(2) in excess of $100,000,000 for the purposes 
described in paragraphs (3) and (4) of subsection 
(a). 
(f) PROCEDURES FOR GRANT AWARD.—The Under 
Secretary shall prescribe procedures and schedules for the 
awarding of grants under this section, including applica-
tion and qualification procedures (including a requirement 
that the applicant have a security plan), and a record of 
decision on applicant eligibility. The procedures shall in-
clude the execution of a grant agreement between the 
grant recipient and the Under Secretary. The Under Sec-
retary shall issue a final rule establishing the procedures 
not later than 90 days after the date of enactment of this 
Act. 
(g) AUTHORIZATION
OF APPROPRIATIONS.—There 
are authorized to be appropriated to the Under Secretary 
of Homeland Security for Border and Transportation Se-
curity $250,000,000 for fiscal year 2005 to carry out the 
purposes of this section. Amounts appropriated pursuant 
to this subsection shall remain available until expended. 
SEC. 15. DEPARTMENT OF TRANSPORTATION OVERSIGHT. 
(a) SECRETARIAL OVERSIGHT.—The Secretary of 
Transportation may use up to 0.5 percent of amounts ap-
propriated for Amtrak for capital projects under this Act 
to enter into contracts for the review of proposed capital
projects and related program management plans and to 
oversee construction of such projects. 
(b) USE
OF
FUNDS.—The Secretary may use 
amounts available under subsection (a) of this subsection 
to make contracts for safety, procurement, management, 
and financial compliance reviews and audits of a recipient 
of amounts under subsection (a). 
SEC. 16. WELDED RAIL AND TANK CAR SAFETY IMPROVE-
MENTS. 
(a) TRACK STANDARDS.—Within 90 days after the 
date of enactment of this Act, the Federal Railroad Ad-
ministration shall— 
(1) require each railroad using continuous weld-
ed rail track to include procedures (in its program 
filed with the Administration) that improve the iden-
tification of cracks in rail joint bars; 
(2) instruct Administration track inspectors to 
obtain copies of the most recent continuous welded 
rail programs of each railroad within the inspectors’ 
areas of responsibility and require that inspectors 
use those programs when conducting track inspec-
tions; and 
(3) establish a program to periodically review 
continuous welded rail joint bar inspection data from 
railroads and Administration track inspectors and,
whenever the Administration determines that it is 
necessary or appropriate, require railroads to in-
crease the frequency or improve the methods of in-
spection of joint bars in continuous welded rail. 
(b) TANK CAR STANDARDS.—The Federal Railroad 
Administration shall— 
(1) within 1 year after the date of enactment 
of this Act, validate the predictive model it is devel-
oping to quantify the maximum dynamic forces act-
ing on railroad tank cars under accident conditions; 
and 
(2) within 18 months after the date of enact-
ment of this Act, initiate a rulemaking to develop 
and implement appropriate design standards for 
pressurized tank cars. 
(c) OLDER TANK CAR IMPACT RESISTANCE ANAL-
YSIS AND REPORT.—Within 2 years after the date of en-
actment of this Act, the Federal Railroad Administration, 
in coordination with the National Transportation Safety 
Board, shall— 
(1) conduct a comprehensive analysis to deter-
mine the impact resistance of the steels in the shells 
of pressure tank cars constructed before 1989; and 
(2) transmit a report to the Committee on 
Transportation and Infrastructure of the House of
Representatives and the Committee on Commerce, 
Science, and Transportation of the Senate with rec-
ommendations for measures to eliminate or mitigate 
the risk of catastrophic failure. 
SEC. 17. NORTHERN BORDER RAIL PASSENGER REPORT. 
Within 180 days after the date of enactment of this 
Act, the Under Secretary of Homeland Security for Bor-
der and Transportation Security, in consultation with the 
heads of other appropriate Federal departments and agen-
cies and Amtrak, shall transmit a report to the Committee 
on Transportation and Infrastructure of the House of 
Representatives and the Committee on Commerce, 
Science, and Transportation of the Senate that contains— 
(1) a description of the current system for 
screening passengers and baggage on passenger rail 
service between the United States and Canada; 
(2) an assessment of the current program to 
provide preclearance of airline passengers between 
the United States and Canada as outlined in ‘‘The 
Agreement on Air Transport Preclearance between 
the Government of Canada and the Government of 
the United States of America’’, dated January 18, 
2001; 
(3) an assessment of the current program to 
provide preclearance of freight railroad traffic be-
tween the United States and Canada as outlined in 
the ‘‘Declaration of Principle for the Improved Secu-
rity of Rail Shipments by Canadian National Rail-
way and Canadian Pacific Railway from Canada to 
the United States’’, dated April 2, 2003; 
(4) information on progress by the Department 
of Homeland Security and other Federal agencies to-
wards finalizing a bilateral protocol with Canada 
that would provide for preclearance of passengers on 
trains operating between the United States and Can-
ada; 
(5) a description of legislative, regulatory, 
budgetary, or policy barriers within the United 
States Government to providing prescreened pas-
senger lists for rail passengers travelling between the 
United States and Canada to the Department of 
Homeland Security; 
(6) a description of the position of the Govern-
ment of Canada and relevant Canadian agencies 
with respect to preclearance of such passengers; and 
(7) a draft of any changes in existing Federal 
law necessary to provide for prescreening of such 
passengers and providing prescreened passenger lists 
to the Department of Homeland Security.
SEC. 18. MASS TRANSPORTATION SYSTEM SECURITY IM-
PROVEMENTS. 
(a) GRANT PROGRAMS.—The Under Secretary of 
Homeland Security for Border and Transportation Secu-
rity may make operating grants under subsection (e) and 
capital grants under subsection (f). 
(b) CONSISTENCY WITH ASSESSMENT.—The Under 
Secretary shall require that all operating grants made 
under subsection (e) and capital grants made under sub-
section (f) shall be consistent with the most recent find-
ings and recommendations of the Federal Transit Admin-
istration criticality and vulnerability assessments. 
(c) PROCEDURES FOR GRANT AWARDS.— 
(1) IN GENERAL.—The Under Secretary shall 
establish procedures, schedules, and requirements 
for making grants under this section, including ap-
plication and qualification procedures. 
(2) AGREEMENTS.—Except as provided in sub-
section (f)(3)(D), the procedures shall include the 
execution of a grant agreement between the grant 
recipient and the Under Secretary. 
(3) FINAL RULE.—The Under Secretary shall 
issue a final rule establishing the procedures not 
later than 90 days after the date of enactment of 
this Act.