Intercity Passenger Rail Trust Fund Act of 1995

Summary: Intercity Passenger Rail Trust Fund Act of 1995 - Amends the Internal Revenue Code to establish the Intercity Passenger Rail Trust Fund to finance qualified expenses of:  (1) the National Railroad Passenger Corporation; and (2) eligible States.  Makes appropriations in specified amounts for FY 1996 through 2000 to such Fund.  Directs the Secretary of Transportation, by October 1, 2000, to determine and retain the amount in the Intercity Passenger Rail Fund necessary to pay any outstanding qualified expenses and to transfer any amount not so retained to the Mass Transit Fund. 
Authorizes the Secretary to transfer from time to time from the Highway Trust Fund to the Intercity Passenger Rail Trust Fund the intercity passenger rail portion of specified funds appropriated to the Highway Trust Fund.

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Intercity Passenger Rail Trust Fund 
Act of 1995''.

SEC. 2. INTERCITY PASSENGER RAIL TRUST FUND.

    (a) Establishment of Trust Fund.--Subchapter A of chapter 98 of the 
Internal Revenue Code of 1986 (relating to trust fund code) is amended 
by adding at the end the following new section:

``SEC. 9512. INTERCITY PASSENGER RAIL TRUST FUND.

    ``(a) Creation of Trust Fund.--There is established in the Treasury 
of the United States a trust fund to be known as the `Intercity 
Passenger Rail Trust Fund', consisting of such amounts as may be 
transferred or credited to the Trust Fund as provided in section 
9503(c)(7) or section 9602(b).
    ``(b) Expenditures From Trust Fund.--
            ``(1) In general.--Except as provided in paragraph (2), 
        amounts in the Intercity Passenger Rail Trust Fund shall be 
        available, as provided by appropriation Acts, to finance 
        qualified expenses of--
                    ``(A) the National Railroad Passenger Corporation, 
                and
                    ``(B) each eligible State, to the extent determined 
                under paragraph (3).
            ``(2) Direct spending amounts.--The following amounts in 
        the Intercity Passenger Rail Trust Fund are hereby appropriated 
        to finance qualified expenses:
                                                                 Amount
``Fiscal year:                                               Available:
    1996..........................................        $131,000,000 
    1997..........................................         663,000,000 
    1998..........................................         667,000,000 
    1999..........................................         670,000,000 
    2000..........................................         672,000,000.
            ``(3) Maximum amount of funds to eligible states.--Each 
        eligible State shall receive under this subsection an amount 
        equal to the lesser of--
                    ``(A) the State's qualified expenses for the fiscal 
                year, or
                    ``(B) the product of--
                            ``(i) \1/12\ of 1 percent of the lesser 
                        of--
                                    ``(I) the aggregate amounts 
                                transferred and credited to the 
                                Intercity Passenger Rail Trust Fund 
                                under subsection (a) for such fiscal 
                                year, or
                                    ``(II) the aggregate amounts 
                                appropriated from the Intercity 
                                Passenger Rail Trust Fund under this 
                                subsection for such fiscal year, and
                            ``(ii) the number of months such State was 
                        an eligible State in the preceding fiscal year.
        If the amount determined under subparagraph (B) exceeds the 
        amount under subparagraph (A) for any fiscal year, the amount 
        under subparagraph (B) for the following fiscal year shall be 
        increased by the amount of such excess.
    ``(c) Definitions.--For purposes of this section--
            ``(1) Qualified expenses.--The term `qualified expenses' 
        means expenses incurred, with respect to obligations made, 
        after December 31, 1995, and before October 1, 2000--
                    ``(A) in the case of--
                            ``(i) the National Railroad Passenger 
                        Corporation, for capital improvements in 
                        intercity passenger rail service, or
                            ``(ii) an eligible State, for capital 
                        improvements in intercity rail service, and
                    ``(B) certified by the Secretary of Transportation 
                as meeting the requirements of subparagraph (A).
            ``(2) Eligible state.--The term `eligible State' means any 
        State which does not receive intercity passenger rail service 
        from the National Railroad Passenger Corporation.
    ``(d) Termination.--The Secretary shall determine and retain, not 
later than October 1, 2000, the amount in the Intercity Passenger Rail 
Trust Fund necessary to pay any outstanding qualified expenses, and 
shall transfer any amount not so retained to the Mass Transit Account 
under section 9503(e).''
    (b) Transfers From Highway Trust Fund.--Section 9503(c) of the 
Internal Revenue Code of 1986 (relating to expenditures from Highway 
Trust Fund) is amended by adding at the end the following new 
paragraph:
            ``(7) Transfers from trust fund for intercity passenger 
        rail.--
                    ``(A) In general.--The Secretary shall transfer 
                from time to time from the Highway Trust Fund to the 
                Intercity Passenger Rail Trust Fund under section 9512 
                the intercity passenger rail portion of the amounts 
                appropriated to the Highway Trust Fund under subsection 
                (b) which are attributable to taxes under sections 4041 
                and 4081 imposed after December 31, 1995, and before 
                October 1, 2000.
                    ``(B) Intercity passenger rail portion.--For 
                purposes of subparagraph (A), the term `intercity 
                passenger rail portion' means the amount--
                            ``(i) determined at the rate of 0.5 cent 
                        for each gallon with respect to which tax was 
                        imposed under section 4041 or 4081, and
                            ``(ii) reduced (but not below zero) by the 
                        amount by which--
                                    ``(I) the outlays of the Mass 
                                Transit Account for the fiscal year 
                                with respect to which such tax was 
                                imposed, as estimated by the Secretary, 
                                exceed
                                    ``(II) the available funds in the 
                                Mass Transit Account for such fiscal 
                                year (as so estimated).''
    (c) Conforming Amendments.--
            (1) Section 9503(e)(2) of the Internal Revenue Code of 1986 
        (relating to transfers to mass transit account) is amended by 
        striking ``4081.'' and inserting ``4081 (for the period 
        beginning after December 31, 1995, and ending before October 1, 
        2000, an amount determined at the rate of 1.5 cents for each 
        such gallon, increased by the amount described in subsection 
        (c)(7)(B)(ii)).''.
            (2) The table of sections for subchapter A of chapter 98 of 
        such Code (relating to trust fund code) is amended by adding at 
        the end the following new item:

                              ``Sec. 9512. Intercity Passenger Rail 
                                        Trust Fund.''
    (d) Effective Date.--The amendments made by this section shall 
apply with respect to taxes imposed after December 31, 1995.