Pipeline Revolving Fund and Job Creation Act

Summary: Pipeline Revolving Fund and Job Creation Act  Directs the Administrator of the Pipeline and Hazardous Materials Safety Administration to offer to enter into agreements to make capitalization grants, including letters of credit, to eligible states for the repair or replacement of natural gas distribution pipelines.  Requires grant funds to be deposited into state revolving loan funds to provide loans or loan guarantees to: (1) facilitate compliance with an intended use plan, or (2) repair or replace those pipelines that have been identified as leak-prone. Prohibits the use of funds from loans or loan guarantees made by a state to repair or replace natural gas distribution pipelines unless all of the iron, steel, plastic, and manufactured goods used in the repair or replacement are produced in the United States (Buy America).

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Pipeline Revolving Fund and Job 
Creation Act''.

SEC. 2. DEFINITIONS.

    In this Act:
            (1) Administrator.--The term ``Administrator'' means the 
        Administrator of the Pipeline and Hazardous Materials Safety 
        Administration.
            (2) State.--The term ``State'' means--
                    (A) a State; and
                    (B) the District of Columbia.
            (3) State loan fund.--The term ``State loan fund'' means a 
        pipeline replacement revolving loan fund established by a State 
        under section 3(a)(2)(B).

SEC. 3. STATE REVOLVING LOAN FUNDS.

    (a) Grants to States To Establish Loan Funds.--
            (1) In general.--The Administrator shall offer to enter 
        into agreements with eligible States to make capitalization 
        grants, including letters of credit, to the States under this 
        subsection to repair or replace natural gas distribution 
        pipelines.
            (2) Eligibility.--To be eligible to receive a 
        capitalization grant under this section, a State shall--
                    (A) enter into a capitalization agreement with the 
                Administrator under paragraph (1); and
                    (B) establish a pipeline replacement revolving loan 
                fund.
            (3) Deposit.--Funds granted to a State under this section 
        shall be deposited in the State loan fund established by the 
        State.
            (4) Period.--The funds granted to a State shall be 
        available to the State for obligation during the fiscal year 
        for which the funds are authorized and during the following 
        fiscal year.
            (5) Allotment.--Funds made available to carry out this 
        section shall be allotted to States at the discretion of the 
        Administrator.
            (6) Reallotment.--Any funds not obligated by a State by the 
        last day of the period for which the grants are available shall 
        be reallotted in accordance with paragraph (5).
    (b) Use of Funds.--
            (1) In general.--Amounts deposited in a State loan fund, 
        including loan repayments and interest earned on the amounts, 
        shall be used only for providing loans or loan guarantees or as 
        a source of reserve and security for leveraged loans.
            (2) Limitations.--
                    (A) In general.--Loans or loan guarantees made by a 
                State under paragraph (1)--
                            (i) may be used only for expenditures of a 
                        type or category that the Administrator has 
                        determined, through guidance, will--
                                    (I) facilitate compliance with a 
                                plan submitted under subsection (c); or
                                    (II) otherwise significantly 
                                further the replacement or repair of 
                                natural gas distribution pipelines that 
                                have been identified as leak-prone; and
                            (ii) may not be used for the acquisition of 
                        real property or an interest in real property, 
                        unless the acquisition is--
                                    (I) integral to a plan submitted 
                                under subsection (c); and
                                    (II) from a willing seller.
                    (B) Buying american.--
                            (i) In general.--The Administrator shall 
                        ensure, through guidance, that, to the maximum 
                        extent practicable, none of the funds from a 
                        loan or loan guarantee made by a State under 
                        paragraph (1) are used to repair or replace 
                        natural gas distribution pipelines unless all 
                        of the iron, steel, plastic, and manufactured 
                        goods used in the repair or replacement are 
                        produced in the United States.
                            (ii) Waiver.--Clause (i) shall not apply in 
                        any case or category of cases in which the 
                        Administrator finds that--
                                    (I) applying that clause would be 
                                inconsistent with the public interest;
                                    (II) iron, steel, plastic, or the 
                                applicable manufactured goods are not 
                                produced in the United States in 
                                sufficient and reasonably available 
                                quantities and of a satisfactory 
                                quality; or
                                    (III) inclusion of iron, steel, 
                                plastic, and manufactured goods 
                                produced in the United States will 
                                increase the cost of the overall repair 
                                or replacement by more than 25 percent.
                            (iii) Publication.--If the Administrator 
                        determines that it is necessary to waive the 
                        application of clause (i) based on a finding 
                        under clause (ii), the Administrator shall 
                        publish in the Federal Register a detailed 
                        written justification as to why the provision 
                        is being waived.
                            (iv) Applicability.--This section shall be 
                        applied in a manner consistent with United 
                        States obligations under international 
                        agreements.
    (c) Intended Use Plans.--
            (1) In general.--After providing for public review and 
        comment, each State that has entered into a capitalization 
        agreement pursuant to this section shall annually prepare a 
        plan that identifies the intended uses of the amounts available 
        from the State loan fund of the State.
            (2) Contents.--An intended use plan shall include--
                    (A) a list of the projects to be carried out by 
                entities receiving the loans in the first fiscal year 
                that begins after the date of the plan, including a 
                description of the project;
                    (B) the criteria and methods established for the 
                use of funds; and
                    (C) a description of the financial status of the 
                State loan fund and the short- and long-term goals of 
                the State loan fund.
            (3) List of projects.--Each State shall, after notice and 
        opportunity for public comment, publish and periodically update 
        a list of projects in the State that are eligible for 
        assistance under this section, including the priority assigned 
        to each project and, to the maximum extent practicable, the 
        expected funding schedule for each project and, if possible, an 
        estimate of expected reductions in greenhouse gas emissions for 
        the project.
    (d) Fund Management.--
            (1) In general.--Each State loan fund under this section 
        shall be established, maintained, and credited with repayments 
        and interest and the fund corpus shall be available in 
        perpetuity in accordance with this section.
            (2) Investment authorized.--To the extent amounts in the 
        fund are not required for current obligation or expenditure, 
        the amounts shall be invested in interest bearing obligations.
    (e) State Contributions.--Each capitalization agreement entered 
into pursuant to this section shall require that the State deposit in 
the State loan fund from State moneys an amount equal to not less than 
20 percent of the total amount of the grant to be made to the State on 
or before the date on which the grant payment is made to the State.
    (f) Administration of State Loan Fund.--
            (1) In general.--Each State may annually use not greater 
        than 4 percent of the funds allotted to the State under this 
        section to cover the reasonable costs of administration of the 
        programs under this section, including the recovery of 
        reasonable costs expended to establish a State loan fund that 
        are incurred after the date of enactment of this Act.
            (2) Guidance and regulations.--The Administrator shall 
        issue guidance and promulgate regulations as are necessary to 
        carry out this section, including guidance and regulations--
                    (A) to ensure that each State commits and expends 
                funds allotted to the State under this section as 
                efficiently as practicable in accordance with this 
                section and applicable State law;
                    (B) to prevent waste, fraud, and abuse; and
                    (C) to ensure that the States receiving grants 
                under this section use accounting, audit, and fiscal 
                procedures that conform to generally accepted 
                accounting standards.
            (3) State report.--Each State administering a State loan 
        fund under this section shall submit to the Administrator a 
        report every 2 years on the activities carried out under this 
        section, including the findings of the most recent audit of the 
        fund and the entire State allotment.
            (4) Audits.--The Administrator shall periodically audit all 
        State loan funds established by, and all other amounts allotted 
        to, the States pursuant to this section in accordance with 
        procedures established by the Comptroller General of the United 
        States.
    (g) Applicability of Federal Law.--
            (1) In general.--The Administrator shall ensure that all 
        laborers and mechanics employed on projects funded directly, or 
        assisted in whole or in part, by this Act and contributed to a 
        State loan fund established by this Act shall be paid wages at 
        rates not less than those prevailing on projects of a character 
        similar in the locality as determined by the Secretary of Labor 
        in accordance with subchapter IV of chapter 31 of part A of 
        subtitle II of title 40, United States Code.
            (2) Authority.--With respect to the labor standards 
        specified in paragraph (1), the Secretary of Labor shall have 
        the authority and functions set forth in Reorganization Plan 
        Numbered 14 of 1950 (64 Stat. 1267; 5 U.S.C. App.) and section 
        3145 of title 40, United States Code.

SEC. 4. AUTHORIZATION OF APPROPRIATIONS.

    (a) In General.--There are authorized to be appropriated to carry 
out this Act such sums as are necessary for each of fiscal years 2016 
through 2026.
    (b) Limitation.--Only sums appropriated pursuant to subsection (a) 
may be used to carry out this Act.