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[Congressional Bills 112th Congress]
[From the U.S. Government Publishing Office]
[H.R. 4348 Enrolled Bill (ENR)]

        H.R.4348

                      One Hundred Twelfth Congress

                                 of the

                        United States of America

                          AT THE SECOND SESSION

          Begun and held at the City of Washington on Tuesday,
            the third day of January, two thousand and twelve

                                 An Act

 
 To authorize funds for Federal-aid highways, highway safety programs, 
              and transit programs, and for other purposes.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,
SECTION 1. SHORT TITLE; ORGANIZATION OF ACT INTO DIVISIONS; TABLE OF 
CONTENTS.
    (a) Short Title.--This Act may be cited as the ``Moving Ahead for 
Progress in the 21st Century Act'' or the ``MAP-21''.
    (b) Divisions.--This Act is organized into 8 divisions as follows:
        (1) Division A-Federal-aid Highways and Highway Safety 
    Construction Programs.
        (2) Division B-Public Transportation.
        (3) Division C-Transportation Safety and Surface Transportation 
    Policy.
        (4) Division D-Finance.
        (5) Division E-Research and Education.
        (6) Division F-Miscellaneous.
        (7) Division G-Surface Transportation Extension.
        (8) Division H-Budgetary Effects.
    (c) Table of Contents.--The table of contents for this Act is as 
follows:

Sec. 1. Short title; organization of Act into divisions; table of 
          contents.
Sec. 2. Definitions.
Sec. 3. Effective date.

    DIVISION A--FEDERAL-AID HIGHWAYS AND HIGHWAY SAFETY CONSTRUCTION 
                                PROGRAMS

                      TITLE I--FEDERAL-AID HIGHWAYS

                 Subtitle A--Authorizations and Programs

Sec. 1101. Authorization of appropriations.
Sec. 1102. Obligation ceiling.
Sec. 1103. Definitions.
Sec. 1104. National Highway System.
Sec. 1105. Apportionment.
Sec. 1106. National highway performance program.
Sec. 1107. Emergency relief.
Sec. 1108. Surface transportation program.
Sec. 1109. Workforce development.
Sec. 1110. Highway use tax evasion projects.
Sec. 1111. National bridge and tunnel inventory and inspection 
          standards.
Sec. 1112. Highway safety improvement program.
Sec. 1113. Congestion mitigation and air quality improvement program.
Sec. 1114. Territorial and Puerto Rico highway program.
Sec. 1115. National freight policy.
Sec. 1116. Prioritization of projects to improve freight movement.
Sec. 1117. State freight advisory committees.
Sec. 1118. State freight plans.
Sec. 1119. Federal lands and tribal transportation programs.
Sec. 1120. Projects of national and regional significance.
Sec. 1121. Construction of ferry boats and ferry terminal facilities.
Sec. 1122. Transportation alternatives.
Sec. 1123. Tribal high priority projects program.

                   Subtitle B--Performance Management

Sec. 1201. Metropolitan transportation planning.
Sec. 1202. Statewide and nonmetropolitan transportation planning.
Sec. 1203. National goals and performance management measures.

              Subtitle C--Acceleration of Project Delivery

Sec. 1301. Declaration of policy and project delivery initiative.
Sec. 1302. Advance acquisition of real property interests.
Sec. 1303. Letting of contracts.
Sec. 1304. Innovative project delivery methods.
Sec. 1305. Efficient environmental reviews for project decisionmaking.
Sec. 1306. Accelerated decisionmaking.
Sec. 1307. Assistance to affected Federal and State agencies.
Sec. 1308. Limitations on claims.
Sec. 1309. Accelerating completion of complex projects within 4 years.
Sec. 1310. Integration of planning and environmental review.
Sec. 1311. Development of programmatic mitigation plans.
Sec. 1312. State assumption of responsibility for categorical 
          exclusions.
Sec. 1313. Surface transportation project delivery program.
Sec. 1314. Application of categorical exclusions for multimodal 
          projects.
Sec. 1315. Categorical exclusions in emergencies.
Sec. 1316. Categorical exclusions for projects within the right-of-way.
Sec. 1317. Categorical exclusion for projects of limited Federal 
          assistance.
Sec. 1318. Programmatic agreements and additional categorical 
          exclusions.
Sec. 1319. Accelerated decisionmaking in environmental reviews.
Sec. 1320. Memoranda of agency agreements for early coordination.
Sec. 1321. Environmental procedures initiative.
Sec. 1322. Review of State environmental reviews and approvals for the 
          purpose of eliminating duplication of environmental reviews.
Sec. 1323. Review of Federal project and program delivery.

                       Subtitle D--Highway Safety

Sec. 1401. Jason's law.
Sec. 1402. Open container requirements.
Sec. 1403. Minimum penalties for repeat offenders for driving while 
          intoxicated or driving under the influence.
Sec. 1404. Adjustments to penalty provisions.
Sec. 1405. Highway worker safety.

                        Subtitle E--Miscellaneous

Sec. 1501. Real-time ridesharing.
Sec. 1502. Program efficiencies.
Sec. 1503. Project approval and oversight.
Sec. 1504. Standards.
Sec. 1505. Justification reports for access points on the Interstate 
          System.
Sec. 1506. Construction.
Sec. 1507. Maintenance.
Sec. 1508. Federal share payable.
Sec. 1509. Transferability of Federal-aid highway funds.
Sec. 1510. Idle reduction technology.
Sec. 1511. Special permits during periods of national emergency.
Sec. 1512. Tolling.
Sec. 1513. Miscellaneous parking amendments.
Sec. 1514. HOV facilities.
Sec. 1515. Funding flexibility for transportation emergencies.
Sec. 1516. Defense access road program enhancements to address 
          transportation infrastructure in the vicinity of military 
          installations.
Sec. 1517. Mapping.
Sec. 1518. Buy America provisions.
Sec. 1519. Consolidation of programs; repeal of obsolete provisions.
Sec. 1520. Denali Commission.
Sec. 1521. Uniform Relocation Assistance and Real Property Acquisition 
          Policies Act of 1970 amendments.
Sec. 1522. Extension of public transit vehicle exemption from axle 
          weight restrictions.
Sec. 1523. Use of debris from demolished bridges and overpasses.
Sec. 1524. Use of youth service and conservation corps.
Sec. 1525. State autonomy for culvert pipe selection.
Sec. 1526. Evacuation routes.
Sec. 1527. Consolidation of grants.
Sec. 1528. Appalachian development highway system.
Sec. 1529. Engineering judgment.
Sec. 1530. Transportation training and employment programs.
Sec. 1531. Notice of certain grant awards.
Sec. 1532. Budget justification.
Sec. 1533. Prohibition on use of funds for automated traffic 
          enforcement.
Sec. 1534. Public-private partnerships.
Sec. 1535. Report on Highway Trust Fund expenditures.
Sec. 1536. Sense of Congress on harbor maintenance.
Sec. 1537. Estimate of harbor maintenance needs.
Sec. 1538. Asian carp.
Sec. 1539. Rest areas.

                   Subtitle F--Gulf Coast Restoration

Sec. 1601. Short title.
Sec. 1602. Gulf Coast Restoration Trust Fund.
Sec. 1603. Gulf Coast natural resources restoration and economic 
          recovery.
Sec. 1604. Gulf Coast Ecosystem Restoration Science, Observation, 
          Monitoring, and Technology program.
Sec. 1605. Centers of excellence research grants.
Sec. 1606. Effect.
Sec. 1607. Restoration and protection activity limitations.
Sec. 1608. Inspector General.

           TITLE II--AMERICA FAST FORWARD FINANCING INNOVATION

Sec. 2001. Short title.
Sec. 2002. Transportation Infrastructure Finance and Innovation Act of 
          1998 amendments.

                    DIVISION B--PUBLIC TRANSPORTATION

Sec. 20001. Short title.
Sec. 20002. Repeals.
Sec. 20003. Policies and purposes.
Sec. 20004. Definitions.
Sec. 20005. Metropolitan transportation planning.
Sec. 20006. Statewide and nonmetropolitan transportation planning.
Sec. 20007. Urbanized area formula grants.
Sec. 20008. Fixed guideway capital investment grants.
Sec. 20009. Mobility of seniors and individuals with disabilities.
Sec. 20010. Formula grants for rural areas.
Sec. 20011. Research, development, demonstration, and deployment 
          projects.
Sec. 20012. Technical assistance and standards development.
Sec. 20013. Private sector participation.
Sec. 20014. Bus testing facilities.
Sec. 20015. Human resources and training.
Sec. 20016. General provisions.
Sec. 20017. Public Transportation Emergency Relief Program.
Sec. 20018. Contract requirements.
Sec. 20019. Transit asset management.
Sec. 20020. Project management oversight.
Sec. 20021. Public transportation safety.
Sec. 20022. Alcohol and controlled substances testing.
Sec. 20023. Nondiscrimination.
Sec. 20024. Administrative provisions.
Sec. 20025. National transit database.
Sec. 20026. Apportionment of appropriations for formula grants.
Sec. 20027. State of good repair grants.
Sec. 20028. Authorizations.
Sec. 20029. Bus and bus facilities formula grants.
Sec. 20030. Technical and conforming amendments.

   DIVISION C--TRANSPORTATION SAFETY AND SURFACE TRANSPORTATION POLICY

    TITLE I--MOTOR VEHICLE AND HIGHWAY SAFETY IMPROVEMENT ACT OF 2012

Sec. 31001. Short title.
Sec. 31002. Definition.

                       Subtitle A--Highway Safety

Sec. 31101. Authorization of appropriations.
Sec. 31102. Highway safety programs.
Sec. 31103. Highway safety research and development.
Sec. 31104. National driver register.
Sec. 31105. National priority safety programs.
Sec. 31106. High visibility enforcement program.
Sec. 31107. Agency accountability.
Sec. 31108. Emergency medical services.
Sec. 31109. Repeal of programs.

                 Subtitle B--Enhanced Safety Authorities

Sec. 31201. Definition of motor vehicle equipment.
Sec. 31202. Permit reminder system for non-use of safety belts.
Sec. 31203. Civil penalties.
Sec. 31204. Motor vehicle safety research and development.
Sec. 31205. Odometer requirements.
Sec. 31206. Increased penalties and damages for odometer fraud.
Sec. 31207. Extend prohibitions on importing noncompliant vehicles and 
          equipment to defective vehicles and equipment.
Sec. 31208. Conditions on importation of vehicles and equipment.
Sec. 31209. Port inspections; samples for examination or testing.

               Subtitle C--Transparency and Accountability

Sec. 31301. Public availability of recall information.
Sec. 31302. National Highway Traffic Safety Administration outreach to 
          manufacturer, dealer, and mechanic personnel.
Sec. 31303. Public availability of communications to dealers.
Sec. 31304. Corporate responsibility for National Highway Traffic Safety 
          Administration reports.
Sec. 31305. Passenger motor vehicle information program.
Sec. 31306. Promotion of vehicle defect reporting.
Sec. 31307. Whistleblower protections for motor vehicle manufacturers, 
          part suppliers, and dealership employees.
Sec. 31308. Anti-revolving door.
Sec. 31309. Study of crash data collection.
Sec. 31310. Update means of providing notification; improving efficacy 
          of recalls.
Sec. 31311. Expanding choices of remedy available to manufacturers of 
          replacement equipment.
Sec. 31312. Recall obligations and bankruptcy of manufacturer.
Sec. 31313. Repeal of insurance reports and information provision.
Sec. 31314. Monroney sticker to permit additional safety rating 
          categories.

          Subtitle D--Vehicle Electronics and Safety Standards

Sec. 31401. National Highway Traffic Safety Administration electronics, 
          software, and engineering expertise.
Sec. 31402. Electronic systems performance.

                   Subtitle E--Child Safety Standards

Sec. 31501. Child safety seats.
Sec. 31502. Child restraint anchorage systems.
Sec. 31503. Rear seat belt reminders.
Sec. 31504. Unattended passenger reminders.
Sec. 31505. New deadline.

 Subtitle F--Improved Daytime and Nighttime Visibility of Agricultural 
                                Equipment

Sec. 31601. Rulemaking on visibility of agricultural equipment.

    TITLE II--COMMERCIAL MOTOR VEHICLE SAFETY ENHANCEMENT ACT OF 2012

Sec. 32001. Short title.
Sec. 32002. References to title 49, United States Code.

            Subtitle A--Commercial Motor Vehicle Registration

Sec. 32101. Registration of motor carriers.
Sec. 32102. Safety fitness of new operators.
Sec. 32103. Reincarnated carriers.
Sec. 32104. Financial responsibility requirements.
Sec. 32105. USDOT number registration requirement.
Sec. 32106. Registration fee system.
Sec. 32107. Registration update.
Sec. 32108. Increased penalties for operating without registration.
Sec. 32109. Revocation of registration for imminent hazard.
Sec. 32110. Revocation of registration and other penalties for failure 
          to respond to subpoena.
Sec. 32111. Fleetwide out of service order for operating without 
          required registration.
Sec. 32112. Motor carrier and officer patterns of safety violations.

               Subtitle B--Commercial Motor Vehicle Safety

Sec. 32201. Crashworthiness standards.
Sec. 32202. Canadian safety rating reciprocity.
Sec. 32203. State reporting of foreign commercial driver convictions.
Sec. 32204. Authority to disqualify foreign commercial drivers.
Sec. 32205. Revocation of foreign motor carrier operating authority for 
          failure to pay civil penalties.
Sec. 32206. Rental truck accident study.

                        Subtitle C--Driver Safety

Sec. 32301. Hours of service study and electronic logging devices.
Sec. 32302. Driver medical qualifications.
Sec. 32303. Commercial driver's license notification system.
Sec. 32304. Commercial motor vehicle operator training.
Sec. 32305. Commercial driver's license program.
Sec. 32306. Commercial motor vehicle driver information systems.
Sec. 32307. Employer responsibilities.
Sec. 32308. Program to assist Veterans to acquire commercial driver's 
          licenses.

                   Subtitle D--Safe Roads Act of 2012

Sec. 32401. Short title.
Sec. 32402. National clearinghouse for controlled substance and alcohol 
          test results of commercial motor vehicle operators.

                         Subtitle E--Enforcement

Sec. 32501. Inspection demand and display of credentials.
Sec. 32502. Out of service penalty for denial of access to records.
Sec. 32503. Penalties for violation of operation out of service orders.
Sec. 32504. Impoundment and immobilization of commercial motor vehicles 
          for imminent hazard.
Sec. 32505. Increased penalties for evasion of regulations.
Sec. 32506. Violations relating to commercial motor vehicle safety 
          regulation and operators.
Sec. 32507. Emergency disqualification for imminent hazard.
Sec. 32508. Disclosure to State and local law enforcement agencies.
Sec. 32509. Grade crossing safety regulations.

             Subtitle F--Compliance, Safety, Accountability

Sec. 32601. Motor carrier safety assistance program.
Sec. 32602. Performance and registration information systems management 
          program.
Sec. 32603. Authorization of appropriations.
Sec. 32604. Grants for commercial driver's license program 
          implementation.
Sec. 32605. Commercial vehicle information systems and networks.

           Subtitle G--Motorcoach Enhanced Safety Act of 2012

Sec. 32701. Short title.
Sec. 32702. Definitions.
Sec. 32703. Regulations for improved occupant protection, passenger 
          evacuation, and crash avoidance.
Sec. 32704. Fire prevention and mitigation.
Sec. 32705. Occupant protection, collision avoidance, fire causation, 
          and fire extinguisher research and testing.
Sec. 32706. Concurrence of research and rulemaking.
Sec. 32707. Improved oversight of motorcoach service providers.
Sec. 32708. Report on feasibility, benefits, and costs of establishing a 
          system of certification of training programs.
Sec. 32709. Commercial driver's license passenger endorsement 
          requirements.
Sec. 32710. Safety inspection program for commercial motor vehicles of 
          passengers.
Sec. 32711. Regulations.

        Subtitle H--Safe Highways and Infrastructure Preservation

Sec. 32801. Comprehensive truck size and weight limits study.
Sec. 32802. Compilation of existing State truck size and weight limit 
          laws.

                        Subtitle I--Miscellaneous

                          PART I--Miscellaneous

Sec. 32911. Prohibition of coercion.
Sec. 32912. Motor carrier safety advisory committee.
Sec. 32913. Waivers, exemptions, and pilot programs.
Sec. 32914. Registration requirements.
Sec. 32915. Additional motor carrier registration requirements.
Sec. 32916. Registration of freight forwarders and brokers.
Sec. 32917. Effective periods of registration.
Sec. 32918. Financial security of brokers and freight forwarders.
Sec. 32919. Unlawful brokerage activities.

                 PART II--Household Goods Transportation

Sec. 32921. Additional registration requirements for household goods 
          motor carriers.
Sec. 32922. Failure to give up possession of household goods.
Sec. 32923. Settlement authority.

                     PART III--Technical Amendments

Sec. 32931. Update of obsolete text.
Sec. 32932. Correction of interstate commerce commission references.
Sec. 32933. Technical and conforming amendments.
Sec. 32934. Exemptions from requirements for covered farm vehicles.

TITLE III--HAZARDOUS MATERIALS TRANSPORTATION SAFETY IMPROVEMENT ACT OF 
                                  2012

Sec. 33001. Short title.
Sec. 33002. Definition.
Sec. 33003. References to title 49, United States Code.
Sec. 33004. Training for emergency responders.
Sec. 33005. Paperless Hazard Communications Pilot Program.
Sec. 33006. Improving data collection, analysis, and reporting.
Sec. 33007. Hazardous material technical assessment, research and 
          development, and analysis program.
Sec. 33008. Hazardous Material Enforcement Training.
Sec. 33009. Inspections.
Sec. 33010. Civil penalties.
Sec. 33011. Reporting of fees.
Sec. 33012. Special permits, approvals, and exclusions.
Sec. 33013. Highway routing disclosures.
Sec. 33014. Motor carrier safety permits.
Sec. 33015. Wetlines.
Sec. 33016. Hazmat employee training requirements and grants.
Sec. 33017. Authorization of appropriations.

TITLE IV--SPORT FISH RESTORATION AND RECREATIONAL BOATING SAFETY ACT OF 
                                  2012

Sec. 34001. Short title.
Sec. 34002. Amendment of Federal Aid in Sport Fish Restoration Act.

                         TITLE V--MISCELLANEOUS

Sec. 35001. Overflights in Grand Canyon National Park.
Sec. 35002. Commercial air tour operations.
Sec. 35003. Qualifications for public aircraft status.

                           DIVISION D--FINANCE

Sec. 40001. Short title.

   TITLE I--EXTENSION OF HIGHWAY TRUST FUND EXPENDITURE AUTHORITY AND 
                              RELATED TAXES

Sec. 40101. Extension of trust fund expenditure authority.
Sec. 40102. Extension of highway-related taxes.

                      TITLE II--REVENUE PROVISIONS

         Subtitle A--Leaking Underground Storage Tank Trust Fund

Sec. 40201. Transfer from Leaking Underground Storage Tank Trust Fund to 
          Highway Trust Fund.

                     Subtitle B--Pension Provisions

                  PART I--Pension Funding Stabilization

Sec. 40211. Pension funding stabilization.

                         PART II--PBGC Premiums

Sec. 40221. Single employer plan annual premium rates.
Sec. 40222. Multiemployer annual premium rates.

                     PART III--Improvements of PBGC

Sec. 40231. Pension Benefit Guaranty Corporation Governance Improvement.
Sec. 40232. Participant and plan sponsor advocate.
Sec. 40233. Quality control procedures for the Pension Benefit Guaranty 
          Corporation.
Sec. 40234. Line of credit repeal.

               PART IV--Transfers of Excess Pension Assets

Sec. 40241. Extension for transfers of excess pension assets to retiree 
          health accounts.
Sec. 40242. Transfer of excess pension assets to retiree group term life 
          insurance accounts.

         Subtitle C--Additional Transfers to Highway Trust Fund

Sec. 40251. Additional transfers to Highway Trust Fund.

                   DIVISION E--RESEARCH AND EDUCATION

Sec. 50001. Short title.

                            TITLE I--FUNDING

Sec. 51001. Authorization of appropriations.

              TITLE II--RESEARCH, TECHNOLOGY, AND EDUCATION

Sec. 52001. Research, technology, and education.
Sec. 52002. Surface transportation research, development, and 
          technology.
Sec. 52003. Research and technology development and deployment.
Sec. 52004. Training and education.
Sec. 52005. State planning and research.
Sec. 52006. International highway transportation program.
Sec. 52007. Surface transportation environmental cooperative research 
          program.
Sec. 52008. National cooperative freight research.
Sec. 52009. University transportation centers program.
Sec. 52010. University transportation research.
Sec. 52011. Bureau of Transportation Statistics.
Sec. 52012. Administrative authority.
Sec. 52013. Transportation research and development strategic planning.

         TITLE III--INTELLIGENT TRANSPORTATION SYSTEMS RESEARCH

Sec. 53001. Use of funds for ITS activities.
Sec. 53002. Goals and purposes.
Sec. 53003. General authorities and requirements.
Sec. 53004. Research and development.
Sec. 53005. National architecture and standards.
Sec. 53006. Vehicle-to-vehicle and vehicle-to-infrastructure 
          communications systems deployment.

                        DIVISION F--MISCELLANEOUS

              TITLE I--REAUTHORIZATION OF CERTAIN PROGRAMS

   Subtitle A--Secure Rural Schools and Community Self-determination 
                                 Program

Sec. 100101. Secure Rural Schools and Community Self-Determination 
          Program.

              Subtitle B--Payment in Lieu of Taxes Program

Sec. 100111. Payments in lieu of taxes.

                           Subtitle C--Offsets

Sec. 100121. Phased retirement authority.
Sec. 100122. Roll-your-own cigarette machines.
Sec. 100123. Change in FMAP increase for disaster recovery states.
Sec. 100124. Repeals.
Sec. 100125. Limitation on payments from the Abandoned Mine Reclamation 
          Fund.

                        TITLE II--FLOOD INSURANCE

          Subtitle A--Flood Insurance Reform and Modernization

Sec. 100201. Short title.
Sec. 100202. Definitions.
Sec. 100203. Extension of National Flood Insurance Program.
Sec. 100204. Availability of insurance for multifamily properties.
Sec. 100205. Reform of premium rate structure.
Sec. 100207. Premium adjustment.
Sec. 100208. Enforcement.
Sec. 100209. Escrow of flood insurance payments.
Sec. 100210. Minimum deductibles for claims under the National Flood 
          Insurance Program.
Sec. 100211. Considerations in determining chargeable premium rates.
Sec. 100212. Reserve fund.
Sec. 100213. Repayment plan for borrowing authority.
Sec. 100214. Payment of condominium claims.
Sec. 100215. Technical mapping advisory council.
Sec. 100216. National flood mapping program.
Sec. 100217. Scope of appeals.
Sec. 100218. Scientific Resolution Panel.
Sec. 100219. Removal of limitation on State contributions for updating 
          flood maps.
Sec. 100220. Coordination.
Sec. 100221. Interagency coordination study.
Sec. 100222. Notice of flood insurance availability under RESPA.
Sec. 100223. Participation in State disaster claims mediation programs.
Sec. 100224. Oversight and expense reimbursements of insurance 
          companies.
Sec. 100225. Mitigation.
Sec. 100226. Flood Protection Structure Accreditation Task Force.
Sec. 100227. Flood in progress determinations.
Sec. 100228. Clarification of residential and commercial coverage 
          limits.
Sec. 100229. Local data requirement.
Sec. 100230. Eligibility for flood insurance for persons residing in 
          communities that have made adequate progress on the 
          reconstruction or improvement of a flood protection system.
Sec. 100231. Studies and reports.
Sec. 100232. Reinsurance.
Sec. 100233. GAO study on business interruption and additional living 
          expenses coverages.
Sec. 100234. Policy disclosures.
Sec. 100235. Report on inclusion of building codes in floodplain 
          management criteria.
Sec. 100236. Study of participation and affordability for certain 
          policyholders.
Sec. 100237. Study and report concerning the participation of Indian 
          tribes and members of Indian tribes in the National Flood 
          Insurance Program.
Sec. 100238. Technical corrections.
Sec. 100239. Use of private insurance to satisfy mandatory purchase 
          requirement.
Sec. 100240. Levees constructed on certain properties.
Sec. 100241. Insurance coverage for private properties affected by 
          flooding from Federal lands.
Sec. 100242. Permissible land use under Federal flood insurance plan.
Sec. 100243. CDBG eligibility for flood insurance outreach activities 
          and community building code administration grants.
Sec. 100244. Termination of force-placed insurance.
Sec. 100245. FEMA authority on transfer of policies.
Sec. 100246. Reimbursement of certain expenses.
Sec. 100247. FIO study on risks, hazards, and insurance.
Sec. 100248. Flood protection improvements constructed on certain 
          properties.
Sec. 100249. No cause of action.

                 Subtitle B--Alternative Loss Allocation

Sec. 100251. Short title.
Sec. 100252. Assessing and modeling named storms over coastal States.
Sec. 100253. Alternative loss allocation system for indeterminate 
          claims.

                    Subtitle C--HEARTH Act Amendment

Sec. 100261. HEARTH Act technical corrections.

             TITLE III--STUDENT LOAN INTEREST RATE EXTENSION

Sec. 100301. Federal Direct Stafford Loan interest rate extension.
Sec. 100302. Eligibility for, and interest charges on, Federal Direct 
          Stafford Loans for new borrowers on or after July 1, 2013.

              DIVISION G--SURFACE TRANSPORTATION EXTENSION

Sec. 110001. Short title.

                      TITLE I--FEDERAL-AID HIGHWAYS

Sec. 111001. Extension of Federal-aid highway programs.

             TITLE II--EXTENSION OF HIGHWAY SAFETY PROGRAMS

Sec. 112001. Extension of National Highway Traffic Safety Administration 
          highway safety programs.
Sec. 112002. Extension of Federal Motor Carrier Safety Administration 
          programs.
Sec. 112003. Additional programs.

                TITLE III--PUBLIC TRANSPORTATION PROGRAMS

Sec. 113001. Allocation of funds for planning programs.
Sec. 113002. Special rule for urbanized area formula grants.
Sec. 113003. Allocating amounts for capital investment grants.
Sec. 113004. Apportionment of formula grants for other than urbanized 
          areas.
Sec. 113005. Apportionment based on fixed guideway factors.
Sec. 113006. Authorizations for public transportation.
Sec. 113007. Amendments to SAFETEA-LU.

                        TITLE IV--EFFECTIVE DATE

Sec. 114001. Effective date.

                      DIVISION H--BUDGETARY EFFECTS

Sec. 120001. Budgetary effects.
SEC. 2. DEFINITIONS.
    In this Act, the following definitions apply:
        (1) Department.--The term ``Department'' means the Department 
    of Transportation.
        (2) Secretary.--The term ``Secretary'' means the Secretary of 
    Transportation.
SEC. 3. EFFECTIVE DATE.
    (a) In General.--Except as otherwise provided, divisions A, B, C 
(other than sections 32603(d), 32603(g), 32912, and 34002 of that 
division) and E, including the amendments made by those divisions, take 
effect on October 1, 2012.
    (b) References.--Except as otherwise provided, any reference to the 
date of enactment of the MAP-21 or to the date of enactment of the 
Federal Public Transportation Act of 2012 in the divisions described in 
subsection (a) or in an amendment made by those divisions shall be 
deemed to be a reference to the effective date of those divisions.

   DIVISION A--FEDERAL-AID HIGHWAYS AND HIGHWAY SAFETY CONSTRUCTION 
                                PROGRAMS
                     TITLE I--FEDERAL-AID HIGHWAYS
                Subtitle A--Authorizations and Programs

SEC. 1101. AUTHORIZATION OF APPROPRIATIONS.
    (a) In General.--The following sums are authorized to be 
appropriated out of the Highway Trust Fund (other than the Mass Transit 
Account):
        (1) Federal-aid highway program.--For the national highway 
    performance program under section 119 of title 23, United States 
    Code, the surface transportation program under section 133 of that 
    title, the highway safety improvement program under section 148 of 
    that title, the congestion mitigation and air quality improvement 
    program under section 149 of that title, and to carry out section 
    134 of that title--
            (A) $37,476,819,674 for fiscal year 2013; and
            (B) $37,798,000,000 for fiscal year 2014.
        (2) Transportation infrastructure finance and innovation 
    program.--For credit assistance under the transportation 
    infrastructure finance and innovation program under chapter 6 of 
    title 23, United States Code--
            (A) $750,000,000 for fiscal year 2013; and
            (B) $1,000,000,000 for fiscal year 2014.
        (3) Federal lands and tribal transportation programs.--
            (A) Tribal transportation program.--For the tribal 
        transportation program under section 202 of title 23, United 
        States Code, $450,000,000 for each of fiscal years 2013 and 
        2014.
            (B) Federal lands transportation program.--For the Federal 
        lands transportation program under section 203 of title 23, 
        United States Code, $300,000,000 for each of fiscal years 2013 
        and 2014, of which $240,000,000 of the amount made available 
        for each fiscal year shall be the amount for the National Park 
        Service and $30,000,000 of the amount made available for each 
        fiscal year shall be the amount for the United States Fish and 
        Wildlife Service.
            (C) Federal lands access program.--For the Federal lands 
        access program under section 204 of title 23, United States 
        Code, $250,000,000 for each of fiscal years 2013 and 2014.
        (4) Territorial and puerto rico highway program.--For the 
    territorial and Puerto Rico highway program under section 165 of 
    title 23, United States Code, $190,000,000 for each of fiscal years 
    2013 and 2014.
    (b) Disadvantaged Business Enterprises.--
        (1) Findings.--Congress finds that--
            (A) while significant progress has occurred due to the 
        establishment of the disadvantaged business enterprise program, 
        discrimination and related barriers continue to pose 
        significant obstacles for minority- and women-owned businesses 
        seeking to do business in federally-assisted surface 
        transportation markets across the United States;
            (B) the continuing barriers described in subparagraph (A) 
        merit the continuation of the disadvantaged business enterprise 
        program;
            (C) Congress has received and reviewed testimony and 
        documentation of race and gender discrimination from numerous 
        sources, including congressional hearings and roundtables, 
        scientific reports, reports issued by public and private 
        agencies, news stories, reports of discrimination by 
        organizations and individuals, and discrimination lawsuits, 
        which show that race- and gender-neutral efforts alone are 
        insufficient to address the problem;
            (D) the testimony and documentation described in 
        subparagraph (C) demonstrate that discrimination across the 
        United States poses a barrier to full and fair participation in 
        surface transportation-related businesses of women business 
        owners and minority business owners and has impacted firm 
        development and many aspects of surface transportation-related 
        business in the public and private markets; and
            (E) the testimony and documentation described in 
        subparagraph (C) provide a strong basis that there is a 
        compelling need for the continuation of the disadvantaged 
        business enterprise program to address race and gender 
        discrimination in surface transportation-related business.
        (2) Definitions.--In this subsection, the following definitions 
    apply:
            (A) Small business concern.--
                (i) In general.--The term ``small business concern'' 
            means a small business concern (as the term is used in 
            section 3 of the Small Business Act (15 U.S.C. 632)).
                (ii) Exclusions.--The term ``small business concern'' 
            does not include any concern or group of concerns 
            controlled by the same socially and economically 
            disadvantaged individual or individuals that have average 
            annual gross receipts during the preceding 3 fiscal years 
            in excess of $22,410,000, as adjusted annually by the 
            Secretary for inflation.
            (B) Socially and economically disadvantaged individuals.--
        The term ``socially and economically disadvantaged 
        individuals'' has the meaning given the term in section 8(d) of 
        the Small Business Act (15 U.S.C. 637(d)) and relevant 
        subcontracting regulations issued pursuant to that Act, except 
        that women shall be presumed to be socially and economically 
        disadvantaged individuals for purposes of this subsection.
        (3) Amounts for small business concerns.--Except to the extent 
    that the Secretary determines otherwise, not less than 10 percent 
    of the amounts made available for any program under divisions A and 
    B of this Act and section 403 of title 23, United States Code, 
    shall be expended through small business concerns owned and 
    controlled by socially and economically disadvantaged individuals.
        (4) Annual listing of disadvantaged business enterprises.--Each 
    State shall annually--
            (A) survey and compile a list of the small business 
        concerns referred to in paragraph (2) in the State, including 
        the location of the small business concerns in the State; and
            (B) notify the Secretary, in writing, of the percentage of 
        the small business concerns that are controlled by--
                (i) women;
                (ii) socially and economically disadvantaged 
            individuals (other than women); and
                (iii) individuals who are women and are otherwise 
            socially and economically disadvantaged individuals.
        (5) Uniform certification.--
            (A) In general.--The Secretary shall establish minimum 
        uniform criteria for use by State governments in certifying 
        whether a concern qualifies as a small business concern for the 
        purpose of this subsection.
            (B) Inclusions.--The minimum uniform criteria established 
        under subparagraph (A) shall include, with respect to a 
        potential small business concern--
                (i) on-site visits;
                (ii) personal interviews with personnel;
                (iii) issuance or inspection of licenses;
                (iv) analyses of stock ownership;
                (v) listings of equipment;
                (vi) analyses of bonding capacity;
                (vii) listings of work completed;
                (viii) examination of the resumes of principal owners;
                (ix) analyses of financial capacity; and
                (x) analyses of the type of work preferred.
        (6) Reporting.--The Secretary shall establish minimum 
    requirements for use by State governments in reporting to the 
    Secretary--
            (A) information concerning disadvantaged business 
        enterprise awards, commitments, and achievements; and
            (B) such other information as the Secretary determines to 
        be appropriate for the proper monitoring of the disadvantaged 
        business enterprise program.
        (7) Compliance with court orders.--Nothing in this subsection 
    limits the eligibility of an individual or entity to receive funds 
    made available under divisions A and B of this Act and section 403 
    of title 23, United States Code, if the entity or person is 
    prevented, in whole or in part, from complying with paragraph (2) 
    because a Federal court issues a final order in which the court 
    finds that a requirement or the implementation of paragraph (2) is 
    unconstitutional. 
SEC. 1102. OBLIGATION CEILING.
    (a) General Limitation.--Subject to subsection (e), and 
notwithstanding any other provision of law, the obligations for 
Federal-aid highway and highway safety construction programs shall not 
exceed--
        (1) $39,699,000,000 for fiscal year 2013; and
        (2) $40,256,000,000 for fiscal year 2014.
    (b) Exceptions.--The limitations under subsection (a) shall not 
apply to obligations under or for--
        (1) section 125 of title 23, United States Code;
        (2) section 147 of the Surface Transportation Assistance Act of 
    1978 (23 U.S.C. 144 note; 92 Stat. 2714);
        (3) section 9 of the Federal-Aid Highway Act of 1981 (95 Stat. 
    1701);
        (4) subsections (b) and (j) of section 131 of the Surface 
    Transportation Assistance Act of 1982 (96 Stat. 2119);
        (5) subsections (b) and (c) of section 149 of the Surface 
    Transportation and Uniform Relocation Assistance Act of 1987 (101 
    Stat. 198);
        (6) sections 1103 through 1108 of the Intermodal Surface 
    Transportation Efficiency Act of 1991 (105 Stat. 2027);
        (7) section 157 of title 23, United States Code (as in effect 
    on June 8, 1998);
        (8) section 105 of title 23, United States Code (as in effect 
    for fiscal years 1998 through 2004, but only in an amount equal to 
    $639,000,000 for each of those fiscal years);
        (9) Federal-aid highway programs for which obligation authority 
    was made available under the Transportation Equity Act for the 21st 
    Century (112 Stat. 107) or subsequent Acts for multiple years or to 
    remain available until expended, but only to the extent that the 
    obligation authority has not lapsed or been used;
        (10) section 105 of title 23, United States Code (but, for each 
    of fiscal years 2005 through 2011, only in an amount equal to 
    $639,000,000 for each of those fiscal years);
        (11) section 1603 of SAFETEA-LU (23 U.S.C. 118 note; 119 Stat. 
    1248), to the extent that funds obligated in accordance with that 
    section were not subject to a limitation on obligations at the time 
    at which the funds were initially made available for obligation; 
    and
        (12) section 119 of title 23, United States Code (but, for each 
    of fiscal years 2013 through 2014, only in an amount equal to 
    $639,000,000 for each of those fiscal years).
    (c) Distribution of Obligation Authority.--For each of fiscal years 
2013 through 2014, the Secretary--
        (1) shall not distribute obligation authority provided by 
    subsection (a) for the fiscal year for--
            (A) amounts authorized for administrative expenses and 
        programs by section 104(a) of title 23, United States Code; and
            (B) amounts authorized for the Bureau of Transportation 
        Statistics;
        (2) shall not distribute an amount of obligation authority 
    provided by subsection (a) that is equal to the unobligated balance 
    of amounts--
            (A) made available from the Highway Trust Fund (other than 
        the Mass Transit Account) for Federal-aid highway and highway 
        safety construction programs for previous fiscal years the 
        funds for which are allocated by the Secretary (or apportioned 
        by the Secretary under sections 202 or 204 of title 23, United 
        States Code); and
            (B) for which obligation authority was provided in a 
        previous fiscal year;
        (3) shall determine the proportion that--
            (A) the obligation authority provided by subsection (a) for 
        the fiscal year, less the aggregate of amounts not distributed 
        under paragraphs (1) and (2) of this subsection; bears to
            (B) the total of the sums authorized to be appropriated for 
        the Federal-aid highway and highway safety construction 
        programs (other than sums authorized to be appropriated for 
        provisions of law described in paragraphs (1) through (11) of 
        subsection (b) and sums authorized to be appropriated for 
        section 119 of title 23, United States Code, equal to the 
        amount referred to in subsection (b)(12) for the fiscal year), 
        less the aggregate of the amounts not distributed under 
        paragraphs (1) and (2) of this subsection;
        (4) shall distribute the obligation authority provided by 
    subsection (a), less the aggregate amounts not distributed under 
    paragraphs (1) and (2), for each of the programs (other than 
    programs to which paragraph (1) applies) that are allocated by the 
    Secretary under this Act and title 23, United States Code, or 
    apportioned by the Secretary under sections 202 or 204 of that 
    title, by multiplying--
            (A) the proportion determined under paragraph (3); by
            (B) the amounts authorized to be appropriated for each such 
        program for the fiscal year; and
        (5) shall distribute the obligation authority provided by 
    subsection (a), less the aggregate amounts not distributed under 
    paragraphs (1) and (2) and the amounts distributed under paragraph 
    (4), for Federal-aid highway and highway safety construction 
    programs that are apportioned by the Secretary under title 23, 
    United States Code (other than the amounts apportioned for the 
    national highway performance program in section 119 of title 23, 
    United States Code, that are exempt from the limitation under 
    subsection (b)(12) and the amounts apportioned under section 204 of 
    that title) in the proportion that--
            (A) amounts authorized to be appropriated for the programs 
        that are apportioned under title 23, United States Code, to 
        each State for the fiscal year; bears to
            (B) the total of the amounts authorized to be appropriated 
        for the programs that are apportioned under title 23, United 
        States Code, to all States for the fiscal year.
    (d) Redistribution of Unused Obligation Authority.--Notwithstanding 
subsection (c), the Secretary shall, after August 1 of each of fiscal 
years 2013 through 2014--
        (1) revise a distribution of the obligation authority made 
    available under subsection (c) if an amount distributed cannot be 
    obligated during that fiscal year; and
        (2) redistribute sufficient amounts to those States able to 
    obligate amounts in addition to those previously distributed during 
    that fiscal year, giving priority to those States having large 
    unobligated balances of funds apportioned under sections 144 (as in 
    effect on the day before the date of enactment of this Act) and 104 
    of title 23, United States Code.
    (e) Applicability of Obligation Limitations to Transportation 
Research Programs.--
        (1) In general.--Except as provided in paragraph (2), 
    obligation limitations imposed by subsection (a) shall apply to 
    contract authority for transportation research programs carried out 
    under--
            (A) chapter 5 of title 23, United States Code; and
            (B) division E of this Act.
        (2) Exception.--Obligation authority made available under 
    paragraph (1) shall--
            (A) remain available for a period of 4 fiscal years; and
            (B) be in addition to the amount of any limitation imposed 
        on obligations for Federal-aid highway and highway safety 
        construction programs for future fiscal years.
    (f) Redistribution of Certain Authorized Funds.--
        (1) In general.--Not later than 30 days after the date of 
    distribution of obligation authority under subsection (c) for each 
    of fiscal years 2013 through 2014, the Secretary shall distribute 
    to the States any funds (excluding funds authorized for the program 
    under section 202 of title 23, United States Code) that--
            (A) are authorized to be appropriated for the fiscal year 
        for Federal-aid highway programs; and
            (B) the Secretary determines will not be allocated to the 
        States (or will not be apportioned to the States under section 
        204 of title 23, United States Code), and will not be available 
        for obligation, for the fiscal year because of the imposition 
        of any obligation limitation for the fiscal year.
        (2) Ratio.--Funds shall be distributed under paragraph (1) in 
    the same proportion as the distribution of obligation authority 
    under subsection (c)(5).
        (3) Availability.--Funds distributed to each State under 
    paragraph (1) shall be available for any purpose described in 
    section 133(c) of title 23, United States Code. 
SEC. 1103. DEFINITIONS.
    (a) Definitions.--Section 101(a) of title 23, United States Code, 
is amended--
        (1) by striking paragraphs (6), (7), (9), (12), (19), (20), 
    (24), (25), (26), (28), (38), and (39);
        (2) by redesignating paragraphs (2), (3), (4), (5), (8), (13), 
    (14), (15), (16), (17), (18), (21), (22), (23), (27), (29), (30), 
    (31), (32), (33), (34), (35), (36), and (37) as paragraphs (3), 
    (4), (5), (6), (9), (12), (13), (14), (15), (16), (17), (18), (19), 
    (20), (21), (22), (23), (24), (25), (26), (28), (29), (33), and 
    (34), respectively;
        (3) by inserting after paragraph (1) the following:
        ``(2) Asset management.--The term `asset management' means a 
    strategic and systematic process of operating, maintaining, and 
    improving physical assets, with a focus on both engineering and 
    economic analysis based upon quality information, to identify a 
    structured sequence of maintenance, preservation, repair, 
    rehabilitation, and replacement actions that will achieve and 
    sustain a desired state of good repair over the lifecycle of the 
    assets at minimum practicable cost.'';
        (4) in paragraph (4) (as redesignated by paragraph (2))--
            (A) in the matter preceding subparagraph (A), by inserting 
        ``or any project eligible for assistance under this title'' 
        after ``of a highway'';
            (B) by striking subparagraph (A) and inserting the 
        following:
            ``(A) preliminary engineering, engineering, and design-
        related services directly relating to the construction of a 
        highway project, including engineering, design, project 
        development and management, construction project management and 
        inspection, surveying, mapping (including the establishment of 
        temporary and permanent geodetic control in accordance with 
        specifications of the National Oceanic and Atmospheric 
        Administration), and architectural-related services;'';
            (C) in subparagraph (B)--
                (i) by inserting ``reconstruction,'' before 
            ``resurfacing''; and
                (ii) by striking ``and rehabilitation'' and inserting 
            ``rehabilitation, and preservation'';
            (D) in subparagraph (E) by striking ``railway'' and 
        inserting ``railway-highway''; and
            (E) in subparagraph (F) by striking ``obstacles'' and 
        inserting ``hazards'';
        (5) in paragraph (6) (as so redesignated)--
            (A) by inserting ``public'' before ``highway eligible''; 
        and
            (B) by inserting ``functionally'' before ``classified'';
        (6) by inserting after paragraph (6) (as so redesignated) the 
    following:
        ``(7) Federal lands access transportation facility.--The term 
    `Federal Lands access transportation facility' means a public 
    highway, road, bridge, trail, or transit system that is located on, 
    is adjacent to, or provides access to Federal lands for which title 
    or maintenance responsibility is vested in a State, county, town, 
    township, tribal, municipal, or local government.
        ``(8) Federal lands transportation facility.--The term `Federal 
    lands transportation facility' means a public highway, road, 
    bridge, trail, or transit system that is located on, is adjacent 
    to, or provides access to Federal lands for which title and 
    maintenance responsibility is vested in the Federal Government, and 
    that appears on the national Federal lands transportation facility 
    inventory described in section 203(c).'';
        (7) in paragraph (11)(B) by inserting ``including public roads 
    on dams'' after ``drainage structure'';
        (8) in paragraph (14) (as so redesignated)--
            (A) by striking ``as a'' and inserting ``as an air 
        quality''; and
            (B) by inserting ``air quality'' before ``attainment 
        area'';
        (9) in paragraph (18) (as so redesignated) by striking ``an 
    undertaking to construct a particular portion of a highway, or if 
    the context so implies, the particular portion of a highway so 
    constructed or any other undertaking'' and inserting ``any 
    undertaking'';
        (10) in paragraph (19) (as so redesignated)--
            (A) by striking ``the State transportation department 
        and''; and
            (B) by inserting ``and the recipient'' after ``Secretary'';
        (11) by striking paragraph (23) (as so redesignated) and 
    inserting the following:
        ``(23) Safety improvement project.--The term `safety 
    improvement project' means a strategy, activity, or project on a 
    public road that is consistent with the State strategic highway 
    safety plan and corrects or improves a roadway feature that 
    constitutes a hazard to road users or addresses a highway safety 
    problem.'';
        (12) by inserting after paragraph (26) (as so redesignated) the 
    following:
        ``(27) State strategic highway safety plan.--The term `State 
    strategic highway safety plan' has the same meaning given such term 
    in section 148(a).'';
        (13) by striking paragraph (29) (as so redesignated) and 
    inserting the following:
        ``(29) Transportation alternatives.--The term `transportation 
    alternatives' means any of the following activities when carried 
    out as part of any program or project authorized or funded under 
    this title, or as an independent program or project related to 
    surface transportation:
            ``(A) Construction, planning, and design of on-road and 
        off-road trail facilities for pedestrians, bicyclists, and 
        other nonmotorized forms of transportation, including 
        sidewalks, bicycle infrastructure, pedestrian and bicycle 
        signals, traffic calming techniques, lighting and other safety-
        related infrastructure, and transportation projects to achieve 
        compliance with the Americans with Disabilities Act of 1990 (42 
        U.S.C. 12101 et seq.).
            ``(B) Construction, planning, and design of infrastructure-
        related projects and systems that will provide safe routes for 
        non-drivers, including children, older adults, and individuals 
        with disabilities to access daily needs.
            ``(C) Conversion and use of abandoned railroad corridors 
        for trails for pedestrians, bicyclists, or other nonmotorized 
        transportation users.
            ``(D) Construction of turnouts, overlooks, and viewing 
        areas.
            ``(E) Community improvement activities, including--
                ``(i) inventory, control, or removal of outdoor 
            advertising;
                ``(ii) historic preservation and rehabilitation of 
            historic transportation facilities;
                ``(iii) vegetation management practices in 
            transportation rights-of-way to improve roadway safety, 
            prevent against invasive species, and provide erosion 
            control; and
                ``(iv) archaeological activities relating to impacts 
            from implementation of a transportation project eligible 
            under this title.
            ``(F) Any environmental mitigation activity, including 
        pollution prevention and pollution abatement activities and 
        mitigation to--
                ``(i) address stormwater management, control, and water 
            pollution prevention or abatement related to highway 
            construction or due to highway runoff, including activities 
            described in sections 133(b)(11), 328(a), and 329; or
                ``(ii) reduce vehicle-caused wildlife mortality or to 
            restore and maintain connectivity among terrestrial or 
            aquatic habitats.''; and
        (14) by inserting after paragraph (29) (as so redesignated) the 
    following:
        ``(30) Transportation systems management and operations.--
            ``(A) In general.--The term `transportation systems 
        management and operations' means integrated strategies to 
        optimize the performance of existing infrastructure through the 
        implementation of multimodal and intermodal, cross-
        jurisdictional systems, services, and projects designed to 
        preserve capacity and improve security, safety, and reliability 
        of the transportation system.
            ``(B) Inclusions.--The term `transportation systems 
        management and operations' includes--
                ``(i) actions such as traffic detection and 
            surveillance, corridor management, freeway management, 
            arterial management, active transportation and demand 
            management, work zone management, emergency management, 
            traveler information services, congestion pricing, parking 
            management, automated enforcement, traffic control, 
            commercial vehicle operations, freight management, and 
            coordination of highway, rail, transit, bicycle, and 
            pedestrian operations; and
                ``(ii) coordination of the implementation of regional 
            transportation system management and operations investments 
            (such as traffic incident management, traveler information 
            services, emergency management, roadway weather management, 
            intelligent transportation systems, communication networks, 
            and information sharing systems) requiring agreements, 
            integration, and interoperability to achieve targeted 
            system performance, reliability, safety, and customer 
            service levels.
        ``(31) Tribal transportation facility.--The term `tribal 
    transportation facility' means a public highway, road, bridge, 
    trail, or transit system that is located on or provides access to 
    tribal land and appears on the national tribal transportation 
    facility inventory described in section 202(b)(1).
        ``(32) Truck stop electrification system.--The term `truck stop 
    electrification system' means a system that delivers heat, air 
    conditioning, electricity, or communications to a heavy-duty 
    vehicle.''.
    (b) Sense of Congress.--Section 101(c) of title 23, United States 
Code, is amended by striking ``system'' and inserting ``highway''.
SEC. 1104. NATIONAL HIGHWAY SYSTEM.
    (a) In General.--Section 103 of title 23, United States Code, is 
amended to read as follows:
``Sec. 103. National Highway System
    ``(a) In General.--For the purposes of this title, the Federal-aid 
system is the National Highway System, which includes the Interstate 
System.
    ``(b) National Highway System.--
        ``(1) Description.--The National Highway System consists of the 
    highway routes and connections to transportation facilities that 
    shall--
            ``(A) serve major population centers, international border 
        crossings, ports, airports, public transportation facilities, 
        and other intermodal transportation facilities and other major 
        travel destinations;
            ``(B) meet national defense requirements; and
            ``(C) serve interstate and interregional travel and 
        commerce.
        ``(2) Components.--The National Highway System described in 
    paragraph (1) consists of the following:
            ``(A) The National Highway System depicted on the map 
        submitted by the Secretary of Transportation to Congress with 
        the report entitled `Pulling Together: The National Highway 
        System and its Connections to Major Intermodal Terminals' and 
        dated May 24, 1996, and modifications approved by the Secretary 
        before the date of enactment of the MAP-21.
            ``(B) Other urban and rural principal arterial routes, and 
        border crossings on those routes, that were not included on the 
        National Highway System before the date of enactment of the 
        MAP-21.
            ``(C) Other connector highways (including toll facilities) 
        that were not included in the National Highway System before 
        the date of enactment of the MAP-21 but that provide motor 
        vehicle access between arterial routes on the National Highway 
        System and a major intermodal transportation facility.
            ``(D) A strategic highway network that--
                ``(i) consists of a network of highways that are 
            important to the United States strategic defense policy, 
            that provide defense access, continuity, and emergency 
            capabilities for the movement of personnel, materials, and 
            equipment in both peacetime and wartime, and that were not 
            included on the National Highway System before the date of 
            enactment of the MAP-21;
                ``(ii) may include highways on or off the Interstate 
            System; and
                ``(iii) shall be designated by the Secretary, in 
            consultation with appropriate Federal agencies and the 
            States.
            ``(E) Major strategic highway network connectors that--
                ``(i) consist of highways that provide motor vehicle 
            access between major military installations and highways 
            that are part of the strategic highway network but were not 
            included on the National Highway System before the date of 
            enactment of the MAP-21; and
                ``(ii) shall be designated by the Secretary, in 
            consultation with appropriate Federal agencies and the 
            States.
        ``(3) Modifications to nhs.--
            ``(A) In general.--The Secretary may make any modification, 
        including any modification consisting of a connector to a major 
        intermodal terminal, to the National Highway System that is 
        proposed by a State if the Secretary determines that the 
        modification--
                ``(i) meets the criteria established for the National 
            Highway System under this title after the date of enactment 
            of the MAP-21; and
                ``(ii) enhances the national transportation 
            characteristics of the National Highway System.
            ``(B) Cooperation.--
                ``(i) In general.--In proposing a modification under 
            this paragraph, a State shall cooperate with local and 
            regional officials.
                ``(ii) Urbanized areas.--In an urbanized area, the 
            local officials shall act through the metropolitan planning 
            organization designated for the area under section 134.
    ``(c) Interstate System.--
        ``(1) Description.--
            ``(A) In general.--The Dwight D. Eisenhower National System 
        of Interstate and Defense Highways within the United States 
        (including the District of Columbia and Puerto Rico) consists 
        of highways designed, located, and selected in accordance with 
        this paragraph.
            ``(B) Design.--
                ``(i) In general.--Except as provided in clause (ii), 
            highways on the Interstate System shall be designed in 
            accordance with the standards of section 109(b).
                ``(ii) Exception.--Highways on the Interstate System in 
            Alaska and Puerto Rico shall be designed in accordance with 
            such geometric and construction standards as are adequate 
            for current and probable future traffic demands and the 
            needs of the locality of the highway.
            ``(C) Location.--Highways on the Interstate System shall be 
        located so as--
                ``(i) to connect by routes, as direct as practicable, 
            the principal metropolitan areas, cities, and industrial 
            centers;
                ``(ii) to serve the national defense; and
                ``(iii) to the maximum extent practicable, to connect 
            at suitable border points with routes of continental 
            importance in Canada and Mexico.
            ``(D) Selection of routes.--To the maximum extent 
        practicable, each route of the Interstate System shall be 
        selected by joint action of the State transportation 
        departments of the State in which the route is located and the 
        adjoining States, in cooperation with local and regional 
        officials, and subject to the approval of the Secretary.
        ``(2) Maximum mileage.--The mileage of highways on the 
    Interstate System shall not exceed 43,000 miles, exclusive of 
    designations under paragraph (4).
        ``(3) Modifications.--The Secretary may approve or require 
    modifications to the Interstate System in a manner consistent with 
    the policies and procedures established under this subsection.
        ``(4) Interstate system designations.--
            ``(A) Additions.--If the Secretary determines that a 
        highway on the National Highway System meets all standards of a 
        highway on the Interstate System and that the highway is a 
        logical addition or connection to the Interstate System, the 
        Secretary may, upon the affirmative recommendation of the State 
        or States in which the highway is located, designate the 
        highway as a route on the Interstate System.
            ``(B) Designations as future interstate system routes.--
                ``(i) In general.--Subject to clauses (ii) through 
            (vi), if the Secretary determines that a highway on the 
            National Highway System would be a logical addition or 
            connection to the Interstate System and would qualify for 
            designation as a route on the Interstate System under 
            subparagraph (A) if the highway met all standards of a 
            highway on the Interstate System, the Secretary may, upon 
            the affirmative recommendation of the State or States in 
            which the highway is located, designate the highway as a 
            future Interstate System route.
                ``(ii) Written agreement.--A designation under clause 
            (i) shall be made only upon the written agreement of each 
            State described in that clause that the highway will be 
            constructed to meet all standards of a highway on the 
            Interstate System by not later than the date that is 25 
            years after the date of the agreement.
                ``(iii) Failure to complete construction.--If a State 
            described in clause (i) has not substantially completed the 
            construction of a highway designated under this 
            subparagraph by the date specified in clause (ii), the 
            Secretary shall remove the designation of the highway as a 
            future Interstate System route.
                ``(iv) Effect of removal.--Removal of the designation 
            of a highway under clause (iii) shall not preclude the 
            Secretary from designating the highway as a route on the 
            Interstate System under subparagraph (A) or under any other 
            provision of law providing for addition to the Interstate 
            System.
                ``(v) Retroactive effect.--An agreement described in 
            clause (ii) that is entered into before August 10, 2005, 
            shall be deemed to include the 25-year time limitation 
            described in that clause, regardless of any earlier 
            construction completion date in the agreement.
                ``(vi) References.--No law, rule, regulation, map, 
            document, or other record of the United States, or of any 
            State or political subdivision of a State, shall refer to 
            any highway designated as a future Interstate System route 
            under this subparagraph, and no such highway shall be 
            signed or marked, as a highway on the Interstate System, 
            until such time as the highway--

                    ``(I) is constructed to the geometric and 
                construction standards for the Interstate System; and
                    ``(II) has been designated as a route on the 
                Interstate System.

            ``(C) Financial responsibility.--Except as provided in this 
        title, the designation of a highway under this paragraph shall 
        create no additional Federal financial responsibility with 
        respect to the highway.
        ``(5) Exemption of interstate system.--
            ``(A) In general.--Except as provided in subparagraph (B), 
        the Interstate System shall not be considered to be a historic 
        site under section 303 of title 49 or section 138 of this 
        title, regardless of whether the Interstate System or portions 
        or elements of the Interstate System are listed on, or eligible 
        for listing on, the National Register of Historic Places.
            ``(B) Individual elements.--Subject to subparagraph (C)--
                ``(i) the Secretary shall determine, through the 
            administrative process established for exempting the 
            Interstate System from section 106 of the National Historic 
            Preservation Act (16 U.S.C. 470f), those individual 
            elements of the Interstate System that possess national or 
            exceptional historic significance (such as a historic 
            bridge or a highly significant engineering feature); and
                ``(ii) those elements shall be considered to be 
            historic sites under section 303 of title 49 or section 138 
            of this title, as applicable.
            ``(C) Construction, maintenance, restoration, and 
        rehabilitation activities.--Subparagraph (B) does not prohibit 
        a State from carrying out construction, maintenance, 
        preservation, restoration, or rehabilitation activities for a 
        portion of the Interstate System referred to in subparagraph 
        (B) upon compliance with section 303 of title 49 or section 138 
        of this title, as applicable, and section 106 of the National 
        Historic Preservation Act (16 U.S.C. 470f).''.
    (b) Inclusion of Certain Route Segments on Interstate System.--
        (1) In general.--Section 1105(e)(5)(A) of the Intermodal 
    Surface Transportation Efficiency Act of 1991 (105 Stat. 2031; 109 
    Stat. 597; 115 Stat. 872) is amended--
            (A) in the first sentence, by striking ``and in subsections 
        (c)(18) and (c)(20)'' and inserting ``, in subsections (c)(18) 
        and (c)(20), and in subparagraphs (A)(iii) and (B) of 
        subsection (c)(26)''; and
            (B) in the second sentence, by striking ``that the 
        segment'' and all that follows through the period and inserting 
        ``that the segment meets the Interstate System design standards 
        approved by the Secretary under section 109(b) of title 23, 
        United States Code, and is planned to connect to an existing 
        Interstate System segment by the date that is 25 years after 
        the date of enactment of the MAP-21.''.
        (2) Route designation.--Section 1105(e)(5)(C)(i) of the 
    Intermodal Surface Transportation Efficiency Act of 1991 (105 Stat. 
    2032; 109 Stat. 598) is amended by adding at the end the following: 
    ``The routes referred to subparagraphs (A)(iii) and (B)(i) of 
    subsection (c)(26) are designated as Interstate Route I-11.''.
    (c) Conforming Amendments.--
        (1) Analysis.--The analysis for chapter 1 of title 23, United 
    States Code, is amended by striking the item relating to section 
    103 and inserting the following:

``103. National Highway System.''.

        (2) Section 113.--Section 113 of title 23, United States Code, 
    is amended--
            (A) in subsection (a) by striking ``the Federal-aid 
        systems'' and inserting ``Federal-aid highways''; and
            (B) in subsection (b), in the first sentence, by striking 
        ``of the Federal-aid systems'' and inserting ``Federal-aid 
        highway''.
        (3) Section 123.--Section 123(a) of title 23, United States 
    Code, is amended in the first sentence by striking ``Federal-aid 
    system'' and inserting ``Federal-aid highway''.
        (4) Section 217.--Section 217(b) of title 23, United States 
    Code, is amended in the subsection heading by striking ``National 
    Highway System'' and inserting ``National Highway Performance 
    Program''.
        (5) Section 304.--Section 304 of title 23, United States Code, 
    is amended in the first sentence by striking ``the Federal-aid 
    highway systems'' and inserting ``Federal-aid highways''.
        (6) Section 317.--Section 317(d) of title 23, United States 
    Code, is amended by striking ``system'' and inserting ``highway''.
SEC. 1105. APPORTIONMENT.
    (a) In General.--Section 104 of title 23, United States Code, is 
amended to read as follows:
``Sec. 104. Apportionment
    ``(a) Administrative Expenses.--
        ``(1) In general.--There are authorized to be appropriated from 
    the Highway Trust Fund (other than the Mass Transit Account) to be 
    made available to the Secretary for administrative expenses of the 
    Federal Highway Administration--
            ``(A) $454,180,326 for fiscal year 2013; and
            ``(B) $440,000,000 for fiscal year 2014.
        ``(2) Purposes.--The amounts authorized to be appropriated by 
    this subsection shall be used--
            ``(A) to administer the provisions of law to be funded from 
        appropriations for the Federal-aid highway program and programs 
        authorized under chapter 2;
            ``(B) to make transfers of such sums as the Secretary 
        determines to be appropriate to the Appalachian Regional 
        Commission for administrative activities associated with the 
        Appalachian development highway system; and
            ``(C) to reimburse, as appropriate, the Office of Inspector 
        General of the Department of Transportation for the conduct of 
        annual audits of financial statements in accordance with 
        section 3521 of title 31.
        ``(3) Availability.--The amounts made available under paragraph 
    (1) shall remain available until expended.
    ``(b) Division of State Apportionments Among Programs.--The 
Secretary shall distribute the amount apportioned to a State for a 
fiscal year under subsection (c) among the national highway performance 
program, the surface transportation program, the highway safety 
improvement program, and the congestion mitigation and air quality 
improvement program, and to carry out section 134 as follows:
        ``(1) National highway performance program.--For the national 
    highway performance program, 63.7 percent of the amount remaining 
    after distributing amounts under paragraphs (4) and (5).
        ``(2) Surface transportation program.--For the surface 
    transportation program, 29.3 percent of the amount remaining after 
    distributing amounts under paragraphs (4) and (5).
        ``(3) Highway safety improvement program.--For the highway 
    safety improvement program, 7 percent of the amount remaining after 
    distributing amounts under paragraphs (4) and (5).
        ``(4) Congestion mitigation and air quality improvement 
    program.--For the congestion mitigation and air quality improvement 
    program, an amount determined by multiplying the amount determined 
    for the State under subsection (c) by the proportion that--
            ``(A) the amount apportioned to the State for the 
        congestion mitigation and air quality improvement program for 
        fiscal year 2009; bears to
            ``(B) the total amount of funds apportioned to the State 
        for that fiscal year for the programs referred to in section 
        105(a)(2) (except for the high priority projects program 
        referred to in section 105(a)(2)(H)), as in effect on the day 
        before the date of enactment of the MAP-21.
        ``(5) Metropolitan planning.--To carry out section 134, an 
    amount determined by multiplying the amount determined for the 
    State under subsection (c) by the proportion that--
            ``(A) the amount apportioned to the State to carry out 
        section 134 for fiscal year 2009; bears to
            ``(B) the total amount of funds apportioned to the State 
        for that fiscal year for the programs referred to in section 
        105(a)(2) (except for the high priority projects program 
        referred to in section 105(a)(2)(H)), as in effect on the day 
        before the date of enactment of the MAP-21.
    ``(c) Calculation of State Amounts.--
        ``(1) For fiscal year 2013.--
            ``(A) Calculation of amount.--For fiscal year 2013, the 
        amount for each State of combined apportionments for the 
        national highway performance program under section 119, the 
        surface transportation program under section 133, the highway 
        safety improvement program under section 148, the congestion 
        mitigation and air quality improvement program under section 
        149, and to carry out section 134 shall be equal to the 
        combined amount of apportionments that the State received for 
        fiscal year 2012.
            ``(B) State apportionment.--On October 1 of such fiscal 
        year, the Secretary shall apportion the sum authorized to be 
        appropriated for expenditure on the national highway 
        performance program under section 119, the surface 
        transportation program under section 133, the highway safety 
        improvement program under section 148, the congestion 
        mitigation and air quality improvement program under section 
        149, and to carry out section 134 in accordance with 
        subparagraph (A).
        ``(2) For fiscal year 2014.--
            ``(A) State share.--For fiscal year 2014, the amount for 
        each State of combined apportionments for the national highway 
        performance program under section 119, the surface 
        transportation program under section 133, the highway safety 
        improvement program under section 148, the congestion 
        mitigation and air quality improvement program under section 
        149, and to carry out section 134 shall be determined as 
        follows:
                ``(i) Initial amount.--The initial amount for each 
            State shall be determined by multiplying the total amount 
            available for apportionment by the share for each State 
            which shall be equal to the proportion that--

                    ``(I) the amount of apportionments that the State 
                received for fiscal year 2012; bears to
                    ``(II) the amount of those apportionments received 
                by all States for that fiscal year.

                ``(ii) Adjustments to amounts.--The initial amounts 
            resulting from the calculation under clause (i) shall be 
            adjusted to ensure that, for each State, the amount of 
            combined apportionments for the programs shall not be less 
            than 95 percent of 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.
            ``(B) State apportionment.--On October 1 of such fiscal 
        year, the Secretary shall apportion the sum authorized to be 
        appropriated for expenditure on the national highway 
        performance program under section 119, the surface 
        transportation program under section 133, the highway safety 
        improvement program under section 148, the congestion 
        mitigation and air quality improvement program under section 
        149, and to carry out section 134 in accordance with 
        subparagraph (A).
    ``(d) Metropolitan Planning.--
        ``(1) Use of amounts.--
            ``(A) Use.--
                ``(i) In general.--Except as provided in clause (ii), 
            the amounts apportioned to a State under subsection (b)(5) 
            shall be made available by the State to the metropolitan 
            planning organizations responsible for carrying out section 
            134 in the State.
                ``(ii) States receiving minimum apportionment.--A State 
            that received the minimum apportionment for use in carrying 
            out section 134 for fiscal year 2009 may, subject to the 
            approval of the Secretary, use the funds apportioned under 
            subsection (b)(5) to fund transportation planning outside 
            of urbanized areas.
            ``(B) Unused funds.--Any funds that are not used to carry 
        out section 134 may be made available by a metropolitan 
        planning organization to the State to fund activities under 
        section 135.
        ``(2) Distribution of amounts within states.--
            ``(A) In general.--The distribution within any State of the 
        planning funds made available to organizations under paragraph 
        (1) shall be in accordance with a formula that--
                ``(i) is developed by each State and approved by the 
            Secretary; and
                ``(ii) takes into consideration, at a minimum, 
            population, status of planning, attainment of air quality 
            standards, metropolitan area transportation needs, and 
            other factors necessary to provide for an appropriate 
            distribution of funds to carry out section 134 and other 
            applicable requirements of Federal law.
            ``(B) Reimbursement.--Not later than 15 business days after 
        the date of receipt by a State of a request for reimbursement 
        of expenditures made by a metropolitan planning organization 
        for carrying out section 134, the State shall reimburse, from 
        amounts distributed under this paragraph to the metropolitan 
        planning organization by the State, the metropolitan planning 
        organization for those expenditures.
        ``(3) Determination of population figures.--For the purpose of 
    determining population figures under this subsection, the Secretary 
    shall use the latest available data from the decennial census 
    conducted under section 141(a) of title 13, United States Code.
    ``(e) Certification of Apportionments.--
        ``(1) In general.--The Secretary shall--
            ``(A) on October 1 of each fiscal year, certify to each of 
        the State transportation departments the amount that has been 
        apportioned to the State under this section for the fiscal 
        year; and
            ``(B) to permit the States to develop adequate plans for 
        the use of amounts apportioned under this section, advise each 
        State of the amount that will be apportioned to the State under 
        this section for a fiscal year not later than 90 days before 
        the beginning of the fiscal year for which the sums to be 
        apportioned are authorized.
        ``(2) Notice to states.--If the Secretary has not made an 
    apportionment under this section for a fiscal year beginning after 
    September 30, 1998, by not later than the date that is the twenty-
    first day of that fiscal year, the Secretary shall submit, by not 
    later than that date, to the Committee on Transportation and 
    Infrastructure of the House of Representatives and the Committee on 
    Environment and Public Works of the Senate, a written statement of 
    the reason for not making the apportionment in a timely manner.
        ``(3) Apportionment calculations.--
            ``(A) In general.--The calculation of official 
        apportionments of funds to the States under this title is a 
        primary responsibility of the Department and shall be carried 
        out only by employees (and not contractors) of the Department.
            ``(B) Prohibition on use of funds to hire contractors.--
        None of the funds made available under this title shall be used 
        to hire contractors to calculate the apportionments of funds to 
        States.
    ``(f) Transfer of Highway and Transit Funds.--
        ``(1) Transfer of highway funds for transit projects.--
            ``(A) In general.--Subject to subparagraph (B), amounts 
        made available for transit projects or transportation planning 
        under this title may be transferred to and administered by the 
        Secretary in accordance with chapter 53 of title 49.
            ``(B) Non-federal share.--The provisions of this title 
        relating to the non-Federal share shall apply to the amounts 
        transferred under subparagraph (A).
        ``(2) Transfer of transit funds for highway projects.--
            ``(A) In general.--Subject to subparagraph (B), amounts 
        made available for highway projects or transportation planning 
        under chapter 53 of title 49 may be transferred to and 
        administered by the Secretary in accordance with this title.
            ``(B) Non-federal share.--The provisions of chapter 53 of 
        title 49 relating to the non-Federal share shall apply to 
        amounts transferred under subparagraph (A).
        ``(3) Transfer of funds among states or to federal highway 
    administration.--
            ``(A) In general.--Subject to subparagraph (B), the 
        Secretary may, at the request of a State, transfer amounts 
        apportioned or allocated under this title to the State to 
        another State, or to the Federal Highway Administration, for 
        the purpose of funding 1 or more projects that are eligible for 
        assistance with amounts so apportioned or allocated.
            ``(B) Apportionment.--The transfer shall have no effect on 
        any apportionment of amounts to a State under this section.
            ``(C) Funds suballocated to urbanized areas.--Amounts that 
        are apportioned or allocated to a State under subsection (b)(3) 
        (as in effect on the day before the date of enactment of the 
        MAP-21) or subsection (b)(2) and attributed to an urbanized 
        area of a State with a population of more than 200,000 
        individuals under section 133(d) may be transferred under this 
        paragraph only if the metropolitan planning organization 
        designated for the area concurs, in writing, with the transfer 
        request.
        ``(4) Transfer of obligation authority.--Obligation authority 
    for amounts transferred under this subsection shall be transferred 
    in the same manner and amount as the amounts for the projects that 
    are transferred under this section.
    ``(g) Report to Congress.--For each fiscal year, the Secretary 
shall make available to the public, in a user-friendly format via the 
Internet, a report that describes--
        ``(1) the amount obligated, by each State, for Federal-aid 
    highways and highway safety construction programs during the 
    preceding fiscal year;
        ``(2) the balance, as of the last day of the preceding fiscal 
    year, of the unobligated apportionment of each State by fiscal year 
    under this section;
        ``(3) the balance of unobligated sums available for expenditure 
    at the discretion of the Secretary for such highways and programs 
    for the fiscal year; and
        ``(4) the rates of obligation of funds apportioned or set aside 
    under this section, according to--
            ``(A) program;
            ``(B) funding category of subcategory;
            ``(C) type of improvement;
            ``(D) State; and
            ``(E) sub-State geographical area, including urbanized and 
        rural areas, on the basis of the population of each such 
        area.''.
    (b) Conforming Amendment.--Section 146(a) of title 23, United 
States Code, is amended by striking ``sections 104(b)(l) and 
104(b)(3)'' and inserting ``section 104(b)(2)''.
SEC. 1106. NATIONAL HIGHWAY PERFORMANCE PROGRAM.
    (a) In General.--Section 119 of title 23, United States Code, is 
amended to read as follows:
``Sec. 119. National highway performance program
    ``(a) Establishment.--The Secretary shall establish and implement a 
national highway performance program under this section.
    ``(b) Purposes.--The purposes of the national highway performance 
program shall be--
        ``(1) to provide support for the condition and performance of 
    the National Highway System;
        ``(2) to provide support for the construction of new facilities 
    on the National Highway System; and
        ``(3) to ensure that investments of Federal-aid funds in 
    highway construction are directed to support progress toward the 
    achievement of performance targets established in an asset 
    management plan of a State for the National Highway System.
    ``(c) Eligible Facilities.--Except as provided in subsection (d), 
to be eligible for funding apportioned under section 104(b)(1) to carry 
out this section, a facility shall be located on the National Highway 
System, as defined in section 103.
    ``(d) Eligible Projects.--Funds apportioned to a State to carry out 
the national highway performance program may be obligated only for a 
project on an eligible facility that is--
        ``(1)(A) a project or part of a program of projects supporting 
    progress toward the achievement of national performance goals for 
    improving infrastructure condition, safety, mobility, or freight 
    movement on the National Highway System; and
        ``(B) consistent with sections 134 and 135; and
        ``(2) for 1 or more of the following purposes:
            ``(A) Construction, reconstruction, resurfacing, 
        restoration, rehabilitation, preservation, or operational 
        improvement of segments of the National Highway System.
            ``(B) Construction, replacement (including replacement with 
        fill material), rehabilitation, preservation, and protection 
        (including scour countermeasures, seismic retrofits, impact 
        protection measures, security countermeasures, and protection 
        against extreme events) of bridges on the National Highway 
        System.
            ``(C) Construction, replacement (including replacement with 
        fill material), rehabilitation, preservation, and protection 
        (including impact protection measures, security 
        countermeasures, and protection against extreme events) of 
        tunnels on the National Highway System.
            ``(D) Inspection and evaluation, as described in section 
        144, of bridges and tunnels on the National Highway System, and 
        inspection and evaluation of other highway infrastructure 
        assets on the National Highway System, including signs and sign 
        structures, earth retaining walls, and drainage structures.
            ``(E) Training of bridge and tunnel inspectors, as 
        described in section 144.
            ``(F) Construction, rehabilitation, or replacement of 
        existing ferry boats and ferry boat facilities, including 
        approaches, that connect road segments of the National Highway 
        System.
            ``(G) Construction, reconstruction, resurfacing, 
        restoration, rehabilitation, and preservation of, and 
        operational improvements for, a Federal-aid highway not on the 
        National Highway System, and construction of a transit project 
        eligible for assistance under chapter 53 of title 49, if--
                ``(i) the highway project or transit project is in the 
            same corridor as, and in proximity to, a fully access-
            controlled highway designated as a part of the National 
            Highway System;
                ``(ii) the construction or improvements will reduce 
            delays or produce travel time savings on the fully access-
            controlled highway described in clause (i) and improve 
            regional traffic flow; and
                ``(iii) the construction or improvements are more cost-
            effective, as determined by benefit-cost analysis, than an 
            improvement to the fully access-controlled highway 
            described in clause (i).
            ``(H) Bicycle transportation and pedestrian walkways in 
        accordance with section 217.
            ``(I) Highway safety improvements for segments of the 
        National Highway System.
            ``(J) Capital and operating costs for traffic and traveler 
        information monitoring, management, and control facilities and 
        programs.
            ``(K) Development and implementation of a State asset 
        management plan for the National Highway System in accordance 
        with this section, including data collection, maintenance, and 
        integration and the cost associated with obtaining, updating, 
        and licensing software and equipment required for risk-based 
        asset management and performance-based management.
            ``(L) Infrastructure-based intelligent transportation 
        systems capital improvements.
            ``(M) Environmental restoration and pollution abatement in 
        accordance with section 328.
            ``(N) Control of noxious weeds and aquatic noxious weeds 
        and establishment of native species in accordance with section 
        329.
            ``(O) Environmental mitigation efforts related to projects 
        funded under this section, as described in subsection (g).
            ``(P) Construction of publicly owned intracity or intercity 
        bus terminals servicing the National Highway System.
    ``(e) State Performance Management.--
        ``(1) In general.--A State shall develop a risk-based asset 
    management plan for the National Highway System to improve or 
    preserve the condition of the assets and the performance of the 
    system.
        ``(2) Performance driven plan.--A State asset management plan 
    shall include strategies leading to a program of projects that 
    would make progress toward achievement of the State targets for 
    asset condition and performance of the National Highway System in 
    accordance with section 150(d) and supporting the progress toward 
    the achievement of the national goals identified in section 150(b).
        ``(3) Scope.--In developing a risk-based asset management plan, 
    the Secretary shall encourage States to include all infrastructure 
    assets within the right-of-way corridor in such plan.
        ``(4) Plan contents.--A State asset management plan shall, at a 
    minimum, be in a form that the Secretary determines to be 
    appropriate and include--
            ``(A) a summary listing of the pavement and bridge assets 
        on the National Highway System in the State, including a 
        description of the condition of those assets;
            ``(B) asset management objectives and measures;
            ``(C) performance gap identification;
            ``(D) lifecycle cost and risk management analysis;
            ``(E) a financial plan; and
            ``(F) investment strategies.
        ``(5) Requirement for plan.--Notwithstanding section 120, with 
    respect to the second fiscal year beginning after the date of 
    establishment of the process established in paragraph (8) or any 
    subsequent fiscal year, if the Secretary determines that a State 
    has not developed and implemented a State asset management plan 
    consistent with this section, the Federal share payable on account 
    of any project or activity carried out by the State in that fiscal 
    year under this section shall be 65 percent.
        ``(6) Certification of plan development process.--
            ``(A) In general.--Not later than 90 days after the date on 
        which a State submits a request for approval of the process 
        used by the State to develop the State asset management plan 
        for the National Highway System, the Secretary shall--
                ``(i) review the process; and
                ``(ii)(I) certify that the process meets the 
            requirements established by the Secretary; or
                ``(II) deny certification and specify actions necessary 
            for the State to take to correct deficiencies in the State 
            process.
            ``(B) Recertification.--Not less frequently than once every 
        4 years, the Secretary shall review and recertify that the 
        process used by a State to develop and maintain the State asset 
        management plan for the National Highway System meets the 
        requirements for the process, as established by the Secretary.
            ``(C) Opportunity to cure.--If the Secretary denies 
        certification under subparagraph (A), the Secretary shall 
        provide the State with--
                ``(i) not less than 90 days to cure the deficiencies of 
            the plan, during which time period all penalties and other 
            legal impacts of a denial of certification shall be stayed; 
            and
                ``(ii) a written statement of the specific actions the 
            Secretary determines to be necessary for the State to cure 
            the plan.
        ``(7) Performance achievement.--A State that does not achieve 
    or make significant progress toward achieving the targets of the 
    State for performance measures described in section 150(d) for the 
    National Highway System for 2 consecutive reports submitted under 
    this paragraph shall include in the next report submitted a 
    description of the actions the State will undertake to achieve the 
    targets.
        ``(8) Process.--Not later than 18 months after the date of 
    enactment of the MAP-21, the Secretary shall, by regulation and in 
    consultation with State departments of transportation, establish 
    the process to develop the State asset management plan described in 
    paragraph (1).
    ``(f) Interstate System and NHS Bridge Conditions.--
        ``(1) Condition of interstate system.--
            ``(A) Penalty.--If, during 2 consecutive reporting periods, 
        the condition of the Interstate System, excluding bridges on 
        the Interstate System, in a State falls below the minimum 
        condition level established by the Secretary under section 
        150(c)(3), the State shall be required, during the following 
        fiscal year--
                ``(i) to obligate, from the amounts apportioned to the 
            State under section 104(b)(1), an amount that is not less 
            than the amount of funds apportioned to the State for 
            fiscal year 2009 under the Interstate maintenance program 
            for the purposes described in this section (as in effect on 
            the day before the date of enactment of the MAP-21), except 
            that for each year after fiscal year 2013, the amount 
            required to be obligated under this clause shall be 
            increased by 2 percent over the amount required to be 
            obligated in the previous fiscal year; and
                ``(ii) to transfer, from the amounts apportioned to the 
            State under section 104(b)(2) (other than amounts 
            suballocated to metropolitan areas and other areas of the 
            State under section 133(d)) to the apportionment of the 
            State under section 104(b)(1), an amount equal to 10 
            percent of the amount of funds apportioned to the State for 
            fiscal year 2009 under the Interstate maintenance program 
            for the purposes described in this section (as in effect on 
            the day before the date of enactment of the MAP-21).
            ``(B) Restoration.--The obligation requirement for the 
        Interstate System in a State required by subparagraph (A) for a 
        fiscal year shall remain in effect for each subsequent fiscal 
        year until such time as the condition of the Interstate System 
        in the State exceeds the minimum condition level established by 
        the Secretary.
        ``(2) Condition of nhs bridges.--
            ``(A) Penalty.--If the Secretary determines that, for the 
        3-year-period preceding the date of the determination, more 
        than 10 percent of the total deck area of bridges in the State 
        on the National Highway System is located on bridges that have 
        been classified as structurally deficient, an amount equal to 
        50 percent of funds apportioned to such State for fiscal year 
        2009 to carry out section 144 (as in effect the day before 
        enactment of MAP-21) shall be set aside from amounts 
        apportioned to a State for a fiscal year under section 
        104(b)(1) only for eligible projects on bridges on the National 
        Highway System.
            ``(B) Restoration.--The set-aside requirement for bridges 
        on the National Highway System in a State under subparagraph 
        (A) for a fiscal year shall remain in effect for each 
        subsequent fiscal year until such time as less than 10 percent 
        of the total deck area of bridges in the State on the National 
        Highway System is located on bridges that have been classified 
        as structurally deficient, as determined by the Secretary.
    ``(g) Environmental Mitigation.--
        ``(1) Eligible activities.--In accordance with all applicable 
    Federal law (including regulations), environmental mitigation 
    efforts referred to in subsection (d)(2)(O) include participation 
    in natural habitat and wetlands mitigation efforts relating to 
    projects funded under this title, which may include--
            ``(A) participation in mitigation banking or other third-
        party mitigation arrangements, such as--
                ``(i) the purchase of credits from commercial 
            mitigation banks;
                ``(ii) the establishment and management of agency-
            sponsored mitigation banks; and
                ``(iii) the purchase of credits or establishment of in-
            lieu fee mitigation programs;
            ``(B) contributions to statewide and regional efforts to 
        conserve, restore, enhance, and create natural habitats and 
        wetlands; and
            ``(C) the development of statewide and regional 
        environmental protection plans, including natural habitat and 
        wetland conservation and restoration plans.
        ``(2) Inclusion of other activities.--The banks, efforts, and 
    plans described in paragraph (1) include any such banks, efforts, 
    and plans developed in accordance with applicable law (including 
    regulations).
        ``(3) Terms and conditions.--The following terms and conditions 
    apply to natural habitat and wetlands mitigation efforts under this 
    subsection:
            ``(A) Contributions to the mitigation effort may--
                ``(i) take place concurrent with, or in advance of, 
            commitment of funding under this title to a project or 
            projects; and
                ``(ii) occur in advance of project construction only if 
            the efforts are consistent with all applicable requirements 
            of Federal law (including regulations) and State 
            transportation planning processes.
            ``(B) Credits from any agency-sponsored mitigation bank 
        that are attributable to funding under this section may be used 
        only for projects funded under this title, unless the agency 
        pays to the Secretary an amount equal to the Federal funds 
        attributable to the mitigation bank credits the agency uses for 
        purposes other than mitigation of a project funded under this 
        title.
        ``(4) Preference.--At the discretion of the project sponsor, 
    preference shall be given, to the maximum extent practicable, to 
    mitigating an environmental impact through the use of a mitigation 
    bank, in-lieu fee, or other third-party mitigation arrangement, if 
    the use of credits from the mitigation bank or in-lieu fee, or the 
    other third-party mitigation arrangement for the project, is 
    approved by the applicable Federal agency.''.
    (b) Transition Period.--
        (1) In general.--Except as provided in paragraph (2), until 
    such date as a State has in effect an approved asset management 
    plan and has established performance targets as described in 
    sections 119 and 150 of title 23, United States Code, that will 
    contribute to achieving the national goals for the condition and 
    performance of the National Highway System, but not later than 18 
    months after the date on which the Secretary promulgates the final 
    regulation required under section 150(c) of that title, the 
    Secretary shall approve obligations of funds apportioned to a State 
    to carry out the national highway performance program under section 
    119 of that title, for projects that otherwise meet the 
    requirements of that section.
        (2) Extension.--The Secretary may extend the transition period 
    for a State under paragraph (1) if the Secretary determines that 
    the State has made a good faith effort to establish an asset 
    management plan and performance targets referred to in that 
    paragraph.
    (c) Conforming Amendment.--The analysis for chapter 1 of title 23, 
United States Code, is amended by striking the item relating to section 
119 and inserting the following:

``119. National highway performance program.''.
SEC. 1107. EMERGENCY RELIEF.
    Section 125 of title 23, United States Code, is amended to read as 
follows:
``Sec. 125. Emergency relief
    ``(a) In General.--Subject to this section and section 120, an 
emergency fund is authorized for expenditure by the Secretary for the 
repair or reconstruction of highways, roads, and trails, in any area of 
the United States, including Indian reservations, that the Secretary 
finds have suffered serious damage as a result of--
        ``(1) a natural disaster over a wide area, such as by a flood, 
    hurricane, tidal wave, earthquake, severe storm, or landslide; or
        ``(2) catastrophic failure from any external cause.
    ``(b) Restriction on Eligibility.--
        ``(1) Definition of construction phase.--In this subsection, 
    the term `construction phase' means the phase of physical 
    construction of a highway or bridge facility that is separate from 
    any other identified phases, such as planning, design, or right-of-
    way phases, in the State transportation improvement program.
        ``(2) Restriction.--In no case shall funds be used under this 
    section for the repair or reconstruction of a bridge--
            ``(A) that has been permanently closed to all vehicular 
        traffic by the State or responsible local official because of 
        imminent danger of collapse due to a structural deficiency or 
        physical deterioration; or
            ``(B) if a construction phase of a replacement structure is 
        included in the approved Statewide transportation improvement 
        program at the time of an event described in subsection (a).
    ``(c) Funding.--
        ``(1) In general.--Subject to the limitations described in 
    paragraph (2), there are authorized to be appropriated from the 
    Highway Trust Fund (other than the Mass Transit Account) such sums 
    as are necessary to establish the fund authorized by this section 
    and to replenish that fund on an annual basis.
        ``(2) Limitations.--The limitations referred to in paragraph 
    (1) are that--
            ``(A) not more than $100,000,000 is authorized to be 
        obligated in any 1 fiscal year commencing after September 30, 
        1980, to carry out this section, except that, if for any fiscal 
        year the total of all obligations under this section is less 
        than the amount authorized to be obligated for the fiscal year, 
        the unobligated balance of that amount shall--
                ``(i) remain available until expended; and
                ``(ii) be in addition to amounts otherwise available to 
            carry out this section for each year; and
            ``(B)(i) pending such appropriation or replenishment, the 
        Secretary may obligate from any funds appropriated at any time 
        for obligation in accordance with this title, including 
        existing Federal-aid appropriations, such sums as are necessary 
        for the immediate prosecution of the work herein authorized; 
        and
            ``(ii) funds obligated under this subparagraph shall be 
        reimbursed from the appropriation or replenishment.
    ``(d) Eligibility.--
        ``(1) In general.--The Secretary may expend funds from the 
    emergency fund authorized by this section only for the repair or 
    reconstruction of highways on Federal-aid highways in accordance 
    with this chapter, except that--
            ``(A) no funds shall be so expended unless an emergency has 
        been declared by the Governor of the State with concurrence by 
        the Secretary, unless the President has declared the emergency 
        to be a major disaster for the purposes of the Robert T. 
        Stafford Disaster Relief and Emergency Assistance Act (42 
        U.S.C. 5121 et seq.) for which concurrence of the Secretary is 
        not required; and
            ``(B) the Secretary has received an application from the 
        State transportation department that includes a comprehensive 
        list of all eligible project sites and repair costs by not 
        later than 2 years after the natural disaster or catastrophic 
        failure.
        ``(2) Cost limitation.--
            ``(A) Definition of comparable facility.--In this 
        paragraph, the term `comparable facility' means a facility that 
        meets the current geometric and construction standards required 
        for the types and volume of traffic that the facility will 
        carry over its design life.
            ``(B) Limitation.--The total cost of a project funded under 
        this section may not exceed the cost of repair or 
        reconstruction of a comparable facility.
        ``(3) Debris removal.--The costs of debris removal shall be an 
    eligible expense under this section only for--
            ``(A) an event not declared a major disaster or emergency 
        by the President under the Robert T. Stafford Disaster Relief 
        and Emergency Assistance Act (42 U.S.C. 5121 et seq.); or
            ``(B) an event declared a major disaster or emergency by 
        the President under that Act if the debris removal is not 
        eligible for assistance under section 403, 407, or 502 of that 
        Act (42 U.S.C. 5170b, 5173, 5192).
        ``(4) Territories.--The total obligations for projects under 
    this section for any fiscal year in the Virgin Islands, Guam, 
    American Samoa, and the Commonwealth of the Northern Mariana 
    Islands shall not exceed $20,000,000.
        ``(5) Substitute traffic.--Notwithstanding any other provision 
    of this section, actual and necessary costs of maintenance and 
    operation of ferryboats or additional transit service providing 
    temporary substitute highway traffic service, less the amount of 
    fares charged for comparable service, may be expended from the 
    emergency fund authorized by this section for Federal-aid highways.
    ``(e) Tribal Transportation Facilities, Federal Lands 
Transportation Facilities, and Public Roads on Federal Lands.--
        ``(1) Definition of open to public travel.--In this subsection, 
    the term `open to public travel' means, with respect to a road, 
    that, except during scheduled periods, extreme weather conditions, 
    or emergencies, the road is open to the general public for use with 
    a standard passenger vehicle, without restrictive gates or 
    prohibitive signs or regulations, other than for general traffic 
    control or restrictions based on size, weight, or class of 
    registration.
        ``(2) Expenditure of funds.--Notwithstanding subsection (d)(1), 
    the Secretary may expend funds from the emergency fund authorized 
    by this section, independently or in cooperation with any other 
    branch of the Federal Government, a State agency, a tribal 
    government, an organization, or a person, for the repair or 
    reconstruction of tribal transportation facilities, Federal lands 
    transportation facilities, and other federally owned roads that are 
    open to public travel, whether or not those facilities are Federal-
    aid highways.
        ``(3) Reimbursement.--
            ``(A) In general.--The Secretary may reimburse Federal and 
        State agencies (including political subdivisions) for 
        expenditures made for projects determined eligible under this 
        section, including expenditures for emergency repairs made 
        before a determination of eligibility.
            ``(B) Transfers.--With respect to reimbursements described 
        in subparagraph (A)--
                ``(i) those reimbursements to Federal agencies and 
            Indian tribal governments shall be transferred to the 
            account from which the expenditure was made, or to a 
            similar account that remains available for obligation; and
                ``(ii) the budget authority associated with the 
            expenditure shall be restored to the agency from which the 
            authority was derived and shall be available for obligation 
            until the end of the fiscal year following the year in 
            which the transfer occurs.
    ``(f) Treatment of Territories.--For purposes of this section, the 
Virgin Islands, Guam, American Samoa, and the Commonwealth of the 
Northern Mariana Islands shall be considered to be States and parts of 
the United States, and the chief executive officer of each such 
territory shall be considered to be a Governor of a State.
    ``(g) Protecting Public Safety and Maintaining Roadways.--The 
Secretary may use not more than 5 percent of amounts from the emergency 
fund authorized by this section to carry out projects that the 
Secretary determines are necessary to protect the public safety or to 
maintain or protect roadways that are included within the scope of an 
emergency declaration by the Governor of the State or by the President, 
in accordance with this section, and the Governor deems to be an 
ongoing concern in order to maintain vehicular traffic on the 
roadway.''.
SEC. 1108. SURFACE TRANSPORTATION PROGRAM.
    (a) Eligible Projects.--Section 133(b) of title 23, United States 
Code, is amended--
        (1) in the matter preceding paragraph (1) by striking ``section 
    104(b)(3)'' and inserting ``section 104(b)(2)'';
        (2) by striking paragraph (1);
        (3) by redesignating paragraphs (2) through (15) as paragraphs 
    (5) through (18), respectively;
        (4) by inserting before paragraph (5) (as so redesignated) the 
    following:
        ``(1) Construction, reconstruction, rehabilitation, 
    resurfacing, restoration, preservation, or operational improvements 
    for highways, including construction of designated routes of the 
    Appalachian development highway system and local access roads under 
    section 14501 of title 40.
        ``(2) Replacement (including replacement with fill material), 
    rehabilitation, preservation, protection (including painting, scour 
    countermeasures, seismic retrofits, impact protection measures, 
    security countermeasures, and protection against extreme events) 
    and application of calcium magnesium acetate, sodium acetate/
    formate, or other environmentally acceptable, minimally corrosive 
    anti-icing and deicing compositions for bridges (and approaches to 
    bridges and other elevated structures) and tunnels on public roads 
    of all functional classifications, including any such construction 
    or reconstruction necessary to accommodate other transportation 
    modes.
        ``(3) Construction of a new bridge or tunnel at a new location 
    on a Federal-aid highway.
        ``(4) Inspection and evaluation of bridges and tunnels and 
    training of bridge and tunnel inspectors (as defined in section 
    144), and inspection and evaluation of other highway assets 
    (including signs, retaining walls, and drainage structures).'';
        (5) by striking paragraph (6) (as so redesignated) and 
    inserting the following:
        ``(6) Carpool projects, fringe and corridor parking facilities 
    and programs, including electric vehicle and natural gas vehicle 
    infrastructure in accordance with section 137, bicycle 
    transportation and pedestrian walkways in accordance with section 
    217, and the modifications of public sidewalks to comply with the 
    Americans with Disabilities Act of 1990 (42 U.S.C. 12101 et 
    seq.).'';
        (6) by striking paragraph (7) (as so redesignated) and 
    inserting the following:
        ``(7) Highway and transit safety infrastructure improvements 
    and programs, installation of safety barriers and nets on bridges, 
    hazard eliminations, projects to mitigate hazards caused by 
    wildlife, and railway-highway grade crossings.'';
        (7) in paragraph (11) (as so redesignated) by striking 
    ``enhancement activities'' and inserting ``alternatives'';
        (8) by striking paragraph (14) (as so redesignated) and 
    inserting the following:
        ``(14) Environmental mitigation efforts relating to projects 
    funded under this title in the same manner and to the same extent 
    as such activities are eligible under section 119(g).''; and
        (9) by inserting after paragraph (18) (as so redesignated) the 
    following:
        ``(19) Projects and strategies designed to support congestion 
    pricing, including electric toll collection and travel demand 
    management strategies and programs.
        ``(20) Recreational trails projects eligible for funding under 
    section 206.
        ``(21) Construction of ferry boats and ferry terminal 
    facilities eligible for funding under section 129(c).
        ``(22) Border infrastructure projects eligible for funding 
    under section 1303 of the SAFETEA-LU (23 U.S.C. 101 note; Public 
    Law 109-59).
        ``(23) Truck parking facilities eligible for funding under 
    section 1401 of the MAP-21.
        ``(24) Development and implementation of a State asset 
    management plan for the National Highway System in accordance with 
    section 119, including data collection, maintenance, and 
    integration and the costs associated with obtaining, updating, and 
    licensing software and equipment required for risk based asset 
    management and performance based management, and for similar 
    activities related to the development and implementation of a 
    performance based management program for other public roads.
        ``(25) A project that, if located within the boundaries of a 
    port terminal, includes only such surface transportation 
    infrastructure modifications as are necessary to facilitate direct 
    intermodal interchange, transfer, and access into and out of the 
    port.
        ``(26) Construction and operational improvements for any minor 
    collector if--
            ``(A) the minor collector, and the project to be carried 
        out with respect to the minor collector, are in the same 
        corridor as, and in proximity to, a Federal-aid highway 
        designated as part of the National Highway System;
            ``(B) the construction or improvements will enhance the 
        level of service on the Federal-aid highway described in 
        subparagraph (A) and improve regional traffic flow; and
            ``(C) the construction or improvements are more cost-
        effective, as determined by a benefit-cost analysis, than an 
        improvement to the Federal-aid highway described in 
        subparagraph (A).''.
    (b) Location of Projects.--Section 133 of title 23, United States 
Code, is amended by striking subsection (c) and inserting the 
following:
    ``(c) Location of Projects.--Surface transportation program 
projects may not be undertaken on roads functionally classified as 
local or rural minor collectors unless the roads were on a Federal-aid 
highway system on January 1, 1991, except--
        ``(1) as provided in subsection (g);
        ``(2) for projects described in paragraphs (2), (4), (6), (7), 
    (11), (20), (25), and (26) of subsection (b); and
        ``(3) as approved by the Secretary.''.
    (c) Allocation of Apportioned Funds.--Section 133 of the title 23, 
United States Code, is amended by striking subsection (d) and inserting 
the following:
    ``(d) Allocations of Apportioned Funds to Areas Based on 
Population.--
        ``(1) Calculation.--Of the funds apportioned to a State under 
    section 104(b)(2)--
            ``(A) 50 percent for a fiscal year shall be obligated under 
        this section, in proportion to their relative shares of the 
        population of the State--
                ``(i) in urbanized areas of the State with an urbanized 
            area population of over 200,000;
                ``(ii) in areas of the State other than urban areas 
            with a population greater than 5,000; and
                ``(iii) in other areas of the State; and
            ``(B) 50 percent may be obligated in any area of the State.
        ``(2) Metropolitan areas.--Funds attributed to an urbanized 
    area under paragraph (1)(A)(i) may be obligated in the metropolitan 
    area established under section 134 that encompasses the urbanized 
    area.
        ``(3) Consultation with regional transportation planning 
    organizations.--For purposes of paragraph (1)(A)(ii), before 
    obligating funding attributed to an area with a population greater 
    than 5,000 and less than 200,000, a State shall consult with the 
    regional transportation planning organizations that represent the 
    area, if any.
        ``(4) Distribution among urbanized areas of over 200,000 
    population.--
            ``(A) In general.--Except as provided in subparagraph (B), 
        the amount of funds that a State is required to obligate under 
        paragraph (1)(A)(i) shall be obligated in urbanized areas 
        described in paragraph (1)(A)(i) based on the relative 
        population of the areas.
            ``(B) Other factors.--The State may obligate the funds 
        described in subparagraph (A) based on other factors if the 
        State and the relevant metropolitan planning organizations 
        jointly apply to the Secretary for the permission to base the 
        obligation on other factors and the Secretary grants the 
        request.
        ``(5) Applicability of planning requirements.--Programming and 
    expenditure of funds for projects under this section shall be 
    consistent with sections 134 and 135.''.
    (d) Administration.--Section 133 of title 23, United States Code, 
is amended by striking subsection (e) and inserting the following:
    ``(e) Administration.--
        ``(1) Submission of project agreement.--For each fiscal year, 
    each State shall submit a project agreement that--
            ``(A) certifies that the State will meet all the 
        requirements of this section; and
            ``(B) notifies the Secretary of the amount of obligations 
        needed to carry out the program under this section.
        ``(2) Request for adjustments of amounts.--Each State shall 
    request from the Secretary such adjustments to the amount of 
    obligations referred to in paragraph (1)(B) as the State determines 
    to be necessary.
        ``(3) Effect of approval by the secretary.--Approval by the 
    Secretary of a project agreement under paragraph (1) shall be 
    deemed a contractual obligation of the United States to pay surface 
    transportation program funds made available under this title.''.
    (e) Obligation Authority.--Section 133(f)(1) of title 23, United 
States Code, is amended by striking ``2004 through 2006 and the period 
of fiscal years 2007 through 2009'' and inserting ``2011 through 
2014''.
    (f) Bridges Not on Federal-aid Highways.--Section 133 of the title 
23, United States Code, is amended by adding at the end the following:
    ``(g) Bridges Not on Federal-aid Highways.--
        ``(1) Definition of off-system bridge.--In this subsection, the 
    term `off-system bridge' means a highway bridge located on a public 
    road, other than a bridge on a Federal-aid highway.
        ``(2) Special rule.--
            ``(A) Set-aside.--Of the amounts apportioned to a State for 
        fiscal year 2013 and each fiscal year thereafter under this 
        section, the State shall obligate for activities described in 
        subsection (b)(2) for off-system bridges an amount that is not 
        less than 15 percent of the amount of funds apportioned to the 
        State for the highway bridge program for fiscal year 2009, 
        except that amounts allocated under subsection (d) shall not be 
        obligated to carry out this subsection.
            ``(B) Reduction of expenditures.--The Secretary, after 
        consultation with State and local officials, may reduce the 
        requirement for expenditures for off-system bridges under 
        subparagraph (A) with respect to the State if the Secretary 
        determines that the State has inadequate needs to justify the 
        expenditure.
        ``(3) Credit for bridges not on federal-aid highways.--
    Notwithstanding any other provision of law, with respect to any 
    project not on a Federal-aid highway for the replacement of a 
    bridge or rehabilitation of a bridge that is wholly funded from 
    State and local sources, is eligible for Federal funds under this 
    section, is noncontroversial, is certified by the State to have 
    been carried out in accordance with all standards applicable to 
    such projects under this section, and is determined by the 
    Secretary upon completion to be no longer a deficient bridge--
            ``(A) any amount expended after the date of enactment of 
        this subsection from State and local sources for the project in 
        excess of 20 percent of the cost of construction of the project 
        may be credited to the non-Federal share of the cost of other 
        bridge projects in the State that are eligible for Federal 
        funds under this section; and
            ``(B) that crediting shall be conducted in accordance with 
        procedures established by the Secretary.
    ``(h) Special Rule for Areas of Less Than 5,000 Population.--
        ``(1) Special rule.--Notwithstanding subsection (c), and except 
    as provided in paragraph (2), up to 15 percent of the amounts 
    required to be obligated by a State under subsection (d)(1)(A)(iii) 
    for each of fiscal years 2013 through 2014 may be obligated on 
    roads functionally classified as minor collectors.
        ``(2) Suspension.--The Secretary may suspend the application of 
    paragraph (1) with respect to a State if the Secretary determines 
    that the authority provided under paragraph (1) is being used 
    excessively by the State.''.
SEC. 1109. WORKFORCE DEVELOPMENT.
    (a) On-the-job Training.--Section 140(b) of title 23, United States 
Code, is amended--
        (1) in the second sentence, by striking ``Whenever 
    apportionments are made under section 104(b)(3) of this title,'' 
    and inserting ``From administrative funds made available under 
    section 104(a),''; and
        (2) in the fourth sentence, by striking ``and the bridge 
    program under section 144''.
    (b) Disadvantaged Business Enterprise.--Section 140(c) of title 23, 
United States Code, is amended in the second sentence by striking 
``Whenever apportionments are made under section 104(b)(3),'' and 
inserting ``From administrative funds made available under section 
104(a),''.
SEC. 1110. HIGHWAY USE TAX EVASION PROJECTS.
    Section 143 of title 23, United States Code, is amended--
        (1) in subsection (b)--
            (A) by striking paragraph (2) and inserting the following:
        ``(2) Funding.--
            ``(A) In general.--From administrative funds made available 
        under section 104(a), the Secretary shall deduct such sums as 
        are necessary, not to exceed $10,000,000 for each of fiscal 
        years 2013 and 2014, to carry out this section.
            ``(B) Allocation of funds.--Funds made available to carry 
        out this section may be allocated to the Internal Revenue 
        Service and the States at the discretion of the Secretary, 
        except that of funds so made available for each fiscal year, 
        $2,000,000 shall be available only to carry out 
        intergovernmental enforcement efforts, including research and 
        training.''; and
            (B) in paragraph (8) by striking ``section 104(b)(3)'' and 
        inserting ``section 104(b)(2)''; and
        (2) in subsection (c)(3) by striking ``for each of fiscal years 
    2005 through 2009,'' and inserting ``for each fiscal year,''.
SEC. 1111. NATIONAL BRIDGE AND TUNNEL INVENTORY AND INSPECTION 
STANDARDS.
    (a) In General.--Section 144 of title 23, United States Code, is 
amended to read as follows:
``Sec. 144. National bridge and tunnel inventory and inspection 
   standards
    ``(a) Findings and Declarations.--
        ``(1) Findings.--Congress finds that--
            ``(A) the condition of the bridges of the United States has 
        improved since the date of enactment of the Transportation 
        Equity Act for the 21st Century (Public Law 105-178; 112 Stat. 
        107), yet continued improvement to bridge conditions is 
        essential to protect the safety of the traveling public and 
        allow for the efficient movement of people and goods on which 
        the economy of the United States relies; and
            ``(B) the systematic preventative maintenance of bridges, 
        and replacement and rehabilitation of deficient bridges, should 
        be undertaken through an overall asset management approach to 
        transportation investment.
        ``(2) Declarations.--Congress declares that it is in the vital 
    interest of the United States--
            ``(A) to inventory, inspect, and improve the condition of 
        the highway bridges and tunnels of the United States;
            ``(B) to use a data-driven, risk-based approach and cost-
        effective strategy for systematic preventative maintenance, 
        replacement, and rehabilitation of highway bridges and tunnels 
        to ensure safety and extended service life;
            ``(C) to use performance-based bridge management systems to 
        assist States in making timely investments;
            ``(D) to ensure accountability and link performance 
        outcomes to investment decisions; and
            ``(E) to ensure connectivity and access for residents of 
        rural areas of the United States through strategic investments 
        in National Highway System bridges and bridges on all public 
        roads.
    ``(b) National Bridge and Tunnel Inventories.--The Secretary, in 
consultation with the States and Federal agencies with jurisdiction 
over highway bridges and tunnels, shall--
        ``(1) inventory all highway bridges on public roads, on and off 
    Federal-aid highways, including tribally owned and Federally owned 
    bridges, that are bridges over waterways, other topographical 
    barriers, other highways, and railroads;
        ``(2) inventory all tunnels on public roads, on and off 
    Federal-aid highways, including tribally owned and Federally owned 
    tunnels;
        ``(3) classify the bridges according to serviceability, safety, 
    and essentiality for public use, including the potential impacts to 
    emergency evacuation routes and to regional and national freight 
    and passenger mobility if the serviceability of the bridge is 
    restricted or diminished;
        ``(4) based on that classification, assign each a risk-based 
    priority for systematic preventative maintenance, replacement, or 
    rehabilitation; and
        ``(5) determine the cost of replacing each structurally 
    deficient bridge identified under this subsection with a comparable 
    facility or the cost of rehabilitating the bridge.
    ``(c) General Bridge Authority.--
        ``(1) In general.--Except as provided in paragraph (2) and 
    notwithstanding any other provision of law, the General Bridge Act 
    of 1946 (33 U.S.C. 525 et seq.) shall apply to bridges authorized 
    to be replaced, in whole or in part, by this title.
        ``(2) Exception.--Section 502(b) of the General Bridge Act of 
    1946 (33 U.S.C. 525(b)) and section 9 of the Act of March 3, 1899 
    (33 U.S.C. 401), shall not apply to any bridge constructed, 
    reconstructed, rehabilitated, or replaced with assistance under 
    this title, if the bridge is over waters that--
            ``(A) are not used and are not susceptible to use in the 
        natural condition of the bridge or by reasonable improvement as 
        a means to transport interstate or foreign commerce; and
            ``(B) are--
                ``(i) not tidal; or
                ``(ii) if tidal, used only by recreational boating, 
            fishing, and other small vessels that are less than 21 feet 
            in length.
    ``(d) Inventory Updates and Reports.--
        ``(1) In general.--The Secretary shall--
            ``(A) annually revise the inventories authorized by 
        subsection (b); and
            ``(B) submit to the Committee on Transportation and 
        Infrastructure of the House of Representatives and the 
        Committee on Environment and Public Works of the Senate a 
        report on the inventories.
        ``(2) Inspection report.--Not later than 2 years after the date 
    of enactment of the MAP-21, each State and appropriate Federal 
    agency shall report element level data to the Secretary, as each 
    bridge is inspected pursuant to this section, for all highway 
    bridges on the National Highway System.
        ``(3) Guidance.--The Secretary shall provide guidance to States 
    and Federal agencies for implementation of this subsection, while 
    respecting the existing inspection schedule of each State.
        ``(4) Bridges not on national highway system.--The Secretary 
    shall--
            ``(A) conduct a study on the benefits, cost-effectiveness, 
        and feasibility of requiring element-level data collection for 
        bridges not on the National Highway System; and
            ``(B) submit to the Committee on Transportation and 
        Infrastructure of the House of Representatives and the 
        Committee on Environment and Public Works of the Senate a 
        report on the results of the study.
    ``(e) Bridges Without Taxing Powers.--
        ``(1) In general.--Notwithstanding any other provision of law, 
    any bridge that is owned and operated by an agency that does not 
    have taxing powers and whose functions include operating a 
    federally assisted public transit system subsidized by toll 
    revenues shall be eligible for assistance under this title, but the 
    amount of such assistance shall in no event exceed the cumulative 
    amount which such agency has expended for capital and operating 
    costs to subsidize such transit system.
        ``(2) Insufficient assets.--Before authorizing an expenditure 
    of funds under this subsection, the Secretary shall determine that 
    the applicant agency has insufficient reserves, surpluses, and 
    projected revenues (over and above those required for bridge and 
    transit capital and operating costs) to fund the bridge project or 
    activity eligible for assistance under this title.
        ``(3) Crediting of non-federal funds.--Any non-Federal funds 
    expended for the seismic retrofit of the bridge may be credited 
    toward the non-Federal share required as a condition of receipt of 
    any Federal funds for seismic retrofit of the bridge made available 
    after the date of the expenditure.
    ``(f) Replacement of Destroyed Bridges and Ferry Boat Service.--
        ``(1) In general.--Notwithstanding any other provision of law, 
    a State may use the funds apportioned under section 104(b)(2) to 
    construct any bridge that replaces--
            ``(A) any low water crossing (regardless of the length of 
        the low water crossing);
            ``(B) any bridge that was destroyed prior to January 1, 
        1965;
            ``(C) any ferry that was in existence on January 1, 1984; 
        or
            ``(D) any road bridge that is rendered obsolete as a result 
        of a Corps of Engineers flood control or channelization project 
        and is not rebuilt with funds from the Corps of Engineers.
        ``(2) Federal share.--The Federal share payable on any bridge 
    construction carried out under paragraph (1) shall be 80 percent of 
    the cost of the construction.
    ``(g) Historic Bridges.--
        ``(1) Definition of historic bridge.--In this subsection, the 
    term `historic bridge' means any bridge that is listed on, or 
    eligible for listing on, the National Register of Historic Places.
        ``(2) Coordination.--The Secretary shall, in cooperation with 
    the States, encourage the retention, rehabilitation, adaptive 
    reuse, and future study of historic bridges.
        ``(3) State inventory.--The Secretary shall require each State 
    to complete an inventory of all bridges on and off Federal-aid 
    highways to determine the historic significance of the bridges.
        ``(4) Eligibility.--
            ``(A) In general.--Subject to subparagraph (B), reasonable 
        costs associated with actions to preserve, or reduce the impact 
        of a project under this chapter on, the historic integrity of a 
        historic bridge shall be eligible as reimbursable project costs 
        under section 133 if the load capacity and safety features of 
        the historic bridge are adequate to serve the intended use for 
        the life of the historic bridge.
            ``(B) Bridges not used for vehicle traffic.--In the case of 
        a historic bridge that is no longer used for motorized 
        vehicular traffic, the costs eligible as reimbursable project 
        costs pursuant to this chapter shall not exceed the estimated 
        cost of demolition of the historic bridge.
        ``(5) Preservation.--Any State that proposes to demolish a 
    historic bridge for a replacement project with funds made available 
    to carry out this section shall first make the historic bridge 
    available for donation to a State, locality, or responsible private 
    entity if the State, locality, or responsible entity enters into an 
    agreement--
            ``(A) to maintain the bridge and the features that give the 
        historic bridge its historic significance; and
            ``(B) to assume all future legal and financial 
        responsibility for the historic bridge, which may include an 
        agreement to hold the State transportation department harmless 
        in any liability action.
        ``(6) Costs incurred.--
            ``(A) In general.--Costs incurred by the State to preserve 
        a historic bridge (including funds made available to the State, 
        locality, or private entity to enable it to accept the bridge) 
        shall be eligible as reimbursable project costs under this 
        chapter in an amount not to exceed the cost of demolition.
            ``(B) Additional funding.--Any bridge preserved pursuant to 
        this paragraph shall not be eligible for any other funds 
        authorized pursuant to this title.
    ``(h) National Bridge and Tunnel Inspection Standards.--
        ``(1) Requirement.--
            ``(A) In general.--The Secretary shall establish and 
        maintain inspection standards for the proper inspection and 
        evaluation of all highway bridges and tunnels for safety and 
        serviceability.
            ``(B) Uniformity.--The standards under this subsection 
        shall be designed to ensure uniformity of the inspections and 
        evaluations.
        ``(2) Minimum requirements of inspection standards.--The 
    standards established under paragraph (1) shall, at a minimum--
            ``(A) specify, in detail, the method by which the 
        inspections shall be carried out by the States, Federal 
        agencies, and tribal governments;
            ``(B) establish the maximum time period between 
        inspections;
            ``(C) establish the qualifications for those charged with 
        carrying out the inspections;
            ``(D) require each State, Federal agency, and tribal 
        government to maintain and make available to the Secretary on 
        request--
                ``(i) written reports on the results of highway bridge 
            and tunnel inspections and notations of any action taken 
            pursuant to the findings of the inspections; and
                ``(ii) current inventory data for all highway bridges 
            and tunnels reflecting the findings of the most recent 
            highway bridge and tunnel inspections conducted; and
            ``(E) establish a procedure for national certification of 
        highway bridge inspectors and tunnel inspectors.
        ``(3) State compliance with inspection standards.--The 
    Secretary shall, at a minimum--
            ``(A) establish, in consultation with the States, Federal 
        agencies, and interested and knowledgeable private 
        organizations and individuals, procedures to conduct reviews of 
        State compliance with--
                ``(i) the standards established under this subsection; 
            and
                ``(ii) the calculation or reevaluation of bridge load 
            ratings; and
            ``(B) establish, in consultation with the States, Federal 
        agencies, and interested and knowledgeable private 
        organizations and individuals, procedures for States to follow 
        in reporting to the Secretary--
                ``(i) critical findings relating to structural or 
            safety-related deficiencies of highway bridges and tunnels; 
            and
                ``(ii) monitoring activities and corrective actions 
            taken in response to a critical finding described in clause 
            (i).
        ``(4) Reviews of state compliance.--
            ``(A) In general.--The Secretary shall annually review 
        State compliance with the standards established under this 
        section.
            ``(B) Noncompliance.--If an annual review in accordance 
        with subparagraph (A) identifies noncompliance by a State, the 
        Secretary shall--
                ``(i) issue a report detailing the issues of the 
            noncompliance by December 31 of the calendar year in which 
            the review was made; and
                ``(ii) provide the State an opportunity to address the 
            noncompliance by--

                    ``(I) developing a corrective action plan to remedy 
                the noncompliance; or
                    ``(II) resolving the issues of noncompliance not 
                later than 45 days after the date of notification.

        ``(5) Penalty for noncompliance.--
            ``(A) In general.--If a State fails to satisfy the 
        requirements of paragraph (4)(B) by August 1 of the calendar 
        year following the year of a finding of noncompliance, the 
        Secretary shall, on October 1 of that year, and each year 
        thereafter as may be necessary, require the State to dedicate 
        funds apportioned to the State under sections 119 and 133 after 
        the date of enactment of the MAP-21 to correct the 
        noncompliance with the minimum inspection standards established 
        under this subsection.
            ``(B) Amount.--The amount of the funds to be directed to 
        correcting noncompliance in accordance with subparagraph (A) 
        shall--
                ``(i) be determined by the State based on an analysis 
            of the actions needed to address the noncompliance; and
                ``(ii) require approval by the Secretary.
        ``(6) Update of standards.--Not later than 3 years after the 
    date of enactment of the MAP-21, the Secretary shall update 
    inspection standards to cover--
            ``(A) the methodology, training, and qualifications for 
        inspectors; and
            ``(B) the frequency of inspection.
        ``(7) Risk-based approach.--In carrying out the revisions 
    required by paragraph (6), the Secretary shall consider a risk-
    based approach to determining the frequency of bridge inspections.
    ``(i) Training Program for Bridge and Tunnel Inspectors.--
        ``(1) In general.--The Secretary, in cooperation with the State 
    transportation departments, shall maintain a program designed to 
    train appropriate personnel to carry out highway bridge and tunnel 
    inspections.
        ``(2) Revisions.--The training program shall be revised from 
    time to time to take into account new and improved techniques.
    ``(j) Availability of Funds.--In carrying out this section--
        ``(1) the Secretary may use funds made available to the 
    Secretary under sections 104(a) and 503;
        ``(2) a State may use amounts apportioned to the State under 
    section 104(b)(1) and 104(b)(3);
        ``(3) an Indian tribe may use funds made available to the 
    Indian tribe under section 202; and
        ``(4) a Federal agency may use funds made available to the 
    agency under section 503.''.
    (b) Conforming Amendment.--The analysis for chapter 1 of title 23, 
United States Code, is amended by striking the item relating to section 
144 and inserting the following:

``144. National bridge and tunnel inventory and inspection standards.''.
SEC. 1112. HIGHWAY SAFETY IMPROVEMENT PROGRAM.
    (a) In General.--Section 148 of title 23, United States Code, is 
amended to read as follows:
``Sec. 148. Highway safety improvement program
    ``(a) Definitions.--In this section, the following definitions 
apply:
        ``(1) High risk rural road.--The term `high risk rural road' 
    means any roadway functionally classified as a rural major or minor 
    collector or a rural local road with significant safety risks, as 
    defined by a State in accordance with an updated State strategic 
    highway safety plan.
        ``(2) Highway basemap.--The term `highway basemap' means a 
    representation of all public roads that can be used to geolocate 
    attribute data on a roadway.
        ``(3) Highway safety improvement program.--The term `highway 
    safety improvement program' means projects, activities, plans, and 
    reports carried out under this section.
        ``(4) Highway safety improvement project.--
            ``(A) In general.--The term `highway safety improvement 
        project' means strategies, activities, and projects on a public 
        road that are consistent with a State strategic highway safety 
        plan and--
                ``(i) correct or improve a hazardous road location or 
            feature; or
                ``(ii) address a highway safety problem.
            ``(B) Inclusions.--The term `highway safety improvement 
        project' includes, but is not limited to, a project for 1 or 
        more of the following:
                ``(i) An intersection safety improvement.
                ``(ii) Pavement and shoulder widening (including 
            addition of a passing lane to remedy an unsafe condition).
                ``(iii) Installation of rumble strips or another 
            warning device, if the rumble strips or other warning 
            devices do not adversely affect the safety or mobility of 
            bicyclists and pedestrians, including persons with 
            disabilities.
                ``(iv) Installation of a skid-resistant surface at an 
            intersection or other location with a high frequency of 
            crashes.
                ``(v) An improvement for pedestrian or bicyclist safety 
            or safety of persons with disabilities.
                ``(vi) Construction and improvement of a railway-
            highway grade crossing safety feature, including 
            installation of protective devices.
                ``(vii) The conduct of a model traffic enforcement 
            activity at a railway-highway crossing.
                ``(viii) Construction of a traffic calming feature.
                ``(ix) Elimination of a roadside hazard.
                ``(x) Installation, replacement, and other improvement 
            of highway signage and pavement markings, or a project to 
            maintain minimum levels of retroreflectivity, that 
            addresses a highway safety problem consistent with a State 
            strategic highway safety plan.
                ``(xi) Installation of a priority control system for 
            emergency vehicles at signalized intersections.
                ``(xii) Installation of a traffic control or other 
            warning device at a location with high crash potential.
                ``(xiii) Transportation safety planning.
                ``(xiv) Collection, analysis, and improvement of safety 
            data.
                ``(xv) Planning integrated interoperable emergency 
            communications equipment, operational activities, or 
            traffic enforcement activities (including police 
            assistance) relating to work zone safety.
                ``(xvi) Installation of guardrails, barriers (including 
            barriers between construction work zones and traffic lanes 
            for the safety of road users and workers), and crash 
            attenuators.
                ``(xvii) The addition or retrofitting of structures or 
            other measures to eliminate or reduce crashes involving 
            vehicles and wildlife.
                ``(xviii) Installation of yellow-green signs and 
            signals at pedestrian and bicycle crossings and in school 
            zones.
                ``(xix) Construction and operational improvements on 
            high risk rural roads.
                ``(xx) Geometric improvements to a road for safety 
            purposes that improve safety.
                ``(xxi) A road safety audit.
                ``(xxii) Roadway safety infrastructure improvements 
            consistent with the recommendations included in the 
            publication of the Federal Highway Administration entitled 
            `Highway Design Handbook for Older Drivers and Pedestrians' 
            (FHWA-RD-01-103), dated May 2001 or as subsequently revised 
            and updated.
                ``(xxiii) Truck parking facilities eligible for funding 
            under section 1401 of the MAP-21.
                ``(xxiv) Systemic safety improvements.
        ``(5) Model inventory of roadway elements.--The term `model 
    inventory of roadway elements' means the listing and standardized 
    coding by the Federal Highway Administration of roadway and traffic 
    data elements critical to safety management, analysis, and 
    decisionmaking.
        ``(6) Project to maintain minimum levels of 
    retroreflectivity.--The term `project to maintain minimum levels of 
    retroreflectivity' means a project that is designed to maintain a 
    highway sign or pavement marking retroreflectivity at or above the 
    minimum levels prescribed in Federal or State regulations.
        ``(7) Road safety audit.--The term `road safety audit' means a 
    formal safety performance examination of an existing or future road 
    or intersection by an independent multidisciplinary audit team.
        ``(8) Road users.--The term `road user' means a motorist, 
    passenger, public transportation operator or user, truck driver, 
    bicyclist, motorcyclist, or pedestrian, including a person with 
    disabilities.
        ``(9) Safety data.--
            ``(A) In general.--The term `safety data' means crash, 
        roadway, and traffic data on a public road.
            ``(B) Inclusion.--The term `safety data' includes, in the 
        case of a railway-highway grade crossing, the characteristics 
        of highway and train traffic, licensing, and vehicle data.
        ``(10) Safety project under any other section.--
            ``(A) In general.--The term `safety project under any other 
        section' means a project carried out for the purpose of safety 
        under any other section of this title.
            ``(B) Inclusion.--The term `safety project under any other 
        section' includes--
                ``(i) a project consistent with the State strategic 
            highway safety plan that promotes the awareness of the 
            public and educates the public concerning highway safety 
            matters (including motorcycle safety);
                ``(ii) a project to enforce highway safety laws; and
                ``(iii) a project to provide infrastructure and 
            infrastructure-related equipment to support emergency 
            services.
        ``(11) State highway safety improvement program.--The term 
    `State highway safety improvement program' means a program of 
    highway safety improvement projects, activities, plans and reports 
    carried out as part of the Statewide transportation improvement 
    program under section 135(g).
        ``(12) State strategic highway safety plan.--The term `State 
    strategic highway safety plan' means a comprehensive plan, based on 
    safety data, developed by a State transportation department that--
            ``(A) is developed after consultation with--
                ``(i) a highway safety representative of the Governor 
            of the State;
                ``(ii) regional transportation planning organizations 
            and metropolitan planning organizations, if any;
                ``(iii) representatives of major modes of 
            transportation;
                ``(iv) State and local traffic enforcement officials;
                ``(v) a highway-rail grade crossing safety 
            representative of the Governor of the State;
                ``(vi) representatives conducting a motor carrier 
            safety program under section 31102, 31106, or 31309 of 
            title 49;
                ``(vii) motor vehicle administration agencies;
                ``(viii) county transportation officials;
                ``(ix) State representatives of nonmotorized users; and
                ``(x) other major Federal, State, tribal, and local 
            safety stakeholders;
            ``(B) analyzes and makes effective use of State, regional, 
        local, or tribal safety data;
            ``(C) addresses engineering, management, operation, 
        education, enforcement, and emergency services elements 
        (including integrated, interoperable emergency communications) 
        of highway safety as key factors in evaluating highway 
        projects;
            ``(D) considers safety needs of, and high-fatality segments 
        of, all public roads, including non-State-owned public roads 
        and roads on tribal land;
            ``(E) considers the results of State, regional, or local 
        transportation and highway safety planning processes;
            ``(F) describes a program of strategies to reduce or 
        eliminate safety hazards;
            ``(G) is approved by the Governor of the State or a 
        responsible State agency;
            ``(H) is consistent with section 135(g); and
            ``(I) is updated and submitted to the Secretary for 
        approval as required under subsection (d)(2).
        ``(13) Systemic safety improvement.--The term `systemic safety 
    improvement' means an improvement that is widely implemented based 
    on high-risk roadway features that are correlated with particular 
    crash types, rather than crash frequency.
    ``(b) Program.--
        ``(1) In general.--The Secretary shall carry out a highway 
    safety improvement program.
        ``(2) Purpose.--The purpose of the highway safety improvement 
    program shall be to achieve a significant reduction in traffic 
    fatalities and serious injuries on all public roads, including non-
    State-owned public roads and roads on tribal land.
    ``(c) Eligibility.--
        ``(1) In general.--To obligate funds apportioned under section 
    104(b)(3) to carry out this section, a State shall have in effect a 
    State highway safety improvement program under which the State--
            ``(A) develops, implements, and updates a State strategic 
        highway safety plan that identifies and analyzes highway safety 
        problems and opportunities as provided in subsections (a)(12) 
        and (d);
            ``(B) produces a program of projects or strategies to 
        reduce identified safety problems; and
            ``(C) evaluates the strategic highway safety plan on a 
        regularly recurring basis in accordance with subsection (d)(1) 
        to ensure the accuracy of the data and priority of proposed 
        strategies.
        ``(2) Identification and analysis of highway safety problems 
    and opportunities.--As part of the State highway safety improvement 
    program, a State shall--
            ``(A) have in place a safety data system with the ability 
        to perform safety problem identification and countermeasure 
        analysis--
                ``(i) to improve the timeliness, accuracy, 
            completeness, uniformity, integration, and accessibility of 
            the safety data on all public roads, including non-State-
            owned public roads and roads on tribal land in the State;
                ``(ii) to evaluate the effectiveness of data 
            improvement efforts;
                ``(iii) to link State data systems, including traffic 
            records, with other data systems within the State;
                ``(iv) to improve the compatibility and 
            interoperability of safety data with other State 
            transportation-related data systems and the compatibility 
            and interoperability of State safety data systems with data 
            systems of other States and national data systems;
                ``(v) to enhance the ability of the Secretary to 
            observe and analyze national trends in crash occurrences, 
            rates, outcomes, and circumstances; and
                ``(vi) to improve the collection of data on 
            nonmotorized crashes;
            ``(B) based on the analysis required by subparagraph (A)--
                ``(i) identify hazardous locations, sections, and 
            elements (including roadside obstacles, railway-highway 
            crossing needs, and unmarked or poorly marked roads) that 
            constitute a danger to motorists (including motorcyclists), 
            bicyclists, pedestrians, and other highway users;
                ``(ii) using such criteria as the State determines to 
            be appropriate, establish the relative severity of those 
            locations, in terms of crashes (including crash rates), 
            fatalities, serious injuries, traffic volume levels, and 
            other relevant data;
                ``(iii) identify the number of fatalities and serious 
            injuries on all public roads by location in the State;
                ``(iv) identify highway safety improvement projects on 
            the basis of crash experience, crash potential, crash rate, 
            or other data-supported means; and
                ``(v) consider which projects maximize opportunities to 
            advance safety;
            ``(C) adopt strategic and performance-based goals that--
                ``(i) address traffic safety, including behavioral and 
            infrastructure problems and opportunities on all public 
            roads;
                ``(ii) focus resources on areas of greatest need; and
                ``(iii) are coordinated with other State highway safety 
            programs;
            ``(D) advance the capabilities of the State for safety data 
        collection, analysis, and integration in a manner that--
                ``(i) complements the State highway safety program 
            under chapter 4 and the commercial vehicle safety plan 
            under section 31102 of title 49;
                ``(ii) includes all public roads, including public non-
            State-owned roads and roads on tribal land;
                ``(iii) identifies hazardous locations, sections, and 
            elements on all public roads that constitute a danger to 
            motorists (including motorcyclists), bicyclists, 
            pedestrians, persons with disabilities, and other highway 
            users;
                ``(iv) includes a means of identifying the relative 
            severity of hazardous locations described in clause (iii) 
            in terms of crashes (including crash rate), serious 
            injuries, fatalities, and traffic volume levels; and
                ``(v) improves the ability of the State to identify the 
            number of fatalities and serious injuries on all public 
            roads in the State with a breakdown by functional 
            classification and ownership in the State;
            ``(E)(i) determine priorities for the correction of 
        hazardous road locations, sections, and elements (including 
        railway-highway crossing improvements), as identified through 
        safety data analysis;
            ``(ii) identify opportunities for preventing the 
        development of such hazardous conditions; and
            ``(iii) establish and implement a schedule of highway 
        safety improvement projects for hazard correction and hazard 
        prevention; and
            ``(F)(i) establish an evaluation process to analyze and 
        assess results achieved by highway safety improvement projects 
        carried out in accordance with procedures and criteria 
        established by this section; and
            ``(ii) use the information obtained under clause (i) in 
        setting priorities for highway safety improvement projects.
    ``(d) Updates to Strategic Highway Safety Plans.--
        ``(1) Establishment of requirements.--
            ``(A) In general.--Not later than 1 year after the date of 
        enactment of the MAP-21, the Secretary shall establish 
        requirements for regularly recurring State updates of strategic 
        highway safety plans.
            ``(B) Contents of updated strategic highway safety plans.--
        In establishing requirements under this subsection, the 
        Secretary shall ensure that States take into consideration, 
        with respect to updated strategic highway safety plans--
                ``(i) the findings of road safety audits;
                ``(ii) the locations of fatalities and serious 
            injuries;
                ``(iii) the locations that do not have an empirical 
            history of fatalities and serious injuries, but possess 
            risk factors for potential crashes;
                ``(iv) rural roads, including all public roads, 
            commensurate with fatality data;
                ``(v) motor vehicle crashes that include fatalities or 
            serious injuries to pedestrians and bicyclists;
                ``(vi) the cost-effectiveness of improvements;
                ``(vii) improvements to rail-highway grade crossings; 
            and
                ``(viii) safety on all public roads, including non-
            State-owned public roads and roads on tribal land.
        ``(2) Approval of updated strategic highway safety plans.--
            ``(A) In general.--Each State shall--
                ``(i) update the strategic highway safety plans of the 
            State in accordance with the requirements established by 
            the Secretary under this subsection; and
                ``(ii) submit the updated plans to the Secretary, along 
            with a detailed description of the process used to update 
            the plan.
            ``(B) Requirements for approval.--The Secretary shall not 
        approve the process for an updated strategic highway safety 
        plan unless--
                ``(i) the updated strategic highway safety plan is 
            consistent with the requirements of this subsection and 
            subsection (a)(12); and
                ``(ii) the process used is consistent with the 
            requirements of this subsection.
        ``(3) Penalty for failure to have an approved updated strategic 
    highway safety plan.--If a State does not have an updated strategic 
    highway safety plan with a process approved by the Secretary by 
    August 1 of the fiscal year beginning after the date of 
    establishment of the requirements under paragraph (1), the State 
    shall not be eligible to receive any additional limitation pursuant 
    to the redistribution of the limitation on obligations for Federal-
    aid highway and highway safety construction programs that occurs 
    after August 1 for each succeeding fiscal year until the fiscal 
    year during which the plan is approved.
    ``(e) Eligible Projects.--
        ``(1) In general.--Funds apportioned to the State under section 
    104(b)(3) may be obligated to carry out--
            ``(A) any highway safety improvement project on any public 
        road or publicly owned bicycle or pedestrian pathway or trail;
            ``(B) as provided in subsection (g); or
            ``(C) any project to maintain minimum levels of 
        retroreflectivity with respect to a public road, without regard 
        to whether the project is included in an applicable State 
        strategic highway safety plan.
        ``(2) Use of other funding for safety.--
            ``(A) Effect of section.--Nothing in this section prohibits 
        the use of funds made available under other provisions of this 
        title for highway safety improvement projects.
            ``(B) Use of other funds.--States are encouraged to address 
        the full scope of the safety needs and opportunities of the 
        States by using funds made available under other provisions of 
        this title (except a provision that specifically prohibits that 
        use).
    ``(f) Data Improvement.--
        ``(1) Definition of data improvement activities.--In this 
    subsection, the following definitions apply:
            ``(A) In general.--The term `data improvement activities' 
        means a project or activity to further the capacity of a State 
        to make more informed and effective safety infrastructure 
        investment decisions.
            ``(B) Inclusions.--The term `data improvement activities' 
        includes a project or activity--
                ``(i) to create, update, or enhance a highway basemap 
            of all public roads in a State;
                ``(ii) to collect safety data, including data 
            identified as part of the model inventory for roadway 
            elements, for creation of or use on a highway basemap of 
            all public roads in a State;
                ``(iii) to store and maintain safety data in an 
            electronic manner;
                ``(iv) to develop analytical processes for safety data 
            elements;
                ``(v) to acquire and implement roadway safety analysis 
            tools; and
                ``(vi) to support the collection, maintenance, and 
            sharing of safety data on all public roads and related 
            systems associated with the analytical usage of that data.
        ``(2) Model inventory of roadway elements.--The Secretary 
    shall--
            ``(A) establish a subset of the model inventory of roadway 
        elements that are useful for the inventory of roadway safety; 
        and
            ``(B) ensure that States adopt and use the subset to 
        improve data collection.
    ``(g) Special Rules.--
        ``(1) High-risk rural road safety.--If the fatality rate on 
    rural roads in a State increases over the most recent 2-year period 
    for which data are available, that State shall be required to 
    obligate in the next fiscal year for projects on high risk rural 
    roads an amount equal to at least 200 percent of the amount of 
    funds the State received for fiscal year 2009 for high risk rural 
    roads under subsection (f) of this section, as in effect on the day 
    before the date of enactment of the MAP-21.
        ``(2) Older drivers.--If traffic fatalities and serious 
    injuries per capita for drivers and pedestrians over the age of 65 
    in a State increases during the most recent 2-year period for which 
    data are available, that State shall be required to include, in the 
    subsequent Strategic Highway Safety Plan of the State, strategies 
    to address the increases in those rates, taking into account the 
    recommendations included in the publication of the Federal Highway 
    Administration entitled `Highway Design Handbook for Older Drivers 
    and Pedestrians' (FHWA-RD-01-103), and dated May 2001, or as 
    subsequently revised and updated.
    ``(h) Reports.--
        ``(1) In general.--A State shall submit to the Secretary a 
    report that--
            ``(A) describes progress being made to implement highway 
        safety improvement projects under this section;
            ``(B) assesses the effectiveness of those improvements; and
            ``(C) describes the extent to which the improvements funded 
        under this section have contributed to reducing--
                ``(i) the number and rate of fatalities on all public 
            roads with, to the maximum extent practicable, a breakdown 
            by functional classification and ownership in the State;
                ``(ii) the number and rate of serious injuries on all 
            public roads with, to the maximum extent practicable, a 
            breakdown by functional classification and ownership in the 
            State; and
                ``(iii) the occurrences of fatalities and serious 
            injuries at railway-highway crossings.
        ``(2) Contents; schedule.--The Secretary shall establish the 
    content and schedule for the submission of the report under 
    paragraph (1).
        ``(3) Transparency.--The Secretary shall make strategic highway 
    safety plans submitted under subsection (d) and reports submitted 
    under this subsection available to the public through--
            ``(A) the website of the Department; and
            ``(B) such other means as the Secretary determines to be 
        appropriate.
        ``(4) Discovery and admission into evidence of certain reports, 
    surveys, and information.--Notwithstanding any other provision of 
    law, reports, surveys, schedules, lists, or data compiled or 
    collected for any purpose relating to this section, shall not be 
    subject to discovery or admitted into evidence in a Federal or 
    State court proceeding or considered for other purposes in any 
    action for damages arising from any occurrence at a location 
    identified or addressed in the reports, surveys, schedules, lists, 
    or other data.
    ``(i) State Performance Targets.--If the Secretary determines that 
a State has not met or made significant progress toward meeting the 
performance targets of the State established under section 150(d) by 
the date that is 2 years after the date of the establishment of the 
performance targets, the State shall--
        ``(1) use obligation authority equal to the apportionment of 
    the State for the prior year under section 104(b)(3) only for 
    highway safety improvement projects under this section until the 
    Secretary determines that the State has met or made significant 
    progress toward meeting the performance targets of the State; and
        ``(2) submit annually to the Secretary, until the Secretary 
    determines that the State has met or made significant progress 
    toward meeting the performance targets of the State, an 
    implementation plan that--
            ``(A) identifies roadway features that constitute a hazard 
        to road users;
            ``(B) identifies highway safety improvement projects on the 
        basis of crash experience, crash potential, or other data-
        supported means;
            ``(C) describes how highway safety improvement program 
        funds will be allocated, including projects, activities, and 
        strategies to be implemented;
            ``(D) describes how the proposed projects, activities, and 
        strategies funded under the State highway safety improvement 
        program will allow the State to make progress toward achieving 
        the safety performance targets of the State; and
            ``(E) describes the actions the State will undertake to 
        meet the performance targets of the State.
    ``(j) Federal Share of Highway Safety Improvement Projects.--Except 
as provided in sections 120 and 130, the Federal share of the cost of a 
highway safety improvement project carried out with funds apportioned 
to a State under section 104(b)(3) shall be 90 percent.''.
    (b) Study of High-risk Rural Roads Best Practices.--
        (1) Study.--
            (A) In general.--The Secretary shall conduct a study of the 
        best practices for implementing cost-effective roadway safety 
        infrastructure improvements on high-risk rural roads.
            (B) Methodology.--In carrying out the study, the Secretary 
        shall--
                (i) conduct a thorough literature review;
                (ii) survey current practices of State departments of 
            transportation; and
                (iii) survey current practices of local units of 
            government, as appropriate.
            (C) Consultation.--In carrying out the study, the Secretary 
        shall consult with--
                (i) State departments of transportation;
                (ii) county engineers and public works professionals;
                (iii) appropriate local officials; and
                (iv) appropriate private sector experts in the field of 
            roadway safety infrastructure.
        (2) Report.--
            (A) In general.--Not later than 1 year after the date of 
        enactment of this Act, 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 on the results of the study.
            (B) Contents.--The report shall include--
                (i) a summary of cost-effective roadway safety 
            infrastructure improvements;
                (ii) a summary of the latest research on the financial 
            savings and reduction in fatalities and serious bodily 
            injury crashes from the implementation of cost-effective 
            roadway safety infrastructure improvements; and
                (iii) recommendations for State and local governments 
            on best practice methods to install cost-effective roadway 
            safety infrastructure on high-risk rural roads.
        (3) Manual.--
            (A) Development.--Based on the results of the study under 
        paragraph (2), the Secretary, in consultation with the 
        individuals and entities described in paragraph (1)(C), shall 
        develop a best practices manual to support Federal, State, and 
        local efforts to reduce fatalities and serious bodily injury 
        crashes on high-risk rural roads through the use of cost-
        effective roadway safety infrastructure improvements.
            (B) Availability.--The manual shall be made available to 
        State and local governments not later than 180 days after the 
        date of submission of the report under paragraph (2).
            (C) Contents.--The manual shall include, at a minimum, a 
        list of cost-effective roadway safety infrastructure 
        improvements and best practices on the installation of cost-
        effective roadway safety infrastructure improvements on high-
        risk rural roads.
            (D) Use of manual.--Use of the manual shall be voluntary 
        and the manual shall not establish any binding standards or 
        legal duties on State or local governments, or any other 
        person.
SEC. 1113. CONGESTION MITIGATION AND AIR QUALITY IMPROVEMENT PROGRAM.
    (a) Eligible Projects.--Section 149(b) of title 23, United States 
Code, is amended--
        (1) in the matter preceding paragraph (1)--
            (A) by striking ``in subsection (c)'' and inserting ``in 
        subsection (d)''; and
            (B) by striking ``section 104(b)(2)'' and inserting 
        ``section 104(b)(4)'';
        (2) in paragraph (5)--
            (A) by inserting ``add turning lanes,'' after ``improve 
        intersections,''; and
            (B) by striking ``paragraph;'' and inserting ``paragraph, 
        including programs or projects to improve incident and 
        emergency response or improve mobility, such as through real-
        time traffic, transit, and multimodal traveler information;'';
        (3) in paragraph (6) by striking ``or'' at the end;
        (4) in paragraph (7)(A)(ii) by striking ``published in the list 
    under subsection (f)(2)'' and inserting ``verified technologies (as 
    defined in section 791 of the Energy Policy Act of 2005 (42 U.S.C. 
    16131))'';
        (5) by striking the matter following paragraph (7);
        (6) by redesignating paragraph (7) as paragraph (8); and
        (7) by inserting after paragraph (6) the following:
        ``(7) if the project or program shifts traffic demand to 
    nonpeak hours or other transportation modes, increases vehicle 
    occupancy rates, or otherwise reduces demand for roads through such 
    means as telecommuting, ridesharing, carsharing, alternative work 
    hours, and pricing; or''.
    (b) Special Rules.--Section 149 of title 23, United States Code, is 
amended--
        (1) by redesignating subsections (c) through (h) as subsections 
    (d) through (i) respectively;
        (2) by inserting after subsection (b) the following:
    ``(c) Special Rules.--
        ``(1) Projects for pm-10 nonattainment areas.--A State may 
    obligate funds apportioned to the State under section 104(b)(4) for 
    a project or program for an area that is nonattainment for ozone or 
    carbon monoxide, or both, and for PM-10 resulting from 
    transportation activities, without regard to any limitation of the 
    Department of Transportation relating to the type of ambient air 
    quality standard such project or program addresses.
        ``(2) Electric vehicle and natural gas vehicle 
    infrastructure.--A State may obligate funds apportioned under 
    section 104(b)(4) for a project or program to establish electric 
    vehicle charging stations or natural gas vehicle refueling stations 
    for the use of battery powered or natural gas fueled trucks or 
    other motor vehicles at any location in the State except that such 
    stations may not be established or supported where commercial 
    establishments serving motor vehicle users are prohibited by 
    section 111 of title 23, United States Code.
        ``(3) HOV facilities.--No funds may be provided under this 
    section for a project which will result in the construction of new 
    capacity available to single occupant vehicles unless the project 
    consists of a high occupancy vehicle facility available to single 
    occupant vehicles only at other than peak travel times.'';
        (3) by striking subsection (d) (as redesignated by paragraph 
    (1)) and inserting the following:
    ``(d) States Flexibility.--
        ``(1) States without a nonattainment area.--If a State does not 
    have, and never has had, a nonattainment area designated under the 
    Clean Air Act (42 U.S.C. 7401 et seq.), the State may use funds 
    apportioned to the State under section 104(b)(4) for any project in 
    the State that--
            ``(A) would otherwise be eligible under subsection (b) as 
        if the project were carried out in a nonattainment or 
        maintenance area; or
            ``(B) is eligible under the surface transportation program 
        under section 133.
        ``(2) States with a nonattainment area.--
            ``(A) In general.--If a State has a nonattainment area or 
        maintenance area and received funds in fiscal year 2009 under 
        section 104(b)(2)(D), as in effect on the day before the date 
        of enactment of the MAP-21, above the amount of funds that the 
        State would have received based on the nonattainment and 
        maintenance area population of the State under subparagraphs 
        (B) and (C) of section 104(b)(2), as in effect on the day 
        before the date of enactment of the MAP-21, the State may use 
        for any project that is eligible under the surface 
        transportation program under section 133 an amount of funds 
        apportioned to such State under section 104(b)(4) that is equal 
        to the product obtained by multiplying--
                ``(i) the amount apportioned to such State under 
            section 104(b)(4) (excluding the amount of funds reserved 
            under paragraph (l)); by
                ``(ii) the ratio calculated under subparagraph (B).
            ``(B) Ratio.--For purposes of this paragraph, the ratio 
        shall be calculated as the proportion that--
                ``(i) the amount for fiscal year 2009 such State was 
            permitted by section 149(c)(2), as in effect on the day 
            before the date of enactment of the MAP-21, to obligate in 
            any area of the State for projects eligible under section 
            133, as in effect on the day before the date of enactment 
            of the MAP-21t; bears to
                ``(ii) the total apportionment to such State for fiscal 
            year 2009 under section 104(b)(2), as in effect on the day 
            before the date of enactment of the MAP-21.
        ``(3) Changes in designation.--If a new nonattainment area is 
    designated or a previously designated nonattainment area is 
    redesignated as an attainment area in a State under the Clean Air 
    Act (42 U.S.C. 7401 et seq.), the Secretary shall modify the amount 
    such State is permitted to obligate in any area of the State for 
    projects eligible under section 133.'';
        (4) in subsection (f)(3) (as redesignated by paragraph (1)) by 
    striking ``104(b)(2)'' and inserting ``104(b)(4)'';
        (5) in subsection (g) (as redesignated by paragraph (1)) by 
    striking paragraph (3) and inserting the following:
        ``(3) Priority consideration.--States and metropolitan planning 
    organizations shall give priority in areas designated as 
    nonattainment or maintenance for PM2.5 under the Clean Air Act (42 
    U.S.C. 7401 et seq.) in distributing funds received for congestion 
    mitigation and air quality projects and programs from 
    apportionments under section 104(b)(4) to projects that are proven 
    to reduce PM2.5, including diesel retrofits.'';
        (6) by striking subsection (i) (as redesignated by paragraph 
    (1)) and inserting the following:
    ``(i) Evaluation and Assessment of Projects.--
        ``(1) Database.--
            ``(A) In general.--Using appropriate assessments of 
        projects funded under the congestion mitigation and air quality 
        program and results from other research, the Secretary shall 
        maintain and disseminate a cumulative database describing the 
        impacts of the projects, including specific information about 
        each project, such as the project name, location, sponsor, 
        cost, and, to the extent already measured by the project 
        sponsor, cost-effectiveness, based on reductions in congestion 
        and emissions.
            ``(B) Availability.--The database shall be published or 
        otherwise made readily available by the Secretary in 
        electronically accessible format and means, such as the 
        Internet, for public review.
        ``(2) Cost effectiveness.--
            ``(A) In general.--The Secretary, in consultation with the 
        Administrator of the Environmental Protection Agency, shall 
        evaluate projects on a periodic basis and develop a table or 
        other similar medium that illustrates the cost-effectiveness of 
        a range of project types eligible for funding under this 
        section as to how the projects mitigate congestion and improve 
        air quality.
            ``(B) Contents.--The table described in subparagraph (A) 
        shall show measures of cost-effectiveness, such as dollars per 
        ton of emissions reduced, and assess those measures over a 
        variety of timeframes to capture impacts on the planning 
        timeframes outlined in section 134.
            ``(C) Use of table.--States and metropolitan planning 
        organizations shall consider the information in the table when 
        selecting projects or developing performance plans under 
        subsection (l).
    ``(j) Optional Programmatic Eligibility.--
        ``(1) In general.--At the discretion of a metropolitan planning 
    organization, a technical assessment of a selected program of 
    projects may be conducted through modeling or other means to 
    demonstrate the emissions reduction projection required under this 
    section.
        ``(2) Applicability.--If an assessment described in paragraph 
    (1) successfully demonstrates an emissions reduction, all projects 
    included in such assessment shall be eligible for obligation under 
    this section without further demonstration of emissions reduction 
    of individual projects included in such assessment.
    ``(k) Priority for Use of Funds in PM2.5 Areas.--
        ``(1) In general.--For any State that has a nonattainment or 
    maintenance area for fine particulate matter, an amount equal to 25 
    percent of the funds apportioned to each State under section 
    104(b)(4) for a nonattainment or maintenance area that are based 
    all or in part on the weighted population of such area in fine 
    particulate matter nonattainment shall be obligated to projects 
    that reduce such fine particulate matter emissions in such area, 
    including diesel retrofits.
        ``(2) Construction equipment and vehicles.--In order to meet 
    the requirements of paragraph (1), a State or metropolitan planning 
    organization may elect to obligate funds to install diesel emission 
    control technology on nonroad diesel equipment or on-road diesel 
    equipment that is operated on a highway construction project within 
    a PM2.5 nonattainment or maintenance area.
    ``(l) Performance Plan.--
        ``(1) In general.--Each metropolitan planning organization 
    serving a transportation management area (as defined in section 
    134) with a population over 1,000,000 people representing a 
    nonattainment or maintenance area shall develop a performance plan 
    that--
            ``(A) includes an area baseline level for traffic 
        congestion and on-road mobile source emissions for which the 
        area is in nonattainment or maintenance;
            ``(B) describes progress made in achieving the performance 
        targets described in section 150(d); and
            ``(C) includes a description of projects identified for 
        funding under this section and how such projects will 
        contribute to achieving emission and traffic congestion 
        reduction targets.
        ``(2) Updated plans.--Performance plans shall be updated 
    biennially and include a separate report that assesses the progress 
    of the program of projects under the previous plan in achieving the 
    air quality and traffic congestion targets of the previous plan.
    ``(m) Operating Assistance.--A State may obligate funds apportioned 
under section 104(b)(2) in an area of such State that is otherwise 
eligible for obligations of such funds for operating costs under 
chapter 53 of title 49 or on a system that was previously eligible 
under this section.''.
    (c) Air Quality and Congestion Mitigation Measure Outcomes 
Assessment Study.--
        (1) In general.--The Secretary, in consultation with the 
    Administrator of the Environmental Protection Agency, shall examine 
    the outcomes of actions funded under the congestion mitigation and 
    air quality improvement program since the date of enactment of the 
    SAFETEA-LU (Public Law 109-59).
        (2) Goals.--The goals of the program shall include--
            (A) the assessment and documentation, through outcomes 
        research conducted on a representative sample of cases, of--
                (i) the emission reductions achieved by federally 
            supported surface transportation actions intended to reduce 
            emissions or lessen traffic congestion; and
                (ii) the air quality and human health impacts of those 
            actions, including potential unrecognized or indirect 
            consequences, attributable to those actions;
            (B) an expanded base of empirical evidence on the air 
        quality and human health impacts of actions described in 
        paragraph (1); and
            (C) an increase in knowledge of--
                (i) the factors determining the air quality and human 
            health changes associated with transportation emission 
            reduction actions; and
                (ii) other information to more accurately understand 
            the validity of current estimation and modeling routines 
            and ways to improve those routines.
        (3) Administrative elements.--To carry out this subsection, the 
    Secretary shall--
            (A) make a grant for the coordination, selection, 
        management, and reporting of component studies to an 
        independent scientific research organization with the necessary 
        experience in successfully conducting accountability and other 
        studies on mobile source air pollutants and associated health 
        effects;
            (B) ensure that case studies are identified and conducted 
        by teams selected through a competitive solicitation overseen 
        by an independent committee of unbiased experts; and
            (C) ensure that all findings and reports are peer-reviewed 
        and published in a form that presents the findings together 
        with reviewer comments.
        (4) Report.--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) not later than 1 year after the date of enactment of 
        the MAP-21, and for the following year, a report providing an 
        initial scoping and plan, and status updates, respectively, for 
        the program under this subsection; and
            (B) not later than 2 years after the date of enactment of 
        the MAP-21, a final report that describes the findings of, and 
        recommendations resulting from, the program under this 
        subsection.
        (5) Funding.--Of the amounts made available to carry out 
    section 104(a) for fiscal year 2013, the Secretary shall make 
    available to carry out this subsection not more than $1,000,000.
SEC. 1114. TERRITORIAL AND PUERTO RICO HIGHWAY PROGRAM.
    (a) In General.--Section 165 of title 23, United States Code, is 
amended to read as follows:
``Sec. 165. Territorial and Puerto Rico highway program
    ``(a) Division of Funds.--Of funds made available in a fiscal year 
for the territorial and Puerto Rico highway program--
        ``(1) $150,000,000 shall be for the Puerto Rico highway program 
    under subsection (b); and
        ``(2) $40,000,000 shall be for the territorial highway program 
    under subsection (c).
    ``(b) Puerto Rico Highway Program.--
        ``(1) In general.--The Secretary shall allocate funds made 
    available to carry out this subsection to the Commonwealth of 
    Puerto Rico to carry out a highway program in the Commonwealth.
        ``(2) Treatment of funds.--Amounts made available to carry out 
    this subsection for a fiscal year shall be administered as follows:
            ``(A) Apportionment.--
                ``(i) In general.--For the purpose of imposing any 
            penalty under this title or title 49, the amounts shall be 
            treated as being apportioned to Puerto Rico under sections 
            104(b) and 144 (as in effect for fiscal year 1997) for each 
            program funded under those sections in an amount determined 
            by multiplying--

                    ``(I) the aggregate of the amounts for the fiscal 
                year; by
                    ``(II) the proportion that--

                        ``(aa) the amount of funds apportioned to 
                    Puerto Rico for each such program for fiscal year 
                    1997; bears to
                        ``(bb) the total amount of funds apportioned to 
                    Puerto Rico for all such programs for fiscal year 
                    1997.
                ``(ii) Exception.--Funds identified under clause (i) as 
            having been apportioned for the national highway system, 
            the surface transportation program, and the Interstate 
            maintenance program shall be deemed to have been 
            apportioned 50 percent for the national highway performance 
            program and 50 percent for the surface transportation 
            program for purposes of imposing such penalties.
            ``(B) Penalty.--The amounts treated as being apportioned to 
        Puerto Rico under each section referred to in subparagraph (A) 
        shall be deemed to be required to be apportioned to Puerto Rico 
        under that section for purposes of the imposition of any 
        penalty under this title or title 49.
            ``(C) Eligible uses of funds.--Of amounts allocated to 
        Puerto Rico for the Puerto Rico Highway Program for a fiscal 
        year--
                ``(i) at least 50 percent shall be available only for 
            purposes eligible under section 119;
                ``(ii) at least 25 percent shall be available only for 
            purposes eligible under section 148; and
                ``(iii) any remaining funds may be obligated for 
            activities eligible under chapter 1.
        ``(3) Effect on apportionments.--Except as otherwise 
    specifically provided, Puerto Rico shall not be eligible to receive 
    funds apportioned to States under this title.
    ``(c) Territorial Highway Program.--
        ``(1) Territory defined.--In this subsection, the term 
    `territory' means any of the following territories of the United 
    States:
            ``(A) American Samoa.
            ``(B) The Commonwealth of the Northern Mariana Islands.
            ``(C) Guam.
            ``(D) The United States Virgin Islands.
        ``(2) Program.--
            ``(A) In general.--Recognizing the mutual benefits that 
        will accrue to the territories and the United States from the 
        improvement of highways in the territories, the Secretary may 
        carry out a program to assist each government of a territory in 
        the construction and improvement of a system of arterial and 
        collector highways, and necessary inter-island connectors, that 
        is--
                ``(i) designated by the Governor or chief executive 
            officer of each territory; and
                ``(ii) approved by the Secretary.
            ``(B) Federal share.--The Federal share of Federal 
        financial assistance provided to territories under this 
        subsection shall be in accordance with section 120(g).
        ``(3) Technical assistance.--
            ``(A) In general.--To continue a long-range highway 
        development program, the Secretary may provide technical 
        assistance to the governments of the territories to enable the 
        territories, on a continuing basis--
                ``(i) to engage in highway planning;
                ``(ii) to conduct environmental evaluations;
                ``(iii) to administer right-of-way acquisition and 
            relocation assistance programs; and
                ``(iv) to design, construct, operate, and maintain a 
            system of arterial and collector highways, including 
            necessary inter-island connectors.
            ``(B) Form and terms of assistance.--Technical assistance 
        provided under subparagraph (A), and the terms for the sharing 
        of information among territories receiving the technical 
        assistance, shall be included in the agreement required by 
        paragraph (5).
        ``(4) Nonapplicability of certain provisions.--
            ``(A) In general.--Except to the extent that provisions of 
        this chapter are determined by the Secretary to be inconsistent 
        with the needs of the territories and the intent of this 
        subsection, this chapter (other than provisions of this chapter 
        relating to the apportionment and allocation of funds) shall 
        apply to funds made available under this subsection.
            ``(B) Applicable provisions.--The agreement required by 
        paragraph (5) for each territory shall identify the sections of 
        this chapter that are applicable to that territory and the 
        extent of the applicability of those sections.
        ``(5) Agreement.--
            ``(A) In general.--Except as provided in subparagraph (D), 
        none of the funds made available under this subsection shall be 
        available for obligation or expenditure with respect to any 
        territory until the chief executive officer of the territory 
        has entered into an agreement (including an agreement entered 
        into under section 215 as in effect on the day before the 
        enactment of this section) with the Secretary providing that 
        the government of the territory shall--
                ``(i) implement the program in accordance with 
            applicable provisions of this chapter and paragraph (4);
                ``(ii) design and construct a system of arterial and 
            collector highways, including necessary inter-island 
            connectors, in accordance with standards that are--

                    ``(I) appropriate for each territory; and
                    ``(II) approved by the Secretary;

                ``(iii) provide for the maintenance of facilities 
            constructed or operated under this subsection in a 
            condition to adequately serve the needs of present and 
            future traffic; and
                ``(iv) implement standards for traffic operations and 
            uniform traffic control devices that are approved by the 
            Secretary.
            ``(B) Technical assistance.--The agreement required by 
        subparagraph (A) shall--
                ``(i) specify the kind of technical assistance to be 
            provided under the program;
                ``(ii) include appropriate provisions regarding 
            information sharing among the territories; and
                ``(iii) delineate the oversight role and 
            responsibilities of the territories and the Secretary.
            ``(C) Review and revision of agreement.--The agreement 
        entered into under subparagraph (A) shall be reevaluated and, 
        as necessary, revised, at least every 2 years.
            ``(D) Existing agreements.--With respect to an agreement 
        under this subsection or an agreement entered into under 
        section 215 of this title as in effect on the day before the 
        date of enactment of this subsection--
                ``(i) the agreement shall continue in force until 
            replaced by an agreement entered into in accordance with 
            subparagraph (A); and
                ``(ii) amounts made available under this subsection 
            under the existing agreement shall be available for 
            obligation or expenditure so long as the agreement, or the 
            existing agreement entered into under subparagraph (A), is 
            in effect.
        ``(6) Eligible uses of funds.--
            ``(A) In general.--Funds made available under this 
        subsection may be used only for the following projects and 
        activities carried out in a territory:
                ``(i) Eligible surface transportation program projects 
            described in section 133(b).
                ``(ii) Cost-effective, preventive maintenance 
            consistent with section 116(e).
                ``(iii) Ferry boats, terminal facilities, and 
            approaches, in accordance with subsections (b) and (c) of 
            section 129.
                ``(iv) Engineering and economic surveys and 
            investigations for the planning, and the financing, of 
            future highway programs.
                ``(v) Studies of the economy, safety, and convenience 
            of highway use.
                ``(vi) The regulation and equitable taxation of highway 
            use.
                ``(vii) Such research and development as are necessary 
            in connection with the planning, design, and maintenance of 
            the highway system.
            ``(B) Prohibition on use of funds for routine 
        maintenance.--None of the funds made available under this 
        subsection shall be obligated or expended for routine 
        maintenance.
        ``(7) Location of projects.--Territorial highway program 
    projects (other than those described in paragraphs (2), (4), (7), 
    (8), (14), and (19) of section 133(b)) may not be undertaken on 
    roads functionally classified as local.''.
    (b) Conforming Amendments.--
        (1) Technical and conforming amendment.--The analysis for 
    chapter 1 of title 23, United States Code, is amended by striking 
    the item relating to section 165 and inserting the following:

``165. Territorial and Puerto Rico highway program.''.

        (2) Territorial highway program.--
            (A) Repeal.--Section 215 of title 23, United States Code, 
        is repealed.
            (B) Technical and conforming amendment.--The analysis for 
        chapter 2 of title 23, United States Code, is amended by 
        striking the item relating to section 215.
            (C) Duncan hunter national defense authorization act for 
        fiscal year 2009.--Section 3512(e) of the Duncan Hunter 
        National Defense Authorization Act for Fiscal Year 2009 (48 
        U.S.C. 1421r(e)) is amended by striking ``section 215'' and 
        inserting ``section 165''.
SEC. 1115. NATIONAL FREIGHT POLICY.
    (a) In General.--Chapter 1 of title 23, United States Code, is 
amended by adding at the end the following:
``Sec. 167. National freight policy
    ``(a) In General.--It is the policy of the United States to improve 
the condition and performance of the national freight network to ensure 
that the national freight network provides the foundation for the 
United States to compete in the global economy and achieve each goal 
described in subsection (b).
    ``(b) Goals.--The goals of the national freight policy are--
        ``(1) to invest in infrastructure improvements and to implement 
    operational improvements that--
            ``(A) strengthen the contribution of the national freight 
        network to the economic competitiveness of the United States;
            ``(B) reduce congestion; and
            ``(C) increase productivity, particularly for domestic 
        industries and businesses that create high-value jobs;
        ``(2) to improve the safety, security, and resilience of 
    freight transportation;
        ``(3) to improve the state of good repair of the national 
    freight network;
        ``(4) to use advanced technology to improve the safety and 
    efficiency of the national freight network;
        ``(5) to incorporate concepts of performance, innovation, 
    competition, and accountability into the operation and maintenance 
    of the national freight network; and
        ``(6) to improve the economic efficiency of the national 
    freight network.
        ``(7) to reduce the environmental impacts of freight movement 
    on the national freight network;
    ``(c) Establishment of a National Freight Network.--
        ``(1) In general.--The Secretary shall establish a national 
    freight network in accordance with this section to assist States in 
    strategically directing resources toward improved system 
    performance for efficient movement of freight on highways, 
    including national highway system, freight intermodal connectors 
    and aerotropolis transportation systems.
        ``(2) Network components.--The national freight network shall 
    consist of--
            ``(A) the primary freight network, as designated by the 
        Secretary under subsection (d) (referred to in this section as 
        the `primary freight network') as most critical to the movement 
        of freight;
            ``(B) the portions of the Interstate System not designated 
        as part of the primary freight network; and
            ``(C) critical rural freight corridors established under 
        subsection (e).
    ``(d) Designation of Primary Freight Network.--
        ``(1) Initial designation of primary freight network.--
            ``(A) Designation.--Not later than 1 year after the date of 
        enactment of this section, the Secretary shall designate a 
        primary freight network--
                ``(i) based on an inventory of national freight volume 
            conducted by the Administrator of the Federal Highway 
            Administration, in consultation with stakeholders, 
            including system users, transport providers, and States; 
            and
                ``(ii) that shall be comprised of not more than 27,000 
            centerline miles of existing roadways that are most 
            critical to the movement of freight.
            ``(B) Factors for designation.--In designating the primary 
        freight network, the Secretary shall consider--
                ``(i) the origins and destinations of freight movement 
            in the United States;
                ``(ii) the total freight tonnage and value of freight 
            moved by highways;
                ``(iii) the percentage of annual average daily truck 
            traffic in the annual average daily traffic on principal 
            arterials;
                ``(iv) the annual average daily truck traffic on 
            principal arterials;
                ``(v) land and maritime ports of entry;
                ``(vi) access to energy exploration, development, 
            installation, or production areas;
                ``(vii) population centers; and
                ``(viii) network connectivity.
        ``(2) Additional miles on primary freight network.--In addition 
    to the miles initially designated under paragraph (1), the 
    Secretary may increase the number of miles designated as part of 
    the primary freight network by not more than 3,000 additional 
    centerline miles of roadways (which may include existing or planned 
    roads) critical to future efficient movement of goods on the 
    primary freight network.
        ``(3) Redesignation of primary freight network.--Effective 
    beginning 10 years after the designation of the primary freight 
    network and every 10 years thereafter, using the designation 
    factors described in paragraph (1), the Secretary shall redesignate 
    the primary freight network (including additional mileage described 
    in paragraph (2)).
    ``(e) Critical Rural Freight Corridors.--A State may designate a 
road within the borders of the State as a critical rural freight 
corridor if the road--
        ``(1) is a rural principal arterial roadway and has a minimum 
    of 25 percent of the annual average daily traffic of the road 
    measured in passenger vehicle equivalent units from trucks (FHWA 
    vehicle class 8 to 13);
        ``(2) provides access to energy exploration, development, 
    installation, or production areas;
        ``(3) connects the primary freight network, a roadway described 
    in paragraph (1) or (2), or Interstate System to facilities that 
    handle more than--
            ``(A) 50,000 20-foot equivalent units per year; or
            ``(B) 500,000 tons per year of bulk commodities.
    ``(f) National Freight Strategic Plan.--
        ``(1) Initial development of national freight strategic plan.--
    Not later than 3 years after the date of enactment of this section, 
    the Secretary shall, in consultation with State departments of 
    transportation and other appropriate public and private 
    transportation stakeholders, develop and post on the Department of 
    Transportation public website a national freight strategic plan 
    that shall include--
            ``(A) an assessment of the condition and performance of the 
        national freight network;
            ``(B) an identification of highway bottlenecks on the 
        national freight network that create significant freight 
        congestion problems, based on a quantitative methodology 
        developed by the Secretary, which shall, at a minimum, 
        include--
                ``(i) information from the Freight Analysis Network of 
            the Federal Highway Administration; and
                ``(ii) to the maximum extent practicable, an estimate 
            of the cost of addressing each bottleneck and any 
            operational improvements that could be implemented;
            ``(C) forecasts of freight volumes for the 20-year period 
        beginning in the year during which the plan is issued;
            ``(D) an identification of major trade gateways and 
        national freight corridors that connect major population 
        centers, trade gateways, and other major freight generators for 
        current and forecasted traffic and freight volumes, the 
        identification of which shall be revised, as appropriate, in 
        subsequent plans;
            ``(E) an assessment of statutory, regulatory, 
        technological, institutional, financial, and other barriers to 
        improved freight transportation performance (including 
        opportunities for overcoming the barriers);
            ``(F) an identification of routes providing access to 
        energy exploration, development, installation, or production 
        areas;
            ``(G) best practices for improving the performance of the 
        national freight network;
            ``(H) best practices to mitigate the impacts of freight 
        movement on communities;
            ``(I) a process for addressing multistate projects and 
        encouraging jurisdictions to collaborate; and
            ``(J) strategies to improve freight intermodal 
        connectivity.
        ``(2) Updates to national freight strategic plan.--Not later 
    than 5 years after the date of completion of the first national 
    freight strategic plan under paragraph (1), and every 5 years 
    thereafter, the Secretary shall update and repost on the Department 
    of Transportation public website a revised national freight 
    strategic plan.
    ``(g) Freight Transportation Conditions and Performance Reports.--
Not later than 2 years after the date of enactment of this section, and 
biennially thereafter, the Secretary shall prepare a report that 
contains a description of the conditions and performance of the 
national freight network in the United States.
    ``(h) Transportation Investment Data and Planning Tools.--
        ``(1) In general.--Not later than 1 year after the date of 
    enactment of this section, the Secretary shall--
            ``(A) begin development of new tools and improvement of 
        existing tools or improve existing tools to support an outcome-
        oriented, performance-based approach to evaluate proposed 
        freight-related and other transportation projects, including--
                ``(i) methodologies for systematic analysis of benefits 
            and costs;
                ``(ii) tools for ensuring that the evaluation of 
            freight-related and other transportation projects could 
            consider safety, economic competitiveness, environmental 
            sustainability, and system condition in the project 
            selection process; and
                ``(iii) other elements to assist in effective 
            transportation planning;
            ``(B) identify transportation-related model data elements 
        to support a broad range of evaluation methods and techniques 
        to assist in making transportation investment decisions; and
            ``(C) at a minimum, in consultation with other relevant 
        Federal agencies, consider any improvements to existing freight 
        flow data collection efforts that could reduce identified 
        freight data gaps and deficiencies and help improve forecasts 
        of freight transportation demand.
        ``(2) Consultation.--The Secretary shall consult with Federal, 
    State, and other stakeholders to develop, improve, and implement 
    the tools and collect the data in paragraph (1).
    ``(i) Definition of Aerotropolis Transportation System.--In this 
section, the term `aerotropolis transportation system' means a planned 
and coordinated multimodal freight and passenger transportation network 
that, as determined by the Secretary, provides efficient, cost-
effective, sustainable, and intermodal connectivity to a defined region 
of economic significance centered around a major airport.''.
    (b) Conforming Amendment.--The analysis for chapter 1 of title 23, 
United States Code, is amended by adding at the end the following:

``167. National freight program.''.
SEC. 1116. PRIORITIZATION OF PROJECTS TO IMPROVE FREIGHT MOVEMENT.
    (a) In General.--Notwithstanding section 120 of title 23, United 
States Code, the Secretary may increase the Federal share payable for 
any project to 95 percent for projects on the Interstate System and 90 
percent for any other project if the Secretary certifies that the 
project meets the requirements of this section.
    (b) Increased Funding.--To be eligible for the increased Federal 
funding share under this section, a project shall--
        (1) demonstrate the improvement made by the project to the 
    efficient movement of freight, including making progress towards 
    meeting performance targets for freight movement established under 
    section 150(d) of title 23, United States Code; and
        (2) be identified in a State freight plan developed pursuant to 
    section 1118.
    (c) Eligible Projects.--Eligible projects to improve the movement 
of freight under this section may include, but are not limited to--
        (1) construction, reconstruction, rehabilitation, and 
    operational improvements directly relating to improving freight 
    movement;
        (2) intelligent transportation systems and other technology to 
    improve the flow of freight;
        (3) efforts to reduce the environmental impacts of freight 
    movement on the primary freight network;
        (4) railway-highway grade separation;
        (5) geometric improvements to interchanges and ramps.
        (6) truck-only lanes;
        (7) climbing and runaway truck lanes;
        (8) truck parking facilities eligible for funding under section 
    1401;
        (9) real-time traffic, truck parking, roadway condition, and 
    multimodal transportation information systems;
        (10) improvements to freight intermodal connectors; and
        (11) improvements to truck bottlenecks.
SEC. 1117. STATE FREIGHT ADVISORY COMMITTEES.
    (a) In General.--The Secretary shall encourage each State to 
establish a freight advisory committee consisting of a representative 
cross-section of public and private sector freight stakeholders, 
including representatives of ports, shippers, carriers, freight-related 
associations, the freight industry workforce, the transportation 
department of the State, and local governments.
    (b) Role of Committee.--A freight advisory committee of a State 
described in subsection (a) shall--
        (1) advise the State on freight-related priorities, issues, 
    projects, and funding needs;
        (2) serve as a forum for discussion for State transportation 
    decisions affecting freight mobility;
        (3) communicate and coordinate regional priorities with other 
    organizations;
        (4) promote the sharing of information between the private and 
    public sectors on freight issues; and
        (5) participate in the development of the freight plan of the 
    State described in section 1118.
SEC. 1118. STATE FREIGHT PLANS.
    (a) In General.--The Secretary shall encourage each State to 
develop a freight plan that provides a comprehensive plan for the 
immediate and long-range planning activities and investments of the 
State with respect to freight.
    (b) Plan Contents.--A freight plan described in subsection (a) 
shall include, at a minimum--
        (1) an identification of significant freight system trends, 
    needs, and issues with respect to the State;
        (2) a description of the freight policies, strategies, and 
    performance measures that will guide the freight-related 
    transportation investment decisions of the State;
        (3) a description of how the plan will improve the ability of 
    the State to meet the national freight goals established under 
    section 167 of title 23, United States Code;
        (4) evidence of consideration of innovative technologies and 
    operational strategies, including intelligent transportation 
    systems, that improve the safety and efficiency of freight 
    movement;
        (5) in the case of routes on which travel by heavy vehicles 
    (including mining, agricultural, energy cargo or equipment, and 
    timber vehicles) is projected to substantially deteriorate the 
    condition of roadways, a description of improvements that may be 
    required to reduce or impede the deterioration; and
        (6) an inventory of facilities with freight mobility issues, 
    such as truck bottlenecks, within the State, and a description of 
    the strategies the State is employing to address those freight 
    mobility issues.
    (c) Relationship to Long-range Plan.--A freight plan described in 
subsection (a) may be developed separate from or incorporated into the 
statewide strategic long-range transportation plan required by section 
135 of title 23, United States Code.
SEC. 1119. FEDERAL LANDS AND TRIBAL TRANSPORTATION PROGRAMS.
    (a) In General.--Chapter 2 of title 23, United States Code, is 
amended by striking sections 201 through 204 and inserting the 
following:
``Sec. 201. Federal lands and tribal transportation programs
    ``(a) Purpose.--Recognizing the need for all public Federal and 
tribal transportation facilities to be treated under uniform policies 
similar to the policies that apply to Federal-aid highways and other 
public transportation facilities, the Secretary of Transportation, in 
collaboration with the Secretaries of the appropriate Federal land 
management agencies, shall coordinate a uniform policy for all public 
Federal and tribal transportation facilities that shall apply to 
Federal lands transportation facilities, tribal transportation 
facilities, and Federal lands access transportation facilities.
    ``(b) Availability of Funds.--
        ``(1) Availability.--Funds authorized for the tribal 
    transportation program, the Federal lands transportation program, 
    and the Federal lands access program shall be available for 
    contract upon apportionment, or on October 1 of the fiscal year for 
    which the funds were authorized if no apportionment is required.
        ``(2) Amount remaining.--Any amount remaining unexpended for a 
    period of 3 years after the close of the fiscal year for which the 
    funds were authorized shall lapse.
        ``(3) Obligations.--The Secretary of the department responsible 
    for the administration of funds under this subsection may incur 
    obligations, approve projects, and enter into contracts under such 
    authorizations, which shall be considered to be contractual 
    obligations of the United States for the payment of the cost 
    thereof, the funds of which shall be considered to have been 
    expended when obligated.
        ``(4) Expenditure.--
            ``(A) In general.--Any funds authorized for any fiscal year 
        after the date of enactment of this section under the Federal 
        lands transportation program, the Federal lands access program, 
        and the tribal transportation program shall be considered to 
        have been expended if a sum equal to the total of the sums 
        authorized for the fiscal year and previous fiscal years have 
        been obligated.
            ``(B) Credited funds.--Any funds described in subparagraph 
        (A) that are released by payment of final voucher or 
        modification of project authorizations shall be--
                ``(i) credited to the balance of unobligated 
            authorizations; and
                ``(ii) immediately available for expenditure.
        ``(5) Applicability.--This section shall not apply to funds 
    authorized before the date of enactment of this paragraph.
        ``(6) Contractual obligation.--
            ``(A) In general.--Notwithstanding any other provision of 
        law (including regulations), the authorization by the 
        Secretary, or the Secretary of the appropriate Federal land 
        management agency if the agency is the contracting office, of 
        engineering and related work for the development, design, and 
        acquisition associated with a construction project, whether 
        performed by contract or agreement authorized by law, or the 
        approval by the Secretary of plans, specifications, and 
        estimates for construction of a project, shall be considered to 
        constitute a contractual obligation of the Federal Government 
        to pay the total eligible cost of--
                ``(i) any project funded under this title; and
                ``(ii) any project funded pursuant to agreements 
            authorized by this title or any other title.
            ``(B) Effect.--Nothing in this paragraph--
                ``(i) affects the application of the Federal share 
            associated with the project being undertaken under this 
            section; or
                ``(ii) modifies the point of obligation associated with 
            Federal salaries and expenses.
        ``(7) Federal share.--
            ``(A) Tribal and federal lands transportation program.--The 
        Federal share of the cost of a project carried out under the 
        Federal lands transportation program or the tribal 
        transportation program shall be 100 percent.
            ``(B) Federal lands access program.--The Federal share of 
        the cost of a project carried out under the Federal lands 
        access program shall be determined in accordance with section 
        120.
    ``(c) Transportation Planning.--
        ``(1) Transportation planning procedures.--In consultation with 
    the Secretary of each appropriate Federal land management agency, 
    the Secretary shall implement transportation planning procedures 
    for Federal lands and tribal transportation facilities that are 
    consistent with the planning processes required under sections 134 
    and 135.
        ``(2) Approval of transportation improvement program.--The 
    transportation improvement program developed as a part of the 
    transportation planning process under this section shall be 
    approved by the Secretary.
        ``(3) Inclusion in other plans.--Each regionally significant 
    tribal transportation program, Federal lands transportation 
    program, and Federal lands access program project shall be--
            ``(A) developed in cooperation with State and metropolitan 
        planning organizations; and
            ``(B) included in appropriate tribal transportation program 
        plans, Federal lands transportation program plans, Federal 
        lands access program plans, State and metropolitan plans, and 
        transportation improvement programs.
        ``(4) Inclusion in state programs.--The approved tribal 
    transportation program, Federal lands transportation program, and 
    Federal lands access program transportation improvement programs 
    shall be included in appropriate State and metropolitan planning 
    organization plans and programs without further action on the 
    transportation improvement program.
        ``(5) Asset management.--The Secretary and the Secretary of 
    each appropriate Federal land management agency shall, to the 
    extent appropriate, implement safety, bridge, pavement, and 
    congestion management systems for facilities funded under the 
    tribal transportation program and the Federal lands transportation 
    program in support of asset management.
        ``(6) Data collection.--
            ``(A) Data collection.--The Secretaries of the appropriate 
        Federal land management agencies shall collect and report data 
        necessary to implement the Federal lands transportation 
        program, the Federal lands access program, and the tribal 
        transportation program in accordance with the Indian Self-
        Determination and Education Assistance Act (25 U.S.C. 450 et 
        seq.), including--
                ``(i) inventory and condition information on Federal 
            lands transportation facilities and tribal transportation 
            facilities; and
                ``(ii) bridge inspection and inventory information on 
            any Federal bridge open to the public.
            ``(B) Standards.--The Secretary, in coordination with the 
        Secretaries of the appropriate Federal land management 
        agencies, shall define the collection and reporting data 
        standards.
        ``(7) Administrative expenses.--To implement the activities 
    described in this subsection, including direct support of 
    transportation planning activities among Federal land management 
    agencies, the Secretary may use not more than 5 percent for each 
    fiscal year of the funds authorized for programs under sections 203 
    and 204.
    ``(d) Reimbursable Agreements.--In carrying out work under 
reimbursable agreements with any State, local, or tribal government 
under this title, the Secretary--
        ``(1) may, without regard to any other provision of law 
    (including regulations), record obligations against accounts 
    receivable from the entity; and
        ``(2) shall credit amounts received from the entity to the 
    appropriate account, which shall occur not later than 90 days after 
    the date of the original request by the Secretary for payment.
    ``(e) Transfers.--
        ``(1) In general.--To enable the efficient use of funds made 
    available for the Federal lands transportation program and the 
    Federal lands access program, the funds may be transferred by the 
    Secretary within and between each program with the concurrence of, 
    as appropriate--
            ``(A) the Secretary;
            ``(B) the affected Secretaries of the respective Federal 
        land management agencies;
            ``(C) State departments of transportation; and
            ``(D) local government agencies.
        ``(2) Credit.--The funds described in paragraph (1) shall be 
    credited back to the loaning entity with funds that are currently 
    available for obligation at the time of the credit.
``Sec. 202. Tribal transportation program
    ``(a) Use of Funds.--
        ``(1) In general.--Funds made available under the tribal 
    transportation program shall be used by the Secretary of 
    Transportation and the Secretary of the Interior to pay the costs 
    of--
            ``(A)(i) transportation planning, research, maintenance, 
        engineering, rehabilitation, restoration, construction, and 
        reconstruction of tribal transportation facilities;
            ``(ii) adjacent vehicular parking areas;
            ``(iii) interpretive signage;
            ``(iv) acquisition of necessary scenic easements and scenic 
        or historic sites;
            ``(v) provisions for pedestrians and bicycles;
            ``(vi) environmental mitigation in or adjacent to tribal 
        land--
                ``(I) to improve public safety and reduce vehicle-
            caused wildlife mortality while maintaining habitat 
            connectivity; and
                ``(II) to mitigate the damage to wildlife, aquatic 
            organism passage, habitat, and ecosystem connectivity, 
            including the costs of constructing, maintaining, 
            replacing, or removing culverts and bridges, as 
            appropriate;
            ``(vii) construction and reconstruction of roadside rest 
        areas, including sanitary and water facilities; and
            ``(viii) other appropriate public road facilities as 
        determined by the Secretary;
            ``(B) operation and maintenance of transit programs and 
        facilities that are located on, or provide access to, tribal 
        land, or are administered by a tribal government; and
            ``(C) any transportation project eligible for assistance 
        under this title that is located within, or that provides 
        access to, tribal land, or is associated with a tribal 
        government.
        ``(2) Contract.--In connection with an activity described in 
    paragraph (1), the Secretary and the Secretary of the Interior may 
    enter into a contract or other appropriate agreement with respect 
    to the activity with--
            ``(A) a State (including a political subdivision of a 
        State); or
            ``(B) an Indian tribe.
        ``(3) Indian labor.--Indian labor may be employed, in 
    accordance with such rules and regulations as may be promulgated by 
    the Secretary of the Interior, to carry out any construction or 
    other activity described in paragraph (1).
        ``(4) Federal employment.--No maximum limitation on Federal 
    employment shall be applicable to the construction or improvement 
    of tribal transportation facilities.
        ``(5) Funds for construction and improvement.--All funds made 
    available for the construction and improvement of tribal 
    transportation facilities shall be administered in conformity with 
    regulations and agreements jointly approved by the Secretary and 
    the Secretary of the Interior.
        ``(6) Administrative expenses.--Of the funds authorized to be 
    appropriated for the tribal transportation program, not more than 6 
    percent may be used by the Secretary or the Secretary of the 
    Interior for program management and oversight and project-related 
    administrative expenses.
        ``(7) Tribal technical assistance centers.--The Secretary of 
    the Interior may reserve amounts from administrative funds of the 
    Bureau of Indian Affairs that are associated with the tribal 
    transportation program to fund tribal technical assistance centers 
    under section 504(b).
        ``(8) Maintenance.--
            ``(A) Use of funds.--Notwithstanding any other provision of 
        this title, of the amount of funds allocated to an Indian tribe 
        from the tribal transportation program, for the purpose of 
        maintenance (excluding road sealing, which shall not be subject 
        to any limitation), the Secretary shall not use an amount more 
        than the greater of--
                ``(i) an amount equal to 25 percent; or
                ``(ii) $500,000.
            ``(B) Responsibility of bureau of indian affairs and 
        secretary of the interior.--
                ``(i) Bureau of indian affairs.--The Bureau of Indian 
            Affairs shall retain primary responsibility, including 
            annual funding request responsibility, for Bureau of Indian 
            Affairs road maintenance programs on Indian reservations.
                ``(ii) Secretary of the interior.--The Secretary of the 
            Interior shall ensure that funding made available under 
            this subsection for maintenance of tribal transportation 
            facilities for each fiscal year is supplementary to, and 
            not in lieu of, any obligation of funds by the Bureau of 
            Indian Affairs for road maintenance programs on Indian 
            reservations.
            ``(C) Tribal-state road maintenance agreements.--
                ``(i) In general.--An Indian tribe and a State may 
            enter into a road maintenance agreement under which an 
            Indian tribe shall assume the responsibility of the State 
            for--

                    ``(I) tribal transportation facilities; and
                    ``(II) roads providing access to tribal 
                transportation facilities.

                ``(ii) Requirements.--Agreements entered into under 
            clause (i) shall--

                    ``(I) be negotiated between the State and the 
                Indian tribe; and
                    ``(II) not require the approval of the Secretary.

        ``(9) Cooperation.--
            ``(A) In general.--The cooperation of States, counties, or 
        other local subdivisions may be accepted in construction and 
        improvement.
            ``(B) Funds received.--Any funds received from a State, 
        county, or local subdivision shall be credited to 
        appropriations available for the tribal transportation program.
        ``(10) Competitive bidding.--
            ``(A) Construction.--
                ``(i) In general.--Subject to clause (ii) and 
            subparagraph (B), construction of each project shall be 
            performed by contract awarded by competitive bidding.
                ``(ii) Exception.--Clause (i) shall not apply if the 
            Secretary or the Secretary of the Interior affirmatively 
            finds that, under the circumstances relating to the 
            project, a different method is in the public interest.
            ``(B) Applicability.--Notwithstanding subparagraph (A), 
        section 23 of the Act of June 25, 1910 (25 U.S.C. 47) and 
        section 7(b) of the Indian Self-Determination and Education 
        Assistance Act (25 U.S.C. 450e(b)) shall apply to all funds 
        administered by the Secretary of the Interior that are 
        appropriated for the construction and improvement of tribal 
        transportation facilities.
    ``(b) Funds Distribution.--
        ``(1) National tribal transportation facility inventory.--
            ``(A) In general.--The Secretary of the Interior, in 
        cooperation with the Secretary, shall maintain a comprehensive 
        national inventory of tribal transportation facilities that are 
        eligible for assistance under the tribal transportation 
        program.
            ``(B) Transportation facilities included in the 
        inventory.--For purposes of identifying the tribal 
        transportation system and determining the relative 
        transportation needs among Indian tribes, the Secretary shall 
        include, at a minimum, transportation facilities that are 
        eligible for assistance under the tribal transportation program 
        that an Indian tribe has requested, including facilities that--
                ``(i) were included in the Bureau of Indian Affairs 
            system inventory prior to October 1, 2004;
                ``(ii) are owned by an Indian tribal government;
                ``(iii) are owned by the Bureau of Indian Affairs;
                ``(iv) were constructed or reconstructed with funds 
            from the Highway Trust Fund under the Indian reservation 
            roads program since 1983;
                ``(v) are public roads or bridges within the exterior 
            boundary of Indian reservations, Alaska Native villages, 
            and other recognized Indian communities (including 
            communities in former Indian reservations in the State of 
            Oklahoma) in which the majority of residents are American 
            Indians or Alaska Natives;
                ``(vi) are public roads within or providing access to 
            an Indian reservation or Indian trust land or restricted 
            Indian land that is not subject to fee title alienation 
            without the approval of the Federal Government, or Indian 
            or Alaska Native villages, groups, or communities in which 
            Indians and Alaska Natives reside, whom the Secretary of 
            the Interior has determined are eligible for services 
            generally available to Indians under Federal laws 
            specifically applicable to Indians; or
                ``(vii) are primary access routes proposed by tribal 
            governments, including roads between villages, roads to 
            landfills, roads to drinking water sources, roads to 
            natural resources identified for economic development, and 
            roads that provide access to intermodal terminals, such as 
            airports, harbors, or boat landings.
            ``(C) Limitation on primary access routes.--For purposes of 
        this paragraph, a proposed primary access route is the shortest 
        practicable route connecting 2 points of the proposed route.
            ``(D) Additional facilities.--Nothing in this paragraph 
        precludes the Secretary from including additional 
        transportation facilities that are eligible for funding under 
        the tribal transportation program in the inventory used for the 
        national funding allocation if such additional facilities are 
        included in the inventory in a uniform and consistent manner 
        nationally.
            ``(E) Bridges.--All bridges in the inventory shall be 
        recorded in the national bridge inventory administered by the 
        Secretary under section 144.
        ``(2) Regulations.--Notwithstanding sections 563(a) and 565(a) 
    of title 5, the Secretary of the Interior shall maintain any 
    regulations governing the tribal transportation program.
        ``(3) Basis for funding formula.--
            ``(A) Basis.--
                ``(i) In general.--After making the set asides 
            authorized under subparagraph (C) and subsections (c), (d), 
            and (e) on October 1 of each fiscal year, the Secretary 
            shall distribute the remainder authorized to be 
            appropriated for the tribal transportation program under 
            this section among Indian tribes as follows:

                    ``(I) For fiscal year 2013--

                        ``(aa) for each Indian tribe, 80 percent of the 
                    total relative need distribution factor and 
                    population adjustment factor for the fiscal year 
                    2011 funding amount made available to that Indian 
                    tribe; and
                        ``(bb) the remainder using tribal shares as 
                    described in subparagraphs (B) and (C).

                    ``(II) For fiscal year 2014--

                        ``(aa) for each Indian tribe, 60 percent of the 
                    total relative need distribution factor and 
                    population adjustment factor for the fiscal year 
                    2011 funding amount made available to that Indian 
                    tribe; and
                        ``(bb) the remainder using tribal shares as 
                    described in subparagraphs (B) and (C).

                    ``(III) For fiscal year 2015--

                        ``(aa) for each Indian tribe, 40 percent of the 
                    total relative need distribution factor and 
                    population adjustment factor for the fiscal year 
                    2011 funding amount made available to that Indian 
                    tribe; and
                        ``(bb) the remainder using tribal shares as 
                    described in subparagraphs (B) and (C).

                    ``(IV) For fiscal year 2016 and thereafter--

                        ``(aa) for each Indian tribe, 20 percent of the 
                    total relative need distribution factor and 
                    population adjustment factor for the fiscal year 
                    2011 funding amount made available to that Indian 
                    tribe; and
                        ``(bb) the remainder using tribal shares as 
                    described in subparagraphs (B) and (C).
                ``(ii) Tribal high priority projects.--The High 
            Priority Projects program as included in the Tribal 
            Transportation Allocation Methodology of part 170 of title 
            25, Code of Federal Regulations (as in effect on the date 
            of enactment of the MAP-21), shall not continue in effect.
            ``(B) Tribal shares.--Tribal shares under this program 
        shall be determined using the national tribal transportation 
        facility inventory as calculated for fiscal year 2012, and the 
        most recent data on American Indian and Alaska Native 
        population within each Indian tribe's American Indian/Alaska 
        Native Reservation or Statistical Area, as computed under the 
        Native American Housing Assistance and Self-Determination Act 
        of 1996 (25 U.S.C. 4101 et seq.), in the following manner:
                ``(i) 27 percent in the ratio that the total eligible 
            road mileage in each tribe bears to the total eligible road 
            mileage of all American Indians and Alaskan Natives. For 
            the purposes of this calculation, eligible road mileage 
            shall be computed based on the inventory described in 
            paragraph (1), using only facilities included in the 
            inventory described in clause (i), (ii), or (iii) of 
            paragraph (1)(B).
                ``(ii) 39 percent in the ratio that the total 
            population in each tribe bears to the total population of 
            all American Indians and Alaskan Natives.
                ``(iii) 34 percent shall be divided equally among each 
            Bureau of Indian Affairs region. Within each region, such 
            share of funds shall be distributed to each Indian tribe in 
            the ratio that the average total relative need distribution 
            factors and population adjustment factors from fiscal years 
            2005 through 2011 for a tribe bears to the average total of 
            relative need distribution factors and population 
            adjustment factors for fiscal years 2005 through 2011 in 
            that region.
            ``(C) Tribal supplemental funding.--
                ``(i) Tribal supplemental funding amount.--Of funds 
            made available for each fiscal year for the tribal 
            transportation program, the Secretary shall set aside the 
            following amount for a tribal supplemental program:

                    ``(I) If the amount made available for the tribal 
                transportation program is less than or equal to 
                $275,000,000, 30 percent of such amount.
                    ``(II) If the amount made available for the tribal 
                transportation program exceeds $275,000,000--

                        ``(aa) $82,500,000; plus
                        ``(bb) 12.5 percent of the amount made 
                    available for the tribal transportation program in 
                    excess of $275,000,000.
                ``(ii) Tribal supplemental allocation.--The Secretary 
            shall distribute tribal supplemental funds as follows:

                    ``(I) Distribution among regions.--Of the amounts 
                set aside under clause (i), the Secretary shall 
                distribute to each region of the Bureau of Indian 
                Affairs a share of tribal supplemental funds in 
                proportion to the regional total of tribal shares based 
                on the cumulative tribal shares of all Indian tribes 
                within such region under subparagraph (B).
                    ``(II) Distribution within a region.--Of the amount 
                that a region receives under subclause (I), the 
                Secretary shall distribute tribal supplemental funding 
                among Indian tribes within such region as follows:

                        ``(aa) Tribal supplemental amounts.--The 
                    Secretary shall determine--
                            ``(AA) which such Indian tribes would be 
                        entitled under subparagraph (A) to receive in a 
                        fiscal year less funding than they would 
                        receive in fiscal year 2011 pursuant to the 
                        relative need distribution factor and 
                        population adjustment factor, as described in 
                        subpart C of part 170 of title 25, Code of 
                        Federal Regulations (as in effect on the date 
                        of enactment of the MAP-21); and
                            ``(BB) the combined amount that such Indian 
                        tribes would be entitled to receive in fiscal 
                        year 2011 pursuant to such relative need 
                        distribution factor and population adjustment 
                        factor in excess of the amount that they would 
                        be entitled to receive in the fiscal year under 
                        subparagraph (B).
                        ``(bb) Combined amount.--Subject to subclause 
                    (III), the Secretary shall distribute to each 
                    Indian tribe that meets the criteria described in 
                    item (aa)(AA) a share of funding under this 
                    subparagraph in proportion to the share of the 
                    combined amount determined under item (aa)(BB) 
                    attributable to such Indian tribe.

                    ``(III) Ceiling.--An Indian tribe may not receive 
                under subclause (II) and based on its tribal share 
                under subparagraph (A) a combined amount that exceeds 
                the amount that such Indian tribe would be entitled to 
                receive in fiscal year 2011 pursuant to the relative 
                need distribution factor and population adjustment 
                factor, as described in subpart C of part 170 of title 
                25, Code of Federal Regulations (as in effect on the 
                date of enactment of the MAP-21).
                    ``(IV) Other amounts.--If the amount made available 
                for a region under subclause (I) exceeds the amount 
                distributed among Indian tribes within that region 
                under subclause (II), the Secretary shall distribute 
                the remainder of such region's funding under such 
                subclause among all Indian tribes in that region in 
                proportion to the combined amount that each such Indian 
                tribe received under subparagraph (A) and subclauses 
                (I), (II), and (III).]

        ``(4) Transferred funds.--
            ``(A) In general.--Not later than 30 days after the date on 
        which funds are made available to the Secretary of the Interior 
        under this paragraph, the funds shall be distributed to, and 
        made available for immediate use by, eligible Indian tribes, in 
        accordance with the formula for distribution of funds under the 
        tribal transportation program.
            ``(B) Use of funds.--Notwithstanding any other provision of 
        this section, funds made available to Indian tribes for tribal 
        transportation facilities shall be expended on projects 
        identified in a transportation improvement program approved by 
        the Secretary.
        ``(5) Health and safety assurances.--Notwithstanding any other 
    provision of law, an Indian tribal government may approve plans, 
    specifications, and estimates and commence road and bridge 
    construction with funds made available from the tribal 
    transportation program through a contract or agreement under Indian 
    Self-Determination and Education Assistance Act (25 U.S.C. 450 et 
    seq.), if the Indian tribal government--
            ``(A) provides assurances in the contract or agreement that 
        the construction will meet or exceed applicable health and 
        safety standards;
            ``(B) obtains the advance review of the plans and 
        specifications from a State-licensed civil engineer that has 
        certified that the plans and specifications meet or exceed the 
        applicable health and safety standards; and
            ``(C) provides a copy of the certification under 
        subparagraph (A) to the Deputy Assistant Secretary for Tribal 
        Government Affairs, Department of Transportation, or the 
        Assistant Secretary for Indian Affairs, Department of the 
        Interior, as appropriate.
        ``(6) Contracts and agreements with indian tribes.--
            ``(A) In general.--Notwithstanding any other provision of 
        law or any interagency agreement, program guideline, manual, or 
        policy directive, all funds made available through the 
        Secretary of the Interior under this chapter and section 125(e) 
        for tribal transportation facilities to pay for the costs of 
        programs, services, functions, and activities, or portions of 
        programs, services, functions, or activities, that are 
        specifically or functionally related to the cost of planning, 
        research, engineering, and construction of any tribal 
        transportation facility shall be made available, upon request 
        of the Indian tribal government, to the Indian tribal 
        government for contracts and agreements for such planning, 
        research, engineering, and construction in accordance with 
        Indian Self-Determination and Education Assistance Act (25 
        U.S.C. 450 et seq.).
            ``(B) Exclusion of agency participation.--All funds, 
        including contract support costs, for programs, functions, 
        services, or activities, or portions of programs, services, 
        functions, or activities, including supportive administrative 
        functions that are otherwise contractible to which subparagraph 
        (A) applies, shall be paid in accordance with subparagraph (A), 
        without regard to the organizational level at which the 
        Department of the Interior has previously carried out such 
        programs, functions, services, or activities.
        ``(7) Contracts and agreements with indian tribes.--
            ``(A) In general.--Notwithstanding any other provision of 
        law or any interagency agreement, program guideline, manual, or 
        policy directive, all funds made available to an Indian tribal 
        government under this chapter for a tribal transportation 
        facility program or project shall be made available, on the 
        request of the Indian tribal government, to the Indian tribal 
        government for use in carrying out, in accordance with the 
        Indian Self-Determination and Education Assistance Act (25 
        U.S.C. 450 et seq.), contracts and agreements for the planning, 
        research, design, engineering, construction, and maintenance 
        relating to the program or project.
            ``(B) Exclusion of agency participation.--In accordance 
        with subparagraph (A), all funds, including contract support 
        costs, for a program or project to which subparagraph (A) 
        applies shall be paid to the Indian tribal government without 
        regard to the organizational level at which the Department of 
        the Interior has previously carried out, or the Department of 
        Transportation has previously carried out under the tribal 
        transportation program, the programs, functions, services, or 
        activities involved.
            ``(C) Consortia.--Two or more Indian tribes that are 
        otherwise eligible to participate in a program or project to 
        which this chapter applies may form a consortium to be 
        considered as a single Indian tribe for the purpose of 
        participating in the project under this section.
            ``(D) Secretary as signatory.--Notwithstanding any other 
        provision of law, the Secretary is authorized to enter into a 
        funding agreement with an Indian tribal government to carry out 
        a tribal transportation facility program or project under 
        subparagraph (A) that is located on an Indian reservation or 
        provides access to the reservation or a community of the Indian 
        tribe.
            ``(E) Funding.--The amount an Indian tribal government 
        receives for a program or project under subparagraph (A) shall 
        equal the sum of the funding that the Indian tribal government 
        would otherwise receive for the program or project in 
        accordance with the funding formula established under this 
        subsection and such additional amounts as the Secretary 
        determines equal the amounts that would have been withheld for 
        the costs of the Bureau of Indian Affairs for administration of 
        the program or project.
            ``(F) Eligibility.--
                ``(i) In general.--Subject to clause (ii) and the 
            approval of the Secretary, funds may be made available 
            under subparagraph (A) to an Indian tribal government for a 
            program or project in a fiscal year only if the Indian 
            tribal government requesting such funds demonstrates to the 
            satisfaction of the Secretary financial stability and 
            financial management capability during the 3 fiscal years 
            immediately preceding the fiscal year for which the request 
            is being made.
                ``(ii) Considerations.--An Indian tribal government 
            that had no uncorrected significant and material audit 
            exceptions in the required annual audit of the contracts or 
            self-governance funding agreements made by the Indian tribe 
            with any Federal agency under the Indian Self-Determination 
            and Education Assistance Act (25 U.S.C. 450 et seq.) during 
            the 3-fiscal year period referred in clause (i) shall be 
            conclusive evidence of the financial stability and 
            financial management capability of the Indian tribe for 
            purposes of clause (i).
            ``(G) Assumption of functions and duties.--An Indian tribal 
        government receiving funding under subparagraph (A) for a 
        program or project shall assume all functions and duties that 
        the Secretary of the Interior would have performed with respect 
        to a program or project under this chapter, other than those 
        functions and duties that inherently cannot be legally 
        transferred under the Indian Self-Determination and Education 
        Assistance Act (25 U.S.C. 450 et seq.).
            ``(H) Powers.--An Indian tribal government receiving 
        funding under subparagraph (A) for a program or project shall 
        have all powers that the Secretary of the Interior would have 
        exercised in administering the funds transferred to the Indian 
        tribal government for such program or project under this 
        section if the funds had not been transferred, except to the 
        extent that such powers are powers that inherently cannot be 
        legally transferred under the Indian Self-Determination and 
        Education Assistance Act (25 U.S.C. 450 et seq.).
            ``(I) Dispute resolution.--In the event of a disagreement 
        between the Secretary or the Secretary of the Interior and an 
        Indian tribe over whether a particular function, duty, or power 
        may be lawfully transferred to the Indian tribe under the 
        Indian Self-Determination and Education Assistance Act (25 
        U.S.C. 450 et seq.), the Indian tribe shall have the right to 
        pursue all alternative dispute resolution and appeal procedures 
        authorized by that Act, including regulations issued to carry 
        out the Act.
            ``(J) Termination of contract or agreement.--On the date of 
        the termination of a contract or agreement under this section 
        by an Indian tribal government, the Secretary shall transfer 
        all funds that would have been allocated to the Indian tribal 
        government under the contract or agreement to the Secretary of 
        the Interior to provide continued transportation services in 
        accordance with applicable law.
    ``(c) Planning.--
        ``(1) In general.--For each fiscal year, not more than 2 
    percent of the funds made available for the tribal transportation 
    program shall be allocated among Indian tribal governments that 
    apply for transportation planning pursuant to the Indian Self-
    Determination and Education Assistance Act (25 U.S.C. 450 et seq.).
        ``(2) Requirement.--An Indian tribal government, in cooperation 
    with the Secretary of the Interior and, as appropriate, with a 
    State, local government, or metropolitan planning organization, 
    shall carry out a transportation planning process in accordance 
    with section 201(c).
        ``(3) Selection and approval of projects.--A project funded 
    under this section shall be--
            ``(A) selected by the Indian tribal government from the 
        transportation improvement program; and
            ``(B) subject to the approval of the Secretary of the 
        Interior and the Secretary.
    ``(d) Tribal Transportation Facility Bridges.--
        ``(1) Nationwide priority program.--The Secretary shall 
    maintain a nationwide priority program for improving deficient 
    bridges eligible for the tribal transportation program.
        ``(2) Funding.--Before making any distribution under subsection 
    (b), the Secretary shall set aside not more than 2 percent of the 
    funds made available under the tribal transportation program for 
    each fiscal year to be allocated--
            ``(A) to carry out any planning, design, engineering, 
        preconstruction, construction, and inspection of a project to 
        replace, rehabilitate, seismically retrofit, paint, apply 
        calcium magnesium acetate, sodium acetate/formate, or other 
        environmentally acceptable, minimally corrosive anti-icing and 
        deicing composition; or
            ``(B) to implement any countermeasure for deficient tribal 
        transportation facility bridges, including multiple-pipe 
        culverts.
        ``(3) Eligible bridges.--To be eligible to receive funding 
    under this subsection, a bridge described in paragraph (1) shall--
            ``(A) have an opening of not less than 20 feet;
            ``(B) be classified as a tribal transportation facility; 
        and
            ``(C) be structurally deficient or functionally obsolete.
        ``(4) Approval requirement.--The Secretary may make funds 
    available under this subsection for preliminary engineering, 
    construction, and construction engineering activities after 
    approval of required documentation and verification of eligibility 
    in accordance with this title.
    ``(e) Safety.--
        ``(1) Funding.--Before making any distribution under subsection 
    (b), the Secretary shall set aside not more than 2 percent of the 
    funds made available under the tribal transportation program for 
    each fiscal year to be allocated based on an identification and 
    analysis of highway safety issues and opportunities on tribal land, 
    as determined by the Secretary, on application of the Indian tribal 
    governments for eligible projects described in section 148(a)(4).
        ``(2) Project selection.--An Indian tribal government, in 
    cooperation with the Secretary of the Interior and, as appropriate, 
    with a State, local government, or metropolitan planning 
    organization, shall select projects from the transportation 
    improvement program, subject to the approval of the Secretary and 
    the Secretary of the Interior.
    ``(f) Federal-aid Eligible Projects.--Before approving as a project 
on a tribal transportation facility any project eligible for funds 
apportioned under section 104 in a State, the Secretary shall, for 
projects on tribal transportation facilities, determine that the 
obligation of funds for the project is supplementary to and not in lieu 
of the obligation of a fair and equitable share of funds apportioned to 
the State under section 104.
``Sec. 203. Federal lands transportation program
    ``(a) Use of Funds.--
        ``(1) In general.--Funds made available under the Federal lands 
    transportation program shall be used by the Secretary of 
    Transportation and the Secretary of the appropriate Federal land 
    management agency to pay the costs of--
            ``(A) program administration, transportation planning, 
        research, preventive maintenance, engineering, rehabilitation, 
        restoration, construction, and reconstruction of Federal lands 
        transportation facilities, and--
                ``(i) adjacent vehicular parking areas;
                ``(ii) acquisition of necessary scenic easements and 
            scenic or historic sites;
                ``(iii) provision for pedestrians and bicycles;
                ``(iv) environmental mitigation in or adjacent to 
            Federal land open to the public--

                    ``(I) to improve public safety and reduce vehicle-
                caused wildlife mortality while maintaining habitat 
                connectivity; and
                    ``(II) to mitigate the damage to wildlife, aquatic 
                organism passage, habitat, and ecosystem connectivity, 
                including the costs of constructing, maintaining, 
                replacing, or removing culverts and bridges, as 
                appropriate;

                ``(v) construction and reconstruction of roadside rest 
            areas, including sanitary and water facilities;
                ``(vi) congestion mitigation; and
                ``(vii) other appropriate public road facilities, as 
            determined by the Secretary;
            ``(B) operation and maintenance of transit facilities;
            ``(C) any transportation project eligible for assistance 
        under this title that is on a public road within or adjacent 
        to, or that provides access to, Federal lands open to the 
        public; and
            ``(D) not more $10,000,000 of the amounts made available 
        per fiscal year to carry out this section for activities 
        eligible under subparagraph (A)(iv).
        ``(2) Contract.--In connection with an activity described in 
    paragraph (1), the Secretary and the Secretary of the appropriate 
    Federal land management agency may enter into a contract or other 
    appropriate agreement with respect to the activity with--
            ``(A) a State (including a political subdivision of a 
        State); or
            ``(B) an Indian tribe.
        ``(3) Administration.--All appropriations for the construction 
    and improvement of Federal lands transportation facilities shall be 
    administered in conformity with regulations and agreements jointly 
    approved by the Secretary and the Secretary of the appropriate 
    Federal land managing agency.
        ``(4) Cooperation.--
            ``(A) In general.--The cooperation of States, counties, or 
        other local subdivisions may be accepted in construction and 
        improvement.
            ``(B) Funds received.--Any funds received from a State, 
        county, or local subdivision shall be credited to 
        appropriations available for the class of Federal lands 
        transportation facilities to which the funds were contributed.
        ``(5) Competitive bidding.--
            ``(A) In general.--Subject to subparagraph (B), 
        construction of each project shall be performed by contract 
        awarded by competitive bidding.
            ``(B) Exception.--Subparagraph (A) shall not apply if the 
        Secretary or the Secretary of the appropriate Federal land 
        management agency affirmatively finds that, under the 
        circumstances relating to the project, a different method is in 
        the public interest.
    ``(b) Agency Program Distributions.--
        ``(1) In general.--On October 1, 2011, and on October 1 of each 
    fiscal year thereafter, the Secretary shall allocate the sums 
    authorized to be appropriated for the fiscal year for the Federal 
    lands transportation program on the basis of applications of need, 
    as determined by the Secretary--
            ``(A) in consultation with the Secretaries of the 
        applicable Federal land management agencies; and
            ``(B) in coordination with the transportation plans 
        required under section 201 of the respective transportation 
        systems of--
                ``(i) the National Park Service;
                ``(ii) the Forest Service;
                ``(iii) the United States Fish and Wildlife Service;
                ``(iv) the Corps of Engineers; and
                ``(v) the Bureau of Land Management.
        ``(2) Applications.--
            ``(A) Requirements.--Each application submitted by a 
        Federal land management agency shall include proposed programs 
        at various potential funding levels, as defined by the 
        Secretary following collaborative discussions with applicable 
        Federal land management agencies.
            ``(B) Consideration by secretary.--In evaluating an 
        application submitted under subparagraph (A), the Secretary 
        shall consider the extent to which the programs support--
                ``(i) the transportation goals of--

                    ``(I) a state of good repair of transportation 
                facilities;
                    ``(II) a reduction of bridge deficiencies, and
                    ``(III) an improvement of safety;

                ``(ii) high-use Federal recreational sites or Federal 
            economic generators; and
                ``(iii) the resource and asset management goals of the 
            Secretary of the respective Federal land management agency.
            ``(C) Permissive contents.--Applications may include 
        proposed programs the duration of which extend over a multiple-
        year period to support long-term transportation planning and 
        resource management initiatives.
    ``(c) National Federal Lands Transportation Facility Inventory.--
        ``(1) In general.--The Secretaries of the appropriate Federal 
    land management agencies, in cooperation with the Secretary, shall 
    maintain a comprehensive national inventory of public Federal lands 
    transportation facilities.
        ``(2) Transportation facilities included in the inventories.--
    To identify the Federal lands transportation system and determine 
    the relative transportation needs among Federal land management 
    agencies, the inventories shall include, at a minimum, facilities 
    that--
            ``(A) provide access to high-use Federal recreation sites 
        or Federal economic generators, as determined by the Secretary 
        in coordination with the respective Secretaries of the 
        appropriate Federal land management agencies; and
            ``(B) are owned by 1 of the following agencies:
                ``(i) The National Park Service.
                ``(ii) The Forest Service.
                ``(iii) The United States Fish and Wildlife Service.
                ``(iv) The Bureau of Land Management.
                ``(v) The Corps of Engineers.
        ``(3) Availability.--The inventories shall be made available to 
    the Secretary.
        ``(4) Updates.--The Secretaries of the appropriate Federal land 
    management agencies shall update the inventories of the appropriate 
    Federal land management agencies, as determined by the Secretary 
    after collaborative discussions with the Secretaries of the 
    appropriate Federal land management agencies.
        ``(5) Review.--A decision to add or remove a facility from the 
    inventory shall not be considered a Federal action for purposes of 
    review under the National Environmental Policy Act of 1969 (42 
    U.S.C. 4321 et seq.).
    ``(d) Bicycle Safety.--The Secretary of the appropriate Federal 
land management agency shall prohibit the use of bicycles on each 
federally owned road that has a speed limit of 30 miles per hour or 
greater and an adjacent paved path for use by bicycles within 100 yards 
of the road unless the Secretary determines that the bicycle level of 
service on that roadway is rated B or higher.
``Sec. 204. Federal lands access program
    ``(a) Use of Funds.--
        ``(1) In general.--Funds made available under the Federal lands 
    access program shall be used by the Secretary of Transportation and 
    the Secretary of the appropriate Federal land management agency to 
    pay the cost of--
            ``(A) transportation planning, research, engineering, 
        preventive maintenance, rehabilitation, restoration, 
        construction, and reconstruction of Federal lands access 
        transportation facilities located on or adjacent to, or that 
        provide access to, Federal land, and--
                ``(i) adjacent vehicular parking areas;
                ``(ii) acquisition of necessary scenic easements and 
            scenic or historic sites;
                ``(iii) provisions for pedestrians and bicycles;
                ``(iv) environmental mitigation in or adjacent to 
            Federal land to improve public safety and reduce vehicle-
            caused wildlife mortality while maintaining habitat 
            connectivity;
                ``(v) construction and reconstruction of roadside rest 
            areas, including sanitary and water facilities; and
                ``(vi) other appropriate public road facilities, as 
            determined by the Secretary;
            ``(B) operation and maintenance of transit facilities; and
            ``(C) any transportation project eligible for assistance 
        under this title that is within or adjacent to, or that 
        provides access to, Federal land.
        ``(2) Contract.--In connection with an activity described in 
    paragraph (1), the Secretary and the Secretary of the appropriate 
    Federal land management agency may enter into a contract or other 
    appropriate agreement with respect to the activity with--
            ``(A) a State (including a political subdivision of a 
        State); or
            ``(B) an Indian tribe.
        ``(3) Administration.--All appropriations for the construction 
    and improvement of Federal lands access transportation facilities 
    shall be administered in conformity with regulations and agreements 
    approved by the Secretary.
        ``(4) Cooperation.--
            ``(A) In general.--The cooperation of States, counties, or 
        other local subdivisions may be accepted in construction and 
        improvement.
            ``(B) Funds received.--Any funds received from a State, 
        county, or local subdivision for a Federal lands access 
        transportation facility project shall be credited to 
        appropriations available under the Federal lands access 
        program.
        ``(5) Competitive bidding.--
            ``(A) In general.--Subject to subparagraph (B), 
        construction of each project shall be performed by contract 
        awarded by competitive bidding.
            ``(B) Exception.--Subparagraph (A) shall not apply if the 
        Secretary or the Secretary of the appropriate Federal land 
        management agency affirmatively finds that, under the 
        circumstances relating to the project, a different method is in 
        the public interest.
    ``(b) Program Distributions.--
        ``(1) In general.--Funding made available to carry out the 
    Federal lands access program shall be allocated among those States 
    that have Federal land, in accordance with the following formula:
            ``(A) 80 percent of the available funding for use in those 
        States that contain at least 1 \1/2\ percent of the total 
        public land in the United States managed by the agencies 
        described in paragraph (2), to be distributed as follows:
                ``(i) 30 percent in the ratio that--

                    ``(I) recreational visitation within each such 
                State; bears to
                    ``(II) the recreational visitation within all such 
                States.

                ``(ii) 5 percent in the ratio that--

                    ``(I) the Federal land area within each such State; 
                bears to
                    ``(II) the Federal land area in all such States.

                ``(iii) 55 percent in the ratio that--

                    ``(I) the Federal public road miles within each 
                such State; bears to
                    ``(II) the Federal public road miles in all such 
                States.

                ``(iv) 10 percent in the ratio that--

                    ``(I) the number of Federal public bridges within 
                each such State; bears to
                    ``(II) the number of Federal public bridges in all 
                such States.

            ``(B) 20 percent of the available funding for use in those 
        States that do not contain at least 1 \1/2\ percent of the 
        total public land in the United States managed by the agencies 
        described in paragraph (2), to be distributed as follows:
                ``(i) 30 percent in the ratio that--

                    ``(I) recreational visitation within each such 
                State; bears to
                    ``(II) the recreational visitation within all such 
                States.

                ``(ii) 5 percent in the ratio that--

                    ``(I) the Federal land area within each such State; 
                bears to
                    ``(II) the Federal land area in all such States.

                ``(iii) 55 percent in the ratio that--

                    ``(I) the Federal public road miles within each 
                such State; bears to
                    ``(II) the Federal public road miles in all such 
                States.

                ``(iv) 10 percent in the ratio that--

                    ``(I) the number of Federal public bridges within 
                each such State; bears to
                    ``(II) the number of Federal public bridges in all 
                such States.

        ``(2) Data source.--Data necessary to distribute funding under 
    paragraph (1) shall be provided by the following Federal land 
    management agencies:
            ``(A) The National Park Service.
            ``(B) The Forest Service.
            ``(C) The United States Fish and Wildlife Service.
            ``(D) The Bureau of Land Management.
            ``(E) The Corps of Engineers.
    ``(c) Programming Decisions Committee.--
        ``(1) In general.--Programming decisions shall be made within 
    each State by a committee comprised of--
            ``(A) a representative of the Federal Highway 
        Administration;
            ``(B) a representative of the State Department of 
        Transportation; and
            ``(C) a representative of any appropriate political 
        subdivision of the State.
        ``(2) Consultation requirement.--The committee described in 
    paragraph (1) shall cooperate with each applicable Federal agency 
    in each State before any joint discussion or final programming 
    decision.
        ``(3) Project preference.--In making a programming decision 
    under paragraph (1), the committee shall give preference to 
    projects that provide access to, are adjacent to, or are located 
    within high-use Federal recreation sites or Federal economic 
    generators, as identified by the Secretaries of the appropriate 
    Federal land management agencies.''.
    (b) Public Lands Development Roads and Trails.--Section 214 of 
title 23, United States Code, is repealed.
    (c) Conforming Amendments.--
        (1) Chapter 2 analysis.--The analysis for chapter 2 of title 
    23, United States Code, is amended--
            (A) by striking the items relating to sections 201 through 
        204 and inserting the following:

``201. Federal lands and tribal transportation programs.
``202. Tribal transportation program.
``203. Federal lands transportation program.
``204. Federal lands access program.''; and

            (B) by striking the item relating to section 214.
        (2) Definition.--Section 138(a) of title 23, United States 
    Code, is amended in the third sentence by striking ``park road or 
    parkway under section 204 of this title'' and inserting ``Federal 
    lands transportation facility''.
        (3) Rules, regulations, and recommendations.--Section 315 of 
    title 23, United States Code, is amended by striking ``204(f)'' and 
    inserting ``202(a)(5), 203(a)(3),''.
SEC. 1120. PROJECTS OF NATIONAL AND REGIONAL SIGNIFICANCE.
    Section 1301 of the SAFETEA-LU (23 U.S.C. 101 note; 119 Stat. 1198) 
is amended--
        (1) in subsection (b), by striking ``States'' and inserting 
    ``eligible applicants'';
        (2) in subsection (c), by striking paragraph (3) and inserting 
    the following:
        ``(3) Eligible applicant.--The term `eligible applicant' 
    means--
            ``(A) a State department of transportation or a group of 
        State departments of transportation;
            ``(B) a tribal government or consortium of tribal 
        governments;
            ``(C) a transit agency; or
            ``(D) a multi-State or multi-jurisdictional group of the 
        agencies described in subparagraphs (A) through (C).'';
        (3) in subsection (d)(2), by striking ``75'' and inserting 
    ``50'';
        (4) in subsection (e), by striking ``State'' and inserting 
    ``eligible applicant'';
        (5) in subsection (f)(3) by striking subparagraph (B) and 
    inserting the following:
            ``(B) improves roadways vital to national energy security; 
        and'';
        (6) in subsection (g)(1) by adding at the end the following:
            ``(E) Congressional approval.--The Secretary may not issue 
        a letter of intent, enter into a full funding grant agreement 
        under paragraph (2), or make any other obligation or commitment 
        to fund a project under this section if a joint resolution of 
        disapproval is enacted disapproving funding for the project 
        before the last day of the 60-day period described in 
        subparagraph (B).'';
        (7) in subsection (k), by adding at the end the following:
        ``(3) Project selection justifications.--
            ``(A) In general.--Not later than 30 days after the date on 
        which the Secretary selects a project for funding under this 
        section, the Secretary shall submit to the Committee on 
        Transportation and Infrastructure of the House of 
        Representatives and the Committee on Environment and Public 
        Works of the Senate a report that describes the reasons for 
        selecting the project, based on the criteria described in 
        subsection (f).
            ``(B) Inclusions.--The report submitted under subparagraph 
        (A) shall specify each criteria described in subsection (f) 
        that the project meets.
            ``(C) Availability.--The Secretary shall make available on 
        the website of the Department the report submitted under 
        subparagraph (A).''; and
        (8) by striking subsections (l) and (m) and inserting the 
    following:
    ``(l) Report.--
        ``(1) In general.--Not later than 2 years after the date of 
    enactment of the MAP-21, the Secretary shall submit a report to the 
    Committee on Transportation and Infrastructure of the House of 
    Representatives and the Committee on Environment and Public Works 
    of the Senate regarding projects of national and regional 
    significance.
        ``(2) Purpose.--The purpose of the report issued under this 
    subsection shall be to identify projects of national and regional 
    significance that--
            ``(A) will significantly improve the performance of the 
        Federal-aid highway system, nationally or regionally;
            ``(B) is able to--
                ``(i) generate national economic benefits that 
            reasonably exceed the costs of the projects, including 
            increased access to jobs, labor, and other critical 
            economic inputs;
                ``(ii) reduce long-term congestion, including impacts 
            in the State, region, and the United States, and increase 
            speed, reliability, and accessibility of the movement of 
            people or freight; and
                ``(iii) improve transportation safety, including 
            reducing transportation accidents, and serious injuries and 
            fatalities; and
            ``(C) can be supported by an acceptable degree of non-
        Federal financial commitments.
        ``(3) Contents.--The report issued under this subsection shall 
    include--
            ``(A) a comprehensive list of each project of national and 
        regional significance that--
                ``(i) has been complied through a survey of State 
            departments of transportation; and
                ``(ii) has been classified by the Secretary as a 
            project of regional or national significance in accordance 
            with this section;
            ``(B) an analysis of the information collected under 
        paragraph (1), including a discussion of the factors supporting 
        each classification of a project as a project of regional or 
        national significance; and
            ``(C) recommendations on financing for eligible project 
        costs.
    ``(m) Authorization of Appropriations.--There is authorized to be 
appropriated to carry out this section $500,000,000 for fiscal year 
2013, to remain available until expended.''.
SEC. 1121. CONSTRUCTION OF FERRY BOATS AND FERRY TERMINAL FACILITIES.
    (a) Construction of Ferry Boats and Ferry Terminal Facilities.--
Section 147 of title 23, United States Code, is amended--
        (1) by striking subsections (c) and (d);
        (2) by redesignating subsections (e) and (f) as subsections (f) 
    and (g), respectively; and
        (3) by inserting after subsection (b) the following:
    ``(c) Distribution of Funds.--Of the amounts made available to 
ferry systems and public entities responsible for developing ferries 
under this section for a fiscal year, 100 percent shall be allocated in 
accordance with the formula set forth in subsection (d).
    ``(d) Formula.--Of the amounts allocated pursuant to subsection 
(c)--
        ``(1) 20 percent shall be allocated among eligible entities in 
    the proportion that--
            ``(A) the number of ferry passengers carried by each ferry 
        system in the most recent fiscal year; bears to
            ``(B) the number of ferry passengers carried by all ferry 
        systems in the most recent fiscal year;
        ``(2) 45 percent shall be allocated among eligible entities in 
    the proportion that--
            ``(A) the number of vehicles carried by each ferry system 
        in the most recent fiscal year; bears to
            ``(B) the number of vehicles carried by all ferry systems 
        in the most recent fiscal year; and
        ``(3) 35 percent shall be allocated among eligible entities in 
    the proportion that--
            ``(A) the total route miles serviced by each ferry system; 
        bears to
            ``(B) the total route miles serviced by all ferry systems.
    ``(e) Authorization of Appropriations.--There is authorized to be 
appropriated out of the Highway Trust Fund (other than the Mass Transit 
Account) to carry out this section $67,000,000 for each of fiscal years 
2013 and 2014.''.
    (b) National Ferry Database.--Section 1801(e) of the SAFETEA-LU (23 
U.S.C. 129 note; Public Law 109-59) is amended--
        (1) in paragraph (2), by inserting ``, including any Federal, 
    State, and local government funding sources,'' after ``sources''; 
    and
        (2) in paragraph (4)--
            (A) in subparagraph (B), by striking ``and'' at the end;
            (B) by redesignating subparagraph (C) as subparagraph (D);
            (C) by inserting after subparagraph (B), the following:
            ``(C) ensure that the database is consistent with the 
        national transit database maintained by the Federal Transit 
        Administration; and''; and
            (D) in subparagraph (D) (as redesignated by subparagraph 
        (B)), by striking ``2009'' and inserting ``2014''.
SEC. 1122. TRANSPORTATION ALTERNATIVES.
    (a) In General.--Section 213 of title 23, United States Code, is 
amended to read as follows:
``Sec. 213. Transportation alternatives
    ``(a) Reservation of Funds.--
        ``(1) In general.--On October 1 of each of fiscal years 2013 
    and 2014, the Secretary shall proportionally reserve from the funds 
    apportioned to a State under section 104(b) to carry out the 
    requirements of this section an amount equal to the amount obtained 
    by multiplying the amount determined under paragraph (2) by the 
    ratio that--
            ``(A) the amount apportioned to the State for the 
        transportation enhancements program for fiscal year 2009 under 
        section 133(d)(2), as in effect on the day before the date of 
        enactment of the MAP-21; bears to
            ``(B) the total amount of funds apportioned to all States 
        for that fiscal year for the transportation enhancements 
        program for fiscal year 2009.
        ``(2) Calculation of national amount.--The Secretary shall 
    determine an amount for each fiscal year that is equal to 2 percent 
    of the amounts authorized to be appropriated for such fiscal year 
    from the Highway Trust Fund (other than the Mass Transit Account) 
    to carry out chapters 1, 2, 5, and 6 of this title.
    ``(b) Eligible Projects.--A State may obligate the funds reserved 
under this section for any of the following projects or activities:
        ``(1) Transportation alternatives, as defined in section 101.
        ``(2) The recreational trails program under section 206.
        ``(3) The safe routes to school program under section 1404 of 
    the SAFETEA-LU (23 U.S.C. 402 note; Public Law 109-59).
        ``(4) Planning, designing, or constructing boulevards and other 
    roadways largely in the right-of-way of former Interstate System 
    routes or other divided highways.
    ``(c) Allocations of Funds.--
        ``(1) Calculation.--Of the funds reserved in a State under this 
    section--
            ``(A) 50 percent for a fiscal year shall be obligated under 
        this section to any eligible entity in proportion to their 
        relative shares of the population of the State--
                ``(i) in urbanized areas of the State with an urbanized 
            area population of over 200,000;
                ``(ii) in areas of the State other than urban areas 
            with a population greater than 5,000; and
                ``(iii) in other areas of the State; and
            ``(B) 50 percent shall be obligated in any area of the 
        State.
        ``(2) Metropolitan areas.--Funds attributed to an urbanized 
    area under paragraph (1)(A)(i) may be obligated in the metropolitan 
    area established under section 134 that encompasses the urbanized 
    area.
        ``(3) Distribution among urbanized areas of over 200,000 
    population.--
            ``(A) In general.--Except as provided in paragraph (1)(B), 
        the amount of funds that a State is required to obligate under 
        paragraph (1)(A)(i) shall be obligated in urbanized areas 
        described in paragraph (1)(A)(i) based on the relative 
        population of the areas.
            ``(B) Other factors.--A State may obligate the funds 
        described in subparagraph (A) based on other factors if the 
        State and the relevant metropolitan planning organizations 
        jointly apply to the Secretary for the permission to base the 
        obligation on other factors and the Secretary grants the 
        request.
        ``(4) Access to funds.--
            ``(A) In general.--Each State or metropolitan planning 
        organization required to obligate funds in accordance with 
        paragraph (1) shall develop a competitive process to allow 
        eligible entities to submit projects for funding that achieve 
        the objectives of this subsection.
            ``(B) Definition of eligible entity.--In this paragraph, 
        the term `eligible entity' means--
                ``(i) a local government;
                ``(ii) a regional transportation authority;
                ``(iii) a transit agency;
                ``(iv) a natural resource or public land agency;
                ``(v) a school district, local education agency, or 
            school;
                ``(vi) a tribal government; and
                ``(vii) any other local or regional governmental entity 
            with responsibility for or oversight of transportation or 
            recreational trails (other than a metropolitan planning 
            organization or a State agency) that the State determines 
            to be eligible, consistent with the goals of this 
            subsection.
        ``(5) Selection of projects.--For funds reserved in a State 
    under this section and suballocated to a metropolitan planning area 
    under paragraph (1)(A)(i), each such metropolitan planning 
    organization shall select projects carried out within the 
    boundaries of the applicable metropolitan planning area, in 
    consultation with the relevant State.
    ``(d) Flexibility of Excess Reserved Funding.--Beginning in the 
second fiscal year after the date of enactment of the MAP-21, if on 
August 1 of that fiscal year the unobligated balance of available funds 
reserved by a State under this section exceeds 100 percent of such 
reserved amount in such fiscal year, the State may thereafter obligate 
the amount of excess funds for any activity--
        ``(1) that is eligible to receive funding under this section; 
    or
        ``(2) for which the Secretary has approved the obligation of 
    funds for any State under section 149.
    ``(e) Treatment of Projects.--Notwithstanding any other provision 
of law, projects funded under this section (excluding those carried out 
under subsection (f)) shall be treated as projects on a Federal-aid 
highway under this chapter.
    ``(f) Continuation of Certain Recreational Trails Projects.--Each 
State shall--
        ``(1) obligate an amount of funds reserved under this section 
    equal to the amount of the funds apportioned to the State for 
    fiscal year 2009 under section 104(h)(2) for projects relating to 
    recreational trails under section 206;
        ``(2) return 1 percent of those funds to the Secretary for the 
    administration of that program; and
        ``(3) comply with the provisions of the administration of the 
    recreational trails program under section 206, including the use of 
    apportioned funds described under subsection (d)(3)(A) of that 
    section.
    ``(g) State Flexibility.--A State may opt out of the recreational 
trails program under subsection (f) if the Governor of the State 
notifies the Secretary not later than 30 days prior to apportionments 
being made for any fiscal year.''.
    (b) Conforming Amendment.--The analysis for chapter 2 of title 23, 
United States Code, is amended by striking the item relating to section 
213 and inserting the following:

``213. Transportation alternatives''.
SEC. 1123. TRIBAL HIGH PRIORITY PROJECTS PROGRAM.
    (a) Definitions.--In this section:
        (1) Emergency or disaster.--The term ``emergency or disaster'' 
    means damage to a tribal transportation facility that--
            (A) renders the tribal transportation facility impassable 
        or unusable;
            (B) is caused by--
                (i) a natural disaster over a widespread area; or
                (ii) a catastrophic failure from an external cause; and
            (C) would be eligible under the emergency relief program 
        under section 125 of title 23, United States Code, but does not 
        meet the funding thresholds required by that section.
        (2) List.--The term ``list'' means the funding priority list 
    developed under subsection (c)(5).
        (3) Program.--The term ``program'' means the Tribal High 
    Priority Projects program established under subsection (b)(1).
        (4) Project.--The term ``project'' means a project provided 
    funds under the program.
    (b) Program.--
        (1) In general.--The Secretary shall use amounts made available 
    under subsection (h) to carry out a Tribal High Priority Projects 
    program under which funds shall be provided to eligible applicants 
    in accordance with this section.
        (2) Eligible applicants.--Applicants eligible for program funds 
    under this section include--
            (A) an Indian tribe whose annual allocation of funding 
        under section 202 of title 23, United States Code, is 
        insufficient to complete the highest priority project of the 
        Indian tribe;
            (B) a governmental subdivision of an Indian tribe--
                (i) that is authorized to administer the funding of the 
            Indian tribe under section 202 of title 23, United States 
            Code; and
                (ii) for which the annual allocation under that section 
            is insufficient to complete the highest priority project of 
            the Indian tribe; or
            (C) any Indian tribe that has an emergency or disaster with 
        respect to a transportation facility included on the national 
        inventory of tribal transportation facilities under section 
        202(b)(1) of title 23, United States Code.
    (c) Project Applications; Funding.--
        (1) In general.--To apply for funds under this section, an 
    eligible applicant shall submit to the Department of the Interior 
    or the Department an application that includes--
            (A) project scope of work, including deliverables, budget, 
        and timeline;
            (B) the amount of funds requested;
            (C) project information addressing--
                (i) the ranking criteria identified in paragraph (3); 
            or
                (ii) the nature of the emergency or disaster;
            (D) documentation that the project meets the definition of 
        a tribal transportation facility and is included in the 
        national inventory of tribal transportation facilities under 
        section 202(b)(1) of title 23, United States Code;
            (E) documentation of official tribal action requesting the 
        project;
            (F) documentation from the Indian tribe providing authority 
        for the Secretary of the Interior to place the project on a 
        transportation improvement program if the project is selected 
        and approved; and
            (G) any other information the Secretary of the Interior or 
        Secretary considers appropriate to make a determination.
        (2) Limitation on applications.--An applicant for funds under 
    the program may only have 1 application for assistance under this 
    section pending at any 1 time, including any emergency or disaster 
    application.
        (3) Application ranking.--
            (A) In general.--The Secretary of the Interior and the 
        Secretary shall determine the eligibility of, and fund, program 
        applications, subject to the availability of funds.
            (B) Ranking criteria.--The project ranking criteria for 
        applications under this section shall include--
                (i) the existence of safety hazards with documented 
            fatality and injury accidents;
                (ii) the number of years since the Indian tribe last 
            completed a construction project funded by section 202 of 
            title 23, United States Code;
                (iii) the readiness of the Indian tribe to proceed to 
            construction or bridge design need;
                (iv) the percentage of project costs matched by funds 
            that are not provided under section 202 of title 23, United 
            States Code, with projects with a greater percentage of 
            other sources of matching funds ranked ahead of lesser 
            matches);
                (v) the amount of funds requested, with requests for 
            lesser amounts given greater priority;
                (vi) the challenges caused by geographic isolation; and
                (vii) all weather access for employment, commerce, 
            health, safety, educational resources, or housing.
        (4) Project scoring matrix.--The project scoring matrix 
    established in the appendix to part 170 of title 25, Code of 
    Regulations (as in effect on the date of enactment of this Act) 
    shall be used to rank all applications accepted under this section.
        (5) Funding priority list.--
            (A) In general.--The Secretary of the Interior and the 
        Secretary shall jointly produce a funding priority list that 
        ranks the projects approved for funding under the program.
            (B) Limitation.--The number of projects on the list shall 
        be limited by the amount of funding made available.
        (6) Timeline.--The Secretary of the Interior and the Secretary 
    shall--
            (A) require applications for funding no sooner than 60 days 
        after funding is made available pursuant to subsection (a);
            (B) notify all applicants and Regions in writing of 
        acceptance of applications;
            (C) rank all accepted applications in accordance with the 
        project scoring matrix, develop the funding priority list, and 
        return unaccepted applications to the applicant with an 
        explanation of deficiencies;
            (D) notify all accepted applicants of the projects included 
        on the funding priority list no later than 180 days after the 
        application deadline has passed pursuant to subparagraph (A); 
        and
            (E) distribute funds to successful applicants.
    (d) Emergency or Disaster Project Applications.--
        (1) In general.--Notwithstanding subsection (c)(6), an eligible 
    applicant may submit an emergency or disaster project application 
    at any time during the fiscal year.
        (2) Consideration as priority.--The Secretary shall--
            (A) consider project applications submitted under paragraph 
        (1) to be a priority; and
            (B) fund the project applications in accordance with 
        paragraph (3).
        (3) Funding.--
            (A) In general.--If an eligible applicant submits an 
        application for a project under this subsection before the 
        issuance of the list under subsection (c)(5) and the project is 
        determined to be eligible for program funds, the Secretary of 
        the Interior shall provide funding for the project before 
        providing funding for other approved projects on the list.
            (B) Submission after issuance of list.--If an eligible 
        applicant submits an application under this subsection after 
        the issuance of the list under subsection (c)(5) and the 
        distribution of program funds in accordance with the list, the 
        Secretary of the Interior shall provide funding for the project 
        on the date on which unobligated funds provided to projects on 
        the list are returned to the Department of the Interior.
            (C) Effect on other projects.--If the Secretary of the 
        Interior uses funding previously designated for a project on 
        the list to fund an emergency or disaster project under this 
        subsection, the project on the list that did not receive 
        funding as a result of the redesignation of funds shall move to 
        the top of the list the following year.
        (4) Emergency or disaster project cost.--The cost of a project 
    submitted as an emergency or disaster under this subsection shall 
    be at least 10 percent of the distribution of funds of the Indian 
    tribe under section 202(b) of title 23, United States Code.
    (e) Limitation on Use of Funds.--Program funds shall not be used 
for--
        (1) transportation planning;
        (2) research;
        (3) routine maintenance activities;
        (4) structures and erosion protection unrelated to 
    transportation and roadways;
        (5) general reservation planning not involving transportation;
        (6) landscaping and irrigation systems not involving 
    transportation programs and projects;
        (7) work performed on projects that are not included on a 
    transportation improvement program approved by the Federal Highway 
    Administration, unless otherwise authorized by the Secretary of the 
    Interior and the Secretary;
        (8) the purchase of equipment unless otherwise authorized by 
    Federal law; or
        (9) the condemnation of land for recreational trails.
    (f) Limitation on Project Amounts.--Project funding shall be 
limited to a maximum of $1,000,000 per application, except that funding 
for disaster or emergency projects shall also be limited to the 
estimated cost of repairing damage to the tribal transportation 
facility.
    (g) Cost Estimate Certification.--All cost estimates prepared for a 
project shall be required to be submitted by the applicant to the 
Secretary of the Interior and the Secretary for certification and 
approval.
    (h) Authorization of Appropriations.--
        (1) In general.--There is authorized to be appropriated 
    $30,000,000 out of the general fund of the Treasury to carry out 
    the program for each of fiscal years 2013 and 2014.
        (2) Administration.--The funds made available under paragraph 
    (1) shall be administered in the same manner as funds made 
    available for the tribal transportation program under section 202 
    of title 23, United States Code, except that--
            (A) the funds made available for the program shall remain 
        available until September 30 of the third fiscal year after the 
        year appropriated; and
            (B) the Federal share of the cost of a project shall be 100 
        percent.

                   Subtitle B--Performance Management

SEC. 1201. METROPOLITAN TRANSPORTATION PLANNING.
    (a) In General.--Section 134 of title 23, United States Code, is 
amended to read as follows:
``Sec. 134. Metropolitan transportation planning
    ``(a) Policy.--It is in the national interest--
        ``(1) to encourage and promote the safe and efficient 
    management, operation, and development of surface transportation 
    systems that will serve the mobility needs of people and freight 
    and foster economic growth and development within and between 
    States and urbanized areas, while minimizing transportation-related 
    fuel consumption and air pollution through metropolitan and 
    statewide transportation planning processes identified in this 
    chapter; and
        ``(2) to encourage the continued improvement and evolution of 
    the metropolitan and statewide transportation planning processes by 
    metropolitan planning organizations, State departments of 
    transportation, and public transit operators as guided by the 
    planning factors identified in subsection (h) and section 135(d).
    ``(b) Definitions.--In this section and section 135, the following 
definitions apply:
        ``(1) Metropolitan planning area.--The term `metropolitan 
    planning area' means the geographic area determined by agreement 
    between the metropolitan planning organization for the area and the 
    Governor under subsection (e).
        ``(2) Metropolitan planning organization.--The term 
    `metropolitan planning organization' means the policy board of an 
    organization established as a result of the designation process 
    under subsection (d).
        ``(3) Nonmetropolitan area.--The term `nonmetropolitan area' 
    means a geographic area outside designated metropolitan planning 
    areas.
        ``(4) Nonmetropolitan local official.--The term 
    `nonmetropolitan local official' means elected and appointed 
    officials of general purpose local government in a nonmetropolitan 
    area with responsibility for transportation.
        ``(5) Regional transportation planning organization.--The term 
    `regional transportation planning organization' means a policy 
    board of an organization established as the result of a designation 
    under section 135(m).
        ``(6) TIP.--The term `TIP' means a transportation improvement 
    program developed by a metropolitan planning organization under 
    subsection (j).
        ``(7) Urbanized area.--The term `urbanized area' means a 
    geographic area with a population of 50,000 or more, as determined 
    by the Bureau of the Census.
    ``(c) General Requirements.--
        ``(1) Development of long-range plans and tips.--To accomplish 
    the objectives in subsection (a), metropolitan planning 
    organizations designated under subsection (d), in cooperation with 
    the State and public transportation operators, shall develop long-
    range transportation plans and transportation improvement programs 
    through a performance-driven, outcome-based approach to planning 
    for metropolitan areas of the State.
        ``(2) Contents.--The plans and TIPs for each metropolitan area 
    shall provide for the development and integrated management and 
    operation of transportation systems and facilities (including 
    accessible pedestrian walkways and bicycle transportation 
    facilities) that will function as an intermodal transportation 
    system for the metropolitan planning area and as an integral part 
    of an intermodal transportation system for the State and the United 
    States.
        ``(3) Process of development.--The process for developing the 
    plans and TIPs shall provide for consideration of all modes of 
    transportation and shall be continuing, cooperative, and 
    comprehensive to the degree appropriate, based on the complexity of 
    the transportation problems to be addressed.
    ``(d) Designation of Metropolitan Planning Organizations.--
        ``(1) In general.--To carry out the transportation planning 
    process required by this section, a metropolitan planning 
    organization shall be designated for each urbanized area with a 
    population of more than 50,000 individuals--
            ``(A) by agreement between the Governor and units of 
        general purpose local government that together represent at 
        least 75 percent of the affected population (including the 
        largest incorporated city (based on population) as determined 
        by the Bureau of the Census); or
            ``(B) in accordance with procedures established by 
        applicable State or local law.
        ``(2) Structure.--Not later than 2 years after the date of 
    enactment of MAP-21, each metropolitan planning organization that 
    serves an area designated as a transportation management area shall 
    consist of--
            ``(A) local elected officials;
            ``(B) officials of public agencies that administer or 
        operate major modes of transportation in the metropolitan area, 
        including representation by providers of public transportation; 
        and
            ``(C) appropriate State officials.
        ``(3) Limitation on statutory construction.--Nothing in this 
    subsection shall be construed to interfere with the authority, 
    under any State law in effect on December 18, 1991, of a public 
    agency with multimodal transportation responsibilities--
            ``(A) to develop the plans and TIPs for adoption by a 
        metropolitan planning organization; and
            ``(B) to develop long-range capital plans, coordinate 
        transit services and projects, and carry out other activities 
        pursuant to State law.
        ``(4) Continuing designation.--A designation of a metropolitan 
    planning organization under this subsection or any other provision 
    of law shall remain in effect until the metropolitan planning 
    organization is redesignated under paragraph (5).
        ``(5) Redesignation procedures.--
            ``(A) In general.--A metropolitan planning organization may 
        be redesignated by agreement between the Governor and units of 
        general purpose local government that together represent at 
        least 75 percent of the existing planning area population 
        (including the largest incorporated city (based on population) 
        as determined by the Bureau of the Census) as appropriate to 
        carry out this section.
            ``(B) Restructuring.--A metropolitan planning organization 
        may be restructured to meet the requirements of paragraph (2) 
        without undertaking a redesignation.
        ``(6) Designation of more than 1 metropolitan planning 
    organization.--More than 1 metropolitan planning organization may 
    be designated within an existing metropolitan planning area only if 
    the Governor and the existing metropolitan planning organization 
    determine that the size and complexity of the existing metropolitan 
    planning area make designation of more than 1 metropolitan planning 
    organization for the area appropriate.
    ``(e) Metropolitan Planning Area Boundaries.--
        ``(1) In general.--For the purposes of this section, the 
    boundaries of a metropolitan planning area shall be determined by 
    agreement between the metropolitan planning organization and the 
    Governor.
        ``(2) Included area.--Each metropolitan planning area--
            ``(A) shall encompass at least the existing urbanized area 
        and the contiguous area expected to become urbanized within a 
        20-year forecast period for the transportation plan; and
            ``(B) may encompass the entire metropolitan statistical 
        area or consolidated metropolitan statistical area, as defined 
        by the Bureau of the Census.
        ``(3) Identification of new urbanized areas within existing 
    planning area boundaries.--The designation by the Bureau of the 
    Census of new urbanized areas within an existing metropolitan 
    planning area shall not require the redesignation of the existing 
    metropolitan planning organization.
        ``(4) Existing metropolitan planning areas in nonattainment.--
            ``(A) In general.--Notwithstanding paragraph (2), except as 
        provided in subparagraph (B), in the case of an urbanized area 
        designated as a nonattainment area for ozone or carbon monoxide 
        under the Clean Air Act (42 U.S.C. 7401 et seq.) as of the date 
        of enactment of the SAFETEA-LU, the boundaries of the 
        metropolitan planning area in existence as of such date of 
        enactment shall be retained.
            ``(B) Exception.--The boundaries described in subparagraph 
        (A) may be adjusted by agreement of the Governor and affected 
        metropolitan planning organizations in the manner described in 
        subsection (d)(5).
        ``(5) New metropolitan planning areas in nonattainment.--In the 
    case of an urbanized area designated after the date of enactment of 
    the SAFETEA-LU, as a nonattainment area for ozone or carbon 
    monoxide, the boundaries of the metropolitan planning area--
            ``(A) shall be established in the manner described in 
        subsection (d)(1);
            ``(B) shall encompass the areas described in paragraph 
        (2)(A);
            ``(C) may encompass the areas described in paragraph 
        (2)(B); and
            ``(D) may address any nonattainment area identified under 
        the Clean Air Act (42 U.S.C. 7401 et seq.) for ozone or carbon 
        monoxide.
    ``(f) Coordination in Multistate Areas.--
        ``(1) In general.--The Secretary shall encourage each Governor 
    with responsibility for a portion of a multistate metropolitan area 
    and the appropriate metropolitan planning organizations to provide 
    coordinated transportation planning for the entire metropolitan 
    area.
        ``(2) Interstate compacts.--The consent of Congress is granted 
    to any 2 or more States--
            ``(A) to enter into agreements or compacts, not in conflict 
        with any law of the United States, for cooperative efforts and 
        mutual assistance in support of activities authorized under 
        this section as the activities pertain to interstate areas and 
        localities within the States; and
            ``(B) to establish such agencies, joint or otherwise, as 
        the States may determine desirable for making the agreements 
        and compacts effective.
        ``(3) Reservation of rights.--The right to alter, amend, or 
    repeal interstate compacts entered into under this subsection is 
    expressly reserved.
    ``(g) MPO Consultation in Plan and TIP Coordination.--
        ``(1) Nonattainment areas.--If more than 1 metropolitan 
    planning organization has authority within a metropolitan area or 
    an area which is designated as a nonattainment area for ozone or 
    carbon monoxide under the Clean Air Act (42 U.S.C. 7401 et seq.), 
    each metropolitan planning organization shall consult with the 
    other metropolitan planning organizations designated for such area 
    and the State in the coordination of plans and TIPs required by 
    this section.
        ``(2) Transportation improvements located in multiple mpos.--If 
    a transportation improvement, funded from the Highway Trust Fund or 
    authorized under chapter 53 of title 49, is located within the 
    boundaries of more than 1 metropolitan planning area, the 
    metropolitan planning organizations shall coordinate plans and TIPs 
    regarding the transportation improvement.
        ``(3) Relationship with other planning officials.--
            ``(A) In general.--The Secretary shall encourage each 
        metropolitan planning organization to consult with officials 
        responsible for other types of planning activities that are 
        affected by transportation in the area (including State and 
        local planned growth, economic development, environmental 
        protection, airport operations, and freight movements) or to 
        coordinate its planning process, to the maximum extent 
        practicable, with such planning activities.
            ``(B) Requirements.--Under the metropolitan planning 
        process, transportation plans and TIPs shall be developed with 
        due consideration of other related planning activities within 
        the metropolitan area, and the process shall provide for the 
        design and delivery of transportation services within the 
        metropolitan area that are provided by--
                ``(i) recipients of assistance under chapter 53 of 
            title 49;
                ``(ii) governmental agencies and nonprofit 
            organizations (including representatives of the agencies 
            and organizations) that receive Federal assistance from a 
            source other than the Department of Transportation to 
            provide nonemergency transportation services; and
                ``(iii) recipients of assistance under section 204.
    ``(h) Scope of Planning Process.--
        ``(1) In general.--The metropolitan planning process for a 
    metropolitan planning area under this section shall provide for 
    consideration of projects and strategies that will--
            ``(A) support the economic vitality of the metropolitan 
        area, especially by enabling global competitiveness, 
        productivity, and efficiency;
            ``(B) increase the safety of the transportation system for 
        motorized and nonmotorized users;
            ``(C) increase the security of the transportation system 
        for motorized and nonmotorized users;
            ``(D) increase the accessibility and mobility of people and 
        for freight;
            ``(E) protect and enhance the environment, promote energy 
        conservation, improve the quality of life, and promote 
        consistency between transportation improvements and State and 
        local planned growth and economic development patterns;
            ``(F) enhance the integration and connectivity of the 
        transportation system, across and between modes, for people and 
        freight;
            ``(G) promote efficient system management and operation; 
        and
            ``(H) emphasize the preservation of the existing 
        transportation system.
        ``(2) Performance-based approach.--
            ``(A) In general.--The metropolitan transportation planning 
        process shall provide for the establishment and use of a 
        performance-based approach to transportation decisionmaking to 
        support the national goals described in section 150(b) of this 
        title and in section 5301(c) of title 49.
            ``(B) Performance targets.--
                ``(i) Surface transportation performance targets.--

                    ``(I) In general.--Each metropolitan planning 
                organization shall establish performance targets that 
                address the performance measures described in section 
                150(c), where applicable, to use in tracking progress 
                towards attainment of critical outcomes for the region 
                of the metropolitan planning organization.
                    ``(II) Coordination.--Selection of performance 
                targets by a metropolitan planning organization shall 
                be coordinated with the relevant State to ensure 
                consistency, to the maximum extent practicable.

                ``(ii) Public transportation performance targets.--
            Selection of performance targets by a metropolitan planning 
            organization shall be coordinated, to the maximum extent 
            practicable, with providers of public transportation to 
            ensure consistency with sections 5326(c) and 5329(d) of 
            title 49.
            ``(C) Timing.--Each metropolitan planning organization 
        shall establish the performance targets under subparagraph (B) 
        not later than 180 days after the date on which the relevant 
        State or provider of public transportation establishes the 
        performance targets.
            ``(D) Integration of other performance-based plans.--A 
        metropolitan planning organization shall integrate in the 
        metropolitan transportation planning process, directly or by 
        reference, the goals, objectives, performance measures, and 
        targets described in other State transportation plans and 
        transportation processes, as well as any plans developed under 
        chapter 53 of title 49 by providers of public transportation, 
        required as part of a performance-based program.
        ``(3) Failure to consider factors.--The failure to consider any 
    factor specified in paragraphs (1) and (2) shall not be reviewable 
    by any court under this title or chapter 53 of title 49, subchapter 
    II of chapter 5 of title 5, or chapter 7 of title 5 in any matter 
    affecting a transportation plan, a TIP, a project or strategy, or 
    the certification of a planning process.
    ``(i) Development of Transportation Plan.--
        ``(1) Requirements.--
            ``(A) In general.--Each metropolitan planning organization 
        shall prepare and update a transportation plan for its 
        metropolitan planning area in accordance with the requirements 
        of this subsection.
            ``(B) Frequency.--
                ``(i) In general.--The metropolitan planning 
            organization shall prepare and update such plan every 4 
            years (or more frequently, if the metropolitan planning 
            organization elects to update more frequently) in the case 
            of each of the following:

                    ``(I) Any area designated as nonattainment, as 
                defined in section 107(d) of the Clean Air Act (42 
                U.S.C. 7407(d)).
                    ``(II) Any area that was nonattainment and 
                subsequently designated to attainment in accordance 
                with section 107(d)(3) of that Act (42 U.S.C. 
                7407(d)(3)) and that is subject to a maintenance plan 
                under section 175A of that Act (42 U.S.C. 7505a).

                ``(ii) Other areas.--In the case of any other area 
            required to have a transportation plan in accordance with 
            the requirements of this subsection, the metropolitan 
            planning organization shall prepare and update such plan 
            every 5 years unless the metropolitan planning organization 
            elects to update more frequently.
        ``(2) Transportation plan.--A transportation plan under this 
    section shall be in a form that the Secretary determines to be 
    appropriate and shall contain, at a minimum, the following:
            ``(A) Identification of transportation facilities.--
                ``(i) In general.--An identification of transportation 
            facilities (including major roadways, transit, multimodal 
            and intermodal facilities, nonmotorized transportation 
            facilities, and intermodal connectors) that should function 
            as an integrated metropolitan transportation system, giving 
            emphasis to those facilities that serve important national 
            and regional transportation functions.
                ``(ii) Factors.--In formulating the transportation 
            plan, the metropolitan planning organization shall consider 
            factors described in subsection (h) as the factors relate 
            to a 20-year forecast period.
            ``(B) Performance measures and targets.--A description of 
        the performance measures and performance targets used in 
        assessing the performance of the transportation system in 
        accordance with subsection (h)(2).
            ``(C) System performance report.--A system performance 
        report and subsequent updates evaluating the condition and 
        performance of the transportation system with respect to the 
        performance targets described in subsection (h)(2), including--
                ``(i) progress achieved by the metropolitan planning 
            organization in meeting the performance targets in 
            comparison with system performance recorded in previous 
            reports; and
                ``(ii) for metropolitan planning organizations that 
            voluntarily elect to develop multiple scenarios, an 
            analysis of how the preferred scenario has improved the 
            conditions and performance of the transportation system and 
            how changes in local policies and investments have impacted 
            the costs necessary to achieve the identified performance 
            targets.
            ``(D) Mitigation activities.--
                ``(i) In general.--A long-range transportation plan 
            shall include a discussion of types of potential 
            environmental mitigation activities and potential areas to 
            carry out these activities, including activities that may 
            have the greatest potential to restore and maintain the 
            environmental functions affected by the plan.
                ``(ii) Consultation.--The discussion shall be developed 
            in consultation with Federal, State, and tribal wildlife, 
            land management, and regulatory agencies.
            ``(E) Financial plan.--
                ``(i) In general.--A financial plan that--

                    ``(I) demonstrates how the adopted transportation 
                plan can be implemented;
                    ``(II) indicates resources from public and private 
                sources that are reasonably expected to be made 
                available to carry out the plan; and
                    ``(III) recommends any additional financing 
                strategies for needed projects and programs.

                ``(ii) Inclusions.--The financial plan may include, for 
            illustrative purposes, additional projects that would be 
            included in the adopted transportation plan if reasonable 
            additional resources beyond those identified in the 
            financial plan were available.
                ``(iii) Cooperative development.--For the purpose of 
            developing the transportation plan, the metropolitan 
            planning organization, transit operator, and State shall 
            cooperatively develop estimates of funds that will be 
            available to support plan implementation.
            ``(F) Operational and management strategies.--Operational 
        and management strategies to improve the performance of 
        existing transportation facilities to relieve vehicular 
        congestion and maximize the safety and mobility of people and 
        goods.
            ``(G) Capital investment and other strategies.--Capital 
        investment and other strategies to preserve the existing and 
        projected future metropolitan transportation infrastructure and 
        provide for multimodal capacity increases based on regional 
        priorities and needs.
            ``(H) Transportation and transit enhancement activities.--
        Proposed transportation and transit enhancement activities.
        ``(3) Coordination with clean air act agencies.--In 
    metropolitan areas that are in nonattainment for ozone or carbon 
    monoxide under the Clean Air Act (42 U.S.C. 7401 et seq.), the 
    metropolitan planning organization shall coordinate the development 
    of a transportation plan with the process for development of the 
    transportation control measures of the State implementation plan 
    required by that Act.
        ``(4) Optional scenario development.--
            ``(A) In general.--A metropolitan planning organization 
        may, while fitting the needs and complexity of its community, 
        voluntarily elect to develop multiple scenarios for 
        consideration as part of the development of the metropolitan 
        transportation plan, in accordance with subparagraph (B).
            ``(B) Recommended components.--A metropolitan planning 
        organization that chooses to develop multiple scenarios under 
        subparagraph (A) shall be encouraged to consider--
                ``(i) potential regional investment strategies for the 
            planning horizon;
                ``(ii) assumed distribution of population and 
            employment;
                ``(iii) a scenario that, to the maximum extent 
            practicable, maintains baseline conditions for the 
            performance measures identified in subsection (h)(2);
                ``(iv) a scenario that improves the baseline conditions 
            for as many of the performance measures identified in 
            subsection (h)(2) as possible;
                ``(v) revenue constrained scenarios based on the total 
            revenues expected to be available over the forecast period 
            of the plan; and
                ``(vi) estimated costs and potential revenues available 
            to support each scenario.
            ``(C) Metrics.--In addition to the performance measures 
        identified in section 150(c), metropolitan planning 
        organizations may evaluate scenarios developed under this 
        paragraph using locally-developed measures.
        ``(5) Consultation.--
            ``(A) In general.--In each metropolitan area, the 
        metropolitan planning organization shall consult, as 
        appropriate, with State and local agencies responsible for land 
        use management, natural resources, environmental protection, 
        conservation, and historic preservation concerning the 
        development of a long-range transportation plan.
            ``(B) Issues.--The consultation shall involve, as 
        appropriate--
                ``(i) comparison of transportation plans with State 
            conservation plans or maps, if available; or
                ``(ii) comparison of transportation plans to 
            inventories of natural or historic resources, if available.
        ``(6) Participation by interested parties.--
            ``(A) In general.--Each metropolitan planning organization 
        shall provide citizens, affected public agencies, 
        representatives of public transportation employees, freight 
        shippers, providers of freight transportation services, private 
        providers of transportation, representatives of users of public 
        transportation, representatives of users of pedestrian walkways 
        and bicycle transportation facilities, representatives of the 
        disabled, and other interested parties with a reasonable 
        opportunity to comment on the transportation plan.
            ``(B) Contents of participation plan.--A participation 
        plan--
                ``(i) shall be developed in consultation with all 
            interested parties; and
                ``(ii) shall provide that all interested parties have 
            reasonable opportunities to comment on the contents of the 
            transportation plan.
            ``(C) Methods.--In carrying out subparagraph (A), the 
        metropolitan planning organization shall, to the maximum extent 
        practicable--
                ``(i) hold any public meetings at convenient and 
            accessible locations and times;
                ``(ii) employ visualization techniques to describe 
            plans; and
                ``(iii) make public information available in 
            electronically accessible format and means, such as the 
            World Wide Web, as appropriate to afford reasonable 
            opportunity for consideration of public information under 
            subparagraph (A).
        ``(7) Publication.--A transportation plan involving Federal 
    participation shall be published or otherwise made readily 
    available by the metropolitan planning organization for public 
    review, including (to the maximum extent practicable) in 
    electronically accessible formats and means, such as the World Wide 
    Web, approved by the metropolitan planning organization and 
    submitted for information purposes to the Governor at such times 
    and in such manner as the Secretary shall establish.
        ``(8) Selection of projects from illustrative list.--
    Notwithstanding paragraph (2)(C), a State or metropolitan planning 
    organization shall not be required to select any project from the 
    illustrative list of additional projects included in the financial 
    plan under paragraph (2)(C).
    ``(j) Metropolitan TIP.--
        ``(1) Development.--
            ``(A) In general.--In cooperation with the State and any 
        affected public transportation operator, the metropolitan 
        planning organization designated for a metropolitan area shall 
        develop a TIP for the metropolitan planning area that--
                ``(i) contains projects consistent with the current 
            metropolitan transportation plan;
                ``(ii) reflects the investment priorities established 
            in the current metropolitan transportation plan; and
                ``(iii) once implemented, is designed to make progress 
            toward achieving the performance targets established under 
            subsection (h)(2).
            ``(B) Opportunity for comment.--In developing the TIP, the 
        metropolitan planning organization, in cooperation with the 
        State and any affected public transportation operator, shall 
        provide an opportunity for participation by interested parties 
        in the development of the program, in accordance with 
        subsection (i)(5).
            ``(C) Funding estimates.--For the purpose of developing the 
        TIP, the metropolitan planning organization, public 
        transportation agency, and State shall cooperatively develop 
        estimates of funds that are reasonably expected to be available 
        to support program implementation.
            ``(D) Updating and approval.--The TIP shall be--
                ``(i) updated at least once every 4 years; and
                ``(ii) approved by the metropolitan planning 
            organization and the Governor.
        ``(2) Contents.--
            ``(A) Priority list.--The TIP shall include a priority list 
        of proposed Federally supported projects and strategies to be 
        carried out within each 4-year period after the initial 
        adoption of the TIP.
            ``(B) Financial plan.--The TIP shall include a financial 
        plan that--
                ``(i) demonstrates how the TIP can be implemented;
                ``(ii) indicates resources from public and private 
            sources that are reasonably expected to be available to 
            carry out the program;
                ``(iii) identifies innovative financing techniques to 
            finance projects, programs, and strategies; and
                ``(iv) may include, for illustrative purposes, 
            additional projects that would be included in the approved 
            TIP if reasonable additional resources beyond those 
            identified in the financial plan were available.
            ``(C) Descriptions.--Each project in the TIP shall include 
        sufficient descriptive material (such as type of work, termini, 
        length, and other similar factors) to identify the project or 
        phase of the project.
            ``(D) Performance target achievement.--The transportation 
        improvement program shall include, to the maximum extent 
        practicable, a description of the anticipated effect of the 
        transportation improvement program toward achieving the 
        performance targets established in the metropolitan 
        transportation plan, linking investment priorities to those 
        performance targets.
        ``(3) Included projects.--
            ``(A) Projects under this title and chapter 53 of title 
        49.--A TIP developed under this subsection for a metropolitan 
        area shall include the projects within the area that are 
        proposed for funding under chapter 1 of this title and chapter 
        53 of title 49.
            ``(B) Projects under chapter 2.--
                ``(i) Regionally significant projects.--Regionally 
            significant projects proposed for funding under chapter 2 
            shall be identified individually in the transportation 
            improvement program.
                ``(ii) Other projects.--Projects proposed for funding 
            under chapter 2 that are not determined to be regionally 
            significant shall be grouped in 1 line item or identified 
            individually in the transportation improvement program.
            ``(C) Consistency with long-range transportation plan.--
        Each project shall be consistent with the long-range 
        transportation plan developed under subsection (i) for the 
        area.
            ``(D) Requirement of anticipated full funding.--The program 
        shall include a project, or an identified phase of a project, 
        only if full funding can reasonably be anticipated to be 
        available for the project or the identified phase within the 
        time period contemplated for completion of the project or the 
        identified phase.
        ``(4) Notice and comment.--Before approving a TIP, a 
    metropolitan planning organization, in cooperation with the State 
    and any affected public transportation operator, shall provide an 
    opportunity for participation by interested parties in the 
    development of the program, in accordance with subsection (i)(5).
        ``(5) Selection of projects.--
            ``(A) In general.--Except as otherwise provided in 
        subsection (k)(4) and in addition to the TIP development 
        required under paragraph (1), the selection of Federally funded 
        projects in metropolitan areas shall be carried out, from the 
        approved TIP--
                ``(i) by--

                    ``(I) in the case of projects under this title, the 
                State; and
                    ``(II) in the case of projects under chapter 53 of 
                title 49, the designated recipients of public 
                transportation funding; and

                ``(ii) in cooperation with the metropolitan planning 
            organization.
            ``(B) Modifications to project priority.--Notwithstanding 
        any other provision of law, action by the Secretary shall not 
        be required to advance a project included in the approved TIP 
        in place of another project in the program.
        ``(6) Selection of projects from illustrative list.--
            ``(A) No required selection.--Notwithstanding paragraph 
        (2)(B)(iv), a State or metropolitan planning organization shall 
        not be required to select any project from the illustrative 
        list of additional projects included in the financial plan 
        under paragraph (2)(B)(iv).
            ``(B) Required action by the secretary.--Action by the 
        Secretary shall be required for a State or metropolitan 
        planning organization to select any project from the 
        illustrative list of additional projects included in the 
        financial plan under paragraph (2)(B)(iv) for inclusion in an 
        approved TIP.
        ``(7) Publication.--
            ``(A) Publication of tips.--A TIP involving Federal 
        participation shall be published or otherwise made readily 
        available by the metropolitan planning organization for public 
        review.
            ``(B) Publication of annual listings of projects.--
                ``(i) In general.--An annual listing of projects, 
            including investments in pedestrian walkways and bicycle 
            transportation facilities, for which Federal funds have 
            been obligated in the preceding year shall be published or 
            otherwise made available by the cooperative effort of the 
            State, transit operator, and metropolitan planning 
            organization for public review.
                ``(ii) Requirement.--The listing shall be consistent 
            with the categories identified in the TIP.
    ``(k) Transportation Management Areas.--
        ``(1) Identification and designation.--
            ``(A) Required identification.--The Secretary shall 
        identify as a transportation management area each urbanized 
        area (as defined by the Bureau of the Census) with a population 
        of over 200,000 individuals.
            ``(B) Designations on request.--The Secretary shall 
        designate any additional area as a transportation management 
        area on the request of the Governor and the metropolitan 
        planning organization designated for the area.
        ``(2) Transportation plans.--In a transportation management 
    area, transportation plans shall be based on a continuing and 
    comprehensive transportation planning process carried out by the 
    metropolitan planning organization in cooperation with the State 
    and public transportation operators.
        ``(3) Congestion management process.--
            ``(A) In general.--Within a metropolitan planning area 
        serving a transportation management area, the transportation 
        planning process under this section shall address congestion 
        management through a process that provides for effective 
        management and operation, based on a cooperatively developed 
        and implemented metropolitan-wide strategy, of new and existing 
        transportation facilities eligible for funding under this title 
        and chapter 53 of title 49 through the use of travel demand 
        reduction and operational management strategies.
            ``(B) Schedule.--The Secretary shall establish an 
        appropriate phase-in schedule for compliance with the 
        requirements of this section but no sooner than 1 year after 
        the identification of a transportation management area.
        ``(4) Selection of projects.--
            ``(A) In general.--All Federally funded projects carried 
        out within the boundaries of a metropolitan planning area 
        serving a transportation management area under this title 
        (excluding projects carried out on the National Highway System) 
        or under chapter 53 of title 49 shall be selected for 
        implementation from the approved TIP by the metropolitan 
        planning organization designated for the area in consultation 
        with the State and any affected public transportation operator.
            ``(B) National highway system projects.--Projects carried 
        out within the boundaries of a metropolitan planning area 
        serving a transportation management area on the National 
        Highway System shall be selected for implementation from the 
        approved TIP by the State in cooperation with the metropolitan 
        planning organization designated for the area.
        ``(5) Certification.--
            ``(A) In general.--The Secretary shall--
                ``(i) ensure that the metropolitan planning process of 
            a metropolitan planning organization serving a 
            transportation management area is being carried out in 
            accordance with applicable provisions of Federal law; and
                ``(ii) subject to subparagraph (B), certify, not less 
            often than once every 4 years, that the requirements of 
            this paragraph are met with respect to the metropolitan 
            planning process.
            ``(B) Requirements for certification.--The Secretary may 
        make the certification under subparagraph (A) if--
                ``(i) the transportation planning process complies with 
            the requirements of this section and other applicable 
            requirements of Federal law; and
                ``(ii) there is a TIP for the metropolitan planning 
            area that has been approved by the metropolitan planning 
            organization and the Governor.
            ``(C) Effect of failure to certify.--
                ``(i) Withholding of project funds.--If a metropolitan 
            planning process of a metropolitan planning organization 
            serving a transportation management area is not certified, 
            the Secretary may withhold up to 20 percent of the funds 
            attributable to the metropolitan planning area of the 
            metropolitan planning organization for projects funded 
            under this title and chapter 53 of title 49.
                ``(ii) Restoration of withheld funds.--The withheld 
            funds shall be restored to the metropolitan planning area 
            at such time as the metropolitan planning process is 
            certified by the Secretary.
            ``(D) Review of certification.--In making certification 
        determinations under this paragraph, the Secretary shall 
        provide for public involvement appropriate to the metropolitan 
        area under review.
    ``(l) Report on Performance-based Planning Processes.--
        ``(1) In general.--The Secretary shall submit to Congress a 
    report on the effectiveness of the performance-based planning 
    processes of metropolitan planning organizations under this 
    section, taking into consideration the requirements of this 
    subsection
        ``(2) Report.--Not later than 5 years after the date of 
    enactment of the MAP-21, the Secretary shall submit to Congress a 
    report evaluating--
            ``(A) the overall effectiveness of performance-based 
        planning as a tool for guiding transportation investments;
            ``(B) the effectiveness of the performance-based planning 
        process of each metropolitan planning organization under this 
        section;
            ``(C) the extent to which metropolitan planning 
        organizations have achieved, or are currently making 
        substantial progress toward achieving, the performance targets 
        specified under this section and whether metropolitan planning 
        organizations are developing meaningful performance targets; 
        and
            ``(D) the technical capacity of metropolitan planning 
        organizations that operate within a metropolitan planning area 
        of less than 200,000 and their ability to carry out the 
        requirements of this section.
        ``(3) Publication.--The report under paragraph (2) shall be 
    published or otherwise made available in electronically accessible 
    formats and means, including on the Internet.
    ``(m) Abbreviated Plans for Certain Areas.--
        ``(1) In general.--Subject to paragraph (2), in the case of a 
    metropolitan area not designated as a transportation management 
    area under this section, the Secretary may provide for the 
    development of an abbreviated transportation plan and TIP for the 
    metropolitan planning area that the Secretary determines is 
    appropriate to achieve the purposes of this section, taking into 
    account the complexity of transportation problems in the area.
        ``(2) Nonattainment areas.--The Secretary may not permit 
    abbreviated plans or TIPs for a metropolitan area that is in 
    nonattainment for ozone or carbon monoxide under the Clean Air Act 
    (42 U.S.C. 7401 et seq.).
    ``(n) Additional Requirements for Certain Nonattainment Areas.--
        ``(1) In general.--Notwithstanding any other provisions of this 
    title or chapter 53 of title, for transportation management areas 
    classified as nonattainment for ozone or carbon monoxide pursuant 
    to the Clean Air Act (42 U.S.C. 7401 et seq.), Federal funds may 
    not be advanced in such area for any highway project that will 
    result in a significant increase in the carrying capacity for 
    single-occupant vehicles unless the project is addressed through a 
    congestion management process.
        ``(2) Applicability.--This subsection applies to a 
    nonattainment area within the metropolitan planning area boundaries 
    determined under subsection (e).
    ``(o) Limitation on Statutory Construction.--Nothing in this 
section shall be construed to confer on a metropolitan planning 
organization the authority to impose legal requirements on any 
transportation facility, provider, or project not eligible under this 
title or chapter 53 of title 49.
    ``(p) Funding.--Funds set aside under section 104(f) of this title 
or section 5305(g) of title 49 shall be available to carry out this 
section.
    ``(q) Continuation of Current Review Practice.--Since plans and 
TIPs described in this section are subject to a reasonable opportunity 
for public comment, since individual projects included in plans and 
TIPs are subject to review under the National Environmental Policy Act 
of 1969 (42 U.S.C. 4321 et seq.), and since decisions by the Secretary 
concerning plans and TIPs described in this section have not been 
reviewed under that Act as of January 1, 1997, any decision by the 
Secretary concerning a plan or TIP described in this section shall not 
be considered to be a Federal action subject to review under that 
Act.''.
    (b) Study on Metropolitan Planning Scenario Development.--
        (1) In general.--The Secretary shall evaluate the costs and 
    benefits associated with metropolitan planning organizations 
    developing multiple scenarios for consideration as a part of the 
    development of their metropolitan transportation plan.
        (2) Inclusions.--The evaluation shall include an analysis of 
    the technical and financial capacity of the metropolitan planning 
    organization needed to develop scenarios described in paragraph 
    (1).
SEC. 1202. STATEWIDE AND NONMETROPOLITAN TRANSPORTATION PLANNING.
    (a) In General.--Section 135 of title 23, United States Code, is 
amended to read as follows:
``Sec. 135. Statewide and nonmetropolitan transportation planning
    ``(a) General Requirements.--
        ``(1) Development of plans and programs.--Subject to section 
    134, to accomplish the objectives stated in section 134(a), each 
    State shall develop a statewide transportation plan and a statewide 
    transportation improvement program for all areas of the State.
        ``(2) Contents.--The statewide transportation plan and the 
    transportation improvement program developed for each State shall 
    provide for the development and integrated management and operation 
    of transportation systems and facilities (including accessible 
    pedestrian walkways and bicycle transportation facilities) that 
    will function as an intermodal transportation system for the State 
    and an integral part of an intermodal transportation system for the 
    United States.
        ``(3) Process of development.--The process for developing the 
    statewide plan and the transportation improvement program shall 
    provide for consideration of all modes of transportation and the 
    policies stated in section 134(a) and shall be continuing, 
    cooperative, and comprehensive to the degree appropriate, based on 
    the complexity of the transportation problems to be addressed.
    ``(b) Coordination With Metropolitan Planning; State Implementation 
Plan.--A State shall--
        ``(1) coordinate planning carried out under this section with 
    the transportation planning activities carried out under section 
    134 for metropolitan areas of the State and with statewide trade 
    and economic development planning activities and related multistate 
    planning efforts; and
        ``(2) develop the transportation portion of the State 
    implementation plan as required by the Clean Air Act (42 U.S.C. 
    7401 et seq.).
    ``(c) Interstate Agreements.--
        ``(1) In general.--Two or more States may enter into agreements 
    or compacts, not in conflict with any law of the United States, for 
    cooperative efforts and mutual assistance in support of activities 
    authorized under this section related to interstate areas and 
    localities in the States and establishing authorities the States 
    consider desirable for making the agreements and compacts 
    effective.
        ``(2) Reservation of rights.--The right to alter, amend, or 
    repeal interstate compacts entered into under this subsection is 
    expressly reserved.
    ``(d) Scope of Planning Process.--
        ``(1) In general.--Each State shall carry out a statewide 
    transportation planning process that provides for consideration and 
    implementation of projects, strategies, and services that will--
            ``(A) support the economic vitality of the United States, 
        the States, nonmetropolitan areas, and metropolitan areas, 
        especially by enabling global competitiveness, productivity, 
        and efficiency;
            ``(B) increase the safety of the transportation system for 
        motorized and nonmotorized users;
            ``(C) increase the security of the transportation system 
        for motorized and nonmotorized users;
            ``(D) increase the accessibility and mobility of people and 
        freight;
            ``(E) protect and enhance the environment, promote energy 
        conservation, improve the quality of life, and promote 
        consistency between transportation improvements and State and 
        local planned growth and economic development patterns;
            ``(F) enhance the integration and connectivity of the 
        transportation system, across and between modes throughout the 
        State, for people and freight;
            ``(G) promote efficient system management and operation; 
        and
            ``(H) emphasize the preservation of the existing 
        transportation system.
        ``(2) Performance-based approach.--
            ``(A) In general.--The statewide transportation planning 
        process shall provide for the establishment and use of a 
        performance-based approach to transportation decisionmaking to 
        support the national goals described in section 150(b) of this 
        title and in section 5301(c) of title 49.
            ``(B) Performance targets.--
                ``(i) Surface transportation performance targets.--

                    ``(I) In general.--Each State shall establish 
                performance targets that address the performance 
                measures described in section 150(c), where applicable, 
                to use in tracking progress towards attainment of 
                critical outcomes for the State.
                    ``(II) Coordination.--Selection of performance 
                targets by a State shall be coordinated with the 
                relevant metropolitan planning organizations to ensure 
                consistency, to the maximum extent practicable.

                ``(ii) Public transportation performance targets.--In 
            urbanized areas not represented by a metropolitan planning 
            organization, selection of performance targets by a State 
            shall be coordinated, to the maximum extent practicable, 
            with providers of public transportation to ensure 
            consistency with sections 5326(c) and 5329(d) of title 49.
            ``(C) Integration of other performance-based plans.--A 
        State shall integrate into the statewide transportation 
        planning process, directly or by reference, the goals, 
        objectives, performance measures, and targets described in this 
        paragraph, in other State transportation plans and 
        transportation processes, as well as any plans developed 
        pursuant to chapter 53 of title 49 by providers of public 
        transportation in urbanized areas not represented by a 
        metropolitan planning organization required as part of a 
        performance-based program.
            ``(D) Use of performance measures and targets.--The 
        performance measures and targets established under this 
        paragraph shall be considered by a State when developing 
        policies, programs, and investment priorities reflected in the 
        statewide transportation plan and statewide transportation 
        improvement program.
        ``(3) Failure to consider factors.--The failure to take into 
    consideration the factors specified in paragraphs (1) and (2) shall 
    not be subject to review by any court under this title, chapter 53 
    of title 49, subchapter II of chapter 5 of title 5, or chapter 7 of 
    title 5 in any matter affecting a statewide transportation plan, a 
    statewide transportation improvement program, a project or 
    strategy, or the certification of a planning process.
    ``(e) Additional Requirements.--In carrying out planning under this 
section, each State shall, at a minimum--
        ``(1) with respect to nonmetropolitan areas, cooperate with 
    affected local officials with responsibility for transportation or, 
    if applicable, through regional transportation planning 
    organizations described in subsection (m);
        ``(2) consider the concerns of Indian tribal governments and 
    Federal land management agencies that have jurisdiction over land 
    within the boundaries of the State; and
        ``(3) consider coordination of transportation plans, the 
    transportation improvement program, and planning activities with 
    related planning activities being carried out outside of 
    metropolitan planning areas and between States.
    ``(f) Long-range Statewide Transportation Plan.--
        ``(1) Development.--Each State shall develop a long-range 
    statewide transportation plan, with a minimum 20-year forecast 
    period for all areas of the State, that provides for the 
    development and implementation of the intermodal transportation 
    system of the State.
        ``(2) Consultation with governments.--
            ``(A) Metropolitan areas.--The statewide transportation 
        plan shall be developed for each metropolitan area in the State 
        in cooperation with the metropolitan planning organization 
        designated for the metropolitan area under section 134.
            ``(B) Nonmetropolitan areas.--
                ``(i) In general.--With respect to nonmetropolitan 
            areas, the statewide transportation plan shall be developed 
            in cooperation with affected nonmetropolitan officials with 
            responsibility for transportation or, if applicable, 
            through regional transportation planning organizations 
            described in subsection (m).
                ``(ii) Role of secretary.--The Secretary shall not 
            review or approve the consultation process in each State.
            ``(C) Indian tribal areas.--With respect to each area of 
        the State under the jurisdiction of an Indian tribal 
        government, the statewide transportation plan shall be 
        developed in consultation with the tribal government and the 
        Secretary of the Interior.
            ``(D) Consultation, comparison, and consideration.--
                ``(i) In general.--The long-range transportation plan 
            shall be developed, as appropriate, in consultation with 
            State, tribal, and local agencies responsible for land use 
            management, natural resources, environmental protection, 
            conservation, and historic preservation.
                ``(ii) Comparison and consideration.--Consultation 
            under clause (i) shall involve comparison of transportation 
            plans to State and tribal conservation plans or maps, if 
            available, and comparison of transportation plans to 
            inventories of natural or historic resources, if available.
        ``(3) Participation by interested parties.--
            ``(A) In general.--In developing the statewide 
        transportation plan, the State shall provide to--
                ``(i) nonmetropolitan local elected officials or, if 
            applicable, through regional transportation planning 
            organizations described in subsection (m), an opportunity 
            to participate in accordance with subparagraph (B)(i); and
                ``(ii) citizens, affected public agencies, 
            representatives of public transportation employees, freight 
            shippers, private providers of transportation, 
            representatives of users of public transportation, 
            representatives of users of pedestrian walkways and bicycle 
            transportation facilities, representatives of the disabled, 
            providers of freight transportation services, and other 
            interested parties a reasonable opportunity to comment on 
            the proposed plan.
            ``(B) Methods.--In carrying out subparagraph (A), the State 
        shall, to the maximum extent practicable--
                ``(i) develop and document a consultative process to 
            carry out subparagraph (A)(i) that is separate and discrete 
            from the public involvement process developed under clause 
            (ii);
                ``(ii) hold any public meetings at convenient and 
            accessible locations and times;
                ``(iii) employ visualization techniques to describe 
            plans; and
                ``(iv) make public information available in 
            electronically accessible format and means, such as the 
            World Wide Web, as appropriate to afford reasonable 
            opportunity for consideration of public information under 
            subparagraph (A).
        ``(4) Mitigation activities.--
            ``(A) In general.--A long-range transportation plan shall 
        include a discussion of potential environmental mitigation 
        activities and potential areas to carry out these activities, 
        including activities that may have the greatest potential to 
        restore and maintain the environmental functions affected by 
        the plan.
            ``(B) Consultation.--The discussion shall be developed in 
        consultation with Federal, State, and tribal wildlife, land 
        management, and regulatory agencies.
        ``(5) Financial plan.--The statewide transportation plan may 
    include--
            ``(A) a financial plan that--
                ``(i) demonstrates how the adopted statewide 
            transportation plan can be implemented;
                ``(ii) indicates resources from public and private 
            sources that are reasonably expected to be made available 
            to carry out the plan; and
                ``(iii) recommends any additional financing strategies 
            for needed projects and programs; and
            ``(B) for illustrative purposes, additional projects that 
        would be included in the adopted statewide transportation plan 
        if reasonable additional resources beyond those identified in 
        the financial plan were available.
        ``(6) Selection of projects from illustrative list.--A State 
    shall not be required to select any project from the illustrative 
    list of additional projects included in the financial plan 
    described in paragraph (5).
        ``(7) Performance-based approach.--The statewide transportation 
    plan should include--
            ``(A) a description of the performance measures and 
        performance targets used in assessing the performance of the 
        transportation system in accordance with subsection (d)(2); and
            ``(B) a system performance report and subsequent updates 
        evaluating the condition and performance of the transportation 
        system with respect to the performance targets described in 
        subsection (d)(2), including progress achieved by the 
        metropolitan planning organization in meeting the performance 
        targets in comparison with system performance recorded in 
        previous reports;
        ``(8) Existing system.--The statewide transportation plan 
    should include capital, operations and management strategies, 
    investments, procedures, and other measures to ensure the 
    preservation and most efficient use of the existing transportation 
    system.
        ``(9) Publication of long-range transportation plans.--Each 
    long-range transportation plan prepared by a State shall be 
    published or otherwise made available, including (to the maximum 
    extent practicable) in electronically accessible formats and means, 
    such as the World Wide Web.
    ``(g) Statewide Transportation Improvement Program.--
        ``(1) Development.--
            ``(A) In general.--Each State shall develop a statewide 
        transportation improvement program for all areas of the State.
            ``(B) Duration and updating of program.--Each program 
        developed under subparagraph (A) shall cover a period of 4 
        years and shall be updated every 4 years or more frequently if 
        the Governor of the State elects to update more frequently.
        ``(2) Consultation with governments.--
            ``(A) Metropolitan areas.--With respect to each 
        metropolitan area in the State, the program shall be developed 
        in cooperation with the metropolitan planning organization 
        designated for the metropolitan area under section 134.
            ``(B) Nonmetropolitan areas.--
                ``(i) In general.--With respect to each nonmetropolitan 
            area in the State, the program shall be developed in 
            consultation with affected nonmetropolitan local officials 
            with responsibility for transportation or, if applicable, 
            through regional transportation planning organizations 
            described in subsection (m).
                ``(ii) Role of secretary.--The Secretary shall not 
            review or approve the specific consultation process in the 
            State.
            ``(C) Indian tribal areas.--With respect to each area of 
        the State under the jurisdiction of an Indian tribal 
        government, the program shall be developed in consultation with 
        the tribal government and the Secretary of the Interior.
        ``(3) Participation by interested parties.--In developing the 
    program, the State shall provide citizens, affected public 
    agencies, representatives of public transportation employees, 
    freight shippers, private providers of transportation, providers of 
    freight transportation services, representatives of users of public 
    transportation, representatives of users of pedestrian walkways and 
    bicycle transportation facilities, representatives of the disabled, 
    and other interested parties with a reasonable opportunity to 
    comment on the proposed program.
        ``(4) Performance target achievement.--A statewide 
    transportation improvement program shall include, to the maximum 
    extent practicable, a discussion of the anticipated effect of the 
    statewide transportation improvement program toward achieving the 
    performance targets established in the statewide transportation 
    plan, linking investment priorities to those performance targets.
        ``(5) Included projects.--
            ``(A) In general.--A transportation improvement program 
        developed under this subsection for a State shall include 
        Federally supported surface transportation expenditures within 
        the boundaries of the State.
            ``(B) Listing of projects.--
                ``(i) In general.--An annual listing of projects for 
            which funds have been obligated for the preceding year in 
            each metropolitan planning area shall be published or 
            otherwise made available by the cooperative effort of the 
            State, transit operator, and the metropolitan planning 
            organization for public review.
                ``(ii) Funding categories.--The listing described in 
            clause (i) shall be consistent with the funding categories 
            identified in each metropolitan transportation improvement 
            program.
            ``(C) Projects under chapter 2.--
                ``(i) Regionally significant projects.--Regionally 
            significant projects proposed for funding under chapter 2 
            shall be identified individually in the transportation 
            improvement program.
                ``(ii) Other projects.--Projects proposed for funding 
            under chapter 2 that are not determined to be regionally 
            significant shall be grouped in 1 line item or identified 
            individually in the transportation improvement program.
            ``(D) Consistency with statewide transportation plan.--Each 
        project shall be--
                ``(i) consistent with the statewide transportation plan 
            developed under this section for the State;
                ``(ii) identical to the project or phase of the project 
            as described in an approved metropolitan transportation 
            plan; and
                ``(iii) in conformance with the applicable State air 
            quality implementation plan developed under the Clean Air 
            Act (42 U.S.C. 7401 et seq.), if the project is carried out 
            in an area designated as a nonattainment area for ozone, 
            particulate matter, or carbon monoxide under part D of 
            title I of that Act (42 U.S.C. 7501 et seq.).
            ``(E) Requirement of anticipated full funding.--The 
        transportation improvement program shall include a project, or 
        an identified phase of a project, only if full funding can 
        reasonably be anticipated to be available for the project 
        within the time period contemplated for completion of the 
        project.
            ``(F) Financial plan.--
                ``(i) In general.--The transportation improvement 
            program may include a financial plan that demonstrates how 
            the approved transportation improvement program can be 
            implemented, indicates resources from public and private 
            sources that are reasonably expected to be made available 
            to carry out the transportation improvement program, and 
            recommends any additional financing strategies for needed 
            projects and programs.
                ``(ii) Additional projects.--The financial plan may 
            include, for illustrative purposes, additional projects 
            that would be included in the adopted transportation plan 
            if reasonable additional resources beyond those identified 
            in the financial plan were available.
            ``(G) Selection of projects from illustrative list.--
                ``(i) No required selection.--Notwithstanding 
            subparagraph (F), a State shall not be required to select 
            any project from the illustrative list of additional 
            projects included in the financial plan under subparagraph 
            (F).
                ``(ii) Required action by the secretary.--Action by the 
            Secretary shall be required for a State to select any 
            project from the illustrative list of additional projects 
            included in the financial plan under subparagraph (F) for 
            inclusion in an approved transportation improvement 
            program.
            ``(H) Priorities.--The transportation improvement program 
        shall reflect the priorities for programming and expenditures 
        of funds, including transportation enhancement activities, 
        required by this title and chapter 53 of title 49.
        ``(6) Project selection for areas of less than 50,000 
    population.--
            ``(A) In general.--Projects carried out in areas with 
        populations of less than 50,000 individuals shall be selected, 
        from the approved transportation improvement program (excluding 
        projects carried out on the National Highway System and 
        projects carried out under the bridge program or the Interstate 
        maintenance program under this title or under sections 5310 and 
        5311 of title 49), by the State in cooperation with the 
        affected nonmetropolitan local officials with responsibility 
        for transportation or, if applicable, through regional 
        transportation planning organizations described in subsection 
        (m).
            ``(B) Other projects.--Projects carried out in areas with 
        populations of less than 50,000 individuals on the National 
        Highway System or under the bridge program or the Interstate 
        maintenance program under this title or under sections 5310, 
        5311, 5316, and 5317 of title 49 shall be selected, from the 
        approved statewide transportation improvement program, by the 
        State in consultation with the affected nonmetropolitan local 
        officials with responsibility for transportation.
        ``(7) Transportation improvement program approval.--Every 4 
    years, a transportation improvement program developed under this 
    subsection shall be reviewed and approved by the Secretary if based 
    on a current planning finding.
        ``(8) Planning finding.--A finding shall be made by the 
    Secretary at least every 4 years that the transportation planning 
    process through which statewide transportation plans and programs 
    are developed is consistent with this section and section 134.
        ``(9) Modifications to project priority.--Notwithstanding any 
    other provision of law, action by the Secretary shall not be 
    required to advance a project included in the approved 
    transportation improvement program in place of another project in 
    the program.
    ``(h) Performance-based Planning Processes Evaluation.--
        ``(1) In general.--The Secretary shall establish criteria to 
    evaluate the effectiveness of the performance-based planning 
    processes of States, taking into consideration the following:
            ``(A) The extent to which the State is making progress 
        toward achieving, the performance targets described in 
        subsection (d)(2), taking into account whether the State 
        developed appropriate performance targets.
            ``(B) The extent to which the State has made transportation 
        investments that are efficient and cost-effective.
            ``(C) The extent to which the State--
                ``(i) has developed an investment process that relies 
            on public input and awareness to ensure that investments 
            are transparent and accountable; and
                ``(ii) provides reports allowing the public to access 
            the information being collected in a format that allows the 
            public to meaningfully assess the performance of the State.
        ``(2) Report.--
            ``(A) In general.--Not later than 5 years after the date of 
        enactment of the MAP-21, the Secretary shall submit to Congress 
        a report evaluating--
                ``(i) the overall effectiveness of performance-based 
            planning as a tool for guiding transportation investments; 
            and
                ``(ii) the effectiveness of the performance-based 
            planning process of each State.
            ``(B) Publication.--The report under subparagraph (A) shall 
        be published or otherwise made available in electronically 
        accessible formats and means, including on the Internet.
    ``(i) Funding.--Funds apportioned under section 104(b)(5) of this 
title and set aside under section 5305(g) of title 49 shall be 
available to carry out this section.
    ``(j) Treatment of Certain State Laws as Congestion Management 
Processes.--For purposes of this section and section 134, and sections 
5303 and 5304 of title 49, State laws, rules, or regulations pertaining 
to congestion management systems or programs may constitute the 
congestion management process under this section and section 134, and 
sections 5303 and 5304 of title 49, if the Secretary finds that the 
State laws, rules, or regulations are consistent with, and fulfill the 
intent of, the purposes of this section and section 134 and sections 
5303 and 5304 of title 49, as appropriate.
    ``(k) Continuation of Current Review Practice.--Since the statewide 
transportation plan and the transportation improvement program 
described in this section are subject to a reasonable opportunity for 
public comment, since individual projects included in the statewide 
transportation plans and the transportation improvement program are 
subject to review under the National Environmental Policy Act of 1969 
(42 U.S.C. 4321 et seq.), and since decisions by the Secretary 
concerning statewide transportation plans or the transportation 
improvement program described in this section have not been reviewed 
under that Act as of January 1, 1997, any decision by the Secretary 
concerning a metropolitan or statewide transportation plan or the 
transportation improvement program described in this section shall not 
be considered to be a Federal action subject to review under the 
National Environmental Policy Act of 1969 (42 U.S.C. 4321 et seq.).
    ``(l) Schedule for Implementation.--The Secretary shall issue 
guidance on a schedule for implementation of the changes made by this 
section, taking into consideration the established planning update 
cycle for States. The Secretary shall not require a State to deviate 
from its established planning update cycle to implement changes made by 
this section. States shall reflect changes made to their transportation 
plan or transportation improvement program updates not later than 2 
years after the date of issuance of guidance by the Secretary under 
this subsection.
    ``(m) Designation of Regional Transportation Planning 
Organizations.--
        ``(1) In general.--To carry out the transportation planning 
    process required by this section, a State may establish and 
    designate regional transportation planning organizations to enhance 
    the planning, coordination, and implementation of statewide 
    strategic long-range transportation plans and transportation 
    improvement programs, with an emphasis on addressing the needs of 
    nonmetropolitan areas of the State.
        ``(2) Structure.--A regional transportation planning 
    organization shall be established as a multijurisdictional 
    organization of nonmetropolitan local officials or their designees 
    who volunteer for such organization and representatives of local 
    transportation systems who volunteer for such organization.
        ``(3) Requirements.--A regional transportation planning 
    organization shall establish, at a minimum--
            ``(A) a policy committee, the majority of which shall 
        consist of nonmetropolitan local officials, or their designees, 
        and, as appropriate, additional representatives from the State, 
        private business, transportation service providers, economic 
        development practitioners, and the public in the region; and
            ``(B) a fiscal and administrative agent, such as an 
        existing regional planning and development organization, to 
        provide professional planning, management, and administrative 
        support.
        ``(4) Duties.--The duties of a regional transportation planning 
    organization shall include--
            ``(A) developing and maintaining, in cooperation with the 
        State, regional long-range multimodal transportation plans;
            ``(B) developing a regional transportation improvement 
        program for consideration by the State;
            ``(C) fostering the coordination of local planning, land 
        use, and economic development plans with State, regional, and 
        local transportation plans and programs;
            ``(D) providing technical assistance to local officials;
            ``(E) participating in national, multistate, and State 
        policy and planning development processes to ensure the 
        regional and local input of nonmetropolitan areas;
            ``(F) providing a forum for public participation in the 
        statewide and regional transportation planning processes;
            ``(G) considering and sharing plans and programs with 
        neighboring regional transportation planning organizations, 
        metropolitan planning organizations, and, where appropriate, 
        tribal organizations; and
            ``(H) conducting other duties, as necessary, to support and 
        enhance the statewide planning process under subsection (d).
        ``(5) States without regional transportation planning 
    organizations.--If a State chooses not to establish or designate a 
    regional transportation planning organization, the State shall 
    consult with affected nonmetropolitan local officials to determine 
    projects that may be of regional significance.''.
    (b) Conforming Amendment.--The analysis for chapter 1 of title 23, 
United States Code, is amended by striking the item relating to section 
135 and inserting the following:

``135. Statewide and nonmetropolitan transportation planning.''.
SEC. 1203. NATIONAL GOALS AND PERFORMANCE MANAGEMENT MEASURES.
    (a) In General.--Section 150 of title 23, United States Code, is 
amended to read as follows:
``Sec. 150. National goals and performance management measures
    ``(a) Declaration of Policy.--Performance management will transform 
the Federal-aid highway program and provide a means to the most 
efficient investment of Federal transportation funds by refocusing on 
national transportation goals, increasing the accountability and 
transparency of the Federal-aid highway program, and improving project 
decisionmaking through performance-based planning and programming.
    ``(b) National Goals.--It is in the interest of the United States 
to focus the Federal-aid highway program on the following national 
goals:
        ``(1) Safety.--To achieve a significant reduction in traffic 
    fatalities and serious injuries on all public roads.
        ``(2) Infrastructure condition.--To maintain the highway 
    infrastructure asset system in a state of good repair.
        ``(3) Congestion reduction.--To achieve a significant reduction 
    in congestion on the National Highway System.
        ``(4) System reliability.--To improve the efficiency of the 
    surface transportation system.
        ``(5) Freight movement and economic vitality.--To improve the 
    national freight network, strengthen the ability of rural 
    communities to access national and international trade markets, and 
    support regional economic development.
        ``(6) Environmental sustainability.--To enhance the performance 
    of the transportation system while protecting and enhancing the 
    natural environment.
        ``(7) Reduced project delivery delays.--To reduce project 
    costs, promote jobs and the economy, and expedite the movement of 
    people and goods by accelerating project completion through 
    eliminating delays in the project development and delivery process, 
    including reducing regulatory burdens and improving agencies' work 
    practices.
    ``(c) Establishment of Performance Measures.--
        ``(1) In general.--Not later than 18 months after the date of 
    enactment of the MAP-21, the Secretary, in consultation with State 
    departments of transportation, metropolitan planning organizations, 
    and other stakeholders, shall promulgate a rulemaking that 
    establishes performance measures and standards.
        ``(2) Administration.--In carrying out paragraph (1), the 
    Secretary shall--
            ``(A) provide States, metropolitan planning organizations, 
        and other stakeholders not less than 90 days to comment on any 
        regulation proposed by the Secretary under that paragraph;
            ``(B) take into consideration any comments relating to a 
        proposed regulation received during that comment period; and
            ``(C) limit performance measures only to those described in 
        this subsection.
        ``(3) National highway performance program.--
            ``(A) In general.--Subject to subparagraph (B), for the 
        purpose of carrying out section 119, the Secretary shall 
        establish--
                ``(i) minimum standards for States to use in developing 
            and operating bridge and pavement management systems;
                ``(ii) measures for States to use to assess--

                    ``(I) the condition of pavements on the Interstate 
                system;
                    ``(II) the condition of pavements on the National 
                Highway System (excluding the Interstate);
                    ``(III) the condition of bridges on the National 
                Highway System;
                    ``(IV) the performance of the Interstate System; 
                and
                    ``(V) the performance of the National Highway 
                System (excluding the Interstate System);

                ``(iii) minimum levels for the condition of pavement on 
            the Interstate System, only for the purposes of carrying 
            out section 119(f)(1); and
                ``(iv) the data elements that are necessary to collect 
            and maintain standardized data to carry out a performance-
            based approach.
            ``(B) Regions.--In establishing minimum condition levels 
        under subparagraph (A)(iii), if the Secretary determines that 
        various geographic regions of the United States experience 
        disparate factors contributing to the condition of pavement on 
        the Interstate System in those regions, the Secretary may 
        establish different minimum levels for each region;
        ``(4) Highway safety improvement program.--For the purpose of 
    carrying out section 148, the Secretary shall establish measures 
    for States to use to assess--
            ``(A) serious injuries and fatalities per vehicle mile 
        traveled; and
            ``(B) the number of serious injuries and fatalities.
        ``(5) Congestion mitigation and air quality program.--For the 
    purpose of carrying out section 149, the Secretary shall establish 
    measures for States to use to assess--
            ``(A) traffic congestion; and
            ``(B) on-road mobile source emissions.
        ``(6) National freight movement.--The Secretary shall establish 
    measures for States to use to assess freight movement on the 
    Interstate System.
    ``(d) Establishment of Performance Targets.--
        ``(1) In general.--Not later than 1 year after the Secretary 
    has promulgated the final rulemaking under subsection (c), each 
    State shall set performance targets that reflect the measures 
    identified in paragraphs (3), (4), (5), and (6) of subsection (c).
        ``(2) Different approaches for urban and rural areas.--In the 
    development and implementation of any performance target, a State 
    may, as appropriate, provide for different performance targets for 
    urbanized and rural areas.
    ``(e) Reporting on Performance Targets.--Not later than 4 years 
after the date of enactment of the MAP-21 and biennially thereafter, a 
State shall submit to the Secretary a report that describes--
        ``(1) the condition and performance of the National Highway 
    System in the State;
        ``(2) the effectiveness of the investment strategy document in 
    the State asset management plan for the National Highway System;
        ``(3) progress in achieving performance targets identified 
    under subsection (d); and
        ``(4) the ways in which the State is addressing congestion at 
    freight bottlenecks, including those identified in the National 
    Freight Strategic Plan, within the State.''.
    (b) Conforming Amendment.--The analysis for chapter 1 of title 23, 
United States Code, is amended by striking the item relating to section 
150 and inserting the following:

``150. National goals and performance management measures.''.

              Subtitle C--Acceleration of Project Delivery

SEC. 1301. DECLARATION OF POLICY AND PROJECT DELIVERY INITIATIVE.
    (a) In General.--It is the policy of the United States that--
        (1) it is in the national interest for the Department, State 
    departments of transportation, transit agencies, and all other 
    recipients of Federal transportation funds--
            (A) to accelerate project delivery and reduce costs; and
            (B) to ensure that the planning, design, engineering, 
        construction, and financing of transportation projects is done 
        in an efficient and effective manner, promoting accountability 
        for public investments and encouraging greater private sector 
        involvement in project financing and delivery while enhancing 
        safety and protecting the environment;
        (2) delay in the delivery of transportation projects increases 
    project costs, harms the economy of the United States, and impedes 
    the travel of the people of the United States and the shipment of 
    goods for the conduct of commerce; and
        (3) the Secretary shall identify and promote the deployment of 
    innovation aimed at reducing the time and money required to deliver 
    transportation projects while enhancing safety and protecting the 
    environment.
    (b) Project Delivery Initiative.--
        (1) In general.--To advance the policy described in subsection 
    (a), the Secretary shall carry out a project delivery initiative 
    under this section.
        (2) Purposes.--The purposes of the project delivery initiative 
    shall be--
            (A) to develop and advance the use of best practices to 
        accelerate project delivery and reduce costs across all modes 
        of transportation and expedite the deployment of technology and 
        innovation;
            (B) to implement provisions of law designed to accelerate 
        project delivery; and
            (C) to select eligible projects for applying experimental 
        features to test innovative project delivery techniques.
        (3) Advancing the use of best practices.--
            (A) In general.--In carrying out the initiative under this 
        section, the Secretary shall identify and advance best 
        practices to reduce delivery time and project costs, from 
        planning through construction, for transportation projects and 
        programs of projects regardless of mode and project size.
            (B) Administration.--To advance the use of best practices, 
        the Secretary shall--
                (i) engage interested parties, affected communities, 
            resource agencies, and other stakeholders to gather 
            information regarding opportunities for accelerating 
            project delivery and reducing costs;
                (ii) establish a clearinghouse for the collection, 
            documentation, and advancement of existing and new 
            innovative approaches and best practices;
                (iii) disseminate information through a variety of 
            means to transportation stakeholders on new innovative 
            approaches and best practices; and
                (iv) provide technical assistance to assist 
            transportation stakeholders in the use of flexibility 
            authority to resolve project delays and accelerate project 
            delivery if feasible.
        (4) Implementation of accelerated project delivery.--The 
    Secretary shall ensure that the provisions of this subtitle 
    designed to accelerate project delivery are fully implemented, 
    including--
            (A) expanding eligibility of early acquisition of property 
        prior to completion of environmental review under the National 
        Environmental Policy Act of 1969 (42 U.S.C. 4321 et seq.);
            (B) allowing the use of the construction manager or general 
        contractor method of contracting in the Federal-aid highway 
        system; and
            (C) establishing a demonstration program to streamline the 
        relocation process by permitting a lump-sum payment for 
        acquisition and relocation if elected by the displaced 
        occupant.
    (c) Expedited Project Delivery.--Section 101(b) of title 23, United 
States Code, is amended by adding at the end the following:
        ``(4) Expedited project delivery.--
            ``(A) In general.--Congress declares that it is in the 
        national interest to expedite the delivery of surface 
        transportation projects by substantially reducing the average 
        length of the environmental review process.
            ``(B) Policy of the united states.--Accordingly, it is the 
        policy of the United States that--
                ``(i) the Secretary shall have the lead role among 
            Federal agencies in carrying out the environmental review 
            process for surface transportation projects;
                ``(ii) each Federal agency shall cooperate with the 
            Secretary to expedite the environmental review process for 
            surface transportation projects;
                ``(iii) project sponsors shall not be prohibited from 
            carrying out preconstruction project development activities 
            concurrently with the environmental review process;
                ``(iv) programmatic approaches shall be used to reduce 
            the need for project-by-project reviews and decisions by 
            Federal agencies; and
                ``(v) the Secretary shall identify opportunities for 
            project sponsors to assume responsibilities of the 
            Secretary where such responsibilities can be assumed in a 
            manner that protects public health, the environment, and 
            public participation.''.
SEC. 1302. ADVANCE ACQUISITION OF REAL PROPERTY INTERESTS.
    (a) Real Property Interests.--Section 108 of title 23, United 
States Code, is amended--
        (1) by striking ``real property'' each place it appears and 
    inserting ``real property interests'';
        (2) by striking ``right-of-way'' each place it appears and 
    inserting ``real property interest''; and
        (3) by striking ``rights-of-way'' each place it appears and 
    inserting ``real property interests''.
    (b) State-funded Early Acquisition of Real Property Interests.--
Section 108(c) of title 23, United States Code, is amended--
        (1) in the subsection heading, by striking ``Early Acquisition 
    of Rights-of-way'' and inserting ``State-funded Early Acquisition 
    of Real Property Interests'';
        (2) by redesignating paragraphs (1) and (2) as paragraphs (2) 
    and (3), respectively;
        (3) in paragraph (2) (as so redesignated)--
            (A) in the heading, by striking ``General rule'' and 
        inserting ``Eligibility for reimbursement''; and
            (B) by striking ``Subject to paragraph (2)'' and inserting 
        ``Subject to paragraph (3)'';
        (4) by inserting before paragraph (2) (as so redesignated) the 
    following:
        ``(1) In general.--A State may carry out, at the expense of the 
    State, acquisitions of interests in real property for a project 
    before completion of the review process required for the project 
    under the National Environmental Policy Act of 1969 (42 U.S.C. 4321 
    et seq.) without affecting subsequent approvals required for the 
    project by the State or any Federal agency.''; and
        (5) in paragraph (3) (as so redesignated)--
            (A) in the matter preceding subparagraph (A), by striking 
        ``in paragraph (1)'' and inserting ``in paragraph (2)''; and
            (B) in subparagraph (G), by striking ``both the Secretary 
        and the Administrator of the Environmental Protection Agency 
        have concurred'' and inserting ``the Secretary has 
        determined''.
    (c) Federally Funded Acquisition of Real Property Interests.--
Section 108 of title 23, United States Code, is amended by adding at 
the end the following:
    ``(d) Federally Funded Early Acquisition of Real Property 
Interests.--
        ``(1) Definition of acquisition of a real property interest.--
    In this subsection, the term `acquisition of a real property 
    interest' includes the acquisition of--
            ``(A) any interest in land;
            ``(B) a contractual right to acquire any interest in land; 
        or
            ``(C) any other similar action to acquire or preserve 
        rights-of-way for a transportation facility.
        ``(2) Authorization.--The Secretary may authorize the use of 
    funds apportioned to a State under this title for the acquisition 
    of a real property interest by a State.
        ``(3) State certification.--A State requesting Federal funding 
    for an acquisition of a real property interest shall certify in 
    writing, with concurrence by the Secretary, that--
            ``(A) the State has authority to acquire the real property 
        interest under State law; and
            ``(B) the acquisition of the real property interest--
                ``(i) is for a transportation purpose;
                ``(ii) will not cause any significant adverse 
            environmental impact;
                ``(iii) will not limit the choice of reasonable 
            alternatives for the project or otherwise influence the 
            decision of the Secretary on any approval required for the 
            project;
                ``(iv) does not prevent the lead agency from making an 
            impartial decision as to whether to accept an alternative 
            that is being considered in the environmental review 
            process;
                ``(v) is consistent with the State transportation 
            planning process under section 135;
                ``(vi) complies with other applicable Federal laws 
            (including regulations);
                ``(vii) will be acquired through negotiation, without 
            the threat of condemnation; and
                ``(viii) will not result in a reduction or elimination 
            of benefits or assistance to a displaced person required by 
            the Uniform Relocation Assistance and Real Property 
            Acquisition Policies Act of 1970 (42 U.S.C. 4601 et seq.) 
            and title VI of the Civil Rights Act of 1964 (42 U.S.C. 
            2000d et seq.).
        ``(4) Environmental compliance.--
            ``(A) In general.--Before authorizing Federal funding for 
        an acquisition of a real property interest, the Secretary shall 
        complete the review process under the National Environmental 
        Policy Act of 1969 (42 U.S.C. 4321 et seq.) with respect to the 
        acquisition of the real property interest.
            ``(B) Independent utility.--The acquisition of a real 
        property interest--
                ``(i) shall be treated as having independent utility 
            for purposes of the review process under the National 
            Environmental Policy Act of 1969 (42 U.S.C. 4321 et seq.); 
            and
                ``(ii) shall not limit consideration of alternatives 
            for future transportation improvements with respect to the 
            real property interest.
        ``(5) Programming.--
            ``(A) In general.--The acquisition of a real property 
        interest for which Federal funding is requested shall be 
        included as a project in an applicable transportation 
        improvement program under sections 134 and 135 and sections 
        5303 and 5304 of title 49.
            ``(B) Acquisition project.--The acquisition project may 
        consist of the acquisition of a specific parcel, a portion of a 
        transportation corridor, or an entire transportation corridor.
        ``(6) Development.--Real property interests acquired under this 
    subsection may not be developed in anticipation of a project until 
    all required environmental reviews for the project have been 
    completed.
        ``(7) Reimbursement.--If Federal-aid reimbursement is made for 
    real property interests acquired early under this section and the 
    real property interests are not subsequently incorporated into a 
    project eligible for surface transportation funds within the time 
    allowed by subsection (a)(2), the Secretary shall offset the amount 
    reimbursed against funds apportioned to the State.
        ``(8) Other requirements and conditions.--
            ``(A) Applicable law.--The acquisition of a real property 
        interest shall be carried out in compliance with all 
        requirements applicable to the acquisition of real property 
        interests for federally funded transportation projects.
            ``(B) Additional conditions.--The Secretary may establish 
        such other conditions or restrictions on acquisitions under 
        this subsection as the Secretary determines to be 
        appropriate.''.
SEC. 1303. LETTING OF CONTRACTS.
    (a) Efficiencies in Contracting.--Section 112(b) of title 23, 
United States Code, is amended by adding at the end the following:
        ``(4) Method of contracting.--
            ``(A) In general.--
                ``(i) 2-phase contract.--A contracting agency may award 
            a 2-phase contract to a construction manager or general 
            contractor for preconstruction and construction services.
                ``(ii) Preconstruction services phase.--In the 
            preconstruction services phase of a contract under this 
            paragraph, the contractor shall provide the contracting 
            agency with advice for scheduling, work sequencing, cost 
            engineering, constructability, cost estimating, and risk 
            identification.
                ``(iii) Agreement.--Prior to the start of the 
            construction services phase, the contracting agency and the 
            contractor may agree to a price and other factors specified 
            in regulation for the construction of the project or a 
            portion of the project.
                ``(iv) Construction phase.--If an agreement is reached 
            under clause (iii), the contractor shall be responsible for 
            the construction of the project or portion of the project 
            at the negotiated price and in compliance with the other 
            factors specified in the agreement.
            ``(B) Selection.--A contract shall be awarded to a 
        contractor under this paragraph using a competitive selection 
        process based on qualifications, experience, best value, or any 
        other combination of factors considered appropriate by the 
        contracting agency.
            ``(C) Timing.--
                ``(i) Relationship to nepa process.--Prior to the 
            completion of the environmental review process required 
            under section 102 of the National Environmental Policy Act 
            of 1969 (42 U.S.C. 4332), a contracting agency may--

                    ``(I) issue requests for proposals;
                    ``(II) proceed with the award of a contract for 
                preconstruction services under subparagraph (A)(ii); 
                and
                    ``(III) issue notices to proceed with a preliminary 
                design and any work related to preliminary design, to 
                the extent that those actions do not limit any 
                reasonable range of alternatives.

                ``(ii) Construction services phase.--A contracting 
            agency shall not proceed with the award of the construction 
            services phase of a contract under subparagraph (A)(iv) and 
            shall not proceed, or permit any consultant or contractor 
            to proceed, with final design or construction until 
            completion of the environmental review process required 
            under section 102 of the National Environmental Policy Act 
            of 1969 (42 U.S.C. 4332).
                ``(iii) Approval requirement.--Prior to authorizing 
            construction activities, the Secretary shall approve--

                    ``(I) the price estimate of the contracting agency 
                for the entire project; and
                    ``(II) any price agreement with the general 
                contractor for the project or a portion of the project.

                ``(iv) Design activities.--

                    ``(I) In general.--A contracting agency may 
                proceed, at the expense of the contracting agency, with 
                design activities at any level of detail for a project 
                before completion of the review process required for 
                the project under the National Environmental Policy Act 
                of 1969 (42 U.S.C. 4321 et seq.) without affecting 
                subsequent approvals required for the project.
                    ``(II) Reimbursement.--Design activities carried 
                out under subclause (I) shall be eligible for Federal 
                reimbursement as a project expense in accordance with 
                the requirements under section 109(r).

                ``(v) Termination provision.--The Secretary shall 
            require a contract to include an appropriate termination 
            provision in the event that a no-build alternative is 
            selected.''.
    (b) Regulations.--The Secretary shall promulgate such regulations 
as are necessary to carry out the amendment made by subsection (a).
    (c) Effect on Experimental Program.--Nothing in this section or the 
amendment made by this section affects the authority to carry out, or 
any project carried out under, any experimental program concerning 
construction manager risk that is being carried out by the Secretary as 
of the date of enactment of this Act.
SEC. 1304. INNOVATIVE PROJECT DELIVERY METHODS.
    (a) Declaration of Policy.--
        (1) In general.--Congress declares that it is in the national 
    interest to promote the use of innovative technologies and 
    practices that increase the efficiency of construction of, improve 
    the safety of, and extend the service life of highways and bridges.
        (2) Inclusions.--The innovative technologies and practices 
    described in paragraph (1) include state-of-the-art intelligent 
    transportation system technologies, elevated performance standards, 
    and new highway construction business practices that improve 
    highway safety and quality, accelerate project delivery, and reduce 
    congestion related to highway construction.
    (b) Federal Share.--Section 120(c) of title 23, United States Code, 
is amended by adding at the end the following:
        ``(3) Innovative project delivery.--
            ``(A) In general.--Except as provided in subparagraph (C), 
        the Federal share payable on account of a project, program, or 
        activity carried out with funds apportioned under paragraph 
        (1), (2), or (5) of section 104(b) may, at the discretion of 
        the State, be up to 100 percent for any such project, program, 
        or activity that the Secretary determines--
                ``(i) contains innovative project delivery methods that 
            improve work zone safety for motorists or workers and the 
            quality of the facility;
                ``(ii) contains innovative technologies, manufacturing 
            processes, financing, or contracting methods that improve 
            the quality of, extend the service life of, or decrease the 
            long-term costs of maintaining highways and bridges;
                ``(iii) accelerates project delivery while complying 
            with other applicable Federal laws (including regulations) 
            and not causing any significant adverse environmental 
            impact; or
                ``(iv) reduces congestion related to highway 
            construction.
            ``(B) Examples.--Projects, programs, and activities 
        described in subparagraph (A) may include the use of--
                ``(i) prefabricated bridge elements and systems and 
            other technologies to reduce bridge construction time;
                ``(ii) innovative construction equipment, materials, or 
            techniques, including the use of in-place recycling 
            technology and digital 3-dimensional modeling technologies;
                ``(iii) innovative contracting methods, including the 
            design-build and the construction manager-general 
            contractor contracting methods;
                ``(iv) intelligent compaction equipment; or
                ``(v) contractual provisions that offer a contractor an 
            incentive payment for early completion of the project, 
            program, or activity, subject to the condition that the 
            incentives are accounted for in the financial plan of the 
            project, when applicable.
            ``(C) Limitations.--
                ``(i) In general.--In each fiscal year, a State may use 
            the authority under subparagraph (A) for up to 10 percent 
            of the combined apportionments of the State under 
            paragraphs (1), (2), and (5) of section 104(b).
                ``(ii) Federal share increase.--The Federal share 
            payable on account of a project, program, or activity 
            described in subparagraph (A) may be increased by up to 5 
            percent of the total project cost.''.
SEC. 1305. EFFICIENT ENVIRONMENTAL REVIEWS FOR PROJECT DECISIONMAKING.
    (a) Flexibility.--Section 139(b) of title 23, United States Code, 
is amended--
        (1) in paragraph (2) by inserting ``, and any requirements 
    established under this section may be satisfied,'' after 
    ``exercised''; and
        (2) by adding at the end the following:
        ``(3) Programmatic compliance.--
            ``(A) In general.--The Secretary shall initiate a 
        rulemaking to allow for the use of programmatic approaches to 
        conduct environmental reviews that--
                ``(i) eliminate repetitive discussions of the same 
            issues;
                ``(ii) focus on the actual issues ripe for analyses at 
            each level of review; and
                ``(iii) are consistent with--

                    ``(I) the National Environmental Policy Act of 1969 
                (42 U.S.C. 4321 et seq.); and
                    ``(II) other applicable laws.

            ``(B) Requirements.--In carrying out subparagraph (A), the 
        Secretary shall--
                ``(i) before initiating the rulemaking under that 
            subparagraph, consult with relevant Federal agencies and 
            State resource agencies, State departments of 
            transportation, Indian tribes, and the public on the 
            appropriate use and scope of the programmatic approaches;
                ``(ii) emphasize the importance of collaboration among 
            relevant Federal agencies, State agencies, and Indian 
            tribes in undertaking programmatic reviews, especially with 
            respect to including reviews with a broad geographic scope;
                ``(iii) ensure that the programmatic reviews--

                    ``(I) promote transparency, including of the 
                analyses and data used in the environmental reviews, 
                the treatment of any deferred issues raised by agencies 
                or the public, and the temporal and special scales to 
                be used to analyze such issues;
                    ``(II) use accurate and timely information in 
                reviews, including--

                        ``(aa) criteria for determining the general 
                    duration of the usefulness of the review; and
                        ``(bb) the timeline for updating any out-of-
                    date review;

                    ``(III) describe--

                        ``(aa) the relationship between programmatic 
                    analysis and future tiered analysis; and
                        ``(bb) the role of the public in the creation 
                    of future tiered analysis; and

                    ``(IV) are available to other relevant Federal and 
                State agencies, Indian tribes, and the public;

                ``(iv) allow not fewer than 60 days of public notice 
            and comment on any proposed rule; and
                ``(v) address any comments received under clause 
            (iv).''.
    (b) Federal Lead Agency.--Section 139(c) of title 23, United States 
Code, is amended--
        (1) in paragraph (1)--
            (A) by striking ``The Department of Transportation'' and 
        inserting the following:
            ``(A) In general.--The Department of Transportation''; and
            (B) by adding at the end the following:
            ``(B) Modal administration.--If the project requires 
        approval from more than 1 modal administration within the 
        Department, the Secretary may designate a single modal 
        administration to serve as the Federal lead agency for the 
        Department in the environmental review process for the 
        project.''.
    (c) Participating Agencies.--Section 139(d) of title 23, United 
States Code, is amended--
        (1) by striking paragraph (4) and inserting the following:
        ``(4) Effect of designation.--
            ``(A) Requirement.--A participating agency shall comply 
        with the requirements of this section.
            ``(B) Implication.--Designation as a participating agency 
        under this subsection shall not imply that the participating 
        agency--
                ``(i) supports a proposed project; or
                ``(ii) has any jurisdiction over, or special expertise 
            with respect to evaluation of, the project.''; and
        (2) by striking paragraph (7) and inserting the following:
        ``(7) Concurrent reviews.--Each participating agency and 
    cooperating agency shall--
            ``(A) carry out the obligations of that agency under other 
        applicable law concurrently, and in conjunction, with the 
        review required under the National Environmental Policy Act of 
        1969 (42 U.S.C. 4321 et seq.), unless doing so would impair the 
        ability of the Federal agency to conduct needed analysis or 
        otherwise carry out those obligations; and
            ``(B) formulate and implement administrative, policy, and 
        procedural mechanisms to enable the agency to ensure completion 
        of the environmental review process in a timely, coordinated, 
        and environmentally responsible manner.''.
    (d) Project Initiation.--Section 139(e) of title 23, United States 
Code, is amended--
        (1) by striking ``The project sponsor'' and inserting the 
    following:
        ``(1) In general.--The project sponsor''; and
        (2) by adding at the end the following:
        ``(2) Submission of documents.--The project sponsor may satisfy 
    the requirement under paragraph (1) by submitting to the Secretary 
    any relevant documents containing the information described in that 
    paragraph, including a draft notice for publication in the Federal 
    Register announcing the preparation of an environmental review for 
    the project.''.
    (e) Coordination and Scheduling.--Section 139(g)(1)(B)(i) of title 
23, United States Code, is amended by inserting ``and the concurrence 
of'' after ``consultation with''.
SEC. 1306. ACCELERATED DECISIONMAKING.
    Section 139(h) of title 23, United States Code, is amended by 
striking paragraph (4) and inserting the following:
        ``(4) Interim decision on achieving accelerated 
    decisionmaking.--
            ``(A) In general.--Not later than 30 days after the close 
        of the public comment period on a draft environmental impact 
        statement, the Secretary may convene a meeting with the project 
        sponsor, lead agency, resource agencies, and any relevant State 
        agencies to ensure that all parties are on schedule to meet 
        deadlines for decisions to be made regarding the project.
            ``(B) Deadlines.--The deadlines referred to in subparagraph 
        (A) shall be those established under subsection (g), or any 
        other deadlines established by the lead agency, in consultation 
        with the project sponsor and other relevant agencies.
            ``(C) Failure to assure.--If the relevant agencies cannot 
        provide reasonable assurances that the deadlines described in 
        subparagraph (B) will be met, the Secretary may initiate the 
        issue resolution and referral process described under paragraph 
        (5) and before the completion of the record of decision.
        ``(5) Accelerated issue resolution and referral.--
            ``(A) Agency issue resolution meeting.--
                ``(i) In general.--A Federal agency of jurisdiction, 
            project sponsor, or the Governor of a State in which a 
            project is located may request an issue resolution meeting 
            to be conducted by the lead agency.
                ``(ii) Action by lead agency.--The lead agency shall 
            convene an issue resolution meeting under clause (i) with 
            the relevant participating agencies and the project 
            sponsor, including the Governor only if the meeting was 
            requested by the Governor, to resolve issues that could--

                    ``(I) delay completion of the environmental review 
                process; or
                    ``(II) result in denial of any approvals required 
                for the project under applicable laws.

                ``(iii) Date.--A meeting requested under this 
            subparagraph shall be held by not later than 21 days after 
            the date of receipt of the request for the meeting, unless 
            the lead agency determines that there is good cause to 
            extend the time for the meeting.
                ``(iv) Notification.--On receipt of a request for a 
            meeting under this subparagraph, the lead agency shall 
            notify all relevant participating agencies of the request, 
            including the issue to be resolved, and the date for the 
            meeting.
                ``(v) Disputes.--If a relevant participating agency 
            with jurisdiction over an approval required for a project 
            under applicable law determines that the relevant 
            information necessary to resolve the issue has not been 
            obtained and could not have been obtained within a 
            reasonable time, but the lead agency disagrees, the 
            resolution of the dispute shall be forwarded to the heads 
            of the relevant agencies for resolution.
                ``(vi) Convention by lead agency.--A lead agency may 
            convene an issue resolution meeting under this subsection 
            at any time without the request of the Federal agency of 
            jurisdiction, project sponsor, or the Governor of a State.
            ``(B) Elevation of issue resolution.--
                ``(i) In general.--If issue resolution is not achieved 
            by not later than 30 days after the date of a relevant 
            meeting under subparagraph (A), the Secretary shall notify 
            the lead agency, the heads of the relevant participating 
            agencies, and the project sponsor (including the Governor 
            only if the initial issue resolution meeting request came 
            from the Governor) that an issue resolution meeting will be 
            convened.
                ``(ii) Requirements.--The Secretary shall identify the 
            issues to be addressed at the meeting and convene the 
            meeting not later than 30 days after the date of issuance 
            of the notice.
            ``(C) Referral of issue resolution.--
                ``(i) Referral to council on environmental quality.--

                    ``(I) In general.--If resolution is not achieved by 
                not later than 30 days after the date of an issue 
                resolution meeting under subparagraph (B), the 
                Secretary shall refer the matter to the Council on 
                Environmental Quality.
                    ``(II) Meeting.--Not later than 30 days after the 
                date of receipt of a referral from the Secretary under 
                subclause (I), the Council on Environmental Quality 
                shall hold an issue resolution meeting with the lead 
                agency, the heads of relevant participating agencies, 
                and the project sponsor (including the Governor only if 
                an initial request for an issue resolution meeting came 
                from the Governor).

                ``(ii) Referral to the president.--If a resolution is 
            not achieved by not later than 30 days after the date of 
            the meeting convened by the Council on Environmental 
            Quality under clause (i)(II), the Secretary shall refer the 
            matter directly to the President.
        ``(6) Financial penalty provisions.--
            ``(A) In general.--A Federal agency of jurisdiction over an 
        approval required for a project under applicable laws shall 
        complete any required approval on an expeditious basis using 
        the shortest existing applicable process.
            ``(B) Failure to decide.--
                ``(i) In general.--If an agency described in 
            subparagraph (A) fails to render a decision under any 
            Federal law relating to a project that requires the 
            preparation of an environmental impact statement or 
            environmental assessment, including the issuance or denial 
            of a permit, license, or other approval by the date 
            described in clause (ii), an amount of funding equal to the 
            amounts specified in subclause (I) or (II) shall be 
            rescinded from the applicable office of the head of the 
            agency, or equivalent office to which the authority for 
            rendering the decision has been delegated by law by not 
            later than 1 day after the applicable date under clause 
            (ii), and once each week thereafter until a final decision 
            is rendered, subject to subparagraph (C)--

                    ``(I) $20,000 for any project for which an annual 
                financial plan under section 106(i) is required; or
                    ``(II) $10,000 for any other project requiring 
                preparation of an environmental assessment or 
                environmental impact statement.

                ``(ii) Description of date.--The date referred to in 
            clause (i) is the later of--

                    ``(I) the date that is 180 days after the date on 
                which an application for the permit, license, or 
                approval is complete; and
                    ``(II) the date that is 180 days after the date on 
                which the Federal lead agency issues a decision on the 
                project under the National Environmental Policy Act of 
                1969 (42 U.S.C. 4321 et seq.).

            ``(C) Limitations.--
                ``(i) In general.--No rescission of funds under 
            subparagraph (B) relating to an individual project shall 
            exceed, in any fiscal year, an amount equal to 2.5 percent 
            of the funds made available for the applicable agency 
            office.
                ``(ii) Failure to decide.--The total amount rescinded 
            in a fiscal year as a result of a failure by an agency to 
            make a decision by an applicable deadline shall not exceed 
            an amount equal to 7 percent of the funds made available 
            for the applicable agency office for that fiscal year.
            ``(D) No fault of agency.--A rescission of funds under this 
        paragraph shall not be made if the lead agency for the project 
        certifies that--
                ``(i) the agency has not received necessary information 
            or approvals from another entity, such as the project 
            sponsor, in a manner that affects the ability of the agency 
            to meet any requirements under State, local, or Federal 
            law; or
                ``(ii) significant new information or circumstances, 
            including a major modification to an aspect of the project, 
            requires additional analysis for the agency to make a 
            decision on the project application.
            ``(E) Limitation.--The Federal agency with jurisdiction for 
        the decision from which funds are rescinded pursuant to this 
        paragraph shall not reprogram funds to the office of the head 
        of the agency, or equivalent office, to reimburse that office 
        for the loss of the funds.
            ``(F) Audits.--In any fiscal year in which any funds are 
        rescinded from a Federal agency pursuant to this paragraph, the 
        Inspector General of that agency shall--
                ``(i) conduct an audit to assess compliance with the 
            requirements of this paragraph; and
                ``(ii) not later than 120 days after the end of the 
            fiscal year during which the rescission occurred, 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 describing the 
            reasons why the transfers were levied, including 
            allocations of resources.
            ``(G) Effect of paragraph.--Nothing in this paragraph 
        affects or limits the application of, or obligation to comply 
        with, any Federal, State, local, or tribal law.
        ``(7) Expedient decisions and reviews.--To ensure that Federal 
    environmental decisions and reviews are expeditiously made--
            ``(A) adequate resources made available under this title 
        shall be devoted to ensuring that applicable environmental 
        reviews under the National Environmental Policy Act of 1969 (42 
        U.S.C. 4321 et seq.) are completed on an expeditious basis and 
        that the shortest existing applicable process under that Act is 
        implemented; and
            ``(B) the President shall submit to the Committee on 
        Transportation and Infrastructure of the House of 
        Representatives and the Committee on Environment and Public 
        Works of the Senate, not less frequently than once every 120 
        days after the date of enactment of the MAP-21, a report on the 
        status and progress of the following projects and activities 
        funded under this title with respect to compliance with 
        applicable requirements under the National Environmental Policy 
        Act of 1969 (42 U.S.C. 4321 et seq.):
                ``(i) Projects and activities required to prepare an 
            annual financial plan under section 106(i).
                ``(ii) A sample of not less than 5 percent of the 
            projects requiring preparation of an environmental impact 
            statement or environmental assessment in each State.''.
SEC. 1307. ASSISTANCE TO AFFECTED FEDERAL AND STATE AGENCIES.
    Section 139(j) of title 23, United States Code, is amended by 
adding at the end the following:
        ``(6) Memorandum of understanding.--Prior to providing funds 
    approved by the Secretary for dedicated staffing at an affected 
    Federal agency under paragraphs (1) and (2), the affected Federal 
    agency and the State agency shall enter into a memorandum of 
    understanding that establishes the projects and priorities to be 
    addressed by the use of the funds.''.
SEC. 1308. LIMITATIONS ON CLAIMS.
    Section 139(l) of title 23, United States Code, is amended--
        (1) in paragraph (1) by striking ``180 days'' and inserting 
    ``150 days''; and
        (2) in paragraph (2) by striking ``180 days'' and inserting 
    ``150 days''.
SEC. 1309. ACCELERATING COMPLETION OF COMPLEX PROJECTS WITHIN 4 YEARS.
    Section 139 of title 23, United States Code, is amended by adding 
at the end the following:
    ``(m) Enhanced Technical Assistance and Accelerated Project 
Completion.--
        ``(1) Definition of covered project.--In this subsection, the 
    term `covered project' means a project--
            ``(A) that has an ongoing environmental impact statement 
        under the National Environmental Policy Act of 1969 (42 U.S.C. 
        4321 et seq.); and
            ``(B) for which at least 2 years, beginning on the date on 
        which a notice of intent is issued, have elapsed without the 
        issuance of a record of decision.
        ``(2) Technical assistance.--At the request of a project 
    sponsor or the Governor of a State in which a project is located, 
    the Secretary shall provide additional technical assistance to 
    resolve for a covered project any outstanding issues and project 
    delay, including by--
            ``(A) providing additional staff, training, and expertise;
            ``(B) facilitating interagency coordination;
            ``(C) promoting more efficient collaboration; and
            ``(D) supplying specialized onsite assistance.
        ``(3) Scope of work.--
            ``(A) In general.--In providing technical assistance for a 
        covered project under this subsection, the Secretary shall 
        establish a scope of work that describes the actions that the 
        Secretary will take to resolve the outstanding issues and 
        project delays, including establishing a schedule under 
        subparagraph (B).
            ``(B) Schedule.--
                ``(i) In general.--The Secretary shall establish and 
            meet a schedule for the completion of any permit, approval, 
            review, or study, required for the covered project by the 
            date that is not later than 4 years after the date on which 
            a notice of intent for the covered project is issued.
                ``(ii) Inclusions.--The schedule under clause (i) 
            shall--

                    ``(I) comply with all applicable laws;
                    ``(II) require the concurrence of the Council on 
                Environmental Quality and each participating agency for 
                the project with the State in which the project is 
                located or the project sponsor, as applicable; and
                    ``(III) reflect any new information that becomes 
                available and any changes in circumstances that may 
                result in new significant impacts that could affect the 
                timeline for completion of any permit, approval, 
                review, or study required for the covered project.

        ``(4) Consultation.--In providing technical assistance for a 
    covered project under this subsection, the Secretary shall consult, 
    if appropriate, with resource and participating agencies on all 
    methods available to resolve the outstanding issues and project 
    delays for a covered project as expeditiously as possible.
        ``(5) Enforcement.--
            ``(A) In general.--All provisions of this section shall 
        apply to this subsection, including the financial penalty 
        provisions under subsection (h)(6).
            ``(B) Restriction.--If the Secretary enforces this 
        subsection under subsection (h)(6), the Secretary may use a 
        date included in a schedule under paragraph (3)(B) that is 
        created pursuant to and is in compliance with this subsection 
        in lieu of the dates under subsection (h)(6)(B)(ii).''.
SEC. 1310. INTEGRATION OF PLANNING AND ENVIRONMENTAL REVIEW.
    (a) In General.--Chapter 1 of title 23, United States Code (as 
amended by section 1115(a)), is amended by adding at the end the 
following:
``Sec. 168. Integration of planning and environmental review
    ``(a) Definitions.--In this section, the following definitions 
apply:
        ``(1) Environmental review process.--The term `environmental 
    review process' means the process for preparing for a project an 
    environmental impact statement, environmental assessment, 
    categorical exclusion, or other document prepared under the 
    National Environmental Policy Act of 1969 (42 U.S.C. 4321 et seq.).
        ``(2) Planning product.--The term `planning product' means a 
    detailed and timely decision, analysis, study, or other documented 
    information that--
            ``(A) is the result of an evaluation or decisionmaking 
        process carried out during transportation planning, including a 
        detailed corridor plan or a transportation plan developed under 
        section 134 that fully analyzes impacts on mobility, adjacent 
        communities, and the environment;
            ``(B) is intended to be carried into the transportation 
        project development process; and
            ``(C) has been approved by the State, all local and tribal 
        governments where the project is located, and by any relevant 
        metropolitan planning organization.
        ``(3) Project.--The term `project' has the meaning given the 
    term in section 139(a).
        ``(4) Project sponsor.--The term `project sponsor' has the 
    meaning given the term in section 139(a).
    ``(b) Adoption of Planning Products for Use in NEPA Proceedings.--
        ``(1) In general.--Subject to the conditions set forth in 
    subsection (d), the Federal lead agency for a project may adopt and 
    use a planning product in proceedings relating to any class of 
    action in the environmental review process of the project.
        ``(2) Identification.--When the Federal lead agency makes a 
    determination to adopt and use a planning product, the Federal lead 
    agency shall identify those agencies that participated in the 
    development of the planning products.
        ``(3) Partial adoption of planning products.--The Federal lead 
    agency may adopt a planning product under paragraph (1) in its 
    entirety or may select portions for adoption.
        ``(4) Timing.--A determination under paragraph (1) with respect 
    to the adoption of a planning product may be made at the time the 
    lead agencies decide the appropriate scope of environmental review 
    for the project but may also occur later in the environmental 
    review process, as appropriate.
    ``(c) Applicability.--
        ``(1) Planning decisions.--Planning decisions that may be 
    adopted pursuant to this section include--
            ``(A) whether tolling, private financial assistance, or 
        other special financial measures are necessary to implement the 
        project;
            ``(B) a decision with respect to modal choice, including a 
        decision to implement corridor or subarea study recommendations 
        to advance different modal solutions as separate projects with 
        independent utility;
            ``(C) a basic description of the environmental setting;
            ``(D) a decision with respect to methodologies for 
        analysis; and
            ``(E) an identification of programmatic level mitigation 
        for potential impacts that the Federal lead agency, in 
        consultation with Federal, State, local, and tribal resource 
        agencies, determines are most effectively addressed at a 
        regional or national program level, including--
                ``(i) system-level measures to avoid, minimize, or 
            mitigate impacts of proposed transportation investments on 
            environmental resources, including regional ecosystem and 
            water resources; and
                ``(ii) potential mitigation activities, locations, and 
            investments.
        ``(2) Planning analyses.--Planning analyses that may be adopted 
    pursuant to this section include studies with respect to--
            ``(A) travel demands;
            ``(B) regional development and growth;
            ``(C) local land use, growth management, and development;
            ``(D) population and employment;
            ``(E) natural and built environmental conditions;
            ``(F) environmental resources and environmentally sensitive 
        areas;
            ``(G) potential environmental effects, including the 
        identification of resources of concern and potential cumulative 
        effects on those resources, identified as a result of a 
        statewide or regional cumulative effects assessment; and
            ``(H) mitigation needs for a proposed action, or for 
        programmatic level mitigation, for potential effects that the 
        Federal lead agency determines are most effectively addressed 
        at a regional or national program level.
    ``(d) Conditions.--Adoption and use of a planning product under 
this section is subject to a determination by the Federal lead agency, 
with the concurrence of other participating agencies with relevant 
expertise and project sponsors as appropriate, and with an opportunity 
for public notice and comment and consideration of those comments by 
the Federal lead agency, that the following conditions have been met:
        ``(1) The planning product was developed through a planning 
    process conducted pursuant to applicable Federal law.
        ``(2) The planning product was developed by engaging in active 
    consultation with appropriate Federal and State resource agencies 
    and Indian tribes.
        ``(3) The planning process included broad multidisciplinary 
    consideration of systems-level or corridor-wide transportation 
    needs and potential effects, including effects on the human and 
    natural environment.
        ``(4) During the planning process, notice was provided through 
    publication or other means to Federal, State, local, and tribal 
    governments that might have an interest in the proposed project, 
    and to members of the general public, of the planning products that 
    the planning process might produce and that might be relied on 
    during any subsequent environmental review process, and such 
    entities have been provided an appropriate opportunity to 
    participate in the planning process leading to such planning 
    product.
        ``(5) After initiation of the environmental review process, but 
    prior to determining whether to rely on and use the planning 
    product, the lead Federal agency has made documentation relating to 
    the planning product available to Federal, State, local, and tribal 
    governments that may have an interest in the proposed action, and 
    to members of the general public, and has considered any resulting 
    comments.
        ``(6) There is no significant new information or new 
    circumstance that has a reasonable likelihood of affecting the 
    continued validity or appropriateness of the planning product.
        ``(7) The planning product has a rational basis and is based on 
    reliable and reasonably current data and reasonable and 
    scientifically acceptable methodologies.
        ``(8) The planning product is documented in sufficient detail 
    to support the decision or the results of the analysis and to meet 
    requirements for use of the information in the environmental review 
    process.
        ``(9) The planning product is appropriate for adoption and use 
    in the environmental review process for the project.
        ``(10) The planning product was approved not later than 5 years 
    prior to date on which the information is adopted pursuant to this 
    section.
    ``(e) Effect of Adoption.--Any planning product adopted by the 
Federal lead agency in accordance with this section may be incorporated 
directly into an environmental review process document or other 
environmental document and may be relied upon and used by other Federal 
agencies in carrying out reviews of the project.
    ``(f) Rules of Construction.--
        ``(1) In general.--This section shall not be construed to make 
    the environmental review process applicable to the transportation 
    planning process conducted under this title and chapter 53 of title 
    49.
        ``(2) Transportation planning activities.--Initiation of the 
    environmental review process as a part of, or concurrently with, 
    transportation planning activities does not subject transportation 
    plans and programs to the environmental review process.
        ``(3) Planning products.--This section shall not be construed 
    to affect the use of planning products in the environmental review 
    process pursuant to other authorities under any other provision of 
    law or to restrict the initiation of the environmental review 
    process during planning.''.
    (b) Technical and Conforming Amendment.--The analysis for chapter 1 
of title 23, United States Code (as amended by section 1115(b)), is 
amended by adding at end the following:

``Sec. 168. Integration of planning and environmental review.''.
SEC. 1311. DEVELOPMENT OF PROGRAMMATIC MITIGATION PLANS.
    (a) In General.--Chapter 1 of title 23, United States Code (as 
amended by section 1310(a)), is amended by adding at the end the 
following:
``Sec. 169. Development of programmatic mitigation plans
    ``(a) In General.--As part of the statewide or metropolitan 
transportation planning process, a State or metropolitan planning 
organization may develop 1 or more programmatic mitigation plans to 
address the potential environmental impacts of future transportation 
projects.
    ``(b) Scope.--
        ``(1) Scale.--A programmatic mitigation plan may be developed 
    on a regional, ecosystem, watershed, or statewide scale.
        ``(2) Resources.--The plan may encompass multiple environmental 
    resources within a defined geographic area or may focus on a 
    specific resource, such as aquatic resources, parkland, or wildlife 
    habitat.
        ``(3) Project impacts.--The plan may address impacts from all 
    projects in a defined geographic area or may focus on a specific 
    type of project.
        ``(4) Consultation.--The scope of the plan shall be determined 
    by the State or metropolitan planning organization, as appropriate, 
    in consultation with the agency or agencies with jurisdiction over 
    the resources being addressed in the mitigation plan.
    ``(c) Contents.--A programmatic mitigation plan may include--
        ``(1) an assessment of the condition of environmental resources 
    in the geographic area covered by the plan, including an assessment 
    of recent trends and any potential threats to those resources;
        ``(2) an assessment of potential opportunities to improve the 
    overall quality of environmental resources in the geographic area 
    covered by the plan, through strategic mitigation for impacts of 
    transportation projects;
        ``(3) standard measures for mitigating certain types of 
    impacts;
        ``(4) parameters for determining appropriate mitigation for 
    certain types of impacts, such as mitigation ratios or criteria for 
    determining appropriate mitigation sites;
        ``(5) adaptive management procedures, such as protocols that 
    involve monitoring predicted impacts over time and adjusting 
    mitigation measures in response to information gathered through the 
    monitoring; and
        ``(6) acknowledgment of specific statutory or regulatory 
    requirements that must be satisfied when determining appropriate 
    mitigation for certain types of resources.
    ``(d) Process.--Before adopting a programmatic mitigation plan, a 
State or metropolitan planning organization shall--
        ``(1) consult with each agency with jurisdiction over the 
    environmental resources considered in the programmatic mitigation 
    plan;
        ``(2) make a draft of the plan available for review and comment 
    by applicable environmental resource agencies and the public;
        ``(3) consider any comments received from such agencies and the 
    public on the draft plan; and
        ``(4) address such comments in the final plan.
    ``(e) Integration With Other Plans.--A programmatic mitigation plan 
may be integrated with other plans, including watershed plans, 
ecosystem plans, species recovery plans, growth management plans, and 
land use plans.
    ``(f) Consideration in Project Development and Permitting.--If a 
programmatic mitigation plan has been developed pursuant to this 
section, any Federal agency responsible for environmental reviews, 
permits, or approvals for a transportation project may use the 
recommendations in a programmatic mitigation plan when carrying out the 
responsibilities under the National Environmental Policy Act of 1969 
(42 U.S.C. 4321 et seq.).
    ``(g) Preservation of Existing Authorities.--Nothing in this 
section limits the use of programmatic approaches to reviews under the 
National Environmental Policy Act of 1969 (42 U.S.C. 4321 et seq.).''.
    (b) Technical and Conforming Amendment.--The analysis for chapter 1 
of title 23, United States Code (as amended by section 1309(b)), is 
amended by adding at the end the following:

``Sec. 169. Development of programmatic mitigation plans.''.
SEC. 1312. STATE ASSUMPTION OF RESPONSIBILITY FOR CATEGORICAL 
EXCLUSIONS.
    Section 326 of title 23, United States Code, is amended--
        (1) in subsection (a) by adding at the end the following:
        ``(4) Preservation of flexibility.--The Secretary shall not 
    require a State, as a condition of assuming responsibility under 
    this section, to forego project delivery methods that are otherwise 
    permissible for highway projects.'';
        (2) by striking subsection (d) and inserting the following:
    ``(d) Termination.--
        ``(1) Termination by the secretary.--The Secretary may 
    terminate any assumption of responsibility under a memorandum of 
    understanding on a determination that the State is not adequately 
    carrying out the responsibilities assigned to the State.
        ``(2) Termination by the state.--The State may terminate the 
    participation of the State in the program at any time by providing 
    to the Secretary a notice not later than the date that is 90 days 
    before the date of termination, and subject to such terms and 
    conditions as the Secretary may provide.''; and
        (3) by adding at the end the following:
    ``(f) Legal Fees.--A State assuming the responsibilities of the 
Secretary under this section for a specific project may use funds 
apportioned to the State under section 104(b)(2) for attorney's fees 
directly attributable to eligible activities associated with the 
project.''.
SEC. 1313. SURFACE TRANSPORTATION PROJECT DELIVERY PROGRAM.
    (a) Program Name.--Section 327 of title 23, United States Code, is 
amended--
        (1) in the section heading by striking ``pilot''; and
        (2) in subsection (a)(1) by striking ``pilot''.
    (b) Assumption of Responsibility.--Section 327(a)(2) of title 23, 
United States Code, is amended--
        (1) in subparagraph (B)--
            (A) in clause (i) by striking ``but''; and
            (B) by striking clause (ii) and inserting the following:
                ``(ii) at the request of the State, the Secretary may 
            also assign to the State, and the State may assume, the 
            responsibilities of the Secretary with respect to 1 or more 
            railroad, public transportation, or multimodal projects 
            within the State under the National Environmental Policy 
            Act of 1969 (42 U.S.C. 4321 et seq.);
                ``(iii) in a State that has assumed the 
            responsibilities of the Secretary under clause (ii), a 
            recipient of assistance under chapter 53 of title 49 may 
            request that the Secretary maintain the responsibilities of 
            the Secretary with respect to 1 or more public 
            transportation projects within the State under the National 
            Environmental Policy Act of 1969 (42 U.S.C. 13 4321 et 
            seq.); but
                ``(iv) the Secretary may not assign--

                    ``(I) any responsibility imposed on the Secretary 
                by section 134 or 135 or section 5303 or 5304 of title 
                49; or
                    ``(II) responsibility for any conformity 
                determination required under section 176 of the Clean 
                Air Act (42 U.S.C. 7506).''; and

        (2) by adding at the end the following:
            ``(F) Preservation of flexibility.--The Secretary may not 
        require a State, as a condition of participation in the 
        program, to forego project delivery methods that are otherwise 
        permissible for projects.
            ``(G) Legal fees.--A State assuming the responsibilities of 
        the Secretary under this section for a specific project may use 
        funds apportioned to the State under section 104(b)(2) for 
        attorneys' fees directly attributable to eligible activities 
        associated with the project.''.
    (c) State Participation.--Section 327(b) of title 23, United States 
Code, is amended--
        (1) by striking paragraph (1) and inserting the following:
        ``(1) Participating states.--All States are eligible to 
    participate in the program.''; and
        (2) in paragraph (2) by striking ``date of enactment of this 
    section, the Secretary shall promulgate'' and inserting ``date on 
    which amendments to this section by the MAP-21 take effect, the 
    Secretary shall amend, as appropriate,''.
    (d) Written Agreement.--Section 327(c) of title 23, United States 
Code, is amended--
        (1) in paragraph (3)(D) by striking the period at the end and 
    inserting a semicolon; and
        (2) by adding at the end the following:
        ``(4) require the State to provide to the Secretary any 
    information the Secretary considers necessary to ensure that the 
    State is adequately carrying out the responsibilities assigned to 
    the State;
        ``(5) have a term of not more than 5 years; and
        ``(6) be renewable.''.
    (e) Conforming Amendment.--Section 327(e) of title 23, United 
States Code, is amended by striking ``subsection (i)'' and inserting 
``subsection (j)''.
    (f) Audits.--Section 327(g)(1)(B) of title 23, United States Code, 
is amended by striking ``subsequent year'' and inserting ``of the third 
and fourth years''.
    (g) Monitoring.--Section 327 of title 23, United States Code, is 
amended--
        (1) by redesignating subsections (h) and (i) as subsections (i) 
    and (j), respectively; and
        (2) by inserting after subsection (g) the following:
    ``(h) Monitoring.--After the fourth year of the participation of a 
State in the program, the Secretary shall monitor compliance by the 
State with the written agreement, including the provision by the State 
of financial resources to carry out the written agreement.''.
    (h) Termination.--Section 327(j) of title 23, United States Code 
(as so redesignated), is amended to read as follows:
    ``(j) Termination.--
        ``(1) Termination by the secretary.--The Secretary may 
    terminate the participation of any State in the program if--
            ``(A) the Secretary determines that the State is not 
        adequately carrying out the responsibilities assigned to the 
        State;
            ``(B) the Secretary provides to the State--
                ``(i) notification of the determination of 
            noncompliance; and
                ``(ii) a period of at least 30 days during which to 
            take such corrective action as the Secretary determines is 
            necessary to comply with the applicable agreement; and
            ``(C) the State, after the notification and period provided 
        under subparagraph (B), fails to take satisfactory corrective 
        action, as determined by the Secretary.
        ``(2) Termination by the state.--The State may terminate the 
    participation of the State in the program at any time by providing 
    to the Secretary a notice by not later than the date that is 90 
    days before the date of termination, and subject to such terms and 
    conditions as the Secretary may provide.''.
    (i) Clerical Amendment.--The item relating to section 327 in the 
analysis of title 23, United States Code, is amended to read as 
follows:

``327. Surface transportation project delivery program.''.
SEC. 1314. APPLICATION OF CATEGORICAL EXCLUSIONS FOR MULTIMODAL 
PROJECTS.
    (a) In General.--Section 304 of title 49, United States Code, is 
amended to read as follows:
``Sec. 304. Application of categorical exclusions for multimodal 
   projects
    ``(a) Definitions.--In this section, the following definitions 
apply:
        ``(1) Cooperating authority.--The term `cooperating authority' 
    means a Department of Transportation operating authority that is 
    not the lead authority with respect to a project.
        ``(2) Lead authority.--The term `lead authority' means a 
    Department of Transportation operating administration or 
    secretarial office that--
            ``(A) is the lead authority over a proposed multimodal 
        project; and
            ``(B) has determined that the components of the project 
        that fall under the modal expertise of the lead authority--
                ``(i) satisfy the conditions for a categorical 
            exclusion under implementing regulations or procedures of 
            the lead authority under the National Environmental Policy 
            Act of 1969 (42 U.S.C. 4321 et seq.); and
                ``(ii) do not require the preparation of an 
            environmental assessment or environmental impact statement 
            under that Act.
        ``(3) Multimodal project.--The term `multimodal project' has 
    the meaning given the term in section 139(a) of title 23.
    ``(b) Exercise of Authorities.--The authorities granted in this 
section may be exercised for a multimodal project, class of projects, 
or program of projects that are carried out under this title.
    ``(c) Application of Categorical Exclusions for Multimodal 
Projects.--In considering the environmental impacts of a proposed 
multimodal project, a lead authority may apply a categorical exclusion 
designated under the implementing regulations or procedures of a 
cooperating authority for other components of the project, subject to 
the conditions that--
        ``(1) the multimodal project is funded under 1 grant agreement 
    administered by the lead authority;
        ``(2) the multimodal project has components that require the 
    expertise of a cooperating authority to assess the environmental 
    impacts of the components;
        ``(3) the component of the project to be covered by the 
    categorical exclusion of the cooperating authority has independent 
    utility;
        ``(4) the cooperating authority, in consultation with the lead 
    authority--
            ``(A) follows implementing regulations or procedures under 
        the National Environmental Policy Act of 1969 (42 U.S.C. 4321 
        et seq.); and
            ``(B) determines that a categorical exclusion under that 
        Act applies to the components; and
        ``(5) the lead authority has determined that--
            ``(A) the project, using the categorical exclusions of the 
        lead authority and each applicable cooperating authority, does 
        not individually or cumulatively have a significant impact on 
        the environment; and
            ``(B) extraordinary circumstances do not exist that merit 
        additional analysis and documentation in an environmental 
        impact statement or environmental assessment required under the 
        National Environmental Policy Act of 1969 (42 U.S.C. 4321 et 
        seq.).
    ``(d) Modal Cooperation.--
        ``(1) In general.--A cooperating authority shall provide modal 
    expertise to the lead authority on such aspects of the multimodal 
    project in which the cooperating authority has expertise.
        ``(2) Use of categorical exclusion.--In a case described in 
    paragraph (1), the 1 or more categorical exclusions of a 
    cooperating authority may be applied by the lead authority once the 
    cooperating authority reviews the project on behalf of the lead 
    authority and determines the project satisfies the conditions for a 
    categorical exclusion under the implementing regulations or 
    procedures of the cooperating authority under the National 
    Environmental Policy Act of 1969 (42 U.S.C. 4321 et seq.) and this 
    section.''.
    (b) Conforming Amendment.--The item relating to section 304 in the 
analysis for title 49, United States Code, is amended to read as 
follows:

``304. Application of categorical exclusions for multimodal projects''.
SEC. 1315. CATEGORICAL EXCLUSIONS IN EMERGENCIES.
    (a) In General.--Not later than 30 days after the date of enactment 
of this Act, for the repair or reconstruction of any road, highway, or 
bridge that is in operation or under construction when damaged by an 
emergency declared by the Governor of the State and concurred in by the 
Secretary, or for a disaster or emergency declared by the President 
pursuant to the Robert T. Stafford Disaster Relief and Emergency 
Assistance Act (42 U.S.C. 5121 et seq.), the Secretary shall publish a 
notice of proposed rulemaking to treat any such repair or 
reconstruction activity as a class of action categorically excluded 
from the requirements relating to environmental assessments or 
environmental impact statements under section 1508.4 of title 40, Code 
of Federal Regulations, and section 771.117 of title 23, Code of 
Federal Regulations (as in effect on the date of enactment of this Act) 
if such repair or reconstruction activity is--
        (1) in the same location with the same capacity, dimensions, 
    and design as the original road, highway, or bridge as before the 
    declaration described in this section; and
        (2) commenced within a 2-year period beginning on the date of a 
    declaration described in this section.
    (b) Rulemaking.--
        (1) In general.--The Secretary shall ensure that the rulemaking 
    helps to conserve Federal resources and protects public safety and 
    health by providing for periodic evaluations to determine if 
    reasonable alternatives exist to roads, highways, or bridges that 
    repeatedly require repair and reconstruction activities.
        (2) Reasonable alternatives.--The reasonable alternatives 
    described in paragraph (1) include actions that could reduce the 
    need for Federal funds to be expended on such repair and 
    reconstruction activities, better protect public safety and health 
    and the environment, and meet transportation needs as described in 
    relevant and applicable Federal, State, local and tribal plans.
SEC. 1316. CATEGORICAL EXCLUSIONS FOR PROJECTS WITHIN THE RIGHT-OF-WAY.
    (a) In General.--The Secretary shall--
        (1) not later than 180 days after the date of enactment of this 
    Act, designate any project (as defined in section 101(a) of title 
    23, United States Code) within an existing operational right-of-way 
    as an action categorically excluded from the requirements relating 
    to environmental assessments or environmental impact statements 
    under section 1508.4 of title 40, Code of Federal Regulations, and 
    section 771.117(c) of title 23, Code of Federal Regulations; and
        (2) not later than 150 days after the date of enactment of this 
    Act, promulgate regulations to carry out paragraph (1).
    (b) Definition of an Operational Right-of-way.--In this section, 
the term ``operational right-of-way'' means all real property interests 
acquired for the construction, operation, or mitigation of a project 
(as defined in section 101(a) of title 23, United States Code), 
including the locations of the roadway, bridges, interchanges, 
culverts, drainage, clear zone, traffic control signage, landscaping, 
and any rest areas with direct access to a controlled access highway.
SEC. 1317. CATEGORICAL EXCLUSION FOR PROJECTS OF LIMITED FEDERAL 
ASSISTANCE.
    Not later than 180 days after the date of enactment of this Act, 
the Secretary shall--
        (1) designate as an action categorically excluded from the 
    requirements relating to environmental assessments or environmental 
    impact statements under section 1508.4 of title 40, Code of Federal 
    Regulations, and section 771.117(c) of title 23, Code of Federal 
    Regulations, any project--
            (A) that receives less than $5,000,000 of Federal funds; or
            (B) with a total estimated cost of not more than 
        $30,000,000 and Federal funds comprising less than 15 percent 
        of the total estimated project cost; and
        (2) not later than 150 days after the date of enactment of this 
    Act, promulgate regulations to carry out paragraph (1).
SEC. 1318. PROGRAMMATIC AGREEMENTS AND ADDITIONAL CATEGORICAL 
EXCLUSIONS.
    (a) In General.--Not later than 60 days after the date of enactment 
of this Act, the Secretary shall--
        (1) survey the use by the Department of categorical exclusions 
    in transportation projects since 2005;
        (2) publish a review of the survey that includes a description 
    of--
            (A) the types of actions categorically excluded; and
            (B) any requests previously received by the Secretary for 
        new categorical exclusions; and
        (3) solicit requests from State departments of transportation, 
    transit authorities, metropolitan planning organizations, or other 
    government agencies for new categorical exclusions.
    (b) New Categorical Exclusions.--Not later than 120 days after the 
date of enactment of this Act, the Secretary shall publish a notice of 
proposed rulemaking to propose new categorical exclusions received by 
the Secretary under subsection (a), to the extent that the categorical 
exclusions meet the criteria for a categorical exclusion under section 
1508.4 of title 40, Code of Federal Regulations, and section 771.117(a) 
of title 23, Code of Federal Regulations (as those regulations are in 
effect on the date of the notice).
    (c) Additional Actions.--The Secretary shall issue a proposed 
rulemaking to move the following types of actions from subsection (d) 
of section 771.117 of title 23, Code of Federal Regulations (as in 
effect on the date of enactment of this Act), to subsection (c) of that 
section, to the extent that such movement complies with the criteria 
for a categorical exclusion under section 1508.4 of title 40, Code of 
Federal Regulations (as in effect on the date of enactment of this 
Act):
        (1) Modernization of a highway by resurfacing, restoration, 
    rehabilitation, reconstruction, adding shoulders, or adding 
    auxiliary lanes (including parking, weaving, turning, and 
    climbing).
        (2) Highway safety or traffic operations improvement projects, 
    including the installation of ramp metering control devices and 
    lighting.
        (3) Bridge rehabilitation, reconstruction, or replacement or 
    the construction of grade separation to replace existing at-grade 
    railroad crossings.
    (d) Programmatic Agreements.--
        (1) In general.--The Secretary shall seek opportunities to 
    enter into programmatic agreements with the States that establish 
    efficient administrative procedures for carrying out environmental 
    and other required project reviews.
        (2) Inclusions.--Programmatic agreements authorized under 
    paragraph (1) may include agreements that allow a State to 
    determine on behalf of the Federal Highway Administration whether a 
    project is categorically excluded from the preparation of an 
    environmental assessment or environmental impact statement under 
    the National Environmental Policy Act of 1969 (42 U.S.C. 4321 et 
    seq.).
        (3) Determinations.--An agreement described in paragraph (2) 
    may include determinations by the Secretary of the types of 
    projects categorically excluded (consistent with section 1508.4 of 
    title 40, Code of Federal Regulations) in the State in addition to 
    the types listed in subsections (c) and (d) of section 771.117 of 
    title 23, Code of Federal Regulations (as in effect on the date of 
    enactment of this Act).
SEC. 1319. ACCELERATED DECISIONMAKING IN ENVIRONMENTAL REVIEWS.
    (a) In General.--In preparing a final environmental impact 
statement under the National Environmental Policy Act of 1969 (42 
U.S.C. 4321 et seq.), if the lead agency modifies the statement in 
response to comments that are minor and are confined to factual 
corrections or explanations of why the comments do not warrant 
additional agency response, the lead agency may write on errata sheets 
attached to the statement instead of rewriting the draft statement, 
subject to the condition that the errata sheets--
        (1) cite the sources, authorities, or reasons that support the 
    position of the agency; and
        (2) if appropriate, indicate the circumstances that would 
    trigger agency reappraisal or further response.
    (b) Incorporation.--To the maximum extent practicable, the lead 
agency shall expeditiously develop a single document that consists of a 
final environmental impact statement and a record of decision, unless--
        (1) the final environmental impact statement makes substantial 
    changes to the proposed action that are relevant to environmental 
    or safety concerns; or
        (2) there are significant new circumstances or information 
    relevant to environmental concerns and that bear on the proposed 
    action or the impacts of the proposed action.
SEC. 1320. MEMORANDA OF AGENCY AGREEMENTS FOR EARLY COORDINATION.
    (a) In General.--It is the sense of Congress that--
        (1) the Secretary and other Federal agencies with relevant 
    jurisdiction in the environmental review process should cooperate 
    with each other and other agencies on environmental review and 
    project delivery activities at the earliest practicable time to 
    avoid delays and duplication of effort later in the process, head 
    off potential conflicts, and ensure that planning and project 
    development decisions reflect environmental values; and
        (2) such cooperation should include the development of policies 
    and the designation of staff that advise planning agencies or 
    project sponsors of studies or other information foreseeably 
    required for later Federal action and early consultation with 
    appropriate State and local agencies and Indian tribes.
    (b) Technical Assistance.--If requested at any time by a State or 
local planning agency, the Secretary and other Federal agencies with 
relevant jurisdiction in the environmental review process, shall, to 
the extent practicable and appropriate, as determined by the agencies, 
provide technical assistance to the State or local planning agency on 
accomplishing the early coordination activities described in subsection 
(d).
    (c) Memorandum of Agency Agreement.--If requested at any time by a 
State or local planning agency, the lead agency, in consultation with 
other Federal agencies with relevant jurisdiction in the environmental 
review process, may establish memoranda of agreement with the project 
sponsor, State, and local governments and other appropriate entities to 
accomplish the early coordination activities described in subsection 
(d).
    (d) Early Coordination Activities.--Early coordination activities 
shall include, to the maximum extent practicable, the following:
        (1) Technical assistance on identifying potential impacts and 
    mitigation issues in an integrated fashion.
        (2) The potential appropriateness of using planning products 
    and decisions in later environmental reviews.
        (3) The identification and elimination from detailed study in 
    the environmental review process of the issues that are not 
    significant or that have been covered by prior environmental 
    reviews.
        (4) The identification of other environmental review and 
    consultation requirements so that the lead and cooperating agencies 
    may prepare, as appropriate, other required analyses and studies 
    concurrently with planning activities.
        (5) The identification by agencies with jurisdiction over any 
    permits related to the project of any and all relevant information 
    that will reasonably be required for the project.
        (6) The reduction of duplication between requirements under the 
    National Environmental Policy Act of 1969 (42 U.S.C. 4321 et seq.) 
    and State and local planning and environmental review requirements, 
    unless the agencies are specifically barred from doing so by 
    applicable law.
        (7) Timelines for the completion of agency actions during the 
    planning and environmental review processes.
        (8) Other appropriate factors.
SEC. 1321. ENVIRONMENTAL PROCEDURES INITIATIVE.
    (a) Establishment.--For grant programs under which funds are 
distributed by formula by the Department, the Secretary shall establish 
an initiative to review and develop consistent procedures for 
environmental permitting and procurement requirements that apply to a 
project carried out under title 23, United States Code, or chapter 53 
of title 49, United States Code.
    (b) Report.--The Secretary shall publish the results of the 
initiative described in subsection (a) in an electronically accessible 
format.
SEC. 1322. REVIEW OF STATE ENVIRONMENTAL REVIEWS AND APPROVALS FOR THE 
PURPOSE OF ELIMINATING DUPLICATION OF ENVIRONMENTAL REVIEWS.
    For environmental reviews and approvals carried out on projects 
funded under title 23, United States Code, the Comptroller General of 
the United States shall--
        (1) review State laws and procedures for conducting 
    environmental reviews with regard to such projects and identify the 
    States that have environmental laws that provide environmental 
    protections and opportunities for public involvement that are 
    equivalent to those provided by Federal environmental laws;
        (2) determine the frequency and cost of environmental reviews 
    carried out at the Federal level that are duplicative of State 
    reviews that provide equivalent environmental protections and 
    opportunities for public involvement; and
        (3) not later than 2 years after the date of enactment of this 
    Act, submit to the Committee on Transportation and Infrastructure 
    of the House of Representatives and the Committee on Environment 
    and Public Works of the Senate a report that describes the results 
    of the review and determination made under this section.
SEC. 1323. REVIEW OF FEDERAL PROJECT AND PROGRAM DELIVERY.
    (a) Completion Time Assessments and Reports.--
        (1) In general.--For projects funded under title 23, United 
    States Code, the Secretary shall compare--
            (A)(i) the completion times of categorical exclusions, 
        environmental assessments, and environmental impact statements 
        initiated after calendar year 2005; to
            (ii) the completion times of categorical exclusions, 
        environmental assessments, and environmental impact statements 
        initiated during a period prior to calendar year 2005; and
            (B)(i) the completion times of categorical exclusions, 
        environmental assessments, and environmental impact statements 
        initiated during the period beginning on January 1, 2005, and 
        ending on the date of enactment of this Act; to
            (ii) the completion times of categorical exclusions, 
        environmental assessments, and environmental impact statements 
        initiated after the date of enactment of this Act.
        (2) Report.--The Secretary shall submit to the Committee on 
    Transportation and Infrastructure of the House of Representatives 
    and the Committee on Environment and Public Works of the Senate--
            (A) not later than 1 year after the date of enactment of 
        this Act, a report that--
                (i) describes the results of the review conducted under 
            paragraph (1)(A); and
                (ii) identifies any change in the timing for 
            completions, including the reasons for any such change and 
            the reasons for delays in excess of 5 years; and
            (B) not later than 5 years after the date of enactment of 
        this Act, a report that--
                (i) describes the results of the review conducted under 
            paragraph (1)(B); and
                (ii) identifies any change in the timing for 
            completions, including the reasons for any such change and 
            the reasons for delays in excess of 5 years.
    (b) Additional Report.--Not later than 2 years after the date of 
enactment of this Act, the Secretary shall submit to the Committee on 
Transportation and Infrastructure of the House of Representatives and 
the Committee on Environment and Public Works of the Senate a report on 
the types and justification for the additional categorical exclusions 
granted under the authority provided under sections 1316 and 1317.
    (c) GAO Report.--The Comptroller General of the United States 
shall--
        (1) assess the reforms carried out under this subtitle 
    (including the amendments made by this subtitle); and
        (2) not later than 5 years after the date of enactment of this 
    Act, submit to the Committee on Transportation and Infrastructure 
    of the House of Representatives and the Committee on Environment 
    and Public Works of the Senate a report that describes the results 
    of the assessment.
    (d) Inspector General Report.--The Inspector General of the 
Department of Transportation shall--
        (1) assess the reforms carried out under this subtitle 
    (including the amendments made by this subtitle); and
        (2) submit to the Committee on Transportation and 
    Infrastructure of the House of Representatives and the Committee on 
    Environment and Public Works of the Senate--
            (A) not later than 2 years after the date of enactment of 
        this Act, an initial report of the findings of the Inspector 
        General; and
            (B) not later than 4 years after the date of enactment of 
        this Act, a final report of the findings.

                       Subtitle D--Highway Safety

SEC. 1401. JASON'S LAW.
    (a) In General.--It is the sense of Congress that it is a national 
priority to address projects under this section for the shortage of 
long-term parking for commercial motor vehicles on the National Highway 
System to improve the safety of motorized and nonmotorized users and 
for commercial motor vehicle operators.
    (b) Eligible Projects.--Eligible projects under this section are 
those that--
        (1) serve the National Highway System; and
        (2) may include the following:
            (A) Constructing safety rest areas (as defined in section 
        120(c) of title 23, United States Code) that include parking 
        for commercial motor vehicles.
            (B) Constructing commercial motor vehicle parking 
        facilities adjacent to commercial truck stops and travel 
        plazas.
            (C) Opening existing facilities to commercial motor vehicle 
        parking, including inspection and weigh stations and park-and-
        ride facilities.
            (D) Promoting the availability of publicly or privately 
        provided commercial motor vehicle parking on the National 
        Highway System using intelligent transportation systems and 
        other means.
            (E) Constructing turnouts along the National Highway System 
        for commercial motor vehicles.
            (F) Making capital improvements to public commercial motor 
        vehicle parking facilities currently closed on a seasonal basis 
        to allow the facilities to remain open year-round.
            (G) Improving the geometric design of interchanges on the 
        National Highway System to improve access to commercial motor 
        vehicle parking facilities.
    (c) Survey and Comparative Assessment.--
        (1) In general.--Not later than 18 months after the date of 
    enactment of this Act, the Secretary, in consultation with relevant 
    State motor carrier safety personnel, shall conduct a survey of 
    each State--
            (A) to evaluate the capability of the State to provide 
        adequate parking and rest facilities for commercial motor 
        vehicles engaged in interstate transportation;
            (B) to assess the volume of commercial motor vehicle 
        traffic in the State; and
            (C) to develop a system of metrics to measure the adequacy 
        of commercial motor vehicle parking facilities in the State.
        (2) Results.--The results of the survey under paragraph (1) 
    shall be made available to the public on the website of the 
    Department of Transportation.
        (3) Periodic updates.--The Secretary shall periodically update 
    the survey under this subsection.
    (d) Electric Vehicle and Natural Gas Vehicle Infrastructure.--
        (1) In general.--Except as provided in paragraph (2), a State 
    may establish electric vehicle charging stations or natural gas 
    vehicle refueling stations for the use of battery-powered or 
    natural gas-fueled trucks or other motor vehicles at any parking 
    facility funded or authorized under this Act or title 23, United 
    States Code.
        (2) Exception.--Electric vehicle battery charging stations or 
    natural gas vehicle refueling stations may not be established or 
    supported under paragraph (1) if commercial establishments serving 
    motor vehicle users are prohibited by section 111 of title 23, 
    United States Code.
        (3) Funds.--Charging or refueling stations described in 
    paragraph (1) shall be eligible for the same funds as are available 
    for the parking facilities in which the stations are located.
    (e) Treatment of Projects.--Notwithstanding any other provision of 
law, projects funded through the authority provided under this section 
shall be treated as projects on a Federal-aid highway under chapter 1 
of title 23, United States Code.
SEC. 1402. OPEN CONTAINER REQUIREMENTS.
    Section 154(c) of title 23, United States Code, is amended--
        (1) by striking paragraph (2) and inserting the following:
        ``(2) Fiscal year 2012 and thereafter.--
            ``(A) Reservation of funds.--On October 1, 2011, and each 
        October 1 thereafter, if a State has not enacted or is not 
        enforcing an open container law described in subsection (b), 
        the Secretary shall reserve an amount equal to 2.5 percent of 
        the funds to be apportioned to the State on that date under 
        each of paragraphs (1) and (2) of section 104(b) until the 
        State certifies to the Secretary the means by which the State 
        will use those reserved funds in accordance with subparagraphs 
        (A) and (B) of paragraph (1) and paragraph (3).
            ``(B) Transfer of funds.--As soon as practicable after the 
        date of receipt of a certification from a State under 
        subparagraph (A), the Secretary shall--
                ``(i) transfer the reserved funds identified by the 
            State for use as described in subparagraphs (A) and (B) of 
            paragraph (1) to the apportionment of the State under 
            section 402; and
                ``(ii) release the reserved funds identified by the 
            State as described in paragraph (3).'';
        (2) by striking paragraph (3) and inserting the following:
        ``(3) Use for highway safety improvement program.--
            ``(A) In general.--A State may elect to use all or a 
        portion of the funds transferred under paragraph (2) for 
        activities eligible under section 148.
            ``(B) State departments of transportation.--If the State 
        makes an election under subparagraph (A), the funds shall be 
        transferred to the department of transportation of the State, 
        which shall be responsible for the administration of the 
        funds.''; and
        (3) by striking paragraph (5) and inserting the following:
        ``(5) Derivation of amount to be transferred.--The amount to be 
    transferred under paragraph (2) may be derived from the following:
            ``(A) The apportionment of the State under section 
        104(b)(l).
            ``(B) The apportionment of the State under section 
        104(b)(2).''.
SEC. 1403. MINIMUM PENALTIES FOR REPEAT OFFENDERS FOR DRIVING WHILE 
INTOXICATED OR DRIVING UNDER THE INFLUENCE.
    (a) Definitions.--Section 164(a) of title 23, United States Code, 
is amended--
        (1) by striking paragraph (3);
        (2) by redesignating paragraphs (4) and (5) as paragraphs (3) 
    and (4), respectively; and
        (3) in paragraph (4) (as so redesignated) by striking 
    subparagraph (A) and inserting the following:
            ``(A) receive--
                ``(i) a suspension of all driving privileges for not 
            less than 1 year; or
                ``(ii) a suspension of unlimited driving privileges for 
            1 year, allowing for the reinstatement of limited driving 
            privileges subject to restrictions and limited exemptions 
            as established by State law, if an ignition interlock 
            device is installed for not less than 1 year on each of the 
            motor vehicles owned or operated, or both, by the 
            individual;''.
    (b) Transfer of Funds.--Section 164(b) of title 23, United States 
Code, is amended--
        (1) by striking paragraph (2) and inserting the following:
        ``(2) Fiscal year 2012 and thereafter.--
            ``(A) Reservation of funds.--On October 1, 2011, and each 
        October 1 thereafter, if a State has not enacted or is not 
        enforcing a repeat intoxicated driver law, the Secretary shall 
        reserve an amount equal to 2.5 percent of the funds to be 
        apportioned to the State on that date under each of paragraphs 
        (1) and (2) of section 104(b) until the State certifies to the 
        Secretary the means by which the States will use those reserved 
        funds among the uses authorized under subparagraphs (A) and (B) 
        of paragraph (1), and paragraph (3).
            ``(B) Transfer of funds.--As soon as practicable after the 
        date of receipt of a certification from a State under 
        subparagraph (A), the Secretary shall--
                ``(i) transfer the reserved funds identified by the 
            State for use as described in subparagraphs (A) and (B) of 
            paragraph (1) to the apportionment of the State under 
            section 402; and
                ``(ii) release the reserved funds identified by the 
            State as described in paragraph (3).'';
        (2) by striking paragraph (3) and inserting the following:
        ``(3) Use for highway safety improvement program.--
            ``(A) In general.--A State may elect to use all or a 
        portion of the funds transferred under paragraph (2) for 
        activities eligible under section 148.
            ``(B) State departments of transportation.--If the State 
        makes an election under subparagraph (A), the funds shall be 
        transferred to the department of transportation of the State, 
        which shall be responsible for the administration of the 
        funds.''; and
        (3) by striking paragraph (5) and inserting the following:
        ``(5) Derivation of amount to be transferred.--The amount to be 
    transferred under paragraph (2) may be derived from the following:
            ``(A) The apportionment of the State under section 
        104(b)(1).
            ``(B) The apportionment of the State under section 
        104(b)(2).''.
SEC. 1404. ADJUSTMENTS TO PENALTY PROVISIONS.
    (a) Vehicle Weight Limitations.--Section 127(a)(1) of title 23, 
United States Code, is amended by striking ``No funds shall be 
apportioned in any fiscal year under section 104(b)(1) of this title to 
any State which'' and inserting ``The Secretary shall withhold 50 
percent of the apportionment of a State under section 104(b)(1) in any 
fiscal year in which the State''.
    (b) Control of Junkyards.--Section 136 of title 23, United States 
Code, is amended--
        (1) in subsection (b), in the first sentence--
            (A) by striking ``10 per centum'' and inserting ``7 
        percent''; and
            (B) by striking ``section 104 of this title'' and inserting 
        ``paragraphs (1) through (5) of section 104(b)''; and
        (2) by adding at the end the following:
    ``(n) Definitions.--For purposes of this section, the terms 
`primary system' and `Federal-aid primary system' mean any highway that 
is on the National Highway System, which includes the Interstate 
Highway System.''.
    (c) Enforcement of Vehicle Size and Weight Laws.--Section 141(b)(2) 
of title 23, United States Code, is amended--
        (1) by striking ``10 per centum'' and inserting ``7 percent''; 
    and
        (2) by striking ``section 104 of this title'' and inserting 
    ``paragraphs (1) through (5) of section 104(b)''.
    (d) Proof of Payment of the Heavy Vehicle Use Tax.--Section 141(c) 
of title 23, United States Code, is amended--
        (1) by striking ``section 104(b)(4)'' each place it appears and 
    inserting ``section 104(b)(1)''; and
        (2) in the first sentence by striking ``25 per centum'' and 
    inserting ``8 percent''.
    (e) Use of Safety Belts.--Section 153(h) of title 23, United States 
Code, is amended--
        (1) by striking paragraph (1);
        (2) by redesignating paragraph (2) as paragraph (1);
        (3) in paragraph (1) (as so redesignated)--
            (A) by striking the paragraph heading and inserting ``Prior 
        to fiscal year 2012''; and
            (B) by inserting ``and before October 1, 2011,'' after 
        ``September 30, 1994,''; and
        (4) by inserting after paragraph (1) (as so redesignated) the 
    following:
        ``(2) Fiscal year 2012 and thereafter.--If, at any time in a 
    fiscal year beginning after September 30, 2011, a State does not 
    have in effect a law described in subsection (a)(2), the Secretary 
    shall transfer an amount equal to 2 percent of the funds 
    apportioned to the State for the succeeding fiscal year under each 
    of paragraphs (1) through (3) of section 104(b) to the 
    apportionment of the State under section 402.''.
    (f) National Minimum Drinking Age.--Section 158(a)(1) of title 23, 
United States Code, is amended--
        (1) by striking ``The Secretary'' and inserting the following:
            ``(A) Fiscal years before 2012.--The Secretary''; and
        (2) by adding at the end the following:
            ``(B) Fiscal year 2012 and thereafter.--For fiscal year 
        2012 and each fiscal year thereafter, the amount to be withheld 
        under this section shall be an amount equal to 8 percent of the 
        amount apportioned to the noncompliant State, as described in 
        subparagraph (A), under paragraphs (1) and (2) of section 
        104(b).''.
    (g) Drug Offenders.--Section 159 of title 23, United States Code, 
is amended--
        (1) in subsection (a)--
            (A) by striking paragraph (1);
            (B) by redesignating paragraph (2) as paragraph (1);
            (C) in paragraph (1) (as so redesignated) by striking 
        ``(including any amounts withheld under paragraph (1))''; and
            (D) by inserting after paragraph (1) (as so redesignated) 
        the following:
        ``(2) Fiscal year 2012 and thereafter.--The Secretary shall 
    withhold an amount equal to 8 percent of the amount required to be 
    apportioned to any State under each of paragraphs (1) and (2) of 
    section 104(b) on the first day of each fiscal year beginning after 
    September 30, 2011, if the State fails to meet the requirements of 
    paragraph (3) on the first day of the fiscal year.''; and
        (2) by striking subsection (b) and inserting the following:
    ``(b) Effect of Noncompliance.--No funds withheld under this 
section from apportionments to any State shall be available for 
apportionment to that State.''.
    (h) Zero Tolerance Blood Alcohol Concentration for Minors.--Section 
161(a) of title 23, United States Code, is amended--
        (1) by striking paragraph (1);
        (2) by redesignating paragraph (2) as paragraph (1);
        (3) in paragraph (1) (as so redesignated)--
            (A) by striking the paragraph heading and inserting ``Prior 
        to fiscal year 2012''; and
            (B) by inserting ``through fiscal year 2011'' after ``each 
        fiscal year thereafter''; and
        (4) by inserting after paragraph (1) (as so redesignated) the 
    following:
        ``(2) Fiscal year 2012 and thereafter.--The Secretary shall 
    withhold an amount equal to 8 percent of the amount required to be 
    apportioned to any State under each of paragraphs (1) and (2) of 
    section 104(b) on October 1, 2011, and on October 1 of each fiscal 
    year thereafter, if the State does not meet the requirement of 
    paragraph (3) on that date.''.
    (i) Operation of Motor Vehicles by Intoxicated Persons.--Section 
163(e) of title 23, United States Code, is amended by striking 
paragraphs (1) and (2) and inserting the following:
        ``(1) Fiscal years 2007 through 2011.--On October 1, 2006, and 
    October 1 of each fiscal year thereafter through fiscal year 2011, 
    if a State has not enacted or is not enforcing a law described in 
    subsection (a), the Secretary shall withhold an amount equal to 8 
    percent of the amounts to be apportioned to the State on that date 
    under each of paragraphs (1), (3), and (4) of section 104(b).
        ``(2) Fiscal year 2012 and thereafter.--On October 1, 2011, and 
    October 1 of each fiscal year thereafter, if a State has not 
    enacted or is not enforcing a law described in subsection (a), the 
    Secretary shall withhold an amount equal to 6 percent of the 
    amounts to be apportioned to the State on that date under each of 
    paragraphs (1) and (2) of section 104(b).''.
    (j) Commercial Driver's License.--Section 31314 of title 49, United 
States Code, is amended--
        (1) by redesignating subsection (c) as subsection (d); and
        (2) by inserting after subsection (b) the following:
    ``(c) Penalties Imposed in Fiscal Year 2012 and Thereafter.--
Effective beginning on October 1, 2011--
        ``(1) the penalty for the first instance of noncompliance by a 
    State under this section shall be not more than an amount equal to 
    4 percent of funds required to be apportioned to the noncompliant 
    State under paragraphs (1) and (2) of section 104(b) of title 23; 
    and
        ``(2) the penalty for subsequent instances of noncompliance 
    shall be not more than an amount equal to 8 percent of funds 
    required to be apportioned to the noncompliant State under 
    paragraphs (1) and (2) of section 104(b) of title 23.''.
SEC. 1405. HIGHWAY WORKER SAFETY.
    Not later than 60 days after the date of enactment of this Act, the 
Secretary shall modify section 630.1108(a) of title 23, Code of Federal 
Regulations (as in effect on the date of enactment of this Act), to 
ensure that--
        (1) at a minimum, positive protective measures are used to 
    separate workers on highway construction projects from motorized 
    traffic in all work zones conducted under traffic in areas that 
    offer workers no means of escape (such as tunnels and bridges), 
    unless an engineering study determines otherwise;
        (2) temporary longitudinal traffic barriers are used to protect 
    workers on highway construction projects in long-duration 
    stationary work zones when the project design speed is anticipated 
    to be high and the nature of the work requires workers to be within 
    1 lane-width from the edge of a live travel lane, unless--
            (A) an analysis by the project sponsor determines 
        otherwise; or
            (B) the project is outside of an urbanized area and the 
        annual average daily traffic load of the applicable road is 
        less than 100 vehicles per hour; and
        (3) when positive protective devices are necessary for highway 
    construction projects, those devices are paid for on a unit-pay 
    basis, unless doing so would create a conflict with innovative 
    contracting approaches, such as design-build or some performance-
    based contracts under which the contractor is paid to assume a 
    certain risk allocation and payment is generally made on a lump-sum 
    basis.

                       Subtitle E--Miscellaneous

SEC. 1501. REAL-TIME RIDESHARING.
    Paragraph (3) of section 101(a) of title 23, United States Code (as 
redesignated by section 1103(a)(2)), is amended by striking ``and 
designating existing facilities for use for preferential parking for 
carpools'' and inserting ``designating existing facilities for use for 
preferential parking for carpools, and real-time ridesharing projects, 
such as projects where drivers, using an electronic transfer of funds, 
recover costs directly associated with the trip provided through the 
use of location technology to quantify those direct costs, subject to 
the condition that the cost recovered does not exceed the cost of the 
trip provided''.
SEC. 1502. PROGRAM EFFICIENCIES.
    The first sentence of section 102(b) of title 23, United States 
Code, is amended by striking ``made available for such engineering'' 
and inserting ``reimbursed for the preliminary engineering''.
SEC. 1503. PROJECT APPROVAL AND OVERSIGHT.
    (a) In General.--Section 106 of title 23, United States Code, is 
amended--
        (1) in subsection (a)(2) by inserting ``recipient'' before 
    ``formalizing'';
        (2) in subsection (c)--
            (A) in paragraph (1)--
                (i) in the heading, by striking ``Non-interstate'';
                (ii) by striking ``but not on the Interstate System''; 
            and inserting ``, including projects on the Interstate 
            System''; and
                (iii) by striking ``of projects'' and all that follows 
            through the period at the end and inserting ``with respect 
            to the projects unless the Secretary determines that the 
            assumption is not appropriate.''; and
            (B) by striking paragraph (4) and inserting the following:
        ``(4) Limitation on interstate projects.--
            ``(A) In general.--The Secretary shall not assign any 
        responsibilities to a State for projects the Secretary 
        determines to be in a high risk category, as defined under 
        subparagraph (B).
            ``(B) High risk categories.--The Secretary may define the 
        high risk categories under this subparagraph on a national 
        basis, a State-by-State basis, or a national and State-by-State 
        basis, as determined to be appropriate by the Secretary.'';
        (3) in subsection (e)--
            (A) in paragraph (1)(A)--
                (i) in the matter preceding clause (i)--

                    (I) by striking ``concept'' and inserting 
                ``planning''; and
                    (II) by striking ``multidisciplined'' and inserting 
                ``multidisciplinary''; and

                (ii) by striking clause (i) and inserting the 
            following:
                ``(i) providing the needed functions safely, reliably, 
            and at the lowest overall lifecycle cost;'';
            (B) in paragraph (2)--
                (i) in the matter preceding subparagraph (A) by 
            striking ``or other cost-reduction analysis'';
                (ii) in subparagraph (A)--

                    (I) by striking ``Federal-aid system'' and 
                inserting ``National Highway System receiving Federal 
                assistance''; and
                    (II) by striking ``$25,000,000'' and inserting 
                ``$50,000,000''; and

                (iii) in subparagraph (B)--

                    (I) by inserting ``on the National Highway System 
                receiving Federal assistance'' after ``a bridge 
                project''; and
                    (II) by striking ``$20,000,000'' and inserting 
                ``$40,000,000''; and

            (C) by striking paragraph (4) and inserting the following:
        ``(4) Requirements.--
            ``(A) Value engineering program.--The State shall develop 
        and carry out a value engineering program that--
                ``(i) establishes and documents value engineering 
            program policies and procedures;
                ``(ii) ensures that the required value engineering 
            analysis is conducted before completing the final design of 
            a project;
                ``(iii) ensures that the value engineering analysis 
            that is conducted, and the recommendations developed and 
            implemented for each project, are documented in a final 
            value engineering report; and
                ``(iv) monitors, evaluates, and annually submits to the 
            Secretary a report that describes the results of the value 
            analyses that are conducted and the recommendations 
            implemented for each of the projects described in paragraph 
            (2) that are completed in the State.
            ``(B) Bridge projects.--The value engineering analysis for 
        a bridge project under paragraph (2) shall--
                ``(i) include bridge superstructure and substructure 
            requirements based on construction material; and
                ``(ii) be evaluated by the State--

                    ``(I) on engineering and economic bases, taking 
                into consideration acceptable designs for bridges; and
                    ``(II) using an analysis of lifecycle costs and 
                duration of project construction.

        ``(5) Design-build projects.--A requirement to provide a value 
    engineering analysis under this subsection shall not apply to a 
    project delivered using the design-build method of construction.'';
        (4) in subsection (h)--
            (A) in paragraph (1)(B) by inserting ``, including a 
        phasing plan when applicable'' after ``financial plan''; and
            (B) by striking paragraph (3) and inserting the following:
        ``(3) Financial plan.--A financial plan--
            ``(A) shall be based on detailed estimates of the cost to 
        complete the project;
            ``(B) shall provide for the annual submission of updates to 
        the Secretary that are based on reasonable assumptions, as 
        determined by the Secretary, of future increases in the cost to 
        complete the project;
            ``(C) may include a phasing plan that identifies fundable 
        incremental improvements or phases that will address the 
        purpose and the need of the project in the short term in the 
        event there are insufficient financial resources to complete 
        the entire project. If a phasing plan is adopted for a project 
        pursuant to this section, the project shall be deemed to 
        satisfy the fiscal constraint requirements in the statewide and 
        metropolitan planning requirements in sections 134 and 135; and
            ``(D) shall assess the appropriateness of a public-private 
        partnership to deliver the project.''; and
        (5) by adding at the end the following:
    ``(j) Use of Advanced Modeling Technologies.--
        ``(1) Definition of advanced modeling technology.--In this 
    subsection, the term `advanced modeling technology' means an 
    available or developing technology, including 3-dimensional digital 
    modeling, that can--
            ``(A) accelerate and improve the environmental review 
        process;
            ``(B) increase effective public participation;
            ``(C) enhance the detail and accuracy of project designs;
            ``(D) increase safety;
            ``(E) accelerate construction, and reduce construction 
        costs; or
            ``(F) otherwise expedite project delivery with respect to 
        transportation projects that receive Federal funding.
        ``(2) Program.--With respect to transportation projects that 
    receive Federal funding, the Secretary shall encourage the use of 
    advanced modeling technologies during environmental, planning, 
    financial management, design, simulation, and construction 
    processes of the projects.
        ``(3) Activities.--In carrying out paragraph (2), the Secretary 
    shall--
            ``(A) compile information relating to advanced modeling 
        technologies, including industry best practices with respect to 
        the use of the technologies;
            ``(B) disseminate to States information relating to 
        advanced modeling technologies, including industry best 
        practices with respect to the use of the technologies; and
            ``(C) promote the use of advanced modeling technologies.
        ``(4) Comprehensive plan.--The Secretary shall develop and 
    publish on the public website of the Department of Transportation a 
    detailed and comprehensive plan for the implementation of paragraph 
    (2).''.
    (b) Review of Oversight Program.--
        (1) In general.--The Secretary shall review the oversight 
    program established under section 106(g) of title 23, United States 
    Code, to determine the efficacy of the program in monitoring the 
    effective and efficient use of funds authorized to carry out title 
    23, United States Code.
        (2) Minimum requirements for review.--At a minimum, the review 
    under paragraph (1) shall assess the capability of the program to--
            (A) identify projects funded under title 23, United States 
        Code, for which there are cost or schedule overruns; and
            (B) evaluate the extent of such overruns.
        (3) Report to congress.--Not later than 2 years after the date 
    of enactment of this Act, the Secretary shall transmit to the 
    Committee on Transportation and Infrastructure of the House of 
    Representatives and the Committee on Environment and Public Works 
    of the Senate a report on the results of the review conducted under 
    paragraph (1), which shall include recommendations for legislative 
    changes to improve the oversight program established under section 
    106(g) of title 23, United States Code.
    (c) Transparency and Accountability.--
        (1) Data collection.--The Secretary shall compile and make 
    available on the public website of the Department of Transportation 
    the annual expenditure data for funds made available under title 23 
    and chapter 53 of title 49, United States Code.
        (2) Requirements.--In carrying out paragraph (1), the Secretary 
    shall ensure that the data made available on the public website of 
    the Department of Transportation--
            (A) is organized by project and State;
            (B) to the maximum extent practicable, is updated regularly 
        to reflect the current status of obligations, expenditures, and 
        Federal-aid projects; and
            (C) can be searched and downloaded by users of the website.
        (3) Report to congress.--The Secretary shall annually submit to 
    the Committee on Transportation and Infrastructure of the House of 
    Representatives and the Committee on Environment and Public Works 
    and the Committee on Banking, Housing, and Urban Affairs of the 
    Senate a report containing a summary of the data described in 
    paragraph (1) for the 1-year period ending on the date on which the 
    report is submitted.
SEC. 1504. STANDARDS.
    Section 109 of title 23, United States Code, is amended by adding 
at the end the following:
    ``(r) Pavement Markings.--The Secretary shall not approve any 
pavement markings project that includes the use of glass beads 
containing more than 200 parts per million of arsenic or lead, as 
determined in accordance with Environmental Protection Agency testing 
methods 3052, 6010B, or 6010C.''.
SEC. 1505. JUSTIFICATION REPORTS FOR ACCESS POINTS ON THE INTERSTATE 
SYSTEM.
    Section 111 of title 23, United States Code, is amended by adding 
at the end the following:
    ``(e) Justification Reports.--If the Secretary requests or requires 
a justification report for a project that would add a point of access 
to, or exit from, the Interstate System, the Secretary may permit a 
State transportation department to approve the report.''.
SEC. 1506. CONSTRUCTION.
    Section 114(b) of title 23, United States Code, is amended--
        (1) in subsection (b)--
            (A) by striking paragraph (1) and inserting the following:
        ``(1) Limitation on convict labor.--Convict labor shall not be 
    used in construction of Federal-aid highways or portions of 
    Federal-aid highways unless the labor is performed by convicts who 
    are on parole, supervised release, or probation.''; and
            (B) in paragraph (3) by inserting ``in existence during 
        that period'' after ``located on a Federal-aid system''; and
        (2) by adding at the end the following:
    ``(d) Veterans Employment.---
        ``(1) In general.--Subject to paragraph (2), a recipient of 
    Federal financial assistance under this chapter shall, to the 
    extent practicable, encourage contractors working on a highway 
    project funded using the assistance to make a best faith effort in 
    the hiring or referral of laborers on any project for the 
    construction of a highway to veterans (as defined in section 2108 
    of title 5) who have the requisite skills and abilities to perform 
    the construction work required under the contract.
        ``(2) Administration.--This subsection shall not--
            ``(A) apply to projects subject to section 140(d); or
            ``(B) be administered or enforced in any manner that would 
        require an employer to give a preference to any veteran over 
        any equally qualified applicant who is a member of any racial 
        or ethnic minority, a female, or any equally qualified former 
        employee.''.
SEC. 1507. MAINTENANCE.
    Section 116 of title 23, United States Code, is amended--
        (1) by redesignating subsections (a) through (d) as subsections 
    (b) through (e), respectively;
        (2) by inserting before subsection (b) (as so redesignated) the 
    following:
    ``(a) Definitions.--In this section, the following definitions 
apply:
        ``(1) Preventive maintenance.--The term `preventive 
    maintenance' includes pavement preservation programs and 
    activities.
        ``(2) Pavement preservation programs and activities.--The term 
    `pavement preservation programs and activities' means programs and 
    activities employing a network level, long-term strategy that 
    enhances pavement performance by using an integrated, cost-
    effective set of practices that extend pavement life, improve 
    safety, and meet road user expectations.'';
        (3) in subsection (b) (as so redesignated)--
            (A) in the first sentence, by inserting ``or other direct 
        recipient'' before ``to maintain''; and
            (B) by striking the second sentence;
        (4) by striking subsection (c) (as so redesignated) and 
    inserting the following:
    ``(c) Agreement.--In any State in which the State transportation 
department or other direct recipient is without legal authority to 
maintain a project described in subsection (b), the transportation 
department or direct recipient shall enter into a formal agreement with 
the appropriate officials of the county or municipality in which the 
project is located to provide for the maintenance of the project.''; 
and
        (5) in the first sentence of subsection (d) (as so 
    redesignated) by inserting ``or other direct recipient'' after 
    ``State transportation department''.
SEC. 1508. FEDERAL SHARE PAYABLE.
    Section 120 of title 23, United States Code, is amended--
        (1) in the first sentence of subsection (c)(1)--
            (A) by inserting ``maintaining minimum levels of 
        retroreflectivity of highway signs or pavement markings,'' 
        after ``traffic control signalization,'';
            (B) by inserting ``shoulder and centerline rumble strips 
        and stripes,'' after ``pavement marking,''; and
            (C) by striking ``Federal-aid systems'' and inserting 
        ``Federal-aid programs'';
        (2) by striking subsection (e) and inserting the following:
    ``(e) Emergency Relief.--The Federal share payable for any repair 
or reconstruction provided for by funds made available under section 
125 for any project on a Federal-aid highway, including the Interstate 
System, shall not exceed the Federal share payable on a project on the 
system as provided in subsections (a) and (b), except that--
        ``(1) the Federal share payable for eligible emergency repairs 
    to minimize damage, protect facilities, or restore essential 
    traffic accomplished within 180 days after the actual occurrence of 
    the natural disaster or catastrophic failure may amount to 100 
    percent of the cost of the repairs;
        ``(2) the Federal share payable for any repair or 
    reconstruction of Federal land transportation facilities, Federal 
    land access transportation facilities, and tribal transportation 
    facilities may amount to 100 percent of the cost of the repair or 
    reconstruction;
        ``(3) the Secretary shall extend the time period in paragraph 
    (1) taking into consideration any delay in the ability of the State 
    to access damaged facilities to evaluate damage and the cost of 
    repair; and
        ``(4) the Federal share payable for eligible permanent repairs 
    to restore damaged facilities to predisaster condition may amount 
    to 90 percent of the cost of the repairs if the eligible expenses 
    incurred by the State due to natural disasters or catastrophic 
    failures in a Federal fiscal year exceeds the annual apportionment 
    of the State under section 104 for the fiscal year in which the 
    disasters or failures occurred.'';
        (3) by striking subsection (g) and redesignating subsections 
    (h) through (l) as subsections (g) through (k), respectively;
        (4) in subsection (i)(1)(A) (as redesignated by paragraph (3)) 
    by striking ``and the Appalachian development highway system 
    program under section 14501 of title 40''; and
        (5) by striking subsections (j) and (k) (as redesignated by 
    paragraph (3)) and inserting the following:
    ``(j) Use of Federal Agency Funds.--Notwithstanding any other 
provision of law, any Federal funds other than those made available 
under this title and title 49 may be used to pay the non-Federal share 
of the cost of any transportation project that is within, adjacent to, 
or provides access to Federal land, the Federal share of which is 
funded under this title or chapter 53 of title 49.
    ``(k) Use of Federal Land and Tribal Transportation Funds.--
Notwithstanding any other provision of law, the funds authorized to be 
appropriated to carry out the tribal transportation program under 
section 202 and the Federal lands transportation program under section 
203 may be used to pay the non-Federal share of the cost of any project 
that is funded under this title or chapter 53 of title 49 and that 
provides access to or within Federal or tribal land.''.
SEC. 1509. TRANSFERABILITY OF FEDERAL-AID HIGHWAY FUNDS.
    (a) In General.--Section 126 of title 23, United States Code, is 
amended to read as follows:
``Sec. 126. Transferability of Federal-aid highway funds
    ``(a) In General.--Notwithstanding any other provision of law, 
subject to subsection (b), a State may transfer from an apportionment 
under section 104(b) not to exceed 50 percent of the amount apportioned 
for the fiscal year to any other apportionment of the State under that 
section.
    ``(b) Application to Certain Set-asides.--
        ``(1) In general.--Funds that are subject to sections 104(d) 
    and 133(d) shall not be transferred under this section.
        ``(2) Funds transferred by states.--Funds transferred by a 
    State under this section of the funding reserved for the State 
    under section 213 for a fiscal year may only come from the portion 
    of those funds that are available for obligation in any area of the 
    State under section 213(c)(1)(B).''.
    (b) Conforming Amendment.--The analysis for chapter 1 of title 23, 
United States Code, is amended by striking the item relating to section 
126 and inserting the following:

``126. Transferability of Federal-aid highway funds.''.
SEC. 1510. IDLE REDUCTION TECHNOLOGY.
    Section 127(a)(12) of title 23, United States Code, is amended--
        (1) in subparagraph (B), by striking ``400'' and inserting 
    ``550''; and
        (2) in subparagraph (C)(ii), by striking ``400-pound'' and 
    inserting ``550-pound''.
SEC. 1511. SPECIAL PERMITS DURING PERIODS OF NATIONAL EMERGENCY.
    Section 127 of title 23, United States Code, is amended by 
inserting at the end the following:
    ``(i) Special Permits During Periods of National Emergency.--
        ``(1) In general.--Notwithstanding any other provision of this 
    section, a State may issue special permits during an emergency to 
    overweight vehicles and loads that can easily be dismantled or 
    divided if--
            ``(A) the President has declared the emergency to be a 
        major disaster under the Robert T. Stafford Disaster Relief and 
        Emergency Assistance Act (42 U.S.C. 5121 et seq.);
            ``(B) the permits are issued in accordance with State law; 
        and
            ``(C) the permits are issued exclusively to vehicles and 
        loads that are delivering relief supplies.
        ``(2) Expiration.--A permit issued under paragraph (1) shall 
    expire not later than 120 days after the date of the declaration of 
    emergency under subparagraph (A) of that paragraph.''.
SEC. 1512. TOLLING.
    (a) Amendment to Tolling Provision.--Section 129(a) of title 23, 
United States Code, is amended to read as follows:
    ``(a) Basic Program.--
        ``(1) Authorization for federal participation.--Subject to the 
    provisions of this section, Federal participation shall be 
    permitted on the same basis and in the same manner as construction 
    of toll-free highways is permitted under this chapter in the--
            ``(A) initial construction of a toll highway, bridge, or 
        tunnel or approach to the highway, bridge, or tunnel;
            ``(B) initial construction of 1 or more lanes or other 
        improvements that increase capacity of a highway, bridge, or 
        tunnel (other than a highway on the Interstate System) and 
        conversion of that highway, bridge, or tunnel to a tolled 
        facility, if the number of toll-free lanes, excluding auxiliary 
        lanes, after the construction is not less than the number of 
        toll-free lanes, excluding auxiliary lanes, before the 
        construction;
            ``(C) initial construction of 1 or more lanes or other 
        improvements that increase the capacity of a highway, bridge, 
        or tunnel on the Interstate System and conversion of that 
        highway, bridge, or tunnel to a tolled facility, if the number 
        of toll-free non-HOV lanes, excluding auxiliary lanes, after 
        such construction is not less than the number of toll-free non-
        HOV lanes, excluding auxiliary lanes, before such construction;
            ``(D) reconstruction, resurfacing, restoration, 
        rehabilitation, or replacement of a toll highway, bridge, or 
        tunnel or approach to the highway, bridge, or tunnel;
            ``(E) reconstruction or replacement of a toll-free bridge 
        or tunnel and conversion of the bridge or tunnel to a toll 
        facility;
            ``(F) reconstruction of a toll-free Federal-aid highway 
        (other than a highway on the Interstate System) and conversion 
        of the highway to a toll facility;
            ``(G) reconstruction, restoration, or rehabilitation of a 
        highway on the Interstate System if the number of toll-free 
        non-HOV lanes, excluding auxiliary lanes, after reconstruction, 
        restoration, or rehabilitation is not less than the number of 
        toll-free non-HOV lanes, excluding auxiliary lanes, before 
        reconstruction, restoration, or rehabilitation;
            ``(H) conversion of a high occupancy vehicle lane on a 
        highway, bridge, or tunnel to a toll facility; and
            ``(I) preliminary studies to determine the feasibility of a 
        toll facility for which Federal participation is authorized 
        under this paragraph.
        ``(2) Ownership.--Each highway, bridge, tunnel, or approach to 
    the highway, bridge, or tunnel constructed under this subsection 
    shall--
            ``(A) be publicly owned; or
            ``(B) be privately owned if the public authority with 
        jurisdiction over the highway, bridge, tunnel, or approach has 
        entered into a contract with 1 or more private persons to 
        design, finance, construct, and operate the facility and the 
        public authority will be responsible for complying with all 
        applicable requirements of this title with respect to the 
        facility.
        ``(3) Limitations on use of revenues.--
            ``(A) In general.--A public authority with jurisdiction 
        over a toll facility shall use all toll revenues received from 
        operation of the toll facility only for--
                ``(i) debt service with respect to the projects on or 
            for which the tolls are authorized, including funding of 
            reasonable reserves and debt service on refinancing;
                ``(ii) a reasonable return on investment of any private 
            person financing the project, as determined by the State or 
            interstate compact of States concerned;
                ``(iii) any costs necessary for the improvement and 
            proper operation and maintenance of the toll facility, 
            including reconstruction, resurfacing, restoration, and 
            rehabilitation;
                ``(iv) if the toll facility is subject to a public-
            private partnership agreement, payments that the party 
            holding the right to toll revenues owes to the other party 
            under the public-private partnership agreement; and
                ``(v) if the public authority certifies annually that 
            the tolled facility is being adequately maintained, any 
            other purpose for which Federal funds may be obligated by a 
            State under this title.
            ``(B) Annual audit.--
                ``(i) In general.--A public authority with jurisdiction 
            over a toll facility shall conduct or have an independent 
            auditor conduct an annual audit of toll facility records to 
            verify adequate maintenance and compliance with 
            subparagraph (A), and report the results of the audits to 
            the Secretary.
                ``(ii) Records.--On reasonable notice, the public 
            authority shall make all records of the public authority 
            pertaining to the toll facility available for audit by the 
            Secretary.
            ``(C) Noncompliance.--If the Secretary concludes that a 
        public authority has not complied with the limitations on the 
        use of revenues described in subparagraph (A), the Secretary 
        may require the public authority to discontinue collecting 
        tolls until an agreement with the Secretary is reached to 
        achieve compliance with the limitation on the use of revenues 
        described in subparagraph (A).
        ``(4) Limitations on conversion of high occupancy vehicle 
    facilities on interstate system.--
            ``(A) In general.--A public authority with jurisdiction 
        over a high occupancy vehicle facility on the Interstate System 
        may undertake reconstruction, restoration, or rehabilitation 
        under paragraph (1)(G) on the facility, and may levy tolls on 
        vehicles, excluding high occupancy vehicles, using the 
        reconstructed, restored, or rehabilitated facility, if the 
        public authority--
                ``(i) in the case of a high occupancy vehicle facility 
            that affects a metropolitan area, submits to the Secretary 
            a written assurance that the metropolitan planning 
            organization designated under section 5203 of title 49 for 
            the area has been consulted concerning the placement and 
            amount of tolls on the converted facility;
                ``(ii) develops, manages, and maintains a system that 
            will automatically collect the toll; and
                ``(iii) establishes policies and procedures--

                    ``(I) to manage the demand to use the facility by 
                varying the toll amount that is charged; and
                    ``(II) to enforce sanctions for violations of use 
                of the facility.

            ``(B) Exemption from tolls.--In levying tolls on a facility 
        under subparagraph (A), a public authority may designate 
        classes of vehicles that are exempt from the tolls or charge 
        different toll rates for different classes of vehicles.
        ``(5) Special rule for funding.--
            ``(A) In general.--In the case of a toll facility under the 
        jurisdiction of a public authority of a State (other than the 
        State transportation department), on request of the State 
        transportation department and subject to such terms and 
        conditions as the department and public authority may agree, 
        the Secretary, working through the State department of 
        transportation, shall reimburse the public authority for the 
        Federal share of the costs of construction of the project 
        carried out on the toll facility under this subsection in the 
        same manner and to the same extent as the department would be 
        reimbursed if the project was being carried out by the 
        department.
            ``(B) Source.--The reimbursement of funds under this 
        paragraph shall be from sums apportioned to the State under 
        this chapter and available for obligations on projects on the 
        Federal-aid system in the State on which the project is being 
        carried out.
        ``(6) Limitation on federal share.--The Federal share payable 
    for a project described in paragraph (1) shall be a percentage 
    determined by the State, but not to exceed 80 percent.
        ``(7) Modifications.--If a public authority (including a State 
    transportation department) with jurisdiction over a toll facility 
    subject to an agreement under this section or section 119(e), as in 
    effect on the day before the effective date of title I of the 
    Intermodal Surface Transportation Efficiency Act of 1991 (105 Stat. 
    1915), requests modification of the agreement, the Secretary shall 
    modify the agreement to allow the continuation of tolls in 
    accordance with paragraph (3) without repayment of Federal funds.
        ``(8) Loans.--
            ``(A) In general.--
                ``(i) Loans.--Using amounts made available under this 
            title, a State may loan to a public or private entity 
            constructing or proposing to construct under this section a 
            toll facility or non-toll facility with a dedicated revenue 
            source an amount equal to all or part of the Federal share 
            of the cost of the project if the project has a revenue 
            source specifically dedicated to the project.
                ``(ii) Dedicated revenue sources.--Dedicated revenue 
            sources for non-toll facilities include excise taxes, sales 
            taxes, motor vehicle use fees, tax on real property, tax 
            increment financing, and such other dedicated revenue 
            sources as the Secretary determines appropriate.
            ``(B) Compliance with federal laws.--As a condition of 
        receiving a loan under this paragraph, the public or private 
        entity that receives the loan shall ensure that the project 
        will be carried out in accordance with this title and any other 
        applicable Federal law, including any applicable provision of a 
        Federal environmental law.
            ``(C) Subordination of debt.--The amount of any loan 
        received for a project under this paragraph may be subordinated 
        to any other debt financing for the project.
            ``(D) Obligation of funds loaned.--Funds loaned under this 
        paragraph may only be obligated for projects under this 
        paragraph.
            ``(E) Repayment.--The repayment of a loan made under this 
        paragraph shall commence not later than 5 years after date on 
        which the facility that is the subject of the loan is open to 
        traffic.
            ``(F) Term of loan.--The term of a loan made under this 
        paragraph shall not exceed 30 years from the date on which the 
        loan funds are obligated.
            ``(G) Interest.--A loan made under this paragraph shall 
        bear interest at or below market interest rates, as determined 
        by the State, to make the project that is the subject of the 
        loan feasible.
            ``(H) Reuse of funds.--Amounts repaid to a State from a 
        loan made under this paragraph may be obligated--
                ``(i) for any purpose for which the loan funds were 
            available under this title; and
                ``(ii) for the purchase of insurance or for use as a 
            capital reserve for other forms of credit enhancement for 
            project debt in order to improve credit market access or to 
            lower interest rates for projects eligible for assistance 
            under this title.
            ``(I) Guidelines.--The Secretary shall establish procedures 
        and guidelines for making loans under this paragraph.
        ``(9) State law permitting tolling.--If a State does not have a 
    highway, bridge, or tunnel toll facility as of the date of 
    enactment of the MAP-21, before commencing any activity authorized 
    under this section, the State shall have in effect a law that 
    permits tolling on a highway, bridge, or tunnel.
        ``(10) Definitions.--In this subsection, the following 
    definitions apply:
            ``(A) High occupancy vehicle; hov.--The term `high 
        occupancy vehicle' or `HOV' means a vehicle with not fewer than 
        2 occupants.
            ``(B) Initial construction.--
                ``(i) In general.--The term `initial construction' 
            means the construction of a highway, bridge, tunnel, or 
            other facility at any time before it is open to traffic.
                ``(ii) Exclusions.--The term `initial construction' 
            does not include any improvement to a highway, bridge, 
            tunnel, or other facility after it is open to traffic.
            ``(C) Public authority.--The term `public authority' means 
        a State, interstate compact of States, or public entity 
        designated by a State.
            ``(D) Toll facility.--The term `toll facility' means a toll 
        highway, bridge, or tunnel or approach to the highway, bridge, 
        or tunnel constructed under this subsection.''.
    (b) Electronic Toll Collection Interoperability Requirements.--Not 
later than 4 years after the date of enactment of this Act, all toll 
facilities on the Federal-aid highways shall implement technologies or 
business practices that provide for the interoperability of electronic 
toll collection programs.
SEC. 1513. MISCELLANEOUS PARKING AMENDMENTS.
    (a) Fringe and Corridor Parking Facilities.--Section 137 of title 
23, United States Code, is amended--
        (1) in subsection (f)(1)--
            (A) by striking ``104(b)(4)'' and inserting ``104(b)(1)''; 
        and
            (B) by inserting ``including the addition of electric 
        vehicle charging stations or natural gas vehicle refueling 
        stations,'' after ``new facilities,''; and
        (2) by adding at the end the following:
    ``(g) Funding.--The addition of electric vehicle charging stations 
or natural gas vehicle refueling stations to new or previously funded 
parking facilities shall be eligible for funding under this section.''.
    (b) Public Transportation.--Section 142(a)(1) of title 23, United 
States Code, is amended by inserting ``, which may include electric 
vehicle charging stations or natural gas vehicle refueling stations,'' 
after ``parking facilities''.
    (c) Forest Development Roads and Trails.--Section 205(d) of title 
23, United States Code, is amended by inserting ``, which may include 
electric vehicle charging stations or natural gas vehicle refueling 
stations,'' after ``parking areas''.
SEC. 1514. HOV FACILITIES.
    Section 166 of title 23, United States Code, is amended--
        (1) in subsection (b)(5)--
            (A) in subparagraph (A) by striking ``2009'' and inserting 
        ``2017'';
            (B) in subparagraph (B) by striking ``2009'' and inserting 
        ``2017''; and
            (C) in subparagraph (C)--
                (i) by striking ``subparagraph (B)'' and inserting 
            ``this paragraph''; and
                (ii) by inserting ``or equal to'' after ``less than'';
        (2) in subsection (c) by striking paragraph (3) and inserting 
    the following:
        ``(3) Toll revenue.--Toll revenue collected under this section 
    is subject to the requirements of section 129(a)(3).''; and
        (3) in subsection (d)(1)--
            (A) in the matter preceding subparagraph (A)--
                (i) by striking ``in a fiscal year shall certify'' and 
            inserting ``shall submit to the Secretary a report 
            demonstrating that the facility is not already degraded, 
            and that the presence of the vehicles will not cause the 
            facility to become degraded, and certify''; and
                (ii) by striking ``in the fiscal year'';
            (B) in subparagraph (A) by inserting ``and submitting to 
        the Secretary annual reports of those impacts'' after 
        ``adjacent highways'';
            (C) in subparagraph (C) by striking ``if the presence of 
        the vehicles has degraded the operation of the facility'' and 
        inserting ``whenever the operation of the facility is 
        degraded''; and
            (D) by adding at the end the following:
            ``(D) Maintenance of operating performance.--Not later than 
        180 days after the date on which a facility is degraded 
        pursuant to the standard specified in paragraph (2), the State 
        agency with jurisdiction over the facility shall bring the 
        facility into compliance with the minimum average operating 
        speed performance standard through changes to operation of the 
        facility, including--
                ``(i) increasing the occupancy requirement for HOV 
            lanes;
                ``(ii) varying the toll charged to vehicles allowed 
            under subsection (b) to reduce demand;
                ``(iii) discontinuing allowing non-HOV vehicles to use 
            HOV lanes under subsection (b); or
                ``(iv) increasing the available capacity of the HOV 
            facility.
            ``(E) Compliance.--If the State fails to bring a facility 
        into compliance under subparagraph (D), the Secretary shall 
        subject the State to appropriate program sanctions under 
        section 1.36 of title 23, Code of Federal Regulations (or 
        successor regulations), until the performance is no longer 
        degraded.''.
SEC. 1515. FUNDING FLEXIBILITY FOR TRANSPORTATION EMERGENCIES.
    (a) In General.--Chapter 1 of title 23, United States Code (as 
amended by section 1311(a)), is amended by adding at the end the 
following:
``Sec. 170. Funding flexibility for transportation emergencies
    ``(a) In General.--Notwithstanding any other provision of law, a 
State may use up to 100 percent of any covered funds of the State to 
repair or replace a transportation facility that has suffered serious 
damage as a result of a natural disaster or catastrophic failure from 
an external cause.
    ``(b) Declaration of Emergency.--Funds may be used under this 
section only for a disaster or emergency declared by the President 
pursuant to the Robert T. Stafford Disaster Relief and Emergency 
Assistance Act (42 U.S.C. 5121 et seq.).
    ``(c) Repayment.--Funds used under subsection (a) shall be repaid 
to the program from which the funds were taken in the event that such 
repairs or replacement are subsequently covered by a supplemental 
appropriation of funds.
    ``(d) Definitions.--In this section, the following definitions 
apply:
        ``(1) Covered funds.--The term `covered funds' means any 
    amounts apportioned to a State under section 104(b), other than 
    amounts suballocated to metropolitan areas and other areas of the 
    State under section 133(d), but including any such amounts required 
    to be set aside for a purpose other than the repair or replacement 
    of a transportation facility under this section.
        ``(2) Transportation facility.--The term `transportation 
    facility' means any facility eligible for assistance under section 
    125.''.
    (b) Technical and Conforming Amendment.--The analysis for chapter 1 
of title 23, United States Code (as amended by section 1311(b)), is 
amended by adding at the end the following:

``170. Funding flexibility for transportation emergencies.''.
SEC. 1516. DEFENSE ACCESS ROAD PROGRAM ENHANCEMENTS TO ADDRESS 
TRANSPORTATION INFRASTRUCTURE IN THE VICINITY OF MILITARY 
INSTALLATIONS.
    The second sentence of section 210(a)(2) of title 23, United States 
Code, is amended by inserting ``, in consultation with the Secretary of 
Transportation,'' before ``shall determine''.
SEC. 1517. MAPPING.
    (a) In General.--Section 306 of title 23, United States Code, is 
amended--
        (1) in subsection (a) by striking ``may'' and inserting 
    ``shall'';
        (2) in subsection (b) in the second sentence by striking 
    ``State and'' and inserting ``State government and''; and
        (3) by adding at the end the following:
    ``(c) Implementation.--The Secretary shall develop a process for 
the oversight and monitoring, on an annual basis, of the compliance of 
each State with the guidance issued under subsection (b).''.
    (b) Survey.--Not later than 2 years after the date of enactment of 
this Act, the Secretary shall conduct a survey of all States to 
determine what percentage of projects carried out under title 23, 
United States Code, in each State utilize private sector sources for 
surveying and mapping services.
SEC. 1518. BUY AMERICA PROVISIONS.
    Section 313 of title 23, United States Code, is amended by adding 
at the end the following:
    ``(g) Application to Highway Programs.--The requirements under this 
section shall apply to all contracts eligible for assistance under this 
chapter for a project carried out within the scope of the applicable 
finding, determination, or decision under the National Environmental 
Policy Act of 1969 (42 U.S.C. 4321 et seq.), regardless of the funding 
source of such contracts, if at least 1 contract for the project is 
funded with amounts made available to carry out this title.''.
SEC. 1519. CONSOLIDATION OF PROGRAMS; REPEAL OF OBSOLETE PROVISIONS.
    (a) Consolidation of Programs.--From administrative funds made 
available under section 104(a) of title 23, United States Code, not 
less than $3,000,000 for each of fiscal years 2013 and 2014 shall be 
made available--
        (1) to carry out safety-related activities, including--
            (A) to carry out the operation lifesaver program--
                (i) to provide public information and education 
            programs to help prevent and reduce motor vehicle 
            accidents, injuries, and fatalities; and
                (ii) to improve driver performance at railway-highway 
            crossings; and
            (B) to provide work zone safety grants in accordance with 
        subsections (a) and (b) of section 1409 of the SAFETEA-LU (23 
        U.S.C. 401 note; 119 Stat. 1232); and
        (2) to operate authorized safety-related clearinghouses, 
    including--
            (A) the national work zone safety information clearinghouse 
        authorized by section 358(b)(2) of the National Highway System 
        Designation Act of 1995 (23 U.S.C. 401 note; 109 Stat. 625); 
        and
            (B) a public road safety clearinghouse in accordance with 
        section 1411(a) of the SAFETEA-LU (23 U.S.C. 402 note; 119 
        Stat. 1234).
    (b) Repeals.--
        (1) Title 23.--
            (A) In general.--Sections 105, 110, 117, 124, 151, 155, 
        157, 160, 212, 216, 303, and 309 of title 23, United States 
        Code, are repealed.
            (B) Set asides.--Section 118 of title 23, United States 
        Code, is amended--
                (i) by striking subsection (c); and
                (ii) by redesignating subsections (d) and (e) as 
            subsections (c) and (d), respectively.
        (2) SAFETEA-LU.--Sections 1302, 1305, 1306, 1803, 1804, 1907, 
    and 1958 of SAFETEA-LU (Public Law 109-59) are repealed.
        (3) Additional.--Section 1132 of the Energy Independence and 
    Security Act of 2007 (Public Law 110-140; 121 Stat. 1763) is 
    repealed.
    (c) Conforming Amendments.--
        (1) Title analysis.--
            (A) Chapter 1.--The analysis for chapter 1 of title 23, 
        United States Code, is amended by striking the items relating 
        to sections 105, 110, 117, 124, 151, 155, 157, and 160.
            (B) Chapter 2.--The analysis for chapter 2 of title 23, 
        United States Code, is amended by striking the items relating 
        to sections 212 and 216.
            (C) Chapter 3.--The analysis for chapter 3 of title 23, 
        United States Code, is amended by striking the items relating 
        to sections 303 and 309.
        (2) Table of contents.--The table of contents contained in 
    section 1(b) of SAFETEA-LU (Public Law 109-59; 119 Stat. 1144) is 
    amended by striking the items relating to sections 1302, 1305, 
    1306, 1803, 1804, 1907, and 1958.
        (3) Section 104.--Section 104(e) of title 23, United States 
    Code, is amended by striking ``, 105,''.
        (4) Section 109.--Section 109(q) of title 23, United States 
    Code, is amended by striking ``in accordance with section 303 or''.
        (5) Section 118.--Section 118(b) of title 23, United States 
    Code, is amended--
            (A) by striking paragraph (1) and all that follows through 
        the heading of paragraph (2); and
            (B) by striking ``(other than for Interstate 
        construction)''.
        (6) Section 130.--Section 130 of title 23, United States Code, 
    is amended--
            (A) in subsection (e) by striking ``section 104(b)(5)'' and 
        inserting ``section 104(b)(3)'';
            (B) in subsection (f)(1) by inserting ``as in effect on the 
        day before the date of enactment of the MAP-21'' after 
        ``section 104(b)(3)(A)''; and
            (C) in subsection (l) by striking paragraphs (3) and (4).
        (7) Section 131.--Section 131(m) of title 23, United States 
    Code, is amended by striking ``Subject to approval by the Secretary 
    in accordance with the program of projects approval process of 
    section 105, a State'' and inserting ``A State''.
        (8) Section 133.--Paragraph (13) of section 133(b) of title 23, 
    United States Code (as amended by section 1108(a)(3)), is amended 
    by striking ``under section 303.''
        (9) Section 142.--Section 142 of title 23, United States Code, 
    is amended--
            (A) in subsection (a)--
                (i) in paragraph (1)--

                    (I) by striking ``motor vehicles (other than 
                rail)'' and inserting ``buses'';
                    (II) by striking ``(hereafter in this section 
                referred to as `buses')'';
                    (III) by striking ``Federal-aid systems'' and 
                inserting ``Federal-aid highways''; and
                    (IV) by striking ``Federal-aid system'' and 
                inserting ``Federal-aid highway''; and

                (ii) in paragraph (2)--

                    (I) by striking ``as a project on the the surface 
                transportation program for''; and
                    (II) by striking ``section 104(b)(3)'' and 
                inserting ``section 104(b)(2)'';

            (B) in subsection (b) by striking ``104(b)(4)'' and 
        inserting ``104(b)(1)'';
            (C) in subsection (c)--
                (i) by striking ``system'' in each place it appears and 
            inserting ``highway''; and
                (ii) by striking ``highway facilities'' and inserting 
            ``highways eligible under the program that is the source of 
            the funds'';
            (D) in subsection (e)(2) by striking ``Notwithstanding 
        section 209(f)(1) of the Highway Revenue Act of 1956, the 
        Highway Trust Fund shall be available for making expenditures 
        to meet obligations resulting from projects authorized by 
        subsection (a)(2) of this section and such projects'' and 
        inserting ``Projects authorized by subsection (a)(2)''; and
            (E) in subsection (f) by striking ``exits'' and inserting 
        ``exists''.
        (10) Section 145.--Section 145(b) of title 23, United States 
    Code, is amended by striking ``section 117 of this title,''.
        (11) Section 218.--Section 218 of title 23, United States Code, 
    is amended--
            (A) in subsection (a)--
                (i) by striking the first two sentences;
                (ii) in the third sentence--

                    (I) by striking ``, in addition to such funds,''; 
                and
                    (II) by striking ``such highway or'';

                (iii) by striking the fourth sentence and fifth 
            sentences;
            (B) by striking subsection (b); and
            (C) by redesignating subsection (c) as subsection (b).
        (12) Section 610.--Section 610(d)(1)(B) of title 23, United 
    States Code, is amended by striking ``under section 105''.
SEC. 1520. DENALI COMMISSION.
    The Denali Commission Act of 1998 (42 U.S.C. 3121 note) is 
amended--
        (1) in section 305, by striking subsection (c) and inserting 
    the following:
    ``(c) Gifts.--
        ``(1) In general.--Except as provided in paragraph (2), the 
    Commission, on behalf of the United States, may accept use, and 
    dispose of gifts or donations of services, property, or money for 
    purposes of carrying out this Act.
        ``(2) Conditional.--With respect to conditional gifts--
            ``(A)(i) the Commission, on behalf of the United States, 
        may accept conditional gifts for purposes of carrying out this 
        Act, if approved by the Federal Cochairperson; and
            ``(ii) the principal of and income from any such 
        conditional gift shall be held, invested, reinvested, and used 
        in accordance with the condition applicable to the gift; but
            ``(B) no gift shall be accepted that is conditioned on any 
        expenditure not to be funded from the gift or from the income 
        generated by the gift unless the expenditure has been approved 
        by Act of Congress.''; and
        (2) by adding at the end the following:
    ``SEC. 311. TRANSFER OF FUNDS FROM OTHER FEDERAL AGENCIES.
    ``(a) In General.--Subject to subsection (c), for purposes of this 
Act, the Commission may accept transfers of funds from other Federal 
agencies.
    ``(b) Transfers.--Any Federal agency authorized to carry out an 
activity that is within the authority of the Commission may transfer to 
the Commission any appropriated funds for the activity.
    ``(c) Treatment.--Any funds transferred to the Commission under 
this subsection--
        ``(1) shall remain available until expended; and
        ``(2) may, to the extent necessary to carry out this Act, be 
    transferred to, and merged with, the amounts made available by 
    appropriations Acts for the Commission by the Federal 
    Cochairperson.''.
SEC. 1521. UNIFORM RELOCATION ASSISTANCE AND REAL PROPERTY ACQUISITION 
POLICIES ACT OF 1970 AMENDMENTS.
    (a) Moving and Related Expenses.--Section 202 of the Uniform 
Relocation Assistance and Real Property Acquisition Policies Act of 
1970 (42 U.S.C. 4622) is amended--
        (1) in subsection (a)(4) by striking ``$10,000'' and inserting 
    ``$25,000, as adjusted by regulation, in accordance with section 
    213(d)''; and
        (2) in the second sentence of subsection (c) by striking 
    ``$20,000'' and inserting ``$40,000, as adjusted by regulation, in 
    accordance with section 213(d)''.
    (b) Replacement Housing for Homeowners.--The first sentence of 
section 203(a)(1) of the Uniform Relocation Assistance and Real 
Property Acquisition Policies Act of 1970 (42 U.S.C. 4623(a)(1)) is 
amended--
        (1) by striking ``$22,500'' and inserting ``$31,000, as 
    adjusted by regulation, in accordance with 213(d),''; and
        (2) by striking ``one hundred and eighty days prior to'' and 
    inserting ``90 days before''.
    (c) Replacement Housing for Tenants and Certain Others.--Section 
204 of the Uniform Relocation Assistance and Real Property Acquisition 
Policies Act of 1970 (42 U.S.C. 4624) is amended--
        (1) in the second sentence of subsection (a) by striking 
    ``$5,250'' and inserting ``$7,200, as adjusted by regulation, in 
    accordance with section 213(d)''; and
        (2) in the second sentence of subsection (b) by striking ``, 
    except'' and all that follows through the end of the subsection and 
    inserting a period.
    (d) Duties of Lead Agency.--Section 213 of the Uniform Relocation 
Assistance and Real Property Acquisition Policies Act of 1970 (42 
U.S.C. 4633) is amended--
        (1) in subsection (b)--
            (A) in paragraph (2) by striking ``and'' at the end;
            (B) in paragraph (3) by striking the period at the end and 
        inserting ``; and''; and
            (C) by adding at the end the following:
        ``(4) that each Federal agency that has programs or projects 
    requiring the acquisition of real property or causing a 
    displacement from real property subject to the provisions of this 
    Act shall provide to the lead agency an annual summary report the 
    describes the activities conducted by the Federal agency.''; and
        (2) by adding at the end the following:
    ``(d) Adjustment of Payments.--The head of the lead agency may 
adjust, by regulation, the amounts of relocation payments provided 
under sections 202(a)(4), 202(c), 203(a), and 204(a) if the head of the 
lead agency determines that cost of living, inflation, or other factors 
indicate that the payments should be adjusted to meet the policy 
objectives of this Act.''.
    (e) Agency Coordination.--Title II of the Uniform Relocation 
Assistance and Real Property Acquisition Policies Act of 1970 is 
amended by inserting after section 213 (42 U.S.C. 4633) the following:
    ``SEC. 214. AGENCY COORDINATION.
    ``(a) Agency Capacity.--Each Federal agency responsible for funding 
or carrying out relocation and acquisition activities shall have 
adequately trained personnel and such other resources as are necessary 
to manage and oversee the relocation and acquisition program of the 
Federal agency in accordance with this Act.
    ``(b) Interagency Agreements.--Not later than 1 year after the date 
of enactment of this section, each Federal agency responsible for 
funding relocation and acquisition activities (other than the agency 
serving as the lead agency) shall enter into a memorandum of 
understanding with the lead agency that--
        ``(1) provides for periodic training of the personnel of the 
    Federal agency, which in the case of a Federal agency that provides 
    Federal financial assistance, may include personnel of any 
    displacing agency that receives Federal financial assistance;
        ``(2) addresses ways in which the lead agency may provide 
    assistance and coordination to the Federal agency relating to 
    compliance with the Act on a program or project basis; and
        ``(3) addresses the funding of the training, assistance, and 
    coordination activities provided by the lead agency, in accordance 
    with subsection (c).
    ``(c) Interagency Payments.--
        ``(1) In general.--For the fiscal year that begins 1 year after 
    the date of enactment of this section, and each fiscal year 
    thereafter, each Federal agency responsible for funding relocation 
    and acquisition activities (other than the agency serving as the 
    lead agency) shall transfer to the lead agency for the fiscal year, 
    such funds as are necessary, but not less than $35,000, to support 
    the training, assistance, and coordination activities of the lead 
    agency described in subsection (b).
        ``(2) Included costs.--The cost to a Federal agency of 
    providing the funds described in paragraph (1) shall be included as 
    part of the cost of 1 or more programs or projects undertaken by 
    the Federal agency or with Federal financial assistance that result 
    in the displacement of persons or the acquisition of real 
    property.''.
    (f) Cooperation With Federal Agencies.--Section 308 of title 23, 
United States Code, is amended by striking subsection (a) and inserting 
the following:
    ``(a) Authorized Activities.--
        ``(1) In general.--The Secretary may perform, by contract or 
    otherwise, authorized engineering or other services in connection 
    with the survey, construction, maintenance, or improvement of 
    highways for other Federal agencies, cooperating foreign countries, 
    and State cooperating agencies.
        ``(2) Inclusions.--Services authorized under paragraph (1) may 
    include activities authorized under section 214 of the Uniform 
    Relocation Assistance and Real Property Acquisition Policies Act of 
    1970.
        ``(3) Reimbursement.--Reimbursement for services carried out 
    under this subsection (including depreciation on engineering and 
    road-building equipment) shall be credited to the applicable 
    appropriation.''.
    (g) Effective Dates.--
        (1) In general.--Except as provided in paragraph (2), the 
    amendments made by this section shall take effect on the date of 
    enactment of this Act.
        (2) Exception.--The amendments made by subsections (a) through 
    (c) shall take effect 2 years after the date of enactment of this 
    Act.
SEC. 1522. EXTENSION OF PUBLIC TRANSIT VEHICLE EXEMPTION FROM AXLE 
WEIGHT RESTRICTIONS.
    Section 1023(h) of the Intermodal Surface Transportation Efficiency 
Act of 1991 (23 U.S.C. 127 note; Public Law 102-240) is amended--
        (1) in the heading of paragraph (1) by striking ``temporary 
    exemption'' and inserting ``exemption'';
        (2) in paragraph (1)--
            (A) in the matter preceding subparagraph (A) by striking 
        ``, for the period beginning on October 6, 1992, and ending on 
        October 1, 2009,'';
            (B) in subparagraph (A) by striking ``or'' at the end;
            (C) in subparagraph (B) by striking the period at the end 
        and inserting ``; or''; and
            (D) by adding at the end the following:
            ``(C) any motor home (as defined in section 571.3 of title 
        49, Code of Federal Regulations (or successor regulation)).''; 
        and
        (3) in paragraph (2)(A) by striking ``For the period beginning 
    on the date of enactment of this subparagraph and ending on 
    September 30, 2009, a'' and inserting ``A''.
SEC. 1523. USE OF DEBRIS FROM DEMOLISHED BRIDGES AND OVERPASSES.
    Section 1805(a) of the SAFETEA-LU (23 U.S.C. 144 note; 119 Stat. 
1459) is amended by striking ``highway bridge replacement and 
rehabilitation program under section 144'' and inserting ``national 
highway performance program under section 119''.
SEC. 1524. USE OF YOUTH SERVICE AND CONSERVATION CORPS.
    (a) In General.--The Secretary shall encourage the States and 
regional transportation planning agencies to enter into contracts and 
cooperative agreements with qualified youth service or conservation 
corps, as defined in sections 122(a)(2) of Public Law 101-610 (42 
U.S.C. 12572(a)(2)) and 106(c)(3) of Public Law 103-82 (42 U.S.C. 
12656(c)(3)) to perform appropriate projects eligible under sections 
162, 206, 213, and 217 of title 23, United States Code, and under 
section 1404 of the SAFETEA-LU (119 Stat. 1228).
    (b) Requirements.--Under any contract or cooperative agreement 
entered into with a qualified youth service or conservation corps under 
this section, the Secretary shall--
        (1) set the amount of a living allowance or rate of pay for 
    each participant in such corps at--
            (A) such amount or rate as required under State law in a 
        State with such requirements; or
            (B) for corps in States not described in subparagraph (A), 
        at such amount or rate as determined by the Secretary, not to 
        exceed the maximum living allowance authorized by section 140 
        of Public Law 101-610 (42 U.S.C. 12594); and
        (2) not subject such corps to the requirements of section 112 
    of title 23, United States Code.
SEC. 1525. STATE AUTONOMY FOR CULVERT PIPE SELECTION.
    Not later than 180 days after the date of enactment of this Act, 
the Secretary shall modify section 635.411 of title 23, Code of Federal 
Regulations (as in effect on the date of enactment of this Act), to 
ensure that States shall have the autonomy to determine culvert and 
storm sewer material types to be included in the construction of a 
project on a Federal-aid highway.
SEC. 1526. EVACUATION ROUTES.
    Each State shall give adequate consideration to the needs of 
evacuation routes in the State, including such routes serving or 
adjacent to facilities operated by the Armed Forces, when allocating 
funds apportioned to the State under title 23, United States Code, for 
the construction of Federal-aid highways.
SEC. 1527. CONSOLIDATION OF GRANTS.
    (a) Definitions.--In this section, the term ``recipient'' means--
        (1) a State, local, or tribal government, including--
            (A) a territory of the United States;
            (B) a transit agency;
            (C) a port authority;
            (D) a metropolitan planning organization; or
            (E) any other political subdivision of a State or local 
        government;
        (2) a multistate or multijurisdictional group, if each member 
    of the group is an entity described in paragraph (1); and
        (3) a public-private partnership, if both parties are engaged 
    in building the project.
    (b) Consolidation.--
        (1) In general.--A recipient that receives multiple grant 
    awards from the Department to support 1 multimodal project may 
    request that the Secretary designate 1 modal administration in the 
    Department to be the lead administering authority for the overall 
    project.
        (2) New starts.--Any project that includes funds awarded under 
    section 5309 of title 49, United States Code, shall be exempt from 
    consolidation under this section unless the grant recipient 
    requests the Federal Transit Administration to be the lead 
    administering authority.
        (3) Review.--
            (A) In general.--Not later than 30 days after the date on 
        which a request under paragraph (1) is made, the Secretary 
        shall review the request and approve or deny the designation of 
        a single modal administration as the lead administering 
        authority and point of contact for the Department.
            (B) Notification.--
                (i) In general.--The Secretary shall notify the 
            requestor of the decision of the Secretary under 
            subparagraph (A) in such form and at such time as the 
            Secretary and the requestor agree.
                (ii) Denial.--If a request is denied, the Secretary 
            shall provide the requestor with a detailed explanation of 
            the reasoning of the Secretary with the notification under 
            clause (i).
    (c) Duties.--
        (1) In general.--A modal administration designated as a lead 
    administering authority under this section shall--
            (A) be responsible for leading and coordinating the 
        integrated project management team, which shall consist of all 
        of the other modal administrations in the Department relating 
        to the multimodal project; and
            (B) to the extent feasible during the first 30 days of 
        carrying out the multimodal project, identify overlapping or 
        duplicative regulatory requirements that exist for the project 
        and propose a single, streamlined approach to meeting all of 
        the applicable regulatory requirements through the activities 
        described in subsection (d).
        (2) Administration.--
            (A) In general.--The Secretary shall transfer all amounts 
        that have been awarded for the multimodal project to the modal 
        administration designated as the lead administering authority.
            (B) Option.--
                (i) In general.--Participation under this section shall 
            be optional for recipients, and no recipient shall be 
            required to participate.
                (ii) Secretarial duties.--The Secretary is not required 
            to identify every recipient that may be eligible to 
            participate under this section.
    (d) Cooperation.--
        (1) In general.--The Secretary and modal administrations with 
    relevant jurisdiction over a multimodal project should cooperate on 
    project review and delivery activities at the earliest practicable 
    time.
        (2) Purposes.--The purposes of the cooperation under paragraph 
    (1) are--
            (A) to avoid delays and duplication of effort later in the 
        process;
            (B) to prevent potential conflicts; and
            (C) to ensure that planning and project development 
        decisions are made in a streamlined manner and consistent with 
        applicable law.
    (e) Applicability.--Nothing in this section shall--
        (1) supersede, amend, or modify the National Environmental 
    Policy Act of 1969 (42 U.S.C. 4321 et seq.) or any other Federal 
    environmental law; or
        (2) affect the responsibility of any Federal officer to comply 
    with or enforce any law described in paragraph (1).
SEC. 1528. APPALACHIAN DEVELOPMENT HIGHWAY SYSTEM.
    (a) Sense of the Senate.--It is the Sense of the Senate that the 
timely completion of the Appalachian development highway system is a 
transportation priority in the national interest.
    (b) Modified Federal Share for Projects on ADHS.--For fiscal years 
2012 through 2021, the Federal share payable for the cost of 
constructing highways and access roads on the Appalachian development 
highway system under section 14501 of title 40, United States Code, 
with funds made available to a State for fiscal year 2012 or a previous 
fiscal year for the Appalachian development highway system program, or 
with funds made available for fiscal year 2012 or a previous fiscal 
year for a specific project, route, or corridor on that system, shall 
be 100 percent.
    (c) Federal Share for Other Funds Used on ADHS.--For fiscal years 
2012 through 2021, the Federal share payable for the cost of 
constructing highways and access roads on the Appalachian development 
highway system under section 14501 of title 40, United States Code, 
with Federal funds apportioned to a State for a program other than the 
Appalachian development highway system program shall be 100 percent.
    (d) Completion Plan.--
        (1) In general.--Subject to paragraph (2), not later than 1 
    year after the date of enactment of the MAP-21, each State 
    represented on the Appalachian Regional Commission shall establish 
    a plan for the completion of the designated corridors of the 
    Appalachian development highway system within the State, including 
    annual performance targets, with a target completion date.
        (2) Significant uncompleted miles.--If the percentage of 
    remaining Appalachian development highway system needs for a State, 
    according to the latest cost to complete estimate for the 
    Appalachian development highway system, is greater than 15 percent 
    of the total cost to complete estimate for the entire Appalachian 
    development highway system, the State shall not establish a plan 
    under paragraph (1) that would result in a reduction of obligated 
    funds for the Appalachian development highway system within the 
    State for any subsequent fiscal year.
SEC. 1529. ENGINEERING JUDGMENT.
    Not later than 90 days after the date of enactment of this Act, the 
Secretary shall issue guidance to State transportation departments 
clarifying that the standards, guidance, and options for design and 
application of traffic control devices provided in the Manual on 
Uniform Traffic Control Devices should not be considered a substitute 
for engineering judgment.
SEC. 1530. TRANSPORTATION TRAINING AND EMPLOYMENT PROGRAMS.
    To encourage the development of careers in the transportation 
field, the Secretary of Education and the Secretary of Labor are 
encouraged to use funds for training and employment education 
programs--
        (1) to develop programs for transportation-related careers and 
    trades; and
        (2) to work with the Secretary to carry out programs developed 
    under paragraph (1).
SEC. 1531. NOTICE OF CERTAIN GRANT AWARDS.
    (a) Definition of Covered Grant Award.--In this section, the term 
``covered grant award'' means a grant award--
        (1) made--
            (A) by the Department; and
            (B) with funds made available under this Act; and
        (2) in an amount equal to or greater than $500,000.
    (b) Notice.--Except to the extent otherwise expressly provided in 
another provision of law, at least 3 business days before a covered 
grant award is announced, the Secretary shall provide to the Committee 
on Transportation and Infrastructure of the House of Representatives 
and the Committee on Environment and Public Works of the Senate written 
notice of the covered grant award.
SEC. 1532. BUDGET JUSTIFICATION.
    The Secretary shall submit to the Committee on Transportation and 
Infrastructure of the House of Representatives and the Committee on 
Environment and Public Works of the Senate a budget justification for 
each agency of the Department concurrently with the annual budget 
submission of the President to Congress under section 1105(a) of title 
31, United States Code.
SEC. 1533. PROHIBITION ON USE OF FUNDS FOR AUTOMATED TRAFFIC 
ENFORCEMENT.
    (a) Definition of Automated Traffic Enforcement System.--In this 
section, the term ``automated traffic enforcement system'' means any 
camera that captures an image of a vehicle for the purposes of traffic 
law enforcement.
    (b) Use of Funds.--Except as provided in subsection (c), for fiscal 
years 2013 and 2014, funds apportioned to a State under section 
104(b)(3) of title 23, United States Code, may not be used for any 
program to purchase, operate, or maintain an automated traffic 
enforcement system.
    (c) Exception.--Subsection (b) shall not apply to automated traffic 
enforcement systems used to improve safety in school zones.
SEC. 1534. PUBLIC-PRIVATE PARTNERSHIPS.
    (a) Best Practices.--The Secretary shall compile, and make 
available to the public on the website of the Department, best 
practices on how States, public transportation agencies, and other 
public officials can work with the private sector in the development, 
financing, construction, and operation of transportation facilities.
    (b) Contents.--The best practices compiled under subsection (a) 
shall include polices and techniques to ensure that the interests of 
the traveling public and State and local governments are protected in 
any agreement entered into with the private sector for the development, 
financing, construction, and operation of transportation facilities.
    (c) Technical Assistance.--The Secretary, on request, may provide 
technical assistance to States, public transportation agencies, and 
other public officials regarding proposed public-private partnership 
agreements for the development, financing, construction, and operation 
of transportation facilities, including assistance in analyzing whether 
the use of a public-private partnership agreement would provide value 
compared with traditional public delivery methods.
    (d) Standard Transaction Contracts.--
        (1) Development.--Not later than 18 months after the date of 
    enactment of this Act, the Secretary shall develop standard public-
    private partnership transaction model contracts for the most 
    popular types of public-private partnerships for the development, 
    financing, construction, and operation of transportation 
    facilities.
        (2) Use.--The Secretary shall encourage States, public 
    transportation agencies, and other public officials to use the 
    model contracts as a base template when developing their own 
    public-private partnership agreements for the development, 
    financing, construction, and operation of transportation 
    facilities.
SEC. 1535. REPORT ON HIGHWAY TRUST FUND EXPENDITURES.
    (a) Initial Report.--Not later than 150 days after the date of 
enactment of this Act, the Comptroller General of the United States 
shall submit to Congress a report describing the activities funded from 
the Highway Trust Fund during each of fiscal years 2009 through 2011, 
including for purposes other than construction and maintenance of 
highways and bridges.
    (b) Updates.--Not later than 5 years after the date on which the 
report is submitted under subsection (a) and every 5 years thereafter, 
the Comptroller General of the United States shall submit to Congress a 
report that updates the information provided in the report under that 
subsection for the applicable 5-year period.
    (c) Inclusions.--A report submitted under subsection (a) or (b) 
shall include information similar to the information included in the 
report of the Government Accountability Office numbered ``GAO-09-729R'' 
and entitled ``Highway Trust Fund Expenditures on Purposes Other Than 
Construction and Maintenance of Highways and Bridges During Fiscal 
Years 2004-2008''.
SEC. 1536. SENSE OF CONGRESS ON HARBOR MAINTENANCE.
    (a) Findings.--Congress finds that--
        (1) there are 926 coastal, Great Lakes, and inland harbors 
    maintained by the Corps of Engineers;
        (2) according to the Bureau of Transportation Statistics--
            (A) in 2009, the ports and waterways of the United States 
        handled more than 2,200,000,000 short tons of imports, exports, 
        and domestic shipments; and
            (B) in 2010, United States ports were responsible for more 
        than $1,400,000,000,000 in waterborne imports and exports;
        (3) according to the Congressional Research Service, full 
    channel dimensions are, on average, available approximately \1/3\ 
    of the time at the 59 harbors of the United States with the highest 
    use rates;
        (4) in 1986, Congress created the Harbor Maintenance Trust Fund 
    to provide funds for the operation and maintenance of the 
    navigation channels of the United States;
        (5) in fiscal year 2012, the Harbor Maintenance Trust Fund is 
    expected to grow from $6,280,000,000 to $7,011,000,000, an increase 
    of approximately 13 percent;
        (6) despite growth of the Harbor Maintenance Trust Fund, 
    expenditures from the Harbor Maintenance Trust Fund have not been 
    sufficiently spent; and
        (7) inadequate investment in dredging needs is restricting 
    access to the ports of the United States for domestic shipping, 
    imports, and exports and therefore threatening the economic 
    competitiveness of the United States.
    (b) Sense of Congress.--It is the sense of Congress that--
        (1) the Administration should request full use of the Harbor 
    Maintenance Trust Fund for operating and maintaining the navigation 
    channels of the United States;
        (2) the amounts in the Harbor Maintenance Trust Fund should be 
    fully expended to operate and maintain the navigation channels of 
    the United States; and
        (3) Congress should ensure that other programs, projects, and 
    activities of the Civil Works Program of the Corps of Engineers, 
    especially those programs, projects, and activities relating to 
    inland navigation and flood control, are not adversely impacted.
SEC. 1537. ESTIMATE OF HARBOR MAINTENANCE NEEDS.
    For fiscal year 2014 and each fiscal year thereafter, the 
President's budget request submitted pursuant to section 1105 of title 
31, United States Code, shall include--
        (1) an estimate of the nationwide average availability, 
    expressed as a percentage, of the authorized depth and authorized 
    width of all navigation channels authorized to be maintained using 
    appropriations from the Harbor Maintenance Trust Fund that would 
    result from harbor maintenance activities to be funded by the 
    budget request; and
        (2) an estimate of the average annual amount of appropriations 
    from the Harbor Maintenance Trust Fund that would be required to 
    increase that average availability to 95 percent over a 3-year 
    period.
SEC. 1538. ASIAN CARP.
    (a) Definitions.--In this section:
        (1) Hydrological separation.--The term ``hydrological 
    separation'' means a physical separation on the Chicago Area 
    Waterway System that--
            (A) would disconnect the Mississippi River watershed from 
        the Lake Michigan watershed; and
            (B) shall be designed to be adequate in scope to prevent 
        the transfer of all aquatic species between each of those 
        bodies of water.
        (2) Secretary.--The term ``Secretary'' means the Secretary of 
    the Army, acting through the Chief of Engineers.
    (b) Expedited Study and Report.--
        (1) In general.--The Secretary shall--
            (A) expedite completion of the report for the study 
        authorized by section 3061(d) of the Water Resources 
        Development Act of 2007 (Public Law 110-114; 121 Stat. 1121); 
        and
            (B) if the Secretary determines a project is justified in 
        the completed report, proceed directly to project 
        preconstruction engineering and design.
        (2) Focus.--In expediting the completion of the study and 
    report under paragraph (1), the Secretary shall focus on--
            (A) the prevention of the spread of aquatic nuisance 
        species between the Great Lakes and Mississippi River Basins, 
        such as through the permanent hydrological separation of the 
        Great Lakes and Mississippi River Basins; and
            (B) the watersheds of the following rivers and tributaries 
        associated with the Chicago Area Waterway System:
                (i) The Illinois River, at and in the vicinity of 
            Chicago, Illinois.
                (ii) The Chicago River, Calumet River, North Shore 
            Channel, Chicago Sanitary and Ship Canal, and Cal-Sag 
            Channel in the State of Illinois.
                (iii) The Grand Calumet River and Little Calumet River 
            in the States of Illinois and Indiana.
        (3) Efficient use of funds.--The Secretary shall ensure the 
    efficient use of funds to maximize the timely completion of the 
    study and report under paragraph (1).
        (4) Deadline.--The Secretary shall complete the report under 
    paragraph (1) by not later than 18 months after the date of 
    enactment of this Act.
        (5) Interim report.--Not later than 90 days after the date of 
    enactment of this Act, the Secretary shall submit to the Committees 
    on Appropriations of the House of Representatives and Senate, the 
    Committee on Environment and Public Works of the Senate, and the 
    Committee on Transportation and Infrastructure of the House of 
    Representatives a report describing--
            (A) interim milestones that will be met prior to final 
        completion of the study and report under paragraph (1); and
            (B) funding necessary for completion of the study and 
        report under paragraph (1), including funding necessary for 
        completion of each interim milestone identified under 
        subparagraph (A).
SEC. 1539. REST AREAS.
    (a) Agreements Relating to Use of and Access to Rights-of-way--
Interstate System.--Section 111 of title 23, United States Code, is 
amended--
        (1) in subsection (a) in the second sentence by striking the 
    period and inserting ``and will not change the boundary of any 
    right-of-way on the Interstate System to accommodate construction 
    of, or afford access to, an automotive service station or other 
    commercial establishment.'';
        (2) by redesignating subsections (b) and (c) as subsections (c) 
    and (d), respectively; and
        (3) by inserting after subsection (a) the following:
    ``(b) Rest Areas.--
        ``(1) In general.--Notwithstanding subsection (a), the 
    Secretary shall permit a State to acquire, construct, operate, and 
    maintain a rest area along a highway on the Interstate System in 
    such State.
        ``(2) Limited activities.--The Secretary shall permit limited 
    commercial activities within a rest area under paragraph (1), if 
    the activities are available only to customers using the rest area 
    and are limited to--
            ``(A) commercial advertising and media displays if such 
        advertising and displays are--
                ``(i) exhibited solely within any facility constructed 
            in the rest area; and
                ``(ii) not legible from the main traveled way;
            ``(B) items designed to promote tourism in the State, 
        limited to books, DVDs, and other media;
            ``(C) tickets for events or attractions in the State of a 
        historical or tourism-related nature;
            ``(D) travel-related information, including maps, travel 
        booklets, and hotel coupon booklets; and
            ``(E) lottery machines, provided that the priority afforded 
        to blind vendors under subsection (c) applies to this 
        subparagraph.
        ``(3) Private operators.--A State may permit a private party to 
    operate such commercial activities.
        ``(4) Limitation on use of revenues.--A State shall use any 
    revenues received from the commercial activities in a rest area 
    under this section to cover the costs of acquiring, constructing, 
    operating, and maintaining rest areas in the State.''.
    (b) Control of Outdoor Advertising.--Section 131(i) of title 23, 
United States Code, is amended by adding at the end the following:
``A State may permit the installation of signs that acknowledge the 
sponsorship of rest areas within such rest areas or along the main 
traveled way of the system, provided that such signs shall not affect 
the safe and efficient utilization of the Interstate System and the 
primary system. The Secretary shall establish criteria for the 
installation of such signs on the main traveled way, including criteria 
pertaining to the placement of rest area sponsorship acknowledgment 
signs in relation to the placement of advance guide signs for rest 
areas.''.

                   Subtitle F--Gulf Coast Restoration

SEC. 1601. SHORT TITLE.
    This subtitle may be cited as the ``Resources and Ecosystems 
Sustainability, Tourist Opportunities, and Revived Economies of the 
Gulf Coast States Act of 2012''.
SEC. 1602. GULF COAST RESTORATION TRUST FUND.
    (a) Establishment.--There is established in the Treasury of the 
United States a trust fund to be known as the ``Gulf Coast Restoration 
Trust Fund'' (referred to in this section as the ``Trust Fund''), 
consisting of such amounts as are deposited in the Trust Fund under 
this Act or any other provision of law.
    (b) Transfers.--The Secretary of the Treasury shall deposit in the 
Trust Fund an amount equal to 80 percent of all administrative and 
civil penalties paid by responsible parties after the date of enactment 
of this Act in connection with the explosion on, and sinking of, the 
mobile offshore drilling unit Deepwater Horizon pursuant to a court 
order, negotiated settlement, or other instrument in accordance with 
section 311 of the Federal Water Pollution Control Act (33 U.S.C. 
1321).
    (c) Expenditures.--Amounts in the Trust Fund, including interest 
earned on advances to the Trust Fund and proceeds from investment under 
subsection (d), shall--
        (1) be available for expenditure, without further 
    appropriation, solely for the purpose and eligible activities of 
    this subtitle and the amendments made by this subtitle; and
        (2) remain available until expended, without fiscal year 
    limitation.
    (d) Investment.--Amounts in the Trust Fund shall be invested in 
accordance with section 9702 of title 31, United States Code, and any 
interest on, and proceeds from, any such investment shall be available 
for expenditure in accordance with this subtitle and the amendments 
made by this subtitle.
    (e) Administration.--Not later than 180 days after the date of 
enactment of this Act, after providing notice and an opportunity for 
public comment, the Secretary of the Treasury, in consultation with the 
Secretary of the Interior and the Secretary of Commerce, shall 
establish such procedures as the Secretary determines to be necessary 
to deposit amounts in, and expend amounts from, the Trust Fund pursuant 
to this subtitle, including--
        (1) procedures to assess whether the programs and activities 
    carried out under this subtitle and the amendments made by this 
    subtitle achieve compliance with applicable requirements, including 
    procedures by which the Secretary of the Treasury may determine 
    whether an expenditure by a Gulf Coast State or coastal political 
    subdivision (as those terms are defined in section 311 of the 
    Federal Water Pollution Control Act (33 U.S.C. 1321)) pursuant to 
    such a program or activity achieves compliance;
        (2) auditing requirements to ensure that amounts in the Trust 
    Fund are expended as intended; and
        (3) procedures for identification and allocation of funds 
    available to the Secretary under other provisions of law that may 
    be necessary to pay the administrative expenses directly 
    attributable to the management of the Trust Fund.
    (f) Sunset.--The authority for the Trust Fund shall terminate on 
the date all funds in the Trust Fund have been expended.
SEC. 1603. GULF COAST NATURAL RESOURCES RESTORATION AND ECONOMIC 
RECOVERY.
    Section 311 of the Federal Water Pollution Control Act (33 U.S.C. 
1321) is amended--
        (1) in subsection (a)--
            (A) in paragraph (25)(B), by striking ``and'' at the end;
            (B) in paragraph (26)(D), by striking the period at the end 
        and inserting a semicolon; and
            (C) by adding at the end the following:
        ``(27) the term `best available science' means science that--
            ``(A) maximizes the quality, objectivity, and integrity of 
        information, including statistical information;
            ``(B) uses peer-reviewed and publicly available data; and
            ``(C) clearly documents and communicates risks and 
        uncertainties in the scientific basis for such projects;
        ``(28) the term `Chairperson' means the Chairperson of the 
    Council;
        ``(29) the term `coastal political subdivision' means any local 
    political jurisdiction that is immediately below the State level of 
    government, including a county, parish, or borough, with a 
    coastline that is contiguous with any portion of the United States 
    Gulf of Mexico;
        ``(30) the term `Comprehensive Plan' means the comprehensive 
    plan developed by the Council pursuant to subsection (t);
        ``(31) the term `Council' means the Gulf Coast Ecosystem 
    Restoration Council established pursuant to subsection (t);
        ``(32) the term `Deepwater Horizon oil spill' means the blowout 
    and explosion of the mobile offshore drilling unit Deepwater 
    Horizon that occurred on April 20, 2010, and resulting hydrocarbon 
    releases into the environment;
        ``(33) the term `Gulf Coast region' means--
            ``(A) in the Gulf Coast States, the coastal zones (as that 
        term is defined in section 304 of the Coastal Zone Management 
        Act of 1972 (16 U.S.C. 1453)), except that, in this section, 
        the term `coastal zones' includes land within the coastal zones 
        that is held in trust by, or the use of which is by law subject 
        solely to the discretion of, the Federal Government or officers 
        or agents of the Federal Government)) that border the Gulf of 
        Mexico;
            ``(B) any adjacent land, water, and watersheds, that are 
        within 25 miles of the coastal zones described in subparagraph 
        (A) of the Gulf Coast States; and
            ``(C) all Federal waters in the Gulf of Mexico;
        ``(34) the term `Gulf Coast State' means any of the States of 
    Alabama, Florida, Louisiana, Mississippi, and Texas; and
        ``(35) the term `Trust Fund' means the Gulf Coast Restoration 
    Trust Fund established pursuant to section 1602 of the Resources 
    and Ecosystems Sustainability, Tourist Opportunities, and Revived 
    Economies of the Gulf Coast States Act of 2012.'';
        (2) in subsection (s), by inserting ``except as provided in 
    subsection (t)'' before the period at the end; and
        (3) by adding at the end the following:
    ``(t) Gulf Coast Restoration and Recovery.--
        ``(1) State allocation and expenditures.--
            ``(A) In general.--Of the total amounts made available in 
        any fiscal year from the Trust Fund, 35 percent shall be 
        available, in accordance with the requirements of this section, 
        to the Gulf Coast States in equal shares for expenditure for 
        ecological and economic restoration of the Gulf Coast region in 
        accordance with this subsection.
            ``(B) Use of funds.--
                ``(i) Eligible activities in the gulf coast region.--
            Subject to clause (iii), amounts provided to the Gulf Coast 
            States under this subsection may only be used to carry out 
            1 or more of the following activities in the Gulf Coast 
            region:

                    ``(I) Restoration and protection of the natural 
                resources, ecosystems, fisheries, marine and wildlife 
                habitats, beaches, and coastal wetlands of the Gulf 
                Coast region.
                    ``(II) Mitigation of damage to fish, wildlife, and 
                natural resources.
                    ``(III) Implementation of a federally approved 
                marine, coastal, or comprehensive conservation 
                management plan, including fisheries monitoring.
                    ``(IV) Workforce development and job creation.
                    ``(V) Improvements to or on State parks located in 
                coastal areas affected by the Deepwater Horizon oil 
                spill.
                    ``(VI) Infrastructure projects benefitting the 
                economy or ecological resources, including port 
                infrastructure.
                    ``(VII) Coastal flood protection and related 
                infrastructure.
                    ``(VIII) Planning assistance.
                    ``(IX) Administrative costs of complying with this 
                subsection.

                ``(ii) Activities to promote tourism and seafood in the 
            gulf coast region.--Amounts provided to the Gulf Coast 
            States under this subsection may be used to carry out 1 or 
            more of the following activities:

                    ``(I) Promotion of tourism in the Gulf Coast 
                Region, including recreational fishing.
                    ``(II) Promotion of the consumption of seafood 
                harvested from the Gulf Coast Region.

                ``(iii) Limitation.--

                    ``(I) In general.--Of the amounts received by a 
                Gulf Coast State under this subsection, not more than 3 
                percent may be used for administrative costs eligible 
                under clause (i)(IX).
                    ``(II) Claims for compensation.--Activities funded 
                under this subsection may not be included in any claim 
                for compensation paid out by the Oil Spill Liability 
                Trust Fund after the date of enactment of this 
                subsection.

            ``(C) Coastal political subdivisions.--
                ``(i) Distribution.--In the case of a State where the 
            coastal zone includes the entire State--

                    ``(I) 75 percent of funding shall be provided 
                directly to the 8 disproportionately affected counties 
                impacted by the Deepwater Horizon oil spill; and
                    ``(II) 25 percent shall be provided directly to 
                nondisproportionately impacted counties within the 
                State.

                ``(ii) Nondisproportionately impacted counties.--The 
            total amounts made available to coastal political 
            subdivisions in the State of Florida under clause (i)(II) 
            shall be distributed according to the following weighted 
            formula:

                    ``(I) 34 percent based on the weighted average of 
                the population of the county.
                    ``(II) 33 percent based on the weighted average of 
                the county per capita sales tax collections estimated 
                for fiscal year 2012.
                    ``(III) 33 percent based on the inverse proportion 
                of the weighted average distance from the Deepwater 
                Horizon oil rig to each of the nearest and farthest 
                points of the shoreline.

            ``(D) Louisiana.--
                ``(i) In general.--Of the total amounts made available 
            to the State of Louisiana under this paragraph:

                    ``(I) 70 percent shall be provided directly to the 
                State in accordance with this subsection.
                    ``(II) 30 percent shall be provided directly to 
                parishes in the coastal zone (as defined in section 304 
                of the Coastal Zone Management Act of 1972 (16 U.S.C. 
                1453)) of the State of Louisiana according to the 
                following weighted formula:

                        ``(aa) 40 percent based on the weighted average 
                    of miles of the parish shoreline oiled.
                        ``(bb) 40 percent based on the weighted average 
                    of the population of the parish.
                        ``(cc) 20 percent based on the weighted average 
                    of the land mass of the parish.
                ``(ii) Conditions.--

                    ``(I) Land use plan.--As a condition of receiving 
                amounts allocated under this paragraph, the chief 
                executive of the eligible parish shall certify to the 
                Governor of the State that the parish has completed a 
                comprehensive land use plan.
                    ``(II) Other conditions.--A coastal political 
                subdivision receiving funding under this paragraph 
                shall meet all of the conditions in subparagraph (E).

            ``(E) Conditions.--As a condition of receiving amounts from 
        the Trust Fund, a Gulf Coast State, including the entities 
        described in subparagraph (F), or a coastal political 
        subdivision shall--
                ``(i) agree to meet such conditions, including audit 
            requirements, as the Secretary of the Treasury determines 
            necessary to ensure that amounts disbursed from the Trust 
            Fund will be used in accordance with this subsection;
                ``(ii) certify in such form and in such manner as the 
            Secretary of the Treasury determines necessary that the 
            project or program for which the Gulf Coast State or 
            coastal political subdivision is requesting amounts--

                    ``(I) is designed to restore and protect the 
                natural resources, ecosystems, fisheries, marine and 
                wildlife habitats, beaches, coastal wetlands, or 
                economy of the Gulf Coast;
                    ``(II) carries out 1 or more of the activities 
                described in clauses (i) and (ii) of subparagraph (B);
                    ``(III) was selected based on meaningful input from 
                the public, including broad-based participation from 
                individuals, businesses, and nonprofit organizations; 
                and
                    ``(IV) in the case of a natural resource protection 
                or restoration project, is based on the best available 
                science;

                ``(iii) certify that the project or program and the 
            awarding of a contract for the expenditure of amounts 
            received under this paragraph are consistent with the 
            standard procurement rules and regulations governing a 
            comparable project or program in that State, including all 
            applicable competitive bidding and audit requirements; and
                ``(iv) develop and submit a multiyear implementation 
            plan for the use of such amounts, which may include 
            milestones, projected completion of each activity, and a 
            mechanism to evaluate the success of each activity in 
            helping to restore and protect the Gulf Coast region 
            impacted by the Deepwater Horizon oil spill.
            ``(F) Approval by state entity, task force, or agency.--The 
        following Gulf Coast State entities, task forces, or agencies 
        shall carry out the duties of a Gulf Coast State pursuant to 
        this paragraph:
                ``(i) Alabama.--

                    ``(I) In general.--In the State of Alabama, the 
                Alabama Gulf Coast Recovery Council, which shall be 
                comprised of only the following:

                        ``(aa) The Governor of Alabama, who shall also 
                    serve as Chairperson and preside over the meetings 
                    of the Alabama Gulf Coast Recovery Council.
                        ``(bb) The Director of the Alabama State Port 
                    Authority, who shall also serve as Vice Chairperson 
                    and preside over the meetings of the Alabama Gulf 
                    Coast Recovery Council in the absence of the 
                    Chairperson.
                        ``(cc) The Chairman of the Baldwin County 
                    Commission.
                        ``(dd) The President of the Mobile County 
                    Commission.
                        ``(ee) The Mayor of the city of Bayou La Batre.
                        ``(ff) The Mayor of the town of Dauphin Island.
                        ``(gg) The Mayor of the city of Fairhope.
                        ``(hh) The Mayor of the city of Gulf Shores.
                        ``(ii) The Mayor of the city of Mobile.
                        ``(jj) The Mayor of the city of Orange Beach.

                    ``(II) Vote.--Each member of the Alabama Gulf Coast 
                Recovery Council shall be entitled to 1 vote.
                    ``(III) Majority vote.--All decisions of the 
                Alabama Gulf Coast Recovery Council shall be made by 
                majority vote.
                    ``(IV) Limitation on administrative expenses.--
                Administrative duties for the Alabama Gulf Coast 
                Recovery Council may only be performed by public 
                officials and employees that are subject to the ethics 
                laws of the State of Alabama.

                ``(ii) Louisiana.--In the State of Louisiana, the 
            Coastal Protection and Restoration Authority of Louisiana.
                ``(iii) Mississippi.--In the State of Mississippi, the 
            Mississippi Department of Environmental Quality.
                ``(iv) Texas.--In the State of Texas, the Office of the 
            Governor or an appointee of the Office of the Governor.
            ``(G) Compliance with eligible activities.--If the 
        Secretary of the Treasury determines that an expenditure by a 
        Gulf Coast State or coastal political subdivision of amounts 
        made available under this subsection does not meet one of the 
        activities described in clauses (i) and (ii) of subparagraph 
        (B), the Secretary shall make no additional amounts from the 
        Trust Fund available to that Gulf Coast State or coastal 
        political subdivision until such time as an amount equal to the 
        amount expended for the unauthorized use--
                ``(i) has been deposited by the Gulf Coast State or 
            coastal political subdivision in the Trust Fund; or
                ``(ii) has been authorized by the Secretary of the 
            Treasury for expenditure by the Gulf Coast State or coastal 
            political subdivision for a project or program that meets 
            the requirements of this subsection.
            ``(H) Compliance with conditions.--If the Secretary of the 
        Treasury determines that a Gulf Coast State or coastal 
        political subdivision does not meet the requirements of this 
        paragraph, including the conditions of subparagraph (E), where 
        applicable, the Secretary of the Treasury shall make no amounts 
        from the Trust Fund available to that Gulf Coast State or 
        coastal political subdivision until all conditions of this 
        paragraph are met.
            ``(I) Public input.--In meeting any condition of this 
        paragraph, a Gulf Coast State may use an appropriate procedure 
        for public consultation in that Gulf Coast State, including 
        consulting with one or more established task forces or other 
        entities, to develop recommendations for proposed projects and 
        programs that would restore and protect the natural resources, 
        ecosystems, fisheries, marine and wildlife habitats, beaches, 
        coastal wetlands, and economy of the Gulf Coast.
            ``(J) Previously approved projects and programs.--A Gulf 
        Coast State or coastal political subdivision shall be 
        considered to have met the conditions of subparagraph (E) for a 
        specific project or program if, before the date of enactment of 
        the Resources and Ecosystems Sustainability, Tourist 
        Opportunities, and Revived Economies of the Gulf Coast States 
        Act of 2012--
                ``(i) the Gulf Coast State or coastal political 
            subdivision has established conditions for carrying out 
            projects and programs that are substantively the same as 
            the conditions described in subparagraph (E); and
                ``(ii) the applicable project or program carries out 1 
            or more of the activities described in clauses (i) and (ii) 
            of subparagraph (B).
            ``(K) Local preference.--In awarding contracts to carry out 
        a project or program under this paragraph, a Gulf Coast State 
        or coastal political subdivision may give a preference to 
        individuals and companies that reside in, are headquartered in, 
        or are principally engaged in business in the State of project 
        execution.
            ``(L) Unused funds.--Funds allocated to a State or coastal 
        political subdivision under this paragraph shall remain in the 
        Trust Fund until such time as the State or coastal political 
        subdivision develops and submits a plan identifying uses for 
        those funds in accordance with subparagraph (E)(iv).
            ``(M) Judicial review.--If the Secretary of the Treasury 
        determines that a Gulf Coast State or coastal political 
        subdivision does not meet the requirements of this paragraph, 
        including the conditions of subparagraph (E), the Gulf Coast 
        State or coastal political subdivision may obtain expedited 
        judicial review within 90 days after that decision in a 
        district court of the United States, of appropriate 
        jurisdiction and venue, that is located within the State 
        seeking the review.
            ``(N) Cost-sharing.--
                ``(i) In general.--A Gulf Coast State or coastal 
            political subdivision may use, in whole or in part, amounts 
            made available under this paragraph to that Gulf Coast 
            State or coastal political subdivision to satisfy the non-
            Federal share of the cost of any project or program 
            authorized by Federal law that is an eligible activity 
            described in clauses (i) and (ii) of subparagraph (B).
                ``(ii) Effect on other funds.--The use of funds made 
            available from the Trust Fund to satisfy the non-Federal 
            share of the cost of a project or program that meets the 
            requirements of clause (i) shall not affect the priority in 
            which other Federal funds are allocated or awarded.
        ``(2) Council establishment and allocation.--
            ``(A) In general.--Of the total amount made available in 
        any fiscal year from the Trust Fund, 30 percent shall be 
        disbursed to the Council to carry out the Comprehensive Plan.
            ``(B) Council expenditures.--
                ``(i) In general.--In accordance with this paragraph, 
            the Council shall expend funds made available from the 
            Trust Fund to undertake projects and programs, using the 
            best available science, that would restore and protect the 
            natural resources, ecosystems, fisheries, marine and 
            wildlife habitats, beaches, coastal wetlands, and economy 
            of the Gulf Coast.
                ``(ii) Allocation and expenditure procedures.--The 
            Secretary of the Treasury shall develop such conditions, 
            including audit requirements, as the Secretary of the 
            Treasury determines necessary to ensure that amounts 
            disbursed from the Trust Fund to the Council to implement 
            the Comprehensive Plan will be used in accordance with this 
            paragraph.
                ``(iii) Administrative expenses.--Of the amounts 
            received by the Council under this paragraph, not more than 
            3 percent may be used for administrative expenses, 
            including staff.
            ``(C) Gulf coast ecosystem restoration council.--
                ``(i) Establishment.--There is established as an 
            independent entity in the Federal Government a council to 
            be known as the `Gulf Coast Ecosystem Restoration Council'.
                ``(ii) Membership.--The Council shall consist of the 
            following members, or in the case of a Federal agency, a 
            designee at the level of the Assistant Secretary or the 
            equivalent:

                    ``(I) The Secretary of the Interior.
                    ``(II) The Secretary of the Army.
                    ``(III) The Secretary of Commerce.
                    ``(IV) The Administrator of the Environmental 
                Protection Agency.
                    ``(V) The Secretary of Agriculture.
                    ``(VI) The head of the department in which the 
                Coast Guard is operating.
                    ``(VII) The Governor of the State of Alabama.
                    ``(VIII) The Governor of the State of Florida.
                    ``(IX) The Governor of the State of Louisiana.
                    ``(X) The Governor of the State of Mississippi.
                    ``(XI) The Governor of the State of Texas.

                ``(iii) Alternate.--A Governor appointed to the Council 
            by the President may designate an alternate to represent 
            the Governor on the Council and vote on behalf of the 
            Governor.
                ``(iv) Chairperson.--From among the Federal agency 
            members of the Council, the representatives of States on 
            the Council shall select, and the President shall appoint, 
            1 Federal member to serve as Chairperson of the Council.
                ``(v) Presidential appointment.--All Council members 
            shall be appointed by the President.
                ``(vi) Council actions.--

                    ``(I) In general.--The following actions by the 
                Council shall require the affirmative vote of the 
                Chairperson and a majority of the State members to be 
                effective:

                        ``(aa) Approval of a Comprehensive Plan and 
                    future revisions to a Comprehensive Plan.
                        ``(bb) Approval of State plans pursuant to 
                    paragraph (3)(B)(iv).
                        ``(cc) Approval of reports to Congress pursuant 
                    to clause (vii)(VII).
                        ``(dd) Approval of transfers pursuant to 
                    subparagraph (E)(ii)(I).
                        ``(ee) Other significant actions determined by 
                    the Council.

                    ``(II) Quorum.--A majority of State members shall 
                be required to be present for the Council to take any 
                significant action.
                    ``(III) Affirmative vote requirement considered 
                met.--For approval of State plans pursuant to paragraph 
                (3)(B)(iv), the certification by a State member of the 
                Council that the plan satisfies all requirements of 
                clauses (i) and (ii) of paragraph (3)(B), when joined 
                by an affirmative vote of the Federal Chairperson of 
                the Council, shall be considered to satisfy the 
                requirements for affirmative votes under subclause (I).
                    ``(IV) Public transparency.--Appropriate actions of 
                the Council, including significant actions and 
                associated deliberations, shall be made available to 
                the public via electronic means prior to any vote.

                ``(vii) Duties of council.--The Council shall--

                    ``(I) develop the Comprehensive Plan and future 
                revisions to the Comprehensive Plan;
                    ``(II) identify as soon as practicable the projects 
                that--

                        ``(aa) have been authorized prior to the date 
                    of enactment of this subsection but not yet 
                    commenced; and
                        ``(bb) if implemented quickly, would restore 
                    and protect the natural resources, ecosystems, 
                    fisheries, marine and wildlife habitats, beaches, 
                    barrier islands, dunes, and coastal wetlands of the 
                    Gulf Coast region;

                    ``(III) establish such other 1 or more advisory 
                committees as may be necessary to assist the Council, 
                including a scientific advisory committee and a 
                committee to advise the Council on public policy 
                issues;
                    ``(IV) collect and consider scientific and other 
                research associated with restoration of the Gulf Coast 
                ecosystem, including research, observation, and 
                monitoring carried out pursuant to sections 1604 and 
                1605 of the Resources and Ecosystems Sustainability, 
                Tourist Opportunities, and Revived Economies of the 
                Gulf Coast States Act of 2012;
                    ``(V) develop standard terms to include in 
                contracts for projects and programs awarded pursuant to 
                the Comprehensive Plan that provide a preference to 
                individuals and companies that reside in, are 
                headquartered in, or are principally engaged in 
                business in a Gulf Coast State;
                    ``(VI) prepare an integrated financial plan and 
                recommendations for coordinated budget requests for the 
                amounts proposed to be expended by the Federal agencies 
                represented on the Council for projects and programs in 
                the Gulf Coast States; and
                    ``(VII) submit to Congress an annual report that--

                        ``(aa) summarizes the policies, strategies, 
                    plans, and activities for addressing the 
                    restoration and protection of the Gulf Coast 
                    region;
                        ``(bb) describes the projects and programs 
                    being implemented to restore and protect the Gulf 
                    Coast region, including--
                            ``(AA) a list of each project and program;
                            ``(BB) an identification of the funding 
                        provided to projects and programs identified in 
                        subitem (AA);
                            ``(CC) an identification of each recipient 
                        for funding identified in subitem (BB); and
                            ``(DD) a description of the length of time 
                        and funding needed to complete the objectives 
                        of each project and program identified in 
                        subitem (AA);
                        ``(cc) makes such recommendations to Congress 
                    for modifications of existing laws as the Council 
                    determines necessary to implement the Comprehensive 
                    Plan;
                        ``(dd) reports on the progress on 
                    implementation of each project or program--
                            ``(AA) after 3 years of ongoing activity of 
                        the project or program, if applicable; and
                            ``(BB) on completion of the project or 
                        program;
                        ``(ee) includes the information required to be 
                    submitted under section 1605(c)(4) of the Resources 
                    and Ecosystems Sustainability, Tourist 
                    Opportunities, and Revived Economies of the Gulf 
                    Coast States Act of 2012; and
                        ``(ff) submits the reports required under item 
                    (dd) to--
                            ``(AA) the Committee on Science, Space, and 
                        Technology, the Committee on Natural Resources, 
                        the Committee on Transportation and 
                        Infrastructure, and the Committee on 
                        Appropriations of the House of Representatives; 
                        and
                            ``(BB) the Committee on Environment and 
                        Public Works, the Committee on Commerce, 
                        Science, and Transportation, the Committee on 
                        Energy and Natural Resources, and the Committee 
                        on Appropriations of the Senate.
                ``(viii) Application of federal advisory committee 
            act.--The Council, or any other advisory committee 
            established under this subparagraph, shall not be 
            considered an advisory committee under the Federal Advisory 
            Committee Act (5 U.S.C. App.).
                ``(ix) Sunset.--The authority for the Council, and any 
            other advisory committee established under this 
            subparagraph, shall terminate on the date all funds in the 
            Trust Fund have been expended.
            ``(D) Comprehensive plan.--
                ``(i) Proposed plan.--

                    ``(I) In general.--Not later than 180 days after 
                the date of enactment of the Resources and Ecosystems 
                Sustainability, Tourist Opportunities, and Revived 
                Economies of the Gulf Coast States Act of 2012, the 
                Chairperson, on behalf of the Council and after 
                appropriate public input, review, and comment, shall 
                publish a proposed plan to restore and protect the 
                natural resources, ecosystems, fisheries, marine and 
                wildlife habitats, beaches, and coastal wetlands of the 
                Gulf Coast region.
                    ``(II) Inclusions.--The proposed plan described in 
                subclause (I) shall include and incorporate the 
                findings and information prepared by the President's 
                Gulf Coast Restoration Task Force.

                ``(ii) Publication.--

                    ``(I) Initial plan.--Not later than 1 year after 
                the date of enactment of the Resources and Ecosystems 
                Sustainability, Tourist Opportunities, and Revived 
                Economies of the Gulf Coast States Act of 2012 and 
                after notice and opportunity for public comment, the 
                Chairperson, on behalf of the Council and after 
                approval by the Council, shall publish in the Federal 
                Register the initial Comprehensive Plan to restore and 
                protect the natural resources, ecosystems, fisheries, 
                marine and wildlife habitats, beaches, and coastal 
                wetlands of the Gulf Coast region.
                    ``(II) Cooperation with gulf coast restoration task 
                force.--The Council shall develop the initial 
                Comprehensive Plan in close coordination with the 
                President's Gulf Coast Restoration Task Force.
                    ``(III) Considerations.--In developing the initial 
                Comprehensive Plan and subsequent updates, the Council 
                shall consider all relevant findings, reports, or 
                research prepared or funded under section 1604 or 1605 
                of the Resources and Ecosystems Sustainability, Tourist 
                Opportunities, and Revived Economies of the Gulf Coast 
                States Act of 2012.
                    ``(IV) Contents.--The initial Comprehensive Plan 
                shall include--

                        ``(aa) such provisions as are necessary to 
                    fully incorporate in the Comprehensive Plan the 
                    strategy, projects, and programs recommended by the 
                    President's Gulf Coast Restoration Task Force;
                        ``(bb) a list of any project or program 
                    authorized prior to the date of enactment of this 
                    subsection but not yet commenced, the completion of 
                    which would further the purposes and goals of this 
                    subsection and of the Resources and Ecosystems 
                    Sustainability, Tourist Opportunities, and Revived 
                    Economies of the Gulf Coast States Act of 2012;
                        ``(cc) a description of the manner in which 
                    amounts from the Trust Fund projected to be made 
                    available to the Council for the succeeding 10 
                    years will be allocated; and
                        ``(dd) subject to available funding in 
                    accordance with clause (iii), a prioritized list of 
                    specific projects and programs to be funded and 
                    carried out during the 3-year period immediately 
                    following the date of publication of the initial 
                    Comprehensive Plan, including a table that 
                    illustrates the distribution of projects and 
                    programs by the Gulf Coast State.

                    ``(V) Plan updates.--The Council shall update--

                        ``(aa) the Comprehensive Plan every 5 years in 
                    a manner comparable to the manner established in 
                    this subparagraph for each 5-year period for which 
                    amounts are expected to be made available to the 
                    Gulf Coast States from the Trust Fund; and
                        ``(bb) the 3-year list of projects and programs 
                    described in subclause (IV)(dd) annually.
                ``(iii) Restoration priorities.--Except for projects 
            and programs described in clause (ii)(IV)(bb), in selecting 
            projects and programs to include on the 3-year list 
            described in clause (ii)(IV)(dd), based on the best 
            available science, the Council shall give highest priority 
            to projects that address 1 or more of the following 
            criteria:

                    ``(I) Projects that are projected to make the 
                greatest contribution to restoring and protecting the 
                natural resources, ecosystems, fisheries, marine and 
                wildlife habitats, beaches, and coastal wetlands of the 
                Gulf Coast region, without regard to geographic 
                location within the Gulf Coast region.
                    ``(II) Large-scale projects and programs that are 
                projected to substantially contribute to restoring and 
                protecting the natural resources, ecosystems, 
                fisheries, marine and wildlife habitats, beaches, and 
                coastal wetlands of the Gulf Coast ecosystem.
                    ``(III) Projects contained in existing Gulf Coast 
                State comprehensive plans for the restoration and 
                protection of natural resources, ecosystems, fisheries, 
                marine and wildlife habitats, beaches, and coastal 
                wetlands of the Gulf Coast region.
                    ``(IV) Projects that restore long-term resiliency 
                of the natural resources, ecosystems, fisheries, marine 
                and wildlife habitats, beaches, and coastal wetlands 
                most impacted by the Deepwater Horizon oil spill.

            ``(E) Implementation.--
                ``(i) In general.--The Council, acting through the 
            Federal agencies represented on the Council and Gulf Coast 
            States, shall expend funds made available from the Trust 
            Fund to carry out projects and programs adopted in the 
            Comprehensive Plan.
                ``(ii) Administrative responsibility.--

                    ``(I) In general.--Primary authority and 
                responsibility for each project and program included in 
                the Comprehensive Plan shall be assigned by the Council 
                to a Gulf Coast State represented on the Council or a 
                Federal agency.
                    ``(II) Transfer of amounts.--Amounts necessary to 
                carry out each project or program included in the 
                Comprehensive Plan shall be transferred by the 
                Secretary of the Treasury from the Trust Fund to that 
                Federal agency or Gulf Coast State as the project or 
                program is implemented, subject to such conditions as 
                the Secretary of the Treasury, in consultation with the 
                Secretary of the Interior and the Secretary of 
                Commerce, established pursuant to section 1602 of the 
                Resources and Ecosystems Sustainability, Tourist 
                Opportunities, and Revived Economies of the Gulf Coast 
                States Act of 2012.
                    ``(III) Limitation on transfers.--

                        ``(aa) Grants to nongovernmental entities.--In 
                    the case of funds transferred to a Federal or State 
                    agency under subclause (II), the agency shall not 
                    make 1 or more grants or cooperative agreements to 
                    a nongovernmental entity if the total amount 
                    provided to the entity would equal or exceed 10 
                    percent of the total amount provided to the agency 
                    for that particular project or program, unless the 
                    1 or more grants have been reported in accordance 
                    with item (bb).
                        ``(bb) Reporting of grantees.--At least 30 days 
                    prior to making a grant or entering into a 
                    cooperative agreement described in item (aa), the 
                    name of each grantee, including the amount and 
                    purpose of each grant or cooperative agreement, 
                    shall be published in the Federal Register and 
                    delivered to the congressional committees listed in 
                    subparagraph (C)(vii)(VII)(ff).
                        ``(cc) Annual reporting of grantees.--Annually, 
                    the name of each grantee, including the amount and 
                    purposes of each grant or cooperative agreement, 
                    shall be published in the Federal Register and 
                    delivered to Congress as part of the report 
                    submitted pursuant to subparagraph (C)(vii)(VII).

                    ``(IV) Project and program limitation.--The 
                Council, a Federal agency, or a State may not carry out 
                a project or program funded under this paragraph 
                outside of the Gulf Coast region.

            ``(F) Coordination.--The Council and the Federal members of 
        the Council may develop memoranda of understanding establishing 
        integrated funding and implementation plans among the member 
        agencies and authorities.
        ``(3) Oil spill restoration impact allocation.--
            ``(A) In general.--
                ``(i) Disbursement.--Of the total amount made available 
            from the Trust Fund, 30 percent shall be disbursed pursuant 
            to the formula in clause (ii) to the Gulf Coast States on 
            the approval of the plan described in subparagraph (B)(i).
                ``(ii) Formula.--Subject to subparagraph (B), for each 
            Gulf Coast State, the amount disbursed under this paragraph 
            shall be based on a formula established by the Council by 
            regulation that is based on a weighted average of the 
            following criteria:

                    ``(I) 40 percent based on the proportionate number 
                of miles of shoreline in each Gulf Coast State that 
                experienced oiling on or before April 10, 2011, 
                compared to the total number of miles of shoreline that 
                experienced oiling as a result of the Deepwater Horizon 
                oil spill.
                    ``(II) 40 percent based on the inverse proportion 
                of the average distance from the mobile offshore 
                drilling unit Deepwater Horizon at the time of the 
                explosion to the nearest and farthest point of the 
                shoreline that experienced oiling of each Gulf Coast 
                State.
                    ``(III) 20 percent based on the average population 
                in the 2010 decennial census of coastal counties 
                bordering the Gulf of Mexico within each Gulf Coast 
                State.

                ``(iii) Minimum allocation.--The amount disbursed to a 
            Gulf Coast State for each fiscal year under clause (ii) 
            shall be at least 5 percent of the total amounts made 
            available under this paragraph.
            ``(B) Disbursement of funds.--
                ``(i) In general.--The Council shall disburse amounts 
            to the respective Gulf Coast States in accordance with the 
            formula developed under subparagraph (A) for projects, 
            programs, and activities that will improve the ecosystems 
            or economy of the Gulf Coast region, subject to the 
            condition that each Gulf Coast State submits a plan for the 
            expenditure of amounts disbursed under this paragraph that 
            meets the following criteria:

                    ``(I) All projects, programs, and activities 
                included in the plan are eligible activities pursuant 
                to clauses (i) and (ii) of paragraph (1)(B).
                    ``(II) The projects, programs, and activities 
                included in the plan contribute to the overall economic 
                and ecological recovery of the Gulf Coast.
                    ``(III) The plan takes into consideration the 
                Comprehensive Plan and is consistent with the goals and 
                objectives of the Plan, as described in paragraph 
                (2)(B)(i).

                ``(ii) Funding.--

                    ``(I) In general.--Except as provided in subclause 
                (II), the plan described in clause (i) may use not more 
                than 25 percent of the funding made available for 
                infrastructure projects eligible under subclauses (VI) 
                and (VII) of paragraph (1)(B)(i).
                    ``(II) Exception.--The plan described in clause (i) 
                may propose to use more than 25 percent of the funding 
                made available for infrastructure projects eligible 
                under subclauses (VI) and (VII) of paragraph (1)(B)(i) 
                if the plan certifies that--

                        ``(aa) ecosystem restoration needs in the State 
                    will be addressed by the projects in the proposed 
                    plan; and
                        ``(bb) additional investment in infrastructure 
                    is required to mitigate the impacts of the 
                    Deepwater Horizon Oil Spill to the ecosystem or 
                    economy.
                ``(iii) Development.--The plan described in clause (i) 
            shall be developed by--

                    ``(I) in the State of Alabama, the Alabama Gulf 
                Coast Recovery Council established under paragraph 
                (1)(F)(i);
                    ``(II) in the State of Florida, a consortia of 
                local political subdivisions that includes at a minimum 
                1 representative of each affected county;
                    ``(III) in the State of Louisiana, the Coastal 
                Protection and Restoration Authority of Louisiana;
                    ``(IV) in the State of Mississippi, the Office of 
                the Governor or an appointee of the Office of the 
                Governor; and
                    ``(V) in the State of Texas, the Office of the 
                Governor or an appointee of the Office of the Governor.

                ``(iv) Approval.--Not later than 60 days after the date 
            on which a plan is submitted under clause (i), the Council 
            shall approve or disapprove the plan based on the 
            conditions of clause (i).
            ``(C) Disapproval.--If the Council disapproves a plan 
        pursuant to subparagraph (B)(iv), the Council shall--
                ``(i) provide the reasons for disapproval in writing; 
            and
                ``(ii) consult with the State to address any identified 
            deficiencies with the State plan.
            ``(D) Failure to submit adequate plan.--If a State fails to 
        submit an adequate plan under this paragraph, any funds made 
        available under this paragraph shall remain in the Trust Fund 
        until such date as a plan is submitted and approved pursuant to 
        this paragraph.
            ``(E) Judicial review.--If the Council fails to approve or 
        take action within 60 days on a plan, as described in 
        subparagraph (B)(iv), the State may obtain expedited judicial 
        review within 90 days of that decision in a district court of 
        the United States, of appropriate jurisdiction and venue, that 
        is located within the State seeking the review.
            ``(F) Cost-sharing.--
                ``(i) In general.--A Gulf Coast State or coastal 
            political subdivision may use, in whole or in part, amounts 
            made available to that Gulf Coast State or coastal 
            political subdivision under this paragraph to satisfy the 
            non-Federal share of any project or program that--

                    ``(I) is authorized by other Federal law; and
                    ``(II) is an eligible activity described in clause 
                (i) or (ii) of paragraph (1)(B).

                ``(ii) Effect on other funds.--The use of funds made 
            available from the Trust Fund under this paragraph to 
            satisfy the non-Federal share of the cost of a project or 
            program described in clause (i) shall not affect the 
            priority in which other Federal funds are allocated or 
            awarded.
        ``(4) Authorization of interest transfers.--Of the total amount 
    made available for any fiscal year from the Trust Fund that is 
    equal to the interest earned by the Trust Fund and proceeds from 
    investments made by the Trust Fund in the preceding fiscal year--
            ``(A) 50 percent shall be divided equally between--
                ``(i) the Gulf Coast Ecosystem Restoration Science, 
            Observation, Monitoring, and Technology program authorized 
            in section 1604 of the Resources and Ecosystems 
            Sustainability, Tourist Opportunities, and Revived 
            Economies of the Gulf Coast States Act of 2012; and
                ``(ii) the centers of excellence research grants 
            authorized in section 1605 of that Act; and
            ``(B) 50 percent shall be made available to the Gulf Coast 
        Ecosystem Restoration Council to carry out the Comprehensive 
        Plan pursuant to paragraph (2).''.
SEC. 1604. GULF COAST ECOSYSTEM RESTORATION SCIENCE, OBSERVATION, 
MONITORING, AND TECHNOLOGY PROGRAM.
    (a) Definitions.--In this section:
        (1) Administrator.--The term ``Administrator'' means the 
    Administrator of the National Oceanic and Atmospheric 
    Administration.
        (2) Commission.--The term ``Commission'' means the Gulf States 
    Marine Fisheries Commission.
        (3) Director.--The term ``Director'' means the Director of the 
    United States Fish and Wildlife Service.
        (4) Program.--The term ``program'' means the Gulf Coast 
    Ecosystem Restoration Science, Observation, Monitoring, and 
    Technology program established under this section.
    (b) Establishment of Program.--
        (1) In general.--Not later than 180 days after the date of 
    enactment of this Act, the Administrator, in consultation with the 
    Director, shall establish the Gulf Coast Ecosystem Restoration 
    Science, Observation, Monitoring, and Technology program to carry 
    out research, observation, and monitoring to support, to the 
    maximum extent practicable, the long-term sustainability of the 
    ecosystem, fish stocks, fish habitat, and the recreational, 
    commercial, and charter fishing industry in the Gulf of Mexico.
        (2) Expenditure of funds.--For each fiscal year, amounts made 
    available to carry out this subsection may be expended for, with 
    respect to the Gulf of Mexico--
            (A) marine and estuarine research;
            (B) marine and estuarine ecosystem monitoring and ocean 
        observation;
            (C) data collection and stock assessments;
            (D) pilot programs for--
                (i) fishery independent data; and
                (ii) reduction of exploitation of spawning 
            aggregations; and
            (E) cooperative research.
        (3) Cooperation with the commission.--For each fiscal year, 
    amounts made available to carry out this subsection may be 
    transferred to the Commission to establish a fisheries monitoring 
    and research program, with respect to the Gulf of Mexico.
        (4) Consultation.--The Administrator and the Director shall 
    consult with the Regional Gulf of Mexico Fishery Management Council 
    and the Commission in carrying out the program.
    (c) Species Included.--The research, monitoring, assessment, and 
programs eligible for amounts made available under the program shall 
include all marine, estuarine, aquaculture, and fish species in State 
and Federal waters of the Gulf of Mexico.
    (d) Research Priorities.--In distributing funding under this 
subsection, priority shall be given to integrated, long-term projects 
that--
        (1) build on, or are coordinated with, related research 
    activities; and
        (2) address current or anticipated marine ecosystem, fishery, 
    or wildlife management information needs.
    (e) Duplication.--In carrying out this section, the Administrator, 
in consultation with the Director, shall seek to avoid duplication of 
other research and monitoring activities.
    (f) Coordination With Other Programs.--The Administrator, in 
consultation with the Director, shall develop a plan for the 
coordination of projects and activities between the program and other 
existing Federal and State science and technology programs in the 
States of Alabama, Florida, Louisiana, Mississippi, and Texas, as well 
as between the centers of excellence.
    (g) Limitation on Expenditures.--
        (1) In general.--Not more than 3 percent of funds provided in 
    subsection (h) shall be used for administrative expenses.
        (2) NOAA.--The funds provided in subsection (h) may not be 
    used--
            (A) for any existing or planned research led by the 
        National Oceanic and Atmospheric Administration, unless agreed 
        to in writing by the grant recipient;
            (B) to implement existing regulations or initiate new 
        regulations promulgated or proposed by the National Oceanic and 
        Atmospheric Administration; or
            (C) to develop or approve a new limited access privilege 
        program (as that term is used in section 303A of the Magnuson-
        Stevens Fishery Conservation and Management Act (16 U.S.C. 
        1853a)) for any fishery under the jurisdiction of the South 
        Atlantic, Mid-Atlantic, New England, or Gulf of Mexico Fishery 
        Management Councils.
    (h) Funding.--Of the total amount made available for each fiscal 
year for the Gulf Coast Restoration Trust Fund established under 
section 1602, 2.5 percent shall be available to carry out the program.
    (i) Sunset.--The program shall cease operations when all funds in 
the Gulf Coast Restoration Trust Fund established under section 1602 
have been expended.
SEC. 1605. CENTERS OF EXCELLENCE RESEARCH GRANTS.
    (a) In General.--Of the total amount made available for each fiscal 
year from the Gulf Coast Restoration Trust Fund established under 
section 1602, 2.5 percent shall be made available to the Gulf Coast 
States (as defined in section 311(a) of the Federal Water Pollution 
Control Act (as added by section 1603 of the Resources and Ecosystems 
Sustainability, Tourist Opportunities, and Revived Economies of the 
Gulf Coast States Act of 2012)), in equal shares, exclusively for 
grants in accordance with subsection (c) to establish centers of 
excellence to conduct research only on the Gulf Coast Region (as 
defined in section 311 of the Federal Water Pollution Control Act (33. 
U.S.C. 1321)).
    (b) Approval by State Entity, Task Force, or Agency.--The duties of 
a Gulf Coast State under this section shall be carried out by the 
applicable Gulf Coast State entities, task forces, or agencies listed 
in section 311(t)(1)(F) of the Federal Water Pollution Control Act (as 
added by section 1603 of the Resources and Ecosystems Sustainability, 
Tourist Opportunities, and Revived Economies of the Gulf Coast States 
Act of 2012), and for the State of Florida, a consortium of public and 
private research institutions within the State, which shall include the 
Florida Department of Environmental Protection and the Florida Fish and 
Wildlife Conservation Commission, for that Gulf Coast State.
    (c) Grants.--
        (1) In general.--A Gulf Coast State shall use the amounts made 
    available to carry out this section to award competitive grants to 
    nongovernmental entities and consortia in the Gulf Coast region 
    (including public and private institutions of higher education) for 
    the establishment of centers of excellence as described in 
    subsection (d).
        (2) Application.--To be eligible to receive a grant under this 
    subsection, an entity or consortium described in paragraph (1) 
    shall submit to a Gulf Coast State an application at such time, in 
    such manner, and containing such information as the Gulf Coast 
    State determines to be appropriate.
        (3) Priority.--In awarding grants under this subsection, a Gulf 
    Coast State shall give priority to entities and consortia that 
    demonstrate the ability to establish the broadest cross-section of 
    participants with interest and expertise in any discipline 
    described in subsection (d) on which the proposal of the center of 
    excellence will be focused.
        (4) Reporting.--
            (A) In general.--Each Gulf Coast State shall provide 
        annually to the Gulf Coast Ecosystem Restoration Council 
        established under section 311(t)(2)(C) of the Federal Water 
        Pollution Control Act (as added by section 1603 of the 
        Resources and Ecosystems Sustainability, Tourist Opportunities, 
        and Revived Economies of the Gulf Coast States Act of 2012) 
        information regarding all grants, including the amount, 
        discipline or disciplines, and recipients of the grants, and in 
        the case of any grant awarded to a consortium, the membership 
        of the consortium.
            (B) Inclusion.--The Gulf Coast Ecosystem Restoration 
        Council shall include the information received under 
        subparagraph (A) in the annual report to Congress of the 
        Council required under section 311(t)(2)(C)(vii)(VII) of the 
        Federal Water Pollution Control Act (as added by section 1603 
        of the Resources and Ecosystems Sustainability, Tourist 
        Opportunities, and Revived Economies of the Gulf Coast States 
        Act of 2012).
    (d) Disciplines.--Each center of excellence shall focus on science, 
technology, and monitoring in at least 1 of the following disciplines:
        (1) Coastal and deltaic sustainability, restoration and 
    protection, including solutions and technology that allow citizens 
    to live in a safe and sustainable manner in a coastal delta in the 
    Gulf Coast Region.
        (2) Coastal fisheries and wildlife ecosystem research and 
    monitoring in the Gulf Coast Region.
        (3) Offshore energy development, including research and 
    technology to improve the sustainable and safe development of 
    energy resources in the Gulf of Mexico.
        (4) Sustainable and resilient growth, economic and commercial 
    development in the Gulf Coast Region.
        (5) Comprehensive observation, monitoring, and mapping of the 
    Gulf of Mexico.
SEC. 1606. EFFECT.
    (a) Definition of Deepwater Horizon Oil Spill.--In this section, 
the term ``Deepwater Horizon oil spill'' has the meaning given the term 
in section 311(a) of the Federal Water Pollution Control Act (33 U.S.C. 
1321(a)).
    (b) Effect and Application.--Nothing in this subtitle or any 
amendment made by this subtitle--
        (1) supersedes or otherwise affects any other provision of 
    Federal law, including, in particular, laws providing recovery for 
    injury to natural resources under the Oil Pollution Act of 1990 (33 
    U.S.C. 2701 et seq.) and laws for the protection of public health 
    and the environment; or
        (2) applies to any fine collected under section 311 of the 
    Federal Water Pollution Control Act (33 U.S.C. 1321) for any 
    incident other than the Deepwater Horizon oil spill.
    (c) Use of Funds.--Funds made available under this subtitle may be 
used only for eligible activities specifically authorized by this 
subtitle and the amendments made by this subtitle.
SEC. 1607. RESTORATION AND PROTECTION ACTIVITY LIMITATIONS.
    (a) Willing Seller.--Funds made available under this subtitle may 
only be used to acquire land or interests in land by purchase, 
exchange, or donation from a willing seller.
    (b) Acquisition of Federal Land.--None of the funds made available 
under this subtitle may be used to acquire land in fee title by the 
Federal Government unless--
        (1) the land is acquired by exchange or donation; or
        (2) the acquisition is necessary for the restoration and 
    protection of the natural resources, ecosystems, fisheries, marine 
    and wildlife habitats, beaches, and coastal wetlands of the Gulf 
    Coast region and has the concurrence of the Governor of the State 
    in which the acquisition will take place.
SEC. 1608. INSPECTOR GENERAL.
    The Office of the Inspector General of the Department of the 
Treasury shall have authority to conduct, supervise, and coordinate 
audits and investigations of projects, programs, and activities funded 
under this subtitle and the amendments made by this subtitle.

          TITLE II--AMERICA FAST FORWARD FINANCING INNOVATION

SEC. 2001. SHORT TITLE.
    This title may be cited as the ``America Fast Forward Financing 
Innovation Act of 2012''.
SEC. 2002. TRANSPORTATION INFRASTRUCTURE FINANCE AND INNOVATION ACT OF 
1998 AMENDMENTS.
    Sections 601 through 609 of title 23, United States Code, are 
amended to read as follows:
``Sec. 601. Generally applicable provisions
    ``(a) Definitions.--In this chapter, the following definitions 
apply:
        ``(1) Contingent commitment.--The term `contingent commitment' 
    means a commitment to obligate an amount from future available 
    budget authority that is--
            ``(A) contingent on those funds being made available in law 
        at a future date; and
            ``(B) not an obligation of the Federal Government.
        ``(2) Eligible project costs.--The term `eligible project 
    costs' means amounts substantially all of which are paid by, or for 
    the account of, an obligor in connection with a project, including 
    the cost of--
            ``(A) development phase activities, including planning, 
        feasibility analysis, revenue forecasting, environmental 
        review, permitting, preliminary engineering and design work, 
        and other preconstruction activities;
            ``(B) construction, reconstruction, rehabilitation, 
        replacement, and acquisition of real property (including land 
        relating to the project and improvements to land), 
        environmental mitigation, construction contingencies, and 
        acquisition of equipment; and
            ``(C) capitalized interest necessary to meet market 
        requirements, reasonably required reserve funds, capital 
        issuance expenses, and other carrying costs during 
        construction.
        ``(3) Federal credit instrument.--The term `Federal credit 
    instrument' means a secured loan, loan guarantee, or line of credit 
    authorized to be made available under this chapter with respect to 
    a project.
        ``(4) Investment-grade rating.--The term `investment-grade 
    rating' means a rating of BBB minus, Baa3, bbb minus, BBB (low), or 
    higher assigned by a rating agency to project obligations.
        ``(5) Lender.--The term `lender' means any non-Federal 
    qualified institutional buyer (as defined in section 230.144A(a) of 
    title 17, Code of Federal Regulations (or any successor 
    regulation), known as Rule 144A(a) of the Securities and Exchange 
    Commission and issued under the Securities Act of 1933 (15 U.S.C. 
    77a et seq.)), including--
            ``(A) a qualified retirement plan (as defined in section 
        4974(c) of the Internal Revenue Code of 1986) that is a 
        qualified institutional buyer; and
            ``(B) a governmental plan (as defined in section 414(d) of 
        the Internal Revenue Code of 1986) that is a qualified 
        institutional buyer.
        ``(6) Letter of interest.--The term `letter of interest' means 
    a letter submitted by a potential applicant prior to an application 
    for credit assistance in a format prescribed by the Secretary on 
    the website of the TIFIA program that--
            ``(A) describes the project and the location, purpose, and 
        cost of the project;
            ``(B) outlines the proposed financial plan, including the 
        requested credit assistance and the proposed obligor;
            ``(C) provides a status of environmental review; and
            ``(D) provides information regarding satisfaction of other 
        eligibility requirements of the TIFIA program.
        ``(7) Line of credit.--The term `line of credit' means an 
    agreement entered into by the Secretary with an obligor under 
    section 604 to provide a direct loan at a future date upon the 
    occurrence of certain events.
        ``(8) Limited buydown.--The term `limited buydown' means, 
    subject to the conditions described in section 603(b)(4)(C), a 
    buydown of the interest rate by the obligor if the interest rate 
    has increased between--
            ``(A)(i) the date on which a project application acceptable 
        to the Secretary is submitted; or
            ``(ii) the date on which the Secretary entered into a 
        master credit agreement; and
            ``(B) the date on which the Secretary executes the Federal 
        credit instrument.
        ``(9) Loan guarantee.--The term `loan guarantee' means any 
    guarantee or other pledge by the Secretary to pay all or part of 
    the principal of and interest on a loan or other debt obligation 
    issued by an obligor and funded by a lender.
        ``(10) Master credit agreement.--The term `master credit 
    agreement' means an agreement to extend credit assistance for a 
    program of projects secured by a common security pledge (which 
    shall receive an investment grade rating from a rating agency), or 
    for a single project covered under section 602(b)(2) that would--
            ``(A) make contingent commitments of 1 or more secured 
        loans or other Federal credit instruments at future dates, 
        subject to the availability of future funds being made 
        available to carry out this chapter;
            ``(B) establish the maximum amounts and general terms and 
        conditions of the secured loans or other Federal credit 
        instruments;
            ``(C) identify the 1 or more dedicated non-Federal revenue 
        sources that will secure the repayment of the secured loans or 
        secured Federal credit instruments;
            ``(D) provide for the obligation of funds for the secured 
        loans or secured Federal credit instruments after all 
        requirements have been met for the projects subject to the 
        master credit agreement, including--
                ``(i) completion of an environmental impact statement 
            or similar analysis required under the National 
            Environmental Policy Act of 1969 (42 U.S.C. 4321 et seq.);
                ``(ii) compliance with such other requirements as are 
            specified in section 602(c); and
                ``(iii) the availability of funds to carry out this 
            chapter; and
            ``(E) require that contingent commitments result in a 
        financial close and obligation of credit assistance not later 
        than 3 years after the date of entry into the master credit 
        agreement, or release of the commitment, unless otherwise 
        extended by the Secretary.
        ``(11) Obligor.--The term `obligor' means a party that--
            ``(A) is primarily liable for payment of the principal of 
        or interest on a Federal credit instrument; and
            ``(B) may be a corporation, partnership, joint venture, 
        trust, or governmental entity, agency, or instrumentality.
        ``(12) Project.--The term `project' means--
            ``(A) any surface transportation project eligible for 
        Federal assistance under this title or chapter 53 of title 49;
            ``(B) a project for an international bridge or tunnel for 
        which an international entity authorized under Federal or State 
        law is responsible;
            ``(C) a project for intercity passenger bus or rail 
        facilities and vehicles, including facilities and vehicles 
        owned by the National Railroad Passenger Corporation and 
        components of magnetic levitation transportation systems; and
            ``(D) a project that--
                ``(i) is a project--

                    ``(I) for a public freight rail facility or a 
                private facility providing public benefit for highway 
                users by way of direct freight interchange between 
                highway and rail carriers;
                    ``(II) for an intermodal freight transfer facility;
                    ``(III) for a means of access to a facility 
                described in subclause (I) or (II);
                    ``(IV) for a service improvement for a facility 
                described in subclause (I) or (II) (including a capital 
                investment for an intelligent transportation system); 
                or
                    ``(V) that comprises a series of projects described 
                in subclauses (I) through (IV) with the common 
                objective of improving the flow of goods;

                ``(ii) may involve the combining of private and public 
            sector funds, including investment of public funds in 
            private sector facility improvements;
                ``(iii) if located within the boundaries of a port 
            terminal, includes only such surface transportation 
            infrastructure modifications as are necessary to facilitate 
            direct intermodal interchange, transfer, and access into 
            and out of the port; and
                ``(iv) is composed of related highway, surface 
            transportation, transit, rail, or intermodal capital 
            improvement projects eligible for assistance under this 
            section in order to meet the eligible project cost 
            threshold under section 602, by grouping related projects 
            together for that purpose, subject to the condition that 
            the credit assistance for the projects is secured by a 
            common pledge.
        ``(13) Project obligation.--The term `project obligation' means 
    any note, bond, debenture, or other debt obligation issued by an 
    obligor in connection with the financing of a project, other than a 
    Federal credit instrument.
        ``(14) Rating agency.--The term `rating agency' means a credit 
    rating agency registered with the Securities and Exchange 
    Commission as a nationally recognized statistical rating 
    organization (as that term is defined in section 3(a) of the 
    Securities Exchange Act of 1934 (15 U.S.C. 78c(a))).
        ``(15) Rural infrastructure project.--The term `rural 
    infrastructure project' means a surface transportation 
    infrastructure project located in any area other than a city with a 
    population of more than 250,000 inhabitants within the city limits.
        ``(16) Secured loan.--The term `secured loan' means a direct 
    loan or other debt obligation issued by an obligor and funded by 
    the Secretary in connection with the financing of a project under 
    section 603.
        ``(17) State.--The term `State' has the meaning given the term 
    in section 101.
        ``(18) Subsidy amount.--The term `subsidy amount' means the 
    amount of budget authority sufficient to cover the estimated long-
    term cost to the Federal Government of a Federal credit 
    instrument--
            ``(A) calculated on a net present value basis; and
            ``(B) excluding administrative costs and any incidental 
        effects on governmental receipts or outlays in accordance with 
        the Federal Credit Reform Act of 1990 (2 U.S.C. 661 et seq.).
        ``(19) Substantial completion.--The term `substantial 
    completion' means--
            ``(A) the opening of a project to vehicular or passenger 
        traffic; or
            ``(B) a comparable event, as determined by the Secretary 
        and specified in the credit agreement.
        ``(20) TIFIA program.--The term `TIFIA program' means the 
    transportation infrastructure finance and innovation program of the 
    Department.
    ``(b) Treatment of Chapter.--For purposes of this title, this 
chapter shall be treated as being part of chapter 1.
``Sec. 602. Determination of eligibility and project selection
    ``(a) Eligibility.--
        ``(1) In general.--A project shall be eligible to receive 
    credit assistance under this chapter if--
            ``(A) the entity proposing to carry out the project submits 
        a letter of interest prior to submission of a formal 
        application for the project; and
            ``(B) the project meets the criteria described in this 
        subsection.
        ``(2) Creditworthiness.--
            ``(A) In general.--To be eligible for assistance under this 
        chapter, a project shall satisfy applicable creditworthiness 
        standards, which, at a minimum, shall include--
                ``(i) a rate covenant, if applicable;
                ``(ii) adequate coverage requirements to ensure 
            repayment;
                ``(iii) an investment grade rating from at least 2 
            rating agencies on debt senior to the Federal credit 
            instrument; and
                ``(iv) a rating from at least 2 rating agencies on the 
            Federal credit instrument, subject to the condition that, 
            with respect to clause (iii), if the total amount of the 
            senior debt and the Federal credit instrument is less than 
            $75,000,000, 1 rating agency opinion for each of the senior 
            debt and Federal credit instrument shall be sufficient.
            ``(B) Senior debt.--Notwithstanding subparagraph (A), in a 
        case in which the Federal credit instrument is the senior debt, 
        the Federal credit instrument shall be required to receive an 
        investment grade rating from at least 2 rating agencies, unless 
        the credit instrument is for an amount less than $75,000,000, 
        in which case 1 rating agency opinion shall be sufficient.
        ``(3) Inclusion in transportation plans and programs.--A 
    project shall satisfy the applicable planning and programming 
    requirements of sections 134 and 135 at such time as an agreement 
    to make available a Federal credit instrument is entered into under 
    this chapter.
        ``(4) Application.--A State, local government, public 
    authority, public-private partnership, or any other legal entity 
    undertaking the project and authorized by the Secretary shall 
    submit a project application that is acceptable to the Secretary.
        ``(5) Eligible project costs.--
            ``(A) In general.--Except as provided in subparagraph (B), 
        to be eligible for assistance under this chapter, a project 
        shall have eligible project costs that are reasonably 
        anticipated to equal or exceed the lesser of--
                ``(i)(I) $50,000,000; or
                ``(II) in the case of a rural infrastructure project, 
            $25,000,000; and
                ``(ii) 33\1/3\ percent of the amount of Federal highway 
            assistance funds apportioned for the most recently 
            completed fiscal year to the State in which the project is 
            located.
            ``(B) Intelligent transportation system projects.--In the 
        case of a project principally involving the installation of an 
        intelligent transportation system, eligible project costs shall 
        be reasonably anticipated to equal or exceed $15,000,000.
        ``(6) Dedicated revenue sources.--The applicable Federal credit 
    instrument shall be repayable, in whole or in part, from--
            ``(A) tolls;
            ``(B) user fees;
            ``(C) payments owing to the obligor under a public-private 
        partnership; or
            ``(D) other dedicated revenue sources that also secure or 
        fund the project obligations.
        ``(7) Public sponsorship of private entities.--In the case of a 
    project that is undertaken by an entity that is not a State or 
    local government or an agency or instrumentality of a State or 
    local government, the project that the entity is undertaking shall 
    be publicly sponsored as provided in paragraph (3).
        ``(8) Applications where obligor will be identified later.--A 
    State, local government, agency or instrumentality of a State or 
    local government, or public authority may submit to the Secretary 
    an application under paragraph (4), under which a private party to 
    a public-private partnership will be--
            ``(A) the obligor; and
            ``(B) identified later through completion of a procurement 
        and selection of the private party.
        ``(9) Beneficial effects.--The Secretary shall determine that 
    financial assistance for the project under this chapter will--
            ``(A) foster, if appropriate, partnerships that attract 
        public and private investment for the project;
            ``(B) enable the project to proceed at an earlier date than 
        the project would otherwise be able to proceed or reduce the 
        lifecycle costs (including debt service costs) of the project; 
        and
            ``(C) reduce the contribution of Federal grant assistance 
        for the project.
        ``(10) Project readiness.--To be eligible for assistance under 
    this chapter, the applicant shall demonstrate a reasonable 
    expectation that the contracting process for construction of the 
    project can commence by not later than 90 days after the date on 
    which a Federal credit instrument is obligated for the project 
    under this chapter.
    ``(b) Selection Among Eligible Projects.--
        ``(1) Establishment.--The Secretary shall establish a rolling 
    application process under which projects that are eligible to 
    receive credit assistance under subsection (a) shall receive credit 
    assistance on terms acceptable to the Secretary, if adequate funds 
    are available to cover the subsidy costs associated with the 
    Federal credit instrument.
        ``(2) Adequate funding not available.--If the Secretary fully 
    obligates funding to eligible projects in a fiscal year, and 
    adequate funding is not available to fund a credit instrument, a 
    project sponsor of an eligible project may elect to enter into a 
    master credit agreement and wait until the earlier of--
            ``(A) the following fiscal year; and
            ``(B) the fiscal year during which additional funds are 
        available to receive credit assistance.
        ``(3) Preliminary rating opinion letter.--The Secretary shall 
    require each project applicant to provide a preliminary rating 
    opinion letter from at least 1 rating agency--
            ``(A) indicating that the senior obligations of the 
        project, which may be the Federal credit instrument, have the 
        potential to achieve an investment-grade rating; and
            ``(B) including a preliminary rating opinion on the Federal 
        credit instrument.
    ``(c) Federal Requirements.--
        ``(1) In general.--In addition to the requirements of this 
    title for highway projects, the requirements of chapter 53 of title 
    49 for transit projects, and the requirements of section 5333(a) of 
    title 49 for rail projects, the following provisions of law shall 
    apply to funds made available under this chapter and projects 
    assisted with those funds:
            ``(A) Title VI of the Civil Rights Act of 1964 (42 U.S.C. 
        2000d et seq.).
            ``(B) The National Environmental Policy Act of 1969 (42 
        U.S.C. 4321 et seq.).
            ``(C) The Uniform Relocation Assistance and Real Property 
        Acquisition Policies Act of 1970 (42 U.S.C. 4601 et seq.).
        ``(2) NEPA.--No funding shall be obligated for a project that 
    has not received an environmental categorical exclusion, a finding 
    of no significant impact, or a record of decision under the 
    National Environmental Policy Act of 1969 (42 U.S.C. 4321 et seq.).
    ``(d) Application Processing Procedures.--
        ``(1) Notice of complete application.--Not later than 30 days 
    after the date of receipt of an application under this section, the 
    Secretary shall provide to the applicant a written notice to inform 
    the applicant whether--
            ``(A) the application is complete; or
            ``(B) additional information or materials are needed to 
        complete the application.
        ``(2) Approval or denial of application.--Not later than 60 
    days after the date of issuance of the written notice under 
    paragraph (1), the Secretary shall provide to the applicant a 
    written notice informing the applicant whether the Secretary has 
    approved or disapproved the application.
    ``(e) Development Phase Activities.--Any credit instrument secured 
under this chapter may be used to finance up to 100 percent of the cost 
of development phase activities as described in section 601(a)(1)(A).
``Sec. 603. Secured loans
    ``(a) In General.--
        ``(1) Agreements.--Subject to paragraphs (2) and (3), the 
    Secretary may enter into agreements with 1 or more obligors to make 
    secured loans, the proceeds of which shall be used--
            ``(A) to finance eligible project costs of any project 
        selected under section 602;
            ``(B) to refinance interim construction financing of 
        eligible project costs of any project selected under section 
        602;
            ``(C) to refinance existing Federal credit instruments for 
        rural infrastructure projects; or
            ``(D) to refinance long-term project obligations or Federal 
        credit instruments, if the refinancing provides additional 
        funding capacity for the completion, enhancement, or expansion 
        of any project that--
                ``(i) is selected under section 602; or
                ``(ii) otherwise meets the requirements of section 602.
        ``(2) Limitation on refinancing of interim construction 
    financing.--A loan under paragraph (1) shall not refinance interim 
    construction financing under paragraph (1)(B) later than 1 year 
    after the date of substantial completion of the project.
        ``(3) Risk assessment.--Before entering into an agreement under 
    this subsection, the Secretary, in consultation with the Director 
    of the Office of Management and Budget, shall determine an 
    appropriate capital reserve subsidy amount for each secured loan, 
    taking into account each rating letter provided by an agency under 
    section 602(b)(3)(B).
    ``(b) Terms and Limitations.--
        ``(1) In general.--A secured loan under this section with 
    respect to a project shall be on such terms and conditions and 
    contain such covenants, representations, warranties, and 
    requirements (including requirements for audits) as the Secretary 
    determines to be appropriate.
        ``(2) Maximum amount.--The amount of a secured loan under this 
    section shall not exceed the lesser of 49 percent of the reasonably 
    anticipated eligible project costs or if the secured loan does not 
    receive an investment grade rating, the amount of the senior 
    project obligations.
        ``(3) Payment.--A secured loan under this section--
            ``(A) shall--
                ``(i) be payable, in whole or in part, from--

                    ``(I) tolls;
                    ``(II) user fees;
                    ``(III) payments owing to the obligor under a 
                public-private partnership; or
                    ``(IV) other dedicated revenue sources that also 
                secure the senior project obligations; and

                ``(ii) include a rate covenant, coverage requirement, 
            or similar security feature supporting the project 
            obligations; and
            ``(B) may have a lien on revenues described in subparagraph 
        (A), subject to any lien securing project obligations.
        ``(4) Interest rate.--
            ``(A) In general.--Except as provided in subparagraphs (B) 
        and (C), the interest rate on a secured loan under this section 
        shall be not less than the yield on United States Treasury 
        securities of a similar maturity to the maturity of the secured 
        loan on the date of execution of the loan agreement.
            ``(B) Rural infrastructure projects.--
                ``(i) In general.--The interest rate of a loan offered 
            to a rural infrastructure project under this chapter shall 
            be at \1/2\ of the Treasury Rate in effect on the date of 
            execution of the loan agreement.
                ``(ii) Application.--The rate described in clause (i) 
            shall only apply to any portion of a loan the subsidy cost 
            of which is funded by amounts set aside for rural 
            infrastructure projects under section 608(a)(3)(A).
            ``(C) Limited buydowns.--The interest rate of a secured 
        loan under this section may not be lowered by more than the 
        lower of--
                ``(i) 1\1/2\ percentage points (150 basis points); or
                ``(ii) the amount of the increase in the interest rate.
        ``(5) Maturity date.--The final maturity date of the secured 
    loan shall be the lesser of--
            ``(A) 35 years after the date of substantial completion of 
        the project; and
            ``(B) if the useful life of the capital asset being 
        financed is of a lesser period, the useful life of the asset.
        ``(6) Nonsubordination.--
            ``(A) In general.--Except as provided in subparagraph (B), 
        the secured loan shall not be subordinated to the claims of any 
        holder of project obligations in the event of bankruptcy, 
        insolvency, or liquidation of the obligor.
            ``(B) Preexisting indenture.--
                ``(i) In general.--The Secretary shall waive the 
            requirement under subparagraph (A) for a public agency 
            borrower that is financing ongoing capital programs and has 
            outstanding senior bonds under a preexisting indenture, 
            if--

                    ``(I) the secured loan is rated in the A category 
                or higher;
                    ``(II) the secured loan is secured and payable from 
                pledged revenues not affected by project performance, 
                such as a tax-backed revenue pledge or a system-backed 
                pledge of project revenues; and
                    ``(III) the TIFIA program share of eligible project 
                costs is 33 percent or less.

                ``(ii) Limitation.--If the Secretary waives the 
            nonsubordination requirement under this subparagraph--

                    ``(I) the maximum credit subsidy to be paid by the 
                Federal Government shall be not more than 10 percent of 
                the principal amount of the secured loan; and
                    ``(II) the obligor shall be responsible for paying 
                the remainder of the subsidy cost, if any.

        ``(7) Fees.--The Secretary may establish fees at a level 
    sufficient to cover all or a portion of the costs to the Federal 
    Government of making a secured loan under this section.
        ``(8) Non-federal share.--The proceeds of a secured loan under 
    this chapter may be used for any non-Federal share of project costs 
    required under this title or chapter 53 of title 49, if the loan is 
    repayable from non-Federal funds.
        ``(9) Maximum federal involvement.--The total Federal 
    assistance provided on a project receiving a loan under this 
    chapter shall not exceed 80 percent of the total project cost.
    ``(c) Repayment.--
        ``(1) Schedule.--The Secretary shall establish a repayment 
    schedule for each secured loan under this section based on--
            ``(A) the projected cash flow from project revenues and 
        other repayment sources; and
            ``(B) the useful life of the project.
        ``(2) Commencement.--Scheduled loan repayments of principal or 
    interest on a secured loan under this section shall commence not 
    later than 5 years after the date of substantial completion of the 
    project.
        ``(3) Deferred payments.--
            ``(A) In general.--If, at any time after the date of 
        substantial completion of the project, the project is unable to 
        generate sufficient revenues to pay the scheduled loan 
        repayments of principal and interest on the secured loan, the 
        Secretary may, subject to subparagraph (C), allow the obligor 
        to add unpaid principal and interest to the outstanding balance 
        of the secured loan.
            ``(B) Interest.--Any payment deferred under subparagraph 
        (A) shall--
                ``(i) continue to accrue interest in accordance with 
            subsection (b)(4) until fully repaid; and
                ``(ii) be scheduled to be amortized over the remaining 
            term of the loan.
            ``(C) Criteria.--
                ``(i) In general.--Any payment deferral under 
            subparagraph (A) shall be contingent on the project meeting 
            criteria established by the Secretary.
                ``(ii) Repayment standards.--The criteria established 
            pursuant to clause (i) shall include standards for 
            reasonable assurance of repayment.
        ``(4) Prepayment.--
            ``(A) Use of excess revenues.--Any excess revenues that 
        remain after satisfying scheduled debt service requirements on 
        the project obligations and secured loan and all deposit 
        requirements under the terms of any trust agreement, bond 
        resolution, or similar agreement securing project obligations 
        may be applied annually to prepay the secured loan without 
        penalty.
            ``(B) Use of proceeds of refinancing.--The secured loan may 
        be prepaid at any time without penalty from the proceeds of 
        refinancing from non-Federal funding sources.
    ``(d) Sale of Secured Loans.--
        ``(1) In general.--Subject to paragraph (2), as soon as 
    practicable after substantial completion of a project and after 
    notifying the obligor, the Secretary may sell to another entity or 
    reoffer into the capital markets a secured loan for the project if 
    the Secretary determines that the sale or reoffering can be made on 
    favorable terms.
        ``(2) Consent of obligor.--In making a sale or reoffering under 
    paragraph (1), the Secretary may not change the original terms and 
    conditions of the secured loan without the written consent of the 
    obligor.
    ``(e) Loan Guarantees.--
        ``(1) In general.--The Secretary may provide a loan guarantee 
    to a lender in lieu of making a secured loan under this section if 
    the Secretary determines that the budgetary cost of the loan 
    guarantee is substantially the same as that of a secured loan.
        ``(2) Terms.--The terms of a loan guarantee under paragraph (1) 
    shall be consistent with the terms required under this section for 
    a secured loan, except that the rate on the guaranteed loan and any 
    prepayment features shall be negotiated between the obligor and the 
    lender, with the consent of the Secretary.
``Sec. 604. Lines of credit
    ``(a) In General.--
        ``(1) Agreements.--Subject to paragraphs (2) through (4), the 
    Secretary may enter into agreements to make available to 1 or more 
    obligors lines of credit in the form of direct loans to be made by 
    the Secretary at future dates on the occurrence of certain events 
    for any project selected under section 602.
        ``(2) Use of proceeds.--The proceeds of a line of credit made 
    available under this section shall be available to pay debt service 
    on project obligations issued to finance eligible project costs, 
    extraordinary repair and replacement costs, operation and 
    maintenance expenses, and costs associated with unexpected Federal 
    or State environmental restrictions.
        ``(3) Risk assessment.--Before entering into an agreement under 
    this subsection, the Secretary, in consultation with the Director 
    of the Office of Management and Budget and each rating agency 
    providing a preliminary rating opinion letter under section 
    602(b)(3), shall determine an appropriate capital reserve subsidy 
    amount for each line of credit, taking into account the rating 
    opinion letter.
        ``(4) Investment-grade rating requirement.--The funding of a 
    line of credit under this section shall be contingent on the senior 
    obligations of the project receiving an investment-grade rating 
    from 2 rating agencies.
    ``(b) Terms and Limitations.--
        ``(1) In general.--A line of credit under this section with 
    respect to a project shall be on such terms and conditions and 
    contain such covenants, representations, warranties, and 
    requirements (including requirements for audits) as the Secretary 
    determines to be appropriate.
        ``(2) Maximum amounts.--The total amount of a line of credit 
    under this section shall not exceed 33 percent of the reasonably 
    anticipated eligible project costs.
        ``(3) Draws.--Any draw on a line of credit under this section 
    shall--
            ``(A) represent a direct loan; and
            ``(B) be made only if net revenues from the project 
        (including capitalized interest, but not including reasonably 
        required financing reserves) are insufficient to pay the costs 
        specified in subsection (a)(2).
        ``(4) Interest rate.--Except as provided in subparagraphs (B) 
    and (C) of section 603(b)(4), the interest rate on a direct loan 
    resulting from a draw on the line of credit shall be not less than 
    the yield on 30-year United States Treasury securities, as of the 
    date of execution of the line of credit agreement.
        ``(5) Security.--A line of credit issued under this section--
            ``(A) shall--
                ``(i) be payable, in whole or in part, from--

                    ``(I) tolls;
                    ``(II) user fees;
                    ``(III) payments owing to the obligor under a 
                public-private partnership; or
                    ``(IV) other dedicated revenue sources that also 
                secure the senior project obligations; and

                ``(ii) include a rate covenant, coverage requirement, 
            or similar security feature supporting the project 
            obligations; and
            ``(B) may have a lien on revenues described in subparagraph 
        (A), subject to any lien securing project obligations.
        ``(6) Period of availability.--The full amount of a line of 
    credit under this section, to the extent not drawn upon, shall be 
    available during the 10-year period beginning on the date of 
    substantial completion of the project.
        ``(7) Rights of third-party creditors.--
            ``(A) Against federal government.--A third-party creditor 
        of the obligor shall not have any right against the Federal 
        Government with respect to any draw on a line of credit under 
        this section.
            ``(B) Assignment.--An obligor may assign a line of credit 
        under this section to--
                ``(i) 1 or more lenders; or
                ``(ii) a trustee on the behalf of such a lender.
        ``(8) Nonsubordination.--
            ``(A) In general.--Except as provided in subparagraph (B), 
        a direct loan under this section shall not be subordinated to 
        the claims of any holder of project obligations in the event of 
        bankruptcy, insolvency, or liquidation of the obligor.
            ``(B) Pre-existing indenture.--
                ``(i) In general.--The Secretary shall waive the 
            requirement of subparagraph (A) for a public agency 
            borrower that is financing ongoing capital programs and has 
            outstanding senior bonds under a preexisting indenture, 
            if--

                    ``(I) the line of credit is rated in the A category 
                or higher;
                    ``(II) the TIFIA program loan resulting from a draw 
                on the line of credit is payable from pledged revenues 
                not affected by project performance, such as a tax-
                backed revenue pledge or a system-backed pledge of 
                project revenues; and
                    ``(III) the TIFIA program share of eligible project 
                costs is 33 percent or less.

                ``(ii) Limitation.--If the Secretary waives the 
            nonsubordination requirement under this subparagraph--

                    ``(I) the maximum credit subsidy to be paid by the 
                Federal Government shall be not more than 10 percent of 
                the principal amount of the secured loan; and
                    ``(II) the obligor shall be responsible for paying 
                the remainder of the subsidy cost.

        ``(9) Fees.--The Secretary may establish fees at a level 
    sufficient to cover all or a portion of the costs to the Federal 
    Government of providing a line of credit under this section.
        ``(10) Relationship to other credit instruments.--A project 
    that receives a line of credit under this section also shall not 
    receive a secured loan or loan guarantee under section 603 in an 
    amount that, combined with the amount of the line of credit, 
    exceeds 49 percent of eligible project costs.
    ``(c) Repayment.--
        ``(1) Terms and conditions.--The Secretary shall establish 
    repayment terms and conditions for each direct loan under this 
    section based on--
            ``(A) the projected cash flow from project revenues and 
        other repayment sources; and
            ``(B) the useful life of the asset being financed.
        ``(2) Timing.--All repayments of principal or interest on a 
    direct loan under this section shall be scheduled--
            ``(A) to commence not later than 5 years after the end of 
        the period of availability specified in subsection (b)(6); and
            ``(B) to conclude, with full repayment of principal and 
        interest, by the date that is 25 years after the end of the 
        period of availability specified in subsection (b)(6).
``Sec. 605. Program administration
    ``(a) Requirement.--The Secretary shall establish a uniform system 
to service the Federal credit instruments made available under this 
chapter.
    ``(b) Fees.--The Secretary may collect and spend fees, contingent 
on authority being provided in appropriations Acts, at a level that is 
sufficient to cover--
        ``(1) the costs of services of expert firms retained pursuant 
    to subsection (d); and
        ``(2) all or a portion of the costs to the Federal Government 
    of servicing the Federal credit instruments.
    ``(c) Servicer.--
        ``(1) In general.--The Secretary may appoint a financial entity 
    to assist the Secretary in servicing the Federal credit 
    instruments.
        ``(2) Duties.--A servicer appointed under paragraph (1) shall 
    act as the agent for the Secretary.
        ``(3) Fee.--A servicer appointed under paragraph (1) shall 
    receive a servicing fee, subject to approval by the Secretary.
    ``(d) Assistance From Expert Firms.--The Secretary may retain the 
services of expert firms, including counsel, in the field of municipal 
and project finance to assist in the underwriting and servicing of 
Federal credit instruments.
    ``(e) Expedited Processing.--The Secretary shall implement 
procedures and measures to economize the time and cost involved in 
obtaining approval and the issuance of credit assistance under this 
chapter.
``Sec. 606. State and local permits
    ``The provision of credit assistance under this chapter with 
respect to a project shall not--
        ``(1) relieve any recipient of the assistance of any obligation 
    to obtain any required State or local permit or approval with 
    respect to the project;
        ``(2) limit the right of any unit of State or local government 
    to approve or regulate any rate of return on private equity 
    invested in the project; or
        ``(3) otherwise supersede any State or local law (including any 
    regulation) applicable to the construction or operation of the 
    project.
``Sec. 607. Regulations
    ``The Secretary may promulgate such regulations as the Secretary 
determines to be appropriate to carry out this chapter.
``Sec. 608. Funding
    ``(a) Funding.--
        ``(1) Spending and borrowing authority.--Spending and borrowing 
    authority for a fiscal year to enter into Federal credit 
    instruments shall be promptly apportioned to the Secretary on a 
    fiscal-year basis.
        ``(2) Reestimates.--If the subsidy cost of a Federal credit 
    instrument is reestimated, the cost increase or decrease of the 
    reestimate shall be borne by, or benefit, the general fund of the 
    Treasury, consistent with section 504(f) the Congressional Budget 
    Act of 1974 (2 U.S.C. 661c(f)).
        ``(3) Rural set-aside.--
            ``(A) In general.--Of the total amount of funds made 
        available to carry out this chapter for each fiscal year, not 
        more than 10 percent shall be set aside for rural 
        infrastructure projects.
            ``(B) Reobligation.--Any amounts set aside under 
        subparagraph (A) that remain unobligated by June 1 of the 
        fiscal year for which the amounts were set aside shall be 
        available for obligation by the Secretary on projects other 
        than rural infrastructure projects.
        ``(4) Redistribution of authorized funding.--
            ``(A) In general.--Beginning in fiscal year 2014, on April 
        1 of each fiscal year, if the cumulative unobligated and 
        uncommitted balance of funding available exceeds 75 percent of 
        the amount made available to carry out this chapter for that 
        fiscal year, the Secretary shall distribute to the States the 
        amount of funds and associated obligation authority in excess 
        of that amount.
            ``(B) Distribution.--The amounts and obligation authority 
        distributed under this paragraph shall be distributed, in the 
        same manner as obligation authority is distributed to the 
        States for the fiscal year, based on the proportion that--
                ``(i) the relative share of each State of obligation 
            authority for the fiscal year; bears to
                ``(ii) the total amount of obligation authority 
            distributed to all States for the fiscal year.
            ``(C) Purpose.--Funds distributed under subparagraph (B) 
        shall be available for any purpose described in section 133(b).
        ``(5) Availability.--Amounts made available to carry out this 
    chapter shall remain available until expended.
        ``(6) Administrative costs.--Of the amounts made available to 
    carry out this chapter, the Secretary may use not more than 0.50 
    percent for each fiscal year for the administration of this 
    chapter.
    ``(b) Contract Authority.--
        ``(1) In general.--Notwithstanding any other provision of law, 
    execution of a term sheet by the Secretary of a Federal credit 
    instrument that uses amounts made available under this chapter 
    shall impose on the United States a contractual obligation to fund 
    the Federal credit investment.
        ``(2) Availability.--Amounts made available to carry out this 
    chapter for a fiscal year shall be available for obligation on 
    October 1 of the fiscal year.
``Sec. 609. Reports to Congress
    ``(a) In General.--On June 1, 2012, and every 2 years thereafter, 
the Secretary shall submit to Congress a report summarizing the 
financial performance of the projects that are receiving, or have 
received, assistance under this chapter (other than section 610), 
including a recommendation as to whether the objectives of this chapter 
(other than section 610) are best served by--
        ``(1) continuing the program under the authority of the 
    Secretary;
        ``(2) establishing a Federal corporation or federally sponsored 
    enterprise to administer the program; or
        ``(3) phasing out the program and relying on the capital 
    markets to fund the types of infrastructure investments assisted by 
    this chapter (other than section 610) without Federal 
    participation.
    ``(b) Application Process Report.--
        ``(1) In general.--Not later than December 1, 2012, and 
    annually thereafter, the Secretary shall submit to the Committee on 
    Transportation and Infrastructure of the House of Representatives 
    and the Committee on Environment and Public Works of the Senate a 
    report that includes a list of all of the letters of interest and 
    applications received from project sponsors for assistance under 
    this chapter (other than section 610) during the preceding fiscal 
    year.
        ``(2) Inclusions.--
            ``(A) In general.--Each report under paragraph (1) shall 
        include, at a minimum, a description of, with respect to each 
        letter of interest and application included in the report--
                ``(i) the date on which the letter of interest or 
            application was received;
                ``(ii) the date on which a notification was provided to 
            the project sponsor regarding whether the application was 
            complete or incomplete;
                ``(iii) the date on which a revised and completed 
            application was submitted (if applicable);
                ``(iv) the date on which a notification was provided to 
            the project sponsor regarding whether the project was 
            approved or disapproved; and
                ``(v) if the project was not approved, the reason for 
            the disapproval.
            ``(B) Correspondence.--Each report under paragraph (1) 
        shall include copies of any correspondence provided to the 
        project sponsor in accordance with section 602(d).''.

                   DIVISION B--PUBLIC TRANSPORTATION

SEC. 20001. SHORT TITLE.
    This division may be cited as the ``Federal Public Transportation 
Act of 2012''.
SEC. 20002. REPEALS.
    (a) Chapter 53.--Chapter 53 of title 49, United States Code, is 
amended by striking sections 5308, 5316, 5317, 5320, and 5328.
    (b) Transportation Equity Act for the 21st Century.--Section 3038 
of the Transportation Equity Act for the 21st Century (49 U.S.C. 5310 
note) is repealed.
    (c) SAFETEA-LU.--The following provisions are repealed:
        (1) Section 3009(i) of SAFETEA-LU (Public Law 109-59; 119 Stat. 
    1572).
        (2) Section 3011(c) of SAFETEA-LU (49 U.S.C. 5309 note).
        (3) Section 3012(b) of SAFETEA-LU (49 U.S.C. 5310 note).
        (4) Section 3045 of SAFETEA-LU (49 U.S.C. 5308 note).
        (5) Section 3046 of SAFETEA-LU (49 U.S.C. 5338 note).
SEC. 20003. POLICIES AND PURPOSES.
    Section 5301 of title 49, United States Code, is amended to read as 
follows:
``Sec. 5301. Policies and purposes
    ``(a) Declaration of Policy.--It is in the interest of the United 
States, including the economic interest of the United States, to foster 
the development and revitalization of public transportation systems 
with the cooperation of both public transportation companies and 
private companies engaged in public transportation.
    ``(b) General Purposes.--The purposes of this chapter are to--
        ``(1) provide funding to support public transportation;
        ``(2) improve the development and delivery of capital projects;
        ``(3) establish standards for the state of good repair of 
    public transportation infrastructure and vehicles;
        ``(4) promote continuing, cooperative, and comprehensive 
    planning that improves the performance of the transportation 
    network;
        ``(5) establish a technical assistance program to assist 
    recipients under this chapter to more effectively and efficiently 
    provide public transportation service;
        ``(6) continue Federal support for public transportation 
    providers to deliver high quality service to all users, including 
    individuals with disabilities, seniors, and individuals who depend 
    on public transportation;
        ``(7) support research, development, demonstration, and 
    deployment projects dedicated to assisting in the delivery of 
    efficient and effective public transportation service; and
        ``(8) promote the development of the public transportation 
    workforce.''.
SEC. 20004. DEFINITIONS.
    Section 5302 of title 49, United States Code, is amended to read as 
follows:
``Sec. 5302. Definitions
    ``Except as otherwise specifically provided, in this chapter the 
following definitions apply:
        ``(1) Associated transit improvement.--The term `associated 
    transit improvement' means, with respect to any project or an area 
    to be served by a project, projects that are designed to enhance 
    public transportation service or use and that are physically or 
    functionally related to transit facilities. Eligible projects are--
            ``(A) historic preservation, rehabilitation, and operation 
        of historic public transportation buildings, structures, and 
        facilities (including historic bus and railroad facilities) 
        intended for use in public transportation service;
            ``(B) bus shelters;
            ``(C) landscaping and streetscaping, including benches, 
        trash receptacles, and street lights;
            ``(D) pedestrian access and walkways;
            ``(E) bicycle access, including bicycle storage facilities 
        and installing equipment for transporting bicycles on public 
        transportation vehicles;
            ``(F) signage; or
            ``(G) enhanced access for persons with disabilities to 
        public transportation.
        ``(2) Bus rapid transit system.--The term `bus rapid transit 
    system' means a bus transit system--
            ``(A) in which the majority of each line operates in a 
        separated right-of-way dedicated for public transportation use 
        during peak periods; and
            ``(B) that includes features that emulate the services 
        provided by rail fixed guideway public transportation systems, 
        including--
                ``(i) defined stations;
                ``(ii) traffic signal priority for public 
            transportation vehicles;
                ``(iii) short headway bidirectional services for a 
            substantial part of weekdays and weekend days; and
                ``(iv) any other features the Secretary may determine 
            are necessary to produce high-quality public transportation 
            services that emulate the services provided by rail fixed 
            guideway public transportation systems.
        ``(3) Capital project.--The term `capital project' means a 
    project for--
            ``(A) acquiring, constructing, supervising, or inspecting 
        equipment or a facility for use in public transportation, 
        expenses incidental to the acquisition or construction 
        (including designing, engineering, location surveying, mapping, 
        and acquiring rights-of-way), payments for the capital portions 
        of rail trackage rights agreements, transit-related intelligent 
        transportation systems, relocation assistance, acquiring 
        replacement housing sites, and acquiring, constructing, 
        relocating, and rehabilitating replacement housing;
            ``(B) rehabilitating a bus;
            ``(C) remanufacturing a bus;
            ``(D) overhauling rail rolling stock;
            ``(E) preventive maintenance;
            ``(F) leasing equipment or a facility for use in public 
        transportation, subject to regulations that the Secretary 
        prescribes limiting the leasing arrangements to those that are 
        more cost-effective than purchase or construction;
            ``(G) a joint development improvement that--
                ``(i) enhances economic development or incorporates 
            private investment, such as commercial and residential 
            development;
                ``(ii)(I) enhances the effectiveness of public 
            transportation and is related physically or functionally to 
            public transportation; or
                ``(II) establishes new or enhanced coordination between 
            public transportation and other transportation;
                ``(iii) provides a fair share of revenue that will be 
            used for public transportation;
                ``(iv) provides that a person making an agreement to 
            occupy space in a facility constructed under this paragraph 
            shall pay a fair share of the costs of the facility through 
            rental payments and other means;
                ``(v) may include--

                    ``(I) property acquisition;
                    ``(II) demolition of existing structures;
                    ``(III) site preparation;
                    ``(IV) utilities;
                    ``(V) building foundations;
                    ``(VI) walkways;
                    ``(VII) pedestrian and bicycle access to a public 
                transportation facility;
                    ``(VIII) construction, renovation, and improvement 
                of intercity bus and intercity rail stations and 
                terminals;
                    ``(IX) renovation and improvement of historic 
                transportation facilities;
                    ``(X) open space;
                    ``(XI) safety and security equipment and facilities 
                (including lighting, surveillance, and related 
                intelligent transportation system applications);
                    ``(XII) facilities that incorporate community 
                services such as daycare or health care;
                    ``(XIII) a capital project for, and improving, 
                equipment or a facility for an intermodal transfer 
                facility or transportation mall; and
                    ``(XIV) construction of space for commercial uses; 
                and

                ``(vi) does not include outfitting of commercial space 
            (other than an intercity bus or rail station or terminal) 
            or a part of a public facility not related to public 
            transportation;
            ``(H) the introduction of new technology, through 
        innovative and improved products, into public transportation;
            ``(I) the provision of nonfixed route paratransit 
        transportation services in accordance with section 223 of the 
        Americans with Disabilities Act of 1990 (42 U.S.C. 12143), but 
        only for grant recipients that are in compliance with 
        applicable requirements of that Act, including both fixed route 
        and demand responsive service, and only for amounts not to 
        exceed 10 percent of such recipient's annual formula 
        apportionment under sections 5307 and 5311;
            ``(J) establishing a debt service reserve, made up of 
        deposits with a bondholder's trustee, to ensure the timely 
        payment of principal and interest on bonds issued by a grant 
        recipient to finance an eligible project under this chapter;
            ``(K) mobility management--
                ``(i) consisting of short-range planning and management 
            activities and projects for improving coordination among 
            public transportation and other transportation service 
            providers carried out by a recipient or subrecipient 
            through an agreement entered into with a person, including 
            a governmental entity, under this chapter (other than 
            section 5309); but
                ``(ii) excluding operating public transportation 
            services; or
            ``(L) associated capital maintenance, including--
                ``(i) equipment, tires, tubes, and material, each 
            costing at least .5 percent of the current fair market 
            value of rolling stock comparable to the rolling stock for 
            which the equipment, tires, tubes, and material are to be 
            used; and
                ``(ii) reconstruction of equipment and material, each 
            of which after reconstruction will have a fair market value 
            of at least .5 percent of the current fair market value of 
            rolling stock comparable to the rolling stock for which the 
            equipment and material will be used.
        ``(4) Designated recipient.--The term `designated recipient' 
    means--
            ``(A) an entity designated, in accordance with the planning 
        process under sections 5303 and 5304, by the Governor of a 
        State, responsible local officials, and publicly owned 
        operators of public transportation, to receive and apportion 
        amounts under section 5336 to urbanized areas of 200,000 or 
        more in population; or
            ``(B) a State or regional authority, if the authority is 
        responsible under the laws of a State for a capital project and 
        for financing and directly providing public transportation.
        ``(5) Disability.--The term `disability' has the same meaning 
    as in section 3(1) of the Americans with Disabilities Act of 1990 
    (42 U.S.C. 12102).
        ``(6) Emergency regulation.--The term `emergency regulation' 
    means a regulation--
            ``(A) that is effective temporarily before the expiration 
        of the otherwise specified periods of time for public notice 
        and comment under section 5334(c); and
            ``(B) prescribed by the Secretary as the result of a 
        finding that a delay in the effective date of the regulation--
                ``(i) would injure seriously an important public 
            interest;
                ``(ii) would frustrate substantially legislative policy 
            and intent; or
                ``(iii) would damage seriously a person or class 
            without serving an important public interest.
        ``(7) Fixed guideway.--The term `fixed guideway' means a public 
    transportation facility--
            ``(A) using and occupying a separate right-of-way for the 
        exclusive use of public transportation;
            ``(B) using rail;
            ``(C) using a fixed catenary system;
            ``(D) for a passenger ferry system; or
            ``(E) for a bus rapid transit system.
        ``(8) Governor.--The term `Governor'--
            ``(A) means the Governor of a State, the mayor of the 
        District of Columbia, and the chief executive officer of a 
        territory of the United States; and
            ``(B) includes the designee of the Governor.
        ``(9) Job access and reverse commute project.--
            ``(A) In general.--The term `job access and reverse commute 
        project' means a transportation project to finance planning, 
        capital, and operating costs that support the development and 
        maintenance of transportation services designed to transport 
        welfare recipients and eligible low-income individuals to and 
        from jobs and activities related to their employment, including 
        transportation projects that facilitate the provision of public 
        transportation services from urbanized areas and rural areas to 
        suburban employment locations.
            ``(B) Definitions.--In this paragraph:
                ``(i) Eligible low-income individual.--The term 
            `eligible low-income individual' means an individual whose 
            family income is at or below 150 percent of the poverty 
            line (as that term is defined in section 673(2) of the 
            Community Service Block Grant Act (42 U.S.C. 9902(2)), 
            including any revision required by that section) for a 
            family of the size involved.
                ``(ii) Welfare recipient.--The term `welfare recipient' 
            means an individual who has received assistance under a 
            State or tribal program funded under part A of title IV of 
            the Social Security Act (42 U.S.C. 601 et seq.) at any time 
            during the 3-year period before the date on which the 
            applicant applies for a grant under section 5307 or 5311.
        ``(10) Local governmental authority.--The term `local 
    governmental authority' includes--
            ``(A) a political subdivision of a State;
            ``(B) an authority of at least 1 State or political 
        subdivision of a State;
            ``(C) an Indian tribe; and
            ``(D) a public corporation, board, or commission 
        established under the laws of a State.
        ``(11) Low-income individual.--The term `low-income individual' 
    means an individual whose family income is at or below 150 percent 
    of the poverty line, as that term is defined in section 673(2) of 
    the Community Services Block Grant Act (42 U.S.C. 9902(2)), 
    including any revision required by that section, for a family of 
    the size involved.
        ``(12) Net project cost.--The term `net project cost' means the 
    part of a project that reasonably cannot be financed from revenues.
        ``(13) New bus model.--The term `new bus model' means a bus 
    model (including a model using alternative fuel)--
            ``(A) that has not been used in public transportation in 
        the United States before the date of production of the model; 
        or
            ``(B) used in public transportation in the United States, 
        but being produced with a major change in configuration or 
        components.
        ``(14) Public transportation.--The term `public 
    transportation'--
            ``(A) means regular, continuing shared-ride surface 
        transportation services that are open to the general public or 
        open to a segment of the general public defined by age, 
        disability, or low income; and
            ``(B) does not include--
                ``(i) intercity passenger rail transportation provided 
            by the entity described in chapter 243 (or a successor to 
            such entity);
                ``(ii) intercity bus service;
                ``(iii) charter bus service;
                ``(iv) school bus service;
                ``(v) sightseeing service;
                ``(vi) courtesy shuttle service for patrons of one or 
            more specific establishments; or
                ``(vii) intra-terminal or intra-facility shuttle 
            services.
        ``(15) Regulation.--The term `regulation' means any part of a 
    statement of general or particular applicability of the Secretary 
    designed to carry out, interpret, or prescribe law or policy in 
    carrying out this chapter.
        ``(16) Rural area.--The term `rural area' means an area 
    encompassing a population of less than 50,000 people that has not 
    been designated in the most recent decennial census as an 
    `urbanized area' by the Secretary of Commerce.
        ``(17) Secretary.--The term `Secretary' means the Secretary of 
    Transportation.
        ``(18) Senior.--The term `senior' means an individual who is 65 
    years of age or older.
        ``(19) State.--The term `State' means a State of the United 
    States, the District of Columbia, Puerto Rico, the Northern Mariana 
    Islands, Guam, American Samoa, and the Virgin Islands.
        ``(20) State of good repair.--The term `state of good repair' 
    has the meaning given that term by the Secretary, by rule, under 
    section 5326(b).
        ``(21) Transit.--The term `transit' means public 
    transportation.
        ``(22) Urban area.--The term `urban area' means an area that 
    includes a municipality or other built-up place that the Secretary, 
    after considering local patterns and trends of urban growth, 
    decides is appropriate for a local public transportation system to 
    serve individuals in the locality.
        ``(23) Urbanized area.--The term `urbanized area' means an area 
    encompassing a population of not less than 50,000 people that has 
    been defined and designated in the most recent decennial census as 
    an `urbanized area' by the Secretary of Commerce.''.
SEC. 20005. METROPOLITAN TRANSPORTATION PLANNING.
    (a) Amendment.--Section 5303 of title 49, United States Code, is 
amended to read as follows:
``Sec. 5303. Metropolitan transportation planning
    ``(a) Policy.--It is in the national interest--
        ``(1) to encourage and promote the safe and efficient 
    management, operation, and development of surface transportation 
    systems that will serve the mobility needs of people and freight 
    and foster economic growth and development within and between 
    States and urbanized areas, while minimizing transportation-related 
    fuel consumption and air pollution through metropolitan and 
    statewide transportation planning processes identified in this 
    chapter; and
        ``(2) to encourage the continued improvement and evolution of 
    the metropolitan and statewide transportation planning processes by 
    metropolitan planning organizations, State departments of 
    transportation, and public transit operators as guided by the 
    planning factors identified in subsection (h) and section 5304(d).
    ``(b) Definitions.--In this section and section 5304, the following 
definitions apply:
        ``(1) Metropolitan planning area.--The term `metropolitan 
    planning area' means the geographic area determined by agreement 
    between the metropolitan planning organization for the area and the 
    Governor under subsection (e).
        ``(2) Metropolitan planning organization.--The term 
    `metropolitan planning organization' means the policy board of an 
    organization established as a result of the designation process 
    under subsection (d).
        ``(3) Nonmetropolitan area.--The term `nonmetropolitan area' 
    means a geographic area outside designated metropolitan planning 
    areas.
        ``(4) Nonmetropolitan local official.--The term 
    `nonmetropolitan local official' means elected and appointed 
    officials of general purpose local government in a nonmetropolitan 
    area with responsibility for transportation.
        ``(5) Regional transportation planning organization.--The term 
    `regional transportation planning organization' means a policy 
    board of an organization established as the result of a designation 
    under section 5304(l).
        ``(6) TIP.--The term `TIP' means a transportation improvement 
    program developed by a metropolitan planning organization under 
    subsection (j).
        ``(7) Urbanized area.--The term `urbanized area' means a 
    geographic area with a population of 50,000 or more, as determined 
    by the Bureau of the Census.
    ``(c) General Requirements.--
        ``(1) Development of long-range plans and tips.--To accomplish 
    the objectives in subsection (a), metropolitan planning 
    organizations designated under subsection (d), in cooperation with 
    the State and public transportation operators, shall develop long-
    range transportation plans and transportation improvement programs 
    through a performance-driven, outcome-based approach to planning 
    for metropolitan areas of the State.
        ``(2) Contents.--The plans and TIPs for each metropolitan area 
    shall provide for the development and integrated management and 
    operation of transportation systems and facilities (including 
    accessible pedestrian walkways and bicycle transportation 
    facilities) that will function as an intermodal transportation 
    system for the metropolitan planning area and as an integral part 
    of an intermodal transportation system for the State and the United 
    States.
        ``(3) Process of development.--The process for developing the 
    plans and TIPs shall provide for consideration of all modes of 
    transportation and shall be continuing, cooperative, and 
    comprehensive to the degree appropriate, based on the complexity of 
    the transportation problems to be addressed.
    ``(d) Designation of Metropolitan Planning Organizations.--
        ``(1) In general.--To carry out the transportation planning 
    process required by this section, a metropolitan planning 
    organization shall be designated for each urbanized area with a 
    population of more than 50,000 individuals--
            ``(A) by agreement between the Governor and units of 
        general purpose local government that together represent at 
        least 75 percent of the affected population (including the 
        largest incorporated city (based on population) as determined 
        by the Bureau of the Census); or
            ``(B) in accordance with procedures established by 
        applicable State or local law.
        ``(2) Structure.--Not later than 2 years after the date of 
    enactment of the Federal Public Transportation Act of 2012, each 
    metropolitan planning organization that serves an area designated 
    as a transportation management area shall consist of--
            ``(A) local elected officials;
            ``(B) officials of public agencies that administer or 
        operate major modes of transportation in the metropolitan area, 
        including representation by providers of public transportation; 
        and
            ``(C) appropriate State officials.
        ``(3) Limitation on statutory construction.--Nothing in this 
    subsection shall be construed to interfere with the authority, 
    under any State law in effect on December 18, 1991, of a public 
    agency with multimodal transportation responsibilities--
            ``(A) to develop the plans and TIPs for adoption by a 
        metropolitan planning organization; and
            ``(B) to develop long-range capital plans, coordinate 
        transit services and projects, and carry out other activities 
        pursuant to State law.
        ``(4) Continuing designation.--A designation of a metropolitan 
    planning organization under this subsection or any other provision 
    of law shall remain in effect until the metropolitan planning 
    organization is redesignated under paragraph (5).
        ``(5) Redesignation procedures.--
            ``(A) In general.--A metropolitan planning organization may 
        be redesignated by agreement between the Governor and units of 
        general purpose local government that together represent at 
        least 75 percent of the existing planning area population 
        (including the largest incorporated city (based on population) 
        as determined by the Bureau of the Census) as appropriate to 
        carry out this section.
            ``(B) Restructuring.--A metropolitan planning organization 
        may be restructured to meet the requirements of paragraph (2) 
        without undertaking a redesignation.
        ``(6) Designation of more than 1 metropolitan planning 
    organization.--More than 1 metropolitan planning organization may 
    be designated within an existing metropolitan planning area only if 
    the Governor and the existing metropolitan planning organization 
    determine that the size and complexity of the existing metropolitan 
    planning area make designation of more than 1 metropolitan planning 
    organization for the area appropriate.
    ``(e) Metropolitan Planning Area Boundaries.--
        ``(1) In general.--For the purposes of this section, the 
    boundaries of a metropolitan planning area shall be determined by 
    agreement between the metropolitan planning organization and the 
    Governor.
        ``(2) Included area.--Each metropolitan planning area--
            ``(A) shall encompass at least the existing urbanized area 
        and the contiguous area expected to become urbanized within a 
        20-year forecast period for the transportation plan; and
            ``(B) may encompass the entire metropolitan statistical 
        area or consolidated metropolitan statistical area, as defined 
        by the Bureau of the Census.
        ``(3) Identification of new urbanized areas within existing 
    planning area boundaries.--The designation by the Bureau of the 
    Census of new urbanized areas within an existing metropolitan 
    planning area shall not require the redesignation of the existing 
    metropolitan planning organization.
        ``(4) Existing metropolitan planning areas in nonattainment.--
            ``(A) In general.--Notwithstanding paragraph (2), except as 
        provided in subparagraph (B), in the case of an urbanized area 
        designated as a nonattainment area for ozone or carbon monoxide 
        under the Clean Air Act (42 U.S.C. 7401 et seq.) as of the date 
        of enactment of the SAFETEA-LU, the boundaries of the 
        metropolitan planning area in existence as of such date of 
        enactment shall be retained.
            ``(B) Exception.--The boundaries described in subparagraph 
        (A) may be adjusted by agreement of the Governor and affected 
        metropolitan planning organizations in the manner described in 
        subsection (d)(5).
        ``(5) New metropolitan planning areas in nonattainment.--In the 
    case of an urbanized area designated after the date of enactment of 
    the SAFETEA-LU, as a nonattainment area for ozone or carbon 
    monoxide, the boundaries of the metropolitan planning area--
            ``(A) shall be established in the manner described in 
        subsection (d)(1);
            ``(B) shall encompass the areas described in paragraph 
        (2)(A);
            ``(C) may encompass the areas described in paragraph 
        (2)(B); and
            ``(D) may address any nonattainment area identified under 
        the Clean Air Act (42 U.S.C. 7401 et seq.) for ozone or carbon 
        monoxide.
    ``(f) Coordination in Multistate Areas.--
        ``(1) In general.--The Secretary shall encourage each Governor 
    with responsibility for a portion of a multistate metropolitan area 
    and the appropriate metropolitan planning organizations to provide 
    coordinated transportation planning for the entire metropolitan 
    area.
        ``(2) Interstate compacts.--The consent of Congress is granted 
    to any 2 or more States--
            ``(A) to enter into agreements or compacts, not in conflict 
        with any law of the United States, for cooperative efforts and 
        mutual assistance in support of activities authorized under 
        this section as the activities pertain to interstate areas and 
        localities within the States; and
            ``(B) to establish such agencies, joint or otherwise, as 
        the States may determine desirable for making the agreements 
        and compacts effective.
        ``(3) Reservation of rights.--The right to alter, amend, or 
    repeal interstate compacts entered into under this subsection is 
    expressly reserved.
    ``(g) MPO Consultation in Plan and TIP Coordination.--
        ``(1) Nonattainment areas.--If more than 1 metropolitan 
    planning organization has authority within a metropolitan area or 
    an area which is designated as a nonattainment area for ozone or 
    carbon monoxide under the Clean Air Act (42 U.S.C. 7401 et seq.), 
    each metropolitan planning organization shall consult with the 
    other metropolitan planning organizations designated for such area 
    and the State in the coordination of plans and TIPs required by 
    this section.
        ``(2) Transportation improvements located in multiple mpos.--If 
    a transportation improvement, funded under this chapter or title 
    23, is located within the boundaries of more than 1 metropolitan 
    planning area, the metropolitan planning organizations shall 
    coordinate plans and TIPs regarding the transportation improvement.
        ``(3) Relationship with other planning officials.--
            ``(A) In general.--The Secretary shall encourage each 
        metropolitan planning organization to consult with officials 
        responsible for other types of planning activities that are 
        affected by transportation in the area (including State and 
        local planned growth, economic development, environmental 
        protection, airport operations, and freight movements) or to 
        coordinate its planning process, to the maximum extent 
        practicable, with such planning activities.
            ``(B) Requirements.--Under the metropolitan planning 
        process, transportation plans and TIPs shall be developed with 
        due consideration of other related planning activities within 
        the metropolitan area, and the process shall provide for the 
        design and delivery of transportation services within the 
        metropolitan area that are provided by--
                ``(i) recipients of assistance under this chapter;
                ``(ii) governmental agencies and nonprofit 
            organizations (including representatives of the agencies 
            and organizations) that receive Federal assistance from a 
            source other than the Department of Transportation to 
            provide nonemergency transportation services; and
                ``(iii) recipients of assistance under section 204 of 
            title 23.
    ``(h) Scope of Planning Process.--
        ``(1) In general.--The metropolitan planning process for a 
    metropolitan planning area under this section shall provide for 
    consideration of projects and strategies that will--
            ``(A) support the economic vitality of the metropolitan 
        area, especially by enabling global competitiveness, 
        productivity, and efficiency;
            ``(B) increase the safety of the transportation system for 
        motorized and nonmotorized users;
            ``(C) increase the security of the transportation system 
        for motorized and nonmotorized users;
            ``(D) increase the accessibility and mobility of people and 
        for freight;
            ``(E) protect and enhance the environment, promote energy 
        conservation, improve the quality of life, and promote 
        consistency between transportation improvements and State and 
        local planned growth and economic development patterns;
            ``(F) enhance the integration and connectivity of the 
        transportation system, across and between modes, for people and 
        freight;
            ``(G) promote efficient system management and operation; 
        and
            ``(H) emphasize the preservation of the existing 
        transportation system.
        ``(2) Performance-based approach.--
            ``(A) In general.--The metropolitan transportation planning 
        process shall provide for the establishment and use of a 
        performance-based approach to transportation decisionmaking to 
        support the national goals described in section 150(b) of title 
        23 and the general purposes described in section 5301.
            ``(B) Performance targets.--
                ``(i) Surface transportation performance targets.--

                    ``(I) In general.--Each metropolitan planning 
                organization shall establish performance targets that 
                address the performance measures described in section 
                150(c) of title 23, where applicable, to use in 
                tracking progress towards attainment of critical 
                outcomes for the region of the metropolitan planning 
                organization.
                    ``(II) Coordination.--Selection of performance 
                targets by a metropolitan planning organization shall 
                be coordinated with the relevant State to ensure 
                consistency, to the maximum extent practicable.

                ``(ii) Public transportation performance targets.--
            Selection of performance targets by a metropolitan planning 
            organization shall be coordinated, to the maximum extent 
            practicable, with providers of public transportation to 
            ensure consistency with sections 5326(c) and 5329(d).
            ``(C) Timing.--Each metropolitan planning organization 
        shall establish the performance targets under subparagraph (B) 
        not later than 180 days after the date on which the relevant 
        State or provider of public transportation establishes the 
        performance targets.
            ``(D) Integration of other performance-based plans.--A 
        metropolitan planning organization shall integrate in the 
        metropolitan transportation planning process, directly or by 
        reference, the goals, objectives, performance measures, and 
        targets described in other State transportation plans and 
        transportation processes, as well as any plans developed by 
        recipients of assistance under this chapter, required as part 
        of a performance-based program.
        ``(3) Failure to consider factors.--The failure to consider any 
    factor specified in paragraphs (1) and (2) shall not be reviewable 
    by any court under this chapter, title 23, subchapter II of chapter 
    5 of title 5, or chapter 7 of title 5 in any matter affecting a 
    transportation plan, a TIP, a project or strategy, or the 
    certification of a planning process.
    ``(i) Development of Transportation Plan.--
        ``(1) Requirements.--
            ``(A) In general.--Each metropolitan planning organization 
        shall prepare and update a transportation plan for its 
        metropolitan planning area in accordance with the requirements 
        of this subsection.
            ``(B) Frequency.--
                ``(i) In general.--The metropolitan planning 
            organization shall prepare and update such plan every 4 
            years (or more frequently, if the metropolitan planning 
            organization elects to update more frequently) in the case 
            of each of the following:

                    ``(I) Any area designated as nonattainment, as 
                defined in section 107(d) of the Clean Air Act (42 
                U.S.C. 7407(d)).
                    ``(II) Any area that was nonattainment and 
                subsequently designated to attainment in accordance 
                with section 107(d)(3) of that Act (42 U.S.C. 
                7407(d)(3)) and that is subject to a maintenance plan 
                under section 175A of that Act (42 U.S.C. 7505a).

                ``(ii) Other areas.--In the case of any other area 
            required to have a transportation plan in accordance with 
            the requirements of this subsection, the metropolitan 
            planning organization shall prepare and update such plan 
            every 5 years unless the metropolitan planning organization 
            elects to update more frequently.
        ``(2) Transportation plan.--A transportation plan under this 
    section shall be in a form that the Secretary determines to be 
    appropriate and shall contain, at a minimum, the following:
            ``(A) Identification of transportation facilities.--
                ``(i) In general.--An identification of transportation 
            facilities (including major roadways, transit, multimodal 
            and intermodal facilities, nonmotorized transportation 
            facilities, and intermodal connectors) that should function 
            as an integrated metropolitan transportation system, giving 
            emphasis to those facilities that serve important national 
            and regional transportation functions.
                ``(ii) Factors.--In formulating the transportation 
            plan, the metropolitan planning organization shall consider 
            factors described in subsection (h) as the factors relate 
            to a 20-year forecast period.
            ``(B) Performance measures and targets.--A description of 
        the performance measures and performance targets used in 
        assessing the performance of the transportation system in 
        accordance with subsection (h)(2).
            ``(C) System performance report.--A system performance 
        report and subsequent updates evaluating the condition and 
        performance of the transportation system with respect to the 
        performance targets described in subsection (h)(2), including--
                ``(i) progress achieved by the metropolitan planning 
            organization in meeting the performance targets in 
            comparison with system performance recorded in previous 
            reports; and
                ``(ii) for metropolitan planning organizations that 
            voluntarily elect to develop multiple scenarios, an 
            analysis of how the preferred scenario has improved the 
            conditions and performance of the transportation system and 
            how changes in local policies and investments have impacted 
            the costs necessary to achieve the identified performance 
            targets.
            ``(D) Mitigation activities.--
                ``(i) In general.--A long-range transportation plan 
            shall include a discussion of types of potential 
            environmental mitigation activities and potential areas to 
            carry out these activities, including activities that may 
            have the greatest potential to restore and maintain the 
            environmental functions affected by the plan.
                ``(ii) Consultation.--The discussion shall be developed 
            in consultation with Federal, State, and tribal wildlife, 
            land management, and regulatory agencies.
            ``(E) Financial plan.--
                ``(i) In general.--A financial plan that--

                    ``(I) demonstrates how the adopted transportation 
                plan can be implemented;
                    ``(II) indicates resources from public and private 
                sources that are reasonably expected to be made 
                available to carry out the plan; and
                    ``(III) recommends any additional financing 
                strategies for needed projects and programs.

                ``(ii) Inclusions.--The financial plan may include, for 
            illustrative purposes, additional projects that would be 
            included in the adopted transportation plan if reasonable 
            additional resources beyond those identified in the 
            financial plan were available.
                ``(iii) Cooperative development.--For the purpose of 
            developing the transportation plan, the metropolitan 
            planning organization, transit operator, and State shall 
            cooperatively develop estimates of funds that will be 
            available to support plan implementation.
            ``(F) Operational and management strategies.--Operational 
        and management strategies to improve the performance of 
        existing transportation facilities to relieve vehicular 
        congestion and maximize the safety and mobility of people and 
        goods.
            ``(G) Capital investment and other strategies.--Capital 
        investment and other strategies to preserve the existing and 
        projected future metropolitan transportation infrastructure and 
        provide for multimodal capacity increases based on regional 
        priorities and needs.
            ``(H) Transportation and transit enhancement activities.--
        Proposed transportation and transit enhancement activities.
        ``(3) Coordination with clean air act agencies.--In 
    metropolitan areas that are in nonattainment for ozone or carbon 
    monoxide under the Clean Air Act (42 U.S.C. 7401 et seq.), the 
    metropolitan planning organization shall coordinate the development 
    of a transportation plan with the process for development of the 
    transportation control measures of the State implementation plan 
    required by that Act.
        ``(4) Optional scenario development.--
            ``(A) In general.--A metropolitan planning organization 
        may, while fitting the needs and complexity of its community, 
        voluntarily elect to develop multiple scenarios for 
        consideration as part of the development of the metropolitan 
        transportation plan, in accordance with subparagraph (B).
            ``(B) Recommended components.--A metropolitan planning 
        organization that chooses to develop multiple scenarios under 
        subparagraph (A) shall be encouraged to consider--
                ``(i) potential regional investment strategies for the 
            planning horizon;
                ``(ii) assumed distribution of population and 
            employment;
                ``(iii) a scenario that, to the maximum extent 
            practicable, maintains baseline conditions for the 
            performance measures identified in subsection (h)(2);
                ``(iv) a scenario that improves the baseline conditions 
            for as many of the performance measures identified in 
            subsection (h)(2) as possible;
                ``(v) revenue constrained scenarios based on the total 
            revenues expected to be available over the forecast period 
            of the plan; and
                ``(vi) estimated costs and potential revenues available 
            to support each scenario.
            ``(C) Metrics.--In addition to the performance measures 
        identified in section 150(c) of title 23, metropolitan planning 
        organizations may evaluate scenarios developed under this 
        paragraph using locally-developed measures.
        ``(5) Consultation.--
            ``(A) In general.--In each metropolitan area, the 
        metropolitan planning organization shall consult, as 
        appropriate, with State and local agencies responsible for land 
        use management, natural resources, environmental protection, 
        conservation, and historic preservation concerning the 
        development of a long-range transportation plan.
            ``(B) Issues.--The consultation shall involve, as 
        appropriate--
                ``(i) comparison of transportation plans with State 
            conservation plans or maps, if available; or
                ``(ii) comparison of transportation plans to 
            inventories of natural or historic resources, if available.
        ``(6) Participation by interested parties.--
            ``(A) In general.--Each metropolitan planning organization 
        shall provide citizens, affected public agencies, 
        representatives of public transportation employees, freight 
        shippers, providers of freight transportation services, private 
        providers of transportation, representatives of users of public 
        transportation, representatives of users of pedestrian walkways 
        and bicycle transportation facilities, representatives of the 
        disabled, and other interested parties with a reasonable 
        opportunity to comment on the transportation plan.
            ``(B) Contents of participation plan.--A participation 
        plan--
                ``(i) shall be developed in consultation with all 
            interested parties; and
                ``(ii) shall provide that all interested parties have 
            reasonable opportunities to comment on the contents of the 
            transportation plan.
            ``(C) Methods.--In carrying out subparagraph (A), the 
        metropolitan planning organization shall, to the maximum extent 
        practicable--
                ``(i) hold any public meetings at convenient and 
            accessible locations and times;
                ``(ii) employ visualization techniques to describe 
            plans; and
                ``(iii) make public information available in 
            electronically accessible format and means, such as the 
            World Wide Web, as appropriate to afford reasonable 
            opportunity for consideration of public information under 
            subparagraph (A).
        ``(7) Publication.--A transportation plan involving Federal 
    participation shall be published or otherwise made readily 
    available by the metropolitan planning organization for public 
    review, including (to the maximum extent practicable) in 
    electronically accessible formats and means, such as the World Wide 
    Web, approved by the metropolitan planning organization and 
    submitted for information purposes to the Governor at such times 
    and in such manner as the Secretary shall establish.
        ``(8) Selection of projects from illustrative list.--
    Notwithstanding paragraph (2)(C), a State or metropolitan planning 
    organization shall not be required to select any project from the 
    illustrative list of additional projects included in the financial 
    plan under paragraph (2)(C).
    ``(j) Metropolitan TIP.--
        ``(1) Development.--
            ``(A) In general.--In cooperation with the State and any 
        affected public transportation operator, the metropolitan 
        planning organization designated for a metropolitan area shall 
        develop a TIP for the metropolitan planning area that--
                ``(i) contains projects consistent with the current 
            metropolitan transportation plan;
                ``(ii) reflects the investment priorities established 
            in the current metropolitan transportation plan; and
                ``(iii) once implemented, is designed to make progress 
            toward achieving the performance targets established under 
            subsection (h)(2).
            ``(B) Opportunity for comment.--In developing the TIP, the 
        metropolitan planning organization, in cooperation with the 
        State and any affected public transportation operator, shall 
        provide an opportunity for participation by interested parties 
        in the development of the program, in accordance with 
        subsection (i)(5).
            ``(C) Funding estimates.--For the purpose of developing the 
        TIP, the metropolitan planning organization, public 
        transportation agency, and State shall cooperatively develop 
        estimates of funds that are reasonably expected to be available 
        to support program implementation.
            ``(D) Updating and approval.--The TIP shall be--
                ``(i) updated at least once every 4 years; and
                ``(ii) approved by the metropolitan planning 
            organization and the Governor.
        ``(2) Contents.--
            ``(A) Priority list.--The TIP shall include a priority list 
        of proposed Federally supported projects and strategies to be 
        carried out within each 4-year period after the initial 
        adoption of the TIP.
            ``(B) Financial plan.--The TIP shall include a financial 
        plan that--
                ``(i) demonstrates how the TIP can be implemented;
                ``(ii) indicates resources from public and private 
            sources that are reasonably expected to be available to 
            carry out the program;
                ``(iii) identifies innovative financing techniques to 
            finance projects, programs, and strategies; and
                ``(iv) may include, for illustrative purposes, 
            additional projects that would be included in the approved 
            TIP if reasonable additional resources beyond those 
            identified in the financial plan were available.
            ``(C) Descriptions.--Each project in the TIP shall include 
        sufficient descriptive material (such as type of work, termini, 
        length, and other similar factors) to identify the project or 
        phase of the project.
            ``(D) Performance target achievement.--The transportation 
        improvement program shall include, to the maximum extent 
        practicable, a description of the anticipated effect of the 
        transportation improvement program toward achieving the 
        performance targets established in the metropolitan 
        transportation plan, linking investment priorities to those 
        performance targets.
        ``(3) Included projects.--
            ``(A) Projects under this chapter and title 23.--A TIP 
        developed under this subsection for a metropolitan area shall 
        include the projects within the area that are proposed for 
        funding under this chapter and chapter 1 of title 23.
            ``(B) Projects under chapter 2 of title 23.--
                ``(i) Regionally significant projects.--Regionally 
            significant projects proposed for funding under chapter 2 
            of title 23 shall be identified individually in the 
            transportation improvement program.
                ``(ii) Other projects.--Projects proposed for funding 
            under chapter 2 of title 23 that are not determined to be 
            regionally significant shall be grouped in 1 line item or 
            identified individually in the transportation improvement 
            program.
            ``(C) Consistency with long-range transportation plan.--
        Each project shall be consistent with the long-range 
        transportation plan developed under subsection (i) for the 
        area.
            ``(D) Requirement of anticipated full funding.--The program 
        shall include a project, or an identified phase of a project, 
        only if full funding can reasonably be anticipated to be 
        available for the project or the identified phase within the 
        time period contemplated for completion of the project or the 
        identified phase.
        ``(4) Notice and comment.--Before approving a TIP, a 
    metropolitan planning organization, in cooperation with the State 
    and any affected public transportation operator, shall provide an 
    opportunity for participation by interested parties in the 
    development of the program, in accordance with subsection (i)(5).
        ``(5) Selection of projects.--
            ``(A) In general.--Except as otherwise provided in 
        subsection (k)(4) and in addition to the TIP development 
        required under paragraph (1), the selection of Federally funded 
        projects in metropolitan areas shall be carried out, from the 
        approved TIP--
                ``(i) by--

                    ``(I) in the case of projects under title 23, the 
                State; and
                    ``(II) in the case of projects under this chapter, 
                the designated recipients of public transportation 
                funding; and

                ``(ii) in cooperation with the metropolitan planning 
            organization.
            ``(B) Modifications to project priority.--Notwithstanding 
        any other provision of law, action by the Secretary shall not 
        be required to advance a project included in the approved TIP 
        in place of another project in the program.
        ``(6) Selection of projects from illustrative list.--
            ``(A) No required selection.--Notwithstanding paragraph 
        (2)(B)(iv), a State or metropolitan planning organization shall 
        not be required to select any project from the illustrative 
        list of additional projects included in the financial plan 
        under paragraph (2)(B)(iv).
            ``(B) Required action by the secretary.--Action by the 
        Secretary shall be required for a State or metropolitan 
        planning organization to select any project from the 
        illustrative list of additional projects included in the 
        financial plan under paragraph (2)(B)(iv) for inclusion in an 
        approved TIP.
        ``(7) Publication.--
            ``(A) Publication of tips.--A TIP involving Federal 
        participation shall be published or otherwise made readily 
        available by the metropolitan planning organization for public 
        review.
            ``(B) Publication of annual listings of projects.--
                ``(i) In general.--An annual listing of projects, 
            including investments in pedestrian walkways and bicycle 
            transportation facilities, for which Federal funds have 
            been obligated in the preceding year shall be published or 
            otherwise made available by the cooperative effort of the 
            State, transit operator, and metropolitan planning 
            organization for public review.
                ``(ii) Requirement.--The listing shall be consistent 
            with the categories identified in the TIP.
    ``(k) Transportation Management Areas.--
        ``(1) Identification and designation.--
            ``(A) Required identification.--The Secretary shall 
        identify as a transportation management area each urbanized 
        area (as defined by the Bureau of the Census) with a population 
        of over 200,000 individuals.
            ``(B) Designations on request.--The Secretary shall 
        designate any additional area as a transportation management 
        area on the request of the Governor and the metropolitan 
        planning organization designated for the area.
        ``(2) Transportation plans.--In a transportation management 
    area, transportation plans shall be based on a continuing and 
    comprehensive transportation planning process carried out by the 
    metropolitan planning organization in cooperation with the State 
    and public transportation operators.
        ``(3) Congestion management process.--
            ``(A) In general.--Within a metropolitan planning area 
        serving a transportation management area, the transportation 
        planning process under this section shall address congestion 
        management through a process that provides for effective 
        management and operation, based on a cooperatively developed 
        and implemented metropolitan-wide strategy, of new and existing 
        transportation facilities eligible for funding under this 
        chapter and title 23 through the use of travel demand reduction 
        and operational management strategies.
            ``(B) Schedule.--The Secretary shall establish an 
        appropriate phase-in schedule for compliance with the 
        requirements of this section but no sooner than 1 year after 
        the identification of a transportation management area.
        ``(4) Selection of projects.--
            ``(A) In general.--All Federally funded projects carried 
        out within the boundaries of a metropolitan planning area 
        serving a transportation management area under title 23 
        (excluding projects carried out on the National Highway System) 
        or under this chapter shall be selected for implementation from 
        the approved TIP by the metropolitan planning organization 
        designated for the area in consultation with the State and any 
        affected public transportation operator.
            ``(B) National highway system projects.--Projects carried 
        out within the boundaries of a metropolitan planning area 
        serving a transportation management area on the National 
        Highway System shall be selected for implementation from the 
        approved TIP by the State in cooperation with the metropolitan 
        planning organization designated for the area.
        ``(5) Certification.--
            ``(A) In general.--The Secretary shall--
                ``(i) ensure that the metropolitan planning process of 
            a metropolitan planning organization serving a 
            transportation management area is being carried out in 
            accordance with applicable provisions of Federal law; and
                ``(ii) subject to subparagraph (B), certify, not less 
            often than once every 4 years, that the requirements of 
            this paragraph are met with respect to the metropolitan 
            planning process.
            ``(B) Requirements for certification.--The Secretary may 
        make the certification under subparagraph (A) if--
                ``(i) the transportation planning process complies with 
            the requirements of this section and other applicable 
            requirements of Federal law; and
                ``(ii) there is a TIP for the metropolitan planning 
            area that has been approved by the metropolitan planning 
            organization and the Governor.
            ``(C) Effect of failure to certify.--
                ``(i) Withholding of project funds.--If a metropolitan 
            planning process of a metropolitan planning organization 
            serving a transportation management area is not certified, 
            the Secretary may withhold up to 20 percent of the funds 
            attributable to the metropolitan planning area of the 
            metropolitan planning organization for projects funded 
            under this chapter and title 23.
                ``(ii) Restoration of withheld funds.--The withheld 
            funds shall be restored to the metropolitan planning area 
            at such time as the metropolitan planning process is 
            certified by the Secretary.
            ``(D) Review of certification.--In making certification 
        determinations under this paragraph, the Secretary shall 
        provide for public involvement appropriate to the metropolitan 
        area under review.
    ``(l) Report on Performance-based Planning Processes.--
        ``(1) In general.--The Secretary shall submit to Congress a 
    report on the effectiveness of the performance-based planning 
    processes of metropolitan planning organizations under this 
    section, taking into consideration the requirements of this 
    subsection
        ``(2) Report.--Not later than 5 years after the date of 
    enactment of the Federal Public Transportation Act of 2012, the 
    Secretary shall submit to Congress a report evaluating--
            ``(A) the overall effectiveness of performance-based 
        planning as a tool for guiding transportation investments;
            ``(B) the effectiveness of the performance-based planning 
        process of each metropolitan planning organization under this 
        section;
            ``(C) the extent to which metropolitan planning 
        organizations have achieved, or are currently making 
        substantial progress toward achieving, the performance targets 
        specified under this section and whether metropolitan planning 
        organizations are developing meaningful performance targets; 
        and
            ``(D) the technical capacity of metropolitan planning 
        organizations that operate within a metropolitan planning area 
        of less than 200,000 and their ability to carry out the 
        requirements of this section.
        ``(3) Publication.--The report under paragraph (2) shall be 
    published or otherwise made available in electronically accessible 
    formats and means, including on the Internet.
    ``(m) Abbreviated Plans for Certain Areas.--
        ``(1) In general.--Subject to paragraph (2), in the case of a 
    metropolitan area not designated as a transportation management 
    area under this section, the Secretary may provide for the 
    development of an abbreviated transportation plan and TIP for the 
    metropolitan planning area that the Secretary determines is 
    appropriate to achieve the purposes of this section, taking into 
    account the complexity of transportation problems in the area.
        ``(2) Nonattainment areas.--The Secretary may not permit 
    abbreviated plans or TIPs for a metropolitan area that is in 
    nonattainment for ozone or carbon monoxide under the Clean Air Act 
    (42 U.S.C. 7401 et seq.).
    ``(n) Additional Requirements for Certain Nonattainment Areas.--
        ``(1) In general.--Notwithstanding any other provisions of this 
    chapter or title 23, for transportation management areas classified 
    as nonattainment for ozone or carbon monoxide pursuant to the Clean 
    Air Act (42 U.S.C. 7401 et seq.), Federal funds may not be advanced 
    in such area for any highway project that will result in a 
    significant increase in the carrying capacity for single-occupant 
    vehicles unless the project is addressed through a congestion 
    management process.
        ``(2) Applicability.--This subsection applies to a 
    nonattainment area within the metropolitan planning area boundaries 
    determined under subsection (e).
    ``(o) Limitation on Statutory Construction.--Nothing in this 
section shall be construed to confer on a metropolitan planning 
organization the authority to impose legal requirements on any 
transportation facility, provider, or project not eligible under this 
chapter or title 23.
    ``(p) Funding.--Funds set aside under section 104(f) of title 23 or 
section 5305(g) shall be available to carry out this section.
    ``(q) Continuation of Current Review Practice.--Since plans and 
TIPs described in this section are subject to a reasonable opportunity 
for public comment, since individual projects included in plans and 
TIPs are subject to review under the National Environmental Policy Act 
of 1969 (42 U.S.C. 4321 et seq.), and since decisions by the Secretary 
concerning plans and TIPs described in this section have not been 
reviewed under that Act as of January 1, 1997, any decision by the 
Secretary concerning a plan or TIP described in this section shall not 
be considered to be a Federal action subject to review under that 
Act.''.
    (b) Pilot Program for Transit-oriented Development Planning.--
        (1) Definitions.--In this subsection the following definitions 
    shall apply:
            (A) Eligible project.--The term ``eligible project'' means 
        a new fixed guideway capital project or a core capacity 
        improvement project, as those terms are defined in section 5309 
        of title 49, United States Code, as amended by this division.
            (B) Secretary.--The term ``Secretary'' means the Secretary 
        of Transportation.
        (2) General authority.--The Secretary may make grants under 
    this subsection to a State or local governmental authority to 
    assist in financing comprehensive planning associated with an 
    eligible project that seeks to--
            (A) enhance economic development, ridership, and other 
        goals established during the project development and 
        engineering processes;
            (B) facilitate multimodal connectivity and accessibility;
            (C) increase access to transit hubs for pedestrian and 
        bicycle traffic;
            (D) enable mixed-use development;
            (E) identify infrastructure needs associated with the 
        eligible project; and
            (F) include private sector participation.
        (3) Eligibility.--A State or local governmental authority that 
    desires to participate in the program under this subsection shall 
    submit to the Secretary an application that contains, at a 
    minimum--
            (A) identification of an eligible project;
            (B) a schedule and process for the development of a 
        comprehensive plan;
            (C) a description of how the eligible project and the 
        proposed comprehensive plan advance the metropolitan 
        transportation plan of the metropolitan planning organization;
            (D) proposed performance criteria for the development and 
        implementation of the comprehensive plan; and
            (E) identification of--
                (i) partners;
                (ii) availability of and authority for funding; and
                (iii) potential State, local or other impediments to 
            the implementation of the comprehensive plan.
SEC. 20006. STATEWIDE AND NONMETROPOLITAN TRANSPORTATION PLANNING.
    Section 5304 of title 49, United States Code, is amended to read as 
follows:
``Sec. 5304. Statewide and nonmetropolitan transportation planning
    ``(a) General Requirements.--
        ``(1) Development of plans and programs.--Subject to section 
    5303, to accomplish the objectives stated in section 5303(a), each 
    State shall develop a statewide transportation plan and a statewide 
    transportation improvement program for all areas of the State.
        ``(2) Contents.--The statewide transportation plan and the 
    transportation improvement program developed for each State shall 
    provide for the development and integrated management and operation 
    of transportation systems and facilities (including accessible 
    pedestrian walkways and bicycle transportation facilities) that 
    will function as an intermodal transportation system for the State 
    and an integral part of an intermodal transportation system for the 
    United States.
        ``(3) Process of development.--The process for developing the 
    statewide plan and the transportation improvement program shall 
    provide for consideration of all modes of transportation and the 
    policies stated in section 5303(a) and shall be continuing, 
    cooperative, and comprehensive to the degree appropriate, based on 
    the complexity of the transportation problems to be addressed.
    ``(b) Coordination With Metropolitan Planning; State Implementation 
Plan.--A State shall--
        ``(1) coordinate planning carried out under this section with 
    the transportation planning activities carried out under section 
    5303 for metropolitan areas of the State and with statewide trade 
    and economic development planning activities and related multistate 
    planning efforts; and
        ``(2) develop the transportation portion of the State 
    implementation plan as required by the Clean Air Act (42 U.S.C. 
    7401 et seq.).
    ``(c) Interstate Agreements.--
        ``(1) In general.--Two or more States may enter into agreements 
    or compacts, not in conflict with any law of the United States, for 
    cooperative efforts and mutual assistance in support of activities 
    authorized under this section related to interstate areas and 
    localities in the States and establishing authorities the States 
    consider desirable for making the agreements and compacts 
    effective.
        ``(2) Reservation of rights.--The right to alter, amend, or 
    repeal interstate compacts entered into under this subsection is 
    expressly reserved.
    ``(d) Scope of Planning Process.--
        ``(1) In general.--Each State shall carry out a statewide 
    transportation planning process that provides for consideration and 
    implementation of projects, strategies, and services that will--
            ``(A) support the economic vitality of the United States, 
        the States, nonmetropolitan areas, and metropolitan areas, 
        especially by enabling global competitiveness, productivity, 
        and efficiency;
            ``(B) increase the safety of the transportation system for 
        motorized and nonmotorized users;
            ``(C) increase the security of the transportation system 
        for motorized and nonmotorized users;
            ``(D) increase the accessibility and mobility of people and 
        freight;
            ``(E) protect and enhance the environment, promote energy 
        conservation, improve the quality of life, and promote 
        consistency between transportation improvements and State and 
        local planned growth and economic development patterns;
            ``(F) enhance the integration and connectivity of the 
        transportation system, across and between modes throughout the 
        State, for people and freight;
            ``(G) promote efficient system management and operation; 
        and
            ``(H) emphasize the preservation of the existing 
        transportation system.
        ``(2) Performance-based approach.--
            ``(A) In general.--The statewide transportation planning 
        process shall provide for the establishment and use of a 
        performance-based approach to transportation decisionmaking to 
        support the national goals described in section 150(b) of title 
        23 and the general purposes described in section 5301.
            ``(B) Performance targets.--
                ``(i) Surface transportation performance targets.--

                    ``(I) In general.--Each State shall establish 
                performance targets that address the performance 
                measures described in section 150(c) of title 23, where 
                applicable, to use in tracking progress towards 
                attainment of critical outcomes for the State.
                    ``(II) Coordination.--Selection of performance 
                targets by a State shall be coordinated with the 
                relevant metropolitan planning organizations to ensure 
                consistency, to the maximum extent practicable.

                ``(ii) Public transportation performance targets.--In 
            urbanized areas with a population of fewer than 200,000 
            individuals, as calculated according to the most recent 
            decennial census, and not represented by a metropolitan 
            planning organization, selection of performance targets by 
            a State shall be coordinated, to the maximum extent 
            practicable, with providers of public transportation to 
            ensure consistency with sections 5326(c) and 5329(d).
            ``(C) Integration of other performance-based plans.--A 
        State shall integrate into the statewide transportation 
        planning process, directly or by reference, the goals, 
        objectives, performance measures, and targets described in this 
        paragraph, in other State transportation plans and 
        transportation processes, as well as any plans developed 
        pursuant to title 23 by providers of public transportation in 
        urbanized areas with a population of fewer than 200,000 
        individuals, as calculated according to the most recent 
        decennial census, and not represented by a metropolitan 
        planning organization, required as part of a performance-based 
        program.
            ``(D) Use of performance measures and targets.--The 
        performance measures and targets established under this 
        paragraph shall be considered by a State when developing 
        policies, programs, and investment priorities reflected in the 
        statewide transportation plan and statewide transportation 
        improvement program.
        ``(3) Failure to consider factors.--The failure to take into 
    consideration the factors specified in paragraphs (1) and (2) shall 
    not be subject to review by any court under this chapter, title 23, 
    subchapter II of chapter 5 of title 5, or chapter 7 of title 5 in 
    any matter affecting a statewide transportation plan, a statewide 
    transportation improvement program, a project or strategy, or the 
    certification of a planning process.
    ``(e) Additional Requirements.--``In carrying out planning under 
this section, each State shall, at a minimum--
        ``(1) with respect to nonmetropolitan areas, cooperate with 
    affected local officials with responsibility for transportation or, 
    if applicable, through regional transportation planning 
    organizations described in subsection (l);
        ``(2) consider the concerns of Indian tribal governments and 
    Federal land management agencies that have jurisdiction over land 
    within the boundaries of the State; and
        ``(3) consider coordination of transportation plans, the 
    transportation improvement program, and planning activities with 
    related planning activities being carried out outside of 
    metropolitan planning areas and between States.
    ``(f) Long-range Statewide Transportation Plan.--
        ``(1) Development.--Each State shall develop a long-range 
    statewide transportation plan, with a minimum 20-year forecast 
    period for all areas of the State, that provides for the 
    development and implementation of the intermodal transportation 
    system of the State.
        ``(2) Consultation with governments.--
            ``(A) Metropolitan areas.--The statewide transportation 
        plan shall be developed for each metropolitan area in the State 
        in cooperation with the metropolitan planning organization 
        designated for the metropolitan area under section 5303.
            ``(B) Nonmetropolitan areas.--
                ``(i) In general.--With respect to nonmetropolitan 
            areas, the statewide transportation plan shall be developed 
            in cooperation with affected nonmetropolitan officials with 
            responsibility for transportation or, if applicable, 
            through regional transportation planning organizations 
            described in subsection (l).
                ``(ii) Role of secretary.--The Secretary shall not 
            review or approve the consultation process in each State.
            ``(C) Indian tribal areas.--With respect to each area of 
        the State under the jurisdiction of an Indian tribal 
        government, the statewide transportation plan shall be 
        developed in consultation with the tribal government and the 
        Secretary of the Interior.
            ``(D) Consultation, comparison, and consideration.--
                ``(i) In general.--The long-range transportation plan 
            shall be developed, as appropriate, in consultation with 
            State, tribal, and local agencies responsible for land use 
            management, natural resources, environmental protection, 
            conservation, and historic preservation.
                ``(ii) Comparison and consideration.--Consultation 
            under clause (i) shall involve comparison of transportation 
            plans to State and tribal conservation plans or maps, if 
            available, and comparison of transportation plans to 
            inventories of natural or historic resources, if available.
        ``(3) Participation by interested parties.--
            ``(A) In general.--In developing the statewide 
        transportation plan, the State shall provide to--
                ``(i) nonmetropolitan local elected officials, or, if 
            applicable, through regional transportation planning 
            organizations described in subsection (l), an opportunity 
            to participate in accordance with subparagraph (B)(i); and
                ``(ii) citizens, affected public agencies, 
            representatives of public transportation employees, freight 
            shippers, private providers of transportation, 
            representatives of users of public transportation, 
            representatives of users of pedestrian walkways and bicycle 
            transportation facilities, representatives of the disabled, 
            providers of freight transportation services, and other 
            interested parties a reasonable opportunity to comment on 
            the proposed plan.
            ``(B) Methods.--In carrying out subparagraph (A), the State 
        shall, to the maximum extent practicable--
                ``(i) develop and document a consultative process to 
            carry out subparagraph (A)(i) that is separate and discrete 
            from the public involvement process developed under clause 
            (ii);
                ``(ii) hold any public meetings at convenient and 
            accessible locations and times;
                ``(iii) employ visualization techniques to describe 
            plans; and
                ``(iv) make public information available in 
            electronically accessible format and means, such as the 
            World Wide Web, as appropriate to afford reasonable 
            opportunity for consideration of public information under 
            subparagraph (A).
        ``(4) Mitigation activities.--
            ``(A) In general.--A long-range transportation plan shall 
        include a discussion of potential environmental mitigation 
        activities and potential areas to carry out these activities, 
        including activities that may have the greatest potential to 
        restore and maintain the environmental functions affected by 
        the plan.
            ``(B) Consultation.--The discussion shall be developed in 
        consultation with Federal, State, and tribal wildlife, land 
        management, and regulatory agencies.
        ``(5) Financial plan.--The statewide transportation plan may 
    include--
            ``(A) a financial plan that--
                ``(i) demonstrates how the adopted statewide 
            transportation plan can be implemented;
                ``(ii) indicates resources from public and private 
            sources that are reasonably expected to be made available 
            to carry out the plan; and
                ``(iii) recommends any additional financing strategies 
            for needed projects and programs; and
            ``(B) for illustrative purposes, additional projects that 
        would be included in the adopted statewide transportation plan 
        if reasonable additional resources beyond those identified in 
        the financial plan were available.
        ``(6) Selection of projects from illustrative list.--A State 
    shall not be required to select any project from the illustrative 
    list of additional projects included in the financial plan 
    described in paragraph (5).
        ``(7) Performance-based approach.--The statewide transportation 
    plan should include--
            ``(A) a description of the performance measures and 
        performance targets used in assessing the performance of the 
        transportation system in accordance with subsection (d)(2); and
            ``(B) a system performance report and subsequent updates 
        evaluating the condition and performance of the transportation 
        system with respect to the performance targets described in 
        subsection (d)(2), including progress achieved by the 
        metropolitan planning organization in meeting the performance 
        targets in comparison with system performance recorded in 
        previous reports;
        ``(8) Existing system.--The statewide transportation plan 
    should include capital, operations and management strategies, 
    investments, procedures, and other measures to ensure the 
    preservation and most efficient use of the existing transportation 
    system.
        ``(9) Publication of long-range transportation plans.--Each 
    long-range transportation plan prepared by a State shall be 
    published or otherwise made available, including (to the maximum 
    extent practicable) in electronically accessible formats and means, 
    such as the World Wide Web.
    ``(g) Statewide Transportation Improvement Program.--
        ``(1) Development.--
            ``(A) In general.--Each State shall develop a statewide 
        transportation improvement program for all areas of the State.
            ``(B) Duration and updating of program.--Each program 
        developed under subparagraph (A) shall cover a period of 4 
        years and shall be updated every 4 years or more frequently if 
        the Governor of the State elects to update more frequently.
        ``(2) Consultation with governments.--
            ``(A) Metropolitan areas.--With respect to each 
        metropolitan area in the State, the program shall be developed 
        in cooperation with the metropolitan planning organization 
        designated for the metropolitan area under section 5303.
            ``(B) Nonmetropolitan areas.--
                ``(i) In general.--With respect to each nonmetropolitan 
            area in the State, the program shall be developed in 
            cooperation with affected nonmetropolitan local officials 
            with responsibility for transportation or, if applicable, 
            through regional transportation planning organizations 
            described in subsection (l).
                ``(ii) Role of secretary.--The Secretary shall not 
            review or approve the specific consultation process in the 
            State.
            ``(C) Indian tribal areas.--With respect to each area of 
        the State under the jurisdiction of an Indian tribal 
        government, the program shall be developed in consultation with 
        the tribal government and the Secretary of the Interior.
        ``(3) Participation by interested parties.--In developing the 
    program, the State shall provide citizens, affected public 
    agencies, representatives of public transportation employees, 
    freight shippers, private providers of transportation, providers of 
    freight transportation services, representatives of users of public 
    transportation, representatives of users of pedestrian walkways and 
    bicycle transportation facilities, representatives of the disabled, 
    and other interested parties with a reasonable opportunity to 
    comment on the proposed program.
        ``(4) Performance target achievement.--A statewide 
    transportation improvement program shall include, to the maximum 
    extent practicable, a discussion of the anticipated effect of the 
    statewide transportation improvement program toward achieving the 
    performance targets established in the statewide transportation 
    plan, linking investment priorities to those performance targets.
        ``(5) Included projects.--
            ``(A) In general.--A transportation improvement program 
        developed under this subsection for a State shall include 
        Federally supported surface transportation expenditures within 
        the boundaries of the State.
            ``(B) Listing of projects.--
                ``(i) In general.--An annual listing of projects for 
            which funds have been obligated for the preceding year in 
            each metropolitan planning area shall be published or 
            otherwise made available by the cooperative effort of the 
            State, transit operator, and the metropolitan planning 
            organization for public review.
                ``(ii) Funding categories.--The listing described in 
            clause (i) shall be consistent with the funding categories 
            identified in each metropolitan transportation improvement 
            program.
            ``(C) Projects under chapter 2.--
                ``(i) Regionally significant projects.--Regionally 
            significant projects proposed for funding under chapter 2 
            of title 23 shall be identified individually in the 
            transportation improvement program.
                ``(ii) Other projects.--Projects proposed for funding 
            under chapter 2 of title 23 that are not determined to be 
            regionally significant shall be grouped in 1 line item or 
            identified individually in the transportation improvement 
            program.
            ``(D) Consistency with statewide transportation plan.--Each 
        project shall be--
                ``(i) consistent with the statewide transportation plan 
            developed under this section for the State;
                ``(ii) identical to the project or phase of the project 
            as described in an approved metropolitan transportation 
            plan; and
                ``(iii) in conformance with the applicable State air 
            quality implementation plan developed under the Clean Air 
            Act (42 U.S.C. 7401 et seq.), if the project is carried out 
            in an area designated as a nonattainment area for ozone, 
            particulate matter, or carbon monoxide under part D of 
            title I of that Act (42 U.S.C. 7501 et seq.).
            ``(E) Requirement of anticipated full funding.--The 
        transportation improvement program shall include a project, or 
        an identified phase of a project, only if full funding can 
        reasonably be anticipated to be available for the project 
        within the time period contemplated for completion of the 
        project.
            ``(F) Financial plan.--
                ``(i) In general.--The transportation improvement 
            program may include a financial plan that demonstrates how 
            the approved transportation improvement program can be 
            implemented, indicates resources from public and private 
            sources that are reasonably expected to be made available 
            to carry out the transportation improvement program, and 
            recommends any additional financing strategies for needed 
            projects and programs.
                ``(ii) Additional projects.--The financial plan may 
            include, for illustrative purposes, additional projects 
            that would be included in the adopted transportation plan 
            if reasonable additional resources beyond those identified 
            in the financial plan were available.
            ``(G) Selection of projects from illustrative list.--
                ``(i) No required selection.--Notwithstanding 
            subparagraph (F), a State shall not be required to select 
            any project from the illustrative list of additional 
            projects included in the financial plan under subparagraph 
            (F).
                ``(ii) Required action by the secretary.--Action by the 
            Secretary shall be required for a State to select any 
            project from the illustrative list of additional projects 
            included in the financial plan under subparagraph (F) for 
            inclusion in an approved transportation improvement 
            program.
            ``(H) Priorities.--The transportation improvement program 
        shall reflect the priorities for programming and expenditures 
        of funds, including transportation enhancement activities, 
        required by this chapter and title 23.
        ``(6) Project selection for areas of less than 50,000 
    population.--
            ``(A) In general.--Projects carried out in areas with 
        populations of less than 50,000 individuals shall be selected, 
        from the approved transportation improvement program (excluding 
        projects carried out on the National Highway System and 
        projects carried out under the bridge program or the Interstate 
        maintenance program under title 23 or under sections 5310 and 
        5311 of this chapter), by the State in cooperation with the 
        affected nonmetropolitan local officials with responsibility 
        for transportation or, if applicable, through regional 
        transportation planning organizations described in subsection 
        (l).
            ``(B) Other projects.--Projects carried out in areas with 
        populations of less than 50,000 individuals on the National 
        Highway System or under the bridge program or the Interstate 
        maintenance program under title 23 or under sections 5310 and 
        5311 of this chapter shall be selected, from the approved 
        statewide transportation improvement program, by the State in 
        consultation with the affected nonmetropolitan local officials 
        with responsibility for transportation.
        ``(7) Transportation improvement program approval.--Every 4 
    years, a transportation improvement program developed under this 
    subsection shall be reviewed and approved by the Secretary if based 
    on a current planning finding.
        ``(8) Planning finding.--A finding shall be made by the 
    Secretary at least every 4 years that the transportation planning 
    process through which statewide transportation plans and programs 
    are developed is consistent with this section and section 5303.
        ``(9) Modifications to project priority.--Notwithstanding any 
    other provision of law, action by the Secretary shall not be 
    required to advance a project included in the approved 
    transportation improvement program in place of another project in 
    the program.
    ``(h) Performance-based Planning Processes Evaluation.--
        ``(1) In general.--The Secretary shall establish criteria to 
    evaluate the effectiveness of the performance-based planning 
    processes of States, taking into consideration the following:
            ``(A) The extent to which the State is making progress 
        toward achieving, the performance targets described in 
        subsection (d)(2), taking into account whether the State 
        developed appropriate performance targets.
            ``(B) The extent to which the State has made transportation 
        investments that are efficient and cost-effective.
            ``(C) The extent to which the State--
                ``(i) has developed an investment process that relies 
            on public input and awareness to ensure that investments 
            are transparent and accountable; and
                ``(ii) provides reports allowing the public to access 
            the information being collected in a format that allows the 
            public to meaningfully assess the performance of the State.
        ``(2) Report.--
            ``(A) In general.--Not later than 5 years after the date of 
        enactment of the Federal Public Transportation Act of 2012, the 
        Secretary shall submit to Congress a report evaluating--
                ``(i) the overall effectiveness of performance-based 
            planning as a tool for guiding transportation investments; 
            and
                ``(ii) the effectiveness of the performance-based 
            planning process of each State.
            ``(B) Publication.--The report under subparagraph (A) shall 
        be published or otherwise made available in electronically 
        accessible formats and means, including on the Internet.
    ``(i) Treatment of Certain State Laws as Congestion Management 
Processes.--For purposes of this section and section 5303, and sections 
134 and 135 of title 23, State laws, rules, or regulations pertaining 
to congestion management systems or programs may constitute the 
congestion management process under this this section and section 5303, 
and sections 134 and 135 of title 23, if the Secretary finds that the 
State laws, rules, or regulations are consistent with, and fulfill the 
intent of, the purposes of this section and section 5303, and sections 
134 and 135 of title 23, as appropriate.
    ``(j) Continuation of Current Review Practice.--Since the statewide 
transportation plan and the transportation improvement program 
described in this section are subject to a reasonable opportunity for 
public comment, since individual projects included in the statewide 
transportation plans and the transportation improvement program are 
subject to review under the National Environmental Policy Act of 1969 
(42 U.S.C. 4321 et seq.), and since decisions by the Secretary 
concerning statewide transportation plans or the transportation 
improvement program described in this section have not been reviewed 
under that Act as of January 1, 1997, any decision by the Secretary 
concerning a metropolitan or statewide transportation plan or the 
transportation improvement program described in this section shall not 
be considered to be a Federal action subject to review under the 
National Environmental Policy Act of 1969 (42 U.S.C. 4321 et seq.).
    ``(k) Schedule for Implementation.--The Secretary shall issue 
guidance on a schedule for implementation of the changes made by this 
section, taking into consideration the established planning update 
cycle for States. The Secretary shall not require a State to deviate 
from its established planning update cycle to implement changes made by 
this section. States shall reflect changes made to their transportation 
plan or transportation improvement program updates not later than 2 
years after the date of issuance of guidance by the Secretary under 
this subsection.
    ``(l) Designation of Regional Transportation Planning 
Organizations.--
        ``(1) In general.--To carry out the transportation planning 
    process required by this section, a State may establish and 
    designate regional transportation planning organizations to enhance 
    the planning, coordination, and implementation of statewide 
    strategic long-range transportation plans and transportation 
    improvement programs, with an emphasis on addressing the needs of 
    nonmetropolitan areas of the State.
        ``(2) Structure.--A regional transportation planning 
    organization shall be established as a multijurisdictional 
    organization of nonmetropolitan local officials or their designees 
    who volunteer for such organization and representatives of local 
    transportation systems who volunteer for such organization.
        ``(3) Requirements.--A regional transportation planning 
    organization shall establish, at a minimum--
            ``(A) a policy committee, the majority of which shall 
        consist of nonmetropolitan local officials, or their designees, 
        and, as appropriate, additional representatives from the State, 
        private business, transportation service providers, economic 
        development practitioners, and the public in the region; and
            ``(B) a fiscal and administrative agent, such as an 
        existing regional planning and development organization, to 
        provide professional planning, management, and administrative 
        support.
        ``(4) Duties.--The duties of a regional transportation planning 
    organization shall include--
            ``(A) developing and maintaining, in cooperation with the 
        State, regional long-range multimodal transportation plans;
            ``(B) developing a regional transportation improvement 
        program for consideration by the State;
            ``(C) fostering the coordination of local planning, land 
        use, and economic development plans with State, regional, and 
        local transportation plans and programs;
            ``(D) providing technical assistance to local officials;
            ``(E) participating in national, multistate, and State 
        policy and planning development processes to ensure the 
        regional and local input of nonmetropolitan areas;
            ``(F) providing a forum for public participation in the 
        statewide and regional transportation planning processes;
            ``(G) considering and sharing plans and programs with 
        neighboring regional transportation planning organizations, 
        metropolitan planning organizations, and, where appropriate, 
        tribal organizations; and
            ``(H) conducting other duties, as necessary, to support and 
        enhance the statewide planning process under subsection (d).
        ``(5) States without regional transportation planning 
    organizations.--If a State chooses not to establish or designate a 
    regional transportation planning organization, the State shall 
    consult with affected nonmetropolitan local officials to determine 
    projects that may be of regional significance.''.
SEC. 20007. URBANIZED AREA FORMULA GRANTS.
    Section 5307 of title 49, United States Code, is amended to read as 
follows:
``Sec. 5307. Urbanized area formula grants
    ``(a) General Authority.--
        ``(1) Grants.--The Secretary may make grants under this section 
    for--
            ``(A) capital projects;
            ``(B) planning;
            ``(C) job access and reverse commute projects; and
            ``(D) operating costs of equipment and facilities for use 
        in public transportation in an urbanized area with a population 
        of fewer than 200,000 individuals, as determined by the Bureau 
        of the Census.
        ``(2) Special rule.--The Secretary may make grants under this 
    section to finance the operating cost of equipment and facilities 
    for use in public transportation, excluding rail fixed guideway, in 
    an urbanized area with a population of not fewer than 200,000 
    individuals, as determined by the Bureau of the Census--
            ``(A) for public transportation systems that operate 75 or 
        fewer buses in fixed route service during peak service hours, 
        in an amount not to exceed 75 percent of the share of the 
        apportionment which is attributable to such systems within the 
        urbanized area, as measured by vehicle revenue hours; and
            ``(B) for public transportation systems that operate a 
        minimum of 76 buses and a maximum of 100 buses in fixed route 
        service during peak service hours, in an amount not to exceed 
        50 percent of the share of the apportionment which is 
        attributable to such systems within the urbanized area, as 
        measured by vehicle revenue hours.
    ``(b) Program of Projects.--Each recipient of a grant shall--
        ``(1) make available to the public information on amounts 
    available to the recipient under this section;
        ``(2) develop, in consultation with interested parties, 
    including private transportation providers, a proposed program of 
    projects for activities to be financed;
        ``(3) publish a proposed program of projects in a way that 
    affected individuals, private transportation providers, and local 
    elected officials have the opportunity to examine the proposed 
    program and submit comments on the proposed program and the 
    performance of the recipient;
        ``(4) provide an opportunity for a public hearing in which to 
    obtain the views of individuals on the proposed program of 
    projects;
        ``(5) ensure that the proposed program of projects provides for 
    the coordination of public transportation services assisted under 
    section 5336 of this title with transportation services assisted 
    from other United States Government sources;
        ``(6) consider comments and views received, especially those of 
    private transportation providers, in preparing the final program of 
    projects; and
        ``(7) make the final program of projects available to the 
    public.
    ``(c) Grant Recipient Requirements.--A recipient may receive a 
grant in a fiscal year only if--
        ``(1) the recipient, within the time the Secretary prescribes, 
    submits a final program of projects prepared under subsection (b) 
    of this section and a certification for that fiscal year that the 
    recipient (including a person receiving amounts from a Governor 
    under this section)--
            ``(A) has or will have the legal, financial, and technical 
        capacity to carry out the program, including safety and 
        security aspects of the program;
            ``(B) has or will have satisfactory continuing control over 
        the use of equipment and facilities;
            ``(C) will maintain equipment and facilities;
            ``(D) will ensure that, during non-peak hours for 
        transportation using or involving a facility or equipment of a 
        project financed under this section, a fare that is not more 
        than 50 percent of the peak hour fare will be charged for any--
                ``(i) senior;
                ``(ii) individual who, because of illness, injury, age, 
            congenital malfunction, or other incapacity or temporary or 
            permanent disability (including an individual who is a 
            wheelchair user or has semiambulatory capability), cannot 
            use a public transportation service or a public 
            transportation facility effectively without special 
            facilities, planning, or design; and
                ``(iii) individual presenting a Medicare card issued to 
            that individual under title II or XVIII of the Social 
            Security Act (42 U.S.C. 401 et seq. and 1395 et seq.);
            ``(E) in carrying out a procurement under this section, 
        will comply with sections 5323 and 5325;
            ``(F) has complied with subsection (b) of this section;
            ``(G) has available and will provide the required amounts 
        as provided by subsection (d) of this section;
            ``(H) will comply with sections 5303 and 5304;
            ``(I) has a locally developed process to solicit and 
        consider public comment before raising a fare or carrying out a 
        major reduction of transportation;
            ``(J)(i) will expend for each fiscal year for public 
        transportation security projects, including increased lighting 
        in or adjacent to a public transportation system (including bus 
        stops, subway stations, parking lots, and garages), increased 
        camera surveillance of an area in or adjacent to that system, 
        providing an emergency telephone line to contact law 
        enforcement or security personnel in an area in or adjacent to 
        that system, and any other project intended to increase the 
        security and safety of an existing or planned public 
        transportation system, at least 1 percent of the amount the 
        recipient receives for each fiscal year under section 5336 of 
        this title; or
            ``(ii) has decided that the expenditure for security 
        projects is not necessary;
            ``(K) in the case of a recipient for an urbanized area with 
        a population of not fewer than 200,000 individuals, as 
        determined by the Bureau of the Census--
                ``(i) will expend not less than 1 percent of the amount 
            the recipient receives each fiscal year under this section 
            for associated transit improvements, as defined in section 
            5302; and
                ``(ii) will submit an annual report listing projects 
            carried out in the preceding fiscal year with those funds; 
            and
            ``(L) will comply with section 5329(d); and
        ``(2) the Secretary accepts the certification.
    ``(d) Government Share of Costs.--
        ``(1) Capital projects.--A grant for a capital project under 
    this section shall be for 80 percent of the net project cost of the 
    project. The recipient may provide additional local matching 
    amounts.
        ``(2) Operating expenses.--A grant for operating expenses under 
    this section may not exceed 50 percent of the net project cost of 
    the project.
        ``(3) Remaining costs.--Subject to paragraph (4), the remainder 
    of the net project costs shall be provided--
            ``(A) in cash from non-Government sources other than 
        revenues from providing public transportation services;
            ``(B) from revenues from the sale of advertising and 
        concessions;
            ``(C) from an undistributed cash surplus, a replacement or 
        depreciation cash fund or reserve, or new capital;
            ``(D) from amounts appropriated or otherwise made available 
        to a department or agency of the Government (other than the 
        Department of Transportation) that are eligible to be expended 
        for transportation; and
            ``(E) from amounts received under a service agreement with 
        a State or local social service agency or private social 
        service organization.
        ``(4) Use of certain funds.--For purposes of subparagraphs (D) 
    and (E) of paragraph (3), the prohibitions on the use of funds for 
    matching requirements under section 403(a)(5)(C)(vii) of the Social 
    Security Act (42 U.S.C. 603(a)(5)(C)(vii)) shall not apply to 
    Federal or State funds to be used for transportation purposes.
    ``(e) Undertaking Projects in Advance.--
        ``(1) Payment.--The Secretary may pay the Government share of 
    the net project cost to a State or local governmental authority 
    that carries out any part of a project eligible under subparagraph 
    (A) or (B) of subsection (a)(1) without the aid of amounts of the 
    Government and according to all applicable procedures and 
    requirements if--
            ``(A) the recipient applies for the payment;
            ``(B) the Secretary approves the payment; and
            ``(C) before carrying out any part of the project, the 
        Secretary approves the plans and specifications for the part in 
        the same way as for other projects under this section.
        ``(2) Approval of application.--The Secretary may approve an 
    application under paragraph (1) of this subsection only if an 
    authorization for this section is in effect for the fiscal year to 
    which the application applies. The Secretary may not approve an 
    application if the payment will be more than--
            ``(A) the recipient's expected apportionment under section 
        5336 of this title if the total amount authorized to be 
        appropriated for the fiscal year to carry out this section is 
        appropriated; less
            ``(B) the maximum amount of the apportionment that may be 
        made available for projects for operating expenses under this 
        section.
        ``(3) Financing costs.--
            ``(A) In general.--The cost of carrying out part of a 
        project includes the amount of interest earned and payable on 
        bonds issued by the recipient to the extent proceeds of the 
        bonds are expended in carrying out the part.
            ``(B) Limitation on the amount of interest.--The amount of 
        interest allowed under this paragraph may not be more than the 
        most favorable financing terms reasonably available for the 
        project at the time of borrowing.
            ``(C) Certification.--The applicant shall certify, in a 
        manner satisfactory to the Secretary, that the applicant has 
        shown reasonable diligence in seeking the most favorable 
        financing terms.
    ``(f) Reviews, Audits, and Evaluations.--
        ``(1) Annual review.--
            ``(A) In general.--At least annually, the Secretary shall 
        carry out, or require a recipient to have carried out 
        independently, reviews and audits the Secretary considers 
        appropriate to establish whether the recipient has carried 
        out--
                ``(i) the activities proposed under subsection (c) of 
            this section in a timely and effective way and can continue 
            to do so; and
                ``(ii) those activities and its certifications and has 
            used amounts of the Government in the way required by law.
            ``(B) Auditing procedures.--An audit of the use of amounts 
        of the Government shall comply with the auditing procedures of 
        the Comptroller General.
        ``(2) Triennial review.--At least once every 3 years, the 
    Secretary shall review and evaluate completely the performance of a 
    recipient in carrying out the recipient's program, specifically 
    referring to compliance with statutory and administrative 
    requirements and the extent to which actual program activities are 
    consistent with the activities proposed under subsection (c) of 
    this section and the planning process required under sections 5303, 
    5304, and 5305 of this title. To the extent practicable, the 
    Secretary shall coordinate such reviews with any related State or 
    local reviews.
        ``(3) Actions resulting from review, audit, or evaluation.--The 
    Secretary may take appropriate action consistent with a review, 
    audit, and evaluation under this subsection, including making an 
    appropriate adjustment in the amount of a grant or withdrawing the 
    grant.
    ``(g) Treatment.--For purposes of this section, the United States 
Virgin Islands shall be treated as an urbanized area, as defined in 
section 5302.
    ``(h) Passenger Ferry Grants.--
        ``(1) In general.--The Secretary may make grants under this 
    subsection to recipients for passenger ferry projects that are 
    eligible for a grant under subsection (a).
        ``(2) Grant requirements.--Except as otherwise provided in this 
    subsection, a grant under this subsection shall be subject to the 
    same terms and conditions as a grant under subsection (a).
        ``(3) Competitive process.--The Secretary shall solicit grant 
    applications and make grants for eligible projects on a competitive 
    basis.''.
SEC. 20008. FIXED GUIDEWAY CAPITAL INVESTMENT GRANTS.
    (a) In General.--Section 5309 of title 49, United States Code, is 
amended to read as follows:
``Sec. 5309. Fixed guideway capital investment grants
    ``(a) Definitions.--In this section, the following definitions 
shall apply:
        ``(1) Applicant.--The term `applicant' means a State or local 
    governmental authority that applies for a grant under this section.
        ``(2) Core capacity improvement project.--The term `core 
    capacity improvement project' means a substantial corridor-based 
    capital investment in an existing fixed guideway system that 
    increases the capacity of a corridor by not less than 10 percent. 
    The term does not include project elements designed to maintain a 
    state of good repair of the existing fixed guideway system.
        ``(3) Corridor-based bus rapid transit project.--The term 
    `corridor-based bus rapid transit project' means a small start 
    project utilizing buses in which the project represents a 
    substantial investment in a defined corridor as demonstrated by 
    features that emulate the services provided by rail fixed guideway 
    public transportation systems, including defined stations; traffic 
    signal priority for public transportation vehicles; short headway 
    bidirectional services for a substantial part of weekdays and 
    weekend days; and any other features the Secretary may determine 
    support a long-term corridor investment, but the majority of which 
    does not operate in a separated right-of-way dedicated for public 
    transportation use during peak periods.
        ``(4) Fixed guideway bus rapid transit project.--The term 
    `fixed guideway bus rapid transit project' means a bus capital 
    project--
            ``(A) in which the majority of the project operates in a 
        separated right-of-way dedicated for public transportation use 
        during peak periods;
            ``(B) that represents a substantial investment in a single 
        route in a defined corridor or subarea; and
            ``(C) that includes features that emulate the services 
        provided by rail fixed guideway public transportation systems, 
        including--
                ``(i) defined stations;
                ``(ii) traffic signal priority for public 
            transportation vehicles;
                ``(iii) short headway bidirectional services for a 
            substantial part of weekdays and weekend days; and
                ``(iv) any other features the Secretary may determine 
            are necessary to produce high-quality public transportation 
            services that emulate the services provided by rail fixed 
            guideway public transportation systems.
        ``(5) New fixed guideway capital project.--The term `new fixed 
    guideway capital project' means--
            ``(A) a new fixed guideway project that is a minimum 
        operable segment or extension to an existing fixed guideway 
        system; or
            ``(B) a fixed guideway bus rapid transit project that is a 
        minimum operable segment or an extension to an existing bus 
        rapid transit system.
        ``(6) Program of interrelated projects.--The term `program of 
    interrelated projects' means the simultaneous development of--
            ``(A) 2 or more new fixed guideway capital projects or core 
        capacity improvement projects; or
            ``(B) 1 or more new fixed guideway capital projects and 1 
        or more core capacity improvement projects.
        ``(7) Small start project.--The term `small start project' 
    means a new fixed guideway capital project or corridor-based bus 
    rapid transit project for which--
            ``(A) the Federal assistance provided or to be provided 
        under this section is less than $75,000,000; and
            ``(B) the total estimated net capital cost is less than 
        $250,000,000.
    ``(b) General Authority.--The Secretary may make grants under this 
section to State and local governmental authorities to assist in 
financing--
        ``(1) new fixed guideway capital projects or small start 
    projects, including the acquisition of real property, the initial 
    acquisition of rolling stock for the system, the acquisition of 
    rights-of-way, and relocation, for fixed guideway corridor 
    development for projects in the advanced stages of project 
    development or engineering; and
        ``(2) core capacity improvement projects, including the 
    acquisition of real property, the acquisition of rights-of-way, 
    double tracking, signalization improvements, electrification, 
    expanding system platforms, acquisition of rolling stock associated 
    with corridor improvements increasing capacity, construction of 
    infill stations, and such other capacity improvement projects as 
    the Secretary determines are appropriate to increase the capacity 
    of an existing fixed guideway system corridor by at least 10 
    percent. Core capacity improvement projects do not include elements 
    to improve general station facilities or parking, or acquisition of 
    rolling stock alone.
    ``(c) Grant Requirements.--
        ``(1) In general.--The Secretary may make a grant under this 
    section for new fixed guideway capital projects, small start 
    projects, or core capacity improvement projects, if the Secretary 
    determines that--
            ``(A) the project is part of an approved transportation 
        plan required under sections 5303 and 5304; and
            ``(B) the applicant has, or will have--
                ``(i) the legal, financial, and technical capacity to 
            carry out the project, including the safety and security 
            aspects of the project;
                ``(ii) satisfactory continuing control over the use of 
            the equipment or facilities; and
                ``(iii) the technical and financial capacity to 
            maintain new and existing equipment and facilities.
        ``(2) Certification.--An applicant that has submitted the 
    certifications required under subparagraphs (A), (B), (C), and (H) 
    of section 5307(c)(1) shall be deemed to have provided sufficient 
    information upon which the Secretary may make the determinations 
    required under this subsection.
        ``(3) Technical capacity.--The Secretary shall use an expedited 
    technical capacity review process for applicants that have recently 
    and successfully completed at least 1 new fixed guideway capital 
    project, or core capacity improvement project, if--
            ``(A) the applicant achieved budget, cost, and ridership 
        outcomes for the project that are consistent with or better 
        than projections; and
            ``(B) the applicant demonstrates that the applicant 
        continues to have the staff expertise and other resources 
        necessary to implement a new project.
        ``(4) Recipient requirements.--A recipient of a grant awarded 
    under this section shall be subject to all terms, conditions, 
    requirements, and provisions that the Secretary determines to be 
    necessary or appropriate for purposes of this section.
    ``(d) New Fixed Guideway Grants.--
        ``(1) Project development phase.--
            ``(A) Entrance into project development phase.--A new fixed 
        guideway capital project shall enter into the project 
        development phase when--
                ``(i) the applicant--

                    ``(I) submits a letter to the Secretary describing 
                the project and requesting entry into the project 
                development phase; and
                    ``(II) initiates activities required to be carried 
                out under the National Environmental Policy Act of 1969 
                (42 U.S.C. 4321 et seq.) with respect to the project; 
                and

                ``(ii) the Secretary--

                    ``(I) responds in writing to the applicant within 
                45 days whether the information provided is sufficient 
                to enter into the project development phase, including, 
                when necessary, a detailed description of any 
                information deemed insufficient; and
                    ``(II) provides concurrent notice to the Committee 
                on Banking, Housing, and Urban Affairs of the Senate 
                and the Committee on Transportation and Infrastructure 
                of the House of Representatives of whether the new 
                fixed guideway capital project is entering the project 
                development phase.

            ``(B) Activities during project development phase.--
        Concurrent with the analysis required to be made under the 
        National Environmental Policy Act of 1969 (42 U.S.C. 4321 et 
        seq.), each applicant shall develop sufficient information to 
        enable the Secretary to make findings of project justification, 
        policies and land use patterns that promote public 
        transportation, and local financial commitment under this 
        subsection.
            ``(C) Completion of project development activities 
        required.--
                ``(i) In general.--Not later than 2 years after the 
            date on which a project enters into the project development 
            phase, the applicant shall complete the activities required 
            to obtain a project rating under subsection (g)(2) and 
            submit completed documentation to the Secretary.
                ``(ii) Extension of time.--Upon the request of an 
            applicant, the Secretary may extend the time period under 
            clause (i), if the applicant submits to the Secretary--

                    ``(I) a reasonable plan for completing the 
                activities required under this paragraph; and
                    ``(II) an estimated time period within which the 
                applicant will complete such activities.

        ``(2) Engineering phase.--
            ``(A) In general.--A new fixed guideway capital project may 
        advance to the engineering phase upon completion of activities 
        required under the National Environmental Policy Act of 1969 
        (42 U.S.C. 4321 et seq.), as demonstrated by a record of 
        decision with respect to the project, a finding that the 
        project has no significant impact, or a determination that the 
        project is categorically excluded, only if the Secretary 
        determines that the project--
                ``(i) is selected as the locally preferred alternative 
            at the completion of the process required under the 
            National Environmental Policy Act of 1969 (42 U.S.C. 4321 
            et seq.);
                ``(ii) is adopted into the metropolitan transportation 
            plan required under section 5303;
                ``(iii) is justified based on a comprehensive review of 
            the project's mobility improvements, the project's 
            environmental benefits, congestion relief associated with 
            the project, economic development effects associated with 
            the project, policies and land use patterns of the project 
            that support public transportation, and the project's cost-
            effectiveness as measured by cost per rider;
                ``(iv) is supported by policies and land use patterns 
            that promote public transportation, including plans for 
            future land use and rezoning, and economic development 
            around public transportation stations; and
                ``(v) is supported by an acceptable degree of local 
            financial commitment (including evidence of stable and 
            dependable financing sources), as required under subsection 
            (f).
            ``(B) Determination that project is justified.--In making a 
        determination under subparagraph (A)(iii), the Secretary shall 
        evaluate, analyze, and consider--
                ``(i) the reliability of the forecasting methods used 
            to estimate costs and utilization made by the recipient and 
            the contractors to the recipient; and
                ``(ii) population density and current public 
            transportation ridership in the transportation corridor.
    ``(e) Core Capacity Improvement Projects.--
        ``(1) Project development phase.--
            ``(A) Entrance into project development phase.--A core 
        capacity improvement project shall be deemed to have entered 
        into the project development phase if--
                ``(i) the applicant--

                    ``(I) submits a letter to the Secretary describing 
                the project and requesting entry into the project 
                development phase; and
                    ``(II) initiates activities required to be carried 
                out under the National Environmental Policy Act of 1969 
                (42 U.S.C. 4321 et seq.) with respect to the project; 
                and

                ``(ii) the Secretary--

                    ``(I) responds in writing to the applicant within 
                45 days whether the information provided is sufficient 
                to enter into the project development phase, including 
                when necessary a detailed description of any 
                information deemed insufficient; and
                    ``(II) provides concurrent notice to the Committee 
                on Banking, Housing, and Urban Affairs of the Senate 
                and the Committee on Transportation and Infrastructure 
                of the House of Representatives of whether the core 
                capacity improvement project is entering the project 
                development phase.

            ``(B) Activities during project development phase.--
        Concurrent with the analysis required to be made under the 
        National Environmental Policy Act of 1969 (42 U.S.C. 4321 et 
        seq.), each applicant shall develop sufficient information to 
        enable the Secretary to make findings of project justification 
        and local financial commitment under this subsection.
            ``(C) Completion of project development activities 
        required.--
                ``(i) In general.--Not later than 2 years after the 
            date on which a project enters into the project development 
            phase, the applicant shall complete the activities required 
            to obtain a project rating under subsection (g)(2) and 
            submit completed documentation to the Secretary.
                ``(ii) Extension of time.--Upon the request of an 
            applicant, the Secretary may extend the time period under 
            clause (i), if the applicant submits to the Secretary--

                    ``(I) a reasonable plan for completing the 
                activities required under this paragraph; and
                    ``(II) an estimated time period within which the 
                applicant will complete such activities.

        ``(2) Engineering phase.--
            ``(A) In general.--A core capacity improvement project may 
        advance into the engineering phase upon completion of 
        activities required under the National Environmental Policy Act 
        of 1969 (42 U.S.C. 4321 et seq.), as demonstrated by a record 
        of decision with respect to the project, a finding that the 
        project has no significant impact, or a determination that the 
        project is categorically excluded, only if the Secretary 
        determines that the project--
                ``(i) is selected as the locally preferred alternative 
            at the completion of the process required under the 
            National Environmental Policy Act of 1969;
                ``(ii) is adopted into the metropolitan transportation 
            plan required under section 5303;
                ``(iii) is in a corridor that is--

                    ``(I) at or over capacity; or
                    ``(II) projected to be at or over capacity within 
                the next 5 years;

                ``(iv) is justified based on a comprehensive review of 
            the project's mobility improvements, the project's 
            environmental benefits, congestion relief associated with 
            the project, economic development effects associated with 
            the project, the capacity needs of the corridor, and the 
            project's cost-effectiveness as measured by cost per rider; 
            and
                ``(v) is supported by an acceptable degree of local 
            financial commitment (including evidence of stable and 
            dependable financing sources), as required under subsection 
            (f).
            ``(B) Determination that project is justified.--In making a 
        determination under subparagraph (A)(iv), the Secretary shall 
        evaluate, analyze, and consider--
                ``(i) the reliability of the forecasting methods used 
            to estimate costs and utilization made by the recipient and 
            the contractors to the recipient;
                ``(ii) whether the project will increase capacity at 
            least 10 percent in a corridor;
                ``(iii) whether the project will improve 
            interconnectivity among existing systems; and
                ``(iv) whether the project will improve environmental 
            outcomes.
    ``(f) Financing Sources.--
        ``(1) Requirements.--In determining whether a project is 
    supported by an acceptable degree of local financial commitment and 
    shows evidence of stable and dependable financing sources for 
    purposes of subsection (d)(2)(A)(v) or (e)(2)(A)(v), the Secretary 
    shall require that--
            ``(A) the proposed project plan provides for the 
        availability of contingency amounts that the Secretary 
        determines to be reasonable to cover unanticipated cost 
        increases or funding shortfalls;
            ``(B) each proposed local source of capital and operating 
        financing is stable, reliable, and available within the 
        proposed project timetable; and
            ``(C) local resources are available to recapitalize, 
        maintain, and operate the overall existing and proposed public 
        transportation system, including essential feeder bus and other 
        services necessary to achieve the projected ridership levels 
        without requiring a reduction in existing public transportation 
        services or level of service to operate the project.
        ``(2) Considerations.--In assessing the stability, reliability, 
    and availability of proposed sources of local financing for 
    purposes of subsection (d)(2)(A)(v) or (e)(2)(A)(v), the Secretary 
    shall consider--
            ``(A) the reliability of the forecasting methods used to 
        estimate costs and revenues made by the recipient and the 
        contractors to the recipient;
            ``(B) existing grant commitments;
            ``(C) the degree to which financing sources are dedicated 
        to the proposed purposes;
            ``(D) any debt obligation that exists, or is proposed by 
        the recipient, for the proposed project or other public 
        transportation purpose;
            ``(E) the extent to which the project has a local financial 
        commitment that exceeds the required non-Government share of 
        the cost of the project; and
            ``(F) private contributions to the project, including cost-
        effective project delivery, management or transfer of project 
        risks, expedited project schedule, financial partnering, and 
        other public-private partnership strategies.
    ``(g) Project Advancement and Ratings.--
        ``(1) Project advancement.--A new fixed guideway capital 
    project or core capacity improvement project proposed to be carried 
    out using a grant under this section may not advance from the 
    project development phase to the engineering phase, or from the 
    engineering phase to the construction phase, unless the Secretary 
    determines that--
            ``(A) the project meets the applicable requirements under 
        this section; and
            ``(B) there is a reasonable likelihood that the project 
        will continue to meet the requirements under this section.
        ``(2) Ratings.--
            ``(A) Overall rating.--In making a determination under 
        paragraph (1), the Secretary shall evaluate and rate a project 
        as a whole on a 5-point scale (high, medium-high, medium, 
        medium-low, or low) based on--
                ``(i) in the case of a new fixed guideway capital 
            project, the project justification criteria under 
            subsection (d)(2)(A)(iii), the policies and land use 
            patterns that support public transportation, and the degree 
            of local financial commitment; and
                ``(ii) in the case of a core capacity improvement 
            project, the capacity needs of the corridor, the project 
            justification criteria under subsection (e)(2)(A)(iv), and 
            the degree of local financial commitment.
            ``(B) Individual ratings for each criterion.--In rating a 
        project under this paragraph, the Secretary shall--
                ``(i) provide, in addition to the overall project 
            rating under subparagraph (A), individual ratings for each 
            of the criteria established under subsection (d)(2)(A)(iii) 
            or (e)(2)(A)(iv), as applicable; and
                ``(ii) give comparable, but not necessarily equal, 
            numerical weight to each of the criteria established under 
            subsections (d)(2)(A)(iii) or (e)(2)(A)(iv), as applicable, 
            in calculating the overall project rating under clause (i).
            ``(C) Medium rating not required.--The Secretary shall not 
        require that any single project justification criterion meet or 
        exceed a `medium' rating in order to advance the project from 
        one phase to another.
        ``(3) Warrants.--The Secretary shall, to the maximum extent 
    practicable, develop and use special warrants for making a project 
    justification determination under subsection (d)(2) or (e)(2), as 
    applicable, for a project proposed to be funded using a grant under 
    this section, if--
            ``(A) the share of the cost of the project to be provided 
        under this section does not exceed--
                ``(i) $100,000,000; or
                ``(ii) 50 percent of the total cost of the project;
            ``(B) the applicant requests the use of the warrants;
            ``(C) the applicant certifies that its existing public 
        transportation system is in a state of good repair; and
            ``(D) the applicant meets any other requirements that the 
        Secretary considers appropriate to carry out this subsection.
        ``(4) Letters of intent and early systems work agreements.--In 
    order to expedite a project under this subsection, the Secretary 
    shall, to the maximum extent practicable, issue letters of intent 
    and enter into early systems work agreements upon issuance of a 
    record of decision for projects that receive an overall project 
    rating of medium or better.
        ``(5) Policy guidance.--The Secretary shall issue policy 
    guidance regarding the review and evaluation process and criteria--
            ``(A) not later than 180 days after the date of enactment 
        of the Federal Public Transportation Act of 2012; and
            ``(B) each time the Secretary makes significant changes to 
        the process and criteria, but not less frequently than once 
        every 2 years.
        ``(6) Rules.--Not later than 1 year after the date of enactment 
    of the Federal Public Transportation Act of 2012, the Secretary 
    shall issue rules establishing an evaluation and rating process 
    for--
            ``(A) new fixed guideway capital projects that is based on 
        the results of project justification, policies and land use 
        patterns that promote public transportation, and local 
        financial commitment, as required under this subsection; and
            ``(B) core capacity improvement projects that is based on 
        the results of the capacity needs of the corridor, project 
        justification, and local financial commitment.
        ``(7) Applicability.--This subsection shall not apply to a 
    project for which the Secretary issued a letter of intent, entered 
    into a full funding grant agreement, or entered into a project 
    construction agreement before the date of enactment of the Federal 
    Public Transportation Act of 2012.
    ``(h) Small Start Projects.--
        ``(1) In general.--A small start project shall be subject to 
    the requirements of this subsection.
        ``(2) Project development phase.--
            ``(A) Entrance into project development phase.--A new small 
        starts project shall enter into the project development phase 
        when--
                ``(i) the applicant--

                    ``(I) submits a letter to the Secretary describing 
                the project and requesting entry into the project 
                development phase; and
                    ``(II) initiates activities required to be carried 
                out under the National Environmental Policy Act of 1969 
                (42 U.S.C. 4321 et seq.) with respect to the project; 
                and

                ``(ii) the Secretary--

                    ``(I) responds in writing to the applicant within 
                45 days whether the information provided is sufficient 
                to enter into the project development phase, including, 
                when necessary, a detailed description of any 
                information deemed insufficient; and
                    ``(II) provides concurrent notice to the Committee 
                on Banking, Housing, and Urban Affairs of the Senate 
                and the Committee on Transportation and Infrastructure 
                of the House of Representatives of whether the small 
                starts project is entering the project development 
                phase.

            ``(B) Activities during project development phase.--
        Concurrent with the analysis required to be made under the 
        National Environmental Policy Act of 1969 (42 U.S.C. 4321 et 
        seq.), each applicant shall develop sufficient information to 
        enable the Secretary to make findings of project justification, 
        policies and land use patterns that promote public 
        transportation, and local financial commitment under this 
        subsection.
        ``(3) Selection criteria.--The Secretary may provide Federal 
    assistance for a small start project under this subsection only if 
    the Secretary determines that the project--
            ``(A) has been adopted as the locally preferred alternative 
        as part of the metropolitan transportation plan required under 
        section 5303;
            ``(B) is based on the results of an analysis of the 
        benefits of the project as set forth in paragraph (4); and
            ``(C) is supported by an acceptable degree of local 
        financial commitment.
        ``(4) Evaluation of benefits and federal investment.--In making 
    a determination for a small start project under paragraph (3)(B), 
    the Secretary shall analyze, evaluate, and consider the following 
    evaluation criteria for the project (as compared to a no-action 
    alternative): mobility improvements, environmental benefits, 
    congestion relief, economic development effects associated with the 
    project, policies and land use patterns that support public 
    transportation and cost-effectiveness as measured by cost per 
    rider.
        ``(5) Evaluation of local financial commitment.--For purposes 
    of paragraph (3)(C), the Secretary shall require that each proposed 
    local source of capital and operating financing is stable, 
    reliable, and available within the proposed project timetable.
        ``(6) Ratings.--In carrying out paragraphs (4) and (5) for a 
    small start project, the Secretary shall evaluate and rate the 
    project on a 5-point scale (high, medium-high, medium, medium-low, 
    or low) based on an evaluation of the benefits of the project as 
    compared to the Federal assistance to be provided and the degree of 
    local financial commitment, as required under this subsection. In 
    rating the projects, the Secretary shall provide, in addition to 
    the overall project rating, individual ratings for each of the 
    criteria established by this subsection and shall give comparable, 
    but not necessarily equal, numerical weight to the benefits that 
    the project will bring to the community in calculating the overall 
    project rating.
        ``(7) Grants and expedited grant agreements.--
            ``(A) In general.--The Secretary, to the maximum extent 
        practicable, shall provide Federal assistance under this 
        subsection in a single grant. If the Secretary cannot provide 
        such a single grant, the Secretary may execute an expedited 
        grant agreement in order to include a commitment on the part of 
        the Secretary to provide funding for the project in future 
        fiscal years.
            ``(B) Terms of expedited grant agreements.--In executing an 
        expedited grant agreement under this subsection, the Secretary 
        may include in the agreement terms similar to those established 
        under subsection (k)(2).
            ``(C) Notice of proposed grants and expedited grant 
        agreements.--At least 10 days before making a grant award or 
        entering into a grant agreement for a project under this 
        subsection, the Secretary shall notify, in writing, the 
        Committee on Transportation and Infrastructure and the 
        Committee on Appropriations of the House of Representatives and 
        the Committee on Banking, Housing, and Urban Affairs and the 
        Committee on Appropriations of the Senate of the proposed grant 
        or expedited grant agreement, as well as the evaluations and 
        ratings for the project.
    ``(i) Programs of Interrelated Projects.--
        ``(1) Project development phase.--A federally funded project in 
    a program of interrelated projects shall advance through project 
    development as provided in subsection (d) or (e), as applicable.
        ``(2) Engineering phase.--A federally funded project in a 
    program of interrelated projects may advance into the engineering 
    phase upon completion of activities required under the National 
    Environmental Policy Act of 1969 (42 U.S.C. 4321 et seq.), as 
    demonstrated by a record of decision with respect to the project, a 
    finding that the project has no significant impact, or a 
    determination that the project is categorically excluded, only if 
    the Secretary determines that--
            ``(A) the project is selected as the locally preferred 
        alternative at the completion of the process required under the 
        National Environmental Policy Act of 1969;
            ``(B) the project is adopted into the metropolitan 
        transportation plan required under section 5303;
            ``(C) the program of interrelated projects involves 
        projects that have a logical connectivity to one another;
            ``(D) the program of interrelated projects, when evaluated 
        as a whole, meets the requirements of subsection (d)(2) or 
        (e)(2), as applicable;
            ``(E) the program of interrelated projects is supported by 
        a program implementation plan demonstrating that construction 
        will begin on each of the projects in the program of 
        interrelated projects within a reasonable time frame; and
            ``(F) the program of interrelated projects is supported by 
        an acceptable degree of local financial commitment, as 
        described in subsection (f).
        ``(3) Project advancement and ratings.--
            ``(A) Project advancement.--A project receiving a grant 
        under this section that is part of a program of interrelated 
        projects may not advance from the project development phase to 
        the engineering phase, or from the engineering phase to the 
        construction phase, unless the Secretary determines that the 
        program of interrelated projects meets the applicable 
        requirements of this section and there is a reasonable 
        likelihood that the program will continue to meet such 
        requirements.
            ``(B) Ratings.--
                ``(i) Overall rating.--In making a determination under 
            subparagraph (A), the Secretary shall evaluate and rate a 
            program of interrelated projects on a 5-point scale (high, 
            medium-high, medium, medium-low, or low) based on the 
            criteria described in paragraph (2).
                ``(ii) Individual rating for each criterion.--In rating 
            a program of interrelated projects, the Secretary shall 
            provide, in addition to the overall program rating, 
            individual ratings for each of the criteria described in 
            paragraph (2) and shall give comparable, but not 
            necessarily equal, numerical weight to each such criterion 
            in calculating the overall program rating.
                ``(iii) Medium rating not required.--The Secretary 
            shall not require that any single criterion described in 
            paragraph (2) meet or exceed a `medium' rating in order to 
            advance the program of interrelated projects from one phase 
            to another.
        ``(4) Annual review.--
            ``(A) Review required.--The Secretary shall annually review 
        the program implementation plan required under paragraph (2)(E) 
        to determine whether the program of interrelated projects is 
        adhering to its schedule.
            ``(B) Extension of time.--If a program of interrelated 
        projects is not adhering to its schedule, the Secretary may, 
        upon the request of the applicant, grant an extension of time 
        if the applicant submits a reasonable plan that includes--
                ``(i) evidence of continued adequate funding; and
                ``(ii) an estimated time frame for completing the 
            program of interrelated projects.
            ``(C) Satisfactory progress required.--If the Secretary 
        determines that a program of interrelated projects is not 
        making satisfactory progress, no Federal funds shall be 
        provided for a project within the program of interrelated 
        projects.
        ``(5) Failure to carry out program of interrelated projects.--
            ``(A) Repayment required.--If an applicant does not carry 
        out the program of interrelated projects within a reasonable 
        time, for reasons within the control of the applicant, the 
        applicant shall repay all Federal funds provided for the 
        program, and any reasonable interest and penalty charges that 
        the Secretary may establish.
            ``(B) Crediting of funds received.--Any funds received by 
        the Government under this paragraph, other than interest and 
        penalty charges, shall be credited to the appropriation account 
        from which the funds were originally derived.
        ``(6) Non-federal funds.--Any non-Federal funds committed to a 
    project in a program of interrelated projects may be used to meet a 
    non-Government share requirement for any other project in the 
    program of interrelated projects, if the Government share of the 
    cost of each project within the program of interrelated projects 
    does not exceed 80 percent.
        ``(7) Priority.--In making grants under this section, the 
    Secretary may give priority to programs of interrelated projects 
    for which the non-Government share of the cost of the projects 
    included in the programs of interrelated projects exceeds the non-
    Government share required under subsection (l).
        ``(8) Non-government projects.--Including a project not 
    financed by the Government in a program of interrelated projects 
    does not impose Government requirements that would not otherwise 
    apply to the project.
    ``(j) Previously Issued Letter of Intent or Full Funding Grant 
Agreement.--Subsections (d) and (e) shall not apply to projects for 
which the Secretary has issued a letter of intent, approved entry into 
final design, entered into a full funding grant agreement, or entered 
into a project construction grant agreement before the date of 
enactment of the Federal Public Transportation Act of 2012.
    ``(k) Letters of Intent, Full Funding Grant Agreements, and Early 
Systems Work Agreements.--
        ``(1) Letters of intent.--
            ``(A) Amounts intended to be obligated.--The Secretary may 
        issue a letter of intent to an applicant announcing an 
        intention to obligate, for a new fixed guideway capital project 
        or core capacity improvement project, an amount from future 
        available budget authority specified in law that is not more 
        than the amount stipulated as the financial participation of 
        the Secretary in the project. When a letter is issued for a 
        capital project under this section, the amount shall be 
        sufficient to complete at least an operable segment.
            ``(B) Treatment.--The issuance of a letter under 
        subparagraph (A) is deemed not to be an obligation under 
        sections 1108(c), 1501, and 1502(a) of title 31 or an 
        administrative commitment.
        ``(2) Full funding grant agreements.--
            ``(A) In general.--A new fixed guideway capital project or 
        core capacity improvement project shall be carried out through 
        a full funding grant agreement.
            ``(B) Criteria.--The Secretary shall enter into a full 
        funding grant agreement, based on the evaluations and ratings 
        required under subsection (d), (e), or (i), as applicable, with 
        each grantee receiving assistance for a new fixed guideway 
        capital project or core capacity improvement project that has 
        been rated as high, medium-high, or medium, in accordance with 
        subsection (g)(2)(A) or (i)(3)(B), as applicable.
            ``(C) Terms.--A full funding grant agreement shall--
                ``(i) establish the terms of participation by the 
            Government in a new fixed guideway capital project or core 
            capacity improvement project;
                ``(ii) establish the maximum amount of Federal 
            financial assistance for the project;
                ``(iii) include the period of time for completing the 
            project, even if that period extends beyond the period of 
            an authorization; and
                ``(iv) make timely and efficient management of the 
            project easier according to the law of the United States.
            ``(D) Special financial rules.--
                ``(i) In general.--A full funding grant agreement under 
            this paragraph obligates an amount of available budget 
            authority specified in law and may include a commitment, 
            contingent on amounts to be specified in law in advance for 
            commitments under this paragraph, to obligate an additional 
            amount from future available budget authority specified in 
            law.
                ``(ii) Statement of contingent commitment.--The 
            agreement shall state that the contingent commitment is not 
            an obligation of the Government.
                ``(iii) Interest and other financing costs.--Interest 
            and other financing costs of efficiently carrying out a 
            part of the project within a reasonable time are a cost of 
            carrying out the project under a full funding grant 
            agreement, except that eligible costs may not be more than 
            the cost of the most favorable financing terms reasonably 
            available for the project at the time of borrowing. The 
            applicant shall certify, in a way satisfactory to the 
            Secretary, that the applicant has shown reasonable 
            diligence in seeking the most favorable financing terms.
                ``(iv) Completion of operable segment.--The amount 
            stipulated in an agreement under this paragraph for a new 
            fixed guideway capital project shall be sufficient to 
            complete at least an operable segment.
            ``(E) Before and after study.--
                ``(i) In general.--A full funding grant agreement under 
            this paragraph shall require the applicant to conduct a 
            study that--

                    ``(I) describes and analyzes the impacts of the new 
                fixed guideway capital project or core capacity 
                improvement project on public transportation services 
                and public transportation ridership;
                    ``(II) evaluates the consistency of predicted and 
                actual project characteristics and performance; and
                    ``(III) identifies reasons for differences between 
                predicted and actual outcomes.

                ``(ii) Information collection and analysis plan.--

                    ``(I) Submission of plan.--Applicants seeking a 
                full funding grant agreement under this paragraph shall 
                submit a complete plan for the collection and analysis 
                of information to identify the impacts of the new fixed 
                guideway capital project or core capacity improvement 
                project and the accuracy of the forecasts prepared 
                during the development of the project. Preparation of 
                this plan shall be included in the full funding grant 
                agreement as an eligible activity.
                    ``(II) Contents of plan.--The plan submitted under 
                subclause (I) shall provide for--

                        ``(aa) collection of data on the current public 
                    transportation system regarding public 
                    transportation service levels and ridership 
                    patterns, including origins and destinations, 
                    access modes, trip purposes, and rider 
                    characteristics;
                        ``(bb) documentation of the predicted scope, 
                    service levels, capital costs, operating costs, and 
                    ridership of the project;
                        ``(cc) collection of data on the public 
                    transportation system 2 years after the opening of 
                    a new fixed guideway capital project or core 
                    capacity improvement project, including analogous 
                    information on public transportation service levels 
                    and ridership patterns and information on the as-
                    built scope, capital, and financing costs of the 
                    project; and
                        ``(dd) analysis of the consistency of predicted 
                    project characteristics with actual outcomes.
            ``(F) Collection of data on current system.--To be eligible 
        for a full funding grant agreement under this paragraph, 
        recipients shall have collected data on the current system, 
        according to the plan required under subparagraph (E)(ii), 
        before the beginning of construction of the proposed new fixed 
        guideway capital project or core capacity improvement project. 
        Collection of this data shall be included in the full funding 
        grant agreement as an eligible activity.
        ``(3) Early systems work agreements.--
            ``(A) Conditions.--The Secretary may enter into an early 
        systems work agreement with an applicant if a record of 
        decision under the National Environmental Policy Act of 1969 
        (42 U.S.C. 4321 et seq.) has been issued on the project and the 
        Secretary finds there is reason to believe--
                ``(i) a full funding grant agreement for the project 
            will be made; and
                ``(ii) the terms of the work agreement will promote 
            ultimate completion of the project more rapidly and at less 
            cost.
            ``(B) Contents.--
                ``(i) In general.--An early systems work agreement 
            under this paragraph obligates budget authority available 
            under this chapter and title 23 and shall provide for 
            reimbursement of preliminary costs of carrying out the 
            project, including land acquisition, timely procurement of 
            system elements for which specifications are decided, and 
            other activities the Secretary decides are appropriate to 
            make efficient, long-term project management easier.
                ``(ii) Contingent commitment.--An early systems work 
            agreement may include a commitment, contingent on amounts 
            to be specified in law in advance for commitments under 
            this paragraph, to obligate an additional amount from 
            future available budget authority specified in law.
                ``(iii) Period covered.--An early systems work 
            agreement under this paragraph shall cover the period of 
            time the Secretary considers appropriate. The period may 
            extend beyond the period of current authorization.
                ``(iv) Interest and other financing costs.--Interest 
            and other financing costs of efficiently carrying out the 
            early systems work agreement within a reasonable time are a 
            cost of carrying out the agreement, except that eligible 
            costs may not be more than the cost of the most favorable 
            financing terms reasonably available for the project at the 
            time of borrowing. The applicant shall certify, in a way 
            satisfactory to the Secretary, that the applicant has shown 
            reasonable diligence in seeking the most favorable 
            financing terms.
                ``(v) Failure to carry out project.--If an applicant 
            does not carry out the project for reasons within the 
            control of the applicant, the applicant shall repay all 
            Federal grant funds awarded for the project from all 
            Federal funding sources, for all project activities, 
            facilities, and equipment, plus reasonable interest and 
            penalty charges allowable by law or established by the 
            Secretary in the early systems work agreement.
                ``(vi) Crediting of funds received.--Any funds received 
            by the Government under this paragraph, other than interest 
            and penalty charges, shall be credited to the appropriation 
            account from which the funds were originally derived.
        ``(4) Limitation on amounts.--
            ``(A) In general.--The Secretary may enter into full 
        funding grant agreements under this subsection for new fixed 
        guideway capital projects and core capacity improvement 
        projects that contain contingent commitments to incur 
        obligations in such amounts as the Secretary determines are 
        appropriate.
            ``(B) Appropriation required.--An obligation may be made 
        under this subsection only when amounts are appropriated for 
        the obligation.
        ``(5) Notification to congress.--At least 30 days before 
    issuing a letter of intent, entering into a full funding grant 
    agreement, or entering into an early systems work agreement under 
    this section, the Secretary shall notify, in writing, the Committee 
    on Banking, Housing, and Urban Affairs and the Committee on 
    Appropriations of the Senate and the Committee on Transportation 
    and Infrastructure and the Committee on Appropriations of the House 
    of Representatives of the proposed letter or agreement. The 
    Secretary shall include with the notification a copy of the 
    proposed letter or agreement as well as the evaluations and ratings 
    for the project.
    ``(l) Government Share of Net Capital Project Cost.--
        ``(1) In general.--Based on engineering studies, studies of 
    economic feasibility, and information on the expected use of 
    equipment or facilities, the Secretary shall estimate the net 
    capital project cost. A grant for a fixed guideway project or small 
    start project shall not exceed 80 percent of the net capital 
    project cost. A grant for a core capacity project shall not exceed 
    80 percent of the net capital project cost of the incremental cost 
    of increasing the capacity in the corridor.
        ``(2) Adjustment for completion under budget.--The Secretary 
    may adjust the final net capital project cost of a new fixed 
    guideway capital project or core capacity improvement project 
    evaluated under subsection (d), (e), or (i) to include the cost of 
    eligible activities not included in the originally defined project 
    if the Secretary determines that the originally defined project has 
    been completed at a cost that is significantly below the original 
    estimate.
        ``(3) Maximum government share.--The Secretary may provide a 
    higher grant percentage than requested by the grant recipient if--
            ``(A) the Secretary determines that the net capital project 
        cost of the project is not more than 10 percent higher than the 
        net capital project cost estimated at the time the project was 
        approved for advancement into the engineering phase; and
            ``(B) the ridership estimated for the project is not less 
        than 90 percent of the ridership estimated for the project at 
        the time the project was approved for advancement into the 
        engineering phase.
        ``(4) Remainder of net capital project cost.--The remainder of 
    the net capital project cost shall be provided from an 
    undistributed cash surplus, a replacement or depreciation cash fund 
    or reserve, or new capital.
        ``(5) Limitation on statutory construction.--Nothing in this 
    section shall be construed as authorizing the Secretary to require 
    a non-Federal financial commitment for a project that is more than 
    20 percent of the net capital project cost.
        ``(6) Special rule for rolling stock costs.--In addition to 
    amounts allowed pursuant to paragraph (1), a planned extension to a 
    fixed guideway system may include the cost of rolling stock 
    previously purchased if the applicant satisfies the Secretary that 
    only amounts other than amounts provided by the Government were 
    used and that the purchase was made for use on the extension. A 
    refund or reduction of the remainder may be made only if a refund 
    of a proportional amount of the grant of the Government is made at 
    the same time.
        ``(7) Limitation on applicability.--This subsection shall not 
    apply to projects for which the Secretary entered into a full 
    funding grant agreement before the date of enactment of the Federal 
    Public Transportation Act of 2012.
        ``(8) Special rule for fixed guideway bus rapid transit 
    projects.--For up to three fixed-guideway bus rapid transit 
    projects each fiscal year the Secretary shall--
            ``(A) establish a Government share of at least 80 percent; 
        and
            ``(B) not lower the project's rating for degree of local 
        financial commitment for purposes of subsections (d)(2)(A)(v) 
        or (h)(3)(C) as a result of the Government share specified in 
        this paragraph.
    ``(m) Undertaking Projects in Advance.--
        ``(1) In general.--The Secretary may pay the Government share 
    of the net capital project cost to a State or local governmental 
    authority that carries out any part of a project described in this 
    section without the aid of amounts of the Government and according 
    to all applicable procedures and requirements if--
            ``(A) the State or local governmental authority applies for 
        the payment;
            ``(B) the Secretary approves the payment; and
            ``(C) before the State or local governmental authority 
        carries out the part of the project, the Secretary approves the 
        plans and specifications for the part in the same way as other 
        projects under this section.
        ``(2) Financing costs.--
            ``(A) In general.--The cost of carrying out part of a 
        project includes the amount of interest earned and payable on 
        bonds issued by the State or local governmental authority to 
        the extent proceeds of the bonds are expended in carrying out 
        the part.
            ``(B) Limitation on amount of interest.--The amount of 
        interest under this paragraph may not be more than the most 
        favorable interest terms reasonably available for the project 
        at the time of borrowing.
            ``(C) Certification.--The applicant shall certify, in a 
        manner satisfactory to the Secretary, that the applicant has 
        shown reasonable diligence in seeking the most favorable 
        financing terms.
    ``(n) Availability of Amounts.--
        ``(1) In general.--An amount made available or appropriated for 
    a new fixed guideway capital project or core capacity improvement 
    project shall remain available to that project for 5 fiscal years, 
    including the fiscal year in which the amount is made available or 
    appropriated. Any amounts that are unobligated to the project at 
    the end of the 5-fiscal-year period may be used by the Secretary 
    for any purpose under this section.
        ``(2) Use of deobligated amounts.--An amount available under 
    this section that is deobligated may be used for any purpose under 
    this section.
    ``(o) Reports on New Fixed Guideway and Core Capacity Improvement 
Projects.--
        ``(1) Annual report on funding recommendations.--Not later than 
    the first Monday in February of each year, the Secretary shall 
    submit to the Committee on Banking, Housing, and Urban Affairs and 
    the Committee on Appropriations of the Senate and the Committee on 
    Transportation and Infrastructure and the Committee on 
    Appropriations of the House of Representatives a report that 
    includes--
            ``(A) a proposal of allocations of amounts to be available 
        to finance grants for projects under this section among 
        applicants for these amounts;
            ``(B) evaluations and ratings, as required under 
        subsections (d), (e), and (i), for each such project that is in 
        project development, engineering, or has received a full 
        funding grant agreement; and
            ``(C) recommendations of such projects for funding based on 
        the evaluations and ratings and on existing commitments and 
        anticipated funding levels for the next 3 fiscal years based on 
        information currently available to the Secretary.
        ``(2) Reports on before and after studies.--Not later than the 
    first Monday in August of each year, the Secretary shall submit to 
    the committees described in paragraph (1) a report containing a 
    summary of the results of any studies conducted under subsection 
    (k)(2)(E).
        ``(3) Biennial gao review.--The Comptroller General of the 
    United States shall--
            ``(A) conduct a biennial review of--
                ``(i) the processes and procedures for evaluating, 
            rating, and recommending new fixed guideway capital 
            projects and core capacity improvement projects; and
                ``(ii) the Secretary's implementation of such processes 
            and procedures; and
            ``(B) report to Congress on the results of such review by 
        May 31 of each year.''.
    (b) Pilot Program for Expedited Project Delivery.--
        (1) Definitions.--In this subsection the following definitions 
    shall apply:
            (A) Eligible project.--The term ``eligible project'' means 
        a new fixed guideway capital project or a core capacity 
        improvement project, as those terms are defined in section 5309 
        of title 49, United States Code, as amended by this section, 
        that has not entered into a full funding grant agreement with 
        the Federal Transit Administration before the date of enactment 
        of the Federal Public Transportation Act of 2012.
            (B) Program.--The term ``program'' means the pilot program 
        for expedited project delivery established under this 
        subsection.
            (C) Recipient.--The term ``recipient'' means a recipient of 
        funding under chapter 53 of title 49, United States Code.
            (D) Secretary.--The term ``Secretary'' means the Secretary 
        of Transportation.
        (2) Establishment.--The Secretary shall establish and implement 
    a pilot program to demonstrate whether innovative project 
    development and delivery methods or innovative financing 
    arrangements can expedite project delivery for certain meritorious 
    new fixed guideway capital projects and core capacity improvement 
    projects.
        (3) Limitation on number of projects.--The Secretary shall 
    select 3 eligible projects to participate in the program, of 
    which--
            (A) at least 1 shall be an eligible project requesting more 
        than $100,000,000 in Federal financial assistance under section 
        5309 of title 49, United States Code; and
            (B) at least 1 shall be an eligible project requesting less 
        than $100,000,000 in Federal financial assistance under section 
        5309 of title 49, United States Code.
        (4) Government share.--The Government share of the total cost 
    of an eligible project that participates in the program may not 
    exceed 50 percent.
        (5) Eligibility.--A recipient that desires to participate in 
    the program shall submit to the Secretary an application that 
    contains, at a minimum--
            (A) identification of an eligible project;
            (B) a schedule and finance plan for the construction and 
        operation of the eligible project;
            (C) an analysis of the efficiencies of the proposed project 
        development and delivery methods or innovative financing 
        arrangement for the eligible project; and
            (D) a certification that the recipient's existing public 
        transportation system is in a state of good repair.
        (6) Selection criteria.--The Secretary may award a full funding 
    grant agreement under this subsection if the Secretary determines 
    that--
            (A) the recipient has completed planning and the activities 
        required under the National Environmental Policy Act of 1969 
        (42 U.S.C. 4321 et seq.); and
            (B) the recipient has the necessary legal, financial, and 
        technical capacity to carry out the eligible project.
        (7) Before and after study and report.--
            (A) Study required.--A full funding grant agreement under 
        this paragraph shall require a recipient to conduct a study 
        that--
                (i) describes and analyzes the impacts of the eligible 
            project on public transportation services and public 
            transportation ridership;
                (ii) describes and analyzes the consistency of 
            predicted and actual benefits and costs of the innovative 
            project development and delivery methods or innovative 
            financing for the eligible project; and
                (iii) identifies reasons for any differences between 
            predicted and actual outcomes for the eligible project.
            (B) Submission of report.--Not later than 9 months after an 
        eligible project selected to participate in the program begins 
        revenue operations, the recipient shall submit to the Secretary 
        a report on the results of the study under subparagraph (A).
SEC. 20009. MOBILITY OF SENIORS AND INDIVIDUALS WITH DISABILITIES.
    Section 5310 of title 49, United States Code, is amended to read as 
follows:
``Sec. 5310. Formula grants for the enhanced mobility of seniors and 
    individuals with disabilities
    ``(a) Definitions.--In this section, the following definitions 
shall apply:
        ``(1) Recipient.--The term `recipient' means a designated 
    recipient or a State that receives a grant under this section 
    directly.
        ``(2) Subrecipient.--The term `subrecipient' means a State or 
    local governmental authority, a private nonprofit organization, or 
    an operator of public transportation that receives a grant under 
    this section indirectly through a recipient.
    ``(b) General Authority.--
        ``(1) Grants.--The Secretary may make grants under this section 
    to recipients for--
            ``(A) public transportation projects planned, designed, and 
        carried out to meet the special needs of seniors and 
        individuals with disabilities when public transportation is 
        insufficient, inappropriate, or unavailable;
            ``(B) public transportation projects that exceed the 
        requirements of the Americans with Disabilities Act of 1990 (42 
        U.S.C. 12101 et seq.);
            ``(C) public transportation projects that improve access to 
        fixed route service and decrease reliance by individuals with 
        disabilities on complementary paratransit; and
            ``(D) alternatives to public transportation that assist 
        seniors and individuals with disabilities with transportation.
        ``(2) Limitations for capital projects.--
            ``(A) Amount available.--The amount available for capital 
        projects under paragraph (1)(A) shall be not less than 55 
        percent of the funds apportioned to the recipient under this 
        section.
            ``(B) Allocation to subrecipients.--A recipient of a grant 
        under paragraph (1)(A) may allocate the amounts provided under 
        the grant to--
                ``(i) a private nonprofit organization; or
                ``(ii) a State or local governmental authority that--

                    ``(I) is approved by a State to coordinate services 
                for seniors and individuals with disabilities; or
                    ``(II) certifies that there are no private 
                nonprofit organizations readily available in the area 
                to provide the services described in paragraph (1)(A).

        ``(3) Administrative expenses.--A recipient may use not more 
    than 10 percent of the amounts apportioned to the recipient under 
    this section to administer, plan, and provide technical assistance 
    for a project funded under this section.
        ``(4) Eligible capital expenses.--The acquisition of public 
    transportation services is an eligible capital expense under this 
    section.
        ``(5) Coordination.--
            ``(A) Department of transportation.--To the maximum extent 
        feasible, the Secretary shall coordinate activities under this 
        section with related activities under other Federal departments 
        and agencies.
            ``(B) Other federal agencies and nonprofit organizations.--
        A State or local governmental authority or nonprofit 
        organization that receives assistance from Government sources 
        (other than the Department of Transportation) for nonemergency 
        transportation services shall--
                ``(i) participate and coordinate with recipients of 
            assistance under this chapter in the design and delivery of 
            transportation services; and
                ``(ii) participate in the planning for the 
            transportation services described in clause (i).
        ``(6) Program of projects.--
            ``(A) In general.--Amounts made available to carry out this 
        section may be used for transportation projects to assist in 
        providing transportation services for seniors and individuals 
        with disabilities, if such transportation projects are included 
        in a program of projects.
            ``(B) Submission.--A recipient shall annually submit a 
        program of projects to the Secretary.
            ``(C) Assurance.--The program of projects submitted under 
        subparagraph (B) shall contain an assurance that the program 
        provides for the maximum feasible coordination of 
        transportation services assisted under this section with 
        transportation services assisted by other Government sources.
        ``(7) Meal delivery for homebound individuals.--A public 
    transportation service provider that receives assistance under this 
    section or section 5311(c) may coordinate and assist in regularly 
    providing meal delivery service for homebound individuals, if the 
    delivery service does not conflict with providing public 
    transportation service or reduce service to public transportation 
    passengers.
    ``(c) Apportionment and Transfers.--
        ``(1) Formula.--The Secretary shall apportion amounts made 
    available to carry out this section as follows:
            ``(A) Large urbanized areas.--Sixty percent of the funds 
        shall be apportioned among designated recipients for urbanized 
        areas with a population of 200,000 or more individuals, as 
        determined by the Bureau of the Census, in the ratio that--
                ``(i) the number of seniors and individuals with 
            disabilities in each such urbanized area; bears to
                ``(ii) the number of seniors and individuals with 
            disabilities in all such urbanized areas.
            ``(B) Small urbanized areas.--Twenty percent of the funds 
        shall be apportioned among the States in the ratio that--
                ``(i) the number of seniors and individuals with 
            disabilities in urbanized areas with a population of fewer 
            than 200,000 individuals, as determined by the Bureau of 
            the Census, in each State; bears to
                ``(ii) the number of seniors and individuals with 
            disabilities in urbanized areas with a population of fewer 
            than 200,000 individuals, as determined by the Bureau of 
            the Census, in all States.
            ``(C) Rural areas.--Twenty percent of the funds shall be 
        apportioned among the States in the ratio that--
                ``(i) the number of seniors and individuals with 
            disabilities in rural areas in each State; bears to
                ``(ii) the number of seniors and individuals with 
            disabilities in rural areas in all States.
        ``(2) Areas served by projects.--
            ``(A) In general.--Except as provided in subparagraph (B)--
                ``(i) funds apportioned under paragraph (1)(A) shall be 
            used for projects serving urbanized areas with a population 
            of 200,000 or more individuals, as determined by the Bureau 
            of the Census;
                ``(ii) funds apportioned under paragraph (1)(B) shall 
            be used for projects serving urbanized areas with a 
            population of fewer than 200,000 individuals, as determined 
            by the Bureau of the Census; and
                ``(iii) funds apportioned under paragraph (1)(C) shall 
            be used for projects serving rural areas.
            ``(B) Exceptions.--A State may use funds apportioned to the 
        State under subparagraph (B) or (C) of paragraph (1)--
                ``(i) for a project serving an area other than an area 
            specified in subparagraph (A)(ii) or (A)(iii), as the case 
            may be, if the Governor of the State certifies that all of 
            the objectives of this section are being met in the area 
            specified in subparagraph (A)(ii) or (A)(iii); or
                ``(ii) for a project anywhere in the State, if the 
            State has established a statewide program for meeting the 
            objectives of this section.
            ``(C) Limited to eligible projects.--Any funds transferred 
        pursuant to subparagraph (B) shall be made available only for 
        eligible projects selected under this section.
            ``(D) Consultation.--A recipient may transfer an amount 
        under subparagraph (B) only after consulting with responsible 
        local officials, publicly owned operators of public 
        transportation, and nonprofit providers in the area for which 
        the amount was originally apportioned.
    ``(d) Government Share of Costs.--
        ``(1) Capital projects.--A grant for a capital project under 
    this section shall be in an amount equal to 80 percent of the net 
    capital costs of the project, as determined by the Secretary.
        ``(2) Operating assistance.--A grant made under this section 
    for operating assistance may not exceed an amount equal to 50 
    percent of the net operating costs of the project, as determined by 
    the Secretary.
        ``(3) Remainder of net costs.--The remainder of the net costs 
    of a project carried out under this section--
            ``(A) may be provided from an undistributed cash surplus, a 
        replacement or depreciation cash fund or reserve, a service 
        agreement with a State or local social service agency or a 
        private social service organization, or new capital; and
            ``(B) may be derived from amounts appropriated or otherwise 
        made available--
                ``(i) to a department or agency of the Government 
            (other than the Department of Transportation) that are 
            eligible to be expended for transportation; or
                ``(ii) to carry out the Federal lands highways program 
            under section 204 of title 23.
        ``(4) Use of certain funds.--For purposes of paragraph 
    (3)(B)(i), the prohibition under section 403(a)(5)(C)(vii) of the 
    Social Security Act (42 U.S.C. 603(a)(5)(C)(vii)) on the use of 
    grant funds for matching requirements shall not apply to Federal or 
    State funds to be used for transportation purposes.
    ``(e) Grant Requirements.--
        ``(1) In general.--A grant under this section shall be subject 
    to the same requirements as a grant under section 5307, to the 
    extent the Secretary determines appropriate.
        ``(2) Certification requirements.--
            ``(A) Project selection and plan development.--Before 
        receiving a grant under this section, each recipient shall 
        certify that--
                ``(i) the projects selected by the recipient are 
            included in a locally developed, coordinated public 
            transit-human services transportation plan;
                ``(ii) the plan described in clause (i) was developed 
            and approved through a process that included participation 
            by seniors, individuals with disabilities, representatives 
            of public, private, and nonprofit transportation and human 
            services providers, and other members of the public; and
                ``(iii) to the maximum extent feasible, the services 
            funded under this section will be coordinated with 
            transportation services assisted by other Federal 
            departments and agencies, including any transportation 
            activities carried out by a recipient of a grant from the 
            Department of Health and Human Services.
            ``(B) Allocations to subrecipients.--If a recipient 
        allocates funds received under this section to subrecipients, 
        the recipient shall certify that the funds are allocated on a 
        fair and equitable basis.
    ``(f) Competitive Process for Grants to Subrecipients.--
        ``(1) Areawide solicitations.--A recipient of funds apportioned 
    under subsection (c)(1)(A) may conduct, in cooperation with the 
    appropriate metropolitan planning organization, an areawide 
    solicitation for applications for grants under this section.
        ``(2) Statewide solicitations.--A recipient of funds 
    apportioned under subparagraph (B) or (C) of subsection (c)(1) may 
    conduct a statewide solicitation for applications for grants under 
    this section.
        ``(3) Application.--If the recipient elects to engage in a 
    competitive process, a recipient or subrecipient seeking to receive 
    a grant from funds apportioned under subsection (c) shall submit to 
    the recipient making the election an application in such form and 
    in accordance with such requirements as the recipient making the 
    election shall establish.
    ``(g) Transfers of Facilities and Equipment.--A recipient may 
transfer a facility or equipment acquired using a grant under this 
section to any other recipient eligible to receive assistance under 
this chapter, if--
        ``(1) the recipient in possession of the facility or equipment 
    consents to the transfer; and
        ``(2) the facility or equipment will continue to be used as 
    required under this section.
    ``(h) Performance Measures.--
        ``(1) In general.--Not later than 1 year after the date of 
    enactment of the Federal Public Transportation Act of 2012, the 
    Secretary shall submit a report to the Committee on Banking, 
    Housing, and Urban Affairs of the Senate and the Committee on 
    Transportation and Infrastructure of the House of Representatives 
    making recommendations on the establishment of performance measures 
    for grants under this section. Such report shall be developed in 
    consultation with national nonprofit organizations that provide 
    technical assistance and advocacy on issues related to 
    transportation services for seniors and individuals with 
    disabilities.
        ``(2) Measures.--The performance measures to be considered in 
    the report under paragraph (1) shall require the collection of 
    quantitative and qualitative information, as available, 
    concerning--
            ``(A) modifications to the geographic coverage of 
        transportation service, the quality of transportation service, 
        or service times that increase the availability of 
        transportation services for seniors and individuals with 
        disabilities;
            ``(B) ridership;
            ``(C) accessibility improvements; and
            ``(D) other measures, as the Secretary determines is 
        appropriate.''.
SEC. 20010. FORMULA GRANTS FOR RURAL AREAS.
    Section 5311 of title 49, United States Code, is amended to read as 
follows:
``Sec. 5311. Formula grants for rural areas
    ``(a) Definitions.--As used in this section, the following 
definitions shall apply:
        ``(1) Recipient.--The term `recipient' means a State or Indian 
    tribe that receives a Federal transit program grant directly from 
    the Government.
        ``(2) Subrecipient.--The term `subrecipient' means a State or 
    local governmental authority, a nonprofit organization, or an 
    operator of public transportation or intercity bus service that 
    receives Federal transit program grant funds indirectly through a 
    recipient.
    ``(b) General Authority.--
        ``(1) Grants authorized.--Except as provided by paragraph (2), 
    the Secretary may award grants under this section to recipients 
    located in rural areas for--
            ``(A) planning, provided that a grant under this section 
        for planning activities shall be in addition to funding awarded 
        to a State under section 5305 for planning activities that are 
        directed specifically at the needs of rural areas in the State;
            ``(B) public transportation capital projects;
            ``(C) operating costs of equipment and facilities for use 
        in public transportation;
            ``(D) job access and reverse commute projects; and
            ``(E) the acquisition of public transportation services, 
        including service agreements with private providers of public 
        transportation service.
        ``(2) State program.--
            ``(A) In general.--A project eligible for a grant under 
        this section shall be included in a State program for public 
        transportation service projects, including agreements with 
        private providers of public transportation service.
            ``(B) Submission to secretary.--Each State shall submit to 
        the Secretary annually the program described in subparagraph 
        (A).
            ``(C) Approval.--The Secretary may not approve the program 
        unless the Secretary determines that--
                ``(i) the program provides a fair distribution of 
            amounts in the State, including Indian reservations; and
                ``(ii) the program provides the maximum feasible 
            coordination of public transportation service assisted 
            under this section with transportation service assisted by 
            other Federal sources.
        ``(3) Rural transportation assistance program.--
            ``(A) In general.--The Secretary shall carry out a rural 
        transportation assistance program in rural areas.
            ``(B) Grants and contracts.--In carrying out this 
        paragraph, the Secretary may use not more than 2 percent of the 
        amount made available under section 5338(a)(2)(E) to make 
        grants and contracts for transportation research, technical 
        assistance, training, and related support services in rural 
        areas.
            ``(C) Projects of a national scope.--Not more than 15 
        percent of the amounts available under subparagraph (B) may be 
        used by the Secretary to carry out competitively selected 
        projects of a national scope, with the remaining balance 
        provided to the States.
        ``(4) Data collection.--Each recipient under this section shall 
    submit an annual report to the Secretary containing information on 
    capital investment, operations, and service provided with funds 
    received under this section, including--
            ``(A) total annual revenue;
            ``(B) sources of revenue;
            ``(C) total annual operating costs;
            ``(D) total annual capital costs;
            ``(E) fleet size and type, and related facilities;
            ``(F) vehicle revenue miles; and
            ``(G) ridership.
    ``(c) Apportionments.--
        ``(1) Public transportation on indian reservations.--Of the 
    amounts made available or appropriated for each fiscal year 
    pursuant to section 5338(a)(2)(E) to carry out this paragraph, the 
    following amounts shall be apportioned each fiscal year for grants 
    to Indian tribes for any purpose eligible under this section, under 
    such terms and conditions as may be established by the Secretary:
            ``(A) $5,000,000 shall be distributed on a competitive 
        basis by the Secretary.
            ``(B) $25,000,000 shall be apportioned as formula grants, 
        as provided in subsection (j).
        ``(2) Appalachian development public transportation assistance 
    program.--
            ``(A) Definitions.--In this paragraph--
                ``(i) the term `Appalachian region' has the same 
            meaning as in section 14102 of title 40; and
                ``(ii) the term `eligible recipient' means a State that 
            participates in a program established under subtitle IV of 
            title 40.
            ``(B) In general.--The Secretary shall carry out a public 
        transportation assistance program in the Appalachian region.
            ``(C) Apportionment.--Of amounts made available or 
        appropriated for each fiscal year under section 5338(a)(2)(E) 
        to carry out this paragraph, the Secretary shall apportion 
        funds to eligible recipients for any purpose eligible under 
        this section, based on the guidelines established under section 
        9.5(b) of the Appalachian Regional Commission Code.
            ``(D) Special rule.--An eligible recipient may use amounts 
        that cannot be used for operating expenses under this paragraph 
        for a highway project if--
                ``(i) that use is approved, in writing, by the eligible 
            recipient after appropriate notice and an opportunity for 
            comment and appeal are provided to affected public 
            transportation providers; and
                ``(ii) the eligible recipient, in approving the use of 
            amounts under this subparagraph, determines that the local 
            transit needs are being addressed.
        ``(3) Remaining amounts.--
            ``(A) In general.--The amounts made available or 
        appropriated for each fiscal year pursuant to section 
        5338(a)(2)(E) that are not apportioned under paragraph (1) or 
        (2) shall be apportioned in accordance with this paragraph.
            ``(B) Apportionment based on land area and population in 
        nonurbanized areas.--
                ``(i) In general.--83.15 percent of the amount 
            described in subparagraph (A) shall be apportioned to the 
            States in accordance with this subparagraph.
                ``(ii) Land area.--

                    ``(I) In general.--Subject to subclause (II), each 
                State shall receive an amount that is equal to 20 
                percent of the amount apportioned under clause (i), 
                multiplied by the ratio of the land area in rural areas 
                in that State and divided by the land area in all rural 
                areas in the United States, as shown by the most recent 
                decennial census of population.
                    ``(II) Maximum apportionment.--No State shall 
                receive more than 5 percent of the amount apportioned 
                under subclause (I).

                ``(iii) Population.--Each State shall receive an amount 
            equal to 80 percent of the amount apportioned under clause 
            (i), multiplied by the ratio of the population of rural 
            areas in that State and divided by the population of all 
            rural areas in the United States, as shown by the most 
            recent decennial census of population.
            ``(C) Apportionment based on land area, vehicle revenue 
        miles, and low-income individuals in nonurbanized areas.--
                ``(i) In general.--16.85 percent of the amount 
            described in subparagraph (A) shall be apportioned to the 
            States in accordance with this subparagraph.
                ``(ii) Land area.--Subject to clause (v), each State 
            shall receive an amount that is equal to 29.68 percent of 
            the amount apportioned under clause (i), multiplied by the 
            ratio of the land area in rural areas in that State and 
            divided by the land area in all rural areas in the United 
            States, as shown by the most recent decennial census of 
            population.
                ``(iii) Vehicle revenue miles.--Subject to clause (v), 
            each State shall receive an amount that is equal to 29.68 
            percent of the amount apportioned under clause (i), 
            multiplied by the ratio of vehicle revenue miles in rural 
            areas in that State and divided by the vehicle revenue 
            miles in all rural areas in the United States, as 
            determined by national transit database reporting.
                ``(iv) Low-income individuals.--Each State shall 
            receive an amount that is equal to 40.64 percent of the 
            amount apportioned under clause (i), multiplied by the 
            ratio of low-income individuals in rural areas in that 
            State and divided by the number of low-income individuals 
            in all rural areas in the United States, as shown by the 
            Bureau of the Census.
                ``(v) Maximum apportionment.--No State shall receive--

                    ``(I) more than 5 percent of the amount apportioned 
                under clause (ii); or
                    ``(II) more than 5 percent of the amount 
                apportioned under clause (iii).

    ``(d) Use for Local Transportation Service.--A State may use an 
amount apportioned under this section for a project included in a 
program under subsection (b) of this section and eligible for 
assistance under this chapter if the project will provide local 
transportation service, as defined by the Secretary of Transportation, 
in a rural area.
    ``(e) Use for Administration, Planning, and Technical Assistance.--
The Secretary may allow a State to use not more than 10 percent of the 
amount apportioned under this section to administer this section and 
provide technical assistance to a subrecipient, including project 
planning, program and management development, coordination of public 
transportation programs, and research the State considers appropriate 
to promote effective delivery of public transportation to a rural area.
    ``(f) Intercity Bus Transportation.--
        ``(1) In general.--A State shall expend at least 15 percent of 
    the amount made available in each fiscal year to carry out a 
    program to develop and support intercity bus transportation. 
    Eligible activities under the program include--
            ``(A) planning and marketing for intercity bus 
        transportation;
            ``(B) capital grants for intercity bus facilities;
            ``(C) joint-use facilities;
            ``(D) operating grants through purchase-of-service 
        agreements, user-side subsidies, and demonstration projects; 
        and
            ``(E) coordinating rural connections between small public 
        transportation operations and intercity bus carriers.
        ``(2) Certification.--A State does not have to comply with 
    paragraph (1) of this subsection in a fiscal year in which the 
    Governor of the State certifies to the Secretary, after 
    consultation with affected intercity bus service providers, that 
    the intercity bus service needs of the State are being met 
    adequately.
    ``(g) Government Share of Costs.--
        ``(1) Capital projects.--
            ``(A) In general.--Except as provided by subparagraph (B), 
        a grant awarded under this section for a capital project or 
        project administrative expenses shall be for 80 percent of the 
        net costs of the project, as determined by the Secretary.
            ``(B) Exception.--A State described in section 120(b) of 
        title 23 shall receive a Government share of the net costs in 
        accordance with the formula under that section.
        ``(2) Operating assistance.--
            ``(A) In general.--Except as provided by subparagraph (B), 
        a grant made under this section for operating assistance may 
        not exceed 50 percent of the net operating costs of the 
        project, as determined by the Secretary.
            ``(B) Exception.--A State described in section 120(b) of 
        title 23 shall receive a Government share of the net operating 
        costs equal to 62.5 percent of the Government share provided 
        for under paragraph (1)(B).
        ``(3) Remainder.--The remainder of net project costs--
            ``(A) may be provided from an undistributed cash surplus, a 
        replacement or depreciation cash fund or reserve, a service 
        agreement with a State or local social service agency or a 
        private social service organization, or new capital;
            ``(B) may be derived from amounts appropriated or otherwise 
        made available to a department or agency of the Government 
        (other than the Department of Transportation) that are eligible 
        to be expended for transportation;
            ``(C) notwithstanding subparagraph (B), may be derived from 
        amounts made available to carry out the Federal lands highway 
        program established by section 204 of title 23; and
            ``(D) in the case of an intercity bus project that includes 
        both feeder service and an unsubsidized segment of intercity 
        bus service to which the feeder service connects, may be 
        derived from the costs of a private operator for the 
        unsubsidized segment of intercity bus service as an in-kind 
        match for the operating costs of connecting rural intercity bus 
        feeder service funded under subsection (f), if the private 
        operator agrees in writing to the use of the costs of the 
        private operator for the unsubsidized segment of intercity bus 
        service as an in-kind match.
        ``(4) Use of certain funds.--For purposes of paragraph (3)(B), 
    the prohibitions on the use of funds for matching requirements 
    under section 403(a)(5)(C)(vii) of the Social Security Act (42 
    U.S.C. 603(a)(5)(C)(vii)) shall not apply to Federal or State funds 
    to be used for transportation purposes.
        ``(5) Limitation on operating assistance.--A State carrying out 
    a program of operating assistance under this section may not limit 
    the level or extent of use of the Government grant for the payment 
    of operating expenses.
    ``(h) Transfer of Facilities and Equipment.--With the consent of 
the recipient currently having a facility or equipment acquired with 
assistance under this section, a State may transfer the facility or 
equipment to any recipient eligible to receive assistance under this 
chapter if the facility or equipment will continue to be used as 
required under this section.
    ``(i) Relationship to Other Laws.--
        ``(1) In general.--Section 5333(b) applies to this section if 
    the Secretary of Labor utilizes a special warranty that provides a 
    fair and equitable arrangement to protect the interests of 
    employees.
        ``(2) Rule of construction.--This subsection does not affect or 
    discharge a responsibility of the Secretary of Transportation under 
    a law of the United States.
    ``(j) Formula Grants for Public Transportation on Indian 
Reservations.--
        ``(1) Apportionment.--
            ``(A) In general.--Of the amounts described in subsection 
        (c)(1)(B)--
                ``(i) 50 percent of the total amount shall be 
            apportioned so that each Indian tribe providing public 
            transportation service shall receive an amount equal to the 
            total amount apportioned under this clause multiplied by 
            the ratio of the number of vehicle revenue miles provided 
            by an Indian tribe divided by the total number of vehicle 
            revenue miles provided by all Indian tribes, as reported to 
            the Secretary;
                ``(ii) 25 percent of the total amount shall be 
            apportioned equally among each Indian tribe providing at 
            least 200,000 vehicle revenue miles of public 
            transportation service annually, as reported to the 
            Secretary; and
                ``(iii) 25 percent of the total amount shall be 
            apportioned among each Indian tribe providing public 
            transportation on tribal lands (as defined by the Bureau of 
            the Census) on which more than 1,000 low-income individuals 
            reside (as determined by the Bureau of the Census) so that 
            each Indian tribe shall receive an amount equal to the 
            total amount apportioned under this clause multiplied by 
            the ratio of the number of low-income individuals residing 
            on an Indian tribe's lands divided by the total number of 
            low-income individuals on tribal lands on which more than 
            1,000 low-income individuals reside.
            ``(B) Limitation.--No recipient shall receive more than 
        $300,000 of the amounts apportioned under subparagraph (A)(iii) 
        in a fiscal year.
            ``(C) Remaining amounts.--Of the amounts made available 
        under subparagraph (A)(iii), any amounts not apportioned under 
        that subparagraph shall be allocated among Indian tribes 
        receiving less than $300,000 in a fiscal year according to the 
        formula specified in that clause.
            ``(D) Low-income individuals.--For purposes of subparagraph 
        (A)(iii), the term `low-income individual' means an individual 
        whose family income is at or below 100 percent of the poverty 
        line, as that term is defined in section 673(2) of the 
        Community Services Block Grant Act (42 U.S.C. 9902(2)), 
        including any revision required by that section, for a family 
        of the size involved.
        ``(2) Non-tribal service providers.--A recipient that is an 
    Indian tribe may use funds apportioned under this subsection to 
    finance public transportation services provided by a non-tribal 
    provider of public transportation that connects residents of tribal 
    lands with surrounding communities, improves access to employment 
    or healthcare, or otherwise addresses the mobility needs of tribal 
    members.''.
SEC. 20011. RESEARCH, DEVELOPMENT, DEMONSTRATION, AND DEPLOYMENT 
PROJECTS.
    Section 5312 of title 49, United States Code, is amended to read as 
follows:
``Sec. 5312. Research, development, demonstration, and deployment 
    projects
    ``(a) Research, Development, Demonstration, and Deployment 
Projects.--
        ``(1) In general.--The Secretary may make grants and enter into 
    contracts, cooperative agreements, and other agreements for 
    research, development, demonstration, and deployment projects, and 
    evaluation of research and technology of national significance to 
    public transportation, that the Secretary determines will improve 
    public transportation.
        ``(2) Agreements.--In order to carry out paragraph (1), the 
    Secretary may make grants to and enter into contracts, cooperative 
    agreements, and other agreements with--
            ``(A) departments, agencies, and instrumentalities of the 
        Government, including Federal laboratories;
            ``(B) State and local governmental entities;
            ``(C) providers of public transportation;
            ``(D) private or non-profit organizations;
            ``(E) institutions of higher education; and
            ``(F) technical and community colleges.
        ``(3) Application.--
            ``(A) In general.--To receive a grant, contract, 
        cooperative agreement, or other agreement under this section, 
        an entity described in paragraph (2) shall submit an 
        application to the Secretary.
            ``(B) Form and contents.--An application under subparagraph 
        (A) shall be in such form and contain such information as the 
        Secretary may require, including--
                ``(i) a statement of purpose detailing the need being 
            addressed;
                ``(ii) the short- and long-term goals of the project, 
            including opportunities for future innovation and 
            development, the potential for deployment, and benefits to 
            riders and public transportation; and
                ``(iii) the short- and long-term funding requirements 
            to complete the project and any future objectives of the 
            project.
    ``(b) Research.--
        ``(1) In general.--The Secretary may make a grant to or enter 
    into a contract, cooperative agreement, or other agreement under 
    this section with an entity described in subsection (a)(2) to carry 
    out a public transportation research project that has as its 
    ultimate goal the development and deployment of new and innovative 
    ideas, practices, and approaches.
        ``(2) Project eligibility.--A public transportation research 
    project that receives assistance under paragraph (1) shall focus 
    on--
            ``(A) providing more effective and efficient public 
        transportation service, including services to--
                ``(i) seniors;
                ``(ii) individuals with disabilities; and
                ``(iii) low-income individuals;
            ``(B) mobility management and improvements and travel 
        management systems;
            ``(C) data and communication system advancements;
            ``(D) system capacity, including--
                ``(i) train control;
                ``(ii) capacity improvements; and
                ``(iii) performance management;
            ``(E) capital and operating efficiencies;
            ``(F) planning and forecasting modeling and simulation;
            ``(G) advanced vehicle design;
            ``(H) advancements in vehicle technology;
            ``(I) asset maintenance and repair systems advancement;
            ``(J) construction and project management;
            ``(K) alternative fuels;
            ``(L) the environment and energy efficiency;
            ``(M) safety improvements; or
            ``(N) any other area that the Secretary determines is 
        important to advance the interests of public transportation.
    ``(c) Innovation and Development.--
        ``(1) In general.--The Secretary may make a grant to or enter 
    into a contract, cooperative agreement, or other agreement under 
    this section with an entity described in subsection (a)(2) to carry 
    out a public transportation innovation and development project that 
    seeks to improve public transportation systems nationwide in order 
    to provide more efficient and effective delivery of public 
    transportation services, including through technology and 
    technological capacity improvements.
        ``(2) Project eligibility.--A public transportation innovation 
    and development project that receives assistance under paragraph 
    (1) shall focus on--
            ``(A) the development of public transportation research 
        projects that received assistance under subsection (b) that the 
        Secretary determines were successful;
            ``(B) planning and forecasting modeling and simulation;
            ``(C) capital and operating efficiencies;
            ``(D) advanced vehicle design;
            ``(E) advancements in vehicle technology;
            ``(F) the environment and energy efficiency;
            ``(G) system capacity, including train control and capacity 
        improvements; or
            ``(H) any other area that the Secretary determines is 
        important to advance the interests of public transportation.
    ``(d) Demonstration, Deployment, and Evaluation.--
        ``(1) In general.--The Secretary may, under terms and 
    conditions that the Secretary prescribes, make a grant to or enter 
    into a contract, cooperative agreement, or other agreement with an 
    entity described in paragraph (2) to promote the early deployment 
    and demonstration of innovation in public transportation that has 
    broad applicability.
        ``(2) Participants.--An entity described in this paragraph is--
            ``(A) an entity described in subsection (a)(2); or
            ``(B) a consortium of entities described in subsection 
        (a)(2), including a provider of public transportation, that 
        will share the costs, risks, and rewards of early deployment 
        and demonstration of innovation.
        ``(3) Project eligibility.--A project that receives assistance 
    under paragraph (1) shall seek to build on successful research, 
    innovation, and development efforts to facilitate--
            ``(A) the deployment of research and technology development 
        resulting from private efforts or Federally funded efforts; and
            ``(B) the implementation of research and technology 
        development to advance the interests of public transportation.
        ``(4) Evaluation.--Not later than 2 years after the date on 
    which a project receives assistance under paragraph (1), the 
    Secretary shall conduct a comprehensive evaluation of the success 
    or failure of the projects funded under this subsection and any 
    plan for broad-based implementation of the innovation promoted by 
    successful projects.
        ``(5) Low or no emission vehicle deployment.--
            ``(A) Definitions.--In this paragraph, the following 
        definitions shall apply:
                ``(i) Eligible area.--The term `eligible area' means an 
            area that is--

                    ``(I) designated as a nonattainment area for ozone 
                or carbon monoxide under section 107(d) of the Clean 
                Air Act (42 U.S.C. 7407(d)); or
                    ``(II) a maintenance area, as defined in section 
                5303, for ozone or carbon monoxide.

                ``(ii) Eligible project.--The term `eligible project' 
            means a project or program of projects in an eligible area 
            for--

                    ``(I) acquiring or leasing low or no emission 
                vehicles;
                    ``(II) constructing or leasing facilities and 
                related equipment for low or no emission vehicles;
                    ``(III) constructing new public transportation 
                facilities to accommodate low or no emission vehicles; 
                or
                    ``(IV) rehabilitating or improving existing public 
                transportation facilities to accommodate low or no 
                emission vehicles.

                ``(iii) Direct carbon emissions.--The term `direct 
            carbon emissions' means the quantity of direct greenhouse 
            gas emissions from a vehicle, as determined by the 
            Administrator of the Environmental Protection Agency.
                ``(iv) Low or no emission bus.--The term `low or no 
            emission bus' means a bus that is a low or no emission 
            vehicle.
                ``(v) Low or no emission vehicle.--The term `low or no 
            emission vehicle' means--

                    ``(I) a passenger vehicle used to provide public 
                transportation that the Administrator of the 
                Environmental Protection Agency has certified 
                sufficiently reduces energy consumption or reduces 
                harmful emissions, including direct carbon emissions, 
                when compared to a comparable standard vehicle; or
                    ``(II) a zero emission bus used to provide public 
                transportation.

                ``(vi) Recipient.--The term `recipient' means--

                    ``(I) for an eligible area that is an urbanized 
                area with a population of fewer than 200,000 
                individuals, as determined by the Bureau of the Census, 
                the State in which the eligible area is located; and
                    ``(II) for an eligible area not described in 
                subparagraph (A), the designated recipient for the 
                eligible area.

                ``(vii) Zero emission bus.--The term `zero emission 
            bus' means a low or no emission bus that produces no carbon 
            or particulate matter.
            ``(B) Authority.--The Secretary may make grants to 
        recipients to finance eligible projects under this paragraph.
            ``(C) Grant requirements.--
                ``(i) In general.--A grant under this paragraph shall 
            be subject to the requirements of section 5307.
                ``(ii) Government share of costs for certain 
            projects.--Section 5323(j) applies to projects carried out 
            under this paragraph, unless the grant recipient requests a 
            lower grant percentage.
                ``(iii) Combination of funding sources.--

                    ``(I) Combination permitted.--A project carried out 
                under this paragraph may receive funding under section 
                5307, or any other provision of law.
                    ``(II) Government share.--Nothing in this clause 
                may be construed to alter the Government share required 
                under this section, section 5307, or any other 
                provision of law.

            ``(D) Minimum amounts.--Of amounts made available by or 
        appropriated under section 5338(b) in each fiscal year to carry 
        out this paragraph--
                ``(i) not less than 65 percent shall be made available 
            to fund eligible projects relating to low or no emission 
            buses; and
                ``(ii) not less than 10 percent shall be made available 
            for eligible projects relating to facilities and related 
            equipment for low or no emission buses.
            ``(E) Competitive process.--The Secretary shall solicit 
        grant applications and make grants for eligible projects on a 
        competitive basis.
            ``(F) Priority consideration.--In making grants under this 
        paragraph, the Secretary shall give priority to projects 
        relating to low or no emission buses that make greater 
        reductions in energy consumption and harmful emissions, 
        including direct carbon emissions, than comparable standard 
        buses or other low or no emission buses.
            ``(G) Availability of funds.--Any amounts made available or 
        appropriated to carry out this paragraph--
                ``(i) shall remain available to an eligible project for 
            2 years after the fiscal year for which the amount is made 
            available or appropriated; and
                ``(ii) that remain unobligated at the end of the period 
            described in clause (i) shall be added to the amount made 
            available to an eligible project in the following fiscal 
            year.
    ``(e) Annual Report on Research.--Not later than the first Monday 
in February of each year, the Secretary shall submit to the Committee 
on Banking, Housing, and Urban Affairs and the Committee on 
Appropriations of the Senate and the Committee on Transportation and 
Infrastructure, the Committee on Science, Space, and Technology, and 
the Committee on Appropriations of the House of Representatives a 
report that includes--
        ``(1) a description of each project that received assistance 
    under this section during the preceding fiscal year;
        ``(2) an evaluation of each project described in paragraph (1), 
    including any evaluation conducted under subsection (d)(4) for the 
    preceding fiscal year; and
        ``(3) a proposal for allocations of amounts for assistance 
    under this section for the subsequent fiscal year.
    ``(f) Government Share of Costs.--
        ``(1) In general.--The Government share of the cost of a 
    project carried out under this section shall not exceed 80 percent.
        ``(2) Non-government share.--The non-Government share of the 
    cost of a project carried out under this section may be derived 
    from in-kind contributions.
        ``(3) Financial benefit.--If the Secretary determines that 
    there would be a clear and direct financial benefit to an entity 
    under a grant, contract, cooperative agreement, or other agreement 
    under this section, the Secretary shall establish a Government 
    share of the costs of the project to be carried out under the 
    grant, contract, cooperative agreement, or other agreement that is 
    consistent with the benefit.''.
SEC. 20012. TECHNICAL ASSISTANCE AND STANDARDS DEVELOPMENT.
    Section 5314 of title 49, United States Code, is amended to read as 
follows:
``Sec. 5314. Technical assistance and standards development
    ``(a) Technical Assistance and Standards Development.--
        ``(1) In general.--The Secretary may make grants and enter into 
    contracts, cooperative agreements, and other agreements (including 
    agreements with departments, agencies, and instrumentalities of the 
    Government) to carry out activities that the Secretary determines 
    will assist recipients of assistance under this chapter to--
            ``(A) more effectively and efficiently provide public 
        transportation service;
            ``(B) administer funds received under this chapter in 
        compliance with Federal law; and
            ``(C) improve public transportation.
        ``(2) Eligible activities.--The activities carried out under 
    paragraph (1) may include--
            ``(A) technical assistance; and
            ``(B) the development of voluntary and consensus-based 
        standards and best practices by the public transportation 
        industry, including standards and best practices for safety, 
        fare collection, Intelligent Transportation Systems, 
        accessibility, procurement, security, asset management to 
        maintain a state of good repair, operations, maintenance, 
        vehicle propulsion, communications, and vehicle electronics.
    ``(b) Technical Assistance.--The Secretary, through a competitive 
bid process, may enter into contracts, cooperative agreements, and 
other agreements with national nonprofit organizations that have the 
appropriate demonstrated capacity to provide public transportation-
related technical assistance under this section. The Secretary may 
enter into such contracts, cooperative agreements, and other agreements 
to assist providers of public transportation to--
        ``(1) comply with the Americans with Disabilities Act of 1990 
    (42 U.S.C. 12101 et seq.) through technical assistance, 
    demonstration programs, research, public education, and other 
    activities related to complying with such Act;
        ``(2) comply with human services transportation coordination 
    requirements and to enhance the coordination of Federal resources 
    for human services transportation with those of the Department of 
    Transportation through technical assistance, training, and support 
    services related to complying with such requirements;
        ``(3) meet the transportation needs of elderly individuals;
        ``(4) increase transit ridership in coordination with 
    metropolitan planning organizations and other entities through 
    development around public transportation stations through technical 
    assistance and the development of tools, guidance, and analysis 
    related to market-based development around transit stations;
        ``(5) address transportation equity with regard to the effect 
    that transportation planning, investment and operations have for 
    low-income and minority individuals; and
        ``(6) any other technical assistance activity that the 
    Secretary determines is necessary to advance the interests of 
    public transportation.
    ``(c) Annual Report on Technical Assistance.--Not later than the 
first Monday in February of each year, the Secretary shall submit to 
the Committee on Banking, Housing, and Urban Affairs and the Committee 
on Appropriations of the Senate and the Committee on Transportation and 
Infrastructure, the Committee on Science, Space, and Technology, and 
the Committee on Appropriations of the House of Representatives a 
report that includes--
        ``(1) a description of each project that received assistance 
    under this section during the preceding fiscal year;
        ``(2) an evaluation of the activities carried out by each 
    organization that received assistance under this section during the 
    preceding fiscal year; and
        ``(3) a proposal for allocations of amounts for assistance 
    under this section for the subsequent fiscal year.
    ``(d) Government Share of Costs.--
        ``(1) In general.--The Government share of the cost of an 
    activity carried out using a grant under this section may not 
    exceed 80 percent.
        ``(2) Non-government share.--The non-Government share of the 
    cost of an activity carried out using a grant under this section 
    may be derived from in-kind contributions.''.
SEC. 20013. PRIVATE SECTOR PARTICIPATION.
    (a) In General.--Section 5315 of title 49, United States Code, is 
amended to read as follows:
``Sec. 5315. Private sector participation
    ``(a) General Purposes.--In the interest of fulfilling the general 
purposes of this chapter under section 5301(b), the Secretary shall--
        ``(1) better coordinate public and private sector-provided 
    public transportation services;
        ``(2) promote more effective utilization of private sector 
    expertise, financing, and operational capacity to deliver costly 
    and complex new fixed guideway capital projects; and
        ``(3) promote transparency and public understanding of public-
    private partnerships affecting public transportation.
    ``(b) Actions to Promote Better Coordination Between Public and 
Private Sector Providers of Public Transportation.--The Secretary 
shall--
        ``(1) provide technical assistance to recipients of Federal 
    transit grant assistance, at the request of a recipient, on 
    practices and methods to best utilize private providers of public 
    transportation; and
        ``(2) educate recipients of Federal transit grant assistance on 
    laws and regulations under this chapter that impact private 
    providers of public transportation.
    ``(c) Actions to Provide Technical Assistance for Alternative 
Project Delivery Methods.--Upon request by a sponsor of a new fixed 
guideway capital project, the Secretary shall--
        ``(1) identify best practices for public-private partnerships 
    models in the United States and in other countries;
        ``(2) develop standard public-private partnership transaction 
    model contracts; and
        ``(3) perform financial assessments that include the 
    calculation of public and private benefits of a proposed public-
    private partnership transaction.''.
    (b) Public-private Partnership Procedures and Approaches.--
        (1) Identify impediments.--The Secretary shall--
            (A) except as provided in paragraph (6), identify any 
        provisions of chapter 53 of title 49, United States Code, and 
        any regulations or practices thereunder, that impede greater 
        use of public-private partnerships and private investment in 
        public transportation capital projects; and
            (B) develop and implement on a project basis procedures and 
        approaches that--
                (i) address such impediments in a manner similar to the 
            Special Experimental Project Number 15 of the Federal 
            Highway Administration (commonly referred to as ``SEP-
            15''); and
                (ii) protect the public interest and any public 
            investment in public transportation capital projects that 
            involve public-private partnerships or private investment 
            in public transportation capital projects.
        (2) Transparency.--The Secretary shall develop guidance to 
    promote greater transparency and public access to public-private 
    partnership agreements involving recipients of Federal assistance 
    under chapter 53 of title 49, United States Code, including--
            (A) any conflict of interest involving any party involved 
        in the public-private partnership;
            (B) tax and financing aspects related to a public-private 
        partnership agreement;
            (C) changes in the workforce and wages, benefits, or rules 
        as a result of a public-private partnership;
            (D) estimates of the revenue or savings the public-private 
        partnership will produce for the private entity and public 
        entity;
            (E) any impacts on other developments and transportation 
        modes as a result of non-compete clauses contained in public-
        private partnership agreements; and
            (F) any other issues the Secretary believes will increase 
        transparency of public-private partnership agreements and 
        protect the public interest.
        (3) Assessment.--In developing and implementing the guidance 
    under paragraph (2), the Secretary shall encourage project sponsors 
    to conduct assessments to determine whether use of a public-private 
    partnership represents a better public and financial benefit than a 
    similar transaction using public funding or public project 
    delivery.
        (4) Report.--Not later than 4 years after the date of enactment 
    of this Act, the Secretary shall submit to Congress a report on the 
    status of the procedures, approaches, and guidance developed and 
    implemented under paragraphs (1) and (2).
        (5) Rulemaking.--Not later than 1 year after the date of 
    enactment of this Act, the Secretary shall issue rules to carry out 
    the procedures and approaches developed under paragraph (1).
        (6) Rule of construction.--Nothing in this subsection may be 
    construed to allow the Secretary to waive any requirement under--
            (A) section 5333 of title 49, United States Code;
            (B) the National Environmental Policy Act of 1969 (42 
        U.S.C. 4321 et seq.); or
            (C) any other provision of Federal law.
    (c) Contracting Out Study.--
        (1) In general.--Not later than 1 year after the date of 
    enactment of this Act, the Comptroller General of the United States 
    shall submit to the Committee on Transportation and Infrastructure 
    of the House of Representatives and the Committee on Banking, 
    Housing, and Urban Affairs of the Senate a comprehensive report on 
    the effect of contracting out public transportation operations and 
    administrative functions on cost, availability and level of 
    service, efficiency, and quality of service.
        (2) Considerations.--In developing the report, the Comptroller 
    General shall consider--
            (A) the number of grant recipients that have contracted out 
        services and the types of public transportation services that 
        are performed under contract, including paratransit service, 
        fixed route bus service, commuter rail operations, and 
        administrative functions;
            (B) the size of the populations served by such grant 
        recipients;
            (C) the basis for decisions regarding contracting out such 
        services;
            (D) comparative costs of providing service under contract 
        to providing the same service through public transit agency 
        employees, using to the greatest extent possible a standard 
        cost allocation model;
            (E) the extent of unionization among privately contracted 
        employees;
            (F) the impact to wages and benefits of employees when 
        publicly provided public transportation services are contracted 
        out to a private for-profit entity;
            (G) the level of transparency and public access to 
        agreements and contracts related to contracted out public 
        transportation services;
            (H) the extent of Federal law, regulations and guidance 
        prohibiting any conflicts of interest for contractor employees 
        and businesses;
            (I) the extent to which grant recipients evaluate 
        contracted out services before selecting them and the extent to 
        which grant recipients conduct oversight of those services; and
            (J) barriers to contracting out public transportation 
        operations and administrative functions.
    (d) Guidance on Documenting Compliance.--Not later than 1 year 
after the date of enactment of this Act, the Secretary shall publish in 
the Federal Register policy guidance regarding how to best document 
compliance by recipients of Federal assistance under chapter 53 of 
title 49, United States Code, with the requirements regarding private 
enterprise participation in public transportation planning and 
transportation improvement programs under sections 5303(i)(6), 5306(a), 
and 5307(c) of such title 49.
SEC. 20014. BUS TESTING FACILITIES.
    Section 5318 of title 49, United States Code, is amended by 
striking subsection (e) and inserting the following:
    ``(e) Acquiring New Bus Models.--
        ``(1) In general.--Amounts appropriated or otherwise made 
    available under this chapter may be obligated or expended to 
    acquire a new bus model only if--
            ``(A) a bus of that model has been tested at a facility 
        authorized under subsection (a); and
            ``(B) the bus tested under subparagraph (A) met--
                ``(i) performance standards for maintainability, 
            reliability, performance (including braking performance), 
            structural integrity, fuel economy, emissions, and noise, 
            as established by the Secretary by rule; and
                ``(ii) the minimum safety performance standards 
            established by the Secretary pursuant to section 5329(b).
        ``(2) Bus test `pass/fail' standard.--Not later than 2 years 
    after the date of enactment of the Federal Public Transportation 
    Act of 2012, the Secretary shall issue a final rule under 
    subparagraph (B)(i). The final rule issued under paragraph (B)(i) 
    shall include a bus model scoring system that results in a 
    weighted, aggregate score that uses the testing categories under 
    subsection (a) and considers the relative importance of each such 
    testing category. The final rule issued under subparagraph (B)(i) 
    shall establish a `pass/fail' standard that uses the aggregate 
    score described in the preceding sentence. Amounts appropriated or 
    otherwise made available under this chapter may be obligated or 
    expended to acquire a new bus model only if the new bus model has 
    received a passing aggregate test score. The Secretary shall work 
    with the bus testing facility, bus manufacturers, and transit 
    agencies to develop the bus model scoring system under this 
    paragraph. A passing aggregate test score under the rule issued 
    under subparagraph (B)(i) indicates only that amounts appropriated 
    or made available under this chapter may be obligated or expended 
    to acquire a new bus model and shall not be interpreted as a 
    warranty or guarantee that the new bus model will meet a 
    purchaser's specific requirements.''.
SEC. 20015. HUMAN RESOURCES AND TRAINING.
    Section 5322 of title 49, United States Code, is amended to read as 
follows:
``Sec. 5322. Human resources and training
    ``(a) In General.--The Secretary may undertake, or make grants and 
contracts for, programs that address human resource needs as they apply 
to public transportation activities. A program may include--
        ``(1) an employment training program;
        ``(2) an outreach program to increase minority and female 
    employment in public transportation activities;
        ``(3) research on public transportation personnel and training 
    needs; and
        ``(4) training and assistance for minority business 
    opportunities.
    ``(b) Innovative Public Transportation Workforce Development 
Program.--
        ``(1) Program established.--The Secretary shall establish a 
    competitive grant program to assist the development of innovative 
    activities eligible for assistance under subsection (a).
        ``(2) Selection of recipients.--To the maximum extent feasible, 
    the Secretary shall select recipients that--
            ``(A) are geographically diverse;
            ``(B) address the workforce and human resources needs of 
        large public transportation providers;
            ``(C) address the workforce and human resources needs of 
        small public transportation providers;
            ``(D) address the workforce and human resources needs of 
        urban public transportation providers;
            ``(E) address the workforce and human resources needs of 
        rural public transportation providers;
            ``(F) advance training related to maintenance of 
        alternative energy, energy efficiency, or zero emission 
        vehicles and facilities used in public transportation;
            ``(G) target areas with high rates of unemployment; and
            ``(H) address current or projected workforce shortages in 
        areas that require technical expertise.
    ``(c) Government's Share of Costs.--The Government share of the 
cost of a project carried out using a grant under subsection (a) or (b) 
shall be 50 percent.
    ``(d) National Transit Institute.--
        ``(1) Establishment.--The Secretary shall establish a national 
    transit institute and award grants to a public 4-year degree-
    granting institution of higher education, as defined in section 
    101(a) of the Higher Education Act of 1965 (20 U.S.C. 1001(a)), in 
    order to carry out the duties of the institute.
        ``(2) Duties.--
            ``(A) In general.--In cooperation with the Federal Transit 
        Administration, State transportation departments, public 
        transportation authorities, and national and international 
        entities, the institute established under paragraph (1) shall 
        develop and conduct training and educational programs for 
        Federal, State, and local transportation employees, United 
        States citizens, and foreign nationals engaged or to be engaged 
        in Government-aid public transportation work.
            ``(B) Training and educational programs.--The training and 
        educational programs developed under subparagraph (A) may 
        include courses in recent developments, techniques, and 
        procedures related to--
                ``(i) intermodal and public transportation planning;
                ``(ii) management;
                ``(iii) environmental factors;
                ``(iv) acquisition and joint use rights-of-way;
                ``(v) engineering and architectural design;
                ``(vi) procurement strategies for public transportation 
            systems;
                ``(vii) turnkey approaches to delivering public 
            transportation systems;
                ``(viii) new technologies;
                ``(ix) emission reduction technologies;
                ``(x) ways to make public transportation accessible to 
            individuals with disabilities;
                ``(xi) construction, construction management, 
            insurance, and risk management;
                ``(xii) maintenance;
                ``(xiii) contract administration;
                ``(xiv) inspection;
                ``(xv) innovative finance;
                ``(xvi) workplace safety; and
                ``(xvii) public transportation security.
        ``(3) Providing education and training.--Education and training 
    of Government, State, and local transportation employees under this 
    subsection shall be provided--
            ``(A) by the Secretary at no cost to the States and local 
        governments for subjects that are a Government program 
        responsibility; or
            ``(B) when the education and training are paid under 
        paragraph (4) of this subsection, by the State, with the 
        approval of the Secretary, through grants and contracts with 
        public and private agencies, other institutions, individuals, 
        and the institute.
        ``(4) Availability of amounts.--Not more than .5 percent of the 
    amounts made available for a fiscal year beginning after September 
    30, 1991, to a State or public transportation authority in the 
    State to carry out sections 5307 and 5309 of this title is 
    available for expenditure by the State and public transportation 
    authorities in the State, with the approval of the Secretary, to 
    pay not more than 80 percent of the cost of tuition and direct 
    educational expenses related to educating and training State and 
    local transportation employees under this subsection.
    ``(e) Report.--Not later than 2 years after the date of enactment 
of the Federal Public Transportation Act of 2012, the Secretary shall 
submit to the Committee on Banking, Housing, and Urban Affairs of the 
Senate and the Committee on Transportation and Infrastructure of the 
House of Representatives a report concerning the measurable outcomes 
and impacts of the programs funded under subsections (a) and (b).''.
SEC. 20016. GENERAL PROVISIONS.
    Section 5323 of title 49, United States Code, is amended to read as 
follows:
``Sec. 5323. General provisions
    ``(a) Interests in Property.--
        ``(1) In general.--Financial assistance provided under this 
    chapter to a State or a local governmental authority may be used to 
    acquire an interest in, or to buy property of, a private company 
    engaged in public transportation, for a capital project for 
    property acquired from a private company engaged in public 
    transportation after July 9, 1964, or to operate a public 
    transportation facility or equipment in competition with, or in 
    addition to, transportation service provided by an existing public 
    transportation company, only if--
            ``(A) the Secretary determines that such financial 
        assistance is essential to a program of projects required under 
        sections 5303, 5304, and 5306;
            ``(B) the Secretary determines that the program provides 
        for the participation of private companies engaged in public 
        transportation to the maximum extent feasible; and
            ``(C) just compensation under State or local law will be 
        paid to the company for its franchise or property.
        ``(2) Limitation.--A governmental authority may not use 
    financial assistance of the United States Government to acquire 
    land, equipment, or a facility used in public transportation from 
    another governmental authority in the same geographic area.
    ``(b) Relocation and Real Property Requirements.--The Uniform 
Relocation Assistance and Real Property Acquisition Policies Act of 
1970 (42 U.S.C. 4601 et seq.) shall apply to financial assistance for 
capital projects under this chapter.
    ``(c) Consideration of Economic, Social, and Environmental 
Interests.--
        ``(1) Cooperation and consultation.--The Secretary shall 
    cooperate and consult with the Secretary of the Interior and the 
    Administrator of the Environmental Protection Agency on each 
    project that may have a substantial impact on the environment.
        ``(2) Compliance with nepa.--The National Environmental Policy 
    Act of 1969 (42 U.S.C. 4321 et seq.) shall apply to financial 
    assistance for capital projects under this chapter.
    ``(d) Condition on Charter Bus Transportation Service.--
        ``(1) Agreements.--Financial assistance under this chapter may 
    be used to buy or operate a bus only if the applicant, governmental 
    authority, or publicly owned operator that receives the assistance 
    agrees that, except as provided in the agreement, the governmental 
    authority or an operator of public transportation for the 
    governmental authority will not provide charter bus transportation 
    service outside the urban area in which it provides regularly 
    scheduled public transportation service. An agreement shall provide 
    for a fair arrangement the Secretary of Transportation considers 
    appropriate to ensure that the assistance will not enable a 
    governmental authority or an operator for a governmental authority 
    to foreclose a private operator from providing intercity charter 
    bus service if the private operator can provide the service.
        ``(2) Violations.--
            ``(A) Investigations.--On receiving a complaint about a 
        violation of the agreement required under paragraph (1), the 
        Secretary shall investigate and decide whether a violation has 
        occurred.
            ``(B) Enforcement of agreements.--If the Secretary decides 
        that a violation has occurred, the Secretary shall correct the 
        violation under terms of the agreement.
            ``(C) Additional remedies.--In addition to any remedy 
        specified in the agreement, the Secretary shall bar a recipient 
        or an operator from receiving Federal transit assistance in an 
        amount the Secretary considers appropriate if the Secretary 
        finds a pattern of violations of the agreement.
    ``(e) Bond Proceeds Eligible for Local Share.--
        ``(1) Use as local matching funds.--Notwithstanding any other 
    provision of law, a recipient of assistance under section 5307, 
    5309, or 5337 may use the proceeds from the issuance of revenue 
    bonds as part of the local matching funds for a capital project.
        ``(2) Maintenance of effort.--The Secretary shall approve of 
    the use of the proceeds from the issuance of revenue bonds for the 
    remainder of the net project cost only if the Secretary finds that 
    the aggregate amount of financial support for public transportation 
    in the urbanized area provided by the State and affected local 
    governmental authorities during the next 3 fiscal years, as 
    programmed in the State transportation improvement program under 
    section 5304, is not less than the aggregate amount provided by the 
    State and affected local governmental authorities in the urbanized 
    area during the preceding 3 fiscal years.
        ``(3) Debt service reserve.--The Secretary may reimburse an 
    eligible recipient for deposits of bond proceeds in a debt service 
    reserve that the recipient establishes pursuant to section 
    5302(3)(J) from amounts made available to the recipient under 
    section 5309.
    ``(f) Schoolbus Transportation.--
        ``(1) Agreements.--Financial assistance under this chapter may 
    be used for a capital project, or to operate public transportation 
    equipment or a public transportation facility, only if the 
    applicant agrees not to provide schoolbus transportation that 
    exclusively transports students and school personnel in competition 
    with a private schoolbus operator. This subsection does not apply--
            ``(A) to an applicant that operates a school system in the 
        area to be served and a separate and exclusive schoolbus 
        program for the school system; and
            ``(B) unless a private schoolbus operator can provide 
        adequate transportation that complies with applicable safety 
        standards at reasonable rates.
        ``(2) Violations.--If the Secretary finds that an applicant, 
    governmental authority, or publicly owned operator has violated the 
    agreement required under paragraph (1), the Secretary shall bar a 
    recipient or an operator from receiving Federal transit assistance 
    in an amount the Secretary considers appropriate.
    ``(g) Buying Buses Under Other Laws.--Subsections (d) and (f) of 
this section apply to financial assistance to buy a bus under sections 
133 and 142 of title 23.
    ``(h) Grant and Loan Prohibitions.--A grant or loan may not be used 
to--
        ``(1) pay ordinary governmental or nonproject operating 
    expenses; or
        ``(2) support a procurement that uses an exclusionary or 
    discriminatory specification.
    ``(i) Government Share of Costs for Certain Projects.--
        ``(1) Acquiring vehicles and vehicle-related equipment or 
    facilities.--
            ``(A) Vehicles.--A grant for a project to be assisted under 
        this chapter that involves acquiring vehicles for purposes of 
        complying with or maintaining compliance with the Americans 
        with Disabilities Act of 1990 (42 U.S.C. 12101 et seq.) or the 
        Clean Air Act is for 85 percent of the net project cost.
            ``(B) Vehicle-related equipment or facilities.--A grant for 
        a project to be assisted under this chapter that involves 
        acquiring vehicle-related equipment or facilities required by 
        the Americans with Disabilities Act of 1990 (42 U.S.C. 12101 et 
        seq.) or vehicle-related equipment or facilities (including 
        clean fuel or alternative fuel vehicle-related equipment or 
        facilities) for purposes of complying with or maintaining 
        compliance with the Clean Air Act, is for 90 percent of the net 
        project cost of such equipment or facilities attributable to 
        compliance with those Acts. The Secretary shall have discretion 
        to determine, through practicable administrative procedures, 
        the costs of such equipment or facilities attributable to 
        compliance with those Acts.
        ``(2) Costs incurred by providers of public transportation by 
    vanpool.--
            ``(A) Local matching share.--The local matching share 
        provided by a recipient of assistance for a capital project 
        under this chapter may include any amounts expended by a 
        provider of public transportation by vanpool for the 
        acquisition of rolling stock to be used by such provider in the 
        recipient's service area, excluding any amounts the provider 
        may have received in Federal, State, or local government 
        assistance for such acquisition.
            ``(B) Use of revenues.--A private provider of public 
        transportation by vanpool may use revenues it receives in the 
        provision of public transportation service in the service area 
        of a recipient of assistance under this chapter that are in 
        excess of the provider's operating costs for the purpose of 
        acquiring rolling stock, if the private provider enters into a 
        legally binding agreement with the recipient that requires the 
        provider to use the rolling stock in the recipient's service 
        area.
            ``(C) Definitions.--In this paragraph, the following 
        definitions apply:
                ``(i) Private provider of public transportation by 
            vanpool.--The term `private provider of public 
            transportation by vanpool' means a private entity providing 
            vanpool services in the service area of a recipient of 
            assistance under this chapter using a commuter highway 
            vehicle or vanpool vehicle.
                ``(ii) Commuter highway vehicle; vanpool vehicle.--The 
            term `commuter highway vehicle or vanpool vehicle' means 
            any vehicle--

                    ``(I) the seating capacity of which is at least 6 
                adults (not including the driver); and
                    ``(II) at least 80 percent of the mileage use of 
                which can be reasonably expected to be for the purposes 
                of transporting commuters in connection with travel 
                between their residences and their place of employment.

    ``(j) Buy America.--
        ``(1) In general.--The Secretary may obligate an amount that 
    may be appropriated to carry out this chapter for a project only if 
    the steel, iron, and manufactured goods used in the project are 
    produced in the United States.
        ``(2) Waiver.--The Secretary may waive paragraph (1) of this 
    subsection if the Secretary finds that--
            ``(A) applying paragraph (1) would be inconsistent with the 
        public interest;
            ``(B) the steel, iron, and goods produced in the United 
        States are not produced in a sufficient and reasonably 
        available amount or are not of a satisfactory quality;
            ``(C) when procuring rolling stock (including train 
        control, communication, and traction power equipment) under 
        this chapter--
                ``(i) the cost of components and subcomponents produced 
            in the United States is more than 60 percent of the cost of 
            all components of the rolling stock; and
                ``(ii) final assembly of the rolling stock has occurred 
            in the United States; or
            ``(D) including domestic material will increase the cost of 
        the overall project by more than 25 percent.
        ``(3) Written waiver determination and annual report.--
            ``(A) Written determination.--Before issuing a waiver under 
        paragraph (2), the Secretary shall--
                ``(i) publish in the Federal Register and make publicly 
            available in an easily identifiable location on the website 
            of the Department of Transportation a detailed written 
            explanation of the waiver determination; and
                ``(ii) provide the public with a reasonable period of 
            time for notice and comment.
            ``(B) Annual report.--Not later than 1 year after the date 
        of enactment of the Federal Public Transportation Act of 2012, 
        and annually thereafter, the Secretary shall submit to the 
        Committee on Banking, Housing, and Urban Affairs of the Senate 
        and the Committee on Transportation and Infrastructure of the 
        House of Representatives a report listing any waiver issued 
        under paragraph (2) during the preceding year.
        ``(4) Labor costs for final assembly.--In this subsection, 
    labor costs involved in final assembly are not included in 
    calculating the cost of components.
        ``(5) Waiver prohibited.--The Secretary may not make a waiver 
    under paragraph (2) of this subsection for goods produced in a 
    foreign country if the Secretary, in consultation with the United 
    States Trade Representative, decides that the government of that 
    foreign country--
            ``(A) has an agreement with the United States Government 
        under which the Secretary has waived the requirement of this 
        subsection; and
            ``(B) has violated the agreement by discriminating against 
        goods to which this subsection applies that are produced in the 
        United States and to which the agreement applies.
        ``(6) Penalty for mislabeling and misrepresentation.--A person 
    is ineligible under subpart 9.4 of the Federal Acquisition 
    Regulation, or any successor thereto, to receive a contract or 
    subcontract made with amounts authorized under the Federal Public 
    Transportation Act of 2012 if a court or department, agency, or 
    instrumentality of the Government decides the person 
    intentionally--
            ``(A) affixed a `Made in America' label, or a label with an 
        inscription having the same meaning, to goods sold in or 
        shipped to the United States that are used in a project to 
        which this subsection applies but not produced in the United 
        States; or
            ``(B) represented that goods described in subparagraph (A) 
        of this paragraph were produced in the United States.
        ``(7) State requirements.--The Secretary may not impose any 
    limitation on assistance provided under this chapter that restricts 
    a State from imposing more stringent requirements than this 
    subsection on the use of articles, materials, and supplies mined, 
    produced, or manufactured in foreign countries in projects carried 
    out with that assistance or restricts a recipient of that 
    assistance from complying with those State-imposed requirements.
        ``(8) Opportunity to correct inadvertent error.--The Secretary 
    may allow a manufacturer or supplier of steel, iron, or 
    manufactured goods to correct after bid opening any certification 
    of noncompliance or failure to properly complete the certification 
    (but not including failure to sign the certification) under this 
    subsection if such manufacturer or supplier attests under penalty 
    of perjury that such manufacturer or supplier submitted an 
    incorrect certification as a result of an inadvertent or clerical 
    error. The burden of establishing inadvertent or clerical error is 
    on the manufacturer or supplier.
        ``(9) Administrative review.--A party adversely affected by an 
    agency action under this subsection shall have the right to seek 
    review under section 702 of title 5.
    ``(k) Participation of Governmental Agencies in Design and Delivery 
of Transportation Services.--Governmental agencies and nonprofit 
organizations that receive assistance from Government sources (other 
than the Department of Transportation) for nonemergency transportation 
services shall--
        ``(1) participate and coordinate with recipients of assistance 
    under this chapter in the design and delivery of transportation 
    services; and
        ``(2) be included in the planning for those services.
    ``(l) Relationship to Other Laws.--
        ``(1) Fraud and false statements.--Section 1001 of title 18 
    applies to a certificate, submission, or statement provided under 
    this chapter. The Secretary may terminate financial assistance 
    under this chapter and seek reimbursement directly, or by 
    offsetting amounts, available under this chapter if the Secretary 
    determines that a recipient of such financial assistance has made a 
    false or fraudulent statement or related act in connection with a 
    Federal public transportation program.
        ``(2) Political activities of nonsupervisory employees.--The 
    provision of assistance under this chapter shall not be construed 
    to require the application of chapter 15 of title 5 to any 
    nonsupervisory employee of a public transportation system (or any 
    other agency or entity performing related functions) to whom such 
    chapter does not otherwise apply.
    ``(m) Preaward and Postdelivery Review of Rolling Stock 
Purchases.--The Secretary shall prescribe regulations requiring a 
preaward and postdelivery review of a grant under this chapter to buy 
rolling stock to ensure compliance with Government motor vehicle safety 
requirements, subsection (j) of this section, and bid specifications 
requirements of grant recipients under this chapter. Under this 
subsection, independent inspections and review are required, and a 
manufacturer certification is not sufficient. Rolling stock 
procurements of 20 vehicles or fewer made for the purpose of serving 
rural areas and urbanized areas with populations of 200,000 or fewer 
shall be subject to the same requirements as established for 
procurements of 10 or fewer buses under the post-delivery purchaser's 
requirements certification process under section 663.37(c) of title 49, 
Code of Federal Regulations.
    ``(n) Submission of Certifications.--A certification required under 
this chapter and any additional certification or assurance required by 
law or regulation to be submitted to the Secretary may be consolidated 
into a single document to be submitted annually as part of a grant 
application under this chapter. The Secretary shall publish annually a 
list of all certifications required under this chapter with the 
publication required under section 5336(d)(2).
    ``(o) Grant Requirements.--The grant requirements under sections 
5307, 5309, and 5337 apply to any project under this chapter that 
receives any assistance or other financing under chapter 6 (other than 
section 609) of title 23.
    ``(p) Alternative Fueling Facilities.--A recipient of assistance 
under this chapter may allow the incidental use of federally funded 
alternative fueling facilities and equipment by nontransit public 
entities and private entities if--
        ``(1) the incidental use does not interfere with the 
    recipient's public transportation operations;
        ``(2) all costs related to the incidental use are fully 
    recaptured by the recipient from the nontransit public entity or 
    private entity;
        ``(3) the recipient uses revenues received from the incidental 
    use in excess of costs for planning, capital, and operating 
    expenses that are incurred in providing public transportation; and
        ``(4) private entities pay all applicable excise taxes on fuel.
    ``(q) Corridor Preservation.--
        ``(1) In general.--The Secretary may assist a recipient in 
    acquiring right-of-way before the completion of the environmental 
    reviews for any project that may use the right-of-way if the 
    acquisition is otherwise permitted under Federal law. The Secretary 
    may establish restrictions on such an acquisition as the Secretary 
    determines to be necessary and appropriate.
        ``(2) Environmental reviews.--Right-of-way acquired under this 
    subsection may not be developed in anticipation of the project 
    until all required environmental reviews for the project have been 
    completed.
    ``(r) Reasonable Access to Public Transportation Facilities.--A 
recipient of assistance under this chapter may not deny reasonable 
access for a private intercity or charter transportation operator to 
federally funded public transportation facilities, including intermodal 
facilities, park and ride lots, and bus-only highway lanes. In 
determining reasonable access, capacity requirements of the recipient 
of assistance and the extent to which access would be detrimental to 
existing public transportation services must be considered.''.
SEC. 20017. PUBLIC TRANSPORTATION EMERGENCY RELIEF PROGRAM.
    (a) In General.--Section 5324 of title 49, United States Code, is 
amended to read as follows:
``Sec. 5324. Public transportation emergency relief program
    ``(a) Definition.--In this section the following definitions shall 
apply:
        ``(1) Eligible operating costs.--The term `eligible operating 
    costs' means costs relating to--
            ``(A) evacuation services;
            ``(B) rescue operations;
            ``(C) temporary public transportation service; or
            ``(D) reestablishing, expanding, or relocating public 
        transportation route service before, during, or after an 
        emergency.
        ``(2) Emergency.--The term `emergency' means a natural disaster 
    affecting a wide area (such as a flood, hurricane, tidal wave, 
    earthquake, severe storm, or landslide) or a catastrophic failure 
    from any external cause, as a result of which--
            ``(A) the Governor of a State has declared an emergency and 
        the Secretary has concurred; or
            ``(B) the President has declared a major disaster under 
        section 401 of the Robert T. Stafford Disaster Relief and 
        Emergency Assistance Act (42 U.S.C. 5170).
    ``(b) General Authority.--The Secretary may make grants and enter 
into contracts and other agreements (including agreements with 
departments, agencies, and instrumentalities of the Government) for--
        ``(1) capital projects to protect, repair, reconstruct, or 
    replace equipment and facilities of a public transportation system 
    operating in the United States or on an Indian reservation that the 
    Secretary determines is in danger of suffering serious damage, or 
    has suffered serious damage, as a result of an emergency; and
        ``(2) eligible operating costs of public transportation 
    equipment and facilities in an area directly affected by an 
    emergency during--
            ``(A) the 1-year period beginning on the date of a 
        declaration described in subsection (a)(2); or
            ``(B) if the Secretary determines there is a compelling 
        need, the 2-year period beginning on the date of a declaration 
        described in subsection (a)(2).
    ``(c) Coordination of Emergency Funds.--
        ``(1) Use of funds.--Funds appropriated to carry out this 
    section shall be in addition to any other funds available under 
    this chapter.
        ``(2) No effect on other government activity.--The provision of 
    funds under this section shall not affect the ability of any other 
    agency of the Government, including the Federal Emergency 
    Management Agency, or a State agency, a local governmental entity, 
    organization, or person, to provide any other funds otherwise 
    authorized by law.
        ``(3) Notification.--The Secretary shall notify the Secretary 
    of Homeland Security of the purpose and amount of any grant made or 
    contract or other agreement entered into under this section.
    ``(d) Grant Requirements.--A grant awarded under this section or 
under section 5307 or 5311 that is made to address an emergency defined 
under subsection (a)(2) shall be--
        ``(1) subject to the terms and conditions the Secretary 
    determines are necessary; and
        ``(2) made only for expenses that are not reimbursed under the 
    Robert T. Stafford Disaster Relief and Emergency Assistance Act (42 
    U.S.C. 5121 et seq.).
    ``(e) Government Share of Costs.--
        ``(1) Capital projects and operating assistance.--A grant, 
    contract, or other agreement for a capital project or eligible 
    operating costs under this section shall be, at the option of the 
    recipient, for not more than 80 percent of the net project cost, as 
    determined by the Secretary.
        ``(2) Non-federal share.--The remainder of the net project cost 
    may be provided from an undistributed cash surplus, a replacement 
    or depreciation cash fund or reserve, or new capital.
        ``(3) Waiver.--The Secretary may waive, in whole or part, the 
    non-Federal share required under--
            ``(A) paragraph (2); or
            ``(B) section 5307 or 5311, in the case of a grant made 
        available under section 5307 or 5311, respectively, to address 
        an emergency.''.
    (b) Memorandum of Agreement.--
        (1) Purposes.--The purposes of this subsection are--
            (A) to improve coordination between the Department of 
        Transportation and the Department of Homeland Security; and
            (B) to expedite the provision of Federal assistance for 
        public transportation systems for activities relating to a 
        major disaster or emergency declared by the President under the 
        Robert T. Stafford Disaster Relief and Emergency Assistance Act 
        (42 U.S.C. 5121 et seq.) (referred to in this subsection as a 
        ``major disaster or emergency'').
        (2) Agreement.--Not later than 180 days after the date of 
    enactment of this Act, the Secretary of Transportation and the 
    Secretary of Homeland Security shall enter into a memorandum of 
    agreement to coordinate the roles and responsibilities of the 
    Department of Transportation and the Department of Homeland 
    Security in providing assistance for public transportation, 
    including the provision of public transportation services and the 
    repair and restoration of public transportation systems in areas 
    for which the President has declared a major disaster or emergency.
        (3) Contents of agreement.--The memorandum of agreement 
    required under paragraph (2) shall--
            (A) provide for improved coordination and expeditious use 
        of public transportation, as appropriate, in response to and 
        recovery from a major disaster or emergency;
            (B) establish procedures to address--
                (i) issues that have contributed to delays in the 
            reimbursement of eligible transportation-related expenses 
            relating to a major disaster or emergency;
                (ii) any challenges identified in the review under 
            paragraph (4); and
                (iii) the coordination of assistance for public 
            transportation provided under the Robert T. Stafford 
            Disaster Relief and Emergency Assistance Act and section 
            5324 of title 49, United States Code, as amended by this 
            Act, as appropriate; and
            (C) provide for the development and distribution of clear 
        guidelines for State, local, and tribal governments, including 
        public transportation systems, relating to--
                (i) assistance available for public transportation 
            systems for activities relating to a major disaster or 
            emergency--

                    (I) under the Robert T. Stafford Disaster Relief 
                and Emergency Assistance Act;
                    (II) under section 5324 of title 49, United States 
                Code, as amended by this Act; and
                    (III) from other sources, including other Federal 
                agencies; and

                (ii) reimbursement procedures that speed the process 
            of--

                    (I) applying for assistance under the Robert T. 
                Stafford Disaster Relief and Emergency Assistance Act 
                and section 5324 of title 49, United States Code, as 
                amended by this Act; and
                    (II) distributing assistance for public 
                transportation systems under the Robert T. Stafford 
                Disaster Relief and Emergency Assistance Act and 
                section 5324 of title 49, United States Code, as 
                amended by this Act.

        (4) After action review.--Before entering into a memorandum of 
    agreement under paragraph (2), the Secretary of Transportation and 
    the Secretary of Homeland Security (acting through the 
    Administrator of the Federal Emergency Management Agency), in 
    consultation with State, local, and tribal governments (including 
    public transportation systems) that have experienced a major 
    disaster or emergency, shall review after action reports relating 
    to major disasters, emergencies, and exercises, to identify areas 
    where coordination between the Department of Transportation and the 
    Department of Homeland Security and the provision of public 
    transportation services should be improved.
        (5) Factors for declarations of major disasters and 
    emergencies.--The Administrator of the Federal Emergency Management 
    Agency shall make available to State, local, and tribal 
    governments, including public transportation systems, a description 
    of the factors that the President considers in declaring a major 
    disaster or emergency, including any pre-disaster emergency 
    declaration policies.
        (6) Briefings.--
            (A) Initial briefing.--Not later than 180 days after the 
        date of enactment of this Act, the Secretary of Transportation 
        and the Secretary of Homeland Security shall jointly brief the 
        Committee on Banking, Housing, and Urban Affairs and the 
        Committee on Homeland Security and Governmental Affairs of the 
        Senate on the memorandum of agreement required under paragraph 
        (2).
            (B) Quarterly briefings.--Each quarter of the 1-year period 
        beginning on the date on which the Secretary of Transportation 
        and the Secretary of Homeland Security enter into the 
        memorandum of agreement required under paragraph (2), the 
        Secretary of Transportation and the Secretary of Homeland 
        Security shall jointly brief the Committee on Banking, Housing, 
        and Urban Affairs and the Committee on Homeland Security and 
        Governmental Affairs of the Senate on the implementation of the 
        memorandum of agreement.
SEC. 20018. CONTRACT REQUIREMENTS.
    Section 5325 of title 49, United States Code, is amended--
        (1) in subsection (e), by striking paragraph (1) and inserting 
    the following:
        ``(1) Contracts.--A recipient procuring rolling stock with 
    Government financial assistance under this chapter may make a 
    multiyear contract to buy the rolling stock and replacement parts 
    under which the recipient has an option to buy additional rolling 
    stock or replacement parts for--
            ``(A) not more than 5 years after the date of the original 
        contract for bus procurements; and
            ``(B) not more than 7 years after the date of the original 
        contract for rail procurements, provided that such option does 
        not allow for significant changes or alterations to the rolling 
        stock.''.
        (2) in subsection (h), by striking ``Federal Public 
    Transportation Act of 2005'' and inserting ``Federal Public 
    Transportation Act of 2012'';
        (3) in subsection (j)(2)(C), by striking ``, including the 
    performance reported in the Contractor Performance Assessment 
    Reports required under section 5309(l)(2)''; and
        (4) by adding at the end the following:
    ``(k) Veterans Employment.--Recipients and subrecipients of Federal 
financial assistance under this chapter shall ensure that contractors 
working on a capital project funded using such assistance give a hiring 
preference, to the extent practicable, to veterans (as defined in 
section 2108 of title 5) who have the requisite skills and abilities to 
perform the construction work required under the contract. This 
subsection shall not be understood, construed or enforced in any manner 
that would require an employer to give a preference to any veteran over 
any equally qualified applicant who is a member of any racial or ethnic 
minority, female, an individual with a disability, or a former 
employee.''.
SEC. 20019. TRANSIT ASSET MANAGEMENT.
    Section 5326 of title 49, United States Code, is amended to read as 
follows:
``Sec. 5326. Transit asset management
    ``(a) Definitions.--In this section the following definitions shall 
apply:
        ``(1) Capital asset.--The term `capital asset' includes 
    equipment, rolling stock, infrastructure, and facilities for use in 
    public transportation and owned or leased by a recipient or 
    subrecipient of Federal financial assistance under this chapter.
        ``(2) Transit asset management plan.--The term `transit asset 
    management plan' means a plan developed by a recipient of funding 
    under this chapter that--
            ``(A) includes, at a minimum, capital asset inventories and 
        condition assessments, decision support tools, and investment 
        prioritization; and
            ``(B) the recipient certifies complies with the rule issued 
        under this section.
        ``(3) Transit asset management system.--The term `transit asset 
    management system' means a strategic and systematic process of 
    operating, maintaining, and improving public transportation capital 
    assets effectively throughout the life cycle of such assets.
    ``(b) Transit Asset Management System.--The Secretary shall 
establish and implement a national transit asset management system, 
which shall include--
        ``(1) a definition of the term `state of good repair' that 
    includes objective standards for measuring the condition of capital 
    assets of recipients, including equipment, rolling stock, 
    infrastructure, and facilities;
        ``(2) a requirement that recipients and subrecipients of 
    Federal financial assistance under this chapter develop a transit 
    asset management plan;
        ``(3) a requirement that each designated recipient of Federal 
    financial assistance under this chapter report on the condition of 
    the system of the recipient and provide a description of any change 
    in condition since the last report;
        ``(4) an analytical process or decision support tool for use by 
    public transportation systems that--
            ``(A) allows for the estimation of capital investment needs 
        of such systems over time; and
            ``(B) assists with asset investment prioritization by such 
        systems; and
        ``(5) technical assistance to recipients of Federal financial 
    assistance under this chapter.
    ``(c) Performance Measures and Targets.--
        ``(1) In general.--Not later than 1 year after the date of 
    enactment of the Federal Public Transportation Act of 2012, the 
    Secretary shall issue a final rule to establish performance 
    measures based on the state of good repair standards established 
    under subsection (b)(1).
        ``(2) Targets.--Not later than 3 months after the date on which 
    the Secretary issues a final rule under paragraph (1), and each 
    fiscal year thereafter, each recipient of Federal financial 
    assistance under this chapter shall establish performance targets 
    in relation to the performance measures established by the 
    Secretary.
        ``(3) Reports.--Each designated recipient of Federal financial 
    assistance under this chapter shall submit to the Secretary an 
    annual report that describes--
            ``(A) the progress of the recipient during the fiscal year 
        to which the report relates toward meeting the performance 
        targets established under paragraph (2) for that fiscal year; 
        and
            ``(B) the performance targets established by the recipient 
        for the subsequent fiscal year.
    ``(d) Rulemaking.--Not later than 1 year after the date of 
enactment of the Federal Public Transportation Act of 2012, the 
Secretary shall issue a final rule to implement the transit asset 
management system described in subsection (b).''.
SEC. 20020. PROJECT MANAGEMENT OVERSIGHT.
    Section 5327 of title 49, United States Code, is amended--
        (1) in subsection (a)--
            (A) in the matter preceding paragraph (1), by striking 
        ``United States'' and all that follows through ``Secretary of 
        Transportation'' and inserting the following: ``Federal 
        financial assistance for a major capital project for public 
        transportation under this chapter or any other provision of 
        Federal law, a recipient must prepare a project management plan 
        approved by the Secretary and carry out the project in 
        accordance with the project management plan''; and
            (B) in paragraph (12), by striking ``each month'' and 
        inserting ``quarterly'';
        (2) by striking subsections (c), (d), and (f);
        (3) by inserting after subsection (b) the following:
    ``(c) Access to Sites and Records.--Each recipient of Federal 
financial assistance for public transportation under this chapter or 
any other provision of Federal law shall provide the Secretary and a 
contractor the Secretary chooses under section 5338(i) with access to 
the construction sites and records of the recipient when reasonably 
necessary.'';
        (4) by redesignating subsection (e) as subsection (d); and
        (5) in subsection (d), as so redesignated--
            (A) in paragraph (1), by striking ``subsection (c) of this 
        section'' and inserting ``section 5338(i)''; and
            (B) in paragraph (2)--
                (i) by striking ``preliminary engineering stage'' and 
            inserting ``project development phase''; and
                (ii) by striking ``another stage'' and inserting 
            ``another phase''.
SEC. 20021. PUBLIC TRANSPORTATION SAFETY.
    (a) Public Transportation Safety Program.--Section 5329 of title 
49, United States Code, is amended to read as follows:
``Sec. 5329. Public transportation safety program
    ``(a) Definition.--In this section, the term `recipient' means a 
State or local governmental authority, or any other operator of a 
public transportation system, that receives financial assistance under 
this chapter.
    ``(b) National Public Transportation Safety Plan.--
        ``(1) In general.--The Secretary shall create and implement a 
    national public transportation safety plan to improve the safety of 
    all public transportation systems that receive funding under this 
    chapter.
        ``(2) Contents of plan.--The national public transportation 
    safety plan under paragraph (1) shall include--
            ``(A) safety performance criteria for all modes of public 
        transportation;
            ``(B) the definition of the term `state of good repair' 
        established under section 5326(b);
            ``(C) minimum safety performance standards for public 
        transportation vehicles used in revenue operations that--
                ``(i) do not apply to rolling stock otherwise regulated 
            by the Secretary or any other Federal agency; and
                ``(ii) to the extent practicable, take into 
            consideration--

                    ``(I) relevant recommendations of the National 
                Transportation Safety Board; and
                    ``(II) recommendations of, and best practices 
                standards developed by, the public transportation 
                industry; and

            ``(D) a public transportation safety certification training 
        program, as described in subsection (c).
    ``(c) Public Transportation Safety Certification Training 
Program.--
        ``(1) In general.--The Secretary shall establish a public 
    transportation safety certification training program for Federal 
    and State employees, or other designated personnel, who conduct 
    safety audits and examinations of public transportation systems and 
    employees of public transportation agencies directly responsible 
    for safety oversight.
        ``(2) Interim provisions.--Not later than 90 days after the 
    date of enactment of the Federal Public Transportation Act of 2012, 
    the Secretary shall establish interim provisions for the 
    certification and training of the personnel described in paragraph 
    (1), which shall be in effect until the effective date of the final 
    rule issued by the Secretary to implement this subsection.
    ``(d) Public Transportation Agency Safety Plan.--
        ``(1) In general.--Effective 1 year after the effective date of 
    a final rule issued by the Secretary to carry out this subsection, 
    each recipient or State, as described in paragraph (3), shall 
    certify that the recipient or State has established a comprehensive 
    agency safety plan that includes, at a minimum--
            ``(A) a requirement that the board of directors (or 
        equivalent entity) of the recipient approve the agency safety 
        plan and any updates to the agency safety plan;
            ``(B) methods for identifying and evaluating safety risks 
        throughout all elements of the public transportation system of 
        the recipient;
            ``(C) strategies to minimize the exposure of the public, 
        personnel, and property to hazards and unsafe conditions;
            ``(D) a process and timeline for conducting an annual 
        review and update of the safety plan of the recipient;
            ``(E) performance targets based on the safety performance 
        criteria and state of good repair standards established under 
        subparagraphs (A) and (B), respectively, of subsection (b)(2);
            ``(F) assignment of an adequately trained safety officer 
        who reports directly to the general manager, president, or 
        equivalent officer of the recipient; and
            ``(G) a comprehensive staff training program for the 
        operations personnel and personnel directly responsible for 
        safety of the recipient that includes--
                ``(i) the completion of a safety training program; and
                ``(ii) continuing safety education and training.
        ``(2) Interim agency safety plan.--A system safety plan 
    developed pursuant to part 659 of title 49, Code of Federal 
    Regulations, as in effect on the date of enactment of the Federal 
    Public Transportation Act of 2012, shall remain in effect until 
    such time as this subsection takes effect.
        ``(3) Public transportation agency safety plan drafting and 
    certification.--
            ``(A) Section 5311.--For a recipient receiving assistance 
        under section 5311, a State safety plan may be drafted and 
        certified by the recipient or a State.
            ``(B) Section 5307.--Not later than 120 days after the date 
        of enactment of the Federal Public Transportation Act of 2012, 
        the Secretary shall issue a rule designating recipients of 
        assistance under section 5307 that are small public 
        transportation providers or systems that may have their State 
        safety plans drafted or certified by a State.
    ``(e) State Safety Oversight Program.--
        ``(1) Applicability.--This subsection applies only to eligible 
    States.
        ``(2) Definition.--In this subsection, the term `eligible 
    State' means a State that has--
            ``(A) a rail fixed guideway public transportation system 
        within the jurisdiction of the State that is not subject to 
        regulation by the Federal Railroad Administration; or
            ``(B) a rail fixed guideway public transportation system in 
        the engineering or construction phase of development within the 
        jurisdiction of the State that will not be subject to 
        regulation by the Federal Railroad Administration.
        ``(3) In general.--In order to obligate funds apportioned under 
    section 5338 to carry out this chapter, effective 3 years after the 
    date on which a final rule under this subsection becomes effective, 
    an eligible State shall have in effect a State safety oversight 
    program approved by the Secretary under which the State--
            ``(A) assumes responsibility for overseeing rail fixed 
        guideway public transportation safety;
            ``(B) adopts and enforces Federal and relevant State laws 
        on rail fixed guideway public transportation safety;
            ``(C) establishes a State safety oversight agency;
            ``(D) determines, in consultation with the Secretary, an 
        appropriate staffing level for the State safety oversight 
        agency that is commensurate with the number, size, and 
        complexity of the rail fixed guideway public transportation 
        systems in the eligible State;
            ``(E) requires that employees and other designated 
        personnel of the eligible State safety oversight agency who are 
        responsible for rail fixed guideway public transportation 
        safety oversight are qualified to perform such functions 
        through appropriate training, including successful completion 
        of the public transportation safety certification training 
        program established under subsection (c); and
            ``(F) prohibits any public transportation agency from 
        providing funds to the State safety oversight agency or an 
        entity designated by the eligible State as the State safety 
        oversight agency under paragraph (4).
        ``(4) State safety oversight agency.--
            ``(A) In general.--Each State safety oversight program 
        shall establish a State safety oversight agency that--
                ``(i) is financially and legally independent from any 
            public transportation entity that the State safety 
            oversight agency oversees;
                ``(ii) does not directly provide public transportation 
            services in an area with a rail fixed guideway public 
            transportation system subject to the requirements of this 
            section;
                ``(iii) does not employ any individual who is also 
            responsible for the administration of rail fixed guideway 
            public transportation programs subject to the requirements 
            of this section;
                ``(iv) has the authority to review, approve, oversee, 
            and enforce the implementation by the rail fixed guideway 
            public transportation agency of the public transportation 
            agency safety plan required under subsection (d);
                ``(v) has investigative and enforcement authority with 
            respect to the safety of rail fixed guideway public 
            transportation systems of the eligible State;
                ``(vi) audits, at least once triennially, the 
            compliance of the rail fixed guideway public transportation 
            systems in the eligible State subject to this subsection 
            with the public transportation agency safety plan required 
            under subsection (d); and
                ``(vii) provides, at least once annually, a status 
            report on the safety of the rail fixed guideway public 
            transportation systems the State safety oversight agency 
            oversees to--

                    ``(I) the Federal Transit Administration;
                    ``(II) the Governor of the eligible State; and
                    ``(III) the board of directors, or equivalent 
                entity, of any rail fixed guideway public 
                transportation system that the State safety oversight 
                agency oversees.

            ``(B) Waiver.--At the request of an eligible State, the 
        Secretary may waive clauses (i) and (iii) of subparagraph (A) 
        for eligible States with 1 or more rail fixed guideway systems 
        in revenue operations, design, or construction, that--
                ``(i) have fewer than 1,000,000 combined actual and 
            projected rail fixed guideway revenue miles per year; or
                ``(ii) provide fewer than 10,000,000 combined actual 
            and projected unlinked passenger trips per year.
        ``(5) Programs for multi-state rail fixed guideway public 
    transportation systems.--An eligible State that has within the 
    jurisdiction of the eligible State a rail fixed guideway public 
    transportation system that operates in more than 1 eligible State 
    shall--
            ``(A) jointly with all other eligible States in which the 
        rail fixed guideway public transportation system operates, 
        ensure uniform safety standards and enforcement procedures that 
        shall be in compliance with this section, and establish and 
        implement a State safety oversight program approved by the 
        Secretary; or
            ``(B) jointly with all other eligible States in which the 
        rail fixed guideway public transportation system operates, 
        designate an entity having characteristics consistent with the 
        characteristics described in paragraph (3) to carry out the 
        State safety oversight program approved by the Secretary.
        ``(6) Grants.--
            ``(A) In general.--The Secretary shall make grants to 
        eligible States to develop or carry out State safety oversight 
        programs under this subsection. Grant funds may be used for 
        program operational and administrative expenses, including 
        employee training activities.
            ``(B) Apportionment.--
                ``(i) Formula.--The amount made available for State 
            safety oversight under section 5336(h) shall be apportioned 
            among eligible States under a formula to be established by 
            the Secretary. Such formula shall take into account fixed 
            guideway vehicle revenue miles, fixed guideway route miles, 
            and fixed guideway vehicle passenger miles attributable to 
            all rail fixed guideway systems not subject to regulation 
            by the Federal Railroad Administration within each eligible 
            State.
                ``(ii) Administrative requirements.--Grant funds 
            apportioned to States under this paragraph shall be subject 
            to uniform administrative requirements for grants and 
            cooperative agreements to State and local governments under 
            part 18 of title 49, Code of Federal Regulations, and shall 
            be subject to the requirements of this chapter as the 
            Secretary determines appropriate.
            ``(C) Government share.--
                ``(i) In general.--The Government share of the 
            reasonable cost of a State safety oversight program 
            developed or carried out using a grant under this paragraph 
            shall be 80 percent.
                ``(ii) In-kind contributions.--Any calculation of the 
            non-Government share of a State safety oversight program 
            shall include in-kind contributions by an eligible State.
                ``(iii) Non-government share.--The non-Government share 
            of the cost of a State safety oversight program developed 
            or carried out using a grant under this paragraph may not 
            be met by--

                    ``(I) any Federal funds;
                    ``(II) any funds received from a public 
                transportation agency; or
                    ``(III) any revenues earned by a public 
                transportation agency.

                ``(iv) Safety training program.--Recipients of funds 
            made available to carry out sections 5307 and 5311 may use 
            not more than 0.5 percent of their formula funds to pay not 
            more than 80 percent of the cost of participation in the 
            public transportation safety certification training program 
            established under subsection (c), by an employee of a State 
            safety oversight agency or a recipient who is directly 
            responsible for safety oversight.
        ``(7) Certification process.--
            ``(A) In general.--Not later than 1 year after the date of 
        enactment of the Federal Public Transportation Act of 2012, the 
        Secretary shall determine whether or not each State safety 
        oversight program meets the requirements of this subsection and 
        the State safety oversight program is adequate to promote the 
        purposes of this section.
            ``(B) Issuance of certifications and denials.--The 
        Secretary shall issue a certification to each eligible State 
        that the Secretary determines under subparagraph (A) adequately 
        meets the requirements of this subsection, and shall issue a 
        denial of certification to each eligible State that the 
        Secretary determines under subparagraph (A) does not adequately 
        meet the requirements of this subsection.
            ``(C) Disapproval.--If the Secretary determines that a 
        State safety oversight program does not meet the requirements 
        of this subsection and denies certification, the Secretary 
        shall transmit to the eligible State a written explanation and 
        allow the eligible State to modify and resubmit the State 
        safety oversight program for approval.
            ``(D) Failure to correct.--If the Secretary determines that 
        a modification by an eligible State of the State safety 
        oversight program is not sufficient to certify the program, the 
        Secretary--
                ``(i) shall notify the Governor of the eligible State 
            of such denial of certification and failure to adequately 
            modify the program, and shall request that the Governor 
            take all possible actions to correct deficiencies in the 
            program to ensure the certification of the program; and
                ``(ii) may--

                    ``(I) withhold funds available under paragraph (6) 
                in an amount determined by the Secretary;
                    ``(II) withhold not more than 5 percent of the 
                amount required to be appropriated for use in a State 
                or urbanized area in the State under section 5307 of 
                this title, until the State safety oversight program 
                has been certified; or
                    ``(III) require fixed guideway public 
                transportation systems under such State safety 
                oversight program to provide up to 100 percent of 
                Federal assistance made available under this chapter 
                only for safety-related improvements on such systems, 
                until the State safety oversight program has been 
                certified.

        ``(8) Evaluation of program and annual report.--The Secretary 
    shall continually evaluate the implementation of a State safety 
    oversight program by a State safety oversight agency, and shall 
    submit on or before July 1 of each year to the Committee on 
    Banking, Housing, and Urban Affairs of the Senate and the Committee 
    on Transportation and Infrastructure of the House of 
    Representatives a report on--
            ``(A) the amount of funds apportioned to each eligible 
        State; and
            ``(B) the certification status of each State safety 
        oversight program, including what steps a State program that 
        has been denied certification must take in order to be 
        certified.
        ``(9) Federal oversight.--The Secretary shall--
            ``(A) oversee the implementation of each State safety 
        oversight program under this subsection;
            ``(B) audit the operations of each State safety oversight 
        agency at least once triennially; and
            ``(C) issue rules to carry out this subsection.
    ``(f) Authority of Secretary.--In carrying out this section, the 
Secretary may--
        ``(1) conduct inspections, investigations, audits, 
    examinations, and testing of the equipment, facilities, rolling 
    stock, and operations of the public transportation system of a 
    recipient;
        ``(2) make reports and issue directives with respect to the 
    safety of the public transportation system of a recipient;
        ``(3) in conjunction with an accident investigation or an 
    investigation into a pattern or practice of conduct that negatively 
    affects public safety, issue a subpoena to, and take the deposition 
    of, any employee of a recipient or a State safety oversight agency, 
    if--
            ``(A) before the issuance of the subpoena, the Secretary 
        requests a determination by the Attorney General of the United 
        States as to whether the subpoena will interfere with an 
        ongoing criminal investigation; and
            ``(B) the Attorney General--
                ``(i) determines that the subpoena will not interfere 
            with an ongoing criminal investigation; or
                ``(ii) fails to make a determination under clause (i) 
            before the date that is 30 days after the date on which the 
            Secretary makes a request under subparagraph (A);
        ``(4) require the production of documents by, and prescribe 
    recordkeeping and reporting requirements for, a recipient or a 
    State safety oversight agency;
        ``(5) investigate public transportation accidents and incidents 
    and provide guidance to recipients regarding prevention of 
    accidents and incidents;
        ``(6) at reasonable times and in a reasonable manner, enter and 
    inspect equipment, facilities, rolling stock, operations, and 
    relevant records of the public transportation system of a 
    recipient; and
        ``(7) issue rules to carry out this section.
    ``(g) Enforcement Actions.--
        ``(1) Types of enforcement actions.--The Secretary may take 
    enforcement action against an eligible State, as defined in 
    subsection (e), that does not comply with Federal law with respect 
    to the safety of the public transportation system, including--
            ``(A) issuing directives;
            ``(B) requiring more frequent oversight of the recipient by 
        a State safety oversight agency or the Secretary;
            ``(C) imposing more frequent reporting requirements; and
            ``(D) requiring that any Federal financial assistance 
        provided under this chapter be spent on correcting safety 
        deficiencies identified by the Secretary or the State safety 
        oversight agency before such funds are spent on other projects.
        ``(2) Use or withholding of funds.--
            ``(A) In general.--The Secretary may require the use of 
        funds in accordance with paragraph (1)(D) only if the Secretary 
        finds that a recipient is engaged in a pattern or practice of 
        serious safety violations or has otherwise refused to comply 
        with Federal law relating to the safety of the public 
        transportation system.
            ``(B) Notice.--Before withholding funds from a recipient, 
        the Secretary shall provide to the recipient--
                ``(i) written notice of a violation and the amount 
            proposed to be withheld; and
                ``(ii) a reasonable period of time within which the 
            recipient may address the violation or propose and initiate 
            an alternative means of compliance that the Secretary 
            determines is acceptable.
    ``(h) Cost-benefit Analysis.--
        ``(1) Analysis required.--In carrying out this section, the 
    Secretary shall take into consideration the costs and benefits of 
    each action the Secretary proposes to take under this section.
        ``(2) Waiver.--The Secretary may waive the requirement under 
    this subsection if the Secretary determines that such a waiver is 
    in the public interest.
    ``(i) Consultation by the Secretary of Homeland Security.--The 
Secretary of Homeland Security shall consult with the Secretary of 
Transportation before the Secretary of Homeland Security issues a rule 
or order that the Secretary of Transportation determines affects the 
safety of public transportation design, construction, or operations.
    ``(j) Actions Under State Law.--
        ``(1) Rule of construction.--Nothing in this section shall be 
    construed to preempt an action under State law seeking damages for 
    personal injury, death, or property damage alleging that a party 
    has failed to comply with--
            ``(A) a Federal standard of care established by a 
        regulation or order issued by the Secretary under this section; 
        or
            ``(B) its own program, rule, or standard that it created 
        pursuant to a rule or order issued by the Secretary.
        ``(2) Effective date.--This subsection shall apply to any cause 
    of action under State law arising from an event or activity 
    occurring on or after the date of enactment of the Federal Public 
    Transportation Act of 2012.
        ``(3) Jurisdiction.--Nothing in this section shall be construed 
    to create a cause of action under Federal law on behalf of an 
    injured party or confer Federal question jurisdiction for a State 
    law cause of action.
    ``(k) National Public Transportation Safety Report.--Not later than 
3 years after the date of enactment of the Federal Public 
Transportation Act of 2012, the Secretary shall submit to the Committee 
on Banking, Housing, and Urban Affairs of the Senate and the Committee 
on Transportation and Infrastructure of the House of Representatives a 
report that--
        ``(1) analyzes public transportation safety trends among the 
    States and documents the most effective safety programs implemented 
    using grants under this section; and
        ``(2) describes the effect on public transportation safety of 
    activities carried out using grants under this section.''.
    (b) Bus Safety Study.--
        (1) Definition.--In this subsection, the term ``highway route'' 
    means a route where 50 percent or more of the route is on roads 
    having a speed limit of more than 45 miles per hour.
        (2) Study.--Not later than 180 days after the date of enactment 
    of this Act, the Secretary of Transportation shall submit to the 
    Committee on Banking, Housing, and Urban Affairs of the Senate and 
    the Committee on Transportation and Infrastructure of the House of 
    Representatives a report that--
            (A) examines the safety of public transportation buses that 
        travel on highway routes;
            (B) examines laws and regulations that apply to commercial 
        over-the-road buses; and
            (C) makes recommendations as to whether additional safety 
        measures should be required for public transportation buses 
        that travel on highway routes.
SEC. 20022. ALCOHOL AND CONTROLLED SUBSTANCES TESTING.
    Section 5331 of title 49, United States Code, is amended by 
striking subsection (g) and inserting the following:
    ``(g) Conditions on Federal Assistance.--
        ``(1) Ineligibility for assistance.--A person that receives 
    funds under this chapter is not eligible for financial assistance 
    under section 5307, 5309, or 5311 of this title if the person is 
    required, under regulations the Secretary prescribes under this 
    section, to establish a program of alcohol and controlled 
    substances testing and does not establish the program in accordance 
    with this section.
        ``(2) Additional remedies.--If the Secretary determines that a 
    person that receives funds under this chapter is not in compliance 
    with regulations prescribed under this section, the Secretary may 
    bar the person from receiving Federal transit assistance in an 
    amount the Secretary considers appropriate.''.
SEC. 20023. NONDISCRIMINATION.
    (a) Amendments.--Section 5332 of title 49, United States Code, is 
amended--
        (1) in subsection (b)--
            (A) by striking ``creed'' and inserting ``religion''; and
            (B) by inserting ``disability,'' after ``sex,''; and
        (2) in subsection (d)(3), by striking ``and'' and inserting 
    ``or''.
    (b) Evaluation and Report.--
        (1) Evaluation.--The Comptroller General of the United States 
    shall evaluate the progress and effectiveness of the Federal 
    Transit Administration in assisting recipients of assistance under 
    chapter 53 of title 49, United States Code, to comply with section 
    5332(b) of title 49, including--
            (A) by reviewing discrimination complaints, reports, and 
        other relevant information collected or prepared by the Federal 
        Transit Administration or recipients of assistance from the 
        Federal Transit Administration pursuant to any applicable civil 
        rights statute, regulation, or other requirement; and
            (B) by reviewing the process that the Federal Transit 
        Administration uses to resolve discrimination complaints filed 
        by members of the public.
        (2) Report.--Not later than 1 year after the date of enactment 
    of this Act, the Comptroller General shall submit to the Committee 
    on Banking, Housing, and Urban Affairs of the Senate and the 
    Committee on Transportation and Infrastructure of the House of 
    Representatives a report concerning the evaluation under paragraph 
    (1) that includes--
            (A) a description of the ability of the Federal Transit 
        Administration to address discrimination and foster equal 
        opportunities in federally funded public transportation 
        projects, programs, and activities;
            (B) recommendations for improvements if the Comptroller 
        General determines that improvements are necessary; and
            (C) information upon which the evaluation under paragraph 
        (1) is based.
SEC. 20024. ADMINISTRATIVE PROVISIONS.
    Section 5334 of title 49, United States Code, is amended--
        (1) in subsection (a)(1), by striking ``under sections 5307 and 
    5309-5311 of this title'' and inserting ``that receives Federal 
    financial assistance under this chapter'';
        (2) in subsection (b)(1)--
            (A) by inserting after ``emergency,'' the following: ``or 
        for purposes of establishing and enforcing a program to improve 
        the safety of public transportation systems in the United 
        States as described in section 5329,''; and
            (B) by striking ``chapter, nor may the Secretary'' and 
        inserting ``chapter. The Secretary may not'';
        (3) in subsection (c)(4), by striking ``section (except 
    subsection (i)) and sections 5318(e), 5323(a)(2), 5325(a), 5325(b), 
    and 5325(f)'' and inserting ``subsection'';
        (4) in subsection (h)(3), by striking ``another'' and inserting 
    ``any other'';
        (5) in subsection (i)(1), by striking ``title 23 shall'' and 
    inserting ``title 23 may'';
        (6) by striking subsection (j); and
        (7) by redesignating subsections (k) and (l) as subsections (j) 
    and (k), respectively.
SEC. 20025. NATIONAL TRANSIT DATABASE.
    (a) Amendments.--Section 5335 of title 49, United States Code, is 
amended--
        (1) in subsection (a), by striking ``public transportation 
    financial and operating information'' and inserting ``public 
    transportation financial, operating, and asset condition 
    information''; and
        (2) by adding at the end the following:
    ``(c) Data Required to Be Reported.--The recipient of a grant under 
this chapter shall report to the Secretary, for inclusion in the 
National Transit Database, any information relating to a transit asset 
inventory or condition assessment conducted by the recipient.''.
    (b) Data Accuracy and Reliability.--The Secretary shall--
        (1) develop and implement appropriate internal control 
    activities to ensure that public transportation safety incident 
    data is reported accurately and reliably by public transportation 
    systems and State safety oversight agencies to the State Safety 
    Oversight Rail Accident Database; and
        (2) report to the Committee on Banking, Housing, and Urban 
    Affairs of the Senate and the Committee on Transportation and 
    Infrastructure of the House of Representatives within 1 year of 
    enactment of the Federal Public Transportation Act of 2012 on the 
    steps taken to improve the accuracy and reliability of public 
    transportation safety incident data reported to the State Safety 
    Oversight Rail Accident Database.
SEC. 20026. APPORTIONMENT OF APPROPRIATIONS FOR FORMULA GRANTS.
    Section 5336 of title 49, United States Code, is amended to read as 
follows:
``Sec. 5336. Apportionment of appropriations for formula grants
    ``(a) Based on Urbanized Area Population.--Of the amount 
apportioned under subsection (h)(4) to carry out section 5307--
        ``(1) 9.32 percent shall be apportioned each fiscal year only 
    in urbanized areas with a population of less than 200,000 so that 
    each of those areas is entitled to receive an amount equal to--
            ``(A) 50 percent of the total amount apportioned multiplied 
        by a ratio equal to the population of the area divided by the 
        total population of all urbanized areas with populations of 
        less than 200,000 as shown in the most recent decennial census; 
        and
            ``(B) 50 percent of the total amount apportioned multiplied 
        by a ratio for the area based on population weighted by a 
        factor, established by the Secretary, of the number of 
        inhabitants in each square mile; and
        ``(2) 90.68 percent shall be apportioned each fiscal year only 
    in urbanized areas with populations of at least 200,000 as provided 
    in subsections (b) and (c) of this section.
    ``(b) Based on Fixed Guideway Vehicle Revenue Miles, Directional 
Route Miles, and Passenger Miles.--(1) In this subsection, `fixed 
guideway vehicle revenue miles' and `fixed guideway directional route 
miles' include passenger ferry operations directly or under contract by 
the designated recipient.
    ``(2) Of the amount apportioned under subsection (a)(2) of this 
section, 33.29 percent shall be apportioned as follows:
        ``(A) 95.61 percent of the total amount apportioned under this 
    subsection shall be apportioned so that each urbanized area with a 
    population of at least 200,000 is entitled to receive an amount 
    equal to--
            ``(i) 60 percent of the 95.61 percent apportioned under 
        this subparagraph multiplied by a ratio equal to the number of 
        fixed guideway vehicle revenue miles attributable to the area, 
        as established by the Secretary, divided by the total number of 
        all fixed guideway vehicle revenue miles attributable to all 
        areas; and
            ``(ii) 40 percent of the 95.61 percent apportioned under 
        this subparagraph multiplied by a ratio equal to the number of 
        fixed guideway directional route miles attributable to the 
        area, established by the Secretary, divided by the total number 
        of all fixed guideway directional route miles attributable to 
        all areas.
    An urbanized area with a population of at least 750,000 in which 
    commuter rail transportation is provided shall receive at least .75 
    percent of the total amount apportioned under this subparagraph.
        ``(B) 4.39 percent of the total amount apportioned under this 
    subsection shall be apportioned so that each urbanized area with a 
    population of at least 200,000 is entitled to receive an amount 
    equal to--
            ``(i) the number of fixed guideway vehicle passenger miles 
        traveled multiplied by the number of fixed guideway vehicle 
        passenger miles traveled for each dollar of operating cost in 
        an area; divided by
            ``(ii) the total number of fixed guideway vehicle passenger 
        miles traveled multiplied by the total number of fixed guideway 
        vehicle passenger miles traveled for each dollar of operating 
        cost in all areas.
    An urbanized area with a population of at least 750,000 in which 
    commuter rail transportation is provided shall receive at least .75 
    percent of the total amount apportioned under this subparagraph.
        ``(C) Under subparagraph (A) of this paragraph, fixed guideway 
    vehicle revenue or directional route miles, and passengers served 
    on those miles, in an urbanized area with a population of less than 
    200,000, where the miles and passengers served otherwise would be 
    attributable to an urbanized area with a population of at least 
    1,000,000 in an adjacent State, are attributable to the 
    governmental authority in the State in which the urbanized area 
    with a population of less than 200,000 is located. The authority is 
    deemed an urbanized area with a population of at least 200,000 if 
    the authority makes a contract for the service.
        ``(D) A recipient's apportionment under subparagraph (A)(i) of 
    this paragraph may not be reduced if the recipient, after 
    satisfying the Secretary that energy or operating efficiencies 
    would be achieved, reduces vehicle revenue miles but provides the 
    same frequency of revenue service to the same number of riders.
        ``(E) For purposes of subparagraph (A) and section 5337(c)(3), 
    the Secretary shall deem to be attributable to an urbanized area 
    not less than 22.27 percent of the fixed guideway vehicle revenue 
    miles or fixed guideway directional route miles in the public 
    transportation system of a recipient that are located outside the 
    urbanized area for which the recipient receives funds, in addition 
    to the fixed guideway vehicle revenue miles or fixed guideway 
    directional route miles of the recipient that are located inside 
    the urbanized area.
    ``(c) Based on Bus Vehicle Revenue Miles and Passenger Miles.--Of 
the amount apportioned under subsection (a)(2) of this section, 66.71 
percent shall be apportioned as follows:
        ``(1) 90.8 percent of the total amount apportioned under this 
    subsection shall be apportioned as follows:
            ``(A) 73.39 percent of the 90.8 percent apportioned under 
        this paragraph shall be apportioned so that each urbanized area 
        with a population of at least 1,000,000 is entitled to receive 
        an amount equal to--
                ``(i) 50 percent of the 73.39 percent apportioned under 
            this subparagraph multiplied by a ratio equal to the total 
            bus vehicle revenue miles operated in or directly serving 
            the urbanized area divided by the total bus vehicle revenue 
            miles attributable to all areas;
                ``(ii) 25 percent of the 73.39 percent apportioned 
            under this subparagraph multiplied by a ratio equal to the 
            population of the area divided by the total population of 
            all areas, as shown in the most recent decennial census; 
            and
                ``(iii) 25 percent of the 73.39 percent apportioned 
            under this subparagraph multiplied by a ratio for the area 
            based on population weighted by a factor, established by 
            the Secretary, of the number of inhabitants in each square 
            mile.
            ``(B) 26.61 percent of the 90.8 percent apportioned under 
        this paragraph shall be apportioned so that each urbanized area 
        with a population of at least 200,000 but not more than 999,999 
        is entitled to receive an amount equal to--
                ``(i) 50 percent of the 26.61 percent apportioned under 
            this subparagraph multiplied by a ratio equal to the total 
            bus vehicle revenue miles operated in or directly serving 
            the urbanized area divided by the total bus vehicle revenue 
            miles attributable to all areas;
                ``(ii) 25 percent of the 26.61 percent apportioned 
            under this subparagraph multiplied by a ratio equal to the 
            population of the area divided by the total population of 
            all areas, as shown by the most recent decennial census; 
            and
                ``(iii) 25 percent of the 26.61 percent apportioned 
            under this subparagraph multiplied by a ratio for the area 
            based on population weighted by a factor, established by 
            the Secretary, of the number of inhabitants in each square 
            mile.
        ``(2) 9.2 percent of the total amount apportioned under this 
    subsection shall be apportioned so that each urbanized area with a 
    population of at least 200,000 is entitled to receive an amount 
    equal to--
            ``(A) the number of bus passenger miles traveled multiplied 
        by the number of bus passenger miles traveled for each dollar 
        of operating cost in an area; divided by
            ``(B) the total number of bus passenger miles traveled 
        multiplied by the total number of bus passenger miles traveled 
        for each dollar of operating cost in all areas.
    ``(d) Date of Apportionment.--The Secretary shall--
        ``(1) apportion amounts appropriated under section 
    5338(a)(2)(C) of this title to carry out section 5307 of this title 
    not later than the 10th day after the date the amounts are 
    appropriated or October 1 of the fiscal year for which the amounts 
    are appropriated, whichever is later; and
        ``(2) publish apportionments of the amounts, including amounts 
    attributable to each urbanized area with a population of more than 
    50,000 and amounts attributable to each State of a multistate 
    urbanized area, on the apportionment date.
    ``(e) Amounts Not Apportioned to Designated Recipients.--The 
Governor of a State may expend in an urbanized area with a population 
of less than 200,000 an amount apportioned under this section that is 
not apportioned to a designated recipient, as defined in section 
5302(4).
    ``(f) Transfers of Apportionments.--(1) The Governor of a State may 
transfer any part of the State's apportionment under subsection (a)(1) 
of this section to supplement amounts apportioned to the State under 
section 5311(c)(3). The Governor may make a transfer only after 
consulting with responsible local officials and publicly owned 
operators of public transportation in each area for which the amount 
originally was apportioned under this section.
    ``(2) The Governor of a State may transfer any part of the State's 
apportionment under section 5311(c)(3) to supplement amounts 
apportioned to the State under subsection (a)(1) of this section.
    ``(3) The Governor of a State may use throughout the State amounts 
of a State's apportionment remaining available for obligation at the 
beginning of the 90-day period before the period of the availability of 
the amounts expires.
    ``(4) A designated recipient for an urbanized area with a 
population of at least 200,000 may transfer a part of its apportionment 
under this section to the Governor of a State. The Governor shall 
distribute the transferred amounts to urbanized areas under this 
section.
    ``(5) Capital and operating assistance limitations applicable to 
the original apportionment apply to amounts transferred under this 
subsection.
    ``(g) Period of Availability to Recipients.--An amount apportioned 
under this section may be obligated by the recipient for 5 years after 
the fiscal year in which the amount is apportioned. Not later than 30 
days after the end of the 5-year period, an amount that is not 
obligated at the end of that period shall be added to the amount that 
may be apportioned under this section in the next fiscal year.
    ``(h) Apportionments.--Of the amounts made available for each 
fiscal year under section 5338(a)(2)(C)--
        ``(1) $30,000,000 shall be set aside to carry out section 
    5307(h);
        ``(2) 3.07 percent shall be apportioned to urbanized areas in 
    accordance with subsection (j);
        ``(3) of amounts not apportioned under paragraphs (1) and (2), 
    1.5 percent shall be apportioned to urbanized areas with 
    populations of less than 200,000 in accordance with subsection (i);
        ``(4) 0.5 percent shall be apportioned to eligible States for 
    State safety oversight program grants in accordance with section 
    5329(e)(6); and
        ``(5) any amount not apportioned under paragraphs (1), (2), 
    (3), and (4) shall be apportioned to urbanized areas in accordance 
    with subsections (a) through (c).
    ``(i) Small Transit Intensive Cities Formula.--
        ``(1) Definitions.--In this subsection, the following 
    definitions apply:
            ``(A) Eligible area.--The term `eligible area' means an 
        urbanized area with a population of less than 200,000 that 
        meets or exceeds in one or more performance categories the 
        industry average for all urbanized areas with a population of 
        at least 200,000 but not more than 999,999, as determined by 
        the Secretary in accordance with subsection (c)(2).
            ``(B) Performance category.--The term `performance 
        category' means each of the following:
                ``(i) Passenger miles traveled per vehicle revenue 
            mile.
                ``(ii) Passenger miles traveled per vehicle revenue 
            hour.
                ``(iii) Vehicle revenue miles per capita.
                ``(iv) Vehicle revenue hours per capita.
                ``(v) Passenger miles traveled per capita.
                ``(vi) Passengers per capita.
        ``(2) Apportionment.--
            ``(A) Apportionment formula.--The amount to be apportioned 
        under subsection (h)(3) shall be apportioned among eligible 
        areas in the ratio that--
                ``(i) the number of performance categories for which 
            each eligible area meets or exceeds the industry average in 
            urbanized areas with a population of at least 200,000 but 
            not more than 999,999; bears to
                ``(ii) the aggregate number of performance categories 
            for which all eligible areas meet or exceed the industry 
            average in urbanized areas with a population of at least 
            200,000 but not more than 999,999.
            ``(B) Data used in formula.--The Secretary shall calculate 
        apportionments under this subsection for a fiscal year using 
        data from the national transit database used to calculate 
        apportionments for that fiscal year under this section.
    ``(j) Apportionment Formula.--The amounts apportioned under 
subsection (h)(2) shall be apportioned among urbanized areas as 
follows:
        ``(1) 75 percent of the funds shall be apportioned among 
    designated recipients for urbanized areas with a population of 
    200,000 or more in the ratio that--
            ``(A) the number of eligible low-income individuals in each 
        such urbanized area; bears to
            ``(B) the number of eligible low-income individuals in all 
        such urbanized areas.
        ``(2) 25 percent of the funds shall be apportioned among 
    designated recipients for urbanized areas with a population of less 
    than 200,000 in the ratio that--
            ``(A) the number of eligible low-income individuals in each 
        such urbanized area; bears to
            ``(B) the number of eligible low-income individuals in all 
        such urbanized areas.''.
SEC. 20027. STATE OF GOOD REPAIR GRANTS.
    Section 5337 of title 49, United States Code, is amended to read as 
follows:
``Sec. 5337. State of good repair grants
    ``(a) Definitions.--In this section, the following definitions 
shall apply:
        ``(1) Fixed guideway.--The term `fixed guideway' means a public 
    transportation facility--
            ``(A) using and occupying a separate right-of-way for the 
        exclusive use of public transportation;
            ``(B) using rail;
            ``(C) using a fixed catenary system;
            ``(D) for a passenger ferry system; or
            ``(E) for a bus rapid transit system.
        ``(2) State.--The term `State' means the 50 States, the 
    District of Columbia, and Puerto Rico.
        ``(3) State of good repair.--The term `state of good repair' 
    has the meaning given that term by the Secretary, by rule, under 
    section 5326(b).
        ``(4) Transit asset management plan.--The term `transit asset 
    management plan' means a plan developed by a recipient of funding 
    under this chapter that--
            ``(A) includes, at a minimum, capital asset inventories and 
        condition assessments, decision support tools, and investment 
        prioritization; and
            ``(B) the recipient certifies that the recipient complies 
        with the rule issued under section 5326(d).
    ``(b) General Authority.--
        ``(1) Eligible projects.--The Secretary may make grants under 
    this section to assist State and local governmental authorities in 
    financing capital projects to maintain public transportation 
    systems in a state of good repair, including projects to replace 
    and rehabilitate--
            ``(A) rolling stock;
            ``(B) track;
            ``(C) line equipment and structures;
            ``(D) signals and communications;
            ``(E) power equipment and substations;
            ``(F) passenger stations and terminals;
            ``(G) security equipment and systems;
            ``(H) maintenance facilities and equipment;
            ``(I) operational support equipment, including computer 
        hardware and software;
            ``(J) development and implementation of a transit asset 
        management plan; and
            ``(K) other replacement and rehabilitation projects the 
        Secretary determines appropriate.
        ``(2) Inclusion in plan.--A recipient shall include a project 
    carried out under paragraph (1) in the transit asset management 
    plan of the recipient upon completion of the plan.
    ``(c) High Intensity Fixed Guideway State of Good Repair Formula.--
        ``(1) In general.--Of the amount authorized or made available 
    under section 5338(a)(2)(I), 97.15 percent shall be apportioned to 
    recipients in accordance with this subsection.
        ``(2) Area share.--
            ``(A) In general.--50 percent of the amount described in 
        paragraph (1) shall be apportioned for fixed guideway systems 
        in accordance with this paragraph.
            ``(B) Share.--A recipient shall receive an amount equal to 
        the amount described in subparagraph (A), multiplied by the 
        amount the recipient would have received under this section, as 
        in effect for fiscal year 2011, if the amount had been 
        calculated in accordance with section 5336(b)(1) and using the 
        definition of the term `fixed guideway' under subsection (a) of 
        this section, as such sections are in effect on the day after 
        the date of enactment of the Federal Public Transportation Act 
        of 2012, and divided by the total amount apportioned for all 
        areas under this section for fiscal year 2011.
            ``(C) Recipient.--For purposes of this paragraph, the term 
        `recipient' means an entity that received funding under this 
        section, as in effect for fiscal year 2011.
        ``(3) Vehicle revenue miles and directional route miles.--
            ``(A) In general.--50 percent of the amount described in 
        paragraph (1) shall be apportioned to recipients in accordance 
        with this paragraph.
            ``(B) Vehicle revenue miles.--A recipient in an urbanized 
        area shall receive an amount equal to 60 percent of the amount 
        described in subparagraph (A), multiplied by the number of 
        fixed guideway vehicle revenue miles attributable to the 
        urbanized area, as established by the Secretary, divided by the 
        total number of all fixed guideway vehicle revenue miles 
        attributable to all urbanized areas.
            ``(C) Directional route miles.--A recipient in an urbanized 
        area shall receive an amount equal to 40 percent of the amount 
        described in subparagraph (A), multiplied by the number of 
        fixed guideway directional route miles attributable to the 
        urbanized area, as established by the Secretary, divided by the 
        total number of all fixed guideway directional route miles 
        attributable to all urbanized areas.
        ``(4) Limitation.--
            ``(A) In general.--Except as provided in subparagraph (B), 
        the share of the total amount apportioned under this subsection 
        that is apportioned to an area under this subsection shall not 
        decrease by more than 0.25 percentage points compared to the 
        share apportioned to the area under this subsection in the 
        previous fiscal year.
            ``(B) Special rule for fiscal year 2013.--In fiscal year 
        2013, the share of the total amount apportioned under this 
        subsection that is apportioned to an area under this subsection 
        shall not decrease by more than 0.25 percentage points compared 
        to the share that would have been apportioned to the area under 
        this section, as in effect for fiscal year 2011, if the share 
        had been calculated using the definition of the term `fixed 
        guideway' under subsection (a) of this section, as in effect on 
        the day after the date of enactment of the Federal Public 
        Transportation Act of 2012.
        ``(5) Use of funds.--Amounts made available under this 
    subsection shall be available for the exclusive use of fixed 
    guideway projects.
        ``(6) Receiving apportionment.--
            ``(A) In general.--Except as provided in subparagraph (B), 
        for an area with a fixed guideway system, the amounts provided 
        under this subsection shall be apportioned to the designated 
        recipient for the urbanized area in which the system operates.
            ``(B) Exception.--An area described in the amendment made 
        by section 3028(a) of the Transportation Equity Act for the 
        21st Century (Public Law 105-178; 112 Stat. 366) shall receive 
        an individual apportionment under this subsection.
        ``(7) Apportionment requirements.--For purposes of determining 
    the number of fixed guideway vehicle revenue miles or fixed 
    guideway directional route miles attributable to an urbanized area 
    for a fiscal year under this subsection, only segments of fixed 
    guideway systems placed in revenue service not later than 7 years 
    before the first day of the fiscal year shall be deemed to be 
    attributable to an urbanized area.
    ``(d) High Intensity Motorbus State of Good Repair.--
        ``(1) Definition.--For purposes of this subsection, the term 
    `high intensity motorbus' means public transportation that is 
    provided on a facility with access for other high-occupancy 
    vehicles.
        ``(2) Apportionment.--Of the amount authorized or made 
    available under section 5338(a)(2)(I), 2.85 percent shall be 
    apportioned to urbanized areas for high intensity motorbus state of 
    good repair in accordance with this subsection.
        ``(3) Vehicle revenue miles and directional route miles.--
            ``(A) In general.--The amount described in paragraph (2) 
        shall be apportioned to each area in accordance with this 
        paragraph.
            ``(B) Vehicle revenue miles.--Each area shall receive an 
        amount equal to 60 percent of the amount described in 
        subparagraph (A), multiplied by the number of high intensity 
        motorbus vehicle revenue miles attributable to the area, as 
        established by the Secretary, divided by the total number of 
        all high intensity motorbus vehicle revenue miles attributable 
        to all areas.
            ``(C) Directional route miles.--Each area shall receive an 
        amount equal to 40 percent of the amount described in 
        subparagraph (A), multiplied by the number of high intensity 
        motorbus directional route miles attributable to the area, as 
        established by the Secretary, divided by the total number of 
        all high intensity motorbus directional route miles 
        attributable to all areas.
        ``(4) Apportionment requirements.--For purposes of determining 
    the number of high intensity motorbus vehicle revenue miles or high 
    intensity motorbus directional route miles attributable to an 
    urbanized area for a fiscal year under this subsection, only 
    segments of high intensity motorbus systems placed in revenue 
    service not later than 7 years before the first day of the fiscal 
    year shall be deemed to be attributable to an urbanized area.''.
SEC. 20028. AUTHORIZATIONS.
    Section 5338 of title 49, United States Code, is amended to read as 
follows:
``Sec. 5338. Authorizations
    ``(a) Formula Grants.--
        ``(1) In general.--There shall be available from the Mass 
    Transit Account of the Highway Trust Fund to carry out sections 
    5305, 5307, 5310, 5311, 5318, 5322(d), 5335, 5337, 5339, and 5340, 
    and section 20005(b) of the Federal Public Transportation Act of 
    2012, $8,478,000,000 for fiscal year 2013 and $8,595,000,000 for 
    fiscal year 2014.
        ``(2) Allocation of funds.--Of the amounts made available under 
    paragraph (1)--
            ``(A) $126,900,000 for fiscal year 2013 and $128,800,000 
        for fiscal year 2014 shall be available to carry out section 
        5305;
            ``(B) $10,000,000 for each of fiscal years 2013 and 2014 
        shall be available to carry out section 20005(b) of the Federal 
        Public Transportation Act of 2012;
            ``(C) $4,397,950,000 for fiscal year 2013 and 
        $4,458,650,000 for fiscal year 2014 shall be allocated in 
        accordance with section 5336 to provide financial assistance 
        for urbanized areas under section 5307;
            ``(D) $254,800,000 for fiscal year 2013 and $258,300,000 
        for fiscal year 2014 shall be available to provide financial 
        assistance for services for the enhanced mobility of seniors 
        and individuals with disabilities under section 5310;
            ``(E) $599,500,000 for fiscal year 2013 and $607,800,000 
        for fiscal year 2014 shall be available to provide financial 
        assistance for rural areas under section 5311, of which not 
        less than $30,000,000 for fiscal year 2013 and $30,000,000 for 
        fiscal year 2014 shall be available to carry out section 
        5311(c)(1) and $20,000,000 for fiscal year 2013 and $20,000,000 
        for fiscal year 2014 shall be available to carry out section 
        5311(c)(2);
            ``(F) $3,000,000 for each of fiscal years 2013 and 2014 
        shall be available for bus testing under section 5318;
            ``(G) $5,000,000 for each of fiscal years 2013 and 2014 
        shall be available for the national transit institute under 
        section 5322(d);
            ``(H) $3,850,000 for each of fiscal years 2013 and 2014 
        shall be available to carry out section 5335;
            ``(I) $2,136,300,000 for fiscal year 2013 and 
        $2,165,900,000 for fiscal year 2014 shall be available to carry 
        out section 5337;
            ``(J) $422,000,000 for fiscal year 2013 and $427,800,000 
        for fiscal year 2014 shall be available for the bus and bus 
        facilities program under section 5339; and
            ``(K) $518,700,000 for fiscal year 2013 and $525,900,000 
        for fiscal year 2014 shall be allocated in accordance with 
        section 5340 to provide financial assistance for urbanized 
        areas under section 5307 and rural areas under section 5311.
    ``(b) Research, Development Demonstration and Deployment 
Projects.--There are authorized to be appropriated to carry out section 
5312, $70,000,000 for fiscal year 2013 and $70,000,000 for fiscal year 
2014.
    ``(c) Transit Cooperative Research Program.--There are authorized 
to be appropriated to carry out section 5313, $7,000,000 for fiscal 
year 2013 and $7,000,000 for fiscal year 2014.
    ``(d) Technical Assistance and Standards Development.--There are 
authorized to be appropriated to carry out section 5314, $7,000,000 for 
fiscal year 2013 and $7,000,000 for fiscal year 2014.
    ``(e) Human Resources and Training.--There are authorized to be 
appropriated to carry out subsections (a), (b), (c), and (e) of section 
5322, $5,000,000 for fiscal year 2013 and $5,000,000 for fiscal year 
2014.
    ``(f) Emergency Relief Program.--There are authorized to be 
appropriated such sums as are necessary to carry out section 5324.
    ``(g) Capital Investment Grants.--There are authorized to be 
appropriated to carry out section 5309, $1,907,000,000 for fiscal year 
2013 and $1,907,000,000 for fiscal year 2014.
    ``(h) Administration.--
        ``(1) In general.--There are authorized to be appropriated to 
    carry out section 5334, $104,000,000 for fiscal year 2013 and 
    $104,000,000 for fiscal year 2014.
        ``(2) Section 5329.--Of the amounts authorized to be 
    appropriated under paragraph (1), not less than $5,000,000 shall be 
    available to carry out section 5329.
        ``(3) Section 5326.--Of the amounts made available under 
    paragraph (2), not less than $1,000,000 shall be available to carry 
    out section 5326.
    ``(i) Oversight.--
        ``(1) In general.--Of the amounts made available to carry out 
    this chapter for a fiscal year, the Secretary may use not more than 
    the following amounts for the activities described in paragraph 
    (2):
            ``(A) 0.5 percent of amounts made available to carry out 
        section 5305.
            ``(B) 0.75 percent of amounts made available to carry out 
        section 5307.
            ``(C) 1 percent of amounts made available to carry out 
        section 5309.
            ``(D) 1 percent of amounts made available to carry out 
        section 601 of the Passenger Rail Investment and Improvement 
        Act of 2008 (Public Law 110-432; 126 Stat. 4968).
            ``(E) 0.5 percent of amounts made available to carry out 
        section 5310.
            ``(F) 0.5 percent of amounts made available to carry out 
        section 5311.
            ``(G) 0.75 percent of amounts made available to carry out 
        section 5337(c).
        ``(2) Activities.--The activities described in this paragraph 
    are as follows:
            ``(A) Activities to oversee the construction of a major 
        capital project.
            ``(B) Activities to review and audit the safety and 
        security, procurement, management, and financial compliance of 
        a recipient or subrecipient of funds under this chapter.
            ``(C) Activities to provide technical assistance generally, 
        and to provide technical assistance to correct deficiencies 
        identified in compliance reviews and audits carried out under 
        this section.
        ``(3) Government share of costs.--The Government shall pay the 
    entire cost of carrying out a contract under this subsection.
        ``(4) Availability of certain funds.--Funds made available 
    under paragraph (1)(C) shall be made available to the Secretary 
    before allocating the funds appropriated to carry out any project 
    under a full funding grant agreement.
    ``(j) Grants as Contractual Obligations.--
        ``(1) Grants financed from highway trust fund.--A grant or 
    contract that is approved by the Secretary and financed with 
    amounts made available from the Mass Transit Account of the Highway 
    Trust Fund pursuant to this section is a contractual obligation of 
    the Government to pay the Government share of the cost of the 
    project.
        ``(2) Grants financed from general fund.--A grant or contract 
    that is approved by the Secretary and financed with amounts 
    appropriated in advance from the General Fund of the Treasury 
    pursuant to this section is a contractual obligation of the 
    Government to pay the Government share of the cost of the project 
    only to the extent that amounts are appropriated for such purpose 
    by an Act of Congress.
    ``(k) Availability of Amounts.--Amounts made available by or 
appropriated under this section shall remain available until 
expended.''.
SEC. 20029. BUS AND BUS FACILITIES FORMULA GRANTS.
    (a) In General.--Section 5339 of title 49, United States Code, is 
amended to read as follows:
``Sec. 5339. Bus and bus facilities formula grants
    ``(a) General Authority.--The Secretary may make grants under this 
section to assist eligible recipients described in subsection (c)(1) in 
financing capital projects--
        ``(1) to replace, rehabilitate, and purchase buses and related 
    equipment; and
        ``(2) to construct bus-related facilities.
    ``(b) Grant Requirements.--The requirements of section 5307 apply 
to recipients of grants made under this section.
    ``(c) Eligible Recipients and Subrecipients.--
        ``(1) Recipients.--Eligible recipients under this section are 
    designated recipients that operate fixed route bus service or that 
    allocate funding to fixed route bus operators.
        ``(2) Subrecipients.--A designated recipient that receives a 
    grant under this section may allocate amounts of the grant to 
    subrecipients that are public agencies or private nonprofit 
    organizations engaged in public transportation.
    ``(d) Distribution of Grant Funds.--Funds allocated under section 
5338(a)(2)(J) shall be distributed as follows:
        ``(1) National distribution.--$65,500,000 shall be allocated to 
    all States and territories, with each State receiving $1,250,000 
    and each territory receiving $500,000.
        ``(2) Distribution using population and service factors.--The 
    remainder of the funds not otherwise distributed under paragraph 
    (1) shall be allocated pursuant to the formula set forth in section 
    5336 other than subsection (b).
    ``(e) Transfers of Apportionments.--
        ``(1) Transfer flexibility for national distribution funds.--
    The Governor of a State may transfer any part of the State's 
    apportionment under subsection (d)(1) to supplement amounts 
    apportioned to the State under section 5311(c) of this title or 
    amounts apportioned to urbanized areas under subsections (a) and 
    (c) of section 5336 of this title.
        ``(2) Transfer flexibility for population and service factors 
    funds.--The Governor of a State may expend in an urbanized area 
    with a population of less than 200,000 any amounts apportioned 
    under subsection (d)(2) that are not allocated to designated 
    recipients in urbanized areas with a population of 200,000 or more.
    ``(f) Government's Share of Costs.--
        ``(1) Capital projects.--A grant for a capital project under 
    this section shall be for 80 percent of the net capital costs of 
    the project. A recipient of a grant under this section may provide 
    additional local matching amounts.
        ``(2) Remaining costs.--The remainder of the net project cost 
    shall be provided--
            ``(A) in cash from non-Government sources other than 
        revenues from providing public transportation services;
            ``(B) from revenues derived from the sale of advertising 
        and concessions;
            ``(C) from an undistributed cash surplus, a replacement or 
        depreciation cash fund or reserve, or new capital; or
            ``(D) from amounts received under a service agreement with 
        a State or local social service agency or private social 
        service organization.
    ``(g) Period of Availability to Recipients.--Amounts made available 
under this section may be obligated by a recipient for 3 years after 
the fiscal year in which the amount is apportioned. Not later than 30 
days after the end of the 3-year period described in the preceding 
sentence, any amount that is not obligated on the last day of that 
period shall be added to the amount that may be apportioned under this 
section in the next fiscal year.
    ``(h) Definitions.--For purposes of this section:
        ``(1) The term `State' means a State of the United States.
        ``(2) The term `territory' means the District of Columbia, 
    Puerto Rico, the Northern Mariana Islands, Guam, American Samoa, 
    and the United States Virgin Islands.''.
SEC. 20030. TECHNICAL AND CONFORMING AMENDMENTS.
    (a) Section 5305.--Section 5305 of title 49, United States Code, is 
amended--
        (1) in subsection (e)(1)(A), by striking ``sections 5304, 5306, 
    5315, and 5322'' and inserting ``section 5304 and 5306'';
        (2) in subsection (f)--
            (A) in the heading, by striking ``Government's'' and 
        inserting ``Government''; and
            (B) by striking ``Government's'' and inserting 
        ``Government''; and
        (3) in subsection (g), by striking ``section 5338(c) for fiscal 
    years 2005 through 2012'' and inserting ``section 5338(a)(2)(A) for 
    a fiscal year''.
    (b) Section 5313.--Section 5313(a) of title 49, United States Code, 
is amended--
        (1) in the first sentence, by striking ``subsections 
    (a)(5)(C)(iii) and (d)(1) of section 5338'' and inserting section 
    ``5338(c)''; and
        (2) in the second sentence, by striking ``of Transportation''.
    (c) Section 5319.--Section 5319 of title 49, United States Code, is 
amended, in the second sentence--
        (1) by striking ``sections 5307(e), 5309(h), and 5311(g) of 
    this title'' and inserting ``sections 5307(d), 5309(l), and 
    5311(g)''; and
        (2) by striking ``of the United States'' and inserting ``made 
    by the''.
    (d) Section 5325.--Section 5325(b)(2)(A) of title 49, United States 
Code, is amended by striking ``title 48, Code of Federal Regulations 
(commonly known as the Federal Acquisition Regulation)'' and inserting 
``the Federal Acquisition Regulation, or any successor thereto''.
    (e) Section 5330.--Effective 3 years after the effective date of 
the final rules issued by the Secretary of Transportation under section 
5329(e) of title 49, United States Code, as amended by this division, 
section 5330 of title 49, United States Code, is repealed.
    (f) Section 5331.--Section 5331 of title 49, United States Code, is 
amended by striking ``Secretary of Transportation'' each place that 
term appears and inserting ``Secretary''.
    (g) Section 5332.--Section 5332(c)(1) of title 49, United States 
Code, is amended by striking ``of Transportation''.
    (h) Section 5333.--Section 5333(a) of title 49, United States Code, 
is amended by striking ``sections 3141-3144'' and inserting ``sections 
3141 through 3144''.
    (i) Section 5334.--Section 5334 of title 49, United States Code, is 
amended--
        (1) in subsection (c)--
            (A) by striking ``Secretary of Transportation'' each place 
        that term appears and inserting ``Secretary''; and
            (B) in paragraph (1), by striking ``Committees on 
        Transportation and Infrastructure and Appropriations of the 
        House of Representatives and the Committees on Banking, 
        Housing, and Urban Affairs and Appropriations of the Senate'' 
        and inserting ``Committee on Banking, Housing, and Urban 
        Affairs and the Committee on Appropriations of the Senate and 
        the Committee on Transportation and Infrastructure and the 
        Committee on Appropriations of the House of Representatives'';
        (2) in subsection (d), by striking ``of Transportation'';
        (3) in subsection (e), by striking ``of Transportation'';
        (4) in subsection (f), by striking ``of Transportation'';
        (5) in subsection (g), in the matter preceding paragraph (1)--
            (A) by striking ``of Transportation''; and
            (B) by striking ``subsection (a)(3) or (4) of this 
        section'' and inserting ``paragraph (3) or (4) of subsection 
        (a)'';
        (6) in subsection (h)--
            (A) in paragraph (1), in the matter preceding subparagraph 
        (A), by striking ``of Transportation''; and
            (B) in paragraph (2), by striking ``of this section'';
        (7) in subsection (i)(1), by striking ``of Transportation''; 
    and
        (8) in subsection (j), as so redesignated by section 20025 of 
    this division, by striking ``Committees on Banking, Housing, and 
    Urban Affairs and Appropriations of the Senate and Committees on 
    Transportation and Infrastructure and Appropriations of the House 
    of Representatives'' and inserting ``Committee on Banking, Housing, 
    and Urban Affairs and the Committee on Appropriations of the Senate 
    and the Committee on Transportation and Infrastructure and the 
    Committee on Appropriations of the House of Representatives''.
    (j) Section 5335.--Section 5335(a) of title 49, United States Code, 
is amended by striking ``of Transportation''.
    (k) Analysis.--The analysis for chapter 53 of title 49, United 
States Code, is amended to read as follows:

``Sec.
``5301. Policies and purposes.
``5302. Definitions.
``5303. Metropolitan transportation planning.
``5304. Statewide and nonmetropolitan transportation planning.
``5305. Planning programs.
``5306. Private enterprise participation in metropolitan planning and 
          transportation improvement programs and relationship to other 
          limitations.
``5307. Urbanized area formula grants.
``[5308. Repealed.]
``5309. Fixed guideway capital investment grants.
``5310. Formula grants for the enhanced mobility of seniors and 
          individuals with disabilities.
``5311. Formula grants for rural areas.
``5312. Research, development, demonstration, and deployment projects.
``5313. Transit cooperative research program.
``5314. Technical assistance and standards development.
``5315. Private sector participation.
``[5316. Repealed.]
``[5317. Repealed.]
``5318. Bus testing facility.
``5319. Bicycle facilities.
``[5320.Repealed.]
``5321. Crime prevention and security.
``5322. Human resources and training.
``5323. General provisions.
``5324. Public transportation emergency relief program.
``5325. Contract requirements.
``5326. Transit asset management.
``5327. Project management oversight.
``[5328. Repealed.]
``5329. Public transportation safety program.
``5330. State safety oversight.
``5331. Alcohol and controlled substances testing.
``5332. Nondiscrimination.
``5333. Labor standards.
``5334. Administrative provisions.
``5335. National transit database.
``5336. Apportionment of appropriations for formula grants.
``5337. State of good repair grants.
``5338. Authorizations.
``5339. Bus and bus facilities formula grants.
``5340. Apportionments based on growing States and high density States 
          formula factors.''.

  DIVISION C--TRANSPORTATION SAFETY AND SURFACE TRANSPORTATION POLICY
   TITLE I--MOTOR VEHICLE AND HIGHWAY SAFETY IMPROVEMENT ACT OF 2012

SEC. 31001. SHORT TITLE.
    This title may be cited as the ``Motor Vehicle and Highway Safety 
Improvement Act of 2012'' or ``Mariah's Act''.
SEC. 31002. DEFINITION.
    In this title, the term ``Secretary'' means the Secretary of 
Transportation.

                       Subtitle A--Highway Safety

SEC. 31101. AUTHORIZATION OF APPROPRIATIONS.
    (a) In General.--The following sums are authorized to be 
appropriated out of the Highway Trust Fund (other than the Mass Transit 
Account):
        (1) Highway safety programs.--For carrying out section 402 of 
    title 23, United States Code--
            (A) $235,000,000 for fiscal year 2013; and
            (B) $235,000,000 for fiscal year 2014.
        (2) Highway safety research and development.--For carrying out 
    section 403 of title 23, United States Code--
            (A) $110,500,000 for fiscal year 2013; and
            (B) $113,500,000 for fiscal year 2014.
        (3) National priority safety programs.--For carrying out 
    section 405 of title 23, United States Code--
            (A) $265,000,000 for fiscal year 2013; and
            (B) $272,000,000 for fiscal year 2014.
        (4) National driver register.--For the National Highway Traffic 
    Safety Administration to carry out chapter 303 of title 49, United 
    States Code--
            (A) $5,000,000 for fiscal year 2013; and
            (B) $5,000,000 for fiscal year 2014.
        (5) High visibility enforcement program.--For carrying out 
    section 2009 of SAFETEA-LU (23 U.S.C. 402 note)--
            (A) $29,000,000 for fiscal year 2013; and
            (B) $29,000,000 for fiscal year 2014.
        (6) Administrative expenses.--For administrative and related 
    operating expenses of the National Highway Traffic Safety 
    Administration in carrying out chapter 4 of title 23, United States 
    Code, and this subtitle--
            (A) $25,500,000 for fiscal year 2013; and
            (B) $25,500,000 for fiscal year 2014.
    (b) Prohibition on Other Uses.--Except as otherwise provided in 
chapter 4 of title 23, United States Code, in this subtitle, and in the 
amendments made by this subtitle, the amounts made available from the 
Highway Trust Fund (other than the Mass Transit Account) for a program 
under such chapter--
        (1) shall only be used to carry out such program; and
        (2) may not be used by States or local governments for 
    construction purposes.
    (c) Applicability of Title 23.--Except as otherwise provided in 
chapter 4 of title 23, United States Code, and in this subtitle, 
amounts made available under subsection (a) for fiscal years 2013 and 
2014 shall be available for obligation in the same manner as if such 
funds were apportioned under chapter 1 of title 23, United States Code.
    (d) Regulatory Authority.--Grants awarded under this subtitle shall 
be in accordance with regulations issued by the Secretary.
    (e) State Matching Requirements.--If a grant awarded under this 
subtitle requires a State to share in the cost, the aggregate of all 
expenditures for highway safety activities made during any fiscal year 
by the State and its political subdivisions (exclusive of Federal 
funds) for carrying out the grant (other than planning and 
administration) shall be available for the purpose of crediting the 
State during such fiscal year for the non-Federal share of the cost of 
any project under this subtitle (other than planning or administration) 
without regard to whether such expenditures were actually made in 
connection with such project.
    (f) Grant Application and Deadline.--To receive a grant under this 
subtitle, a State shall submit an application, and the Secretary shall 
establish a single deadline for such applications to enable the award 
of grants early in the next fiscal year.
SEC. 31102. HIGHWAY SAFETY PROGRAMS.
    (a) Programs Included.--Section 402(a) of title 23, United States 
Code, is amended to read as follows:
    ``(a) Program Required.--
        ``(1) In general.--Each State shall have a highway safety 
    program, approved by the Secretary, that is designed to reduce 
    traffic accidents and the resulting deaths, injuries, and property 
    damage.
        ``(2) Uniform guidelines.--Programs required under paragraph 
    (1) shall comply with uniform guidelines, promulgated by the 
    Secretary and expressed in terms of performance criteria, that--
            ``(A) include programs--
                ``(i) to reduce injuries and deaths resulting from 
            motor vehicles being driven in excess of posted speed 
            limits;
                ``(ii) to encourage the proper use of occupant 
            protection devices (including the use of safety belts and 
            child restraint systems) by occupants of motor vehicles;
                ``(iii) to reduce injuries and deaths resulting from 
            persons driving motor vehicles while impaired by alcohol or 
            a controlled substance;
                ``(iv) to prevent accidents and reduce injuries and 
            deaths resulting from accidents involving motor vehicles 
            and motorcycles;
                ``(v) to reduce injuries and deaths resulting from 
            accidents involving school buses;
                ``(vi) to reduce accidents resulting from unsafe 
            driving behavior (including aggressive or fatigued driving 
            and distracted driving arising from the use of electronic 
            devices in vehicles); and
                ``(vii) to improve law enforcement services in motor 
            vehicle accident prevention, traffic supervision, and post-
            accident procedures;
            ``(B) improve driver performance, including--
                ``(i) driver education;
                ``(ii) driver testing to determine proficiency to 
            operate motor vehicles; and
                ``(iii) driver examinations (physical, mental, and 
            driver licensing);
            ``(C) improve pedestrian performance and bicycle safety;
            ``(D) include provisions for--
                ``(i) an effective record system of accidents 
            (including resulting injuries and deaths);
                ``(ii) accident investigations to determine the 
            probable causes of accidents, injuries, and deaths;
                ``(iii) vehicle registration, operation, and 
            inspection; and
                ``(iv) emergency services; and
            ``(E) to the extent determined appropriate by the 
        Secretary, are applicable to federally administered areas where 
        a Federal department or agency controls the highways or 
        supervises traffic operations.''.
    (b) Administration of State Programs.--Section 402(b) of title 23, 
United States Code, is amended--
        (1) in paragraph (1)--
            (A) in subparagraph (D), by striking ``and'' at the end;
            (B) by redesignating subparagraph (E) as subparagraph (F);
            (C) by inserting after subparagraph (D) the following:
            ``(E) beginning on the first day of the first fiscal year 
        after the date of enactment of the Motor Vehicle and Highway 
        Safety Improvement Act of 2012 in which a State submits its 
        highway safety plan under subsection (f), provide for a data-
        driven traffic safety enforcement program to prevent traffic 
        violations, crashes, and crash fatalities and injuries in areas 
        most at risk for such incidents, to the satisfaction of the 
        Secretary;''; and
            (D) in subparagraph (F), as redesignated--
                (i) in clause (i), by inserting ``and high-visibility 
            law enforcement mobilizations coordinated by the 
            Secretary'' after ``mobilizations'';
                (ii) in clause (iii), by striking ``and'' at the end;
                (iii) in clause (iv), by striking the period at the end 
            and inserting ``; and''; and
                (iv) by adding at the end the following:
                ``(v) ensuring that the State will coordinate its 
            highway safety plan, data collection, and information 
            systems with the State strategic highway safety plan (as 
            defined in section 148(a)).''; and
        (2) by striking paragraph (3).
    (c) Approved Highway Safety Programs.--Section 402(c) of title 23, 
United States Code, is amended--
        (1) by striking ``(c) Funds authorized'' and inserting the 
    following:
    ``(c) Use of Funds.--
        ``(1) In general.--Funds authorized'';
        (2) by striking ``Such funds'' and inserting the following:
        ``(2) Apportionment.--Except for amounts identified in section 
    403(f), funds described in paragraph (1)'';
        (3) by striking ``The Secretary shall not'' and all that 
    follows through ``subsection, a highway safety program'' and 
    inserting ``A highway safety program'';
        (4) by inserting ``A State may use the funds apportioned under 
    this section, in cooperation with neighboring States, for highway 
    safety programs or related projects that may confer benefits on 
    such neighboring States.'' after ``in every State.'';
        (5) by striking ``50 per centum'' and inserting ``20 percent''; 
    and
        (6) by striking ``The Secretary shall promptly'' and all that 
    follows and inserting the following:
        ``(3) Reapportionment.--The Secretary shall promptly apportion 
    the funds withheld from a State's apportionment to the State if the 
    Secretary approves the State's highway safety program or determines 
    that the State has begun implementing an approved program, as 
    appropriate, not later than July 31st of the fiscal year for which 
    the funds were withheld. If the Secretary determines that the State 
    did not correct its failure within such period, the Secretary shall 
    reapportion the withheld funds to the other States in accordance 
    with the formula specified in paragraph (2) not later than the last 
    day of the fiscal year.
        ``(4) Automated traffic enforcement systems.--
            ``(A) Prohibition.--A State may not expend funds 
        apportioned to that State under this section to carry out a 
        program to purchase, operate, or maintain an automated traffic 
        enforcement system.
            ``(B) Automated traffic enforcement system defined.--In 
        this paragraph, the term `automated traffic enforcement system' 
        means any camera which captures an image of a vehicle for the 
        purposes only of red light and speed enforcement, and does not 
        include hand held radar and other devices operated by law 
        enforcement officers to make an on-the-scene traffic stop, 
        issue a traffic citation, or other enforcement action at the 
        time of the violation.''.
    (d) Use of Highway Safety Program Funds.--Section 402(g) of title 
23, United States Code, is amended to read as follows:
    ``(g) Savings Provision.--
        ``(1) In general.--Except as provided under paragraph (2), 
    nothing in this section may be construed to authorize the 
    appropriation or expenditure of funds for--
            ``(A) highway construction, maintenance, or design (other 
        than design of safety features of highways to be incorporated 
        into guidelines); or
            ``(B) any purpose for which funds are authorized under 
        section 403.
        ``(2) Demonstration projects.--A State may use funds made 
    available to carry out this section to assist in demonstration 
    projects carried out by the Secretary under section 403.''.
    (e) In General.--Section 402 of title 23, United States Code, is 
amended--
        (1) by striking subsections (k) and (m);
        (2) by redesignating subsections (i) and (j) as subsections (h) 
    and (i), respectively; and
        (3) by redesignating subsection (l) as subsection (j).
    (f) Highway Safety Plan and Reporting Requirements.--Section 402 of 
title 23, United States Code, as amended by this section, is further 
amended by adding at the end the following:
    ``(k) Highway Safety Plan and Reporting Requirements.--
        ``(1) In general.--With respect to fiscal year 2014, and each 
    fiscal year thereafter, the Secretary shall require each State, as 
    a condition of the approval of the State's highway safety program 
    for that fiscal year, to develop and submit to the Secretary for 
    approval a highway safety plan that complies with the requirements 
    under this subsection.
        ``(2) Timing.--Each State shall submit to the Secretary the 
    highway safety plan not later than July 1st of the fiscal year 
    preceding the fiscal year to which the plan applies.
        ``(3) Contents.--State highway safety plans submitted under 
    paragraph (1) shall include--
            ``(A) performance measures required by the Secretary or 
        otherwise necessary to support additional State safety goals, 
        including--
                ``(i) documentation of current safety levels for each 
            performance measure;
                ``(ii) quantifiable annual performance targets for each 
            performance measure; and
                ``(iii) a justification for each performance target, 
            that explains why each target is appropriate and evidence-
            based;
            ``(B) a strategy for programming funds apportioned to the 
        State under this section on projects and activities that will 
        allow the State to meet the performance targets described in 
        subparagraph (A);
            ``(C) data and data analysis supporting the effectiveness 
        of proposed countermeasures;
            ``(D) a description of any Federal, State, local, or 
        private funds that the State plans to use, in addition to funds 
        apportioned to the State under this section, to carry out the 
        strategy described in subparagraph (B);
            ``(E) for the fiscal year preceding the fiscal year to 
        which the plan applies, a report on the State's success in 
        meeting State safety goals and performance targets set forth in 
        the previous year's highway safety plan; and
            ``(F) an application for any additional grants available to 
        the State under this chapter.
        ``(4) Performance measures.--For the first highway safety plan 
    submitted under this subsection, the performance measures required 
    by the Secretary under paragraph (2)(A) shall be limited to those 
    developed by the National Highway Traffic Safety Administration and 
    the Governor's Highway Safety Association and described in the 
    report, `Traffic Safety Performance Measures for States and Federal 
    Agencies' (DOT HS 811 025). For subsequent highway safety plans, 
    the Secretary shall coordinate with the Governor's Highway Safety 
    Association in making revisions to the set of required performance 
    measures.
        ``(5) Review of highway safety plans.--
            ``(A) In general.--Not later than 60 days after the date on 
        which a State's highway safety plan is received by the 
        Secretary, the Secretary shall review and approve or disapprove 
        the plan.
            ``(B) Approvals and disapprovals.--
                ``(i) Approvals.--The Secretary shall approve a State's 
            highway safety plan if the Secretary determines that--

                    ``(I) the plan and the performance targets 
                contained in the plan are evidence-based and supported 
                by data; and
                    ``(II) the plan, once implemented, will allow the 
                State to meet the State's performance targets.

                ``(ii) Disapprovals.--The Secretary shall disapprove a 
            State's highway safety plan if the Secretary determines 
            that--

                    ``(I) the plan and the performance targets 
                contained in the plan are not evidence-based or 
                supported by data; or
                    ``(II) the plan does not provide for programming of 
                funding in a manner sufficient to allow the State to 
                meet the State's performance targets.

            ``(C) Actions upon disapproval.--If the Secretary 
        disapproves a State's highway safety plan, the Secretary 
        shall--
                ``(i) inform the State of the reasons for such 
            disapproval; and
                ``(ii) require the State to resubmit the plan with any 
            modifications that the Secretary determines to be 
            necessary.
            ``(D) Review of resubmitted plans.--If the Secretary 
        requires a State to resubmit a highway safety plan, with 
        modifications, the Secretary shall review and approve or 
        disapprove the modified plan not later than 30 days after the 
        date on which the Secretary receives such plan.
            ``(E) Public notice.--A State shall make the State's 
        highway safety plan, and decisions of the Secretary concerning 
        approval or disapproval of a revised plan, available to the 
        public.''.
    (g) Teen Traffic Safety Program.--Section 402 of title 23, United 
States Code, as amended by this section, is further amended by adding 
at the end the following:
    ``(m) Teen Traffic Safety.--
        ``(1) In general.--Subject to the requirements of a State's 
    highway safety plan, as approved by the Secretary under subsection 
    (k), a State may use a portion of the amounts received under this 
    section to implement statewide efforts to improve traffic safety 
    for teen drivers.
        ``(2) Use of funds.--Statewide efforts under paragraph (1)--
            ``(A) shall include peer-to-peer education and prevention 
        strategies in schools and communities designed to--
                ``(i) increase safety belt use;
                ``(ii) reduce speeding;
                ``(iii) reduce impaired and distracted driving;
                ``(iv) reduce underage drinking; and
                ``(v) reduce other behaviors by teen drivers that lead 
            to injuries and fatalities; and
            ``(B) may include--
                ``(i) working with student-led groups and school 
            advisors to plan and implement teen traffic safety 
            programs;
                ``(ii) providing subgrants to schools throughout the 
            State to support the establishment and expansion of student 
            groups focused on teen traffic safety;
                ``(iii) providing support, training, and technical 
            assistance to establish and expand school and community 
            safety programs for teen drivers;
                ``(iv) creating statewide or regional websites to 
            publicize and circulate information on teen safety 
            programs;
                ``(v) conducting outreach and providing educational 
            resources for parents;
                ``(vi) establishing State or regional advisory councils 
            comprised of teen drivers to provide input and 
            recommendations to the governor and the governor's safety 
            representative on issues related to the safety of teen 
            drivers;
                ``(vii) collaborating with law enforcement; and
                ``(viii) establishing partnerships and promoting 
            coordination among community stakeholders, including 
            public, not-for-profit, and for profit entities.''.
    (h) Biennial Report to Congress.--Section 402 of title 23, United 
States Code, as amended by this section, is further amended by adding 
at the end the following:
    ``(n) Biennial Report to Congress.--Not later than October 1, 2015, 
and biennially thereafter, the Secretary shall submit a report to the 
Committee on Transportation and Infrastructure of the House of 
Representatives and the Committee on Commerce, Science, and 
Transportation of the Senate that contains--
        ``(1) an evaluation of each State's performance with respect to 
    the State's highway safety plan under subsection (k) and 
    performance targets set by the States in such plans; and
        ``(2) such recommendations as the Secretary may have for 
    improvements to activities carried out under subsection (k).''.
SEC. 31103. HIGHWAY SAFETY RESEARCH AND DEVELOPMENT.
    Section 403 of title 23, United States Code, is amended--
        (1) by striking subsections (a) through (f) and inserting the 
    following:
    ``(a) Defined Term.--In this section, the term `Federal laboratory' 
includes--
        ``(1) a government-owned, government-operated laboratory; and
        ``(2) a government-owned, contractor-operated laboratory.
    ``(b) General Authority.--
        ``(1) Research and development activities.--The Secretary may 
    conduct research and development activities, including 
    demonstration projects and the collection and analysis of highway 
    and motor vehicle safety data and related information needed to 
    carry out this section, with respect to--
            ``(A) all aspects of highway and traffic safety systems and 
        conditions relating to--
                ``(i) vehicle, highway, driver, passenger, 
            motorcyclist, bicyclist, and pedestrian characteristics;
                ``(ii) accident causation and investigations;
                ``(iii) communications; and
                ``(iv) emergency medical services, including the 
            transportation of the injured;
            ``(B) human behavioral factors and their effect on highway 
        and traffic safety, including--
                ``(i) driver education;
                ``(ii) impaired driving; and
                ``(iii) distracted driving;
            ``(C) an evaluation of the effectiveness of countermeasures 
        to increase highway and traffic safety, including occupant 
        protection and alcohol- and drug-impaired driving technologies 
        and initiatives;
            ``(D) the development of technologies to detect drug 
        impaired drivers;
            ``(E) research on, evaluations of, and identification of 
        best practices related to driver education programs (including 
        driver education curricula, instructor training and 
        certification, program administration, and delivery mechanisms) 
        and make recommendations for harmonizing driver education and 
        multistage graduated licensing systems; and
            ``(F) the effect of State laws on any aspects, activities, 
        or programs described in subparagraphs (A) through (E).
        ``(2) Cooperation, grants, and contracts.--The Secretary may 
    carry out this section--
            ``(A) independently;
            ``(B) in cooperation with other Federal departments, 
        agencies, and instrumentalities and Federal laboratories;
            ``(C) by entering into contracts, cooperative agreements, 
        and other transactions with the National Academy of Sciences, 
        any Federal laboratory, State or local agency, authority, 
        association, institution, or person (as defined in chapter 1 of 
        title 1); or
            ``(D) by making grants to the National Academy of Sciences, 
        any Federal laboratory, State or local agency, authority, 
        association, institution, or person (as defined in chapter 1 of 
        title 1).
    ``(c) Collaborative Research and Development.--
        ``(1) In general.--To encourage innovative solutions to highway 
    safety problems, stimulate voluntary improvements in highway 
    safety, and stimulate the marketing of new highway safety related 
    technology by private industry, the Secretary is authorized to 
    carry out, on a cost-shared basis, collaborative research and 
    development with--
            ``(A) non-Federal entities, including State and local 
        governments, colleges, universities, corporations, 
        partnerships, sole proprietorships, organizations, and trade 
        associations that are incorporated or established under the 
        laws of any State or the United States; and
            ``(B) Federal laboratories.
        ``(2) Agreements.--In carrying out this subsection, the 
    Secretary may enter into cooperative research and development 
    agreements (as defined in section 12 of the Stevenson-Wydler 
    Technology Innovation Act of 1980 (15 U.S.C. 3710a)) in which the 
    Secretary provides not more than 50 percent of the cost of any 
    research or development project under this subsection.
        ``(3) Use of technology.--The research, development, or use of 
    any technology pursuant to an agreement under this subsection, 
    including the terms under which technology may be licensed and the 
    resulting royalties may be distributed, shall be subject to the 
    provisions of the Stevenson-Wydler Technology Innovation Act of 
    1980 (15 U.S.C. 3701 et seq.).
    ``(d) Title to Equipment.--In furtherance of the purposes set forth 
in section 402, the Secretary may vest title to equipment purchased for 
demonstration projects with funds authorized under this section to 
State or local agencies on such terms and conditions as the Secretary 
determines to be appropriate.
    ``(e) Prohibition on Certain Disclosures.--Any report of the 
National Highway Traffic Safety Administration, or of any officer, 
employee, or contractor of the National Highway Traffic Safety 
Administration, relating to any highway traffic accident or the 
investigation of such accident conducted pursuant to this chapter or 
chapter 301 may only be made available to the public in a manner that 
does not identify individuals.
    ``(f) Cooperative Research and Evaluation.--
        ``(1) Establishment and funding.--Notwithstanding the 
    apportionment formula set forth in section 402(c)(2), $2,500,000 of 
    the total amount available for apportionment to the States for 
    highway safety programs under subsection 402(c) in each fiscal year 
    shall be available for expenditure by the Secretary, acting through 
    the Administrator of the National Highway Traffic Safety 
    Administration, for a cooperative research and evaluation program 
    to research and evaluate priority highway safety countermeasures.
        ``(2) Administration.--The program established under paragraph 
    (1)--
            ``(A) shall be administered by the Administrator of the 
        National Highway Traffic Safety Administration; and
            ``(B) shall be jointly managed by the Governors Highway 
        Safety Association and the National Highway Traffic Safety 
        Administration.''; and
        (2) by adding at the end the following:
    ``(h) In-Vehicle Alcohol Detection Device Research.--
        ``(1) In general.--The Administrator of the National Highway 
    Traffic Safety Administration may carry out a collaborative 
    research effort under chapter 301 of title 49 on in-vehicle 
    technology to prevent alcohol-impaired driving.
        ``(2) Funding.--Funds provided under section 405 may be made to 
    be used by the Secretary to conduct the research described in 
    paragraph (1).
        ``(3) Privacy protection.--If the Administrator utilizes the 
    authority under paragraph (1), the Administrator shall not develop 
    requirements for any device or means of technology to be installed 
    in an automobile intended for retail sale that records a driver's 
    blood alcohol concentration.
        ``(4) Reports.--If the Administrator conducts the research 
    authorized under paragraph (1), the Administrator shall submit an 
    annual report to the Committee on Commerce, Science, and 
    Transportation of the Senate, the Committee on Transportation and 
    Infrastructure of the House of Representatives, and Committee on 
    Science, Space, and Technology of the House of Representatives 
    that--
            ``(A) describes the progress made in carrying out the 
        collaborative research effort; and
            ``(B) includes an accounting for the use of Federal funds 
        obligated or expended in carrying out that effort.
        ``(5) Definitions.--In this subsection:
            ``(A) Alcohol-impaired driving.--The term `alcohol-impaired 
        driving' means the operation of a motor vehicle (as defined in 
        section 30102(a)(6) of title 49) by an individual whose blood 
        alcohol content is at or above the legal limit.
            ``(B) Legal limit.--The term `legal limit' means a blood 
        alcohol concentration of 0.08 percent or greater (as set forth 
        in section 163(a)) or such other percentage limitation as may 
        be established by applicable Federal, State, or local law.''.
SEC. 31104. NATIONAL DRIVER REGISTER.
    Section 30302(b) of title 49, United States Code, is amended by 
adding at the end the following: ``The Secretary shall make continual 
improvements to modernize the Register's data processing system.''.
SEC. 31105. NATIONAL PRIORITY SAFETY PROGRAMS.
    (a) In General.--Section 405 of title 23, United States Code, is 
amended to read as follows:
``Sec. 405. National priority safety programs
    ``(a) General Authority.--Subject to the requirements of this 
section, the Secretary of Transportation shall manage programs to 
address national priorities for reducing highway deaths and injuries. 
Funds shall be allocated according to the priorities set forth in 
paragraphs (1) and (2).
        ``(1) Grants to states.--
            ``(A) Occupant protection.--16 percent of the funds 
        provided under this section in each fiscal year shall be 
        allocated among States that adopt and implement effective 
        occupant protection programs to reduce highway deaths and 
        injuries resulting from individuals riding unrestrained or 
        improperly restrained in motor vehicles (as described in 
        subsection (b)).
            ``(B) State traffic safety information system 
        improvements.--14.5 percent of the funds provided under this 
        section in each fiscal year shall be allocated among States 
        that meet the requirements of the State traffic safety 
        information system improvements (as described in subsection 
        (c)).
            ``(C) Impaired driving countermeasures.--52.5 percent of 
        the funds provided under this section in each fiscal year shall 
        be allocated among States that meet the requirements of the 
        impaired driving countermeasures (as described in subsection 
        (d)).
            ``(D) Distracted driving.--8.5 percent of the funds 
        provided under this section in each fiscal year shall be 
        allocated among States that adopt and implement effective laws 
        to reduce distracted driving (as described in subsection (e)).
            ``(E) Motorcyclist safety.--1.5 percent of the funds 
        provided under this section in each fiscal year shall be 
        allocated among States that implement motorcyclist safety 
        programs (as described in subsection (f)).
            ``(F) State graduated driver licensing laws.--5 percent of 
        the funds provided under this section in each fiscal year shall 
        be allocated among States that adopt and implement graduated 
        driver licensing laws (as described in subsection (g)).
            ``(G) Transfers.--Notwithstanding subparagraphs (A) through 
        (F), the Secretary may reallocate, before the last day of any 
        fiscal year, any amounts remaining available to carry out any 
        of the activities described in subsections (b) through (g) to 
        increase the amount made available to carry out any of the 
        other activities described in such subsections, or the amount 
        made available under section 402, in order to ensure, to the 
        maximum extent possible, that all such amounts are obligated 
        during such fiscal year.
            ``(H) Maintenance of effort.--
                ``(i) Requirements.--No grant may be made to a State in 
            any fiscal year under subsection (b), (c), or (d) unless 
            the State enters into such agreements with the Secretary as 
            the Secretary may require to ensure that the State will 
            maintain its aggregate expenditures from all State and 
            local sources for programs described in those sections at 
            or above the average level of such expenditures in its 2 
            fiscal years preceding the date of enactment of the Motor 
            Vehicle and Highway Safety Improvement Act of 2012.
                ``(ii) Waiver.--Upon the request of a State, the 
            Secretary may waive or modify the requirements under clause 
            (i) for not more than 1 fiscal year if the Secretary 
            determines that such a waiver would be equitable due to 
            exceptional or uncontrollable circumstances.
        ``(2) Other priority programs.--Funds provided under this 
    section in each fiscal year may be used for research into 
    technology to prevent alcohol-impaired driving (as described in 
    subsection 403(h)).
    ``(b) Occupant Protection Grants.--
        ``(1) General authority.--Subject to the requirements under 
    this subsection, the Secretary of Transportation shall award grants 
    to States that adopt and implement effective occupant protection 
    programs to reduce highway deaths and injuries resulting from 
    individuals riding unrestrained or improperly restrained in motor 
    vehicles.
        ``(2) Federal share.--The Federal share of the costs of 
    activities funded using amounts from grants awarded under this 
    subsection may not exceed 80 percent for each fiscal year for which 
    a State receives a grant.
        ``(3) Eligibility.--
            ``(A) High seat belt use rate.--A State with an observed 
        seat belt use rate of 90 percent or higher, based on the most 
        recent data from a survey that conforms with national criteria 
        established by the National Highway Traffic Safety 
        Administration, shall be eligible for a grant in a fiscal year 
        if the State--
                ``(i) submits an occupant protection plan during the 
            first fiscal year;
                ``(ii) participates in the Click It or Ticket national 
            mobilization;
                ``(iii) has an active network of child restraint 
            inspection stations; and
                ``(iv) has a plan to recruit, train, and maintain a 
            sufficient number of child passenger safety technicians.
            ``(B) Lower seat belt use rate.--A State with an observed 
        seat belt use rate below 90 percent, based on the most recent 
        data from a survey that conforms with national criteria 
        established by the National Highway Traffic Safety 
        Administration, shall be eligible for a grant in a fiscal year 
        if--
                ``(i) the State meets all of the requirements under 
            clauses (i) through (iv) of subparagraph (A); and
                ``(ii) the Secretary determines that the State meets at 
            least 3 of the following criteria:

                    ``(I) The State conducts sustained (on-going and 
                periodic) seat belt enforcement at a defined level of 
                participation during the year.
                    ``(II) The State has enacted and enforces a primary 
                enforcement seat belt use law.
                    ``(III) The State has implemented countermeasure 
                programs for high-risk populations, such as drivers on 
                rural roadways, unrestrained nighttime drivers, or 
                teenage drivers.
                    ``(IV) The State has enacted and enforces occupant 
                protection laws requiring front and rear occupant 
                protection use by all occupants in an age-appropriate 
                restraint.
                    ``(V) The State has implemented a comprehensive 
                occupant protection program in which the State has--

                        ``(aa) conducted a program assessment;
                        ``(bb) developed a statewide strategic plan;
                        ``(cc) designated an occupant protection 
                    coordinator; and
                        ``(dd) established a statewide occupant 
                    protection task force.

                    ``(VI) The State--

                        ``(aa) completed an assessment of its occupant 
                    protection program during the 3-year period 
                    preceding the grant year; or
                        ``(bb) will conduct such an assessment during 
                    the first year of the grant.
        ``(4) Use of grant amounts.--
            ``(A) In general.--Grant funds received pursuant to this 
        subsection may be used to--
                ``(i) carry out a program to support high-visibility 
            enforcement mobilizations, including paid media that 
            emphasizes publicity for the program, and law enforcement;
                ``(ii) carry out a program to train occupant protection 
            safety professionals, police officers, fire and emergency 
            medical personnel, educators, and parents concerning all 
            aspects of the use of child restraints and occupant 
            protection;
                ``(iii) carry out a program to educate the public 
            concerning the proper use and installation of child 
            restraints, including related equipment and information 
            systems;
                ``(iv) carry out a program to provide community child 
            passenger safety services, including programs about proper 
            seating positions for children and how to reduce the 
            improper use of child restraints;
                ``(v) purchase and distribute child restraints to low-
            income families, provided that not more than 5 percent of 
            the funds received in a fiscal year are used for such 
            purpose; and
                ``(vi) establish and maintain information systems 
            containing data concerning occupant protection, including 
            the collection and administration of child passenger safety 
            and occupant protection surveys.
            ``(B) High seat belt use rate.--A State that is eligible 
        for funds under paragraph (3)(A) may use up to 75 percent of 
        such funds for any project or activity eligible for funding 
        under section 402.
        ``(5) Grant amount.--The allocation of grant funds to a State 
    under this subsection for a fiscal year shall be in proportion to 
    the State's apportionment under section 402 for fiscal year 2009.
        ``(6) Definitions.--In this subsection:
            ``(A) Child restraint.--The term `child restraint' means 
        any device (including child safety seat, booster seat, harness, 
        and excepting seat belts) that is--
                ``(i) designed for use in a motor vehicle to restrain, 
            seat, or position children who weigh 65 pounds (30 
            kilograms) or less; and
                ``(ii) certified to the Federal motor vehicle safety 
            standard prescribed by the National Highway Traffic Safety 
            Administration for child restraints.
            ``(B) Seat belt.--The term `seat belt' means--
                ``(i) with respect to open-body motor vehicles, 
            including convertibles, an occupant restraint system 
            consisting of a lap belt or a lap belt and a detachable 
            shoulder belt; and
                ``(ii) with respect to other motor vehicles, an 
            occupant restraint system consisting of integrated lap and 
            shoulder belts.
    ``(c) State Traffic Safety Information System Improvements.--
        ``(1) General authority.--Subject to the requirements under 
    this subsection, the Secretary of Transportation shall award grants 
    to States to support the development and implementation of 
    effective State programs that--
            ``(A) improve the timeliness, accuracy, completeness, 
        uniformity, integration, and accessibility of the State safety 
        data that is needed to identify priorities for Federal, State, 
        and local highway and traffic safety programs;
            ``(B) evaluate the effectiveness of efforts to make such 
        improvements;
            ``(C) link the State data systems, including traffic 
        records, with other data systems within the State, such as 
        systems that contain medical, roadway, and economic data;
            ``(D) improve the compatibility and interoperability of the 
        data systems of the State with national data systems and data 
        systems of other States; and
            ``(E) enhance the ability of the Secretary to observe and 
        analyze national trends in crash occurrences, rates, outcomes, 
        and circumstances.
        ``(2) Federal share.--The Federal share of the cost of adopting 
    and implementing in a fiscal year a State program described in this 
    subsection may not exceed 80 percent.
        ``(3) Eligibility.--A State is not eligible for a grant under 
    this subsection in a fiscal year unless the State demonstrates, to 
    the satisfaction of the Secretary, that the State--
            ``(A) has a functioning traffic records coordinating 
        committee (referred to in this paragraph as `TRCC') that meets 
        at least 3 times each year;
            ``(B) has designated a TRCC coordinator;
            ``(C) has established a State traffic record strategic plan 
        that has been approved by the TRCC and describes specific 
        quantifiable and measurable improvements anticipated in the 
        State's core safety databases, including crash, citation or 
        adjudication, driver, emergency medical services or injury 
        surveillance system, roadway, and vehicle databases;
            ``(D) has demonstrated quantitative progress in relation to 
        the significant data program attribute of--
                ``(i) accuracy;
                ``(ii) completeness;
                ``(iii) timeliness;
                ``(iv) uniformity;
                ``(v) accessibility; or
                ``(vi) integration of a core highway safety database; 
            and
            ``(E) has certified to the Secretary that an assessment of 
        the State's highway safety data and traffic records system was 
        conducted or updated during the preceding 5 years.
        ``(4) Use of grant amounts.--Grant funds received by a State 
    under this subsection shall be used for making data program 
    improvements to core highway safety databases related to 
    quantifiable, measurable progress in any of the 6 significant data 
    program attributes set forth in paragraph (3)(D).
        ``(5) Grant amount.--The allocation of grant funds to a State 
    under this subsection for a fiscal year shall be in proportion to 
    the State's apportionment under section 402 for fiscal year 2009.
    ``(d) Impaired Driving Countermeasures.--
        ``(1) In general.--Subject to the requirements under this 
    subsection, the Secretary of Transportation shall award grants to 
    States that adopt and implement--
            ``(A) effective programs to reduce driving under the 
        influence of alcohol, drugs, or the combination of alcohol and 
        drugs; or
            ``(B) alcohol-ignition interlock laws.
        ``(2) Federal share.--The Federal share of the costs of 
    activities funded using amounts from grants under this subsection 
    may not exceed 80 percent in any fiscal year in which the State 
    receives a grant.
        ``(3) Eligibility.--
            ``(A) Low-range states.--Low-range States shall be eligible 
        for a grant under this subsection.
            ``(B) Mid-range states.--A mid-range State shall be 
        eligible for a grant under this subsection if--
                ``(i) a statewide impaired driving task force in the 
            State developed a statewide plan during the most recent 3 
            calendar years to address the problem of impaired driving; 
            or
                ``(ii) the State will convene a statewide impaired 
            driving task force to develop such a plan during the first 
            year of the grant.
            ``(C) High-range states.--A high-range State shall be 
        eligible for a grant under this subsection if the State--
                ``(i)(I) conducted an assessment of the State's 
            impaired driving program during the most recent 3 calendar 
            years; or
                ``(II) will conduct such an assessment during the first 
            year of the grant;
                ``(ii) convenes, during the first year of the grant, a 
            statewide impaired driving task force to develop a 
            statewide plan that--

                    ``(I) addresses any recommendations from the 
                assessment conducted under clause (i);
                    ``(II) includes a detailed plan for spending any 
                grant funds provided under this subsection; and
                    ``(III) describes how such spending supports the 
                statewide program; and

                ``(iii)(I) submits the statewide plan to the National 
            Highway Traffic Safety Administration during the first year 
            of the grant for the agency's review and approval;
                ``(II) annually updates the statewide plan in each 
            subsequent year of the grant; and
                ``(III) submits each updated statewide plan for the 
            agency's review and comment.
        ``(4) Use of grant amounts.--
            ``(A) Required programs.--High-range States shall use grant 
        funds for--
                ``(i) high visibility enforcement efforts; and
                ``(ii) any of the activities described in subparagraph 
            (B) if--

                    ``(I) the activity is described in the statewide 
                plan; and
                    ``(II) the Secretary approves the use of funding 
                for such activity.

            ``(B) Authorized programs.--Medium-range and low-range 
        States may use grant funds for--
                ``(i) any of the purposes described in subparagraph 
            (A);
                ``(ii) hiring a full-time or part-time impaired driving 
            coordinator of the State's activities to address the 
            enforcement and adjudication of laws regarding driving 
            while impaired by alcohol;
                ``(iii) court support of high visibility enforcement 
            efforts, training and education of criminal justice 
            professionals (including law enforcement, prosecutors, 
            judges, and probation officers) to assist such 
            professionals in handling impaired driving cases, hiring 
            traffic safety resource prosecutors, hiring judicial 
            outreach liaisons, and establishing driving while 
            intoxicated courts;
                ``(iv) alcohol ignition interlock programs;
                ``(v) improving blood-alcohol concentration testing and 
            reporting;
                ``(vi) paid and earned media in support of high 
            visibility enforcement efforts, and conducting standardized 
            field sobriety training, advanced roadside impaired driving 
            evaluation training, and drug recognition expert training 
            for law enforcement, and equipment and related expenditures 
            used in connection with impaired driving enforcement in 
            accordance with criteria established by the National 
            Highway Traffic Safety Administration;
                ``(vii) training on the use of alcohol screening and 
            brief intervention;
                ``(viii) developing impaired driving information 
            systems; and
                ``(ix) costs associated with a 24-7 sobriety program.
            ``(C) Other programs.--Low-range States may use grant funds 
        for any expenditure designed to reduce impaired driving based 
        on problem identification. Medium and high-range States may use 
        funds for such expenditures upon approval by the Secretary.
        ``(5) Grant amount.--Subject to paragraph (6), the allocation 
    of grant funds to a State under this section for a fiscal year 
    shall be in proportion to the State's apportionment under section 
    402(c) for fiscal year 2009.
        ``(6) Grants to states that adopt and enforce mandatory 
    alcohol-ignition interlock laws.--
            ``(A) In general.--The Secretary shall make a separate 
        grant under this subsection to each State that adopts and is 
        enforcing a mandatory alcohol-ignition interlock law for all 
        individuals convicted of driving under the influence of alcohol 
        or of driving while intoxicated.
            ``(B) Use of funds.--Grants authorized under subparagraph 
        (A) may be used by recipient States for any eligible activities 
        under this subsection or section 402.
            ``(C) Allocation.--Amounts made available under this 
        paragraph shall be allocated among States described in 
        subparagraph (A) on the basis of the apportionment formula set 
        forth in section 402(c).
            ``(D) Funding.--Not more than 15 percent of the amounts 
        made available to carry out this subsection in a fiscal year 
        shall be made available by the Secretary for making grants 
        under this paragraph.
        ``(7) Definitions.--In this subsection:
            ``(A) 24-7 sobriety program.--The term `24-7 sobriety 
        program' means a State law or program that authorizes a State 
        court or a State agency, as a condition of sentence, probation, 
        parole, or work permit, to--
                ``(i) require an individual who plead guilty or was 
            convicted of driving under the influence of alcohol or 
            drugs to totally abstain from alcohol or drugs for a period 
            of time; and
                ``(ii) require the individual to be subject to testing 
            for alcohol or drugs--

                    ``(I) at least twice per day;
                    ``(II) by continuous transdermal alcohol monitoring 
                via an electronic monitoring device; or
                    ``(III) by an alternate method with the concurrence 
                of the Secretary.

            ``(B) Average impaired driving fatality rate.--The term 
        `average impaired driving fatality rate' means the number of 
        fatalities in motor vehicle crashes involving a driver with a 
        blood alcohol concentration of at least 0.08 percent for every 
        100,000,000 vehicle miles traveled, based on the most recently 
        reported 3 calendar years of final data from the Fatality 
        Analysis Reporting System, as calculated in accordance with 
        regulations prescribed by the Administrator of the National 
        Highway Traffic Safety Administration.
            ``(C) High-range state.--The term `high-range State' means 
        a State that has an average impaired driving fatality rate of 
        0.60 or higher.
            ``(D) Low-range state.--The term `low-range State' means a 
        State that has an average impaired driving fatality rate of 
        0.30 or lower.
            ``(E) Mid-range state.--The term `mid-range State' means a 
        State that has an average impaired driving fatality rate that 
        is higher than 0.30 and lower than 0.60.
    ``(e) Distracted Driving Grants.--
        ``(1) In general.--The Secretary shall award a grant under this 
    subsection to any State that enacts and enforces a statute that 
    meets the requirements set forth in paragraphs (2) and (3).
        ``(2) Prohibition on texting while driving.--A State statute 
    meets the requirements set forth in this paragraph if the statute--
            ``(A) prohibits drivers from texting through a personal 
        wireless communications device while driving;
            ``(B) makes violation of the statute a primary offense; and
            ``(C) establishes--
                ``(i) a minimum fine for a first violation of the 
            statute; and
                ``(ii) increased fines for repeat violations.
        ``(3) Prohibition on youth cell phone use while driving.--A 
    State statute meets the requirements set forth in this paragraph if 
    the statute--
            ``(A) prohibits a driver who is younger than 18 years of 
        age from using a personal wireless communications device while 
        driving;
            ``(B) makes violation of the statute a primary offense;
            ``(C) requires distracted driving issues to be tested as 
        part of the State driver's license examination; and
            ``(D) establishes--
                ``(i) a minimum fine for a first violation of the 
            statute; and
                ``(ii) increased fines for repeat violations.
        ``(4) Permitted exceptions.--A statute that meets the 
    requirements set forth in paragraphs (2) and (3) may provide 
    exceptions for--
            ``(A) a driver who uses a personal wireless communications 
        device to contact emergency services;
            ``(B) emergency services personnel who use a personal 
        wireless communications device while--
                ``(i) operating an emergency services vehicle; and
                ``(ii) engaged in the performance of their duties as 
            emergency services personnel; and
            ``(C) an individual employed as a commercial motor vehicle 
        driver or a school bus driver who uses a personal wireless 
        communications device within the scope of such individual's 
        employment if such use is permitted under the regulations 
        promulgated pursuant to section 31152 of title 49.
        ``(5) Use of grant funds.--Of the amounts received by a State 
    under this subsection--
            ``(A) at least 50 percent shall be used--
                ``(i) to educate the public through advertising 
            containing information about the dangers of texting or 
            using a cell phone while driving;
                ``(ii) for traffic signs that notify drivers about the 
            distracted driving law of the State; or
                ``(iii) for law enforcement costs related to the 
            enforcement of the distracted driving law; and
            ``(B) up to 50 percent may be used for any eligible project 
        or activity under section 402.
        ``(6) Additional grants.--In the first fiscal year that grants 
    are awarded under this subsection, the Secretary may use up to 25 
    percent of the amounts available for grants under this subsection 
    to award grants to States that--
            ``(A) enacted statutes before the date of enactment of the 
        Motor Vehicle and Highway Safety Improvement Act of 2012, which 
        meet the requirements set forth in subparagraphs (A) and (B) of 
        paragraph (2); and
            ``(B) are otherwise ineligible for a grant under this 
        subsection.
        ``(7) Allocation to support state distracted driving laws.--Of 
    the amounts available under this subsection in a fiscal year for 
    distracted driving grants, the Secretary may expend up to 
    $5,000,000 for the development and placement of broadcast media to 
    support the enforcement of State distracted driving laws.
        ``(8) Distracted driving study.--
            ``(A) In general.--The Secretary shall conduct a study of 
        all forms of distracted driving.
            ``(B) Components.--The study conducted under subparagraph 
        (A) shall--
                ``(i) examine the effect of distractions other than the 
            use of personal wireless communications on motor vehicle 
            safety;
                ``(ii) identify metrics to determine the nature and 
            scope of the distracted driving problem;
                ``(iii) identify the most effective methods to enhance 
            education and awareness; and
                ``(iv) identify the most effective method of reducing 
            deaths and injuries caused by all forms of distracted 
            driving.
            ``(C) Report.--Not later than 1 year after the date of 
        enactment of the Motor Vehicle and Highway Safety Improvement 
        Act of 2012, the Secretary shall submit a report containing the 
        results of the study conducted under this paragraph to--
                ``(i) the Committee on Commerce, Science, and 
            Transportation of the Senate; and
                ``(ii) the Committee on Transportation and 
            Infrastructure of the House of Representatives.
        ``(9) Definitions.--In this subsection:
            ``(A) Driving.--The term `driving'--
                ``(i) means operating a motor vehicle on a public road, 
            including operation while temporarily stationary because of 
            traffic, a traffic light or stop sign, or otherwise; and
                ``(ii) does not include operating a motor vehicle when 
            the vehicle has pulled over to the side of, or off, an 
            active roadway and has stopped in a location where it can 
            safely remain stationary.
            ``(B) Personal wireless communications device.--The term 
        `personal wireless communications device'--
                ``(i) means a device through which personal wireless 
            services (as defined in section 332(c)(7)(C)(i) of the 
            Communications Act of 1934 (47 U.S.C. 332(c)(7)(C)(i))) are 
            transmitted; and
                ``(ii) does not include a global navigation satellite 
            system receiver used for positioning, emergency 
            notification, or navigation purposes.
            ``(C) Primary offense.--The term `primary offense' means an 
        offense for which a law enforcement officer may stop a vehicle 
        solely for the purpose of issuing a citation in the absence of 
        evidence of another offense.
            ``(D) Public road.--The term `public road' has the meaning 
        given such term in section 402(c).
            ``(E) Texting.--The term `texting' means reading from or 
        manually entering data into a personal wireless communications 
        device, including doing so for the purpose of SMS texting, e-
        mailing, instant messaging, or engaging in any other form of 
        electronic data retrieval or electronic data communication.
    ``(f) Motorcyclist Safety.--
        ``(1) Grants authorized.--Subject to the requirements under 
    this subsection, the Secretary shall award grants to States that 
    adopt and implement effective programs to reduce the number of 
    single- and multi-vehicle crashes involving motorcyclists.
        ``(2) Allocation.--The amount of a grant awarded to a State for 
    a fiscal year under this subsection may not exceed 25 percent of 
    the amount apportioned to the State for fiscal year 2003 under 
    section 402.
        ``(3) Grant eligibility.--A State becomes eligible for a grant 
    under this subsection by adopting or demonstrating to the 
    satisfaction of the Secretary, at least 2 of the following 
    criteria:
            ``(A) Motorcycle rider training courses.--An effective 
        motorcycle rider training course that is offered throughout the 
        State, which--
                ``(i) provides a formal program of instruction in 
            accident avoidance and other safety-oriented operational 
            skills to motorcyclists; and
                ``(ii) may include innovative training opportunities to 
            meet unique regional needs.
            ``(B) Motorcyclists awareness program.--An effective 
        statewide program to enhance motorist awareness of the presence 
        of motorcyclists on or near roadways and safe driving practices 
        that avoid injuries to motorcyclists.
            ``(C) Reduction of fatalities and crashes involving 
        motorcycles.--A reduction for the preceding calendar year in 
        the number of motorcycle fatalities and the rate of motor 
        vehicle crashes involving motorcycles in the State (expressed 
        as a function of 10,000 motorcycle registrations).
            ``(D) Impaired driving program.--Implementation of a 
        statewide program to reduce impaired driving, including 
        specific measures to reduce impaired motorcycle operation.
            ``(E) Reduction of fatalities and accidents involving 
        impaired motorcyclists.--A reduction for the preceding calendar 
        year in the number of fatalities and the rate of reported 
        crashes involving alcohol- or drug-impaired motorcycle 
        operators (expressed as a function of 10,000 motorcycle 
        registrations).
            ``(F) Fees collected from motorcyclists.--All fees 
        collected by the State from motorcyclists for the purposes of 
        funding motorcycle training and safety programs will be used 
        for motorcycle training and safety purposes.
        ``(4) Eligible uses.--
            ``(A) In general.--A State may use funds from a grant under 
        this subsection only for motorcyclist safety training and 
        motorcyclist awareness programs, including--
                ``(i) improvements to motorcyclist safety training 
            curricula;
                ``(ii) improvements in program delivery of motorcycle 
            training to both urban and rural areas, including--

                    ``(I) procurement or repair of practice 
                motorcycles;
                    ``(II) instructional materials;
                    ``(III) mobile training units; and
                    ``(IV) leasing or purchasing facilities for closed-
                course motorcycle skill training;

                ``(iii) measures designed to increase the recruitment 
            or retention of motorcyclist safety training instructors; 
            and
                ``(iv) public awareness, public service announcements, 
            and other outreach programs to enhance driver awareness of 
            motorcyclists, such as the `share-the-road' safety messages 
            developed under subsection (g).
            ``(B) Suballocations of funds.--An agency of a State that 
        receives a grant under this subsection may suballocate funds 
        from the grant to a nonprofit organization incorporated in that 
        State to carry out this subsection.
        ``(5) Definitions.--In this subsection:
            ``(A) Motorcyclist awareness.--The term `motorcyclist 
        awareness' means individual or collective awareness of--
                ``(i) the presence of motorcycles on or near roadways; 
            and
                ``(ii) safe driving practices that avoid injury to 
            motorcyclists.
            ``(B) Motorcyclist awareness program.--The term 
        `motorcyclist awareness program' means an informational or 
        public awareness program designed to enhance motorcyclist 
        awareness that is developed by or in coordination with the 
        designated State authority having jurisdiction over 
        motorcyclist safety issues, which may include the State 
        motorcycle safety administrator or a motorcycle advisory 
        council appointed by the governor of the State.
            ``(C) Motorcyclist safety training.--The term `motorcyclist 
        safety training' means a formal program of instruction that is 
        approved for use in a State by the designated State authority 
        having jurisdiction over motorcyclist safety issues, which may 
        include the State motorcycle safety administrator or a 
        motorcycle advisory council appointed by the governor of the 
        State.
            ``(D) State.--The term `State' has the meaning given such 
        term in section 101(a) of title 23, United States Code.
    ``(g) State Graduated Driver Licensing Incentive Grant.--
        ``(1) Grants authorized.--Subject to the requirements under 
    this subsection, the Secretary shall award grants to States that 
    adopt and implement graduated driver licensing laws in accordance 
    with the requirements set forth in paragraph (2).
        ``(2) Minimum requirements.--
            ``(A) In general.--A State meets the requirements set forth 
        in this paragraph if the State has a graduated driver licensing 
        law that requires novice drivers younger than 21 years of age 
        to comply with the 2-stage licensing process described in 
        subparagraph (B) before receiving an unrestricted driver's 
        license.
            ``(B) Licensing process.--A State is in compliance with the 
        2-stage licensing process described in this subparagraph if the 
        State's driver's license laws include--
                ``(i) a learner's permit stage that--

                    ``(I) is at least 6 months in duration;
                    ``(II) prohibits the driver from using a cellular 
                telephone or any communications device in a 
                nonemergency situation; and
                    ``(III) remains in effect until the driver--

                        ``(aa) reaches 16 years of age and enters the 
                    intermediate stage; or
                        ``(bb) reaches 18 years of age;
                ``(ii) an intermediate stage that--

                    ``(I) commences immediately after the expiration of 
                the learner's permit stage;
                    ``(II) is at least 6 months in duration;
                    ``(III) prohibits the driver from using a cellular 
                telephone or any communications device in a 
                nonemergency situation;
                    ``(IV) restricts driving at night;
                    ``(V) prohibits the driver from operating a motor 
                vehicle with more than 1 nonfamilial passenger younger 
                than 21 years of age unless a licensed driver who is at 
                least 21 years of age is in the motor vehicle; and
                    ``(VI) remains in effect until the driver reaches 
                18 years of age; and

                ``(iii) any other requirement prescribed by the 
            Secretary of Transportation, including--

                    ``(I) in the learner's permit stage--

                        ``(aa) at least 40 hours of behind-the-wheel 
                    training with a licensed driver who is at least 21 
                    years of age;
                        ``(bb) a driver training course; and
                        ``(cc) a requirement that the driver be 
                    accompanied and supervised by a licensed driver, 
                    who is at least 21 years of age, at all times while 
                    such driver is operating a motor vehicle; and

                    ``(II) in the learner's permit or intermediate 
                stage, a requirement, in addition to any other 
                penalties imposed by State law, that the grant of an 
                unrestricted driver's license be automatically delayed 
                for any individual who, during the learner's permit or 
                intermediate stage, is convicted of a driving-related 
                offense, including--

                        ``(aa) driving while intoxicated;
                        ``(bb) misrepresentation of his or her true 
                    age;
                        ``(cc) reckless driving;
                        ``(dd) driving without wearing a seat belt;
                        ``(ee) speeding; or
                        ``(ff) any other driving-related offense, as 
                    determined by the Secretary.
        ``(3) Rulemaking.--
            ``(A) In general.--The Secretary shall promulgate 
        regulations necessary to implement the requirements set forth 
        in paragraph (2), in accordance with the notice and comment 
        provisions under section 553 of title 5.
            ``(B) Exception.--A State that otherwise meets the minimum 
        requirements set forth in paragraph (2) shall be deemed by the 
        Secretary to be in compliance with the requirement set forth in 
        paragraph (2) if the State enacted a law before January 1, 
        2011, establishing a class of license that permits licensees or 
        applicants younger than 18 years of age to drive a motor 
        vehicle--
                ``(i) in connection with work performed on, or for the 
            operation of, a farm owned by family members who are 
            directly related to the applicant or licensee; or
                ``(ii) if demonstrable hardship would result from the 
            denial of a license to the licensees or applicants.
        ``(4) Allocation.--Grant funds allocated to a State under this 
    subsection for a fiscal year shall be in proportion to a State's 
    apportionment under section 402 for such fiscal year.
        ``(5) Use of funds.--Of the grant funds received by a State 
    under this subsection--
            ``(A) at least 25 percent shall be used for--
                ``(i) enforcing a 2-stage licensing process that 
            complies with paragraph (2);
                ``(ii) training for law enforcement personnel and other 
            relevant State agency personnel relating to the enforcement 
            described in clause (i);
                ``(iii) publishing relevant educational materials that 
            pertain directly or indirectly to the State graduated 
            driver licensing law;
                ``(iv) carrying out other administrative activities 
            that the Secretary considers relevant to the State's 2-
            stage licensing process; and
                ``(v) carrying out a teen traffic safety program 
            described in section 402(m); and
            ``(B) up to 75 percent may be used for any eligible project 
        or activity under section 402.''.
    (b) Conforming Amendment.--The analysis for chapter 4 of title 23, 
United States Code, is amended by striking the item relating to section 
405 and inserting the following:

``405. National priority safety programs.''.
SEC. 31106. HIGH VISIBILITY ENFORCEMENT PROGRAM.
    Section 2009 of SAFETEA-LU (23 U.S.C. 402 note) is amended--
        (1) in subsection (a)--
            (A) by striking ``at least 2'' and inserting ``at least 
        3''; and
            (B) by striking ``years 2006 through 2012.'' and inserting 
        ``fiscal years 2013 and 2014. The Administrator may also 
        initiate and support additional campaigns in each of fiscal 
        years 2013 and 2014 for the purposes specified in subsection 
        (b).'';
        (2) in subsection (b), by striking ``either or both'' and 
    inserting ``outcomes related to at least 1'';
        (3) in subsection (c), by inserting ``and Internet-based 
    outreach'' after ``print media advertising'';
        (4) in subsection (e), by striking ``subsections (a), (c), and 
    (f)'' and inserting ``subsection (c)'';
        (5) by striking subsection (f); and
        (6) by redesignating subsection (g) as subsection (f).
SEC. 31107. AGENCY ACCOUNTABILITY.
    Section 412 of title 23, United States Code, is amended--
        (1) by amending subsection (a) to read as follows:
    ``(a) Triennial State Management Reviews.--
        ``(1) In general.--Except as provided under paragraph (2), the 
    Secretary shall conduct a review of each State highway safety 
    program at least once every 3 years.
        ``(2) Exceptions.--The Secretary may conduct reviews of the 
    highway safety programs of the United States Virgin Islands, Guam, 
    American Samoa, and the Commonwealth of the Northern Mariana 
    Islands as often as the Secretary determines to be appropriate.
        ``(3) Components.--Reviews under this subsection shall 
    include--
            ``(A) a management evaluation of all grant programs funded 
        under this chapter;
            ``(B) an assessment of State data collection and evaluation 
        relating to performance measures established by the Secretary;
            ``(C) a comparison of State efforts under subparagraphs (A) 
        and (B) to best practices and programs that have been evaluated 
        for effectiveness; and
            ``(D) the development of recommendations on how each State 
        could--
                ``(i) improve the management and oversight of its grant 
            activities; and
                ``(ii) provide a management and oversight plan for such 
            grant programs.''; and
        (2) by striking subsection (f).
SEC. 31108. EMERGENCY MEDICAL SERVICES.
    Section 10202 of Public Law 109-59 (42 U.S.C. 300d-4), is amended 
by adding at the end the following:
    ``(b) National Emergency Medical Services Advisory Council.--
        ``(1) Establishment.--The Secretary of Transportation, in 
    coordination with the Secretary of Health and Human Services and 
    the Secretary of Homeland Security, shall establish a National 
    Emergency Medical Services Advisory Council (referred to in this 
    subsection as the `Advisory Council').
        ``(2) Membership.--The Advisory Council shall be composed of 25 
    members, who--
            ``(A) shall be appointed by the Secretary of 
        Transportation; and
            ``(B) shall collectively be representative of all sectors 
        of the emergency medical services community.
        ``(3) Purposes.--The purposes of the Advisory Council are to 
    advise and consult with--
            ``(A) the Federal Interagency Committee on Emergency 
        Medical Services on matters relating to emergency medical 
        services issues; and
            ``(B) the Secretary of Transportation on matters relating 
        to emergency medical services issues affecting the Department 
        of Transportation.
        ``(4) Administration.--The Administrator of the National 
    Highway Traffic Safety Administration shall provide administrative 
    support to the Advisory Council, including scheduling meetings, 
    setting agendas, keeping minutes and records, and producing 
    reports.
        ``(5) Leadership.--The members of the Advisory Council shall 
    annually select a chairperson of the Advisory Council.
        ``(6) Meetings.--The Advisory Council shall meet as frequently 
    as is determined necessary by the chairperson of the Advisory 
    Council.
        ``(7) Annual reports.--The Advisory Council shall prepare an 
    annual report to the Secretary of Transportation regarding the 
    Advisory Council's actions and recommendations.''.
SEC. 31109. REPEAL OF PROGRAMS.
    (a) General Provision.--A repeal made by this section shall not 
affect amounts apportioned or allocated before the effective date of 
such repeal, provided that such apportioned or allocated funds continue 
to be subject to the requirements to which such funds were subject 
under the repealed section as in effect on the day before the date of 
the repeal.
    (b) Safety Belt Performance Grants.--Section 406 of title 23, 
United States Code, and the item relating to section 406 in the 
analysis for chapter 4 of title 23, United States Code, are repealed.
    (c) Innovative Project Grants.--Section 407 of title 23, United 
States Code, and the item relating to section 407 in the analysis for 
chapter 4, are repealed.
    (d) State Traffic Safety Information System Improvements.--Section 
408 of title 23, United States Code, and the item relating to section 
408 in the analysis for chapter 4, are repealed.
    (e) Alcohol-impaired Driving Countermeasures.--Section 410 of title 
23, United States Code, and the item relating to section 410 in the 
analysis for chapter 4, are repealed.
    (f) State Highway Safety Data Improvements.--Section 411 of title 
23, United States Code, and the item relating to section 411 in the 
analysis for chapter 4, are repealed.
    (g) Motorcyclist Safety.--Section 2010 of SAFETEA-LU (23 U.S.C. 402 
note), and the item relating to section 2010 in the table of contents 
under section 1(b) of such Act, are repealed.
    (h) Child Safety and Child Booster Seat Incentive Grants.--Section 
2011 of SAFETEA-LU (23 U.S.C. 405 note), and the item relating to 
section 2011 in the table of contents under section 1(b) of that Act, 
are repealed.
    (i) Drug-impaired Driving Enforcement.--Section 2013 of SAFETEA-LU 
(23 U.S.C. 403 note), and the item relating to section 2013 in the 
table of contents under section 1(b) of that Act, are repealed.
    (j) First Responder Vehicle Safety Program.--Section 2014 of 
SAFETEA-LU (23 U.S.C. 402 note), and the item relating to section 2014 
in the table of contents under section 1(b) of that Act, are repealed.
    (k) Rural State Emergency Medical Services Optimization Pilot 
Program.--Section 2016 of SAFETEA-LU (119 Stat. 1541), and the item 
relating to section 2016 in the table of contents under section 1(b) of 
that Act, are repealed.
    (l) Older Driver Safety; Law Enforcement Training.--Section 2017 of 
SAFETEA-LU (119 Stat. 1541), and the item relating to section 2017 in 
the table of contents under section 1(b) of that Act, are repealed.

                Subtitle B--Enhanced Safety Authorities

SEC. 31201. DEFINITION OF MOTOR VEHICLE EQUIPMENT.
    Section 30102(a)(7)(C) of title 49, United States Code, is amended 
to read as follows:
            ``(C) any device or an article or apparel, including a 
        motorcycle helmet and excluding medicine or eyeglasses 
        prescribed by a licensed practitioner, that--
                ``(i) is not a system, part, or component of a motor 
            vehicle; and
                ``(ii) is manufactured, sold, delivered, or offered to 
            be sold for use on public streets, roads, and highways with 
            the apparent purpose of safeguarding users of motor 
            vehicles against risk of accident, injury, or death.''.
SEC. 31202. PERMIT REMINDER SYSTEM FOR NON-USE OF SAFETY BELTS.
    (a) In General.--Chapter 301 of title 49, United States Code, is 
amended--
        (1) in section 30122, by striking subsection (d); and
        (2) by amending section 30124 to read as follows:
``Sec. 30124. Nonuse of safety belts
    ``A motor vehicle safety standard prescribed under this chapter may 
not require a manufacturer to comply with the standard by using a 
safety belt interlock designed to prevent starting or operating a motor 
vehicle if an occupant is not using a safety belt.''.
    (b) Conforming Amendment.--The analysis for chapter 301 of title 
49, United States Code, is amended by striking the item relating to 
section 30124 and inserting the following:

``Sec. 30124. Nonuse of safety belts.''.
SEC. 31203. CIVIL PENALTIES.
    (a) In General.--Section 30165 of title 49, United States Code, is 
amended--
        (1) in subsection (a)--
            (A) in paragraph (1)--
                (i) by striking ``30123(d)'' and inserting 
            ``30123(a)''; and
                (ii) by striking ``$15,000,000'' and inserting 
            ``$35,000,000''; and
            (B) in paragraph (3), by striking ``$15,000,000'' and 
        inserting ``$35,000,000''; and
        (2) by amending subsection (c) to read as follows:
    ``(c) Relevant Factors in Determining Amount of Penalty or 
Compromise.--In determining the amount of a civil penalty or compromise 
under this section, the Secretary of Transportation shall consider the 
nature, circumstances, extent, and gravity of the violation. Such 
determination shall include, as appropriate--
        ``(1) the nature of the defect or noncompliance;
        ``(2) knowledge by the person charged of its obligations under 
    this chapter;
        ``(3) the severity of the risk of injury;
        ``(4) the occurrence or absence of injury;
        ``(5) the number of motor vehicles or items of motor vehicle 
    equipment distributed with the defect or noncompliance;
        ``(6) actions taken by the person charged to identify, 
    investigate, or mitigate the condition;
        ``(7) the appropriateness of such penalty in relation to the 
    size of the business of the person charged, including the potential 
    for undue adverse economic impacts;
        ``(8) whether the person has been assessed civil penalties 
    under this section during the most recent 5 years; and
        ``(9) other appropriate factors.''.
    (b) Civil Penalty Criteria.--Not later than 1 year after the date 
of enactment of this Act, the Secretary shall issue a final rule, in 
accordance with the procedures of section 553 of title 5, United States 
Code, which provides an interpretation of the penalty factors described 
in section 30165(c) of title 49, United States Code.
    (c) Effective Date.--The amendments made by subsection (a) shall 
take effect on the date that is the earlier of the date on which final 
regulations are issued under subsection (b) or 1 year after the date of 
enactment of this Act.
SEC. 31204. MOTOR VEHICLE SAFETY RESEARCH AND DEVELOPMENT.
    (a) In General.--Chapter 301 of title 49, United States Code, is 
amended by adding at the end the following:

     ``SUBCHAPTER V--MOTOR VEHICLE SAFETY RESEARCH AND DEVELOPMENT

``Sec. 30181. Policy
    ``The Secretary of Transportation shall conduct research, 
development, and testing on any area or aspect of motor vehicle safety 
necessary to carry out this chapter.
``Sec. 30182. Powers and duties
    ``(a) In General.--The Secretary of Transportation shall--
        ``(1) conduct motor vehicle safety research, development, and 
    testing programs and activities, including activities related to 
    new and emerging technologies that impact or may impact motor 
    vehicle safety;
        ``(2) collect and analyze all types of motor vehicle and 
    highway safety data and related information to determine the 
    relationship between motor vehicle or motor vehicle equipment 
    performance characteristics and--
            ``(A) accidents involving motor vehicles; and
            ``(B) deaths or personal injuries resulting from those 
        accidents.
    ``(b) Activities.--In carrying out a program under this section, 
the Secretary of Transportation may--
        ``(1) promote, support, and advance the education and training 
    of motor vehicle safety staff of the National Highway Traffic 
    Safety Administration in motor vehicle safety research programs and 
    activities, including using program funds for planning, 
    implementing, conducting, and presenting results of program 
    activities, and for related expenses;
        ``(2) obtain experimental and other motor vehicles and motor 
    vehicle equipment for research or testing;
        ``(3)(A) use any test motor vehicles and motor vehicle 
    equipment suitable for continued use, as determined by the 
    Secretary to assist in carrying out this chapter or any other 
    chapter of this title; or
        ``(B) sell or otherwise dispose of test motor vehicles and 
    motor vehicle equipment and use the resulting proceeds to carry out 
    this chapter;
        ``(4) award grants to States and local governments, interstate 
    authorities, and nonprofit institutions; and
        ``(5) enter into cooperative agreements, collaborative 
    research, or contracts with Federal agencies, interstate 
    authorities, State and local governments, other public entities, 
    private organizations and persons, nonprofit institutions, colleges 
    and universities, consumer advocacy groups, corporations, 
    partnerships, sole proprietorships, trade associations, Federal 
    laboratories (including government-owned, government-operated 
    laboratories and government-owned, contractor-operated 
    laboratories), and research organizations.
    ``(c) Use of Public Agencies.--In carrying out this subchapter, the 
Secretary shall avoid duplication by using the services, research, and 
testing facilities of public agencies, as appropriate.
    ``(d) Facilities.--The Secretary may plan, design, and construct a 
new facility or modify an existing facility to conduct research, 
development, and testing in traffic safety, highway safety, and motor 
vehicle safety. An expenditure of more than $1,500,000 for planning, 
design, or construction may be made only if 60 days prior notice of the 
planning, design, or construction is provided to the Committees on 
Science, Space, and Technology and Transportation and Infrastructure of 
the House of Representatives and the Committees on Commerce, Science, 
and Transportation and Environment and Public Works of the Senate. The 
notice shall include--
        ``(1) a brief description of the facility being planned, 
    designed, or constructed;
        ``(2) the location of the facility;
        ``(3) an estimate of the maximum cost of the facility;
        ``(4) a statement identifying private and public agencies that 
    will use the facility and the contribution each agency will make to 
    the cost of the facility; and
        ``(5) a justification of the need for the facility.
    ``(e) Increasing Costs of Approved Facilities.--The estimated 
maximum cost of a facility noticed under subsection (d) may be 
increased by an amount equal to the percentage increase in construction 
costs from the date the notice is submitted to Congress. However, the 
increase in the cost of the facility may not be more than 10 percent of 
the estimated maximum cost included in the notice. The Secretary shall 
decide what increase in construction costs has occurred.
    ``(f) Availability of Information, Patents, and Developments.--When 
the United States Government makes more than a minimal contribution to 
a research or development activity under this chapter, the Secretary 
shall include in the arrangement for the activity a provision to ensure 
that all information, patents, and developments related to the activity 
are available to the public. The owner of a background patent may not 
be deprived of a right under the patent.
``Sec. 30183. Prohibition on certain disclosures.
    ``Any report of the National Highway Traffic Safety Administration, 
or of any officer, employee, or contractor of the National Highway 
Traffic Safety Administration, relating to any highway traffic accident 
or the investigation of such accident conducted pursuant to this 
chapter or section 403 of title 23, may be made available to the public 
only in a manner that does not identify individuals.''.
    (b) Conforming Amendments.--
        (1) Amendment of chapter analysis.--The chapter analysis for 
    chapter 301 of title 49, United States Code, is amended by adding 
    at the end the following:

      ``subchapter v--motor vehicle safety research and development

``30181. Policy.
``30182. Powers and duties.
``30183. Prohibition on certain disclosures.''.

        (2) Deletion of redundant material.--Chapter 301 of title 49, 
    United States Code, is amended--
            (A) in the chapter analysis, by striking the item relating 
        to section 30168; and
            (B) by striking section 30168.
SEC. 31205. ODOMETER REQUIREMENTS.
    (a) Definition.--Section 32702(5) of title 49, United States Code, 
is amended by inserting ``or system of components'' after 
``instrument''.
    (b) Electronic Disclosures of Odometer Information.--Section 32705 
of title 49, United States Code, is amended by adding at the end the 
following:
    ``(g) Electronic Disclosures.--Not later than 18 months after the 
date of enactment of the Motor Vehicle and Highway Safety Improvement 
Act of 2012, in carrying out this section, the Secretary shall 
prescribe regulations permitting any written disclosures or notices and 
related matters to be provided electronically.''.
SEC. 31206. INCREASED PENALTIES AND DAMAGES FOR ODOMETER FRAUD.
    Chapter 327 of title 49, United States Code, is amended--
        (1) in section 32709(a)(1)--
            (A) by striking ``$2,000'' and inserting ``$10,000''; and
            (B) by striking ``$100,000'' and inserting ``$1,000,000''; 
        and
        (2) in section 32710(a), by striking ``$1,500'' and inserting 
    ``$10,000''.
SEC. 31207. EXTEND PROHIBITIONS ON IMPORTING NONCOMPLIANT VEHICLES AND 
EQUIPMENT TO DEFECTIVE VEHICLES AND EQUIPMENT.
    Section 30112 of title 49, United States Code, is amended--
        (1) in subsection (a), by adding at the end the following:
    ``(3) Except as provided in this section, section 30114, 
subsections (i) and (j) of section 30120, and subchapter III, a person 
may not sell, offer for sale, introduce or deliver for introduction in 
interstate commerce, or import into the United States any motor vehicle 
or motor vehicle equipment if the vehicle or equipment contains a 
defect related to motor vehicle safety about which notice was given 
under section 30118(c) or an order was issued under section 30118(b). 
Nothing in this paragraph may be construed to prohibit the importation 
of a new motor vehicle that receives a required recall remedy before 
being sold to a consumer in the United States.''; and
        (2) in subsection (b)(2)--
            (A) in subparagraph (A), by striking ``or'' at the end;
            (B) in subparagraph (B), by adding ``or'' at the end; and
            (C) by adding at the end the following:
            ``(C) having no reason to know, despite exercising 
        reasonable care, that a motor vehicle or motor vehicle 
        equipment contains a defect related to motor vehicle safety 
        about which notice was given under section 30118(c) or an order 
        was issued under section 30118(b);''.
SEC. 31208. CONDITIONS ON IMPORTATION OF VEHICLES AND EQUIPMENT.
    Chapter 301 of title 49, United States Code, is amended--
        (1) in the chapter analysis, by striking the item relating to 
    section 30164 and inserting the following:

``30164. Service of process; conditions on importation of vehicles and 
          equipment.'';

    and
        (2) in section 30164--
            (A) in the section heading, by adding ``; conditions on 
        importation of vehicles and equipment'' at the end; and
            (B) by adding at the end the following:
    ``(c) Identifying Information.--A manufacturer (including an 
importer) offering a motor vehicle or motor vehicle equipment for 
import shall provide, upon request, such information that is necessary 
to identify and track the products as the Secretary, by rule, may 
specify, including--
        ``(1) the product by name and the manufacturer's address; and
        ``(2) each retailer or distributor to which the manufacturer 
    directly supplied motor vehicles or motor vehicle equipment over 
    which the Secretary has jurisdiction under this chapter.
    ``(d) Regulations on the Import of a Motor Vehicle.--The Secretary 
may issue regulations that--
        ``(1) condition the import of a motor vehicle or motor vehicle 
    equipment on the manufacturer's compliance with--
            ``(A) the requirements under this section;
            ``(B) paragraph (1) or (3) of section 30112(a) with respect 
        to such motor vehicle or motor vehicle equipment;
            ``(C) the provision of reports and records required to be 
        maintained with respect to such motor vehicle or motor vehicle 
        equipment under this chapter;
            ``(D) a request for inspection of premises, vehicle, or 
        equipment under section 30166;
            ``(E) an order or voluntary agreement to remedy such 
        vehicle or equipment; or
            ``(F) any rules implementing the requirements described in 
        this subsection;
        ``(2) provide an opportunity for the manufacturer to present 
    information before the Secretary's determination as to whether the 
    manufacturer's imports should be restricted; and
        ``(3) establish a process by which a manufacturer may petition 
    for reinstatement of its ability to import motor vehicles or motor 
    vehicle equipment.
    ``(e) Exception.--The requirements of subsections (c) and (d) shall 
not apply to original manufacturers (or wholly owned subsidiaries) of 
motor vehicles that, prior to the date of enactment of the Motor 
Vehicle and Highway Safety Improvement Act of 2012--
        ``(1) have imported motor vehicles into the United States that 
    are certified to comply with all applicable Federal motor vehicle 
    safety standards;
        ``(2) have submitted to the Secretary appropriate manufacturer 
    identification information under part 566 of title 49, Code of 
    Federal Regulations; and
        ``(3) if applicable, have identified a current agent for 
    service of process in accordance with part 551 of title 49, Code of 
    Federal Regulations.
    ``(f) Rulemaking.--In issuing regulations under this section, the 
Secretary shall seek to reduce duplicative requirements by coordinating 
with the Department of Homeland Security.''.
SEC. 31209. PORT INSPECTIONS; SAMPLES FOR EXAMINATION OR TESTING.
    Section 30166(c) of title 49, United States Code, is amended--
        (1) in paragraph (2), by striking ``and'' at the end;
        (2) in paragraph (3)--
            (A) in subparagraph (A), by inserting ``(including at 
        United States ports of entry)'' after ``held for introduction 
        in interstate commerce''; and
            (B) in subparagraph (D), by striking the period at the end 
        and inserting a semicolon; and
        (3) by adding at the end the following:
        ``(4) shall enter into a memorandum of understanding with the 
    Secretary of Homeland Security for inspections and sampling of 
    motor vehicle equipment being offered for import to determine 
    compliance with this chapter or a regulation or order issued under 
    this chapter.''.

              Subtitle C--Transparency and Accountability

SEC. 31301. PUBLIC AVAILABILITY OF RECALL INFORMATION.
    (a) Vehicle Recall Information.--Not later than 1 year after the 
date of enactment of this Act, the Secretary shall require that motor 
vehicle safety recall information--
        (1) be available to the public on the Internet;
        (2) be searchable by vehicle make and model and vehicle 
    identification number;
        (3) be in a format that preserves consumer privacy; and
        (4) includes information about each recall that has not been 
    completed for each vehicle.
    (b) Rulemaking.--The Secretary may initiate a rulemaking proceeding 
to require each manufacturer to provide the information described in 
subsection (a), with respect to that manufacturer's motor vehicles, on 
a publicly accessible Internet website. Any rules promulgated under 
this subsection--
        (1) shall limit the information that must be made available 
    under this section to include only those recalls issued not more 
    than 15 years prior to the date of enactment of this Act;
        (2) may require information under paragraph (1) to be provided 
    to a dealer or an owner of a vehicle at no charge; and
        (3) shall permit a manufacturer a reasonable period of time 
    after receiving information from a dealer with respect to a vehicle 
    to update the information about the vehicle on the publicly 
    accessible Internet website.
    (c) Promotion of Public Awareness.--The Secretary, in consultation 
with the heads of other relevant agencies, shall promote consumer 
awareness of the information made available to the public pursuant to 
this section.
SEC. 31302. NATIONAL HIGHWAY TRAFFIC SAFETY ADMINISTRATION OUTREACH TO 
MANUFACTURER, DEALER, AND MECHANIC PERSONNEL.
    The Secretary shall publicize the means for contacting the National 
Highway Traffic Safety Administration in a manner that targets 
mechanics, passenger motor vehicle dealership personnel, and 
manufacturer personnel.
SEC. 31303. PUBLIC AVAILABILITY OF COMMUNICATIONS TO DEALERS.
    (a) Internet Accessibility.--Section 30166(f) of title 49, United 
States Code, is amended--
        (1) by striking ``A manufacturer shall give the Secretary of 
    Transportation'' and inserting the following:
        ``(1) In general.--A manufacturer shall give the Secretary of 
    Transportation, and the Secretary shall make available on a 
    publicly accessible Internet website,''; and
        (2) by adding at the end the following:
        ``(2) Index.--Communications required to be submitted to the 
    Secretary under this subsection shall be accompanied by an index to 
    each communication, that--
            ``(A) identifies the make, model, and model year of the 
        affected vehicles;
            ``(B) includes a concise summary of the subject matter of 
        the communication; and
            ``(C) shall be made available by the Secretary to the 
        public on the Internet in a searchable format.''.
SEC. 31304. CORPORATE RESPONSIBILITY FOR NATIONAL HIGHWAY TRAFFIC 
SAFETY ADMINISTRATION REPORTS.
    (a) In General.--Section 30166 of title 49, United States Code, is 
amended by adding at the end the following:
    ``(o) Corporate Responsibility for Reports.--
        ``(1) In general.--The Secretary may promulgate rules requiring 
    a senior official responsible for safety in any company submitting 
    information to the Secretary in response to a request for 
    information in a safety defect or compliance investigation under 
    this chapter to certify that--
            ``(A) the signing official has reviewed the submission; and
            ``(B) based on the official's knowledge, the submission 
        does not--
                ``(i) contain any untrue statement of a material fact; 
            or
                ``(ii) omit to state a material fact necessary in order 
            to make the statements made not misleading, in light of the 
            circumstances under which such statements were made.
        ``(2) Notice.--The certification requirements of this section 
    shall be clearly stated on any request for information under 
    paragraph (1).''.
    (b) Civil Penalty.--Section 30165(a) of title 49, United States 
Code, is amended--
        (1) in paragraph (3), by striking ``A person'' and inserting 
    ``Except as provided in paragraph (4), a person''; and
        (2) by adding at the end the following:
        ``(4) False or misleading reports.--A person who knowingly and 
    willfully submits materially false or misleading information to the 
    Secretary, after certifying the same information as accurate under 
    the certification process established pursuant to section 30166(o), 
    shall be subject to a civil penalty of not more than $5,000 per 
    day. The maximum penalty under this paragraph for a related series 
    of daily violations is $1,000,000.''.
SEC. 31305. PASSENGER MOTOR VEHICLE INFORMATION PROGRAM.
    (a) Definition.--Section 32301 of title 49, United States Code, is 
amended--
        (1) by redesignating paragraphs (1) and (2) as paragraphs (2) 
    and (3), respectively;
        (2) by inserting before paragraph (2), as redesignated, the 
    following:
        ``(1) `crash avoidance' means preventing or mitigating a 
    crash;''; and
        (3) in paragraph (2), as redesignated, by striking the period 
    at the end and inserting ``; and''.
    (b) Information Included.--Section 32302(a) of title 49, United 
States Code, is amended--
        (1) in paragraph (2), by inserting ``, crash avoidance, and any 
    other areas the Secretary determines will improve the safety of 
    passenger motor vehicles'' after ``crashworthiness''; and
        (2) by striking paragraph (4).
SEC. 31306. PROMOTION OF VEHICLE DEFECT REPORTING.
    Section 32302 of title 49, United States Code, is amended by adding 
at the end the following:
    ``(d) Motor Vehicle Defect Reporting Information.--
        ``(1) Rulemaking required.--Not later than 1 year after the 
    date of enactment of the Motor Vehicle and Highway Safety 
    Improvement Act of 2012, the Secretary shall prescribe regulations 
    that require passenger motor vehicle manufacturers--
            ``(A) to affix, in the glove compartment or in another 
        readily accessible location on the vehicle, a sticker, decal, 
        or other device that provides, in simple and understandable 
        language, information about how to submit a safety-related 
        motor vehicle defect complaint to the National Highway Traffic 
        Safety Administration;
            ``(B) to prominently print the information described in 
        subparagraph (A) within the owner's manual; and
            ``(C) to not place such information on the label required 
        under section 3 of the Automobile Information Disclosure Act 
        (15 U.S.C. 1232).
        ``(2) Application.--The requirements under paragraph (1) shall 
    apply to passenger motor vehicles manufactured in any model year 
    beginning more than 1 year after the date on which a final rule is 
    published under paragraph (1).''.
SEC. 31307. WHISTLEBLOWER PROTECTIONS FOR MOTOR VEHICLE MANUFACTURERS, 
PART SUPPLIERS, AND DEALERSHIP EMPLOYEES.
    (a) In General.--Subchapter IV of chapter 301 of title 49, United 
States Code, is amended by adding at the end the following:
``Sec. 30171. Protection of employees providing motor vehicle safety 
     information
    ``(a) Discrimination Against Employees of Manufacturers, Part 
Suppliers, and Dealerships.--No motor vehicle manufacturer, part 
supplier, or dealership may discharge an employee or otherwise 
discriminate against an employee with respect to compensation, terms, 
conditions, or privileges of employment because the employee (or any 
person acting pursuant to a request of the employee)--
        ``(1) provided, caused to be provided, or is about to provide 
    (with any knowledge of the employer) or cause to be provided to the 
    employer or the Secretary of Transportation information relating to 
    any motor vehicle defect, noncompliance, or any violation or 
    alleged violation of any notification or reporting requirement of 
    this chapter;
        ``(2) has filed, caused to be filed, or is about to file (with 
    any knowledge of the employer) or cause to be filed a proceeding 
    relating to any violation or alleged violation of any motor vehicle 
    defect, noncompliance, or any violation or alleged violation of any 
    notification or reporting requirement of this chapter;
        ``(3) testified or is about to testify in such a proceeding;
        ``(4) assisted or participated or is about to assist or 
    participate in such a proceeding; or
        ``(5) objected to, or refused to participate in, any activity 
    that the employee reasonably believed to be in violation of any 
    provision of chapter 301 of this title, or any order, rule, 
    regulation, standard, or ban under such provision.
    ``(b) Complaint Procedure.--
        ``(1) Filing and notification.--A person who believes that he 
    or she has been discharged or otherwise discriminated against by 
    any person in violation of subsection (a) may file (or have any 
    person file on his or her behalf), not later than 180 days after 
    the date on which such violation occurs, a complaint with the 
    Secretary of Labor (hereinafter in this section referred to as the 
    `Secretary') alleging such discharge or discrimination. Upon 
    receipt of such a complaint, the Secretary shall notify, in 
    writing, the person named in the complaint of the filing of the 
    complaint, of the allegations contained in the complaint, of the 
    substance of evidence supporting the complaint, and of the 
    opportunities that will be afforded to such person under paragraph 
    (2).
        ``(2) Investigation; preliminary order.--
            ``(A) In general.--Not later than 60 days after the date of 
        receipt of a complaint filed under paragraph (1) and after 
        affording the person named in the complaint an opportunity to 
        submit to the Secretary a written response to the complaint and 
        an opportunity to meet with a representative of the Secretary 
        to present statements from witnesses, the Secretary shall 
        conduct an investigation and determine whether there is 
        reasonable cause to believe that the complaint has merit and 
        notify, in writing, the complainant and the person alleged to 
        have committed a violation of subsection (a) of the Secretary's 
        findings. If the Secretary concludes that there is a reasonable 
        cause to believe that a violation of subsection (a) has 
        occurred, the Secretary shall accompany the Secretary's 
        findings with a preliminary order providing the relief 
        prescribed by paragraph (3)(B). Not later than 30 days after 
        the date of notification of findings under this paragraph, 
        either the person alleged to have committed the violation or 
        the complainant may file objections to the findings or 
        preliminary order, or both, and request a hearing on the 
        record. The filing of such objections shall not operate to stay 
        any reinstatement remedy contained in the preliminary order. 
        Such hearings shall be conducted expeditiously. If a hearing is 
        not requested in such 30-day period, the preliminary order 
        shall be deemed a final order that is not subject to judicial 
        review.
            ``(B) Requirements.--
                ``(i) Required showing by complainant.--The Secretary 
            shall dismiss a complaint filed under this subsection and 
            shall not conduct an investigation otherwise required under 
            subparagraph (A) unless the complainant makes a prima facie 
            showing that any behavior described in paragraphs (1) 
            through (5) of subsection (a) was a contributing factor in 
            the unfavorable personnel action alleged in the complaint.
                ``(ii) Showing by employer.--Notwithstanding a finding 
            by the Secretary that the complainant has made the showing 
            required under clause (i), no investigation otherwise 
            required under subparagraph (A) shall be conducted if the 
            employer demonstrates, by clear and convincing evidence, 
            that the employer would have taken the same unfavorable 
            personnel action in the absence of that behavior.
                ``(iii) Criteria for determination by secretary.--The 
            Secretary may determine that a violation of subsection (a) 
            has occurred only if the complainant demonstrates that any 
            behavior described in paragraphs (1) through (5) of 
            subsection (a) was a contributing factor in the unfavorable 
            personnel action alleged in the complaint.
                ``(iv) Prohibition.--Relief may not be ordered under 
            subparagraph (A) if the employer demonstrates, by clear and 
            convincing evidence, that the employer would have taken the 
            same unfavorable personnel action in the absence of that 
            behavior.
        ``(3) Final order.--
            ``(A) Deadline for issuance; settlement agreements.--Not 
        later than 120 days after the date of conclusion of a hearing 
        under paragraph (2), the Secretary shall issue a final order 
        providing the relief prescribed by this paragraph or denying 
        the complaint. At any time before issuance of a final order, a 
        proceeding under this subsection may be terminated on the basis 
        of a settlement agreement entered into by the Secretary, the 
        complainant, and the person alleged to have committed the 
        violation.
            ``(B) Remedy.--If, in response to a complaint filed under 
        paragraph (1), the Secretary determines that a violation of 
        subsection (a) has occurred, the Secretary shall order the 
        person who committed such violation--
                ``(i) to take affirmative action to abate the 
            violation;
                ``(ii) to reinstate the complainant to his or her 
            former position together with the compensation (including 
            back pay) and restore the terms, conditions, and privileges 
            associated with his or her employment; and
                ``(iii) to provide compensatory damages to the 
            complainant.
            ``(C) Attorneys' fees.--If such an order is issued under 
        this paragraph, the Secretary, at the request of the 
        complainant, shall assess against the person against whom the 
        order is issued a sum equal to the aggregate amount of all 
        costs and expenses (including attorneys' and expert witness 
        fees) reasonably incurred, as determined by the Secretary, by 
        the complainant for, or in connection with, bringing the 
        complaint upon which the order was issued.
            ``(D) Frivolous complaints.--If the Secretary determines 
        that a complaint under paragraph (1) is frivolous or has been 
        brought in bad faith, the Secretary may award to the prevailing 
        employer a reasonable attorney's fee not exceeding $1,000.
            ``(E) De novo review.--With respect to a complaint under 
        paragraph (1), if the Secretary has not issued a final decision 
        within 210 days after the filing of the complaint and if the 
        delay is not due to the bad faith of the employee, the employee 
        may bring an original action at law or equity for de novo 
        review in the appropriate district court of the United States, 
        which shall have jurisdiction over such an action without 
        regard to the amount in controversy, and which action shall, at 
        the request of either party to the action, be tried by the 
        court with a jury. The action shall be governed by the same 
        legal burdens of proof specified in paragraph (2)(B) for review 
        by the Secretary.
        ``(4) Review.--
            ``(A) Appeal to court of appeals.--Any person adversely 
        affected or aggrieved by an order issued under paragraph (3) 
        may obtain review of the order in the United States Court of 
        Appeals for the circuit in which the violation, with respect to 
        which the order was issued, allegedly occurred or the circuit 
        in which the complainant resided on the date of such violation. 
        The petition for review shall be filed not later than 60 days 
        after the date of the issuance of the final order of the 
        Secretary. Review shall conform to chapter 7 of title 5. The 
        commencement of proceedings under this subparagraph shall not, 
        unless ordered by the court, operate as a stay of the order.
            ``(B) Limitation on collateral attack.--An order of the 
        Secretary with respect to which review could have been obtained 
        under subparagraph (A) shall not be subject to judicial review 
        in any criminal or other civil proceeding.
        ``(5) Enforcement of order by secretary.--Whenever any person 
    fails to comply with an order issued under paragraph (3), the 
    Secretary may file a civil action in the United States district 
    court for the district in which the violation was found to occur to 
    enforce such order. In actions brought under this paragraph, the 
    district courts shall have jurisdiction to grant all appropriate 
    relief, including injunctive relief and compensatory damages.
        ``(6) Enforcement of order by parties.--
            ``(A) Commencement of action.--A person on whose behalf an 
        order was issued under paragraph (3) may commence a civil 
        action against the person to whom such order was issued to 
        require compliance with such order. The appropriate United 
        States district court shall have jurisdiction, without regard 
        to the amount in controversy or the citizenship of the parties, 
        to enforce such order.
            ``(B) Attorney fees.--The court, in issuing any final order 
        under this paragraph, may award costs of litigation (including 
        reasonable attorney and expert witness fees) to any party 
        whenever the court determines such award is appropriate.
    ``(c) Mandamus.--Any nondiscretionary duty imposed under this 
section shall be enforceable in a mandamus proceeding brought under 
section 1361 of title 28.
    ``(d) Nonapplicability To Deliberate Violations.--Subsection (a) 
shall not apply with respect to an employee of a motor vehicle 
manufacturer, part supplier, or dealership who, acting without 
direction from such motor vehicle manufacturer, part supplier, or 
dealership (or such person's agent), deliberately causes a violation of 
any requirement relating to motor vehicle safety under this chapter.''.
    (b) Government Accountability Office Report.--Not later than 2 
years after the date of enactment of this Act, the Comptroller General 
of the United States shall--
        (1) conduct a study of the whistleblower protections 
    established by law with respect to this program, and update its 
    study of other such programs administered by the Secretary of 
    Transportation; and
        (2) submit to Congress a report of the results of the study 
    under paragraph (1), including--
            (A) an identification of the differences between the 
        provisions applicable to different programs, the number of 
        claims brought pursuant to each provision, and the outcome of 
        each claim; and
            (B) any recommendations for program changes that the 
        Comptroller General considers appropriate based on the study 
        under paragraph (1).
    (c) Conforming Amendment.--The table of sections for chapter 301 of 
title 49, United States Code, is amended by inserting after the item 
relating to section 30170 the following:

``30171. Protection of employees providing motor vehicle safety 
          information.''.
SEC. 31308. ANTI-REVOLVING DOOR.
    (a) Study of Department of Transportation Policies on Official 
Communication With Former Motor Vehicle Safety Issue Employees.--Not 
later than 1 year after the date of enactment of this Act, the 
Inspector General of the Department of Transportation shall--
        (1) review the Department of Transportation's policies and 
    procedures applicable to official communication with former 
    employees concerning motor vehicle safety compliance matters for 
    which they had responsibility during the last 12 months of their 
    tenure at the Department, including any limitations on the ability 
    of such employees to submit comments, or otherwise communicate 
    directly with the Department, on motor vehicle safety issues; and
        (2) submit a report to the Committee on Commerce, Science, and 
    Transportation of the Senate and the Committee on Energy and 
    Commerce of the House of Representatives that contains the 
    Inspector General's findings, conclusions, and recommendations for 
    strengthening those policies and procedures to minimize the risk of 
    undue influence without compromising the ability of the Department 
    to employ and retain highly qualified individuals for such 
    responsibilities.
    (b) Post-Employment Policy Study.--
        (1) In general.--The Inspector General of the Department of 
    Transportation shall conduct a study of the Department's policies 
    relating to post-employment restrictions on employees who perform 
    functions related to transportation safety.
        (2) Report.--Not later than 1 year after the date of enactment 
    of this Act, the Inspector General shall submit a report containing 
    the results of the study conducted under paragraph (1) to--
            (A) the Committee on Commerce, Science, and Transportation 
        of the Senate;
            (B) the Committee on Energy and Commerce of the House of 
        Representatives; and
            (C) the Secretary of Transportation.
        (3) Use of results.--The Secretary of Transportation shall 
    review the results of the study conducted under paragraph (1) and 
    take whatever action the Secretary determines to be appropriate.
SEC. 31309. STUDY OF CRASH DATA COLLECTION.
    (a) In General.--Not later than 1 year after the date of enactment 
of this Act, the Secretary shall submit a report to the Committee on 
Commerce, Science, and Transportation of the Senate and the Committee 
on Energy and Commerce of the House of Representatives regarding the 
quality of data collected through the National Automotive Sampling 
System, including the Special Crash Investigations Program.
    (b) Review.--The Administrator of the National Highway Traffic 
Safety Administration (referred to in this section as the 
``Administration'') shall conduct a comprehensive review of the data 
elements collected from each crash to determine if additional data 
should be collected. The review under this subsection shall include 
input from interested parties, including suppliers, automakers, safety 
advocates, the medical community, and research organizations.
    (c) Contents.--The report issued under this section shall include--
        (1) the analysis and conclusions the Administration can reach 
    from the amount of motor vehicle crash data collected in a given 
    year;
        (2) the additional analysis and conclusions the Administration 
    could reach if more crash investigations were conducted each year;
        (3) the number of investigations per year that would allow for 
    optimal data analysis and crash information;
        (4) the results of the comprehensive review conducted pursuant 
    to subsection (b);
        (5) the incremental costs of collecting and analyzing 
    additional data, as well as data from additional crashes;
        (6) the potential for obtaining private funding for all or a 
    portion of the costs under paragraph (5);
        (7) the potential for recovering any additional costs from high 
    volume users of the data, while continuing to make the data 
    available to the general public free of charge;
        (8) the advantages or disadvantages of expanding collection of 
    non-crash data instead of crash data;
        (9) recommendations for improvements to the Administration's 
    data collection program; and
        (10) the resources needed by the Administration to implement 
    such recommendations.
SEC. 31310. UPDATE MEANS OF PROVIDING NOTIFICATION; IMPROVING EFFICACY 
OF RECALLS.
    (a) Update of Means of Providing Notification.--Section 30119(d) of 
title 49, United States Code, is amended--
        (1) in paragraph (1), by striking ``by first class mail'' and 
    inserting ``in the manner prescribed by the Secretary, by 
    regulation'';
        (2) in paragraph (2)--
            (A) by striking ``(except a tire) shall be sent by first 
        class mail'' and inserting ``shall be sent in the manner 
        prescribed by the Secretary, by regulation,''; and
            (B) by striking the second sentence;
        (3) in paragraph (3)--
            (A) by striking the first sentence;
            (B) by inserting ``to the notification required under 
        paragraphs (1) and (2)'' after ``addition''; and
            (C) by inserting ``by the manufacturer'' after ``given''; 
        and
        (4) in paragraph (4), by striking ``by certified mail or 
    quicker means if available'' and inserting ``in the manner 
    prescribed by the Secretary, by regulation''.
    (b) Improving Efficacy of Recalls.--Section 30119(e) of title 49, 
United States Code, is amended--
        (1) in the subsection heading, by striking ``Second'' and 
    inserting ``Additional'';
        (2) by striking ``If the Secretary'' and inserting the 
    following:
        ``(1) Second notification.--If the Secretary''; and
        (3) by adding at the end the following:
        ``(2) Additional notifications.--If the Secretary determines, 
    after taking into account the severity of the defect or 
    noncompliance, that the second notification by a manufacturer does 
    not result in an adequate number of motor vehicles or items of 
    replacement equipment being returned for remedy, the Secretary may 
    order the manufacturer--
            ``(A)(i) to send additional notifications in the manner 
        prescribed by the Secretary, by regulation; or
            ``(ii) to take additional steps to locate and notify each 
        person registered under State law as the owner or lessee or the 
        most recent purchaser or lessee, as appropriate; and
            ``(B) to emphasize the magnitude of the safety risk caused 
        by the defect or noncompliance in such notification.''.
SEC. 31311. EXPANDING CHOICES OF REMEDY AVAILABLE TO MANUFACTURERS OF 
REPLACEMENT EQUIPMENT.
    Section 30120 of title 49, United States Code, is amended--
        (1) in subsection (a)(1), by amending subparagraph (B) to read 
    as follows:
            ``(B) if replacement equipment, by repairing the equipment, 
        replacing the equipment with identical or reasonably equivalent 
        equipment, or by refunding the purchase price.'';
        (2) in the heading of subsection (i), by adding ``of New 
    Vehicles or Equipment'' at the end; and
        (3) in the heading of subsection (j), by striking ``replaced'' 
    and inserting ``replacement''.
SEC. 31312. RECALL OBLIGATIONS AND BANKRUPTCY OF MANUFACTURER.
    (a) In General.--Chapter 301 of title 49, United States Code, is 
amended by inserting the following after section 30120:
``Sec. 30120A. Recall obligations and bankruptcy of a manufacturer
    ``A manufacturer's filing of a petition in bankruptcy under chapter 
11 of title 11, does not negate the manufacturer's duty to comply with 
section 30112 or sections 30115 through 30120 of this title. In any 
bankruptcy proceeding, the manufacturer's obligations under such 
sections shall be treated as a claim of the United States Government 
against such manufacturer, subject to subchapter II of chapter 37 of 
title 31, United States Code, and given priority pursuant to section 
3713(a)(1)(A) of such chapter, notwithstanding section 3713(a)(2), to 
ensure that consumers are adequately protected from any safety defect 
or noncompliance determined to exist in the manufacturer's products. 
This section shall apply equally to actions of a manufacturer taken 
before or after the filing of a petition in bankruptcy.''.
    (b) Conforming Amendment.--The chapter analysis of chapter 301 of 
title 49, United States Code, is amended by inserting after the item 
relating to section 30120 the following:

``30120A. Recall obligations and bankruptcy of a manufacturer.''.
SEC. 31313. REPEAL OF INSURANCE REPORTS AND INFORMATION PROVISION.
    Chapter 331 of title 49, United States Code, is amended--
        (1) in the chapter analysis, by striking the item relating to 
    section 33112; and
        (2) by striking section 33112.
SEC. 31314. MONRONEY STICKER TO PERMIT ADDITIONAL SAFETY RATING 
CATEGORIES.
    Section 3(g)(2) of the Automobile Information Disclosure Act (15 
U.S.C. 1232(g)(2)), is amended by inserting ``safety rating categories 
that may include'' after ``refers to''.

          Subtitle D--Vehicle Electronics and Safety Standards

SEC. 31401. NATIONAL HIGHWAY TRAFFIC SAFETY ADMINISTRATION ELECTRONICS, 
SOFTWARE, AND ENGINEERING EXPERTISE.
    (a) Council for Vehicle Electronics, Vehicle Software, and Emerging 
Technologies.--
        (1) In general.--The Secretary shall establish, within the 
    National Highway Traffic Safety Administration, a Council for 
    Vehicle Electronics, Vehicle Software, and Emerging Technologies 
    (referred to in this section as the ``Council'') to build, 
    integrate, and aggregate the Administration's expertise in 
    passenger motor vehicle electronics and other new and emerging 
    technologies.
        (2) Implementation of roadmap.--The Council shall research the 
    inclusion of emerging lightweight plastic and composite 
    technologies in motor vehicles to increase fuel efficiency, lower 
    emissions, meet fuel economy standards, and enhance passenger motor 
    vehicle safety through continued utilization of the 
    Administration's Plastic and Composite Intensive Vehicle Safety 
    Roadmap (Report No. DOT HS 810 863).
        (3) Intra-agency coordination.--The Council shall coordinate 
    with all components of the Administration responsible for vehicle 
    safety, including research and development, rulemaking, and defects 
    investigation.
    (b) Honors Recruitment Program.--
        (1) Establishment.--The Secretary shall establish, within the 
    National Highway Traffic Safety Administration, an honors program 
    for engineering students, computer science students, and other 
    students interested in vehicle safety that will enable such 
    students to train with engineers and other safety officials for 
    careers in vehicle safety.
        (2) Stipend.--The Secretary is authorized to provide a stipend 
    to any student during the student's participation in the program 
    established under paragraph (1).
    (c) Assessment.--The Council, in consultation with affected 
stakeholders, shall periodically assess the implications of emerging 
safety technologies in passenger motor vehicles, including the effect 
of such technologies on consumers, product availability, and cost.
SEC. 31402. ELECTRONIC SYSTEMS PERFORMANCE.
    (a) In General.--Not later than 2 years after the date of enactment 
of this Act, the Secretary shall complete an examination of the need 
for safety standards with regard to electronic systems in passenger 
motor vehicles. In conducting this examination, the Secretary shall--
        (1) consider the electronic components, the interaction of 
    electronic components, the security needs for those electronic 
    systems to prevent unauthorized access, and the effect of 
    surrounding environments on the electronic systems; and
        (2) allow for public comment.
    (b) Report.--Upon completion of the examination under subsection 
(a), the Secretary shall submit a report on the highest priority areas 
for safety with regard to the electronic systems to the Committee on 
Commerce, Science, and Transportation of the Senate and the Committee 
on Energy and Commerce of the House of Representatives.

                   Subtitle E--Child Safety Standards

SEC. 31501. CHILD SAFETY SEATS.
    (a) Side Impact Crashes.--Not later than 2 years after the date of 
enactment of this Act, the Secretary shall issue a final rule amending 
Federal Motor Vehicle Safety Standard Number 213 to improve the 
protection of children seated in child restraint systems during side 
impact crashes.
    (b) Frontal Impact Test Parameters.--
        (1) Commencement.--Not later than 2 years after the date of 
    enactment of this Act, the Secretary shall commence a rulemaking 
    proceeding to amend the standard seat assembly specifications under 
    Federal Motor Vehicle Safety Standard Number 213 to better simulate 
    a single representative motor vehicle rear seat.
        (2) Final rule.--Not later than 4 years after the date of 
    enactment of this Act, the Secretary shall issue a final rule 
    pursuant to paragraph (1).
SEC. 31502. CHILD RESTRAINT ANCHORAGE SYSTEMS.
    (a) Initiation of Rulemaking Proceeding.--Not later than 1 year 
after the date of enactment of this Act, the Secretary shall initiate a 
rulemaking proceeding to amend Federal Motor Vehicle Safety Standard 
Number 225 (relating to child restraint anchorage systems) to improve 
the ease of use for lower anchorages and tethers in all rear seat 
seating positions if such anchorages and tethers are feasible.
    (b) Final Rule.--
        (1) In general.--Except as provided under paragraph (2) and 
    section 31505, the Secretary shall issue a final rule under 
    subsection (a) not later than 3 years after the date of enactment 
    of this Act.
        (2) Report.--If the Secretary determines that an amendment to 
    the standard referred to in subsection (a) does not meet the 
    requirements and considerations set forth in subsections (a) and 
    (b) of section 30111 of title 49, United States Code, the Secretary 
    shall submit a report describing the reasons for not prescribing 
    such a standard to--
            (A) the Committee on Commerce, Science, and Transportation 
        of the Senate; and
            (B) the Committee on Energy and Commerce of the House of 
        Representatives.
SEC. 31503. REAR SEAT BELT REMINDERS.
    (a) Initiation of Rulemaking Proceeding.--Not later than 2 years 
after the date of enactment of this Act, the Secretary shall initiate a 
rulemaking proceeding to amend Federal Motor Vehicle Safety Standard 
Number 208 (relating to occupant crash protection) to provide a safety 
belt use warning system for designated seating positions in the rear 
seat.
    (b) Final Rule.--
        (1) In general.--Except as provided under paragraph (2) and 
    section 31505, the Secretary shall issue a final rule under 
    subsection (a) not later than 3 years after the date of enactment 
    of this Act.
        (2) Report.--If the Secretary determines that an amendment to 
    the standard referred to in subsection (a) does not meet the 
    requirements and considerations set forth in subsections (a) and 
    (b) of section 30111 of title 49, United States Code, the Secretary 
    shall submit a report describing the reasons for not prescribing 
    such a standard to--
            (A) the Committee on Commerce, Science, and Transportation 
        of the Senate; and
            (B) the Committee on Energy and Commerce of the House of 
        Representatives.
SEC. 31504. UNATTENDED PASSENGER REMINDERS.
    (a) Safety Research Initiative.--The Secretary may initiate 
research into effective ways to minimize the risk of hyperthermia or 
hypothermia to children or other unattended passengers in rear seating 
positions.
    (b) Research Areas.--In carrying out subsection (a), the Secretary 
may conduct research into the potential viability of--
        (1) vehicle technology to provide an alert that a child or 
    unattended passenger remains in a rear seating position after the 
    vehicle motor is disengaged; or
        (2) public awareness campaigns to educate drivers on the risks 
    of leaving a child or unattended passenger in a vehicle after the 
    vehicle motor is disengaged; or
        (3) other ways to mitigate risk.
    (c) Coordination With Other Agencies.--The Secretary may 
collaborate with other Federal agencies in conducting the research 
under this section.
SEC. 31505. NEW DEADLINE.
    If the Secretary determines that any deadline for issuing a final 
rule under this Act cannot be met, the Secretary shall--
        (1) provide the Committee on Commerce, Science, and 
    Transportation of the Senate and the Committee on Energy and 
    Commerce of the House of Representatives with an explanation for 
    why such deadline cannot be met; and
        (2) establish a new deadline for that rule.

 Subtitle F--Improved Daytime and Nighttime Visibility of Agricultural 
                               Equipment

SEC. 31601. RULEMAKING ON VISIBILITY OF AGRICULTURAL EQUIPMENT.
    (a) Definitions.--In this section:
        (1) Agricultural equipment.--The term ``agricultural 
    equipment'' has the meaning given the term ``agricultural field 
    equipment'' in ASABE Standard 390.4, entitled ``Definitions and 
    Classifications of Agricultural Field Equipment'', which was 
    published in January 2005 by the American Society of Agriculture 
    and Biological Engineers, or any successor standard.
        (2) Public road.--The term ``public road'' has the meaning 
    given the term in section 101(a)(27) of title 23, United States 
    Code.
    (b) Rulemaking.--
        (1) In general.--Not later than 2 years after the date of 
    enactment of this Act, the Secretary of Transportation, after 
    consultation with representatives of the American Society of 
    Agricultural and Biological Engineers and appropriate Federal 
    agencies, and with other appropriate persons, shall promulgate a 
    rule to improve the daytime and nighttime visibility of 
    agricultural equipment that may be operated on a public road.
        (2) Minimum standards.--The rule promulgated pursuant to this 
    subsection shall--
            (A) establish minimum lighting and marking standards for 
        applicable agricultural equipment manufactured at least 1 year 
        after the date on which such rule is promulgated; and
            (B) provide for the methods, materials, specifications, and 
        equipment to be employed to comply with such standards, which 
        shall be equivalent to ASABE Standard 279.14, entitled 
        ``Lighting and Marking of Agricultural Equipment on Highways'', 
        which was published in July 2008 by the American Society of 
        Agricultural and Biological Engineers, or any successor 
        standard.
    (c) Review.--Not less frequently than once every 5 years, the 
Secretary of Transportation shall--
        (1) review the standards established pursuant to subsection 
    (b); and
        (2) revise such standards to reflect the revision of ASABE 
    Standard 279 that is in effect at the time of such review.
    (d) Limitations.--
        (1) Compliance with successor standards.--Any rule promulgated 
    pursuant to this section may not prohibit the operation on public 
    roads of agricultural equipment that is equipped in accordance with 
    any adopted revision of ASABE Standard 279 that is later than the 
    revision of such standard that was referenced during the 
    promulgation of the rule.
        (2) No retrofitting required.--Any rule promulgated pursuant to 
    this section may not require the retrofitting of agricultural 
    equipment that was manufactured before the date on which the 
    lighting and marking standards are enforceable under subsection 
    (b)(2)(A).
        (3) No effect on additional materials and equipment.--Any rule 
    promulgated pursuant to this section may not prohibit the operation 
    on public roads of agricultural equipment that is equipped with 
    materials or equipment that are in addition to the minimum 
    materials and equipment specified in the standard upon which such 
    rule is based.

   TITLE II--COMMERCIAL MOTOR VEHICLE SAFETY ENHANCEMENT ACT OF 2012

SEC. 32001. SHORT TITLE.
    This title may be cited as the ``Commercial Motor Vehicle Safety 
Enhancement Act of 2012''.
SEC. 32002. REFERENCES TO TITLE 49, UNITED STATES CODE.
    Except as otherwise expressly provided, whenever in this title an 
amendment or repeal is expressed in terms of an amendment to, or a 
repeal of, a section or other provision, the reference shall be 
considered to be made to a section or other provision of title 49, 
United States Code.

           Subtitle A--Commercial Motor Vehicle Registration

SEC. 32101. REGISTRATION OF MOTOR CARRIERS.
    (a) Registration Requirements.--Section 13902(a)(1) is amended to 
read as follows:
        ``(1) In general.--Except as otherwise provided in this 
    section, the Secretary of Transportation shall register a person to 
    provide transportation subject to jurisdiction under subchapter I 
    of chapter 135 as a motor carrier only if the Secretary determines 
    that the person--
            ``(A) is willing and able to comply with--
                ``(i) this part and the applicable regulations of the 
            Secretary and the Board;
                ``(ii) any safety regulations imposed by the Secretary;
                ``(iii) the duties of employers and employees 
            established by the Secretary under section 31135;
                ``(iv) the safety fitness requirements established by 
            the Secretary under section 31144;
                ``(v) the accessibility requirements established by the 
            Secretary under subpart H of part 37 of title 49, Code of 
            Federal Regulations (or successor regulations), for 
            transportation provided by an over-the-road bus; and
                ``(vi) the minimum financial responsibility 
            requirements established by the Secretary under sections 
            13906, 31138, and 31139;
            ``(B) has been issued a USDOT number under section 31134;
            ``(C) has disclosed any relationship involving common 
        ownership, common management, common control, or common 
        familial relationship between that person and any other motor 
        carrier, freight forwarder, or broker, or any other applicant 
        for motor carrier, freight forwarder, or broker registration, 
        if the relationship occurred in the 3-year period preceding the 
        date of the filing of the application for registration; and
            ``(D) after the Secretary establishes a written proficiency 
        examination pursuant to section 32101(b) of the Commercial 
        Motor Vehicle Safety Enhancement Act of 2012, has passed the 
        written proficiency examination.''.
    (b) Written Proficiency Examination.--
        Not later than 18 months after the date of enactment of this 
    Act, the Secretary shall establish through a rulemaking a written 
    proficiency examination for applicant motor carriers pursuant to 
    section 13902(a)(1)(D) of title 49, United States Code. The written 
    proficiency examination shall test a person's knowledge of 
    applicable safety regulations, standards, and orders of the Federal 
    government.
    (c) Conforming Amendment.--Section 210(b) of the Motor Carrier 
Safety Improvement Act of 1999 (49 U.S.C. 31144 note) is amended--
        (1) by inserting ``, commercial regulations, and provisions of 
    subpart H of part 37 of title 49, Code of Federal Regulations, or 
    successor regulations'' after ``applicable safety regulations''; 
    and
        (2) by striking ``consider the establishment of'' and inserting 
    ``establish''.
    (d) Transportation of Agricultural Commodities and Farm Supplies.--
Section 229(a)(1) of the Motor Carrier Safety Improvement Act of 1999 
(49 U.S.C. 31136 note) is amended to read as follows:
        ``(1) Transportation of agricultural commodities and farm 
    supplies.--Regulations prescribed by the Secretary under sections 
    31136 and 31502 regarding maximum driving and on-duty time for 
    drivers used by motor carriers shall not apply during planting and 
    harvest periods, as determined by each State, to--
            ``(A) drivers transporting agricultural commodities from 
        the source of the agricultural commodities to a location within 
        a 150 air-mile radius from the source;
            ``(B) drivers transporting farm supplies for agricultural 
        purposes from a wholesale or retail distribution point of the 
        farm supplies to a farm or other location where the farm 
        supplies are intended to be used within a 150 air-mile radius 
        from the distribution point; or
            ``(C) drivers transporting farm supplies for agricultural 
        purposes from a wholesale distribution point of the farm 
        supplies to a retail distribution point of the farm supplies 
        within a 150 air-mile radius from the wholesale distribution 
        point.''.
SEC. 32102. SAFETY FITNESS OF NEW OPERATORS.
    (a) Safety Reviews of New Operators.--Section 31144(g)(1) is 
amended to read as follows:
        ``(1) Safety review.--
            ``(A) In general.--Except as provided under subparagraph 
        (B), the Secretary shall require, by regulation, each owner and 
        each operator granted new registration under section 13902 or 
        31134 to undergo a safety review not later than 12 months after 
        the owner or operator, as the case may be, begins operations 
        under such registration.
            ``(B) Providers of motorcoach services.--The Secretary 
        shall require, by regulation, each owner and each operator 
        granted new registration to transport passengers under section 
        13902 or 31134 to undergo a safety review not later than 120 
        days after the owner or operator, as the case may be, begins 
        operations under such registration.''.
    (b) Effective Date.--The amendments made by subsection (a) shall 
take effect 1 year after the date of enactment of this Act.
SEC. 32103. REINCARNATED CARRIERS.
    (a) Effective Periods of Registration.--
        (1) Suspensions, amendments, and revocations.--Section 13905(d) 
    is amended--
            (A) by redesignating paragraph (2) as paragraph (4);
            (B) by striking paragraph (1) and inserting the following:
        ``(1) Applications.--On application of the registrant, the 
    Secretary may amend or revoke a registration.
        ``(2) Complaints and actions on secretary's own initiative.--On 
    complaint or on the Secretary's own initiative and after notice and 
    an opportunity for a proceeding, the Secretary may--
            ``(A) suspend, amend, or revoke any part of the 
        registration of a motor carrier, broker, or freight forwarder 
        for willful failure to comply with--
                ``(i) this part;
                ``(ii) an applicable regulation or order of the 
            Secretary or the Board, including the accessibility 
            requirements established by the Secretary under subpart H 
            of part 37 of title 49, Code of Federal Regulations (or 
            successor regulations), for transportation provided by an 
            over-the-road bus; or
                ``(iii) a condition of its registration;
            ``(B) withhold, suspend, amend, or revoke any part of the 
        registration of a motor carrier, broker, or freight forwarder 
        for failure--
                ``(i) to pay a civil penalty imposed under chapter 5, 
            51, 149, or 311;
                ``(ii) to arrange and abide by an acceptable payment 
            plan for such civil penalty, not later than 90 days after 
            the date specified by order of the Secretary for the 
            payment of such penalty; or
                ``(iii) for failure to obey a subpoena issued by the 
            Secretary;
            ``(C) withhold, suspend, amend, or revoke any part of a 
        registration of a motor carrier, broker, or freight forwarder 
        following a determination by the Secretary that the motor 
        carrier, broker, or freight forwarder failed to disclose, in 
        its application for registration, a material fact relevant to 
        its willingness and ability to comply with--
                ``(i) this part;
                ``(ii) an applicable regulation or order of the 
            Secretary or the Board; or
                ``(iii) a condition of its registration; or
            ``(D) withhold, suspend, amend, or revoke any part of a 
        registration of a motor carrier, broker, or freight forwarder 
        if the Secretary finds that--
                ``(i) the motor carrier, broker, or freight forwarder 
            does not disclose any relationship through common 
            ownership, common management, common control, or common 
            familial relationship to any other motor carrier, broker, 
            or freight forwarder, or any other applicant for motor 
            carrier, broker, or freight forwarder registration that the 
            Secretary determines is or was unwilling or unable to 
            comply with the relevant requirements listed in section 
            13902, 13903, or 13904
        ``(3) Limitation.--Paragraph (2)(B) shall not apply to a person 
    who is unable to pay a civil penalty because the person is a debtor 
    in a case under chapter 11 of title 11.''; and
            (C) in paragraph (4), as redesignated by section 
        32103(a)(1)(A) of this Act, by striking ``paragraph (1)(B)'' 
        and inserting ``paragraph (2)(B)''.
        (2) Procedure.--Section 13905(e) is amended by inserting ``or 
    if the Secretary determines that the registrant failed to disclose 
    a material fact in an application for registration in accordance 
    with subsection (d)(2)(C),'' after ``registrant,''.
    (b) Information Systems.--Section 31106(a)(3) is amended--
        (1) in subparagraph (F), by striking ``and'' at the end;
        (2) in subparagraph (G), by striking the period at the end and 
    inserting ``; and''; and
        (3) by adding at the end the following:
            ``(H) determine whether a person or employer is or was 
        related, through common ownership, common management, common 
        control, or common familial relationship, to any other person, 
        employer, or any other applicant for registration under section 
        13902 or 31134.''.
SEC. 32104. FINANCIAL RESPONSIBILITY REQUIREMENTS.
    Not later than 6 months after the date of enactment of this Act, 
and every 4 years thereafter, the Secretary shall--
        (1) issue a report on the appropriateness of--
            (A) the current minimum financial responsibility 
        requirements under sections 31138 and 31139 of title 49, United 
        States Code; and
            (B) the current bond and insurance requirements under 
        sections 13904(f), 13903, and 13906 of title 49, United States 
        Code; and
        (2) submit the report issued under paragraph (1) to the 
    Committee on Commerce, Science, and Transportation of the Senate 
    and the Committee on Transportation and Infrastructure of the House 
    of Representatives.
SEC. 32105. USDOT NUMBER REGISTRATION REQUIREMENT.
    (a) In General.--Chapter 311 is amended by inserting after section 
31133 the following:
``Sec. 31134. Requirement for registration and USDOT number
    ``(a) In General.--Upon application, and subject to subsections (b) 
and (c), the Secretary shall register an employer or person subject to 
the safety jurisdiction of this subchapter. An employer or person may 
operate a commercial motor vehicle in interstate commerce only if the 
employer or person is registered by the Secretary under this section 
and receives a USDOT number. Nothing in this section shall preclude 
registration by the Secretary of an employer or person not engaged in 
interstate commerce. An employer or person subject to jurisdiction 
under subchapter I of chapter 135 of this title shall apply for 
commercial registration under section 13902 of this title.
    ``(b) Withholding Registration.--The Secretary shall register an 
employer or person under subsection (a) only if the Secretary 
determines that--
        ``(1) the employer or person seeking registration is willing 
    and able to comply with the requirements of this subchapter and the 
    regulations prescribed thereunder and chapter 51 and the 
    regulations prescribed thereunder;
        ``(2)(A) during the 3-year period before the date of the filing 
    of the application, the employer or person is not or was not 
    related through common ownership, common management, common 
    control, or common familial relationship to any other person or 
    applicant for registration subject to this subchapter who, during 
    such 3-year period, is or was unfit, unwilling, or unable to comply 
    with the requirements listed in subsection (b)(1); or
        ``(3) the employer or person has disclosed to the Secretary any 
    relationship involving common ownership, common management, common 
    control, or common familial relationship to any other person or 
    applicant for registration subject to this subchapter.
    ``(c) Revocation or Suspension of Registration.--The Secretary 
shall revoke the registration of an employer or person issued under 
subsection (a) after notice and an opportunity for a proceeding, or 
suspend the registration after giving notice of the suspension to the 
employer or person, if the Secretary determines that--
        ``(1) the employer's or person's authority to operate pursuant 
    to chapter 139 of this title is subject to revocation or suspension 
    under sections 13905(d)(1) or 13905(f) of this title;
        ``(2) the employer or person has knowingly failed to comply 
    with the requirements listed in subsection (b)(1);
        ``(3) the employer or person has not disclosed any relationship 
    through common ownership, common management, common control, or 
    common familial relationship to any other person or applicant for 
    registration subject to this subchapter that the Secretary 
    determines is or was unfit, unwilling, or unable to comply with the 
    requirements listed in subsection (b)(1);
        ``(4) the employer or person refused to submit to the safety 
    review required by section 31144(g) of this title.
    ``(d) Periodic Registration Update.--The Secretary may require an 
employer to update a registration under this section not later than 30 
days after a change in the employer's address, other contact 
information, officers, process agent, or other essential information, 
as determined by the Secretary.
    ``(e) State Authority.--Nothing in this section shall be construed 
as affecting the authority of a State to issue a Department of 
Transportation number under State law to a person operating in 
intrastate commerce.''.
    (b) Conforming Amendment.--The analysis of chapter 311 is amended 
by inserting after the item relating to section 31133 the following:

``31134. Requirement for registration and USDOT number.''.
SEC. 32106. REGISTRATION FEE SYSTEM.
    Section 13908(d)(1) is amended by striking ``but shall not exceed 
$300''.
SEC. 32107. REGISTRATION UPDATE.
    (a) Motor Carrier Update.--Section 13902 is amended by adding at 
the end the following:
    ``(h) Update of Registration.--
        ``(1) In general.--The Secretary shall require a registrant to 
    update its registration under this section not later than 30 days 
    after a change in the registrant's address, other contact 
    information, officers, process agent, or other essential 
    information, as determined by the Secretary.
        ``(2) Motor carriers of passengers.--In addition to the 
    requirements of paragraph (1), the Secretary shall require a motor 
    carrier of passengers to update its registration information, 
    including numbers of vehicles, annual mileage, and individuals 
    responsible for compliance with Federal safety regulations 
    quarterly for the first 2 years after being issued a registration 
    under this section.''.
    (b) Freight Forwarder Update.--Section 13903 is amended by adding 
at the end the following:
    ``(c) Update of Registration.--The Secretary shall require a 
freight forwarder to update its registration under this section not 
later than 30 days after a change in the freight forwarder's address, 
other contact information, officers, process agent, or other essential 
information, as determined by the Secretary.''.
    (c) Broker Update.--Section 13904 is amended by adding at the end 
the following:
    ``(e) Update of Registration.--The Secretary shall require a broker 
to update its registration under this section not later than 30 days 
after a change in the broker's address, other contact information, 
officers, process agent, or other essential information, as determined 
by the Secretary.''.
SEC. 32108. INCREASED PENALTIES FOR OPERATING WITHOUT REGISTRATION.
    (a) Penalties.--Section 14901(a) is amended--
        (1) by striking ``$500'' and inserting ``$1,000'';
        (2) by striking ``who is not registered under this part to 
    provide transportation of passengers,'';
        (3) by striking ``with respect to providing transportation of 
    passengers,'' and inserting ``or section 13902(c) of this title,''; 
    and
        (4) by striking ``$2,000 for each violation and each additional 
    day the violation continues'' and inserting ``$10,000 for each 
    violation, or $25,000 for each violation relating to providing 
    transportation of passengers''.
    (b) Transportation of Hazardous Wastes.--Section 14901(b) is 
amended by striking ``not to exceed $20,000'' and inserting ``not less 
than $20,000, but not to exceed $40,000''.
SEC. 32109. REVOCATION OF REGISTRATION FOR IMMINENT HAZARD.
    Section 13905(f)(2) is amended to read as follows:
        ``(2) Imminent hazard to public health.--Notwithstanding 
    subchapter II of chapter 5 of title 5, the Secretary shall revoke 
    the registration of a motor carrier if the Secretary finds that the 
    carrier is or was conducting unsafe operations that are or were an 
    imminent hazard to public health or property.''.
SEC. 32110. REVOCATION OF REGISTRATION AND OTHER PENALTIES FOR FAILURE 
TO RESPOND TO SUBPOENA.
    Section 525 is amended--
        (1) by striking ``subpenas'' in the section heading and 
    inserting ``subpoenas'';
        (2) by striking ``subpena'' and inserting ``subpoena'';
        (3) by striking ``$100'' and inserting ``$1,000'';
        (4) by striking ``$5,000'' and inserting ``$10,000''; and
        (5) by adding at the end the following:
    ``The Secretary may withhold, suspend, amend, or revoke any part of 
the registration of a person required to register under chapter 139 for 
failing to obey a subpoena or requirement of the Secretary under this 
chapter to appear and testify or produce records.''.
SEC. 32111. FLEETWIDE OUT OF SERVICE ORDER FOR OPERATING WITHOUT 
REQUIRED REGISTRATION.
    Section 13902(e)(1) is amended--
        (1) by striking ``motor vehicle'' and inserting ``motor 
    carrier'' after ``the Secretary determines that a''; and
        (2) by striking ``order the vehicle'' and inserting ``order the 
    motor carrier operations'' after ``the Secretary may''.
SEC. 32112. MOTOR CARRIER AND OFFICER PATTERNS OF SAFETY VIOLATIONS.
    Section 31135 is amended--
        (1) by striking subsection (b) and inserting the following:
    ``(b) Noncompliance.--
        ``(1) Motor carriers.--Two or more motor carriers, employers, 
    or persons shall not use common ownership, common management, 
    common control, or common familial relationship to enable any or 
    all such motor carriers, employers, or persons to avoid compliance, 
    or mask or otherwise conceal non-compliance, or a history of non-
    compliance, with regulations prescribed under this subchapter or an 
    order of the Secretary issued under this subchapter.
        ``(2) Pattern.--If the Secretary finds that a motor carrier, 
    employer, or person engaged in a pattern or practice of avoiding 
    compliance, or masking or otherwise concealing noncompliance, with 
    regulations prescribed under this subchapter, the Secretary--
            ``(A) may withhold, suspend, amend, or revoke any part of 
        the motor carrier's, employer's, or person's registration in 
        accordance with section 13905 or 31134; and
            ``(B) shall take into account such non-compliance for 
        purposes of determining civil penalty amounts under section 
        521(b)(2)(D).
        ``(3) Officers.--If the Secretary finds, after notice and an 
    opportunity for proceeding, that an officer of a motor carrier, 
    employer, or owner or operator has engaged in a pattern or practice 
    of, or assisted a motor carrier, employer, or owner or operator in 
    avoiding compliance, or masking or otherwise concealing 
    noncompliance, while serving as an officer or such motor carrier, 
    employer, or owner or operator, the Secretary may suspend, amend, 
    or revoke any part of a registration granted to the officer 
    individually under section 13902 or 31134.''.

              Subtitle B--Commercial Motor Vehicle Safety

SEC. 32201. CRASHWORTHINESS STANDARDS.
    (a) In General.--Not later than 18 months after the date of 
enactment of this Act, the Secretary shall conduct a comprehensive 
analysis on the need for crashworthiness standards on property-carrying 
commercial motor vehicles with a gross vehicle weight rating or gross 
vehicle weight of at least 26,001 pounds involved in interstate 
commerce, including an evaluation of the need for roof strength, pillar 
strength, air bags, and other occupant protections standards, and 
frontal and back wall standards.
    (b) Report.--Not later than 90 days after completing the 
comprehensive analysis under subsection (a), the Secretary shall report 
the results of the analysis and any recommendations to the Committee on 
Commerce, Science, and Transportation of the Senate and the Committee 
on Transportation and Infrastructure of the House of Representatives.
SEC. 32202. CANADIAN SAFETY RATING RECIPROCITY.
    Section 31144 is amended by adding at the end the following:
    ``(h) Recognition of Canadian Motor Carrier Safety Fitness 
Determinations.--
        ``(1) If an authorized agency of the Canadian federal 
    government or a Canadian Territorial or Provincial government 
    determines, by applying the procedure and standards prescribed by 
    the Secretary under subsection (b) or pursuant to an agreement 
    under paragraph (2), that a Canadian employer is unfit and 
    prohibits the employer from operating a commercial motor vehicle in 
    Canada or any Canadian Province, the Secretary may prohibit the 
    employer from operating such vehicle in interstate and foreign 
    commerce until the authorized Canadian agency determines that the 
    employer is fit.
        ``(2) The Secretary may consult and participate in negotiations 
    with authorized officials of the Canadian federal government or a 
    Canadian Territorial or Provincial government, as necessary, to 
    provide reciprocal recognition of each country's motor carrier 
    safety fitness determinations. An agreement shall provide, to the 
    maximum extent practicable, that each country will follow the 
    procedure and standards prescribed by the Secretary under 
    subsection (b) in making motor carrier safety fitness 
    determinations.''.
SEC. 32203. STATE REPORTING OF FOREIGN COMMERCIAL DRIVER CONVICTIONS.
    (a) Definition of Foreign Commercial Driver.--Section 31301 is 
amended--
        (1) by redesignating paragraphs (10) through (14) as paragraphs 
    (11) through (15), respectively; and
        (2) by inserting after paragraph (9) the following:
        ``(10) `foreign commercial driver' means an individual licensed 
    to operate a commercial motor vehicle by an authority outside the 
    United States, or a citizen of a foreign country who operates a 
    commercial motor vehicle in the United States.''.
    (b) State Reporting of Convictions.--Section 31311(a) is amended by 
adding after paragraph (21) the following:
        ``(22) The State shall report a conviction of a foreign 
    commercial driver by that State to the Federal Convictions and 
    Withdrawal Database, or another information system designated by 
    the Secretary to record the convictions. A report shall include--
            ``(A) for a driver holding a foreign commercial driver's 
        license--
                ``(i) each conviction relating to the operation of a 
            commercial motor vehicle; and
                ``(ii) each conviction relating to the operation of a 
            non-commercial motor vehicle; and
            ``(B) for an unlicensed driver or a driver holding a 
        foreign non-commercial driver's license, each conviction 
        relating to the operation of a commercial motor vehicle.''.
SEC. 32204. AUTHORITY TO DISQUALIFY FOREIGN COMMERCIAL DRIVERS.
    Section 31310 is amended by adding at the end the following:
    ``(k) Foreign Commercial Drivers.--A foreign commercial driver 
shall be subject to disqualification under this section.''.
SEC. 32205. REVOCATION OF FOREIGN MOTOR CARRIER OPERATING AUTHORITY FOR 
FAILURE TO PAY CIVIL PENALTIES.
    Section 13905(d)(2), as amended by section 32103(a) of this Act, is 
amended by inserting ``foreign motor carrier, foreign motor private 
carrier,'' after ``registration of a motor carrier,'' each place it 
appears.
SEC. 32206. RENTAL TRUCK ACCIDENT STUDY.
    (a) Definitions.--In this section:
        (1) Rental truck.--The term ``rental truck'' means a motor 
    vehicle with a gross vehicle weight rating of between 10,000 and 
    26,000 pounds that is made available for rental by a rental truck 
    company.
        (2) Rental truck company.--The term ``rental truck company'' 
    means a person or company that is in the business of renting or 
    leasing rental trucks to the public or for private use.
    (b) Study.--
        (1) In general.--The Secretary shall conduct a study of the 
    safety of rental trucks during the 7-year period ending on December 
    31, 2011.
        (2) Requirements.--The study conducted under paragraph (1) 
    shall--
            (A) evaluate available data on the number of crashes, 
        fatalities, and injuries involving rental trucks and the cause 
        of such crashes, utilizing police accident reports and other 
        sources;
            (B) estimate the property damage and costs resulting from a 
        subset of crashes involving rental truck operations, which the 
        Secretary believes adequately reflect all crashes involving 
        rental trucks;
            (C) analyze State and local laws regulating rental truck 
        companies, including safety and inspection requirements;
            (D) assess the rental truck maintenance programs of a 
        selection of small, medium, and large rental truck companies, 
        as selected by the Secretary, including the frequency of rental 
        truck maintenance inspections, and compare such programs with 
        inspection requirements for passenger vehicles and commercial 
        motor vehicles;
            (E) include any other information available regarding the 
        safety of rental trucks; and
            (F) review any other information that the Secretary 
        determines to be appropriate.
    (c) Report.--Not later than 1 year after the date of enactment of 
this Act, the Secretary shall submit a report to the Committee on 
Commerce, Science, and Transportation of the Senate and the Committee 
on Transportation and Infrastructure of the House of Representatives 
that contains--
        (1) the findings of the study conducted pursuant to subsection 
    (b); and
        (2) any recommendations for legislation that the Secretary 
    determines to be appropriate.

                       Subtitle C--Driver Safety

SEC. 32301. HOURS OF SERVICE STUDY AND ELECTRONIC LOGGING DEVICES.
    (a) Hours of Service Study.--
        (1) Field study.--
            (A) In general.--Not later than March 31, 2013, the 
        Secretary shall complete a field study on the efficacy of the 
        restart rule published on December 27, 2011 (in this section 
        referred to as the ``2011 restart rule''), applicable to 
        operators of commercial motor vehicles of property subject to 
        maximum driving time requirements of the Secretary.
            (B) Requirement.--The field study shall expand upon the 
        results of the laboratory-based study relating to commercial 
        motor vehicle driver fatigue sponsored by the Federal Motor 
        Carrier Safety Administration presented in the report of 
        December 2010 titled ``Investigation into Motor Carrier 
        Practices to Achieve Optimal Commercial Motor Vehicle Driver 
        Performance: Phase I''.
            (C) Criteria.--In conducting the field study, the Secretary 
        shall ensure that--
                (i) the methodology for the field study is consistent, 
            to the maximum extent possible, with the laboratory-based 
            study methodology;
                (ii) the data collected is representative of the 
            drivers and motor carriers regulated by the hours of 
            service regulations, including those drivers and carriers 
            affected by the maximum driving time requirements;
                (iii) the analysis is statistically valid; and
                (iv) the field study follows the plan for the 
            ``Scheduling and Fatigue Recovery Project'' developed by 
            the Federal Motor Carrier Safety Administration.
            (D) Report to congress.--Not later than September 30, 2013, 
        the Secretary shall submit to the Committee on Transportation 
        and Infrastructure of the House of Representatives and the 
        Committee on Commerce, Science, and Transportation of the 
        Senate a report detailing the results of the field study.
    (b) General Authority.--Section 31137 is amended--
        (1) by amending the section heading to read as follows:
``Sec. 31137. Electronic logging devices and brake maintenance 
     regulations'';
        (2) by redesignating subsection (b) as subsection (g); and
        (3) by amending (a) to read as follows:
    ``(a) Use of Electronic Logging Devices.--Not later than 1 year 
after the date of enactment of the Commercial Motor Vehicle Safety 
Enhancement Act of 2012, the Secretary of Transportation shall 
prescribe regulations--
        ``(1) requiring a commercial motor vehicle involved in 
    interstate commerce and operated by a driver subject to the hours 
    of service and the record of duty status requirements under part 
    395 of title 49, Code of Federal Regulations, be equipped with an 
    electronic logging device to improve compliance by an operator of a 
    vehicle with hours of service regulations prescribed by the 
    Secretary; and
        ``(2) ensuring that an electronic logging device is not used to 
    harass a vehicle operator.
    ``(b) Electronic Logging Device Requirements.--
        ``(1) In general.--The regulations prescribed under subsection 
    (a) shall--
            ``(A) require an electronic logging device--
                ``(i) to accurately record commercial driver hours of 
            service;
                ``(ii) to record the location of a commercial motor 
            vehicle;
                ``(iii) to be tamper resistant; and
                ``(iv) to be synchronized to the operation of the 
            vehicle engine or be capable of recognizing when the 
            vehicle is being operated;
            ``(B) allow law enforcement to access the data contained in 
        the device during a roadside inspection; and
            ``(C) apply to a commercial motor vehicle beginning on the 
        date that is 2 years after the date that the regulations are 
        published as a final rule.
        ``(2) Performance and design standards.--The regulations 
    prescribed under subsection (a) shall establish performance 
    standards--
            ``(A) defining a standardized user interface to aid vehicle 
        operator compliance and law enforcement review;
            ``(B) establishing a secure process for standardized--
                ``(i) and unique vehicle operator identification;
                ``(ii) data access;
                ``(iii) data transfer for vehicle operators between 
            motor vehicles;
                ``(iv) data storage for a motor carrier; and
                ``(v) data transfer and transportability for law 
            enforcement officials;
            ``(C) establishing a standard security level for an 
        electronic logging device and related components to be tamper 
        resistant by using a methodology endorsed by a nationally 
        recognized standards organization; and
            ``(D) identifying each driver subject to the hours of 
        service and record of duty status requirements under part 395 
        of title 49, Code of Federal Regulations.
    ``(c) Certification Criteria.--
        ``(1) In general.--The regulations prescribed by the Secretary 
    under this section shall establish the criteria and a process for 
    the certification of electronic logging devices to ensure that the 
    device meets the performance requirements under this section.
        ``(2) Effect of noncertification.--Electronic logging devices 
    that are not certified in accordance with the certification process 
    referred to in paragraph (1) shall not be acceptable evidence of 
    hours of service and record of duty status requirements under part 
    395 of title 49, Code of Federal Regulations.
    ``(d) Additional Considerations.--The Secretary, in prescribing the 
regulations described in subsection (a), shall consider how such 
regulations may--
        ``(1) reduce or eliminate requirements for drivers and motor 
    carriers to retain supporting documentation associated with paper-
    based records of duty status if--
            ``(A) data contained in an electronic logging device 
        supplants such documentation; and
            ``(B) using such data without paper-based records does not 
        diminish the Secretary's ability to audit and review compliance 
        with the Secretary's hours of service regulations; and
        ``(2) include such measures as the Secretary determines are 
    necessary to protect the privacy of each individual whose personal 
    data is contained in an electronic logging device.
    ``(e) Use of Data.--
        ``(1) In general.--The Secretary may utilize information 
    contained in an electronic logging device only to enforce the 
    Secretary's motor carrier safety and related regulations, including 
    record-of-duty status regulations.
        ``(2) Measures to preserve confidentiality of personal data.--
    The Secretary shall institute appropriate measures to preserve the 
    confidentiality of any personal data contained in an electronic 
    logging device and disclosed in the course of an action taken by 
    the Secretary or by law enforcement officials to enforce the 
    regulations referred to in paragraph (1).
        ``(3) Enforcement.--The Secretary shall institute appropriate 
    measures to ensure any information collected by electronic logging 
    devices is used by enforcement personnel only for the purpose of 
    determining compliance with hours of service requirements.
    ``(f) Definitions.--In this section:
        ``(1) Electronic logging device.--The term `electronic logging 
    device' means an electronic device that--
            ``(A) is capable of recording a driver's hours of service 
        and duty status accurately and automatically; and
            ``(B) meets the requirements established by the Secretary 
        through regulation.
        ``(2) Tamper resistant.--The term `tamper resistant' means 
    resistant to allowing any individual to cause an electronic device 
    to record the incorrect date, time, and location for changes to on-
    duty driving status of a commercial motor vehicle operator under 
    part 395 of title 49, Code of Federal Regulations, or to 
    subsequently alter the record created by that device.''.
    (c) Civil Penalties.--Section 30165(a)(1) is amended by striking 
``or 30141 through 30147'' and inserting ``30141 through 30147, or 
31137''.
    (d) Conforming Amendment.--The analysis for chapter 311 is amended 
by striking the item relating to section 31137 and inserting the 
following:

``31137. Electronic logging devices and brake maintenance 
          regulations.''.
SEC. 32302. DRIVER MEDICAL QUALIFICATIONS.
    (a) Deadline for Establishment of National Registry of Medical 
Examiners.--Not later than 1 year after the date of enactment of this 
Act, the Secretary shall establish a national registry of medical 
examiners in accordance with section 31149(d)(1) of title 49, United 
States Code.
    (b) Examination Requirement for National Registry of Medical 
Examiners.--Section 31149(c)(1)(D) is amended to read as follows:
            ``(D) not later than 1 year after enactment of the 
        Commercial Motor Vehicle Safety Enhancement Act of 2012, 
        develop requirements for a medical examiner to be listed in the 
        national registry under this section, including--
                ``(i) the completion of specific courses and materials;
                ``(ii) certification, including, at a minimum, self-
            certification, if the Secretary determines that self-
            certification is necessary for sufficient participation in 
            the national registry, to verify that a medical examiner 
            completed specific training, including refresher courses, 
            that the Secretary determines necessary to be listed in the 
            national registry;
                ``(iii) an examination that requires a passing grade; 
            and
                ``(iv) demonstration of a medical examiner's 
            willingness to meet the reporting requirements established 
            by the Secretary;''.
    (c) Additional Oversight of Licensing Authorities.--
        (1) In general.--Section 31149(c)(1) is amended--
            (A) by amending subparagraph (E) to read as follows:
            ``(E) require medical examiners to transmit electronically, 
        on a monthly basis, the name of the applicant, a numerical 
        identifier, and additional information contained on the medical 
        examiner's certificate for any completed medical examination 
        report required under section 391.43 of title 49, Code of 
        Federal Regulations, to the chief medical examiner;'';
            (B) in subparagraph (F), by striking the period at the end 
        and inserting ``; and''; and
            (C) by adding at the end the following:
            ``(G) annually review the implementation of commercial 
        driver's license requirements by not fewer than 10 States to 
        assess the accuracy, validity, and timeliness of--
                ``(i) the submission of physical examination reports 
            and medical certificates to State licensing agencies; and
                ``(ii) the processing of the submissions by State 
            licensing agencies.''.
        (2) Internal oversight policy.--
            (A) In general.--Not later than 2 years after the date of 
        enactment of this Act, the Secretary shall establish an 
        oversight policy and procedure to carry out section 
        31149(c)(1)(G) of title 49, United States Code, as added by 
        section 32302(c)(1) of this Act.
            (B) Effective date.--The amendments made by section 
        32303(c)(1) of this Act shall take effect on the date the 
        oversight policies and procedures are established pursuant to 
        subparagraph (A).
    (d) Electronic Filing of Medical Examination Certificates.--Section 
31311(a), as amended by sections 32203(b) and 32305(b) of this Act, is 
amended by adding at the end the following:
        ``(25) Not later than 5 years after the date of enactment of 
    the Commercial Motor Vehicle Safety Enhancement Act of 2012, the 
    State shall establish and maintain, as part of its driver 
    information system, the capability to receive an electronic copy of 
    a medical examiner's certificate, from a certified medical 
    examiner, for each holder of a commercial driver's license issued 
    by the State who operates or intends to operate in interstate 
    commerce.''.
    (e) Funding.--The Secretary is authorized to utilize funds provided 
under section 4101(c)(1) of SAFETEA-LU (119 Stat. 1715) to support 
development of costs of the information technology needed to carry out 
section 31311(a)(25) of title 49, United States Code.
SEC. 32303. COMMERCIAL DRIVER'S LICENSE NOTIFICATION SYSTEM.
    (a) In General.--Section 31304 is amended--
        (1) by striking ``An employer'' and inserting the following:
    ``(a) In General.--An employer''; and
        (2) by adding at the end the following:
    ``(b) Driver Violation Records.--
        ``(1) Periodic review.--Except as provided in paragraph (3), an 
    employer shall ascertain the driving record of each driver it 
    employs--
            ``(A) by making an inquiry at least once every 12 months to 
        the appropriate State agency in which the driver held or holds 
        a commercial driver's license or permit during such time 
        period;
            ``(B) by receiving occurrence-based reports of changes in 
        the status of a driver's record from 1 or more driver record 
        notification systems that meet minimum standards issued by the 
        Secretary; or
            ``(C) by a combination of inquiries to States and reports 
        from driver record notification systems.
        ``(2) Record keeping.--A copy of the reports received under 
    paragraph (1) shall be maintained in the driver's qualification 
    file.
        ``(3) Exceptions to record review requirement.--Paragraph (1) 
    shall not apply to a driver employed by an employer who, in any 7-
    day period, is employed or used as a driver by more than 1 
    employer--
            ``(A) if the employer obtains the driver's identification 
        number, type, and issuing State of the driver's commercial 
        motor vehicle license; or
            ``(B) if the information described in subparagraph (A) is 
        furnished by another employer and the employer that regularly 
        employs the driver meets the other requirements under this 
        section.
        ``(4) Driver record notification system defined.--In this 
    section, the term `driver record notification system' means a 
    system that automatically furnishes an employer with a report, 
    generated by the appropriate agency of a State, on the change in 
    the status of an employee's driver's license due to a conviction 
    for a moving violation, a failure to appear, an accident, driver's 
    license suspension, driver's license revocation, or any other 
    action taken against the driving privilege.''.
    (b) Standards for Driver Record Notification Systems.--Not later 
than 1 year after the date of enactment of this Act, the Secretary 
shall issue minimum standards for driver notification systems, 
including standards for the accuracy, consistency, and completeness of 
the information provided.
    (c) Plan for National Notification System.--
        (1) Development.--Not later than 2 years after the date of 
    enactment of this Act, the Secretary shall develop recommendations 
    and a plan for the development and implementation of a national 
    driver record notification system, including--
            (A) an assessment of the merits of achieving a national 
        system by expanding the Commercial Driver's License Information 
        System; and
            (B) an estimate of the fees that an employer will be 
        charged to offset the operating costs of the national system.
        (2) Submission to congress.--Not later than 90 days after the 
    recommendations and plan are developed under paragraph (1), the 
    Secretary shall submit a report on the recommendations and plan to 
    the Committee on Commerce, Science, and Transportation of the 
    Senate and the Committee on Transportation and Infrastructure of 
    the House of Representatives.
SEC. 32304. COMMERCIAL MOTOR VEHICLE OPERATOR TRAINING.
    (a) In General.--Section 31305 is amended by adding at the end the 
following:
    ``(c) Standards for Training.--Not later than 1 year after the date 
of enactment of the Commercial Motor Vehicle Safety Enhancement Act of 
2012, the Secretary shall issue final regulations establishing minimum 
entry-level training requirements for an individual operating a 
commercial motor vehicle--
        ``(1) addressing the knowledge and skills that--
            ``(A) are necessary for an individual operating a 
        commercial motor vehicle to safely operate a commercial motor 
        vehicle; and
            ``(B) must be acquired before obtaining a commercial 
        driver's license for the first time or upgrading from one class 
        of commercial driver's license to another class;
        ``(2) addressing the specific training needs of a commercial 
    motor vehicle operator seeking passenger or hazardous materials 
    endorsements;
        ``(3) requiring effective instruction to acquire the knowledge, 
    skills, and training referred to in paragraphs (1) and (2), 
    including classroom and behind-the-wheel instruction;
        ``(4) requiring certification that an individual operating a 
    commercial motor vehicle meets the requirements established by the 
    Secretary; and
        ``(5) requiring a training provider (including a public or 
    private driving school, motor carrier, or owner or operator of a 
    commercial motor vehicle) that offers training that results in the 
    issuance of a certification to an individual under paragraph (4) to 
    demonstrate that the training meets the requirements of the 
    regulations, through a process established by the Secretary.''.
    (b) Commercial Driver's License Uniform Standards.--Section 
31308(1) is amended to read as follows:
        ``(1) an individual issued a commercial driver's license--
            ``(A) pass written and driving tests for the operation of a 
        commercial motor vehicle that comply with the minimum standards 
        prescribed by the Secretary under section 31305(a); and
            ``(B) present certification of completion of driver 
        training that meets the requirements established by the 
        Secretary under section 31305(c);''.
    (c) Conforming Amendment.--The section heading for section 31305 is 
amended to read as follows:
``Sec. 31305. General driver fitness, testing, and training''.
    (d) Conforming Amendment.--The analysis for chapter 313 is amended 
by striking the item relating to section 31305 and inserting the 
following:

``31305. General driver fitness, testing, and training.''.
SEC. 32305. COMMERCIAL DRIVER'S LICENSE PROGRAM.
    (a) In General.--Section 31309 is amended--
        (1) in subsection (e)(4), by amending subparagraph (A) to read 
    as follows:
            ``(A) In general.--The plan shall specify--
                ``(i) a date by which all States shall be operating 
            commercial driver's license information systems that are 
            compatible with the modernized information system under 
            this section; and
                ``(ii) that States must use the systems to receive and 
            submit conviction and disqualification data.''; and
        (2) in subsection (f), by striking ``use'' and inserting ``use, 
    subject to section 31313(a),''.
    (b) Requirements for State Participation.--Section 31311 is 
amended--
        (1) in subsection (a), as amended by section 32203(b) of this 
    Act--
            (A) in paragraph (5), by striking ``At least'' and all that 
        follows through ``regulation),'' and inserting: ``Not later 
        than the time period prescribed by the Secretary by 
        regulation,''; and
            (B) by adding at the end the following:
        ``(23) Not later than 1 year after the date of enactment of the 
    Commercial Motor Vehicle Safety Enhancement Act of 2012, the State 
    shall implement a system and practices for the exclusive electronic 
    exchange of driver history record information on the system the 
    Secretary maintains under section 31309, including the posting of 
    convictions, withdrawals, and disqualifications.
        ``(24) Before renewing or issuing a commercial driver's license 
    to an individual, the State shall request information pertaining to 
    the individual from the drug and alcohol clearinghouse maintained 
    under section 31306a.''; and
        (2) by adding at the end the following:
    ``(d) State Commercial Driver's License Program Plan.--
        ``(1) In general.--A State shall submit a plan to the Secretary 
    for complying with the requirements under this section during the 
    period beginning on the date the plan is submitted and ending on 
    September 30, 2016.
        ``(2) Contents.--A plan submitted by a State under paragraph 
    (1) shall identify--
            ``(A) the actions that the State will take to address any 
        deficiencies in the State's commercial driver's license 
        program, as identified by the Secretary in the most recent 
        audit of the program; and
            ``(B) other actions that the State will take to comply with 
        the requirements under subsection (a).
        ``(3) Priority.--
            ``(A) Implementation schedule.--A plan submitted by a State 
        under paragraph (1) shall include a schedule for the 
        implementation of the actions identified under paragraph (2). 
        In establishing the schedule, the State shall prioritize 
        actions to address any deficiencies highlighted by the 
        Secretary as critical in the most recent audit of the program.
            ``(B) Deadline for compliance with requirements.--A plan 
        submitted by a State under paragraph (1) shall include 
        assurances that the State will take the necessary actions to 
        comply with the requirements of subsection (a) not later than 
        September 30, 2015.
        ``(4) Approval and disapproval.--The Secretary shall--
            ``(A) review each plan submitted under paragraph (1);
            ``(B)(i) approve a plan if the Secretary determines that 
        the plan meets the requirements under this subsection and 
        promotes the goals of this chapter; and
            ``(ii) disapprove a plan that the Secretary determines does 
        not meet the requirements or does not promote the goals.
        ``(5) Modification of disapproved plans.--If the Secretary 
    disapproves a plan under paragraph (4), the Secretary shall--
            ``(A) provide a written explanation of the disapproval to 
        the State; and
            ``(B) allow the State to modify the plan and resubmit it 
        for approval.
        ``(6) Plan updates.--The Secretary may require a State to 
    review and update a plan, as appropriate.
    ``(e) Annual Comparison of State Levels of Compliance.--The 
Secretary shall annually--
        ``(1) compare the relative levels of compliance by States with 
    the requirements under subsection (a); and
        ``(2) make the results of the comparison available to the 
    public.''.
SEC. 32306. COMMERCIAL MOTOR VEHICLE DRIVER INFORMATION SYSTEMS.
    Section 31106(c) is amended--
        (1) by striking the heading and inserting ``(1) In General.'';
        (2) by redesignating paragraphs (1) through (4) as 
    subparagraphs (A) through (D); and
        (3) by adding at the end the following:
        ``(2) Access to records.--The Secretary may require a State, as 
    a condition of an award of grant money under this section, to 
    provide the Secretary access to all State licensing status and 
    driver history records via an electronic information system, 
    subject to section 2721 of title 18.''.
SEC. 32307. EMPLOYER RESPONSIBILITIES.
    Section 31304, as amended by section 32303 of this Act, is amended 
in subsection (a)--
        (1) by striking ``knowingly''; and
        (2) by striking ``in which'' and inserting ``that the employer 
    knows or should reasonably know that''.
SEC. 32308. PROGRAM TO ASSIST VETERANS TO ACQUIRE COMMERCIAL DRIVER'S 
LICENSES.
    (a) Study.--
        (1) In general.--Not later than 90 days after the date of 
    enactment of this Act, the Secretary, in coordination with the 
    Secretary of Defense, and in consultation with the States and other 
    relevant stakeholders, shall commence a study to assess Federal and 
    State regulatory, economic, and administrative challenges faced by 
    members and former members of the Armed Forces, who received safety 
    training and operated qualifying motor vehicles during their 
    service, in obtaining commercial driver's licenses (as defined in 
    section 31301(3) of title 49, United States Code).
        (2) Requirements.--The study under this subsection shall--
            (A) identify written and behind-the-wheel safety training, 
        qualification standards, knowledge and skills tests, or other 
        operating experience members of the Armed Forces must meet that 
        satisfy the minimum standards prescribed by the Secretary of 
        Transportation for the operation of commercial motor vehicles 
        under section 31305 of title 49, United States Code;
            (B) compare the alcohol and controlled substances testing 
        requirements for members of the Armed Forces with those 
        required for holders of a commercial driver's license;
            (C) evaluate the cause of delays in reviewing applications 
        for commercial driver's licenses of members and former members 
        of the Armed Forces;
            (D) identify duplicative application costs;
            (E) identify residency, domicile, training and testing 
        requirements, and other safety or health assessments that 
        affect or delay the issuance of commercial driver's licenses to 
        members and former members of the Armed Forces; and
            (F) include other factors that the Secretary determines to 
        be appropriate to meet the requirements of the study.
    (b) Report.--
        (1) In general.--Not later than 180 days after the commencement 
    of the study under subsection (a), the Secretary shall submit a 
    report to the Committee on Commerce, Science, and Transportation of 
    the Senate and the Committee on Financial Services of the House of 
    Representatives that contains the findings and recommendations from 
    the study.
        (2) Elements.--The report under paragraph (1) shall include--
            (A) findings related to the study requirements under 
        subsection (a)(2);
            (B) recommendations for the Federal and State legislative, 
        regulatory, and administrative actions necessary to address 
        challenges identified in subparagraph (A); and
            (C) a plan to implement the recommendations for which the 
        Secretary has authority.
    (c) Implementation.--Not later than 1 year after the date of 
enactment of this Act, the Secretary, in consultation with the 
Secretary of Defense and in cooperation with the States, shall 
implement the recommendations identified in subsection (b) and 
establish accelerated licensing procedures to assist veterans to 
acquire commercial driver's licenses.
    (d) Accelerated Licensing Procedures.--The procedures established 
under subsection (a) shall be designed to be applicable to any veteran 
who--
        (1) is attempting to acquire a commercial driver's license; and
        (2) obtained, during military service, documented driving 
    experience that, in the determination of the Secretary, makes the 
    use of accelerated licensing procedures appropriate.
    (e) Definitions.--In this section:
        (1) Commercial driver's license.--The term ``commercial 
    driver's license'' has the meaning given that term in section 31301 
    of title 49, United States Code.
        (2) State.--The term ``State'' has the meaning given that term 
    in section 31301 of title 49, United States Code.
        (3) Veteran.--The term ``veteran'' has the meaning given that 
    term in section 101 of title 38, United States Code.

                   Subtitle D--Safe Roads Act of 2012

SEC. 32401. SHORT TITLE.
    This subtitle may be cited as the ``Safe Roads Act of 2012''.
SEC. 32402. NATIONAL CLEARINGHOUSE FOR CONTROLLED SUBSTANCE AND ALCOHOL 
TEST RESULTS OF COMMERCIAL MOTOR VEHICLE OPERATORS.
    (a) In General.--Chapter 313 is amended--
        (1) in section 31306(a), by inserting ``and section 31306a'' 
    after ``this section''; and
        (2) by inserting after section 31306 the following:
``Sec. 31306a. National clearinghouse for controlled substance and 
      alcohol test results of commercial motor vehicle operators
    ``(a) Establishment.--
        ``(1) In general.--Not later than 2 years after the date of 
    enactment of the Safe Roads Act of 2012, the Secretary of 
    Transportation shall establish, operate, and maintain a national 
    clearinghouse for records relating to alcohol and controlled 
    substances testing of commercial motor vehicle operators.
        ``(2) Purposes.--The purposes of the clearinghouse shall be--
            ``(A) to improve compliance with the Department of 
        Transportation's alcohol and controlled substances testing 
        program applicable to commercial motor vehicle operators; and
            ``(B) to enhance the safety of our United States roadways 
        by reducing accident and injuries involving the misuse of 
        alcohol or use of controlled substances by operators of 
        commercial motor vehicles.
        ``(3) Contents.--The clearinghouse shall function as a 
    repository for records relating to the positive test results and 
    test refusals of commercial motor vehicle operators and violations 
    by such operators of prohibitions set forth in subpart B of part 
    382 of title 49, Code of Federal Regulations (or any subsequent 
    corresponding regulations).
        ``(4) Electronic exchange of records.--The Secretary shall 
    ensure that records can be electronically submitted to, and 
    requested from, the clearinghouse by authorized users.
        ``(5) Authorized operator.--The Secretary may authorize a 
    qualified private entity to operate and maintain the clearinghouse 
    and to collect fees on behalf of the Secretary under subsection 
    (e). The entity shall operate and maintain the clearinghouse and 
    permit access to driver information and records from the 
    clearinghouse in accordance with this section.
    ``(b) Design of Clearinghouse.--
        ``(1) Use of federal motor carrier safety administration 
    recommendations.--In establishing the clearinghouse, the Secretary 
    shall consider--
            ``(A) the findings and recommendations contained in the 
        Federal Motor Carrier Safety Administration's March 2004 report 
        to Congress required under section 226 of the Motor Carrier 
        Safety Improvement Act of 1999 (49 U.S.C. 31306 note); and
            ``(B) the findings and recommendations contained in the 
        Government Accountability Office's May 2008 report to Congress 
        entitled `Motor Carrier Safety: Improvements to Drug Testing 
        Programs Could Better Identify Illegal Drug Users and Keep Them 
        off the Road.'.
        ``(2) Development of secure processes.--In establishing the 
    clearinghouse, the Secretary shall develop a secure process for--
            ``(A) administering and managing the clearinghouse in 
        compliance with applicable Federal security standards;
            ``(B) registering and authenticating authorized users of 
        the clearinghouse;
            ``(C) registering and authenticating persons required to 
        report to the clearinghouse under subsection (g);
            ``(D) preventing the unauthorized access of information 
        from the clearinghouse;
            ``(E) storing and transmitting data;
            ``(F) persons required to report to the clearinghouse under 
        subsection (g) to timely and accurately submit electronic data 
        to the clearinghouse;
            ``(G) generating timely and accurate reports from the 
        clearinghouse in response to requests for information by 
        authorized users; and
            ``(H) updating an individual's record upon completion of 
        the return-to-duty process described in title 49, Code of 
        Federal Regulations.
        ``(3) Employer alert of positive test result.--In establishing 
    the clearinghouse, the Secretary shall develop a secure method for 
    electronically notifying an employer of each additional positive 
    test result or other noncompliance--
            ``(A) for an employee, that is entered into the 
        clearinghouse during the 7-day period immediately following an 
        employer's inquiry about the employee; and
            ``(B) for an employee who is listed as having multiple 
        employers.
        ``(4) Archive capability.--In establishing the clearinghouse, 
    the Secretary shall develop a process for archiving all 
    clearinghouse records for the purposes of auditing and evaluating 
    the timeliness, accuracy, and completeness of data in the 
    clearinghouse.
        ``(5) Future needs.--
            ``(A) Interoperability with other data systems.--In 
        establishing the clearinghouse, the Secretary shall consider--
                ``(i) the existing data systems containing regulatory 
            and safety data for commercial motor vehicle operators;
                ``(ii) the efficacy of using or combining clearinghouse 
            data with 1 or more of such systems; and
                ``(iii) the potential interoperability of the 
            clearinghouse with such systems.
            ``(B) Specific considerations.--In carrying out 
        subparagraph (A), the Secretary shall determine--
                ``(i) the clearinghouse's capability for 
            interoperability with--

                    ``(I) the National Driver Register established 
                under section 30302;
                    ``(II) the Commercial Driver's License Information 
                System established under section 31309;
                    ``(III) the Motor Carrier Management Information 
                System for preemployment screening services under 
                section 31150; and
                    ``(IV) other data systems, as appropriate; and

                ``(ii) any change to the administration of the current 
            testing program, such as forms, that is necessary to 
            collect data for the clearinghouse.
    ``(c) Standard Formats.--The Secretary shall develop standard 
formats to be used--
        ``(1) by an authorized user of the clearinghouse to--
            ``(A) request a record from the clearinghouse; and
            ``(B) obtain the consent of an individual who is the 
        subject of a request from the clearinghouse, if applicable; and
        ``(2) to notify an individual that a positive alcohol or 
    controlled substances test result, refusing to test, and a 
    violation of any of the prohibitions under subpart B of part 382 of 
    title 49, Code of Federal Regulations (or any subsequent 
    corresponding regulations), will be reported to the clearinghouse.
    ``(d) Privacy.--A release of information from the clearinghouse 
shall--
        ``(1) comply with applicable Federal privacy laws, including 
    the fair information practices under the Privacy Act of 1974 (5 
    U.S.C. 552a);
        ``(2) comply with applicable sections of the Fair Credit 
    Reporting Act (15 U.S.C. 1681 et seq.); and
        ``(3) not be made to any person or entity unless expressly 
    authorized or required by law.
    ``(e) Fees.--
        ``(1) Authority to collect fees.--Except as provided under 
    paragraph (3), the Secretary may collect a reasonable, customary, 
    and nominal fee from an authorized user of the clearinghouse for a 
    request for information from the clearinghouse.
        ``(2) Use of fees.--Fees collected under this subsection shall 
    be used for the operation and maintenance of the clearinghouse.
        ``(3) Limitation.--The Secretary may not collect a fee from an 
    individual requesting information from the clearinghouse that 
    pertains to the record of that individual.
    ``(f) Employer Requirements.--
        ``(1) Determination concerning use of clearinghouse.--The 
    Secretary shall determine if an employer is authorized to use the 
    clearinghouse to meet the alcohol and controlled substances testing 
    requirements under title 49, Code of Federal Regulations.
        ``(2) Applicability of existing requirements.--Each employer 
    and service agent shall continue to comply with the alcohol and 
    controlled substances testing requirements under title 49, Code of 
    Federal Regulations.
        ``(3) Employment prohibitions.--After the clearinghouse is 
    established under subsection (a), at a date determined to be 
    appropriate by the Secretary and published in the Federal Register, 
    an employer shall utilize the clearinghouse to determine whether 
    any employment prohibitions exist and shall not hire an individual 
    to operate a commercial motor vehicle unless the employer 
    determines that the individual, during the preceding 3-year 
    period--
            ``(A) if tested for the use of alcohol and controlled 
        substances, as required under title 49, Code of Federal 
        Regulations--
                ``(i) did not test positive for the use of alcohol or 
            controlled substances in violation of the regulations; or
                ``(ii) tested positive for the use of alcohol or 
            controlled substances and completed the required return-to-
            duty process under title 49, Code of Federal Regulations;
            ``(B)(i) did not refuse to take an alcohol or controlled 
        substance test under title 49, Code of Federal Regulations; or
            ``(ii) refused to take an alcohol or controlled substance 
        test and completed the required return-to-duty process under 
        title 49, Code of Federal Regulations; and
            ``(C) did not violate any other provision of subpart B of 
        part 382 of title 49, Code of Federal Regulations (or any 
        subsequent corresponding regulations).
        ``(4) Annual review.--After the clearinghouse is established 
    under subsection (a), at a date determined to be appropriate by the 
    Secretary and published in the Federal Register, an employer shall 
    request and review a commercial motor vehicle operator's record 
    from the clearinghouse annually for as long as the commercial motor 
    vehicle operator is under the employ of the employer.
    ``(g) Reporting of Records.--
        ``(1) In general.--Beginning 30 days after the date that the 
    clearinghouse is established under subsection (a), a medical review 
    officer, employer, service agent, and other appropriate person, as 
    determined by the Secretary, shall promptly submit to the Secretary 
    any record generated after the clearinghouse is initiated of an 
    individual who--
            ``(A) refuses to take an alcohol or controlled substances 
        test required under title 49, Code of Federal Regulations;
            ``(B) tests positive for alcohol or a controlled substance 
        in violation of the regulations; or
            ``(C) violates any other provision of subpart B of part 382 
        of title 49, Code of Federal Regulations (or any subsequent 
        corresponding regulations).
        ``(2) Inclusion of records in clearinghouse.--The Secretary 
    shall include in the clearinghouse the records of positive test 
    results and test refusals received under paragraph (1).
        ``(3) Modifications and deletions.--If the Secretary determines 
    that a record contained in the clearinghouse is not accurate, the 
    Secretary shall modify or delete the record, as appropriate.
        ``(4) Notification.--The Secretary shall expeditiously notify 
    an individual, unless such notification would be duplicative, 
    when--
            ``(A) a record relating to the individual is received by 
        the clearinghouse;
            ``(B) a record in the clearinghouse relating to the 
        individual is modified or deleted, and include in the 
        notification the reason for the modification or deletion; or
            ``(C) a record in the clearinghouse relating to the 
        individual is released to an employer and specify the reason 
        for the release.
        ``(5) Data quality and security standards for reporting and 
    releasing.--The Secretary may establish additional requirements, as 
    appropriate, to ensure that--
            ``(A) the submission of records to the clearinghouse is 
        timely and accurate;
            ``(B) the release of data from the clearinghouse is timely, 
        accurate, and released to the appropriate authorized user under 
        this section; and
            ``(C) an individual with a record in the clearinghouse has 
        a cause of action for any inappropriate use of information 
        included in the clearinghouse.
        ``(6) Retention of records.--The Secretary shall--
            ``(A) retain a record submitted to the clearinghouse for a 
        5-year period beginning on the date the record is submitted;
            ``(B) remove the record from the clearinghouse at the end 
        of the 5-year period, unless the individual fails to meet a 
        return-to-duty or follow-up requirement under title 49, Code of 
        Federal Regulations; and
            ``(C) retain a record after the end of the 5-year period in 
        a separate location for archiving and auditing purposes.
    ``(h) Authorized Users.--
        ``(1) Employers.--The Secretary shall establish a process for 
    an employer, or an employer's designated agent, to request and 
    receive an individual's record from the clearinghouse.
            ``(A) Consent.--An employer may not access an individual's 
        record from the clearinghouse unless the employer--
                ``(i) obtains the prior written or electronic consent 
            of the individual for access to the record; and
                ``(ii) submits proof of the individual's consent to the 
            Secretary.
            ``(B) Access to records.--After receiving a request from an 
        employer for an individual's record under subparagraph (A), the 
        Secretary shall grant access to the individual's record to the 
        employer as expeditiously as practicable.
            ``(C) Retention of record requests.--The Secretary shall 
        require an employer to retain for a 3-year period--
                ``(i) a record of each request made by the employer for 
            records from the clearinghouse; and
                ``(ii) the information received pursuant to the 
            request.
            ``(D) Use of records.--An employer may use an individual's 
        record received from the clearinghouse only to assess and 
        evaluate whether a prohibition applies with respect to the 
        individual to operate a commercial motor vehicle for the 
        employer.
            ``(E) Protection of privacy of individuals.--An employer 
        that receives an individual's record from the clearinghouse 
        under subparagraph (B) shall--
                ``(i) protect the privacy of the individual and the 
            confidentiality of the record; and
                ``(ii) ensure that information contained in the record 
            is not divulged to a person or entity that is not directly 
            involved in assessing and evaluating whether a prohibition 
            applies with respect to the individual to operate a 
            commercial motor vehicle for the employer.
        ``(2) State licensing authorities.--The Secretary shall 
    establish a process for the chief commercial driver's licensing 
    official of a State to request and receive an individual's record 
    from the clearinghouse if the individual is applying for a 
    commercial driver's license from the State.
            ``(A) Consent.--The Secretary may grant access to an 
        individual's record in the clearinghouse under this paragraph 
        without the prior written or electronic consent of the 
        individual. An individual who holds a commercial driver's 
        license shall be deemed to consent to such access by obtaining 
        a commercial driver's license.
            ``(B) Protection of privacy of individuals.--A chief 
        commercial driver's licensing official of a State that receives 
        an individual's record from the clearinghouse under this 
        paragraph shall--
                ``(i) protect the privacy of the individual and the 
            confidentiality of the record; and
                ``(ii) ensure that the information in the record is not 
            divulged to any person that is not directly involved in 
            assessing and evaluating the qualifications of the 
            individual to operate a commercial motor vehicle.
    ``(i) National Transportation Safety Board.--The Secretary shall 
establish a process for the National Transportation Safety Board to 
request and receive an individual's record from the clearinghouse if 
the individual is involved in an accident that is under investigation 
by the National Transportation Safety Board.
    ``(j) Access to Clearinghouse by Individuals.--
        ``(1) In general.--The Secretary shall establish a process for 
    an individual to request and receive information from the 
    clearinghouse--
            ``(A) to determine whether the clearinghouse contains a 
        record pertaining to the individual;
            ``(B) to verify the accuracy of a record;
            ``(C) to update an individual's record, including 
        completing the return-to-duty process described in title 49, 
        Code of Federal Regulations; and
            ``(D) to determine whether the clearinghouse received 
        requests for the individual's information.
        ``(2) Dispute procedure.--The Secretary shall establish a 
    procedure, including an appeal process, for an individual to 
    dispute and remedy an administrative error in the individual's 
    record.
    ``(k) Penalties.--
        ``(1) In general.--An employer, employee, medical review 
    officer, or service agent who violates any provision of this 
    section shall be subject to civil penalties under section 
    521(b)(2)(C) and criminal penalties under section 521(b)(6)(B), and 
    any other applicable civil and criminal penalties, as determined by 
    the Secretary.
        ``(2) Violation of privacy.--The Secretary shall establish 
    civil and criminal penalties, consistent with paragraph (1), for an 
    authorized user who violates paragraph (1) or (2) of subsection 
    (h).
    ``(l) Compatibility of State and Local Laws.--
        ``(1) Preemption.--Except as provided under paragraph (2), any 
    law, regulation, order, or other requirement of a State, political 
    subdivision of a State, or Indian tribe related to a commercial 
    driver's license holder subject to alcohol or controlled substance 
    testing under title 49, Code of Federal Regulations, that is 
    inconsistent with this section or a regulation issued pursuant to 
    this section is preempted.
        ``(2) Applicability.--The preemption under paragraph (1) shall 
    include--
            ``(A) the reporting of valid positive results from alcohol 
        screening tests and drug tests;
            ``(B) the refusal to provide a specimen for an alcohol 
        screening test or drug test; and
            ``(C) other violations of subpart B of part 382 of title 
        49, Code of Federal Regulations (or any subsequent 
        corresponding regulations).
        ``(3) Exception.--A law, regulation, order, or other 
    requirement of a State, political subdivision of a State, or Indian 
    tribe shall not be preempted under this subsection to the extent it 
    relates to an action taken with respect to a commercial motor 
    vehicle operator's commercial driver's license or driving record as 
    a result of the driver's--
            ``(A) verified positive alcohol or drug test result;
            ``(B) refusal to provide a specimen for the test; or
            ``(C) other violations of subpart B of part 382 of title 
        49, Code of Federal Regulations (or any subsequent 
        corresponding regulations).
    ``(m) Definitions.--In this section--
        ``(1) Authorized user.--The term `authorized user' means an 
    employer, State licensing authority, or other person granted access 
    to the clearinghouse under subsection (h).
        ``(2) Chief commercial driver's licensing official.--The term 
    `chief commercial driver's licensing official' means the official 
    in a State who is authorized to--
            ``(A) maintain a record about commercial driver's licenses 
        issued by the State; and
            ``(B) take action on commercial driver's licenses issued by 
        the State.
        ``(3) Clearinghouse.--The term `clearinghouse' means the 
    clearinghouse established under subsection (a).
        ``(4) Commercial motor vehicle operator.--The term `commercial 
    motor vehicle operator' means an individual who--
            ``(A) possesses a valid commercial driver's license issued 
        in accordance with section 31308; and
            ``(B) is subject to controlled substances and alcohol 
        testing under title 49, Code of Federal Regulations.
        ``(5) Employer.--The term `employer' means a person or entity 
    employing, or seeking to employ, 1 or more employees (including an 
    individual who is self-employed) to be commercial motor vehicle 
    operators.
        ``(6) Medical review officer.--The term `medical review 
    officer' means a licensed physician who is responsible for--
            ``(A) receiving and reviewing a laboratory result generated 
        under the testing program;
            ``(B) evaluating a medical explanation for a controlled 
        substances test under title 49, Code of Federal Regulations; 
        and
            ``(C) interpreting the results of a controlled substances 
        test.
        ``(7) Secretary.--The term `Secretary' means the Secretary of 
    Transportation.
        ``(8) Service agent.--The term `service agent' means a person 
    or entity, other than an employee of the employer, who provides 
    services to employers or employees under the testing program.
        ``(9) Testing program.--The term `testing program' means the 
    alcohol and controlled substances testing program required under 
    title 49, Code of Federal Regulations.''.
    (b) Conforming Amendment.--The analysis for chapter 313 is amended 
by inserting after the item relating to section 31306 the following:

``31306a. National clearinghouse for positive controlled substance and 
          alcohol test results of commercial motor vehicle operators.''.

                        Subtitle E--Enforcement

SEC. 32501. INSPECTION DEMAND AND DISPLAY OF CREDENTIALS.
    (a) Safety Investigations.--Section 504(c) is amended--
        (1) by inserting ``, or an employee of the recipient of a grant 
    issued under section 31102 of this title'' after ``a contractor''; 
    and
        (2) by inserting ``, in person or in writing'' after ``proper 
    credentials''.
    (b) Civil Penalty.--Section 521(b)(2)(E) is amended--
        (1) by redesignating subparagraph (E) as subparagraph (E)(i); 
    and
        (2) by adding at the end the following:
                ``(ii) Place out of service.--The Secretary may by 
            regulation adopt procedures for placing out of service the 
            commercial motor vehicle of a foreign-domiciled motor 
            carrier that fails to promptly allow the Secretary to 
            inspect and copy a record or inspect equipment, land, 
            buildings, or other property.''.
    (c) Hazardous Materials Investigations.--Section 5121(c)(2) is 
amended by inserting ``, in person or in writing,'' after ``proper 
credentials''.
    (d) Commercial Investigations.--Section 14122(b) is amended by 
inserting ``, in person or in writing'' after ``proper credentials''.
SEC. 32502. OUT OF SERVICE PENALTY FOR DENIAL OF ACCESS TO RECORDS.
    Section 521(b)(2)(E) is amended--
        (1) by inserting after ``$10,000.'' the following: ``In the 
    case of a motor carrier, the Secretary may also place the 
    violator's motor carrier operations out of service.''; and
        (2) by striking ``such penalty'' after ``It shall be a defense 
    to'' and inserting ``a penalty''.
SEC. 32503. PENALTIES FOR VIOLATION OF OPERATION OUT OF SERVICE ORDERS.
    Section 521(b)(2) is amended by adding at the end the following:
            ``(F) Penalty for violations relating to out of service 
        orders.--A motor carrier or employer (as defined in section 
        31132) that operates a commercial motor vehicle in commerce in 
        violation of a prohibition on transportation under section 
        31144(c) of this title or an imminent hazard out of service 
        order issued under subsection (b)(5) of this section or section 
        5121(d) of this title shall be liable for a civil penalty not 
        to exceed $25,000.''.
SEC. 32504. IMPOUNDMENT AND IMMOBILIZATION OF COMMERCIAL MOTOR VEHICLES 
FOR IMMINENT HAZARD.
    Section 521(b) is amended by adding at the end the following:
        ``(15) Impoundment of commercial motor vehicles.--
            ``(A) Enforcement of imminent hazard out-of-service 
        orders.--
                ``(i) The Secretary, or an authorized State official 
            carrying out motor carrier safety enforcement activities 
            under section 31102, may enforce an imminent hazard out-of-
            service order issued under chapters 5, 51, 131 through 149, 
            311, 313, or 315 of this title, or a regulation promulgated 
            thereunder, by towing and impounding a commercial motor 
            vehicle until the order is rescinded.
                ``(ii) Enforcement shall not unreasonably interfere 
            with the ability of a shipper, carrier, broker, or other 
            party to arrange for the alternative transportation of any 
            cargo or passenger being transported at the time the 
            commercial motor vehicle is immobilized. In the case of a 
            commercial motor vehicle transporting passengers, the 
            Secretary or authorized State official shall provide 
            reasonable, temporary, and secure shelter and 
            accommodations for passengers in transit.
                ``(iii) The Secretary's designee or an authorized State 
            official carrying out motor carrier safety enforcement 
            activities under section 31102, shall immediately notify 
            the owner of a commercial motor vehicle of the impoundment 
            and the opportunity for review of the impoundment. A review 
            shall be provided in accordance with section 554 of title 
            5, except that the review shall occur not later than 10 
            days after the impoundment.
            ``(B) Issuance of regulations.--The Secretary shall 
        promulgate regulations on the use of impoundment or 
        immobilization of commercial motor vehicles as a means of 
        enforcing additional out-of-service orders issued under 
        chapters 5, 51, 131 through 149, 311, 313, or 315 of this 
        title, or a regulation promulgated thereunder. Regulations 
        promulgated under this subparagraph shall include consideration 
        of public safety, the protection of passengers and cargo, 
        inconvenience to passengers, and the security of the commercial 
        motor vehicle.
            ``(C) Definition.--In this paragraph, the term 
        `impoundment' or `impounding' means the seizing and taking into 
        custody of a commercial motor vehicle or the immobilizing of a 
        commercial motor vehicle through the attachment of a locking 
        device or other mechanical or electronic means.''.
SEC. 32505. INCREASED PENALTIES FOR EVASION OF REGULATIONS.
    (a) Penalties.--Section 524 is amended--
        (1) by striking ``knowingly and willfully'';
        (2) by inserting after ``this chapter'' the following: ``, 
    chapter 51, subchapter III of chapter 311 (except sections 31138 
    and 31139) or section 31302, 31303, 31304, 31305(b), 
    31310(g)(1)(A), or 31502 of this title, or a regulation issued 
    under any of those provisions,'';
        (3) by striking ``$200 but not more than $500'' and inserting 
    ``$2,000 but not more than $5,000''; and
        (4) by striking ``$250 but not more than $2,000'' and inserting 
    ``$2,500 but not more than $7,500''.
    (b) Evasion of Regulation.--Section 14906 is amended--
        (1) by striking ``$200'' and inserting ``at least $2,000'';
        (2) by striking ``$250'' and inserting ``$5,000''; and
        (3) by inserting after ``a subsequent violation'' the 
    following:
    ``, and may be subject to criminal penalties''.
SEC. 32506. VIOLATIONS RELATING TO COMMERCIAL MOTOR VEHICLE SAFETY 
REGULATION AND OPERATORS.
    Section 521(b)(2)(D) is amended by striking ``ability to pay,''.
SEC. 32507. EMERGENCY DISQUALIFICATION FOR IMMINENT HAZARD.
    Section 31310(f) is amended--
        (1) in paragraph (1) by inserting ``section 521 or'' before 
    ``section 5102''; and
        (2) in paragraph (2) by inserting ``section 521 or'' before 
    ``section 5102''.
SEC. 32508. DISCLOSURE TO STATE AND LOCAL LAW ENFORCEMENT AGENCIES.
    Section 31106(e) is amended--
        (1) by redesignating subsection (e) as subsection (e)(1); and
        (2) by inserting at the end the following:
        ``(2) In general.--Notwithstanding any prohibition on 
    disclosure of information in section 31105(h) or 31143(b) of this 
    title or section 552a of title 5, the Secretary may disclose 
    information maintained by the Secretary pursuant to chapters 51, 
    135, 311, or 313 of this title to appropriate personnel of a State 
    agency or instrumentality authorized to carry out State commercial 
    motor vehicle safety activities and commercial driver's license 
    laws, or appropriate personnel of a local law enforcement agency, 
    in accordance with standards, conditions, and procedures as 
    determined by the Secretary. Disclosure under this section shall 
    not operate as a waiver by the Secretary of any applicable 
    privilege against disclosure under common law or as a basis for 
    compelling disclosure under section 552 of title 5.''.
SEC. 32509. GRADE CROSSING SAFETY REGULATIONS.
    Section 112(2) of the Hazardous Materials Transportation 
Authorization Act of 1994 (Public Law 103-311) is amended by striking 
``315 of such title (relating to motor carrier safety)'' and inserting 
``311 of such title (relating to commercial motor vehicle safety)''.

             Subtitle F--Compliance, Safety, Accountability

SEC. 32601. MOTOR CARRIER SAFETY ASSISTANCE PROGRAM.
    (a) In General.--Section 31102(b) is amended--
        (1) by amending the heading to read as follows:
    ``(b) Motor Carrier Safety Assistance Program.--'';
        (2) by redesignating paragraphs (1) through (3) as (2) through 
    (4), respectively;
        (3) by inserting before paragraph (2), as redesignated, the 
    following:
        ``(1) Program goal.--The goal of the Motor Carrier Safety 
    Assistance Program is to ensure that the Secretary, States, local 
    government agencies, and other political jurisdictions work in 
    partnership to establish programs to improve motor carrier, 
    commercial motor vehicle, and driver safety to support a safe and 
    efficient surface transportation system by--
            ``(A) making targeted investments to promote safe 
        commercial motor vehicle transportation, including 
        transportation of passengers and hazardous materials;
            ``(B) investing in activities likely to generate maximum 
        reductions in the number and severity of commercial motor 
        vehicle crashes and fatalities resulting from such crashes;
            ``(C) adopting and enforcing effective motor carrier, 
        commercial motor vehicle, and driver safety regulations and 
        practices consistent with Federal requirements; and
            ``(D) assessing and improving statewide performance by 
        setting program goals and meeting performance standards, 
        measures, and benchmarks.'';
        (4) in paragraph (2), as redesignated--
            (A) by striking ``make a declaration of'' in subparagraph 
        (I) and inserting ``demonstrate'';
            (B) by amending subparagraph (M) to read as follows:
            ``(M) ensures participation in appropriate Federal Motor 
        Carrier Safety Administration systems and other information 
        systems by all appropriate jurisdictions receiving Motor 
        Carrier Safety Assistance Program funding;'';
            (C) in subparagraph (Q), by inserting ``and dedicated 
        sufficient resources to'' between ``established'' and ``a 
        program'';
            (D) in subparagraph (W), by striking ``and'' after the 
        semicolon;
            (E) in subparagraph (X), by striking the period and 
        inserting ``; and''; and
            (F) by adding after subparagraph (X) the following:
            ``(Y) ensures that the State will transmit to its roadside 
        inspectors the notice of each Federal exemption granted 
        pursuant to section 31315(b) and provided to the State by the 
        Secretary, including the name of the person granted the 
        exemption and any terms and conditions that apply to the 
        exemption.''; and
        (5) by amending paragraph (4), as redesignated, to read as 
    follows:
        ``(4) Maintenance of effort.--
            ``(A) In general.--A plan submitted by a State under 
        paragraph (2) shall provide that the total expenditure of 
        amounts of the lead State agency responsible for implementing 
        the plan will be maintained at a level at least equal to the 
        average level of that expenditure for fiscal years 2004 and 
        2005.
            ``(B) Average level of state expenditures.--In estimating 
        the average level of State expenditure under subparagraph (A), 
        the Secretary--
                ``(i) may allow the State to exclude State expenditures 
            for Government-sponsored demonstration or pilot programs; 
            and
                ``(ii) shall require the State to exclude State 
            matching amounts used to receive Government financing under 
            this subsection.
            ``(C) Waiver.--Upon the request of a State, the Secretary 
        may waive or modify the requirements of this paragraph for 1 
        fiscal year, if the Secretary determines that a waiver is 
        equitable due to exceptional or uncontrollable circumstances, 
        such as a natural disaster or a serious decline in the 
        financial resources of the State motor carrier safety 
        assistance program agency.''.
SEC. 32602. PERFORMANCE AND REGISTRATION INFORMATION SYSTEMS MANAGEMENT 
PROGRAM.
    Section 31106(b) is amended by amending paragraph (3)(C) to read as 
follows:
            ``(C) establish and implement a process--
                ``(i) to cancel the motor vehicle registration and 
            seize the registration plates of a vehicle when an employer 
            is found liable under section 31310(i)(2)(C) for knowingly 
            allowing or requiring an employee to operate such a 
            commercial motor vehicle in violation of an out-of-service 
            order; and
                ``(ii) to reinstate the vehicle registration or return 
            the registration plates of the commercial motor vehicle, 
            subject to sanctions under clause (i), if the Secretary 
            permits such carrier to resume operations after the date of 
            issuance of such order.''.
SEC. 32603. AUTHORIZATION OF APPROPRIATIONS.
    (a) Motor Carrier Safety Grants.--Section 31104(a) is amended--
        (1) by striking ``and'' at the end of paragraph (7);
        (2) by striking paragraph (8); and
        (3) by inserting after paragraph (7) the following:
        ``(8) $215,000,000 for fiscal year 2013; and
        ``(9) $218,000,000 for fiscal year 2014.''.
    (b) Administrative Expenses.--Section 31104(i)(1) is amended--
        (1) by striking ``and'' at the end of subparagraph (G); and
        (2) by striking subparagraph (H); and
        (3) by inserting after subparagraph (G) the following:
            ``(H) $251,000,000 for fiscal year 2013; and
            ``(I) $259,000,000 for fiscal year 2014.''.
    (c) Grant Programs.--Section 4101(c) of SAFETEA-LU (119 Stat. 1715) 
is amended to read as follows:
    ``(c) Grant Programs.--There are authorized to be appropriated from 
the Highway Trust Fund (other than the Mass Transit Account) the 
following sums for the following Federal Motor Carrier Safety 
Administration programs:
        ``(1) Commercial driver's license program improvement grants.--
    For commercial driver's license program improvement grants under 
    section 31313 of title 49, United States Code $30,000,000 for each 
    of fiscal years 2013 and 2014.
        ``(2) Border enforcement grants.--For border enforcement grants 
    under section 31107 of such title $32,000,000 for each of fiscal 
    years 2013 and 2014.
        ``(3) Performance and registration information system 
    management grant program.--For the performance and registration 
    information system management grant program under section 31109 of 
    such title $5,000,000 for each of fiscal years 2013 and 2014.
        ``(4) Commercial vehicle information systems and networks 
    deployment.--For carrying out the commercial vehicle information 
    systems and networks deployment program under section 4126 of this 
    Act, $25,000,000 for each of fiscal years 2013 and 2014.
        ``(5) Safety data improvement grants.--For safety data 
    improvement grants under section 4128 of this Act, $3,000,000 for 
    each of fiscal years 2013 and 2014.''.
    (d) High-priority Activities.--Section 31104(k)(2) is amended by 
striking ``2011 and $11,250,000 for the period beginning on October 1, 
2011, and ending on June 30, 2012,'' and inserting ``2014''.
    (e) New Entrant Audits.--Section 31144(g)(5)(B) is amended to read 
as follows:
            ``(B) Set aside.--The Secretary shall set aside from 
        amounts made available by section 31104(a) up to $32,000,000 
        per fiscal year for audits of new entrant motor carriers 
        conducted pursuant to this paragraph.''.
    (f) Outreach and Education.--Section 4127(e) of SAFETEA-LU (119 
Stat. 1741) is amended to read as follows:
    ``(e) Funding.--From amounts made available under section 31104(i) 
of title 49, United States Code, the Secretary shall make available 
$4,000,000 to the Federal Motor Carrier Safety Administration for each 
of fiscal years 2013 and 2014 to carry out this section (other than 
subsection (f)).''.
    (g) Grant Program for Commercial Motor Vehicle Operators.--Section 
4134(c) of SAFETEA-LU (49 U.S.C. 31301 note) is amended by striking 
``2011 and $750,000 for the period beginning on October 1, 2011, and 
ending on June 30, 2012,'' and inserting ``2014''.
    (h) Border Enforcement Grants.--Section 31107 is amended--
        (1) by striking subsection (b); and
        (2) redesignating subsections (c) and (d) as subsections (b) 
    and (c), respectively.
    (i) Administration of Grant Programs.--The Secretary is authorized 
to identify and implement processes to reduce the administrative burden 
on the States and the Department of Transportation concerning the 
application and management of the grant programs authorized under 
chapter 311 and chapter 313 of title 49, United States Code.
SEC. 32604. GRANTS FOR COMMERCIAL DRIVER'S LICENSE PROGRAM 
IMPLEMENTATION.
    (a) Grants for Commercial Driver's License Program 
Implementation.--Section 31313(a) is amended to read as follows:
    ``(a) Commercial Driver's License Program Improvement Grants.--
        ``(1) Program goal.--The Secretary of Transportation may make a 
    grant to a State in a fiscal year--
            ``(A) to comply with the requirements of section 31311;
            ``(B) in the case of a State that is making a good faith 
        effort toward substantial compliance with the requirements of 
        this section and section 31311, to improve its implementation 
        of its commercial driver's license program, including 
        expenses--
                ``(i) for computer hardware and software;
                ``(ii) for publications, testing, personnel, training, 
            and quality control;
                ``(iii) for commercial driver's license program 
            coordinators;
                ``(iv) to implement or maintain a system to notify an 
            employer of an operator of a commercial motor vehicle of 
            the suspension or revocation of the operator's commercial 
            driver's license consistent with the standards developed 
            under section 32303(b) of the Commercial Motor Vehicle 
            Safety Enhancement Act of 2012.
        ``(2) Prohibitions.--A State may not use grant funds under this 
    subsection to rent, lease, or buy land or buildings.''.
    (b) Conforming Amendment.--
        (1) The heading for section 31313 is amended by striking 
    ``improvements'' and inserting ``implementation''.
        (2) The analysis of chapter 313 is amended by striking the item 
    relating to section 31313 and inserting the following:

``31313. Grants for commercial driver's license program 
          implementation.''.
SEC. 32605. COMMERCIAL VEHICLE INFORMATION SYSTEMS AND NETWORKS.
    Not later than 6 months after the date of enactment of this Act, 
the Secretary shall submit a report to the Committee on Commerce, 
Science, and Transportation of the Senate and the Committee on 
Transportation and Infrastructure of the House of Representatives that 
includes--
        (1) established time frames and milestones for resuming the 
    Commercial Vehicle Information Systems and Networks Program; and
        (2) a strategic workforce plan for its grants management office 
    to ensure that it has determined the skills and competencies that 
    are critical to achieving its mission goals.

           Subtitle G--Motorcoach Enhanced Safety Act of 2012

SEC. 32701. SHORT TITLE.
    This subtitle may be cited as the ``Motorcoach Enhanced Safety Act 
of 2012''.
SEC. 32702. DEFINITIONS.
    In this subtitle:
        (1) Advanced glazing.--The term ``advanced glazing'' means 
    glazing installed in a portal on the side or the roof of a 
    motorcoach that is designed to be highly resistant to partial or 
    complete occupant ejection in all types of motor vehicle crashes.
        (2) Bus.--The term ``bus'' has the meaning given the term in 
    section 571.3(b) of title 49, Code of Federal Regulations (as in 
    effect on the day before the date of enactment of this Act).
        (3) Commercial motor vehicle.--Except as otherwise specified, 
    the term ``commercial motor vehicle'' has the meaning given the 
    term in section 31132(1) of title 49, United States Code.
        (4) Direct tire pressure monitoring system.--The term ``direct 
    tire pressure monitoring system'' means a tire pressure monitoring 
    system that is capable of directly detecting when the air pressure 
    level in any tire is significantly under-inflated and providing the 
    driver a low tire pressure warning as to which specific tire is 
    significantly under-inflated.
        (5) Motor carrier.--The term ``motor carrier'' means--
            (A) a motor carrier (as defined in section 13102(14) of 
        title 49, United States Code); or
            (B) a motor private carrier (as defined in section 
        13102(15) of that title).
        (6) Motorcoach.--The term ``motorcoach'' has the meaning given 
    the term ``over-the-road bus'' in section 3038(a)(3) of the 
    Transportation Equity Act for the 21st Century (49 U.S.C. 5310 
    note), but does not include--
            (A) a bus used in public transportation provided by, or on 
        behalf of, a public transportation agency; or
            (B) a school bus, including a multifunction school activity 
        bus.
        (7) Motorcoach services.--The term ``motorcoach services'' 
    means passenger transportation by motorcoach for compensation.
        (8) Multifunction school activity bus.--The term 
    ``multifunction school activity bus'' has the meaning given the 
    term in section 571.3(b) of title 49, Code of Federal Regulations 
    (as in effect on the day before the date of enactment of this Act).
        (9) Portal.--The term ``portal'' means any opening on the 
    front, side, rear, or roof of a motorcoach that could, in the event 
    of a crash involving the motorcoach, permit the partial or complete 
    ejection of any occupant from the motorcoach, including a young 
    child.
        (10) Provider of motorcoach services.--The term ``provider of 
    motorcoach services'' means a motor carrier that provides passenger 
    transportation services with a motorcoach, including per-trip 
    compensation and contracted or chartered compensation.
        (11) Public transportation.--The term ``public transportation'' 
    has the meaning given the term in section 5302 of title 49, United 
    States Code.
        (12) Safety belt.--The term ``safety belt'' has the meaning 
    given the term in section 153(i)(4)(B) of title 23, United States 
    Code.
        (13) Secretary.--The term ``Secretary'' means the Secretary of 
    Transportation.
SEC. 32703. REGULATIONS FOR IMPROVED OCCUPANT PROTECTION, PASSENGER 
EVACUATION, AND CRASH AVOIDANCE.
    (a) Regulations Required Within 1 Year.--Not later than 1 year 
after the date of enactment of this Act, the Secretary shall prescribe 
regulations requiring safety belts to be installed in motorcoaches at 
each designated seating position.
    (b) Regulations Required Within 2 Years.--Not later than 2 years 
after the date of enactment of this Act, the Secretary shall prescribe 
regulations that address the following commercial motor vehicle 
standards, if the Secretary determines that such standards meet the 
requirements and considerations set forth in subsections (a) and (b) of 
section 30111 of title 49, United States Code:
        (1) Roof strength and crush resistance.--The Secretary shall 
    establish improved roof and roof support standards for motorcoaches 
    that substantially improve the resistance of motorcoach roofs to 
    deformation and intrusion to prevent serious occupant injury in 
    rollover crashes involving motorcoaches.
        (2) Anti-ejection safety countermeasures.--The Secretary shall 
    consider requiring advanced glazing standards for each motorcoach 
    portal and shall consider other portal improvements to prevent 
    partial and complete ejection of motorcoach passengers, including 
    children. In prescribing such standards, the Secretary shall 
    consider the impact of such standards on the use of motorcoach 
    portals as a means of emergency egress.
        (3) Rollover crash avoidance.--The Secretary shall consider 
    requiring motorcoaches to be equipped with stability enhancing 
    technology, such as electronic stability control and torque 
    vectoring, to reduce the number and frequency of rollover crashes 
    among motorcoaches.
    (c) Commercial Motor Vehicle Tire Pressure Monitoring Systems.--Not 
later than 3 years after the date of enactment of this Act, the 
Secretary shall prescribe the following commercial vehicle regulation:
        (1) In general.--The Secretary shall consider requiring 
    motorcoaches to be equipped with direct tire pressure monitoring 
    systems that warn the operator of a commercial motor vehicle when 
    any tire exhibits a level of air pressure that is below a specified 
    level of air pressure established by the Secretary, if the 
    Secretary determines that such standards meet the requirements and 
    considerations set forth in subsections (a) and (b) of section 
    30111 of title 49, United States Code.
        (2) Performance requirements.--In any standard adopted under 
    paragraph (1), the Secretary shall include performance requirements 
    to meet the objectives identified in paragraph (1) of this 
    subsection.
    (d) Tire Performance Standard.--Not later than 3 years after the 
date of enactment of this Act, the Secretary shall consider--
        (1) issuing a rule to upgrade performance standards for tires 
    used on motorcoaches, including an enhanced endurance test and a 
    new high-speed performance test; or
        (2) if the Secretary determines that a standard does not meet 
    the requirements and considerations set forth in subsections (a) 
    and (b) of section 30111 of title 49, United States Code, submit a 
    report that describes the reasons for not prescribing such a 
    standard to--
            (A) the Committee on Commerce, Science, and Transportation 
        of the Senate;
            (B) the Committee on Transportation and Infrastructure of 
        the House of Representatives; and
            (C) the Committee on Energy and Commerce of the House of 
        Representatives.
    (e) Application of Regulations.--
        (1) New motorcoaches.--Any regulation prescribed in accordance 
    with subsection (a), (b), (c), or (d) shall--
            (A) apply to all motorcoaches manufactured more than 3 
        years after the date on which the regulation is published as a 
        final rule;
            (B) take into account the impact to seating capacity of 
        changes to size and weight of motorcoaches and the ability to 
        comply with State and Federal size and weight requirements; and
            (C) be based on the best available science.
        (2) Retrofit assessment for existing motorcoaches.--
            (A) In general.--The Secretary may assess the feasibility, 
        benefits, and costs with respect to the application of any 
        requirement established under subsection (a) or (b)(2) to 
        motorcoaches manufactured before the date on which the 
        requirement applies to new motorcoaches under paragraph (1).
            (B) Report.--The Secretary shall submit a report on the 
        assessment to the Committee on Commerce, Science, and 
        Transportation of the Senate and the Committee on 
        Transportation and Infrastructure and the Committee on Energy 
        and Commerce of the House of Representatives not later than 2 
        years after the date of enactment of this Act.
SEC. 32704. FIRE PREVENTION AND MITIGATION.
    (a) Research and Testing.--The Secretary shall conduct research and 
testing to determine the most prevalent causes of motorcoach fires and 
the best methods to prevent such fires and to mitigate the effect of 
such fires, both inside and outside the motorcoach. Such research and 
testing shall consider flammability of exterior components, smoke 
suppression, prevention of and resistance to wheel well fires, 
automatic fire suppression, passenger evacuation, causation and 
prevention of motorcoach fires, and improved fire extinguishers.
    (b) Standards.--Not later than 3 years after the date of enactment 
of this Act, the Secretary may issue fire prevention and mitigation 
standards for motorcoaches, based on the results of the Secretary's 
research and testing, taking into account highway size and weight 
restrictions applicable to motorcoaches, if the Secretary determines 
that such standards meet the requirements and considerations set forth 
in subsections (a) and (b) of section 30111 of title 49, United States 
Code.
SEC. 32705. OCCUPANT PROTECTION, COLLISION AVOIDANCE, FIRE CAUSATION, 
AND FIRE EXTINGUISHER RESEARCH AND TESTING.
    (a) Safety Research Initiatives.--Not later than 3 years after the 
date of enactment of this Act, the Secretary shall complete the 
following research and testing:
        (1) Interior impact protection.--The Secretary shall research 
    and test enhanced occupant impact protection technologies for 
    motorcoach interiors to reduce serious injuries for all passengers 
    of motorcoaches.
        (2) Compartmentalization safety countermeasures.--The Secretary 
    shall research and test enhanced compartmentalization safety 
    countermeasures for motorcoaches, including enhanced seating 
    designs.
        (3) Collision avoidance systems.--The Secretary shall research 
    and test forward and lateral crash warning systems applications for 
    motorcoaches.
    (b) Rulemaking.--Not later than 2 years after the completion of 
each research and testing initiative required under subsection (a), the 
Secretary shall issue final motor vehicle safety standards if the 
Secretary determines that such standards meet the requirements and 
considerations set forth in subsections (a) and (b) of section 30111 of 
title 49, United States Code.
SEC. 32706. CONCURRENCE OF RESEARCH AND RULEMAKING.
    (a) Requirements.--To the extent feasible, the Secretary shall 
ensure that research programs are carried out concurrently, and in a 
manner that concurrently assesses results, potential countermeasures, 
costs, and benefits.
    (b) Authority to Combine Rulemakings.--When considering each of the 
rulemaking provisions, the Secretary may initiate a single rulemaking 
proceeding encompassing all aspects or may combine the rulemakings as 
the Secretary deems appropriate.
    (c) Considerations.--If the Secretary undertakes separate 
rulemaking proceedings, the Secretary shall--
        (1) consider whether each added aspect of rulemaking may 
    contribute to addressing the safety need determined to require 
    rulemaking;
        (2) consider the benefits obtained through the safety belts 
    rulemaking in section 32703(a); and
        (3) avoid duplicative benefits, costs, and countermeasures.
SEC. 32707. IMPROVED OVERSIGHT OF MOTORCOACH SERVICE PROVIDERS.
    (a) Safety Reviews.--Section 31144, as amended by section 32202 of 
this Act, is amended by adding at the end the following:
    ``(i) Periodic Safety Reviews of Owners and Operators of Interstate 
For-hire Commercial Motor Vehicles Designed or Used to Transport 
Passengers.--
        ``(1) Safety review.--
            ``(A) In general.--The Secretary shall--
                ``(i) determine the safety fitness of each motor 
            carrier of passengers who the Secretary registers under 
            section 13902 or 31134 through a simple and understandable 
            rating system that allows passengers to compare the safety 
            performance of each such motor carrier; and
                ``(ii) assign a safety fitness rating to each such 
            motor carrier.
            ``(B) Applicability.--Subparagraph (A) shall apply--
                ``(i) to any provider of motorcoach services registered 
            with the Administration after the date of enactment of the 
            Motorcoach Enhanced Safety Act of 2012 beginning not later 
            than 2 years after the date of such registration; and
                ``(ii) to any provider of motorcoach services 
            registered with the Administration on or before the date of 
            enactment of that Act beginning not later than 3 years 
            after the date of enactment of that Act.
        ``(2) Periodic review.--The Secretary shall establish, by 
    regulation, a process for monitoring the safety performance of each 
    motor carrier of passengers on a regular basis following the 
    assignment of a safety fitness rating, including progressive 
    intervention to correct unsafe practices.
        ``(3) Enforcement strike forces.--In addition to the enhanced 
    monitoring and enforcement actions required under paragraph (2), 
    the Secretary may organize special enforcement strike forces 
    targeting motor carriers of passengers.
        ``(4) Periodic update of safety fitness rating.--In conducting 
    the safety reviews required under this subsection, the Secretary 
    shall--
            ``(A) reassess the safety fitness rating of each motor 
        carrier of passengers not less frequently than once every 3 
        years; and
            ``(B) annually assess the safety fitness of certain motor 
        carriers of passengers that serve primarily urban areas with 
        high passenger loads.''.
    (b) Disclosure of Safety Performance Ratings of Motorcoach Services 
and Operations.--
        (1) Definitions.--In this subsection:
            (A) Motorcoach.--
                (i) In general.--Except as provided in clause (ii), the 
            term ``motorcoach'' has the meaning given the term ``over-
            the-road bus'' in section 3038(a)(3) of the Transportation 
            Equity Act for the 21st Century (49 U.S.C. 5310 note).
                (ii) Exclusions.--The term ``motorcoach'' does not 
            include--

                    (I) a bus used in public transportation that is 
                provided by a State or local government; or
                    (II) a school bus (as defined in section 
                30125(a)(1) of title 49, United States Code), including 
                a multifunction school activity bus.

            (B) Motorcoach services and operations.--The term 
        ``motorcoach services and operations'' means passenger 
        transportation by a motorcoach for compensation.
        (2) Requirements for the disclosure of safety performance 
    ratings of motorcoach services and operations.--
            (A) In general.--Not later than 1 year after the date of 
        enactment of this Act, the Secretary shall establish, through 
        notice and opportunity for public to comment, requirements to 
        improve the accessibility to the public of safety rating 
        information of motorcoach services and operations.
            (B) Display.--In establishing the requirements under 
        subparagraph (A), the Secretary shall consider requirements for 
        each motor carrier that owns or leases 1 or more motorcoaches 
        that transport passengers subject to the Secretary's 
        jurisdiction under section 13501 of title 49, United States 
        Code, to prominently display safety fitness information 
        pursuant to section 31144 of title 49, United States Code--
                (i) in each terminal of departure;
                (ii) in the motorcoach and visible from a position 
            exterior to the vehicle at the point of departure, if the 
            motorcoach does not depart from a terminal; and
                (iii) at all points of sale for such motorcoach 
            services and operations.
SEC. 32708. REPORT ON FEASIBILITY, BENEFITS, AND COSTS OF ESTABLISHING 
A SYSTEM OF CERTIFICATION OF TRAINING PROGRAMS.
    Not later than 2 years after the date of enactment of this Act, the 
Secretary of Transportation shall submit a report to the Committee on 
Commerce, Science, and Transportation of the Senate and the Committee 
on Transportation and Infrastructure of the House of Representatives 
that describes the feasibility, benefits, and costs of establishing a 
system of certification of public and private schools and of motor 
carriers and motorcoach operators that provide motorcoach driver 
training.
SEC. 32709. COMMERCIAL DRIVER'S LICENSE PASSENGER ENDORSEMENT 
REQUIREMENTS.
    (a) In General.--Not later than 2 years after the date of enactment 
of this Act, the Secretary of Transportation shall review and assess 
the current knowledge and skill testing requirements for a commercial 
driver's license passenger endorsement to determine what improvements 
to the knowledge test, the examination of driving skills, and the 
application of such requirements are necessary to ensure the safe 
operation of commercial motor vehicles designed or used to transport 
passengers.
    (b) Report.--Not later than 120 days after completion of the review 
and assessment under subsection (a), the Secretary of Transportation 
shall submit to the Committee on Transportation and Infrastructure of 
the House of Representatives and the Committee on Commerce, Science, 
and Transportation of the Senate--
        (1) a report on the review and assessment conducted under 
    subsection (a);
        (2) a plan to implement any changes to the knowledge and skills 
    tests; and
        (3) a timeframe by which the Secretary will implement the 
    changes.
SEC. 32710. SAFETY INSPECTION PROGRAM FOR COMMERCIAL MOTOR VEHICLES OF 
PASSENGERS.
    Not later than 3 years after the date of enactment of this Act, the 
Secretary of Transportation shall complete a rulemaking proceeding to 
consider requiring States to establish a program for annual inspections 
of commercial motor vehicles designed or used to transport passengers, 
including an assessment of--
        (1) the risks associated with improperly maintained or 
    inspected commercial motor vehicles designed or used to transport 
    passengers;
        (2) the effectiveness of existing Federal standards for the 
    inspection of such vehicles in--
            (A) mitigating the risks described in paragraph (1); and
            (B) ensuring the safe and proper operation condition of 
        such vehicles; and
        (3) the costs and benefits of a mandatory inspection program.
SEC. 32711. REGULATIONS.
    Any standard or regulation prescribed or modified pursuant to the 
Motorcoach Enhanced Safety Act of 2012 shall be prescribed or modified 
in accordance with section 553 of title 5, United States Code.

       Subtitle H--Safe Highways and Infrastructure Preservation

SEC. 32801. COMPREHENSIVE TRUCK SIZE AND WEIGHT LIMITS STUDY.
    (a) Truck Size and Weight Limits Study.--Not later than 45 days 
after the date of enactment of this Act, the Secretary, in consultation 
with each relevant State and other applicable Federal agencies, shall 
commence a comprehensive truck size and weight limits study. The study 
shall--
        (1) provide data on accident frequency and evaluate factors 
    related to accident risk of vehicles that operate with size and 
    weight limits that are in excess of the Federal law and regulations 
    in each State that allows vehicles to operate with size and weight 
    limits that are in excess of the Federal law and regulations, or to 
    operate under a Federal exemption or grandfather right, in 
    comparison to vehicles that do not operate in excess of Federal law 
    and regulations (other than vehicles with exemptions or grandfather 
    rights);
        (2) evaluate the impacts to the infrastructure in each State 
    that allows a vehicle to operate with size and weight limits that 
    are in excess of the Federal law and regulations, or to operate 
    under a Federal exemption or grandfather right, in comparison to 
    vehicles that do not operate in excess of Federal law and 
    regulations (other than vehicles with exemptions or grandfather 
    rights), including--
            (A) the cost and benefits of the impacts in dollars;
            (B) the percentage of trucks operating in excess of the 
        Federal size and weight limits; and
            (C) the ability of each State to recover the cost for the 
        impacts, or the benefits incurred;
        (3) evaluate the frequency of violations in excess of the 
    Federal size and weight law and regulations, the cost of the 
    enforcement of the law and regulations, and the effectiveness of 
    the enforcement methods;
        (4) assess the impacts that vehicles that operate with size and 
    weight limits in excess of the Federal law and regulations, or that 
    operate under a Federal exemption or grandfather right, in 
    comparison to vehicles that do not operate in excess of Federal law 
    and regulations (other than vehicles with exemptions or grandfather 
    rights), have on bridges, including the impacts resulting from the 
    number of bridge loadings;
        (5) compare and contrast the potential safety and 
    infrastructure impacts of the current Federal law and regulations 
    regarding truck size and weight limits in relation to--
            (A) six-axle and other alternative configurations of 
        tractor-trailers; and
            (B) where available, safety records of foreign nations with 
        truck size and weight limits and tractor-trailer configurations 
        that differ from the Federal law and regulations; and
        (6) estimate--
            (A) the extent to which freight would likely be diverted 
        from other surface transportation modes to principal arterial 
        routes and National Highway System intermodal connectors if 
        alternative truck configuration is allowed to operate and the 
        effect that any such diversion would have on other modes of 
        transportation;
            (B) the effect that any such diversion would have on public 
        safety, infrastructure, cost responsibilities, fuel efficiency, 
        freight transportation costs, and the environment;
            (C) the effect on the transportation network of the United 
        States that allowing alternative truck configuration to operate 
        would have; and
            (D) whether allowing alternative truck configuration to 
        operate would result in an increase or decrease in the total 
        number of trucks operating on principal arterial routes and 
        National Highway System intermodal connectors; and
        (7) identify all Federal rules and regulations impacted by 
    changes in truck size and weight limits.
    (b) Report.--Not later than 2 years after the date that the study 
is commenced under subsection (a), the Secretary shall submit a final 
report on the study, including all findings and recommendations, to the 
Committee on Commerce, Science, and Transportation and the Committee on 
Environment and Public Works of the Senate and the Committee on 
Transportation and Infrastructure of the House of Representatives.
SEC. 32802. COMPILATION OF EXISTING STATE TRUCK SIZE AND WEIGHT LIMIT 
LAWS.
    (a) In General.--Not later than 90 days after the date of enactment 
of this Act, the Secretary, in consultation with the States, shall 
begin to compile--
        (1) a list for each State, as applicable, that describes each 
    route of the National Highway System that allows a vehicle to 
    operate in excess of the Federal truck size and weight limits 
    that--
            (A) was authorized under State law on or before the date of 
        enactment of this Act; and
            (B) was in actual and lawful operation on a regular or 
        periodic basis (including seasonal operations) on or before the 
        date of enactment of this Act;
        (2) a list for each State, as applicable, that describes--
            (A) the size and weight limitations applicable to each 
        segment of the National Highway System in that State as listed 
        under paragraph (1);
            (B) each combination that exceeds the Interstate weight 
        limit, but that the Department of Transportation, other Federal 
        agency, or a State agency has determined on or before the date 
        of enactment of this Act, could be or could have been lawfully 
        operated in the State; and
            (C) each combination that exceeds the Interstate weight 
        limit, but that the Secretary determines could have been 
        lawfully operated on a non-Interstate segment of the National 
        Highway System in the State on or before the date of enactment 
        of this Act; and
        (3) a list of each State law that designates or allows 
    designation of size and weight limitations in excess of Federal law 
    and regulations on routes of the National Highway System, including 
    nondivisible loads.
    (b) Specifications.--The Secretary, in consultation with the 
States, shall specify whether the determinations under paragraphs (1) 
and (2) of subsection (a) were made by the Department of 
Transportation, other Federal agency, or a State agency.
    (c) Report.--Not later than 2 years after the date of enactment of 
this Act, the Secretary shall submit a final report of the compilation 
under subsection (a) to the Committee on Commerce, Science, and 
Transportation and the Committee on Environment and Public Works of the 
Senate and the Committee on Transportation and Infrastructure of the 
House of Representatives.

                       Subtitle I--Miscellaneous

                         PART I--MISCELLANEOUS

SEC. 32911. PROHIBITION OF COERCION.
    Section 31136(a) is amended by--
        (1) striking ``and'' at the end of paragraph (3);
        (2) striking the period at the end of paragraph (4) and 
    inserting ``; and''; and
        (3) adding after subsection (4) the following:
        ``(5) an operator of a commercial motor vehicle is not coerced 
    by a motor carrier, shipper, receiver, or transportation 
    intermediary to operate a commercial motor vehicle in violation of 
    a regulation promulgated under this section, or chapter 51 or 
    chapter 313 of this title.''.
SEC. 32912. MOTOR CARRIER SAFETY ADVISORY COMMITTEE.
    Section 4144(d) of the Safe, Accountable, Flexible, Efficient 
Transportation Equity Act: A Legacy for Users (49 U.S.C. 31100 note), 
is amended by striking ``June 30, 2012'' and inserting ``September 30, 
2013''.
SEC. 32913. WAIVERS, EXEMPTIONS, AND PILOT PROGRAMS.
    (a) Exemption Standards.--Section 31315(b)(4) is amended--
        (1) in subparagraph (A), by inserting ``(or, in the case of a 
    request for an exemption from the physical qualification standards 
    for commercial motor vehicle drivers, post on a web site 
    established by the Secretary to implement the requirements of 
    section 31149)'' after ``Federal Register'';
        (2) by amending subparagraph (B) to read as follows:
            ``(B) Upon granting a request.--Upon granting a request and 
        before the effective date of the exemption, the Secretary shall 
        publish in the Federal Register (or, in the case of an 
        exemption from the physical qualification standards for 
        commercial motor vehicle drivers, post on a web site 
        established by the Secretary to implement the requirements of 
        section 31149) the name of the person granted the exemption, 
        the provisions from which the person is exempt, the effective 
        period, and the terms and conditions of the exemption.''; and
        (3) in subparagraph (C), by inserting ``(or, in the case of a 
    request for an exemption from the physical qualification standards 
    for commercial motor vehicle drivers, post on a web site 
    established by the Secretary to implement the requirements of 
    section 31149)'' after ``Federal Register''.
    (b) Providing Notice of Exemptions to State Personnel.--Section 
31315(b)(7) is amended to read as follows:
        ``(7) Notification of state compliance and enforcement 
    personnel.--Before the effective date of an exemption, the 
    Secretary shall notify a State safety compliance and enforcement 
    agency, and require the agency to notify the State's roadside 
    inspectors, that a person will be operating pursuant to an 
    exemption and the terms and conditions that apply to the 
    exemption.''.
    (c) Pilot Programs.--Section 31315(c)(1) is amended by striking 
``in the Federal Register''.
    (d) Report to Congress.--Section 31315 is amended by adding after 
subsection (d) the following:
    ``(e) Report to Congress.--The Secretary shall submit an annual 
report to the Committee on Commerce, Science, and Transportation of the 
Senate and the Committee on Transportation and Infrastructure of the 
House of Representatives listing the waivers, exemptions, and pilot 
programs granted under this section, and any impacts on safety.
    ``(f) Web Site.--The Secretary shall ensure that the Federal Motor 
Carrier Safety Administration web site includes a link to the web site 
established by the Secretary to implement the requirements under 
sections 31149 and 31315. The link shall be in a clear and conspicuous 
location on the home page of the Federal Motor Carrier Safety 
Administration web site and be easily accessible to the public.''.
SEC. 32914. REGISTRATION REQUIREMENTS.
    (a) Requirements for Registration.--Section 13901 is amended to 
read as follows:
``Sec. 13901. Requirements for registration
    ``(a) In General.--A person may provide transportation as a motor 
carrier subject to jurisdiction under subchapter I of chapter 135 or 
service as a freight forwarder subject to jurisdiction under subchapter 
III of such chapter, or service as a broker for transportation subject 
to jurisdiction under subchapter I of such chapter only if the person 
is registered under this chapter to provide such transportation or 
service.
    ``(b) Registration Numbers.--
        ``(1) In general.--If the Secretary registers a person under 
    this chapter to provide transportation or service, including as a 
    motor carrier, freight forwarder, or broker, the Secretary shall 
    issue a distinctive registration number to the person for each such 
    authority to provide transportation or service for which the person 
    is registered.
        ``(2) Transportation or service type indicator.--A number 
    issued under paragraph (1) shall include an indicator of the type 
    of transportation or service for which the registration number is 
    issued, including whether the registration number is issued for 
    registration of a motor carrier, freight forwarder, or broker.
    ``(c) Specification of Authority.--For each agreement to provide 
transportation or service for which registration is required under this 
chapter, the registrant shall specify, in writing, the authority under 
which the person is providing such transportation or service.''.
    (b) Availability of Information.--
        (1) In general.--Chapter 139 is amended by adding at the end 
    the following:
``Sec. 13909. Availability of information
    ``The Secretary shall make information relating to registration and 
financial security required by this chapter publicly available on the 
Internet, including--
        ``(1) the names and business addresses of the principals of 
    each entity holding such registration;
        ``(2) the status of such registration; and
        ``(3) the electronic address of the entity's surety provider 
    for the submission of claims.''.
        (2) Conforming amendment.--The analysis for chapter 139 is 
    amended by adding at the end the following:

``13909. Availability of information.''.
SEC. 32915. ADDITIONAL MOTOR CARRIER REGISTRATION REQUIREMENTS.
    Section 13902, as amended by sections 32101 and 32107(a) of this 
Act, is amended--
        (1) in subsection (a)--
            (A) in paragraph (1), by inserting ``using self-propelled 
        vehicles the motor carrier owns, rents, or leases'' after 
        ``motor carrier''; and
            (B) by adding at the end the following:
        ``(6) Separate registration required.--A motor carrier may not 
    broker transportation services unless the motor carrier has 
    registered as a broker under this chapter.''; and
        (2) by inserting after subsection (h) the following:
    ``(i) Registration as Freight Forwarder or Broker Required.--A 
motor carrier registered under this chapter--
        ``(1) may only provide transportation of property with--
            ``(A) self-propelled motor vehicles owned or leased by the 
        motor carrier; or
            ``(B) interchanges under regulations issued by the 
        Secretary if the originating carrier--
                ``(i) physically transports the cargo at some point; 
            and
                ``(ii) retains liability for the cargo and for payment 
            of interchanged carriers; and
        ``(2) may not arrange transportation described in paragraph (1) 
    unless the motor carrier has obtained a separate registration as a 
    freight forwarder or broker for transportation under section 13903 
    or 13904, as applicable.''.
SEC. 32916. REGISTRATION OF FREIGHT FORWARDERS AND BROKERS.
    (a) Registration of Freight Forwarders.--Section 13903, as amended 
by section 32107(b) of this Act, is amended--
        (1) in subsection (a)--
            (A) by striking ``finds that the person is fit'' and 
        inserting the following: ``determines that the person--
        ``(1) has sufficient experience to qualify the person to act as 
    a freight forwarder; and
        ``(2) is fit''; and
            (B) by striking ``and the Board'';
        (2) by redesignating subsections (b) and (c) as subsections (d) 
    and (e), respectively;
        (3) by inserting after subsection (a) the following:
    ``(b) Duration.--A registration issued under subsection (a) shall 
only remain in effect while the freight forwarder is in compliance with 
section 13906(c).
    ``(c) Experience or Training Requirement.--Each freight forwarder 
shall employ, as an officer, an individual who--
        ``(1) has at least 3 years of relevant experience; or
        ``(2) provides the Secretary with satisfactory evidence of the 
    individual's knowledge of related rules, regulations, and industry 
    practices.''; and
        (4) by amending subsection (d), as redesignated, to read as 
    follows:
    ``(d) Registration as Motor Carrier Required.--
        ``(1) In general.--A freight forwarder may not provide 
    transportation as a motor carrier unless the freight forwarder has 
    registered separately under this chapter to provide transportation 
    as a motor carrier.''.
    (b) Registration of Brokers.--Section 13904, as amended by section 
32107(c) of this Act, is amended--
        (1) in subsection (a), by striking ``finds that the person is 
    fit'' and inserting the following: ``determines that the person--
        ``(1) has sufficient experience to qualify the person to act as 
    a broker for transportation; and
        ``(2) is fit'';
        (2) by redesignating subsections (b), (c), (d), and (e) as 
    subsections (d), (e), (f), and (g) respectively;
        (3) by inserting after subsection (a) the following:
    ``(b) Duration.--A registration issued under subsection (a) shall 
only remain in effect while the broker for transportation is in 
compliance with section 13906(b).
    ``(c) Experience or Training Requirements.--Each broker shall 
employ, as an officer, an individual who--
        ``(1) has at least 3 years of relevant experience; or
        ``(2) provides the Secretary with satisfactory evidence of the 
    individual's knowledge of related rules, regulations, and industry 
    practices.'';
        (4) by amending subsection (d), as redesignated, to read as 
    follows:
    ``(d) Registration as Motor Carrier Required.--
        ``(1) In general.--A broker for transportation may not provide 
    transportation as a motor carrier unless the broker has registered 
    separately under this chapter to provide transportation as a motor 
    carrier.
        ``(2) Limitation.--This subsection does not apply to a motor 
    carrier registered under this chapter or to an employee or agent of 
    the motor carrier to the extent the transportation is to be 
    provided entirely by the motor carrier, with other registered motor 
    carriers, or with rail or water carriers.''; and
        (5) by amending subsection (e), as redesignated, to read as 
    follows:
    ``(e) Regulation to Protect Motor Carriers and Shippers.--
Regulations of the Secretary applicable to brokers registered under 
this section shall provide for the protection of motor carriers and 
shippers by motor vehicle.''.
SEC. 32917. EFFECTIVE PERIODS OF REGISTRATION.
    Section 13905(c) is amended to read as follows:
    ``(c) Effective Period.--
        ``(1) In general.--Except as otherwise provided in this part, 
    each registration issued under section 13902, 13903, or 13904--
            ``(A) shall be effective beginning on the date specified by 
        the Secretary; and
            ``(B) shall remain in effect for such period as the 
        Secretary determines appropriate by regulation.
        ``(2) Reissuance of registration.--
            ``(A) Requirement.--Not later than 4 years after the date 
        of enactment of the Commercial Motor Vehicle Safety Enhancement 
        Act of 2012, the Secretary shall require a freight forwarder or 
        broker to renew its registration issued under this chapter.
            ``(B) Effective period.--Each registration renewal under 
        subparagraph (A)--
                ``(i) shall expire not later than 5 years after the 
            date of such renewal; and
                ``(ii) may be further renewed as provided under this 
            chapter.''.
SEC. 32918. FINANCIAL SECURITY OF BROKERS AND FREIGHT FORWARDERS.
    (a) In General.--Section 13906 is amended by striking subsections 
(b) and (c) and inserting the following:
    ``(b) Broker Financial Security Requirements.--
        ``(1) Requirements.--
            ``(A) In general.--The Secretary may register a person as a 
        broker under section 13904 only if the person files with the 
        Secretary a surety bond, proof of trust fund, or other 
        financial security, or a combination thereof, in a form and 
        amount, and from a provider, determined by the Secretary to be 
        adequate to ensure financial responsibility.
            ``(B) Use of a group surety bond, trust fund, or other 
        surety.--In implementing the standards established by 
        subparagraph (A), the Secretary may authorize the use of a 
        group surety bond, trust fund, or other financial security, or 
        a combination thereof, that meets the requirements of this 
        subsection.
            ``(C) Proof of trust or other financial security.--For 
        purposes of subparagraph (A), a trust fund or other financial 
        security may be acceptable to the Secretary only if the trust 
        fund or other financial security consists of assets readily 
        available to pay claims without resort to personal guarantees 
        or collection of pledged accounts receivable.
        ``(2) Scope of financial responsibility.--
            ``(A) Payment of claims.--A surety bond, trust fund, or 
        other financial security obtained under paragraph (1) shall be 
        available to pay any claim against a broker arising from its 
        failure to pay freight charges under its contracts, agreements, 
        or arrangements for transportation subject to jurisdiction 
        under chapter 135 if--
                ``(i) subject to the review by the surety provider, the 
            broker consents to the payment;
                ``(ii) in any case in which the broker does not respond 
            to adequate notice to address the validity of the claim, 
            the surety provider determines that the claim is valid; or
                ``(iii) the claim is not resolved within a reasonable 
            period of time following a reasonable attempt by the 
            claimant to resolve the claim under clauses (i) and (ii), 
            and the claim is reduced to a judgment against the broker.
            ``(B) Response of surety providers to claims.--If a surety 
        provider receives notice of a claim described in subparagraph 
        (A), the surety provider shall--
                ``(i) respond to the claim on or before the 30th day 
            following the date on which the notice was received; and
                ``(ii) in the case of a denial, set forth in writing 
            for the claimant the grounds for the denial.
            ``(C) Costs and attorney's fees.--In any action against a 
        surety provider to recover on a claim described in subparagraph 
        (A), the prevailing party shall be entitled to recover its 
        reasonable costs and attorney's fees.
        ``(3) Minimum financial security.--Each broker subject to the 
    requirements of this section shall provide financial security of 
    $75,000 for purposes of this subsection, regardless of the number 
    of branch offices or sales agents of the broker.
        ``(4) Cancellation notice.--If a financial security required 
    under this subsection is canceled--
            ``(A) the holder of the financial security shall provide 
        electronic notification to the Secretary of the cancellation 
        not later than 30 days before the effective date of the 
        cancellation; and
            ``(B) the Secretary shall immediately post such 
        notification on the public Internet Website of the Department 
        of Transportation.
        ``(5) Suspension.--The Secretary shall immediately suspend the 
    registration of a broker issued under this chapter if the available 
    financial security of that person falls below the amount required 
    under this subsection.
        ``(6) Payment of claims in cases of financial failure or 
    insolvency.--If a broker registered under this chapter experiences 
    financial failure or insolvency, the surety provider of the broker 
    shall--
            ``(A) submit a notice to cancel the financial security to 
        the Administrator in accordance with paragraph (4);
            ``(B) publicly advertise for claims for 60 days beginning 
        on the date of publication by the Secretary of the notice to 
        cancel the financial security; and
            ``(C) pay, not later than 30 days after the expiration of 
        the 60-day period for submission of claims--
                ``(i) all uncontested claims received during such 
            period; or
                ``(ii) a pro rata share of such claims if the total 
            amount of such claims exceeds the financial security 
            available.
        ``(7) Penalties.--
            ``(A) Civil actions.--Either the Secretary or the Attorney 
        General of the United States may bring a civil action in an 
        appropriate district court of the United States to enforce the 
        requirements of this subsection or a regulation prescribed or 
        order issued under this subsection. The court may award 
        appropriate relief, including injunctive relief.
            ``(B) Civil penalties.--If the Secretary determines, after 
        notice and opportunity for a hearing, that a surety provider of 
        a broker registered under this chapter has violated the 
        requirements of this subsection or a regulation prescribed 
        under this subsection, the surety provider shall be liable to 
        the United States for a civil penalty in an amount not to 
        exceed $10,000.
            ``(C) Eligibility.--If the Secretary determines, after 
        notice and opportunity for a hearing, that a surety provider of 
        a broker registered under this chapter has violated the 
        requirements of this subsection or a regulation prescribed 
        under this subsection, the surety provider shall be ineligible 
        to provider broker financial security for 3 years.
        ``(8) Deduction of costs prohibited.--The amount of the 
    financial security required under this subsection may not be 
    reduced by deducting attorney's fees or administrative costs.
    ``(c) Freight Forwarder Financial Security Requirements.--
        ``(1) Requirements.--
            ``(A) In general.--The Secretary may register a person as a 
        freight forwarder under section 13903 only if the person files 
        with the Secretary a surety bond, proof of trust fund, other 
        financial security, or a combination of such instruments, in a 
        form and amount, and from a provider, determined by the 
        Secretary to be adequate to ensure financial responsibility.
            ``(B) Use of a group surety bond, trust fund, or other 
        financial security.--In implementing the standards established 
        under subparagraph (A), the Secretary may authorize the use of 
        a group surety bond, trust fund, other financial security, or a 
        combination of such instruments, that meets the requirements of 
        this subsection.
            ``(C) Surety bonds.--A surety bond obtained under this 
        section may only be obtained from a bonding company that has 
        been approved by the Secretary of the Treasury.
            ``(D) Proof of trust or other financial security.--For 
        purposes of subparagraph (A), a trust fund or other financial 
        security may not be accepted by the Secretary unless the trust 
        fund or other financial security consists of assets readily 
        available to pay claims without resort to personal guarantees 
        or collection of pledged accounts receivable.
        ``(2) Scope of financial responsibility.--
            ``(A) Payment of claims.--A surety bond, trust fund, or 
        other financial security obtained under paragraph (1) shall be 
        available to pay any claim against a freight forwarder arising 
        from its failure to pay freight charges under its contracts, 
        agreements, or arrangements for transportation subject to 
        jurisdiction under chapter 135 if--
                ``(i) subject to the review by the surety provider, the 
            freight forwarder consents to the payment;
                ``(ii) in the case the freight forwarder does not 
            respond to adequate notice to address the validity of the 
            claim, the surety provider determines the claim is valid; 
            or
                ``(iii) the claim--

                    ``(I) is not resolved within a reasonable period of 
                time following a reasonable attempt by the claimant to 
                resolve the claim under clauses (i) and (ii); and
                    ``(II) is reduced to a judgment against the freight 
                forwarder.

            ``(B) Response of surety providers to claims.--If a surety 
        provider receives notice of a claim described in subparagraph 
        (A), the surety provider shall--
                ``(i) respond to the claim on or before the 30th day 
            following receipt of the notice; and
                ``(ii) in the case of a denial, set forth in writing 
            for the claimant the grounds for the denial.
            ``(C) Costs and attorney's fees.--In any action against a 
        surety provider to recover on a claim described in subparagraph 
        (A), the prevailing party shall be entitled to recover its 
        reasonable costs and attorney's fees.
        ``(3) Freight forwarder insurance.--
            ``(A) In general.--The Secretary may register a person as a 
        freight forwarder under section 13903 only if the person files 
        with the Secretary a surety bond, insurance policy, or other 
        type of financial security that meets standards prescribed by 
        the Secretary.
            ``(B) Liability insurance.--A financial security filed by a 
        freight forwarder under subparagraph (A) shall be sufficient to 
        pay an amount, not to exceed the amount of the financial 
        security, for each final judgment against the freight forwarder 
        for bodily injury to, or death of, an individual, or loss of, 
        or damage to, property (other than property referred to in 
        subparagraph (C)), resulting from the negligent operation, 
        maintenance, or use of motor vehicles by, or under the 
        direction and control of, the freight forwarder while providing 
        transfer, collection, or delivery service under this part.
            ``(C) Cargo insurance.--The Secretary may require a 
        registered freight forwarder to file with the Secretary a 
        surety bond, insurance policy, or other type of financial 
        security approved by the Secretary, that will pay an amount, 
        not to exceed the amount of the financial security, for loss 
        of, or damage to, property for which the freight forwarder 
        provides service.
        ``(4) Minimum financial security.--Each freight forwarder 
    subject to the requirements of this section shall provide financial 
    security of $75,000, regardless of the number of branch offices or 
    sales agents of the freight forwarder.
        ``(5) Cancellation notice.--If a financial security required 
    under this subsection is canceled--
            ``(A) the holder of the financial security shall provide 
        electronic notification to the Secretary of the cancellation 
        not later than 30 days before the effective date of the 
        cancellation; and
            ``(B) the Secretary shall immediately post such 
        notification on the public Internet web site of the Department 
        of Transportation.
        ``(6) Suspension.--The Secretary shall immediately suspend the 
    registration of a freight forwarder issued under this chapter if 
    its available financial security falls below the amount required 
    under this subsection.
        ``(7) Payment of claims in cases of financial failure or 
    insolvency.--If a freight forwarder registered under this chapter 
    experiences financial failure or insolvency, the surety provider of 
    the freight forwarder shall--
            ``(A) submit a notice to cancel the financial security to 
        the Administrator in accordance with paragraph (5);
            ``(B) publicly advertise for claims for 60 days beginning 
        on the date of publication by the Secretary of the notice to 
        cancel the financial security; and
            ``(C) pay, not later than 30 days after the expiration of 
        the 60-day period for submission of claims--
                ``(i) all uncontested claims received during such 
            period; or
                ``(ii) a pro rata share of such claims if the total 
            amount of such claims exceeds the financial security 
            available.
        ``(8) Penalties.--
            ``(A) Civil actions.--Either the Secretary or the Attorney 
        General may bring a civil action in an appropriate district 
        court of the United States to enforce the requirements of this 
        subsection or a regulation prescribed or order issued under 
        this subsection. The court may award appropriate relief, 
        including injunctive relief.
            ``(B) Civil penalties.--If the Secretary determines, after 
        notice and opportunity for a hearing, that a surety provider of 
        a freight forwarder registered under this chapter has violated 
        the requirements of this subsection or a regulation prescribed 
        under this subsection, the surety provider shall be liable to 
        the United States for a civil penalty in an amount not to 
        exceed $10,000.
            ``(C) Eligibility.--If the Secretary determines, after 
        notice and opportunity for a hearing, that a surety provider of 
        a freight forwarder registered under this chapter has violated 
        the requirements of this subsection or a regulation prescribed 
        under this subsection, the surety provider shall be ineligible 
        to provide freight forwarder financial security for 3 years.
        ``(9) Deduction of costs prohibited.--The amount of the 
    financial security required under this subsection may not be 
    reduced by deducting attorney's fees or administrative costs.''.
    (b) Rulemaking.--Not later than 1 year after the date of enactment 
of this Act, the Secretary shall issue regulations to implement and 
enforce the requirements under subsections (b) and (c) of section 13906 
of title 49, United States Code, as amended by subsection (a).
    (c) Effective Date.--The amendments made by subsection (a) shall 
take effect on the date that is 1 year after the date of enactment of 
this Act.
SEC. 32919. UNLAWFUL BROKERAGE ACTIVITIES.
    (a) In General.--Chapter 149 is amended by adding at the end the 
following:
``SEC. 14916. UNLAWFUL BROKERAGE ACTIVITIES.
    ``(a) Prohibited Activities.--A person may provide interstate 
brokerage services as a broker only if that person--
        ``(1) is registered under, and in compliance with, section 
    13904; and
        ``(2) has satisfied the financial security requirements under 
    section 13906.
    ``(b) Exceptions.--Subsection (a) shall not apply to--
        ``(1) a non-vessel-operating common carrier (as defined in 
    section 40102 of title 46) or an ocean freight forwarder (as 
    defined in section 40102 of title 46) when arranging for inland 
    transportation as part of an international through movement 
    involving ocean transportation between the United States and a 
    foreign port;
        ``(2) a customs broker licensed in accordance with section 
    111.2 of title 19, Code of Federal Regulations, only to the extent 
    that the customs broker is engaging in a movement under a customs 
    bond or in a transaction involving customs business, as defined by 
    section 111.1 of title 19, Code of Federal Regulations; or
        ``(3) an indirect air carrier holding a Standard Security 
    Program approved by the Transportation Security Administration, 
    only to the extent that the indirect air carrier is engaging in the 
    activities as an air carrier as defined in section 40102(2) or in 
    the activities defined in section 40102(3).
    ``(c) Civil Penalties and Private Cause of Action.--Any person who 
knowingly authorizes, consents to, or permits, directly or indirectly, 
either alone or in conjunction with any other person, a violation of 
subsection (a) is liable--
        ``(1) to the United States Government for a civil penalty in an 
    amount not to exceed $10,000 for each violation; and
        ``(2) to the injured party for all valid claims incurred 
    without regard to amount.
    ``(d) Liable Parties.--The liability for civil penalties and for 
claims under this section for unauthorized brokering shall apply, 
jointly and severally--
        ``(1) to any corporate entity or partnership involved; and
        ``(2) to the individual officers, directors, and principals of 
    such entities.''.
    (b) Clerical Amendment.--The analysis for chapter 149 is amended by 
adding at the end the following:

``14916. Unlawful brokerage activities.''.

                PART II--HOUSEHOLD GOODS TRANSPORTATION

SEC. 32921. ADDITIONAL REGISTRATION REQUIREMENTS FOR HOUSEHOLD GOODS 
MOTOR CARRIERS.
    (a) Section 13902(a)(2) is amended--
        (1) in subparagraph (B), by striking ``section 13702(c);'' and 
    inserting ``section 13702(c); and'';
        (2) by amending subparagraph (C) to read as follows:
            ``(C) demonstrates, before being registered, through 
        successful completion of a proficiency examination established 
        by the Secretary, knowledge and intent to comply with 
        applicable Federal laws relating to consumer protection, 
        estimating, consumers' rights and responsibilities, and options 
        for limitations of liability for loss and damage.''; and
        (3) by striking subparagraph (D).
    (b) Compliance Reviews of New Household Goods Motor Carriers.--
Section 31144(g), as amended by section 32102 of this Act, is amended 
by adding at the end the following:
        ``(6) Additional requirements for household goods motor 
    carriers.--(A) In addition to the requirements of this subsection, 
    the Secretary shall require, by regulation, each registered 
    household goods motor carrier to undergo a consumer protection 
    standards review not later than 18 months after the household goods 
    motor carrier begins operations under such authority.
            ``(B) Elements.--In the regulations issued pursuant to 
        subparagraph (A), the Secretary shall establish the elements of 
        the consumer protections standards review, including basic 
        management controls. In establishing the elements, the 
        Secretary shall consider the effects on small businesses and 
        shall consider establishing alternate locations where such 
        reviews may be conducted for the convenience of small 
        businesses.''.
    (c) Effective Date.--The amendments made by this section shall take 
effect 2 years after the date of enactment of this Act.
SEC. 32922. FAILURE TO GIVE UP POSSESSION OF HOUSEHOLD GOODS.
    (a) Injunctive Relief.--Section 14704(a)(1) is amended by striking 
``and 14103'' and inserting ``, 14103, and 14915(c)''.
    (b) Civil Penalties.--Section 14915(a)(1) is amended by adding at 
the end the following:
    ``The United States may assign all or a portion of the civil 
penalty to an aggrieved shipper. The Secretary of Transportation shall 
establish criteria upon which such assignments shall be made. The 
Secretary may order, after notice and an opportunity for a proceeding, 
that a person found holding a household goods shipment hostage return 
the goods to an aggrieved shipper.''.
SEC. 32923. SETTLEMENT AUTHORITY.
    (a) Settlement of General Civil Penalties.--Section 14901 is 
amended by adding at the end the following:
    ``(h) Settlement of Household Goods Civil Penalties.--Nothing in 
this section shall be construed to prohibit the Secretary from 
accepting partial payment of a civil penalty as part of a settlement 
agreement in the public interest, or from holding imposition of any 
part of a civil penalty in abeyance.''.
    (b) Settlement of Household Goods Civil Penalties.--Section 
14915(a) is amended by adding at the end the following:
        ``(4) Settlement authority.--Nothing in this section shall be 
    construed as prohibiting the Secretary from accepting partial 
    payment of a civil penalty as part of a settlement agreement in the 
    public interest, or from holding imposition of any part of a civil 
    penalty in abeyance.''.

                     PART III--TECHNICAL AMENDMENTS

SEC. 32931. UPDATE OF OBSOLETE TEXT.
    (a) Section 31137(g), as redesignated by section 32301 of this Act, 
is amended by striking ``Not later than December 1, 1990, the Secretary 
shall prescribe'' and inserting ``The Secretary shall maintain''.
    (b) Section 31151(a) is amended--
        (1) by amending paragraph (1) to read as follows:
        ``(1) In general.--The Secretary of Transportation shall 
    maintain a program to ensure that intermodal equipment used to 
    transport intermodal containers is safe and systematically 
    maintained.''; and
        (2) by striking paragraph (4).
    (c) Section 31307(b) is amended by striking ``Not later than 
December 18, 1994, the Secretary shall prescribe'' and inserting ``The 
Secretary shall maintain''.
    (d) Section 31310(g)(1) is amended by striking ``Not later than 1 
year after the date of enactment of this Act, the'' and inserting 
``The''.
SEC. 32932. CORRECTION OF INTERSTATE COMMERCE COMMISSION REFERENCES.
    (a) Safety Information and Intervention in Interstate Commerce 
Commission Proceedings.--Chapter 3 is amended--
        (1) by repealing section 307;
        (2) in the analysis, by striking the item relating to section 
    307;
        (3) in section 333(d)(1)(C), by striking ``Interstate Commerce 
    Commission'' and inserting ``Surface Transportation Board''; and
        (4) in section 333(e)--
            (A) by striking ``Interstate Commerce Commission'' and 
        inserting ``Surface Transportation Board''; and
            (B) by striking ``Commission'' and inserting ``Board''.
    (b) Filing and Procedure for Application to Abandon or 
Discontinue.--Section 10903(b)(2) is amended by striking ``24706(c) of 
this title'' and inserting ``24706(c) of this title before May 31, 
1998''.
    (c) Technical Amendments to Part C of Subtitle V.--
        (1) Section 24307(b)(3) is amended by striking ``Interstate 
    Commerce Commission'' and inserting ``Surface Transportation 
    Board''.
        (2) Section 24311 is amended--
            (A) by striking ``Interstate Commerce Commission'' and 
        inserting ``Surface Transportation Board'';
            (B) by striking ``Commission'' each place it appears and 
        inserting ``Board''; and
            (C) by striking ``Commission's'' and inserting ``Board's''.
        (3) Section 24902 is amended--
            (A) by striking ``Interstate Commerce Commission'' each 
        place it appears and inserting ``Surface Transportation 
        Board''; and
            (B) by striking ``Commission'' each place it appears and 
        inserting ``Board''.
        (4) Section 24904 is amended--
            (A) by striking ``Interstate Commerce Commission'' and 
        inserting ``Surface Transportation Board''; and
            (B) by striking ``Commission'' each place it appears and 
        inserting ``Board''.
SEC. 32933. TECHNICAL AND CONFORMING AMENDMENTS.
    (a) Section 13905(f)(1)(A) is amended by striking ``section 
13904(c)'' and inserting ``section 13904(e)'';
    (b) Section 14504a(c)(1) is amended--
        (1) in subparagraph (C), by striking ``sections'' and inserting 
    ``section''; and
        (2) in subparagraph (D)(ii)(II) by striking the period at the 
    end and inserting ``; and''.
    (c) Section 31103(a) is amended by striking ``section 
31102(b)(1)(E)'' and inserting ``section 31102(b)(2)(E)''.
    (d) Section 31103(b) is amended by striking ``authorized by section 
31104(f)(2)''.
    (e) Section 31309(b)(2) is amended by striking ``31308(2)'' and 
inserting ``31308(3)''.
SEC. 32934. EXEMPTIONS FROM REQUIREMENTS FOR COVERED FARM VEHICLES.
    (a) Federal Requirements.--A covered farm vehicle, including the 
individual operating that vehicle, shall be exempt from the following:
        (1) Any requirement relating to commercial driver's licenses 
    established under chapter 313 of title 49, United States Code.
        (2) Any requirement relating to drug-testing established under 
    chapter 313 of title 49, United States Code.
        (3) Any requirement relating to medical certificates 
    established under--
            (A) subchapter III of chapter 311 of title 49, United 
        States Code; or
            (B) chapter 313 of title 49, United States Code.
        (4) Any requirement relating to hours of service established 
    under--
            (A) subchapter III of chapter 311 of title 49, United 
        States Code; or
            (B) chapter 315 of title 49, United States Code.
        (5) Any requirement relating to vehicle inspection, repair, and 
    maintenance established under--
            (A) subchapter III of chapter 311 of title 49, United 
        States Code; or
            (B) chapter 315 of title 49, United States Code.
    (b) State Requirements.--
        (1) In general.--Federal transportation funding to a State may 
    not be terminated, limited, or otherwise interfered with as a 
    result of the State exempting a covered farm vehicle, including the 
    individual operating that vehicle, from any State requirement 
    relating to the operation of that vehicle.
        (2) Exception.--Paragraph (1) does not apply with respect to a 
    covered farm vehicle transporting hazardous materials that require 
    a placard.
    (c) Covered Farm Vehicle Defined.--
        (1) In general.--In this section, the term ``covered farm 
    vehicle'' means a motor vehicle (including an articulated motor 
    vehicle)--
            (A) that--
                (i) is traveling in the State in which the vehicle is 
            registered or another State;
                (ii) is operated by--

                    (I) a farm owner or operator;
                    (II) a ranch owner or operator; or
                    (III) an employee or family member of an individual 
                specified in subclause (I) or (II);

                (iii) is transporting to or from a farm or ranch--

                    (I) agricultural commodities;
                    (II) livestock; or
                    (III) machinery or supplies;

                (iv) except as provided in paragraph (2), is not used 
            in the operations of a for-hire motor carrier; and
                (v) is equipped with a special license plate or other 
            designation by the State in which the vehicle is registered 
            to allow for identification of the vehicle as a farm 
            vehicle by law enforcement personnel; and
            (B) that has a gross vehicle weight rating or gross vehicle 
        weight, whichever is greater, that is--
                (i) 26,001 pounds or less; or
                (ii) greater than 26,001 pounds and traveling within 
            the State or within 150 air miles of the farm or ranch with 
            respect to which the vehicle is being operated.
        (2) Inclusion.--In this section, the term ``covered farm 
    vehicle'' includes a motor vehicle that meets the requirements of 
    paragraph (1) (other than paragraph (1)(A)(iv)) and--
            (A) is operated pursuant to a crop share farm lease 
        agreement;
            (B) is owned by a tenant with respect to that agreement; 
        and
            (C) is transporting the landlord's portion of the crops 
        under that agreement.
    (d) Safety Study.--The Secretary of Transportation shall conduct a 
study of the exemption required by subsection (a) as follows:
        (1) Data and analysis of covered farm vehicles shall include--
            (A) the number of vehicles that are operated subject to 
        each of the regulatory exemptions permitted under subsection 
        (a);
            (B) the number of drivers that operate covered farm 
        vehicles subject to each of the regulatory exemptions permitted 
        under subsection (a);
            (C) the number of crashes involving covered farm vehicles;
            (D) the number of occupants and non-occupants injured in 
        crashes involving covered farm vehicles;
            (E) the number of fatalities of occupants and non-occupants 
        killed in crashes involving farm vehicles;
            (F) crash investigations and accident reconstruction 
        investigations of all fatalities in crashes involving covered 
        farm vehicles;
            (G) overall operating mileage of covered farm vehicles;
            (H) numbers of covered farm vehicles that operate in 
        neighboring States; and
            (I) any other data the Secretary deems necessary to analyze 
        and include.
        (2) A listing of State regulations issued and maintained in 
    each State that are identical to the Federal regulations that are 
    subject to exemption in subsection (a).
        (3) The Secretary shall report the findings of the study to the 
    appropriate committees of Congress not later than 18 months after 
    the date of enactment of this Act.
    (e) Construction.--Nothing in this section shall be construed as 
authority for the Secretary of Transportation to prescribe regulations.

TITLE III--HAZARDOUS MATERIALS TRANSPORTATION SAFETY IMPROVEMENT ACT OF 
                                  2012

SEC. 33001. SHORT TITLE.
    This title may be cited as the ``Hazardous Materials Transportation 
Safety Improvement Act of 2012''.
SEC. 33002. DEFINITION.
    In this title, the term ``Secretary'' means the Secretary of 
Transportation.
SEC. 33003. REFERENCES TO TITLE 49, UNITED STATES CODE.
    Except as otherwise expressly provided, whenever in this title an 
amendment or repeal is expressed in terms of an amendment to, or repeal 
of, a section or other provision, the reference shall be considered to 
be made to a section or other provision of title 49, United States 
Code.
SEC. 33004. TRAINING FOR EMERGENCY RESPONDERS.
    (a) Training Curriculum.--Section 5115 is amended--
        (1) in subsection (b)(1)(B), by striking ``basic'';
        (2) in subsection (b)(2), by striking ``basic''; and
        (3) in subsection (c), by striking ``basic''.
    (b) Operations Level Training.--Section 5116 is amended--
        (1) in subsection (b)(1), by adding at the end the following: 
    ``To the extent that a grant is used to train emergency responders, 
    the State or Indian tribe shall provide written certification to 
    the Secretary that the emergency responders who receive training 
    under the grant will have the ability to protect nearby persons, 
    property, and the environment from the effects of accidents or 
    incidents involving the transportation of hazardous material in 
    accordance with existing regulations or National Fire Protection 
    Association standards for competence of responders to accidents and 
    incidents involving hazardous materials.'';
        (2) in subsection (j)--
            (A) in paragraph (1), by striking ``funds'' and all that 
        follows through ``fighting fires for'' and inserting ``funds 
        and through a competitive process, make a grant or make grants 
        to national nonprofit fire service organizations for'';
            (B) in paragraph (3)(A), by striking ``train'' and 
        inserting ``provide training, including portable training, 
        for'';
            (C) in paragraph (4)--
                (i) by striking ``train'' and inserting ``provide 
            training, including portable training, for''; and
                (ii) by inserting ``comply with Federal regulations and 
            national consensus standards for hazardous materials 
            response and'' after ``training course shall'';
            (D) by redesignating paragraph (5) as paragraph (8); and
            (E) by inserting after paragraph (4) the following:
        ``(5) The Secretary may not award a grant to an organization 
    under this subsection unless the organization ensures that 
    emergency responders who receive training under the grant will have 
    the ability to protect nearby persons, property, and the 
    environment from the effects of accidents or incidents involving 
    the transportation of hazardous material in accordance with 
    existing regulations or National Fire Protection Association 
    standards for competence of responders to accidents and incidents 
    involving hazardous materials.
        ``(6) Notwithstanding paragraphs (1) and (3), to the extent 
    determined appropriate by the Secretary, a grant awarded by the 
    Secretary to an organization under this subsection to conduct 
    hazardous material response training programs may be used to train 
    individuals with responsibility to respond to accidents and 
    incidents involving hazardous material.
        ``(7) For the purposes of this subsection, the term `portable 
    training' means live, instructor-led training provided by certified 
    fire service instructors that can be offered in any suitable 
    setting, rather than specific designated facilities. Under this 
    training delivery model, instructors travel to locations convenient 
    to students and utilize local facilities and resources.''; and
        (3) in subsection (k)--
            (A) by striking ``annually'' and inserting ``an annual 
        report'';
            (B) by inserting ``the report'' after ``make available'';
            (C) by striking ``information'' and inserting ``. The 
        report submitted under this subsection shall include 
        information''; and
            (D) by striking ``The report shall identify'' and all that 
        follows and inserting the following: ``The report submitted 
        under this subsection shall identify the ultimate recipients of 
        such grants and include--
            ``(A) a detailed accounting and description of each grant 
        expenditure by each grant recipient, including the amount of, 
        and purpose for, each expenditure;
            ``(B) the number of persons trained under the grant 
        program, by training level;
            ``(C) an evaluation of the efficacy of such planning and 
        training programs; and
            ``(D) any recommendations the Secretary may have for 
        improving such grant programs.''.
SEC. 33005. PAPERLESS HAZARD COMMUNICATIONS PILOT PROGRAM.
    (a) In General.--The Secretary may conduct pilot projects to 
evaluate the feasibility and effectiveness of using paperless hazard 
communications systems. At least 1 of the pilot projects under this 
section shall take place in a rural area.
    (b) Requirements.--In conducting pilot projects under this section, 
the Secretary--
        (1) may not waive the requirements under section 5110 of title 
    49, United States Code; and
        (2) shall consult with organizations representing--
            (A) fire services personnel;
            (B) law enforcement and other appropriate enforcement 
        personnel;
            (C) other emergency response providers;
            (D) persons who offer hazardous material for 
        transportation;
            (E) persons who transport hazardous material by air, 
        highway, rail, and water; and
            (F) employees of persons who transport or offer for 
        transportation hazardous material by air, highway, rail, and 
        water.
    (c) Report.--Not later than 2 years after the date of enactment of 
this Act, the Secretary shall--
        (1) prepare a report on the results of the pilot projects 
    carried out under this section, including--
            (A) a detailed description of the pilot projects;
            (B) an evaluation of each pilot project, including an 
        evaluation of the performance of each paperless hazard 
        communications system in such project;
            (C) an assessment of the safety and security impact of 
        using paperless hazard communications systems, including any 
        impact on the public, emergency response, law enforcement, and 
        the conduct of inspections and investigations;
            (D) an analysis of the associated benefits and costs of 
        using the paperless hazard communications systems for each mode 
        of transportation; and
            (E) a recommendation that incorporates the information 
        gathered in subparagraphs (A), (B), (C), and (D) on whether 
        paperless hazard communications systems should be permanently 
        incorporated into the Federal hazardous material transportation 
        safety program under chapter 51 of title 49, United States 
        Code; and
        (2) submit a final report to the Committee on Commerce, 
    Science, and Transportation of the Senate and the Committee on 
    Transportation and Infrastructure of the House of Representatives 
    that contains the results of the pilot projects carried out under 
    this section, including the matters described in paragraph (1).
    (d) Paperless Hazard Communications System Defined.--In this 
section, the term ``paperless hazard communications system'' means the 
use of advanced communications methods, such as wireless communications 
devices, to convey hazard information between all parties in the 
transportation chain, including emergency responders and law 
enforcement personnel. The format of communication may be equivalent to 
that used by the carrier.
SEC. 33006. IMPROVING DATA COLLECTION, ANALYSIS, AND REPORTING.
    (a) Assessment.--
        (1) In general.--Not later than 6 months after the date of 
    enactment of this Act, the Secretary, in consultation with the 
    Commandant of the United States Coast Guard, as appropriate, shall 
    conduct an assessment to improve the collection, analysis, 
    reporting, and use of data related to accidents and incidents 
    involving the transportation of hazardous material.
        (2) Review.--The assessment conducted under this subsection 
    shall review the methods used by the Pipeline and Hazardous 
    Materials Safety Administration (referred to in this section as the 
    ``Administration'') for collecting, analyzing, and reporting 
    accidents and incidents involving the transportation of hazardous 
    material, including the adequacy of--
            (A) information requested on the accident and incident 
        reporting forms required to be submitted to the Administration;
            (B) methods used by the Administration to verify that the 
        information provided on such forms is accurate and complete;
            (C) accident and incident reporting requirements, including 
        whether such requirements should be expanded to include 
        shippers and consignees of hazardous materials;
            (D) resources of the Administration related to data 
        collection, analysis, and reporting, including staff and 
        information technology; and
            (E) the database used by the Administration for recording 
        and reporting such accidents and incidents, including the 
        ability of users to adequately search the database and find 
        information.
    (b) Development of Action Plan.--Not later than 9 months after the 
date of enactment of this Act, the Secretary shall develop an action 
plan and timeline for improving the collection, analysis, reporting, 
and use of data by the Administration, including revising the database 
of the Administration, as appropriate.
    (c) Submission to Congress.--Not later than 15 days after the 
completion of the action plan and timeline under subsection (c), the 
Secretary shall submit the action plan and timeline to the Committee on 
Commerce, Science, and Transportation of the Senate and the Committee 
on Transportation and Infrastructure of the House of Representatives.
    (d) Reporting Requirements.--Section 5125(b)(1)(D) is amended by 
inserting ``and other written hazardous materials transportation 
incident reporting involving State or local emergency responders in the 
initial response to the incident'' before the period at the end.
SEC. 33007. HAZARDOUS MATERIAL TECHNICAL ASSESSMENT, RESEARCH AND 
DEVELOPMENT, AND ANALYSIS PROGRAM.
    (a) In General.--Chapter 51 is amended by inserting after section 
5117 the following:
``Sec. 5118. Hazardous material technical assessment, research and 
    development, and analysis program
    ``(a) Risk Reduction.--
        ``(1) Program authorized.--The Secretary of Transportation may 
    develop and implement a hazardous material technical assessment, 
    research and development, and analysis program for the purpose of--
            ``(A) reducing the risks associated with the transportation 
        of hazardous material; and
            ``(B) identifying and evaluating new technologies to 
        facilitate the safe, secure, and efficient transportation of 
        hazardous material.
        ``(2) Coordination.--In developing the program under paragraph 
    (1), the Secretary shall--
            ``(A) utilize information gathered from other modal 
        administrations with similar programs; and
            ``(B) coordinate with other modal administrations, as 
        appropriate.
    ``(b) Cooperation.--In carrying out subsection (a), the Secretary 
shall work cooperatively with regulated and other entities, including 
shippers, carriers, emergency responders, State and local officials, 
and academic institutions.''.
    (b) Conforming Amendment.--The chapter analysis for chapter 51 is 
amended by inserting after the item relating to section 5117 the 
following:

``5118. Hazardous material technical assessment, research and 
          development, and analysis program.''.
SEC. 33008. HAZARDOUS MATERIAL ENFORCEMENT TRAINING.
    (a) In General.--Not later than 18 months after the date of 
enactment of this Act, the Secretary shall develop uniform performance 
standards for training hazardous material inspectors and investigators 
on--
        (1) how to collect, analyze, and publish findings from 
    inspections and investigations of accidents or incidents involving 
    the transportation of hazardous material; and
        (2) how to identify noncompliance with regulations issued under 
    chapter 51 of title 49, United States Code, and take appropriate 
    enforcement action.
    (b) Standards and Guidelines.--The Secretary may develop--
        (1) guidelines for hazardous material inspector and 
    investigator qualifications;
        (2) best practices and standards for hazardous material 
    inspector and investigator training programs; and
        (3) standard protocols to coordinate investigation efforts 
    among Federal, State, and local jurisdictions on accidents or 
    incidents involving the transportation of hazardous material.
    (c) Availability.--The standards, protocols, and guidelines 
established under this section--
        (1) shall be mandatory for--
            (A) the Department of Transportation's multimodal personnel 
        conducting hazardous material enforcement inspections or 
        investigations; and
            (B) State employees who conduct federally funded compliance 
        reviews, inspections, or investigations; and
        (2) shall be made available to Federal, State, and local 
    hazardous material safety enforcement personnel.
SEC. 33009. INSPECTIONS.
    (a) Notice of Enforcement Measures.--Section 5121(c)(1) is 
amended--
        (1) in subparagraph (E), by striking ``and'' at the end;
        (2) in subparagraph (F), by striking the period at the end and 
    inserting ``; and''; and
        (3) by adding at the end the following:
            ``(G) shall provide to the affected offeror, carrier, 
        packaging manufacturer or tester, or other person responsible 
        for the package reasonable notice of--
                ``(i) his or her decision to exercise his or her 
            authority under paragraph (1);
                ``(ii) any findings made; and
                ``(iii) any actions being taken as a result of a 
            finding of noncompliance.''.
    (b) Regulations.--
        (1) Matters to be addressed.--Section 5121(e) is amended by 
    adding at the end the following:
        ``(3) Matters to be addressed.--The regulations issued under 
    this subsection shall address--
            ``(A) the safe and expeditious resumption of transportation 
        of perishable hazardous material, including 
        radiopharmaceuticals and other medical products, that may 
        require timely delivery due to life-threatening situations;
            ``(B) the means by which--
                ``(i) noncompliant packages that present an imminent 
            hazard are placed out-of-service until the condition is 
            corrected; and
                ``(ii) noncompliant packages that do not present a 
            hazard are moved to their final destination;
            ``(C) appropriate training and equipment for inspectors; 
        and
            ``(D) the proper closure of packaging in accordance with 
        the hazardous material regulations.''.
        (2) Finalizing regulations.--In accordance with section 
    5103(b)(2) of title 49, United States Code, not later than 1 year 
    after the date of enactment of this Act, the Secretary shall take 
    all actions necessary to finalize a regulation under paragraph (1) 
    of this subsection.
    (c) Grants and Cooperative Agreements.--Section 5121(g)(1) is 
amended by inserting ``safety and'' before ``security''.
SEC. 33010. CIVIL PENALTIES.
    Section 5123 is amended--
        (1) in subsection (a)--
            (A) in paragraph (1)--
                (i) by striking ``at least $250 but''; and
                (ii) by striking ``$50,000'' and inserting ``$75,000'';
            (B) in paragraph (2), by striking ``$100,000'' and 
        inserting ``$175,000''; and
            (C) by amending paragraph (3) to read as follows:
        ``(3) If the violation is related to training, a person 
    described in paragraph (1) shall be liable for a civil penalty of 
    at least $450.''; and
        (2) by adding at the end the following:
    ``(h) Penalty for Obstruction of Inspections and Investigations.--
        ``(1) The Secretary may impose a penalty on a person who 
    obstructs or prevents the Secretary from carrying out inspections 
    or investigations under subsection (c) or (i) of section 5121.
        ``(2) For the purposes of this subsection, the term `obstructs' 
    means actions that were known, or reasonably should have been 
    known, to prevent, hinder, or impede an investigation.
    ``(i) Prohibition on Hazardous Material Operations After Nonpayment 
of Penalties.--
        ``(1) In general.--Except as provided under paragraph (2), a 
    person subject to the jurisdiction of the Secretary under this 
    chapter who fails to pay a civil penalty assessed under this 
    chapter, or fails to arrange and abide by an acceptable payment 
    plan for such civil penalty, may not conduct any activity regulated 
    under this chapter beginning on the 91st day after the date 
    specified by order of the Secretary for payment of such penalty 
    unless the person has filed a formal administrative or judicial 
    appeal of the penalty.
        ``(2) Exception.--Paragraph (1) shall not apply to any person 
    who is unable to pay a civil penalty because such person is a 
    debtor in a case under chapter 11 of title 11.
        ``(3) Rulemaking.--Not later than 2 years after the date of 
    enactment of this subsection, the Secretary, after providing notice 
    and an opportunity for public comment, shall issue regulations 
    that--
            ``(A) set forth procedures to require a person who is 
        delinquent in paying civil penalties to cease any activity 
        regulated under this chapter until payment has been made or an 
        acceptable payment plan has been arranged; and
            ``(B) ensures that the person described in subparagraph 
        (A)--
                ``(i) is notified in writing; and
                ``(ii) is given an opportunity to respond before the 
            person is required to cease the activity.''.
SEC. 33011. REPORTING OF FEES.
    Section 5125(f)(2) is amended by striking ``, upon the Secretary's 
request,'' and inserting ``biennially''.
SEC. 33012. SPECIAL PERMITS, APPROVALS, AND EXCLUSIONS.
    (a) Rulemaking.--Not later than 2 years after the date of enactment 
of this Act, the Secretary, after providing notice and an opportunity 
for public comment, shall issue regulations that establish--
        (1) standard operating procedures to support administration of 
    the special permit and approval programs; and
        (2) objective criteria to support the evaluation of special 
    permit and approval applications.
    (b) Review of Special Permits.--
        (1) Review.--Not later than 1 year after the date of enactment 
    of this Act, the Secretary shall conduct a review and analysis of 
    special permits that have been in continuous effect for a 10-year 
    period to determine which special permits may be converted into the 
    hazardous materials regulations.
        (2) Factors.--In conducting the review and analysis under 
    paragraph (1), the Secretary may consider--
            (A) the safety record for hazardous materials transported 
        under the special permit;
            (B) the application of a special permit;
            (C) the suitability of provisions in the special permit for 
        incorporation into the hazardous materials regulations; and
            (D) rulemaking activity in related areas.
        (3) Rulemaking.--After completing the review and analysis under 
    paragraph (1), but not later than 3 years after the date of 
    enactment of this Act, and after providing notice and opportunity 
    for public comment, the Secretary shall issue regulations to 
    incorporate into the hazardous materials regulations any special 
    permits identified in the review under paragraph (1) that the 
    Secretary determines are appropriate for incorporation, based on 
    the factors identified in paragraph (2).
    (c) Incorporation Into Regulation.--Section 5117 is amended by 
adding at the end the following:
    ``(f) Incorporation Into Regulations.--
        ``(1) In general.--Not later than 1 year after the date on 
    which a special permit has been in continuous effect for a 10-year 
    period, the Secretary shall conduct a review and analysis of that 
    special permit to determine whether it may be converted into the 
    hazardous materials regulations.
        ``(2) Factors.--In conducting the review and analysis under 
    paragraph (1), the Secretary may consider--
            ``(A) the safety record for hazardous materials transported 
        under the special permit;
            ``(B) the application of a special permit;
            ``(C) the suitability of provisions in the special permit 
        for incorporation into the hazardous materials regulations; and
            ``(D) rulemaking activity in related areas.
        ``(3) Rulemaking.--After completing the review and analysis 
    under paragraph (1) and after providing notice and opportunity for 
    public comment, the Secretary shall either institute a rulemaking 
    to incorporate the special permit into the hazardous materials 
    regulations or publish in the Federal Register the Secretary's 
    justification for why the special permit is not appropriate for 
    incorporation into the regulations.''.
SEC. 33013. HIGHWAY ROUTING DISCLOSURES.
    (a) List of Route Designations.--Section 5112(c) is amended--
        (1) by striking ``In coordination'' and inserting the 
    following:
        ``(1) In general.--In coordination''; and
        (2) by adding at the end the following:
        ``(2) State responsibilities.--
            ``(A) In general.--Each State shall submit to the 
        Secretary, in a form and manner to be determined by the 
        Secretary and in accordance with subparagraph (B)--
                ``(i) the name of the State agency responsible for 
            hazardous material highway route designations; and
                ``(ii) a list of the State's currently effective 
            hazardous material highway route designations.
            ``(B) Frequency.--Each State shall submit the information 
        described in subparagraph (A)(ii)--
                ``(i) at least once every 2 years; and
                ``(ii) not later than 60 days after a hazardous 
            material highway route designation is established, amended, 
            or discontinued.''.
    (b) Compliance With Section 5112.--Section 5125(c)(1) is amended by 
inserting ``, and is published in the Department's hazardous materials 
route registry under section 5112(c)'' before the period at the end.
SEC. 33014. MOTOR CARRIER SAFETY PERMITS.
    (a) Review.--Not later than 1 year after the date of enactment of 
this Act, the Secretary shall conduct a study of, and transmit to the 
Committee on Commerce, Science, and Transportation of the Senate and 
the Committee on Transportation and Infrastructure of the House of 
Representatives a report on, the implementation of the hazardous 
material safety permit program under section 5109 of title 49, United 
States Code. In conducting the study, the Secretary shall review, at a 
minimum--
        (1) the list of hazardous materials requiring a safety permit;
        (2) the number of permits that have been issued, denied, 
    revoked, or suspended since inception of the program and the number 
    of commercial motor carriers that have never had a permit denied, 
    revoked, or suspended since inception of the program;
        (3) the reasons for such denials, revocations, or suspensions;
        (4) the criteria used by the Federal Motor Carrier Safety 
    Administration to determine whether a hazardous material safety 
    permit issued by a State is equivalent to the Federal permit; and
        (5) actions the Secretary could implement to improve the 
    program, including whether to provide opportunities for an 
    additional level of fitness review prior to the denial, revocation, 
    or suspension of a safety permit.
    (b) Actions Taken.--Not later than 2 years after the date of 
enactment of this Act, based on the study conducted under subsection 
(a), the Secretary shall either institute a rulemaking to make any 
necessary improvements to the hazardous materials safety permit program 
under section 5109 of title 49, United States Code or publish in the 
Federal Register the Secretary's justification for why a rulemaking is 
not necessary.
SEC. 33015. WETLINES.
    (a) Evaluation.--Not later than 1 year after the date of enactment 
of this Act, the United States Government Accountability Office shall 
evaluate, and transmit to the Committee on Commerce, Science, and 
Transportation of the Senate and the Committee on Transportation and 
Infrastructure of the House of Representatives, a report on the safety 
of transporting flammable liquids in the external product piping of 
cargo tank motor vehicles (commonly referred to as wetlines). The 
evaluation shall--
        (1) review the safety of transporting flammable liquids in the 
    external product piping of cargo tank motor vehicles;
        (2) accurately quantify the number of incidents involving the 
    transportation of flammable liquids in external product piping of 
    cargo tank motor vehicles;
        (3) identify various alternatives to loading, transporting, and 
    unloading flammable liquids in such piping;
        (4) examine the costs and benefits of each alternative; and
        (5) identify any obstacles to implementing each alternative.
    (b) Regulations.--The Secretary may not issue a final rule 
regarding transporting flammable liquids in the external product piping 
of cargo tank motor vehicles prior to completion of the evaluation 
conducted under subsection (a), or 2 years after the date of enactment 
of this Act, whichever is earlier, unless the Secretary determines that 
a risk to public safety, property, or the environment is present or an 
imminent hazard (as defined in section 5102 of title 49, United States 
Code) exists and that the regulations will address the risk or hazard.
SEC. 33016. HAZMAT EMPLOYEE TRAINING REQUIREMENTS AND GRANTS.
    Section 5107(e)(2) is amended--
        (1) by inserting ``through a competitive process'' between 
    ``made'' and ``to''; and
        (2) by striking ``hazmat employee''.
SEC. 33017. AUTHORIZATION OF APPROPRIATIONS.
    Section 5128 is amended to read as follows:
``Sec. 5128. Authorization of appropriations
    ``(a) In General.--There are authorized to be appropriated to the 
Secretary to carry out this chapter (except sections 5107(e), 
5108(g)(2), 5113, 5115, 5116, and 5119)--
        ``(1) $42,338,000 for fiscal year 2013; and
        ``(2) $42,762,000 for fiscal year 2014.
    ``(b) Hazardous Materials Emergency Preparedness Fund.--From the 
Hazardous Materials Emergency Preparedness Fund established under 
section 5116(i), the Secretary may expend, during each of fiscal years 
2013 and 2014--
        ``(1) $188,000 to carry out section 5115;
        ``(2) $21,800,000 to carry out subsections (a) and (b) of 
    section 5116, of which not less than $13,650,000 shall be available 
    to carry out section 5116(b);
        ``(3) $150,000 to carry out section 5116(f);
        ``(4) $625,000 to publish and distribute the Emergency Response 
    Guidebook under section 5116(i)(3); and
        ``(5) $1,000,000 to carry out section 5116(j).
    ``(c) Hazardous Materials Training Grants.--From the Hazardous 
Materials Emergency Preparedness Fund established pursuant to section 
5116(i), the Secretary may expend $4,000,000 for each of the fiscal 
years 2013 and 2014 to carry out section 5107(e).
    ``(d) Credits to Appropriations.--
        ``(1) Expenses.--In addition to amounts otherwise made 
    available to carry out this chapter, the Secretary may credit 
    amounts received from a State, Indian tribe, or other public 
    authority or private entity for expenses the Secretary incurs in 
    providing training to the State, authority, or entity.
        ``(2) Availability of amounts.--Amounts made available under 
    this section shall remain available until expended.''.

TITLE IV--SPORT FISH RESTORATION AND RECREATIONAL BOATING SAFETY ACT OF 
                                  2012

SEC. 34001. SHORT TITLE.
    This title may be cited as the ``Sport Fish Restoration and 
Recreational Boating Safety Act of 2012''.
SEC. 34002. AMENDMENT OF FEDERAL AID IN SPORT FISH RESTORATION ACT.
    Section 4 of the Federal Aid in Fish Restoration Act (16 U.S.C. 
777c) is amended--
        (1) in subsection (a), by striking ``of fiscal years 2006 
    through 2011 and for the period beginning on October 1, 2011, and 
    ending on June 30, 2012,'' and inserting ``fiscal year through 
    2014,''; and
        (2) in subsection (b)(1)(A), by striking ``of fiscal years 2006 
    through 2011 and for the period beginning on October 1, 2011, and 
    ending on March 31, 2012,'' and inserting ``fiscal year through 
    2014,''.

                         TITLE V--MISCELLANEOUS

SEC. 35001. OVERFLIGHTS IN GRAND CANYON NATIONAL PARK.
    (a) Determinations With Respect to Substantial Restoration of 
Natural Quiet and Experience.--
        (1) In general.--Notwithstanding any other provision of law, 
    for purposes of section 3(b)(1) of Public Law 100-91 (16 U.S.C. 1a-
    1 note), the substantial restoration of the natural quiet and 
    experience of the Grand Canyon National Park (in this section 
    referred to as the ``Park'') shall be considered to be achieved in 
    the Park if, for at least 75 percent of each day, 50 percent of the 
    Park is free of sound produced by commercial air tour operations 
    that have an allocation to conduct commercial air tours in the Park 
    as of the date of enactment of this Act.
        (2) Considerations.--
            (A) In general.--For purposes of determining whether 
        substantial restoration of the natural quiet and experience of 
        the Park has been achieved in accordance with paragraph (1), 
        the Secretary of the Interior (in this section referred to as 
        the ``Secretary'') shall use--
                (i) the 2-zone system for the Park in effect on the 
            date of enactment of this Act to assess impacts relating to 
            substantial restoration of natural quiet at the Park, 
            including--

                    (I) the thresholds for noticeability and 
                audibility; and
                    (II) the distribution of land between the 2 zones; 
                and

                (ii) noise modeling science that is--

                    (I) developed for use at the Park, specifically 
                Integrated Noise Model Version 6.2;
                    (II) validated by reasonable standards for 
                conducting field observations of model results; and
                    (III) accepted and validated by the Federal 
                Interagency Committee on Aviation Noise.

            (B) Sound from other sources.--The Secretary shall not 
        consider sound produced by sources other than commercial air 
        tour operations, including sound emitted by other types of 
        aircraft operations or other noise sources, for purposes of--
                (i) making recommendations, developing a final plan, or 
            issuing regulations relating to commercial air tour 
            operations in the Park; or
                (ii) determining under paragraph (1) whether 
            substantial restoration of the natural quiet and experience 
            of the Park has been achieved.
        (3) Continued monitoring.--The Secretary shall continue 
    monitoring noise from aircraft operating over the Park below 17,999 
    feet MSL to ensure continued compliance with the substantial 
    restoration of natural quiet and experience of the Park.
        (4) Day defined.--For purposes of this section, the term 
    ``day'' means the hours between 7:00 a.m. and 7:00 p.m.
    (b) Conversion to Quiet Technology Aircraft.--
        (1) In general.--Not later than 15 years after the date of 
    enactment of this Act, all commercial air tour aircraft operating 
    in the Grand Canyon National Park Special Flight Rules Area shall 
    be required to fully convert to quiet aircraft technology (as 
    determined in accordance with regulations in effect on the day 
    before the date of enactment of this Act).
        (2) Conversion incentives.--Not later than 60 days after the 
    date of enactment of this Act, the Secretary and the Administrator 
    of the Federal Aviation Administration shall provide incentives for 
    commercial air tour operators that convert to quiet aircraft 
    technology (as determined in accordance with the regulations in 
    effect on the day before the date of enactment of this Act) before 
    the date specified in paragraph (1), such as increasing the flight 
    allocations for such operators on a net basis consistent with 
    section 804(c) of the National Park Air Tours Management Act of 
    2000 (title VIII of Public Law 106-181), provided that the 
    cumulative impact of such operations does not increase noise at 
    Grand Canyon National Park.
SEC. 35002. COMMERCIAL AIR TOUR OPERATIONS.
    Section 40128(b)(1)(C) of title 49, United States Code, is amended 
to read as follows:
            ``(C) Exception.--An application to begin or expand 
        commercial air tour operations at Crater Lake National Park or 
        Great Smoky Mountains National Park may be denied without the 
        establishment of an air tour management plan by the Director of 
        the National Park Service if the Director determines that such 
        operations would adversely affect park resources or visitor 
        experiences.''.
SEC. 35003. QUALIFICATIONS FOR PUBLIC AIRCRAFT STATUS.
    Section 40125 of title 49, United States Code, is amended by adding 
at the end the following:
    ``(d) Search and Rescue Purposes.--An aircraft described in section 
40102(a)(41)(D) that is not exclusively leased for at least 90 
continuous days by the government of a State, the District of Columbia, 
or a territory or possession of the United States or a political 
subdivision of 1 of those governments, qualifies as a public aircraft 
if the Administrator determines that--
        ``(1) there are extraordinary circumstances;
        ``(2) the aircraft will be used for the performance of search 
    and rescue missions;
        ``(3) a community would not otherwise have access to search and 
    rescue services; and
        ``(4) a government entity demonstrates that granting the waiver 
    is necessary to prevent an undue economic burden on that 
    government.''.

                          DIVISION D--FINANCE

SEC. 40001. SHORT TITLE.
    This division may be cited as the ``Highway Investment, Job 
Creation, and Economic Growth Act of 2012''.

  TITLE I--EXTENSION OF HIGHWAY TRUST FUND EXPENDITURE AUTHORITY AND 
                             RELATED TAXES

SEC. 40101. EXTENSION OF TRUST FUND EXPENDITURE AUTHORITY.
    (a) Highway Trust Fund.--Section 9503 of the Internal Revenue Code 
of 1986 is amended--
        (1) by striking ``July 1, 2012'' in subsections (b)(6)(B), 
    (c)(1), and (e)(3) and inserting ``October 1, 2014'', and
        (2) by striking ``Surface Transportation Extension Act of 
    2012'' in subsections (c)(1) and (e)(3) and inserting ``MAP-21''.
    (b) Sport Fish Restoration and Boating Trust Fund.--Section 9504 of 
the Internal Revenue Code of 1986 is amended--
        (1) by striking ``Surface Transportation Extension Act of 
    2012'' each place it appears in subsection (b)(2) and inserting 
    ``MAP-21'', and
        (2) by striking ``July 1, 2012'' in subsection (d)(2) and 
    inserting ``October 1, 2014''.
    (c) Leaking Underground Storage Tank Trust Fund.--Paragraph (2) of 
section 9508(e) of the Internal Revenue Code of 1986 is amended by 
striking ``July 1, 2012'' and inserting ``October 1, 2014''.
    (d) Effective Date.--The amendments made by this section shall take 
effect on July 1, 2012.
SEC. 40102. EXTENSION OF HIGHWAY-RELATED TAXES.
    (a) In General.--
        (1) Each of the following provisions of the Internal Revenue 
    Code of 1986 is amended by striking ``June 30, 2012'' and inserting 
    ``September 30, 2016'':
            (A) Section 4041(a)(1)(C)(iii)(I).
            (B) Section 4041(m)(1)(B).
            (C) Section 4081(d)(1).
        (2) Each of the following provisions of such Code is amended by 
    striking ``July 1, 2012'' and inserting ``October 1, 2016'':
            (A) Section 4041(m)(1)(A).
            (B) Section 4051(c).
            (C) Section 4071(d).
            (D) Section 4081(d)(3).
    (b) Extension of Tax, etc., on Use of Certain Heavy Vehicles.--
        (1) In general.--Each of the following provisions of the 
    Internal Revenue Code of 1986 is amended by striking ``2013'' each 
    place it appears and inserting ``2017'':
            (A) Section 4481(f).
            (B) Section 4482(d).
        (2) Extension and technical correction.--
            (A) In general.--Paragraph (4) of section 4482(c) of such 
        Code is amended to read as follows:
        ``(4) Taxable period.--The term `taxable period' means any year 
    beginning before July 1, 2017, and the period which begins on July 
    1, 2017, and ends at the close of September 30, 2017.''.
            (B) Effective date.--The amendment made by this paragraph 
        shall take effect as if included in the amendments made by 
        section 142 of the Surface Transportation Extension Act of 
        2011, Part II.
    (c) Floor Stocks Refunds.--Section 6412(a)(1) of the Internal 
Revenue Code of 1986 is amended--
        (1) by striking ``July 1, 2012'' each place it appears and 
    inserting ``October 1, 2016'',
        (2) by striking ``December 31, 2012'' each place it appears and 
    inserting ``March 31, 2017'', and
        (3) by striking ``October 1, 2012'' and inserting ``January 1, 
    2017''.
    (d) Extension of Certain Exemptions.--
        (1) Section 4221(a) of the Internal Revenue Code of 1986 is 
    amended by striking ``July 1, 2012'' and inserting ``October 1, 
    2016''.
        (2) Section 4483(i) of such Code is amended by striking ``July 
    1, 2012'' and inserting ``October 1, 2017''.
    (e) Extension of Transfers of Certain Taxes.--
        (1) In general.--Section 9503 of the Internal Revenue Code of 
    1986 is amended--
            (A) in subsection (b)--
                (i) by striking ``July 1, 2012'' each place it appears 
            in paragraphs (1) and (2) and inserting ``October 1, 
            2016'',
                (ii) by striking ``July 1, 2012'' in the heading of 
            paragraph (2) and inserting ``October 1, 2016'',
                (iii) by striking ``June 30, 2012'' in paragraph (2) 
            and inserting ``September 30, 2016'', and
                (iv) by striking ``April 1, 2013'' in paragraph (2) and 
            inserting ``July 1, 2017'', and
            (B) in subsection (c)(2), by striking ``April 1, 2013'' and 
        inserting ``July 1, 2017''.
        (2) Motorboat and small-engine fuel tax transfers.--
            (A) In general.--Paragraphs (3)(A)(i) and (4)(A) of section 
        9503(c) of such Code are each amended by striking ``July 1, 
        2012'' and inserting ``October 1, 2016''.
            (B) Conforming amendments to land and water conservation 
        fund.--Section 201(b) of the Land and Water Conservation Fund 
        Act of 1965 (16 U.S.C. 460l-11(b)) is amended--
                (i) by striking ``July 1, 2013'' each place it appears 
            and inserting ``October 1, 2017'', and
                (ii) by striking ``July 1, 2012'' and inserting 
            ``October 1, 2016''.
    (f) Effective Date.--Except as otherwise provided in this section, 
the amendments made by this section shall take effect on July 1, 2012.

                      TITLE II--REVENUE PROVISIONS
        Subtitle A--Leaking Underground Storage Tank Trust Fund

SEC. 40201. TRANSFER FROM LEAKING UNDERGROUND STORAGE TANK TRUST FUND 
TO HIGHWAY TRUST FUND.
    (a) In General.--Subsection (c) of section 9508 of the Internal 
Revenue Code of 1986 is amended--
        (1) by striking ``Amounts'' and inserting:
        ``(1) In general.--Except as provided in paragraph (2), 
    amounts'', and
        (2) by adding at the end the following new paragraph:
        ``(2) Transfer to highway trust fund.--Out of amounts in the 
    Leaking Underground Storage Tank Trust Fund there is hereby 
    appropriated $2,400,000,000 to be transferred under section 
    9503(f)(3) to the Highway Account (as defined in section 
    9503(e)(5)(B)) in the Highway Trust Fund.''.
    (b) Transfer to Highway Trust Fund.--
        (1) In general.--Subsection (f) of section 9503 of the Internal 
    Revenue Code of 1986 is amended by inserting after paragraph (2) 
    the following new paragraph:
        ``(3) Increase in fund balance.--There is hereby transferred to 
    the Highway Account (as defined in subsection (e)(5)(B)) in the 
    Highway Trust Fund amounts appropriated from the Leaking 
    Underground Storage Tank Trust Fund under section 9508(c)(2).''.
        (2) Conforming amendments.--Paragraph (4) of section 9503(f) of 
    such Code is amended--
            (A) by inserting ``or transferred'' after ``appropriated'', 
        and
            (B) by striking ``appropriated'' in the heading thereof.

                     Subtitle B--Pension Provisions

                 PART I--PENSION FUNDING STABILIZATION

SEC. 40211. PENSION FUNDING STABILIZATION.
    (a) Amendments to Internal Revenue Code of 1986.--
        (1) In general.--Subparagraph (C) of section 430(h)(2) of the 
    Internal Revenue Code of 1986 is amended by adding at the end the 
    following new clause:
                ``(iv) Segment rate stabilization.--

                    ``(I) In general.--If a segment rate described in 
                clause (i), (ii), or (iii) with respect to any 
                applicable month (determined without regard to this 
                clause) is less than the applicable minimum percentage, 
                or more than the applicable maximum percentage, of the 
                average of the segment rates described in such clause 
                for years in the 25-year period ending with September 
                30 of the calendar year preceding the calendar year in 
                which the plan year begins, then the segment rate 
                described in such clause with respect to the applicable 
                month shall be equal to the applicable minimum 
                percentage or the applicable maximum percentage of such 
                average, whichever is closest. The Secretary shall 
                determine such average on an annual basis and may 
                prescribe equivalent rates for years in any such 25-
                year period for which the rates described in any such 
                clause are not available.
                    ``(II) Applicable minimum percentage; applicable 
                maximum percentage.--For purposes of subclause (I), the 
                applicable minimum percentage and the applicable 
                maximum percentage for a plan year beginning in a 
                calendar year shall be determined in accordance with 
                the following table:

------------------------------------------------------------------------
                                                    The          The
                                                 applicable   applicable
          ``If the calendar year is:              minimum      maximum
                                                 percentage   percentage
                                                    is:          is:
------------------------------------------------------------------------
2012..........................................          90%         110%
2013..........................................          85%         115%
2014..........................................          80%         120%
2015..........................................          75%         125%
After 2015....................................          70%     130%.''.
------------------------------------------------------------------------

    ''.    (2) Conforming amendments.--
            (A) Paragraph (6) of section 404(o) of such Code is amended 
        by inserting ``(determined by not taking into account any 
        adjustment under clause (iv) of subsection (h)(2)(C) thereof)'' 
        before the period.
            (B) Subparagraph (F) of section 430(h)(2) of such Code is 
        amended by inserting ``and the averages determined under 
        subparagraph (C)(iv)'' after ``subparagraph (C)''.
            (C) Subparagraphs (C) and (D) of section 417(e)(3) of such 
        Code are each amended by striking ``section 430(h)(2)(C)'' and 
        inserting ``section 430(h)(2)(C) (determined by not taking into 
        account any adjustment under clause (iv) thereof)''.
            (D) Section 420 of such Code is amended by adding at the 
        end the following new subsection:
    ``(g) Segment Rates Determined Without Pension Stabilization.--For 
purposes of this section, section 430 shall be applied without regard 
to subsection (h)(2)(C)(iv) thereof.''.
    (b) Amendments to Employee Retirement Income Security Act of 
1974.--
        (1) In general.--Subparagraph (C) of section 303(h)(2) of the 
    Employee Retirement Income Security Act of 1974 (29 U.S.C. 
    1083(h)(2)) is amended by adding at the end the following new 
    clause:
                ``(iv) Segment rate stabilization.--

                    ``(I) In general.--If a segment rate described in 
                clause (i), (ii), or (iii) with respect to any 
                applicable month (determined without regard to this 
                clause) is less than the applicable minimum percentage, 
                or more than the applicable maximum percentage, of the 
                average of the segment rates described in such clause 
                for years in the 25-year period ending with September 
                30 of the calendar year preceding the calendar year in 
                which the plan year begins, then the segment rate 
                described in such clause with respect to the applicable 
                month shall be equal to the applicable minimum 
                percentage or the applicable maximum percentage of such 
                average, whichever is closest. The Secretary of the 
                Treasury shall determine such average on an annual 
                basis and may prescribe equivalent rates for years in 
                any such 25-year period for which the rates described 
                in any such clause are not available.
                    ``(II) Applicable minimum percentage; applicable 
                maximum percentage.--For purposes of subclause (I), the 
                applicable minimum percentage and the applicable 
                maximum percentage for a plan year beginning in a 
                calendar year shall be determined in accordance with 
                the following table:

------------------------------------------------------------------------
                                                    The          The
                                                 applicable   applicable
          ``If the calendar year is:              minimum      maximum
                                                 percentage   percentage
                                                    is:          is:
------------------------------------------------------------------------
2012..........................................          90%         110%
2013..........................................          85%         115%
2014..........................................          80%         120%
2015..........................................          75%         125%
After 2015....................................          70%     130%.''.
------------------------------------------------------------------------

    ''.    (2) Disclosure of effect of segment rate stabilization on 
    plan funding.--
            (A) In general.--Paragraph (2) of section 101(f) of such 
        Act (29 U.S.C. 1021(f)) is amended by adding at the end the 
        following new subparagraph:
            ``(D) Effect of segment rate stabilization on plan 
        funding.--
                ``(i) In general.--In the case of a single-employer 
            plan for an applicable plan year, each notice under 
            paragraph (1) shall include--

                    ``(I) a statement that the MAP-21 modified the 
                method for determining the interest rates used to 
                determine the actuarial value of benefits earned under 
                the plan, providing for a 25-year average of interest 
                rates to be taken into account in addition to a 2-year 
                average,
                    ``(II) a statement that, as a result of the MAP-21, 
                the plan sponsor may contribute less money to the plan 
                when interest rates are at historical lows, and
                    ``(III) a table which shows (determined both with 
                and without regard to section 303(h)(2)(C)(iv)) the 
                funding target attainment percentage (as defined in 
                section 303(d)(2)), the funding shortfall (as defined 
                in section 303(c)(4)), and the minimum required 
                contribution (as determined under section 303), for the 
                applicable plan year and each of the 2 preceding plan 
                years.

                ``(ii) Applicable plan year.--For purposes of this 
            subparagraph, the term `applicable plan year' means any 
            plan year beginning after December 31, 2011, and before 
            January 1, 2015, for which--

                    ``(I) the funding target (as defined in section 
                303(d)(2)) is less than 95 percent of such funding 
                target determined without regard to section 
                303(h)(2)(C)(iv),
                    ``(II) the plan has a funding shortfall (as defined 
                in section 303(c)(4) and determined without regard to 
                section 303(h)(2)(C)(iv)) greater than $500,000, and
                    ``(III) the plan had 50 or more participants on any 
                day during the preceding plan year.

            For purposes of any determination under subclause (III), 
            the aggregation rule under the last sentence of section 
            303(g)(2)(B) shall apply.
                ``(iii) Special rule for plan years beginning before 
            2012.--In the case of a preceding plan year referred to in 
            clause (i)(III) which begins before January 1, 2012, the 
            information described in such clause shall be provided only 
            without regard to section 303(h)(2)(C)(iv).''.
            (B) Model notice.--The Secretary of Labor shall modify the 
        model notice required to be published under section 501(c) of 
        the Pension Protection Act of 2006 to prominently include the 
        information described in section 101(f)(2)(D) of the Employee 
        Retirement Income Security Act of 1974, as added by this 
        paragraph.
        (3) Conforming amendments.--
            (A) Subparagraph (F) of section 303(h)(2) of such Act (29 
        U.S.C. 1083(h)(2)) is amended by inserting ``and the averages 
        determined under subparagraph (C)(iv)'' after ``subparagraph 
        (C)''.
            (B) Clauses (ii) and (iii) of section 205(g)(3)(B) of such 
        Act (29 U.S.C. 1055(g)(3)(B)) are each amended by striking 
        ``section 303(h)(2)(C)'' and inserting ``section 303(h)(2)(C) 
        (determined by not taking into account any adjustment under 
        clause (iv) thereof)''.
            (C) Clause (iv) of section 4006(a)(3)(E) of such Act (29 
        U.S.C. 1306(a)(3)(E)) is amended by striking ``section 
        303(h)(2)(C)'' and inserting ``section 303(h)(2)(C) 
        (notwithstanding any regulations issued by the corporation, 
        determined by not taking into account any adjustment under 
        clause (iv) thereof)''.
            (D) Section 4010(d) of such Act (29 U.S.C. 1310(d)) is 
        amended by adding at the end the following:
        ``(3) Pension stabilization disregarded.--For purposes of this 
    section, the segment rates used in determining the funding target 
    and funding target attainment percentage shall be determined by not 
    taking into account any adjustment under section 
    302(h)((2)(C)(iv).''.
    (c) Effective Date.--
        (1) In general.--The amendments made by this section shall 
    apply with respect to plan years beginning after December 31, 2011.
        (2) Rules with respect to elections.--
            (A) Adjusted funding target attainment percentage.--A plan 
        sponsor may elect not to have the amendments made by this 
        section apply to any plan year beginning before January 1, 
        2013, either (as specified in the election)--
                (i) for all purposes for which such amendments apply, 
            or
                (ii) solely for purposes of determining the adjusted 
            funding target attainment percentage under sections 436 of 
            the Internal Revenue Code of 1986 and 206(g) of the 
            Employee Retirement Income Security Act of 1974 for such 
            plan year.
        A plan shall not be treated as failing to meet the requirements 
        of sections 204(g) of such Act and 411(d)(6) of such Code 
        solely by reason of an election under this paragraph.
            (B) Opt out of existing elections.--If, on the date of the 
        enactment of this Act, an election is in effect with respect to 
        any plan under sections 303(h)((2)(D)(ii) of the Employee 
        Retirement Income Security Act of 1974 and 430(h)((2)(D)(ii) of 
        the Internal Revenue Code of 1986, then, notwithstanding the 
        last sentence of each such section, the plan sponsor may revoke 
        such election without the consent of the Secretary of the 
        Treasury. The plan sponsor may make such revocation at any time 
        before the date which is 1 year after such date of enactment 
        and such revocation shall be effective for the 1st plan year to 
        which the amendments made by this section apply and all 
        subsequent plan years. Nothing in this subparagraph shall 
        preclude a plan sponsor from making a subsequent election in 
        accordance with such sections.

                         PART II--PBGC PREMIUMS

SEC. 40221. SINGLE EMPLOYER PLAN ANNUAL PREMIUM RATES.
    (a) Flat-rate Premium.--
        (1) In general.--Clause (i) of section 4006(a)(3)(A) of the 
    Employee Retirement Income Security Act of 1974 (29 U.S.C. 
    1306(a)(3)(A)) is amended to read as follows:
        ``(i) in the case of a single-employer plan, an amount for each 
    individual who is a participant in such plan during the plan year 
    equal to the sum of the additional premium (if any) determined 
    under subparagraph (E) and--
            ``(I) for plan years beginning after December 31, 2005, and 
        before January 1, 2013, $30;
            ``(II) for plan years beginning after December 31, 2012, 
        and before January 1, 2014, $42; and
            ``(III) for plan years beginning after December 31, 2013, 
        $49.''.
        (2) Adjustment for inflation.--Subparagraph (F) of section 
    4006(a)(3) of such Act (29 U.S.C. 1306(a)(3)) is amended--
            (A) in clause (i)(II), by inserting ``(2012 in the case of 
        plan years beginning after calendar year 2014)'' after 
        ``2004''; and
            (B) by adding at the end the following new sentence: ``This 
        subparagraph shall not apply to plan years beginning in 2013 or 
        2014.''.
    (b) Variable-rate Premium.--
        (1) In general.--Subparagraph (E)(ii) of section 4006(a)(3) of 
    the Employee Retirement Income Security Act of 1974 (29 U.S.C. 
    1306(a)(3)) is amended by striking ``$9.00'' and inserting ``the 
    applicable dollar amount under paragraph (8)''.
        (2) Applicable dollar amount.--Section 4006(a) of such Act (29 
    U.S.C. 1306(a)) is amended by adding at the end the following:
        ``(8) Applicable dollar amount for variable rate premium.--For 
    purposes of paragraph (3)(E)(ii)--
            ``(A) In general.--Except as provided in subparagraphs (B) 
        and (C), the applicable dollar amount shall be--
                ``(i) $9 for plan years beginning in a calendar year 
            before 2015;
                ``(ii) for plan years beginning in calendar year 2015, 
            the amount in effect for plan years beginning in 2014 
            (determined after application of subparagraph (C)); and
                ``(iii) for plan years beginning after calendar year 
            2015, the amount in effect for plan years beginning in 2015 
            (determined after application of subparagraph (C)).
            ``(B) Adjustment for inflation.--For each plan year 
        beginning in a calendar year after 2012, there shall be 
        substituted for the applicable dollar amount specified under 
        subparagraph (A) an amount equal to the greater of--
                ``(i) the product derived by multiplying such 
            applicable dollar amount for plan years beginning in that 
            calendar year by the ratio of--

                    ``(I) the national average wage index (as defined 
                in section 209(k)(1) of the Social Security Act) for 
                the first of the 2 calendar years preceding the 
                calendar year in which such plan year begins, to
                    ``(II) the national average wage index (as so 
                defined) for the base year; and

                ``(ii) such applicable dollar amount in effect for plan 
            years beginning in the preceding calendar year.
        If the amount determined under this subparagraph is not a 
        multiple of $1, such product shall be rounded to the nearest 
        multiple of $1.
            ``(C) Additional increase in 2014 and 2015.--The applicable 
        dollar amount determined under subparagraph (A) (after the 
        application of subparagraph (B)) shall be increased--
                ``(i) in the case of plan years beginning in calendar 
            year 2014, by $4; and
                ``(ii) in the case of plan years beginning in calendar 
            year 2015, by $5.
            ``(D) Base year.--For purposes of subparagraph (B), the 
        base year is--
                ``(i) 2010, in the case of plan years beginning in 
            calendar year 2013 or 2014;
                ``(ii) 2012, in the case of plan years beginning in 
            calendar year 2015; and
                ``(iii) 2013, in the case of plan years beginning after 
            calendar year 2015.''.
        (3) Cap.--
            (A) In general.--Subparagraph (E)(i) of section 4006(a)(3) 
        of such Act (29 U.S.C. 1306(a)(3)) is amended by striking ``for 
        any plan year shall be'' and all that follows through the end 
        and inserting the following ``for any plan year--
        ``(I) shall be an amount equal to the amount determined under 
    clause (ii) divided by the number of participants in such plan as 
    of the close of the preceding plan year; and
        ``(II) in the case of plan years beginning in a calendar year 
    after 2012, shall not exceed $400.''.
            (B) Adjustment for inflation.--Paragraph (3) of section 
        4006(a) of such Act (29 U.S.C. 1306(a)(3)), as amended by this 
        Act, is amended by adding at the end the following:
    ``(J) For each plan year beginning in a calendar year after 2013, 
there shall be substituted for the dollar amount specified in subclause 
(II) of subparagraph (E)(i) an amount equal to the greater of--
        ``(i) the product derived by multiplying such dollar amount by 
    the ratio of--
            ``(I) the national average wage index (as defined in 
        section 209(k)(1) of the Social Security Act) for the first of 
        the 2 calendar years preceding the calendar year in which such 
        plan year begins, to
            ``(II) the national average wage index (as so defined) for 
        2011; and
        ``(ii) such dollar amount for plan years beginning in the 
    preceding calendar year.
If the amount determined under this subparagraph is not a multiple of 
$1, such product shall be rounded to the nearest multiple of $1.''.
SEC. 40222. MULTIEMPLOYER ANNUAL PREMIUM RATES.
    (a) In General.--Subparagraph (A) of section 4006(a)(3) of the 
Employee Retirement Income Security Act of 1974 (29 U.S.C. 1306(a)(3)) 
is amended--
        (1) by inserting ``and before January 1, 2013,'' after 
    ``December 31, 2005,'' in clause (iv),
        (2) by striking ``or'' at the end of clause (iii),
        (3) by striking the period at the end of clause (iv) and 
    inserting ``, or'', and
        (4) by adding at the end the following new clause:
        ``(v) in the case of a multiemployer plan, for plan years 
    beginning after December 31, 2012, $12.00 for each individual who 
    is a participant in such plan during the applicable plan year.''.
    (b) Inflation Adjustment.--Paragraph (3) of section 4006(a) of the 
Employee Retirement Income Security Act of 1974 (29 U.S.C. 1306(a)(3)) 
is amended by adding at the end the following:
    ``(I) For each plan year beginning in a calendar year after 2013, 
there shall be substituted for the premium rate specified in clause (v) 
of subparagraph (A) an amount equal to the greater of--
        ``(i) the product derived by multiplying the premium rate 
    specified in clause (v) of subparagraph (A) by the ratio of--
            ``(I) the national average wage index (as defined in 
        section 209(k)(1) of the Social Security Act) for the first of 
        the 2 calendar years preceding the calendar year in which such 
        plan year begins, to
            ``(II) the national average wage index (as so defined) for 
        2011; and
        ``(ii) the premium rate in effect under clause (v) of 
    subparagraph (A) for plan years beginning in the preceding calendar 
    year.
If the amount determined under this subparagraph is not a multiple of 
$1, such product shall be rounded to the nearest multiple of $1.''.

                     PART III--IMPROVEMENTS OF PBGC

SEC. 40231. PENSION BENEFIT GUARANTY CORPORATION GOVERNANCE 
IMPROVEMENT.
    (a) Board of Directors of the Pension Benefit Guaranty 
Corporation.--
        (1) In general.--Section 4002(d) of the Employee Retirement 
    Income Security Act of 1974 (29 U.S.C. 1302(d)) is amended--
            (A) by striking ``(d) The board of directors'' and 
        inserting ``(d)(1) The board of directors''; and
            (B) by adding at the end the following:
    ``(2) A majority of the members of the board of directors in office 
shall constitute a quorum for the transaction of business. The vote of 
the majority of the members present and voting at a meeting at which a 
quorum is present shall be the act of the board of directors.
    ``(3) Each member of the board of directors shall designate in 
writing an official, not below the level of Assistant Secretary, to 
serve as the voting representative of such member on the board. Such 
designation shall be effective until revoked or until a date or event 
specified therein. Any such representative may refer for board action 
any matter under consideration by the designating board member, but 
such representative shall not count toward establishment of a quorum as 
described under paragraph (2).
    ``(4) The Inspector General of the corporation shall report to the 
board of directors, and not less than twice a year, shall attend a 
meeting of the board of directors to provide a report on the activities 
and findings of the Inspector General, including with respect to 
monitoring and review of the operations of the corporation.
    ``(5) The General Counsel of the corporation shall--
        ``(A) serve as the secretary to the board of directors, and 
    advise such board as needed; and
        ``(B) have overall responsibility for all legal matters 
    affecting the corporation and provide the corporation with legal 
    advice and opinions on all matters of law affecting the 
    corporation, except that the authority of the General Counsel shall 
    not extend to the Office of Inspector General and the independent 
    legal counsel of such Office.
    ``(6) Notwithstanding any other provision of this Act, the Office 
of Inspector General and the legal counsel of such Office are 
independent of the management of the corporation and the General 
Counsel of the corporation.
    ``(7) The board of directors may appoint and fix the compensation 
of employees as may be required to enable the board of directors to 
perform its duties. The board of directors shall determine the 
qualifications and duties of such employees and may appoint and fix the 
compensation of experts and consultants in accordance with the 
provisions of section 3109 of title 5, United States Code.''.
        (2) Number of meetings; public availability.--Section 4002(e) 
    of such Act (29 U.S.C. 1302(e)) is amended--
            (A) by striking ``The board'' and inserting ``(1) The 
        board'';
            (B) by striking ``the corporation.'' and inserting ``the 
        corporation, but in no case less than 4 times a year with not 
        fewer than 2 members present. Not less than 1 meeting of the 
        board of directors during each year shall be a joint meeting 
        with the advisory committee under subsection (h).''; and
            (C) by adding at the end the following:
    ``(2)(A) Except as provided in subparagraph (B), the chairman of 
the board of directors shall make available to the public the minutes 
from each meeting of the board of directors.
    ``(B) The minutes of a meeting of the board of directors, or a 
portion thereof, shall not be subject to disclosure under subparagraph 
(A) if the chairman reasonably determines that such minutes, or portion 
thereof, contain confidential employer information including 
information obtained under section 4010, information about the 
investment activities of the corporation, or information regarding 
personnel decisions of the corporation.
    ``(C) The minutes of a meeting, or portion of thereof, exempt from 
disclosure pursuant to subparagraph (B) shall be exempt from disclosure 
under section 552(b) of title 5, United States Code. For purposes of 
such section 552, this subparagraph shall be considered a statute 
described in subsection (b)(3) of such section 552.''.
        (3) Advisory committee.--
            (A) Issues considered by the committee.--Section 4002(h)(1) 
        of such Act (29 U.S.C. 1302(h)(1)) is amended--
                (i) by striking ``, and (D)'' and inserting ``, (D)''; 
            and
                (ii) by striking ``time to time.'' and inserting ``time 
            to time, and (E) other issues as determined appropriate by 
            the advisory committee.''.
            (B) Joint meeting.--Section 4002(h)(3) of such Act (29 
        U.S.C. 1302(h)(3)) is amended by adding at the end the 
        following: ``Not less than 1 meeting of the advisory committee 
        during each year shall be a joint meeting with the board of 
        directors under subsection (e).''.
    (b) Avoiding Conflicts of Interest.--Section 4002 of the Employee 
Retirement Income Security Act of 1974 (29 U.S.C. 1302) is amended by 
adding at the end the following:
    ``(j) Conflicts of Interest.--
        ``(1) In general.--The Director of the corporation and each 
    member of the board of directors shall not participate in a 
    decision of the corporation in which the Director or such member 
    has a direct financial interest. The Director of the corporation 
    shall not participate in any activities that would present a 
    potential conflict of interest or appearance of a conflict of 
    interest without approval of the board of directors.
        ``(2) Establishment of policy.--The board of directors shall 
    establish a policy that will inform the identification of potential 
    conflicts of interests of the members of the board of directors and 
    mitigate perceived conflicts of interest of such members and the 
    Director of the corporation.''.
    (c) Risk Mitigation.--Section 4002 of the Employee Retirement 
Income Security Act of 1974 (29 U.S.C. 1302), as amended by subsection 
(b), is further amended by adding at the end the following:
    ``(k) Risk Management Officer.--The corporation shall have a risk 
management officer whose duties include evaluating and mitigating the 
risk that the corporation might experience. The individual in such 
position shall coordinate the risk management efforts of the 
corporation, explain risks and controls to senior management and the 
board of directors of the corporation, and make recommendations.''.
    (d) Director.--Section 4002(c) of the Employee Retirement Income 
Security Act of 1974 (29 U.S.C. 1302(c)) is amended to read as follows:
    ``(c) The Director shall be accountable to the board of directors. 
The Director shall serve for a term of 5 years unless removed by the 
President or the board of directors before the expiration of such 5-
year term.''.
    (e) Senses of Congress.--
        (1) Formation of committees.--It is the sense of Congress that 
    the board of directors of the Pension Benefit Guaranty Corporation 
    established under section 4002 of the Employee Retirement Income 
    Security Act of 1974 (29 U.S.C. 1302), as amended by this section, 
    should form committees, including an audit committee and an 
    investment committee composed of not less than 2 members, to 
    enhance the overall effectiveness of the board of directors.
        (2) Advisory committee.--It is the sense of Congress that the 
    advisory committee to the Pension Benefit Guaranty Corporation 
    established under section 4002 of the Employee Retirement Income 
    Security Act of 1974 (29 U.S.C. 1302), as amended by this section, 
    should provide to the board of directors of such corporation policy 
    recommendations regarding changes to the law that would be 
    beneficial to the corporation or the voluntary private pension 
    system.
    (f) Study Regarding Governance Structures.--
        (1) In general.--Not later than 90 days after the date of 
    enactment of this Act, the Pension Benefit Guaranty Corporation 
    shall enter into a contract with the National Academy of Public 
    Administration to conduct the study described in paragraph (2) with 
    respect to the Pension Benefit Guaranty Corporation.
        (2) Content of study.--The study conducted under paragraph (1) 
    shall include--
            (A) a review of the governance structures of governmental 
        and nongovernmental organizations that are analogous to the 
        Pension Benefit Guaranty Corporation; and
            (B) recommendations regarding--
                (i) the ideal size and composition of the board of 
            directors of the Pension Benefit Guaranty Corporation;
                (ii) procedures to select and remove members of such 
            board;
                (iii) qualifications and term lengths of members of 
            such board; and
                (iv) policies necessary to enhance Congressional 
            oversight and transparency of such board and to mitigate 
            potential conflicts of interest of the members of such 
            board.
        (3) Submission to congress.--Not later than 1 year after the 
    initiation of the study under paragraph (1), the National Academy 
    of Public Administration shall submit the results of the study to 
    the Committees on Health, Education, Labor, and Pensions and 
    Finance of the Senate and the Committees on Education and the 
    Workforce and Ways and Means of the House of Representatives.
SEC. 40232. PARTICIPANT AND PLAN SPONSOR ADVOCATE.
    (a) In General.--Title IV of the Employee Retirement Income 
Security Act of 1974 (29 U.S.C. 1301 et seq.) is amended by inserting 
after section 4003 the following:
``SEC. 4004. PARTICIPANT AND PLAN SPONSOR ADVOCATE.
    ``(a) In General.--The board of directors of the corporation shall 
select a Participant and Plan Sponsor Advocate from the candidates 
nominated by the advisory committee to the corporation under section 
4002(h)(1) and without regard to the provisions of title 5, United 
States Code, relating to appointments in the competitive service or 
Senior Executive Service.
    ``(b) Duties.--The Participant and Plan Sponsor Advocate shall--
        ``(1) act as a liaison between the corporation, sponsors of 
    defined benefit pension plans insured by the corporation, and 
    participants in pension plans trusteed by the corporation;
        ``(2) advocate for the full attainment of the rights of 
    participants in plans trusteed by the corporation;
        ``(3) assist pension plan sponsors and participants in 
    resolving disputes with the corporation;
        ``(4) identify areas in which participants and plan sponsors 
    have persistent problems in dealings with the corporation;
        ``(5) to the extent possible, propose changes in the 
    administrative practices of the corporation to mitigate problems;
        ``(6) identify potential legislative changes which may be 
    appropriate to mitigate problems; and
        ``(7) refer instances of fraud, waste, and abuse, and 
    violations of law to the Office of the Inspector General of the 
    corporation.
    ``(c) Removal.--If the Participant and Plan Sponsor Advocate is 
removed from office or is transferred to another position or location 
within the corporation or the Department of Labor, the board of the 
directors of the corporation shall communicate in writing the reasons 
for any such removal or transfer to Congress not less than 30 days 
before the removal or transfer. Nothing in this subsection shall 
prohibit a personnel action otherwise authorized by law, other than 
transfer or removal.
    ``(d) Compensation.--The annual rate of basic pay for the 
Participant and Plan Sponsor Advocate shall be the same rate as the 
highest rate of basic pay established for the Senior Executive Service 
under section 5382 of title 5, United States Code, or, if the board of 
directors of the corporation so determines, at a rate fixed under 
section 9503 of such title.
    ``(e) Annual Report.--
        ``(1) In general.--Not later than December 31 of each calendar 
    year, the Participant and Plan Sponsor Advocate shall report to the 
    Health, Education, Labor, and Pensions Committee of the Senate, the 
    Committee on Finance of the Senate, the Committee on Education and 
    the Workforce of the House of Representatives, and the Committee on 
    Ways and Means of the House of Representatives on the activities of 
    the Office of the Participant and Plan Sponsor Advocate during the 
    fiscal year ending during such calendar year.
        ``(2) Content.--Each report submitted under paragraph (1) 
    shall--
            ``(A) summarize the assistance requests received from 
        participants and plan sponsors and describe the activities, and 
        evaluate the effectiveness, of the Participant and Plan Sponsor 
        Advocate during the preceding year;
            ``(B) identify significant problems the Participant and 
        Plan Sponsor Advocate has identified;
            ``(C) include specific legislative and regulatory changes 
        to address the problems; and
            ``(D) identify any actions taken to correct problems 
        identified in any previous report.
        ``(3) Concurrent submission.--The Participant and Plan Sponsor 
    Advocate shall submit a copy of each report to the Secretary of 
    Labor, the Director of the corporation, and any other appropriate 
    official at the same time such report is submitted to the 
    committees of Congress under paragraph (1).''.
    (b) Advisory Committee Nominations.--Section 4002(h)(1) of the 
Employee Retirement Income Security Act of 1974 (29 U.S.C. 1302(h)(1)) 
is amended by adding at the end the following new sentence: ``In the 
event of a vacancy or impending vacancy in the office of the 
Participant and Plan Sponsor Advocate established under section 4004, 
the Advisory Committee shall, in consultation with the Director of the 
corporation and participant and plan sponsor advocacy groups, nominate 
at least two but no more than three individuals to serve as the 
Participant and Plan Sponsor Advocate.''.
    (c) Clerical Amendment.--The table of contents in section 1 of the 
Employee Retirement Income Security Act of 1974 is amended by inserting 
after the item relating to section 4003 the following new item:

``4004. Participant and Plan Sponsor Advocate.''.
SEC. 40233. QUALITY CONTROL PROCEDURES FOR THE PENSION BENEFIT GUARANTY 
CORPORATION.
    (a) Annual Peer Review of Insurance Modeling Systems.--The Pension 
Benefit Guaranty Corporation shall contract with a capable agency or 
organization that is independent from the Corporation, such as the 
Social Security Administration, to conduct an annual peer review of the 
Corporation's Single-Employer Pension Insurance Modeling System and the 
Corporation's Multiemployer Pension Insurance Modeling System. The 
board of directors of the Corporation shall designate the agency or 
organization with which any such contract is entered into. The first of 
such annual peer reviews shall be initiated no later than 3 months 
after the date of enactment of this Act.
    (b) Policies and Procedures Relating to the Policy, Research, and 
Analysis Department.--The Pension Benefit Guaranty Corporation shall--
        (1) develop written quality review policies and procedures for 
    all modeling and actuarial work performed by the Corporation's 
    Policy, Research, and Analysis Department; and
        (2) conduct a record management review of such Department to 
    determine what records must be retained as Federal records.
    (c) Report Relating to OIG Recommendations.--Not later than 2 
months after the date of enactment of this Act, the Pension Benefit 
Guaranty Corporation shall submit to Congress a report, approved by the 
board of directors of the Corporation, setting forth a timetable for 
addressing the outstanding recommendations of the Office of the 
Inspector General relating to the Policy, Research, and Analysis 
Department and the Benefits Administration and Payment Department.
SEC. 40234. LINE OF CREDIT REPEAL.
    (a) In General.--Subsection (c) of section 4005 of the Employee 
Retirement Income Security Act of 1974 (29 U.S.C. 1305) is repealed.
    (b) Conforming Amendments.--
        (1) Section 4005 of the Employee Retirement Income Security Act 
    of 1974 (29 U.S.C. 1305) is amended--
            (A) in subsection (b)--
                (i) paragraph (1)--

                    (I) by striking subparagraph (A); and
                    (II) by redesignating subparagraphs (B) through (G) 
                as subparagraphs (A) through (F), respectively;

                (ii) in paragraph (2)--

                    (I) by striking subparagraph (C); and
                    (II) by redesignating subparagraphs (D) and (E) as 
                subparagraphs (C) and (D), respectively; and

                (iii) in paragraph (3), by striking ``but,'' and all 
            that follows through the end and inserting a period; and
            (B) in subsection (g)--
                (i) by striking paragraph (2); and
                (ii) by redesignating paragraph (3) as paragraph (2).
        (2) Section 4402 of such Act (29 U.S.C. 1461) is amended--
            (A) in subsection (c)(4)--
                (i) by striking subparagraph (C); and
                (ii) by redesignating subparagraph (D) as subparagraph 
            (C); and
            (B) in subsection (d), by striking ``or (D)''.

              PART IV--TRANSFERS OF EXCESS PENSION ASSETS

SEC. 40241. EXTENSION FOR TRANSFERS OF EXCESS PENSION ASSETS TO RETIREE 
HEALTH ACCOUNTS.
    (a) In General.--Paragraph (5) of section 420(b) of the Internal 
Revenue Code of 1986 is amended by striking ``December 31, 2013'' and 
inserting ``December 31, 2021''.
    (b) Conforming ERISA Amendments.--
        (1) Sections 101(e)(3), 403(c)(1), and 408(b)(13) of the 
    Employee Retirement Income Security Act of 1974 are each amended by 
    striking ``Pension Protection Act of 2006'' and inserting ``MAP-
    21''.
        (2) Section 408(b)(13) of such Act (29 U.S.C. 1108(b)(13)) is 
    amended by striking ``January 1, 2014'' and inserting ``January 1, 
    2022''.
    (c) Effective Date.--The amendments made by this Act shall take 
effect on the date of the enactment of this Act.
SEC. 40242. TRANSFER OF EXCESS PENSION ASSETS TO RETIREE GROUP TERM 
LIFE INSURANCE ACCOUNTS.
    (a) In General.--Subsection (a) of section 420 of the Internal 
Revenue Code of 1986 is amended by inserting ``, or an applicable life 
insurance account,'' after ``health benefits account''.
    (b) Applicable Life Insurance Account Defined.--
        (1) In general.--Subsection (e) of section 420 of the Internal 
    Revenue Code of 1986 is amended by redesignating paragraphs (4) and 
    (5) as paragraphs (5) and (6), respectively, and by inserting after 
    paragraph (3) the following new paragraph:
        ``(4) Applicable life insurance account.--The term `applicable 
    life insurance account' means a separate account established and 
    maintained for amounts transferred under this section for qualified 
    current retiree liabilities based on premiums for applicable life 
    insurance benefits.''.
        (2) Applicable life insurance benefits defined.--Paragraph (1) 
    of section 420(e) of such Code is amended by redesignating 
    subparagraph (D) as subparagraph (E) and by inserting after 
    subparagraph (C) the following new subparagraph:
            ``(D) Applicable life insurance benefits.--The term 
        `applicable life insurance benefits' means group-term life 
        insurance coverage provided to retired employees who, 
        immediately before the qualified transfer, are entitled to 
        receive such coverage by reason of retirement and who are 
        entitled to pension benefits under the plan, but only to the 
        extent that such coverage is provided under a policy for 
        retired employees and the cost of such coverage is excludable 
        from the retired employee's gross income under section 79.''.
        (3) Collectively bargained life insurance benefits defined.--
            (A) In general.--Paragraph (6) of section 420(f) of such 
        Code is amended by redesignating subparagraph (D) as 
        subparagraph (E) and by inserting after subparagraph (C) the 
        following new subparagraph:
            ``(D) Collectively bargained life insurance benefits.--The 
        term `collectively bargained life insurance benefits' means, 
        with respect to any collectively bargained transfer--
                ``(i) applicable life insurance benefits which are 
            provided to retired employees who, immediately before the 
            transfer, are entitled to receive such benefits by reason 
            of retirement, and
                ``(ii) if specified by the provisions of the collective 
            bargaining agreement governing the transfer, applicable 
            life insurance benefits which will be provided at 
            retirement to employees who are not retired employees at 
            the time of the transfer.''.
            (B) Conforming amendments.--
                (i) Clause (i) of section 420(e)(1)(C) of such Code is 
            amended by striking ``upon retirement'' and inserting ``by 
            reason of retirement''.
                (ii) Subparagraph (C) of section 420(f)(6) of such Code 
            is amended--

                    (I) by striking ``which are provided to'' in the 
                matter preceding clause (i),
                    (II) by inserting ``which are provided to'' before 
                ``retired employees'' in clause (i),
                    (III) by striking ``upon retirement'' in clause (i) 
                and inserting ``by reason of retirement'', and
                    (IV) by striking ``active employees who, following 
                their retirement,'' and inserting ``which will be 
                provided at retirement to employees who are not retired 
                employees at the time of the transfer and who''.

    (c) Maintenance of Effort.--
        (1) In general.--Subparagraph (A) of section 420(c)(3) of the 
    Internal Revenue Code of 1986 is amended by inserting ``, and each 
    group-term life insurance plan under which applicable life 
    insurance benefits are provided,'' after ``health benefits are 
    provided''.
        (2) Conforming amendments.--
            (A) Subparagraph (B) of section 420(c)(3) of such Code is 
        amended--
                (i) by redesignating subclauses (I) and (II) of clause 
            (i) as subclauses (II) and (III) of such clause, 
            respectively, and by inserting before subclause (II) of 
            such clause, as so redesignated, the following new 
            subclause:

                    ``(I) separately with respect to applicable health 
                benefits and applicable life insurance benefits,'', and

                (ii) by striking ``for applicable health benefits'' and 
            all that follows in clause (ii) and inserting ``was 
            provided during such taxable year for the benefits with 
            respect to which the determination under clause (i) is 
            made.''.
            (B) Subparagraph (C) of section 420(c)(3) of such Code is 
        amended--
                (i) by inserting ``for applicable health benefits'' 
            after ``applied separately'', and
                (ii) by inserting ``, and separately for applicable 
            life insurance benefits with respect to individuals age 65 
            or older at any time during the taxable year and with 
            respect to individuals under age 65 during the taxable 
            year'' before the period.
            (C) Subparagraph (E) of section 420(c)(3) of such Code is 
        amended--
                (i) in clause (i), by inserting ``or retiree life 
            insurance coverage, as the case may be,'' after ``retiree 
            health coverage'',
                (ii) in clause (ii), by inserting ``for retiree health 
            coverage'' after ``cost reductions'' in the heading 
            thereof, and
                (iii) in clause (ii)(II), by inserting ``with respect 
            to applicable health benefits'' after ``liabilities of the 
            employer''.
            (D) Paragraph (2) of section 420(f) of such Code is amended 
        by striking ``collectively bargained retiree health 
        liabilities'' each place it occurs and inserting ``collectively 
        bargained retiree liabilities''.
            (E) Clause (i) of section 420(f)(2)(D) of such Code is 
        amended--
                (i) by inserting ``, and each group-term life insurance 
            plan or arrangement under which applicable life insurance 
            benefits are provided,'' in subclause (I) after 
            ``applicable health benefits are provided'',
                (ii) by inserting ``or applicable life insurance 
            benefits, as the case may be,'' in subclause (I) after 
            ``provides applicable health benefits'',
                (iii) by striking ``group health'' in subclause (II), 
            and
                (iv) by inserting ``or collectively bargained life 
            insurance benefits'' in subclause (II) after ``collectively 
            bargained health benefits''.
            (F) Clause (ii) of section 420(f)(2)(D) of such Code is 
        amended--
                (i) by inserting ``with respect to applicable health 
            benefits or applicable life insurance benefits'' after 
            ``requirements of subsection (c)(3)'', and
                (ii) by adding at the end the following: ``Such 
            election may be made separately with respect to applicable 
            health benefits and applicable life insurance benefits. In 
            the case of an election with respect to applicable life 
            insurance benefits, the first sentence of this clause shall 
            be applied as if subsection (c)(3) as in effect before the 
            amendments made by such Act applied to such benefits.''.
            (G) Clause (iii) of section 420(f)(2)(D) of such Code is 
        amended--
                (i) by striking ``retiree'' each place it occurs, and
                (ii) by inserting ``, collectively bargained life 
            insurance benefits, or both, as the case may be,'' after 
            ``health benefits'' each place it occurs.
    (d) Coordination With Section 79.--Section 79 of the Internal 
Revenue Code of 1986 is amended by adding at the end the following new 
subsection:
    ``(f) Exception for Life Insurance Purchased in Connection With 
Qualified Transfer of Excess Pension Assets.--Subsection (b)(3) and 
section 72(m)(3) shall not apply in the case of any cost paid (whether 
directly or indirectly) with assets held in an applicable life 
insurance account (as defined in section 420(e)(4)) under a defined 
benefit plan.''.
    (e) Conforming Amendments.--
        (1) Section 420 of the Internal Revenue Code of 1986 is amended 
    by striking ``qualified current retiree health liabilities'' each 
    place it appears and inserting ``qualified current retiree 
    liabilities''.
        (2) Section 420 of such Code is amended by inserting ``, or an 
    applicable life insurance account,'' after ``a health benefits 
    account'' each place it appears in subsection (b)(1)(A), 
    subparagraphs (A), (B)(i), and (C) of subsection (c)(1), subsection 
    (d)(1)(A), and subsection (f)(2)(E)(ii).
        (3) Section 420(b) of such Code is amended--
            (A) by adding the following at the end of paragraph (2)(A): 
        ``If there is a transfer from a defined benefit plan to both a 
        health benefits account and an applicable life insurance 
        account during any taxable year, such transfers shall be 
        treated as 1 transfer for purposes of this paragraph.'', and
            (B) by inserting ``to an account'' after ``may be 
        transferred'' in paragraph (3).
        (4) The heading for section 420(c)(1)(B) of such Code is 
    amended by inserting ``or life insurance'' after ``health 
    benefits''.
        (5) Paragraph (1) of section 420(e) of such Code is amended--
            (A) by inserting ``and applicable life insurance benefits'' 
        in subparagraph (A) after ``applicable health benefits'', and
            (B) by striking ``health'' in the heading thereof.
        (6) Subparagraph (B) of section 420(e)(1) of such Code is 
    amended--
            (A) in the matter preceding clause (i), by inserting 
        ``(determined separately for applicable health benefits and 
        applicable life insurance benefits)'' after ``shall be reduced 
        by the amount'',
            (B) in clause (i), by inserting ``or applicable life 
        insurance accounts'' after ``health benefit accounts'', and
            (C) in clause (i), by striking ``qualified current retiree 
        health liability'' and inserting ``qualified current retiree 
        liability''.
        (7) The heading for subsection (f) of section 420 of such Code 
    is amended by striking ``health'' each place it occurs.
        (8) Subclause (II) of section 420(f)(2)(B)(ii) of such Code is 
    amended by inserting ``or applicable life insurance account, as the 
    case may be,'' after ``health benefits account''.
        (9) Subclause (III) of section 420(f)(2)(E)(i) of such Code is 
    amended--
            (A) by inserting ``defined benefit'' before ``plan 
        maintained by an employer'', and
            (B) by inserting ``health'' before ``benefit plans 
        maintained by the employer''.
        (10) Paragraphs (4) and (6) of section 420(f) of such Code are 
    each amended by striking ``collectively bargained retiree health 
    liabilities'' each place it occurs and inserting ``collectively 
    bargained retiree liabilities''.
        (11) Subparagraph (A) of section 420(f)(6) of such Code is 
    amended--
            (A) in clauses (i) and (ii), by inserting ``, in the case 
        of a transfer to a health benefits account,'' before ``his 
        covered spouse and dependents'', and
            (B) in clause (ii), by striking ``health plan'' and 
        inserting ``plan''.
        (12) Subparagraph (B) of section 420(f)(6) of such Code is 
    amended--
            (A) in clause (i), by inserting ``, and collectively 
        bargained life insurance benefits,'' after ``collectively 
        bargained health benefits'',
            (B) in clause (ii)--
                (i) by adding at the end the following: ``The preceding 
            sentence shall be applied separately for collectively 
            bargained health benefits and collectively bargained life 
            insurance benefits.'', and
                (ii) by inserting ``, applicable life insurance 
            accounts,'' after ``health benefit accounts'', and
            (C) by striking ``health'' in the heading thereof.
        (13) Subparagraph (E) of section 420(f)(6) of such Code, as 
    redesignated by subsection (b), is amended--
            (A) by striking ``bargained health'' and inserting 
        ``bargained'',
            (B) by inserting ``, or a group-term life insurance plan or 
        arrangement for retired employees,'' after ``dependents'', and
            (C) by striking ``health'' in the heading thereof.
        (14) Section 101(e) of the Employee Retirement Income Security 
    Act of 1974 (29 U.S.C. 1021(e)) is amended--
            (A) in paragraphs (1) and (2), by inserting ``or applicable 
        life insurance account'' after ``health benefits account'' each 
        place it appears, and
            (B) in paragraph (1), by inserting ``or applicable life 
        insurance benefit liabilities'' after ``health benefits 
        liabilities''.
    (f) Technical Correction.--Clause (iii) of section 420(f)(6)(B) of 
the Internal Revenue Code of 1986 is amended by striking ``416(I)(1)'' 
and inserting ``416(i)(1)''.
    (g) Repeal of Deadwood.--
        (1) Subparagraph (A) of section 420(b)(1) of the Internal 
    Revenue Code of 1986 is amended by striking ``in a taxable year 
    beginning after December 31, 1990''.
        (2) Subsection (b) of section 420 of such Code is amended by 
    striking paragraph (4) and by redesignating paragraph (5), as 
    amended by this Act, as paragraph (4).
        (3) Paragraph (2) of section 420(b) of such Code, as amended by 
    this section, is amended--
            (A) by striking subparagraph (B), and
            (B) by striking ``per year.--'' and all that follows 
        through ``No more than'' and inserting ``per year.--No more 
        than''.
        (4) Paragraph (2) of section 420(c) of such Code is amended--
            (A) by striking subparagraph (B),
            (B) by moving subparagraph (A) two ems to the left, and
            (C) by striking ``before transfer.--'' and all that follows 
        through ``The requirements of this paragraph'' and inserting 
        the following: ``before transfer.--The requirements of this 
        paragraph''.
        (5) Paragraph (2) of section 420(d) of such Code is amended by 
    striking ``after December 31, 1990''.
    (h) Effective Date.--
        (1) In general.--The amendments made by this section shall 
    apply to transfers made after the date of the enactment of this 
    Act.
        (2) Conforming amendments relating to pension protection act.--
    The amendments made by subsections (b)(3)(B) and (f) shall take 
    effect as if included in the amendments made by section 841(a) of 
    the Pension Protection Act of 2006.

         Subtitle C--Additional Transfers to Highway Trust Fund

SEC. 40251. ADDITIONAL TRANSFERS TO HIGHWAY TRUST FUND.
    Subsection (f) of section 9503 of the Internal Revenue Code of 
1986, as amended by this Act, is amended by redesignating paragraph (4) 
as paragraph (5) and by inserting after paragraph (3) the following new 
paragraph:
        ``(4) Additional appropriations to trust fund.--Out of money in 
    the Treasury not otherwise appropriated, there is hereby 
    appropriated to--
            ``(A) the Highway Account (as defined in subsection 
        (e)(5)(B)) in the Highway Trust Fund--
                ``(i) for fiscal year 2013, $6,200,000,000, and
                ``(ii) for fiscal year 2014, $10,400,000,000, and
            ``(B) the Mass Transit Account in the Highway Trust Fund, 
        for fiscal year 2014, $2,200,000,000.''.

                   DIVISION E--RESEARCH AND EDUCATION

SEC. 50001. SHORT TITLE.
    This division may be cited as the ``Transportation Research and 
Innovative Technology Act of 2012''.

                            TITLE I--FUNDING

SEC. 51001. AUTHORIZATION OF APPROPRIATIONS.
    (a) In General.--The following amounts are authorized to be 
appropriated out of the Highway Trust Fund (other than the Mass Transit 
Account):
        (1) Highway research and development program.--To carry out 
    sections 503(b), 503(d), and 509 of title 23, United States Code, 
    $115,000,000 for each of fiscal years 2013 and 2014.
        (2) Technology and innovation deployment program.--To carry out 
    section 503(c) of title 23, United States Code, $62,500,000 for 
    each of fiscal years 2013 and 2014.
        (3) Training and education.--To carry out section 504 of title 
    23, United States Code, $24,000,000 for each of fiscal years 2013 
    and 2014.
        (4) Intelligent transportation systems program.--To carry out 
    sections 512 through 518 of title 23, United States Code, 
    $100,000,000 for each of fiscal years 2013 and 2014.
        (5) University transportation centers program.--To carry out 
    section 5505 of title 49, United States Code, $72,500,000 for each 
    of fiscal years 2013 and 2014.
        (6) Bureau of transportation statistics.--To carry out chapter 
    63 of title 49, United States Code, $26,000,000 for each of fiscal 
    years 2013 and 2014.
    (b) Applicability of Title 23, United States Code.--Funds 
authorized to be appropriated by subsection (a) shall--
        (1) be available for obligation in the same manner as if those 
    funds were apportioned under chapter 1 of title 23, United States 
    Code, except that the Federal share of the cost of a project or 
    activity carried out using those funds shall be 80 percent, unless 
    otherwise expressly provided by this Act (including the amendments 
    by this Act) or otherwise determined by the Secretary; and
        (2) remain available until expended and not be transferable.

             TITLE II--RESEARCH, TECHNOLOGY, AND EDUCATION

SEC. 52001. RESEARCH, TECHNOLOGY, AND EDUCATION.
    Section 501 of title 23, United States Code, is amended--
        (1) by redesignating paragraph (2) as paragraph (8);
        (2) by inserting after paragraph (1) the following:
        ``(2) Incident.--The term `incident' means a crash, natural 
    disaster, workzone activity, special event, or other emergency road 
    user occurrence that adversely affects or impedes the normal flow 
    of traffic.
        ``(3) Innovation lifecycle.--The term `innovation lifecycle' 
    means the process of innovating through--
            ``(A) the identification of a need;
            ``(B) the establishment of the scope of research to address 
        that need;
            ``(C) setting an agenda;
            ``(D) carrying out research, development, deployment, and 
        testing of the resulting technology or innovation; and
            ``(E) carrying out an evaluation of the costs and benefits 
        of the resulting technology or innovation.
        ``(4) Intelligent transportation infrastructure.--The term 
    `intelligent transportation infrastructure' means fully integrated 
    public sector intelligent transportation system components, as 
    defined by the Secretary.
        ``(5) Intelligent transportation system.--The terms 
    `intelligent transportation system' and `ITS' mean electronics, 
    photonics, communications, or information processing used singly or 
    in combination to improve the efficiency or safety of a surface 
    transportation system.
        ``(6) National architecture.--For purposes of this chapter, the 
    term `national architecture' means the common framework for 
    interoperability that defines--
            ``(A) the functions associated with intelligent 
        transportation system user services;
            ``(B) the physical entities or subsystems within which the 
        functions reside;
            ``(C) the data interfaces and information flows between 
        physical subsystems; and
            ``(D) the communications requirements associated with the 
        information flows.
        ``(7) Project.--The term `project' means an undertaking to 
    research, develop, or operationally test intelligent transportation 
    systems or any other undertaking eligible for assistance under this 
    chapter.''; and
        (3) by inserting after paragraph (8) (as so redesignated) the 
    following:
        ``(9) Standard.--The term `standard' means a document that--
            ``(A) contains technical specifications or other precise 
        criteria for intelligent transportation systems that are to be 
        used consistently as rules, guidelines, or definitions of 
        characteristics so as to ensure that materials, products, 
        processes, and services are fit for the intended purposes of 
        the materials, products, processes, and services; and
            ``(B) may support the national architecture and promote--
                ``(i) the widespread use and adoption of intelligent 
            transportation system technology as a component of the 
            surface transportation systems of the United States; and
                ``(ii) interoperability among intelligent 
            transportation system technologies implemented throughout 
            the States.''.
SEC. 52002. SURFACE TRANSPORTATION RESEARCH, DEVELOPMENT, AND 
TECHNOLOGY.
    (a) Surface Transportation Research, Development, and Technology.--
Section 502 of title 23, United States Code, is amended--
        (1) in the section heading by inserting ``, development, and 
    technology'' after ``surface transportation research'';
        (2) in subsection (a)--
            (A) by redesignating paragraphs (1) through (8) as 
        paragraphs (2) through (9), respectively;
            (B) by inserting before paragraph (2) (as redesignated by 
        subparagraph (A)) the following:
        ``(1) Applicability.--The research, development, and technology 
    provisions of this section shall apply throughout this chapter.'';
            (C) in paragraph (2) (as redesignated by subparagraph 
        (A))--
                (i) by inserting ``within the innovation lifecycle'' 
            after ``activities''; and
                (ii) by inserting ``communications, impact analysis,'' 
            after ``training,'';
            (D) in paragraph (3) (as redesignated by subparagraph 
        (A))--
                (i) in subparagraph (B) by striking ``supports research 
            in which there is a clear public benefit and'' and 
            inserting ``delivers a clear public benefit and occurs 
            where'';
                (ii) in subparagraph (C) by striking ``or'' after the 
            semicolon;
                (iii) by redesignating subparagraph (D) as subparagraph 
            (I); and
                (iv) by inserting after subparagraph (C) the following:
            ``(D) meets and addresses current or emerging needs;
            ``(E) addresses current gaps in research;
            ``(F) presents the best means to align resources with 
        multiyear plans and priorities;
            ``(G) ensures the coordination of highway research and 
        technology transfer activities, including through activities 
        performed by university transportation centers;
            ``(H) educates transportation professionals; or'';
            (E) in paragraph (4) (as redesignated by subparagraph (A)) 
        by striking subparagraphs (B) through (D) and inserting the 
        following:
            ``(B) partner with State highway agencies and other 
        stakeholders as appropriate to facilitate research and 
        technology transfer activities;
            ``(C) communicate the results of ongoing and completed 
        research;
            ``(D) lead efforts to coordinate national emphasis areas of 
        highway research, technology, and innovation deployment;
            ``(E) leverage partnerships with industry, academia, 
        international entities, and State departments of 
        transportation;
            ``(F) lead efforts to reduce unnecessary duplication of 
        effort; and
            ``(G) lead efforts to accelerate innovation delivery.'';
            (F) in paragraph (5)(C) (as redesignated by subparagraph 
        (A)) by striking ``policy and planning'' and inserting ``all 
        highway objectives seeking to improve the performance of the 
        transportation system'';
            (G) in paragraph (6) (as redesignated by subparagraph (A)) 
        in the second sentence, by inserting ``tribal governments,'' 
        after ``local governments,'';
            (H) in paragraph (8) (as redesignated by subparagraph 
        (A))--
                (i) in the first sentence, by striking ``To the 
            maximum'' and inserting the following:
            ``(A) In general.--To the maximum'';
                (ii) in the second sentence, by striking ``Performance 
            measures'' and inserting the following:
            ``(B) Performance measures.--Performance measures'';
                (iii) in the third sentence, by striking ``All 
            evaluations'' and inserting the following:
            ``(D) Availability of evaluations.--All evaluations under 
        this paragraph''; and
                (iv) by inserting after subparagraph (B) the following:
            ``(C) Program plan.--To the maximum extent practicable, 
        each program pursued under this chapter shall be part of a 
        data-driven, outcome-oriented program plan.''; and
            (I) in paragraph (9) (as redesignated by subparagraph (A)), 
        by striking ``surface'';
        (3) in subsection (b)--
            (A) in paragraph (4) by striking ``surface transportation 
        research and technology development strategic plan developed 
        under section 508'' and inserting ``transportation research and 
        development strategic plan of the Secretary developed under 
        section 508'';
            (B) in paragraph (5) by striking ``section'' each place it 
        appears and inserting ``chapter'';
            (C) in paragraph (6) by adding at the end the following:
            ``(C) Transfer of amounts among states or to federal 
        highway administration.--The Secretary may, at the request of a 
        State, transfer amounts apportioned or allocated to that State 
        under this chapter to another State or the Federal Highway 
        Administration to fund research, development, and technology 
        transfer activities of mutual interest on a pooled funds basis.
            ``(D) Transfer of obligation authority.--Obligation 
        authority for amounts transferred under this subsection shall 
        be disbursed in the same manner and for the same amount as 
        provided for the project being transferred.''; and
            (D) by adding at the end the following:
        ``(7) Prize competitions.--
            ``(A) In general.--The Secretary may use up to 1 percent of 
        the funds made available under section 51001 of the 
        Transportation Research and Innovative Technology Act of 2012 
        to carry out a program to competitively award cash prizes to 
        stimulate innovation in basic and applied research and 
        technology development that has the potential for application 
        to the national transportation system.
            ``(B) Topics.--In selecting topics for prize competitions 
        under this paragraph, the Secretary shall--
                ``(i) consult with a wide variety of governmental and 
            nongovernmental representatives; and
                ``(ii) give consideration to prize goals that 
            demonstrate innovative approaches and strategies to improve 
            the safety, efficiency, and sustainability of the national 
            transportation system.
            ``(C) Advertising.--The Secretary shall encourage 
        participation in the prize competitions through advertising 
        efforts.
            ``(D) Requirements and registration.--For each prize 
        competition, the Secretary shall publish a notice on a public 
        website that describes--
                ``(i) the subject of the competition;
                ``(ii) the eligibility rules for participation in the 
            competition;
                ``(iii) the amount of the prize; and
                ``(iv) the basis on which a winner will be selected.
            ``(E) Eligibility.--An individual or entity may not receive 
        a prize under this paragraph unless the individual or entity--
                ``(i) has registered to participate in the competition 
            pursuant to any rules promulgated by the Secretary under 
            this section;
                ``(ii) has complied with all requirements under this 
            paragraph;
                ``(iii)(I) in the case of a private entity, is 
            incorporated in, and maintains a primary place of business 
            in, the United States; or
                ``(II) in the case of an individual, whether 
            participating singly or in a group, is a citizen or 
            permanent resident of the United States;
                ``(iv) is not a Federal entity or Federal employee 
            acting within the scope of his or her employment; and
                ``(v) has not received a grant to perform research on 
            the same issue for which the prize is awarded.
            ``(F) Liability.--
                ``(i) Assumption of risk.--

                    ``(I) In general.--A registered participant shall 
                agree to assume any and all risks and waive claims 
                against the Federal Government and its related 
                entities, except in the case of willful misconduct, for 
                any injury, death, damage, or loss of property, 
                revenue, or profits, whether direct, indirect, or 
                consequential, arising from participation in a 
                competition, whether such injury, death, damage, or 
                loss arises through negligence or otherwise.
                    ``(II) Related entity.--In this subparagraph, the 
                term `related entity' means a contractor, subcontractor 
                (at any tier), supplier, user, customer, cooperating 
                party, grantee, investigator, or detailee.

                ``(ii) Financial responsibility.--A participant shall 
            obtain liability insurance or demonstrate financial 
            responsibility, in amounts determined by the Secretary, for 
            claims by--

                    ``(I) a third party for death, bodily injury, or 
                property damage, or loss resulting from an activity 
                carried out in connection with participation in a 
                competition, with the Federal Government named as an 
                additional insured under the registered participant's 
                insurance policy and registered participants agreeing 
                to indemnify the Federal Government against third party 
                claims for damages arising from or related to 
                competition activities; and
                    ``(II) the Federal Government for damage or loss to 
                Government property resulting from such an activity.

            ``(G) Judges.--
                ``(i) Selection.--Subject to clause (iii), for each 
            prize competition, the Secretary, either directly or 
            through an agreement under subparagraph (H), may appoint 1 
            or more qualified judges to select the winner or winners of 
            the prize competition on the basis of the criteria 
            described in subparagraph (D).
                ``(ii) Selection.--Judges for each competition shall 
            include individuals from outside the Federal Government, 
            including the private sector.
                ``(iii) Limitations.--A judge selected under this 
            subparagraph may not--

                    ``(I) have personal or financial interests in, or 
                be an employee, officer, director, or agent of, any 
                entity that is a registered participant in a prize 
                competition under this paragraph; or
                    ``(II) have a familial or financial relationship 
                with an individual who is a registered participant.

            ``(H) Administering the competition.--The Secretary may 
        enter into an agreement with a private, nonprofit entity to 
        administer the prize competition, subject to the provisions of 
        this paragraph.
            ``(I) Funding.--
                ``(i) In general.--

                    ``(I) Private sector funding.--A cash prize under 
                this paragraph may consist of funds appropriated by the 
                Federal Government and funds provided by the private 
                sector.
                    ``(II) Government funding.--The Secretary may 
                accept funds from other Federal agencies, State and 
                local governments, and metropolitan planning 
                organizations for a cash prize under this paragraph.
                    ``(III) No special consideration.--The Secretary 
                may not give any special consideration to any private 
                sector entity in return for a donation under this 
                subparagraph.

                ``(ii) Availability of funds.--Notwithstanding any 
            other provision of law, amounts appropriated for prize 
            awards under this paragraph--

                    ``(I) shall remain available until expended; and
                    ``(II) may not be transferred, reprogrammed, or 
                expended for other purposes until after the expiration 
                of the 10-year period beginning on the last day of the 
                fiscal year for which the funds were originally 
                appropriated.

                ``(iii) Savings provision.--Nothing in this 
            subparagraph may be construed to permit the obligation or 
            payment of funds in violation of the Anti-Deficiency Act 
            (31 U.S.C. 1341).
                ``(iv) Prize announcement.--A prize may not be 
            announced under this paragraph until all the funds needed 
            to pay out the announced amount of the prize have been 
            appropriated by a governmental source or committed to in 
            writing by a private source.
                ``(v) Prize increases.--The Secretary may increase the 
            amount of a prize after the initial announcement of the 
            prize under this paragraph if--

                    ``(I) notice of the increase is provided in the 
                same manner as the initial notice of the prize; and
                    ``(II) the funds needed to pay out the announced 
                amount of the increase have been appropriated by a 
                governmental source or committed to in writing by a 
                private source.

                ``(vi) Congressional notification.--A prize competition 
            under this paragraph may offer a prize in an amount greater 
            than $1,000,000 only after 30 days have elapsed after 
            written notice has been transmitted to the Committee on 
            Commerce, Science, and Transportation of the Senate and the 
            Committees on Transportation and Infrastructure and 
            Science, Space, and Technology of the House of 
            Representatives.
                ``(vii) Award limit.--A prize competition under this 
            section may not result in the award of more than $25,000 in 
            cash prizes without the approval of the Secretary.
            ``(J) Compliance with existing law.--The Federal Government 
        shall not, by virtue of offering or providing a prize under 
        this paragraph, be responsible for compliance by registered 
        participants in a prize competition with Federal law, including 
        licensing, export control, and non-proliferation laws, and 
        related regulations.
            ``(K) Notice and annual report.--
                ``(i) In general.--Not later than 30 days prior to 
            carrying out an activity under subparagraph (A), the 
            Secretary shall notify the Committees on Transportation and 
            Infrastructure and Science, Space, and Technology of the 
            House of Representatives and the Committees on Environment 
            and Public Works and Commerce, Science, and Transportation 
            of the Senate of the intent to use such authority.
                ``(ii) Reports.--

                    ``(I) In general.--The Secretary shall submit to 
                the committees described in clause (i) on an annual 
                basis a report on the activities carried out under 
                subparagraph (A) in the preceding fiscal year if the 
                Secretary exercised the authority under subparagraph 
                (A) in that fiscal year.
                    ``(II) Information included.--A report under this 
                subparagraph shall include, for each prize competition 
                under subparagraph (A)--

                        ``(aa) a description of the proposed goals of 
                    the prize competition;
                        ``(bb) an analysis of why the use of the 
                    authority under subparagraph (A) was the preferable 
                    method of achieving the goals described in item 
                    (aa) as opposed to other authorities available to 
                    the Secretary, such as contracts, grants, and 
                    cooperative agreements;
                        ``(cc) the total amount of cash prizes awarded 
                    for each prize competition, including a description 
                    of the amount of private funds contributed to the 
                    program, the source of such funds, and the manner 
                    in which the amounts of cash prizes awarded and 
                    claimed were allocated among the accounts of the 
                    Department for recording as obligations and 
                    expenditures;
                        ``(dd) the methods used for the solicitation 
                    and evaluation of submissions under each prize 
                    competition, together with an assessment of the 
                    effectiveness of such methods and lessons learned 
                    for future prize competitions;
                        ``(ee) a description of the resources, 
                    including personnel and funding, used in the 
                    execution of each prize competition together with a 
                    detailed description of the activities for which 
                    such resources were used and an accounting of how 
                    funding for execution was allocated among the 
                    accounts of the agency for recording as obligations 
                    and expenditures; and
                        ``(ff) a description of how each prize 
                    competition advanced the mission of the 
                    Department.'';
        (4) in subsection (c)--
            (A) in paragraph (3)(A)--
                (i) by striking ``subsection'' and inserting 
            ``chapter''; and
                (ii) by striking ``50'' and inserting ``80''; and
            (B) in paragraph (4) by striking ``subsection'' and 
        inserting ``chapter''; and
        (5) by striking subsections (d) through (j).
    (b) Conforming Amendment.--The analysis for chapter 5 of title 23, 
United States Code, is amended by striking the item relating to section 
502 and inserting the following:

``502. Surface transportation research, development, and technology.''
SEC. 52003. RESEARCH AND TECHNOLOGY DEVELOPMENT AND DEPLOYMENT.
    (a) In General.--Section 503 of title 23, United States Code, is 
amended to read as follows:
``Sec. 503. Research and technology development and deployment
    ``(a) In General.--The Secretary shall--
        ``(1) carry out research, development, and deployment 
    activities that encompass the entire innovation lifecycle; and
        ``(2) ensure that all research carried out under this section 
    aligns with the transportation research and development strategic 
    plan of the Secretary under section 508.
    ``(b) Highway Research and Development Program.--
        ``(1) Objectives.--In carrying out the highway research and 
    development program, the Secretary, to address current and emerging 
    highway transportation needs, shall--
            ``(A) identify research topics;
            ``(B) coordinate research and development activities;
            ``(C) carry out research, testing, and evaluation 
        activities; and
            ``(D) provide technology transfer and technical assistance.
        ``(2) Improving highway safety.--
            ``(A) In general.--The Secretary shall carry out research 
        and development activities from an integrated perspective to 
        establish and implement systematic measures to improve highway 
        safety.
            ``(B) Objectives.--In carrying out this paragraph, the 
        Secretary shall carry out research and development activities--
                ``(i) to achieve greater long-term safety gains;
                ``(ii) to reduce the number of fatalities and serious 
            injuries on public roads;
                ``(iii) to fill knowledge gaps that limit the 
            effectiveness of research;
                ``(iv) to support the development and implementation of 
            State strategic highway safety plans;
                ``(v) to advance improvements in, and use of, 
            performance prediction analysis for decisionmaking; and
                ``(vi) to expand technology transfer to partners and 
            stakeholders.
            ``(C) Contents.--Research and technology activities carried 
        out under this paragraph may include--
                ``(i) safety assessments and decisionmaking tools;
                ``(ii) data collection and analysis;
                ``(iii) crash reduction projections;
                ``(iv) low-cost safety countermeasures;
                ``(v) innovative operational improvements and designs 
            of roadway and roadside features;
                ``(vi) evaluation of countermeasure costs and benefits;
                ``(vii) development of tools for projecting impacts of 
            safety countermeasures;
                ``(viii) rural road safety measures;
                ``(ix) safety measures for vulnerable road users, 
            including bicyclists and pedestrians;
                ``(x) safety policy studies;
                ``(xi) human factors studies and measures;
                ``(xii) safety technology deployment;
                ``(xiii) safety workforce professional capacity 
            building initiatives;
                ``(xiv) safety program and process improvements; and
                ``(xv) tools and methods to enhance safety performance, 
            including achievement of statewide safety performance 
            targets.
        ``(3) Improving infrastructure integrity.--
            ``(A) In general.--The Secretary shall carry out and 
        facilitate highway and bridge infrastructure research and 
        development activities--
                ``(i) to maintain infrastructure integrity;
                ``(ii) to meet user needs; and
                ``(iii) to link Federal transportation investments to 
            improvements in system performance.
            ``(B) Objectives.--In carrying out this paragraph, the 
        Secretary shall carry out research and development activities--
                ``(i) to reduce the number of fatalities attributable 
            to infrastructure design characteristics and work zones;
                ``(ii) to improve the safety and security of highway 
            infrastructure;
                ``(iii) to increase the reliability of lifecycle 
            performance predictions used in infrastructure design, 
            construction, and management;
                ``(iv) to improve the ability of transportation 
            agencies to deliver projects that meet expectations for 
            timeliness, quality, and cost;
                ``(v) to reduce user delay attributable to 
            infrastructure system performance, maintenance, 
            rehabilitation, and construction;
                ``(vi) to improve highway condition and performance 
            through increased use of design, materials, construction, 
            and maintenance innovations;
                ``(vii) to reduce the environmental impacts of highway 
            infrastructure through innovations in design, construction, 
            operation, preservation, and maintenance; and
                ``(viii) to study vulnerabilities of the transportation 
            system to seismic activities and extreme events and methods 
            to reduce those vulnerabilities.
            ``(C) Contents.--Research and technology activities carried 
        out under this paragraph may include--
                ``(i) long-term infrastructure performance programs 
            addressing pavements, bridges, tunnels, and other 
            structures;
                ``(ii) short-term and accelerated studies of 
            infrastructure performance;
                ``(iii) research to develop more durable infrastructure 
            materials and systems;
                ``(iv) advanced infrastructure design methods;
                ``(v) accelerated highway and bridge construction;
                ``(vi) performance-based specifications;
                ``(vii) construction and materials quality assurance;
                ``(viii) comprehensive and integrated infrastructure 
            asset management;
                ``(ix) infrastructure safety assurance;
                ``(x) sustainable infrastructure design and 
            construction;
                ``(xi) infrastructure rehabilitation and preservation 
            techniques, including techniques to rehabilitate and 
            preserve historic infrastructure;
                ``(xii) hydraulic, geotechnical, and aerodynamic 
            aspects of infrastructure;
                ``(xiii) improved highway construction technologies and 
            practices;
                ``(xiv) improved tools, technologies, and models for 
            infrastructure management, including assessment and 
            monitoring of infrastructure condition;
                ``(xv) studies to improve flexibility and resiliency of 
            infrastructure systems to withstand climate variability;
                ``(xvi) studies on the effectiveness of fiber-based 
            additives to improve the durability of surface 
            transportation materials in various geographic regions;
                ``(xvii) studies of infrastructure resilience and other 
            adaptation measures;
                ``(xviii) maintenance of seismic research activities, 
            including research carried out in conjunction with other 
            Federal agencies to study the vulnerability of the 
            transportation system to seismic activity and methods to 
            reduce that vulnerability; and
                ``(xix) technology transfer and adoption of permeable, 
            pervious, or porous paving materials, practices, and 
            systems that are designed to minimize environmental 
            impacts, stormwater runoff, and flooding and to treat or 
            remove pollutants by allowing stormwater to infiltrate 
            through the pavement in a manner similar to predevelopment 
            hydrologic conditions.
            ``(D) Lifecycle costs analysis study.--
                ``(i) In general.--In this subparagraph, the term 
            `lifecycle costs analysis' means a process for evaluating 
            the total economic worth of a usable project segment by 
            analyzing initial costs and discounted future costs, such 
            as maintenance, user, reconstruction, rehabilitation, 
            restoring, and resurfacing costs, over the life of the 
            project segment.
                ``(ii) Study.--The Comptroller General shall conduct a 
            study of the best practices for calculating lifecycle costs 
            and benefits for federally funded highway projects, which 
            shall include, at a minimum, a thorough literature review 
            and a survey of current lifecycle cost practices of State 
            departments of transportation.
                ``(iii) Consultation.--In carrying out the study, the 
            Comptroller shall consult with, at a minimum--

                    ``(I) the American Association of State Highway and 
                Transportation Officials;
                    ``(II) appropriate experts in the field of 
                lifecycle cost analysis; and
                    ``(III) appropriate industry experts and research 
                centers.

            ``(E) Report.--Not later than 1 year after the date of 
        enactment of the Transportation Research and Innovative 
        Technology Act of 2012, the Comptroller General shall submit to 
        the Committee on Environment and Public Works of the Senate and 
        the Committees on Transportation and Infrastructure and 
        Science, Space, and Technology of the House of Representatives 
        a report on the results of the study which shall include--
                ``(i) a summary of the latest research on lifecycle 
            cost analysis; and
                ``(ii) recommendations on the appropriate--

                    ``(I) period of analysis;
                    ``(II) design period;
                    ``(III) discount rates; and
                    ``(IV) use of actual material life and maintenance 
                cost data.

        ``(4) Strengthening transportation planning and environmental 
    decisionmaking.--
            ``(A) In general.--The Secretary may carry out research--
                ``(i) to minimize the cost of transportation planning 
            and environmental decisionmaking processes;
                ``(ii) to improve transportation planning and 
            environmental decisionmaking processes; and
                ``(iii) to minimize the potential impact of surface 
            transportation on the environment.
            ``(B) Objectives.--In carrying out this paragraph the 
        Secretary may carry out research and development activities--
                ``(i) to minimize the cost of highway infrastructure 
            and operations;
                ``(ii) to reduce the potential impact of highway 
            infrastructure and operations on the environment;
                ``(iii) to advance improvements in environmental 
            analyses and processes and context sensitive solutions for 
            transportation decisionmaking;
                ``(iv) to improve construction techniques;
                ``(v) to accelerate construction to reduce congestion 
            and related emissions;
                ``(vi) to reduce the impact of highway runoff on the 
            environment;
                ``(vii) to improve understanding and modeling of the 
            factors that contribute to the demand for transportation; 
            and
                ``(viii) to improve transportation planning 
            decisionmaking and coordination.
            ``(C) Contents.--Research and technology activities carried 
        out under this paragraph may include--
                ``(i) creation of models and tools for evaluating 
            transportation measures and transportation system designs, 
            including the costs and benefits;
                ``(ii) congestion reduction efforts;
                ``(iii) transportation and economic development 
            planning in rural areas and small communities;
                ``(iv) improvement of State, local, and tribal 
            government capabilities relating to surface transportation 
            planning and the environment; and
                ``(v) streamlining of project delivery processes.
        ``(5) Reducing congestion, improving highway operations, and 
    enhancing freight productivity.--
            ``(A) In general.--The Secretary shall carry out research 
        under this paragraph with the goals of--
                ``(i) addressing congestion problems;
                ``(ii) reducing the costs of congestion;
                ``(iii) improving freight movement;
                ``(iv) increasing productivity; and
                ``(v) improving the economic competitiveness of the 
            United States.
            ``(B) Objectives.--In carrying out this paragraph, the 
        Secretary shall carry out research and development activities 
        to identify, develop, and assess innovations that have the 
        potential--
                ``(i) to reduce traffic congestion;
                ``(ii) to improve freight movement; and
                ``(iii) to reduce freight-related congestion throughout 
            the transportation network.
            ``(C) Contents.--Research and technology activities carried 
        out under this paragraph may include--
                ``(i) active traffic and demand management;
                ``(ii) acceleration of the implementation of 
            Intelligent Transportation Systems technology;
                ``(iii) advanced transportation concepts and analysis;
                ``(iv) arterial management and traffic signal 
            operation;
                ``(v) congestion pricing;
                ``(vi) corridor management;
                ``(vii) emergency operations;
                ``(viii) research relating to enabling technologies and 
            applications;
                ``(ix) freeway management;
                ``(x) evaluation of enabling technologies;
                ``(xi) impacts of vehicle size and weight on 
            congestion;
                ``(xii) freight operations and technology;
                ``(xiii) operations and freight performance measurement 
            and management;
                ``(xiv) organization and planning for operations;
                ``(xv) planned special events management;
                ``(xvi) real-time transportation information;
                ``(xvii) road weather management;
                ``(xviii) traffic and freight data and analysis tools;
                ``(xix) traffic control devices;
                ``(xx) traffic incident management;
                ``(xxi) work zone management;
                ``(xxii) communication of travel, roadway, and 
            emergency information to persons with disabilities;
                ``(xxiii) research on enhanced mode choice and 
            intermodal connectivity;
                ``(xxiv) techniques for estimating and quantifying 
            public benefits derived from freight transportation 
            projects; and
                ``(xxv) other research areas to identify and address 
            emerging needs related to freight transportation by all 
            modes.
        ``(6) Exploratory advanced research.--The Secretary shall carry 
    out research and development activities relating to exploratory 
    advanced research--
            ``(A) to leverage the targeted capabilities of the Turner-
        Fairbank Highway Research Center to develop technologies and 
        innovations of national importance; and
            ``(B) to develop potentially transformational solutions to 
        improve the durability, efficiency, environmental impact, 
        productivity, and safety aspects of highway and intermodal 
        transportation systems.
        ``(7) Turner-fairbank highway research center.--
            ``(A) In general.--The Secretary shall continue to operate 
        in the Federal Highway Administration a Turner-Fairbank Highway 
        Research Center.
            ``(B) Uses of the center.--The Turner-Fairbank Highway 
        Research Center shall support--
                ``(i) the conduct of highway research and development 
            relating to emerging highway technology;
                ``(ii) the development of understandings, tools, and 
            techniques that provide solutions to complex technical 
            problems through the development of economical and 
            environmentally sensitive designs, efficient and quality-
            controlled construction practices, and durable materials;
                ``(iii) the development of innovative highway products 
            and practices; and
                ``(iv) the conduct of long-term, high-risk research to 
            improve the materials used in highway infrastructure.
        ``(8) Infrastructure investment needs report.--
            ``(A) In general.--Not later than July 31, 2013, and July 
        31 of every second year thereafter, the Secretary shall submit 
        to the Committee on Transportation and Infrastructure of the 
        House of Representatives and the Committee on Environment and 
        Public Works of the Senate a report that describes estimates of 
        the future highway and bridge needs of the United States and 
        the backlog of current highway and bridge needs.
            ``(B) Comparisons.--Each report under subparagraph (A) 
        shall include all information necessary to relate and compare 
        the conditions and service measures used in the previous 
        biennial reports to conditions and service measures used in the 
        current report.
            ``(C) Inclusions.--Each report under subparagraph (A) shall 
        provide recommendations to Congress on changes to the highway 
        performance monitoring system that address--
                ``(i) improvements to the quality and standardization 
            of data collection on all functional classifications of 
            Federal-aid highways for accurate system length, lane 
            length, and vehicle-mile of travel; and
                ``(ii) changes to the reporting requirements authorized 
            under section 315, to reflect recommendations under this 
            paragraph for collection, storage, analysis, reporting, and 
            display of data for Federal-aid highways and, to the 
            maximum extent practical, all public roads.
    ``(c) Technology and Innovation Deployment Program.--
        ``(1) In general.--The Secretary shall carry out a technology 
    and innovation deployment program relating to all aspects of 
    highway transportation, including planning, financing, operation, 
    structures, materials, pavements, environment, construction, and 
    the duration of time between project planning and project delivery, 
    with the goals of--
            ``(A) significantly accelerating the adoption of innovative 
        technologies by the surface transportation community;
            ``(B) providing leadership and incentives to demonstrate 
        and promote state-of-the-art technologies, elevated performance 
        standards, and new business practices in highway construction 
        processes that result in improved safety, faster construction, 
        reduced congestion from construction, and improved quality and 
        user satisfaction;
            ``(C) constructing longer-lasting highways through the use 
        of innovative technologies and practices that lead to faster 
        construction of efficient and safe highways and bridges;
            ``(D) improving highway efficiency, safety, mobility, 
        reliability, service life, environmental protection, and 
        sustainability; and
            ``(E) developing and deploying new tools, techniques, and 
        practices to accelerate the adoption of innovation in all 
        aspects of highway transportation.
        ``(2) Implementation.--
            ``(A) In general.--The Secretary shall promote, facilitate, 
        and carry out the program established under paragraph (1) to 
        distribute the products, technologies, tools, methods, or other 
        findings that result from highway research and development 
        activities, including research and development activities 
        carried out under this chapter.
            ``(B) Accelerated innovation deployment.--In carrying out 
        the program established under paragraph (1), the Secretary 
        shall--
                ``(i) establish and carry out demonstration programs;
                ``(ii) provide technical assistance, and training to 
            researchers and developers; and
                ``(iii) develop improved tools and methods to 
            accelerate the adoption of proven innovative practices and 
            technologies as standard practices.
            ``(C) Implementation of future strategic highway research 
        program findings and results.--
                ``(i) In general.--The Secretary, in consultation with 
            the American Association of State Highway and 
            Transportation Officials and the Transportation Research 
            Board of the National Academy of Sciences, shall promote 
            research results and products developed under the future 
            strategic highway research program administered by the 
            Transportation Research Board of the National Academy of 
            Sciences.
                ``(ii) Basis for findings.--The activities carried out 
            under this subparagraph shall be based on the report 
            submitted to Congress by the Transportation Research Board 
            of the National Academy of Sciences under section 510(e).
                ``(iii) Personnel.--The Secretary may use funds made 
            available to carry out this subsection for administrative 
            costs under this subparagraph.
        ``(3) Accelerated implementation and deployment of pavement 
    technologies.--
            ``(A) In general.--The Secretary shall establish and 
        implement a program under the technology and innovation 
        deployment program to promote, implement, deploy, demonstrate, 
        showcase, support, and document the application of innovative 
        pavement technologies, practices, performance, and benefits.
            ``(B) Goals.--The goals of the accelerated implementation 
        and deployment of pavement technologies program shall include--
                ``(i) the deployment of new, cost-effective designs, 
            materials, recycled materials, and practices to extend the 
            pavement life and performance and to improve user 
            satisfaction;
                ``(ii) the reduction of initial costs and lifecycle 
            costs of pavements, including the costs of new 
            construction, replacement, maintenance, and rehabilitation;
                ``(iii) the deployment of accelerated construction 
            techniques to increase safety and reduce construction time 
            and traffic disruption and congestion;
                ``(iv) the deployment of engineering design criteria 
            and specifications for new and efficient practices, 
            products, and materials for use in highway pavements;
                ``(v) the deployment of new nondestructive and real-
            time pavement evaluation technologies and construction 
            techniques; and
                ``(vi) effective technology transfer and information 
            dissemination to accelerate implementation of new 
            technologies and to improve life, performance, cost 
            effectiveness, safety, and user satisfaction.
            ``(C) Funding.--The Secretary shall obligate for each of 
        fiscal years 2013 through 2014 from funds made available to 
        carry out this subsection $12,000,000 to accelerate the 
        deployment and implementation of pavement technology.''.
    (b) Conforming Amendment.--The analysis for chapter 5 of title 23, 
United States Code, is amended by striking the item relating to section 
503 and inserting the following:

``503. Research and technology development and deployment.''.
SEC. 52004. TRAINING AND EDUCATION.
    Section 504 of title 23, United States Code, is amended--
        (1) in subsection (a)--
            (A) in paragraph (2)(A) by inserting ``and the employees of 
        any other applicable Federal agency'' before the semicolon at 
        the end; and
            (B) in paragraph (3)(A)(ii)(V) by striking ``expediting'' 
        and inserting ``reducing the amount of time required for'';
        (2) in subsection (b) by striking paragraph (3) and inserting 
    the following:
        ``(3) Federal share.--
            ``(A) Local technical assistance centers.--
                ``(i) In general.--Subject to subparagraph (B), the 
            Federal share of the cost of an activity carried out by a 
            local technical assistance center under paragraphs (1) and 
            (2) shall be 50 percent.
                ``(ii) Non-federal share.--The non-Federal share of the 
            cost of an activity described in clause (i) may consist of 
            amounts provided to a recipient under subsection (e) or 
            section 505, up to 100 percent of the non-Federal share.
            ``(B) Tribal technical assistance centers.--The Federal 
        share of the cost of an activity carried out by a tribal 
        technical assistance center under paragraph (2)(D)(ii) shall be 
        100 percent.'';
        (3) in subsection (c)(2)--
            (A) by striking ``The Secretary'' and inserting the 
        following:
            ``(A) In general.--The Secretary'';
            (B) in subparagraph (A) (as designated by subparagraph (A)) 
        by striking ``. The program'' and inserting ``, which 
        program''; and
            (C) by adding at the end the following:
            ``(B) Use of amounts.--Amounts provided to institutions of 
        higher education to carry out this paragraph shall be used to 
        provide direct support of student expenses.'';
        (4) in subsection (e)--
            (A) in paragraph (1)--
                (i) in the matter preceding subparagraph (A) by 
            striking ``sections 104(b)(1), 104(b)(2), 104(b)(3), 
            104(b)(4), and 144(e)'' and inserting ``paragraphs (1) 
            through (4) of section 104(b)'';
                (ii) in subparagraph (D) by striking ``and'' at the 
            end;
                (iii) in subparagraph (E) by striking the period and 
            inserting a semicolon; and
                (iv) by adding at the end the following:
            ``(F) activities carried out by the National Highway 
        Institute under subsection (a); and
            ``(G) local technical assistance programs under subsection 
        (b).''; and
            (B) in paragraph (2) by inserting ``, except for activities 
        carried out under paragraph (1)(G), for which the Federal share 
        shall be 50 percent'' before the period at the end;
        (5) in subsection (f) in the heading, by striking ``Pilot'';
        (6) in subsection (g)(4)(F) by striking ``excellence'' and 
    inserting ``stewardship''; and
        (7) by adding at the end the following:
    ``(h) Centers for Surface Transportation Excellence.--
        ``(1) In general.--The Secretary shall make grants under this 
    section to establish and maintain centers for surface 
    transportation excellence.
        ``(2) Goals.--The goals of a center referred to in paragraph 
    (1) shall be to promote and support strategic national surface 
    transportation programs and activities relating to the work of 
    State departments of transportation in the areas of environment, 
    surface transportation safety, rural safety, and project finance.
        ``(3) Role of the centers.--To achieve the goals set forth in 
    paragraph (2), any centers established under paragraph (1) shall 
    provide technical assistance, information sharing of best 
    practices, and training in the use of tools and decisionmaking 
    processes that can assist States in effectively implementing 
    surface transportation programs, projects, and policies.
        ``(4) Program administration.--
            ``(A) Competition.--A party entering into a contract, 
        cooperative agreement, or other transaction with the Secretary 
        under this subsection, or receiving a grant to perform research 
        or provide technical assistance under this subsection, shall be 
        selected on a competitive basis.
            ``(B) Strategic plan.--The Secretary shall require each 
        center to develop a multiyear strategic plan, that--
                ``(i) is submitted to the Secretary at such time as the 
            Secretary requires; and
                ``(ii) describes--

                    ``(I) the activities to be undertaken by the 
                center; and
                    ``(II) how the work of the center will be 
                coordinated with the activities of the Federal Highway 
                Administration and the various other research, 
                development, and technology transfer activities 
                authorized under this chapter.''.

SEC. 52005. STATE PLANNING AND RESEARCH.
    Section 505 of title 23, United States Code, is amended--
        (1) in subsection (a)--
            (A) in the matter preceding paragraph (1) by striking 
        ``section 104 (other than sections 104(f) and 104(h)) and under 
        section 144'' and inserting ``paragraphs (1) through (4) of 
        section 104(b)''; and
            (B) in paragraph (3) by striking ``under section 303'' and 
        inserting ``, plans, and processes under sections 119, 148, 
        149, and 167'';
        (2) by redesignating subsections (c) and (d) as subsections (d) 
    and (e), respectively;
        (3) by inserting after subsection (b) the following:
    ``(c) Implementation of Future Strategic Highway Research Program 
Findings and Results.--
        ``(1) Funds.--A State shall make available to the Secretary to 
    carry out section 503(c)(2)(C) a percentage of funds subject to 
    subsection (a) that are apportioned to that State, that is agreed 
    to by \3/4\ of States for each of fiscal years 2013 and 2014.
        ``(2) Treatment of funds.--Funds expended under paragraph (1) 
    shall not be considered to be part of the extramural budget of the 
    agency for the purpose of section 9 of the Small Business Act (15 
    U.S.C. 638).''; and
        (4) in subsection (e) (as so redesignated) by striking 
    ``section 118(b)(2)'' and inserting ``section 118(b)''.
SEC. 52006. INTERNATIONAL HIGHWAY TRANSPORTATION PROGRAM.
    (a) In General.--Section 506 of title 23, United States Code, is 
repealed.
    (b) Conforming Amendment.--The analysis for chapter 5 of title 23, 
United States Code, is amended by striking the item relating to section 
506.
SEC. 52007. SURFACE TRANSPORTATION ENVIRONMENTAL COOPERATIVE RESEARCH 
PROGRAM.
    (a) In General.--Section 507 of title 23, United States Code, is 
repealed.
    (b) Conforming Amendment.--The analysis for chapter 5 of title 23, 
United States Code, is amended by striking the item relating to section 
507.
SEC. 52008. NATIONAL COOPERATIVE FREIGHT RESEARCH.
    (a) In General.--Section 509 of title 23, United States Code, is 
repealed.
    (b) Conforming Amendment.--The analysis for chapter 5 of title 23, 
United States Code, is amended by striking the item relating to section 
509.
SEC. 52009. UNIVERSITY TRANSPORTATION CENTERS PROGRAM.
    (a) In General.--Section 5505 of title 49, United States Code, is 
amended to read as follows:
``Sec. 5505. University transportation centers program
    ``(a) University Transportation Centers Program.--
        ``(1) Establishment and operation.--The Secretary shall make 
    grants under this section to eligible nonprofit institutions of 
    higher education to establish and operate university transportation 
    centers.
        ``(2) Role of centers.--The role of each university 
    transportation center referred to in paragraph (1) shall be--
            ``(A) to advance transportation expertise and technology in 
        the varied disciplines that comprise the field of 
        transportation through education, research, and technology 
        transfer activities;
            ``(B) to provide for a critical transportation knowledge 
        base outside of the Department of Transportation; and
            ``(C) to address critical workforce needs and educate the 
        next generation of transportation leaders.
    ``(b) Competitive Selection Process.--
        ``(1) Applications.--To receive a grant under this section, a 
    nonprofit institution of higher education shall submit to the 
    Secretary an application that is in such form and contains such 
    information as the Secretary may require.
        ``(2) Restriction.--A nonprofit institution of higher education 
    or the lead institution of a consortium of nonprofit institutions 
    of higher education, as applicable, that receives a grant for a 
    national transportation center or a regional transportation center 
    in a fiscal year shall not be eligible to receive as a lead 
    institution or member of a consortium an additional grant in that 
    fiscal year for a national transportation center or a regional 
    transportation center.
        ``(3) Coordination.--The Secretary shall solicit grant 
    applications for national transportation centers, regional 
    transportation centers, and Tier 1 university transportation 
    centers with identical advertisement schedules and deadlines.
        ``(4) General selection criteria.--
            ``(A) In general.--Except as otherwise provided by this 
        section, the Secretary shall award grants under this section in 
        nonexclusive candidate topic areas established by the Secretary 
        that address the research priorities identified in section 503 
        of title 23.
            ``(B) Criteria.--The Secretary, in consultation as 
        appropriate with the Administrators of the Federal Highway 
        Administration and the Federal Transit Administration, shall 
        select each recipient of a grant under this section through a 
        competitive process based on the assessment of the Secretary 
        relating to--
                ``(i) the demonstrated ability of the recipient to 
            address each specific topic area described in the research 
            and strategic plans of the recipient;
                ``(ii) the demonstrated research, technology transfer, 
            and education resources available to the recipient to carry 
            out this section;
                ``(iii) the ability of the recipient to provide 
            leadership in solving immediate and long-range national and 
            regional transportation problems;
                ``(iv) the ability of the recipient to carry out 
            research, education, and technology transfer activities 
            that are multimodal and multidisciplinary in scope;
                ``(v) the demonstrated commitment of the recipient to 
            carry out transportation workforce development programs 
            through--

                    ``(I) degree-granting programs; and
                    ``(II) outreach activities to attract new entrants 
                into the transportation field;

                ``(vi) the demonstrated ability of the recipient to 
            disseminate results and spur the implementation of 
            transportation research and education programs through 
            national or statewide continuing education programs;
                ``(vii) the demonstrated commitment of the recipient to 
            the use of peer review principles and other research best 
            practices in the selection, management, and dissemination 
            of research projects;
                ``(viii) the strategic plan submitted by the recipient 
            describing the proposed research to be carried out by the 
            recipient and the performance metrics to be used in 
            assessing the performance of the recipient in meeting the 
            stated research, technology transfer, education, and 
            outreach goals; and
                ``(ix) the ability of the recipient to implement the 
            proposed program in a cost-efficient manner, such as 
            through cost sharing and overall reduced overhead, 
            facilities, and administrative costs.
        ``(5) Transparency.--
            ``(A) In general.--The Secretary shall provide to each 
        applicant, upon request, any materials, including copies of 
        reviews (with any information that would identify a reviewer 
        redacted), used in the evaluation process of the proposal of 
        the applicant.
            ``(B) Reports.--The Secretary shall submit to the 
        Committees on Transportation and Infrastructure and Science, 
        Space, and Technology of the House of Representatives and the 
        Committee on Environment and Public Works of the Senate a 
        report describing the overall review process under paragraph 
        (3) that includes--
                ``(i) specific criteria of evaluation used in the 
            review;
                ``(ii) descriptions of the review process; and
                ``(iii) explanations of the selected awards.
        ``(6) Outside stakeholders.--The Secretary shall, to the 
    maximum extent practicable, consult external stakeholders such as 
    the Transportation Research Board of the National Academy of 
    Sciences to evaluate and competitively review all proposals.
    ``(c) Grants.--
        ``(1) In general.--Not later than 1 year after the date of 
    enactment of the Transportation Research and Innovative Technology 
    Act of 2012, the Secretary, in consultation as appropriate with the 
    Administrators of the Federal Highway Administration and the 
    Federal Transit Administration, shall select grant recipients under 
    subsection (b) and make grant amounts available to the selected 
    recipients.
        ``(2) National transportation centers.--
            ``(A) In general.--Subject to subparagraph (B), the 
        Secretary shall provide grants to 5 recipients that the 
        Secretary determines best meet the criteria described in 
        subsection (b)(3).
            ``(B) Restrictions.--
                ``(i) In general.--For each fiscal year, a grant made 
            available under this paragraph shall be $3,000,000 per 
            recipient.
                ``(ii) Focused research.--The grant recipients under 
            this paragraph shall focus research on national 
            transportation issues, as determined by the Secretary.
            ``(C) Matching requirement.--
                ``(i) In general.--As a condition of receiving a grant 
            under this paragraph, a grant recipient shall match 100 
            percent of the amounts made available under the grant.
                ``(ii) Sources.--The matching amounts referred to in 
            clause (i) may include amounts made available to the 
            recipient under section 504(b) or 505 of title 23.
        ``(3) Regional university transportation centers.--
            ``(A) Location of regional centers.--One regional 
        university transportation center shall be located in each of 
        the 10 Federal regions that comprise the Standard Federal 
        Regions established by the Office of Management and Budget in 
        the document entitled `Standard Federal Regions' and dated 
        April, 1974 (circular A-105).
            ``(B) Selection criteria.--In conducting a competition 
        under subsection (b), the Secretary shall provide grants to 10 
        recipients on the basis of--
                ``(i) the criteria described in subsection (b)(3);
                ``(ii) the location of the center within the Federal 
            region to be served; and
                ``(iii) whether the institution (or, in the case of 
            consortium of institutions, the lead institution) 
            demonstrates that the institution has a well-established, 
            nationally recognized program in transportation research 
            and education, as evidenced by--

                    ``(I) recent expenditures by the institution in 
                highway or public transportation research;
                    ``(II) a historical track record of awarding 
                graduate degrees in professional fields closely related 
                to highways and public transportation; and
                    ``(III) an experienced faculty who specialize in 
                professional fields closely related to highways and 
                public transportation.

            ``(C) Restrictions.--For each fiscal year, a grant made 
        available under this paragraph shall be $2,750,000 for each 
        recipient.
            ``(D) Matching requirements.--
                ``(i) In general.--As a condition of receiving a grant 
            under this paragraph, a grant recipient shall match 100 
            percent of the amounts made available under the grant.
                ``(ii) Sources.--The matching amounts referred to in 
            the clause (i) may include amounts made available to the 
            recipient under section 504(b) or 505 of title 23.
            ``(E) Focused research.--The Secretary shall make a grant 
        to 1 of the 10 regional university transportation centers 
        established under this paragraph for the purpose of furthering 
        the objectives described in subsection (a)(2) in the field of 
        comprehensive transportation safety.
        ``(4) Tier 1 university transportation centers.--
            ``(A) In general.--The Secretary shall provide grants of 
        $1,500,000 each to not more than 20 recipients to carry out 
        this paragraph.
            ``(B) Restriction.--A lead institution of a consortium that 
        receives a grant under paragraph (2) or (3) shall not be 
        eligible to receive a grant under this paragraph.
            ``(C) Matching requirement.--
                ``(i) In general.--Subject to clause (iii), as a 
            condition of receiving a grant under this paragraph, a 
            grant recipient shall match 50 percent of the amounts made 
            available under the grant.
                ``(ii) Sources.--The matching amounts referred to in 
            clause (i) may include amounts made available to the 
            recipient under section 504(b) or 505 of title 23.
                ``(iii) Exemption.--This subparagraph shall not apply 
            on a demonstration of financial hardship by the applicant 
            institution.
            ``(D) Focused research.--In awarding grants under this 
        paragraph, consideration shall be given to minority 
        institutions, as defined by section 365 of the Higher Education 
        Act of 1965 (20 U.S.C. 1067k), or consortia that include such 
        institutions that have demonstrated an ability in 
        transportation-related research.
    ``(d) Program Coordination.--
        ``(1) In general.--The Secretary shall--
            ``(A) coordinate the research, education, and technology 
        transfer activities carried out by grant recipients under this 
        section; and
            ``(B) disseminate the results of that research through the 
        establishment and operation of an information clearinghouse.
        ``(2) Annual review and evaluation.--Not less frequently than 
    annually, and consistent with the plan developed under section 508 
    of title 23, the Secretary shall--
            ``(A) review and evaluate the programs carried out under 
        this section by grant recipients; and
            ``(B) submit to the Committees on Transportation and 
        Infrastructure and Science, Space, and Technology of the House 
        of Representatives and the Committee on Environment and Public 
        Works of the Senate a report describing that review and 
        evaluation.
        ``(3) Program evaluation and oversight.--For each of fiscal 
    years 2013 and 2014, the Secretary shall expend not more than 1\1/
    2\ percent of the amounts made available to the Secretary to carry 
    out this section for any coordination, evaluation, and oversight 
    activities of the Secretary under this section.
    ``(e) Limitation on Availability of Amounts.--Amounts made 
available to the Secretary to carry out this section shall remain 
available for obligation by the Secretary for a period of 3 years after 
the last day of the fiscal year for which the amounts are appropriated.
    ``(f) Information Collection.--Any survey, questionnaire, or 
interview that the Secretary determines to be necessary to carry out 
reporting requirements relating to any program assessment or evaluation 
activity under this section, including customer satisfaction 
assessments, shall not be subject to chapter 35 of title 44.''.
    (b) Conforming Amendment.--The analysis for chapter 55 of title 49, 
United States Code, is amended by striking the item relating to section 
5505 and inserting the following:

``5505. University transportation centers program.''.
SEC. 52010. UNIVERSITY TRANSPORTATION RESEARCH.
    (a) In General.--Section 5506 of title 49, United States Code, is 
repealed.
    (b) Conforming Amendment.--The analysis for chapter 55 of title 49, 
United States Code, is amended by striking the item relating to section 
5506.
SEC. 52011. BUREAU OF TRANSPORTATION STATISTICS.
    (a) In General.--Subtitle III of title 49, United States Code, is 
amended by adding at the end the following:

           ``CHAPTER 63--BUREAU OF TRANSPORTATION STATISTICS

``Sec.
``6301. Definitions.
``6302. Bureau of Transportation Statistics.
``6303. Intermodal transportation database.
``6304. National Transportation Library.
``6305. Advisory council on transportation statistics.
``6306. Transportation statistical collection, analysis, and 
          dissemination.
``6307. Furnishing of information, data, or reports by Federal agencies.
``6308. Proceeds of data product sales.
``6309. National transportation atlas database.
``6310. Limitations on statutory construction.
``6311. Research and development grants.
``6312. Transportation statistics annual report.
``6313. Mandatory response authority for freight data collection.

``Sec. 6301. Definitions
    ``In this chapter, the following definitions apply:
        ``(1) Bureau.--The term `Bureau' means the Bureau of 
    Transportation Statistics established by section 6302(a).
        ``(2) Department.--The term `Department' means the Department 
    of Transportation.
        ``(3) Director.--The term `Director' means the Director of the 
    Bureau.
        ``(4) Library.--The term `Library' means the National 
    Transportation Library established by section 6304(a).
        ``(5) Secretary.--The term `Secretary' means the Secretary of 
    Transportation.
``Sec. 6302. Bureau of Transportation Statistics
    ``(a) Establishment.--There is established in the Research and 
Innovative Technology Administration the Bureau of Transportation 
Statistics.
    ``(b) Director.--
        ``(1) Appointment.--The Bureau shall be headed by a Director, 
    who shall be appointed in the competitive service by the Secretary.
        ``(2) Qualifications.--The Director shall be appointed from 
    among individuals who are qualified to serve as the Director by 
    virtue of their training and experience in the collection, 
    analysis, and use of transportation statistics.
        ``(3) Duties.--
            ``(A) In general.--The Director shall--
                ``(i) serve as the senior advisor to the Secretary on 
            data and statistics; and
                ``(ii) be responsible for carrying out the duties 
            described in subparagraph (B).
            ``(B) Duties.--The Director shall--
                ``(i) ensure that the statistics compiled under clause 
            (vi) are designed to support transportation decisionmaking 
            by--

                    ``(I) the Federal Government;
                    ``(II) State and local governments;
                    ``(III) metropolitan planning organizations;
                    ``(IV) transportation-related associations;
                    ``(V) the private sector, including the freight 
                community; and
                    ``(VI) the public;

                ``(ii) establish on behalf of the Secretary a program--

                    ``(I) to effectively integrate safety data across 
                modes; and
                    ``(II) to address gaps in existing safety data 
                programs of the Department;

                ``(iii) work with the operating administrations of the 
            Department--

                    ``(I) to establish and implement the data programs 
                of the Bureau; and
                    ``(II) to improve the coordination of information 
                collection efforts with other Federal agencies;

                ``(iv) continually improve surveys and data collection 
            methods of the Department to improve the accuracy and 
            utility of transportation statistics;
                ``(v) encourage the standardization of data, data 
            collection methods, and data management and storage 
            technologies for data collected by--

                    ``(I) the Bureau;
                    ``(II) the operating administrations of the 
                Department;
                    ``(III) State and local governments;
                    ``(IV) metropolitan planning organizations; and
                    ``(V) private sector entities;

                ``(vi) collect, compile, analyze, and publish a 
            comprehensive set of transportation statistics on the 
            performance and impacts of the national transportation 
            system, including statistics on--

                    ``(I) transportation safety across all modes and 
                intermodally;
                    ``(II) the state of good repair of United States 
                transportation infrastructure;
                    ``(III) the extent, connectivity, and condition of 
                the transportation system, building on the national 
                transportation atlas database developed under section 
                6310;
                    ``(IV) economic efficiency across the entire 
                transportation sector;
                    ``(V) the effects of the transportation system on 
                global and domestic economic competitiveness;
                    ``(VI) demographic, economic, and other variables 
                influencing travel behavior, including choice of 
                transportation mode and goods movement;
                    ``(VII) transportation-related variables that 
                influence the domestic economy and global 
                competitiveness;
                    ``(VIII) economic costs and impacts for passenger 
                travel and freight movement;
                    ``(IX) intermodal and multimodal passenger 
                movement;
                    ``(X) intermodal and multimodal freight movement; 
                and
                    ``(XI) consequences of transportation for the human 
                and natural environment;

                ``(vii) build and disseminate the transportation layer 
            of the National Spatial Data Infrastructure developed under 
            Executive Order No. 12906 (59 Fed. Reg. 17671) (or a 
            successor Executive order), including by coordinating the 
            development of transportation geospatial data standards, 
            compiling intermodal geospatial data, and collecting 
            geospatial data that is not being collected by other 
            entities;
                ``(viii) issue guidelines for the collection of 
            information by the Department that the Director determines 
            necessary to develop transportation statistics and carry 
            out modeling, economic assessment, and program assessment 
            activities to ensure that such information is accurate, 
            reliable, relevant, uniform, and in a form that permits 
            systematic analysis by the Department;
                ``(ix) review and report to the Secretary on the 
            sources and reliability of--

                    ``(I) the statistics proposed by the heads of the 
                operating administrations of the Department to measure 
                outputs and outcomes as required by the Government 
                Performance and Results Act of 1993 (Public Law 103-62; 
                107 Stat. 285); and
                    ``(II) at the request of the Secretary, any other 
                data collected or statistical information published by 
                the heads of the operating administrations of the 
                Department; and

                ``(x) ensure that the statistics published under this 
            section are readily accessible to the public, consistent 
            with applicable security constraints and confidentiality 
            interests.
    ``(c) Access to Federal Data.--In carrying out subsection 
(b)(3)(B)(ii), the Director shall be given access to all safety data 
that the Director determines necessary to carry out that subsection 
that is held by the Department or any other Federal agency upon written 
request and subject to any statutory or regulatory restrictions.
``Sec. 6303. Intermodal transportation database
    ``(a) In General.--In consultation with the Under Secretary 
Transportation for Policy, the Assistant Secretaries of the Department, 
and the heads of the operating administrations of the Department, the 
Director shall establish and maintain a transportation database for all 
modes of transportation.
    ``(b) Use.--The database established under this section shall be 
suitable for analyses carried out by the Federal Government, the 
States, and metropolitan planning organizations.
    ``(c) Contents.--The database established under this section shall 
include--
        ``(1) information on the volumes and patterns of movement of 
    goods, including local, interregional, and international movement, 
    by all modes of transportation, intermodal combinations, and 
    relevant classification;
        ``(2) information on the volumes and patterns of movement of 
    people, including local, interregional, and international 
    movements, by all modes of transportation (including bicycle and 
    pedestrian modes), intermodal combinations, and relevant 
    classification;
        ``(3) information on the location and connectivity of 
    transportation facilities and services; and
        ``(4) a national accounting of expenditures and capital stocks 
    on each mode of transportation and intermodal combination.
``Sec. 6304. National Transportation Library
    ``(a) Purpose and Establishment.--To support the information 
management and decisionmaking needs of transportation officials at the 
Federal, State, and local levels, there is established in the Bureau a 
National Transportation Library which shall--
        ``(1) be headed by an individual who is highly qualified in 
    library and information science;
        ``(2) acquire, preserve, and manage transportation information 
    and information products and services for use by the Department, 
    other Federal agencies, and the general public;
        ``(3) provide reference and research assistance;
        ``(4) serve as a central depository for research results and 
    technical publications of the Department;
        ``(5) provide a central clearinghouse for transportation data 
    and information of the Federal Government;
        ``(6) serve as coordinator and policy lead for transportation 
    information access;
        ``(7) provide transportation information and information 
    products and services to--
            ``(A) the Department;
            ``(B) other Federal agencies;
            ``(C) public and private organizations; and
            ``(D) individuals, within the United States and 
        internationally;
        ``(8) coordinate efforts among, and cooperate with, 
    transportation libraries, information providers, and technical 
    assistance centers, in conjunction with private industry and other 
    transportation library and information centers, with the goal of 
    developing a comprehensive transportation information and knowledge 
    network that supports the activities described in section 
    6302(b)(3)(B)(vi); and
        ``(9) engage in such other activities as the Director 
    determines to be necessary and as the resources of the Library 
    permit.
    ``(b) Access.--The Director shall publicize, facilitate, and 
promote access to the information products and services described in 
subsection (a), to improve the ability of the transportation community 
to share information and the ability of the Director to make statistics 
and other information readily accessible as required under section 
6302(b)(3)(B)(x).
    ``(c) Agreements.--
        ``(1) In general.--To carry out this section, the Director may 
    enter into agreements with, award grants to, and receive amounts 
    from, any--
            ``(A) State or local government;
            ``(B) organization;
            ``(C) business; or
            ``(D) individual.
        ``(2) Contracts, grants, and agreements.--The Library may 
    initiate and support specific information and data management, 
    access, and exchange activities in connection with matters relating 
    to the Department's strategic goals, knowledge networking, and 
    national and international cooperation, by entering into contracts 
    or other agreements or awarding grants for the conduct of such 
    activities.
        ``(3) Amounts.--Any amounts received by the Library as payment 
    for library products and services or other activities shall be made 
    available to the Director to carry out this section, deposited in 
    the Research and Innovative Technology Administration's general 
    fund account, and remain available until expended.
``Sec. 6305. Advisory council on transportation statistics
    ``(a) In General.--The Director shall establish and consult with an 
advisory council on transportation statistics.
    ``(b) Function.--The advisory council established under this 
section shall advise the Director on--
        ``(1) the quality, reliability, consistency, objectivity, and 
    relevance of transportation statistics and analyses collected, 
    supported, or disseminated by the Bureau and the Department; and
        ``(2) methods to encourage cooperation and interoperability of 
    transportation data collected by the Bureau, the operating 
    administrations of the Department, States, local governments, 
    metropolitan planning organizations, and private sector entities.
    ``(c) Membership.--
        ``(1) In general.--The advisory council shall be composed of 
    not fewer than 9 and not more than 11 members appointed by the 
    Director.
        ``(2) Selection.--In selecting members for the advisory 
    council, the Director shall appoint individuals who--
            ``(A) are not officers or employees of the United States;
            ``(B) possess expertise in--
                ``(i) transportation data collection, analysis, or 
            application;
                ``(ii) economics; or
                ``(iii) transportation safety; and
            ``(C) represent a cross section of transportation 
        stakeholders, to the greatest extent possible.
    ``(d) Terms of Appointment.--
        ``(1) In general.--Except as provided in paragraph (2), members 
    of the advisory council shall be appointed to staggered terms not 
    to exceed 3 years.
        ``(2) Additional terms.--A member may be renominated for 1 
    additional 3-year term.
        ``(3) Current members.--A member serving on an advisory council 
    on transportation statistics on the day before the date of 
    enactment of the Transportation Research and Innovative Technology 
    Act of 2012 shall serve until the end of the appointed term of the 
    member.
    ``(e) Applicability of Federal Advisory Committee Act.--The Federal 
Advisory Committee Act (5 U.S.C. App.) shall apply to the advisory 
council established under this section, except that section 14 of that 
Act shall not apply.
``Sec. 6306. Transportation statistical collection, analysis, and 
    dissemination
    ``To ensure that all transportation statistical collection, 
analysis, and dissemination is carried out in a coordinated manner, the 
Director may--
        ``(1) use the services, equipment, records, personnel, 
    information, and facilities of other Federal agencies, or State, 
    local, and private agencies and instrumentalities, subject to the 
    conditions that the applicable agency or instrumentality consents 
    to that use and with or without reimbursement for such use;
        ``(2) enter into agreements with the agencies and 
    instrumentalities described in paragraph (1) for purposes of data 
    collection and analysis;
        ``(3) confer and cooperate with foreign governments, 
    international organizations, and State, municipal, and other local 
    agencies;
        ``(4) request such information, data, and reports from any 
    Federal agency as the Director determines necessary to carry out 
    this chapter;
        ``(5) encourage replication, coordination, and sharing of 
    information among transportation agencies regarding information 
    systems, information policy, and data; and
        ``(6) confer and cooperate with Federal statistical agencies as 
    the Director determines necessary to carry out this chapter, 
    including by entering into cooperative data sharing agreements in 
    conformity with all laws and regulations applicable to the 
    disclosure and use of data.
``Sec. 6307. Furnishing of information, data, or reports by Federal 
    agencies
    ``(a) In General.--Except as provided in subsection (b), a Federal 
agency requested to furnish information, data, or reports by the 
Director under section 6302(b)(3)(B) shall provide the information to 
the Director.
    ``(b) Prohibition on Certain Disclosures.--
        ``(1) In general.--An officer, employee, or contractor of the 
    Bureau may not--
            ``(A) make any disclosure in which the data provided by an 
        individual or organization under section 6302(b)(3)(B) can be 
        identified;
            ``(B) use the information provided under section 
        6302(b)(3)(B) for a nonstatistical purpose; or
            ``(C) permit anyone other than an individual authorized by 
        the Director to examine any individual report provided under 
        section 6302(b)(3)(B).
        ``(2) Copies of reports.--
            ``(A) In general.--No department, bureau, agency, officer, 
        or employee of the United States (except the Director in 
        carrying out this chapter) may require, for any reason, a copy 
        of any report that has been filed under section 6302(b)(3)(B) 
        with the Bureau or retained by an individual respondent.
            ``(B) Limitation on judicial proceedings.--A copy of a 
        report described in subparagraph (A) that has been retained by 
        an individual respondent or filed with the Bureau or any of the 
        employees, contractors, or agents of the Bureau--
                ``(i) shall be immune from legal process; and
                ``(ii) shall not, without the consent of the individual 
            concerned, be admitted as evidence or used for any purpose 
            in any action, suit, or other judicial or administrative 
            proceedings.
            ``(C) Applicability.--This paragraph shall apply only to 
        reports that permit information concerning an individual or 
        organization to be reasonably determined by direct or indirect 
        means.
        ``(3) Informing respondent of use of data.--If the Bureau is 
    authorized by statute to collect data or information for a 
    nonstatistical purpose, the Director shall clearly distinguish the 
    collection of the data or information, by rule and on the 
    collection instrument, in a manner that informs the respondent who 
    is requested or required to supply the data or information of the 
    nonstatistical purpose.
    ``(c) Transportation and Transportation-related Data Access.--The 
Director shall be provided access to any transportation and 
transportation-related information in the possession of any Federal 
agency, except--
        ``(1) information that is expressly prohibited by law from 
    being disclosed to another Federal agency; or
        ``(2) information that the agency possessing the information 
    determines could not be disclosed without significantly impairing 
    the discharge of authorities and responsibilities which have been 
    delegated to, or vested by law, in such agency.
``Sec. 6308. Proceeds of data product sales
    ``Notwithstanding section 3302 of title 31, amounts received by the 
Bureau from the sale of data products for necessary expenses incurred 
may be credited to the Highway Trust Fund (other than the Mass Transit 
Account) for the purpose of reimbursing the Bureau for those expenses.
``Sec. 6309. National transportation atlas database
    ``(a) In General.--The Director shall develop and maintain a 
national transportation atlas database that is comprised of geospatial 
databases that depict--
        ``(1) transportation networks;
        ``(2) flows of people, goods, vehicles, and craft over the 
    transportation networks; and
        ``(3) social, economic, and environmental conditions that 
    affect or are affected by the transportation networks.
    ``(b) Intermodal Network Analysis.--The databases referred to in 
subsection (a) shall be capable of supporting intermodal network 
analysis.
``Sec. 6310. Limitations on statutory construction
    ``Nothing in this chapter--
        ``(1) authorizes the Bureau to require any other Federal agency 
    to collect data; or
        ``(2) alters or diminishes the authority of any other officer 
    of the Department to collect and disseminate data independently.
``Sec. 6311. Research and development grants
    ``The Secretary may make grants to, or enter into cooperative 
agreements or contracts with, public and nonprofit private entities 
(including State transportation departments, metropolitan planning 
organizations, and institutions of higher education) for--
        ``(1) investigation of the subjects described in section 
    6302(b)(3)(B)(vi);
        ``(2) research and development of new methods of data 
    collection, standardization, management, integration, 
    dissemination, interpretation, and analysis;
        ``(3) demonstration programs by States, local governments, and 
    metropolitan planning organizations to coordinate data collection, 
    reporting, management, storage, and archiving to simplify data 
    comparisons across jurisdictions;
        ``(4) development of electronic clearinghouses of 
    transportation data and related information, as part of the 
    Library; and
        ``(5) development and improvement of methods for sharing 
    geographic data, in support of the database under section 6310 and 
    the National Spatial Data Infrastructure developed under Executive 
    Order No. 12906 (59 Fed. Reg. 17671) (or a successor Executive 
    order).
``Sec. 6312. Transportation statistics annual report
    ``The Director shall submit to the President and Congress a 
transportation statistics annual report, which shall include--
        ``(1) information on the progress of the Director in carrying 
    out the duties described in section 6302(b)(3)(B);
        ``(2) documentation of the methods used to obtain and ensure 
    the quality of the statistics presented in the report; and
        ``(3) any recommendations of the Director for improving 
    transportation statistical information.
``Sec. 6313. Mandatory response authority for freight data collection
    ``(a) Freight Data Collection.--
        ``(1) In general.--An owner, official, agent, person in charge, 
    or assistant to the person in charge of a freight corporation, 
    company, business, institution, establishment, or organization 
    described in paragraph (2) shall be fined in accordance with 
    subsection (b) if that individual neglects or refuses, when 
    requested by the Director or other authorized officer, employee, or 
    contractor of the Bureau to submit data under section 
    6302(b)(3)(B)--
            ``(A) to answer completely and correctly to the best 
        knowledge of that individual all questions relating to the 
        corporation, company, business, institution, establishment, or 
        other organization; or
            ``(B) to make available records or statistics in the 
        official custody of the individual.
        ``(2) Description of entities.--A freight corporation, company, 
    business, institution, establishment, or organization referred to 
    in paragraph (1) is a corporation, company, business, institution, 
    establishment, or organization that--
            ``(A) receives Federal funds relating to the freight 
        program; and
            ``(B) has consented to be subject to a fine under this 
        subsection on--
                ``(i) refusal to supply any data requested; or
                ``(ii) failure to respond to a written request.
    ``(b) Fines.--
        ``(1) In general.--Subject to paragraph (2), an individual 
    described in subsection (a) shall be fined not more than $500.
        ``(2) Willful actions.--If an individual willfully gives a 
    false answer to a question described in subsection (a)(1), the 
    individual shall be fined not more than $10,000.''.
    (b) Rules of Construction.--If the provisions of section 111 of 
title 49, United States Code, are transferred to chapter 63 of that 
title, the following rules of construction apply:
        (1) For purposes of determining whether 1 provision of law 
    supersedes another based on enactment later in time, a chapter 63 
    provision is deemed to have been enacted on the date of enactment 
    of the corresponding section 111 provision.
        (2) A reference to a section 111 provision, including a 
    reference in a regulation, order, or other law, is deemed to refer 
    to the corresponding chapter 63 provision.
        (3) A regulation, order, or other administrative action in 
    effect under a section 111 provision continues in effect under the 
    corresponding chapter 63 provision.
        (4) An action taken or an offense committed under a section 111 
    provision is deemed to have been taken or committed under the 
    corresponding chapter 63 provision.
    (c) Conforming Amendments.--
        (1) Repeal.--Section 111 of title 49, United States Code, is 
    repealed, and the item relating to section 111 in the analysis for 
    chapter 1 of that title is deleted.
        (2) Analysis for subtitle iii.--The analysis for subtitle III 
    of title 49, United States Code, is amended by inserting after the 
    items for chapter 61 the following:

          ``Chapter 63--Bureau of Transportation Statistics.''.

SEC. 52012. ADMINISTRATIVE AUTHORITY.
    Section 112 of title 49, United States Code, is amended by adding 
at the end the following:
    ``(f) Program Evaluation and Oversight.--For each of fiscal years 
2013 and 2014, the Administrator is authorized to expend not more than 
1\1/2\ percent of the amounts authorized to be appropriated for 
necessary expenses for administration and operations of the Research 
and Innovative Technology Administration for the coordination, 
evaluation, and oversight of the programs administered by the 
Administration.
    ``(g) Collaborative Research and Development.--
        ``(1) In general.--To encourage innovative solutions to 
    multimodal transportation problems and stimulate the deployment of 
    new technology, the Administrator may carry out, on a cost-shared 
    basis, collaborative research and development with--
            ``(A) non-Federal entities, including State and local 
        governments, foreign governments, institutions of higher 
        education, corporations, institutions, partnerships, sole 
        proprietorships, and trade associations that are incorporated 
        or established under the laws of any State;
            ``(B) Federal laboratories; and
            ``(C) other Federal agencies.
        ``(2) Cooperation, grants, contracts, and agreements.--
    Notwithstanding any other provision of law, the Administrator may 
    directly initiate contracts, grants, cooperative research and 
    development agreements (as defined in section 12 of the Stevenson-
    Wydler Technology Innovation Act of 1980 (15 U.S.C. 3710a)), and 
    other agreements to fund, and accept funds from, the Transportation 
    Research Board of the National Research Council of the National 
    Academy of Sciences, State departments of transportation, cities, 
    counties, institutions of higher education, associations, and the 
    agents of those entities to carry out joint transportation research 
    and technology efforts.
        ``(3) Federal share.--
            ``(A) In general.--Subject to subparagraph (B), the Federal 
        share of the cost of an activity carried out under paragraph 
        (2) shall not exceed 50 percent.
            ``(B) Exception.--If the Secretary determines that the 
        activity is of substantial public interest or benefit, the 
        Secretary may approve a greater Federal share.
            ``(C) Non-federal share.--All costs directly incurred by 
        the non-Federal partners, including personnel, travel, 
        facility, and hardware development costs, shall be credited 
        toward the non-Federal share of the cost of an activity 
        described in subparagraph (A).
        ``(4) Use of technology.--The research, development, or use of 
    a technology under a contract, grant, cooperative research and 
    development agreement, or other agreement entered into under this 
    subsection, including the terms under which the technology may be 
    licensed and the resulting royalties may be distributed, shall be 
    subject to the Stevenson-Wydler Technology Innovation Act of 1980 
    (15 U.S.C. 3701 et seq.).
        ``(5) Waiver of advertising requirements.--Section 6101 of 
    title 41 shall not apply to a contract, grant, or other agreement 
    entered into under this section.''.
SEC. 52013. TRANSPORTATION RESEARCH AND DEVELOPMENT STRATEGIC PLANNING.
    Section 508(a) of title 23, United States Code, is amended--
        (1) in paragraph (1), by striking ``SAFETEA-LU'' and inserting 
    ``Transportation Research and Innovative Technology Act of 2012''; 
    and
        (2) in paragraph (2), by striking subparagraph (A) and 
    inserting the following:
            ``(A) describe the primary purposes of the transportation 
        research and development program, which shall include, at a 
        minimum--
                ``(i) promoting safety;
                ``(ii) reducing congestion and improving mobility;
                ``(iii) preserving the environment;
                ``(iv) preserving the existing transportation system;
                ``(v) improving the durability and extending the life 
            of transportation infrastructure; and
                ``(vi) improving goods movement.''.

         TITLE III--INTELLIGENT TRANSPORTATION SYSTEMS RESEARCH

SEC. 53001. USE OF FUNDS FOR ITS ACTIVITIES.
    Section 513 of title 23, United States Code, is amended to read as 
follows:
``Sec. 513. Use of funds for ITS activities
    ``(a) Definitions.--In this section, the following definitions 
apply:
        ``(1) Eligible entity.--The term `eligible entity' means a 
    State or local government, tribal government, transit agency, 
    public toll authority, metropolitan planning organization, other 
    political subdivision of a State or local government, or a 
    multistate or multijurisdictional group applying through a single 
    lead applicant.
        ``(2) Multijurisdictional group.--The term `multijurisdictional 
    group' means a combination of State governments, local governments, 
    metropolitan planning agencies, transit agencies, or other 
    political subdivisions of a State that--
            ``(A) have signed a written agreement to implement an 
        activity that meets the grant criteria under this section; and
            ``(B) is comprised of at least 2 members, each of whom is 
        an eligible entity.
    ``(b) Purpose.--The purpose of this section is to develop, 
administer, communicate, and promote the use of products of research, 
technology, and technology transfer programs.
    ``(c) ITS Adoption.--
        ``(1) Innovative technologies and strategies.--The Secretary 
    shall encourage the deployment of ITS technologies that will 
    improve the performance of the National Highway System in such 
    areas as traffic operations, emergency response, incident 
    management, surface transportation network management, freight 
    management, traffic flow information, and congestion management by 
    accelerating the adoption of innovative technologies through the 
    use of--
            ``(A) demonstration programs;
            ``(B) grant funding;
            ``(C) incentives to eligible entities; and
            ``(D) other tools, strategies, or methods that will result 
        in the deployment of innovative ITS technologies.
        ``(2) Comprehensive plan.--To carry out this section, the 
    Secretary shall develop a detailed and comprehensive plan that 
    addresses the manner in which incentives may be adopted, as 
    appropriate, through the existing deployment activities carried out 
    by surface transportation modal administrations.''.
SEC. 53002. GOALS AND PURPOSES.
    (a) In General.--Chapter 5 of title 23, United States Code, is 
amended by adding after section 513 the following:
``Sec. 514. Goals and purposes
    ``(a) Goals.--The goals of the intelligent transportation system 
program include--
        ``(1) enhancement of surface transportation efficiency and 
    facilitation of intermodalism and international trade to enable 
    existing facilities to meet a significant portion of future 
    transportation needs, including public access to employment, goods, 
    and services and to reduce regulatory, financial, and other 
    transaction costs to public agencies and system users;
        ``(2) achievement of national transportation safety goals, 
    including enhancement of safe operation of motor vehicles and 
    nonmotorized vehicles and improved emergency response to 
    collisions, with particular emphasis on decreasing the number and 
    severity of collisions;
        ``(3) protection and enhancement of the natural environment and 
    communities affected by surface transportation, with particular 
    emphasis on assisting State and local governments to achieve 
    national environmental goals;
        ``(4) accommodation of the needs of all users of surface 
    transportation systems, including operators of commercial motor 
    vehicles, passenger motor vehicles, motorcycles, bicycles, and 
    pedestrians (including individuals with disabilities); and
        ``(5) enhancement of national defense mobility and improvement 
    of the ability of the United States to respond to security-related 
    or other manmade emergencies and natural disasters.
    ``(b) Purposes.--The Secretary shall implement activities under the 
intelligent transportation system program, at a minimum--
        ``(1) to expedite, in both metropolitan and rural areas, 
    deployment and integration of intelligent transportation systems 
    for consumers of passenger and freight transportation;
        ``(2) to ensure that Federal, State, and local transportation 
    officials have adequate knowledge of intelligent transportation 
    systems for consideration in the transportation planning process;
        ``(3) to improve regional cooperation and operations planning 
    for effective intelligent transportation system deployment;
        ``(4) to promote the innovative use of private resources in 
    support of intelligent transportation system development;
        ``(5) to facilitate, in cooperation with the motor vehicle 
    industry, the introduction of vehicle-based safety enhancing 
    systems;
        ``(6) to support the application of intelligent transportation 
    systems that increase the safety and efficiency of commercial motor 
    vehicle operations;
        ``(7) to develop a workforce capable of developing, operating, 
    and maintaining intelligent transportation systems;
        ``(8) to provide continuing support for operations and 
    maintenance of intelligent transportation systems; and
        ``(9) to ensure a systems approach that includes cooperation 
    among vehicles, infrastructure, and users.''.
    (b) Conforming Amendment.--The analysis for chapter 5 of title 23, 
United States Code, is amended by adding after the item relating to 
section 513 the following:

``514. Goals and purposes.''.
SEC. 53003. GENERAL AUTHORITIES AND REQUIREMENTS.
    (a) In General.--Chapter 5 of title 23, United States Code, is 
amended by adding after section 514 (as added by section 53002) the 
following:
``Sec. 515. General authorities and requirements
    ``(a) Scope.--Subject to the provisions of this chapter, the 
Secretary shall conduct an ongoing intelligent transportation system 
program--
        ``(1) to research, develop, and operationally test intelligent 
    transportation systems; and
        ``(2) to provide technical assistance in the nationwide 
    application of those systems as a component of the surface 
    transportation systems of the United States.
    ``(b) Policy.--Intelligent transportation system research projects 
and operational tests funded pursuant to this chapter shall encourage 
and not displace public-private partnerships or private sector 
investment in those tests and projects.
    ``(c) Cooperation With Governmental, Private, and Educational 
Entities.--The Secretary shall carry out the intelligent transportation 
system program in cooperation with State and local governments and 
other public entities, the private sector firms of the United States, 
the Federal laboratories, and institutions of higher education, 
including historically Black colleges and universities and other 
minority institutions of higher education.
    ``(d) Consultation With Federal Officials.--In carrying out the 
intelligent transportation system program, the Secretary shall consult 
with the heads of other Federal agencies, as appropriate.
    ``(e) Technical Assistance, Training, and Information.--The 
Secretary may provide technical assistance, training, and information 
to State and local governments seeking to implement, operate, maintain, 
or evaluate intelligent transportation system technologies and 
services.
    ``(f) Transportation Planning.--The Secretary may provide funding 
to support adequate consideration of transportation systems management 
and operations, including intelligent transportation systems, within 
metropolitan and statewide transportation planning processes.
    ``(g) Information Clearinghouse.--
        ``(1) In general.--The Secretary shall--
            ``(A) maintain a repository for technical and safety data 
        collected as a result of federally sponsored projects carried 
        out under this chapter; and
            ``(B) make, on request, that information (except for 
        proprietary information and data) readily available to all 
        users of the repository at an appropriate cost.
        ``(2) Agreement.--
            ``(A) In general.--The Secretary may enter into an 
        agreement with a third party for the maintenance of the 
        repository for technical and safety data under paragraph 
        (1)(A).
            ``(B) Federal financial assistance.--If the Secretary 
        enters into an agreement with an entity for the maintenance of 
        the repository, the entity shall be eligible for Federal 
        financial assistance under this section.
        ``(3) Availability of information.--Information in the 
    repository shall not be subject to sections 552 and 555 of title 5, 
    United States Code.
    ``(h) Advisory Committee.--
        ``(1) In general.--The Secretary shall establish an Advisory 
    Committee to advise the Secretary on carrying out this chapter.
        ``(2) Membership.--The Advisory Committee shall have no more 
    than 20 members, be balanced between metropolitan and rural 
    interests, and include, at a minimum--
            ``(A) a representative from a State highway department;
            ``(B) a representative from a local highway department who 
        is not from a metropolitan planning organization;
            ``(C) a representative from a State, local, or regional 
        transit agency;
            ``(D) a representative from a metropolitan planning 
        organization;
            ``(E) a private sector user of intelligent transportation 
        system technologies;
            ``(F) an academic researcher with expertise in computer 
        science or another information science field related to 
        intelligent transportation systems, and who is not an expert on 
        transportation issues;
            ``(G) an academic researcher who is a civil engineer;
            ``(H) an academic researcher who is a social scientist with 
        expertise in transportation issues;
            ``(I) a representative from a nonprofit group representing 
        the intelligent transportation system industry;
            ``(J) a representative from a public interest group 
        concerned with safety;
            ``(K) a representative from a public interest group 
        concerned with the impact of the transportation system on land 
        use and residential patterns; and
            ``(L) members with expertise in planning, safety, 
        telecommunications, utilities, and operations.
        ``(3) Duties.--The Advisory Committee shall, at a minimum, 
    perform the following duties:
            ``(A) Provide input into the development of the intelligent 
        transportation system aspects of the strategic plan under 
        section 508.
            ``(B) Review, at least annually, areas of intelligent 
        transportation systems research being considered for funding by 
        the Department, to determine--
                ``(i) whether these activities are likely to advance 
            either the state-of-the-practice or state-of-the-art in 
            intelligent transportation systems;
                ``(ii) whether the intelligent transportation system 
            technologies are likely to be deployed by users, and if 
            not, to determine the barriers to deployment; and
                ``(iii) the appropriate roles for government and the 
            private sector in investing in the research and 
            technologies being considered.
        ``(4) Report.--Not later than February 1 of each year after the 
    date of enactment of the Transportation Research and Innovative 
    Technology Act of 2012, the Secretary shall submit to Congress a 
    report that includes--
            ``(A) all recommendations made by the Advisory Committee 
        during the preceding calendar year;
            ``(B) an explanation of the manner in which the Secretary 
        has implemented those recommendations; and
            ``(C) for recommendations not implemented, the reasons for 
        rejecting the recommendations.
        ``(5) Applicability of federal advisory committee act.--The 
    Advisory Committee shall be subject to the Federal Advisory 
    Committee Act (5 U.S.C. App.).
    ``(i) Reporting.--
        ``(1) Guidelines and requirements.--
            ``(A) In general.--The Secretary shall issue guidelines and 
        requirements for the reporting and evaluation of operational 
        tests and deployment projects carried out under this chapter.
            ``(B) Objectivity and independence.--The guidelines and 
        requirements issued under subparagraph (A) shall include 
        provisions to ensure the objectivity and independence of the 
        reporting entity so as to avoid any real or apparent conflict 
        of interest or potential influence on the outcome by parties to 
        any such test or deployment project or by any other formal 
        evaluation carried out under this chapter.
            ``(C) Funding.--The guidelines and requirements issued 
        under subparagraph (A) shall establish reporting funding levels 
        based on the size and scope of each test or project that ensure 
        adequate reporting of the results of the test or project.
        ``(2) Special rule.--Any survey, questionnaire, or interview 
    that the Secretary considers necessary to carry out the reporting 
    of any test, deployment project, or program assessment activity 
    under this chapter shall not be subject to chapter 35 of title 44, 
    United States Code.''.
    (b) Conforming Amendment.--The analysis for chapter 5 of title 23, 
United States Code, is amended by adding after the item relating to 
section 514 (as added by section 53002) the following:

``515. General authorities and requirements.''.
SEC. 53004. RESEARCH AND DEVELOPMENT.
    (a) In General.--Chapter 5 of title 23, United States Code, is 
amended by adding after section 515 (as added by section 53003) the 
following:
``Sec. 516. Research and development
    ``(a) In General.--The Secretary shall carry out a comprehensive 
program of intelligent transportation system research and development, 
and operational tests of intelligent vehicles, intelligent 
infrastructure systems, and other similar activities that are necessary 
to carry out this chapter.
    ``(b) Priority Areas.--Under the program, the Secretary shall give 
higher priority to funding projects that--
        ``(1) enhance mobility and productivity through improved 
    traffic management, incident management, transit management, 
    freight management, road weather management, toll collection, 
    traveler information, or highway operations systems and remote 
    sensing products;
        ``(2) use interdisciplinary approaches to develop traffic 
    management strategies and tools to address multiple impacts of 
    congestion concurrently;
        ``(3) address traffic management, incident management, transit 
    management, toll collection traveler information, or highway 
    operations systems;
        ``(4) incorporate research on the potential impact of 
    environmental, weather, and natural conditions on intelligent 
    transportation systems, including the effects of cold climates;
        ``(5) enhance intermodal use of intelligent transportation 
    systems for diverse groups, including for emergency and health-
    related services;
        ``(6) enhance safety through improved crash avoidance and 
    protection, crash and other notification, commercial motor vehicle 
    operations, and infrastructure-based or cooperative safety systems; 
    or
        ``(7) facilitate the integration of intelligent infrastructure, 
    vehicle, and control technologies.
    ``(c) Federal Share.--The Federal share payable on account of any 
project or activity carried out under subsection (a) shall not exceed 
80 percent.''.
    (b) Conforming Amendment.--The analysis for chapter 5 of title 23, 
United States Code, is amended by adding after the item relating to 
section 515 (as added by section 53003) the following:

``516. Research and development.''.
SEC. 53005. NATIONAL ARCHITECTURE AND STANDARDS.
    (a) In General.--Chapter 5 of title 23, United States Code, is 
amended by adding after section 516 (as added by section 53004) the 
following:
``Sec. 517. National architecture and standards
    ``(a) In General.--
        ``(1) Development, implementation, and maintenance.--In 
    accordance with section 12(d) of the National Technology Transfer 
    and Advancement Act of 1995 (15 U.S.C. 272 note; 110 Stat. 783; 115 
    Stat. 1241), the Secretary shall develop and maintain a national 
    ITS architecture and supporting ITS standards and protocols to 
    promote the use of systems engineering methods in the widespread 
    deployment and evaluation of intelligent transportation systems as 
    a component of the surface transportation systems of the United 
    States.
        ``(2) Interoperability and efficiency.--To the maximum extent 
    practicable, the national ITS architecture and supporting ITS 
    standards and protocols shall promote interoperability among, and 
    efficiency of, intelligent transportation systems and technologies 
    implemented throughout the United States.
        ``(3) Use of standards development organizations.--In carrying 
    out this section, the Secretary shall support the development and 
    maintenance of standards and protocols using the services of such 
    standards development organizations as the Secretary determines to 
    be necessary and whose memberships are comprised of, and represent, 
    the surface transportation and intelligent transportation systems 
    industries.
    ``(b) Standards for National Policy Implementation.--If the 
Secretary finds that a standard is necessary for implementation of a 
nationwide policy relating to user fee collection or other capability 
requiring nationwide uniformity, the Secretary, after consultation with 
stakeholders, may establish and require the use of that standard.
    ``(c) Provisional Standards.--
        ``(1) In general.--If the Secretary finds that the development 
    or balloting of an intelligent transportation system standard 
    jeopardizes the timely achievement of the objectives described in 
    subsection (a), the Secretary may establish a provisional standard, 
    after consultation with affected parties, using, to the maximum 
    extent practicable, the work product of appropriate standards 
    development organizations.
        ``(2) Period of effectiveness.--A provisional standard 
    established under paragraph (1) shall be published in the Federal 
    Register and remain in effect until the appropriate standards 
    development organization adopts and publishes a standard.
    ``(d) Conformity With National Architecture.--
        ``(1) In general.--Except as provided in paragraph (2), the 
    Secretary shall ensure that intelligent transportation system 
    projects carried out using amounts made available from the Highway 
    Trust Fund, including amounts made available to deploy intelligent 
    transportation systems, conform to the appropriate regional ITS 
    architecture, applicable standards, and protocols developed under 
    subsection (a) or (c).
        ``(2) Discretion of the secretary.--The Secretary, at the 
    discretion of the Secretary, may offer an exemption from paragraph 
    (1) for projects designed to achieve specific research objectives 
    outlined in the national intelligent transportation system program 
    plan or the surface transportation research and development 
    strategic plan developed under section 508.''.
    (b) Conforming Amendment.--The analysis for chapter 5 of title 23, 
United States Code, is amended by adding after the item relating to 
section 516 (as added by section 53004) the following:

``517. National architecture and standards.''.
SEC. 53006. VEHICLE-TO-VEHICLE AND VEHICLE-TO-INFRASTRUCTURE 
COMMUNICATIONS SYSTEMS DEPLOYMENT.
    (a) In General.--Chapter 5 of title 23, United States Code, is 
amended by adding after section 517 (as added by section 53005) the 
following:
``Sec. 518. Vehicle-to-vehicle and vehicle-to-infrastructure 
   communications systems deployment
    ``(a) In General.--Not later than 3 years after the date of 
enactment of this section, the Secretary shall submit to the Committees 
on Commerce, Science, and Transportation and Environment and Public 
Works of the Senate and the Committees on Transportation and 
Infrastructure, Energy and Commerce, and Science, Space, and Technology 
of the House of Representatives that--
        ``(1) assesses the status of dedicated short-range 
    communications technology and applications developed through 
    research and development;
        ``(2) analyzes the known and potential gaps in short-range 
    communications technology and applications;
        ``(3) defines a recommended implementation path for dedicated 
    short-range communications technology and applications that--
            ``(A) is based on the assessment described in paragraph 
        (1); and
            ``(B) takes into account the analysis described in 
        paragraph (2);
        ``(4) includes guidance on the relationship of the proposed 
    deployment of dedicated short-range communications to the National 
    ITS Architecture and ITS Standards; and
        ``(5) ensures competition by not preferencing the use of any 
    particular frequency for vehicle to infrastructure operations.
    ``(b) Report Review.--The Secretary shall enter into agreements 
with the National Research Council and an independent third party with 
subject matter expertise for the review of the report described in 
subsection (a).''.
    (b) Conforming Amendment.--The analysis for chapter 5 of title 23, 
United States Code, is amended by adding after section 517 (as added by 
section 53005) the following:

``518. Vehicle-to-vehicle and vehicle-to-infrastructure communications 
          systems deployment.''.

                       DIVISION F--MISCELLANEOUS
              TITLE I--REAUTHORIZATION OF CERTAIN PROGRAMS
   Subtitle A--Secure Rural Schools and Community Self-determination 
                                Program

SEC. 100101. SECURE RURAL SCHOOLS AND COMMUNITY SELF-DETERMINATION 
PROGRAM.
    (a) Amendments.--The Secure Rural Schools and Community Self-
Determination Act of 2000 (16 U.S.C. 7101 et seq.) is amended--
        (1) in section 3(11)--
            (A) in subparagraph (A), by striking ``and'' after the 
        semicolon at the end;
            (B) in subparagraph (B)--
                (i) by striking ``fiscal year 2009 and each fiscal year 
            thereafter'' and inserting ``each of fiscal years 2009 
            through 2011''; and
                (ii) by striking the period at the end and inserting 
            ``; and''; and
            (C) by adding at the end the following:
            ``(C) for fiscal year 2012 and each fiscal year thereafter, 
        the amount that is equal to 95 percent of the full funding 
        amount for the preceding fiscal year.'';
        (2) in sections 101, 102, 203, 207, 208, 304, and 402, by 
    striking ``2011'' each place it appears and inserting ``2012'';
        (3) in section 102--
            (A) by striking ``2008'' each place it appears and 
        inserting ``2012'';
            (B) in subsection (b)(2)(B), by inserting ``in 2012'' 
        before ``, the election''; and
            (C) in subsection (d)--
                (i) in paragraph (1)(A), by striking ``paragraph 
            (3)(B)'' and inserting ``subparagraph (D)''; and
                (ii) in paragraph (3)--

                    (I) by striking subparagraph (A) and inserting the 
                following:

            ``(A) Notification.--The Governor of each eligible State 
        shall notify the Secretary concerned of an election by an 
        eligible county under this subsection not later than September 
        30, 2012, and each September 30 thereafter for each succeeding 
        fiscal year.'';

                    (II) by redesignating subparagraph (B) as 
                subparagraph (D) and moving the subparagraph so as to 
                appear at the end of paragraph (1) of subsection (d); 
                and
                    (III) by inserting after subparagraph (A) the 
                following:

            ``(B) Failure to elect.--If the Governor of an eligible 
        State fails to notify the Secretary concerned of the election 
        for an eligible county by the date specified in subparagraph 
        (A)--
                ``(i) the eligible county shall be considered to have 
            elected to expend 80 percent of the funds in accordance 
            with paragraph (1)(A); and
                ``(ii) the remainder shall be available to the 
            Secretary concerned to carry out projects in the eligible 
            county to further the purpose described in section 
            202(b).'';
        (4) in section 103(d)(2), by striking ``fiscal year 2011'' and 
    inserting ``each of fiscal years 2011 and 2012'';
        (5) in section 202, by adding at the end the following:
    ``(c) Administrative Expenses.--A resource advisory committee may, 
in accordance with section 203, propose to use not more than 10 percent 
of the project funds of an eligible county for any fiscal year for 
administrative expenses associated with operating the resource advisory 
committee under this title.'';
        (6) in section 204(e)(3)(B)(iii), by striking ``and 2011'' and 
    inserting ``through 2012'';
        (7) in section 205(a)(4), by striking ``2006'' each place it 
    appears and inserting ``2011'';
        (8) in section 208(b), by striking ``2012'' and inserting 
    ``2013'';
        (9) in section 302(a)(2)(A), by inserting ``and'' after the 
    semicolon; and
        (10) in section 304(b), by striking ``2012'' and inserting 
    ``2013''.
    (b) Failure To Make Election.--For each county that failed to make 
an election for fiscal year 2011 in accordance with section 
102(d)(3)(A) of the Secure Rural Schools and Community Self-
Determination Act of 2000 (16 U.S.C. 7112(d)(3)(A)), there shall be 
available to the Secretary of Agriculture to carry out projects to 
further the purpose described in section 202(b) of that Act (16 U.S.C. 
7122(b)), from amounts in the Treasury not otherwise appropriated, the 
amount that is equal to 15 percent of the total share of the State 
payment that otherwise would have been made to the county under that 
Act for fiscal year 2011.

              Subtitle B--Payment in Lieu of Taxes Program

SEC. 100111. PAYMENTS IN LIEU OF TAXES.
    Section 6906 of title 31, United States Code, is amended by 
striking ``2012'' and inserting ``2013''.

                          Subtitle C--Offsets

SEC. 100121. PHASED RETIREMENT AUTHORITY.
    (a) CSRS.--Chapter 83 of title 5, United States Code, is amended--
        (1) in section 8331--
            (A) in paragraph (30) by striking ``and'' at the end;
            (B) in paragraph (31) by striking the period at the end and 
        inserting ``; and''; and
            (C) by adding at the end the following:
        ``(32) `Director' means the Director of the Office of Personnel 
    Management.'';
        (2) by inserting after section 8336 the following:
``Sec. 8336a. Phased retirement
    ``(a) For the purposes of this section--
        ``(1) the term `composite retirement annuity' means the annuity 
    computed when a phased retiree attains full retirement status;
        ``(2) the term `full retirement status' means that a phased 
    retiree has ceased employment and is entitled, upon application, to 
    a composite retirement annuity;
        ``(3) the term `phased employment' means the less-than-full-
    time employment of a phased retiree;
        ``(4) the term `phased retiree' means a retirement-eligible 
    employee who--
            ``(A) makes an election under subsection (b); and
            ``(B) has not entered full retirement status;
        ``(5) the term `phased retirement annuity' means the annuity 
    payable under this section before full retirement;
        ``(6) the term `phased retirement percentage' means the 
    percentage which, when added to the working percentage for a phased 
    retiree, produces a sum of 100 percent;
        ``(7) the term `phased retirement period' means the period 
    beginning on the date on which an individual becomes entitled to 
    receive a phased retirement annuity and ending on the date on which 
    the individual dies or separates from phased employment;
        ``(8) the term `phased retirement status' means that a phased 
    retiree is concurrently employed in phased employment and eligible 
    to receive a phased retirement annuity;
        ``(9) the term `retirement-eligible employee'--
            ``(A) means an individual who, if the individual separated 
        from the service, would meet the requirements for retirement 
        under subsection (a) or (b) of section 8336; but
            ``(B) does not include an employee described in section 
        8335 after the date on which the employee is required to be 
        separated from the service by reason of such section; and
        ``(10) the term `working percentage' means the percentage of 
    full-time employment equal to the quotient obtained by dividing--
            ``(A) the number of hours per pay period to be worked by a 
        phased retiree, as scheduled in accordance with subsection 
        (b)(2); by
            ``(B) the number of hours per pay period to be worked by an 
        employee serving in a comparable position on a full-time basis.
    ``(b)(1) With the concurrence of the head of the employing agency, 
and under regulations promulgated by the Director, a retirement-
eligible employee who has been employed on a full-time basis for not 
less than the 3-year period ending on the date on which the retirement-
eligible employee makes an election under this subsection may elect to 
enter phased retirement status.
    ``(2)(A) Subject to subparagraph (B), at the time of entering 
phased retirement status, a phased retiree shall be appointed to a 
position for which the working percentage is 50 percent.
    ``(B) The Director may, by regulation, provide for working 
percentages different from the percentage specified under subparagraph 
(A), which shall be not less than 20 percent and not more than 80 
percent.
    ``(C) The working percentage for a phased retiree may not be 
changed during the phased retiree's phased retirement period.
    ``(D)(i) Not less than 20 percent of the hours to be worked by a 
phased retiree shall consist of mentoring.
    ``(ii) The Director may, by regulation, provide for exceptions to 
the requirement under clause (i).
    ``(iii) Clause (i) shall not apply to a phased retiree serving in 
the United States Postal Service. Nothing in this clause shall prevent 
the application of clause (i) or (ii) with respect to a phased retiree 
serving in the Postal Regulatory Commission.
    ``(3) A phased retiree--
        ``(A) may not be employed in more than one position at any 
    time; and
        ``(B) may transfer to another position in the same or a 
    different agency, only if the transfer does not result in a change 
    in the working percentage.
    ``(4) A retirement-eligible employee may make not more than one 
election under this subsection during the retirement-eligible 
employee's lifetime.
    ``(5) A retirement-eligible employee who makes an election under 
this subsection may not make an election under section 8343a.
    ``(c)(1) Except as otherwise provided under this subsection, the 
phased retirement annuity for a phased retiree is the product obtained 
by multiplying--
        ``(A) the amount of an annuity computed under section 8339 that 
    would have been payable to the phased retiree if, on the date on 
    which the phased retiree enters phased retirement status, the 
    phased retiree had separated from service and retired under section 
    8336(a) or (b); by
        ``(B) the phased retirement percentage for the phased retiree.
    ``(2) A phased retirement annuity shall be paid in addition to the 
basic pay for the position to which a phased retiree is appointed 
during phased employment.
    ``(3) A phased retirement annuity shall be adjusted in accordance 
with section 8340.
    ``(4)(A) A phased retirement annuity shall not be subject to 
reduction for any form of survivor annuity, shall not serve as the 
basis of the computation of any survivor annuity, and shall not be 
subject to any court order requiring a survivor annuity to be provided 
to any individual.
    ``(B) A phased retirement annuity shall be subject to a court order 
providing for division, allotment, assignment, execution, levy, 
attachment, garnishment, or other legal process on the same basis as 
other annuities.
    ``(5) Any reduction of a phased retirement annuity based on an 
election under section 8334(d)(2) shall be applied to the phased 
retirement annuity after computation under paragraph (1).
    ``(6)(A) Any deposit, or election of an actuarial annuity reduction 
in lieu of a deposit, for military service or for creditable civilian 
service for which retirement deductions were not made or refunded shall 
be made by a retirement-eligible employee at or before the time the 
retirement-eligible employee enters phased retirement status. No such 
deposit may be made, or actuarial adjustment in lieu thereof elected, 
at the time a phased retiree enters full retirement status.
    ``(B) Notwithstanding subparagraph (A), if a phased retiree does 
not make such a deposit and dies in service as a phased retiree, a 
survivor of the phased retiree shall have the same right to make such 
deposit as would have been available had the employee not entered 
phased retirement status and died in service.
    ``(C) If a phased retiree makes an election for an actuarial 
annuity reduction under section 8334(d)(2) and dies in service as a 
phased retiree, the amount of any deposit upon which such actuarial 
reduction shall have been based shall be deemed to have been fully 
paid.
    ``(7) A phased retirement annuity shall commence on the date on 
which a phased retiree enters phased employment.
    ``(8) No unused sick leave credit may be used in the computation of 
the phased retirement annuity.
    ``(d) All basic pay not in excess of the full-time rate of pay for 
the position to which a phased retiree is appointed shall be deemed to 
be basic pay for purposes of section 8334.
    ``(e) Under such procedures as the Director may prescribe, a phased 
retiree may elect to enter full retirement status at any time. Upon 
making such an election, a phased retiree shall be entitled to a 
composite retirement annuity.
    ``(f)(1) Except as provided otherwise under this subsection, a 
composite retirement annuity is a single annuity computed under 
regulations prescribed by the Director, equal to the sum of--
        ``(A) the amount of the phased retirement annuity as of the 
    date of full retirement, before any reduction based on an election 
    under section 8334(d)(2), and including any adjustments made under 
    section 8340; and
        ``(B) the product obtained by multiplying--
            ``(i) the amount of an annuity computed under section 8339 
        that would have been payable at the time of full retirement if 
        the individual had not elected a phased retirement and as if 
        the individual was employed on a full-time basis in the 
        position occupied during the phased retirement period and 
        before any reduction for survivor annuity or reduction based on 
        an election under section 8334(d)(2); by
            ``(ii) the working percentage.
    ``(2) After computing a composite retirement annuity under 
paragraph (1), the Director shall adjust the amount of the annuity for 
any applicable reductions for a survivor annuity and any previously 
elected actuarial reduction under section 8334(d)(2).
    ``(3) A composite retirement annuity shall be adjusted in 
accordance with section 8340, except that subsection (c)(1) of that 
section shall not apply.
    ``(4) In computing a composite retirement annuity under paragraph 
(1)(B)(i), the unused sick leave to the credit of a phased retiree at 
the time of entry into full retirement status shall be adjusted by 
dividing the number of hours of unused sick leave by the working 
percentage.
    ``(g)(1) Under such procedures and conditions as the Director may 
provide, and with the concurrence of the head of the employing agency, 
a phased retiree may elect to terminate phased retirement status and 
return to a full-time work schedule.
    ``(2) Upon entering a full-time work schedule based upon an 
election under paragraph (1), the phased retirement annuity of a phased 
retiree shall terminate.
    ``(3) After the termination of a phased retirement annuity under 
this subsection, the individual's rights under this subchapter shall be 
determined based on the law in effect at the time of any subsequent 
separation from service. For purposes of this subchapter or chapter 84, 
at time of the subsequent separation from service, the phased 
retirement period shall be treated as if it had been a period of part-
time employment with the work schedule described in subsection (b)(2).
    ``(h) For purposes of section 8341--
        ``(1) the death of a phased retiree shall be deemed to be the 
    death in service of an employee; and
        ``(2) the phased retirement period shall be deemed to have been 
    a period of part-time employment with the work schedule described 
    in subsection (b)(2).
    ``(i) Employment of a phased retiree shall not be deemed to be 
part-time career employment, as defined in section 3401(2).
    ``(j) A phased retiree is not eligible to apply for an annuity 
under section 8337.
    ``(k) For purposes of section 8341(h)(4), retirement shall be 
deemed to occur on the date on which a phased retiree enters into full 
retirement status.
    ``(l) For purposes of sections 8343 and 8351, and subchapter III of 
chapter 84, a phased retiree shall be deemed to be an employee.
    ``(m) A phased retiree is not subject to section 8344.
    ``(n) For purposes of chapter 87, a phased retiree shall be deemed 
to be receiving basic pay at the rate of a full-time employee in the 
position to which the phased retiree is appointed.''; and
        (3) in the table of sections by inserting after the item 
    relating to section 8336 the following:

``8336a. Phased retirement.''.

    (b) FERS.--Chapter 84 of title 5, United States Code, is amended--
        (1) by inserting after section 8412 the following new section:
``Sec. 8412a. Phased retirement
    ``(a) For the purposes of this section--
        ``(1) the term `composite retirement annuity' means the annuity 
    computed when a phased retiree attains full retirement status;
        ``(2) the term `full retirement status' means that a phased 
    retiree has ceased employment and is entitled, upon application, to 
    a composite retirement annuity;
        ``(3) the term `phased employment' means the less-than-full-
    time employment of a phased retiree;
        ``(4) the term `phased retiree' means a retirement-eligible 
    employee who--
            ``(A) makes an election under subsection (b); and
            ``(B) has not entered full retirement status;
        ``(5) the term `phased retirement annuity' means the annuity 
    payable under this section before full retirement;
        ``(6) the term `phased retirement percentage' means the 
    percentage which, when added to the working percentage for a phased 
    retiree, produces a sum of 100 percent;
        ``(7) the term `phased retirement period' means the period 
    beginning on the date on which an individual becomes entitled to 
    receive a phased retirement annuity and ending on the date on which 
    the individual dies or separates from phased employment;
        ``(8) the term `phased retirement status' means that a phased 
    retiree is concurrently employed in phased employment and eligible 
    to receive a phased retirement annuity;
        ``(9) the term `retirement-eligible employee'--
            ``(A) means an individual who, if the individual separated 
        from the service, would meet the requirements for retirement 
        under subsection (a) or (b) of section 8412; and
            ``(B) does not include--
                ``(i) an individual who, if the individual separated 
            from the service, would meet the requirements for 
            retirement under subsection (d) or (e) of section 8412; but
                ``(ii) does not include an employee described in 
            section 8425 after the date on which the employee is 
            required to be separated from the service by reason of such 
            section; and
        ``(10) the term `working percentage' means the percentage of 
    full-time employment equal to the quotient obtained by dividing--
            ``(A) the number of hours per pay period to be worked by a 
        phased retiree, as scheduled in accordance with subsection 
        (b)(2); by
            ``(B) the number of hours per pay period to be worked by an 
        employee serving in a comparable position on a full-time basis.
    ``(b)(1) With the concurrence of the head of the employing agency, 
and under regulations promulgated by the Director, a retirement-
eligible employee who has been employed on a full-time basis for not 
less than the 3-year period ending on the date on which the retirement-
eligible employee makes an election under this subsection may elect to 
enter phased retirement status.
    ``(2)(A) Subject to subparagraph (B), at the time of entering 
phased retirement status, a phased retiree shall be appointed to a 
position for which the working percentage is 50 percent.
    ``(B) The Director may, by regulation, provide for working 
percentages different from the percentage specified under subparagraph 
(A), which shall be not less than 20 percent and not more than 80 
percent.
    ``(C) The working percentage for a phased retiree may not be 
changed during the phased retiree's phased retirement period.
    ``(D)(i) Not less than 20 percent of the hours to be worked by a 
phased retiree shall consist of mentoring.
    ``(ii) The Director may, by regulation, provide for exceptions to 
the requirement under clause (i).
    ``(iii) Clause (i) shall not apply to a phased retiree serving in 
the United States Postal Service. Nothing in this clause shall prevent 
the application of clause (i) or (ii) with respect to a phased retiree 
serving in the Postal Regulatory Commission.
    ``(3) A phased retiree--
        ``(A) may not be employed in more than one position at any 
    time; and
        ``(B) may transfer to another position in the same or a 
    different agency, only if the transfer does not result in a change 
    in the working percentage.
    ``(4) A retirement-eligible employee may make not more than one 
election under this subsection during the retirement-eligible 
employee's lifetime.
    ``(5) A retirement-eligible employee who makes an election under 
this subsection may not make an election under section 8420a.
    ``(c)(1) Except as otherwise provided under this subsection, the 
phased retirement annuity for a phased retiree is the product obtained 
by multiplying--
        ``(A) the amount of an annuity computed under section 8415 that 
    would have been payable to the phased retiree if, on the date on 
    which the phased retiree enters phased retirement status, the 
    phased retiree had separated from service and retired under section 
    8412 (a) or (b); by
        ``(B) the phased retirement percentage for the phased retiree.
    ``(2) A phased retirement annuity shall be paid in addition to the 
basic pay for the position to which a phased retiree is appointed 
during the phased employment.
    ``(3) A phased retirement annuity shall be adjusted in accordance 
with section 8462.
    ``(4)(A) A phased retirement annuity shall not be subject to 
reduction for any form of survivor annuity, shall not serve as the 
basis of the computation of any survivor annuity, and shall not be 
subject to any court order requiring a survivor annuity to be provided 
to any individual.
    ``(B) A phased retirement annuity shall be subject to a court order 
providing for division, allotment, assignment, execution, levy, 
attachment, garnishment, or other legal process on the same basis as 
other annuities.
    ``(5)(A) Any deposit, or election of an actuarial annuity reduction 
in lieu of a deposit, for military service or for creditable civilian 
service for which retirement deductions were not made or refunded, 
shall be made by a retirement-eligible employee at or before the time 
the retirement-eligible employee enters phased retirement status. No 
such deposit may be made, or actuarial adjustment in lieu thereof 
elected, at the time a phased retiree enters full retirement status.
    ``(B) Notwithstanding subparagraph (A), if a phased retiree does 
not make such a deposit and dies in service as a phased retiree, a 
survivor of the phased retiree shall have the same right to make such 
deposit as would have been available had the employee not entered 
phased retirement status and died in service.
    ``(6) A phased retirement annuity shall commence on the date on 
which a phased retiree enters phased employment.
    ``(7) No unused sick leave credit may be used in the computation of 
the phased retirement annuity.
    ``(d) All basic pay not in excess of the full-time rate of pay for 
the position to which a phased retiree is appointed shall be deemed to 
be basic pay for purposes of sections 8422 and 8423.
    ``(e) Under such procedures as the Director may prescribe, a phased 
retiree may elect to enter full retirement status at any time. Upon 
making such an election, a phased retiree shall be entitled to a 
composite retirement annuity.
    ``(f)(1) Except as provided otherwise under this subsection, a 
composite retirement annuity is a single annuity computed under 
regulations prescribed by the Director, equal to the sum of--
        ``(A) the amount of the phased retirement annuity as of the 
    date of full retirement, including any adjustments made under 
    section 8462; and
        ``(B) the product obtained by multiplying--
            ``(i) the amount of an annuity computed under section 8412 
        that would have been payable at the time of full retirement if 
        the individual had not elected a phased retirement and as if 
        the individual was employed on a full-time basis in the 
        position occupied during the phased retirement period and 
        before any adjustment to provide for a survivor annuity; by
            ``(ii) the working percentage.
    ``(2) After computing a composite retirement annuity under 
paragraph (1), the Director shall adjust the amount of the annuity for 
any applicable reductions for a survivor annuity.
    ``(3) A composite retirement annuity shall be adjusted in 
accordance with section 8462, except that subsection (c)(1) of that 
section shall not apply.
    ``(4) In computing a composite retirement annuity under paragraph 
(1)(B)(i), the unused sick leave to the credit of a phased retiree at 
the time of entry into full retirement status shall be adjusted by 
dividing the number of hours of unused sick leave by the working 
percentage.
    ``(g)(1) Under such procedures and conditions as the Director may 
provide, and with the concurrence of the head of employing agency, a 
phased retiree may elect to terminate phased retirement status and 
return to a full-time work schedule.
    ``(2) Upon entering a full-time work schedule based on an election 
under paragraph (1), the phased retirement annuity of a phased retiree 
shall terminate.
    ``(3) After termination of the phased retirement annuity under this 
subsection, the individual's rights under this chapter shall be 
determined based on the law in effect at the time of any subsequent 
separation from service. For purposes of this chapter, at the time of 
the subsequent separation from service, the phased retirement period 
shall be treated as if it had been a period of part-time employment 
with the work schedule described in subsection (b)(2).
    ``(h) For purposes of subchapter IV--
        ``(1) the death of a phased retiree shall be deemed to be the 
    death in service of an employee;
        ``(2) except for purposes of section 8442(b)(1)(A)(i), the 
    phased retirement period shall be deemed to have been a period of 
    part-time employment with the work schedule described in subsection 
    (b)(2) of this section; and
        ``(3) for purposes of section 8442(b)(1)(A)(i), the phased 
    retiree shall be deemed to have been at the full-time rate of pay 
    for the position occupied.
    ``(i) Employment of a phased retiree shall not be deemed to be 
part-time career employment, as defined in section 3401(2).
    ``(j) A phased retiree is not eligible to receive an annuity 
supplement under section 8421.
    ``(k) For purposes of subchapter III, a phased retiree shall be 
deemed to be an employee.
    ``(l) For purposes of section 8445(d), retirement shall be deemed 
to occur on the date on which a phased retiree enters into full 
retirement status.
    ``(m) A phased retiree is not eligible to apply for an annuity 
under subchapter V.
    ``(n) A phased retiree is not subject to section 8468.
    ``(o) For purposes of chapter 87, a phased retiree shall be deemed 
to be receiving basic pay at the rate of a full-time employee in the 
position to which the phased retiree is appointed.''; and
        (2) in the table of sections by inserting after the item 
    relating to section 8412 the following:

``8412a. Phased retirement.''.

    (c) Exemption From 10-percent Additional Tax on Early 
Distributions.--Section 72(t)(2)(A) of the Internal Revenue Code of 
1986 is amended by striking ``or'' at the end of clause (vi), by 
striking the period at the end of clause (vii) and inserting ``, or'', 
and by adding at the end the following:
                ``(viii) payments under a phased retirement annuity 
            under section 8366a(a)(5) or 8412a(a)(5) of title 5, United 
            States Code, or a composite retirement annuity under 
            section 8366a(a)(1) or 8412a(a)(1) of such title.''.
    (d) Effective Date.--The amendments made by subsections (a) and (b) 
shall take effect on the effective date of the implementing regulations 
issued by the Director of the Office of Personnel Management.
SEC. 100122. ROLL-YOUR-OWN CIGARETTE MACHINES.
    (a) In General.--Subsection (d) of section 5702 of the Internal 
Revenue Code of 1986 is amended by adding at the end the following new 
flush sentence:
``Such term shall include any person who for commercial purposes makes 
available for consumer use (including such consumer's personal 
consumption or use under paragraph (1)) a machine capable of making 
cigarettes, cigars, or other tobacco products. A person making such a 
machine available for consumer use shall be deemed the person making 
the removal as defined by subsection (j) with respect to any tobacco 
products manufactured by such machine. A person who sells a machine 
directly to a consumer at retail for a consumer's personal home use is 
not making a machine available for commercial purposes if such machine 
is not used at a retail premises and is designed to produce tobacco 
products only in personal use quantities.''.
    (b) Effective Date.--The amendment made by this section shall apply 
to articles removed after the date of the enactment of this Act.
SEC. 100123. CHANGE IN FMAP INCREASE FOR DISASTER RECOVERY STATES.
    (a) Accelerated Date for Prior Amendments.--Section 3204(b) of the 
Middle Class Tax Relief and Job Creation Act of 2012 (Public Law 112-
96) is amended by striking ``October 1, 2013'' and inserting ``October 
1, 2012''.
    (b) Application of 50 Percent in Fiscal Year 2013.--Subparagraph 
(B) of section 1905(aa)(1) of the Social Security Act (42 U.S.C. 
1396d(aa)(1)), as amended by section 3204(a) of Public Law 112-96, is 
amended by striking ``25 percent'' and inserting ``25 percent (or 50 
percent in the case of fiscal year 2013)''.
    (c) Effective Date.--The amendments made by this section shall be 
effective as if included in the enactment of section 3204 of Public Law 
112-96.
SEC. 100124. REPEALS.
    (a) Transportation Requirements for Certain Exports Sponsored by 
the Secretary of Agriculture.--
        (1) Repeal.--Subsections (a) and (c) of section 55314 of title 
    46, United States Code, are repealed.
        (2) Activities described.--Subsection (b) of section 55314 of 
    title 46, United States Code, is amended by striking ``This section 
    applies to export activity'' and inserting ``The activities 
    specified in this subsection are export activities''.
    (b) Financing the Transportation of Agricultural Commodities.--
Subsection (a) of section 55316 of title 46, United States Code, is 
repealed.
    (c) Conforming Amendments.--
        (1) Minimum tonnage.--Section 55315(b) of title 46, United 
    States Code, is amended by striking ``subject to section 55314'' 
    and inserting ``specified in section 55314(b)''.
        (2) Issuance and purchase of obligations and notification to 
    congress of insufficiency.--Section 55316 of title 46, United 
    States Code, is amended--
            (A) in subsection (c)(1) by striking ``under subsections 
        (a) and (b)'' and inserting ``under subsection (b)''; and
            (B) in subsection (f) by striking ``subsections (a) and (b) 
        and section 55314(a) of this title'' and inserting ``subsection 
        (b)''.
        (3) Termination of subchapter.--Section 55317 of title 46, 
    United States Code, is amended by striking ``sections 55314(a) and 
    55316(a) and (b)'' and inserting ``section 55316(b)''.
SEC. 100125. LIMITATION ON PAYMENTS FROM THE ABANDONED MINE RECLAMATION 
FUND.
    Section 411(h) of the Surface Mining Control and Reclamation Act of 
1977 (30 U.S.C. 1240a(h)) is amended by adding at the end the 
following:
        ``(5) Limitation on annual payments.--Notwithstanding any other 
    provision of this subsection, the total annual payment to a 
    certified State or Indian tribe under this subsection shall be not 
    more than $15,000,000.''.

                       TITLE II--FLOOD INSURANCE
          Subtitle A--Flood Insurance Reform and Modernization

SEC. 100201. SHORT TITLE.
    This subtitle may be cited as the ``Biggert-Waters Flood Insurance 
Reform Act of 2012''.
SEC. 100202. DEFINITIONS.
    (a) In General.--In this subtitle, the following definitions shall 
apply:
        (1) 100-year floodplain.--The term ``100-year floodplain'' 
    means that area which is subject to inundation from a flood having 
    a 1-percent chance of being equaled or exceeded in any given year.
        (2) 500-year floodplain.--The term ``500-year floodplain'' 
    means that area which is subject to inundation from a flood having 
    a 0.2-percent chance of being equaled or exceeded in any given 
    year.
        (3) Administrator.--The term ``Administrator'' means the 
    Administrator of the Federal Emergency Management Agency.
        (4) National flood insurance program.--The term ``National 
    Flood Insurance Program'' means the program established under the 
    National Flood Insurance Act of 1968 (42 U.S.C. 4011 et seq.).
        (5) Write your own.--The term ``Write Your Own'' means the 
    cooperative undertaking between the insurance industry and the 
    Federal Insurance Administration which allows participating 
    property and casualty insurance companies to write and service 
    standard flood insurance policies.
    (b) Common Terminology.--Except as otherwise provided in this 
subtitle, any terms used in this subtitle shall have the meaning given 
to such terms under section 1370 of the National Flood Insurance Act of 
1968 (42 U.S.C. 4121).
SEC. 100203. EXTENSION OF NATIONAL FLOOD INSURANCE PROGRAM.
    (a) Financing.--Section 1309(a) of the National Flood Insurance Act 
of 1968 (42 U.S.C. 4016(a)) is amended by striking ``July 31, 2012'' 
and inserting ``September 30, 2017''.
    (b) Program Expiration.--Section 1319 of the National Flood 
Insurance Act of 1968 (42 U.S.C. 4026) is amended by striking ``July 
31, 2012'' and inserting ``September 30, 2017''.
SEC. 100204. AVAILABILITY OF INSURANCE FOR MULTIFAMILY PROPERTIES.
    Section 1305 of the National Flood Insurance Act of 1968 (42 U.S.C. 
4012) is amended--
        (1) in subsection (b)(2)(A), by inserting ``not described in 
    subsection (a) or (d)'' after ``properties''; and
        (2) by adding at the end the following:
    ``(d) Availability of Insurance for Multifamily Properties.--
        ``(1) In general.--The Administrator shall make flood insurance 
    available to cover residential properties of 5 or more residences. 
    Notwithstanding any other provision of law, the maximum coverage 
    amount that the Administrator may make available under this 
    subsection to such residential properties shall be equal to the 
    coverage amount made available to commercial properties.
        ``(2) Rule of construction.--Nothing in this subsection shall 
    be construed to limit the ability of individuals residing in 
    residential properties of 5 or more residences to obtain insurance 
    for the contents and personal articles located in such 
    residences.''.
SEC. 100205. REFORM OF PREMIUM RATE STRUCTURE.
    (a) To Exclude Certain Properties From Receiving Subsidized Premium 
Rates.--
        (1) In general.--Section 1307 of the National Flood Insurance 
    Act of 1968 (42 U.S.C. 4014) is amended--
            (A) in subsection (a)(2), by striking ``for any residential 
        property which is not the primary residence of an individual; 
        and'' and inserting the following: ``for--
            ``(A) any residential property which is not the primary 
        residence of an individual;
            ``(B) any severe repetitive loss property;
            ``(C) any property that has incurred flood-related damage 
        in which the cumulative amounts of payments under this title 
        equaled or exceeded the fair market value of such property;
            ``(D) any business property; or
            ``(E) any property which on or after the date of enactment 
        of the Biggert-Waters Flood Insurance Reform Act of 2012 has 
        experienced or sustained--
                ``(i) substantial damage exceeding 50 percent of the 
            fair market value of such property; or
                ``(ii) substantial improvement exceeding 30 percent of 
            the fair market value of such property; and''; and
            (B) by adding at the end the following:
    ``(g) No Extension of Subsidy to New Policies or Lapsed Policies.--
The Administrator shall not provide flood insurance to prospective 
insureds at rates less than those estimated under subsection (a)(1), as 
required by paragraph (2) of that subsection, for--
        ``(1) any property not insured by the flood insurance program 
    as of the date of enactment of the Biggert-Waters Flood Insurance 
    Reform Act of 2012;
        ``(2) any property purchased after the date of enactment of the 
    Biggert-Waters Flood Insurance Reform Act of 2012;
        ``(3) any policy under the flood insurance program that has 
    lapsed in coverage, as a result of the deliberate choice of the 
    holder of such policy; or
        ``(4) any prospective insured who refuses to accept any offer 
    for mitigation assistance by the Administrator (including an offer 
    to relocate), including an offer of mitigation assistance--
            ``(A) following a major disaster, as defined in section 102 
        of the Robert T. Stafford Disaster Relief and Emergency 
        Assistance Act (42 U.S.C. 5122); or
            ``(B) in connection with--
                ``(i) a repetitive loss property; or
                ``(ii) a severe repetitive loss property.
    ``(h) Definition.--In this section, the term `severe repetitive 
loss property' has the following meaning:
        ``(1) Single-family properties.--In the case of a property 
    consisting of 1 to 4 residences, such term means a property that--
            ``(A) is covered under a contract for flood insurance made 
        available under this title; and
            ``(B) has incurred flood-related damage--
                ``(i) for which 4 or more separate claims payments have 
            been made under flood insurance coverage under this 
            chapter, with the amount of each such claim exceeding 
            $5,000, and with the cumulative amount of such claims 
            payments exceeding $20,000; or
                ``(ii) for which at least 2 separate claims payments 
            have been made under such coverage, with the cumulative 
            amount of such claims exceeding the value of the property.
        ``(2) Multifamily properties.--In the case of a property 
    consisting of 5 or more residences, such term shall have such 
    meaning as the Director shall by regulation provide.''.
        (2) Effective date.--The amendments made by paragraph (1) shall 
    become effective 90 days after the date of enactment of this Act.
    (b) Estimates of Premium Rates.--Section 1307(a)(1)(B) of the 
National Flood Insurance Act of 1968 (42 U.S.C. 4014(a)(1)(B)) is 
amended--
        (1) in clause (ii), by striking ``and'' at the end;
        (2) in clause (iii), by adding ``and'' at the end; and
        (3) by inserting after clause (iii) the following:
                ``(iv) all costs, as prescribed by principles and 
            standards of practice in ratemaking adopted by the American 
            Academy of Actuaries and the Casualty Actuarial Society, 
            including--

                    ``(I) an estimate of the expected value of future 
                costs,
                    ``(II) all costs associated with the transfer of 
                risk, and
                    ``(III) the costs associated with an individual 
                risk transfer with respect to risk classes, as defined 
                by the Administrator,''.

    (c) Increase in Annual Limitation on Premium Increases.--Section 
1308(e) of the National Flood Insurance Act of 1968 (42 U.S.C. 4015(e)) 
is amended--
        (1) in the matter preceding paragraph (1)--
            (A) by striking ``or (3)''; and
            (B) by inserting ``any properties'' after ``under this 
        title for'';
        (2) in paragraph (1)--
            (A) by striking ``any properties within any single'' and 
        inserting ``within any single''; and
            (B) by striking ``10 percent'' and inserting ``20 
        percent''; and
        (3) by striking paragraph (2) and inserting the following:
        ``(2) described in subparagraphs (A) through (E) of section 
    1307(a)(2) shall be increased by 25 percent each year, until the 
    average risk premium rate for such properties is equal to the 
    average of the risk premium rates for properties described under 
    paragraph (1).''.
    (d) Premium Payment Flexibility for New and Existing 
Policyholders.--Section 1308 of the National Flood Insurance Act of 
1968 (42 U.S.C. 4015) is amended by adding at the end the following:
    ``(g) Frequency of Premium Collection.--With respect to any 
chargeable premium rate prescribed under this section, the 
Administrator shall provide policyholders that are not required to 
escrow their premiums and fees for flood insurance as set forth under 
section 102 of the Flood Disaster Protection Act of 1973 (42 U.S.C. 
4012a) with the option of paying their premiums either annually or in 
more frequent installments.''.
    (e) Rule of Construction.--Nothing in this section or the 
amendments made by this section may be construed to affect the 
requirement under section 2(c) of the Act entitled ``An Act to extend 
the National Flood Insurance Program, and for other purposes'', 
approved May 31, 2012 (Public Law 112-123), that the first increase in 
chargeable risk premium rates for residential properties which are not 
the primary residence of an individual take effect on July 1, 2012.
SEC. 100207. PREMIUM ADJUSTMENT.
    Section 1308 of the National Flood Insurance Act of 1968 (42 U.S.C. 
4015), as amended by section 100205, is further amended by adding at 
the end the following:
    ``(h) Premium Adjustment To Reflect Current Risk of Flood.--
Notwithstanding subsection (f), upon the effective date of any revised 
or updated flood insurance rate map under this Act, the Flood Disaster 
Protection Act of 1973, or the Biggert-Waters Flood Insurance Reform 
Act of 2012, any property located in an area that is participating in 
the national flood insurance program shall have the risk premium rate 
charged for flood insurance on such property adjusted to accurately 
reflect the current risk of flood to such property, subject to any 
other provision of this Act. Any increase in the risk premium rate 
charged for flood insurance on any property that is covered by a flood 
insurance policy on the effective date of such an update that is a 
result of such updating shall be phased in over a 5-year period, at the 
rate of 20 percent for each year following such effective date. In the 
case of any area that was not previously designated as an area having 
special flood hazards and that, pursuant to any issuance, revision, 
updating, or other change in a flood insurance map, becomes designated 
as such an area, the chargeable risk premium rate for flood insurance 
under this title that is purchased on or after the date of enactment of 
this subsection with respect to any property that is located within 
such area shall be phased in over a 5-year period, at the rate of 20 
percent for each year following the effective date of such issuance, 
revision, updating, or change.''.
SEC. 100208. ENFORCEMENT.
    Section 102(f)(5) of the Flood Disaster Protection Act of 1973 (42 
U.S.C. 4012a(f)(5)) is amended--
        (1) in the first sentence, by striking ``$350'' and inserting 
    ``$2,000''; and
        (2) by striking the second sentence.
SEC. 100209. ESCROW OF FLOOD INSURANCE PAYMENTS.
    (a) In General.--Paragraph (1) of section 102(d) of the Flood 
Disaster Protection Act of 1973 (42 U.S.C. 4012a(d)) is amended to read 
as follows:
        ``(1) Regulated lending institutions.--
            ``(A) Federal entities responsible for lending 
        regulations.--Each Federal entity for lending regulation (after 
        consultation and coordination with the Federal Financial 
        Institutions Examination Council) shall, by regulation, direct 
        that all premiums and fees for flood insurance under the 
        National Flood Insurance Act of 1968, for improved real estate 
        or a mobile home, shall be paid to the regulated lending 
        institution or servicer for any loan secured by the improved 
        real estate or mobile home, with the same frequency as payments 
        on the loan are made, for the duration of the loan. Except as 
        provided in subparagraph (C), upon receipt of any premiums or 
        fees, the regulated lending institution or servicer shall 
        deposit such premiums and fees in an escrow account on behalf 
        of the borrower. Upon receipt of a notice from the 
        Administrator or the provider of the flood insurance that 
        insurance premiums are due, the premiums deposited in the 
        escrow account shall be paid to the provider of the flood 
        insurance.
            ``(B) Limitation.--Except as may be required under 
        applicable State law, a Federal entity for lending regulation 
        may not direct or require a regulated lending institution to 
        deposit premiums or fees for flood insurance under the National 
        Flood Insurance Act of 1968 in an escrow account on behalf of a 
        borrower under subparagraph (A) or (B), if--
                ``(i) the regulated lending institution has total 
            assets of less than $1,000,000,000; and
                ``(ii) on or before the date of enactment of the 
            Biggert-Waters Flood Insurance Reform Act of 2012, the 
            regulated lending institution--

                    ``(I) in the case of a loan secured by residential 
                improved real estate or a mobile home, was not required 
                under Federal or State law to deposit taxes, insurance 
                premiums, fees, or any other charges in an escrow 
                account for the entire term of the loan; and
                    ``(II) did not have a policy of consistently and 
                uniformly requiring the deposit of taxes, insurance 
                premiums, fees, or any other charges in an escrow 
                account for loans secured by residential improved real 
                estate or a mobile home.''.

    (b) Applicability.--The amendment made by subsection (a) shall 
apply to any mortgage outstanding or entered into on or after the 
expiration of the 2-year period beginning on the date of enactment of 
this Act.
SEC. 100210. MINIMUM DEDUCTIBLES FOR CLAIMS UNDER THE NATIONAL FLOOD 
INSURANCE PROGRAM.
    Section 1312 of the National Flood Insurance Act of 1968 (42 U.S.C. 
4019) is amended--
        (1) by striking ``The Director is'' and inserting the 
    following:
    ``(a) In General.--The Administrator is''; and
        (2) by adding at the end the following:
    ``(b) Minimum Annual Deductible.--
        ``(1) Pre-firm properties.--For any structure which is covered 
    by flood insurance under this title, and on which construction or 
    substantial improvement occurred on or before December 31, 1974, or 
    before the effective date of an initial flood insurance rate map 
    published by the Administrator under section 1360 for the area in 
    which such structure is located, the minimum annual deductible for 
    damage to such structure shall be--
            ``(A) $1,500, if the flood insurance coverage for such 
        structure covers loss of, or physical damage to, such structure 
        in an amount equal to or less than $100,000; and
            ``(B) $2,000, if the flood insurance coverage for such 
        structure covers loss of, or physical damage to, such structure 
        in an amount greater than $100,000.
        ``(2) Post-firm properties.--For any structure which is covered 
    by flood insurance under this title, and on which construction or 
    substantial improvement occurred after December 31, 1974, or after 
    the effective date of an initial flood insurance rate map published 
    by the Administrator under section 1360 for the area in which such 
    structure is located, the minimum annual deductible for damage to 
    such structure shall be--
            ``(A) $1,000, if the flood insurance coverage for such 
        structure covers loss of, or physical damage to, such structure 
        in an amount equal to or less than $100,000; and
            ``(B) $1,250, if the flood insurance coverage for such 
        structure covers loss of, or physical damage to, such structure 
        in an amount greater than $100,000.''.
SEC. 100211. CONSIDERATIONS IN DETERMINING CHARGEABLE PREMIUM RATES.
    Section 1308 of the National Flood Insurance Act of 1968 (42 U.S.C. 
4015), as amended by this Act, is amended--
        (1) in subsection (a), by striking ``, after consultation 
    with'' and all that follows through ``by regulation'' and inserting 
    ``prescribe, after providing notice'';
        (2) in subsection (b)--
            (A) in paragraph (1), by striking the period at the end and 
        inserting a semicolon;
            (B) in paragraph (2), by striking the comma at the end and 
        inserting a semicolon;
            (C) in paragraph (3), by striking ``, and'' and inserting a 
        semicolon;
            (D) in paragraph (4), by striking the period at the end and 
        inserting ``; and''; and
            (E) by adding at the end the following:
        ``(5) adequate, on the basis of accepted actuarial principles, 
    to cover the average historical loss year obligations incurred by 
    the National Flood Insurance Fund.''; and
        (3) by adding at the end the following:
    ``(i) Rule of Construction.--For purposes of this section, the 
calculation of an `average historical loss year'--
        ``(1) includes catastrophic loss years; and
        ``(2) shall be computed in accordance with generally accepted 
    actuarial principles.''.
SEC. 100212. RESERVE FUND.
    Chapter I of the National Flood Insurance Act of 1968 (42 U.S.C. 
4011 et seq.) is amended by inserting after section 1310 (42 U.S.C. 
4017) the following:
``SEC. 1310A. RESERVE FUND.
    ``(a) Establishment of Reserve Fund.--In carrying out the flood 
insurance program authorized by this chapter, the Administrator shall 
establish in the Treasury of the United States a National Flood 
Insurance Reserve Fund (in this section referred to as the `Reserve 
Fund') which shall--
        ``(1) be an account separate from any other accounts or funds 
    available to the Administrator; and
        ``(2) be available for meeting the expected future obligations 
    of the flood insurance program, including--
            ``(A) the payment of claims;
            ``(B) claims adjustment expenses; and
            ``(C) the repayment of amounts outstanding under any note 
        or other obligation issued by the Administrator under section 
        1309(a).
    ``(b) Reserve Ratio.--Subject to the phase-in requirements under 
subsection (d), the Reserve Fund shall maintain a balance equal to--
        ``(1) 1 percent of the sum of the total potential loss exposure 
    of all outstanding flood insurance policies in force in the prior 
    fiscal year; or
        ``(2) such higher percentage as the Administrator determines to 
    be appropriate, taking into consideration any circumstance that may 
    raise a significant risk of substantial future losses to the 
    Reserve Fund.
    ``(c) Maintenance of Reserve Ratio.--
        ``(1) In general.--The Administrator shall have the authority 
    to establish, increase, or decrease the amount of aggregate annual 
    insurance premiums to be collected for any fiscal year necessary--
            ``(A) to maintain the reserve ratio required under 
        subsection (b); and
            ``(B) to achieve such reserve ratio, if the actual balance 
        of such reserve is below the amount required under subsection 
        (b).
        ``(2) Considerations.--In exercising the authority granted 
    under paragraph (1), the Administrator shall consider--
            ``(A) the expected operating expenses of the Reserve Fund;
            ``(B) the insurance loss expenditures under the flood 
        insurance program;
            ``(C) any investment income generated under the flood 
        insurance program; and
            ``(D) any other factor that the Administrator determines 
        appropriate.
        ``(3) Limitations.--
            ``(A) Rates.--In exercising the authority granted under 
        paragraph (1), the Administrator shall be subject to all other 
        provisions of this Act, including any provisions relating to 
        chargeable premium rates or annual increases of such rates.
            ``(B) Use of additional annual insurance premiums.--
        Notwithstanding any other provision of law or any agreement 
        entered into by the Administrator, the Administrator shall 
        ensure that all amounts attributable to the establishment or 
        increase of annual insurance premiums under paragraph (1) are 
        transferred to the Administrator for deposit into the Reserve 
        Fund, to be available for meeting the expected future 
        obligations of the flood insurance program as described in 
        subsection (a)(2).
    ``(d) Phase-in Requirements.--The phase-in requirements under this 
subsection are as follows:
        ``(1) In general.--Beginning in fiscal year 2013 and not ending 
    until the fiscal year in which the ratio required under subsection 
    (b) is achieved, in each such fiscal year the Administrator shall 
    place in the Reserve Fund an amount equal to not less than 7.5 
    percent of the reserve ratio required under subsection (b).
        ``(2) Amount satisfied.--As soon as the ratio required under 
    subsection (b) is achieved, and except as provided in paragraph 
    (3), the Administrator shall not be required to set aside any 
    amounts for the Reserve Fund.
        ``(3) Exception.--If at any time after the ratio required under 
    subsection (b) is achieved, the Reserve Fund falls below the 
    required ratio under subsection (b), the Administrator shall place 
    in the Reserve Fund for that fiscal year an amount equal to not 
    less than 7.5 percent of the reserve ratio required under 
    subsection (b).
    ``(e) Limitation on Reserve Ratio.--In any given fiscal year, if 
the Administrator determines that the reserve ratio required under 
subsection (b) cannot be achieved, the Administrator shall submit a 
report to Congress that--
        ``(1) describes and details the specific concerns of the 
    Administrator regarding the consequences of the reserve ratio not 
    being achieved;
        ``(2) demonstrates how such consequences would harm the long-
    term financial soundness of the flood insurance program; and
        ``(3) indicates the maximum attainable reserve ratio for that 
    particular fiscal year.
    ``(f) Investment.--The Secretary of the Treasury shall invest such 
amounts of the Reserve Fund as the Secretary determines advisable in 
obligations issued or guaranteed by the United States.''.
SEC. 100213. REPAYMENT PLAN FOR BORROWING AUTHORITY.
    (a) Repayment Plan Required.--Section 1309 of the National Flood 
Insurance Act of 1968 (42 U.S.C. 4016) is amended by adding at the end 
the following:
    ``(c) Upon the exercise of the authority established under 
subsection (a), the Administrator shall transmit a schedule for 
repayment of such amounts to--
        ``(1) the Secretary of the Treasury;
        ``(2) the Committee on Banking, Housing, and Urban Affairs of 
    the Senate; and
        ``(3) the Committee on Financial Services of the House of 
    Representatives.
    ``(d) In connection with any funds borrowed by the Administrator 
under the authority established in subsection (a), the Administrator, 
beginning 6 months after the date on which such funds are borrowed, and 
continuing every 6 months thereafter until such borrowed funds are 
fully repaid, shall submit a report on the progress of such repayment 
to--
        ``(1) the Secretary of the Treasury;
        ``(2) the Committee on Banking, Housing, and Urban Affairs of 
    the Senate; and
        ``(3) the Committee on Financial Services of the House of 
    Representatives.''.
    (b) Report.--Not later than the expiration of the 6-month period 
beginning on the date of enactment of this Act, the Administrator shall 
submit a report to the Congress setting forth options for repaying 
within 10 years all amounts, including any amounts previously borrowed 
but not yet repaid, owed pursuant to clause (2) of subsection (a) of 
section 1309 of the National Flood Insurance Act of 1968 (42 U.S.C. 
4016(a)(2)).
SEC. 100214. PAYMENT OF CONDOMINIUM CLAIMS.
    Section 1312 of the National Flood Insurance Act of 1968 (42 U.S.C. 
4019), as amended by section 100210, is amended by adding at the end 
the following:
    ``(c) Payment of Claims to Condominium Owners.--The Administrator 
may not deny payment for any damage to or loss of property which is 
covered by flood insurance to condominium owners who purchased such 
flood insurance separate and apart from the flood insurance purchased 
by the condominium association in which such owner is a member, based 
solely, or in any part, on the flood insurance coverage of the 
condominium association or others on the overall property owned by the 
condominium association.''.
SEC. 100215. TECHNICAL MAPPING ADVISORY COUNCIL.
    (a) Establishment.--There is established a council to be known as 
the Technical Mapping Advisory Council (in this section referred to as 
the ``Council'').
    (b) Membership.--
        (1) In general.--The Council shall consist of--
            (A) the Administrator (or the designee thereof);
            (B) the Secretary of the Interior (or the designee 
        thereof);
            (C) the Secretary of Agriculture (or the designee thereof);
            (D) the Under Secretary of Commerce for Oceans and 
        Atmosphere (or the designee thereof); and
            (E) 16 additional members appointed by the Administrator or 
        the designee of the Administrator, who shall be--
                (i) a member of a recognized professional surveying 
            association or organization;
                (ii) a member of a recognized professional mapping 
            association or organization;
                (iii) a member of a recognized professional engineering 
            association or organization;
                (iv) a member of a recognized professional association 
            or organization representing flood hazard determination 
            firms;
                (v) a representative of the United States Geological 
            Survey;
                (vi) a representative of a recognized professional 
            association or organization representing State geographic 
            information;
                (vii) a representative of State national flood 
            insurance coordination offices;
                (viii) a representative of the Corps of Engineers;
                (ix) a member of a recognized regional flood and storm 
            water management organization;
                (x) 2 representatives of different State government 
            agencies that have entered into cooperating technical 
            partnerships with the Administrator and have demonstrated 
            the capability to produce flood insurance rate maps;
                (xi) 2 representatives of different local government 
            agencies that have entered into cooperating technical 
            partnerships with the Administrator and have demonstrated 
            the capability to produce flood insurance maps;
                (xii) a member of a recognized floodplain management 
            association or organization;
                (xiii) a member of a recognized risk management 
            association or organization; and
                (xiv) a State mitigation officer.
        (2) Qualifications.--Members of the Council shall be appointed 
    based on their demonstrated knowledge and competence regarding 
    surveying, cartography, remote sensing, geographic information 
    systems, or the technical aspects of preparing and using flood 
    insurance rate maps. In appointing members under paragraph (1)(E), 
    the Administrator shall, to the maximum extent practicable, ensure 
    that the membership of the Council has a balance of Federal, State, 
    local, tribal, and private members, and includes geographic 
    diversity, including representation from areas with coastline on 
    the Gulf of Mexico and other States containing areas identified by 
    the Administrator as at high risk for flooding or as areas having 
    special flood hazards.
    (c) Duties.--The Council shall--
        (1) recommend to the Administrator how to improve in a cost-
    effective manner the--
            (A) accuracy, general quality, ease of use, and 
        distribution and dissemination of flood insurance rate maps and 
        risk data; and
            (B) performance metrics and milestones required to 
        effectively and efficiently map flood risk areas in the United 
        States;
        (2) recommend to the Administrator mapping standards and 
    guidelines for--
            (A) flood insurance rate maps; and
            (B) data accuracy, data quality, data currency, and data 
        eligibility;
        (3) recommend to the Administrator how to maintain, on an 
    ongoing basis, flood insurance rate maps and flood risk 
    identification;
        (4) recommend procedures for delegating mapping activities to 
    State and local mapping partners;
        (5) recommend to the Administrator and other Federal agencies 
    participating in the Council--
            (A) methods for improving interagency and intergovernmental 
        coordination on flood mapping and flood risk determination; and
            (B) a funding strategy to leverage and coordinate budgets 
        and expenditures across Federal agencies; and
        (6) submit an annual report to the Administrator that 
    contains--
            (A) a description of the activities of the Council;
            (B) an evaluation of the status and performance of flood 
        insurance rate maps and mapping activities to revise and update 
        flood insurance rate maps, as required under section 100216; 
        and
            (C) a summary of recommendations made by the Council to the 
        Administrator.
    (d) Future Conditions Risk Assessment and Modeling Report.--
        (1) In general.--The Council shall consult with scientists and 
    technical experts, other Federal agencies, States, and local 
    communities to--
            (A) develop recommendations on how to--
                (i) ensure that flood insurance rate maps incorporate 
            the best available climate science to assess flood risks; 
            and
                (ii) ensure that the Federal Emergency Management 
            Agency uses the best available methodology to consider the 
            impact of--

                    (I) the rise in the sea level; and
                    (II) future development on flood risk; and

            (B) not later than 1 year after the date of enactment of 
        this Act, prepare written recommendations in a future 
        conditions risk assessment and modeling report and to submit 
        such recommendations to the Administrator.
        (2) Responsibility of the administrator.--The Administrator, as 
    part of the ongoing program to review and update National Flood 
    Insurance Program rate maps under section 100216, shall incorporate 
    any future risk assessment submitted under paragraph (1)(B) in any 
    such revision or update.
    (e) Chairperson.--The members of the Council shall elect 1 member 
to serve as the chairperson of the Council (in this section referred to 
as the ``Chairperson'').
    (f) Coordination.--To ensure that the Council's recommendations are 
consistent, to the maximum extent practicable, with national digital 
spatial data collection and management standards, the Chairperson shall 
consult with the Chairperson of the Federal Geographic Data Committee 
(established pursuant to Office of Management and Budget Circular A-
16).
    (g) Compensation.--Members of the Council shall receive no 
additional compensation by reason of their service on the Council.
    (h) Meetings and Actions.--
        (1) In general.--The Council shall meet not less frequently 
    than twice each year at the request of the Chairperson or a 
    majority of its members, and may take action by a vote of the 
    majority of the members.
        (2) Initial meeting.--The Administrator, or a person designated 
    by the Administrator, shall request and coordinate the initial 
    meeting of the Council.
    (i) Officers.--The Chairperson may appoint officers to assist in 
carrying out the duties of the Council under subsection (c).
    (j) Staff.--
        (1) Staff of fema.--Upon the request of the Chairperson, the 
    Administrator may detail, on a nonreimbursable basis, personnel of 
    the Federal Emergency Management Agency to assist the Council in 
    carrying out its duties.
        (2) Staff of other federal agencies.--Upon request of the 
    Chairperson, any other Federal agency that is a member of the 
    Council may detail, on a nonreimbursable basis, personnel to assist 
    the Council in carrying out its duties.
    (k) Powers.--In carrying out this section, the Council may hold 
hearings, receive evidence and assistance, provide information, and 
conduct research, as it considers appropriate.
    (l) Report to Congress.--The Administrator, on an annual basis, 
shall report to the Committee on Banking, Housing, and Urban Affairs of 
the Senate, the Committee on Financial Services of the House of 
Representatives, and the Office of Management and Budget on the--
        (1) recommendations made by the Council;
        (2) actions taken by the Federal Emergency Management Agency to 
    address such recommendations to improve flood insurance rate maps 
    and flood risk data; and
        (3) any recommendations made by the Council that have been 
    deferred or not acted upon, together with an explanatory statement.
SEC. 100216. NATIONAL FLOOD MAPPING PROGRAM.
    (a) Reviewing, Updating, and Maintaining Maps.--The Administrator, 
in coordination with the Technical Mapping Advisory Council established 
under section 100215, shall establish an ongoing program under which 
the Administrator shall review, update, and maintain National Flood 
Insurance Program rate maps in accordance with this section.
    (b) Mapping.--
        (1) In general.--In carrying out the program established under 
    subsection (a), the Administrator shall--
            (A) identify, review, update, maintain, and publish 
        National Flood Insurance Program rate maps with respect to--
                (i) all populated areas and areas of possible 
            population growth located within the 100-year floodplain;
                (ii) all populated areas and areas of possible 
            population growth located within the 500-year floodplain;
                (iii) areas of residual risk, including areas that are 
            protected by levees, dams, and other flood control 
            structures;
                (iv) areas that could be inundated as a result of the 
            failure of a levee, dam, or other flood control structure; 
            and
                (v) the level of protection provided by flood control 
            structures;
            (B) establish or update flood-risk zone data in all such 
        areas, and make estimates with respect to the rates of probable 
        flood caused loss for the various flood risk zones for each 
        such area; and
            (C) use, in identifying, reviewing, updating, maintaining, 
        or publishing any National Flood Insurance Program rate map 
        required under this section or under the National Flood 
        Insurance Act of 1968 (42 U.S.C. 4011 et seq.), the most 
        accurate topography and elevation data available.
        (2) Mapping elements.--Each map updated under this section 
    shall--
            (A) assess the accuracy of current ground elevation data 
        used for hydrologic and hydraulic modeling of flooding sources 
        and mapping of the flood hazard and wherever necessary acquire 
        new ground elevation data utilizing the most up-to-date 
        geospatial technologies in accordance with guidelines and 
        specifications of the Federal Emergency Management Agency; and
            (B) develop National Flood Insurance Program flood data on 
        a watershed basis--
                (i) to provide the most technically effective and 
            efficient studies and hydrologic and hydraulic modeling; 
            and
                (ii) to eliminate, to the maximum extent possible, 
            discrepancies in base flood elevations between adjacent 
            political subdivisions.
        (3) Other inclusions.--In updating maps under this section, the 
    Administrator shall include--
            (A) any relevant information on coastal inundation from--
                (i) an applicable inundation map of the Corps of 
            Engineers; and
                (ii) data of the National Oceanic and Atmospheric 
            Administration relating to storm surge modeling;
            (B) any relevant information of the United States 
        Geological Survey on stream flows, watershed characteristics, 
        and topography that is useful in the identification of flood 
        hazard areas, as determined by the Administrator;
            (C) any relevant information on land subsidence, coastal 
        erosion areas, changing lake levels, and other flood-related 
        hazards;
            (D) any relevant information or data of the National 
        Oceanic and Atmospheric Administration and the United States 
        Geological Survey relating to the best available science 
        regarding future changes in sea levels, precipitation, and 
        intensity of hurricanes; and
            (E) any other relevant information as may be recommended by 
        the Technical Mapping Advisory Committee.
    (c) Standards.--In updating and maintaining maps under this 
section, the Administrator shall--
        (1) establish standards to--
            (A) ensure that maps are adequate for--
                (i) flood risk determinations; and
                (ii) use by State and local governments in managing 
            development to reduce the risk of flooding; and
            (B) facilitate identification and use of consistent methods 
        of data collection and analysis by the Administrator, in 
        conjunction with State and local governments, in developing 
        maps for communities with similar flood risks, as determined by 
        the Administrator; and
        (2) publish maps in a format that is--
            (A) digital geospatial data compliant;
            (B) compliant with the open publishing and data exchange 
        standards established by the Open Geospatial Consortium; and
            (C) aligned with official data defined by the National 
        Geodetic Survey.
    (d) Communication and Outreach.--
        (1) In general.--The Administrator shall--
            (A) work to enhance communication and outreach to States, 
        local communities, and property owners about the effects--
                (i) of any potential changes to National Flood 
            Insurance Program rate maps that may result from the 
            mapping program required under this section; and
                (ii) that any such changes may have on flood insurance 
            purchase requirements;
            (B) engage with local communities to enhance communication 
        and outreach to the residents of such communities, including 
        tenants (with regard to contents insurance), on the matters 
        described under subparagraph (A); and
            (C) upon the issuance of any proposed map and any notice of 
        an opportunity to make an appeal relating to the proposed map, 
        notify the Senators for each State affected and each Member of 
        the House of Representatives for each congressional district 
        affected by the proposed map of any action taken by the 
        Administrator with respect to the proposed map or an appeal 
        relating to the proposed map.
        (2) Required activities.--The communication and outreach 
    activities required under paragraph (1) shall include--
            (A) notifying property owners when their properties become 
        included in, or when they are excluded from, an area covered by 
        the mandatory flood insurance purchase requirement under 
        section 102 of the Flood Disaster Protection Act of 1973 (42 
        U.S.C. 4012a);
            (B) educating property owners regarding the flood risk and 
        reduction of this risk in their community, including the 
        continued flood risks to areas that are no longer subject to 
        the flood insurance mandatory purchase requirement;
            (C) educating property owners regarding the benefits and 
        costs of maintaining or acquiring flood insurance, including, 
        where applicable, lower-cost preferred risk policies under the 
        National Flood Insurance Act of 1968 (42 U.S.C. 4011 et seq.) 
        for such properties and the contents of such properties;
            (D) educating property owners about flood map revisions and 
        the process available to such owners to appeal proposed changes 
        in flood elevations through their community, including by 
        notifying local radio and television stations; and
            (E) encouraging property owners to maintain or acquire 
        flood insurance coverage.
    (e) Community Remapping Request.--Upon the adoption by the 
Administrator of any recommendation by the Technical Mapping Advisory 
Council for reviewing, updating, or maintaining National Flood 
Insurance Program rate maps in accordance with this section, a 
community that believes that its flood insurance rates in effect prior 
to adoption would be affected by the adoption of such recommendation 
may submit a request for an update of its rate maps, which may be 
considered at the Administrator's sole discretion. The Administrator 
shall establish a protocol for the evaluation of such community map 
update requests.
    (f) Authorization of Appropriations.--There is authorized to be 
appropriated to the Administrator to carry out this section 
$400,000,000 for each of fiscal years 2013 through 2017.
SEC. 100217. SCOPE OF APPEALS.
    Section 1363 of the National Flood Insurance Act of 1968 (42 U.S.C. 
4104) is amended--
        (1) in subsection (a)--
            (A) by inserting ``and designating areas having special 
        flood hazards'' after ``flood elevations''; and
            (B) by striking ``such determinations'' and inserting 
        ``such determinations and designations''; and
        (2) in subsection (b)--
            (A) in the first sentence, by inserting ``and designations 
        of areas having special flood hazards'' after ``flood elevation 
        determinations''; and
            (B) by amending the third sentence to read as follows: 
        ``The sole grounds for appeal shall be the possession of 
        knowledge or information indicating that (1) the elevations 
        being proposed by the Administrator with respect to an 
        identified area having special flood hazards are scientifically 
        or technically incorrect, or (2) the designation of an 
        identified special flood hazard area is scientifically or 
        technically incorrect.''.
SEC. 100218. SCIENTIFIC RESOLUTION PANEL.
    (a) Establishment.--Chapter III of the National Flood Insurance Act 
of 1968 (42 U.S.C. 4101 et seq.) is amended by inserting after section 
1363 (42 U.S.C. 4104) the following:
``SEC. 1363A. SCIENTIFIC RESOLUTION PANEL.
    ``(a) Availability.--
        ``(1) In general.--Pursuant to the authority provided under 
    section 1363(e), the Administrator shall make available an 
    independent review panel, to be known as the Scientific Resolution 
    Panel, to any community--
            ``(A) that has--
                ``(i) filed a timely map appeal in accordance with 
            section 1363;
                ``(ii) completed 60 days of consultation with the 
            Federal Emergency Management Agency on the appeal; and
                ``(iii) not allowed more than 120 days, or such longer 
            period as may be provided by the Administrator by waiver, 
            to pass since the end of the appeal period; or
            ``(B) that has received an unsatisfactory ruling under the 
        map revision process established pursuant to section 1360(f).
        ``(2) Appeals by owners and lessees.--If a community and an 
    owner or lessee of real property within the community appeal a 
    proposed determination of a flood elevation under section 1363(b), 
    upon the request of the community--
            ``(A) the owner or lessee shall submit scientific and 
        technical data relating to the appeals to the Scientific 
        Resolution Panel; and
            ``(B) the Scientific Resolution Panel shall make a 
        determination with respect to the appeals in accordance with 
        subsection (c).
        ``(3) Definition.--For purposes of paragraph (1)(B), an 
    `unsatisfactory ruling' means that a community--
            ``(A) received a revised Flood Insurance Rate Map from the 
        Federal Emergency Management Agency, via a Letter of Final 
        Determination, after September 30, 2008, and prior to the date 
        of enactment of this section;
            ``(B) has subsequently applied for a Letter of Map Revision 
        or Physical Map Revision with the Federal Emergency Management 
        Agency; and
            ``(C) has received an unfavorable ruling on their request 
        for a map revision.
    ``(b) Membership.--The Scientific Resolution Panel made available 
under subsection (a) shall consist of 5 members with expertise that 
relates to the creation and study of flood hazard maps and flood 
insurance. The Scientific Resolution Panel may include representatives 
from Federal agencies not involved in the mapping study in question and 
from other impartial experts. Employees of the Federal Emergency 
Management Agency may not serve on the Scientific Resolution Panel.
    ``(c) Determination.--
        ``(1) In general.--Following deliberations, and not later than 
    90 days after its formation, the Scientific Resolution Panel shall 
    issue a determination of resolution of the dispute. Such 
    determination shall set forth recommendations for the base flood 
    elevation determination or the designation of an area having 
    special flood hazards that shall be reflected in the Flood 
    Insurance Rate Maps.
        ``(2) Basis.--The determination of the Scientific Resolution 
    Panel shall be based on--
            ``(A) data previously provided to the Administrator by the 
        community, and, in the case of a dispute submitted under 
        subsection (a)(2), an owner or lessee of real property in the 
        community; and
            ``(B) data provided by the Administrator.
        ``(3) No alternative determinations permissible.--The 
    Scientific Resolution Panel--
            ``(A) shall provide a determination of resolution of a 
        dispute that--
                ``(i) is either in favor of the Administrator or in 
            favor of the community on each distinct element of the 
            dispute; or
                ``(ii) in the case of a dispute submitted under 
            subsection (a)(2), is in favor of the Administrator, in 
            favor of the community, or in favor of the owner or lessee 
            of real property in the community on each distinct element 
            of the dispute; and
            ``(B) may not offer as a resolution any other alternative 
        determination.
        ``(4) Effect of determination.--
            ``(A) Binding.--The recommendations of the Scientific 
        Resolution Panel shall be binding on all appellants and not 
        subject to further judicial review unless the Administrator 
        determines that implementing the determination of the panel 
        would--
                ``(i) pose a significant threat due to failure to 
            identify a substantial risk of special flood hazards; or
                ``(ii) violate applicable law.
            ``(B) Written justification not to enforce.--If the 
        Administrator elects not to implement the determination of the 
        Scientific Resolution Panel pursuant to subparagraph (A), then 
        not later than 60 days after the issuance of the determination, 
        the Administrator shall issue a written justification 
        explaining such election.
            ``(C) Appeal of determination not to enforce.--If the 
        Administrator elects not to implement the determination of the 
        Scientific Resolution Panel pursuant to subparagraph (A), the 
        community may appeal the determination of the Administrator as 
        provided for under section 1363(g).
    ``(d) Maps Used for Insurance and Mandatory Purchase 
Requirements.--With respect to any community that has a dispute that is 
being considered by the Scientific Resolution Panel formed pursuant to 
this subsection, the Federal Emergency Management Agency shall ensure 
that for each such community that--
        ``(1) the Flood Insurance Rate Map described in the most 
    recently issued Letter of Final Determination shall be in force and 
    effect with respect to such community; and
        ``(2) flood insurance shall continue to be made available to 
    the property owners and residents of the participating 
    community.''.
    (b) Conforming Amendments.--
        (1) Administrative review.--Section 1363(e) of the National 
    Flood Insurance Act of 1968 (42 U.S.C. 4104(e)) is amended, in the 
    second sentence, by striking ``an independent scientific body or 
    appropriate Federal agency for advice'' and inserting ``the 
    Scientific Resolution Panel provided for in section 1363A''.
        (2) Judicial review.--The first sentence of section 1363(g) of 
    the National Flood Insurance Act of 1968 (42 U.S.C. 4104(g)) is 
    amended by striking ``Any appellant'' and inserting ``Except as 
    provided in section 1363A, any appellant''.
SEC. 100219. REMOVAL OF LIMITATION ON STATE CONTRIBUTIONS FOR UPDATING 
FLOOD MAPS.
    Section 1360(f)(2) of the National Flood Insurance Act of 1968 (42 
U.S.C. 4101(f)(2)) is amended by striking ``, but which may not exceed 
50 percent of the cost of carrying out the requested revision or 
update''.
SEC. 100220. COORDINATION.
    (a) Interagency Budget Crosscut and Coordination Report.--
        (1) In general.--The Secretary of Homeland Security, the 
    Administrator, the Director of the Office of Management and Budget, 
    and the heads of each Federal department or agency carrying out 
    activities under sections 100215 and 100216 shall work together to 
    ensure that flood risk determination data and geospatial data are 
    shared among Federal agencies in order to coordinate the efforts of 
    the Nation to reduce its vulnerability to flooding hazards.
        (2) Report.--Not later than 30 days after the submission of the 
    budget of the United States Government by the President to 
    Congress, the Director of the Office of Management and Budget, in 
    coordination with the Federal Emergency Management Agency, the 
    United States Geological Survey, the National Oceanic and 
    Atmospheric Administration, the Corps of Engineers, and other 
    Federal agencies, as appropriate, shall submit to the appropriate 
    authorizing and appropriating committees of the Senate and the 
    House of Representatives an interagency budget crosscut and 
    coordination report, certified by the Secretary or head of each 
    such agency, that--
            (A) contains an interagency budget crosscut report that 
        displays relevant sections of the budget proposed for each of 
        the Federal agencies working on flood risk determination data 
        and digital elevation models, including any planned interagency 
        or intra-agency transfers; and
            (B) describes how the efforts aligned with such sections 
        complement one another.
    (b) Duties of the Administrator.--In carrying out sections 100215 
and 100216, the Administrator shall--
        (1) participate, pursuant to section 216 of the E-Government 
    Act of 2002 (44 U.S.C. 3501 note), in the establishment of such 
    standards and common protocols as are necessary to assure the 
    interoperability of geospatial data for all users of such 
    information;
        (2) coordinate with, seek assistance and cooperation of, and 
    provide a liaison to the Federal Geographic Data Committee pursuant 
    to the Office of Management and Budget Circular A-16 and Executive 
    Order 12906 (43 U.S.C. 1457 note; relating to the National Spatial 
    Data Infrastructure) for the implementation of and compliance with 
    such standards;
        (3) integrate with, leverage, and coordinate funding of, to the 
    maximum extent practicable, the current flood mapping activities of 
    each unit of State and local government;
        (4) integrate with, leverage, and coordinate, to the maximum 
    extent practicable, the current geospatial activities of other 
    Federal agencies and units of State and local government; and
        (5) develop a funding strategy to leverage and coordinate 
    budgets and expenditures, and to maintain or establish joint 
    funding and other agreement mechanisms with other Federal agencies 
    and units of State and local government to share in the collection 
    and utilization of geospatial data among all governmental users.
SEC. 100221. INTERAGENCY COORDINATION STUDY.
    (a) In General.--The Administrator shall enter into a contract with 
the National Academy of Public Administration to conduct a study on how 
the Federal Emergency Management Agency--
        (1) should improve interagency and intergovernmental 
    coordination on flood mapping, including a funding strategy to 
    leverage and coordinate budgets and expenditures; and
        (2) can establish joint funding mechanisms with other Federal 
    agencies and units of State and local government to share the 
    collection and utilization of data among all governmental users.
    (b) Timing.--A contract entered into under subsection (a) shall 
require that, not later than 180 days after the date of enactment of 
this subtitle, the National Academy of Public Administration shall 
report the findings of the study required under subsection (a) to--
        (1) the Committee on Banking, Housing, and Urban Affairs of the 
    Senate;
        (2) the Committee on Financial Services of the House of 
    Representatives;
        (3) the Committee on Appropriations of the Senate; and
        (4) the Committee on Appropriations of the House of 
    Representatives.
SEC. 100222. NOTICE OF FLOOD INSURANCE AVAILABILITY UNDER RESPA.
    Section 5(b) of the Real Estate Settlement Procedures Act of 1974 
(12 U.S.C. 2604(b)), as amended by section 1450 of the Dodd-Frank Wall 
Street Reform and Consumer Protection Act (Public Law 111-203; 124 
Stat. 2174), is amended by adding at the end the following:
        ``(14) An explanation of flood insurance and the availability 
    of flood insurance under the National Flood Insurance Program or 
    from a private insurance company, whether or not the real estate is 
    located in an area having special flood hazards.''.
SEC. 100223. PARTICIPATION IN STATE DISASTER CLAIMS MEDIATION PROGRAMS.
    Chapter I of the National Flood Insurance Act of 1968 (42 U.S.C. 
4011 et seq.) is amended by inserting after section 1313 (42 U.S.C. 
4020) the following:
``SEC. 1314. PARTICIPATION IN STATE DISASTER CLAIMS MEDIATION PROGRAMS.
    ``(a) Requirement To Participate.--In the case of the occurrence of 
a major disaster, as defined in section 102 of the Robert T. Stafford 
Disaster Relief and Emergency Assistance Act (42 U.S.C. 5122), that may 
have resulted in flood damage covered under the national flood 
insurance program established under this title and other personal lines 
residential property insurance coverage offered by a State regulated 
insurer, upon a request made by the insurance commissioner of a State 
(or such other official responsible for regulating the business of 
insurance in the State) for the participation of representatives of the 
Administrator in a program sponsored by such State for nonbinding 
mediation of insurance claims resulting from a major disaster, the 
Administrator shall cause representatives of the national flood 
insurance program to participate in such a State program where claims 
under the national flood insurance program are involved to expedite 
settlement of flood damage claims resulting from such disaster.
    ``(b) Extent of Participation.--In satisfying the requirements of 
subsection (a), the Administrator shall require that each 
representative of the Administrator--
        ``(1) be certified for purposes of the national flood insurance 
    program to settle claims against such program resulting from such 
    disaster in amounts up to the limits of policies under such 
    program;
        ``(2) attend State-sponsored mediation meetings regarding flood 
    insurance claims resulting from such disaster at such times and 
    places as may be arranged by the State;
        ``(3) participate in good-faith negotiations toward the 
    settlement of such claims with policyholders of coverage made 
    available under the national flood insurance program; and
        ``(4) finalize the settlement of such claims on behalf of the 
    national flood insurance program with such policyholders.
    ``(c) Coordination.--Representatives of the Administrator shall at 
all times coordinate their activities with insurance officials of the 
State and representatives of insurers for the purposes of consolidating 
and expediting settlement of claims under the national flood insurance 
program resulting from such disaster.
    ``(d) Qualifications of Mediators.--Each State mediator 
participating in State-sponsored mediation under this section shall 
be--
        ``(1)(A) a member in good standing of the State bar in the 
    State in which the mediation is to occur with at least 2 years of 
    practical experience; and
        ``(B) an active member of such bar for at least 1 year prior to 
    the year in which such mediator's participation is sought; or
        ``(2) a retired trial judge from any United States jurisdiction 
    who was a member in good standing of the bar in the State in which 
    the judge presided for at least 5 years prior to the year in which 
    such mediator's participation is sought.
    ``(e) Mediation Proceedings and Documents Privileged.--As a 
condition of participation, all statements made and documents produced 
pursuant to State-sponsored mediation involving representatives of the 
Administrator shall be deemed privileged and confidential settlement 
negotiations made in anticipation of litigation.
    ``(f) Liability, Rights, or Obligations Not Affected.--
Participation in State-sponsored mediation, as described in this 
section does not--
        ``(1) affect or expand the liability of any party in contract 
    or in tort; or
        ``(2) affect the rights or obligations of the parties, as 
    established--
            ``(A) in any regulation issued by the Administrator, 
        including any regulation relating to a standard flood insurance 
        policy;
            ``(B) under this title; and
            ``(C) under any other provision of Federal law.
    ``(g) Exclusive Federal Jurisdiction.--Participation in State-
sponsored mediation shall not alter, change, or modify the original 
exclusive jurisdiction of United States courts, as set forth in this 
title.
    ``(h) Cost Limitation.--Nothing in this section shall be construed 
to require the Administrator or a representative of the Administrator 
to pay additional mediation fees relating to flood insurance claims 
associated with a State-sponsored mediation program in which such 
representative of the Administrator participates.
    ``(i) Exception.--In the case of the occurrence of a major disaster 
that results in flood damage claims under the national flood insurance 
program and that does not result in any loss covered by a personal 
lines residential property insurance policy--
        ``(1) this section shall not apply; and
        ``(2) the provisions of the standard flood insurance policy 
    under the national flood insurance program and the appeals process 
    established under section 205 of the Bunning-Bereuter-Blumenauer 
    Flood Insurance Reform Act of 2004 (42 U.S.C. 4011 note) and the 
    regulations issued pursuant to such section shall apply 
    exclusively.
    ``(j) Representatives of the Administrator.--For purposes of this 
section, the term `representatives of the Administrator' means 
representatives of the national flood insurance program who participate 
in the appeals process established under section 205 of the Bunning-
Bereuter-Blumenauer Flood Insurance Reform Act of 2004 (42 U.S.C. 4011 
note).''.
SEC. 100224. OVERSIGHT AND EXPENSE REIMBURSEMENTS OF INSURANCE 
COMPANIES.
    (a) Submission of Biennial Reports.--
        (1) To the administrator.--Not later than 20 days after the 
    date of enactment of this Act, each property and casualty insurance 
    company participating in the Write Your Own program shall submit to 
    the Administrator any biennial report required by the Federal 
    Emergency Management Agency to be prepared in the prior 5 years by 
    such company.
        (2) To gao.--Not later than 10 days after the submission of the 
    biennial reports under paragraph (1), the Administrator shall 
    submit all such reports to the Comptroller General of the United 
    States.
        (3) Notice to congress of failure to comply.--The Administrator 
    shall notify and report to the Committee on Banking, Housing, and 
    Urban Affairs of the Senate and the Committee on Financial Services 
    of the House of Representatives on any property and casualty 
    insurance company participating in the Write Your Own program that 
    failed to submit its biennial reports as required under paragraph 
    (1).
        (4) Failure to comply.--A property and casualty insurance 
    company participating in the Write Your Own program which fails to 
    comply with the reporting requirement under this subsection or the 
    requirement under section 62.23(j)(1) of title 44, Code of Federal 
    Regulations (relating to biennial audit of the flood insurance 
    financial statements) shall be subject to a civil penalty in an 
    amount of not more than $1,000 per day for each day that the 
    company remains in noncompliance with either such requirement.
    (b) Methodology To Determine Reimbursed Expenses.--Not later than 
180 days after the date of enactment of this Act, the Administrator 
shall develop a methodology for determining the appropriate amounts 
that property and casualty insurance companies participating in the 
Write Your Own program should be reimbursed for selling, writing, and 
servicing flood insurance policies and adjusting flood insurance claims 
on behalf of the National Flood Insurance Program. The methodology 
shall be developed using actual expense data for the flood insurance 
line and can be derived from--
        (1) flood insurance expense data produced by the property and 
    casualty insurance companies;
        (2) flood insurance expense data collected by the National 
    Association of Insurance Commissioners; or
        (3) a combination of the methodologies described in paragraphs 
    (1) and (2).
    (c) Submission of Expense Reports.--To develop the methodology 
established under subsection (b), the Administrator may require each 
property and casualty insurance company participating in the Write Your 
Own program to submit a report to the Administrator, in a format 
determined by the Administrator and within 60 days of the request, that 
details the expense levels of each such company for selling, writing, 
and servicing standard flood insurance policies and adjusting and 
servicing claims.
    (d) FEMA Rulemaking on Reimbursement of Expenses Under the Write 
Your Own Program.--Not later than 12 months after the date of enactment 
of this Act, the Administrator shall issue a rule to formulate revised 
expense reimbursements to property and casualty insurance companies 
participating in the Write Your Own program for their expenses 
(including their operating and administrative expenses for adjustment 
of claims) in selling, writing, and servicing standard flood insurance 
policies, including how such companies shall be reimbursed in both 
catastrophic and noncatastrophic years. Such reimbursements shall be 
structured to ensure reimbursements track the actual expenses, 
including standard business costs and operating expenses, of such 
companies as closely as practicably possible.
    (e) Report of the Administrator.--Not later than 60 days after the 
effective date of the final rule issued pursuant to subsection (d), the 
Administrator shall submit to the Committee on Banking, Housing, and 
Urban Affairs of the Senate and the Committee on Financial Services of 
the House of Representatives a report containing--
        (1) the specific rationale and purposes of such rule;
        (2) the reasons for the adoption of the policies contained in 
    such rule; and
        (3) the degree to which such rule accurately represents the 
    true operating costs and expenses of property and casualty 
    insurance companies participating in the Write Your Own program.
    (f) GAO Study and Report on Expenses of Write Your Own Program.--
        (1) Study.--Not later than 180 days after the effective date of 
    the final rule issued pursuant to subsection (d), the Comptroller 
    General of the United States shall--
            (A) conduct a study on the efficacy, adequacy, and 
        sufficiency of the final rules issued pursuant to subsection 
        (d); and
            (B) report to the Committee on Banking, Housing, and Urban 
        Affairs of the Senate and the Committee on Financial Services 
        of the House of Representatives on the findings of the study 
        conducted under subparagraph (A).
        (2) GAO authority.--In conducting the study and report required 
    under paragraph (1), the Comptroller General--
            (A) may use any previous findings, studies, or reports that 
        the Comptroller General previously completed on the Write Your 
        Own program;
            (B) shall determine if--
                (i) the final rule issued pursuant to subsection (d) 
            allows the Federal Emergency Management Agency to access 
            adequate information regarding the actual expenses of 
            property and casualty insurance companies participating in 
            the Write Your Own program; and
                (ii) the actual reimbursements paid out under the final 
            rule issued pursuant to subsection (d) accurately reflect 
            the expenses reported by property and casualty insurance 
            companies participating in the Write Your Own program, 
            including the standard business costs and operating 
            expenses of such companies; and
            (C) shall analyze the effect of the final rule issued 
        pursuant to subsection (d) on the level of participation of 
        property and casualty insurers in the Write Your Own program.
SEC. 100225. MITIGATION.
    (a) Mitigation Assistance Grants.--Section 1366 of the National 
Flood Insurance Act of 1968 (42 U.S.C. 4104c) is amended--
        (1) by striking subsections (b), (d), (f), (g), (h), (k), and 
    (m);
        (2) by redesignating subsections (c), (e), (i), and (j) as 
    subsections (b), (c), (e), and (f), respectively;
        (3) in subsection (a), by striking the last sentence and 
    inserting the following: ``Such financial assistance shall be made 
    available--
        ``(1) to States and communities in the form of grants under 
    this section for carrying out mitigation activities;
        ``(2) to States and communities in the form of grants under 
    this section for carrying out mitigation activities that reduce 
    flood damage to severe repetitive loss structures; and
        ``(3) to property owners in the form of direct grants under 
    this section for carrying out mitigation activities that reduce 
    flood damage to individual structures for which 2 or more claim 
    payments for losses have been made under flood insurance coverage 
    under this title if the Administrator, after consultation with the 
    State and community, determines that neither the State nor 
    community in which such a structure is located has the capacity to 
    manage such grants.'';
        (4) in subsection (b), as so redesignated, in the first 
    sentence--
            (A) by striking ``and provides protection against'' and 
        inserting ``provides for reduction of''; and
            (B) by inserting before the period at the end the 
        following: ``, and may be included in a multihazard mitigation 
        plan'';
        (5) in subsection (c), as so redesignated--
            (A) in paragraph (1), by striking ``(1) Use of amounts.--'' 
        and all that follows through the end of the first sentence and 
        inserting the following:
        ``(1) Requirement of consistency with approved mitigation 
    plan.--Amounts provided under this section may be used only for 
    mitigation activities that are consistent with mitigation plans 
    that are approved by the Administrator and identified under 
    paragraph (4).'';
            (B) by striking paragraphs (2), (3), and (4) and inserting 
        the following new paragraphs:
        ``(2) Requirements of technical feasibility, cost 
    effectiveness, and interest of national flood insurance fund.--
            ``(A) In general.--The Administrator may approve only 
        mitigation activities that the Administrator determines--
                ``(i) are technically feasible and cost-effective; or
                ``(ii) will eliminate future payments from the National 
            Flood Insurance Fund for severe repetitive loss structures 
            through an acquisition or relocation activity.
            ``(B) Considerations.--In making a determination under 
        subparagraph (A), the Administrator shall take into 
        consideration recognized ancillary benefits.'';
            (C) by redesignating paragraph (5) as paragraph (3);
            (D) in paragraph (3), as so redesignated--
                (i) in the matter preceding subparagraph (A), by 
            striking ``The Director'' and all that follows through 
            ``Such activities may'' and inserting ``Eligible activities 
            under a mitigation plan may'';
                (ii) by striking subparagraphs (E) and (H);
                (iii) by redesignating subparagraphs (D), (F), and (G) 
            as subparagraphs (E), (G), and (H), respectively;
                (iv) by inserting after subparagraph (C) the following 
            new subparagraph:
            ``(D) elevation, relocation, or floodproofing of utilities 
        (including equipment that serves structures);'';
                (v) by inserting after subparagraph (E), as so 
            redesignated, the following new subparagraph:
            ``(F) the development or update of mitigation plans by a 
        State or community which meet the planning criteria established 
        by the Administrator, except that the amount from grants under 
        this section that may be used under this subparagraph may not 
        exceed $50,000 for any mitigation plan of a State or $25,000 
        for any mitigation plan of a community;'';
                (vi) in subparagraph (H); as so redesignated, by 
            striking ``and'' at the end; and
                (vii) by adding at the end the following new 
            subparagraphs:
            ``(I) other mitigation activities not described in 
        subparagraphs (A) through (G) or the regulations issued under 
        subparagraph (H), that are described in the mitigation plan of 
        a State or community; and
            ``(J) without regard to the requirements under paragraphs 
        (1) and (2) of subsection (d), and if the State applied for and 
        was awarded at least $1,000,000 in grants available under this 
        section in the prior fiscal year, technical assistance to 
        communities to identify eligible activities, to develop grant 
        applications, and to implement grants awarded under this 
        section, not to exceed $50,000 to any 1 State in any fiscal 
        year.''; and
            (E) by striking paragraph (6) and inserting the following:
        ``(4) Eligibility of demolition and rebuilding of properties.--
    The Administrator shall consider as an eligible activity the 
    demolition and rebuilding of properties to at least base flood 
    elevation or greater, if required by the Administrator or if 
    required by any State regulation or local ordinance, and in 
    accordance with criteria established by the Administrator.'';
        (6) by inserting after subsection (c), as so redesignated, the 
    following new subsection:
    ``(d) Matching Requirement.--The Administrator may provide grants 
for eligible mitigation activities as follows:
        ``(1) Severe repetitive loss structures.--In the case of 
    mitigation activities to severe repetitive loss structures, in an 
    amount up to--
            ``(A) 100 percent of all eligible costs, if the activities 
        are approved under subsection (c)(2)(A)(i); or
            ``(B) the expected savings to the National Flood Insurance 
        Fund from expected avoided damages through acquisition or 
        relocation activities, if the activities are approved under 
        subsection (c)(2)(A)(ii).
        ``(2) Repetitive loss structures.--In the case of mitigation 
    activities to repetitive loss structures, in an amount up to 90 
    percent of all eligible costs.
        ``(3) Other mitigation activities.--In the case of all other 
    mitigation activities, in an amount up to 75 percent of all 
    eligible costs.'';
        (7) in subsection (e)(2), as so redesignated--
            (A) by striking ``certified under subsection (g)'' and 
        inserting ``required under subsection (d)''; and
            (B) by striking ``3 times the amount'' and inserting ``the 
        amount'';
        (8) in subsection (f), as so redesignated, by striking ``Riegle 
    Community Development and Regulatory Improvement Act of 1994'' and 
    inserting ``Biggert-Waters Flood Insurance Reform Act of 2012''; 
    and
        (9) by adding at the end the following new subsections:
    ``(g) Failure To Make Grant Award Within 5 Years.--For any 
application for a grant under this section for which the Administrator 
fails to make a grant award within 5 years of the date of the 
application, the grant application shall be considered to be denied and 
any funding amounts allocated for such grant applications shall remain 
in the National Flood Mitigation Fund under section 1367 of this title 
and shall be made available for grants under this section.
    ``(h) Definitions.--For purposes of this section, the following 
definitions shall apply:
        ``(1) Community.--The term `community' means--
            ``(A) a political subdivision that--
                ``(i) has zoning and building code jurisdiction over a 
            particular area having special flood hazards; and
                ``(ii) is participating in the national flood insurance 
            program; or
            ``(B) a political subdivision of a State, or other 
        authority, that is designated by political subdivisions, all of 
        which meet the requirements of subparagraph (A), to administer 
        grants for mitigation activities for such political 
        subdivisions.
        ``(2) Repetitive loss structure.--The term `repetitive loss 
    structure' has the meaning given such term in section 1370.
        ``(3) Severe repetitive loss structure.--The term `severe 
    repetitive loss structure' means a structure that--
            ``(A) is covered under a contract for flood insurance made 
        available under this title; and
            ``(B) has incurred flood-related damage--
                ``(i) for which 4 or more separate claims payments have 
            been made under flood insurance coverage under this title, 
            with the amount of each such claim exceeding $5,000, and 
            with the cumulative amount of such claims payments 
            exceeding $20,000; or
                ``(ii) for which at least 2 separate claims payments 
            have been made under such coverage, with the cumulative 
            amount of such claims exceeding the value of the insured 
            structure.''.
    (b) Elimination of Grants Program for Repetitive Insurance Claims 
Properties.--Chapter I of the National Flood Insurance Act of 1968 is 
amended by striking section 1323 (42 U.S.C. 4030).
    (c) Elimination of Pilot Program for Mitigation of Severe 
Repetitive Loss Properties.--Chapter III of the National Flood 
Insurance Act of 1968 is amended by striking section 1361A (42 U.S.C. 
4102a).
    (d) National Flood Insurance Fund.--Section 1310(a) of the National 
Flood Insurance Act of 1968 (42 U.S.C. 4017(a)) is amended--
        (1) in paragraph (6), by inserting ``and'' after the semicolon;
        (2) in paragraph (7), by striking the semicolon and inserting a 
    period; and
        (3) by striking paragraphs (8) and (9).
    (e) National Flood Mitigation Fund.--Section 1367 of the National 
Flood Insurance Act of 1968 (42 U.S.C. 4104d) is amended--
        (1) in subsection (b)--
            (A) by striking paragraph (1) and inserting the following 
        new paragraph:
        ``(1) in each fiscal year, amounts from the National Flood 
    Insurance Fund not to exceed $90,000,000 and to remain available 
    until expended, of which--
            ``(A) not more than $40,000,000 shall be available pursuant 
        to subsection (a) of this section for assistance described in 
        section 1366(a)(1);
            ``(B) not more than $40,000,000 shall be available pursuant 
        to subsection (a) of this section for assistance described in 
        section 1366(a)(2); and
            ``(C) not more than $10,000,000 shall be available pursuant 
        to subsection (a) of this section for assistance described in 
        section 1366(a)(3);''; and
            (B) in paragraph (3), by striking ``section 1366(i)'' and 
        inserting ``section 1366(e)'';
        (2) in subsection (c), by striking ``sections 1366 and 1323'' 
    and inserting ``section 1366'';
        (3) by redesignating subsections (d) and (e) as subsections (f) 
    and (g), respectively; and
        (4) by inserting after subsection (c) the following new 
    subsections:
    ``(d) Prohibition on Offsetting Collections.--Notwithstanding any 
other provision of this title, amounts made available pursuant to this 
section shall not be subject to offsetting collections through premium 
rates for flood insurance coverage under this title.
    ``(e) Continued Availability and Reallocation.--Any amounts made 
available pursuant to subparagraph (A), (B), or (C) of subsection 
(b)(1) that are not used in any fiscal year shall continue to be 
available for the purposes specified in the subparagraph of subsection 
(b)(1) pursuant to which such amounts were made available, unless the 
Administrator determines that reallocation of such unused amounts to 
meet demonstrated need for other mitigation activities under section 
1366 is in the best interest of the National Flood Insurance Fund.''.
    (f) Increased Cost of Compliance Coverage.--Section 1304(b)(4) of 
the National Flood Insurance Act of 1968 (42 U.S.C. 4011(b)(4)) is 
amended--
        (1) by striking subparagraph (B); and
        (2) by redesignating subparagraphs (C), (D), and (E) as 
    subparagraphs (B), (C), and (D), respectively.
SEC. 100226. FLOOD PROTECTION STRUCTURE ACCREDITATION TASK FORCE.
    (a) Definitions.--In this section--
        (1) the term ``flood protection structure accreditation 
    requirements'' means the requirements established under section 
    65.10 of title 44, Code of Federal Regulations, for levee systems 
    to be recognized on maps created for purposes of the National Flood 
    Insurance Program;
        (2) the term ``National Committee on Levee Safety'' means the 
    Committee on Levee Safety established under section 9003 of the 
    National Levee Safety Act of 2007 (33 U.S.C. 3302); and
        (3) the term ``task force'' means the Flood Protection 
    Structure Accreditation Task Force established under subsection 
    (b).
    (b) Establishment.--
        (1) In general.--The Administrator and the Secretary of the 
    Army, acting through the Chief of Engineers, in cooperation with 
    the National Committee on Levee Safety, shall jointly establish a 
    Flood Protection Structure Accreditation Task Force.
        (2) Duties.--
            (A) Developing process.--The task force shall develop a 
        process to better align the information and data collected by 
        or for the Corps of Engineers under the Inspection of Completed 
        Works Program with the flood protection structure accreditation 
        requirements so that--
                (i) information and data collected for either purpose 
            can be used interchangeably; and
                (ii) information and data collected by or for the Corps 
            of Engineers under the Inspection of Completed Works 
            Program is sufficient to satisfy the flood protection 
            structure accreditation requirements.
            (B) Gathering recommendations.--The task force shall 
        gather, and consider in the process developed under 
        subparagraph (A), recommendations from interested persons in 
        each region relating to the information, data, and 
        accreditation requirements described in subparagraph (A).
        (3) Considerations.--In developing the process under paragraph 
    (2), the task force shall consider changes to--
            (A) the information and data collected by or for the Corps 
        of Engineers under the Inspection of Completed Works Program; 
        and
            (B) the flood protection structure accreditation 
        requirements.
        (4) Rule of construction.--Nothing in this section shall be 
    construed to require a reduction in the level of public safety and 
    flood control provided by accredited levees, as determined by the 
    Administrator for purposes of this section.
    (c) Implementation.--The Administrator and the Secretary of the 
Army, acting through the Chief of Engineers, shall implement the 
process developed by the task force under subsection (b) not later than 
1 year after the date of enactment of this Act and shall complete the 
process under subsection (b) not later than 2 years after the date of 
enactment of this Act.
    (d) Reports.--The Administrator and the Secretary of the Army, 
acting through the Chief of Engineers, in cooperation with the National 
Committee on Levee Safety, shall jointly submit to the Committee on 
Banking, Housing, and Urban Affairs and the Committee on Environment 
and Public Works of the Senate and the Committee on Financial Services, 
the Committee on Transportation and Infrastructure, and the Committee 
on Natural Resources of the House of Representatives reports concerning 
the activities of the task force and the implementation of the process 
developed by the task force under subsection (b), including--
        (1) an interim report, not later than 180 days after the date 
    of enactment of this Act; and
        (2) a final report, not later than 1 year after the date of 
    enactment of this Act.
    (e) Termination.--The task force shall terminate on the date of 
submission of the report under subsection (d)(2).
SEC. 100227. FLOOD IN PROGRESS DETERMINATIONS.
    (a) Report.--
        (1) Review.--The Administrator shall review--
            (A) the processes and procedures for determining that a 
        flood event has commenced or is in progress for purposes of 
        flood insurance coverage made available under the National 
        Flood Insurance Program;
            (B) the processes and procedures for providing public 
        notification that such a flood event has commenced or is in 
        progress;
            (C) the processes and procedures regarding the timing of 
        public notification of flood insurance requirements and 
        availability; and
            (D) the effects and implications that weather conditions, 
        including rainfall, snowfall, projected snowmelt, existing 
        water levels, and other conditions, have on the determination 
        that a flood event has commenced or is in progress.
        (2) Report.--Not later than 6 months after the date of 
    enactment of this Act, the Administrator shall submit a report to 
    Congress that describes--
            (A) the results and conclusions of the review under 
        paragraph (1); and
            (B) any actions taken, or proposed actions to be taken, by 
        the Administrator to provide for more precise and technical 
        processes and procedures for determining that a flood event has 
        commenced or is in progress.
    (b) Effective Date of Policies Covering Properties Affected by 
Flooding of the Missouri River in 2011.--
        (1) Eligible coverage.--For purposes of this subsection, the 
    term ``eligible coverage'' means coverage under a new contract for 
    flood insurance coverage under the National Flood Insurance 
    Program, or a modification to coverage under an existing flood 
    insurance contract, for property damaged by the flooding of the 
    Missouri River that commenced on June 1, 2011, that was purchased 
    or made during the period beginning May 1, 2011, and ending June 6, 
    2011.
        (2) Effective dates.--Notwithstanding section 1306(c) of the 
    National Flood Insurance Act of 1968 (42 U.S.C. 4013(c)), or any 
    other provision of law, any eligible coverage shall--
            (A) be deemed to take effect on the date that is 30 days 
        after the date on which all obligations for the eligible 
        coverage (including completion of the application and payment 
        of any initial premiums owed) are satisfactorily completed; and
            (B) cover damage to property occurring after the effective 
        date described in subparagraph (A) that resulted from the 
        flooding of the Missouri River that commenced on June 1, 2011, 
        if the property did not suffer damage or loss as a result of 
        such flooding before the effective date described in 
        subparagraph (A).
    (c) Timely Notification.--Not later than 90 days after the date on 
which the Administrator submits the report required under subsection 
(a)(2), the Administrator shall, taking into consideration the results 
of the review under subsection (a)(1)(B), develop procedures for 
providing timely notification, to the extent practicable, to 
policyholders who have purchased flood insurance coverage under the 
National Flood Insurance Program within 30 days of a determination of a 
flood in progress and who may be affected by the flood of the 
determination and how the determination may affect their coverage.
SEC. 100228. CLARIFICATION OF RESIDENTIAL AND COMMERCIAL COVERAGE 
LIMITS.
    Section 1306(b) of the National Flood Insurance Act of 1968 (42 
U.S.C. 4013(b)) is amended--
        (1) in paragraph (2)--
            (A) by striking ``in the case of any residential property'' 
        and inserting ``in the case of any residential building 
        designed for the occupancy of from 1 to 4 families''; and
            (B) by striking ``shall be made available to every insured 
        upon renewal and every applicant for insurance so as to enable 
        such insured or applicant to receive coverage up to a total 
        amount (including such limits specified in paragraph (1)(A)(i)) 
        of $250,000'' and inserting ``shall be made available, with 
        respect to any single such building, up to an aggregate 
        liability (including such limits specified in paragraph 
        (1)(A)(i)) of $250,000''; and
        (2) in paragraph (4)--
            (A) by striking ``in the case of any nonresidential 
        property, including churches,'' and inserting ``in the case of 
        any nonresidential building, including a church,''; and
            (B) by striking ``shall be made available to every insured 
        upon renewal and every applicant for insurance, in respect to 
        any single structure, up to a total amount (including such 
        limit specified in subparagraph (B) or (C) of paragraph (1), as 
        applicable) of $500,000 for each structure and $500,000 for any 
        contents related to each structure'' and inserting ``shall be 
        made available with respect to any single such building, up to 
        an aggregate liability (including such limits specified in 
        subparagraph (B) or (C) of paragraph (1), as applicable) of 
        $500,000, and coverage shall be made available up to a total of 
        $500,000 aggregate liability for contents owned by the building 
        owner and $500,000 aggregate liability for each unit within the 
        building for contents owned by the tenant''.
SEC. 100229. LOCAL DATA REQUIREMENT.
    (a) In General.--Notwithstanding any other provision of this 
subtitle, no area or community participating in the National Flood 
Insurance Program that is or includes a community that is identified by 
the Administrator as Community Identification Number 360467 and 
impacted by the Jamaica Bay flooding source or identified by the 
Administrator as Community Identification Number 360495 may be or 
become designated as an area having special flood hazards for purposes 
of the National Flood Insurance Program, unless the designation is made 
on the basis of--
        (1) flood hazard analyses of hydrologic, hydraulic, or coastal 
    flood hazards that have been properly calibrated and validated, and 
    are specific and directly relevant to the geographic area being 
    studied; and
        (2) ground elevation information of sufficient accuracy and 
    precision to meet the guidelines of the Administration for accuracy 
    at the 95 percent confidence level.
    (b) Remapping.--
        (1) Remapping required.--If the Administrator determines that 
    an area described in subsection (a) has been designated as an area 
    of special flood hazard on the basis of information that does not 
    comply with the requirements under subsection (a), the 
    Administrator shall revise and update any National Flood Insurance 
    Program rate map for the area--
            (A) using information that complies with the requirements 
        under subsection (a); and
            (B) in accordance with the procedures established under 
        section 1363 of the National Flood Insurance Act of 1968 (42 
        U.S.C. 4104) for flood elevation determinations.
        (2) Interim period.--A National Flood Insurance Program rate 
    map in effect on the date of enactment of this Act for an area for 
    which the Administrator has made a determination under paragraph 
    (1) shall continue in effect with respect to the area during the 
    period--
            (A) beginning on the date of enactment of this Act; and
            (B) ending on the date on which the Administrator 
        determines that the requirements under section 1363 of the 
        National Flood Insurance Act of 1968 (42 U.S.C. 4104) for flood 
        elevation determinations have been met with respect to a 
        revision and update under paragraph (1) of a National Flood 
        Insurance Program rate map for the area.
        (3) Deadline.--The Administrator shall issue a preliminary 
    National Flood Insurance Program rate map resulting from a revision 
    and update required under paragraph (1) not later than 1 year after 
    the date of enactment of this Act.
        (4) Risk premium rate clarification.--
            (A) In general.--If a revision and update required under 
        paragraph (1) results in a reduction in the risk premium rate 
        for a property in an area for which the Administrator has made 
        a determination under paragraph (1), the Administrator shall--
                (i) calculate the difference between the reduced risk 
            premium rate and the risk premium rate paid by a 
            policyholder with respect to the property during the 
            period--

                    (I) beginning on the date on which the National 
                Flood Insurance Program rate map in effect for the area 
                on the date of enactment of this Act took effect; and
                    (II) ending on the date on which the revised or 
                updated National Flood Insurance Program rate map takes 
                effect; and

                (ii) reimburse the policyholder an amount equal to such 
            difference.
            (B) Funding.--Notwithstanding section 1310 of the National 
        Flood Insurance Act of 1968 (42 U.S.C. 4017), there shall be 
        available to the Administrator from premiums deposited in the 
        National Flood Insurance Fund pursuant to subsection (d) of 
        such section 1310, of amounts not otherwise obligated, the 
        amount necessary to carry out this paragraph.
    (c) Termination.--
        (1) In general.--Except as provided in paragraph (2), this 
    section shall cease to have effect on the effective date of a 
    National Flood Insurance Program rate map revised and updated under 
    subsection (b)(1).
        (2) Reimbursements.--Subsection (b)(4) shall cease to have 
    effect on the date on which the Administrator has made all 
    reimbursements required under subsection (b)(4).
SEC. 100230. ELIGIBILITY FOR FLOOD INSURANCE FOR PERSONS RESIDING IN 
COMMUNITIES THAT HAVE MADE ADEQUATE PROGRESS ON THE RECONSTRUCTION OR 
IMPROVEMENT OF A FLOOD PROTECTION SYSTEM.
    (a) Eligibility for Flood Insurance Coverage.--
        (1) In general.--Notwithstanding any other provision of law 
    (including section 1307(e) of the National Flood Insurance Act of 
    1968 (42 U.S.C. 4014(e))), a person residing in a community that 
    the Administrator determines has made adequate progress on the 
    reconstruction or improvement of a flood protection system that 
    will afford flood protection for a 100-year floodplain (without 
    regard to the level of Federal funding of or participation in the 
    construction, reconstruction, or improvement), shall be eligible 
    for flood insurance coverage under the National Flood Insurance 
    Program--
            (A) if the person resides in a community that is a 
        participant in the National Flood Insurance Program; and
            (B) at a risk premium rate that does not exceed the risk 
        premium rate that would be chargeable if the flood protection 
        system had been completed.
        (2) Adequate progress.--
            (A) Reconstruction or improvement.--For purposes of 
        paragraph (1), the Administrator shall determine that a 
        community has made adequate progress on the reconstruction or 
        improvement of a flood protection system if--
                (i) 100 percent of the project cost has been 
            authorized;
                (ii) not less than 60 percent of the project cost has 
            been secured or appropriated;
                (iii) not less than 50 percent of the flood protection 
            system has been assessed as being without deficiencies; and
                (iv) the reconstruction or improvement has a project 
            schedule that does not exceed 5 years, beginning on the 
            date on which the reconstruction or construction of the 
            improvement commences.
            (B) Considerations.--In determining whether a flood 
        protection system has been assessed as being without 
        deficiencies, the Administrator shall consider the requirements 
        under section 65.10 of chapter 44, Code of Federal Regulations, 
        or any successor thereto.
            (C) Date of commencement.--For purposes of subparagraph 
        (A)(iv) of this paragraph and subsection (b)(2)(B), the date of 
        commencement of the reconstruction or improvement of a flood 
        protection system that is undergoing reconstruction or 
        improvement on the date of enactment of this Act shall be 
        deemed to be the date on which the owner of the flood 
        protection system submits a request under paragraph (3).
        (3) Request for determination.--The owner of a flood protection 
    system that is undergoing reconstruction or improvement on the date 
    of enactment of this Act may submit to the Administrator a request 
    for a determination under paragraph (2) that the community in which 
    the flood protection system is located has made adequate progress 
    on the reconstruction or improvement of the flood protection 
    system.
        (4) Rule of construction.--Nothing in this subsection shall be 
    construed to prohibit the Administrator from making a determination 
    under paragraph (2) for any community in which a flood protection 
    system is not undergoing reconstruction or improvement on the date 
    of enactment of this Act.
    (b) Termination of Eligibility.--
        (1) Adequate continuing progress.--The Administrator shall 
    issue rules to establish a method of determining whether a 
    community has made adequate continuing progress on the 
    reconstruction or improvement of a flood protection system that 
    includes--
            (A) a requirement that the Administrator shall--
                (i) consult with the owner of the flood protection 
            system--

                    (I) 6 months after the date of a determination 
                under subsection (a);
                    (II) 18 months after the date of a determination 
                under subsection (a); and
                    (III) 36 months after the date of a determination 
                under subsection (a); and

                (ii) after each consultation under clause (i), 
            determine whether the reconstruction or improvement is 
            reasonably likely to be completed in accordance with the 
            project schedule described in subsection (a)(2)(A)(iv); and
            (B) a requirement that, if the Administrator makes a 
        determination under subparagraph (A)(ii) that reconstruction or 
        improvement is not reasonably likely to be completed in 
        accordance with the project schedule, the Administrator shall--
                (i) not later than 30 days after the date of the 
            determination, notify the owner of the flood protection 
            system of the determination and provide the rationale and 
            evidence for the determination; and
                (ii) provide the owner of the flood protection system 
            the opportunity to appeal the determination.
        (2) Termination.--The Administrator shall terminate the 
    eligibility for flood insurance coverage under subsection (a) for 
    persons residing in a community with respect to which the 
    Administrator made a determination under subsection (a) if--
            (A) the Administrator determines that the community has not 
        made adequate continuing progress; or
            (B) on the date that is 5 years after the date on which the 
        reconstruction or construction of the improvement commences, 
        the project has not been completed.
        (3) Waiver.--A person whose eligibility would otherwise be 
    terminated under paragraph (2)(B) shall continue to be eligible to 
    purchase flood insurance coverage described in subsection (a) if 
    the Administrator determines--
            (A) the community has made adequate continuing progress on 
        the reconstruction or improvement of a flood protection system; 
        and
            (B) there is a reasonable expectation that the 
        reconstruction or improvement of the flood protection system 
        will be completed not later than 1 year after the date of the 
        determination under this paragraph.
        (4) Risk premium rate.--If the Administrator terminates the 
    eligibility of persons residing in a community to purchase flood 
    insurance coverage described in subsection (a), the Administrator 
    shall establish an appropriate risk premium rate for flood 
    insurance coverage under the National Flood Insurance Program for 
    persons residing in the community that purchased flood insurance 
    coverage before the date on which the termination of eligibility 
    takes effect, taking into consideration the then-current state of 
    the flood protection system.
    (c) Additional Authority.--
        (1) Additional authority.--Notwithstanding subsection (a), in 
    exceptional and exigent circumstances, the Administrator may, in 
    the Administrator's sole discretion, determine that a person 
    residing in a community, which is a participant in the National 
    Flood Insurance Program, that has begun reconstruction or 
    improvement of a flood protection system that will afford flood 
    protection for a 100-year floodplain (without regard to the level 
    of Federal funding of or participation in the reconstruction or 
    improvement) shall be eligible for flood insurance coverage under 
    the National Flood Insurance Program at a risk premium rate that 
    does not exceed the risk premium rate that would be chargeable if 
    the flood protection system had been completed, provided--
            (A) the community makes a written request for the 
        determination setting forth the exceptional and exigent 
        circumstances, including why the community cannot meet the 
        criteria for adequate progress set forth in under subsection 
        (a)(2)(A) and why immediate relief is necessary;
            (B) the Administrator submits a written report setting 
        forth findings of the exceptional and exigent circumstances on 
        which the Administrator based an affirmative determination to 
        the Committee on Banking, Housing, and Urban Affairs of the 
        Senate, and the Committee on Financial Services of the House of 
        Representatives not later than 15 days before making the 
        determination; and
            (C) the eligibility for flood insurance coverage at a risk 
        premium rate determined under this subsection terminates no 
        later than 1 year after the date on which the Administrator 
        makes the determination.
        (2) Limitation.--Upon termination of eligibility under 
    paragraph (1)(C), a community may submit another request pursuant 
    to paragraph (1)(A). The Administrator may make no more than two 
    determinations under paragraph (1) with respect to persons residing 
    within any single requesting community.
        (3) Termination.--The authority provided under paragraphs (1) 
    and (2) shall terminate two years after the enactment of this Act.
SEC. 100231. STUDIES AND REPORTS.
    (a) Report on Improving the National Flood Insurance Program.--Not 
later than 1 year after the date of enactment of this Act, the 
Comptroller General of the United States shall conduct a study and 
submit a report to the Committee on Banking, Housing, and Urban Affairs 
of the Senate and the Committee on Financial Services of the House of 
Representatives, on--
        (1) the number of flood insurance policy holders currently 
    insuring--
            (A) a residential structure up to the maximum available 
        coverage amount, as established in section 61.6 of title 44, 
        Code of Federal Regulations, of--
                (i) $250,000 for the structure; and
                (ii) $100,000 for the contents of such structure; or
            (B) a commercial structure up to the maximum available 
        coverage amount, as established in section 61.6 of title 44, 
        Code of Federal Regulations, of $500,000;
        (2) the increased losses the National Flood Insurance Program 
    would have sustained during the 2004 and 2005 hurricane season if 
    the National Flood Insurance Program had insured all policyholders 
    up to the maximum conforming loan limit for fiscal year 2006 of 
    $417,000, as established under section 302(b)(2) of the Federal 
    National Mortgage Association Charter Act (12 U.S.C. 1717(b)(2));
        (3) the availability in the private marketplace of flood 
    insurance coverage in amounts that exceed the current limits of 
    coverage amounts established in section 61.6 of title 44, Code of 
    Federal Regulations; and
        (4) what effect, if any--
            (A) raising the current limits of coverage amounts 
        established in section 61.6 of title 44, Code of Federal 
        Regulations, would have on the ability of private insurers to 
        continue providing flood insurance coverage; and
            (B) reducing the current limits of coverage amounts 
        established in section 61.6 of title 44, Code of Federal 
        Regulations, would have on the ability of private insurers to 
        provide sufficient flood insurance coverage to effectively 
        replace the current level of flood insurance coverage being 
        provided under the National Flood Insurance Program.
    (b) Report of the Administrator on Activities Under the National 
Flood Insurance Program.--
        (1) In general.--The Administrator shall, on an annual basis, 
    submit a full report on the operations, activities, budget, 
    receipts, and expenditures of the National Flood Insurance Program 
    for the preceding 12-month period to the Committee on Banking, 
    Housing, and Urban Affairs of the Senate and the Committee on 
    Financial Services of the House of Representatives.
        (2) Timing.--Each report required under paragraph (1) shall be 
    submitted to the committees described in paragraph (1) not later 
    than 3 months following the end of each fiscal year.
        (3) Contents.--Each report required under paragraph (1) shall 
    include--
            (A) the current financial condition and income statement of 
        the National Flood Insurance Fund established under section 
        1310 of the National Flood Insurance Act of 1968 (42 U.S.C. 
        4017), including--
                (i) premiums paid into such Fund;
                (ii) policy claims against such Fund; and
                (iii) expenses in administering such Fund;
            (B) the number and face value of all policies issued under 
        the National Flood Insurance Program that are in force;
            (C) a description and summary of the losses attributable to 
        repetitive loss structures;
            (D) a description and summary of all losses incurred by the 
        National Flood Insurance Program due to--
                (i) hurricane related damage; and
                (ii) nonhurricane related damage;
            (E) the amounts made available by the Administrator for 
        mitigation assistance under section 1366(c)(4) of the National 
        Flood Insurance Act of 1968 (42 U.S.C. 4104c(c)(4)), as so 
        redesignated by this Act, for the purchase of properties 
        substantially damaged by flood for that fiscal year, and the 
        actual number of flood damaged properties purchased and the 
        total cost expended to purchase such properties;
            (F) the estimate of the Administrator as to the average 
        historical loss year, and the basis for that estimate;
            (G) the estimate of the Administrator as to the maximum 
        amount of claims that the National Flood Insurance Program 
        would have to expend in the event of a catastrophic year;
            (H) the average--
                (i) amount of insurance carried per flood insurance 
            policy;
                (ii) premium per flood insurance policy; and
                (iii) loss per flood insurance policy; and
            (I) the number of claims involving damages in excess of the 
        maximum amount of flood insurance available under the National 
        Flood Insurance Program and the sum of the amount of all 
        damages in excess of such amount.
    (c) GAO Study on Pre-FIRM Structures.--Not later than 1 year after 
the date of enactment of this Act, the Comptroller General of the 
United States shall conduct a study and submit a report to the 
Committee on Banking, Housing, and Urban Affairs of the Senate and the 
Committee on Financial Services of the House of Representatives, on 
the--
        (1) composition of the remaining pre-FIRM structures that are 
    explicitly receiving discounted premium rates under section 1307 of 
    the National Flood Insurance Act of 1968 (42 U.S.C. 4014), 
    including the historical basis for the receipt of such subsidy and 
    the extent to which pre-FIRM structures are currently owned by the 
    same owners of the property at the time of the original National 
    Flood Insurance Program rate map;
        (2) number and fair market value of such structures;
        (3) respective income level of the owners of such structures;
        (4) number of times each such structure has been sold since 
    1968, including specific dates, sales price, and any other 
    information the Secretary determines appropriate;
        (5) total losses incurred by such structures since the 
    establishment of the National Flood Insurance Program compared to 
    the total losses incurred by all structures that are charged a 
    nondiscounted premium rate;
        (6) total cost of foregone premiums since the establishment of 
    the National Flood Insurance Program, as a result of the subsidies 
    provided to such structures;
        (7) annual cost as a result of the subsidies provided to such 
    structures;
        (8) the premium income collected and the losses incurred by the 
    National Flood Insurance Program as a result of such explicitly 
    subsidized structures compared to the premium income collected and 
    the losses incurred by such Program as a result of structures that 
    are charged a nondiscounted premium rate, on a State-by-State 
    basis; and
        (9) the options for eliminating the subsidy to such structures.
    (d) GAO Review of FEMA Contractors.--The Comptroller General of the 
United States, in conjunction with the Office of the Inspector General 
of the Department of Homeland Security, shall--
        (1) conduct a review of the 3 largest contractors the 
    Administrator uses in administering the National Flood Insurance 
    Program; and
        (2) not later than 18 months after the date of enactment of 
    this Act, submit a report on the findings of such review to the 
    Administrator, the Committee on Banking, Housing, and Urban Affairs 
    of the Senate, and the Committee on Financial Services of the House 
    of Representatives.
    (e) Study and Report on Graduated Risk.--
        (1) Study.--
            (A) Study required.--The Administrator shall enter into a 
        contract under which the National Academy of Sciences shall 
        conduct a study exploring methods for understanding graduated 
        risk behind levees and the associated land development, 
        insurance, and risk communication dimensions.
            (B) Contents of study.--The study under this paragraph 
        shall--
                (i) research, review, and recommend current best 
            practices for estimating direct annualized flood losses 
            behind levees for residential and commercial structures;
                (ii) rank each best practice recommended under clause 
            (i) based on the best value, balancing cost, scientific 
            integrity, and the inherent uncertainties associated with 
            all aspects of the loss estimate, including geotechnical 
            engineering, flood frequency estimates, economic value, and 
            direct damages;
                (iii) research, review, and identify current best 
            floodplain management and land use practices behind levees 
            that effectively balance social, economic, and 
            environmental considerations as part of an overall flood 
            risk management strategy;
                (iv) identify areas in which the best floodplain 
            management and land use practices described in clause (iii) 
            have proven effective and recommend methods and processes 
            by which such practices could be applied more broadly 
            across the United States, given the variety of different 
            flood risks, State and local legal frameworks, and evolving 
            judicial opinions;
                (v) research, review, and identify a variety of flood 
            insurance pricing options for flood hazards behind levees 
            that are actuarially sound and based on the flood risk data 
            developed using the 3 best practices recommended under 
            clause (i) that have the best value as determined under 
            clause (ii);
                (vi) evaluate and recommend methods to reduce insurance 
            costs through creative arrangements between insureds and 
            insurers while keeping a clear accounting of how much 
            financial risk is being borne by various parties such that 
            the entire risk is accounted for, including establishment 
            of explicit limits on disaster aid or other assistance in 
            the event of a flood; and
                (vii) taking into consideration the recommendations 
            under clauses (i) through (iii), recommend approaches to 
            communicate the associated risks to community officials, 
            homeowners, and other residents of communities.
        (2) Report.--The contract under paragraph (1)(A) shall provide 
    that not later than 12 months after the date of enactment of this 
    Act, the National Academy of Sciences shall submit to the Committee 
    on Banking, Housing, and Urban Affairs of the Senate and the 
    Committee on Financial Services and the Committee on Science, 
    Space, and Technology of the House of Representatives a report on 
    the study under paragraph (1) that includes the information and 
    recommendations required under paragraph (1).
SEC. 100232. REINSURANCE.
    (a) FEMA and GAO Reports on Privatization.--Not later than 18 
months after the date of enactment of this Act, the Administrator and 
the Comptroller General of the United States shall each--
        (1) conduct a separate study to assess a broad range of 
    options, methods, and strategies for privatizing the National Flood 
    Insurance Program; and
        (2) submit a report to the Committee on Financial Services of 
    the House of Representatives and the Committee on Banking, Housing, 
    and Urban Affairs of the Senate with recommendations for the best 
    manner to accomplish the privatization described in paragraph (1).
    (b) Private Risk-management Initiatives.--The Administrator may 
carry out such private risk-management initiatives as are otherwise 
authorized under applicable law, as the Administrator considers 
appropriate to determine the capacity of private insurers, reinsurers, 
and financial markets to assist communities, on a voluntary basis only, 
in managing the full range of financial risks associated with flooding.
    (c) Reinsurance Assessment.--
        (1) Private market pricing assessment.--Not later than 12 
    months after the date of enactment of this Act, the Administrator 
    shall submit to Congress a report that--
            (A) assesses the capacity of the private reinsurance, 
        capital, and financial markets to assist communities, on a 
        voluntary basis, in managing the full range of financial risks 
        associated with flooding by requesting proposals to assume a 
        portion of the insurance risk of the National Flood Insurance 
        Program;
            (B) describes any responses to the request for proposals 
        under subparagraph (A);
            (C) assesses whether the rates and terms contained in any 
        proposals received by the Administrator are--
                (i) reasonable and appropriate; and
                (ii) in an amount sufficient to maintain the ability of 
            the National Flood Insurance Program to pay claims;
            (D) describes the extent to which carrying out the 
        proposals received by the Administrator would minimize the 
        likelihood that the Administrator would use the borrowing 
        authority under section 1309 of the National Flood Insurance 
        Act of 1968 (42 U.S.C. 4016);
            (E) describes fluctuations in historical reinsurance rates; 
        and
            (F) includes an economic cost-benefit analysis of the 
        impact on the National Flood Insurance Program if the 
        Administrator were to exercise the authority under section 
        1335(a)(2) of the National Flood Insurance Act of 1968 (42 
        U.S.C. 4055(a)(2)), as added by this section, to secure 
        reinsurance of coverage provided by the National Flood 
        Insurance Program from the private market.
        (2) Protocol for release of data.--The Administrator shall 
    develop a protocol, including adequate privacy protections, to 
    provide for the release of data sufficient to conduct the 
    assessment required under paragraph (1).
    (d) Reinsurance.--The National Flood Insurance Act of 1968 (42 
U.S.C. 4001 et seq.) is amended--
        (1) in section 1331(a)(2) (42 U.S.C. 4051(a)(2)), by inserting 
    ``, including as reinsurance of coverage provided by the flood 
    insurance program'' before ``, on such terms'';
        (2) in section 1332(c)(2) (42 U.S.C. 4052(c)(2)), by inserting 
    ``or reinsurance'' after ``flood insurance coverage'';
        (3) in section 1335(a) (42 U.S.C. 4055(a))--
            (A) by striking ``The Director'' and inserting the 
        following:
        ``(1) In general.--The Administrator''; and
            (B) by adding at the end the following:
        ``(2) Private reinsurance.--The Administrator is authorized to 
    secure reinsurance of coverage provided by the flood insurance 
    program from the private market at rates and on terms determined by 
    the Administrator to be reasonable and appropriate, in an amount 
    sufficient to maintain the ability of the program to pay claims.'';
        (4) in section 1346(a) (42 U.S.C. 4082(a))--
            (A) in the matter preceding paragraph (1), by inserting 
        after ``for the purpose of'' the following: ``securing 
        reinsurance of insurance coverage provided by the program or 
        for the purpose of'';
            (B) in paragraph (1)--
                (i) by striking ``estimating'' and inserting 
            ``Estimating''; and
                (ii) by striking the semicolon at the end and inserting 
            a period;
            (C) in paragraph (2)--
                (i) by striking ``receiving'' and inserting 
            ``Receiving''; and
                (ii) by striking the semicolon at the end and inserting 
            a period;
            (D) in paragraph (3)--
                (i) by striking ``making'' and inserting ``Making''; 
            and
                (ii) by striking ```; and''' and inserting a period;
            (E) by redesignating paragraph (4) as paragraph (5);
            (F) in paragraph (5), as so redesignated, by striking 
        ``otherwise'' and inserting ``Otherwise''; and
            (G) by inserting after paragraph (3) the following new 
        paragraph:
        ``(4) Placing reinsurance coverage on insurance provided by 
    such program.''; and
        (5) in section 1370(a)(3) (42 U.S.C. 4121(a)(3)), by striking 
    ``include any'' and all that follows and inserting the following: 
    ``include any organization or person that is authorized to engage 
    in the business of insurance under the laws of any State, subject 
    to the reporting requirements of the Securities Exchange Act of 
    1934 pursuant to section 13(a) or 15(d) of such Act (15 U.S.C. 
    78m(a) and 78o(d)), or authorized by the Administrator to assume 
    reinsurance on risks insured by the flood insurance program;''.
    (e) Assessment of Claims-paying Ability.--
        (1) Assessment.--
            (A) Assessment required.--
                (i) In general.--Not later than September 30 of each 
            year, the Administrator shall conduct an assessment of the 
            ability of the National Flood Insurance Program to pay 
            claims.
                (ii) Private market reinsurance.--The assessment under 
            this paragraph for any year in which the Administrator 
            exercises the authority under section 1335(a)(2) of the 
            National Flood Insurance Act of 1968 (42 U.S.C. 
            4055(a)(2)), as added by this section, to secure 
            reinsurance of coverage provided by the National Flood 
            Insurance Program from the private market shall include 
            information relating the use of private sector reinsurance 
            and reinsurance equivalents by the Administrator, whether 
            or not the Administrator used the borrowing authority under 
            section 1309 of the National Flood Insurance Act of 1968 
            (42 U.S.C. 4016).
                (iii) First assessment.--The Administrator shall 
            conduct the first assessment required under this paragraph 
            not later than September 30, 2012.
            (B) Considerations.--In conducting an assessment under 
        subparagraph (A), the Administrator shall take into 
        consideration regional concentrations of coverage written by 
        the National Flood Insurance Program, peak flood zones, and 
        relevant mitigation measures.
        (2) Annual report of the administrator of activities under the 
    national flood insurance program.--The Administrator shall--
            (A) include the results of each assessment in the report 
        required under section 100231(b); and
            (B) not later than 30 days after the date on which the 
        Administrator completes an assessment required under paragraph 
        (1), make the results of the assessment available to the 
        public.
SEC. 100233. GAO STUDY ON BUSINESS INTERRUPTION AND ADDITIONAL LIVING 
EXPENSES COVERAGES.
    (a) Study.--The Comptroller General of the United States shall 
conduct a study concerning--
        (1) the availability of additional living expenses and business 
    interruption coverage in the private marketplace for flood 
    insurance;
        (2) the feasibility of allowing the National Flood Insurance 
    Program to offer such coverage at the option of the consumer;
        (3) the estimated cost to consumers if the National Flood 
    Insurance Program priced such optional coverage at true actuarial 
    rates;
        (4) the impact such optional coverage would have on consumer 
    participation in the National Flood Insurance Program; and
        (5) the fiscal impact such optional coverage would have upon 
    the National Flood Insurance Fund if such optional coverage were 
    included in the National Flood Insurance Program, as described in 
    paragraph (2), at the price described in paragraph (3).
    (b) Report.--Not later than 1 year after the date of enactment of 
this Act, the Comptroller General shall submit to the Committee on 
Banking, Housing, and Urban Affairs of the Senate and the Committee on 
Financial Services of the House of Representatives a report containing 
the results of the study under subsection (a).
SEC. 100234. POLICY DISCLOSURES.
    (a) In General.--Notwithstanding any other provision of law, in 
addition to any other disclosures that may be required, each policy 
under the National Flood Insurance Program shall state all conditions, 
exclusions, and other limitations pertaining to coverage under the 
subject policy, regardless of the underlying insurance product, in 
plain English, in boldface type, and in a font size that is twice the 
size of the text of the body of the policy.
    (b) Violations.--The Administrator may impose a civil penalty of 
not more than $50,000 on any person that fails to comply with 
subsection (a).
SEC. 100235. REPORT ON INCLUSION OF BUILDING CODES IN FLOODPLAIN 
MANAGEMENT CRITERIA.
    Not later than 6 months after the date of enactment of this Act, 
the Administrator of the Federal Emergency Management Agency shall 
conduct a study and submit a report to the Committee on Banking, 
Housing, and Urban Affairs of the Senate and the Committee on Financial 
Services of the House of Representatives regarding the impact, 
effectiveness, and feasibility of amending section 1361 of the National 
Flood Insurance Act of 1968 (42 U.S.C. 4102) to include widely used and 
nationally recognized building codes as part of the floodplain 
management criteria developed under such section, and shall determine--
        (1) the regulatory, financial, and economic impacts of such a 
    building code requirement on homeowners, States and local 
    communities, local land use policies, and the Federal Emergency 
    Management Agency;
        (2) the resources required of State and local communities to 
    administer and enforce such a building code requirement;
        (3) the effectiveness of such a building code requirement in 
    reducing flood-related damage to buildings and contents;
        (4) the impact of such a building code requirement on the 
    actuarial soundness of the National Flood Insurance Program;
        (5) the effectiveness of nationally recognized codes in 
    allowing innovative materials and systems for flood-resistant 
    construction;
        (6) the feasibility and effectiveness of providing an incentive 
    in lower premium rates for flood insurance coverage under such Act 
    for structures meeting whichever of such widely used and nationally 
    recognized building codes or any applicable local building codes 
    provides greater protection from flood damage;
        (7) the impact of such a building code requirement on rural 
    communities with different building code challenges than urban 
    communities; and
        (8) the impact of such a building code requirement on Indian 
    reservations.
SEC. 100236. STUDY OF PARTICIPATION AND AFFORDABILITY FOR CERTAIN 
POLICYHOLDERS.
    (a) FEMA Study.--The Administrator shall conduct a study of--
        (1) methods to encourage and maintain participation in the 
    National Flood Insurance Program;
        (2) methods to educate consumers about the National Flood 
    Insurance Program and the flood risk associated with their 
    property;
        (3) methods for establishing an affordability framework for the 
    National Flood Insurance Program, including methods to aid 
    individuals to afford risk-based premiums under the National Flood 
    Insurance Program through targeted assistance rather than generally 
    subsidized rates, including means-tested vouchers; and
        (4) the implications for the National Flood Insurance Program 
    and the Federal budget of using each such method.
    (b) National Academy of Sciences Economic Analysis.--To inform the 
Administrator in the conduct of the study under subsection (a), the 
Administrator shall enter into a contract under which the National 
Academy of Sciences, in consultation with the Comptroller General of 
the United States, shall conduct and submit to the Administrator an 
economic analysis of the costs and benefits to the Federal Government 
of a flood insurance program with full risk-based premiums, combined 
with means-tested Federal assistance to aid individuals who cannot 
afford coverage, through an insurance voucher program. The analysis 
shall compare the costs of a program of risk-based rates and means-
tested assistance to the current system of subsidized flood insurance 
rates and federally funded disaster relief for people without coverage.
    (c) Report.--Not later than 270 days after the date of enactment of 
this Act, the Administrator shall submit to the Committee on Banking, 
Housing, and Urban Affairs of the Senate and the Committee on Financial 
Services of the House of Representatives a report that contains the 
results of the study and analysis under this section.
    (d) Funding.--Notwithstanding section 1310 of the National Flood 
Insurance Act of 1968 (42 U.S.C. 4017), there shall be available to the 
Administrator from the National Flood Insurance Fund, of amounts not 
otherwise obligated, not more than $750,000 to carry out this section.
SEC. 100237. STUDY AND REPORT CONCERNING THE PARTICIPATION OF INDIAN 
TRIBES AND MEMBERS OF INDIAN TRIBES IN THE NATIONAL FLOOD INSURANCE 
PROGRAM.
    (a) Definition.--In this section, the term ``Indian tribe'' has the 
meaning given that term in section 4 of the Indian Self-Determination 
and Education Assistance Act (25 U.S.C. 450b).
    (b) Findings.--Congress finds that participation by Indian tribes 
in the National Flood Insurance Program is low. Only 45 of 565 Indian 
tribes participate in the National Flood Insurance Program.
    (c) Study.--The Comptroller General of the United States, in 
coordination and consultation with Indian tribes and members of Indian 
tribes throughout the United States, shall carry out a study that 
examines--
        (1) the factors contributing to the current rates of 
    participation by Indian tribes and members of Indian tribes in the 
    National Flood Insurance Program; and
        (2) methods of encouraging participation by Indian tribes and 
    members of Indian tribes in the National Flood Insurance Program.
    (d) Report.--Not later than 6 months after the date of enactment of 
this Act, the Comptroller General shall submit to Congress a report 
that--
        (1) contains the results of the study carried out under 
    subsection (c);
        (2) describes the steps that the Administrator should take to 
    increase awareness and encourage participation by Indian tribes and 
    members of Indian tribes in the National Flood Insurance Program; 
    and
        (3) identifies any legislative changes that would encourage 
    participation by Indian tribes and members of Indian tribes in the 
    National Flood Insurance Program.
SEC. 100238. TECHNICAL CORRECTIONS.
    (a) Flood Disaster Protection Act of 1973.--The Flood Disaster 
Protection Act of 1973 (42 U.S.C. 4002 et seq.) is amended--
        (1) by striking ``Director'' each place that term appears, 
    except in section 102(f)(3) (42 U.S.C. 4012a(f)(3)), and inserting 
    ``Administrator''; and
        (2) in section 201(b) (42 U.S.C. 4105(b)), by striking 
    ``Director's'' and inserting ``Administrator's''.
    (b) National Flood Insurance Act of 1968.--The National Flood 
Insurance Act of 1968 (42 U.S.C. 4001 et seq.) is amended--
        (1) by striking ``Director'' each place that term appears and 
    inserting ``Administrator'';
        (2) in section 1363 (42 U.S.C. 4104), by striking 
    ``Director's'' each place that term appears and inserting 
    ``Administrator's''; and
        (3) in section 1370(a)(9) (42 U.S.C. 4121(a)(9)), by striking 
    ``the Office of Thrift Supervision,''.
    (c) Federal Flood Insurance Act of 1956.--Section 15(e) of the 
Federal Flood Insurance Act of 1956 (42 U.S.C. 2414(e)) is amended by 
striking ``Director'' each place that term appears and inserting 
``Administrator''.
SEC. 100239. USE OF PRIVATE INSURANCE TO SATISFY MANDATORY PURCHASE 
REQUIREMENT.
    (a) Amendments.--Section 102(b) of the Flood Disaster Protection 
Act of 1973 (42 U.S.C. 4012a(b)) is amended--
        (1) in paragraph (1)--
            (A) by striking the period at the end and inserting ``; 
        and'';
            (B) by striking ``lending institutions not to make'' and 
        inserting ``lending institutions--
            ``(A) not to make''; and
            (C) by adding at the end the following:
            ``(B) to accept private flood insurance as satisfaction of 
        the flood insurance coverage requirement under subparagraph (A) 
        if the coverage provided by such private flood insurance meets 
        the requirements for coverage under such subparagraph.'';
        (2) in paragraph (2)--
            (A) by striking ``paragraph (1)'' each place that term 
        appears and inserting ``paragraph (1)(A)''; and
            (B) by inserting after the first sentence the following: 
        ``Each Federal agency lender shall accept private flood 
        insurance as satisfaction of the flood insurance coverage 
        requirement under the preceding sentence if the flood insurance 
        coverage provided by such private flood insurance meets the 
        requirements for coverage under such sentence.'';
        (3) in paragraph (3), in the matter following subparagraph (B), 
    by striking ``paragraph (1).'' and inserting ``paragraph (1)(A). 
    The Federal National Mortgage Association and the Federal Home Loan 
    Mortgage Corporation shall accept private flood insurance as 
    satisfaction of the flood insurance coverage requirement under 
    paragraph (1)(A) if the flood insurance coverage provided by such 
    private flood insurance meets the requirements for coverage under 
    such paragraph and any requirements established by the Federal 
    National Mortgage Association or the Federal Home Loan Mortgage 
    Corporation, respectively, relating to the financial solvency, 
    strength, or claims-paying ability of private insurance companies 
    from which the Federal National Mortgage Association or the Federal 
    Home Loan Mortgage Corporation will accept private flood 
    insurance.''; and
        (4) by adding at the end the following:
        ``(5) Rule of construction.--Nothing in this subsection shall 
    be construed to supersede or limit the authority of a Federal 
    entity for lending regulation, the Federal Housing Finance Agency, 
    a Federal agency lender, the Federal National Mortgage Association, 
    or the Federal Home Loan Mortgage Corporation to establish 
    requirements relating to the financial solvency, strength, or 
    claims-paying ability of private insurance companies from which the 
    entity or agency will accept private flood insurance.
        ``(6) Notice.--
            ``(A) In general.--Each lender shall disclose to a borrower 
        that is subject to this subsection that--
                ``(i) flood insurance is available from private 
            insurance companies that issue standard flood insurance 
            policies on behalf of the national flood insurance program 
            or directly from the national flood insurance program;
                ``(ii) flood insurance that provides the same level of 
            coverage as a standard flood insurance policy under the 
            national flood insurance program may be available from a 
            private insurance company that issues policies on behalf of 
            the company; and
                ``(iii) the borrower is encouraged to compare the flood 
            insurance coverage, deductibles, exclusions, conditions and 
            premiums associated with flood insurance policies issued on 
            behalf of the national flood insurance program and policies 
            issued on behalf of private insurance companies and to 
            direct inquiries regarding the availability, cost, and 
            comparisons of flood insurance coverage to an insurance 
            agent.
            ``(B) Rule of construction.--Nothing in this paragraph 
        shall be construed as affecting or otherwise limiting the 
        authority of a Federal entity for lending regulation to approve 
        any disclosure made by a regulated lending institution for 
        purposes of complying with subparagraph (A).
        ``(7) Private flood insurance defined.--In this subsection, the 
    term `private flood insurance' means an insurance policy that--
            ``(A) is issued by an insurance company that is--
                ``(i) licensed, admitted, or otherwise approved to 
            engage in the business of insurance in the State or 
            jurisdiction in which the insured building is located, by 
            the insurance regulator of that State or jurisdiction; or
                ``(ii) in the case of a policy of difference in 
            conditions, multiple peril, all risk, or other blanket 
            coverage insuring nonresidential commercial property, is 
            recognized, or not disapproved, as a surplus lines insurer 
            by the insurance regulator of the State or jurisdiction 
            where the property to be insured is located;
            ``(B) provides flood insurance coverage which is at least 
        as broad as the coverage provided under a standard flood 
        insurance policy under the national flood insurance program, 
        including when considering deductibles, exclusions, and 
        conditions offered by the insurer;
            ``(C) includes--
                ``(i) a requirement for the insurer to give 45 days' 
            written notice of cancellation or non-renewal of flood 
            insurance coverage to--

                    ``(I) the insured; and
                    ``(II) the regulated lending institution or Federal 
                agency lender;

                ``(ii) information about the availability of flood 
            insurance coverage under the national flood insurance 
            program;
                ``(iii) a mortgage interest clause similar to the 
            clause contained in a standard flood insurance policy under 
            the national flood insurance program; and
                ``(iv) a provision requiring an insured to file suit 
            not later than 1 year after date of a written denial of all 
            or part of a claim under the policy; and
            ``(D) contains cancellation provisions that are as 
        restrictive as the provisions contained in a standard flood 
        insurance policy under the national flood insurance program.''.
    (b) Technical and Conforming Amendment.--Section 1364(a)(3)(C) of 
the National Flood Insurance Act of 1968 (42 U.S.C. 4104a(a)(3)(C)) is 
amended by inserting after ``private insurers'' the following: ``, as 
required under section 102(b)(6) of the Flood Disaster Protection Act 
of 1973 (42 U.S.C. 4012a(b)(6))''.
SEC. 100240. LEVEES CONSTRUCTED ON CERTAIN PROPERTIES.
    (a) Definition.--In this section, the term ``covered hazard 
mitigation land'' means land that--
        (1) was acquired and deed restricted under section 1366 of the 
    National Flood Insurance Act of 1968 (42 U.S.C. 4104c) during the 
    period beginning on January 1, 1999, and ending December 31, 2011;
        (2) is located at--
            (A) 1029 Oak Street, Fargo, North Dakota;
            (B) 27 South Terrace, Fargo, North Dakota;
            (C) 1033 Oak Street, Fargo, North Dakota;
            (D) 308 Schnell Drive, Oxbow, North Dakota; or
            (E) 306 Schnell Drive, Oxbow, North Dakota; and
        (3) is located in a community that--
            (A) is participating in the National Flood Insurance 
        Program on the date on which a State, local, or tribal 
        government submits an application requesting to construct a 
        permanent flood risk reduction levee under subsection (b); and
            (B) certifies to the Administrator and the Chief of 
        Engineers that the community will continue to participate in 
        the National Flood Insurance Program.
    (b) Authority.--Notwithstanding any other prohibition on 
construction on property acquired with funding from the Federal 
Emergency Management Agency for conversion to open space purposes, the 
Administrator shall allow the construction of a permanent flood risk 
reduction levee by a State, local, or tribal government on covered 
hazard mitigation land if--
        (1) the Administrator and the Chief of Engineers make a 
    determination that--
            (A) construction of the proposed permanent flood risk 
        reduction levee would more effectively mitigate against 
        flooding risk than an open floodplain or other flood risk 
        reduction measures;
            (B) the proposed permanent flood risk reduction levee 
        complies with Federal, State, and local requirements, including 
        mitigation of adverse impacts and implementation of floodplain 
        management requirements, which shall include an evaluation of 
        whether the construction, operation, and maintenance of the 
        proposed levee--
                (i) would continue to meet best available industry 
            standards and practices;
                (ii) would be the most cost-effective measure to 
            protect against the assessed flood risk; and
                (iii) minimizes future costs to the Federal Government;
            (C) the State, local, or tribal government seeking to 
        construct the proposed permanent flood risk reduction levee has 
        provided an adequate maintenance plan that documents the 
        procedures the State, local, or tribal government will use to 
        ensure that the stability, height, and overall integrity of the 
        proposed levee and the structure and systems of the proposed 
        levee are maintained, including--
                (i) specifying the maintenance activities to be 
            performed;
                (ii) specifying the frequency with which maintenance 
            activities will be performed;
                (iii) specifying the person responsible for performing 
            each maintenance activity (by name or title);
                (iv) detailing the plan for financing the maintenance 
            of the levee; and
                (v) documenting the ability of the State, local, or 
            tribal government to finance the maintenance of the levee; 
            and
        (2) before the commencement of construction, the State, local, 
    or tribal government provides to the Administrator an amount--
            (A) equal to the Federal share of all project costs 
        previously provided by the Administrator under the applicable 
        program for each deed restricted parcel of the covered hazard 
        mitigation land, which the Administrator shall deposit in the 
        National Flood Insurance Fund; and
            (B) that does not include any Federal funds.
    (c) Maintenance Certification.--
        (1) In general.--A State, local, or tribal government that 
    constructs a permanent flood risk reduction levee under subsection 
    (b) shall submit to the Administrator and the Chief of Engineers an 
    annual certification indicating whether the State, local, or tribal 
    government is in compliance with the maintenance plan provided 
    under subsection (b)(1)(C).
        (2) Review.--The Chief of Engineers shall review each 
    certification submitted under paragraph (1) and determine whether 
    the State, local, or tribal government has complied with the 
    maintenance plan.
SEC. 100241. INSURANCE COVERAGE FOR PRIVATE PROPERTIES AFFECTED BY 
FLOODING FROM FEDERAL LANDS.
    Section 1306(c)(2) of the National Flood Insurance Act of 1968 (42 
U.S.C. 4013(c)(2)) is amended--
        (1) in subparagraph (A), by striking ``or'' at the end;
        (2) in subparagraph (B), by striking the period at the end and 
    inserting ``; or''; and
        (3) by adding at the end the following:
            ``(C) the initial purchase of flood insurance coverage for 
        private property if--
                ``(i) the Administrator determines that the property is 
            affected by flooding on Federal land that is a result of, 
            or is exacerbated by, post-wildfire conditions, after 
            consultation with an authorized employee of the Federal 
            agency that has jurisdiction of the land on which the 
            wildfire that caused the post-wildfire conditions occurred; 
            and
                ``(ii) the flood insurance coverage was purchased not 
            later than 60 days after the fire containment date, as 
            determined by the appropriate Federal employee, relating to 
            the wildfire that caused the post-wildfire conditions 
            described in clause (i).''.
SEC. 100242. PERMISSIBLE LAND USE UNDER FEDERAL FLOOD INSURANCE PLAN.
    Chapter I of the National Flood Insurance Act of 1968 (42 U.S.C. 
4011 et seq.) is amended by adding at the end the following:
``SEC. 1325. TREATMENT OF SWIMMING POOL ENCLOSURES OUTSIDE OF HURRICANE 
SEASON.
    ``(a) In General.--Notwithstanding any other provision of law, 
including the adequate land use and control measures developed pursuant 
to section 1361 and applicable to non-one- and two-family structures 
located within coastal areas, as identified by the Administrator, the 
following may be permitted:
        ``(1) Nonsupporting breakaway walls in the space below the 
    lowest elevated floor of a building, if the space is used solely 
    for a swimming pool between November 30 and June 1 of any year, in 
    an area designated as Zone V on a flood insurance rate map.
        ``(2) Openings in walls in the space below the lowest elevated 
    floor of a building, if the space is used solely for a swimming 
    pool between November 30 and June 1 of any year, in an area 
    designated as Zone A on a flood insurance rate map.
    ``(b) Rule of Construction.--Nothing in subsection (a) shall be 
construed to alter the terms and conditions of eligibility and 
insurability of coverage for a building under the standard flood 
insurance policy under the national flood insurance program.''.
SEC. 100243. CDBG ELIGIBILITY FOR FLOOD INSURANCE OUTREACH ACTIVITIES 
AND COMMUNITY BUILDING CODE ADMINISTRATION GRANTS.
    (a) Amendments.--Section 105(a) of the Housing and Community 
Development Act of 1974 (42 U.S.C. 5305(a)) is amended--
        (1) by redesignating paragraph (25) as paragraph (26);
        (2) by redesignating the second paragraph designated as 
    paragraph (24) (relating to tornado-safe shelters) as paragraph 
    (25);
        (3) in paragraph (24) (relating to homeownership among persons 
    with low and moderate income), by striking ``and'' at the end;
        (4) in paragraph (25), as so redesignated, by striking ``and'' 
    at the end;
        (5) in paragraph (26), as so redesignated, by striking the 
    period at the end and inserting a semicolon; and
        (6) by adding at the end the following new paragraphs:
        ``(27) supplementing existing State or local funding for 
    administration of building code enforcement by local building code 
    enforcement departments, including for increasing staffing, 
    providing staff training, increasing staff competence and 
    professional qualifications, and supporting individual 
    certification or departmental accreditation, and for capital 
    expenditures specifically dedicated to the administration of the 
    building code enforcement department, except that, to be eligible 
    to use amounts as provided in this paragraph--
            ``(A) a building code enforcement department shall provide 
        matching, non-Federal funds to be used in conjunction with 
        amounts used under this paragraph in an amount--
                ``(i) in the case of a building code enforcement 
            department serving an area with a population of more than 
            50,000, equal to not less than 50 percent of the total 
            amount of any funds made available under this title that 
            are used under this paragraph;
                ``(ii) in the case of a building code enforcement 
            department serving an area with a population of between 
            20,001 and 50,000, equal to not less than 25 percent of the 
            total amount of any funds made available under this title 
            that are used under this paragraph; and
                ``(iii) in the case of a building code enforcement 
            department serving an area with a population of less than 
            20,000, equal to not less than 12.5 percent of the total 
            amount of any funds made available under this title that 
            are used under this paragraph,
        except that the Secretary may waive the matching fund 
        requirements under this subparagraph, in whole or in part, 
        based upon the level of economic distress of the jurisdiction 
        in which is located the local building code enforcement 
        department that is using amounts for purposes under this 
        paragraph, and shall waive such matching fund requirements in 
        whole for any recipient jurisdiction that has dedicated all 
        building code permitting fees to the conduct of local building 
        code enforcement; and
            ``(B) any building code enforcement department using funds 
        made available under this title for purposes under this 
        paragraph shall empanel a code administration and enforcement 
        team consisting of at least 1 full-time building code 
        enforcement officer, a city planner, and a health planner or 
        similar officer; and
        ``(28) provision of assistance to local governmental agencies 
    responsible for floodplain management activities (including such 
    agencies of Indians tribes, as such term is defined in section 4 of 
    the Native American Housing Assistance and Self-Determination Act 
    of 1996 (25 U.S.C. 4103)) in communities that participate in the 
    national flood insurance program under the National Flood Insurance 
    Act of 1968 (42 U.S.C. 4001 et seq.), only for carrying out 
    outreach activities to encourage and facilitate the purchase of 
    flood insurance protection under such Act by owners and renters of 
    properties in such communities and to promote educational 
    activities that increase awareness of flood risk reduction; except 
    that--
            ``(A) amounts used as provided under this paragraph shall 
        be used only for activities designed to--
                ``(i) identify owners and renters of properties in 
            communities that participate in the national flood 
            insurance program, including owners of residential and 
            commercial properties;
                ``(ii) notify such owners and renters when their 
            properties become included in, or when they are excluded 
            from, an area having special flood hazards and the effect 
            of such inclusion or exclusion on the applicability of the 
            mandatory flood insurance purchase requirement under 
            section 102 of the Flood Disaster Protection Act of 1973 
            (42 U.S.C. 4012a) to such properties;
                ``(iii) educate such owners and renters regarding the 
            flood risk and reduction of this risk in their community, 
            including the continued flood risks to areas that are no 
            longer subject to the flood insurance mandatory purchase 
            requirement;
                ``(iv) educate such owners and renters regarding the 
            benefits and costs of maintaining or acquiring flood 
            insurance, including, where applicable, lower-cost 
            preferred risk policies under this title for such 
            properties and the contents of such properties;
                ``(v) encourage such owners and renters to maintain or 
            acquire such coverage;
                ``(vi) notify such owners of where to obtain 
            information regarding how to obtain such coverage, 
            including a telephone number, mailing address, and Internet 
            site of the Administrator of the Federal Emergency 
            Management Agency (in this paragraph referred to as the 
            `Administrator') where such information is available; and
                ``(vii) educate local real estate agents in communities 
            participating in the national flood insurance program 
            regarding the program and the availability of coverage 
            under the program for owners and renters of properties in 
            such communities, and establish coordination and liaisons 
            with such real estate agents to facilitate purchase of 
            coverage under the National Flood Insurance Act of 1968 and 
            increase awareness of flood risk reduction;
            ``(B) in any fiscal year, a local governmental agency may 
        not use an amount under this paragraph that exceeds 3 times the 
        amount that the agency certifies, as the Secretary, in 
        consultation with the Administrator, shall require, that the 
        agency will contribute from non-Federal funds to be used with 
        such amounts used under this paragraph only for carrying out 
        activities described in subparagraph (A); and for purposes of 
        this subparagraph, the term `non-Federal funds' includes State 
        or local government agency amounts, in-kind contributions, any 
        salary paid to staff to carry out the eligible activities of 
        the local governmental agency involved, the value of the time 
        and services contributed by volunteers to carry out such 
        services (at a rate determined by the Secretary), and the value 
        of any donated material or building and the value of any lease 
        on a building;
            ``(C) a local governmental agency that uses amounts as 
        provided under this paragraph may coordinate or contract with 
        other agencies and entities having particular capacities, 
        specialties, or experience with respect to certain populations 
        or constituencies, including elderly or disabled families or 
        persons, to carry out activities described in subparagraph (A) 
        with respect to such populations or constituencies; and
            ``(D) each local government agency that uses amounts as 
        provided under this paragraph shall submit a report to the 
        Secretary and the Administrator, not later than 12 months after 
        such amounts are first received, which shall include such 
        information as the Secretary and the Administrator jointly 
        consider appropriate to describe the activities conducted using 
        such amounts and the effect of such activities on the retention 
        or acquisition of flood insurance coverage.''.
    (b) Sunset.--Effective on the date that is 2 years after the date 
of enactment of this Act, section 105(a) of the Housing and Community 
Development Act of 1974 (42 U.S.C. 5305(a)) is amended--
        (1) in paragraph (25), as so redesignated by subsection (a) of 
    this subsection, by adding ``and'' at the end;
        (2) in paragraph (26), as so redesignated by subsection (a) of 
    this subsection, by striking the semicolon at the end and inserting 
    a period; and
        (3) by striking paragraphs (27) and (28), as added by 
    subsection (a) of this subsection.
SEC. 100244. TERMINATION OF FORCE-PLACED INSURANCE.
    (a) In General.--Section 102(e) of the Flood Disaster Protection 
Act of 1973 (42 U.S.C. 4012a(e)) is amended--
        (1) in paragraph (2), by striking ``purchasing the insurance'' 
    and inserting ``purchasing the insurance, including premiums or 
    fees incurred for coverage beginning on the date on which flood 
    insurance coverage lapsed or did not provide a sufficient coverage 
    amount'';
        (2) by redesignating paragraphs (3) and (4) as paragraphs (5) 
    and (6), respectively; and
        (3) by inserting after paragraph (2) the following new 
    paragraphs:
        ``(3) Termination of force-placed insurance.--Within 30 days of 
    receipt by the lender or servicer of a confirmation of a borrower's 
    existing flood insurance coverage, the lender or servicer shall--
            ``(A) terminate any insurance purchased by the lender or 
        servicer under paragraph (2); and
            ``(B) refund to the borrower all premiums paid by the 
        borrower for any insurance purchased by the lender or servicer 
        under paragraph (2) during any period during which the 
        borrower's flood insurance coverage and the insurance coverage 
        purchased by the lender or servicer were each in effect, and 
        any related fees charged to the borrower with respect to the 
        insurance purchased by the lender or servicer during such 
        period.
        ``(4) Sufficiency of demonstration.--For purposes of confirming 
    a borrower's existing flood insurance coverage, a lender or 
    servicer for a loan shall accept from the borrower an insurance 
    policy declarations page that includes the existing flood insurance 
    policy number and the identity of, and contact information for, the 
    insurance company or agent.''.
SEC. 100245. FEMA AUTHORITY ON TRANSFER OF POLICIES.
    Section 1345 of the National Flood Insurance Act of 1968 (42 U.S.C. 
4081) is amended by adding at the end the following new subsection:
    ``(d) FEMA Authority on Transfer of Policies.--Notwithstanding any 
other provision of this title, the Administrator may, at the discretion 
of the Administrator, refuse to accept the transfer of the 
administration of policies for coverage under the flood insurance 
program under this title that are written and administered by any 
insurance company or other insurer, or any insurance agent or 
broker.''.
SEC. 100246. REIMBURSEMENT OF CERTAIN EXPENSES.
    Section 1363 of the National Flood Insurance Act of 1968 (42 U.S.C. 
4104) is amended by striking subsection (f) and inserting the 
following:
    ``(f) Reimbursement of Certain Expenses.--When, incident to any 
appeal under subsection (b) or (c) of this section, the owner or lessee 
of real property or the community, as the case may be, incurs expense 
in connection with the services of surveyors, engineers, or similar 
services, but not including legal services, in the effecting of an 
appeal based on a scientific or technical error on the part of the 
Federal Emergency Management Agency, which is successful in whole or 
part, the Administrator shall reimburse such individual or community to 
an extent measured by the ratio of the successful portion of the appeal 
as compared to the entire appeal and applying such ratio to the 
reasonable value of all such services, but no reimbursement shall be 
made by the Administrator in respect to any fee or expense payment, the 
payment of which was agreed to be contingent upon the result of the 
appeal. The amounts available for implementing this subsection shall 
not exceed $250,000. The Administrator shall promulgate regulations to 
carry out this subsection.''.
SEC. 100247. FIO STUDY ON RISKS, HAZARDS, AND INSURANCE.
    (a) In General.--Not later than 1 year after the date of enactment 
of this Act, the Director of the Federal Insurance Office shall conduct 
a study and submit to the Committee on Banking, Housing, and Urban 
Affairs of the Senate and the Committee on Financial Services of the 
House of Representatives a report providing an assessment of the 
current state of the market for natural catastrophe insurance in the 
United States.
    (b) Factors.--The study and report required under subsection (a) 
shall assess--
        (1) the current condition of, as well as the outlook for, the 
    availability and affordability of insurance for natural catastrophe 
    perils in all regions of the United States;
        (2) the current ability of States, communities, and individuals 
    to mitigate their natural catastrophe risks, including the 
    affordability and feasibility of such mitigation activities;
        (3) the current state of catastrophic insurance and reinsurance 
    markets and the current approaches in providing insurance 
    protection to different sectors of the population of the United 
    States;
        (4) the current financial condition of State residual markets 
    and catastrophe funds in high-risk regions, including the 
    likelihood of insolvency following a natural catastrophe, the 
    concentration of risks within such funds, the reliance on post-
    event assessments and State funding, and the adequacy of rates; and
        (5) the current role of the Federal Government and State and 
    local governments in providing incentives for feasible risk 
    mitigation efforts and the cost of providing post-natural 
    catastrophe aid in the absence of insurance.
    (c) Additional Factors.--The study and report required under 
subsection (a) shall also contain an assessment of current approaches 
to insuring natural catastrophe risks in the United States and such 
other information as the Director of the Federal Insurance Office 
determines necessary or appropriate.
    (d) Consultation.--In carrying out the study and report under 
subsection (a), the Director of the Federal Insurance Office shall 
consult with the National Academy of Sciences, State insurance 
regulators, consumer organizations, representatives of the insurance 
and reinsurance industry, policyholders, and other organizations and 
experts, as appropriate.
SEC. 100248. FLOOD PROTECTION IMPROVEMENTS CONSTRUCTED ON CERTAIN 
PROPERTIES.
    (a) Definition.--In this section, the term ``covered hazard 
mitigation land'' means land that--
        (1) was acquired and deed restricted under section 1366 of the 
    National Flood Insurance Act of 1968 (42 U.S.C. 4104c) during the 
    period beginning on March 1, 2008, and ending on December 31, 2008;
        (2) is located at--
            (A) 809 East Main Cross Street, Findlay, Ohio, 45840;
            (B) 801 East Main Cross Street, Findlay, Ohio, 45840;
            (C) 725 East Main Cross Street, Findlay, Ohio, 45840; or
            (D) 631 East Main Cross Street, Findlay, Ohio, 45840; and
        (3) is located in a community that--
            (A) is participating in the National Flood Insurance 
        Program on the date on which a State, local, or tribal 
        government submits an application requesting to construct a 
        flood protection improvement under subsection (b); and
            (B) certifies to the Administrator and the Chief of 
        Engineers that the community will continue to participate in 
        the National Flood Insurance Program.
    (b) Authority.--Notwithstanding any other prohibition on 
construction on property acquired with funding from the Federal 
Emergency Management Agency for conversion to open space purposes, the 
Administrator shall allow the construction of a flood protection 
improvement by a State, local, or tribal government on covered hazard 
mitigation land if--
        (1) the Administrator and the Chief of Engineers make a 
    determination that--
            (A) construction of the proposed flood protection 
        improvement would more effectively mitigate against flooding 
        risk than an open floodplain or other flood risk reduction 
        measures;
            (B) the proposed flood protection improvement complies with 
        Federal, State, and local requirements, including mitigation of 
        adverse impacts and implementation of floodplain management 
        requirements, which shall include an evaluation of whether the 
        construction, operation, and maintenance of the proposed flood 
        protection improvement--
                (i) would continue to meet best available industry 
            standards and practices;
                (ii) would be the most cost-effective measure to 
            protect against the assessed flood risk; and
                (iii) minimizes future costs to the Federal Government;
            (C) the State, local, or tribal government seeking to 
        construct the flood protection improvement has provided an 
        adequate maintenance plan that documents the procedures the 
        State, local, or tribal government will use to ensure that the 
        stability, height, and overall integrity of the proposed flood 
        protection improvement and the structure and systems of the 
        proposed flood protection improvement are maintained, 
        including--
                (i) specifying the maintenance activities to be 
            performed;
                (ii) specifying the frequency with which maintenance 
            activities will be performed;
                (iii) specifying the person responsible for performing 
            each maintenance activity (by name or title);
                (iv) detailing the plan for financing the maintenance 
            of the flood protection improvement; and
                (v) documenting the ability of the State, local, or 
            tribal government to finance the maintenance of the flood 
            protection improvement; and
        (2) before the commencement of construction, the State, local, 
    or tribal government provides to the Administrator an amount--
            (A) equal to the Federal share of all project costs 
        previously provided by the Administrator under the applicable 
        program for each deed restricted parcel of the covered hazard 
        mitigation land, which the Administrator shall deposit in the 
        National Flood Insurance Fund; and
            (B) that does not include any Federal funds.
    (c) Maintenance Certification.--
        (1) In general.--A State, local, or tribal government that 
    constructs a flood protection improvement under subsection (b) 
    shall submit to the Administrator and the Chief of Engineers an 
    annual certification indicating whether the State, local, or tribal 
    government is in compliance with the maintenance plan provided 
    under subsection (b)(1)(C).
        (2) Review.--The Chief of Engineers shall review each 
    certification submitted under paragraph (1) and determine whether 
    the State, local, or tribal government has complied with the 
    maintenance plan.
SEC. 100249. NO CAUSE OF ACTION.
    No cause of action shall exist and no claim may be brought against 
the United States for violation of any notification requirement imposed 
upon the United States by this subtitle or any amendment made by this 
subtitle.

                Subtitle B--Alternative Loss Allocation

SEC. 100251. SHORT TITLE.
    This subtitle may be cited as the ``Consumer Option for an 
Alternative System to Allocate Losses Act of 2012'' or the ``COASTAL 
Act of 2012''.
SEC. 100252. ASSESSING AND MODELING NAMED STORMS OVER COASTAL STATES.
    Subtitle C of title XII of the Omnibus Public Land Management Act 
of 2009 (33 U.S.C. 3601 et seq.) (also known as the ``Integrated 
Coastal and Ocean Observation System Act of 2009'') is amended by 
adding at the end the following:
``SEC. 12312. ASSESSING AND MODELING NAMED STORMS OVER COASTAL STATES.
    ``(a) Definitions.--In this section:
        ``(1) COASTAL formula.--The term `COASTAL Formula' has the 
    meaning given the term in section 1337(a) of the National Flood 
    Insurance Act of 1968.
        ``(2) Coastal state.--The term `coastal State' has the meaning 
    given the term `coastal state' in section 304 of the Coastal Zone 
    Management Act of 1972 (16 U.S.C. 1453).
        ``(3) Coastal waters.--The term `coastal waters' has the 
    meaning given the term in such section.
        ``(4) Covered data.--The term `covered data' means, with 
    respect to a named storm identified by the Administrator under 
    subsection (b)(2)(A), empirical data that are--
            ``(A) collected before, during, or after such storm; and
            ``(B) necessary to determine magnitude and timing of wind 
        speeds, rainfall, the barometric pressure, river flows, the 
        extent, height, and timing of storm surge, topographic and 
        bathymetric data, and other measures required to accurately 
        model and assess damage from such storm.
        ``(5) Indeterminate loss.--The term `indeterminate loss' has 
    the meaning given the term in section 1337(a) of the National Flood 
    Insurance Act of 1968.
        ``(6) Named storm.--The term `named storm' means any organized 
    weather system with a defined surface circulation and maximum winds 
    of at least 39 miles per hour which the National Hurricane Center 
    of the United States National Weather Service names as a tropical 
    storm or a hurricane.
        ``(7) Named storm event model.--The term `Named Storm Event 
    Model' means the official meteorological and oceanographic 
    computerized model, developed by the Administrator under subsection 
    (b)(1)(A), which utilizes covered data to replicate the magnitude, 
    timing, and spatial variations of winds, rainfall, and storm surges 
    associated with named storms that threaten any portion of a coastal 
    State.
        ``(8) Participant.--The term `participant' means a Federal, 
    State, or private entity that chooses to cooperate with the 
    Administrator in carrying out the provisions of this section by 
    collecting, contributing, and maintaining covered data.
        ``(9) Post-storm assessment.--The term `post-storm assessment' 
    means a scientific assessment produced and certified by the 
    Administrator to determine the magnitude, timing, and spatial 
    variations of winds, rainfall, and storm surges associated with a 
    specific named storm to be used in the COASTAL Formula.
        ``(10) State.--The term `State' means a State of the United 
    States, the District of Columbia, the Commonwealth of Puerto Rico, 
    and any other territory or possession of the United States.
    ``(b) Named Storm Event Model and Post-Storm Assessment.--
        ``(1) Establishment of named storm event model.--
            ``(A) In general.--Not later than 540 days after the date 
        of the enactment of the Consumer Option for an Alternative 
        System to Allocate Losses Act of 2012, the Administrator shall 
        develop by regulation the Named Storm Event Model.
            ``(B) Accuracy.--The Named Storm Event Model shall be 
        designed to generate post-storm assessments, as provided in 
        paragraph (2), that have a degree of accuracy of not less than 
        90 percent for every indeterminate loss for which a post-storm 
        assessment is utilized.
        ``(2) Post-storm assessment.--
            ``(A) Identification of named storms threatening coastal 
        states.--After the establishment of the COASTAL Formula, the 
        Administrator shall, in consultation with the Secretary of 
        Homeland Security, identify named storms that may reasonably 
        constitute a threat to any portion of a coastal State.
            ``(B) Post-storm assessment required.--Upon identification 
        of a named storm under subparagraph (A), the Administrator 
        shall develop a post-storm assessment for such named storm 
        using the Named Storm Event Model and covered data collected 
        for such named storm pursuant to the protocol established under 
        subsection (c)(1).
            ``(C) Submittal of post-storm assessment.--Not later than 
        90 days after an identification of a named storm is made under 
        subparagraph (A), the Administrator shall submit to the 
        Secretary of Homeland Security the post-storm assessment 
        developed for such storm under subparagraph (B).
        ``(3) Accuracy.--The Administrator shall ensure, to the 
    greatest extent practicable, that each post-storm assessment 
    developed under paragraph (2) has a degree of accuracy of not less 
    than 90 percent.
        ``(4) Certification.--For each post-storm assessment carried 
    out under paragraph (2), the Administrator shall--
            ``(A) certify the degree of accuracy for such assessment, 
        including specific reference to any segments or geographic 
        areas for which the assessment is less than 90 percent 
        accurate; and
            ``(B) report such certification to the Secretary of 
        Homeland Security for the purposes of use with indeterminate 
        loss claims under section 1337 of the National Flood Insurance 
        Act of 1968.
        ``(5) Finality of determinations.--A certification of the 
    degree of accuracy of a post-storm assessment under this subsection 
    by the Administrator shall be final and shall not be subject to 
    judicial review.
        ``(6) Availability.--The Administrator shall make available to 
    the public the Named Storm Event Model and any post-storm 
    assessment developed under this subsection.
    ``(c) Establishment of a Protocol for Post-Storm Assessment.--
        ``(1) In general.--Not later than 540 days after the date of 
    the enactment of the Consumer Option for an Alternative System to 
    Allocate Losses Act of 2012, the Administrator shall establish a 
    protocol, based on the plan submitted under subsection (d)(3), to 
    collect and assemble all covered data required by the Administrator 
    to produce post-storm assessments required by subsection (b), 
    including assembling data collected by participants and stored in 
    the database established under subsection (f) and from such other 
    sources as the Administrator considers appropriate.
        ``(2) Acquisition of sensors and structures.--If the 
    Administrator is unable to use a public or private asset to obtain 
    covered data as part of the protocol established under paragraph 
    (1), the Administrator may acquire such sensors and structures for 
    the placement of sensors as may be necessary to obtain such data.
        ``(3) Use of federal assets.--If the protocol requires 
    placement of a sensor to develop assessments pursuant to subsection 
    (b), the Administrator shall, to the extent practicable, use 
    Federal assets for the placement of such sensors.
        ``(4) Use of acquired structures.--
            ``(A) In general.--If the Administrator acquires a 
        structure for the placement of a sensor for purposes of such 
        protocol, the Administrator shall to the extent practical 
        permit other public and private entities to place sensors on 
        such structure to collect--
                ``(i) meteorological data;
                ``(ii) national security-related data;
                ``(iii) navigation-related data;
                ``(iv) hydrographic data; or
                ``(v) such other data as the Administrator considers 
            appropriate.
            ``(B) Receipt of consideration.--The Administrator may 
        receive consideration for the placement of a sensor on a 
        structure under subparagraph (A).
            ``(C) In-kind consideration.--Consideration received under 
        subparagraph (B) may be received in-kind.
            ``(D) Use of consideration.--To the extent practicable, 
        consideration received under subparagraph (B) shall be used for 
        the maintenance of sensors used to collect covered data.
        ``(5) Coordinated deployments and data collection practices.--
    The Administrator shall, in consultation with the Office of the 
    Federal Coordinator for Meteorology, coordinate the deployment of 
    sensors as part of the protocol established under paragraph (1) and 
    related data collection carried out by Federal, State, academic, 
    and private entities who choose to cooperate with the Administrator 
    in carrying out this subsection.
        ``(6) Priority acquisition and deployment.--The Administrator 
    shall give priority in the acquisition for and deployment of 
    sensors under the protocol required by paragraph (1) to areas of 
    coastal States that have the highest risk of being harmed by named 
    storms.
    ``(d) Assessment of Systems and Efforts to Collect Covered Data.--
        ``(1) Identification of systems and efforts to collect covered 
    data.--Not later than 180 days after the date of the enactment of 
    the Consumer Option for an Alternative System to Allocate Losses 
    Act of 2012, the Administrator shall, in consultation with the 
    Office of the Federal Coordinator for Meteorology--
            ``(A) carry out a survey to identify all Federal and State 
        efforts and systems that are capable of collecting covered 
        data; and
            ``(B) consult with private and academic sector entities to 
        identify domestic private and academic systems that are capable 
        of collecting covered data.
        ``(2) Identification of gaps.--The Administrator shall, in 
    consultation with the Office of the Federal Coordinator for 
    Meteorology and individuals and entities consulted under subsection 
    (e)(3), assess the systems identified under paragraph (1) and 
    identify which systems meet the needs of the National Oceanic and 
    Atmospheric Administration for the collection of covered data, 
    including with respect to the accuracy requirement for post-storm 
    assessment under subsection (b)(3).
        ``(3) Plan.--Not later than 270 days after the date of the 
    enactment of the Consumer Option for an Alternative System to 
    Allocate Losses Act of 2012, the Administrator shall, in 
    consultation with the Office of the Federal Coordinator for 
    Meteorology, submit to Congress a plan for the collection of 
    covered data necessary to develop the Named Storm Event Model and 
    post-storm assessment required by subsection (b) that addresses any 
    gaps identified in paragraph (2).
    ``(e) Coordination of Covered Data Collection and Maintenance by 
Participants.--
        ``(1) In general.--The Administrator shall, in consultation 
    with the Office of the Federal Coordinator for Meteorology, 
    coordinate the collection and maintenance of covered data by 
    participants under this section--
            ``(A) to streamline the process of collecting covered data 
        in accordance with the protocol established under subsection 
        (c)(1); and
            ``(B) to maintain transparency of such process and the 
        database established under subsection (f).
        ``(2) Sharing information.--The Administrator shall establish a 
    process for sharing among participants information relevant to 
    collecting and using covered data for--
            ``(A) academic research;
            ``(B) private sector use;
            ``(C) public outreach; and
            ``(D) such other purposes as the Administrator considers 
        appropriate.
        ``(3) Consultation.--In carrying out paragraphs (1) and (2), 
    the Administrator shall consult with the following:
            ``(A) The Commanding General of the Corps of Engineers.
            ``(B) The Administrator of the Federal Emergency Management 
        Agency.
            ``(C) The Commandant of the Coast Guard.
            ``(D) The Director of the United States Geological Survey.
            ``(E) The Office of the Federal Coordinator for 
        Meteorology.
            ``(F) The Director of the National Science Foundation.
            ``(G) The Administrator of the National Aeronautics and 
        Space Administration.
            ``(H) Such public, private, and academic sector entities as 
        the Administrator considers appropriate for purposes of 
        carrying out the provisions of this section.
    ``(f) Establishment of Coastal Wind and Water Event Database.--
        ``(1) In general.--Not later than 1 year after the date of the 
    enactment of the Consumer Option for an Alternative System to 
    Allocate Losses Act of 2012, the Administrator shall establish a 
    database for the collection and compilation of covered data--
            ``(A) to support the protocol established under subsection 
        (c)(1); and
            ``(B) for the purposes listed in subsection (e)(2).
        ``(2) Designation.--The database established under paragraph 
    (1) shall be known as the `Coastal Wind and Water Event Database'.
    ``(g) Comptroller General Study.--Not later than 1 year after the 
date of the enactment of the Consumer Option for an Alternative System 
to Allocate Losses Act of 2012, the Comptroller General of the United 
States shall--
        ``(1) complete an audit of Federal efforts to collect covered 
    data for purposes of the Consumer Option for an Alternative System 
    to Allocate Losses Act of 2012, which audit shall--
            ``(A) examine duplicated Federal efforts to collect covered 
        data; and
            ``(B) determine the cost effectiveness of such efforts; and
        ``(2) submit to the Committee on Banking, Housing, and Urban 
    Affairs and the Commerce, Science, and Transportation of the Senate 
    and the Committee on Financial Services and the Committee on 
    Science, Space, and Technology of the House of Representatives a 
    report on the findings of the Comptroller General with respect to 
    the audit completed under paragraph (1).''.
SEC. 100253. ALTERNATIVE LOSS ALLOCATION SYSTEM FOR INDETERMINATE 
CLAIMS.
    Part A of chapter II of the National Flood Insurance Act of 1968 
(42 U.S.C. 4051 et seq.) is amended by adding at the end the following:
``SEC. 1337. ALTERNATIVE LOSS ALLOCATION SYSTEM FOR INDETERMINATE 
CLAIMS.
    ``(a) Definitions.--In this section:
        ``(1) Administrator.--The term `Administrator' means the 
    Administrator of the Federal Emergency Management Agency.
        ``(2) COASTAL formula.--The term `COASTAL Formula' means the 
    formula established under subsection (b).
        ``(3) Coastal state.--The term `coastal State' has the meaning 
    given the term `coastal state' in section 304 of the Coastal Zone 
    Management Act of 1972 (16 U.S.C. 1453).
        ``(4) Indeterminate loss.--
            ``(A) In general.--The term `indeterminate loss' means, as 
        determined by an insurance claims adjuster certified under the 
        national flood insurance program and in consultation with an 
        engineer as appropriate, a loss resulting from physical damage 
        to, or loss of, property located in any coastal State arising 
        from the combined perils of flood and wind associated with a 
        named storm.
            ``(B) Requirements.--An insurance claims adjuster certified 
        under the national flood insurance program shall only determine 
        that a loss is an indeterminate loss if the claims adjuster 
        determines that--
                ``(i) no material remnant of physical buildings or man-
            made structures remain except building foundations for the 
            specific property for which the claim is made; and
                ``(ii) there is insufficient or no tangible evidence 
            created, yielded, or otherwise left behind of the specific 
            property for which the claim is made as a result of the 
            named storm.
        ``(5) Named storm.--The term `named storm' means any organized 
    weather system with a defined surface circulation and maximum winds 
    of not less than 39 miles per hour which the National Hurricane 
    Center of the United States National Weather Service names as a 
    tropical storm or a hurricane.
        ``(6) Post-storm assessment.--The term `post-storm assessment' 
    means the post-storm assessment developed under section 12312(b) of 
    the Omnibus Public Land Management Act of 2009.
        ``(7) State.--The term `State' means a State of the United 
    States, the District of Columbia, the Commonwealth of Puerto Rico, 
    and any other territory or possession of the United States.
        ``(8) Secretary.--The term `Secretary' means the Secretary of 
    Homeland Security.
        ``(9) Standard insurance policy.--The term `standard insurance 
    policy' means any insurance policy issued under the national flood 
    insurance program that covers loss or damage to property resulting 
    from water peril.
        ``(10) Property.--The term `property' means real or personal 
    property that is insured under a standard insurance policy for loss 
    or damage to structure or contents.
        ``(11) Under secretary.--The term `Under Secretary' means the 
    Under Secretary of Commerce for Oceans and Atmosphere, in the Under 
    Secretary's capacity as Administrator of the National Oceanic and 
    Atmospheric Administration.
    ``(b) Establishment of Flood Loss Allocation Formula for 
Indeterminate Claims.--
        ``(1) In general.--Not later than 180 days after the date on 
    which the protocol is established under section 12312(c)(1) of the 
    Omnibus Public Land Management Act of 2009, the Secretary, acting 
    through the Administrator and in consultation with the Under 
    Secretary, shall establish by rule a standard formula to determine 
    and allocate wind losses and flood losses for claims involving 
    indeterminate losses.
        ``(2) Contents.--The standard formula established under 
    paragraph (1) shall--
            ``(A) incorporate data available from the Coastal Wind and 
        Water Event Database established under section 12312(f) of the 
        Omnibus Public Land Management Act of 2009;
            ``(B) use relevant data provided on the National Flood 
        Insurance Program Elevation Certificate for each indeterminate 
        loss for which the formula is used;
            ``(C) consider any sufficient and credible evidence, 
        approved by the Administrator, of the pre-event condition of a 
        specific property, including the findings of any policyholder 
        or insurance claims adjuster in connection with the 
        indeterminate loss to that specific property;
            ``(D) include other measures, as the Administrator 
        considers appropriate, required to determine and allocate by 
        mathematical formula the property damage caused by flood or 
        storm surge associated with a named storm; and
            ``(E) subject to paragraph (3), for each indeterminate 
        loss, use the post-storm assessment to allocate water damage 
        (flood or storm surge) associated with a named storm.
        ``(3) Degree of accuracy required.--The standard formula 
    established under paragraph (1) shall specify that the 
    Administrator may only use the post-storm assessment for purposes 
    of the formula if the Under Secretary certifies that the post-storm 
    assessment has a degree of accuracy of not less than 90 percent in 
    connection with the specific indeterminate loss for which the 
    assessment and formula are used.
    ``(c) Authorized Use of Post-storm Assessment and COASTAL 
Formula.--
        ``(1) In general.--Subject to paragraph (3), the Administrator 
    may use the post-storm assessment and the COASTAL Formula to--
            ``(A) review flood loss payments for indeterminate losses, 
        including as part of the quality assurance reinspection program 
        of the Federal Emergency Management Agency for claims under the 
        national flood insurance program and any other process approved 
        by the Administrator to review and validate payments under the 
        national flood insurance program for indeterminate losses 
        following a named storm; and
            ``(B) assist the national flood insurance program to--
                ``(i) properly cover qualified flood loss for claims 
            for indeterminate losses; and
                ``(ii) avoid paying for any loss or damage to property 
            caused by any peril (including wind), other than flood or 
            storm surge, that is not covered under a standard policy 
            under the national flood insurance program.
        ``(2) Federal disaster declaration.--Subject to paragraph (3), 
    in order to expedite claims and reduce costs to the national flood 
    insurance program, following any major disaster declared by the 
    President under section 401 of the Robert T. Stafford Disaster 
    Relief and Emergency Assistance Act (42 U.S.C. 5170) relating to a 
    named storm in a coastal State, the Administrator may use the 
    COASTAL Formula to determine and pay for any flood loss covered 
    under a standard insurance policy under the national flood 
    insurance program, if the loss is an indeterminate loss.
        ``(3) National academy of sciences evaluation.--
            ``(A) Evaluation required.--
                ``(i) Evaluation.--Upon the issuance of the rule 
            establishing the COASTAL Formula, and each time the 
            Administrator modifies the COASTAL Formula, the National 
            Academy of Sciences shall--

                    ``(I) evaluate the expected financial impact on the 
                national flood insurance program of the use of the 
                COASTAL Formula as so established or modified; and
                    ``(II) evaluate the validity of the scientific 
                assumptions upon which the formula is based and 
                determine whether the COASTAL Formula can achieve a 
                degree of accuracy of not less than 90 percent in 
                allocating flood losses for indeterminate losses.

                ``(ii) Report.--The National Academy of Sciences shall 
            submit a report containing the results of each evaluation 
            under clause (i) to the Administrator, the Committee on 
            Banking, Housing, and Urban Affairs and the Committee on 
            Commerce, Science, and Transportation of the Senate, and 
            the Committee on Financial Services and the Committee on 
            Science, Space, and Technology of the House of 
            Representatives.
            ``(B) Effective date and applicability.--
                ``(i) Effective date.--Paragraphs (1) and (2) of this 
            subsection shall not take effect unless the report under 
            subparagraph (A) relating to the establishment of the 
            COASTAL Formula concludes that the use of the COASTAL 
            Formula for purposes of paragraph (1) and (2) would not 
            have an adverse financial impact on the national flood 
            insurance program and that the COASTAL Formula is based on 
            valid scientific assumptions that would allow a degree of 
            accuracy of not less than 90 percent to be achieved in 
            allocating flood losses for indeterminate losses.
                ``(ii) Effect of modifications.--Unless the report 
            under subparagraph (A) relating to a modification of the 
            COASTAL Formula concludes that the use of the COASTAL 
            Formula, as so modified, for purposes of paragraphs (1) and 
            (2) would not have an adverse financial impact on the 
            national flood insurance program and that the COASTAL 
            Formula is based on valid scientific assumptions that would 
            allow a degree of accuracy of not less than 90 percent to 
            be achieved in allocating flood losses for indeterminate 
            losses the Administrator may not use the COASTAL Formula, 
            as so modified, for purposes of paragraphs (1) and (2).
            ``(C) Funding.--Notwithstanding section 1310 of the 
        National Flood Insurance Act of 1968 (42 U.S.C. 4017), there 
        shall be available to the Administrator from the National Flood 
        Insurance Fund, of amounts not otherwise obligated, not more 
        than $750,000 to carry out this paragraph.
    ``(d) Disclosure of COASTAL Formula.--Not later than 30 days after 
the date on which a post-storm assessment is submitted to the Secretary 
under section 12312(b)(2)(C) of the Omnibus Public Land Management Act 
of 2009, for each indeterminate loss for which the COASTAL Formula is 
used pursuant to subsection (c)(2), the Administrator shall disclose to 
the policyholder that makes a claim relating to the indeterminate 
loss--
        ``(1) that the Administrator used the COASTAL Formula with 
    respect to the indeterminate loss; and
        ``(2) a summary of the results of the use of the COASTAL 
    Formula.
    ``(e) Consultation.--In carrying out subsections (b) and (c), the 
Secretary shall consult with--
        ``(1) the Under Secretary for Oceans and Atmosphere;
        ``(2) the Director of the National Institute of Standards and 
    Technology;
        ``(3) the Chief of Engineers of the Corps of Engineers;
        ``(4) the Director of the United States Geological Survey;
        ``(5) the Office of the Federal Coordinator for Meteorology;
        ``(6) State insurance regulators of coastal States; and
        ``(7) such public, private, and academic sector entities as the 
    Secretary considers appropriate for purposes of carrying out such 
    subsections.
    ``(f) Recordkeeping.--Each consideration and measure the 
Administrator determines necessary to carry out subsection (b) may be 
required, with advanced approval of the Administrator, to be provided 
for on the National Flood Insurance Program Elevation Certificate, or 
maintained otherwise on record if approved by the Administrator, for 
any property that qualifies for the COASTAL Formula under subsection 
(c).
    ``(g) Civil Penalty.--
        ``(1) In general.--If an insurance claims adjuster knowingly 
    and willfully makes a false or inaccurate determination relating to 
    an indeterminate loss, the Administrator may, after notice and 
    opportunity for hearing, impose on the insurance claims adjuster a 
    civil penalty of not more than $1,000.
        ``(2) Deposit.--Notwithstanding section 3302 of title 31, 
    United States Code, or any other law relating to the crediting of 
    money, the Administrator shall deposit in the National Flood 
    Insurance Fund any amounts received under this subsection, which 
    shall remain available until expended and be available to the 
    Administrator for purposes authorized for the National Flood 
    Insurance Fund without further appropriation.
    ``(h) Rule of Construction.--Nothing in this subsection shall be 
construed to require the Administrator to make any payment under the 
national flood insurance program, or an insurance company to make any 
payment, for an indeterminate loss based upon post-storm assessment or 
the COASTAL Formula.
    ``(i) Applicability.--Subsection (c) shall apply with respect to an 
indeterminate loss associated with a named storm that occurs after the 
date on which the Administrator issues the rule establishing the 
COASTAL Formula under subsection (b).
    ``(j) Rule of Construction.--Nothing in this subsection shall be 
construed to negate, set aside, or void any policy limit, including any 
loss limitation, set forth in a standard insurance policy.''.

                    Subtitle C--HEARTH Act Amendment

SEC. 100261. HEARTH ACT TECHNICAL CORRECTIONS.
    For purposes of title IV of the McKinney-Vento Homeless Assistance 
Act (42 U.S.C. 11360 et seq.)--
        (1) the term ``local government'' includes an instrumentality 
    of a unit of general purpose local government other than a public 
    housing agency that is established pursuant to legislation and 
    designated by the chief executive to act on behalf of the local 
    government with regard to activities funded under such title IV and 
    includes a combination of general purpose local governments, such 
    as an association of governments, that is recognized by the 
    Secretary of Housing and Urban Development;
        (2) the term ``State'' includes any instrumentality of any of 
    the several States designated by the Governor to act on behalf of 
    the State and does not include the District of Columbia;
        (3) for purposes of environmental review, the Secretary of 
    Housing and Urban Development shall continue to permit assistance 
    and projects to be treated as assistance for special projects that 
    are subject to section 305(c) of the Multifamily Housing Property 
    Disposition Reform Act of 1994 (42 U.S.C. 3547), and subject to the 
    regulations issued by the Secretary of Housing and Urban 
    Development to implement such section; and
        (4) a metropolitan city and an urban county that each receive 
    an allocation under such title IV and are located within a 
    geographic area that is covered by a single continuum of care may 
    jointly request the Secretary of Housing and Urban Development to 
    permit the urban county or the metropolitan city, as agreed to by 
    such county and city, to receive and administer their combined 
    allocations under a single grant.

            TITLE III--STUDENT LOAN INTEREST RATE EXTENSION

SEC. 100301. FEDERAL DIRECT STAFFORD LOAN INTEREST RATE EXTENSION.
    Section 455(b)(7)(D) of the Higher Education Act of 1965 (20 U.S.C. 
1087e(b)(7)(D)) is amended--
        (1) in the matter preceding clause (i), by striking ``and 
    before July 1, 2012,'' and inserting ``and before July 1, 2013,''; 
    and
        (2) in clause (v), by striking ``and before July 1, 2012,'' and 
    inserting ``and before July 1, 2013,''.
SEC. 100302. ELIGIBILITY FOR, AND INTEREST CHARGES ON, FEDERAL DIRECT 
STAFFORD LOANS FOR NEW BORROWERS ON OR AFTER JULY 1, 2013.
    (a) In General.--Section 455 of the Higher Education Act of 1965 
(20 U.S.C. 1087e) is amended by adding at the end the following:
    ``(q) Eligibility for, and Interest Charges on, Federal Direct 
Stafford Loans for New Borrowers on or After July 1, 2013.--
        ``(1) In general.--Notwithstanding subsection (a) or any other 
    provision of this title, any borrower who was a new borrower on or 
    after July 1, 2013, shall not be eligible for a Federal Direct 
    Stafford Loan if the period of time for which the borrower has 
    received Federal Direct Stafford Loans, in the aggregate, exceeds 
    the period of enrollment described in paragraph (3). Such borrower 
    may still receive any Federal Direct Unsubsidized Stafford Loan for 
    which such borrower is otherwise eligible.
        ``(2) Accrual of interest on federal direct stafford loans.--
    Notwithstanding subsection (f)(1)(A) or any other provision of this 
    title and beginning on the date upon which a borrower who is 
    enrolled in a program of education or training (including a course 
    of study or program described in paragraph (3)(B) or (4)(B) of 
    section 484(b)) for which borrowers are otherwise eligible to 
    receive Federal Direct Stafford Loans, becomes ineligible for such 
    loan as a result of paragraph (1), interest on all Federal Direct 
    Stafford Loans that were disbursed to such borrower on or after 
    July 1, 2013, shall accrue. Such interest shall be paid or 
    capitalized in the same manner as interest on a Federal Direct 
    Unsubsidized Stafford Loan is paid or capitalized under section 
    428H(e)(2).
        ``(3) Period of enrollment.--
            ``(A) In general.--The aggregate period of enrollment 
        referred to in paragraph (1) shall not exceed the lesser of--
                ``(i) a period equal to 150 percent of the published 
            length of the educational program in which the student is 
            enrolled; or
                ``(ii) in the case of a borrower who was previously 
            enrolled in one or more other educational programs that 
            began on or after July 1, 2013, and subject to subparagraph 
            (B), a period of time equal to the difference between--

                    ``(I) 150 percent of the published length of the 
                longest educational program in which the borrower was, 
                or is, enrolled; and
                    ``(II) any periods of enrollment in which the 
                borrower received a Federal Direct Stafford Loan.

            ``(B) Regulations.--The Secretary shall specify in 
        regulation--
                ``(i) how the aggregate period described in 
            subparagraph (A) shall be calculated with respect to a 
            borrower who was or is enrolled on less than a full-time 
            basis; and
                ``(ii) how such aggregate period shall be calculated to 
            include a course of study or program described in paragraph 
            (3)(B) or (4)(B) of section 484(b), respectively.''.
    (b) Inapplicability of Title IV Negotiated Rulemaking Requirement 
and Master Calendar Exception.--Sections 482(c) and 492 of the Higher 
Education Act of 1965 (20 U.S.C. 1089(c), 1098a) shall not apply to the 
amendment made by subsection (a), or to any regulations promulgated 
under such amendment.

              DIVISION G--SURFACE TRANSPORTATION EXTENSION

SEC. 110001. SHORT TITLE.
    This division may be cited as the ``Surface Transportation 
Extension Act of 2012, Part II''.

                     TITLE I--FEDERAL-AID HIGHWAYS

SEC. 111001. EXTENSION OF FEDERAL-AID HIGHWAY PROGRAMS.
    (a) In General.--Section 111 of the Surface Transportation 
Extension Act of 2011, Part II (Public Law 112-30; 125 Stat. 343; 126 
Stat. 272) is amended--
        (1) by striking ``the period beginning on October 1, 2011, and 
    ending on June 30, 2012,'' each place it appears and inserting 
    ``fiscal year 2012'';
        (2) by striking ``\3/4\ of'' each place it appears; and
        (3) in subsection (a) by striking ``June 30, 2012'' and 
    inserting ``September 30, 2012''.
    (b) Use of Funds.--Section 111(c) of the Surface Transportation 
Extension Act of 2011, Part II (125 Stat. 343; 126 Stat. 272) is 
amended--
        (1) in paragraph (3)--
            (A) in subparagraph (A) by striking ``, except that during 
        such period'' and all that follows before the period at the 
        end; and
            (B) in subparagraph (B)(ii) by striking ``$479,250,000'' 
        and inserting ``$639,000,000''; and
        (2) by striking paragraph (4).
    (c) Extension of Authorizations Under Title V of SAFETEA-LU.--
Section 111(e)(2) of the Surface Transportation Extension Act of 2011, 
Part II (125 Stat. 346; 126 Stat. 272) is amended by striking ``the 
period beginning on October 1, 2011, and ending on June 30, 2012.'' and 
inserting ``fiscal year 2012.''.
    (d) Administrative Expenses.--Section 112(a) of the Surface 
Transportation Extension Act of 2011, Part II (125 Stat. 346; 126 Stat. 
272) is amended by striking ``$294,641,438 for the period beginning on 
October 1, 2011, and ending on June 30, 2012.'' and inserting 
``$392,855,250 for fiscal year 2012.''.

             TITLE II--EXTENSION OF HIGHWAY SAFETY PROGRAMS

SEC. 112001. EXTENSION OF NATIONAL HIGHWAY TRAFFIC SAFETY 
ADMINISTRATION HIGHWAY SAFETY PROGRAMS.
    (a) Chapter 4 Highway Safety Programs.--Section 2001(a)(1) of 
SAFETEA-LU (119 Stat. 1519) is amended by striking ``$235,000,000 for 
each of fiscal years 2009 through 2011'' and all that follows through 
the period at the end and inserting ``and $235,000,000 for each of 
fiscal years 2009 through 2012.''.
    (b) Highway Safety Research and Development.--Section 2001(a)(2) of 
SAFETEA-LU (119 Stat. 1519) is amended by striking ``and $81,183,000 
for the period beginning on October 1, 2011, and ending on June 30, 
2012.'' and inserting ``and $108,244,000 for fiscal year 2012.''.
    (c) Occupant Protection Incentive Grants.--Section 2001(a)(3) of 
SAFETEA-LU (119 Stat. 1519) is amended by striking ``$25,000,000 for 
each of fiscal years 2006 through 2011'' and all that follows through 
the period at the end and inserting ``and $25,000,000 for each of 
fiscal years 2006 through 2012.''.
    (d) Safety Belt Performance Grants.--Section 2001(a)(4) of SAFETEA-
LU (119 Stat. 1519) is amended by striking ``and $36,375,000 for the 
period beginning on October 1, 2011, and ending on June 30, 2012.'' and 
inserting ``and $48,500,000 for fiscal year 2012.''.
    (e) State Traffic Safety Information System Improvements.--Section 
2001(a)(5) of SAFETEA-LU (119 Stat. 1519) is amended by striking ``for 
each of fiscal years 2006 through 2011'' and all that follows through 
the period at the end and inserting ``for each of fiscal years 2006 
through 2012.''.
    (f) Alcohol-impaired Driving Countermeasures Incentive Grant 
Program.--Section 2001(a)(6) of SAFETEA-LU (119 Stat. 1519) is amended 
by striking ``$139,000,000 for each of fiscal years fiscal years 2009 
through 2011'' and all that follows through the period at the end and 
inserting ``and $139,000,000 for each of fiscal years 2009 through 
2012.''.
    (g) National Driver Register.--Section 2001(a)(7) of SAFETEA-LU 
(119 Stat. 1520) is amended by striking ``and $3,087,000 for the period 
beginning on October 1, 2011, and ending on June 30, 2012.'' and 
inserting ``and $4,116,000 for fiscal year 2012.''.
    (h) High Visibility Enforcement Program.--Section 2001(a)(8) of 
SAFETEA-LU (119 Stat. 1520) is amended by striking ``for each of fiscal 
years 2006 through 2011'' and all that follows through the period at 
the end and inserting ``for each of fiscal years 2006 through 2012.''.
    (i) Motorcyclist Safety.--Section 2001(a)(9) of SAFETEA-LU (119 
Stat. 1520) is amended by striking ``$7,000,000 for each of fiscal 
years 2009 through 2011'' and all that follows through the period at 
the end and inserting ``and $7,000,000 for each of fiscal years 2009 
through 2012.''.
    (j) Child Safety and Child Booster Seat Safety Incentive Grants.--
Section 2001(a)(10) of SAFETEA-LU (119 Stat. 1520) is amended by 
striking ``$7,000,000 for each of fiscal years 2009 through 2011'' and 
all that follows through the period at the end and inserting ``and 
$7,000,000 for each of fiscal years 2009 through 2012.''.
    (k) Administrative Expenses.--Section 2001(a)(11) of SAFETEA-LU 
(119 Stat. 1520) is amended by striking ``$25,328,000 for fiscal year 
2011'' and all that follows through the period at the end and inserting 
``and $25,328,000 for each of fiscal years 2011 and 2012.''.
SEC. 112002. EXTENSION OF FEDERAL MOTOR CARRIER SAFETY ADMINISTRATION 
PROGRAMS.
    (a) Federal Motor Carrier Safety Administration Grants.--Section 
31104(a)(8) of title 49, United States Code, is amended to read as 
follows:
        ``(8) $212,000,000 for fiscal year 2012.''.
    (b) Administrative Expenses.--
        (1) In general.--Section 31104(i)(1)(H) of title 49, United 
    States Code, is amended to read as follows:
            ``(H) $244,144,000 for fiscal year 2012.''.
        (2) Technical correction.--Section 31104(i)(1)(F) of title 49, 
    United States Code, is amended to read as follows:
            ``(F) $239,828,000 for fiscal year 2010;''.
    (c) Grant Programs.--Section 4101(c) of SAFETEA-LU (119 Stat. 1715) 
is amended--
        (1) in paragraph (1) by striking ``and $22,500,000 for the 
    period beginning on October 1, 2011, and ending on June 30, 2012.'' 
    and inserting ``and $30,000,000 for fiscal year 2012.'';
        (2) in paragraph (2) by striking ``2011 and $24,000,000 for the 
    period beginning on October 1, 2011, and ending on June 30, 2012.'' 
    and inserting ``2012.'';
        (3) in paragraph (3) by striking ``2011 and $3,750,000 for the 
    period beginning on October 1, 2011, and ending on June 30, 2012.'' 
    and inserting ``2012.'';
        (4) in paragraph (4) by striking ``2011 and $18,750,000 for the 
    period beginning on October 1, 2011, and ending on June 30, 2012.'' 
    and inserting ``2012.''; and
        (5) in paragraph (5) by striking ``2011 and $2,250,000 for the 
    period beginning on October 1, 2011, and ending on June 30, 2012.'' 
    and inserting ``2012.''.
    (d) New Entrant Audits.--Section 31144(g)(5)(B) of title 49, United 
States Code, is amended by striking ``and up to $21,750,000 for the 
period beginning on October 1, 2011, and ending on June 30, 2012,''.
    (e) Outreach and Education.--Section 4127(e) of SAFETEA-LU (119 
Stat. 1741) is amended by striking ``and 2011 (and $750,000 to the 
Federal Motor Carrier Safety Administration, and $2,250,000 to the 
National Highway Traffic Safety Administration, for the period 
beginning on October 1, 2011, and ending on June 30, 2012)'' and 
inserting ``2011, and 2012''.
    (f) Working Group for Development of Practices and Procedures to 
Enhance Federal-State Relations.--Section 4213(d) of SAFETEA-LU (49 
U.S.C. 14710 note; 119 Stat. 1759) is amended by striking ``June 30, 
2012'' and inserting ``September 30, 2012''.
SEC. 112003. ADDITIONAL PROGRAMS.
    Section 7131(c) of SAFETEA-LU (119 Stat. 1910) is amended by 
striking ``and $870,000 for the period beginning on October 1, 2011, 
and ending on June 30, 2012,'' and inserting ``and $1,160,000 for 
fiscal year 2012''.

               TITLE III--PUBLIC TRANSPORTATION PROGRAMS

SEC. 113001. ALLOCATION OF FUNDS FOR PLANNING PROGRAMS.
    Section 5305(g) of title 49, United States Code, is amended by 
striking ``2011 and for the period beginning on October 1, 2011, and 
ending on June 30, 2012'' and inserting ``2012''.
SEC. 113002. SPECIAL RULE FOR URBANIZED AREA FORMULA GRANTS.
    Section 5307(b)(2) of title 49, United States Code, is amended--
        (1) by striking the paragraph heading and inserting ``special 
    rule for fiscal years 2005 through 2012.--'';
        (2) in subparagraph (A) by striking ``2011 and the period 
    beginning on October 1, 2011, and ending on June 30, 2012,'' and 
    inserting ``2012,''; and
        (3) in subparagraph (E)--
            (A) by striking the subparagraph heading and inserting 
        ``maximum amounts in fiscal years 2008 through 2012.--''; and
            (B) in the matter preceding clause (i) by striking ``2011 
        and during the period beginning on October 1, 2011, and ending 
        on June 30, 2012'' and inserting ``2012''.
SEC. 113003. ALLOCATING AMOUNTS FOR CAPITAL INVESTMENT GRANTS.
    Section 5309(m) of title 49, United States Code, is amended--
        (1) in paragraph (2)--
            (A) by striking the paragraph heading and inserting 
        ``fiscal years 2006 through 2012.--'';
            (B) in the matter preceding subparagraph (A) by striking 
        ``2011 and the period beginning on October 1, 2011, and ending 
        on June 30, 2012,'' and inserting ``2012''; and
            (C) in subparagraph (A)(i) by striking ``2011 and 
        $150,000,000 for the period beginning on October 1, 2011, and 
        ending on June 30, 2012,'' and inserting ``2012'';
        (2) in paragraph (6)--
            (A) in subparagraph (B) by striking ``2011 and $11,250,000 
        shall be available for the period beginning on October 1, 2011, 
        and ending on June 30, 2012,'' and inserting ``2012''; and
            (B) in subparagraph (C) by striking ``though 2011 and 
        $3,750,000 shall be available for the period beginning on 
        October 1, 2011, and ending on June 30, 2012,'' and inserting 
        ``through 2012''; and
        (3) in paragraph (7)--
            (A) in subparagraph (A)--
                (i) in the matter preceding clause (i)--

                    (I) in the first sentence by striking ``2011 and 
                $7,500,000 shall be available for the period beginning 
                on October 1, 2011, and ending on June 30, 2012,'' and 
                inserting ``2012''; and
                    (II) in the second sentence by inserting ``each 
                fiscal year'' before the colon;

                (ii) in clause (i) by striking ``for each fiscal year 
            and $1,875,000 for the period beginning on October 1, 2011, 
            and ending on June 30, 2012,'';
                (iii) in clause (ii) by striking ``for each fiscal year 
            and $1,875,000 for the period beginning on October 1, 2011, 
            and ending on June 30, 2012,'';
                (iv) in clause (iii) by striking ``for each fiscal year 
            and $750,000 for the period beginning on October 1, 2011, 
            and ending on June 30, 2012,'';
                (v) in clause (iv) by striking ``for each fiscal year 
            and $750,000 for the period beginning on October 1, 2011, 
            and ending on June 30, 2012,'';
                (vi) in clause (v) by striking ``for each fiscal year 
            and $750,000 for the period beginning on October 1, 2011, 
            and ending on June 30, 2012,'';
                (vii) in clause (vi) by striking ``for each fiscal year 
            and $750,000 for the period beginning on October 1, 2011, 
            and ending on June 30, 2012,'';
                (viii) in clause (vii) by striking ``for each fiscal 
            year and $487,500 for the period beginning on October 1, 
            2011, and ending on June 30, 2012,''; and
                (ix) in clause (viii) by striking ``for each fiscal 
            year and $262,500 for the period beginning on October 1, 
            2011, and ending on June 30, 2012,'';
            (B) in subparagraph (B) by striking clause (vii) and 
        inserting the following:
                ``(vii) $13,500,000 for fiscal year 2012.'';
            (C) in subparagraph (C) by striking ``and during the period 
        beginning on October 1, 2011, and ending on June 30, 2012,'';
            (D) in subparagraph (D) by striking ``and not less than 
        $26,250,000 shall be available for the period beginning on 
        October 1, 2011, and ending on June 30, 2012,''; and
            (E) in subparagraph (E) by striking ``and $2,250,000 shall 
        be available for the period beginning on October 1, 2011, and 
        ending on June 30, 2012,''.
SEC. 113004. APPORTIONMENT OF FORMULA GRANTS FOR OTHER THAN URBANIZED 
AREAS.
    Section 5311(c)(1)(G) of title 49, United States Code, is amended 
to read as follows:
            ``(G) $15,000,000 for fiscal year 2012.''.
SEC. 113005. APPORTIONMENT BASED ON FIXED GUIDEWAY FACTORS.
    Section 5337 of title 49, United States Code, is amended by 
striking subsection (g).
SEC. 113006. AUTHORIZATIONS FOR PUBLIC TRANSPORTATION.
    (a) Formula and Bus Grants.--Section 5338(b) of title 49, United 
States Code, is amended--
        (1) in paragraph (1) by striking subparagraph (G) and inserting 
    the following:
            ``(G) $8,360,565,000 for fiscal year 2012.''; and
        (2) in paragraph (2)--
            (A) in subparagraph (A) by striking ``$113,500,000 for each 
        of fiscal years 2009 through 2011, and $85,125,000 for the 
        period beginning on October 1, 2011, and ending on June 30, 
        2012,'' and inserting ``and $113,500,000 for each of fiscal 
        years 2009 through 2012'';
            (B) in subparagraph (B) by striking ``$4,160,365,000 for 
        each of fiscal years 2009 through 2011, and $3,120,273,750 for 
        the period beginning on October 1, 2011, and ending on June 30, 
        2012,'' and inserting ``and $4,160,365,000 for each of fiscal 
        years 2009 through 2012'';
            (C) in subparagraph (C) by striking ``$51,500,000 for each 
        of fiscal years 2009 through 2011, and $38,625,000 for the 
        period beginning on October 1, 2011, and ending on June 30, 
        2012,'' and inserting ``and $51,500,000 for each of fiscal 
        years 2009 through 2012'';
            (D) in subparagraph (D) by striking ``$1,666,500,000 for 
        each of fiscal years 2009 through 2011, and $1,249,875,000 for 
        the period beginning on October 1, 2011, and ending on June 30, 
        2012,'' and inserting ``and $1,666,500,000 for each of fiscal 
        years 2009 through 2012'';
            (E) in subparagraph (E) by striking ``$984,000,000 for each 
        of fiscal years 2009 through 2011, and $738,000,000 for the 
        period beginning on October 1, 2011, and ending on June 30, 
        2012,'' and inserting ``and $984,000,000 for each of fiscal 
        years 2009 through 2012'';
            (F) in subparagraph (F) by striking ``$133,500,000 for each 
        of fiscal years 2009 through 2011, and $100,125,000 for the 
        period beginning on October 1, 2011, and ending on June 30, 
        2012,'' and inserting ``and $133,500,000 for each of fiscal 
        years 2009 through 2012'';
            (G) in subparagraph (G) by striking ``$465,000,000 for each 
        of fiscal years 2009 through 2011, and $348,750,000 for the 
        period beginning on October 1, 2011, and ending on June 30, 
        2012,'' and inserting ``and $465,000,000 for each of fiscal 
        years 2009 through 2012'';
            (H) in subparagraph (H) by striking ``$164,500,000 for each 
        of fiscal years 2009 through 2011, and $123,375,000 for the 
        period beginning on October 1, 2011, and ending on June 30, 
        2012,'' and inserting ``and $164,500,000 for each of fiscal 
        years 2009 through 2012'';
            (I) in subparagraph (I) by striking ``$92,500,000 for each 
        of fiscal years 2009 through 2011, and $69,375,000 for the 
        period beginning on October 1, 2011, and ending on June 30, 
        2012,'' and inserting ``and $92,500,000 for each of fiscal 
        years 2009 through 2012'';
            (J) in subparagraph (J) by striking ``$26,900,000 for each 
        of fiscal years 2009 through 2011, and $20,175,000 for the 
        period beginning on October 1, 2011, and ending on June 30, 
        2012,'' and inserting ``and $26,900,000 for each of fiscal 
        years 2009 through 2012'';
            (K) in subparagraph (K) by striking ``for each of fiscal 
        years 2006 through 2011 and $2,625,000 for the period beginning 
        on October 1, 2011, and ending on June 30, 2012,'' and 
        inserting ``for each of fiscal years 2006 through 2012'';
            (L) in subparagraph (L) by striking ``for each of fiscal 
        years 2006 through 2011 and $18,750,000 for the period 
        beginning on October 1, 2011, and ending on June 30, 2012,'' 
        and inserting ``for each of fiscal years 2006 through 2012'';
            (M) in subparagraph (M) by striking ``$465,000,000 for each 
        of fiscal years 2009 through 2011, and $348,750,000 for the 
        period beginning on October 1, 2011, and ending on June 30, 
        2012,'' and inserting ``and $465,000,000 for each of fiscal 
        years 2009 through 2012''; and
            (N) in subparagraph (N) by striking ``$8,800,000 for each 
        of fiscal years 2009 through 2011, and $6,600,000 for the 
        period beginning on October 1, 2011, and ending on June 30, 
        2012,'' and inserting ``and $8,800,000 for each of fiscal years 
        2009 through 2012''.
    (b) Capital Investment Grants.--Section 5338(c)(7) of title 49, 
United States Code, is amended to read as follows:
        ``(7) $1,955,000,000 for fiscal year 2012.''.
    (c) Research and University Research Centers.--Section 5338(d) of 
title 49, United States Code, is amended--
        (1) in paragraph (1), in the matter preceding subparagraph (A), 
    by striking ``through 2011, and $33,000,000 for the period 
    beginning on October 1, 2011, and ending on June 30, 2012,'' and 
    inserting ``through 2011, and $44,000,000 for fiscal year 2012,''; 
    and
        (2) by striking paragraph (3) and inserting the following:
        ``(3) Additional authorizations.--
            ``(A) Research.--Of amounts authorized to be appropriated 
        under paragraph (1) for fiscal year 2012, the Secretary shall 
        allocate for each of the activities and projects described in 
        subparagraphs (A) through (F) of paragraph (1) an amount equal 
        to 63 percent of the amount allocated for fiscal year 2009 
        under each such subparagraph.
            ``(B) University centers program.--
                ``(i) Fiscal year 2012.--Of the amounts allocated under 
            paragraph (1)(C) for the university centers program under 
            section 5506 for fiscal year 2012, the Secretary shall 
            allocate for each program described in clauses (i) through 
            (iii) and (v) through (viii) of paragraph (2)(A) an amount 
            equal to 63 percent of the amount allocated for fiscal year 
            2009 under each such clause.
                ``(ii) Funding.--If the Secretary determines that a 
            project or activity described in paragraph (2) received 
            sufficient funds in fiscal year 2011, or a previous fiscal 
            year, to carry out the purpose for which the project or 
            activity was authorized, the Secretary may not allocate any 
            amounts under clause (i) for the project or activity for 
            fiscal year 2012 or any subsequent fiscal year.''.
    (d) Administration.--Section 5338(e)(7) of title 49, United States 
Code, is amended to read as follows:
        ``(7) $98,713,000 for fiscal year 2012.''.
SEC. 113007. AMENDMENTS TO SAFETEA-LU.
    (a) Contracted Paratransit Pilot.--Section 3009(i)(1) of SAFETEA-LU 
(119 Stat. 1572) is amended by striking ``2011 and the period beginning 
on October 1, 2011, and ending on June 30, 2012,'' and inserting 
``2012,''.
    (b) Public-private Partnership Pilot Program.--Section 3011 of 
SAFETEA-LU (49 U.S.C. 5309 note; 119 Stat. 1588) is amended--
        (1) in subsection (c)(5) by striking ``2011 and the period 
    beginning on October 1, 2011, and ending on June 30, 2012'' and 
    inserting ``2012''; and
        (2) in the second sentence of subsection (d) by striking ``2011 
    and the period beginning on October 1, 2011, and ending on June 30, 
    2012,'' and inserting ``2012''.
    (c) Elderly Individuals and Individuals With Disabilities Pilot 
Program.--Section 3012(b)(8) of SAFETEA-LU (49 U.S.C. 5310 note; 119 
Stat. 1593) is amended by striking ``June 30, 2012'' and inserting 
``September 30, 2012''.
    (d) Obligation Ceiling.--Section 3040(8) of SAFETEA-LU (119 Stat. 
1639) is amended to read as follows:
        ``(8) $10,458,278,000 for fiscal year 2012, of which not more 
    than $8,360,565,000 shall be from the Mass Transit Account.''.
    (e) Project Authorizations for New Fixed Guideway Capital 
Projects.--Section 3043 of SAFETEA-LU (119 Stat. 1640) is amended--
        (1) in subsection (b), in the matter preceding paragraph (1), 
    by striking ``2011 and the period beginning on October 1, 2011, and 
    ending on June 30, 2012,'' and inserting ``2012''; and
        (2) in subsection (c), in the matter preceding paragraph (1), 
    by striking ``2011 and the period beginning on October 1, 2011, and 
    ending on June 30, 2012,'' and inserting ``2012''.
    (f) Allocations for National Research and Technology Programs.--
Section 3046 of SAFETEA-LU (49 U.S.C. 5338 note; 119 Stat. 1706) is 
amended--
        (1) in subsection (b) by striking ``fiscal year or period'' and 
    inserting ``fiscal year''; and
        (2) by striking subsection (c)(2) and inserting the following:
        ``(2) for fiscal year 2012, in amounts equal to 63 percent of 
    the amounts allocated for fiscal year 2009 under each of paragraphs 
    (2), (3), (5), and (8) through (25) of subsection (a).''.

                        TITLE IV--EFFECTIVE DATE

SEC. 114001. EFFECTIVE DATE.
    This division and the amendments made by this division shall take 
effect on July 1, 2012.

                     DIVISION H--BUDGETARY EFFECTS

SEC. 120001. BUDGETARY EFFECTS.
    (a) PAYGO Scorecard.--The budgetary effects of this Act shall not 
be entered on either PAYGO scorecard maintained pursuant to section 
4(d) of the Statutory Pay-As-You-Go Act of 2010.
    (b) Senate PAYGO Scorecard.--The budgetary effects of this Act 
shall not be recorded on any PAYGO scorecard maintained for purposes of 
section 201 of S. Con. Res. 21 (110th Congress).

                               Speaker of the House of Representatives.

                            Vice President of the United States and    
                                               President of the Senate.
```