I 

112TH CONGRESS 

1ST SESSION H. R. 526 

To direct the Secretary of Transportation to establish and collect a fee 

based on the fair market value of articles imported into the United 

States and articles exported from the United States in commerce and 

to use amounts collected from the fee to make grants to carry out 

certain transportation projects in the transportation trade corridors for 

which the fee is collected, and for other purposes. 

IN THE HOUSE OF REPRESENTATIVES 

FEBRUARY 8, 2011 

Mr. CALVERT (for himself and Mr. JACKSON of Illinois) introduced the following bill; which was referred to the Committee on Transportation and 

Infrastructure, and in addition to the Committees on Ways and Means 

and Foreign Affairs, for a period to be subsequently determined by the 

Speaker, in each case for consideration of such provisions as fall within 

the jurisdiction of the committee concerned 

A BILL 

To direct the Secretary of Transportation to establish and 

collect a fee based on the fair market value of articles 

imported into the United States and articles exported 

from the United States in commerce and to use amounts 

collected from the fee to make grants to carry out certain 

transportation projects in the transportation trade corridors for which the fee is collected, and for other purposes. 

1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled, 


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1 SECTION 1. SHORT TITLE. 

2 This Act may be cited as the ‘‘Our Nation’s Trade, 

3 Infrastructure, Mobility, and Efficiency Act’’ or the ‘‘ON 

4 TIME Act’’. 

5 SEC. 2. FINDINGS AND PURPOSES. 

6 (a) FINDINGS.—Congress finds the following: 

7 (1) The growth in international trade, particu8 larly containerized trade, is placing pressure on the 

9 Nation’s transportation network and influences traf10 fic congestion in the areas surrounding the major 

11 United States international gateways. 

12 (2) United States freight gateways handled 

13 more than $3.4 trillion of international merchandise 

14 trade in 2008, an increase of 9 percent from 2007. 

15 (3) From 1990 to 2008, the value of United 

16 States international merchandise trade grew from 

17 $889 billion to $3.4 trillion, increasing at an average 

18 annual rate of 8 percent per year. 

19 (4) Since 1990, the value of United States land 

20 trade with Canada and Mexico has grown at an av21 erage annual rate of 8.1 percent per year. 

22 (5) Existing trade agreements, in addition to 

23 potential future agreements, foreshadow an even 

24 greater increase in international trade and further 

25 increases of freight shipments congestion. 


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1 (6) In addition to being a member of the World 

2 Trade Organization, the United States has agreed to 

3 11 free trade agreements and is in various stages of 

4 negotiation with 4 different countries and multi-lat5 eral organizations with regards to other potential 

6 free trade agreements. 

7 (7) In 2009, traffic congestion caused Ameri8 cans to travel an additional 4.8 billion hours and to 

9 purchase an extra 3.9 billion gallons of fuel for a 

10 congestion cost of $115 billion according to the 

11 Texas Transportation Institute’s 2010 Urban Mobil12 ity Study. 

13 (8) The average cost of traffic congestion per 

14 commuter was $808 in 2009 compared to an infla15 tion-adjusted $351 per commuter in 1982. 

16 (9) Traffic congestion in 2009 resulted in $33 

17 billion in additional costs to trucks carrying our Na18 tion’s goods to suppliers, manufacturers, and mar19 kets. 

20 (b) PURPOSES.—The purposes of this Act are to— 

21 (1) address major transportation investment 

22 needs in national trade gateway corridors; 

23 (2) reduce freight congestion along current and 

24 future trade corridors and provide congestion miti25 gation along surface transportation routes that are 


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1 or will be congested as a result of current or future 

2 growth in international trade; and 

3 (3) develop corridors that will increase freight 

4 transportation system reliability and enhance the 

5 quality of life for United States citizens. 

6 SEC. 3. ESTABLISHMENT AND COLLECTION OF NATIONAL 

7 TRADE GATEWAY CORRIDOR FEE. 

8 (a) IMPORT FEE.— 

9 (1) ESTABLISHMENT.—Not later than 180 days 

10 after the date of enactment of this Act, the Sec11 retary of Transportation shall issue regulations that 

12 establish a national trade gateway corridor fee on 

13 each article that is imported into the United States 

14 in commerce. 

15 (2) AMOUNT.— 

16 (A) IN GENERAL.—The amount of the fee 

17 on each article that is imported into the United 

18 States in commerce shall be equal to .075 per19 cent of the value of the article that is subject 

20 to the fee or $500, whichever is less. 

21 (B) VALUE DEFINED.—For purposes of 

22 subparagraph (A), the term ‘‘value’’ has the 

23 meaning given the term in section 402 of the 

24 Tariff Act of 1930 (19 U.S.C. 1401a). 


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1 (3) COLLECTION.—The Secretary of Transpor2 tation, in consultation with the Secretary of Home3 land Security, shall assess and collect the fee for 

4 carrying out eligible projects in the transportation 

5 trade corridors for the Customs port of unloading of 

6 the article that is imported into the United States 

7 in commerce. 

8 (4) DEPOSIT.—Amounts received by the United 

9 States in the form of the fee shall be deposited in 

10 the account established by subsection (c). 

11 (5) TERMINATION OF FEE.—The fee estab12 lished under this subsection shall not apply after the 

13 expiration of fiscal year 2022. 

14 (b) EXPORT FEE.— 

15 (1) ESTABLISHMENT.—The Secretary of Trans16 portation, in consultation with the Secretary of 

17 Homeland Security and the Secretary of Commerce, 

18 shall issue regulations that establish a national trade 

19 gateway corridor fee on each article that exported 

20 from the United States in commerce. 

21 (2) AMOUNT.— 

22 (A) IN GENERAL.—The amount of the fee 

23 on each article that is exported from the United 

24 States in commerce shall be equal to .075 perVerDate Mar 15 2010 18:45 Feb 09, 2011 Jkt 099200 PO 00000 Frm 00005 Fmt 6652 Sfmt 6201 E:\BILLS\H526.IH H526

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1 cent of the export value of the article that is 

2 subject to the fee or $500, whichever is less. 

3 (B) EXPORT VALUE DEFINED.—For pur4 poses of subparagraph (A), the term ‘‘export 

5 value’’ has the meaning given the term in sec6 tion 30.1 of title 15, Code of Federal Regula7 tions. 

8 (3) COLLECTION.—The Secretary of Transpor9 tation, in consultation with the Secretary of Home10 land Security and the Secretary of Commerce, shall 

11 assess and collect the fee for carrying out eligible 

12 projects in the transportation trade corridors for the 

13 Customs port of loading of the article that is ex14 ported from the United States in commerce. 

15 (4) DEPOSIT.—Amounts received by the United 

16 States in the form of the fee shall be deposited in 

17 the account established by subsection (c). 

18 (5) TERMINATION OF FEE.—The fee estab19 lished under this subsection shall not apply after the 

20 expiration of fiscal year 2022. 

21 (c) ACCOUNT.— 

22 (1) ESTABLISHMENT.—There is established in 

23 the Treasury a separate account for the deposit of 

24 fees under this section, which shall be known as the 

25 ‘‘National Trade Gateway Corridor Fund’’. 


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1 (2) CONTENTS.—The account shall consist of 

2 amounts deposited into the account under sub3 sections (a) and (b). 

4 (3) USE.—Amounts in the account shall be 

5 available to the Secretary of Transportation, as pro6 vided in appropriations Acts enacted after the date 

7 of the enactment of this Act, for making expendi8 tures before October 1, 2021, to meet the obligations 

9 of the United States to carry out this Act. 

10 SEC. 4. APPORTIONMENT OF FUNDS. 

11 (a) ADMINISTRATIVE EXPENSES.—The Secretary of 

12 Transportation shall set aside 2 percent of the amount au13 thorized to be appropriated, from the National Trade 

14 Gateway Corridor Fund established by section 3(c), to 

15 carry out this Act for each fiscal year to pay the cost of 

16 collecting fees on imports and exports under section 3. 

17 (b) APPORTIONMENT.— 

18 (1) IN GENERAL.—After the set-aside under 

19 subsection (a), the Secretary shall apportion 

20 amounts remaining available of the amount author21 ized to be appropriated, from the National Trade 

22 Gateway Corridor Fund established by section 3, for 

23 a fiscal year to carry out this Act to State depart24 ments of transportation in the form of grants for 

25 carrying out eligible projects in the transportation 


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1 trade corridors for the Customs ports of entry with 

2 respect to which fees were collected under section 3 

3 in the preceding fiscal year in the ratio that— 

4 (A) the amount the fees collected for each 

5 Customs port of entry under section 3 during 

6 the preceding fiscal year; bears to 

7 (B) the aggregate amount of fees collected 

8 for all Customs ports of entry under section 3 

9 during the preceding fiscal year. 

10 (2) CORRIDOR TO MORE THAN ONE STATE.—If 

11 a transportation trade corridor is within the bound12 aries of more than one State, the Secretary shall ap13 portion the funds apportioned under paragraph (1) 

14 for carrying out eligible projects in such corridor 

15 among such States as follows: 

16 (A) Fifty percent of the apportionment in 

17 the ratio that— 

18 (i) the total lane miles of Federal-aid 

19 highways in the transportation trade cor20 ridor in each of such States; bears to 

21 (ii) the total lane miles of Federal-aid 

22 highways in the transportation trade cor23 ridor in all of such States. 

24 (B) Fifty percent of the apportionments in 

25 the ratio that— 


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1 (i) the total vehicle miles traveled on 

2 lanes on Federal-aid highways in the 

3 transportation trade corridor in each of 

4 such States; bears to 

5 (ii) the total vehicle miles traveled on 

6 lanes on Federal-aid highways in the 

7 transportation trade corridor in all of such 

8 States. 

9 (3) PERIOD OF AVAILABILITY.—Amounts 

10 granted to a State department of transportation for 

11 carrying out an eligible project in a transportation 

12 trade corridor from amounts apportioned under this 

13 subsection shall remain available for obligation for a 

14 period of 6 years after the last day of the fiscal year 

15 for which the funds are authorized to be appro16 priated. Any amounts so apportioned that remain 

17 unobligated at the end of that period shall be allo18 cated to other States for the purpose of funding eli19 gible projects located in transportation trade cor20 ridors at the discretion of the Secretary. 

21 SEC. 5. PROJECT SELECTION AND ELIGIBILITY. 

22 (a) SELECTION PROCESS GUIDELINES.—Not later 

23 than 180 days after the date of enactment of this Act, 

24 the Secretary of Transportation shall issue project selec25 tion guidelines for a State department of transportation 


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1 to follow in selecting eligible projects for which grants may 

2 be made under this Act. 

3 (b) MINIMUM REQUIREMENTS.—The selection guide4 lines issued by the Secretary under this section shall in5 clude a requirement that a State department of transpor6 tation— 

7 (1) consult with local governments, port au8 thorities, regional planning organizations, public and 

9 private freight shippers, and providers of freight 

10 transportation services during the project selection 

11 process; 

12 (2) adhere to applicable metropolitan and state13 wide planning processes, including sections 134 and 

14 135 of title 23, United States Code, in selecting 

15 projects for which grants may be made under this 

16 Act; 

17 (3) develop and implement a selection process 

18 that is in writing and available to the public; 

19 (4) develop and implement a process for rating 

20 proposed projects for which grants may be made 

21 under this Act in accordance with the purposes of 

22 this Act; and 

23 (5) clearly identify the basis for rating projects 

24 under the ratings process the State department of 

25 transportation developed under paragraph (4). 


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1 SEC. 6. GRANT PROGRAM. 

2 (a) IN GENERAL.—The Secretary of Transportation 

3 may make a grant under this Act to a State department 

4 of transportation having jurisdiction over an area located 

5 in a transportation trade corridor. 

6 (b) SECRETARIAL APPROVAL.—A grant may only be 

7 made under this Act for an eligible project. 

8 (c) CONSTRUCTION STANDARDS.—A project to be 

9 carried out with assistance under this Act that is for a 

10 highway that is on a Federal-aid system (as defined in 

11 section 101 of title 23, United States Code) shall be con12 structed to the same standards that would apply if such 

13 project was being carried out with assistance under chap14 ter 1 of title 23, United States Code. 

15 (d) FEDERAL SHARE.— 

16 (1) IN GENERAL.—The Federal share of the 

17 cost of an eligible project for which a grant is made 

18 under this Act shall be 80 percent. 

19 (2) NON-FEDERAL SHARE.—The non-Federal 

20 share of the cost of an eligible project for which a 

21 grant is made under this Act may not be provided 

22 from Federal funds made available under any other 

23 law (including funds from the Highway Trust 

24 Fund). 

25 (e) PREVAILING RATE OF WAGE.—Section 113 of 

26 title 23, United States Code, shall apply to an eligible 


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1 project being carried out with assistance provided under 

2 this section in the same manner and to the same extent 

3 as such would apply if such project was being carried out 

4 with assistance provided under chapter 1 of such title. 

5 SEC. 7. TRANSPORTATION TRADE CORRIDORS. 

6 (a) ESTABLISHMENT.—The Secretary of Transpor7 tation, in consultation with the Secretary of Commerce, 

8 shall establish— 

9 (1) a transportation trade corridor for each 

10 Customs port of entry, for which fees were collected 

11 under section 3 in the preceding fiscal year, in ac12 cordance with subsection (b); and 

13 (2) the boundaries of the transportation trade 

14 corridor for such port of entry. 

15 (b) CRITERIA FOR ESTABLISHMENT OF COR16 RIDORS.—A transportation trade corridor— 

17 (1) may include areas in more than one State 

18 if the States are contiguous; 

19 (2) may not extend more than 300 miles from 

20 the Customs port of entry for which it is established; 

21 and 

22 (3) may only include areas that are used for 

23 motor vehicle and cargo movements related to inter24 national trade. 


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1 (c) MULTIPLE PORTS OF ENTRY.—The Secretary of 

2 Transportation may establish under this section a single 

3 transportation trade corridor for multiple ports of entry 

4 located in close proximity to one another. 

5 (d) DEADLINE FOR ESTABLISHMENT OF PROPOSED

6 CORRIDORS.—Not later than 180 days after the date of 

7 enactment of this Act, the Secretary of Transportation 

8 shall publish in the Federal Register the boundaries of the 

9 transportation trade corridors the Secretary proposes to 

10 establish under this section. 

11 (e) COMMENT PERIOD.—The Secretary of Transpor12 tation shall provide a period of 45 days for comments to 

13 be made to the Secretary by the public, and for holding 

14 such hearings as the Secretary determines are appropriate 

15 to receive comments, concerning the boundaries of the 

16 transportation trade corridors proposed by the Secretary 

17 under subsection (c). 

18 (f) DEADLINE FOR ESTABLISHMENT OF FINAL COR19 RIDORS.—Not later than one year after date of enactment 

20 of this Act, the Secretary of Transportation shall publish 

21 in the Federal Register the boundaries of the transpor22 tation trade corridors the Secretary is establishing under 

23 this section. 

24 (g) PERIODIC REVIEWS AND MODIFICATIONS.—Dur25 ing 60-day period ending on September 30 before each fisVerDate Mar 15 2010 18:45 Feb 09, 2011 Jkt 099200 PO 00000 Frm 00013 Fmt 6652 Sfmt 6201 E:\BILLS\H526.IH H526

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1 cal year after the first fiscal year for which funds are au2 thorized to be appropriated to carry out this Act, the Sec3 retary of Transportation may conduct such reviews, hold 

4 such hearings, and take such other actions as may be nec5 essary to ensure that— 

6 (1) there is a transportation trade corridor for 

7 each Customs port of entry for which fees were col8 lected under section 3 in the preceding fiscal year; 

9 and 

10 (2) the boundaries of such corridor are appro11 priate to carry out the objectives of this Act. 

12 SEC. 8. REGULATIONS. 

13 Not later than one year after date of enactment of 

14 this Act, the Secretary of Transportation shall issue regu15 lations to carry out the objectives of this Act. 

16 SEC. 9. AUTHORIZATION OF APPROPRIATIONS. 

17 (a) IN GENERAL.—There is authorized to be appro18 priated from the National Trade Gateway Corridor Fund 

19 established by section 3 to carry out this Act for each of 

20 fiscal years 2012 through 2021 such sums as were depos21 ited in the Fund during the preceding fiscal year under 

22 section 3. 

23 (b) DATE AVAILABLE FOR OBLIGATION.—Authoriza24 tions from the separate account to carry out this Act shall 


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1 be available for obligation on October 1 of the fiscal year 

2 for which they are authorized. 

3 (c) GRANTS AS CONTRACTUAL OBLIGATIONS.—A 

4 grant for a highway project under this Act that is ap5 proved by the Secretary is a contractual obligation of the 

6 Government to pay the Federal share of the cost of the 

7 project. 

8 SEC. 10. DEFINITIONS. 

9 In this Act, the following definitions apply: 

10 (1) ELIGIBLE PROJECT.—The term ‘‘eligible 

11 project’’ means— 

12 (A) a project or activity eligible for assist13 ance under chapter 1 of title 23, United States 

14 Code; and 

15 (B) a project for construction of or im16 provements to a publicly owned intermodal 

17 freight transfer facility, for providing access to 

18 such a facility, or for making operational im19 provements to such a facility (including capital 

20 investment for an intelligent transportation sys21 tem); except that a project located within the 

22 boundaries of a port terminal shall only include 

23 the surface transportation infrastructure modi24 fications necessary to facilitate direct interVerDate Mar 15 2010 18:45 Feb 09, 2011 Jkt 099200 PO 00000 Frm 00015 Fmt 6652 Sfmt 6201 E:\BILLS\H526.IH H526

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1 modal interchange, transfer, and access into 

2 and out of the port. 

3 (2) FEDERAL-AID HIGHWAY.—The term ‘‘Fed4 eral-aid highway’’ has the meaning such term has 

5 under section 101 of title 23, United States Code. 

6 (3) STATE.—The term ‘‘State’’ means any of 

7 the 50 States, the District of Columbia, and Puerto 

8 Rico. 

9 (4) STATE DEPARTMENT OF TRANSPOR10 TATION.—The term ‘‘State department of transpor11 tation’’ has the meaning such term has under sec12 tion 101 of title 23, United States Code. 

13 (5) UNITED STATES.—The term ‘‘United 

14 States’’ means the 50 States, the District of Colum15 bia, and Puerto Rico. 

Æ 


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