### SUBCHAPTER III—INLAND WATERWAY TRANSPORTATION SYSTEM

#### **Statutory Notes and Related Subsidiaries**

#### Inland Waterways Regional Dredge Pilot Program

Pub. L. 117–263, div. H, title LXXXI, §8133, Dec. 23, 2022, 136 Stat. 3720, provided that:

"(a) In General.—The Secretary [of the Army] is authorized to establish a pilot program (referred to in this section as the 'pilot program') to conduct a multiyear demonstration program to award contracts with a duration of up to 5 years for dredging projects on inland waterways of the United States described in section 206 of the Inland Waterways Revenue Act of 1978 (33 U.S.C. 1804).

"(b) Purposes.—The purposes of the pilot program shall be to—

"(1) increase the reliability, availability, and efficiency of federally owned and federally operated inland waterways projects;

"(2) decrease operational risks across the inland waterways system; and

"(3) provide cost savings by combining work across multiple projects across different accounts of the Corps of Engineers.

"(c) Demonstration.—

"(1) In general.—The Secretary shall, to the maximum extent practicable, award contracts for projects under subsection (a) that combine work for construction and operation and maintenance.

"(2) Projects.—In awarding contracts under paragraph (1), the Secretary shall consider projects that—

"(A) improve navigation reliability on inland waterways that are accessible year-round;

"(B) increase freight capacity on inland waterways; and

"(C) have the potential to enhance the availability of containerized cargo on inland waterways.

"(d) Savings Clause.—Nothing in this section affects the responsibility of the Secretary with respect to the construction and operation and maintenance of projects on the inland waterways system.

"(e) Report to Congress.—Not later than 1 year after the date on which the first contract is awarded pursuant to the pilot program, the Secretary shall submit to the Committee on Environment and Public Works of the Senate and the Committee on Transportation and Infrastructure of the House of Representatives a report that evaluates, with respect to the pilot program and any contracts awarded under the pilot program—

"(1) cost-effectiveness;

"(2) reliability and performance;

"(3) cost savings attributable to mobilization and demobilization of dredge equipment; and

"(4) response times to address navigational impediments.

"(f) Sunset.—The authority of the Secretary to enter into contracts pursuant to the pilot program shall expire on the date that is 10 years after the date of enactment of this Act [Dec. 23, 2022]."

#### Inland Waterways Pilot Program

Pub. L. 116–260, div. AA, title I, §159, Dec. 27, 2020, 134 Stat. 2663, provided that:

"(a) Definitions.—In this section:

"(1) Authorized project.—The term 'authorized project' means a federally authorized water resources development project for navigation on the inland waterways.

"(2) Modernization activities.—The term 'modernization activities' means construction or major rehabilitation activities for any authorized project.

"(3) Non-federal interest.—The term 'non-Federal interest' means any public body described in section 221(b) of the Flood Control Act of 1970 (42 U.S.C. 1962d–5b(b)).

"(b) Authorization of Pilot Program.—The Secretary [of the Army] is authorized to carry out a pilot program for modernization activities on the inland waterways system.

"(c) Implementation.—

"(1) In general.—In carrying out the pilot program under this section, the Secretary may—

"(A) accept and expend funds provided by a non-Federal interest to carry out, for an authorized project (or a separable element of an authorized project), modernization activities for such project; or

"(B) coordinate with the non-Federal interest in order to allow the non-Federal interest to carry out, for an authorized project (or a separable element of an authorized project), such modernization activities.

"(2) Number.—The Secretary shall select not more than 2 authorized projects to participate in the pilot program under paragraph (1).

"(3) Conditions.—Before carrying out modernization activities pursuant to paragraph (1)(B), a non-Federal interest shall—

"(A) obtain any permit or approval required in connection with such activities under Federal or State law that would be required if the Secretary were to carry out such activities; and

"(B) ensure that a final environmental impact statement or environmental assessment, as appropriate, for such activities has been filed pursuant to the National Environmental Policy Act of 1969 [42 U.S.C. 4321 et seq.].

"(4) Monitoring.—For any modernization activities carried out by the non-Federal interest pursuant to this section, the Secretary shall regularly monitor and audit such activities to ensure that—

"(A) the modernization activities are carried out in accordance with this section; and

"(B) the cost of the modernization activities is reasonable.

"(5) Requirements.—The requirements of section 3142 of title 40, United States Code[,] shall apply to any modernization activities undertaken under or pursuant to this section, either by the Secretary or the non-Federal interest.

"(d) Agreements.—

"(1) Activities carried out by non-federal interest.—

"(A) In general.—

"(i) Written agreement.—Before a non-Federal interest initiates modernization activities for an authorized project pursuant to this subsection (c)(1)(B), the non-Federal interest shall enter into a written agreement with the Secretary, under section 221 of the Flood Control Act of 1970 (42 U.S.C. 1962d–5b), that requires the modernization activities to be carried out in accordance with—

"(I) a plan approved by the Secretary; and

"(II) any other terms and conditions specified by the Secretary in the agreement.

"(ii) Requirements.—A written agreement under clause (i) shall provide that the non-Federal interest shall comply with the same legal and technical requirements that would apply if the modernization activities were carried out by the Secretary, including all mitigation required to offset environmental impacts of the activities, as determined by the Secretary.

"(B) Alignment with ongoing activities.—A written agreement under subparagraph (A) shall include provisions that, to the maximum extent practicable, align modernization activities under this section with ongoing operations and maintenance activities for the applicable authorized project.

"(C) Indemnification.—As part of a written agreement under subparagraph (A), the non-Federal interest shall agree to hold and save the United States free from liability for any and all damage that arises from the modernization activities carried out by the non-Federal interest pursuant to this section.

"(2) Activities carried out by secretary.—For modernization activities to be carried out by the Secretary pursuant to subsection (c)(1)(A), the non-Federal interest shall enter into a written agreement with the Secretary, containing such terms and conditions as the Secretary determines appropriate.

"(e) Reimbursement.—

"(1) Authorization.—Subject to the availability of appropriations, the Secretary may reimburse a non-Federal interest for the costs of modernization activities carried out by the non-Federal interest pursuant to an agreement entered into under subsection (d), or for funds provided to the Secretary under subsection (c)(1)(A), if—

"(A) the non-Federal interest complies with the agreement entered into under subsection (d); and

"(B) with respect to modernization activities carried out by the non-Federal interest pursuant to the agreement, the Secretary determines that the non-Federal interest complied with all applicable Federal requirements in carrying out the modernization activities.

"(2) Limitation.—The Secretary may only reimburse a non-Federal interest under paragraph (1) for costs of construction that would otherwise be paid from amounts appropriated from the general fund of the Treasury pursuant to section 102 of the Water Resources Development Act of 1986 (33 U.S.C. 2212).

"(f) Rule of Construction.—Nothing in this section—

"(1) affects the responsibility of the Secretary for the operations and maintenance of the inland waterway system, as of the day before the date of enactment of this Act [Dec. 27, 2020], including the responsibility of the Secretary for the operations and maintenance costs for any covered project after the modernization activities are completed pursuant to this section;

"(2) prohibits or prevents the use of Federal funds for operations and maintenance of the inland waterway system or any authorized project within the inland waterway system; or

"(3) prohibits or prevents the use of Federal funds for construction or major rehabilitation activities within the inland waterway system or for any authorized project within the inland waterway system.

"(g) Notification.—If a non-Federal interest notifies the Secretary that the non-Federal interest intends to carry out modernization activities for an authorized project, or separable element thereof, pursuant to this section, the Secretary shall provide written notice to the Committee on Environment and Public Works of the Senate and the Committee on Transportation and Infrastructure of the House of Representatives concerning the intent of the non-Federal interest.

"(h) Sunset.—

"(1) In general.—The authority of the Secretary to enter into an agreement under this section shall terminate on the date that is 5 years after the date of enactment of this Act.

"(2) Reimbursement eligibility.—The termination of authority under paragraph (1) shall not extinguish the eligibility of a non-Federal interest to seek reimbursement under subsection (e)."