To amend the National Dam Safety Program Act to establish a program to provide grant assistance to States for the rehabilitation and repair of deficient dams.

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Dam Rehabilitation and Repair Act of 
2004''.

SEC. 2. REHABILITATION AND REPAIR OF DEFICIENT DAMS.

    (a) Definitions.--Section 2 of the National Dam Safety Program Act 
(33 U.S.C. 467) is amended--
            (1) by redesignating paragraphs (3), (4), (5), (6), (7), 
        (8), (9), (19), (11), (12), and (13) as paragraphs (4), (5), 
        (6), (7), (8), (9), (10), (12), (13), (14), and (15), 
        respectively;
            (2) by inserting after paragraph (2) the following:
            ``(3) Deficient dam.--The term `deficient dam' means a dam 
        that the State within the boundaries of which the dam is 
        located determines--
                    ``(A) fails to meet minimum dam safety standards of 
                the State; and
                    ``(B) poses an unacceptable risk to the public.''; 
                and
            (3) by inserting after paragraph (10) (as redesignated by 
        paragraph (1)) the following:
            ``(11) Rehabilitation.--The term `rehabilitation' means the 
        repair, replacement, reconstruction, or removal of a dam that 
        is carried out to meet applicable State dam safety and security 
        standards.''.
    (b) Program for Rehabilitation and Repair of Deficient Dams.--The 
National Dam Safety Program Act is amended by inserting after section 8 
(33 U.S.C. 467f) the following:

``SEC. 8A. REHABILITATION AND REPAIR OF DEFICIENT DAMS.

    ``(a) Establishment of Program.--The Director shall establish, 
within FEMA, a program to provide grant assistance to States for use in 
rehabilitation of publicly-owned deficient dams.
    ``(b) Award of Grants.--
            ``(1) Application.--A State interested in receiving a grant 
        under this section may submit to the Director an application 
        for such grant. Applications submitted to the Director under 
        this section shall be submitted at such times, be in such form, 
        and contain such information, as the Director may prescribe by 
        regulation.
            ``(2) In general.--Subject to the provisions of this 
        section, the Director may make a grant for rehabilitation of a 
        deficient dam to a State that submits an application for the 
        grant in accordance with the regulations prescribed by the 
        Director. The Director shall enter into a project grant 
        agreement with the State to establish the terms of the grant 
        and the project, including the amount of the grant.
    ``(c) Priority System.--The Director, in consultation with the 
Board, shall develop a risk-based priority system for use in 
identifying deficient dams for which grants may be made under this 
section.
    ``(d) Allocation of Funds.--The total amount of funds appropriated 
pursuant to subsection (f)(1) for a fiscal year shall be allocated for 
making grants under this section to States applying for such grants for 
that fiscal year as follows:
            ``(1) One-third divided equally among applying States.
            ``(2) Two-thirds among applying States based on the ratio 
        that--
                    ``(A) the number of non-Federal publicly-owned dams 
                that the Secretary of the Army identifies in the 
                national inventory of dams maintained under section 6 
                as constituting a danger to human health and that are 
                located within the boundaries of the State; bears to
                    ``(B) the number of non-Federal publicly-owned dams 
                that are so identified and that are located within the 
                boundaries of all applying States.
    ``(e) Cost Sharing.--The Federal share of the cost of 
rehabilitation of a deficient dam for which a grant is made under this 
section may not exceed 65 percent of the cost of such rehabilitation.
    ``(f) Authorization of Appropriations.--
            ``(1) In general.--There is authorized to be appropriated 
        to carry out this section--
                    ``(A) $50,000,000 for fiscal year 2006; and
                    ``(B) $100,000,000 for each of fiscal years 2007 
                through 2009.
            ``(2) Staff.--There are authorized to be appropriated to 
        provide for the employment of such additional staff of FEMA as 
        are necessary to carry out this section $400,000 for each of 
        fiscal years 2006 through 2009.
            ``(3) Period of availability.--Sums appropriated pursuant 
        to this section shall remain available until expended.''.

SEC. 3. RULEMAKING.

    (a) Proposed Rulemaking.--Not later than 90 days after the date of 
enactment of this Act, the Director of the Federal Emergency Management 
Agency shall issue a notice of proposed rulemaking regarding the 
amendments made by section 2 to the National Dam Safety Program Act (33 
U.S.C. 467 et seq.).
    (b) Final Rule.--Not later than 120 days after the date of 
enactment of this Act, the Director of the Federal Emergency Management 
Agency shall issue a final rule regarding such amendments.

Summary: Dam Rehabilitation and Repair Act of 2004 - Amends the National Dam Safety Program Act to require the Director of the Federal Emergency Management Agency (FEMA) to establish a program to provide grant assistance to States for use in rehabilitating publicly-owned dams that fail to meet minimum safety standards and pose an unacceptable risk to the public (deficient dams).

Sets forth provisions regarding procedures for grant awards and fund allocation. Requires the Director to develop a risk-based priority system for identifying deficient dams for which such grants may be made. Limits the Federal share of rehabilitation costs to 65 percent.