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[House Report 110-141]
[From the U.S. Government Publishing Office]

110th Congress                                                   Report
                        HOUSE OF REPRESENTATIVES
 1st Session                                                    110-141

======================================================================

 
         NATIONAL CAPITAL TRANSPORTATION AMENDMENTS ACT OF 2007

                                _______
                                

  May 9, 2007.--Committed to the Committee of the Whole House on the 
              State of the Union and ordered to be printed

                                _______
                                

  Mr. Waxman, from the Committee on Oversight and Government Reform, 
                        submitted the following

                              R E P O R T

                             together with

                            ADDITIONAL VIEWS

                        [To accompany H.R. 401]

      [Including cost estimate of the Congressional Budget Office]

    The Committee on Oversight and Government Reform, to whom 
was referred the bill (H.R. 401) to amend the National Capital 
Transportation Act of 1969 to authorize additional Federal 
contributions for maintaining and improving the transit system 
of the Washington Metropolitan Area Transit Authority, and for 
other purposes, having considered the same, report favorably 
thereon with an amendment and recommend that the bill as 
amended do pass.

                                CONTENTS

Purpose and Summary..............................................     5
Legislative History..............................................     6
Section-By-Section...............................................     7
Explanation of Amendments........................................    10
Committee Consideration..........................................    11
Rollcall Votes...................................................    11
Application of Law to the Legislative Branch.....................    11
Statement of Oversight Findings and Recommendations of the 
  Committee......................................................    11
Statement of General Performance Goals and Objectives............    11
Constitutional Authority Statement...............................    11
Federal Advisory Committee Act...................................    12
Unfunded Mandate Statement.......................................    12
Earmark Identification...........................................    12
Committee Estimate...............................................    12
Budget Authority and Congressional Budget Office Cost Estimate...    12
Changes in Existing Law Made by the Bill, as Reported............    14

    The amendment is as follows:
    Strike all after the enacting clause and insert the 
following:

SECTION 1. SHORT TITLE; FINDINGS.

  (a) Short Title.--This Act may be cited as the ``National Capital 
Transportation Amendments Act of 2007''.
  (b) Findings.--Congress finds as follows:
          (1) Metro, the public transit system of the Washington 
        metropolitan area, is essential for the continued and effective 
        performance of the functions of the Federal Government, and for 
        the orderly movement of people during major events and times of 
        regional or national emergency.
          (2) On 3 occasions, Congress has authorized appropriations 
        for the construction and capital improvement needs of the 
        Metrorail system.
          (3) Additional funding is required to protect these previous 
        Federal investments and ensure the continued functionality and 
        viability of the original 103-mile Metrorail system.

SEC. 2. FEDERAL CONTRIBUTION FOR CAPITAL PROJECTS FOR WASHINGTON 
                    METROPOLITAN AREA TRANSIT SYSTEM.

  The National Capital Transportation Act of 1969 (sec. 9-1111.01 et 
seq., D.C. Official Code) is amended by adding at the end the following 
new section:
  ``authorization of additional federal contribution for capital and 
                    preventive maintenance projects
  ``Sec. 18.  (a) Authorization.--Subject to the succeeding provisions 
of this section, the Secretary of Transportation is authorized to make 
grants to the Transit Authority, in addition to the contributions 
authorized under sections 3, 14, and 17, for the purpose of financing 
in part the capital and preventive maintenance projects included in the 
Capital Improvement Program approved by the Board of Directors of the 
Transit Authority.
  ``(b) Use of Funds.--The Federal grants made pursuant to the 
authorization under this section shall be subject to the following 
limitations and conditions:
          ``(1) The work for which such Federal grants are authorized 
        shall be subject to the provisions of the Compact (consistent 
        with the amendments to the Compact described in subsection 
        (d)).
          ``(2) Each such Federal grant shall be for 50 percent of the 
        net project cost of the project involved, and shall be provided 
        in cash from sources other than Federal funds or revenues from 
        the operation of public mass transportation systems. Consistent 
        with the terms of the amendment to the Compact described in 
        subsection (d)(1), any funds so provided shall be solely from 
        undistributed cash surpluses, replacement or depreciation funds 
        or reserves available in cash, or new capital.
          ``(3) Such Federal grants may be used only for the 
        maintenance and upkeep of the systems of the Transit Authority 
        as of the date of the enactment of the National Capital 
        Transportation Amendments Act of 2007 and may not be used to 
        increase the mileage of the rail system.
  ``(c) Applicability of Requirements For Mass Transportation Capital 
Projects Receiving Funds Under Federal Transportation Law.--Except as 
specifically provided in this section, the use of any amounts 
appropriated pursuant to the authorization under this section shall be 
subject to the requirements applicable to capital projects for which 
funds are provided under chapter 53 of title 49, United States Code, 
except to the extent that the Secretary of Transportation determines 
that the requirements are inconsistent with the purposes of this 
section.
  ``(d) Amendments to Compact.--No amounts may be provided to the 
Transit Authority pursuant to the authorization under this section 
until the Transit Authority notifies the Secretary of Transportation 
that each of the following amendments to the Compact (and any further 
amendments which may be required to implement such amendments) have 
taken effect:
          ``(1)(A) An amendment requiring that all payments by the 
        local signatory governments for the Transit Authority for the 
        purpose of matching any Federal funds appropriated in any given 
        year authorized under subsection (a) for the cost of operating 
        and maintaining the adopted regional system are made from 
        amounts derived from dedicated funding sources.
          ``(B) For purposes of this paragraph, the term `dedicated 
        funding source' means any source of funding which is earmarked 
        or required under State or local law to be used to match 
        Federal appropriations authorized under this Act for payments 
        to the Transit Authority.
          ``(2) An amendment establishing the Office of the Inspector 
        General of the Transit Authority in accordance with section 3 
        of the National Capital Transportation Amendments Act of 2007.
          ``(3) An amendment expanding the Board of Directors of the 
        Transit Authority to include 4 additional Directors appointed 
        by the Administrator of General Services, of whom 2 shall be 
        nonvoting and 2 shall be voting, and requiring one of the 
        voting members so appointed to be a regular passenger and 
        customer of the bus or rail service of the Transit Authority.
  ``(e) Access to Wireless Services in Metrorail System.--
          ``(1) Requiring transit authority to provide access to 
        service.--No amounts may be provided to the Transit Authority 
        pursuant to the authorization under this section unless the 
        Transit Authority ensures that customers of the rail service of 
        the Transit Authority have access within the rail system to 
        services provided by any licensed wireless provider that 
        notifies the Transit Authority (in accordance with such 
        procedures as the Transit Authority may adopt) of its intent to 
        offer service to the public, in accordance with the following 
        timetable:
                  ``(A) Not later than 1 year after the date of the 
                enactment of the National Capital Transportation 
                Amendments Act of 2007, in the 20 underground rail 
                station platforms with the highest volume of passenger 
                traffic.
                  ``(B) Not later than 4 years after such date, 
                throughout the rail system.
          ``(2) Access of wireless providers to system for upgrades and 
        maintenance.--No amounts may be provided to the Transit 
        Authority pursuant to the authorization under this section 
        unless the Transit Authority ensures that each licensed 
        wireless provider who provides service to the public within the 
        rail system pursuant to paragraph (1) has access to the system 
        on an ongoing basis (subject to such restrictions as the 
        Transit Authority may impose to ensure that such access will 
        not unduly impact rail operations or threaten the safety of 
        customers or employees of the rail system) to carry out 
        emergency repairs, routine maintenance, and upgrades to the 
        service.
          ``(3) Permitting reasonable and customary charges.--Nothing 
        in this subsection may be construed to prohibit the Transit 
        Authority from requiring a licensed wireless provider to pay 
        reasonable and customary charges for access granted under this 
        subsection.
          ``(4) Reports.--Not later than 1 year after the date of the 
        enactment of the National Capital Transportation Amendments Act 
        of 2007, and each of the 3 years thereafter, the Transit 
        Authority shall submit to the Committee on Oversight and 
        Government Reform of the House of Representatives and the 
        Committee on Homeland Security and Governmental Affairs of the 
        Senate a report on the implementation of this subsection.
          ``(5) Definition.--In this subsection, the term `licensed 
        wireless provider' means any provider of wireless services who 
        is operating pursuant to a Federal license to offer such 
        services to the public for profit.
  ``(f) Cap on Overtime Pay.--
          ``(1) In general.--No amounts may be provided to the Transit 
        Authority pursuant to the authorization under this section 
        unless the Transit Authority certifies to the Secretary of 
        Transportation that the amount of overtime compensation paid to 
        any employee of the Transit Authority with respect to any pay 
        period does not exceed \1/3\ of the employee's rate of basic 
        pay for such period.
          ``(2) Effective date.--Paragraph (1) shall apply with respect 
        to pay periods beginning on or after the date of the enactment 
        of the National Capital Transportation Amendments Act of 2007.
  ``(g) Exclusion of Overtime Pay in Calculation of Annual Salary Used 
for Determining Amount of Retirement Annuity.--
          ``(1) In general.--To the extent consistent with collective 
        bargaining agreements, no amounts may be provided to the 
        Transit Authority pursuant to the authorization under this 
        section unless the Transit Authority certifies to the Secretary 
        of Transportation that, in determining the amount of any 
        annuity paid to an individual who is separated from employment 
        with the Transit Authority which is based in whole or in part 
        on the compensation paid to the individual during any year, 
        there shall be excluded from the determination of the 
        compensation paid to the individual during the year any amounts 
        paid as overtime compensation.
          ``(2) Effective date.--Paragraph (1) shall apply with respect 
        to compensation paid to an individual during years beginning 
        after the date of the enactment of the National Capital 
        Transportation Amendments Act of 2007.
  ``(h) Amount.--There are authorized to be appropriated to the 
Secretary of Transportation for grants under this section an aggregate 
amount not to exceed $1,500,000,000 to be available in increments over 
10 fiscal years beginning in fiscal year 2009, or until expended.
  ``(i) Availability.--Amounts appropriated pursuant to the 
authorization under this section shall remain available until 
expended.''.

SEC. 3. WASHINGTON METROPOLITAN AREA TRANSIT AUTHORITY INSPECTOR 
                    GENERAL.

  (a) Establishment of Office.--
          (1) In general.--The Washington Metropolitan Area Transit 
        Authority (hereafter referred to as the ``Transit Authority'') 
        shall establish in the Transit Authority the Office of the 
        Inspector General (hereafter in this section referred to as the 
        ``Office''), headed by the Inspector General of the Transit 
        Authority (hereafter in this section referred to as the 
        ``Inspector General'').
          (2) Definition.--In paragraph (1), the ``Washington 
        Metropolitan Area Transit Authority'' means the Authority 
        established under Article III of the Washington Metropolitan 
        Area Transit Authority Compact (Public Law 89-774).
  (b) Inspector General.--
          (1) Appointment.--The Inspector General shall be appointed by 
        the vote of a majority of the Board of Directors of the Transit 
        Authority, and shall be appointed without regard to political 
        affiliation and solely on the basis of integrity and 
        demonstrated ability in accounting, auditing, financial 
        analysis, law, management analysis, public administration, or 
        investigations, as well as familiarity or experience with the 
        operation of transit systems.
          (2) Term of service.--The Inspector General shall serve for a 
        term of 5 years, and an individual serving as Inspector General 
        may be reappointed for not more than 2 additional terms.
          (3) Removal.--The Inspector General may be removed from 
        office prior to the expiration of his term only by the 
        unanimous vote of all of the members of the Board of Directors 
        of the Transit Authority, and the Board shall communicate the 
        reasons for any such removal to the Governor of Maryland, the 
        Governor of Virginia, the Mayor of the District of Columbia, 
        the chair of the Committee on Government Reform of the House of 
        Representatives, and the chair of the Committee on Homeland 
        Security and Governmental Affairs of the Senate.
  (c) Duties.--
          (1) Applicability of duties of inspector general of executive 
        branch establishment.--The Inspector General shall carry out 
        the same duties and responsibilities with respect to the 
        Transit Authority as an Inspector General of an establishment 
        carries out with respect to an establishment under section 4 of 
        the Inspector General Act of 1978 (5 U.S.C. App. 4), under the 
        same terms and conditions which apply under such section.
          (2) Conducting annual audit of financial statements.--The 
        Inspector General shall be responsible for conducting the 
        annual audit of the financial accounts of the Transit 
        Authority, either directly or by contract with an independent 
        external auditor selected by the Inspector General.
          (3) Reports.--
                  (A) Semiannual reports to transit authority.--The 
                Inspector General shall prepare and submit semiannual 
                reports summarizing the activities of the Office in the 
                same manner, and in accordance with the same deadlines, 
                terms, and conditions, as an Inspector General of an 
                establishment under section 5 of the Inspector General 
                Act of 1978 (5 U.S.C. App. 5). For purposes of applying 
                section 5 of such Act to the Inspector General, the 
                Board of Directors of the Transit Authority shall be 
                considered the head of the establishment, except that 
                the Inspector General shall transmit to the General 
                Manager of the Transit Authority a copy of any report 
                submitted to the Board pursuant to this paragraph.
                  (B) Annual reports to local signatory governments and 
                congress.--Not later than January 15 of each year, the 
                Inspector General shall prepare and submit a report 
                summarizing the activities of the Office during the 
                previous year, and shall submit such reports to the 
                Governor of Maryland, the Governor of Virginia, the 
                Mayor of the District of Columbia, the chair of the 
                Committee on Government Reform of the House of 
                Representatives, and the chair of the Committee on 
                Homeland Security and Governmental Affairs of the 
                Senate.
          (4) Investigations of complaints of employees and members.--
                  (A) Authority.--The Inspector General may receive and 
                investigate complaints or information from an employee 
                or member of the Transit Authority concerning the 
                possible existence of an activity constituting a 
                violation of law, rules, or regulations, or 
                mismanagement, gross waste of funds, abuse of 
                authority, or a substantial and specific danger to the 
                public health and safety.
                  (B) Nondisclosure.--The Inspector General shall not, 
                after receipt of a complaint or information from an 
                employee or member, disclose the identity of the 
                employee or member without the consent of the employee 
                or member, unless the Inspector General determines such 
                disclosure is unavoidable during the course of the 
                investigation.
                  (C) Prohibiting retaliation.--An employee or member 
                of the Transit Authority who has authority to take, 
                direct others to take, recommend, or approve any 
                personnel action, shall not, with respect to such 
                authority, take or threaten to take any action against 
                any employee or member as a reprisal for making a 
                complaint or disclosing information to the Inspector 
                General, unless the complaint was made or the 
                information disclosed with the knowledge that it was 
                false or with willful disregard for its truth or 
                falsity.
          (5) Independence in carrying out duties.--Neither the Board 
        of Directors of the Transit Authority, the General Manager of 
        the Transit Authority, nor any other member or employee of the 
        Transit Authority may prevent or prohibit the Inspector General 
        from carrying out any of the duties or responsibilities 
        assigned to the Inspector General under this section.
  (d) Powers.--
          (1) In general.--The Inspector General may exercise the same 
        authorities with respect to the Transit Authority as an 
        Inspector General of an establishment may exercise with respect 
        to an establishment under section 6(a) of the Inspector General 
        Act of 1978 (5 U.S.C. App. 6(a)), other than paragraphs (7), 
        (8), and (9) of such section.
          (2) Staff.--
                  (A) Assistant inspector generals and other staff.--
                The Inspector General shall appoint and fix the pay 
                of--
                          (i) an Assistant Inspector General for 
                        Audits, who shall be responsible for 
                        coordinating the activities of the Inspector 
                        General relating to audits;
                          (ii) an Assistant Inspector General for 
                        Investigations, who shall be responsible for 
                        coordinating the activities of the Inspector 
                        General relating to investigations; and
                          (iii) such other personnel as the Inspector 
                        General considers appropriate.
                  (B) Independence in appointing staff.--No individual 
                may carry out any of the duties or responsibilities of 
                the Office unless the individual is appointed by the 
                Inspector General, or provides services procured by the 
                Inspector General, pursuant to this paragraph. Nothing 
                in this subparagraph may be construed to prohibit the 
                Inspector General from entering into a contract or 
                other arrangement for the provision of services under 
                this section.
                  (C) Applicability of transit system personnel 
                rules.--None of the regulations governing the 
                appointment and pay of employees of the Transit System 
                shall apply with respect to the appointment and 
                compensation of the personnel of the Office, except to 
                the extent agreed to by the Inspector General. Nothing 
                in the previous sentence may be construed to affect 
                subparagraphs (A) through (B).
          (3) Equipment and supplies.--The General Manager of the 
        Transit Authority shall provide the Office with appropriate and 
        adequate office space, together with such equipment, supplies, 
        and communications facilities and services as may be necessary 
        for the operation of the Office, and shall provide necessary 
        maintenance services for such office space and the equipment 
        and facilities located therein.
  (e) Transfer of Functions.--To the extent that any office or entity 
in the Transit Authority prior to the appointment of the first 
Inspector General under this section carried out any of the duties and 
responsibilities assigned to the Inspector General under this section, 
the functions of such office or entity shall be transferred to the 
Office upon the appointment of the first Inspector General under this 
section.

SEC. 4. STUDY AND REPORT BY COMPTROLLER GENERAL.

  (a) Study.--The Comptroller General shall conduct a study on the use 
of the funds provided under section 18 of the National Capital 
Transportation Act of 1969 (as added by this Act).
  (b) Report.--Not later than 3 years after the date of the enactment 
of this Act, the Comptroller General shall submit a report to the 
Committee on Government Reform of the House of Representatives and the 
Committee on Homeland Security and Governmental Affairs of the Senate 
on the study conducted under subsection (a).

                          Purpose and Summary

    H.R. 401, the National Capital Transportation Amendments 
Act of 2007, was introduced on January 11, 2007, by Reps. Tom 
Davis, Steny H. Hoyer, Frank R. Wolf, Eleanor Holmes Norton, 
Chris Van Hollen, James P. Moran, Albert Russell Wynn, and John 
P. Sarbanes. H.R. 401 authorizes federal funding for needed 
improvements and maintenance for the Washington Metropolitan 
Area Transit Authority (WMATA) and improves accountability at 
WMATA.
    The bill authorizes $1.5 billion in federal funding for 
capital improvements and critical preventive maintenance needs; 
requires the Government Accountability Office to conduct a 
study on the use of the authorized funds and to report to 
Congress within three years; requires that four directors be 
added to the WMATA Board of Directors with one voting member to 
be a regular WMATA passenger; and improves accountability and 
transparency by establishing an Inspector General for WMATA.

                  Background and Need for Legislation

    The WMATA system is critical to the Washington metropolitan 
region. WMATA rail and bus services reduce traffic congestion, 
commute times, and air pollution. These services help federal 
and local government workers and private sector employees get 
to work every day and are vital to the millions of tourists who 
visit the nation's capital every year.
    The existing Metro system is aging while at the same time 
ridership is increasing. A significant investment is needed to 
meet the increased demand and prevent a decline in service and 
reliability.
    H.R. 401 authorizes $1.5 billion for capital and renewal 
projects for WMATA. The authorized funds will allow for needed 
improvements such as station and facility rehabilitation and 
tunnel repairs. This funding will also allow WMATA to add new 
rail cars and buses to ease congestion during peak hours.
    H.R. 401 establishes an Inspector General for WMATA. WMATA 
has suffered from serious management challenges such as 
inadequate oversight of contracts. This bill strengthens the 
accountability and transparency of WMATA by requiring that it 
have an independent Inspector General to oversee and 
investigate its operations.

                          Legislative History

    H.R. 401 was introduced on January 11, 2007, and referred 
to the Committee on Oversight and Government Reform. Similar 
legislation, H.R. 3496, the National Capital Transportation 
Amendments Act of 2005, was introduced in the 109th Congress 
and reported by the Committee on a voice vote. H.R. 3496 was 
passed by the House on a roll call vote of 242-120 but the 
Senate did not take action on the bill before the end of the 
109th Congress.
    The Committee considered H.R. 401 on March 29, 2007, but 
adjourned before completing consideration of the bill. The 
Committee met on April 18, 2007, and ordered H.R. 401 to be 
reported, as amended, by a voice vote.

                           Section-by-Section

Section 1. Short title; findings

    This section provides that the short title of H.R. 401 is 
the ``National Capital Transportation Amendments Act of 2007.'' 
This section also includes findings of Congress.

Section 2. Federal contribution for capital projects for Washington 
        metropolitan area transit system

    This section would amend the National Capital 
Transportation Act of 1969 by adding a new section, designated 
as section 18.
    Section 18(a) authorizes the Secretary of Transportation to 
make grants to the Transit Authority to finance capital and 
preventative maintenance projects included in the Capital 
Improvement Program approved by the WMATA Board of Directors. 
These grants are to be in addition to other funding authorized 
by the National Capital Transportation Act of 1969.
    Section 18(b) requires that work performed with the 
authorized funds be subject to the provisions of the WMATA 
compact. Each federal grant will be for 50 percent of the net 
project cost of the relevant project and cannot include other 
federal funds or general operating revenue. Remaining costs are 
to be covered by local funds derived from dedicated funding 
sources. A provision was added to this subsection during 
Committee consideration of the bill clarifying that the 
authorized grants are only to be used for maintenance and 
upkeep of the WMATA systems and may not be used to increase the 
mileage of the rail system. This provision clarifies that the 
authorized funding is not intended to fund the extension of 
Metrorail lines. This provision does not impact in any way 
WMATA's ability to use the authorized funds to purchase 
additional buses or Metrorail cars.
    Section 18(c) clarifies that the authorized funds will be 
subject to certain requirements that normally govern transit 
grants unless the Secretary of Transportation determines that 
the requirements are inconsistent with the purposes of the new 
section 18. These requirements include planning and contracting 
requirements and are found in chapter 53 of title 49, United 
States Code.
    Section 18(d) provides that WMATA cannot receive any funds 
authorized by this legislation until it notifies the Secretary 
of Transportation that certain amendments have been made to the 
WMATA compact. These include: (1) an amendment requiring that 
all matching funds from local signatory governments to the 
compact be made from dedicated funding sources; (2) an 
amendment establishing an Office of the Inspector General for 
WMATA; and (3) an amendment expanding the WMATA Board of 
Directors by four directors appointed by the administrator of 
the General Services Administration. The additional directors 
will represent the interests of the federal government. Two of 
the additional directors will be voting members and two will be 
nonvoting members. One of the voting members will be a regular 
WMATA rail or bus passenger.
    Section 18(e) provides that WMATA may not receive any of 
the funding authorized by the bill unless WMATA provides 
customers access to licensed commercial wireless services from 
any licensed wireless provider that elects to offer service and 
notifies WMATA of its intent. Access must be provided on the 20 
busiest underground platforms--as measured by passenger 
traffic--not later than one year after enactment, and 
throughout the entire rail system not later than four years 
after enactment. This subsection also requires WMATA to ensure 
that each licensed wireless provider that elects to offer 
service to the public within the rail system has ongoing access 
to the system in order to carry out emergency repairs, routine 
maintenance, and upgrades.
    This subsection addresses a long-standing concern regarding 
public safety and personal security in the rail system. 
Currently, only one wireless provider has direct access to 
Metro rail platforms and tunnels. This subsection mandates that 
WMATA grant any licensed wireless provider that intends to 
offer service access to the system. Expanding wireless access 
in the system is an important step toward making wireless 
coverage more accessible and reliable.
    This measure does not require WMATA to expend resources to 
fund this effort. It is the hope of the Committee that 
necessary upgrades to the existing underground wireless system 
or the installation of a new wireless system can be funded 
entirely by commercial parties. Subsection (e)(3) makes clear 
that WMATA is authorized to assess ``reasonable and customary 
charges'' for access granted under this provision. The 
Committee notes, however, that the term ``reasonable and 
customary'' means that such charges must be comparable to the 
amounts charged in similar situations (e.g., tunnels, airports, 
or other rail systems) around the country.
    This subsection also recognizes the limited ``track time'' 
available for upgrading existing wireless systems or installing 
new wireless systems and equipment. The Committee is sensitive 
to the numerous maintenance and service demands on WMATA, and 
understands that longer hours of operation leave less time for 
necessary track work. Therefore, although subsection (e)(2) 
requires that WMATA grant ongoing access to each licensed 
wireless provider offering service in the system, it allows 
WMATA to control such access to avoid serious disruptions in 
service and to avoid threats to the safety of customers or 
employees. The Committee expects that WMATA will use this 
discretion in accordance with applicable deadlines and in a 
manner consistent with the underlying intent of this provision 
which was added by amendment during Committee consideration of 
the bill.
    Section 18(f) provides that WMATA may not receive any of 
the funding authorized by the bill unless WMATA certifies to 
the Secretary of Transportation that the amount of overtime 
compensation paid to any WMATA employee in a pay period does 
not exceed one-third of the employee's rate of basic pay for 
that period. This subsection was added by amendment during 
Committee consideration of the bill.
    Section 18(g) provides that WMATA may not receive any of 
the funding authorized by the bill unless WMATA certifies to 
the Secretary of Transportation that, to the extent it is 
consistent with WMATA's collective bargaining agreements, 
overtime compensation is excluded from the income used to 
calculate employee pensions. This subsection was added by 
amendment during Committee consideration of the bill.
    Section 18(h) authorizes $1.5 billion for grants to be 
available in increments over a period of ten fiscal years 
beginning in fiscal year 2009 or until expended.
    Section 18(i) provides that funds appropriated pursuant to 
the authorization provided by this legislation are to remain 
available until expended. This section, as introduced, also 
provided that funds appropriated pursuant to this authorization 
are to be made in addition to, and not in lieu of, any other 
funds made available to WMATA. This language was removed during 
Committee consideration. Neither this language nor the removal 
of this language has any substantive effect. This bill is an 
authorization bill and any actual funding will come through the 
appropriations process.

Section 3. Washington Metropolitan Area Transit Authority Inspector 
        General

    This section increases accountability and transparency by 
establishing an inspector general for WMATA.
    Subsection (a) requires WMATA to establish an Office of the 
Inspector General headed by an Inspector General for WMATA.
    Subsection (b) requires that the Inspector General be 
appointed by a majority vote of the WMATA Board of Directors 
and without regard to political affiliation and solely on the 
basis of integrity, demonstrated abilities, and experience. 
This subsection also provides that the Inspector General is to 
serve for a term of five years and can be reappointed for up to 
two additional terms. The Inspector General may only be removed 
from office before the end of his term by a unanimous vote of 
all members of the WMATA Board of Directors and the Board is 
required to communicate the reason for removal to Congress and 
state and local officials.
    Subsection (c) provides that the Inspector General will 
carry out the same duties and responsibilities as an Inspector 
General carries out under the Inspector General Act of 1978. 
The Inspector General will be responsible for conducting an 
annual audit of the financial accounts of WMATA and must 
prepare semiannual reports. The Inspector General may receive 
and investigate complaints or information from WMATA members 
and employees and must protect the identity of the person 
bringing the complaint unless there is consent or disclosure is 
unavoidable. This subsection prohibits retaliation against any 
WMATA member or employee that brings a complaint or discloses 
information to the Inspector General. This subsection prohibits 
WMATA from preventing the Inspector General from carrying out 
his duties.
    Subsection (d) provides that the Inspector General may 
exercise the same authorities with respect to WMATA as an 
Inspector General under the Inspector General Act of 1978. The 
Inspector General will appoint and set the pay for an Assistant 
Inspector General for Audits, an Assistant Inspector General 
for Investigations, and any other staff the Inspector General 
considers appropriate. This subsection preserves the 
independence of the Office of the Inspector General by 
providing that only individuals appointed or contracted by the 
Inspector General may carry out the duties of the Office. This 
subsection clarifies that Office of the Inspector General 
personnel are only subject to WMATA's appointment and pay 
regulations at the discretion of the Inspector General. This 
subsection requires the General Manager of WMATA to provide the 
Inspector General with adequate office space and maintenance 
services.
    Subsection (e) requires that to the extent any office or 
entity in WMATA carries out any of the duties and 
responsibilities assigned to the Inspector General, those 
functions be transferred to the Office of the Inspector General 
at the time the first Inspector General is appointed.

Section 4. Study and report by Comptroller General

    Subsection (a) requires the Government Accountability 
Office to conduct a study on the use of funds authorized by 
this legislation.
    Subsection (b) requires the Government Accountability 
Office to submit to Congress a report on the study conducted 
under subsection (a) within three years.

                       Explanation of Amendments

    The following amendments were adopted in Committee:
    Mr. Waxman and Mr. Davis offered an amendment, passed by 
voice vote, to establish a deadline by which WMATA must allow 
rail customers access to services offered by licensed wireless 
providers. The amendment requires WMATA to provide access to 
licensed commercial wireless services on the 20 busiest 
underground platforms--as measured by passenger traffic--not 
later than one year after enactment, and throughout the entire 
rail system not later than four years after enactment. The 
provision also requires WMATA to ensure that each licensed 
wireless provider that elects to offer service to the public 
within the rail system has ongoing access to the system in 
order to carry out emergency repairs, routine maintenance and 
upgrades.
    Mrs. Foxx offered an amendment, which passed by voice vote, 
clarifying that the authorized funding may only be used for the 
maintenance and upkeep of WMATA systems and may not be used to 
increase the mileage of the rail system. The amendment also 
struck the language in the bill stating that the authorized 
funds are to be in addition to, not in lieu of, other funding 
made available to WMATA. This has no substantive effect. This 
bill is an authorization bill and any actual funding will come 
through the appropriations process.
    Mrs. Foxx offered an amendment to offset the amount of 
funding appropriated each year under the authorization 
contained in the underlying bill with other federal transit 
grant funding. Mr. Towns raised a point of order claiming it 
was not germane because it concerned multiple provisions 
outside the jurisdiction of the Committee. The Chair sustained 
the point of order, explaining that the amendment is outside 
the scope of the bill and outside the jurisdiction of the 
Committee.
    Mr. Westmoreland offered an amendment, which passed by 
voice vote, prohibiting WMATA from receiving any funds 
authorized by the underlying bill unless WMATA certifies to the 
Secretary of Transportation that the amount of overtime 
compensation paid to any WMATA 6 employee in a pay period does 
not exceed one-third of the employee's rate of basic pay for 
that period. The Chair noted in accepting the amendment that it 
is important for the Committee to continue to review the 
amendment and to consult with WMATA on the amendment.
    Mr. Westmoreland offered an amendment, which passed by 
voice vote, providing that, to the extent it is consistent with 
collective bargaining agreements, WMATA be prohibited from 
receiving any funds authorized by the underlying bill unless 
WMATA certifies to the Secretary of Transportation that 
overtime compensation is excluded from the income used to 
calculate employee pensions. The Chair noted in accepting the 
amendment that he did so with the understanding that the 
Committee will continue to review the amendment and consult 
WMATA on how the amendment will work in practice.

                        Committee Consideration

    On Wednesday, April 18, 2007, the Committee met in open 
session and favorably ordered H.R. 401 to be reported to the 
House by a voice vote.

                             Rollcall Votes

    No rollcall votes were held.

              Application of Law to the Legislative Branch

    Section 102(b)(3) of Public Law 104-1 requires a 
description of the application of this bill to the legislative 
branch where the bill relates to terms and conditions of 
employment or access to public services and accommodations.
    H.R. 401 authorizes federal funds for the Washington 
Metropolitan Area Transit Authority and creates an Inspector 
General for the Authority. This bill does not relate to 
employment or access to public services and accommodations.

  Statement of Oversight Findings and Recommendations of the Committee

    In compliance with clause 3(c)(1) of rule XIII and clause 
(2)(b)(1) of rule X of the Rules of the House of 
Representatives, the Committee's oversight findings and 
recommendations are reflected in the descriptive portions of 
this report, including the need for federal funding to allow 
the Washington Metropolitan Area Transit Authority to make 
capital improvements and to meet critical preventive 
maintenance needs.

         Statement of General Performance Goals and Objectives

    In accordance with clause 3(c)(4) of rule XIII of the Rules 
of the House of Representatives, the Committee's performance 
goals and objectives are reflected in the descriptive portions 
of this report, including authorizing federal funding for the 
Washington Metropolitan Area Transit Authority and creating an 
inspector general for the Authority.

                   Constitutional Authority Statement

    Under clause 3(d)(1) of rule XIII of the Rules of the House 
of Representatives, the Committee must include a statement 
citing the specific powers granted to Congress to enact the law 
proposed by H.R. 401. Article I, Section 8, Clause 18 of the 
Constitution of the United States grants the Congress the power 
to enact this law.

                     Federal Advisory Committee Act

    The Committee finds that the legislation does not establish 
or authorize the establishment of an advisory committee within 
the definition of 5 U.S.C. App., Section 5(b).

                       Unfunded Mandate Statement

    Section 423 of the Congressional Budget and Impoundment 
Control Act (as amended by Section 101(a)(2) of the Unfunded 
Mandates Reform Act, P.L. 104-4) requires a statement on 
whether the provisions of the report include unfunded mandates. 
In compliance with this requirement the Committee has received 
a letter from the Congressional Budget Office included herein.

                         Earmark Identification

    H.R. 401 does not include any congressional earmarks, 
limited tax benefits, or limited tariff benefits as defined in 
clause 9(d), 9(e), or 9(f) of rule XXI.

                           Committee Estimate

    Clause 3(d)(2) of rule XIII of the Rules of the House of 
Representatives requires an estimate and a comparison by the 
Committee of the costs that would be incurred in carrying out 
H.R. 401. However, clause 3(d)(3)(B) of that rule provides that 
this requirement does not apply when the Committee has included 
in its report a timely submitted cost estimate of the bill 
prepared by the Director of the Congressional Budget Office 
under section 402 of the Congressional Budget Act.

     Budget Authority and Congressional Budget Office Cost Estimate

    With respect to the requirements of clause 3(c)(2) of rule 
XIII of the Rules of the House of Representatives and section 
308(a) of the Congressional Budget Act of 1974 and with respect 
to requirements of clause 3(c)(3) of rule XIII of the Rules of 
the House of Representatives and section 402 of the 
Congressional Budget Act of 1974, the Committee has received 
the following cost estimate for H.R. 401 from the Director of 
the Congressional Budget Office:

                                                    April 27, 2007.
Hon. Henry A. Waxman,
Chairman, Committee on Oversight and Government Reform, House of 
        Representatives Washington, DC.
    Dear Mr. Chairman: The Congressional Budget Office has 
prepared the enclosed cost estimate for H.R. 401, the National 
Capital Transportation Amendments Act of 2007.
    If you wish further details on this estimate, we will be 
pleased to provide them. The CBO staff contact is Sarah Puro.
            Sincerely,
                                                   Peter R. Orszag.
    Enclosure.

H.R. 401--National Capital Transportation Amendments Act of 2007

    Summary: H.R. 401 would authorize the appropriation of $1.5 
billion for grants to the Washington Metropolitan Area Transit 
Authority (WMATA) for capital and preventive maintenance 
projects. Assuming appropriation of the amount specified in the 
bill, CBO estimates that implementing H.R. 401 would cost $236 
million over the 2010-2012 period and an additional $1.3 
million after 2012.
    H.R. 401 contains no intergovernmental or private-sector 
mandates as defined in the Unfunded Mandates Reform Act (UMRA). 
The bill would authorize funding for WMATA activities; any 
costs to the transit authority, the District of Columbia, 
Maryland, and Virginia would result from complying with 
conditions of that federal assistance.
    Estimated cost to the Federal Government: The estimated 
budgetary impact of H.R. 401 is shown in the following table. 
The costs of this legislation fall within budget function 400 
(transportation).

------------------------------------------------------------------------
                                      By fiscal year, in millions of
                                                 dollars--
                                 ---------------------------------------
                                   2008    2009    2010    2011    2012
------------------------------------------------------------------------
              CHANGES IN SPENDING SUBJECT TO APPROPRIATION

Estimated Authorization Level...       0       0     150     150     150
Estimated Outlays...............       0       0      38      83     115
------------------------------------------------------------------------

    Basis of estimate: H.R. 401 would authorize the Secretary 
of Transportation to make grants to WMATA to cover 50 percent 
of the cost of capital and preventive maintenance projects 
listed in the Capital Improvement Program approved by the 
transit authority's board of directors. For those grants, the 
bill would authorize the appropriation of $1.5 billion to the 
Secretary. For this estimate, CBO assumes that the authorized 
amount will be appropriated in equal installments over a 10-
year period, beginning in 2010.
    Before receiving the grants, Maryland, Virginia, and the 
District of Columbia would need to amend the WMATA compact to 
add four members to the Board of Directors and to make changes 
to the operation of the Office of the Inspector General. 
Further, those entities would be required to establish funding 
sources dedicated solely to the transit authority. CBO expects 
that those requirements would delay the award of grants until 
at least 2010.
    Assuming appropriation of the $1.5 billion authorized under 
H.R. 401, CBO estimates that implementing the bill would cost 
$236 million over the 2010-2012 period and another $1,264 
million after 2012. That estimate of outlays is based on 
historical spending patterns of grants for similar capital and 
maintenance projects for mass transit systems.
    Estimated impact on state, local, and tribal governments: 
H.R. 401 contains no intergovernmental mandates as defined in 
UMRA.
    As a condition of receiving $1.5 billion over 10 years for 
certain capital and preventative maintenance projects, the bill 
would require WMATA to:
           Establish an Office of the Inspector 
        General;
           Expand the Board of Directors;
           Restrict the maximum amount of overtime pay 
        paid to any WMATA employees to one-third of their rate 
        of basic pay for the period;
           Exclude overtime pay from the retirement 
        annuity calculation for WMATA employees, and
           Insure access of rail customers to wireless 
        service.
    Also, as a condition of receiving these grants, the 
District of Columbia, Maryland, and Virginia would be required 
to earmark funds to match the federal assistance. The bill 
would restrict the use of federal funds to maintenance and 
upkeep only.
    Estimated impact on the private sector: H.R. 401 contains 
no new private-sector mandates as defined in UMRA.
    Estimate prepared by: Federal Costs: Sarah Puro. Impact on 
State, Local, and Tribal Governments: Elizabeth Cove. Impact on 
the Private Sector: Fatimot Ladipo.
    Estimate approved by: Peter H. Fontaine, Deputy Assistant 
Director for Budget Analysis.

         Changes in Existing Law Made by the Bill, as Reported

  In compliance with clause 3(e) of rule XIII of the Rules of 
the House of Representatives, changes in existing law made by 
the bill, as reported, are shown as follows (new matter is 
printed in italic and existing law in which no change is 
proposed is shown in roman):

              NATIONAL CAPITAL TRANSPORTATION ACT OF 1969

           *       *       *       *       *       *       *
   AUTHORIZATION OF ADDITIONAL FEDERAL CONTRIBUTION FOR CAPITAL AND 
                    PREVENTIVE MAINTENANCE PROJECTS

  Sec. 18. (a) Authorization.--Subject to the succeeding 
provisions of this section, the Secretary of Transportation is 
authorized to make grants to the Transit Authority, in addition 
to the contributions authorized under sections 3, 14, and 17, 
for the purpose of financing in part the capital and preventive 
maintenance projects included in the Capital Improvement 
Program approved by the Board of Directors of the Transit 
Authority.
  (b) Use of Funds.--The Federal grants made pursuant to the 
authorization under this section shall be subject to the 
following limitations and conditions:
          (1) The work for which such Federal grants are 
        authorized shall be subject to the provisions of the 
        Compact (consistent with the amendments to the Compact 
        described in subsection (d)).
          (2) Each such Federal grant shall be for 50 percent 
        of the net project cost of the project involved, and 
        shall be provided in cash from sources other than 
        Federal funds or revenues from the operation of public 
        mass transportation systems. Consistent with the terms 
        of the amendment to the Compact described in subsection 
        (d)(1), any funds so provided shall be solely from 
        undistributed cash surpluses, replacement or 
        depreciation funds or reserves available in cash, or 
        new capital.
          (3) Such Federal grants may be used only for the 
        maintenance and upkeep of the systems of the Transit 
        Authority as of the date of the enactment of the 
        National Capital Transportation Amendments Act of 2007 
        and may not be used to increase the mileage of the rail 
        system.
  (c) Applicability of Requirements For Mass Transportation 
Capital Projects Receiving Funds Under Federal Transportation 
Law.--Except as specifically provided in this section, the use 
of any amounts appropriated pursuant to the authorization under 
this section shall be subject to the requirements applicable to 
capital projects for which funds are provided under chapter 53 
of title 49, United States Code, except to the extent that the 
Secretary of Transportation determines that the requirements 
are inconsistent with the purposes of this section.
  (d) Amendments to Compact.--No amounts may be provided to the 
Transit Authority pursuant to the authorization under this 
section until the Transit Authority notifies the Secretary of 
Transportation that each of the following amendments to the 
Compact (and any further amendments which may be required to 
implement such amendments) have taken effect:
          (1)(A) An amendment requiring that all payments by 
        the local signatory governments for the Transit 
        Authority for the purpose of matching any Federal funds 
        appropriated in any given year authorized under 
        subsection (a) for the cost of operating and 
        maintaining the adopted regional system are made from 
        amounts derived from dedicated funding sources.
          (B) For purposes of this paragraph, the term 
        ``dedicated funding source'' means any source of 
        funding which is earmarked or required under State or 
        local law to be used to match Federal appropriations 
        authorized under this Act for payments to the Transit 
        Authority.
          (2) An amendment establishing the Office of the 
        Inspector General of the Transit Authority in 
        accordance with section 3 of the National Capital 
        Transportation Amendments Act of 2007.
          (3) An amendment expanding the Board of Directors of 
        the Transit Authority to include 4 additional Directors 
        appointed by the Administrator of General Services, of 
        whom 2 shall be nonvoting and 2 shall be voting, and 
        requiring one of the voting members so appointed to be 
        a regular passenger and customer of the bus or rail 
        service of the Transit Authority.
  (e) Access to Wireless Services in Metrorail System.--
          (1) Requiring transit authority to provide access to 
        service.--No amounts may be provided to the Transit 
        Authority pursuant to the authorization under this 
        section unless the Transit Authority ensures that 
        customers of the rail service of the Transit Authority 
        have access within the rail system to services provided 
        by any licensed wireless provider that notifies the 
        Transit Authority (in accordance with such procedures 
        as the Transit Authority may adopt) of its intent to 
        offer service to the public, in accordance with the 
        following timetable:
                  (A) Not later than 1 year after the date of 
                the enactment of the National Capital 
                Transportation Amendments Act of 2007, in the 
                20 underground rail station platforms with the 
                highest volume of passenger traffic.
                  (B) Not later than 4 years after such date, 
                throughout the rail system.
          (2) Access of wireless providers to system for 
        upgrades and maintenance.--No amounts may be provided 
        to the Transit Authority pursuant to the authorization 
        under this section unless the Transit Authority ensures 
        that each licensed wireless provider who provides 
        service to the public within the rail system pursuant 
        to paragraph (1) has access to the system on an ongoing 
        basis (subject to such restrictions as the Transit 
        Authority may impose to ensure that such access will 
        not unduly impact rail operations or threaten the 
        safety of customers or employees of the rail system) to 
        carry out emergency repairs, routine maintenance, and 
        upgrades to the service.
          (3) Permitting reasonable and customary charges.--
        Nothing in this subsection may be construed to prohibit 
        the Transit Authority from requiring a licensed 
        wireless provider to pay reasonable and customary 
        charges for access granted under this subsection.
          (4) Reports.--Not later than 1 year after the date of 
        the enactment of the National Capital Transportation 
        Amendments Act of 2007, and each of the 3 years 
        thereafter, the Transit Authority shall submit to the 
        Committee on Oversight and Government Reform of the 
        House of Representatives and the Committee on Homeland 
        Security and Governmental Affairs of the Senate a 
        report on the implementation of this subsection.
          (5) Definition.--In this subsection, the term 
        ``licensed wireless provider'' means any provider of 
        wireless services who is operating pursuant to a 
        Federal license to offer such services to the public 
        for profit.
  (f) Cap on Overtime Pay.--
          (1) In general.--No amounts may be provided to the 
        Transit Authority pursuant to the authorization under 
        this section unless the Transit Authority certifies to 
        the Secretary of Transportation that the amount of 
        overtime compensation paid to any employee of the 
        Transit Authority with respect to any pay period does 
        not exceed \1/3\ of the employee's rate of basic pay 
        for such period.
          (2) Effective date.--Paragraph (1) shall apply with 
        respect to pay periods beginning on or after the date 
        of the enactment of the National Capital Transportation 
        Amendments Act of 2007.
  (g) Exclusion of Overtime Pay in Calculation of Annual Salary 
Used for Determining Amount of Retirement Annuity.--
          (1) In general.--To the extent consistent with 
        collective bargaining agreements, no amounts may be 
        provided to the Transit Authority pursuant to the 
        authorization under this section unless the Transit 
        Authority certifies to the Secretary of Transportation 
        that, in determining the amount of any annuity paid to 
        an individual who is separated from employment with the 
        Transit Authority which is based in whole or in part on 
        the compensation paid to the individual during any 
        year, there shall be excluded from the determination of 
        the compensation paid to the individual during the year 
        any amounts paid as overtime compensation.
          (2) Effective date.--Paragraph (1) shall apply with 
        respect to compensation paid to an individual during 
        years beginning after the date of the enactment of the 
        National Capital Transportation Amendments Act of 2007.
  (h) Amount.--There are authorized to be appropriated to the 
Secretary of Transportation for grants under this section an 
aggregate amount not to exceed $1,500,000,000 to be available 
in increments over 10 fiscal years beginning in fiscal year 
2009, or until expended.
  (i) Availability.--Amounts appropriated pursuant to the 
authorization under this section shall remain available until 
expended.

           *       *       *       *       *       *       *

              ADDITIONAL VIEWS OF RANKING MEMBER TOM DAVIS

    These additional views are being submitted in support of 
H.R. 401, the National Capital Transportation Amendments Act of 
2007.
    This legislation would reaffirm the federal government's 
longstanding commitment to the regional bus and rail system 
critical to keeping the government open and operating 
efficiently.
    As we have discussed before, the precedent for federal 
investment in the region's rail and bus system dates back to 
1960, when President Eisenhower signed the ``National Capital 
Transportation Act,'' creating the agency responsible for 
developing a regional rail system for the Nation's Capital. 
Since that time, Congress has periodically infused the system 
with funding for construction of the original 103-mile system.
    The federal government has a vested interest in the long-
term sustainability of the Metro system. After all, 
approximately half of the system's peak ridership is composed 
of federal employees and contractors and over 50 federal 
agencies in the National Capital Region are located adjacent to 
Metro stations. These federal agencies rely on WMATA to get 
their employees to and from the workplace year-round, in all 
types of weather.
    Unlike other transit systems throughout the country, 
however, the Washington Metropolitan Area Transit Authority 
cannot generate revenues from the property adjacent to Metro 
stations because the property is disproportionately occupied by 
federal buildings, embassies and non-profit organizations. H.R. 
401 makes up for this discrepancy.
    In exchange for the reauthorization of federal funding, 
H.R. 401 would require Maryland, D.C. and Virginia to, at long 
last, develop dedicated funding sources for the Metro system. 
To address some of the management challenges facing Metro, H.R. 
401 would also establish an inspector general for the 
Washington Metropolitan Area Transit Authority to oversee its 
spending and finances, and it would add four federal members to 
WMATA's Board of Directors.
    In addition, the legislation would make cell phone service 
more available to passengers by requiring Metro to allow for 
the provision of and upgrade to commercial wireless phone 
services throughout the rail system.
    The House passed legislation similar to H.R. 401 last 
Congress but we were unable to get it through the Senate before 
time ran out. I appreciate the Chairman's commitment to moving 
this legislation in the 110th Congress.
                                                         Tom Davis.

                                  
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