[Congressional Record Volume 161, Number 118 (Sunday, July 26, 2015)]
[Senate]
[Pages S5738-S5739]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]

  SA 2410. Mrs. GILLIBRAND submitted an amendment intended to be 
proposed by her to the bill H.R. 22, to amend the Internal Revenue Code 
of 1986 to exempt employees with health coverage under TRICARE or the 
Veterans Administration from being taken into account for purposes of 
determining the employers to which the employer mandate applies under 
the Patient Protection and Affordable Care Act; which was ordered to 
lie on the table; as follows:

       On page 170, after line 24, insert the following:

     SEC. 11210. PROJECT ADMINISTRATION ACCELERATION PILOT 
                   PROGRAM.

       (a) Establishment.--
       (1) In general.--The Secretary shall carry out a project 
     acceleration pilot program (referred to in this section as 
     the ``program'') to allow States to test the ability of local 
     governments by assigning to the local governments the 
     administrative responsibilities of direct recipients of 
     Federal-aid highway funding.
       (2) Assumption of responsibility.--
       (A) In general.--Subject to the requirements of this 
     section, a State may assign, and a local government may 
     assume, the responsibilities of the State with respect to 1 
     or more highway projects within the jurisdiction of the local 
     government that are selected for Federal-aid funding through 
     the transportation planning process in sections 134 and 135 
     of title 23, United States Code, on the condition that the 
     responsibilities shall not include any responsibility 
     assigned to a State under section 326 or 327 of that title.
       (B) Written agreement.--An assignment and assumption of 
     responsibility under subparagraph (A) shall require the 
     written agreement of the Secretary, the local government, and 
     the State in which the local government is located, in such 
     form and including such information and terms as the 
     Secretary may prescribe.
       (C) Procedural, legal, and substantive requirements.--A 
     local government selected for participation under the program 
     shall assume responsibility under this section for compliance 
     with all procedural and substantive requirements that would 
     apply if that responsibility were carried out by the State, 
     including requirements related to reporting, right-of-way 
     acquisition, environment, engineering, civil rights, design 
     and inspection, procurement, construction administration, 
     financial administration, performance management, and all 
     other applicable requirements, unless the local government or 
     the Secretary determines that assumption of responsibility 
     for 1 or more of the procedural or substantive requirements 
     is not appropriate.
       (D) Applicability.--Nothing in this section waives or 
     modifies any requirements or

[[Page S5739]]

     provisions applicable to Federal-aid programs or projects, 
     including the apportionment of funds, suballocation of funds, 
     and selection of projects.
       (b) Participation.--
       (1) Number of participating local governments.--The 
     Secretary shall allow up to 5 local governments to 
     participate in the program.
       (2) Eligibility.--To be eligible for participation in the 
     program, a local government shall--
       (A) have a population of 500,000 or more, according to the 
     most recent available data from the Bureau of the Census;
       (B) demonstrate to the satisfaction of the Secretary that 
     the local government has the necessary organizational 
     structure, agreements, processes, controls, and staff to 
     ensure that project development and delivery meets all 
     applicable Federal requirements; and
       (C) certify that the local government has in place the 
     necessary financial management systems and processes to carry 
     out cost accounting, billing, certifications, improper 
     payments review, recordkeeping, audits, and related 
     requirements consistent with government-wide requirements 
     described in sections 200.302 and 200.303 of title 2, Code of 
     Federal Regulations (or successor regulations).
       (3) Application process.--The Secretary shall establish 
     application requirements for participation in the program.
       (4) Selection criteria.--The Secretary may approve an 
     application under this section if the Secretary determines 
     the local government meets the requirements of this section 
     and any other requirement that the Secretary may prescribe, 
     including any requirement for a pre-audit associated with the 
     financial management and internal controls of the local 
     government, necessary to provide reasonable assurance that 
     the recipient will comply with applicable Federal 
     requirements.
       (c) Oversight.--
       (1) Written agreement.--A written agreement under this 
     section shall--
       (A) have an initial term of not more than 5 years; and
       (B) require the local government to provide to the 
     Secretary any information the Secretary considers necessary 
     to ensure that the local government is carrying out the 
     requirements of this section.
       (2) Audit.--
       (A) In general.--To ensure compliance by a local government 
     participating in the program, the Secretary shall conduct 
     annual audits during each year of the program.
       (B) No limitations.--Subparagraph (A) does not limit the 
     authority of the Secretary to carry out other oversight 
     activities relating to the program or to projects or other 
     activities carried out under the program.
       (3) Report to congress.--The Secretary shall submit to 
     Congress an annual report that describes the administration 
     of the program, including results of the audits described in 
     paragraph (2).
       (4) Extension.--On request of a participating local 
     government, the Secretary may extend the participation of the 
     local government in the program for up to an additional 10 
     years through an extension of the initial written agreement, 
     based on a review finding that the local government--
       (A) met all requirements of the program; and
       (B) ensured timely delivery of projects and proper fiscal 
     control of Federal funds.
       (d) Funding.--Funds for the projects for which local 
     oversight has been approved shall be--
       (1) deducted from the amounts apportioned for appropriate 
     programs to the State in which the local government is 
     located; and
       (2) transferred to the local government.
       (e) Administrative Expenses.--
       (1) In general.--On October 1 of each fiscal year for the 
     duration of the program, the Secretary may set aside up to 
     $5,000,000 of the funds authorized to be appropriated under 
     section 1001(a)(1) to carry out this section.
       (2) Use of funds.--The Secretary shall use funds set aside 
     under paragraph (1) for the Federal Highway Administration to 
     provide oversight of the additional entities.
       (f) Termination by Secretary.--The Secretary may terminate 
     the participation of a local government in the program if--
       (1) the Secretary determines that the local government is 
     not adequately carrying out the responsibilities assumed by 
     the local government under the program;
       (2) the Secretary provides to the local government--
       (A) notification of the determination of noncompliance; and
       (B) 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 written agreement; and
       (3) the local government, after the notification provided 
     under paragraph (2), fails to take satisfactory corrective 
     action, as determined by the Secretary.
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