Repairing Our Aging Roads Act

To authorize the Secretary of the Treasury to issue Transportation Bonds to fund transportation projects in each State, and for other purposes. 1. Short title This Act may be cited as the Repairing Our Aging Roads Act 2. Transportation Bonds and Trust Funds (a) Authority To issue Transportation Bonds Section 3102 (f) Transportation Bonds (1) In general The Secretary is authorized to issue bonds under this section, to be known as Transportation Bonds (2) Limitation The aggregate amount of Transportation Bonds issued with respect to each State shall not exceed $2,000,000,000. (3) Form Except as provided in paragraph (3), the bonds authorized by paragraph (1) shall be in such form and denominations, and shall be subject to such terms and conditions of issue, conversion, redemption, maturation, payment, and rate of interest as the Secretary may prescribe. (4) Maximum rate of interest The rate of interest on any bond authorized by paragraph (1) shall not exceed the rate of interest which is 0.25 percentage points less than the rate of interest which would apply with respect to an otherwise substantially identical bond authorized under subsection (a). . (b) Transportation Trust Funds (1) Establishment of Trust funds There is established in the Treasury of the United States 50 separate trust funds, consisting of such amounts as may be appropriated, credited, or transferred to each such trust fund as provided in this section or other provision of law. Such trust funds shall be established with respect to each of the 50 States and each shall be known as the State Transportation Trust Fund State each State Transportation Trust Fund (2) Transfers to trust funds There are hereby appropriated to each State Transportation Trust Fund amounts equivalent to all revenues derived from the sale and issuance of Transportation Bonds issued under section 3102 (3) Expenditures from trust funds Amounts in each State Transportation Trust Fund shall be available, without need of further appropriation, for monthly disbursement to the corresponding State with respect to such Trust Fund. Such monthly disbursements shall be used by the corresponding State only for purposes of making expenditures to construct or improve transportation infrastructure in the corresponding State. (c) Prevention of State participation in Transportation Bonds program (1) In general The Secretary of the Treasury shall not issue any Transportation Bond under section 3102(f) of title 31, United States Code, as added by subsection (a), to any State or political subdivision thereof. (2) Denial of State benefit from indirect acquisitions Appropriations to any State Transportation Trust Fund under subsection (b)(2) shall be reduced by the amount of any revenues derived from the sale or issuance of any Transportation Bond to any person if such bond was acquired by such person with funds provided directly or indirectly by any State or political subdivision thereof. 3. Offsetting reduction in discretionary spending (a) Calculation On the last day of the first quarter during which Transportation Bonds are issued under section 3102(f) of title 31, United States Code (as added by subsection (a)), and on the last day of each quarter thereafter, the Secretary of the Treasury shall calculate the dollar amount of bonds issued during any such quarter. (b) Rescission On the first day of the quarter immediately following any quarter with respect to which a calculation is made under subsection (a), there is hereby rescinded an amount equal to the calculated dollar amount of— (1) the budget authority provided for any discretionary account in any appropriation Act for the fiscal year in which such first day occurs; and (2) the budget authority provided in any advance appropriation for any discretionary account in any prior year appropriation Act. (c) Proportionate application Any rescission made by subsection (b) shall be applied proportionately— (1) to each discretionary account and each item of budget authority described in such subsection; and (2) within each such account and item, to each program, project, and activity (with programs, projects, and activities as delineated in the appropriation Act or accompanying reports for the relevant fiscal year covering such account or item, or for accounts and items not included in appropriation Acts, as delineated in the most recently submitted President's budget).

Summary: Repairing Our Aging Roads Act - Authorizes the Secretary of Transportation (DOT) to issue Transportation Bonds in the aggregate of up to $2 billion to each state for transportation infrastructure projects. Establishes in the Treasury 50 separate State Transportation Trust Funds consisting of amounts derived from the sale and issuance of Transportation Bonds to construct or improve state transportation infrastructure. Requires an offsetting reduction, equal to the dollar amount of bonds issued, in any discretionary account in any appropriation Act.