(B) the Secretary may increase the Fed-
eral share of costs above 80 percent. 
(l) WAGE
RATE
REQUIREMENTS.—Projects con-
ducted using funds provided under the program must com-
ply with the requirements of subchapter IV of chapter 31 
of title 40, United States Code. 
(m) ANNUAL COMPETITIONS.—For each fiscal year, 
the Secretary shall conduct a new competition to select 
projects for grants and credit assistance awarded under 
the program. 
(n) ADMINISTRATIVE
EXPENSES.—To fund the 
award and oversight of grants and credit assistance made 
under the program, the Secretary may— 
(1) retain up to $25,000,000 of the funds pro-
vided to carry out the program for a fiscal year; and 
(2) transfer portions of those funds to the Ad-
ministrators of the Federal Highway Administration, 
the Federal Transit Administration, the Federal 
Railroad Administration, and the Maritime Adminis-
tration. 
(o) PERIOD FOR OBLIGATION OF FUNDS.— 
(1) IN GENERAL.—Funds made available for a 
fiscal year to carry out the program shall remain 
available to the Secretary for obligation under the 
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program for a period of 3 years after the last day 
of the fiscal year for which the funds are authorized. 
(2) TRANSFER OF UNOBLIGATED FUNDS.—Any 
amounts made available to carry out the program 
that remain unobligated at the end of the 3-year pe-
riod referred to in paragraph (1) shall be transferred 
to the Highway Trust Fund. 
(p) FUNDING.—There shall be available, without fur-
ther appropriation, from the National Infrastructure In-
vestment Trust Fund for expenditure by the Secretary to 
carry out the program $3,000,000,000 for each fiscal 
year. 
SEC. 3. FIXED GUIDEWAY CAPITAL INVESTMENT GRANTS. 
(a) FUNDING.—There shall be available from the 
Fixed Guideway Capital Investment Trust Fund, without 
further appropriation, for expenditure by the Secretary of 
Transportation to carry out section 5309 of title 49, 
United States Code, $9,000,000,000 for each fiscal year. 
(b) ADMINISTRATIVE EXPENSES.—Of the amounts 
made available for a fiscal year under subsection (a) to 
carry out section 5309 of title 49, United States Code, 
the Secretary may retain not more than 1 percent of the 
total funds made available to carry out such section to 
administer the award and oversee grants made under the 
program. 
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(c) PERIOD FOR OBLIGATION OF FUNDS.— 
(1) IN GENERAL.—Funds made available for a 
fiscal year under subsection (a) to carry out section 
5309 of title 49, United States Code, shall remain 
available to the Secretary for obligation under that 
section for a period of 4 years after the last day of 
the fiscal year for which the funds are authorized. 
(2) TRANSFER OF UNOBLIGATED FUNDS.—Any 
amounts made available under subsection (a) to 
carry out section 5309 of title 49, United States 
Code, that remain unobligated at the end of the 4- 
year period referred to in paragraph (1) shall be de-
posited in the Highway Trust Fund. 
SEC. 4. ESTABLISHMENT OF TRUST FUNDS. 
(a) IN GENERAL.—Subchapter A of chapter 28 of the 
Internal Revenue Code of 1986 (relating to the trust fund 
code) is amended by adding at the end thereof the fol-
lowing: 
‘‘SEC. 9512. NATIONAL INFRASTRUCTURE INVESTMENT 
TRUST FUND. 
‘‘(a) CREATION OF TRUST FUND.—There is estab-
lished in the Treasury of the United States a trust fund 
to be known as the ‘National Infrastructure Investment 
Trust Fund’, consisting of such amounts as may be appro-
priated or credited to the National Infrastructure Invest-
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ment Trust Fund as provided in this section or section 
9602(b). 
‘‘(b) TRANSFER TO NATIONAL INFRASTRUCTURE IN-
VESTMENT TRUST FUND OF AMOUNTS EQUIVALENT TO 
CERTAIN TAXES.—There are hereby appropriated to the 
National Infrastructure Investment Trust Fund amounts 
equivalent to the portion of the taxes received in the 
Treasury under subsections (a)(1) and (b) of section 5701 
that are attributable to the increase in tax imposed by 
such subsections by reason of the amendments made by 
section 5 of the Build America Act of 2018. 
‘‘(c) EXPENDITURES FROM NATIONAL INFRASTRUC-
TURE INVESTMENT TRUST FUND.—Amounts in the Na-
tional Infrastructure Investment Trust Fund shall be 
available, without further appropriation, to the Secretary 
of Transportation for making expenditures under the na-
tional infrastructure investment program authorized by 
section 2 of the Build America Act of 2018. 
‘‘SEC. 9513. FIXED GUIDEWAY CAPITAL INVESTMENT TRUST 
FUND. 
‘‘(a) CREATION OF TRUST FUND.—There is estab-
lished in the Treasury of the United States a trust fund 
to be known as the ‘Fixed Guideway Capital Investment 
Trust Fund’, consisting of such amounts as may be appro-
priated or credited to the Fixed Guideway Capital Invest-
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ment Trust Fund as provided in this section or section 
9602(b). 
‘‘(b) TRANSFER TO FIXED GUIDEWAY CAPITAL IN-
VESTMENT TRUST FUND OF AMOUNTS EQUIVALENT TO 
CERTAIN TAXES.—There are hereby appropriated to the 
Fixed Guideway Capital Investment Trust Fund amounts 
equivalent to 25 percent of the portion of the taxes re-
ceived in the Treasury under the rates described in clauses 
(i) and (iii) of section 4081(a)(2)(A), and section 
4081(a)(2)(D), but only to the extent such amounts are 
attributable to the increase in rates under such clauses, 
and such section, by reason of the amendments made by 
section 6 of the Build America Act of 2018. For purposes 
of the preceding sentence, taxes received under section 
4041 and 4081 shall be determined without reduction for 
credits under section 6426. 
‘‘(c) EXPENDITURES FROM FIXED GUIDEWAY CAP-
ITAL INVESTMENT TRUST FUND.—Amounts in the Fixed 
Guideway Capital Investment Trust Fund shall be avail-
able, without further appropriation, to the Secretary of 
Transportation for making expenditures after October 1, 
2019, under section 5309 of title 49, United States Code, 
pursuant to the authorization in section 3 of the Build 
America Act of 2018.’’. 
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(b) CLERICAL AMENDMENT.—The table of sections 
for subchapter A of chapter 98 of the Internal Revenue 
Code of 1986 is amended by adding at the end thereof 
the following new items: 
‘‘Sec. 9512. National Infrastructure Investment Trust Fund. 
‘‘Sec. 9513. Fixed Guideway Capital Investment Trust Fund.’’. 
SEC. 5. INCREASE IN TAX ON CIGARETTES AND SMALL CI-
GARS. 
(a) SMALL CIGARS.—Section 5701(a)(1) of the Inter-
nal Revenue Code of 1986 is amended by striking ‘‘$50.33 
per thousand’’ and inserting ‘‘$75.30 per thousand’’. 
(b) CIGARETTES.—Section 5701(b) of such Code is 
amended— 
(1) by striking ‘‘$50.33 per thousand’’ in para-
graph (1) and inserting ‘‘$75.30 per thousand’’; and 
(2) by striking ‘‘$105.69 per thousand’’ in 
paragraph (2) and inserting ‘‘$130.69 per thou-
sand’’. 
SEC. 6. INCREASE IN TAX ON MOTOR FUELS. 
(a) GASOLINE OTHER THAN AVIATION GASOLINE.— 
Section 4081(a)(2)(A)(i) of the Internal Revenue Code of 
1986 is amended by striking ‘‘18.3 cents’’ and inserting 
‘‘53.3 cents’’. 
(b) 
DIESEL
FUEL
OR
KEROSENE.—Section 
4081(a)(2)(A)(iii) of such Code is amended by striking 
‘‘24.3 cents’’ and inserting ‘‘59.3 cents’’. 
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(c) INCREASE FOR INFLATION.—Section 4081(a)(2) 
of such Code is amended by adding at the end the fol-
lowing new subparagraph: 
‘‘(E) ADJUSTMENT
FOR
INFLATION.—In 
the case of any calendar year beginning after 
2018, the rates of tax contained in clauses (i) 
and (iii) of subparagraph (A) shall each be in-
creased by an amount equal to— 
‘‘(i) such rate, multiplied by 
‘‘(ii) the cost of living adjustment de-
termined under section 1(f)(3) for the cal-
endar year, determined by substituting 
‘calendar year 2016’ for ‘calendar year 
1992’ in subparagraph (B) thereof. 
Any increase under the preceding sentence shall 
be rounded to the nearest 0.1 cents.’’. 
(d) 
DIESEL-WATER
FUEL
EMULSION.—Section 
4081(a)(2)(D) of such Code is amended by striking ‘‘sub-
stituting ‘19.7 cents’ for ‘24.3 cents’.’’ and inserting ‘‘sub-
stituting a rate equal to 81 percent of the rate in effect 
for the calendar year under such subparagraph.’’. 
(e) EFFECTIVE DATE.—The amendments made by 
this section shall apply to fuels removed, entered, or sold 
after October 1, 2018. 
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SEC. 7. HIGHWAY TRUST FUND. 
(a) COORDINATION WITH FIXED GUIDEWAY CAP-
ITAL INVESTMENT TRUST FUND.—Section 9503(b)(4) of 
the Internal Revenue Code of 1986 is amended by striking 
‘‘or’’ at the end of subparagraph (C), by striking the pe-
riod at the end of subparagraph (D) and inserting ‘‘, or’’, 
and by adding at the end the following new subparagraph: 
‘‘(E) clauses (i) and (iii) of section 
4081(a)(2)(A), and section 4081(a)(2)(D), but 
only to the extent of amounts equivalent to the 
portion of such taxes as are appropriated to the 
Fixed Guideway Capital Investment Trust 
Fund under section 9513(b).’’. 
(b) MASS TRANSIT PORTION ADJUSTED.—Section 
9503(e)(2)(A) of such Code is amended by striking ‘‘2.86 
cents’’ and inserting ‘‘6.25 cents’’. 
(c) TRANSFER OF UNOBLIGATED NATIONAL INFRA-
STRUCTURE INVESTMENT AND FIXED GUIDEWAY CAP-
ITAL INVESTMENT AMOUNTS.—Section 9503(f) of the In-
ternal Revenue Code of 1986 is amended by redesignating 
paragraph (10) as paragraph (11) and by inserting after 
paragraph (9) the following new paragraph: 
‘‘(10) 
FURTHER
TRANSFERS
TO
TRUST 
FUND.— 
‘‘(A) IN GENERAL.—There is hereby ap-
propriated 
to 
the 
Highway 
Trust 
Fund 
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amounts to be transferred to the Trust Fund 
pursuant to sections 2(o) and 3(c)(2) of the 
Build America Act of 2018. 
‘‘(B) TRANSFER
OF
PORTION
TO
MASS 
TRANSIT ACCOUNT.—From such amounts, the 
Secretary shall transfer to the Mass Transit Ac-
count so much as bears the same ratio to such 
amount as the mass transit portion (as defined 
in subsection (e)(2)) bears to all taxes imposed 
with respect to fuel by sections 4041 and 4081 
and otherwise deposited into the Highway Trust 
Fund.’’. 
Æ 
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