SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Appalachian Development Highway 
System Act of 2011''.

SEC. 2. APPALACHIAN DEVELOPMENT HIGHWAY SYSTEM.

    (a) Authorization of Appropriations.--There is authorized to be 
appropriated out of the Highway Trust Fund (other than the Mass Transit 
Account) for the Appalachian development highway system program under 
section 14501 of title 40, United States Code, $1,080,000,000 for each 
of fiscal years 2012 through 2017.
    (b) Apportionment.--The Secretary shall apportion funds made 
available by subsection (a) for fiscal years 2012 through 2017 among 
the States based on the latest available cost-to-complete estimate for 
the Appalachian development highway system under section 14501 of title 
40, United States Code, prepared by the Appalachian Regional 
Commission.
    (c) Applicability of Title 23.--Subject to subsection (d)(2), funds 
made available by subsection (a) shall be available for obligation in 
the same manner as if the funds were apportioned under chapter 1 of 
title 23, United States Code, except that--
            (1) the Federal share of the cost of any project carried 
        out using the funds shall be determined in accordance with 
        section 14501 of title 40, United States Code; and
            (2) the funds shall remain available until expended.
    (d) Availability of Funds.--
            (1) In general.--Notwithstanding any other provision of law 
        enacted before, on, or after the date of enactment of this Act, 
        any obligation limitation enacted for any of fiscal years 2012 
        through 2017 shall not apply to obligations authorized for the 
        Appalachian development highway system program under section 
        14501 of title 40, United States Code.
            (2) Reallocation.--Any amounts made available to a State 
        under this section or any other provision of law for the 
        Appalachian development highway system under section 14501 of 
        title 40, United States Code, that remain unobligated by the 
        State as of the date that is 5 years after the date on which 
        the funds were made available shall be--
                    (A) returned to the Secretary; and
                    (B) reallocated among the remaining States in 
                accordance with section 14501 of title 40, United 
                States Code.
    (e) Loans Between States.--
            (1) In general.--On notice to the Secretary of 
        Transportation, a State that receives an apportionment under 
        subsection (b) may lend any amount of contract authority or 
        obligation authority available to the State pursuant to the 
        apportionment to any other State that is eligible for such an 
        apportionment for use by the borrowing State for activities 
        eligible under section 14501 of title 40, United States Code.
            (2) Repayment.--Any loan under paragraph (1) shall be 
        repaid in accordance with a loan repayment agreement that is 
        entered into by the affected States and agreed to by the 
        Secretary.
    (f) Purposes.--Section 104(a) of title 23, United States Code, is 
amended by striking paragraph (2) and inserting the following:
            ``(2) Purposes.--
                    ``(A) Federal-aid highway and other programs.--The 
                funds authorized by this subsection shall be used to 
                administer the provisions of law to be financed from 
                appropriations for the Federal-aid highway program and 
                programs authorized under chapter 2.
                    ``(B) Appalachian development highway system.--In 
                any case in which an apportionment is made of the 
                amounts made available for expenditure for the 
                Appalachian development highway system program under 
                section 14501 of title 40, from amounts made available 
                from the Highway Trust Fund for the Appalachian 
                development highway system, the Secretary shall 
                transfer to the Appalachian Regional Commission such 
                sums as the Appalachian Regional Commission determines 
                to be appropriate, not to exceed $3,000,000 for each 
                fiscal year, for administrative and planning activities 
                associated with the Appalachian development highway 
                system.''.
    (g) Equity Bonus Program.--Section 105 of title 23, United States 
Code, is amended--
            (1) in subsection (a)(2)--
                    (A) by striking subparagraph (J); and
                    (B) by redesignating subparagraphs (K) through (N) 
                as subparagraphs (J) through (M), respectively; and
            (2) in subsection (b)(2)--
                    (A) in subparagraph (I), by adding ``and'' at the 
                end;
                    (B) by striking subparagraph (J); and
                    (C) by redesignating subparagraph (K) as 
                subparagraph (J).
Output: Appalachian Development Highway System Act of 2011 - Authorizes appropriations out of the Highway Trust Fund (other than the Mass Transit Account) for FY2012-FY2017 for the Appalachian development highway system program. Directs the Secretary of Transportation (DOT) to apportion such funds among the appropriate states to complete construction of the Appalachian development highway system.

Requires amounts made available to a state that remain unobligated five years later to be returned to the Secretary and reallocated among the remaining states.

Authorizes states of the system to loan apportioned amounts between themselves.