Toll Credit Marketplace Act of 2021
Bill: H.R.2340 | Sponsor: Rep. Pappas, Chris (D-NH)
Policy area: Transportation and Public Works

Summary:
Toll Credit Marketplace Act of 2021
This bill directs the Department of Transportation (DOT) to establish and implement a toll credit exchange pilot program to
In carrying out the pilot program, DOT must provide that an originating state may transfer or sell to a recipient state a credit not previously used by the originating state. DOT must also make available a public website on which originating states must post the amount of toll credits that are available for sale or transfer to a recipient state.
DOT may terminate the pilot program or the participation of any state in the pilot program if the program is not serving a public benefit or it is not cost effective.

To direct the Secretary of Transportation to establish a toll credit 
            exchange pilot program, and for other purposes.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Toll Credit Marketplace Act of 
2021''.

SEC. 2. TRANSFER AND SALE OF TOLL CREDITS.

    (a) Definitions.--In this section:
            (1) Originating state.--The term ``originating State'' 
        means a State that--
                    (A) is eligible to use a credit under section 
                120(i) of title 23, United States Code; and
                    (B) has been selected by the Secretary under 
                subsection (d)(2).
            (2) Pilot program.--The term ``pilot program'' means the 
        pilot program established under subsection (b).
            (3) Recipient state.--The term ``recipient State'' means a 
        State that receives a credit by transfer or by sale under this 
        section from an originating State.
            (4) State.--The term ``State'' has the meaning given the 
        term in section 101(a) of title 23, United States Code.
    (b) Establishment of Pilot Program.--The Secretary of 
Transportation shall establish and implement a toll credit exchange 
pilot program in accordance with this section.
    (c) Purposes.--The purposes of the pilot program are--
            (1) to identify the extent of the demand to purchase toll 
        credits;
            (2) to identify the cash price of toll credits through 
        bilateral transactions between States;
            (3) to analyze the impact of the purchase or sale of toll 
        credits on transportation expenditures;
            (4) to test the feasibility of expanding the pilot program 
        to allow all States to participate on a permanent basis; and
            (5) to identify any other repercussions of the toll credit 
        exchange.
    (d) Selection of Originating States.--
            (1) Application.--In order to participate in the pilot 
        program as an originating State, a State shall submit to the 
        Secretary an application at such time, in such manner, and 
        containing such information as the Secretary may require, 
        including, at a minimum, such information as is required for 
        the Secretary to verify--
                    (A) the amount of unused toll credits for which the 
                State has submitted certification to the Secretary that 
                are available to be sold or transferred under the pilot 
                program, including--
                            (i) toll revenue generated and the sources 
                        of that revenue;
                            (ii) toll revenue used by public, quasi-
                        public, and private agencies to build, improve, 
                        or maintain highways, bridges, or tunnels that 
                        serve the public purpose of interstate 
                        commerce; and
                            (iii) an accounting of any Federal funds 
                        used by the public, quasi-public, or private 
                        agency to build, improve, or maintain the toll 
                        facility, to validate that the credit has been 
                        reduced by a percentage equal to the percentage 
                        of the total cost of building, improving, or 
                        maintaining the facility that was derived from 
                        Federal funds;
                    (B) the documentation of maintenance of effort for 
                toll credits earned by the originating State; and
                    (C) the accuracy of the accounting system of the 
                State to earn and track toll credits.
            (2) Selection.--Of the States that submit an application 
        under paragraph (1), the Secretary may select not more than 10 
        States to be designated as an originating State.
            (3) Limitation on sales.--At any time, the Secretary may 
        limit the amount of unused toll credits that may be offered for 
        sale under the pilot program.
    (e) Transfer or Sale of Credits.--
            (1) In general.--In carrying out the pilot program, the 
        Secretary shall provide that an originating State may transfer 
        or sell to a recipient State a credit not previously used by 
        the originating State under section 120(i) of title 23, United 
        States Code.
            (2) Website support.--The Secretary shall make available a 
        publicly accessible website on which originating States shall 
        post the amount of toll credits, verified under subsection 
        (d)(1)(A), that are available for sale or transfer to a 
        recipient State.
            (3) Bilateral transactions.--An originating State and a 
        recipient State may enter into a bilateral transaction to sell 
        or transfer verified toll credits.
            (4) Notification.--Not later than 30 days after the date on 
        which a credit is transferred or sold, the originating State 
        and the recipient State shall jointly submit to the Secretary a 
        written notification of the transfer or sale, including details 
        on--
                    (A) the amount of toll credits that have been sold 
                or transferred;
                    (B) the price paid or other value transferred in 
                exchange for the toll credits;
                    (C) the intended use by the recipient State of the 
                toll credits, if known;
                    (D) the intended use by the originating State of 
                the cash or other value transferred;
                    (E) an update on the toll credit balance of the 
                originating State and the recipient State; and
                    (F) any other information about the transaction 
                that the Secretary may require.
            (5) Use of credits by transferee or purchaser.--A recipient 
        State may use a credit received under paragraph (1) toward the 
        non-Federal share requirement for any funds made available to 
        carry out title 23 or chapter 53 of title 49, United States 
        Code, in accordance with section 120(i) of title 23, United 
        States Code.
            (6) Use of proceeds from sale of credits.--An originating 
        State shall use the proceeds from the sale of a credit under 
        paragraph (1) for the construction costs of any project in the 
        originating State that is eligible under title 23, United 
        States Code.
    (f) Reporting Requirements.--
            (1) Initial report.--Not later than 1 year after the date 
        on which the pilot program is established, the Secretary shall 
        submit to the Committee on Environment and Public Works of the 
        Senate and the Committee on Transportation and Infrastructure 
        of the House of Representatives a report on the progress of the 
        pilot program.
            (2) Final report.--Not later than 3 years after the date on 
        which the pilot program is established, the Secretary shall--
                    (A) submit to the Committee on Environment and 
                Public Works of the Senate and the Committee on 
                Transportation and Infrastructure of the House of 
                Representatives a report that--
                            (i) determines whether a toll credit 
                        marketplace is viable and cost-effective;
                            (ii) describes the buying and selling 
                        activities under the pilot program;
                            (iii) describes the average sale price of 
                        toll credits;
                            (iv) determines whether the pilot program 
                        could be expanded to more States or all States 
                        or to non-State operators of toll facilities;
                            (v) provides updated information on the 
                        toll credit balance accumulated by each State; 
                        and
                            (vi) describes the list of projects that 
                        were assisted by the pilot program; and
                    (B) make the report under subparagraph (A) publicly 
                available on the website of the Department.
    (g) Termination.--
            (1) In general.--The Secretary may terminate the pilot 
        program or the participation of any State in the pilot program 
        if the Secretary determines that--
                    (A) the pilot program is not serving a public 
                benefit; or
                    (B) it is not cost effective to carry out the pilot 
                program.
            (2) Procedures.--The termination of the pilot program or 
        the participation of a State in the pilot program shall be 
        carried out consistent with Federal requirements for project 
        closeout, adjustment, and continuing responsibilities.
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