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annual apportionments of the State for all pro-
grams specified in subsection (b)(2), as specified
in paragraph (2).
‘‘(2) PERCENTAGES.—The percentages referred to
in paragraph (1)(B) are—
‘‘(A) for fiscal year 2005, 124 percent;
‘‘(B) for fiscal year 2006, 128 percent;
‘‘(C) for fiscal year 2007, 131 percent;
‘‘(D) for fiscal year 2008, 137 percent; and
‘‘(E) for fiscal year 2009, 250 percent.
‘‘(e) PROGRAMMATIC DISTRIBUTION OF FUNDS.—The
Secretary shall apportion the amounts made available
under this section so that the amount apportioned to each
State under this section for each program referred to in sub-
paragraphs (A) through (G) of subsection (a)(2) is equal
to the amount determined by multiplying the amount to
be apportioned under this section by the proportion that—
‘‘(1) the amount of funds apportioned to each
State for each program referred to in subparagraphs
(A) through (G) of subsection (a)(2) for a fiscal year;
bears to
‘‘(2) the total amount of funds apportioned to
each State for all such programs for the fiscal year.
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‘‘(f) METRO PLANNING SET ASIDE.—Notwithstanding
section 104(f), no set aside provided for under that section
shall apply to funds allocated under this section.
‘‘(g) AUTHORIZATION
OF APPROPRIATIONS.—There
are authorized to be appropriated from the Highway Trust
Fund (other than the Mass Transit Account) such sums as
are necessary to carry out this section for each of fiscal
years 2005 through 2009.’’.
(b) CONFORMING AMENDMENT.—The analysis for sub-
chapter I of chapter 1 of title 23, United States Code, is
amended by striking the item relating to section 105 and
inserting the following:
‘‘105. Equity bonus program.’’
SEC. 1105. REVENUE ALIGNED BUDGET AUTHORITY.
Section 110 of title 23, United States Code, is
amended—
(1) in subsection (a)—
(A) in paragraphs (1) and (2), by striking
‘‘2000’’ and inserting ‘‘2006’’;
(B) in paragraph (1), by inserting ‘‘(as in
effect on September 30, 2002)’’ after ‘‘(2 U.S.C.
901(b)(2)(B)(ii)(I)(cc))’’; and
(C) in paragraph (2)—
(i) by striking ‘‘If the amount’’ and in-
serting the following:
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‘‘(A) IN GENERAL.—Except as provided in
subparagraph (B), if the amount’’;
(ii) by inserting ‘‘(as in effect on Sep-
tember 
30, 
2002)’’ 
after 
‘‘(2 
U.S.C.
901(b)(1)(B)(ii)(I)(cc)’’;
(iii) by striking ‘‘the succeeding’’ and
inserting ‘‘that’’;
(iv) by striking ‘‘and the motor carrier
safety grant program’’; and
(v) by adding at the end the following:
‘‘(B) LIMITATION.—No reduction under sub-
paragraph (A) shall be made for a fiscal year if,
as of October 1 of the fiscal year, the cash bal-
ance in the Highway Trust Fund (other than the
Mass Transit Account) exceeds $6,000,000,000.’’;
(2) in subsection (b)(1), by striking subpara-
graph (A) and inserting the following:
‘‘(A) the sums authorized to be appropriated
from the Highway Trust Fund (other than the
Mass Transit Account) for each of the Federal-
aid highway and highway safety construction
programs (other than the equity bonus program)
and for which funds are allocated from the High-
way Trust Fund by the Secretary under this title
and the Safe, Accountable, Flexible, and Effi-
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cient Transportation Equity Act of 2005; bears
to’’;
(3) in subsection (c), by inserting ‘‘the highway
safety improvement program,’’ after ‘‘the surface
transportation program,’’; and
(4) by striking subsections (e), (f), and (g).
SEC. 1106. USE OF EXCESS FUNDS AND FUNDS FOR INAC-
TIVE PROJECTS.
(a) DEFINITIONS.—In this section:
(1) ELIGIBLE FUNDS.—
(A) 
IN
GENERAL.—The 
term 
‘‘eligible
funds’’ means excess funds or inactive funds for
a specific transportation project or activity that
were—
(i) allocated before fiscal year 1998;
and
(ii) designated in a public law, or a
report accompanying a public law, for allo-
cation for the specific surface transportation
project or activity.
(B) INCLUSION.—The term ‘‘eligible funds’’
includes funds described in subparagraph (A)
that were allocated and designated for a dem-
onstration project.
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(2) EXCESS FUNDS.—The term ‘‘excess funds’’
means—
(A) funds obligated for a specific transpor-
tation project or activity that remain available
for the project or activity after the project or ac-
tivity has been completed or canceled; or
(B) an unobligated balance of funds allo-
cated for a transportation project or activity
that the State in which the project or activity
was to be carried out certifies are no longer need-
ed for the project or activity.
(3) 
INACTIVE
FUNDS.—The 
term 
‘‘inactive
funds’’ means—
(A) an obligated balance of Federal funds
for an eligible transportation project or activity
against which no expenditures have been charged
during any 1-year period beginning after the
date of obligation of the funds; and
(B) funds that are available to carry out a
transportation project or activity in a State, but,
as certified by the State, are unlikely to be ad-
vanced for the project or activity during the 1-
year period beginning on the date of certifi-
cation.
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(b) AVAILABILITY
FOR
STP PURPOSES.—Eligible
funds shall be—
(1) made available in accordance with this sec-
tion to the State that originally received the funds;
and
(2) available for obligation for any eligible pur-
pose under section 133 of title 23, United States Code.
(c) RETENTION FOR ORIGINAL PURPOSE.—
(1) IN GENERAL.—The Secretary may determine
that eligible funds identified as inactive funds shall
remain available for the purpose for which the funds
were initially made available if the applicable State
certifies that the funds are necessary for that initial
purpose.
(2) REPORT.—A certification provided by a
State under paragraph (1) shall include a report on
the status of, and an estimated completion date for,
the project that is the subject of the certification.
(d) AUTHORITY TO OBLIGATE.—Notwithstanding the
original source or period of availability of eligible funds,
the Secretary may, on the request by a State—
(1) obligate the funds for any eligible purpose
under section 133 of title 23, United States Code; or
(2)(A) deobligate the funds; and
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(B) reobligate the funds for any eligible purpose
under that section.
(e) APPLICABILITY.—
(1) IN GENERAL.—Subject to paragraph (2), this
section applies only to eligible funds.
(2) DISCRETIONARY ALLOCATIONS; SECTION 125
PROJECTS.—This section does not apply to funds that
are—
(A) allocated at the discretion of the Sec-
retary and for which the Secretary has the au-
thority to withdraw the allocation for use on
other projects; or
(B) made available to carry out projects
under section 125 of title 23, United States Code.
(f) PERIOD OF AVAILABILITY; TITLE 23 REQUIRE-
MENTS.—
(1) IN GENERAL.—Notwithstanding the original
source or period of availability of eligible funds obli-
gated, or deobligated and reobligated, under sub-
section (d), the eligible funds—
(A) shall remain available for obligation for
a period of 3 fiscal years after the fiscal year in
which this Act is enacted; and
(B) except as provided in paragraph (2),
shall be subject to the requirements of title 23,
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United States Code, that apply to section 133 of
that title, including provisions relating to cost-
sharing.
(2) EXCEPTION.—With respect to eligible funds
described in paragraph (1)—
(A) section 133(d) of title 23, United States
Code, shall not apply; and
(B) the period of availability of the eligible
funds shall be determined in accordance with
this section.
(g) SENSE OF CONGRESS REGARDING USE OF ELIGI-
BLE FUNDS.—It is the sense of Congress that eligible funds
made available under this Act or title 23, United States
Code, should be available for obligation for transportation
projects and activities in the same geographic region for
which the eligible funds were initially made available.
Subtitle B—New Programs
SEC. 1201. INFRASTRUCTURE PERFORMANCE AND MAINTE-
NANCE PROGRAM.
(a) IN GENERAL.—Subchapter I of chapter 1 of title
23, United States Code, is amended by inserting after sec-
tion 138 the following:
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‘‘§ 139. Infrastructure performance and maintenance
program
‘‘(a) ESTABLISHMENT.—The Secretary shall establish
and implement an infrastructure performance and mainte-
nance program in accordance with this section.
‘‘(b) ELIGIBLE PROJECTS.—A State may obligate
funds allocated to the State under this section only for
projects eligible under the Interstate maintenance program
under section 119, the National Highway System program
under section 103, the surface transportation program
under section 133, the highway safety improvement pro-
gram under section 148, the highway bridge program under
section 144, and the congestion mitigation and air quality
improvement program under section 149 that will—
‘‘(1) preserve, maintain, or otherwise extend, in
a cost-effective manner, the useful life of existing high-
way infrastructure elements and hurricane evacu-
ation routes on the Federal-aid system; or
‘‘(2) provide operational improvements (includ-
ing traffic management and intelligent transportation
system strategies and limited capacity enhancements)
at points of recurring highway congestion or through
transportation systemic changes to manage or amelio-
rate congestion.
‘‘(c) PERIOD OF AVAILABILITY.—
‘‘(1) OBLIGATION WITHIN 180 DAYS.—
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‘‘(A) IN GENERAL.—Funds allocated to a
State under this section shall be obligated by the
State not later than 180 days after the date of
apportionment.
‘‘(B) UNOBLIGATED FUNDS.—Any amounts
that remain unobligated at the end of that pe-
riod shall be allocated in accordance with sub-
section (d).
‘‘(2) OBLIGATION BY END OF FISCAL YEAR.—
‘‘(A) IN GENERAL.—All funds allocated or
reallocated under this section shall remain avail-
able for obligation until the last day of the fiscal
year for which the funds are apportioned.
‘‘(B) UNOBLIGATED FUNDS.—Any amounts
allocated that remain unobligated at the end of
the fiscal year shall lapse.
‘‘(d) REDISTRIBUTION OF ALLOCATED FUNDS AND OB-
LIGATION AUTHORITY.—
‘‘(1) IN GENERAL.—On the date that is 180 days
after the date of allocation, or as soon thereafter as
practicable, for each fiscal year, the Secretary shall—
‘‘(A) withdraw—
‘‘(i) any funds allocated to a State
under this section that remain unobligated;
and
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‘‘(ii) an equal amount of obligation
authority provided for the use of the funds
in accordance with section 1101(13) of the
Safe, Accountable, Flexible, and Efficient
Transportation Equity Act of 2005; and
‘‘(B) reallocate the funds and redistribute
the obligation authority to those States that—
‘‘(i) have fully obligated all amounts
allocated under this section for the fiscal
year; and
‘‘(ii) demonstrate that the State is able
to obligate additional amounts for projects
eligible under this section before the end of
the fiscal year.
‘‘(2) EQUITY BONUS.—The calculation and dis-
tribution of funds under section 105 shall be adjusted
as a result of the allocation of funds under this sub-
section.
‘‘(e) FEDERAL SHARE PAYABLE.—The Federal share
payable for a project funded under this section shall be de-
termined in accordance with section 120.’’.
(b) CONFORMING
AMENDMENT.—The analysis for
chapter 1 of title 23, United States Code, is amended by
adding after the item relating to section 138 the following:
‘‘139. Infrastructure performance and maintenance program.’’.
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SEC. 1202. FUTURE OF SURFACE TRANSPORTATION SYS-
TEM.
(a) DECLARATION OF POLICY.—Section 101 of title 23,
United States Code, is amended—
(1) by striking ‘‘(b) It is hereby declared to be’’
and inserting the following:
‘‘(b) DECLARATION OF POLICY.—
‘‘(1) ACCELERATION OF CONSTRUCTION OF FED-
ERAL-AID HIGHWAY SYSTEMS.—Congress declares that
it is’’;
(2) in the second paragraph, by striking ‘‘It is
hereby declared’’ and inserting the following:
‘‘(2) COMPLETION
OF
INTERSTATE
SYSTEM.—
Congress declares’’; and
(3) by striking the last paragraph and inserting
the following:
‘‘(3) TRANSPORTATION
NEEDS
OF
21ST
CEN-
TURY.—Congress declares that—
‘‘(A) it is in the national interest to pre-
serve and enhance the surface transportation sys-
tem to meet the needs of the United States for the
21st Century;
‘‘(B) the current urban and long distance
personal travel and freight movement demands
have surpassed the original forecasts and travel
demand patterns are expected to change;
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‘‘(C) continued planning for and investment
in surface transportation is critical to ensure the
surface transportation system adequately meets
the changing travel demands of the future;
‘‘(D) among the foremost needs that the sur-
face transportation system must meet to provide
for a strong and vigorous national economy are
safe, efficient, and reliable—
‘‘(i) national and interregional per-
sonal mobility (including personal mobility
in rural and urban areas) and reduced con-
gestion;
‘‘(ii) flow of interstate and inter-
national commerce and freight transpor-
tation; and
‘‘(iii) travel movements essential for
national security;
‘‘(E) special emphasis should be devoted to
providing safe and efficient access for the type
and size of commercial and military vehicles
that access designated National Highway System
intermodal freight terminals;
‘‘(F) it is in the national interest to seek
ways to eliminate barriers to transportation in-
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vestment created by the current modal structure
of transportation financing;
‘‘(G) the connection between land use and
infrastructure is significant;
‘‘(H) transportation should play a signifi-
cant role in promoting economic growth, improv-
ing the environment, and sustaining the quality
of life; and
‘‘(I) the Secretary should take appropriate
actions to preserve and enhance the Interstate
System to meet the needs of the 21st Century.’’.
(b) NATIONAL SURFACE TRANSPORTATION POLICY
STUDY COMMISSION.—
(1) ESTABLISHMENT.—There is established a
commission to be known as the ‘‘National Surface
Transportation Policy Study Commission’’ (referred
to in this subsection as the ‘‘Commission’’).
(2) MEMBERSHIP.—
(A) COMPOSITION.—The Commission shall
be composed of 12 members, of whom—
(i) 1 member shall be the Secretary,
who shall serve as Chairperson;
(ii) 3 members shall be appointed by
the President;
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(iii) 2 members shall be appointed by
the Speaker of the House of Representatives;
(iv) 2 members shall be appointed by
the minority leader of the House of Rep-
resentatives;
(v) 2 members shall be appointed by
the majority leader of the Senate; and
(vi) 2 members shall be appointed by
the minority leader of the Senate.
(B) QUALIFICATIONS.—Members appointed
under paragraph (1)—
(i) shall include individuals rep-
resenting State and local governments, met-
ropolitan planning organizations, transpor-
tation-related industries, academic and
technical institutions, and public interest
organizations involved with scientific, regu-
latory, economic, and environmental trans-
portation activities; and
(ii) shall be balanced geographically to
the extent consistent with maintaining the
highest level of expertise on the Commission.
(C) DATE
OF
APPOINTMENTS.—The ap-
pointment of a member of the Commission shall
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be made not later than 120 days after the date
of establishment of the Commission.
(D) TERMS.—A member shall be appointed
for the life of the Commission.
(E) 
VACANCIES.—A 
vacancy 
on 
the
Commission—
(i) shall not affect the powers of the
Commission; and
(ii) shall be filled in the same manner
as the original appointment was made.
(F) INITIAL MEETING.—Not later than 30
days after the date on which all members of the
Commission have been appointed, the Commis-
sion shall hold the initial meeting of the Com-
mission.
(G) MEETINGS.—The Commission shall
meet at the call of the Chairperson.
(H) QUORUM.—A majority of the members
of the Commission shall constitute a quorum, but
a lesser number of members may hold hearings.
(I) VICE CHAIRPERSON.—The Commission
shall select a Vice Chairperson from among the
members of the Commission.
(3) DUTIES.—
(A) IN GENERAL.—The Commission shall—
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(i) conduct a complete and comprehen-
sive investigation and study of—
(I) the current condition and fu-
ture needs of the surface transportation
system; and
(II) a comprehensive study of al-
ternatives to replace or to supplement
the fuel tax as the principal revenue
source to support the Highway Trust
Fund and suggest new or alternative
sources of revenue to fund the needs of
the surface transportation system over
at least the next 30 years;
(B) develop a conceptual plan, with alter-
native approaches, for the future to ensure that
the surface transportation system will continue
to serve the needs of the United States, including
specific recommendations regarding design and
operational standards, Federal policies, and leg-
islative changes;
(C) consult with the Secretary and the Sec-
retary of the Treasury in conducting the study
to ensure that the views of the Secretaries con-
cerning essential attributes of Highway Trust
Fund revenue alternatives are considered;