H. R. 3—38
or expenditure so long as the agreement, or the existing 
agreement entered into under paragraph (1), is in effect. 
‘‘(f) PERMISSIBLE USES OF FUNDS.—
‘‘(1) IN GENERAL.—Funds made available for the program 
may be used only for the following projects and activities carried 
out in a territory: 
‘‘(A) Eligible surface transportation program projects 
described in section 133(b). 
‘‘(B) Cost-effective, preventive maintenance consistent 
with section 116(d). 
‘‘(C) Ferry boats, terminal facilities, and approaches, 
in accordance with subsections (b) and (c) of section 129. 
‘‘(D) Engineering and economic surveys and investiga-
tions for the planning, and the financing, of future highway 
programs. 
‘‘(E) Studies of the economy, safety, and convenience 
of highway use. 
‘‘(F) The regulation and equitable taxation of highway 
use. 
‘‘(G) Such research and development as are necessary 
in connection with the planning, design, and maintenance 
of the highway system. 
‘‘(2) PROHIBITION ON USE OF FUNDS FOR ROUTINE MAINTE-
NANCE.—None of the funds made available for the program 
shall be obligated or expended for routine maintenance. 
‘‘(g) LOCATION
OF
PROJECTS.—Territorial highway projects 
(other than those described in paragraphs (1), (3), and (4) of section 
133(b)) may not be undertaken on roads functionally classified 
as local.’’. 
(b) CONFORMING AMENDMENTS.—
(1) ELIGIBLE
PROJECTS.—Section 103(b) of such title is 
amended—
(A) in the heading for paragraph (6) by striking 
‘‘ELIGIBLE’’ and inserting ‘‘STATE ELIGIBLE’’; 
(B) in paragraph (6) by striking subparagraph (P); 
and 
(C) by adding at the end the following: 
‘‘(7) TERRITORY ELIGIBLE PROJECTS.—Subject to approval 
by the Secretary, funds set aside for this program under section 
104(b)(1) for the National Highway System may be obligated 
for projects eligible for assistance under the territorial highway 
program under section 215.’’. 
(2) FUNDING.—Section 104(b)(1)(A) of such title is amended 
by striking ‘‘to the Virgin Islands, Guam, American Samoa, 
and the Commonwealth of Northern Mariana Islands’’ and 
inserting ‘‘for the territorial highway program under section 
215’’. 
(3) CLERICAL AMENDMENT.—The analysis for chapter 2 of 
such title is amended by striking the item relating to section 
215 and inserting the following:
‘‘215. Territorial highway program.’’.
SEC. 1119. FEDERAL LANDS HIGHWAYS. 
(a) FEDERAL SHARE PAYABLE.—
(1) IN GENERAL.—Section 120(k) of title 23, United States 
Code, is amended—
(A) by striking ‘‘Federal-aid highway’’; and
H. R. 3—39
(B) by striking ‘‘section 104’’ and inserting ‘‘this title 
or chapter 53 of title 49’’. 
(2) TECHNICAL REFERENCES.—Section 120(l) of such title 
is amended by striking ‘‘section 104’’ and inserting ‘‘this title 
or chapter 53 of title 49’’. 
(b) PAYMENTS
TO
FEDERAL
AGENCIES
FOR
FEDERAL-AID 
PROJECTS.—Section 132 of such title is amended—
(1) by striking the first two sentences and inserting the 
following: 
‘‘(a) IN GENERAL.—In a case in which a proposed Federal-
aid project is to be undertaken by a Federal agency in accordance 
with an agreement between a State and the Federal agency, the 
State may—
‘‘(1) direct the Secretary to transfer the funds for the Fed-
eral share of the project directly to the Federal agency; or 
‘‘(2) make such deposit with, or payment to, the Federal 
agency as is required to meet the obligation of the State under 
the agreement for the work undertaken or to be undertaken 
by the Federal agency. 
‘‘(b) REIMBURSEMENT.—On execution with a State of a project 
agreement described in subsection (a), the Secretary may reimburse 
the State, using any available funds, for the estimated Federal 
share under this title of the obligation of the State deposited or 
paid under subsection (a)(2).’’; and 
(2) in the last sentence by striking ‘‘Any sums’’ and 
inserting the following: 
‘‘(c) RECOVERY AND CREDITING OF FUNDS.—Any sums’’. 
(c) ALLOCATIONS.—Section 202 of such title is amended—
(1) in subsection (a) by striking ‘‘(a) On October 1’’ and 
all that follows through ‘‘Such allocation’’ and inserting the 
following: 
‘‘(a) ALLOCATION BASED ON NEED.—
‘‘(1) IN GENERAL.—On October 1 of each fiscal year, the 
Secretary shall allocate sums authorized to be appropriated 
for the fiscal year for forest development roads and trails 
according to the relative needs of the various national forests 
and grasslands. 
‘‘(2) PLANNING.—The allocation under paragraph (1)’’; 
(2) in subsection (d)(2)—
(A) by adding at the end the following: 
‘‘(E) TRANSFERRED FUNDS.—
‘‘(i) IN
GENERAL.—Not later than 30 days after 
the date on which funds are made available to the 
Secretary of the Interior under this paragraph, the 
funds shall be distributed to, and available for imme-
diate use by, the eligible Indian tribes, in accordance 
with the formula for distribution of funds under the 
Indian reservation roads program. 
‘‘(ii) USE OF FUNDS.—Notwithstanding any other 
provision of this section, funds available to Indian 
tribes for Indian reservation roads shall be expended 
on projects identified in a transportation improvement 
program approved by the Secretary.’’; and 
(B) in subsection (d)(3)(A) by striking ‘‘under this title’’ 
and inserting ‘‘under this chapter and section 125(e)’’.
H. R. 3—40
(d) FEDERAL LANDS HIGHWAYS PROGRAM.—Section 202 of such 
title is amended by striking subsection (b) and inserting the fol-
lowing: 
‘‘(b) ALLOCATION FOR PUBLIC LANDS HIGHWAYS.—
‘‘(1) PUBLIC LANDS HIGHWAYS.—
‘‘(A) IN GENERAL.—On October 1 of each fiscal year, 
the Secretary shall allocate 34 percent of the sums author-
ized to be appropriated for that fiscal year for public lands 
highways among those States having unappropriated or 
unreserved public lands, nontaxable Indian lands, or other 
Federal reservations, on the basis of need in the States, 
respectively, as determined by the Secretary, on application 
of the State transportation departments of the respective 
States. 
‘‘(B) PREFERENCE.—In making the allocation under 
subparagraph (A), the Secretary shall give preference to 
those projects that are significantly impacted by Federal 
land and resource management activities that are proposed 
by a State that contains at least 3 percent of the total 
public land in the United States. 
‘‘(2) FOREST HIGHWAYS.—
‘‘(A) IN GENERAL.—On October 1 of each fiscal year, 
the Secretary shall allocate 66 percent of the funds author-
ized to be appropriated for public lands highways for forest 
highways in accordance with section 134 of the Federal-
Aid Highway Act of 1987 (23 U.S.C. 202 note; 101 Stat. 
173). 
‘‘(B) PUBLIC ACCESS TO AND WITHIN NATIONAL FOREST 
SYSTEM.—In making the allocation under subparagraph (A), 
the Secretary shall give equal consideration to projects 
that provide access to and within the National Forest 
System, as identified by the Secretary of Agriculture 
through—
‘‘(i) renewable resource and land use planning; and 
‘‘(ii) assessments of the impact of that planning 
on transportation facilities.’’. 
(e) BIA ADMINISTRATIVE EXPENSES.—Section 202(d)(2) of such 
title (as amended by subsection (c)(2) of this section) is amended 
by adding at the end the following: 
‘‘(F) ADMINISTRATIVE EXPENSES.—
‘‘(i) IN GENERAL.—Of the funds authorized to be 
appropriated for Indian reservation roads, $20,000,000 
for fiscal year 2006, $22,000,000 for fiscal year 2007, 
$24,500,000 for fiscal year 2008, and $27,000,000 for 
fiscal year 2009 may be used by the Secretary of the 
Interior for program management and oversight and 
project-related administrative expenses. 
‘‘(ii) HEALTH AND SAFETY ASSURANCES.—Notwith-
standing any other provision of law, an Indian tribal 
government may approve plans, specifications, and 
estimates and commence road and bridge construction 
with funds made available for Indian reservation roads 
under the Transportation Equity Act for the 21st Cen-
tury (Public Law 105–178) and SAFETEA–LU through 
a contract or agreement under the Indian Self-Deter-
mination and Education Assistance Act (25 U.S.C. 450b 
et seq.) if the Indian tribal government—
H. R. 3—41
‘‘(I) provides assurances in the contract or 
agreement that the construction will meet or 
exceed applicable health and safety standards; 
‘‘(II) obtains the advance review of the plans 
and specifications from a State-licensed civil engi-
neer that has certified that the plans and specifica-
tions meet or exceed the applicable health and 
safety standards; and 
‘‘(III) provides a copy of the certification under 
subclause (I) to the Deputy Assistant Secretary 
for Tribal Government Affairs or the Assistant 
Secretary for Indian Affairs, as appropriate.’’. 
(f) NATIONAL TRIBAL TRANSPORTATION FACILITY INVENTORY.—
Section 202(d)(2) of such title (as amended by subsection (e)) is 
amended by adding at the end the following: 
‘‘(G) 
NATIONAL
TRIBAL
TRANSPORTATION
FACILITY 
INVENTORY.—
‘‘(i) IN
GENERAL.—Not later than 2 years after 
the date of enactment of the SAFETEA–LU, the Sec-
retary, in cooperation with the Secretary of the 
Interior, shall complete a comprehensive national 
inventory of transportation facilities that are eligible 
for assistance under the Indian reservation roads pro-
gram. 
‘‘(ii) TRANSPORTATION FACILITIES INCLUDED IN THE 
INVENTORY.—For purposes of identifying the tribal 
transportation system and determining the relative 
transportation needs among Indian tribes, the Sec-
retary shall include, at a minimum, transportation 
facilities that are eligible for assistance under the 
Indian reservation roads program that a tribe has 
requested, including facilities that—
‘‘(I) were included in the Bureau of Indian 
Affairs system inventory for funding formula pur-
poses in 1992 or any subsequent fiscal year; 
‘‘(II) were constructed or reconstructed with 
funds from the Highway Trust Funds (other than 
the Mass Transit Account) under the Indian res-
ervation roads program since 1983; 
‘‘(III) are owned by an Indian tribal govern-
ment; or 
‘‘(IV) are community streets or bridges within 
the exterior boundary of Indian reservations, 
Alaska Native villages, and other recognized 
Indian communities (including communities in 
former Indian reservations in Oklahoma) in which 
the majority of residents are American Indians 
or Alaska Natives; or 
‘‘(V) are primary access routes proposed by 
tribal governments, including roads between vil-
lages, roads to landfills, roads to drinking water 
sources, roads to natural resources identified for 
economic development, and roads that provide 
access to intermodal termini, such as airports, har-
bors, or boat landings. 
‘‘(iii) LIMITATION
ON
PRIMARY
ACCESS
ROUTES.—
For purposes of this subparagraph, a proposed primary