect on the day
        before the date of enactment of the MAP-21.
            ``(2) Older drivers.--If traffic fatalities and serious
        injuries per capita for drivers and pedestrians over the age of 65
        in a State increases during the most recent 2-year period for which
        data are available, that State shall be required to include, in the
        subsequent Strategic Highway Safety Plan of the State, strategies
        to address the increases in those rates, taking into account the
        recommendations included in the publication of the Federal Highway
        Administration entitled `Highway Design Handbook for Older Drivers
        and Pedestrians' (FHWA-RD-01-103), and dated May 2001, or as
        subsequently revised and updated.
        ``(h) Reports.--
            ``(1) In general.--A State shall submit to the Secretary a
        report that--
                ``(A) describes progress being made to implement highway
            safety improvement projects under this section;
                ``(B) assesses the effectiveness of those improvements; and
                ``(C) describes the extent to which the improvements funded
            under this section have contributed to reducing--
                    ``(i) the number and rate of fatalities on all public
                roads with, to the maximum extent practicable, a breakdown
                by functional classification and ownership in the State;
                    ``(ii) the number and rate of serious injuries on all
                public roads with, to the maximum extent practicable, a
                breakdown by functional classification and ownership in the
                State; and
                    ``(iii) the occurrences of fatalities and serious
                injuries at railway-highway crossings.
            ``(2) Contents; schedule.--The Secretary shall establish the
        content and schedule for the submission of the report under
        paragraph (1).
            ``(3) Transparency.--The Secretary shall make strategic highway
        safety plans submitted under subsection (d) and reports submitted
        under this subsection available to the public through--
                ``(A) the website of the Department; and
                ``(B) such other means as the Secretary determines to be
            appropriate.
            ``(4) Discovery and admission into evidence of certain reports,
        surveys, and information.--Notwithstanding any other provision of
        law, reports, surveys, schedules, lists, or data compiled or
        collected for any purpose relating to this section, shall not be
        subject to discovery or admitted into evidence in a Federal or
        State court proceeding or considered for other purposes in any
        action for damages arising from any occurrence at a location
        identified or addressed in the reports, surveys, schedules, lists,
        or other data.
        ``(i) State Performance Targets.--If the Secretary determines that
    a State has not met or made significant progress toward meeting the
    performance targets of the State established under section 150(d) by
    the date that is 2 years after the date of the establishment of the
    performance targets, the State shall--
            ``(1) use obligation authority equal to the apportionment of
        the State for the prior year under section 104(b)(3) only for
        highway safety improvement projects under this section until the
        Secretary determines that the State has met or made significant
        progress toward meeting the performance targets of the State; and
            ``(2) submit annually to the Secretary, until the Secretary
        determines that the State has met or made significant progress
        toward meeting the performance targets of the State, an
        implementation plan that--
                ``(A) identifies roadway features that constitute a hazard
            to road users;
                ``(B) identifies highway safety improvement projects on the
            basis of crash experience, crash potential, or other data-
            supported means;
                ``(C) describes how highway safety improvement program
            funds will be allocated, including projects, activities, and
            strategies to be implemented;
                ``(D) describes how the proposed projects, activities, and
            strategies funded under the State highway safety improvement
            program will allow the State to make progress toward achieving
            the safety performance targets of the State; and
                ``(E) describes the actions the State will undertake to
            meet the performance targets of the State.
        ``(j) Federal Share of Highway Safety Improvement Projects.--Except
    as provided in sections 120 and 130, the Federal share of the cost of a
    highway safety improvement project carried out with funds apportioned
    to a State under section 104(b)(3) shall be 90 percent.''.
        (b) Study of High-risk Rural Roads Best Practices.--
            (1) Study.--
                (A) In general.--The Secretary shall conduct a study of the
            best practices for implementing cost-effective roadway safety
            infrastructure improvements on high-risk rural roads.
                (B) Methodology.--In carrying out the study, the Secretary
            shall--
                    (i) conduct a thorough literature review;
                    (ii) survey current practices of State departments of
                transportation; and
                    (iii) survey current practices of local units of
                government, as appropriate.
                (C) Consultation.--In carrying out the study, the Secretary
            shall consult with--
                    (i) State departments of transportation;
                    (ii) county engineers and public works professionals;
                    (iii) appropriate local officials; and
                    (iv) appropriate private sector experts in the field of
                roadway safety infrastructure.
            (2) Report.--
                (A) In general.--Not later than 1 year after the date of
            enactment of this Act, 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 results of the study.
                (B) Contents.--The report shall include--
                    (i) a summary of cost-effective roadway safety
                infrastructure improvements;
                    (ii) a summary of the latest research on the financial
                savings and reduction in fatalities and serious bodily
                injury crashes from the implementation of cost-effective
                roadway safety infrastructure improvements; and
                    (iii) recommendations for State and local governments
                on best practice methods to install cost-effective roadway
                safety infrastructure on high-risk rural roads.
            (3) Manual.--
                (A) Development.--Based on the results of the study under
            paragraph (2), the Secretary, in consultation with the
            individuals and entities described in paragraph (1)(C), shall
            develop a best practices manual to support Federal, State, and
            local efforts to reduce fatalities and serious bodily injury
            crashes on high-risk rural roads through the use of cost-
            effective roadway safety infrastructure improvements.
                (B) Availability.--The manual shall be made available to
            State and local governments not later than 180 days after the
            date of submission of the report under paragraph (2).
                (C) Contents.--The manual shall include, at a minimum, a
            list of cost-effective roadway safety infrastructure
            improvements and best practices on the installation of cost-
            effective roadway safety infrastructure improvements on high-
            risk rural roads.
                (D) Use of manual.--Use of the manual shall be voluntary
            and the manual shall not establish any binding standards or
            legal duties on State or local governments, or any other
            person.
    SEC. 1113. CONGESTION MITIGATION AND AIR QUALITY IMPROVEMENT PROGRAM.
        (a) Eligible Projects.--Section 149(b) of title 23, United States
    Code, is amended--
            (1) in the matter preceding paragraph (1)--
                (A) by striking ``in subsection (c)'' and inserting ``in
            subsection (d)''; and
                (B) by striking ``section 104(b)(2)'' and inserting
            ``section 104(b)(4)'';
            (2) in paragraph (5)--
                (A) by inserting ``add turning lanes,'' after ``improve
            intersections,''; and
                (B) by striking ``paragraph;'' and inserting ``paragraph,
            including programs or projects to improve incident and
            emergency response or improve mobility, such as through real-
            time traffic, transit, and multimodal traveler information;'';
            (3) in paragraph (6) by striking ``or'' at the end;
            (4) in paragraph (7)(A)(ii) by striking ``published in the list
        under subsection (f)(2)'' and inserting ``verified technologies (as
        defined in section 791 of the Energy Policy Act of 2005 (42 U.S.C.
        16131))'';
            (5) by striking the matter following paragraph (7);
            (6) by redesignating paragraph (7) as paragraph (8); and
            (7) by inserting after paragraph (6) the following:
            ``(7) if the project or program shifts traffic demand to
        nonpeak hours or other transportation modes, increases vehicle
        occupancy rates, or otherwise reduces demand for roads through such
        means as telecommuting, ridesharing, carsharing, alternative work
        hours, and pricing; or''.
        (b) Special Rules.--Section 149 of title 23, United States Code, is
    amended--
            (1) by redesignating subsections (c) through (h) as subsections
        (d) through (i) respectively;
            (2) by inserting after subsection (b) the following:
        ``(c) Special Rules.--
            ``(1) Projects for pm-10 nonattainment areas.--A State may
        obligate funds apportioned to the State under section 104(b)(4) for
        a project or program for an area that is nonattainment for ozone or
        carbon monoxide, or both, and for PM-10 resulting from
        transportation activities, without regard to any limitation of the
        Department of Transportation relating to the type of ambient air
        quality standard such project or program addresses.
            ``(2) Electric vehicle and natural gas vehicle
        infrastructure.--A State may obligate funds apportioned under
        section 104(b)(4) for a project or program to establish electric
        vehicle charging stations or natural gas vehicle refueling stations
        for the use of battery powered or natural gas fueled trucks or
        other motor vehicles at any location in the State except that such
        stations may not be established or supported where commercial
        establishments serving motor vehicle users are prohibited by
        section 111 of title 23, United States Code.
            ``(3) HOV facilities.--No funds may be provided under this
        section for a project which will result in the construction of new
        capacity available to single occupant vehicles unless the project
        consists of a high occupancy vehicle facility available to single
        occupant vehicles only at other than peak travel times.'';
            (3) by striking subsection (d) (as redesignated by paragraph
        (1)) and inserting the following:
        ``(d) States Flexibility.--
            ``(1) States without a nonattainment area.--If a State does not
        have, and never has had, a nonattainment area designated under the
        Clean Air Act (42 U.S.C. 7401 et seq.), the State may use funds
        apportioned to the State under section 104(b)(4) for any project in
        the State that--
                ``(A) would otherwise be eligible under subsection (b) as
            if the project were carried out in a nonattainment or
            maintenance area; or
                ``(B) is eligible under the surface transportation program
            under section 133.
            ``(2) States with a nonattainment area.--
                ``(A) In general.--If a State has a nonattainment area or
            maintenance area and received funds in fiscal year 2009 under
            section 104(b)(2)(D), as in effect on the day before the date
            of enactment of the MAP-21, above the amount of funds that the
            State would have received based on the nonattainment and
            maintenance area population of the State under subparagraphs
            (B) and (C) of section 104(b)(2), as in effect on the day
            before the date of enactment of the MAP-21, the State may use
            for any project that is eligible under the surface
            transportation program under section 133 an amount of funds
            apportioned to such State under section 104(b)(4) that is equal
            to the product obtained by multiplying--
                    ``(i) the amount apportioned to such State under
                section 104(b)(4) (excluding the amount of funds reserved
                under paragraph (l)); by
                    ``(ii) the ratio calculated under subparagraph (B).
                ``(B) Ratio.--For purposes of this paragraph, the ratio
            shall be calculated as the proportion that--
                    ``(i) the amount for fiscal year 2009 such State was
                permitted by section 149(c)(2), as in effect on the day
                before the date of enactment of the MAP-21, to obligate in
                any area of the State for projects eligible under section
                133, as in effect on the day before the date of enactment
                of the MAP-21t; bears to
                    ``(ii) the total apportionment to such State for fiscal
                year 2009 under section 104(b)(2), as in effect on the day
                before the date of enactment of the MAP-21.
            ``(3) Changes in designation.--If a new nonattainment area is
        designated or a previously designated nonattainment area is
        redesignated as an attainment area in a State under the Clean Air
        Act (42 U.S.C. 7401 et seq.), the Secretary shall modify the amount
        such State is permitted to obligate in any area of the State for
        projects eligible under section 133.'';
            (4) in subsection (f)(3) (as redesignated by paragraph (1)) by
        striking ``104(b)(2)'' and inserting ``104(b)(4)'';
            (5) in subsection (g) (as redesignated by paragraph (1)) by
        striking paragraph (3) and inserting the following:
            ``(3) Priority consideration.--States and metropolitan planning
        organizations shall give priority in areas designated as
        nonattainment or maintenance for PM2.5 under the Clean Air Act (42
        U.S.C. 7401 et seq.) in distributing funds received for congestion
        mitigation and air quality projects and programs from
        apportionments under section 104(b)(4) to projects that are proven
        to reduce PM2.5, including diesel retrofits.'';
            (6) by striking subsection (i) (as redesignated by paragraph
        (1)) and inserting the following:
        ``(i) Evaluation and Assessment of Projects.--
            ``(1) Database.--
                ``(A) In general.--Using appropriate assessments of
            projects funded under the congestion mitigation and air quality
            program and results from other research, the Secretary shall
            maintain and disseminate a cumulative database describing the
            impacts of the projects, including specific information about
            each project, such as the project name, location, sponsor,
            cost, and, to the extent already measured by the project
            sponsor, cost-effectiveness, based on reductions in congestion
            and emissions.
                ``(B) Availability.--The database shall be published or
            otherwise made readily available by the Secretary in
            electronically accessible format and means, such as the
            Internet, for public review.
            ``(2) Cost effectiveness.--
                ``(A) In general.--The Secretary, in consultation with the
            Administrator of the Environmental Protection Agency, shall
            evaluate projects on a periodic basis and develop a table or
            other similar medium that illustrates the cost-effectiveness of
            a range of project types eligible for funding under this
            section as to how the projects mitigate congestion and improve
            air quality.
                ``(B) Contents.--The table described in subparagraph (A)
            shall show measures of cost-effectiveness, such as dollars per
            ton of emissions reduced, and assess those measures over a
            variety of timeframes to capture impacts on the planning
            timeframes outlined in section 134.
                ``(C) Use of table.--States and metropolitan planning
            organizations shall consider the information in the table when
            selecting projects or developing performance plans under
            subsection (l).
        ``(j) Optional Programmatic Eligibility.--
            ``(1) In general.--At the discretion of a metropolitan planning
        organization, a technical assessment of a selected program of
        projects may be conducted through modeling or other means to
        demonstrate the emissions reduction projection required under this
        section.
            ``(2) Applicability.--If an assessment described in paragraph
        (1) successfully demonstrates an emissions reduction, all projects
        included in such assessment shall be eligible for obligation under
        this section without further demonstration of emissions reduction
        of individual projects included in such assessment.
        ``(k) Priority for Use of Funds in PM2.5 Areas.--
            ``(1) In general.--For any State that has a nonattainment or
        maintenance area for fine particulate matter, an amount equal to 25
        percent of the funds apportioned to each State under section
        104(b)(4) for a nonattainment or maintenance area that are based
        all or in part on the weighted population of such area in fine
        particulate matter nonattainment shall be obligated to projects
        that reduce such fine particulate matter emissions in such area,
        including diesel retrofits.
            ``(2) Construction equipment and vehicles.--In order to meet
        the requirements of paragraph (1), a State or metropolitan planning
        organization may elect to obligate funds to install diesel emission
        control technology on nonroad diesel equipment or on-road diesel
        equipment that is operated on a highway construction project within
        a PM2.5 nonattainment or maintenance area.
        ``(l) Performance Plan.--
            ``(1) In general.--Each metropolitan planning organization
        serving a transportation management area (as defined in section
        134) with a population over 1,000,000 people representing a
        nonattainment or maintenance area shall develop a performance plan
        that--
                ``(A) includes an area baseline level for traffic
            congestion and on-road mobile source emissions for which the
            area is in nonattainment or maintenance;
                ``(B) describes progress made in achieving the performance
            targets described in section 150(d); and
                ``(C) includes a description of projects identified for
            funding under this section and how such projects will
            contribute to achieving emission and traffic congestion
            reduction targets.
            ``(2) Updated plans.--Performance plans shall be updated
        biennially and include a separate report that assesses the progress
        of the program of projects under the previous plan in achieving the
        air quality and traffic congestion targets of the previous plan.
        ``(m) Operating Assistance.--A State may obligate funds apportioned
    under section 104(b)(2) in an area of such State that is otherwise
    eligible for obligations of such funds for operating costs under
    chapter 53 of title 49 or on a system that was previously eligible
    under this section.''.
        (c) Air Quality and Congestion Mitigation Measure Outcomes
    Assessment Study.--
            (1) In general.--The Secretary, in consultation with the
        Administrator of the Environmental Protection Agency, shall examine
        the outcomes of actions funded under the congestion mitigation and
        air quality improvement program since the date of enactment of the
        SAFETEA-LU (Public Law 109-59).
            (2) Goals.--The goals of the program shall include--
                (A) the assessment and documentation, through outcomes
            research conducted on a representative sample of cases, of--
                    (i) the emission reductions achieved by federally
                supported surface transportation actions intended to reduce
                emissions or lessen traffic congestion; and
                    (ii) the air quality and human health impacts of those
                actions, including potential unrecognized or indirect
                consequences, attributable to those actions;
                (B) an expanded base of empirical evidence on the air
            quality and human health impacts of actions described in
            paragraph (1); and
                (C) an increase in knowledge of--
                    (i) the factors determining the air quality and human
                health changes associated with transportation emission
                reduction actions; and
                    (ii) other information to more accurately understand
                the validity of current estimation and modeling routines
                and ways to improve those routines.
            (3) Administrative elements.--To carry out this subsection, the
        Secretary shall--
                (A) make a grant for the coordination, selection,
            management, and reporting of component studies to an
            independent scientific research organization with the necessary
            experience in successfully conducting accountability and other
            studies on mobile source air pollutants and associated health
            effects;
                (B) ensure that case studies are identified and conducted
            by teams selected through a competitive solicitation overseen
            by an independent committee of unbiased experts; and
                (C) ensure that all findings and reports are peer-reviewed
            and published in a form that presents the findings together
            with reviewer comments.
            (4) Report.--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) not later than 1 year after the date of enactment of
            the MAP-21, and for the following year, a report providing an
            initial scoping and plan, and status updates, respectively, for
            the program under this subsection; and
                (B) not later than 2 years after the date of enactment of
            the MAP-21, a final report that describes the findings of, and
            recommendations resulting from, the program under this
            subsection.
            (5) Funding.--Of the amounts made available to carry out
        section 104(a) for fiscal year 2013, the Secretary shall make
        available to carry out this subsection not more than $1,000,000.
    SEC. 1114. TERRITORIAL AND PUERTO RICO HIGHWAY PROGRAM.
        (a) In General.--Section 165 of title 23, United States Code, is
    amended to read as follows:
    ``Sec. 165. Territorial and Puerto Rico highway program
        ``(a) Division of Funds.--Of funds made available in a fiscal year
    for the territorial and Puerto Rico highway program--
            ``(1) $150,000,000 shall be for the Puerto Rico highway program
        under subsection (b); and
            ``(2) $40,000,000 shall be for the territorial highway program
        under subsection (c).
        ``(b) Puerto Rico Highway Program.--
            ``(1) In general.--The Secretary shall allocate funds made
        available to carry out this subsection to the Commonwealth of
        Puerto Rico to carry out a highway program in the Commonwealth.
            ``(2) Treatment of funds.--Amounts made available to carry out
        this subsection for a fiscal year shall be administered as follows:
                ``(A) Apportionment.--
                    ``(i) In general.--For the purpose of imposing any
                penalty under this title or title 49, the amounts shall be
                treated as being apportioned to Puerto Rico under sections
                104(b) and 144 (as in effect for fiscal year 1997) for each
                program funded under those sections in an amount determined
                by multiplying--

                        ``(I) the aggregate of the amounts for the fiscal
                    year; by
                        ``(II) the proportion that--

                            ``(aa) the amount of funds apportioned to
                        Puerto Rico for each such program for fiscal year
                        1997; bears to
                            ``(bb) the total amount of funds apportioned to
                        Puerto Rico for all such programs for fiscal year
                        1997.
                    ``(ii) Exception.--Funds identified under clause (i) as
                having been apportioned for the national highway system,
                the surface transportation program, and the Interstate
                maintenance program shall be deemed to have been
                apportioned 50 percent for the national highway performance
                program and 50 percent for the surface transportation
                program for purposes of imposing such penalties.
                ``(B) Penalty.--The amounts treated as being apportioned to
            Puerto Rico under each section referred to in subparagraph (A)
            shall be deemed to be required to be apportioned to Puerto Rico
            under that section for purposes of the imposition of any
            penalty under this title or title 49.
                ``(C) Eligible uses of funds.--Of amounts allocated to
            Puerto Rico for the Puerto Rico Highway Program for a fiscal
            year--
                    ``(i) at least 50 percent shall be available only for
                purposes eligible under section 119;
                    ``(ii) at least 25 percent shall be available only for
                purposes eligible under section 148; and
                    ``(iii) any remaining funds may be obligated for
                activities eligible under chapter 1.
            ``(3) Effect on apportionments.--Except as otherwise
        specifically provided, Puerto Rico shall not be eligible to receive
        funds apportioned to States under this title.
        ``(c) Territorial Highway Program.--
            ``(1) Territory defined.--In this subsection, the term
        `territory' means any of the following territories of the United
        States:
                ``(A) American Samoa.
                ``(B) The Commonwealth of the Northern Mariana Islands.
                ``(C) Guam.
                ``(D) The United States Virgin Islands.
            ``(2) Program.--
                ``(A) In general.--Recognizing the mutual benefits that
            will accrue to the territories and the United States from the
            improvement of highways in the territories, the Secretary may
            carry out a program to assist each government of a territory in
            the construction and improvement of a system of arterial and
            collector highways, and necessary inter-island connectors, that
            is--
                    ``(i) designated by the Governor or chief executive
                officer of each territory; and
                    ``(ii) approved by the Secretary.
                ``(B) Federal share.--The Federal share of Federal
            financial assistance provided to territories under this
            subsection shall be in accordance with section 120(g).
            ``(3) Technical assistance.--
                ``(A) In general.--To continue a long-range highway
            development program, the Secretary may provide technical
            assistance to the governments of the territories to enable the
            territories, on a continuing basis--
                    ``(i) to engage in highway planning;
                    ``(ii) to conduct environmental evaluations;
                    ``(iii) to administer right-of-way acquisition and
                relocation assistance programs; and
                    ``(iv) to design, construct, operate, and maintain a
                system of arterial and collector highways, including
                necessary inter-island connectors.
                ``(B) Form and terms of assistance.--Technical assistance
            provided under subparagraph (A), and the terms for the sharing
            of information among territories receiving the technical
            assistance, shall be included in the agreement required by
            paragraph (5).
            ``(4) Nonapplicability of certain provisions.--
                ``(A) In general.--Except to the extent that provisions of
            this chapter are determined by the Secretary to be inconsistent
            with the needs of the territories and the intent of this
            subsection, this chapter (other than provisions of this chapter
            relating to the apportionment and allocation of funds) shall
            apply to funds made available under this subsection.
                ``(B) Applicable provisions.--The agreement required by
            paragraph (5) for each territory shall identify the sections of
            this chapter that are applicable to that territory and the
            extent of the applicability of those sections.
            ``(5) Agreement.--
                ``(A) In general.--Except as provided in subparagraph (D),
            none of the funds made available under this subsection shall be
            available for obligation or expenditure with respect to any
            territory until the chief executive officer of the territory
            has entered into an agreement (including an agreement entered
            into under section 215 as in effect on the day before the
            enactment of this section) with the Secretary providing that
            the government of the territory shall--
                    ``(i) implement the program in accordance with
                applicable provisions of this chapter and paragraph (4);
                    ``(ii) design and construct a system of arterial and
                collector highways, including necessary inter-island
                connectors, in accordance with standards that are--

                        ``(I) appropriate for each territory; and
                        ``(II) approved by the Secretary;

                    ``(iii) provide for the maintenance of facilities
                constructed or operated under this subsection in a
                condition to adequately serve the needs of present and
                future traffic; and
                    ``(iv) implement standards for traffic operations and
                uniform traffic control devices that are approved by the
                Secretary.
                ``(B) Technical assistance.--The agreement required by
            subparagraph (A) shall--
                    ``(i) specify the kind of technical assistance to be
                provided under the program;
                    ``(ii) include appropriate provisions regarding
                information sharing among the territories; and
                    ``(iii) delineate the oversight role and
                responsibilities of the territories and the Secretary.
                ``(C) Review and revision of agreement.--The agreement
            entered into under subparagraph (A) shall be reevaluated and,
            as necessary, revised, at least every 2 years.
                ``(D) Existing agreements.--With respect to an agreement
            under this subsection or an agreement entered into under
            section 215 of this title as in effect on the day before the
            date of enactment of this subsection--
                    ``(i) the agreement shall continue in force until
                replaced by an agreement entered into in accordance with
                subparagraph (A); and
                    ``(ii) amounts made available under this subsection
                under the existing agreement shall be available for
                obligation or expenditure so long as the agreement, or the
                existing agreement entered into under subparagraph (A), is
                in effect.
            ``(6) Eligible uses of funds.--
                ``(A) In general.--Funds made available under this
            subsection may be used only for the following projects and
            activities carried out in a territory:
                    ``(i) Eligible surface transportation program projects
                described in section 133(b).
                    ``(ii) Cost-effective, preventive maintenance
                consistent with section 116(e).
                    ``(iii) Ferry boats, terminal facilities, and
                approaches, in accordance with subsections (b) and (c) of
                section 129.
                    ``(iv) Engineering and economic surveys and
                investigations for the planning, and the financing, of
                future highway programs.
                    ``(v) Studies of the economy, safety, and convenience
                of highway use.
                    ``(vi) The regulation and equitable taxation of highway
                use.
                    ``(vii) Such research and development as are necessary
                in connection with the planning, design, and maintenance of
                the highway system.
                ``(B) Prohibition on use of funds for routine
            maintenance.--None of the funds made available under this
            subsection shall be obligated or expended for routine
            maintenance.
            ``(7) Location of projects.--Territorial highway program
        projects (other than those described in paragraphs (2), (4), (7),
        (8), (14), and (19) of section 133(b)) may not be undertaken on
        roads functionally classified as local.''.
        (b) Conforming Amendments.--
            (1) Technical and conforming amendment.--The analysis for
        chapter 1 of title 23, United States Code, is amended by striking
        the item relating to section 165 and inserting the following:

    ``165. Territorial and Puerto Rico highway program.''.

            (2) Territorial highway program.--
                (A) Repeal.--Section 215 of title 23, United States Code,
            is repealed.
                (B) Technical and conforming amendment.--The analysis for
            chapter 2 of title 23, United States Code, is amended by
            striking the item relating to section 215.
                (C) Duncan hunter national defense authorization act for
            fiscal year 2009.--Section 3512(e) of the Duncan Hunter
            National Defense Authorization Act for Fiscal Year 2009 (48
            U.S.C. 1421r(e)) is amended by striking ``section 215'' and
            inserting ``section 165''.
    SEC. 1115. NATIONAL FREIGHT POLICY.
        (a) In General.--Chapter 1 of title 23, United States Code, is
    amended by adding at the end the following:
    ``Sec. 167. National freight policy
        ``(a) In General.--It is the policy of the United States to improve
    the condition and performance of the national freight network to ensure
    that the national freight network provides the foundation for the
    United States to compete in the global economy and achieve each goal
    described in subsection (b).
        ``(b) Goals.--The goals of the national freight policy are--
            ``(1) to invest in infrastructure improvements and to implement
        operational improvements that--
                ``(A) strengthen the contribution of the national freight
            network to the economic competitiveness of the United States;
                ``(B) reduce congestion; and
                ``(C) increase productivity, particularly for domestic
            industries and businesses that create high-value jobs;
            ``(2) to improve the safety, security, and resilience of
        freight transportation;
            ``(3) to improve the state of good repair of the national
        freight network;
            ``(4) to use advanced technology to improve the safety and
        efficiency of the national freight network;
            ``(5) to incorporate concepts of performance, innovation,
        competition, and accountability into the operation and maintenance
        of the national freight network; and
            ``(6) to improve the economic efficiency of the national
        freight network.
            ``(7) to reduce the environmental impacts of freight movement
        on the national freight network;
        ``(c) Establishment of a National Freight Network.--
            ``(1) In general.--The Secretary shall establish a national
        freight network in accordance with this section to assist States in
        strategically directing resources toward improved system
        performance for efficient movement of freight on highways,
        including national highway system, freight intermodal connectors
        and aerotropolis transportation systems.
            ``(2) Network components.--The national freight network shall
        consist of--
                ``(A) the primary freight network, as designated by the
            Secretary under subsection (d) (referred to in this section as
            the `primary freight network') as most critical to the movement
            of freight;
                ``(B) the portions of the Interstate System not designated
            as part of the primary freight network; and
                ``(C) critical rural freight corridors established under
            subsection (e).
        ``(d) Designation of Primary Freight Network.--
            ``(1) Initial designation of primary freight network.--
                ``(A) Designation.--Not later than 1 year after the date of
            enactment of this section, the Secretary shall designate a
            primary freight network--
                    ``(i) based on an inventory of national freight volume
                conducted by the Administrator of the Federal Highway
                Administration, in consultation with stakeholders,
                including system users, transport providers, and States;
                and
                    ``(ii) that shall be comprised of not more than 27,000
                centerline miles of existing roadways that are most
                critical to the movement of freight.
                ``(B) Factors for designation.--In designating the primary
            freight network, the Secretary shall consider--
                    ``(i) the origins and destinations of freight movement
                in the United States;
                    ``(ii) the total freight tonnage and value of freight
                moved by highways;
                    ``(iii) the percentage of annual average daily truck
                traffic in the annual average daily traffic on principal
                arterials;
                    ``(iv) the annual average daily truck traffic on
                principal arterials;
                    ``(v) land and maritime ports of entry;
                    ``(vi) access to energy exploration, development,
                installation, or production areas;
                    ``(vii) population centers; and
                    ``(viii) network connectivity.
            ``(2) Additional miles on primary freight network.--In addition
        to the miles initially designated under paragraph (1), the
        Secretary may increase the number of miles designated as part of
        the primary freight network by not more than 3,000 additional
        centerline miles of roadways (which may include existing or planned
        roads) critical to future efficient movement of goods on the
        primary freight network.
            ``(3) Redesignation of primary freight network.--Effective
        beginning 10 years after the designation of the primary freight
        network and every 10 years thereafter, using the designation
        factors described in paragraph (1), the Secretary shall redesignate
        the primary freight network (including additional mileage described
        in paragraph (2)).
        ``(e) Critical Rural Freight Corridors.--A State may designate a
    road within the borders of the State as a critical rural freight
    corridor if the road--
            ``(1) is a rural principal arterial roadway and has a minimum
        of 25 percent of the annual average daily traffic of the road
        measured in passenger vehicle equivalent units from trucks (FHWA
        vehicle class 8 to 13);
            ``(2) provides access to energy exploration, development,
        installation, or production areas;
            ``(3) connects the primary freight network, a roadway described
        in paragraph (1) or (2), or Interstate System to facilities that
        handle more than--
                ``(A) 50,000 20-foot equivalent units per year; or
                ``(B) 500,000 tons per year of bulk commodities.
        ``(f) National Freight Strategic Plan.--
            ``(1) Initial development of national freight strategic plan.--
        Not later than 3 years after the date of enactment of this section,
        the Secretary shall, in consultation with State departments of
        transportation and other appropriate public and private
        transportation stakeholders, develop and post on the Department of
        Transportation public website a national freight strategic plan
        that shall include--
                ``(A) an assessment of the condition and performance of the
            national freight network;
                ``(B) an identification of highway bottlenecks on the
            national freight network that create significant freight
            congestion problems, based on a quantitative methodology
            developed by the Secretary, which shall, at a minimum,
            include--
                    ``(i) information from the Freight Analysis Network of
                the Federal Highway Administration; and
                    ``(ii) to the maximum extent practicable, an estimate
                of the cost of addressing each bottleneck and any
                operational improvements that could be implemented;
                ``(C) forecasts of freight volumes for the 20-year period
            beginning in the year during which the plan is issued;
                ``(D) an identification of major trade gateways and
            national freight corridors that connect major population
            centers, trade gateways, and other major freight generators for
            current and forecasted traffic and freight volumes, the
            identification of which shall be revised, as appropriate, in
            subsequent plans;
                ``(E) an assessment of statutory, regulatory,
            technological, institutional, financial, and other barriers to
            improved freight transportation performance (including
            opportunities for overcoming the barriers);
                ``(F) an identification of routes providing access to
            energy exploration, development, installation, or production
            areas;
                ``(G) best practices for improving the performance of the
            national freight network;
                ``(H) best practices to mitigate the impacts of freight
            movement on communities;
                ``(I) a process for addressing multistate projects and
            encouraging jurisdictions to collaborate; and
                ``(J) strategies to improve freight intermodal
            connectivity.
            ``(2) Updates to national freight strategic plan.--Not later
        than 5 years after the date of completion of the first national
        freight strategic plan under paragraph (1), and every 5 years
        thereafter, the Secretary shall update and repost on the Department
        of Transportation public website a revised national freight
        strategic plan.
        ``(g) Freight Transportation Conditions and Performance Reports.--
    Not later than 2 years after the date of enactment of this section, and
    biennially thereafter, the Secretary shall prepare a report that
    contains a description of the conditions and performance of the
    national freight network in the United States.
        ``(h) Transportation Investment Data and Planning Tools.--
            ``(1) In general.--Not later than 1 year after the date of
        enactment of this section, the Secretary shall--
                ``(A) begin development of new tools and improvement of
            existing tools or improve existing tools to support an outcome-
            oriented, performance-based approach to evaluate proposed
            freight-related and other transportation projects, including--
                    ``(i) methodologies for systematic analysis of benefits
                and costs;
                    ``(ii) tools for ensuring that the evaluation of
                freight-related and other transportation projects could
                consider safety, economic competitiveness, environmental
                sustainability, and system condition in the project
                selection process; and
                    ``(iii) other elements to assist in effective
                transportation planning;
                ``(B) identify transportation-related model data elements
            to support a broad range of evaluation methods and techniques
            to assist in making transportation investment decisions; and
                ``(C) at a minimum, in consultation with other relevant
            Federal agencies, consider any improvements to existing freight
            flow data collection efforts that could reduce identified
            freight data gaps and deficiencies and help improve forecasts
            of freight transportation demand.
            ``(2) Consultation.--The Secretary shall consult with Federal,
        State, and other stakeholders to develop, improve, and implement
        the tools and collect the data in paragraph (1).
        ``(i) Definition of Aerotropolis Transportation System.--In this
    section, the term `aerotropolis transportation system' means a planned
    and coordinated multimodal freight and passenger transportation network
    that, as determined by the Secretary, provides efficient, cost-
    effective, sustainable, and intermodal connectivity to a defined region
    of economic significance centered around a major airport.''.
        (b) Conforming Amendment.--The analysis for chapter 1 of title 23,
    United States Code, is amended by adding at the end the following:

    ``167. National freight program.''.
    SEC. 1116. PRIORITIZATION OF PROJECTS TO IMPROVE FREIGHT MOVEMENT.
        (a) In General.--Notwithstanding section 120 of title 23, United
    States Code, the Secretary may increase the Federal share payable for
    any project to 95 percent for projects on the Interstate System and 90
    percent for any other project if the Secretary certifies that the
    project meets the requirements of this section.
        (b) Increased Funding.--To be eligible for the increased Federal
    funding share under this section, a project shall--
            (1) demonstrate the improvement made by the project to the
        efficient movement of freight, including making progress towards
        meeting performance targets for freight movement established under
        section 150(d) of title 23, United States Code; and
            (2) be identified in a State freight plan developed pursuant to
        section 1118.
        (c) Eligible Projects.--Eligible projects to improve the movement
    of freight under this section may include, but are not limited to--
            (1) construction, reconstruction, rehabilitation, and
        operational improvements directly relating to improving freight
        movement;
            (2) intelligent transportation systems and other technology to
        improve the flow of freight;
            (3) efforts to reduce the environmental impacts of freight
        movement on the primary freight network;
            (4) railway-highway grade separation;
            (5) geometric improvements to interchanges and ramps.
            (6) truck-only lanes;
            (7) climbing and runaway truck lanes;
            (8) truck parking facilities eligible for funding under section
        1401;
            (9) real-time traffic, truck parking, roadway condition, and
        multimodal transportation information systems;
            (10) improvements to freight intermodal connectors; and
            (11) improvements to truck bottlenecks.
    SEC. 1117. STATE FREIGHT ADVISORY COMMITTEES.
        (a) In General.--The Secretary shall encourage each State to
    establish a freight advisory committee consisting of a representative
    cross-section of public and private sector freight stakeholders,
    including representatives of ports, shippers, carriers, freight-related
    associations, the freight industry workforce, the transportation
    department of the State, and local governments.
        (b) Role of Committee.--A freight advisory committee of a State
    described in subsection (a) shall--
            (1) advise the State on freight-related priorities, issues,
        projects, and funding needs;
            (2) serve as a forum for discussion for State transportation
        decisions affecting freight mobility;
            (3) communicate and coordinate regional priorities with other
        organizations;
            (4) promote the sharing of information between the private and
        public sectors on freight issues; and
            (5) participate in the development of the freight plan of the
        State described in section 1118.
    SEC. 1118. STATE FREIGHT PLANS.
        (a) In General.--The Secretary shall encourage each State to
    develop a freight plan that provides a comprehensive plan for the
    immediate and long-range planning activities and investments of the
    State with respect to freight.
        (b) Plan Contents.--A freight plan described in subsection (a)
    shall include, at a minimum--
            (1) an identification of significant freight system trends,
        needs, and issues with respect to the State;
            (2) a description of the freight policies, strategies, and
        performance measures that will guide the freight-related
        transportation investment decisions of the State;
            (3) a description of how the plan will improve the ability of
        the State to meet the national freight goals established under
        section 167 of title 23, United States Code;
            (4) evidence of consideration of innovative technologies and
        operational strategies, including intelligent transportation
        systems, that improve the safety and efficiency of freight
        movement;
            (5) in the case of routes on which travel by heavy vehicles
        (including mining, agricultural, energy cargo or equipment, and
        timber vehicles) is projected to substantially deteriorate the
        condition of roadways, a description of improvements that may be
        required to reduce or impede the deterioration; and
            (6) an inventory of facilities with freight mobility issues,
        such as truck bottlenecks, within the State, and a description of
        the strategies the State is employing to address those freight
        mobility issues.
        (c) Relationship to Long-range Plan.--A freight plan described in
    subsection (a) may be developed separate from or incorporated into the
    statewide strategic long-range transportation plan required by section
    135 of title 23, United States Code.
    SEC. 1119. FEDERAL LANDS AND TRIBAL TRANSPORTATION PROGRAMS.
        (a) In General.--Chapter 2 of title 23, United States Code, is
    amended by striking sections 201 through 204 and inserting the
    following:
    ``Sec. 201. Federal lands and tribal transportation programs
        ``(a) Purpose.--Recognizing the need for all public Federal and
    tribal transportation facilities to be treated under uniform policies
    similar to the policies that apply to Federal-aid highways and other
    public transportation facilities, the Secretary of Transportation, in
    collaboration with the Secretaries of the appropriate Federal land
    management agencies, shall coordinate a uniform policy for all public
    Federal and tribal transportation facilities that shall apply to
    Federal lands transportation facilities, tribal transportation
    facilities, and Federal lands access transportation facilities.
        ``(b) Availability of Funds.--
            ``(1) Availability.--Funds authorized for the tribal
        transportation program, the Federal lands transportation program,
        and the Federal lands access program shall be available for
        contract upon apportionment, or on October 1 of the fiscal year for
        which the funds were authorized if no apportionment is required.
            ``(2) Amount remaining.--Any amount remaining unexpended for a
        period of 3 years after the close of the fiscal year for which the
        funds were authorized shall lapse.
            ``(3) Obligations.--The Secretary of the department responsible
        for the administration of funds under this subsection may incur
        obligations, approve projects, and enter into contracts under such
        authorizations, which shall be considered to be contractual
        obligations of the United States for the payment of the cost
        thereof, the funds of which shall be considered to have been
        expended when obligated.
            ``(4) Expenditure.--
                ``(A) In general.--Any funds authorized for any fiscal year
            after the date of enactment of this section under the Federal
            lands transportation program, the Federal lands access program,
            and the tribal transportation program shall be considered to
            have been expended if a sum equal to the total of the sums
            authorized for the fiscal year and previous fiscal years have
            been obligated.
                ``(B) Credited funds.--Any funds described in subparagraph
            (A) that are released by payment of final voucher or
            modification of project authorizations shall be--
                    ``(i) credited to the balance of unobligated
                authorizations; and
                    ``(ii) immediately available for expenditure.
            ``(5) Applicability.--This section shall not apply to funds
        authorized before the date of enactment of this paragraph.
            ``(6) Contractual obligation.--
                ``(A) In general.--Notwithstanding any other provision of
            law (including regulations), the authorization by the
            Secretary, or the Secretary of the appropriate Federal land
            management agency if the agency is the contracting office, of
            engineering and related work for the development, design, and
            acquisition associated with a construction project, whether
            performed by contract or agreement authorized by law, or the
            approval by the Secretary of plans, specifications, and
            estimates for construction of a project, shall be considered to
            constitute a contractual obligation of the Federal Government
            to pay the total eligible cost of--
                    ``(i) any project funded under this title; and
                    ``(ii) any project funded pursuant to agreements
                authorized by this title or any other title.
                ``(B) Effect.--Nothing in this paragraph--
                    ``(i) affects the application of the Federal share
                associated with the project being undertaken under this
                section; or
                    ``(ii) modifies the point of obligation associated with
                Federal salaries and expenses.
            ``(7) Federal share.--
                ``(A) Tribal and federal lands transportation program.--The
            Federal share of the cost of a project carried out under the
            Federal lands transportation program or the tribal
            transportation program shall be 100 percent.
                ``(B) Federal lands access program.--The Federal share of
            the cost of a project carried out under the Federal lands
            access program shall be determined in accordance with section
            120.
        ``(c) Transportation Planning.--
            ``(1) Transportation planning procedures.--In consultation with
        the Secretary of each appropriate Federal land management agency,
        the Secretary shall implement transportation planning procedures
        for Federal lands and tribal transportation facilities that are
        consistent with the planning processes required under sections 134
        and 135.
            ``(2) Approval of transportation improvement program.--The
        transportation improvement program developed as a part of the
        transportation planning process under this section shall be
        approved by the Secretary.
            ``(3) Inclusion in other plans.--Each regionally significant
        tribal transportation program, Federal lands transportation
        program, and Federal lands access program project shall be--
                ``(A) developed in cooperation with State and metropolitan
            planning organizations; and
                ``(B) included in appropriate tribal transportation program
            plans, Federal lands transportation program plans, Federal
            lands access program plans, State and metropolitan plans, and
            transportation improvement programs.
            ``(4) Inclusion in state programs.--The approved tribal
        transportation program, Federal lands transportation program, and
        Federal lands access program transportation improvement programs
        shall be included in appropriate State and metropolitan planning
        organization plans and programs without further action on the
        transportation improvement program.
            ``(5) Asset management.--The Secretary and the Secretary of
        each appropriate Federal land management agency shall, to the
        extent appropriate, implement safety, bridge, pavement, and
        congestion management systems for facilities funded under the
        tribal transportation program and the Federal lands transportation
        program in support of asset management.
            ``(6) Data collection.--
                ``(A) Data collection.--The Secretaries of the appropriate
            Federal land management agencies shall collect and report data
            necessary to implement the Federal lands transportation
            program, the Federal lands access program, and the tribal
            transportation program in accordance with the Indian Self-
            Determination and Education Assistance Act (25 U.S.C. 450 et
            seq.), including--
                    ``(i) inventory and condition information on Federal
                lands transportation facilities and tribal transportation
                facilities; and
                    ``(ii) bridge inspection and inventory information on
                any Federal bridge open to the public.
                ``(B) Standards.--The Secretary, in coordination with the
            Secretaries of the appropriate Federal land management
            agencies, shall define the collection and reporting data
            standards.
            ``(7) Administrative expenses.--To implement the activities
        described in this subsection, including direct support of
        transportation planning activities among Federal land management
        agencies, the Secretary may use not more than 5 percent for each
        fiscal year of the funds authorized for programs under sections 203
        and 204.
        ``(d) Reimbursable Agreements.--In carrying out work under
    reimbursable agreements with any State, local, or tribal government
    under this title, the Secretary--
            ``(1) may, without regard to any other provision of law
        (including regulations), record obligations against accounts
        receivable from the entity; and
            ``(2) shall credit amounts received from the entity to the
        appropriate account, which shall occur not later than 90 days after
        the date of the original request by the Secretary for payment.
        ``(e) Transfers.--
            ``(1) In general.--To enable the efficient use of funds made
        available for the Federal lands transportation program and the
        Federal lands access program, the funds may be transferred by the
        Secretary within and between each program with the concurrence of,
        as appropriate--
                ``(A) the Secretary;
                ``(B) the affected Secretaries of the respective Federal
            land management agencies;
                ``(C) State departments of transportation; and
                ``(D) local government agencies.
            ``(2) Credit.--The funds described in paragraph (1) shall be
        credited back to the loaning entity with funds that are currently
        available for obligation at the time of the credit.
    ``Sec. 202. Tribal transportation program
        ``(a) Use of Funds.--
            ``(1) In general.--Funds made available under the tribal
        transportation program shall be used by the Secretary of
        Transportation and the Secretary of the Interior to pay the costs
        of--
                ``(A)(i) transportation planning, research, maintenance,
            engineering, rehabilitation, restoration, construction, and
            reconstruction of tribal transportation facilities;
                ``(ii) adjacent vehicular parking areas;
                ``(iii) interpretive signage;
                ``(iv) acquisition of necessary scenic easements and scenic
            or historic sites;
                ``(v) provisions for pedestrians and bicycles;
                ``(vi) environmental mitigation in or adjacent to tribal
            land--
                    ``(I) to improve public safety and reduce vehicle-
                caused wildlife mortality while maintaining habitat
                connectivity; and
                    ``(II) to mitigate the damage to wildlife, aquatic
                organism passage, habitat, and ecosystem connectivity,
                including the costs of constructing, maintaining,
                replacing, or removing culverts and bridges, as
                appropriate;
                ``(vii) construction and reconstruction of roadside rest
            areas, including sanitary and water facilities; and
                ``(viii) other appropriate public road facilities as
            determined by the Secretary;
                ``(B) operation and maintenance of transit programs and
            facilities that are located on, or provide access to, tribal
            land, or are administered by a tribal government; and
                ``(C) any transportation project eligible for assistance
            under this title that is located within, or that provides
            access to, tribal land, or is associated with a tribal
            government.
            ``(2) Contract.--In connection with an activity described in
        paragraph (1), the Secretary and the Secretary of the Interior may
        enter into a contract or other appropriate agreement with respect
        to the activity with--
                ``(A) a State (including a political subdivision of a
            State); or
                ``(B) an Indian tribe.
            ``(3) Indian labor.--Indian labor may be employed, in
        accordance with such rules and regulations as may be promulgated by
        the Secretary of the Interior, to carry out any construction or
        other activity described in paragraph (1).
            ``(4) Federal employment.--No maximum limitation on Federal
        employment shall be applicable to the construction or improvement
        of tribal transportation facilities.
            ``(5) Funds for construction and improvement.--All funds made
        available for the construction and improvement of tribal
        transportation facilities shall be administered in conformity with
        regulations and agreements jointly approved by the Secretary and
        the Secretary of the Interior.
            ``(6) Administrative expenses.--Of the funds authorized to be
        appropriated for the tribal transportation program, not more than 6
        percent may be used by the Secretary or the Secretary of the
        Interior for program management and oversight and project-related
        administrative expenses.
            ``(7) Tribal technical assistance centers.--The Secretary of
        the Interior may reserve amounts from administrative funds of the
        Bureau of Indian Affairs that are associated with the tribal
        transportation program to fund tribal technical assistance centers
        under section 504(b).
            ``(8) Maintenance.--
                ``(A) Use of funds.--Notwithstanding any other provision of
            this title, of the amount of funds allocated to an Indian tribe
            from the tribal transportation program, for the purpose of
            maintenance (excluding road sealing, which shall not be subject
            to any limitation), the Secretary shall not use an amount more
            than the greater of--
                    ``(i) an amount equal to 25 percent; or
                    ``(ii) $500,000.
                ``(B) Responsibility of bureau of indian affairs and
            secretary of the interior.--
                    ``(i) Bureau of indian affairs.--The Bureau of Indian
                Affairs shall retain primary responsibility, including
                annual funding request responsibility, for Bureau of Indian
                Affairs road maintenance programs on Indian reservations.
                    ``(ii) Secretary of the interior.--The Secretary of the
                Interior shall ensure that funding made available under
                this subsection for maintenance of tribal transportation
                facilities for each fiscal year is supplementary to, and
                not in lieu of, any obligation of funds by the Bureau of
                Indian Affairs for road maintenance programs on Indian
                reservations.
                ``(C) Tribal-state road maintenance agreements.--
                    ``(i) In general.--An Indian tribe and a State may
                enter into a road maintenance agreement under which an
                Indian tribe shall assume the responsibility of the State
                for--

                        ``(I) tribal transportation facilities; and
                        ``(II) roads providing access to tribal
                    transportation facilities.

                    ``(ii) Requirements.--Agreements entered into under
                clause (i) shall--

                        ``(I) be negotiated between the State and the
                    Indian tribe; and
                        ``(II) not require the approval of the Secretary.

            ``(9) Cooperation.--
                ``(A) In general.--The cooperation of States, counties, or
            other local subdivisions may be accepted in construction and
            improvement.
                ``(B) Funds received.--Any funds received from a State,
            county, or local subdivision shall be credited to
            appropriations available for the tribal transportation program.
            ``(10) Competitive bidding.--
                ``(A) Construction.--
                    ``(i) In general.--Subject to clause (ii) and
                subparagraph (B), construction of each project shall be
                performed by contract awarded by competitive bidding.
                    ``(ii) Exception.--Clause (i) shall not apply if the
                Secretary or the Secretary of the Interior affirmatively
                finds that, under the circumstances relating to the
                project, a different method is in the public interest.
                ``(B) Applicability.--Notwithstanding subparagraph (A),
            section 23 of the Act of June 25, 1910 (25 U.S.C. 47) and
            section 7(b) of the Indian Self-Determination and Education
            Assistance Act (25 U.S.C. 450e(b)) shall apply to all funds
            administered by the Secretary of the Interior that are
            appropriated for the construction and improvement of tribal
            transportation facilities.
        ``(b) Funds Distribution.--
            ``(1) National tribal transportation facility inventory.--
                ``(A) In general.--The Secretary of the Interior, in
            cooperation with the Secretary, shall maintain a comprehensive
            national inventory of tribal transportation facilities that are
            eligible for assistance under the tribal transportation
            program.
                ``(B) Transportation facilities included in the
            inventory.--For purposes of identifying the tribal
            transportation system and determining the relative
            transportation needs among Indian tribes, the Secretary shall
            include, at a minimum, transportation facilities that are
            eligible for assistance under the tribal transportation program
            that an Indian tribe has requested, including facilities that--
                    ``(i) were included in the Bureau of Indian Affairs
                system inventory prior to October 1, 2004;
                    ``(ii) are owned by an Indian tribal government;
                    ``(iii) are owned by the Bureau of Indian Affairs;
                    ``(iv) were constructed or reconstructed with funds
                from the Highway Trust Fund under the Indian reservation
                roads program since 1983;
                    ``(v) are public roads or bridges within the exterior
                boundary of Indian reservations, Alaska Native villages,
                and other recognized Indian communities (including
                communities in former Indian reservations in the State of
                Oklahoma) in which the majority of residents are American
                Indians or Alaska Natives;
                    ``(vi) are public roads within or providing access to
                an Indian reservation or Indian trust land or restricted
                Indian land that is not subject to fee title alienation
                without the approval of the Federal Government, or Indian
                or Alaska Native villages, groups, or communities in which
                Indians and Alaska Natives reside, whom the Secretary of
                the Interior has determined are eligible for services
                generally available to Indians under Federal laws
                specifically applicable to Indians; or
                    ``(vii) are primary access routes proposed by tribal
                governments, including roads between villages, roads to
                landfills, roads to drinking water sources, roads to
                natural resources identified for economic development, and
                roads that provide access to intermodal terminals, such as
                airports, harbors, or boat landings.
                ``(C) Limitation on primary access routes.--For purposes of
            this paragraph, a proposed primary access route is the shortest
            practicable route connecting 2 points of the proposed route.
                ``(D) Additional facilities.--Nothing in this paragraph
            precludes the Secretary from including additional
            transportation facilities that are eligible for funding under
            the tribal transportation program in the inventory used for the
            national funding allocation if such additional facilities are
            included in the inventory in a uniform and consistent manner
            nationally.
                ``(E) Bridges.--All bridges in the inventory shall be
            recorded in the national bridge inventory administered by the
            Secretary under section 144.
            ``(2) Regulations.--Notwithstanding sections 563(a) and 565(a)
        of title 5, the Secretary of the Interior shall maintain any
        regulations governing the tribal transportation program.
            ``(3) Basis for funding formula.--
                ``(A) Basis.--
                    ``(i) In general.--After making the set asides
                authorized under subparagraph (C) and subsections (c), (d),
                and (e) on October 1 of each fiscal year, the Secretary
                shall distribute the remainder authorized to be
                appropriated for the tribal transportation program under
                this section among Indian tribes as follows:

                        ``(I) For fiscal year 2013--

                            ``(aa) for each Indian tribe, 80 percent of the
                        total relative need distribution factor and
                        population adjustment factor for the fiscal year
                        2011 funding amount made available to that Indian
                        tribe; and
                            ``(bb) the remainder using tribal shares as
                        described in subparagraphs (B) and (C).

                        ``(II) For fiscal year 2014--

                            ``(aa) for each Indian tribe, 60 percent of the
                        total relative need distribution factor and
                        population adjustment factor for the fiscal year
                        2011 funding amount made available to that Indian
                        tribe; and
                            ``(bb) the remainder using tribal shares as
                        described in subparagraphs (B) and (C).

                        ``(III) For fiscal year 2015--

                            ``(aa) for each Indian tribe, 40 percent of the
                        total relative need distribution factor and
                        population adjustment factor for the fiscal year
                        2011 funding amount made available to that Indian
                        tribe; and
                            ``(bb) the remainder using tribal shares as
                        described in subparagraphs (B) and (C).

                        ``(IV) For fiscal year 2016 and thereafter--

                            ``(aa) for each Indian tribe, 20 percent of the
                        total relative need distribution factor and
                        population adjustment factor for the fiscal year
                        2011 funding amount made available to that Indian
                        tribe; and
                            ``(bb) the remainder using tribal shares as
                        described in subparagraphs (B) and (C).
                    ``(ii) Tribal high priority projects.--The High
                Priority Projects program as included in the Tribal
                Transportation Allocation Methodology of part 170 of title
                25, Code of Federal Regulations (as in effect on the date
                of enactment of the MAP-21), shall not continue in effect.
                ``(B) Tribal shares.--Tribal shares under this program
            shall be determined using the national tribal transportation
            facility inventory as calculated for fiscal year 2012, and the
            most recent data on American Indian and Alaska Native
            population within each Indian tribe's American Indian/Alaska
            Native Reservation or Statistical Area, as computed under the
            Native American Housing Assistance and Self-Determination Act
            of 1996 (25 U.S.C. 4101 et seq.), in the following manner:
                    ``(i) 27 percent in the ratio that the total eligible
                road mileage in each tribe bears to the total eligible road
                mileage of all American Indians and Alaskan Natives. For
                the purposes of this calculation, eligible road mileage
                shall be computed based on the inventory described in
                paragraph (1), using only facilities included in the
                inventory described in clause (i), (ii), or (iii) of
                paragraph (1)(B).
                    ``(ii) 39 percent in the ratio that the total
                population in each tribe bears to the total population of
                all American Indians and Alaskan Natives.
                    ``(iii) 34 percent shall be divided equally among each
                Bureau of Indian Affairs region. Within each region, such
                share of funds shall be distributed to each Indian tribe in
                the ratio that the average total relative need distribution
                factors and population adjustment factors from fiscal years
                2005 through 2011 for a tribe bears to the average total of
                relative need distribution factors and population
                adjustment factors for fiscal years 2005 through 2011 in
                that region.
                ``(C) Tribal supplemental funding.--
                    ``(i) Tribal supplemental funding amount.--Of funds
                made available for each fiscal year for the tribal
                transportation program, the Secretary shall set aside the
                following amount for a tribal supplemental program:

                        ``(I) If the amount made available for the tribal
                    transportation program is less than or equal to
                    $275,000,000, 30 percent of such amount.
                        ``(II) If the amount made available for the tribal
                    transportation program exceeds $275,000,000--

                            ``(aa) $82,500,000; plus
                            ``(bb) 12.5 percent of the amount made
                        available for the tribal transportation program in
                        excess of $275,000,000.
                    ``(ii) Tribal supplemental allocation.--The Secretary
                shall distribute tribal supplemental funds as follows:

                        ``(I) Distribution among regions.--Of the amounts
                    set aside under clause (i), the Secretary shall
                    distribute to each region of the Bureau of Indian
                    Affairs a share of tribal supplemental funds in
                    proportion to the regional total of tribal shares based
                    on the cumulative tribal shares of all Indian tribes
                    within such region under subparagraph (B).
                        ``(II) Distribution within a region.--Of the amount
                    that a region receives under subclause (I), the
                    Secretary shall distribute tribal supplemental funding
                    among Indian tribes within such region as follows:

                            ``(aa) Tribal supplemental amounts.--The
                        Secretary shall determine--
                                ``(AA) which such Indian tribes would be
                            entitled under subparagraph (A) to receive in a
                            fiscal year less funding than they would
                            receive in fiscal year 2011 pursuant to the
                            relative need distribution factor and
                            population adjustment factor, as described in
                            subpart C of part 170 of title 25, Code of
                            Federal Regulations (as in effect on the date
                            of enactment of the MAP-21); and
                                ``(BB) the combined amount that such Indian
                            tribes would be entitled to receive in fiscal
                            year 2011 pursuant to such relative need
                            distribution factor and population adjustment
                            factor in excess of the amount that they would
                            be entitled to receive in the fiscal year under
                            subparagraph (B).
                            ``(bb) Combined amount.--Subject to subclause
                        (III), the Secretary shall distribute to each
                        Indian tribe that meets the criteria described in
                        item (aa)(AA) a share of funding under this
                        subparagraph in proportion to the share of the
                        combined amount determined under item (aa)(BB)
                        attributable to such Indian tribe.

                        ``(III) Ceiling.--An Indian tribe may not receive
                    under subclause (II) and based on its tribal share
                    under subparagraph (A) a combined amount that exceeds
                    the amount that such Indian tribe would be entitled to
                    receive in fiscal year 2011 pursuant to the relative
                    need distribution factor and population adjustment
                    factor, as described in subpart C of part 170 of title
                    25, Code of Federal Regulations (as in effect on the
                    date of enactment of the MAP-21).
                        ``(IV) Other amounts.--If the amount made available
                    for a region under subclause (I) exceeds the amount
                    distributed among Indian tribes within that region
                    under subclause (II), the Secretary shall distribute
                    the remainder of such region's funding under such
                    subclause among all Indian tribes in that region in
                    proportion to the combined amount that each such Indian
                    tribe received under subparagraph (A) and subclauses
                    (I), (II), and (III).]

            ``(4) Transferred funds.--
                ``(A) In general.--Not later than 30 days after the date on
            which funds are made available to the Secretary of the Interior
            under this paragraph, the funds shall be distributed to, and
            made available for immediate use by, eligible Indian tribes, in
            accordance with the formula for distribution of funds under the
            tribal transportation program.
                ``(B) Use of funds.--Notwithstanding any other provision of
            this section, funds made available to Indian tribes for tribal
            transportation facilities shall be expended on projects
            identified in a transportation improvement program approved by
            the Secretary.
            ``(5) Health and safety assurances.--Notwithstanding any other
        provision of law, an Indian tribal government may approve plans,
        specifications, and estimates and commence road and bridge
        construction with funds made available from the tribal
        transportation program through a contract or agreement under Indian
        Self-Determination and Education Assistance Act (25 U.S.C. 450 et
        seq.), if the Indian tribal government--
                ``(A) provides assurances in the contract or agreement that
            the construction will meet or exceed applicable health and
            safety standards;
                ``(B) obtains the advance review of the plans and
            specifications from a State-licensed civil engineer that has
            certified that the plans and specifications meet or exceed the
            applicable health and safety standards; and
                ``(C) provides a copy of the certification under
            subparagraph (A) to the Deputy Assistant Secretary for Tribal
            Government Affairs, Department of Transportation, or the
            Assistant Secretary for Indian Affairs, Department of the
            Interior, as appropriate.
            ``(6) 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 through the
            Secretary of the Interior under this chapter and section 125(e)
            for tribal transportation facilities to pay for the costs of
            programs, services, functions, and activities, or portions of
            programs, services, functions, or activities, that are
            specifically or functionally related to the cost of planning,
            research, engineering, and construction of any tribal
            transportation facility 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
            Indian Self-Determination and Education Assistance Act (25
            U.S.C. 450 et seq.).
                ``(B) Exclusion of agency participation.--All funds,
            including contract support costs, for programs, functions,
            services, or activities, or portions of programs, services,
            functions, or activities, 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 has previously carried out such
            programs, functions, services, or activities.
            ``(7) 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 chapter for a tribal transportation
            facility program or project 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, design, engineering, construction, and maintenance
            relating to the program or project.
                ``(B) Exclusion of agency participation.--In accordance
            with subparagraph (A), all funds, including contract support
            costs, for a program or 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 tribal
            transportation program, the programs, functions, services, or
            activities involved.
                ``(C) Consortia.--Two or more Indian tribes that are
            otherwise eligible to participate in a program or project to
            which this chapter 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) Secretary as signatory.--Notwithstanding any other
            provision of law, the Secretary is authorized to enter into a
            funding agreement with an Indian tribal government to carry out
            a tribal transportation facility program or project under
            subparagraph (A) that is located on an Indian reservation or
            provides access to the reservation or a community of the Indian
            tribe.
                ``(E) Funding.--The amount an Indian tribal government
            receives for a program or project under subparagraph (A) shall
            equal the sum of the funding that the Indian tribal government
            would otherwise receive for the program or project in
            accordance with the funding formula established under this
            subsection and such additional amounts 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 program or project.
                ``(F) Eligibility.--
                    ``(i) In general.--Subject to clause (ii) and the
                approval of the Secretary, funds may be made available
                under subparagraph (A) to an Indian tribal government for a
                program or project in a fiscal year only if the Indian
                tribal government requesting such funds demonstrates to the
                satisfaction of the Secretary financial stability and
                financial management capability during the 3 fiscal years
                immediately preceding the fiscal year for which the request
                is being made.
                    ``(ii) Considerations.--An Indian tribal government
                that had no uncorrected significant and material audit
                exceptions in the required annual audit of the contracts or
                self-governance funding agreements made by the Indian tribe
                with any Federal agency under the Indian Self-Determination
                and Education Assistance Act (25 U.S.C. 450 et seq.) during
                the 3-fiscal year period referred in clause (i) shall be
                conclusive evidence of the financial stability and
                financial management capability of the Indian tribe for
                purposes of clause (i).
                ``(G) Assumption of functions and duties.--An Indian tribal
            government receiving funding under subparagraph (A) for a
            program or project shall assume all functions and duties that
            the Secretary of the Interior would have performed with respect
            to a program or project 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. 450 et seq.).
                ``(H) Powers.--An Indian tribal government receiving
            funding under subparagraph (A) for a program or 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 program or project under this
            section if the 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. 450 et seq.).
                ``(I) Dispute resolution.--In the event of a disagreement
            between the Secretary or the Secretary of the Interior and an
            Indian tribe over whether a particular function, duty, or power
            may be lawfully transferred to the Indian tribe under the
            Indian Self-Determination and Education Assistance Act (25
            U.S.C. 450 et seq.), the Indian tribe shall have the right to
            pursue all alternative dispute resolution and appeal procedures
            authorized by that Act, including regulations issued to carry
            out the Act.
                ``(J) Termination of contract or agreement.--On the date of
            the termination of a contract or agreement under this section
            by an Indian tribal government, the Secretary shall transfer
            all funds that would have been allocated to the Indian tribal
            government under the contract or agreement to the Secretary of
            the Interior to provide continued transportation services in
            accordance with applicable law.
        ``(c) Planning.--
            ``(1) In general.--For each fiscal year, not more than 2
        percent of the funds made available for the tribal transportation
        program shall be allocated among Indian tribal governments that
        apply for transportation planning pursuant to the Indian Self-
        Determination and Education Assistance Act (25 U.S.C. 450 et seq.).
            ``(2) Requirement.--An Indian tribal government, in cooperation
        with the Secretary of the Interior and, as appropriate, with a
        State, local government, or metropolitan planning organization,
        shall carry out a transportation planning process in accordance
        with section 201(c).
            ``(3) Selection and approval of projects.--A project funded
        under this section shall be--
                ``(A) selected by the Indian tribal government from the
            transportation improvement program; and
                ``(B) subject to the approval of the Secretary of the
            Interior and the Secretary.
        ``(d) Tribal Transportation Facility Bridges.--
            ``(1) Nationwide priority program.--The Secretary shall
        maintain a nationwide priority program for improving deficient
        bridges eligible for the tribal transportation program.
            ``(2) Funding.--Before making any distribution under subsection
        (b), the Secretary shall set aside not more than 2 percent of the
        funds made available under the tribal transportation program for
        each fiscal year to be allocated--
                ``(A) to carry out any planning, design, engineering,
            preconstruction, construction, and inspection of a project to
            replace, rehabilitate, seismically retrofit, paint, apply
            calcium magnesium acetate, sodium acetate/formate, or other
            environmentally acceptable, minimally corrosive anti-icing and
            deicing composition; or
                ``(B) to implement any countermeasure for deficient tribal
            transportation facility bridges, including multiple-pipe
            culverts.
            ``(3) Eligible bridges.--To be eligible to receive funding
        under this subsection, a bridge described in paragraph (1) shall--
                ``(A) have an opening of not less than 20 feet;
                ``(B) be classified as a tribal transportation facility;
            and
                ``(C) be structurally deficient or functionally obsolete.
            ``(4) Approval requirement.--The Secretary may make funds
        available under this subsection for preliminary engineering,
        construction, and construction engineering activities after
        approval of required documentation and verification of eligibility
        in accordance with this title.
        ``(e) Safety.--
            ``(1) Funding.--Before making any distribution under subsection
        (b), the Secretary shall set aside not more than 2 percent of the
        funds made available under the tribal transportation program for
        each fiscal year to be allocated based on an identification and
        analysis of highway safety issues and opportunities on tribal land,
        as determined by the Secretary, on application of the Indian tribal
        governments for eligible projects described in section 148(a)(4).
            ``(2) Project selection.--An Indian tribal government, in
        cooperation with the Secretary of the Interior and, as appropriate,
        with a State, local government, or metropolitan planning
        organization, shall select projects from the transportation
        improvement program, subject to the approval of the Secretary and
        the Secretary of the Interior.
        ``(f) Federal-aid Eligible Projects.--Before approving as a project
    on a tribal transportation facility any project eligible for funds
    apportioned under section 104 in a State, the Secretary shall, for
    projects on tribal transportation facilities, determine that the
    obligation of funds for the project is supplementary to and not in lieu
    of the obligation of a fair and equitable share of funds apportioned to
    the State under section 104.
    ``Sec. 203. Federal lands transportation program
        ``(a) Use of Funds.--
            ``(1) In general.--Funds made available under the Federal lands
        transportation program shall be used by the Secretary of
        Transportation and the Secretary of the appropriate Federal land
        management agency to pay the costs of--
                ``(A) program administration, transportation planning,
            research, preventive maintenance, engineering, rehabilitation,
            restoration, construction, and reconstruction of Federal lands
            transportation facilities, and--
                    ``(i) adjacent vehicular parking areas;
                    ``(ii) acquisition of necessary scenic easements and
                scenic or historic sites;
                    ``(iii) provision for pedestrians and bicycles;
                    ``(iv) environmental mitigation in or adjacent to
                Federal land open to the public--

                        ``(I) to improve public safety and reduce vehicle-
                    caused wildlife mortality while maintaining habitat
                    connectivity; and
                        ``(II) to mitigate the damage to wildlife, aquatic
                    organism passage, habitat, and ecosystem connectivity,
                    including the costs of constructing, maintaining,
                    replacing, or removing culverts and bridges, as
                    appropriate;

                    ``(v) construction and reconstruction of roadside rest
                areas, including sanitary and water facilities;
                    ``(vi) congestion mitigation; and
                    ``(vii) other appropriate public road facilities, as
                determined by the Secretary;
                ``(B) operation and maintenance of transit facilities;
                ``(C) any transportation project eligible for assistance
            under this title that is on a public road within or adjacent
            to, or that provides access to, Federal lands open to the
            public; and
                ``(D) not more $10,000,000 of the amounts made available
            per fiscal year to carry out this section for activities
            eligible under subparagraph (A)(iv).
            ``(2) Contract.--In connection with an activity described in
        paragraph (1), the Secretary and the Secretary of the appropriate
        Federal land management agency may enter into a contract or other
        appropriate agreement with respect to the activity with--
                ``(A) a State (including a political subdivision of a
            State); or
                ``(B) an Indian tribe.
            ``(3) Administration.--All appropriations for the construction
        and improvement of Federal lands transportation facilities shall be
        administered in conformity with regulations and agreements jointly
        approved by the Secretary and the Secretary of the appropriate
        Federal land managing agency.
            ``(4) Cooperation.--
                ``(A) In general.--The cooperation of States, counties, or
            other local subdivisions may be accepted in construction and
            improvement.
                ``(B) Funds received.--Any funds received from a State,
            county, or local subdivision shall be credited to
            appropriations available for the class of Federal lands
            transportation facilities to which the funds were contributed.
            ``(5) Competitive bidding.--
                ``(A) In general.--Subject to subparagraph (B),
            construction of each project shall be performed by contract
            awarded by competitive bidding.
                ``(B) Exception.--Subparagraph (A) shall not apply if the
            Secretary or the Secretary of the appropriate Federal land
            management agency affirmatively finds that, under the
            circumstances relating to the project, a different method is in
            the public interest.
        ``(b) Agency Program Distributions.--
            ``(1) In general.--On October 1, 2011, and on October 1 of each
        fiscal year thereafter, the Secretary shall allocate the sums
        authorized to be appropriated for the fiscal year for the Federal
        lands transportation program on the basis of applications of need,
        as determined by the Secretary--
                ``(A) in consultation with the Secretaries of the
            applicable Federal land management agencies; and
                ``(B) in coordination with the transportation plans
            required under section 201 of the respective transportation
            systems of--
                    ``(i) the National Park Service;
                    ``(ii) the Forest Service;
                    ``(iii) the United States Fish and Wildlife Service;
                    ``(iv) the Corps of Engineers; and
                    ``(v) the Bureau of Land Management.
            ``(2) Applications.--
                ``(A) Requirements.--Each application submitted by a
            Federal land management agency shall include proposed programs
            at various potential funding levels, as defined by the
            Secretary following collaborative discussions with applicable
            Federal land management agencies.
                ``(B) Consideration by secretary.--In evaluating an
            application submitted under subparagraph (A), the Secretary
            shall consider the extent to which the programs support--
                    ``(i) the transportation goals of--

                        ``(I) a state of good repair of transportation
                    facilities;
                        ``(II) a reduction of bridge deficiencies, and
                        ``(III) an improvement of safety;

                    ``(ii) high-use Federal recreational sites or Federal
                economic generators; and
                    ``(iii) the resource and asset management goals of the
                Secretary of the respective Federal land management agency.
                ``(C) Permissive contents.--Applications may include
            proposed programs the duration of which extend over a multiple-
            year period to support long-term transportation planning and
            resource management initiatives.
        ``(c) National Federal Lands Transportation Facility Inventory.--
            ``(1) In general.--The Secretaries of the appropriate Federal
        land management agencies, in cooperation with the Secretary, shall
        maintain a comprehensive national inventory of public Federal lands
        transportation facilities.
            ``(2) Transportation facilities included in the inventories.--
        To identify the Federal lands transportation system and determine
        the relative transportation needs among Federal land management
        agencies, the inventories shall include, at a minimum, facilities
        that--
                ``(A) provide access to high-use Federal recreation sites
            or Federal economic generators, as determined by the Secretary
            in coordination with the respective Secretaries of the
            appropriate Federal land management agencies; and
                ``(B) are owned by 1 of the following agencies:
                    ``(i) The National Park Service.
                    ``(ii) The Forest Service.
                    ``(iii) The United States Fish and Wildlife Service.
                    ``(iv) The Bureau of Land Management.
                    ``(v) The Corps of Engineers.
            ``(3) Availability.--The inventories shall be made available to
        the Secretary.
            ``(4) Updates.--The Secretaries of the appropriate Federal land
        management agencies shall update the inventories of the appropriate
        Federal land management agencies, as determined by the Secretary
        after collaborative discussions with the Secretaries of the
        appropriate Federal land management agencies.
            ``(5) Review.--A decision to add or remove a facility from the
        inventory shall not be considered a Federal action for purposes of
        review under the National Environmental Policy Act of 1969 (42
        U.S.C. 4321 et seq.).
        ``(d) Bicycle Safety.--The Secretary of the appropriate Federal
    land management agency shall prohibit the use of bicycles on each
    federally owned road that has a speed limit of 30 miles per hour or
    greater and an adjacent paved path for use by bicycles within 100 yards
    of the road unless the Secretary determines that the bicycle level of
    service on that roadway is rated B or higher.
    ``Sec. 204. Federal lands access program
        ``(a) Use of Funds.--
            ``(1) In general.--Funds made available under the Federal lands
        access program shall be used by the Secretary of Transportation and
        the Secretary of the appropriate Federal land management agency to
        pay the cost of--
                ``(A) transportation planning, research, engineering,
            preventive maintenance, rehabilitation, restoration,
            construction, and reconstruction of Federal lands access
            transportation facilities located on or adjacent to, or that
            provide access to, Federal land, and--
                    ``(i) adjacent vehicular parking areas;
                    ``(ii) acquisition of necessary scenic easements and
                scenic or historic sites;
                    ``(iii) provisions for pedestrians and bicycles;
                    ``(iv) environmental mitigation in or adjacent to
                Federal land to improve public safety and reduce vehicle-
                caused wildlife mortality while maintaining habitat
                connectivity;
                    ``(v) construction and reconstruction of roadside rest
                areas, including sanitary and water facilities; and
                    ``(vi) other appropriate public road facilities, as
                determined by the Secretary;
                ``(B) operation and maintenance of transit facilities; and
                ``(C) any transportation project eligible for assistance
            under this title that is within or adjacent to, or that
            provides access to, Federal land.
            ``(2) Contract.--In connection with an activity described in
        paragraph (1), the Secretary and the Secretary of the appropriate
        Federal land management agency may enter into a contract or other
        appropriate agreement with respect to the activity with--
                ``(A) a State (including a political subdivision of a
            State); or
                ``(B) an Indian tribe.
            ``(3) Administration.--All appropriations for the construction
        and improvement of Federal lands access transportation facilities
        shall be administered in conformity with regulations and agreements
        approved by the Secretary.
            ``(4) Cooperation.--
                ``(A) In general.--The cooperation of States, counties, or
            other local subdivisions may be accepted in construction and
            improvement.
                ``(B) Funds received.--Any funds received from a State,
            county, or local subdivision for a Federal lands access
            transportation facility project shall be credited to
            appropriations available under the Federal lands access
            program.
            ``(5) Competitive bidding.--
                ``(A) In general.--Subject to subparagraph (B),
            construction of each project shall be performed by contract
            awarded by competitive bidding.
                ``(B) Exception.--Subparagraph (A) shall not apply if the
            Secretary or the Secretary of the appropriate Federal land
            management agency affirmatively finds that, under the
            circumstances relating to the project, a different method is in
            the public interest.
        ``(b) Program Distributions.--
            ``(1) In general.--Funding made available to carry out the
        Federal lands access program shall be allocated among those States
        that have Federal land, in accordance with the following formula:
                ``(A) 80 percent of the available funding for use in those
            States that contain at least 1 \1/2\ percent of the total
            public land in the United States managed by the agencies
            described in paragraph (2), to be distributed as follows:
                    ``(i) 30 percent in the ratio that--

                        ``(I) recreational visitation within each such
                    State; bears to
                        ``(II) the recreational visitation within all such
                    States.

                    ``(ii) 5 percent in the ratio that--

                        ``(I) the Federal land area within each such State;
                    bears to
                        ``(II) the Federal land area in all such States.

                    ``(iii) 55 percent in the ratio that--

                        ``(I) the Federal public road miles within each
                    such State; bears to
                        ``(II) the Federal public road miles in all such
                    States.

                    ``(iv) 10 percent in the ratio that--

                        ``(I) the number of Federal public bridges within
                    each such State; bears to
                        ``(II) the number of Federal public bridges in all
                    such States.

                ``(B) 20 percent of the available funding for use in those
            States that do not contain at least 1 \1/2\ percent of the
            total public land in the United States managed by the agencies
            described in paragraph (2), to be distributed as follows:
                    ``(i) 30 percent in the ratio that--

                        ``(I) recreational visitation within each such
                    State; bears to
                        ``(II) the recreational visitation within all such
                    States.

                    ``(ii) 5 percent in the ratio that--

                        ``(I) the Federal land area within each such State;
                    bears to
                        ``(II) the Federal land area in all such States.

                    ``(iii) 55 percent in the ratio that--

                        ``(I) the Federal public road miles within each
                    such State; bears to
                        ``(II) the Federal public road miles in all such
                    States.

                    ``(iv) 10 percent in the ratio that--

                        ``(I) the number of Federal public bridges within
                    each such State; bears to
                        ``(II) the number of Federal public bridges in all
                    such States.

            ``(2) Data source.--Data necessary to distribute funding under
        paragraph (1) shall be provided by the following Federal land
        management agencies:
                ``(A) The National Park Service.
                ``(B) The Forest Service.
                ``(C) The United States Fish and Wildlife Service.
                ``(D) The Bureau of Land Management.
                ``(E) The Corps of Engineers.
        ``(c) Programming Decisions Committee.--
            ``(1) In general.--Programming decisions shall be made within
        each State by a committee comprised of--
                ``(A) a representative of the Federal Highway
            Administration;
                ``(B) a representative of the State Department of
            Transportation; and
                ``(C) a representative of any appropriate political
            subdivision of the State.
            ``(2) Consultation requirement.--The committee described in
        paragraph (1) shall cooperate with each applicable Federal agency
        in each State before any joint discussion or final programming
        decision.
            ``(3) Project preference.--In making a programming decision
        under paragraph (1), the committee shall give preference to
        projects that provide access to, are adjacent to, or are located
        within high-use Federal recreation sites or Federal economic
        generators, as identified by the Secretaries of the appropriate
        Federal land management agencies.''.
        (b) Public Lands Development Roads and Trails.--Section 214 of
    title 23, United States Code, is repealed.
        (c) Conforming Amendments.--
            (1) Chapter 2 analysis.--The analysis for chapter 2 of title
        23, United States Code, is amended--
                (A) by striking the items relating to sections 201 through
            204 and inserting the following:

    ``201. Federal lands and tribal transportation programs.
    ``202. Tribal transportation program.
    ``203. Federal lands transportation program.
    ``204. Federal lands access program.''; and

                (B) by striking the item relating to section 214.
            (2) Definition.--Section 138(a) of title 23, United States
        Code, is amended in the third sentence by striking ``park road or
        parkway under section 204 of this title'' and inserting ``Federal
        lands transportation facility''.
            (3) Rules, regulations, and recommendations.--Section 315 of
        title 23, United States Code, is amended by striking ``204(f)'' and
        inserting ``202(a)(5), 203(a)(3),''.
    SEC. 1120. PROJECTS OF NATIONAL AND REGIONAL SIGNIFICANCE.
        Section 1301 of the SAFETEA-LU (23 U.S.C. 101 note; 119 Stat. 1198)
    is amended--
            (1) in subsection (b), by striking ``States'' and inserting
        ``eligible applicants'';
            (2) in subsection (c), by striking paragraph (3) and inserting
        the following:
            ``(3) Eligible applicant.--The term `eligible applicant'
        means--
                ``(A) a State department of transportation or a group of
            State departments of transportation;
                ``(B) a tribal government or consortium of tribal
            governments;
                ``(C) a transit agency; or
                ``(D) a multi-State or multi-jurisdictional group of the
            agencies described in subparagraphs (A) through (C).'';
            (3) in subsection (d)(2), by striking ``75'' and inserting
        ``50'';
            (4) in subsection (e), by striking ``State'' and inserting
        ``eligible applicant'';
            (5) in subsection (f)(3) by striking subparagraph (B) and
        inserting the following:
                ``(B) improves roadways vital to national energy security;
            and'';
            (6) in subsection (g)(1) by adding at the end the following:
                ``(E) Congressional approval.--The Secretary may not issue
            a letter of intent, enter into a full funding grant agreement
            under paragraph (2), or make any other obligation or commitment
            to fund a project under this section if a joint resolution of
            disapproval is enacted disapproving funding for the project
            before the last day of the 60-day period described in
            subparagraph (B).'';
            (7) in subsection (k), by adding at the end the following:
            ``(3) Project selection justifications.--
                ``(A) In general.--Not later than 30 days after the date on
            which the Secretary selects a project for funding under this
            section, the Secretary shall submit 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 that describes the reasons for
            selecting the project, based on the criteria described in
            subsection (f).
                ``(B) Inclusions.--The report submitted under subparagraph
            (A) shall specify each criteria described in subsection (f)
            that the project meets.
                ``(C) Availability.--The Secretary shall make available on
            the website of the Department the report submitted under
            subparagraph (A).''; and
            (8) by striking subsections (l) and (m) and inserting the
        following:
        ``(l) Report.--
            ``(1) In general.--Not later than 2 years after the date of
        enactment of the MAP-21, the Secretary shall submit a report to the
        Committee on Transportation and Infrastructure of the House of
        Representatives and the Committee on Environment and Public Works
        of the Senate regarding projects of national and regional
        significance.
            ``(2) Purpose.--The purpose of the report issued under this
        subsection shall be to identify projects of national and regional
        significance that--
                ``(A) will significantly improve the performance of the
            Federal-aid highway system, nationally or regionally;
                ``(B) is able to--
                    ``(i) generate national economic benefits that
                reasonably exceed the costs of the projects, including
                increased access to jobs, labor, and other critical
                economic inputs;
                    ``(ii) reduce long-term congestion, including impacts
                in the State, region, and the United States, and increase
                speed, reliability, and accessibility of the movement of
                people or freight; and
                    ``(iii) improve transportation safety, including
                reducing transportation accidents, and serious injuries and
                fatalities; and
                ``(C) can be supported by an acceptable degree of non-
            Federal financial commitments.
            ``(3) Contents.--The report issued under this subsection shall
        include--
                ``(A) a comprehensive list of each project of national and
            regional significance that--
                    ``(i) has been complied through a survey of State
                departments of transportation; and
                    ``(ii) has been classified by the Secretary as a
                project of regional or national significance in accordance
                with this section;
                ``(B) an analysis of the information collected under
            paragraph (1), including a discussion of the factors supporting
            each classification of a project as a project of regional or
            national significance; and
                ``(C) recommendations on financing for eligible project
            costs.
        ``(m) Authorization of Appropriations.--There is authorized to be
    appropriated to carry out this section $500,000,000 for fiscal year
    2013, to remain available until expended.''.
    SEC. 1121. CONSTRUCTION OF FERRY BOATS AND FERRY TERMINAL FACILITIES.
        (a) Construction of Ferry Boats and Ferry Terminal Facilities.--
    Section 147 of title 23, United States Code, is amended--
            (1) by striking subsections (c) and (d);
            (2) by redesignating subsections (e) and (f) as subsections (f)
        and (g), respectively; and
            (3) by inserting after subsection (b) the following:
        ``(c) Distribution of Funds.--Of the amounts made available to
    ferry systems and public entities responsible for developing ferries
    under this section for a fiscal year, 100 percent shall be allocated in
    accordance with the formula set forth in subsection (d).
        ``(d) Formula.--Of the amounts allocated pursuant to subsection
    (c)--
            ``(1) 20 percent shall be allocated among eligible entities in
        the proportion that--
                ``(A) the number of ferry passengers carried by each ferry
            system in the most recent fiscal year; bears to
                ``(B) the number of ferry passengers carried by all ferry
            systems in the most recent fiscal year;
            ``(2) 45 percent shall be allocated among eligible entities in
        the proportion that--
                ``(A) the number of vehicles carried by each ferry system
            in the most recent fiscal year; bears to
                ``(B) the number of vehicles carried by all ferry systems
            in the most recent fiscal year; and
            ``(3) 35 percent shall be allocated among eligible entities in
        the proportion that--
                ``(A) the total route miles serviced by each ferry system;
            bears to
                ``(B) the total route miles serviced by all ferry systems.
        ``(e) Authorization of Appropriations.--There is authorized to be
    appropriated out of the Highway Trust Fund (other than the Mass Transit
    Account) to carry out this section $67,000,000 for each of fiscal years
    2013 and 2014.''.
        (b) National Ferry Database.--Section 1801(e) of the SAFETEA-LU (23
    U.S.C. 129 note; Public Law 109-59) is amended--
            (1) in paragraph (2), by inserting ``, including any Federal,
        State, and local government funding sources,'' after ``sources'';
        and
            (2) in paragraph (4)--
                (A) in subparagraph (B), by striking ``and'' at the end;
                (B) by redesignating subparagraph (C) as subparagraph (D);
                (C) by inserting after subparagraph (B), the following:
                ``(C) ensure that the database is consistent with the
            national transit database maintained by the Federal Transit
            Administration; and''; and
                (D) in subparagraph (D) (as redesignated by subparagraph
            (B)), by striking ``2009'' and inserting ``2014''.
    SEC. 1122. TRANSPORTATION ALTERNATIVES.
        (a) In General.--Section 213 of title 23, United States Code, is
    amended to read as follows:
    ``Sec. 213. Transportation alternatives
        ``(a) Reservation of Funds.--
            ``(1) In general.--On October 1 of each of fiscal years 2013
        and 2014, the Secretary shall proportionally reserve from the funds
        apportioned to a State under section 104(b) to carry out the
        requirements of this section an amount equal to the amount obtained
        by multiplying the amount determined under paragraph (2) by the
        ratio that--
                ``(A) the amount apportioned to the State for the
            transportation enhancements program for fiscal year 2009 under
            section 133(d)(2), as in effect on the day before the date of
            enactment of the MAP-21; bears to
                ``(B) the total amount of funds apportioned to all States
            for that fiscal year for the transportation enhancements
            program for fiscal year 2009.
            ``(2) Calculation of national amount.--The Secretary shall
        determine an amount for each fiscal year that is equal to 2 percent
        of the amounts authorized to be appropriated for such fiscal year
        from the Highway Trust Fund (other than the Mass Transit Account)
        to carry out chapters 1, 2, 5, and 6 of this title.
        ``(b) Eligible Projects.--A State may obligate the funds reserved
    under this section for any of the following projects or activities:
            ``(1) Transportation alternatives, as defined in section 101.
            ``(2) The recreational trails program under section 206.
            ``(3) The safe routes to school program under section 1404 of
        the SAFETEA-LU (23 U.S.C. 402 note; Public Law 109-59).
            ``(4) Planning, designing, or constructing boulevards and other
        roadways largely in the right-of-way of former Interstate System
        routes or other divided highways.
        ``(c) Allocations of Funds.--
            ``(1) Calculation.--Of the funds reserved in a State under this
        section--
                ``(A) 50 percent for a fiscal year shall be obligated under
            this section to any eligible entity in proportion to their
            relative shares of the population of the State--
                    ``(i) in urbanized areas of the State with an urbanized
                area population of over 200,000;
                    ``(ii) in areas of the State other than urban areas
                with a population greater than 5,000; and
                    ``(iii) in other areas of the State; and
                ``(B) 50 percent shall be obligated in any area of the
            State.
            ``(2) Metropolitan areas.--Funds attributed to an urbanized
        area under paragraph (1)(A)(i) may be obligated in the metropolitan
        area established under section 134 that encompasses the urbanized
        area.
            ``(3) Distribution among urbanized areas of over 200,000
        population.--
                ``(A) In general.--Except as provided in paragraph (1)(B),
            the amount of funds that a State is required to obligate under
            paragraph (1)(A)(i) shall be obligated in urbanized areas
            described in paragraph (1)(A)(i) based on the relative
            population of the areas.
                ``(B) Other factors.--A State may obligate the funds
            described in subparagraph (A) based on other factors if the
            State and the relevant metropolitan planning organizations
            jointly apply to the Secretary for the permission to base the
            obligation on other factors and the Secretary grants the
            request.
            ``(4) Access to funds.--
                ``(A) In general.--Each State or metropolitan planning
            organization required to obligate funds in accordance with
            paragraph (1) shall develop a competitive process to allow
            eligible entities to submit projects for funding that achieve
            the objectives of this subsection.
                ``(B) Definition of eligible entity.--In this paragraph,
            the term `eligible entity' means--
                    ``(i) a local government;
                    ``(ii) a regional transportation authority;
                    ``(iii) a transit agency;
                    ``(iv) a natural resource or public land agency;
                    ``(v) a school district, local education agency, or
                school;
                    ``(vi) a tribal government; and
                    ``(vii) any other local or regional governmental entity
                with responsibility for or oversight of transportation or
                recreational trails (other than a metropolitan planning
                organization or a State agency) that the State determines
                to be eligible, consistent with the goals of this
                subsection.
            ``(5) Selection of projects.--For funds reserved in a State
        under this section and suballocated to a metropolitan planning area
        under paragraph (1)(A)(i), each such metropolitan planning
        organization shall select projects carried out within the
        boundaries of the applicable metropolitan planning area, in
        consultation with the relevant State.
        ``(d) Flexibility of Excess Reserved Funding.--Beginning in the
    second fiscal year after the date of enactment of the MAP-21, if on
    August 1 of that fiscal year the unobligated balance of available funds
    reserved by a State under this section exceeds 100 percent of such
    reserved amount in such fiscal year, the State may thereafter obligate
    the amount of excess funds for any activity--
            ``(1) that is eligible to receive funding under this section;
        or
            ``(2) for which the Secretary has approved the obligation of
        funds for any State under section 149.
        ``(e) Treatment of Projects.--Notwithstanding any other provision
    of law, projects funded under this section (excluding those carried out
    under subsection (f)) shall be treated as projects on a Federal-aid
    highway under this chapter.
        ``(f) Continuation of Certain Recreational Trails Projects.--Each
    State shall--
            ``(1) obligate an amount of funds reserved under this section
        equal to the amount of the funds apportioned to the State for
        fiscal year 2009 under section 104(h)(2) for projects relating to
        recreational trails under section 206;
            ``(2) return 1 percent of those funds to the Secretary for the
        administration of that program; and
            ``(3) comply with the provisions of the administration of the
        recreational trails program under section 206, including the use of
        apportioned funds described under subsection (d)(3)(A) of that
        section.
        ``(g) State Flexibility.--A State may opt out of the recreational
    trails program under subsection (f) if the Governor of the State
    notifies the Secretary not later than 30 days prior to apportionments
    being made for any fiscal year.''.
        (b) Conforming Amendment.--The analysis for chapter 2 of title 23,
    United States Code, is amended by striking the item relating to section
    213 and inserting the following:

    ``213. Transportation alternatives''.
    SEC. 1123. TRIBAL HIGH PRIORITY PROJECTS PROGRAM.
        (a) Definitions.--In this section:
            (1) Emergency or disaster.--The term ``emergency or disaster''
        means damage to a tribal transportation facility that--
                (A) renders the tribal transportation facility impassable
            or unusable;
                (B) is caused by--
                    (i) a natural disaster over a widespread area; or
                    (ii) a catastrophic failure from an external cause; and
                (C) would be eligible under the emergency relief program
            under section 125 of title 23, United States Code, but does not
            meet the funding thresholds required by that section.
            (2) List.--The term ``list'' means the funding priority list
        developed under subsection (c)(5).
            (3) Program.--The term ``program'' means the Tribal High
        Priority Projects program established under subsection (b)(1).
            (4) Project.--The term ``project'' means a project provided
        funds under the program.
        (b) Program.--
            (1) In general.--The Secretary shall use amounts made available
        under subsection (h) to carry out a Tribal High Priority Projects
        program under which funds shall be provided to eligible applicants
        in accordance with this section.
            (2) Eligible applicants.--Applicants eligible for program funds
        under this section include--
                (A) an Indian tribe whose annual allocation of funding
            under section 202 of title 23, United States Code, is
            insufficient to complete the highest priority project of the
            Indian tribe;
                (B) a governmental subdivision of an Indian tribe--
                    (i) that is authorized to administer the funding of the
                Indian tribe under section 202 of title 23, United States
                Code; and
                    (ii) for which the annual allocation under that section
                is insufficient to complete the highest priority project of
                the Indian tribe; or
                (C) any Indian tribe that has an emergency or disaster with
            respect to a transportation facility included on the national
            inventory of tribal transportation facilities under section
            202(b)(1) of title 23, United States Code.
        (c) Project Applications; Funding.--
            (1) In general.--To apply for funds under this section, an
        eligible applicant shall submit to the Department of the Interior
        or the Department an application that includes--
                (A) project scope of work, including deliverables, budget,
            and timeline;
                (B) the amount of funds requested;
                (C) project information addressing--
                    (i) the ranking criteria identified in paragraph (3);
                or
                    (ii) the nature of the emergency or disaster;
                (D) documentation that the project meets the definition of
            a tribal transportation facility and is included in the
            national inventory of tribal transportation facilities under
            section 202(b)(1) of title 23, United States Code;
                (E) documentation of official tribal action requesting the
            project;
                (F) documentation from the Indian tribe providing authority
            for the Secretary of the Interior to place the project on a
            transportation improvement program if the project is selected
            and approved; and
                (G) any other information the Secretary of the Interior or
            Secretary considers appropriate to make a determination.
            (2) Limitation on applications.--An applicant for funds under
        the program may only have 1 application for assistance under this
        section pending at any 1 time, including any emergency or disaster
        application.
            (3) Application ranking.--
                (A) In general.--The Secretary of the Interior and the
            Secretary shall determine the eligibility of, and fund, program
            applications, subject to the availability of funds.
                (B) Ranking criteria.--The project ranking criteria for
            applications under this section shall include--
                    (i) the existence of safety hazards with documented
                fatality and injury accidents;
                    (ii) the number of years since the Indian tribe last
                completed a construction project funded by section 202 of
                title 23, United States Code;
                    (iii) the readiness of the Indian tribe to proceed to
                construction or bridge design need;
                    (iv) the percentage of project costs matched by funds
                that are not provided under section 202 of title 23, United
                States Code, with projects with a greater percentage of
                other sources of matching funds ranked ahead of lesser
                matches);
                    (v) the amount of funds requested, with requests for
                lesser amounts given greater priority;
                    (vi) the challenges caused by geographic isolation; and
                    (vii) all weather access for employment, commerce,
                health, safety, educational resources, or housing.
            (4) Project scoring matrix.--The project scoring matrix
        established in the appendix to part 170 of title 25, Code of
        Regulations (as in effect on the date of enactment of this Act)
        shall be used to rank all applications accepted under this section.
            (5) Funding priority list.--
                (A) In general.--The Secretary of the Interior and the
            Secretary shall jointly produce a funding priority list that
            ranks the projects approved for funding under the program.
                (B) Limitation.--The number of projects on the list shall
            be limited by the amount of funding made available.
            (6) Timeline.--The Secretary of the Interior and the Secretary
        shall--
                (A) require applications for funding no sooner than 60 days
            after funding is made available pursuant to subsection (a);
                (B) notify all applicants and Regions in writing of
            acceptance of applications;
                (C) rank all accepted applications in accordance with the
            project scoring matrix, develop the funding priority list, and
            return unaccepted applications to the applicant with an
            explanation of deficiencies;
                (D) notify all accepted applicants of the projects included
            on the funding priority list no later than 180 days after the
            application deadline has passed pursuant to subparagraph (A);
            and
                (E) distribute funds to successful applicants.
        (d) Emergency or Disaster Project Applications.--
            (1) In general.--Notwithstanding subsection (c)(6), an eligible
        applicant may submit an emergency or disaster project application
        at any time during the fiscal year.
            (2) Consideration as priority.--The Secretary shall--
                (A) consider project applications submitted under paragraph
            (1) to be a priority; and
                (B) fund the project applications in accordance with
            paragraph (3).
            (3) Funding.--
                (A) In general.--If an eligible applicant submits an
            application for a project under this subsection before the
            issuance of the list under subsection (c)(5) and the project is
            determined to be eligible for program funds, the Secretary of
            the Interior shall provide funding for the project before
            providing funding for other approved projects on the list.
                (B) Submission after issuance of list.--If an eligible
            applicant submits an application under this subsection after
            the issuance of the list under subsection (c)(5) and the
            distribution of program funds in accordance with the list, the
            Secretary of the Interior shall provide funding for the project
            on the date on which unobligated funds provided to projects on
            the list are returned to the Department of the Interior.
                (C) Effect on other projects.--If the Secretary of the
            Interior uses funding previously designated for a project on
            the list to fund an emergency or disaster project under this
            subsection, the project on the list that did not receive
            funding as a result of the redesignation of funds shall move to
            the top of the list the following year.
            (4) Emergency or disaster project cost.--The cost of a project
        submitted as an emergency or disaster under this subsection shall
        be at least 10 percent of the distribution of funds of the Indian
        tribe under section 202(b) of title 23, United States Code.
        (e) Limitation on Use of Funds.--Program funds shall not be used
    for--
            (1) transportation planning;
            (2) research;
            (3) routine maintenance activities;
            (4) structures and erosion protection unrelated to
        transportation and roadways;
            (5) general reservation planning not involving transportation;
            (6) landscaping and irrigation systems not involving
        transportation programs and projects;
            (7) work performed on projects that are not included on a
        transportation improvement program approved by the Federal Highway
        Administration, unless otherwise authorized by the Secretary of the
        Interior and the Secretary;
            (8) the purchase of equipment unless otherwise authorized by
        Federal law; or
            (9) the condemnation of land for recreational trails.
        (f) Limitation on Project Amounts.--Project funding shall be
    limited to a maximum of $1,000,000 per application, except that funding
    for disaster or emergency projects shall also be limited to the
    estimated cost of repairing damage to the tribal transportation
    facility.
        (g) Cost Estimate Certification.--All cost estimates prepared for a
    project shall be required to be submitted by the applicant to the
    Secretary of the Interior and the Secretary for certification and
    approval.
        (h) Authorization of Appropriations.--
            (1) In general.--There is authorized to be appropriated
        $30,000,000 out of the general fund of the Treasury to carry out
        the program for each of fiscal years 2013 and 2014.
            (2) Administration.--The funds made available under paragraph
        (1) shall be administered in the same manner as funds made
        available for the tribal transportation program under section 202
        of title 23, United States Code, except that--
                (A) the funds made available for the program shall remain
            available until September 30 of the third fiscal year after the
            year appropriated; and
                (B) the Federal share of the cost of a project shall be 100
            percent.

                       Subtitle B--Performance Management

    SEC. 1201. METROPOLITAN TRANSPORTATION PLANNING.
        (a) In General.--Section 134 of title 23, United States Code, is
    amended to read as follows:
    ``Sec. 134. Metropolitan transportation planning
        ``(a) Policy.--It is in the national interest--
            ``(1) 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 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) to 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 subsection (h) and section 135(d).
        ``(b) Definitions.--In this section and section 135, 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 subsection (e).
            ``(2) Metropolitan planning organization.--The term
        `metropolitan planning organization' means the policy board of an
        organization established as a result of the designation process
        under subsection (d).
            ``(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) Regional transportation planning organization.--The term
        `regional transportation planning organization' means a policy
        board of an organization established as the result of a designation
        under section 135(m).
            ``(6) TIP.--The term `TIP' means a transportation improvement
        program developed by a metropolitan planning organization under
        subsection (j).
            ``(7) Urbanized area.--The term `urbanized area' means a
        geographic area with a population of 50,000 or more, as determined
        by the Bureau of the Census.
        ``(c) General Requirements.--
            ``(1) Development of long-range plans and tips.--To accomplish
        the objectives in subsection (a), metropolitan planning
        organizations designated under subsection (d), in cooperation with
        the State and public transportation operators, shall develop long-
        range transportation plans and transportation improvement programs
        through a performance-driven, outcome-based approach to planning
        for metropolitan 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.
        ``(d) 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 determined
            by the Bureau of the Census); or
                ``(B) in accordance with procedures established by
            applicable State or local law.
            ``(2) Structure.--Not later than 2 years after the date of
        enactment of MAP-21, each metropolitan planning organization that
        serves an area designated as a transportation management area 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 representation by providers of public transportation;
            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--
                ``(A) to develop the plans and TIPs for adoption by a
            metropolitan planning organization; and
                ``(B) to 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) In general.--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 determined by the Bureau of the Census) as appropriate to
            carry out this section.
                ``(B) Restructuring.--A metropolitan planning organization
            may be restructured to meet the requirements of paragraph (2)
            without undertaking a redesignation.
            ``(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.
        ``(e) 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.--
                ``(A) In general.--Notwithstanding paragraph (2), except as
            provided in subparagraph (B), 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 the SAFETEA-LU, the boundaries of the
            metropolitan planning area in existence as of such date of
            enactment shall be retained.
                ``(B) Exception.--The boundaries described in subparagraph
            (A) may be adjusted by agreement of the Governor and affected
            metropolitan planning organizations in the manner described in
            subsection (d)(5).
            ``(5) New metropolitan planning areas in nonattainment.--In the
        case of an urbanized area designated after the date of enactment of
        the SAFETEA-LU, 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 (d)(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.
        ``(f) 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) Reservation of rights.--The right to alter, amend, or
        repeal interstate compacts entered into under this subsection is
        expressly reserved.
        ``(g) 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 (42 U.S.C. 7401 et seq.),
        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 of title 49, 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.--
                ``(A) In general.--The Secretary shall encourage each
            metropolitan planning organization to consult with 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.
                ``(B) Requirements.--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--
                    ``(i) recipients of assistance under chapter 53 of
                title 49;
                    ``(ii) 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
                    ``(iii) recipients of assistance under section 204.
        ``(h) Scope of Planning Process.--
            ``(1) In general.--The metropolitan planning process for a
        metropolitan planning 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 of the transportation system for
            motorized and nonmotorized users;
                ``(C) increase the security of the transportation system
            for motorized and nonmotorized users;
                ``(D) increase the accessibility and mobility of people and
            for freight;
                ``(E) 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;
                ``(F) enhance the integration and connectivity of the
            transportation system, across and between modes, for people and
            freight;
                ``(G) promote efficient system management and operation;
            and
                ``(H) emphasize the preservation of the existing
            transportation system.
            ``(2) Performance-based approach.--
                ``(A) In general.--The metropolitan transportation planning
            process shall provide for the establishment and use of a
            performance-based approach to transportation decisionmaking to
            support the national goals described in section 150(b) of this
            title and in section 5301(c) of title 49.
                ``(B) Performance targets.--
                    ``(i) Surface transportation performance targets.--

                        ``(I) In general.--Each metropolitan planning
                    organization shall establish performance targets that
                    address the performance measures described in section
                    150(c), where applicable, to use in tracking progress
                    towards attainment of critical outcomes for the region
                    of the metropolitan planning organization.
                        ``(II) Coordination.--Selection of performance
                    targets by a metropolitan planning organization shall
                    be coordinated with the relevant State to ensure
                    consistency, to the maximum extent practicable.

                    ``(ii) Public transportation performance targets.--
                Selection of performance targets by a metropolitan planning
                organization shall be coordinated, to the maximum extent
                practicable, with providers of public transportation to
                ensure consistency with sections 5326(c) and 5329(d) of
                title 49.
                ``(C) Timing.--Each metropolitan planning organization
            shall establish the performance targets under subparagraph (B)
            not later than 180 days after the date on which the relevant
            State or provider of public transportation establishes the
            performance targets.
                ``(D) Integration of other performance-based plans.--A
            metropolitan planning organization shall integrate in the
            metropolitan transportation planning process, directly or by
            reference, the goals, objectives, performance measures, and
            targets described in other State transportation plans and
            transportation processes, as well as any plans developed under
            chapter 53 of title 49 by providers of public transportation,
            required as part of a performance-based program.
            ``(3) Failure to consider factors.--The failure to consider any
        factor specified in paragraphs (1) and (2) shall not be reviewable
        by any court under this title or chapter 53 of title 49, 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.
        ``(i) Development of Transportation Plan.--
            ``(1) Requirements.--
                ``(A) In general.--Each metropolitan planning organization
            shall prepare and update a transportation plan for its
            metropolitan planning area in accordance with the requirements
            of this subsection.
                ``(B) Frequency.--
                    ``(i) In general.--The metropolitan planning
                organization shall prepare and update such plan every 4
                years (or more frequently, if the metropolitan planning
                organization elects to update more frequently) in the case
                of each of the following:

                        ``(I) Any area designated as nonattainment, as
                    defined in section 107(d) of the Clean Air Act (42
                    U.S.C. 7407(d)).
                        ``(II) Any area that was nonattainment and
                    subsequently designated to attainment in accordance
                    with section 107(d)(3) of that Act (42 U.S.C.
                    7407(d)(3)) and that is subject to a maintenance plan
                    under section 175A of that Act (42 U.S.C. 7505a).

                    ``(ii) Other areas.--In the case of any other area
                required to have a transportation plan in accordance with
                the requirements of this subsection, the metropolitan
                planning organization shall prepare and update such plan
                every 5 years unless the metropolitan planning organization
                elects to update more frequently.
            ``(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) Identification of transportation facilities.--
                    ``(i) In general.--An identification of transportation
                facilities (including major roadways, transit, multimodal
                and intermodal facilities, nonmotorized transportation
                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.
                    ``(ii) Factors.--In formulating the transportation
                plan, the metropolitan planning organization shall consider
                factors described in subsection (h) as the factors relate
                to a 20-year forecast period.
                ``(B) Performance measures and targets.--A description of
            the performance measures and performance targets used in
            assessing the performance of the transportation system in
            accordance with subsection (h)(2).
                ``(C) System performance report.--A system performance
            report and subsequent updates evaluating the condition and
            performance of the transportation system with respect to the
            performance targets described in subsection (h)(2), including--
                    ``(i) progress achieved by the metropolitan planning
                organization in meeting the performance targets in
                comparison with system performance recorded in previous
                reports; and
                    ``(ii) for metropolitan planning organizations that
                voluntarily elect to develop multiple scenarios, an
                analysis of how the preferred scenario has improved the
                conditions and performance of the transportation system and
                how changes in local policies and investments have impacted
                the costs necessary to achieve the identified performance
                targets.
                ``(D) Mitigation activities.--
                    ``(i) In general.--A long-range transportation plan
                shall include a discussion of types of potential
                environmental mitigation activities and potential areas to
                carry out these activities, including activities that may
                have the greatest potential to restore and maintain the
                environmental functions affected by the plan.
                    ``(ii) Consultation.--The discussion shall be developed
                in consultation with Federal, State, and tribal wildlife,
                land management, and regulatory agencies.
                ``(E) Financial plan.--
                    ``(i) In general.--A financial plan that--

                        ``(I) demonstrates how the adopted transportation
                    plan can be implemented;
                        ``(II) indicates resources from public and private
                    sources that are reasonably expected to be made
                    available to carry out the plan; and
                        ``(III) recommends any additional financing
                    strategies for needed projects and programs.

                    ``(ii) Inclusions.--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.
                    ``(iii) Cooperative development.--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.
                ``(F) Operational and management strategies.--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.
                ``(G) Capital investment and other strategies.--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.
                ``(H) Transportation and transit enhancement activities.--
            Proposed transportation and transit enhancement activities.
            ``(3) Coordination with clean air act agencies.--In
        metropolitan areas that are in nonattainment 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 a transportation plan with the process for development of the
        transportation control measures of the State implementation plan
        required by that Act.
            ``(4) Optional scenario development.--
                ``(A) In general.--A metropolitan planning organization
            may, while fitting the needs and complexity of its community,
            voluntarily elect to develop multiple scenarios for
            consideration as part of the development of the metropolitan
            transportation plan, in accordance with subparagraph (B).
                ``(B) Recommended components.--A metropolitan planning
            organization that chooses to develop multiple scenarios under
            subparagraph (A) shall be encouraged to consider--
                    ``(i) potential regional investment strategies for the
                planning horizon;
                    ``(ii) assumed distribution of population and
                employment;
                    ``(iii) a scenario that, to the maximum extent
                practicable, maintains baseline conditions for the
                performance measures identified in subsection (h)(2);
                    ``(iv) a scenario that improves the baseline conditions
                for as many of the performance measures identified in
                subsection (h)(2) as possible;
                    ``(v) revenue constrained scenarios based on the total
                revenues expected to be available over the forecast period
                of the plan; and
                    ``(vi) estimated costs and potential revenues available
                to support each scenario.
                ``(C) Metrics.--In addition to the performance measures
            identified in section 150(c), metropolitan planning
            organizations may evaluate scenarios developed under this
            paragraph using locally-developed measures.
            ``(5) Consultation.--
                ``(A) In general.--In each metropolitan area, the
            metropolitan planning organization shall consult, as
            appropriate, with State and local agencies responsible for land
            use management, natural resources, environmental protection,
            conservation, and historic preservation concerning the
            development of a long-range transportation plan.
                ``(B) Issues.--The consultation shall involve, as
            appropriate--
                    ``(i) comparison of transportation plans with State
                conservation plans or maps, if available; or
                    ``(ii) comparison of transportation plans to
                inventories of natural or historic resources, if available.
            ``(6) Participation by interested parties.--
                ``(A) In general.--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.
                ``(B) Contents of participation plan.--A participation
            plan--
                    ``(i) shall be developed in consultation with all
                interested parties; and
                    ``(ii) shall provide that all interested parties have
                reasonable opportunities to comment on the contents of the
                transportation plan.
                ``(C) Methods.--In carrying out subparagraph (A), the
            metropolitan planning organization shall, to the maximum extent
            practicable--
                    ``(i) hold any public meetings at convenient and
                accessible locations and times;
                    ``(ii) employ visualization techniques to describe
                plans; and
                    ``(iii) make public information available in
                electronically accessible format and means, such as the
                World Wide Web, as appropriate to afford reasonable
                opportunity for consideration of public information under
                subparagraph (A).
            ``(7) Publication.--A transportation plan involving Federal
        participation shall be published or otherwise made readily
        available by the metropolitan planning organization for public
        review, including (to the maximum extent practicable) in
        electronically accessible formats and means, such as the World Wide
        Web, approved by the metropolitan planning organization and
        submitted for information purposes to the Governor at such times
        and in such manner as the Secretary shall establish.
            ``(8) Selection of projects from illustrative list.--
        Notwithstanding paragraph (2)(C), 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)(C).
        ``(j) 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 metropolitan planning area that--
                    ``(i) contains projects consistent with the current
                metropolitan transportation plan;
                    ``(ii) reflects the investment priorities established
                in the current metropolitan transportation plan; and
                    ``(iii) once implemented, is designed to make progress
                toward achieving the performance targets established under
                subsection (h)(2).
                ``(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 an opportunity for participation by interested parties
            in the development of the program, in accordance with
            subsection (i)(5).
                ``(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--
                    ``(i) updated at least once every 4 years; and
                    ``(ii) 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) Performance target achievement.--The transportation
            improvement program shall include, to the maximum extent
            practicable, a description of the anticipated effect of the
            transportation improvement program toward achieving the
            performance targets established in the metropolitan
            transportation plan, linking investment priorities to those
            performance targets.
            ``(3) Included projects.--
                ``(A) Projects under this title and chapter 53 of title
            49.--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 this title 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 (i) 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 or the identified phase within the
            time period contemplated for completion of the project or the
            identified phase.
            ``(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 an
        opportunity for participation by interested parties in the
        development of the program, in accordance with subsection (i)(5).
            ``(5) Selection of projects.--
                ``(A) In general.--Except as otherwise provided in
            subsection (k)(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 this title, the
                    State; and
                        ``(II) in the case of projects under chapter 53 of
                    title 49, 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.--
                    ``(i) In general.--An annual listing of projects,
                including investments in pedestrian walkways and bicycle
                transportation facilities, for which Federal funds have
                been obligated in the preceding year shall be published or
                otherwise made available by the cooperative effort of the
                State, transit operator, and metropolitan planning
                organization for public review.
                    ``(ii) Requirement.--The listing shall be consistent
                with the categories identified in the TIP.
        ``(k) 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 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.--
                ``(A) In general.--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 this title
            and chapter 53 of title 49 through the use of travel demand
            reduction and operational management strategies.
                ``(B) Schedule.--The Secretary shall establish an
            appropriate phase-in schedule for compliance with the
            requirements of this section but no sooner than 1 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 this title
            (excluding projects carried out on the National Highway System)
            or under chapter 53 of title 49 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 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 this title and chapter 53 of title 49.
                    ``(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.
        ``(l) Report on Performance-based Planning Processes.--
            ``(1) In general.--The Secretary shall submit to Congress a
        report on the effectiveness of the performance-based planning
        processes of metropolitan planning organizations under this
        section, taking into consideration the requirements of this
        subsection
            ``(2) Report.--Not later than 5 years after the date of
        enactment of the MAP-21, the Secretary shall submit to Congress a
        report evaluating--
                ``(A) the overall effectiveness of performance-based
            planning as a tool for guiding transportation investments;
                ``(B) the effectiveness of the performance-based planning
            process of each metropolitan planning organization under this
            section;
                ``(C) the extent to which metropolitan planning
            organizations have achieved, or are currently making
            substantial progress toward achieving, the performance targets
            specified under this section and whether metropolitan planning
            organizations are developing meaningful performance targets;
            and
                ``(D) the technical capacity of metropolitan planning
            organizations that operate within a metropolitan planning area
            of less than 200,000 and their ability to carry out the
            requirements of this section.
            ``(3) Publication.--The report under paragraph (2) shall be
        published or otherwise made available in electronically accessible
        formats and means, including on the Internet.
        ``(m) 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.).
        ``(n) Additional Requirements for Certain Nonattainment Areas.--
            ``(1) In general.--Notwithstanding any other provisions of this
        title or chapter 53 of title, for transportation management areas
        classified as nonattainment for ozone or carbon monoxide pursuant
        to the Clean Air Act (42 U.S.C. 7401 et seq.), 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 (e).
        ``(o) 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.
        ``(p) Funding.--Funds set aside under section 104(f) of this title
    or section 5305(g) of title 49 shall be available to carry out this
    section.
        ``(q) Continuation of Current Review Practice.--Since plans and
    TIPs described in this section are subject to a reasonable opportunity
    for public comment, since 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 since decisions by the Secretary
    concerning plans and TIPs described in this section have not been
    reviewed under that 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 that
    Act.''.
        (b) Study on Metropolitan Planning Scenario Development.--
            (1) In general.--The Secretary shall evaluate the costs and
        benefits associated with metropolitan planning organizations
        developing multiple scenarios for consideration as a part of the
        development of their metropolitan transportation plan.
            (2) Inclusions.--The evaluation shall include an analysis of
        the technical and financial capacity of the metropolitan planning
        organization needed to develop scenarios described in paragraph
        (1).
    SEC. 1202. STATEWIDE AND NONMETROPOLITAN TRANSPORTATION PLANNING.
        (a) In General.--Section 135 of title 23, United States Code, is
    amended to read as follows:
    ``Sec. 135. Statewide and nonmetropolitan transportation planning
        ``(a) General Requirements.--
            ``(1) Development of plans and programs.--Subject to section
        134, to accomplish the objectives stated in section 134(a), each
        State shall develop a statewide transportation plan and a statewide
        transportation improvement program for all areas of the State.
            ``(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 134(a) 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
        134 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.--
            ``(1) In general.--Two or more States may 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 related to interstate areas and
        localities in the States and establishing authorities the States
        consider desirable for making the agreements and compacts
        effective.
            ``(2) Reservation of rights.--The right to alter, amend, or
        repeal interstate compacts entered into under this subsection is
        expressly reserved.
        ``(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 of the transportation system for
            motorized and nonmotorized users;
                ``(C) increase the security of the transportation system
            for motorized and nonmotorized users;
                ``(D) increase the accessibility and mobility of people and
            freight;
                ``(E) 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;
                ``(F) enhance the integration and connectivity of the
            transportation system, across and between modes throughout the
            State, for people and freight;
                ``(G) promote efficient system management and operation;
            and
                ``(H) emphasize the preservation of the existing
            transportation system.
            ``(2) Performance-based approach.--
                ``(A) In general.--The statewide transportation planning
            process shall provide for the establishment and use of a
            performance-based approach to transportation decisionmaking to
            support the national goals described in section 150(b) of this
            title and in section 5301(c) of title 49.
                ``(B) Performance targets.--
                    ``(i) Surface transportation performance targets.--

                        ``(I) In general.--Each State shall establish
                    performance targets that address the performance
                    measures described in section 150(c), where applicable,
                    to use in tracking progress towards attainment of
                    critical outcomes for the State.
                        ``(II) Coordination.--Selection of performance
                    targets by a State shall be coordinated with the
                    relevant metropolitan planning organizations to ensure
                    consistency, to the maximum extent practicable.

                    ``(ii) Public transportation performance targets.--In
                urbanized areas not represented by a metropolitan planning
                organization, selection of performance targets by a State
                shall be coordinated, to the maximum extent practicable,
                with providers of public transportation to ensure
                consistency with sections 5326(c) and 5329(d) of title 49.
                ``(C) Integration of other performance-based plans.--A
            State shall integrate into the statewide transportation
            planning process, directly or by reference, the goals,
            objectives, performance measures, and targets described in this
            paragraph, in other State transportation plans and
            transportation processes, as well as any plans developed
            pursuant to chapter 53 of title 49 by providers of public
            transportation in urbanized areas not represented by a
            metropolitan planning organization required as part of a
            performance-based program.
                ``(D) Use of performance measures and targets.--The
            performance measures and targets established under this
            paragraph shall be considered by a State when developing
            policies, programs, and investment priorities reflected in the
            statewide transportation plan and statewide transportation
            improvement program.
            ``(3) Failure to consider factors.--The failure to take into
        consideration the factors specified in paragraphs (1) and (2) shall
        not be subject to review by any court under this title, chapter 53
        of title 49, subchapter II of chapter 5 of title 5, or chapter 7 of
        title 5 in any matter affecting a statewide transportation plan, a
        statewide 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, at a minimum--
            ``(1) with respect to nonmetropolitan areas, cooperate with
        affected local officials with responsibility for transportation or,
        if applicable, through regional transportation planning
        organizations described in subsection (m);
            ``(2) consider the concerns of Indian tribal governments and
        Federal land management agencies that have jurisdiction over land
        within the boundaries of the State; and
            ``(3) consider 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 134.
                ``(B) Nonmetropolitan areas.--
                    ``(i) In general.--With respect to nonmetropolitan
                areas, the statewide transportation plan shall be developed
                in cooperation with affected nonmetropolitan officials with
                responsibility for transportation or, if applicable,
                through regional transportation planning organizations
                described in subsection (m).
                    ``(ii) Role of secretary.--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.
                ``(D) Consultation, comparison, and consideration.--
                    ``(i) In general.--The long-range transportation plan
                shall be developed, as appropriate, in consultation with
                State, tribal, and local agencies responsible for land use
                management, natural resources, environmental protection,
                conservation, and historic preservation.
                    ``(ii) Comparison and consideration.--Consultation
                under clause (i) shall involve comparison of transportation
                plans to State and tribal conservation plans or maps, if
                available, and comparison of transportation plans to
                inventories of natural or historic resources, if available.
            ``(3) Participation by interested parties.--
                ``(A) In general.--In developing the statewide
            transportation plan, the State shall provide to--
                    ``(i) nonmetropolitan local elected officials or, if
                applicable, through regional transportation planning
                organizations described in subsection (m), an opportunity
                to participate in accordance with subparagraph (B)(i); and
                    ``(ii) 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 a reasonable opportunity to comment on
                the proposed plan.
                ``(B) Methods.--In carrying out subparagraph (A), the State
            shall, to the maximum extent practicable--
                    ``(i) develop and document a consultative process to
                carry out subparagraph (A)(i) that is separate and discrete
                from the public involvement process developed under clause
                (ii);
                    ``(ii) hold any public meetings at convenient and
                accessible locations and times;
                    ``(iii) employ visualization techniques to describe
                plans; and
                    ``(iv) make public information available in
                electronically accessible format and means, such as the
                World Wide Web, as appropriate to afford reasonable
                opportunity for consideration of public information under
                subparagraph (A).
            ``(4) Mitigation activities.--
                ``(A) In general.--A long-range transportation plan shall
            include a discussion of potential environmental mitigation
            activities and potential areas to carry out these activities,
            including activities that may have the greatest potential to
            restore and maintain the environmental functions affected by
            the plan.
                ``(B) Consultation.--The discussion shall be developed in
            consultation with Federal, State, and tribal wildlife, land
            management, and regulatory agencies.
            ``(5) Financial plan.--The statewide transportation plan may
        include--
                ``(A) a financial plan that--
                    ``(i) demonstrates how the adopted statewide
                transportation plan can be implemented;
                    ``(ii) indicates resources from public and private
                sources that are reasonably expected to be made available
                to carry out the plan; and
                    ``(iii) recommends any additional financing strategies
                for needed projects and programs; and
                ``(B) 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.
            ``(6) 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 (5).
            ``(7) Performance-based approach.--The statewide transportation
        plan should include--
                ``(A) a description of the performance measures and
            performance targets used in assessing the performance of the
            transportation system in accordance with subsection (d)(2); and
                ``(B) a system performance report and subsequent updates
            evaluating the condition and performance of the transportation
            system with respect to the performance targets described in
            subsection (d)(2), including progress achieved by the
            metropolitan planning organization in meeting the performance
            targets in comparison with system performance recorded in
            previous reports;
            ``(8) 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.
            ``(9) Publication of long-range transportation plans.--Each
        long-range transportation plan prepared by a State shall be
        published or otherwise made available, including (to the maximum
        extent practicable) in electronically accessible formats and means,
        such as the World Wide Web.
        ``(g) Statewide Transportation Improvement Program.--
            ``(1) Development.--
                ``(A) In general.--Each State shall develop a statewide
            transportation improvement program for all areas of the State.
                ``(B) Duration and updating of program.--Each program
            developed under subparagraph (A) shall cover a period of 4
            years and shall be updated every 4 years or more frequently if
            the Governor of the State elects to update more frequently.
            ``(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 134.
                ``(B) Nonmetropolitan areas.--
                    ``(i) In general.--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 or, if applicable,
                through regional transportation planning organizations
                described in subsection (m).
                    ``(ii) Role of secretary.--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) Performance target achievement.--A statewide
        transportation improvement program shall include, to the maximum
        extent practicable, a discussion of the anticipated effect of the
        statewide transportation improvement program toward achieving the
        performance targets established in the statewide transportation
        plan, linking investment priorities to those performance targets.
            ``(5) 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) Listing of projects.--
                    ``(i) In general.--An annual listing of projects for
                which funds have been obligated for the preceding year in
                each metropolitan planning area shall be published or
                otherwise made available by the cooperative effort of the
                State, transit operator, and the metropolitan planning
                organization for public review.
                    ``(ii) Funding categories.--The listing described in
                clause (i) shall be consistent with the funding categories
                identified in each metropolitan transportation improvement
                program.
                ``(C) 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.
                ``(D) 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 a nonattainment area for ozone,
                particulate matter, or carbon monoxide under part D of
                title I of that Act (42 U.S.C. 7501 et seq.).
                ``(E) 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.
                ``(F) Financial plan.--
                    ``(i) In general.--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.
                    ``(ii) Additional projects.--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.
                ``(G) Selection of projects from illustrative list.--
                    ``(i) No required selection.--Notwithstanding
                subparagraph (F), a State shall not be required to select
                any project from the illustrative list of additional
                projects included in the financial plan under subparagraph
                (F).
                    ``(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 (F) for
                inclusion in an approved transportation improvement
                program.
                ``(H) Priorities.--The transportation improvement program
            shall reflect the priorities for programming and expenditures
            of funds, including transportation enhancement activities,
            required by this title and chapter 53 of title 49.
            ``(6) 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 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 this title or under sections 5310 and
            5311 of title 49), by the State in cooperation with the
            affected nonmetropolitan local officials with responsibility
            for transportation or, if applicable, through regional
            transportation planning organizations described in subsection
            (m).
                ``(B) Other projects.--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 this title or under sections 5310,
            5311, 5316, and 5317 of title 49 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.
            ``(7) 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.
            ``(8) 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 134.
            ``(9) 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) Performance-based Planning Processes Evaluation.--
            ``(1) In general.--The Secretary shall establish criteria to
        evaluate the effectiveness of the performance-based planning
        processes of States, taking into consideration the following:
                ``(A) The extent to which the State is making progress
            toward achieving, the performance targets described in
            subsection (d)(2), taking into account whether the State
            developed appropriate performance targets.
                ``(B) The extent to which the State has made transportation
            investments that are efficient and cost-effective.
                ``(C) The extent to which the State--
                    ``(i) has developed an investment process that relies
                on public input and awareness to ensure that investments
                are transparent and accountable; and
                    ``(ii) provides reports allowing the public to access
                the information being collected in a format that allows the
                public to meaningfully assess the performance of the State.
            ``(2) Report.--
                ``(A) In general.--Not later than 5 years after the date of
            enactment of the MAP-21, the Secretary shall submit to Congress
            a report evaluating--
                    ``(i) the overall effectiveness of performance-based
                planning as a tool for guiding transportation investments;
                and
                    ``(ii) the effectiveness of the performance-based
                planning process of each State.
                ``(B) Publication.--The report under subparagraph (A) shall
            be published or otherwise made available in electronically
            accessible formats and means, including on the Internet.
        ``(i) Funding.--Funds apportioned under section 104(b)(5) of this
    title and set aside under section 5305(g) of title 49 shall be
    available to carry out this section.
        ``(j) Treatment of Certain State Laws as Congestion Management
    Processes.--For purposes of this section and section 134, and sections
    5303 and 5304 of title 49, State laws, rules, or regulations pertaining
    to congestion management systems or programs may constitute the
    congestion management process under this section and section 134, and
    sections 5303 and 5304 of title 49, if the Secretary finds that the
    State laws, rules, or regulations are consistent with, and fulfill the
    intent of, the purposes of this section and section 134 and sections
    5303 and 5304 of title 49, as appropriate.
        ``(k) 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 that 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 the
    National Environmental Policy Act of 1969 (42 U.S.C. 4321 et seq.).
        ``(l) Schedule for Implementation.--The Secretary shall issue
    guidance on a schedule for implementation of the changes made by this
    section, taking into consideration the established planning update
    cycle for States. The Secretary shall not require a State to deviate
    from its established planning update cycle to implement changes made by
    this section. States shall reflect changes made to their transportation
    plan or transportation improvement program updates not later than 2
    years after the date of issuance of guidance by the Secretary under
    this subsection.
        ``(m) Designation of Regional Transportation Planning
    Organizations.--
            ``(1) In general.--To carry out the transportation planning
        process required by this section, a State may establish and
        designate regional transportation planning organizations to enhance
        the planning, coordination, and implementation of statewide
        strategic long-range transportation plans and transportation
        improvement programs, with an emphasis on addressing the needs of
        nonmetropolitan areas of the State.
            ``(2) Structure.--A regional transportation planning
        organization shall be established as a multijurisdictional
        organization of nonmetropolitan local officials or their designees
        who volunteer for such organization and representatives of local
        transportation systems who volunteer for such organization.
            ``(3) Requirements.--A regional transportation planning
        organization shall establish, at a minimum--
                ``(A) a policy committee, the majority of which shall
            consist of nonmetropolitan local officials, or their designees,
            and, as appropriate, additional representatives from the State,
            private business, transportation service providers, economic
            development practitioners, and the public in the region; and
                ``(B) a fiscal and administrative agent, such as an
            existing regional planning and development organization, to
            provide professional planning, management, and administrative
            support.
            ``(4) Duties.--The duties of a regional transportation planning
        organization shall include--
                ``(A) developing and maintaining, in cooperation with the
            State, regional long-range multimodal transportation plans;
                ``(B) developing a regional transportation improvement
            program for consideration by the State;
                ``(C) fostering the coordination of local planning, land
            use, and economic development plans with State, regional, and
            local transportation plans and programs;
                ``(D) providing technical assistance to local officials;
                ``(E) participating in national, multistate, and State
            policy and planning development processes to ensure the
            regional and local input of nonmetropolitan areas;
                ``(F) providing a forum for public participation in the
            statewide and regional transportation planning processes;
                ``(G) considering and sharing plans and programs with
            neighboring regional transportation planning organizations,
            metropolitan planning organizations, and, where appropriate,
            tribal organizations; and
                ``(H) conducting other duties, as necessary, to support and
            enhance the statewide planning process under subsection (d).
            ``(5) States without regional transportation planning
        organizations.--If a State chooses not to establish or designate a
        regional transportation planning organization, the State shall
        consult with affected nonmetropolitan local officials to determine
        projects that may be of regional significance.''.
        (b) Conforming Amendment.--The analysis for chapter 1 of title 23,
    United States Code, is amended by striking the item relating to section
    135 and inserting the following:

    ``135. Statewide and nonmetropolitan transportation planning.''.
    SEC. 1203. NATIONAL GOALS AND PERFORMANCE MANAGEMENT MEASURES.
        (a) In General.--Section 150 of title 23, United States Code, is
    amended to read as follows:
    ``Sec. 150. National goals and performance management measures
        ``(a) Declaration of Policy.--Performance management will transform
    the Federal-aid highway program and provide a means to the most
    efficient investment of Federal transportation funds by refocusing on
    national transportation goals, increasing the accountability and
    transparency of the Federal-aid highway program, and improving project
    decisionmaking through performance-based planning and programming.
        ``(b) National Goals.--It is in the interest of the United States
    to focus the Federal-aid highway program on the following national
    goals:
            ``(1) Safety.--To achieve a significant reduction in traffic
        fatalities and serious injuries on all public roads.
            ``(2) Infrastructure condition.--To maintain the highway
        infrastructure asset system in a state of good repair.
            ``(3) Congestion reduction.--To achieve a significant reduction
        in congestion on the National Highway System.
            ``(4) System reliability.--To improve the efficiency of the
        surface transportation system.
            ``(5) Freight movement and economic vitality.--To improve the
        national freight network, strengthen the ability of rural
        communities to access national and international trade markets, and
        support regional economic development.
            ``(6) Environmental sustainability.--To enhance the performance
        of the transportation system while protecting and enhancing the
        natural environment.
            ``(7) Reduced project delivery delays.--To reduce project
        costs, promote jobs and the economy, and expedite the movement of
        people and goods by accelerating project completion through
        eliminating delays in the project development and delivery process,
        including reducing regulatory burdens and improving agencies' work
        practices.
        ``(c) Establishment of Performance Measures.--
            ``(1) In general.--Not later than 18 months after the date of
        enactment of the MAP-21, the Secretary, in consultation with State
        departments of transportation, metropolitan planning organizations,
        and other stakeholders, shall promulgate a rulemaking that
        establishes performance measures and standards.
            ``(2) Administration.--In carrying out paragraph (1), the
        Secretary shall--
                ``(A) provide States, metropolitan planning organizations,
            and other stakeholders not less than 90 days to comment on any
            regulation proposed by the Secretary under that paragraph;
                ``(B) take into consideration any comments relating to a
            proposed regulation received during that comment period; and
                ``(C) limit performance measures only to those described in
            this subsection.
            ``(3) National highway performance program.--
                ``(A) In general.--Subject to subparagraph (B), for the
            purpose of carrying out section 119, the Secretary shall
            establish--
                    ``(i) minimum standards for States to use in developing
                and operating bridge and pavement management systems;
                    ``(ii) measures for States to use to assess--

                        ``(I) the condition of pavements on the Interstate
                    system;
                        ``(II) the condition of pavements on the National
                    Highway System (excluding the Interstate);
                        ``(III) the condition of bridges on the National
                    Highway System;
                        ``(IV) the performance of the Interstate System;
                    and
                        ``(V) the performance of the National Highway
                    System (excluding the Interstate System);

                    ``(iii) minimum levels for the condition of pavement on
                the Interstate System, only for the purposes of carrying
                out section 119(f)(1); and
                    ``(iv) the data elements that are necessary to collect
                and maintain standardized data to carry out a performance-
                based approach.
                ``(B) Regions.--In establishing minimum condition levels
            under subparagraph (A)(iii), if the Secretary determines that
            various geographic regions of the United States experience
            disparate factors contributing to the condition of pavement on
            the Interstate System in those regions, the Secretary may
            establish different minimum levels for each region;
            ``(4) Highway safety improvement program.--For the purpose of
        carrying out section 148, the Secretary shall establish measures
        for States to use to assess--
                ``(A) serious injuries and fatalities per vehicle mile
            traveled; and
                ``(B) the number of serious injuries and fatalities.
            ``(5) Congestion mitigation and air quality program.--For the
        purpose of carrying out section 149, the Secretary shall establish
        measures for States to use to assess--
                ``(A) traffic congestion; and
                ``(B) on-road mobile source emissions.
            ``(6) National freight movement.--The Secretary shall establish
        measures for States to use to assess freight movement on the
        Interstate System.
        ``(d) Establishment of Performance Targets.--
            ``(1) In general.--Not later than 1 year after the Secretary
        has promulgated the final rulemaking under subsection (c), each
        State shall set performance targets that reflect the measures
        identified in paragraphs (3), (4), (5), and (6) of subsection (c).
            ``(2) Different approaches for urban and rural areas.--In the
        development and implementation of any performance target, a State
        may, as appropriate, provide for different performance targets for
        urbanized and rural areas.
        ``(e) Reporting on Performance Targets.--Not later than 4 years
    after the date of enactment of the MAP-21 and biennially thereafter, a
    State shall submit to the Secretary a report that describes--
            ``(1) the condition and performance of the National Highway
        System in the State;
            ``(2) the effectiveness of the investment strategy document in
        the State asset management plan for the National Highway System;
            ``(3) progress in achieving performance targets identified
        under subsection (d); and
            ``(4) the ways in which the State is addressing congestion at
        freight bottlenecks, including those identified in the National
        Freight Strategic Plan, within the State.''.
        (b) Conforming Amendment.--The analysis for chapter 1 of title 23,
    United States Code, is amended by striking the item relating to section
    150 and inserting the following:

    ``150. National goals and performance management measures.''.

                  Subtitle C--Acceleration of Project Delivery

    SEC. 1301. DECLARATION OF POLICY AND PROJECT DELIVERY INITIATIVE.
        (a) In General.--It is the policy of the United States that--
            (1) it is in the national interest for the Department, State
        departments of transportation, transit agencies, and all other
        recipients of Federal transportation funds--
                (A) to accelerate project delivery and reduce costs; and
                (B) to ensure that the planning, design, engineering,
            construction, and financing of transportation projects is done
            in an efficient and effective manner, promoting accountability
            for public investments and encouraging greater private sector
            involvement in project financing and delivery while enhancing
            safety and protecting the environment;
            (2) delay in the delivery of transportation projects increases
        project costs, harms the economy of the United States, and impedes
        the travel of the people of the United States and the shipment of
        goods for the conduct of commerce; and
            (3) the Secretary shall identify and promote the deployment of
        innovation aimed at reducing the time and money required to deliver
        transportation projects while enhancing safety and protecting the
        environment.
        (b) Project Delivery Initiative.--
            (1) In general.--To advance the policy described in subsection
        (a), the Secretary shall carry out a project delivery initiative
        under this section.
            (2) Purposes.--The purposes of the project delivery initiative
        shall be--
                (A) to develop and advance the use of best practices to
            accelerate project delivery and reduce costs across all modes
            of transportation and expedite the deployment of technology and
            innovation;
                (B) to implement provisions of law designed to accelerate
            project delivery; and
                (C) to select eligible projects for applying experimental
            features to test innovative project delivery techniques.
            (3) Advancing the use of best practices.--
                (A) In general.--In carrying out the initiative under this
            section, the Secretary shall identify and advance best
            practices to reduce delivery time and project costs, from
            planning through construction, for transportation projects and
            programs of projects regardless of mode and project size.
                (B) Administration.--To advance the use of best practices,
            the Secretary shall--
                    (i) engage interested parties, affected communities,
                resource agencies, and other stakeholders to gather
                information regarding opportunities for accelerating
                project delivery and reducing costs;
                    (ii) establish a clearinghouse for the collection,
                documentation, and advancement of existing and new
                innovative approaches and best practices;
                    (iii) disseminate information through a variety of
                means to transportation stakeholders on new innovative
                approaches and best practices; and
                    (iv) provide technical assistance to assist
                transportation stakeholders in the use of flexibility
                authority to resolve project delays and accelerate project
                delivery if feasible.
            (4) Implementation of accelerated project delivery.--The
        Secretary shall ensure that the provisions of this subtitle
        designed to accelerate project delivery are fully implemented,
        including--
                (A) expanding eligibility of early acquisition of property
            prior to completion of environmental review under the National
            Environmental Policy Act of 1969 (42 U.S.C. 4321 et seq.);
                (B) allowing the use of the construction manager or general
            contractor method of contracting in the Federal-aid highway
            system; and
                (C) establishing a demonstration program to streamline the
            relocation process by permitting a lump-sum payment for
            acquisition and relocation if elected by the displaced
            occupant.
        (c) Expedited Project Delivery.--Section 101(b) of title 23, United
    States Code, is amended by adding at the end the following:
            ``(4) Expedited project delivery.--
                ``(A) In general.--Congress declares that it is in the
            national interest to expedite the delivery of surface
            transportation projects by substantially reducing the average
            length of the environmental review process.
                ``(B) Policy of the united states.--Accordingly, it is the
            policy of the United States that--
                    ``(i) the Secretary shall have the lead role among
                Federal agencies in carrying out the environmental review
                process for surface transportation projects;
                    ``(ii) each Federal agency shall cooperate with the
                Secretary to expedite the environmental review process for
                surface transportation projects;
                    ``(iii) project sponsors shall not be prohibited from
                carrying out preconstruction project development activities
                concurrently with the environmental review process;
                    ``(iv) programmatic approaches shall be used to reduce
                the need for project-by-project reviews and decisions by
                Federal agencies; and
                    ``(v) the Secretary shall identify opportunities for
                project sponsors to assume responsibilities of the
                Secretary where such responsibilities can be assumed in a
                manner that protects public health, the environment, and
                public participation.''.
    SEC. 1302. ADVANCE ACQUISITION OF REAL PROPERTY INTERESTS.
        (a) Real Property Interests.--Section 108 of title 23, United
    States Code, is amended--
            (1) by striking ``real property'' each place it appears and
        inserting ``real property interests'';
            (2) by striking ``right-of-way'' each place it appears and
        inserting ``real property interest''; and
            (3) by striking ``rights-of-way'' each place it appears and
        inserting ``real property interests''.
        (b) State-funded Early Acquisition of Real Property Interests.--
    Section 108(c) of title 23, United States Code, is amended--
            (1) in the subsection heading, by striking ``Early Acquisition
        of Rights-of-way'' and inserting ``State-funded Early Acquisition
        of Real Property Interests'';
            (2) by redesignating paragraphs (1) and (2) as paragraphs (2)
        and (3), respectively;
            (3) in paragraph (2) (as so redesignated)--
                (A) in the heading, by striking ``General rule'' and
            inserting ``Eligibility for reimbursement''; and
                (B) by striking ``Subject to paragraph (2)'' and inserting
            ``Subject to paragraph (3)'';
            (4) by inserting before paragraph (2) (as so redesignated) the
        following:
            ``(1) In general.--A State may carry out, at the expense of the
        State, acquisitions of interests in real property for a project
        before completion of the review process required for the project
        under the National Environmental Policy Act of 1969 (42 U.S.C. 4321
        et seq.) without affecting subsequent approvals required for the
        project by the State or any Federal agency.''; and
            (5) in paragraph (3) (as so redesignated)--
                (A) in the matter preceding subparagraph (A), by striking
            ``in paragraph (1)'' and inserting ``in paragraph (2)''; and
                (B) in subparagraph (G), by striking ``both the Secretary
            and the Administrator of the Environmental Protection Agency
            have concurred'' and inserting ``the Secretary has
            determined''.
        (c) Federally Funded Acquisition of Real Property Interests.--
    Section 108 of title 23, United States Code, is amended by adding at
    the end the following:
        ``(d) Federally Funded Early Acquisition of Real Property
    Interests.--
            ``(1) Definition of acquisition of a real property interest.--
        In this subsection, the term `acquisition of a real property
        interest' includes the acquisition of--
                ``(A) any interest in land;
                ``(B) a contractual right to acquire any interest in land;
            or
                ``(C) any other similar action to acquire or preserve
            rights-of-way for a transportation facility.
            ``(2) Authorization.--The Secretary may authorize the use of
        funds apportioned to a State under this title for the acquisition
        of a real property interest by a State.
            ``(3) State certification.--A State requesting Federal funding
        for an acquisition of a real property interest shall certify in
        writing, with concurrence by the Secretary, that--
                ``(A) the State has authority to acquire the real property
            interest under State law; and
                ``(B) the acquisition of the real property interest--
                    ``(i) is for a transportation purpose;
                    ``(ii) will not cause any significant adverse
                environmental impact;
                    ``(iii) will not limit the choice of reasonable
                alternatives for the project or otherwise influence the
                decision of the Secretary on any approval required for the
                project;
                    ``(iv) does not prevent the lead agency from making an
                impartial decision as to whether to accept an alternative
                that is being considered in the environmental review
                process;
                    ``(v) is consistent with the State transportation
                planning process under section 135;
                    ``(vi) complies with other applicable Federal laws
                (including regulations);
                    ``(vii) will be acquired through negotiation, without
                the threat of condemnation; and
                    ``(viii) will not result in a reduction or elimination
                of benefits or assistance to a displaced person required by
                the Uniform Relocation Assistance and Real Property
                Acquisition Policies Act of 1970 (42 U.S.C. 4601 et seq.)
                and title VI of the Civil Rights Act of 1964 (42 U.S.C.
                2000d et seq.).
            ``(4) Environmental compliance.--
                ``(A) In general.--Before authorizing Federal funding for
            an acquisition of a real property interest, the Secretary shall
            complete the review process under the National Environmental
            Policy Act of 1969 (42 U.S.C. 4321 et seq.) with respect to the
            acquisition of the real property interest.
                ``(B) Independent utility.--The acquisition of a real
            property interest--
                    ``(i) shall be treated as having independent utility
                for purposes of the review process under the National
                Environmental Policy Act of 1969 (42 U.S.C. 4321 et seq.);
                and
                    ``(ii) shall not limit consideration of alternatives
                for future transportation improvements with respect to the
                real property interest.
            ``(5) Programming.--
                ``(A) In general.--The acquisition of a real property
            interest for which Federal funding is requested shall be
            included as a project in an applicable transportation
            improvement program under sections 134 and 135 and sections
            5303 and 5304 of title 49.
                ``(B) Acquisition project.--The acquisition project may
            consist of the acquisition of a specific parcel, a portion of a
            transportation corridor, or an entire transportation corridor.
            ``(6) Development.--Real property interests acquired under this
        subsection may not be developed in anticipation of a project until
        all required environmental reviews for the project have been
        completed.
            ``(7) Reimbursement.--If Federal-aid reimbursement is made for
        real property interests acquired early under this section and the
        real property interests are not subsequently incorporated into a
        project eligible for surface transportation funds within the time
        allowed by subsection (a)(2), the Secretary shall offset the amount
        reimbursed against funds apportioned to the State.
            ``(8) Other requirements and conditions.--
                ``(A) Applicable law.--The acquisition of a real property
            interest shall be carried out in compliance with all
            requirements applicable to the acquisition of real property
            interests for federally funded transportation projects.
                ``(B) Additional conditions.--The Secretary may establish
            such other conditions or restrictions on acquisitions under
            this subsection as the Secretary determines to be
            appropriate.''.
    SEC. 1303. LETTING OF CONTRACTS.
        (a) Efficiencies in Contracting.--Section 112(b) of title 23,
    United States Code, is amended by adding at the end the following:
            ``(4) Method of contracting.--
                ``(A) In general.--
                    ``(i) 2-phase contract.--A contracting agency may award
                a 2-phase contract to a construction manager or general
                contractor for preconstruction and construction services.
                    ``(ii) Preconstruction services phase.--In the
                preconstruction services phase of a contract under this
                paragraph, the contractor shall provide the contracting
                agency with advice for scheduling, work sequencing, cost
                engineering, constructability, cost estimating, and risk
                identification.
                    ``(iii) Agreement.--Prior to the start of the
                construction services phase, the contracting agency and the
                contractor may agree to a price and other factors specified
                in regulation for the construction of the project or a
                portion of the project.
                    ``(iv) Construction phase.--If an agreement is reached
                under clause (iii), the contractor shall be responsible for
                the construction of the project or portion of the project
                at the negotiated price and in compliance with the other
                factors specified in the agreement.
                ``(B) Selection.--A contract shall be awarded to a
            contractor under this paragraph using a competitive selection
            process based on qualifications, experience, best value, or any
            other combination of factors considered appropriate by the
            contracting agency.
                ``(C) Timing.--
                    ``(i) Relationship to nepa process.--Prior to the
                completion of the environmental review process required
                under section 102 of the National Environmental Policy Act
                of 1969 (42 U.S.C. 4332), a contracting agency may--

                        ``(I) issue requests for proposals;
                        ``(II) proceed with the award of a contract for
                    preconstruction services under subparagraph (A)(ii);
                    and
                        ``(III) issue notices to proceed with a preliminary
                    design and any work related to preliminary design, to
                    the extent that those actions do not limit any
                    reasonable range of alternatives.

                    ``(ii) Construction services phase.--A contracting
                agency shall not proceed with the award of the construction
                services phase of a contract under subparagraph (A)(iv) and
                shall not proceed, or permit any consultant or contractor
                to proceed, with final design or construction until
                completion of the environmental review process required
                under section 102 of the National Environmental Policy Act
                of 1969 (42 U.S.C. 4332).
                    ``(iii) Approval requirement.--Prior to authorizing
                construction activities, the Secretary shall approve--

                        ``(I) the price estimate of the contracting agency
                    for the entire project; and
                        ``(II) any price agreement with the general
                    contractor for the project or a portion of the project.

                    ``(iv) Design activities.--

                        ``(I) In general.--A contracting agency may
                    proceed, at the expense of the contracting agency, with
                    design activities at any level of detail for a project
                    before completion of the review process required for
                    the project under the National Environmental Policy Act
                    of 1969 (42 U.S.C. 4321 et seq.) without affecting
                    subsequent approvals required for the project.
                        ``(II) Reimbursement.--Design activities carried
                    out under subclause (I) shall be eligible for Federal
                    reimbursement as a project expense in accordance with
                    the requirements under section 109(r).

                    ``(v) Termination provision.--The Secretary shall
                require a contract to include an appropriate termination
                provision in the event that a no-build alternative is
                selected.''.
        (b) Regulations.--The Secretary shall promulgate such regulations
    as are necessary to carry out the amendment made by subsection (a).
        (c) Effect on Experimental Program.--Nothing in this section or the
    amendment made by this section affects the authority to carry out, or
    any project carried out under, any experimental program concerning
    construction manager risk that is being carried out by the Secretary as
    of the date of enactment of this Act.
    SEC. 1304. INNOVATIVE PROJECT DELIVERY METHODS.
        (a) Declaration of Policy.--
            (1) In general.--Congress declares that it is in the national
        interest to promote the use of innovative technologies and
        practices that increase the efficiency of construction of, improve
        the safety of, and extend the service life of highways and bridges.
            (2) Inclusions.--The innovative technologies and practices
        described in paragraph (1) include state-of-the-art intelligent
        transportation system technologies, elevated performance standards,
        and new highway construction business practices that improve
        highway safety and quality, accelerate project delivery, and reduce
        congestion related to highway construction.
        (b) Federal Share.--Section 120(c) of title 23, United States Code,
    is amended by adding at the end the following:
            ``(3) Innovative project delivery.--
                ``(A) In general.--Except as provided in subparagraph (C),
            the Federal share payable on account of a project, program, or
            activity carried out with funds apportioned under paragraph
            (1), (2), or (5) of section 104(b) may, at the discretion of
            the State, be up to 100 percent for any such project, program,
            or activity that the Secretary determines--
                    ``(i) contains innovative project delivery methods that
                improve work zone safety for motorists or workers and the
                quality of the facility;
                    ``(ii) contains innovative technologies, manufacturing
                processes, financing, or contracting methods that improve
                the quality of, extend the service life of, or decrease the
                long-term costs of maintaining highways and bridges;
                    ``(iii) accelerates project delivery while complying
                with other applicable Federal laws (including regulations)
                and not causing any significant adverse environmental
                impact; or
                    ``(iv) reduces congestion related to highway
                construction.
                ``(B) Examples.--Projects, programs, and activities
            described in subparagraph (A) may include the use of--
                    ``(i) prefabricated bridge elements and systems and
                other technologies to reduce bridge construction time;
                    ``(ii) innovative construction equipment, materials, or
                techniques, including the use of in-place recycling
                technology and digital 3-dimensional modeling technologies;
                    ``(iii) innovative contracting methods, including the
                design-build and the construction manager-general
                contractor contracting methods;
                    ``(iv) intelligent compaction equipment; or
                    ``(v) contractual provisions that offer a contractor an
                incentive payment for early completion of the project,
                program, or activity, subject to the condition that the
                incentives are accounted for in the financial plan of the
                project, when applicable.
                ``(C) Limitations.--
                    ``(i) In general.--In each fiscal year, a State may use
                the authority under subparagraph (A) for up to 10 percent
                of the combined apportionments of the State under
                paragraphs (1), (2), and (5) of section 104(b).
                    ``(ii) Federal share increase.--The Federal share
                payable on account of a project, program, or activity
                described in subparagraph (A) may be increased by up to 5
                percent of the total project cost.''.
    SEC. 1305. EFFICIENT ENVIRONMENTAL REVIEWS FOR PROJECT DECISIONMAKING.
        (a) Flexibility.--Section 139(b) of title 23, United States Code,
    is amended--
            (1) in paragraph (2) by inserting ``, and any requirements
        established under this section may be satisfied,'' after
        ``exercised''; and
            (2) by adding at the end the following:
            ``(3) Programmatic compliance.--
                ``(A) In general.--The Secretary shall initiate a
            rulemaking to allow for the use of programmatic approaches to
            conduct environmental reviews that--
                    ``(i) eliminate repetitive discussions of the same
                issues;
                    ``(ii) focus on the actual issues ripe for analyses at
                each level of review; and
                    ``(iii) are consistent with--

                        ``(I) the National Environmental Policy Act of 1969
                    (42 U.S.C. 4321 et seq.); and
                        ``(II) other applicable laws.

                ``(B) Requirements.--In carrying out subparagraph (A), the
            Secretary shall--
                    ``(i) before initiating the rulemaking under that
                subparagraph, consult with relevant Federal agencies and
                State resource agencies, State departments of
                transportation, Indian tribes, and the public on the
                appropriate use and scope of the programmatic approaches;
                    ``(ii) emphasize the importance of collaboration among
                relevant Federal agencies, State agencies, and Indian
                tribes in undertaking programmatic reviews, especially with
                respect to including reviews with a broad geographic scope;
                    ``(iii) ensure that the programmatic reviews--

                        ``(I) promote transparency, including of the
                    analyses and data used in the environmental reviews,
                    the treatment of any deferred issues raised by agencies
                    or the public, and the temporal and special scales to
                    be used to analyze such issues;
                        ``(II) use accurate and timely information in
                    reviews, including--

                            ``(aa) criteria for determining the general
                        duration of the usefulness of the review; and
                            ``(bb) the timeline for updating any out-of-
                        date review;

                        ``(III) describe--

                            ``(aa) the relationship between programmatic
                        analysis and future tiered analysis; and
                            ``(bb) the role of the public in the creation
                        of future tiered analysis; and

                        ``(IV) are available to other relevant Federal and
                    State agencies, Indian tribes, and the public;

                    ``(iv) allow not fewer than 60 days of public notice
                and comment on any proposed rule; and
                    ``(v) address any comments received under clause
                (iv).''.
        (b) Federal Lead Agency.--Section 139(c) of title 23, United States
    Code, is amended--
            (1) in paragraph (1)--
                (A) by striking ``The Department of Transportation'' and
            inserting the following:
                ``(A) In general.--The Department of Transportation''; and
                (B) by adding at the end the following:
                ``(B) Modal administration.--If the project requires
            approval from more than 1 modal administration within the
            Department, the Secretary may designate a single modal
            administration to serve as the Federal lead agency for the
            Department in the environmental review process for the
            project.''.
        (c) Participating Agencies.--Section 139(d) of title 23, United
    States Code, is amended--
            (1) by striking paragraph (4) and inserting the following:
            ``(4) Effect of designation.--
                ``(A) Requirement.--A participating agency shall comply
            with the requirements of this section.
                ``(B) Implication.--Designation as a participating agency
            under this subsection shall not imply that the participating
            agency--
                    ``(i) supports a proposed project; or
                    ``(ii) has any jurisdiction over, or special expertise
                with respect to evaluation of, the project.''; and
            (2) by striking paragraph (7) and inserting the following:
            ``(7) Concurrent reviews.--Each participating agency and
        cooperating agency shall--
                ``(A) carry out the obligations of that agency under other
            applicable law concurrently, and in conjunction, with the
            review required under the National Environmental Policy Act of
            1969 (42 U.S.C. 4321 et seq.), unless doing so would impair the
            ability of the Federal agency to conduct needed analysis or
            otherwise carry out those obligations; and
                ``(B) formulate and implement administrative, policy, and
            procedural mechanisms to enable the agency to ensure completion
            of the environmental review process in a timely, coordinated,
            and environmentally responsible manner.''.
        (d) Project Initiation.--Section 139(e) of title 23, United States
    Code, is amended--
            (1) by striking ``The project sponsor'' and inserting the
        following:
            ``(1) In general.--The project sponsor''; and
            (2) by adding at the end the following:
            ``(2) Submission of documents.--The project sponsor may satisfy
        the requirement under paragraph (1) by submitting to the Secretary
        any relevant documents containing the information described in that
        paragraph, including a draft notice for publication in the Federal
        Register announcing the preparation of an environmental review for
        the project.''.
        (e) Coordination and Scheduling.--Section 139(g)(1)(B)(i) of title
    23, United States Code, is amended by inserting ``and the concurrence
    of'' after ``consultation with''.
    SEC. 1306. ACCELERATED DECISIONMAKING.
        Section 139(h) of title 23, United States Code, is amended by
    striking paragraph (4) and inserting the following:
            ``(4) Interim decision on achieving accelerated
        decisionmaking.--
                ``(A) In general.--Not later than 30 days after the close
            of the public comment period on a draft environmental impact
            statement, the Secretary may convene a meeting with the project
            sponsor, lead agency, resource agencies, and any relevant State
            agencies to ensure that all parties are on schedule to meet
            deadlines for decisions to be made regarding the project.
                ``(B) Deadlines.--The deadlines referred to in subparagraph
            (A) shall be those established under subsection (g), or any
            other deadlines established by the lead agency, in consultation
            with the project sponsor and other relevant agencies.
                ``(C) Failure to assure.--If the relevant agencies cannot
            provide reasonable assurances that the deadlines described in
            subparagraph (B) will be met, the Secretary may initiate the
            issue resolution and referral process described under paragraph
            (5) and before the completion of the record of decision.
            ``(5) Accelerated issue resolution and referral.--
                ``(A) Agency issue resolution meeting.--
                    ``(i) In general.--A Federal agency of jurisdiction,
                project sponsor, or the Governor of a State in which a
                project is located may request an issue resolution meeting
                to be conducted by the lead agency.
                    ``(ii) Action by lead agency.--The lead agency shall
                convene an issue resolution meeting under clause (i) with
                the relevant participating agencies and the project
                sponsor, including the Governor only if the meeting was
                requested by the Governor, to resolve issues that could--

                        ``(I) delay completion of the environmental review
                    process; or
                        ``(II) result in denial of any approvals required
                    for the project under applicable laws.

                    ``(iii) Date.--A meeting requested under this
                subparagraph shall be held by not later than 21 days after
                the date of receipt of the request for the meeting, unless
                the lead agency determines that there is good cause to
                extend the time for the meeting.
                    ``(iv) Notification.--On receipt of a request for a
                meeting under this subparagraph, the lead agency shall
                notify all relevant participating agencies of the request,
                including the issue to be resolved, and the date for the
                meeting.
                    ``(v) Disputes.--If a relevant participating agency
                with jurisdiction over an approval required for a project
                under applicable law determines that the relevant
                information necessary to resolve the issue has not been
                obtained and could not have been obtained within a
                reasonable time, but the lead agency disagrees, the
                resolution of the dispute shall be forwarded to the heads
                of the relevant agencies for resolution.
                    ``(vi) Convention by lead agency.--A lead agency may
                convene an issue resolution meeting under this subsection
                at any time without the request of the Federal agency of
                jurisdiction, project sponsor, or the Governor of a State.
                ``(B) Elevation of issue resolution.--
                    ``(i) In general.--If issue resolution is not achieved
                by not later than 30 days after the date of a relevant
                meeting under subparagraph (A), the Secretary shall notify
                the lead agency, the heads of the relevant participating
                agencies, and the project sponsor (including the Governor
                only if the initial issue resolution meeting request came
                from the Governor) that an issue resolution meeting will be
                convened.
                    ``(ii) Requirements.--The Secretary shall identify the
                issues to be addressed at the meeting and convene the
                meeting not later than 30 days after the date of issuance
                of the notice.
                ``(C) Referral of issue resolution.--
                    ``(i) Referral to council on environmental quality.--

                        ``(I) In general.--If resolution is not achieved by
                    not later than 30 days after the date of an issue
                    resolution meeting under subparagraph (B), the
                    Secretary shall refer the matter to the Council on
                    Environmental Quality.
                        ``(II) Meeting.--Not later than 30 days after the
                    date of receipt of a referral from the Secretary under
                    subclause (I), the Council on Environmental Quality
                    shall hold an issue resolution meeting with the lead
                    agency, the heads of relevant participating agencies,
                    and the project sponsor (including the Governor only if
                    an initial request for an issue resolution meeting came
                    from the Governor).

                    ``(ii) Referral to the president.--If a resolution is
                not achieved by not later than 30 days after the date of
                the meeting convened by the Council on Environmental
                Quality under clause (i)(II), the Secretary shall refer the
                matter directly to the President.
            ``(6) Financial penalty provisions.--
                ``(A) In general.--A Federal agency of jurisdiction over an
            approval required for a project under applicable laws shall
            complete any required approval on an expeditious basis using
            the shortest existing applicable process.
                ``(B) Failure to decide.--
                    ``(i) In general.--If an agency described in
                subparagraph (A) fails to render a decision under any
                Federal law relating to a project that requires the
                preparation of an environmental impact statement or
                environmental assessment, including the issuance or denial
                of a permit, license, or other approval by the date
                described in clause (ii), an amount of funding equal to the
                amounts specified in subclause (I) or (II) shall be
                rescinded from the applicable office of the head of the
                agency, or equivalent office to which the authority for
                rendering the decision has been delegated by law by not
                later than 1 day after the applicable date under clause
                (ii), and once each week thereafter until a final decision
                is rendered, subject to subparagraph (C)--

                        ``(I) $20,000 for any project for which an annual
                    financial plan under section 106(i) is required; or
                        ``(II) $10,000 for any other project requiring
                    preparation of an environmental assessment or
                    environmental impact statement.

                    ``(ii) Description of date.--The date referred to in
                clause (i) is the later of--

                        ``(I) the date that is 180 days after the date on
                    which an application for the permit, license, or
                    approval is complete; and
                        ``(II) the date that is 180 days after the date on
                    which the Federal lead agency issues a decision on the
                    project under the National Environmental Policy Act of
                    1969 (42 U.S.C. 4321 et seq.).

                ``(C) Limitations.--
                    ``(i) In general.--No rescission of funds under
                subparagraph (B) relating to an individual project shall
                exceed, in any fiscal year, an amount equal to 2.5 percent
                of the funds made available for the applicable agency
                office.
                    ``(ii) Failure to decide.--The total amount rescinded
                in a fiscal year as a result of a failure by an agency to
                make a decision by an applicable deadline shall not exceed
                an amount equal to 7 percent of the funds made available
                for the applicable agency office for that fiscal year.
                ``(D) No fault of agency.--A rescission of funds under this
            paragraph shall not be made if the lead agency for the project
            certifies that--
                    ``(i) the agency has not received necessary information
                or approvals from another entity, such as the project
                sponsor, in a manner that affects the ability of the agency
                to meet any requirements under State, local, or Federal
                law; or
                    ``(ii) significant new information or circumstances,
                including a major modification to an aspect of the project,
                requires additional analysis for the agency to make a
                decision on the project application.
                ``(E) Limitation.--The Federal agency with jurisdiction for
            the decision from which funds are rescinded pursuant to this
            paragraph shall not reprogram funds to the office of the head
            of the agency, or equivalent office, to reimburse that office
            for the loss of the funds.
                ``(F) Audits.--In any fiscal year in which any funds are
            rescinded from a Federal agency pursuant to this paragraph, the
            Inspector General of that agency shall--
                    ``(i) conduct an audit to assess compliance with the
                requirements of this paragraph; and
                    ``(ii) not later than 120 days after the end of the
                fiscal year during which the rescission occurred, 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 describing the
                reasons why the transfers were levied, including
                allocations of resources.
                ``(G) Effect of paragraph.--Nothing in this paragraph
            affects or limits the application of, or obligation to comply
            with, any Federal, State, local, or tribal law.
            ``(7) Expedient decisions and reviews.--To ensure that Federal
        environmental decisions and reviews are expeditiously made--
                ``(A) adequate resources made available under this title
            shall be devoted to ensuring that applicable environmental
            reviews under the National Environmental Policy Act of 1969 (42
            U.S.C. 4321 et seq.) are completed on an expeditious basis and
            that the shortest existing applicable process under that Act is
            implemented; and
                ``(B) the President shall submit to the Committee on
            Transportation and Infrastructure of the House of
            Representatives and the Committee on Environment and Public
            Works of the Senate, not less frequently than once every 120
            days after the date of enactment of the MAP-21, a report on the
            status and progress of the following projects and activities
            funded under this title with respect to compliance with
            applicable requirements under the National Environmental Policy
            Act of 1969 (42 U.S.C. 4321 et seq.):
                    ``(i) Projects and activities required to prepare an
                annual financial plan under section 106(i).
                    ``(ii) A sample of not less than 5 percent of the
                projects requiring preparation of an environmental impact
                statement or environmental assessment in each State.''.
    SEC. 1307. ASSISTANCE TO AFFECTED FEDERAL AND STATE AGENCIES.
        Section 139(j) of title 23, United States Code, is amended by
    adding at the end the following:
            ``(6) Memorandum of understanding.--Prior to providing funds
        approved by the Secretary for dedicated staffing at an affected
        Federal agency under paragraphs (1) and (2), the affected Federal
        agency and the State agency shall enter into a memorandum of
        understanding that establishes the projects and priorities to be
        addressed by the use of the funds.''.
    SEC. 1308. LIMITATIONS ON CLAIMS.
        Section 139(l) of title 23, United States Code, is amended--
            (1) in paragraph (1) by striking ``180 days'' and inserting
        ``150 days''; and
            (2) in paragraph (2) by striking ``180 days'' and inserting
        ``150 days''.
    SEC. 1309. ACCELERATING COMPLETION OF COMPLEX PROJECTS WITHIN 4 YEARS.
        Section 139 of title 23, United States Code, is amended by adding
    at the end the following:
        ``(m) Enhanced Technical Assistance and Accelerated Project
    Completion.--
            ``(1) Definition of covered project.--In this subsection, the
        term `covered project' means a project--
                ``(A) that has an ongoing environmental impact statement
            under the National Environmental Policy Act of 1969 (42 U.S.C.
            4321 et seq.); and
                ``(B) for which at least 2 years, beginning on the date on
            which a notice of intent is issued, have elapsed without the
            issuance of a record of decision.
            ``(2) Technical assistance.--At the request of a project
        sponsor or the Governor of a State in which a project is located,
        the Secretary shall provide additional technical assistance to
        resolve for a covered project any outstanding issues and project
        delay, including by--
                ``(A) providing additional staff, training, and expertise;
                ``(B) facilitating interagency coordination;
                ``(C) promoting more efficient collaboration; and
                ``(D) supplying specialized onsite assistance.
            ``(3) Scope of work.--
                ``(A) In general.--In providing technical assistance for a
            covered project under this subsection, the Secretary shall
            establish a scope of work that describes the actions that the
            Secretary will take to resolve the outstanding issues and
            project delays, including establishing a schedule under
            subparagraph (B).
                ``(B) Schedule.--
                    ``(i) In general.--The Secretary shall establish and
                meet a schedule for the completion of any permit, approval,
                review, or study, required for the covered project by the
                date that is not later than 4 years after the date on which
                a notice of intent for the covered project is issued.
                    ``(ii) Inclusions.--The schedule under clause (i)
                shall--

                        ``(I) comply with all applicable laws;
                        ``(II) require the concurrence of the Council on
                    Environmental Quality and each participating agency for
                    the project with the State in which the project is
                    located or the project sponsor, as applicable; and
                        ``(III) reflect any new information that becomes
                    available and any changes in circumstances that may
                    result in new significant impacts that could affect the
                    timeline for completion of any permit, approval,
                    review, or study required for the covered project.

            ``(4) Consultation.--In providing technical assistance for a
        covered project under this subsection, the Secretary shall consult,
        if appropriate, with resource and participating agencies on all
        methods available to resolve the outstanding issues and project
        delays for a covered project as expeditiously as possible.
            ``(5) Enforcement.--
                ``(A) In general.--All provisions of this section shall
            apply to this subsection, including the financial penalty
            provisions under subsection (h)(6).
                ``(B) Restriction.--If the Secretary enforces this
            subsection under subsection (h)(6), the Secretary may use a
            date included in a schedule under paragraph (3)(B) that is
            created pursuant to and is in compliance with this subsection
            in lieu of the dates under subsection (h)(6)(B)(ii).''.
    SEC. 1310. INTEGRATION OF PLANNING AND ENVIRONMENTAL REVIEW.
        (a) In General.--Chapter 1 of title 23, United States Code (as
    amended by section 1115(a)), is amended by adding at the end the
    following:
    ``Sec. 168. Integration of planning and environmental review
        ``(a) Definitions.--In this section, the following definitions
    apply:
            ``(1) Environmental review process.--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.).
            ``(2) Planning product.--The term `planning product' means a
        detailed and timely decision, analysis, study, or other documented
        information that--
                ``(A) is the result of an evaluation or decisionmaking
            process carried out during transportation planning, including a
            detailed corridor plan or a transportation plan developed under
            section 134 that fully analyzes impacts on mobility, adjacent
            communities, and the environment;
                ``(B) is intended to be carried into the transportation
            project development process; and
                ``(C) has been approved by the State, all local and tribal
            governments where the project is located, and by any relevant
            metropolitan planning organization.
            ``(3) Project.--The term `project' has the meaning given the
        term in section 139(a).
            ``(4) Project sponsor.--The term `project sponsor' has the
        meaning given the term in section 139(a).
        ``(b) Adoption of Planning Products for Use in NEPA Proceedings.--
            ``(1) In general.--Subject to the conditions set forth in
        subsection (d), the Federal lead agency for a project may adopt and
        use a planning product in proceedings relating to any class of
        action in the environmental review process of the project.
            ``(2) Identification.--When the Federal lead agency makes a
        determination to adopt and use a planning product, the Federal lead
        agency shall identify those agencies that participated in the
        development of the planning products.
            ``(3) Partial adoption of planning products.--The Federal lead
        agency may adopt a planning product under paragraph (1) in its
        entirety or may select portions for adoption.
            ``(4) Timing.--A determination under paragraph (1) with respect
        to the adoption of a planning product may be made at the time the
        lead agencies decide the appropriate scope of environmental review
        for the project but may also occur later in the environmental
        review process, as appropriate.
        ``(c) Applicability.--
            ``(1) Planning decisions.--Planning decisions that may be
        adopted pursuant to this section include--
                ``(A) whether tolling, private financial assistance, or
            other special financial measures are necessary to implement the
            project;
                ``(B) a decision with respect to modal choice, including a
            decision to implement corridor or subarea study recommendations
            to advance different modal solutions as separate projects with
            independent utility;
                ``(C) a basic description of the environmental setting;
                ``(D) a decision with respect to methodologies for
            analysis; and
                ``(E) an identification of programmatic level mitigation
            for potential impacts that the Federal lead agency, in
            consultation with Federal, State, local, and tribal resource
            agencies, determines are most effectively addressed at a
            regional or national program level, including--
                    ``(i) system-level measures to avoid, minimize, or
                mitigate impacts of proposed transportation investments on
                environmental resources, including regional ecosystem and
                water resources; and
                    ``(ii) potential mitigation activities, locations, and
                investments.
            ``(2) Planning analyses.--Planning analyses that may be adopted
        pursuant to this section include studies with respect to--
                ``(A) travel demands;
                ``(B) regional development and growth;
                ``(C) local land use, growth management, and development;
                ``(D) population and employment;
                ``(E) natural and built environmental conditions;
                ``(F) environmental resources and environmentally sensitive
            areas;
                ``(G) potential environmental effects, including the
            identification of resources of concern and potential cumulative
            effects on those resources, identified as a result of a
            statewide or regional cumulative effects assessment; and
                ``(H) mitigation needs for a proposed action, or for
            programmatic level mitigation, for potential effects that the
            Federal lead agency determines are most effectively addressed
            at a regional or national program level.
        ``(d) Conditions.--Adoption and use of a planning product under
    this section is subject to a determination by the Federal lead agency,
    with the concurrence of other participating agencies with relevant
    expertise and project sponsors as appropriate, and with an opportunity
    for public notice and comment and consideration of those comments by
    the Federal lead agency, that the following conditions have been met:
            ``(1) The planning product was developed through a planning
        process conducted pursuant to applicable Federal law.
            ``(2) The planning product was developed by engaging in active
        consultation with appropriate Federal and State resource agencies
        and Indian tribes.
            ``(3) The planning process included broad multidisciplinary
        consideration of systems-level or corridor-wide transportation
        needs and potential effects, including effects on the human and
        natural environment.
            ``(4) During the planning process, notice was provided through
        publication or other means to Federal, State, local, and tribal
        governments that might have an interest in the proposed project,
        and to members of the general public, of the planning products that
        the planning process might produce and that might be relied on
        during any subsequent environmental review process, and such
        entities have been provided an appropriate opportunity to
        participate in the planning process leading to such planning
        product.
            ``(5) After initiation of the environmental review process, but
        prior to determining whether to rely on and use the planning
        product, the lead Federal agency has made documentation relating to
        the planning product available to Federal, State, local, and tribal
        governments that may have an interest in the proposed action, and
        to members of the general public, and has considered any resulting
        comments.
            ``(6) There is no significant new information or new
        circumstance that has a reasonable likelihood of affecting the
        continued validity or appropriateness of the planning product.
            ``(7) The planning product has a rational basis and is based on
        reliable and reasonably current data and reasonable and
        scientifically acceptable methodologies.
            ``(8) The planning product is documented in sufficient detail
        to support the decision or the results of the analysis and to meet
        requirements for use of the information in the environmental review
        process.
            ``(9) The planning product is appropriate for adoption and use
        in the environmental review process for the project.
            ``(10) The planning product was approved not later than 5 years
        prior to date on which the information is adopted pursuant to this
        section.
        ``(e) Effect of Adoption.--Any planning product adopted by the
    Federal lead agency in accordance with this section may be incorporated
    directly into an environmental review process document or other
    environmental document and may be relied upon and used by other Federal
    agencies in carrying out reviews of the project.
        ``(f) Rules of Construction.--
            ``(1) In general.--This section shall not be construed to make
        the environmental review process applicable to the transportation
        planning process conducted under this title and chapter 53 of title
        49.
            ``(2) Transportation planning activities.--Initiation of the
        environmental review process as a part of, or concurrently with,
        transportation planning activities does not subject transportation
        plans and programs to the environmental review process.
            ``(3) Planning products.--This section shall not be construed
        to affect the use of planning products in the environmental review
        process pursuant to other authorities under any other provision of
        law or to restrict the initiation of the environmental review
        process during planning.''.
        (b) Technical and Conforming Amendment.--The analysis for chapter 1
    of title 23, United States Code (as amended by section 1115(b)), is
    amended by adding at end the following:

    ``Sec. 168. Integration of planning and environmental review.''.
    SEC. 1311. DEVELOPMENT OF PROGRAMMATIC MITIGATION PLANS.
        (a) In General.--Chapter 1 of title 23, United States Code (as
    amended by section 1310(a)), is amended by adding at the end the
    following:
    ``Sec. 169. Development of programmatic mitigation plans
        ``(a) In General.--As part of the statewide or metropolitan
    transportation planning process, a State or metropolitan planning
    organization may develop 1 or more programmatic mitigation plans to
    address the potential environmental impacts of future transportation
    projects.
        ``(b) Scope.--
            ``(1) Scale.--A programmatic mitigation plan may be developed
        on a regional, ecosystem, watershed, or statewide scale.
            ``(2) Resources.--The plan may encompass multiple environmental
        resources within a defined geographic area or may focus on a
        specific resource, such as aquatic resources, parkland, or wildlife
        habitat.
            ``(3) Project impacts.--The plan may address impacts from all
        projects in a defined geographic area or may focus on a specific
        type of project.
            ``(4) Consultation.--The scope of the plan shall be determined
        by the State or metropolitan planning organization, as appropriate,
        in consultation with the agency or agencies with jurisdiction over
        the resources being addressed in the mitigation plan.
        ``(c) Contents.--A programmatic mitigation plan may include--
            ``(1) an assessment of the condition of environmental resources
        in the geographic area covered by the plan, including an assessment
        of recent trends and any potential threats to those resources;
            ``(2) an assessment of potential opportunities to improve the
        overall quality of environmental resources in the geographic area
        covered by the plan, through strategic mitigation for impacts of
        transportation projects;
            ``(3) standard measures for mitigating certain types of
        impacts;
            ``(4) parameters for determining appropriate mitigation for
        certain types of impacts, such as mitigation ratios or criteria for
        determining appropriate mitigation sites;
            ``(5) adaptive management procedures, such as protocols that
        involve monitoring predicted impacts over time and adjusting
        mitigation measures in response to information gathered through the
        monitoring; and
            ``(6) acknowledgment of specific statutory or regulatory
        requirements that must be satisfied when determining appropriate
        mitigation for certain types of resources.
        ``(d) Process.--Before adopting a programmatic mitigation plan, a
    State or metropolitan planning organization shall--
            ``(1) consult with each agency with jurisdiction over the
        environmental resources considered in the programmatic mitigation
        plan;
            ``(2) make a draft of the plan available for review and comment
        by applicable environmental resource agencies and the public;
            ``(3) consider any comments received from such agencies and the
        public on the draft plan; and
            ``(4) address such comments in the final plan.
        ``(e) Integration With Other Plans.--A programmatic mitigation plan
    may be integrated with other plans, including watershed plans,
    ecosystem plans, species recovery plans, growth management plans, and
    land use plans.
        ``(f) Consideration in Project Development and Permitting.--If a
    programmatic mitigation plan has been developed pursuant to this
    section, any Federal agency responsible for environmental reviews,
    permits, or approvals for a transportation project may use the
    recommendations in a programmatic mitigation plan when carrying out the
    responsibilities under the National Environmental Policy Act of 1969
    (42 U.S.C. 4321 et seq.).
        ``(g) Preservation of Existing Authorities.--Nothing in this
    section limits the use of programmatic approaches to reviews under the
    National Environmental Policy Act of 1969 (42 U.S.C. 4321 et seq.).''.
        (b) Technical and Conforming Amendment.--The analysis for chapter 1
    of title 23, United States Code (as amended by section 1309(b)), is
    amended by adding at the end the following:

    ``Sec. 169. Development of programmatic mitigation plans.''.
    SEC. 1312. STATE ASSUMPTION OF RESPONSIBILITY FOR CATEGORICAL
    EXCLUSIONS.
        Section 326 of title 23, United States Code, is amended--
            (1) in subsection (a) by adding at the end the following:
            ``(4) Preservation of flexibility.--The Secretary shall not
        require a State, as a condition of assuming responsibility under
        this section, to forego project delivery methods that are otherwise
        permissible for highway projects.'';
            (2) by striking subsection (d) and inserting the following:
        ``(d) Termination.--
            ``(1) Termination by the secretary.--The Secretary may
        terminate any assumption of responsibility under a memorandum of
        understanding on a determination that the State is not adequately
        carrying out the responsibilities assigned to the State.
            ``(2) Termination by the state.--The State may terminate the
        participation of the State in the program at any time by providing
        to the Secretary a notice not later than the date that is 90 days
        before the date of termination, and subject to such terms and
        conditions as the Secretary may provide.''; and
            (3) by adding at the end the following:
        ``(f) Legal Fees.--A State assuming the responsibilities of the
    Secretary under this section for a specific project may use funds
    apportioned to the State under section 104(b)(2) for attorney's fees
    directly attributable to eligible activities associated with the
    project.''.
    SEC. 1313. SURFACE TRANSPORTATION PROJECT DELIVERY PROGRAM.
        (a) Program Name.--Section 327 of title 23, United States Code, is
    amended--
            (1) in the section heading by striking ``pilot''; and
            (2) in subsection (a)(1) by striking ``pilot''.
        (b) Assumption of Responsibility.--Section 327(a)(2) of title 23,
    United States Code, is amended--
            (1) in subparagraph (B)--
                (A) in clause (i) by striking ``but''; and
                (B) by striking clause (ii) and inserting the following:
                    ``(ii) at the request of the State, the Secretary may
                also assign to the State, and the State may assume, the
                responsibilities of the Secretary with respect to 1 or more
                railroad, public transportation, or multimodal projects
                within the State under the National Environmental Policy
                Act of 1969 (42 U.S.C. 4321 et seq.);
                    ``(iii) in a State that has assumed the
                responsibilities of the Secretary under clause (ii), a
                recipient of assistance under chapter 53 of title 49 may
                request that the Secretary maintain the responsibilities of
                the Secretary with respect to 1 or more public
                transportation projects within the State under the National
                Environmental Policy Act of 1969 (42 U.S.C. 13 4321 et
                seq.); but
                    ``(iv) the Secretary may not assign--

                        ``(I) any responsibility imposed on the Secretary
                    by section 134 or 135 or section 5303 or 5304 of title
                    49; or
                        ``(II) responsibility for any conformity
                    determination required under section 176 of the Clean
                    Air Act (42 U.S.C. 7506).''; and

            (2) by adding at the end the following:
                ``(F) Preservation of flexibility.--The Secretary may not
            require a State, as a condition of participation in the
            program, to forego project delivery methods that are otherwise
            permissible for projects.
                ``(G) Legal fees.--A State assuming the responsibilities of
            the Secretary under this section for a specific project may use
            funds apportioned to the State under section 104(b)(2) for
            attorneys' fees directly attributable to eligible activities
            associated with the project.''.
        (c) State Participation.--Section 327(b) of title 23, United States
    Code, is amended--
            (1) by striking paragraph (1) and inserting the following:
            ``(1) Participating states.--All States are eligible to
        participate in the program.''; and
            (2) in paragraph (2) by striking ``date of enactment of this
        section, the Secretary shall promulgate'' and inserting ``date on
        which amendments to this section by the MAP-21 take effect, the
        Secretary shall amend, as appropriate,''.
        (d) Written Agreement.--Section 327(c) of title 23, United States
    Code, is amended--
            (1) in paragraph (3)(D) by striking the period at the end and
        inserting a semicolon; and
            (2) by adding at the end the following:
            ``(4) require the State to provide to the Secretary any
        information the Secretary considers necessary to ensure that the
        State is adequately carrying out the responsibilities assigned to
        the State;
            ``(5) have a term of not more than 5 years; and
            ``(6) be renewable.''.
        (e) Conforming Amendment.--Section 327(e) of title 23, United
    States Code, is amended by striking ``subsection (i)'' and inserting
    ``subsection (j)''.
        (f) Audits.--Section 327(g)(1)(B) of title 23, United States Code,
    is amended by striking ``subsequent year'' and inserting ``of the third
    and fourth years''.
        (g) Monitoring.--Section 327 of title 23, United States Code, is
    amended--
            (1) by redesignating subsections (h) and (i) as subsections (i)
        and (j), respectively; and
            (2) by inserting after subsection (g) the following:
        ``(h) Monitoring.--After the fourth year of the participation of a
    State in the program, the Secretary shall monitor compliance by the
    State with the written agreement, including the provision by the State
    of financial resources to carry out the written agreement.''.
        (h) Termination.--Section 327(j) of title 23, United States Code
    (as so redesignated), is amended to read as follows:
        ``(j) Termination.--
            ``(1) Termination by the secretary.--The Secretary may
        terminate the participation of any State in the program if--
                ``(A) the Secretary determines that the State is not
            adequately carrying out the responsibilities assigned to the
            State;
                ``(B) the Secretary provides to the State--
                    ``(i) notification of the determination of
                noncompliance; and
                    ``(ii) a period of at least 30 days during which to
                take such corrective action as the Secretary determines is
                necessary to comply with the applicable agreement; and
                ``(C) the State, after the notification and period provided
            under subparagraph (B), fails to take satisfactory corrective
            action, as determined by the Secretary.
            ``(2) Termination by the state.--The State may terminate the
        participation of the State in the program at any time by providing
        to the Secretary a notice by not later than the date that is 90
        days before the date of termination, and subject to such terms and
        conditions as the Secretary may provide.''.
        (i) Clerical Amendment.--The item relating to section 327 in the
    analysis of title 23, United States Code, is amended to read as
    follows:

    ``327. Surface transportation project delivery program.''.
    SEC. 1314. APPLICATION OF CATEGORICAL EXCLUSIONS FOR MULTIMODAL
    PROJECTS.
        (a) In General.--Section 304 of title 49, United States Code, is
    amended to read as follows:
    ``Sec. 304. Application of categorical exclusions for multimodal
       projects
        ``(a) Definitions.--In this section, the following definitions
    apply:
            ``(1) Cooperating authority.--The term `cooperating authority'
        means a Department of Transportation operating authority that is
        not the lead authority with respect to a project.
            ``(2) Lead authority.--The term `lead authority' means a
        Department of Transportation operating administration or
        secretarial office that--
                ``(A) is the lead authority over a proposed multimodal
            project; and
                ``(B) has determined that the components of the project
            that fall under the modal expertise of the lead authority--
                    ``(i) satisfy the conditions for a categorical
                exclusion under implementing regulations or procedures of
                the lead authority under the National Environmental Policy
                Act of 1969 (42 U.S.C. 4321 et seq.); and
                    ``(ii) do not require the preparation of an
                environmental assessment or environmental impact statement
                under that Act.
            ``(3) Multimodal project.--The term `multimodal project' has
        the meaning given the term in section 139(a) of title 23.
        ``(b) Exercise of Authorities.--The authorities granted in this
    section may be exercised for a multimodal project, class of projects,
    or program of projects that are carried out under this title.
        ``(c) Application of Categorical Exclusions for Multimodal
    Projects.--In considering the environmental impacts of a proposed
    multimodal project, a lead authority may apply a categorical exclusion
    designated under the implementing regulations or procedures of a
    cooperating authority for other components of the project, subject to
    the conditions that--
            ``(1) the multimodal project is funded under 1 grant agreement
        administered by the lead authority;
            ``(2) the multimodal project has components that require the
        expertise of a cooperating authority to assess the environmental
        impacts of the components;
            ``(3) the component of the project to be covered by the
        categorical exclusion of the cooperating authority has independent
        utility;
            ``(4) the cooperating authority, in consultation with the lead
        authority--
                ``(A) follows implementing regulations or procedures under
            the National Environmental Policy Act of 1969 (42 U.S.C. 4321
            et seq.); and
                ``(B) determines that a categorical exclusion under that
            Act applies to the components; and
            ``(5) the lead authority has determined that--
                ``(A) the project, using the categorical exclusions of the
            lead authority and each applicable cooperating authority, does
            not individually or cumulatively have a significant impact on
            the environment; and
                ``(B) extraordinary circumstances do not exist that merit
            additional analysis and documentation in an environmental
            impact statement or environmental assessment required under the
            National Environmental Policy Act of 1969 (42 U.S.C. 4321 et
            seq.).
        ``(d) Modal Cooperation.--
            ``(1) In general.--A cooperating authority shall provide modal
        expertise to the lead authority on such aspects of the multimodal
        project in which the cooperating authority has expertise.
            ``(2) Use of categorical exclusion.--In a case described in
        paragraph (1), the 1 or more categorical exclusions of a
        cooperating authority may be applied by the lead authority once the
        cooperating authority reviews the project on behalf of the lead
        authority and determines the project satisfies the conditions for a
        categorical exclusion under the implementing regulations or
        procedures of the cooperating authority under the National
        Environmental Policy Act of 1969 (42 U.S.C. 4321 et seq.) and this
        section.''.
        (b) Conforming Amendment.--The item relating to section 304 in the
    analysis for title 49, United States Code, is amended to read as
    follows:

    ``304. Application of categorical exclusions for multimodal projects''.
    SEC. 1315. CATEGORICAL EXCLUSIONS IN EMERGENCIES.
        (a) In General.--Not later than 30 days after the date of enactment
    of this Act, for the repair or reconstruction of any road, highway, or
    bridge that is in operation or under construction when damaged by an
    emergency declared by the Governor of the State and concurred in by the
    Secretary, or for a disaster or emergency declared by the President
    pursuant to the Robert T. Stafford Disaster Relief and Emergency
    Assistance Act (42 U.S.C. 5121 et seq.), the Secretary shall publish a
    notice of proposed rulemaking to treat any such repair or
    reconstruction activity as a class of action categorically excluded
    from the requirements relating to environmental assessments or
    environmental impact statements under section 1508.4 of title 40, Code
    of Federal Regulations, and section 771.117 of title 23, Code of
    Federal Regulations (as in effect on the date of enactment of this Act)
    if such repair or reconstruction activity is--
            (1) in the same location with the same capacity, dimensions,
        and design as the original road, highway, or bridge as before the
        declaration described in this section; and
            (2) commenced within a 2-year period beginning on the date of a
        declaration described in this section.
        (b) Rulemaking.--
            (1) In general.--The Secretary shall ensure that the rulemaking
        helps to conserve Federal resources and protects public safety and
        health by providing for periodic evaluations to determine if
        reasonable alternatives exist to roads, highways, or bridges that
        repeatedly require repair and reconstruction activities.
            (2) Reasonable alternatives.--The reasonable alternatives
        described in paragraph (1) include actions that could reduce the
        need for Federal funds to be expended on such repair and
        reconstruction activities, better protect public safety and health
        and the environment, and meet transportation needs as described in
        relevant and applicable Federal, State, local and tribal plans.
    SEC. 1316. CATEGORICAL EXCLUSIONS FOR PROJECTS WITHIN THE RIGHT-OF-WAY.
        (a) In General.--The Secretary shall--
            (1) not later than 180 days after the date of enactment of this
        Act, designate any project (as defined in section 101(a) of title
        23, United States Code) within an existing operational right-of-way
        as an action categorically excluded from the requirements relating
        to environmental assessments or environmental impact statements
        under section 1508.4 of title 40, Code of Federal Regulations, and
        section 771.117(c) of title 23, Code of Federal Regulations; and
            (2) not later than 150 days after the date of enactment of this
        Act, promulgate regulations to carry out paragraph (1).
        (b) Definition of an Operational Right-of-way.--In this section,
    the term ``operational right-of-way'' means all real property interests
    acquired for the construction, operation, or mitigation of a project
    (as defined in section 101(a) of title 23, United States Code),
    including the locations of the roadway, bridges, interchanges,
    culverts, drainage, clear zone, traffic control signage, landscaping,
    and any rest areas with direct access to a controlled access highway.
    SEC. 1317. CATEGORICAL EXCLUSION FOR PROJECTS OF LIMITED FEDERAL
    ASSISTANCE.
        Not later than 180 days after the date of enactment of this Act,
    the Secretary shall--
            (1) designate as an action categorically excluded from the
        requirements relating to environmental assessments or environmental
        impact statements under section 1508.4 of title 40, Code of Federal
        Regulations, and section 771.117(c) of title 23, Code of Federal
        Regulations, any project--
                (A) that receives less than $5,000,000 of Federal funds; or
                (B) with a total estimated cost of not more than
            $30,000,000 and Federal funds comprising less than 15 percent
            of the total estimated project cost; and
            (2) not later than 150 days after the date of enactment of this
        Act, promulgate regulations to carry out paragraph (1).
    SEC. 1318. PROGRAMMATIC AGREEMENTS AND ADDITIONAL CATEGORICAL
    EXCLUSIONS.
        (a) In General.--Not later than 60 days after the date of enactment
    of this Act, the Secretary shall--
            (1) survey the use by the Department of categorical exclusions
        in transportation projects since 2005;
            (2) publish a review of the survey that includes a description
        of--
                (A) the types of actions categorically excluded; and
                (B) any requests previously received by the Secretary for
            new categorical exclusions; and
            (3) solicit requests from State departments of transportation,
        transit authorities, metropolitan planning organizations, or other
        government agencies for new categorical exclusions.
        (b) New Categorical Exclusions.--Not later than 120 days after the
    date of enactment of this Act, the Secretary shall publish a notice of
    proposed rulemaking to propose new categorical exclusions received by
    the Secretary under subsection (a), to the extent that the categorical
    exclusions meet the criteria for a categorical exclusion under section
    1508.4 of title 40, Code of Federal Regulations, and section 771.117(a)
    of title 23, Code of Federal Regulations (as those regulations are in
    effect on the date of the notice).
        (c) Additional Actions.--The Secretary shall issue a proposed
    rulemaking to move the following types of actions from subsection (d)
    of section 771.117 of title 23, Code of Federal Regulations (as in
    effect on the date of enactment of this Act), to subsection (c) of that
    section, to the extent that such movement complies with the criteria
    for a categorical exclusion under section 1508.4 of title 40, Code of
    Federal Regulations (as in effect on the date of enactment of this
    Act):
            (1) Modernization of a highway by resurfacing, restoration,
        rehabilitation, reconstruction, adding shoulders, or adding
        auxiliary lanes (including parking, weaving, turning, and
        climbing).
            (2) Highway safety or traffic operations improvement projects,
        including the installation of ramp metering control devices and
        lighting.
            (3) Bridge rehabilitation, reconstruction, or replacement or
        the construction of grade separation to replace existing at-grade
        railroad crossings.
        (d) Programmatic Agreements.--
            (1) In general.--The Secretary shall seek opportunities to
        enter into programmatic agreements with the States that establish
        efficient administrative procedures for carrying out environmental
        and other required project reviews.
            (2) Inclusions.--Programmatic agreements authorized under
        paragraph (1) may include agreements that allow a State to
        determine on behalf of the Federal Highway Administration whether a
        project is categorically excluded from the preparation of an
        environmental assessment or environmental impact statement under
        the National Environmental Policy Act of 1969 (42 U.S.C. 4321 et
        seq.).
            (3) Determinations.--An agreement described in paragraph (2)
        may include determinations by the Secretary of the types of
        projects categorically excluded (consistent with section 1508.4 of
        title 40, Code of Federal Regulations) in the State in addition to
        the types listed in subsections (c) and (d) of section 771.117 of
        title 23, Code of Federal Regulations (as in effect on the date of
        enactment of this Act).
    SEC. 1319. ACCELERATED DECISIONMAKING IN ENVIRONMENTAL REVIEWS.
        (a) In General.--In preparing a final environmental impact
    statement under the National Environmental Policy Act of 1969 (42
    U.S.C. 4321 et seq.), if the lead agency modifies the statement in
    response to comments that are minor and are confined to factual
    corrections or explanations of why the comments do not warrant
    additional agency response, the lead agency may write on errata sheets
    attached to the statement instead of rewriting the draft statement,
    subject to the condition that the errata sheets--
            (1) cite the sources, authorities, or reasons that support the
        position of the agency; and
            (2) if appropriate, indicate the circumstances that would
        trigger agency reappraisal or further response.
        (b) Incorporation.--To the maximum extent practicable, the lead
    agency shall expeditiously develop a single document that consists of a
    final environmental impact statement and a record of decision, unless--
            (1) the final environmental impact statement makes substantial
        changes to the proposed action that are relevant to environmental
        or safety concerns; or
            (2) there are significant new circumstances or information
        relevant to environmental concerns and that bear on the proposed
        action or the impacts of the proposed action.
    SEC. 1320. MEMORANDA OF AGENCY AGREEMENTS FOR EARLY COORDINATION.
        (a) In General.--It is the sense of Congress that--
            (1) the Secretary and other Federal agencies with relevant
        jurisdiction in the environmental review process should cooperate
        with each other and other agencies on environmental review and
        project delivery activities at the earliest practicable time to
        avoid delays and duplication of effort later in the process, head
        off potential conflicts, and ensure that planning and project
        development decisions reflect environmental values; and
            (2) such cooperation should include the development of policies
        and the designation of staff that advise planning agencies or
        project sponsors of studies or other information foreseeably
        required for later Federal action and early consultation with
        appropriate State and local agencies and Indian tribes.
        (b) Technical Assistance.--If requested at any time by a State or
    local planning agency, the Secretary and other Federal agencies with
    relevant jurisdiction in the environmental review process, shall, to
    the extent practicable and appropriate, as determined by the agencies,
    provide technical assistance to the State or local planning agency on
    accomplishing the early coordination activities described in subsection
    (d).
        (c) Memorandum of Agency Agreement.--If requested at any time by a
    State or local planning agency, the lead agency, in consultation with
    other Federal agencies with relevant jurisdiction in the environmental
    review process, may establish memoranda of agreement with the project
    sponsor, State, and local governments and other appropriate entities to
    accomplish the early coordination activities described in subsection
    (d).
        (d) Early Coordination Activities.--Early coordination activities
    shall include, to the maximum extent practicable, the following:
            (1) Technical assistance on identifying potential impacts and
        mitigation issues in an integrated fashion.
            (2) The potential appropriateness of using planning products
        and decisions in later environmental reviews.
            (3) The identification and elimination from detailed study in
        the environmental review process of the issues that are not
        significant or that have been covered by prior environmental
        reviews.
            (4) The identification of other environmental review and
        consultation requirements so that the lead and cooperating agencies
        may prepare, as appropriate, other required analyses and studies
        concurrently with planning activities.
            (5) The identification by agencies with jurisdiction over any
        permits related to the project of any and all relevant information
        that will reasonably be required for the project.
            (6) The reduction of duplication between requirements under the
        National Environmental Policy Act of 1969 (42 U.S.C. 4321 et seq.)
        and State and local planning and environmental review requirements,
        unless the agencies are specifically barred from doing so by
        applicable law.
            (7) Timelines for the completion of agency actions during the
        planning and environmental review processes.
            (8) Other appropriate factors.
    SEC. 1321. ENVIRONMENTAL PROCEDURES INITIATIVE.
        (a) Establishment.--For grant programs under which funds are
    distributed by formula by the Department, the Secretary shall establish
    an initiative to review and develop consistent procedures for
    environmental permitting and procurement requirements that apply to a
    project carried out under title 23, United States Code, or chapter 53
    of title 49, United States Code.
        (b) Report.--The Secretary shall publish the results of the
    initiative described in subsection (a) in an electronically accessible
    format.
    SEC. 1322. REVIEW OF STATE ENVIRONMENTAL REVIEWS AND APPROVALS FOR THE
    PURPOSE OF ELIMINATING DUPLICATION OF ENVIRONMENTAL REVIEWS.
        For environmental reviews and approvals carried out on projects
    funded under title 23, United States Code, the Comptroller General of
    the United States shall--
            (1) review State laws and procedures for conducting
        environmental reviews with regard to such projects and identify the
        States that have environmental laws that provide environmental
        protections and opportunities for public involvement that are
        equivalent to those provided by Federal environmental laws;
            (2) determine the frequency and cost of environmental reviews
        carried out at the Federal level that are duplicative of State
        reviews that provide equivalent environmental protections and
        opportunities for public involvement; and
            (3) not later than 2 years after the date of enactment of this
        Act, submit 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 that describes the results
        of the review and determination made under this section.
    SEC. 1323. REVIEW OF FEDERAL PROJECT AND PROGRAM DELIVERY.
        (a) Completion Time Assessments and Reports.--
            (1) In general.--For projects funded under title 23, United
        States Code, the Secretary shall compare--
                (A)(i) the completion times of categorical exclusions,
            environmental assessments, and environmental impact statements
            initiated after calendar year 2005; to
                (ii) the completion times of categorical exclusions,
            environmental assessments, and environmental impact statements
            initiated during a period prior to calendar year 2005; and
                (B)(i) the completion times of categorical exclusions,
            environmental assessments, and environmental impact statements
            initiated during the period beginning on January 1, 2005, and
            ending on the date of enactment of this Act; to
                (ii) the completion times of categorical exclusions,
            environmental assessments, and environmental impact statements
            initiated after the date of enactment of this Act.
            (2) Report.--The Secretary shall submit to the Committee on
        Transportation and Infrastructure of the House of Representatives
        and the Committee on Environment and Public Works of the Senate--
                (A) not later than 1 year after the date of enactment of
            this Act, a report that--
                    (i) describes the results of the review conducted under
                paragraph (1)(A); and
                    (ii) identifies any change in the timing for
                completions, including the reasons for any such change and
                the reasons for delays in excess of 5 years; and
                (B) not later than 5 years after the date of enactment of
            this Act, a report that--
                    (i) describes the results of the review conducted under
                paragraph (1)(B); and
                    (ii) identifies any change in the timing for
                completions, including the reasons for any such change and
                the reasons for delays in excess of 5 years.
        (b) Additional Report.--Not later than 2 years after the date of
    enactment of this Act, the Secretary shall submit 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 types and justification for the additional categorical exclusions
    granted under the authority provided under sections 1316 and 1317.
        (c) GAO Report.--The Comptroller General of the United States
    shall--
            (1) assess the reforms carried out under this subtitle
        (including the amendments made by this subtitle); and
            (2) not later than 5 years after the date of enactment of this
        Act, submit 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 that describes the results
        of the assessment.
        (d) Inspector General Report.--The Inspector General of the
    Department of Transportation shall--
            (1) assess the reforms carried out under this subtitle
        (including the amendments made by this subtitle); and
            (2) submit to the Committee on Transportation and
        Infrastructure of the House of Representatives and the Committee on
        Environment and Public Works of the Senate--
                (A) not later than 2 years after the date of enactment of
            this Act, an initial report of the findings of the Inspector
            General; and
                (B) not later than 4 years after the date of enactment of
            this Act, a final report of the findings.

                           Subtitle D--Highway Safety

    SEC. 1401. JASON'S LAW.
        (a) In General.--It is the sense of Congress that it is a national
    priority to address projects under this section for the shortage of
    long-term parking for commercial motor vehicles on the National Highway
    System to improve the safety of motorized and nonmotorized users and
    for commercial motor vehicle operators.
        (b) Eligible Projects.--Eligible projects under this section are
    those that--
            (1) serve the National Highway System; and
            (2) may include the following:
                (A) Constructing safety rest areas (as defined in section
            120(c) of title 23, United States Code) that include parking
            for commercial motor vehicles.
                (B) Constructing commercial motor vehicle parking
            facilities adjacent to commercial truck stops and travel
            plazas.
                (C) Opening existing facilities to commercial motor vehicle
            parking, including inspection and weigh stations and park-and-
            ride facilities.
                (D) Promoting the availability of publicly or privately
            provided commercial motor vehicle parking on the National
            Highway System using intelligent transportation systems and
            other means.
                (E) Constructing turnouts along the National Highway System
            for commercial motor vehicles.
                (F) Making capital improvements to public commercial motor
            vehicle parking facilities currently closed on a seasonal basis
            to allow the facilities to remain open year-round.
                (G) Improving the geometric design of interchanges on the
            National Highway System to improve access to commercial motor
            vehicle parking facilities.
        (c) Survey and Comparative Assessment.--
            (1) In general.--Not later than 18 months after the date of
        enactment of this Act, the Secretary, in consultation with relevant
        State motor carrier safety personnel, shall conduct a survey of
        each State--
                (A) to evaluate the capability of the State to provide
            adequate parking and rest facilities for commercial motor
            vehicles engaged in interstate transportation;
                (B) to assess the volume of commercial motor vehicle
            traffic in the State; and
                (C) to develop a system of metrics to measure the adequacy
            of commercial motor vehicle parking facilities in the State.
            (2) Results.--The results of the survey under paragraph (1)
        shall be made available to the public on the website of the
        Department of Transportation.
            (3) Periodic updates.--The Secretary shall periodically update
        the survey under this subsection.
        (d) Electric Vehicle and Natural Gas Vehicle Infrastructure.--
            (1) In general.--Except as provided in paragraph (2), a State
        may establish electric vehicle charging stations or natural gas
        vehicle refueling stations for the use of battery-powered or
        natural gas-fueled trucks or other motor vehicles at any parking
        facility funded or authorized under this Act or title 23, United
        States Code.
            (2) Exception.--Electric vehicle battery charging stations or
        natural gas vehicle refueling stations may not be established or
        supported under paragraph (1) if commercial establishments serving
        motor vehicle users are prohibited by section 111 of title 23,
        United States Code.
            (3) Funds.--Charging or refueling stations described in
        paragraph (1) shall be eligible for the same funds as are available
        for the parking facilities in which the stations are located.
        (e) Treatment of Projects.--Notwithstanding any other provision of
    law, projects funded through the authority provided under this section
    shall be treated as projects on a Federal-aid highway under chapter 1
    of title 23, United States Code.
    SEC. 1402. OPEN CONTAINER REQUIREMENTS.
        Section 154(c) of title 23, United States Code, is amended--
            (1) by striking paragraph (2) and inserting the following:
            ``(2) Fiscal year 2012 and thereafter.--
                ``(A) Reservation of funds.--On October 1, 2011, 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 reserve an amount equal to 2.5 percent of
            the funds to be apportioned to the State on that date under
            each of paragraphs (1) and (2) of section 104(b) until the
            State certifies to the Secretary the means by which the State
            will use those reserved funds in accordance with subparagraphs
            (A) and (B) of paragraph (1) and paragraph (3).
                ``(B) Transfer of funds.--As soon as practicable after the
            date of receipt of a certification from a State under
            subparagraph (A), the Secretary shall--
                    ``(i) transfer the reserved funds identified by the
                State for use as described in subparagraphs (A) and (B) of
                paragraph (1) to the apportionment of the State under
                section 402; and
                    ``(ii) release the reserved funds identified by the
                State as described in paragraph (3).'';
            (2) by striking paragraph (3) and inserting the following:
            ``(3) Use for highway safety improvement program.--
                ``(A) In general.--A State may elect to use all or a
            portion of the funds transferred under paragraph (2) for
            activities eligible under section 148.
                ``(B) State departments of transportation.--If the State
            makes an election under subparagraph (A), the funds shall be
            transferred to the department of transportation of the State,
            which shall be responsible for the administration of the
            funds.''; and
            (3) by striking paragraph (5) and inserting the following:
            ``(5) Derivation of amount to be transferred.--The amount to be
        transferred under paragraph (2) may be derived from the following:
                ``(A) The apportionment of the State under section
            104(b)(l).
                ``(B) The apportionment of the State under section
            104(b)(2).''.
    SEC. 1403. MINIMUM PENALTIES FOR REPEAT OFFENDERS FOR DRIVING WHILE
    INTOXICATED OR DRIVING UNDER THE INFLUENCE.
        (a) Definitions.--Section 164(a) of title 23, United States Code,
    is amended--
            (1) by striking paragraph (3);
            (2) by redesignating paragraphs (4) and (5) as paragraphs (3)
        and (4), respectively; and
            (3) in paragraph (4) (as so redesignated) by striking
        subparagraph (A) and inserting the following:
                ``(A) receive--
                    ``(i) a suspension of all driving privileges for not
                less than 1 year; or
                    ``(ii) a suspension of unlimited driving privileges for
                1 year, allowing for the reinstatement of limited driving
                privileges subject to restrictions and limited exemptions
                as established by State law, if an ignition interlock
                device is installed for not less than 1 year on each of the
                motor vehicles owned or operated, or both, by the
                individual;''.
        (b) Transfer of Funds.--Section 164(b) of title 23, United States
    Code, is amended--
            (1) by striking paragraph (2) and inserting the following:
            ``(2) Fiscal year 2012 and thereafter.--
                ``(A) Reservation of funds.--On October 1, 2011, and each
            October 1 thereafter, if a State has not enacted or is not
            enforcing a repeat intoxicated driver law, the Secretary shall
            reserve an amount equal to 2.5 percent of the funds to be
            apportioned to the State on that date under each of paragraphs
            (1) and (2) of section 104(b) until the State certifies to the
            Secretary the means by which the States will use those reserved
            funds among the uses authorized under subparagraphs (A) and (B)
            of paragraph (1), and paragraph (3).
                ``(B) Transfer of funds.--As soon as practicable after the
            date of receipt of a certification from a State under
            subparagraph (A), the Secretary shall--
                    ``(i) transfer the reserved funds identified by the
                State for use as described in subparagraphs (A) and (B) of
                paragraph (1) to the apportionment of the State under
                section 402; and
                    ``(ii) release the reserved funds identified by the
                State as described in paragraph (3).'';
            (2) by striking paragraph (3) and inserting the following:
            ``(3) Use for highway safety improvement program.--
                ``(A) In general.--A State may elect to use all or a
            portion of the funds transferred under paragraph (2) for
            activities eligible under section 148.
                ``(B) State departments of transportation.--If the State
            makes an election under subparagraph (A), the funds shall be
            transferred to the department of transportation of the State,
            which shall be responsible for the administration of the
            funds.''; and
            (3) by striking paragraph (5) and inserting the following:
            ``(5) Derivation of amount to be transferred.--The amount to be
        transferred under paragraph (2) may be derived from the following:
                ``(A) The apportionment of the State under section
            104(b)(1).
                ``(B) The apportionment of the State under section
            104(b)(2).''.
    SEC. 1404. ADJUSTMENTS TO PENALTY PROVISIONS.
        (a) Vehicle Weight Limitations.--Section 127(a)(1) of title 23,
    United States Code, is amended by striking ``No funds shall be
    apportioned in any fiscal year under section 104(b)(1) of this title to
    any State which'' and inserting ``The Secretary shall withhold 50
    percent of the apportionment of a State under section 104(b)(1) in any
    fiscal year in which the State''.
        (b) Control of Junkyards.--Section 136 of title 23, United States
    Code, is amended--
            (1) in subsection (b), in the first sentence--
                (A) by striking ``10 per centum'' and inserting ``7
            percent''; and
                (B) by striking ``section 104 of this title'' and inserting
            ``paragraphs (1) through (5) of section 104(b)''; and
            (2) by adding at the end the following:
        ``(n) Definitions.--For purposes of this section, the terms
    `primary system' and `Federal-aid primary system' mean any highway that
    is on the National Highway System, which includes the Interstate
    Highway System.''.
        (c) Enforcement of Vehicle Size and Weight Laws.--Section 141(b)(2)
    of title 23, United States Code, is amended--
            (1) by striking ``10 per centum'' and inserting ``7 percent'';
        and
            (2) by striking ``section 104 of this title'' and inserting
        ``paragraphs (1) through (5) of section 104(b)''.
        (d) Proof of Payment of the Heavy Vehicle Use Tax.--Section 141(c)
    of title 23, United States Code, is amended--
            (1) by striking ``section 104(b)(4)'' each place it appears and
        inserting ``section 104(b)(1)''; and
            (2) in the first sentence by striking ``25 per centum'' and
        inserting ``8 percent''.
        (e) Use of Safety Belts.--Section 153(h) of title 23, United States
    Code, is amended--
            (1) by striking paragraph (1);
            (2) by redesignating paragraph (2) as paragraph (1);
            (3) in paragraph (1) (as so redesignated)--
                (A) by striking the paragraph heading and inserting ``Prior
            to fiscal year 2012''; and
                (B) by inserting ``and before October 1, 2011,'' after
            ``September 30, 1994,''; and
            (4) by inserting after paragraph (1) (as so redesignated) the
        following:
            ``(2) Fiscal year 2012 and thereafter.--If, at any time in a
        fiscal year beginning after September 30, 2011, a State does not
        have in effect a law described in subsection (a)(2), the Secretary
        shall transfer an amount equal to 2 percent of the funds
        apportioned to the State for the succeeding fiscal year under each
        of paragraphs (1) through (3) of section 104(b) to the
        apportionment of the State under section 402.''.
        (f) National Minimum Drinking Age.--Section 158(a)(1) of title 23,
    United States Code, is amended--
            (1) by striking ``The Secretary'' and inserting the following:
                ``(A) Fiscal years before 2012.--The Secretary''; and
            (2) by adding at the end the following:
                ``(B) Fiscal year 2012 and thereafter.--For fiscal year
            2012 and each fiscal year thereafter, the amount to be withheld
            under this section shall be an amount equal to 8 percent of the
            amount apportioned to the noncompliant State, as described in
            subparagraph (A), under paragraphs (1) and (2) of section
            104(b).''.
        (g) Drug Offenders.--Section 159 of title 23, United States Code,
    is amended--
            (1) in subsection (a)--
                (A) by striking paragraph (1);
                (B) by redesignating paragraph (2) as paragraph (1);
                (C) in paragraph (1) (as so redesignated) by striking
            ``(including any amounts withheld under paragraph (1))''; and
                (D) by inserting after paragraph (1) (as so redesignated)
            the following:
            ``(2) Fiscal year 2012 and thereafter.--The Secretary shall
        withhold an amount equal to 8 percent of the amount required to be
        apportioned to any State under each of paragraphs (1) and (2) of
        section 104(b) on the first day of each fiscal year beginning after
        September 30, 2011, if the State fails to meet the requirements of
        paragraph (3) on the first day of the fiscal year.''; and
            (2) by striking subsection (b) and inserting the following:
        ``(b) Effect of Noncompliance.--No funds withheld under this
    section from apportionments to any State shall be available for
    apportionment to that State.''.
        (h) Zero Tolerance Blood Alcohol Concentration for Minors.--Section
    161(a) of title 23, United States Code, is amended--
            (1) by striking paragraph (1);
            (2) by redesignating paragraph (2) as paragraph (1);
            (3) in paragraph (1) (as so redesignated)--
                (A) by striking the paragraph heading and inserting ``Prior
            to fiscal year 2012''; and
                (B) by inserting ``through fiscal year 2011'' after ``each
            fiscal year thereafter''; and
            (4) by inserting after paragraph (1) (as so redesignated) the
        following:
            ``(2) Fiscal year 2012 and thereafter.--The Secretary shall
        withhold an amount equal to 8 percent of the amount required to be
        apportioned to any State under each of paragraphs (1) and (2) of
        section 104(b) on October 1, 2011, and on October 1 of each fiscal
        year thereafter, if the State does not meet the requirement of
        paragraph (3) on that date.''.
        (i) Operation of Motor Vehicles by Intoxicated Persons.--Section
    163(e) of title 23, United States Code, is amended by striking
    paragraphs (1) and (2) and inserting the following:
            ``(1) Fiscal years 2007 through 2011.--On October 1, 2006, and
        October 1 of each fiscal year thereafter through fiscal year 2011,
        if a State has not enacted or is not enforcing a law described in
        subsection (a), the Secretary shall withhold an amount equal to 8
        percent of the amounts to be apportioned to the State on that date
        under each of paragraphs (1), (3), and (4) of section 104(b).
            ``(2) Fiscal year 2012 and thereafter.--On October 1, 2011, 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 an amount equal to 6 percent of the
        amounts to be apportioned to the State on that date under each of
        paragraphs (1) and (2) of section 104(b).''.
        (j) Commercial Driver's License.--Section 31314 of title 49, United
    States Code, is amended--
            (1) by redesignating subsection (c) as subsection (d); and
            (2) by inserting after subsection (b) the following:
        ``(c) Penalties Imposed in Fiscal Year 2012 and Thereafter.--
    Effective beginning on October 1, 2011--
            ``(1) the penalty for the first instance of noncompliance by a
        State under this section shall be not more than an amount equal to
        4 percent of funds required to be apportioned to the noncompliant
        State under paragraphs (1) and (2) of section 104(b) of title 23;
        and
            ``(2) the penalty for subsequent instances of noncompliance
        shall be not more than an amount equal to 8 percent of funds
        required to be apportioned to the noncompliant State under
        paragraphs (1) and (2) of section 104(b) of title 23.''.
    SEC. 1405. HIGHWAY WORKER SAFETY.
        Not later than 60 days after the date of enactment of this Act, the
    Secretary shall modify section 630.1108(a) of title 23, Code of Federal
    Regulations (as in effect on the date of enactment of this Act), to
    ensure that--
            (1) at a minimum, positive protective measures are used to
        separate workers on highway construction projects from motorized
        traffic in all work zones conducted under traffic in areas that
        offer workers no means of escape (such as tunnels and bridges),
        unless an engineering study determines otherwise;
            (2) temporary longitudinal traffic barriers are used to protect
        workers on highway construction projects in long-duration
        stationary work zones when the project design speed is anticipated
        to be high and the nature of the work requires workers to be within
        1 lane-width from the edge of a live travel lane, unless--
                (A) an analysis by the project sponsor determines
            otherwise; or
                (B) the project is outside of an urbanized area and the
            annual average daily traffic load of the applicable road is
            less than 100 vehicles per hour; and
            (3) when positive protective devices are necessary for highway
        construction projects, those devices are paid for on a unit-pay
        basis, unless doing so would create a conflict with innovative
        contracting approaches, such as design-build or some performance-
        based contracts under which the contractor is paid to assume a
        certain risk allocation and payment is generally made on a lump-sum
        basis.

                           Subtitle E--Miscellaneous

    SEC. 1501. REAL-TIME RIDESHARING.
        Paragraph (3) of section 101(a) of title 23, United States Code (as
    redesignated by section 1103(a)(2)), is amended by striking ``and
    designating existing facilities for use for preferential parking for
    carpools'' and inserting ``designating existing facilities for use for
    preferential parking for carpools, and real-time ridesharing projects,
    such as projects where drivers, using an electronic transfer of funds,
    recover costs directly associated with the trip provided through the
    use of location technology to quantify those direct costs, subject to
    the condition that the cost recovered does not exceed the cost of the
    trip provided''.
    SEC. 1502. PROGRAM EFFICIENCIES.
        The first sentence of section 102(b) of title 23, United States
    Code, is amended by striking ``made available for such engineering''
    and inserting ``reimbursed for the preliminary engineering''.
    SEC. 1503. PROJECT APPROVAL AND OVERSIGHT.
        (a) In General.--Section 106 of title 23, United States Code, is
    amended--
            (1) in subsection (a)(2) by inserting ``recipient'' before
        ``formalizing'';
            (2) in subsection (c)--
                (A) in paragraph (1)--
                    (i) in the heading, by striking ``Non-interstate'';
                    (ii) by striking ``but not on the Interstate System'';
                and inserting ``, including projects on the Interstate
                System''; and
                    (iii) by striking ``of projects'' and all that follows
                through the period at the end and inserting ``with respect
                to the projects unless the Secretary determines that the
                assumption is not appropriate.''; and
                (B) by striking paragraph (4) and inserting the following:
            ``(4) Limitation on interstate projects.--
                ``(A) In general.--The Secretary shall not assign any
            responsibilities to a State for projects the Secretary
            determines to be in a high risk category, as defined under
            subparagraph (B).
                ``(B) High risk categories.--The Secretary may define the
            high risk categories under this subparagraph on a national
            basis, a State-by-State basis, or a national and State-by-State
            basis, as determined to be appropriate by the Secretary.'';
            (3) in subsection (e)--
                (A) in paragraph (1)(A)--
                    (i) in the matter preceding clause (i)--

                        (I) by striking ``concept'' and inserting
                    ``planning''; and
                        (II) by striking ``multidisciplined'' and inserting
                    ``multidisciplinary''; and

                    (ii) by striking clause (i) and inserting the
                following:
                    ``(i) providing the needed functions safely, reliably,
                and at the lowest overall lifecycle cost;'';
                (B) in paragraph (2)--
                    (i) in the matter preceding subparagraph (A) by
                striking ``or other cost-reduction analysis'';
                    (ii) in subparagraph (A)--

                        (I) by striking ``Federal-aid system'' and
                    inserting ``National Highway System receiving Federal
                    assistance''; and
                        (II) by striking ``$25,000,000'' and inserting
                    ``$50,000,000''; and

                    (iii) in subparagraph (B)--

                        (I) by inserting ``on the National Highway System
                    receiving Federal assistance'' after ``a bridge
                    project''; and
                        (II) by striking ``$20,000,000'' and inserting
                    ``$40,000,000''; and

                (C) by striking paragraph (4) and inserting the following:
            ``(4) Requirements.--
                ``(A) Value engineering program.--The State shall develop
            and carry out a value engineering program that--
                    ``(i) establishes and documents value engineering
                program policies and procedures;
                    ``(ii) ensures that the required value engineering
                analysis is conducted before completing the final design of
                a project;
                    ``(iii) ensures that the value engineering analysis
                that is conducted, and the recommendations developed and
                implemented for each project, are documented in a final
                value engineering report; and
                    ``(iv) monitors, evaluates, and annually submits to the
                Secretary a report that describes the results of the value
                analyses that are conducted and the recommendations
                implemented for each of the projects described in paragraph
                (2) that are completed in the State.
                ``(B) Bridge projects.--The value engineering analysis for
            a bridge project under paragraph (2) shall--
                    ``(i) include bridge superstructure and substructure
                requirements based on construction material; and
                    ``(ii) be evaluated by the State--

                        ``(I) on engineering and economic bases, taking
                    into consideration acceptable designs for bridges; and
                        ``(II) using an analysis of lifecycle costs and
                    duration of project construction.

            ``(5) Design-build projects.--A requirement to provide a value
        engineering analysis under this subsection shall not apply to a
        project delivered using the design-build method of construction.'';
            (4) in subsection (h)--
                (A) in paragraph (1)(B) by inserting ``, including a
            phasing plan when applicable'' after ``financial plan''; and
                (B) by striking paragraph (3) and inserting the following:
            ``(3) Financial plan.--A financial plan--
                ``(A) shall be based on detailed estimates of the cost to
            complete the project;
                ``(B) shall provide for the annual submission of updates to
            the Secretary that are based on reasonable assumptions, as
            determined by the Secretary, of future increases in the cost to
            complete the project;
                ``(C) may include a phasing plan that identifies fundable
            incremental improvements or phases that will address the
            purpose and the need of the project in the short term in the
            event there are insufficient financial resources to complete
            the entire project. If a phasing plan is adopted for a project
            pursuant to this section, the project shall be deemed to
            satisfy the fiscal constraint requirements in the statewide and
            metropolitan planning requirements in sections 134 and 135; and
                ``(D) shall assess the appropriateness of a public-private
            partnership to deliver the project.''; and
            (5) by adding at the end the following:
        ``(j) Use of Advanced Modeling Technologies.--
            ``(1) Definition of advanced modeling technology.--In this
        subsection, the term `advanced modeling technology' means an
        available or developing technology, including 3-dimensional digital
        modeling, that can--
                ``(A) accelerate and improve the environmental review
            process;
                ``(B) increase effective public participation;
                ``(C) enhance the detail and accuracy of project designs;
                ``(D) increase safety;
                ``(E) accelerate construction, and reduce construction
            costs; or
                ``(F) otherwise expedite project delivery with respect to
            transportation projects that receive Federal funding.
            ``(2) Program.--With respect to transportation projects that
        receive Federal funding, the Secretary shall encourage the use of
        advanced modeling technologies during environmental, planning,
        financial management, design, simulation, and construction
        processes of the projects.
            ``(3) Activities.--In carrying out paragraph (2), the Secretary
        shall--
                ``(A) compile information relating to advanced modeling
            technologies, including industry best practices with respect to
            the use of the technologies;
                ``(B) disseminate to States information relating to
            advanced modeling technologies, including industry best
            practices with respect to the use of the technologies; and
                ``(C) promote the use of advanced modeling technologies.
            ``(4) Comprehensive plan.--The Secretary shall develop and
        publish on the public website of the Department of Transportation a
        detailed and comprehensive plan for the implementation of paragraph
        (2).''.
        (b) Review of Oversight Program.--
            (1) In general.--The Secretary shall review the oversight
        program established under section 106(g) of title 23, United States
        Code, to determine the efficacy of the program in monitoring the
        effective and efficient use of funds authorized to carry out title
        23, United States Code.
            (2) Minimum requirements for review.--At a minimum, the review
        under paragraph (1) shall assess the capability of the program to--
                (A) identify projects funded under title 23, United States
            Code, for which there are cost or schedule overruns; and
                (B) evaluate the extent of such overruns.
            (3) Report to congress.--Not later than 2 years after the date
        of enactment of this Act, 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 review conducted under
        paragraph (1), which shall include recommendations for legislative
        changes to improve the oversight program established under section
        106(g) of title 23, United States Code.
        (c) Transparency and Accountability.--
            (1) Data collection.--The Secretary shall compile and make
        available on the public website of the Department of Transportation
        the annual expenditure data for funds made available under title 23
        and chapter 53 of title 49, United States Code.
            (2) Requirements.--In carrying out paragraph (1), the Secretary
        shall ensure that the data made available on the public website of
        the Department of Transportation--
                (A) is organized by project and State;
                (B) to the maximum extent practicable, is updated regularly
            to reflect the current status of obligations, expenditures, and
            Federal-aid projects; and
                (C) can be searched and downloaded by users of the website.
            (3) Report to congress.--The Secretary shall annually submit to
        the Committee on Transportation and Infrastructure of the House of
        Representatives and the Committee on Environment and Public Works
        and the Committee on Banking, Housing, and Urban Affairs of the
        Senate a report containing a summary of the data described in
        paragraph (1) for the 1-year period ending on the date on which the
        report is submitted.
    SEC. 1504. STANDARDS.
        Section 109 of title 23, United States Code, is amended by adding
    at the end the following:
        ``(r) Pavement Markings.--The Secretary shall not approve any
    pavement markings project that includes the use of glass beads
    containing more than 200 parts per million of arsenic or lead, as
    determined in accordance with Environmental Protection Agency testing
    methods 3052, 6010B, or 6010C.''.
    SEC. 1505. JUSTIFICATION REPORTS FOR ACCESS POINTS ON THE INTERSTATE
    SYSTEM.
        Section 111 of title 23, United States Code, is amended by adding
    at the end the following:
        ``(e) Justification Reports.--If the Secretary requests or requires
    a justification report for a project that would add a point of access
    to, or exit from, the Interstate System, the Secretary may permit a
    State transportation department to approve the report.''.
    SEC. 1506. CONSTRUCTION.
        Section 114(b) of title 23, United States Code, is amended--
            (1) in subsection (b)--
                (A) by striking paragraph (1) and inserting the following:
            ``(1) Limitation on convict labor.--Convict labor shall not be
        used in construction of Federal-aid highways or portions of
        Federal-aid highways unless the labor is performed by convicts who
        are on parole, supervised release, or probation.''; and
                (B) in paragraph (3) by inserting ``in existence during
            that period'' after ``located on a Federal-aid system''; and
            (2) by adding at the end the following:
        ``(d) Veterans Employment.---
            ``(1) In general.--Subject to paragraph (2), a recipient of
        Federal financial assistance under this chapter shall, to the
        extent practicable, encourage contractors working on a highway
        project funded using the assistance to make a best faith effort in
        the hiring or referral of laborers on any project for the
        construction of a highway to veterans (as defined in section 2108
        of title 5) who have the requisite skills and abilities to perform
        the construction work required under the contract.
            ``(2) Administration.--This subsection shall not--
                ``(A) apply to projects subject to section 140(d); or
                ``(B) be administered or enforced in any manner that would
            require an employer to give a preference to any veteran over
            any equally qualified applicant who is a member of any racial
            or ethnic minority, a female, or any equally qualified former
            employee.''.
    SEC. 1507. MAINTENANCE.
        Section 116 of title 23, United States Code, is amended--
            (1) by redesignating subsections (a) through (d) as subsections
        (b) through (e), respectively;
            (2) by inserting before subsection (b) (as so redesignated) the
        following:
        ``(a) Definitions.--In this section, the following definitions
    apply:
            ``(1) Preventive maintenance.--The term `preventive
        maintenance' includes pavement preservation programs and
        activities.
            ``(2) Pavement preservation programs and activities.--The term
        `pavement preservation programs and activities' means programs and
        activities employing a network level, long-term strategy that
        enhances pavement performance by using an integrated, cost-
        effective set of practices that extend pavement life, improve
        safety, and meet road user expectations.'';
            (3) in subsection (b) (as so redesignated)--
                (A) in the first sentence, by inserting ``or other direct
            recipient'' before ``to maintain''; and
                (B) by striking the second sentence;
            (4) by striking subsection (c) (as so redesignated) and
        inserting the following:
        ``(c) Agreement.--In any State in which the State transportation
    department or other direct recipient is without legal authority to
    maintain a project described in subsection (b), the transportation
    department or direct recipient shall enter into a formal agreement with
    the appropriate officials of the county or municipality in which the
    project is located to provide for the maintenance of the project.'';
    and
            (5) in the first sentence of subsection (d) (as so
        redesignated) by inserting ``or other direct recipient'' after
        ``State transportation department''.
    SEC. 1508. FEDERAL SHARE PAYABLE.
        Section 120 of title 23, United States Code, is amended--
            (1) in the first sentence of subsection (c)(1)--
                (A) by inserting ``maintaining minimum levels of
            retroreflectivity of highway signs or pavement markings,''
            after ``traffic control signalization,'';
                (B) by inserting ``shoulder and centerline rumble strips
            and stripes,'' after ``pavement marking,''; and
                (C) by striking ``Federal-aid systems'' and inserting
            ``Federal-aid programs'';
            (2) by striking subsection (e) and inserting the following:
        ``(e) Emergency Relief.--The Federal share payable for any repair
    or reconstruction provided for by funds made available under section
    125 for any project on a Federal-aid highway, including the Interstate
    System, shall not exceed the Federal share payable on a project on the
    system as provided in subsections (a) and (b), 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 cost of the repairs;
            ``(2) the Federal share payable for any repair or
        reconstruction of Federal land transportation facilities, Federal
        land access transportation facilities, and tribal transportation
        facilities may amount to 100 percent of the cost of the repair or
        reconstruction;
            ``(3) the Secretary shall extend the time period in paragraph
        (1) taking into consideration any delay in the ability of the State
        to access damaged facilities to evaluate damage and the cost of
        repair; and
            ``(4) the Federal share payable for eligible permanent repairs
        to restore damaged facilities to predisaster condition may amount
        to 90 percent of the cost of the repairs if the eligible expenses
        incurred by the State due to natural disasters or catastrophic
        failures in a Federal fiscal year exceeds the annual apportionment
        of the State under section 104 for the fiscal year in which the
        disasters or failures occurred.'';
            (3) by striking subsection (g) and redesignating subsections
        (h) through (l) as subsections (g) through (k), respectively;
            (4) in subsection (i)(1)(A) (as redesignated by paragraph (3))
        by striking ``and the Appalachian development highway system
        program under section 14501 of title 40''; and
            (5) by striking subsections (j) and (k) (as redesignated by
        paragraph (3)) and inserting the following:
        ``(j) Use of Federal Agency Funds.--Notwithstanding any other
    provision of law, any Federal funds other than those made available
    under this title and title 49 may be used to pay the non-Federal share
    of the cost of any transportation project that is within, adjacent to,
    or provides access to Federal land, the Federal share of which is
    funded under this title or chapter 53 of title 49.
        ``(k) Use of Federal Land and Tribal Transportation Funds.--
    Notwithstanding any other provision of law, the funds authorized to be
    appropriated to carry out the tribal transportation program under
    section 202 and the Federal lands transportation program under section
    203 may be used to pay the non-Federal share of the cost of any project
    that is funded under this title or chapter 53 of title 49 and that
    provides access to or within Federal or tribal land.''.
    SEC. 1509. TRANSFERABILITY OF FEDERAL-AID HIGHWAY FUNDS.
        (a) In General.--Section 126 of title 23, United States Code, is
    amended to read as follows:
    ``Sec. 126. Transferability of Federal-aid highway funds
        ``(a) In General.--Notwithstanding any other provision of law,
    subject to subsection (b), a State may transfer from an apportionment
    under section 104(b) not to exceed 50 percent of the amount apportioned
    for the fiscal year to any other apportionment of the State under that
    section.
        ``(b) Application to Certain Set-asides.--
            ``(1) In general.--Funds that are subject to sections 104(d)
        and 133(d) shall not be transferred under this section.
            ``(2) Funds transferred by states.--Funds transferred by a
        State under this section of the funding reserved for the State
        under section 213 for a fiscal year may only come from the portion
        of those funds that are available for obligation in any area of the
        State under section 213(c)(1)(B).''.
        (b) Conforming Amendment.--The analysis for chapter 1 of title 23,
    United States Code, is amended by striking the item relating to section
    126 and inserting the following:

    ``126. Transferability of Federal-aid highway funds.''.
    SEC. 1510. IDLE REDUCTION TECHNOLOGY.
        Section 127(a)(12) of title 23, United States Code, is amended--
            (1) in subparagraph (B), by striking ``400'' and inserting
        ``550''; and
            (2) in subparagraph (C)(ii), by striking ``400-pound'' and
        inserting ``550-pound''.
    SEC. 1511. SPECIAL PERMITS DURING PERIODS OF NATIONAL EMERGENCY.
        Section 127 of title 23, United States Code, is amended by
    inserting at the end the following:
        ``(i) Special Permits During Periods of National Emergency.--
            ``(1) In general.--Notwithstanding any other provision of this
        section, a State may issue special permits during an emergency to
        overweight vehicles and loads that can easily be dismantled or
        divided if--
                ``(A) the President has declared the emergency to be a
            major disaster under the Robert T. Stafford Disaster Relief and
            Emergency Assistance Act (42 U.S.C. 5121 et seq.);
                ``(B) the permits are issued in accordance with State law;
            and
                ``(C) the permits are issued exclusively to vehicles and
            loads that are delivering relief supplies.
            ``(2) Expiration.--A permit issued under paragraph (1) shall
        expire not later than 120 days after the date of the declaration of
        emergency under subparagraph (A) of that paragraph.''.
    SEC. 1512. TOLLING.
        (a) Amendment to Tolling Provision.--Section 129(a) of title 23,
    United States Code, is amended to read as follows:
        ``(a) Basic Program.--
            ``(1) Authorization for federal participation.--Subject to the
        provisions of this section, Federal participation shall be
        permitted on the same basis and in the same manner as construction
        of toll-free highways is permitted under this chapter in the--
                ``(A) initial construction of a toll highway, bridge, or
            tunnel or approach to the highway, bridge, or tunnel;
                ``(B) initial construction of 1 or more lanes or other
            improvements that increase capacity of a highway, bridge, or
            tunnel (other than a highway on the Interstate System) and
            conversion of that highway, bridge, or tunnel to a tolled
            facility, if the number of toll-free lanes, excluding auxiliary
            lanes, after the construction is not less than the number of
            toll-free lanes, excluding auxiliary lanes, before the
            construction;
                ``(C) initial construction of 1 or more lanes or other
            improvements that increase the capacity of a highway, bridge,
            or tunnel on the Interstate System and conversion of that
            highway, bridge, or tunnel to a tolled facility, if the number
            of toll-free non-HOV lanes, excluding auxiliary lanes, after
            such construction is not less than the number of toll-free non-
            HOV lanes, excluding auxiliary lanes, before such construction;
                ``(D) reconstruction, resurfacing, restoration,
            rehabilitation, or replacement of a toll highway, bridge, or
            tunnel or approach to the highway, bridge, or tunnel;
                ``(E) reconstruction or replacement of a toll-free bridge
            or tunnel and conversion of the bridge or tunnel to a toll
            facility;
                ``(F) reconstruction of a toll-free Federal-aid highway
            (other than a highway on the Interstate System) and conversion
            of the highway to a toll facility;
                ``(G) reconstruction, restoration, or rehabilitation of a
            highway on the Interstate System if the number of toll-free
            non-HOV lanes, excluding auxiliary lanes, after reconstruction,
            restoration, or rehabilitation is not less than the number of
            toll-free non-HOV lanes, excluding auxiliary lanes, before
            reconstruction, restoration, or rehabilitation;
                ``(H) conversion of a high occupancy vehicle lane on a
            highway, bridge, or tunnel to a toll facility; and
                ``(I) preliminary studies to determine the feasibility of a
            toll facility for which Federal participation is authorized
            under this paragraph.
            ``(2) Ownership.--Each highway, bridge, tunnel, or approach to
        the highway, bridge, or tunnel constructed under this subsection
        shall--
                ``(A) be publicly owned; or
                ``(B) be privately owned if the public authority with
            jurisdiction over the highway, bridge, tunnel, or approach has
            entered into a contract with 1 or more private persons to
            design, finance, construct, and operate the facility and the
            public authority will be responsible for complying with all
            applicable requirements of this title with respect to the
            facility.
            ``(3) Limitations on use of revenues.--
                ``(A) In general.--A public authority with jurisdiction
            over a toll facility shall use all toll revenues received from
            operation of the toll facility only for--
                    ``(i) debt service with respect to the projects on or
                for which the tolls are authorized, including funding of
                reasonable reserves and debt service on refinancing;
                    ``(ii) a reasonable return on investment of any private
                person financing the project, as determined by the State or
                interstate compact of States concerned;
                    ``(iii) any costs necessary for the improvement and
                proper operation and maintenance of the toll facility,
                including reconstruction, resurfacing, restoration, and
                rehabilitation;
                    ``(iv) if the toll facility is subject to a public-
                private partnership agreement, payments that the party
                holding the right to toll revenues owes to the other party
                under the public-private partnership agreement; and
                    ``(v) if the public authority certifies annually that
                the tolled facility is being adequately maintained, any
                other purpose for which Federal funds may be obligated by a
                State under this title.
                ``(B) Annual audit.--
                    ``(i) In general.--A public authority with jurisdiction
                over a toll facility shall conduct or have an independent
                auditor conduct an annual audit of toll facility records to
                verify adequate maintenance and compliance with
                subparagraph (A), and report the results of the audits to
                the Secretary.
                    ``(ii) Records.--On reasonable notice, the public
                authority shall make all records of the public authority
                pertaining to the toll facility available for audit by the
                Secretary.
                ``(C) Noncompliance.--If the Secretary concludes that a
            public authority has not complied with the limitations on the
            use of revenues described in subparagraph (A), the Secretary
            may require the public authority to discontinue collecting
            tolls until an agreement with the Secretary is reached to
            achieve compliance with the limitation on the use of revenues
            described in subparagraph (A).
            ``(4) Limitations on conversion of high occupancy vehicle
        facilities on interstate system.--
                ``(A) In general.--A public authority with jurisdiction
            over a high occupancy vehicle facility on the Interstate System
            may undertake reconstruction, restoration, or rehabilitation
            under paragraph (1)(G) on the facility, and may levy tolls on
            vehicles, excluding high occupancy vehicles, using the
            reconstructed, restored, or rehabilitated facility, if the
            public authority--
                    ``(i) in the case of a high occupancy vehicle facility
                that affects a metropolitan area, submits to the Secretary
                a written assurance that the metropolitan planning
                organization designated under section 5203 of title 49 for
                the area has been consulted concerning the placement and
                amount of tolls on the converted facility;
                    ``(ii) develops, manages, and maintains a system that
                will automatically collect the toll; and
                    ``(iii) establishes policies and procedures--

                        ``(I) to manage the demand to use the facility by
                    varying the toll amount that is charged; and
                        ``(II) to enforce sanctions for violations of use
                    of the facility.

                ``(B) Exemption from tolls.--In levying tolls on a facility
            under subparagraph (A), a public authority may designate
            classes of vehicles that are exempt from the tolls or charge
            different toll rates for different classes of vehicles.
            ``(5) Special rule for funding.--
                ``(A) In general.--In the case of a toll facility under the
            jurisdiction of a public authority of a State (other than the
            State transportation department), on request of the State
            transportation department and subject to such terms and
            conditions as the department and public authority may agree,
            the Secretary, working through the State department of
            transportation, shall reimburse the public authority for the
            Federal share of the costs of construction of the project
            carried out on the toll facility under this subsection in the
            same manner and to the same extent as the department would be
            reimbursed if the project was being carried out by the
            department.
                ``(B) Source.--The reimbursement of funds under this
            paragraph shall be from sums apportioned to the State under
            this chapter and available for obligations on projects on the
            Federal-aid system in the State on which the project is being
            carried out.
            ``(6) Limitation on federal share.--The Federal share payable
        for a project described in paragraph (1) shall be a percentage
        determined by the State, but not to exceed 80 percent.
            ``(7) Modifications.--If a public authority (including a State
        transportation department) with jurisdiction over a toll facility
        subject to an agreement under this section or section 119(e), as in
        effect on the day before the effective date of title I of the
        Intermodal Surface Transportation Efficiency Act of 1991 (105 Stat.
        1915), requests modification of the agreement, the Secretary shall
        modify the agreement to allow the continuation of tolls in
        accordance with paragraph (3) without repayment of Federal funds.
            ``(8) Loans.--
                ``(A) In general.--
                    ``(i) Loans.--Using amounts made available under this
                title, a State may loan to a public or private entity
                constructing or proposing to construct under this section a
                toll facility or non-toll facility with a dedicated revenue
                source an amount equal to all or part of the Federal share
                of the cost of the project if the project has a revenue
                source specifically dedicated to the project.
                    ``(ii) Dedicated revenue sources.--Dedicated revenue
                sources for non-toll facilities include excise taxes, sales
                taxes, motor vehicle use fees, tax on real property, tax
                increment financing, and such other dedicated revenue
                sources as the Secretary determines appropriate.
                ``(B) Compliance with federal laws.--As a condition of
            receiving a loan under this paragraph, the public or private
            entity that receives the loan shall ensure that the project
            will be carried out in accordance with this title and any other
            applicable Federal law, including any applicable provision of a
            Federal environmental law.
                ``(C) Subordination of debt.--The amount of any loan
            received for a project under this paragraph may be subordinated
            to any other debt financing for the project.
                ``(D) Obligation of funds loaned.--Funds loaned under this
            paragraph may only be obligated for projects under this
            paragraph.
                ``(E) Repayment.--The repayment of a loan made under this
            paragraph shall commence not later than 5 years after date on
            which the facility that is the subject of the loan is open to
            traffic.
                ``(F) Term of loan.--The term of a loan made under this
            paragraph shall not exceed 30 years from the date on which the
            loan funds are obligated.
                ``(G) Interest.--A loan made under this paragraph shall
            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.
                ``(H) Reuse of funds.--Amounts repaid to a State from a
            loan made under this paragraph may be obligated--
                    ``(i) for any purpose for which the loan funds were
                available under this title; and
                    ``(ii) for the purchase of insurance or for use as a
                capital reserve for other forms of credit enhancement for
                project debt in order to improve credit market access or to
                lower interest rates for projects eligible for assistance
                under this title.
                ``(I) Guidelines.--The Secretary shall establish procedures
            and guidelines for making loans under this paragraph.
            ``(9) State law permitting tolling.--If a State does not have a
        highway, bridge, or tunnel toll facility as of the date of
        enactment of the MAP-21, before commencing any activity authorized
        under this section, the State shall have in effect a law that
        permits tolling on a highway, bridge, or tunnel.
            ``(10) Definitions.--In this subsection, the following
        definitions apply:
                ``(A) High occupancy vehicle; hov.--The term `high
            occupancy vehicle' or `HOV' means a vehicle with not fewer than
            2 occupants.
                ``(B) Initial construction.--
                    ``(i) In general.--The term `initial construction'
                means the construction of a highway, bridge, tunnel, or
                other facility at any time before it is open to traffic.
                    ``(ii) Exclusions.--The term `initial construction'
                does not include any improvement to a highway, bridge,
                tunnel, or other facility after it is open to traffic.
                ``(C) Public authority.--The term `public authority' means
            a State, interstate compact of States, or public entity
            designated by a State.
                ``(D) Toll facility.--The term `toll facility' means a toll
            highway, bridge, or tunnel or approach to the highway, bridge,
            or tunnel constructed under this subsection.''.
        (b) Electronic Toll Collection Interoperability Requirements.--Not
    later than 4 years after the date of enactment of this Act, all toll
    facilities on the Federal-aid highways shall implement technologies or
    business practices that provide for the interoperability of electronic
    toll collection programs.
    SEC. 1513. MISCELLANEOUS PARKING AMENDMENTS.
        (a) Fringe and Corridor Parking Facilities.--Section 137 of title
    23, United States Code, is amended--
            (1) in subsection (f)(1)--
                (A) by striking ``104(b)(4)'' and inserting ``104(b)(1)'';
            and
                (B) by inserting ``including the addition of electric
            vehicle charging stations or natural gas vehicle refueling
            stations,'' after ``new facilities,''; and
            (2) by adding at the end the following:
        ``(g) Funding.--The addition of electric vehicle charging stations
    or natural gas vehicle refueling stations to new or previously funded
    parking facilities shall be eligible for funding under this section.''.
        (b) Public Transportation.--Section 142(a)(1) of title 23, United
    States Code, is amended by inserting ``, which may include electric
    vehicle charging stations or natural gas vehicle refueling stations,''
    after ``parking facilities''.
        (c) Forest Development Roads and Trails.--Section 205(d) of title
    23, United States Code, is amended by inserting ``, which may include
    electric vehicle charging stations or natural gas vehicle refueling
    stations,'' after ``parking areas''.
    SEC. 1514. HOV FACILITIES.
        Section 166 of title 23, United States Code, is amended--
            (1) in subsection (b)(5)--
                (A) in subparagraph (A) by striking ``2009'' and inserting
            ``2017'';
                (B) in subparagraph (B) by striking ``2009'' and inserting
            ``2017''; and
                (C) in subparagraph (C)--
                    (i) by striking ``subparagraph (B)'' and inserting
                ``this paragraph''; and
                    (ii) by inserting ``or equal to'' after ``less than'';
            (2) in subsection (c) by striking paragraph (3) and inserting
        the following:
            ``(3) Toll revenue.--Toll revenue collected under this section
        is subject to the requirements of section 129(a)(3).''; and
            (3) in subsection (d)(1)--
                (A) in the matter preceding subparagraph (A)--
                    (i) by striking ``in a fiscal year shall certify'' and
                inserting ``shall submit to the Secretary a report
                demonstrating that the facility is not already degraded,
                and that the presence of the vehicles will not cause the
                facility to become degraded, and certify''; and
                    (ii) by striking ``in the fiscal year'';
                (B) in subparagraph (A) by inserting ``and submitting to
            the Secretary annual reports of those impacts'' after
            ``adjacent highways'';
                (C) in subparagraph (C) by striking ``if the presence of
            the vehicles has degraded the operation of the facility'' and
            inserting ``whenever the operation of the facility is
            degraded''; and
                (D) by adding at the end the following:
                ``(D) Maintenance of operating performance.--Not later than
            180 days after the date on which a facility is degraded
            pursuant to the standard specified in paragraph (2), the State
            agency with jurisdiction over the facility shall bring the
            facility into compliance with the minimum average operating
            speed performance standard through changes to operation of the
            facility, including--
                    ``(i) increasing the occupancy requirement for HOV
                lanes;
                    ``(ii) varying the toll charged to vehicles allowed
                under subsection (b) to reduce demand;
                    ``(iii) discontinuing allowing non-HOV vehicles to use
                HOV lanes under subsection (b); or
                    ``(iv) increasing the available capacity of the HOV
                facility.
                ``(E) Compliance.--If the State fails to bring a facility
            into compliance under subparagraph (D), the Secretary shall
            subject the State to appropriate program sanctions under
            section 1.36 of title 23, Code of Federal Regulations (or
            successor regulations), until the performance is no longer
            degraded.''.
    SEC. 1515. FUNDING FLEXIBILITY FOR TRANSPORTATION EMERGENCIES.
        (a) In General.--Chapter 1 of title 23, United States Code (as
    amended by section 1311(a)), is amended by adding at the end the
    following:
    ``Sec. 170. Funding flexibility for transportation emergencies
        ``(a) In General.--Notwithstanding any other provision of law, a
    State may use up to 100 percent of any covered funds of the State to
    repair or replace a transportation facility that has suffered serious
    damage as a result of a natural disaster or catastrophic failure from
    an external cause.
        ``(b) Declaration of Emergency.--Funds may be used under this
    section only for a disaster or emergency declared by the President
    pursuant to the Robert T. Stafford Disaster Relief and Emergency
    Assistance Act (42 U.S.C. 5121 et seq.).
        ``(c) Repayment.--Funds used under subsection (a) shall be repaid
    to the program from which the funds were taken in the event that such
    repairs or replacement are subsequently covered by a supplemental
    appropriation of funds.
        ``(d) Definitions.--In this section, the following definitions
    apply:
            ``(1) Covered funds.--The term `covered funds' means any
        amounts apportioned to a State under section 104(b), other than
        amounts suballocated to metropolitan areas and other areas of the
        State under section 133(d), but including any such amounts required
        to be set aside for a purpose other than the repair or replacement
        of a transportation facility under this section.
            ``(2) Transportation facility.--The term `transportation
        facility' means any facility eligible for assistance under section
        125.''.
        (b) Technical and Conforming Amendment.--The analysis for chapter 1
    of title 23, United States Code (as amended by section 1311(b)), is
    amended by adding at the end the following:

    ``170. Funding flexibility for transportation emergencies.''.
    SEC. 1516. DEFENSE ACCESS ROAD PROGRAM ENHANCEMENTS TO ADDRESS
    TRANSPORTATION INFRASTRUCTURE IN THE VICINITY OF MILITARY
    INSTALLATIONS.
        The second sentence of section 210(a)(2) of title 23, United States
    Code, is amended by inserting ``, in consultation with the Secretary of
    Transportation,'' before ``shall determine''.
    SEC. 1517. MAPPING.
        (a) In General.--Section 306 of title 23, United States Code, is
    amended--
            (1) in subsection (a) by striking ``may'' and inserting
        ``shall'';
            (2) in subsection (b) in the second sentence by striking
        ``State and'' and inserting ``State government and''; and
            (3) by adding at the end the following:
        ``(c) Implementation.--The Secretary shall develop a process for
    the oversight and monitoring, on an annual basis, of the compliance of
    each State with the guidance issued under subsection (b).''.
        (b) Survey.--Not later than 2 years after the date of enactment of
    this Act, the Secretary shall conduct a survey of all States to
    determine what percentage of projects carried out under title 23,
    United States Code, in each State utilize private sector sources for
    surveying and mapping services.
    SEC. 1518. BUY AMERICA PROVISIONS.
        Section 313 of title 23, United States Code, is amended by adding
    at the end the following:
        ``(g) Application to Highway Programs.--The requirements under this
    section shall apply to all contracts eligible for assistance under this
    chapter for a project carried out within the scope of the applicable
    finding, determination, or decision under the National Environmental
    Policy Act of 1969 (42 U.S.C. 4321 et seq.), regardless of the funding
    source of such contracts, if at least 1 contract for the project is
    funded with amounts made available to carry out this title.''.
    SEC. 1519. CONSOLIDATION OF PROGRAMS; REPEAL OF OBSOLETE PROVISIONS.
        (a) Consolidation of Programs.--From administrative funds made
    available under section 104(a) of title 23, United States Code, not
    less than $3,000,000 for each of fiscal years 2013 and 2014 shall be
    made available--
            (1) to carry out safety-related activities, including--
                (A) to carry out the operation lifesaver program--
                    (i) to provide public information and education
                programs to help prevent and reduce motor vehicle
                accidents, injuries, and fatalities; and
                    (ii) to improve driver performance at railway-highway
                crossings; and
                (B) to provide work zone safety grants in accordance with
            subsections (a) and (b) of section 1409 of the SAFETEA-LU (23
            U.S.C. 401 note; 119 Stat. 1232); and
            (2) to operate authorized safety-related clearinghouses,
        including--
                (A) the national work zone safety information clearinghouse
            authorized by section 358(b)(2) of the National Highway System
            Designation Act of 1995 (23 U.S.C. 401 note; 109 Stat. 625);
            and
                (B) a public road safety clearinghouse in accordance with
            section 1411(a) of the SAFETEA-LU (23 U.S.C. 402 note; 119
            Stat. 1234).
        (b) Repeals.--
            (1) Title 23.--
                (A) In general.--Sections 105, 110, 117, 124, 151, 155,
            157, 160, 212, 216, 303, and 309 of title 23, United States
            Code, are repealed.
                (B) Set asides.--Section 118 of title 23, United States
            Code, is amended--
                    (i) by striking subsection (c); and
                    (ii) by redesignating subsections (d) and (e) as
                subsections (c) and (d), respectively.
            (2) SAFETEA-LU.--Sections 1302, 1305, 1306, 1803, 1804, 1907,
        and 1958 of SAFETEA-LU (Public Law 109-59) are repealed.
            (3) Additional.--Section 1132 of the Energy Independence and
        Security Act of 2007 (Public Law 110-140; 121 Stat. 1763) is
        repealed.
        (c) Conforming Amendments.--
            (1) Title analysis.--
                (A) Chapter 1.--The analysis for chapter 1 of title 23,
            United States Code, is amended by striking the items relating
            to sections 105, 110, 117, 124, 151, 155, 157, and 160.
                (B) Chapter 2.--The analysis for chapter 2 of title 23,
            United States Code, is amended by striking the items relating
            to sections 212 and 216.
                (C) Chapter 3.--The analysis for chapter 3 of title 23,
            United States Code, is amended by striking the items relating
            to sections 303 and 309.
            (2) Table of contents.--The table of contents contained in
        section 1(b) of SAFETEA-LU (Public Law 109-59; 119 Stat. 1144) is
        amended by striking the items relating to sections 1302, 1305,
        1306, 1803, 1804, 1907, and 1958.
            (3) Section 104.--Section 104(e) of title 23, United States
        Code, is amended by striking ``, 105,''.
            (4) Section 109.--Section 109(q) of title 23, United States
        Code, is amended by striking ``in accordance with section 303 or''.
            (5) Section 118.--Section 118(b) of title 23, United States
        Code, is amended--
                (A) by striking paragraph (1) and all that follows through
            the heading of paragraph (2); and
                (B) by striking ``(other than for Interstate
            construction)''.
            (6) Section 130.--Section 130 of title 23, United States Code,
        is amended--
                (A) in subsection (e) by striking ``section 104(b)(5)'' and
            inserting ``section 104(b)(3)'';
                (B) in subsection (f)(1) by inserting ``as in effect on the
            day before the date of enactment of the MAP-21'' after
            ``section 104(b)(3)(A)''; and
                (C) in subsection (l) by striking paragraphs (3) and (4).
            (7) Section 131.--Section 131(m) of title 23, United States
        Code, is amended by striking ``Subject to approval by the Secretary
        in accordance with the program of projects approval process of
        section 105, a State'' and inserting ``A State''.
            (8) Section 133.--Paragraph (13) of section 133(b) of title 23,
        United States Code (as amended by section 1108(a)(3)), is amended
        by striking ``under section 303.''
            (9) Section 142.--Section 142 of title 23, United States Code,
        is amended--
                (A) in subsection (a)--
                    (i) in paragraph (1)--

                        (I) by striking ``motor vehicles (other than
                    rail)'' and inserting ``buses'';
                        (II) by striking ``(hereafter in this section
                    referred to as `buses')'';
                        (III) by striking ``Federal-aid systems'' and
                    inserting ``Federal-aid highways''; and
                        (IV) by striking ``Federal-aid system'' and
                    inserting ``Federal-aid highway''; and

                    (ii) in paragraph (2)--

                        (I) by striking ``as a project on the the surface
                    transportation program for''; and
                        (II) by striking ``section 104(b)(3)'' and
                    inserting ``section 104(b)(2)'';

                (B) in subsection (b) by striking ``104(b)(4)'' and
            inserting ``104(b)(1)'';
                (C) in subsection (c)--
                    (i) by striking ``system'' in each place it appears and
                inserting ``highway''; and
                    (ii) by striking ``highway facilities'' and inserting
                ``highways eligible under the program that is the source of
                the funds'';
                (D) in subsection (e)(2) by striking ``Notwithstanding
            section 209(f)(1) of the Highway Revenue Act of 1956, the
            Highway Trust Fund shall be available for making expenditures
            to meet obligations resulting from projects authorized by
            subsection (a)(2) of this section and such projects'' and
            inserting ``Projects authorized by subsection (a)(2)''; and
                (E) in subsection (f) by striking ``exits'' and inserting
            ``exists''.
            (10) Section 145.--Section 145(b) of title 23, United States
        Code, is amended by striking ``section 117 of this title,''.
            (11) Section 218.--Section 218 of title 23, United States Code,
        is amended--
                (A) in subsection (a)--
                    (i) by striking the first two sentences;
                    (ii) in the third sentence--

                        (I) by striking ``, in addition to such funds,'';
                    and
                        (II) by striking ``such highway or'';

                    (iii) by striking the fourth sentence and fifth
                sentences;
                (B) by striking subsection (b); and
                (C) by redesignating subsection (c) as subsection (b).
            (12) Section 610.--Section 610(d)(1)(B) of title 23, United
        States Code, is amended by striking ``under section 105''.
    SEC. 1520. DENALI COMMISSION.
        The Denali Commission Act of 1998 (42 U.S.C. 3121 note) is
    amended--
            (1) in section 305, by striking subsection (c) and inserting
        the following:
        ``(c) Gifts.--
            ``(1) In general.--Except as provided in paragraph (2), the
        Commission, on behalf of the United States, may accept use, and
        dispose of gifts or donations of services, property, or money for
        purposes of carrying out this Act.
            ``(2) Conditional.--With respect to conditional gifts--
                ``(A)(i) the Commission, on behalf of the United States,
            may accept conditional gifts for purposes of carrying out this
            Act, if approved by the Federal Cochairperson; and
                ``(ii) the principal of and income from any such
            conditional gift shall be held, invested, reinvested, and used
            in accordance with the condition applicable to the gift; but
                ``(B) no gift shall be accepted that is conditioned on any
            expenditure not to be funded from the gift or from the income
            generated by the gift unless the expenditure has been approved
            by Act of Congress.''; and
            (2) by adding at the end the following:
        ``SEC. 311. TRANSFER OF FUNDS FROM OTHER FEDERAL AGENCIES.
        ``(a) In General.--Subject to subsection (c), for purposes of this
    Act, the Commission may accept transfers of funds from other Federal
    agencies.
        ``(b) Transfers.--Any Federal agency authorized to carry out an
    activity that is within the authority of the Commission may transfer to
    the Commission any appropriated funds for the activity.
        ``(c) Treatment.--Any funds transferred to the Commission under
    this subsection--
            ``(1) shall remain available until expended; and
            ``(2) may, to the extent necessary to carry out this Act, be
        transferred to, and merged with, the amounts made available by
        appropriations Acts for the Commission by the Federal
        Cochairperson.''.
    SEC. 1521. UNIFORM RELOCATION ASSISTANCE AND REAL PROPERTY ACQUISITION
    POLICIES ACT OF 1970 AMENDMENTS.
        (a) Moving and Related Expenses.--Section 202 of the Uniform
    Relocation Assistance and Real Property Acquisition Policies Act of
    1970 (42 U.S.C. 4622) is amended--
            (1) in subsection (a)(4) by striking ``$10,000'' and inserting
        ``$25,000, as adjusted by regulation, in accordance with section
        213(d)''; and
            (2) in the second sentence of subsection (c) by striking
        ``$20,000'' and inserting ``$40,000, as adjusted by regulation, in
        accordance with section 213(d)''.
        (b) Replacement Housing for Homeowners.--The first sentence of
    section 203(a)(1) of the Uniform Relocation Assistance and Real
    Property Acquisition Policies Act of 1970 (42 U.S.C. 4623(a)(1)) is
    amended--
            (1) by striking ``$22,500'' and inserting ``$31,000, as
        adjusted by regulation, in accordance with 213(d),''; and
            (2) by striking ``one hundred and eighty days prior to'' and
        inserting ``90 days before''.
        (c) Replacement Housing for Tenants and Certain Others.--Section
    204 of the Uniform Relocation Assistance and Real Property Acquisition
    Policies Act of 1970 (42 U.S.C. 4624) is amended--
            (1) in the second sentence of subsection (a) by striking
        ``$5,250'' and inserting ``$7,200, as adjusted by regulation, in
        accordance with section 213(d)''; and
            (2) in the second sentence of subsection (b) by striking ``,
        except'' and all that follows through the end of the subsection and
        inserting a period.
        (d) Duties of Lead Agency.--Section 213 of the Uniform Relocation
    Assistance and Real Property Acquisition Policies Act of 1970 (42
    U.S.C. 4633) is amended--
            (1) in subsection (b)--
                (A) in paragraph (2) by striking ``and'' at the end;
                (B) in paragraph (3) by striking the period at the end and
            inserting ``; and''; and
                (C) by adding at the end the following:
            ``(4) that each Federal agency that has programs or projects
        requiring the acquisition of real property or causing a
        displacement from real property subject to the provisions of this
        Act shall provide to the lead agency an annual summary report the
        describes the activities conducted by the Federal agency.''; and
            (2) by adding at the end the following:
        ``(d) Adjustment of Payments.--The head of the lead agency may
    adjust, by regulation, the amounts of relocation payments provided
    under sections 202(a)(4), 202(c), 203(a), and 204(a) if the head of the
    lead agency determines that cost of living, inflation, or other factors
    indicate that the payments should be adjusted to meet the policy
    objectives of this Act.''.
        (e) Agency Coordination.--Title II of the Uniform Relocation
    Assistance and Real Property Acquisition Policies Act of 1970 is
    amended by inserting after section 213 (42 U.S.C. 4633) the following:
        ``SEC. 214. AGENCY COORDINATION.
        ``(a) Agency Capacity.--Each Federal agency responsible for funding
    or carrying out relocation and acquisition activities shall have
    adequately trained personnel and such other resources as are necessary
    to manage and oversee the relocation and acquisition program of the
    Federal agency in accordance with this Act.
        ``(b) Interagency Agreements.--Not later than 1 year after the date
    of enactment of this section, each Federal agency responsible for
    funding relocation and acquisition activities (other than the agency
    serving as the lead agency) shall enter into a memorandum of
    understanding with the lead agency that--
            ``(1) provides for periodic training of the personnel of the
        Federal agency, which in the case of a Federal agency that provides
        Federal financial assistance, may include personnel of any
        displacing agency that receives Federal financial assistance;
            ``(2) addresses ways in which the lead agency may provide
        assistance and coordination to the Federal agency relating to
        compliance with the Act on a program or project basis; and
            ``(3) addresses the funding of the training, assistance, and
        coordination activities provided by the lead agency, in accordance
        with subsection (c).
        ``(c) Interagency Payments.--
            ``(1) In general.--For the fiscal year that begins 1 year after
        the date of enactment of this section, and each fiscal year
        thereafter, each Federal agency responsible for funding relocation
        and acquisition activities (other than the agency serving as the
        lead agency) shall transfer to the lead agency for the fiscal year,
        such funds as are necessary, but not less than $35,000, to support
        the training, assistance, and coordination activities of the lead
        agency described in subsection (b).
            ``(2) Included costs.--The cost to a Federal agency of
        providing the funds described in paragraph (1) shall be included as
        part of the cost of 1 or more programs or projects undertaken by
        the Federal agency or with Federal financial assistance that result
        in the displacement of persons or the acquisition of real
        property.''.
        (f) Cooperation With Federal Agencies.--Section 308 of title 23,
    United States Code, is amended by striking subsection (a) and inserting
    the following:
        ``(a) Authorized Activities.--
            ``(1) In general.--The Secretary may perform, by contract or
        otherwise, authorized engineering or other services in connection
        with the survey, construction, maintenance, or improvement of
        highways for other Federal agencies, cooperating foreign countries,
        and State cooperating agencies.
            ``(2) Inclusions.--Services authorized under paragraph (1) may
        include activities authorized under section 214 of the Uniform
        Relocation Assistance and Real Property Acquisition Policies Act of
        1970.
            ``(3) Reimbursement.--Reimbursement for services carried out
        under this subsection (including depreciation on engineering and
        road-building equipment) shall be credited to the applicable
        appropriation.''.
        (g) Effective Dates.--
            (1) In general.--Except as provided in paragraph (2), the
        amendments made by this section shall take effect on the date of
        enactment of this Act.
            (2) Exception.--The amendments made by subsections (a) through
        (c) shall take effect 2 years after the date of enactment of this
        Act.
    SEC. 1522. EXTENSION OF PUBLIC TRANSIT VEHICLE EXEMPTION FROM AXLE
    WEIGHT RESTRICTIONS.
        Section 1023(h) of the Intermodal Surface Transportation Efficiency
    Act of 1991 (23 U.S.C. 127 note; Public Law 102-240) is amended--
            (1) in the heading of paragraph (1) by striking ``temporary
        exemption'' and inserting ``exemption'';
            (2) in paragraph (1)--
                (A) in the matter preceding subparagraph (A) by striking
            ``, for the period beginning on October 6, 1992, and ending on
            October 1, 2009,'';
                (B) in subparagraph (A) by striking ``or'' at the end;
                (C) in subparagraph (B) by striking the period at the end
            and inserting ``; or''; and
                (D) by adding at the end the following:
                ``(C) any motor home (as defined in section 571.3 of title
            49, Code of Federal Regulations (or successor regulation)).'';
            and
            (3) in paragraph (2)(A) by striking ``For the period beginning
        on the date of enactment of this subparagraph and ending on
        September 30, 2009, a'' and inserting ``A''.
    SEC. 1523. USE OF DEBRIS FROM DEMOLISHED BRIDGES AND OVERPASSES.
        Section 1805(a) of the SAFETEA-LU (23 U.S.C. 144 note; 119 Stat.
    1459) is amended by striking ``highway bridge replacement and
    rehabilitation program under section 144'' and inserting ``national
    highway performance program under section 119''.
    SEC. 1524. USE OF YOUTH SERVICE AND CONSERVATION CORPS.
        (a) In General.--The Secretary shall encourage the States and
    regional transportation planning agencies to enter into contracts and
    cooperative agreements with qualified youth service or conservation
    corps, as defined in sections 122(a)(2) of Public Law 101-610 (42
    U.S.C. 12572(a)(2)) and 106(c)(3) of Public Law 103-82 (42 U.S.C.
    12656(c)(3)) to perform appropriate projects eligible under sections
    162, 206, 213, and 217 of title 23, United States Code, and under
    section 1404 of the SAFETEA-LU (119 Stat. 1228).
        (b) Requirements.--Under any contract or cooperative agreement
    entered into with a qualified youth service or conservation corps under
    this section, the Secretary shall--
            (1) set the amount of a living allowance or rate of pay for
        each participant in such corps at--
                (A) such amount or rate as required under State law in a
            State with such requirements; or
                (B) for corps in States not described in subparagraph (A),
            at such amount or rate as determined by the Secretary, not to
            exceed the maximum living allowance authorized by section 140
            of Public Law 101-610 (42 U.S.C. 12594); and
            (2) not subject such corps to the requirements of section 112
        of title 23, United States Code.
    SEC. 1525. STATE AUTONOMY FOR CULVERT PIPE SELECTION.
        Not later than 180 days after the date of enactment of this Act,
    the Secretary shall modify section 635.411 of title 23, Code of Federal
    Regulations (as in effect on the date of enactment of this Act), to
    ensure that States shall have the autonomy to determine culvert and
    storm sewer material types to be included in the construction of a
    project on a Federal-aid highway.
    SEC. 1526. EVACUATION ROUTES.
        Each State shall give adequate consideration to the needs of
    evacuation routes in the State, including such routes serving or
    adjacent to facilities operated by the Armed Forces, when allocating
    funds apportioned to the State under title 23, United States Code, for
    the construction of Federal-aid highways.
    SEC. 1527. CONSOLIDATION OF GRANTS.
        (a) Definitions.--In this section, the term ``recipient'' means--
            (1) a State, local, or tribal government, including--
                (A) a territory of the United States;
                (B) a transit agency;
                (C) a port authority;
                (D) a metropolitan planning organization; or
                (E) any other political subdivision of a State or local
            government;
            (2) a multistate or multijurisdictional group, if each member
        of the group is an entity described in paragraph (1); and
            (3) a public-private partnership, if both parties are engaged
        in building the project.
        (b) Consolidation.--
            (1) In general.--A recipient that receives multiple grant
        awards from the Department to support 1 multimodal project may
        request that the Secretary designate 1 modal administration in the
        Department to be the lead administering authority for the overall
        project.
            (2) New starts.--Any project that includes funds awarded under
        section 5309 of title 49, United States Code, shall be exempt from
        consolidation under this section unless the grant recipient
        requests the Federal Transit Administration to be the lead
        administering authority.
            (3) Review.--
                (A) In general.--Not later than 30 days after the date on
            which a request under paragraph (1) is made, the Secretary
            shall review the request and approve or deny the designation of
            a single modal administration as the lead administering
            authority and point of contact for the Department.
                (B) Notification.--
                    (i) In general.--The Secretary shall notify the
                requestor of the decision of the Secretary under
                subparagraph (A) in such form and at such time as the
                Secretary and the requestor agree.
                    (ii) Denial.--If a request is denied, the Secretary
                shall provide the requestor with a detailed explanation of
                the reasoning of the Secretary with the notification under
                clause (i).
        (c) Duties.--
            (1) In general.--A modal administration designated as a lead
        administering authority under this section shall--
                (A) be responsible for leading and coordinating the
            integrated project management team, which shall consist of all
            of the other modal administrations in the Department relating
            to the multimodal project; and
                (B) to the extent feasible during the first 30 days of
            carrying out the multimodal project, identify overlapping or
            duplicative regulatory requirements that exist for the project
            and propose a single, streamlined approach to meeting all of
            the applicable regulatory requirements through the activities
            described in subsection (d).
            (2) Administration.--
                (A) In general.--The Secretary shall transfer all amounts
            that have been awarded for the multimodal project to the modal
            administration designated as the lead administering authority.
                (B) Option.--
                    (i) In general.--Participation under this section shall
                be optional for recipients, and no recipient shall be
                required to participate.
                    (ii) Secretarial duties.--The Secretary is not required
                to identify every recipient that may be eligible to
                participate under this section.
        (d) Cooperation.--
            (1) In general.--The Secretary and modal administrations with
        relevant jurisdiction over a multimodal project should cooperate on
        project review and delivery activities at the earliest practicable
        time.
            (2) Purposes.--The purposes of the cooperation under paragraph
        (1) are--
                (A) to avoid delays and duplication of effort later in the
            process;
                (B) to prevent potential conflicts; and
                (C) to ensure that planning and project development
            decisions are made in a streamlined manner and consistent with
            applicable law.
        (e) Applicability.--Nothing in this section shall--
            (1) supersede, amend, or modify the National Environmental
        Policy Act of 1969 (42 U.S.C. 4321 et seq.) or any other Federal
        environmental law; or
            (2) affect the responsibility of any Federal officer to comply
        with or enforce any law described in paragraph (1).
    SEC. 1528. APPALACHIAN DEVELOPMENT HIGHWAY SYSTEM.
        (a) Sense of the Senate.--It is the Sense of the Senate that the
    timely completion of the Appalachian development highway system is a
    transportation priority in the national interest.
        (b) Modified Federal Share for Projects on ADHS.--For fiscal years
    2012 through 2021, the Federal share payable for the cost of
    constructing highways and access roads on the Appalachian development
    highway system under section 14501 of title 40, United States Code,
    with funds made available to a State for fiscal year 2012 or a previous
    fiscal year for the Appalachian development highway system program, or
    with funds made available for fiscal year 2012 or a previous fiscal
    year for a specific project, route, or corridor on that system, shall
    be 100 percent.
        (c) Federal Share for Other Funds Used on ADHS.--For fiscal years
    2012 through 2021, the Federal share payable for the cost of
    constructing highways and access roads on the Appalachian development
    highway system under section 14501 of title 40, United States Code,
    with Federal funds apportioned to a State for a program other than the
    Appalachian development highway system program shall be 100 percent.
        (d) Completion Plan.--
            (1) In general.--Subject to paragraph (2), not later than 1
        year after the date of enactment of the MAP-21, each State
        represented on the Appalachian Regional Commission shall establish
        a plan for the completion of the designated corridors of the
        Appalachian development highway system within the State, including
        annual performance targets, with a target completion date.
            (2) Significant uncompleted miles.--If the percentage of
        remaining Appalachian development highway system needs for a State,
        according to the latest cost to complete estimate for the
        Appalachian development highway system, is greater than 15 percent
        of the total cost to complete estimate for the entire Appalachian
        development highway system, the State shall not establish a plan
        under paragraph (1) that would result in a reduction of obligated
        funds for the Appalachian development highway system within the
        State for any subsequent fiscal year.
    SEC. 1529. ENGINEERING JUDGMENT.
        Not later than 90 days after the date of enactment of this Act, the
    Secretary shall issue guidance to State transportation departments
    clarifying that the standards, guidance, and options for design and
    application of traffic control devices provided in the Manual on
    Uniform Traffic Control Devices should not be considered a substitute
    for engineering judgment.
    SEC. 1530. TRANSPORTATION TRAINING AND EMPLOYMENT PROGRAMS.
        To encourage the development of careers in the transportation
    field, the Secretary of Education and the Secretary of Labor are
    encouraged to use funds for training and employment education
    programs--
            (1) to develop programs for transportation-related careers and
        trades; and
            (2) to work with the Secretary to carry out programs developed
        under paragraph (1).
    SEC. 1531. NOTICE OF CERTAIN GRANT AWARDS.
        (a) Definition of Covered Grant Award.--In this section, the term
    ``covered grant award'' means a grant award--
            (1) made--
                (A) by the Department; and
                (B) with funds made available under this Act; and
            (2) in an amount equal to or greater than $500,000.
        (b) Notice.--Except to the extent otherwise expressly provided in
    another provision of law, at least 3 business days before a covered
    grant award is announced, the Secretary shall provide to the Committee
    on Transportation and Infrastructure of the House of Representatives
    and the Committee on Environment and Public Works of the Senate written
    notice of the covered grant award.
    SEC. 1532. BUDGET JUSTIFICATION.
        The Secretary shall submit to the Committee on Transportation and
    Infrastructure of the House of Representatives and the Committee on
    Environment and Public Works of the Senate a budget justification for
    each agency of the Department concurrently with the annual budget
    submission of the President to Congress under section 1105(a) of title
    31, United States Code.
    SEC. 1533. PROHIBITION ON USE OF FUNDS FOR AUTOMATED TRAFFIC
    ENFORCEMENT.
        (a) Definition of Automated Traffic Enforcement System.--In this
    section, the term ``automated traffic enforcement system'' means any
    camera that captures an image of a vehicle for the purposes of traffic
    law enforcement.
        (b) Use of Funds.--Except as provided in subsection (c), for fiscal
    years 2013 and 2014, funds apportioned to a State under section
    104(b)(3) of title 23, United States Code, may not be used for any
    program to purchase, operate, or maintain an automated traffic
    enforcement system.
        (c) Exception.--Subsection (b) shall not apply to automated traffic
    enforcement systems used to improve safety in school zones.
    SEC. 1534. PUBLIC-PRIVATE PARTNERSHIPS.
        (a) Best Practices.--The Secretary shall compile, and make
    available to the public on the website of the Department, best
    practices on how States, public transportation agencies, and other
    public officials can work with the private sector in the development,
    financing, construction, and operation of transportation facilities.
        (b) Contents.--The best practices compiled under subsection (a)
    shall include polices and techniques to ensure that the interests of
    the traveling public and State and local governments are protected in
    any agreement entered into with the private sector for the development,
    financing, construction, and operation of transportation facilities.
        (c) Technical Assistance.--The Secretary, on request, may provide
    technical assistance to States, public transportation agencies, and
    other public officials regarding proposed public-private partnership
    agreements for the development, financing, construction, and operation
    of transportation facilities, including assistance in analyzing whether
    the use of a public-private partnership agreement would provide value
    compared with traditional public delivery methods.
        (d) Standard Transaction Contracts.--
            (1) Development.--Not later than 18 months after the date of
        enactment of this Act, the Secretary shall develop standard public-
        private partnership transaction model contracts for the most
        popular types of public-private partnerships for the development,
        financing, construction, and operation of transportation
        facilities.
            (2) Use.--The Secretary shall encourage States, public
        transportation agencies, and other public officials to use the
        model contracts as a base template when developing their own
        public-private partnership agreements for the development,
        financing, construction, and operation of transportation
        facilities.
    SEC. 1535. REPORT ON HIGHWAY TRUST FUND EXPENDITURES.
        (a) Initial Report.--Not later than 150 days after the date of
    enactment of this Act, the Comptroller General of the United States
    shall submit to Congress a report describing the activities funded from
    the Highway Trust Fund during each of fiscal years 2009 through 2011,
    including for purposes other than construction and maintenance of
    highways and bridges.
        (b) Updates.--Not later than 5 years after the date on which the
    report is submitted under subsection (a) and every 5 years thereafter,
    the Comptroller General of the United States shall submit to Congress a
    report that updates the information provided in the report under that
    subsection for the applicable 5-year period.
        (c) Inclusions.--A report submitted under subsection (a) or (b)
    shall include information similar to the information included in the
    report of the Government Accountability Office numbered ``GAO-09-729R''
    and entitled ``Highway Trust Fund Expenditures on Purposes Other Than
    Construction and Maintenance of Highways and Bridges During Fiscal
    Years 2004-2008''.
    SEC. 1536. SENSE OF CONGRESS ON HARBOR MAINTENANCE.
        (a) Findings.--Congress finds that--
            (1) there are 926 coastal, Great Lakes, and inland harbors
        maintained by the Corps of Engineers;
            (2) according to the Bureau of Transportation Statistics--
                (A) in 2009, the ports and waterways of the United States
            handled more than 2,200,000,000 short tons of imports, exports,
            and domestic shipments; and
                (B) in 2010, United States ports were responsible for more
            than $1,400,000,000,000 in waterborne imports and exports;
            (3) according to the Congressional Research Service, full
        channel dimensions are, on average, available approximately \1/3\
        of the time at the 59 harbors of the United States with the highest
        use rates;
            (4) in 1986, Congress created the Harbor Maintenance Trust Fund
        to provide funds for the operation and maintenance of the
        navigation channels of the United States;
            (5) in fiscal year 2012, the Harbor Maintenance Trust Fund is
        expected to grow from $6,280,000,000 to $7,011,000,000, an increase
        of approximately 13 percent;
            (6) despite growth of the Harbor Maintenance Trust Fund,
        expenditures from the Harbor Maintenance Trust Fund have not been
        sufficiently spent; and
            (7) inadequate investment in dredging needs is restricting
        access to the ports of the United States for domestic shipping,
        imports, and exports and therefore threatening the economic
        competitiveness of the United States.
        (b) Sense of Congress.--It is the sense of Congress that--
            (1) the Administration should request full use of the Harbor
        Maintenance Trust Fund for operating and maintaining the navigation
        channels of the United States;
            (2) the amounts in the Harbor Maintenance Trust Fund should be
        fully expended to operate and maintain the navigation channels of
        the United States; and
            (3) Congress should ensure that other programs, projects, and
        activities of the Civil Works Program of the Corps of Engineers,
        especially those programs, projects, and activities relating to
        inland navigation and flood control, are not adversely impacted.
    SEC. 1537. ESTIMATE OF HARBOR MAINTENANCE NEEDS.
        For fiscal year 2014 and each fiscal year thereafter, the
    President's budget request submitted pursuant to section 1105 of title
    31, United States Code, shall include--
            (1) an estimate of the nationwide average availability,
        expressed as a percentage, of the authorized depth and authorized
        width of all navigation channels authorized to be maintained using
        appropriations from the Harbor Maintenance Trust Fund that would
        result from harbor maintenance activities to be funded by the
        budget request; and
            (2) an estimate of the average annual amount of appropriations
        from the Harbor Maintenance Trust Fund that would be required to
        increase that average availability to 95 percent over a 3-year
        period.
    SEC. 1538. ASIAN CARP.
        (a) Definitions.--In this section:
            (1) Hydrological separation.--The term ``hydrological
        separation'' means a physical separation on the Chicago Area
        Waterway System that--
                (A) would disconnect the Mississippi River watershed from
            the Lake Michigan watershed; and
                (B) shall be designed to be adequate in scope to prevent
            the transfer of all aquatic species between each of those
            bodies of water.
            (2) Secretary.--The term ``Secretary'' means the Secretary of
        the Army, acting through the Chief of Engineers.
        (b) Expedited Study and Report.--
            (1) In general.--The Secretary shall--
                (A) expedite completion of the report for the study
            authorized by section 3061(d) of the Water Resources
            Development Act of 2007 (Public Law 110-114; 121 Stat. 1121);
            and
                (B) if the Secretary determines a project is justified in
            the completed report, proceed directly to project
            preconstruction engineering and design.
            (2) Focus.--In expediting the completion of the study and
        report under paragraph (1), the Secretary shall focus on--
                (A) the prevention of the spread of aquatic nuisance
            species between the Great Lakes and Mississippi River Basins,
            such as through the permanent hydrological separation of the
            Great Lakes and Mississippi River Basins; and
                (B) the watersheds of the following rivers and tributaries
            associated with the Chicago Area Waterway System:
                    (i) The Illinois River, at and in the vicinity of
                Chicago, Illinois.
                    (ii) The Chicago River, Calumet River, North Shore
                Channel, Chicago Sanitary and Ship Canal, and Cal-Sag
                Channel in the State of Illinois.
                    (iii) The Grand Calumet River and Little Calumet River
                in the States of Illinois and Indiana.
            (3) Efficient use of funds.--The Secretary shall ensure the
        efficient use of funds to maximize the timely completion of the
        study and report under paragraph (1).
            (4) Deadline.--The Secretary shall complete the report under
        paragraph (1) by not later than 18 months after the date of
        enactment of this Act.
            (5) Interim report.--Not later than 90 days after the date of
        enactment of this Act, the Secretary shall submit to the Committees
        on Appropriations of the House of Representatives and Senate, the
        Committee on Environment and Public Works of the Senate, and the
        Committee on Transportation and Infrastructure of the House of
        Representatives a report describing--
                (A) interim milestones that will be met prior to final
            completion of the study and report under paragraph (1); and
                (B) funding necessary for completion of the study and
            report under paragraph (1), including funding necessary for
            completion of each interim milestone identified under
            subparagraph (A).
    SEC. 1539. REST AREAS.
        (a) Agreements Relating to Use of and Access to Rights-of-way--
    Interstate System.--Section 111 of title 23, United States Code, is
    amended--
            (1) in subsection (a) in the second sentence by striking the
        period and inserting ``and will not change the boundary of any
        right-of-way on the Interstate System to accommodate construction
        of, or afford access to, an automotive service station or other
        commercial establishment.'';
            (2) by redesignating subsections (b) and (c) as subsections (c)
        and (d), respectively; and
            (3) by inserting after subsection (a) the following:
        ``(b) Rest Areas.--
            ``(1) In general.--Notwithstanding subsection (a), the
        Secretary shall permit a State to acquire, construct, operate, and
        maintain a rest area along a highway on the Interstate System in
        such State.
            ``(2) Limited activities.--The Secretary shall permit limited
        commercial activities within a rest area under paragraph (1), if
        the activities are available only to customers using the rest area
        and are limited to--
                ``(A) commercial advertising and media displays if such
            advertising and displays are--
                    ``(i) exhibited solely within any facility constructed
                in the rest area; and
                    ``(ii) not legible from the main traveled way;
                ``(B) items designed to promote tourism in the State,
            limited to books, DVDs, and other media;
                ``(C) tickets for events or attractions in the State of a
            historical or tourism-related nature;
                ``(D) travel-related information, including maps, travel
            booklets, and hotel coupon booklets; and
                ``(E) lottery machines, provided that the priority afforded
            to blind vendors under subsection (c) applies to this
            subparagraph.
            ``(3) Private operators.--A State may permit a private party to
        operate such commercial activities.
            ``(4) Limitation on use of revenues.--A State shall use any
        revenues received from the commercial activities in a rest area
        under this section to cover the costs of acquiring, constructing,
        operating, and maintaining rest areas in the State.''.
        (b) Control of Outdoor Advertising.--Section 131(i) of title 23,
    United States Code, is amended by adding at the end the following:
    ``A State may permit the installation of signs that acknowledge the
    sponsorship of rest areas within such rest areas or along the main
    traveled way of the system, provided that such signs shall not affect
    the safe and efficient utilization of the Interstate System and the
    primary system. The Secretary shall establish criteria for the
    installation of such signs on the main traveled way, including criteria
    pertaining to the placement of rest area sponsorship acknowledgment
    signs in relation to the placement of advance guide signs for rest
    areas.''.

                       Subtitle F--Gulf Coast Restoration

    SEC. 1601. SHORT TITLE.
        This subtitle may be cited as the ``Resources and Ecosystems
    Sustainability, Tourist Opportunities, and Revived Economies of the
    Gulf Coast States Act of 2012''.
    SEC. 1602. GULF COAST RESTORATION TRUST FUND.
        (a) Establishment.--There is established in the Treasury of the
    United States a trust fund to be known as the ``Gulf Coast Restoration
    Trust Fund'' (referred to in this section as the ``Trust Fund''),
    consisting of such amounts as are deposited in the Trust Fund under
    this Act or any other provision of law.
        (b) Transfers.--The Secretary of the Treasury shall deposit in the
    Trust Fund an amount equal to 80 percent of all administrative and
    civil penalties paid by responsible parties after the date of enactment
    of this Act in connection with the explosion on, and sinking of, the
    mobile offshore drilling unit Deepwater Horizon pursuant to a court
    order, negotiated settlement, or other instrument in accordance with
    section 311 of the Federal Water Pollution Control Act (33 U.S.C.
    1321).
        (c) Expenditures.--Amounts in the Trust Fund, including interest
    earned on advances to the Trust Fund and proceeds from investment under
    subsection (d), shall--
            (1) be available for expenditure, without further
        appropriation, solely for the purpose and eligible activities of
        this subtitle and the amendments made by this subtitle; and
            (2) remain available until expended, without fiscal year
        limitation.
        (d) Investment.--Amounts in the Trust Fund shall be invested in
    accordance with section 9702 of title 31, United States Code, and any
    interest on, and proceeds from, any such investment shall be available
    for expenditure in accordance with this subtitle and the amendments
    made by this subtitle.
        (e) Administration.--Not later than 180 days after the date of
    enactment of this Act, after providing notice and an opportunity for
    public comment, the Secretary of the Treasury, in consultation with the
    Secretary of the Interior and the Secretary of Commerce, shall
    establish such procedures as the Secretary determines to be necessary
    to deposit amounts in, and expend amounts from, the Trust Fund pursuant
    to this subtitle, including--
            (1) procedures to assess whether the programs and activities
        carried out under this subtitle and the amendments made by this
        subtitle achieve compliance with applicable requirements, including
        procedures by which the Secretary of the Treasury may determine
        whether an expenditure by a Gulf Coast State or coastal political
        subdivision (as those terms are defined in section 311 of the
        Federal Water Pollution Control Act (33 U.S.C. 1321)) pursuant to
        such a program or activity achieves compliance;
            (2) auditing requirements to ensure that amounts in the Trust
        Fund are expended as intended; and
            (3) procedures for identification and allocation of funds
        available to the Secretary under other provisions of law that may
        be necessary to pay the administrative expenses directly
        attributable to the management of the Trust Fund.
        (f) Sunset.--The authority for the Trust Fund shall terminate on
    the date all funds in the Trust Fund have been expended.
    SEC. 1603. GULF COAST NATURAL RESOURCES RESTORATION AND ECONOMIC
    RECOVERY.
        Section 311 of the Federal Water Pollution Control Act (33 U.S.C.
    1321) is amended--
            (1) in subsection (a)--
                (A) in paragraph (25)(B), by striking ``and'' at the end;
                (B) in paragraph (26)(D), by striking the period at the end
            and inserting a semicolon; and
                (C) by adding at the end the following:
            ``(27) the term `best available science' means science that--
                ``(A) maximizes the quality, objectivity, and integrity of
            information, including statistical information;
                ``(B) uses peer-reviewed and publicly available data; and
                ``(C) clearly documents and communicates risks and
            uncertainties in the scientific basis for such projects;
            ``(28) the term `Chairperson' means the Chairperson of the
        Council;
            ``(29) the term `coastal political subdivision' means any local
        political jurisdiction that is immediately below the State level of
        government, including a county, parish, or borough, with a
        coastline that is contiguous with any portion of the United States
        Gulf of Mexico;
            ``(30) the term `Comprehensive Plan' means the comprehensive
        plan developed by the Council pursuant to subsection (t);
            ``(31) the term `Council' means the Gulf Coast Ecosystem
        Restoration Council established pursuant to subsection (t);
            ``(32) the term `Deepwater Horizon oil spill' means the blowout
        and explosion of the mobile offshore drilling unit Deepwater
        Horizon that occurred on April 20, 2010, and resulting hydrocarbon
        releases into the environment;
            ``(33) the term `Gulf Coast region' means--
                ``(A) in the Gulf Coast States, the coastal zones (as that
            term is defined in section 304 of the Coastal Zone Management
            Act of 1972 (16 U.S.C. 1453)), except that, in this section,
            the term `coastal zones' includes land within the coastal zones
            that is held in trust by, or the use of which is by law subject
            solely to the discretion of, the Federal Government or officers
            or agents of the Federal Government)) that border the Gulf of
            Mexico;
                ``(B) any adjacent land, water, and watersheds, that are
            within 25 miles of the coastal zones described in subparagraph
            (A) of the Gulf Coast States; and
                ``(C) all Federal waters in the Gulf of Mexico;
            ``(34) the term `Gulf Coast State' means any of the States of
        Alabama, Florida, Louisiana, Mississippi, and Texas; and
            ``(35) the term `Trust Fund' means the Gulf Coast Restoration
        Trust Fund established pursuant to section 1602 of the Resources
        and Ecosystems Sustainability, Tourist Opportunities, and Revived
        Economies of the Gulf Coast States Act of 2012.'';
            (2) in subsection (s), by inserting ``except as provided in
        subsection (t)'' before the period at the end; and
            (3) by adding at the end the following:
        ``(t) Gulf Coast Restoration and Recovery.--
            ``(1) State allocation and expenditures.--
                ``(A) In general.--Of the total amounts made available in
            any fiscal year from the Trust Fund, 35 percent shall be
            available, in accordance with the requirements of this section,
            to the Gulf Coast States in equal shares for expenditure for
            ecological and economic restoration of the Gulf Coast region in
            accordance with this subsection.
                ``(B) Use of funds.--
                    ``(i) Eligible activities in the gulf coast region.--
                Subject to clause (iii), amounts provided to the Gulf Coast
                States under this subsection may only be used to carry out
                1 or more of the following activities in the Gulf Coast
                region:

                        ``(I) Restoration and protection of the natural
                    resources, ecosystems, fisheries, marine and wildlife
                    habitats, beaches, and coastal wetlands of the Gulf
                    Coast region.
                        ``(II) Mitigation of damage to fish, wildlife, and
                    natural resources.
                        ``(III) Implementation of a federally approved
                    marine, coastal, or comprehensive conservation
                    management plan, including fisheries monitoring.
                        ``(IV) Workforce development and job creation.
                        ``(V) Improvements to or on State parks located in
                    coastal areas affected by the Deepwater Horizon oil
                    spill.
                        ``(VI) Infrastructure projects benefitting the
                    economy or ecological resources, including port
                    infrastructure.
                        ``(VII) Coastal flood protection and related
                    infrastructure.
                        ``(VIII) Planning assistance.
                        ``(IX) Administrative costs of complying with this
                    subsection.

                    ``(ii) Activities to promote tourism and seafood in the
                gulf coast region.--Amounts provided to the Gulf Coast
                States under this subsection may be used to carry out 1 or
                more of the following activities:

                        ``(I) Promotion of tourism in the Gulf Coast
                    Region, including recreational fishing.
                        ``(II) Promotion of the consumption of seafood
                    harvested from the Gulf Coast Region.

                    ``(iii) Limitation.--

                        ``(I) In general.--Of the amounts received by a
                    Gulf Coast State under this subsection, not more than 3
                    percent may be used for administrative costs eligible
                    under clause (i)(IX).
                        ``(II) Claims for compensation.--Activities funded
                    under this subsection may not be included in any claim
                    for compensation paid out by the Oil Spill Liability
                    Trust Fund after the date of enactment of this
                    subsection.

                ``(C) Coastal political subdivisions.--
                    ``(i) Distribution.--In the case of a State where the
                coastal zone includes the entire State--

                        ``(I) 75 percent of funding shall be provided
                    directly to the 8 disproportionately affected counties
                    impacted by the Deepwater Horizon oil spill; and
                        ``(II) 25 percent shall be provided directly to
                    nondisproportionately impacted counties within the
                    State.

                    ``(ii) Nondisproportionately impacted counties.--The
                total amounts made available to coastal political
                subdivisions in the State of Florida under clause (i)(II)
                shall be distributed according to the following weighted
                formula:

                        ``(I) 34 percent based on the weighted average of
                    the population of the county.
                        ``(II) 33 percent based on the weighted average of
                    the county per capita sales tax collections estimated
                    for fiscal year 2012.
                        ``(III) 33 percent based on the inverse proportion
                    of the weighted average distance from the Deepwater
                    Horizon oil rig to each of the nearest and farthest
                    points of the shoreline.

                ``(D) Louisiana.--
                    ``(i) In general.--Of the total amounts made available
                to the State of Louisiana under this paragraph:

                        ``(I) 70 percent shall be provided directly to the
                    State in accordance with this subsection.
                        ``(II) 30 percent shall be provided directly to
                    parishes in the coastal zone (as defined in section 304
                    of the Coastal Zone Management Act of 1972 (16 U.S.C.
                    1453)) of the State of Louisiana according to the
                    following weighted formula:

                            ``(aa) 40 percent based on the weighted average
                        of miles of the parish shoreline oiled.
                            ``(bb) 40 percent based on the weighted average
                        of the population of the parish.
                            ``(cc) 20 percent based on the weighted average
                        of the land mass of the parish.
                    ``(ii) Conditions.--

                        ``(I) Land use plan.--As a condition of receiving
                    amounts allocated under this paragraph, the chief
                    executive of the eligible parish shall certify to the
                    Governor of the State that the parish has completed a
                    comprehensive land use plan.
                        ``(II) Other conditions.--A coastal political
                    subdivision receiving funding under this paragraph
                    shall meet all of the conditions in subparagraph (E).

                ``(E) Conditions.--As a condition of receiving amounts from
            the Trust Fund, a Gulf Coast State, including the entities
            described in subparagraph (F), or a coastal political
            subdivision shall--
                    ``(i) agree to meet such conditions, including audit
                requirements, as the Secretary of the Treasury determines
                necessary to ensure that amounts disbursed from the Trust
                Fund will be used in accordance with this subsection;
                    ``(ii) certify in such form and in such manner as the
                Secretary of the Treasury determines necessary that the
                project or program for which the Gulf Coast State or
                coastal political subdivision is requesting amounts--

                        ``(I) is designed to restore and protect the
                    natural resources, ecosystems, fisheries, marine and
                    wildlife habitats, beaches, coastal wetlands, or
                    economy of the Gulf Coast;
                        ``(II) carries out 1 or more of the activities
                    described in clauses (i) and (ii) of subparagraph (B);
                        ``(III) was selected based on meaningful input from
                    the public, including broad-based participation from
                    individuals, businesses, and nonprofit organizations;
                    and
                        ``(IV) in the case of a natural resource protection
                    or restoration project, is based on the best available
                    science;

                    ``(iii) certify that the project or program and the
                awarding of a contract for the expenditure of amounts
                received under this paragraph are consistent with the
                standard procurement rules and regulations governing a
                comparable project or program in that State, including all
                applicable competitive bidding and audit requirements; and
                    ``(iv) develop and submit a multiyear implementation
                plan for the use of such amounts, which may include
                milestones, projected completion of each activity, and a
                mechanism to evaluate the success of each activity in
                helping to restore and protect the Gulf Coast region
                impacted by the Deepwater Horizon oil spill.
                ``(F) Approval by state entity, task force, or agency.--The
            following Gulf Coast State entities, task forces, or agencies
            shall carry out the duties of a Gulf Coast State pursuant to
            this paragraph:
                    ``(i) Alabama.--

                        ``(I) In general.--In the State of Alabama, the
                    Alabama Gulf Coast Recovery Council, which shall be
                    comprised of only the following:

                            ``(aa) The Governor of Alabama, who shall also
                        serve as Chairperson and preside over the meetings
                        of the Alabama Gulf Coast Recovery Council.
                            ``(bb) The Director of the Alabama State Port
                        Authority, who shall also serve as Vice Chairperson
                        and preside over the meetings of the Alabama Gulf
                        Coast Recovery Council in the absence of the
                        Chairperson.
                            ``(cc) The Chairman of the Baldwin County
                        Commission.
                            ``(dd) The President of the Mobile County
                        Commission.
                            ``(ee) The Mayor of the city of Bayou La Batre.
                            ``(ff) The Mayor of the town of Dauphin Island.
                            ``(gg) The Mayor of the city of Fairhope.
                            ``(hh) The Mayor of the city of Gulf Shores.
                            ``(ii) The Mayor of the city of Mobile.
                            ``(jj) The Mayor of the city of Orange Beach.

                        ``(II) Vote.--Each member of the Alabama Gulf Coast
                    Recovery Council shall be entitled to 1 vote.
                        ``(III) Majority vote.--All decisions of the
                    Alabama Gulf Coast Recovery Council shall be made by
                    majority vote.
                        ``(IV) Limitation on administrative expenses.--
                    Administrative duties for the Alabama Gulf Coast
                    Recovery Council may only be performed by public
                    officials and employees that are subject to the ethics
                    laws of the State of Alabama.

                    ``(ii) Louisiana.--In the State of Louisiana, the
                Coastal Protection and Restoration Authority of Louisiana.
                    ``(iii) Mississippi.--In the State of Mississippi, the
                Mississippi Department of Environmental Quality.
                    ``(iv) Texas.--In the State of Texas, the Office of the
                Governor or an appointee of the Office of the Governor.
                ``(G) Compliance with eligible activities.--If the
            Secretary of the Treasury determines that an expenditure by a
            Gulf Coast State or coastal political subdivision of amounts
            made available under this subsection does not meet one of the
            activities described in clauses (i) and (ii) of subparagraph
            (B), the Secretary shall make no additional amounts from the
            Trust Fund available to that Gulf Coast State or coastal
            political subdivision until such time as an amount equal to the
            amount expended for the unauthorized use--
                    ``(i) has been deposited by the Gulf Coast State or
                coastal political subdivision in the Trust Fund; or
                    ``(ii) has been authorized by the Secretary of the
                Treasury for expenditure by the Gulf Coast State or coastal
                political subdivision for a project or program that meets
                the requirements of this subsection.
                ``(H) Compliance with conditions.--If the Secretary of the
            Treasury determines that a Gulf Coast State or coastal
            political subdivision does not meet the requirements of this
            paragraph, including the conditions of subparagraph (E), where
            applicable, the Secretary of the Treasury shall make no amounts
            from the Trust Fund available to that Gulf Coast State or
            coastal political subdivision until all conditions of this
            paragraph are met.
                ``(I) Public input.--In meeting any condition of this
            paragraph, a Gulf Coast State may use an appropriate procedure
            for public consultation in that Gulf Coast State, including
            consulting with one or more established task forces or other
            entities, to develop recommendations for proposed projects and
            programs that would restore and protect the natural resources,
            ecosystems, fisheries, marine and wildlife habitats, beaches,
            coastal wetlands, and economy of the Gulf Coast.
                ``(J) Previously approved projects and programs.--A Gulf
            Coast State or coastal political subdivision shall be
            considered to have met the conditions of subparagraph (E) for a
            specific project or program if, before the date of enactment of
            the Resources and Ecosystems Sustainability, Tourist
            Opportunities, and Revived Economies of the Gulf Coast States
            Act of 2012--
                    ``(i) the Gulf Coast State or coastal political
                subdivision has established conditions for carrying out
                projects and programs that are substantively the same as
                the conditions described in subparagraph (E); and
                    ``(ii) the applicable project or program carries out 1
                or more of the activities described in clauses (i) and (ii)
                of subparagraph (B).
                ``(K) Local preference.--In awarding contracts to carry out
            a project or program under this paragraph, a Gulf Coast State
            or coastal political subdivision may give a preference to
            individuals and companies that reside in, are headquartered in,
            or are principally engaged in business in the State of project
            execution.
                ``(L) Unused funds.--Funds allocated to a State or coastal
            political subdivision under this paragraph shall remain in the
            Trust Fund until such time as the State or coastal political
            subdivision develops and submits a plan identifying uses for
            those funds in accordance with subparagraph (E)(iv).
                ``(M) Judicial review.--If the Secretary of the Treasury
            determines that a Gulf Coast State or coastal political
            subdivision does not meet the requirements of this paragraph,
            including the conditions of subparagraph (E), the Gulf Coast
            State or coastal political subdivision may obtain expedited
            judicial review within 90 days after that decision in a
            district court of the United States, of appropriate
            jurisdiction and venue, that is located within the State
            seeking the review.
                ``(N) Cost-sharing.--
                    ``(i) In general.--A Gulf Coast State or coastal
                political subdivision may use, in whole or in part, amounts
                made available under this paragraph to that Gulf Coast
                State or coastal political subdivision to satisfy the non-
                Federal share of the cost of any project or program
                authorized by Federal law that is an eligible activity
                described in clauses (i) and (ii) of subparagraph (B).
                    ``(ii) Effect on other funds.--The use of funds made
                available from the Trust Fund to satisfy the non-Federal
                share of the cost of a project or program that meets the
                requirements of clause (i) shall not affect the priority in
                which other Federal funds are allocated or awarded.
            ``(2) Council establishment and allocation.--
                ``(A) In general.--Of the total amount made available in
            any fiscal year from the Trust Fund, 30 percent shall be
            disbursed to the Council to carry out the Comprehensive Plan.
                ``(B) Council expenditures.--
                    ``(i) In general.--In accordance with this paragraph,
                the Council shall expend funds made available from the
                Trust Fund to undertake projects and programs, using the
                best available science, that would restore and protect the
                natural resources, ecosystems, fisheries, marine and
                wildlife habitats, beaches, coastal wetlands, and economy
                of the Gulf Coast.
                    ``(ii) Allocation and expenditure procedures.--The
                Secretary of the Treasury shall develop such conditions,
                including audit requirements, as the Secretary of the
                Treasury determines necessary to ensure that amounts
                disbursed from the Trust Fund to the Council to implement
                the Comprehensive Plan will be used in accordance with this
                paragraph.
                    ``(iii) Administrative expenses.--Of the amounts
                received by the Council under this paragraph, not more than
                3 percent may be used for administrative expenses,
                including staff.
                ``(C) Gulf coast ecosystem restoration council.--
                    ``(i) Establishment.--There is established as an
                independent entity in the Federal Government a council to
                be known as the `Gulf Coast Ecosystem Restoration Council'.
                    ``(ii) Membership.--The Council shall consist of the
                following members, or in the case of a Federal agency, a
                designee at the level of the Assistant Secretary or the
                equivalent:

                        ``(I) The Secretary of the Interior.
                        ``(II) The Secretary of the Army.
                        ``(III) The Secretary of Commerce.
                        ``(IV) The Administrator of the Environmental
                    Protection Agency.
                        ``(V) The Secretary of Agriculture.
                        ``(VI) The head of the department in which the
                    Coast Guard is operating.
                        ``(VII) The Governor of the State of Alabama.
                        ``(VIII) The Governor of the State of Florida.
                        ``(IX) The Governor of the State of Louisiana.
                        ``(X) The Governor of the State of Mississippi.
                        ``(XI) The Governor of the State of Texas.

                    ``(iii) Alternate.--A Governor appointed to the Council
                by the President may designate an alternate to represent
                the Governor on the Council and vote on behalf of the
                Governor.
                    ``(iv) Chairperson.--From among the Federal agency
                members of the Council, the representatives of States on
                the Council shall select, and the President shall appoint,
                1 Federal member to serve as Chairperson of the Council.
                    ``(v) Presidential appointment.--All Council members
                shall be appointed by the President.
                    ``(vi) Council actions.--

                        ``(I) In general.--The following actions by the
                    Council shall require the affirmative vote of the
                    Chairperson and a majority of the State members to be
                    effective:

                            ``(aa) Approval of a Comprehensive Plan and
                        future revisions to a Comprehensive Plan.
                            ``(bb) Approval of State plans pursuant to
                        paragraph (3)(B)(iv).
                            ``(cc) Approval of reports to Congress pursuant
                        to clause (vii)(VII).
                            ``(dd) Approval of transfers pursuant to
                        subparagraph (E)(ii)(I).
                            ``(ee) Other significant actions determined by
                        the Council.

                        ``(II) Quorum.--A majority of State members shall
                    be required to be present for the Council to take any
                    significant action.
                        ``(III) Affirmative vote requirement considered
                    met.--For approval of State plans pursuant to paragraph
                    (3)(B)(iv), the certification by a State member of the
                    Council that the plan satisfies all requirements of
                    clauses (i) and (ii) of paragraph (3)(B), when joined
                    by an affirmative vote of the Federal Chairperson of
                    the Council, shall be considered to satisfy the
                    requirements for affirmative votes under subclause (I).
                        ``(IV) Public transparency.--Appropriate actions of
                    the Council, including significant actions and
                    associated deliberations, shall be made available to
                    the public via electronic means prior to any vote.

                    ``(vii) Duties of council.--The Council shall--

                        ``(I) develop the Comprehensive Plan and future
                    revisions to the Comprehensive Plan;
                        ``(II) identify as soon as practicable the projects
                    that--

                            ``(aa) have been authorized prior to the date
                        of enactment of this subsection but not yet
                        commenced; and
                            ``(bb) if implemented quickly, would restore
                        and protect the natural resources, ecosystems,
                        fisheries, marine and wildlife habitats, beaches,
                        barrier islands, dunes, and coastal wetlands of the
                        Gulf Coast region;

                        ``(III) establish such other 1 or more advisory
                    committees as may be necessary to assist the Council,
                    including a scientific advisory committee and a
                    committee to advise the Council on public policy
                    issues;
                        ``(IV) collect and consider scientific and other
                    research associated with restoration of the Gulf Coast
                    ecosystem, including research, observation, and
                    monitoring carried out pursuant to sections 1604 and
                    1605 of the Resources and Ecosystems Sustainability,
                    Tourist Opportunities, and Revived Economies of the
                    Gulf Coast States Act of 2012;
                        ``(V) develop standard terms to include in
                    contracts for projects and programs awarded pursuant to
                    the Comprehensive Plan that provide a preference to
                    individuals and companies that reside in, are
                    headquartered in, or are principally engaged in
                    business in a Gulf Coast State;
                        ``(VI) prepare an integrated financial plan and
                    recommendations for coordinated budget requests for the
                    amounts proposed to be expended by the Federal agencies
                    represented on the Council for projects and programs in
                    the Gulf Coast States; and
                        ``(VII) submit to Congress an annual report that--

                            ``(aa) summarizes the policies, strategies,
                        plans, and activities for addressing the
                        restoration and protection of the Gulf Coast
                        region;
                            ``(bb) describes the projects and programs
                        being implemented to restore and protect the Gulf
                        Coast region, including--
                                ``(AA) a list of each project and program;
                                ``(BB) an identification of the funding
                            provided to projects and programs identified in
                            subitem (AA);
                                ``(CC) an identification of each recipient
                            for funding identified in subitem (BB); and
                                ``(DD) a description of the length of time
                            and funding needed to complete the objectives
                            of each project and program identified in
                            subitem (AA);
                            ``(cc) makes such recommendations to Congress
                        for modifications of existing laws as the Council
                        determines necessary to implement the Comprehensive
                        Plan;
                            ``(dd) reports on the progress on
                        implementation of each project or program--
                                ``(AA) after 3 years of ongoing activity of
                            the project or program, if applicable; and
                                ``(BB) on completion of the project or
                            program;
                            ``(ee) includes the information required to be
                        submitted under section 1605(c)(4) of the Resources
                        and Ecosystems Sustainability, Tourist
                        Opportunities, and Revived Economies of the Gulf
                        Coast States Act of 2012; and
                            ``(ff) submits the reports required under item
                        (dd) to--
                                ``(AA) the Committee on Science, Space, and
                            Technology, the Committee on Natural Resources,
                            the Committee on Transportation and
                            Infrastructure, and the Committee on
                            Appropriations of the House of Representatives;
                            and
                                ``(BB) the Committee on Environment and
                            Public Works, the Committee on Commerce,
                            Science, and Transportation, the Committee on
                            Energy and Natural Resources, and the Committee
                            on Appropriations of the Senate.
                    ``(viii) Application of federal advisory committee
                act.--The Council, or any other advisory committee
                established under this subparagraph, shall not be
                considered an advisory committee under the Federal Advisory
                Committee Act (5 U.S.C. App.).
                    ``(ix) Sunset.--The authority for the Council, and any
                other advisory committee established under this
                subparagraph, shall terminate on the date all funds in the
                Trust Fund have been expended.
                ``(D) Comprehensive plan.--
                    ``(i) Proposed plan.--

                        ``(I) In general.--Not later than 180 days after
                    the date of enactment of the Resources and Ecosystems
                    Sustainability, Tourist Opportunities, and Revived
                    Economies of the Gulf Coast States Act of 2012, the
                    Chairperson, on behalf of the Council and after
                    appropriate public input, review, and comment, shall
                    publish a proposed plan to restore and protect the
                    natural resources, ecosystems, fisheries, marine and
                    wildlife habitats, beaches, and coastal wetlands of the
                    Gulf Coast region.
                        ``(II) Inclusions.--The proposed plan described in
                    subclause (I) shall include and incorporate the
                    findings and information prepared by the President's
                    Gulf Coast Restoration Task Force.

                    ``(ii) Publication.--

                        ``(I) Initial plan.--Not later than 1 year after
                    the date of enactment of the Resources and Ecosystems
                    Sustainability, Tourist Opportunities, and Revived
                    Economies of the Gulf Coast States Act of 2012 and
                    after notice and opportunity for public comment, the
                    Chairperson, on behalf of the Council and after
                    approval by the Council, shall publish in the Federal
                    Register the initial Comprehensive Plan to restore and
                    protect the natural resources, ecosystems, fisheries,
                    marine and wildlife habitats, beaches, and coastal
                    wetlands of the Gulf Coast region.
                        ``(II) Cooperation with gulf coast restoration task
                    force.--The Council shall develop the initial
                    Comprehensive Plan in close coordination with the
                    President's Gulf Coast Restoration Task Force.
                        ``(III) Considerations.--In developing the initial
                    Comprehensive Plan and subsequent updates, the Council
                    shall consider all relevant findings, reports, or
                    research prepared or funded under section 1604 or 1605
                    of the Resources and Ecosystems Sustainability, Tourist
                    Opportunities, and Revived Economies of the Gulf Coast
                    States Act of 2012.
                        ``(IV) Contents.--The initial Comprehensive Plan
                    shall include--

                            ``(aa) such provisions as are necessary to
                        fully incorporate in the Comprehensive Plan the
                        strategy, projects, and programs recommended by the
                        President's Gulf Coast Restoration Task Force;
                            ``(bb) a list of any project or program
                        authorized prior to the date of enactment of this
                        subsection but not yet commenced, the completion of
                        which would further the purposes and goals of this
                        subsection and of the Resources and Ecosystems
                        Sustainability, Tourist Opportunities, and Revived
                        Economies of the Gulf Coast States Act of 2012;
                            ``(cc) a description of the manner in which
                        amounts from the Trust Fund projected to be made
                        available to the Council for the succeeding 10
                        years will be allocated; and
                            ``(dd) subject to available funding in
                        accordance with clause (iii), a prioritized list of
                        specific projects and programs to be funded and
                        carried out during the 3-year period immediately
                        following the date of publication of the initial
                        Comprehensive Plan, including a table that
                        illustrates the distribution of projects and
                        programs by the Gulf Coast State.

                        ``(V) Plan updates.--The Council shall update--

                            ``(aa) the Comprehensive Plan every 5 years in
                        a manner comparable to the manner established in
                        this subparagraph for each 5-year period for which
                        amounts are expected to be made available to the
                        Gulf Coast States from the Trust Fund; and
                            ``(bb) the 3-year list of projects and programs
                        described in subclause (IV)(dd) annually.
                    ``(iii) Restoration priorities.--Except for projects
                and programs described in clause (ii)(IV)(bb), in selecting
                projects and programs to include on the 3-year list
                described in clause (ii)(IV)(dd), based on the best
                available science, the Council shall give highest priority
                to projects that address 1 or more of the following
                criteria:

                        ``(I) Projects that are projected to make the
                    greatest contribution to restoring and protecting the
                    natural resources, ecosystems, fisheries, marine and
                    wildlife habitats, beaches, and coastal wetlands of the
                    Gulf Coast region, without regard to geographic
                    location within the Gulf Coast region.
                        ``(II) Large-scale projects and programs that are
                    projected to substantially contribute to restoring and
                    protecting the natural resources, ecosystems,
                    fisheries, marine and wildlife habitats, beaches, and
                    coastal wetlands of the Gulf Coast ecosystem.
                        ``(III) Projects contained in existing Gulf Coast
                    State comprehensive plans for the restoration and
                    protection of natural resources, ecosystems, fisheries,
                    marine and wildlife habitats, beaches, and coastal
                    wetlands of the Gulf Coast region.
                        ``(IV) Projects that restore long-term resiliency
                    of the natural resources, ecosystems, fisheries, marine
                    and wildlife habitats, beaches, and coastal wetlands
                    most impacted by the Deepwater Horizon oil spill.

                ``(E) Implementation.--
                    ``(i) In general.--The Council, acting through the
                Federal agencies represented on the Council and Gulf Coast
                States, shall expend funds made available from the Trust
                Fund to carry out projects and programs adopted in the
                Comprehensive Plan.
                    ``(ii) Administrative responsibility.--

                        ``(I) In general.--Primary authority and
                    responsibility for each project and program included in
                    the Comprehensive Plan shall be assigned by the Council
                    to a Gulf Coast State represented on the Council or a
                    Federal agency.
                        ``(II) Transfer of amounts.--Amounts necessary to
                    carry out each project or program included in the
                    Comprehensive Plan shall be transferred by the
                    Secretary of the Treasury from the Trust Fund to that
                    Federal agency or Gulf Coast State as the project or
                    program is implemented, subject to such conditions as
                    the Secretary of the Treasury, in consultation with the
                    Secretary of the Interior and the Secretary of
                    Commerce, established pursuant to section 1602 of the
                    Resources and Ecosystems Sustainability, Tourist
                    Opportunities, and Revived Economies of the Gulf Coast
                    States Act of 2012.
                        ``(III) Limitation on transfers.--

                            ``(aa) Grants to nongovernmental entities.--In
                        the case of funds transferred to a Federal or State
                        agency under subclause (II), the agency shall not
                        make 1 or more grants or cooperative agreements to
                        a nongovernmental entity if the total amount
                        provided to the entity would equal or exceed 10
                        percent of the total amount provided to the agency
                        for that particular project or program, unless the
                        1 or more grants have been reported in accordance
                        with item (bb).
                            ``(bb) Reporting of grantees.--At least 30 days
                        prior to making a grant or entering into a
                        cooperative agreement described in item (aa), the
                        name of each grantee, including the amount and
                        purpose of each grant or cooperative agreement,
                        shall be published in the Federal Register and
                        delivered to the congressional committees listed in
                        subparagraph (C)(vii)(VII)(ff).
                            ``(cc) Annual reporting of grantees.--Annually,
                        the name of each grantee, including the amount and
                        purposes of each grant or cooperative agreement,
                        shall be published in the Federal Register and
                        delivered to Congress as part of the report
                        submitted pursuant to subparagraph (C)(vii)(VII).

                        ``(IV) Project and program limitation.--The
                    Council, a Federal agency, or a State may not carry out
                    a project or program funded under this paragraph
                    outside of the Gulf Coast region.

                ``(F) Coordination.--The Council and the Federal members of
            the Council may develop memoranda of understanding establishing
            integrated funding and implementation plans among the member
            agencies and authorities.
            ``(3) Oil spill restoration impact allocation.--
                ``(A) In general.--
                    ``(i) Disbursement.--Of the total amount made available
                from the Trust Fund, 30 percent shall be disbursed pursuant
                to the formula in clause (ii) to the Gulf Coast States on
                the approval of the plan described in subparagraph (B)(i).
                    ``(ii) Formula.--Subject to subparagraph (B), for each
                Gulf Coast State, the amount disbursed under this paragraph
                shall be based on a formula established by the Council by
                regulation that is based on a weighted average of the
                following criteria:

                        ``(I) 40 percent based on the proportionate number
                    of miles of shoreline in each Gulf Coast State that
                    experienced oiling on or before April 10, 2011,
                    compared to the total number of miles of shoreline that
                    experienced oiling as a result of the Deepwater Horizon
                    oil spill.
                        ``(II) 40 percent based on the inverse proportion
                    of the average distance from the mobile offshore
                    drilling unit Deepwater Horizon at the time of the
                    explosion to the nearest and farthest point of the
                    shoreline that experienced oiling of each Gulf Coast
                    State.
                        ``(III) 20 percent based on the average population
                    in the 2010 decennial census of coastal counties
                    bordering the Gulf of Mexico within each Gulf Coast
                    State.

                    ``(iii) Minimum allocation.--The amount disbursed to a
                Gulf Coast State for each fiscal year under clause (ii)
                shall be at least 5 percent of the total amounts made
                available under this paragraph.
                ``(B) Disbursement of funds.--
                    ``(i) In general.--The Council shall disburse amounts
                to the respective Gulf Coast States in accordance with the
                formula developed under subparagraph (A) for projects,
                programs, and activities that will improve the ecosystems
                or economy of the Gulf Coast region, subject to the
                condition that each Gulf Coast State submits a plan for the
                expenditure of amounts disbursed under this paragraph that
                meets the following criteria:

                        ``(I) All projects, programs, and activities
                    included in the plan are eligible activities pursuant
                    to clauses (i) and (ii) of paragraph (1)(B).
                        ``(II) The projects, programs, and activities
                    included in the plan contribute to the overall economic
                    and ecological recovery of the Gulf Coast.
                        ``(III) The plan takes into consideration the
                    Comprehensive Plan and is consistent with the goals and
                    objectives of the Plan, as described in paragraph
                    (2)(B)(i).

                    ``(ii) Funding.--

                        ``(I) In general.--Except as provided in subclause
                    (II), the plan described in clause (i) may use not more
                    than 25 percent of the funding made available for
                    infrastructure projects eligible under subclauses (VI)
                    and (VII) of paragraph (1)(B)(i).
                        ``(II) Exception.--The plan described in clause (i)
                    may propose to use more than 25 percent of the funding
                    made available for infrastructure projects eligible
                    under subclauses (VI) and (VII) of paragraph (1)(B)(i)
                    if the plan certifies that--

                            ``(aa) ecosystem restoration needs in the State
                        will be addressed by the projects in the proposed
                        plan; and
                            ``(bb) additional investment in infrastructure
                        is required to mitigate the impacts of the
                        Deepwater Horizon Oil Spill to the ecosystem or
                        economy.
                    ``(iii) Development.--The plan described in clause (i)
                shall be developed by--

                        ``(I) in the State of Alabama, the Alabama Gulf
                    Coast Recovery Council established under paragraph
                    (1)(F)(i);
                        ``(II) in the State of Florida, a consortia of
                    local political subdivisions that includes at a minimum
                    1 representative of each affected county;
                        ``(III) in the State of Louisiana, the Coastal
                    Protection and Restoration Authority of Louisiana;
                        ``(IV) in the State of Mississippi, the Office of
                    the Governor or an appointee of the Office of the
                    Governor; and
                        ``(V) in the State of Texas, the Office of the
                    Governor or an appointee of the Office of the Governor.

                    ``(iv) Approval.--Not later than 60 days after the date
                on which a plan is submitted under clause (i), the Council
                shall approve or disapprove the plan based on the
                conditions of clause (i).
                ``(C) Disapproval.--If the Council disapproves a plan
            pursuant to subparagraph (B)(iv), the Council shall--
                    ``(i) provide the reasons for disapproval in writing;
                and
                    ``(ii) consult with the State to address any identified
                deficiencies with the State plan.
                ``(D) Failure to submit adequate plan.--If a State fails to
            submit an adequate plan under this paragraph, any funds made
            available under this paragraph shall remain in the Trust Fund
            until such date as a plan is submitted and approved pursuant to
            this paragraph.
                ``(E) Judicial review.--If the Council fails to approve or
            take action within 60 days on a plan, as described in
            subparagraph (B)(iv), the State may obtain expedited judicial
            review within 90 days of that decision in a district court of
            the United States, of appropriate jurisdiction and venue, that
            is located within the State seeking the review.
                ``(F) Cost-sharing.--
                    ``(i) In general.--A Gulf Coast State or coastal
                political subdivision may use, in whole or in part, amounts
                made available to that Gulf Coast State or coastal
                political subdivision under this paragraph to satisfy the
                non-Federal share of any project or program that--

                        ``(I) is authorized by other Federal law; and
                        ``(II) is an eligible activity described in clause
                    (i) or (ii) of paragraph (1)(B).

                    ``(ii) Effect on other funds.--The use of funds made
                available from the Trust Fund under this paragraph to
                satisfy the non-Federal share of the cost of a project or
                program described in clause (i) shall not affect the
                priority in which other Federal funds are allocated or
                awarded.
            ``(4) Authorization of interest transfers.--Of the total amount
        made available for any fiscal year from the Trust Fund that is
        equal to the interest earned by the Trust Fund and proceeds from
        investments made by the Trust Fund in the preceding fiscal year--
                ``(A) 50 percent shall be divided equally between--
                    ``(i) the Gulf Coast Ecosystem Restoration Science,
                Observation, Monitoring, and Technology program authorized
                in section 1604 of the Resources and Ecosystems
                Sustainability, Tourist Opportunities, and Revived
                Economies of the Gulf Coast States Act of 2012; and
                    ``(ii) the centers of excellence research grants
                authorized in section 1605 of that Act; and
                ``(B) 50 percent shall be made available to the Gulf Coast
            Ecosystem Restoration Council to carry out the Comprehensive
            Plan pursuant to paragraph (2).''.
    SEC. 1604. GULF COAST ECOSYSTEM RESTORATION SCIENCE, OBSERVATION,
    MONITORING, AND TECHNOLOGY PROGRAM.
        (a) Definitions.--In this section:
            (1) Administrator.--The term ``Administrator'' means the
        Administrator of the National Oceanic and Atmospheric
        Administration.
            (2) Commission.--The term ``Commission'' means the Gulf States
        Marine Fisheries Commission.
            (3) Director.--The term ``Director'' means the Director of the
        United States Fish and Wildlife Service.
            (4) Program.--The term ``program'' means the Gulf Coast
        Ecosystem Restoration Science, Observation, Monitoring, and
        Technology program established under this section.
        (b) Establishment of Program.--
            (1) In general.--Not later than 180 days after the date of
        enactment of this Act, the Administrator, in consultation with the
        Director, shall establish the Gulf Coast Ecosystem Restoration
        Science, Observation, Monitoring, and Technology program to carry
        out research, observation, and monitoring to support, to the
        maximum extent practicable, the long-term sustainability of the
        ecosystem, fish stocks, fish habitat, and the recreational,
        commercial, and charter fishing industry in the Gulf of Mexico.
            (2) Expenditure of funds.--For each fiscal year, amounts made
        available to carry out this subsection may be expended for, with
        respect to the Gulf of Mexico--
                (A) marine and estuarine research;
                (B) marine and estuarine ecosystem monitoring and ocean
            observation;
                (C) data collection and stock assessments;
                (D) pilot programs for--
                    (i) fishery independent data; and
                    (ii) reduction of exploitation of spawning
                aggregations; and
                (E) cooperative research.
            (3) Cooperation with the commission.--For each fiscal year,
        amounts made available to carry out this subsection may be
        transferred to the Commission to establish a fisheries monitoring
        and research program, with respect to the Gulf of Mexico.
            (4) Consultation.--The Administrator and the Director shall
        consult with the Regional Gulf of Mexico Fishery Management Council
        and the Commission in carrying out the program.
        (c) Species Included.--The research, monitoring, assessment, and
    programs eligible for amounts made available under the program shall
    include all marine, estuarine, aquaculture, and fish species in State
    and Federal waters of the Gulf of Mexico.
        (d) Research Priorities.--In distributing funding under this
    subsection, priority shall be given to integrated, long-term projects
    that--
            (1) build on, or are coordinated with, related research
        activities; and
            (2) address current or anticipated marine ecosystem, fishery,
        or wildlife management information needs.
        (e) Duplication.--In carrying out this section, the Administrator,
    in consultation with the Director, shall seek to avoid duplication of
    other research and monitoring activities.
        (f) Coordination With Other Programs.--The Administrator, in
    consultation with the Director, shall develop a plan for the
    coordination of projects and activities between the program and other
    existing Federal and State science and technology programs in the
    States of Alabama, Florida, Louisiana, Mississippi, and Texas, as well
    as between the centers of excellence.
        (g) Limitation on Expenditures.--
            (1) In general.--Not more than 3 percent of funds provided in
        subsection (h) shall be used for administrative expenses.
            (2) NOAA.--The funds provided in subsection (h) may not be
        used--
                (A) for any existing or planned research led by the
            National Oceanic and Atmospheric Administration, unless agreed
            to in writing by the grant recipient;
                (B) to implement existing regulations or initiate new
            regulations promulgated or proposed by the National Oceanic and
            Atmospheric Administration; or
                (C) to develop or approve a new limited access privilege
            program (as that term is used in section 303A of the Magnuson-
            Stevens Fishery Conservation and Management Act (16 U.S.C.
            1853a)) for any fishery under the jurisdiction of the South
            Atlantic, Mid-Atlantic, New England, or Gulf of Mexico Fishery
            Management Councils.
        (h) Funding.--Of the total amount made available for each fiscal
    year for the Gulf Coast Restoration Trust Fund established under
    section 1602, 2.5 percent shall be available to carry out the program.
        (i) Sunset.--The program shall cease operations when all funds in
    the Gulf Coast Restoration Trust Fund established under section 1602
    have been expended.
    SEC. 1605. CENTERS OF EXCELLENCE RESEARCH GRANTS.
        (a) In General.--Of the total amount made available for each fiscal
    year from the Gulf Coast Restoration Trust Fund established under
    section 1602, 2.5 percent shall be made available to the Gulf Coast
    States (as defined in section 311(a) of the Federal Water Pollution
    Control Act (as added by section 1603 of the Resources and Ecosystems
    Sustainability, Tourist Opportunities, and Revived Economies of the
    Gulf Coast States Act of 2012)), in equal shares, exclusively for
    grants in accordance with subsection (c) to establish centers of
    excellence to conduct research only on the Gulf Coast Region (as
    defined in section 311 of the Federal Water Pollution Control Act (33.
    U.S.C. 1321)).
        (b) Approval by State Entity, Task Force, or Agency.--The duties of
    a Gulf Coast State under this section shall be carried out by the
    applicable Gulf Coast State entities, task forces, or agencies listed
    in section 311(t)(1)(F) of the Federal Water Pollution Control Act (as
    added by section 1603 of the Resources and Ecosystems Sustainability,
    Tourist Opportunities, and Revived Economies of the Gulf Coast States
    Act of 2012), and for the State of Florida, a consortium of public and
    private research institutions within the State, which shall include the
    Florida Department of Environmental Protection and the Florida Fish and
    Wildlife Conservation Commission, for that Gulf Coast State.
        (c) Grants.--
            (1) In general.--A Gulf Coast State shall use the amounts made
        available to carry out this section to award competitive grants to
        nongovernmental entities and consortia in the Gulf Coast region
        (including public and private institutions of higher education) for
        the establishment of centers of excellence as described in
        subsection (d).
            (2) Application.--To be eligible to receive a grant under this
        subsection, an entity or consortium described in paragraph (1)
        shall submit to a Gulf Coast State an application at such time, in
        such manner, and containing such information as the Gulf Coast
        State determines to be appropriate.
            (3) Priority.--In awarding grants under this subsection, a Gulf
        Coast State shall give priority to entities and consortia that
        demonstrate the ability to establish the broadest cross-section of
        participants with interest and expertise in any discipline
        described in subsection (d) on which the proposal of the center of
        excellence will be focused.
            (4) Reporting.--
                (A) In general.--Each Gulf Coast State shall provide
            annually to the Gulf Coast Ecosystem Restoration Council
            established under section 311(t)(2)(C) of the Federal Water
            Pollution Control Act (as added by section 1603 of the
            Resources and Ecosystems Sustainability, Tourist Opportunities,
            and Revived Economies of the Gulf Coast States Act of 2012)
            information regarding all grants, including the amount,
            discipline or disciplines, and recipients of the grants, and in
            the case of any grant awarded to a consortium, the membership
            of the consortium.
                (B) Inclusion.--The Gulf Coast Ecosystem Restoration
            Council shall include the information received under
            subparagraph (A) in the annual report to Congress of the
            Council required under section 311(t)(2)(C)(vii)(VII) of the
            Federal Water Pollution Control Act (as added by section 1603
            of the Resources and Ecosystems Sustainability, Tourist
            Opportunities, and Revived Economies of the Gulf Coast States
            Act of 2012).
        (d) Disciplines.--Each center of excellence shall focus on science,
    technology, and monitoring in at least 1 of the following disciplines:
            (1) Coastal and deltaic sustainability, restoration and
        protection, including solutions and technology that allow citizens
        to live in a safe and sustainable manner in a coastal delta in the
        Gulf Coast Region.
            (2) Coastal fisheries and wildlife ecosystem research and
        monitoring in the Gulf Coast Region.
            (3) Offshore energy development, including research and
        technology to improve the sustainable and safe development of
        energy resources in the Gulf of Mexico.
            (4) Sustainable and resilient growth, economic and commercial
        development in the Gulf Coast Region.
            (5) Comprehensive observation, monitoring, and mapping of the
        Gulf of Mexico.
    SEC. 1606. EFFECT.
        (a) Definition of Deepwater Horizon Oil Spill.--In this section,
    the term ``Deepwater Horizon oil spill'' has the meaning given the term
    in section 311(a) of the Federal Water Pollution Control Act (33 U.S.C.
    1321(a)).
        (b) Effect and Application.--Nothing in this subtitle or any
    amendment made by this subtitle--
            (1) supersedes or otherwise affects any other provision of
        Federal law, including, in particular, laws providing recovery for
        injury to natural resources under the Oil Pollution Act of 1990 (33
        U.S.C. 2701 et seq.) and laws for the protection of public health
        and the environment; or
            (2) applies to any fine collected under section 311 of the
        Federal Water Pollution Control Act (33 U.S.C. 1321) for any
        incident other than the Deepwater Horizon oil spill.
        (c) Use of Funds.--Funds made available under this subtitle may be
    used only for eligible activities specifically authorized by this
    subtitle and the amendments made by this subtitle.
    SEC. 1607. RESTORATION AND PROTECTION ACTIVITY LIMITATIONS.
        (a) Willing Seller.--Funds made available under this subtitle may
    only be used to acquire land or interests in land by purchase,
    exchange, or donation from a willing seller.
        (b) Acquisition of Federal Land.--None of the funds made available
    under this subtitle may be used to acquire land in fee title by the
    Federal Government unless--
            (1) the land is acquired by exchange or donation; or
            (2) the acquisition is necessary for the restoration and
        protection of the natural resources, ecosystems, fisheries, marine
        and wildlife habitats, beaches, and coastal wetlands of the Gulf
        Coast region and has the concurrence of the Governor of the State
        in which the acquisition will take place.
    SEC. 1608. INSPECTOR GENERAL.
        The Office of the Inspector General of the Department of the
    Treasury shall have authority to conduct, supervise, and coordinate
    audits and investigations of projects, programs, and activities funded
    under this subtitle and the amendments made by this subtitle.

              TITLE II--AMERICA FAST FORWARD FINANCING INNOVATION

    SEC. 2001. SHORT TITLE.
        This title may be cited as the ``America Fast Forward Financing
    Innovation Act of 2012''.
    SEC. 2002. TRANSPORTATION INFRASTRUCTURE FINANCE AND INNOVATION ACT OF
    1998 AMENDMENTS.
        Sections 601 through 609 of title 23, United States Code, are
    amended to read as follows:
    ``Sec. 601. Generally applicable provisions
        ``(a) Definitions.--In this chapter, the following definitions
    apply:
            ``(1) Contingent commitment.--The term `contingent commitment'
        means a commitment to obligate an amount from future available
        budget authority that is--
                ``(A) contingent on those funds being made available in law
            at a future date; and
                ``(B) not an obligation of the Federal Government.
            ``(2) Eligible project costs.--The term `eligible project
        costs' means amounts substantially all of which are paid by, or for
        the account of, an obligor in connection with a project, including
        the cost of--
                ``(A) development phase activities, including planning,
            feasibility analysis, revenue forecasting, environmental
            review, permitting, preliminary engineering and design work,
            and other preconstruction activities;
                ``(B) construction, reconstruction, rehabilitation,
            replacement, and acquisition of real property (including land
            relating to the project and improvements to land),
            environmental mitigation, construction contingencies, and
            acquisition of equipment; and
                ``(C) capitalized interest necessary to meet market
            requirements, reasonably required reserve funds, capital
            issuance expenses, and other carrying costs during
            construction.
            ``(3) 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 chapter with respect to
        a project.
            ``(4) Investment-grade rating.--The term `investment-grade
        rating' means a rating of BBB minus, Baa3, bbb minus, BBB (low), or
        higher assigned by a rating agency to project obligations.
            ``(5) Lender.--The term `lender' means any non-Federal
        qualified institutional buyer (as defined in section 230.144A(a) of
        title 17, Code of Federal Regulations (or any successor
        regulation), known as Rule 144A(a) of the Securities and Exchange
        Commission and issued under the Securities Act of 1933 (15 U.S.C.
        77a et seq.)), including--
                ``(A) a qualified retirement plan (as defined in section
            4974(c) of the Internal Revenue Code of 1986) that is a
            qualified institutional buyer; and
                ``(B) a governmental plan (as defined in section 414(d) of
            the Internal Revenue Code of 1986) that is a qualified
            institutional buyer.
            ``(6) Letter of interest.--The term `letter of interest' means
        a letter submitted by a potential applicant prior to an application
        for credit assistance in a format prescribed by the Secretary on
        the website of the TIFIA program that--
                ``(A) describes the project and the location, purpose, and
            cost of the project;
                ``(B) outlines the proposed financial plan, including the
            requested credit assistance and the proposed obligor;
                ``(C) provides a status of environmental review; and
                ``(D) provides information regarding satisfaction of other
            eligibility requirements of the TIFIA program.
            ``(7) Line of credit.--The term `line of credit' means an
        agreement entered into by the Secretary with an obligor under
        section 604 to provide a direct loan at a future date upon the
        occurrence of certain events.
            ``(8) Limited buydown.--The term `limited buydown' means,
        subject to the conditions described in section 603(b)(4)(C), a
        buydown of the interest rate by the obligor if the interest rate
        has increased between--
                ``(A)(i) the date on which a project application acceptable
            to the Secretary is submitted; or
                ``(ii) the date on which the Secretary entered into a
            master credit agreement; and
                ``(B) the date on which the Secretary executes the Federal
            credit instrument.
            ``(9) Loan guarantee.--The term `loan guarantee' means any
        guarantee or other pledge by the Secretary to pay all or part of
        the principal of and interest on a loan or other debt obligation
        issued by an obligor and funded by a lender.
            ``(10) Master credit agreement.--The term `master credit
        agreement' means an agreement to extend credit assistance for a
        program of projects secured by a common security pledge (which
        shall receive an investment grade rating from a rating agency), or
        for a single project covered under section 602(b)(2) that would--
                ``(A) make contingent commitments of 1 or more secured
            loans or other Federal credit instruments at future dates,
            subject to the availability of future funds being made
            available to carry out this chapter;
                ``(B) establish the maximum amounts and general terms and
            conditions of the secured loans or other Federal credit
            instruments;
                ``(C) identify the 1 or more dedicated non-Federal revenue
            sources that will secure the repayment of the secured loans or
            secured Federal credit instruments;
                ``(D) provide for the obligation of funds for the secured
            loans or secured Federal credit instruments after all
            requirements have been met for the projects subject to the
            master credit agreement, including--
                    ``(i) completion of an environmental impact statement
                or similar analysis required under the National
                Environmental Policy Act of 1969 (42 U.S.C. 4321 et seq.);
                    ``(ii) compliance with such other requirements as are
                specified in section 602(c); and
                    ``(iii) the availability of funds to carry out this
                chapter; and
                ``(E) require that contingent commitments result in a
            financial close and obligation of credit assistance not later
            than 3 years after the date of entry into the master credit
            agreement, or release of the commitment, unless otherwise
            extended by the Secretary.
            ``(11) Obligor.--The term `obligor' means a party that--
                ``(A) is primarily liable for payment of the principal of
            or interest on a Federal credit instrument; and
                ``(B) may be a corporation, partnership, joint venture,
            trust, or governmental entity, agency, or instrumentality.
            ``(12) Project.--The term `project' means--
                ``(A) any surface transportation project eligible for
            Federal assistance under this title or chapter 53 of title 49;
                ``(B) a project for an international bridge or tunnel for
            which an international entity authorized under Federal or State
            law is responsible;
                ``(C) a project for intercity passenger bus or rail
            facilities and vehicles, including facilities and vehicles
            owned by the National Railroad Passenger Corporation and
            components of magnetic levitation transportation systems; and
                ``(D) a project that--
                    ``(i) is a project--

                        ``(I) for a public freight rail facility or a
                    private facility providing public benefit for highway
                    users by way of direct freight interchange between
                    highway and rail carriers;
                        ``(II) for an intermodal freight transfer facility;
                        ``(III) for a means of access to a facility
                    described in subclause (I) or (II);
                        ``(IV) for a service improvement for a facility
                    described in subclause (I) or (II) (including a capital
                    investment for an intelligent transportation system);
                    or
                        ``(V) that comprises a series of projects described
                    in subclauses (I) through (IV) with the common
                    objective of improving the flow of goods;

                    ``(ii) may involve the combining of private and public
                sector funds, including investment of public funds in
                private sector facility improvements;
                    ``(iii) if located within the boundaries of a port
                terminal, includes only such surface transportation
                infrastructure modifications as are necessary to facilitate
                direct intermodal interchange, transfer, and access into
                and out of the port; and
                    ``(iv) is composed of related highway, surface
                transportation, transit, rail, or intermodal capital
                improvement projects eligible for assistance under this
                section in order to meet the eligible project cost
                threshold under section 602, by grouping related projects
                together for that purpose, subject to the condition that
                the credit assistance for the projects is secured by a
                common pledge.
            ``(13) 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.
            ``(14) Rating agency.--The term `rating agency' means a credit
        rating agency registered with the Securities and Exchange
        Commission as a nationally recognized statistical rating
        organization (as that term is defined in section 3(a) of the
        Securities Exchange Act of 1934 (15 U.S.C. 78c(a))).
            ``(15) Rural infrastructure project.--The term `rural
        infrastructure project' means a surface transportation
        infrastructure project located in any area other than a city with a
        population of more than 250,000 inhabitants within the city limits.
            ``(16) 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 603.
            ``(17) State.--The term `State' has the meaning given the term
        in section 101.
            ``(18) 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--
                ``(A) calculated on a net present value basis; and
                ``(B) excluding administrative costs and any incidental
            effects on governmental receipts or outlays in accordance with
            the Federal Credit Reform Act of 1990 (2 U.S.C. 661 et seq.).
            ``(19) Substantial completion.--The term `substantial
        completion' means--
                ``(A) the opening of a project to vehicular or passenger
            traffic; or
                ``(B) a comparable event, as determined by the Secretary
            and specified in the credit agreement.
            ``(20) TIFIA program.--The term `TIFIA program' means the
        transportation infrastructure finance and innovation program of the
        Department.
        ``(b) Treatment of Chapter.--For purposes of this title, this
    chapter shall be treated as being part of chapter 1.
    ``Sec. 602. Determination of eligibility and project selection
        ``(a) Eligibility.--
            ``(1) In general.--A project shall be eligible to receive
        credit assistance under this chapter if--
                ``(A) the entity proposing to carry out the project submits
            a letter of interest prior to submission of a formal
            application for the project; and
                ``(B) the project meets the criteria described in this
            subsection.
            ``(2) Creditworthiness.--
                ``(A) In general.--To be eligible for assistance under this
            chapter, a project shall satisfy applicable creditworthiness
            standards, which, at a minimum, shall include--
                    ``(i) a rate covenant, if applicable;
                    ``(ii) adequate coverage requirements to ensure
                repayment;
                    ``(iii) an investment grade rating from at least 2
                rating agencies on debt senior to the Federal credit
                instrument; and
                    ``(iv) a rating from at least 2 rating agencies on the
                Federal credit instrument, subject to the condition that,
                with respect to clause (iii), if the total amount of the
                senior debt and the Federal credit instrument is less than
                $75,000,000, 1 rating agency opinion for each of the senior
                debt and Federal credit instrument shall be sufficient.
                ``(B) Senior debt.--Notwithstanding subparagraph (A), in a
            case in which the Federal credit instrument is the senior debt,
            the Federal credit instrument shall be required to receive an
            investment grade rating from at least 2 rating agencies, unless
            the credit instrument is for an amount less than $75,000,000,
            in which case 1 rating agency opinion shall be sufficient.
            ``(3) Inclusion in transportation plans and programs.--A
        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 chapter.
            ``(4) Application.--A State, 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 that is acceptable to the Secretary.
            ``(5) Eligible project costs.--
                ``(A) In general.--Except as provided in subparagraph (B),
            to be eligible for assistance under this chapter, a project
            shall have eligible project costs that are reasonably
            anticipated to equal or exceed the lesser of--
                    ``(i)(I) $50,000,000; or
                    ``(II) in the case of a rural infrastructure project,
                $25,000,000; and
                    ``(ii) 33\1/3\ percent of the amount of Federal highway
                assistance funds apportioned for the most recently
                completed fiscal year to the State in which the project is
                located.
                ``(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 $15,000,000.
            ``(6) Dedicated revenue sources.--The applicable Federal credit
        instrument shall be repayable, in whole or in part, from--
                ``(A) tolls;
                ``(B) user fees;
                ``(C) payments owing to the obligor under a public-private
            partnership; or
                ``(D) other dedicated revenue sources that also secure or
            fund the project obligations.
            ``(7) Public sponsorship of private entities.--In the case of a
        project that is undertaken by an entity that is not a State or
        local government or an agency or instrumentality of a State or
        local government, the project that the entity is undertaking shall
        be publicly sponsored as provided in paragraph (3).
            ``(8) Applications where obligor will be identified later.--A
        State, local government, agency or instrumentality of a State or
        local government, or public authority may submit to the Secretary
        an application under paragraph (4), under which a private party to
        a public-private partnership will be--
                ``(A) the obligor; and
                ``(B) identified later through completion of a procurement
            and selection of the private party.
            ``(9) Beneficial effects.--The Secretary shall determine that
        financial assistance for the project under this chapter will--
                ``(A) foster, if appropriate, partnerships that attract
            public and private investment for the project;
                ``(B) enable the project to proceed at an earlier date than
            the project would otherwise be able to proceed or reduce the
            lifecycle costs (including debt service costs) of the project;
            and
                ``(C) reduce the contribution of Federal grant assistance
            for the project.
            ``(10) Project readiness.--To be eligible for assistance under
        this chapter, the applicant shall demonstrate a reasonable
        expectation that the contracting process for construction of the
        project can commence by not later than 90 days after the date on
        which a Federal credit instrument is obligated for the project
        under this chapter.
        ``(b) Selection Among Eligible Projects.--
            ``(1) Establishment.--The Secretary shall establish a rolling
        application process under which projects that are eligible to
        receive credit assistance under subsection (a) shall receive credit
        assistance on terms acceptable to the Secretary, if adequate funds
        are available to cover the subsidy costs associated with the
        Federal credit instrument.
            ``(2) Adequate funding not available.--If the Secretary fully
        obligates funding to eligible projects in a fiscal year, and
        adequate funding is not available to fund a credit instrument, a
        project sponsor of an eligible project may elect to enter into a
        master credit agreement and wait until the earlier of--
                ``(A) the following fiscal year; and
                ``(B) the fiscal year during which additional funds are
            available to receive credit assistance.
            ``(3) Preliminary rating opinion letter.--The Secretary shall
        require each project applicant to provide a preliminary rating
        opinion letter from at least 1 rating agency--
                ``(A) indicating that the senior obligations of the
            project, which may be the Federal credit instrument, have the
            potential to achieve an investment-grade rating; and
                ``(B) including a preliminary rating opinion on the Federal
            credit instrument.
        ``(c) Federal Requirements.--
            ``(1) In general.--In addition to the requirements of this
        title for highway projects, the requirements of chapter 53 of title
        49 for transit projects, and the requirements of section 5333(a) of
        title 49 for rail projects, the following provisions of law shall
        apply to funds made available under this chapter and projects
        assisted with those funds:
                ``(A) Title VI of the Civil Rights Act of 1964 (42 U.S.C.
            2000d et seq.).
                ``(B) The National Environmental Policy Act of 1969 (42
            U.S.C. 4321 et seq.).
                ``(C) The Uniform Relocation Assistance and Real Property
            Acquisition Policies Act of 1970 (42 U.S.C. 4601 et seq.).
            ``(2) NEPA.--No funding shall be obligated for a project that
        has not received an environmental categorical exclusion, a finding
        of no significant impact, or a record of decision under the
        National Environmental Policy Act of 1969 (42 U.S.C. 4321 et seq.).
        ``(d) Application Processing Procedures.--
            ``(1) Notice of complete application.--Not later than 30 days
        after the date of receipt of an application under this section, the
        Secretary shall provide to the applicant a written notice to inform
        the applicant whether--
                ``(A) the application is complete; or
                ``(B) additional information or materials are needed to
            complete the application.
            ``(2) Approval or denial of application.--Not later than 60
        days after the date of issuance of the written notice under
        paragraph (1), the Secretary shall provide to the applicant a
        written notice informing the applicant whether the Secretary has
        approved or disapproved the application.
        ``(e) Development Phase Activities.--Any credit instrument secured
    under this chapter may be used to finance up to 100 percent of the cost
    of development phase activities as described in section 601(a)(1)(A).
    ``Sec. 603. Secured loans
        ``(a) In General.--
            ``(1) Agreements.--Subject to paragraphs (2) and (3), 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;
                ``(B) to refinance interim construction financing of
            eligible project costs of any project selected under section
            602;
                ``(C) to refinance existing Federal credit instruments for
            rural infrastructure projects; or
                ``(D) to refinance long-term project obligations or Federal
            credit instruments, if the refinancing provides additional
            funding capacity for the completion, enhancement, or expansion
            of any project that--
                    ``(i) is selected under section 602; or
                    ``(ii) otherwise meets the requirements of section 602.
            ``(2) Limitation on refinancing of interim construction
        financing.--A loan under paragraph (1) shall not refinance interim
        construction financing under paragraph (1)(B) later than 1 year
        after the date of substantial completion of the project.
            ``(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, shall determine an
        appropriate capital reserve subsidy amount for each secured loan,
        taking into account each rating letter provided by an agency under
        section 602(b)(3)(B).
        ``(b) Terms and Limitations.--
            ``(1) In general.--A secured loan under this section with
        respect to a project shall be on such terms and conditions and
        contain such covenants, representations, warranties, and
        requirements (including requirements for audits) as the Secretary
        determines to be appropriate.
            ``(2) Maximum amount.--The amount of a secured loan under this
        section shall not exceed the lesser of 49 percent of the reasonably
        anticipated eligible project costs or if the secured loan does not
        receive an investment grade rating, the amount of the senior
        project obligations.
            ``(3) Payment.--A secured loan under this section--
                ``(A) shall--
                    ``(i) be payable, in whole or in part, from--

                        ``(I) tolls;
                        ``(II) user fees;
                        ``(III) payments owing to the obligor under a
                    public-private partnership; or
                        ``(IV) other dedicated revenue sources that also
                    secure the senior project obligations; and

                    ``(ii) include a rate covenant, coverage requirement,
                or similar security feature supporting the project
                obligations; and
                ``(B) may have a lien on revenues described in subparagraph
            (A), subject to any lien securing project obligations.
            ``(4) Interest rate.--
                ``(A) In general.--Except as provided in subparagraphs (B)
            and (C), the interest rate on a secured loan under this section
            shall be not less than the yield on United States Treasury
            securities of a similar maturity to the maturity of the secured
            loan on the date of execution of the loan agreement.
                ``(B) Rural infrastructure projects.--
                    ``(i) In general.--The interest rate of a loan offered
                to a rural infrastructure project under this chapter shall
                be at \1/2\ of the Treasury Rate in effect on the date of
                execution of the loan agreement.
                    ``(ii) Application.--The rate described in clause (i)
                shall only apply to any portion of a loan the subsidy cost
                of which is funded by amounts set aside for rural
                infrastructure projects under section 608(a)(3)(A).
                ``(C) Limited buydowns.--The interest rate of a secured
            loan under this section may not be lowered by more than the
            lower of--
                    ``(i) 1\1/2\ percentage points (150 basis points); or
                    ``(ii) the amount of the increase in the interest rate.
            ``(5) Maturity date.--The final maturity date of the secured
        loan shall be the lesser of--
                ``(A) 35 years after the date of substantial completion of
            the project; and
                ``(B) if the useful life of the capital asset being
            financed is of a lesser period, the useful life of the asset.
            ``(6) Nonsubordination.--
                ``(A) In general.--Except as provided in subparagraph (B),
            the secured loan shall not be subordinated to the claims of any
            holder of project obligations in the event of bankruptcy,
            insolvency, or liquidation of the obligor.
                ``(B) Preexisting indenture.--
                    ``(i) In general.--The Secretary shall waive the
                requirement under subparagraph (A) for a public agency
                borrower that is financing ongoing capital programs and has
                outstanding senior bonds under a preexisting indenture,
                if--

                        ``(I) the secured loan is rated in the A category
                    or higher;
                        ``(II) the secured loan is secured and payable from
                    pledged revenues not affected by project performance,
                    such as a tax-backed revenue pledge or a system-backed
                    pledge of project revenues; and
                        ``(III) the TIFIA program share of eligible project
                    costs is 33 percent or less.

                    ``(ii) Limitation.--If the Secretary waives the
                nonsubordination requirement under this subparagraph--

                        ``(I) the maximum credit subsidy to be paid by the
                    Federal Government shall be not more than 10 percent of
                    the principal amount of the secured loan; and
                        ``(II) the obligor shall be responsible for paying
                    the remainder of the subsidy cost, if any.

            ``(7) Fees.--The Secretary may establish fees at a level
        sufficient to cover all or a portion of the costs to the Federal
        Government of making a secured loan under this section.
            ``(8) Non-federal share.--The proceeds of a secured loan under
        this 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.
            ``(9) Maximum federal involvement.--The total Federal
        assistance provided on a project receiving a loan under this
        chapter shall not exceed 80 percent of the total project cost.
        ``(c) Repayment.--
            ``(1) Schedule.--The Secretary shall establish a repayment
        schedule for each secured loan under this section based on--
                ``(A) the projected cash flow from project revenues and
            other repayment sources; and
                ``(B) the useful life of the project.
            ``(2) Commencement.--Scheduled loan repayments of principal or
        interest on a secured loan under this section shall commence not
        later than 5 years after the date of substantial completion of the
        project.
            ``(3) Deferred payments.--
                ``(A) In general.--If, at any time after the date of
            substantial completion of the project, the project is unable to
            generate sufficient revenues to pay the scheduled loan
            repayments of principal and interest on the secured loan, the
            Secretary may, subject to subparagraph (C), allow the obligor
            to add unpaid principal and interest to the outstanding balance
            of the secured loan.
                ``(B) Interest.--Any payment deferred under subparagraph
            (A) shall--
                    ``(i) continue to accrue interest in accordance with
                subsection (b)(4) until fully repaid; and
                    ``(ii) be scheduled to be amortized over the remaining
                term of the loan.
                ``(C) Criteria.--
                    ``(i) In general.--Any payment deferral under
                subparagraph (A) shall be contingent on the project meeting
                criteria established by the Secretary.
                    ``(ii) Repayment standards.--The criteria established
                pursuant to clause (i) shall include standards for
                reasonable assurance of repayment.
            ``(4) Prepayment.--
                ``(A) Use of excess revenues.--Any excess revenues that
            remain after satisfying scheduled debt service requirements on
            the project obligations and secured loan and all deposit
            requirements under the terms of any trust agreement, bond
            resolution, or similar agreement securing project obligations
            may be applied annually to prepay the secured loan without
            penalty.
                ``(B) Use of proceeds of refinancing.--The secured loan may
            be prepaid at any time without penalty from the proceeds of
            refinancing from non-Federal funding sources.
        ``(d) Sale of Secured Loans.--
            ``(1) In general.--Subject to paragraph (2), as soon as
        practicable after substantial completion of a project and after
        notifying the obligor, the Secretary may sell to another entity or
        reoffer into the capital markets a secured loan for the project if
        the Secretary determines that the sale or reoffering can be made on
        favorable terms.
            ``(2) Consent of obligor.--In making a sale or reoffering under
        paragraph (1), the Secretary may not change the original terms and
        conditions of the secured loan without the written consent of the
        obligor.
        ``(e) Loan Guarantees.--
            ``(1) In general.--The Secretary may provide a loan guarantee
        to a lender in lieu of making a secured loan under this section if
        the Secretary determines that the budgetary cost of the loan
        guarantee is substantially the same as that of a secured loan.
            ``(2) Terms.--The terms of a loan guarantee under paragraph (1)
        shall be consistent with the terms required under this section for
        a secured loan, except that the rate on the guaranteed loan and any
        prepayment features shall be negotiated between the obligor and the
        lender, with the consent of the Secretary.
    ``Sec. 604. Lines of credit
        ``(a) In General.--
            ``(1) Agreements.--Subject to paragraphs (2) through (4), the
        Secretary may enter into agreements to make available to 1 or more
        obligors lines of credit 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 602.
            ``(2) Use of proceeds.--The proceeds of a line of credit made
        available under this section shall be available to pay debt service
        on project obligations issued to finance eligible project costs,
        extraordinary repair and replacement costs, operation and
        maintenance expenses, and costs associated with unexpected Federal
        or State environmental restrictions.
            ``(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
        602(b)(3), shall determine an appropriate capital reserve subsidy
        amount for each line of credit, taking into account the rating
        opinion letter.
            ``(4) Investment-grade rating requirement.--The funding of a
        line of credit under this section shall be contingent on the senior
        obligations of the project receiving an investment-grade rating
        from 2 rating agencies.
        ``(b) Terms and Limitations.--
            ``(1) In general.--A line of credit under this section with
        respect to a project shall be on such terms and conditions and
        contain such covenants, representations, warranties, and
        requirements (including requirements for audits) as the Secretary
        determines to be appropriate.
            ``(2) Maximum amounts.--The total amount of a line of credit
        under this section shall not exceed 33 percent of the reasonably
        anticipated eligible project costs.
            ``(3) Draws.--Any draw on a line of credit under this section
        shall--
                ``(A) represent a direct loan; and
                ``(B) be made only if net revenues from the project
            (including capitalized interest, but not including reasonably
            required financing reserves) are insufficient to pay the costs
            specified in subsection (a)(2).
            ``(4) Interest rate.--Except as provided in subparagraphs (B)
        and (C) of section 603(b)(4), 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 United States Treasury securities, as of the
        date of execution of the line of credit agreement.
            ``(5) Security.--A line of credit issued under this section--
                ``(A) shall--
                    ``(i) be payable, in whole or in part, from--

                        ``(I) tolls;
                        ``(II) user fees;
                        ``(III) payments owing to the obligor under a
                    public-private partnership; or
                        ``(IV) other dedicated revenue sources that also
                    secure the senior project obligations; and

                    ``(ii) include a rate covenant, coverage requirement,
                or similar security feature supporting the project
                obligations; and
                ``(B) may have a lien on revenues described in subparagraph
            (A), subject to any lien securing project obligations.
            ``(6) Period of availability.--The full amount of a line of
        credit under this section, to the extent not drawn upon, shall be
        available during the 10-year period beginning on the date of
        substantial completion of the project.
            ``(7) Rights of third-party creditors.--
                ``(A) Against federal government.--A third-party creditor
            of the obligor shall not have any right against the Federal
            Government with respect to any draw on a line of credit under
            this section.
                ``(B) Assignment.--An obligor may assign a line of credit
            under this section to--
                    ``(i) 1 or more lenders; or
                    ``(ii) a trustee on the behalf of such a lender.
            ``(8) Nonsubordination.--
                ``(A) In general.--Except as provided in subparagraph (B),
            a direct loan under this section shall not be subordinated to
            the claims of any holder of project obligations in the event of
            bankruptcy, insolvency, or liquidation of the obligor.
                ``(B) Pre-existing indenture.--
                    ``(i) In general.--The Secretary shall waive the
                requirement of subparagraph (A) for a public agency
                borrower that is financing ongoing capital programs and has
                outstanding senior bonds under a preexisting indenture,
                if--

                        ``(I) the line of credit is rated in the A category
                    or higher;
                        ``(II) the TIFIA program loan resulting from a draw
                    on the line of credit is payable from pledged revenues
                    not affected by project performance, such as a tax-
                    backed revenue pledge or a system-backed pledge of
                    project revenues; and
                        ``(III) the TIFIA program share of eligible project
                    costs is 33 percent or less.

                    ``(ii) Limitation.--If the Secretary waives the
                nonsubordination requirement under this subparagraph--

                        ``(I) the maximum credit subsidy to be paid by the
                    Federal Government shall be not more than 10 percent of
                    the principal amount of the secured loan; and
                        ``(II) the obligor shall be responsible for paying
                    the remainder of the subsidy cost.

            ``(9) Fees.--The Secretary may establish fees at a level
        sufficient to cover all or a portion of the costs to the Federal
        Government of providing a line of credit under this section.
            ``(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 603 in an
        amount that, combined with the amount of the line of credit,
        exceeds 49 percent of eligible project costs.
        ``(c) Repayment.--
            ``(1) Terms and conditions.--The Secretary shall establish
        repayment terms and conditions for each direct loan under this
        section based on--
                ``(A) the projected cash flow from project revenues and
            other repayment sources; and
                ``(B) the useful life of the asset being financed.
            ``(2) Timing.--All repayments of principal or interest on a
        direct loan under this section shall be scheduled--
                ``(A) to commence not later than 5 years after the end of
            the period of availability specified in subsection (b)(6); and
                ``(B) to 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).
    ``Sec. 605. Program administration
        ``(a) Requirement.--The Secretary shall establish a uniform system
    to service the Federal credit instruments made available under this
    chapter.
        ``(b) Fees.--The Secretary may collect and spend fees, contingent
    on authority being provided in appropriations Acts, at a level that is
    sufficient to cover--
            ``(1) the costs of services of expert firms retained pursuant
        to subsection (d); and
            ``(2) all or a portion of the costs to the Federal Government
        of servicing the Federal credit instruments.
        ``(c) Servicer.--
            ``(1) In general.--The Secretary may appoint a financial entity
        to assist the Secretary in servicing the Federal credit
        instruments.
            ``(2) Duties.--A servicer appointed under paragraph (1) shall
        act as the agent for the Secretary.
            ``(3) Fee.--A servicer appointed under paragraph (1) shall
        receive a servicing fee, subject to approval by the Secretary.
        ``(d) Assistance From Expert Firms.--The Secretary may retain the
    services of expert firms, including counsel, in the field of municipal
    and project finance to assist in the underwriting and servicing of
    Federal credit instruments.
        ``(e) Expedited Processing.--The Secretary shall implement
    procedures and measures to economize the time and cost involved in
    obtaining approval and the issuance of credit assistance under this
    chapter.
    ``Sec. 606. State and local permits
        ``The provision of credit assistance under this chapter with
    respect to a project shall not--
            ``(1) relieve any recipient of the assistance of any obligation
        to obtain any required State or local permit or approval with
        respect to the project;
            ``(2) limit the right of any unit of State or local government
        to approve or regulate any rate of return on private equity
        invested in the project; or
            ``(3) otherwise supersede any State or local law (including any
        regulation) applicable to the construction or operation of the
        project.
    ``Sec. 607. Regulations
        ``The Secretary may promulgate such regulations as the Secretary
    determines to be appropriate to carry out this chapter.
    ``Sec. 608. Funding
        ``(a) Funding.--
            ``(1) Spending and borrowing authority.--Spending and borrowing
        authority for a fiscal year to enter into Federal credit
        instruments shall be promptly apportioned to the Secretary on a
        fiscal-year basis.
            ``(2) Reestimates.--If the subsidy cost of a Federal credit
        instrument is reestimated, the cost increase or decrease of the
        reestimate shall be borne by, or benefit, the general fund of the
        Treasury, consistent with section 504(f) the Congressional Budget
        Act of 1974 (2 U.S.C. 661c(f)).
            ``(3) Rural set-aside.--
                ``(A) In general.--Of the total amount of funds made
            available to carry out this chapter for each fiscal year, not
            more than 10 percent shall be set aside for rural
            infrastructure projects.
                ``(B) Reobligation.--Any amounts set aside under
            subparagraph (A) that remain unobligated by June 1 of the
            fiscal year for which the amounts were set aside shall be
            available for obligation by the Secretary on projects other
            than rural infrastructure projects.
            ``(4) Redistribution of authorized funding.--
                ``(A) In general.--Beginning in fiscal year 2014, on April
            1 of each fiscal year, if the cumulative unobligated and
            uncommitted balance of funding available exceeds 75 percent of
            the amount made available to carry out this chapter for that
            fiscal year, the Secretary shall distribute to the States the
            amount of funds and associated obligation authority in excess
            of that amount.
                ``(B) Distribution.--The amounts and obligation authority
            distributed under this paragraph shall be distributed, in the
            same manner as obligation authority is distributed to the
            States for the fiscal year, based on the proportion that--
                    ``(i) the relative share of each State of obligation
                authority for the fiscal year; bears to
                    ``(ii) the total amount of obligation authority
                distributed to all States for the fiscal year.
                ``(C) Purpose.--Funds distributed under subparagraph (B)
            shall be available for any purpose described in section 133(b).
            ``(5) Availability.--Amounts made available to carry out this
        chapter shall remain available until expended.
            ``(6) Administrative costs.--Of the amounts made available to
        carry out this chapter, the Secretary may use not more than 0.50
        percent for each fiscal year for the administration of this
        chapter.
        ``(b) Contract Authority.--
            ``(1) In general.--Notwithstanding any other provision of law,
        execution of a term sheet by the Secretary of a Federal credit
        instrument that uses amounts made available under this chapter
        shall impose on the United States a contractual obligation to fund
        the Federal credit investment.
            ``(2) Availability.--Amounts made available to carry out this
        chapter for a fiscal year shall be available for obligation on
        October 1 of the fiscal year.
    ``Sec. 609. Reports to Congress
        ``(a) In General.--On June 1, 2012, and every 2 years thereafter,
    the Secretary shall submit to Congress a report summarizing the
    financial performance of the projects that are receiving, or have
    received, assistance under this chapter (other than section 610),
    including a recommendation as to whether the objectives of this chapter
    (other than section 610) are best served by--
            ``(1) continuing the program under the authority of the
        Secretary;
            ``(2) establishing a Federal corporation or federally sponsored
        enterprise to administer the program; or
            ``(3) phasing out the program and relying on the capital
        markets to fund the types of infrastructure investments assisted by
        this chapter (other than section 610) without Federal
        participation.
        ``(b) Application Process Report.--
            ``(1) In general.--Not later than December 1, 2012, and
        annually thereafter, the Secretary shall submit 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 that includes a list of all of the letters of interest and
        applications received from project sponsors for assistance under
        this chapter (other than section 610) during the preceding fiscal
        year.
            ``(2) Inclusions.--
                ``(A) In general.--Each report under paragraph (1) shall
            include, at a minimum, a description of, with respect to each
            letter of interest and application included in the report--
                    ``(i) the date on which the letter of interest or
                application was received;
                    ``(ii) the date on which a notification was provided to
                the project sponsor regarding whether the application was
                complete or incomplete;
                    ``(iii) the date on which a revised and completed
                application was submitted (if applicable);
                    ``(iv) the date on which a notification was provided to
                the project sponsor regarding whether the project was
                approved or disapproved; and
                    ``(v) if the project was not approved, the reason for
                the disapproval.
                ``(B) Correspondence.--Each report under paragraph (1)
            shall include copies of any correspondence provided to the
            project sponsor in accordance with section 602(d).''.

                       DIVISION B--PUBLIC TRANSPORTATION

    SEC. 20001. SHORT TITLE.
        This division may be cited as the ``Federal Public Transportation
    Act of 2012''.
    SEC. 20002. REPEALS.
        (a) Chapter 53.--Chapter 53 of title 49, United States Code, is
    amended by striking sections 5308, 5316, 5317, 5320, and 5328.
        (b) Transportation Equity Act for the 21st Century.--Section 3038
    of the Transportation Equity Act for the 21st Century (49 U.S.C. 5310
    note) is repealed.
        (c) SAFETEA-LU.--The following provisions are repealed:
            (1) Section 3009(i) of SAFETEA-LU (Public Law 109-59; 119 Stat.
        1572).
            (2) Section 3011(c) of SAFETEA-LU (49 U.S.C. 5309 note).
            (3) Section 3012(b) of SAFETEA-LU (49 U.S.C. 5310 note).
            (4) Section 3045 of SAFETEA-LU (49 U.S.C. 5308 note).
            (5) Section 3046 of SAFETEA-LU (49 U.S.C. 5338 note).
    SEC. 20003. POLICIES AND PURPOSES.
        Section 5301 of title 49, United States Code, is amended to read as
    follows:
    ``Sec. 5301. Policies and purposes
        ``(a) Declaration of Policy.--It is in the interest of the United
    States, including the economic interest of the United States, to foster
    the development and revitalization of public transportation systems
    with the cooperation of both public transportation companies and
    private companies engaged in public transportation.
        ``(b) General Purposes.--The purposes of this chapter are to--
            ``(1) provide funding to support public transportation;
            ``(2) improve the development and delivery of capital projects;
            ``(3) establish standards for the state of good repair of
        public transportation infrastructure and vehicles;
            ``(4) promote continuing, cooperative, and comprehensive
        planning that improves the performance of the transportation
        network;
            ``(5) establish a technical assistance program to assist
        recipients under this chapter to more effectively and efficiently
        provide public transportation service;
            ``(6) continue Federal support for public transportation
        providers to deliver high quality service to all users, including
        individuals with disabilities, seniors, and individuals who depend
        on public transportation;
            ``(7) support research, development, demonstration, and
        deployment projects dedicated to assisting in the delivery of
        efficient and effective public transportation service; and
            ``(8) promote the development of the public transportation
        workforce.''.
    SEC. 20004. DEFINITIONS.
        Section 5302 of title 49, United States Code, is amended to read as
    follows:
    ``Sec. 5302. Definitions
        ``Except as otherwise specifically provided, in this chapter the
    following definitions apply:
            ``(1) Associated transit improvement.--The term `associated
        transit improvement' means, with respect to any project or an area
        to be served by a project, projects that are designed to enhance
        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 public transportation buildings, structures, and
            facilities (including historic bus and railroad facilities)
            intended for use in public transportation service;
                ``(B) bus shelters;
                ``(C) landscaping and streetscaping, including benches,
            trash receptacles, and street lights;
                ``(D) pedestrian access and walkways;
                ``(E) bicycle access, including bicycle storage facilities
            and installing equipment for transporting bicycles on public
            transportation vehicles;
                ``(F) signage; or
                ``(G) enhanced access for persons with disabilities to
            public transportation.
            ``(2) Bus rapid transit system.--The term `bus rapid transit
        system' means a bus transit system--
                ``(A) in which the majority of each line operates in a
            separated right-of-way dedicated for public transportation use
            during peak periods; and
                ``(B) that includes features that emulate the services
            provided by rail fixed guideway public transportation systems,
            including--
                    ``(i) defined stations;
                    ``(ii) traffic signal priority for public
                transportation vehicles;
                    ``(iii) short headway bidirectional services for a
                substantial part of weekdays and weekend days; and
                    ``(iv) any other features the Secretary may determine
                are necessary to produce high-quality public transportation
                services that emulate the services provided by rail fixed
                guideway public transportation systems.
            ``(3) Capital project.--The term `capital project' means a
        project for--
                ``(A) acquiring, constructing, supervising, or inspecting
            equipment or a facility for use in 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;
                ``(B) rehabilitating a bus;
                ``(C) remanufacturing a bus;
                ``(D) overhauling rail rolling stock;
                ``(E) preventive maintenance;
                ``(F) leasing equipment or a facility for use in 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 joint development improvement that--
                    ``(i) enhances economic development or incorporates
                private investment, such as commercial and residential
                development;
                    ``(ii)(I) enhances the effectiveness of public
                transportation and is related physically or functionally to
                public transportation; or
                    ``(II) establishes new or enhanced coordination between
                public transportation and other transportation;
                    ``(iii) provides a fair share of revenue that will be
                used for public transportation;
                    ``(iv) provides that a person making an agreement to
                occupy space in a facility constructed under this paragraph
                shall pay a fair share of the costs of the facility through
                rental payments and other means;
                    ``(v) may include--

                        ``(I) property acquisition;
                        ``(II) demolition of existing structures;
                        ``(III) site preparation;
                        ``(IV) utilities;
                        ``(V) building foundations;
                        ``(VI) walkways;
                        ``(VII) pedestrian and bicycle access to a public
                    transportation facility;
                        ``(VIII) construction, renovation, and improvement
                    of intercity bus and intercity rail stations and
                    terminals;
                        ``(IX) renovation and improvement of historic
                    transportation facilities;
                        ``(X) open space;
                        ``(XI) safety and security equipment and facilities
                    (including lighting, surveillance, and related
                    intelligent transportation system applications);
                        ``(XII) facilities that incorporate community
                    services such as daycare or health care;
                        ``(XIII) a capital project for, and improving,
                    equipment or a facility for an intermodal transfer
                    facility or transportation mall; and
                        ``(XIV) construction of space for commercial uses;
                    and

                    ``(vi) does not include outfitting of commercial space
                (other than an intercity bus or rail station or terminal)
                or a part of a public facility not related to public
                transportation;
                ``(H) the introduction of new technology, through
            innovative and improved products, into public transportation;
                ``(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) establishing a debt service reserve, made up of
            deposits with a bondholder's trustee, to ensure the timely
            payment of principal and interest on bonds issued by a grant
            recipient to finance an eligible project under this chapter;
                ``(K) 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; or
                ``(L) associated capital maintenance, including--
                    ``(i) equipment, tires, tubes, and material, each
                costing at least .5 percent of the current fair market
                value of rolling stock comparable to the rolling stock for
                which the equipment, tires, tubes, and material are to be
                used; and
                    ``(ii) reconstruction of equipment and material, each
                of which after reconstruction will have a fair market value
                of at least .5 percent of the current fair market value of
                rolling stock comparable to the rolling stock for which the
                equipment and material will be used.
            ``(4) Designated recipient.--The term `designated recipient'
        means--
                ``(A) an entity designated, in accordance with the planning
            process under sections 5303 and 5304, by the Governor of a
            State, responsible local officials, and publicly owned
            operators of public transportation, to receive and apportion
            amounts under section 5336 to urbanized areas of 200,000 or
            more in population; 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 public transportation.
            ``(5) Disability.--The term `disability' has the same meaning
        as in section 3(1) of the Americans with Disabilities Act of 1990
        (42 U.S.C. 12102).
            ``(6) Emergency regulation.--The term `emergency regulation'
        means a regulation--
                ``(A) that is effective temporarily before the expiration
            of the otherwise specified periods of time for public notice
            and comment under section 5334(c); and
                ``(B) prescribed by the Secretary as the result of a
            finding that a delay in the effective date of the regulation--
                    ``(i) would injure seriously an important public
                interest;
                    ``(ii) would frustrate substantially legislative policy
                and intent; or
                    ``(iii) would damage seriously a person or class
                without serving an important public interest.
            ``(7) Fixed guideway.--The term `fixed guideway' means a public
        transportation facility--
                ``(A) using and occupying a separate right-of-way for the
            exclusive use of public transportation;
                ``(B) using rail;
                ``(C) using a fixed catenary system;
                ``(D) for a passenger ferry system; or
                ``(E) for a bus rapid transit system.
            ``(8) Governor.--The term `Governor'--
                ``(A) means the Governor of a State, the mayor of the
            District of Columbia, and the chief executive officer of a
            territory of the United States; and
                ``(B) includes the designee of the Governor.
            ``(9) Job access and reverse commute project.--
                ``(A) In general.--The term `job access and reverse commute
            project' means a transportation project to finance planning,
            capital, and operating costs that support the development and
            maintenance of transportation services designed to transport
            welfare recipients and eligible low-income individuals to and
            from jobs and activities related to their employment, including
            transportation projects that facilitate the provision of public
            transportation services from urbanized areas and rural areas to
            suburban employment locations.
                ``(B) Definitions.--In this paragraph:
                    ``(i) Eligible low-income individual.--The term
                `eligible low-income individual' means an individual whose
                family income is at or below 150 percent of the poverty
                line (as that term is defined in section 673(2) of the
                Community Service Block Grant Act (42 U.S.C. 9902(2)),
                including any revision required by that section) for a
                family of the size involved.
                    ``(ii) Welfare recipient.--The term `welfare recipient'
                means an individual who has received assistance under a
                State or tribal program funded under part A of title IV of
                the Social Security Act (42 U.S.C. 601 et seq.) at any time
                during the 3-year period before the date on which the
                applicant applies for a grant under section 5307 or 5311.
            ``(10) Local governmental authority.--The term `local
        governmental authority' includes--
                ``(A) a political subdivision of a State;
                ``(B) an authority of at least 1 State or political
            subdivision of a State;
                ``(C) an Indian tribe; and
                ``(D) a public corporation, board, or commission
            established under the laws of a State.
            ``(11) Low-income individual.--The term `low-income individual'
        means an individual whose family income is at or below 150 percent
        of the poverty line, as that term is defined in section 673(2) of
        the Community Services Block Grant Act (42 U.S.C. 9902(2)),
        including any revision required by that section, for a family of
        the size involved.
            ``(12) Net project cost.--The term `net project cost' means the
        part of a project that reasonably cannot be financed from revenues.
            ``(13) 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 public transportation in
            the United States before the date of production of the model;
            or
                ``(B) used in public transportation in the United States,
            but being produced with a major change in configuration or
            components.
            ``(14) Public transportation.--The term `public
        transportation'--
                ``(A) means regular, continuing shared-ride surface
            transportation services that are open to the general public or
            open to a segment of the general public defined by age,
            disability, or low income; and
                ``(B) does not include--
                    ``(i) intercity passenger rail transportation provided
                by the entity described in chapter 243 (or a successor to
                such entity);
                    ``(ii) intercity bus service;
                    ``(iii) charter bus service;
                    ``(iv) school bus service;
                    ``(v) sightseeing service;
                    ``(vi) courtesy shuttle service for patrons of one or
                more specific establishments; or
                    ``(vii) intra-terminal or intra-facility shuttle
                services.
            ``(15) Regulation.--The term `regulation' means any part of a
        statement of general or particular applicability of the Secretary
        designed to carry out, interpret, or prescribe law or policy in
        carrying out this chapter.
            ``(16) Rural area.--The term `rural area' means an area
        encompassing a population of less than 50,000 people that has not
        been designated in the most recent decennial census as an
        `urbanized area' by the Secretary of Commerce.
            ``(17) Secretary.--The term `Secretary' means the Secretary of
        Transportation.
            ``(18) Senior.--The term `senior' means an individual who is 65
        years of age or older.
            ``(19) State.--The term `State' means a State of the United
        States, the District of Columbia, Puerto Rico, the Northern Mariana
        Islands, Guam, American Samoa, and the Virgin Islands.
            ``(20) State of good repair.--The term `state of good repair'
        has the meaning given that term by the Secretary, by rule, under
        section 5326(b).
            ``(21) Transit.--The term `transit' means public
        transportation.
            ``(22) 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 public transportation system to
        serve individuals in the locality.
            ``(23) Urbanized area.--The term `urbanized area' means an area
        encompassing a population of not less than 50,000 people that has
        been defined and designated in the most recent decennial census as
        an `urbanized area' by the Secretary of Commerce.''.
    SEC. 20005. METROPOLITAN TRANSPORTATION PLANNING.
        (a) Amendment.--Section 5303 of title 49, United States Code, is
    amended to read as follows:
    ``Sec. 5303. Metropolitan transportation planning
        ``(a) Policy.--It is in the national interest--
            ``(1) 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 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) to 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 subsection (h) and section 5304(d).
        ``(b) Definitions.--In this section and section 5304, 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 subsection (e).
            ``(2) Metropolitan planning organization.--The term
        `metropolitan planning organization' means the policy board of an
        organization established as a result of the designation process
        under subsection (d).
            ``(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) Regional transportation planning organization.--The term
        `regional transportation planning organization' means a policy
        board of an organization established as the result of a designation
        under section 5304(l).
            ``(6) TIP.--The term `TIP' means a transportation improvement
        program developed by a metropolitan planning organization under
        subsection (j).
            ``(7) Urbanized area.--The term `urbanized area' means a
        geographic area with a population of 50,000 or more, as determined
        by the Bureau of the Census.
        ``(c) General Requirements.--
            ``(1) Development of long-range plans and tips.--To accomplish
        the objectives in subsection (a), metropolitan planning
        organizations designated under subsection (d), in cooperation with
        the State and public transportation operators, shall develop long-
        range transportation plans and transportation improvement programs
        through a performance-driven, outcome-based approach to planning
        for metropolitan 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.
        ``(d) 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 determined
            by the Bureau of the Census); or
                ``(B) in accordance with procedures established by
            applicable State or local law.
            ``(2) Structure.--Not later than 2 years after the date of
        enactment of the Federal Public Transportation Act of 2012, each
        metropolitan planning organization that serves an area designated
        as a transportation management area 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 representation by providers of public transportation;
            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--
                ``(A) to develop the plans and TIPs for adoption by a
            metropolitan planning organization; and
                ``(B) to 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) In general.--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 determined by the Bureau of the Census) as appropriate to
            carry out this section.
                ``(B) Restructuring.--A metropolitan planning organization
            may be restructured to meet the requirements of paragraph (2)
            without undertaking a redesignation.
            ``(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.
        ``(e) 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.--
                ``(A) In general.--Notwithstanding paragraph (2), except as
            provided in subparagraph (B), 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 the SAFETEA-LU, the boundaries of the
            metropolitan planning area in existence as of such date of
            enactment shall be retained.
                ``(B) Exception.--The boundaries described in subparagraph
            (A) may be adjusted by agreement of the Governor and affected
            metropolitan planning organizations in the manner described in
            subsection (d)(5).
            ``(5) New metropolitan planning areas in nonattainment.--In the
        case of an urbanized area designated after the date of enactment of
        the SAFETEA-LU, 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 (d)(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.
        ``(f) 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) Reservation of rights.--The right to alter, amend, or
        repeal interstate compacts entered into under this subsection is
        expressly reserved.
        ``(g) 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 (42 U.S.C. 7401 et seq.),
        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 under this chapter or title
        23, 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.--
                ``(A) In general.--The Secretary shall encourage each
            metropolitan planning organization to consult with 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.
                ``(B) Requirements.--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--
                    ``(i) recipients of assistance under this chapter;
                    ``(ii) 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
                    ``(iii) recipients of assistance under section 204 of
                title 23.
        ``(h) Scope of Planning Process.--
            ``(1) In general.--The metropolitan planning process for a
        metropolitan planning 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 of the transportation system for
            motorized and nonmotorized users;
                ``(C) increase the security of the transportation system
            for motorized and nonmotorized users;
                ``(D) increase the accessibility and mobility of people and
            for freight;
                ``(E) 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;
                ``(F) enhance the integration and connectivity of the
            transportation system, across and between modes, for people and
            freight;
                ``(G) promote efficient system management and operation;
            and
                ``(H) emphasize the preservation of the existing
            transportation system.
            ``(2) Performance-based approach.--
                ``(A) In general.--The metropolitan transportation planning
            process shall provide for the establishment and use of a
            performance-based approach to transportation decisionmaking to
            support the national goals described in section 150(b) of title
            23 and the general purposes described in section 5301.
                ``(B) Performance targets.--
                    ``(i) Surface transportation performance targets.--

                        ``(I) In general.--Each metropolitan planning
                    organization shall establish performance targets that
                    address the performance measures described in section
                    150(c) of title 23, where applicable, to use in
                    tracking progress towards attainment of critical
                    outcomes for the region of the metropolitan planning
                    organization.
                        ``(II) Coordination.--Selection of performance
                    targets by a metropolitan planning organization shall
                    be coordinated with the relevant State to ensure
                    consistency, to the maximum extent practicable.

                    ``(ii) Public transportation performance targets.--
                Selection of performance targets by a metropolitan planning
                organization shall be coordinated, to the maximum extent
                practicable, with providers of public transportation to
                ensure consistency with sections 5326(c) and 5329(d).
                ``(C) Timing.--Each metropolitan planning organization
            shall establish the performance targets under subparagraph (B)
            not later than 180 days after the date on which the relevant
            State or provider of public transportation establishes the
            performance targets.
                ``(D) Integration of other performance-based plans.--A
            metropolitan planning organization shall integrate in the
            metropolitan transportation planning process, directly or by
            reference, the goals, objectives, performance measures, and
            targets described in other State transportation plans and
            transportation processes, as well as any plans developed by
            recipients of assistance under this chapter, required as part
            of a performance-based program.
            ``(3) Failure to consider factors.--The failure to consider any
        factor specified in paragraphs (1) and (2) shall not be reviewable
        by any court under this chapter, title 23, 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.
        ``(i) Development of Transportation Plan.--
            ``(1) Requirements.--
                ``(A) In general.--Each metropolitan planning organization
            shall prepare and update a transportation plan for its
            metropolitan planning area in accordance with the requirements
            of this subsection.
                ``(B) Frequency.--
                    ``(i) In general.--The metropolitan planning
                organization shall prepare and update such plan every 4
                years (or more frequently, if the metropolitan planning
                organization elects to update more frequently) in the case
                of each of the following:

                        ``(I) Any area designated as nonattainment, as
                    defined in section 107(d) of the Clean Air Act (42
                    U.S.C. 7407(d)).
                        ``(II) Any area that was nonattainment and
                    subsequently designated to attainment in accordance
                    with section 107(d)(3) of that Act (42 U.S.C.
                    7407(d)(3)) and that is subject to a maintenance plan
                    under section 175A of that Act (42 U.S.C. 7505a).

                    ``(ii) Other areas.--In the case of any other area
                required to have a transportation plan in accordance with
                the requirements of this subsection, the metropolitan
                planning organization shall prepare and update such plan
                every 5 years unless the metropolitan planning organization
                elects to update more frequently.
            ``(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) Identification of transportation facilities.--
                    ``(i) In general.--An identification of transportation
                facilities (including major roadways, transit, multimodal
                and intermodal facilities, nonmotorized transportation
                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.
                    ``(ii) Factors.--In formulating the transportation
                plan, the metropolitan planning organization shall consider
                factors described in subsection (h) as the factors relate
                to a 20-year forecast period.
                ``(B) Performance measures and targets.--A description of
            the performance measures and performance targets used in
            assessing the performance of the transportation system in
            accordance with subsection (h)(2).
                ``(C) System performance report.--A system performance
            report and subsequent updates evaluating the condition and
            performance of the transportation system with respect to the
            performance targets described in subsection (h)(2), including--
                    ``(i) progress achieved by the metropolitan planning
                organization in meeting the performance targets in
                comparison with system performance recorded in previous
                reports; and
                    ``(ii) for metropolitan planning organizations that
                voluntarily elect to develop multiple scenarios, an
                analysis of how the preferred scenario has improved the
                conditions and performance of the transportation system and
                how changes in local policies and investments have impacted
                the costs necessary to achieve the identified performance
                targets.
                ``(D) Mitigation activities.--
                    ``(i) In general.--A long-range transportation plan
                shall include a discussion of types of potential
                environmental mitigation activities and potential areas to
                carry out these activities, including activities that may
                have the greatest potential to restore and maintain the
                environmental functions affected by the plan.
                    ``(ii) Consultation.--The discussion shall be developed
                in consultation with Federal, State, and tribal wildlife,
                land management, and regulatory agencies.
                ``(E) Financial plan.--
                    ``(i) In general.--A financial plan that--

                        ``(I) demonstrates how the adopted transportation
                    plan can be implemented;
                        ``(II) indicates resources from public and private
                    sources that are reasonably expected to be made
                    available to carry out the plan; and
                        ``(III) recommends any additional financing
                    strategies for needed projects and programs.

                    ``(ii) Inclusions.--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.
                    ``(iii) Cooperative development.--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.
                ``(F) Operational and management strategies.--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.
                ``(G) Capital investment and other strategies.--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.
                ``(H) Transportation and transit enhancement activities.--
            Proposed transportation and transit enhancement activities.
            ``(3) Coordination with clean air act agencies.--In
        metropolitan areas that are in nonattainment 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 a transportation plan with the process for development of the
        transportation control measures of the State implementation plan
        required by that Act.
            ``(4) Optional scenario development.--
                ``(A) In general.--A metropolitan planning organization
            may, while fitting the needs and complexity of its community,
            voluntarily elect to develop multiple scenarios for
            consideration as part of the development of the metropolitan
            transportation plan, in accordance with subparagraph (B).
                ``(B) Recommended components.--A metropolitan planning
            organization that chooses to develop multiple scenarios under
            subparagraph (A) shall be encouraged to consider--
                    ``(i) potential regional investment strategies for the
                planning horizon;
                    ``(ii) assumed distribution of population and
                employment;
                    ``(iii) a scenario that, to the maximum extent
                practicable, maintains baseline conditions for the
                performance measures identified in subsection (h)(2);
                    ``(iv) a scenario that improves the baseline conditions
                for as many of the performance measures identified in
                subsection (h)(2) as possible;
                    ``(v) revenue constrained scenarios based on the total
                revenues expected to be available over the forecast period
                of the plan; and
                    ``(vi) estimated costs and potential revenues available
                to support each scenario.
                ``(C) Metrics.--In addition to the performance measures
            identified in section 150(c) of title 23, metropolitan planning
            organizations may evaluate scenarios developed under this
            paragraph using locally-developed measures.
            ``(5) Consultation.--
                ``(A) In general.--In each metropolitan area, the
            metropolitan planning organization shall consult, as
            appropriate, with State and local agencies responsible for land
            use management, natural resources, environmental protection,
            conservation, and historic preservation concerning the
            development of a long-range transportation plan.
                ``(B) Issues.--The consultation shall involve, as
            appropriate--
                    ``(i) comparison of transportation plans with State
                conservation plans or maps, if available; or
                    ``(ii) comparison of transportation plans to
                inventories of natural or historic resources, if available.
            ``(6) Participation by interested parties.--
                ``(A) In general.--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.
                ``(B) Contents of participation plan.--A participation
            plan--
                    ``(i) shall be developed in consultation with all
                interested parties; and
                    ``(ii) shall provide that all interested parties have
                reasonable opportunities to comment on the contents of the
                transportation plan.
                ``(C) Methods.--In carrying out subparagraph (A), the
            metropolitan planning organization shall, to the maximum extent
            practicable--
                    ``(i) hold any public meetings at convenient and
                accessible locations and times;
                    ``(ii) employ visualization techniques to describe
                plans; and
                    ``(iii) make public information available in
                electronically accessible format and means, such as the
                World Wide Web, as appropriate to afford reasonable
                opportunity for consideration of public information under
                subparagraph (A).
            ``(7) Publication.--A transportation plan involving Federal
        participation shall be published or otherwise made readily
        available by the metropolitan planning organization for public
        review, including (to the maximum extent practicable) in
        electronically accessible formats and means, such as the World Wide
        Web, approved by the metropolitan planning organization and
        submitted for information purposes to the Governor at such times
        and in such manner as the Secretary shall establish.
            ``(8) Selection of projects from illustrative list.--
        Notwithstanding paragraph (2)(C), 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)(C).
        ``(j) 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 metropolitan planning area that--
                    ``(i) contains projects consistent with the current
                metropolitan transportation plan;
                    ``(ii) reflects the investment priorities established
                in the current metropolitan transportation plan; and
                    ``(iii) once implemented, is designed to make progress
                toward achieving the performance targets established under
                subsection (h)(2).
                ``(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 an opportunity for participation by interested parties
            in the development of the program, in accordance with
            subsection (i)(5).
                ``(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--
                    ``(i) updated at least once every 4 years; and
                    ``(ii) 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) Performance target achievement.--The transportation
            improvement program shall include, to the maximum extent
            practicable, a description of the anticipated effect of the
            transportation improvement program toward achieving the
            performance targets established in the metropolitan
            transportation plan, linking investment priorities to those
            performance targets.
            ``(3) Included projects.--
                ``(A) Projects under this chapter and title 23.--A TIP
            developed under this subsection for a metropolitan area shall
            include the projects within the area that are proposed for
            funding under this chapter and chapter 1 of title 23.
                ``(B) Projects under chapter 2 of title 23.--
                    ``(i) Regionally significant projects.--Regionally
                significant projects proposed for funding under chapter 2
                of title 23 shall be identified individually in the
                transportation improvement program.
                    ``(ii) Other projects.--Projects proposed for funding
                under chapter 2 of title 23 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 (i) 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 or the identified phase within the
            time period contemplated for completion of the project or the
            identified phase.
            ``(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 an
        opportunity for participation by interested parties in the
        development of the program, in accordance with subsection (i)(5).
            ``(5) Selection of projects.--
                ``(A) In general.--Except as otherwise provided in
            subsection (k)(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 this chapter,
                    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.--
                    ``(i) In general.--An annual listing of projects,
                including investments in pedestrian walkways and bicycle
                transportation facilities, for which Federal funds have
                been obligated in the preceding year shall be published or
                otherwise made available by the cooperative effort of the
                State, transit operator, and metropolitan planning
                organization for public review.
                    ``(ii) Requirement.--The listing shall be consistent
                with the categories identified in the TIP.
        ``(k) 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 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.--
                ``(A) In general.--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 this
            chapter and title 23 through the use of travel demand reduction
            and operational management strategies.
                ``(B) Schedule.--The Secretary shall establish an
            appropriate phase-in schedule for compliance with the
            requirements of this section but no sooner than 1 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)
            or under this chapter 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 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 this chapter and title 23.
                    ``(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.
        ``(l) Report on Performance-based Planning Processes.--
            ``(1) In general.--The Secretary shall submit to Congress a
        report on the effectiveness of the performance-based planning
        processes of metropolitan planning organizations under this
        section, taking into consideration the requirements of this
        subsection
            ``(2) Report.--Not later than 5 years after the date of
        enactment of the Federal Public Transportation Act of 2012, the
        Secretary shall submit to Congress a report evaluating--
                ``(A) the overall effectiveness of performance-based
            planning as a tool for guiding transportation investments;
                ``(B) the effectiveness of the performance-based planning
            process of each metropolitan planning organization under this
            section;
                ``(C) the extent to which metropolitan planning
            organizations have achieved, or are currently making
            substantial progress toward achieving, the performance targets
            specified under this section and whether metropolitan planning
            organizations are developing meaningful performance targets;
            and
                ``(D) the technical capacity of metropolitan planning
            organizations that operate within a metropolitan planning area
            of less than 200,000 and their ability to carry out the
            requirements of this section.
            ``(3) Publication.--The report under paragraph (2) shall be
        published or otherwise made available in electronically accessible
        formats and means, including on the Internet.
        ``(m) 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.).
        ``(n) Additional Requirements for Certain Nonattainment Areas.--
            ``(1) In general.--Notwithstanding any other provisions of this
        chapter or title 23, for transportation management areas classified
        as nonattainment for ozone or carbon monoxide pursuant to the Clean
        Air Act (42 U.S.C. 7401 et seq.), 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 (e).
        ``(o) 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
    chapter or title 23.
        ``(p) Funding.--Funds set aside under section 104(f) of title 23 or
    section 5305(g) shall be available to carry out this section.
        ``(q) Continuation of Current Review Practice.--Since plans and
    TIPs described in this section are subject to a reasonable opportunity
    for public comment, since 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 since decisions by the Secretary
    concerning plans and TIPs described in this section have not been
    reviewed under that 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 that
    Act.''.
        (b) Pilot Program for Transit-oriented Development Planning.--
            (1) Definitions.--In this subsection the following definitions
        shall apply:
                (A) Eligible project.--The term ``eligible project'' means
            a new fixed guideway capital project or a core capacity
            improvement project, as those terms are defined in section 5309
            of title 49, United States Code, as amended by this division.
                (B) Secretary.--The term ``Secretary'' means the Secretary
            of Transportation.
            (2) General authority.--The Secretary may make grants under
        this subsection to a State or local governmental authority to
        assist in financing comprehensive planning associated with an
        eligible project that seeks to--
                (A) enhance economic development, ridership, and other
            goals established during the project development and
            engineering processes;
                (B) facilitate multimodal connectivity and accessibility;
                (C) increase access to transit hubs for pedestrian and
            bicycle traffic;
                (D) enable mixed-use development;
                (E) identify infrastructure needs associated with the
            eligible project; and
                (F) include private sector participation.
            (3) Eligibility.--A State or local governmental authority that
        desires to participate in the program under this subsection shall
        submit to the Secretary an application that contains, at a
        minimum--
                (A) identification of an eligible project;
                (B) a schedule and process for the development of a
            comprehensive plan;
                (C) a description of how the eligible project and the
            proposed comprehensive plan advance the metropolitan
            transportation plan of the metropolitan planning organization;
                (D) proposed performance criteria for the development and
            implementation of the comprehensive plan; and
                (E) identification of--
                    (i) partners;
                    (ii) availability of and authority for funding; and
                    (iii) potential State, local or other impediments to
                the implementation of the comprehensive plan.
    SEC. 20006. STATEWIDE AND NONMETROPOLITAN TRANSPORTATION PLANNING.
        Section 5304 of title 49, United States Code, is amended to read as
    follows:
    ``Sec. 5304. Statewide and nonmetropolitan transportation planning
        ``(a) General Requirements.--
            ``(1) Development of plans and programs.--Subject to section
        5303, to accomplish the objectives stated in section 5303(a), each
        State shall develop a statewide transportation plan and a statewide
        transportation improvement program for all areas of the State.
            ``(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 5303(a) 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
        5303 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.--
            ``(1) In general.--Two or more States may 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 related to interstate areas and
        localities in the States and establishing authorities the States
        consider desirable for making the agreements and compacts
        effective.
            ``(2) Reservation of rights.--The right to alter, amend, or
        repeal interstate compacts entered into under this subsection is
        expressly reserved.
        ``(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 of the transportation system for
            motorized and nonmotorized users;
                ``(C) increase the security of the transportation system
            for motorized and nonmotorized users;
                ``(D) increase the accessibility and mobility of people and
            freight;
                ``(E) 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;
                ``(F) enhance the integration and connectivity of the
            transportation system, across and between modes throughout the
            State, for people and freight;
                ``(G) promote efficient system management and operation;
            and
                ``(H) emphasize the preservation of the existing
            transportation system.
            ``(2) Performance-based approach.--
                ``(A) In general.--The statewide transportation planning
            process shall provide for the establishment and use of a
            performance-based approach to transportation decisionmaking to
            support the national goals described in section 150(b) of title
            23 and the general purposes described in section 5301.
                ``(B) Performance targets.--
                    ``(i) Surface transportation performance targets.--

                        ``(I) In general.--Each State shall establish
                    performance targets that address the performance
                    measures described in section 150(c) of title 23, where
                    applicable, to use in tracking progress towards
                    attainment of critical outcomes for the State.
                        ``(II) Coordination.--Selection of performance
                    targets by a State shall be coordinated with the
                    relevant metropolitan planning organizations to ensure
                    consistency, to the maximum extent practicable.

                    ``(ii) Public transportation performance targets.--In
                urbanized areas with a population of fewer than 200,000
                individuals, as calculated according to the most recent
                decennial census, and not represented by a metropolitan
                planning organization, selection of performance targets by
                a State shall be coordinated, to the maximum extent
                practicable, with providers of public transportation to
                ensure consistency with sections 5326(c) and 5329(d).
                ``(C) Integration of other performance-based plans.--A
            State shall integrate into the statewide transportation
            planning process, directly or by reference, the goals,
            objectives, performance measures, and targets described in this
            paragraph, in other State transportation plans and
            transportation processes, as well as any plans developed
            pursuant to title 23 by providers of public transportation in
            urbanized areas with a population of fewer than 200,000
            individuals, as calculated according to the most recent
            decennial census, and not represented by a metropolitan
            planning organization, required as part of a performance-based
            program.
                ``(D) Use of performance measures and targets.--The
            performance measures and targets established under this
            paragraph shall be considered by a State when developing
            policies, programs, and investment priorities reflected in the
            statewide transportation plan and statewide transportation
            improvement program.
            ``(3) Failure to consider factors.--The failure to take into
        consideration the factors specified in paragraphs (1) and (2) shall
        not be subject to review by any court under this chapter, title 23,
        subchapter II of chapter 5 of title 5, or chapter 7 of title 5 in
        any matter affecting a statewide transportation plan, a statewide
        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, at a minimum--
            ``(1) with respect to nonmetropolitan areas, cooperate with
        affected local officials with responsibility for transportation or,
        if applicable, through regional transportation planning
        organizations described in subsection (l);
            ``(2) consider the concerns of Indian tribal governments and
        Federal land management agencies that have jurisdiction over land
        within the boundaries of the State; and
            ``(3) consider 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 5303.
                ``(B) Nonmetropolitan areas.--
                    ``(i) In general.--With respect to nonmetropolitan
                areas, the statewide transportation plan shall be developed
                in cooperation with affected nonmetropolitan officials with
                responsibility for transportation or, if applicable,
                through regional transportation planning organizations
                described in subsection (l).
                    ``(ii) Role of secretary.--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.
                ``(D) Consultation, comparison, and consideration.--
                    ``(i) In general.--The long-range transportation plan
                shall be developed, as appropriate, in consultation with
                State, tribal, and local agencies responsible for land use
                management, natural resources, environmental protection,
                conservation, and historic preservation.
                    ``(ii) Comparison and consideration.--Consultation
                under clause (i) shall involve comparison of transportation
                plans to State and tribal conservation plans or maps, if
                available, and comparison of transportation plans to
                inventories of natural or historic resources, if available.
            ``(3) Participation by interested parties.--
                ``(A) In general.--In developing the statewide
            transportation plan, the State shall provide to--
                    ``(i) nonmetropolitan local elected officials, or, if
                applicable, through regional transportation planning
                organizations described in subsection (l), an opportunity
                to participate in accordance with subparagraph (B)(i); and
                    ``(ii) 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 a reasonable opportunity to comment on
                the proposed plan.
                ``(B) Methods.--In carrying out subparagraph (A), the State
            shall, to the maximum extent practicable--
                    ``(i) develop and document a consultative process to
                carry out subparagraph (A)(i) that is separate and discrete
                from the public involvement process developed under clause
                (ii);
                    ``(ii) hold any public meetings at convenient and
                accessible locations and times;
                    ``(iii) employ visualization techniques to describe
                plans; and
                    ``(iv) make public information available in
                electronically accessible format and means, such as the
                World Wide Web, as appropriate to afford reasonable
                opportunity for consideration of public information under
                subparagraph (A).
            ``(4) Mitigation activities.--
                ``(A) In general.--A long-range transportation plan shall
            include a discussion of potential environmental mitigation
            activities and potential areas to carry out these activities,
            including activities that may have the greatest potential to
            restore and maintain the environmental functions affected by
            the plan.
                ``(B) Consultation.--The discussion shall be developed in
            consultation with Federal, State, and tribal wildlife, land
            management, and regulatory agencies.
            ``(5) Financial plan.--The statewide transportation plan may
        include--
                ``(A) a financial plan that--
                    ``(i) demonstrates how the adopted statewide
                transportation plan can be implemented;
                    ``(ii) indicates resources from public and private
                sources that are reasonably expected to be made available
                to carry out the plan; and
                    ``(iii) recommends any additional financing strategies
                for needed projects and programs; and
                ``(B) 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.
            ``(6) 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 (5).
            ``(7) Performance-based approach.--The statewide transportation
        plan should include--
                ``(A) a description of the performance measures and
            performance targets used in assessing the performance of the
            transportation system in accordance with subsection (d)(2); and
                ``(B) a system performance report and subsequent updates
            evaluating the condition and performance of the transportation
            system with respect to the performance targets described in
            subsection (d)(2), including progress achieved by the
            metropolitan planning organization in meeting the performance
            targets in comparison with system performance recorded in
            previous reports;
            ``(8) 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.
            ``(9) Publication of long-range transportation plans.--Each
        long-range transportation plan prepared by a State shall be
        published or otherwise made available, including (to the maximum
        extent practicable) in electronically accessible formats and means,
        such as the World Wide Web.
        ``(g) Statewide Transportation Improvement Program.--
            ``(1) Development.--
                ``(A) In general.--Each State shall develop a statewide
            transportation improvement program for all areas of the State.
                ``(B) Duration and updating of program.--Each program
            developed under subparagraph (A) shall cover a period of 4
            years and shall be updated every 4 years or more frequently if
            the Governor of the State elects to update more frequently.
            ``(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 5303.
                ``(B) Nonmetropolitan areas.--
                    ``(i) In general.--With respect to each nonmetropolitan
                area in the State, the program shall be developed in
                cooperation with affected nonmetropolitan local officials
                with responsibility for transportation or, if applicable,
                through regional transportation planning organizations
                described in subsection (l).
                    ``(ii) Role of secretary.--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) Performance target achievement.--A statewide
        transportation improvement program shall include, to the maximum
        extent practicable, a discussion of the anticipated effect of the
        statewide transportation improvement program toward achieving the
        performance targets established in the statewide transportation
        plan, linking investment priorities to those performance targets.
            ``(5) 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) Listing of projects.--
                    ``(i) In general.--An annual listing of projects for
                which funds have been obligated for the preceding year in
                each metropolitan planning area shall be published or
                otherwise made available by the cooperative effort of the
                State, transit operator, and the metropolitan planning
                organization for public review.
                    ``(ii) Funding categories.--The listing described in
                clause (i) shall be consistent with the funding categories
                identified in each metropolitan transportation improvement
                program.
                ``(C) Projects under chapter 2.--
                    ``(i) Regionally significant projects.--Regionally
                significant projects proposed for funding under chapter 2
                of title 23 shall be identified individually in the
                transportation improvement program.
                    ``(ii) Other projects.--Projects proposed for funding
                under chapter 2 of title 23 that are not determined to be
                regionally significant shall be grouped in 1 line item or
                identified individually in the transportation improvement
                program.
                ``(D) 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 a nonattainment area for ozone,
                particulate matter, or carbon monoxide under part D of
                title I of that Act (42 U.S.C. 7501 et seq.).
                ``(E) 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.
                ``(F) Financial plan.--
                    ``(i) In general.--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.
                    ``(ii) Additional projects.--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.
                ``(G) Selection of projects from illustrative list.--
                    ``(i) No required selection.--Notwithstanding
                subparagraph (F), a State shall not be required to select
                any project from the illustrative list of additional
                projects included in the financial plan under subparagraph
                (F).
                    ``(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 (F) for
                inclusion in an approved transportation improvement
                program.
                ``(H) Priorities.--The transportation improvement program
            shall reflect the priorities for programming and expenditures
            of funds, including transportation enhancement activities,
            required by this chapter and title 23.
            ``(6) 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 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 under sections 5310 and
            5311 of this chapter), by the State in cooperation with the
            affected nonmetropolitan local officials with responsibility
            for transportation or, if applicable, through regional
            transportation planning organizations described in subsection
            (l).
                ``(B) Other projects.--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 and
            5311 of this chapter 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.
            ``(7) 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.
            ``(8) 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 5303.
            ``(9) 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) Performance-based Planning Processes Evaluation.--
            ``(1) In general.--The Secretary shall establish criteria to
        evaluate the effectiveness of the performance-based planning
        processes of States, taking into consideration the following:
                ``(A) The extent to which the State is making progress
            toward achieving, the performance targets described in
            subsection (d)(2), taking into account whether the State
            developed appropriate performance targets.
                ``(B) The extent to which the State has made transportation
            investments that are efficient and cost-effective.
                ``(C) The extent to which the State--
                    ``(i) has developed an investment process that relies
                on public input and awareness to ensure that investments
                are transparent and accountable; and
                    ``(ii) provides reports allowing the public to access
                the information being collected in a format that allows the
                public to meaningfully assess the performance of the State.
            ``(2) Report.--
                ``(A) In general.--Not later than 5 years after the date of
            enactment of the Federal Public Transportation Act of 2012, the
            Secretary shall submit to Congress a report evaluating--
                    ``(i) the overall effectiveness of performance-based
                planning as a tool for guiding transportation investments;
                and
                    ``(ii) the effectiveness of the performance-based
                planning process of each State.
                ``(B) Publication.--The report under subparagraph (A) shall
            be published or otherwise made available in electronically
            accessible formats and means, including on the Internet.
        ``(i) Treatment of Certain State Laws as Congestion Management
    Processes.--For purposes of this section and section 5303, and sections
    134 and 135 of title 23, State laws, rules, or regulations pertaining
    to congestion management systems or programs may constitute the
    congestion management process under this this section and section 5303,
    and sections 134 and 135 of title 23, if the Secretary finds that the
    State laws, rules, or regulations are consistent with, and fulfill the
    intent of, the purposes of this section and section 5303, and sections
    134 and 135 of title 23, 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 that 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 the
    National Environmental Policy Act of 1969 (42 U.S.C. 4321 et seq.).
        ``(k) Schedule for Implementation.--The Secretary shall issue
    guidance on a schedule for implementation of the changes made by this
    section, taking into consideration the established planning update
    cycle for States. The Secretary shall not require a State to deviate
    from its established planning update cycle to implement changes made by
    this section. States shall reflect changes made to their transportation
    plan or transportation improvement program updates not later than 2
    years after the date of issuance of guidance by the Secretary under
    this subsection.
        ``(l) Designation of Regional Transportation Planning
    Organizations.--
            ``(1) In general.--To carry out the transportation planning
        process required by this section, a State may establish and
        designate regional transportation planning organizations to enhance
        the planning, coordination, and implementation of statewide
        strategic long-range transportation plans and transportation
        improvement programs, with an emphasis on addressing the needs of
        nonmetropolitan areas of the State.
            ``(2) Structure.--A regional transportation planning
        organization shall be established as a multijurisdictional
        organization of nonmetropolitan local officials or their designees
        who volunteer for such organization and representatives of local
        transportation systems who volunteer for such organization.
            ``(3) Requirements.--A regional transportation planning
        organization shall establish, at a minimum--
                ``(A) a policy committee, the majority of which shall
            consist of nonmetropolitan local officials, or their designees,
            and, as appropriate, additional representatives from the State,
            private business, transportation service providers, economic
            development practitioners, and the public in the region; and
                ``(B) a fiscal and administrative agent, such as an
            existing regional planning and development organization, to
            provide professional planning, management, and administrative
            support.
            ``(4) Duties.--The duties of a regional transportation planning
        organization shall include--
                ``(A) developing and maintaining, in cooperation with the
            State, regional long-range multimodal transportation plans;
                ``(B) developing a regional transportation improvement
            program for consideration by the State;
                ``(C) fostering the coordination of local planning, land
            use, and economic development plans with State, regional, and
            local transportation plans and programs;
                ``(D) providing technical assistance to local officials;
                ``(E) participating in national, multistate, and State
            policy and planning development processes to ensure the
            regional and local input of nonmetropolitan areas;
                ``(F) providing a forum for public participation in the
            statewide and regional transportation planning processes;
                ``(G) considering and sharing plans and programs with
            neighboring regional transportation planning organizations,
            metropolitan planning organizations, and, where appropriate,
            tribal organizations; and
                ``(H) conducting other duties, as necessary, to support and
            enhance the statewide planning process under subsection (d).
            ``(5) States without regional transportation planning
        organizations.--If a State chooses not to establish or designate a
        regional transportation planning organization, the State shall
        consult with affected nonmetropolitan local officials to determine
        projects that may be of regional significance.''.
    SEC. 20007. URBANIZED AREA FORMULA GRANTS.
        Section 5307 of title 49, United States Code, is amended to read as
    follows:
    ``Sec. 5307. Urbanized area formula grants
        ``(a) General Authority.--
            ``(1) Grants.--The Secretary may make grants under this section
        for--
                ``(A) capital projects;
                ``(B) planning;
                ``(C) job access and reverse commute projects; and
                ``(D) operating costs of equipment and facilities for use
            in public transportation in an urbanized area with a population
            of fewer than 200,000 individuals, as determined by the Bureau
            of the Census.
            ``(2) Special rule.--The Secretary may make grants under this
        section to finance the operating cost of equipment and facilities
        for use in public transportation, excluding rail fixed guideway, in
        an urbanized area with a population of not fewer than 200,000
        individuals, as determined by the Bureau of the Census--
                ``(A) for public transportation systems that operate 75 or
            fewer buses in fixed route service during peak service hours,
            in an amount not to exceed 75 percent of the share of the
            apportionment which is attributable to such systems within the
            urbanized area, as measured by vehicle revenue hours; and
                ``(B) for public transportation systems that operate a
            minimum of 76 buses and a maximum of 100 buses in fixed route
            service during peak service hours, in an amount not to exceed
            50 percent of the share of the apportionment which is
            attributable to such systems within the urbanized area, as
            measured by vehicle revenue hours.
        ``(b) Program of Projects.--Each recipient of a grant shall--
            ``(1) make available to the public information on amounts
        available to the recipient under this section;
            ``(2) develop, in consultation with interested parties,
        including private transportation providers, a proposed program of
        projects for activities to be financed;
            ``(3) publish a proposed program of projects in a way that
        affected individuals, private transportation providers, and local
        elected officials have the opportunity to examine the proposed
        program and submit comments on the proposed program and the
        performance of the recipient;
            ``(4) provide an opportunity for a public hearing in which to
        obtain the views of individuals on the proposed program of
        projects;
            ``(5) ensure that the proposed program of projects provides for
        the coordination of public transportation services assisted under
        section 5336 of this title with transportation services assisted
        from other United States Government sources;
            ``(6) consider comments and views received, especially those of
        private transportation providers, in preparing the final program of
        projects; and
            ``(7) make the final program of projects available to the
        public.
        ``(c) 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 of projects prepared under subsection (b)
        of this section and a certification for that fiscal year that the
        recipient (including a person receiving amounts from a Governor
        under this section)--
                ``(A) has or will have the legal, financial, and technical
            capacity to carry out the program, including safety and
            security aspects of the program;
                ``(B) has or will have satisfactory continuing control over
            the use of equipment and facilities;
                ``(C) will maintain equipment and facilities;
                ``(D) will ensure that, during non-peak hours for
            transportation using or involving a facility or equipment of a
            project financed under this section, a fare that is not more
            than 50 percent of the peak hour fare will be charged for any--
                    ``(i) senior;
                    ``(ii) 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 a public transportation service or a public
                transportation facility effectively without special
                facilities, planning, or design; and
                    ``(iii) individual presenting a Medicare card issued to
                that individual under title II or XVIII of the Social
                Security Act (42 U.S.C. 401 et seq. and 1395 et seq.);
                ``(E) in carrying out a procurement under this section,
            will comply with sections 5323 and 5325;
                ``(F) has complied with subsection (b) of this section;
                ``(G) has available and will provide the required amounts
            as provided by subsection (d) of this section;
                ``(H) will comply with sections 5303 and 5304;
                ``(I) has a locally developed process to solicit and
            consider public comment before raising a fare or carrying out a
            major reduction of transportation;
                ``(J)(i) will expend for each fiscal year for public
            transportation security projects, including increased lighting
            in or adjacent to a 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 public
            transportation system, at least 1 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;
                ``(K) in the case of a recipient for an urbanized area with
            a population of not fewer than 200,000 individuals, as
            determined by the Bureau of the Census--
                    ``(i) will expend not less than 1 percent of the amount
                the recipient receives each fiscal year under this section
                for associated transit improvements, as defined in section
                5302; and
                    ``(ii) will submit an annual report listing projects
                carried out in the preceding fiscal year with those funds;
                and
                ``(L) will comply with section 5329(d); and
            ``(2) the Secretary accepts the certification.
        ``(d) Government Share of Costs.--
            ``(1) Capital projects.--A grant for a capital project 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) Remaining costs.--Subject to paragraph (4), the remainder
        of the net project costs shall be provided--
                ``(A) in cash from non-Government sources other than
            revenues from providing public transportation services;
                ``(B) from revenues from the sale of advertising and
            concessions;
                ``(C) from an undistributed cash surplus, a replacement or
            depreciation cash fund or reserve, or new capital;
                ``(D) from amounts appropriated or otherwise made available
            to a department or agency of the Government (other than the
            Department of Transportation) that are eligible to be expended
            for transportation; and
                ``(E) from amounts received under a service agreement with
            a State or local social service agency or private social
            service organization.
            ``(4) Use of certain funds.--For purposes of subparagraphs (D)
        and (E) of paragraph (3), 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.
        ``(e) Undertaking Projects in Advance.--
            ``(1) Payment.--The Secretary may pay the Government share of
        the net project cost to a State or local governmental authority
        that carries out any part of a project eligible under subparagraph
        (A) or (B) of subsection (a)(1) without the aid of amounts of the
        Government and according to all applicable procedures and
        requirements if--
                ``(A) the recipient applies for the payment;
                ``(B) the Secretary approves the payment; and
                ``(C) before carrying out any part of the project, the
            Secretary approves the plans and specifications for the part in
            the same way as for other projects under this section.
            ``(2) Approval of application.--The Secretary may approve an
        application under paragraph (1) of this subsection only if an
        authorization for this section is in effect for the fiscal year to
        which the application applies. The Secretary may not approve an
        application if the payment will be more than--
                ``(A) the recipient's expected apportionment under section
            5336 of this title if the total amount authorized to be
            appropriated for the fiscal year to carry out this section is
            appropriated; less
                ``(B) the maximum amount of the apportionment that may be
            made available for projects for operating expenses under this
            section.
            ``(3) 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 recipient to the extent proceeds of the
            bonds are expended in carrying out the part.
                ``(B) Limitation on the amount of interest.--The amount of
            interest allowed under this paragraph may not be more than the
            most favorable financing 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
            financing terms.
        ``(f) Reviews, Audits, and Evaluations.--
            ``(1) Annual review.--
                ``(A) In general.--At least annually, the Secretary shall
            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) the activities proposed under subsection (c) of
                this section in a timely and effective way and can continue
                to do so; and
                    ``(ii) those activities and its certifications and has
                used amounts of the Government in the way required by law.
                ``(B) Auditing procedures.--An audit of the use of amounts
            of the Government shall comply with the auditing procedures of
            the Comptroller General.
            ``(2) Triennial review.--At least once every 3 years, the
        Secretary shall review and evaluate completely the performance of a
        recipient in carrying out the recipient's program, specifically
        referring to compliance with statutory and administrative
        requirements and the extent to which actual program activities are
        consistent with the activities proposed under subsection (c) of
        this section and the planning process required under sections 5303,
        5304, and 5305 of this title. To the extent practicable, the
        Secretary shall coordinate such reviews with any related State or
        local reviews.
            ``(3) Actions resulting from review, audit, or evaluation.--The
        Secretary may take appropriate action consistent with a review,
        audit, and evaluation under this subsection, including making an
        appropriate adjustment in the amount of a grant or withdrawing the
        grant.
        ``(g) Treatment.--For purposes of this section, the United States
    Virgin Islands shall be treated as an urbanized area, as defined in
    section 5302.
        ``(h) Passenger Ferry Grants.--
            ``(1) In general.--The Secretary may make grants under this
        subsection to recipients for passenger ferry projects that are
        eligible for a grant under subsection (a).
            ``(2) Grant requirements.--Except as otherwise provided in this
        subsection, a grant under this subsection shall be subject to the
        same terms and conditions as a grant under subsection (a).
            ``(3) Competitive process.--The Secretary shall solicit grant
        applications and make grants for eligible projects on a competitive
        basis.''.
    SEC. 20008. FIXED GUIDEWAY CAPITAL INVESTMENT GRANTS.
        (a) In General.--Section 5309 of title 49, United States Code, is
    amended to read as follows:
    ``Sec. 5309. Fixed guideway capital investment grants
        ``(a) Definitions.--In this section, the following definitions
    shall apply:
            ``(1) Applicant.--The term `applicant' means a State or local
        governmental authority that applies for a grant under this section.
            ``(2) Core capacity improvement project.--The term `core
        capacity improvement project' means a substantial corridor-based
        capital investment in an existing fixed guideway system that
        increases the capacity of a corridor by not less than 10 percent.
        The term does not include project elements designed to maintain a
        state of good repair of the existing fixed guideway system.
            ``(3) Corridor-based bus rapid transit project.--The term
        `corridor-based bus rapid transit project' means a small start
        project utilizing buses in which the project represents a
        substantial investment in a defined corridor as demonstrated by
        features that emulate the services provided by rail fixed guideway
        public transportation systems, including defined stations; traffic
        signal priority for public transportation vehicles; short headway
        bidirectional services for a substantial part of weekdays and
        weekend days; and any other features the Secretary may determine
        support a long-term corridor investment, but the majority of which
        does not operate in a separated right-of-way dedicated for public
        transportation use during peak periods.
            ``(4) Fixed guideway bus rapid transit project.--The term
        `fixed guideway bus rapid transit project' means a bus capital
        project--
                ``(A) in which the majority of the project operates in a
            separated right-of-way dedicated for public transportation use
            during peak periods;
                ``(B) that represents a substantial investment in a single
            route in a defined corridor or subarea; and
                ``(C) that includes features that emulate the services
            provided by rail fixed guideway public transportation systems,
            including--
                    ``(i) defined stations;
                    ``(ii) traffic signal priority for public
                transportation vehicles;
                    ``(iii) short headway bidirectional services for a
                substantial part of weekdays and weekend days; and
                    ``(iv) any other features the Secretary may determine
                are necessary to produce high-quality public transportation
                services that emulate the services provided by rail fixed
                guideway public transportation systems.
            ``(5) New fixed guideway capital project.--The term `new fixed
        guideway capital project' means--
                ``(A) a new fixed guideway project that is a minimum
            operable segment or extension to an existing fixed guideway
            system; or
                ``(B) a fixed guideway bus rapid transit project that is a
            minimum operable segment or an extension to an existing bus
            rapid transit system.
            ``(6) Program of interrelated projects.--The term `program of
        interrelated projects' means the simultaneous development of--
                ``(A) 2 or more new fixed guideway capital projects or core
            capacity improvement projects; or
                ``(B) 1 or more new fixed guideway capital projects and 1
            or more core capacity improvement projects.
            ``(7) Small start project.--The term `small start project'
        means a new fixed guideway capital project or corridor-based bus
        rapid transit project for which--
                ``(A) the Federal assistance provided or to be provided
            under this section is less than $75,000,000; and
                ``(B) the total estimated net capital cost is less than
            $250,000,000.
        ``(b) General Authority.--The Secretary may make grants under this
    section to State and local governmental authorities to assist in
    financing--
            ``(1) new fixed guideway capital projects or small start
        projects, including the acquisition of real property, the initial
        acquisition of rolling stock for the system, the acquisition of
        rights-of-way, and relocation, for fixed guideway corridor
        development for projects in the advanced stages of project
        development or engineering; and
            ``(2) core capacity improvement projects, including the
        acquisition of real property, the acquisition of rights-of-way,
        double tracking, signalization improvements, electrification,
        expanding system platforms, acquisition of rolling stock associated
        with corridor improvements increasing capacity, construction of
        infill stations, and such other capacity improvement projects as
        the Secretary determines are appropriate to increase the capacity
        of an existing fixed guideway system corridor by at least 10
        percent. Core capacity improvement projects do not include elements
        to improve general station facilities or parking, or acquisition of
        rolling stock alone.
        ``(c) Grant Requirements.--
            ``(1) In general.--The Secretary may make a grant under this
        section for new fixed guideway capital projects, small start
        projects, or core capacity improvement projects, if the Secretary
        determines that--
                ``(A) the project is part of an approved transportation
            plan required under sections 5303 and 5304; and
                ``(B) the applicant has, or will have--
                    ``(i) the legal, financial, and technical capacity to
                carry out the project, including the safety and security
                aspects of the project;
                    ``(ii) satisfactory continuing control over the use of
                the equipment or facilities; and
                    ``(iii) the technical and financial capacity to
                maintain new and existing equipment and facilities.
            ``(2) Certification.--An applicant that has submitted the
        certifications required under subparagraphs (A), (B), (C), and (H)
        of section 5307(c)(1) shall be deemed to have provided sufficient
        information upon which the Secretary may make the determinations
        required under this subsection.
            ``(3) Technical capacity.--The Secretary shall use an expedited
        technical capacity review process for applicants that have recently
        and successfully completed at least 1 new fixed guideway capital
        project, or core capacity improvement project, if--
                ``(A) the applicant achieved budget, cost, and ridership
            outcomes for the project that are consistent with or better
            than projections; and
                ``(B) the applicant demonstrates that the applicant
            continues to have the staff expertise and other resources
            necessary to implement a new project.
            ``(4) Recipient requirements.--A recipient of a grant awarded
        under this section shall be subject to all terms, conditions,
        requirements, and provisions that the Secretary determines to be
        necessary or appropriate for purposes of this section.
        ``(d) New Fixed Guideway Grants.--
            ``(1) Project development phase.--
                ``(A) Entrance into project development phase.--A new fixed
            guideway capital project shall enter into the project
            development phase when--
                    ``(i) the applicant--

                        ``(I) submits a letter to the Secretary describing
                    the project and requesting entry into the project
                    development phase; and
                        ``(II) initiates activities required to be carried
                    out under the National Environmental Policy Act of 1969
                    (42 U.S.C. 4321 et seq.) with respect to the project;
                    and

                    ``(ii) the Secretary--

                        ``(I) responds in writing to the applicant within
                    45 days whether the information provided is sufficient
                    to enter into the project development phase, including,
                    when necessary, a detailed description of any
                    information deemed insufficient; and
                        ``(II) provides concurrent notice to the Committee
                    on Banking, Housing, and Urban Affairs of the Senate
                    and the Committee on Transportation and Infrastructure
                    of the House of Representatives of whether the new
                    fixed guideway capital project is entering the project
                    development phase.

                ``(B) Activities during project development phase.--
            Concurrent with the analysis required to be made under the
            National Environmental Policy Act of 1969 (42 U.S.C. 4321 et
            seq.), each applicant shall develop sufficient information to
            enable the Secretary to make findings of project justification,
            policies and land use patterns that promote public
            transportation, and local financial commitment under this
            subsection.
                ``(C) Completion of project development activities
            required.--
                    ``(i) In general.--Not later than 2 years after the
                date on which a project enters into the project development
                phase, the applicant shall complete the activities required
                to obtain a project rating under subsection (g)(2) and
                submit completed documentation to the Secretary.
                    ``(ii) Extension of time.--Upon the request of an
                applicant, the Secretary may extend the time period under
                clause (i), if the applicant submits to the Secretary--

                        ``(I) a reasonable plan for completing the
                    activities required under this paragraph; and
                        ``(II) an estimated time period within which the
                    applicant will complete such activities.

            ``(2) Engineering phase.--
                ``(A) In general.--A new fixed guideway capital project may
            advance to the engineering phase upon completion of activities
            required under the National Environmental Policy Act of 1969
            (42 U.S.C. 4321 et seq.), as demonstrated by a record of
            decision with respect to the project, a finding that the
            project has no significant impact, or a determination that the
            project is categorically excluded, only if the Secretary
            determines that the project--
                    ``(i) is selected as the locally preferred alternative
                at the completion of the process required under the
                National Environmental Policy Act of 1969 (42 U.S.C. 4321
                et seq.);
                    ``(ii) is adopted into the metropolitan transportation
                plan required under section 5303;
                    ``(iii) is justified based on a comprehensive review of
                the project's mobility improvements, the project's
                environmental benefits, congestion relief associated with
                the project, economic development effects associated with
                the project, policies and land use patterns of the project
                that support public transportation, and the project's cost-
                effectiveness as measured by cost per rider;
                    ``(iv) is supported by policies and land use patterns
                that promote public transportation, including plans for
                future land use and rezoning, and economic development
                around public transportation stations; and
                    ``(v) is supported by an acceptable degree of local
                financial commitment (including evidence of stable and
                dependable financing sources), as required under subsection
                (f).
                ``(B) Determination that project is justified.--In making a
            determination under subparagraph (A)(iii), the Secretary shall
            evaluate, analyze, and consider--
                    ``(i) the reliability of the forecasting methods used
                to estimate costs and utilization made by the recipient and
                the contractors to the recipient; and
                    ``(ii) population density and current public
                transportation ridership in the transportation corridor.
        ``(e) Core Capacity Improvement Projects.--
            ``(1) Project development phase.--
                ``(A) Entrance into project development phase.--A core
            capacity improvement project shall be deemed to have entered
            into the project development phase if--
                    ``(i) the applicant--

                        ``(I) submits a letter to the Secretary describing
                    the project and requesting entry into the project
                    development phase; and
                        ``(II) initiates activities required to be carried
                    out under the National Environmental Policy Act of 1969
                    (42 U.S.C. 4321 et seq.) with respect to the project;
                    and

                    ``(ii) the Secretary--

                        ``(I) responds in writing to the applicant within
                    45 days whether the information provided is sufficient
                    to enter into the project development phase, including
                    when necessary a detailed description of any
                    information deemed insufficient; and
                        ``(II) provides concurrent notice to the Committee
                    on Banking, Housing, and Urban Affairs of the Senate
                    and the Committee on Transportation and Infrastructure
                    of the House of Representatives of whether the core
                    capacity improvement project is entering the project
                    development phase.

                ``(B) Activities during project development phase.--
            Concurrent with the analysis required to be made under the
            National Environmental Policy Act of 1969 (42 U.S.C. 4321 et
            seq.), each applicant shall develop sufficient information to
            enable the Secretary to make findings of project justification
            and local financial commitment under this subsection.
                ``(C) Completion of project development activities
            required.--
                    ``(i) In general.--Not later than 2 years after the
                date on which a project enters into the project development
                phase, the applicant shall complete the activities required
                to obtain a project rating under subsection (g)(2) and
                submit completed documentation to the Secretary.
                    ``(ii) Extension of time.--Upon the request of an
                applicant, the Secretary may extend the time period under
                clause (i), if the applicant submits to the Secretary--

                        ``(I) a reasonable plan for completing the
                    activities required under this paragraph; and
                        ``(II) an estimated time period within which the
                    applicant will complete such activities.

            ``(2) Engineering phase.--
                ``(A) In general.--A core capacity improvement project may
            advance into the engineering phase upon completion of
            activities required under the National Environmental Policy Act
            of 1969 (42 U.S.C. 4321 et seq.), as demonstrated by a record
            of decision with respect to the project, a finding that the
            project has no significant impact, or a determination that the
            project is categorically excluded, only if the Secretary
            determines that the project--
                    ``(i) is selected as the locally preferred alternative
                at the completion of the process required under the
                National Environmental Policy Act of 1969;
                    ``(ii) is adopted into the metropolitan transportation
                plan required under section 5303;
                    ``(iii) is in a corridor that is--

                        ``(I) at or over capacity; or
                        ``(II) projected to be at or over capacity within
                    the next 5 years;

                    ``(iv) is justified based on a comprehensive review of
                the project's mobility improvements, the project's
                environmental benefits, congestion relief associated with
                the project, economic development effects associated with
                the project, the capacity needs of the corridor, and the
                project's cost-effectiveness as measured by cost per rider;
                and
                    ``(v) is supported by an acceptable degree of local
                financial commitment (including evidence of stable and
                dependable financing sources), as required under subsection
                (f).
                ``(B) Determination that project is justified.--In making a
            determination under subparagraph (A)(iv), the Secretary shall
            evaluate, analyze, and consider--
                    ``(i) the reliability of the forecasting methods used
                to estimate costs and utilization made by the recipient and
                the contractors to the recipient;
                    ``(ii) whether the project will increase capacity at
                least 10 percent in a corridor;
                    ``(iii) whether the project will improve
                interconnectivity among existing systems; and
                    ``(iv) whether the project will improve environmental
                outcomes.
        ``(f) Financing Sources.--
            ``(1) Requirements.--In determining whether a project is
        supported by an acceptable degree of local financial commitment and
        shows evidence of stable and dependable financing sources for
        purposes of subsection (d)(2)(A)(v) or (e)(2)(A)(v), the Secretary
        shall require that--
                ``(A) the proposed project plan provides for the
            availability of contingency amounts that the Secretary
            determines to be reasonable to cover unanticipated cost
            increases or funding shortfalls;
                ``(B) each proposed local source of capital and operating
            financing is stable, reliable, and available within the
            proposed project timetable; and
                ``(C) local resources are available to recapitalize,
            maintain, and operate the overall existing and 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 or level of service to operate the project.
            ``(2) Considerations.--In assessing the stability, reliability,
        and availability of proposed sources of local financing for
        purposes of subsection (d)(2)(A)(v) or (e)(2)(A)(v), the Secretary
        shall consider--
                ``(A) the reliability of the forecasting methods used to
            estimate costs and revenues made by the recipient and the
            contractors to the recipient;
                ``(B) existing grant commitments;
                ``(C) the degree to which financing sources are dedicated
            to the proposed purposes;
                ``(D) any debt obligation that exists, or is proposed by
            the recipient, for the proposed project or other public
            transportation purpose;
                ``(E) the extent to which the project has a local financial
            commitment that exceeds the required non-Government share of
            the cost of the project; and
                ``(F) private contributions to the project, including cost-
            effective project delivery, management or transfer of project
            risks, expedited project schedule, financial partnering, and
            other public-private partnership strategies.
        ``(g) Project Advancement and Ratings.--
            ``(1) Project advancement.--A new fixed guideway capital
        project or core capacity improvement project proposed to be carried
        out using a grant under this section may not advance from the
        project development phase to the engineering phase, or from the
        engineering phase to the construction phase, unless the Secretary
        determines that--
                ``(A) the project meets the applicable requirements under
            this section; and
                ``(B) there is a reasonable likelihood that the project
            will continue to meet the requirements under this section.
            ``(2) Ratings.--
                ``(A) Overall rating.--In making a determination under
            paragraph (1), the Secretary shall evaluate and rate a project
            as a whole on a 5-point scale (high, medium-high, medium,
            medium-low, or low) based on--
                    ``(i) in the case of a new fixed guideway capital
                project, the project justification criteria under
                subsection (d)(2)(A)(iii), the policies and land use
                patterns that support public transportation, and the degree
                of local financial commitment; and
                    ``(ii) in the case of a core capacity improvement
                project, the capacity needs of the corridor, the project
                justification criteria under subsection (e)(2)(A)(iv), and
                the degree of local financial commitment.
                ``(B) Individual ratings for each criterion.--In rating a
            project under this paragraph, the Secretary shall--
                    ``(i) provide, in addition to the overall project
                rating under subparagraph (A), individual ratings for each
                of the criteria established under subsection (d)(2)(A)(iii)
                or (e)(2)(A)(iv), as applicable; and
                    ``(ii) give comparable, but not necessarily equal,
                numerical weight to each of the criteria established under
                subsections (d)(2)(A)(iii) or (e)(2)(A)(iv), as applicable,
                in calculating the overall project rating under clause (i).
                ``(C) Medium rating not required.--The Secretary shall not
            require that any single project justification criterion meet or
            exceed a `medium' rating in order to advance the project from
            one phase to another.
            ``(3) Warrants.--The Secretary shall, to the maximum extent
        practicable, develop and use special warrants for making a project
        justification determination under subsection (d)(2) or (e)(2), as
        applicable, for a project proposed to be funded using a grant under
        this section, if--
                ``(A) the share of the cost of the project to be provided
            under this section does not exceed--
                    ``(i) $100,000,000; or
                    ``(ii) 50 percent of the total cost of the project;
                ``(B) the applicant requests the use of the warrants;
                ``(C) the applicant certifies that its existing public
            transportation system is in a state of good repair; and
                ``(D) the applicant meets any other requirements that the
            Secretary considers appropriate to carry out this subsection.
            ``(4) Letters of intent and early systems work agreements.--In
        order to expedite a project under this subsection, the Secretary
        shall, to the maximum extent practicable, issue letters of intent
        and enter into early systems work agreements upon issuance of a
        record of decision for projects that receive an overall project
        rating of medium or better.
            ``(5) Policy guidance.--The Secretary shall issue policy
        guidance regarding the review and evaluation process and criteria--
                ``(A) not later than 180 days after the date of enactment
            of the Federal Public Transportation Act of 2012; and
                ``(B) each time the Secretary makes significant changes to
            the process and criteria, but not less frequently than once
            every 2 years.
            ``(6) Rules.--Not later than 1 year after the date of enactment
        of the Federal Public Transportation Act of 2012, the Secretary
        shall issue rules establishing an evaluation and rating process
        for--
                ``(A) new fixed guideway capital projects that is based on
            the results of project justification, policies and land use
            patterns that promote public transportation, and local
            financial commitment, as required under this subsection; and
                ``(B) core capacity improvement projects that is based on
            the results of the capacity needs of the corridor, project
            justification, and local financial commitment.
            ``(7) Applicability.--This subsection shall not apply to a
        project for which the Secretary issued a letter of intent, entered
        into a full funding grant agreement, or entered into a project
        construction agreement before the date of enactment of the Federal
        Public Transportation Act of 2012.
        ``(h) Small Start Projects.--
            ``(1) In general.--A small start project shall be subject to
        the requirements of this subsection.
            ``(2) Project development phase.--
                ``(A) Entrance into project development phase.--A new small
            starts project shall enter into the project development phase
            when--
                    ``(i) the applicant--

                        ``(I) submits a letter to the Secretary describing
                    the project and requesting entry into the project
                    development phase; and
                        ``(II) initiates activities required to be carried
                    out under the National Environmental Policy Act of 1969
                    (42 U.S.C. 4321 et seq.) with respect to the project;
                    and

                    ``(ii) the Secretary--

                        ``(I) responds in writing to the applicant within
                    45 days whether the information provided is sufficient
                    to enter into the project development phase, including,
                    when necessary, a detailed description of any
                    information deemed insufficient; and
                        ``(II) provides concurrent notice to the Committee
                    on Banking, Housing, and Urban Affairs of the Senate
                    and the Committee on Transportation and Infrastructure
                    of the House of Representatives of whether the small
                    starts project is entering the project development
                    phase.

                ``(B) Activities during project development phase.--
            Concurrent with the analysis required to be made under the
            National Environmental Policy Act of 1969 (42 U.S.C. 4321 et
            seq.), each applicant shall develop sufficient information to
            enable the Secretary to make findings of project justification,
            policies and land use patterns that promote public
            transportation, and local financial commitment under this
            subsection.
            ``(3) Selection criteria.--The Secretary may provide Federal
        assistance for a small start project under this subsection only if
        the Secretary determines that the project--
                ``(A) has been adopted as the locally preferred alternative
            as part of the metropolitan transportation plan required under
            section 5303;
                ``(B) is based on the results of an analysis of the
            benefits of the project as set forth in paragraph (4); and
                ``(C) is supported by an acceptable degree of local
            financial commitment.
            ``(4) Evaluation of benefits and federal investment.--In making
        a determination for a small start project under paragraph (3)(B),
        the Secretary shall analyze, evaluate, and consider the following
        evaluation criteria for the project (as compared to a no-action
        alternative): mobility improvements, environmental benefits,
        congestion relief, economic development effects associated with the
        project, policies and land use patterns that support public
        transportation and cost-effectiveness as measured by cost per
        rider.
            ``(5) Evaluation of local financial commitment.--For purposes
        of paragraph (3)(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) Ratings.--In carrying out paragraphs (4) and (5) for a
        small start project, the Secretary shall evaluate and rate the
        project on a 5-point scale (high, medium-high, medium, medium-low,
        or low) based on an evaluation of the benefits of the project as
        compared to the Federal assistance to be provided 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 this subsection and shall give comparable,
        but not necessarily equal, numerical weight to the benefits that
        the project will bring to the community in calculating the overall
        project rating.
            ``(7) Grants and expedited grant agreements.--
                ``(A) In general.--The Secretary, to the maximum extent
            practicable, shall provide Federal assistance under this
            subsection in a single grant. If the Secretary cannot provide
            such a single grant, the Secretary may execute an expedited
            grant agreement in order to include a commitment on the part of
            the Secretary to provide funding for the project in future
            fiscal years.
                ``(B) Terms of expedited grant agreements.--In executing an
            expedited grant agreement under this subsection, the Secretary
            may include in the agreement terms similar to those established
            under subsection (k)(2).
                ``(C) Notice of proposed grants and expedited grant
            agreements.--At least 10 days before making a grant award or
            entering into a grant agreement for a project under this
            subsection, the Secretary shall notify, in writing, the
            Committee on Transportation and Infrastructure and the
            Committee on Appropriations of the House of Representatives and
            the Committee on Banking, Housing, and Urban Affairs and the
            Committee on Appropriations of the Senate of the proposed grant
            or expedited grant agreement, as well as the evaluations and
            ratings for the project.
        ``(i) Programs of Interrelated Projects.--
            ``(1) Project development phase.--A federally funded project in
        a program of interrelated projects shall advance through project
        development as provided in subsection (d) or (e), as applicable.
            ``(2) Engineering phase.--A federally funded project in a
        program of interrelated projects may advance into the engineering
        phase upon completion of activities required under the National
        Environmental Policy Act of 1969 (42 U.S.C. 4321 et seq.), as
        demonstrated by a record of decision with respect to the project, a
        finding that the project has no significant impact, or a
        determination that the project is categorically excluded, only if
        the Secretary determines that--
                ``(A) the project is selected as the locally preferred
            alternative at the completion of the process required under the
            National Environmental Policy Act of 1969;
                ``(B) the project is adopted into the metropolitan
            transportation plan required under section 5303;
                ``(C) the program of interrelated projects involves
            projects that have a logical connectivity to one another;
                ``(D) the program of interrelated projects, when evaluated
            as a whole, meets the requirements of subsection (d)(2) or
            (e)(2), as applicable;
                ``(E) the program of interrelated projects is supported by
            a program implementation plan demonstrating that construction
            will begin on each of the projects in the program of
            interrelated projects within a reasonable time frame; and
                ``(F) the program of interrelated projects is supported by
            an acceptable degree of local financial commitment, as
            described in subsection (f).
            ``(3) Project advancement and ratings.--
                ``(A) Project advancement.--A project receiving a grant
            under this section that is part of a program of interrelated
            projects may not advance from the project development phase to
            the engineering phase, or from the engineering phase to the
            construction phase, unless the Secretary determines that the
            program of interrelated projects meets the applicable
            requirements of this section and there is a reasonable
            likelihood that the program will continue to meet such
            requirements.
                ``(B) Ratings.--
                    ``(i) Overall rating.--In making a determination under
                subparagraph (A), the Secretary shall evaluate and rate a
                program of interrelated projects on a 5-point scale (high,
                medium-high, medium, medium-low, or low) based on the
                criteria described in paragraph (2).
                    ``(ii) Individual rating for each criterion.--In rating
                a program of interrelated projects, the Secretary shall
                provide, in addition to the overall program rating,
                individual ratings for each of the criteria described in
                paragraph (2) and shall give comparable, but not
                necessarily equal, numerical weight to each such criterion
                in calculating the overall program rating.
                    ``(iii) Medium rating not required.--The Secretary
                shall not require that any single criterion described in
                paragraph (2) meet or exceed a `medium' rating in order to
                advance the program of interrelated projects from one phase
                to another.
            ``(4) Annual review.--
                ``(A) Review required.--The Secretary shall annually review
            the program implementation plan required under paragraph (2)(E)
            to determine whether the program of interrelated projects is
            adhering to its schedule.
                ``(B) Extension of time.--If a program of interrelated
            projects is not adhering to its schedule, the Secretary may,
            upon the request of the applicant, grant an extension of time
            if the applicant submits a reasonable plan that includes--
                    ``(i) evidence of continued adequate funding; and
                    ``(ii) an estimated time frame for completing the
                program of interrelated projects.
                ``(C) Satisfactory progress required.--If the Secretary
            determines that a program of interrelated projects is not
            making satisfactory progress, no Federal funds shall be
            provided for a project within the program of interrelated
            projects.
            ``(5) Failure to carry out program of interrelated projects.--
                ``(A) Repayment required.--If an applicant does not carry
            out the program of interrelated projects within a reasonable
            time, for reasons within the control of the applicant, the
            applicant shall repay all Federal funds provided for the
            program, and any reasonable interest and penalty charges that
            the Secretary may establish.
                ``(B) Crediting of funds received.--Any funds received by
            the Government under this paragraph, other than interest and
            penalty charges, shall be credited to the appropriation account
            from which the funds were originally derived.
            ``(6) Non-federal funds.--Any non-Federal funds committed to a
        project in a program of interrelated projects may be used to meet a
        non-Government share requirement for any other project in the
        program of interrelated projects, if the Government share of the
        cost of each project within the program of interrelated projects
        does not exceed 80 percent.
            ``(7) Priority.--In making grants under this section, the
        Secretary may give priority to programs of interrelated projects
        for which the non-Government share of the cost of the projects
        included in the programs of interrelated projects exceeds the non-
        Government share required under subsection (l).
            ``(8) Non-government projects.--Including a project not
        financed by the Government in a program of interrelated projects
        does not impose Government requirements that would not otherwise
        apply to the project.
        ``(j) Previously Issued Letter of Intent or Full Funding Grant
    Agreement.--Subsections (d) and (e) shall not apply to projects for
    which the Secretary has issued a letter of intent, approved entry into
    final design, entered into a full funding grant agreement, or entered
    into a project construction grant agreement before the date of
    enactment of the Federal Public Transportation Act of 2012.
        ``(k) 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 new fixed guideway capital project
            or core capacity improvement project, 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 a
            capital project under this section, 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), 1501, and 1502(a) of title 31 or an
            administrative commitment.
            ``(2) Full funding grant agreements.--
                ``(A) In general.--A new fixed guideway capital project or
            core capacity improvement project shall be carried out through
            a full funding grant agreement.
                ``(B) Criteria.--The Secretary shall enter into a full
            funding grant agreement, based on the evaluations and ratings
            required under subsection (d), (e), or (i), as applicable, with
            each grantee receiving assistance for a new fixed guideway
            capital project or core capacity improvement project that has
            been rated as high, medium-high, or medium, in accordance with
            subsection (g)(2)(A) or (i)(3)(B), as applicable.
                ``(C) Terms.--A full funding grant agreement shall--
                    ``(i) establish the terms of participation by the
                Government in a new fixed guideway capital project or core
                capacity improvement project;
                    ``(ii) establish the maximum amount of Federal
                financial assistance for the project;
                    ``(iii) include the period of time for completing the
                project, even if that period extends 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.
                ``(D) Special financial rules.--
                    ``(i) In general.--A full funding grant 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 new
                fixed guideway capital project shall be sufficient to
                complete at least an operable segment.
                ``(E) Before and after study.--
                    ``(i) In general.--A full funding grant agreement under
                this paragraph shall require the applicant to conduct a
                study that--

                        ``(I) describes and analyzes the impacts of the new
                    fixed guideway capital project or core capacity
                    improvement project on public transportation services
                    and public transportation ridership;
                        ``(II) evaluates the consistency of predicted and
                    actual project characteristics and performance; and
                        ``(III) identifies reasons for differences between
                    predicted and actual outcomes.

                    ``(ii) Information collection and analysis plan.--

                        ``(I) Submission of plan.--Applicants seeking a
                    full funding grant agreement under this paragraph shall
                    submit a complete plan for the collection and analysis
                    of information to identify the impacts of the new fixed
                    guideway capital project or core capacity improvement
                    project and the accuracy of the forecasts prepared
                    during the development of the project. Preparation of
                    this plan shall be included in the full funding grant
                    agreement as an eligible activity.
                        ``(II) Contents of plan.--The plan submitted under
                    subclause (I) shall provide for--

                            ``(aa) collection of data on the current public
                        transportation system regarding public
                        transportation service levels and ridership
                        patterns, including origins and destinations,
                        access modes, trip purposes, and rider
                        characteristics;
                            ``(bb) documentation of the predicted scope,
                        service levels, capital costs, operating costs, and
                        ridership of the project;
                            ``(cc) collection of data on the public
                        transportation system 2 years after the opening of
                        a new fixed guideway capital project or core
                        capacity improvement project, including analogous
                        information on public transportation service levels
                        and ridership patterns and information on the as-
                        built scope, capital, and financing costs of the
                        project; and
                            ``(dd) analysis of the consistency of predicted
                        project characteristics with actual outcomes.
                ``(F) Collection of data on current system.--To be eligible
            for a full funding grant agreement under this paragraph,
            recipients shall have collected data on the current system,
            according to the plan required under subparagraph (E)(ii),
            before the beginning of construction of the proposed new fixed
            guideway capital project or core capacity improvement project.
            Collection of this data shall be included in the full funding
            grant agreement as an eligible activity.
            ``(3) Early systems work agreements.--
                ``(A) Conditions.--The Secretary may enter into 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.--An early systems work agreement
                under this paragraph obligates budget authority available
                under this chapter and title 23 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) Contingent commitment.--An early systems work
                agreement 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.
                    ``(iii) Period covered.--An early systems 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.
                    ``(iv) Interest and other financing costs.--Interest
                and other financing costs of efficiently carrying out the
                early systems 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.
                    ``(v) 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
                Federal grant funds awarded for the project from all
                Federal funding sources, for all project activities,
                facilities, and equipment, plus reasonable interest and
                penalty charges allowable by law or established by the
                Secretary in the early systems work agreement.
                    ``(vi) Crediting of funds received.--Any funds received
                by the Government under this paragraph, other than interest
                and penalty charges, shall be credited to the appropriation
                account from which the funds were originally derived.
            ``(4) Limitation on amounts.--
                ``(A) In general.--The Secretary may enter into full
            funding grant agreements under this subsection for new fixed
            guideway capital projects and core capacity improvement
            projects that contain contingent commitments to incur
            obligations in such amounts as the Secretary determines are
            appropriate.
                ``(B) Appropriation required.--An obligation may be made
            under this subsection only when amounts are appropriated for
            the obligation.
            ``(5) Notification to congress.--At least 30 days before
        issuing a letter of intent, entering into a full funding grant
        agreement, or entering into an early systems work agreement under
        this section, the Secretary shall notify, in writing, the Committee
        on Banking, Housing, and Urban Affairs and the Committee on
        Appropriations of the Senate and the Committee on Transportation
        and Infrastructure and the Committee on Appropriations of the House
        of Representatives 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.
        ``(l) Government Share of Net Capital Project Cost.--
            ``(1) In general.--Based on engineering studies, studies of
        economic feasibility, and information on the expected use of
        equipment or facilities, the Secretary shall estimate the net
        capital project cost. A grant for a fixed guideway project or small
        start project shall not exceed 80 percent of the net capital
        project cost. A grant for a core capacity project shall not exceed
        80 percent of the net capital project cost of the incremental cost
        of increasing the capacity in the corridor.
            ``(2) Adjustment for completion under budget.--The Secretary
        may adjust the final net capital project cost of a new fixed
        guideway capital project or core capacity improvement project
        evaluated under subsection (d), (e), or (i) to include the cost of
        eligible activities not included in the originally defined project
        if the Secretary determines that the originally defined project has
        been completed at a cost that is significantly below the original
        estimate.
            ``(3) Maximum government share.--The Secretary may provide a
        higher grant percentage than requested by the grant recipient if--
                ``(A) the Secretary determines that the net capital project
            cost of the project is not more than 10 percent higher than the
            net capital project cost estimated at the time the project was
            approved for advancement into the engineering phase; and
                ``(B) the ridership estimated for the project is not less
            than 90 percent of the ridership estimated for the project at
            the time the project was approved for advancement into the
            engineering phase.
            ``(4) Remainder of net capital project cost.--The remainder of
        the net capital project cost shall be provided from an
        undistributed cash surplus, a replacement or depreciation cash fund
        or reserve, or new capital.
            ``(5) Limitation on statutory construction.--Nothing in this
        section 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.
            ``(6) 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 provided by 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.
            ``(7) Limitation on applicability.--This subsection shall not
        apply to projects for which the Secretary entered into a full
        funding grant agreement before the date of enactment of the Federal
        Public Transportation Act of 2012.
            ``(8) Special rule for fixed guideway bus rapid transit
        projects.--For up to three fixed-guideway bus rapid transit
        projects each fiscal year the Secretary shall--
                ``(A) establish a Government share of at least 80 percent;
            and
                ``(B) not lower the project's rating for degree of local
            financial commitment for purposes of subsections (d)(2)(A)(v)
            or (h)(3)(C) as a result of the Government share specified in
            this paragraph.
        ``(m) Undertaking Projects in Advance.--
            ``(1) In general.--The Secretary may pay the Government 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 the State or local governmental authority
            carries 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
            financing terms.
        ``(n) Availability of Amounts.--
            ``(1) In general.--An amount made available or appropriated for
        a new fixed guideway capital project or core capacity improvement
        project shall remain available to that project for 5 fiscal years,
        including the fiscal year in which the amount is made available or
        appropriated. Any amounts that are unobligated to the project at
        the end of the 5-fiscal-year period may be used by the Secretary
        for any purpose under this section.
            ``(2) Use of deobligated amounts.--An amount available under
        this section that is deobligated may be used for any purpose under
        this section.
        ``(o) Reports on New Fixed Guideway and Core Capacity Improvement
    Projects.--
            ``(1) Annual report on funding recommendations.--Not later than
        the first Monday in February of each year, the Secretary shall
        submit to the Committee on Banking, Housing, and Urban Affairs and
        the Committee on Appropriations of the Senate and the Committee on
        Transportation and Infrastructure and the Committee on
        Appropriations of the House of Representatives a report that
        includes--
                ``(A) a proposal of allocations of amounts to be available
            to finance grants for projects under this section among
            applicants for these amounts;
                ``(B) evaluations and ratings, as required under
            subsections (d), (e), and (i), for each such project that is in
            project development, engineering, or has received a full
            funding grant agreement; 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 based on
            information currently available to the Secretary.
            ``(2) Reports on before and after studies.--Not later than the
        first Monday in August of each year, the Secretary shall submit to
        the committees described in paragraph (1) a report containing a
        summary of the results of any studies conducted under subsection
        (k)(2)(E).
            ``(3) Biennial gao review.--The Comptroller General of the
        United States shall--
                ``(A) conduct a biennial review of--
                    ``(i) the processes and procedures for evaluating,
                rating, and recommending new fixed guideway capital
                projects and core capacity improvement 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.''.
        (b) Pilot Program for Expedited Project Delivery.--
            (1) Definitions.--In this subsection the following definitions
        shall apply:
                (A) Eligible project.--The term ``eligible project'' means
            a new fixed guideway capital project or a core capacity
            improvement project, as those terms are defined in section 5309
            of title 49, United States Code, as amended by this section,
            that has not entered into a full funding grant agreement with
            the Federal Transit Administration before the date of enactment
            of the Federal Public Transportation Act of 2012.
                (B) Program.--The term ``program'' means the pilot program
            for expedited project delivery established under this
            subsection.
                (C) Recipient.--The term ``recipient'' means a recipient of
            funding under chapter 53 of title 49, United States Code.
                (D) Secretary.--The term ``Secretary'' means the Secretary
            of Transportation.
            (2) Establishment.--The Secretary shall establish and implement
        a pilot program to demonstrate whether innovative project
        development and delivery methods or innovative financing
        arrangements can expedite project delivery for certain meritorious
        new fixed guideway capital projects and core capacity improvement
        projects.
            (3) Limitation on number of projects.--The Secretary shall
        select 3 eligible projects to participate in the program, of
        which--
                (A) at least 1 shall be an eligible project requesting more
            than $100,000,000 in Federal financial assistance under section
            5309 of title 49, United States Code; and
                (B) at least 1 shall be an eligible project requesting less
            than $100,000,000 in Federal financial assistance under section
            5309 of title 49, United States Code.
            (4) Government share.--The Government share of the total cost
        of an eligible project that participates in the program may not
        exceed 50 percent.
            (5) Eligibility.--A recipient that desires to participate in
        the program shall submit to the Secretary an application that
        contains, at a minimum--
                (A) identification of an eligible project;
                (B) a schedule and finance plan for the construction and
            operation of the eligible project;
                (C) an analysis of the efficiencies of the proposed project
            development and delivery methods or innovative financing
            arrangement for the eligible project; and
                (D) a certification that the recipient's existing public
            transportation system is in a state of good repair.
            (6) Selection criteria.--The Secretary may award a full funding
        grant agreement under this subsection if the Secretary determines
        that--
                (A) the recipient has completed planning and the activities
            required under the National Environmental Policy Act of 1969
            (42 U.S.C. 4321 et seq.); and
                (B) the recipient has the necessary legal, financial, and
            technical capacity to carry out the eligible project.
            (7) Before and after study and report.--
                (A) Study required.--A full funding grant agreement under
            this paragraph shall require a recipient to conduct a study
            that--
                    (i) describes and analyzes the impacts of the eligible
                project on public transportation services and public
                transportation ridership;
                    (ii) describes and analyzes the consistency of
                predicted and actual benefits and costs of the innovative
                project development and delivery methods or innovative
                financing for the eligible project; and
                    (iii) identifies reasons for any differences between
                predicted and actual outcomes for the eligible project.
                (B) Submission of report.--Not later than 9 months after an
            eligible project selected to participate in the program begins
            revenue operations, the recipient shall submit to the Secretary
            a report on the results of the study under subparagraph (A).
    SEC. 20009. MOBILITY OF SENIORS AND INDIVIDUALS WITH DISABILITIES.
        Section 5310 of title 49, United States Code, is amended to read as
    follows:
    ``Sec. 5310. Formula grants for the enhanced mobility of seniors and
        individuals with disabilities
        ``(a) Definitions.--In this section, the following definitions
    shall apply:
            ``(1) Recipient.--The term `recipient' means a designated
        recipient or a State that receives a grant under this section
        directly.
            ``(2) Subrecipient.--The term `subrecipient' means a State or
        local governmental authority, a private nonprofit organization, or
        an operator of public transportation that receives a grant under
        this section indirectly through a recipient.
        ``(b) General Authority.--
            ``(1) Grants.--The Secretary may make grants under this section
        to recipients for--
                ``(A) public transportation projects planned, designed, and
            carried out to meet the special needs of seniors and
            individuals with disabilities when public transportation is
            insufficient, inappropriate, or unavailable;
                ``(B) public transportation projects that exceed the
            requirements of the Americans with Disabilities Act of 1990 (42
            U.S.C. 12101 et seq.);
                ``(C) public transportation projects that improve access to
            fixed route service and decrease reliance by individuals with
            disabilities on complementary paratransit; and
                ``(D) alternatives to public transportation that assist
            seniors and individuals with disabilities with transportation.
            ``(2) Limitations for capital projects.--
                ``(A) Amount available.--The amount available for capital
            projects under paragraph (1)(A) shall be not less than 55
            percent of the funds apportioned to the recipient under this
            section.
                ``(B) Allocation to subrecipients.--A recipient of a grant
            under paragraph (1)(A) may allocate the amounts provided under
            the grant to--
                    ``(i) a private nonprofit organization; or
                    ``(ii) a State or local governmental authority that--

                        ``(I) is approved by a State to coordinate services
                    for seniors and individuals with disabilities; or
                        ``(II) certifies that there are no private
                    nonprofit organizations readily available in the area
                    to provide the services described in paragraph (1)(A).

            ``(3) Administrative expenses.--A recipient may use not more
        than 10 percent of the amounts apportioned to the recipient under
        this section to administer, plan, and provide technical assistance
        for a project funded under this section.
            ``(4) Eligible capital expenses.--The acquisition of public
        transportation services is an eligible capital expense under this
        section.
            ``(5) Coordination.--
                ``(A) Department of transportation.--To the maximum extent
            feasible, the Secretary shall coordinate activities under this
            section with related activities under other Federal departments
            and agencies.
                ``(B) Other federal agencies and nonprofit organizations.--
            A State or local governmental authority or nonprofit
            organization that receives assistance from Government sources
            (other than the Department of Transportation) for nonemergency
            transportation services shall--
                    ``(i) participate and coordinate with recipients of
                assistance under this chapter in the design and delivery of
                transportation services; and
                    ``(ii) participate in the planning for the
                transportation services described in clause (i).
            ``(6) Program of projects.--
                ``(A) In general.--Amounts made available to carry out this
            section may be used for transportation projects to assist in
            providing transportation services for seniors and individuals
            with disabilities, if such transportation projects are included
            in a program of projects.
                ``(B) Submission.--A recipient shall annually submit a
            program of projects to the Secretary.
                ``(C) Assurance.--The program of projects submitted under
            subparagraph (B) shall contain an assurance that the program
            provides for the maximum feasible coordination of
            transportation services assisted under this section with
            transportation services assisted by other Government sources.
            ``(7) Meal delivery for homebound individuals.--A public
        transportation service provider that receives assistance under this
        section or section 5311(c) may coordinate and assist in regularly
        providing meal delivery service for homebound individuals, if the
        delivery service does not conflict with providing public
        transportation service or reduce service to public transportation
        passengers.
        ``(c) Apportionment and Transfers.--
            ``(1) Formula.--The Secretary shall apportion amounts made
        available to carry out this section as follows:
                ``(A) Large urbanized areas.--Sixty percent of the funds
            shall be apportioned among designated recipients for urbanized
            areas with a population of 200,000 or more individuals, as
            determined by the Bureau of the Census, in the ratio that--
                    ``(i) the number of seniors and individuals with
                disabilities in each such urbanized area; bears to
                    ``(ii) the number of seniors and individuals with
                disabilities in all such urbanized areas.
                ``(B) Small urbanized areas.--Twenty percent of the funds
            shall be apportioned among the States in the ratio that--
                    ``(i) the number of seniors and individuals with
                disabilities in urbanized areas with a population of fewer
                than 200,000 individuals, as determined by the Bureau of
                the Census, in each State; bears to
                    ``(ii) the number of seniors and individuals with
                disabilities in urbanized areas with a population of fewer
                than 200,000 individuals, as determined by the Bureau of
                the Census, in all States.
                ``(C) Rural areas.--Twenty percent of the funds shall be
            apportioned among the States in the ratio that--
                    ``(i) the number of seniors and individuals with
                disabilities in rural areas in each State; bears to
                    ``(ii) the number of seniors and individuals with
                disabilities in rural areas in all States.
            ``(2) Areas served by projects.--
                ``(A) In general.--Except as provided in subparagraph (B)--
                    ``(i) funds apportioned under paragraph (1)(A) shall be
                used for projects serving urbanized areas with a population
                of 200,000 or more individuals, as determined by the Bureau
                of the Census;
                    ``(ii) funds apportioned under paragraph (1)(B) shall
                be used for projects serving urbanized areas with a
                population of fewer than 200,000 individuals, as determined
                by the Bureau of the Census; and
                    ``(iii) funds apportioned under paragraph (1)(C) shall
                be used for projects serving rural areas.
                ``(B) Exceptions.--A State may use funds apportioned to the
            State under subparagraph (B) or (C) of paragraph (1)--
                    ``(i) for a project serving an area other than an area
                specified in subparagraph (A)(ii) or (A)(iii), as the case
                may be, if the Governor of the State certifies that all of
                the objectives of this section are being met in the area
                specified in subparagraph (A)(ii) or (A)(iii); or
                    ``(ii) for a project anywhere in the State, if the
                State has established a statewide program for meeting the
                objectives of this section.
                ``(C) Limited to eligible projects.--Any funds transferred
            pursuant to subparagraph (B) shall be made available only for
            eligible projects selected under this section.
                ``(D) Consultation.--A recipient may transfer an amount
            under subparagraph (B) only after consulting with responsible
            local officials, publicly owned operators of public
            transportation, and nonprofit providers in the area for which
            the amount was originally apportioned.
        ``(d) Government Share of Costs.--
            ``(1) Capital projects.--A grant for a capital project under
        this section shall be in an amount equal to 80 percent of the net
        capital costs of the project, as determined by the Secretary.
            ``(2) Operating assistance.--A grant made under this section
        for operating assistance may not exceed an amount equal to 50
        percent of the net operating costs of the project, as determined by
        the Secretary.
            ``(3) Remainder of net costs.--The remainder of the net costs
        of a project carried out under this section--
                ``(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 or otherwise
            made available--
                    ``(i) to a department or agency of the Government
                (other than the Department of Transportation) that are
                eligible to be expended for transportation; or
                    ``(ii) to carry out the Federal lands highways program
                under section 204 of title 23.
            ``(4) Use of certain funds.--For purposes of paragraph
        (3)(B)(i), the prohibition under section 403(a)(5)(C)(vii) of the
        Social Security Act (42 U.S.C. 603(a)(5)(C)(vii)) on the use of
        grant funds for matching requirements shall not apply to Federal or
        State funds to be used for transportation purposes.
        ``(e) Grant Requirements.--
            ``(1) In general.--A grant under this section shall be subject
        to the same requirements as a grant under section 5307, to the
        extent the Secretary determines appropriate.
            ``(2) Certification requirements.--
                ``(A) Project selection and plan development.--Before
            receiving a grant under this section, each recipient shall
            certify that--
                    ``(i) the projects selected by the recipient are
                included in a locally developed, coordinated public
                transit-human services transportation plan;
                    ``(ii) the plan described in clause (i) was developed
                and approved through a process that included participation
                by seniors, individuals with disabilities, representatives
                of public, private, and nonprofit transportation and human
                services providers, and other members of the public; and
                    ``(iii) to the maximum extent feasible, the services
                funded under this section will be coordinated with
                transportation services assisted by other Federal
                departments and agencies, including any transportation
                activities carried out by a recipient of a grant from the
                Department of Health and Human Services.
                ``(B) Allocations to subrecipients.--If a recipient
            allocates funds received under this section to subrecipients,
            the recipient shall certify that the funds are allocated on a
            fair and equitable basis.
        ``(f) Competitive Process for Grants to Subrecipients.--
            ``(1) Areawide solicitations.--A recipient of funds apportioned
        under subsection (c)(1)(A) may conduct, in cooperation with the
        appropriate metropolitan planning organization, an areawide
        solicitation for applications for grants under this section.
            ``(2) Statewide solicitations.--A recipient of funds
        apportioned under subparagraph (B) or (C) of subsection (c)(1) may
        conduct a statewide solicitation for applications for grants under
        this section.
            ``(3) Application.--If the recipient elects to engage in a
        competitive process, a recipient or subrecipient seeking to receive
        a grant from funds apportioned under subsection (c) shall submit to
        the recipient making the election an application in such form and
        in accordance with such requirements as the recipient making the
        election shall establish.
        ``(g) Transfers of Facilities and Equipment.--A recipient may
    transfer a facility or equipment acquired using a grant under this
    section to any other recipient eligible to receive assistance under
    this chapter, if--
            ``(1) the recipient in possession of the facility or equipment
        consents to the transfer; and
            ``(2) the facility or equipment will continue to be used as
        required under this section.
        ``(h) Performance Measures.--
            ``(1) In general.--Not later than 1 year after the date of
        enactment of the Federal Public Transportation Act of 2012, the
        Secretary shall submit a report to the Committee on Banking,
        Housing, and Urban Affairs of the Senate and the Committee on
        Transportation and Infrastructure of the House of Representatives
        making recommendations on the establishment of performance measures
        for grants under this section. Such report shall be developed in
        consultation with national nonprofit organizations that provide
        technical assistance and advocacy on issues related to
        transportation services for seniors and individuals with
        disabilities.
            ``(2) Measures.--The performance measures to be considered in
        the report under paragraph (1) shall require the collection of
        quantitative and qualitative information, as available,
        concerning--
                ``(A) modifications to the geographic coverage of
            transportation service, the quality of transportation service,
            or service times that increase the availability of
            transportation services for seniors and individuals with
            disabilities;
                ``(B) ridership;
                ``(C) accessibility improvements; and
                ``(D) other measures, as the Secretary determines is
            appropriate.''.
    SEC. 20010. FORMULA GRANTS FOR RURAL AREAS.
        Section 5311 of title 49, United States Code, is amended to read as
    follows:
    ``Sec. 5311. Formula grants for rural areas
        ``(a) Definitions.--As used in this section, the following
    definitions shall apply:
            ``(1) Recipient.--The term `recipient' means a State or Indian
        tribe that receives a Federal transit program grant directly from
        the Government.
            ``(2) Subrecipient.--The term `subrecipient' means a State or
        local governmental authority, a nonprofit organization, or an
        operator of public transportation or intercity bus service that
        receives Federal transit program grant funds indirectly through a
        recipient.
        ``(b) General Authority.--
            ``(1) Grants authorized.--Except as provided by paragraph (2),
        the Secretary may award grants under this section to recipients
        located in rural areas for--
                ``(A) planning, provided that a grant under this section
            for planning activities shall be in addition to funding awarded
            to a State under section 5305 for planning activities that are
            directed specifically at the needs of rural areas in the State;
                ``(B) public transportation capital projects;
                ``(C) operating costs of equipment and facilities for use
            in public transportation;
                ``(D) job access and reverse commute projects; and
                ``(E) the acquisition of public transportation services,
            including service agreements with private providers of public
            transportation service.
            ``(2) State program.--
                ``(A) In general.--A project eligible for a grant under
            this section shall be included in a State program for public
            transportation service projects, including agreements with
            private providers of public transportation service.
                ``(B) Submission to secretary.--Each State shall submit to
            the Secretary annually the program described in subparagraph
            (A).
                ``(C) Approval.--The Secretary may not approve the program
            unless the Secretary determines that--
                    ``(i) the program provides a fair distribution of
                amounts in the State, including Indian reservations; and
                    ``(ii) the program provides 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 rural areas.
                ``(B) Grants and contracts.--In carrying out this
            paragraph, the Secretary may use not more than 2 percent of the
            amount made available under section 5338(a)(2)(E) to make
            grants and contracts for transportation research, technical
            assistance, training, and related support services in rural
            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 competitively selected
            projects of a national scope, with the remaining balance
            provided to the States.
            ``(4) Data collection.--Each recipient under this section shall
        submit an annual report to the Secretary containing information on
        capital investment, operations, and service provided with funds
        received under this section, including--
                ``(A) total annual revenue;
                ``(B) sources of revenue;
                ``(C) total annual operating costs;
                ``(D) total annual capital costs;
                ``(E) fleet size and type, and related facilities;
                ``(F) vehicle revenue miles; and
                ``(G) ridership.
        ``(c) Apportionments.--
            ``(1) Public transportation on indian reservations.--Of the
        amounts made available or appropriated for each fiscal year
        pursuant to section 5338(a)(2)(E) to carry out this paragraph, the
        following amounts shall be apportioned each fiscal year for grants
        to Indian tribes for any purpose eligible under this section, under
        such terms and conditions as may be established by the Secretary:
                ``(A) $5,000,000 shall be distributed on a competitive
            basis by the Secretary.
                ``(B) $25,000,000 shall be apportioned as formula grants,
            as provided in subsection (j).
            ``(2) Appalachian development public transportation assistance
        program.--
                ``(A) Definitions.--In this paragraph--
                    ``(i) the term `Appalachian region' has the same
                meaning as in section 14102 of title 40; and
                    ``(ii) the term `eligible recipient' means a State that
                participates in a program established under subtitle IV of
                title 40.
                ``(B) In general.--The Secretary shall carry out a public
            transportation assistance program in the Appalachian region.
                ``(C) Apportionment.--Of amounts made available or
            appropriated for each fiscal year under section 5338(a)(2)(E)
            to carry out this paragraph, the Secretary shall apportion
            funds to eligible recipients for any purpose eligible under
            this section, based on the guidelines established under section
            9.5(b) of the Appalachian Regional Commission Code.
                ``(D) Special rule.--An eligible recipient may use amounts
            that cannot be used for operating expenses under this paragraph
            for a highway project if--
                    ``(i) that use is approved, in writing, by the eligible
                recipient after appropriate notice and an opportunity for
                comment and appeal are provided to affected public
                transportation providers; and
                    ``(ii) the eligible recipient, in approving the use of
                amounts under this subparagraph, determines that the local
                transit needs are being addressed.
            ``(3) Remaining amounts.--
                ``(A) In general.--The amounts made available or
            appropriated for each fiscal year pursuant to section
            5338(a)(2)(E) that are not apportioned under paragraph (1) or
            (2) shall be apportioned in accordance with this paragraph.
                ``(B) Apportionment based on land area and population in
            nonurbanized areas.--
                    ``(i) In general.--83.15 percent of the amount
                described in subparagraph (A) shall be apportioned to the
                States in accordance with this subparagraph.
                    ``(ii) Land area.--

                        ``(I) In general.--Subject to subclause (II), each
                    State shall receive an amount that is equal to 20
                    percent of the amount apportioned under clause (i),
                    multiplied by the ratio of the land area in rural areas
                    in that State and divided by the land area in all rural
                    areas in the United States, as shown by the most recent
                    decennial census of population.
                        ``(II) Maximum apportionment.--No State shall
                    receive more than 5 percent of the amount apportioned
                    under subclause (I).

                    ``(iii) Population.--Each State shall receive an amount
                equal to 80 percent of the amount apportioned under clause
                (i), multiplied by the ratio of the population of rural
                areas in that State and divided by the population of all
                rural areas in the United States, as shown by the most
                recent decennial census of population.
                ``(C) Apportionment based on land area, vehicle revenue
            miles, and low-income individuals in nonurbanized areas.--
                    ``(i) In general.--16.85 percent of the amount
                described in subparagraph (A) shall be apportioned to the
                States in accordance with this subparagraph.
                    ``(ii) Land area.--Subject to clause (v), each State
                shall receive an amount that is equal to 29.68 percent of
                the amount apportioned under clause (i), multiplied by the
                ratio of the land area in rural areas in that State and
                divided by the land area in all rural areas in the United
                States, as shown by the most recent decennial census of
                population.
                    ``(iii) Vehicle revenue miles.--Subject to clause (v),
                each State shall receive an amount that is equal to 29.68
                percent of the amount apportioned under clause (i),
                multiplied by the ratio of vehicle revenue miles in rural
                areas in that State and divided by the vehicle revenue
                miles in all rural areas in the United States, as
                determined by national transit database reporting.
                    ``(iv) Low-income individuals.--Each State shall
                receive an amount that is equal to 40.64 percent of the
                amount apportioned under clause (i), multiplied by the
                ratio of low-income individuals in rural areas in that
                State and divided by the number of low-income individuals
                in all rural areas in the United States, as shown by the
                Bureau of the Census.
                    ``(v) Maximum apportionment.--No State shall receive--

                        ``(I) more than 5 percent of the amount apportioned
                    under clause (ii); or
                        ``(II) more than 5 percent of the amount
                    apportioned under clause (iii).

        ``(d) Use for Local Transportation Service.--A State may use an
    amount apportioned under this section for a project included in a
    program under subsection (b) of this section and eligible for
    assistance under this chapter if the project will provide local
    transportation service, as defined by the Secretary of Transportation,
    in a rural area.
        ``(e) Use for Administration, Planning, and Technical Assistance.--
    The Secretary may allow a State to use not more than 10 percent of the
    amount apportioned under this section to administer this section and
    provide technical assistance to a subrecipient, including project
    planning, program and management development, coordination of public
    transportation programs, and research the State considers appropriate
    to promote effective delivery of public transportation to a rural area.
        ``(f) Intercity Bus Transportation.--
            ``(1) In general.--A State shall expend at least 15 percent of
        the amount made available in each fiscal year to carry out a
        program to develop and support intercity bus transportation.
        Eligible activities under the program include--
                ``(A) planning and marketing for intercity bus
            transportation;
                ``(B) capital grants for intercity bus facilities;
                ``(C) joint-use facilities;
                ``(D) operating grants through purchase-of-service
            agreements, user-side subsidies, and demonstration projects;
            and
                ``(E) coordinating rural connections between small public
            transportation operations and intercity bus carriers.
            ``(2) Certification.--A State does not have to comply with
        paragraph (1) of this subsection in a fiscal year in which the
        Governor of the State certifies to the Secretary, after
        consultation with affected intercity bus service providers, that
        the intercity bus service needs of the State are being met
        adequately.
        ``(g) Government Share of Costs.--
            ``(1) Capital projects.--
                ``(A) In general.--Except as provided by subparagraph (B),
            a grant awarded under this section for a capital project or
            project administrative expenses shall be for 80 percent of the
            net costs of the project, as determined by the Secretary.
                ``(B) Exception.--A State described in section 120(b) of
            title 23 shall receive a Government share of the net costs in
            accordance with the formula under that section.
            ``(2) Operating assistance.--
                ``(A) In general.--Except as provided by subparagraph (B),
            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.
                ``(B) Exception.--A State described in section 120(b) of
            title 23 shall receive a Government share of the net operating
            costs equal to 62.5 percent of the Government share provided
            for under paragraph (1)(B).
            ``(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;
                ``(B) may be derived from amounts appropriated or otherwise
            made available to a department or agency of the Government
            (other than the Department of Transportation) that are eligible
            to be expended for transportation;
                ``(C) notwithstanding subparagraph (B), may be derived from
            amounts made available to carry out the Federal lands highway
            program established by section 204 of title 23; and
                ``(D) in the case of an intercity bus project that includes
            both feeder service and an unsubsidized segment of intercity
            bus service to which the feeder service connects, may be
            derived from the costs of a private operator for the
            unsubsidized segment of intercity bus service as an in-kind
            match for the operating costs of connecting rural intercity bus
            feeder service funded under subsection (f), if the private
            operator agrees in writing to the use of the costs of the
            private operator for the unsubsidized segment of intercity bus
            service as an in-kind match.
            ``(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.
        ``(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.
        ``(i) Relationship to Other Laws.--
            ``(1) In general.--Section 5333(b) applies to this section if
        the Secretary of Labor utilizes a special warranty that provides a
        fair and equitable arrangement to protect the interests of
        employees.
            ``(2) Rule of construction.--This subsection does not affect or
        discharge a responsibility of the Secretary of Transportation under
        a law of the United States.
        ``(j) Formula Grants for Public Transportation on Indian
    Reservations.--
            ``(1) Apportionment.--
                ``(A) In general.--Of the amounts described in subsection
            (c)(1)(B)--
                    ``(i) 50 percent of the total amount shall be
                apportioned so that each Indian tribe providing public
                transportation service shall receive an amount equal to the
                total amount apportioned under this clause multiplied by
                the ratio of the number of vehicle revenue miles provided
                by an Indian tribe divided by the total number of vehicle
                revenue miles provided by all Indian tribes, as reported to
                the Secretary;
                    ``(ii) 25 percent of the total amount shall be
                apportioned equally among each Indian tribe providing at
                least 200,000 vehicle revenue miles of public
                transportation service annually, as reported to the
                Secretary; and
                    ``(iii) 25 percent of the total amount shall be
                apportioned among each Indian tribe providing public
                transportation on tribal lands (as defined by the Bureau of
                the Census) on which more than 1,000 low-income individuals
                reside (as determined by the Bureau of the Census) so that
                each Indian tribe shall receive an amount equal to the
                total amount apportioned under this clause multiplied by
                the ratio of the number of low-income individuals residing
                on an Indian tribe's lands divided by the total number of
                low-income individuals on tribal lands on which more than
                1,000 low-income individuals reside.
                ``(B) Limitation.--No recipient shall receive more than
            $300,000 of the amounts apportioned under subparagraph (A)(iii)
            in a fiscal year.
                ``(C) Remaining amounts.--Of the amounts made available
            under subparagraph (A)(iii), any amounts not apportioned under
            that subparagraph shall be allocated among Indian tribes
            receiving less than $300,000 in a fiscal year according to the
            formula specified in that clause.
                ``(D) Low-income individuals.--For purposes of subparagraph
            (A)(iii), the term `low-income individual' means an individual
            whose family income is at or below 100 percent of the poverty
            line, as that term is defined in section 673(2) of the
            Community Services Block Grant Act (42 U.S.C. 9902(2)),
            including any revision required by that section, for a family
            of the size involved.
            ``(2) Non-tribal service providers.--A recipient that is an
        Indian tribe may use funds apportioned under this subsection to
        finance public transportation services provided by a non-tribal
        provider of public transportation that connects residents of tribal
        lands with surrounding communities, improves access to employment
        or healthcare, or otherwise addresses the mobility needs of tribal
        members.''.
    SEC. 20011. RESEARCH, DEVELOPMENT, DEMONSTRATION, AND DEPLOYMENT
    PROJECTS.
        Section 5312 of title 49, United States Code, is amended to read as
    follows:
    ``Sec. 5312. Research, development, demonstration, and deployment
        projects
        ``(a) Research, Development, Demonstration, and Deployment
    Projects.--
            ``(1) In general.--The Secretary may make grants and enter into
        contracts, cooperative agreements, and other agreements for
        research, development, demonstration, and deployment projects, and
        evaluation of research and technology of national significance to
        public transportation, that the Secretary determines will improve
        public transportation.
            ``(2) Agreements.--In order to carry out paragraph (1), the
        Secretary may make grants to and enter into contracts, cooperative
        agreements, and other agreements with--
                ``(A) departments, agencies, and instrumentalities of the
            Government, including Federal laboratories;
                ``(B) State and local governmental entities;
                ``(C) providers of public transportation;
                ``(D) private or non-profit organizations;
                ``(E) institutions of higher education; and
                ``(F) technical and community colleges.
            ``(3) Application.--
                ``(A) In general.--To receive a grant, contract,
            cooperative agreement, or other agreement under this section,
            an entity described in paragraph (2) shall submit an
            application to the Secretary.
                ``(B) Form and contents.--An application under subparagraph
            (A) shall be in such form and contain such information as the
            Secretary may require, including--
                    ``(i) a statement of purpose detailing the need being
                addressed;
                    ``(ii) the short- and long-term goals of the project,
                including opportunities for future innovation and
                development, the potential for deployment, and benefits to
                riders and public transportation; and
                    ``(iii) the short- and long-term funding requirements
                to complete the project and any future objectives of the
                project.
        ``(b) Research.--
            ``(1) In general.--The Secretary may make a grant to or enter
        into a contract, cooperative agreement, or other agreement under
        this section with an entity described in subsection (a)(2) to carry
        out a public transportation research project that has as its
        ultimate goal the development and deployment of new and innovative
        ideas, practices, and approaches.
            ``(2) Project eligibility.--A public transportation research
        project that receives assistance under paragraph (1) shall focus
        on--
                ``(A) providing more effective and efficient public
            transportation service, including services to--
                    ``(i) seniors;
                    ``(ii) individuals with disabilities; and
                    ``(iii) low-income individuals;
                ``(B) mobility management and improvements and travel
            management systems;
                ``(C) data and communication system advancements;
                ``(D) system capacity, including--
                    ``(i) train control;
                    ``(ii) capacity improvements; and
                    ``(iii) performance management;
                ``(E) capital and operating efficiencies;
                ``(F) planning and forecasting modeling and simulation;
                ``(G) advanced vehicle design;
                ``(H) advancements in vehicle technology;
                ``(I) asset maintenance and repair systems advancement;
                ``(J) construction and project management;
                ``(K) alternative fuels;
                ``(L) the environment and energy efficiency;
                ``(M) safety improvements; or
                ``(N) any other area that the Secretary determines is
            important to advance the interests of public transportation.
        ``(c) Innovation and Development.--
            ``(1) In general.--The Secretary may make a grant to or enter
        into a contract, cooperative agreement, or other agreement under
        this section with an entity described in subsection (a)(2) to carry
        out a public transportation innovation and development project that
        seeks to improve public transportation systems nationwide in order
        to provide more efficient and effective delivery of public
        transportation services, including through technology and
        technological capacity improvements.
            ``(2) Project eligibility.--A public transportation innovation
        and development project that receives assistance under paragraph
        (1) shall focus on--
                ``(A) the development of public transportation research
            projects that received assistance under subsection (b) that the
            Secretary determines were successful;
                ``(B) planning and forecasting modeling and simulation;
                ``(C) capital and operating efficiencies;
                ``(D) advanced vehicle design;
                ``(E) advancements in vehicle technology;
                ``(F) the environment and energy efficiency;
                ``(G) system capacity, including train control and capacity
            improvements; or
                ``(H) any other area that the Secretary determines is
            important to advance the interests of public transportation.
        ``(d) Demonstration, Deployment, and Evaluation.--
            ``(1) In general.--The Secretary may, under terms and
        conditions that the Secretary prescribes, make a grant to or enter
        into a contract, cooperative agreement, or other agreement with an
        entity described in paragraph (2) to promote the early deployment
        and demonstration of innovation in public transportation that has
        broad applicability.
            ``(2) Participants.--An entity described in this paragraph is--
                ``(A) an entity described in subsection (a)(2); or
                ``(B) a consortium of entities described in subsection
            (a)(2), including a provider of public transportation, that
            will share the costs, risks, and rewards of early deployment
            and demonstration of innovation.
            ``(3) Project eligibility.--A project that receives assistance
        under paragraph (1) shall seek to build on successful research,
        innovation, and development efforts to facilitate--
                ``(A) the deployment of research and technology development
            resulting from private efforts or Federally funded efforts; and
                ``(B) the implementation of research and technology
            development to advance the interests of public transportation.
            ``(4) Evaluation.--Not later than 2 years after the date on
        which a project receives assistance under paragraph (1), the
        Secretary shall conduct a comprehensive evaluation of the success
        or failure of the projects funded under this subsection and any
        plan for broad-based implementation of the innovation promoted by
        successful projects.
            ``(5) Low or no emission vehicle deployment.--
                ``(A) Definitions.--In this paragraph, the following
            definitions shall apply:
                    ``(i) Eligible area.--The term `eligible area' means an
                area that is--

                        ``(I) 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) a maintenance area, as defined in section
                    5303, for ozone or carbon monoxide.

                    ``(ii) Eligible project.--The term `eligible project'
                means a project or program of projects in an eligible area
                for--

                        ``(I) acquiring or leasing low or no emission
                    vehicles;
                        ``(II) constructing or leasing facilities and
                    related equipment for low or no emission vehicles;
                        ``(III) constructing new public transportation
                    facilities to accommodate low or no emission vehicles;
                    or
                        ``(IV) rehabilitating or improving existing public
                    transportation facilities to accommodate low or no
                    emission vehicles.

                    ``(iii) Direct carbon emissions.--The term `direct
                carbon emissions' means the quantity of direct greenhouse
                gas emissions from a vehicle, as determined by the
                Administrator of the Environmental Protection Agency.
                    ``(iv) Low or no emission bus.--The term `low or no
                emission bus' means a bus that is a low or no emission
                vehicle.
                    ``(v) Low or no emission vehicle.--The term `low or no
                emission vehicle' means--

                        ``(I) a passenger vehicle used to provide public
                    transportation that the Administrator of the
                    Environmental Protection Agency has certified
                    sufficiently reduces energy consumption or reduces
                    harmful emissions, including direct carbon emissions,
                    when compared to a comparable standard vehicle; or
                        ``(II) a zero emission bus used to provide public
                    transportation.

                    ``(vi) Recipient.--The term `recipient' means--

                        ``(I) for an eligible area that is an urbanized
                    area with a population of fewer than 200,000
                    individuals, as determined by the Bureau of the Census,
                    the State in which the eligible area is located; and
                        ``(II) for an eligible area not described in
                    subparagraph (A), the designated recipient for the
                    eligible area.

                    ``(vii) Zero emission bus.--The term `zero emission
                bus' means a low or no emission bus that produces no carbon
                or particulate matter.
                ``(B) Authority.--The Secretary may make grants to
            recipients to finance eligible projects under this paragraph.
                ``(C) Grant requirements.--
                    ``(i) In general.--A grant under this paragraph shall
                be subject to the requirements of section 5307.
                    ``(ii) Government share of costs for certain
                projects.--Section 5323(j) applies to projects carried out
                under this paragraph, unless the grant recipient requests a
                lower grant percentage.
                    ``(iii) Combination of funding sources.--

                        ``(I) Combination permitted.--A project carried out
                    under this paragraph may receive funding under section
                    5307, or any other provision of law.
                        ``(II) Government share.--Nothing in this clause
                    may be construed to alter the Government share required
                    under this section, section 5307, or any other
                    provision of law.

                ``(D) Minimum amounts.--Of amounts made available by or
            appropriated under section 5338(b) in each fiscal year to carry
            out this paragraph--
                    ``(i) not less than 65 percent shall be made available
                to fund eligible projects relating to low or no emission
                buses; and
                    ``(ii) not less than 10 percent shall be made available
                for eligible projects relating to facilities and related
                equipment for low or no emission buses.
                ``(E) Competitive process.--The Secretary shall solicit
            grant applications and make grants for eligible projects on a
            competitive basis.
                ``(F) Priority consideration.--In making grants under this
            paragraph, the Secretary shall give priority to projects
            relating to low or no emission buses that make greater
            reductions in energy consumption and harmful emissions,
            including direct carbon emissions, than comparable standard
            buses or other low or no emission buses.
                ``(G) Availability of funds.--Any amounts made available or
            appropriated to carry out this paragraph--
                    ``(i) shall remain available to an eligible project for
                2 years after the fiscal year for which the amount is made
                available or appropriated; and
                    ``(ii) that remain unobligated at the end of the period
                described in clause (i) shall be added to the amount made
                available to an eligible project in the following fiscal
                year.
        ``(e) Annual Report on Research.--Not later than the first Monday
    in February of each year, the Secretary shall submit to the Committee
    on Banking, Housing, and Urban Affairs and the Committee on
    Appropriations of the Senate and the Committee on Transportation and
    Infrastructure, the Committee on Science, Space, and Technology, and
    the Committee on Appropriations of the House of Representatives a
    report that includes--
            ``(1) a description of each project that received assistance
        under this section during the preceding fiscal year;
            ``(2) an evaluation of each project described in paragraph (1),
        including any evaluation conducted under subsection (d)(4) for the
        preceding fiscal year; and
            ``(3) a proposal for allocations of amounts for assistance
        under this section for the subsequent fiscal year.
        ``(f) Government Share of Costs.--
            ``(1) In general.--The Government share of the cost of a
        project carried out under this section shall not exceed 80 percent.
            ``(2) Non-government share.--The non-Government share of the
        cost of a project carried out under this section may be derived
        from in-kind contributions.
            ``(3) Financial benefit.--If the Secretary determines that
        there would be a clear and direct financial benefit to an entity
        under a grant, contract, cooperative agreement, or other agreement
        under this section, the Secretary shall establish a Government
        share of the costs of the project to be carried out under the
        grant, contract, cooperative agreement, or other agreement that is
        consistent with the benefit.''.
    SEC. 20012. TECHNICAL ASSISTANCE AND STANDARDS DEVELOPMENT.
        Section 5314 of title 49, United States Code, is amended to read as
    follows:
    ``Sec. 5314. Technical assistance and standards development
        ``(a) Technical Assistance and Standards Development.--
            ``(1) In general.--The Secretary may make grants and enter into
        contracts, cooperative agreements, and other agreements (including
        agreements with departments, agencies, and instrumentalities of the
        Government) to carry out activities that the Secretary determines
        will assist recipients of assistance under this chapter to--
                ``(A) more effectively and efficiently provide public
            transportation service;
                ``(B) administer funds received under this chapter in
            compliance with Federal law; and
                ``(C) improve public transportation.
            ``(2) Eligible activities.--The activities carried out under
        paragraph (1) may include--
                ``(A) technical assistance; and
                ``(B) the development of voluntary and consensus-based
            standards and best practices by the public transportation
            industry, including standards and best practices for safety,
            fare collection, Intelligent Transportation Systems,
            accessibility, procurement, security, asset management to
            maintain a state of good repair, operations, maintenance,
            vehicle propulsion, communications, and vehicle electronics.
        ``(b) Technical Assistance.--The Secretary, through a competitive
    bid process, may enter into contracts, cooperative agreements, and
    other agreements with national nonprofit organizations that have the
    appropriate demonstrated capacity to provide public transportation-
    related technical assistance under this section. The Secretary may
    enter into such contracts, cooperative agreements, and other agreements
    to assist providers of public transportation to--
            ``(1) comply with the Americans with Disabilities Act of 1990
        (42 U.S.C. 12101 et seq.) through technical assistance,
        demonstration programs, research, public education, and other
        activities related to complying with such Act;
            ``(2) comply with human services transportation coordination
        requirements and to enhance the coordination of Federal resources
        for human services transportation with those of the Department of
        Transportation through technical assistance, training, and support
        services related to complying with such requirements;
            ``(3) meet the transportation needs of elderly individuals;
            ``(4) increase transit ridership in coordination with
        metropolitan planning organizations and other entities through
        development around public transportation stations through technical
        assistance and the development of tools, guidance, and analysis
        related to market-based development around transit stations;
            ``(5) address transportation equity with regard to the effect
        that transportation planning, investment and operations have for
        low-income and minority individuals; and
            ``(6) any other technical assistance activity that the
        Secretary determines is necessary to advance the interests of
        public transportation.
        ``(c) Annual Report on Technical Assistance.--Not later than the
    first Monday in February of each year, the Secretary shall submit to
    the Committee on Banking, Housing, and Urban Affairs and the Committee
    on Appropriations of the Senate and the Committee on Transportation and
    Infrastructure, the Committee on Science, Space, and Technology, and
    the Committee on Appropriations of the House of Representatives a
    report that includes--
            ``(1) a description of each project that received assistance
        under this section during the preceding fiscal year;
            ``(2) an evaluation of the activities carried out by each
        organization that received assistance under this section during the
        preceding fiscal year; and
            ``(3) a proposal for allocations of amounts for assistance
        under this section for the subsequent fiscal year.
        ``(d) Government Share of Costs.--
            ``(1) In general.--The Government share of the cost of an
        activity carried out using a grant under this section may not
        exceed 80 percent.
            ``(2) Non-government share.--The non-Government share of the
        cost of an activity carried out using a grant under this section
        may be derived from in-kind contributions.''.
    SEC. 20013. PRIVATE SECTOR PARTICIPATION.
        (a) In General.--Section 5315 of title 49, United States Code, is
    amended to read as follows:
    ``Sec. 5315. Private sector participation
        ``(a) General Purposes.--In the interest of fulfilling the general
    purposes of this chapter under section 5301(b), the Secretary shall--
            ``(1) better coordinate public and private sector-provided
        public transportation services;
            ``(2) promote more effective utilization of private sector
        expertise, financing, and operational capacity to deliver costly
        and complex new fixed guideway capital projects; and
            ``(3) promote transparency and public understanding of public-
        private partnerships affecting public transportation.
        ``(b) Actions to Promote Better Coordination Between Public and
    Private Sector Providers of Public Transportation.--The Secretary
    shall--
            ``(1) provide technical assistance to recipients of Federal
        transit grant assistance, at the request of a recipient, on
        practices and methods to best utilize private providers of public
        transportation; and
            ``(2) educate recipients of Federal transit grant assistance on
        laws and regulations under this chapter that impact private
        providers of public transportation.
        ``(c) Actions to Provide Technical Assistance for Alternative
    Project Delivery Methods.--Upon request by a sponsor of a new fixed
    guideway capital project, the Secretary shall--
            ``(1) identify best practices for public-private partnerships
        models in the United States and in other countries;
            ``(2) develop standard public-private partnership transaction
        model contracts; and
            ``(3) perform financial assessments that include the
        calculation of public and private benefits of a proposed public-
        private partnership transaction.''.
        (b) Public-private Partnership Procedures and Approaches.--
            (1) Identify impediments.--The Secretary shall--
                (A) except as provided in paragraph (6), identify any
            provisions of chapter 53 of title 49, United States Code, and
            any regulations or practices thereunder, that impede greater
            use of public-private partnerships and private investment in
            public transportation capital projects; and
                (B) develop and implement on a project basis procedures and
            approaches that--
                    (i) address such impediments in a manner similar to the
                Special Experimental Project Number 15 of the Federal
                Highway Administration (commonly referred to as ``SEP-
                15''); and
                    (ii) protect the public interest and any public
                investment in public transportation capital projects that
                involve public-private partnerships or private investment
                in public transportation capital projects.
            (2) Transparency.--The Secretary shall develop guidance to
        promote greater transparency and public access to public-private
        partnership agreements involving recipients of Federal assistance
        under chapter 53 of title 49, United States Code, including--
                (A) any conflict of interest involving any party involved
            in the public-private partnership;
                (B) tax and financing aspects related to a public-private
            partnership agreement;
                (C) changes in the workforce and wages, benefits, or rules
            as a result of a public-private partnership;
                (D) estimates of the revenue or savings the public-private
            partnership will produce for the private entity and public
            entity;
                (E) any impacts on other developments and transportation
            modes as a result of non-compete clauses contained in public-
            private partnership agreements; and
                (F) any other issues the Secretary believes will increase
            transparency of public-private partnership agreements and
            protect the public interest.
            (3) Assessment.--In developing and implementing the guidance
        under paragraph (2), the Secretary shall encourage project sponsors
        to conduct assessments to determine whether use of a public-private
        partnership represents a better public and financial benefit than a
        similar transaction using public funding or public project
        delivery.
            (4) Report.--Not later than 4 years after the date of enactment
        of this Act, the Secretary shall submit to Congress a report on the
        status of the procedures, approaches, and guidance developed and
        implemented under paragraphs (1) and (2).
            (5) Rulemaking.--Not later than 1 year after the date of
        enactment of this Act, the Secretary shall issue rules to carry out
        the procedures and approaches developed under paragraph (1).
            (6) Rule of construction.--Nothing in this subsection may be
        construed to allow the Secretary to waive any requirement under--
                (A) section 5333 of title 49, United States Code;
                (B) the National Environmental Policy Act of 1969 (42
            U.S.C. 4321 et seq.); or
                (C) any other provision of Federal law.
        (c) Contracting Out Study.--
            (1) In general.--Not later than 1 year after the date of
        enactment of this Act, the Comptroller General of the United States
        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 comprehensive report on
        the effect of contracting out public transportation operations and
        administrative functions on cost, availability and level of
        service, efficiency, and quality of service.
            (2) Considerations.--In developing the report, the Comptroller
        General shall consider--
                (A) the number of grant recipients that have contracted out
            services and the types of public transportation services that
            are performed under contract, including paratransit service,
            fixed route bus service, commuter rail operations, and
            administrative functions;
                (B) the size of the populations served by such grant
            recipients;
                (C) the basis for decisions regarding contracting out such
            services;
                (D) comparative costs of providing service under contract
            to providing the same service through public transit agency
            employees, using to the greatest extent possible a standard
            cost allocation model;
                (E) the extent of unionization among privately contracted
            employees;
                (F) the impact to wages and benefits of employees when
            publicly provided public transportation services are contracted
            out to a private for-profit entity;
                (G) the level of transparency and public access to
            agreements and contracts related to contracted out public
            transportation services;
                (H) the extent of Federal law, regulations and guidance
            prohibiting any conflicts of interest for contractor employees
            and businesses;
                (I) the extent to which grant recipients evaluate
            contracted out services before selecting them and the extent to
            which grant recipients conduct oversight of those services; and
                (J) barriers to contracting out public transportation
            operations and administrative functions.
        (d) Guidance on Documenting Compliance.--Not later than 1 year
    after the date of enactment of this Act, the Secretary shall publish in
    the Federal Register policy guidance regarding how to best document
    compliance by recipients of Federal assistance under chapter 53 of
    title 49, United States Code, with the requirements regarding private
    enterprise participation in public transportation planning and
    transportation improvement programs under sections 5303(i)(6), 5306(a),
    and 5307(c) of such title 49.
    SEC. 20014. BUS TESTING FACILITIES.
        Section 5318 of title 49, United States Code, is amended by
    striking subsection (e) and inserting the following:
        ``(e) Acquiring New Bus Models.--
            ``(1) In general.--Amounts appropriated or otherwise made
        available under this chapter may be obligated or expended to
        acquire a new bus model only if--
                ``(A) a bus of that model has been tested at a facility
            authorized under subsection (a); and
                ``(B) the bus tested under subparagraph (A) met--
                    ``(i) performance standards for maintainability,
                reliability, performance (including braking performance),
                structural integrity, fuel economy, emissions, and noise,
                as established by the Secretary by rule; and
                    ``(ii) the minimum safety performance standards
                established by the Secretary pursuant to section 5329(b).
            ``(2) Bus test `pass/fail' standard.--Not later than 2 years
        after the date of enactment of the Federal Public Transportation
        Act of 2012, the Secretary shall issue a final rule under
        subparagraph (B)(i). The final rule issued under paragraph (B)(i)
        shall include a bus model scoring system that results in a
        weighted, aggregate score that uses the testing categories under
        subsection (a) and considers the relative importance of each such
        testing category. The final rule issued under subparagraph (B)(i)
        shall establish a `pass/fail' standard that uses the aggregate
        score described in the preceding sentence. Amounts appropriated or
        otherwise made available under this chapter may be obligated or
        expended to acquire a new bus model only if the new bus model has
        received a passing aggregate test score. The Secretary shall work
        with the bus testing facility, bus manufacturers, and transit
        agencies to develop the bus model scoring system under this
        paragraph. A passing aggregate test score under the rule issued
        under subparagraph (B)(i) indicates only that amounts appropriated
        or made available under this chapter may be obligated or expended
        to acquire a new bus model and shall not be interpreted as a
        warranty or guarantee that the new bus model will meet a
        purchaser's specific requirements.''.
    SEC. 20015. HUMAN RESOURCES AND TRAINING.
        Section 5322 of title 49, United States Code, is amended to read as
    follows:
    ``Sec. 5322. Human resources and training
        ``(a) In General.--The Secretary may undertake, or make grants and
    contracts for, programs that address human resource needs as they apply
    to public transportation activities. A program may include--
            ``(1) an employment training program;
            ``(2) an outreach program to increase minority and female
        employment in public transportation activities;
            ``(3) research on public transportation personnel and training
        needs; and
            ``(4) training and assistance for minority business
        opportunities.
        ``(b) Innovative Public Transportation Workforce Development
    Program.--
            ``(1) Program established.--The Secretary shall establish a
        competitive grant program to assist the development of innovative
        activities eligible for assistance under subsection (a).
            ``(2) Selection of recipients.--To the maximum extent feasible,
        the Secretary shall select recipients that--
                ``(A) are geographically diverse;
                ``(B) address the workforce and human resources needs of
            large public transportation providers;
                ``(C) address the workforce and human resources needs of
            small public transportation providers;
                ``(D) address the workforce and human resources needs of
            urban public transportation providers;
                ``(E) address the workforce and human resources needs of
            rural public transportation providers;
                ``(F) advance training related to maintenance of
            alternative energy, energy efficiency, or zero emission
            vehicles and facilities used in public transportation;
                ``(G) target areas with high rates of unemployment; and
                ``(H) address current or projected workforce shortages in
            areas that require technical expertise.
        ``(c) Government's Share of Costs.--The Government share of the
    cost of a project carried out using a grant under subsection (a) or (b)
    shall be 50 percent.
        ``(d) National Transit Institute.--
            ``(1) Establishment.--The Secretary shall establish a national
        transit institute and award grants to a public 4-year degree-
        granting institution of higher education, as defined in section
        101(a) of the Higher Education Act of 1965 (20 U.S.C. 1001(a)), in
        order to carry out the duties of the institute.
            ``(2) Duties.--
                ``(A) In general.--In cooperation with the Federal Transit
            Administration, State transportation departments, public
            transportation authorities, and national and international
            entities, the institute established under paragraph (1) shall
            develop and conduct training and educational programs for
            Federal, State, and local transportation employees, United
            States citizens, and foreign nationals engaged or to be engaged
            in Government-aid public transportation work.
                ``(B) Training and educational programs.--The training and
            educational programs developed under subparagraph (A) may
            include courses in recent developments, techniques, and
            procedures related to--
                    ``(i) intermodal and public transportation planning;
                    ``(ii) management;
                    ``(iii) environmental factors;
                    ``(iv) acquisition and joint use rights-of-way;
                    ``(v) engineering and architectural design;
                    ``(vi) procurement strategies for public transportation
                systems;
                    ``(vii) turnkey approaches to delivering public
                transportation systems;
                    ``(viii) new technologies;
                    ``(ix) emission reduction technologies;
                    ``(x) ways to make public transportation accessible to
                individuals with disabilities;
                    ``(xi) construction, construction management,
                insurance, and risk management;
                    ``(xii) maintenance;
                    ``(xiii) contract administration;
                    ``(xiv) inspection;
                    ``(xv) innovative finance;
                    ``(xvi) workplace safety; and
                    ``(xvii) public transportation security.
            ``(3) Providing education and training.--Education and training
        of Government, State, and local transportation employees under this
        subsection shall be provided--
                ``(A) by the Secretary at no cost to the States and local
            governments for subjects that are a Government program
            responsibility; or
                ``(B) when the education and training are paid under
            paragraph (4) of this subsection, by the State, with the
            approval of the Secretary, through grants and contracts with
            public and private agencies, other institutions, individuals,
            and the institute.
            ``(4) Availability of amounts.--Not more than .5 percent of the
        amounts made available for a fiscal year beginning after September
        30, 1991, to a State or public transportation authority in the
        State to carry out sections 5307 and 5309 of this title is
        available for expenditure by the State and public transportation
        authorities in the State, with the approval of the Secretary, to
        pay not more than 80 percent of the cost of tuition and direct
        educational expenses related to educating and training State and
        local transportation employees under this subsection.
        ``(e) Report.--Not later than 2 years after the date of enactment
    of the Federal Public Transportation Act of 2012, the Secretary shall
    submit to the Committee on Banking, Housing, and Urban Affairs of the
    Senate and the Committee on Transportation and Infrastructure of the
    House of Representatives a report concerning the measurable outcomes
    and impacts of the programs funded under subsections (a) and (b).''.
    SEC. 20016. GENERAL PROVISIONS.
        Section 5323 of title 49, United States Code, is amended to read as
    follows:
    ``Sec. 5323. General provisions
        ``(a) Interests in Property.--
            ``(1) In general.--Financial assistance provided under this
        chapter to a State or a local governmental authority may be used to
        acquire an interest in, or to buy property of, a private company
        engaged in public transportation, for a capital project for
        property acquired from a private company engaged in public
        transportation after July 9, 1964, or to operate a public
        transportation facility or equipment in competition with, or in
        addition to, transportation service provided by an existing public
        transportation company, only if--
                ``(A) the Secretary determines that such financial
            assistance is essential to a program of projects required under
            sections 5303, 5304, and 5306;
                ``(B) the Secretary determines that the program provides
            for the participation of private companies engaged in public
            transportation to the maximum extent feasible; and
                ``(C) just compensation under State or local law will be
            paid to the company for its franchise or property.
            ``(2) Limitation.--A governmental authority may not use
        financial assistance of the United States Government to acquire
        land, equipment, or a facility used in public transportation from
        another governmental authority in the same geographic area.
        ``(b) Relocation and Real Property Requirements.--The Uniform
    Relocation Assistance and Real Property Acquisition Policies Act of
    1970 (42 U.S.C. 4601 et seq.) shall apply to financial assistance for
    capital projects under this chapter.
        ``(c) Consideration of Economic, Social, and Environmental
    Interests.--
            ``(1) Cooperation and consultation.--The Secretary shall
        cooperate and consult with the Secretary of the Interior and the
        Administrator of the Environmental Protection Agency on each
        project that may have a substantial impact on the environment.
            ``(2) Compliance with nepa.--The National Environmental Policy
        Act of 1969 (42 U.S.C. 4321 et seq.) shall apply to financial
        assistance for capital projects under this chapter.
        ``(d) Condition on Charter Bus Transportation Service.--
            ``(1) Agreements.--Financial assistance under this chapter may
        be used to buy or operate a bus only if the applicant, governmental
        authority, or publicly owned operator that receives the assistance
        agrees that, except as provided in the agreement, the governmental
        authority or an operator of public transportation for the
        governmental authority will not provide charter bus transportation
        service outside the urban area in which it provides regularly
        scheduled public transportation service. An agreement shall provide
        for a fair arrangement the Secretary of Transportation considers
        appropriate to ensure that the assistance will not enable a
        governmental authority or an operator for a governmental authority
        to foreclose a private operator from providing intercity charter
        bus service if the private operator can provide the service.
            ``(2) Violations.--
                ``(A) Investigations.--On receiving a complaint about a
            violation of the agreement required under paragraph (1), the
            Secretary shall investigate and decide whether a violation has
            occurred.
                ``(B) Enforcement of agreements.--If the Secretary decides
            that a violation has occurred, the Secretary shall correct the
            violation under terms of the agreement.
                ``(C) Additional remedies.--In addition to any remedy
            specified in the agreement, the Secretary shall bar a recipient
            or an operator from receiving Federal transit assistance in an
            amount the Secretary considers appropriate if the Secretary
            finds a pattern of violations of the agreement.
        ``(e) Bond Proceeds Eligible for Local Share.--
            ``(1) Use as local matching funds.--Notwithstanding any other
        provision of law, a recipient of assistance under section 5307,
        5309, or 5337 may use the proceeds from the issuance of revenue
        bonds as part of the local matching funds for a capital project.
            ``(2) Maintenance of effort.--The Secretary shall approve of
        the use of the proceeds from the issuance of revenue bonds for the
        remainder of the net project cost only if the Secretary finds that
        the aggregate amount of financial support for public transportation
        in the urbanized area provided by the State and affected local
        governmental authorities during the next 3 fiscal years, as
        programmed in the State transportation improvement program under
        section 5304, is not less than the aggregate amount provided by the
        State and affected local governmental authorities in the urbanized
        area during the preceding 3 fiscal years.
            ``(3) Debt service reserve.--The Secretary may reimburse an
        eligible recipient for deposits of bond proceeds in a debt service
        reserve that the recipient establishes pursuant to section
        5302(3)(J) from amounts made available to the recipient under
        section 5309.
        ``(f) Schoolbus Transportation.--
            ``(1) Agreements.--Financial assistance under this chapter may
        be used for a capital project, or to operate public transportation
        equipment or a public transportation facility, only if the
        applicant agrees not to provide schoolbus transportation that
        exclusively transports students and school personnel in competition
        with a private schoolbus operator. This subsection does not apply--
                ``(A) to an applicant that operates a school system in the
            area to be served and a separate and exclusive schoolbus
            program for the school system; and
                ``(B) unless a private schoolbus operator can provide
            adequate transportation that complies with applicable safety
            standards at reasonable rates.
            ``(2) Violations.--If the Secretary finds that an applicant,
        governmental authority, or publicly owned operator has violated the
        agreement required under paragraph (1), the Secretary shall bar a
        recipient or an operator from receiving Federal transit assistance
        in an amount the Secretary considers appropriate.
        ``(g) Buying Buses Under Other Laws.--Subsections (d) and (f) of
    this section apply to financial assistance to buy a bus under sections
    133 and 142 of title 23.
        ``(h) Grant and Loan Prohibitions.--A grant or loan may not be used
    to--
            ``(1) pay ordinary governmental or nonproject operating
        expenses; or
            ``(2) support a procurement that uses an exclusionary or
        discriminatory specification.
        ``(i) Government Share of Costs for Certain Projects.--
            ``(1) Acquiring vehicles and vehicle-related equipment or
        facilities.--
                ``(A) Vehicles.--A grant for a project to be assisted under
            this chapter that involves acquiring vehicles for purposes of
            complying with or maintaining compliance with the Americans
            with Disabilities Act of 1990 (42 U.S.C. 12101 et seq.) or the
            Clean Air Act is for 85 percent of the net project cost.
                ``(B) Vehicle-related equipment or facilities.--A grant for
            a project to be assisted under this chapter that involves
            acquiring vehicle-related equipment or facilities required by
            the Americans with Disabilities Act of 1990 (42 U.S.C. 12101 et
            seq.) or vehicle-related equipment or facilities (including
            clean fuel or alternative fuel vehicle-related equipment or
            facilities) for purposes of complying with or maintaining
            compliance with the Clean Air Act, is for 90 percent of the net
            project cost of such equipment or facilities attributable to
            compliance with those Acts. The Secretary shall have discretion
            to determine, through practicable administrative procedures,
            the costs of such equipment or facilities attributable to
            compliance with those Acts.
            ``(2) Costs incurred by providers of public transportation by
        vanpool.--
                ``(A) Local matching share.--The local matching share
            provided by a recipient of assistance for a capital project
            under this chapter may include any amounts expended by a
            provider of public transportation by vanpool for the
            acquisition of rolling stock to be used by such provider in the
            recipient's service area, excluding any amounts the provider
            may have received in Federal, State, or local government
            assistance for such acquisition.
                ``(B) Use of revenues.--A private provider of public
            transportation by vanpool may use revenues it receives in the
            provision of public transportation service in the service area
            of a recipient of assistance under this chapter that are in
            excess of the provider's operating costs for the purpose of
            acquiring rolling stock, if the private provider enters into a
            legally binding agreement with the recipient that requires the
            provider to use the rolling stock in the recipient's service
            area.
                ``(C) Definitions.--In this paragraph, the following
            definitions apply:
                    ``(i) Private provider of public transportation by
                vanpool.--The term `private provider of public
                transportation by vanpool' means a private entity providing
                vanpool services in the service area of a recipient of
                assistance under this chapter using a commuter highway
                vehicle or vanpool vehicle.
                    ``(ii) Commuter highway vehicle; vanpool vehicle.--The
                term `commuter highway vehicle or vanpool vehicle' means
                any vehicle--

                        ``(I) the seating capacity of which is at least 6
                    adults (not including the driver); and
                        ``(II) at least 80 percent of the mileage use of
                    which can be reasonably expected to be for the purposes
                    of transporting commuters in connection with travel
                    between their residences and their place of employment.

        ``(j) Buy America.--
            ``(1) In general.--The Secretary may obligate an amount that
        may be appropriated to carry out this chapter for a project only if
        the steel, iron, and manufactured goods used in the project are
        produced in the United States.
            ``(2) Waiver.--The Secretary may waive paragraph (1) of this
        subsection if the Secretary finds that--
                ``(A) applying paragraph (1) would be inconsistent with the
            public interest;
                ``(B) the steel, iron, and goods produced in the United
            States are not produced in a sufficient and reasonably
            available amount or are not of a satisfactory quality;
                ``(C) when procuring rolling stock (including train
            control, communication, and traction power equipment) under
            this chapter--
                    ``(i) the cost of components and subcomponents produced
                in the United States is more than 60 percent of the cost of
                all components of the rolling stock; and
                    ``(ii) final assembly of the rolling stock has occurred
                in the United States; or
                ``(D) including domestic material will increase the cost of
            the overall project by more than 25 percent.
            ``(3) Written waiver determination and annual report.--
                ``(A) Written determination.--Before issuing a waiver under
            paragraph (2), the Secretary shall--
                    ``(i) publish in the Federal Register and make publicly
                available in an easily identifiable location on the website
                of the Department of Transportation a detailed written
                explanation of the waiver determination; and
                    ``(ii) provide the public with a reasonable period of
                time for notice and comment.
                ``(B) Annual report.--Not later than 1 year after the date
            of enactment of the Federal Public Transportation Act of 2012,
            and annually thereafter, the Secretary shall submit to the
            Committee on Banking, Housing, and Urban Affairs of the Senate
            and the Committee on Transportation and Infrastructure of the
            House of Representatives a report listing any waiver issued
            under paragraph (2) during the preceding year.
            ``(4) Labor costs for final assembly.--In this subsection,
        labor costs involved in final assembly are not included in
        calculating the cost of components.
            ``(5) Waiver prohibited.--The Secretary may not make a waiver
        under paragraph (2) of this subsection for goods produced in a
        foreign country if the Secretary, in consultation with the United
        States Trade Representative, decides that the government of that
        foreign country--
                ``(A) has an agreement with the United States Government
            under which the Secretary has waived the requirement of this
            subsection; and
                ``(B) has violated the agreement by discriminating against
            goods to which this subsection applies that are produced in the
            United States and to which the agreement applies.
            ``(6) Penalty for mislabeling and misrepresentation.--A person
        is ineligible under subpart 9.4 of the Federal Acquisition
        Regulation, or any successor thereto, to receive a contract or
        subcontract made with amounts authorized under the Federal Public
        Transportation Act of 2012 if a court or department, agency, or
        instrumentality of the Government decides the person
        intentionally--
                ``(A) affixed a `Made in America' label, or a label with an
            inscription having the same meaning, to goods sold in or
            shipped to the United States that are used in a project to
            which this subsection applies but not produced in the United
            States; or
                ``(B) represented that goods described in subparagraph (A)
            of this paragraph were produced in the United States.
            ``(7) State requirements.--The Secretary may not impose any
        limitation on assistance provided under this chapter that restricts
        a State from imposing more stringent requirements than this
        subsection on the use of articles, materials, and supplies mined,
        produced, or manufactured in foreign countries in projects carried
        out with that assistance or restricts a recipient of that
        assistance from complying with those State-imposed requirements.
            ``(8) Opportunity to correct inadvertent error.--The Secretary
        may allow a manufacturer or supplier of steel, iron, or
        manufactured goods to correct after bid opening any certification
        of noncompliance or failure to properly complete the certification
        (but not including failure to sign the certification) under this
        subsection if such manufacturer or supplier attests under penalty
        of perjury that such manufacturer or supplier submitted an
        incorrect certification as a result of an inadvertent or clerical
        error. The burden of establishing inadvertent or clerical error is
        on the manufacturer or supplier.
            ``(9) Administrative review.--A party adversely affected by an
        agency action under this subsection shall have the right to seek
        review under section 702 of title 5.
        ``(k) Participation of Governmental Agencies in Design and Delivery
    of Transportation Services.--Governmental agencies and nonprofit
    organizations that receive assistance from Government sources (other
    than the Department of Transportation) for nonemergency transportation
    services shall--
            ``(1) participate and coordinate with recipients of assistance
        under this chapter in the design and delivery of transportation
        services; and
            ``(2) be included in the planning for those services.
        ``(l) Relationship to Other Laws.--
            ``(1) Fraud and false statements.--Section 1001 of title 18
        applies to a certificate, submission, or statement provided under
        this chapter. The Secretary may terminate financial assistance
        under this chapter and seek reimbursement directly, or by
        offsetting amounts, available under this chapter if the Secretary
        determines that a recipient of such financial assistance has made a
        false or fraudulent statement or related act in connection with a
        Federal public transportation program.
            ``(2) Political activities of nonsupervisory employees.--The
        provision of assistance under this chapter shall not be construed
        to require the application of chapter 15 of title 5 to any
        nonsupervisory employee of a public transportation system (or any
        other agency or entity performing related functions) to whom such
        chapter does not otherwise apply.
        ``(m) Preaward and Postdelivery Review of Rolling Stock
    Purchases.--The Secretary shall prescribe regulations requiring a
    preaward and postdelivery review of a grant under this chapter to buy
    rolling stock to ensure compliance with Government motor vehicle safety
    requirements, subsection (j) of this section, and bid specifications
    requirements of grant recipients under this chapter. Under this
    subsection, independent inspections and review are required, and a
    manufacturer certification is not sufficient. Rolling stock
    procurements of 20 vehicles or fewer made for the purpose of serving
    rural areas and urbanized areas with populations of 200,000 or fewer
    shall be subject to the same requirements as established for
    procurements of 10 or fewer buses under the post-delivery purchaser's
    requirements certification process under section 663.37(c) of title 49,
    Code of Federal Regulations.
        ``(n) Submission of Certifications.--A certification required under
    this chapter and any additional certification or assurance required by
    law or regulation to be submitted to the Secretary may be consolidated
    into a single document to be submitted annually as part of a grant
    application under this chapter. The Secretary shall publish annually a
    list of all certifications required under this chapter with the
    publication required under section 5336(d)(2).
        ``(o) Grant Requirements.--The grant requirements under sections
    5307, 5309, and 5337 apply to any project under this chapter that
    receives any assistance or other financing under chapter 6 (other than
    section 609) of title 23.
        ``(p) Alternative Fueling Facilities.--A recipient of assistance
    under this chapter may allow the incidental use of federally funded
    alternative fueling facilities and equipment by nontransit public
    entities and private entities if--
            ``(1) the incidental use does not interfere with the
        recipient's public transportation operations;
            ``(2) all costs related to the incidental use are fully
        recaptured by the recipient from the nontransit public entity or
        private entity;
            ``(3) the recipient uses revenues received from the incidental
        use in excess of costs for planning, capital, and operating
        expenses that are incurred in providing public transportation; and
            ``(4) private entities pay all applicable excise taxes on fuel.
        ``(q) Corridor Preservation.--
            ``(1) In general.--The Secretary may assist a recipient in
        acquiring right-of-way before the completion of the environmental
        reviews for any project that may use the right-of-way if the
        acquisition is otherwise permitted under Federal law. The Secretary
        may establish restrictions on such an acquisition as the Secretary
        determines to be necessary and appropriate.
            ``(2) Environmental reviews.--Right-of-way acquired under this
        subsection may not be developed in anticipation of the project
        until all required environmental reviews for the project have been
        completed.
        ``(r) Reasonable Access to Public Transportation Facilities.--A
    recipient of assistance under this chapter may not deny reasonable
    access for a private intercity or charter transportation operator to
    federally funded public transportation facilities, including intermodal
    facilities, park and ride lots, and bus-only highway lanes. In
    determining reasonable access, capacity requirements of the recipient
    of assistance and the extent to which access would be detrimental to
    existing public transportation services must be considered.''.
    SEC. 20017. PUBLIC TRANSPORTATION EMERGENCY RELIEF PROGRAM.
        (a) In General.--Section 5324 of title 49, United States Code, is
    amended to read as follows:
    ``Sec. 5324. Public transportation emergency relief program
        ``(a) Definition.--In this section the following definitions shall
    apply:
            ``(1) Eligible operating costs.--The term `eligible operating
        costs' means costs relating to--
                ``(A) evacuation services;
                ``(B) rescue operations;
                ``(C) temporary public transportation service; or
                ``(D) reestablishing, expanding, or relocating public
            transportation route service before, during, or after an
            emergency.
            ``(2) Emergency.--The term `emergency' means a natural disaster
        affecting a wide area (such as a flood, hurricane, tidal wave,
        earthquake, severe storm, or landslide) or a catastrophic failure
        from any external cause, as a result of which--
                ``(A) the Governor of a State has declared an emergency and
            the Secretary has concurred; or
                ``(B) the President has declared a major disaster under
            section 401 of the Robert T. Stafford Disaster Relief and
            Emergency Assistance Act (42 U.S.C. 5170).
        ``(b) General Authority.--The Secretary may make grants and enter
    into contracts and other agreements (including agreements with
    departments, agencies, and instrumentalities of the Government) for--
            ``(1) capital projects to protect, repair, reconstruct, or
        replace equipment and facilities of a public transportation system
        operating in the United States or on an Indian reservation that the
        Secretary determines is in danger of suffering serious damage, or
        has suffered serious damage, as a result of an emergency; and
            ``(2) eligible operating costs of public transportation
        equipment and facilities in an area directly affected by an
        emergency during--
                ``(A) the 1-year period beginning on the date of a
            declaration described in subsection (a)(2); or
                ``(B) if the Secretary determines there is a compelling
            need, the 2-year period beginning on the date of a declaration
            described in subsection (a)(2).
        ``(c) Coordination of Emergency Funds.--
            ``(1) Use of funds.--Funds appropriated to carry out this
        section shall be in addition to any other funds available under
        this chapter.
            ``(2) No effect on other government activity.--The provision of
        funds under this section shall not affect the ability of any other
        agency of the Government, including the Federal Emergency
        Management Agency, or a State agency, a local governmental entity,
        organization, or person, to provide any other funds otherwise
        authorized by law.
            ``(3) Notification.--The Secretary shall notify the Secretary
        of Homeland Security of the purpose and amount of any grant made or
        contract or other agreement entered into under this section.
        ``(d) Grant Requirements.--A grant awarded under this section or
    under section 5307 or 5311 that is made to address an emergency defined
    under subsection (a)(2) shall be--
            ``(1) subject to the terms and conditions the Secretary
        determines are necessary; and
            ``(2) made only for expenses that are not reimbursed under the
        Robert T. Stafford Disaster Relief and Emergency Assistance Act (42
        U.S.C. 5121 et seq.).
        ``(e) Government Share of Costs.--
            ``(1) Capital projects and operating assistance.--A grant,
        contract, or other agreement for a capital project or eligible
        operating costs under this section shall be, at the option of the
        recipient, for not more than 80 percent of the net project cost, as
        determined by the Secretary.
            ``(2) Non-federal share.--The remainder of the net project cost
        may be provided from an undistributed cash surplus, a replacement
        or depreciation cash fund or reserve, or new capital.
            ``(3) Waiver.--The Secretary may waive, in whole or part, the
        non-Federal share required under--
                ``(A) paragraph (2); or
                ``(B) section 5307 or 5311, in the case of a grant made
            available under section 5307 or 5311, respectively, to address
            an emergency.''.
        (b) Memorandum of Agreement.--
            (1) Purposes.--The purposes of this subsection are--
                (A) to improve coordination between the Department of
            Transportation and the Department of Homeland Security; and
                (B) to expedite the provision of Federal assistance for
            public transportation systems for activities relating to a
            major disaster or emergency declared by the President under the
            Robert T. Stafford Disaster Relief and Emergency Assistance Act
            (42 U.S.C. 5121 et seq.) (referred to in this subsection as a
            ``major disaster or emergency'').
            (2) Agreement.--Not later than 180 days after the date of
        enactment of this Act, the Secretary of Transportation and the
        Secretary of Homeland Security shall enter into a memorandum of
        agreement to coordinate the roles and responsibilities of the
        Department of Transportation and the Department of Homeland
        Security in providing assistance for public transportation,
        including the provision of public transportation services and the
        repair and restoration of public transportation systems in areas
        for which the President has declared a major disaster or emergency.
            (3) Contents of agreement.--The memorandum of agreement
        required under paragraph (2) shall--
                (A) provide for improved coordination and expeditious use
            of public transportation, as appropriate, in response to and
            recovery from a major disaster or emergency;
                (B) establish procedures to address--
                    (i) issues that have contributed to delays in the
                reimbursement of eligible transportation-related expenses
                relating to a major disaster or emergency;
                    (ii) any challenges identified in the review under
                paragraph (4); and
                    (iii) the coordination of assistance for public
                transportation provided under the Robert T. Stafford
                Disaster Relief and Emergency Assistance Act and section
                5324 of title 49, United States Code, as amended by this
                Act, as appropriate; and
                (C) provide for the development and distribution of clear
            guidelines for State, local, and tribal governments, including
            public transportation systems, relating to--
                    (i) assistance available for public transportation
                systems for activities relating to a major disaster or
                emergency--

                        (I) under the Robert T. Stafford Disaster Relief
                    and Emergency Assistance Act;
                        (II) under section 5324 of title 49, United States
                    Code, as amended by this Act; and
                        (III) from other sources, including other Federal
                    agencies; and

                    (ii) reimbursement procedures that speed the process
                of--

                        (I) applying for assistance under the Robert T.
                    Stafford Disaster Relief and Emergency Assistance Act
                    and section 5324 of title 49, United States Code, as
                    amended by this Act; and
                        (II) distributing assistance for public
                    transportation systems under the Robert T. Stafford
                    Disaster Relief and Emergency Assistance Act and
                    section 5324 of title 49, United States Code, as
                    amended by this Act.

            (4) After action review.--Before entering into a memorandum of
        agreement under paragraph (2), the Secretary of Transportation and
        the Secretary of Homeland Security (acting through the
        Administrator of the Federal Emergency Management Agency), in
        consultation with State, local, and tribal governments (including
        public transportation systems) that have experienced a major
        disaster or emergency, shall review after action reports relating
        to major disasters, emergencies, and exercises, to identify areas
        where coordination between the Department of Transportation and the
        Department of Homeland Security and the provision of public
        transportation services should be improved.
            (5) Factors for declarations of major disasters and
        emergencies.--The Administrator of the Federal Emergency Management
        Agency shall make available to State, local, and tribal
        governments, including public transportation systems, a description
        of the factors that the President considers in declaring a major
        disaster or emergency, including any pre-disaster emergency
        declaration policies.
            (6) Briefings.--
                (A) Initial briefing.--Not later than 180 days after the
            date of enactment of this Act, the Secretary of Transportation
            and the Secretary of Homeland Security shall jointly brief the
            Committee on Banking, Housing, and Urban Affairs and the
            Committee on Homeland Security and Governmental Affairs of the
            Senate on the memorandum of agreement required under paragraph
            (2).
                (B) Quarterly briefings.--Each quarter of the 1-year period
            beginning on the date on which the Secretary of Transportation
            and the Secretary of Homeland Security enter into the
            memorandum of agreement required under paragraph (2), the
            Secretary of Transportation and the Secretary of Homeland
            Security shall jointly brief the Committee on Banking, Housing,
            and Urban Affairs and the Committee on Homeland Security and
            Governmental Affairs of the Senate on the implementation of the
            memorandum of agreement.
    SEC. 20018. CONTRACT REQUIREMENTS.
        Section 5325 of title 49, United States Code, is amended--
            (1) in subsection (e), by striking paragraph (1) and inserting
        the following:
            ``(1) Contracts.--A recipient procuring rolling stock with
        Government financial assistance under this chapter may make a
        multiyear contract to buy the rolling stock and replacement parts
        under which the recipient has an option to buy additional rolling
        stock or replacement parts for--
                ``(A) not more than 5 years after the date of the original
            contract for bus procurements; and
                ``(B) not more than 7 years after the date of the original
            contract for rail procurements, provided that such option does
            not allow for significant changes or alterations to the rolling
            stock.''.
            (2) in subsection (h), by striking ``Federal Public
        Transportation Act of 2005'' and inserting ``Federal Public
        Transportation Act of 2012'';
            (3) in subsection (j)(2)(C), by striking ``, including the
        performance reported in the Contractor Performance Assessment
        Reports required under section 5309(l)(2)''; and
            (4) by adding at the end the following:
        ``(k) Veterans Employment.--Recipients and subrecipients of Federal
    financial assistance under this chapter shall ensure that contractors
    working on a capital project funded using such assistance give a hiring
    preference, to the extent practicable, to veterans (as defined in
    section 2108 of title 5) who have the requisite skills and abilities to
    perform the construction work required under the contract. This
    subsection shall not be understood, construed or enforced in any manner
    that would require an employer to give a preference to any veteran over
    any equally qualified applicant who is a member of any racial or ethnic
    minority, female, an individual with a disability, or a former
    employee.''.
    SEC. 20019. TRANSIT ASSET MANAGEMENT.
        Section 5326 of title 49, United States Code, is amended to read as
    follows:
    ``Sec. 5326. Transit asset management
        ``(a) Definitions.--In this section the following definitions shall
    apply:
            ``(1) Capital asset.--The term `capital asset' includes
        equipment, rolling stock, infrastructure, and facilities for use in
        public transportation and owned or leased by a recipient or
        subrecipient of Federal financial assistance under this chapter.
            ``(2) Transit asset management plan.--The term `transit asset
        management plan' means a plan developed by a recipient of funding
        under this chapter that--
                ``(A) includes, at a minimum, capital asset inventories and
            condition assessments, decision support tools, and investment
            prioritization; and
                ``(B) the recipient certifies complies with the rule issued
            under this section.
            ``(3) Transit asset management system.--The term `transit asset
        management system' means a strategic and systematic process of
        operating, maintaining, and improving public transportation capital
        assets effectively throughout the life cycle of such assets.
        ``(b) Transit Asset Management System.--The Secretary shall
    establish and implement a national transit asset management system,
    which shall include--
            ``(1) a definition of the term `state of good repair' that
        includes objective standards for measuring the condition of capital
        assets of recipients, including equipment, rolling stock,
        infrastructure, and facilities;
            ``(2) a requirement that recipients and subrecipients of
        Federal financial assistance under this chapter develop a transit
        asset management plan;
            ``(3) a requirement that each designated recipient of Federal
        financial assistance under this chapter report on the condition of
        the system of the recipient and provide a description of any change
        in condition since the last report;
            ``(4) an analytical process or decision support tool for use by
        public transportation systems that--
                ``(A) allows for the estimation of capital investment needs
            of such systems over time; and
                ``(B) assists with asset investment prioritization by such
            systems; and
            ``(5) technical assistance to recipients of Federal financial
        assistance under this chapter.
        ``(c) Performance Measures and Targets.--
            ``(1) In general.--Not later than 1 year after the date of
        enactment of the Federal Public Transportation Act of 2012, the
        Secretary shall issue a final rule to establish performance
        measures based on the state of good repair standards established
        under subsection (b)(1).
            ``(2) Targets.--Not later than 3 months after the date on which
        the Secretary issues a final rule under paragraph (1), and each
        fiscal year thereafter, each recipient of Federal financial
        assistance under this chapter shall establish performance targets
        in relation to the performance measures established by the
        Secretary.
            ``(3) Reports.--Each designated recipient of Federal financial
        assistance under this chapter shall submit to the Secretary an
        annual report that describes--
                ``(A) the progress of the recipient during the fiscal year
            to which the report relates toward meeting the performance
            targets established under paragraph (2) for that fiscal year;
            and
                ``(B) the performance targets established by the recipient
            for the subsequent fiscal year.
        ``(d) Rulemaking.--Not later than 1 year after the date of
    enactment of the Federal Public Transportation Act of 2012, the
    Secretary shall issue a final rule to implement the transit asset
    management system described in subsection (b).''.
    SEC. 20020. PROJECT MANAGEMENT OVERSIGHT.
        Section 5327 of title 49, United States Code, is amended--
            (1) in subsection (a)--
                (A) in the matter preceding paragraph (1), by striking
            ``United States'' and all that follows through ``Secretary of
            Transportation'' and inserting the following: ``Federal
            financial assistance for a major capital project for public
            transportation under this chapter or any other provision of
            Federal law, a recipient must prepare a project management plan
            approved by the Secretary and carry out the project in
            accordance with the project management plan''; and
                (B) in paragraph (12), by striking ``each month'' and
            inserting ``quarterly'';
            (2) by striking subsections (c), (d), and (f);
            (3) by inserting after subsection (b) the following:
        ``(c) Access to Sites and Records.--Each recipient of Federal
    financial assistance for public transportation under this chapter or
    any other provision of Federal law shall provide the Secretary and a
    contractor the Secretary chooses under section 5338(i) with access to
    the construction sites and records of the recipient when reasonably
    necessary.'';
            (4) by redesignating subsection (e) as subsection (d); and
            (5) in subsection (d), as so redesignated--
                (A) in paragraph (1), by striking ``subsection (c) of this
            section'' and inserting ``section 5338(i)''; and
                (B) in paragraph (2)--
                    (i) by striking ``preliminary engineering stage'' and
                inserting ``project development phase''; and
                    (ii) by striking ``another stage'' and inserting
                ``another phase''.
    SEC. 20021. PUBLIC TRANSPORTATION SAFETY.
        (a) Public Transportation Safety Program.--Section 5329 of title
    49, United States Code, is amended to read as follows:
    ``Sec. 5329. Public transportation safety program
        ``(a) Definition.--In this section, the term `recipient' means a
    State or local governmental authority, or any other operator of a
    public transportation system, that receives financial assistance under
    this chapter.
        ``(b) National Public Transportation Safety Plan.--
            ``(1) In general.--The Secretary shall create and implement a
        national public transportation safety plan to improve the safety of
        all public transportation systems that receive funding under this
        chapter.
            ``(2) Contents of plan.--The national public transportation
        safety plan under paragraph (1) shall include--
                ``(A) safety performance criteria for all modes of public
            transportation;
                ``(B) the definition of the term `state of good repair'
            established under section 5326(b);
                ``(C) minimum safety performance standards for public
            transportation vehicles used in revenue operations that--
                    ``(i) do not apply to rolling stock otherwise regulated
                by the Secretary or any other Federal agency; and
                    ``(ii) to the extent practicable, take into
                consideration--

                        ``(I) relevant recommendations of the National
                    Transportation Safety Board; and
                        ``(II) recommendations of, and best practices
                    standards developed by, the public transportation
                    industry; and

                ``(D) a public transportation safety certification training
            program, as described in subsection (c).
        ``(c) Public Transportation Safety Certification Training
    Program.--
            ``(1) In general.--The Secretary shall establish a public
        transportation safety certification training program for Federal
        and State employees, or other designated personnel, who conduct
        safety audits and examinations of public transportation systems and
        employees of public transportation agencies directly responsible
        for safety oversight.
            ``(2) Interim provisions.--Not later than 90 days after the
        date of enactment of the Federal Public Transportation Act of 2012,
        the Secretary shall establish interim provisions for the
        certification and training of the personnel described in paragraph
        (1), which shall be in effect until the effective date of the final
        rule issued by the Secretary to implement this subsection.
        ``(d) Public Transportation Agency Safety Plan.--
            ``(1) In general.--Effective 1 year after the effective date of
        a final rule issued by the Secretary to carry out this subsection,
        each recipient or State, as described in paragraph (3), shall
        certify that the recipient or State has established a comprehensive
        agency safety plan that includes, at a minimum--
                ``(A) a requirement that the board of directors (or
            equivalent entity) of the recipient approve the agency safety
            plan and any updates to the agency safety plan;
                ``(B) methods for identifying and evaluating safety risks
            throughout all elements of the public transportation system of
            the recipient;
                ``(C) strategies to minimize the exposure of the public,
            personnel, and property to hazards and unsafe conditions;
                ``(D) a process and timeline for conducting an annual
            review and update of the safety plan of the recipient;
                ``(E) performance targets based on the safety performance
            criteria and state of good repair standards established under
            subparagraphs (A) and (B), respectively, of subsection (b)(2);
                ``(F) assignment of an adequately trained safety officer
            who reports directly to the general manager, president, or
            equivalent officer of the recipient; and
                ``(G) a comprehensive staff training program for the
            operations personnel and personnel directly responsible for
            safety of the recipient that includes--
                    ``(i) the completion of a safety training program; and
                    ``(ii) continuing safety education and training.
            ``(2) Interim agency safety plan.--A system safety plan
        developed pursuant to part 659 of title 49, Code of Federal
        Regulations, as in effect on the date of enactment of the Federal
        Public Transportation Act of 2012, shall remain in effect until
        such time as this subsection takes effect.
            ``(3) Public transportation agency safety plan drafting and
        certification.--
                ``(A) Section 5311.--For a recipient receiving assistance
            under section 5311, a State safety plan may be drafted and
            certified by the recipient or a State.
                ``(B) Section 5307.--Not later than 120 days after the date
            of enactment of the Federal Public Transportation Act of 2012,
            the Secretary shall issue a rule designating recipients of
            assistance under section 5307 that are small public
            transportation providers or systems that may have their State
            safety plans drafted or certified by a State.
        ``(e) State Safety Oversight Program.--
            ``(1) Applicability.--This subsection applies only to eligible
        States.
            ``(2) Definition.--In this subsection, the term `eligible
        State' means a State that has--
                ``(A) a rail fixed guideway public transportation system
            within the jurisdiction of the State that is not subject to
            regulation by the Federal Railroad Administration; or
                ``(B) a rail fixed guideway public transportation system in
            the engineering or construction phase of development within the
            jurisdiction of the State that will not be subject to
            regulation by the Federal Railroad Administration.
            ``(3) In general.--In order to obligate funds apportioned under
        section 5338 to carry out this chapter, effective 3 years after the
        date on which a final rule under this subsection becomes effective,
        an eligible State shall have in effect a State safety oversight
        program approved by the Secretary under which the State--
                ``(A) assumes responsibility for overseeing rail fixed
            guideway public transportation safety;
                ``(B) adopts and enforces Federal and relevant State laws
            on rail fixed guideway public transportation safety;
                ``(C) establishes a State safety oversight agency;
                ``(D) determines, in consultation with the Secretary, an
            appropriate staffing level for the State safety oversight
            agency that is commensurate with the number, size, and
            complexity of the rail fixed guideway public transportation
            systems in the eligible State;
                ``(E) requires that employees and other designated
            personnel of the eligible State safety oversight agency who are
            responsible for rail fixed guideway public transportation
            safety oversight are qualified to perform such functions
            through appropriate training, including successful completion
            of the public transportation safety certification training
            program established under subsection (c); and
                ``(F) prohibits any public transportation agency from
            providing funds to the State safety oversight agency or an
            entity designated by the eligible State as the State safety
            oversight agency under paragraph (4).
            ``(4) State safety oversight agency.--
                ``(A) In general.--Each State safety oversight program
            shall establish a State safety oversight agency that--
                    ``(i) is financially and legally independent from any
                public transportation entity that the State safety
                oversight agency oversees;
                    ``(ii) does not directly provide public transportation
                services in an area with a rail fixed guideway public
                transportation system subject to the requirements of this
                section;
                    ``(iii) does not employ any individual who is also
                responsible for the administration of rail fixed guideway
                public transportation programs subject to the requirements
                of this section;
                    ``(iv) has the authority to review, approve, oversee,
                and enforce the implementation by the rail fixed guideway
                public transportation agency of the public transportation
                agency safety plan required under subsection (d);
                    ``(v) has investigative and enforcement authority with
                respect to the safety of rail fixed guideway public
                transportation systems of the eligible State;
                    ``(vi) audits, at least once triennially, the
                compliance of the rail fixed guideway public transportation
                systems in the eligible State subject to this subsection
                with the public transportation agency safety plan required
                under subsection (d); and
                    ``(vii) provides, at least once annually, a status
                report on the safety of the rail fixed guideway public
                transportation systems the State safety oversight agency
                oversees to--

                        ``(I) the Federal Transit Administration;
                        ``(II) the Governor of the eligible State; and
                        ``(III) the board of directors, or equivalent
                    entity, of any rail fixed guideway public
                    transportation system that the State safety oversight
                    agency oversees.

                ``(B) Waiver.--At the request of an eligible State, the
            Secretary may waive clauses (i) and (iii) of subparagraph (A)
            for eligible States with 1 or more rail fixed guideway systems
            in revenue operations, design, or construction, that--
                    ``(i) have fewer than 1,000,000 combined actual and
                projected rail fixed guideway revenue miles per year; or
                    ``(ii) provide fewer than 10,000,000 combined actual
                and projected unlinked passenger trips per year.
            ``(5) Programs for multi-state rail fixed guideway public
        transportation systems.--An eligible State that has within the
        jurisdiction of the eligible State a rail fixed guideway public
        transportation system that operates in more than 1 eligible State
        shall--
                ``(A) jointly with all other eligible States in which the
            rail fixed guideway public transportation system operates,
            ensure uniform safety standards and enforcement procedures that
            shall be in compliance with this section, and establish and
            implement a State safety oversight program approved by the
            Secretary; or
                ``(B) jointly with all other eligible States in which the
            rail fixed guideway public transportation system operates,
            designate an entity having characteristics consistent with the
            characteristics described in paragraph (3) to carry out the
            State safety oversight program approved by the Secretary.
            ``(6) Grants.--
                ``(A) In general.--The Secretary shall make grants to
            eligible States to develop or carry out State safety oversight
            programs under this subsection. Grant funds may be used for
            program operational and administrative expenses, including
            employee training activities.
                ``(B) Apportionment.--
                    ``(i) Formula.--The amount made available for State
                safety oversight under section 5336(h) shall be apportioned
                among eligible States under a formula to be established by
                the Secretary. Such formula shall take into account fixed
                guideway vehicle revenue miles, fixed guideway route miles,
                and fixed guideway vehicle passenger miles attributable to
                all rail fixed guideway systems not subject to regulation
                by the Federal Railroad Administration within each eligible
                State.
                    ``(ii) Administrative requirements.--Grant funds
                apportioned to States under this paragraph shall be subject
                to uniform administrative requirements for grants and
                cooperative agreements to State and local governments under
                part 18 of title 49, Code of Federal Regulations, and shall
                be subject to the requirements of this chapter as the
                Secretary determines appropriate.
                ``(C) Government share.--
                    ``(i) In general.--The Government share of the
                reasonable cost of a State safety oversight program
                developed or carried out using a grant under this paragraph
                shall be 80 percent.
                    ``(ii) In-kind contributions.--Any calculation of the
                non-Government share of a State safety oversight program
                shall include in-kind contributions by an eligible State.
                    ``(iii) Non-government share.--The non-Government share
                of the cost of a State safety oversight program developed
                or carried out using a grant under this paragraph may not
                be met by--

                        ``(I) any Federal funds;
                        ``(II) any funds received from a public
                    transportation agency; or
                        ``(III) any revenues earned by a public
                    transportation agency.

                    ``(iv) Safety training program.--Recipients of funds
                made available to carry out sections 5307 and 5311 may use
                not more than 0.5 percent of their formula funds to pay not
                more than 80 percent of the cost of participation in the
                public transportation safety certification training program
                established under subsection (c), by an employee of a State
                safety oversight agency or a recipient who is directly
                responsible for safety oversight.
            ``(7) Certification process.--
                ``(A) In general.--Not later than 1 year after the date of
            enactment of the Federal Public Transportation Act of 2012, the
            Secretary shall determine whether or not each State safety
            oversight program meets the requirements of this subsection and
            the State safety oversight program is adequate to promote the
            purposes of this section.
                ``(B) Issuance of certifications and denials.--The
            Secretary shall issue a certification to each eligible State
            that the Secretary determines under subparagraph (A) adequately
            meets the requirements of this subsection, and shall issue a
            denial of certification to each eligible State that the
            Secretary determines under subparagraph (A) does not adequately
            meet the requirements of this subsection.
                ``(C) Disapproval.--If the Secretary determines that a
            State safety oversight program does not meet the requirements
            of this subsection and denies certification, the Secretary
            shall transmit to the eligible State a written explanation and
            allow the eligible State to modify and resubmit the State
            safety oversight program for approval.
                ``(D) Failure to correct.--If the Secretary determines that
            a modification by an eligible State of the State safety
            oversight program is not sufficient to certify the program, the
            Secretary--
                    ``(i) shall notify the Governor of the eligible State
                of such denial of certification and failure to adequately
                modify the program, and shall request that the Governor
                take all possible actions to correct deficiencies in the
                program to ensure the certification of the program; and
                    ``(ii) may--

                        ``(I) withhold funds available under paragraph (6)
                    in an amount determined by the Secretary;
                        ``(II) withhold not more than 5 percent of the
                    amount required to be appropriated for use in a State
                    or urbanized area in the State under section 5307 of
                    this title, until the State safety oversight program
                    has been certified; or
                        ``(III) require fixed guideway public
                    transportation systems under such State safety
                    oversight program to provide up to 100 percent of
                    Federal assistance made available under this chapter
                    only for safety-related improvements on such systems,
                    until the State safety oversight program has been
                    certified.

            ``(8) Evaluation of program and annual report.--The Secretary
        shall continually evaluate the implementation of a State safety
        oversight program by a State safety oversight agency, and shall
        submit on or before July 1 of each year to the Committee on
        Banking, Housing, and Urban Affairs of the Senate and the Committee
        on Transportation and Infrastructure of the House of
        Representatives a report on--
                ``(A) the amount of funds apportioned to each eligible
            State; and
                ``(B) the certification status of each State safety
            oversight program, including what steps a State program that
            has been denied certification must take in order to be
            certified.
            ``(9) Federal oversight.--The Secretary shall--
                ``(A) oversee the implementation of each State safety
            oversight program under this subsection;
                ``(B) audit the operations of each State safety oversight
            agency at least once triennially; and
                ``(C) issue rules to carry out this subsection.
        ``(f) Authority of Secretary.--In carrying out this section, the
    Secretary may--
            ``(1) conduct inspections, investigations, audits,
        examinations, and testing of the equipment, facilities, rolling
        stock, and operations of the public transportation system of a
        recipient;
            ``(2) make reports and issue directives with respect to the
        safety of the public transportation system of a recipient;
            ``(3) in conjunction with an accident investigation or an
        investigation into a pattern or practice of conduct that negatively
        affects public safety, issue a subpoena to, and take the deposition
        of, any employee of a recipient or a State safety oversight agency,
        if--
                ``(A) before the issuance of the subpoena, the Secretary
            requests a determination by the Attorney General of the United
            States as to whether the subpoena will interfere with an
            ongoing criminal investigation; and
                ``(B) the Attorney General--
                    ``(i) determines that the subpoena will not interfere
                with an ongoing criminal investigation; or
                    ``(ii) fails to make a determination under clause (i)
                before the date that is 30 days after the date on which the
                Secretary makes a request under subparagraph (A);
            ``(4) require the production of documents by, and prescribe
        recordkeeping and reporting requirements for, a recipient or a
        State safety oversight agency;
            ``(5) investigate public transportation accidents and incidents
        and provide guidance to recipients regarding prevention of
        accidents and incidents;
            ``(6) at reasonable times and in a reasonable manner, enter and
        inspect equipment, facilities, rolling stock, operations, and
        relevant records of the public transportation system of a
        recipient; and
            ``(7) issue rules to carry out this section.
        ``(g) Enforcement Actions.--
            ``(1) Types of enforcement actions.--The Secretary may take
        enforcement action against an eligible State, as defined in
        subsection (e), that does not comply with Federal law with respect
        to the safety of the public transportation system, including--
                ``(A) issuing directives;
                ``(B) requiring more frequent oversight of the recipient by
            a State safety oversight agency or the Secretary;
                ``(C) imposing more frequent reporting requirements; and
                ``(D) requiring that any Federal financial assistance
            provided under this chapter be spent on correcting safety
            deficiencies identified by the Secretary or the State safety
            oversight agency before such funds are spent on other projects.
            ``(2) Use or withholding of funds.--
                ``(A) In general.--The Secretary may require the use of
            funds in accordance with paragraph (1)(D) only if the Secretary
            finds that a recipient is engaged in a pattern or practice of
            serious safety violations or has otherwise refused to comply
            with Federal law relating to the safety of the public
            transportation system.
                ``(B) Notice.--Before withholding funds from a recipient,
            the Secretary shall provide to the recipient--
                    ``(i) written notice of a violation and the amount
                proposed to be withheld; and
                    ``(ii) a reasonable period of time within which the
                recipient may address the violation or propose and initiate
                an alternative means of compliance that the Secretary
                determines is acceptable.
        ``(h) Cost-benefit Analysis.--
            ``(1) Analysis required.--In carrying out this section, the
        Secretary shall take into consideration the costs and benefits of
        each action the Secretary proposes to take under this section.
            ``(2) Waiver.--The Secretary may waive the requirement under
        this subsection if the Secretary determines that such a waiver is
        in the public interest.
        ``(i) Consultation by the Secretary of Homeland Security.--The
    Secretary of Homeland Security shall consult with the Secretary of
    Transportation before the Secretary of Homeland Security issues a rule
    or order that the Secretary of Transportation determines affects the
    safety of public transportation design, construction, or operations.
        ``(j) Actions Under State Law.--
            ``(1) Rule of construction.--Nothing in this section shall be
        construed to preempt an action under State law seeking damages for
        personal injury, death, or property damage alleging that a party
        has failed to comply with--
                ``(A) a Federal standard of care established by a
            regulation or order issued by the Secretary under this section;
            or
                ``(B) its own program, rule, or standard that it created
            pursuant to a rule or order issued by the Secretary.
            ``(2) Effective date.--This subsection shall apply to any cause
        of action under State law arising from an event or activity
        occurring on or after the date of enactment of the Federal Public
        Transportation Act of 2012.
            ``(3) Jurisdiction.--Nothing in this section shall be construed
        to create a cause of action under Federal law on behalf of an
        injured party or confer Federal question jurisdiction for a State
        law cause of action.
        ``(k) National Public Transportation Safety Report.--Not later than
    3 years after the date of enactment of the Federal Public
    Transportation Act of 2012, the Secretary shall submit to the Committee
    on Banking, Housing, and Urban Affairs of the Senate and the Committee
    on Transportation and Infrastructure of the House of Representatives a
    report that--
            ``(1) analyzes public transportation safety trends among the
        States and documents the most effective safety programs implemented
        using grants under this section; and
            ``(2) describes the effect on public transportation safety of
        activities carried out using grants under this section.''.
        (b) Bus Safety Study.--
            (1) Definition.--In this subsection, the term ``highway route''
        means a route where 50 percent or more of the route is on roads
        having a speed limit of more than 45 miles per hour.
            (2) Study.--Not later than 180 days after the date of enactment
        of this Act, the Secretary of Transportation shall submit to the
        Committee on Banking, Housing, and Urban Affairs of the Senate and
        the Committee on Transportation and Infrastructure of the House of
        Representatives a report that--
                (A) examines the safety of public transportation buses that
            travel on highway routes;
                (B) examines laws and regulations that apply to commercial
            over-the-road buses; and
                (C) makes recommendations as to whether additional safety
            measures should be required for public transportation buses
            that travel on highway routes.
    SEC. 20022. ALCOHOL AND CONTROLLED SUBSTANCES TESTING.
        Section 5331 of title 49, United States Code, is amended by
    striking subsection (g) and inserting the following:
        ``(g) Conditions on Federal Assistance.--
            ``(1) Ineligibility for assistance.--A person that receives
        funds under this chapter is not eligible for financial assistance
        under section 5307, 5309, or 5311 of this title if the person is
        required, under regulations the Secretary prescribes under this
        section, to establish a program of alcohol and controlled
        substances testing and does not establish the program in accordance
        with this section.
            ``(2) Additional remedies.--If the Secretary determines that a
        person that receives funds under this chapter is not in compliance
        with regulations prescribed under this section, the Secretary may
        bar the person from receiving Federal transit assistance in an
        amount the Secretary considers appropriate.''.
    SEC. 20023. NONDISCRIMINATION.
        (a) Amendments.--Section 5332 of title 49, United States Code, is
    amended--
            (1) in subsection (b)--
                (A) by striking ``creed'' and inserting ``religion''; and
                (B) by inserting ``disability,'' after ``sex,''; and
            (2) in subsection (d)(3), by striking ``and'' and inserting
        ``or''.
        (b) Evaluation and Report.--
            (1) Evaluation.--The Comptroller General of the United States
        shall evaluate the progress and effectiveness of the Federal
        Transit Administration in assisting recipients of assistance under
        chapter 53 of title 49, United States Code, to comply with section
        5332(b) of title 49, including--
                (A) by reviewing discrimination complaints, reports, and
            other relevant information collected or prepared by the Federal
            Transit Administration or recipients of assistance from the
            Federal Transit Administration pursuant to any applicable civil
            rights statute, regulation, or other requirement; and
                (B) by reviewing the process that the Federal Transit
            Administration uses to resolve discrimination complaints filed
            by members of the public.
            (2) Report.--Not later than 1 year after the date of enactment
        of this Act, the Comptroller General shall submit to the Committee
        on Banking, Housing, and Urban Affairs of the Senate and the
        Committee on Transportation and Infrastructure of the House of
        Representatives a report concerning the evaluation under paragraph
        (1) that includes--
                (A) a description of the ability of the Federal Transit
            Administration to address discrimination and foster equal
            opportunities in federally funded public transportation
            projects, programs, and activities;
                (B) recommendations for improvements if the Comptroller
            General determines that improvements are necessary; and
                (C) information upon which the evaluation under paragraph
            (1) is based.
    SEC. 20024. ADMINISTRATIVE PROVISIONS.
        Section 5334 of title 49, United States Code, is amended--
            (1) in subsection (a)(1), by striking ``under sections 5307 and
        5309-5311 of this title'' and inserting ``that receives Federal
        financial assistance under this chapter'';
            (2) in subsection (b)(1)--
                (A) by inserting after ``emergency,'' the following: ``or
            for purposes of establishing and enforcing a program to improve
            the safety of public transportation systems in the United
            States as described in section 5329,''; and
                (B) by striking ``chapter, nor may the Secretary'' and
            inserting ``chapter. The Secretary may not'';
            (3) in subsection (c)(4), by striking ``section (except
        subsection (i)) and sections 5318(e), 5323(a)(2), 5325(a), 5325(b),
        and 5325(f)'' and inserting ``subsection'';
            (4) in subsection (h)(3), by striking ``another'' and inserting
        ``any other'';
            (5) in subsection (i)(1), by striking ``title 23 shall'' and
        inserting ``title 23 may'';
            (6) by striking subsection (j); and
            (7) by redesignating subsections (k) and (l) as subsections (j)
        and (k), respectively.
    SEC. 20025. NATIONAL TRANSIT DATABASE.
        (a) Amendments.--Section 5335 of title 49, United States Code, is
    amended--
            (1) in subsection (a), by striking ``public transportation
        financial and operating information'' and inserting ``public
        transportation financial, operating, and asset condition
        information''; and
            (2) by adding at the end the following:
        ``(c) Data Required to Be Reported.--The recipient of a grant under
    this chapter shall report to the Secretary, for inclusion in the
    National Transit Database, any information relating to a transit asset
    inventory or condition assessment conducted by the recipient.''.
        (b) Data Accuracy and Reliability.--The Secretary shall--
            (1) develop and implement appropriate internal control
        activities to ensure that public transportation safety incident
        data is reported accurately and reliably by public transportation
        systems and State safety oversight agencies to the State Safety
        Oversight Rail Accident Database; and
            (2) report to the Committee on Banking, Housing, and Urban
        Affairs of the Senate and the Committee on Transportation and
        Infrastructure of the House of Representatives within 1 year of
        enactment of the Federal Public Transportation Act of 2012 on the
        steps taken to improve the accuracy and reliability of public
        transportation safety incident data reported to the State Safety
        Oversight Rail Accident Database.
    SEC. 20026. APPORTIONMENT OF APPROPRIATIONS FOR FORMULA GRANTS.
        Section 5336 of title 49, United States Code, is amended to read as
    follows:
    ``Sec. 5336. Apportionment of appropriations for formula grants
        ``(a) Based on Urbanized Area Population.--Of the amount
    apportioned under subsection (h)(4) to carry out section 5307--
            ``(1) 9.32 percent shall be apportioned each fiscal year only
        in urbanized areas with a population of less than 200,000 so that
        each of those areas is entitled to receive an amount equal to--
                ``(A) 50 percent of the total amount apportioned multiplied
            by a ratio equal to the population of the area divided by the
            total population of all urbanized areas with populations of
            less than 200,000 as shown in the most recent decennial census;
            and
                ``(B) 50 percent of the total amount apportioned multiplied
            by a ratio for the area based on population weighted by a
            factor, established by the Secretary, of the number of
            inhabitants in each square mile; and
            ``(2) 90.68 percent shall be apportioned each fiscal year only
        in urbanized areas with populations of at least 200,000 as provided
        in subsections (b) and (c) of this section.
        ``(b) Based on Fixed Guideway Vehicle Revenue Miles, Directional
    Route Miles, and Passenger Miles.--(1) In this subsection, `fixed
    guideway vehicle revenue miles' and `fixed guideway directional route
    miles' include passenger ferry operations directly or under contract by
    the designated recipient.
        ``(2) Of the amount apportioned under subsection (a)(2) of this
    section, 33.29 percent shall be apportioned as follows:
            ``(A) 95.61 percent of the total amount apportioned under this
        subsection shall be apportioned so that each urbanized area with a
        population of at least 200,000 is entitled to receive an amount
        equal to--
                ``(i) 60 percent of the 95.61 percent apportioned under
            this subparagraph multiplied by a ratio equal to the number of
            fixed guideway vehicle revenue miles attributable to the area,
            as established by the Secretary, divided by the total number of
            all fixed guideway vehicle revenue miles attributable to all
            areas; and
                ``(ii) 40 percent of the 95.61 percent apportioned under
            this subparagraph multiplied by a ratio equal to the number of
            fixed guideway directional route miles attributable to the
            area, established by the Secretary, divided by the total number
            of all fixed guideway directional route miles attributable to
            all areas.
        An urbanized area with a population of at least 750,000 in which
        commuter rail transportation is provided shall receive at least .75
        percent of the total amount apportioned under this subparagraph.
            ``(B) 4.39 percent of the total amount apportioned under this
        subsection shall be apportioned so that each urbanized area with a
        population of at least 200,000 is entitled to receive an amount
        equal to--
                ``(i) the number of fixed guideway vehicle passenger miles
            traveled multiplied by the number of fixed guideway vehicle
            passenger miles traveled for each dollar of operating cost in
            an area; divided by
                ``(ii) the total number of fixed guideway vehicle passenger
            miles traveled multiplied by the total number of fixed guideway
            vehicle passenger miles traveled for each dollar of operating
            cost in all areas.
        An urbanized area with a population of at least 750,000 in which
        commuter rail transportation is provided shall receive at least .75
        percent of the total amount apportioned under this subparagraph.
            ``(C) Under subparagraph (A) of this paragraph, fixed guideway
        vehicle revenue or directional route miles, and passengers served
        on those miles, in an urbanized area with a population of less than
        200,000, where the miles and passengers served otherwise would be
        attributable to an urbanized area with a population of at least
        1,000,000 in an adjacent State, are attributable to the
        governmental authority in the State in which the urbanized area
        with a population of less than 200,000 is located. The authority is
        deemed an urbanized area with a population of at least 200,000 if
        the authority makes a contract for the service.
            ``(D) A recipient's apportionment under subparagraph (A)(i) of
        this paragraph may not be reduced if the recipient, after
        satisfying the Secretary that energy or operating efficiencies
        would be achieved, reduces vehicle revenue miles but provides the
        same frequency of revenue service to the same number of riders.
            ``(E) For purposes of subparagraph (A) and section 5337(c)(3),
        the Secretary shall deem to be attributable to an urbanized area
        not less than 22.27 percent of the fixed guideway vehicle revenue
        miles or fixed guideway directional route miles in the public
        transportation system of a recipient that are located outside the
        urbanized area for which the recipient receives funds, in addition
        to the fixed guideway vehicle revenue miles or fixed guideway
        directional route miles of the recipient that are located inside
        the urbanized area.
        ``(c) Based on Bus Vehicle Revenue Miles and Passenger Miles.--Of
    the amount apportioned under subsection (a)(2) of this section, 66.71
    percent shall be apportioned as follows:
            ``(1) 90.8 percent of the total amount apportioned under this
        subsection shall be apportioned as follows:
                ``(A) 73.39 percent of the 90.8 percent apportioned under
            this paragraph shall be apportioned so that each urbanized area
            with a population of at least 1,000,000 is entitled to receive
            an amount equal to--
                    ``(i) 50 percent of the 73.39 percent apportioned under
                this subparagraph multiplied by a ratio equal to the total
                bus vehicle revenue miles operated in or directly serving
                the urbanized area divided by the total bus vehicle revenue
                miles attributable to all areas;
                    ``(ii) 25 percent of the 73.39 percent apportioned
                under this subparagraph multiplied by a ratio equal to the
                population of the area divided by the total population of
                all areas, as shown in the most recent decennial census;
                and
                    ``(iii) 25 percent of the 73.39 percent apportioned
                under this subparagraph multiplied by a ratio for the area
                based on population weighted by a factor, established by
                the Secretary, of the number of inhabitants in each square
                mile.
                ``(B) 26.61 percent of the 90.8 percent apportioned under
            this paragraph shall be apportioned so that each urbanized area
            with a population of at least 200,000 but not more than 999,999
            is entitled to receive an amount equal to--
                    ``(i) 50 percent of the 26.61 percent apportioned under
                this subparagraph multiplied by a ratio equal to the total
                bus vehicle revenue miles operated in or directly serving
                the urbanized area divided by the total bus vehicle revenue
                miles attributable to all areas;
                    ``(ii) 25 percent of the 26.61 percent apportioned
                under this subparagraph multiplied by a ratio equal to the
                population of the area divided by the total population of
                all areas, as shown by the most recent decennial census;
                and
                    ``(iii) 25 percent of the 26.61 percent apportioned
                under this subparagraph multiplied by a ratio for the area
                based on population weighted by a factor, established by
                the Secretary, of the number of inhabitants in each square
                mile.
            ``(2) 9.2 percent of the total amount apportioned under this
        subsection shall be apportioned so that each urbanized area with a
        population of at least 200,000 is entitled to receive an amount
        equal to--
                ``(A) the number of bus passenger miles traveled multiplied
            by the number of bus passenger miles traveled for each dollar
            of operating cost in an area; divided by
                ``(B) the total number of bus passenger miles traveled
            multiplied by the total number of bus passenger miles traveled
            for each dollar of operating cost in all areas.
        ``(d) Date of Apportionment.--The Secretary shall--
            ``(1) apportion amounts appropriated under section
        5338(a)(2)(C) of this title to carry out section 5307 of this title
        not later than the 10th day after the date the amounts are
        appropriated or October 1 of the fiscal year for which the amounts
        are appropriated, whichever is later; and
            ``(2) publish apportionments of the amounts, including amounts
        attributable to each urbanized area with a population of more than
        50,000 and amounts attributable to each State of a multistate
        urbanized area, on the apportionment date.
        ``(e) Amounts Not Apportioned to Designated Recipients.--The
    Governor of a State may expend in an urbanized area with a population
    of less than 200,000 an amount apportioned under this section that is
    not apportioned to a designated recipient, as defined in section
    5302(4).
        ``(f) Transfers of Apportionments.--(1) The Governor of a State may
    transfer any part of the State's apportionment under subsection (a)(1)
    of this section to supplement amounts apportioned to the State under
    section 5311(c)(3). The Governor may make a transfer only after
    consulting with responsible local officials and publicly owned
    operators of public transportation in each area for which the amount
    originally was apportioned under this section.
        ``(2) The Governor of a State may transfer any part of the State's
    apportionment under section 5311(c)(3) to supplement amounts
    apportioned to the State under subsection (a)(1) of this section.
        ``(3) The Governor of a State may use throughout the State amounts
    of a State's apportionment remaining available for obligation at the
    beginning of the 90-day period before the period of the availability of
    the amounts expires.
        ``(4) A designated recipient for an urbanized area with a
    population of at least 200,000 may transfer a part of its apportionment
    under this section to the Governor of a State. The Governor shall
    distribute the transferred amounts to urbanized areas under this
    section.
        ``(5) Capital and operating assistance limitations applicable to
    the original apportionment apply to amounts transferred under this
    subsection.
        ``(g) Period of Availability to Recipients.--An amount apportioned
    under this section may be obligated by the recipient for 5 years after
    the fiscal year in which the amount is apportioned. Not later than 30
    days after the end of the 5-year period, an amount that is not
    obligated at the end of that period shall be added to the amount that
    may be apportioned under this section in the next fiscal year.
        ``(h) Apportionments.--Of the amounts made available for each
    fiscal year under section 5338(a)(2)(C)--
            ``(1) $30,000,000 shall be set aside to carry out section
        5307(h);
            ``(2) 3.07 percent shall be apportioned to urbanized areas in
        accordance with subsection (j);
            ``(3) of amounts not apportioned under paragraphs (1) and (2),
        1.5 percent shall be apportioned to urbanized areas with
        populations of less than 200,000 in accordance with subsection (i);
            ``(4) 0.5 percent shall be apportioned to eligible States for
        State safety oversight program grants in accordance with section
        5329(e)(6); and
            ``(5) any amount not apportioned under paragraphs (1), (2),
        (3), and (4) shall be apportioned to urbanized areas in accordance
        with subsections (a) through (c).
        ``(i) Small Transit Intensive Cities Formula.--
            ``(1) Definitions.--In this subsection, the following
        definitions apply:
                ``(A) Eligible area.--The term `eligible area' means an
            urbanized area with a population of less than 200,000 that
            meets or exceeds in one or more performance categories the
            industry average for all urbanized areas with a population of
            at least 200,000 but not more than 999,999, as determined by
            the Secretary in accordance with subsection (c)(2).
                ``(B) Performance category.--The term `performance
            category' means each of the following:
                    ``(i) Passenger miles traveled per vehicle revenue
                mile.
                    ``(ii) Passenger miles traveled per vehicle revenue
                hour.
                    ``(iii) Vehicle revenue miles per capita.
                    ``(iv) Vehicle revenue hours per capita.
                    ``(v) Passenger miles traveled per capita.
                    ``(vi) Passengers per capita.
            ``(2) Apportionment.--
                ``(A) Apportionment formula.--The amount to be apportioned
            under subsection (h)(3) shall be apportioned among eligible
            areas in the ratio that--
                    ``(i) the number of performance categories for which
                each eligible area meets or exceeds the industry average in
                urbanized areas with a population of at least 200,000 but
                not more than 999,999; bears to
                    ``(ii) the aggregate number of performance categories
                for which all eligible areas meet or exceed the industry
                average in urbanized areas with a population of at least
                200,000 but not more than 999,999.
                ``(B) Data used in formula.--The Secretary shall calculate
            apportionments under this subsection for a fiscal year using
            data from the national transit database used to calculate
            apportionments for that fiscal year under this section.
        ``(j) Apportionment Formula.--The amounts apportioned under
    subsection (h)(2) shall be apportioned among urbanized areas as
    follows:
            ``(1) 75 percent of the funds shall be apportioned among
        designated recipients for urbanized areas with a population of
        200,000 or more in the ratio that--
                ``(A) the number of eligible low-income individuals in each
            such urbanized area; bears to
                ``(B) the number of eligible low-income individuals in all
            such urbanized areas.
            ``(2) 25 percent of the funds shall be apportioned among
        designated recipients for urbanized areas with a population of less
        than 200,000 in the ratio that--
                ``(A) the number of eligible low-income individuals in each
            such urbanized area; bears to
                ``(B) the number of eligible low-income individuals in all
            such urbanized areas.''.
    SEC. 20027. STATE OF GOOD REPAIR GRANTS.
        Section 5337 of title 49, United States Code, is amended to read as
    follows:
    ``Sec. 5337. State of good repair grants
        ``(a) Definitions.--In this section, the following definitions
    shall apply:
            ``(1) Fixed guideway.--The term `fixed guideway' means a public
        transportation facility--
                ``(A) using and occupying a separate right-of-way for the
            exclusive use of public transportation;
                ``(B) using rail;
                ``(C) using a fixed catenary system;
                ``(D) for a passenger ferry system; or
                ``(E) for a bus rapid transit system.
            ``(2) State.--The term `State' means the 50 States, the
        District of Columbia, and Puerto Rico.
            ``(3) State of good repair.--The term `state of good repair'
        has the meaning given that term by the Secretary, by rule, under
        section 5326(b).
            ``(4) Transit asset management plan.--The term `transit asset
        management plan' means a plan developed by a recipient of funding
        under this chapter that--
                ``(A) includes, at a minimum, capital asset inventories and
            condition assessments, decision support tools, and investment
            prioritization; and
                ``(B) the recipient certifies that the recipient complies
            with the rule issued under section 5326(d).
        ``(b) General Authority.--
            ``(1) Eligible projects.--The Secretary may make grants under
        this section to assist State and local governmental authorities in
        financing capital projects to maintain public transportation
        systems in a state of good repair, including projects to replace
        and rehabilitate--
                ``(A) rolling stock;
                ``(B) track;
                ``(C) line equipment and structures;
                ``(D) signals and communications;
                ``(E) power equipment and substations;
                ``(F) passenger stations and terminals;
                ``(G) security equipment and systems;
                ``(H) maintenance facilities and equipment;
                ``(I) operational support equipment, including computer
            hardware and software;
                ``(J) development and implementation of a transit asset
            management plan; and
                ``(K) other replacement and rehabilitation projects the
            Secretary determines appropriate.
            ``(2) Inclusion in plan.--A recipient shall include a project
        carried out under paragraph (1) in the transit asset management
        plan of the recipient upon completion of the plan.
        ``(c) High Intensity Fixed Guideway State of Good Repair Formula.--
            ``(1) In general.--Of the amount authorized or made available
        under section 5338(a)(2)(I), 97.15 percent shall be apportioned to
        recipients in accordance with this subsection.
            ``(2) Area share.--
                ``(A) In general.--50 percent of the amount described in
            paragraph (1) shall be apportioned for fixed guideway systems
            in accordance with this paragraph.
                ``(B) Share.--A recipient shall receive an amount equal to
            the amount described in subparagraph (A), multiplied by the
            amount the recipient would have received under this section, as
            in effect for fiscal year 2011, if the amount had been
            calculated in accordance with section 5336(b)(1) and using the
            definition of the term `fixed guideway' under subsection (a) of
            this section, as such sections are in effect on the day after
            the date of enactment of the Federal Public Transportation Act
            of 2012, and divided by the total amount apportioned for all
            areas under this section for fiscal year 2011.
                ``(C) Recipient.--For purposes of this paragraph, the term
            `recipient' means an entity that received funding under this
            section, as in effect for fiscal year 2011.
            ``(3) Vehicle revenue miles and directional route miles.--
                ``(A) In general.--50 percent of the amount described in
            paragraph (1) shall be apportioned to recipients in accordance
            with this paragraph.
                ``(B) Vehicle revenue miles.--A recipient in an urbanized
            area shall receive an amount equal to 60 percent of the amount
            described in subparagraph (A), multiplied by the number of
            fixed guideway vehicle revenue miles attributable to the
            urbanized area, as established by the Secretary, divided by the
            total number of all fixed guideway vehicle revenue miles
            attributable to all urbanized areas.
                ``(C) Directional route miles.--A recipient in an urbanized
            area shall receive an amount equal to 40 percent of the amount
            described in subparagraph (A), multiplied by the number of
            fixed guideway directional route miles attributable to the
            urbanized area, as established by the Secretary, divided by the
            total number of all fixed guideway directional route miles
            attributable to all urbanized areas.
            ``(4) Limitation.--
                ``(A) In general.--Except as provided in subparagraph (B),
            the share of the total amount apportioned under this subsection
            that is apportioned to an area under this subsection shall not
            decrease by more than 0.25 percentage points compared to the
            share apportioned to the area under this subsection in the
            previous fiscal year.
                ``(B) Special rule for fiscal year 2013.--In fiscal year
            2013, the share of the total amount apportioned under this
            subsection that is apportioned to an area under this subsection
            shall not decrease by more than 0.25 percentage points compared
            to the share that would have been apportioned to the area under
            this section, as in effect for fiscal year 2011, if the share
            had been calculated using the definition of the term `fixed
            guideway' under subsection (a) of this section, as in effect on
            the day after the date of enactment of the Federal Public
            Transportation Act of 2012.
            ``(5) Use of funds.--Amounts made available under this
        subsection shall be available for the exclusive use of fixed
        guideway projects.
            ``(6) Receiving apportionment.--
                ``(A) In general.--Except as provided in subparagraph (B),
            for an area with a fixed guideway system, the amounts provided
            under this subsection shall be apportioned to the designated
            recipient for the urbanized area in which the system operates.
                ``(B) Exception.--An area described in the amendment made
            by section 3028(a) of the Transportation Equity Act for the
            21st Century (Public Law 105-178; 112 Stat. 366) shall receive
            an individual apportionment under this subsection.
            ``(7) Apportionment requirements.--For purposes of determining
        the number of fixed guideway vehicle revenue miles or fixed
        guideway directional route miles attributable to an urbanized area
        for a fiscal year under this subsection, only segments of fixed
        guideway systems placed in revenue service not later than 7 years
        before the first day of the fiscal year shall be deemed to be
        attributable to an urbanized area.
        ``(d) High Intensity Motorbus State of Good Repair.--
            ``(1) Definition.--For purposes of this subsection, the term
        `high intensity motorbus' means public transportation that is
        provided on a facility with access for other high-occupancy
        vehicles.
            ``(2) Apportionment.--Of the amount authorized or made
        available under section 5338(a)(2)(I), 2.85 percent shall be
        apportioned to urbanized areas for high intensity motorbus state of
        good repair in accordance with this subsection.
            ``(3) Vehicle revenue miles and directional route miles.--
                ``(A) In general.--The amount described in paragraph (2)
            shall be apportioned to each area in accordance with this
            paragraph.
                ``(B) Vehicle revenue miles.--Each area shall receive an
            amount equal to 60 percent of the amount described in
            subparagraph (A), multiplied by the number of high intensity
            motorbus vehicle revenue miles attributable to the area, as
            established by the Secretary, divided by the total number of
            all high intensity motorbus vehicle revenue miles attributable
            to all areas.
                ``(C) Directional route miles.--Each area shall receive an
            amount equal to 40 percent of the amount described in
            subparagraph (A), multiplied by the number of high intensity
            motorbus directional route miles attributable to the area, as
            established by the Secretary, divided by the total number of
            all high intensity motorbus directional route miles
            attributable to all areas.
            ``(4) Apportionment requirements.--For purposes of determining
        the number of high intensity motorbus vehicle revenue miles or high
        intensity motorbus directional route miles attributable to an
        urbanized area for a fiscal year under this subsection, only
        segments of high intensity motorbus systems placed in revenue
        service not later than 7 years before the first day of the fiscal
        year shall be deemed to be attributable to an urbanized area.''.
    SEC. 20028. AUTHORIZATIONS.
        Section 5338 of title 49, United States Code, is amended to read as
    follows:
    ``Sec. 5338. Authorizations
        ``(a) Formula Grants.--
            ``(1) In general.--There shall be available from the Mass
        Transit Account of the Highway Trust Fund to carry out sections
        5305, 5307, 5310, 5311, 5318, 5322(d), 5335, 5337, 5339, and 5340,
        and section 20005(b) of the Federal Public Transportation Act of
        2012, $8,478,000,000 for fiscal year 2013 and $8,595,000,000 for
        fiscal year 2014.
            ``(2) Allocation of funds.--Of the amounts made available under
        paragraph (1)--
                ``(A) $126,900,000 for fiscal year 2013 and $128,800,000
            for fiscal year 2014 shall be available to carry out section
            5305;
                ``(B) $10,000,000 for each of fiscal years 2013 and 2014
            shall be available to carry out section 20005(b) of the Federal
            Public Transportation Act of 2012;
                ``(C) $4,397,950,000 for fiscal year 2013 and
            $4,458,650,000 for fiscal year 2014 shall be allocated in
            accordance with section 5336 to provide financial assistance
            for urbanized areas under section 5307;
                ``(D) $254,800,000 for fiscal year 2013 and $258,300,000
            for fiscal year 2014 shall be available to provide financial
            assistance for services for the enhanced mobility of seniors
            and individuals with disabilities under section 5310;
                ``(E) $599,500,000 for fiscal year 2013 and $607,800,000
            for fiscal year 2014 shall be available to provide financial
            assistance for rural areas under section 5311, of which not
            less than $30,000,000 for fiscal year 2013 and $30,000,000 for
            fiscal year 2014 shall be available to carry out section
            5311(c)(1) and $20,000,000 for fiscal year 2013 and $20,000,000
            for fiscal year 2014 shall be available to carry out section
            5311(c)(2);
                ``(F) $3,000,000 for each of fiscal years 2013 and 2014
            shall be available for bus testing under section 5318;
                ``(G) $5,000,000 for each of fiscal years 2013 and 2014
            shall be available for the national transit institute under
            section 5322(d);
                ``(H) $3,850,000 for each of fiscal years 2013 and 2014
            shall be available to carry out section 5335;
                ``(I) $2,136,300,000 for fiscal year 2013 and
            $2,165,900,000 for fiscal year 2014 shall be available to carry
            out section 5337;
                ``(J) $422,000,000 for fiscal year 2013 and $427,800,000
            for fiscal year 2014 shall be available for the bus and bus
            facilities program under section 5339; and
                ``(K) $518,700,000 for fiscal year 2013 and $525,900,000
            for fiscal year 2014 shall be allocated in accordance with
            section 5340 to provide financial assistance for urbanized
            areas under section 5307 and rural areas under section 5311.
        ``(b) Research, Development Demonstration and Deployment
    Projects.--There are authorized to be appropriated to carry out section
    5312, $70,000,000 for fiscal year 2013 and $70,000,000 for fiscal year
    2014.
        ``(c) Transit Cooperative Research Program.--There are authorized
    to be appropriated to carry out section 5313, $7,000,000 for fiscal
    year 2013 and $7,000,000 for fiscal year 2014.
        ``(d) Technical Assistance and Standards Development.--There are
    authorized to be appropriated to carry out section 5314, $7,000,000 for
    fiscal year 2013 and $7,000,000 for fiscal year 2014.
        ``(e) Human Resources and Training.--There are authorized to be
    appropriated to carry out subsections (a), (b), (c), and (e) of section
    5322, $5,000,000 for fiscal year 2013 and $5,000,000 for fiscal year
    2014.
        ``(f) Emergency Relief Program.--There are authorized to be
    appropriated such sums as are necessary to carry out section 5324.
        ``(g) Capital Investment Grants.--There are authorized to be
    appropriated to carry out section 5309, $1,907,000,000 for fiscal year
    2013 and $1,907,000,000 for fiscal year 2014.
        ``(h) Administration.--
            ``(1) In general.--There are authorized to be appropriated to
        carry out section 5334, $104,000,000 for fiscal year 2013 and
        $104,000,000 for fiscal year 2014.
            ``(2) Section 5329.--Of the amounts authorized to be
        appropriated under paragraph (1), not less than $5,000,000 shall be
        available to carry out section 5329.
            ``(3) Section 5326.--Of the amounts made available under
        paragraph (2), not less than $1,000,000 shall be available to carry
        out section 5326.
        ``(i) Oversight.--
            ``(1) In general.--Of the amounts made available to carry out
        this chapter for a fiscal year, the Secretary may use not more than
        the following amounts for the activities described in paragraph
        (2):
                ``(A) 0.5 percent of amounts made available to carry out
            section 5305.
                ``(B) 0.75 percent of amounts made available to carry out
            section 5307.
                ``(C) 1 percent of amounts made available to carry out
            section 5309.
                ``(D) 1 percent of amounts made available to carry out
            section 601 of the Passenger Rail Investment and Improvement
            Act of 2008 (Public Law 110-432; 126 Stat. 4968).
                ``(E) 0.5 percent of amounts made available to carry out
            section 5310.
                ``(F) 0.5 percent of amounts made available to carry out
            section 5311.
                ``(G) 0.75 percent of amounts made available to carry out
            section 5337(c).
            ``(2) Activities.--The activities described in this paragraph
        are as follows:
                ``(A) Activities to oversee the construction of a major
            capital project.
                ``(B) Activities to review and audit the safety and
            security, procurement, management, and financial compliance of
            a recipient or subrecipient of funds under this chapter.
                ``(C) Activities to provide technical assistance generally,
            and to provide technical assistance to correct deficiencies
            identified in compliance reviews and audits carried out under
            this section.
            ``(3) Government share of costs.--The Government shall pay the
        entire cost of carrying out a contract under this subsection.
            ``(4) Availability of certain funds.--Funds made available
        under paragraph (1)(C) shall be made available to the Secretary
        before allocating the funds appropriated to carry out any project
        under a full funding grant agreement.
        ``(j) Grants as Contractual Obligations.--
            ``(1) Grants financed from highway trust fund.--A grant or
        contract that is approved by the Secretary and financed with
        amounts made available from the Mass Transit Account of the Highway
        Trust Fund pursuant to this section is a contractual obligation of
        the Government to pay the Government share of the cost of the
        project.
            ``(2) Grants financed from general fund.--A grant or contract
        that is approved by the Secretary and financed with amounts
        appropriated in advance from the General Fund of the Treasury
        pursuant to this section is a contractual obligation of the
        Government to pay the Government share of the cost of the project
        only to the extent that amounts are appropriated for such purpose
        by an Act of Congress.
        ``(k) Availability of Amounts.--Amounts made available by or
    appropriated under this section shall remain available until
    expended.''.
    SEC. 20029. BUS AND BUS FACILITIES FORMULA GRANTS.
        (a) In General.--Section 5339 of title 49, United States Code, is
    amended to read as follows:
    ``Sec. 5339. Bus and bus facilities formula grants
        ``(a) General Authority.--The Secretary may make grants under this
    section to assist eligible recipients described in subsection (c)(1) in
    financing capital projects--
            ``(1) to replace, rehabilitate, and purchase buses and related
        equipment; and
            ``(2) to construct bus-related facilities.
        ``(b) Grant Requirements.--The requirements of section 5307 apply
    to recipients of grants made under this section.
        ``(c) Eligible Recipients and Subrecipients.--
            ``(1) Recipients.--Eligible recipients under this section are
        designated recipients that operate fixed route bus service or that
        allocate funding to fixed route bus operators.
            ``(2) Subrecipients.--A designated recipient that receives a
        grant under this section may allocate amounts of the grant to
        subrecipients that are public agencies or private nonprofit
        organizations engaged in public transportation.
        ``(d) Distribution of Grant Funds.--Funds allocated under section
    5338(a)(2)(J) shall be distributed as follows:
            ``(1) National distribution.--$65,500,000 shall be allocated to
        all States and territories, with each State receiving $1,250,000
        and each territory receiving $500,000.
            ``(2) Distribution using population and service factors.--The
        remainder of the funds not otherwise distributed under paragraph
        (1) shall be allocated pursuant to the formula set forth in section
        5336 other than subsection (b).
        ``(e) Transfers of Apportionments.--
            ``(1) Transfer flexibility for national distribution funds.--
        The Governor of a State may transfer any part of the State's
        apportionment under subsection (d)(1) to supplement amounts
        apportioned to the State under section 5311(c) of this title or
        amounts apportioned to urbanized areas under subsections (a) and
        (c) of section 5336 of this title.
            ``(2) Transfer flexibility for population and service factors
        funds.--The Governor of a State may expend in an urbanized area
        with a population of less than 200,000 any amounts apportioned
        under subsection (d)(2) that are not allocated to designated
        recipients in urbanized areas with a population of 200,000 or more.
        ``(f) 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. A recipient of a grant under this section may provide
        additional local matching amounts.
            ``(2) Remaining costs.--The remainder of the net project cost
        shall be provided--
                ``(A) in cash from non-Government sources other than
            revenues from providing public transportation services;
                ``(B) from revenues derived from the sale of advertising
            and concessions;
                ``(C) from an undistributed cash surplus, a replacement or
            depreciation cash fund or reserve, or new capital; or
                ``(D) from amounts received under a service agreement with
            a State or local social service agency or private social
            service organization.
        ``(g) Period of Availability to Recipients.--Amounts made available
    under this section may be obligated by a recipient for 3 years after
    the fiscal year in which the amount is apportioned. Not later than 30
    days after the end of the 3-year period described in the preceding
    sentence, any amount that is not obligated on the last day of that
    period shall be added to the amount that may be apportioned under this
    section in the next fiscal year.
        ``(h) Definitions.--For purposes of this section:
            ``(1) The term `State' means a State of the United States.
            ``(2) The term `territory' means the District of Columbia,
        Puerto Rico, the Northern Mariana Islands, Guam, American Samoa,
        and the United States Virgin Islands.''.
    SEC. 20030. TECHNICAL AND CONFORMING AMENDMENTS.
        (a) Section 5305.--Section 5305 of title 49, United States Code, is
    amended--
            (1) in subsection (e)(1)(A), by striking ``sections 5304, 5306,
        5315, and 5322'' and inserting ``section 5304 and 5306'';
            (2) in subsection (f)--
                (A) in the heading, by striking ``Government's'' and
            inserting ``Government''; and
                (B) by striking ``Government's'' and inserting
            ``Government''; and
            (3) in subsection (g), by striking ``section 5338(c) for fiscal
        years 2005 through 2012'' and inserting ``section 5338(a)(2)(A) for
        a fiscal year''.
        (b) Section 5313.--Section 5313(a) of title 49, United States Code,
    is amended--
            (1) in the first sentence, by striking ``subsections
        (a)(5)(C)(iii) and (d)(1) of section 5338'' and inserting section
        ``5338(c)''; and
            (2) in the second sentence, by striking ``of Transportation''.
        (c) Section 5319.--Section 5319 of title 49, United States Code, is
    amended, in the second sentence--
            (1) by striking ``sections 5307(e), 5309(h), and 5311(g) of
        this title'' and inserting ``sections 5307(d), 5309(l), and
        5311(g)''; and
            (2) by striking ``of the United States'' and inserting ``made
        by the''.
        (d) Section 5325.--Section 5325(b)(2)(A) of title 49, United States
    Code, is amended by striking ``title 48, Code of Federal Regulations
    (commonly known as the Federal Acquisition Regulation)'' and inserting
    ``the Federal Acquisition Regulation, or any successor thereto''.
        (e) Section 5330.--Effective 3 years after the effective date of
    the final rules issued by the Secretary of Transportation under section
    5329(e) of title 49, United States Code, as amended by this division,
    section 5330 of title 49, United States Code, is repealed.
        (f) Section 5331.--Section 5331 of title 49, United States Code, is
    amended by striking ``Secretary of Transportation'' each place that
    term appears and inserting ``Secretary''.
        (g) Section 5332.--Section 5332(c)(1) of title 49, United States
    Code, is amended by striking ``of Transportation''.
        (h) Section 5333.--Section 5333(a) of title 49, United States Code,
    is amended by striking ``sections 3141-3144'' and inserting ``sections
    3141 through 3144''.
        (i) Section 5334.--Section 5334 of title 49, United States Code, is
    amended--
            (1) in subsection (c)--
                (A) by striking ``Secretary of Transportation'' each place
            that term appears and inserting ``Secretary''; and
                (B) in paragraph (1), by striking ``Committees on
            Transportation and Infrastructure and Appropriations of the
            House of Representatives and the Committees on Banking,
            Housing, and Urban Affairs and Appropriations of the Senate''
            and inserting ``Committee on Banking, Housing, and Urban
            Affairs and the Committee on Appropriations of the Senate and
            the Committee on Transportation and Infrastructure and the
            Committee on Appropriations of the House of Representatives'';
            (2) in subsection (d), by striking ``of Transportation'';
            (3) in subsection (e), by striking ``of Transportation'';
            (4) in subsection (f), by striking ``of Transportation'';
            (5) in subsection (g), in the matter preceding paragraph (1)--
                (A) by striking ``of Transportation''; and
                (B) by striking ``subsection (a)(3) or (4) of this
            section'' and inserting ``paragraph (3) or (4) of subsection
            (a)'';
            (6) in subsection (h)--
                (A) in paragraph (1), in the matter preceding subparagraph
            (A), by striking ``of Transportation''; and
                (B) in paragraph (2), by striking ``of this section'';
            (7) in subsection (i)(1), by striking ``of Transportation'';
        and
            (8) in subsection (j), as so redesignated by section 20025 of
        this division, by striking ``Committees on Banking, Housing, and
        Urban Affairs and Appropriations of the Senate and Committees on
        Transportation and Infrastructure and Appropriations of the House
        of Representatives'' and inserting ``Committee on Banking, Housing,
        and Urban Affairs and the Committee on Appropriations of the Senate
        and the Committee on Transportation and Infrastructure and the
        Committee on Appropriations of the House of Representatives''.
        (j) Section 5335.--Section 5335(a) of title 49, United States Code,
    is amended by striking ``of Transportation''.
        (k) Analysis.--The analysis for chapter 53 of title 49, United
    States Code, is amended to read as follows:

    ``Sec.
    ``5301. Policies and purposes.
    ``5302. Definitions.
    ``5303. Metropolitan transportation planning.
    ``5304. Statewide and nonmetropolitan transportation planning.
    ``5305. Planning programs.
    ``5306. Private enterprise participation in metropolitan planning and
              transportation improvement programs and relationship to other
              limitations.
    ``5307. Urbanized area formula grants.
    ``[5308. Repealed.]
    ``5309. Fixed guideway capital investment grants.
    ``5310. Formula grants for the enhanced mobility of seniors and
              individuals with disabilities.
    ``5311. Formula grants for rural areas.
    ``5312. Research, development, demonstration, and deployment projects.
    ``5313. Transit cooperative research program.
    ``5314. Technical assistance and standards development.
    ``5315. Private sector participation.
    ``[5316. Repealed.]
    ``[5317. Repealed.]
    ``5318. Bus testing facility.
    ``5319. Bicycle facilities.
    ``[5320.Repealed.]
    ``5321. Crime prevention and security.
    ``5322. Human resources and training.
    ``5323. General provisions.
    ``5324. Public transportation emergency relief program.
    ``5325. Contract requirements.
    ``5326. Transit asset management.
    ``5327. Project management oversight.
    ``[5328. Repealed.]
    ``5329. Public transportation safety program.
    ``5330. State safety oversight.
    ``5331. Alcohol and controlled substances testing.
    ``5332. Nondiscrimination.
    ``5333. Labor standards.
    ``5334. Administrative provisions.
    ``5335. National transit database.
    ``5336. Apportionment of appropriations for formula grants.
    ``5337. State of good repair grants.
    ``5338. Authorizations.
    ``5339. Bus and bus facilities formula grants.
    ``5340. Apportionments based on growing States and high density States
              formula factors.''.

      DIVISION C--TRANSPORTATION SAFETY AND SURFACE TRANSPORTATION POLICY
       TITLE I--MOTOR VEHICLE AND HIGHWAY SAFETY IMPROVEMENT ACT OF 2012

    SEC. 31001. SHORT TITLE.
        This title may be cited as the ``Motor Vehicle and Highway Safety
    Improvement Act of 2012'' or ``Mariah's Act''.
    SEC. 31002. DEFINITION.
        In this title, the term ``Secretary'' means the Secretary of
    Transportation.

                           Subtitle A--Highway Safety

    SEC. 31101. AUTHORIZATION OF APPROPRIATIONS.
        (a) In General.--The following sums are authorized to be
    appropriated out of the Highway Trust Fund (other than the Mass Transit
    Account):
            (1) Highway safety programs.--For carrying out section 402 of
        title 23, United States Code--
                (A) $235,000,000 for fiscal year 2013; and
                (B) $235,000,000 for fiscal year 2014.
            (2) Highway safety research and development.--For carrying out
        section 403 of title 23, United States Code--
                (A) $110,500,000 for fiscal year 2013; and
                (B) $113,500,000 for fiscal year 2014.
            (3) National priority safety programs.--For carrying out
        section 405 of title 23, United States Code--
                (A) $265,000,000 for fiscal year 2013; and
                (B) $272,000,000 for fiscal year 2014.
            (4) National driver register.--For the National Highway Traffic
        Safety Administration to carry out chapter 303 of title 49, United
        States Code--
                (A) $5,000,000 for fiscal year 2013; and
                (B) $5,000,000 for fiscal year 2014.
            (5) High visibility enforcement program.--For carrying out
        section 2009 of SAFETEA-LU (23 U.S.C. 402 note)--
                (A) $29,000,000 for fiscal year 2013; and
                (B) $29,000,000 for fiscal year 2014.
            (6) Administrative expenses.--For administrative and related
        operating expenses of the National Highway Traffic Safety
        Administration in carrying out chapter 4 of title 23, United States
        Code, and this subtitle--
                (A) $25,500,000 for fiscal year 2013; and
                (B) $25,500,000 for fiscal year 2014.
        (b) Prohibition on Other Uses.--Except as otherwise provided in
    chapter 4 of title 23, United States Code, in this subtitle, and in the
    amendments made by this subtitle, the amounts made available from the
    Highway Trust Fund (other than the Mass Transit Account) for a program
    under such chapter--
            (1) shall only be used to carry out such program; and
            (2) may not be used by States or local governments for
        construction purposes.
        (c) Applicability of Title 23.--Except as otherwise provided in
    chapter 4 of title 23, United States Code, and in this subtitle,
    amounts made available under subsection (a) for fiscal years 2013 and
    2014 shall be available for obligation in the same manner as if such
    funds were apportioned under chapter 1 of title 23, United States Code.
        (d) Regulatory Authority.--Grants awarded under this subtitle shall
    be in accordance with regulations issued by the Secretary.
        (e) State Matching Requirements.--If a grant awarded under this
    subtitle requires a State to share in the cost, the aggregate of all
    expenditures for highway safety activities made during any fiscal year
    by the State and its political subdivisions (exclusive of Federal
    funds) for carrying out the grant (other than planning and
    administration) shall be available for the purpose of crediting the
    State during such fiscal year for the non-Federal share of the cost of
    any project under this subtitle (other than planning or administration)
    without regard to whether such expenditures were actually made in
    connection with such project.
        (f) Grant Application and Deadline.--To receive a grant under this
    subtitle, a State shall submit an application, and the Secretary shall
    establish a single deadline for such applications to enable the award
    of grants early in the next fiscal year.
    SEC. 31102. HIGHWAY SAFETY PROGRAMS.
        (a) Programs Included.--Section 402(a) of title 23, United States
    Code, is amended to read as follows:
        ``(a) Program Required.--
            ``(1) In general.--Each State shall have a highway safety
        program, approved by the Secretary, that is designed to reduce
        traffic accidents and the resulting deaths, injuries, and property
        damage.
            ``(2) Uniform guidelines.--Programs required under paragraph
        (1) shall comply with uniform guidelines, promulgated by the
        Secretary and expressed in terms of performance criteria, that--
                ``(A) include programs--
                    ``(i) to reduce injuries and deaths resulting from
                motor vehicles being driven in excess of posted speed
                limits;
                    ``(ii) to encourage the proper use of occupant
                protection devices (including the use of safety belts and
                child restraint systems) by occupants of motor vehicles;
                    ``(iii) to reduce injuries and deaths resulting from
                persons driving motor vehicles while impaired by alcohol or
                a controlled substance;
                    ``(iv) to prevent accidents and reduce injuries and
                deaths resulting from accidents involving motor vehicles
                and motorcycles;
                    ``(v) to reduce injuries and deaths resulting from
                accidents involving school buses;
                    ``(vi) to reduce accidents resulting from unsafe
                driving behavior (including aggressive or fatigued driving
                and distracted driving arising from the use of electronic
                devices in vehicles); and
                    ``(vii) to improve law enforcement services in motor
                vehicle accident prevention, traffic supervision, and post-
                accident procedures;
                ``(B) improve driver performance, including--
                    ``(i) driver education;
                    ``(ii) driver testing to determine proficiency to
                operate motor vehicles; and
                    ``(iii) driver examinations (physical, mental, and
                driver licensing);
                ``(C) improve pedestrian performance and bicycle safety;
                ``(D) include provisions for--
                    ``(i) an effective record system of accidents
                (including resulting injuries and deaths);
                    ``(ii) accident investigations to determine the
                probable causes of accidents, injuries, and deaths;
                    ``(iii) vehicle registration, operation, and
                inspection; and
                    ``(iv) emergency services; and
                ``(E) to the extent determined appropriate by the
            Secretary, are applicable to federally administered areas where
            a Federal department or agency controls the highways or
            supervises traffic operations.''.
        (b) Administration of State Programs.--Section 402(b) of title 23,
    United States Code, is amended--
            (1) in paragraph (1)--
                (A) in subparagraph (D), by striking ``and'' at the end;
                (B) by redesignating subparagraph (E) as subparagraph (F);
                (C) by inserting after subparagraph (D) the following:
                ``(E) beginning on the first day of the first fiscal year
            after the date of enactment of the Motor Vehicle and Highway
            Safety Improvement Act of 2012 in which a State submits its
            highway safety plan under subsection (f), provide for a data-
            driven traffic safety enforcement program to prevent traffic
            violations, crashes, and crash fatalities and injuries in areas
            most at risk for such incidents, to the satisfaction of the
            Secretary;''; and
                (D) in subparagraph (F), as redesignated--
                    (i) in clause (i), by inserting ``and high-visibility
                law enforcement mobilizations coordinated by the
                Secretary'' after ``mobilizations'';
                    (ii) in clause (iii), by striking ``and'' at the end;
                    (iii) in clause (iv), by striking the period at the end
                and inserting ``; and''; and
                    (iv) by adding at the end the following:
                    ``(v) ensuring that the State will coordinate its
                highway safety plan, data collection, and information
                systems with the State strategic highway safety plan (as
                defined in section 148(a)).''; and
            (2) by striking paragraph (3).
        (c) Approved Highway Safety Programs.--Section 402(c) of title 23,
    United States Code, is amended--
            (1) by striking ``(c) Funds authorized'' and inserting the
        following:
        ``(c) Use of Funds.--
            ``(1) In general.--Funds authorized'';
            (2) by striking ``Such funds'' and inserting the following:
            ``(2) Apportionment.--Except for amounts identified in section
        403(f), funds described in paragraph (1)'';
            (3) by striking ``The Secretary shall not'' and all that
        follows through ``subsection, a highway safety program'' and
        inserting ``A highway safety program'';
            (4) by inserting ``A State may use the funds apportioned under
        this section, in cooperation with neighboring States, for highway
        safety programs or related projects that may confer benefits on
        such neighboring States.'' after ``in every State.'';
            (5) by striking ``50 per centum'' and inserting ``20 percent'';
        and
            (6) by striking ``The Secretary shall promptly'' and all that
        follows and inserting the following:
            ``(3) Reapportionment.--The Secretary shall promptly apportion
        the funds withheld from a State's apportionment to the State if the
        Secretary approves the State's highway safety program or determines
        that the State has begun implementing an approved program, as
        appropriate, not later than July 31st of the fiscal year for which
        the funds were withheld. If the Secretary determines that the State
        did not correct its failure within such period, the Secretary shall
        reapportion the withheld funds to the other States in accordance
        with the formula specified in paragraph (2) not later than the last
        day of the fiscal year.
            ``(4) Automated traffic enforcement systems.--
                ``(A) Prohibition.--A State may not expend funds
            apportioned to that State under this section to carry out a
            program to purchase, operate, or maintain an automated traffic
            enforcement system.
                ``(B) Automated traffic enforcement system defined.--In
            this paragraph, the term `automated traffic enforcement system'
            means any camera which captures an image of a vehicle for the
            purposes only of red light and speed enforcement, and does not
            include hand held radar and other devices operated by law
            enforcement officers to make an on-the-scene traffic stop,
            issue a traffic citation, or other enforcement action at the
            time of the violation.''.
        (d) Use of Highway Safety Program Funds.--Section 402(g) of title
    23, United States Code, is amended to read as follows:
        ``(g) Savings Provision.--
            ``(1) In general.--Except as provided under paragraph (2),
        nothing in this section may be construed to authorize the
        appropriation or expenditure of funds for--
                ``(A) highway construction, maintenance, or design (other
            than design of safety features of highways to be incorporated
            into guidelines); or
                ``(B) any purpose for which funds are authorized under
            section 403.
            ``(2) Demonstration projects.--A State may use funds made
        available to carry out this section to assist in demonstration
        projects carried out by the Secretary under section 403.''.
        (e) In General.--Section 402 of title 23, United States Code, is
    amended--
            (1) by striking subsections (k) and (m);
            (2) by redesignating subsections (i) and (j) as subsections (h)
        and (i), respectively; and
            (3) by redesignating subsection (l) as subsection (j).
        (f) Highway Safety Plan and Reporting Requirements.--Section 402 of
    title 23, United States Code, as amended by this section, is further
    amended by adding at the end the following:
        ``(k) Highway Safety Plan and Reporting Requirements.--
            ``(1) In general.--With respect to fiscal year 2014, and each
        fiscal year thereafter, the Secretary shall require each State, as
        a condition of the approval of the State's highway safety program
        for that fiscal year, to develop and submit to the Secretary for
        approval a highway safety plan that complies with the requirements
        under this subsection.
            ``(2) Timing.--Each State shall submit to the Secretary the
        highway safety plan not later than July 1st of the fiscal year
        preceding the fiscal year to which the plan applies.
            ``(3) Contents.--State highway safety plans submitted under
        paragraph (1) shall include--
                ``(A) performance measures required by the Secretary or
            otherwise necessary to support additional State safety goals,
            including--
                    ``(i) documentation of current safety levels for each
                performance measure;
                    ``(ii) quantifiable annual performance targets for each
                performance measure; and
                    ``(iii) a justification for each performance target,
                that explains why each target is appropriate and evidence-
                based;
                ``(B) a strategy for programming funds apportioned to the
            State under this section on projects and activities that will
            allow the State to meet the performance targets described in
            subparagraph (A);
                ``(C) data and data analysis supporting the effectiveness
            of proposed countermeasures;
                ``(D) a description of any Federal, State, local, or
            private funds that the State plans to use, in addition to funds
            apportioned to the State under this section, to carry out the
            strategy described in subparagraph (B);
                ``(E) for the fiscal year preceding the fiscal year to
            which the plan applies, a report on the State's success in
            meeting State safety goals and performance targets set forth in
            the previous year's highway safety plan; and
                ``(F) an application for any additional grants available to
            the State under this chapter.
            ``(4) Performance measures.--For the first highway safety plan
        submitted under this subsection, the performance measures required
        by the Secretary under paragraph (2)(A) shall be limited to those
        developed by the National Highway Traffic Safety Administration and
        the Governor's Highway Safety Association and described in the
        report, `Traffic Safety Performance Measures for States and Federal
        Agencies' (DOT HS 811 025). For subsequent highway safety plans,
        the Secretary shall coordinate with the Governor's Highway Safety
        Association in making revisions to the set of required performance
        measures.
            ``(5) Review of highway safety plans.--
                ``(A) In general.--Not later than 60 days after the date on
            which a State's highway safety plan is received by the
            Secretary, the Secretary shall review and approve or disapprove
            the plan.
                ``(B) Approvals and disapprovals.--
                    ``(i) Approvals.--The Secretary shall approve a State's
                highway safety plan if the Secretary determines that--

                        ``(I) the plan and the performance targets
                    contained in the plan are evidence-based and supported
                    by data; and
                        ``(II) the plan, once implemented, will allow the
                    State to meet the State's performance targets.

                    ``(ii) Disapprovals.--The Secretary shall disapprove a
                State's highway safety plan if the Secretary determines
                that--

                        ``(I) the plan and the performance targets
                    contained in the plan are not evidence-based or
                    supported by data; or
                        ``(II) the plan does not provide for programming of
                    funding in a manner sufficient to allow the State to
                    meet the State's performance targets.

                ``(C) Actions upon disapproval.--If the Secretary
            disapproves a State's highway safety plan, the Secretary
            shall--
                    ``(i) inform the State of the reasons for such
                disapproval; and
                    ``(ii) require the State to resubmit the plan with any
                modifications that the Secretary determines to be
                necessary.
                ``(D) Review of resubmitted plans.--If the Secretary
            requires a State to resubmit a highway safety plan, with
            modifications, the Secretary shall review and approve or
            disapprove the modified plan not later than 30 days after the
            date on which the Secretary receives such plan.
                ``(E) Public notice.--A State shall make the State's
            highway safety plan, and decisions of the Secretary concerning
            approval or disapproval of a revised plan, available to the
            public.''.
        (g) Teen Traffic Safety Program.--Section 402 of title 23, United
    States Code, as amended by this section, is further amended by adding
    at the end the following:
        ``(m) Teen Traffic Safety.--
            ``(1) In general.--Subject to the requirements of a State's
        highway safety plan, as approved by the Secretary under subsection
        (k), a State may use a portion of the amounts received under this
        section to implement statewide efforts to improve traffic safety
        for teen drivers.
            ``(2) Use of funds.--Statewide efforts under paragraph (1)--
                ``(A) shall include peer-to-peer education and prevention
            strategies in schools and communities designed to--
                    ``(i) increase safety belt use;
                    ``(ii) reduce speeding;
                    ``(iii) reduce impaired and distracted driving;
                    ``(iv) reduce underage drinking; and
                    ``(v) reduce other behaviors by teen drivers that lead
                to injuries and fatalities; and
                ``(B) may include--
                    ``(i) working with student-led groups and school
                advisors to plan and implement teen traffic safety
                programs;
                    ``(ii) providing subgrants to schools throughout the
                State to support the establishment and expansion of student
                groups focused on teen traffic safety;
                    ``(iii) providing support, training, and technical
                assistance to establish and expand school and community
                safety programs for teen drivers;
                    ``(iv) creating statewide or regional websites to
                publicize and circulate information on teen safety
                programs;
                    ``(v) conducting outreach and providing educational
                resources for parents;
                    ``(vi) establishing State or regional advisory councils
                comprised of teen drivers to provide input and
                recommendations to the governor and the governor's safety
                representative on issues related to the safety of teen
                drivers;
                    ``(vii) collaborating with law enforcement; and
                    ``(viii) establishing partnerships and promoting
                coordination among community stakeholders, including
                public, not-for-profit, and for profit entities.''.
        (h) Biennial Report to Congress.--Section 402 of title 23, United
    States Code, as amended by this section, is further amended by adding
    at the end the following:
        ``(n) Biennial Report to Congress.--Not later than October 1, 2015,
    and biennially thereafter, the Secretary shall submit a report to the
    Committee on Transportation and Infrastructure of the House of
    Representatives and the Committee on Commerce, Science, and
    Transportation of the Senate that contains--
            ``(1) an evaluation of each State's performance with respect to
        the State's highway safety plan under subsection (k) and
        performance targets set by the States in such plans; and
            ``(2) such recommendations as the Secretary may have for
        improvements to activities carried out under subsection (k).''.
    SEC. 31103. HIGHWAY SAFETY RESEARCH AND DEVELOPMENT.
        Section 403 of title 23, United States Code, is amended--
            (1) by striking subsections (a) through (f) and inserting the
        following:
        ``(a) Defined Term.--In this section, the term `Federal laboratory'
    includes--
            ``(1) a government-owned, government-operated laboratory; and
            ``(2) a government-owned, contractor-operated laboratory.
        ``(b) General Authority.--
            ``(1) Research and development activities.--The Secretary may
        conduct research and development activities, including
        demonstration projects and the collection and analysis of highway
        and motor vehicle safety data and related information needed to
        carry out this section, with respect to--
                ``(A) all aspects of highway and traffic safety systems and
            conditions relating to--
                    ``(i) vehicle, highway, driver, passenger,
                motorcyclist, bicyclist, and pedestrian characteristics;
                    ``(ii) accident causation and investigations;
                    ``(iii) communications; and
                    ``(iv) emergency medical services, including the
                transportation of the injured;
                ``(B) human behavioral factors and their effect on highway
            and traffic safety, including--
                    ``(i) driver education;
                    ``(ii) impaired driving; and
                    ``(iii) distracted driving;
                ``(C) an evaluation of the effectiveness of countermeasures
            to increase highway and traffic safety, including occupant
            protection and alcohol- and drug-impaired driving technologies
            and initiatives;
                ``(D) the development of technologies to detect drug
            impaired drivers;
                ``(E) research on, evaluations of, and identification of
            best practices related to driver education programs (including
            driver education curricula, instructor training and
            certification, program administration, and delivery mechanisms)
            and make recommendations for harmonizing driver education and
            multistage graduated licensing systems; and
                ``(F) the effect of State laws on any aspects, activities,
            or programs described in subparagraphs (A) through (E).
            ``(2) Cooperation, grants, and contracts.--The Secretary may
        carry out this section--
                ``(A) independently;
                ``(B) in cooperation with other Federal departments,
            agencies, and instrumentalities and Federal laboratories;
                ``(C) by entering into contracts, cooperative agreements,
            and other transactions with the National Academy of Sciences,
            any Federal laboratory, State or local agency, authority,
            association, institution, or person (as defined in chapter 1 of
            title 1); or
                ``(D) by making grants to the National Academy of Sciences,
            any Federal laboratory, State or local agency, authority,
            association, institution, or person (as defined in chapter 1 of
            title 1).
        ``(c) Collaborative Research and Development.--
            ``(1) In general.--To encourage innovative solutions to highway
        safety problems, stimulate voluntary improvements in highway
        safety, and stimulate the marketing of new highway safety related
        technology by private industry, the Secretary is authorized to
        carry out, on a cost-shared basis, collaborative research and
        development with--
                ``(A) non-Federal entities, including State and local
            governments, colleges, universities, corporations,
            partnerships, sole proprietorships, organizations, and trade
            associations that are incorporated or established under the
            laws of any State or the United States; and
                ``(B) Federal laboratories.
            ``(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)) in which the
        Secretary provides not more than 50 percent of the cost of any
        research or development project under this subsection.
            ``(3) Use of technology.--The research, development, or use of
        any technology pursuant to an agreement under this subsection,
        including the terms under which technology may be licensed and the
        resulting royalties may be distributed, shall be subject to the
        provisions of the Stevenson-Wydler Technology Innovation Act of
        1980 (15 U.S.C. 3701 et seq.).
        ``(d) Title to Equipment.--In furtherance of the purposes set forth
    in section 402, the Secretary may vest title to equipment purchased for
    demonstration projects with funds authorized under this section to
    State or local agencies on such terms and conditions as the Secretary
    determines to be appropriate.
        ``(e) Prohibition on Certain Disclosures.--Any report of the
    National Highway Traffic Safety Administration, or of any officer,
    employee, or contractor of the National Highway Traffic Safety
    Administration, relating to any highway traffic accident or the
    investigation of such accident conducted pursuant to this chapter or
    chapter 301 may only be made available to the public in a manner that
    does not identify individuals.
        ``(f) Cooperative Research and Evaluation.--
            ``(1) Establishment and funding.--Notwithstanding the
        apportionment formula set forth in section 402(c)(2), $2,500,000 of
        the total amount available for apportionment to the States for
        highway safety programs under subsection 402(c) in each fiscal year
        shall be available for expenditure by the Secretary, acting through
        the Administrator of the National Highway Traffic Safety
        Administration, for a cooperative research and evaluation program
        to research and evaluate priority highway safety countermeasures.
            ``(2) Administration.--The program established under paragraph
        (1)--
                ``(A) shall be administered by the Administrator of the
            National Highway Traffic Safety Administration; and
                ``(B) shall be jointly managed by the Governors Highway
            Safety Association and the National Highway Traffic Safety
            Administration.''; and
            (2) by adding at the end the following:
        ``(h) In-Vehicle Alcohol Detection Device Research.--
            ``(1) In general.--The Administrator of the National Highway
        Traffic Safety Administration may carry out a collaborative
        research effort under chapter 301 of title 49 on in-vehicle
        technology to prevent alcohol-impaired driving.
            ``(2) Funding.--Funds provided under section 405 may be made to
        be used by the Secretary to conduct the research described in
        paragraph (1).
            ``(3) Privacy protection.--If the Administrator utilizes the
        authority under paragraph (1), the Administrator shall not develop
        requirements for any device or means of technology to be installed
        in an automobile intended for retail sale that records a driver's
        blood alcohol concentration.
            ``(4) Reports.--If the Administrator conducts the research
        authorized under paragraph (1), the Administrator shall submit an
        annual report to the Committee on Commerce, Science, and
        Transportation of the Senate, the Committee on Transportation and
        Infrastructure of the House of Representatives, and Committee on
        Science, Space, and Technology of the House of Representatives
        that--
                ``(A) describes the progress made in carrying out the
            collaborative research effort; and
                ``(B) includes an accounting for the use of Federal funds
            obligated or expended in carrying out that effort.
            ``(5) Definitions.--In this subsection:
                ``(A) Alcohol-impaired driving.--The term `alcohol-impaired
            driving' means the operation of a motor vehicle (as defined in
            section 30102(a)(6) of title 49) by an individual whose blood
            alcohol content is at or above the legal limit.
                ``(B) Legal limit.--The term `legal limit' means a blood
            alcohol concentration of 0.08 percent or greater (as set forth
            in section 163(a)) or such other percentage limitation as may
            be established by applicable Federal, State, or local law.''.
    SEC. 31104. NATIONAL DRIVER REGISTER.
        Section 30302(b) of title 49, United States Code, is amended by
    adding at the end the following: ``The Secretary shall make continual
    improvements to modernize the Register's data processing system.''.
    SEC. 31105. NATIONAL PRIORITY SAFETY PROGRAMS.
        (a) In General.--Section 405 of title 23, United States Code, is
    amended to read as follows:
    ``Sec. 405. National priority safety programs
        ``(a) General Authority.--Subject to the requirements of this
    section, the Secretary of Transportation shall manage programs to
    address national priorities for reducing highway deaths and injuries.
    Funds shall be allocated according to the priorities set forth in
    paragraphs (1) and (2).
            ``(1) Grants to states.--
                ``(A) Occupant protection.--16 percent of the funds
            provided under this section in each fiscal year shall be
            allocated among States that adopt and implement effective
            occupant protection programs to reduce highway deaths and
            injuries resulting from individuals riding unrestrained or
            improperly restrained in motor vehicles (as described in
            subsection (b)).
                ``(B) State traffic safety information system
            improvements.--14.5 percent of the funds provided under this
            section in each fiscal year shall be allocated among States
            that meet the requirements of the State traffic safety
            information system improvements (as described in subsection
            (c)).
                ``(C) Impaired driving countermeasures.--52.5 percent of
            the funds provided under this section in each fiscal year shall
            be allocated among States that meet the requirements of the
            impaired driving countermeasures (as described in subsection
            (d)).
                ``(D) Distracted driving.--8.5 percent of the funds
            provided under this section in each fiscal year shall be
            allocated among States that adopt and implement effective laws
            to reduce distracted driving (as described in subsection (e)).
                ``(E) Motorcyclist safety.--1.5 percent of the funds
            provided under this section in each fiscal year shall be
            allocated among States that implement motorcyclist safety
            programs (as described in subsection (f)).
                ``(F) State graduated driver licensing laws.--5 percent of
            the funds provided under this section in each fiscal year shall
            be allocated among States that adopt and implement graduated
            driver licensing laws (as described in subsection (g)).
                ``(G) Transfers.--Notwithstanding subparagraphs (A) through
            (F), the Secretary may reallocate, before the last day of any
            fiscal year, any amounts remaining available to carry out any
            of the activities described in subsections (b) through (g) to
            increase the amount made available to carry out any of the
            other activities described in such subsections, or the amount
            made available under section 402, in order to ensure, to the
            maximum extent possible, that all such amounts are obligated
            during such fiscal year.
                ``(H) Maintenance of effort.--
                    ``(i) Requirements.--No grant may be made to a State in
                any fiscal year under subsection (b), (c), or (d) 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 State and
                local sources for programs described in those sections at
                or above the average level of such expenditures in its 2
                fiscal years preceding the date of enactment of the Motor
                Vehicle and Highway Safety Improvement Act of 2012.
                    ``(ii) Waiver.--Upon the request of a State, the
                Secretary may waive or modify the requirements under clause
                (i) for not more than 1 fiscal year if the Secretary
                determines that such a waiver would be equitable due to
                exceptional or uncontrollable circumstances.
            ``(2) Other priority programs.--Funds provided under this
        section in each fiscal year may be used for research into
        technology to prevent alcohol-impaired driving (as described in
        subsection 403(h)).
        ``(b) Occupant Protection Grants.--
            ``(1) General authority.--Subject to the requirements under
        this subsection, the Secretary of Transportation shall award grants
        to States that adopt and implement effective occupant protection
        programs to reduce highway deaths and injuries resulting from
        individuals riding unrestrained or improperly restrained in motor
        vehicles.
            ``(2) Federal share.--The Federal share of the costs of
        activities funded using amounts from grants awarded under this
        subsection may not exceed 80 percent for each fiscal year for which
        a State receives a grant.
            ``(3) Eligibility.--
                ``(A) High seat belt use rate.--A State with an observed
            seat belt use rate of 90 percent or higher, based on the most
            recent data from a survey that conforms with national criteria
            established by the National Highway Traffic Safety
            Administration, shall be eligible for a grant in a fiscal year
            if the State--
                    ``(i) submits an occupant protection plan during the
                first fiscal year;
                    ``(ii) participates in the Click It or Ticket national
                mobilization;
                    ``(iii) has an active network of child restraint
                inspection stations; and
                    ``(iv) has a plan to recruit, train, and maintain a
                sufficient number of child passenger safety technicians.
                ``(B) Lower seat belt use rate.--A State with an observed
            seat belt use rate below 90 percent, based on the most recent
            data from a survey that conforms with national criteria
            established by the National Highway Traffic Safety
            Administration, shall be eligible for a grant in a fiscal year
            if--
                    ``(i) the State meets all of the requirements under
                clauses (i) through (iv) of subparagraph (A); and
                    ``(ii) the Secretary determines that the State meets at
                least 3 of the following criteria:

                        ``(I) The State conducts sustained (on-going and
                    periodic) seat belt enforcement at a defined level of
                    participation during the year.
                        ``(II) The State has enacted and enforces a primary
                    enforcement seat belt use law.
                        ``(III) The State has implemented countermeasure
                    programs for high-risk populations, such as drivers on
                    rural roadways, unrestrained nighttime drivers, or
                    teenage drivers.
                        ``(IV) The State has enacted and enforces occupant
                    protection laws requiring front and rear occupant
                    protection use by all occupants in an age-appropriate
                    restraint.
                        ``(V) The State has implemented a comprehensive
                    occupant protection program in which the State has--

                            ``(aa) conducted a program assessment;
                            ``(bb) developed a statewide strategic plan;
                            ``(cc) designated an occupant protection
                        coordinator; and
                            ``(dd) established a statewide occupant
                        protection task force.

                        ``(VI) The State--

                            ``(aa) completed an assessment of its occupant
                        protection program during the 3-year period
                        preceding the grant year; or
                            ``(bb) will conduct such an assessment during
                        the first year of the grant.
            ``(4) Use of grant amounts.--
                ``(A) In general.--Grant funds received pursuant to this
            subsection may be used to--
                    ``(i) carry out a program to support high-visibility
                enforcement mobilizations, including paid media that
                emphasizes publicity for the program, and law enforcement;
                    ``(ii) carry out a program to train occupant protection
                safety professionals, police officers, fire and emergency
                medical personnel, educators, and parents concerning all
                aspects of the use of child restraints and occupant
                protection;
                    ``(iii) carry out a program to educate the public
                concerning the proper use and installation of child
                restraints, including related equipment and information
                systems;
                    ``(iv) carry out a program to provide community child
                passenger safety services, including programs about proper
                seating positions for children and how to reduce the
                improper use of child restraints;
                    ``(v) purchase and distribute child restraints to low-
                income families, provided that not more than 5 percent of
                the funds received in a fiscal year are used for such
                purpose; and
                    ``(vi) establish and maintain information systems
                containing data concerning occupant protection, including
                the collection and administration of child passenger safety
                and occupant protection surveys.
                ``(B) High seat belt use rate.--A State that is eligible
            for funds under paragraph (3)(A) may use up to 75 percent of
            such funds for any project or activity eligible for funding
            under section 402.
            ``(5) Grant amount.--The allocation of grant funds to a State
        under this subsection for a fiscal year shall be in proportion to
        the State's apportionment under section 402 for fiscal year 2009.
            ``(6) Definitions.--In this subsection:
                ``(A) Child restraint.--The term `child restraint' means
            any device (including child safety seat, booster seat, harness,
            and excepting seat belts) that is--
                    ``(i) designed for use in a motor vehicle to restrain,
                seat, or position children who weigh 65 pounds (30
                kilograms) or less; and
                    ``(ii) certified to the Federal motor vehicle safety
                standard prescribed by the National Highway Traffic Safety
                Administration for child restraints.
                ``(B) Seat belt.--The term `seat belt' means--
                    ``(i) with respect to open-body motor vehicles,
                including convertibles, an occupant restraint system
                consisting of a lap belt or a lap belt and a detachable
                shoulder belt; and
                    ``(ii) with respect to other motor vehicles, an
                occupant restraint system consisting of integrated lap and
                shoulder belts.
        ``(c) State Traffic Safety Information System Improvements.--
            ``(1) General authority.--Subject to the requirements under
        this subsection, the Secretary of Transportation shall award grants
        to States to support the development and implementation of
        effective State programs that--
                ``(A) improve the timeliness, accuracy, completeness,
            uniformity, integration, and accessibility of the State safety
            data that is needed to identify priorities for Federal, State,
            and local highway and traffic safety programs;
                ``(B) evaluate the effectiveness of efforts to make such
            improvements;
                ``(C) link the State data systems, including traffic
            records, with other data systems within the State, such as
            systems that contain medical, roadway, and economic data;
                ``(D) improve the compatibility and interoperability of the
            data systems of the State with national data systems and data
            systems of other States; and
                ``(E) enhance the ability of the Secretary to observe and
            analyze national trends in crash occurrences, rates, outcomes,
            and circumstances.
            ``(2) Federal share.--The Federal share of the cost of adopting
        and implementing in a fiscal year a State program described in this
        subsection may not exceed 80 percent.
            ``(3) Eligibility.--A State is not eligible for a grant under
        this subsection in a fiscal year unless the State demonstrates, to
        the satisfaction of the Secretary, that the State--
                ``(A) has a functioning traffic records coordinating
            committee (referred to in this paragraph as `TRCC') that meets
            at least 3 times each year;
                ``(B) has designated a TRCC coordinator;
                ``(C) has established a State traffic record strategic plan
            that has been approved by the TRCC and describes specific
            quantifiable and measurable improvements anticipated in the
            State's core safety databases, including crash, citation or
            adjudication, driver, emergency medical services or injury
            surveillance system, roadway, and vehicle databases;
                ``(D) has demonstrated quantitative progress in relation to
            the significant data program attribute of--
                    ``(i) accuracy;
                    ``(ii) completeness;
                    ``(iii) timeliness;
                    ``(iv) uniformity;
                    ``(v) accessibility; or
                    ``(vi) integration of a core highway safety database;
                and
                ``(E) has certified to the Secretary that an assessment of
            the State's highway safety data and traffic records system was
            conducted or updated during the preceding 5 years.
            ``(4) Use of grant amounts.--Grant funds received by a State
        under this subsection shall be used for making data program
        improvements to core highway safety databases related to
        quantifiable, measurable progress in any of the 6 significant data
        program attributes set forth in paragraph (3)(D).
            ``(5) Grant amount.--The allocation of grant funds to a State
        under this subsection for a fiscal year shall be in proportion to
        the State's apportionment under section 402 for fiscal year 2009.
        ``(d) Impaired Driving Countermeasures.--
            ``(1) In general.--Subject to the requirements under this
        subsection, the Secretary of Transportation shall award grants to
        States that adopt and implement--
                ``(A) effective programs to reduce driving under the
            influence of alcohol, drugs, or the combination of alcohol and
            drugs; or
                ``(B) alcohol-ignition interlock laws.
            ``(2) Federal share.--The Federal share of the costs of
        activities funded using amounts from grants under this subsection
        may not exceed 80 percent in any fiscal year in which the State
        receives a grant.
            ``(3) Eligibility.--
                ``(A) Low-range states.--Low-range States shall be eligible
            for a grant under this subsection.
                ``(B) Mid-range states.--A mid-range State shall be
            eligible for a grant under this subsection if--
                    ``(i) a statewide impaired driving task force in the
                State developed a statewide plan during the most recent 3
                calendar years to address the problem of impaired driving;
                or
                    ``(ii) the State will convene a statewide impaired
                driving task force to develop such a plan during the first
                year of the grant.
                ``(C) High-range states.--A high-range State shall be
            eligible for a grant under this subsection if the State--
                    ``(i)(I) conducted an assessment of the State's
                impaired driving program during the most recent 3 calendar
                years; or
                    ``(II) will conduct such an assessment during the first
                year of the grant;
                    ``(ii) convenes, during the first year of the grant, a
                statewide impaired driving task force to develop a
                statewide plan that--

                        ``(I) addresses any recommendations from the
                    assessment conducted under clause (i);
                        ``(II) includes a detailed plan for spending any
                    grant funds provided under this subsection; and
                        ``(III) describes how such spending supports the
                    statewide program; and

                    ``(iii)(I) submits the statewide plan to the National
                Highway Traffic Safety Administration during the first year
                of the grant for the agency's review and approval;
                    ``(II) annually updates the statewide plan in each
                subsequent year of the grant; and
                    ``(III) submits each updated statewide plan for the
                agency's review and comment.
            ``(4) Use of grant amounts.--
                ``(A) Required programs.--High-range States shall use grant
            funds for--
                    ``(i) high visibility enforcement efforts; and
                    ``(ii) any of the activities described in subparagraph
                (B) if--

                        ``(I) the activity is described in the statewide
                    plan; and
                        ``(II) the Secretary approves the use of funding
                    for such activity.

                ``(B) Authorized programs.--Medium-range and low-range
            States may use grant funds for--
                    ``(i) any of the purposes described in subparagraph
                (A);
                    ``(ii) hiring a full-time or part-time impaired driving
                coordinator of the State's activities to address the
                enforcement and adjudication of laws regarding driving
                while impaired by alcohol;
                    ``(iii) court support of high visibility enforcement
                efforts, training and education of criminal justice
                professionals (including law enforcement, prosecutors,
                judges, and probation officers) to assist such
                professionals in handling impaired driving cases, hiring
                traffic safety resource prosecutors, hiring judicial
                outreach liaisons, and establishing driving while
                intoxicated courts;
                    ``(iv) alcohol ignition interlock programs;
                    ``(v) improving blood-alcohol concentration testing and
                reporting;
                    ``(vi) paid and earned media in support of high
                visibility enforcement efforts, and conducting standardized
                field sobriety training, advanced roadside impaired driving
                evaluation training, and drug recognition expert training
                for law enforcement, and equipment and related expenditures
                used in connection with impaired driving enforcement in
                accordance with criteria established by the National
                Highway Traffic Safety Administration;
                    ``(vii) training on the use of alcohol screening and
                brief intervention;
                    ``(viii) developing impaired driving information
                systems; and
                    ``(ix) costs associated with a 24-7 sobriety program.
                ``(C) Other programs.--Low-range States may use grant funds
            for any expenditure designed to reduce impaired driving based
            on problem identification. Medium and high-range States may use
            funds for such expenditures upon approval by the Secretary.
            ``(5) Grant amount.--Subject to paragraph (6), the allocation
        of grant funds to a State under this section for a fiscal year
        shall be in proportion to the State's apportionment under section
        402(c) for fiscal year 2009.
            ``(6) Grants to states that adopt and enforce mandatory
        alcohol-ignition interlock laws.--
                ``(A) In general.--The Secretary shall make a separate
            grant under this subsection to each State that adopts and is
            enforcing a mandatory alcohol-ignition interlock law for all
            individuals convicted of driving under the influence of alcohol
            or of driving while intoxicated.
                ``(B) Use of funds.--Grants authorized under subparagraph
            (A) may be used by recipient States for any eligible activities
            under this subsection or section 402.
                ``(C) Allocation.--Amounts made available under this
            paragraph shall be allocated among States described in
            subparagraph (A) on the basis of the apportionment formula set
            forth in section 402(c).
                ``(D) Funding.--Not more than 15 percent of the amounts
            made available to carry out this subsection in a fiscal year
            shall be made available by the Secretary for making grants
            under this paragraph.
            ``(7) Definitions.--In this subsection:
                ``(A) 24-7 sobriety program.--The term `24-7 sobriety
            program' means a State law or program that authorizes a State
            court or a State agency, as a condition of sentence, probation,
            parole, or work permit, to--
                    ``(i) require an individual who plead guilty or was
                convicted of driving under the influence of alcohol or
                drugs to totally abstain from alcohol or drugs for a period
                of time; and
                    ``(ii) require the individual to be subject to testing
                for alcohol or drugs--

                        ``(I) at least twice per day;
                        ``(II) by continuous transdermal alcohol monitoring
                    via an electronic monitoring device; or
                        ``(III) by an alternate method with the concurrence
                    of the Secretary.

                ``(B) Average impaired driving fatality rate.--The term
            `average impaired driving fatality rate' means the number of
            fatalities in motor vehicle crashes involving a driver with a
            blood alcohol concentration of at least 0.08 percent for every
            100,000,000 vehicle miles traveled, based on the most recently
            reported 3 calendar years of final data from the Fatality
            Analysis Reporting System, as calculated in accordance with
            regulations prescribed by the Administrator of the National
            Highway Traffic Safety Administration.
                ``(C) High-range state.--The term `high-range State' means
            a State that has an average impaired driving fatality rate of
            0.60 or higher.
                ``(D) Low-range state.--The term `low-range State' means a
            State that has an average impaired driving fatality rate of
            0.30 or lower.
                ``(E) Mid-range state.--The term `mid-range State' means a
            State that has an average impaired driving fatality rate that
            is higher than 0.30 and lower than 0.60.
        ``(e) Distracted Driving Grants.--
            ``(1) In general.--The Secretary shall award a grant under this
        subsection to any State that enacts and enforces a statute that
        meets the requirements set forth in paragraphs (2) and (3).
            ``(2) Prohibition on texting while driving.--A State statute
        meets the requirements set forth in this paragraph if the statute--
                ``(A) prohibits drivers from texting through a personal
            wireless communications device while driving;
                ``(B) makes violation of the statute a primary offense; and
                ``(C) establishes--
                    ``(i) a minimum fine for a first violation of the
                statute; and
                    ``(ii) increased fines for repeat violations.
            ``(3) Prohibition on youth cell phone use while driving.--A
        State statute meets the requirements set forth in this paragraph if
        the statute--
                ``(A) prohibits a driver who is younger than 18 years of
            age from using a personal wireless communications device while
            driving;
                ``(B) makes violation of the statute a primary offense;
                ``(C) requires distracted driving issues to be tested as
            part of the State driver's license examination; and
                ``(D) establishes--
                    ``(i) a minimum fine for a first violation of the
                statute; and
                    ``(ii) increased fines for repeat violations.
            ``(4) Permitted exceptions.--A statute that meets the
        requirements set forth in paragraphs (2) and (3) may provide
        exceptions for--
                ``(A) a driver who uses a personal wireless communications
            device to contact emergency services;
                ``(B) emergency services personnel who use a personal
            wireless communications device while--
                    ``(i) operating an emergency services vehicle; and
                    ``(ii) engaged in the performance of their duties as
                emergency services personnel; and
                ``(C) an individual employed as a commercial motor vehicle
            driver or a school bus driver who uses a personal wireless
            communications device within the scope of such individual's
            employment if such use is permitted under the regulations
            promulgated pursuant to section 31152 of title 49.
            ``(5) Use of grant funds.--Of the amounts received by a State
        under this subsection--
                ``(A) at least 50 percent shall be used--
                    ``(i) to educate the public through advertising
                containing information about the dangers of texting or
                using a cell phone while driving;
                    ``(ii) for traffic signs that notify drivers about the
                distracted driving law of the State; or
                    ``(iii) for law enforcement costs related to the
                enforcement of the distracted driving law; and
                ``(B) up to 50 percent may be used for any eligible project
            or activity under section 402.
            ``(6) Additional grants.--In the first fiscal year that grants
        are awarded under this subsection, the Secretary may use up to 25
        percent of the amounts available for grants under this subsection
        to award grants to States that--
                ``(A) enacted statutes before the date of enactment of the
            Motor Vehicle and Highway Safety Improvement Act of 2012, which
            meet the requirements set forth in subparagraphs (A) and (B) of
            paragraph (2); and
                ``(B) are otherwise ineligible for a grant under this
            subsection.
            ``(7) Allocation to support state distracted driving laws.--Of
        the amounts available under this subsection in a fiscal year for
        distracted driving grants, the Secretary may expend up to
        $5,000,000 for the development and placement of broadcast media to
        support the enforcement of State distracted driving laws.
            ``(8) Distracted driving study.--
                ``(A) In general.--The Secretary shall conduct a study of
            all forms of distracted driving.
                ``(B) Components.--The study conducted under subparagraph
            (A) shall--
                    ``(i) examine the effect of distractions other than the
                use of personal wireless communications on motor vehicle
                safety;
                    ``(ii) identify metrics to determine the nature and
                scope of the distracted driving problem;
                    ``(iii) identify the most effective methods to enhance
                education and awareness; and
                    ``(iv) identify the most effective method of reducing
                deaths and injuries caused by all forms of distracted
                driving.
                ``(C) Report.--Not later than 1 year after the date of
            enactment of the Motor Vehicle and Highway Safety Improvement
            Act of 2012, the Secretary shall submit a report containing the
            results of the study conducted under this paragraph to--
                    ``(i) the Committee on Commerce, Science, and
                Transportation of the Senate; and
                    ``(ii) the Committee on Transportation and
                Infrastructure of the House of Representatives.
            ``(9) Definitions.--In this subsection:
                ``(A) Driving.--The term `driving'--
                    ``(i) means operating a motor vehicle on a public road,
                including operation while temporarily stationary because of
                traffic, a traffic light or stop sign, or otherwise; and
                    ``(ii) does not include operating a motor vehicle when
                the vehicle has pulled over to the side of, or off, an
                active roadway and has stopped in a location where it can
                safely remain stationary.
                ``(B) Personal wireless communications device.--The term
            `personal wireless communications device'--
                    ``(i) means a device through which personal wireless
                services (as defined in section 332(c)(7)(C)(i) of the
                Communications Act of 1934 (47 U.S.C. 332(c)(7)(C)(i))) are
                transmitted; and
                    ``(ii) does not include a global navigation satellite
                system receiver used for positioning, emergency
                notification, or navigation purposes.
                ``(C) Primary offense.--The term `primary offense' means an
            offense for which a law enforcement officer may stop a vehicle
            solely for the purpose of issuing a citation in the absence of
            evidence of another offense.
                ``(D) Public road.--The term `public road' has the meaning
            given such term in section 402(c).
                ``(E) Texting.--The term `texting' means reading from or
            manually entering data into a personal wireless communications
            device, including doing so for the purpose of SMS texting, e-
            mailing, instant messaging, or engaging in any other form of
            electronic data retrieval or electronic data communication.
        ``(f) Motorcyclist Safety.--
            ``(1) Grants authorized.--Subject to the requirements under
        this subsection, the Secretary shall award grants to States that
        adopt and implement effective programs to reduce the number of
        single- and multi-vehicle crashes involving motorcyclists.
            ``(2) Allocation.--The amount of a grant awarded to a State for
        a fiscal year under this subsection may not exceed 25 percent of
        the amount apportioned to the State for fiscal year 2003 under
        section 402.
            ``(3) Grant eligibility.--A State becomes eligible for a grant
        under this subsection by adopting or demonstrating to the
        satisfaction of the Secretary, at least 2 of the following
        criteria:
                ``(A) Motorcycle rider training courses.--An effective
            motorcycle rider training course that is offered throughout the
            State, which--
                    ``(i) provides a formal program of instruction in
                accident avoidance and other safety-oriented operational
                skills to motorcyclists; and
                    ``(ii) may include innovative training opportunities to
                meet unique regional needs.
                ``(B) Motorcyclists awareness program.--An effective
            statewide program to enhance motorist awareness of the presence
            of motorcyclists on or near roadways and safe driving practices
            that avoid injuries to motorcyclists.
                ``(C) Reduction of fatalities and crashes involving
            motorcycles.--A reduction for the preceding calendar year in
            the number of motorcycle fatalities and the rate of motor
            vehicle crashes involving motorcycles in the State (expressed
            as a function of 10,000 motorcycle registrations).
                ``(D) Impaired driving program.--Implementation of a
            statewide program to reduce impaired driving, including
            specific measures to reduce impaired motorcycle operation.
                ``(E) Reduction of fatalities and accidents involving
            impaired motorcyclists.--A reduction for the preceding calendar
            year in the number of fatalities and the rate of reported
            crashes involving alcohol- or drug-impaired motorcycle
            operators (expressed as a function of 10,000 motorcycle
            registrations).
                ``(F) Fees collected from motorcyclists.--All fees
            collected by the State from motorcyclists for the purposes of
            funding motorcycle training and safety programs will be used
            for motorcycle training and safety purposes.
            ``(4) Eligible uses.--
                ``(A) In general.--A State may use funds from a grant under
            this subsection only for motorcyclist safety training and
            motorcyclist awareness programs, including--
                    ``(i) improvements to motorcyclist safety training
                curricula;
                    ``(ii) improvements in program delivery of motorcycle
                training to both urban and rural areas, including--

                        ``(I) procurement or repair of practice
                    motorcycles;
                        ``(II) instructional materials;
                        ``(III) mobile training units; and
                        ``(IV) leasing or purchasing facilities for closed-
                    course motorcycle skill training;

                    ``(iii) measures designed to increase the recruitment
                or retention of motorcyclist safety training instructors;
                and
                    ``(iv) public awareness, public service announcements,
                and other outreach programs to enhance driver awareness of
                motorcyclists, such as the `share-the-road' safety messages
                developed under subsection (g).
                ``(B) Suballocations of funds.--An agency of a State that
            receives a grant under this subsection may suballocate funds
            from the grant to a nonprofit organization incorporated in that
            State to carry out this subsection.
            ``(5) Definitions.--In this subsection:
                ``(A) Motorcyclist awareness.--The term `motorcyclist
            awareness' means individual or collective awareness of--
                    ``(i) the presence of motorcycles on or near roadways;
                and
                    ``(ii) safe driving practices that avoid injury to
                motorcyclists.
                ``(B) Motorcyclist awareness program.--The term
            `motorcyclist awareness program' means an informational or
            public awareness program designed to enhance motorcyclist
            awareness that is developed by or in coordination with the
            designated State authority having jurisdiction over
            motorcyclist safety issues, which may include the State
            motorcycle safety administrator or a motorcycle advisory
            council appointed by the governor of the State.
                ``(C) Motorcyclist safety training.--The term `motorcyclist
            safety training' means a formal program of instruction that is
            approved for use in a State by the designated State authority
            having jurisdiction over motorcyclist safety issues, which may
            include the State motorcycle safety administrator or a
            motorcycle advisory council appointed by the governor of the
            State.
                ``(D) State.--The term `State' has the meaning given such
            term in section 101(a) of title 23, United States Code.
        ``(g) State Graduated Driver Licensing Incentive Grant.--
            ``(1) Grants authorized.--Subject to the requirements under
        this subsection, the Secretary shall award grants to States that
        adopt and implement graduated driver licensing laws in accordance
        with the requirements set forth in paragraph (2).
            ``(2) Minimum requirements.--
                ``(A) In general.--A State meets the requirements set forth
            in this paragraph if the State has a graduated driver licensing
            law that requires novice drivers younger than 21 years of age
            to comply with the 2-stage licensing process described in
            subparagraph (B) before receiving an unrestricted driver's
            license.
                ``(B) Licensing process.--A State is in compliance with the
            2-stage licensing process described in this subparagraph if the
            State's driver's license laws include--
                    ``(i) a learner's permit stage that--

                        ``(I) is at least 6 months in duration;
                        ``(II) prohibits the driver from using a cellular
                    telephone or any communications device in a
                    nonemergency situation; and
                        ``(III) remains in effect until the driver--

                            ``(aa) reaches 16 years of age and enters the
                        intermediate stage; or
                            ``(bb) reaches 18 years of age;
                    ``(ii) an intermediate stage that--

                        ``(I) commences immediately after the expiration of
                    the learner's permit stage;
                        ``(II) is at least 6 months in duration;
                        ``(III) prohibits the driver from using a cellular
                    telephone or any communications device in a
                    nonemergency situation;
                        ``(IV) restricts driving at night;
                        ``(V) prohibits the driver from operating a motor
                    vehicle with more than 1 nonfamilial passenger younger
                    than 21 years of age unless a licensed driver who is at
                    least 21 years of age is in the motor vehicle; and
                        ``(VI) remains in effect until the driver reaches
                    18 years of age; and

                    ``(iii) any other requirement prescribed by the
                Secretary of Transportation, including--

                        ``(I) in the learner's permit stage--

                            ``(aa) at least 40 hours of behind-the-wheel
                        training with a licensed driver who is at least 21
                        years of age;
                            ``(bb) a driver training course; and
                            ``(cc) a requirement that the driver be
                        accompanied and supervised by a licensed driver,
                        who is at least 21 years of age, at all times while
                        such driver is operating a motor vehicle; and

                        ``(II) in the learner's permit or intermediate
                    stage, a requirement, in addition to any other
                    penalties imposed by State law, that the grant of an
                    unrestricted driver's license be automatically delayed
                    for any individual who, during the learner's permit or
                    intermediate stage, is convicted of a driving-related
                    offense, including--

                            ``(aa) driving while intoxicated;
                            ``(bb) misrepresentation of his or her true
                        age;
                            ``(cc) reckless driving;
                            ``(dd) driving without wearing a seat belt;
                            ``(ee) speeding; or
                            ``(ff) any other driving-related offense, as
                        determined by the Secretary.
            ``(3) Rulemaking.--
                ``(A) In general.--The Secretary shall promulgate
            regulations necessary to implement the requirements set forth
            in paragraph (2), in accordance with the notice and comment
            provisions under section 553 of title 5.
                ``(B) Exception.--A State that otherwise meets the minimum
            requirements set forth in paragraph (2) shall be deemed by the
            Secretary to be in compliance with the requirement set forth in
            paragraph (2) if the State enacted a law before January 1,
            2011, establishing a class of license that permits licensees or
            applicants younger than 18 years of age to drive a motor
            vehicle--
                    ``(i) in connection with work performed on, or for the
                operation of, a farm owned by family members who are
                directly related to the applicant or licensee; or
                    ``(ii) if demonstrable hardship would result from the
                denial of a license to the licensees or applicants.
            ``(4) Allocation.--Grant funds allocated to a State under this
        subsection for a fiscal year shall be in proportion to a State's
        apportionment under section 402 for such fiscal year.
            ``(5) Use of funds.--Of the grant funds received by a State
        under this subsection--
                ``(A) at least 25 percent shall be used for--
                    ``(i) enforcing a 2-stage licensing process that
                complies with paragraph (2);
                    ``(ii) training for law enforcement personnel and other
                relevant State agency personnel relating to the enforcement
                described in clause (i);
                    ``(iii) publishing relevant educational materials that
                pertain directly or indirectly to the State graduated
                driver licensing law;
                    ``(iv) carrying out other administrative activities
                that the Secretary considers relevant to the State's 2-
                stage licensing process; and
                    ``(v) carrying out a teen traffic safety program
                described in section 402(m); and
                ``(B) up to 75 percent may be used for any eligible project
            or activity under section 402.''.
        (b) Conforming Amendment.--The analysis for chapter 4 of title 23,
    United States Code, is amended by striking the item relating to section
    405 and inserting the following:

    ``405. National priority safety programs.''.
    SEC. 31106. HIGH VISIBILITY ENFORCEMENT PROGRAM.
        Section 2009 of SAFETEA-LU (23 U.S.C. 402 note) is amended--
            (1) in subsection (a)--
                (A) by striking ``at least 2'' and inserting ``at least
            3''; and
                (B) by striking ``years 2006 through 2012.'' and inserting
            ``fiscal years 2013 and 2014. The Administrator may also
            initiate and support additional campaigns in each of fiscal
            years 2013 and 2014 for the purposes specified in subsection
            (b).'';
            (2) in subsection (b), by striking ``either or both'' and
        inserting ``outcomes related to at least 1'';
            (3) in subsection (c), by inserting ``and Internet-based
        outreach'' after ``print media advertising'';
            (4) in subsection (e), by striking ``subsections (a), (c), and
        (f)'' and inserting ``subsection (c)'';
            (5) by striking subsection (f); and
            (6) by redesignating subsection (g) as subsection (f).
    SEC. 31107. AGENCY ACCOUNTABILITY.
        Section 412 of title 23, United States Code, is amended--
            (1) by amending subsection (a) to read as follows:
        ``(a) Triennial State Management Reviews.--
            ``(1) In general.--Except as provided under paragraph (2), the
        Secretary shall conduct a review of each State highway safety
        program at least once every 3 years.
            ``(2) Exceptions.--The Secretary may conduct reviews of the
        highway safety programs of the United States Virgin Islands, Guam,
        American Samoa, and the Commonwealth of the Northern Mariana
        Islands as often as the Secretary determines to be appropriate.
            ``(3) Components.--Reviews under this subsection shall
        include--
                ``(A) a management evaluation of all grant programs funded
            under this chapter;
                ``(B) an assessment of State data collection and evaluation
            relating to performance measures established by the Secretary;
                ``(C) a comparison of State efforts under subparagraphs (A)
            and (B) to best practices and programs that have been evaluated
            for effectiveness; and
                ``(D) the development of recommendations on how each State
            could--
                    ``(i) improve the management and oversight of its grant
                activities; and
                    ``(ii) provide a management and oversight plan for such
                grant programs.''; and
            (2) by striking subsection (f).
    SEC. 31108. EMERGENCY MEDICAL SERVICES.
        Section 10202 of Public Law 109-59 (42 U.S.C. 300d-4), is amended
    by adding at the end the following:
        ``(b) National Emergency Medical Services Advisory Council.--
            ``(1) Establishment.--The Secretary of Transportation, in
        coordination with the Secretary of Health and Human Services and
        the Secretary of Homeland Security, shall establish a National
        Emergency Medical Services Advisory Council (referred to in this
        subsection as the `Advisory Council').
            ``(2) Membership.--The Advisory Council shall be composed of 25
        members, who--
                ``(A) shall be appointed by the Secretary of
            Transportation; and
                ``(B) shall collectively be representative of all sectors
            of the emergency medical services community.
            ``(3) Purposes.--The purposes of the Advisory Council are to
        advise and consult with--
                ``(A) the Federal Interagency Committee on Emergency
            Medical Services on matters relating to emergency medical
            services issues; and
                ``(B) the Secretary of Transportation on matters relating
            to emergency medical services issues affecting the Department
            of Transportation.
            ``(4) Administration.--The Administrator of the National
        Highway Traffic Safety Administration shall provide administrative
        support to the Advisory Council, including scheduling meetings,
        setting agendas, keeping minutes and records, and producing
        reports.
            ``(5) Leadership.--The members of the Advisory Council shall
        annually select a chairperson of the Advisory Council.
            ``(6) Meetings.--The Advisory Council shall meet as frequently
        as is determined necessary by the chairperson of the Advisory
        Council.
            ``(7) Annual reports.--The Advisory Council shall prepare an
        annual report to the Secretary of Transportation regarding the
        Advisory Council's actions and recommendations.''.
    SEC. 31109. REPEAL OF PROGRAMS.
        (a) General Provision.--A repeal made by this section shall not
    affect amounts apportioned or allocated before the effective date of
    such repeal, provided that such apportioned or allocated funds continue
    to be subject to the requirements to which such funds were subject
    under the repealed section as in effect on the day before the date of
    the repeal.
        (b) Safety Belt Performance Grants.--Section 406 of title 23,
    United States Code, and the item relating to section 406 in the
    analysis for chapter 4 of title 23, United States Code, are repealed.
        (c) Innovative Project Grants.--Section 407 of title 23, United
    States Code, and the item relating to section 407 in the analysis for
    chapter 4, are repealed.
        (d) State Traffic Safety Information System Improvements.--Section
    408 of title 23, United States Code, and the item relating to section
    408 in the analysis for chapter 4, are repealed.
        (e) Alcohol-impaired Driving Countermeasures.--Section 410 of title
    23, United States Code, and the item relating to section 410 in the
    analysis for chapter 4, are repealed.
        (f) State Highway Safety Data Improvements.--Section 411 of title
    23, United States Code, and the item relating to section 411 in the
    analysis for chapter 4, are repealed.
        (g) Motorcyclist Safety.--Section 2010 of SAFETEA-LU (23 U.S.C. 402
    note), and the item relating to section 2010 in the table of contents
    under section 1(b) of such Act, are repealed.
        (h) Child Safety and Child Booster Seat Incentive Grants.--Section
    2011 of SAFETEA-LU (23 U.S.C. 405 note), and the item relating to
    section 2011 in the table of contents under section 1(b) of that Act,
    are repealed.
        (i) Drug-impaired Driving Enforcement.--Section 2013 of SAFETEA-LU
    (23 U.S.C. 403 note), and the item relating to section 2013 in the
    table of contents under section 1(b) of that Act, are repealed.
        (j) First Responder Vehicle Safety Program.--Section 2014 of
    SAFETEA-LU (23 U.S.C. 402 note), and the item relating to section 2014
    in the table of contents under section 1(b) of that Act, are repealed.
        (k) Rural State Emergency Medical Services Optimization Pilot
    Program.--Section 2016 of SAFETEA-LU (119 Stat. 1541), and the item
    relating to section 2016 in the table of contents under section 1(b) of
    that Act, are repealed.
        (l) Older Driver Safety; Law Enforcement Training.--Section 2017 of
    SAFETEA-LU (119 Stat. 1541), and the item relating to section 2017 in
    the table of contents under section 1(b) of that Act, are repealed.

                    Subtitle B--Enhanced Safety Authorities

    SEC. 31201. DEFINITION OF MOTOR VEHICLE EQUIPMENT.
        Section 30102(a)(7)(C) of title 49, United States Code, is amended
    to read as follows:
                ``(C) any device or an article or apparel, including a
            motorcycle helmet and excluding medicine or eyeglasses
            prescribed by a licensed practitioner, that--
                    ``(i) is not a system, part, or component of a motor
                vehicle; and
                    ``(ii) is manufactured, sold, delivered, or offered to
                be sold for use on public streets, roads, and highways with
                the apparent purpose of safeguarding users of motor
                vehicles against risk of accident, injury, or death.''.
    SEC. 31202. PERMIT REMINDER SYSTEM FOR NON-USE OF SAFETY BELTS.
        (a) In General.--Chapter 301 of title 49, United States Code, is
    amended--
            (1) in section 30122, by striking subsection (d); and
            (2) by amending section 30124 to read as follows:
    ``Sec. 30124. Nonuse of safety belts
        ``A motor vehicle safety standard prescribed under this chapter may
    not require a manufacturer to comply with the standard by using a
    safety belt interlock designed to prevent starting or operating a motor
    vehicle if an occupant is not using a safety belt.''.
        (b) Conforming Amendment.--The analysis for chapter 301 of title
    49, United States Code, is amended by striking the item relating to
    section 30124 and inserting the following:

    ``Sec. 30124. Nonuse of safety belts.''.
    SEC. 31203. CIVIL PENALTIES.
        (a) In General.--Section 30165 of title 49, United States Code, is
    amended--
            (1) in subsection (a)--
                (A) in paragraph (1)--
                    (i) by striking ``30123(d)'' and inserting
                ``30123(a)''; and
                    (ii) by striking ``$15,000,000'' and inserting
                ``$35,000,000''; and
                (B) in paragraph (3), by striking ``$15,000,000'' and
            inserting ``$35,000,000''; and
            (2) by amending subsection (c) to read as follows:
        ``(c) Relevant Factors in Determining Amount of Penalty or
    Compromise.--In determining the amount of a civil penalty or compromise
    under this section, the Secretary of Transportation shall consider the
    nature, circumstances, extent, and gravity of the violation. Such
    determination shall include, as appropriate--
            ``(1) the nature of the defect or noncompliance;
            ``(2) knowledge by the person charged of its obligations under
        this chapter;
            ``(3) the severity of the risk of injury;
            ``(4) the occurrence or absence of injury;
            ``(5) the number of motor vehicles or items of motor vehicle
        equipment distributed with the defect or noncompliance;
            ``(6) actions taken by the person charged to identify,
        investigate, or mitigate the condition;
            ``(7) the appropriateness of such penalty in relation to the
        size of the business of the person charged, including the potential
        for undue adverse economic impacts;
            ``(8) whether the person has been assessed civil penalties
        under this section during the most recent 5 years; and
            ``(9) other appropriate factors.''.
        (b) Civil Penalty Criteria.--Not later than 1 year after the date
    of enactment of this Act, the Secretary shall issue a final rule, in
    accordance with the procedures of section 553 of title 5, United States
    Code, which provides an interpretation of the penalty factors described
    in section 30165(c) of title 49, United States Code.
        (c) Effective Date.--The amendments made by subsection (a) shall
    take effect on the date that is the earlier of the date on which final
    regulations are issued under subsection (b) or 1 year after the date of
    enactment of this Act.
    SEC. 31204. MOTOR VEHICLE SAFETY RESEARCH AND DEVELOPMENT.
        (a) In General.--Chapter 301 of title 49, United States Code, is
    amended by adding at the end the following:

         ``SUBCHAPTER V--MOTOR VEHICLE SAFETY RESEARCH AND DEVELOPMENT

    ``Sec. 30181. Policy
        ``The Secretary of Transportation shall conduct research,
    development, and testing on any area or aspect of motor vehicle safety
    necessary to carry out this chapter.
    ``Sec. 30182. Powers and duties
        ``(a) In General.--The Secretary of Transportation shall--
            ``(1) conduct motor vehicle safety research, development, and
        testing programs and activities, including activities related to
        new and emerging technologies that impact or may impact motor
        vehicle safety;
            ``(2) collect and analyze all types of motor vehicle and
        highway safety data and related information to determine the
        relationship between motor vehicle or motor vehicle equipment
        performance characteristics and--
                ``(A) accidents involving motor vehicles; and
                ``(B) deaths or personal injuries resulting from those
            accidents.
        ``(b) Activities.--In carrying out a program under this section,
    the Secretary of Transportation may--
            ``(1) promote, support, and advance the education and training
        of motor vehicle safety staff of the National Highway Traffic
        Safety Administration in motor vehicle safety research programs and
        activities, including using program funds for planning,
        implementing, conducting, and presenting results of program
        activities, and for related expenses;
            ``(2) obtain experimental and other motor vehicles and motor
        vehicle equipment for research or testing;
            ``(3)(A) use any test motor vehicles and motor vehicle
        equipment suitable for continued use, as determined by the
        Secretary to assist in carrying out this chapter or any other
        chapter of this title; or
            ``(B) sell or otherwise dispose of test motor vehicles and
        motor vehicle equipment and use the resulting proceeds to carry out
        this chapter;
            ``(4) award grants to States and local governments, interstate
        authorities, and nonprofit institutions; and
            ``(5) enter into cooperative agreements, collaborative
        research, or contracts with Federal agencies, interstate
        authorities, State and local governments, other public entities,
        private organizations and persons, nonprofit institutions, colleges
        and universities, consumer advocacy groups, corporations,
        partnerships, sole proprietorships, trade associations, Federal
        laboratories (including government-owned, government-operated
        laboratories and government-owned, contractor-operated
        laboratories), and research organizations.
        ``(c) Use of Public Agencies.--In carrying out this subchapter, the
    Secretary shall avoid duplication by using the services, research, and
    testing facilities of public agencies, as appropriate.
        ``(d) Facilities.--The Secretary may plan, design, and construct a
    new facility or modify an existing facility to conduct research,
    development, and testing in traffic safety, highway safety, and motor
    vehicle safety. An expenditure of more than $1,500,000 for planning,
    design, or construction may be made only if 60 days prior notice of the
    planning, design, or construction is provided to the Committees on
    Science, Space, and Technology and Transportation and Infrastructure of
    the House of Representatives and the Committees on Commerce, Science,
    and Transportation and Environment and Public Works of the Senate. The
    notice shall include--
            ``(1) a brief description of the facility being planned,
        designed, or constructed;
            ``(2) the location of the facility;
            ``(3) an estimate of the maximum cost of the facility;
            ``(4) a statement identifying private and public agencies that
        will use the facility and the contribution each agency will make to
        the cost of the facility; and
            ``(5) a justification of the need for the facility.
        ``(e) Increasing Costs of Approved Facilities.--The estimated
    maximum cost of a facility noticed under subsection (d) may be
    increased by an amount equal to the percentage increase in construction
    costs from the date the notice is submitted to Congress. However, the
    increase in the cost of the facility may not be more than 10 percent of
    the estimated maximum cost included in the notice. The Secretary shall
    decide what increase in construction costs has occurred.
        ``(f) Availability of Information, Patents, and Developments.--When
    the United States Government makes more than a minimal contribution to
    a research or development activity under this chapter, the Secretary
    shall include in the arrangement for the activity a provision to ensure
    that all information, patents, and developments related to the activity
    are available to the public. The owner of a background patent may not
    be deprived of a right under the patent.
    ``Sec. 30183. Prohibition on certain disclosures.
        ``Any report of the National Highway Traffic Safety Administration,
    or of any officer, employee, or contractor of the National Highway
    Traffic Safety Administration, relating to any highway traffic accident
    or the investigation of such accident conducted pursuant to this
    chapter or section 403 of title 23, may be made available to the public
    only in a manner that does not identify individuals.''.
        (b) Conforming Amendments.--
            (1) Amendment of chapter analysis.--The chapter analysis for
        chapter 301 of title 49, United States Code, is amended by adding
        at the end the following:

          ``subchapter v--motor vehicle safety research and development

    ``30181. Policy.
    ``30182. Powers and duties.
    ``30183. Prohibition on certain disclosures.''.

            (2) Deletion of redundant material.--Chapter 301 of title 49,
        United States Code, is amended--
                (A) in the chapter analysis, by striking the item relating
            to section 30168; and
                (B) by striking section 30168.
    SEC. 31205. ODOMETER REQUIREMENTS.
        (a) Definition.--Section 32702(5) of title 49, United States Code,
    is amended by inserting ``or system of components'' after
    ``instrument''.
        (b) Electronic Disclosures of Odometer Information.--Section 32705
    of title 49, United States Code, is amended by adding at the end the
    following:
        ``(g) Electronic Disclosures.--Not later than 18 months after the
    date of enactment of the Motor Vehicle and Highway Safety Improvement
    Act of 2012, in carrying out this section, the Secretary shall
    prescribe regulations permitting any written disclosures or notices and
    related matters to be provided electronically.''.
    SEC. 31206. INCREASED PENALTIES AND DAMAGES FOR ODOMETER FRAUD.
        Chapter 327 of title 49, United States Code, is amended--
            (1) in section 32709(a)(1)--
                (A) by striking ``$2,000'' and inserting ``$10,000''; and
                (B) by striking ``$100,000'' and inserting ``$1,000,000'';
            and
            (2) in section 32710(a), by striking ``$1,500'' and inserting
        ``$10,000''.
    SEC. 31207. EXTEND PROHIBITIONS ON IMPORTING NONCOMPLIANT VEHICLES AND
    EQUIPMENT TO DEFECTIVE VEHICLES AND EQUIPMENT.
        Section 30112 of title 49, United States Code, is amended--
            (1) in subsection (a), by adding at the end the following:
        ``(3) Except as provided in this section, section 30114,
    subsections (i) and (j) of section 30120, and subchapter III, a person
    may not sell, offer for sale, introduce or deliver for introduction in
    interstate commerce, or import into the United States any motor vehicle
    or motor vehicle equipment if the vehicle or equipment contains a
    defect related to motor vehicle safety about which notice was given
    under section 30118(c) or an order was issued under section 30118(b).
    Nothing in this paragraph may be construed to prohibit the importation
    of a new motor vehicle that receives a required recall remedy before
    being sold to a consumer in the United States.''; and
            (2) in subsection (b)(2)--
                (A) in subparagraph (A), by striking ``or'' at the end;
                (B) in subparagraph (B), by adding ``or'' at the end; and
                (C) by adding at the end the following:
                ``(C) having no reason to know, despite exercising
            reasonable care, that a motor vehicle or motor vehicle
            equipment contains a defect related to motor vehicle safety
            about which notice was given under section 30118(c) or an order
            was issued under section 30118(b);''.
    SEC. 31208. CONDITIONS ON IMPORTATION OF VEHICLES AND EQUIPMENT.
        Chapter 301 of title 49, United States Code, is amended--
            (1) in the chapter analysis, by striking the item relating to
        section 30164 and inserting the following:

    ``30164. Service of process; conditions on importation of vehicles and
              equipment.'';

        and
            (2) in section 30164--
                (A) in the section heading, by adding ``; conditions on
            importation of vehicles and equipment'' at the end; and
                (B) by adding at the end the following:
        ``(c) Identifying Information.--A manufacturer (including an
    importer) offering a motor vehicle or motor vehicle equipment for
    import shall provide, upon request, such information that is necessary
    to identify and track the products as the Secretary, by rule, may
    specify, including--
            ``(1) the product by name and the manufacturer's address; and
            ``(2) each retailer or distributor to which the manufacturer
        directly supplied motor vehicles or motor vehicle equipment over
        which the Secretary has jurisdiction under this chapter.
        ``(d) Regulations on the Import of a Motor Vehicle.--The Secretary
    may issue regulations that--
            ``(1) condition the import of a motor vehicle or motor vehicle
        equipment on the manufacturer's compliance with--
                ``(A) the requirements under this section;
                ``(B) paragraph (1) or (3) of section 30112(a) with respect
            to such motor vehicle or motor vehicle equipment;
                ``(C) the provision of reports and records required to be
            maintained with respect to such motor vehicle or motor vehicle
            equipment under this chapter;
                ``(D) a request for inspection of premises, vehicle, or
            equipment under section 30166;
                ``(E) an order or voluntary agreement to remedy such
            vehicle or equipment; or
                ``(F) any rules implementing the requirements described in
            this subsection;
            ``(2) provide an opportunity for the manufacturer to present
        information before the Secretary's determination as to whether the
        manufacturer's imports should be restricted; and
            ``(3) establish a process by which a manufacturer may petition
        for reinstatement of its ability to import motor vehicles or motor
        vehicle equipment.
        ``(e) Exception.--The requirements of subsections (c) and (d) shall
    not apply to original manufacturers (or wholly owned subsidiaries) of
    motor vehicles that, prior to the date of enactment of the Motor
    Vehicle and Highway Safety Improvement Act of 2012--
            ``(1) have imported motor vehicles into the United States that
        are certified to comply with all applicable Federal motor vehicle
        safety standards;
            ``(2) have submitted to the Secretary appropriate manufacturer
        identification information under part 566 of title 49, Code of
        Federal Regulations; and
            ``(3) if applicable, have identified a current agent for
        service of process in accordance with part 551 of title 49, Code of
        Federal Regulations.
        ``(f) Rulemaking.--In issuing regulations under this section, the
    Secretary shall seek to reduce duplicative requirements by coordinating
    with the Department of Homeland Security.''.
    SEC. 31209. PORT INSPECTIONS; SAMPLES FOR EXAMINATION OR TESTING.
        Section 30166(c) of title 49, United States Code, is amended--
            (1) in paragraph (2), by striking ``and'' at the end;
            (2) in paragraph (3)--
                (A) in subparagraph (A), by inserting ``(including at
            United States ports of entry)'' after ``held for introduction
            in interstate commerce''; and
                (B) in subparagraph (D), by striking the period at the end
            and inserting a semicolon; and
            (3) by adding at the end the following:
            ``(4) shall enter into a memorandum of understanding with the
        Secretary of Homeland Security for inspections and sampling of
        motor vehicle equipment being offered for import to determine
        compliance with this chapter or a regulation or order issued under
        this chapter.''.

                  Subtitle C--Transparency and Accountability

    SEC. 31301. PUBLIC AVAILABILITY OF RECALL INFORMATION.
        (a) Vehicle Recall Information.--Not later than 1 year after the
    date of enactment of this Act, the Secretary shall require that motor
    vehicle safety recall information--
            (1) be available to the public on the Internet;
            (2) be searchable by vehicle make and model and vehicle
        identification number;
            (3) be in a format that preserves consumer privacy; and
            (4) includes information about each recall that has not been
        completed for each vehicle.
        (b) Rulemaking.--The Secretary may initiate a rulemaking proceeding
    to require each manufacturer to provide the information described in
    subsection (a), with respect to that manufacturer's motor vehicles, on
    a publicly accessible Internet website. Any rules promulgated under
    this subsection--
            (1) shall limit the information that must be made available
        under this section to include only those recalls issued not more
        than 15 years prior to the date of enactment of this Act;
            (2) may require information under paragraph (1) to be provided
        to a dealer or an owner of a vehicle at no charge; and
            (3) shall permit a manufacturer a reasonable period of time
        after receiving information from a dealer with respect to a vehicle
        to update the information about the vehicle on the publicly
        accessible Internet website.
        (c) Promotion of Public Awareness.--The Secretary, in consultation
    with the heads of other relevant agencies, shall promote consumer
    awareness of the information made available to the public pursuant to
    this section.
    SEC. 31302. NATIONAL HIGHWAY TRAFFIC SAFETY ADMINISTRATION OUTREACH TO
    MANUFACTURER, DEALER, AND MECHANIC PERSONNEL.
        The Secretary shall publicize the means for contacting the National
    Highway Traffic Safety Administration in a manner that targets
    mechanics, passenger motor vehicle dealership personnel, and
    manufacturer personnel.
    SEC. 31303. PUBLIC AVAILABILITY OF COMMUNICATIONS TO DEALERS.
        (a) Internet Accessibility.--Section 30166(f) of title 49, United
    States Code, is amended--
            (1) by striking ``A manufacturer shall give the Secretary of
        Transportation'' and inserting the following:
            ``(1) In general.--A manufacturer shall give the Secretary of
        Transportation, and the Secretary shall make available on a
        publicly accessible Internet website,''; and
            (2) by adding at the end the following:
            ``(2) Index.--Communications required to be submitted to the
        Secretary under this subsection shall be accompanied by an index to
        each communication, that--
                ``(A) identifies the make, model, and model year of the
            affected vehicles;
                ``(B) includes a concise summary of the subject matter of
            the communication; and
                ``(C) shall be made available by the Secretary to the
            public on the Internet in a searchable format.''.
    SEC. 31304. CORPORATE RESPONSIBILITY FOR NATIONAL HIGHWAY TRAFFIC
    SAFETY ADMINISTRATION REPORTS.
        (a) In General.--Section 30166 of title 49, United States Code, is
    amended by adding at the end the following:
        ``(o) Corporate Responsibility for Reports.--
            ``(1) In general.--The Secretary may promulgate rules requiring
        a senior official responsible for safety in any company submitting
        information to the Secretary in response to a request for
        information in a safety defect or compliance investigation under
        this chapter to certify that--
                ``(A) the signing official has reviewed the submission; and
                ``(B) based on the official's knowledge, the submission
            does not--
                    ``(i) contain any untrue statement of a material fact;
                or
                    ``(ii) omit to state a material fact necessary in order
                to make the statements made not misleading, in light of the
                circumstances under which such statements were made.
            ``(2) Notice.--The certification requirements of this section
        shall be clearly stated on any request for information under
        paragraph (1).''.
        (b) Civil Penalty.--Section 30165(a) of title 49, United States
    Code, is amended--
            (1) in paragraph (3), by striking ``A person'' and inserting
        ``Except as provided in paragraph (4), a person''; and
            (2) by adding at the end the following:
            ``(4) False or misleading reports.--A person who knowingly and
        willfully submits materially false or misleading information to the
        Secretary, after certifying the same information as accurate under
        the certification process established pursuant to section 30166(o),
        shall be subject to a civil penalty of not more than $5,000 per
        day. The maximum penalty under this paragraph for a related series
        of daily violations is $1,000,000.''.
    SEC. 31305. PASSENGER MOTOR VEHICLE INFORMATION PROGRAM.
        (a) Definition.--Section 32301 of title 49, United States Code, is
    amended--
            (1) by redesignating paragraphs (1) and (2) as paragraphs (2)
        and (3), respectively;
            (2) by inserting before paragraph (2), as redesignated, the
        following:
            ``(1) `crash avoidance' means preventing or mitigating a
        crash;''; and
            (3) in paragraph (2), as redesignated, by striking the period
        at the end and inserting ``; and''.
        (b) Information Included.--Section 32302(a) of title 49, United
    States Code, is amended--
            (1) in paragraph (2), by inserting ``, crash avoidance, and any
        other areas the Secretary determines will improve the safety of
        passenger motor vehicles'' after ``crashworthiness''; and
            (2) by striking paragraph (4).
    SEC. 31306. PROMOTION OF VEHICLE DEFECT REPORTING.
        Section 32302 of title 49, United States Code, is amended by adding
    at the end the following:
        ``(d) Motor Vehicle Defect Reporting Information.--
            ``(1) Rulemaking required.--Not later than 1 year after the
        date of enactment of the Motor Vehicle and Highway Safety
        Improvement Act of 2012, the Secretary shall prescribe regulations
        that require passenger motor vehicle manufacturers--
                ``(A) to affix, in the glove compartment or in another
            readily accessible location on the vehicle, a sticker, decal,
            or other device that provides, in simple and understandable
            language, information about how to submit a safety-related
            motor vehicle defect complaint to the National Highway Traffic
            Safety Administration;
                ``(B) to prominently print the information described in
            subparagraph (A) within the owner's manual; and
                ``(C) to not place such information on the label required
            under section 3 of the Automobile Information Disclosure Act
            (15 U.S.C. 1232).
            ``(2) Application.--The requirements under paragraph (1) shall
        apply to passenger motor vehicles manufactured in any model year
        beginning more than 1 year after the date on which a final rule is
        published under paragraph (1).''.
    SEC. 31307. WHISTLEBLOWER PROTECTIONS FOR MOTOR VEHICLE MANUFACTURERS,
    PART SUPPLIERS, AND DEALERSHIP EMPLOYEES.
        (a) In General.--Subchapter IV of chapter 301 of title 49, United
    States Code, is amended by adding at the end the following:
    ``Sec. 30171. Protection of employees providing motor vehicle safety
         information
        ``(a) Discrimination Against Employees of Manufacturers, Part
    Suppliers, and Dealerships.--No motor vehicle manufacturer, part
    supplier, or dealership may discharge an employee or otherwise
    discriminate against an employee with respect to compensation, terms,
    conditions, or privileges of employment because the employee (or any
    person acting pursuant to a request of the employee)--
            ``(1) provided, caused to be provided, or is about to provide
        (with any knowledge of the employer) or cause to be provided to the
        employer or the Secretary of Transportation information relating to
        any motor vehicle defect, noncompliance, or any violation or
        alleged violation of any notification or reporting requirement of
        this chapter;
            ``(2) has filed, caused to be filed, or is about to file (with
        any knowledge of the employer) or cause to be filed a proceeding
        relating to any violation or alleged violation of any motor vehicle
        defect, noncompliance, or any violation or alleged violation of any
        notification or reporting requirement of this chapter;
            ``(3) testified or is about to testify in such a proceeding;
            ``(4) assisted or participated or is about to assist or
        participate in such a proceeding; or
            ``(5) objected to, or refused to participate in, any activity
        that the employee reasonably believed to be in violation of any
        provision of chapter 301 of this title, or any order, rule,
        regulation, standard, or ban under such provision.
        ``(b) Complaint Procedure.--
            ``(1) Filing and notification.--A person who believes that he
        or she has been discharged or otherwise discriminated against by
        any person in violation of subsection (a) may file (or have any
        person file on his or her behalf), not later than 180 days after
        the date on which such violation occurs, a complaint with the
        Secretary of Labor (hereinafter in this section referred to as the
        `Secretary') alleging such discharge or discrimination. Upon
        receipt of such a complaint, the Secretary shall notify, in
        writing, the person named in the complaint of the filing of the
        complaint, of the allegations contained in the complaint, of the
        substance of evidence supporting the complaint, and of the
        opportunities that will be afforded to such person under paragraph
        (2).
            ``(2) Investigation; preliminary order.--
                ``(A) In general.--Not later than 60 days after the date of
            receipt of a complaint filed under paragraph (1) and after
            affording the person named in the complaint an opportunity to
            submit to the Secretary a written response to the complaint and
            an opportunity to meet with a representative of the Secretary
            to present statements from witnesses, the Secretary shall
            conduct an investigation and determine whether there is
            reasonable cause to believe that the complaint has merit and
            notify, in writing, the complainant and the person alleged to
            have committed a violation of subsection (a) of the Secretary's
            findings. If the Secretary concludes that there is a reasonable
            cause to believe that a violation of subsection (a) has
            occurred, the Secretary shall accompany the Secretary's
            findings with a preliminary order providing the relief
            prescribed by paragraph (3)(B). Not later than 30 days after
            the date of notification of findings under this paragraph,
            either the person alleged to have committed the violation or
            the complainant may file objections to the findings or
            preliminary order, or both, and request a hearing on the
            record. The filing of such objections shall not operate to stay
            any reinstatement remedy contained in the preliminary order.
            Such hearings shall be conducted expeditiously. If a hearing is
            not requested in such 30-day period, the preliminary order
            shall be deemed a final order that is not subject to judicial
            review.
                ``(B) Requirements.--
                    ``(i) Required showing by complainant.--The Secretary
                shall dismiss a complaint filed under this subsection and
                shall not conduct an investigation otherwise required under
                subparagraph (A) unless the complainant makes a prima facie
                showing that any behavior described in paragraphs (1)
                through (5) of subsection (a) was a contributing factor in
                the unfavorable personnel action alleged in the complaint.
                    ``(ii) Showing by employer.--Notwithstanding a finding
                by the Secretary that the complainant has made the showing
                required under clause (i), no investigation otherwise
                required under subparagraph (A) shall be conducted if the
                employer demonstrates, by clear and convincing evidence,
                that the employer would have taken the same unfavorable
                personnel action in the absence of that behavior.
                    ``(iii) Criteria for determination by secretary.--The
                Secretary may determine that a violation of subsection (a)
                has occurred only if the complainant demonstrates that any
                behavior described in paragraphs (1) through (5) of
                subsection (a) was a contributing factor in the unfavorable
                personnel action alleged in the complaint.
                    ``(iv) Prohibition.--Relief may not be ordered under
                subparagraph (A) if the employer demonstrates, by clear and
                convincing evidence, that the employer would have taken the
                same unfavorable personnel action in the absence of that
                behavior.
            ``(3) Final order.--
                ``(A) Deadline for issuance; settlement agreements.--Not
            later than 120 days after the date of conclusion of a hearing
            under paragraph (2), the Secretary shall issue a final order
            providing the relief prescribed by this paragraph or denying
            the complaint. At any time before issuance of a final order, a
            proceeding under this subsection may be terminated on the basis
            of a settlement agreement entered into by the Secretary, the
            complainant, and the person alleged to have committed the
            violation.
                ``(B) Remedy.--If, in response to a complaint filed under
            paragraph (1), the Secretary determines that a violation of
            subsection (a) has occurred, the Secretary shall order the
            person who committed such violation--
                    ``(i) to take affirmative action to abate the
                violation;
                    ``(ii) to reinstate the complainant to his or her
                former position together with the compensation (including
                back pay) and restore the terms, conditions, and privileges
                associated with his or her employment; and
                    ``(iii) to provide compensatory damages to the
                complainant.
                ``(C) Attorneys' fees.--If such an order is issued under
            this paragraph, the Secretary, at the request of the
            complainant, shall assess against the person against whom the
            order is issued a sum equal to the aggregate amount of all
            costs and expenses (including attorneys' and expert witness
            fees) reasonably incurred, as determined by the Secretary, by
            the complainant for, or in connection with, bringing the
            complaint upon which the order was issued.
                ``(D) Frivolous complaints.--If the Secretary determines
            that a complaint under paragraph (1) is frivolous or has been
            brought in bad faith, the Secretary may award to the prevailing
            employer a reasonable attorney's fee not exceeding $1,000.
                ``(E) De novo review.--With respect to a complaint under
            paragraph (1), if the Secretary has not issued a final decision
            within 210 days after the filing of the complaint and if the
            delay is not due to the bad faith of the employee, the employee
            may bring an original action at law or equity for de novo
            review in the appropriate district court of the United States,
            which shall have jurisdiction over such an action without
            regard to the amount in controversy, and which action shall, at
            the request of either party to the action, be tried by the
            court with a jury. The action shall be governed by the same
            legal burdens of proof specified in paragraph (2)(B) for review
            by the Secretary.
            ``(4) Review.--
                ``(A) Appeal to court of appeals.--Any person adversely
            affected or aggrieved by an order issued under paragraph (3)
            may obtain review of the order in the United States Court of
            Appeals for the circuit in which the violation, with respect to
            which the order was issued, allegedly occurred or the circuit
            in which the complainant resided on the date of such violation.
            The petition for review shall be filed not later than 60 days
            after the date of the issuance of the final order of the
            Secretary. Review shall conform to chapter 7 of title 5. The
            commencement of proceedings under this subparagraph shall not,
            unless ordered by the court, operate as a stay of the order.
                ``(B) Limitation on collateral attack.--An order of the
            Secretary with respect to which review could have been obtained
            under subparagraph (A) shall not be subject to judicial review
            in any criminal or other civil proceeding.
            ``(5) Enforcement of order by secretary.--Whenever any person
        fails to comply with an order issued under paragraph (3), the
        Secretary may file a civil action in the United States district
        court for the district in which the violation was found to occur to
        enforce such order. In actions brought under this paragraph, the
        district courts shall have jurisdiction to grant all appropriate
        relief, including injunctive relief and compensatory damages.
            ``(6) Enforcement of order by parties.--
                ``(A) Commencement of action.--A person on whose behalf an
            order was issued under paragraph (3) may commence a civil
            action against the person to whom such order was issued to
            require compliance with such order. The appropriate United
            States district court shall have jurisdiction, without regard
            to the amount in controversy or the citizenship of the parties,
            to enforce such order.
                ``(B) Attorney fees.--The court, in issuing any final order
            under this paragraph, may award costs of litigation (including
            reasonable attorney and expert witness fees) to any party
            whenever the court determines such award is appropriate.
        ``(c) Mandamus.--Any nondiscretionary duty imposed under this
    section shall be enforceable in a mandamus proceeding brought under
    section 1361 of title 28.
        ``(d) Nonapplicability To Deliberate Violations.--Subsection (a)
    shall not apply with respect to an employee of a motor vehicle
    manufacturer, part supplier, or dealership who, acting without
    direction from such motor vehicle manufacturer, part supplier, or
    dealership (or such person's agent), deliberately causes a violation of
    any requirement relating to motor vehicle safety under this chapter.''.
        (b) Government Accountability Office Report.--Not later than 2
    years after the date of enactment of this Act, the Comptroller General
    of the United States shall--
            (1) conduct a study of the whistleblower protections
        established by law with respect to this program, and update its
        study of other such programs administered by the Secretary of
        Transportation; and
            (2) submit to Congress a report of the results of the study
        under paragraph (1), including--
                (A) an identification of the differences between the
            provisions applicable to different programs, the number of
            claims brought pursuant to each provision, and the outcome of
            each claim; and
                (B) any recommendations for program changes that the
            Comptroller General considers appropriate based on the study
            under paragraph (1).
        (c) Conforming Amendment.--The table of sections for chapter 301 of
    title 49, United States Code, is amended by inserting after the item
    relating to section 30170 the following:

    ``30171. Protection of employees providing motor vehicle safety
              information.''.
    SEC. 31308. ANTI-REVOLVING DOOR.
        (a) Study of Department of Transportation Policies on Official
    Communication With Former Motor Vehicle Safety Issue Employees.--Not
    later than 1 year after the date of enactment of this Act, the
    Inspector General of the Department of Transportation shall--
            (1) review the Department of Transportation's policies and
        procedures applicable to official communication with former
        employees concerning motor vehicle safety compliance matters for
        which they had responsibility during the last 12 months of their
        tenure at the Department, including any limitations on the ability
        of such employees to submit comments, or otherwise communicate
        directly with the Department, on motor vehicle safety issues; and
            (2) submit a report to the Committee on Commerce, Science, and
        Transportation of the Senate and the Committee on Energy and
        Commerce of the House of Representatives that contains the
        Inspector General's findings, conclusions, and recommendations for
        strengthening those policies and procedures to minimize the risk of
        undue influence without compromising the ability of the Department
        to employ and retain highly qualified individuals for such
        responsibilities.
        (b) Post-Employment Policy Study.--
            (1) In general.--The Inspector General of the Department of
        Transportation shall conduct a study of the Department's policies
        relating to post-employment restrictions on employees who perform
        functions related to transportation safety.
            (2) Report.--Not later than 1 year after the date of enactment
        of this Act, the Inspector General shall submit a report containing
        the results of the study conducted under paragraph (1) to--
                (A) the Committee on Commerce, Science, and Transportation
            of the Senate;
                (B) the Committee on Energy and Commerce of the House of
            Representatives; and
                (C) the Secretary of Transportation.
            (3) Use of results.--The Secretary of Transportation shall
        review the results of the study conducted under paragraph (1) and
        take whatever action the Secretary determines to be appropriate.
    SEC. 31309. STUDY OF CRASH DATA COLLECTION.
        (a) In General.--Not later than 1 year after the date of enactment
    of this Act, the Secretary shall submit a report to the Committee on
    Commerce, Science, and Transportation of the Senate and the Committee
    on Energy and Commerce of the House of Representatives regarding the
    quality of data collected through the National Automotive Sampling
    System, including the Special Crash Investigations Program.
        (b) Review.--The Administrator of the National Highway Traffic
    Safety Administration (referred to in this section as the
    ``Administration'') shall conduct a comprehensive review of the data
    elements collected from each crash to determine if additional data
    should be collected. The review under this subsection shall include
    input from interested parties, including suppliers, automakers, safety
    advocates, the medical community, and research organizations.
        (c) Contents.--The report issued under this section shall include--
            (1) the analysis and conclusions the Administration can reach
        from the amount of motor vehicle crash data collected in a given
        year;
            (2) the additional analysis and conclusions the Administration
        could reach if more crash investigations were conducted each year;
            (3) the number of investigations per year that would allow for
        optimal data analysis and crash information;
            (4) the results of the comprehensive review conducted pursuant
        to subsection (b);
            (5) the incremental costs of collecting and analyzing
        additional data, as well as data from additional crashes;
            (6) the potential for obtaining private funding for all or a
        portion of the costs under paragraph (5);
            (7) the potential for recovering any additional costs from high
        volume users of the data, while continuing to make the data
        available to the general public free of charge;
            (8) the advantages or disadvantages of expanding collection of
        non-crash data instead of crash data;
            (9) recommendations for improvements to the Administration's
        data collection program; and
            (10) the resources needed by the Administration to implement
        such recommendations.
    SEC. 31310. UPDATE MEANS OF PROVIDING NOTIFICATION; IMPROVING EFFICACY
    OF RECALLS.
        (a) Update of Means of Providing Notification.--Section 30119(d) of
    title 49, United States Code, is amended--
            (1) in paragraph (1), by striking ``by first class mail'' and
        inserting ``in the manner prescribed by the Secretary, by
        regulation'';
            (2) in paragraph (2)--
                (A) by striking ``(except a tire) shall be sent by first
            class mail'' and inserting ``shall be sent in the manner
            prescribed by the Secretary, by regulation,''; and
                (B) by striking the second sentence;
            (3) in paragraph (3)--
                (A) by striking the first sentence;
                (B) by inserting ``to the notification required under
            paragraphs (1) and (2)'' after ``addition''; and
                (C) by inserting ``by the manufacturer'' after ``given'';
            and
            (4) in paragraph (4), by striking ``by certified mail or
        quicker means if available'' and inserting ``in the manner
        prescribed by the Secretary, by regulation''.
        (b) Improving Efficacy of Recalls.--Section 30119(e) of title 49,
    United States Code, is amended--
            (1) in the subsection heading, by striking ``Second'' and
        inserting ``Additional'';
            (2) by striking ``If the Secretary'' and inserting the
        following:
            ``(1) Second notification.--If the Secretary''; and
            (3) by adding at the end the following:
            ``(2) Additional notifications.--If the Secretary determines,
        after taking into account the severity of the defect or
        noncompliance, that the second notification by a manufacturer does
        not result in an adequate number of motor vehicles or items of
        replacement equipment being returned for remedy, the Secretary may
        order the manufacturer--
                ``(A)(i) to send additional notifications in the manner
            prescribed by the Secretary, by regulation; or
                ``(ii) to take additional steps to locate and notify each
            person registered under State law as the owner or lessee or the
            most recent purchaser or lessee, as appropriate; and
                ``(B) to emphasize the magnitude of the safety risk caused
            by the defect or noncompliance in such notification.''.
    SEC. 31311. EXPANDING CHOICES OF REMEDY AVAILABLE TO MANUFACTURERS OF
    REPLACEMENT EQUIPMENT.
        Section 30120 of title 49, United States Code, is amended--
            (1) in subsection (a)(1), by amending subparagraph (B) to read
        as follows:
                ``(B) if replacement equipment, by repairing the equipment,
            replacing the equipment with identical or reasonably equivalent
            equipment, or by refunding the purchase price.'';
            (2) in the heading of subsection (i), by adding ``of New
        Vehicles or Equipment'' at the end; and
            (3) in the heading of subsection (j), by striking ``replaced''
        and inserting ``replacement''.
    SEC. 31312. RECALL OBLIGATIONS AND BANKRUPTCY OF MANUFACTURER.
        (a) In General.--Chapter 301 of title 49, United States Code, is
    amended by inserting the following after section 30120:
    ``Sec. 30120A. Recall obligations and bankruptcy of a manufacturer
        ``A manufacturer's filing of a petition in bankruptcy under chapter
    11 of title 11, does not negate the manufacturer's duty to comply with
    section 30112 or sections 30115 through 30120 of this title. In any
    bankruptcy proceeding, the manufacturer's obligations under such
    sections shall be treated as a claim of the United States Government
    against such manufacturer, subject to subchapter II of chapter 37 of
    title 31, United States Code, and given priority pursuant to section
    3713(a)(1)(A) of such chapter, notwithstanding section 3713(a)(2), to
    ensure that consumers are adequately protected from any safety defect
    or noncompliance determined to exist in the manufacturer's products.
    This section shall apply equally to actions of a manufacturer taken
    before or after the filing of a petition in bankruptcy.''.
        (b) Conforming Amendment.--The chapter analysis of chapter 301 of
    title 49, United States Code, is amended by inserting after the item
    relating to section 30120 the following:

    ``30120A. Recall obligations and bankruptcy of a manufacturer.''.
    SEC. 31313. REPEAL OF INSURANCE REPORTS AND INFORMATION PROVISION.
        Chapter 331 of title 49, United States Code, is amended--
            (1) in the chapter analysis, by striking the item relating to
        section 33112; and
            (2) by striking section 33112.
    SEC. 31314. MONRONEY STICKER TO PERMIT ADDITIONAL SAFETY RATING
    CATEGORIES.
        Section 3(g)(2) of the Automobile Information Disclosure Act (15
    U.S.C. 1232(g)(2)), is amended by inserting ``safety rating categories
    that may include'' after ``refers to''.

              Subtitle D--Vehicle Electronics and Safety Standards

    SEC. 31401. NATIONAL HIGHWAY TRAFFIC SAFETY ADMINISTRATION ELECTRONICS,
    SOFTWARE, AND ENGINEERING EXPERTISE.
        (a) Council for Vehicle Electronics, Vehicle Software, and Emerging
    Technologies.--
            (1) In general.--The Secretary shall establish, within the
        National Highway Traffic Safety Administration, a Council for
        Vehicle Electronics, Vehicle Software, and Emerging Technologies
        (referred to in this section as the ``Council'') to build,
        integrate, and aggregate the Administration's expertise in
        passenger motor vehicle electronics and other new and emerging
        technologies.
            (2) Implementation of roadmap.--The Council shall research the
        inclusion of emerging lightweight plastic and composite
        technologies in motor vehicles to increase fuel efficiency, lower
        emissions, meet fuel economy standards, and enhance passenger motor
        vehicle safety through continued utilization of the
        Administration's Plastic and Composite Intensive Vehicle Safety
        Roadmap (Report No. DOT HS 810 863).
            (3) Intra-agency coordination.--The Council shall coordinate
        with all components of the Administration responsible for vehicle
        safety, including research and development, rulemaking, and defects
        investigation.
        (b) Honors Recruitment Program.--
            (1) Establishment.--The Secretary shall establish, within the
        National Highway Traffic Safety Administration, an honors program
        for engineering students, computer science students, and other
        students interested in vehicle safety that will enable such
        students to train with engineers and other safety officials for
        careers in vehicle safety.
            (2) Stipend.--The Secretary is authorized to provide a stipend
        to any student during the student's participation in the program
        established under paragraph (1).
        (c) Assessment.--The Council, in consultation with affected
    stakeholders, shall periodically assess the implications of emerging
    safety technologies in passenger motor vehicles, including the effect
    of such technologies on consumers, product availability, and cost.
    SEC. 31402. ELECTRONIC SYSTEMS PERFORMANCE.
        (a) In General.--Not later than 2 years after the date of enactment
    of this Act, the Secretary shall complete an examination of the need
    for safety standards with regard to electronic systems in passenger
    motor vehicles. In conducting this examination, the Secretary shall--
            (1) consider the electronic components, the interaction of
        electronic components, the security needs for those electronic
        systems to prevent unauthorized access, and the effect of
        surrounding environments on the electronic systems; and
            (2) allow for public comment.
        (b) Report.--Upon completion of the examination under subsection
    (a), the Secretary shall submit a report on the highest priority areas
    for safety with regard to the electronic systems to the Committee on
    Commerce, Science, and Transportation of the Senate and the Committee
    on Energy and Commerce of the House of Representatives.

                       Subtitle E--Child Safety Standards

    SEC. 31501. CHILD SAFETY SEATS.
        (a) Side Impact Crashes.--Not later than 2 years after the date of
    enactment of this Act, the Secretary shall issue a final rule amending
    Federal Motor Vehicle Safety Standard Number 213 to improve the
    protection of children seated in child restraint systems during side
    impact crashes.
        (b) Frontal Impact Test Parameters.--
            (1) Commencement.--Not later than 2 years after the date of
        enactment of this Act, the Secretary shall commence a rulemaking
        proceeding to amend the standard seat assembly specifications under
        Federal Motor Vehicle Safety Standard Number 213 to better simulate
        a single representative motor vehicle rear seat.
            (2) Final rule.--Not later than 4 years after the date of
        enactment of this Act, the Secretary shall issue a final rule
        pursuant to paragraph (1).
    SEC. 31502. CHILD RESTRAINT ANCHORAGE SYSTEMS.
        (a) Initiation of Rulemaking Proceeding.--Not later than 1 year
    after the date of enactment of this Act, the Secretary shall initiate a
    rulemaking proceeding to amend Federal Motor Vehicle Safety Standard
    Number 225 (relating to child restraint anchorage systems) to improve
    the ease of use for lower anchorages and tethers in all rear seat
    seating positions if such anchorages and tethers are feasible.
        (b) Final Rule.--
            (1) In general.--Except as provided under paragraph (2) and
        section 31505, the Secretary shall issue a final rule under
        subsection (a) not later than 3 years after the date of enactment
        of this Act.
            (2) Report.--If the Secretary determines that an amendment to
        the standard referred to in subsection (a) does not meet the
        requirements and considerations set forth in subsections (a) and
        (b) of section 30111 of title 49, United States Code, the Secretary
        shall submit a report describing the reasons for not prescribing
        such a standard to--
                (A) the Committee on Commerce, Science, and Transportation
            of the Senate; and
                (B) the Committee on Energy and Commerce of the House of
            Representatives.
    SEC. 31503. REAR SEAT BELT REMINDERS.
        (a) Initiation of Rulemaking Proceeding.--Not later than 2 years
    after the date of enactment of this Act, the Secretary shall initiate a
    rulemaking proceeding to amend Federal Motor Vehicle Safety Standard
    Number 208 (relating to occupant crash protection) to provide a safety
    belt use warning system for designated seating positions in the rear
    seat.
        (b) Final Rule.--
            (1) In general.--Except as provided under paragraph (2) and
        section 31505, the Secretary shall issue a final rule under
        subsection (a) not later than 3 years after the date of enactment
        of this Act.
            (2) Report.--If the Secretary determines that an amendment to
        the standard referred to in subsection (a) does not meet the
        requirements and considerations set forth in subsections (a) and
        (b) of section 30111 of title 49, United States Code, the Secretary
        shall submit a report describing the reasons for not prescribing
        such a standard to--
                (A) the Committee on Commerce, Science, and Transportation
            of the Senate; and
                (B) the Committee on Energy and Commerce of the House of
            Representatives.
    SEC. 31504. UNATTENDED PASSENGER REMINDERS.
        (a) Safety Research Initiative.--The Secretary may initiate
    research into effective ways to minimize the risk of hyperthermia or
    hypothermia to children or other unattended passengers in rear seating
    positions.
        (b) Research Areas.--In carrying out subsection (a), the Secretary
    may conduct research into the potential viability of--
            (1) vehicle technology to provide an alert that a child or
        unattended passenger remains in a rear seating position after the
        vehicle motor is disengaged; or
            (2) public awareness campaigns to educate drivers on the risks
        of leaving a child or unattended passenger in a vehicle after the
        vehicle motor is disengaged; or
            (3) other ways to mitigate risk.
        (c) Coordination With Other Agencies.--The Secretary may
    collaborate with other Federal agencies in conducting the research
    under this section.
    SEC. 31505. NEW DEADLINE.
        If the Secretary determines that any deadline for issuing a final
    rule under this Act cannot be met, the Secretary shall--
            (1) provide the Committee on Commerce, Science, and
        Transportation of the Senate and the Committee on Energy and
        Commerce of the House of Representatives with an explanation for
        why such deadline cannot be met; and
            (2) establish a new deadline for that rule.

     Subtitle F--Improved Daytime and Nighttime Visibility of Agricultural
                                   Equipment

    SEC. 31601. RULEMAKING ON VISIBILITY OF AGRICULTURAL EQUIPMENT.
        (a) Definitions.--In this section:
            (1) Agricultural equipment.--The term ``agricultural
        equipment'' has the meaning given the term ``agricultural field
        equipment'' in ASABE Standard 390.4, entitled ``Definitions and
        Classifications of Agricultural Field Equipment'', which was
        published in January 2005 by the American Society of Agriculture
        and Biological Engineers, or any successor standard.
            (2) Public road.--The term ``public road'' has the meaning
        given the term in section 101(a)(27) of title 23, United States
        Code.
        (b) Rulemaking.--
            (1) In general.--Not later than 2 years after the date of
        enactment of this Act, the Secretary of Transportation, after
        consultation with representatives of the American Society of
        Agricultural and Biological Engineers and appropriate Federal
        agencies, and with other appropriate persons, shall promulgate a
        rule to improve the daytime and nighttime visibility of
        agricultural equipment that may be operated on a public road.
            (2) Minimum standards.--The rule promulgated pursuant to this
        subsection shall--
                (A) establish minimum lighting and marking standards for
            applicable agricultural equipment manufactured at least 1 year
            after the date on which such rule is promulgated; and
                (B) provide for the methods, materials, specifications, and
            equipment to be employed to comply with such standards, which
            shall be equivalent to ASABE Standard 279.14, entitled
            ``Lighting and Marking of Agricultural Equipment on Highways'',
            which was published in July 2008 by the American Society of
            Agricultural and Biological Engineers, or any successor
            standard.
        (c) Review.--Not less frequently than once every 5 years, the
    Secretary of Transportation shall--
            (1) review the standards established pursuant to subsection
        (b); and
            (2) revise such standards to reflect the revision of ASABE
        Standard 279 that is in effect at the time of such review.
        (d) Limitations.--
            (1) Compliance with successor standards.--Any rule promulgated
        pursuant to this section may not prohibit the operation on public
        roads of agricultural equipment that is equipped in accordance with
        any adopted revision of ASABE Standard 279 that is later than the
        revision of such standard that was referenced during the
        promulgation of the rule.
            (2) No retrofitting required.--Any rule promulgated pursuant to
        this section may not require the retrofitting of agricultural
        equipment that was manufactured before the date on which the
        lighting and marking standards are enforceable under subsection
        (b)(2)(A).
            (3) No effect on additional materials and equipment.--Any rule
        promulgated pursuant to this section may not prohibit the operation
        on public roads of agricultural equipment that is equipped with
        materials or equipment that are in addition to the minimum
        materials and equipment specified in the standard upon which such
        rule is based.

       TITLE II--COMMERCIAL MOTOR VEHICLE SAFETY ENHANCEMENT ACT OF 2012

    SEC. 32001. SHORT TITLE.
        This title may be cited as the ``Commercial Motor Vehicle Safety
    Enhancement Act of 2012''.
    SEC. 32002. REFERENCES TO TITLE 49, UNITED STATES CODE.
        Except as otherwise expressly provided, whenever in this title an
    amendment or repeal is expressed in terms of an amendment to, or a
    repeal of, a section or other provision, the reference shall be
    considered to be made to a section or other provision of title 49,
    United States Code.

               Subtitle A--Commercial Motor Vehicle Registration

    SEC. 32101. REGISTRATION OF MOTOR CARRIERS.
        (a) Registration Requirements.--Section 13902(a)(1) is amended to
    read as follows:
            ``(1) In general.--Except as otherwise provided in this
        section, the Secretary of Transportation shall register a person to
        provide transportation subject to jurisdiction under subchapter I
        of chapter 135 as a motor carrier only if the Secretary determines
        that the person--
                ``(A) is willing and able to comply with--
                    ``(i) this part and the applicable regulations of the
                Secretary and the Board;
                    ``(ii) any safety regulations imposed by the Secretary;
                    ``(iii) the duties of employers and employees
                established by the Secretary under section 31135;
                    ``(iv) the safety fitness requirements established by
                the Secretary under section 31144;
                    ``(v) the accessibility requirements established by the
                Secretary under subpart H of part 37 of title 49, Code of
                Federal Regulations (or successor regulations), for
                transportation provided by an over-the-road bus; and
                    ``(vi) the minimum financial responsibility
                requirements established by the Secretary under sections
                13906, 31138, and 31139;
                ``(B) has been issued a USDOT number under section 31134;
                ``(C) has disclosed any relationship involving common
            ownership, common management, common control, or common
            familial relationship between that person and any other motor
            carrier, freight forwarder, or broker, or any other applicant
            for motor carrier, freight forwarder, or broker registration,
            if the relationship occurred in the 3-year period preceding the
            date of the filing of the application for registration; and
                ``(D) after the Secretary establishes a written proficiency
            examination pursuant to section 32101(b) of the Commercial
            Motor Vehicle Safety Enhancement Act of 2012, has passed the
            written proficiency examination.''.
        (b) Written Proficiency Examination.--
            Not later than 18 months after the date of enactment of this
        Act, the Secretary shall establish through a rulemaking a written
        proficiency examination for applicant motor carriers pursuant to
        section 13902(a)(1)(D) of title 49, United States Code. The written
        proficiency examination shall test a person's knowledge of
        applicable safety regulations, standards, and orders of the Federal
        government.
        (c) Conforming Amendment.--Section 210(b) of the Motor Carrier
    Safety Improvement Act of 1999 (49 U.S.C. 31144 note) is amended--
            (1) by inserting ``, commercial regulations, and provisions of
        subpart H of part 37 of title 49, Code of Federal Regulations, or
        successor regulations'' after ``applicable safety regulations'';
        and
            (2) by striking ``consider the establishment of'' and inserting
        ``establish''.
        (d) Transportation of Agricultural Commodities and Farm Supplies.--
    Section 229(a)(1) of the Motor Carrier Safety Improvement Act of 1999
    (49 U.S.C. 31136 note) is amended to read as follows:
            ``(1) Transportation of agricultural commodities and farm
        supplies.--Regulations prescribed by the Secretary under sections
        31136 and 31502 regarding maximum driving and on-duty time for
        drivers used by motor carriers shall not apply during planting and
        harvest periods, as determined by each State, to--
                ``(A) drivers transporting agricultural commodities from
            the source of the agricultural commodities to a location within
            a 150 air-mile radius from the source;
                ``(B) drivers transporting farm supplies for agricultural
            purposes from a wholesale or retail distribution point of the
            farm supplies to a farm or other location where the farm
            supplies are intended to be used within a 150 air-mile radius
            from the distribution point; or
                ``(C) drivers transporting farm supplies for agricultural
            purposes from a wholesale distribution point of the farm
            supplies to a retail distribution point of the farm supplies
            within a 150 air-mile radius from the wholesale distribution
            point.''.
    SEC. 32102. SAFETY FITNESS OF NEW OPERATORS.
        (a) Safety Reviews of New Operators.--Section 31144(g)(1) is
    amended to read as follows:
            ``(1) Safety review.--
                ``(A) In general.--Except as provided under subparagraph
            (B), the Secretary shall require, by regulation, each owner and
            each operator granted new registration under section 13902 or
            31134 to undergo a safety review not later than 12 months after
            the owner or operator, as the case may be, begins operations
            under such registration.
                ``(B) Providers of motorcoach services.--The Secretary
            shall require, by regulation, each owner and each operator
            granted new registration to transport passengers under section
            13902 or 31134 to undergo a safety review not later than 120
            days after the owner or operator, as the case may be, begins
            operations under such registration.''.
        (b) Effective Date.--The amendments made by subsection (a) shall
    take effect 1 year after the date of enactment of this Act.
    SEC. 32103. REINCARNATED CARRIERS.
        (a) Effective Periods of Registration.--
            (1) Suspensions, amendments, and revocations.--Section 13905(d)
        is amended--
                (A) by redesignating paragraph (2) as paragraph (4);
                (B) by striking paragraph (1) and inserting the following:
            ``(1) Applications.--On application of the registrant, the
        Secretary may amend or revoke a registration.
            ``(2) Complaints and actions on secretary's own initiative.--On
        complaint or on the Secretary's own initiative and after notice and
        an opportunity for a proceeding, the Secretary may--
                ``(A) suspend, amend, or revoke any part of the
            registration of a motor carrier, broker, or freight forwarder
            for willful failure to comply with--
                    ``(i) this part;
                    ``(ii) an applicable regulation or order of the
                Secretary or the Board, including the accessibility
                requirements established by the Secretary under subpart H
                of part 37 of title 49, Code of Federal Regulations (or
                successor regulations), for transportation provided by an
                over-the-road bus; or
                    ``(iii) a condition of its registration;
                ``(B) withhold, suspend, amend, or revoke any part of the
            registration of a motor carrier, broker, or freight forwarder
            for failure--
                    ``(i) to pay a civil penalty imposed under chapter 5,
                51, 149, or 311;
                    ``(ii) to arrange and abide by an acceptable payment
                plan for such civil penalty, not later than 90 days after
                the date specified by order of the Secretary for the
                payment of such penalty; or
                    ``(iii) for failure to obey a subpoena issued by the
                Secretary;
                ``(C) withhold, suspend, amend, or revoke any part of a
            registration of a motor carrier, broker, or freight forwarder
            following a determination by the Secretary that the motor
            carrier, broker, or freight forwarder failed to disclose, in
            its application for registration, a material fact relevant to
            its willingness and ability to comply with--
                    ``(i) this part;
                    ``(ii) an applicable regulation or order of the
                Secretary or the Board; or
                    ``(iii) a condition of its registration; or
                ``(D) withhold, suspend, amend, or revoke any part of a
            registration of a motor carrier, broker, or freight forwarder
            if the Secretary finds that--
                    ``(i) the motor carrier, broker, or freight forwarder
                does not disclose any relationship through common
                ownership, common management, common control, or common
                familial relationship to any other motor carrier, broker,
                or freight forwarder, or any other applicant for motor
                carrier, broker, or freight forwarder registration that the
                Secretary determines is or was unwilling or unable to
                comply with the relevant requirements listed in section
                13902, 13903, or 13904
            ``(3) Limitation.--Paragraph (2)(B) shall not apply to a person
        who is unable to pay a civil penalty because the person is a debtor
        in a case under chapter 11 of title 11.''; and
                (C) in paragraph (4), as redesignated by section
            32103(a)(1)(A) of this Act, by striking ``paragraph (1)(B)''
            and inserting ``paragraph (2)(B)''.
            (2) Procedure.--Section 13905(e) is amended by inserting ``or
        if the Secretary determines that the registrant failed to disclose
        a material fact in an application for registration in accordance
        with subsection (d)(2)(C),'' after ``registrant,''.
        (b) Information Systems.--Section 31106(a)(3) is amended--
            (1) in subparagraph (F), by striking ``and'' at the end;
            (2) in subparagraph (G), by striking the period at the end and
        inserting ``; and''; and
            (3) by adding at the end the following:
                ``(H) determine whether a person or employer is or was
            related, through common ownership, common management, common
            control, or common familial relationship, to any other person,
            employer, or any other applicant for registration under section
            13902 or 31134.''.
    SEC. 32104. FINANCIAL RESPONSIBILITY REQUIREMENTS.
        Not later than 6 months after the date of enactment of this Act,
    and every 4 years thereafter, the Secretary shall--
            (1) issue a report on the appropriateness of--
                (A) the current minimum financial responsibility
            requirements under sections 31138 and 31139 of title 49, United
            States Code; and
                (B) the current bond and insurance requirements under
            sections 13904(f), 13903, and 13906 of title 49, United States
            Code; and
            (2) submit the report issued under paragraph (1) to the
        Committee on Commerce, Science, and Transportation of the Senate
        and the Committee on Transportation and Infrastructure of the House
        of Representatives.
    SEC. 32105. USDOT NUMBER REGISTRATION REQUIREMENT.
        (a) In General.--Chapter 311 is amended by inserting after section
    31133 the following:
    ``Sec. 31134. Requirement for registration and USDOT number
        ``(a) In General.--Upon application, and subject to subsections (b)
    and (c), the Secretary shall register an employer or person subject to
    the safety jurisdiction of this subchapter. An employer or person may
    operate a commercial motor vehicle in interstate commerce only if the
    employer or person is registered by the Secretary under this section
    and receives a USDOT number. Nothing in this section shall preclude
    registration by the Secretary of an employer or person not engaged in
    interstate commerce. An employer or person subject to jurisdiction
    under subchapter I of chapter 135 of this title shall apply for
    commercial registration under section 13902 of this title.
        ``(b) Withholding Registration.--The Secretary shall register an
    employer or person under subsection (a) only if the Secretary
    determines that--
            ``(1) the employer or person seeking registration is willing
        and able to comply with the requirements of this subchapter and the
        regulations prescribed thereunder and chapter 51 and the
        regulations prescribed thereunder;
            ``(2)(A) during the 3-year period before the date of the filing
        of the application, the employer or person is not or was not
        related through common ownership, common management, common
        control, or common familial relationship to any other person or
        applicant for registration subject to this subchapter who, during
        such 3-year period, is or was unfit, unwilling, or unable to comply
        with the requirements listed in subsection (b)(1); or
            ``(3) the employer or person has disclosed to the Secretary any
        relationship involving common ownership, common management, common
        control, or common familial relationship to any other person or
        applicant for registration subject to this subchapter.
        ``(c) Revocation or Suspension of Registration.--The Secretary
    shall revoke the registration of an employer or person issued under
    subsection (a) after notice and an opportunity for a proceeding, or
    suspend the registration after giving notice of the suspension to the
    employer or person, if the Secretary determines that--
            ``(1) the employer's or person's authority to operate pursuant
        to chapter 139 of this title is subject to revocation or suspension
        under sections 13905(d)(1) or 13905(f) of this title;
            ``(2) the employer or person has knowingly failed to comply
        with the requirements listed in subsection (b)(1);
            ``(3) the employer or person has not disclosed any relationship
        through common ownership, common management, common control, or
        common familial relationship to any other person or applicant for
        registration subject to this subchapter that the Secretary
        determines is or was unfit, unwilling, or unable to comply with the
        requirements listed in subsection (b)(1);
            ``(4) the employer or person refused to submit to the safety
        review required by section 31144(g) of this title.
        ``(d) Periodic Registration Update.--The Secretary may require an
    employer to update a registration under this section not later than 30
    days after a change in the employer's address, other contact
    information, officers, process agent, or other essential information,
    as determined by the Secretary.
        ``(e) State Authority.--Nothing in this section shall be construed
    as affecting the authority of a State to issue a Department of
    Transportation number under State law to a person operating in
    intrastate commerce.''.
        (b) Conforming Amendment.--The analysis of chapter 311 is amended
    by inserting after the item relating to section 31133 the following:

    ``31134. Requirement for registration and USDOT number.''.
    SEC. 32106. REGISTRATION FEE SYSTEM.
        Section 13908(d)(1) is amended by striking ``but shall not exceed
    $300''.
    SEC. 32107. REGISTRATION UPDATE.
        (a) Motor Carrier Update.--Section 13902 is amended by adding at
    the end the following:
        ``(h) Update of Registration.--
            ``(1) In general.--The Secretary shall require a registrant to
        update its registration under this section not later than 30 days
        after a change in the registrant's address, other contact
        information, officers, process agent, or other essential
        information, as determined by the Secretary.
            ``(2) Motor carriers of passengers.--In addition to the
        requirements of paragraph (1), the Secretary shall require a motor
        carrier of passengers to update its registration information,
        including numbers of vehicles, annual mileage, and individuals
        responsible for compliance with Federal safety regulations
        quarterly for the first 2 years after being issued a registration
        under this section.''.
        (b) Freight Forwarder Update.--Section 13903 is amended by adding
    at the end the following:
        ``(c) Update of Registration.--The Secretary shall require a
    freight forwarder to update its registration under this section not
    later than 30 days after a change in the freight forwarder's address,
    other contact information, officers, process agent, or other essential
    information, as determined by the Secretary.''.
        (c) Broker Update.--Section 13904 is amended by adding at the end
    the following:
        ``(e) Update of Registration.--The Secretary shall require a broker
    to update its registration under this section not later than 30 days
    after a change in the broker's address, other contact information,
    officers, process agent, or other essential information, as determined
    by the Secretary.''.
    SEC. 32108. INCREASED PENALTIES FOR OPERATING WITHOUT REGISTRATION.
        (a) Penalties.--Section 14901(a) is amended--
            (1) by striking ``$500'' and inserting ``$1,000'';
            (2) by striking ``who is not registered under this part to
        provide transportation of passengers,'';
            (3) by striking ``with respect to providing transportation of
        passengers,'' and inserting ``or section 13902(c) of this title,'';
        and
            (4) by striking ``$2,000 for each violation and each additional
        day the violation continues'' and inserting ``$10,000 for each
        violation, or $25,000 for each violation relating to providing
        transportation of passengers''.
        (b) Transportation of Hazardous Wastes.--Section 14901(b) is
    amended by striking ``not to exceed $20,000'' and inserting ``not less
    than $20,000, but not to exceed $40,000''.
    SEC. 32109. REVOCATION OF REGISTRATION FOR IMMINENT HAZARD.
        Section 13905(f)(2) is amended to read as follows:
            ``(2) Imminent hazard to public health.--Notwithstanding
        subchapter II of chapter 5 of title 5, the Secretary shall revoke
        the registration of a motor carrier if the Secretary finds that the
        carrier is or was conducting unsafe operations that are or were an
        imminent hazard to public health or property.''.
    SEC. 32110. REVOCATION OF REGISTRATION AND OTHER PENALTIES FOR FAILURE
    TO RESPOND TO SUBPOENA.
        Section 525 is amended--
            (1) by striking ``subpenas'' in the section heading and
        inserting ``subpoenas'';
            (2) by striking ``subpena'' and inserting ``subpoena'';
            (3) by striking ``$100'' and inserting ``$1,000'';
            (4) by striking ``$5,000'' and inserting ``$10,000''; and
            (5) by adding at the end the following:
        ``The Secretary may withhold, suspend, amend, or revoke any part of
    the registration of a person required to register under chapter 139 for
    failing to obey a subpoena or requirement of the Secretary under this
    chapter to appear and testify or produce records.''.
    SEC. 32111. FLEETWIDE OUT OF SERVICE ORDER FOR OPERATING WITHOUT
    REQUIRED REGISTRATION.
        Section 13902(e)(1) is amended--
            (1) by striking ``motor vehicle'' and inserting ``motor
        carrier'' after ``the Secretary determines that a''; and
            (2) by striking ``order the vehicle'' and inserting ``order the
        motor carrier operations'' after ``the Secretary may''.
    SEC. 32112. MOTOR CARRIER AND OFFICER PATTERNS OF SAFETY VIOLATIONS.
        Section 31135 is amended--
            (1) by striking subsection (b) and inserting the following:
        ``(b) Noncompliance.--
            ``(1) Motor carriers.--Two or more motor carriers, employers,
        or persons shall not use common ownership, common management,
        common control, or common familial relationship to enable any or
        all such motor carriers, employers, or persons to avoid compliance,
        or mask or otherwise conceal non-compliance, or a history of non-
        compliance, with regulations prescribed under this subchapter or an
        order of the Secretary issued under this subchapter.
            ``(2) Pattern.--If the Secretary finds that a motor carrier,
        employer, or person engaged in a pattern or practice of avoiding
        compliance, or masking or otherwise concealing noncompliance, with
        regulations prescribed under this subchapter, the Secretary--
                ``(A) may withhold, suspend, amend, or revoke any part of
            the motor carrier's, employer's, or person's registration in
            accordance with section 13905 or 31134; and
                ``(B) shall take into account such non-compliance for
            purposes of determining civil penalty amounts under section
            521(b)(2)(D).
            ``(3) Officers.--If the Secretary finds, after notice and an
        opportunity for proceeding, that an officer of a motor carrier,
        employer, or owner or operator has engaged in a pattern or practice
        of, or assisted a motor carrier, employer, or owner or operator in
        avoiding compliance, or masking or otherwise concealing
        noncompliance, while serving as an officer or such motor carrier,
        employer, or owner or operator, the Secretary may suspend, amend,
        or revoke any part of a registration granted to the officer
        individually under section 13902 or 31134.''.

                  Subtitle B--Commercial Motor Vehicle Safety

    SEC. 32201. CRASHWORTHINESS STANDARDS.
        (a) In General.--Not later than 18 months after the date of
    enactment of this Act, the Secretary shall conduct a comprehensive
    analysis on the need for crashworthiness standards on property-carrying
    commercial motor vehicles with a gross vehicle weight rating or gross
    vehicle weight of at least 26,001 pounds involved in interstate
    commerce, including an evaluation of the need for roof strength, pillar
    strength, air bags, and other occupant protections standards, and
    frontal and back wall standards.
        (b) Report.--Not later than 90 days after completing the
    comprehensive analysis under subsection (a), the Secretary shall report
    the results of the analysis and any recommendations to the Committee on
    Commerce, Science, and Transportation of the Senate and the Committee
    on Transportation and Infrastructure of the House of Representatives.
    SEC. 32202. CANADIAN SAFETY RATING RECIPROCITY.
        Section 31144 is amended by adding at the end the following:
        ``(h) Recognition of Canadian Motor Carrier Safety Fitness
    Determinations.--
            ``(1) If an authorized agency of the Canadian federal
        government or a Canadian Territorial or Provincial government
        determines, by applying the procedure and standards prescribed by
        the Secretary under subsection (b) or pursuant to an agreement
        under paragraph (2), that a Canadian employer is unfit and
        prohibits the employer from operating a commercial motor vehicle in
        Canada or any Canadian Province, the Secretary may prohibit the
        employer from operating such vehicle in interstate and foreign
        commerce until the authorized Canadian agency determines that the
        employer is fit.
            ``(2) The Secretary may consult and participate in negotiations
        with authorized officials of the Canadian federal government or a
        Canadian Territorial or Provincial government, as necessary, to
        provide reciprocal recognition of each country's motor carrier
        safety fitness determinations. An agreement shall provide, to the
        maximum extent practicable, that each country will follow the
        procedure and standards prescribed by the Secretary under
        subsection (b) in making motor carrier safety fitness
        determinations.''.
    SEC. 32203. STATE REPORTING OF FOREIGN COMMERCIAL DRIVER CONVICTIONS.
        (a) Definition of Foreign Commercial Driver.--Section 31301 is
    amended--
            (1) by redesignating paragraphs (10) through (14) as paragraphs
        (11) through (15), respectively; and
            (2) by inserting after paragraph (9) the following:
            ``(10) `foreign commercial driver' means an individual licensed
        to operate a commercial motor vehicle by an authority outside the
        United States, or a citizen of a foreign country who operates a
        commercial motor vehicle in the United States.''.
        (b) State Reporting of Convictions.--Section 31311(a) is amended by
    adding after paragraph (21) the following:
            ``(22) The State shall report a conviction of a foreign
        commercial driver by that State to the Federal Convictions and
        Withdrawal Database, or another information system designated by
        the Secretary to record the convictions. A report shall include--
                ``(A) for a driver holding a foreign commercial driver's
            license--
                    ``(i) each conviction relating to the operation of a
                commercial motor vehicle; and
                    ``(ii) each conviction relating to the operation of a
                non-commercial motor vehicle; and
                ``(B) for an unlicensed driver or a driver holding a
            foreign non-commercial driver's license, each conviction
            relating to the operation of a commercial motor vehicle.''.
    SEC. 32204. AUTHORITY TO DISQUALIFY FOREIGN COMMERCIAL DRIVERS.
        Section 31310 is amended by adding at the end the following:
        ``(k) Foreign Commercial Drivers.--A foreign commercial driver
    shall be subject to disqualification under this section.''.
    SEC. 32205. REVOCATION OF FOREIGN MOTOR CARRIER OPERATING AUTHORITY FOR
    FAILURE TO PAY CIVIL PENALTIES.
        Section 13905(d)(2), as amended by section 32103(a) of this Act, is
    amended by inserting ``foreign motor carrier, foreign motor private
    carrier,'' after ``registration of a motor carrier,'' each place it
    appears.
    SEC. 32206. RENTAL TRUCK ACCIDENT STUDY.
        (a) Definitions.--In this section:
            (1) Rental truck.--The term ``rental truck'' means a motor
        vehicle with a gross vehicle weight rating of between 10,000 and
        26,000 pounds that is made available for rental by a rental truck
        company.
            (2) Rental truck company.--The term ``rental truck company''
        means a person or company that is in the business of renting or
        leasing rental trucks to the public or for private use.
        (b) Study.--
            (1) In general.--The Secretary shall conduct a study of the
        safety of rental trucks during the 7-year period ending on December
        31, 2011.
            (2) Requirements.--The study conducted under paragraph (1)
        shall--
                (A) evaluate available data on the number of crashes,
            fatalities, and injuries involving rental trucks and the cause
            of such crashes, utilizing police accident reports and other
            sources;
                (B) estimate the property damage and costs resulting from a
            subset of crashes involving rental truck operations, which the
            Secretary believes adequately reflect all crashes involving
            rental trucks;
                (C) analyze State and local laws regulating rental truck
            companies, including safety and inspection requirements;
                (D) assess the rental truck maintenance programs of a
            selection of small, medium, and large rental truck companies,
            as selected by the Secretary, including the frequency of rental
            truck maintenance inspections, and compare such programs with
            inspection requirements for passenger vehicles and commercial
            motor vehicles;
                (E) include any other information available regarding the
            safety of rental trucks; and
                (F) review any other information that the Secretary
            determines to be appropriate.
        (c) Report.--Not later than 1 year after the date of enactment of
    this Act, the Secretary shall submit a report to the Committee on
    Commerce, Science, and Transportation of the Senate and the Committee
    on Transportation and Infrastructure of the House of Representatives
    that contains--
            (1) the findings of the study conducted pursuant to subsection
        (b); and
            (2) any recommendations for legislation that the Secretary
        determines to be appropriate.

                           Subtitle C--Driver Safety

    SEC. 32301. HOURS OF SERVICE STUDY AND ELECTRONIC LOGGING DEVICES.
        (a) Hours of Service Study.--
            (1) Field study.--
                (A) In general.--Not later than March 31, 2013, the
            Secretary shall complete a field study on the efficacy of the
            restart rule published on December 27, 2011 (in this section
            referred to as the ``2011 restart rule''), applicable to
            operators of commercial motor vehicles of property subject to
            maximum driving time requirements of the Secretary.
                (B) Requirement.--The field study shall expand upon the
            results of the laboratory-based study relating to commercial
            motor vehicle driver fatigue sponsored by the Federal Motor
            Carrier Safety Administration presented in the report of
            December 2010 titled ``Investigation into Motor Carrier
            Practices to Achieve Optimal Commercial Motor Vehicle Driver
            Performance: Phase I''.
                (C) Criteria.--In conducting the field study, the Secretary
            shall ensure that--
                    (i) the methodology for the field study is consistent,
                to the maximum extent possible, with the laboratory-based
                study methodology;
                    (ii) the data collected is representative of the
                drivers and motor carriers regulated by the hours of
                service regulations, including those drivers and carriers
                affected by the maximum driving time requirements;
                    (iii) the analysis is statistically valid; and
                    (iv) the field study follows the plan for the
                ``Scheduling and Fatigue Recovery Project'' developed by
                the Federal Motor Carrier Safety Administration.
                (D) Report to congress.--Not later than September 30, 2013,
            the Secretary shall submit to the Committee on Transportation
            and Infrastructure of the House of Representatives and the
            Committee on Commerce, Science, and Transportation of the
            Senate a report detailing the results of the field study.
        (b) General Authority.--Section 31137 is amended--
            (1) by amending the section heading to read as follows:
    ``Sec. 31137. Electronic logging devices and brake maintenance
         regulations'';
            (2) by redesignating subsection (b) as subsection (g); and
            (3) by amending (a) to read as follows:
        ``(a) Use of Electronic Logging Devices.--Not later than 1 year
    after the date of enactment of the Commercial Motor Vehicle Safety
    Enhancement Act of 2012, the Secretary of Transportation shall
    prescribe regulations--
            ``(1) requiring a commercial motor vehicle involved in
        interstate commerce and operated by a driver subject to the hours
        of service and the record of duty status requirements under part
        395 of title 49, Code of Federal Regulations, be equipped with an
        electronic logging device to improve compliance by an operator of a
        vehicle with hours of service regulations prescribed by the
        Secretary; and
            ``(2) ensuring that an electronic logging device is not used to
        harass a vehicle operator.
        ``(b) Electronic Logging Device Requirements.--
            ``(1) In general.--The regulations prescribed under subsection
        (a) shall--
                ``(A) require an electronic logging device--
                    ``(i) to accurately record commercial driver hours of
                service;
                    ``(ii) to record the location of a commercial motor
                vehicle;
                    ``(iii) to be tamper resistant; and
                    ``(iv) to be synchronized to the operation of the
                vehicle engine or be capable of recognizing when the
                vehicle is being operated;
                ``(B) allow law enforcement to access the data contained in
            the device during a roadside inspection; and
                ``(C) apply to a commercial motor vehicle beginning on the
            date that is 2 years after the date that the regulations are
            published as a final rule.
            ``(2) Performance and design standards.--The regulations
        prescribed under subsection (a) shall establish performance
        standards--
                ``(A) defining a standardized user interface to aid vehicle
            operator compliance and law enforcement review;
                ``(B) establishing a secure process for standardized--
                    ``(i) and unique vehicle operator identification;
                    ``(ii) data access;
                    ``(iii) data transfer for vehicle operators between
                motor vehicles;
                    ``(iv) data storage for a motor carrier; and
                    ``(v) data transfer and transportability for law
                enforcement officials;
                ``(C) establishing a standard security level for an
            electronic logging device and related components to be tamper
            resistant by using a methodology endorsed by a nationally
            recognized standards organization; and
                ``(D) identifying each driver subject to the hours of
            service and record of duty status requirements under part 395
            of title 49, Code of Federal Regulations.
        ``(c) Certification Criteria.--
            ``(1) In general.--The regulations prescribed by the Secretary
        under this section shall establish the criteria and a process for
        the certification of electronic logging devices to ensure that the
        device meets the performance requirements under this section.
            ``(2) Effect of noncertification.--Electronic logging devices
        that are not certified in accordance with the certification process
        referred to in paragraph (1) shall not be acceptable evidence of
        hours of service and record of duty status requirements under part
        395 of title 49, Code of Federal Regulations.
        ``(d) Additional Considerations.--The Secretary, in prescribing the
    regulations described in subsection (a), shall consider how such
    regulations may--
            ``(1) reduce or eliminate requirements for drivers and motor
        carriers to retain supporting documentation associated with paper-
        based records of duty status if--
                ``(A) data contained in an electronic logging device
            supplants such documentation; and
                ``(B) using such data without paper-based records does not
            diminish the Secretary's ability to audit and review compliance
            with the Secretary's hours of service regulations; and
            ``(2) include such measures as the Secretary determines are
        necessary to protect the privacy of each individual whose personal
        data is contained in an electronic logging device.
        ``(e) Use of Data.--
            ``(1) In general.--The Secretary may utilize information
        contained in an electronic logging device only to enforce the
        Secretary's motor carrier safety and related regulations, including
        record-of-duty status regulations.
            ``(2) Measures to preserve confidentiality of personal data.--
        The Secretary shall institute appropriate measures to preserve the
        confidentiality of any personal data contained in an electronic
        logging device and disclosed in the course of an action taken by
        the Secretary or by law enforcement officials to enforce the
        regulations referred to in paragraph (1).
            ``(3) Enforcement.--The Secretary shall institute appropriate
        measures to ensure any information collected by electronic logging
        devices is used by enforcement personnel only for the purpose of
        determining compliance with hours of service requirements.
        ``(f) Definitions.--In this section:
            ``(1) Electronic logging device.--The term `electronic logging
        device' means an electronic device that--
                ``(A) is capable of recording a driver's hours of service
            and duty status accurately and automatically; and
                ``(B) meets the requirements established by the Secretary
            through regulation.
            ``(2) Tamper resistant.--The term `tamper resistant' means
        resistant to allowing any individual to cause an electronic device
        to record the incorrect date, time, and location for changes to on-
        duty driving status of a commercial motor vehicle operator under
        part 395 of title 49, Code of Federal Regulations, or to
        subsequently alter the record created by that device.''.
        (c) Civil Penalties.--Section 30165(a)(1) is amended by striking
    ``or 30141 through 30147'' and inserting ``30141 through 30147, or
    31137''.
        (d) Conforming Amendment.--The analysis for chapter 311 is amended
    by striking the item relating to section 31137 and inserting the
    following:

    ``31137. Electronic logging devices and brake maintenance
              regulations.''.
    SEC. 32302. DRIVER MEDICAL QUALIFICATIONS.
        (a) Deadline for Establishment of National Registry of Medical
    Examiners.--Not later than 1 year after the date of enactment of this
    Act, the Secretary shall establish a national registry of medical
    examiners in accordance with section 31149(d)(1) of title 49, United
    States Code.
        (b) Examination Requirement for National Registry of Medical
    Examiners.--Section 31149(c)(1)(D) is amended to read as follows:
                ``(D) not later than 1 year after enactment of the
            Commercial Motor Vehicle Safety Enhancement Act of 2012,
            develop requirements for a medical examiner to be listed in the
            national registry under this section, including--
                    ``(i) the completion of specific courses and materials;
                    ``(ii) certification, including, at a minimum, self-
                certification, if the Secretary determines that self-
                certification is necessary for sufficient participation in
                the national registry, to verify that a medical examiner
                completed specific training, including refresher courses,
                that the Secretary determines necessary to be listed in the
                national registry;
                    ``(iii) an examination that requires a passing grade;
                and
                    ``(iv) demonstration of a medical examiner's
                willingness to meet the reporting requirements established
                by the Secretary;''.
        (c) Additional Oversight of Licensing Authorities.--
            (1) In general.--Section 31149(c)(1) is amended--
                (A) by amending subparagraph (E) to read as follows:
                ``(E) require medical examiners to transmit electronically,
            on a monthly basis, the name of the applicant, a numerical
            identifier, and additional information contained on the medical
            examiner's certificate for any completed medical examination
            report required under section 391.43 of title 49, Code of
            Federal Regulations, to the chief medical examiner;'';
                (B) in subparagraph (F), by striking the period at the end
            and inserting ``; and''; and
                (C) by adding at the end the following:
                ``(G) annually review the implementation of commercial
            driver's license requirements by not fewer than 10 States to
            assess the accuracy, validity, and timeliness of--
                    ``(i) the submission of physical examination reports
                and medical certificates to State licensing agencies; and
                    ``(ii) the processing of the submissions by State
                licensing agencies.''.
            (2) Internal oversight policy.--
                (A) In general.--Not later than 2 years after the date of
            enactment of this Act, the Secretary shall establish an
            oversight policy and procedure to carry out section
            31149(c)(1)(G) of title 49, United States Code, as added by
            section 32302(c)(1) of this Act.
                (B) Effective date.--The amendments made by section
            32303(c)(1) of this Act shall take effect on the date the
            oversight policies and procedures are established pursuant to
            subparagraph (A).
        (d) Electronic Filing of Medical Examination Certificates.--Section
    31311(a), as amended by sections 32203(b) and 32305(b) of this Act, is
    amended by adding at the end the following:
            ``(25) Not later than 5 years after the date of enactment of
        the Commercial Motor Vehicle Safety Enhancement Act of 2012, the
        State shall establish and maintain, as part of its driver
        information system, the capability to receive an electronic copy of
        a medical examiner's certificate, from a certified medical
        examiner, for each holder of a commercial driver's license issued
        by the State who operates or intends to operate in interstate
        commerce.''.
        (e) Funding.--The Secretary is authorized to utilize funds provided
    under section 4101(c)(1) of SAFETEA-LU (119 Stat. 1715) to support
    development of costs of the information technology needed to carry out
    section 31311(a)(25) of title 49, United States Code.
    SEC. 32303. COMMERCIAL DRIVER'S LICENSE NOTIFICATION SYSTEM.
        (a) In General.--Section 31304 is amended--
            (1) by striking ``An employer'' and inserting the following:
        ``(a) In General.--An employer''; and
            (2) by adding at the end the following:
        ``(b) Driver Violation Records.--
            ``(1) Periodic review.--Except as provided in paragraph (3), an
        employer shall ascertain the driving record of each driver it
        employs--
                ``(A) by making an inquiry at least once every 12 months to
            the appropriate State agency in which the driver held or holds
            a commercial driver's license or permit during such time
            period;
                ``(B) by receiving occurrence-based reports of changes in
            the status of a driver's record from 1 or more driver record
            notification systems that meet minimum standards issued by the
            Secretary; or
                ``(C) by a combination of inquiries to States and reports
            from driver record notification systems.
            ``(2) Record keeping.--A copy of the reports received under
        paragraph (1) shall be maintained in the driver's qualification
        file.
            ``(3) Exceptions to record review requirement.--Paragraph (1)
        shall not apply to a driver employed by an employer who, in any 7-
        day period, is employed or used as a driver by more than 1
        employer--
                ``(A) if the employer obtains the driver's identification
            number, type, and issuing State of the driver's commercial
            motor vehicle license; or
                ``(B) if the information described in subparagraph (A) is
            furnished by another employer and the employer that regularly
            employs the driver meets the other requirements under this
            section.
            ``(4) Driver record notification system defined.--In this
        section, the term `driver record notification system' means a
        system that automatically furnishes an employer with a report,
        generated by the appropriate agency of a State, on the change in
        the status of an employee's driver's license due to a conviction
        for a moving violation, a failure to appear, an accident, driver's
        license suspension, driver's license revocation, or any other
        action taken against the driving privilege.''.
        (b) Standards for Driver Record Notification Systems.--Not later
    than 1 year after the date of enactment of this Act, the Secretary
    shall issue minimum standards for driver notification systems,
    including standards for the accuracy, consistency, and completeness of
    the information provided.
        (c) Plan for National Notification System.--
            (1) Development.--Not later than 2 years after the date of
        enactment of this Act, the Secretary shall develop recommendations
        and a plan for the development and implementation of a national
        driver record notification system, including--
                (A) an assessment of the merits of achieving a national
            system by expanding the Commercial Driver's License Information
            System; and
                (B) an estimate of the fees that an employer will be
            charged to offset the operating costs of the national system.
            (2) Submission to congress.--Not later than 90 days after the
        recommendations and plan are developed under paragraph (1), the
        Secretary shall submit a report on the recommendations and plan to
        the Committee on Commerce, Science, and Transportation of the
        Senate and the Committee on Transportation and Infrastructure of
        the House of Representatives.
    SEC. 32304. COMMERCIAL MOTOR VEHICLE OPERATOR TRAINING.
        (a) In General.--Section 31305 is amended by adding at the end the
    following:
        ``(c) Standards for Training.--Not later than 1 year after the date
    of enactment of the Commercial Motor Vehicle Safety Enhancement Act of
    2012, the Secretary shall issue final regulations establishing minimum
    entry-level training requirements for an individual operating a
    commercial motor vehicle--
            ``(1) addressing the knowledge and skills that--
                ``(A) are necessary for an individual operating a
            commercial motor vehicle to safely operate a commercial motor
            vehicle; and
                ``(B) must be acquired before obtaining a commercial
            driver's license for the first time or upgrading from one class
            of commercial driver's license to another class;
            ``(2) addressing the specific training needs of a commercial
        motor vehicle operator seeking passenger or hazardous materials
        endorsements;
            ``(3) requiring effective instruction to acquire the knowledge,
        skills, and training referred to in paragraphs (1) and (2),
        including classroom and behind-the-wheel instruction;
            ``(4) requiring certification that an individual operating a
        commercial motor vehicle meets the requirements established by the
        Secretary; and
            ``(5) requiring a training provider (including a public or
        private driving school, motor carrier, or owner or operator of a
        commercial motor vehicle) that offers training that results in the
        issuance of a certification to an individual under paragraph (4) to
        demonstrate that the training meets the requirements of the
        regulations, through a process established by the Secretary.''.
        (b) Commercial Driver's License Uniform Standards.--Section
    31308(1) is amended to read as follows:
            ``(1) an individual issued a commercial driver's license--
                ``(A) pass written and driving tests for the operation of a
            commercial motor vehicle that comply with the minimum standards
            prescribed by the Secretary under section 31305(a); and
                ``(B) present certification of completion of driver
            training that meets the requirements established by the
            Secretary under section 31305(c);''.
        (c) Conforming Amendment.--The section heading for section 31305 is
    amended to read as follows:
    ``Sec. 31305. General driver fitness, testing, and training''.
        (d) Conforming Amendment.--The analysis for chapter 313 is amended
    by striking the item relating to section 31305 and inserting the
    following:

    ``31305. General driver fitness, testing, and training.''.
    SEC. 32305. COMMERCIAL DRIVER'S LICENSE PROGRAM.
        (a) In General.--Section 31309 is amended--
            (1) in subsection (e)(4), by amending subparagraph (A) to read
        as follows:
                ``(A) In general.--The plan shall specify--
                    ``(i) a date by which all States shall be operating
                commercial driver's license information systems that are
                compatible with the modernized information system under
                this section; and
                    ``(ii) that States must use the systems to receive and
                submit conviction and disqualification data.''; and
            (2) in subsection (f), by striking ``use'' and inserting ``use,
        subject to section 31313(a),''.
        (b) Requirements for State Participation.--Section 31311 is
    amended--
            (1) in subsection (a), as amended by section 32203(b) of this
        Act--
                (A) in paragraph (5), by striking ``At least'' and all that
            follows through ``regulation),'' and inserting: ``Not later
            than the time period prescribed by the Secretary by
            regulation,''; and
                (B) by adding at the end the following:
            ``(23) Not later than 1 year after the date of enactment of the
        Commercial Motor Vehicle Safety Enhancement Act of 2012, the State
        shall implement a system and practices for the exclusive electronic
        exchange of driver history record information on the system the
        Secretary maintains under section 31309, including the posting of
        convictions, withdrawals, and disqualifications.
            ``(24) Before renewing or issuing a commercial driver's license
        to an individual, the State shall request information pertaining to
        the individual from the drug and alcohol clearinghouse maintained
        under section 31306a.''; and
            (2) by adding at the end the following:
        ``(d) State Commercial Driver's License Program Plan.--
            ``(1) In general.--A State shall submit a plan to the Secretary
        for complying with the requirements under this section during the
        period beginning on the date the plan is submitted and ending on
        September 30, 2016.
            ``(2) Contents.--A plan submitted by a State under paragraph
        (1) shall identify--
                ``(A) the actions that the State will take to address any
            deficiencies in the State's commercial driver's license
            program, as identified by the Secretary in the most recent
            audit of the program; and
                ``(B) other actions that the State will take to comply with
            the requirements under subsection (a).
            ``(3) Priority.--
                ``(A) Implementation schedule.--A plan submitted by a State
            under paragraph (1) shall include a schedule for the
            implementation of the actions identified under paragraph (2).
            In establishing the schedule, the State shall prioritize
            actions to address any deficiencies highlighted by the
            Secretary as critical in the most recent audit of the program.
                ``(B) Deadline for compliance with requirements.--A plan
            submitted by a State under paragraph (1) shall include
            assurances that the State will take the necessary actions to
            comply with the requirements of subsection (a) not later than
            September 30, 2015.
            ``(4) Approval and disapproval.--The Secretary shall--
                ``(A) review each plan submitted under paragraph (1);
                ``(B)(i) approve a plan if the Secretary determines that
            the plan meets the requirements under this subsection and
            promotes the goals of this chapter; and
                ``(ii) disapprove a plan that the Secretary determines does
            not meet the requirements or does not promote the goals.
            ``(5) Modification of disapproved plans.--If the Secretary
        disapproves a plan under paragraph (4), the Secretary shall--
                ``(A) provide a written explanation of the disapproval to
            the State; and
                ``(B) allow the State to modify the plan and resubmit it
            for approval.
            ``(6) Plan updates.--The Secretary may require a State to
        review and update a plan, as appropriate.
        ``(e) Annual Comparison of State Levels of Compliance.--The
    Secretary shall annually--
            ``(1) compare the relative levels of compliance by States with
        the requirements under subsection (a); and
            ``(2) make the results of the comparison available to the
        public.''.
    SEC. 32306. COMMERCIAL MOTOR VEHICLE DRIVER INFORMATION SYSTEMS.
        Section 31106(c) is amended--
            (1) by striking the heading and inserting ``(1) In General.'';
            (2) by redesignating paragraphs (1) through (4) as
        subparagraphs (A) through (D); and
            (3) by adding at the end the following:
            ``(2) Access to records.--The Secretary may require a State, as
        a condition of an award of grant money under this section, to
        provide the Secretary access to all State licensing status and
        driver history records via an electronic information system,
        subject to section 2721 of title 18.''.
    SEC. 32307. EMPLOYER RESPONSIBILITIES.
        Section 31304, as amended by section 32303 of this Act, is amended
    in subsection (a)--
            (1) by striking ``knowingly''; and
            (2) by striking ``in which'' and inserting ``that the employer
        knows or should reasonably know that''.
    SEC. 32308. PROGRAM TO ASSIST VETERANS TO ACQUIRE COMMERCIAL DRIVER'S
    LICENSES.
        (a) Study.--
            (1) In general.--Not later than 90 days after the date of
        enactment of this Act, the Secretary, in coordination with the
        Secretary of Defense, and in consultation with the States and other
        relevant stakeholders, shall commence a study to assess Federal and
        State regulatory, economic, and administrative challenges faced by
        members and former members of the Armed Forces, who received safety
        training and operated qualifying motor vehicles during their
        service, in obtaining commercial driver's licenses (as defined in
        section 31301(3) of title 49, United States Code).
            (2) Requirements.--The study under this subsection shall--
                (A) identify written and behind-the-wheel safety training,
            qualification standards, knowledge and skills tests, or other
            operating experience members of the Armed Forces must meet that
            satisfy the minimum standards prescribed by the Secretary of
            Transportation for the operation of commercial motor vehicles
            under section 31305 of title 49, United States Code;
                (B) compare the alcohol and controlled substances testing
            requirements for members of the Armed Forces with those
            required for holders of a commercial driver's license;
                (C) evaluate the cause of delays in reviewing applications
            for commercial driver's licenses of members and former members
            of the Armed Forces;
                (D) identify duplicative application costs;
                (E) identify residency, domicile, training and testing
            requirements, and other safety or health assessments that
            affect or delay the issuance of commercial driver's licenses to
            members and former members of the Armed Forces; and
                (F) include other factors that the Secretary determines to
            be appropriate to meet the requirements of the study.
        (b) Report.--
            (1) In general.--Not later than 180 days after the commencement
        of the study under subsection (a), the Secretary shall submit a
        report to the Committee on Commerce, Science, and Transportation of
        the Senate and the Committee on Financial Services of the House of
        Representatives that contains the findings and recommendations from
        the study.
            (2) Elements.--The report under paragraph (1) shall include--
                (A) findings related to the study requirements under
            subsection (a)(2);
                (B) recommendations for the Federal and State legislative,
            regulatory, and administrative actions necessary to address
            challenges identified in subparagraph (A); and
                (C) a plan to implement the recommendations for which the
            Secretary has authority.
        (c) Implementation.--Not later than 1 year after the date of
    enactment of this Act, the Secretary, in consultation with the
    Secretary of Defense and in cooperation with the States, shall
    implement the recommendations identified in subsection (b) and
    establish accelerated licensing procedures to assist veterans to
    acquire commercial driver's licenses.
        (d) Accelerated Licensing Procedures.--The procedures established
    under subsection (a) shall be designed to be applicable to any veteran
    who--
            (1) is attempting to acquire a commercial driver's license; and
            (2) obtained, during military service, documented driving
        experience that, in the determination of the Secretary, makes the
        use of accelerated licensing procedures appropriate.
        (e) Definitions.--In this section:
            (1) Commercial driver's license.--The term ``commercial
        driver's license'' has the meaning given that term in section 31301
        of title 49, United States Code.
            (2) State.--The term ``State'' has the meaning given that term
        in section 31301 of title 49, United States Code.
            (3) Veteran.--The term ``veteran'' has the meaning given that
        term in section 101 of title 38, United States Code.

                       Subtitle D--Safe Roads Act of 2012

    SEC. 32401. SHORT TITLE.
        This subtitle may be cited as the ``Safe Roads Act of 2012''.
    SEC. 32402. NATIONAL CLEARINGHOUSE FOR CONTROLLED SUBSTANCE AND ALCOHOL
    TEST RESULTS OF COMMERCIAL MOTOR VEHICLE OPERATORS.
        (a) In General.--Chapter 313 is amended--
            (1) in section 31306(a), by inserting ``and section 31306a''
        after ``this section''; and
            (2) by inserting after section 31306 the following:
    ``Sec. 31306a. National clearinghouse for controlled substance and
          alcohol test results of commercial motor vehicle operators
        ``(a) Establishment.--
            ``(1) In general.--Not later than 2 years after the date of
        enactment of the Safe Roads Act of 2012, the Secretary of
        Transportation shall establish, operate, and maintain a national
        clearinghouse for records relating to alcohol and controlled
        substances testing of commercial motor vehicle operators.
            ``(2) Purposes.--The purposes of the clearinghouse shall be--
                ``(A) to improve compliance with the Department of
            Transportation's alcohol and controlled substances testing
            program applicable to commercial motor vehicle operators; and
                ``(B) to enhance the safety of our United States roadways
            by reducing accident and injuries involving the misuse of
            alcohol or use of controlled substances by operators of
            commercial motor vehicles.
            ``(3) Contents.--The clearinghouse shall function as a
        repository for records relating to the positive test results and
        test refusals of commercial motor vehicle operators and violations
        by such operators of prohibitions set forth in subpart B of part
        382 of title 49, Code of Federal Regulations (or any subsequent
        corresponding regulations).
            ``(4) Electronic exchange of records.--The Secretary shall
        ensure that records can be electronically submitted to, and
        requested from, the clearinghouse by authorized users.
            ``(5) Authorized operator.--The Secretary may authorize a
        qualified private entity to operate and maintain the clearinghouse
        and to collect fees on behalf of the Secretary under subsection
        (e). The entity shall operate and maintain the clearinghouse and
        permit access to driver information and records from the
        clearinghouse in accordance with this section.
        ``(b) Design of Clearinghouse.--
            ``(1) Use of federal motor carrier safety administration
        recommendations.--In establishing the clearinghouse, the Secretary
        shall consider--
                ``(A) the findings and recommendations contained in the
            Federal Motor Carrier Safety Administration's March 2004 report
            to Congress required under section 226 of the Motor Carrier
            Safety Improvement Act of 1999 (49 U.S.C. 31306 note); and
                ``(B) the findings and recommendations contained in the
            Government Accountability Office's May 2008 report to Congress
            entitled `Motor Carrier Safety: Improvements to Drug Testing
            Programs Could Better Identify Illegal Drug Users and Keep Them
            off the Road.'.
            ``(2) Development of secure processes.--In establishing the
        clearinghouse, the Secretary shall develop a secure process for--
                ``(A) administering and managing the clearinghouse in
            compliance with applicable Federal security standards;
                ``(B) registering and authenticating authorized users of
            the clearinghouse;
                ``(C) registering and authenticating persons required to
            report to the clearinghouse under subsection (g);
                ``(D) preventing the unauthorized access of information
            from the clearinghouse;
                ``(E) storing and transmitting data;
                ``(F) persons required to report to the clearinghouse under
            subsection (g) to timely and accurately submit electronic data
            to the clearinghouse;
                ``(G) generating timely and accurate reports from the
            clearinghouse in response to requests for information by
            authorized users; and
                ``(H) updating an individual's record upon completion of
            the return-to-duty process described in title 49, Code of
            Federal Regulations.
            ``(3) Employer alert of positive test result.--In establishing
        the clearinghouse, the Secretary shall develop a secure method for
        electronically notifying an employer of each additional positive
        test result or other noncompliance--
                ``(A) for an employee, that is entered into the
            clearinghouse during the 7-day period immediately following an
            employer's inquiry about the employee; and
                ``(B) for an employee who is listed as having multiple
            employers.
            ``(4) Archive capability.--In establishing the clearinghouse,
        the Secretary shall develop a process for archiving all
        clearinghouse records for the purposes of auditing and evaluating
        the timeliness, accuracy, and completeness of data in the
        clearinghouse.
            ``(5) Future needs.--
                ``(A) Interoperability with other data systems.--In
            establishing the clearinghouse, the Secretary shall consider--
                    ``(i) the existing data systems containing regulatory
                and safety data for commercial motor vehicle operators;
                    ``(ii) the efficacy of using or combining clearinghouse
                data with 1 or more of such systems; and
                    ``(iii) the potential interoperability of the
                clearinghouse with such systems.
                ``(B) Specific considerations.--In carrying out
            subparagraph (A), the Secretary shall determine--
                    ``(i) the clearinghouse's capability for
                interoperability with--

                        ``(I) the National Driver Register established
                    under section 30302;
                        ``(II) the Commercial Driver's License Information
                    System established under section 31309;
                        ``(III) the Motor Carrier Management Information
                    System for preemployment screening services under
                    section 31150; and
                        ``(IV) other data systems, as appropriate; and

                    ``(ii) any change to the administration of the current
                testing program, such as forms, that is necessary to
                collect data for the clearinghouse.
        ``(c) Standard Formats.--The Secretary shall develop standard
    formats to be used--
            ``(1) by an authorized user of the clearinghouse to--
                ``(A) request a record from the clearinghouse; and
                ``(B) obtain the consent of an individual who is the
            subject of a request from the clearinghouse, if applicable; and
            ``(2) to notify an individual that a positive alcohol or
        controlled substances test result, refusing to test, and a
        violation of any of the prohibitions under subpart B of part 382 of
        title 49, Code of Federal Regulations (or any subsequent
        corresponding regulations), will be reported to the clearinghouse.
        ``(d) Privacy.--A release of information from the clearinghouse
    shall--
            ``(1) comply with applicable Federal privacy laws, including
        the fair information practices under the Privacy Act of 1974 (5
        U.S.C. 552a);
            ``(2) comply with applicable sections of the Fair Credit
        Reporting Act (15 U.S.C. 1681 et seq.); and
            ``(3) not be made to any person or entity unless expressly
        authorized or required by law.
        ``(e) Fees.--
            ``(1) Authority to collect fees.--Except as provided under
        paragraph (3), the Secretary may collect a reasonable, customary,
        and nominal fee from an authorized user of the clearinghouse for a
        request for information from the clearinghouse.
            ``(2) Use of fees.--Fees collected under this subsection shall
        be used for the operation and maintenance of the clearinghouse.
            ``(3) Limitation.--The Secretary may not collect a fee from an
        individual requesting information from the clearinghouse that
        pertains to the record of that individual.
        ``(f) Employer Requirements.--
            ``(1) Determination concerning use of clearinghouse.--The
        Secretary shall determine if an employer is authorized to use the
        clearinghouse to meet the alcohol and controlled substances testing
        requirements under title 49, Code of Federal Regulations.
            ``(2) Applicability of existing requirements.--Each employer
        and service agent shall continue to comply with the alcohol and
        controlled substances testing requirements under title 49, Code of
        Federal Regulations.
            ``(3) Employment prohibitions.--After the clearinghouse is
        established under subsection (a), at a date determined to be
        appropriate by the Secretary and published in the Federal Register,
        an employer shall utilize the clearinghouse to determine whether
        any employment prohibitions exist and shall not hire an individual
        to operate a commercial motor vehicle unless the employer
        determines that the individual, during the preceding 3-year
        period--
                ``(A) if tested for the use of alcohol and controlled
            substances, as required under title 49, Code of Federal
            Regulations--
                    ``(i) did not test positive for the use of alcohol or
                controlled substances in violation of the regulations; or
                    ``(ii) tested positive for the use of alcohol or
                controlled substances and completed the required return-to-
                duty process under title 49, Code of Federal Regulations;
                ``(B)(i) did not refuse to take an alcohol or controlled
            substance test under title 49, Code of Federal Regulations; or
                ``(ii) refused to take an alcohol or controlled substance
            test and completed the required return-to-duty process under
            title 49, Code of Federal Regulations; and
                ``(C) did not violate any other provision of subpart B of
            part 382 of title 49, Code of Federal Regulations (or any
            subsequent corresponding regulations).
            ``(4) Annual review.--After the clearinghouse is established
        under subsection (a), at a date determined to be appropriate by the
        Secretary and published in the Federal Register, an employer shall
        request and review a commercial motor vehicle operator's record
        from the clearinghouse annually for as long as the commercial motor
        vehicle operator is under the employ of the employer.
        ``(g) Reporting of Records.--
            ``(1) In general.--Beginning 30 days after the date that the
        clearinghouse is established under subsection (a), a medical review
        officer, employer, service agent, and other appropriate person, as
        determined by the Secretary, shall promptly submit to the Secretary
        any record generated after the clearinghouse is initiated of an
        individual who--
                ``(A) refuses to take an alcohol or controlled substances
            test required under title 49, Code of Federal Regulations;
                ``(B) tests positive for alcohol or a controlled substance
            in violation of the regulations; or
                ``(C) violates any other provision of subpart B of part 382
            of title 49, Code of Federal Regulations (or any subsequent
            corresponding regulations).
            ``(2) Inclusion of records in clearinghouse.--The Secretary
        shall include in the clearinghouse the records of positive test
        results and test refusals received under paragraph (1).
            ``(3) Modifications and deletions.--If the Secretary determines
        that a record contained in the clearinghouse is not accurate, the
        Secretary shall modify or delete the record, as appropriate.
            ``(4) Notification.--The Secretary shall expeditiously notify
        an individual, unless such notification would be duplicative,
        when--
                ``(A) a record relating to the individual is received by
            the clearinghouse;
                ``(B) a record in the clearinghouse relating to the
            individual is modified or deleted, and include in the
            notification the reason for the modification or deletion; or
                ``(C) a record in the clearinghouse relating to the
            individual is released to an employer and specify the reason
            for the release.
            ``(5) Data quality and security standards for reporting and
        releasing.--The Secretary may establish additional requirements, as
        appropriate, to ensure that--
                ``(A) the submission of records to the clearinghouse is
            timely and accurate;
                ``(B) the release of data from the clearinghouse is timely,
            accurate, and released to the appropriate authorized user under
            this section; and
                ``(C) an individual with a record in the clearinghouse has
            a cause of action for any inappropriate use of information
            included in the clearinghouse.
            ``(6) Retention of records.--The Secretary shall--
                ``(A) retain a record submitted to the clearinghouse for a
            5-year period beginning on the date the record is submitted;
                ``(B) remove the record from the clearinghouse at the end
            of the 5-year period, unless the individual fails to meet a
            return-to-duty or follow-up requirement under title 49, Code of
            Federal Regulations; and
                ``(C) retain a record after the end of the 5-year period in
            a separate location for archiving and auditing purposes.
        ``(h) Authorized Users.--
            ``(1) Employers.--The Secretary shall establish a process for
        an employer, or an employer's designated agent, to request and
        receive an individual's record from the clearinghouse.
                ``(A) Consent.--An employer may not access an individual's
            record from the clearinghouse unless the employer--
                    ``(i) obtains the prior written or electronic consent
                of the individual for access to the record; and
                    ``(ii) submits proof of the individual's consent to the
                Secretary.
                ``(B) Access to records.--After receiving a request from an
            employer for an individual's record under subparagraph (A), the
            Secretary shall grant access to the individual's record to the
            employer as expeditiously as practicable.
                ``(C) Retention of record requests.--The Secretary shall
            require an employer to retain for a 3-year period--
                    ``(i) a record of each request made by the employer for
                records from the clearinghouse; and
                    ``(ii) the information received pursuant to the
                request.
                ``(D) Use of records.--An employer may use an individual's
            record received from the clearinghouse only to assess and
            evaluate whether a prohibition applies with respect to the
            individual to operate a commercial motor vehicle for the
            employer.
                ``(E) Protection of privacy of individuals.--An employer
            that receives an individual's record from the clearinghouse
            under subparagraph (B) shall--
                    ``(i) protect the privacy of the individual and the
                confidentiality of the record; and
                    ``(ii) ensure that information contained in the record
                is not divulged to a person or entity that is not directly
                involved in assessing and evaluating whether a prohibition
                applies with respect to the individual to operate a
                commercial motor vehicle for the employer.
            ``(2) State licensing authorities.--The Secretary shall
        establish a process for the chief commercial driver's licensing
        official of a State to request and receive an individual's record
        from the clearinghouse if the individual is applying for a
        commercial driver's license from the State.
                ``(A) Consent.--The Secretary may grant access to an
            individual's record in the clearinghouse under this paragraph
            without the prior written or electronic consent of the
            individual. An individual who holds a commercial driver's
            license shall be deemed to consent to such access by obtaining
            a commercial driver's license.
                ``(B) Protection of privacy of individuals.--A chief
            commercial driver's licensing official of a State that receives
            an individual's record from the clearinghouse under this
            paragraph shall--
                    ``(i) protect the privacy of the individual and the
                confidentiality of the record; and
                    ``(ii) ensure that the information in the record is not
                divulged to any person that is not directly involved in
                assessing and evaluating the qualifications of the
                individual to operate a commercial motor vehicle.
        ``(i) National Transportation Safety Board.--The Secretary shall
    establish a process for the National Transportation Safety Board to
    request and receive an individual's record from the clearinghouse if
    the individual is involved in an accident that is under investigation
    by the National Transportation Safety Board.
        ``(j) Access to Clearinghouse by Individuals.--
            ``(1) In general.--The Secretary shall establish a process for
        an individual to request and receive information from the
        clearinghouse--
                ``(A) to determine whether the clearinghouse contains a
            record pertaining to the individual;
                ``(B) to verify the accuracy of a record;
                ``(C) to update an individual's record, including
            completing the return-to-duty process described in title 49,
            Code of Federal Regulations; and
                ``(D) to determine whether the clearinghouse received
            requests for the individual's information.
            ``(2) Dispute procedure.--The Secretary shall establish a
        procedure, including an appeal process, for an individual to
        dispute and remedy an administrative error in the individual's
        record.
        ``(k) Penalties.--
            ``(1) In general.--An employer, employee, medical review
        officer, or service agent who violates any provision of this
        section shall be subject to civil penalties under section
        521(b)(2)(C) and criminal penalties under section 521(b)(6)(B), and
        any other applicable civil and criminal penalties, as determined by
        the Secretary.
            ``(2) Violation of privacy.--The Secretary shall establish
        civil and criminal penalties, consistent with paragraph (1), for an
        authorized user who violates paragraph (1) or (2) of subsection
        (h).
        ``(l) Compatibility of State and Local Laws.--
            ``(1) Preemption.--Except as provided under paragraph (2), any
        law, regulation, order, or other requirement of a State, political
        subdivision of a State, or Indian tribe related to a commercial
        driver's license holder subject to alcohol or controlled substance
        testing under title 49, Code of Federal Regulations, that is
        inconsistent with this section or a regulation issued pursuant to
        this section is preempted.
            ``(2) Applicability.--The preemption under paragraph (1) shall
        include--
                ``(A) the reporting of valid positive results from alcohol
            screening tests and drug tests;
                ``(B) the refusal to provide a specimen for an alcohol
            screening test or drug test; and
                ``(C) other violations of subpart B of part 382 of title
            49, Code of Federal Regulations (or any subsequent
            corresponding regulations).
            ``(3) Exception.--A law, regulation, order, or other
        requirement of a State, political subdivision of a State, or Indian
        tribe shall not be preempted under this subsection to the extent it
        relates to an action taken with respect to a commercial motor
        vehicle operator's commercial driver's license or driving record as
        a result of the driver's--
                ``(A) verified positive alcohol or drug test result;
                ``(B) refusal to provide a specimen for the test; or
                ``(C) other violations of subpart B of part 382 of title
            49, Code of Federal Regulations (or any subsequent
            corresponding regulations).
        ``(m) Definitions.--In this section--
            ``(1) Authorized user.--The term `authorized user' means an
        employer, State licensing authority, or other person granted access
        to the clearinghouse under subsection (h).
            ``(2) Chief commercial driver's licensing official.--The term
        `chief commercial driver's licensing official' means the official
        in a State who is authorized to--
                ``(A) maintain a record about commercial driver's licenses
            issued by the State; and
                ``(B) take action on commercial driver's licenses issued by
            the State.
            ``(3) Clearinghouse.--The term `clearinghouse' means the
        clearinghouse established under subsection (a).
            ``(4) Commercial motor vehicle operator.--The term `commercial
        motor vehicle operator' means an individual who--
                ``(A) possesses a valid commercial driver's license issued
            in accordance with section 31308; and
                ``(B) is subject to controlled substances and alcohol
            testing under title 49, Code of Federal Regulations.
            ``(5) Employer.--The term `employer' means a person or entity
        employing, or seeking to employ, 1 or more employees (including an
        individual who is self-employed) to be commercial motor vehicle
        operators.
            ``(6) Medical review officer.--The term `medical review
        officer' means a licensed physician who is responsible for--
                ``(A) receiving and reviewing a laboratory result generated
            under the testing program;
                ``(B) evaluating a medical explanation for a controlled
            substances test under title 49, Code of Federal Regulations;
            and
                ``(C) interpreting the results of a controlled substances
            test.
            ``(7) Secretary.--The term `Secretary' means the Secretary of
        Transportation.
            ``(8) Service agent.--The term `service agent' means a person
        or entity, other than an employee of the employer, who provides
        services to employers or employees under the testing program.
            ``(9) Testing program.--The term `testing program' means the
        alcohol and controlled substances testing program required under
        title 49, Code of Federal Regulations.''.
        (b) Conforming Amendment.--The analysis for chapter 313 is amended
    by inserting after the item relating to section 31306 the following:

    ``31306a. National clearinghouse for positive controlled substance and
              alcohol test results of commercial motor vehicle operators.''.

                            Subtitle E--Enforcement

    SEC. 32501. INSPECTION DEMAND AND DISPLAY OF CREDENTIALS.
        (a) Safety Investigations.--Section 504(c) is amended--
            (1) by inserting ``, or an employee of the recipient of a grant
        issued under section 31102 of this title'' after ``a contractor'';
        and
            (2) by inserting ``, in person or in writing'' after ``proper
        credentials''.
        (b) Civil Penalty.--Section 521(b)(2)(E) is amended--
            (1) by redesignating subparagraph (E) as subparagraph (E)(i);
        and
            (2) by adding at the end the following:
                    ``(ii) Place out of service.--The Secretary may by
                regulation adopt procedures for placing out of service the
                commercial motor vehicle of a foreign-domiciled motor
                carrier that fails to promptly allow the Secretary to
                inspect and copy a record or inspect equipment, land,
                buildings, or other property.''.
        (c) Hazardous Materials Investigations.--Section 5121(c)(2) is
    amended by inserting ``, in person or in writing,'' after ``proper
    credentials''.
        (d) Commercial Investigations.--Section 14122(b) is amended by
    inserting ``, in person or in writing'' after ``proper credentials''.
    SEC. 32502. OUT OF SERVICE PENALTY FOR DENIAL OF ACCESS TO RECORDS.
        Section 521(b)(2)(E) is amended--
            (1) by inserting after ``$10,000.'' the following: ``In the
        case of a motor carrier, the Secretary may also place the
        violator's motor carrier operations out of service.''; and
            (2) by striking ``such penalty'' after ``It shall be a defense
        to'' and inserting ``a penalty''.
    SEC. 32503. PENALTIES FOR VIOLATION OF OPERATION OUT OF SERVICE ORDERS.
        Section 521(b)(2) is amended by adding at the end the following:
                ``(F) Penalty for violations relating to out of service
            orders.--A motor carrier or employer (as defined in section
            31132) that operates a commercial motor vehicle in commerce in
            violation of a prohibition on transportation under section
            31144(c) of this title or an imminent hazard out of service
            order issued under subsection (b)(5) of this section or section
            5121(d) of this title shall be liable for a civil penalty not
            to exceed $25,000.''.
    SEC. 32504. IMPOUNDMENT AND IMMOBILIZATION OF COMMERCIAL MOTOR VEHICLES
    FOR IMMINENT HAZARD.
        Section 521(b) is amended by adding at the end the following:
            ``(15) Impoundment of commercial motor vehicles.--
                ``(A) Enforcement of imminent hazard out-of-service
            orders.--
                    ``(i) The Secretary, or an authorized State official
                carrying out motor carrier safety enforcement activities
                under section 31102, may enforce an imminent hazard out-of-
                service order issued under chapters 5, 51, 131 through 149,
                311, 313, or 315 of this title, or a regulation promulgated
                thereunder, by towing and impounding a commercial motor
                vehicle until the order is rescinded.
                    ``(ii) Enforcement shall not unreasonably interfere
                with the ability of a shipper, carrier, broker, or other
                party to arrange for the alternative transportation of any
                cargo or passenger being transported at the time the
                commercial motor vehicle is immobilized. In the case of a
                commercial motor vehicle transporting passengers, the
                Secretary or authorized State official shall provide
                reasonable, temporary, and secure shelter and
                accommodations for passengers in transit.
                    ``(iii) The Secretary's designee or an authorized State
                official carrying out motor carrier safety enforcement
                activities under section 31102, shall immediately notify
                the owner of a commercial motor vehicle of the impoundment
                and the opportunity for review of the impoundment. A review
                shall be provided in accordance with section 554 of title
                5, except that the review shall occur not later than 10
                days after the impoundment.
                ``(B) Issuance of regulations.--The Secretary shall
            promulgate regulations on the use of impoundment or
            immobilization of commercial motor vehicles as a means of
            enforcing additional out-of-service orders issued under
            chapters 5, 51, 131 through 149, 311, 313, or 315 of this
            title, or a regulation promulgated thereunder. Regulations
            promulgated under this subparagraph shall include consideration
            of public safety, the protection of passengers and cargo,
            inconvenience to passengers, and the security of the commercial
            motor vehicle.
                ``(C) Definition.--In this paragraph, the term
            `impoundment' or `impounding' means the seizing and taking into
            custody of a commercial motor vehicle or the immobilizing of a
            commercial motor vehicle through the attachment of a locking
            device or other mechanical or electronic means.''.
    SEC. 32505. INCREASED PENALTIES FOR EVASION OF REGULATIONS.
        (a) Penalties.--Section 524 is amended--
            (1) by striking ``knowingly and willfully'';
            (2) by inserting after ``this chapter'' the following: ``,
        chapter 51, 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 regulation issued
        under any of those provisions,'';
            (3) by striking ``$200 but not more than $500'' and inserting
        ``$2,000 but not more than $5,000''; and
            (4) by striking ``$250 but not more than $2,000'' and inserting
        ``$2,500 but not more than $7,500''.
        (b) Evasion of Regulation.--Section 14906 is amended--
            (1) by striking ``$200'' and inserting ``at least $2,000'';
            (2) by striking ``$250'' and inserting ``$5,000''; and
            (3) by inserting after ``a subsequent violation'' the
        following:
        ``, and may be subject to criminal penalties''.
    SEC. 32506. VIOLATIONS RELATING TO COMMERCIAL MOTOR VEHICLE SAFETY
    REGULATION AND OPERATORS.
        Section 521(b)(2)(D) is amended by striking ``ability to pay,''.
    SEC. 32507. EMERGENCY DISQUALIFICATION FOR IMMINENT HAZARD.
        Section 31310(f) is amended--
            (1) in paragraph (1) by inserting ``section 521 or'' before
        ``section 5102''; and
            (2) in paragraph (2) by inserting ``section 521 or'' before
        ``section 5102''.
    SEC. 32508. DISCLOSURE TO STATE AND LOCAL LAW ENFORCEMENT AGENCIES.
        Section 31106(e) is amended--
            (1) by redesignating subsection (e) as subsection (e)(1); and
            (2) by inserting at the end the following:
            ``(2) In general.--Notwithstanding any prohibition on
        disclosure of information in section 31105(h) or 31143(b) of this
        title or section 552a of title 5, the Secretary may disclose
        information maintained by the Secretary pursuant to chapters 51,
        135, 311, or 313 of this title to appropriate personnel of a State
        agency or instrumentality authorized to carry out State commercial
        motor vehicle safety activities and commercial driver's license
        laws, or appropriate personnel of a local law enforcement agency,
        in accordance with standards, conditions, and procedures as
        determined by the Secretary. Disclosure under this section shall
        not operate as a waiver by the Secretary of any applicable
        privilege against disclosure under common law or as a basis for
        compelling disclosure under section 552 of title 5.''.
    SEC. 32509. GRADE CROSSING SAFETY REGULATIONS.
        Section 112(2) of the Hazardous Materials Transportation
    Authorization Act of 1994 (Public Law 103-311) is amended by striking
    ``315 of such title (relating to motor carrier safety)'' and inserting
    ``311 of such title (relating to commercial motor vehicle safety)''.

                 Subtitle F--Compliance, Safety, Accountability

    SEC. 32601. MOTOR CARRIER SAFETY ASSISTANCE PROGRAM.
        (a) In General.--Section 31102(b) is amended--
            (1) by amending the heading to read as follows:
        ``(b) Motor Carrier Safety Assistance Program.--'';
            (2) by redesignating paragraphs (1) through (3) as (2) through
        (4), respectively;
            (3) by inserting before paragraph (2), as redesignated, the
        following:
            ``(1) Program goal.--The goal of the Motor Carrier Safety
        Assistance Program is to ensure that the Secretary, States, local
        government agencies, and other political jurisdictions work in
        partnership to establish programs to improve motor carrier,
        commercial motor vehicle, and driver safety to support a safe and
        efficient surface transportation system by--
                ``(A) making targeted investments to promote safe
            commercial motor vehicle transportation, including
            transportation of passengers and hazardous materials;
                ``(B) investing in activities likely to generate maximum
            reductions in the number and severity of commercial motor
            vehicle crashes and fatalities resulting from such crashes;
                ``(C) adopting and enforcing effective motor carrier,
            commercial motor vehicle, and driver safety regulations and
            practices consistent with Federal requirements; and
                ``(D) assessing and improving statewide performance by
            setting program goals and meeting performance standards,
            measures, and benchmarks.'';
            (4) in paragraph (2), as redesignated--
                (A) by striking ``make a declaration of'' in subparagraph
            (I) and inserting ``demonstrate'';
                (B) by amending subparagraph (M) to read as follows:
                ``(M) ensures participation in appropriate Federal Motor
            Carrier Safety Administration systems and other information
            systems by all appropriate jurisdictions receiving Motor
            Carrier Safety Assistance Program funding;'';
                (C) in subparagraph (Q), by inserting ``and dedicated
            sufficient resources to'' between ``established'' and ``a
            program'';
                (D) in subparagraph (W), by striking ``and'' after the
            semicolon;
                (E) in subparagraph (X), by striking the period and
            inserting ``; and''; and
                (F) by adding after subparagraph (X) the following:
                ``(Y) ensures that the State will transmit to its roadside
            inspectors the notice of each Federal exemption granted
            pursuant to section 31315(b) and provided to the State by the
            Secretary, including the name of the person granted the
            exemption and any terms and conditions that apply to the
            exemption.''; and
            (5) by amending paragraph (4), as redesignated, to read as
        follows:
            ``(4) Maintenance of effort.--
                ``(A) In general.--A plan submitted by a State under
            paragraph (2) shall provide that the total expenditure of
            amounts of the lead State agency responsible for implementing
            the plan will be maintained at a level at least equal to the
            average level of that expenditure for fiscal years 2004 and
            2005.
                ``(B) Average level of state expenditures.--In estimating
            the average level of State expenditure under subparagraph (A),
            the Secretary--
                    ``(i) may allow the State to exclude State expenditures
                for Government-sponsored demonstration or pilot programs;
                and
                    ``(ii) shall require the State to exclude State
                matching amounts used to receive Government financing under
                this subsection.
                ``(C) Waiver.--Upon the request of a State, the Secretary
            may waive or modify the requirements of this paragraph for 1
            fiscal year, if the Secretary determines that a waiver is
            equitable due to exceptional or uncontrollable circumstances,
            such as a natural disaster or a serious decline in the
            financial resources of the State motor carrier safety
            assistance program agency.''.
    SEC. 32602. PERFORMANCE AND REGISTRATION INFORMATION SYSTEMS MANAGEMENT
    PROGRAM.
        Section 31106(b) is amended by amending paragraph (3)(C) to read as
    follows:
                ``(C) establish and implement a process--
                    ``(i) to cancel the motor vehicle registration and
                seize the registration plates of a vehicle when an employer
                is found liable under section 31310(i)(2)(C) for knowingly
                allowing or requiring an employee to operate such a
                commercial motor vehicle in violation of an out-of-service
                order; and
                    ``(ii) to reinstate the vehicle registration or return
                the registration plates of the commercial motor vehicle,
                subject to sanctions under clause (i), if the Secretary
                permits such carrier to resume operations after the date of
                issuance of such order.''.
    SEC. 32603. AUTHORIZATION OF APPROPRIATIONS.
        (a) Motor Carrier Safety Grants.--Section 31104(a) is amended--
            (1) by striking ``and'' at the end of paragraph (7);
            (2) by striking paragraph (8); and
            (3) by inserting after paragraph (7) the following:
            ``(8) $215,000,000 for fiscal year 2013; and
            ``(9) $218,000,000 for fiscal year 2014.''.
        (b) Administrative Expenses.--Section 31104(i)(1) is amended--
            (1) by striking ``and'' at the end of subparagraph (G); and
            (2) by striking subparagraph (H); and
            (3) by inserting after subparagraph (G) the following:
                ``(H) $251,000,000 for fiscal year 2013; and
                ``(I) $259,000,000 for fiscal year 2014.''.
        (c) Grant Programs.--Section 4101(c) of SAFETEA-LU (119 Stat. 1715)
    is amended to read as follows:
        ``(c) Grant Programs.--There are authorized to be appropriated from
    the Highway Trust Fund (other than the Mass Transit Account) the
    following sums for the following Federal Motor Carrier Safety
    Administration programs:
            ``(1) Commercial driver's license program improvement grants.--
        For commercial driver's license program improvement grants under
        section 31313 of title 49, United States Code $30,000,000 for each
        of fiscal years 2013 and 2014.
            ``(2) Border enforcement grants.--For border enforcement grants
        under section 31107 of such title $32,000,000 for each of fiscal
        years 2013 and 2014.
            ``(3) Performance and registration information system
        management grant program.--For the performance and registration
        information system management grant program under section 31109 of
        such title $5,000,000 for each of fiscal years 2013 and 2014.
            ``(4) Commercial vehicle information systems and networks
        deployment.--For carrying out the commercial vehicle information
        systems and networks deployment program under section 4126 of this
        Act, $25,000,000 for each of fiscal years 2013 and 2014.
            ``(5) Safety data improvement grants.--For safety data
        improvement grants under section 4128 of this Act, $3,000,000 for
        each of fiscal years 2013 and 2014.''.
        (d) High-priority Activities.--Section 31104(k)(2) is amended by
    striking ``2011 and $11,250,000 for the period beginning on October 1,
    2011, and ending on June 30, 2012,'' and inserting ``2014''.
        (e) New Entrant Audits.--Section 31144(g)(5)(B) is amended to read
    as follows:
                ``(B) Set aside.--The Secretary shall set aside from
            amounts made available by section 31104(a) up to $32,000,000
            per fiscal year for audits of new entrant motor carriers
            conducted pursuant to this paragraph.''.
        (f) Outreach and Education.--Section 4127(e) of SAFETEA-LU (119
    Stat. 1741) is amended to read as follows:
        ``(e) Funding.--From amounts made available under section 31104(i)
    of title 49, United States Code, the Secretary shall make available
    $4,000,000 to the Federal Motor Carrier Safety Administration for each
    of fiscal years 2013 and 2014 to carry out this section (other than
    subsection (f)).''.
        (g) Grant Program for Commercial Motor Vehicle Operators.--Section
    4134(c) of SAFETEA-LU (49 U.S.C. 31301 note) is amended by striking
    ``2011 and $750,000 for the period beginning on October 1, 2011, and
    ending on June 30, 2012,'' and inserting ``2014''.
        (h) Border Enforcement Grants.--Section 31107 is amended--
            (1) by striking subsection (b); and
            (2) redesignating subsections (c) and (d) as subsections (b)
        and (c), respectively.
        (i) Administration of Grant Programs.--The Secretary is authorized
    to identify and implement processes to reduce the administrative burden
    on the States and the Department of Transportation concerning the
    application and management of the grant programs authorized under
    chapter 311 and chapter 313 of title 49, United States Code.
    SEC. 32604. GRANTS FOR COMMERCIAL DRIVER'S LICENSE PROGRAM
    IMPLEMENTATION.
        (a) Grants for Commercial Driver's License Program
    Implementation.--Section 31313(a) is amended to read as follows:
        ``(a) Commercial Driver's License Program Improvement Grants.--
            ``(1) Program goal.--The Secretary of Transportation may make a
        grant to a State in a fiscal year--
                ``(A) to comply with the requirements of section 31311;
                ``(B) in the case of a State that is making a good faith
            effort toward substantial compliance with the requirements of
            this section and section 31311, to improve its implementation
            of its commercial driver's license program, including
            expenses--
                    ``(i) for computer hardware and software;
                    ``(ii) for publications, testing, personnel, training,
                and quality control;
                    ``(iii) for commercial driver's license program
                coordinators;
                    ``(iv) to implement or maintain a system to notify an
                employer of an operator of a commercial motor vehicle of
                the suspension or revocation of the operator's commercial
                driver's license consistent with the standards developed
                under section 32303(b) of the Commercial Motor Vehicle
                Safety Enhancement Act of 2012.
            ``(2) Prohibitions.--A State may not use grant funds under this
        subsection to rent, lease, or buy land or buildings.''.
        (b) Conforming Amendment.--
            (1) The heading for section 31313 is amended by striking
        ``improvements'' and inserting ``implementation''.
            (2) The analysis of chapter 313 is amended by striking the item
        relating to section 31313 and inserting the following:

    ``31313. Grants for commercial driver's license program
              implementation.''.
    SEC. 32605. COMMERCIAL VEHICLE INFORMATION SYSTEMS AND NETWORKS.
        Not later than 6 months after the date of enactment of this Act,
    the Secretary shall submit a report to the Committee on Commerce,
    Science, and Transportation of the Senate and the Committee on
    Transportation and Infrastructure of the House of Representatives that
    includes--
            (1) established time frames and milestones for resuming the
        Commercial Vehicle Information Systems and Networks Program; and
            (2) a strategic workforce plan for its grants management office
        to ensure that it has determined the skills and competencies that
        are critical to achieving its mission goals.

               Subtitle G--Motorcoach Enhanced Safety Act of 2012

    SEC. 32701. SHORT TITLE.
        This subtitle may be cited as the ``Motorcoach Enhanced Safety Act
    of 2012''.
    SEC. 32702. DEFINITIONS.
        In this subtitle:
            (1) Advanced glazing.--The term ``advanced glazing'' means
        glazing installed in a portal on the side or the roof of a
        motorcoach that is designed to be highly resistant to partial or
        complete occupant ejection in all types of motor vehicle crashes.
            (2) Bus.--The term ``bus'' has the meaning given the term in
        section 571.3(b) of title 49, Code of Federal Regulations (as in
        effect on the day before the date of enactment of this Act).
            (3) Commercial motor vehicle.--Except as otherwise specified,
        the term ``commercial motor vehicle'' has the meaning given the
        term in section 31132(1) of title 49, United States Code.
            (4) Direct tire pressure monitoring system.--The term ``direct
        tire pressure monitoring system'' means a tire pressure monitoring
        system that is capable of directly detecting when the air pressure
        level in any tire is significantly under-inflated and providing the
        driver a low tire pressure warning as to which specific tire is
        significantly under-inflated.
            (5) Motor carrier.--The term ``motor carrier'' means--
                (A) a motor carrier (as defined in section 13102(14) of
            title 49, United States Code); or
                (B) a motor private carrier (as defined in section
            13102(15) of that title).
            (6) Motorcoach.--The term ``motorcoach'' has the meaning given
        the term ``over-the-road bus'' in section 3038(a)(3) of the
        Transportation Equity Act for the 21st Century (49 U.S.C. 5310
        note), but does not include--
                (A) a bus used in public transportation provided by, or on
            behalf of, a public transportation agency; or
                (B) a school bus, including a multifunction school activity
            bus.
            (7) Motorcoach services.--The term ``motorcoach services''
        means passenger transportation by motorcoach for compensation.
            (8) Multifunction school activity bus.--The term
        ``multifunction school activity bus'' has the meaning given the
        term in section 571.3(b) of title 49, Code of Federal Regulations
        (as in effect on the day before the date of enactment of this Act).
            (9) Portal.--The term ``portal'' means any opening on the
        front, side, rear, or roof of a motorcoach that could, in the event
        of a crash involving the motorcoach, permit the partial or complete
        ejection of any occupant from the motorcoach, including a young
        child.
            (10) Provider of motorcoach services.--The term ``provider of
        motorcoach services'' means a motor carrier that provides passenger
        transportation services with a motorcoach, including per-trip
        compensation and contracted or chartered compensation.
            (11) Public transportation.--The term ``public transportation''
        has the meaning given the term in section 5302 of title 49, United
        States Code.
            (12) Safety belt.--The term ``safety belt'' has the meaning
        given the term in section 153(i)(4)(B) of title 23, United States
        Code.
            (13) Secretary.--The term ``Secretary'' means the Secretary of
        Transportation.
    SEC. 32703. REGULATIONS FOR IMPROVED OCCUPANT PROTECTION, PASSENGER
    EVACUATION, AND CRASH AVOIDANCE.
        (a) Regulations Required Within 1 Year.--Not later than 1 year
    after the date of enactment of this Act, the Secretary shall prescribe
    regulations requiring safety belts to be installed in motorcoaches at
    each designated seating position.
        (b) Regulations Required Within 2 Years.--Not later than 2 years
    after the date of enactment of this Act, the Secretary shall prescribe
    regulations that address the following commercial motor vehicle
    standards, if the Secretary determines that such standards meet the
    requirements and considerations set forth in subsections (a) and (b) of
    section 30111 of title 49, United States Code:
            (1) Roof strength and crush resistance.--The Secretary shall
        establish improved roof and roof support standards for motorcoaches
        that substantially improve the resistance of motorcoach roofs to
        deformation and intrusion to prevent serious occupant injury in
        rollover crashes involving motorcoaches.
            (2) Anti-ejection safety countermeasures.--The Secretary shall
        consider requiring advanced glazing standards for each motorcoach
        portal and shall consider other portal improvements to prevent
        partial and complete ejection of motorcoach passengers, including
        children. In prescribing such standards, the Secretary shall
        consider the impact of such standards on the use of motorcoach
        portals as a means of emergency egress.
            (3) Rollover crash avoidance.--The Secretary shall consider
        requiring motorcoaches to be equipped with stability enhancing
        technology, such as electronic stability control and torque
        vectoring, to reduce the number and frequency of rollover crashes
        among motorcoaches.
        (c) Commercial Motor Vehicle Tire Pressure Monitoring Systems.--Not
    later than 3 years after the date of enactment of this Act, the
    Secretary shall prescribe the following commercial vehicle regulation:
            (1) In general.--The Secretary shall consider requiring
        motorcoaches to be equipped with direct tire pressure monitoring
        systems that warn the operator of a commercial motor vehicle when
        any tire exhibits a level of air pressure that is below a specified
        level of air pressure established by the Secretary, if the
        Secretary determines that such standards meet the requirements and
        considerations set forth in subsections (a) and (b) of section
        30111 of title 49, United States Code.
            (2) Performance requirements.--In any standard adopted under
        paragraph (1), the Secretary shall include performance requirements
        to meet the objectives identified in paragraph (1) of this
        subsection.
        (d) Tire Performance Standard.--Not later than 3 years after the
    date of enactment of this Act, the Secretary shall consider--
            (1) issuing a rule to upgrade performance standards for tires
        used on motorcoaches, including an enhanced endurance test and a
        new high-speed performance test; or
            (2) if the Secretary determines that a standard does not meet
        the requirements and considerations set forth in subsections (a)
        and (b) of section 30111 of title 49, United States Code, submit a
        report that describes the reasons for not prescribing such a
        standard to--
                (A) the Committee on Commerce, Science, and Transportation
            of the Senate;
                (B) the Committee on Transportation and Infrastructure of
            the House of Representatives; and
                (C) the Committee on Energy and Commerce of the House of
            Representatives.
        (e) Application of Regulations.--
            (1) New motorcoaches.--Any regulation prescribed in accordance
        with subsection (a), (b), (c), or (d) shall--
                (A) apply to all motorcoaches manufactured more than 3
            years after the date on which the regulation is published as a
            final rule;
                (B) take into account the impact to seating capacity of
            changes to size and weight of motorcoaches and the ability to
            comply with State and Federal size and weight requirements; and
                (C) be based on the best available science.
            (2) Retrofit assessment for existing motorcoaches.--
                (A) In general.--The Secretary may assess the feasibility,
            benefits, and costs with respect to the application of any
            requirement established under subsection (a) or (b)(2) to
            motorcoaches manufactured before the date on which the
            requirement applies to new motorcoaches under paragraph (1).
                (B) Report.--The Secretary shall submit a report on the
            assessment to the Committee on Commerce, Science, and
            Transportation of the Senate and the Committee on
            Transportation and Infrastructure and the Committee on Energy
            and Commerce of the House of Representatives not later than 2
            years after the date of enactment of this Act.
    SEC. 32704. FIRE PREVENTION AND MITIGATION.
        (a) Research and Testing.--The Secretary shall conduct research and
    testing to determine the most prevalent causes of motorcoach fires and
    the best methods to prevent such fires and to mitigate the effect of
    such fires, both inside and outside the motorcoach. Such research and
    testing shall consider flammability of exterior components, smoke
    suppression, prevention of and resistance to wheel well fires,
    automatic fire suppression, passenger evacuation, causation and
    prevention of motorcoach fires, and improved fire extinguishers.
        (b) Standards.--Not later than 3 years after the date of enactment
    of this Act, the Secretary may issue fire prevention and mitigation
    standards for motorcoaches, based on the results of the Secretary's
    research and testing, taking into account highway size and weight
    restrictions applicable to motorcoaches, if the Secretary determines
    that such standards meet the requirements and considerations set forth
    in subsections (a) and (b) of section 30111 of title 49, United States
    Code.
    SEC. 32705. OCCUPANT PROTECTION, COLLISION AVOIDANCE, FIRE CAUSATION,
    AND FIRE EXTINGUISHER RESEARCH AND TESTING.
        (a) Safety Research Initiatives.--Not later than 3 years after the
    date of enactment of this Act, the Secretary shall complete the
    following research and testing:
            (1) Interior impact protection.--The Secretary shall research
        and test enhanced occupant impact protection technologies for
        motorcoach interiors to reduce serious injuries for all passengers
        of motorcoaches.
            (2) Compartmentalization safety countermeasures.--The Secretary
        shall research and test enhanced compartmentalization safety
        countermeasures for motorcoaches, including enhanced seating
        designs.
            (3) Collision avoidance systems.--The Secretary shall research
        and test forward and lateral crash warning systems applications for
        motorcoaches.
        (b) Rulemaking.--Not later than 2 years after the completion of
    each research and testing initiative required under subsection (a), the
    Secretary shall issue final motor vehicle safety standards if the
    Secretary determines that such standards meet the requirements and
    considerations set forth in subsections (a) and (b) of section 30111 of
    title 49, United States Code.
    SEC. 32706. CONCURRENCE OF RESEARCH AND RULEMAKING.
        (a) Requirements.--To the extent feasible, the Secretary shall
    ensure that research programs are carried out concurrently, and in a
    manner that concurrently assesses results, potential countermeasures,
    costs, and benefits.
        (b) Authority to Combine Rulemakings.--When considering each of the
    rulemaking provisions, the Secretary may initiate a single rulemaking
    proceeding encompassing all aspects or may combine the rulemakings as
    the Secretary deems appropriate.
        (c) Considerations.--If the Secretary undertakes separate
    rulemaking proceedings, the Secretary shall--
            (1) consider whether each added aspect of rulemaking may
        contribute to addressing the safety need determined to require
        rulemaking;
            (2) consider the benefits obtained through the safety belts
        rulemaking in section 32703(a); and
            (3) avoid duplicative benefits, costs, and countermeasures.
    SEC. 32707. IMPROVED OVERSIGHT OF MOTORCOACH SERVICE PROVIDERS.
        (a) Safety Reviews.--Section 31144, as amended by section 32202 of
    this Act, is amended by adding at the end the following:
        ``(i) Periodic Safety Reviews of Owners and Operators of Interstate
    For-hire Commercial Motor Vehicles Designed or Used to Transport
    Passengers.--
            ``(1) Safety review.--
                ``(A) In general.--The Secretary shall--
                    ``(i) determine the safety fitness of each motor
                carrier of passengers who the Secretary registers under
                section 13902 or 31134 through a simple and understandable
                rating system that allows passengers to compare the safety
                performance of each such motor carrier; and
                    ``(ii) assign a safety fitness rating to each such
                motor carrier.
                ``(B) Applicability.--Subparagraph (A) shall apply--
                    ``(i) to any provider of motorcoach services registered
                with the Administration after the date of enactment of the
                Motorcoach Enhanced Safety Act of 2012 beginning not later
                than 2 years after the date of such registration; and
                    ``(ii) to any provider of motorcoach services
                registered with the Administration on or before the date of
                enactment of that Act beginning not later than 3 years
                after the date of enactment of that Act.
            ``(2) Periodic review.--The Secretary shall establish, by
        regulation, a process for monitoring the safety performance of each
        motor carrier of passengers on a regular basis following the
        assignment of a safety fitness rating, including progressive
        intervention to correct unsafe practices.
            ``(3) Enforcement strike forces.--In addition to the enhanced
        monitoring and enforcement actions required under paragraph (2),
        the Secretary may organize special enforcement strike forces
        targeting motor carriers of passengers.
            ``(4) Periodic update of safety fitness rating.--In conducting
        the safety reviews required under this subsection, the Secretary
        shall--
                ``(A) reassess the safety fitness rating of each motor
            carrier of passengers not less frequently than once every 3
            years; and
                ``(B) annually assess the safety fitness of certain motor
            carriers of passengers that serve primarily urban areas with
            high passenger loads.''.
        (b) Disclosure of Safety Performance Ratings of Motorcoach Services
    and Operations.--
            (1) Definitions.--In this subsection:
                (A) Motorcoach.--
                    (i) In general.--Except as provided in clause (ii), the
                term ``motorcoach'' has the meaning given the term ``over-
                the-road bus'' in section 3038(a)(3) of the Transportation
                Equity Act for the 21st Century (49 U.S.C. 5310 note).
                    (ii) Exclusions.--The term ``motorcoach'' does not
                include--

                        (I) a bus used in public transportation that is
                    provided by a State or local government; or
                        (II) a school bus (as defined in section
                    30125(a)(1) of title 49, United States Code), including
                    a multifunction school activity bus.

                (B) Motorcoach services and operations.--The term
            ``motorcoach services and operations'' means passenger
            transportation by a motorcoach for compensation.
            (2) Requirements for the disclosure of safety performance
        ratings of motorcoach services and operations.--
                (A) In general.--Not later than 1 year after the date of
            enactment of this Act, the Secretary shall establish, through
            notice and opportunity for public to comment, requirements to
            improve the accessibility to the public of safety rating
            information of motorcoach services and operations.
                (B) Display.--In establishing the requirements under
            subparagraph (A), the Secretary shall consider requirements for
            each motor carrier that owns or leases 1 or more motorcoaches
            that transport passengers subject to the Secretary's
            jurisdiction under section 13501 of title 49, United States
            Code, to prominently display safety fitness information
            pursuant to section 31144 of title 49, United States Code--
                    (i) in each terminal of departure;
                    (ii) in the motorcoach and visible from a position
                exterior to the vehicle at the point of departure, if the
                motorcoach does not depart from a terminal; and
                    (iii) at all points of sale for such motorcoach
                services and operations.
    SEC. 32708. REPORT ON FEASIBILITY, BENEFITS, AND COSTS OF ESTABLISHING
    A SYSTEM OF CERTIFICATION OF TRAINING PROGRAMS.
        Not later than 2 years after the date of enactment of this Act, the
    Secretary of Transportation shall submit a report to the Committee on
    Commerce, Science, and Transportation of the Senate and the Committee
    on Transportation and Infrastructure of the House of Representatives
    that describes the feasibility, benefits, and costs of establishing a
    system of certification of public and private schools and of motor
    carriers and motorcoach operators that provide motorcoach driver
    training.
    SEC. 32709. COMMERCIAL DRIVER'S LICENSE PASSENGER ENDORSEMENT
    REQUIREMENTS.
        (a) In General.--Not later than 2 years after the date of enactment
    of this Act, the Secretary of Transportation shall review and assess
    the current knowledge and skill testing requirements for a commercial
    driver's license passenger endorsement to determine what improvements
    to the knowledge test, the examination of driving skills, and the
    application of such requirements are necessary to ensure the safe
    operation of commercial motor vehicles designed or used to transport
    passengers.
        (b) Report.--Not later than 120 days after completion of the review
    and assessment under subsection (a), the Secretary of Transportation
    shall submit to the Committee on Transportation and Infrastructure of
    the House of Representatives and the Committee on Commerce, Science,
    and Transportation of the Senate--
            (1) a report on the review and assessment conducted under
        subsection (a);
            (2) a plan to implement any changes to the knowledge and skills
        tests; and
            (3) a timeframe by which the Secretary will implement the
        changes.
    SEC. 32710. SAFETY INSPECTION PROGRAM FOR COMMERCIAL MOTOR VEHICLES OF
    PASSENGERS.
        Not later than 3 years after the date of enactment of this Act, the
    Secretary of Transportation shall complete a rulemaking proceeding to
    consider requiring States to establish a program for annual inspections
    of commercial motor vehicles designed or used to transport passengers,
    including an assessment of--
            (1) the risks associated with improperly maintained or
        inspected commercial motor vehicles designed or used to transport
        passengers;
            (2) the effectiveness of existing Federal standards for the
        inspection of such vehicles in--
                (A) mitigating the risks described in paragraph (1); and
                (B) ensuring the safe and proper operation condition of
            such vehicles; and
            (3) the costs and benefits of a mandatory inspection program.
    SEC. 32711. REGULATIONS.
        Any standard or regulation prescribed or modified pursuant to the
    Motorcoach Enhanced Safety Act of 2012 shall be prescribed or modified
    in accordance with section 553 of title 5, United States Code.

           Subtitle H--Safe Highways and Infrastructure Preservation

    SEC. 32801. COMPREHENSIVE TRUCK SIZE AND WEIGHT LIMITS STUDY.
        (a) Truck Size and Weight Limits Study.--Not later than 45 days
    after the date of enactment of this Act, the Secretary, in consultation
    with each relevant State and other applicable Federal agencies, shall
    commence a comprehensive truck size and weight limits study. The study
    shall--
            (1) provide data on accident frequency and evaluate factors
        related to accident risk of vehicles that operate with size and
        weight limits that are in excess of the Federal law and regulations
        in each State that allows vehicles to operate with size and weight
        limits that are in excess of the Federal law and regulations, or to
        operate under a Federal exemption or grandfather right, in
        comparison to vehicles that do not operate in excess of Federal law
        and regulations (other than vehicles with exemptions or grandfather
        rights);
            (2) evaluate the impacts to the infrastructure in each State
        that allows a vehicle to operate with size and weight limits that
        are in excess of the Federal law and regulations, or to operate
        under a Federal exemption or grandfather right, in comparison to
        vehicles that do not operate in excess of Federal law and
        regulations (other than vehicles with exemptions or grandfather
        rights), including--
                (A) the cost and benefits of the impacts in dollars;
                (B) the percentage of trucks operating in excess of the
            Federal size and weight limits; and
                (C) the ability of each State to recover the cost for the
            impacts, or the benefits incurred;
            (3) evaluate the frequency of violations in excess of the
        Federal size and weight law and regulations, the cost of the
        enforcement of the law and regulations, and the effectiveness of
        the enforcement methods;
            (4) assess the impacts that vehicles that operate with size and
        weight limits in excess of the Federal law and regulations, or that
        operate under a Federal exemption or grandfather right, in
        comparison to vehicles that do not operate in excess of Federal law
        and regulations (other than vehicles with exemptions or grandfather
        rights), have on bridges, including the impacts resulting from the
        number of bridge loadings;
            (5) compare and contrast the potential safety and
        infrastructure impacts of the current Federal law and regulations
        regarding truck size and weight limits in relation to--
                (A) six-axle and other alternative configurations of
            tractor-trailers; and
                (B) where available, safety records of foreign nations with
            truck size and weight limits and tractor-trailer configurations
            that differ from the Federal law and regulations; and
            (6) estimate--
                (A) the extent to which freight would likely be diverted
            from other surface transportation modes to principal arterial
            routes and National Highway System intermodal connectors if
            alternative truck configuration is allowed to operate and the
            effect that any such diversion would have on other modes of
            transportation;
                (B) the effect that any such diversion would have on public
            safety, infrastructure, cost responsibilities, fuel efficiency,
            freight transportation costs, and the environment;
                (C) the effect on the transportation network of the United
            States that allowing alternative truck configuration to operate
            would have; and
                (D) whether allowing alternative truck configuration to
            operate would result in an increase or decrease in the total
            number of trucks operating on principal arterial routes and
            National Highway System intermodal connectors; and
            (7) identify all Federal rules and regulations impacted by
        changes in truck size and weight limits.
        (b) Report.--Not later than 2 years after the date that the study
    is commenced under subsection (a), the Secretary shall submit a final
    report on the study, including all findings and recommendations, to the
    Committee on Commerce, Science, and Transportation and the Committee on
    Environment and Public Works of the Senate and the Committee on
    Transportation and Infrastructure of the House of Representatives.
    SEC. 32802. COMPILATION OF EXISTING STATE TRUCK SIZE AND WEIGHT LIMIT
    LAWS.
        (a) In General.--Not later than 90 days after the date of enactment
    of this Act, the Secretary, in consultation with the States, shall
    begin to compile--
            (1) a list for each State, as applicable, that describes each
        route of the National Highway System that allows a vehicle to
        operate in excess of the Federal truck size and weight limits
        that--
                (A) was authorized under State law on or before the date of
            enactment of this Act; and
                (B) was in actual and lawful operation on a regular or
            periodic basis (including seasonal operations) on or before the
            date of enactment of this Act;
            (2) a list for each State, as applicable, that describes--
                (A) the size and weight limitations applicable to each
            segment of the National Highway System in that State as listed
            under paragraph (1);
                (B) each combination that exceeds the Interstate weight
            limit, but that the Department of Transportation, other Federal
            agency, or a State agency has determined on or before the date
            of enactment of this Act, could be or could have been lawfully
            operated in the State; and
                (C) each combination that exceeds the Interstate weight
            limit, but that the Secretary determines could have been
            lawfully operated on a non-Interstate segment of the National
            Highway System in the State on or before the date of enactment
            of this Act; and
            (3) a list of each State law that designates or allows
        designation of size and weight limitations in excess of Federal law
        and regulations on routes of the National Highway System, including
        nondivisible loads.
        (b) Specifications.--The Secretary, in consultation with the
    States, shall specify whether the determinations under paragraphs (1)
    and (2) of subsection (a) were made by the Department of
    Transportation, other Federal agency, or a State agency.
        (c) Report.--Not later than 2 years after the date of enactment of
    this Act, the Secretary shall submit a final report of the compilation
    under subsection (a) to the Committee on Commerce, Science, and
    Transportation and the Committee on Environment and Public Works of the
    Senate and the Committee on Transportation and Infrastructure of the
    House of Representatives.

                           Subtitle I--Miscellaneous

                             PART I--MISCELLANEOUS

    SEC. 32911. PROHIBITION OF COERCION.
        Section 31136(a) is amended by--
            (1) striking ``and'' at the end of paragraph (3);
            (2) striking the period at the end of paragraph (4) and
        inserting ``; and''; and
            (3) adding after subsection (4) the following:
            ``(5) an operator of a commercial motor vehicle is not coerced
        by a motor carrier, shipper, receiver, or transportation
        intermediary to operate a commercial motor vehicle in violation of
        a regulation promulgated under this section, or chapter 51 or
        chapter 313 of this title.''.
    SEC. 32912. MOTOR CARRIER SAFETY ADVISORY COMMITTEE.
        Section 4144(d) of the Safe, Accountable, Flexible, Efficient
    Transportation Equity Act: A Legacy for Users (49 U.S.C. 31100 note),
    is amended by striking ``June 30, 2012'' and inserting ``September 30,
    2013''.
    SEC. 32913. WAIVERS, EXEMPTIONS, AND PILOT PROGRAMS.
        (a) Exemption Standards.--Section 31315(b)(4) is amended--
            (1) in subparagraph (A), by inserting ``(or, in the case of a
        request for an exemption from the physical qualification standards
        for commercial motor vehicle drivers, post on a web site
        established by the Secretary to implement the requirements of
        section 31149)'' after ``Federal Register'';
            (2) by amending subparagraph (B) to read as follows:
                ``(B) Upon granting a request.--Upon granting a request and
            before the effective date of the exemption, the Secretary shall
            publish in the Federal Register (or, in the case of an
            exemption from the physical qualification standards for
            commercial motor vehicle drivers, post on a web site
            established by the Secretary to implement the requirements of
            section 31149) the name of the person granted the exemption,
            the provisions from which the person is exempt, the effective
            period, and the terms and conditions of the exemption.''; and
            (3) in subparagraph (C), by inserting ``(or, in the case of a
        request for an exemption from the physical qualification standards
        for commercial motor vehicle drivers, post on a web site
        established by the Secretary to implement the requirements of
        section 31149)'' after ``Federal Register''.
        (b) Providing Notice of Exemptions to State Personnel.--Section
    31315(b)(7) is amended to read as follows:
            ``(7) Notification of state compliance and enforcement
        personnel.--Before the effective date of an exemption, the
        Secretary shall notify a State safety compliance and enforcement
        agency, and require the agency to notify the State's roadside
        inspectors, that a person will be operating pursuant to an
        exemption and the terms and conditions that apply to the
        exemption.''.
        (c) Pilot Programs.--Section 31315(c)(1) is amended by striking
    ``in the Federal Register''.
        (d) Report to Congress.--Section 31315 is amended by adding after
    subsection (d) the following:
        ``(e) Report to Congress.--The Secretary shall submit an annual
    report to the Committee on Commerce, Science, and Transportation of the
    Senate and the Committee on Transportation and Infrastructure of the
    House of Representatives listing the waivers, exemptions, and pilot
    programs granted under this section, and any impacts on safety.
        ``(f) Web Site.--The Secretary shall ensure that the Federal Motor
    Carrier Safety Administration web site includes a link to the web site
    established by the Secretary to implement the requirements under
    sections 31149 and 31315. The link shall be in a clear and conspicuous
    location on the home page of the Federal Motor Carrier Safety
    Administration web site and be easily accessible to the public.''.
    SEC. 32914. REGISTRATION REQUIREMENTS.
        (a) Requirements for Registration.--Section 13901 is amended to
    read as follows:
    ``Sec. 13901. Requirements for registration
        ``(a) In General.--A person may provide transportation as a motor
    carrier subject to jurisdiction under subchapter I of chapter 135 or
    service as a freight forwarder subject to jurisdiction under subchapter
    III of such chapter, or service as a broker for transportation subject
    to jurisdiction under subchapter I of such chapter only if the person
    is registered under this chapter to provide such transportation or
    service.
        ``(b) Registration Numbers.--
            ``(1) In general.--If the Secretary registers a person under
        this chapter to provide transportation or service, including as a
        motor carrier, freight forwarder, or broker, the Secretary shall
        issue a distinctive registration number to the person for each such
        authority to provide transportation or service for which the person
        is registered.
            ``(2) Transportation or service type indicator.--A number
        issued under paragraph (1) shall include an indicator of the type
        of transportation or service for which the registration number is
        issued, including whether the registration number is issued for
        registration of a motor carrier, freight forwarder, or broker.
        ``(c) Specification of Authority.--For each agreement to provide
    transportation or service for which registration is required under this
    chapter, the registrant shall specify, in writing, the authority under
    which the person is providing such transportation or service.''.
        (b) Availability of Information.--
            (1) In general.--Chapter 139 is amended by adding at the end
        the following:
    ``Sec. 13909. Availability of information
        ``The Secretary shall make information relating to registration and
    financial security required by this chapter publicly available on the
    Internet, including--
            ``(1) the names and business addresses of the principals of
        each entity holding such registration;
            ``(2) the status of such registration; and
            ``(3) the electronic address of the entity's surety provider
        for the submission of claims.''.
            (2) Conforming amendment.--The analysis for chapter 139 is
        amended by adding at the end the following:

    ``13909. Availability of information.''.
    SEC. 32915. ADDITIONAL MOTOR CARRIER REGISTRATION REQUIREMENTS.
        Section 13902, as amended by sections 32101 and 32107(a) of this
    Act, is amended--
            (1) in subsection (a)--
                (A) in paragraph (1), by inserting ``using self-propelled
            vehicles the motor carrier owns, rents, or leases'' after
            ``motor carrier''; and
                (B) by adding at the end the following:
            ``(6) Separate registration required.--A motor carrier may not
        broker transportation services unless the motor carrier has
        registered as a broker under this chapter.''; and
            (2) by inserting after subsection (h) the following:
        ``(i) Registration as Freight Forwarder or Broker Required.--A
    motor carrier registered under this chapter--
            ``(1) may only provide transportation of property with--
                ``(A) self-propelled motor vehicles owned or leased by the
            motor carrier; or
                ``(B) interchanges under regulations issued by the
            Secretary if the originating carrier--
                    ``(i) physically transports the cargo at some point;
                and
                    ``(ii) retains liability for the cargo and for payment
                of interchanged carriers; and
            ``(2) may not arrange transportation described in paragraph (1)
        unless the motor carrier has obtained a separate registration as a
        freight forwarder or broker for transportation under section 13903
        or 13904, as applicable.''.
    SEC. 32916. REGISTRATION OF FREIGHT FORWARDERS AND BROKERS.
        (a) Registration of Freight Forwarders.--Section 13903, as amended
    by section 32107(b) of this Act, is amended--
            (1) in subsection (a)--
                (A) by striking ``finds that the person is fit'' and
            inserting the following: ``determines that the person--
            ``(1) has sufficient experience to qualify the person to act as
        a freight forwarder; and
            ``(2) is fit''; and
                (B) by striking ``and the Board'';
            (2) by redesignating subsections (b) and (c) as subsections (d)
        and (e), respectively;
            (3) by inserting after subsection (a) the following:
        ``(b) Duration.--A registration issued under subsection (a) shall
    only remain in effect while the freight forwarder is in compliance with
    section 13906(c).
        ``(c) Experience or Training Requirement.--Each freight forwarder
    shall employ, as an officer, an individual who--
            ``(1) has at least 3 years of relevant experience; or
            ``(2) provides the Secretary with satisfactory evidence of the
        individual's knowledge of related rules, regulations, and industry
        practices.''; and
            (4) by amending subsection (d), as redesignated, to read as
        follows:
        ``(d) Registration as Motor Carrier Required.--
            ``(1) In general.--A freight forwarder may not provide
        transportation as a motor carrier unless the freight forwarder has
        registered separately under this chapter to provide transportation
        as a motor carrier.''.
        (b) Registration of Brokers.--Section 13904, as amended by section
    32107(c) of this Act, is amended--
            (1) in subsection (a), by striking ``finds that the person is
        fit'' and inserting the following: ``determines that the person--
            ``(1) has sufficient experience to qualify the person to act as
        a broker for transportation; and
            ``(2) is fit'';
            (2) by redesignating subsections (b), (c), (d), and (e) as
        subsections (d), (e), (f), and (g) respectively;
            (3) by inserting after subsection (a) the following:
        ``(b) Duration.--A registration issued under subsection (a) shall
    only remain in effect while the broker for transportation is in
    compliance with section 13906(b).
        ``(c) Experience or Training Requirements.--Each broker shall
    employ, as an officer, an individual who--
            ``(1) has at least 3 years of relevant experience; or
            ``(2) provides the Secretary with satisfactory evidence of the
        individual's knowledge of related rules, regulations, and industry
        practices.'';
            (4) by amending subsection (d), as redesignated, to read as
        follows:
        ``(d) Registration as Motor Carrier Required.--
            ``(1) In general.--A broker for transportation may not provide
        transportation as a motor carrier unless the broker has registered
        separately under this chapter to provide transportation as a motor
        carrier.
            ``(2) Limitation.--This subsection does not apply to a motor
        carrier registered under this chapter or to an employee or agent of
        the motor carrier to the extent the transportation is to be
        provided entirely by the motor carrier, with other registered motor
        carriers, or with rail or water carriers.''; and
            (5) by amending subsection (e), as redesignated, to read as
        follows:
        ``(e) Regulation to Protect Motor Carriers and Shippers.--
    Regulations of the Secretary applicable to brokers registered under
    this section shall provide for the protection of motor carriers and
    shippers by motor vehicle.''.
    SEC. 32917. EFFECTIVE PERIODS OF REGISTRATION.
        Section 13905(c) is amended to read as follows:
        ``(c) Effective Period.--
            ``(1) In general.--Except as otherwise provided in this part,
        each registration issued under section 13902, 13903, or 13904--
                ``(A) shall be effective beginning on the date specified by
            the Secretary; and
                ``(B) shall remain in effect for such period as the
            Secretary determines appropriate by regulation.
            ``(2) Reissuance of registration.--
                ``(A) Requirement.--Not later than 4 years after the date
            of enactment of the Commercial Motor Vehicle Safety Enhancement
            Act of 2012, the Secretary shall require a freight forwarder or
            broker to renew its registration issued under this chapter.
                ``(B) Effective period.--Each registration renewal under
            subparagraph (A)--
                    ``(i) shall expire not later than 5 years after the
                date of such renewal; and
                    ``(ii) may be further renewed as provided under this
                chapter.''.
    SEC. 32918. FINANCIAL SECURITY OF BROKERS AND FREIGHT FORWARDERS.
        (a) In General.--Section 13906 is amended by striking subsections
    (b) and (c) and inserting the following:
        ``(b) Broker Financial Security Requirements.--
            ``(1) Requirements.--
                ``(A) In general.--The Secretary may register a person as a
            broker under section 13904 only if the person files with the
            Secretary a surety bond, proof of trust fund, or other
            financial security, or a combination thereof, in a form and
            amount, and from a provider, determined by the Secretary to be
            adequate to ensure financial responsibility.
                ``(B) Use of a group surety bond, trust fund, or other
            surety.--In implementing the standards established by
            subparagraph (A), the Secretary may authorize the use of a
            group surety bond, trust fund, or other financial security, or
            a combination thereof, that meets the requirements of this
            subsection.
                ``(C) Proof of trust or other financial security.--For
            purposes of subparagraph (A), a trust fund or other financial
            security may be acceptable to the Secretary only if the trust
            fund or other financial security consists of assets readily
            available to pay claims without resort to personal guarantees
            or collection of pledged accounts receivable.
            ``(2) Scope of financial responsibility.--
                ``(A) Payment of claims.--A surety bond, trust fund, or
            other financial security obtained under paragraph (1) shall be
            available to pay any claim against a broker arising from its
            failure to pay freight charges under its contracts, agreements,
            or arrangements for transportation subject to jurisdiction
            under chapter 135 if--
                    ``(i) subject to the review by the surety provider, the
                broker consents to the payment;
                    ``(ii) in any case in which the broker does not respond
                to adequate notice to address the validity of the claim,
                the surety provider determines that the claim is valid; or
                    ``(iii) the claim is not resolved within a reasonable
                period of time following a reasonable attempt by the
                claimant to resolve the claim under clauses (i) and (ii),
                and the claim is reduced to a judgment against the broker.
                ``(B) Response of surety providers to claims.--If a surety
            provider receives notice of a claim described in subparagraph
            (A), the surety provider shall--
                    ``(i) respond to the claim on or before the 30th day
                following the date on which the notice was received; and
                    ``(ii) in the case of a denial, set forth in writing
                for the claimant the grounds for the denial.
                ``(C) Costs and attorney's fees.--In any action against a
            surety provider to recover on a claim described in subparagraph
            (A), the prevailing party shall be entitled to recover its
            reasonable costs and attorney's fees.
            ``(3) Minimum financial security.--Each broker subject to the
        requirements of this section shall provide financial security of
        $75,000 for purposes of this subsection, regardless of the number
        of branch offices or sales agents of the broker.
            ``(4) Cancellation notice.--If a financial security required
        under this subsection is canceled--
                ``(A) the holder of the financial security shall provide
            electronic notification to the Secretary of the cancellation
            not later than 30 days before the effective date of the
            cancellation; and
                ``(B) the Secretary shall immediately post such
            notification on the public Internet Website of the Department
            of Transportation.
            ``(5) Suspension.--The Secretary shall immediately suspend the
        registration of a broker issued under this chapter if the available
        financial security of that person falls below the amount required
        under this subsection.
            ``(6) Payment of claims in cases of financial failure or
        insolvency.--If a broker registered under this chapter experiences
        financial failure or insolvency, the surety provider of the broker
        shall--
                ``(A) submit a notice to cancel the financial security to
            the Administrator in accordance with paragraph (4);
                ``(B) publicly advertise for claims for 60 days beginning
            on the date of publication by the Secretary of the notice to
            cancel the financial security; and
                ``(C) pay, not later than 30 days after the expiration of
            the 60-day period for submission of claims--
                    ``(i) all uncontested claims received during such
                period; or
                    ``(ii) a pro rata share of such claims if the total
                amount of such claims exceeds the financial security
                available.
            ``(7) Penalties.--
                ``(A) Civil actions.--Either the Secretary or the Attorney
            General of the United States may bring a civil action in an
            appropriate district court of the United States to enforce the
            requirements of this subsection or a regulation prescribed or
            order issued under this subsection. The court may award
            appropriate relief, including injunctive relief.
                ``(B) Civil penalties.--If the Secretary determines, after
            notice and opportunity for a hearing, that a surety provider of
            a broker registered under this chapter has violated the
            requirements of this subsection or a regulation prescribed
            under this subsection, the surety provider shall be liable to
            the United States for a civil penalty in an amount not to
            exceed $10,000.
                ``(C) Eligibility.--If the Secretary determines, after
            notice and opportunity for a hearing, that a surety provider of
            a broker registered under this chapter has violated the
            requirements of this subsection or a regulation prescribed
            under this subsection, the surety provider shall be ineligible
            to provider broker financial security for 3 years.
            ``(8) Deduction of costs prohibited.--The amount of the
        financial security required under this subsection may not be
        reduced by deducting attorney's fees or administrative costs.
        ``(c) Freight Forwarder Financial Security Requirements.--
            ``(1) Requirements.--
                ``(A) In general.--The Secretary may register a person as a
            freight forwarder under section 13903 only if the person files
            with the Secretary a surety bond, proof of trust fund, other
            financial security, or a combination of such instruments, in a
            form and amount, and from a provider, determined by the
            Secretary to be adequate to ensure financial responsibility.
                ``(B) Use of a group surety bond, trust fund, or other
            financial security.--In implementing the standards established
            under subparagraph (A), the Secretary may authorize the use of
            a group surety bond, trust fund, other financial security, or a
            combination of such instruments, that meets the requirements of
            this subsection.
                ``(C) Surety bonds.--A surety bond obtained under this
            section may only be obtained from a bonding company that has
            been approved by the Secretary of the Treasury.
                ``(D) Proof of trust or other financial security.--For
            purposes of subparagraph (A), a trust fund or other financial
            security may not be accepted by the Secretary unless the trust
            fund or other financial security consists of assets readily
            available to pay claims without resort to personal guarantees
            or collection of pledged accounts receivable.
            ``(2) Scope of financial responsibility.--
                ``(A) Payment of claims.--A surety bond, trust fund, or
            other financial security obtained under paragraph (1) shall be
            available to pay any claim against a freight forwarder arising
            from its failure to pay freight charges under its contracts,
            agreements, or arrangements for transportation subject to
            jurisdiction under chapter 135 if--
                    ``(i) subject to the review by the surety provider, the
                freight forwarder consents to the payment;
                    ``(ii) in the case the freight forwarder does not
                respond to adequate notice to address the validity of the
                claim, the surety provider determines the claim is valid;
                or
                    ``(iii) the claim--

                        ``(I) is not resolved within a reasonable period of
                    time following a reasonable attempt by the claimant to
                    resolve the claim under clauses (i) and (ii); and
                        ``(II) is reduced to a judgment against the freight
                    forwarder.

                ``(B) Response of surety providers to claims.--If a surety
            provider receives notice of a claim described in subparagraph
            (A), the surety provider shall--
                    ``(i) respond to the claim on or before the 30th day
                following receipt of the notice; and
                    ``(ii) in the case of a denial, set forth in writing
                for the claimant the grounds for the denial.
                ``(C) Costs and attorney's fees.--In any action against a
            surety provider to recover on a claim described in subparagraph
            (A), the prevailing party shall be entitled to recover its
            reasonable costs and attorney's fees.
            ``(3) Freight forwarder insurance.--
                ``(A) In general.--The Secretary may register a person as a
            freight forwarder under section 13903 only if the person files
            with the Secretary a surety bond, insurance policy, or other
            type of financial security that meets standards prescribed by
            the Secretary.
                ``(B) Liability insurance.--A financial security filed by a
            freight forwarder under subparagraph (A) shall be sufficient to
            pay an amount, not to exceed the amount of the financial
            security, for each final judgment against the freight forwarder
            for bodily injury to, or death of, an individual, or loss of,
            or damage to, property (other than property referred to in
            subparagraph (C)), resulting from the negligent operation,
            maintenance, or use of motor vehicles by, or under the
            direction and control of, the freight forwarder while providing
            transfer, collection, or delivery service under this part.
                ``(C) Cargo insurance.--The Secretary may require a
            registered freight forwarder to file with the Secretary a
            surety bond, insurance policy, or other type of financial
            security approved by the Secretary, that will pay an amount,
            not to exceed the amount of the financial security, for loss
            of, or damage to, property for which the freight forwarder
            provides service.
            ``(4) Minimum financial security.--Each freight forwarder
        subject to the requirements of this section shall provide financial
        security of $75,000, regardless of the number of branch offices or
        sales agents of the freight forwarder.
            ``(5) Cancellation notice.--If a financial security required
        under this subsection is canceled--
                ``(A) the holder of the financial security shall provide
            electronic notification to the Secretary of the cancellation
            not later than 30 days before the effective date of the
            cancellation; and
                ``(B) the Secretary shall immediately post such
            notification on the public Internet web site of the Department
            of Transportation.
            ``(6) Suspension.--The Secretary shall immediately suspend the
        registration of a freight forwarder issued under this chapter if
        its available financial security falls below the amount required
        under this subsection.
            ``(7) Payment of claims in cases of financial failure or
        insolvency.--If a freight forwarder registered under this chapter
        experiences financial failure or insolvency, the surety provider of
        the freight forwarder shall--
                ``(A) submit a notice to cancel the financial security to
            the Administrator in accordance with paragraph (5);
                ``(B) publicly advertise for claims for 60 days beginning
            on the date of publication by the Secretary of the notice to
            cancel the financial security; and
                ``(C) pay, not later than 30 days after the expiration of
            the 60-day period for submission of claims--
                    ``(i) all uncontested claims received during such
                period; or
                    ``(ii) a pro rata share of such claims if the total
                amount of such claims exceeds the financial security
                available.
            ``(8) Penalties.--
                ``(A) Civil actions.--Either the Secretary or the Attorney
            General may bring a civil action in an appropriate district
            court of the United States to enforce the requirements of this
            subsection or a regulation prescribed or order issued under
            this subsection. The court may award appropriate relief,
            including injunctive relief.
                ``(B) Civil penalties.--If the Secretary determines, after
            notice and opportunity for a hearing, that a surety provider of
            a freight forwarder registered under this chapter has violated
            the requirements of this subsection or a regulation prescribed
            under this subsection, the surety provider shall be liable to
            the United States for a civil penalty in an amount not to
            exceed $10,000.
                ``(C) Eligibility.--If the Secretary determines, after
            notice and opportunity for a hearing, that a surety provider of
            a freight forwarder registered under this chapter has violated
            the requirements of this subsection or a regulation prescribed
            under this subsection, the surety provider shall be ineligible
            to provide freight forwarder financial security for 3 years.
            ``(9) Deduction of costs prohibited.--The amount of the
        financial security required under this subsection may not be
        reduced by deducting attorney's fees or administrative costs.''.
        (b) Rulemaking.--Not later than 1 year after the date of enactment
    of this Act, the Secretary shall issue regulations to implement and
    enforce the requirements under subsections (b) and (c) of section 13906
    of title 49, United States Code, as amended by subsection (a).
        (c) Effective Date.--The amendments made by subsection (a) shall
    take effect on the date that is 1 year after the date of enactment of
    this Act.
    SEC. 32919. UNLAWFUL BROKERAGE ACTIVITIES.
        (a) In General.--Chapter 149 is amended by adding at the end the
    following:
    ``SEC. 14916. UNLAWFUL BROKERAGE ACTIVITIES.
        ``(a) Prohibited Activities.--A person may provide interstate
    brokerage services as a broker only if that person--
            ``(1) is registered under, and in compliance with, section
        13904; and
            ``(2) has satisfied the financial security requirements under
        section 13906.
        ``(b) Exceptions.--Subsection (a) shall not apply to--
            ``(1) a non-vessel-operating common carrier (as defined in
        section 40102 of title 46) or an ocean freight forwarder (as
        defined in section 40102 of title 46) when arranging for inland
        transportation as part of an international through movement
        involving ocean transportation between the United States and a
        foreign port;
            ``(2) a customs broker licensed in accordance with section
        111.2 of title 19, Code of Federal Regulations, only to the extent
        that the customs broker is engaging in a movement under a customs
        bond or in a transaction involving customs business, as defined by
        section 111.1 of title 19, Code of Federal Regulations; or
            ``(3) an indirect air carrier holding a Standard Security
        Program approved by the Transportation Security Administration,
        only to the extent that the indirect air carrier is engaging in the
        activities as an air carrier as defined in section 40102(2) or in
        the activities defined in section 40102(3).
        ``(c) Civil Penalties and Private Cause of Action.--Any person who
    knowingly authorizes, consents to, or permits, directly or indirectly,
    either alone or in conjunction with any other person, a violation of
    subsection (a) is liable--
            ``(1) to the United States Government for a civil penalty in an
        amount not to exceed $10,000 for each violation; and
            ``(2) to the injured party for all valid claims incurred
        without regard to amount.
        ``(d) Liable Parties.--The liability for civil penalties and for
    claims under this section for unauthorized brokering shall apply,
    jointly and severally--
            ``(1) to any corporate entity or partnership involved; and
            ``(2) to the individual officers, directors, and principals of
        such entities.''.
        (b) Clerical Amendment.--The analysis for chapter 149 is amended by
    adding at the end the following:

    ``14916. Unlawful brokerage activities.''.

                    PART II--HOUSEHOLD GOODS TRANSPORTATION

    SEC. 32921. ADDITIONAL REGISTRATION REQUIREMENTS FOR HOUSEHOLD GOODS
    MOTOR CARRIERS.
        (a) Section 13902(a)(2) is amended--
            (1) in subparagraph (B), by striking ``section 13702(c);'' and
        inserting ``section 13702(c); and'';
            (2) by amending subparagraph (C) to read as follows:
                ``(C) demonstrates, before being registered, through
            successful completion of a proficiency examination established
            by the Secretary, knowledge and intent to comply with
            applicable Federal laws relating to consumer protection,
            estimating, consumers' rights and responsibilities, and options
            for limitations of liability for loss and damage.''; and
            (3) by striking subparagraph (D).
        (b) Compliance Reviews of New Household Goods Motor Carriers.--
    Section 31144(g), as amended by section 32102 of this Act, is amended
    by adding at the end the following:
            ``(6) Additional requirements for household goods motor
        carriers.--(A) In addition to the requirements of this subsection,
        the Secretary shall require, by regulation, each registered
        household goods motor carrier to undergo a consumer protection
        standards review not later than 18 months after the household goods
        motor carrier begins operations under such authority.
                ``(B) Elements.--In the regulations issued pursuant to
            subparagraph (A), the Secretary shall establish the elements of
            the consumer protections standards review, including basic
            management controls. In establishing the elements, the
            Secretary shall consider the effects on small businesses and
            shall consider establishing alternate locations where such
            reviews may be conducted for the convenience of small
            businesses.''.
        (c) Effective Date.--The amendments made by this section shall take
    effect 2 years after the date of enactment of this Act.
    SEC. 32922. FAILURE TO GIVE UP POSSESSION OF HOUSEHOLD GOODS.
        (a) Injunctive Relief.--Section 14704(a)(1) is amended by striking
    ``and 14103'' and inserting ``, 14103, and 14915(c)''.
        (b) Civil Penalties.--Section 14915(a)(1) is amended by adding at
    the end the following:
        ``The United States may assign all or a portion of the civil
    penalty to an aggrieved shipper. The Secretary of Transportation shall
    establish criteria upon which such assignments shall be made. The
    Secretary may order, after notice and an opportunity for a proceeding,
    that a person found holding a household goods shipment hostage return
    the goods to an aggrieved shipper.''.
    SEC. 32923. SETTLEMENT AUTHORITY.
        (a) Settlement of General Civil Penalties.--Section 14901 is
    amended by adding at the end the following:
        ``(h) Settlement of Household Goods Civil Penalties.--Nothing in
    this section shall be construed to prohibit the Secretary from
    accepting partial payment of a civil penalty as part of a settlement
    agreement in the public interest, or from holding imposition of any
    part of a civil penalty in abeyance.''.
        (b) Settlement of Household Goods Civil Penalties.--Section
    14915(a) is amended by adding at the end the following:
            ``(4) Settlement authority.--Nothing in this section shall be
        construed as prohibiting the Secretary from accepting partial
        payment of a civil penalty as part of a settlement agreement in the
        public interest, or from holding imposition of any part of a civil
        penalty in abeyance.''.

                         PART III--TECHNICAL AMENDMENTS

    SEC. 32931. UPDATE OF OBSOLETE TEXT.
        (a) Section 31137(g), as redesignated by section 32301 of this Act,
    is amended by striking ``Not later than December 1, 1990, the Secretary
    shall prescribe'' and inserting ``The Secretary shall maintain''.
        (b) Section 31151(a) is amended--
            (1) by amending paragraph (1) to read as follows:
            ``(1) In general.--The Secretary of Transportation shall
        maintain a program to ensure that intermodal equipment used to
        transport intermodal containers is safe and systematically
        maintained.''; and
            (2) by striking paragraph (4).
        (c) Section 31307(b) is amended by striking ``Not later than
    December 18, 1994, the Secretary shall prescribe'' and inserting ``The
    Secretary shall maintain''.
        (d) Section 31310(g)(1) is amended by striking ``Not later than 1
    year after the date of enactment of this Act, the'' and inserting
    ``The''.
    SEC. 32932. CORRECTION OF INTERSTATE COMMERCE COMMISSION REFERENCES.
        (a) Safety Information and Intervention in Interstate Commerce
    Commission Proceedings.--Chapter 3 is amended--
            (1) by repealing section 307;
            (2) in the analysis, by striking the item relating to section
        307;
            (3) in section 333(d)(1)(C), by striking ``Interstate Commerce
        Commission'' and inserting ``Surface Transportation Board''; and
            (4) in section 333(e)--
                (A) by striking ``Interstate Commerce Commission'' and
            inserting ``Surface Transportation Board''; and
                (B) by striking ``Commission'' and inserting ``Board''.
        (b) Filing and Procedure for Application to Abandon or
    Discontinue.--Section 10903(b)(2) is amended by striking ``24706(c) of
    this title'' and inserting ``24706(c) of this title before May 31,
    1998''.
        (c) Technical Amendments to Part C of Subtitle V.--
            (1) Section 24307(b)(3) is amended by striking ``Interstate
        Commerce Commission'' and inserting ``Surface Transportation
        Board''.
            (2) Section 24311 is amended--
                (A) by striking ``Interstate Commerce Commission'' and
            inserting ``Surface Transportation Board'';
                (B) by striking ``Commission'' each place it appears and
            inserting ``Board''; and
                (C) by striking ``Commission's'' and inserting ``Board's''.
            (3) Section 24902 is amended--
                (A) by striking ``Interstate Commerce Commission'' each
            place it appears and inserting ``Surface Transportation
            Board''; and
                (B) by striking ``Commission'' each place it appears and
            inserting ``Board''.
            (4) Section 24904 is amended--
                (A) by striking ``Interstate Commerce Commission'' and
            inserting ``Surface Transportation Board''; and
                (B) by striking ``Commission'' each place it appears and
            inserting ``Board''.
    SEC. 32933. TECHNICAL AND CONFORMING AMENDMENTS.
        (a) Section 13905(f)(1)(A) is amended by striking ``section
    13904(c)'' and inserting ``section 13904(e)'';
        (b) Section 14504a(c)(1) is amended--
            (1) in subparagraph (C), by striking ``sections'' and inserting
        ``section''; and
            (2) in subparagraph (D)(ii)(II) by striking the period at the
        end and inserting ``; and''.
        (c) Section 31103(a) is amended by striking ``section
    31102(b)(1)(E)'' and inserting ``section 31102(b)(2)(E)''.
        (d) Section 31103(b) is amended by striking ``authorized by section
    31104(f)(2)''.
        (e) Section 31309(b)(2) is amended by striking ``31308(2)'' and
    inserting ``31308(3)''.
    SEC. 32934. EXEMPTIONS FROM REQUIREMENTS FOR COVERED FARM VEHICLES.
        (a) Federal Requirements.--A covered farm vehicle, including the
    individual operating that vehicle, shall be exempt from the following:
            (1) Any requirement relating to commercial driver's licenses
        established under chapter 313 of title 49, United States Code.
            (2) Any requirement relating to drug-testing established under
        chapter 313 of title 49, United States Code.
            (3) Any requirement relating to medical certificates
        established under--
                (A) subchapter III of chapter 311 of title 49, United
            States Code; or
                (B) chapter 313 of title 49, United States Code.
            (4) Any requirement relating to hours of service established
        under--
                (A) subchapter III of chapter 311 of title 49, United
            States Code; or
                (B) chapter 315 of title 49, United States Code.
            (5) Any requirement relating to vehicle inspection, repair, and
        maintenance established under--
                (A) subchapter III of chapter 311 of title 49, United
            States Code; or
                (B) chapter 315 of title 49, United States Code.
        (b) State Requirements.--
            (1) In general.--Federal transportation funding to a State may
        not be terminated, limited, or otherwise interfered with as a
        result of the State exempting a covered farm vehicle, including the
        individual operating that vehicle, from any State requirement
        relating to the operation of that vehicle.
            (2) Exception.--Paragraph (1) does not apply with respect to a
        covered farm vehicle transporting hazardous materials that require
        a placard.
        (c) Covered Farm Vehicle Defined.--
            (1) In general.--In this section, the term ``covered farm
        vehicle'' means a motor vehicle (including an articulated motor
        vehicle)--
                (A) that--
                    (i) is traveling in the State in which the vehicle is
                registered or another State;
                    (ii) is operated by--

                        (I) a farm owner or operator;
                        (II) a ranch owner or operator; or
                        (III) an employee or family member of an individual
                    specified in subclause (I) or (II);

                    (iii) is transporting to or from a farm or ranch--

                        (I) agricultural commodities;
                        (II) livestock; or
                        (III) machinery or supplies;

                    (iv) except as provided in paragraph (2), is not used
                in the operations of a for-hire motor carrier; and
                    (v) is equipped with a special license plate or other
                designation by the State in which the vehicle is registered
                to allow for identification of the vehicle as a farm
                vehicle by law enforcement personnel; and
                (B) that has a gross vehicle weight rating or gross vehicle
            weight, whichever is greater, that is--
                    (i) 26,001 pounds or less; or
                    (ii) greater than 26,001 pounds and traveling within
                the State or within 150 air miles of the farm or ranch with
                respect to which the vehicle is being operated.
            (2) Inclusion.--In this section, the term ``covered farm
        vehicle'' includes a motor vehicle that meets the requirements of
        paragraph (1) (other than paragraph (1)(A)(iv)) and--
                (A) is operated pursuant to a crop share farm lease
            agreement;
                (B) is owned by a tenant with respect to that agreement;
            and
                (C) is transporting the landlord's portion of the crops
            under that agreement.
        (d) Safety Study.--The Secretary of Transportation shall conduct a
    study of the exemption required by subsection (a) as follows:
            (1) Data and analysis of covered farm vehicles shall include--
                (A) the number of vehicles that are operated subject to
            each of the regulatory exemptions permitted under subsection
            (a);
                (B) the number of drivers that operate covered farm
            vehicles subject to each of the regulatory exemptions permitted
            under subsection (a);
                (C) the number of crashes involving covered farm vehicles;
                (D) the number of occupants and non-occupants injured in
            crashes involving covered farm vehicles;
                (E) the number of fatalities of occupants and non-occupants
            killed in crashes involving farm vehicles;
                (F) crash investigations and accident reconstruction
            investigations of all fatalities in crashes involving covered
            farm vehicles;
                (G) overall operating mileage of covered farm vehicles;
                (H) numbers of covered farm vehicles that operate in
            neighboring States; and
                (I) any other data the Secretary deems necessary to analyze
            and include.
            (2) A listing of State regulations issued and maintained in
        each State that are identical to the Federal regulations that are
        subject to exemption in subsection (a).
            (3) The Secretary shall report the findings of the study to the
        appropriate committees of Congress not later than 18 months after
        the date of enactment of this Act.
        (e) Construction.--Nothing in this section shall be construed as
    authority for the Secretary of Transportation to prescribe regulations.

    TITLE III--HAZARDOUS MATERIALS TRANSPORTATION SAFETY IMPROVEMENT ACT OF
                                      2012

    SEC. 33001. SHORT TITLE.
        This title may be cited as the ``Hazardous Materials Transportation
    Safety Improvement Act of 2012''.
    SEC. 33002. DEFINITION.
        In this title, the term ``Secretary'' means the Secretary of
    Transportation.
    SEC. 33003. REFERENCES TO TITLE 49, UNITED STATES CODE.
        Except as otherwise expressly provided, whenever in this title an
    amendment or repeal is expressed in terms of an amendment to, or repeal
    of, a section or other provision, the reference shall be considered to
    be made to a section or other provision of title 49, United States
    Code.
    SEC. 33004. TRAINING FOR EMERGENCY RESPONDERS.
        (a) Training Curriculum.--Section 5115 is amended--
            (1) in subsection (b)(1)(B), by striking ``basic'';
            (2) in subsection (b)(2), by striking ``basic''; and
            (3) in subsection (c), by striking ``basic''.
        (b) Operations Level Training.--Section 5116 is amended--
            (1) in subsection (b)(1), by adding at the end the following:
        ``To the extent that a grant is used to train emergency responders,
        the State or Indian tribe shall provide written certification to
        the Secretary that the emergency responders who receive training
        under the grant will have the ability to protect nearby persons,
        property, and the environment from the effects of accidents or
        incidents involving the transportation of hazardous material in
        accordance with existing regulations or National Fire Protection
        Association standards for competence of responders to accidents and
        incidents involving hazardous materials.'';
            (2) in subsection (j)--
                (A) in paragraph (1), by striking ``funds'' and all that
            follows through ``fighting fires for'' and inserting ``funds
            and through a competitive process, make a grant or make grants
            to national nonprofit fire service organizations for'';
                (B) in paragraph (3)(A), by striking ``train'' and
            inserting ``provide training, including portable training,
            for'';
                (C) in paragraph (4)--
                    (i) by striking ``train'' and inserting ``provide
                training, including portable training, for''; and
                    (ii) by inserting ``comply with Federal regulations and
                national consensus standards for hazardous materials
                response and'' after ``training course shall'';
                (D) by redesignating paragraph (5) as paragraph (8); and
                (E) by inserting after paragraph (4) the following:
            ``(5) The Secretary may not award a grant to an organization
        under this subsection unless the organization ensures that
        emergency responders who receive training under the grant will have
        the ability to protect nearby persons, property, and the
        environment from the effects of accidents or incidents involving
        the transportation of hazardous material in accordance with
        existing regulations or National Fire Protection Association
        standards for competence of responders to accidents and incidents
        involving hazardous materials.
            ``(6) Notwithstanding paragraphs (1) and (3), to the extent
        determined appropriate by the Secretary, a grant awarded by the
        Secretary to an organization under this subsection to conduct
        hazardous material response training programs may be used to train
        individuals with responsibility to respond to accidents and
        incidents involving hazardous material.
            ``(7) For the purposes of this subsection, the term `portable
        training' means live, instructor-led training provided by certified
        fire service instructors that can be offered in any suitable
        setting, rather than specific designated facilities. Under this
        training delivery model, instructors travel to locations convenient
        to students and utilize local facilities and resources.''; and
            (3) in subsection (k)--
                (A) by striking ``annually'' and inserting ``an annual
            report'';
                (B) by inserting ``the report'' after ``make available'';
                (C) by striking ``information'' and inserting ``. The
            report submitted under this subsection shall include
            information''; and
                (D) by striking ``The report shall identify'' and all that
            follows and inserting the following: ``The report submitted
            under this subsection shall identify the ultimate recipients of
            such grants and include--
                ``(A) a detailed accounting and description of each grant
            expenditure by each grant recipient, including the amount of,
            and purpose for, each expenditure;
                ``(B) the number of persons trained under the grant
            program, by training level;
                ``(C) an evaluation of the efficacy of such planning and
            training programs; and
                ``(D) any recommendations the Secretary may have for
            improving such grant programs.''.
    SEC. 33005. PAPERLESS HAZARD COMMUNICATIONS PILOT PROGRAM.
        (a) In General.--The Secretary may conduct pilot projects to
    evaluate the feasibility and effectiveness of using paperless hazard
    communications systems. At least 1 of the pilot projects under this
    section shall take place in a rural area.
        (b) Requirements.--In conducting pilot projects under this section,
    the Secretary--
            (1) may not waive the requirements under section 5110 of title
        49, United States Code; and
            (2) shall consult with organizations representing--
                (A) fire services personnel;
                (B) law enforcement and other appropriate enforcement
            personnel;
                (C) other emergency response providers;
                (D) persons who offer hazardous material for
            transportation;
                (E) persons who transport hazardous material by air,
            highway, rail, and water; and
                (F) employees of persons who transport or offer for
            transportation hazardous material by air, highway, rail, and
            water.
        (c) Report.--Not later than 2 years after the date of enactment of
    this Act, the Secretary shall--
            (1) prepare a report on the results of the pilot projects
        carried out under this section, including--
                (A) a detailed description of the pilot projects;
                (B) an evaluation of each pilot project, including an
            evaluation of the performance of each paperless hazard
            communications system in such project;
                (C) an assessment of the safety and security impact of
            using paperless hazard communications systems, including any
            impact on the public, emergency response, law enforcement, and
            the conduct of inspections and investigations;
                (D) an analysis of the associated benefits and costs of
            using the paperless hazard communications systems for each mode
            of transportation; and
                (E) a recommendation that incorporates the information
            gathered in subparagraphs (A), (B), (C), and (D) on whether
            paperless hazard communications systems should be permanently
            incorporated into the Federal hazardous material transportation
            safety program under chapter 51 of title 49, United States
            Code; and
            (2) submit a final report to the Committee on Commerce,
        Science, and Transportation of the Senate and the Committee on
        Transportation and Infrastructure of the House of Representatives
        that contains the results of the pilot projects carried out under
        this section, including the matters described in paragraph (1).
        (d) Paperless Hazard Communications System Defined.--In this
    section, the term ``paperless hazard communications system'' means the
    use of advanced communications methods, such as wireless communications
    devices, to convey hazard information between all parties in the
    transportation chain, including emergency responders and law
    enforcement personnel. The format of communication may be equivalent to
    that used by the carrier.
    SEC. 33006. IMPROVING DATA COLLECTION, ANALYSIS, AND REPORTING.
        (a) Assessment.--
            (1) In general.--Not later than 6 months after the date of
        enactment of this Act, the Secretary, in consultation with the
        Commandant of the United States Coast Guard, as appropriate, shall
        conduct an assessment to improve the collection, analysis,
        reporting, and use of data related to accidents and incidents
        involving the transportation of hazardous material.
            (2) Review.--The assessment conducted under this subsection
        shall review the methods used by the Pipeline and Hazardous
        Materials Safety Administration (referred to in this section as the
        ``Administration'') for collecting, analyzing, and reporting
        accidents and incidents involving the transportation of hazardous
        material, including the adequacy of--
                (A) information requested on the accident and incident
            reporting forms required to be submitted to the Administration;
                (B) methods used by the Administration to verify that the
            information provided on such forms is accurate and complete;
                (C) accident and incident reporting requirements, including
            whether such requirements should be expanded to include
            shippers and consignees of hazardous materials;
                (D) resources of the Administration related to data
            collection, analysis, and reporting, including staff and
            information technology; and
                (E) the database used by the Administration for recording
            and reporting such accidents and incidents, including the
            ability of users to adequately search the database and find
            information.
        (b) Development of Action Plan.--Not later than 9 months after the
    date of enactment of this Act, the Secretary shall develop an action
    plan and timeline for improving the collection, analysis, reporting,
    and use of data by the Administration, including revising the database
    of the Administration, as appropriate.
        (c) Submission to Congress.--Not later than 15 days after the
    completion of the action plan and timeline under subsection (c), the
    Secretary shall submit the action plan and timeline to the Committee on
    Commerce, Science, and Transportation of the Senate and the Committee
    on Transportation and Infrastructure of the House of Representatives.
        (d) Reporting Requirements.--Section 5125(b)(1)(D) is amended by
    inserting ``and other written hazardous materials transportation
    incident reporting involving State or local emergency responders in the
    initial response to the incident'' before the period at the end.
    SEC. 33007. HAZARDOUS MATERIAL TECHNICAL ASSESSMENT, RESEARCH AND
    DEVELOPMENT, AND ANALYSIS PROGRAM.
        (a) In General.--Chapter 51 is amended by inserting after section
    5117 the following:
    ``Sec. 5118. Hazardous material technical assessment, research and
        development, and analysis program
        ``(a) Risk Reduction.--
            ``(1) Program authorized.--The Secretary of Transportation may
        develop and implement a hazardous material technical assessment,
        research and development, and analysis program for the purpose of--
                ``(A) reducing the risks associated with the transportation
            of hazardous material; and
                ``(B) identifying and evaluating new technologies to
            facilitate the safe, secure, and efficient transportation of
            hazardous material.
            ``(2) Coordination.--In developing the program under paragraph
        (1), the Secretary shall--
                ``(A) utilize information gathered from other modal
            administrations with similar programs; and
                ``(B) coordinate with other modal administrations, as
            appropriate.
        ``(b) Cooperation.--In carrying out subsection (a), the Secretary
    shall work cooperatively with regulated and other entities, including
    shippers, carriers, emergency responders, State and local officials,
    and academic institutions.''.
        (b) Conforming Amendment.--The chapter analysis for chapter 51 is
    amended by inserting after the item relating to section 5117 the
    following:

    ``5118. Hazardous material technical assessment, research and
              development, and analysis program.''.
    SEC. 33008. HAZARDOUS MATERIAL ENFORCEMENT TRAINING.
        (a) In General.--Not later than 18 months after the date of
    enactment of this Act, the Secretary shall develop uniform performance
    standards for training hazardous material inspectors and investigators
    on--
            (1) how to collect, analyze, and publish findings from
        inspections and investigations of accidents or incidents involving
        the transportation of hazardous material; and
            (2) how to identify noncompliance with regulations issued under
        chapter 51 of title 49, United States Code, and take appropriate
        enforcement action.
        (b) Standards and Guidelines.--The Secretary may develop--
            (1) guidelines for hazardous material inspector and
        investigator qualifications;
            (2) best practices and standards for hazardous material
        inspector and investigator training programs; and
            (3) standard protocols to coordinate investigation efforts
        among Federal, State, and local jurisdictions on accidents or
        incidents involving the transportation of hazardous material.
        (c) Availability.--The standards, protocols, and guidelines
    established under this section--
            (1) shall be mandatory for--
                (A) the Department of Transportation's multimodal personnel
            conducting hazardous material enforcement inspections or
            investigations; and
                (B) State employees who conduct federally funded compliance
            reviews, inspections, or investigations; and
            (2) shall be made available to Federal, State, and local
        hazardous material safety enforcement personnel.
    SEC. 33009. INSPECTIONS.
        (a) Notice of Enforcement Measures.--Section 5121(c)(1) is
    amended--
            (1) in subparagraph (E), by striking ``and'' at the end;
            (2) in subparagraph (F), by striking the period at the end and
        inserting ``; and''; and
            (3) by adding at the end the following:
                ``(G) shall provide to the affected offeror, carrier,
            packaging manufacturer or tester, or other person responsible
            for the package reasonable notice of--
                    ``(i) his or her decision to exercise his or her
                authority under paragraph (1);
                    ``(ii) any findings made; and
                    ``(iii) any actions being taken as a result of a
                finding of noncompliance.''.
        (b) Regulations.--
            (1) Matters to be addressed.--Section 5121(e) is amended by
        adding at the end the following:
            ``(3) Matters to be addressed.--The regulations issued under
        this subsection shall address--
                ``(A) the safe and expeditious resumption of transportation
            of perishable hazardous material, including
            radiopharmaceuticals and other medical products, that may
            require timely delivery due to life-threatening situations;
                ``(B) the means by which--
                    ``(i) noncompliant packages that present an imminent
                hazard are placed out-of-service until the condition is
                corrected; and
                    ``(ii) noncompliant packages that do not present a
                hazard are moved to their final destination;
                ``(C) appropriate training and equipment for inspectors;
            and
                ``(D) the proper closure of packaging in accordance with
            the hazardous material regulations.''.
            (2) Finalizing regulations.--In accordance with section
        5103(b)(2) of title 49, United States Code, not later than 1 year
        after the date of enactment of this Act, the Secretary shall take
        all actions necessary to finalize a regulation under paragraph (1)
        of this subsection.
        (c) Grants and Cooperative Agreements.--Section 5121(g)(1) is
    amended by inserting ``safety and'' before ``security''.
    SEC. 33010. CIVIL PENALTIES.
        Section 5123 is amended--
            (1) in subsection (a)--
                (A) in paragraph (1)--
                    (i) by striking ``at least $250 but''; and
                    (ii) by striking ``$50,000'' and inserting ``$75,000'';
                (B) in paragraph (2), by striking ``$100,000'' and
            inserting ``$175,000''; and
                (C) by amending paragraph (3) to read as follows:
            ``(3) If the violation is related to training, a person
        described in paragraph (1) shall be liable for a civil penalty of
        at least $450.''; and
            (2) by adding at the end the following:
        ``(h) Penalty for Obstruction of Inspections and Investigations.--
            ``(1) The Secretary may impose a penalty on a person who
        obstructs or prevents the Secretary from carrying out inspections
        or investigations under subsection (c) or (i) of section 5121.
            ``(2) For the purposes of this subsection, the term `obstructs'
        means actions that were known, or reasonably should have been
        known, to prevent, hinder, or impede an investigation.
        ``(i) Prohibition on Hazardous Material Operations After Nonpayment
    of Penalties.--
            ``(1) In general.--Except as provided under paragraph (2), a
        person subject to the jurisdiction of the Secretary under this
        chapter who fails to pay a civil penalty assessed under this
        chapter, or fails to arrange and abide by an acceptable payment
        plan for such civil penalty, may not conduct any activity regulated
        under this chapter beginning on the 91st day after the date
        specified by order of the Secretary for payment of such penalty
        unless the person has filed a formal administrative or judicial
        appeal of the penalty.
            ``(2) Exception.--Paragraph (1) shall not apply to any person
        who is unable to pay a civil penalty because such person is a
        debtor in a case under chapter 11 of title 11.
            ``(3) Rulemaking.--Not later than 2 years after the date of
        enactment of this subsection, the Secretary, after providing notice
        and an opportunity for public comment, shall issue regulations
        that--
                ``(A) set forth procedures to require a person who is
            delinquent in paying civil penalties to cease any activity
            regulated under this chapter until payment has been made or an
            acceptable payment plan has been arranged; and
                ``(B) ensures that the person described in subparagraph
            (A)--
                    ``(i) is notified in writing; and
                    ``(ii) is given an opportunity to respond before the
                person is required to cease the activity.''.
    SEC. 33011. REPORTING OF FEES.
        Section 5125(f)(2) is amended by striking ``, upon the Secretary's
    request,'' and inserting ``biennially''.
    SEC. 33012. SPECIAL PERMITS, APPROVALS, AND EXCLUSIONS.
        (a) Rulemaking.--Not later than 2 years after the date of enactment
    of this Act, the Secretary, after providing notice and an opportunity
    for public comment, shall issue regulations that establish--
            (1) standard operating procedures to support administration of
        the special permit and approval programs; and
            (2) objective criteria to support the evaluation of special
        permit and approval applications.
        (b) Review of Special Permits.--
            (1) Review.--Not later than 1 year after the date of enactment
        of this Act, the Secretary shall conduct a review and analysis of
        special permits that have been in continuous effect for a 10-year
        period to determine which special permits may be converted into the
        hazardous materials regulations.
            (2) Factors.--In conducting the review and analysis under
        paragraph (1), the Secretary may consider--
                (A) the safety record for hazardous materials transported
            under the special permit;
                (B) the application of a special permit;
                (C) the suitability of provisions in the special permit for
            incorporation into the hazardous materials regulations; and
                (D) rulemaking activity in related areas.
            (3) Rulemaking.--After completing the review and analysis under
        paragraph (1), but not later than 3 years after the date of
        enactment of this Act, and after providing notice and opportunity
        for public comment, the Secretary shall issue regulations to
        incorporate into the hazardous materials regulations any special
        permits identified in the review under paragraph (1) that the
        Secretary determines are appropriate for incorporation, based on
        the factors identified in paragraph (2).
        (c) Incorporation Into Regulation.--Section 5117 is amended by
    adding at the end the following:
        ``(f) Incorporation Into Regulations.--
            ``(1) In general.--Not later than 1 year after the date on
        which a special permit has been in continuous effect for a 10-year
        period, the Secretary shall conduct a review and analysis of that
        special permit to determine whether it may be converted into the
        hazardous materials regulations.
            ``(2) Factors.--In conducting the review and analysis under
        paragraph (1), the Secretary may consider--
                ``(A) the safety record for hazardous materials transported
            under the special permit;
                ``(B) the application of a special permit;
                ``(C) the suitability of provisions in the special permit
            for incorporation into the hazardous materials regulations; and
                ``(D) rulemaking activity in related areas.
            ``(3) Rulemaking.--After completing the review and analysis
        under paragraph (1) and after providing notice and opportunity for
        public comment, the Secretary shall either institute a rulemaking
        to incorporate the special permit into the hazardous materials
        regulations or publish in the Federal Register the Secretary's
        justification for why the special permit is not appropriate for
        incorporation into the regulations.''.
    SEC. 33013. HIGHWAY ROUTING DISCLOSURES.
        (a) List of Route Designations.--Section 5112(c) is amended--
            (1) by striking ``In coordination'' and inserting the
        following:
            ``(1) In general.--In coordination''; and
            (2) by adding at the end the following:
            ``(2) State responsibilities.--
                ``(A) In general.--Each State shall submit to the
            Secretary, in a form and manner to be determined by the
            Secretary and in accordance with subparagraph (B)--
                    ``(i) the name of the State agency responsible for
                hazardous material highway route designations; and
                    ``(ii) a list of the State's currently effective
                hazardous material highway route designations.
                ``(B) Frequency.--Each State shall submit the information
            described in subparagraph (A)(ii)--
                    ``(i) at least once every 2 years; and
                    ``(ii) not later than 60 days after a hazardous
                material highway route designation is established, amended,
                or discontinued.''.
        (b) Compliance With Section 5112.--Section 5125(c)(1) is amended by
    inserting ``, and is published in the Department's hazardous materials
    route registry under section 5112(c)'' before the period at the end.
    SEC. 33014. MOTOR CARRIER SAFETY PERMITS.
        (a) Review.--Not later than 1 year after the date of enactment of
    this Act, the Secretary shall conduct a study of, and transmit to the
    Committee on Commerce, Science, and Transportation of the Senate and
    the Committee on Transportation and Infrastructure of the House of
    Representatives a report on, the implementation of the hazardous
    material safety permit program under section 5109 of title 49, United
    States Code. In conducting the study, the Secretary shall review, at a
    minimum--
            (1) the list of hazardous materials requiring a safety permit;
            (2) the number of permits that have been issued, denied,
        revoked, or suspended since inception of the program and the number
        of commercial motor carriers that have never had a permit denied,
        revoked, or suspended since inception of the program;
            (3) the reasons for such denials, revocations, or suspensions;
            (4) the criteria used by the Federal Motor Carrier Safety
        Administration to determine whether a hazardous material safety
        permit issued by a State is equivalent to the Federal permit; and
            (5) actions the Secretary could implement to improve the
        program, including whether to provide opportunities for an
        additional level of fitness review prior to the denial, revocation,
        or suspension of a safety permit.
        (b) Actions Taken.--Not later than 2 years after the date of
    enactment of this Act, based on the study conducted under subsection
    (a), the Secretary shall either institute a rulemaking to make any
    necessary improvements to the hazardous materials safety permit program
    under section 5109 of title 49, United States Code or publish in the
    Federal Register the Secretary's justification for why a rulemaking is
    not necessary.
    SEC. 33015. WETLINES.
        (a) Evaluation.--Not later than 1 year after the date of enactment
    of this Act, the United States Government Accountability Office shall
    evaluate, and transmit to the Committee on Commerce, Science, and
    Transportation of the Senate and the Committee on Transportation and
    Infrastructure of the House of Representatives, a report on the safety
    of transporting flammable liquids in the external product piping of
    cargo tank motor vehicles (commonly referred to as wetlines). The
    evaluation shall--
            (1) review the safety of transporting flammable liquids in the
        external product piping of cargo tank motor vehicles;
            (2) accurately quantify the number of incidents involving the
        transportation of flammable liquids in external product piping of
        cargo tank motor vehicles;
            (3) identify various alternatives to loading, transporting, and
        unloading flammable liquids in such piping;
            (4) examine the costs and benefits of each alternative; and
            (5) identify any obstacles to implementing each alternative.
        (b) Regulations.--The Secretary may not issue a final rule
    regarding transporting flammable liquids in the external product piping
    of cargo tank motor vehicles prior to completion of the evaluation
    conducted under subsection (a), or 2 years after the date of enactment
    of this Act, whichever is earlier, unless the Secretary determines that
    a risk to public safety, property, or the environment is present or an
    imminent hazard (as defined in section 5102 of title 49, United States
    Code) exists and that the regulations will address the risk or hazard.
    SEC. 33016. HAZMAT EMPLOYEE TRAINING REQUIREMENTS AND GRANTS.
        Section 5107(e)(2) is amended--
            (1) by inserting ``through a competitive process'' between
        ``made'' and ``to''; and
            (2) by striking ``hazmat employee''.
    SEC. 33017. AUTHORIZATION OF APPROPRIATIONS.
        Section 5128 is amended to read as follows:
    ``Sec. 5128. Authorization of appropriations
        ``(a) In General.--There are authorized to be appropriated to the
    Secretary to carry out this chapter (except sections 5107(e),
    5108(g)(2), 5113, 5115, 5116, and 5119)--
            ``(1) $42,338,000 for fiscal year 2013; and
            ``(2) $42,762,000 for fiscal year 2014.
        ``(b) Hazardous Materials Emergency Preparedness Fund.--From the
    Hazardous Materials Emergency Preparedness Fund established under
    section 5116(i), the Secretary may expend, during each of fiscal years
    2013 and 2014--
            ``(1) $188,000 to carry out section 5115;
            ``(2) $21,800,000 to carry out subsections (a) and (b) of
        section 5116, of which not less than $13,650,000 shall be available
        to carry out section 5116(b);
            ``(3) $150,000 to carry out section 5116(f);
            ``(4) $625,000 to publish and distribute the Emergency Response
        Guidebook under section 5116(i)(3); and
            ``(5) $1,000,000 to carry out section 5116(j).
        ``(c) Hazardous Materials Training Grants.--From the Hazardous
    Materials Emergency Preparedness Fund established pursuant to section
    5116(i), the Secretary may expend $4,000,000 for each of the fiscal
    years 2013 and 2014 to carry out section 5107(e).
        ``(d) Credits to Appropriations.--
            ``(1) Expenses.--In addition to amounts otherwise made
        available to carry out this chapter, the Secretary may credit
        amounts 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.
            ``(2) Availability of amounts.--Amounts made available under
        this section shall remain available until expended.''.

    TITLE IV--SPORT FISH RESTORATION AND RECREATIONAL BOATING SAFETY ACT OF
                                      2012

    SEC. 34001. SHORT TITLE.
        This title may be cited as the ``Sport Fish Restoration and
    Recreational Boating Safety Act of 2012''.
    SEC. 34002. AMENDMENT OF FEDERAL AID IN SPORT FISH RESTORATION ACT.
        Section 4 of the Federal Aid in Fish Restoration Act (16 U.S.C.
    777c) is amended--
            (1) in subsection (a), by striking ``of fiscal years 2006
        through 2011 and for the period beginning on October 1, 2011, and
        ending on June 30, 2012,'' and inserting ``fiscal year through
        2014,''; and
            (2) in subsection (b)(1)(A), by striking ``of fiscal years 2006
        through 2011 and for the period beginning on October 1, 2011, and
        ending on March 31, 2012,'' and inserting ``fiscal year through
        2014,''.

                             TITLE V--MISCELLANEOUS

    SEC. 35001. OVERFLIGHTS IN GRAND CANYON NATIONAL PARK.
        (a) Determinations With Respect to Substantial Restoration of
    Natural Quiet and Experience.--
            (1) In general.--Notwithstanding any other provision of law,
        for purposes of section 3(b)(1) of Public Law 100-91 (16 U.S.C. 1a-
        1 note), the substantial restoration of the natural quiet and
        experience of the Grand Canyon National Park (in this section
        referred to as the ``Park'') shall be considered to be achieved in
        the Park if, for at least 75 percent of each day, 50 percent of the
        Park is free of sound produced by commercial air tour operations
        that have an allocation to conduct commercial air tours in the Park
        as of the date of enactment of this Act.
            (2) Considerations.--
                (A) In general.--For purposes of determining whether
            substantial restoration of the natural quiet and experience of
            the Park has been achieved in accordance with paragraph (1),
            the Secretary of the Interior (in this section referred to as
            the ``Secretary'') shall use--
                    (i) the 2-zone system for the Park in effect on the
                date of enactment of this Act to assess impacts relating to
                substantial restoration of natural quiet at the Park,
                including--

                        (I) the thresholds for noticeability and
                    audibility; and
                        (II) the distribution of land between the 2 zones;
                    and

                    (ii) noise modeling science that is--

                        (I) developed for use at the Park, specifically
                    Integrated Noise Model Version 6.2;
                        (II) validated by reasonable standards for
                    conducting field observations of model results; and
                        (III) accepted and validated by the Federal
                    Interagency Committee on Aviation Noise.

                (B) Sound from other sources.--The Secretary shall not
            consider sound produced by sources other than commercial air
            tour operations, including sound emitted by other types of
            aircraft operations or other noise sources, for purposes of--
                    (i) making recommendations, developing a final plan, or
                issuing regulations relating to commercial air tour
                operations in the Park; or
                    (ii) determining under paragraph (1) whether
                substantial restoration of the natural quiet and experience
                of the Park has been achieved.
            (3) Continued monitoring.--The Secretary shall continue
        monitoring noise from aircraft operating over the Park below 17,999
        feet MSL to ensure continued compliance with the substantial
        restoration of natural quiet and experience of the Park.
            (4) Day defined.--For purposes of this section, the term
        ``day'' means the hours between 7:00 a.m. and 7:00 p.m.
        (b) Conversion to Quiet Technology Aircraft.--
            (1) In general.--Not later than 15 years after the date of
        enactment of this Act, all commercial air tour aircraft operating
        in the Grand Canyon National Park Special Flight Rules Area shall
        be required to fully convert to quiet aircraft technology (as
        determined in accordance with regulations in effect on the day
        before the date of enactment of this Act).
            (2) Conversion incentives.--Not later than 60 days after the
        date of enactment of this Act, the Secretary and the Administrator
        of the Federal Aviation Administration shall provide incentives for
        commercial air tour operators that convert to quiet aircraft
        technology (as determined in accordance with the regulations in
        effect on the day before the date of enactment of this Act) before
        the date specified in paragraph (1), such as increasing the flight
        allocations for such operators on a net basis consistent with
        section 804(c) of the National Park Air Tours Management Act of
        2000 (title VIII of Public Law 106-181), provided that the
        cumulative impact of such operations does not increase noise at
        Grand Canyon National Park.
    SEC. 35002. COMMERCIAL AIR TOUR OPERATIONS.
        Section 40128(b)(1)(C) of title 49, United States Code, is amended
    to read as follows:
                ``(C) Exception.--An application to begin or expand
            commercial air tour operations at Crater Lake National Park or
            Great Smoky Mountains National Park may be denied without the
            establishment of an air tour management plan by the Director of
            the National Park Service if the Director determines that such
            operations would adversely affect park resources or visitor
            experiences.''.
    SEC. 35003. QUALIFICATIONS FOR PUBLIC AIRCRAFT STATUS.
        Section 40125 of title 49, United States Code, is amended by adding
    at the end the following:
        ``(d) Search and Rescue Purposes.--An aircraft described in section
    40102(a)(41)(D) that is not exclusively leased for at least 90
    continuous days by the government of a State, the District of Columbia,
    or a territory or possession of the United States or a political
    subdivision of 1 of those governments, qualifies as a public aircraft
    if the Administrator determines that--
            ``(1) there are extraordinary circumstances;
            ``(2) the aircraft will be used for the performance of search
        and rescue missions;
            ``(3) a community would not otherwise have access to search and
        rescue services; and
            ``(4) a government entity demonstrates that granting the waiver
        is necessary to prevent an undue economic burden on that
        government.''.

                              DIVISION D--FINANCE

    SEC. 40001. SHORT TITLE.
        This division may be cited as the ``Highway Investment, Job
    Creation, and Economic Growth Act of 2012''.

      TITLE I--EXTENSION OF HIGHWAY TRUST FUND EXPENDITURE AUTHORITY AND
                                 RELATED TAXES

    SEC. 40101. EXTENSION OF TRUST FUND EXPENDITURE AUTHORITY.
        (a) Highway Trust Fund.--Section 9503 of the Internal Revenue Code
    of 1986 is amended--
            (1) by striking ``July 1, 2012'' in subsections (b)(6)(B),
        (c)(1), and (e)(3) and inserting ``October 1, 2014'', and
            (2) by striking ``Surface Transportation Extension Act of
        2012'' in subsections (c)(1) and (e)(3) and inserting ``MAP-21''.
        (b) Sport Fish Restoration and Boating Trust Fund.--Section 9504 of
    the Internal Revenue Code of 1986 is amended--
            (1) by striking ``Surface Transportation Extension Act of
        2012'' each place it appears in subsection (b)(2) and inserting
        ``MAP-21'', and
            (2) by striking ``July 1, 2012'' in subsection (d)(2) and
        inserting ``October 1, 2014''.
        (c) Leaking Underground Storage Tank Trust Fund.--Paragraph (2) of
    section 9508(e) of the Internal Revenue Code of 1986 is amended by
    striking ``July 1, 2012'' and inserting ``October 1, 2014''.
        (d) Effective Date.--The amendments made by this section shall take
    effect on July 1, 2012.
    SEC. 40102. EXTENSION OF HIGHWAY-RELATED TAXES.
        (a) In General.--
            (1) Each of the following provisions of the Internal Revenue
        Code of 1986 is amended by striking ``June 30, 2012'' and inserting
        ``September 30, 2016'':
                (A) Section 4041(a)(1)(C)(iii)(I).
                (B) Section 4041(m)(1)(B).
                (C) Section 4081(d)(1).
            (2) Each of the following provisions of such Code is amended by
        striking ``July 1, 2012'' and inserting ``October 1, 2016'':
                (A) Section 4041(m)(1)(A).
                (B) Section 4051(c).
                (C) Section 4071(d).
                (D) Section 4081(d)(3).
        (b) Extension of Tax, etc., on Use of Certain Heavy Vehicles.--
            (1) In general.--Each of the following provisions of the
        Internal Revenue Code of 1986 is amended by striking ``2013'' each
        place it appears and inserting ``2017'':
                (A) Section 4481(f).
                (B) Section 4482(d).
            (2) Extension and technical correction.--
                (A) In general.--Paragraph (4) of section 4482(c) of such
            Code is amended to read as follows:
            ``(4) Taxable period.--The term `taxable period' means any year
        beginning before July 1, 2017, and the period which begins on July
        1, 2017, and ends at the close of September 30, 2017.''.
                (B) Effective date.--The amendment made by this paragraph
            shall take effect as if included in the amendments made by
            section 142 of the Surface Transportation Extension Act of
            2011, Part II.
        (c) Floor Stocks Refunds.--Section 6412(a)(1) of the Internal
    Revenue Code of 1986 is amended--
            (1) by striking ``July 1, 2012'' each place it appears and
        inserting ``October 1, 2016'',
            (2) by striking ``December 31, 2012'' each place it appears and
        inserting ``March 31, 2017'', and
            (3) by striking ``October 1, 2012'' and inserting ``January 1,
        2017''.
        (d) Extension of Certain Exemptions.--
            (1) Section 4221(a) of the Internal Revenue Code of 1986 is
        amended by striking ``July 1, 2012'' and inserting ``October 1,
        2016''.
            (2) Section 4483(i) of such Code is amended by striking ``July
        1, 2012'' and inserting ``October 1, 2017''.
        (e) Extension of Transfers of Certain Taxes.--
            (1) In general.--Section 9503 of the Internal Revenue Code of
        1986 is amended--
                (A) in subsection (b)--
                    (i) by striking ``July 1, 2012'' each place it appears
                in paragraphs (1) and (2) and inserting ``October 1,
                2016'',
                    (ii) by striking ``July 1, 2012'' in the heading of
                paragraph (2) and inserting ``October 1, 2016'',
                    (iii) by striking ``June 30, 2012'' in paragraph (2)
                and inserting ``September 30, 2016'', and
                    (iv) by striking ``April 1, 2013'' in paragraph (2) and
                inserting ``July 1, 2017'', and
                (B) in subsection (c)(2), by striking ``April 1, 2013'' and
            inserting ``July 1, 2017''.
            (2) Motorboat and small-engine fuel tax transfers.--
                (A) In general.--Paragraphs (3)(A)(i) and (4)(A) of section
            9503(c) of such Code are each amended by striking ``July 1,
            2012'' and inserting ``October 1, 2016''.
                (B) Conforming amendments to land and water conservation
            fund.--Section 201(b) of the Land and Water Conservation Fund
            Act of 1965 (16 U.S.C. 460l-11(b)) is amended--
                    (i) by striking ``July 1, 2013'' each place it appears
                and inserting ``October 1, 2017'', and
                    (ii) by striking ``July 1, 2012'' and inserting
                ``October 1, 2016''.
        (f) Effective Date.--Except as otherwise provided in this section,
    the amendments made by this section shall take effect on July 1, 2012.

                          TITLE II--REVENUE PROVISIONS
            Subtitle A--Leaking Underground Storage Tank Trust Fund

    SEC. 40201. TRANSFER FROM LEAKING UNDERGROUND STORAGE TANK TRUST FUND
    TO HIGHWAY TRUST FUND.
        (a) In General.--Subsection (c) of section 9508 of the Internal
    Revenue Code of 1986 is amended--
            (1) by striking ``Amounts'' and inserting:
            ``(1) In general.--Except as provided in paragraph (2),
        amounts'', and
            (2) by adding at the end the following new paragraph:
            ``(2) Transfer to highway trust fund.--Out of amounts in the
        Leaking Underground Storage Tank Trust Fund there is hereby
        appropriated $2,400,000,000 to be transferred under section
        9503(f)(3) to the Highway Account (as defined in section
        9503(e)(5)(B)) in the Highway Trust Fund.''.
        (b) Transfer to Highway Trust Fund.--
            (1) In general.--Subsection (f) of section 9503 of the Internal
        Revenue Code of 1986 is amended by inserting after paragraph (2)
        the following new paragraph:
            ``(3) Increase in fund balance.--There is hereby transferred to
        the Highway Account (as defined in subsection (e)(5)(B)) in the
        Highway Trust Fund amounts appropriated from the Leaking
        Underground Storage Tank Trust Fund under section 9508(c)(2).''.
            (2) Conforming amendments.--Paragraph (4) of section 9503(f) of
        such Code is amended--
                (A) by inserting ``or transferred'' after ``appropriated'',
            and
                (B) by striking ``appropriated'' in the heading thereof.

                         Subtitle B--Pension Provisions

                     PART I--PENSION FUNDING STABILIZATION

    SEC. 40211. PENSION FUNDING STABILIZATION.
        (a) Amendments to Internal Revenue Code of 1986.--
            (1) In general.--Subparagraph (C) of section 430(h)(2) of the
        Internal Revenue Code of 1986 is amended by adding at the end the
        following new clause:
                    ``(iv) Segment rate stabilization.--

                        ``(I) In general.--If a segment rate described in
                    clause (i), (ii), or (iii) with respect to any
                    applicable month (determined without regard to this
                    clause) is less than the applicable minimum percentage,
                    or more than the applicable maximum percentage, of the
                    average of the segment rates described in such clause
                    for years in the 25-year period ending with September
                    30 of the calendar year preceding the calendar year in
                    which the plan year begins, then the segment rate
                    described in such clause with respect to the applicable
                    month shall be equal to the applicable minimum
                    percentage or the applicable maximum percentage of such
                    average, whichever is closest. The Secretary shall
                    determine such average on an annual basis and may
                    prescribe equivalent rates for years in any such 25-
                    year period for which the rates described in any such
                    clause are not available.
                        ``(II) Applicable minimum percentage; applicable
                    maximum percentage.--For purposes of subclause (I), the
                    applicable minimum percentage and the applicable
                    maximum percentage for a plan year beginning in a
                    calendar year shall be determined in accordance with
                    the following table:

    ------------------------------------------------------------------------
                                                        The          The
                                                     applicable   applicable
              ``If the calendar year is:              minimum      maximum
                                                     percentage   percentage
                                                        is:          is:
    ------------------------------------------------------------------------
    2012..........................................          90%         110%
    2013..........................................          85%         115%
    2014..........................................          80%         120%
    2015..........................................          75%         125%
    After 2015....................................          70%     130%.''.
    ------------------------------------------------------------------------

        ''.    (2) Conforming amendments.--
                (A) Paragraph (6) of section 404(o) of such Code is amended
            by inserting ``(determined by not taking into account any
            adjustment under clause (iv) of subsection (h)(2)(C) thereof)''
            before the period.
                (B) Subparagraph (F) of section 430(h)(2) of such Code is
            amended by inserting ``and the averages determined under
            subparagraph (C)(iv)'' after ``subparagraph (C)''.
                (C) Subparagraphs (C) and (D) of section 417(e)(3) of such
            Code are each amended by striking ``section 430(h)(2)(C)'' and
            inserting ``section 430(h)(2)(C) (determined by not taking into
            account any adjustment under clause (iv) thereof)''.
                (D) Section 420 of such Code is amended by adding at the
            end the following new subsection:
        ``(g) Segment Rates Determined Without Pension Stabilization.--For
    purposes of this section, section 430 shall be applied without regard
    to subsection (h)(2)(C)(iv) thereof.''.
        (b) Amendments to Employee Retirement Income Security Act of
    1974.--
            (1) In general.--Subparagraph (C) of section 303(h)(2) of the
        Employee Retirement Income Security Act of 1974 (29 U.S.C.
        1083(h)(2)) is amended by adding at the end the following new
        clause:
                    ``(iv) Segment rate stabilization.--

                        ``(I) In general.--If a segment rate described in
                    clause (i), (ii), or (iii) with respect to any
                    applicable month (determined without regard to this
                    clause) is less than the applicable minimum percentage,
                    or more than the applicable maximum percentage, of the
                    average of the segment rates described in such clause
                    for years in the 25-year period ending with September
                    30 of the calendar year preceding the calendar year in
                    which the plan year begins, then the segment rate
                    described in such clause with respect to the applicable
                    month shall be equal to the applicable minimum
                    percentage or the applicable maximum percentage of such
                    average, whichever is closest. The Secretary of the
                    Treasury shall determine such average on an annual
                    basis and may prescribe equivalent rates for years in
                    any such 25-year period for which the rates described
                    in any such clause are not available.
                        ``(II) Applicable minimum percentage; applicable
                    maximum percentage.--For purposes of subclause (I), the
                    applicable minimum percentage and the applicable
                    maximum percentage for a plan year beginning in a
                    calendar year shall be determined in accordance with
                    the following table:

    ------------------------------------------------------------------------
                                                        The          The
                                                     applicable   applicable
              ``If the calendar year is:              minimum      maximum
                                                     percentage   percentage
                                                        is:          is:
    ------------------------------------------------------------------------
    2012..........................................          90%         110%
    2013..........................................          85%         115%
    2014..........................................          80%         120%
    2015..........................................          75%         125%
    After 2015....................................          70%     130%.''.
    ------------------------------------------------------------------------

        ''.    (2) Disclosure of effect of segment rate stabilization on
        plan funding.--
                (A) In general.--Paragraph (2) of section 101(f) of such
            Act (29 U.S.C. 1021(f)) is amended by adding at the end the
            following new subparagraph:
                ``(D) Effect of segment rate stabilization on plan
            funding.--
                    ``(i) In general.--In the case of a single-employer
                plan for an applicable plan year, each notice under
                paragraph (1) shall include--

                        ``(I) a statement that the MAP-21 modified the
                    method for determining the interest rates used to
                    determine the actuarial value of benefits earned under
                    the plan, providing for a 25-year average of interest
                    rates to be taken into account in addition to a 2-year
                    average,
                        ``(II) a statement that, as a result of the MAP-21,
                    the plan sponsor may contribute less money to the plan
                    when interest rates are at historical lows, and
                        ``(III) a table which shows (determined both with
                    and without regard to section 303(h)(2)(C)(iv)) the
                    funding target attainment percentage (as defined in
                    section 303(d)(2)), the funding shortfall (as defined
                    in section 303(c)(4)), and the minimum required
                    contribution (as determined under section 303), for the
                    applicable plan year and each of the 2 preceding plan
                    years.

                    ``(ii) Applicable plan year.--For purposes of this
                subparagraph, the term `applicable plan year' means any
                plan year beginning after December 31, 2011, and before
                January 1, 2015, for which--

                        ``(I) the funding target (as defined in section
                    303(d)(2)) is less than 95 percent of such funding
                    target determined without regard to section
                    303(h)(2)(C)(iv),
                        ``(II) the plan has a funding shortfall (as defined
                    in section 303(c)(4) and determined without regard to
                    section 303(h)(2)(C)(iv)) greater than $500,000, and
                        ``(III) the plan had 50 or more participants on any
                    day during the preceding plan year.

                For purposes of any determination under subclause (III),
                the aggregation rule under the last sentence of section
                303(g)(2)(B) shall apply.
                    ``(iii) Special rule for plan years beginning before
                2012.--In the case of a preceding plan year referred to in
                clause (i)(III) which begins before January 1, 2012, the
                information described in such clause shall be provided only
                without regard to section 303(h)(2)(C)(iv).''.
                (B) Model notice.--The Secretary of Labor shall modify the
            model notice required to be published under section 501(c) of
            the Pension Protection Act of 2006 to prominently include the
            information described in section 101(f)(2)(D) of the Employee
            Retirement Income Security Act of 1974, as added by this
            paragraph.
            (3) Conforming amendments.--
                (A) Subparagraph (F) of section 303(h)(2) of such Act (29
            U.S.C. 1083(h)(2)) is amended by inserting ``and the averages
            determined under subparagraph (C)(iv)'' after ``subparagraph
            (C)''.
                (B) Clauses (ii) and (iii) of section 205(g)(3)(B) of such
            Act (29 U.S.C. 1055(g)(3)(B)) are each amended by striking
            ``section 303(h)(2)(C)'' and inserting ``section 303(h)(2)(C)
            (determined by not taking into account any adjustment under
            clause (iv) thereof)''.
                (C) Clause (iv) of section 4006(a)(3)(E) of such Act (29
            U.S.C. 1306(a)(3)(E)) is amended by striking ``section
            303(h)(2)(C)'' and inserting ``section 303(h)(2)(C)
            (notwithstanding any regulations issued by the corporation,
            determined by not taking into account any adjustment under
            clause (iv) thereof)''.
                (D) Section 4010(d) of such Act (29 U.S.C. 1310(d)) is
            amended by adding at the end the following:
            ``(3) Pension stabilization disregarded.--For purposes of this
        section, the segment rates used in determining the funding target
        and funding target attainment percentage shall be determined by not
        taking into account any adjustment under section
        302(h)((2)(C)(iv).''.
        (c) Effective Date.--
            (1) In general.--The amendments made by this section shall
        apply with respect to plan years beginning after December 31, 2011.
            (2) Rules with respect to elections.--
                (A) Adjusted funding target attainment percentage.--A plan
            sponsor may elect not to have the amendments made by this
            section apply to any plan year beginning before January 1,
            2013, either (as specified in the election)--
                    (i) for all purposes for which such amendments apply,
                or
                    (ii) solely for purposes of determining the adjusted
                funding target attainment percentage under sections 436 of
                the Internal Revenue Code of 1986 and 206(g) of the
                Employee Retirement Income Security Act of 1974 for such
                plan year.
            A plan shall not be treated as failing to meet the requirements
            of sections 204(g) of such Act and 411(d)(6) of such Code
            solely by reason of an election under this paragraph.
                (B) Opt out of existing elections.--If, on the date of the
            enactment of this Act, an election is in effect with respect to
            any plan under sections 303(h)((2)(D)(ii) of the Employee
            Retirement Income Security Act of 1974 and 430(h)((2)(D)(ii) of
            the Internal Revenue Code of 1986, then, notwithstanding the
            last sentence of each such section, the plan sponsor may revoke
            such election without the consent of the Secretary of the
            Treasury. The plan sponsor may make such revocation at any time
            before the date which is 1 year after such date of enactment
            and such revocation shall be effective for the 1st plan year to
            which the amendments made by this section apply and all
            subsequent plan years. Nothing in this subparagraph shall
            preclude a plan sponsor from making a subsequent election in
            accordance with such sections.

                             PART II--PBGC PREMIUMS

    SEC. 40221. SINGLE EMPLOYER PLAN ANNUAL PREMIUM RATES.
        (a) Flat-rate Premium.--
            (1) In general.--Clause (i) of section 4006(a)(3)(A) of the
        Employee Retirement Income Security Act of 1974 (29 U.S.C.
        1306(a)(3)(A)) is amended to read as follows:
            ``(i) in the case of a single-employer plan, an amount for each
        individual who is a participant in such plan during the plan year
        equal to the sum of the additional premium (if any) determined
        under subparagraph (E) and--
                ``(I) for plan years beginning after December 31, 2005, and
            before January 1, 2013, $30;
                ``(II) for plan years beginning after December 31, 2012,
            and before January 1, 2014, $42; and
                ``(III) for plan years beginning after December 31, 2013,
            $49.''.
            (2) Adjustment for inflation.--Subparagraph (F) of section
        4006(a)(3) of such Act (29 U.S.C. 1306(a)(3)) is amended--
                (A) in clause (i)(II), by inserting ``(2012 in the case of
            plan years beginning after calendar year 2014)'' after
            ``2004''; and
                (B) by adding at the end the following new sentence: ``This
            subparagraph shall not apply to plan years beginning in 2013 or
            2014.''.
        (b) Variable-rate Premium.--
            (1) In general.--Subparagraph (E)(ii) of section 4006(a)(3) of
        the Employee Retirement Income Security Act of 1974 (29 U.S.C.
        1306(a)(3)) is amended by striking ``$9.00'' and inserting ``the
        applicable dollar amount under paragraph (8)''.
            (2) Applicable dollar amount.--Section 4006(a) of such Act (29
        U.S.C. 1306(a)) is amended by adding at the end the following:
            ``(8) Applicable dollar amount for variable rate premium.--For
        purposes of paragraph (3)(E)(ii)--
                ``(A) In general.--Except as provided in subparagraphs (B)
            and (C), the applicable dollar amount shall be--
                    ``(i) $9 for plan years beginning in a calendar year
                before 2015;
                    ``(ii) for plan years beginning in calendar year 2015,
                the amount in effect for plan years beginning in 2014
                (determined after application of subparagraph (C)); and
                    ``(iii) for plan years beginning after calendar year
                2015, the amount in effect for plan years beginning in 2015
                (determined after application of subparagraph (C)).
                ``(B) Adjustment for inflation.--For each plan year
            beginning in a calendar year after 2012, there shall be
            substituted for the applicable dollar amount specified under
            subparagraph (A) an amount equal to the greater of--
                    ``(i) the product derived by multiplying such
                applicable dollar amount for plan years beginning in that
                calendar year by the ratio of--

                        ``(I) the national average wage index (as defined
                    in section 209(k)(1) of the Social Security Act) for
                    the first of the 2 calendar years preceding the
                    calendar year in which such plan year begins, to
                        ``(II) the national average wage index (as so
                    defined) for the base year; and

                    ``(ii) such applicable dollar amount in effect for plan
                years beginning in the preceding calendar year.
            If the amount determined under this subparagraph is not a
            multiple of $1, such product shall be rounded to the nearest
            multiple of $1.
                ``(C) Additional increase in 2014 and 2015.--The applicable
            dollar amount determined under subparagraph (A) (after the
            application of subparagraph (B)) shall be increased--
                    ``(i) in the case of plan years beginning in calendar
                year 2014, by $4; and
                    ``(ii) in the case of plan years beginning in calendar
                year 2015, by $5.
                ``(D) Base year.--For purposes of subparagraph (B), the
            base year is--
                    ``(i) 2010, in the case of plan years beginning in
                calendar year 2013 or 2014;
                    ``(ii) 2012, in the case of plan years beginning in
                calendar year 2015; and
                    ``(iii) 2013, in the case of plan years beginning after
                calendar year 2015.''.
            (3) Cap.--
                (A) In general.--Subparagraph (E)(i) of section 4006(a)(3)
            of such Act (29 U.S.C. 1306(a)(3)) is amended by striking ``for
            any plan year shall be'' and all that follows through the end
            and inserting the following ``for any plan year--
            ``(I) shall be an amount equal to the amount determined under
        clause (ii) divided by the number of participants in such plan as
        of the close of the preceding plan year; and
            ``(II) in the case of plan years beginning in a calendar year
        after 2012, shall not exceed $400.''.
                (B) Adjustment for inflation.--Paragraph (3) of section
            4006(a) of such Act (29 U.S.C. 1306(a)(3)), as amended by this
            Act, is amended by adding at the end the following:
        ``(J) For each plan year beginning in a calendar year after 2013,
    there shall be substituted for the dollar amount specified in subclause
    (II) of subparagraph (E)(i) an amount equal to the greater of--
            ``(i) the product derived by multiplying such dollar amount by
        the ratio of--
                ``(I) the national average wage index (as defined in
            section 209(k)(1) of the Social Security Act) for the first of
            the 2 calendar years preceding the calendar year in which such
            plan year begins, to
                ``(II) the national average wage index (as so defined) for
            2011; and
            ``(ii) such dollar amount for plan years beginning in the
        preceding calendar year.
    If the amount determined under this subparagraph is not a multiple of
    $1, such product shall be rounded to the nearest multiple of $1.''.
    SEC. 40222. MULTIEMPLOYER ANNUAL PREMIUM RATES.
        (a) In General.--Subparagraph (A) of section 4006(a)(3) of the
    Employee Retirement Income Security Act of 1974 (29 U.S.C. 1306(a)(3))
    is amended--
            (1) by inserting ``and before January 1, 2013,'' after
        ``December 31, 2005,'' in clause (iv),
            (2) by striking ``or'' at the end of clause (iii),
            (3) by striking the period at the end of clause (iv) and
        inserting ``, or'', and
            (4) by adding at the end the following new clause:
            ``(v) in the case of a multiemployer plan, for plan years
        beginning after December 31, 2012, $12.00 for each individual who
        is a participant in such plan during the applicable plan year.''.
        (b) Inflation Adjustment.--Paragraph (3) of section 4006(a) of the
    Employee Retirement Income Security Act of 1974 (29 U.S.C. 1306(a)(3))
    is amended by adding at the end the following:
        ``(I) For each plan year beginning in a calendar year after 2013,
    there shall be substituted for the premium rate specified in clause (v)
    of subparagraph (A) an amount equal to the greater of--
            ``(i) the product derived by multiplying the premium rate
        specified in clause (v) of subparagraph (A) by the ratio of--
                ``(I) the national average wage index (as defined in
            section 209(k)(1) of the Social Security Act) for the first of
            the 2 calendar years preceding the calendar year in which such
            plan year begins, to
                ``(II) the national average wage index (as so defined) for
            2011; and
            ``(ii) the premium rate in effect under clause (v) of
        subparagraph (A) for plan years beginning in the preceding calendar
        year.
    If the amount determined under this subparagraph is not a multiple of
    $1, such product shall be rounded to the nearest multiple of $1.''.

                         PART III--IMPROVEMENTS OF PBGC

    SEC. 40231. PENSION BENEFIT GUARANTY CORPORATION GOVERNANCE
    IMPROVEMENT.
        (a) Board of Directors of the Pension Benefit Guaranty
    Corporation.--
            (1) In general.--Section 4002(d) of the Employee Retirement
        Income Security Act of 1974 (29 U.S.C. 1302(d)) is amended--
                (A) by striking ``(d) The board of directors'' and
            inserting ``(d)(1) The board of directors''; and
                (B) by adding at the end the following:
        ``(2) A majority of the members of the board of directors in office
    shall constitute a quorum for the transaction of business. The vote of
    the majority of the members present and voting at a meeting at which a
    quorum is present shall be the act of the board of directors.
        ``(3) Each member of the board of directors shall designate in
    writing an official, not below the level of Assistant Secretary, to
    serve as the voting representative of such member on the board. Such
    designation shall be effective until revoked or until a date or event
    specified therein. Any such representative may refer for board action
    any matter under consideration by the designating board member, but
    such representative shall not count toward establishment of a quorum as
    described under paragraph (2).
        ``(4) The Inspector General of the corporation shall report to the
    board of directors, and not less than twice a year, shall attend a
    meeting of the board of directors to provide a report on the activities
    and findings of the Inspector General, including with respect to
    monitoring and review of the operations of the corporation.
        ``(5) The General Counsel of the corporation shall--
            ``(A) serve as the secretary to the board of directors, and
        advise such board as needed; and
            ``(B) have overall responsibility for all legal matters
        affecting the corporation and provide the corporation with legal
        advice and opinions on all matters of law affecting the
        corporation, except that the authority of the General Counsel shall
        not extend to the Office of Inspector General and the independent
        legal counsel of such Office.
        ``(6) Notwithstanding any other provision of this Act, the Office
    of Inspector General and the legal counsel of such Office are
    independent of the management of the corporation and the General
    Counsel of the corporation.
        ``(7) The board of directors may appoint and fix the compensation
    of employees as may be required to enable the board of directors to
    perform its duties. The board of directors shall determine the
    qualifications and duties of such employees and may appoint and fix the
    compensation of experts and consultants in accordance with the
    provisions of section 3109 of title 5, United States Code.''.
            (2) Number of meetings; public availability.--Section 4002(e)
        of such Act (29 U.S.C. 1302(e)) is amended--
                (A) by striking ``The board'' and inserting ``(1) The
            board'';
                (B) by striking ``the corporation.'' and inserting ``the
            corporation, but in no case less than 4 times a year with not
            fewer than 2 members present. Not less than 1 meeting of the
            board of directors during each year shall be a joint meeting
            with the advisory committee under subsection (h).''; and
                (C) by adding at the end the following:
        ``(2)(A) Except as provided in subparagraph (B), the chairman of
    the board of directors shall make available to the public the minutes
    from each meeting of the board of directors.
        ``(B) The minutes of a meeting of the board of directors, or a
    portion thereof, shall not be subject to disclosure under subparagraph
    (A) if the chairman reasonably determines that such minutes, or portion
    thereof, contain confidential employer information including
    information obtained under section 4010, information about the
    investment activities of the corporation, or information regarding
    personnel decisions of the corporation.
        ``(C) The minutes of a meeting, or portion of thereof, exempt from
    disclosure pursuant to subparagraph (B) shall be exempt from disclosure
    under section 552(b) of title 5, United States Code. For purposes of
    such section 552, this subparagraph shall be considered a statute
    described in subsection (b)(3) of such section 552.''.
            (3) Advisory committee.--
                (A) Issues considered by the committee.--Section 4002(h)(1)
            of such Act (29 U.S.C. 1302(h)(1)) is amended--
                    (i) by striking ``, and (D)'' and inserting ``, (D)'';
                and
                    (ii) by striking ``time to time.'' and inserting ``time
                to time, and (E) other issues as determined appropriate by
                the advisory committee.''.
                (B) Joint meeting.--Section 4002(h)(3) of such Act (29
            U.S.C. 1302(h)(3)) is amended by adding at the end the
            following: ``Not less than 1 meeting of the advisory committee
            during each year shall be a joint meeting with the board of
            directors under subsection (e).''.
        (b) Avoiding Conflicts of Interest.--Section 4002 of the Employee
    Retirement Income Security Act of 1974 (29 U.S.C. 1302) is amended by
    adding at the end the following:
        ``(j) Conflicts of Interest.--
            ``(1) In general.--The Director of the corporation and each
        member of the board of directors shall not participate in a
        decision of the corporation in which the Director or such member
        has a direct financial interest. The Director of the corporation
        shall not participate in any activities that would present a
        potential conflict of interest or appearance of a conflict of
        interest without approval of the board of directors.
            ``(2) Establishment of policy.--The board of directors shall
        establish a policy that will inform the identification of potential
        conflicts of interests of the members of the board of directors and
        mitigate perceived conflicts of interest of such members and the
        Director of the corporation.''.
        (c) Risk Mitigation.--Section 4002 of the Employee Retirement
    Income Security Act of 1974 (29 U.S.C. 1302), as amended by subsection
    (b), is further amended by adding at the end the following:
        ``(k) Risk Management Officer.--The corporation shall have a risk
    management officer whose duties include evaluating and mitigating the
    risk that the corporation might experience. The individual in such
    position shall coordinate the risk management efforts of the
    corporation, explain risks and controls to senior management and the
    board of directors of the corporation, and make recommendations.''.
        (d) Director.--Section 4002(c) of the Employee Retirement Income
    Security Act of 1974 (29 U.S.C. 1302(c)) is amended to read as follows:
        ``(c) The Director shall be accountable to the board of directors.
    The Director shall serve for a term of 5 years unless removed by the
    President or the board of directors before the expiration of such 5-
    year term.''.
        (e) Senses of Congress.--
            (1) Formation of committees.--It is the sense of Congress that
        the board of directors of the Pension Benefit Guaranty Corporation
        established under section 4002 of the Employee Retirement Income
        Security Act of 1974 (29 U.S.C. 1302), as amended by this section,
        should form committees, including an audit committee and an
        investment committee composed of not less than 2 members, to
        enhance the overall effectiveness of the board of directors.
            (2) Advisory committee.--It is the sense of Congress that the
        advisory committee to the Pension Benefit Guaranty Corporation
        established under section 4002 of the Employee Retirement Income
        Security Act of 1974 (29 U.S.C. 1302), as amended by this section,
        should provide to the board of directors of such corporation policy
        recommendations regarding changes to the law that would be
        beneficial to the corporation or the voluntary private pension
        system.
        (f) Study Regarding Governance Structures.--
            (1) In general.--Not later than 90 days after the date of
        enactment of this Act, the Pension Benefit Guaranty Corporation
        shall enter into a contract with the National Academy of Public
        Administration to conduct the study described in paragraph (2) with
        respect to the Pension Benefit Guaranty Corporation.
            (2) Content of study.--The study conducted under paragraph (1)
        shall include--
                (A) a review of the governance structures of governmental
            and nongovernmental organizations that are analogous to the
            Pension Benefit Guaranty Corporation; and
                (B) recommendations regarding--
                    (i) the ideal size and composition of the board of
                directors of the Pension Benefit Guaranty Corporation;
                    (ii) procedures to select and remove members of such
                board;
                    (iii) qualifications and term lengths of members of
                such board; and
                    (iv) policies necessary to enhance Congressional
                oversight and transparency of such board and to mitigate
                potential conflicts of interest of the members of such
                board.
            (3) Submission to congress.--Not later than 1 year after the
        initiation of the study under paragraph (1), the National Academy
        of Public Administration shall submit the results of the study to
        the Committees on Health, Education, Labor, and Pensions and
        Finance of the Senate and the Committees on Education and the
        Workforce and Ways and Means of the House of Representatives.
    SEC. 40232. PARTICIPANT AND PLAN SPONSOR ADVOCATE.
        (a) In General.--Title IV of the Employee Retirement Income
    Security Act of 1974 (29 U.S.C. 1301 et seq.) is amended by inserting
    after section 4003 the following:
    ``SEC. 4004. PARTICIPANT AND PLAN SPONSOR ADVOCATE.
        ``(a) In General.--The board of directors of the corporation shall
    select a Participant and Plan Sponsor Advocate from the candidates
    nominated by the advisory committee to the corporation under section
    4002(h)(1) and without regard to the provisions of title 5, United
    States Code, relating to appointments in the competitive service or
    Senior Executive Service.
        ``(b) Duties.--The Participant and Plan Sponsor Advocate shall--
            ``(1) act as a liaison between the corporation, sponsors of
        defined benefit pension plans insured by the corporation, and
        participants in pension plans trusteed by the corporation;
            ``(2) advocate for the full attainment of the rights of
        participants in plans trusteed by the corporation;
            ``(3) assist pension plan sponsors and participants in
        resolving disputes with the corporation;
            ``(4) identify areas in which participants and plan sponsors
        have persistent problems in dealings with the corporation;
            ``(5) to the extent possible, propose changes in the
        administrative practices of the corporation to mitigate problems;
            ``(6) identify potential legislative changes which may be
        appropriate to mitigate problems; and
            ``(7) refer instances of fraud, waste, and abuse, and
        violations of law to the Office of the Inspector General of the
        corporation.
        ``(c) Removal.--If the Participant and Plan Sponsor Advocate is
    removed from office or is transferred to another position or location
    within the corporation or the Department of Labor, the board of the
    directors of the corporation shall communicate in writing the reasons
    for any such removal or transfer to Congress not less than 30 days
    before the removal or transfer. Nothing in this subsection shall
    prohibit a personnel action otherwise authorized by law, other than
    transfer or removal.
        ``(d) Compensation.--The annual rate of basic pay for the
    Participant and Plan Sponsor Advocate shall be the same rate as the
    highest rate of basic pay established for the Senior Executive Service
    under section 5382 of title 5, United States Code, or, if the board of
    directors of the corporation so determines, at a rate fixed under
    section 9503 of such title.
        ``(e) Annual Report.--
            ``(1) In general.--Not later than December 31 of each calendar
        year, the Participant and Plan Sponsor Advocate shall report to the
        Health, Education, Labor, and Pensions Committee of the Senate, the
        Committee on Finance of the Senate, the Committee on Education and
        the Workforce of the House of Representatives, and the Committee on
        Ways and Means of the House of Representatives on the activities of
        the Office of the Participant and Plan Sponsor Advocate during the
        fiscal year ending during such calendar year.
            ``(2) Content.--Each report submitted under paragraph (1)
        shall--
                ``(A) summarize the assistance requests received from
            participants and plan sponsors and describe the activities, and
            evaluate the effectiveness, of the Participant and Plan Sponsor
            Advocate during the preceding year;
                ``(B) identify significant problems the Participant and
            Plan Sponsor Advocate has identified;
                ``(C) include specific legislative and regulatory changes
            to address the problems; and
                ``(D) identify any actions taken to correct problems
            identified in any previous report.
            ``(3) Concurrent submission.--The Participant and Plan Sponsor
        Advocate shall submit a copy of each report to the Secretary of
        Labor, the Director of the corporation, and any other appropriate
        official at the same time such report is submitted to the
        committees of Congress under paragraph (1).''.
        (b) Advisory Committee Nominations.--Section 4002(h)(1) of the
    Employee Retirement Income Security Act of 1974 (29 U.S.C. 1302(h)(1))
    is amended by adding at the end the following new sentence: ``In the
    event of a vacancy or impending vacancy in the office of the
    Participant and Plan Sponsor Advocate established under section 4004,
    the Advisory Committee shall, in consultation with the Director of the
    corporation and participant and plan sponsor advocacy groups, nominate
    at least two but no more than three individuals to serve as the
    Participant and Plan Sponsor Advocate.''.
        (c) Clerical Amendment.--The table of contents in section 1 of the
    Employee Retirement Income Security Act of 1974 is amended by inserting
    after the item relating to section 4003 the following new item:

    ``4004. Participant and Plan Sponsor Advocate.''.
    SEC. 40233. QUALITY CONTROL PROCEDURES FOR THE PENSION BENEFIT GUARANTY
    CORPORATION.
        (a) Annual Peer Review of Insurance Modeling Systems.--The Pension
    Benefit Guaranty Corporation shall contract with a capable agency or
    organization that is independent from the Corporation, such as the
    Social Security Administration, to conduct an annual peer review of the
    Corporation's Single-Employer Pension Insurance Modeling System and the
    Corporation's Multiemployer Pension Insurance Modeling System. The
    board of directors of the Corporation shall designate the agency or
    organization with which any such contract is entered into. The first of
    such annual peer reviews shall be initiated no later than 3 months
    after the date of enactment of this Act.
        (b) Policies and Procedures Relating to the Policy, Research, and
    Analysis Department.--The Pension Benefit Guaranty Corporation shall--
            (1) develop written quality review policies and procedures for
        all modeling and actuarial work performed by the Corporation's
        Policy, Research, and Analysis Department; and
            (2) conduct a record management review of such Department to
        determine what records must be retained as Federal records.
        (c) Report Relating to OIG Recommendations.--Not later than 2
    months after the date of enactment of this Act, the Pension Benefit
    Guaranty Corporation shall submit to Congress a report, approved by the
    board of directors of the Corporation, setting forth a timetable for
    addressing the outstanding recommendations of the Office of the
    Inspector General relating to the Policy, Research, and Analysis
    Department and the Benefits Administration and Payment Department.
    SEC. 40234. LINE OF CREDIT REPEAL.
        (a) In General.--Subsection (c) of section 4005 of the Employee
    Retirement Income Security Act of 1974 (29 U.S.C. 1305) is repealed.
        (b) Conforming Amendments.--
            (1) Section 4005 of the Employee Retirement Income Security Act
        of 1974 (29 U.S.C. 1305) is amended--
                (A) in subsection (b)--
                    (i) paragraph (1)--

                        (I) by striking subparagraph (A); and
                        (II) by redesignating subparagraphs (B) through (G)
                    as subparagraphs (A) through (F), respectively;

                    (ii) in paragraph (2)--

                        (I) by striking subparagraph (C); and
                        (II) by redesignating subparagraphs (D) and (E) as
                    subparagraphs (C) and (D), respectively; and

                    (iii) in paragraph (3), by striking ``but,'' and all
                that follows through the end and inserting a period; and
                (B) in subsection (g)--
                    (i) by striking paragraph (2); and
                    (ii) by redesignating paragraph (3) as paragraph (2).
            (2) Section 4402 of such Act (29 U.S.C. 1461) is amended--
                (A) in subsection (c)(4)--
                    (i) by striking subparagraph (C); and
                    (ii) by redesignating subparagraph (D) as subparagraph
                (C); and
                (B) in subsection (d), by striking ``or (D)''.

                  PART IV--TRANSFERS OF EXCESS PENSION ASSETS

    SEC. 40241. EXTENSION FOR TRANSFERS OF EXCESS PENSION ASSETS TO RETIREE
    HEALTH ACCOUNTS.
        (a) In General.--Paragraph (5) of section 420(b) of the Internal
    Revenue Code of 1986 is amended by striking ``December 31, 2013'' and
    inserting ``December 31, 2021''.
        (b) Conforming ERISA Amendments.--
            (1) Sections 101(e)(3), 403(c)(1), and 408(b)(13) of the
        Employee Retirement Income Security Act of 1974 are each amended by
        striking ``Pension Protection Act of 2006'' and inserting ``MAP-
        21''.
            (2) Section 408(b)(13) of such Act (29 U.S.C. 1108(b)(13)) is
        amended by striking ``January 1, 2014'' and inserting ``January 1,
        2022''.
        (c) Effective Date.--The amendments made by this Act shall take
    effect on the date of the enactment of this Act.
    SEC. 40242. TRANSFER OF EXCESS PENSION ASSETS TO RETIREE GROUP TERM
    LIFE INSURANCE ACCOUNTS.
        (a) In General.--Subsection (a) of section 420 of the Internal
    Revenue Code of 1986 is amended by inserting ``, or an applicable life
    insurance account,'' after ``health benefits account''.
        (b) Applicable Life Insurance Account Defined.--
            (1) In general.--Subsection (e) of section 420 of the Internal
        Revenue Code of 1986 is amended by redesignating paragraphs (4) and
        (5) as paragraphs (5) and (6), respectively, and by inserting after
        paragraph (3) the following new paragraph:
            ``(4) Applicable life insurance account.--The term `applicable
        life insurance account' means a separate account established and
        maintained for amounts transferred under this section for qualified
        current retiree liabilities based on premiums for applicable life
        insurance benefits.''.
            (2) Applicable life insurance benefits defined.--Paragraph (1)
        of section 420(e) of such Code is amended by redesignating
        subparagraph (D) as subparagraph (E) and by inserting after
        subparagraph (C) the following new subparagraph:
                ``(D) Applicable life insurance benefits.--The term
            `applicable life insurance benefits' means group-term life
            insurance coverage provided to retired employees who,
            immediately before the qualified transfer, are entitled to
            receive such coverage by reason of retirement and who are
            entitled to pension benefits under the plan, but only to the
            extent that such coverage is provided under a policy for
            retired employees and the cost of such coverage is excludable
            from the retired employee's gross income under section 79.''.
            (3) Collectively bargained life insurance benefits defined.--
                (A) In general.--Paragraph (6) of section 420(f) of such
            Code is amended by redesignating subparagraph (D) as
            subparagraph (E) and by inserting after subparagraph (C) the
            following new subparagraph:
                ``(D) Collectively bargained life insurance benefits.--The
            term `collectively bargained life insurance benefits' means,
            with respect to any collectively bargained transfer--
                    ``(i) applicable life insurance benefits which are
                provided to retired employees who, immediately before the
                transfer, are entitled to receive such benefits by reason
                of retirement, and
                    ``(ii) if specified by the provisions of the collective
                bargaining agreement governing the transfer, applicable
                life insurance benefits which will be provided at
                retirement to employees who are not retired employees at
                the time of the transfer.''.
                (B) Conforming amendments.--
                    (i) Clause (i) of section 420(e)(1)(C) of such Code is
                amended by striking ``upon retirement'' and inserting ``by
                reason of retirement''.
                    (ii) Subparagraph (C) of section 420(f)(6) of such Code
                is amended--

                        (I) by striking ``which are provided to'' in the
                    matter preceding clause (i),
                        (II) by inserting ``which are provided to'' before
                    ``retired employees'' in clause (i),
                        (III) by striking ``upon retirement'' in clause (i)
                    and inserting ``by reason of retirement'', and
                        (IV) by striking ``active employees who, following
                    their retirement,'' and inserting ``which will be
                    provided at retirement to employees who are not retired
                    employees at the time of the transfer and who''.

        (c) Maintenance of Effort.--
            (1) In general.--Subparagraph (A) of section 420(c)(3) of the
        Internal Revenue Code of 1986 is amended by inserting ``, and each
        group-term life insurance plan under which applicable life
        insurance benefits are provided,'' after ``health benefits are
        provided''.
            (2) Conforming amendments.--
                (A) Subparagraph (B) of section 420(c)(3) of such Code is
            amended--
                    (i) by redesignating subclauses (I) and (II) of clause
                (i) as subclauses (II) and (III) of such clause,
                respectively, and by inserting before subclause (II) of
                such clause, as so redesignated, the following new
                subclause:

                        ``(I) separately with respect to applicable health
                    benefits and applicable life insurance benefits,'', and

                    (ii) by striking ``for applicable health benefits'' and
                all that follows in clause (ii) and inserting ``was
                provided during such taxable year for the benefits with
                respect to which the determination under clause (i) is
                made.''.
                (B) Subparagraph (C) of section 420(c)(3) of such Code is
            amended--
                    (i) by inserting ``for applicable health benefits''
                after ``applied separately'', and
                    (ii) by inserting ``, and separately for applicable
                life insurance benefits with respect to individuals age 65
                or older at any time during the taxable year and with
                respect to individuals under age 65 during the taxable
                year'' before the period.
                (C) Subparagraph (E) of section 420(c)(3) of such Code is
            amended--
                    (i) in clause (i), by inserting ``or retiree life
                insurance coverage, as the case may be,'' after ``retiree
                health coverage'',
                    (ii) in clause (ii), by inserting ``for retiree health
                coverage'' after ``cost reductions'' in the heading
                thereof, and
                    (iii) in clause (ii)(II), by inserting ``with respect
                to applicable health benefits'' after ``liabilities of the
                employer''.
                (D) Paragraph (2) of section 420(f) of such Code is amended
            by striking ``collectively bargained retiree health
            liabilities'' each place it occurs and inserting ``collectively
            bargained retiree liabilities''.
                (E) Clause (i) of section 420(f)(2)(D) of such Code is
            amended--
                    (i) by inserting ``, and each group-term life insurance
                plan or arrangement under which applicable life insurance
                benefits are provided,'' in subclause (I) after
                ``applicable health benefits are provided'',
                    (ii) by inserting ``or applicable life insurance
                benefits, as the case may be,'' in subclause (I) after
                ``provides applicable health benefits'',
                    (iii) by striking ``group health'' in subclause (II),
                and
                    (iv) by inserting ``or collectively bargained life
                insurance benefits'' in subclause (II) after ``collectively
                bargained health benefits''.
                (F) Clause (ii) of section 420(f)(2)(D) of such Code is
            amended--
                    (i) by inserting ``with respect to applicable health
                benefits or applicable life insurance benefits'' after
                ``requirements of subsection (c)(3)'', and
                    (ii) by adding at the end the following: ``Such
                election may be made separately with respect to applicable
                health benefits and applicable life insurance benefits. In
                the case of an election with respect to applicable life
                insurance benefits, the first sentence of this clause shall
                be applied as if subsection (c)(3) as in effect before the
                amendments made by such Act applied to such benefits.''.
                (G) Clause (iii) of section 420(f)(2)(D) of such Code is
            amended--
                    (i) by striking ``retiree'' each place it occurs, and
                    (ii) by inserting ``, collectively bargained life
                insurance benefits, or both, as the case may be,'' after
                ``health benefits'' each place it occurs.
        (d) Coordination With Section 79.--Section 79 of the Internal
    Revenue Code of 1986 is amended by adding at the end the following new
    subsection:
        ``(f) Exception for Life Insurance Purchased in Connection With
    Qualified Transfer of Excess Pension Assets.--Subsection (b)(3) and
    section 72(m)(3) shall not apply in the case of any cost paid (whether
    directly or indirectly) with assets held in an applicable life
    insurance account (as defined in section 420(e)(4)) under a defined
    benefit plan.''.
        (e) Conforming Amendments.--
            (1) Section 420 of the Internal Revenue Code of 1986 is amended
        by striking ``qualified current retiree health liabilities'' each
        place it appears and inserting ``qualified current retiree
        liabilities''.
            (2) Section 420 of such Code is amended by inserting ``, or an
        applicable life insurance account,'' after ``a health benefits
        account'' each place it appears in subsection (b)(1)(A),
        subparagraphs (A), (B)(i), and (C) of subsection (c)(1), subsection
        (d)(1)(A), and subsection (f)(2)(E)(ii).
            (3) Section 420(b) of such Code is amended--
                (A) by adding the following at the end of paragraph (2)(A):
            ``If there is a transfer from a defined benefit plan to both a
            health benefits account and an applicable life insurance
            account during any taxable year, such transfers shall be
            treated as 1 transfer for purposes of this paragraph.'', and
                (B) by inserting ``to an account'' after ``may be
            transferred'' in paragraph (3).
            (4) The heading for section 420(c)(1)(B) of such Code is
        amended by inserting ``or life insurance'' after ``health
        benefits''.
            (5) Paragraph (1) of section 420(e) of such Code is amended--
                (A) by inserting ``and applicable life insurance benefits''
            in subparagraph (A) after ``applicable health benefits'', and
                (B) by striking ``health'' in the heading thereof.
            (6) Subparagraph (B) of section 420(e)(1) of such Code is
        amended--
                (A) in the matter preceding clause (i), by inserting
            ``(determined separately for applicable health benefits and
            applicable life insurance benefits)'' after ``shall be reduced
            by the amount'',
                (B) in clause (i), by inserting ``or applicable life
            insurance accounts'' after ``health benefit accounts'', and
                (C) in clause (i), by striking ``qualified current retiree
            health liability'' and inserting ``qualified current retiree
            liability''.
            (7) The heading for subsection (f) of section 420 of such Code
        is amended by striking ``health'' each place it occurs.
            (8) Subclause (II) of section 420(f)(2)(B)(ii) of such Code is
        amended by inserting ``or applicable life insurance account, as the
        case may be,'' after ``health benefits account''.
            (9) Subclause (III) of section 420(f)(2)(E)(i) of such Code is
        amended--
                (A) by inserting ``defined benefit'' before ``plan
            maintained by an employer'', and
                (B) by inserting ``health'' before ``benefit plans
            maintained by the employer''.
            (10) Paragraphs (4) and (6) of section 420(f) of such Code are
        each amended by striking ``collectively bargained retiree health
        liabilities'' each place it occurs and inserting ``collectively
        bargained retiree liabilities''.
            (11) Subparagraph (A) of section 420(f)(6) of such Code is
        amended--
                (A) in clauses (i) and (ii), by inserting ``, in the case
            of a transfer to a health benefits account,'' before ``his
            covered spouse and dependents'', and
                (B) in clause (ii), by striking ``health plan'' and
            inserting ``plan''.
            (12) Subparagraph (B) of section 420(f)(6) of such Code is
        amended--
                (A) in clause (i), by inserting ``, and collectively
            bargained life insurance benefits,'' after ``collectively
            bargained health benefits'',
                (B) in clause (ii)--
                    (i) by adding at the end the following: ``The preceding
                sentence shall be applied separately for collectively
                bargained health benefits and collectively bargained life
                insurance benefits.'', and
                    (ii) by inserting ``, applicable life insurance
                accounts,'' after ``health benefit accounts'', and
                (C) by striking ``health'' in the heading thereof.
            (13) Subparagraph (E) of section 420(f)(6) of such Code, as
        redesignated by subsection (b), is amended--
                (A) by striking ``bargained health'' and inserting
            ``bargained'',
                (B) by inserting ``, or a group-term life insurance plan or
            arrangement for retired employees,'' after ``dependents'', and
                (C) by striking ``health'' in the heading thereof.
            (14) Section 101(e) of the Employee Retirement Income Security
        Act of 1974 (29 U.S.C. 1021(e)) is amended--
                (A) in paragraphs (1) and (2), by inserting ``or applicable
            life insurance account'' after ``health benefits account'' each
            place it appears, and
                (B) in paragraph (1), by inserting ``or applicable life
            insurance benefit liabilities'' after ``health benefits
            liabilities''.
        (f) Technical Correction.--Clause (iii) of section 420(f)(6)(B) of
    the Internal Revenue Code of 1986 is amended by striking ``416(I)(1)''
    and inserting ``416(i)(1)''.
        (g) Repeal of Deadwood.--
            (1) Subparagraph (A) of section 420(b)(1) of the Internal
        Revenue Code of 1986 is amended by striking ``in a taxable year
        beginning after December 31, 1990''.
            (2) Subsection (b) of section 420 of such Code is amended by
        striking paragraph (4) and by redesignating paragraph (5), as
        amended by this Act, as paragraph (4).
            (3) Paragraph (2) of section 420(b) of such Code, as amended by
        this section, is amended--
                (A) by striking subparagraph (B), and
                (B) by striking ``per year.--'' and all that follows
            through ``No more than'' and inserting ``per year.--No more
            than''.
            (4) Paragraph (2) of section 420(c) of such Code is amended--
                (A) by striking subparagraph (B),
                (B) by moving subparagraph (A) two ems to the left, and
                (C) by striking ``before transfer.--'' and all that follows
            through ``The requirements of this paragraph'' and inserting
            the following: ``before transfer.--The requirements of this
            paragraph''.
            (5) Paragraph (2) of section 420(d) of such Code is amended by
        striking ``after December 31, 1990''.
        (h) Effective Date.--
            (1) In general.--The amendments made by this section shall
        apply to transfers made after the date of the enactment of this
        Act.
            (2) Conforming amendments relating to pension protection act.--
        The amendments made by subsections (b)(3)(B) and (f) shall take
        effect as if included in the amendments made by section 841(a) of
        the Pension Protection Act of 2006.

             Subtitle C--Additional Transfers to Highway Trust Fund

    SEC. 40251. ADDITIONAL TRANSFERS TO HIGHWAY TRUST FUND.
        Subsection (f) of section 9503 of the Internal Revenue Code of
    1986, as amended by this Act, is amended by redesignating paragraph (4)
    as paragraph (5) and by inserting after paragraph (3) the following new
    paragraph:
            ``(4) Additional appropriations to trust fund.--Out of money in
        the Treasury not otherwise appropriated, there is hereby
        appropriated to--
                ``(A) the Highway Account (as defined in subsection
            (e)(5)(B)) in the Highway Trust Fund--
                    ``(i) for fiscal year 2013, $6,200,000,000, and
                    ``(ii) for fiscal year 2014, $10,400,000,000, and
                ``(B) the Mass Transit Account in the Highway Trust Fund,
            for fiscal year 2014, $2,200,000,000.''.

                       DIVISION E--RESEARCH AND EDUCATION

    SEC. 50001. SHORT TITLE.
        This division may be cited as the ``Transportation Research and
    Innovative Technology Act of 2012''.

                                TITLE I--FUNDING

    SEC. 51001. AUTHORIZATION OF APPROPRIATIONS.
        (a) In General.--The following amounts are authorized to be
    appropriated out of the Highway Trust Fund (other than the Mass Transit
    Account):
            (1) Highway research and development program.--To carry out
        sections 503(b), 503(d), and 509 of title 23, United States Code,
        $115,000,000 for each of fiscal years 2013 and 2014.
            (2) Technology and innovation deployment program.--To carry out
        section 503(c) of title 23, United States Code, $62,500,000 for
        each of fiscal years 2013 and 2014.
            (3) Training and education.--To carry out section 504 of title
        23, United States Code, $24,000,000 for each of fiscal years 2013
        and 2014.
            (4) Intelligent transportation systems program.--To carry out
        sections 512 through 518 of title 23, United States Code,
        $100,000,000 for each of fiscal years 2013 and 2014.
            (5) University transportation centers program.--To carry out
        section 5505 of title 49, United States Code, $72,500,000 for each
        of fiscal years 2013 and 2014.
            (6) Bureau of transportation statistics.--To carry out chapter
        63 of title 49, United States Code, $26,000,000 for each of fiscal
        years 2013 and 2014.
        (b) Applicability of Title 23, United States Code.--Funds
    authorized to be appropriated by subsection (a) shall--
            (1) be available for obligation in the same manner as if those
        funds were apportioned under chapter 1 of title 23, United States
        Code, except that the Federal share of the cost of a project or
        activity carried out using those funds shall be 80 percent, unless
        otherwise expressly provided by this Act (including the amendments
        by this Act) or otherwise determined by the Secretary; and
            (2) remain available until expended and not be transferable.

                 TITLE II--RESEARCH, TECHNOLOGY, AND EDUCATION

    SEC. 52001. RESEARCH, TECHNOLOGY, AND EDUCATION.
        Section 501 of title 23, United States Code, is amended--
            (1) by redesignating paragraph (2) as paragraph (8);
            (2) by inserting after paragraph (1) the following:
            ``(2) Incident.--The term `incident' means a crash, natural
        disaster, workzone activity, special event, or other emergency road
        user occurrence that adversely affects or impedes the normal flow
        of traffic.
            ``(3) Innovation lifecycle.--The term `innovation lifecycle'
        means the process of innovating through--
                ``(A) the identification of a need;
                ``(B) the establishment of the scope of research to address
            that need;
                ``(C) setting an agenda;
                ``(D) carrying out research, development, deployment, and
            testing of the resulting technology or innovation; and
                ``(E) carrying out an evaluation of the costs and benefits
            of the resulting technology or innovation.
            ``(4) Intelligent transportation infrastructure.--The term
        `intelligent transportation infrastructure' means fully integrated
        public sector intelligent transportation system components, as
        defined by the Secretary.
            ``(5) Intelligent transportation system.--The terms
        `intelligent transportation system' and `ITS' mean electronics,
        photonics, communications, or information processing used singly or
        in combination to improve the efficiency or safety of a surface
        transportation system.
            ``(6) National architecture.--For purposes of this chapter, the
        term `national architecture' means the common framework for
        interoperability that defines--
                ``(A) the functions associated with intelligent
            transportation system user services;
                ``(B) the physical entities or subsystems within which the
            functions reside;
                ``(C) the data interfaces and information flows between
            physical subsystems; and
                ``(D) the communications requirements associated with the
            information flows.
            ``(7) Project.--The term `project' means an undertaking to
        research, develop, or operationally test intelligent transportation
        systems or any other undertaking eligible for assistance under this
        chapter.''; and
            (3) by inserting after paragraph (8) (as so redesignated) the
        following:
            ``(9) Standard.--The term `standard' means a document that--
                ``(A) contains technical specifications or other precise
            criteria for intelligent transportation systems that are to be
            used consistently as rules, guidelines, or definitions of
            characteristics so as to ensure that materials, products,
            processes, and services are fit for the intended purposes of
            the materials, products, processes, and services; and
                ``(B) may support the national architecture and promote--
                    ``(i) the widespread use and adoption of intelligent
                transportation system technology as a component of the
                surface transportation systems of the United States; and
                    ``(ii) interoperability among intelligent
                transportation system technologies implemented throughout
                the States.''.
    SEC. 52002. SURFACE TRANSPORTATION RESEARCH, DEVELOPMENT, AND
    TECHNOLOGY.
        (a) Surface Transportation Research, Development, and Technology.--
    Section 502 of title 23, United States Code, is amended--
            (1) in the section heading by inserting ``, development, and
        technology'' after ``surface transportation research'';
            (2) in subsection (a)--
                (A) by redesignating paragraphs (1) through (8) as
            paragraphs (2) through (9), respectively;
                (B) by inserting before paragraph (2) (as redesignated by
            subparagraph (A)) the following:
            ``(1) Applicability.--The research, development, and technology
        provisions of this section shall apply throughout this chapter.'';
                (C) in paragraph (2) (as redesignated by subparagraph
            (A))--
                    (i) by inserting ``within the innovation lifecycle''
                after ``activities''; and
                    (ii) by inserting ``communications, impact analysis,''
                after ``training,'';
                (D) in paragraph (3) (as redesignated by subparagraph
            (A))--
                    (i) in subparagraph (B) by striking ``supports research
                in which there is a clear public benefit and'' and
                inserting ``delivers a clear public benefit and occurs
                where'';
                    (ii) in subparagraph (C) by striking ``or'' after the
                semicolon;
                    (iii) by redesignating subparagraph (D) as subparagraph
                (I); and
                    (iv) by inserting after subparagraph (C) the following:
                ``(D) meets and addresses current or emerging needs;
                ``(E) addresses current gaps in research;
                ``(F) presents the best means to align resources with
            multiyear plans and priorities;
                ``(G) ensures the coordination of highway research and
            technology transfer activities, including through activities
            performed by university transportation centers;
                ``(H) educates transportation professionals; or'';
                (E) in paragraph (4) (as redesignated by subparagraph (A))
            by striking subparagraphs (B) through (D) and inserting the
            following:
                ``(B) partner with State highway agencies and other
            stakeholders as appropriate to facilitate research and
            technology transfer activities;
                ``(C) communicate the results of ongoing and completed
            research;
                ``(D) lead efforts to coordinate national emphasis areas of
            highway research, technology, and innovation deployment;
                ``(E) leverage partnerships with industry, academia,
            international entities, and State departments of
            transportation;
                ``(F) lead efforts to reduce unnecessary duplication of
            effort; and
                ``(G) lead efforts to accelerate innovation delivery.'';
                (F) in paragraph (5)(C) (as redesignated by subparagraph
            (A)) by striking ``policy and planning'' and inserting ``all
            highway objectives seeking to improve the performance of the
            transportation system'';
                (G) in paragraph (6) (as redesignated by subparagraph (A))
            in the second sentence, by inserting ``tribal governments,''
            after ``local governments,'';
                (H) in paragraph (8) (as redesignated by subparagraph
            (A))--
                    (i) in the first sentence, by striking ``To the
                maximum'' and inserting the following:
                ``(A) In general.--To the maximum'';
                    (ii) in the second sentence, by striking ``Performance
                measures'' and inserting the following:
                ``(B) Performance measures.--Performance measures'';
                    (iii) in the third sentence, by striking ``All
                evaluations'' and inserting the following:
                ``(D) Availability of evaluations.--All evaluations under
            this paragraph''; and
                    (iv) by inserting after subparagraph (B) the following:
                ``(C) Program plan.--To the maximum extent practicable,
            each program pursued under this chapter shall be part of a
            data-driven, outcome-oriented program plan.''; and
                (I) in paragraph (9) (as redesignated by subparagraph (A)),
            by striking ``surface'';
            (3) in subsection (b)--
                (A) in paragraph (4) by striking ``surface transportation
            research and technology development strategic plan developed
            under section 508'' and inserting ``transportation research and
            development strategic plan of the Secretary developed under
            section 508'';
                (B) in paragraph (5) by striking ``section'' each place it
            appears and inserting ``chapter'';
                (C) in paragraph (6) by adding at the end the following:
                ``(C) Transfer of amounts among states or to federal
            highway administration.--The Secretary may, at the request of a
            State, transfer amounts apportioned or allocated to that State
            under this chapter to another State or the Federal Highway
            Administration to fund research, development, and technology
            transfer activities of mutual interest on a pooled funds basis.
                ``(D) Transfer of obligation authority.--Obligation
            authority for amounts transferred under this subsection shall
            be disbursed in the same manner and for the same amount as
            provided for the project being transferred.''; and
                (D) by adding at the end the following:
            ``(7) Prize competitions.--
                ``(A) In general.--The Secretary may use up to 1 percent of
            the funds made available under section 51001 of the
            Transportation Research and Innovative Technology Act of 2012
            to carry out a program to competitively award cash prizes to
            stimulate innovation in basic and applied research and
            technology development that has the potential for application
            to the national transportation system.
                ``(B) Topics.--In selecting topics for prize competitions
            under this paragraph, the Secretary shall--
                    ``(i) consult with a wide variety of governmental and
                nongovernmental representatives; and
                    ``(ii) give consideration to prize goals that
                demonstrate innovative approaches and strategies to improve
                the safety, efficiency, and sustainability of the national
                transportation system.
                ``(C) Advertising.--The Secretary shall encourage
            participation in the prize competitions through advertising
            efforts.
                ``(D) Requirements and registration.--For each prize
            competition, the Secretary shall publish a notice on a public
            website that describes--
                    ``(i) the subject of the competition;
                    ``(ii) the eligibility rules for participation in the
                competition;
                    ``(iii) the amount of the prize; and
                    ``(iv) the basis on which a winner will be selected.
                ``(E) Eligibility.--An individual or entity may not receive
            a prize under this paragraph unless the individual or entity--
                    ``(i) has registered to participate in the competition
                pursuant to any rules promulgated by the Secretary under
                this section;
                    ``(ii) has complied with all requirements under this
                paragraph;
                    ``(iii)(I) in the case of a private entity, is
                incorporated in, and maintains a primary place of business
                in, the United States; or
                    ``(II) in the case of an individual, whether
                participating singly or in a group, is a citizen or
                permanent resident of the United States;
                    ``(iv) is not a Federal entity or Federal employee
                acting within the scope of his or her employment; and
                    ``(v) has not received a grant to perform research on
                the same issue for which the prize is awarded.
                ``(F) Liability.--
                    ``(i) Assumption of risk.--

                        ``(I) In general.--A registered participant shall
                    agree to assume any and all risks and waive claims
                    against the Federal Government and its related
                    entities, except in the case of willful misconduct, for
                    any injury, death, damage, or loss of property,
                    revenue, or profits, whether direct, indirect, or
                    consequential, arising from participation in a
                    competition, whether such injury, death, damage, or
                    loss arises through negligence or otherwise.
                        ``(II) Related entity.--In this subparagraph, the
                    term `related entity' means a contractor, subcontractor
                    (at any tier), supplier, user, customer, cooperating
                    party, grantee, investigator, or detailee.

                    ``(ii) Financial responsibility.--A participant shall
                obtain liability insurance or demonstrate financial
                responsibility, in amounts determined by the Secretary, for
                claims by--

                        ``(I) a third party for death, bodily injury, or
                    property damage, or loss resulting from an activity
                    carried out in connection with participation in a
                    competition, with the Federal Government named as an
                    additional insured under the registered participant's
                    insurance policy and registered participants agreeing
                    to indemnify the Federal Government against third party
                    claims for damages arising from or related to
                    competition activities; and
                        ``(II) the Federal Government for damage or loss to
                    Government property resulting from such an activity.

                ``(G) Judges.--
                    ``(i) Selection.--Subject to clause (iii), for each
                prize competition, the Secretary, either directly or
                through an agreement under subparagraph (H), may appoint 1
                or more qualified judges to select the winner or winners of
                the prize competition on the basis of the criteria
                described in subparagraph (D).
                    ``(ii) Selection.--Judges for each competition shall
                include individuals from outside the Federal Government,
                including the private sector.
                    ``(iii) Limitations.--A judge selected under this
                subparagraph may not--

                        ``(I) have personal or financial interests in, or
                    be an employee, officer, director, or agent of, any
                    entity that is a registered participant in a prize
                    competition under this paragraph; or
                        ``(II) have a familial or financial relationship
                    with an individual who is a registered participant.

                ``(H) Administering the competition.--The Secretary may
            enter into an agreement with a private, nonprofit entity to
            administer the prize competition, subject to the provisions of
            this paragraph.
                ``(I) Funding.--
                    ``(i) In general.--

                        ``(I) Private sector funding.--A cash prize under
                    this paragraph may consist of funds appropriated by the
                    Federal Government and funds provided by the private
                    sector.
                        ``(II) Government funding.--The Secretary may
                    accept funds from other Federal agencies, State and
                    local governments, and metropolitan planning
                    organizations for a cash prize under this paragraph.
                        ``(III) No special consideration.--The Secretary
                    may not give any special consideration to any private
                    sector entity in return for a donation under this
                    subparagraph.

                    ``(ii) Availability of funds.--Notwithstanding any
                other provision of law, amounts appropriated for prize
                awards under this paragraph--

                        ``(I) shall remain available until expended; and
                        ``(II) may not be transferred, reprogrammed, or
                    expended for other purposes until after the expiration
                    of the 10-year period beginning on the last day of the
                    fiscal year for which the funds were originally
                    appropriated.

                    ``(iii) Savings provision.--Nothing in this
                subparagraph may be construed to permit the obligation or
                payment of funds in violation of the Anti-Deficiency Act
                (31 U.S.C. 1341).
                    ``(iv) Prize announcement.--A prize may not be
                announced under this paragraph until all the funds needed
                to pay out the announced amount of the prize have been
                appropriated by a governmental source or committed to in
                writing by a private source.
                    ``(v) Prize increases.--The Secretary may increase the
                amount of a prize after the initial announcement of the
                prize under this paragraph if--

                        ``(I) notice of the increase is provided in the
                    same manner as the initial notice of the prize; and
                        ``(II) the funds needed to pay out the announced
                    amount of the increase have been appropriated by a
                    governmental source or committed to in writing by a
                    private source.

                    ``(vi) Congressional notification.--A prize competition
                under this paragraph may offer a prize in an amount greater
                than $1,000,000 only after 30 days have elapsed after
                written notice has been transmitted to the Committee on
                Commerce, Science, and Transportation of the Senate and the
                Committees on Transportation and Infrastructure and
                Science, Space, and Technology of the House of
                Representatives.
                    ``(vii) Award limit.--A prize competition under this
                section may not result in the award of more than $25,000 in
                cash prizes without the approval of the Secretary.
                ``(J) Compliance with existing law.--The Federal Government
            shall not, by virtue of offering or providing a prize under
            this paragraph, be responsible for compliance by registered
            participants in a prize competition with Federal law, including
            licensing, export control, and non-proliferation laws, and
            related regulations.
                ``(K) Notice and annual report.--
                    ``(i) In general.--Not later than 30 days prior to
                carrying out an activity under subparagraph (A), the
                Secretary shall notify the Committees on Transportation and
                Infrastructure and Science, Space, and Technology of the
                House of Representatives and the Committees on Environment
                and Public Works and Commerce, Science, and Transportation
                of the Senate of the intent to use such authority.
                    ``(ii) Reports.--

                        ``(I) In general.--The Secretary shall submit to
                    the committees described in clause (i) on an annual
                    basis a report on the activities carried out under
                    subparagraph (A) in the preceding fiscal year if the
                    Secretary exercised the authority under subparagraph
                    (A) in that fiscal year.
                        ``(II) Information included.--A report under this
                    subparagraph shall include, for each prize competition
                    under subparagraph (A)--

                            ``(aa) a description of the proposed goals of
                        the prize competition;
                            ``(bb) an analysis of why the use of the
                        authority under subparagraph (A) was the preferable
                        method of achieving the goals described in item
                        (aa) as opposed to other authorities available to
                        the Secretary, such as contracts, grants, and
                        cooperative agreements;
                            ``(cc) the total amount of cash prizes awarded
                        for each prize competition, including a description
                        of the amount of private funds contributed to the
                        program, the source of such funds, and the manner
                        in which the amounts of cash prizes awarded and
                        claimed were allocated among the accounts of the
                        Department for recording as obligations and
                        expenditures;
                            ``(dd) the methods used for the solicitation
                        and evaluation of submissions under each prize
                        competition, together with an assessment of the
                        effectiveness of such methods and lessons learned
                        for future prize competitions;
                            ``(ee) a description of the resources,
                        including personnel and funding, used in the
                        execution of each prize competition together with a
                        detailed description of the activities for which
                        such resources were used and an accounting of how
                        funding for execution was allocated among the
                        accounts of the agency for recording as obligations
                        and expenditures; and
                            ``(ff) a description of how each prize
                        competition advanced the mission of the
                        Department.'';
            (4) in subsection (c)--
                (A) in paragraph (3)(A)--
                    (i) by striking ``subsection'' and inserting
                ``chapter''; and
                    (ii) by striking ``50'' and inserting ``80''; and
                (B) in paragraph (4) by striking ``subsection'' and
            inserting ``chapter''; and
            (5) by striking subsections (d) through (j).
        (b) Conforming Amendment.--The analysis for chapter 5 of title 23,
    United States Code, is amended by striking the item relating to section
    502 and inserting the following:

    ``502. Surface transportation research, development, and technology.''
    SEC. 52003. RESEARCH AND TECHNOLOGY DEVELOPMENT AND DEPLOYMENT.
        (a) In General.--Section 503 of title 23, United States Code, is
    amended to read as follows:
    ``Sec. 503. Research and technology development and deployment
        ``(a) In General.--The Secretary shall--
            ``(1) carry out research, development, and deployment
        activities that encompass the entire innovation lifecycle; and
            ``(2) ensure that all research carried out under this section
        aligns with the transportation research and development strategic
        plan of the Secretary under section 508.
        ``(b) Highway Research and Development Program.--
            ``(1) Objectives.--In carrying out the highway research and
        development program, the Secretary, to address current and emerging
        highway transportation needs, shall--
                ``(A) identify research topics;
                ``(B) coordinate research and development activities;
                ``(C) carry out research, testing, and evaluation
            activities; and
                ``(D) provide technology transfer and technical assistance.
            ``(2) Improving highway safety.--
                ``(A) In general.--The Secretary shall carry out research
            and development activities from an integrated perspective to
            establish and implement systematic measures to improve highway
            safety.
                ``(B) Objectives.--In carrying out this paragraph, the
            Secretary shall carry out research and development activities--
                    ``(i) to achieve greater long-term safety gains;
                    ``(ii) to reduce the number of fatalities and serious
                injuries on public roads;
                    ``(iii) to fill knowledge gaps that limit the
                effectiveness of research;
                    ``(iv) to support the development and implementation of
                State strategic highway safety plans;
                    ``(v) to advance improvements in, and use of,
                performance prediction analysis for decisionmaking; and
                    ``(vi) to expand technology transfer to partners and
                stakeholders.
                ``(C) Contents.--Research and technology activities carried
            out under this paragraph may include--
                    ``(i) safety assessments and decisionmaking tools;
                    ``(ii) data collection and analysis;
                    ``(iii) crash reduction projections;
                    ``(iv) low-cost safety countermeasures;
                    ``(v) innovative operational improvements and designs
                of roadway and roadside features;
                    ``(vi) evaluation of countermeasure costs and benefits;
                    ``(vii) development of tools for projecting impacts of
                safety countermeasures;
                    ``(viii) rural road safety measures;
                    ``(ix) safety measures for vulnerable road users,
                including bicyclists and pedestrians;
                    ``(x) safety policy studies;
                    ``(xi) human factors studies and measures;
                    ``(xii) safety technology deployment;
                    ``(xiii) safety workforce professional capacity
                building initiatives;
                    ``(xiv) safety program and process improvements; and
                    ``(xv) tools and methods to enhance safety performance,
                including achievement of statewide safety performance
                targets.
            ``(3) Improving infrastructure integrity.--
                ``(A) In general.--The Secretary shall carry out and
            facilitate highway and bridge infrastructure research and
            development activities--
                    ``(i) to maintain infrastructure integrity;
                    ``(ii) to meet user needs; and
                    ``(iii) to link Federal transportation investments to
                improvements in system performance.
                ``(B) Objectives.--In carrying out this paragraph, the
            Secretary shall carry out research and development activities--
                    ``(i) to reduce the number of fatalities attributable
                to infrastructure design characteristics and work zones;
                    ``(ii) to improve the safety and security of highway
                infrastructure;
                    ``(iii) to increase the reliability of lifecycle
                performance predictions used in infrastructure design,
                construction, and management;
                    ``(iv) to improve the ability of transportation
                agencies to deliver projects that meet expectations for
                timeliness, quality, and cost;
                    ``(v) to reduce user delay attributable to
                infrastructure system performance, maintenance,
                rehabilitation, and construction;
                    ``(vi) to improve highway condition and performance
                through increased use of design, materials, construction,
                and maintenance innovations;
                    ``(vii) to reduce the environmental impacts of highway
                infrastructure through innovations in design, construction,
                operation, preservation, and maintenance; and
                    ``(viii) to study vulnerabilities of the transportation
                system to seismic activities and extreme events and methods
                to reduce those vulnerabilities.
                ``(C) Contents.--Research and technology activities carried
            out under this paragraph may include--
                    ``(i) long-term infrastructure performance programs
                addressing pavements, bridges, tunnels, and other
                structures;
                    ``(ii) short-term and accelerated studies of
                infrastructure performance;
                    ``(iii) research to develop more durable infrastructure
                materials and systems;
                    ``(iv) advanced infrastructure design methods;
                    ``(v) accelerated highway and bridge construction;
                    ``(vi) performance-based specifications;
                    ``(vii) construction and materials quality assurance;
                    ``(viii) comprehensive and integrated infrastructure
                asset management;
                    ``(ix) infrastructure safety assurance;
                    ``(x) sustainable infrastructure design and
                construction;
                    ``(xi) infrastructure rehabilitation and preservation
                techniques, including techniques to rehabilitate and
                preserve historic infrastructure;
                    ``(xii) hydraulic, geotechnical, and aerodynamic
                aspects of infrastructure;
                    ``(xiii) improved highway construction technologies and
                practices;
                    ``(xiv) improved tools, technologies, and models for
                infrastructure management, including assessment and
                monitoring of infrastructure condition;
                    ``(xv) studies to improve flexibility and resiliency of
                infrastructure systems to withstand climate variability;
                    ``(xvi) studies on the effectiveness of fiber-based
                additives to improve the durability of surface
                transportation materials in various geographic regions;
                    ``(xvii) studies of infrastructure resilience and other
                adaptation measures;
                    ``(xviii) maintenance of seismic research activities,
                including research carried out in conjunction with other
                Federal agencies to study the vulnerability of the
                transportation system to seismic activity and methods to
                reduce that vulnerability; and
                    ``(xix) technology transfer and adoption of permeable,
                pervious, or porous paving materials, practices, and
                systems that are designed to minimize environmental
                impacts, stormwater runoff, and flooding and to treat or
                remove pollutants by allowing stormwater to infiltrate
                through the pavement in a manner similar to predevelopment
                hydrologic conditions.
                ``(D) Lifecycle costs analysis study.--
                    ``(i) In general.--In this subparagraph, the term
                `lifecycle costs analysis' means a process for evaluating
                the total economic worth of a usable project segment by
                analyzing initial costs and discounted future costs, such
                as maintenance, user, reconstruction, rehabilitation,
                restoring, and resurfacing costs, over the life of the
                project segment.
                    ``(ii) Study.--The Comptroller General shall conduct a
                study of the best practices for calculating lifecycle costs
                and benefits for federally funded highway projects, which
                shall include, at a minimum, a thorough literature review
                and a survey of current lifecycle cost practices of State
                departments of transportation.
                    ``(iii) Consultation.--In carrying out the study, the
                Comptroller shall consult with, at a minimum--

                        ``(I) the American Association of State Highway and
                    Transportation Officials;
                        ``(II) appropriate experts in the field of
                    lifecycle cost analysis; and
                        ``(III) appropriate industry experts and research
                    centers.

                ``(E) Report.--Not later than 1 year after the date of
            enactment of the Transportation Research and Innovative
            Technology Act of 2012, the Comptroller General shall submit to
            the Committee on Environment and Public Works of the Senate and
            the Committees on Transportation and Infrastructure and
            Science, Space, and Technology of the House of Representatives
            a report on the results of the study which shall include--
                    ``(i) a summary of the latest research on lifecycle
                cost analysis; and
                    ``(ii) recommendations on the appropriate--

                        ``(I) period of analysis;
                        ``(II) design period;
                        ``(III) discount rates; and
                        ``(IV) use of actual material life and maintenance
                    cost data.

            ``(4) Strengthening transportation planning and environmental
        decisionmaking.--
                ``(A) In general.--The Secretary may carry out research--
                    ``(i) to minimize the cost of transportation planning
                and environmental decisionmaking processes;
                    ``(ii) to improve transportation planning and
                environmental decisionmaking processes; and
                    ``(iii) to minimize the potential impact of surface
                transportation on the environment.
                ``(B) Objectives.--In carrying out this paragraph the
            Secretary may carry out research and development activities--
                    ``(i) to minimize the cost of highway infrastructure
                and operations;
                    ``(ii) to reduce the potential impact of highway
                infrastructure and operations on the environment;
                    ``(iii) to advance improvements in environmental
                analyses and processes and context sensitive solutions for
                transportation decisionmaking;
                    ``(iv) to improve construction techniques;
                    ``(v) to accelerate construction to reduce congestion
                and related emissions;
                    ``(vi) to reduce the impact of highway runoff on the
                environment;
                    ``(vii) to improve understanding and modeling of the
                factors that contribute to the demand for transportation;
                and
                    ``(viii) to improve transportation planning
                decisionmaking and coordination.
                ``(C) Contents.--Research and technology activities carried
            out under this paragraph may include--
                    ``(i) creation of models and tools for evaluating
                transportation measures and transportation system designs,
                including the costs and benefits;
                    ``(ii) congestion reduction efforts;
                    ``(iii) transportation and economic development
                planning in rural areas and small communities;
                    ``(iv) improvement of State, local, and tribal
                government capabilities relating to surface transportation
                planning and the environment; and
                    ``(v) streamlining of project delivery processes.
            ``(5) Reducing congestion, improving highway operations, and
        enhancing freight productivity.--
                ``(A) In general.--The Secretary shall carry out research
            under this paragraph with the goals of--
                    ``(i) addressing congestion problems;
                    ``(ii) reducing the costs of congestion;
                    ``(iii) improving freight movement;
                    ``(iv) increasing productivity; and
                    ``(v) improving the economic competitiveness of the
                United States.
                ``(B) Objectives.--In carrying out this paragraph, the
            Secretary shall carry out research and development activities
            to identify, develop, and assess innovations that have the
            potential--
                    ``(i) to reduce traffic congestion;
                    ``(ii) to improve freight movement; and
                    ``(iii) to reduce freight-related congestion throughout
                the transportation network.
                ``(C) Contents.--Research and technology activities carried
            out under this paragraph may include--
                    ``(i) active traffic and demand management;
                    ``(ii) acceleration of the implementation of
                Intelligent Transportation Systems technology;
                    ``(iii) advanced transportation concepts and analysis;
                    ``(iv) arterial management and traffic signal
                operation;
                    ``(v) congestion pricing;
                    ``(vi) corridor management;
                    ``(vii) emergency operations;
                    ``(viii) research relating to enabling technologies and
                applications;
                    ``(ix) freeway management;
                    ``(x) evaluation of enabling technologies;
                    ``(xi) impacts of vehicle size and weight on
                congestion;
                    ``(xii) freight operations and technology;
                    ``(xiii) operations and freight performance measurement
                and management;
                    ``(xiv) organization and planning for operations;
                    ``(xv) planned special events management;
                    ``(xvi) real-time transportation information;
                    ``(xvii) road weather management;
                    ``(xviii) traffic and freight data and analysis tools;
                    ``(xix) traffic control devices;
                    ``(xx) traffic incident management;
                    ``(xxi) work zone management;
                    ``(xxii) communication of travel, roadway, and
                emergency information to persons with disabilities;
                    ``(xxiii) research on enhanced mode choice and
                intermodal connectivity;
                    ``(xxiv) techniques for estimating and quantifying
                public benefits derived from freight transportation
                projects; and
                    ``(xxv) other research areas to identify and address
                emerging needs related to freight transportation by all
                modes.
            ``(6) Exploratory advanced research.--The Secretary shall carry
        out research and development activities relating to exploratory
        advanced research--
                ``(A) to leverage the targeted capabilities of the Turner-
            Fairbank Highway Research Center to develop technologies and
            innovations of national importance; and
                ``(B) to develop potentially transformational solutions to
            improve the durability, efficiency, environmental impact,
            productivity, and safety aspects of highway and intermodal
            transportation systems.
            ``(7) Turner-fairbank highway research center.--
                ``(A) In general.--The Secretary shall continue to operate
            in the Federal Highway Administration a Turner-Fairbank Highway
            Research Center.
                ``(B) Uses of the center.--The Turner-Fairbank Highway
            Research Center shall support--
                    ``(i) the conduct of highway research and development
                relating to emerging highway technology;
                    ``(ii) 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;
                    ``(iii) the development of innovative highway products
                and practices; and
                    ``(iv) the conduct of long-term, high-risk research to
                improve the materials used in highway infrastructure.
            ``(8) Infrastructure investment needs report.--
                ``(A) In general.--Not later than July 31, 2013, and July
            31 of every second year thereafter, the Secretary shall submit
            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 that describes estimates of
            the future highway and bridge needs of the United States and
            the backlog of current highway and bridge needs.
                ``(B) Comparisons.--Each report under subparagraph (A)
            shall include all information necessary to relate and compare
            the conditions and service measures used in the previous
            biennial reports to conditions and service measures used in the
            current report.
                ``(C) Inclusions.--Each report under subparagraph (A) shall
            provide recommendations to Congress on changes to the highway
            performance monitoring system that address--
                    ``(i) improvements to the quality and standardization
                of data collection on all functional classifications of
                Federal-aid highways for accurate system length, lane
                length, and vehicle-mile of travel; and
                    ``(ii) changes to the reporting requirements authorized
                under section 315, to reflect recommendations under this
                paragraph for collection, storage, analysis, reporting, and
                display of data for Federal-aid highways and, to the
                maximum extent practical, all public roads.
        ``(c) Technology and Innovation Deployment Program.--
            ``(1) In general.--The Secretary shall carry out a technology
        and innovation deployment program relating to all aspects of
        highway transportation, including planning, financing, operation,
        structures, materials, pavements, environment, construction, and
        the duration of time between project planning and project delivery,
        with the goals of--
                ``(A) significantly accelerating the adoption of innovative
            technologies by the surface transportation community;
                ``(B) providing leadership and incentives to demonstrate
            and promote state-of-the-art technologies, elevated performance
            standards, and new business practices in highway construction
            processes that result in improved safety, faster construction,
            reduced congestion from construction, and improved quality and
            user satisfaction;
                ``(C) constructing longer-lasting highways through the use
            of innovative technologies and practices that lead to faster
            construction of efficient and safe highways and bridges;
                ``(D) improving highway efficiency, safety, mobility,
            reliability, service life, environmental protection, and
            sustainability; and
                ``(E) developing and deploying new tools, techniques, and
            practices to accelerate the adoption of innovation in all
            aspects of highway transportation.
            ``(2) Implementation.--
                ``(A) In general.--The Secretary shall promote, facilitate,
            and carry out the program established under paragraph (1) to
            distribute the products, technologies, tools, methods, or other
            findings that result from highway research and development
            activities, including research and development activities
            carried out under this chapter.
                ``(B) Accelerated innovation deployment.--In carrying out
            the program established under paragraph (1), the Secretary
            shall--
                    ``(i) establish and carry out demonstration programs;
                    ``(ii) provide technical assistance, and training to
                researchers and developers; and
                    ``(iii) develop improved tools and methods to
                accelerate the adoption of proven innovative practices and
                technologies as standard practices.
                ``(C) Implementation of future strategic highway research
            program findings and results.--
                    ``(i) In general.--The Secretary, in consultation with
                the American Association of State Highway and
                Transportation Officials and the Transportation Research
                Board of the National Academy of Sciences, shall promote
                research results and products developed under the future
                strategic highway research program administered by the
                Transportation Research Board of the National Academy of
                Sciences.
                    ``(ii) Basis for findings.--The activities carried out
                under this subparagraph shall be based on the report
                submitted to Congress by the Transportation Research Board
                of the National Academy of Sciences under section 510(e).
                    ``(iii) Personnel.--The Secretary may use funds made
                available to carry out this subsection for administrative
                costs under this subparagraph.
            ``(3) Accelerated implementation and deployment of pavement
        technologies.--
                ``(A) In general.--The Secretary shall establish and
            implement a program under the technology and innovation
            deployment program to promote, implement, deploy, demonstrate,
            showcase, support, and document the application of innovative
            pavement technologies, practices, performance, and benefits.
                ``(B) Goals.--The goals of the accelerated implementation
            and deployment of pavement technologies program shall include--
                    ``(i) the deployment of new, cost-effective designs,
                materials, recycled materials, and practices to extend the
                pavement life and performance and to improve user
                satisfaction;
                    ``(ii) the reduction of initial costs and lifecycle
                costs of pavements, including the costs of new
                construction, replacement, maintenance, and rehabilitation;
                    ``(iii) the deployment of accelerated construction
                techniques to increase safety and reduce construction time
                and traffic disruption and congestion;
                    ``(iv) the deployment of engineering design criteria
                and specifications for new and efficient practices,
                products, and materials for use in highway pavements;
                    ``(v) the deployment of new nondestructive and real-
                time pavement evaluation technologies and construction
                techniques; and
                    ``(vi) effective technology transfer and information
                dissemination to accelerate implementation of new
                technologies and to improve life, performance, cost
                effectiveness, safety, and user satisfaction.
                ``(C) Funding.--The Secretary shall obligate for each of
            fiscal years 2013 through 2014 from funds made available to
            carry out this subsection $12,000,000 to accelerate the
            deployment and implementation of pavement technology.''.
        (b) Conforming Amendment.--The analysis for chapter 5 of title 23,
    United States Code, is amended by striking the item relating to section
    503 and inserting the following:

    ``503. Research and technology development and deployment.''.
    SEC. 52004. TRAINING AND EDUCATION.
        Section 504 of title 23, United States Code, is amended--
            (1) in subsection (a)--
                (A) in paragraph (2)(A) by inserting ``and the employees of
            any other applicable Federal agency'' before the semicolon at
            the end; and
                (B) in paragraph (3)(A)(ii)(V) by striking ``expediting''
            and inserting ``reducing the amount of time required for'';
            (2) in subsection (b) by striking paragraph (3) and inserting
        the following:
            ``(3) Federal share.--
                ``(A) Local technical assistance centers.--
                    ``(i) In general.--Subject to subparagraph (B), the
                Federal share of the cost of an activity carried out by a
                local technical assistance center under paragraphs (1) and
                (2) shall be 50 percent.
                    ``(ii) Non-federal share.--The non-Federal share of the
                cost of an activity described in clause (i) may consist of
                amounts provided to a recipient under subsection (e) or
                section 505, up to 100 percent of the non-Federal share.
                ``(B) Tribal technical assistance centers.--The Federal
            share of the cost of an activity carried out by a tribal
            technical assistance center under paragraph (2)(D)(ii) shall be
            100 percent.'';
            (3) in subsection (c)(2)--
                (A) by striking ``The Secretary'' and inserting the
            following:
                ``(A) In general.--The Secretary'';
                (B) in subparagraph (A) (as designated by subparagraph (A))
            by striking ``. The program'' and inserting ``, which
            program''; and
                (C) by adding at the end the following:
                ``(B) Use of amounts.--Amounts provided to institutions of
            higher education to carry out this paragraph shall be used to
            provide direct support of student expenses.'';
            (4) in subsection (e)--
                (A) in paragraph (1)--
                    (i) in the matter preceding subparagraph (A) by
                striking ``sections 104(b)(1), 104(b)(2), 104(b)(3),
                104(b)(4), and 144(e)'' and inserting ``paragraphs (1)
                through (4) of section 104(b)'';
                    (ii) in subparagraph (D) by striking ``and'' at the
                end;
                    (iii) in subparagraph (E) by striking the period and
                inserting a semicolon; and
                    (iv) by adding at the end the following:
                ``(F) activities carried out by the National Highway
            Institute under subsection (a); and
                ``(G) local technical assistance programs under subsection
            (b).''; and
                (B) in paragraph (2) by inserting ``, except for activities
            carried out under paragraph (1)(G), for which the Federal share
            shall be 50 percent'' before the period at the end;
            (5) in subsection (f) in the heading, by striking ``Pilot'';
            (6) in subsection (g)(4)(F) by striking ``excellence'' and
        inserting ``stewardship''; and
            (7) by adding at the end the following:
        ``(h) Centers for Surface Transportation Excellence.--
            ``(1) In general.--The Secretary shall make grants under this
        section to establish and maintain centers for surface
        transportation excellence.
            ``(2) Goals.--The goals of a center referred to in paragraph
        (1) shall be to promote and support strategic national surface
        transportation programs and activities relating to the work of
        State departments of transportation in the areas of environment,
        surface transportation safety, rural safety, and project finance.
            ``(3) Role of the centers.--To achieve the goals set forth in
        paragraph (2), any centers established under paragraph (1) shall
        provide technical assistance, information sharing of best
        practices, and training in the use of tools and decisionmaking
        processes that can assist States in effectively implementing
        surface transportation programs, projects, and policies.
            ``(4) Program administration.--
                ``(A) Competition.--A party entering into a contract,
            cooperative agreement, or other transaction with the Secretary
            under this subsection, or receiving a grant to perform research
            or provide technical assistance under this subsection, shall be
            selected on a competitive basis.
                ``(B) Strategic plan.--The Secretary shall require each
            center to develop a multiyear strategic plan, that--
                    ``(i) is submitted to the Secretary at such time as the
                Secretary requires; and
                    ``(ii) describes--

                        ``(I) the activities to be undertaken by the
                    center; and
                        ``(II) how the work of the center will be
                    coordinated with the activities of the Federal Highway
                    Administration and the various other research,
                    development, and technology transfer activities
                    authorized under this chapter.''.

    SEC. 52005. STATE PLANNING AND RESEARCH.
        Section 505 of title 23, United States Code, is amended--
            (1) in subsection (a)--
                (A) in the matter preceding paragraph (1) by striking
            ``section 104 (other than sections 104(f) and 104(h)) and under
            section 144'' and inserting ``paragraphs (1) through (4) of
            section 104(b)''; and
                (B) in paragraph (3) by striking ``under section 303'' and
            inserting ``, plans, and processes under sections 119, 148,
            149, and 167'';
            (2) by redesignating subsections (c) and (d) as subsections (d)
        and (e), respectively;
            (3) by inserting after subsection (b) the following:
        ``(c) Implementation of Future Strategic Highway Research Program
    Findings and Results.--
            ``(1) Funds.--A State shall make available to the Secretary to
        carry out section 503(c)(2)(C) a percentage of funds subject to
        subsection (a) that are apportioned to that State, that is agreed
        to by \3/4\ of States for each of fiscal years 2013 and 2014.
            ``(2) Treatment of funds.--Funds expended under paragraph (1)
        shall not be considered to be part of the extramural budget of the
        agency for the purpose of section 9 of the Small Business Act (15
        U.S.C. 638).''; and
            (4) in subsection (e) (as so redesignated) by striking
        ``section 118(b)(2)'' and inserting ``section 118(b)''.
    SEC. 52006. INTERNATIONAL HIGHWAY TRANSPORTATION PROGRAM.
        (a) In General.--Section 506 of title 23, United States Code, is
    repealed.
        (b) Conforming Amendment.--The analysis for chapter 5 of title 23,
    United States Code, is amended by striking the item relating to section
    506.
    SEC. 52007. SURFACE TRANSPORTATION ENVIRONMENTAL COOPERATIVE RESEARCH
    PROGRAM.
        (a) In General.--Section 507 of title 23, United States Code, is
    repealed.
        (b) Conforming Amendment.--The analysis for chapter 5 of title 23,
    United States Code, is amended by striking the item relating to section
    507.
    SEC. 52008. NATIONAL COOPERATIVE FREIGHT RESEARCH.
        (a) In General.--Section 509 of title 23, United States Code, is
    repealed.
        (b) Conforming Amendment.--The analysis for chapter 5 of title 23,
    United States Code, is amended by striking the item relating to section
    509.
    SEC. 52009. UNIVERSITY TRANSPORTATION CENTERS PROGRAM.
        (a) In General.--Section 5505 of title 49, United States Code, is
    amended to read as follows:
    ``Sec. 5505. University transportation centers program
        ``(a) University Transportation Centers Program.--
            ``(1) Establishment and operation.--The Secretary shall make
        grants under this section to eligible nonprofit institutions of
        higher education to establish and operate university transportation
        centers.
            ``(2) Role of centers.--The role of each university
        transportation center referred to in paragraph (1) shall be--
                ``(A) to advance transportation expertise and technology in
            the varied disciplines that comprise the field of
            transportation through education, research, and technology
            transfer activities;
                ``(B) to provide for a critical transportation knowledge
            base outside of the Department of Transportation; and
                ``(C) to address critical workforce needs and educate the
            next generation of transportation leaders.
        ``(b) Competitive Selection Process.--
            ``(1) Applications.--To receive a grant under this section, a
        nonprofit institution of higher education shall submit to the
        Secretary an application that is in such form and contains such
        information as the Secretary may require.
            ``(2) Restriction.--A nonprofit institution of higher education
        or the lead institution of a consortium of nonprofit institutions
        of higher education, as applicable, that receives a grant for a
        national transportation center or a regional transportation center
        in a fiscal year shall not be eligible to receive as a lead
        institution or member of a consortium an additional grant in that
        fiscal year for a national transportation center or a regional
        transportation center.
            ``(3) Coordination.--The Secretary shall solicit grant
        applications for national transportation centers, regional
        transportation centers, and Tier 1 university transportation
        centers with identical advertisement schedules and deadlines.
            ``(4) General selection criteria.--
                ``(A) In general.--Except as otherwise provided by this
            section, the Secretary shall award grants under this section in
            nonexclusive candidate topic areas established by the Secretary
            that address the research priorities identified in section 503
            of title 23.
                ``(B) Criteria.--The Secretary, in consultation as
            appropriate with the Administrators of the Federal Highway
            Administration and the Federal Transit Administration, shall
            select each recipient of a grant under this section through a
            competitive process based on the assessment of the Secretary
            relating to--
                    ``(i) the demonstrated ability of the recipient to
                address each specific topic area described in the research
                and strategic plans of the recipient;
                    ``(ii) the demonstrated research, technology transfer,
                and education resources available to the recipient to carry
                out this section;
                    ``(iii) the ability of the recipient to provide
                leadership in solving immediate and long-range national and
                regional transportation problems;
                    ``(iv) the ability of the recipient to carry out
                research, education, and technology transfer activities
                that are multimodal and multidisciplinary in scope;
                    ``(v) the demonstrated commitment of the recipient to
                carry out transportation workforce development programs
                through--

                        ``(I) degree-granting programs; and
                        ``(II) outreach activities to attract new entrants
                    into the transportation field;

                    ``(vi) the demonstrated ability of the recipient to
                disseminate results and spur the implementation of
                transportation research and education programs through
                national or statewide continuing education programs;
                    ``(vii) the demonstrated commitment of the recipient to
                the use of peer review principles and other research best
                practices in the selection, management, and dissemination
                of research projects;
                    ``(viii) the strategic plan submitted by the recipient
                describing the proposed research to be carried out by the
                recipient and the performance metrics to be used in
                assessing the performance of the recipient in meeting the
                stated research, technology transfer, education, and
                outreach goals; and
                    ``(ix) the ability of the recipient to implement the
                proposed program in a cost-efficient manner, such as
                through cost sharing and overall reduced overhead,
                facilities, and administrative costs.
            ``(5) Transparency.--
                ``(A) In general.--The Secretary shall provide to each
            applicant, upon request, any materials, including copies of
            reviews (with any information that would identify a reviewer
            redacted), used in the evaluation process of the proposal of
            the applicant.
                ``(B) Reports.--The Secretary shall submit to the
            Committees on Transportation and Infrastructure and Science,
            Space, and Technology of the House of Representatives and the
            Committee on Environment and Public Works of the Senate a
            report describing the overall review process under paragraph
            (3) that includes--
                    ``(i) specific criteria of evaluation used in the
                review;
                    ``(ii) descriptions of the review process; and
                    ``(iii) explanations of the selected awards.
            ``(6) Outside stakeholders.--The Secretary shall, to the
        maximum extent practicable, consult external stakeholders such as
        the Transportation Research Board of the National Academy of
        Sciences to evaluate and competitively review all proposals.
        ``(c) Grants.--
            ``(1) In general.--Not later than 1 year after the date of
        enactment of the Transportation Research and Innovative Technology
        Act of 2012, the Secretary, in consultation as appropriate with the
        Administrators of the Federal Highway Administration and the
        Federal Transit Administration, shall select grant recipients under
        subsection (b) and make grant amounts available to the selected
        recipients.
            ``(2) National transportation centers.--
                ``(A) In general.--Subject to subparagraph (B), the
            Secretary shall provide grants to 5 recipients that the
            Secretary determines best meet the criteria described in
            subsection (b)(3).
                ``(B) Restrictions.--
                    ``(i) In general.--For each fiscal year, a grant made
                available under this paragraph shall be $3,000,000 per
                recipient.
                    ``(ii) Focused research.--The grant recipients under
                this paragraph shall focus research on national
                transportation issues, as determined by the Secretary.
                ``(C) Matching requirement.--
                    ``(i) In general.--As a condition of receiving a grant
                under this paragraph, a grant recipient shall match 100
                percent of the amounts made available under the grant.
                    ``(ii) Sources.--The matching amounts referred to in
                clause (i) may include amounts made available to the
                recipient under section 504(b) or 505 of title 23.
            ``(3) Regional university transportation centers.--
                ``(A) Location of regional centers.--One regional
            university transportation center shall be located in each of
            the 10 Federal regions that comprise the Standard Federal
            Regions established by the Office of Management and Budget in
            the document entitled `Standard Federal Regions' and dated
            April, 1974 (circular A-105).
                ``(B) Selection criteria.--In conducting a competition
            under subsection (b), the Secretary shall provide grants to 10
            recipients on the basis of--
                    ``(i) the criteria described in subsection (b)(3);
                    ``(ii) the location of the center within the Federal
                region to be served; and
                    ``(iii) whether the institution (or, in the case of
                consortium of institutions, the lead institution)
                demonstrates that the institution has a well-established,
                nationally recognized program in transportation research
                and education, as evidenced by--

                        ``(I) recent expenditures by the institution in
                    highway or public transportation research;
                        ``(II) a historical track record of awarding
                    graduate degrees in professional fields closely related
                    to highways and public transportation; and
                        ``(III) an experienced faculty who specialize in
                    professional fields closely related to highways and
                    public transportation.

                ``(C) Restrictions.--For each fiscal year, a grant made
            available under this paragraph shall be $2,750,000 for each
            recipient.
                ``(D) Matching requirements.--
                    ``(i) In general.--As a condition of receiving a grant
                under this paragraph, a grant recipient shall match 100
                percent of the amounts made available under the grant.
                    ``(ii) Sources.--The matching amounts referred to in
                the clause (i) may include amounts made available to the
                recipient under section 504(b) or 505 of title 23.
                ``(E) Focused research.--The Secretary shall make a grant
            to 1 of the 10 regional university transportation centers
            established under this paragraph for the purpose of furthering
            the objectives described in subsection (a)(2) in the field of
            comprehensive transportation safety.
            ``(4) Tier 1 university transportation centers.--
                ``(A) In general.--The Secretary shall provide grants of
            $1,500,000 each to not more than 20 recipients to carry out
            this paragraph.
                ``(B) Restriction.--A lead institution of a consortium that
            receives a grant under paragraph (2) or (3) shall not be
            eligible to receive a grant under this paragraph.
                ``(C) Matching requirement.--
                    ``(i) In general.--Subject to clause (iii), as a
                condition of receiving a grant under this paragraph, a
                grant recipient shall match 50 percent of the amounts made
                available under the grant.
                    ``(ii) Sources.--The matching amounts referred to in
                clause (i) may include amounts made available to the
                recipient under section 504(b) or 505 of title 23.
                    ``(iii) Exemption.--This subparagraph shall not apply
                on a demonstration of financial hardship by the applicant
                institution.
                ``(D) Focused research.--In awarding grants under this
            paragraph, consideration shall be given to minority
            institutions, as defined by section 365 of the Higher Education
            Act of 1965 (20 U.S.C. 1067k), or consortia that include such
            institutions that have demonstrated an ability in
            transportation-related research.
        ``(d) Program Coordination.--
            ``(1) In general.--The Secretary shall--
                ``(A) coordinate the research, education, and technology
            transfer activities carried out by grant recipients under this
            section; and
                ``(B) disseminate the results of that research through the
            establishment and operation of an information clearinghouse.
            ``(2) Annual review and evaluation.--Not less frequently than
        annually, and consistent with the plan developed under section 508
        of title 23, the Secretary shall--
                ``(A) review and evaluate the programs carried out under
            this section by grant recipients; and
                ``(B) submit to the Committees on Transportation and
            Infrastructure and Science, Space, and Technology of the House
            of Representatives and the Committee on Environment and Public
            Works of the Senate a report describing that review and
            evaluation.
            ``(3) Program evaluation and oversight.--For each of fiscal
        years 2013 and 2014, the Secretary shall expend not more than 1\1/
        2\ percent of the amounts made available to the Secretary to carry
        out this section for any coordination, evaluation, and oversight
        activities of the Secretary under this section.
        ``(e) Limitation on Availability of Amounts.--Amounts made
    available to the Secretary to carry out this section shall remain
    available for obligation by the Secretary for a period of 3 years after
    the last day of the fiscal year for which the amounts are appropriated.
        ``(f) Information Collection.--Any survey, questionnaire, or
    interview that the Secretary determines to be necessary to carry out
    reporting requirements relating to any program assessment or evaluation
    activity under this section, including customer satisfaction
    assessments, shall not be subject to chapter 35 of title 44.''.
        (b) Conforming Amendment.--The analysis for chapter 55 of title 49,
    United States Code, is amended by striking the item relating to section
    5505 and inserting the following:

    ``5505. University transportation centers program.''.
    SEC. 52010. UNIVERSITY TRANSPORTATION RESEARCH.
        (a) In General.--Section 5506 of title 49, United States Code, is
    repealed.
        (b) Conforming Amendment.--The analysis for chapter 55 of title 49,
    United States Code, is amended by striking the item relating to section
    5506.
    SEC. 52011. BUREAU OF TRANSPORTATION STATISTICS.
        (a) In General.--Subtitle III of title 49, United States Code, is
    amended by adding at the end the following:

               ``CHAPTER 63--BUREAU OF TRANSPORTATION STATISTICS

    ``Sec.
    ``6301. Definitions.
    ``6302. Bureau of Transportation Statistics.
    ``6303. Intermodal transportation database.
    ``6304. National Transportation Library.
    ``6305. Advisory council on transportation statistics.
    ``6306. Transportation statistical collection, analysis, and
              dissemination.
    ``6307. Furnishing of information, data, or reports by Federal agencies.
    ``6308. Proceeds of data product sales.
    ``6309. National transportation atlas database.
    ``6310. Limitations on statutory construction.
    ``6311. Research and development grants.
    ``6312. Transportation statistics annual report.
    ``6313. Mandatory response authority for freight data collection.

    ``Sec. 6301. Definitions
        ``In this chapter, the following definitions apply:
            ``(1) Bureau.--The term `Bureau' means the Bureau of
        Transportation Statistics established by section 6302(a).
            ``(2) Department.--The term `Department' means the Department
        of Transportation.
            ``(3) Director.--The term `Director' means the Director of the
        Bureau.
            ``(4) Library.--The term `Library' means the National
        Transportation Library established by section 6304(a).
            ``(5) Secretary.--The term `Secretary' means the Secretary of
        Transportation.
    ``Sec. 6302. Bureau of Transportation Statistics
        ``(a) Establishment.--There is established in the Research and
    Innovative Technology Administration the Bureau of Transportation
    Statistics.
        ``(b) Director.--
            ``(1) Appointment.--The Bureau shall be headed by a Director,
        who shall be appointed in the competitive service by the Secretary.
            ``(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 collection,
        analysis, and use of transportation statistics.
            ``(3) Duties.--
                ``(A) In general.--The Director shall--
                    ``(i) serve as the senior advisor to the Secretary on
                data and statistics; and
                    ``(ii) be responsible for carrying out the duties
                described in subparagraph (B).
                ``(B) Duties.--The Director shall--
                    ``(i) ensure that the statistics compiled under clause
                (vi) are designed to support transportation decisionmaking
                by--

                        ``(I) the Federal Government;
                        ``(II) State and local governments;
                        ``(III) metropolitan planning organizations;
                        ``(IV) transportation-related associations;
                        ``(V) the private sector, including the freight
                    community; and
                        ``(VI) the public;

                    ``(ii) establish on behalf of the Secretary a program--

                        ``(I) to effectively integrate safety data across
                    modes; and
                        ``(II) to address gaps in existing safety data
                    programs of the Department;

                    ``(iii) work with the operating administrations of the
                Department--

                        ``(I) to establish and implement the data programs
                    of the Bureau; and
                        ``(II) to improve the coordination of information
                    collection efforts with other Federal agencies;

                    ``(iv) continually improve surveys and data collection
                methods of the Department to improve the accuracy and
                utility of transportation statistics;
                    ``(v) encourage the standardization of data, data
                collection methods, and data management and storage
                technologies for data collected by--

                        ``(I) the Bureau;
                        ``(II) the operating administrations of the
                    Department;
                        ``(III) State and local governments;
                        ``(IV) metropolitan planning organizations; and
                        ``(V) private sector entities;

                    ``(vi) collect, compile, analyze, and publish a
                comprehensive set of transportation statistics on the
                performance and impacts of the national transportation
                system, including statistics on--

                        ``(I) transportation safety across all modes and
                    intermodally;
                        ``(II) the state of good repair of United States
                    transportation infrastructure;
                        ``(III) the extent, connectivity, and condition of
                    the transportation system, building on the national
                    transportation atlas database developed under section
                    6310;
                        ``(IV) economic efficiency across the entire
                    transportation sector;
                        ``(V) the effects of the transportation system on
                    global and domestic economic competitiveness;
                        ``(VI) demographic, economic, and other variables
                    influencing travel behavior, including choice of
                    transportation mode and goods movement;
                        ``(VII) transportation-related variables that
                    influence the domestic economy and global
                    competitiveness;
                        ``(VIII) economic costs and impacts for passenger
                    travel and freight movement;
                        ``(IX) intermodal and multimodal passenger
                    movement;
                        ``(X) intermodal and multimodal freight movement;
                    and
                        ``(XI) consequences of transportation for the human
                    and natural environment;

                    ``(vii) build and disseminate the transportation layer
                of the National Spatial Data Infrastructure developed under
                Executive Order No. 12906 (59 Fed. Reg. 17671) (or a
                successor Executive order), including by coordinating the
                development of transportation geospatial data standards,
                compiling intermodal geospatial data, and collecting
                geospatial data that is not being collected by other
                entities;
                    ``(viii) issue guidelines for the collection of
                information by the Department that the Director determines
                necessary to develop transportation statistics and carry
                out modeling, economic assessment, and program assessment
                activities to ensure that such information is accurate,
                reliable, relevant, uniform, and in a form that permits
                systematic analysis by the Department;
                    ``(ix) review and report to the Secretary on the
                sources and reliability of--

                        ``(I) 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 (Public Law 103-62;
                    107 Stat. 285); and
                        ``(II) at the request of the Secretary, any other
                    data collected or statistical information published by
                    the heads of the operating administrations of the
                    Department; and

                    ``(x) ensure that the statistics published under this
                section are readily accessible to the public, consistent
                with applicable security constraints and confidentiality
                interests.
        ``(c) Access to Federal Data.--In carrying out subsection
    (b)(3)(B)(ii), the Director shall be given access to all safety data
    that the Director determines necessary to carry out that subsection
    that is held by the Department or any other Federal agency upon written
    request and subject to any statutory or regulatory restrictions.
    ``Sec. 6303. Intermodal transportation database
        ``(a) In General.--In consultation with the Under Secretary
    Transportation for Policy, the Assistant Secretaries of the Department,
    and the heads of the operating administrations of the Department, the
    Director shall establish and maintain a transportation database for all
    modes of transportation.
        ``(b) Use.--The database established under this section shall be
    suitable for analyses carried out by the Federal Government, the
    States, and metropolitan planning organizations.
        ``(c) Contents.--The database established under this section shall
    include--
            ``(1) information on the volumes and patterns of movement of
        goods, including local, interregional, and international movement,
        by all modes of transportation, intermodal combinations, and
        relevant classification;
            ``(2) 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), intermodal combinations, and relevant
        classification;
            ``(3) information on the location and connectivity of
        transportation facilities and services; and
            ``(4) a national accounting of expenditures and capital stocks
        on each mode of transportation and intermodal combination.
    ``Sec. 6304. National Transportation Library
        ``(a) Purpose and Establishment.--To support the information
    management and decisionmaking needs of transportation officials at the
    Federal, State, and local levels, there is established in the Bureau a
    National Transportation Library which shall--
            ``(1) be headed by an individual who is highly qualified in
        library and information science;
            ``(2) acquire, preserve, and manage transportation information
        and information products and services for use by the Department,
        other Federal agencies, and the general public;
            ``(3) provide reference and research assistance;
            ``(4) serve as a central depository for research results and
        technical publications of the Department;
            ``(5) provide a central clearinghouse for transportation data
        and information of the Federal Government;
            ``(6) serve as coordinator and policy lead for transportation
        information access;
            ``(7) provide transportation information and information
        products and services to--
                ``(A) the Department;
                ``(B) other Federal agencies;
                ``(C) public and private organizations; and
                ``(D) individuals, within the United States and
            internationally;
            ``(8) coordinate efforts among, and cooperate with,
        transportation libraries, information providers, and technical
        assistance centers, in conjunction with private industry and other
        transportation library and information centers, with the goal of
        developing a comprehensive transportation information and knowledge
        network that supports the activities described in section
        6302(b)(3)(B)(vi); and
            ``(9) engage in such other activities as the Director
        determines to be necessary and as the resources of the Library
        permit.
        ``(b) Access.--The Director shall publicize, facilitate, and
    promote access to the information products and services described in
    subsection (a), to improve the ability of the transportation community
    to share information and the ability of the Director to make statistics
    and other information readily accessible as required under section
    6302(b)(3)(B)(x).
        ``(c) Agreements.--
            ``(1) In general.--To carry out this section, the Director may
        enter into agreements with, award grants to, and receive amounts
        from, any--
                ``(A) State or local government;
                ``(B) organization;
                ``(C) business; or
                ``(D) individual.
            ``(2) Contracts, grants, and agreements.--The Library may
        initiate and support specific information and data management,
        access, and exchange activities in connection with matters relating
        to the Department's strategic goals, knowledge networking, and
        national and international cooperation, by entering into contracts
        or other agreements or awarding grants for the conduct of such
        activities.
            ``(3) Amounts.--Any amounts received by the Library as payment
        for library products and services or other activities shall be made
        available to the Director to carry out this section, deposited in
        the Research and Innovative Technology Administration's general
        fund account, and remain available until expended.
    ``Sec. 6305. Advisory council on transportation statistics
        ``(a) In General.--The Director shall establish and consult with an
    advisory council on transportation statistics.
        ``(b) Function.--The advisory council established under this
    section shall advise the Director on--
            ``(1) the quality, reliability, consistency, objectivity, and
        relevance of transportation statistics and analyses collected,
        supported, or disseminated by the Bureau and the Department; and
            ``(2) methods to encourage cooperation and interoperability of
        transportation data collected by the Bureau, the operating
        administrations of the Department, States, local governments,
        metropolitan planning organizations, and private sector entities.
        ``(c) Membership.--
            ``(1) In general.--The advisory council shall be composed of
        not fewer than 9 and not more than 11 members appointed by the
        Director.
            ``(2) Selection.--In selecting members for the advisory
        council, the Director shall appoint individuals who--
                ``(A) are not officers or employees of the United States;
                ``(B) possess expertise in--
                    ``(i) transportation data collection, analysis, or
                application;
                    ``(ii) economics; or
                    ``(iii) transportation safety; and
                ``(C) represent a cross section of transportation
            stakeholders, to the greatest extent possible.
        ``(d) Terms of Appointment.--
            ``(1) In general.--Except as provided in paragraph (2), members
        of the advisory council shall be appointed to staggered terms not
        to exceed 3 years.
            ``(2) Additional terms.--A member may be renominated for 1
        additional 3-year term.
            ``(3) Current members.--A member serving on an advisory council
        on transportation statistics on the day before the date of
        enactment of the Transportation Research and Innovative Technology
        Act of 2012 shall serve until the end of the appointed term of the
        member.
        ``(e) Applicability of Federal Advisory Committee Act.--The Federal
    Advisory Committee Act (5 U.S.C. App.) shall apply to the advisory
    council established under this section, except that section 14 of that
    Act shall not apply.
    ``Sec. 6306. Transportation statistical collection, analysis, and
        dissemination
        ``To ensure that all transportation statistical collection,
    analysis, and dissemination is carried out in a coordinated manner, the
    Director may--
            ``(1) use the services, equipment, records, personnel,
        information, and facilities of other Federal agencies, or State,
        local, and private agencies and instrumentalities, subject to the
        conditions that the applicable agency or instrumentality consents
        to that use and with or without reimbursement for such use;
            ``(2) enter into agreements with the agencies and
        instrumentalities described in paragraph (1) for purposes of data
        collection and analysis;
            ``(3) confer and cooperate with foreign governments,
        international organizations, and State, municipal, and other local
        agencies;
            ``(4) request such information, data, and reports from any
        Federal agency as the Director determines necessary to carry out
        this chapter;
            ``(5) encourage replication, coordination, and sharing of
        information among transportation agencies regarding information
        systems, information policy, and data; and
            ``(6) confer and cooperate with Federal statistical agencies as
        the Director determines necessary to carry out this chapter,
        including by entering into cooperative data sharing agreements in
        conformity with all laws and regulations applicable to the
        disclosure and use of data.
    ``Sec. 6307. Furnishing of information, data, or reports by Federal
        agencies
        ``(a) In General.--Except as provided in subsection (b), a Federal
    agency requested to furnish information, data, or reports by the
    Director under section 6302(b)(3)(B) shall provide the information to
    the Director.
        ``(b) 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 section 6302(b)(3)(B) can be
            identified;
                ``(B) use the information provided under section
            6302(b)(3)(B) for a nonstatistical purpose; or
                ``(C) permit anyone other than an individual authorized by
            the Director to examine any individual report provided under
            section 6302(b)(3)(B).
            ``(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 chapter) may require, for any reason, a copy
            of any report that has been filed under section 6302(b)(3)(B)
            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 the
            employees, contractors, or agents of the Bureau--
                    ``(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
                proceedings.
                ``(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.--If 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, in a manner that informs the respondent who
        is requested or required to supply the data or information of the
        nonstatistical purpose.
        ``(c) Transportation and Transportation-related Data Access.--The
    Director shall be provided access to any transportation and
    transportation-related information in the possession of any Federal
    agency, except--
            ``(1) information that is expressly prohibited by law from
        being disclosed to another Federal agency; or
            ``(2) information that the agency possessing the information
        determines could not be disclosed without significantly impairing
        the discharge of authorities and responsibilities which have been
        delegated to, or vested by law, in such agency.
    ``Sec. 6308. Proceeds of data product sales
        ``Notwithstanding section 3302 of title 31, amounts 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 those expenses.
    ``Sec. 6309. National transportation atlas database
        ``(a) In General.--The Director shall develop and maintain a
    national transportation atlas database that is comprised of geospatial
    databases that depict--
            ``(1) transportation networks;
            ``(2) flows of people, goods, vehicles, and craft over the
        transportation networks; and
            ``(3) social, economic, and environmental conditions that
        affect or are affected by the transportation networks.
        ``(b) Intermodal Network Analysis.--The databases referred to in
    subsection (a) shall be capable of supporting intermodal network
    analysis.
    ``Sec. 6310. Limitations on statutory construction
        ``Nothing in this chapter--
            ``(1) authorizes the Bureau to require any other Federal agency
        to collect data; or
            ``(2) alters or diminishes the authority of any other officer
        of the Department to collect and disseminate data independently.
    ``Sec. 6311. Research and development grants
        ``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--
            ``(1) investigation of the subjects described in section
        6302(b)(3)(B)(vi);
            ``(2) research and development of new methods of data
        collection, standardization, management, integration,
        dissemination, interpretation, and analysis;
            ``(3) demonstration programs by States, local governments, and
        metropolitan planning organizations to coordinate data collection,
        reporting, management, storage, and archiving to simplify data
        comparisons across jurisdictions;
            ``(4) development of electronic clearinghouses of
        transportation data and related information, as part of the
        Library; and
            ``(5) development and improvement of methods for sharing
        geographic data, in support of the database under section 6310 and
        the National Spatial Data Infrastructure developed under Executive
        Order No. 12906 (59 Fed. Reg. 17671) (or a successor Executive
        order).
    ``Sec. 6312. Transportation statistics annual report
        ``The Director shall submit to the President and Congress a
    transportation statistics annual report, which shall include--
            ``(1) information on the progress of the Director in carrying
        out the duties described in section 6302(b)(3)(B);
            ``(2) documentation of the methods used to obtain and ensure
        the quality of the statistics presented in the report; and
            ``(3) any recommendations of the Director for improving
        transportation statistical information.
    ``Sec. 6313. Mandatory response authority for freight data collection
        ``(a) Freight Data Collection.--
            ``(1) In general.--An owner, official, agent, person in charge,
        or assistant to the person in charge of a freight corporation,
        company, business, institution, establishment, or organization
        described in paragraph (2) shall be fined in accordance with
        subsection (b) if that individual neglects or refuses, when
        requested by the Director or other authorized officer, employee, or
        contractor of the Bureau to submit data under section
        6302(b)(3)(B)--
                ``(A) to answer completely and correctly to the best
            knowledge of that individual all questions relating to the
            corporation, company, business, institution, establishment, or
            other organization; or
                ``(B) to make available records or statistics in the
            official custody of the individual.
            ``(2) Description of entities.--A freight corporation, company,
        business, institution, establishment, or organization referred to
        in paragraph (1) is a corporation, company, business, institution,
        establishment, or organization that--
                ``(A) receives Federal funds relating to the freight
            program; and
                ``(B) has consented to be subject to a fine under this
            subsection on--
                    ``(i) refusal to supply any data requested; or
                    ``(ii) failure to respond to a written request.
        ``(b) Fines.--
            ``(1) In general.--Subject to paragraph (2), an individual
        described in subsection (a) shall be fined not more than $500.
            ``(2) Willful actions.--If an individual willfully gives a
        false answer to a question described in subsection (a)(1), the
        individual shall be fined not more than $10,000.''.
        (b) Rules of Construction.--If the provisions of section 111 of
    title 49, United States Code, are transferred to chapter 63 of that
    title, the following rules of construction apply:
            (1) For purposes of determining whether 1 provision of law
        supersedes another based on enactment later in time, a chapter 63
        provision is deemed to have been enacted on the date of enactment
        of the corresponding section 111 provision.
            (2) A reference to a section 111 provision, including a
        reference in a regulation, order, or other law, is deemed to refer
        to the corresponding chapter 63 provision.
            (3) A regulation, order, or other administrative action in
        effect under a section 111 provision continues in effect under the
        corresponding chapter 63 provision.
            (4) An action taken or an offense committed under a section 111
        provision is deemed to have been taken or committed under the
        corresponding chapter 63 provision.
        (c) Conforming Amendments.--
            (1) Repeal.--Section 111 of title 49, United States Code, is
        repealed, and the item relating to section 111 in the analysis for
        chapter 1 of that title is deleted.
            (2) Analysis for subtitle iii.--The analysis for subtitle III
        of title 49, United States Code, is amended by inserting after the
        items for chapter 61 the following:

              ``Chapter 63--Bureau of Transportation Statistics.''.

    SEC. 52012. ADMINISTRATIVE AUTHORITY.
        Section 112 of title 49, United States Code, is amended by adding
    at the end the following:
        ``(f) Program Evaluation and Oversight.--For each of fiscal years
    2013 and 2014, the Administrator is authorized to expend not more than
    1\1/2\ percent of the amounts authorized to be appropriated for
    necessary expenses for administration and operations of the Research
    and Innovative Technology Administration for the coordination,
    evaluation, and oversight of the programs administered by the
    Administration.
        ``(g) Collaborative Research and Development.--
            ``(1) In general.--To encourage innovative solutions to
        multimodal transportation problems and stimulate the deployment of
        new technology, the Administrator may carry out, on a cost-shared
        basis, collaborative research and development with--
                ``(A) non-Federal entities, including State and local
            governments, foreign governments, institutions of higher
            education, corporations, institutions, partnerships, sole
            proprietorships, and trade associations that are incorporated
            or established under the laws of any State;
                ``(B) Federal laboratories; and
                ``(C) other Federal agencies.
            ``(2) Cooperation, grants, contracts, and agreements.--
        Notwithstanding any other provision of law, the Administrator may
        directly initiate contracts, grants, 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 agreements 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, institutions of higher education, associations, and the
        agents of those entities to carry out joint transportation research
        and technology efforts.
            ``(3) Federal share.--
                ``(A) In general.--Subject to subparagraph (B), the Federal
            share of the cost of an activity carried out under paragraph
            (2) shall not exceed 50 percent.
                ``(B) Exception.--If the Secretary determines that the
            activity is of substantial public interest or benefit, the
            Secretary may approve a greater Federal share.
                ``(C) Non-federal share.--All costs directly incurred by
            the non-Federal partners, including personnel, travel,
            facility, and hardware development costs, shall be credited
            toward the non-Federal share of the cost of an activity
            described in subparagraph (A).
            ``(4) Use of technology.--The research, development, or use of
        a technology under a contract, grant, cooperative research and
        development agreement, or other agreement entered into under this
        subsection, including the terms under which the technology may be
        licensed and the resulting royalties may be distributed, shall be
        subject to the Stevenson-Wydler Technology Innovation Act of 1980
        (15 U.S.C. 3701 et seq.).
            ``(5) Waiver of advertising requirements.--Section 6101 of
        title 41 shall not apply to a contract, grant, or other agreement
        entered into under this section.''.
    SEC. 52013. TRANSPORTATION RESEARCH AND DEVELOPMENT STRATEGIC PLANNING.
        Section 508(a) of title 23, United States Code, is amended--
            (1) in paragraph (1), by striking ``SAFETEA-LU'' and inserting
        ``Transportation Research and Innovative Technology Act of 2012'';
        and
            (2) in paragraph (2), by striking subparagraph (A) and
        inserting the following:
                ``(A) describe the primary purposes of the transportation
            research and development program, which shall include, at a
            minimum--
                    ``(i) promoting safety;
                    ``(ii) reducing congestion and improving mobility;
                    ``(iii) preserving the environment;
                    ``(iv) preserving the existing transportation system;
                    ``(v) improving the durability and extending the life
                of transportation infrastructure; and
                    ``(vi) improving goods movement.''.

             TITLE III--INTELLIGENT TRANSPORTATION SYSTEMS RESEARCH

    SEC. 53001. USE OF FUNDS FOR ITS ACTIVITIES.
        Section 513 of title 23, United States Code, is amended to read as
    follows:
    ``Sec. 513. Use of funds for ITS activities
        ``(a) Definitions.--In this section, the following definitions
    apply:
            ``(1) Eligible entity.--The term `eligible entity' means a
        State or local government, tribal government, transit agency,
        public toll authority, metropolitan planning organization, other
        political subdivision of a State or local government, or a
        multistate or multijurisdictional group applying through a single
        lead applicant.
            ``(2) Multijurisdictional group.--The term `multijurisdictional
        group' means a combination of State governments, local governments,
        metropolitan planning agencies, transit agencies, or other
        political subdivisions of a State that--
                ``(A) have signed a written agreement to implement an
            activity that meets the grant criteria under this section; and
                ``(B) is comprised of at least 2 members, each of whom is
            an eligible entity.
        ``(b) Purpose.--The purpose of this section is to develop,
    administer, communicate, and promote the use of products of research,
    technology, and technology transfer programs.
        ``(c) ITS Adoption.--
            ``(1) Innovative technologies and strategies.--The Secretary
        shall encourage the deployment of ITS technologies that will
        improve the performance of the National Highway System in such
        areas as traffic operations, emergency response, incident
        management, surface transportation network management, freight
        management, traffic flow information, and congestion management by
        accelerating the adoption of innovative technologies through the
        use of--
                ``(A) demonstration programs;
                ``(B) grant funding;
                ``(C) incentives to eligible entities; and
                ``(D) other tools, strategies, or methods that will result
            in the deployment of innovative ITS technologies.
            ``(2) Comprehensive plan.--To carry out this section, the
        Secretary shall develop a detailed and comprehensive plan that
        addresses the manner in which incentives may be adopted, as
        appropriate, through the existing deployment activities carried out
        by surface transportation modal administrations.''.
    SEC. 53002. GOALS AND PURPOSES.
        (a) In General.--Chapter 5 of title 23, United States Code, is
    amended by adding after section 513 the following:
    ``Sec. 514. Goals and purposes
        ``(a) Goals.--The goals of the intelligent transportation system
    program include--
            ``(1) enhancement of surface transportation efficiency and
        facilitation of intermodalism and international trade to enable
        existing facilities to meet a significant portion of future
        transportation needs, including public access to employment, goods,
        and services and to reduce regulatory, financial, and other
        transaction costs to public agencies and system users;
            ``(2) achievement of national transportation safety goals,
        including enhancement of safe operation of motor vehicles and
        nonmotorized vehicles and improved emergency response to
        collisions, with particular emphasis on decreasing the number and
        severity of collisions;
            ``(3) protection and enhancement of the natural environment and
        communities affected by surface transportation, with particular
        emphasis on assisting State and local governments to achieve
        national environmental goals;
            ``(4) accommodation of the needs of all users of surface
        transportation systems, including operators of commercial motor
        vehicles, passenger motor vehicles, motorcycles, bicycles, and
        pedestrians (including individuals with disabilities); and
            ``(5) enhancement of national defense mobility and improvement
        of the ability of the United States to respond to security-related
        or other manmade emergencies and natural disasters.
        ``(b) Purposes.--The Secretary shall implement activities under the
    intelligent transportation system program, at a minimum--
            ``(1) to expedite, in both metropolitan and rural areas,
        deployment and integration of intelligent transportation systems
        for consumers of passenger and freight transportation;
            ``(2) to ensure that Federal, State, and local transportation
        officials have adequate knowledge of intelligent transportation
        systems for consideration in the transportation planning process;
            ``(3) to improve regional cooperation and operations planning
        for effective intelligent transportation system deployment;
            ``(4) to promote the innovative use of private resources in
        support of intelligent transportation system development;
            ``(5) to facilitate, in cooperation with the motor vehicle
        industry, the introduction of vehicle-based safety enhancing
        systems;
            ``(6) to support the application of intelligent transportation
        systems that increase the safety and efficiency of commercial motor
        vehicle operations;
            ``(7) to develop a workforce capable of developing, operating,
        and maintaining intelligent transportation systems;
            ``(8) to provide continuing support for operations and
        maintenance of intelligent transportation systems; and
            ``(9) to ensure a systems approach that includes cooperation
        among vehicles, infrastructure, and users.''.
        (b) Conforming Amendment.--The analysis for chapter 5 of title 23,
    United States Code, is amended by adding after the item relating to
    section 513 the following:

    ``514. Goals and purposes.''.
    SEC. 53003. GENERAL AUTHORITIES AND REQUIREMENTS.
        (a) In General.--Chapter 5 of title 23, United States Code, is
    amended by adding after section 514 (as added by section 53002) the
    following:
    ``Sec. 515. General authorities and requirements
        ``(a) Scope.--Subject to the provisions of this chapter, the
    Secretary shall conduct an ongoing intelligent transportation system
    program--
            ``(1) to research, develop, and operationally test intelligent
        transportation systems; and
            ``(2) to provide technical assistance in the nationwide
        application of those systems as a component of the surface
        transportation systems of the United States.
        ``(b) Policy.--Intelligent transportation system research projects
    and operational tests funded pursuant to this chapter shall encourage
    and not displace public-private partnerships or private sector
    investment in those tests and projects.
        ``(c) Cooperation With Governmental, Private, and Educational
    Entities.--The Secretary shall carry out the intelligent transportation
    system program in cooperation with State and local governments and
    other public entities, the private sector firms of the United States,
    the Federal laboratories, and institutions of higher education,
    including historically Black colleges and universities and other
    minority institutions of higher education.
        ``(d) Consultation With Federal Officials.--In carrying out the
    intelligent transportation system program, the Secretary shall consult
    with the heads of other Federal agencies, as appropriate.
        ``(e) Technical Assistance, Training, and Information.--The
    Secretary may provide technical assistance, training, and information
    to State and local governments seeking to implement, operate, maintain,
    or evaluate intelligent transportation system technologies and
    services.
        ``(f) Transportation Planning.--The Secretary may provide funding
    to support adequate consideration of transportation systems management
    and operations, including intelligent transportation systems, within
    metropolitan and statewide transportation planning processes.
        ``(g) Information Clearinghouse.--
            ``(1) In general.--The Secretary shall--
                ``(A) maintain a repository for technical and safety data
            collected as a result of federally sponsored projects carried
            out under this chapter; and
                ``(B) make, on request, that information (except for
            proprietary information and data) readily available to all
            users of the repository at an appropriate cost.
            ``(2) Agreement.--
                ``(A) In general.--The Secretary may enter into an
            agreement with a third party for the maintenance of the
            repository for technical and safety data under paragraph
            (1)(A).
                ``(B) Federal financial assistance.--If the Secretary
            enters into an agreement with an entity for the maintenance of
            the repository, the entity shall be eligible for Federal
            financial assistance under this section.
            ``(3) Availability of information.--Information in the
        repository shall not be subject to sections 552 and 555 of title 5,
        United States Code.
        ``(h) Advisory Committee.--
            ``(1) In general.--The Secretary shall establish an Advisory
        Committee to advise the Secretary on carrying out this chapter.
            ``(2) Membership.--The Advisory Committee shall have no more
        than 20 members, be balanced between metropolitan and rural
        interests, and include, at a minimum--
                ``(A) a representative from a State highway department;
                ``(B) a representative from a local highway department who
            is not from a metropolitan planning organization;
                ``(C) a representative from a State, local, or regional
            transit agency;
                ``(D) a representative from a metropolitan planning
            organization;
                ``(E) a private sector user of intelligent transportation
            system technologies;
                ``(F) an academic researcher with expertise in computer
            science or another information science field related to
            intelligent transportation systems, and who is not an expert on
            transportation issues;
                ``(G) an academic researcher who is a civil engineer;
                ``(H) an academic researcher who is a social scientist with
            expertise in transportation issues;
                ``(I) a representative from a nonprofit group representing
            the intelligent transportation system industry;
                ``(J) a representative from a public interest group
            concerned with safety;
                ``(K) a representative from a public interest group
            concerned with the impact of the transportation system on land
            use and residential patterns; and
                ``(L) members with expertise in planning, safety,
            telecommunications, utilities, and operations.
            ``(3) Duties.--The Advisory Committee shall, at a minimum,
        perform the following duties:
                ``(A) Provide input into the development of the intelligent
            transportation system aspects of the strategic plan under
            section 508.
                ``(B) Review, at least annually, areas of intelligent
            transportation systems research being considered for funding by
            the Department, to determine--
                    ``(i) whether these activities are likely to advance
                either the state-of-the-practice or state-of-the-art in
                intelligent transportation systems;
                    ``(ii) whether the intelligent transportation system
                technologies are likely to be deployed by users, and if
                not, to determine the barriers to deployment; and
                    ``(iii) the appropriate roles for government and the
                private sector in investing in the research and
                technologies being considered.
            ``(4) Report.--Not later than February 1 of each year after the
        date of enactment of the Transportation Research and Innovative
        Technology Act of 2012, the Secretary shall submit to Congress a
        report that includes--
                ``(A) all recommendations made by the Advisory Committee
            during the preceding calendar year;
                ``(B) an explanation of the manner in which the Secretary
            has implemented those recommendations; and
                ``(C) for recommendations not implemented, the reasons for
            rejecting the recommendations.
            ``(5) Applicability of federal advisory committee act.--The
        Advisory Committee shall be subject to the Federal Advisory
        Committee Act (5 U.S.C. App.).
        ``(i) Reporting.--
            ``(1) Guidelines and requirements.--
                ``(A) In general.--The Secretary shall issue guidelines and
            requirements for the reporting and evaluation of operational
            tests and deployment projects carried out under this chapter.
                ``(B) Objectivity and independence.--The guidelines and
            requirements issued under subparagraph (A) shall include
            provisions to ensure the objectivity and independence of the
            reporting entity so as to avoid any real or apparent conflict
            of interest or potential influence on the outcome by parties to
            any such test or deployment project or by any other formal
            evaluation carried out under this chapter.
                ``(C) Funding.--The guidelines and requirements issued
            under subparagraph (A) shall establish reporting funding levels
            based on the size and scope of each test or project that ensure
            adequate reporting of the results of the test or project.
            ``(2) Special rule.--Any survey, questionnaire, or interview
        that the Secretary considers necessary to carry out the reporting
        of any test, deployment project, or program assessment activity
        under this chapter shall not be subject to chapter 35 of title 44,
        United States Code.''.
        (b) Conforming Amendment.--The analysis for chapter 5 of title 23,
    United States Code, is amended by adding after the item relating to
    section 514 (as added by section 53002) the following:

    ``515. General authorities and requirements.''.
    SEC. 53004. RESEARCH AND DEVELOPMENT.
        (a) In General.--Chapter 5 of title 23, United States Code, is
    amended by adding after section 515 (as added by section 53003) the
    following:
    ``Sec. 516. Research and development
        ``(a) In General.--The Secretary shall carry out a comprehensive
    program of intelligent transportation system research and development,
    and operational tests of intelligent vehicles, intelligent
    infrastructure systems, and other similar activities that are necessary
    to carry out this chapter.
        ``(b) Priority Areas.--Under the program, the Secretary shall give
    higher priority to funding projects that--
            ``(1) enhance mobility and productivity through improved
        traffic management, incident management, transit management,
        freight management, road weather management, toll collection,
        traveler information, or highway operations systems and remote
        sensing products;
            ``(2) use interdisciplinary approaches to develop traffic
        management strategies and tools to address multiple impacts of
        congestion concurrently;
            ``(3) address traffic management, incident management, transit
        management, toll collection traveler information, or highway
        operations systems;
            ``(4) incorporate research on the potential impact of
        environmental, weather, and natural conditions on intelligent
        transportation systems, including the effects of cold climates;
            ``(5) enhance intermodal use of intelligent transportation
        systems for diverse groups, including for emergency and health-
        related services;
            ``(6) enhance safety through improved crash avoidance and
        protection, crash and other notification, commercial motor vehicle
        operations, and infrastructure-based or cooperative safety systems;
        or
            ``(7) facilitate the integration of intelligent infrastructure,
        vehicle, and control technologies.
        ``(c) Federal Share.--The Federal share payable on account of any
    project or activity carried out under subsection (a) shall not exceed
    80 percent.''.
        (b) Conforming Amendment.--The analysis for chapter 5 of title 23,
    United States Code, is amended by adding after the item relating to
    section 515 (as added by section 53003) the following:

    ``516. Research and development.''.
    SEC. 53005. NATIONAL ARCHITECTURE AND STANDARDS.
        (a) In General.--Chapter 5 of title 23, United States Code, is
    amended by adding after section 516 (as added by section 53004) the
    following:
    ``Sec. 517. National architecture and standards
        ``(a) In General.--
            ``(1) Development, implementation, and maintenance.--In
        accordance with section 12(d) of the National Technology Transfer
        and Advancement Act of 1995 (15 U.S.C. 272 note; 110 Stat. 783; 115
        Stat. 1241), the Secretary shall develop and maintain a national
        ITS architecture and supporting ITS standards and protocols to
        promote the use of systems engineering methods in the widespread
        deployment and evaluation of intelligent transportation systems as
        a component of the surface transportation systems of the United
        States.
            ``(2) Interoperability and efficiency.--To the maximum extent
        practicable, the national ITS architecture and supporting ITS
        standards and protocols shall promote interoperability among, and
        efficiency of, intelligent transportation systems and technologies
        implemented throughout the United States.
            ``(3) Use of standards development organizations.--In carrying
        out this section, the Secretary shall support the development and
        maintenance of standards and protocols using the services of such
        standards development organizations as the Secretary determines to
        be necessary and whose memberships are comprised of, and represent,
        the surface transportation and intelligent transportation systems
        industries.
        ``(b) Standards for National Policy Implementation.--If the
    Secretary finds that a standard is necessary for implementation of a
    nationwide policy relating to user fee collection or other capability
    requiring nationwide uniformity, the Secretary, after consultation with
    stakeholders, may establish and require the use of that standard.
        ``(c) Provisional Standards.--
            ``(1) In general.--If the Secretary finds that the development
        or balloting of an intelligent transportation system standard
        jeopardizes the timely achievement of the objectives described in
        subsection (a), the Secretary may establish a provisional standard,
        after consultation with affected parties, using, to the maximum
        extent practicable, the work product of appropriate standards
        development organizations.
            ``(2) Period of effectiveness.--A provisional standard
        established under paragraph (1) shall be published in the Federal
        Register and remain in effect until the appropriate standards
        development organization adopts and publishes a standard.
        ``(d) Conformity With National Architecture.--
            ``(1) In general.--Except as provided in paragraph (2), the
        Secretary shall ensure that intelligent transportation system
        projects carried out using amounts made available from the Highway
        Trust Fund, including amounts made available to deploy intelligent
        transportation systems, conform to the appropriate regional ITS
        architecture, applicable standards, and protocols developed under
        subsection (a) or (c).
            ``(2) Discretion of the secretary.--The Secretary, at the
        discretion of the Secretary, may offer an exemption from paragraph
        (1) for projects designed to achieve specific research objectives
        outlined in the national intelligent transportation system program
        plan or the surface transportation research and development
        strategic plan developed under section 508.''.
        (b) Conforming Amendment.--The analysis for chapter 5 of title 23,
    United States Code, is amended by adding after the item relating to
    section 516 (as added by section 53004) the following:

    ``517. National architecture and standards.''.
    SEC. 53006. VEHICLE-TO-VEHICLE AND VEHICLE-TO-INFRASTRUCTURE
    COMMUNICATIONS SYSTEMS DEPLOYMENT.
        (a) In General.--Chapter 5 of title 23, United States Code, is
    amended by adding after section 517 (as added by section 53005) the
    following:
    ``Sec. 518. Vehicle-to-vehicle and vehicle-to-infrastructure
       communications systems deployment
        ``(a) In General.--Not later than 3 years after the date of
    enactment of this section, the Secretary shall submit to the Committees
    on Commerce, Science, and Transportation and Environment and Public
    Works of the Senate and the Committees on Transportation and
    Infrastructure, Energy and Commerce, and Science, Space, and Technology
    of the House of Representatives that--
            ``(1) assesses the status of dedicated short-range
        communications technology and applications developed through
        research and development;
            ``(2) analyzes the known and potential gaps in short-range
        communications technology and applications;
            ``(3) defines a recommended implementation path for dedicated
        short-range communications technology and applications that--
                ``(A) is based on the assessment described in paragraph
            (1); and
                ``(B) takes into account the analysis described in
            paragraph (2);
            ``(4) includes guidance on the relationship of the proposed
        deployment of dedicated short-range communications to the National
        ITS Architecture and ITS Standards; and
            ``(5) ensures competition by not preferencing the use of any
        particular frequency for vehicle to infrastructure operations.
        ``(b) Report Review.--The Secretary shall enter into agreements
    with the National Research Council and an independent third party with
    subject matter expertise for the review of the report described in
    subsection (a).''.
        (b) Conforming Amendment.--The analysis for chapter 5 of title 23,
    United States Code, is amended by adding after section 517 (as added by
    section 53005) the following:

    ``518. Vehicle-to-vehicle and vehicle-to-infrastructure communications
              systems deployment.''.

                           DIVISION F--MISCELLANEOUS
                  TITLE I--REAUTHORIZATION OF CERTAIN PROGRAMS
       Subtitle A--Secure Rural Schools and Community Self-determination
                                    Program

    SEC. 100101. SECURE RURAL SCHOOLS AND COMMUNITY SELF-DETERMINATION
    PROGRAM.
        (a) Amendments.--The Secure Rural Schools and Community Self-
    Determination Act of 2000 (16 U.S.C. 7101 et seq.) is amended--
            (1) in section 3(11)--
                (A) in subparagraph (A), by striking ``and'' after the
            semicolon at the end;
                (B) in subparagraph (B)--
                    (i) by striking ``fiscal year 2009 and each fiscal year
                thereafter'' and inserting ``each of fiscal years 2009
                through 2011''; and
                    (ii) by striking the period at the end and inserting
                ``; and''; and
                (C) by adding at the end the following:
                ``(C) for fiscal year 2012 and each fiscal year thereafter,
            the amount that is equal to 95 percent of the full funding
            amount for the preceding fiscal year.'';
            (2) in sections 101, 102, 203, 207, 208, 304, and 402, by
        striking ``2011'' each place it appears and inserting ``2012'';
            (3) in section 102--
                (A) by striking ``2008'' each place it appears and
            inserting ``2012'';
                (B) in subsection (b)(2)(B), by inserting ``in 2012''
            before ``, the election''; and
                (C) in subsection (d)--
                    (i) in paragraph (1)(A), by striking ``paragraph
                (3)(B)'' and inserting ``subparagraph (D)''; and
                    (ii) in paragraph (3)--

                        (I) by striking subparagraph (A) and inserting the
                    following:

                ``(A) Notification.--The Governor of each eligible State
            shall notify the Secretary concerned of an election by an
            eligible county under this subsection not later than September
            30, 2012, and each September 30 thereafter for each succeeding
            fiscal year.'';

                        (II) by redesignating subparagraph (B) as
                    subparagraph (D) and moving the subparagraph so as to
                    appear at the end of paragraph (1) of subsection (d);
                    and
                        (III) by inserting after subparagraph (A) the
                    following:

                ``(B) Failure to elect.--If the Governor of an eligible
            State fails to notify the Secretary concerned of the election
            for an eligible county by the date specified in subparagraph
            (A)--
                    ``(i) the eligible county shall be considered to have
                elected to expend 80 percent of the funds in accordance
                with paragraph (1)(A); and
                    ``(ii) the remainder shall be available to the
                Secretary concerned to carry out projects in the eligible
                county to further the purpose described in section
                202(b).'';
            (4) in section 103(d)(2), by striking ``fiscal year 2011'' and
        inserting ``each of fiscal years 2011 and 2012'';
            (5) in section 202, by adding at the end the following:
        ``(c) Administrative Expenses.--A resource advisory committee may,
    in accordance with section 203, propose to use not more than 10 percent
    of the project funds of an eligible county for any fiscal year for
    administrative expenses associated with operating the resource advisory
    committee under this title.'';
            (6) in section 204(e)(3)(B)(iii), by striking ``and 2011'' and
        inserting ``through 2012'';
            (7) in section 205(a)(4), by striking ``2006'' each place it
        appears and inserting ``2011'';
            (8) in section 208(b), by striking ``2012'' and inserting
        ``2013'';
            (9) in section 302(a)(2)(A), by inserting ``and'' after the
        semicolon; and
            (10) in section 304(b), by striking ``2012'' and inserting
        ``2013''.
        (b) Failure To Make Election.--For each county that failed to make
    an election for fiscal year 2011 in accordance with section
    102(d)(3)(A) of the Secure Rural Schools and Community Self-
    Determination Act of 2000 (16 U.S.C. 7112(d)(3)(A)), there shall be
    available to the Secretary of Agriculture to carry out projects to
    further the purpose described in section 202(b) of that Act (16 U.S.C.
    7122(b)), from amounts in the Treasury not otherwise appropriated, the
    amount that is equal to 15 percent of the total share of the State
    payment that otherwise would have been made to the county under that
    Act for fiscal year 2011.

                  Subtitle B--Payment in Lieu of Taxes Program

    SEC. 100111. PAYMENTS IN LIEU OF TAXES.
        Section 6906 of title 31, United States Code, is amended by
    striking ``2012'' and inserting ``2013''.

                              Subtitle C--Offsets

    SEC. 100121. PHASED RETIREMENT AUTHORITY.
        (a) CSRS.--Chapter 83 of title 5, United States Code, is amended--
            (1) in section 8331--
                (A) in paragraph (30) by striking ``and'' at the end;
                (B) in paragraph (31) by striking the period at the end and
            inserting ``; and''; and
                (C) by adding at the end the following:
            ``(32) `Director' means the Director of the Office of Personnel
        Management.'';
            (2) by inserting after section 8336 the following:
    ``Sec. 8336a. Phased retirement
        ``(a) For the purposes of this section--
            ``(1) the term `composite retirement annuity' means the annuity
        computed when a phased retiree attains full retirement status;
            ``(2) the term `full retirement status' means that a phased
        retiree has ceased employment and is entitled, upon application, to
        a composite retirement annuity;
            ``(3) the term `phased employment' means the less-than-full-
        time employment of a phased retiree;
            ``(4) the term `phased retiree' means a retirement-eligible
        employee who--
                ``(A) makes an election under subsection (b); and
                ``(B) has not entered full retirement status;
            ``(5) the term `phased retirement annuity' means the annuity
        payable under this section before full retirement;
            ``(6) the term `phased retirement percentage' means the
        percentage which, when added to the working percentage for a phased
        retiree, produces a sum of 100 percent;
            ``(7) the term `phased retirement period' means the period
        beginning on the date on which an individual becomes entitled to
        receive a phased retirement annuity and ending on the date on which
        the individual dies or separates from phased employment;
            ``(8) the term `phased retirement status' means that a phased
        retiree is concurrently employed in phased employment and eligible
        to receive a phased retirement annuity;
            ``(9) the term `retirement-eligible employee'--
                ``(A) means an individual who, if the individual separated
            from the service, would meet the requirements for retirement
            under subsection (a) or (b) of section 8336; but
                ``(B) does not include an employee described in section
            8335 after the date on which the employee is required to be
            separated from the service by reason of such section; and
            ``(10) the term `working percentage' means the percentage of
        full-time employment equal to the quotient obtained by dividing--
                ``(A) the number of hours per pay period to be worked by a
            phased retiree, as scheduled in accordance with subsection
            (b)(2); by
                ``(B) the number of hours per pay period to be worked by an
            employee serving in a comparable position on a full-time basis.
        ``(b)(1) With the concurrence of the head of the employing agency,
    and under regulations promulgated by the Director, a retirement-
    eligible employee who has been employed on a full-time basis for not
    less than the 3-year period ending on the date on which the retirement-
    eligible employee makes an election under this subsection may elect to
    enter phased retirement status.
        ``(2)(A) Subject to subparagraph (B), at the time of entering
    phased retirement status, a phased retiree shall be appointed to a
    position for which the working percentage is 50 percent.
        ``(B) The Director may, by regulation, provide for working
    percentages different from the percentage specified under subparagraph
    (A), which shall be not less than 20 percent and not more than 80
    percent.
        ``(C) The working percentage for a phased retiree may not be
    changed during the phased retiree's phased retirement period.
        ``(D)(i) Not less than 20 percent of the hours to be worked by a
    phased retiree shall consist of mentoring.
        ``(ii) The Director may, by regulation, provide for exceptions to
    the requirement under clause (i).
        ``(iii) Clause (i) shall not apply to a phased retiree serving in
    the United States Postal Service. Nothing in this clause shall prevent
    the application of clause (i) or (ii) with respect to a phased retiree
    serving in the Postal Regulatory Commission.
        ``(3) A phased retiree--
            ``(A) may not be employed in more than one position at any
        time; and
            ``(B) may transfer to another position in the same or a
        different agency, only if the transfer does not result in a change
        in the working percentage.
        ``(4) A retirement-eligible employee may make not more than one
    election under this subsection during the retirement-eligible
    employee's lifetime.
        ``(5) A retirement-eligible employee who makes an election under
    this subsection may not make an election under section 8343a.
        ``(c)(1) Except as otherwise provided under this subsection, the
    phased retirement annuity for a phased retiree is the product obtained
    by multiplying--
            ``(A) the amount of an annuity computed under section 8339 that
        would have been payable to the phased retiree if, on the date on
        which the phased retiree enters phased retirement status, the
        phased retiree had separated from service and retired under section
        8336(a) or (b); by
            ``(B) the phased retirement percentage for the phased retiree.
        ``(2) A phased retirement annuity shall be paid in addition to the
    basic pay for the position to which a phased retiree is appointed
    during phased employment.
        ``(3) A phased retirement annuity shall be adjusted in accordance
    with section 8340.
        ``(4)(A) A phased retirement annuity shall not be subject to
    reduction for any form of survivor annuity, shall not serve as the
    basis of the computation of any survivor annuity, and shall not be
    subject to any court order requiring a survivor annuity to be provided
    to any individual.
        ``(B) A phased retirement annuity shall be subject to a court order
    providing for division, allotment, assignment, execution, levy,
    attachment, garnishment, or other legal process on the same basis as
    other annuities.
        ``(5) Any reduction of a phased retirement annuity based on an
    election under section 8334(d)(2) shall be applied to the phased
    retirement annuity after computation under paragraph (1).
        ``(6)(A) Any deposit, or election of an actuarial annuity reduction
    in lieu of a deposit, for military service or for creditable civilian
    service for which retirement deductions were not made or refunded shall
    be made by a retirement-eligible employee at or before the time the
    retirement-eligible employee enters phased retirement status. No such
    deposit may be made, or actuarial adjustment in lieu thereof elected,
    at the time a phased retiree enters full retirement status.
        ``(B) Notwithstanding subparagraph (A), if a phased retiree does
    not make such a deposit and dies in service as a phased retiree, a
    survivor of the phased retiree shall have the same right to make such
    deposit as would have been available had the employee not entered
    phased retirement status and died in service.
        ``(C) If a phased retiree makes an election for an actuarial
    annuity reduction under section 8334(d)(2) and dies in service as a
    phased retiree, the amount of any deposit upon which such actuarial
    reduction shall have been based shall be deemed to have been fully
    paid.
        ``(7) A phased retirement annuity shall commence on the date on
    which a phased retiree enters phased employment.
        ``(8) No unused sick leave credit may be used in the computation of
    the phased retirement annuity.
        ``(d) All basic pay not in excess of the full-time rate of pay for
    the position to which a phased retiree is appointed shall be deemed to
    be basic pay for purposes of section 8334.
        ``(e) Under such procedures as the Director may prescribe, a phased
    retiree may elect to enter full retirement status at any time. Upon
    making such an election, a phased retiree shall be entitled to a
    composite retirement annuity.
        ``(f)(1) Except as provided otherwise under this subsection, a
    composite retirement annuity is a single annuity computed under
    regulations prescribed by the Director, equal to the sum of--
            ``(A) the amount of the phased retirement annuity as of the
        date of full retirement, before any reduction based on an election
        under section 8334(d)(2), and including any adjustments made under
        section 8340; and
            ``(B) the product obtained by multiplying--
                ``(i) the amount of an annuity computed under section 8339
            that would have been payable at the time of full retirement if
            the individual had not elected a phased retirement and as if
            the individual was employed on a full-time basis in the
            position occupied during the phased retirement period and
            before any reduction for survivor annuity or reduction based on
            an election under section 8334(d)(2); by
                ``(ii) the working percentage.
        ``(2) After computing a composite retirement annuity under
    paragraph (1), the Director shall adjust the amount of the annuity for
    any applicable reductions for a survivor annuity and any previously
    elected actuarial reduction under section 8334(d)(2).
        ``(3) A composite retirement annuity shall be adjusted in
    accordance with section 8340, except that subsection (c)(1) of that
    section shall not apply.
        ``(4) In computing a composite retirement annuity under paragraph
    (1)(B)(i), the unused sick leave to the credit of a phased retiree at
    the time of entry into full retirement status shall be adjusted by
    dividing the number of hours of unused sick leave by the working
    percentage.
        ``(g)(1) Under such procedures and conditions as the Director may
    provide, and with the concurrence of the head of the employing agency,
    a phased retiree may elect to terminate phased retirement status and
    return to a full-time work schedule.
        ``(2) Upon entering a full-time work schedule based upon an
    election under paragraph (1), the phased retirement annuity of a phased
    retiree shall terminate.
        ``(3) After the termination of a phased retirement annuity under
    this subsection, the individual's rights under this subchapter shall be
    determined based on the law in effect at the time of any subsequent
    separation from service. For purposes of this subchapter or chapter 84,
    at time of the subsequent separation from service, the phased
    retirement period shall be treated as if it had been a period of part-
    time employment with the work schedule described in subsection (b)(2).
        ``(h) For purposes of section 8341--
            ``(1) the death of a phased retiree shall be deemed to be the
        death in service of an employee; and
            ``(2) the phased retirement period shall be deemed to have been
        a period of part-time employment with the work schedule described
        in subsection (b)(2).
        ``(i) Employment of a phased retiree shall not be deemed to be
    part-time career employment, as defined in section 3401(2).
        ``(j) A phased retiree is not eligible to apply for an annuity
    under section 8337.
        ``(k) For purposes of section 8341(h)(4), retirement shall be
    deemed to occur on the date on which a phased retiree enters into full
    retirement status.
        ``(l) For purposes of sections 8343 and 8351, and subchapter III of
    chapter 84, a phased retiree shall be deemed to be an employee.
        ``(m) A phased retiree is not subject to section 8344.
        ``(n) For purposes of chapter 87, a phased retiree shall be deemed
    to be receiving basic pay at the rate of a full-time employee in the
    position to which the phased retiree is appointed.''; and
            (3) in the table of sections by inserting after the item
        relating to section 8336 the following:

    ``8336a. Phased retirement.''.

        (b) FERS.--Chapter 84 of title 5, United States Code, is amended--
            (1) by inserting after section 8412 the following new section:
    ``Sec. 8412a. Phased retirement
        ``(a) For the purposes of this section--
            ``(1) the term `composite retirement annuity' means the annuity
        computed when a phased retiree attains full retirement status;
            ``(2) the term `full retirement status' means that a phased
        retiree has ceased employment and is entitled, upon application, to
        a composite retirement annuity;
            ``(3) the term `phased employment' means the less-than-full-
        time employment of a phased retiree;
            ``(4) the term `phased retiree' means a retirement-eligible
        employee who--
                ``(A) makes an election under subsection (b); and
                ``(B) has not entered full retirement status;
            ``(5) the term `phased retirement annuity' means the annuity
        payable under this section before full retirement;
            ``(6) the term `phased retirement percentage' means the
        percentage which, when added to the working percentage for a phased
        retiree, produces a sum of 100 percent;
            ``(7) the term `phased retirement period' means the period
        beginning on the date on which an individual becomes entitled to
        receive a phased retirement annuity and ending on the date on which
        the individual dies or separates from phased employment;
            ``(8) the term `phased retirement status' means that a phased
        retiree is concurrently employed in phased employment and eligible
        to receive a phased retirement annuity;
            ``(9) the term `retirement-eligible employee'--
                ``(A) means an individual who, if the individual separated
            from the service, would meet the requirements for retirement
            under subsection (a) or (b) of section 8412; and
                ``(B) does not include--
                    ``(i) an individual who, if the individual separated
                from the service, would meet the requirements for
                retirement under subsection (d) or (e) of section 8412; but
                    ``(ii) does not include an employee described in
                section 8425 after the date on which the employee is
                required to be separated from the service by reason of such
                section; and
            ``(10) the term `working percentage' means the percentage of
        full-time employment equal to the quotient obtained by dividing--
                ``(A) the number of hours per pay period to be worked by a
            phased retiree, as scheduled in accordance with subsection
            (b)(2); by
                ``(B) the number of hours per pay period to be worked by an
            employee serving in a comparable position on a full-time basis.
        ``(b)(1) With the concurrence of the head of the employing agency,
    and under regulations promulgated by the Director, a retirement-
    eligible employee who has been employed on a full-time basis for not
    less than the 3-year period ending on the date on which the retirement-
    eligible employee makes an election under this subsection may elect to
    enter phased retirement status.
        ``(2)(A) Subject to subparagraph (B), at the time of entering
    phased retirement status, a phased retiree shall be appointed to a
    position for which the working percentage is 50 percent.
        ``(B) The Director may, by regulation, provide for working
    percentages different from the percentage specified under subparagraph
    (A), which shall be not less than 20 percent and not more than 80
    percent.
        ``(C) The working percentage for a phased retiree may not be
    changed during the phased retiree's phased retirement period.
        ``(D)(i) Not less than 20 percent of the hours to be worked by a
    phased retiree shall consist of mentoring.
        ``(ii) The Director may, by regulation, provide for exceptions to
    the requirement under clause (i).
        ``(iii) Clause (i) shall not apply to a phased retiree serving in
    the United States Postal Service. Nothing in this clause shall prevent
    the application of clause (i) or (ii) with respect to a phased retiree
    serving in the Postal Regulatory Commission.
        ``(3) A phased retiree--
            ``(A) may not be employed in more than one position at any
        time; and
            ``(B) may transfer to another position in the same or a
        different agency, only if the transfer does not result in a change
        in the working percentage.
        ``(4) A retirement-eligible employee may make not more than one
    election under this subsection during the retirement-eligible
    employee's lifetime.
        ``(5) A retirement-eligible employee who makes an election under
    this subsection may not make an election under section 8420a.
        ``(c)(1) Except as otherwise provided under this subsection, the
    phased retirement annuity for a phased retiree is the product obtained
    by multiplying--
            ``(A) the amount of an annuity computed under section 8415 that
        would have been payable to the phased retiree if, on the date on
        which the phased retiree enters phased retirement status, the
        phased retiree had separated from service and retired under section
        8412 (a) or (b); by
            ``(B) the phased retirement percentage for the phased retiree.
        ``(2) A phased retirement annuity shall be paid in addition to the
    basic pay for the position to which a phased retiree is appointed
    during the phased employment.
        ``(3) A phased retirement annuity shall be adjusted in accordance
    with section 8462.
        ``(4)(A) A phased retirement annuity shall not be subject to
    reduction for any form of survivor annuity, shall not serve as the
    basis of the computation of any survivor annuity, and shall not be
    subject to any court order requiring a survivor annuity to be provided
    to any individual.
        ``(B) A phased retirement annuity shall be subject to a court order
    providing for division, allotment, assignment, execution, levy,
    attachment, garnishment, or other legal process on the same basis as
    other annuities.
        ``(5)(A) Any deposit, or election of an actuarial annuity reduction
    in lieu of a deposit, for military service or for creditable civilian
    service for which retirement deductions were not made or refunded,
    shall be made by a retirement-eligible employee at or before the time
    the retirement-eligible employee enters phased retirement status. No
    such deposit may be made, or actuarial adjustment in lieu thereof
    elected, at the time a phased retiree enters full retirement status.
        ``(B) Notwithstanding subparagraph (A), if a phased retiree does
    not make such a deposit and dies in service as a phased retiree, a
    survivor of the phased retiree shall have the same right to make such
    deposit as would have been available had the employee not entered
    phased retirement status and died in service.
        ``(6) A phased retirement annuity shall commence on the date on
    which a phased retiree enters phased employment.
        ``(7) No unused sick leave credit may be used in the computation of
    the phased retirement annuity.
        ``(d) All basic pay not in excess of the full-time rate of pay for
    the position to which a phased retiree is appointed shall be deemed to
    be basic pay for purposes of sections 8422 and 8423.
        ``(e) Under such procedures as the Director may prescribe, a phased
    retiree may elect to enter full retirement status at any time. Upon
    making such an election, a phased retiree shall be entitled to a
    composite retirement annuity.
        ``(f)(1) Except as provided otherwise under this subsection, a
    composite retirement annuity is a single annuity computed under
    regulations prescribed by the Director, equal to the sum of--
            ``(A) the amount of the phased retirement annuity as of the
        date of full retirement, including any adjustments made under
        section 8462; and
            ``(B) the product obtained by multiplying--
                ``(i) the amount of an annuity computed under section 8412
            that would have been payable at the time of full retirement if
            the individual had not elected a phased retirement and as if
            the individual was employed on a full-time basis in the
            position occupied during the phased retirement period and
            before any adjustment to provide for a survivor annuity; by
                ``(ii) the working percentage.
        ``(2) After computing a composite retirement annuity under
    paragraph (1), the Director shall adjust the amount of the annuity for
    any applicable reductions for a survivor annuity.
        ``(3) A composite retirement annuity shall be adjusted in
    accordance with section 8462, except that subsection (c)(1) of that
    section shall not apply.
        ``(4) In computing a composite retirement annuity under paragraph
    (1)(B)(i), the unused sick leave to the credit of a phased retiree at
    the time of entry into full retirement status shall be adjusted by
    dividing the number of hours of unused sick leave by the working
    percentage.
        ``(g)(1) Under such procedures and conditions as the Director may
    provide, and with the concurrence of the head of employing agency, a
    phased retiree may elect to terminate phased retirement status and
    return to a full-time work schedule.
        ``(2) Upon entering a full-time work schedule based on an election
    under paragraph (1), the phased retirement annuity of a phased retiree
    shall terminate.
        ``(3) After termination of the phased retirement annuity under this
    subsection, the individual's rights under this chapter shall be
    determined based on the law in effect at the time of any subsequent
    separation from service. For purposes of this chapter, at the time of
    the subsequent separation from service, the phased retirement period
    shall be treated as if it had been a period of part-time employment
    with the work schedule described in subsection (b)(2).
        ``(h) For purposes of subchapter IV--
            ``(1) the death of a phased retiree shall be deemed to be the
        death in service of an employee;
            ``(2) except for purposes of section 8442(b)(1)(A)(i), the
        phased retirement period shall be deemed to have been a period of
        part-time employment with the work schedule described in subsection
        (b)(2) of this section; and
            ``(3) for purposes of section 8442(b)(1)(A)(i), the phased
        retiree shall be deemed to have been at the full-time rate of pay
        for the position occupied.
        ``(i) Employment of a phased retiree shall not be deemed to be
    part-time career employment, as defined in section 3401(2).
        ``(j) A phased retiree is not eligible to receive an annuity
    supplement under section 8421.
        ``(k) For purposes of subchapter III, a phased retiree shall be
    deemed to be an employee.
        ``(l) For purposes of section 8445(d), retirement shall be deemed
    to occur on the date on which a phased retiree enters into full
    retirement status.
        ``(m) A phased retiree is not eligible to apply for an annuity
    under subchapter V.
        ``(n) A phased retiree is not subject to section 8468.
        ``(o) For purposes of chapter 87, a phased retiree shall be deemed
    to be receiving basic pay at the rate of a full-time employee in the
    position to which the phased retiree is appointed.''; and
            (2) in the table of sections by inserting after the item
        relating to section 8412 the following:

    ``8412a. Phased retirement.''.

        (c) Exemption From 10-percent Additional Tax on Early
    Distributions.--Section 72(t)(2)(A) of the Internal Revenue Code of
    1986 is amended by striking ``or'' at the end of clause (vi), by
    striking the period at the end of clause (vii) and inserting ``, or'',
    and by adding at the end the following:
                    ``(viii) payments under a phased retirement annuity
                under section 8366a(a)(5) or 8412a(a)(5) of title 5, United
                States Code, or a composite retirement annuity under
                section 8366a(a)(1) or 8412a(a)(1) of such title.''.
        (d) Effective Date.--The amendments made by subsections (a) and (b)
    shall take effect on the effective date of the implementing regulations
    issued by the Director of the Office of Personnel Management.
    SEC. 100122. ROLL-YOUR-OWN CIGARETTE MACHINES.
        (a) In General.--Subsection (d) of section 5702 of the Internal
    Revenue Code of 1986 is amended by adding at the end the following new
    flush sentence:
    ``Such term shall include any person who for commercial purposes makes
    available for consumer use (including such consumer's personal
    consumption or use under paragraph (1)) a machine capable of making
    cigarettes, cigars, or other tobacco products. A person making such a
    machine available for consumer use shall be deemed the person making
    the removal as defined by subsection (j) with respect to any tobacco
    products manufactured by such machine. A person who sells a machine
    directly to a consumer at retail for a consumer's personal home use is
    not making a machine available for commercial purposes if such machine
    is not used at a retail premises and is designed to produce tobacco
    products only in personal use quantities.''.
        (b) Effective Date.--The amendment made by this section shall apply
    to articles removed after the date of the enactment of this Act.
    SEC. 100123. CHANGE IN FMAP INCREASE FOR DISASTER RECOVERY STATES.
        (a) Accelerated Date for Prior Amendments.--Section 3204(b) of the
    Middle Class Tax Relief and Job Creation Act of 2012 (Public Law 112-
    96) is amended by striking ``October 1, 2013'' and inserting ``October
    1, 2012''.
        (b) Application of 50 Percent in Fiscal Year 2013.--Subparagraph
    (B) of section 1905(aa)(1) of the Social Security Act (42 U.S.C.
    1396d(aa)(1)), as amended by section 3204(a) of Public Law 112-96, is
    amended by striking ``25 percent'' and inserting ``25 percent (or 50
    percent in the case of fiscal year 2013)''.
        (c) Effective Date.--The amendments made by this section shall be
    effective as if included in the enactment of section 3204 of Public Law
    112-96.
    SEC. 100124. REPEALS.
        (a) Transportation Requirements for Certain Exports Sponsored by
    the Secretary of Agriculture.--
            (1) Repeal.--Subsections (a) and (c) of section 55314 of title
        46, United States Code, are repealed.
            (2) Activities described.--Subsection (b) of section 55314 of
        title 46, United States Code, is amended by striking ``This section
        applies to export activity'' and inserting ``The activities
        specified in this subsection are export activities''.
        (b) Financing the Transportation of Agricultural Commodities.--
    Subsection (a) of section 55316 of title 46, United States Code, is
    repealed.
        (c) Conforming Amendments.--
            (1) Minimum tonnage.--Section 55315(b) of title 46, United
        States Code, is amended by striking ``subject to section 55314''
        and inserting ``specified in section 55314(b)''.
            (2) Issuance and purchase of obligations and notification to
        congress of insufficiency.--Section 55316 of title 46, United
        States Code, is amended--
                (A) in subsection (c)(1) by striking ``under subsections
            (a) and (b)'' and inserting ``under subsection (b)''; and
                (B) in subsection (f) by striking ``subsections (a) and (b)
            and section 55314(a) of this title'' and inserting ``subsection
            (b)''.
            (3) Termination of subchapter.--Section 55317 of title 46,
        United States Code, is amended by striking ``sections 55314(a) and
        55316(a) and (b)'' and inserting ``section 55316(b)''.
    SEC. 100125. LIMITATION ON PAYMENTS FROM THE ABANDONED MINE RECLAMATION
    FUND.
        Section 411(h) of the Surface Mining Control and Reclamation Act of
    1977 (30 U.S.C. 1240a(h)) is amended by adding at the end the
    following:
            ``(5) Limitation on annual payments.--Notwithstanding any other
        provision of this subsection, the total annual payment to a
        certified State or Indian tribe under this subsection shall be not
        more than $15,000,000.''.

                           TITLE II--FLOOD INSURANCE
              Subtitle A--Flood Insurance Reform and Modernization

    SEC. 100201. SHORT TITLE.
        This subtitle may be cited as the ``Biggert-Waters Flood Insurance
    Reform Act of 2012''.
    SEC. 100202. DEFINITIONS.
        (a) In General.--In this subtitle, the following definitions shall
    apply:
            (1) 100-year floodplain.--The term ``100-year floodplain''
        means that area which is subject to inundation from a flood having
        a 1-percent chance of being equaled or exceeded in any given year.
            (2) 500-year floodplain.--The term ``500-year floodplain''
        means that area which is subject to inundation from a flood having
        a 0.2-percent chance of being equaled or exceeded in any given
        year.
            (3) Administrator.--The term ``Administrator'' means the
        Administrator of the Federal Emergency Management Agency.
            (4) National flood insurance program.--The term ``National
        Flood Insurance Program'' means the program established under the
        National Flood Insurance Act of 1968 (42 U.S.C. 4011 et seq.).
            (5) Write your own.--The term ``Write Your Own'' means the
        cooperative undertaking between the insurance industry and the
        Federal Insurance Administration which allows participating
        property and casualty insurance companies to write and service
        standard flood insurance policies.
        (b) Common Terminology.--Except as otherwise provided in this
    subtitle, any terms used in this subtitle shall have the meaning given
    to such terms under section 1370 of the National Flood Insurance Act of
    1968 (42 U.S.C. 4121).
    SEC. 100203. EXTENSION OF NATIONAL FLOOD INSURANCE PROGRAM.
        (a) Financing.--Section 1309(a) of the National Flood Insurance Act
    of 1968 (42 U.S.C. 4016(a)) is amended by striking ``July 31, 2012''
    and inserting ``September 30, 2017''.
        (b) Program Expiration.--Section 1319 of the National Flood
    Insurance Act of 1968 (42 U.S.C. 4026) is amended by striking ``July
    31, 2012'' and inserting ``September 30, 2017''.
    SEC. 100204. AVAILABILITY OF INSURANCE FOR MULTIFAMILY PROPERTIES.
        Section 1305 of the National Flood Insurance Act of 1968 (42 U.S.C.
    4012) is amended--
            (1) in subsection (b)(2)(A), by inserting ``not described in
        subsection (a) or (d)'' after ``properties''; and
            (2) by adding at the end the following:
        ``(d) Availability of Insurance for Multifamily Properties.--
            ``(1) In general.--The Administrator shall make flood insurance
        available to cover residential properties of 5 or more residences.
        Notwithstanding any other provision of law, the maximum coverage
        amount that the Administrator may make available under this
        subsection to such residential properties shall be equal to the
        coverage amount made available to commercial properties.
            ``(2) Rule of construction.--Nothing in this subsection shall
        be construed to limit the ability of individuals residing in
        residential properties of 5 or more residences to obtain insurance
        for the contents and personal articles located in such
        residences.''.
    SEC. 100205. REFORM OF PREMIUM RATE STRUCTURE.
        (a) To Exclude Certain Properties From Receiving Subsidized Premium
    Rates.--
            (1) In general.--Section 1307 of the National Flood Insurance
        Act of 1968 (42 U.S.C. 4014) is amended--
                (A) in subsection (a)(2), by striking ``for any residential
            property which is not the primary residence of an individual;
            and'' and inserting the following: ``for--
                ``(A) any residential property which is not the primary
            residence of an individual;
                ``(B) any severe repetitive loss property;
                ``(C) any property that has incurred flood-related damage
            in which the cumulative amounts of payments under this title
            equaled or exceeded the fair market value of such property;
                ``(D) any business property; or
                ``(E) any property which on or after the date of enactment
            of the Biggert-Waters Flood Insurance Reform Act of 2012 has
            experienced or sustained--
                    ``(i) substantial damage exceeding 50 percent of the
                fair market value of such property; or
                    ``(ii) substantial improvement exceeding 30 percent of
                the fair market value of such property; and''; and
                (B) by adding at the end the following:
        ``(g) No Extension of Subsidy to New Policies or Lapsed Policies.--
    The Administrator shall not provide flood insurance to prospective
    insureds at rates less than those estimated under subsection (a)(1), as
    required by paragraph (2) of that subsection, for--
            ``(1) any property not insured by the flood insurance program
        as of the date of enactment of the Biggert-Waters Flood Insurance
        Reform Act of 2012;
            ``(2) any property purchased after the date of enactment of the
        Biggert-Waters Flood Insurance Reform Act of 2012;
            ``(3) any policy under the flood insurance program that has
        lapsed in coverage, as a result of the deliberate choice of the
        holder of such policy; or
            ``(4) any prospective insured who refuses to accept any offer
        for mitigation assistance by the Administrator (including an offer
        to relocate), including an offer of mitigation assistance--
                ``(A) following a major disaster, as defined in section 102
            of the Robert T. Stafford Disaster Relief and Emergency
            Assistance Act (42 U.S.C. 5122); or
                ``(B) in connection with--
                    ``(i) a repetitive loss property; or
                    ``(ii) a severe repetitive loss property.
        ``(h) Definition.--In this section, the term `severe repetitive
    loss property' has the following meaning:
            ``(1) Single-family properties.--In the case of a property
        consisting of 1 to 4 residences, such term means a property that--
                ``(A) is covered under a contract for flood insurance made
            available under this title; and
                ``(B) has incurred flood-related damage--
                    ``(i) for which 4 or more separate claims payments have
                been made under flood insurance coverage under this
                chapter, with the amount of each such claim exceeding
                $5,000, and with the cumulative amount of such claims
                payments exceeding $20,000; or
                    ``(ii) for which at least 2 separate claims payments
                have been made under such coverage, with the cumulative
                amount of such claims exceeding the value of the property.
            ``(2) Multifamily properties.--In the case of a property
        consisting of 5 or more residences, such term shall have such
        meaning as the Director shall by regulation provide.''.
            (2) Effective date.--The amendments made by paragraph (1) shall
        become effective 90 days after the date of enactment of this Act.
        (b) Estimates of Premium Rates.--Section 1307(a)(1)(B) of the
    National Flood Insurance Act of 1968 (42 U.S.C. 4014(a)(1)(B)) is
    amended--
            (1) in clause (ii), by striking ``and'' at the end;
            (2) in clause (iii), by adding ``and'' at the end; and
            (3) by inserting after clause (iii) the following:
                    ``(iv) all costs, as prescribed by principles and
                standards of practice in ratemaking adopted by the American
                Academy of Actuaries and the Casualty Actuarial Society,
                including--

                        ``(I) an estimate of the expected value of future
                    costs,
                        ``(II) all costs associated with the transfer of
                    risk, and
                        ``(III) the costs associated with an individual
                    risk transfer with respect to risk classes, as defined
                    by the Administrator,''.

        (c) Increase in Annual Limitation on Premium Increases.--Section
    1308(e) of the National Flood Insurance Act of 1968 (42 U.S.C. 4015(e))
    is amended--
            (1) in the matter preceding paragraph (1)--
                (A) by striking ``or (3)''; and
                (B) by inserting ``any properties'' after ``under this
            title for'';
            (2) in paragraph (1)--
                (A) by striking ``any properties within any single'' and
            inserting ``within any single''; and
                (B) by striking ``10 percent'' and inserting ``20
            percent''; and
            (3) by striking paragraph (2) and inserting the following:
            ``(2) described in subparagraphs (A) through (E) of section
        1307(a)(2) shall be increased by 25 percent each year, until the
        average risk premium rate for such properties is equal to the
        average of the risk premium rates for properties described under
        paragraph (1).''.
        (d) Premium Payment Flexibility for New and Existing
    Policyholders.--Section 1308 of the National Flood Insurance Act of
    1968 (42 U.S.C. 4015) is amended by adding at the end the following:
        ``(g) Frequency of Premium Collection.--With respect to any
    chargeable premium rate prescribed under this section, the
    Administrator shall provide policyholders that are not required to
    escrow their premiums and fees for flood insurance as set forth under
    section 102 of the Flood Disaster Protection Act of 1973 (42 U.S.C.
    4012a) with the option of paying their premiums either annually or in
    more frequent installments.''.
        (e) Rule of Construction.--Nothing in this section or the
    amendments made by this section may be construed to affect the
    requirement under section 2(c) of the Act entitled ``An Act to extend
    the National Flood Insurance Program, and for other purposes'',
    approved May 31, 2012 (Public Law 112-123), that the first increase in
    chargeable risk premium rates for residential properties which are not
    the primary residence of an individual take effect on July 1, 2012.
    SEC. 100207. PREMIUM ADJUSTMENT.
        Section 1308 of the National Flood Insurance Act of 1968 (42 U.S.C.
    4015), as amended by section 100205, is further amended by adding at
    the end the following:
        ``(h) Premium Adjustment To Reflect Current Risk of Flood.--
    Notwithstanding subsection (f), upon the effective date of any revised
    or updated flood insurance rate map under this Act, the Flood Disaster
    Protection Act of 1973, or the Biggert-Waters Flood Insurance Reform
    Act of 2012, any property located in an area that is participating in
    the national flood insurance program shall have the risk premium rate
    charged for flood insurance on such property adjusted to accurately
    reflect the current risk of flood to such property, subject to any
    other provision of this Act. Any increase in the risk premium rate
    charged for flood insurance on any property that is covered by a flood
    insurance policy on the effective date of such an update that is a
    result of such updating shall be phased in over a 5-year period, at the
    rate of 20 percent for each year following such effective date. In the
    case of any area that was not previously designated as an area having
    special flood hazards and that, pursuant to any issuance, revision,
    updating, or other change in a flood insurance map, becomes designated
    as such an area, the chargeable risk premium rate for flood insurance
    under this title that is purchased on or after the date of enactment of
    this subsection with respect to any property that is located within
    such area shall be phased in over a 5-year period, at the rate of 20
    percent for each year following the effective date of such issuance,
    revision, updating, or change.''.
    SEC. 100208. ENFORCEMENT.
        Section 102(f)(5) of the Flood Disaster Protection Act of 1973 (42
    U.S.C. 4012a(f)(5)) is amended--
            (1) in the first sentence, by striking ``$350'' and inserting
        ``$2,000''; and
            (2) by striking the second sentence.
    SEC. 100209. ESCROW OF FLOOD INSURANCE PAYMENTS.
        (a) In General.--Paragraph (1) of section 102(d) of the Flood
    Disaster Protection Act of 1973 (42 U.S.C. 4012a(d)) is amended to read
    as follows:
            ``(1) Regulated lending institutions.--
                ``(A) Federal entities responsible for lending
            regulations.--Each Federal entity for lending regulation (after
            consultation and coordination with the Federal Financial
            Institutions Examination Council) shall, by regulation, direct
            that all premiums and fees for flood insurance under the
            National Flood Insurance Act of 1968, for improved real estate
            or a mobile home, shall be paid to the regulated lending
            institution or servicer for any loan secured by the improved
            real estate or mobile home, with the same frequency as payments
            on the loan are made, for the duration of the loan. Except as
            provided in subparagraph (C), upon receipt of any premiums or
            fees, the regulated lending institution or servicer shall
            deposit such premiums and fees in an escrow account on behalf
            of the borrower. Upon receipt of a notice from the
            Administrator or the provider of the flood insurance that
            insurance premiums are due, the premiums deposited in the
            escrow account shall be paid to the provider of the flood
            insurance.
                ``(B) Limitation.--Except as may be required under
            applicable State law, a Federal entity for lending regulation
            may not direct or require a regulated lending institution to
            deposit premiums or fees for flood insurance under the National
            Flood Insurance Act of 1968 in an escrow account on behalf of a
            borrower under subparagraph (A) or (B), if--
                    ``(i) the regulated lending institution has total
                assets of less than $1,000,000,000; and
                    ``(ii) on or before the date of enactment of the
                Biggert-Waters Flood Insurance Reform Act of 2012, the
                regulated lending institution--

                        ``(I) in the case of a loan secured by residential
                    improved real estate or a mobile home, was not required
                    under Federal or State law to deposit taxes, insurance
                    premiums, fees, or any other charges in an escrow
                    account for the entire term of the loan; and
                        ``(II) did not have a policy of consistently and
                    uniformly requiring the deposit of taxes, insurance
                    premiums, fees, or any other charges in an escrow
                    account for loans secured by residential improved real
                    estate or a mobile home.''.

        (b) Applicability.--The amendment made by subsection (a) shall
    apply to any mortgage outstanding or entered into on or after the
    expiration of the 2-year period beginning on the date of enactment of
    this Act.
    SEC. 100210. MINIMUM DEDUCTIBLES FOR CLAIMS UNDER THE NATIONAL FLOOD
    INSURANCE PROGRAM.
        Section 1312 of the National Flood Insurance Act of 1968 (42 U.S.C.
    4019) is amended--
            (1) by striking ``The Director is'' and inserting the
        following:
        ``(a) In General.--The Administrator is''; and
            (2) by adding at the end the following:
        ``(b) Minimum Annual Deductible.--
            ``(1) Pre-firm properties.--For any structure which is covered
        by flood insurance under this title, and on which construction or
        substantial improvement occurred on or before December 31, 1974, or
        before the effective date of an initial flood insurance rate map
        published by the Administrator under section 1360 for the area in
        which such structure is located, the minimum annual deductible for
        damage to such structure shall be--
                ``(A) $1,500, if the flood insurance coverage for such
            structure covers loss of, or physical damage to, such structure
            in an amount equal to or less than $100,000; and
                ``(B) $2,000, if the flood insurance coverage for such
            structure covers loss of, or physical damage to, such structure
            in an amount greater than $100,000.
            ``(2) Post-firm properties.--For any structure which is covered
        by flood insurance under this title, and on which construction or
        substantial improvement occurred after December 31, 1974, or after
        the effective date of an initial flood insurance rate map published
        by the Administrator under section 1360 for the area in which such
        structure is located, the minimum annual deductible for damage to
        such structure shall be--
                ``(A) $1,000, if the flood insurance coverage for such
            structure covers loss of, or physical damage to, such structure
            in an amount equal to or less than $100,000; and
                ``(B) $1,250, if the flood insurance coverage for such
            structure covers loss of, or physical damage to, such structure
            in an amount greater than $100,000.''.
    SEC. 100211. CONSIDERATIONS IN DETERMINING CHARGEABLE PREMIUM RATES.
        Section 1308 of the National Flood Insurance Act of 1968 (42 U.S.C.
    4015), as amended by this Act, is amended--
            (1) in subsection (a), by striking ``, after consultation
        with'' and all that follows through ``by regulation'' and inserting
        ``prescribe, after providing notice'';
            (2) in subsection (b)--
                (A) in paragraph (1), by striking the period at the end and
            inserting a semicolon;
                (B) in paragraph (2), by striking the comma at the end and
            inserting a semicolon;
                (C) in paragraph (3), by striking ``, and'' and inserting a
            semicolon;
                (D) in paragraph (4), by striking the period at the end and
            inserting ``; and''; and
                (E) by adding at the end the following:
            ``(5) adequate, on the basis of accepted actuarial principles,
        to cover the average historical loss year obligations incurred by
        the National Flood Insurance Fund.''; and
            (3) by adding at the end the following:
        ``(i) Rule of Construction.--For purposes of this section, the
    calculation of an `average historical loss year'--
            ``(1) includes catastrophic loss years; and
            ``(2) shall be computed in accordance with generally accepted
        actuarial principles.''.
    SEC. 100212. RESERVE FUND.
        Chapter I of the National Flood Insurance Act of 1968 (42 U.S.C.
    4011 et seq.) is amended by inserting after section 1310 (42 U.S.C.
    4017) the following:
    ``SEC. 1310A. RESERVE FUND.
        ``(a) Establishment of Reserve Fund.--In carrying out the flood
    insurance program authorized by this chapter, the Administrator shall
    establish in the Treasury of the United States a National Flood
    Insurance Reserve Fund (in this section referred to as the `Reserve
    Fund') which shall--
            ``(1) be an account separate from any other accounts or funds
        available to the Administrator; and
            ``(2) be available for meeting the expected future obligations
        of the flood insurance program, including--
                ``(A) the payment of claims;
                ``(B) claims adjustment expenses; and
                ``(C) the repayment of amounts outstanding under any note
            or other obligation issued by the Administrator under section
            1309(a).
        ``(b) Reserve Ratio.--Subject to the phase-in requirements under
    subsection (d), the Reserve Fund shall maintain a balance equal to--
            ``(1) 1 percent of the sum of the total potential loss exposure
        of all outstanding flood insurance policies in force in the prior
        fiscal year; or
            ``(2) such higher percentage as the Administrator determines to
        be appropriate, taking into consideration any circumstance that may
        raise a significant risk of substantial future losses to the
        Reserve Fund.
        ``(c) Maintenance of Reserve Ratio.--
            ``(1) In general.--The Administrator shall have the authority
        to establish, increase, or decrease the amount of aggregate annual
        insurance premiums to be collected for any fiscal year necessary--
                ``(A) to maintain the reserve ratio required under
            subsection (b); and
                ``(B) to achieve such reserve ratio, if the actual balance
            of such reserve is below the amount required under subsection
            (b).
            ``(2) Considerations.--In exercising the authority granted
        under paragraph (1), the Administrator shall consider--
                ``(A) the expected operating expenses of the Reserve Fund;
                ``(B) the insurance loss expenditures under the flood
            insurance program;
                ``(C) any investment income generated under the flood
            insurance program; and
                ``(D) any other factor that the Administrator determines
            appropriate.
            ``(3) Limitations.--
                ``(A) Rates.--In exercising the authority granted under
            paragraph (1), the Administrator shall be subject to all other
            provisions of this Act, including any provisions relating to
            chargeable premium rates or annual increases of such rates.
                ``(B) Use of additional annual insurance premiums.--
            Notwithstanding any other provision of law or any agreement
            entered into by the Administrator, the Administrator shall
            ensure that all amounts attributable to the establishment or
            increase of annual insurance premiums under paragraph (1) are
            transferred to the Administrator for deposit into the Reserve
            Fund, to be available for meeting the expected future
            obligations of the flood insurance program as described in
            subsection (a)(2).
        ``(d) Phase-in Requirements.--The phase-in requirements under this
    subsection are as follows:
            ``(1) In general.--Beginning in fiscal year 2013 and not ending
        until the fiscal year in which the ratio required under subsection
        (b) is achieved, in each such fiscal year the Administrator shall
        place in the Reserve Fund an amount equal to not less than 7.5
        percent of the reserve ratio required under subsection (b).
            ``(2) Amount satisfied.--As soon as the ratio required under
        subsection (b) is achieved, and except as provided in paragraph
        (3), the Administrator shall not be required to set aside any
        amounts for the Reserve Fund.
            ``(3) Exception.--If at any time after the ratio required under
        subsection (b) is achieved, the Reserve Fund falls below the
        required ratio under subsection (b), the Administrator shall place
        in the Reserve Fund for that fiscal year an amount equal to not
        less than 7.5 percent of the reserve ratio required under
        subsection (b).
        ``(e) Limitation on Reserve Ratio.--In any given fiscal year, if
    the Administrator determines that the reserve ratio required under
    subsection (b) cannot be achieved, the Administrator shall submit a
    report to Congress that--
            ``(1) describes and details the specific concerns of the
        Administrator regarding the consequences of the reserve ratio not
        being achieved;
            ``(2) demonstrates how such consequences would harm the long-
        term financial soundness of the flood insurance program; and
            ``(3) indicates the maximum attainable reserve ratio for that
        particular fiscal year.
        ``(f) Investment.--The Secretary of the Treasury shall invest such
    amounts of the Reserve Fund as the Secretary determines advisable in
    obligations issued or guaranteed by the United States.''.
    SEC. 100213. REPAYMENT PLAN FOR BORROWING AUTHORITY.
        (a) Repayment Plan Required.--Section 1309 of the National Flood
    Insurance Act of 1968 (42 U.S.C. 4016) is amended by adding at the end
    the following:
        ``(c) Upon the exercise of the authority established under
    subsection (a), the Administrator shall transmit a schedule for
    repayment of such amounts to--
            ``(1) the Secretary of the Treasury;
            ``(2) the Committee on Banking, Housing, and Urban Affairs of
        the Senate; and
            ``(3) the Committee on Financial Services of the House of
        Representatives.
        ``(d) In connection with any funds borrowed by the Administrator
    under the authority established in subsection (a), the Administrator,
    beginning 6 months after the date on which such funds are borrowed, and
    continuing every 6 months thereafter until such borrowed funds are
    fully repaid, shall submit a report on the progress of such repayment
    to--
            ``(1) the Secretary of the Treasury;
            ``(2) the Committee on Banking, Housing, and Urban Affairs of
        the Senate; and
            ``(3) the Committee on Financial Services of the House of
        Representatives.''.
        (b) Report.--Not later than the expiration of the 6-month period
    beginning on the date of enactment of this Act, the Administrator shall
    submit a report to the Congress setting forth options for repaying
    within 10 years all amounts, including any amounts previously borrowed
    but not yet repaid, owed pursuant to clause (2) of subsection (a) of
    section 1309 of the National Flood Insurance Act of 1968 (42 U.S.C.
    4016(a)(2)).
    SEC. 100214. PAYMENT OF CONDOMINIUM CLAIMS.
        Section 1312 of the National Flood Insurance Act of 1968 (42 U.S.C.
    4019), as amended by section 100210, is amended by adding at the end
    the following:
        ``(c) Payment of Claims to Condominium Owners.--The Administrator
    may not deny payment for any damage to or loss of property which is
    covered by flood insurance to condominium owners who purchased such
    flood insurance separate and apart from the flood insurance purchased
    by the condominium association in which such owner is a member, based
    solely, or in any part, on the flood insurance coverage of the
    condominium association or others on the overall property owned by the
    condominium association.''.
    SEC. 100215. TECHNICAL MAPPING ADVISORY COUNCIL.
        (a) Establishment.--There is established a council to be known as
    the Technical Mapping Advisory Council (in this section referred to as
    the ``Council'').
        (b) Membership.--
            (1) In general.--The Council shall consist of--
                (A) the Administrator (or the designee thereof);
                (B) the Secretary of the Interior (or the designee
            thereof);
                (C) the Secretary of Agriculture (or the designee thereof);
                (D) the Under Secretary of Commerce for Oceans and
            Atmosphere (or the designee thereof); and
                (E) 16 additional members appointed by the Administrator or
            the designee of the Administrator, who shall be--
                    (i) a member of a recognized professional surveying
                association or organization;
                    (ii) a member of a recognized professional mapping
                association or organization;
                    (iii) a member of a recognized professional engineering
                association or organization;
                    (iv) a member of a recognized professional association
                or organization representing flood hazard determination
                firms;
                    (v) a representative of the United States Geological
                Survey;
                    (vi) a representative of a recognized professional
                association or organization representing State geographic
                information;
                    (vii) a representative of State national flood
                insurance coordination offices;
                    (viii) a representative of the Corps of Engineers;
                    (ix) a member of a recognized regional flood and storm
                water management organization;
                    (x) 2 representatives of different State government
                agencies that have entered into cooperating technical
                partnerships with the Administrator and have demonstrated
                the capability to produce flood insurance rate maps;
                    (xi) 2 representatives of different local government
                agencies that have entered into cooperating technical
                partnerships with the Administrator and have demonstrated
                the capability to produce flood insurance maps;
                    (xii) a member of a recognized floodplain management
                association or organization;
                    (xiii) a member of a recognized risk management
                association or organization; and
                    (xiv) a State mitigation officer.
            (2) Qualifications.--Members of the Council shall be appointed
        based on their demonstrated knowledge and competence regarding
        surveying, cartography, remote sensing, geographic information
        systems, or the technical aspects of preparing and using flood
        insurance rate maps. In appointing members under paragraph (1)(E),
        the Administrator shall, to the maximum extent practicable, ensure
        that the membership of the Council has a balance of Federal, State,
        local, tribal, and private members, and includes geographic
        diversity, including representation from areas with coastline on
        the Gulf of Mexico and other States containing areas identified by
        the Administrator as at high risk for flooding or as areas having
        special flood hazards.
        (c) Duties.--The Council shall--
            (1) recommend to the Administrator how to improve in a cost-
        effective manner the--
                (A) accuracy, general quality, ease of use, and
            distribution and dissemination of flood insurance rate maps and
            risk data; and
                (B) performance metrics and milestones required to
            effectively and efficiently map flood risk areas in the United
            States;
            (2) recommend to the Administrator mapping standards and
        guidelines for--
                (A) flood insurance rate maps; and
                (B) data accuracy, data quality, data currency, and data
            eligibility;
            (3) recommend to the Administrator how to maintain, on an
        ongoing basis, flood insurance rate maps and flood risk
        identification;
            (4) recommend procedures for delegating mapping activities to
        State and local mapping partners;
            (5) recommend to the Administrator and other Federal agencies
        participating in the Council--
                (A) methods for improving interagency and intergovernmental
            coordination on flood mapping and flood risk determination; and
                (B) a funding strategy to leverage and coordinate budgets
            and expenditures across Federal agencies; and
            (6) submit an annual report to the Administrator that
        contains--
                (A) a description of the activities of the Council;
                (B) an evaluation of the status and performance of flood
            insurance rate maps and mapping activities to revise and update
            flood insurance rate maps, as required under section 100216;
            and
                (C) a summary of recommendations made by the Council to the
            Administrator.
        (d) Future Conditions Risk Assessment and Modeling Report.--
            (1) In general.--The Council shall consult with scientists and
        technical experts, other Federal agencies, States, and local
        communities to--
                (A) develop recommendations on how to--
                    (i) ensure that flood insurance rate maps incorporate
                the best available climate science to assess flood risks;
                and
                    (ii) ensure that the Federal Emergency Management
                Agency uses the best available methodology to consider the
                impact of--

                        (I) the rise in the sea level; and
                        (II) future development on flood risk; and

                (B) not later than 1 year after the date of enactment of
            this Act, prepare written recommendations in a future
            conditions risk assessment and modeling report and to submit
            such recommendations to the Administrator.
            (2) Responsibility of the administrator.--The Administrator, as
        part of the ongoing program to review and update National Flood
        Insurance Program rate maps under section 100216, shall incorporate
        any future risk assessment submitted under paragraph (1)(B) in any
        such revision or update.
        (e) Chairperson.--The members of the Council shall elect 1 member
    to serve as the chairperson of the Council (in this section referred to
    as the ``Chairperson'').
        (f) Coordination.--To ensure that the Council's recommendations are
    consistent, to the maximum extent practicable, with national digital
    spatial data collection and management standards, the Chairperson shall
    consult with the Chairperson of the Federal Geographic Data Committee
    (established pursuant to Office of Management and Budget Circular A-
    16).
        (g) Compensation.--Members of the Council shall receive no
    additional compensation by reason of their service on the Council.
        (h) Meetings and Actions.--
            (1) In general.--The Council shall meet not less frequently
        than twice each year at the request of the Chairperson or a
        majority of its members, and may take action by a vote of the
        majority of the members.
            (2) Initial meeting.--The Administrator, or a person designated
        by the Administrator, shall request and coordinate the initial
        meeting of the Council.
        (i) Officers.--The Chairperson may appoint officers to assist in
    carrying out the duties of the Council under subsection (c).
        (j) Staff.--
            (1) Staff of fema.--Upon the request of the Chairperson, the
        Administrator may detail, on a nonreimbursable basis, personnel of
        the Federal Emergency Management Agency to assist the Council in
        carrying out its duties.
            (2) Staff of other federal agencies.--Upon request of the
        Chairperson, any other Federal agency that is a member of the
        Council may detail, on a nonreimbursable basis, personnel to assist
        the Council in carrying out its duties.
        (k) Powers.--In carrying out this section, the Council may hold
    hearings, receive evidence and assistance, provide information, and
    conduct research, as it considers appropriate.
        (l) Report to Congress.--The Administrator, on an annual basis,
    shall report to the Committee on Banking, Housing, and Urban Affairs of
    the Senate, the Committee on Financial Services of the House of
    Representatives, and the Office of Management and Budget on the--
            (1) recommendations made by the Council;
            (2) actions taken by the Federal Emergency Management Agency to
        address such recommendations to improve flood insurance rate maps
        and flood risk data; and
            (3) any recommendations made by the Council that have been
        deferred or not acted upon, together with an explanatory statement.
    SEC. 100216. NATIONAL FLOOD MAPPING PROGRAM.
        (a) Reviewing, Updating, and Maintaining Maps.--The Administrator,
    in coordination with the Technical Mapping Advisory Council established
    under section 100215, shall establish an ongoing program under which
    the Administrator shall review, update, and maintain National Flood
    Insurance Program rate maps in accordance with this section.
        (b) Mapping.--
            (1) In general.--In carrying out the program established under
        subsection (a), the Administrator shall--
                (A) identify, review, update, maintain, and publish
            National Flood Insurance Program rate maps with respect to--
                    (i) all populated areas and areas of possible
                population growth located within the 100-year floodplain;
                    (ii) all populated areas and areas of possible
                population growth located within the 500-year floodplain;
                    (iii) areas of residual risk, including areas that are
                protected by levees, dams, and other flood control
                structures;
                    (iv) areas that could be inundated as a result of the
                failure of a levee, dam, or other flood control structure;
                and
                    (v) the level of protection provided by flood control
                structures;
                (B) establish or update flood-risk zone data in all such
            areas, and make estimates with respect to the rates of probable
            flood caused loss for the various flood risk zones for each
            such area; and
                (C) use, in identifying, reviewing, updating, maintaining,
            or publishing any National Flood Insurance Program rate map
            required under this section or under the National Flood
            Insurance Act of 1968 (42 U.S.C. 4011 et seq.), the most
            accurate topography and elevation data available.
            (2) Mapping elements.--Each map updated under this section
        shall--
                (A) assess the accuracy of current ground elevation data
            used for hydrologic and hydraulic modeling of flooding sources
            and mapping of the flood hazard and wherever necessary acquire
            new ground elevation data utilizing the most up-to-date
            geospatial technologies in accordance with guidelines and
            specifications of the Federal Emergency Management Agency; and
                (B) develop National Flood Insurance Program flood data on
            a watershed basis--
                    (i) to provide the most technically effective and
                efficient studies and hydrologic and hydraulic modeling;
                and
                    (ii) to eliminate, to the maximum extent possible,
                discrepancies in base flood elevations between adjacent
                political subdivisions.
            (3) Other inclusions.--In updating maps under this section, the
        Administrator shall include--
                (A) any relevant information on coastal inundation from--
                    (i) an applicable inundation map of the Corps of
                Engineers; and
                    (ii) data of the National Oceanic and Atmospheric
                Administration relating to storm surge modeling;
                (B) any relevant information of the United States
            Geological Survey on stream flows, watershed characteristics,
            and topography that is useful in the identification of flood
            hazard areas, as determined by the Administrator;
                (C) any relevant information on land subsidence, coastal
            erosion areas, changing lake levels, and other flood-related
            hazards;
                (D) any relevant information or data of the National
            Oceanic and Atmospheric Administration and the United States
            Geological Survey relating to the best available science
            regarding future changes in sea levels, precipitation, and
            intensity of hurricanes; and
                (E) any other relevant information as may be recommended by
            the Technical Mapping Advisory Committee.
        (c) Standards.--In updating and maintaining maps under this
    section, the Administrator shall--
            (1) establish standards to--
                (A) ensure that maps are adequate for--
                    (i) flood risk determinations; and
                    (ii) use by State and local governments in managing
                development to reduce the risk of flooding; and
                (B) facilitate identification and use of consistent methods
            of data collection and analysis by the Administrator, in
            conjunction with State and local governments, in developing
            maps for communities with similar flood risks, as determined by
            the Administrator; and
            (2) publish maps in a format that is--
                (A) digital geospatial data compliant;
                (B) compliant with the open publishing and data exchange
            standards established by the Open Geospatial Consortium; and
                (C) aligned with official data defined by the National
            Geodetic Survey.
        (d) Communication and Outreach.--
            (1) In general.--The Administrator shall--
                (A) work to enhance communication and outreach to States,
            local communities, and property owners about the effects--
                    (i) of any potential changes to National Flood
                Insurance Program rate maps that may result from the
                mapping program required under this section; and
                    (ii) that any such changes may have on flood insurance
                purchase requirements;
                (B) engage with local communities to enhance communication
            and outreach to the residents of such communities, including
            tenants (with regard to contents insurance), on the matters
            described under subparagraph (A); and
                (C) upon the issuance of any proposed map and any notice of
            an opportunity to make an appeal relating to the proposed map,
            notify the Senators for each State affected and each Member of
            the House of Representatives for each congressional district
            affected by the proposed map of any action taken by the
            Administrator with respect to the proposed map or an appeal
            relating to the proposed map.
            (2) Required activities.--The communication and outreach
        activities required under paragraph (1) shall include--
                (A) notifying property owners when their properties become
            included in, or when they are excluded from, an area covered by
            the mandatory flood insurance purchase requirement under
            section 102 of the Flood Disaster Protection Act of 1973 (42
            U.S.C. 4012a);
                (B) educating property owners regarding the flood risk and
            reduction of this risk in their community, including the
            continued flood risks to areas that are no longer subject to
            the flood insurance mandatory purchase requirement;
                (C) educating property owners regarding the benefits and
            costs of maintaining or acquiring flood insurance, including,
            where applicable, lower-cost preferred risk policies under the
            National Flood Insurance Act of 1968 (42 U.S.C. 4011 et seq.)
            for such properties and the contents of such properties;
                (D) educating property owners about flood map revisions and
            the process available to such owners to appeal proposed changes
            in flood elevations through their community, including by
            notifying local radio and television stations; and
                (E) encouraging property owners to maintain or acquire
            flood insurance coverage.
        (e) Community Remapping Request.--Upon the adoption by the
    Administrator of any recommendation by the Technical Mapping Advisory
    Council for reviewing, updating, or maintaining National Flood
    Insurance Program rate maps in accordance with this section, a
    community that believes that its flood insurance rates in effect prior
    to adoption would be affected by the adoption of such recommendation
    may submit a request for an update of its rate maps, which may be
    considered at the Administrator's sole discretion. The Administrator
    shall establish a protocol for the evaluation of such community map
    update requests.
        (f) Authorization of Appropriations.--There is authorized to be
    appropriated to the Administrator to carry out this section
    $400,000,000 for each of fiscal years 2013 through 2017.
    SEC. 100217. SCOPE OF APPEALS.
        Section 1363 of the National Flood Insurance Act of 1968 (42 U.S.C.
    4104) is amended--
            (1) in subsection (a)--
                (A) by inserting ``and designating areas having special
            flood hazards'' after ``flood elevations''; and
                (B) by striking ``such determinations'' and inserting
            ``such determinations and designations''; and
            (2) in subsection (b)--
                (A) in the first sentence, by inserting ``and designations
            of areas having special flood hazards'' after ``flood elevation
            determinations''; and
                (B) by amending the third sentence to read as follows:
            ``The sole grounds for appeal shall be the possession of
            knowledge or information indicating that (1) the elevations
            being proposed by the Administrator with respect to an
            identified area having special flood hazards are scientifically
            or technically incorrect, or (2) the designation of an
            identified special flood hazard area is scientifically or
            technically incorrect.''.
    SEC. 100218. SCIENTIFIC RESOLUTION PANEL.
        (a) Establishment.--Chapter III of the National Flood Insurance Act
    of 1968 (42 U.S.C. 4101 et seq.) is amended by inserting after section
    1363 (42 U.S.C. 4104) the following:
    ``SEC. 1363A. SCIENTIFIC RESOLUTION PANEL.
        ``(a) Availability.--
            ``(1) In general.--Pursuant to the authority provided under
        section 1363(e), the Administrator shall make available an
        independent review panel, to be known as the Scientific Resolution
        Panel, to any community--
                ``(A) that has--
                    ``(i) filed a timely map appeal in accordance with
                section 1363;
                    ``(ii) completed 60 days of consultation with the
                Federal Emergency Management Agency on the appeal; and
                    ``(iii) not allowed more than 120 days, or such longer
                period as may be provided by the Administrator by waiver,
                to pass since the end of the appeal period; or
                ``(B) that has received an unsatisfactory ruling under the
            map revision process established pursuant to section 1360(f).
            ``(2) Appeals by owners and lessees.--If a community and an
        owner or lessee of real property within the community appeal a
        proposed determination of a flood elevation under section 1363(b),
        upon the request of the community--
                ``(A) the owner or lessee shall submit scientific and
            technical data relating to the appeals to the Scientific
            Resolution Panel; and
                ``(B) the Scientific Resolution Panel shall make a
            determination with respect to the appeals in accordance with
            subsection (c).
            ``(3) Definition.--For purposes of paragraph (1)(B), an
        `unsatisfactory ruling' means that a community--
                ``(A) received a revised Flood Insurance Rate Map from the
            Federal Emergency Management Agency, via a Letter of Final
            Determination, after September 30, 2008, and prior to the date
            of enactment of this section;
                ``(B) has subsequently applied for a Letter of Map Revision
            or Physical Map Revision with the Federal Emergency Management
            Agency; and
                ``(C) has received an unfavorable ruling on their request
            for a map revision.
        ``(b) Membership.--The Scientific Resolution Panel made available
    under subsection (a) shall consist of 5 members with expertise that
    relates to the creation and study of flood hazard maps and flood
    insurance. The Scientific Resolution Panel may include representatives
    from Federal agencies not involved in the mapping study in question and
    from other impartial experts. Employees of the Federal Emergency
    Management Agency may not serve on the Scientific Resolution Panel.
        ``(c) Determination.--
            ``(1) In general.--Following deliberations, and not later than
        90 days after its formation, the Scientific Resolution Panel shall
        issue a determination of resolution of the dispute. Such
        determination shall set forth recommendations for the base flood
        elevation determination or the designation of an area having
        special flood hazards that shall be reflected in the Flood
        Insurance Rate Maps.
            ``(2) Basis.--The determination of the Scientific Resolution
        Panel shall be based on--
                ``(A) data previously provided to the Administrator by the
            community, and, in the case of a dispute submitted under
            subsection (a)(2), an owner or lessee of real property in the
            community; and
                ``(B) data provided by the Administrator.
            ``(3) No alternative determinations permissible.--The
        Scientific Resolution Panel--
                ``(A) shall provide a determination of resolution of a
            dispute that--
                    ``(i) is either in favor of the Administrator or in
                favor of the community on each distinct element of the
                dispute; or
                    ``(ii) in the case of a dispute submitted under
                subsection (a)(2), is in favor of the Administrator, in
                favor of the community, or in favor of the owner or lessee
                of real property in the community on each distinct element
                of the dispute; and
                ``(B) may not offer as a resolution any other alternative
            determination.
            ``(4) Effect of determination.--
                ``(A) Binding.--The recommendations of the Scientific
            Resolution Panel shall be binding on all appellants and not
            subject to further judicial review unless the Administrator
            determines that implementing the determination of the panel
            would--
                    ``(i) pose a significant threat due to failure to
                identify a substantial risk of special flood hazards; or
                    ``(ii) violate applicable law.
                ``(B) Written justification not to enforce.--If the
            Administrator elects not to implement the determination of the
            Scientific Resolution Panel pursuant to subparagraph (A), then
            not later than 60 days after the issuance of the determination,
            the Administrator shall issue a written justification
            explaining such election.
                ``(C) Appeal of determination not to enforce.--If the
            Administrator elects not to implement the determination of the
            Scientific Resolution Panel pursuant to subparagraph (A), the
            community may appeal the determination of the Administrator as
            provided for under section 1363(g).
        ``(d) Maps Used for Insurance and Mandatory Purchase
    Requirements.--With respect to any community that has a dispute that is
    being considered by the Scientific Resolution Panel formed pursuant to
    this subsection, the Federal Emergency Management Agency shall ensure
    that for each such community that--
            ``(1) the Flood Insurance Rate Map described in the most
        recently issued Letter of Final Determination shall be in force and
        effect with respect to such community; and
            ``(2) flood insurance shall continue to be made available to
        the property owners and residents of the participating
        community.''.
        (b) Conforming Amendments.--
            (1) Administrative review.--Section 1363(e) of the National
        Flood Insurance Act of 1968 (42 U.S.C. 4104(e)) is amended, in the
        second sentence, by striking ``an independent scientific body or
        appropriate Federal agency for advice'' and inserting ``the
        Scientific Resolution Panel provided for in section 1363A''.
            (2) Judicial review.--The first sentence of section 1363(g) of
        the National Flood Insurance Act of 1968 (42 U.S.C. 4104(g)) is
        amended by striking ``Any appellant'' and inserting ``Except as
        provided in section 1363A, any appellant''.
    SEC. 100219. REMOVAL OF LIMITATION ON STATE CONTRIBUTIONS FOR UPDATING
    FLOOD MAPS.
        Section 1360(f)(2) of the National Flood Insurance Act of 1968 (42
    U.S.C. 4101(f)(2)) is amended by striking ``, but which may not exceed
    50 percent of the cost of carrying out the requested revision or
    update''.
    SEC. 100220. COORDINATION.
        (a) Interagency Budget Crosscut and Coordination Report.--
            (1) In general.--The Secretary of Homeland Security, the
        Administrator, the Director of the Office of Management and Budget,
        and the heads of each Federal department or agency carrying out
        activities under sections 100215 and 100216 shall work together to
        ensure that flood risk determination data and geospatial data are
        shared among Federal agencies in order to coordinate the efforts of
        the Nation to reduce its vulnerability to flooding hazards.
            (2) Report.--Not later than 30 days after the submission of the
        budget of the United States Government by the President to
        Congress, the Director of the Office of Management and Budget, in
        coordination with the Federal Emergency Management Agency, the
        United States Geological Survey, the National Oceanic and
        Atmospheric Administration, the Corps of Engineers, and other
        Federal agencies, as appropriate, shall submit to the appropriate
        authorizing and appropriating committees of the Senate and the
        House of Representatives an interagency budget crosscut and
        coordination report, certified by the Secretary or head of each
        such agency, that--
                (A) contains an interagency budget crosscut report that
            displays relevant sections of the budget proposed for each of
            the Federal agencies working on flood risk determination data
            and digital elevation models, including any planned interagency
            or intra-agency transfers; and
                (B) describes how the efforts aligned with such sections
            complement one another.
        (b) Duties of the Administrator.--In carrying out sections 100215
    and 100216, the Administrator shall--
            (1) participate, pursuant to section 216 of the E-Government
        Act of 2002 (44 U.S.C. 3501 note), in the establishment of such
        standards and common protocols as are necessary to assure the
        interoperability of geospatial data for all users of such
        information;
            (2) coordinate with, seek assistance and cooperation of, and
        provide a liaison to the Federal Geographic Data Committee pursuant
        to the Office of Management and Budget Circular A-16 and Executive
        Order 12906 (43 U.S.C. 1457 note; relating to the National Spatial
        Data Infrastructure) for the implementation of and compliance with
        such standards;
            (3) integrate with, leverage, and coordinate funding of, to the
        maximum extent practicable, the current flood mapping activities of
        each unit of State and local government;
            (4) integrate with, leverage, and coordinate, to the maximum
        extent practicable, the current geospatial activities of other
        Federal agencies and units of State and local government; and
            (5) develop a funding strategy to leverage and coordinate
        budgets and expenditures, and to maintain or establish joint
        funding and other agreement mechanisms with other Federal agencies
        and units of State and local government to share in the collection
        and utilization of geospatial data among all governmental users.
    SEC. 100221. INTERAGENCY COORDINATION STUDY.
        (a) In General.--The Administrator shall enter into a contract with
    the National Academy of Public Administration to conduct a study on how
    the Federal Emergency Management Agency--
            (1) should improve interagency and intergovernmental
        coordination on flood mapping, including a funding strategy to
        leverage and coordinate budgets and expenditures; and
            (2) can establish joint funding mechanisms with other Federal
        agencies and units of State and local government to share the
        collection and utilization of data among all governmental users.
        (b) Timing.--A contract entered into under subsection (a) shall
    require that, not later than 180 days after the date of enactment of
    this subtitle, the National Academy of Public Administration shall
    report the findings of the study required under subsection (a) to--
            (1) the Committee on Banking, Housing, and Urban Affairs of the
        Senate;
            (2) the Committee on Financial Services of the House of
        Representatives;
            (3) the Committee on Appropriations of the Senate; and
            (4) the Committee on Appropriations of the House of
        Representatives.
    SEC. 100222. NOTICE OF FLOOD INSURANCE AVAILABILITY UNDER RESPA.
        Section 5(b) of the Real Estate Settlement Procedures Act of 1974
    (12 U.S.C. 2604(b)), as amended by section 1450 of the Dodd-Frank Wall
    Street Reform and Consumer Protection Act (Public Law 111-203; 124
    Stat. 2174), is amended by adding at the end the following:
            ``(14) An explanation of flood insurance and the availability
        of flood insurance under the National Flood Insurance Program or
        from a private insurance company, whether or not the real estate is
        located in an area having special flood hazards.''.
    SEC. 100223. PARTICIPATION IN STATE DISASTER CLAIMS MEDIATION PROGRAMS.
        Chapter I of the National Flood Insurance Act of 1968 (42 U.S.C.
    4011 et seq.) is amended by inserting after section 1313 (42 U.S.C.
    4020) the following:
    ``SEC. 1314. PARTICIPATION IN STATE DISASTER CLAIMS MEDIATION PROGRAMS.
        ``(a) Requirement To Participate.--In the case of the occurrence of
    a major disaster, as defined in section 102 of the Robert T. Stafford
    Disaster Relief and Emergency Assistance Act (42 U.S.C. 5122), that may
    have resulted in flood damage covered under the national flood
    insurance program established under this title and other personal lines
    residential property insurance coverage offered by a State regulated
    insurer, upon a request made by the insurance commissioner of a State
    (or such other official responsible for regulating the business of
    insurance in the State) for the participation of representatives of the
    Administrator in a program sponsored by such State for nonbinding
    mediation of insurance claims resulting from a major disaster, the
    Administrator shall cause representatives of the national flood
    insurance program to participate in such a State program where claims
    under the national flood insurance program are involved to expedite
    settlement of flood damage claims resulting from such disaster.
        ``(b) Extent of Participation.--In satisfying the requirements of
    subsection (a), the Administrator shall require that each
    representative of the Administrator--
            ``(1) be certified for purposes of the national flood insurance
        program to settle claims against such program resulting from such
        disaster in amounts up to the limits of policies under such
        program;
            ``(2) attend State-sponsored mediation meetings regarding flood
        insurance claims resulting from such disaster at such times and
        places as may be arranged by the State;
            ``(3) participate in good-faith negotiations toward the
        settlement of such claims with policyholders of coverage made
        available under the national flood insurance program; and
            ``(4) finalize the settlement of such claims on behalf of the
        national flood insurance program with such policyholders.
        ``(c) Coordination.--Representatives of the Administrator shall at
    all times coordinate their activities with insurance officials of the
    State and representatives of insurers for the purposes of consolidating
    and expediting settlement of claims under the national flood insurance
    program resulting from such disaster.
        ``(d) Qualifications of Mediators.--Each State mediator
    participating in State-sponsored mediation under this section shall
    be--
            ``(1)(A) a member in good standing of the State bar in the
        State in which the mediation is to occur with at least 2 years of
        practical experience; and
            ``(B) an active member of such bar for at least 1 year prior to
        the year in which such mediator's participation is sought; or
            ``(2) a retired trial judge from any United States jurisdiction
        who was a member in good standing of the bar in the State in which
        the judge presided for at least 5 years prior to the year in which
        such mediator's participation is sought.
        ``(e) Mediation Proceedings and Documents Privileged.--As a
    condition of participation, all statements made and documents produced
    pursuant to State-sponsored mediation involving representatives of the
    Administrator shall be deemed privileged and confidential settlement
    negotiations made in anticipation of litigation.
        ``(f) Liability, Rights, or Obligations Not Affected.--
    Participation in State-sponsored mediation, as described in this
    section does not--
            ``(1) affect or expand the liability of any party in contract
        or in tort; or
            ``(2) affect the rights or obligations of the parties, as
        established--
                ``(A) in any regulation issued by the Administrator,
            including any regulation relating to a standard flood insurance
            policy;
                ``(B) under this title; and
                ``(C) under any other provision of Federal law.
        ``(g) Exclusive Federal Jurisdiction.--Participation in State-
    sponsored mediation shall not alter, change, or modify the original
    exclusive jurisdiction of United States courts, as set forth in this
    title.
        ``(h) Cost Limitation.--Nothing in this section shall be construed
    to require the Administrator or a representative of the Administrator
    to pay additional mediation fees relating to flood insurance claims
    associated with a State-sponsored mediation program in which such
    representative of the Administrator participates.
        ``(i) Exception.--In the case of the occurrence of a major disaster
    that results in flood damage claims under the national flood insurance
    program and that does not result in any loss covered by a personal
    lines residential property insurance policy--
            ``(1) this section shall not apply; and
            ``(2) the provisions of the standard flood insurance policy
        under the national flood insurance program and the appeals process
        established under section 205 of the Bunning-Bereuter-Blumenauer
        Flood Insurance Reform Act of 2004 (42 U.S.C. 4011 note) and the
        regulations issued pursuant to such section shall apply
        exclusively.
        ``(j) Representatives of the Administrator.--For purposes of this
    section, the term `representatives of the Administrator' means
    representatives of the national flood insurance program who participate
    in the appeals process established under section 205 of the Bunning-
    Bereuter-Blumenauer Flood Insurance Reform Act of 2004 (42 U.S.C. 4011
    note).''.
    SEC. 100224. OVERSIGHT AND EXPENSE REIMBURSEMENTS OF INSURANCE
    COMPANIES.
        (a) Submission of Biennial Reports.--
            (1) To the administrator.--Not later than 20 days after the
        date of enactment of this Act, each property and casualty insurance
        company participating in the Write Your Own program shall submit to
        the Administrator any biennial report required by the Federal
        Emergency Management Agency to be prepared in the prior 5 years by
        such company.
            (2) To gao.--Not later than 10 days after the submission of the
        biennial reports under paragraph (1), the Administrator shall
        submit all such reports to the Comptroller General of the United
        States.
            (3) Notice to congress of failure to comply.--The Administrator
        shall notify and report to the Committee on Banking, Housing, and
        Urban Affairs of the Senate and the Committee on Financial Services
        of the House of Representatives on any property and casualty
        insurance company participating in the Write Your Own program that
        failed to submit its biennial reports as required under paragraph
        (1).
            (4) Failure to comply.--A property and casualty insurance
        company participating in the Write Your Own program which fails to
        comply with the reporting requirement under this subsection or the
        requirement under section 62.23(j)(1) of title 44, Code of Federal
        Regulations (relating to biennial audit of the flood insurance
        financial statements) shall be subject to a civil penalty in an
        amount of not more than $1,000 per day for each day that the
        company remains in noncompliance with either such requirement.
        (b) Methodology To Determine Reimbursed Expenses.--Not later than
    180 days after the date of enactment of this Act, the Administrator
    shall develop a methodology for determining the appropriate amounts
    that property and casualty insurance companies participating in the
    Write Your Own program should be reimbursed for selling, writing, and
    servicing flood insurance policies and adjusting flood insurance claims
    on behalf of the National Flood Insurance Program. The methodology
    shall be developed using actual expense data for the flood insurance
    line and can be derived from--
            (1) flood insurance expense data produced by the property and
        casualty insurance companies;
            (2) flood insurance expense data collected by the National
        Association of Insurance Commissioners; or
            (3) a combination of the methodologies described in paragraphs
        (1) and (2).
        (c) Submission of Expense Reports.--To develop the methodology
    established under subsection (b), the Administrator may require each
    property and casualty insurance company participating in the Write Your
    Own program to submit a report to the Administrator, in a format
    determined by the Administrator and within 60 days of the request, that
    details the expense levels of each such company for selling, writing,
    and servicing standard flood insurance policies and adjusting and
    servicing claims.
        (d) FEMA Rulemaking on Reimbursement of Expenses Under the Write
    Your Own Program.--Not later than 12 months after the date of enactment
    of this Act, the Administrator shall issue a rule to formulate revised
    expense reimbursements to property and casualty insurance companies
    participating in the Write Your Own program for their expenses
    (including their operating and administrative expenses for adjustment
    of claims) in selling, writing, and servicing standard flood insurance
    policies, including how such companies shall be reimbursed in both
    catastrophic and noncatastrophic years. Such reimbursements shall be
    structured to ensure reimbursements track the actual expenses,
    including standard business costs and operating expenses, of such
    companies as closely as practicably possible.
        (e) Report of the Administrator.--Not later than 60 days after the
    effective date of the final rule issued pursuant to subsection (d), the
    Administrator shall submit to the Committee on Banking, Housing, and
    Urban Affairs of the Senate and the Committee on Financial Services of
    the House of Representatives a report containing--
            (1) the specific rationale and purposes of such rule;
            (2) the reasons for the adoption of the policies contained in
        such rule; and
            (3) the degree to which such rule accurately represents the
        true operating costs and expenses of property and casualty
        insurance companies participating in the Write Your Own program.
        (f) GAO Study and Report on Expenses of Write Your Own Program.--
            (1) Study.--Not later than 180 days after the effective date of
        the final rule issued pursuant to subsection (d), the Comptroller
        General of the United States shall--
                (A) conduct a study on the efficacy, adequacy, and
            sufficiency of the final rules issued pursuant to subsection
            (d); and
                (B) report to the Committee on Banking, Housing, and Urban
            Affairs of the Senate and the Committee on Financial Services
            of the House of Representatives on the findings of the study
            conducted under subparagraph (A).
            (2) GAO authority.--In conducting the study and report required
        under paragraph (1), the Comptroller General--
                (A) may use any previous findings, studies, or reports that
            the Comptroller General previously completed on the Write Your
            Own program;
                (B) shall determine if--
                    (i) the final rule issued pursuant to subsection (d)
                allows the Federal Emergency Management Agency to access
                adequate information regarding the actual expenses of
                property and casualty insurance companies participating in
                the Write Your Own program; and
                    (ii) the actual reimbursements paid out under the final
                rule issued pursuant to subsection (d) accurately reflect
                the expenses reported by property and casualty insurance
                companies participating in the Write Your Own program,
                including the standard business costs and operating
                expenses of such companies; and
                (C) shall analyze the effect of the final rule issued
            pursuant to subsection (d) on the level of participation of
            property and casualty insurers in the Write Your Own program.
    SEC. 100225. MITIGATION.
        (a) Mitigation Assistance Grants.--Section 1366 of the National
    Flood Insurance Act of 1968 (42 U.S.C. 4104c) is amended--
            (1) by striking subsections (b), (d), (f), (g), (h), (k), and
        (m);
            (2) by redesignating subsections (c), (e), (i), and (j) as
        subsections (b), (c), (e), and (f), respectively;
            (3) in subsection (a), by striking the last sentence and
        inserting the following: ``Such financial assistance shall be made
        available--
            ``(1) to States and communities in the form of grants under
        this section for carrying out mitigation activities;
            ``(2) to States and communities in the form of grants under
        this section for carrying out mitigation activities that reduce
        flood damage to severe repetitive loss structures; and
            ``(3) to property owners in the form of direct grants under
        this section for carrying out mitigation activities that reduce
        flood damage to individual structures for which 2 or more claim
        payments for losses have been made under flood insurance coverage
        under this title if the Administrator, after consultation with the
        State and community, determines that neither the State nor
        community in which such a structure is located has the capacity to
        manage such grants.'';
            (4) in subsection (b), as so redesignated, in the first
        sentence--
                (A) by striking ``and provides protection against'' and
            inserting ``provides for reduction of''; and
                (B) by inserting before the period at the end the
            following: ``, and may be included in a multihazard mitigation
            plan'';
            (5) in subsection (c), as so redesignated--
                (A) in paragraph (1), by striking ``(1) Use of amounts.--''
            and all that follows through the end of the first sentence and
            inserting the following:
            ``(1) Requirement of consistency with approved mitigation
        plan.--Amounts provided under this section may be used only for
        mitigation activities that are consistent with mitigation plans
        that are approved by the Administrator and identified under
        paragraph (4).'';
                (B) by striking paragraphs (2), (3), and (4) and inserting
            the following new paragraphs:
            ``(2) Requirements of technical feasibility, cost
        effectiveness, and interest of national flood insurance fund.--
                ``(A) In general.--The Administrator may approve only
            mitigation activities that the Administrator determines--
                    ``(i) are technically feasible and cost-effective; or
                    ``(ii) will eliminate future payments from the National
                Flood Insurance Fund for severe repetitive loss structures
                through an acquisition or relocation activity.
                ``(B) Considerations.--In making a determination under
            subparagraph (A), the Administrator shall take into
            consideration recognized ancillary benefits.'';
                (C) by redesignating paragraph (5) as paragraph (3);
                (D) in paragraph (3), as so redesignated--
                    (i) in the matter preceding subparagraph (A), by
                striking ``The Director'' and all that follows through
                ``Such activities may'' and inserting ``Eligible activities
                under a mitigation plan may'';
                    (ii) by striking subparagraphs (E) and (H);
                    (iii) by redesignating subparagraphs (D), (F), and (G)
                as subparagraphs (E), (G), and (H), respectively;
                    (iv) by inserting after subparagraph (C) the following
                new subparagraph:
                ``(D) elevation, relocation, or floodproofing of utilities
            (including equipment that serves structures);'';
                    (v) by inserting after subparagraph (E), as so
                redesignated, the following new subparagraph:
                ``(F) the development or update of mitigation plans by a
            State or community which meet the planning criteria established
            by the Administrator, except that the amount from grants under
            this section that may be used under this subparagraph may not
            exceed $50,000 for any mitigation plan of a State or $25,000
            for any mitigation plan of a community;'';
                    (vi) in subparagraph (H); as so redesignated, by
                striking ``and'' at the end; and
                    (vii) by adding at the end the following new
                subparagraphs:
                ``(I) other mitigation activities not described in
            subparagraphs (A) through (G) or the regulations issued under
            subparagraph (H), that are described in the mitigation plan of
            a State or community; and
                ``(J) without regard to the requirements under paragraphs
            (1) and (2) of subsection (d), and if the State applied for and
            was awarded at least $1,000,000 in grants available under this
            section in the prior fiscal year, technical assistance to
            communities to identify eligible activities, to develop grant
            applications, and to implement grants awarded under this
            section, not to exceed $50,000 to any 1 State in any fiscal
            year.''; and
                (E) by striking paragraph (6) and inserting the following:
            ``(4) Eligibility of demolition and rebuilding of properties.--
        The Administrator shall consider as an eligible activity the
        demolition and rebuilding of properties to at least base flood
        elevation or greater, if required by the Administrator or if
        required by any State regulation or local ordinance, and in
        accordance with criteria established by the Administrator.'';
            (6) by inserting after subsection (c), as so redesignated, the
        following new subsection:
        ``(d) Matching Requirement.--The Administrator may provide grants
    for eligible mitigation activities as follows:
            ``(1) Severe repetitive loss structures.--In the case of
        mitigation activities to severe repetitive loss structures, in an
        amount up to--
                ``(A) 100 percent of all eligible costs, if the activities
            are approved under subsection (c)(2)(A)(i); or
                ``(B) the expected savings to the National Flood Insurance
            Fund from expected avoided damages through acquisition or
            relocation activities, if the activities are approved under
            subsection (c)(2)(A)(ii).
            ``(2) Repetitive loss structures.--In the case of mitigation
        activities to repetitive loss structures, in an amount up to 90
        percent of all eligible costs.
            ``(3) Other mitigation activities.--In the case of all other
        mitigation activities, in an amount up to 75 percent of all
        eligible costs.'';
            (7) in subsection (e)(2), as so redesignated--
                (A) by striking ``certified under subsection (g)'' and
            inserting ``required under subsection (d)''; and
                (B) by striking ``3 times the amount'' and inserting ``the
            amount'';
            (8) in subsection (f), as so redesignated, by striking ``Riegle
        Community Development and Regulatory Improvement Act of 1994'' and
        inserting ``Biggert-Waters Flood Insurance Reform Act of 2012'';
        and
            (9) by adding at the end the following new subsections:
        ``(g) Failure To Make Grant Award Within 5 Years.--For any
    application for a grant under this section for which the Administrator
    fails to make a grant award within 5 years of the date of the
    application, the grant application shall be considered to be denied and
    any funding amounts allocated for such grant applications shall remain
    in the National Flood Mitigation Fund under section 1367 of this title
    and shall be made available for grants under this section.
        ``(h) Definitions.--For purposes of this section, the following
    definitions shall apply:
            ``(1) Community.--The term `community' means--
                ``(A) a political subdivision that--
                    ``(i) has zoning and building code jurisdiction over a
                particular area having special flood hazards; and
                    ``(ii) is participating in the national flood insurance
                program; or
                ``(B) a political subdivision of a State, or other
            authority, that is designated by political subdivisions, all of
            which meet the requirements of subparagraph (A), to administer
            grants for mitigation activities for such political
            subdivisions.
            ``(2) Repetitive loss structure.--The term `repetitive loss
        structure' has the meaning given such term in section 1370.
            ``(3) Severe repetitive loss structure.--The term `severe
        repetitive loss structure' means a structure that--
                ``(A) is covered under a contract for flood insurance made
            available under this title; and
                ``(B) has incurred flood-related damage--
                    ``(i) for which 4 or more separate claims payments have
                been made under flood insurance coverage under this title,
                with the amount of each such claim exceeding $5,000, and
                with the cumulative amount of such claims payments
                exceeding $20,000; or
                    ``(ii) for which at least 2 separate claims payments
                have been made under such coverage, with the cumulative
                amount of such claims exceeding the value of the insured
                structure.''.
        (b) Elimination of Grants Program for Repetitive Insurance Claims
    Properties.--Chapter I of the National Flood Insurance Act of 1968 is
    amended by striking section 1323 (42 U.S.C. 4030).
        (c) Elimination of Pilot Program for Mitigation of Severe
    Repetitive Loss Properties.--Chapter III of the National Flood
    Insurance Act of 1968 is amended by striking section 1361A (42 U.S.C.
    4102a).
        (d) National Flood Insurance Fund.--Section 1310(a) of the National
    Flood Insurance Act of 1968 (42 U.S.C. 4017(a)) is amended--
            (1) in paragraph (6), by inserting ``and'' after the semicolon;
            (2) in paragraph (7), by striking the semicolon and inserting a
        period; and
            (3) by striking paragraphs (8) and (9).
        (e) National Flood Mitigation Fund.--Section 1367 of the National
    Flood Insurance Act of 1968 (42 U.S.C. 4104d) is amended--
            (1) in subsection (b)--
                (A) by striking paragraph (1) and inserting the following
            new paragraph:
            ``(1) in each fiscal year, amounts from the National Flood
        Insurance Fund not to exceed $90,000,000 and to remain available
        until expended, of which--
                ``(A) not more than $40,000,000 shall be available pursuant
            to subsection (a) of this section for assistance described in
            section 1366(a)(1);
                ``(B) not more than $40,000,000 shall be available pursuant
            to subsection (a) of this section for assistance described in
            section 1366(a)(2); and
                ``(C) not more than $10,000,000 shall be available pursuant
            to subsection (a) of this section for assistance described in
            section 1366(a)(3);''; and
                (B) in paragraph (3), by striking ``section 1366(i)'' and
            inserting ``section 1366(e)'';
            (2) in subsection (c), by striking ``sections 1366 and 1323''
        and inserting ``section 1366'';
            (3) by redesignating subsections (d) and (e) as subsections (f)
        and (g), respectively; and
            (4) by inserting after subsection (c) the following new
        subsections:
        ``(d) Prohibition on Offsetting Collections.--Notwithstanding any
    other provision of this title, amounts made available pursuant to this
    section shall not be subject to offsetting collections through premium
    rates for flood insurance coverage under this title.
        ``(e) Continued Availability and Reallocation.--Any amounts made
    available pursuant to subparagraph (A), (B), or (C) of subsection
    (b)(1) that are not used in any fiscal year shall continue to be
    available for the purposes specified in the subparagraph of subsection
    (b)(1) pursuant to which such amounts were made available, unless the
    Administrator determines that reallocation of such unused amounts to
    meet demonstrated need for other mitigation activities under section
    1366 is in the best interest of the National Flood Insurance Fund.''.
        (f) Increased Cost of Compliance Coverage.--Section 1304(b)(4) of
    the National Flood Insurance Act of 1968 (42 U.S.C. 4011(b)(4)) is
    amended--
            (1) by striking subparagraph (B); and
            (2) by redesignating subparagraphs (C), (D), and (E) as
        subparagraphs (B), (C), and (D), respectively.
    SEC. 100226. FLOOD PROTECTION STRUCTURE ACCREDITATION TASK FORCE.
        (a) Definitions.--In this section--
            (1) the term ``flood protection structure accreditation
        requirements'' means the requirements established under section
        65.10 of title 44, Code of Federal Regulations, for levee systems
        to be recognized on maps created for purposes of the National Flood
        Insurance Program;
            (2) the term ``National Committee on Levee Safety'' means the
        Committee on Levee Safety established under section 9003 of the
        National Levee Safety Act of 2007 (33 U.S.C. 3302); and
            (3) the term ``task force'' means the Flood Protection
        Structure Accreditation Task Force established under subsection
        (b).
        (b) Establishment.--
            (1) In general.--The Administrator and the Secretary of the
        Army, acting through the Chief of Engineers, in cooperation with
        the National Committee on Levee Safety, shall jointly establish a
        Flood Protection Structure Accreditation Task Force.
            (2) Duties.--
                (A) Developing process.--The task force shall develop a
            process to better align the information and data collected by
            or for the Corps of Engineers under the Inspection of Completed
            Works Program with the flood protection structure accreditation
            requirements so that--
                    (i) information and data collected for either purpose
                can be used interchangeably; and
                    (ii) information and data collected by or for the Corps
                of Engineers under the Inspection of Completed Works
                Program is sufficient to satisfy the flood protection
                structure accreditation requirements.
                (B) Gathering recommendations.--The task force shall
            gather, and consider in the process developed under
            subparagraph (A), recommendations from interested persons in
            each region relating to the information, data, and
            accreditation requirements described in subparagraph (A).
            (3) Considerations.--In developing the process under paragraph
        (2), the task force shall consider changes to--
                (A) the information and data collected by or for the Corps
            of Engineers under the Inspection of Completed Works Program;
            and
                (B) the flood protection structure accreditation
            requirements.
            (4) Rule of construction.--Nothing in this section shall be
        construed to require a reduction in the level of public safety and
        flood control provided by accredited levees, as determined by the
        Administrator for purposes of this section.
        (c) Implementation.--The Administrator and the Secretary of the
    Army, acting through the Chief of Engineers, shall implement the
    process developed by the task force under subsection (b) not later than
    1 year after the date of enactment of this Act and shall complete the
    process under subsection (b) not later than 2 years after the date of
    enactment of this Act.
        (d) Reports.--The Administrator and the Secretary of the Army,
    acting through the Chief of Engineers, in cooperation with the National
    Committee on Levee Safety, shall jointly submit to the Committee on
    Banking, Housing, and Urban Affairs and the Committee on Environment
    and Public Works of the Senate and the Committee on Financial Services,
    the Committee on Transportation and Infrastructure, and the Committee
    on Natural Resources of the House of Representatives reports concerning
    the activities of the task force and the implementation of the process
    developed by the task force under subsection (b), including--
            (1) an interim report, not later than 180 days after the date
        of enactment of this Act; and
            (2) a final report, not later than 1 year after the date of
        enactment of this Act.
        (e) Termination.--The task force shall terminate on the date of
    submission of the report under subsection (d)(2).
    SEC. 100227. FLOOD IN PROGRESS DETERMINATIONS.
        (a) Report.--
            (1) Review.--The Administrator shall review--
                (A) the processes and procedures for determining that a
            flood event has commenced or is in progress for purposes of
            flood insurance coverage made available under the National
            Flood Insurance Program;
                (B) the processes and procedures for providing public
            notification that such a flood event has commenced or is in
            progress;
                (C) the processes and procedures regarding the timing of
            public notification of flood insurance requirements and
            availability; and
                (D) the effects and implications that weather conditions,
            including rainfall, snowfall, projected snowmelt, existing
            water levels, and other conditions, have on the determination
            that a flood event has commenced or is in progress.
            (2) Report.--Not later than 6 months after the date of
        enactment of this Act, the Administrator shall submit a report to
        Congress that describes--
                (A) the results and conclusions of the review under
            paragraph (1); and
                (B) any actions taken, or proposed actions to be taken, by
            the Administrator to provide for more precise and technical
            processes and procedures for determining that a flood event has
            commenced or is in progress.
        (b) Effective Date of Policies Covering Properties Affected by
    Flooding of the Missouri River in 2011.--
            (1) Eligible coverage.--For purposes of this subsection, the
        term ``eligible coverage'' means coverage under a new contract for
        flood insurance coverage under the National Flood Insurance
        Program, or a modification to coverage under an existing flood
        insurance contract, for property damaged by the flooding of the
        Missouri River that commenced on June 1, 2011, that was purchased
        or made during the period beginning May 1, 2011, and ending June 6,
        2011.
            (2) Effective dates.--Notwithstanding section 1306(c) of the
        National Flood Insurance Act of 1968 (42 U.S.C. 4013(c)), or any
        other provision of law, any eligible coverage shall--
                (A) be deemed to take effect on the date that is 30 days
            after the date on which all obligations for the eligible
            coverage (including completion of the application and payment
            of any initial premiums owed) are satisfactorily completed; and
                (B) cover damage to property occurring after the effective
            date described in subparagraph (A) that resulted from the
            flooding of the Missouri River that commenced on June 1, 2011,
            if the property did not suffer damage or loss as a result of
            such flooding before the effective date described in
            subparagraph (A).
        (c) Timely Notification.--Not later than 90 days after the date on
    which the Administrator submits the report required under subsection
    (a)(2), the Administrator shall, taking into consideration the results
    of the review under subsection (a)(1)(B), develop procedures for
    providing timely notification, to the extent practicable, to
    policyholders who have purchased flood insurance coverage under the
    National Flood Insurance Program within 30 days of a determination of a
    flood in progress and who may be affected by the flood of the
    determination and how the determination may affect their coverage.
    SEC. 100228. CLARIFICATION OF RESIDENTIAL AND COMMERCIAL COVERAGE
    LIMITS.
        Section 1306(b) of the National Flood Insurance Act of 1968 (42
    U.S.C. 4013(b)) is amended--
            (1) in paragraph (2)--
                (A) by striking ``in the case of any residential property''
            and inserting ``in the case of any residential building
            designed for the occupancy of from 1 to 4 families''; and
                (B) by striking ``shall be made available to every insured
            upon renewal and every applicant for insurance so as to enable
            such insured or applicant to receive coverage up to a total
            amount (including such limits specified in paragraph (1)(A)(i))
            of $250,000'' and inserting ``shall be made available, with
            respect to any single such building, up to an aggregate
            liability (including such limits specified in paragraph
            (1)(A)(i)) of $250,000''; and
            (2) in paragraph (4)--
                (A) by striking ``in the case of any nonresidential
            property, including churches,'' and inserting ``in the case of
            any nonresidential building, including a church,''; and
                (B) by striking ``shall be made available to every insured
            upon renewal and every applicant for insurance, in respect to
            any single structure, up to a total amount (including such
            limit specified in subparagraph (B) or (C) of paragraph (1), as
            applicable) of $500,000 for each structure and $500,000 for any
            contents related to each structure'' and inserting ``shall be
            made available with respect to any single such building, up to
            an aggregate liability (including such limits specified in
            subparagraph (B) or (C) of paragraph (1), as applicable) of
            $500,000, and coverage shall be made available up to a total of
            $500,000 aggregate liability for contents owned by the building
            owner and $500,000 aggregate liability for each unit within the
            building for contents owned by the tenant''.
    SEC. 100229. LOCAL DATA REQUIREMENT.
        (a) In General.--Notwithstanding any other provision of this
    subtitle, no area or community participating in the National Flood
    Insurance Program that is or includes a community that is identified by
    the Administrator as Community Identification Number 360467 and
    impacted by the Jamaica Bay flooding source or identified by the
    Administrator as Community Identification Number 360495 may be or
    become designated as an area having special flood hazards for purposes
    of the National Flood Insurance Program, unless the designation is made
    on the basis of--
            (1) flood hazard analyses of hydrologic, hydraulic, or coastal
        flood hazards that have been properly calibrated and validated, and
        are specific and directly relevant to the geographic area being
        studied; and
            (2) ground elevation information of sufficient accuracy and
        precision to meet the guidelines of the Administration for accuracy
        at the 95 percent confidence level.
        (b) Remapping.--
            (1) Remapping required.--If the Administrator determines that
        an area described in subsection (a) has been designated as an area
        of special flood hazard on the basis of information that does not
        comply with the requirements under subsection (a), the
        Administrator shall revise and update any National Flood Insurance
        Program rate map for the area--
                (A) using information that complies with the requirements
            under subsection (a); and
                (B) in accordance with the procedures established under
            section 1363 of the National Flood Insurance Act of 1968 (42
            U.S.C. 4104) for flood elevation determinations.
            (2) Interim period.--A National Flood Insurance Program rate
        map in effect on the date of enactment of this Act for an area for
        which the Administrator has made a determination under paragraph
        (1) shall continue in effect with respect to the area during the
        period--
                (A) beginning on the date of enactment of this Act; and
                (B) ending on the date on which the Administrator
            determines that the requirements under section 1363 of the
            National Flood Insurance Act of 1968 (42 U.S.C. 4104) for flood
            elevation determinations have been met with respect to a
            revision and update under paragraph (1) of a National Flood
            Insurance Program rate map for the area.
            (3) Deadline.--The Administrator shall issue a preliminary
        National Flood Insurance Program rate map resulting from a revision
        and update required under paragraph (1) not later than 1 year after
        the date of enactment of this Act.
            (4) Risk premium rate clarification.--
                (A) In general.--If a revision and update required under
            paragraph (1) results in a reduction in the risk premium rate
            for a property in an area for which the Administrator has made
            a determination under paragraph (1), the Administrator shall--
                    (i) calculate the difference between the reduced risk
                premium rate and the risk premium rate paid by a
                policyholder with respect to the property during the
                period--

                        (I) beginning on the date on which the National
                    Flood Insurance Program rate map in effect for the area
                    on the date of enactment of this Act took effect; and
                        (II) ending on the date on which the revised or
                    updated National Flood Insurance Program rate map takes
                    effect; and

                    (ii) reimburse the policyholder an amount equal to such
                difference.
                (B) Funding.--Notwithstanding section 1310 of the National
            Flood Insurance Act of 1968 (42 U.S.C. 4017), there shall be
            available to the Administrator from premiums deposited in the
            National Flood Insurance Fund pursuant to subsection (d) of
            such section 1310, of amounts not otherwise obligated, the
            amount necessary to carry out this paragraph.
        (c) Termination.--
            (1) In general.--Except as provided in paragraph (2), this
        section shall cease to have effect on the effective date of a
        National Flood Insurance Program rate map revised and updated under
        subsection (b)(1).
            (2) Reimbursements.--Subsection (b)(4) shall cease to have
        effect on the date on which the Administrator has made all
        reimbursements required under subsection (b)(4).
    SEC. 100230. ELIGIBILITY FOR FLOOD INSURANCE FOR PERSONS RESIDING IN
    COMMUNITIES THAT HAVE MADE ADEQUATE PROGRESS ON THE RECONSTRUCTION OR
    IMPROVEMENT OF A FLOOD PROTECTION SYSTEM.
        (a) Eligibility for Flood Insurance Coverage.--
            (1) In general.--Notwithstanding any other provision of law
        (including section 1307(e) of the National Flood Insurance Act of
        1968 (42 U.S.C. 4014(e))), a person residing in a community that
        the Administrator determines has made adequate progress on the
        reconstruction or improvement of a flood protection system that
        will afford flood protection for a 100-year floodplain (without
        regard to the level of Federal funding of or participation in the
        construction, reconstruction, or improvement), shall be eligible
        for flood insurance coverage under the National Flood Insurance
        Program--
                (A) if the person resides in a community that is a
            participant in the National Flood Insurance Program; and
                (B) at a risk premium rate that does not exceed the risk
            premium rate that would be chargeable if the flood protection
            system had been completed.
            (2) Adequate progress.--
                (A) Reconstruction or improvement.--For purposes of
            paragraph (1), the Administrator shall determine that a
            community has made adequate progress on the reconstruction or
            improvement of a flood protection system if--
                    (i) 100 percent of the project cost has been
                authorized;
                    (ii) not less than 60 percent of the project cost has
                been secured or appropriated;
                    (iii) not less than 50 percent of the flood protection
                system has been assessed as being without deficiencies; and
                    (iv) the reconstruction or improvement has a project
                schedule that does not exceed 5 years, beginning on the
                date on which the reconstruction or construction of the
                improvement commences.
                (B) Considerations.--In determining whether a flood
            protection system has been assessed as being without
            deficiencies, the Administrator shall consider the requirements
            under section 65.10 of chapter 44, Code of Federal Regulations,
            or any successor thereto.
                (C) Date of commencement.--For purposes of subparagraph
            (A)(iv) of this paragraph and subsection (b)(2)(B), the date of
            commencement of the reconstruction or improvement of a flood
            protection system that is undergoing reconstruction or
            improvement on the date of enactment of this Act shall be
            deemed to be the date on which the owner of the flood
            protection system submits a request under paragraph (3).
            (3) Request for determination.--The owner of a flood protection
        system that is undergoing reconstruction or improvement on the date
        of enactment of this Act may submit to the Administrator a request
        for a determination under paragraph (2) that the community in which
        the flood protection system is located has made adequate progress
        on the reconstruction or improvement of the flood protection
        system.
            (4) Rule of construction.--Nothing in this subsection shall be
        construed to prohibit the Administrator from making a determination
        under paragraph (2) for any community in which a flood protection
        system is not undergoing reconstruction or improvement on the date
        of enactment of this Act.
        (b) Termination of Eligibility.--
            (1) Adequate continuing progress.--The Administrator shall
        issue rules to establish a method of determining whether a
        community has made adequate continuing progress on the
        reconstruction or improvement of a flood protection system that
        includes--
                (A) a requirement that the Administrator shall--
                    (i) consult with the owner of the flood protection
                system--

                        (I) 6 months after the date of a determination
                    under subsection (a);
                        (II) 18 months after the date of a determination
                    under subsection (a); and
                        (III) 36 months after the date of a determination
                    under subsection (a); and

                    (ii) after each consultation under clause (i),
                determine whether the reconstruction or improvement is
                reasonably likely to be completed in accordance with the
                project schedule described in subsection (a)(2)(A)(iv); and
                (B) a requirement that, if the Administrator makes a
            determination under subparagraph (A)(ii) that reconstruction or
            improvement is not reasonably likely to be completed in
            accordance with the project schedule, the Administrator shall--
                    (i) not later than 30 days after the date of the
                determination, notify the owner of the flood protection
                system of the determination and provide the rationale and
                evidence for the determination; and
                    (ii) provide the owner of the flood protection system
                the opportunity to appeal the determination.
            (2) Termination.--The Administrator shall terminate the
        eligibility for flood insurance coverage under subsection (a) for
        persons residing in a community with respect to which the
        Administrator made a determination under subsection (a) if--
                (A) the Administrator determines that the community has not
            made adequate continuing progress; or
                (B) on the date that is 5 years after the date on which the
            reconstruction or construction of the improvement commences,
            the project has not been completed.
            (3) Waiver.--A person whose eligibility would otherwise be
        terminated under paragraph (2)(B) shall continue to be eligible to
        purchase flood insurance coverage described in subsection (a) if
        the Administrator determines--
                (A) the community has made adequate continuing progress on
            the reconstruction or improvement of a flood protection system;
            and
                (B) there is a reasonable expectation that the
            reconstruction or improvement of the flood protection system
            will be completed not later than 1 year after the date of the
            determination under this paragraph.
            (4) Risk premium rate.--If the Administrator terminates the
        eligibility of persons residing in a community to purchase flood
        insurance coverage described in subsection (a), the Administrator
        shall establish an appropriate risk premium rate for flood
        insurance coverage under the National Flood Insurance Program for
        persons residing in the community that purchased flood insurance
        coverage before the date on which the termination of eligibility
        takes effect, taking into consideration the then-current state of
        the flood protection system.
        (c) Additional Authority.--
            (1) Additional authority.--Notwithstanding subsection (a), in
        exceptional and exigent circumstances, the Administrator may, in
        the Administrator's sole discretion, determine that a person
        residing in a community, which is a participant in the National
        Flood Insurance Program, that has begun reconstruction or
        improvement of a flood protection system that will afford flood
        protection for a 100-year floodplain (without regard to the level
        of Federal funding of or participation in the reconstruction or
        improvement) shall be eligible for flood insurance coverage under
        the National Flood Insurance Program at a risk premium rate that
        does not exceed the risk premium rate that would be chargeable if
        the flood protection system had been completed, provided--
                (A) the community makes a written request for the
            determination setting forth the exceptional and exigent
            circumstances, including why the community cannot meet the
            criteria for adequate progress set forth in under subsection
            (a)(2)(A) and why immediate relief is necessary;
                (B) the Administrator submits a written report setting
            forth findings of the exceptional and exigent circumstances on
            which the Administrator based an affirmative determination to
            the Committee on Banking, Housing, and Urban Affairs of the
            Senate, and the Committee on Financial Services of the House of
            Representatives not later than 15 days before making the
            determination; and
                (C) the eligibility for flood insurance coverage at a risk
            premium rate determined under this subsection terminates no
            later than 1 year after the date on which the Administrator
            makes the determination.
            (2) Limitation.--Upon termination of eligibility under
        paragraph (1)(C), a community may submit another request pursuant
        to paragraph (1)(A). The Administrator may make no more than two
        determinations under paragraph (1) with respect to persons residing
        within any single requesting community.
            (3) Termination.--The authority provided under paragraphs (1)
        and (2) shall terminate two years after the enactment of this Act.
    SEC. 100231. STUDIES AND REPORTS.
        (a) Report on Improving the National Flood Insurance Program.--Not
    later than 1 year after the date of enactment of this Act, the
    Comptroller General of the United States shall conduct a study and
    submit a report to the Committee on Banking, Housing, and Urban Affairs
    of the Senate and the Committee on Financial Services of the House of
    Representatives, on--
            (1) the number of flood insurance policy holders currently
        insuring--
                (A) a residential structure up to the maximum available
            coverage amount, as established in section 61.6 of title 44,
            Code of Federal Regulations, of--
                    (i) $250,000 for the structure; and
                    (ii) $100,000 for the contents of such structure; or
                (B) a commercial structure up to the maximum available
            coverage amount, as established in section 61.6 of title 44,
            Code of Federal Regulations, of $500,000;
            (2) the increased losses the National Flood Insurance Program
        would have sustained during the 2004 and 2005 hurricane season if
        the National Flood Insurance Program had insured all policyholders
        up to the maximum conforming loan limit for fiscal year 2006 of
        $417,000, as established under section 302(b)(2) of the Federal
        National Mortgage Association Charter Act (12 U.S.C. 1717(b)(2));
            (3) the availability in the private marketplace of flood
        insurance coverage in amounts that exceed the current limits of
        coverage amounts established in section 61.6 of title 44, Code of
        Federal Regulations; and
            (4) what effect, if any--
                (A) raising the current limits of coverage amounts
            established in section 61.6 of title 44, Code of Federal
            Regulations, would have on the ability of private insurers to
            continue providing flood insurance coverage; and
                (B) reducing the current limits of coverage amounts
            established in section 61.6 of title 44, Code of Federal
            Regulations, would have on the ability of private insurers to
            provide sufficient flood insurance coverage to effectively
            replace the current level of flood insurance coverage being
            provided under the National Flood Insurance Program.
        (b) Report of the Administrator on Activities Under the National
    Flood Insurance Program.--
            (1) In general.--The Administrator shall, on an annual basis,
        submit a full report on the operations, activities, budget,
        receipts, and expenditures of the National Flood Insurance Program
        for the preceding 12-month period to the Committee on Banking,
        Housing, and Urban Affairs of the Senate and the Committee on
        Financial Services of the House of Representatives.
            (2) Timing.--Each report required under paragraph (1) shall be
        submitted to the committees described in paragraph (1) not later
        than 3 months following the end of each fiscal year.
            (3) Contents.--Each report required under paragraph (1) shall
        include--
                (A) the current financial condition and income statement of
            the National Flood Insurance Fund established under section
            1310 of the National Flood Insurance Act of 1968 (42 U.S.C.
            4017), including--
                    (i) premiums paid into such Fund;
                    (ii) policy claims against such Fund; and
                    (iii) expenses in administering such Fund;
                (B) the number and face value of all policies issued under
            the National Flood Insurance Program that are in force;
                (C) a description and summary of the losses attributable to
            repetitive loss structures;
                (D) a description and summary of all losses incurred by the
            National Flood Insurance Program due to--
                    (i) hurricane related damage; and
                    (ii) nonhurricane related damage;
                (E) the amounts made available by the Administrator for
            mitigation assistance under section 1366(c)(4) of the National
            Flood Insurance Act of 1968 (42 U.S.C. 4104c(c)(4)), as so
            redesignated by this Act, for the purchase of properties
            substantially damaged by flood for that fiscal year, and the
            actual number of flood damaged properties purchased and the
            total cost expended to purchase such properties;
                (F) the estimate of the Administrator as to the average
            historical loss year, and the basis for that estimate;
                (G) the estimate of the Administrator as to the maximum
            amount of claims that the National Flood Insurance Program
            would have to expend in the event of a catastrophic year;
                (H) the average--
                    (i) amount of insurance carried per flood insurance
                policy;
                    (ii) premium per flood insurance policy; and
                    (iii) loss per flood insurance policy; and
                (I) the number of claims involving damages in excess of the
            maximum amount of flood insurance available under the National
            Flood Insurance Program and the sum of the amount of all
            damages in excess of such amount.
        (c) GAO Study on Pre-FIRM Structures.--Not later than 1 year after
    the date of enactment of this Act, the Comptroller General of the
    United States shall conduct a study and submit a report to the
    Committee on Banking, Housing, and Urban Affairs of the Senate and the
    Committee on Financial Services of the House of Representatives, on
    the--
            (1) composition of the remaining pre-FIRM structures that are
        explicitly receiving discounted premium rates under section 1307 of
        the National Flood Insurance Act of 1968 (42 U.S.C. 4014),
        including the historical basis for the receipt of such subsidy and
        the extent to which pre-FIRM structures are currently owned by the
        same owners of the property at the time of the original National
        Flood Insurance Program rate map;
            (2) number and fair market value of such structures;
            (3) respective income level of the owners of such structures;
            (4) number of times each such structure has been sold since
        1968, including specific dates, sales price, and any other
        information the Secretary determines appropriate;
            (5) total losses incurred by such structures since the
        establishment of the National Flood Insurance Program compared to
        the total losses incurred by all structures that are charged a
        nondiscounted premium rate;
            (6) total cost of foregone premiums since the establishment of
        the National Flood Insurance Program, as a result of the subsidies
        provided to such structures;
            (7) annual cost as a result of the subsidies provided to such
        structures;
            (8) the premium income collected and the losses incurred by the
        National Flood Insurance Program as a result of such explicitly
        subsidized structures compared to the premium income collected and
        the losses incurred by such Program as a result of structures that
        are charged a nondiscounted premium rate, on a State-by-State
        basis; and
            (9) the options for eliminating the subsidy to such structures.
        (d) GAO Review of FEMA Contractors.--The Comptroller General of the
    United States, in conjunction with the Office of the Inspector General
    of the Department of Homeland Security, shall--
            (1) conduct a review of the 3 largest contractors the
        Administrator uses in administering the National Flood Insurance
        Program; and
            (2) not later than 18 months after the date of enactment of
        this Act, submit a report on the findings of such review to the
        Administrator, the Committee on Banking, Housing, and Urban Affairs
        of the Senate, and the Committee on Financial Services of the House
        of Representatives.
        (e) Study and Report on Graduated Risk.--
            (1) Study.--
                (A) Study required.--The Administrator shall enter into a
            contract under which the National Academy of Sciences shall
            conduct a study exploring methods for understanding graduated
            risk behind levees and the associated land development,
            insurance, and risk communication dimensions.
                (B) Contents of study.--The study under this paragraph
            shall--
                    (i) research, review, and recommend current best
                practices for estimating direct annualized flood losses
                behind levees for residential and commercial structures;
                    (ii) rank each best practice recommended under clause
                (i) based on the best value, balancing cost, scientific
                integrity, and the inherent uncertainties associated with
                all aspects of the loss estimate, including geotechnical
                engineering, flood frequency estimates, economic value, and
                direct damages;
                    (iii) research, review, and identify current best
                floodplain management and land use practices behind levees
                that effectively balance social, economic, and
                environmental considerations as part of an overall flood
                risk management strategy;
                    (iv) identify areas in which the best floodplain
                management and land use practices described in clause (iii)
                have proven effective and recommend methods and processes
                by which such practices could be applied more broadly
                across the United States, given the variety of different
                flood risks, State and local legal frameworks, and evolving
                judicial opinions;
                    (v) research, review, and identify a variety of flood
                insurance pricing options for flood hazards behind levees
                that are actuarially sound and based on the flood risk data
                developed using the 3 best practices recommended under
                clause (i) that have the best value as determined under
                clause (ii);
                    (vi) evaluate and recommend methods to reduce insurance
                costs through creative arrangements between insureds and
                insurers while keeping a clear accounting of how much
                financial risk is being borne by various parties such that
                the entire risk is accounted for, including establishment
                of explicit limits on disaster aid or other assistance in
                the event of a flood; and
                    (vii) taking into consideration the recommendations
                under clauses (i) through (iii), recommend approaches to
                communicate the associated risks to community officials,
                homeowners, and other residents of communities.
            (2) Report.--The contract under paragraph (1)(A) shall provide
        that not later than 12 months after the date of enactment of this
        Act, the National Academy of Sciences shall submit to the Committee
        on Banking, Housing, and Urban Affairs of the Senate and the
        Committee on Financial Services and the Committee on Science,
        Space, and Technology of the House of Representatives a report on
        the study under paragraph (1) that includes the information and
        recommendations required under paragraph (1).
    SEC. 100232. REINSURANCE.
        (a) FEMA and GAO Reports on Privatization.--Not later than 18
    months after the date of enactment of this Act, the Administrator and
    the Comptroller General of the United States shall each--
            (1) conduct a separate study to assess a broad range of
        options, methods, and strategies for privatizing the National Flood
        Insurance Program; and
            (2) submit a report to the Committee on Financial Services of
        the House of Representatives and the Committee on Banking, Housing,
        and Urban Affairs of the Senate with recommendations for the best
        manner to accomplish the privatization described in paragraph (1).
        (b) Private Risk-management Initiatives.--The Administrator may
    carry out such private risk-management initiatives as are otherwise
    authorized under applicable law, as the Administrator considers
    appropriate to determine the capacity of private insurers, reinsurers,
    and financial markets to assist communities, on a voluntary basis only,
    in managing the full range of financial risks associated with flooding.
        (c) Reinsurance Assessment.--
            (1) Private market pricing assessment.--Not later than 12
        months after the date of enactment of this Act, the Administrator
        shall submit to Congress a report that--
                (A) assesses the capacity of the private reinsurance,
            capital, and financial markets to assist communities, on a
            voluntary basis, in managing the full range of financial risks
            associated with flooding by requesting proposals to assume a
            portion of the insurance risk of the National Flood Insurance
            Program;
                (B) describes any responses to the request for proposals
            under subparagraph (A);
                (C) assesses whether the rates and terms contained in any
            proposals received by the Administrator are--
                    (i) reasonable and appropriate; and
                    (ii) in an amount sufficient to maintain the ability of
                the National Flood Insurance Program to pay claims;
                (D) describes the extent to which carrying out the
            proposals received by the Administrator would minimize the
            likelihood that the Administrator would use the borrowing
            authority under section 1309 of the National Flood Insurance
            Act of 1968 (42 U.S.C. 4016);
                (E) describes fluctuations in historical reinsurance rates;
            and
                (F) includes an economic cost-benefit analysis of the
            impact on the National Flood Insurance Program if the
            Administrator were to exercise the authority under section
            1335(a)(2) of the National Flood Insurance Act of 1968 (42
            U.S.C. 4055(a)(2)), as added by this section, to secure
            reinsurance of coverage provided by the National Flood
            Insurance Program from the private market.
            (2) Protocol for release of data.--The Administrator shall
        develop a protocol, including adequate privacy protections, to
        provide for the release of data sufficient to conduct the
        assessment required under paragraph (1).
        (d) Reinsurance.--The National Flood Insurance Act of 1968 (42
    U.S.C. 4001 et seq.) is amended--
            (1) in section 1331(a)(2) (42 U.S.C. 4051(a)(2)), by inserting
        ``, including as reinsurance of coverage provided by the flood
        insurance program'' before ``, on such terms'';
            (2) in section 1332(c)(2) (42 U.S.C. 4052(c)(2)), by inserting
        ``or reinsurance'' after ``flood insurance coverage'';
            (3) in section 1335(a) (42 U.S.C. 4055(a))--
                (A) by striking ``The Director'' and inserting the
            following:
            ``(1) In general.--The Administrator''; and
                (B) by adding at the end the following:
            ``(2) Private reinsurance.--The Administrator is authorized to
        secure reinsurance of coverage provided by the flood insurance
        program from the private market at rates and on terms determined by
        the Administrator to be reasonable and appropriate, in an amount
        sufficient to maintain the ability of the program to pay claims.'';
            (4) in section 1346(a) (42 U.S.C. 4082(a))--
                (A) in the matter preceding paragraph (1), by inserting
            after ``for the purpose of'' the following: ``securing
            reinsurance of insurance coverage provided by the program or
            for the purpose of'';
                (B) in paragraph (1)--
                    (i) by striking ``estimating'' and inserting
                ``Estimating''; and
                    (ii) by striking the semicolon at the end and inserting
                a period;
                (C) in paragraph (2)--
                    (i) by striking ``receiving'' and inserting
                ``Receiving''; and
                    (ii) by striking the semicolon at the end and inserting
                a period;
                (D) in paragraph (3)--
                    (i) by striking ``making'' and inserting ``Making'';
                and
                    (ii) by striking ```; and''' and inserting a period;
                (E) by redesignating paragraph (4) as paragraph (5);
                (F) in paragraph (5), as so redesignated, by striking
            ``otherwise'' and inserting ``Otherwise''; and
                (G) by inserting after paragraph (3) the following new
            paragraph:
            ``(4) Placing reinsurance coverage on insurance provided by
        such program.''; and
            (5) in section 1370(a)(3) (42 U.S.C. 4121(a)(3)), by striking
        ``include any'' and all that follows and inserting the following:
        ``include any organization or person that is authorized to engage
        in the business of insurance under the laws of any State, subject
        to the reporting requirements of the Securities Exchange Act of
        1934 pursuant to section 13(a) or 15(d) of such Act (15 U.S.C.
        78m(a) and 78o(d)), or authorized by the Administrator to assume
        reinsurance on risks insured by the flood insurance program;''.
        (e) Assessment of Claims-paying Ability.--
            (1) Assessment.--
                (A) Assessment required.--
                    (i) In general.--Not later than September 30 of each
                year, the Administrator shall conduct an assessment of the
                ability of the National Flood Insurance Program to pay
                claims.
                    (ii) Private market reinsurance.--The assessment under
                this paragraph for any year in which the Administrator
                exercises the authority under section 1335(a)(2) of the
                National Flood Insurance Act of 1968 (42 U.S.C.
                4055(a)(2)), as added by this section, to secure
                reinsurance of coverage provided by the National Flood
                Insurance Program from the private market shall include
                information relating the use of private sector reinsurance
                and reinsurance equivalents by the Administrator, whether
                or not the Administrator used the borrowing authority under
                section 1309 of the National Flood Insurance Act of 1968
                (42 U.S.C. 4016).
                    (iii) First assessment.--The Administrator shall
                conduct the first assessment required under this paragraph
                not later than September 30, 2012.
                (B) Considerations.--In conducting an assessment under
            subparagraph (A), the Administrator shall take into
            consideration regional concentrations of coverage written by
            the National Flood Insurance Program, peak flood zones, and
            relevant mitigation measures.
            (2) Annual report of the administrator of activities under the
        national flood insurance program.--The Administrator shall--
                (A) include the results of each assessment in the report
            required under section 100231(b); and
                (B) not later than 30 days after the date on which the
            Administrator completes an assessment required under paragraph
            (1), make the results of the assessment available to the
            public.
    SEC. 100233. GAO STUDY ON BUSINESS INTERRUPTION AND ADDITIONAL LIVING
    EXPENSES COVERAGES.
        (a) Study.--The Comptroller General of the United States shall
    conduct a study concerning--
            (1) the availability of additional living expenses and business
        interruption coverage in the private marketplace for flood
        insurance;
            (2) the feasibility of allowing the National Flood Insurance
        Program to offer such coverage at the option of the consumer;
            (3) the estimated cost to consumers if the National Flood
        Insurance Program priced such optional coverage at true actuarial
        rates;
            (4) the impact such optional coverage would have on consumer
        participation in the National Flood Insurance Program; and
            (5) the fiscal impact such optional coverage would have upon
        the National Flood Insurance Fund if such optional coverage were
        included in the National Flood Insurance Program, as described in
        paragraph (2), at the price described in paragraph (3).
        (b) Report.--Not later than 1 year after the date of enactment of
    this Act, the Comptroller General shall submit to the Committee on
    Banking, Housing, and Urban Affairs of the Senate and the Committee on
    Financial Services of the House of Representatives a report containing
    the results of the study under subsection (a).
    SEC. 100234. POLICY DISCLOSURES.
        (a) In General.--Notwithstanding any other provision of law, in
    addition to any other disclosures that may be required, each policy
    under the National Flood Insurance Program shall state all conditions,
    exclusions, and other limitations pertaining to coverage under the
    subject policy, regardless of the underlying insurance product, in
    plain English, in boldface type, and in a font size that is twice the
    size of the text of the body of the policy.
        (b) Violations.--The Administrator may impose a civil penalty of
    not more than $50,000 on any person that fails to comply with
    subsection (a).
    SEC. 100235. REPORT ON INCLUSION OF BUILDING CODES IN FLOODPLAIN
    MANAGEMENT CRITERIA.
        Not later than 6 months after the date of enactment of this Act,
    the Administrator of the Federal Emergency Management Agency shall
    conduct a study and submit a report to the Committee on Banking,
    Housing, and Urban Affairs of the Senate and the Committee on Financial
    Services of the House of Representatives regarding the impact,
    effectiveness, and feasibility of amending section 1361 of the National
    Flood Insurance Act of 1968 (42 U.S.C. 4102) to include widely used and
    nationally recognized building codes as part of the floodplain
    management criteria developed under such section, and shall determine--
            (1) the regulatory, financial, and economic impacts of such a
        building code requirement on homeowners, States and local
        communities, local land use policies, and the Federal Emergency
        Management Agency;
            (2) the resources required of State and local communities to
        administer and enforce such a building code requirement;
            (3) the effectiveness of such a building code requirement in
        reducing flood-related damage to buildings and contents;
            (4) the impact of such a building code requirement on the
        actuarial soundness of the National Flood Insurance Program;
            (5) the effectiveness of nationally recognized codes in
        allowing innovative materials and systems for flood-resistant
        construction;
            (6) the feasibility and effectiveness of providing an incentive
        in lower premium rates for flood insurance coverage under such Act
        for structures meeting whichever of such widely used and nationally
        recognized building codes or any applicable local building codes
        provides greater protection from flood damage;
            (7) the impact of such a building code requirement on rural
        communities with different building code challenges than urban
        communities; and
            (8) the impact of such a building code requirement on Indian
        reservations.
    SEC. 100236. STUDY OF PARTICIPATION AND AFFORDABILITY FOR CERTAIN
    POLICYHOLDERS.
        (a) FEMA Study.--The Administrator shall conduct a study of--
            (1) methods to encourage and maintain participation in the
        National Flood Insurance Program;
            (2) methods to educate consumers about the National Flood
        Insurance Program and the flood risk associated with their
        property;
            (3) methods for establishing an affordability framework for the
        National Flood Insurance Program, including methods to aid
        individuals to afford risk-based premiums under the National Flood
        Insurance Program through targeted assistance rather than generally
        subsidized rates, including means-tested vouchers; and
            (4) the implications for the National Flood Insurance Program
        and the Federal budget of using each such method.
        (b) National Academy of Sciences Economic Analysis.--To inform the
    Administrator in the conduct of the study under subsection (a), the
    Administrator shall enter into a contract under which the National
    Academy of Sciences, in consultation with the Comptroller General of
    the United States, shall conduct and submit to the Administrator an
    economic analysis of the costs and benefits to the Federal Government
    of a flood insurance program with full risk-based premiums, combined
    with means-tested Federal assistance to aid individuals who cannot
    afford coverage, through an insurance voucher program. The analysis
    shall compare the costs of a program of risk-based rates and means-
    tested assistance to the current system of subsidized flood insurance
    rates and federally funded disaster relief for people without coverage.
        (c) Report.--Not later than 270 days after the date of enactment of
    this Act, the Administrator shall submit to the Committee on Banking,
    Housing, and Urban Affairs of the Senate and the Committee on Financial
    Services of the House of Representatives a report that contains the
    results of the study and analysis under this section.
        (d) Funding.--Notwithstanding section 1310 of the National Flood
    Insurance Act of 1968 (42 U.S.C. 4017), there shall be available to the
    Administrator from the National Flood Insurance Fund, of amounts not
    otherwise obligated, not more than $750,000 to carry out this section.
    SEC. 100237. STUDY AND REPORT CONCERNING THE PARTICIPATION OF INDIAN
    TRIBES AND MEMBERS OF INDIAN TRIBES IN THE NATIONAL FLOOD INSURANCE
    PROGRAM.
        (a) Definition.--In this section, the term ``Indian tribe'' has the
    meaning given that term in section 4 of the Indian Self-Determination
    and Education Assistance Act (25 U.S.C. 450b).
        (b) Findings.--Congress finds that participation by Indian tribes
    in the National Flood Insurance Program is low. Only 45 of 565 Indian
    tribes participate in the National Flood Insurance Program.
        (c) Study.--The Comptroller General of the United States, in
    coordination and consultation with Indian tribes and members of Indian
    tribes throughout the United States, shall carry out a study that
    examines--
            (1) the factors contributing to the current rates of
        participation by Indian tribes and members of Indian tribes in the
        National Flood Insurance Program; and
            (2) methods of encouraging participation by Indian tribes and
        members of Indian tribes in the National Flood Insurance Program.
        (d) Report.--Not later than 6 months after the date of enactment of
    this Act, the Comptroller General shall submit to Congress a report
    that--
            (1) contains the results of the study carried out under
        subsection (c);
            (2) describes the steps that the Administrator should take to
        increase awareness and encourage participation by Indian tribes and
        members of Indian tribes in the National Flood Insurance Program;
        and
            (3) identifies any legislative changes that would encourage
        participation by Indian tribes and members of Indian tribes in the
        National Flood Insurance Program.
    SEC. 100238. TECHNICAL CORRECTIONS.
        (a) Flood Disaster Protection Act of 1973.--The Flood Disaster
    Protection Act of 1973 (42 U.S.C. 4002 et seq.) is amended--
            (1) by striking ``Director'' each place that term appears,
        except in section 102(f)(3) (42 U.S.C. 4012a(f)(3)), and inserting
        ``Administrator''; and
            (2) in section 201(b) (42 U.S.C. 4105(b)), by striking
        ``Director's'' and inserting ``Administrator's''.
        (b) National Flood Insurance Act of 1968.--The National Flood
    Insurance Act of 1968 (42 U.S.C. 4001 et seq.) is amended--
            (1) by striking ``Director'' each place that term appears and
        inserting ``Administrator'';
            (2) in section 1363 (42 U.S.C. 4104), by striking
        ``Director's'' each place that term appears and inserting
        ``Administrator's''; and
            (3) in section 1370(a)(9) (42 U.S.C. 4121(a)(9)), by striking
        ``the Office of Thrift Supervision,''.
        (c) Federal Flood Insurance Act of 1956.--Section 15(e) of the
    Federal Flood Insurance Act of 1956 (42 U.S.C. 2414(e)) is amended by
    striking ``Director'' each place that term appears and inserting
    ``Administrator''.
    SEC. 100239. USE OF PRIVATE INSURANCE TO SATISFY MANDATORY PURCHASE
    REQUIREMENT.
        (a) Amendments.--Section 102(b) of the Flood Disaster Protection
    Act of 1973 (42 U.S.C. 4012a(b)) is amended--
            (1) in paragraph (1)--
                (A) by striking the period at the end and inserting ``;
            and'';
                (B) by striking ``lending institutions not to make'' and
            inserting ``lending institutions--
                ``(A) not to make''; and
                (C) by adding at the end the following:
                ``(B) to accept private flood insurance as satisfaction of
            the flood insurance coverage requirement under subparagraph (A)
            if the coverage provided by such private flood insurance meets
            the requirements for coverage under such subparagraph.'';
            (2) in paragraph (2)--
                (A) by striking ``paragraph (1)'' each place that term
            appears and inserting ``paragraph (1)(A)''; and
                (B) by inserting after the first sentence the following:
            ``Each Federal agency lender shall accept private flood
            insurance as satisfaction of the flood insurance coverage
            requirement under the preceding sentence if the flood insurance
            coverage provided by such private flood insurance meets the
            requirements for coverage under such sentence.'';
            (3) in paragraph (3), in the matter following subparagraph (B),
        by striking ``paragraph (1).'' and inserting ``paragraph (1)(A).
        The Federal National Mortgage Association and the Federal Home Loan
        Mortgage Corporation shall accept private flood insurance as
        satisfaction of the flood insurance coverage requirement under
        paragraph (1)(A) if the flood insurance coverage provided by such
        private flood insurance meets the requirements for coverage under
        such paragraph and any requirements established by the Federal
        National Mortgage Association or the Federal Home Loan Mortgage
        Corporation, respectively, relating to the financial solvency,
        strength, or claims-paying ability of private insurance companies
        from which the Federal National Mortgage Association or the Federal
        Home Loan Mortgage Corporation will accept private flood
        insurance.''; and
            (4) by adding at the end the following:
            ``(5) Rule of construction.--Nothing in this subsection shall
        be construed to supersede or limit the authority of a Federal
        entity for lending regulation, the Federal Housing Finance Agency,
        a Federal agency lender, the Federal National Mortgage Association,
        or the Federal Home Loan Mortgage Corporation to establish
        requirements relating to the financial solvency, strength, or
        claims-paying ability of private insurance companies from which the
        entity or agency will accept private flood insurance.
            ``(6) Notice.--
                ``(A) In general.--Each lender shall disclose to a borrower
            that is subject to this subsection that--
                    ``(i) flood insurance is available from private
                insurance companies that issue standard flood insurance
                policies on behalf of the national flood insurance program
                or directly from the national flood insurance program;
                    ``(ii) flood insurance that provides the same level of
                coverage as a standard flood insurance policy under the
                national flood insurance program may be available from a
                private insurance company that issues policies on behalf of
                the company; and
                    ``(iii) the borrower is encouraged to compare the flood
                insurance coverage, deductibles, exclusions, conditions and
                premiums associated with flood insurance policies issued on
                behalf of the national flood insurance program and policies
                issued on behalf of private insurance companies and to
                direct inquiries regarding the availability, cost, and
                comparisons of flood insurance coverage to an insurance
                agent.
                ``(B) Rule of construction.--Nothing in this paragraph
            shall be construed as affecting or otherwise limiting the
            authority of a Federal entity for lending regulation to approve
            any disclosure made by a regulated lending institution for
            purposes of complying with subparagraph (A).
            ``(7) Private flood insurance defined.--In this subsection, the
        term `private flood insurance' means an insurance policy that--
                ``(A) is issued by an insurance company that is--
                    ``(i) licensed, admitted, or otherwise approved to
                engage in the business of insurance in the State or
                jurisdiction in which the insured building is located, by
                the insurance regulator of that State or jurisdiction; or
                    ``(ii) in the case of a policy of difference in
                conditions, multiple peril, all risk, or other blanket
                coverage insuring nonresidential commercial property, is
                recognized, or not disapproved, as a surplus lines insurer
                by the insurance regulator of the State or jurisdiction
                where the property to be insured is located;
                ``(B) provides flood insurance coverage which is at least
            as broad as the coverage provided under a standard flood
            insurance policy under the national flood insurance program,
            including when considering deductibles, exclusions, and
            conditions offered by the insurer;
                ``(C) includes--
                    ``(i) a requirement for the insurer to give 45 days'
                written notice of cancellation or non-renewal of flood
                insurance coverage to--

                        ``(I) the insured; and
                        ``(II) the regulated lending institution or Federal
                    agency lender;

                    ``(ii) information about the availability of flood
                insurance coverage under the national flood insurance
                program;
                    ``(iii) a mortgage interest clause similar to the
                clause contained in a standard flood insurance policy under
                the national flood insurance program; and
                    ``(iv) a provision requiring an insured to file suit
                not later than 1 year after date of a written denial of all
                or part of a claim under the policy; and
                ``(D) contains cancellation provisions that are as
            restrictive as the provisions contained in a standard flood
            insurance policy under the national flood insurance program.''.
        (b) Technical and Conforming Amendment.--Section 1364(a)(3)(C) of
    the National Flood Insurance Act of 1968 (42 U.S.C. 4104a(a)(3)(C)) is
    amended by inserting after ``private insurers'' the following: ``, as
    required under section 102(b)(6) of the Flood Disaster Protection Act
    of 1973 (42 U.S.C. 4012a(b)(6))''.
    SEC. 100240. LEVEES CONSTRUCTED ON CERTAIN PROPERTIES.
        (a) Definition.--In this section, the term ``covered hazard
    mitigation land'' means land that--
            (1) was acquired and deed restricted under section 1366 of the
        National Flood Insurance Act of 1968 (42 U.S.C. 4104c) during the
        period beginning on January 1, 1999, and ending December 31, 2011;
            (2) is located at--
                (A) 1029 Oak Street, Fargo, North Dakota;
                (B) 27 South Terrace, Fargo, North Dakota;
                (C) 1033 Oak Street, Fargo, North Dakota;
                (D) 308 Schnell Drive, Oxbow, North Dakota; or
                (E) 306 Schnell Drive, Oxbow, North Dakota; and
            (3) is located in a community that--
                (A) is participating in the National Flood Insurance
            Program on the date on which a State, local, or tribal
            government submits an application requesting to construct a
            permanent flood risk reduction levee under subsection (b); and
                (B) certifies to the Administrator and the Chief of
            Engineers that the community will continue to participate in
            the National Flood Insurance Program.
        (b) Authority.--Notwithstanding any other prohibition on
    construction on property acquired with funding from the Federal
    Emergency Management Agency for conversion to open space purposes, the
    Administrator shall allow the construction of a permanent flood risk
    reduction levee by a State, local, or tribal government on covered
    hazard mitigation land if--
            (1) the Administrator and the Chief of Engineers make a
        determination that--
                (A) construction of the proposed permanent flood risk
            reduction levee would more effectively mitigate against
            flooding risk than an open floodplain or other flood risk
            reduction measures;
                (B) the proposed permanent flood risk reduction levee
            complies with Federal, State, and local requirements, including
            mitigation of adverse impacts and implementation of floodplain
            management requirements, which shall include an evaluation of
            whether the construction, operation, and maintenance of the
            proposed levee--
                    (i) would continue to meet best available industry
                standards and practices;
                    (ii) would be the most cost-effective measure to
                protect against the assessed flood risk; and
                    (iii) minimizes future costs to the Federal Government;
                (C) the State, local, or tribal government seeking to
            construct the proposed permanent flood risk reduction levee has
            provided an adequate maintenance plan that documents the
            procedures the State, local, or tribal government will use to
            ensure that the stability, height, and overall integrity of the
            proposed levee and the structure and systems of the proposed
            levee are maintained, including--
                    (i) specifying the maintenance activities to be
                performed;
                    (ii) specifying the frequency with which maintenance
                activities will be performed;
                    (iii) specifying the person responsible for performing
                each maintenance activity (by name or title);
                    (iv) detailing the plan for financing the maintenance
                of the levee; and
                    (v) documenting the ability of the State, local, or
                tribal government to finance the maintenance of the levee;
                and
            (2) before the commencement of construction, the State, local,
        or tribal government provides to the Administrator an amount--
                (A) equal to the Federal share of all project costs
            previously provided by the Administrator under the applicable
            program for each deed restricted parcel of the covered hazard
            mitigation land, which the Administrator shall deposit in the
            National Flood Insurance Fund; and
                (B) that does not include any Federal funds.
        (c) Maintenance Certification.--
            (1) In general.--A State, local, or tribal government that
        constructs a permanent flood risk reduction levee under subsection
        (b) shall submit to the Administrator and the Chief of Engineers an
        annual certification indicating whether the State, local, or tribal
        government is in compliance with the maintenance plan provided
        under subsection (b)(1)(C).
            (2) Review.--The Chief of Engineers shall review each
        certification submitted under paragraph (1) and determine whether
        the State, local, or tribal government has complied with the
        maintenance plan.
    SEC. 100241. INSURANCE COVERAGE FOR PRIVATE PROPERTIES AFFECTED BY
    FLOODING FROM FEDERAL LANDS.
        Section 1306(c)(2) of the National Flood Insurance Act of 1968 (42
    U.S.C. 4013(c)(2)) is amended--
            (1) in subparagraph (A), by striking ``or'' at the end;
            (2) in subparagraph (B), by striking the period at the end and
        inserting ``; or''; and
            (3) by adding at the end the following:
                ``(C) the initial purchase of flood insurance coverage for
            private property if--
                    ``(i) the Administrator determines that the property is
                affected by flooding on Federal land that is a result of,
                or is exacerbated by, post-wildfire conditions, after
                consultation with an authorized employee of the Federal
                agency that has jurisdiction of the land on which the
                wildfire that caused the post-wildfire conditions occurred;
                and
                    ``(ii) the flood insurance coverage was purchased not
                later than 60 days after the fire containment date, as
                determined by the appropriate Federal employee, relating to
                the wildfire that caused the post-wildfire conditions
                described in clause (i).''.
    SEC. 100242. PERMISSIBLE LAND USE UNDER FEDERAL FLOOD INSURANCE PLAN.
        Chapter I of the National Flood Insurance Act of 1968 (42 U.S.C.
    4011 et seq.) is amended by adding at the end the following:
    ``SEC. 1325. TREATMENT OF SWIMMING POOL ENCLOSURES OUTSIDE OF HURRICANE
    SEASON.
        ``(a) In General.--Notwithstanding any other provision of law,
    including the adequate land use and control measures developed pursuant
    to section 1361 and applicable to non-one- and two-family structures
    located within coastal areas, as identified by the Administrator, the
    following may be permitted:
            ``(1) Nonsupporting breakaway walls in the space below the
        lowest elevated floor of a building, if the space is used solely
        for a swimming pool between November 30 and June 1 of any year, in
        an area designated as Zone V on a flood insurance rate map.
            ``(2) Openings in walls in the space below the lowest elevated
        floor of a building, if the space is used solely for a swimming
        pool between November 30 and June 1 of any year, in an area
        designated as Zone A on a flood insurance rate map.
        ``(b) Rule of Construction.--Nothing in subsection (a) shall be
    construed to alter the terms and conditions of eligibility and
    insurability of coverage for a building under the standard flood
    insurance policy under the national flood insurance program.''.
    SEC. 100243. CDBG ELIGIBILITY FOR FLOOD INSURANCE OUTREACH ACTIVITIES
    AND COMMUNITY BUILDING CODE ADMINISTRATION GRANTS.
        (a) Amendments.--Section 105(a) of the Housing and Community
    Development Act of 1974 (42 U.S.C. 5305(a)) is amended--
            (1) by redesignating paragraph (25) as paragraph (26);
            (2) by redesignating the second paragraph designated as
        paragraph (24) (relating to tornado-safe shelters) as paragraph
        (25);
            (3) in paragraph (24) (relating to homeownership among persons
        with low and moderate income), by striking ``and'' at the end;
            (4) in paragraph (25), as so redesignated, by striking ``and''
        at the end;
            (5) in paragraph (26), as so redesignated, by striking the
        period at the end and inserting a semicolon; and
            (6) by adding at the end the following new paragraphs:
            ``(27) supplementing existing State or local funding for
        administration of building code enforcement by local building code
        enforcement departments, including for increasing staffing,
        providing staff training, increasing staff competence and
        professional qualifications, and supporting individual
        certification or departmental accreditation, and for capital
        expenditures specifically dedicated to the administration of the
        building code enforcement department, except that, to be eligible
        to use amounts as provided in this paragraph--
                ``(A) a building code enforcement department shall provide
            matching, non-Federal funds to be used in conjunction with
            amounts used under this paragraph in an amount--
                    ``(i) in the case of a building code enforcement
                department serving an area with a population of more than
                50,000, equal to not less than 50 percent of the total
                amount of any funds made available under this title that
                are used under this paragraph;
                    ``(ii) in the case of a building code enforcement
                department serving an area with a population of between
                20,001 and 50,000, equal to not less than 25 percent of the
                total amount of any funds made available under this title
                that are used under this paragraph; and
                    ``(iii) in the case of a building code enforcement
                department serving an area with a population of less than
                20,000, equal to not less than 12.5 percent of the total
                amount of any funds made available under this title that
                are used under this paragraph,
            except that the Secretary may waive the matching fund
            requirements under this subparagraph, in whole or in part,
            based upon the level of economic distress of the jurisdiction
            in which is located the local building code enforcement
            department that is using amounts for purposes under this
            paragraph, and shall waive such matching fund requirements in
            whole for any recipient jurisdiction that has dedicated all
            building code permitting fees to the conduct of local building
            code enforcement; and
                ``(B) any building code enforcement department using funds
            made available under this title for purposes under this
            paragraph shall empanel a code administration and enforcement
            team consisting of at least 1 full-time building code
            enforcement officer, a city planner, and a health planner or
            similar officer; and
            ``(28) provision of assistance to local governmental agencies
        responsible for floodplain management activities (including such
        agencies of Indians tribes, as such term is defined in section 4 of
        the Native American Housing Assistance and Self-Determination Act
        of 1996 (25 U.S.C. 4103)) in communities that participate in the
        national flood insurance program under the National Flood Insurance
        Act of 1968 (42 U.S.C. 4001 et seq.), only for carrying out
        outreach activities to encourage and facilitate the purchase of
        flood insurance protection under such Act by owners and renters of
        properties in such communities and to promote educational
        activities that increase awareness of flood risk reduction; except
        that--
                ``(A) amounts used as provided under this paragraph shall
            be used only for activities designed to--
                    ``(i) identify owners and renters of properties in
                communities that participate in the national flood
                insurance program, including owners of residential and
                commercial properties;
                    ``(ii) notify such owners and renters when their
                properties become included in, or when they are excluded
                from, an area having special flood hazards and the effect
                of such inclusion or exclusion on the applicability of the
                mandatory flood insurance purchase requirement under
                section 102 of the Flood Disaster Protection Act of 1973
                (42 U.S.C. 4012a) to such properties;
                    ``(iii) educate such owners and renters regarding the
                flood risk and reduction of this risk in their community,
                including the continued flood risks to areas that are no
                longer subject to the flood insurance mandatory purchase
                requirement;
                    ``(iv) educate such owners and renters regarding the
                benefits and costs of maintaining or acquiring flood
                insurance, including, where applicable, lower-cost
                preferred risk policies under this title for such
                properties and the contents of such properties;
                    ``(v) encourage such owners and renters to maintain or
                acquire such coverage;
                    ``(vi) notify such owners of where to obtain
                information regarding how to obtain such coverage,
                including a telephone number, mailing address, and Internet
                site of the Administrator of the Federal Emergency
                Management Agency (in this paragraph referred to as the
                `Administrator') where such information is available; and
                    ``(vii) educate local real estate agents in communities
                participating in the national flood insurance program
                regarding the program and the availability of coverage
                under the program for owners and renters of properties in
                such communities, and establish coordination and liaisons
                with such real estate agents to facilitate purchase of
                coverage under the National Flood Insurance Act of 1968 and
                increase awareness of flood risk reduction;
                ``(B) in any fiscal year, a local governmental agency may
            not use an amount under this paragraph that exceeds 3 times the
            amount that the agency certifies, as the Secretary, in
            consultation with the Administrator, shall require, that the
            agency will contribute from non-Federal funds to be used with
            such amounts used under this paragraph only for carrying out
            activities described in subparagraph (A); and for purposes of
            this subparagraph, the term `non-Federal funds' includes State
            or local government agency amounts, in-kind contributions, any
            salary paid to staff to carry out the eligible activities of
            the local governmental agency involved, the value of the time
            and services contributed by volunteers to carry out such
            services (at a rate determined by the Secretary), and the value
            of any donated material or building and the value of any lease
            on a building;
                ``(C) a local governmental agency that uses amounts as
            provided under this paragraph may coordinate or contract with
            other agencies and entities having particular capacities,
            specialties, or experience with respect to certain populations
            or constituencies, including elderly or disabled families or
            persons, to carry out activities described in subparagraph (A)
            with respect to such populations or constituencies; and
                ``(D) each local government agency that uses amounts as
            provided under this paragraph shall submit a report to the
            Secretary and the Administrator, not later than 12 months after
            such amounts are first received, which shall include such
            information as the Secretary and the Administrator jointly
            consider appropriate to describe the activities conducted using
            such amounts and the effect of such activities on the retention
            or acquisition of flood insurance coverage.''.
        (b) Sunset.--Effective on the date that is 2 years after the date
    of enactment of this Act, section 105(a) of the Housing and Community
    Development Act of 1974 (42 U.S.C. 5305(a)) is amended--
            (1) in paragraph (25), as so redesignated by subsection (a) of
        this subsection, by adding ``and'' at the end;
            (2) in paragraph (26), as so redesignated by subsection (a) of
        this subsection, by striking the semicolon at the end and inserting
        a period; and
            (3) by striking paragraphs (27) and (28), as added by
        subsection (a) of this subsection.
    SEC. 100244. TERMINATION OF FORCE-PLACED INSURANCE.
        (a) In General.--Section 102(e) of the Flood Disaster Protection
    Act of 1973 (42 U.S.C. 4012a(e)) is amended--
            (1) in paragraph (2), by striking ``purchasing the insurance''
        and inserting ``purchasing the insurance, including premiums or
        fees incurred for coverage beginning on the date on which flood
        insurance coverage lapsed or did not provide a sufficient coverage
        amount'';
            (2) by redesignating paragraphs (3) and (4) as paragraphs (5)
        and (6), respectively; and
            (3) by inserting after paragraph (2) the following new
        paragraphs:
            ``(3) Termination of force-placed insurance.--Within 30 days of
        receipt by the lender or servicer of a confirmation of a borrower's
        existing flood insurance coverage, the lender or servicer shall--
                ``(A) terminate any insurance purchased by the lender or
            servicer under paragraph (2); and
                ``(B) refund to the borrower all premiums paid by the
            borrower for any insurance purchased by the lender or servicer
            under paragraph (2) during any period during which the
            borrower's flood insurance coverage and the insurance coverage
            purchased by the lender or servicer were each in effect, and
            any related fees charged to the borrower with respect to the
            insurance purchased by the lender or servicer during such
            period.
            ``(4) Sufficiency of demonstration.--For purposes of confirming
        a borrower's existing flood insurance coverage, a lender or
        servicer for a loan shall accept from the borrower an insurance
        policy declarations page that includes the existing flood insurance
        policy number and the identity of, and contact information for, the
        insurance company or agent.''.
    SEC. 100245. FEMA AUTHORITY ON TRANSFER OF POLICIES.
        Section 1345 of the National Flood Insurance Act of 1968 (42 U.S.C.
    4081) is amended by adding at the end the following new subsection:
        ``(d) FEMA Authority on Transfer of Policies.--Notwithstanding any
    other provision of this title, the Administrator may, at the discretion
    of the Administrator, refuse to accept the transfer of the
    administration of policies for coverage under the flood insurance
    program under this title that are written and administered by any
    insurance company or other insurer, or any insurance agent or
    broker.''.
    SEC. 100246. REIMBURSEMENT OF CERTAIN EXPENSES.
        Section 1363 of the National Flood Insurance Act of 1968 (42 U.S.C.
    4104) is amended by striking subsection (f) and inserting the
    following:
        ``(f) Reimbursement of Certain Expenses.--When, incident to any
    appeal under subsection (b) or (c) of this section, the owner or lessee
    of real property or the community, as the case may be, incurs expense
    in connection with the services of surveyors, engineers, or similar
    services, but not including legal services, in the effecting of an
    appeal based on a scientific or technical error on the part of the
    Federal Emergency Management Agency, which is successful in whole or
    part, the Administrator shall reimburse such individual or community to
    an extent measured by the ratio of the successful portion of the appeal
    as compared to the entire appeal and applying such ratio to the
    reasonable value of all such services, but no reimbursement shall be
    made by the Administrator in respect to any fee or expense payment, the
    payment of which was agreed to be contingent upon the result of the
    appeal. The amounts available for implementing this subsection shall
    not exceed $250,000. The Administrator shall promulgate regulations to
    carry out this subsection.''.
    SEC. 100247. FIO STUDY ON RISKS, HAZARDS, AND INSURANCE.
        (a) In General.--Not later than 1 year after the date of enactment
    of this Act, the Director of the Federal Insurance Office shall conduct
    a study and submit to the Committee on Banking, Housing, and Urban
    Affairs of the Senate and the Committee on Financial Services of the
    House of Representatives a report providing an assessment of the
    current state of the market for natural catastrophe insurance in the
    United States.
        (b) Factors.--The study and report required under subsection (a)
    shall assess--
            (1) the current condition of, as well as the outlook for, the
        availability and affordability of insurance for natural catastrophe
        perils in all regions of the United States;
            (2) the current ability of States, communities, and individuals
        to mitigate their natural catastrophe risks, including the
        affordability and feasibility of such mitigation activities;
            (3) the current state of catastrophic insurance and reinsurance
        markets and the current approaches in providing insurance
        protection to different sectors of the population of the United
        States;
            (4) the current financial condition of State residual markets
        and catastrophe funds in high-risk regions, including the
        likelihood of insolvency following a natural catastrophe, the
        concentration of risks within such funds, the reliance on post-
        event assessments and State funding, and the adequacy of rates; and
            (5) the current role of the Federal Government and State and
        local governments in providing incentives for feasible risk
        mitigation efforts and the cost of providing post-natural
        catastrophe aid in the absence of insurance.
        (c) Additional Factors.--The study and report required under
    subsection (a) shall also contain an assessment of current approaches
    to insuring natural catastrophe risks in the United States and such
    other information as the Director of the Federal Insurance Office
    determines necessary or appropriate.
        (d) Consultation.--In carrying out the study and report under
    subsection (a), the Director of the Federal Insurance Office shall
    consult with the National Academy of Sciences, State insurance
    regulators, consumer organizations, representatives of the insurance
    and reinsurance industry, policyholders, and other organizations and
    experts, as appropriate.
    SEC. 100248. FLOOD PROTECTION IMPROVEMENTS CONSTRUCTED ON CERTAIN
    PROPERTIES.
        (a) Definition.--In this section, the term ``covered hazard
    mitigation land'' means land that--
            (1) was acquired and deed restricted under section 1366 of the
        National Flood Insurance Act of 1968 (42 U.S.C. 4104c) during the
        period beginning on March 1, 2008, and ending on December 31, 2008;
            (2) is located at--
                (A) 809 East Main Cross Street, Findlay, Ohio, 45840;
                (B) 801 East Main Cross Street, Findlay, Ohio, 45840;
                (C) 725 East Main Cross Street, Findlay, Ohio, 45840; or
                (D) 631 East Main Cross Street, Findlay, Ohio, 45840; and
            (3) is located in a community that--
                (A) is participating in the National Flood Insurance
            Program on the date on which a State, local, or tribal
            government submits an application requesting to construct a
            flood protection improvement under subsection (b); and
                (B) certifies to the Administrator and the Chief of
            Engineers that the community will continue to participate in
            the National Flood Insurance Program.
        (b) Authority.--Notwithstanding any other prohibition on
    construction on property acquired with funding from the Federal
    Emergency Management Agency for conversion to open space purposes, the
    Administrator shall allow the construction of a flood protection
    improvement by a State, local, or tribal government on covered hazard
    mitigation land if--
            (1) the Administrator and the Chief of Engineers make a
        determination that--
                (A) construction of the proposed flood protection
            improvement would more effectively mitigate against flooding
            risk than an open floodplain or other flood risk reduction
            measures;
                (B) the proposed flood protection improvement complies with
            Federal, State, and local requirements, including mitigation of
            adverse impacts and implementation of floodplain management
            requirements, which shall include an evaluation of whether the
            construction, operation, and maintenance of the proposed flood
            protection improvement--
                    (i) would continue to meet best available industry
                standards and practices;
                    (ii) would be the most cost-effective measure to
                protect against the assessed flood risk; and
                    (iii) minimizes future costs to the Federal Government;
                (C) the State, local, or tribal government seeking to
            construct the flood protection improvement has provided an
            adequate maintenance plan that documents the procedures the
            State, local, or tribal government will use to ensure that the
            stability, height, and overall integrity of the proposed flood
            protection improvement and the structure and systems of the
            proposed flood protection improvement are maintained,
            including--
                    (i) specifying the maintenance activities to be
                performed;
                    (ii) specifying the frequency with which maintenance
                activities will be performed;
                    (iii) specifying the person responsible for performing
                each maintenance activity (by name or title);
                    (iv) detailing the plan for financing the maintenance
                of the flood protection improvement; and
                    (v) documenting the ability of the State, local, or
                tribal government to finance the maintenance of the flood
                protection improvement; and
            (2) before the commencement of construction, the State, local,
        or tribal government provides to the Administrator an amount--
                (A) equal to the Federal share of all project costs
            previously provided by the Administrator under the applicable
            program for each deed restricted parcel of the covered hazard
            mitigation land, which the Administrator shall deposit in the
            National Flood Insurance Fund; and
                (B) that does not include any Federal funds.
        (c) Maintenance Certification.--
            (1) In general.--A State, local, or tribal government that
        constructs a flood protection improvement under subsection (b)
        shall submit to the Administrator and the Chief of Engineers an
        annual certification indicating whether the State, local, or tribal
        government is in compliance with the maintenance plan provided
        under subsection (b)(1)(C).
            (2) Review.--The Chief of Engineers shall review each
        certification submitted under paragraph (1) and determine whether
        the State, local, or tribal government has complied with the
        maintenance plan.
    SEC. 100249. NO CAUSE OF ACTION.
        No cause of action shall exist and no claim may be brought against
    the United States for violation of any notification requirement imposed
    upon the United States by this subtitle or any amendment made by this
    subtitle.

                    Subtitle B--Alternative Loss Allocation

    SEC. 100251. SHORT TITLE.
        This subtitle may be cited as the ``Consumer Option for an
    Alternative System to Allocate Losses Act of 2012'' or the ``COASTAL
    Act of 2012''.
    SEC. 100252. ASSESSING AND MODELING NAMED STORMS OVER COASTAL STATES.
        Subtitle C of title XII of the Omnibus Public Land Management Act
    of 2009 (33 U.S.C. 3601 et seq.) (also known as the ``Integrated
    Coastal and Ocean Observation System Act of 2009'') is amended by
    adding at the end the following:
    ``SEC. 12312. ASSESSING AND MODELING NAMED STORMS OVER COASTAL STATES.
        ``(a) Definitions.--In this section:
            ``(1) COASTAL formula.--The term `COASTAL Formula' has the
        meaning given the term in section 1337(a) of the National Flood
        Insurance Act of 1968.
            ``(2) Coastal state.--The term `coastal State' has the meaning
        given the term `coastal state' in section 304 of the Coastal Zone
        Management Act of 1972 (16 U.S.C. 1453).
            ``(3) Coastal waters.--The term `coastal waters' has the
        meaning given the term in such section.
            ``(4) Covered data.--The term `covered data' means, with
        respect to a named storm identified by the Administrator under
        subsection (b)(2)(A), empirical data that are--
                ``(A) collected before, during, or after such storm; and
                ``(B) necessary to determine magnitude and timing of wind
            speeds, rainfall, the barometric pressure, river flows, the
            extent, height, and timing of storm surge, topographic and
            bathymetric data, and other measures required to accurately
            model and assess damage from such storm.
            ``(5) Indeterminate loss.--The term `indeterminate loss' has
        the meaning given the term in section 1337(a) of the National Flood
        Insurance Act of 1968.
            ``(6) Named storm.--The term `named storm' means any organized
        weather system with a defined surface circulation and maximum winds
        of at least 39 miles per hour which the National Hurricane Center
        of the United States National Weather Service names as a tropical
        storm or a hurricane.
            ``(7) Named storm event model.--The term `Named Storm Event
        Model' means the official meteorological and oceanographic
        computerized model, developed by the Administrator under subsection
        (b)(1)(A), which utilizes covered data to replicate the magnitude,
        timing, and spatial variations of winds, rainfall, and storm surges
        associated with named storms that threaten any portion of a coastal
        State.
            ``(8) Participant.--The term `participant' means a Federal,
        State, or private entity that chooses to cooperate with the
        Administrator in carrying out the provisions of this section by
        collecting, contributing, and maintaining covered data.
            ``(9) Post-storm assessment.--The term `post-storm assessment'
        means a scientific assessment produced and certified by the
        Administrator to determine the magnitude, timing, and spatial
        variations of winds, rainfall, and storm surges associated with a
        specific named storm to be used in the COASTAL Formula.
            ``(10) State.--The term `State' means a State of the United
        States, the District of Columbia, the Commonwealth of Puerto Rico,
        and any other territory or possession of the United States.
        ``(b) Named Storm Event Model and Post-Storm Assessment.--
            ``(1) Establishment of named storm event model.--
                ``(A) In general.--Not later than 540 days after the date
            of the enactment of the Consumer Option for an Alternative
            System to Allocate Losses Act of 2012, the Administrator shall
            develop by regulation the Named Storm Event Model.
                ``(B) Accuracy.--The Named Storm Event Model shall be
            designed to generate post-storm assessments, as provided in
            paragraph (2), that have a degree of accuracy of not less than
            90 percent for every indeterminate loss for which a post-storm
            assessment is utilized.
            ``(2) Post-storm assessment.--
                ``(A) Identification of named storms threatening coastal
            states.--After the establishment of the COASTAL Formula, the
            Administrator shall, in consultation with the Secretary of
            Homeland Security, identify named storms that may reasonably
            constitute a threat to any portion of a coastal State.
                ``(B) Post-storm assessment required.--Upon identification
            of a named storm under subparagraph (A), the Administrator
            shall develop a post-storm assessment for such named storm
            using the Named Storm Event Model and covered data collected
            for such named storm pursuant to the protocol established under
            subsection (c)(1).
                ``(C) Submittal of post-storm assessment.--Not later than
            90 days after an identification of a named storm is made under
            subparagraph (A), the Administrator shall submit to the
            Secretary of Homeland Security the post-storm assessment
            developed for such storm under subparagraph (B).
            ``(3) Accuracy.--The Administrator shall ensure, to the
        greatest extent practicable, that each post-storm assessment
        developed under paragraph (2) has a degree of accuracy of not less
        than 90 percent.
            ``(4) Certification.--For each post-storm assessment carried
        out under paragraph (2), the Administrator shall--
                ``(A) certify the degree of accuracy for such assessment,
            including specific reference to any segments or geographic
            areas for which the assessment is less than 90 percent
            accurate; and
                ``(B) report such certification to the Secretary of
            Homeland Security for the purposes of use with indeterminate
            loss claims under section 1337 of the National Flood Insurance
            Act of 1968.
            ``(5) Finality of determinations.--A certification of the
        degree of accuracy of a post-storm assessment under this subsection
        by the Administrator shall be final and shall not be subject to
        judicial review.
            ``(6) Availability.--The Administrator shall make available to
        the public the Named Storm Event Model and any post-storm
        assessment developed under this subsection.
        ``(c) Establishment of a Protocol for Post-Storm Assessment.--
            ``(1) In general.--Not later than 540 days after the date of
        the enactment of the Consumer Option for an Alternative System to
        Allocate Losses Act of 2012, the Administrator shall establish a
        protocol, based on the plan submitted under subsection (d)(3), to
        collect and assemble all covered data required by the Administrator
        to produce post-storm assessments required by subsection (b),
        including assembling data collected by participants and stored in
        the database established under subsection (f) and from such other
        sources as the Administrator considers appropriate.
            ``(2) Acquisition of sensors and structures.--If the
        Administrator is unable to use a public or private asset to obtain
        covered data as part of the protocol established under paragraph
        (1), the Administrator may acquire such sensors and structures for
        the placement of sensors as may be necessary to obtain such data.
            ``(3) Use of federal assets.--If the protocol requires
        placement of a sensor to develop assessments pursuant to subsection
        (b), the Administrator shall, to the extent practicable, use
        Federal assets for the placement of such sensors.
            ``(4) Use of acquired structures.--
                ``(A) In general.--If the Administrator acquires a
            structure for the placement of a sensor for purposes of such
            protocol, the Administrator shall to the extent practical
            permit other public and private entities to place sensors on
            such structure to collect--
                    ``(i) meteorological data;
                    ``(ii) national security-related data;
                    ``(iii) navigation-related data;
                    ``(iv) hydrographic data; or
                    ``(v) such other data as the Administrator considers
                appropriate.
                ``(B) Receipt of consideration.--The Administrator may
            receive consideration for the placement of a sensor on a
            structure under subparagraph (A).
                ``(C) In-kind consideration.--Consideration received under
            subparagraph (B) may be received in-kind.
                ``(D) Use of consideration.--To the extent practicable,
            consideration received under subparagraph (B) shall be used for
            the maintenance of sensors used to collect covered data.
            ``(5) Coordinated deployments and data collection practices.--
        The Administrator shall, in consultation with the Office of the
        Federal Coordinator for Meteorology, coordinate the deployment of
        sensors as part of the protocol established under paragraph (1) and
        related data collection carried out by Federal, State, academic,
        and private entities who choose to cooperate with the Administrator
        in carrying out this subsection.
            ``(6) Priority acquisition and deployment.--The Administrator
        shall give priority in the acquisition for and deployment of
        sensors under the protocol required by paragraph (1) to areas of
        coastal States that have the highest risk of being harmed by named
        storms.
        ``(d) Assessment of Systems and Efforts to Collect Covered Data.--
            ``(1) Identification of systems and efforts to collect covered
        data.--Not later than 180 days after the date of the enactment of
        the Consumer Option for an Alternative System to Allocate Losses
        Act of 2012, the Administrator shall, in consultation with the
        Office of the Federal Coordinator for Meteorology--
                ``(A) carry out a survey to identify all Federal and State
            efforts and systems that are capable of collecting covered
            data; and
                ``(B) consult with private and academic sector entities to
            identify domestic private and academic systems that are capable
            of collecting covered data.
            ``(2) Identification of gaps.--The Administrator shall, in
        consultation with the Office of the Federal Coordinator for
        Meteorology and individuals and entities consulted under subsection
        (e)(3), assess the systems identified under paragraph (1) and
        identify which systems meet the needs of the National Oceanic and
        Atmospheric Administration for the collection of covered data,
        including with respect to the accuracy requirement for post-storm
        assessment under subsection (b)(3).
            ``(3) Plan.--Not later than 270 days after the date of the
        enactment of the Consumer Option for an Alternative System to
        Allocate Losses Act of 2012, the Administrator shall, in
        consultation with the Office of the Federal Coordinator for
        Meteorology, submit to Congress a plan for the collection of
        covered data necessary to develop the Named Storm Event Model and
        post-storm assessment required by subsection (b) that addresses any
        gaps identified in paragraph (2).
        ``(e) Coordination of Covered Data Collection and Maintenance by
    Participants.--
            ``(1) In general.--The Administrator shall, in consultation
        with the Office of the Federal Coordinator for Meteorology,
        coordinate the collection and maintenance of covered data by
        participants under this section--
                ``(A) to streamline the process of collecting covered data
            in accordance with the protocol established under subsection
            (c)(1); and
                ``(B) to maintain transparency of such process and the
            database established under subsection (f).
            ``(2) Sharing information.--The Administrator shall establish a
        process for sharing among participants information relevant to
        collecting and using covered data for--
                ``(A) academic research;
                ``(B) private sector use;
                ``(C) public outreach; and
                ``(D) such other purposes as the Administrator considers
            appropriate.
            ``(3) Consultation.--In carrying out paragraphs (1) and (2),
        the Administrator shall consult with the following:
                ``(A) The Commanding General of the Corps of Engineers.
                ``(B) The Administrator of the Federal Emergency Management
            Agency.
                ``(C) The Commandant of the Coast Guard.
                ``(D) The Director of the United States Geological Survey.
                ``(E) The Office of the Federal Coordinator for
            Meteorology.
                ``(F) The Director of the National Science Foundation.
                ``(G) The Administrator of the National Aeronautics and
            Space Administration.
                ``(H) Such public, private, and academic sector entities as
            the Administrator considers appropriate for purposes of
            carrying out the provisions of this section.
        ``(f) Establishment of Coastal Wind and Water Event Database.--
            ``(1) In general.--Not later than 1 year after the date of the
        enactment of the Consumer Option for an Alternative System to
        Allocate Losses Act of 2012, the Administrator shall establish a
        database for the collection and compilation of covered data--
                ``(A) to support the protocol established under subsection
            (c)(1); and
                ``(B) for the purposes listed in subsection (e)(2).
            ``(2) Designation.--The database established under paragraph
        (1) shall be known as the `Coastal Wind and Water Event Database'.
        ``(g) Comptroller General Study.--Not later than 1 year after the
    date of the enactment of the Consumer Option for an Alternative System
    to Allocate Losses Act of 2012, the Comptroller General of the United
    States shall--
            ``(1) complete an audit of Federal efforts to collect covered
        data for purposes of the Consumer Option for an Alternative System
        to Allocate Losses Act of 2012, which audit shall--
                ``(A) examine duplicated Federal efforts to collect covered
            data; and
                ``(B) determine the cost effectiveness of such efforts; and
            ``(2) submit to the Committee on Banking, Housing, and Urban
        Affairs and the Commerce, Science, and Transportation of the Senate
        and the Committee on Financial Services and the Committee on
        Science, Space, and Technology of the House of Representatives a
        report on the findings of the Comptroller General with respect to
        the audit completed under paragraph (1).''.
    SEC. 100253. ALTERNATIVE LOSS ALLOCATION SYSTEM FOR INDETERMINATE
    CLAIMS.
        Part A of chapter II of the National Flood Insurance Act of 1968
    (42 U.S.C. 4051 et seq.) is amended by adding at the end the following:
    ``SEC. 1337. ALTERNATIVE LOSS ALLOCATION SYSTEM FOR INDETERMINATE
    CLAIMS.
        ``(a) Definitions.--In this section:
            ``(1) Administrator.--The term `Administrator' means the
        Administrator of the Federal Emergency Management Agency.
            ``(2) COASTAL formula.--The term `COASTAL Formula' means the
        formula established under subsection (b).
            ``(3) Coastal state.--The term `coastal State' has the meaning
        given the term `coastal state' in section 304 of the Coastal Zone
        Management Act of 1972 (16 U.S.C. 1453).
            ``(4) Indeterminate loss.--
                ``(A) In general.--The term `indeterminate loss' means, as
            determined by an insurance claims adjuster certified under the
            national flood insurance program and in consultation with an
            engineer as appropriate, a loss resulting from physical damage
            to, or loss of, property located in any coastal State arising
            from the combined perils of flood and wind associated with a
            named storm.
                ``(B) Requirements.--An insurance claims adjuster certified
            under the national flood insurance program shall only determine
            that a loss is an indeterminate loss if the claims adjuster
            determines that--
                    ``(i) no material remnant of physical buildings or man-
                made structures remain except building foundations for the
                specific property for which the claim is made; and
                    ``(ii) there is insufficient or no tangible evidence
                created, yielded, or otherwise left behind of the specific
                property for which the claim is made as a result of the
                named storm.
            ``(5) Named storm.--The term `named storm' means any organized
        weather system with a defined surface circulation and maximum winds
        of not less than 39 miles per hour which the National Hurricane
        Center of the United States National Weather Service names as a
        tropical storm or a hurricane.
            ``(6) Post-storm assessment.--The term `post-storm assessment'
        means the post-storm assessment developed under section 12312(b) of
        the Omnibus Public Land Management Act of 2009.
            ``(7) State.--The term `State' means a State of the United
        States, the District of Columbia, the Commonwealth of Puerto Rico,
        and any other territory or possession of the United States.
            ``(8) Secretary.--The term `Secretary' means the Secretary of
        Homeland Security.
            ``(9) Standard insurance policy.--The term `standard insurance
        policy' means any insurance policy issued under the national flood
        insurance program that covers loss or damage to property resulting
        from water peril.
            ``(10) Property.--The term `property' means real or personal
        property that is insured under a standard insurance policy for loss
        or damage to structure or contents.
            ``(11) Under secretary.--The term `Under Secretary' means the
        Under Secretary of Commerce for Oceans and Atmosphere, in the Under
        Secretary's capacity as Administrator of the National Oceanic and
        Atmospheric Administration.
        ``(b) Establishment of Flood Loss Allocation Formula for
    Indeterminate Claims.--
            ``(1) In general.--Not later than 180 days after the date on
        which the protocol is established under section 12312(c)(1) of the
        Omnibus Public Land Management Act of 2009, the Secretary, acting
        through the Administrator and in consultation with the Under
        Secretary, shall establish by rule a standard formula to determine
        and allocate wind losses and flood losses for claims involving
        indeterminate losses.
            ``(2) Contents.--The standard formula established under
        paragraph (1) shall--
                ``(A) incorporate data available from the Coastal Wind and
            Water Event Database established under section 12312(f) of the
            Omnibus Public Land Management Act of 2009;
                ``(B) use relevant data provided on the National Flood
            Insurance Program Elevation Certificate for each indeterminate
            loss for which the formula is used;
                ``(C) consider any sufficient and credible evidence,
            approved by the Administrator, of the pre-event condition of a
            specific property, including the findings of any policyholder
            or insurance claims adjuster in connection with the
            indeterminate loss to that specific property;
                ``(D) include other measures, as the Administrator
            considers appropriate, required to determine and allocate by
            mathematical formula the property damage caused by flood or
            storm surge associated with a named storm; and
                ``(E) subject to paragraph (3), for each indeterminate
            loss, use the post-storm assessment to allocate water damage
            (flood or storm surge) associated with a named storm.
            ``(3) Degree of accuracy required.--The standard formula
        established under paragraph (1) shall specify that the
        Administrator may only use the post-storm assessment for purposes
        of the formula if the Under Secretary certifies that the post-storm
        assessment has a degree of accuracy of not less than 90 percent in
        connection with the specific indeterminate loss for which the
        assessment and formula are used.
        ``(c) Authorized Use of Post-storm Assessment and COASTAL
    Formula.--
            ``(1) In general.--Subject to paragraph (3), the Administrator
        may use the post-storm assessment and the COASTAL Formula to--
                ``(A) review flood loss payments for indeterminate losses,
            including as part of the quality assurance reinspection program
            of the Federal Emergency Management Agency for claims under the
            national flood insurance program and any other process approved
            by the Administrator to review and validate payments under the
            national flood insurance program for indeterminate losses
            following a named storm; and
                ``(B) assist the national flood insurance program to--
                    ``(i) properly cover qualified flood loss for claims
                for indeterminate losses; and
                    ``(ii) avoid paying for any loss or damage to property
                caused by any peril (including wind), other than flood or
                storm surge, that is not covered under a standard policy
                under the national flood insurance program.
            ``(2) Federal disaster declaration.--Subject to paragraph (3),
        in order to expedite claims and reduce costs to the national flood
        insurance program, following any major disaster declared by the
        President under section 401 of the Robert T. Stafford Disaster
        Relief and Emergency Assistance Act (42 U.S.C. 5170) relating to a
        named storm in a coastal State, the Administrator may use the
        COASTAL Formula to determine and pay for any flood loss covered
        under a standard insurance policy under the national flood
        insurance program, if the loss is an indeterminate loss.
            ``(3) National academy of sciences evaluation.--
                ``(A) Evaluation required.--
                    ``(i) Evaluation.--Upon the issuance of the rule
                establishing the COASTAL Formula, and each time the
                Administrator modifies the COASTAL Formula, the National
                Academy of Sciences shall--

                        ``(I) evaluate the expected financial impact on the
                    national flood insurance program of the use of the
                    COASTAL Formula as so established or modified; and
                        ``(II) evaluate the validity of the scientific
                    assumptions upon which the formula is based and
                    determine whether the COASTAL Formula can achieve a
                    degree of accuracy of not less than 90 percent in
                    allocating flood losses for indeterminate losses.

                    ``(ii) Report.--The National Academy of Sciences shall
                submit a report containing the results of each evaluation
                under clause (i) to the Administrator, the Committee on
                Banking, Housing, and Urban Affairs and the Committee on
                Commerce, Science, and Transportation of the Senate, and
                the Committee on Financial Services and the Committee on
                Science, Space, and Technology of the House of
                Representatives.
                ``(B) Effective date and applicability.--
                    ``(i) Effective date.--Paragraphs (1) and (2) of this
                subsection shall not take effect unless the report under
                subparagraph (A) relating to the establishment of the
                COASTAL Formula concludes that the use of the COASTAL
                Formula for purposes of paragraph (1) and (2) would not
                have an adverse financial impact on the national flood
                insurance program and that the COASTAL Formula is based on
                valid scientific assumptions that would allow a degree of
                accuracy of not less than 90 percent to be achieved in
                allocating flood losses for indeterminate losses.
                    ``(ii) Effect of modifications.--Unless the report
                under subparagraph (A) relating to a modification of the
                COASTAL Formula concludes that the use of the COASTAL
                Formula, as so modified, for purposes of paragraphs (1) and
                (2) would not have an adverse financial impact on the
                national flood insurance program and that the COASTAL
                Formula is based on valid scientific assumptions that would
                allow a degree of accuracy of not less than 90 percent to
                be achieved in allocating flood losses for indeterminate
                losses the Administrator may not use the COASTAL Formula,
                as so modified, for purposes of paragraphs (1) and (2).
                ``(C) Funding.--Notwithstanding section 1310 of the
            National Flood Insurance Act of 1968 (42 U.S.C. 4017), there
            shall be available to the Administrator from the National Flood
            Insurance Fund, of amounts not otherwise obligated, not more
            than $750,000 to carry out this paragraph.
        ``(d) Disclosure of COASTAL Formula.--Not later than 30 days after
    the date on which a post-storm assessment is submitted to the Secretary
    under section 12312(b)(2)(C) of the Omnibus Public Land Management Act
    of 2009, for each indeterminate loss for which the COASTAL Formula is
    used pursuant to subsection (c)(2), the Administrator shall disclose to
    the policyholder that makes a claim relating to the indeterminate
    loss--
            ``(1) that the Administrator used the COASTAL Formula with
        respect to the indeterminate loss; and
            ``(2) a summary of the results of the use of the COASTAL
        Formula.
        ``(e) Consultation.--In carrying out subsections (b) and (c), the
    Secretary shall consult with--
            ``(1) the Under Secretary for Oceans and Atmosphere;
            ``(2) the Director of the National Institute of Standards and
        Technology;
            ``(3) the Chief of Engineers of the Corps of Engineers;
            ``(4) the Director of the United States Geological Survey;
            ``(5) the Office of the Federal Coordinator for Meteorology;
            ``(6) State insurance regulators of coastal States; and
            ``(7) such public, private, and academic sector entities as the
        Secretary considers appropriate for purposes of carrying out such
        subsections.
        ``(f) Recordkeeping.--Each consideration and measure the
    Administrator determines necessary to carry out subsection (b) may be
    required, with advanced approval of the Administrator, to be provided
    for on the National Flood Insurance Program Elevation Certificate, or
    maintained otherwise on record if approved by the Administrator, for
    any property that qualifies for the COASTAL Formula under subsection
    (c).
        ``(g) Civil Penalty.--
            ``(1) In general.--If an insurance claims adjuster knowingly
        and willfully makes a false or inaccurate determination relating to
        an indeterminate loss, the Administrator may, after notice and
        opportunity for hearing, impose on the insurance claims adjuster a
        civil penalty of not more than $1,000.
            ``(2) Deposit.--Notwithstanding section 3302 of title 31,
        United States Code, or any other law relating to the crediting of
        money, the Administrator shall deposit in the National Flood
        Insurance Fund any amounts received under this subsection, which
        shall remain available until expended and be available to the
        Administrator for purposes authorized for the National Flood
        Insurance Fund without further appropriation.
        ``(h) Rule of Construction.--Nothing in this subsection shall be
    construed to require the Administrator to make any payment under the
    national flood insurance program, or an insurance company to make any
    payment, for an indeterminate loss based upon post-storm assessment or
    the COASTAL Formula.
        ``(i) Applicability.--Subsection (c) shall apply with respect to an
    indeterminate loss associated with a named storm that occurs after the
    date on which the Administrator issues the rule establishing the
    COASTAL Formula under subsection (b).
        ``(j) Rule of Construction.--Nothing in this subsection shall be
    construed to negate, set aside, or void any policy limit, including any
    loss limitation, set forth in a standard insurance policy.''.

                        Subtitle C--HEARTH Act Amendment

    SEC. 100261. HEARTH ACT TECHNICAL CORRECTIONS.
        For purposes of title IV of the McKinney-Vento Homeless Assistance
    Act (42 U.S.C. 11360 et seq.)--
            (1) the term ``local government'' includes an instrumentality
        of a unit of general purpose local government other than a public
        housing agency that is established pursuant to legislation and
        designated by the chief executive to act on behalf of the local
        government with regard to activities funded under such title IV and
        includes a combination of general purpose local governments, such
        as an association of governments, that is recognized by the
        Secretary of Housing and Urban Development;
            (2) the term ``State'' includes any instrumentality of any of
        the several States designated by the Governor to act on behalf of
        the State and does not include the District of Columbia;
            (3) for purposes of environmental review, the Secretary of
        Housing and Urban Development shall continue to permit assistance
        and projects to be treated as assistance for special projects that
        are subject to section 305(c) of the Multifamily Housing Property
        Disposition Reform Act of 1994 (42 U.S.C. 3547), and subject to the
        regulations issued by the Secretary of Housing and Urban
        Development to implement such section; and
            (4) a metropolitan city and an urban county that each receive
        an allocation under such title IV and are located within a
        geographic area that is covered by a single continuum of care may
        jointly request the Secretary of Housing and Urban Development to
        permit the urban county or the metropolitan city, as agreed to by
        such county and city, to receive and administer their combined
        allocations under a single grant.

                TITLE III--STUDENT LOAN INTEREST RATE EXTENSION

    SEC. 100301. FEDERAL DIRECT STAFFORD LOAN INTEREST RATE EXTENSION.
        Section 455(b)(7)(D) of the Higher Education Act of 1965 (20 U.S.C.
    1087e(b)(7)(D)) is amended--
            (1) in the matter preceding clause (i), by striking ``and
        before July 1, 2012,'' and inserting ``and before July 1, 2013,'';
        and
            (2) in clause (v), by striking ``and before July 1, 2012,'' and
        inserting ``and before July 1, 2013,''.
    SEC. 100302. ELIGIBILITY FOR, AND INTEREST CHARGES ON, FEDERAL DIRECT
    STAFFORD LOANS FOR NEW BORROWERS ON OR AFTER JULY 1, 2013.
        (a) In General.--Section 455 of the Higher Education Act of 1965
    (20 U.S.C. 1087e) is amended by adding at the end the following:
        ``(q) Eligibility for, and Interest Charges on, Federal Direct
    Stafford Loans for New Borrowers on or After July 1, 2013.--
            ``(1) In general.--Notwithstanding subsection (a) or any other
        provision of this title, any borrower who was a new borrower on or
        after July 1, 2013, shall not be eligible for a Federal Direct
        Stafford Loan if the period of time for which the borrower has
        received Federal Direct Stafford Loans, in the aggregate, exceeds
        the period of enrollment described in paragraph (3). Such borrower
        may still receive any Federal Direct Unsubsidized Stafford Loan for
        which such borrower is otherwise eligible.
            ``(2) Accrual of interest on federal direct stafford loans.--
        Notwithstanding subsection (f)(1)(A) or any other provision of this
        title and beginning on the date upon which a borrower who is
        enrolled in a program of education or training (including a course
        of study or program described in paragraph (3)(B) or (4)(B) of
        section 484(b)) for which borrowers are otherwise eligible to
        receive Federal Direct Stafford Loans, becomes ineligible for such
        loan as a result of paragraph (1), interest on all Federal Direct
        Stafford Loans that were disbursed to such borrower on or after
        July 1, 2013, shall accrue. Such interest shall be paid or
        capitalized in the same manner as interest on a Federal Direct
        Unsubsidized Stafford Loan is paid or capitalized under section
        428H(e)(2).
            ``(3) Period of enrollment.--
                ``(A) In general.--The aggregate period of enrollment
            referred to in paragraph (1) shall not exceed the lesser of--
                    ``(i) a period equal to 150 percent of the published
                length of the educational program in which the student is
                enrolled; or
                    ``(ii) in the case of a borrower who was previously
                enrolled in one or more other educational programs that
                began on or after July 1, 2013, and subject to subparagraph
                (B), a period of time equal to the difference between--

                        ``(I) 150 percent of the published length of the
                    longest educational program in which the borrower was,
                    or is, enrolled; and
                        ``(II) any periods of enrollment in which the
                    borrower received a Federal Direct Stafford Loan.

                ``(B) Regulations.--The Secretary shall specify in
            regulation--
                    ``(i) how the aggregate period described in
                subparagraph (A) shall be calculated with respect to a
                borrower who was or is enrolled on less than a full-time
                basis; and
                    ``(ii) how such aggregate period shall be calculated to
                include a course of study or program described in paragraph
                (3)(B) or (4)(B) of section 484(b), respectively.''.
        (b) Inapplicability of Title IV Negotiated Rulemaking Requirement
    and Master Calendar Exception.--Sections 482(c) and 492 of the Higher
    Education Act of 1965 (20 U.S.C. 1089(c), 1098a) shall not apply to the
    amendment made by subsection (a), or to any regulations promulgated
    under such amendment.

                  DIVISION G--SURFACE TRANSPORTATION EXTENSION

    SEC. 110001. SHORT TITLE.
        This division may be cited as the ``Surface Transportation
    Extension Act of 2012, Part II''.

                         TITLE I--FEDERAL-AID HIGHWAYS

    SEC. 111001. EXTENSION OF FEDERAL-AID HIGHWAY PROGRAMS.
        (a) In General.--Section 111 of the Surface Transportation
    Extension Act of 2011, Part II (Public Law 112-30; 125 Stat. 343; 126
    Stat. 272) is amended--
            (1) by striking ``the period beginning on October 1, 2011, and
        ending on June 30, 2012,'' each place it appears and inserting
        ``fiscal year 2012'';
            (2) by striking ``\3/4\ of'' each place it appears; and
            (3) in subsection (a) by striking ``June 30, 2012'' and
        inserting ``September 30, 2012''.
        (b) Use of Funds.--Section 111(c) of the Surface Transportation
    Extension Act of 2011, Part II (125 Stat. 343; 126 Stat. 272) is
    amended--
            (1) in paragraph (3)--
                (A) in subparagraph (A) by striking ``, except that during
            such period'' and all that follows before the period at the
            end; and
                (B) in subparagraph (B)(ii) by striking ``$479,250,000''
            and inserting ``$639,000,000''; and
            (2) by striking paragraph (4).
        (c) Extension of Authorizations Under Title V of SAFETEA-LU.--
    Section 111(e)(2) of the Surface Transportation Extension Act of 2011,
    Part II (125 Stat. 346; 126 Stat. 272) is amended by striking ``the
    period beginning on October 1, 2011, and ending on June 30, 2012.'' and
    inserting ``fiscal year 2012.''.
        (d) Administrative Expenses.--Section 112(a) of the Surface
    Transportation Extension Act of 2011, Part II (125 Stat. 346; 126 Stat.
    272) is amended by striking ``$294,641,438 for the period beginning on
    October 1, 2011, and ending on June 30, 2012.'' and inserting
    ``$392,855,250 for fiscal year 2012.''.

                 TITLE II--EXTENSION OF HIGHWAY SAFETY PROGRAMS

    SEC. 112001. EXTENSION OF NATIONAL HIGHWAY TRAFFIC SAFETY
    ADMINISTRATION HIGHWAY SAFETY PROGRAMS.
        (a) Chapter 4 Highway Safety Programs.--Section 2001(a)(1) of
    SAFETEA-LU (119 Stat. 1519) is amended by striking ``$235,000,000 for
    each of fiscal years 2009 through 2011'' and all that follows through
    the period at the end and inserting ``and $235,000,000 for each of
    fiscal years 2009 through 2012.''.
        (b) Highway Safety Research and Development.--Section 2001(a)(2) of
    SAFETEA-LU (119 Stat. 1519) is amended by striking ``and $81,183,000
    for the period beginning on October 1, 2011, and ending on June 30,
    2012.'' and inserting ``and $108,244,000 for fiscal year 2012.''.
        (c) Occupant Protection Incentive Grants.--Section 2001(a)(3) of
    SAFETEA-LU (119 Stat. 1519) is amended by striking ``$25,000,000 for
    each of fiscal years 2006 through 2011'' and all that follows through
    the period at the end and inserting ``and $25,000,000 for each of
    fiscal years 2006 through 2012.''.
        (d) Safety Belt Performance Grants.--Section 2001(a)(4) of SAFETEA-
    LU (119 Stat. 1519) is amended by striking ``and $36,375,000 for the
    period beginning on October 1, 2011, and ending on June 30, 2012.'' and
    inserting ``and $48,500,000 for fiscal year 2012.''.
        (e) State Traffic Safety Information System Improvements.--Section
    2001(a)(5) of SAFETEA-LU (119 Stat. 1519) is amended by striking ``for
    each of fiscal years 2006 through 2011'' and all that follows through
    the period at the end and inserting ``for each of fiscal years 2006
    through 2012.''.
        (f) Alcohol-impaired Driving Countermeasures Incentive Grant
    Program.--Section 2001(a)(6) of SAFETEA-LU (119 Stat. 1519) is amended
    by striking ``$139,000,000 for each of fiscal years fiscal years 2009
    through 2011'' and all that follows through the period at the end and
    inserting ``and $139,000,000 for each of fiscal years 2009 through
    2012.''.
        (g) National Driver Register.--Section 2001(a)(7) of SAFETEA-LU
    (119 Stat. 1520) is amended by striking ``and $3,087,000 for the period
    beginning on October 1, 2011, and ending on June 30, 2012.'' and
    inserting ``and $4,116,000 for fiscal year 2012.''.
        (h) High Visibility Enforcement Program.--Section 2001(a)(8) of
    SAFETEA-LU (119 Stat. 1520) is amended by striking ``for each of fiscal
    years 2006 through 2011'' and all that follows through the period at
    the end and inserting ``for each of fiscal years 2006 through 2012.''.
        (i) Motorcyclist Safety.--Section 2001(a)(9) of SAFETEA-LU (119
    Stat. 1520) is amended by striking ``$7,000,000 for each of fiscal
    years 2009 through 2011'' and all that follows through the period at
    the end and inserting ``and $7,000,000 for each of fiscal years 2009
    through 2012.''.
        (j) Child Safety and Child Booster Seat Safety Incentive Grants.--
    Section 2001(a)(10) of SAFETEA-LU (119 Stat. 1520) is amended by
    striking ``$7,000,000 for each of fiscal years 2009 through 2011'' and
    all that follows through the period at the end and inserting ``and
    $7,000,000 for each of fiscal years 2009 through 2012.''.
        (k) Administrative Expenses.--Section 2001(a)(11) of SAFETEA-LU
    (119 Stat. 1520) is amended by striking ``$25,328,000 for fiscal year
    2011'' and all that follows through the period at the end and inserting
    ``and $25,328,000 for each of fiscal years 2011 and 2012.''.
    SEC. 112002. EXTENSION OF FEDERAL MOTOR CARRIER SAFETY ADMINISTRATION
    PROGRAMS.
        (a) Federal Motor Carrier Safety Administration Grants.--Section
    31104(a)(8) of title 49, United States Code, is amended to read as
    follows:
            ``(8) $212,000,000 for fiscal year 2012.''.
        (b) Administrative Expenses.--
            (1) In general.--Section 31104(i)(1)(H) of title 49, United
        States Code, is amended to read as follows:
                ``(H) $244,144,000 for fiscal year 2012.''.
            (2) Technical correction.--Section 31104(i)(1)(F) of title 49,
        United States Code, is amended to read as follows:
                ``(F) $239,828,000 for fiscal year 2010;''.
        (c) Grant Programs.--Section 4101(c) of SAFETEA-LU (119 Stat. 1715)
    is amended--
            (1) in paragraph (1) by striking ``and $22,500,000 for the
        period beginning on October 1, 2011, and ending on June 30, 2012.''
        and inserting ``and $30,000,000 for fiscal year 2012.'';
            (2) in paragraph (2) by striking ``2011 and $24,000,000 for the
        period beginning on October 1, 2011, and ending on June 30, 2012.''
        and inserting ``2012.'';
            (3) in paragraph (3) by striking ``2011 and $3,750,000 for the
        period beginning on October 1, 2011, and ending on June 30, 2012.''
        and inserting ``2012.'';
            (4) in paragraph (4) by striking ``2011 and $18,750,000 for the
        period beginning on October 1, 2011, and ending on June 30, 2012.''
        and inserting ``2012.''; and
            (5) in paragraph (5) by striking ``2011 and $2,250,000 for the
        period beginning on October 1, 2011, and ending on June 30, 2012.''
        and inserting ``2012.''.
        (d) New Entrant Audits.--Section 31144(g)(5)(B) of title 49, United
    States Code, is amended by striking ``and up to $21,750,000 for the
    period beginning on October 1, 2011, and ending on June 30, 2012,''.
        (e) Outreach and Education.--Section 4127(e) of SAFETEA-LU (119
    Stat. 1741) is amended by striking ``and 2011 (and $750,000 to the
    Federal Motor Carrier Safety Administration, and $2,250,000 to the
    National Highway Traffic Safety Administration, for the period
    beginning on October 1, 2011, and ending on June 30, 2012)'' and
    inserting ``2011, and 2012''.
        (f) Working Group for Development of Practices and Procedures to
    Enhance Federal-State Relations.--Section 4213(d) of SAFETEA-LU (49
    U.S.C. 14710 note; 119 Stat. 1759) is amended by striking ``June 30,
    2012'' and inserting ``September 30, 2012''.
    SEC. 112003. ADDITIONAL PROGRAMS.
        Section 7131(c) of SAFETEA-LU (119 Stat. 1910) is amended by
    striking ``and $870,000 for the period beginning on October 1, 2011,
    and ending on June 30, 2012,'' and inserting ``and $1,160,000 for
    fiscal year 2012''.

                   TITLE III--PUBLIC TRANSPORTATION PROGRAMS

    SEC. 113001. ALLOCATION OF FUNDS FOR PLANNING PROGRAMS.
        Section 5305(g) of title 49, United States Code, is amended by
    striking ``2011 and for the period beginning on October 1, 2011, and
    ending on June 30, 2012'' and inserting ``2012''.
    SEC. 113002. SPECIAL RULE FOR URBANIZED AREA FORMULA GRANTS.
        Section 5307(b)(2) of title 49, United States Code, is amended--
            (1) by striking the paragraph heading and inserting ``special
        rule for fiscal years 2005 through 2012.--'';
            (2) in subparagraph (A) by striking ``2011 and the period
        beginning on October 1, 2011, and ending on June 30, 2012,'' and
        inserting ``2012,''; and
            (3) in subparagraph (E)--
                (A) by striking the subparagraph heading and inserting
            ``maximum amounts in fiscal years 2008 through 2012.--''; and
                (B) in the matter preceding clause (i) by striking ``2011
            and during the period beginning on October 1, 2011, and ending
            on June 30, 2012'' and inserting ``2012''.
    SEC. 113003. ALLOCATING AMOUNTS FOR CAPITAL INVESTMENT GRANTS.
        Section 5309(m) of title 49, United States Code, is amended--
            (1) in paragraph (2)--
                (A) by striking the paragraph heading and inserting
            ``fiscal years 2006 through 2012.--'';
                (B) in the matter preceding subparagraph (A) by striking
            ``2011 and the period beginning on October 1, 2011, and ending
            on June 30, 2012,'' and inserting ``2012''; and
                (C) in subparagraph (A)(i) by striking ``2011 and
            $150,000,000 for the period beginning on October 1, 2011, and
            ending on June 30, 2012,'' and inserting ``2012'';
            (2) in paragraph (6)--
                (A) in subparagraph (B) by striking ``2011 and $11,250,000
            shall be available for the period beginning on October 1, 2011,
            and ending on June 30, 2012,'' and inserting ``2012''; and
                (B) in subparagraph (C) by striking ``though 2011 and
            $3,750,000 shall be available for the period beginning on
            October 1, 2011, and ending on June 30, 2012,'' and inserting
            ``through 2012''; and
            (3) in paragraph (7)--
                (A) in subparagraph (A)--
                    (i) in the matter preceding clause (i)--

                        (I) in the first sentence by striking ``2011 and
                    $7,500,000 shall be available for the period beginning
                    on October 1, 2011, and ending on June 30, 2012,'' and
                    inserting ``2012''; and
                        (II) in the second sentence by inserting ``each
                    fiscal year'' before the colon;

                    (ii) in clause (i) by striking ``for each fiscal year
                and $1,875,000 for the period beginning on October 1, 2011,
                and ending on June 30, 2012,'';
                    (iii) in clause (ii) by striking ``for each fiscal year
                and $1,875,000 for the period beginning on October 1, 2011,
                and ending on June 30, 2012,'';
                    (iv) in clause (iii) by striking ``for each fiscal year
                and $750,000 for the period beginning on October 1, 2011,
                and ending on June 30, 2012,'';
                    (v) in clause (iv) by striking ``for each fiscal year
                and $750,000 for the period beginning on October 1, 2011,
                and ending on June 30, 2012,'';
                    (vi) in clause (v) by striking ``for each fiscal year
                and $750,000 for the period beginning on October 1, 2011,
                and ending on June 30, 2012,'';
                    (vii) in clause (vi) by striking ``for each fiscal year
                and $750,000 for the period beginning on October 1, 2011,
                and ending on June 30, 2012,'';
                    (viii) in clause (vii) by striking ``for each fiscal
                year and $487,500 for the period beginning on October 1,
                2011, and ending on June 30, 2012,''; and
                    (ix) in clause (viii) by striking ``for each fiscal
                year and $262,500 for the period beginning on October 1,
                2011, and ending on June 30, 2012,'';
                (B) in subparagraph (B) by striking clause (vii) and
            inserting the following:
                    ``(vii) $13,500,000 for fiscal year 2012.'';
                (C) in subparagraph (C) by striking ``and during the period
            beginning on October 1, 2011, and ending on June 30, 2012,'';
                (D) in subparagraph (D) by striking ``and not less than
            $26,250,000 shall be available for the period beginning on
            October 1, 2011, and ending on June 30, 2012,''; and
                (E) in subparagraph (E) by striking ``and $2,250,000 shall
            be available for the period beginning on October 1, 2011, and
            ending on June 30, 2012,''.
    SEC. 113004. APPORTIONMENT OF FORMULA GRANTS FOR OTHER THAN URBANIZED
    AREAS.
        Section 5311(c)(1)(G) of title 49, United States Code, is amended
    to read as follows:
                ``(G) $15,000,000 for fiscal year 2012.''.
    SEC. 113005. APPORTIONMENT BASED ON FIXED GUIDEWAY FACTORS.
        Section 5337 of title 49, United States Code, is amended by
    striking subsection (g).
    SEC. 113006. AUTHORIZATIONS FOR PUBLIC TRANSPORTATION.
        (a) Formula and Bus Grants.--Section 5338(b) of title 49, United
    States Code, is amended--
            (1) in paragraph (1) by striking subparagraph (G) and inserting
        the following:
                ``(G) $8,360,565,000 for fiscal year 2012.''; and
            (2) in paragraph (2)--
                (A) in subparagraph (A) by striking ``$113,500,000 for each
            of fiscal years 2009 through 2011, and $85,125,000 for the
            period beginning on October 1, 2011, and ending on June 30,
            2012,'' and inserting ``and $113,500,000 for each of fiscal
            years 2009 through 2012'';
                (B) in subparagraph (B) by striking ``$4,160,365,000 for
            each of fiscal years 2009 through 2011, and $3,120,273,750 for
            the period beginning on October 1, 2011, and ending on June 30,
            2012,'' and inserting ``and $4,160,365,000 for each of fiscal
            years 2009 through 2012'';
                (C) in subparagraph (C) by striking ``$51,500,000 for each
            of fiscal years 2009 through 2011, and $38,625,000 for the
            period beginning on October 1, 2011, and ending on June 30,
            2012,'' and inserting ``and $51,500,000 for each of fiscal
            years 2009 through 2012'';
                (D) in subparagraph (D) by striking ``$1,666,500,000 for
            each of fiscal years 2009 through 2011, and $1,249,875,000 for
            the period beginning on October 1, 2011, and ending on June 30,
            2012,'' and inserting ``and $1,666,500,000 for each of fiscal
            years 2009 through 2012'';
                (E) in subparagraph (E) by striking ``$984,000,000 for each
            of fiscal years 2009 through 2011, and $738,000,000 for the
            period beginning on October 1, 2011, and ending on June 30,
            2012,'' and inserting ``and $984,000,000 for each of fiscal
            years 2009 through 2012'';
                (F) in subparagraph (F) by striking ``$133,500,000 for each
            of fiscal years 2009 through 2011, and $100,125,000 for the
            period beginning on October 1, 2011, and ending on June 30,
            2012,'' and inserting ``and $133,500,000 for each of fiscal
            years 2009 through 2012'';
                (G) in subparagraph (G) by striking ``$465,000,000 for each
            of fiscal years 2009 through 2011, and $348,750,000 for the
            period beginning on October 1, 2011, and ending on June 30,
            2012,'' and inserting ``and $465,000,000 for each of fiscal
            years 2009 through 2012'';
                (H) in subparagraph (H) by striking ``$164,500,000 for each
            of fiscal years 2009 through 2011, and $123,375,000 for the
            period beginning on October 1, 2011, and ending on June 30,
            2012,'' and inserting ``and $164,500,000 for each of fiscal
            years 2009 through 2012'';
                (I) in subparagraph (I) by striking ``$92,500,000 for each
            of fiscal years 2009 through 2011, and $69,375,000 for the
            period beginning on October 1, 2011, and ending on June 30,
            2012,'' and inserting ``and $92,500,000 for each of fiscal
            years 2009 through 2012'';
                (J) in subparagraph (J) by striking ``$26,900,000 for each
            of fiscal years 2009 through 2011, and $20,175,000 for the
            period beginning on October 1, 2011, and ending on June 30,
            2012,'' and inserting ``and $26,900,000 for each of fiscal
            years 2009 through 2012'';
                (K) in subparagraph (K) by striking ``for each of fiscal
            years 2006 through 2011 and $2,625,000 for the period beginning
            on October 1, 2011, and ending on June 30, 2012,'' and
            inserting ``for each of fiscal years 2006 through 2012'';
                (L) in subparagraph (L) by striking ``for each of fiscal
            years 2006 through 2011 and $18,750,000 for the period
            beginning on October 1, 2011, and ending on June 30, 2012,''
            and inserting ``for each of fiscal years 2006 through 2012'';
                (M) in subparagraph (M) by striking ``$465,000,000 for each
            of fiscal years 2009 through 2011, and $348,750,000 for the
            period beginning on October 1, 2011, and ending on June 30,
            2012,'' and inserting ``and $465,000,000 for each of fiscal
            years 2009 through 2012''; and
                (N) in subparagraph (N) by striking ``$8,800,000 for each
            of fiscal years 2009 through 2011, and $6,600,000 for the
            period beginning on October 1, 2011, and ending on June 30,
            2012,'' and inserting ``and $8,800,000 for each of fiscal years
            2009 through 2012''.
        (b) Capital Investment Grants.--Section 5338(c)(7) of title 49,
    United States Code, is amended to read as follows:
            ``(7) $1,955,000,000 for fiscal year 2012.''.
        (c) Research and University Research Centers.--Section 5338(d) of
    title 49, United States Code, is amended--
            (1) in paragraph (1), in the matter preceding subparagraph (A),
        by striking ``through 2011, and $33,000,000 for the period
        beginning on October 1, 2011, and ending on June 30, 2012,'' and
        inserting ``through 2011, and $44,000,000 for fiscal year 2012,'';
        and
            (2) by striking paragraph (3) and inserting the following:
            ``(3) Additional authorizations.--
                ``(A) Research.--Of amounts authorized to be appropriated
            under paragraph (1) for fiscal year 2012, the Secretary shall
            allocate for each of the activities and projects described in
            subparagraphs (A) through (F) of paragraph (1) an amount equal
            to 63 percent of the amount allocated for fiscal year 2009
            under each such subparagraph.
                ``(B) University centers program.--
                    ``(i) Fiscal year 2012.--Of the amounts allocated under
                paragraph (1)(C) for the university centers program under
                section 5506 for fiscal year 2012, the Secretary shall
                allocate for each program described in clauses (i) through
                (iii) and (v) through (viii) of paragraph (2)(A) an amount
                equal to 63 percent of the amount allocated for fiscal year
                2009 under each such clause.
                    ``(ii) Funding.--If the Secretary determines that a
                project or activity described in paragraph (2) received
                sufficient funds in fiscal year 2011, or a previous fiscal
                year, to carry out the purpose for which the project or
                activity was authorized, the Secretary may not allocate any
                amounts under clause (i) for the project or activity for
                fiscal year 2012 or any subsequent fiscal year.''.
        (d) Administration.--Section 5338(e)(7) of title 49, United States
    Code, is amended to read as follows:
            ``(7) $98,713,000 for fiscal year 2012.''.
    SEC. 113007. AMENDMENTS TO SAFETEA-LU.
        (a) Contracted Paratransit Pilot.--Section 3009(i)(1) of SAFETEA-LU
    (119 Stat. 1572) is amended by striking ``2011 and the period beginning
    on October 1, 2011, and ending on June 30, 2012,'' and inserting
    ``2012,''.
        (b) Public-private Partnership Pilot Program.--Section 3011 of
    SAFETEA-LU (49 U.S.C. 5309 note; 119 Stat. 1588) is amended--
            (1) in subsection (c)(5) by striking ``2011 and the period
        beginning on October 1, 2011, and ending on June 30, 2012'' and
        inserting ``2012''; and
            (2) in the second sentence of subsection (d) by striking ``2011
        and the period beginning on October 1, 2011, and ending on June 30,
        2012,'' and inserting ``2012''.
        (c) Elderly Individuals and Individuals With Disabilities Pilot
    Program.--Section 3012(b)(8) of SAFETEA-LU (49 U.S.C. 5310 note; 119
    Stat. 1593) is amended by striking ``June 30, 2012'' and inserting
    ``September 30, 2012''.
        (d) Obligation Ceiling.--Section 3040(8) of SAFETEA-LU (119 Stat.
    1639) is amended to read as follows:
            ``(8) $10,458,278,000 for fiscal year 2012, of which not more
        than $8,360,565,000 shall be from the Mass Transit Account.''.
        (e) Project Authorizations for New Fixed Guideway Capital
    Projects.--Section 3043 of SAFETEA-LU (119 Stat. 1640) is amended--
            (1) in subsection (b), in the matter preceding paragraph (1),
        by striking ``2011 and the period beginning on October 1, 2011, and
        ending on June 30, 2012,'' and inserting ``2012''; and
            (2) in subsection (c), in the matter preceding paragraph (1),
        by striking ``2011 and the period beginning on October 1, 2011, and
        ending on June 30, 2012,'' and inserting ``2012''.
        (f) Allocations for National Research and Technology Programs.--
    Section 3046 of SAFETEA-LU (49 U.S.C. 5338 note; 119 Stat. 1706) is
    amended--
            (1) in subsection (b) by striking ``fiscal year or period'' and
        inserting ``fiscal year''; and
            (2) by striking subsection (c)(2) and inserting the following:
            ``(2) for fiscal year 2012, in amounts equal to 63 percent of
        the amounts allocated for fiscal year 2009 under each of paragraphs
        (2), (3), (5), and (8) through (25) of subsection (a).''.

                            TITLE IV--EFFECTIVE DATE

    SEC. 114001. EFFECTIVE DATE.
        This division and the amendments made by this division shall take
    effect on July 1, 2012.

                         DIVISION H--BUDGETARY EFFECTS

    SEC. 120001. BUDGETARY EFFECTS.
        (a) PAYGO Scorecard.--The budgetary effects of this Act shall not
    be entered on either PAYGO scorecard maintained pursuant to section
    4(d) of the Statutory Pay-As-You-Go Act of 2010.
        (b) Senate PAYGO Scorecard.--The budgetary effects of this Act
    shall not be recorded on any PAYGO scorecard maintained for purposes of
    section 201 of S. Con. Res. 21 (110th Congress).

                                   Speaker of the House of Representatives.

                                Vice President of the United States and
                                                   President of the Senate.