A bill to amend title 23, United States Code, to increase the minimum allocation provided to States for use in carrying out certain highway programs.

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Highway Funding Equity Act of 
2003''.

SEC. 2. MINIMUM GUARANTEE.

    Section 105 of title 23, United States Code, is amended--
            (1) by striking subsection (a) and subsections (c) through 
        (f);
            (2) by redesignating subsection (b) as subsection (e);
            (3) by inserting after the section heading the following:
    ``(a) Guarantee.--
            ``(1) In general.--For each of fiscal years 2004 through 
        2009, the Secretary shall allocate among the States amounts 
        sufficient to ensure that the percentage for each State of the 
        total apportionments for the fiscal year for the National 
        Highway System under section 103(b), the high priority projects 
        program under section 117, the Interstate maintenance program 
        under section 119, the surface transportation program under 
        section 133, metropolitan planning under section 134, the 
        highway bridge replacement and rehabilitation program under 
        section 144, the congestion mitigation and air quality 
        improvement program under section 149, the recreational trails 
        program under section 206, the Appalachian development highway 
        system under subtitle IV of title 40, and the minimum guarantee 
        under this paragraph, equals or exceeds the percentage 
        determined for the State under paragraph (2).
            ``(2) State percentages.--
                    ``(A) In general.--Except as provided in 
                subparagraph (B), the percentage for each State 
                referred to in paragraph (1) is the percentage that is 
                equal to 95 percent of the ratio that--
                            ``(i) 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; bears to
                            ``(ii) the estimated tax payments 
                        attributable to highway users in all States 
                        paid into the Highway Trust Fund (other than 
                        the Mass Transit Account) in the most recent 
                        fiscal year for which data are available.
                    ``(B) Exception.--In the case of a State having a 
                population density of less than 50 individuals per 
                square mile according to the 2000 decennial census, the 
                percentage referred to in paragraph (1) shall be the 
                greater of--
                            ``(i) the percentage determined under 
                        subparagraph (A); or
                            ``(ii) the percentage specified in 
                        subsection (e).
    ``(b) Treatment of Funds.--
            ``(1) Programmatic distribution.--The Secretary shall 
        apportion the amounts made available under this section that 
        exceed $2,800,000,000 so that the amount apportioned to each 
        State under this paragraph for each program referred to in 
        subsection (a)(1) (other than the high priority projects 
        program, metropolitan planning, the recreational trails 
        program, the Appalachian development highway system, and the 
        minimum guarantee under subsection (a)) is equal to the product 
        obtained by multiplying--
                    ``(A) the amount to be apportioned under this 
                paragraph; and
                    ``(B) the ratio that--
                            ``(i) the amount of funds apportioned to 
                        the State for each program referred to in 
                        subsection (a)(1) (other than the high priority 
                        projects program, metropolitan planning, the 
                        recreational trails program, the Appalachian 
                        development highway system, and the minimum 
                        guarantee under subsection (a)) for a fiscal 
                        year; bears to
                            ``(ii) the total amount of funds 
                        apportioned to the State for that program for 
                        the fiscal year.
            ``(2) Remaining distribution.--
                    ``(A) In general.--Subject to subparagraph (B), the 
                Secretary shall apportion the remainder of funds made 
                available under this section to the States, and 
                administer those funds, in accordance with section 
                104(b)(3).
                    ``(B) Inapplicable requirements.--Paragraphs (1), 
                (2), and (3) of section 133(d) shall not apply to 
                amounts apportioned in accordance with this paragraph.
    ``(c) Authorization of Appropriations.--There are authorized to be 
appropriated out of the Highway Trust Fund (other than the Mass Transit 
Account) such sums as are necessary to carry out this section for each 
of fiscal years 2004 through 2009.
    ``(d) Guarantee of 95 Percent Return.--
            ``(1) In general.--For each of fiscal years 2004 through 
        2009, before making any apportionment under this title, the 
        Secretary shall--
                    ``(A) determine whether the sum of the percentages 
                determined under subsection (a)(2) for the fiscal year 
                exceeds 100 percent; and
                    ``(B) if the sum of the percentages exceeds 100 
                percent, proportionately adjust the percentages 
                specified in the table contained in subsection (e) to 
                ensure that the sum of the percentages determined under 
                subsection (a)(1)(B) for the fiscal year equals 100 
                percent.
            ``(2) Eligibility threshold for adjustment.--The Secretary 
        may make an adjustment under paragraph (1) for a State for a 
        fiscal year only if the percentage for the State in the table 
        contained in subsection (e) is equal to or exceeds 95 percent 
        of the ratio determined for the State under subsection 
        (a)(1)(B)(i) for the fiscal year.
            ``(3) Limitation on adjustments.--Adjustments of the 
        percentages in the table contained in subsection (e) in 
        accordance with this subsection shall not result in a total of 
        the percentages determined under subsection (a)(2) that exceeds 
        100 percent.''; and
            (4) in subsection (e) (as redesignated by paragraph (2)), 
        by striking ``subsection (a)'' and inserting ``subsections 
        (a)(2)(B)(ii) and (d)''.

Summary: Highway Funding Equity Act of 2003 - Revises Federal highway funding minimum guarantee provisions. Requires the Secretary of Transportation, for each of FY 2004 through 2009, to allocate among the States amounts sufficient to ensure that the percentage for each State of the total apportionments for the fiscal year for the National Highway System (NHS), the high priority projects program, the Interstate maintenance program, the surface transportation program, metropolitan planning, the highway bridge replacement and rehabilitation program, the congestion mitigation and air quality improvement program, the recreational trails program, the Appalachian development highway system, and the minimum guarantee equals or exceeds 95 percent of the ratio that the estimated tax payments to the Highway Trust Fund (HTF) attributable to highway users in the State bears to such payments attributable to highway users in all States . Sets forth provisions regarding: (1) the programmatic distribution of NHS funds exceeding $2.8 billion. (2) the apportionment of the remainder of funds to the States. And (3) required adjustments where the sum of State percentages exceeds 100.