Transportation Equity Act

To establish a grant program under which the Secretary of Transportation will reimburse public transportation agencies that offer free unlimited transportation passes to eligible individuals. 1. Short title; table of contents (a) Short title This Act may be cited as the Transportation Equity Act (b) Table of contents The table of contents for this Act is as follows: Sec. 1. Short title; table of contents. Sec. 2. Establishment of grant program. Sec. 3. Eligible agencies. Sec. 4. Eligible individuals. Sec. 5. Eligible services and requirements. Sec. 6. Features of T–U Pass. Sec. 7. Proof of eligibility. Sec. 8. Application and selection. Sec. 9. Amount of reimbursement to transit agencies. Sec. 10. Reports from agencies. Sec. 11. Termination of benefits under certain circumstances. Sec. 12. Rule of construction. Sec. 13. Authorization of appropriations. Sec. 14. Definitions. 2. Establishment of grant program The Secretary of Transportation shall establish a program to reimburse eligible public transportation agencies that provide eligible individuals a free unlimited transportation pass (to be known as a T–U Pass 3. Eligible agencies A public transportation agency is eligible to participate in the program if the agency— (1) provides a monthly, flat-rate, unlimited transportation pass for purchase by any individual; and (2) agrees to establish a separate T–U Pass for eligible individuals. 4. Eligible individuals The following individuals are eligible to receive a free T–U Pass: (1) An individual aged 60 and older. (2) An individual with a disability (as defined in section 3 of the Americans with Disabilities Act of 1990 ( 42 U.S.C. 12102 (3) An individual who receives a means-tested benefit, as determined by the Secretary. (4) A low-income individual (as defined in this Act). (5) The spouse of an individual described in paragraphs (1) through (4) who lives with such individual. (6) The unmarried dependent of an individual described in paragraphs (1) through (4) who lives with such individual. 5. Eligible services and requirements (a) In general Subject to subsection (b), a T–U Pass shall only provide general transportation services and not premium transportation services. (b) Exception for certain individuals A public transportation agency may seek a waiver from the Secretary to provide a T–U Pass that provides premium transportation services to an eligible individual who the transit agency determines— (1) has no access to reasonably accessible transportation access points and is not eligible for paratransit transportation services; or (2) is disabled and whose principal place of residence, primary or specialist medical facilities, educational facilities, or place of employment is not within one-half mile of a transportation access point that contains the necessary infrastructure for the individual to use public transportation. (c) T–U Pass requirements A T–U Pass shall provide unlimited access to public transportation and shall be valid for all schedules, times, and periods the transportation agency offers service. (d) Automatic monthly loading capability of transportation benefits A T–U Pass shall— (1) be able to receive funds remotely or be loaded with funds automatically on the first day of each calendar month; and (2) make such funds available upon entrance or boarding at the first transportation access point on the first day the T–U Pass is used in such month. (e) Waiver for certain public transportation agencies The Secretary may waive a requirement under subsection (d) if the Secretary determines that— (1) a public transportation agency cannot meet such requirement because of infrastructure limitations, cost inefficiencies, inability to finance, or unavailable technology; and (2) the transportation agency provides a T–U Pass that— (A) only functions at entry and exit points of the transit system; or (B) only permits transactions of transportation-related expenses at facilities operated by the transportation agency, including— (i) booths or automated vending machines at transportation access points operated by the transit agency; (ii) telephone or online interfaces operated by the transit agencies; and (iii) additional facilities as determined by the Secretary. (f) Rollover prohibited Any funds that are disbursed to a T–U Pass shall be surrendered if not used in the course of the month for which such benefits were provided. (g) Prohibition of duplicative transportation benefits Grants made pursuant to the program shall not be used to reimburse more than one T–U Pass per individual. 6. Features of T–U Pass (a) Expiration Subject to section 11, a T–U Pass expires one year after issuance, and a public transportation agency may not terminate the validity of the T–U Pass until the date of expiration regardless of whether the individual continues to be eligible under section 4 of this Act. (b) Design A public transportation agency receiving a grant pursuant to the program shall select a design that distinguishes the T–U Pass from other passes. The T–U Pass shall— (1) be a card, ticket, or voucher; (2) include the words Photo ID T–U Pass (3) include the words If found, please return to (4) include a photo of the person to whom the T–U Pass was provided; (5) include a seal with the logo of the transportation agency; (6) include the full name of such eligible person; (7) include the expiration date of the T–U Pass; and (8) include any additional features the Secretary determines is necessary. 7. Proof of eligibility An individual seeking a T–U Pass must provide to the public transportation agency— (1) proof of the basis of at least one ground of eligibility described section 4; and (2) documentation the Secretary determines is necessary to support the basis of eligibility. 8. Application and selection The Secretary shall award grants on a competitive basis and may require that an application from a public transportation agency be submitted in a prescribed form and manner and that it contains specified agreements, assurances, and information. 9. Amount of reimbursement to transit agencies (a) In general Grants made pursuant to the program shall be used only to reimburse a public transportation agency for the cost of providing a T–U Pass. (b) Amount of reimbursement A public transportation agency shall be eligible to receive reimbursement for each T–U Pass at the cost charged for a monthly, flat-rate, unlimited transportation pass. (c) Exception for discounted monthly passes If an eligible individual is eligible for a reduced-cost monthly, flat-rate, unlimited transportation pass for reasons including disability or age, the public transportation agency shall be eligible to receive compensation equaling the cost of such reduced-cost pass. 10. Reports from agencies A public transportation agency receiving a grant under this Act shall provide to the Secretary an annual report explaining— (1) the agency’s plan to annually verify the eligibility of holders of a T–U Pass; and (2) the number of T–U Passes that have been terminated pursuant to section 11. 11. Termination of benefits under certain circumstances (a) Fraud and sale The Secretary shall establish procedures for termination of a T–U Pass if— (1) an individual obtains or uses the T–U Pass fraudulently; or (2) an individual sells, distributes, or provisions the T–U Pass to an individual other than the individual to whom the T–U Pass was provided. (b) Procedures The procedures required by subsection (a) shall include notice, opportunity for hearing, and civil monetary penalties. 12. Rule of construction Nothing in this Act shall be construed to limit any other programs that are sponsored by public transportation agencies to provide free transportation to eligible individuals. 13. Authorization of appropriations There are authorized to be appropriated $1,000,000,000, to be available under expended, for fiscal year 2021 and each fiscal year thereafter. 14. Definitions In this Act: (1) Dependent The term dependent section 152 (2) Eligible individual The term eligible individual (3) General transportation service The term general transportation service (4) Low-income individual The term low-income individual 42 U.S.C. 9902(2) (5) Means-tested benefit The term means-tested benefit (6) Paratransit services The term paratransit services (7) Premium transportation service The term premium transportation service (8) Program The term program (9) Reasonably accessible The term reasonably accessible (10) Secretary The term Secretary (11) T– U The term T–U Pass (12) Transportation access point The term transportation access point

Summary: Transportation Equity Act This bill directs the Department of Transportation to establish a competitive grant program to reimburse certain public transportation agencies that provide free unlimited transportation passes to specified individuals. Individuals eligible to receive a pass are (1) persons who are 60 years or older, (2) persons with disabilities, (3) persons in receipt of means-tested benefits, (4) persons whose income is 300% or less of the poverty line, (5) the spouse or unmarried dependent of any person in the previous four categories.