To provide for a study by the Transportation Research Board of the National Academies on the impact of diverting certain freight rail traffic to avoid urban areas, and for other purposes.

SECTION 1. FINDINGS.

    Congress finds the following:
            (1) The volume of crude oil transported by rail has 
        significantly increased from--
                    (A) 21,000 barrels a day in 2009 to 1.1 million 
                barrels a day in 2014; and
                    (B) 9,500 rail-carloads in 2008 to 415,000 rail-
                carloads in 2013.
            (2) At any given time, more than 2.5 million gallons of 
        crude oil is being transported across the country to refineries 
        totaling a distance of more than 1,000 miles.
            (3) More oil was spilled in 2013 from freight traffic than 
        in the previous 4 decades combined.
            (4) Increased spills result in catastrophes that have 
        significantly and adversely impacted the following communities:
                    (A) Minnesota, in March 2013, when 30,000 gallons 
                of crude oil spilled because of derailed cars.
                    (B) Lac-Meegantic, Canada, in July 2013, when 1.6 
                million gallons of crude oil spilled, igniting a fire 
                and exploding, killing 47 people and forcing 2,000 
                people from their homes.
                    (C) North Dakota, in December 2013, when 400,000 
                million gallons of crude oil spilled, igniting a fire 
                and forcing 65 percent of residents from their homes.
                    (D) Virginia, in March 2014, when thousands of 
                gallons of oil spilled, contaminating the James River 
                and requiring the evacuation of 78,000 people in the 
                downtown of the city.
                    (E) West Virginia, in February 2015, when 26 cars 
                containing oil that exceeded volatility standards for 
                transport derailed, igniting fires and explosions, 
                threatening the water supply, and forcing hundreds of 
                people from their homes.
            (5) Hazardous materials must be properly classified for 
        transportation, according to requirements from the Pipeline and 
        Hazardous Materials Safety Administration (PHMSA).
            (6) Crude oil is categorized as a Class 3 flammable liquid 
        in either Packing Group (PG) I or II.
            (7) Due to serious mislabeling practices, the Department of 
        Transportation's Emergency Order (Docket No. DOT-OST-2014-0025) 
        from February 2014 has forbidden the labeling of crude oil as 
        PG III for transport and handling until further notice; 
        shipments must be labeled as either PG I (most serious hazard) 
        or PG II (moderate hazard) for proper handling and transport of 
        crude oil.
            (8) PHMSA has found that crude oil from the Bakken region 
        (in North Dakota, Montana, and Canada) is ``more volatile than 
        most other types of crude,'' and subsequently, more flammable.
            (9) The samples that PHMSA tested from the Bakken region 
        ``displayed characteristics consistent with those of a Class 3 
        flammable liquid, PG I or II, with a predominance to PG I, the 
        most dangerous class of Class 3 flammable liquids''.
            (10) The oil industry group North Dakota Petroleum Council 
        has recommended that Bakken crude oil be labeled as PG I 
        hazardous materials for transportation.
            (11) Oil from the Bakken region accounts for about 12 
        percent of total domestic production.
            (12) The National Transportation Safety Board (NTSB) has 
        expressed concern ``that major loss of life, property damage 
        and environmental consequences can occur when large volumes of 
        crude oil or other flammable liquids are transported on a 
        single train involved in an accident''.
            (13) The NTSB has recommended that routes transporting 
        hazardous materials present the fewest overall safety and 
        security risks by avoiding populated areas.

SEC. 2. STUDY ON IMPACT OF DIVERTING CERTAIN FREIGHT RAIL TO AVOID 
              URBAN AREAS.

    (a) In General.--Not later than 3 months after the date of 
enactment of this Act, the Secretary of Transportation shall make 
appropriate arrangements with the Transportation Research Board of the 
National Academies under which the Board shall conduct a study on the 
cost and impact of rerouting freight rail traffic containing hazardous 
material to avoid transportation of such hazardous material through 
urban areas.
    (b) Contents of Study.--The study described under subsection (a) 
shall include--
            (1) the benefits of rerouting freight rail traffic 
        containing hazardous material to alternate railroad routes that 
        avoid urban areas, including benefits to the health and safety 
        of the individuals living in such urban areas;
            (2) the benefits of construction of alternative railroad 
        routes that avoid urban areas for transportation of freight 
        rail containing hazardous material;
            (3) the logistical feasibility of the actions described in 
        paragraphs (1) and (2); and
            (4) the costs of taking the actions described in paragraphs 
        (1) and (2).
    (c) Report.--In entering into an arrangement under subsection (a), 
the Secretary shall request that the Board transmit to Congress a 
report on the results of the study not later than 21 months after the 
date of enactment of this Act.
    (d) Definitions.--
            (1) Hazardous material.--The term ``hazardous material'' 
        has the meaning given such term in section 5102 of title 49, 
        United States Code.
            (2) Urban area.--The term ``urban area'' means an urban 
        area, as designated by the Bureau of the Census, with a 
        population of greater than 30,000.
    (e) Authorization of Appropriations.--There are authorized to be 
appropriated $850,000 to carry out this Act.

Summary: Directs the Secretary of Transportation to make appropriate arrangements with the Transportation Research Board of the National Academy of Sciences, the National Academy of Engineering, the Institute of Medicine, and the National Research Council to study the cost and impact of rerouting freight rail traffic of hazardous material to avoid its transportation through urban areas.