113 
(b) WAIVERS
AND DEFERRALS; ADMINISTRATIVE 
OPTION.—Section 5323 of title 49, United States Code, 
is further amended by striking subsection (t) and inserting 
the following: 
‘‘(t) WAIVERS
AND DEFERRALS; ADMINISTRATIVE 
OPTION.— 
‘‘(1) IN GENERAL.—Notwithstanding any other 
provision of law, the Secretary shall have the author-
ity to waive, exempt, defer, or establish a simplified 
level of compliance for recipients of assistance under 
this chapter that operate 10 or fewer vehicles in 
service, or that receive financial assistance under 
both sections 5307 and 5311 of this chapter. 
‘‘(2) GUIDANCE
REQUIRED.—Not later than 
180 days of enactment of the Federal Public Trans-
portation Act of 2021, the Secretary shall publish 
guidance for recipients of assistance under this 
chapter that operate 10 or fewer buses in service or 
that receive financial assistance under both of sec-
tions 5307 and 5311 concerning— 
‘‘(A) which specific requirements may be 
considered for waivers, exemptions, deferrals, or 
simplified levels of compliance by recipients of 
assistance described in paragraph (1); 
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‘‘(B) the process by which recipients of as-
sistance described in paragraph (1) may request 
such waivers, exemptions, deferrals, or sim-
plified levels of compliance; 
‘‘(C) the criteria by which the Secretary 
shall evaluate and act upon such requests; 
‘‘(D) the terms and conditions the Sec-
retary shall attach to any waiver, exemption, 
deferral or simplified level of compliance that is 
awarded under paragraph (1); 
‘‘(E) actions the Secretary may take if a 
recipient fails to comply the terms and condi-
tions attached to a waiver, exemption, deferral, 
or simplified level of compliance that has been 
awarded under paragraph (1); and 
‘‘(F) the circumstances under which the 
Secretary may use this paragraph to award a 
waiver, exemption, deferral or simplified level of 
compliance to a recipient of assistance under 
this chapter and described in this paragraph. 
‘‘(3) MAINTAIN SAFETY.—The Secretary shall 
not take any action under this subsection that would 
degrade safety to lives or property. 
‘‘(4) REPORT.—The Secretary shall submit to 
the Committee of Banking, Housing, and Urban Af-
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115 
fairs of the Senate and the Committee of Transpor-
tation and Infrastructure of the House of Represent-
atives an annual report detailing the requests and 
actions that have been taken under this subsection 
in the preceding 12 months.’’. 
(c) THRESHOLD FOR THE SALE OF TRANSIT VEHI-
CLES AFTER SERVICE LIFE.—Section 5323 of title 49, 
United States Code, is further amended by adding at the 
end the following: 
‘‘(w) THRESHOLD FOR THE SALE OF TRANSIT VEHI-
CLES AFTER SERVICE LIFE.—Notwithstanding any other 
provision of law, for programs under this chapter the 
threshold amount for transit vehicles after the service life 
is reached shall be 20 percent of the original acquisition 
cost of the purchased equipment. For transit vehicles sold 
for an amount above such amount, the threshold amount 
shall be retained by the transit agency upon sale of the 
asset for use by the transit agency for the purpose or oper-
ating or capital expenditures, and the remainder shall be 
remitted to the Secretary and shall be deposited into the 
Mass Transit Account of the Highway Trust Fund. If 
such a vehicle is sold for an amount below or equal to 
the threshold amount, the transit agency shall retain all 
funds from the sale.’’. 
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116 
SEC. 3009. APPORTIONMENTS. 
Section 5336(h)(3) of title 49, United States Code, 
is amended to read as follows: 
‘‘(3) of amount not apportioned under para-
graphs (1) and (2), 3 percent shall be apportioned 
to urbanized areas with populations of less than 
200,000 in accordance with subsection (i);’’. 
SEC. 3010. GRANTS FOR BUS AND BUS FACILITIES. 
Section 5339 of title 49, United States Code is 
amended— 
(1) in subsection (a)(5) by striking subpara-
graph (A) and inserting the following: 
‘‘(A) NATIONAL DISTRIBUTION.—For each 
of fiscal years 2022 through 2026, each State 
shall be allocated 0.6 percent of the amount 
made available under section 5338(a)(2)(L) and 
each territory shall be allocated 0.15 percent of 
such amount.’’; 
(2) in subsection (b)(5) by striking ‘‘10’’ and 
inserting ‘‘20’’; and 
(3) in subsection (c)— 
(A) in paragraph (1)(E)— 
(i) in clause (i) by striking ‘‘; or’’ and 
inserting a semicolon; 
(ii) in clause (ii) by striking the semi-
colon and inserting ‘‘; or’’; and 
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(iii) by adding at the end the fol-
lowing: 
‘‘(iii) with respect to projects in rural 
areas, any passenger vehicle that is 
equipped with any technology, including 
compressed natural gas and liquefied nat-
ural gas that reduces energy consumption 
or harmful emissions, including direct car-
bon emissions, when compared to a diesel 
powered vehicle;’’; 
(B) in paragraph (3)(A) by striking ‘‘re-
quirements of section 5307’’ and inserting the 
following: ‘‘requirements of— 
‘‘(i) for eligible recipients of grants 
made in urbanized areas, section 5307; 
and 
‘‘(ii) for eligible recipients of grants 
made in rural areas, section 5311.’’; and 
(C) by adding at the end the following: 
‘‘(8) DISTRIBUTION OF GRANT FUNDS.—Of the 
funds allocated under section 5338(a)(2)(M) for no 
or low emission grants under section 5339(c), not 
less than 10 percent of the amounts shall be distrib-
uted to projects in rural areas.’’. 
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SEC. 3011. ELIMINATION OF APPORTIONMENTS BASED ON 
HIGH DENSITY STATE FACTORS. 
(a) IN GENERAL.—Section 5340 of title 49, United 
States Code, is amended— 
(1) in subsection (b) by striking ‘‘and sub-
section (d)’’; and 
(2) by striking subsection (d). 
(b) TECHNICAL CORRECTIONS.—Section 5340 of title 
49, United States Code, is amended— 
(1) 
in 
subsection 
(b) 
by 
striking 
‘‘5338(b)(2)(N)’’ and inserting ‘‘5338(a)(2)(N)’’; 
and 
(2) in subsection (c)(1) by striking ‘‘subsection 
(b)(1)’’ and inserting ‘‘subsection (b)’’. 
SEC. 3012. INNOVATIVE MOBILITY AND TECHNOLOGY DE-
PLOYMENT GRANTS. 
(a) IN GENERAL.—Chapter 53 of title 49, United 
States Code, is amended by inserting after section 5312 
the following: 
‘‘§ 5313. Innovative mobility and technology deploy-
ment grants 
‘‘(a) AUTHORITY.—The Secretary shall establish an 
innovative mobility and technology deployment grants pro-
gram to award grants to entities described in subsection 
(b) to assist in financing of public transportation projects 
that— 
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