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[Congressional Bills 112th Congress]
[From the U.S. Government Publishing Office]
[S. 1769 Placed on Calendar Senate (PCS)]

                                                       Calendar No. 213
112th CONGRESS
  1st Session
                                S. 1769

    To put workers back on the job while rebuilding and modernizing 
                                America.

_______________________________________________________________________

                   IN THE SENATE OF THE UNITED STATES

                            October 31, 2011

Ms. Klobuchar (for herself, Mr. Manchin, Mr. Whitehouse, Mr. Reid, Mr. 
Kerry, Mrs. Boxer, Mr. Coons, Mr. Begich, Mr. Lautenberg, Mr. Franken, 
Mr. Schumer, Mr. Nelson of Florida, Mr. Blumenthal, Mrs. Feinstein, Mr. 
 Levin, Mr. Menendez, Mr. Brown of Ohio, Ms. Stabenow, and Mr. Durbin) 
      introduced the following bill; which was read the first time

                            November 1, 2011

            Read the second time and placed on the calendar

_______________________________________________________________________

                                 A BILL

 
    To put workers back on the job while rebuilding and modernizing 
                                America.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE; TABLE OF CONTENTS.

    (a) Short Title.--This Act may be cited as the ``Rebuild America 
Jobs Act''.
    (b) Table of Contents.--The table of contents for this Act is as 
follows:

Sec. 1. Short title; table of contents.
Sec. 2. Buy American--Use of American iron, steel, and manufactured 
                            goods.
Sec. 3. Wage rate and employment protection requirements.
      TITLE I--CREATING JOBS THROUGH INFRASTRUCTURE MODERNIZATION

    Subtitle A--Immediate Transportation Infrastructure Investments

Sec. 101. Immediate transportation infrastructure investments.
    Subtitle B--Building and Upgrading Infrastructure for Long-term 
                              Development

Sec. 121. Short title.
Sec. 122. Findings and purpose.
Sec. 123. Definitions.
Sec. 124. Establishment and general authority of American 
                            Infrastructure Financing Authority.
Sec. 125. Voting members of the board of directors.
Sec. 126. Chief executive officer of AIFA.
Sec. 127. Powers and duties of the board of directors.
Sec. 128. Senior management.
Sec. 129. Special Inspector General for AIFA.
Sec. 130. Other personnel.
Sec. 131. Compliance.
Sec. 132. Terms and limitations on direct loans and loan guarantees.
Sec. 133. Loan terms and repayment.
Sec. 134. Compliance and enforcement.
Sec. 135. Audits; reports to the President and Congress.
Sec. 136. Administrative fees.
Sec. 137. Efficiency of AIFA.
Sec. 138. Funding.
    Subtitle C--Extension of Exemption From Alternative Minimum Tax 
                 Treatment for Certain Tax-exempt Bonds

Sec. 141. Extension of exemption from alternative minimum tax treatment 
                            for certain tax-exempt bonds.
                    TITLE II--SURTAX ON MILLIONAIRES

Sec. 201. Surtax on millionaires.

SEC. 2. BUY AMERICAN--USE OF AMERICAN IRON, STEEL, AND MANUFACTURED 
              GOODS.

    (a) In General.--None of the funds appropriated or otherwise made 
available by this Act may be used for a project for the construction, 
alteration, maintenance, or repair of a public building or public work 
unless all of the iron, steel, and manufactured goods used in the 
project are produced in the United States.
    (b) Exception.--Subsection (a) shall not apply in any case or 
category of cases in which the head of the Federal department or agency 
involved determines that--
            (1) applying subsection (a) would be inconsistent with the 
        public interest;
            (2) iron, steel, and the relevant manufactured goods are 
        not produced in the United States in sufficient and reasonably 
        available quantities and of a satisfactory quality; or
            (3) inclusion of iron, steel, and manufactured goods 
        produced in the United States will increase the cost of the 
        overall project by more than 25 percent.
    (c) Waiver.--If the head of a Federal department or agency 
determines that it is necessary to waive the application of subsection 
(a) based on a finding under subsection (b), the head of the department 
or agency shall publish in the Federal Register a detailed written 
justification as to why the provision is being waived.
    (d) Application.--This section shall be applied in a manner 
consistent with United States obligations under international 
agreements.

SEC. 3. WAGE RATE AND EMPLOYMENT PROTECTION REQUIREMENTS.

    (a) In General.--All laborers and mechanics employed on projects 
funded directly by, or assisted in whole or in part by and through, the 
Federal Government or any other entity established pursuant to this Act 
shall be paid wages at rates not less than those prevailing on projects 
of a character similar in the locality as determined by the Secretary 
of Labor in accordance with subchapter IV of chapter 31 of title 40, 
United States Code.
    (b) Authority of Secretary of Labor.--With respect to the labor 
standards specified in this section, the Secretary of Labor shall have 
the authority and functions set forth in Reorganization Plan Numbered 
14 of 1950 (64 Stat. 1267; 5 U.S.C. App.) and section 3145 of title 40, 
United States Code.
    (c) Employee Protective Arrangements.--Projects (as defined in 
section 47102 of title 49, United States Code) that are funded directly 
by, or assisted in whole or in part by and through, the Federal 
Government or any other entity established pursuant to this Act shall 
be subject to the requirements under section 5333(b) of title 49, 
United States Code.

      TITLE I--CREATING JOBS THROUGH INFRASTRUCTURE MODERNIZATION

    Subtitle A--Immediate Transportation Infrastructure Investments

SEC. 101. IMMEDIATE TRANSPORTATION INFRASTRUCTURE INVESTMENTS.

    (a) Grants-In-Aid for Airports.--
            (1) In general.--There is made available to the Secretary 
        of Transportation $2,000,000,000 to carry out airport 
        improvement under subchapter I of chapter 471 and subchapter I 
        of chapter 475 of title 49, United States Code.
            (2) Federal share; limitation on obligations.--The Federal 
        share payable of the costs for which a grant is made under this 
        subsection, shall be 100 percent. The amount made available 
        under this subsection shall not be subject to any limitation on 
        obligations for the Grants-In-Aid for Airports program set 
        forth in any Act or in title 49, United States Code.
            (3) Distribution of funds.--Amounts provided to the 
        Secretary under this subsection shall not be subject to 
        apportionment formulas, special apportionment categories, or 
        minimum percentages under chapter 471 of title 49, United 
        States Code.
            (4) Availability.--Amounts made available under this 
        subsection shall be available for obligation during the 2-year 
        period beginning on the date of the enactment of this Act. The 
        Secretary shall obligate not less than 50 percent of the such 
        amounts not later than 1 year after the date of the enactment 
        of this Act and obligate the remaining amounts not later than 2 
        years after such date of enactment.
            (5) Administrative expenses.--Of the amounts made available 
        under this subsection, 0.3 percent--
                    (A) shall be available to the Secretary for 
                administrative expenses;
                    (B) shall remain available for obligation until 
                September 30, 2015; and
                    (C) may be used in conjunction with amounts 
                otherwise provided for the administration of the 
                Grants-In-Aid for Airports program.
    (b) Next Generation Air Traffic Control Advancements.--
            (1) In general.--There is made available to the Secretary 
        of Transportation $1,000,000,000 for necessary Federal Aviation 
        Administration capital, research and operating costs to carry 
        out Next Generation air traffic control system advancements.
            (2) Availability.--The amounts made available under this 
        subsection shall be available for obligation during the 2-year 
        period beginning on the date of the enactment of this Act.
    (c) Highway Infrastructure Investment.--
            (1) In general.--There is made available to the Secretary 
        of Transportation $27,000,000,000 for--
                    (A) restoration, repair, construction and other 
                activities eligible under section 133(b) of title 23, 
                United States Code; and
                    (B) passenger and freight rail transportation and 
                port infrastructure projects eligible for assistance 
                under section 601(a)(8) of title 23, United States 
                Code.
            (2) Federal share; limitation on obligations.--The Federal 
        share payable on account of any project or activity carried out 
        with funds made available under this subsection shall be, at 
        the option of the recipient, up to 100 percent of the total 
        cost of such project or activity. The amount made available 
        under this subsection shall not be subject to any limitation on 
        obligations for Federal-aid highways and highway safety 
        construction programs set forth in any Act or in title 23, 
        United States Code.
            (3) Availability.--The amounts made available under this 
        subsection shall be available for obligation during the 2-year 
        period beginning on the date of the enactment of this Act. The 
        Secretary shall obligate not less than 50 percent of the such 
        amounts not later than 1 year after the date of the enactment 
        of this Act and obligate the remaining amounts not later than 2 
        years after such date of enactment.
            (4) Distribution of funds.--
                    (A) Apportionment.--After making the set-asides 
                required under paragraphs (8), (9), (10), (11), and 
                (13), and not later than 30 days after the date of the 
                enactment of this Act--
                            (i) 50 percent of the remaining amounts 
                        made available under this subsection shall be 
                        apportioned to States using the formula set 
                        forth in section 104(b)(3) of title 23, United 
                        States Code; and
                            (ii) the remaining amounts shall be 
                        apportioned to States in the same ratio as the 
                        obligation limitation for fiscal year 2010 was 
                        distributed among the States in accordance with 
                        the formula specified in section 120(a)(6) of 
                        the Department of Transportation Appropriations 
                        Act, 2010 (title I of division A of Public Law 
                        111-117).
                    (B) State planning and oversight expenses.--Of 
                amounts apportioned under subparagraph (A), a State may 
                use up to 0.5 percent for activities related to 
                projects funded under this subsection, including 
                activities eligible under sections 134 and 135 of title 
                23, United States Code, State administration of 
                subgrants, and State oversight of subrecipients.
            (5) Redistribution.--
                    (A) Initial allocation.--The Secretary shall, 180 
                days following the date of apportionment, withdraw from 
                each State an amount equal to 50 percent of the funds 
                apportioned under paragraph (4) to that State 
                (excluding funds suballocated within the State) less 
                the amount of funding obligated (excluding funds 
                suballocated within the State), and the Secretary shall 
                redistribute such amounts to other States that have had 
                no funds withdrawn under this subparagraph in the 
                manner described in section 120(c) of division A of 
                Public Law 111-117.
                    (B) Subsequent allocation.--One year following the 
                date of apportionment, the Secretary shall withdraw 
                from each recipient of funds apportioned under 
                paragraph (4) any unobligated funds, and the Secretary 
                shall redistribute such amounts to States that have had 
                no funds withdrawn under this paragraph (excluding 
                funds suballocated within the State) in the manner 
                described in section 120(c) of division A of Public Law 
                111-117.
                    (C) Extension.--At the request of a State, the 
                Secretary may provide an extension of the 1-year period 
                only to the extent that the Secretary determines that 
                the State has encountered extreme conditions that 
                create an unworkable bidding environment or other 
                extenuating circumstances. Before granting an 
                extension, the Secretary shall provide a thorough 
                justification for the extension in a written 
                notification submitted to the Committee on Environment 
                and Public Works of the Senate and the Committee on 
                Transportation and Infrastructure of the House of 
                Representatives.
            (6) Transportation enhancements.--Three percent of the 
        amounts apportioned to a State under paragraph (4) shall be set 
        aside for the purposes described in section 133(d)(2) of title 
        23, United States Code (without regard to the comparison to 
        fiscal year 2005).
            (7) Suballocation.--Thirty percent of the amounts 
        apportioned to a State under this subsection shall be 
        suballocated within the State in the manner and for the 
        purposes described in the first sentence of sections 
        133(d)(3)(A), 133(d)(3)(B), and 133(d)(3)(D) of title 23, 
        United States Code. Such suballocation shall be conducted in 
        every State. Amounts suballocated within a State to urbanized 
        areas and other areas shall not be subject to the 
        redistribution of amounts required 180 days after the date of 
        apportionment of funds provided by paragraph (6)(A).
            (8) Puerto rico and territorial highway programs.--Of the 
        amounts provided under this subsection, $105,000,000 shall be 
        set aside for the Puerto Rico highway program authorized under 
        section 165 of title 23, United States Code, and $45,000,000 
        shall be for the territorial highway program authorized under 
        section 215 of title 23, United States Code.
            (9) Federal lands and indian reservations.--Of the amounts 
        provided under this subsection, $550,000,000 shall be set aside 
        for investments in transportation at Indian reservations and 
        Federal lands in accordance with the following requirements:
                    (A) Of the funds set aside by this paragraph, 
                $310,000,000 shall be for the Indian Reservation Roads 
                program, $170,000,000 shall be for the Park Roads and 
                Parkways program, $60,000,000 shall be for the Forest 
                Highway Program, and $10,000,000 shall be for the 
                Refuge Roads program.
                    (B) For investments at Indian reservations and 
                Federal lands, priority shall be given to capital 
                investments, and to projects and activities that can be 
                completed within 2 years of enactment of this Act.
                    (C) One year following the enactment of this Act, 
                to ensure the prompt use of the funding provided for 
                investments at Indian reservations and Federal lands, 
                the Secretary shall have the authority to redistribute 
                unobligated funds within the respective program for 
                which the funds were appropriated.
                    (D) Up to 4 percent of the funding provided for 
                Indian Reservation Roads may be used by the Secretary 
                of the Interior for program management and oversight 
                and project-related administrative expenses.
                    (E) Section 134(f)(3)(C)(ii)(II) of title 23, 
                United States Code, shall not apply to funds set aside 
                under this paragraph.
            (10) Job training.--
                    (A) In general.--Of the amounts provided under this 
                subsection, $50,000,000 shall be set aside for the 
                development and administration of transportation 
                training programs under section 140(b) title 23, United 
                States Code.
                    (B) Competitive award.--Amounts set aside under 
                this paragraph shall be competitively awarded and used 
                for the purpose of providing training, apprenticeship 
                (including Registered Apprenticeship), skill 
                development, and skill improvement programs, as well as 
                summer transportation institutes and may be transferred 
                to, or administered in partnership with, the Secretary 
                of Labor and shall demonstrate to the Secretary of 
                Transportation program outcomes, including--
                            (i) impact on areas with transportation 
                        workforce shortages;
                            (ii) diversity of training participants;
                            (iii) number of participants obtaining 
                        certifications or credentials required for 
                        specific types of employment;
                            (iv) employment outcome metrics, such as 
                        job placement and job retention rates, 
                        established in consultation with the Secretary 
                        of Labor and consistent with metrics used by 
                        programs under the Workforce Investment Act;
                            (v) to the extent practical, evidence that 
                        the program did not preclude workers that 
                        participate in training or apprenticeship 
                        activities under the program from being 
                        referred to, or hired on, projects funded under 
                        this chapter; and
                            (vi) identification of areas of 
                        collaboration with the Department of Labor 
                        programs, including co-enrollment.
                    (C) Certification.--To be eligible to receive a 
                competitively awarded grant under this subsection, a 
                State must certify that at least 0.1 percent of the 
                amounts apportioned under the Surface Transportation 
                Program and Bridge Program will be obligated in the 
                first fiscal year after the date of the enactment of 
                this Act for job training activities, in accordance 
                with section 140(b) of title 23, United States Code.
            (11) Disadvantaged business enterprises.--Of the amounts 
        provided under this subsection, $10,000,000 shall be set aside 
        for training programs and assistance programs under section 
        140(c) of title 23, United States Code. Amounts set aside under 
        this paragraph should be allocated to businesses that have 
        proven success in adding staff while effectively completing 
        projects.
            (12) Conditions.--Amounts made available under this 
        subsection--
                    (A) shall be administered as if apportioned under 
                chapter 1 of title 23, United States Code, except for--
                            (i) amounts made available for investments 
                        in transportation at Indian reservations and 
                        Federal lands and for the territorial highway 
                        program, which shall be administered in 
                        accordance with chapter 2 of such title 23; and
                            (ii) amounts made available for 
                        disadvantaged business enterprises bonding 
                        assistance, which shall be administered in 
                        accordance with chapter 3 of title 49, United 
                        States Code;
                    (B) may not be obligated for the purposes 
                authorized under section 115(b) of title 23, United 
                States Code;
                    (C) shall be in addition to any and all funds 
                provided for fiscal years 2011 and 2012 in any other 
                Act for ``Federal-aid Highways'' and shall not affect 
                the distribution of funds provided for ``Federal-aid 
                Highways'' in any other Act; and
                    (D) shall be subject to the requirements under 
                section 1101(b) of SAFETEA-LU (Public Law 109-59).
            (13) Oversight.--The Administrator of the Federal Highway 
        Administration may set aside up to 0.15 percent of the amounts 
        provided under this subsection to fund the oversight by the 
        Administrator of projects and activities carried out with 
        amounts made available to the Federal Highway Administration 
        under this Act. Such amounts shall be available through 
        September 30, 2015.
    (d) Capital Assistance for High-Speed Rail Corridors and Intercity 
Passenger Rail Service.--
            (1) In general.--
                    (A) Grants.--There is made available to the 
                Secretary of Transportation $4,000,000,000, which shall 
                be used--
                            (i) for grants for high-speed rail projects 
                        authorized under sections 26104 and 26106 of 
                        title 49, United States Code
                            (ii) for capital investment grants to 
                        support intercity passenger rail service 
                        authorized under section 24406 of such title 
                        49;
                            (iii) congestion grants authorized under 
                        section 24105 of such title 49; and
                            (iv) to enter into cooperative agreements 
                        for the purposes set forth in clauses (i) 
                        through (iii).
                    (B) Oversight.--The Administrator of the Federal 
                Railroad Administration may retain up to 1 percent of 
                the amounts made available under subparagraph (A) for 
                award and oversight by the Administrator of the grants 
                made under this subsection. Such amount shall remain 
                available for obligation until September 30, 2015.
            (2) Availability.--The amounts made available under this 
        subsection shall be available for obligation during the 2-year 
        period beginning on the date of the enactment of this Act. The 
        Secretary shall obligate not less than 50 percent of the such 
        amounts not later than 1 year after the date of the enactment 
        of this Act and obligate the remaining amounts not later than 2 
        years after such date of enactment.
            (3) Federal share.--The Federal share payable of the costs 
        for which a grant or cooperative agreements is made under this 
        subsection shall be, at the option of the recipient, up to 100 
        percent.
            (4) Interim guidance.--The Secretary shall issue interim 
        guidance to applicants covering application procedures and 
        administer the grants provided under this subsection pursuant 
        to that guidance until final regulations are issued.
            (5) Intercity passenger rail corridors.--Not less than 85 
        percent of the amounts provided under this subsection shall be 
        for cooperative agreements that lead to the development of 
        entire segments or phases of intercity or high-speed rail 
        corridors.
            (6) Conditions.--
                    (A) In addition to the provisions of title 49, 
                United States Code, that apply to each of the 
                individual programs funded under this subsection, 
                subsections (a)(2) and (i) of section 24402(i) of title 
                49, United States Code, and subsections (a) and (c) of 
                section 24403 of such title 49, shall also apply to 
                amounts provided under this subsection.
                    (B) A project need not be in a State rail plan 
                developed under chapter 227 of title 49, United States 
                Code, to be eligible for assistance under this 
                subsection.
                    (C) Recipients of grants under this paragraph shall 
                conduct all procurement transactions using such grant 
                funds in a manner that provides full and open 
                competition, as determined by the Secretary, in 
                compliance with existing labor agreements.
    (e) Capital Grants to the National Railroad Passenger 
Corporation.--
            (1) In general.--There is made available $2,000,000,000 to 
        the Secretary of Transportation to award capital grants to the 
        National Railroad Passenger Corporation (Amtrak), as authorized 
        by section 101(c) of the Passenger Rail Investment and 
        Improvement Act of 2008 (Public Law 110-432).
            (2) Availability.--The amounts made available under this 
        subsection shall be available for obligation during the 2-year 
        period beginning on the date of the enactment of this Act. The 
        Secretary shall obligate not less than 50 percent of the such 
        amounts not later than 1 year after the date of the enactment 
        of this Act and obligate the remaining amounts not later than 2 
        years after such date of enactment.
            (3) Project priority.--The priority for the use of funds 
        shall be given to projects for the repair, rehabilitation, or 
        upgrade of railroad assets or infrastructure, and for capital 
        projects that expand passenger rail capacity including the 
        rehabilitation of rolling stock.
            (4) Conditions.--
                    (A) None of the amounts under this subsection shall 
                be used to subsidize the operating losses of Amtrak.
                    (B) Amounts provided under this subsection shall be 
                awarded not later than 90 days after the date of the 
                enactment of this Act.
                    (C) The Secretary shall take measures to ensure 
                that projects funded under this subsection shall be 
                completed not later than 2 years after the date of the 
                enactment of this Act, and shall serve to supplement 
                and not supplant planned expenditures for such 
                activities from other Federal, State, local and 
                corporate sources. The Secretary shall submit written 
                certification to the Committee on Appropriations of the 
                Senate and the Committee on Armed Services of the House 
                of Representatives that the Secretary is in compliance 
                with this subparagraph.
            (5) Oversight.--The Administrator of the Federal Railroad 
        Administration may set aside 0.5 percent of the amounts 
        provided under this subsection to fund the oversight by the 
        Administrator of projects and activities carried out with funds 
        made available in this subsection, and such amounts shall be 
        available through September 30, 2015.
    (f) Transit Capital Assistance.--
            (1) In general.--There is made available to the Secretary 
        of Transportation $3,000,000,000 for grants for transit capital 
        assistance grants as defined by section 5302(a)(1) of title 49, 
        United States Code. Notwithstanding any provision of chapter 53 
        of such title 49, a recipient of funding under this subsection 
        may use up to 10 percent of such funding for the operating 
        costs of equipment and facilities for use in public 
        transportation or for other eligible activities.
            (2) Federal share; limitation on obligations.--The 
        applicable requirements of chapter 53 of title 49, United 
        States Code, shall apply to funding provided under this 
        subsection, except that the Federal share of the costs for 
        which any grant is made under this subsection shall be, at the 
        option of the recipient, up to 100 percent. The amount made 
        available under this subsection shall not be subject to any 
        limitation on obligations for transit programs set forth in any 
        Act or chapter 53 of title 49, United States Code.
            (3) Availability.--The amounts made available under this 
        subsection shall be available for obligation during the 2-year 
        period beginning on the date of the enactment of this Act. The 
        Secretary shall obligate not less than 50 percent of the such 
        amounts not later than 1 year after the date of the enactment 
        of this Act and obligate the remaining amounts not later than 2 
        years after such date of enactment.
            (4) Distribution of funds.--The Secretary of Transportation 
        shall--
                    (A) provide 80 percent of the funds appropriated 
                under this subsection for grants under section 5307 of 
                title 49, United States Code, and apportion such funds 
                in accordance with section 5336 of such title;
                    (B) provide 10 percent of the funds appropriated 
                under this subsection in accordance with section 5340 
                of such title; and
                    (C) provide 10 percent of the funds appropriated 
                under this subsection for grants under section 5311 of 
                title 49, United States Code, and apportion such funds 
                in accordance with such section.
            (5) Apportionment.--Amounts apportioned under this 
        subsection shall be apportioned not later than 21 days after 
        the date of the enactment of this Act.
            (6) Redistribution.--
                    (A) Initial allocation.--The Secretary of 
                Transportation shall, 180 days following the date of 
                apportionment, withdraw from each urbanized area or 
                State an amount equal to 50 percent of the amounts 
                apportioned to such urbanized areas or States less the 
                amount of funding obligated, and the Secretary shall 
                redistribute such amounts to other urbanized areas or 
                States that have had no funds withdrawn under this 
                subparagraph utilizing whatever method the determines 
                to be appropriate to ensure that all funds 
                redistributed under this subparagraph shall be utilized 
                promptly.
                    (B) Subsequent allocation.--One year following the 
                date of apportionment, the Secretary shall withdraw 
                from each urbanized area or State any unobligated 
                funds, and the Secretary shall redistribute such 
                amounts to other urbanized areas or States that have 
                had no amounts withdrawn under this paragraph utilizing 
                whatever method the determines to be appropriate to 
                ensure that all funds redistributed under this 
                subparagraph shall be utilized promptly.
                    (C) Extension.--At the request of an urbanized area 
                or State, the Secretary may provide an extension of the 
                1-year period only to the extent that the Secretary 
                determines that the urbanized area or State has 
                encountered an unworkable bidding environment or other 
                extenuating circumstances. Before granting an 
                extension, the Secretary shall provide a thorough 
                justification for the extension in a written 
                notification submitted to the Committee on Environment 
                and Public Works of the Senate and the Committee on 
                Transportation and Infrastructure of the House of 
                Representatives.
            (7) Conditions.--
                    (A) Of the amounts provided for section 5311 of 
                title 49, United States Code, 2.5 percent shall be made 
                available for subsection (c)(1) of such section.
                    (B) Amounts appropriated under this subsection 
                shall be subject to the requirements under section 
                1101(b) of SAFETEA-LU (Public Law 109-59).
                    (C) Amounts appropriated under this subsection may 
                not be commingled with amounts appropriated in any 
                prior fiscal year.
            (8) Oversight.--Notwithstanding any other provision of 
        law--
                    (A) 0.3 percent of the amounts provided for grants 
                under sections 5307 and 5340 of title 49, United States 
                Code, and 0.3 percent of the amounts provided for 
                grants under section 5311 of such title 49, shall be 
                available for administrative expenses and program 
                management oversight; and
                    (B) amounts set aside under subparagraph (A) shall 
                be available through September 30, 2015.
    (g) State of Good Repair.--
            (1) In general.--There is made available to the Secretary 
        of Transportation $6,000,000,000 for capital expenditures 
        authorized under paragraphs (2) and (3) of section 5309(b) of 
        title 49, United States Code.
            (2) Federal share.--The applicable requirements under 
        chapter 53 of title 49, United States Code, shall apply to 
        amounts made available under this subsection, except that the 
        Federal share of the costs for which a grant is made under this 
        subsection shall be, at the option of the recipient, up to 100 
        percent.
            (3) Availability.--The amounts made available under this 
        subsection shall be available for obligation during the 2-year 
        period beginning on the date of the enactment of this Act. The 
        Secretary shall obligate not less than 50 percent of the such 
        amounts not later than 1 year after the date of the enactment 
        of this Act and obligate the remaining amounts not later than 2 
        years after such date of enactment.
            (4) Distribution of funds.--
                    (A) Fixed guideway systems.--Not later than 30 days 
                after the date of the enactment of this Act, the 
                Secretary of Transportation shall apportion not less 
                than 75 percent of the amounts made available under 
                this subsection for the modernization of fixed guideway 
                systems pursuant to the formula set forth in section 
                5336(b) title 49, United States Code (other than 
                paragraph (2)(A)(ii)).
                    (B) Bus systems.--Not later than 30 days after the 
                date of the enactment of this Act, the Secretary of 
                Transportation shall apportion not less than 25 percent 
                of the amounts appropriated under this subsection for 
                the restoration or replacement of existing public 
                transportation assets related to bus systems pursuant 
                to the formula set forth in section 5336 (other than 
                subsection (b)).
            (5) Redistribution.--
                    (A) Initial allocation.--The Secretary of 
                Transportation shall, 180 days following the date of 
                apportionment, withdraw from each urbanized area an 
                amount equal to 50 percent of the amounts apportioned 
                to such urbanized area less the amount of funding 
                obligated, and the Secretary shall redistribute such 
                amounts to other urbanized areas that have had no funds 
                withdrawn under this paragraph utilizing whatever 
                method the determines to be appropriate to ensure that 
                all funds redistributed under this subparagraph shall 
                be utilized promptly.
                    (B) Subsequent allocation.--One year after the date 
                of apportionment, the Secretary shall withdraw from 
                each urbanized area any unobligated funds, and the 
                Secretary shall redistribute such amounts to other 
                urbanized areas that have had no amounts withdrawn 
                under this paragraph utilizing whatever method the 
                determines to be appropriate to ensure that all funds 
                redistributed under this subparagraph shall be utilized 
                promptly.
                    (C) Extension.--At the request of an urbanized 
                area, the Secretary may provide an extension of the 1-
                year period if the Secretary determines that the 
                urbanized area has encountered an unworkable bidding 
                environment or other extenuating circumstances. Before 
                granting an extension, the Secretary shall provide a 
                thorough justification for the extension in a written 
                notification submitted to the Committee on Environment 
                and Public Works of the Senate and the Committee on 
                Transportation and Infrastructure of the House of 
                Representatives.
            (6) Conditions.--
                    (A) Amounts appropriated under this subsection 
                shall be subject to the requirements under section 
                1101(b) of SAFETEA-LU (Public Law 109-59).
                    (B) Amounts appropriated under this subsection may 
                not be commingled with amounts appropriated in any 
                prior fiscal year.
            (7) Oversight.--Notwithstanding any other provision of law, 
        0.3 percent of the funds under this subsection shall be 
        available for administrative expenses and program management 
        oversight and shall remain available for obligation until 
        September 30, 2015.
    (h) Transportation Infrastructure Grants and Financing.--
            (1) In general.--There is made available to the Secretary 
        of Transportation $5,000,000,000 for capital investments in 
        surface transportation infrastructure. The Secretary shall 
        distribute amounts made available under this subsection as 
        discretionary grants to be awarded to State and local 
        governments or transit agencies on a competitive basis for 
        projects that will have a significant impact on the Nation, a 
        metropolitan area, or a region.
            (2) Federal share; limitation on obligations.--The Federal 
        share payable of the costs for which a grant is made under this 
        subsection shall be 100 percent.
            (3) Availability.--The amounts made available under this 
        subsection shall be available for obligation during the 2-year 
        period beginning on the date of the enactment of this Act. The 
        Secretary shall obligate not less than 50 percent of the such 
        amounts not later than 1 year after the date of the enactment 
        of this Act and obligate the remaining amounts not later than 2 
        years after such date of enactment.
            (4) Project eligibility.--Projects eligible for funding 
        provided under this subsection include--
                    (A) highway or bridge projects eligible under title 
                23, United States Code, including interstate 
                rehabilitation, improvements to the rural collector 
                road system, the reconstruction of overpasses and 
                interchanges, bridge replacements, seismic retrofit 
                projects for bridges, and road realignments;
                    (B) public transportation projects eligible under 
                chapter 53 of title 49, United States Code, including 
                investments in projects participating in the New Starts 
                or Small Starts programs that will expedite the 
                completion of those projects and their entry into 
                revenue service;
                    (C) passenger and freight rail transportation 
                projects; and
                    (D) port infrastructure investments, including 
                projects that connect ports to other modes of 
                transportation and improve the efficiency of freight 
                movement.
            (5) TIFIA program.--The Secretary may transfer amounts made 
        available under this subsection to the Federal Highway 
        Administration for the purpose of paying the subsidy and 
        administrative costs of projects eligible for federal credit 
        assistance under chapter 6 of title 23, United States Code, if 
        the Secretary determines that such use would advance the 
        purposes of this subsection.
            (6) Project priority.--The Secretary shall give priority to 
        projects that are expected to be completed not later than 3 
        years after the date of the enactment of this Act.
            (7) Deadline for issuance of competition criteria.--Not 
        later than 90 days after the date of the enactment of this Act, 
        the Secretary shall publish criteria on which to base the 
        competition for any grants awarded under this subsection. The 
        Secretary shall require applications for funding under this 
        subsection to be submitted not later than 180 days after the 
        publication of the criteria, and announce all projects selected 
        to be funded from such amounts not later than 1 year after the 
        date of the enactment of the Act.
            (8) Applicability of title 40, united states code.--Each 
        project conducted using funds provided under this subsection 
        shall comply with the requirements under subchapter IV of 
        chapter 31 of title 40, United States Code.
            (9) Administrative expenses.--The Secretary may retain up 
        to 0.5 percent of the amounts provided under this subsection, 
        and may transfer portions of those funds to the Administrator 
        of the Federal Highway Administration, the Administrator of the 
        Federal Transit Administration, the Administrator of the 
        Federal Railroad Administration, and the Administrator of the 
        Maritime Administration, to fund the award and oversight of 
        grants made under this subsection. Amounts retained under this 
        paragraph shall remain available for obligation until September 
        30, 2015.
    (i) Local Hiring.--
            (1) In general.--With regard to the funding made available 
        under subsections (a) through (h), the Secretary of 
        Transportation may establish standards under which a contract 
        for construction may be advertised that contains requirements 
        for the employment of individuals residing in or adjacent to 
        any of the areas in which the work is to be performed to 
        perform construction work required under the contract, if--
                    (A) all or part of the construction work performed 
                under the contract occurs in an area designated by the 
                Secretary as an area of high unemployment, using data 
                reported by the United States Department of Labor, 
                Bureau of Labor Statistics;
                    (B) the estimated cost of the project of which the 
                contract is a part is greater than $10,000,000, except 
                that the estimated cost of the project in the case of 
                construction funded under subsection (c) shall be 
                greater than $50,000,000; and
                    (C) the recipient may not require the hiring of 
                individuals who do not have the necessary skills to 
                perform work in any craft or trade unless the recipient 
                establishes reasonable provisions to train such 
                individuals to perform any such work under the contract 
                effectively.
            (2) Project standards.--
                    (A) In general.--Any standards established by the 
                Secretary under this section shall ensure that any 
                requirements under subsection (c)(1)--
                            (i) do not compromise the quality of the 
                        project;
                            (ii) are reasonable in scope and 
                        application;
                            (iii) do not unreasonably delay the 
                        completion of the project; and
                            (iv) do not unreasonably increase the cost 
                        of the project.
                    (B) Available programs.--A portion of the amounts 
                made available under subsections (a) through (h) may be 
                allocated by the recipients of such funding for 
                training programs that comply with paragraph (1)(C). 
                The Secretary of Labor shall make available its 
                qualifying workforce and training development programs 
                to recipients desiring to establish training programs 
                that comply with paragraph (1)(C).
            (3) Implementing regulations.--The Secretary shall 
        promulgate final regulations to implement this subsection.
    (j) Administrative Provisions.--
            (1) Applicability of title 40.--Each project using amounts 
        provided under this section shall comply with the requirements 
        under subchapter IV of chapter 31 of title 40, United States 
        Code.
            (2) Buy american.--Section 1605 of division A of the 
        American Recovery and Reinvestment Act of 2009 (Public Law 111-
        5) shall apply to each project conducted using amounts made 
        available under this section.

    Subtitle B--Building and Upgrading Infrastructure for Long-term 
                              Development

SEC. 121. SHORT TITLE.

    This subtitle may be cited as the ``Building and Upgrading 
Infrastructure for Long-Term Development''.

SEC. 122. FINDINGS AND PURPOSE.

            (1) Findings.--Congress finds that--
                    (A) infrastructure has always been a vital element 
                of the economic strength of the United States and a key 
                indicator of the international leadership of the United 
                States;
                    (B) the Erie Canal, the Hoover Dam, the railroads, 
                and the interstate highway system are all testaments to 
                American ingenuity and have helped propel and maintain 
                the United States as the world's largest economy;
                    (C) according to the World Economic Forum's Global 
                Competitiveness Report, the United States fell to 
                second place in 2009, and dropped to fourth place 
                overall in 2010, however, in the ``Quality of overall 
                infrastructure'' category of the same report, the 
                United States ranked 23rd in the world;
                    (D) according to the World Bank's 2010 Logistic 
                Performance Index, the capacity of countries to 
                efficiently move goods and connect manufacturers and 
                consumers with international markets is improving 
                around the world, and the United States now ranks 
                seventh in the world in logistics-related 
                infrastructure behind countries from both Europe and 
                Asia;
                    (E) according to a January 2009 report from the 
                University of Massachusetts/Alliance for American 
                Manufacturing entitled ``Employment, Productivity and 
                Growth,'' infrastructure investment is a ``highly 
                effective engine of job creation'';
                    (F) according to the American Society of Civil 
                Engineers, the current condition of the infrastructure 
                in the United States earns a grade point average of D, 
                and an estimated $2,200,000,000,000 investment is 
                needed over the next 5 years to bring American 
                infrastructure up to adequate condition;
                    (G) according to the National Surface 
                Transportation Policy and Revenue Study Commission, 
                $225,000,000,000 is needed annually from all sources 
                for the next 50 years to upgrade the United States 
                surface transportation system to a state of good repair 
                and create a more advanced system;
                    (H) the current infrastructure financing mechanisms 
                of the United States, both on the Federal and State 
                level, will fail to meet current and foreseeable 
                demands and will create large funding gaps;
                    (I) published reports state that there may not be 
                enough demand for municipal bonds to maintain the same 
                level of borrowing at the same rates, resulting in 
                significantly decreased infrastructure investment at 
                the State and local level;
                    (J) current funding mechanisms are not readily 
                scalable and do not--
                            (i) serve large in-State or cross 
                        jurisdiction infrastructure projects, projects 
                        of regional or national significance, or 
                        projects that cross sector silos;
                            (ii) sufficiently catalyze private sector 
                        investment; or
                            (iii) ensure the optimal return on public 
                        resources;
                    (K) although grant programs of the United States 
                Government must continue to play a central role in 
                financing the transportation, environment, and energy 
                infrastructure needs of the United States, current and 
                foreseeable demands on existing Federal, State, and 
                local funding for infrastructure expansion clearly 
                exceed the resources to support these programs by 
                margins wide enough to prompt serious concerns about 
                the United States ability to sustain long-term economic 
                development, productivity, and international 
                competitiveness;
                    (L) the capital markets, including pension funds, 
                private equity funds, mutual funds, sovereign wealth 
                funds, and other investors, have a growing interest in 
                infrastructure investment and represent hundreds of 
                billions of dollars of potential investment; and
                    (M) the establishment of a United States 
                Government-owned, independent, professionally managed 
                institution that could provide credit support to 
                qualified infrastructure projects of regional and 
                national significance, making transparent merit-based 
                investment decisions based on the commercial viability 
                of infrastructure projects, would catalyze the 
                participation of significant private investment 
                capital.
            (2) Purpose.--The purpose of this subtitle is to facilitate 
        investment in, and long-term financing of, economically viable 
        infrastructure projects of regional or national significance in 
        a manner that--
                    (A) complements existing Federal, State, local, and 
                private funding sources for these projects;
                    (B) introduces a merit-based system for financing 
                such projects; and
                    (C) mobilizes significant private sector 
                investment, creates jobs, and ensures United States 
                competitiveness through an institution that limits the 
                need for ongoing Federal funding.

SEC. 123. DEFINITIONS.

    In this subtitle:
            (1) AIFA.--The term ``AIFA'' means the American 
        Infrastructure Financing Authority established under this 
        subtitle.
            (2) Blind trust.--The term ``blind trust'' means a trust in 
        which the beneficiary has no knowledge of the specific holdings 
        and no rights over how those holdings are managed by the 
        fiduciary of the trust prior to the dissolution of the trust.
            (3) Board of directors.--The term ``Board of Directors'' 
        means Board of Directors of AIFA.
            (4) Chairperson.--The term ``Chairperson'' means the 
        Chairperson of the Board of Directors of AIFA.
            (5) Chief executive officer.--The term ``chief executive 
        officer'' means the chief executive officer of AIFA, appointed 
        under section 126.
            (6) Cost; direct loan.--The terms ``cost'' and ``direct 
        loan'' have the meanings given such terms in section 502 of the 
        Federal Credit Reform Act of 1990 (2 U.S.C. 661a).
            (7) Eligible entity.--The term ``eligible entity'' means an 
        individual, corporation, partnership (including a public-
        private partnership), joint venture, trust, State, or other 
        non-Federal governmental entity, including a political 
        subdivision or any other instrumentality of a State, or a 
        revolving fund.
            (8) Infrastructure projects.--
                    (A) In general.--The term ``eligible infrastructure 
                project'' means any non-Federal transportation, water, 
                or energy infrastructure project, or an aggregation of 
                such infrastructure projects, as provided in this 
                subtitle.
                    (B) Transportation infrastructure project.--The 
                term ``transportation infrastructure project'' means 
                the construction, alteration, or repair, including the 
                facilitation of intermodal transit, of the following 
                subsectors:
                            (i) Highway or road.
                            (ii) Bridge.
                            (iii) Mass transit.
                            (iv) Inland waterways.
                            (v) Commercial ports.
                            (vi) Airports.
                            (vii) Air traffic control systems.
                            (viii) Passenger rail, including high-speed 
                        rail.
                            (ix) Freight rail systems.
                    (C) Water infrastructure project.--The term ``water 
                infrastructure project'' means the construction, 
                consolidation, alteration, or repair of the following 
                subsectors:
                            (i) Wastewater treatment facility.
                            (ii) Storm water management system.
                            (iii) Dam.
                            (iv) Solid waste disposal facility.
                            (v) Drinking water treatment facility.
                            (vi) Levee.
                            (vii) Open space management system.
                    (D) Energy infrastructure project.--The term 
                ``energy infrastructure project'' means the 
                construction, alteration, or repair of the following 
                subsectors:
                            (i) Pollution reduced energy generation.
                            (ii) Transmission and distribution.
                            (iii) Storage.
                            (iv) Energy efficiency enhancements for 
                        buildings, including public and commercial 
                        buildings.
                    (E) Board authority to modify subsectors.--The 
                Board of Directors may make modifications to the 
                subsectors set forth in subparagraphs (B) through (D) 
                by a vote of not fewer than 5 of the voting members of 
                the Board of Directors.
            (9) Investment prospectus.--
                    (A) In general.--The term ``investment prospectus'' 
                means the processes and publications described in this 
                subsection that will guide the priorities and strategic 
                focus for the Bank's investments. The investment 
                prospectus shall follow rulemaking procedures under 
                section 553 of title 5, United States Code.
                    (B) Publication.--Not later than 1 year after the 
                date of the enactment of this Act, the Bank shall 
                publish a detailed description of its strategy in an 
                Investment Prospectus that--
                            (i) specifies what the Bank shall consider 
                        significant to the economic competitiveness of 
                        the United States or a region thereof in a 
                        manner consistent with the primary objective;
                            (ii) specifies the priorities and strategic 
                        focus of the Bank in forwarding its strategic 
                        objectives and carrying out the Bank strategy;
                            (iii) specifies the priorities and 
                        strategic focus of the Bank in promoting 
                        greater efficiency in the movement of freight;
                            (iv) specifies the priorities and strategic 
                        focus of the Bank in promoting the use of 
                        innovation and best practices in the planning, 
                        design, development and delivery of projects;
                            (v) describes in detail the framework and 
                        methodology for calculating application 
                        qualification scores and associated ranges as 
                        specified in this subchapter, along with the 
                        data to be requested from applicants and the 
                        mechanics of calculations to be applied to that 
                        data to determine qualification scores and 
                        ranges;
                            (vi) describes how selection criteria will 
                        be applied by the Chief Executive Officer in 
                        determining the competitiveness of an 
                        application and its qualification score and 
                        range relative to other current applications 
                        and previously funded applications; and
                            (vii) describes how the qualification score 
                        and range methodology and project selection 
                        framework are consistent with maximizing the 
                        Bank goals in urban and rural areas.
                    (C) Approval.--The Investment Prospectus and any 
                subsequent updates to the Investment Prospectus shall 
                be approved by a majority vote of the Board of 
                Directors prior to publication.
                    (D) Updates.--The Bank shall update the Investment 
                Prospectus on every biennial anniversary of its 
                original publication.
            (10) Investment-grade rating.--The term ``investment-grade 
        rating'' means a rating of BBB minus, Baa3, or higher assigned 
        to an infrastructure project by a ratings agency.
            (11) Loan guarantee.--The term ``loan guarantee'' has the 
        meaning given such term in section 502 of the Federal Credit 
        Reform Act of 1990 (2 U.S.C. 661a).
            (12) Public-private partnership.--The term ``public-private 
        partnership'' means any eligible entity--
                    (A)(i) which is undertaking the development of all 
                or part of an infrastructure project that will have a 
                public benefit, pursuant to requirements established in 
                one or more contracts between the entity and a State or 
                an instrumentality of a State; or
                    (ii) the activities of which, with respect to such 
                an infrastructure project, are subject to regulation by 
                a State or any instrumentality of a State;
                    (B) which owns, leases, or operates or will own, 
                lease, or operate, the project in whole or in part; and
                    (C) the participants in which include not fewer 
                than 1 nongovernmental entity with significant 
                investment and some control over the project or project 
                vehicle.
            (13) Rural infrastructure project.--The term ``rural 
        infrastructure project'' means an infrastructure project in a 
        rural area (as defined in section 343(a)(13)(A) of the 
        Consolidated Farm and Rural Development Act (7 U.S.C. 
        1991(a)(13)(A))).
            (14) Secretary.--Unless the context otherwise requires, the 
        term ``Secretary'' means the Secretary of the Treasury or the 
        designee of the Secretary of the Treasury.
            (15) Senior management.--The term ``senior management'' 
        means--
                    (A) the chief financial officer, chief risk 
                officer, chief compliance officer, general counsel, 
                chief lending officer, and chief operations officer of 
                AIFA established under section 128; and
                    (B) such other officers as the Board of Directors 
                may, by majority vote, add to senior management.
            (16) State.--The term ``State'' includes the District of 
        Columbia, Puerto Rico, Guam, American Samoa, the Virgin 
        Islands, the Commonwealth of Northern Mariana Islands, and any 
        other territory of the United States.

SEC. 124. ESTABLISHMENT AND GENERAL AUTHORITY OF AMERICAN 
              INFRASTRUCTURE FINANCING AUTHORITY.

    (a) Establishment of AIFA.--The American Infrastructure Financing 
Authority is established as a wholly owned Government corporation.
    (b) General Authority of AIFA.--AIFA shall provide direct loans and 
loan guarantees to facilitate infrastructure projects that are both 
economically viable and of regional or national significance, and shall 
have such other authority, as provided in this subtitle.
    (c) Incorporation.--
            (1) In general.--The Board of Directors first appointed 
        shall be deemed the incorporator of AIFA, and the incorporation 
        shall be held to have been effected from the date of the first 
        meeting of the Board of Directors.
            (2) Corporate office.--AIFA shall--
                    (A) maintain an office in Washington, DC; and
                    (B) for purposes of venue in civil actions, be 
                considered to be a resident of Washington, DC.
    (d) Responsibility of the Secretary.--The Secretary shall take such 
action as may be necessary to assist in implementing AIFA, and in 
carrying out the purpose of this Act.
    (e) Rule of Construction.--Chapter 91 of title 31, United States 
Code, does not apply to AIFA, unless otherwise specifically provided in 
this subtitle.

SEC. 125. VOTING MEMBERS OF THE BOARD OF DIRECTORS.

    (a) Voting Membership of the Board of Directors.--
            (1) In general.--AIFA shall have a Board of Directors 
        consisting of 7 voting members appointed by the President, by 
        and with the advice and consent of the Senate, not more than 4 
        of whom shall be from the same political party.
            (2) Chairperson.--One of the voting members of the Board of 
        Directors shall be designated by the President to serve as 
        Chairperson.
            (3) Congressional recommendations.--Not later than 30 days 
        after the date of the enactment of this Act, the majority 
        leader of the Senate, the minority leader of the Senate, the 
        Speaker of the House of Representatives, and the minority 
        leader of the House of Representatives shall each submit a 
        recommendation to the President for appointment of a member of 
        the Board of Directors, after consultation with the appropriate 
        committees of Congress.
    (b) Voting Rights.--Each voting member of the Board of Directors 
shall have an equal vote in all decisions of the Board of Directors.
    (c) Qualifications of Voting Members.--Each voting member of the 
Board of Directors shall--
            (1) be a citizen of the United States; and
            (2) have significant demonstrated expertise in--
                    (A) the management and administration of a 
                financial institution relevant to the operation of 
                AIFA; or a public financial agency or authority; or
                    (B) the financing, development, or operation of 
                infrastructure projects; or
                    (C) analyzing the economic benefits of 
                infrastructure investment.
    (d) Terms.--
            (1) In general.--Except as otherwise provided in this 
        subtitle, each voting member of the Board of Directors shall be 
        appointed for a term of 4 years.
            (2) Initial staggered terms.--Of the voting members first 
        appointed to the Board of Directors--
                    (A) the initial Chairperson and 3 of the other 
                voting members shall each be appointed for a term of 4 
                years; and
                    (B) the remaining 3 voting members shall each be 
                appointed for a term of 2 years.
            (3) Date of initial nominations.--The initial nominations 
        for the appointment of all voting members of the Board of 
        Directors shall be made not later than 60 days after the date 
        of the enactment of this Act.
            (4) Beginning of term.--The term of each of the initial 
        voting members appointed under this subtitle shall commence 
        immediately upon the date of appointment, except that, for 
        purposes of calculating the term limits specified in this 
        section, the initial terms shall each be construed as beginning 
        on January 22 of the year following the date of the initial 
        appointment.
            (5) Vacancies.--A vacancy in the position of a voting 
        member of the Board of Directors shall be filled by the 
        President, and a member appointed to fill a vacancy on the 
        Board of Directors occurring before the expiration of the term 
        for which the predecessor was appointed shall be appointed only 
        for the remainder of that term.
    (e) Meetings.--
            (1) Open to the public; notice.--Except as provided in 
        paragraph (3), all meetings of the Board of Directors shall 
        be--
                    (A) open to the public; and
                    (B) preceded by reasonable public notice.
            (2) Frequency.--The Board of Directors shall meet not later 
        than 60 days after the date on which all members of the Board 
        of Directors are first appointed, at least quarterly 
        thereafter, and otherwise at the call of either the Chairperson 
        or 5 voting members of the Board of Directors.
            (3) Exception for closed meetings.--The voting members of 
        the Board of Directors may, by majority vote, close a meeting 
        to the public if, during the meeting to be closed, there is 
        likely to be disclosed proprietary or sensitive information 
        regarding an infrastructure project under consideration for 
        assistance under this Act. The Board of Directors shall prepare 
        minutes of any meeting that is closed to the public, and shall 
        make such minutes available as soon as practicable, not later 
        than 1 year after the date of the closed meeting, with any 
        necessary redactions to protect any proprietary or sensitive 
        information.
            (4) Quorum.--For purposes of meetings of the Board of 
        Directors, 5 voting members of the Board of Directors shall 
        constitute a quorum.
    (f) Compensation of Members.--Each voting member of the Board of 
Directors shall be compensated at a rate equal to the daily equivalent 
of the annual rate of basic pay prescribed for level III of the 
Executive Schedule under section 5314 of title 5, United States Code, 
for each day (including travel time) during which the member is engaged 
in the performance of the duties of the Board of Directors.
    (g) Conflicts of Interest.--A voting member of the Board of 
Directors may not participate in any review or decision affecting an 
infrastructure project under consideration for assistance under this 
subtitle, if the member has or is affiliated with an entity who has a 
financial interest in such project.

SEC. 126. CHIEF EXECUTIVE OFFICER OF AIFA.

    (a) In General.--The chief executive officer of AIFA shall be a 
nonvoting member of the Board of Directors, who shall be responsible 
for all activities of AIFA, and shall support the Board of Directors as 
set forth in this Act and as the Board of Directors deems necessary or 
appropriate.
    (b) Appointment and Tenure of the Chief Executive Officer.--
            (1) In general.--The President shall appoint the chief 
        executive officer, by and with the advice and consent of the 
        Senate.
            (2) Term.--The chief executive officer shall be appointed 
        for a term of 6 years.
            (3) Vacancies.--Any vacancy in the office of the chief 
        executive officer shall be filled by the President, and the 
        person appointed to fill a vacancy in that position occurring 
        before the expiration of the term for which the predecessor was 
        appointed shall be appointed only for the remainder of that 
        term.
    (c) Qualifications.--The chief executive officer--
            (1) shall have significant expertise in management and 
        administration of a financial institution, or significant 
        expertise in the financing and development of infrastructure 
        projects, or significant expertise in analyzing the economic 
        benefits of infrastructure investment; and
            (2) may not--
                    (A) hold any other public office;
                    (B) have any financial interest in an 
                infrastructure project then being considered by the 
                Board of Directors, unless that interest is placed in a 
                blind trust; or
                    (C) have any financial interest in an investment 
                institution or its affiliates or any other entity 
                seeking or likely to seek financial assistance for any 
                infrastructure project from AIFA, unless any such 
                interest is placed in a blind trust for the tenure of 
                the service of the chief executive officer plus 2 
                additional years.
    (d) Responsibilities.--The chief executive officer shall have such 
executive functions, powers, and duties as may be prescribed by this 
Act, the bylaws of AIFA, or the Board of Directors, including--
            (1) responsibility for the development and implementation 
        of the strategy of AIFA, including--
                    (A) the development and submission to the Board of 
                Directors of the investment prospectus, the annual 
                business plans and budget;
                    (B) the development and submission to the Board of 
                Directors of a long-term strategic plan; and
                    (C) the development, revision, and submission to 
                the Board of Directors of internal policies; and
            (2) responsibility for the management and oversight of the 
        daily activities, decisions, operations, and personnel of AIFA, 
        including--
                    (A) the appointment of senior management, subject 
                to approval by the voting members of the Board of 
                Directors, and the hiring and termination of all other 
                AIFA personnel;
                    (B) requesting the detail, on a reimbursable basis, 
                of personnel from any Federal agency having specific 
                expertise not available from within AIFA, following 
                which request the head of the Federal agency may 
                detail, on a reimbursable basis, any personnel of such 
                agency reasonably requested by the chief executive 
                officer;
                    (C) assessing and recommending in the first 
                instance, for ultimate approval or disapproval by the 
                Board of Directors, compensation and adjustments to 
                compensation of senior management and other personnel 
                of AIFA as may be necessary for carrying out the 
                functions of AIFA;
                    (D) ensuring, in conjunction with the general 
                counsel of AIFA, that all activities of AIFA are 
                carried out in compliance with applicable law;
                    (E) overseeing the involvement of AIFA in all 
                projects, including--
                            (i) developing eligible projects for AIFA 
                        financial assistance;
                            (ii) determining the terms and conditions 
                        of all financial assistance packages;
                            (iii) monitoring all infrastructure 
                        projects assisted by AIFA, including 
                        responsibility for ensuring that the proceeds 
                        of any loan made, guaranteed, or participated 
                        in are used only for the purposes for which the 
                        loan or guarantee was made;
                            (iv) preparing and submitting for approval 
                        by the Board of Directors the documents 
                        required under paragraph (1); and
                            (v) ensuring the implementation of 
                        decisions of the Board of Directors; and
                    (F) such other activities as may be necessary or 
                appropriate in carrying out this Act.
    (e) Compensation.--
            (1) In general.--Any compensation assessment or 
        recommendation by the chief executive officer under this 
        subtitle shall be without regard to the provisions of chapter 
        51 or subchapter III of chapter 53 of title 5, United States 
        Code.
            (2) Considerations.--The compensation assessment or 
        recommendation required under this section shall take into 
        account merit principles, where applicable, as well as the 
        education, experience, level of responsibility, geographic 
        differences, and retention and recruitment needs in determining 
        compensation of personnel.

SEC. 127. POWERS AND DUTIES OF THE BOARD OF DIRECTORS.

    The Board of Directors shall--
     (a) as soon as is practicable after the date on which all members 
are appointed, approve or disapprove senior management appointed by the 
chief executive officer;
    (b) not later than 180 days after the date on which all members are 
appointed--
            (1) develop and approve the bylaws of AIFA, including 
        bylaws for the regulation of the affairs and conduct of the 
        business of AIFA, consistent with the purpose, goals, 
        objectives, and policies set forth in this subtitle;
            (2) establish subcommittees, including an audit committee 
        that is composed solely of members of the Board of Directors 
        who are independent of the senior management of AIFA;
            (3) develop and approve, in consultation with senior 
        management, a conflict-of-interest policy for the Board of 
        Directors and for senior management;
            (4) approve or disapprove internal policies that the chief 
        executive officer shall submit to the Board of Directors, 
        including--
                    (A) policies regarding the loan application and 
                approval process, including--
                            (i) disclosure and application procedures 
                        to be followed by entities in the course of 
                        nominating infrastructure projects for 
                        assistance under this Act;
                            (ii) guidelines for the selection and 
                        approval of projects;
                            (iii) specific criteria for determining 
                        eligibility for project selection, consistent 
                        with title II; and
                            (iv) standardized terms and conditions, fee 
                        schedules, or legal requirements of a contract 
                        or program, so as to carry out this Act; and
                    (B) operational guidelines; and
            (5) approve or disapprove a multi-year or 1-year business 
        plan and budget for AIFA;
    (c) ensure that AIFA is at all times operated in a manner that is 
consistent with this subtitle, by--
            (1) monitoring and assessing the effectiveness of AIFA in 
        achieving its strategic goals;
            (2) periodically reviewing internal policies;
            (3) reviewing and approving annual business plans, annual 
        budgets, and long-term strategies submitted by the chief 
        executive officer;
            (4) reviewing and approving annual reports submitted by the 
        chief executive officer;
            (5) engaging one or more external auditors, as set forth in 
        this subtitle; and
            (6) reviewing and approving all changes to the organization 
        of senior management;
    (d) appoint and fix, by a vote of 5 of the 7 voting members of the 
Board of Directors, and without regard to the provisions of chapter 51 
or subchapter III of chapter 53 of title 5, United States Code, the 
compensation and adjustments to compensation of all AIFA personnel, 
provided that in appointing and fixing any compensation or adjustments 
to compensation under this subsection, the Board shall--
            (1) consult with, and seek to maintain comparability with, 
        other comparable Federal personnel;
            (2) consult with the Office of Personnel Management; and
            (3) carry out such duties consistent with merit principles, 
        where applicable, as well as the education, experience, level 
        of responsibility, geographic differences, and retention and 
        recruitment needs in determining compensation of personnel;
    (e) establish such other criteria, requirements, or procedures as 
the Board of Directors may consider to be appropriate in carrying out 
this subtitle;
    (f) serve as the primary liaison for AIFA in interactions with 
Congress, the Executive Branch, and State and local governments, and to 
represent the interests of AIFA in such interactions and others;
    (g) approve by a vote of 5 of the 7 voting members of the Board of 
Directors any changes to the bylaws or internal policies of AIFA;
    (h) have the authority and responsibility--
            (1) to oversee entering into and carry out such contracts, 
        leases, cooperative agreements, or other transactions as are 
        necessary to carry out this subtitle with--
                    (A) any Federal department or agency;
                    (B) any State, territory, or possession (or any 
                political subdivision thereof, including State 
                infrastructure banks) of the United States; and
                    (C) any individual, public-private partnership, 
                firm, association, or corporation;
            (2) to approve of the acquisition, lease, pledge, exchange, 
        and disposal of real and personal property by AIFA and 
        otherwise approve the exercise by AIFA of all of the usual 
        incidents of ownership of property, to the extent that the 
        exercise of such powers is appropriate to and consistent with 
        the purposes of AIFA;
            (3) to determine the character of, and the necessity for, 
        the obligations and expenditures of AIFA, and the manner in 
        which the obligations and expenditures will be incurred, 
        allowed, and paid, subject to this Act and other Federal law 
        specifically applicable to wholly owned Federal corporations;
            (4) to execute, in accordance with applicable bylaws and 
        regulations, appropriate instruments;
            (5) to approve other forms of credit enhancement that AIFA 
        may provide to eligible projects, as long as the forms of 
        credit enhancements are consistent with the purposes of this 
        subtitle and terms set forth in this subtitle;
            (6) to exercise all other lawful powers which are necessary 
        or appropriate to carry out, and are consistent with, the 
        purposes of AIFA;
            (7) to sue or be sued in the corporate capacity of AIFA in 
        any court of competent jurisdiction;
            (8) to indemnify the members of the Board of Directors and 
        officers of AIFA for any liabilities arising out of the actions 
        of the members and officers in such capacity, in accordance 
        with, and subject to the limitations contained in this 
        subtitle;
            (9) to review all financial assistance packages to all 
        eligible infrastructure projects, as submitted by the chief 
        executive officer and to approve, postpone, or deny the same by 
        majority vote;
            (10) to review all restructuring proposals submitted by the 
        chief executive officer, including assignation, pledging, or 
        disposal of the interest of AIFA in a project, including 
        payment or income from any interest owned or held by AIFA, and 
        to approve, postpone, or deny the same by majority vote; and
            (11) to enter into binding commitments, as specified in 
        approved financial assistance packages;
    (i) delegate to the chief executive officer those duties that the 
Board of Directors deems appropriate, to better carry out the powers 
and purposes of the Board of Directors under this section; and
    (j) to approve a maximum aggregate amount of outstanding 
obligations of AIFA at any given time, taking into consideration 
funding, and the size of AIFA's addressable market for infrastructure 
projects.

SEC. 128. SENIOR MANAGEMENT.

    (a) In General.--Senior management shall support the chief 
executive officer in the discharge of the responsibilities of the chief 
executive officer.
    (b) Appointment of Senior Management.--The chief executive officer 
shall appoint such senior managers as are necessary to carry out the 
purpose of AIFA, as approved by a majority vote of the voting members 
of the Board of Directors.
    (c) Term.--Each member of senior management shall serve at the 
pleasure of the chief executive officer and the Board of Directors.
    (d) Removal of Senior Management.--Any member of senior management 
may be removed, either by a majority of the voting members of the Board 
of Directors upon request by the chief executive officer, or otherwise 
by vote of not fewer than 5 voting members of the Board of Directors.
    (e) Senior Management.--
            (1) In general.--Each member of senior management shall 
        report directly to the chief executive officer, other than the 
        Chief Risk Officer, who shall report directly to the Board of 
        Directors.
            (2) Duties and responsibilities.--
                    (A) Chief financial officer.--The Chief Financial 
                Officer shall be responsible for all financial 
                functions of AIFA, provided that, at the discretion of 
                the Board of Directors, specific functions of the Chief 
                Financial Officer may be delegated externally.
                    (B) Chief risk officer.--The Chief Risk Officer 
                shall be responsible for all functions of AIFA relating 
                to--
                            (i) the creation of financial, credit, and 
                        operational risk management guidelines and 
                        policies;
                            (ii) credit analysis for infrastructure 
                        projects;
                            (iii) the creation of conforming standards 
                        for infrastructure finance agreements;
                            (iv) the monitoring of the financial, 
                        credit, and operational exposure of AIFA; and
                            (v) risk management and mitigation actions, 
                        including by reporting such actions, or 
                        recommendations of such actions to be taken, 
                        directly to the Board of Directors.
                    (C) Chief compliance officer.--The Chief Compliance 
                Officer shall be responsible for all functions of AIFA 
                relating to internal audits, accounting safeguards, and 
                the enforcement of such safeguards and other applicable 
                requirements.
                    (D) General counsel.--The General Counsel shall be 
                responsible for all functions of AIFA relating to legal 
                matters and, in consultation with the chief executive 
                officer, shall be responsible for ensuring that AIFA 
                complies with all applicable law.
                    (E) Chief operations officer.--The Chief Operations 
                Officer shall be responsible for all operational 
                functions of AIFA, including those relating to the 
                continuing operations and performance of all 
                infrastructure projects in which AIFA retains an 
                interest and for all AIFA functions related to human 
                resources.
                    (F) Chief lending officer.--The Chief Lending 
                Officer shall be responsible for--
                            (i) all functions of AIFA relating to the 
                        development of project pipeline, financial 
                        structuring of projects, selection of 
                        infrastructure projects to be reviewed by the 
                        Board of Directors, preparation of 
                        infrastructure projects to be presented to the 
                        Board of Directors, and set aside for rural 
                        infrastructure projects;
                            (ii) the creation and management of--
                                    (I) a Center for Excellence to 
                                provide technical assistance to public 
                                sector borrowers in the development and 
                                financing of infrastructure projects; 
                                and
                                    (II) an Office of Rural Assistance 
                                to provide technical assistance in the 
                                development and financing of rural 
                                infrastructure projects; and
                            (iii) the establishment of guidelines to 
                        ensure diversification of lending activities by 
                        region, infrastructure project type, and 
                        project size.
    (f) Changes to Senior Management.--The Board of Directors, in 
consultation with the chief executive officer, may alter the structure 
of the senior management of AIFA at any time to better accomplish the 
goals, objectives, and purposes of AIFA, provided that the functions of 
the Chief Financial Officer set forth in subsection (e)(2)(A) remain 
separate from the functions of the Chief Risk Officer set forth in 
subsection (e)(2)(B).
    (g) Conflicts of Interest.--No individual appointed to senior 
management may--
            (1) hold any other public office;
            (2) have any financial interest in an infrastructure 
        project then being considered by the Board of Directors, unless 
        that interest is placed in a blind trust; or
            (3) have any financial interest in an investment 
        institution or its affiliates, AIFA or its affiliates, or other 
        entity then seeking or likely to seek financial assistance for 
        any infrastructure project from AIFA, unless any such interest 
        is placed in a blind trust during the term of service of that 
        individual in a senior management position, and for a period of 
        2 years thereafter.

SEC. 129. SPECIAL INSPECTOR GENERAL FOR AIFA.

    (a) In General.--During the first 5 operating years of AIFA, the 
Office of the Inspector General of the Department of the Treasury shall 
have responsibility for AIFA.
    (b) Office of the Special Inspector General.--Effective 5 years 
after the date of the commencement of the operations of AIFA, there is 
established the Office of the Special Inspector General for AIFA.
    (c) Appointment of Inspector General; Removal.--
            (1) Head of office.--The head of the Office of the Special 
        Inspector General for AIFA shall be the Special Inspector 
        General for AIFA (referred to in this section as the ``Special 
        Inspector General''), who shall be appointed by the President, 
        by and with the advice and consent of the Senate.
            (2) Basis of appointment.--The appointment of the Special 
        Inspector General shall be made on the basis of integrity and 
        demonstrated ability in accounting, auditing, financial 
        analysis, law, management analysis, public administration, or 
        investigations.
            (3) Timing of nomination.--The nomination of an individual 
        as Special Inspector General shall be made as soon as is 
        practicable after the effective date under subsection (b).
            (4) Removal.--The Special Inspector General shall be 
        removable from office in accordance with the provisions of 
        section 3(b) of the Inspector General Act of 1978 (5 U.S.C. 
        App.).
            (5) Rule of construction.--For purposes of section 7324 of 
        title 5, United States Code, the Special Inspector General 
        shall not be considered an employee who determines policies to 
        be pursued by the United States in the nationwide 
        administration of Federal law.
            (6) Rate of pay.--The annual rate of basic pay of the 
        Special Inspector General shall be the annual rate of basic pay 
        for an Inspector General under section 3(e) of the Inspector 
        General Act of 1978 (5 U.S.C. App.).
    (d) Duties.--
            (1) In general.--The Special Inspector General shall 
        conduct, supervise, and coordinate audits and investigations of 
        the business activities of AIFA.
            (2) Other systems, procedures, and controls.--The Special 
        Inspector General shall establish, maintain, and oversee such 
        systems, procedures, and controls as the Special Inspector 
        General considers appropriate to discharge the duty described 
        in paragraph (1).
            (3) Additional duties.--In addition to the duties specified 
        in paragraphs (1) and (2), the Inspector General shall have the 
        duties and responsibilities of inspectors general under the 
        Inspector General Act of 1978.
    (e) Powers and Authorities.--
            (1) In general.--In carrying out the duties specified in 
        subsection (d), the Special Inspector General shall have the 
        authorities provided in section 6 of the Inspector General Act 
        of 1978.
            (2) Additional authority.--The Special Inspector General 
        shall carry out the duties specified in subsection (d)(1) in 
        accordance with section 4(b)(1) of the Inspector General Act of 
        1978.
    (f) Personnel, Facilities, and Other Resources.--
            (1) Additional officers.--
                    (A) The Special Inspector General may select, 
                appoint, and employ such officers and employees as may 
                be necessary for carrying out the duties of the Special 
                Inspector General, subject to the provisions of title 
                5, United States Code, governing appointments in the 
                competitive service, and the provisions of chapter 51 
                and subchapter III of chapter 53 of such title, 
                relating to classification and General Schedule pay 
                rates.
                    (B) The Special Inspector General may exercise the 
                authorities under subsections (b) through (i) of 
                section 3161 of title 5, United States Code (without 
                regard to subsection (a) of that section).
            (2) Retention of services.--The Special Inspector General 
        may obtain services as authorized by section 3109 of title 5, 
        United States Code, at daily rates not to exceed the equivalent 
        rate prescribed for grade GS-15 of the General Schedule by 
        section 5332 of such title.
            (3) Ability to contract for audits, studies, and other 
        services.--The Special Inspector General may enter into 
        contracts and other arrangements for audits, studies, analyses, 
        and other services with public agencies and with private 
        persons, and make such payments as may be necessary to carry 
        out the duties of the Special Inspector General.
            (4) Request for information.--
                    (A) In general.--Upon request of the Special 
                Inspector General for information or assistance from 
                any department, agency, or other entity of the Federal 
                Government, the head of such entity shall, insofar as 
                is practicable and not in contravention of any existing 
                law, furnish such information or assistance to the 
                Special Inspector General, or an authorized designee.
                    (B) Refusal to comply.--Whenever information or 
                assistance requested by the Special Inspector General 
                is, in the judgment of the Special Inspector General, 
                unreasonably refused or not provided, the Special 
                Inspector General shall report the circumstances to the 
                Secretary of the Treasury, without delay.
    (g) Reports.--
            (1) Annual report.--Not later than 1 year after the 
        confirmation of the Special Inspector General, and every 
        calendar year thereafter, the Special Inspector General shall 
        submit to the President a report summarizing the activities of 
        the Special Inspector General during the previous 1-year period 
        ending on the date of such report.
            (2) Public disclosures.--Nothing in this section shall be 
        construed to authorize the public disclosure of information 
        that is--
                    (A) specifically prohibited from disclosure by any 
                other provision of law;
                    (B) specifically required by Executive order to be 
                protected from disclosure in the interest of national 
                defense or national security or in the conduct of 
                foreign affairs; or
                    (C) a part of an ongoing criminal investigation.

SEC. 130. OTHER PERSONNEL.

    Except as otherwise provided in the bylaws of AIFA, the chief 
executive officer, in consultation with the Board of Directors, shall 
appoint, remove, and define the duties of such qualified personnel as 
are necessary to carry out the powers, duties, and purpose of AIFA, 
other than senior management, who shall be appointed in accordance with 
section 249.

SEC. 131. COMPLIANCE.

    The provision of assistance by the Board of Directors pursuant to 
this Act shall not be construed as superseding any provision of State 
law or regulation otherwise applicable to an infrastructure project.

SEC. 132. TERMS AND LIMITATIONS ON DIRECT LOANS AND LOAN GUARANTEES.

    (a) Eligibility Criteria for Assistance From AIFA and Terms and 
Limitations of Loans.--Any project whose use or purpose is private and 
for which no public benefit is created shall not be eligible for 
financial assistance from AIFA under this subtitle. Financial 
assistance under this subtitle shall only be made available if the 
applicant for such assistance has demonstrated to the satisfaction of 
the Board of Directors that the infrastructure project for which such 
assistance is being sought--
            (1) is not for the refinancing of an existing 
        infrastructure project; and
            (2) meets--
                    (A) any pertinent requirements set forth in this 
                subtitle;
                    (B) any criteria established by the Board of 
                Directors or chief executive officer in accordance with 
                this subtitle; and
                    (C) the definition of a transportation 
                infrastructure project, water infrastructure project, 
                or energy infrastructure project.
    (b) Considerations.--The criteria established by the Board of 
Directors pursuant to this subtitle shall provide adequate 
consideration of--
            (1) the economic, financial, technical, environmental, and 
        public benefits and costs of each infrastructure project under 
        consideration for financial assistance under this subtitle, 
        prioritizing infrastructure projects that--
                    (A) contribute to regional or national economic 
                growth;
                    (B) offer value for money to taxpayers;
                    (C) demonstrate a clear and significant public 
                benefit;
                    (D) lead to job creation; and
                    (E) mitigate environmental concerns;
            (2) the means by which development of the infrastructure 
        project under consideration is being financed, including--
                    (A) the terms, conditions, and structure of the 
                proposed financing;
                    (B) the credit worthiness and standing of the 
                project sponsors, providers of equity, and co-
                financiers;
                    (C) the financial assumptions and projections on 
                which the infrastructure project is based; and
                    (D) whether there is sufficient State or municipal 
                political support for the successful completion of the 
                infrastructure project;
            (3) the likelihood that the provision of assistance by AIFA 
        will cause such development to proceed more promptly and with 
        lower costs than would be the case without such assistance;
            (4) the extent to which the provision of assistance by AIFA 
        maximizes the level of private investment in the infrastructure 
        project or supports a public-private partnership, while 
        providing a significant public benefit;
            (5) the extent to which the provision of assistance by AIFA 
        can mobilize the participation of other financing partners in 
        the infrastructure project;
            (6) the technical and operational viability of the 
        infrastructure project;
            (7) the proportion of financial assistance from AIFA;
            (8) the geographic location of the project in an effort to 
        have geographic diversity of projects funded by AIFA;
            (9) the size of the project and its impact on the resources 
        of AIFA;
            (10) the infrastructure sector of the project, in an effort 
        to have projects from more than one sector funded by AIFA; and
            (11) encourages use of innovative procurement, asset 
        management, or financing to minimize the all-in-life-cycle 
        cost, and improve the cost-effectiveness of a project.
    (c) Application.--
            (1) In general.--Any eligible entity seeking assistance 
        from AIFA under this Act for an eligible infrastructure project 
        shall submit an application to AIFA at such time, in such 
        manner, and containing such information as the Board of 
        Directors or the chief executive officer may require.
            (2) Review of applications.--AIFA shall review applications 
        for assistance under this Act on an ongoing basis. The chief 
        executive officer, working with the senior management, shall 
        prepare eligible infrastructure projects for review and 
        approval by the Board of Directors.
            (3) Dedicated revenue sources.--The Federal credit 
        instrument shall be repayable, in whole or in part, from tolls, 
        user fees, or other dedicated revenue sources that also secure 
        the infrastructure project obligations.
    (d) Eligible Infrastructure Project Costs.--
            (1) In general.--Except as provided in paragraph (2), to be 
        eligible for assistance under this subtitle, an infrastructure 
        project shall have project costs that are reasonably 
        anticipated to equal or exceed $100,000,000.
            (2) Rural infrastructure projects.--To be eligible for 
        assistance under this subtitle, a rural infrastructure project 
        shall have project costs that are reasonably anticipated to 
        equal or exceed $25,000,000.
    (e) Loan Eligibility and Maximum Amounts.--
            (1) In general.--The amount of a direct loan or loan 
        guarantee under this subtitle may not exceed the lesser of 50 
        percent of the reasonably anticipated eligible infrastructure 
        project costs or, if the direct loan or loan guarantee does not 
        receive an investment grade rating, the amount of the senior 
        project obligations.
            (2) Maximum annual loan and loan guarantee volume.--The 
        aggregate amount of direct loans and loan guarantees made by 
        AIFA in any single fiscal year may not exceed--
                    (A) during the first 2 fiscal years of the 
                operations of AIFA, $10,000,000,000;
                    (B) during fiscal years 3 through 9 of the 
                operations of AIFA, $20,000,000,000; or
                    (C) during any fiscal year thereafter, 
                $50,000,000,000.
    (f) State and Local Permits Required.--The provision of assistance 
by the Board of Directors pursuant to this subtitle shall not be deemed 
to relieve any recipient of such assistance, or the related 
infrastructure project, of any obligation to obtain required State and 
local permits and approvals.

SEC. 133. LOAN TERMS AND REPAYMENT.

    (a) In General.--A direct loan or loan guarantee under this 
subtitle with respect to an eligible infrastructure project shall be on 
such terms, subject to such conditions, and contain such covenants, 
representations, warranties, and requirements (including requirements 
for audits) as the chief executive officer determines appropriate.
    (b) Terms.--A direct loan or loan guarantee under this subtitle--
            (1) shall--
                    (A) be payable, in whole or in part, from tolls, 
                user fees, or other dedicated revenue sources that also 
                secure the senior project obligations (such as 
                availability payments and dedicated State or local 
                revenues); and
                    (B) include a rate covenant, coverage requirement, 
                or similar security feature supporting the project 
                obligations; and
            (2) may have a lien on revenues described in paragraph (1), 
        subject to any lien securing project obligations.
    (c) Base Interest Rate.--The base interest rate on a direct loan 
under this subtitle shall be not less than the yield on United States 
Treasury obligations of a similar maturity to the maturity of the 
direct loan.
    (d) Risk Assessment.--Before entering into an agreement for 
assistance under this subtitle, the chief executive officer, in 
consultation with the Director of the Office of Management and Budget 
and considering rating agency preliminary or final rating opinion 
letters of the project under this subtitle, shall estimate an 
appropriate Federal credit subsidy amount for each direct loan and loan 
guarantee, taking into account such letter, as well as any comparable 
market rates available for such a loan or loan guarantee, should any 
exist. The final credit subsidy cost for each loan and loan guarantee 
shall be determined consistent with the Federal Credit Reform Act, 2 
U.S.C. 661a et seq.
    (e) Credit Fee.--With respect to each agreement for assistance 
under this subtitle, the chief executive officer may charge a credit 
fee to the recipient of such assistance to pay for, over time, all or a 
portion of the Federal credit subsidy determined under subsection (d), 
with the remainder paid by the account established for AIFA; provided, 
that the source of fees paid under this subtitle shall not be a loan or 
debt obligation guaranteed by the Federal Government. In the case of a 
direct loan, such credit fee shall be in addition to the base interest 
rate established under subsection (c).
    (f) Maturity Date.--The final maturity date of a direct loan or 
loan guaranteed by AIFA under this subtitle shall be not later than 35 
years after the date of substantial completion of the infrastructure 
project, as determined by the chief executive officer.
    (g) Rating Opinion Letter.--
            (1) In general.--The chief executive officer shall require 
        each applicant for assistance under this subtitle to provide a 
        rating opinion letter from at least 1 ratings agency, 
        indicating that the senior obligations of the infrastructure 
        project, which may be the Federal credit instrument, have the 
        potential to achieve an investment-grade rating.
            (2) Rural infrastructure projects.--With respect to a rural 
        infrastructure project, a rating agency opinion letter 
        described in paragraph (1) shall not be required, except that 
        the loan or loan guarantee shall receive an internal rating 
        score, using methods similar to the ratings agencies generated 
        by AIFA, measuring the proposed direct loan or loan guarantee 
        against comparable direct loans or loan guarantees of similar 
        credit quality in a similar sector.
    (h) Investment-grade Rating Requirement.--
            (1) Loans and loan guarantees.--The execution of a direct 
        loan or loan guarantee under this subtitle shall be contingent 
        on the senior obligations of the infrastructure project 
        receiving an investment-grade rating.
            (2) Rating of aifa overall portfolio.--The average rating 
        of the overall portfolio of AIFA shall be not less than 
        investment grade after 5 years of operation.
    (i) Terms and Repayment of Direct Loans.--
            (1) Schedule.--The chief executive officer shall establish 
        a repayment schedule for each direct loan under this subtitle, 
        based on the projected cash flow from infrastructure project 
        revenues and other repayment sources.
            (2) Commencement.--Scheduled loan repayments of principal 
        or interest on a direct loan under this subtitle shall commence 
        not later than 5 years after the date of substantial completion 
        of the infrastructure project, as determined by the chief 
        executive officer of AIFA.
            (3) Deferred payments of direct loans.--
                    (A) Authorization.--If, at any time after the date 
                of substantial completion of an infrastructure project 
                assisted under this subtitle, the infrastructure 
                project is unable to generate sufficient revenues to 
                pay the scheduled loan repayments of principal and 
                interest on the direct loan under this subtitle, the 
                chief executive officer may allow the obligor to add 
                unpaid principal and interest to the outstanding 
                balance of the direct loan, if the result would benefit 
                the taxpayer.
                    (B) Interest.--Any payment deferred under 
                subparagraph (A) shall--
                            (i) continue to accrue interest, in 
                        accordance with the terms of the obligation, 
                        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 
                        infrastructure project meeting criteria 
                        established by the Board of Directors.
                            (ii) Repayment standards.--The criteria 
                        established under clause (i) shall include 
                        standards for reasonable assurance of 
                        repayment.
            (4) Prepayment of direct loans.--
                    (A) Use of excess revenues.--Any excess revenues 
                that remain after satisfying scheduled debt service 
                requirements on the infrastructure project obligations 
                and direct loan and all deposit requirements under the 
                terms of any trust agreement, bond resolution, or 
                similar agreement securing project obligations under 
                this subtitle may be applied annually to prepay the 
                direct loan, without penalty.
                    (B) Use of proceeds of refinancing.--A direct loan 
                under this subtitle may be prepaid at any time, without 
                penalty, from the proceeds of refinancing from non-
                Federal funding sources.
            (5) Sale of direct loans.--
                    (A) In general.--As soon as is practicable after 
                substantial completion of an infrastructure project 
                assisted under this subtitle, and after notifying the 
                obligor, the chief executive officer may sell to 
                another entity, or reoffer into the capital markets, a 
                direct loan for the infrastructure project, if the 
                chief executive officer determines that the sale or 
                reoffering can be made on favorable terms for the 
                taxpayer.
                    (B) Consent of obligor.--In making a sale or 
                reoffering under subparagraph (A), the chief executive 
                officer may not change the original terms and 
                conditions of the direct loan, without the written 
                consent of the obligor.
    (j) Loan Guarantees.--
            (1) Terms.--The terms of a loan guaranteed by AIFA under 
        this subtitle shall be consistent with the terms set forth in 
        this subtitle for a direct loan, except that the rate on the 
        guaranteed loan and any payment, pre-payment, or refinancing 
        features shall be negotiated between the obligor and the 
        lender, with the consent of the chief executive officer.
            (2) Guaranteed lender.--A guaranteed lender shall be 
        limited to those lenders meeting the definition of that term in 
        section 601(a) of title 23, United States Code.
    (k) Compliance With FCRA--In General.--Direct loans and loan 
guarantees authorized by this subtitle shall be subject to the 
provisions of the Federal Credit Reform Act of 1990 (2 U.S.C. 661 et 
seq.).

SEC. 134. COMPLIANCE AND ENFORCEMENT.

    (a) Credit Agreement.--Notwithstanding any other provision of law, 
each eligible entity that receives assistance under this subtitle from 
AIFA shall enter into a credit agreement that requires such entity to 
comply with all applicable policies and procedures of AIFA, in addition 
to all other provisions of the loan agreement.
    (b) AIFA Authority on Noncompliance.--In any case in which a 
recipient of assistance under this subtitle is materially out of 
compliance with the loan agreement, or any applicable policy or 
procedure of AIFA, the Board of Directors may take action to cancel 
unutilized loan amounts, or to accelerate the repayment terms of any 
outstanding obligation.
    (c) Rule of Construction.--Nothing in this subtitle is intended to 
affect existing provisions of law applicable to the planning, 
development, construction, or operation of projects funded under this 
subtitle.

SEC. 135. AUDITS; REPORTS TO THE PRESIDENT AND CONGRESS.

    (a) Accounting.--The books of account of AIFA shall be maintained 
in accordance with generally accepted accounting principles, and shall 
be subject to an annual audit by independent public accountants of 
nationally recognized standing appointed by the Board of Directors.
    (b) Reports.--
            (1) Board of directors.--Not later than 90 days after the 
        last day of each fiscal year, the Board of Directors shall 
        submit to the President and Congress a complete and detailed 
        report with respect to the preceding fiscal year, setting 
        forth--
                    (A) a summary of the operations of AIFA, for such 
                fiscal year;
                    (B) a schedule of the obligations of AIFA and 
                capital securities outstanding at the end of such 
                fiscal year, with a statement of the amounts issued and 
                redeemed or paid during such fiscal year;
                    (C) the status of infrastructure projects receiving 
                funding or other assistance pursuant to this subtitle 
                during such fiscal year, including all nonperforming 
                loans, and including disclosure of all entities with a 
                development, ownership, or operational interest in such 
                infrastructure projects;
                    (D) a description of the successes and challenges 
                encountered in lending to rural communities, including 
                the role of the Center for Excellence and the Office of 
                Rural Assistance established under this subtitle; and
                    (E) an assessment of the risks of the portfolio of 
                AIFA, prepared by an independent source.
            (2) GAO.--Not later than 5 years after the date of the 
        enactment of this Act, the Comptroller General of the United 
        States shall conduct an evaluation of, and shall submit to 
        Congress a report on, activities of AIFA for the fiscal years 
        covered by the report that includes an assessment of the impact 
        and benefits of each funded infrastructure project, including a 
        review of how effectively each such infrastructure project 
        accomplished the goals prioritized by the infrastructure 
        project criteria of AIFA.
    (c) Books and Records.--
            (1) In general.--AIFA shall maintain adequate books and 
        records to support the financial transactions of AIFA, with a 
        description of financial transactions and infrastructure 
        projects receiving funding, and the amount of funding for each 
        such project maintained on a publically accessible database.
            (2) Audits by the secretary and gao.--The books and records 
        of AIFA shall at all times be open to inspection by the 
        Secretary of the Treasury, the Special Inspector General, and 
        the Comptroller General of the United States.

SEC. 136. ADMINISTRATIVE FEES.

    (a) In General.--In addition to fees that may be collected under 
section 133(e), the chief executive officer shall establish and collect 
fees from eligible funding recipients with respect to loans and loan 
guarantees under this subtitle that--
            (1) are sufficient to cover all or a portion of the 
        administrative costs to the Federal Government for the 
        operations of AIFA, including the costs of expert firms, 
        including counsel in the field of municipal and project 
        finance, and financial advisors to assist with underwriting, 
        credit analysis, or other independent reviews, as appropriate;
            (2) may be in the form of an application or transaction 
        fee, or other form established by the CEO; and
            (3) may be based on the risk premium associated with the 
        loan or loan guarantee, taking into consideration--
                    (A) the price of United States Treasury obligations 
                of a similar maturity;
                    (B) prevailing market conditions;
                    (C) the ability of the infrastructure project to 
                support the loan or loan guarantee; and
                    (D) the total amount of the loan or loan guarantee.
    (b) Availability of Amounts.--Amounts collected under paragraphs 
(1), (2), and (3) of subsection (a) shall be available without further 
action; provided further, that the source of fees paid under this 
section shall not be a loan or debt obligation guaranteed by the 
Federal Government.

SEC. 137. EFFICIENCY OF AIFA.

    The chief executive officer shall, to the extent possible, take 
actions consistent with this subtitle to minimize the risk and cost to 
the taxpayer of AIFA activities. Fees and premiums for loan guarantee 
or insurance coverage will be set at levels that minimize 
administrative and Federal credit subsidy costs to the Government (as 
defined in section 502 of the Federal Credit Reform Act of 1990) of 
such coverage, while supporting achievement of the program's 
objectives, consistent with policies as set forth in the Business Plan.

SEC. 138. FUNDING.

    There is appropriated to AIFA to carry out this subtitle, for the 
cost of direct loans and loan guarantees subject to the limitations 
under section 132, and for administrative costs, $10,000,000,000, to 
remain available until expended. Such costs, including the costs of 
modifying such loans, shall be as defined in section 502 of the Federal 
Credit Reform Act of 1990. Of this amount, not more than $25,000,000 
for each of fiscal years 2012 through 2013, and not more than 
$50,000,000 for fiscal year 2014 may be used for administrative costs 
of AIFA. Not more than 5 percent of such amount shall be used to offset 
subsidy costs associated with rural projects. Amounts authorized shall 
be available without further action.

    Subtitle C--Extension of Exemption From Alternative Minimum Tax 
                 Treatment for Certain Tax-exempt Bonds

SEC. 141. EXTENSION OF EXEMPTION FROM ALTERNATIVE MINIMUM TAX TREATMENT 
              FOR CERTAIN TAX-EXEMPT BONDS.

    (a) In General.--Clause (vi) of section 57(a)(5)(C) of the Internal 
Revenue Code of 1986 is amended--
            (1) by striking ``January 1, 2011'' in subclause (I) and 
        inserting ``January 1, 2013''; and
            (2) by striking ``and 2010'' in the heading and inserting 
        ``, 2010, 2011, and 2012''.
    (b) Adjusted Current Earnings.--Clause (iv) of section 56(g)(4)(B) 
of the Internal Revenue Code of 1986 is amended--
            (1) by striking ``January 1, 2011'' in subclause (I) and 
        inserting ``January 1, 2013''; and
            (2) by striking ``and 2010'' in the heading and inserting 
        ``, 2010, 2011, and 2012''.
    (c) Effective Date.--The amendments made by this section shall 
apply to obligations issued after December 31, 2010.

                    TITLE II--SURTAX ON MILLIONAIRES

SEC. 201. SURTAX ON MILLIONAIRES.

    (a) In General.--Subchapter A of chapter 1 of the Internal Revenue 
Code of 1986 is amended by adding at the end the following new part:

                  ``PART VIII--SURTAX ON MILLIONAIRES

``Sec. 59B. Surtax on millionaires.

``SEC. 59B. SURTAX ON MILLIONAIRES.

    ``(a) General Rule.--In the case of a taxpayer other than a 
corporation for any taxable year beginning after 2012, there is hereby 
imposed (in addition to any other tax imposed by this subtitle) a tax 
equal to 0.7 percent of so much of the modified adjusted gross income 
of the taxpayer for such taxable year as exceeds $1,000,000 ($500,000, 
in the case of a married individual filing a separate return).
    ``(b) Inflation Adjustment.--
            ``(1) In general.--In the case of any taxable year 
        beginning after 2013, each dollar amount under subsection (a) 
        shall be increased by an amount equal to--
                    ``(A) such dollar amount, multiplied by
                    ``(B) the cost-of-living adjustment determined 
                under section 1(f)(3) for the calendar year in which 
                the taxable year begins, determined by substituting 
                `calendar year 2011' for `calendar year 1992' in 
                subparagraph (B) thereof.
            ``(2) Rounding.--If any amount as adjusted under paragraph 
        (1) is not a multiple of $10,000, such amount shall be rounded 
        to the next highest multiple of $10,000.
    ``(c) Modified Adjusted Gross Income.--For purposes of this 
section, the term `modified adjusted gross income' means adjusted gross 
income reduced by any deduction (not taken into account in determining 
adjusted gross income) allowed for investment interest (as defined in 
section 163(d)). In the case of an estate or trust, adjusted gross 
income shall be determined as provided in section 67(e).
    ``(d) Special Rules.--
            ``(1) Nonresident alien.--In the case of a nonresident 
        alien individual, only amounts taken into account in connection 
        with the tax imposed under section 871(b) shall be taken into 
        account under this section.
            ``(2) Citizens and residents living abroad.--The dollar 
        amount in effect under subsection (a) shall be decreased by the 
        excess of--
                    ``(A) the amounts excluded from the taxpayer's 
                gross income under section 911, over
                    ``(B) the amounts of any deductions or exclusions 
                disallowed under section 911(d)(6) with respect to the 
                amounts described in subparagraph (A).
            ``(3) Charitable trusts.--Subsection (a) shall not apply to 
        a trust all the unexpired interests in which are devoted to one 
        or more of the purposes described in section 170(c)(2)(B).
            ``(4) Not treated as tax imposed by this chapter for 
        certain purposes.--The tax imposed under this section shall not 
        be treated as tax imposed by this chapter for purposes of 
        determining the amount of any credit under this chapter or for 
        purposes of section 55.''.
    (b) Clerical Amendment.--The table of parts for subchapter A of 
chapter 1 of the Internal Revenue Code of 1986 is amended by adding at 
the end the following new item:

                ``part viii. surtax on millionaires.''.

    (c) Section 15 Not to Apply.--The amendment made by subsection (a) 
shall not be treated as a change in a rate of tax for purposes of 
section 15 of the Internal Revenue Code of 1986.
    (d) Effective Date.--The amendments made by this section shall 
apply to taxable years beginning after December 31, 2012.
                                                       Calendar No. 213

112th CONGRESS

  1st Session

                                S. 1769

_______________________________________________________________________

                                 A BILL

    To put workers back on the job while rebuilding and modernizing 
                                America.

_______________________________________________________________________

                            November 1, 2011

            Read the second time and placed on the calendar
```